My WebLink
|
Help
|
About
|
Sign Out
Home
Search
Comprehensive Annual Financial Report 12/31/2011
LinoLakes
>
Finance
>
Annual Financial Statements
>
Comprehensive Annual Financial Report 12/31/2011
Metadata
Thumbnails
Annotations
Entry Properties
Last modified
5/22/2014 2:27:40 PM
Creation date
5/20/2014 12:44:41 PM
Metadata
Fields
Template:
Finance Dept
Finance Category
Publications & Reports
Finance Document Folder
Annual Financial Reports
Finance Number Identifier
Comprehensive Annual Financial Report
Date
12/31/2011
There are no annotations on this page.
Document management portal powered by Laserfiche WebLink 9 © 1998-2015
Laserfiche.
All rights reserved.
/
128
PDF
Print
Pages to print
Enter page numbers and/or page ranges separated by commas. For example, 1,3,5-12.
After downloading, print the document using a PDF reader (e.g. Adobe Reader).
Show annotations
View images
View plain text
CITY OF LINO LAKES, MINNESOTA <br />NOTES TO FINANCIAL STATEMENTS <br />December 31, 2011 <br />Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) <br />H. PROPERTY TAX REVENUE RECOGNITION <br />The City Council annually adopts a tax levy and certifies it to the County in December (levy /assessment <br />date) of each year for collection in the following year. The County is responsible for billing and collecting <br />all property taxes for itself, the City, the local School District and other taxing authorities. Such taxes <br />become a lien on January 1 and are recorded as receivables by the City at that date. Real property taxes are <br />payable (by property owners) on May 15 and October 15 of each calendar year. Personal property taxes are <br />payable by taxpayers on February 28 and June 30 of each year. These taxes are collected by the County <br />and remitted to the City on or before July 15 and December 15 of the same year. Delinquent collections for <br />November and December are received the following January. The City has no ability to enforce payment of <br />property taxes by property owners. The County possesses this authority. <br />Within the governmental fund financial statements, the City recognizes property tax revenue when it <br />becomes both measurable and available to finance expenditures of the current period. In practice, current <br />and delinquent taxes and State credits received by the City in July, December and the following January <br />are recognized as revenue for the current year. Taxes and credits not received at the year -end are classified <br />as delinquent and due from County taxes receivable. The portion of delinquent taxes not collected by the <br />City in January is fully offset by deferred revenue because it is not available to finance current <br />expenditures. Deferred revenue in governmental activities is susceptible to full accrual on the government - <br />wide statements. <br />The City's property tax revenue includes payments from the Metropolitan Revenue Distribution (Fiscal <br />Disparities Formula) per State Statute 473F. This statute provides a means of spreading a portion of the <br />taxable valuation of commercial/industrial real property to various taxing authorities within the defined <br />metropolitan area. The valuation "shared" is a portion of commercial/industrial property valuation growth <br />since 1971. Property taxes paid to the City through this formula for 2011 totaled $1,096,862. Receipt of <br />property taxes from this "fiscal disparities pool" does not increase or decrease total tax revenue. <br />I. SPECIAL ASSESSMENT REVENUE RECOGNITION <br />Special assessments are levied against benefited properties for the cost or a portion of the cost of special <br />assessment improvement projects in accordance with State Statutes. These assessments are collectible by <br />the City over a term of years usually consistent with the term of the related bond issue. Collection of <br />annual installments (including interest) is handled by the County Auditor in the same manner as property <br />taxes. Property owners are allowed to (and often do) prepay future installments without interest or <br />prepayment penalties. <br />Within the fund financial statements, the revenue from special assessments is recognized by the City when <br />it becomes measurable and available to finance expenditures of the current fiscal period. In practice, <br />current and delinquent special assessments received by the City are recognized as revenue for the current <br />year. Special assessments are collected by the County and remitted by December 31 (remitted to the City <br />the following January) and are also recognized as revenue for the current year. All remaining delinquent, <br />deferred and special deferred assessments receivable in governmental funds are completely offset by <br />deferred revenues. Deferred revenue in governmental activities is susceptible to full accrual on the <br />government -wide statements. <br />AMMO <br />39 ... <br />
The URL can be used to link to this page
Your browser does not support the video tag.