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CITY OF LINO LAKES, MINNESOTA <br />NOTES TO FINANCIAL STATEMENTS <br />December 31, 2007 <br />Note 3 CAPITAL ASSETS <br />Capital asset activity for the year ended December 31, 2007 was as follows: <br />Beginning Ending <br />Balance Increases Decreases Balance <br />Governmental Activities: <br />Capital Assets, Not Being Depreciated <br />Land $ 2,809,059 $ $ $ 2,809,059 <br />Construction in Progress 5,066,936 1,448,697 (776,712) 5,738,921 <br />Total Capital Assets, Not Being Depreciated 7,875,995 1,448,697 (776,712) 8,547,980 <br />Capital Assets, Being Depreciated: <br />Buildings 6,496,870 - 6,496,870 <br />Office Equipment and Furniture 1,059,082 70,616 (59,076) 1,070,622 <br />Vehicles 1,727,625 437,165 (174,451) 1,990,339 <br />Machinery and Shop Equipment 740,745 - (81,043) 659,702 <br />Other Equipment 960,837 21,979 (2,508) 980,308 <br />Infrastructure 69,988,514 145,450 - 70,133,964 <br />Total Capital Assets, Being Depreciated 80,973,673 675,210 (317,078) 81,331,805 <br />Accumulated Depreciation for: <br />Buildings (1,903,121) (216,937) - (2,120,058) <br />Office Equipment and Furniture (544,773) (91,155) 56,451 (579,477) <br />Vehicles (776,553) (204,046) 148,009 (832,590) <br />Machinery and Shop Equipment (448,817) (37,730) 73,497 (413,050) <br />Other Equipment (552,039) (39,065) 2,508 (588,596) <br />Infrastructure (33,464,938) (2,194,376) - (35,659,314) <br />Total Accumulated Depreciation (37,690,241) (2,783,309) 280,465 (40,193,085) <br />Total Capital Assets, Being Depreciated, Net 43,283,432 (2,108,099) (36,613) 41,138,720 <br />Governmental Activities Capital Assets, Net $ 51,159,427 $ (659,402) $ (813,325) $ 49,686,700 <br />Depreciation expense was charged to governmental functions as follows: <br />Governmental Activities: <br />General Govemment $ 269,161 <br />Public Safety 125,712 <br />Public Services 2,213,485 <br />Parks, Recreation and Forestry 174,101 <br />Conservation of natural resources 350 <br />Community Development 500 <br />Total Depreciation Expense, Govemmental Activities $ 2,783,309 <br />Beginning Ending <br />Balance Increases Decreases Balance <br />Business -Type Activities: <br />Capital Assets, Not Being Depreciated <br />Construction in Progress $ $ 13,054 $ - $ 13,054 <br />Total capital assets, not being depreciated - 13,054 - 13,054 <br />Capital Assets, Being Depreciated: <br />Buildings 48,690 - - 48,690 <br />Machinery and Shop Equipment 318,866 41,127 (28,168) 331,825 <br />Water and Sewer Lines 38,973,291 846,892 (9,705) 39,810,478 <br />Total Capital Assets, Being Depreciated 39,340,847 888,019 (37,873) 40,190,993 <br />Accumulated Depreciation for: <br />Buildings (48,690) - - (48,690) <br />Machinery and Shop Equipment (209,622) (18,236) 28,168 (199,690) <br />Water and Sewer Lines (7,491,165) (802,387) 9,705 (8,283,847) <br />Total Accumulated Depreciation (7,749,477) (820,623) 37,873 (8,532,227) <br />Total Capital Assets, Being Depreciated, Net 31,591,370 67,396 - 31,658,766 <br />Business -Type Capital Assets, Net $ 31,591,370 $ 80,450 $ - $ 31,671,820 <br />44 <br />