HomeMy WebLinkAboutComprehensive Annual Financial Report 12/31/1998COMPREHENSIVE ANNUAL FINANCIAL REPORT
OF THE
CITY OF LINO LAKES, MINNESOTA
FOR THE YEAR ENDED
DECEMBER 31, 1998
Prepared By: Finance Department
Linda Waite Smith, City Administrator
Paula Schloer, Accountant
Mow
CITY OF LINO LAKES, MINNESOTA
TABLE OF CONTENTS
I. INTRODUCTORY SECTION
Principal City Officials
Organization Chart
Letter of Transmittal
Certificate of Achievement for Excellence in Financial Reporting
II. FINANCIAL SECTION
Independent Auditor's Report
General Purpose Financial Statements
Combined Balance Sheet - All Fund Types and Account Groups
Combined Statement of Revenue, Expenditures and Changes in
Fund Balance - All Governmental Fund Types
Combined Statement of Revenue, Expenditures and Changes in
Fund Balance - Budget and Actual - General and
Special Revenue Fund Types
Combined Statement of Revenue, Expenses and Changes in Retained
Earnings - All Proprietary Fund Types
Combined Statement of Cash Flows - All Proprietary Fund Types
Notes to Financial Statements
Required Supplementary Financial Information
Year 2000 Information
Page
Reference Number
3
5
7
17
21
Statement 1 26
Statement 2 28
Statement 3 29
Statement 4 30
Statement 5 31
33
55
CITY OF LINO LAKES, MINNESOTA
TABLE OF CONTENTS
Page
Reference Number
Combining, Individual Fund and Account Group Financial Statements
General Fund:
Balance Sheet Statement 6 63
Statement of Revenue, Expenditures and Changes in
Fund Balance - Budget and Actual Statement 7 64
Special Revenue Funds:
Combining Balance Sheet Statement 8 72
Combining Statement of Revenue, Expenditures and Changes in
Fund Balance Statement 9 73
Program Recreation — Statement of Revenue, Expenditures and
Changes in Fund Balance - Budget and Actual Statement 10 74
Debt Service Funds:
Combining Balance Sheet Statement 11 76
Combining Statement of Revenue, Expenditures and Changes
in Fund Balance Statement 12 77
Capital Project Funds:
Combining Balance Sheet Statement 13 83
Combining Statement of Revenue, Expenditures and Changes
in Fund Balance Statement 14 89
Enterprise Funds:
Combining Balance Sheet Statement 15 96
Combining Statement of Revenue, Expenses and Changes in
Retained Earnings Statement 16 97
Combining Statement of Cash Flows Statement 17 98
Agency Funds:
Combining Balance Sheet Statement 18 100
Combining Statement of Changes in Assets and Liabilities Statement 19 101
CITY OF LINO LAKES, MINNESOTA
TABLE OF CONTENTS
Page
Reference Number
General Fixed Asset Account Group:
Schedule of General Fixed Assets - By Source Statement 20 104
Schedule of General Fixed Assets - By Function and Activity Statement 21 105
Schedule of Changes in General Fixed Assets - By Function and
Activity Statement 22 106
General Long -Term Debt Account Group:
Schedule of General Long -Term Debt Statement 23 108
Supplementary Financial Information
Combined Schedule of Indebtedness Exhibit 1 110
Schedule of Deferred Tax Levies Exhibit 2 113
Debt Service Payments to Maturity - All Bonds Exhibit 3 114
Construction Work in Process Exhibit 4 116
Insurance in Force Exhibit 5 117
Taxable Valuations, Tax Levies and Tax Rates Exhibit 6 118
III. STATISTICAL SECTION
General Fund:
Expenditures By Function - Last Ten Fiscal Years
Revenue By Source - Last Ten Fiscal Years
Property Tax Levies and Collections - Last Ten Fiscal Years
Special Assessment Levies and Collections - Last Ten Fiscal Years
Ratio of Annual Debt Service Expenditures for General Bonded
Debt to Total General Expenditures - Last Ten Fiscal Years
Assessed and Estimated Actual Value of Taxable Property -
Last Ten Fiscal Years
Table 1 120
Table 2 121
Table 3 122
Table 4 123
Table 5 125
Table 6 127
CITY OF LINO LAKES, MINNESOTA
TABLE OF CONTENTS
Property Tax Rates - Direct and Overlapping Government -
Last Ten Fiscal Years
Ratio of Net Bonded Debt to Assessed Value and Net Bonded
Debt Per Capita - Last Ten Fiscal Years
Computation of Direct and Overlapping Debt including Debt Ratios
Computation of Legal Debt Margin
Page
Reference Number
Table 7 128
Table 8 129
Table 9 130
Table 10 131
Schedule of Revenue Bond Coverage - Water Fund -
Last Six Fiscal Years Table 11 132
Principal Taxpayers Table 12 133
Property Value, Construction Permits and Bank Deposits -
Last Ten Fiscal Years Table 13 134
Demographic Statistics Table 14 135
Miscellaneous Statistics Table 15 136
I.
INTRODUCTORY
SECTION
1
CITY OF LINO LAKES, MINNESOTA
PRINCIPAL CITY OFFICIALS
December 31, 1998
-
Elected Officials
- Mayor:
Kimberly Sullivan
_ Council Members:
Chris Lyden
Andy Neal
John Bergeson
Caroline Dahl
Term Expires
December 31, 1999
December 31, 1999
December 31, 1999
December 31, 2001
December 31, 2001
Appointed Personnel
City Administrator Linda Waite Smith
Director of Public Safety David Pecchia
Director of Community Development Brian Wessel
Director of Public Service Rick DeGardner
Director of Administration Dan Tesch
Accountant Paula Schloer
Inmo
Immo
3
City of Lino Lakes Organizational Chart
Citizens
Honorable Mayor
and
City Council
Commissions
Cable
Parks and Recreation
Economic Development
Planning and Zoning
Fire
Environmental
City Administrator
Charter Commission
City Clerk
Professional Consultants
Engineering
Attorney
Public Services
Public Safety
Parks
Public Works
HRecreation
Administration
Police
Emergency Management
Inspections
Fiscal
Community Development
Human Resources
Finance
HAdministrative Services
—� Planning
--I Economic Development
- Engineering
Environmental Services
5
IIMmo
MINIM
Mom
June 28, 1999
Honorable Mayor
Members of the City Council
City of Lino Lakes, Minnesota
The Comprehensive Annual Financial Report of the City of Lino Lakes, Minnesota, is submitted
herein for the year ended December 31, 1998 The City is responsible for the accuracy and
completeness of the presentation including all disclosures. The Finance department believes that
the data presented is accurate in all material aspects and presents the financial position and
results of operations of the City in a fair manner.
The organization, form and contents of this report were prepared in accordance with the
standards prescribed by the Government Finance Officer's Association of the United States and
Canada, the American Institute of Certified Accountants, the State Auditor's Office, the State of
Minnesota and the City Charter.
The Comprehensive Annual Financial Report consists of three parts:
a. An Introductory Section - contains the letter of transmittal, table of contents,
elected and administrative officials and organizational chart.
b. A Financial Section - contains the independent auditors report, notes to the
financial statements, combined financial statements and the combining and
individual fund and account group statements and supplemental schedules.
c. A Statistical Section - contains various unaudited tables showing the financial
trends of the City and miscellaneous statistics.
We believe that the data presented is accurate in all material aspects. It is presented in a manner
that fairly reflects the financial operations of the City and is easily read for maximum
understanding of the financial matters presented. The notes are considered an essential part in
providing insight into the information presented.
600 Town Center Parkway, Lino Lakes, Minnesota 55014 -1182
Phone: 651 - 982 -2400 • Fax: 651 - 982 -2499 • TDD: 651 - 982 -2410
lam
Mow
Reliable financial information requires an establishment of accounting records that are
adequately supported by internal accounting controls. The City believes that existing internal
accounting controls are adequate to provide reasonable assurance that City assets are safeguarded
against loss from unauthorized use or disposition and that the financial records are reliable for
the preparation of the financial statements.
The City Charter grants the City Council full authority over the financial matters of the City.
The City Administrator has the responsibility of submitting the annual budget to the City
Council. The budget is adopted by resolution and the amounts can not increase beyond the
estimated receipts except to the extent that actual receipts exceed the estimate.
THE REPORTING ENTITY
In accordance with the Governmental Accounting Standards Board requirements, the financial
reporting entity includes all funds and account groups of the City as well as all of its component
units. Component units are legally separate entities for which the primary government is
financially accountable.
Blended component units, although legally separate entities, are in substance, part of the primary
government's operations and are included as part of the primary government. Accordingly, the
Economic Development Authority is reported as a Special Revenue Fund of the primary
government.
The City provides a full range of municipal services. These services include: general
government, public safety (police & fire), public works (streets & fleet), parks and recreation,
conservation of natural resources (environmental & solid waste abatement), public
improvements, providing and maintaining sanitary and storm sewer, water infrastructure, and two
enterprise funds, the water and sewer funds.
ECONOMIC CONDITION AND OUTLOOK
The City of Lino Lakes is a growing community within the County of Anoka. It covers an area
of 33 square miles and has a population in excess of 15,000. Within the City's borders lies the
2,550 acre Rice Creek Chain of Lakes Regional Park. Access to St. Paul and Minneapolis is
provided by I -35W and I -35E.
The economic development effort established in 1993 by the city council has begun to reverse
dependence on residential property taxes. Since 1993, the city has added more than $27 million
in additional commerciallindustrial market value. The Apollo Business Park on I -35W and the
Clearwater Creek Development Center on I -35E continue to attract industrial development. A
new business park on Lake Drive near the Town Center is expected to be improved for
development in 1999.
With the many wetlands and regional parks, environmental issues are important to the city. In
1999, the city approved its first Preservation Development subdivision, a large step forward in
the implementation of the city's overall environmental inventory and management plan. This
plan will preserve the valuable open spaces and wetlands within the city.
9
MAJOR INITIATIVES
Commercial development in Lino Lakes has been the focus of a city- initiated development called
the Town Center on the I -35W interchange area. This innovative project incorporates mixed -use
development that includes professional buildings, civic facilities, commercial development and a
mix of housing types. The city received a $220,000 Livable Communities grant in 1998 from the
Metropolitan Council to hire Peter Calthorpe Associates, a planner on the cutting edge of urban
and suburban neighborhood development, to refine the city's plan for the Town Center.
The Village, the Southeast quadrant of the Town Center, is the site of the newly completed Lino
Lakes Civic Complex. This $6 million facility that houses city hall, police and a Centennial
School District program, is a critical component to the success of a mixed use Town Center. The
location of the complex is part of the economic development effort in providing a strong civic
focus within the mixed -use center. The Civic Complex recently received an award from the
League of Minnesota Cities for innovation and excellence in housing, economic development
and community spaces.
The city is considering participating in the construction costs of a YMCA in the Village. The
YMCA is anticipating building a new recreation facility in the near future.
FINANCIAL INFORMATION
The City's policy is to invest all available moneys at competitive rates in accordance with
Minnesota law. Investments are made by minimizing credit and market risks while maintaining a
competitive yield. Funds are invested in certificates of deposit, commercial paper and U.S.
government agencies. Cash is pooled in one account to provide maximum return.
General Fund
The General Fund accounts for all revenues and expenditures necessary to provide basic
governmental operations of the City.
General Fund revenues totaled $5,722,363 in 1998 compared. to $4,749,974 in 1997. The
breakdown of revenues is shown in the following table:
1998 1997 $ Change % Change
General property taxes $2,904,888 $2,658,485 $246,403 9.27%
Licenses and permits 726,599 566,561 160,038 28.25%
Intergovernmental revenues 1,380,063 881,459 498,604 56.57%
Charges for services 347,485 291,090 56,395 19.37%
Fines and forfeits 102,489 99,390 3,099 3.12%
Interest on Investments 137,410 108,212 29,198 26.98%
Miscellaneous 123,429 144,777 (21,348) (14.75 %)
Total $5.722.363 $4.749.974 S 972.389 20.. 7%
10
The increase in General property taxes was due to the increase in the tax base of the City.
Licenses and permits increased substantially due to additional building permits issued for storm
related costs. Intergovernmental revenues increased due to Federal and State aid reimbursements
for storm related costs. Miscellaneous revenue decreased due to lower gas franchise fees caused
by a mild spring and winter. Investment earnings were higher because of the implementation of
GASB 31, which states investments at fair market value at the end of 1998.
General fund expenditures totaled $5,328,796 in 1998 compared to $4,400,087 in 1997. The
breakdown of expenditures is shown in the following table.
1998 1997 $ Change % Change
General Government $1,560,268 $1,366,602 $193,666 14.17%
Public Safety 1,778,898 1,751,226 27,672 1.58%
Public Works 673,156 697,934 (24,778) ( 3.55 %)
Parks and Recreation 722,728 439,263 283,465 64.53%
Conservation of Natural Resources 593,746 145,062 448,684 309.30%
Total $5.328.796 $4,400,Qr $928.704 ;1,11%
The increase in General Government is attributed to 1) the Finance Department purchased
computer hardware and software to bring the city up to Y2K compliance, 2) the Community
Development Department hired a City Planner and is in the process of a Livable Communities
study and 3) the Administration Department had increased costs related to the replacement of the
City Administrator's position. Parks and recreation increased due to the addition of new
positions and the purchase of new playground equipment. Lastly, the increase in Conservation of
Natural Resources was attributed to 1) the addition of an Environmental Department whose
responsibility is to address the needs for a sustainable natural resources inventory base and 2)
costs incurred for storm cleanup.
The fund balance of the General fund continues to grow as shown below:
Expenditure Fund Balance Percent
Budget Bezinning of Year of Budget
1990 $2,155,051 $1,030,053 47.80%
1991 2,268,639 1,169,624 51.56%
1992 2,552,835 1,265,236 49.56%
1993 2,829,202 1,406,296 49.71%
1994 3,169,862 1,756,659 55.42%
1995 3,551,957 1,870,934 52.67%
1996 3,966,738 2,086,231 52.59%
1997 4,400,087 2,723,025 61.89%
1998 5,328,796 3,057,912 57.10%
The fund balance for the year increased $353,421 for a total ending fund balance of $3,411,332.
11
Special Revenue Funds
Economic Development Authority - this fund accounts for personal expenses of the City Council
when acting as the Economic Development Authority.
Community Development Block Grant - accounts for expenditures associated with funds
allocated through Anoka County from the Federal Government to fund allowable projects.
Program Recreation - this fund accounts for the activities of the Recreation Department for self -
supporting programs.
Debt Service Funds
Improvement Bonds - these funds account for debt service payments made on general obligation
debt issued for local improvement projects.
Certificates of Indebtedness - these funds account for debt service payments made on debt issued
to finance capital purchases. These certificates are financed internally.
Public Project Revenue Bonds - established to account for debt service payments related to the
construction of the City's fire hall and civic complex.
Capital Project Funds
Closed Bond Fund - established to account for all excess bond receipts.
Dedicated Parks - accounts for revenues and expenditures for the acquisition and construction of
park projects. Playground equipment was purchased for Rice Lake Estates in 1998.
Area and Unit Charges - accounts for water and sewer area assessments to be used for the
construction of City utility infrastructure.
Surface Water Management - established to help fund the costs associated with surface water
issues and planning.
Town Center /Civic Center Project - established to account for costs associated with the creation
of the "Village ", including: infrastructure, civic buildings and development of the property for
commercial use.
Tax Increment - established to account for projects financed with tax increments.
12
Enterprise Funds
Water Fund - accounts for the operations of the municipal water system. The following table
illustrates the operations:
1998 1997 $ Change % Change
— Operating Revenues $586,306 $486,387 $ 99,919 20.54%
Operating Expenses 237,866 271,575 (33,709) (12.41 %)
(Excluding Deprecation)
Operating Income (Loss)
$348.440 $214.812 $133.628 62.21%,
Increases in revenues are attributed to the additional users on the system.
Sewer Fund - accounts for the operations of the municipal sanitary sewer system. The following
table illustrates the operations:
1998 1997 $ Change % Change
Operating Revenues $719,391 $628,536 $ 90,855 14.46%
Operating Expenses 652,015 494,219 157,796 31.93%
(Excluding Deprecation)
Maw
Operating Income (Loss) §_7.i7_ $L34.312 06,9411 (49.84 %1
Mom
Expenditures increased due to repairs of the Lakes Addition sewer line and the increase in
sewage flow and fees paid to the Metropolitan Council Environmental Services division for
treatment. Also, the first phase of an Inflow and Infiltration study was completed in 1998, with
the second phase to be completed in 1999.
Gas Utility – this fund was closed during 1998 and all capitalized costs were written off.
AGENCY FUNDS
Contractors Deposits - accounts for the pass - through costs of developer financed projects within
the City.
Pending Assessments - accounts for the receipt of assessment prepayments prior to certification.
This fund is closed annually at certification time. The balance in this fund is the result of
assessments being collected that will not be certified to Anoka County until the fall of 1999.
Investment Fund - accounts for the pooling of all the City's money that is invested throughout the
year. Interest on investments is recorded in this fund before allocating to all funds. Interest
earned in 1998 was $1,155,931 compared to $766,675 in 1997. The increase in interest resulted
from bonds issued in 1998 and the corresponding balance in the construction funds.
MEW
13
GENERAL FIXED ASSETS ACCOUNT GROUP
General fixed assets are those assets used for general governmental functions only. This does
not include enterprise funds. Depreciation is not recorded on the general fixed assets.
GENERAL LONG-TERM DEBT ACCOUNT GROUP
This group reports the current assets available in the Debt Service Funds and recognizes the
amounts to be provided through future tax levies, assessments and tax increments.
CASH MANAGEMENT
Cash temporarily idle during the year was invested in certificates of deposit, commercial paper,
and obligations of the U.S. Treasury. The City's investment policy's primary objective is safety
of principal. Therefore, deposits were insured by Federal depository insurance or were
collateralized. The City Council amended the investment policy in 1998.
DEBT ADMINISTRATION
At year -end, the City had a number of debt issues outstanding. These issues included $6,862,734
of general obligation bonds and equipment certificates, $13,21.5,000 of general improvement
bonds with special assessments pledged and $4,075,000 of revenue bonds and contracts for deed
in the amount of $946,020. During 1998, the City issued $287,734 of equipment certificates
internally; the proceeds of which were used to purchase equipment. Also, during the year the
City issued $5,350,000 in lease revenue bonds to finance the construction of the Civic Center
Complex and the issuance of $6,310,000 of general obligation improvement bonds to finance
infrastructure improvement.
RISK MANAGEMENT
The City's general property and liability coverage is provided through the League of Minnesota
Cities Trust (LMCIT) and worker's compensation is provided through State Fund Mutual.
At the beginning of the insurance year, the city deposits with State Fund a premium determined
by calculating estimated payroll and applying experience modification ratios. An audit is
performed at the end of the insurance year, which may produce a refund or an adjustment due.
State Funds reserves and rates are reviewed annually by an actuary to assure that the program
remains financially strong.
INDEPENDENT AUDIT
Minnesota State law requires that cities over 2,500 population submit annual financial statements
attested by a certified public accountant or the State Auditor to the State Auditor. The firm
Larson, Allen, Weishair and Co., LLP was selected by the City Council to perform the audit. In
14
addition to meeting the requirements of the Federal Single Audit Act of 1984 and the related U.S
Office of Management and Budget's Circular A -133. Generally accepted auditing standards and
— the standards set forth in the Comptroller General of the United States' Government Auditing
Standards, were used by the auditors in conducting the engagement. The auditor's report on the
general purpose financial statements and combining and individual fund statements and
— schedules is included in the financial section of the report. The auditor's reports on internal
controls and compliance with applicable laws and regulations can be found in a separately issued
single audit report.
CERTIFICATE OF ACHIEVEMENT FOR EXCELLENCE IN FINANCIAL
—
REPORTING
_ The Government Finance Officers Association of the United State and Canada (GFOA) awards
the Certificate of Achievement for excellence in financial reporting to cities that meet certain
criteria. A governmental unit must publish an easily readable and efficiently organized
comprehensive annual financial report, the contents of which conform to program requirements.
The City of Lino Lakes received its third award for the year ended December 31, 1997. The City
is submitting the 1998 report to GFOA for consideration of the Certificate of Achievement for
Excellence in Financial Reporting. We believe our current report conforms to the program
—
requirements.
ACKNOWLEDGMENTS
— The preparation of this report could not have been accomplished without the dedicated services
of the Finance Department.
— We also want to express our appreciation to the Mayor and City Council for their responsible
policies involving the financial operation of the City.
— Respectfully submitted,
— ( z?/tt d'n
Linda Waite Smith
City Administrator
INIMIla
IIMINm
Illmo
iLQ0 , 5L-CrLaN2--(,
P aula Schloer
Accountant
15
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Lino Lakes,
Minnesota
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
December 31, 1997
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
President
2#74/grdet
Executive Director
17
II.
FINANCIAL
SECTION
19
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and
Members of the City Council
City of Lino Lakes, Minnesota
is LARSON
iiii ALLEN
1111•WEISHAIR
1 &CO.,LLP
CERTIFIED PUBLIC ACCOUNTANTS
We have audited the accompanying general-purpose financial statements of the City of Lino Lakes,
Minnesota as of and for the year ended December 31, 1998 as listed in the Table of Contents. These
general purpose financial statements are the responsibility of the City's management. Our
responsibility is to express an opinion on these general purpose financial statements based on our
audit.
We conducted our audit in accordance with generally accepted auditing standards and the standards
applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller
General of the United States. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the general purpose financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and
disclosures in the general purpose financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well as evaluating the
overall general purpose financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
In our opinion, the general purpose financial statements referred to above present fairly, in all material
respects, the financial position of the City of Lino Lakes, Minnesota as of December 31, 1998, and the
results of its operations and cash flows of its proprietary fund types for the year then ended in
conformity with generally accepted accounting principles.
The year 2000 supplementary information presented on page 57 is not a required part of the basic
financial statements but is supplementary information required by the Governmental Accounting
Standards Board. We have applied certain limited procedures, which consisted principally of inquiries
of management regarding the methods of measurement and presentation of the supplementary
information. However, we did not audit the information and do not express an opinion on it. In addition,
we do not provide assurance that the City of Lino Lakes is or will become year 2000 compliant, that the
City of Lino Lakes' year 2000 remediation efforts will be successful in whole or in part, or that parties
with which the City of Lino Lakes does business are or will become year 2000 compliant.
In accordance with Government Auditing Standards, we have also issued a report dated June 23, 1999
on our consideration of the City of Lino Lakes Minnesota's internal control over financial reporting and
our tests of its compliance with certain laws, regulations, contracts, and grants.
21
- As discussed in Note I. S. to the financial statements, the City changed its method of accounting and
financial reporting for certain investments.
- Our audit was made for the purpose of forming an opinion on the general purpose financial statements
taken as a whole. The combining and individual fund and account group financial statements,
schedules and tables listed in the Table of Contents are presented for purposes of additional analysis
and are not a required part of the general purpose financial statements of the City of Lino Lakes,
Minnesota. Such information; except for the supplementary financial information and statistical tables,
shown on pages 110 -136, on which we express no opinion; has been subjected to the auditing
procedures applied in our audit of the general purpose financial statements and, in our opinion, is fairly
stated in all material respects in relation to the general purpose financial statements taken as a whole.
Austin, Minnesota
June 23, 1999
Ilamo
Mum
LARSON, ALLEN, WEISHAIR & CO., LLP
23
GENERAL PURPOSE FINANCIAL STATEMENTS
25
CITY OF LINO LAKES, MINNESOTA
COMBINED BALANCE SHEET -
ALL FUND TYPES AND ACCOUNT GROUPS
December 31, 1998
Governmental Fund Types
Special Debt Capital
Assets General Revenue Service Project
Cash and investments $3,309,600 $41,124 $1,346,775 $8,925,700
Cash and investments with escrow agent 591,915 4,864,174
Accrued interest receivable - - 17,740
Accounts receivable 117,499 35,881
Deposits receivable -
Due from other governmental units 327,379 2,314
Interfund receivable 3,205,002
Taxes receivable:
Delinquent 27,114 2,660 -
Due from County 94,655 8,876 4,024
Delinquent tax increment - 13,439
Special assessments receivable:
Delinquent 230 9,769
Deferred 1,345,186 2,676,820
Due from County - 44,906 64,094
Prepaid items 98,453 264 949
Land held for resale 989,506
Fixed assets (net of accumulated depreciation) -
Amount available in Debt Service Fund
Amount to be provided for retirement of GLTD
Total assets
Liabilities, equity and other credits
$3,974,700 $43,702
$3,340,548 $20,807,098
Liabilities:
Interfund payable $ - $1,224 $3,254 $3,051,986
Accounts payable 441,148 2,609 - 1,327,686
Salaries payable 81,569 2,649
Contracts payable - 423,255
Accrued interest payable
Deposits payable -
Due to other governmental units 4,253 - 214,640
Deferred revenue 36,398 1,348,076 2,700,028
Bonds payable - -
Contract for deed payable
Compensated absences payable
Total liabilities 563,368 6,482 1,351,330 7,717,595
Equity and other credits:
Contributed capital
Invested in general fixed assets
Retained earnings - unreserved
Fund balance (deficit):
Reserved
Unreserved:
Designated
Undesignated
Total equity and other credits
26
98,453 264 1,989,218 990,455
3,312,879
3,411,332
Total liabilities, equity and other credits $3,974,700
36,956 14,129,738
(2,030,690)
37,220 1,989,218 13,089,503
$43,702 $3,340,548 $20,807,098
The accompanying notes are an integral part of these financial statements.
INEMP
Proprietary
Fund Type
Enterprise
$708,666
268,447
2,020
295,537
1,415
35,829
21,935,940
$23,247,854
$ -
21,897
5,366
92,724
8,840
4,075,000
12,218
4,216,045
18,190,064
841,745
19,031,809
$23,247,854
Fiduciary
Fund Type
Agency
$298,720
148,538
115,319
$562,577
$148,538
6,710
407,329
562,577
$562,577
Account Groups
General General Long -
Fixed Assets Term Debt
5,333,378
$5,333,378
5,333,378
5,333,378
$5,333,378
1,989,218
19,263,448
$21,252,666
20,077,734
946,020
228,912
21,252,666
$21,252,666
Statement 1
Totals
(Memorandum
1998
$14,630,585
5,456,089
166,278
421,827
115,319
329,693
3,205,002
29,774
107,555
13,439
12,019
4,317,543
110,415
135,495
989,506
27,269,318
1,989,218
19,263,448
$78,562,523
$3,205,002
1,800,050
89,584
423,255
92,724
407,329
227,733
4,084,502
24,152,734
946,020
241,130
35,670,063
18,190,064
5,333,378
841,745
3,078,390
17,479,573
(2,030,690)
42, 892,460
$78,562,523
The accompanying notes are an integral part of these financial statements.
Only)
1997
$15,585,650
97,047
117,717
446,640
85,388
628,817
2,015,037
32,598
40,592
2,726
6,689
5,827,397
4,077
135,057
989,506
23,905,046
1,009,512
9,010,771
$59,940,267
$2,015,037
560,341
72,393
436,657
95,488
349,944
561 ,214
5,544,900
13,085,000
946,020
213,482
23,880,476
14,499,775
5,028,609
1,492,588
2,101,479
13,950,019
(1,012,679)
36,059,791
$59,940,267
27
CITY OF LINO LAKES, MINNESOTA
COMBINED STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE - ALL GOVERNMENTAL FUND TYPES
For The Year Ended December 31, 1998
Statement 2
Totals
Special Debt Capital (Memorandum Only)
Revenue: General Revenue Service Project 1998 1997
General property taxes $2,904,888 $ - $278,062 $806 $3,183,756 $2,939,575
Tax increments 660,943 660,943 498,529
Licenses and permits 726,599 - - 726,599 566,561
Intergovernmental 1,380,063 25,678 37,042 968,403 2,411,186 1,255,395
Special assessments - 748,656 2,224,643 2,973,299 2,870,510
Charges for services 347,485 125,476 - 178,080 651,041 598,920
Fines and forfeits 102,489 - - 102,489 99,390
Investment earnings 137,410 2,830 70,563 908,818 1,119,621 712,851
Refunds and reimbursements 49,975 - - 30,663 80,638 195,711
Miscellaneous 73,454 167,127 240,581 552,695
Total revenue 5,722,363 153,984 1,134,323 5,139,483 12,150,153 10,290,137
Expenditures:
Current:
General government 1,512,560 44,661 955,063 2,512,284 2,415,733
Public safety 1,778,863 - 1,778,863 1,661,090
Public works 673,156 - - 673,156 764,592
Parks and recreation 547,058 116,508 663,566 581,830
Conservation of natural resources 561,160 - 561,160 -
Capital outlay:
General government 47,708 5,409 53,117 107,558
Public safety 35 - 153,335 153,370 199,256
Public works - - 70,727 70,727 518,047
Parks and recreation 175,670 2,955 134,935 313,560 136,464
Conservation of natural resources 32,586 - 32,586 -
Debt service:
Principal - 740,000 740,000 408,000
Interest and fiscal charges 497,653 30,129 527,782 473,398
Construction/acquisition - 12,468,230 12,468,230 2,983,749
Total expenditures 5,328,796 164,124 1,237,653 13,817,828 20,548,401 10,249,717
Revenue over (under) expenditures 393,567 (10,140) (103,330) (8,678,345) (8,398,248) 40,420
Other financing sources (uses):
Operating transfer in 9,428 419,000 1,884,492 2,312,920 272,000
Operating transfer out (26,669) - (2,123,492) (2,150,161) (272,000)
Bond proceeds - 665,959 11,140,041 11,806,000 1,171,020
Total other financing sources (uses) (26,669) 9,428 1,084,959 10,901,041 11,968,759 1,171,020
Net increase (decrease) in fund balance 366,898 (712) 981,629 2,222,696 3,570,511 1,211,440
Fund balance
Beginning of year, as previously stated 3,057,912 38,123 1,009,512 10,933,272 15,038,819 13,827,379
Prior period adjustment (13,478) (191) (1,923) (66,465) (82,057) -
Beginning of year, as restated 3,044,434 37,932 1,007,589 10,866,807 14,956,762 13,827,379
Residual equity transfer in - - - 815,507 815,507 846,211
Residual equity transfer out (815,507) (815,507) (846,211)
Fund balance - December 31 $3,411,332 $37,220 $1,989,218 $13,089,503 $18,527,273 $15,038,819
28
The accompanying notes are an integral part of these financial statements.
CITY OF LINO LAKES, MINNESOTA
COMBINED STATEMENT OF REVENUE, EXPENDITURES AND
- CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
GENERAL AND SPECIAL REVENUE FUND TYPES
For The Year Ended December 31, 1998
Statement 3
Special Revenue Fund -
General Program Recreation
Over Over
(Under) (Under)
Budget Actual Budget Budget Actual Budget
Revenue:
General property taxes $2,914,630 $2,904,888 ($9,742) $ $ - $ -
- Licenses and permits 683,820 726,599 42,779
Intergovernmental 1,343,451 1,380,063 36,612
Charges for services 370,650 347,485 (23,165) 68,021 123,871 55,850
Fines and forfeits 100,000 102,489 2,489 -
Investment earnings 65,000 137,410 72,410 1,370 2,830 1,460
Refunds and reimbursements 50,000 49,975 (25) -
Miscellaneous 116,386 73,454 (42,932)
Total revenue 5,643,937 5,722,363 78,426 69,391 126,701 57,310
Expenditures:
Current:
N omm
General government 1,594,975 1,512,560 (82,415) - -
Public safety 1,819,829 1,778,863 (40,966)
Public works 709,780 673,156 (36,624) -
Parks and recreation 555,862 547,058 (8,804) 54,431 116,508 62,077
Conservation of natural resources 583,840 561,160 (22,680)
Capital outlay:
- General government 44,092 47,708 3,616
Public safety 35 35
Parks and recreation 181,328 175,670 (5,658) 1,100 2,955 1,855
Conservation of natural resources 34,940 32,586 (2,354) - -
Total expenditures 5,524,646 5,328,796 (195,850) 55,531 119,463 63,932
Revenue over (under) expenditures 119,291 393,567 274,276 13,860 7,238 (6,622)
Other financing sources (uses):
Operating transfers to other funds (26,669) (26,669)
▪ Net increase (decrease) in fund balance $92,622 366,898 $274,276 $13,860 7,238 ($6,622)
IMmo
Fund balance
Beginning balance, as previously stated 3,057,912 30,148
- Prior period adjustment (13,478) (191)
Beginning balance, as restated 3,044,434 29,957
Nome
Fund balance - December 31 $3,411,332 $37,195
The accompanying notes are an integral part of these financial statements.
29
CITY OF LINO LAKES, MINNESOTA
COMBINED STATEMENT OF CASH FLOWS -
ALL PROPRIETARY FUND TYPES
For The Year Ended December 31, 1998
Statement 5
Enterprise Funds
1998 1997
Cash flows from operating activities:
Operating income (loss) $ 40,948 $ (22,779)
Adjustments to reconcile operating income (loss) to
net cash flows from operating activities:
Depreciation 374,868 365,976 —
Change in assets and liabilities:
Decrease (increase) in receivables 118,002 (79,610)
Decrease (increase) in prepaid items (3,233) (28,874)
Increase (decrease) in payables (181,222) (466,448)
Net cash flows from operating activities 349,363 (231,735)
Cash flows from noncapital financing activities:
Operating transfer from General Fund
Operating transfer to Capital Project Funds
Net cash flows from noncapital financing activities
17,241
(180,000)
(162,759)
Cash flows from capital and related financing activities:
Principal paid on revenue bonds (140,000) (50,000)
Collection of special assessments 35,245
Interest and paying agent fees on revenue bonds (225,182) (202,986)
Acquisition of fixed assets (78,933) (664,650)
Net cash flows from capital and related financing activities (408,870) (917,636)
Cash flows from investing activities:
Prior period adjustment to Fair Values
Investment earnings
Net cash flows from investing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents - January 1
Cash and cash equivalents - December 31
(5,875)
36,310 53,824
30,435 53,824
(191,831) (1,095,547)
900,497 1,996,044
$ 708,666 $ 900,497
Noncash investing, capital and financing activities:
- Water and Sewer lines in the amount of $3,357,813 and $52,301 were contributed to the Water and Sewer Fund in 1998
and 1997 respectively.
- The Water Fund contributed $655,283 in assets to the Sewer Fund in 1998. This transaction
was recorded as a residual equity transfer out of the Water Fund and an addition to contributed
capital in the Sewer Fund.
30
The accompanying notes are an integral part of these financial statements.
CITY OF LINO LAKES, MINNESOTA
COMBINED STATEMENT OF REVENUE, EXPENSES AND
CHANGES IN RETAINED EARNINGS - ALL PROPRIETARY FUND TYPES
For The Year Ended December 31, 1998
Statement 4
Enterprise Funds
1998 1997
Operating revenue:
▪ Water sales $519,505 $452,438
Sewer charges 668,779 602,349
Other operating revenue 117,413 60,136
Total operating revenue 1,305,697 1,114,923
Operating expenses:
Personal services 176,155 154,387
Materials and supplies 78,145 98,421
Contractual services 46,270 79,976
Repair and maintenance 180,012 42,731
MCES sewer charges 326,619 297,202
Depreciation:
Purchased assets 52,061 31,768
Contributed assets 322,807 334,208
Utilities 77,328 95,832
Other 5,352 3,177
Total operating expenses 1,264,749 1,137,702
Net income (loss) from operations 40,948 (22,779)
Other income (expense):
Investment earnings 36,310 53,824
Special assessments 566 329,405
_ Loss on disposal of assets (2,375) -
Bond interest (223,582) (229,375)
Paying agent fees (1,600) (525)
Total other income (expense) (190,681) 153,329
Net income (loss) before operating transfers
Operating transfers:
Operating transfer from General Fund
Operating transfer to Capital Project Fund
Total operating transfers
Net income (loss)
Credit arising from transfer of depreciation
▪ to contributions from property owners
Retained earnings
Beginning balance, as previously stated
Prior period adjustment
Beginning balance as restated
▪ Residual equity transfer to Sewer Fund
Retained earnings - December 31
(149,733) 130,550
17,241
(180,000)
(162,759)
(312,492) 130,550
322,807 334,208
1,492,588 1,027,830
(5,875) -
1,486,713 1,027,830
(655,283)
$ 841,745 $ 1,492,588
The accompanying notes are an integral part of these financial statements.
31
IIMmo
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Lino Lakes is a public corporation formed under Minnesota Statute 410. As such, the City is
under home rule charter regulations and applicable statutory guidelines.
The financial statements of the City of Lino Lakes have been prepared in conformity with generally accepted
accounting principles as applied to governmental units by the Governmental Accounting Standards Board
(GASB). The following is a summary of the significant accounting policies:
A. FINANCIAL REPORTING ENTITY
As required by generally accepted accounting principles, the financial statements of the reporting
entity include those of the City of Lino Lakes and its component units. A component unit is a legally
separate entity for which the primary government is financially accountable, or for which the
exclusion of the component unit would render the financial statements of the primary government
misleading. The criteria used to determine if the primary government is financially accountable for a
component include whether or not the primary government appoints the voting majority of the
potential component unit's board, is able to impose its will on the potential component unit, is in a
relationship of financial benefit or burden with the potential component unit, or is fiscally depended
upon by the potential component unit.
COMPONENT UNITS
In conformity with generally accepted accounting principles, the financial statements of component
units have been included in the financial reporting entity either as blended component units or as
discretely presented component units.
Blended Component Units.
The Economic Development Authority (EDA) of Lino Lakes is an entity legally separate from the
City. However, for financial reporting purposes, the EDA is reported as if it were part of the City's
operations because the members of the City Council serve as commission members. The EDA does
not issue separate financial statements.
Housing and Redevelopment Authority (HRA). The HRA of Lino Lakes is an entity legally separate
from the City. However, for financial reporting purposes, the HRA is reported as if it were part of the
City's operations because the members of the City Council serve as commission members. The HRA
has not yet incurred any financial activity.
B. FUND ACCOUNTING
The accounting system of the City is organized and operated on a fund basis. A fund is defined as a
fiscal and accounting entity with a self - balancing set of accounts recording cash and other financial
resources, together with all related liabilities and residual equities or balances, and changes therein,
which are segregated for the purpose of carrying on specific activities or attaining certain objectives
in accordance with special regulations, restrictions or limitations.
33
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
The following types of funds and account groups are employed by the City:
GOVERNMENTAL FUNDS
General Fund - to account for all financial resources except those required to be accounted
for in another fund.
Special Revenue Funds - to account for the proceeds of specific revenue sources that are
legally restricted to expenditures for specified purposes.
Debt Service Funds - to account for the accumulation of resources for, and the payment of,
general long -term debt principal, interest, and related costs.
Capital Project Funds - to account for financial resources to be used for the acquisition or
construction of major facilities other than those financed by Proprietary Funds.
PROPRIETARY FUNDS
Enterprise Funds - to account for operations: (a) that are financed and operated in a manner
similar to private business enterprises - where the intent of the governing body is that the
costs (expenses, including depreciation) of providing goods or services to the general public
on a continuing basis be financed or recovered primarily through user charges; or, (b) where
the governing body has decided that periodic determination of revenues earned, expenses
incurred, and/or net income is appropriate for capital maintenance, public policy,
management control, accountability, or other purposes.
FIDUCIARY FUNDS
Trust and Agency Funds - to account for assets held by a governmental unit in a trustee
capacity or as an agent for individuals, private organizations, other governmental units,
and/or other funds. These include (a) expendable trust funds, (b) nonexpendable trust funds,
(c) pension trust funds, and (d) agency funds.
ACCOUNT GROUPS
The governmental fund types are designed to account for the financial flow of a particular
fund; therefore, they generally include only current assets and current liabilities on their
balance sheets. The City maintains two account groups to account for noncurrent assets and
long -term liabilities as follows:
General Fixed Assets - The City maintains a separate account group which contains the fixed
assets used in the governmental fund type operations. They are assets of the City as a whole
and not of individual funds.
General Long -Term Debt - This account group contains the long -term obligations of the City
including general obligation bonds, certificates of indebtedness, contracts payable and
compensated absences payable. These long -term liabilities are expected to be financed by
the govemmental funds.
34
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C. BASIS OF ACCOUNTING
The accounting and reporting treatment applied to a fund is determined by its measurement focus.
All governmental funds are accounted for on a current financial resources measurement focus. This
means that only current assets and current liabilities are generally included on their balance sheets.
Governmental fund operating statements present increases (revenues and other financing sources) and
decreases (expenditures and other financing uses) in net current assets.
All Proprietary Funds are accounted for on a flow of economic resources measurement focus. This
means that all assets and all liabilities (whether current or noncurrent) associated with this activity
are included on their balance sheets. Their reported fund equity (net total assets) is segregated into
contributed capital and retained earnings components. Proprietary fund type operating statements
present increases (revenues) and decreases (expenses) in net total assets.
The modified accrual basis of accounting is followed by the City for its Governmental Funds and
Fiduciary- Agency Funds. Under this method of accounting, revenues are recognized when they
become susceptible to accrual - that is, when they become both measurable and available to finance
expenditures of the fiscal period. "Measurable" means the amount of the transaction can be
determined and "available" means collectible within the current period or soon enough thereafter to
be used to pay liabilities of the current period. Major revenue sources susceptible to accrual include
property taxes (excluding delinquent taxes received over 60 days after year end), special assessments,
intergovernmental revenues, charges for services and interest on investments. Major revenue sources
not susceptible to accrual include licenses and permits, fees, and miscellaneous revenues. Such
revenues are recorded as revenue when received because they are not measurable until collected.
Expenditures are generally recognized in the accounting period when the fund liability is incurred,
except for interest on general long -term debt which is recognized when due.
The accrual basis of accounting is followed for the Proprietary Funds. Under this method of
accounting, revenues are recognized during the accounting period in which they are earned and
become measurable and expenses are recognized in the accounting period in which they are incurred
if measurable. Governmental Accounting Standards Board (GASB) Statement #20, Accounting and
Financial Reporting for Proprietary Funds and Other Governmental Entities that Use Proprietary
Funds, provides proprietary activities with a choice of authoritative guidance issued after November
30, 1989. The City of Lino Lakes has elected to follow GASB pronouncements exclusively after that
date.
The City reports deferred revenue on its combined balance sheet. Deferred revenues arise when a
potential revenue does not meet both the "measurable" and "available" criteria for recognition in the
current period. Deferred revenues also arise when resources are received by the government before it
has a legal claim to them, as when grant monies are received prior to the incurrence of qualifying
expenditures. In subsequent periods, when both revenue recognition criteria are met, or when the
government has a legal claim to the resources, the liability for deferred revenue is removed from the
combined balance sheet and revenue is recognized.
The City has reported as deferred revenues the amount of $4,084,502, which consists of the following:
Oak Wilt Suppression/PERA Aid $9,284
Property taxes receivable 43,213
Special assessments receivable 4,032,005
Total $4,084,502
35
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. BUDGETS
Budgets are adopted on a basis consistent with generally accepted accounting principles. Annual
appropriated budgets are adopted for the General Fund and the Program Recreation Special Revenue
Fund.
Budgeted amounts are reported as originally adopted, or as amended by the City Council. Individual
amendments were not material in relation to the original appropriations which were adjusted.
Budgeted expenditure appropriations lapse at year end.
Encumbrance accounting, under which purchase orders, contracts, and other commitments for the
expenditure of monies are recorded in order to reserve that portion of the appropriation, is not
employed by the City because it is at present not considered necessary to assure effective budgetary
control or to facilitate effective cash management.
Reconciliation of Budgetary Basis to GAAP Basis
Governmental funds presented on Statement 3 are the General Fund and the Program Recreation
Special Revenue Fund. The following is a reconciliation of fund balances on a budgetary basis as
presented on Statement 3, to the GAAP basis as presented on Statement 2:
Special
Revenue
Funds
Governmental Fund:
Fund Balance — Budgetary Basis $ 37,195
Fund Balances — Non - Budgeted Funds 25
Fund Balances — GAAP Basis $ 37,220
E. LEGAL COMPLIANCE - BUDGETS
The City follows these procedures in establishing the budgetary data reflected in the financial
statements:
1. The City Administrator submits to the City Council a proposed operating budget (including
the General Fund and Program Recreation Special Revenue Fund) for the fiscal year
commencing the following January 1. The operating budget includes proposed expenditures
and the means of financing them.
2. Public hearings are conducted to obtain taxpayer comments.
3. The budget is legally enacted through passage of a resolution on a departmental basis and
can be expended by each department based upon detailed budget estimates for individual
expenditure accounts.
4. The City Administrator is authorized to transfer appropriations within any department
budget. Additional interdepartmental or interfund appropriations and deletions are or may
be authorized by the City Council with fund (contingency) reserves or additional revenues.
5. Formal budgetary integration is employed as a management control device during the year
for the General Fund.
36
Now
Inimw
ammo
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
6. Legal debt obligation indentures determine the appropriation level and debt service tax levies
for the Debt Service Funds. Supplementary budgets are adopted for the Proprietary Funds to
determine and calculate user charges. These debt service and budget amounts represent
general obligation bond indenture provisions and net income for operation and capital
maintenance and are not reflected in the financial statements.
7. A capital improvement program is reviewed periodically by the City Council for the Capital
Project Funds. However, appropriations for major projects are not adopted until the actual
bid award of the improvement. The appropriations are not reflected in the financial
statements.
8. Expenditures may not legally exceed budgeted appropriations at the total fund level.
Monitoring of budgets is maintained at the expenditure category level (i.e., personal services,
supplies; other services and charges; capital outlay) within each activity.
9. The City Council may authorize transfer of budgeted amounts between City funds.
F. CASH AND INVESTMENTS
Cash and investment balances from all funds are pooled and invested to the extent available in
investments authorized by Minnesota Statutes. Earnings from investments are allocated to individual
funds on the basis of the fund's equity in the cash and investment pool.
The City provides temporary advances to funds that have insufficient cash balances by means of an
advance from another fund shown as interfund receivables in the advancing fund, and an interfund
payable in the fund with the deficit, until adequate resources are received.
Investments are stated at fair value as of the balance sheet date. Interest earnings are accrued at the
balance sheet date.
For purposes of the statement of cash flows the Proprietary Fund considers all highly liquid
investments with a maturity of three months or less when purchased to be cash equivalents. All of the
cash and investments allocated to the proprietary fund types have original maturities of 90 days or
less. Therefore, the entire balance in such fund types is considered cash equivalents.
G. HOMESTEAD CREDIT AND AGRICULTURAL CREDIT AID (HACA)
Property taxes on homestead property (as defined by State Statutes) are partially reduced by HACA.
This credit is paid to the City by the State in lieu of taxes levied against homestead property. The
State remits this credit through installments each year. The credit is recognized as revenue by the
City at the time of collection.
H. LOCAL GOVERNMENT AID REVENUE RECOGNITION
Local government aid is provided to the City by the State as a shared tax based upon a statutory
formula and without restrictions. Payment from the State is generally received during each calendar
year for that calendar year. The City recognizes local government aid revenue when it becomes both
measurable and available to finance current operations. In practice, local government aid is
recognized as revenue as it is received in cash.
37
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
L PROPERTY TAX REVENUE RECOGNITION
The City Council annually adopts a tax levy and certifies it to the County in December
(levy /assessment date) of each year for collection in the following year. The County is responsible for
billing and collecting all property taxes for itself, the City, the local School District and other taxing
authorities. Such taxes become a lien on January 1 and are recorded as receivables by the City at that
date. Real property taxes are payable (by property owners) on May 15 and October 15 of each
calendar year. Personal property taxes are payable by taxpayers on February 28 and June 30 of each
year. These taxes are collected by the County and remitted to the City on or before July 15 and
December 15 of the same year. Delinquent collections for November and December are received the
following January. The City has no ability to enforce payment of property taxes by property owners.
The County possesses this authority.
The City recognizes property tax revenue when it becomes both measurable and available to finance
expenditures of the current period. In practice, current and delinquent taxes and State credits
received by the City in July, December and the following January are recognized as revenue for the
current year. Taxes and credits not received at the year end are classified as delinquent and due from
County taxes receivable. The portion of delinquent taxes not collected by the City in January is fully
offset by deferred revenue because it is not available to finance current expenditures.
The City's property tax revenue includes payments from the Metropolitan Revenue Distribution
(Fiscal Disparities Formula) per State Statute 473F. This statute provides a means of spreading a
portion of the taxable valuation of commercial/industrial real property to various taxing authorities
within the defined metropolitan area. The valuation "shared" is a portion of commercial/industrial
property valuation growth since 1971. Property taxes paid to the City through this formula for 1998
and 1997 totaled $498,572 and $422,449, respectively. Receipt of property taxes from this "fiscal
disparities pool" does not increase or decrease total tax revenue.
J. SPECIAL ASSESSMENT REVENUE RECOGNITION
Special assessments are levied against benefited properties for the cost or a portion of the cost of
special assessment improvement projects in accordance with State Statutes. These assessments are
collectible by the City over a term of years usually consistent with the term of the related bond issue.
Collection of annual installments (including interest) is handled by the County Auditor in the same
manner as property taxes. Property owners are allowed to (and often do) prepay future installments
without interest or prepayment penalties.
Revenue from special assessments is recognized by the City when it becomes measurable and
available to finance expenditures of the current fiscal period. In practice, current and delinquent
special assessments received by the City are recognized as revenue for the current year. Special
assessments are collected by the County and remitted by December 31 (remitted to the City the
following January) and are also recognized as revenue for the current year. All remaining delinquent,
deferred and special deferred assessments receivable in governmental funding are completely offset by
deferred revenues.
Once a special assessment roll is adopted, the amount attributed to each parcel is a lien upon that
property until full payment is made or the amount is determined to be excessive by the City Council
or court action. If special assessments are allowed to go delinquent, the property is subject to tax
forfeit sale and the first proceeds of that sale (after costs, penalties and expenses of sale) are remitted
to the City in payment of delinquent special assessments. Generally, the City will collect the full
amount of its special assessments not adjusted by City Council or court action. Pursuant to State
Statutes, a property shall be subject to a tax forfeit sale after three years unless it is homesteaded,
agricultural or seasonal recreational land in which event the property is subject to such sale after five
years.
38
Wm Imo
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (_CONTINUED)
K INVENTORIES
The original cost of materials and supplies has been recorded as expenditures/expenses at the time of
purchase of both the Governmental and Proprietary Funds. These funds do not maintain material
amounts of materials and supplies.
L. LAND HELD FOR RESALE
These assets are recorded in the governmental fund which purchased them at the lower of cost or
market.
M. Fixed Assets
GENERAL FIXED ASSETS
General fixed assets are recorded as expenditures of the Governmental Funds at the time of purchase.
Such assets are capitalized at historical cost or estimated historical cost in the General Fixed Asset
Account Group. Public Domain ( "infrastructure ") general fixed assets consisting of roads, bridges,
curbs, gutters, streets, sidewalks, drainage systems and lighting systems are excluded from general
fixed assets as these assets are immovable and of value only to the City. Gifts or contributions are
recorded in general fixed assets at fair market value at the time received. No depreciation has been
provided on general fixed assets.
PROPRIETARY FUNDS
Fixed assets of the Proprietary Funds are stated at historical cost, estimated historical cost, or in the
case of contributions, at fair market value at the time received. Depreciation has been provided using
the straight -line method over the estimated useful lives of assets, as follows:
Purchased Assets:
Water 5 -50 years
Sewer 5 -50 years
Contributed Assets:
Water 20 -50 years
Sewer 20 -50 years
Fixed assets of the water and sewer utility operations include the water distribution system and
sewage collection system. These systems have been wholly (or substantially) financed by non-
operating funds (special assessments, general taxes, federal and state grants, and other sources) and
contributed to the sewer and water operating funds. City policy is to finance these assets by the
sources indicated rather than by user charges. Accordingly, the water and sewer user rates are not
established at levels sufficient to cover depreciation on these assets.
Depreciation on these assets is shown in the operating statements; however, the depreciation is
eventually transferred against the contribution account rather than retained earnings in accordance
with generally accepted accounting principles. Consequently, the contribution account reflects the net
book value of contributed assets rather than the original cost of such assets.
39
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
N. COMPENSATED ABSENCES
It is the City's policy to permit employees to accumulate earned but unused vacation and sick pay
benefits. Amounts that are expected to be liquidated with expendable available financial resources
are reported as an expenditure and a fund liability of the governmental fund that will pay it. Amounts
that are not expected to be liquidated with expendable available financial resources are reported in the
General Long -Term Debt Account Group. No expenditure is reported for these amounts. An unpaid
vacation and severance pay is payable when used or upon termination of employment. In addition, an
amount is recorded for those individuals not eligible for retirement at December 31, 1998, but for
whom pay -out of the amount earned to that date is expected. In accordance with the provisions of
Statement of Government Accounting Standards No. 16, Accounting for Compensated Absences, a
liability is recorded for nonvesting accumulating rights to receive sick pay benefits. Sick leave is
payable when used and in some cases upon termination of employment. For several employees, sick
leave is payable upon retirement or termination in accordance with the terms of their employment
contracts. The remaining sick leave amounts are not recorded as liabilities because payment is not
probable.
O. LONG -TERM OBLIGATIONS
Long -term debt is recognized as a liability of a governmental fund when due, or when resources have
been accumulated in the Debt Service Fund for payment early in the following year. For other long-
term obligations, only that portion expected to be financed from expendable available financial
resources is reported as a fund liability of a governmental fund. The remaining portion of such
obligations is reported in the General Long -Term Debt Account Group. Long -term liabilities
expected to be financed from proprietary fund operations are accounted for in those funds.
P. FUND EQUITY
Contributed capital is recorded in Proprietary Funds that have received capital grants or contributions
from developers, customers or other funds. Reserves represent those portions of fund equity not
appropriable for expenditure or legally segregated for a specific future use. Designated fund balances
represent tentative plans for future use of financial resources.
Q. INTERFUND TRANSACTIONS
Quasi - external transactions are accounted for as revenues, expenditures or expenses. Transactions
that constitute reimbursements to a fund for expenditures/expenses initially made from it that are
properly applicable to another fund, are recorded as expenditures/expenses in the reimbursing fund
and as reductions of expenditures/expenses in the fund that is reimbursed.
All other interfund transactions, except quasi - external transactions and reimbursements, are reported
as transfers. Nonrecurring or nonroutine permanent transfers of equity are reported as residual equity
transfers. All other interfund transfers are reported as operating transfers.
40
Wow
ammo
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
R. MEMORANDUM ONLY - TOTAL COLUMNS
Total columns on the General Purpose Financial Statements are captioned "Memorandum Only" to
indicate that they are presented only to facilitate financial analysis. Data in these columns do not
present financial position, results of operations or changes in cash flows in conformity with generally
accepted accounting principles. Neither are such data comparable to a consolidation. Interfund
eliminations have not been made in the aggregation of this data.
S. ACCOUNTING CHANGE
The City has adopted Governmental Accounting Standards Board Statement No. 31, "Accounting and
Financial Reporting for Certain Investments and for External Investment Pools ". The cumulative
effect of applying Statement No. 31 has been reported as a restatement of beginning fund balance and
retained earnings for the current year. The following shows the cumulative effect on beginning fund
balance and retained earnings by fund type:
As Originally Cumulative
Reported Effect As Restated
General Fund $ 3,057,912 $13,478 $ 3,044,434
Special Revenue Funds 38,123 191 37,932
Debt Service Funds 1,009,512 1,923 1,007,589
Capital Project Funds 10,933,272 66,465 10,866,807
Enterprise Funds 1,492,588 5,875 1,486,713
Note 2 DEPOSITS AND INVESTMENTS
DEPOSITS
In accordance with Minnesota Statutes, the City maintains deposits at those depository banks authorized
by the City Council, all of which are members of the Federal Reserve System.
Minnesota Statutes require that all City deposits be protected by insurance, surety bond, or collateral. The
market value of collateral pledged must equal 110% of the deposits not covered by insurance or bonds
(140% in the case of mortgage notes pledged).
Authorized collateral includes the legal investments described below, as well as certain first mortgage
notes, and certain other state or local government obligations. Minnesota Statutes require that securities
pledged as collateral be held in safekeeping by the City Treasurer or in a financial institution other than
that furnishing the collateral.
At year -end, the carrying amount of the City's deposits was $140,306 and the bank balance was $100,502.
The entire bank balance was covered by Federal depository insurance or by collateral held by the City's
agent in the City's name.
41
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 2 DEPOSITS AND INVESTMENTS (CONTINUED)
INVESTMENTS
Minnesota Statutes authorize the City to invest in the following:
a) Direct obligations or obligations guaranteed by the United States or its agencies, its instrumentalities,
or organizations created by an act of congress, excluding mortgage - backed securities defined as high
risk.
b) Shares of investment companies registered under the Federal Investment Company Act of 1940 and
whose only investments are in securities described in (a) above, general obligation tax- exempt
securities, or repurchase or reverse repurchase agreements.
c) General obligations of the State of Minnesota or any of its municipalities.
d) Bankers acceptance of United States banks eligible for purchase by the Federal Reserve System.
e) Commercial paper issued by United States corporations or their Canadian subsidiaries, of the
highest quality, and maturing in 270 days or less.
f) Repurchase or reverse repurchase agreements with banks that are members of the Federal
Reserve System with capitalization exceeding $10,000,000; a primary reporting dealer in U.S.
government securities to the Federal Reserve Bank of New York; certain Minnesota securities
broker - dealers; or, a bank qualified as a depositor.
Cash and Investment balances as of December 31, 1998 are as follows:
Custodial Credit Risk Category
Securities Type 1 2 3 Fair Value
Commercial Paper $ 400,000 $ 400,000
U.S. Government & Agency Securities 14,632,870 14,632,870
Municipal bonds 840,634 840,634
Certificates of deposit 937,393 937,393
Totals $16,810,897 16,810,897
Investments not subject to categorization:
Mutual Funds 1,056,203
U.S. Government securities pooled investments 1,868,488
Money Market Funds 210,020
Total Investments 19,945,608
Deposits 140,306
Cash on Hand 760
Total Deposits, investments, and cash on hand $20,086,674
A reconciliation of cash and investments as shown on the combined balance sheet is as follows:
Cash and investments 14,630,585
Cash and investments with escrow agent 5,456,089
$20,086,674
42
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 2 DEPOSITS AND INVESTMENTS (CONTINUED)
• The City's investments are categorized above to give an indication of the level of custodial credit risk
assumed at year -end. Category 1 includes investments that are insured or registered or for which the
securities are held by the City or its agent in the City's name. Category 2 includes uninsured or
unregistered investments for which the securities are held by the counterparty's trust department or
agent in the City's name. Category 3 includes uninsured and unregistered investments for which the
securities are held by the counterparty or by its trust department or agent but not in the City's name.
Cash and investments with escrow agent consist of undisbursed proceeds of the Public Project Bonds
of 1990 and the Lease Revenue Bonds of 1998 which are restricted for the payment of debt associated
with the City's fire station and the payment for construction and capitalized interest costs of the Civic
Complex, respectively.
Note 3 FIXED ASSETS
A summary of changes in general fixed assets is as follows:
Balance
_ 1/1/98
$1,097,476
1,746,068
313,113
486,175
Land and improvements
Buildings
Equipment and furniture
Other
Vehicles
Machinery/shop equipment
Totals
A summary of Proprietary Fund fixed assets
MMINM
Buildings and structures
Machinery and equipment
Water and sewer lines
Total
Less: Accumulated depreciation
Net fixed assets
Immo
876,134
512,643
$5,028,609
Balance
Additions Deletions 12/31/98
$ - $ - $1,097,476
1,746,068
60,324 17,834 355,603
149,260 - 635,435
124,647 44,900 952,881
33,272 545,915
$ 367,503 $ 62,734 $5,333,378
at December 31, 1998 is as follows:
Water Sewer
$48,690 $
114,640
11,934,589
12,097,919
(1,114,439)
94,338
12,296,089
12,390,427
(1,437,967)
$10,983,480 $10,952,460
Total
$48,690
208,978
24,230,678
24,488,346
(2,552,406)
$21,935,940
43
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 4 CITY INDEBTEDNESS
The following is a schedule of changes in City indebtedness for the year ended December 31, 1998:
Balance Balance
1/1/98 Additions Deletions 12/31/98
General Long Term Debt Account Group:
Bonded debt:
General obligation $ 1,415,000 $ 5,637,734 $ 190,000 $ 6,862,734
Special assessment 7,455,000 6,310,000 550,000 13,215,000
Contracts for deed payable 946,020 - 946,020
Compensated absences payable - net 204,263 24,649 228,912
Total general long term debt 10,020,283 11,972,383 740,000 21,252,666
Proprietary Fund:
Revenue bond 4,215,000 140,000 4,075,000
Compensated absences -net 9,219 2,999 12,218
Total $14,244,502 $11,975,382 $ 880,000 $25,339,884
All long -term bonded indebtedness outstanding at December 31, 1998 is backed by the full faith and credit of
the City, including special assessment bond issues. Delinquent assessments receivable at December 31, 1998
totaled $12,019.
The annual requirement to amortize all debt outstanding at December 31, 1998 including interest payments of
$10,362,275 is as follows:
1999 2000 2001 2002 2003 and on Total
General Obligation Bonds $ 677,642 $ 569,051 $ 666,119 $ 562,094 $ 8,551,371 S 11,026,277
Special Assessment Bonds 1,534,328 1,475,573 1,831,673 1,767,348 11,016,102 17,625,024
Revenue Bonds 423,111 417,937 421,906 419,975 4,180,779 5,863,708
Total $ 2,635,081 $2,462,561 $ 2,919,698 $ 2,749,417 $ 23,748,252 S 34,515,009
It is not practicable to determine the specific year for payment of compensated absences payable. The
contracts for deed obligations do not include regular and scheduled payments (payments occur as land is sold)
and have been excluded from the above schedule of annual requirements to amortize debt.
44
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 4 CITY INDEBTEDNESS (CONTINUED)
City indebtedness at December 31, 1998 is composed of the following:
Final
Issue Maturity Interest Original Payable
Date Date Rste Issue 12/31/97
General Obligation Bonds:
1996 Equipment Certificates 2/1/96 12/31/99 6.00% 225,000 75,000
1997 Equipment Certificates 2/1/97 12/31/00 6.00% 225,000 150,000
1998 Equipment Certificates 2/1/98 12/31/01 6.00% 287,734 287,734
Public Project Revenue Bonds - 1990A 10/1/90 2/1/10 7.12% 1,115,000 1,000,000
Civic Complex Lease Revenue Bonds - 98A 8/1/98 2/1/19 5.27% 5,350,000 5,350,000
Total General Obligation Bonds 7,202,734 6,862,734
Special Assessment Bonds:
G.O. Improvement Refunding Bonds, 4/1/92 2/1/06 6.51% 3,640,000 2,520,000
Series 1992A
G.O. Improvement Refunding Bonds, 10/1/96 2/1/07 5.05% 4,685,000 4,385,000
Series 1996A
G.O. Improvement Refunding Bonds, 8/1/98 2/1/15 4.47% 4,310,000 4,310,000
Serie 1998A
G.O. Improvement Refunding Bonds, 8/1/98 2/1/15 4.81% 2,000,000 2,000,000
Series 1998B
Total Special Assessment Bonds 14,635,000 13,215,000
Revenue Bonds:
G.O. Water Revenue Bonds, 4/1/92 2/1/08 6.67% 1,060,000 840,000
Series 1992B
G.O. Water Revenue Bonds, 10/1/96 2/1/12 5.48% 3,320,000 3,235,000
Series 1996B
Total Revenue Bonds 4,380,000 4,075,000
Total - All Bonds 26,217,734 24,152,734
Contract for Deed Payable 4/30/97 2/1/02 8.00% 598,382 598,382
Contract for Deed Payable 12/1/97 12/1/02 8.00% 347,638 347,638
Compensated Absences Payable N/A 241,130
Total Indebtedness $ 27,163,754 $ 25,339,884
Description and Restrictions of Long -Term Debt
General Obligation Bonds — The bonds were issued for improvements or projects which benefited the City as a
whole and are, therefore, repaid from ad valorem levies.
Special Assessment Bonds — These bonds were issued to finance various improvements and will be repaid
primarily from special assessments levied on the properties benefiting from the improvements. However, some
issues are party financed by ad valorem levies.
45
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 4 CITY INDEBTEDNESS (CONTINUED)
Public Project Revenue Bonds and Civic Complex Lease Revenue Bonds — These bonds were issued by the
Economic Development Authority (EDA) of Lino Lakes for the purpose of financing the construction of public
facilities. Pursuant to Minnesota Statutes and a lease purchase contract between the EDA and the City of Lino
Lakes, a Trust Indenture between the EDA and a regional bank has been established for the purpose of
financing payment of these bonds. The City has pledged rental payments in amounts equal to the debt service
requirements and plans to annually appropriate City funds available for this purpose. As required by bond
covenant, a reserve account has been established with a trustee, which is to be used to pay principal and
interest on the bonds in the event that other available resources are inadequate to do so.
Through the transactions described above, the City (Primary Government) has, in substance, assumed the debt
service on the revenue bonds issued by the EDA. Therefore, the bonds have been included in the Primary
Government's General Long -Term Debt Account Group. Further, the lease payment made by the City will be
reflected as debt service principal and interest payments on the City's operating statements.
Contract for Deeds — Contracts for deed bearing interest at 8% interest were issued for the purchase of land for
the express purpose of resale. The contracts for deed will be repaid from the proceeds of land sales. One of the
contracts calls for monthly interest only payments with a balloon payment due in December of 2002. The
second contract calls for payments equal to $2.50 per square foot to be made as land is sold. Such payments
are then applied first to interest accrued since the last payment date and then to the principal balance.
Liability for Compensated Absences — This liability represents vested benefits earned by governmental fund
employees through the end of the year which will be paid or used in future periods. The liability for
Proprietary Fund employees is included in the accrued liabilities of those funds.
Note 5 LEGAL DEBT MARGIN
The City is subject to a statutory limitation by the State of Minnesota for bonded indebtedness payable
principally from property taxes. The City of Lino Lake's legal debt margin for 1998 and 1997 is computed as
follows:
1998 1997
Market value 687,417,400 627,423,800
Applicable percentage 2 % 2 %
Debt Limit 13,748,348 12,548,476
Amount of debt applicable to debt limit:
Total bonded debt 24,152,734 13,085,000
Less: Special assessment bonds (13,215,000) (7,455,000)
Public project revenue bonds (6,350,000) (1,040,000)
Cash and investment in Debt Service Funds (8,893) (4,417)
Revenue bonds (4,075,000) (4,215,000)
Total debt applicable to debt limit 503,841 370,583
46
Legal debt margin 13,244,507 12,177,893
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 6 DEFINED BENEFIT PENSION PLANS - STATEWIDE
A. PLAN DESCRIPTION
All full -time and certain part-time employees of the City of Lino Lakes are covered by defined benefit
plans administered by the Public Employees Retirement Association of Minnesota (PERA). PERA
administers the Public Employees Retirement Fund (PERF) and the Public Employees Police and Fire
Fund ( PEPFF) which are cost- sharing, multiple - employer retirement plans. These plans are
established and administered in accordance with Minnesota Statute, Chapters 353 and 356.
PERF members belong to either the Coordinated Plan or the Basic Plan. Coordinated Plan members
are covered by Social Security and Basic Plan members are not. All new members must participate
in the Coordinated Plan. All police officers, firefighters and peace officers who qualify for
membership by statute are covered by the PEPFF.
PERA provides retirement benefits as well as disability benefits to members, and benefits to survivors
upon death of eligible members. Benefits are established by State Statute, and vest after three years of
credited service. The defined retirement benefits are based on a member's highest average salary for
any five successive years of allowable service, age, and years of credit at termination of service.
Two methods are used to compute benefits for PERF's Coordinated and Baic Plan members. The
retiring member receives the higher of a step -rate benefit accrual formul;a (Method 1) or a level
accrual formula (Method 2). Under Method 1, the annuity accrual rate for a Basic Plan member who
retired before July 1, 1997 is 2 percent of average salary for each of the first 10 years of services and
2.5 percent for each remaining year. The annuity accrual rate for Basic members who retire on or
after July 1, 1997 is 2.2 percent of average salary for each of the first 10 years and 2.7 percent for
each remaining year. For a Coordinated Plan member who retierd before July 1, 1997, the annuity
accrual rate is 1 percent of avergae salary for each of the first 10 years and 1.5 percent for each
remaining year. For Coordinated members who retire on or after July 1, 1997, the annuity accrual
rate increases by 0.2 percent (to 1.2 percent of average salary for each of the first 10 years and 1.7
percent for each remaining year). Under Method 2, the annuity accrual rate is 2.5 percent of average
salary for Basic Plan members and 1.5 percent for Coordinated Plan members who retired before July
1, 1997. Annutiy accrual rates increase 0.2 percent for members who retire on or after July 1, 1997.
For PEPFF members, the annuity accrual rate is 2.65 percent for each year of service for members
retiring before July 1, 1997. Effective July 1, 1997, the annuity accrual reate is increased to 3.0
percent. For all PEPFF members and for PERF members whose annuity is calculated using Method
1, a full annuity is available when age plus years of service equal 90. A reduced retirement annuity is
also available to eligible members seeking early retirement.
There are different types of annuities available to members upon retirement. A normal annuity is a
lifetime annuity that ceases upon the death of the retiree - -no survivor annuity is payable. There are
also various types of joint and survivor annuity options available which will reduce the monthly
normal annuity amount, because the annuity is payable over joint lives. Members may also leave
their contributions in the fund upon termination of public service in order to qualify for a deferred
annuity at retirement age. Refunds of contributions are available at any time to members who leave
public service, but before retirement benefits begin.
The benefit provisions stated in the previous paragraphs of this section are current provisions and
apply to active plan participants. Vested, terminated employees who are entitled to benefits but are
not receiving them yet, are bound by the provisions in effect at the time they last terminated their
public service.
47
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 6 DEFINED BENEFIT PENSION PLANS — STATEWIDE (CONTINUED)
PERA issues a publicly available financial report that includes financial statements and required
supplementary information for PERF and PEPFF. That report may be obtained by writing to PERA,
514 St. Peter Street #200, St. Paul, Minnesota, 55102 or by calling (612)296 -7460 or 1- 800 -652-
9026.
B. FUNDING POLICY
Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. These
statutes are established and amended by the state legislature. The City makes annual contributions to
the pension plans equal to the amount required by state statutes. PERF Basic Plan members and
Coordinated Plan members are required to contribute 8.75% and 4.75 %, respectively, of their annual
covered salary. PEPFF members are required to contribute 7.60% of their annual covered salary.
The City of Lino Lakes is required to contribute the following percentages of annual covered payroll:
11.43% for Basic Plan PERF members, 5.18% for Coordinated Plan PERF members, and 11.40% for
PEPFF members. The City's contributions for the years ending June 30, 1998, 1997, and 1996 were
$183,662, $149,261, and $124,930, respectively, equal to the contractually required contributions for
each year as set by state statute.
Note 7 METROPOLITAN COUNCIL ENVIRONMENTAL SERVICES
During 1971, the Metropolitan Waste Control Commission (MWCC) was organized to provide for
consolidation of the sanitary sewer collection, treatment and disposal in the seven county metropolitan area
surrounding Minneapolis and St. Paul. Previously, these operations were maintained by the city governments
on an individual or collective basis. The MWCC merged with the Metropolitan Council during 1994 to form
Metropolitan Council Wastewater Services (MCWS) and is now called the Metropolitan Council
Environmental Services (MCES).
The MCES bills the City annually based upon estimated volume and budgeted costs. The City follows the
accounting policy of recognizing these charges as an expense of the sewer utility operation in the year for
which they are billed.
Note 8 RECONCILIATION OF CONTRIBUTED CAPITAL
Changes to contributed capital during the year are as follows:
Water
Sewer
Total
Beginning
Balance
5,935,664
8,564,111
14,499,775
Capital
Contributions
1,488,624
2,524,472
4,013,096
Depreciation
on Contributed
Assets
(126,168)
(196,639)
(322,807)
Ending
Balance
7,298,120
10,891,944
18,190,064
The capital contribution amounts shown above for the Sewer Fund includes $655,283 of assets contributed
from the Water Fund. The Water Fund shows this transaction as a residual equity transfer out.
48
Imo
Immo
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 9 SEGMENT INFORMATION
The City actively maintains two Enterprise Funds which provide water and sanitary sewer services. The Gas
Utility Fund has no activity in 1998 and was closed during 1998. Segment information for the year ended
December 31, 1998 is as follows:
Operating revenue
Depreciation expense
Operating income(loss)
Property, plant and
equipment additions
Capital Contributions
Net income (loss)
Operating transfers in (out)
Net property, plant
and equipment
Net working capital
Total assets
Bonds payable
Total equity
Water Sewer Gas Utility Totals
Utility Utility Fund 1998 1997
586,306 719,391 1,305,697 1,114,923
169,611 205,257 374,868 365,976
178,829 (137,881) 40,948 (22,779)
883,082
1,488,624
(124,654)
(90,000)
10,983,480
77,793
11,666,629
4,075,000
7,478,362
Note 10 DEFICIT FUND BALANCES
2,553,665
2,524,472
(202,704)
(90,000)
10,952,460
604,757
11,581,225
11,553,447
The City has deficit fund balances at December 31, 1998 as follows:
14,866
17,241
Fund Balance
Deficit
Capital Project Funds:
MSA Construction 326,767
1994 Construction 134,959
1997 Construction 388,427
Tax Increment Financing 1-6 34,053
Tax Increment Financing 1 -7 470,592
Tax Increment Financing 1 -8 4,951
Tax Increment Financing 1 -9 6,630
Tax Increment Financing 3 -1 357,679
3,436,747
4,013,096
(312,492)
(162,759)
21,935,940
682,550
23,247,854
4,075,000
19,031,809
660,701
52,301
130,550
18,876,437
973,363
20,529,630
4,215,000
15,992,363
The City intends to fund these deficits through future tax levies, tax increments, transfers from other funds,
and various other sources.
49
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 11 CONTINGENCIES
Litigation - The City attorney has indicated that existing and pending lawsuits, claims and other actions in
which the City is a defendant are either covered by insurance; of an immaterial amount; or, in the judgment of
the City attorney, remotely recoverable by plaintiffs.
Federal and State Funds - The City receives financial assistance from fbderal and state governmental agencies
in the form of grants. The disbursement of funds received under these programs generally requires
compliance with the terms and conditions specified in the grant agreements and is subject to audit by the
grantor agencies. Any disallowed claims resulting from such audits could become a liability of the applicable
fund. However, in the opinion of management, any such disallowed claims will not have a material effect on
any of the financial statements of the individual fund types included herein or on the overall financial position
of the City at December 31, 1998.
Note 12 DEFERRED AD VALOREM TAX LEVIES - BONDED DEBT
General Obligation bond issues sold by the City are financed by ad valorem tax levies and special assessment
bond issues sold by the City are partially financed by ad valorem tax levies in addition to special assessments
levied against the benefiting properties. When a bond issue to be financed partially or completely by ad
valorem tax levies is sold, specific annual amounts of such tax levies are stated in the bond resolution and the
County Auditor is notified and instructed to levy these taxes over the appropriate years. The future tax levies
are subject to cancellation when and if the City has provided alternative sources of financing. The City
Council is required to levy any additional taxes found necessary for full payment of principal and interest.
These future scheduled tax levies are not shown as assets in the accompanying financial statements at
December 31, 1998 and 1997.
Future scheduled tax levies for all bonds outstanding at December 31, 1998 totaled $14,816,731.
50
INNEN
Nam
law
NNW
Immo
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 13 DESIGNATIONS AND RESERVATIONS OF FUND EQUITY
At December 31, 1998 and 1997 the City had designated and reserved portions of its various fund equities
through legal restriction and City Council authorization. Major fund equity appropriations at December 31,
1998 and 1997 are shown on the various balance sheets as segregations of the fund equity. A summary of such
designations is as follows:
December 31,
1998 1997
General Fund:
Reserve for prepaid items $ 98,453 $ 99,820
Designated for general contingencies 761,335 729,915
Designated for cash flow reserve 1,696,600 1,718,428
Designated for employee benefits 214,857 202,445
Designated state aid reductions 250,000 -
Designated for special programs 390,087 307,304
Special Revenue Fund:
Reserve for prepaid items 264 323
Designated for recreation programs 36,956 29,854
Designated for CDBG programs 7,946
Debt Service Funds:
Reserved for debt retirement 1,989,218 1,009,512
Capital Project Funds:
Reserved for prepaid items 949 2,318
Reserved for land held for resale 989,506 989,506
Designated for capital improvements 13,802,691 10,644,145
Designated for equipment acquisition 33,664 -
Designated for park improvements 293,383 309,982
Totals $ 20,557,963 $ 16,051,498
51
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 14 SHARE IN GAS FRANCHISE PROFITS
The City receives a share of the gross billing for natural gas sales by a neighboring City which provides
service within the City of Lino Lakes. The amount reported as revenue in the General Fund for 1998 and
1997, totaled $37,233 and $42,495, respectively.
Note 15 INTERFUND RECEIVABLE AND PAYABLES
Individual fund receivable and payable balances at December 31, 1998 are as follows:
Fund
Special Revenue Funds:
Community Development Block Grant
Debt Service Funds:
Lease Revenue Bonds of 1998A
Capital Project Funds:
Area and Unit Charge
MSA Construction
1994 Construction
1997 Construction
Town Center Project
Civic Center Project
Tax Increment Financing District 1 -6
Tax Increment Financing District 1 -7
Tax Increment Financing District 1 -8
Tax Increment Financing District 1 -9
Tax Increment Financing District 3 -1
Agency Fund:
Investments Fund
52
Receivable
$3,205,002
$3,205,002
Payable
$ 1,224
3,254
245,730
124,969
306,784
750,357
748,555
33,763
470,977
4,205
8,250
358,396
148,538
$3,205,002
loom
Wow
WINN
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 16 RISK MANAGEMENT
The City is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors
and omissions; injuries to employees; and natural disasters.
Workers compensation coverage is provided through a pooled self - insurance program through the League of
Minnesota Cities Insurance Trust (LMCIT). The City pays an annual premium to LMCIT. The City is subject
to supplemental assessments if deemed necessary by the LMCIT. The LMCIT reinsures through Workers
Compensation Reinsurance Association (WCRA) as required by law. For workers compensation, the City is
not subject to a deductible. The City's workers compensation coverage is retrospectively rated. With this type
of coverage, final premiums are determined after loss experience is known. The amount of premium
adjustment, if any, is considered immaterial and not recorded until received or paid.
Property and casualty insurance is provided through a pooled self - insurance program through the LMCIT.
The City pays an annual premium to the LMCIT. The City is subject to supplemental assessments if deemed
necessary by the LMCIT. The LMCIT reinsures through commercial companies for claims in excess of
various amounts. The City retains risk for the deductible portion of the insurance policies and for any
exclusions from the insurance policies. These amounts are considered immaterial to the financial statements.
The City continues to carry commercial insurance for all other risks of loss, including disability and employee
health insurance.
There were no significant reductions in insurance from the previous year or settlements in excess of insurance
coverage for any of the past three fiscal years.
Note 17 COMMITTED CONTRACTS
At December 31, 1998, the City had the following commitments for uncompleted construction contracts:
Fund / Project Amount
Area and Unit Fund
4"' Avenue Trunk $ 4,048
Lilac Street Trunk 11,235
MSA Construction Fund
Ware Road 29,456
Sealcoating and Wearcourse Fund
98 Wearcourse 35,652
Civic Complex Fund
Civic Complex 2,228,528
1997 Construction Fund
Otter Lake Road Realignment 583,907
1998 Construction Fund
Lake Drive Trunk Utilities 432,821
Lake's Addition Road Construction 82,534
53
CITY OF LINO LAKES, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
Note 18 LEASE COMMITMENT
The City of Lino Lakes entered into a lease agreement dated December 8, 1997 whereby the City constructed a
facility on property it already owned. Upon completion, this facility was leased to the Independent School
District No. 12 (ISD 12), the tenant, in January 1999 and will continue until June 30, 2009. The tenant's
payments are $110 per square foot per year for a total of $1,200,000 over the term of the lease. The schedule
of remaining payments is as follows:
1999 $ 112,500
2000 112,500
2001 112,500
2002 112,500
2003 112,500
thereafter 637,500
$1,200,000
Note 19 CONDUIT DEBT OBLIGATIONS
The City has issued Industrial Development Revenue Bonds to provide financial assistance to private- sector
entities for the acquisition and construction of industrial and commercial facilities which are deemed to be in
the public interest. The bonds are secured by the property financed and are payable solely from payments on
the underlying mortgage loans. Upon repayment of the bonds, ownership of the acquired facilities transfers to
the private sector entity served by the bond issue. The City is not obligated in any manner for the repayment
of the bonds. Accordingly, the bonds are not reported as liabilities in the accompanying financial statements.
As of December 31, 1998, two series of Industrial Revenue Bonds were outstanding with aggregate remaining
principal balances of $5,600,000 and $2,910,000, respectively.
Note 20 JOINT FIRE VENTURE
The Centennial Fire District (the District) was established under a joint powers agreement between the City of
Lino Lakes and two other cities. The general purpose of the District is to provide fire protection services
including, but not limited to, fire prevention, firefighting and rescue service. Each member city is entitled to
appoint two commissioners to the District's Board.
Each calendar year each participating city shall pay to the District its share of the total operating and capital
budget in accordance with a funding formula contained in Section VII of the joint powers agreement. The
funding formula takes into account each city's average number of calls, population, and total market value.
During 1998, the City of Lino Lakes' contributions to the District were as follows:
Operating $ 271,847
Capital 64,700
$ 336,547
Separate financial statements of the District can be obtained by contacting the District.
The unaudited condensed financial statements of the District as of December 31, 1997 (1998 information is
not yet available) are as follows:
Total assets $ 1,182,387
Total liabilities 6,230
Total equity 1,176,157
Total operating revenue 512,425
Total operating expenses 348,891
54
REQUIRED SUPPLEMENTARY INFORMATION
55
law
Immo
CITY OF LINO LAKES, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
Year 2000 Information
December 31, 1998
The City of Lino Lakes is currently addressing year 2000 issues relating to its computer systems and other
electronic equipment. The year 2000 issue refers to the fact that many computer programs use only the last
two digits to refer to a year. Therefore, both 1900 and 2000 would be referred to as "00 ". Computer programs
have to be adjusted to recognize the difference between those two years or the programs will fail or create
errors. Also, some programs may not be able to recognize that 2000 is a leap year. Further, the year 2000
issue could affect electronic equipment containing computer chips that have date recognition features.
The City of Lino Lakes has designated a Y2K coordinator in conformance with League of Minnesota Cities
requirements. The coordinator has met with representatives of the various departments serving the city
including sewer and water, streets, police and fire to identify potential areas of concern.
The Coordinator has indicated that the major systems involved m each of these areas are currently Y2K
compatible to the degree that ongoing city services will not be significantly disrupted due to the Y2K problem.
The City has expended approximately $45,000 (not including internal staff time) associated with fixing Year
2000 issues to date. The City estimates future expenditures of approximately $30,000. The City has not
incurred any losses because of the Year 2000 issue.
Due to the unprecedented nature of the year 2000 issue, its effects and the success of related remediation efforts
will not be fully determined until the year 2000 and after, management cannot assure that the City of Lino
Lakes is or will be year 2000 ready, that the City's remediation efforts will be successful m whole or in part, or
that parties with whom the City does business will be year 2000 ready.
57
COMBINING, INDIVIDUAL FUND AND
ACCOUNT GROUP
FINANCIAL STATEMENTS
59
GENERAL FUND
The General fund accounts for all financial resources except those required to be accounted for in another
fund.
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND
BALANCE SHEET
December 31, 1998
With Comparative Amounts At December 31, 1997
Statement 6
1998 1997
Assets
Cash and investments $3,309,600 $3,045,734
Accounts receivable 117,499 66,353
Due from other governmental units 327,379 95,782
▪ Taxes receivable:
Delinquent 27,114 29,500
Due from County 94,655 33,994
• Prepaid items 98,453 99,820
Total assets $3,974,700 $3,371,183
Liabilities and Fund Balance
Liabilities:
Accounts payable $441,148 $197,612
Salaries payable 81,569 67,716
Due to other governmental units 4,253 12,564
Deferred revenue 36,398 35,379
Total liabilities 563,368 313,271
Fund balance:
Reserved for prepaid items
Unreserved:
Designated for general contingencies
Designated for cash flow reserve
Designated for employee benefits
Designated for state aid reductions
Designated for special programs
Total fund balance
Total liabilities and fund balance
98,453 99,820
761,335 729,915
1,696,600 1,718,428
214,857 202,445
250,000 -
390,087 307,304
3,411,332 3,057,912
$3,974,700 $3,371,183
63
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 1998
With Comparative Actual Amounts For The Year Ended December 31, 1997
Statement 7
Page 1 of 6
1998
Over (Under)
Budget Actual Budget
1997
Actual
Revenue:
General property taxes:
Current and delinquent $2,447,850 $2,446,468 ($1,382) $2,260,693
Fiscal disparities 454,780 454,788 8 381,843
Excess tax increments 12,000 3,632 (8,368) 15,949
Total general property taxes 2,914,630 2,904,888 (9,742) 2,658,485
Licenses and permits:
Non - business 660,850 700,461 39,611 544,107
Business 22,970 26,138 3,168 22,454
Total licenses and permits 683,820 726,599 42,779 566,561
Intergovernmental:
Federal:
Other 476,407 510,044 33,637 94,813
State:
Local government aid 144,100 144,095 (5) 150,167
Local performance aid 18,230 18,233 3 14,767
Homestead credit 384,900 384,752 (148) 381,338
Mobile home homestead credit - 3,446 3,446 3,438
Police state aid 119,134 97,920 (21,214) 66,058
Police - other - - 20,182
MSA maintenance 105,000 132,788 27,788 108,886
Other 19,480 10,031 (9,449) 7,810
County/Regional:
Solid waste 34,000 34,120 120 33,970
Other 42,200 44,634 2,434 30
Total intergovernmental 1,343,451 1,380,063 36,612 881,459
Charges for services:
General government 7,500 4,832 (2,668) 9,102
Planning /engineering 90,000 30,931 (59,069) 76,394
Recreation 400 7,000 6,600 100
Fees retained from collection for
other governments - SAC /surcharge 4,000 3,906 (94) 2,788
Administrative charge - other funds 187,800 202,774 14,974 125,287
Aerial map charge - other funds 15,000 6,750 (8,250) 12,790
Public safety 65,950 91,292 25,342 64,629
Total charges for services 370,650 347,485 (23,165) 291,090
Fines and forfeits 100,000 102,489 2,489 99,390
Investment earnings 65,000 137,410 72,410 108,212
Refunds and reimbursements 50,000 49,975 (25) 54,688
Miscellaneous:
Gas franchise fees 40,000 37,233 (2,767) 42,495
Cable TV 15,590 19,711 4,121 17,926
Sale of property 10,000 7,321 (2,679) 14,125
Donations 5,000 9,189 4,189 4,579
Other 45,796 (45,796) 10,964
Total miscellaneous 116,386 73,454 (42,932) 90,089
Total revenue 5,643,937 5,722,363 78,426 4,749,974
64
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 1998
With Comparative Actual Amounts For The Year Ended December 31, 1997
Statement 7
Page 2 of 6
1998
Over (Under) 1997
Budget Actual Budget Actual
Expenditures:
General government:
-
Mayor and council:
Current
Personal services $33,730 $32,646 ($1,084) $25,458
-
Supplies 200 965 765 382
Other services and charges 29,700 26,661 (3,039) 34,776
Contractual Services 6,000 6,335 335 6,160
- Total mayor and council 69,630 66,607 (3,023) 66,776
Elections:
Current
- Personal services 12,210 10,794 (1,416) 3,672
Supplies 300 166 (134) 2,657
Other services and charges 480 288 (192) 538
Capital outlay - 871
-
Total elections 12,990 11,248 (1,742) 7,738
Administration:
Current
- Personal services 326,960 323,086 (3,874) 252,250
Supplies 2,250 3,095 845 1,133
Other services and charges 73,500 80,528 7,028 40,674
Contractual Services 43,025 38,630 (4,395) 149
Capital outlay - 1,373
Total administration 445,735 445,339 (396) 295,579
Finance:
Current
Personal services 133,865 131,109 (2,756) 130,485
Supplies 1,900 1,919 19 2,287
Other services and charges 50,430 47,564 (2,866) 28,770
Contractual Services 55,093 55,435 342 50,433
Capital outlay 44,092 44,091 (1) 309
Total finance 285,380 280,118 (5,262) 212,284
Cable TV:
Current
Personal services 2,330 2,281 (49) 2,004
-
Supplies 1,135 555 (580) 44
Capital outlay 380 380 21,627
Total cable TV 3,465 3,216 (249) 23,675
Consultants:
Current
Legal 145,000 130,689 (14,311) 123,031
65
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 1998
With Comparative Actual Amounts For The Year Ended December 31, 1997
66
Statement 7
Page 3 of 6
1998
Over (Under) 1997
General government: (continued) Budget Actual Budget Actual
Economic Development:
Current
Personal services $183,852 $181,792 ($2,060) $162,697
Supplies 1,000 3,710 2,710 2,224
Other services and charges 87,400 81,715 (5,685) 40,482
Contractual services 35,000 38,674 3,674 38,322
Capital outlay 750 1,347 597 512
Total economic development 308,002 307,238 (764) 244,237
Planning and zoning commission:
Current
Supplies 48 48
Other services and charges 7,440 4,139 (3,301) 4,354
Contractual services 2,500 1,577 (923) 2,966
Total planning and zoning commission 9,940 5,764 (4,176) 7,320
Engineering /planning:
Current
Personal services 93,390 92,583 (807) 140,247
Supplies 1,100 1,627 527 1,287
Other services and charges 50,185 48,468 (1,717) 16,094
Contractual services 25,050 25,036 (14) 43,074
Capital outlay - 1,209
Total engineering /planning 169,725 167,714 (2,011) 201,911
Charter commission:
Current
Supplies 350 35 (315) 14
Other services and charges 6,360 855 (5,505) 2,030
Total charter commission 6,710 890 (5,820) 2,044
General government buildings:
Current
Personal services 8,160 4,204 (3,956) 2,866
Supplies 27,430 17,883 (9,547) 20,995
Other services and charges 116,900 97,897 (19,003) 109,388
Contractual services 30,000 19,571 (10,429) 20,123
Capital outlay - 1,890 1,890 28,635
Total general government buildings 182,490 141,445 (41,045) 182,007
Total general government 1,639,067 1,560,268 (78,799) 1,366,602
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND
- STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 1998
With Comparative Actual Amounts For The Year Ended December 31, 1997
Statement 7
Page 4 of 6
1998
Over (Under)
Budget Actual Budget
Public safety:
Police:
1997
Actual
Current
Personal services $1,239,874 $1,198,819 ($41,055) $1,100,602
Supplies 22,200 24,496 2,296 22,387
- Other services and charges 88,220 87,612 (608) 84,557
Contractual services 20,000 19,928 (72) 22,064
Capital outlay 35 35 87,811
Total police 1,370,294 1,330,890 (39,404) 1,317,421
Fire protection:
Current
Contractual services 271,850 271,847 (3) 275,368
Building inspection:
Current
Personal services 134,475 132,624 (1.851) 116,070
Supplies 1,100 1,528 428 1,621
Other services and charges 5,910 2,453 (3,457) 3,817
Contractual services 36,200 39,556 3,356 34,604
Capital outlay - 2,325
Total building inspection 177,685 176,161 (1,524) 158,437
Total public safety 1,819,829 1,778,898 (40,931) 1,75 1,226
Public works:
Streets:
Current
Personal services 261,870 249,010 (12,860) 238,122
Supplies 17,700 19,104 1,404 4,088
- Other services and charges 64,130 52,481 (11,649) 65,033
Contractual services 175,760 168,425 (7,335) 182,533
Capital outlay - - 24,272
Total streets 519,460 489,020 (30,440) 514,048
Fleet:
Current
Personal services 68,950 66,653 (2,297) 60,186
Supplies 113,210 103,970 (9,240) 114,999
Other services and charges 8,160 13,513 5,353 8,701
Total fleet 190,320 184,136 (6,184) 183,886
Total public works
709,780 673,156
(36,624) 697,934
67
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 1998
With Comparative Actual Amounts For The Year Ended December 31, 1997
68
Statement 7
Page 5 of 6
1998
Over (Under)
Budget Actual Budget
1997
Actual
Parks and recreation:
Parks:
Current
Personal services $329,712 $329,559 ($153) $234,541
Supplies 34,680 34,876 196 35,507
Other services and charges 53,240 58,386 5,146 50,046
Contractual services 10,850 3,525 (7,325) 809
Capital outlay 181,328 175,670 (5,658) 9,546
Total parks 609,810 602,016 (7,794) 330,449
Recreation:
Current
Personal services 96,850 98,166 1,316 81,972
Supplies 5,000 4,323 (677) 5,554
Other services and charges 20,630 14,135 (6,495) 15,172
Contractual services 4,900 4,088 (812) 5,104
Capital outlay - _ - 1,012
Total recreation 127,380 120,712 (6,668) 108,814
Total parks and recreation
737,190 722,728
(14,462) 439,263
Conservation of natural resources:
Forestry:
Current
Personal services 32,880 36,376 3,496 59,757
Supplies 2,510 930 (1,580) 1,495
Other services and charges 4,330 5,372 1,042 5,562
Contractual services 3,000 3,138 138 2,647
Capital outlay 28,140 28,120 (20) 17,519
Total forestry 70,860 73,936 3,076 86,980
Storm damage cleanup
Current
Personal services 28,576 28,776 200
Supplies 400 400
Other services and charges 29,770 29,770
Contractual services 389,644 389,436 (208)
Total storm damage cleanup 448,390 448,382 (8)
Environmental:
Current
Personal services 32,880 29,526 (3,354)
Supplies 2,860 353 (2,507)
Other services and charges 3,620 2,727 (893)
Contractual services 30,000 17,998 (12,002)
Total environmental 69,360 50,604 (18,756)
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
- For The Year Ended December 31, 1998
With Comparative Actual Amounts For The Year Ended December 31, 1997
Statement 7
Page 6 of 6
1998
Over (Under)
Budget Actual Budget
Conservation of natural resources: (continued)
1997
Actual
Solid waste abatement:
Current
Personal services 3,230 1,611 (1,619) 30,214
— Supplies 1,000 247 (753) 1,033
Other services and charges 8,140 5,441 (2,699) 11,896
Contractual services 11,000 9,059 (1,941) 10,214
Capital outlay 6,800 4,466 (2,334) 4,725
Total solid waste abatement 30,170 20,824 (9,346) 58,082
Total conservation of natural resources 618,780 593,746 (25,034) 145,062
Total expenditures 5,524,646 5,328,796 (195,850) 4,400,087
Revenue over expenditures 119,291 393,567 274,276 349,887
Other financing sources (uses):
- Operating transfer to Special Revenue Fund (9,428) (9,428) -
Operating transfer to Capital Project Funds - - (15.000)
Operating transfer to Enterprise Fund (17,241) (17,241) - -
Total other financing sources (uses) (26,669) (26,669) (15,000)
Net increase in fund balance $92,622 366,898 $274,276 334,887
Fund Balance
Beginning of year, as previously stated 3,057,912 2,723,025
Prior period adjustment (13,478)
Beginning of year, as restated 3,044,434 2,723,025
Fund balance - December 31 $3,411,332 $3,057,912
69
IMMO
Ilmo
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for the proceeds of specific revenue sources that are
legally restricted to expenditures for particular purposes. The City maintained the following
Special Revenue Funds during the year.
Economic Development Authority - established to account for the receipt and uses of
funds for economic purposes.
Community Development Block Grant - to account for the financial activity related to
projects funded by CDBG programs.
Program Recreation - established to account for various self - supporting recreational
programs.
71
CITY OF LINO LAKES, MINNESOTA
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
December 31, 1998
With Comparative Totals For December 31, 1997
Statement 8
Economic Community
Development Development Program Totals
Authority Block Grant Recreation 1998 1997
Assets
Cash and investments $409 $ - $40,715 $41,124 $32,712
Due from other governments 2,314 - 2,314 15,812
Prepaid items 25 239 264 323
Total assets $409 $2,339 $40,954 $43,702 $48,847
Liabilities and Fund Balance
Liabilities:
Interfund payable $ - $1,224 $ - $1,224 $6,282
Accounts payable 29 620 1,960 2,609 3,823
Salaries payable 380 470 1,799 2,649 619
Total liabilities 409 2,314 3,759 6,482 10,724
Fund balance:
Reserved for prepaid items 25 239 264 323
Unreserved:
Designated for recreation programs - 36,956 36,956 29,854
Designated for CDBG programs - - 7,946
Total fund balance 0 25 37,195 37,220 38,123
Total liabilities and fund balance
72
$409 $2,339 $40,954 $43,702 $48,847
CITY OF LINO LAKES, MINNESOTA
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE
For The Year Ended December 31, 1998
With Comparative Totals For The Year Ended December 31, 1997
Statement 9
Economic Community
Development Development Program Totals
Authority Block Grant Recreation 1998 1997
Revenue:
Intergovernmental:
Federal:
CDBG $ $25,678 $ - $25,678 $44,469
Charges for services:
Recreation fees 123,871 123,871 93,081
Administrative charge - other funds 1,605 1,605 1,107
Investment earnings 2,830 2,830 1,538
Total revenues 1,605 25,678 126,701 153,984 140,195
Expenditures:
General government:
Current:
Personal services
Other services and charges
Contractual services
Parks, recreation and forestry:
Current:
Personal services
Supplies
Other services and charges
Contractual services
Capital outlay
Total expenditures
Revenue over (under) expenditures
_ Other fmancing sources (uses):
Operating transfer from General Fund
Net increase (decrease) in fund balance
Fund balance
Beginning of year, as previously stated
Prior period adjustment
Beginning of year, as restated
- Fund balance - December 31
1,605 18,588 20,193 17,326
543 - 543 1,131
23,925 23,925 19,688
58,583 58,583 42,960
56,224 56,224 38,366
1,466 1,466 1,129
235 235 1,209
2,955 2,955 17,741
1,605 43,056 119,463 164,124 139,550
(17,378) 7,238 (10,140) 645
9,428 9,428 15,000
(7,950) 7,238 (712) 15,645
7,975 30,148 38,123 22,478
(191) (191)
7,975 29,957 37,932 22,478
$0 $25 $37,195 $37,220 $38,123
73
CITY OF LINO LAKES, MINNESOTA
SPECIAL REVENUE FUND - PROGRAM RECREATION
STATEMENT OF REVENUE, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 1998
With Comparative Actual Amounts For The Year Ended December 31, 1997
Statement 10
1998
Over
(Under) 1997
Budget Actual Budget Actual
Revenue
Charges for services:
Recreation Fees $68,021 $123,871 $55,850 $93,081
Investment earnings 1,370 2,830 1,460 1,538
Total revenue 69,391 126,701 57,310 94,619
Expenditures:
Current:
Personal services 26,500 58,583 32,083 42,960
Supplies 26,400 56,224 29,824 38,366
Other services and charges 1,331 1,466 135 1,129
Contractual services 200 235 35 1,209
Capital outlay 1,100 2,955 1,855 3,119
Total expenditures 55,531 119,463 63,932 86,783
Net increase (decrease) in fund balance $13,860 7,238 ($6,622) 7,836
Fund balance (deficit)
Beginning of year, as previously stated 30,148 22,312
Prior period adjustment (191)
Beginning of year, as restated 29,957 22,312
Fund balance - December 31
74
$37,195 $30,148
DEBT SERVICE FUNDS
The Debt Service Funds account for the accumulation of resources for, and the payment of,
interest, principal and related costs on general long -term debt.
The City's Debt Service Funds account for two types of bonded indebtedness:
• General Debt Bonds - are repaid primarily from property taxes.
• Improvement Bonds - are repaid primarily from special assessments.
• Public Facility Lease Revenue Bonds - are repaid primarily from lease
revenues received from the EDA leasing the buildings to the City of Lino Lakes
and other tenants.
CITY OF LINO LAKES, MINNESOTA
DEBT SERVICE FUNDS
COMBINING BALANCE SHEET
December 31, 1998
With Comparative Totals For December 31, 1997
Assets
Cash and investments
Cash and investments
with escrow agent
Taxes receivable:
Delinquent
Due from County
Special assessments receivable:
Delinquent
Deferred
Due from County
Improvement Improvement Improvement
Bonds of Bonds of Bonds of
1992A 1996A 1998A
$22,329
230
54,747 1,282,012
888 44,018
$931,133 $262,956
Total assets $78,194
Liabilities and Fund Balance
8,427
$2,257,163 $271,383
Liabilities:
Interfund payable $ $ - $ -
Accounts payable
Deferred revenue 54,977 1,282,012 8,427
Total liabilities 54,977 1,282,012 8,427
Fund balance
Reserved for debt retirement
76
23,217 975,151 262,956
Total liabilities and fund balance $78,194 $2,257,163 $271,383
Statement 11
1996 1997 Public Project Lease
-
Improvement Certificates Certificates Revenue Revenue
Bonds of of of Bonds Bonds Totals
1998B Indebtedness Indebtedness of 1990A of 1998A 1998
IMEw
1997
$649 $5,023 $3,870 $120,815 $ - $1,346,775 $910,323
101,903 490,012 591,915 97,047
745 831 1,084 - 2,660 2,228
2,429 2,861 3,586 8,876 2,405
230 691
1,345,186 1,891,358
44,906
$649 $8,197 $7,562 $227,388 $490,012 $3,340,548 $2,904,052
$ - $ $ $3,254 $3,254 $ -
263
745 831 1,084 1,348,076 1,894,277
745 831 1,084 3,254 1,351,330 1,894,540
649 7,452 6,731 226,304 486,758 1,989,218 1,009,512
$649 $8,197 $7,562 $227,388 $490,012 $3,340,548 $2,904,052
77
CITY OF LINO LAKES, MINNESOTA
DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE
For The Year Ended December 31, 1998
With Comparative Totals For The Year Ended December 31, 1997
Improvement Improvement Improvement
Bonds of Bonds of Bonds of
1992A 1996A 1998A
Revenue:
General property taxes:
Current and delinquent $ - $ - $
Fiscal disparities
Intergovernmental:
State:
HACA and equalization aid
Special assessments:
Current and delinquent 11,056 210,944
Prepayments 1,149 452,780 72,465
Penalties and interest 262 - -
Investment earnings 41,408 4,703
Total revenue 12,467 705,132 77,168
Expenditures:
Debt service:
Principal 250,000 300,000
Interest 168,940 214,600
Fiscal charges 375 1,224 313
Total expenditures 419,315 515,824 313
Revenue over (under) expenditures (406,848) 189,308 76,855
Other financing sources (uses):
Operating transfer from Capital Project Funds 419,000
Bond proceeds - - 186,101
Total other financing sources (uses) 419,000 186,101
Net increase (decrease) in fund balance 12,152 189,308 262,956
Fund balance
Beginning of year, as previously stated 11,065 787,161
Prior period adjustment - (1,318)
Beginning of year, as restated 11,065 785,843
Residual equity transfer out
Fund balance - December 31
78
$23,217
$975,151 $262,956
Statement 12
1996 1997 Public Project Lease
-
Improvement Certificates Certificates Revenue Revenue
Bonds of of of Bonds Bonds Totals
1998B Indebtedness Indebtedness of 1990A of 1998A 1998 1997
lOme
447
447
$62,487 $78,003 $93,788 $ $234,278 $238,769
11,594 14,707 17,483 43,784 40,576
9,808 12,443 14,791 37,042 40,553
- - - 222,000 221,835
526,394 750,534
- - 262 2,426
2,283 2,431 8,501 10,790 70,563 16,916
86,172 107,584 134,563 10,790 1,134,323 1,311,609
75,000 75,000 40,000 740,000 408,000
9,000 25,853 71,188 489,581 470,515
313 - - 2,472 3,375 8,072 2,883
313 84,000 100,853 113,660 3,375 1,237,653 881,398
134 2,172 6,731 20,903 7,415 (103,330) 430,211
_ 419,000 257,000
515 - - 479,343 665,959_ -
515 479,343 1,084,959 257,000
649 2,172 6,731 20,903 486,758 981,629 687,211
5,533 205,753 1,009,512 341,544
(253) (352) (1,923) -
5,280 205,401 - 1,007,589 341,544
(19,243)
$649 $7,452 $6,731 $226,304 $486,758 $1,989,218 $1,009,512
79
CAPITAL PROJECT FUNDS
Capital Project Funds account for the acquisition or construction of major capital facilities other
than those financed by Proprietary Funds and Trust Funds. The City maintained the following
Capital Project Funds during the year:
Capital Improvement Projects - to account for the proceeds from Equipment Certificates.
Closed Bond Fund - to account for excess funds from matured bond issues.
Dedicated Parks - to account for the receipt and use of monies collected from dedicated
parks fees.
Area and Unit Charge - to account for the collection of water and sewer unit charges to be
used for debt payments and construction of infrastructure.
MSA Construction - to account for the collection of assessments on MSA projects.
Street Reconstruction — to account for the financing of future reconstruction of City
streets.
Sealcoating - to account for money received from assessments and developer deposits for
future street sealcoating projects.
Surface Water Management - to account for the financing of surface water management
and storm water improvements.
SAC Revolving - to account for refunds from the Metropolitan Council Environmental
Service for properties that paid Sewer Area Charges (SAC) that will be collected in the
future.
Construction Funds - to account for the construction of public improvements.
Apollo Business Park - to account for costs of developing the City's industrial park.
Town Center Project - to account for costs associated with the construction of the City
Town Center project.
Civic Center Project - to account for costs associated with the construction of the Civic
Complex project
Tax Increment - to account for development projects financed with tax increments.
81
Mow
lom
CITY OF LINO LAKES, MINNESOTA
CAPITAL PROJECT FUNDS
COMBINING BALANCE SHEET
December 31, 1998
With Comparative Totals For December 31, 1997
Statement 13
Page 1 of 3
Area
Capital Closed and
Improvement Bond Dedicated Unit MSA
Projects Fund Parks Charge Construction
Assets
Cash and investments $61,528 $463,582 $293,383 $3,863,414 $ -
Cash and investments with escrow agent - -
Accrued interest receivable -
Accounts receivable 34,261
Due from other governmental units -
Interfund receivable - 3,205,002
Taxes receivable:
Delinquent
Due from County
Delinquent tax increment -
Special assessments receivable:
Delinquent 3,689 4,784
Deferred 60,920 - 2,150,686
Due from County 582 46,036
Prepaid items - -
Land held for resale - -
Total assets
Liabilities and Fund Balance
Liabilities:
Interfund payable
Accounts payable
Contracts payable
Due to other governmental units
Deferred revenue
Total liabilities
$61,528 $528,773 $293,383 $9,304,183 $ -
$ - $ - $ - $245,730
5,217 2,916 11,118
- 7,711 69,919
- - 214,640
64,609 2,155,470
69,826 2,380,737 326,767
Fund balance (deficit):
Reserved for prepaid items - - -
Reserved for land held for resale
Unreserved:
Designated:
Capital improvements - 6,923,446
Equipment acquisition 33,664 - - -
Park improvements - - 293,383 -
Undesignated 27,864 458,947 - - (326,767)
Total fund balance (deficit) 61,528 458,947 293,383 6,923,446 (326,767)
Total liabilities and fund balance $61,528 $528,773 $293,383 $9,304,183 $ -
83
CITY OF LINO LAKES, MINNESOTA
CAPITAL PROJECT FUNDS
COMBINING BALANCE SHEET
December 31, 1998
With Comparative Totals For December 31, 1997
Surface
Street Water SAC Interim
Reconstruction Sealcoating Management Revolving Construction
Assets
Cash and investments $111,736 $145,464 $1,103,023 $349,012 $18,350
Cash and investments with escrow agent - - -
Accrued interest receivable - -
Accounts receivable - -
Due from other governmental units - - -
Interfund receivable - -
Taxes receivable:
Delinquent
Due from County -
Delinquent tax increment - - -
Special assessments receivable:
Delinquent - 139 1,157 -
Deferred 246,078 62,092 157,044 -
Due from County 13,974 1,292 2,210
Prepaid items - - -
Land held for resale - -
Total assets
Liabilities and Fund Balance
Liabilities:
Interfund payable
Accounts payable
Contracts payable
Due to other governmental units
Deferred revenue
Total liabilities
Fund balance (deficit):
Reserved for prepaid items
Reserved for land held for resale
Unreserved:
Designated:
Capital improvements
Equipment acquisition
Park improvements
Undesignated
Total fund balance (deficit)
Total liabilities and fund balance
84
$371,788 $208,987 $1,263,434
$349,012 $18,350
$ $ - $ - $ - $ -
4,544 18,208 1,612
11,965 -
246,078 62,231 158,201
246,078 78,740 176,409 1,612
125,710
130,247 1,087,025
125,710 130,247
$371,788 $208,987
1,087,025
$1,263,434
254,700
92,700
347,400
18,350
18,350
$349,012 $18,350
Statement 13
Page 2 of 3
Apollo Apollo
—
1994 1995 1996 1997 1998 Business Drive
Construction Construction Construction Construction Construction Park Construction
MEM
$8,930 $654,527 $ $1,431,252 $ $
$8,930 $654,527 $ $1,431,252 $ $
$124,969 $ $ - $306,784 $ - $ $
9,990 165 33,987 127,378
- - 47,656 98,332
134,959 165 388,427 225,710
(134,959)
(134,959)
8,930 654,362 1,205,542
(388,427)
8,930 654,362 (388,427) 1,205,542
$8,930 $654,527 $ - $1,431,252 $ $
85
CITY OF LINO LAKES, MINNESOTA
CAPITAL PROJECT FUNDS
COMBINING BALANCE SHEET
December 31, 1998
With Comparative Totals For December 31, 1997
Tax Tax
Town Civic Town Increment Increment
Center Center Center Financing Financing
Project Project Infrastructure 1-4 1 -5
Assets
Cash and investments $ $ - $318,632 $93,598 $9,269
Cash and investments with escrow agent 4,864,174 -
Accrued interest receivable 17,740
Accounts receivable -
Due from other governmental units
Interfund receivable
Taxes receivable:
Delinquent -
Due from County 498
Delinquent tax increment 227 160
Special assessments receivable:
Delinquent
Deferred
Due from County -
Prepaid items - 949
Land held for resale 989,506 -
Total assets $989,506
Liabilities and Fund Balance
$4,882,863 $318,632
Liabilities:
Interfund payable $750,357 $748,555
Accounts payable 135,786 970,906
Contracts payable - 187,672
Due to other governmental units
Deferred revenue
Total liabilities 886,143 1,907,133
$94,323 $9,429
$ - $ - $ -
1,256 699 444
227 160
1,256 926 604
Fund balance (deficit):
Reserved for prepaid items - 949 -
Reserved for land held for resale 989,506
Unreserved:
Designated:
Capital improvements 2,974,781 317,376 93,397 8,825
Equipment acquisition
Park improvements -
Undesignated (886,143)
Total fund balance (deficit) 103,363 2,975,730 317,376 93,397 8,825
Total liabilities and fund balance $989,506 $4,882,863 $318,632
86
$94,323 $9,429
Ilmeo
Statement 13
Page 3 of 3
Tax Tax Tax Tax Tax
Increment Increment Increment Increment Increment
Financing Financing Financing Financing Financing Totals
1-6 1 -7 1 -8 1 -9 3 -1 1998 1997
$ - $ $ - $ $8,925,700 $10,415,147
4,864,174
17,740
1,620 35,881 91,472
416,485
3,205,002 2,015,037
- - 870
59 1,709 1,758 4,024 4,193
55 1,702 11,295 13,439 2,726
9,769 5,128
2,676,820 3,606,646
64,094 3,793
949 2,318
989,506 989,506
$114 $3,411 $ $1,620 $13,053 $20,807,098 $17,553,321
$33,763 $470,977 $4,205 $8,250 $358,396 $3,051,986 $1,873,797
349 1,324 746 1,041 1,327,686 306,426
- 423,255 312,462
- 214,640 512,120
55 1,702 11,295 2,700,028 3,615,244
34.167 474,003 4,951 8,250 370.732 7,717,595 6,620,049
949 2,318
989,506 989,506
13,802,691 10,644,145
33,664
- - 293,383 309,982
(34,053) (470,592) (4,951) (6,630) (357,679) (2,030,690) (1,012,679)
(34,053) (470,592) (4,951) (6,630) (357,679) 13,089,503 10,933,272
$114 $3,411 $ - $1,620 $13,053 $20,807,098 $17,553,321
87
CITY OF LINO LAKES, MINNESOTA
CAPITAL PROJECT FUNDS
COMBINING STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE
For The Year Ended December 31, 1998
With Comparative Totals For The Year Ended December 31, 1997
Statement 14
Page 1 of 3
Capital Closed Area and
Improvement Bond Dedicated Unit MSA
Projects Fund Parks Charge Construction
Revenue:
General property taxes:
Current and delinquent $ $806 $ $ $
Fiscal disparities
Tax increments
Intergovernmental:
Federal:
Other 2,822
State:
MSA construction 965,581
Other -
Special assessments:
Current and delinquent 13,126 310,768
Prepayments - 284,354 1,138,592 -
Penalties and interest 7 796
Utility Charges 178,080
Investment earnings 7,733 32,439 19,011 406,255
Refunds and reimbursements
Miscellaneous
Rental payments 44,100 -
Park dedication fees 23,558
Sale of property - -
Total miscellaneous 44,100 23,558
Total revenue 54,655 330,732 42,569 2,034,491 965.581
Expenditures:
Current:
General government:
Contractual services 2,005 8,907 11,920 14,744
Public works:
Contractual services -
Capital outlay:
General government 5,409 - - -
Public safety 153,335
Public works 4,287 -
Parks, recreation and forestry 89,570 45,365
Debt service:
Interest - -
Construction/acquisition 2,938 - 1,037,979
Total expenditures 257,544 8,907 57,285 1,052,723
Revenue over (under) expenditures
(202,889) 321,825
(14,716) 981,768
1,267,551
1,267.551
(301.970)
Other financing sources (uses):
Operating transfer from Capital Project Funds - -
Operating transfer to Debt Service Funds -
Operating transfer to Capital Project Funds (954,492) (919,000) -
Bond proceeds 287,734 - 381,250 -
Total other financing sources (uses) 287,734 (954,492) (537,750)
Net increase (decrease) in fund balance 84,845 (632,667) (14,716) 444,018 (301,970)
Fund balance (deficit)
Beginning of year, as previously stated (22,358) 1,098,099 309,982 6,515,713 (24.618)
Prior period adjustment (959) (6,485) (1,883) (36,285) (179)
Beginning of year, as restated (23,317) 1,091,614 308,099 6,479,428 (24,797)
Residual equity transfer in
Residual equity transfer out
Fund balance (deficit) - December 31
$61,528
$458,947 $293,383
$6,923,446 ($326,767)
89
CITY OF LINO LAKES, MINNESOTA
CAPITAL PROJECT FUNDS
COMBINING STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE
For The Year Ended December 31, 1998
With Comparative Totals For The Year Ended December 31, 1997
Revenue:
General property taxes:
Current and delinquent
Fiscal disparities
Tax increments
Intergovernmental:
Federal:
Other
State:
MSA construction
Other
Special assessments:
Current and delinquent
Prepayments
Penalties and interest
Utility Charges
Investment earnings
Refunds and reimbursements
Rental payments
Park dedication fees
Sale of property
Surface
Street Water SAC Interim
Reconstruction Sealcoating Management Revolving Construction
31,949
19,664
46
14,051 35,984
100,745 273,218
67 389
5,688 16,990
30,663
64,368 25,149
1,084
Total revenue 57,347 162,516 373,959 25,149 1,084
Expenditures:
Current:
General government:
Contractual services - 41,090 226,372
Public works:
Contractual services -
Capital outlay:
General government
Public safety - - -
Public works - - 66,440 -
Parks, recreation and forestry
Debt service:
Interest
Construction/acquisition 307,656
Total expenditures 307,656 107,530 226.372
Revenue over (under) expenditures 57,347 (145,140) 266,429 (201,223) 1,084
Other financing sources (uses):
Operating transfer from Capital Project Fund - -
Operating transfer to Debt Service Funds
Operating transfer to Capital Project Funds (250,000)
Bond proceeds -
Total other financing sources (uses) - (250,000)
Net increase (decrease) in fund balance 57,347 (145,140) 16,429 (201,223) 1,084
Fund balance (deficit)
Beginning of year, as previously stated 68,643 277,203 1,076,237 551,956 17,370
Prior period adjustment (280) (1,816) (5,641) (3,333) (104)
Beginning of year, as restated
Residual equity transfer in
Residual equity transfer out
Fund balance (deficit) - December 31 $125.710
68,363 275,387 1,070,596 548,623
90
$130,247 $1,087,025
17,266
$347,400 $18,350
Statement 14
Page 2 of 3
Apollo Apollo
1994 1995 1996 1997 1998 Business Drive
Construction Constriction Construction Construction Construction Park Construction
$ $ $ $ $ - $ $
- 887
536 40,711 8,051 76,742 434 2,784
536 40,711 8,051 76,742 1,321 2,784
3,371
68,661 276 18,440 1,374,746 3,148,755
68,661 276 18,440 1,374,746 3,148,755 3,371
(68,661) 260 22,271 (1,366,695) (3,072,013) 1,321 (587)
1,300,085 4,380,565
1,300,085 4,380,565
(68,661) 260 22,271 (66,610) 1,308,552 1,321 (587)
(66,298) 8,738 638,519 (321,817) (103,010) 480,258 337,336
(68) (6,428) - - (2,569) (252)
(66,298) 8,670 632,091 (321,817) (103,010) 477,689 337,084
- (479,010) (336,497)
($134,959) $8,930 $654,362 ($388,427) $1,205.542 $0 $0
91
CITY OF LINO LAKES, MINNESOTA
CAPITAL PROJECT FUNDS
COMBINING STATEMENT OF REVENUE, EXPENDITURES AND
CHANGES IN FUND BALANCE
For The Year Ended December 31, 1998
With Comparative Totals For The Year Ended December 31, 1997
Town Civic Town Tax Increment Tax Increment
Center Center Center Financing Financing
Project Project Infrastructure 1-4 1 -5
Revenue:
General property taxes:
Current and delinquent
Fiscal disparities
Tax increments
Intergovernmental:
Federal:
Other
State:
MSA construction
Other
Special assessments:
Current and delinquent
Prepayments
Penalties and interest
Utility charges
Investment earnings
Refunds and reimbursements
Rental payments
Park dedication fees -
Sale of property 99,469
99,469
Total revenue 99,469
Expenditures:
Current:
General government:
50,604 82,775
168,228 28,478 3,677 460
168,228 28,478
54,281 83,235
Contractual services 1,765 75,188
Public works:
Contractual services
Capital outlay:
General government
Public safety
Public works
Parks, recreation and forestry
Debt service:
Interest 30,129 -
Construction/acquisition 360,770 4,539,026 341,432
Total expenditures 390,899 4,539,026 341,432 1,765 75,188
Revenue over (under) expenditures (291,430) (4,370,798) (312,954) 52,516 8,047
Other financing sources (uses):
Operating transfer from Capital Project Fund 1,884,492 -
Operating transfer to Debt Service Funds - - -
Operating transfer to Capital Project Funds
Bond proceeds 4,790,407 - -
Total other financing sources (uses) 6,674,899 - -
Net increase (decrease) in fund balance (291,430) 2,304,101 (312,954) 52,516 8,047
Fund balance (deficit)
Beginning of year, as previously stated 394,793 (143,878) 630,330 40,992 850
Prior period adjustment - (111) (72)
Beginning of year, as restated 394,793 (143,878) 630,330 4(1,881 778
Residual equity transfer in 815,507
Residual equity transfer out -
Fund balance (deficit) - December 31 $103,363 $2,975,730 $317,376 $93,397 $8,825
92
Statement 14
Page 3 of 3
Tax Increment Tax Increment Tax Increment Tax Increment Tax Increment
Financing Financing Financing Financing Financing Totals
1 -6 1 -7 1 -8 1 -9 3 -1 1998 1997
$ - $ - $ $ $ - $806 $1,715
30
8,094 182,907 336,563 660,943 498,529
2,822 44,720
965,581 228,194
16,000
- - 406,765 387,474
- - - 1,816,573 1,503,985
-
- - - 1,305 4,256
- - - 178,080 213,642
- 908,818 586,185
- 30,663 141,023
8,094
- - 44,100 55,250
- 23,558 71,081
- - 99,469 336,275
167,127 462,606
182,907 336,563 5,139,483 4.088,359
7,944 216,739 1,152 6,630 337.236 955,063 1,065,522
37,573
- - - 5,409 53,022
153,335 109,120
70,727 489,050
134,935 90,646
- - - 30.129
12,468,230 2,983,749
7,944 216,739 1,152 6,630 337,236 13,817,828 4,828,632
150 (33,832) (1,152) (6,630) (673) (8,678,345) (740,323)
1,884,492
(257,000)
(2,123,492)
11,140,041 1,171,020
10,901,041 914,020
150 (33,832) (1,152) (6,630) (673) 2,222,696 173,697
(34,203) (436,760) (3,799) - (357,006) 10,933,272 10,740,332
(66,465)
(34,203) (436,760) (3,799) (357.006) 10,866,807 10,740,332
- - - 815,507 846,211
- - (815,507) (826,968)
($34,053) ($470,592) ($4,951) ($6,630) ($357,679) $13,089,503 $10,933,272
93
ENTERPRISE FUNDS
Enterprise Funds are used to account for operations that are financed and operated in a manner
similar to private business enterprises. The intent of the government's council is the cost of
providing goods or services to the general public on a continuing basis be financed or recovered
primarily through user charges; or where the government's council has decided that periodic
determination of net income is appropriate for accountability purposes. The City maintained the
following Enterprise Funds during the year:
Water Fund - to account for customer water service charges that are used to finance water
operating expenses.
Sewer Fund - to account for customer sewer service charges that are used to finance sewer
operating expenses.
95
CITY OF LINO LAKES, MINNESOTA
ENTERPRISE FUNDS
COMBINING BALANCE SHEET
December 31, 1998
With Comparative Totals For December 31, 1997
Statement 15
Assets
Gas Totals
Water Sewer Utility 1998 1997
Current assets:
Cash and cash equivalents $ 260,810 $ 447,856 $ $ 708,666 $ 900,497
Accounts receivable 122,104 146,343 268,447 288,815
Due from other governmental units - 100,738
Special assessments receivable:
Due from County 3,435 3,435 13,765
Prepaid items 1,263 34,566 35,829 32,596
Total current assets 387,612 628,765 1,016,377 1,336,411
Long term assets:
Special assessments, long term 295,537 295,537 316,782
Fixed assets:
Buildings 48,690 48,690 48,690
Equipment 114,640 94,338 208,978 162.243
Water and sewer system 11,934,589 12,296,089 24,230,678 17,473,617
Construction in progress 3,367.050
Total fixed assets 12,097,919 12,390,427 24,488,346 21,051,600
Less: Allowance for depreciation (1,114,439) (1,437,967) (2,552,406) (2,177,538)
Net fixed assets 10,983,480 10,952,460 21,935,940 18,874,062
Acquisition costs - gas utility 2,375
Total assets $11,666,629 $11,581,225 $ - $23,247,854 $20,529,630
Liabilities and Fund Equity
Current liabilities:
Interfund payable $ - $ - $ $ - $ 17.241
Accounts payable 7,464 14,433 21,897 35,536
Salaries payable 2.744 2,622 5,366 4,058
Contracts payable - 124,195
Accrued interest payable 92,724 92,724 95,488
Due to other governmental units 1,887 6,953 8,840 36,530
Bonds payable - current portion 205,000 205,000 50,000
Total current liabilities 309.819 24,008 333,827 363.048
Long -term liabilities:
Bonds payable - long term
Compensated absences - payable
Total liabilities
Fund equity:
Contributed capital
Retained earnings
Total fund equity
96
3,870,000
8,448
4,188,267
3,770
27,778
7,298,120 10,891,944
180,242 661,503
7,478,362 11,553,447
3,870,000
12,218
4,216,045
18,190,064
841,745
19, 031, 809
4,165,000
9,219
4,537.267
14,499,775
1,492,588
15,992.363
Total liabilities and fund equity $11,666,629 $11,581,225 $ $23,247,854 $20,529,630
CITY OF LINO LAKES, MINNESOTA
ENTERPRISE FUND
COMBINING STATEMENT OF REVENUE, EXPENSES
AND CHANGES IN RETAINED EARNINGS
For The Year Ended December 31, 1998
With Comparative Totals For The Year Ended December 31, 1997
Statement 16
Gas Totals
Water Sewer Utility 1998 1997
Operating revenue:
Charges for services $ 519,505 $ 668,779 $ - $ 1,188,284 $ 1,016,087
Hook -up charges 26,750 21,400 48,150 38,700
Water meter sales 36,020 36,020 24,632
Other operating revenue 4,031 29,212 33,243 35,504
Total operating revenue 586,306 719,391 1,305,697 1,114,923
Operating expenses:
Personal services 87,736 88,419 176,155 154,387
- Materials and supplies 73,301 4,844 78,145 98,421
Contractual services 17,2 €9 28,981 46,270 79,976
Repair and maintenance 4,979 175,033 180,012 42,731
- MCES sewer charges - 326,619 326,619 285,468
Depreciation:
Purchased assets 43.443 8,61E 52,061 31,768
Contributed assets 126,168 196,639 - 322,807 334,208
Utilities 52,578 24,750 77,328 107,566
Other 1,983 3,369 5,352 3,177
Total operating expenses 407.477 857,272 1,264,749 1,137,702
Net income (loss) from operations 178,829 (137,381' - 40,948 (22,779)
-
Investment earnings 11,416 24,894 36,310 53,824
Special assessments 283 283 566 329,405
Loss on disposal of assets - - (2,375) (2,375)
- Bond intcrest (223,582) - (223,582) (229,375)
Paying agent fees (1,600) - (1,600) (525)
Total other income (expense) (213,483) 25.177 (2,375) (190,681) 153.329
Other income (expense):
Net income (ioss) before operating transfers (34,654) (112,704) (2,375) (149,733) 130,550
Operating transfers:
Operating transfer from General Fund 17,241 17,241
Operating transfer to Capital Projects Fund (90,000) (90,000) - (180,000)
Total operating transfers (90,000) (90,000) 17,241 (162,759)
Net income (loss) (124,654) (202,704) 14,866 (312,492) 130,550
_ Credit arising from transfer of depreciation
to contributed capital 126,168 196,639 322,807 334,208
Retained earnings (deficit)
Beginning balance, as previously stated 837,555 669,899 (14,866) 1,492,588 1,027,830
Prior period adjustment (3,544) (2,331) - (5,875) -
Beginning balance, as restated 834,011 667,568 (14,866) 1,486,713 1.027,830
Residual equity transfer to Sewer Fund (655,283) (655,283)
Retained earnings - December 31 $ 180,242 $ 661,503 $ - $ 841,745 $ 1,492,588
97
CITY OF LINO LAKES, MINNESOTA
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
For The Year Ended December 31, 1998
With Comparative Totals For The Year Ended December 31, 1997
Statement 17
Gas Totals
Water Sewer Utility 1998 1997
Cash flows from operating activities:
Operating income (loss) $178,829 ($137,881) $ - $40,948 ($22,779)
Adjustments to reconcile operating income (loss) to
net cash flows from operating activities:
Depreciation 169,611 205,257 374,868 365,976
Change in assets and liabilities:
Decrease (increase) in receivables (9,827) 127,829 118,002 (79,610)
Decrease (increase) in prepaid items 159 (3,392) (3,233) (28,874)
Increase (decrease) in payables (152,276) (11,705) (17,241) (181,222) (466,448)
Net cash flows from operating activities 186,496 180,108 (17,241) 349,363 (231,735)
Cash flows from noncapital financing activities:
Operating transfer from General Fund 17,241 17,241
Operating transfer to Capital Project Funds (90,000) (90,000) (180,000)
Net cash flows from noncapital financing activities (90,000) (90,000) 17,241 (162,759)
Cash flows from capital and related financing activities:
Principal paid on revenue bonds (140,000) - (140,000) (50,000)
Collection of special assessments 34,962 283 35,245
Interest and paying agent fees on revenue bonds (225,182) - (225,182) (202,986)
Acquisition of fixed assets (49,740) (29,193) (78,933) (664,650)
Net cash flows from capital
and related financing activities (379,960) (28,910) (408,870) (917,636)
Cash flows from investing activities:
Prior period adjustment to Fair Values (3,544) (2,331) (5,875) -
Interest on investments 11,416 24,894 36,310 53,824
Net cash flows from investing activities: 7,872 22,563 30,435 53,824
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents - January 1
Cash and cash equivalents - December 31
98
(275,592) 83,761 (191,831) (1,095,547)
536,402 364,095 900,497 1,996,044
$260,810 $447,856 $ $708,666 $900,497
- Water lines in the amount of $1,488,624 were contributed to the Water Fund in 1998.
- Sewer lines in the amount of $1,869,189 were contributed to the Sewer Fund in 1998.
- The Water Fund contributed $655,283 in assets to the Sewer Fund in 1998. This transaction
was recorded as a residual equity transfer out of the Water Fund and an addition to contributed
capital in the Sewer Fund.
AGENCY FUNDS
Agency Funds are used to account for assets held by the City as an agent for individuals, private
organizations, other governments and/or other funds. The City maintained the following Agency
Funds during the year:
Contractor's Deposits - to account for pass - through costs relating to prospective
developers.
Pending Assessments Deposits - to account for prepayment of special assessments by
developers prior to Council adoption.
Investment Fund - to account for the pooling of investments of the City.
CITY OF LINO LAKES, MINNESOTA
AGENCY FUNDS
COMBINING BALANCE SHEET
December 31, 1998
With Comparative Totals For December 31, 1997
Statement 18
Pending
Contractors Assessment Investment Totals
Deposits Deposits Fund 1998 1997
Assets
Cash and investments $256,012 $42,708 $ - $298,720 $281,237
Accrued interest receivable - 148,538 148,538 117,717
Deposits receivable 115,319 - 115,319 85,388
Total assets
Liabilities
$371,331 $42,708 $148,538 $562,577 $484,342
Interfund payable $ - $ - $148,538 $148,538 $117,717
Accounts payable 6,710 - 6,710 16,681
Deposits payable 364,621 42,708 407,329 349,944
Total liabilities $371,331 $42,708 $148,538 $562,577 $484,342
100
CITY OF LINO LAKES, MINNESOTA
AGENCY FUNDS
-
COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For The Year Ended December 31, 1998
Statement 19
Balance Balance
January 1, December 31,
1998 Additions Deletions 1998
Contractors deposits:
Assets
Cash and investments $220,941 $592,165 $557,094 $256,012
Deposits receivable 85,388 258,221 228,290 115,319
Total assets $306,329 $850,386 $785,384 $371,331
Liabilities
Accounts payable $16,681 $396,066 $406,037 $6,710
- Deposits payable 289,648 441,803 366,830 364,621
Total Liabilities $306,329 $837,869 $772,867 $371,331
Pending Assessment Deposits:
Assets
Cash and investments $60,296 $457,194 $474,782 $42,708
Liabilities
- Deposits payable $60,296 $441,147 $458,735 $42,708
Investment Fund:
Assets
Accrued interest receivable $117,717 $148,538 $117,717 $148,538
Liabilities
- Interfund payable $117,717 $148,538 $117,717 $148,538
Totals -All Trust and Agency Funds:
Assets
Cash and investments
Accrued interest receivable
Deposits receivable
Total assets
Liabilities
Interfund payable
Accounts payable
Deposits payable
Total liabilities
$281,237 $1,049,359 $1,031,876 $298,720
117,717 148,538 117,717 148,538
85,388 258,221 228,290 115,319
$484,342 $1,456,118 $1,377,883 $562,577
$117,717 $148,538 $117,717 $148,538
16,681 396,066 406,037 6,710
349,944 882,950 825,565 407,329
$484,342 $1,427,554 $1,349,319 $562,577
101
GENERAL FIXED ASSETS ACCOUNT GROUP
The City maintains a separate account group for the fixed assets used in the governmental fund
type operations. They are assets of the City as a whole and not of individual funds.
103
CITY OF LINO LAKES, MINNESOTA
SCHEDULE OF GENERAL FIXED ASSETS - BY SOURCE
For The Year Ended December 31, 1998
Statement 20
Balance Balance
January 1, December 31,
1998 Additions Deletions 1998
Land and improvements $1,097,476 $ $ - $1,097,476
Buildings 1,746,068 - 1,746,068
Office equipment and furniture 313,113 60,324 17,834 355,603
Vehicles 873,134 124,647 44,900 952,881
Machinery and Shop Equipment 512,643 33,272 - 545,915
Other 486,175 149,260 - 635,435
Totals $5,028,609 $367,503 $62,734 $5,333,378
Investment in General Fixed Assets from:
General Fund $494,236
Special Revenue Funds 1,114
Capital Project Funds 2,413,853
Grants 45,252
Donations 69,746
Debt Service Funds 61,400
Assets acquired before January 1, 1992 2,247,777
Total investment in General Fixed Assets $5,333,378
104
CITY OF LINO LAKES, MINNESOTA
SCHEDULE OF GENERAL FIXED ASSETS
- BY FUNCTION AND ACTIVITY
As of December 31, 1998
Statement 21
Office Machinery
Land Equipment and
and and Shop Other
Improvements Buildings Furniture Vehicles Equipment Improvements Total
- General government:
Administration/finance $ - $ - $35,898 $12,135 $ - $ - $48,033
Elections - 21,531 - 21,531
Economic development 2,528 19,201 21,729
,_ Engineering /planning - - 10,014 32,330 42,344
Government buildings 648,876 1,746,068 172,998 3,500 15,554 2,586,996
Senior center - - 2,500 - - 2,500
Total general government 648,876 1,746,068 245,469 63,666 3,500 15,554 2,723,133
Public safety:
Police - 89,131 302,649 3,000 105,000 499,780
Building inspection - 6,459 - - 6,459
- Total public safety 89,131 309,108 3,000 105,000 506,239
Public works:
Streets - 319 485,337 291,853 777,509
- Shop 35,528 35,528
Surface water management - 16,662 16,662
Total public works - 319 485,337 344,043 - 829,699
Parks, recreation and forestry:
Parks, recreation and forestry
Total parks, recreation and forestry
448,600
448,600
20,684 94,770 195,372 514,881 1,274,307
20,684 94,770 195,372 514,881 1,274,307
Totals $1,097,476 $1,746,068 $355,603 $952,881 $545,915 $635,435 $5,333,378
105
CITY OF LINO LAKES, MINNESOTA
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS
BY FUNCTION AND ACTIVITY
For The Year Ended December 31, 1998
Statement 22
Balance Balance
January 1, December 31,
1998 Transfers Additions Deletions 1998
General government:
Administration/fmance $23,575 $ $24,458 $ - $48,033
Elections 21,531 - - 21,531
Economic development 20,382 1,347 - 21,729
Engineering /planning 36,935 5,409 - 42,344
Government buildings 2,604,830 - - 17,834 2,586,996
Senior center 2,500 - - 2,500
Total general government 2,709,753 31,214 17,834 2,723,133
Public safety:
Police 451,624 86,056 37,900 499,780
Building inspections 6,459 - - - 6,459
Total public safety 458,083 86,056 37,900 506,239
Public works:
Streets 723,787 59,722 6,000 777,509
Shop 35,528 - 35,528
Surface water management 16,662 16,662
Total public works 775,977 59,722 6,000 829,699
Parks, recreation and forestry:
Parks, recreation and forestry 1,084,796 - 190,511 1,000 1,274,307
Total parks, recreation and forestry 1,084,796 - 190,511 1,000 1,274,307
Totals $5,028,609 $ $367,503 $62,734 $5,333,378
106
GENERAL LONG -TERM DEBT ACCOUNT GROUP
The General Long -Term Debt Account Group is used to account for long -term debt of the City
other than debt recorded in the Enterprise Funds.
CITY OF LINO LAKES, MINNESOTA
SCHEDULE OF GENERAL LONG - TERM DEBT
December 31, 1998
Statement 23
Amount Available And To Be Provided For The
Retirement of General Long -Term Debt:
December 31,
1998 1997
MEMO
Amount available in Debt Service Fund
Amount to be provided - future tax levies /assessments /tax increment collections
$1,989,218 $1,009,512
19,263,448 9,010,771
Total available and to be provided $21,252,666 $10,020,283
General Long -Term Debt Payable:
Bonds payable:
General Obligation Bonds:
1996 Equipment Certificates 75,000 150,000 "
1997 Equipment Certificates 150,000 225,000
1998 Equipment Certificates 287,734 -
Public Project Revenue Bonds - 1990A 1,000,000 1,040,000
Civic Complex Lease Revenue Bonds - 1998A 5,350,000 -
Total general obligation bonds 6,862,734 1,415,000
Special assessment bonds:
G. O. Improvement Bonds of 1992A 2,520,000 2,770,000
G. O. Improvement Bonds of 1996A 4,385,000 4,685,000
G. O. Improvement Bonds of 1998A 4,310,000
G. O. Improvement Bonds of 1998B 2,000,000
Total special assessment bonds 13,215,000 7,455,000
MOM
Total bonds payable 20,077,734 8,870,000
Contract for deed payable 946,020 946,020 _
Compensated absences payable 228,912 204,263
Total general long -term debt $21,252,666 $10,020,283
OMNI
108
SUPPLEMENTARY INFORMATION
109
CITY OF LINO LAKES, MINNESOTA
COMBINED SCHEDULE OF INDEBTEDNESS
December 31, 1998
(Unaudited)
Interest
Rates
Dated
Final
Maturity
Date
General Obligation Bonds:
1994 Equipment Certificates 5.00% 3/1/94 12/31/96
1995 Equipment Certificates 5.00% 2/1/95 12/31/97
1996 Equipment Certificates 6.00 % 2/1/96 12/31/99
1997 Equipment Certificates 6.00% 2/1/97 12/31/00
1998 Equipment Certificates 6.00% 2/1/98 12/31/01
Public Project Revenue Bonds - 1990A 7.12% 10/1/90 2/1/10
Civic Complex Lease Revenue Bonds - 1998A 5.27% 8/1/98 2/1/19
Total General Obligation Bonds
Special Assessment Bonds:
G. O. Improvement Bonds of 1992A 6.51% 4/1/92 2/1/06
G. O. Improvement Bonds of 1996A 5.05% 10/1/96 2/1/07
G. O. Improvement Bonds of 1998A 4.77% 8/1/98 2/1/15
G. O. Improvement Bonds of 1998B 4.81% 8/1/98 2/1/15
Total General Improvement Bonds with special assessments pledged
Revenue Bonds:
G. O. Water Revenue Bonds of 1992B
G. O. Water Revenue Bonds of 1996B
Total Revenue Bonds
Total - all bonds
Contract for deed payable
Contract for deed payable
Total - Contracts for deed
Total City indebtedness
110
6.67%
5.48%
8.00%
8.00%
4/1/92 2/1/08
10/1/96 2/1/12
4/30/97 2/1/02
12/1/97 12/1/02
Exhibit 1
Prior Years
Original
Issue Payments
Payable
1/1/98
Principal Interest
1998 Payable Due Due
Issued Payments 12/31/98 In 1999 In 1999
_ $150,000 $150,000 $ - $ - $ - $ - $
176,000 176,000 -
$225,000 $75,000 $150,000 $ - $75,000 $75,000 $75,000 $4,500
_ 225,000 - 225,000 75,000 150,000 75,000 9,000
- - - 287,734 287,734 95,734 33,052
1,115,000 75,000 1,040,000 - 40,000 1,000,000 50,000 68,238
- - 5,350,000 5,350,000 - 267,118
1,891,000 476,000 1,415,000 5,637,734 190,000 6,862,734 295,734 381,908
3,640,000 870,000 2,770,000 250,000 2,520,000 270,000 153,850
4,685,000 4,685,000 300,000 4,385,000 625,000 194,550
- 4,310,000 - 4,310,000 - 198,225
- - - 2,000,000 - 2,000,000 92,703
8,325,000 870,000 7,455,000 6,310,000 550,000 13,215,000 895,000 639,328
1,060,000 165,000 895,000 55,000 840,000 55,000 53,358
3,320,000 - 3,320,000 85,000 3,235,000 150,000 164,753
- 4,380,000 165,000 4,215,000 140,000 4,075,000 205,000 218,111
14,596,000 1,511,000 13,085,000 11,947,734 880,000 24,152,734 1,395,734 1,239,347
598,382 598,382 598,382 -
347,638 - 347,638 347,638 27,811
946,020 - 946,020 - - 946,020 27,811
$15,542,020 $1,511,000 $14,G31,020 $11,947,734 $880,000 $25,098,754 $1,395,734 $1,267,158
111
CITY OF LINO LAKES, MINNESOTA
- SCHEDULE OF DEFERRED TAX LEVIES
December 31, 1998
(Unaudited)
Exhibit 2
Year of Equipment Equipment Equipment
Levy/ Certificates Certificates Certificates
Collection of 1996 of 1997 of 1998
1998/1999
1999/2000
_ 2000/2001
2001/2002
2002/2003
2003/2004
- 2004/2005
2005/2006
2006/2007
2007/2008
2008/2009
2009/2010
- 2010/2011
2011/2012
2012/2013
- 2013/2014
2014/2015
2015/2016
- 2016/2017
2017/2018
$ 83,475 $ 88,200 $135,225
83,475 107,520
- 101,760
Public
Project
Revenue
Bonds
of 1990A
G. 0.
Improvement
Bonds
of 1992A
$ 122,417 $
145,150
139,834
134,479
129,045
149,783
142,433
134,978
127,523
120,015
112,508
354,861
353,352
358,981
367,953
369,724
348,731
Lease
Revenue
Bonds
of 1998A
G. O.
Improvement
Bonds
of 1998B Total
$ 280,676 $ 146,007 $ 856,000
327,724 151,684 1,170,414
330,947 154,604 1,080,497
338,888 151,273 983,621
345,959 153,192 996,149
325,988 154,876 1,000,371
332,525 151,072 974,761
343,382 152,519 630,879
353,031 153,729 634,283
361,562 154,704 636,281
368,387 155,441 636,336
485,462 155,796 641,258
485,987 155,757 641,744
490,655 155,313 645,968
489,001 154,537 643,538
491,258 158,719 649,977
492,413 492,413
497,716 497,716
501,215 - 501,215
503,310 - 503,310
$83,475 $171,675 $344,505 $1,458,165 $2,153,602 $8,146,086 $2,459,223 $14,816,731
113
CITY OF LINO LAKES, MINNESOTA
DEBT SERVICE PAYMENTS TO MATURITY - ALL BONDS
December 31, 1998
(Unaudited)
Bonds payable
Future interest payable
Totals
Equipment
Certificates
1996
Equipment
Certificates
1997
Equipment
Certificates
1998
G. O.
Improvement
Bonds
of 1992A
G. O.
Improvement
Bonds
of 1996A
$75,000 $150,000
4,500 13,500
$287,734 $2,520,000
50,332
$4,385,000
700,798 862,730
$79,500 $163,500
G. O.
Water
Revenue
Bonds
of 1992B
$840,000
314,152
$338,066 $3,220,798 $5,247,730 $1,154,152
Payments to maturity:
1999 79,500 84,000
2000 - 79,500
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
114
128,786
107,520
101,760
423,850 819,550
417,345 767,300
409,743 735,115
401,080 702,565
401,080 493,980
399,460 469,460
396,180 444,785
372,060 419,965
395,010
$79,500 $163,500
108,358
114,709
115,505
115,900
115,900
115,495
114,675
118,310
116,390
118,910
$338,066 $3,220,798 $5,247,730 $1,154,152
Exhibit 3
G. 0.
Water
Revenue
Bonds
of 1996B
Public
Project
Revenue
Bonds
of 1990A
Civic
Complex
Revenue
Bonds
of 1998A
G. 0.
Improvement
Bonds
of 1998A
G. 0.
Improvement
Bonds
of 1998B Totals
$3,235,000 $1,000,000 $5,350,000 $4,310,000 $2,000,000 $24,152,734
1,474,556 473,670 3,621,541 1,898,925 947,572 10,362,275
$4,709,556 $1,473,670 $8,971,541 $6,208,925 $2,947,572 $34,515,009
314,753 118,238 267,118 198,225 92,703 2,635,081
303,228 114,913 267,118 198,225 92,703 2,462,560
306,401 135,706 428,653 481,700 205,115 2,919,698
304,075 130,625 431,469 468,650 195,053 2,749,417
301,355 125,488 438,618 455,600 190,103 2,522,123
303,108 120,275 444,975 442,550 190,040 2,485,363
304,195 139. 50 426,078 429,500 189,752 2,444,315
299,725 132. :00 431,860 416,450 184,353 2,374,823
299,680 125,000 441,625 403,400 183,840 1,964,945
298,915 117,875 450,283 385,463 183,103 1,554,548
419,034 110,725 457,595 372,638 182,140 1,542,132
419,682 103,575 346,595 359,670 180,883 1,410,405
418,864 455,095 346,489 179,255 1,399,703
416,541 455,068 333,094 177,248 1,381,950
459,003 319,485 174,889 953,376
456,790 305,805 172,230 934,825
458,415 291,983 174,165 924,563
458,990 458,990
463,181 463,181
_ 465,845 465,845
467,171 467,171
$4,709,556 $1,473,670 $8,971,541 $6,208,925 $2,947,572 $34,515,009
115
CITY OF LINO LAKES, MINNESOTA
CONSTRUCTION WORK IN PROCESS
December 31, 1998
(Unaudited)
Exhibit 4
Description
Fund 401: Capital Improvements
Public Works Storage Building
Land Expended
Easements Prior
Contractor Engineering and Other Total 1998 Years
$172,785 $19,952 $4,868 $197,605 * $2,938 $194,667
Fund 406: Area and Unit
Well Y4 368,615 71,473 14,931 455,019 455,019
Black Duck Lift Station 14,511 32,058 46,569 * 12,275 34,294
Sunset Road Utilities Extension - 154 419 573 * 573
35E/Main Street trunk utilities 2,556 21,216 618 24,390 * 2,556 21,834
Utility Connections 125,560 3,537 129,097 129,097
Ware Road 474,179 55,019 12,075 541,273 * 397,024 144,249
Cedar Street lift station 243,555 43,004 5,800 292,359 875 291,484
4th Avenue trunk utilities 343,186 65,334 20,512 429,0:32 10,260 418,772
Lilac Street trunk utilities 213,956 53,309 996 268,261 251,179 17,082
Lilac Street utility extension 238,280 57,154 15,297 310,731 310,656 75
Laurene Avenue lift station 56,595 19.336 - 75,931 51,790 24,141
35W /Hwy 49 trunk utilities 294,089 63.812 5,375 363,276 1,364 361,912
Total Fund 406 2.360,571 464,322 111,618 2,936,511 1,037,979 1,898,532
Fund 420: MSA Construction
Ware Road reconstruction
Fund 421: Sealcoating and Wearcourse
Sealcoating
Fund 431
Town Center Project
Fund 432: Civic Complex
Civic Complex
Fund 433: Town Center
Infrastructure
Fund 456: 1994 Construction
Country Lake Estates
Highway 49 and Lake Drive
Total Fund 456
Fund 457: 1995 Construction
Woods of Baldwin Lake II
1,001,348 341.455 5,969 1,348,772 1,267,551 81,221
426,387 82,727 405 509,519 307,655 201,864
31,959 902,018 933,977 360,770 573,207
3,949,202 733,702 4,682,904 4,539,026 143,878
347,017 187.398 3.655 538,070 341,432 196,638
709,979
1,592,168
2,302,147
132,979
448,360
581.339
75,235
275,314
350,549
918,193
2,315,842
3,234,035
68,661
68,661
918,193
2,247,181
3,165,374
112,935 26.721 1,894 141,550 276 141,274
Fund 458: 1996 Construction
Trappers Crossing 709,086 164,394 25,338 898,8:18 788 898,030
Centennial School 1,094,119 234,726 39,856 1,368,701 17,652 1,351,049
Total Fund 458 1,803,205 399,120 65,194 2,267,5 :19 18,440 2,249,079
Fund 459: 1997 Construction
Otter Lake Road realignment 953,128 257,925 352,552 1,563,605 1,298,213 265,392
Otter Lake Service Road - 9.972 113,778 123,750 76,533 47,217
Total Fund 459 953,128 267.897 466,330 1,687,355 1,374,746 312,609
Fund 460: 1998 Construction
Apollo Drive phase III - 39,238 2,379 41,61.7 41,617
21st Ave street and utilities 72,504 854 73,358 73,358 -
Lake Drive trunk utilities 261,365 184,797 680,730 1,126,892 1,085,683 41,209
Lake's Addition road reconstruction 1,705,276 285.426 19,196 2,009,898 1,948,097 61,801
Total Fund 460 1,966,641 581.965 703,159 3,251,765 3,148,755 103,010
Totals $15,395,366 $2.984.855 $3,349,361 $21,729,582 $12,468,229 $9,261,353
116* Completed Project
CITY OF LINO LAKES, MINNESOTA
INSURANCE IN FORCE
December 31, 1998
(Unaudited)
Exhibit 5
Coverage
General Liability:
Bodily Injury/Property Damage
Personal Injury/Police Professional Liability
Employee Benefit Liability
Fire Legal Liability
Medical Expense Occurrence Limit
— Medical Expense Aggregate
Property Damage ($500 Deductible)
Amount
$750,000
750,000
7.50,000
50,000
1,000
10,000
-- Property:
Buildings and Contents 15,956,163
Valuable Papers ($500 Deductible) 50,000
— Faithful Performance Blanket Bond 500,000
Storage Tank Liability 100,000
Mobile Equipment ($500 Deductible) 648,144
— EDP - Electronic Equipment ($500 Deductible) 157,142
Rented /Leased Equipment ($500 Deductible) 200,000
Public Official and Employee Liability ($500 Deductible each occurrence) 750,000
Automotive:
Bodily injury and property damage 750,000
—
Comprehensive and Collision Actual Cash Value
Uninsured motorists 750,000
Miscellaneous equipment ($500 Deductible) 25,000
Workmen's compensation Statutory
Umbrella Liability 1,000,000
Crime - Theft Disappearance and Destruction ($500 Deductible) 50,000
117
CITY OF LINO LAKES, MINNESOTA
TAXABLE VALUATIONS, TAX LEVIES AND TAX RATES
(Unaudited)
Exhibit 6
Tax Capacity Tax Capacity
Values Values
1998/1999 1997/1998
Taxable valuations:
Total $10,043,022 $9,679,139
Fiscal disparities:
Distribution 1,382,028 1,395,540.00
Contribution (464,039) (358,998)
Less: Captured Tax Increment Value (646,438) (555,542)
$10,314,573 $10,160,139
Tax Tax
Certified Capacity Certified Capacity
Levy Rate Levy Rate
Taxes Levied:
Revenue 2,926,261 28.503 2,889,626 27.764
Bond and Interest 773,657 7.536 278,197 2.673
Totals $3,699,918 36.039 $3,167,823 30.437
Certified levy amount is after HACA reduction
118
III.
STATISTICAL
SECTION
119
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND EXPENDITURES BY FUNCTION
Last Ten Fiscal Years
(Unaudited)
Table 1
Fiscal Total General Public Public Parks and Other
Year Expenditures Government Safety Works Recreation Functions
1989 1,896,204 624,499 750,629 377,087 142,472 1,517
1990 2,155,051 682,575 804,363 468,340 191,654 8,119
1991 2,268,639 667,448 845,420 499,737 256,034
1992 2,552,835 807,564 910,147 505,096 330,028
1993 2,829,202 911,230 1,025,157 565,019 327,796
1994 3,169,862 1,082,796 1,127,883 554,533 404,650
1995 3,557,038 1,173,047 1,265,064 700,873 418,054
1996 3,966,738 1,289,751 1,446,985 694,455 535,547
1997 4,400,087 1,366,602 1,751,226 697,934 439,263 145,062
1998 5,328,796 1,560,268 1,778,898 673,156 722,728 593,746
120
CITY OF LINO LAKES, MINNESOTA
GENERAL FUND REVENUES BY SOURCE
- Last Ten Fiscal Years
(Unaudited)
Table 2
Total General
General Property Licenses Inter- Charges Fines
Fiscal Fund Taxes and Governmental for and Other
- Year Revenue Levied Permits Revenues Services Forfeits Revenue
1989 2,081,795 848,472 256,987 698,558 96,680 73,614 107,484
1990 2,294,649 994,399 254,620 629,919 208,981 83,618 123,112
1991 2,421,534 1,179,087 332,392 483,015 195,190 86,603 145,247
1992 2,705,794 1,206,998 493,977 607,831 210,129 79,643 107,216
_ 1993 3,177,662 1,420,369 565,684 673,944 239,562 83,019 195,084
1994 3,295,398 1,597,542 383,388 677,337 353,026 72,454 211,651
1995 3,772,335 1,941,415 544,267 738,652 241,393 93,861 212,747
1996 4,627,532 2,327,048 788,480 816,794 308,262 86,158 300,790
- 1997 4,736,496 2,658,485 566,561 881,459 291,090 99,390 239,511
1998 5,722,363 2,904,888 726,599 1,380,063 347,485 102,489 260,839
121
CITY OF LINO LAKES, MINNESOTA
PROPERTY TAX LEVIES AND COLLECTIONS
Last Ten Fiscal Years
(Unaudited)
Table 3
Percent of Percent of
Total Tax Delinquent
Total Current Percentage Delinquent Total Collections Outstanding Taxes to
Fiscal Tax Tax of Levy Tax Tax To Tax Delinquent Tax
Year Levy Collections Collected Collections Collections, Levy Taxes Levy
1989 1,146,850 1,120,260 97.68% 16,811 1,137,071 99.15% 46,393 4.05%
1990 1,529,821 1,494,647 97.70% 21,620 1,516,267 99.11% 50,963 3.33%
1991 1,717,474 1,674,178 97.48% 24,342 1,698,520 98.90% 59,664 3.47%
1992 1,865,188 1,805,972 96.83% 24,395 1,830,367 98.13% 76,791 4.12%
1993 2,073,987 2,057,602 99.21% 50,099 2,107,701 101.63% 29,534 1.42%
1994 2,268,950 2,243,045 98.86% 15,014 2,258,059 99.52% 27,804 1.23%
1995 2,634,350 2,613,719 99.22% 21,206 2,634,92.5 100.02% 22,368 0.85%
1996 3,040,000 3,011,917 99.08% 15,641 3,027,558 99.59% 22,489 0.74%
1997 3,349,400 3,316,426 99.02% 23,962 3,340,388 99.73% 32,598 0.97%
1998 3,589,617 3,564,611 99.30% 30,186 3,594,797 100.14% 29,774 0.83%
Note: Does not include tax increment levies and collections.
Note: Current tax collections include State levy related credits (HACA).
122
CITY OF LINO LAKES, MINNESOTA
SPECIAL ASSESSMENT LEVIES AND COLLECTIONS
- Last Ten Fiscal Years
(Unaudited)
Table 4
- % of Current % of Total
Current Current Collections Delinquent Collections Total
Fiscal Assmts. Assmts. to Assmts. Assessments Total to Current Outstanding
- Year Due Collected Due Collected Collected Assmts. Due Del. Assmts.
1989 326,516 223,757 68.53% 64,161 287,918 88.18% 161,751
1990 245,618 168,442 68.58% 107,879 276,321 112.50% 132,985
1991 351,941 293,452 83.38% 65,396 358,848 101.96% 126,088
1992 379,521 306,443 80.74% 82,664 389,107 102.53% 118,690
_ 1993 632,067 580,678 91.87% 39,313 619,991 98.09% 43,036
1994 387,200 355,543 91.82% 32,743 388,286 100.28% 36,497
1995 394,770 353,424 89.53% 26,051 379,475 96.13% 10,221
1996 366,146 355,609 97.12% 26,831 382,440 104.45% 21,040
- 1997 593,957 589,158 99.19% 20,153 609,311 102.59% 5,692
1998 664,912 657,041 98.82% 3,561 660,602 99.35% 9,999
123
CITY OF LINO LAKES, MINNESOTA
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR GENERAL
BONDED DEBT TO TOTAL GENERAL EXPENDITURES
Last Ten Fiscal Years
(Unaudited)
Table 5
Percent of
Debt Service
Interest Total Total Expenditures
- Fiscal and Debt General to General
Year Principal Other Service (1) Expenditures (2) Expenditures
_. 1989 11,475 11,475 1,896,204 0.61%
1990 60,000 29,542 89,542 2,155,051 4.15%
1991 127,500 108,872 236,372 2,268,639 10.42%
_ 1992 172,500 114,821 287,321 2,552,835 11.25%
1993 177,500 108,276 285,776 2,829,202 10.10%
1994 282,500 96,268 378,768 3,169,862 11.95%
1995 228,500 96,135 324,635 3,557,038 9.12%
1996 188,000 100,248 288,248 3,966,738 7.27%
1997 188,000 106,785 294,785 4,400,087 6.70%
1998 190,000 112,201 302,201 5,328,796 5.67%
— (1) Excludes tax increment, special assessment, enterprise, and EDA bonds.
(2) Includes expenditures of General Fund only.
Note: Amounts rounded to the nearest hundred.
125
CITY OF LINO LAKES, MINNESOTA
ASSESSED AND ESTIMATED ACTUAL VALUE AND
NET BONDED DEBT PER CAPTIA
Last Ten Fiscal Years
(Unaudited)
Taxes Real Personal Fiscal
Payable Property Property Total Disparities
1989 $ 4,500,713 $ 228,822 $ 4,729,535 $ 902,364
1990 3,766,768 232,797 3,999,565 1,084,909
1991 4,250,314 283,565 4,533,879 1,006,228
1992 4,359,156 289,520 4,648,676 1,083,066
1993 4,557,819 309,993 4,867,812 954,529
1994 5,146,854 360,097 5,506,951 970,411
1995 6,204,237 392,508 6,596,745 879,810
1996 7,390,566 435,045 7,825,611 952,790
1997 8,344,972 462,282 8,807,254 1,003,376
1998 9,244,905 434,234 9,679,139 1,036,542
1999 9,649,657 393,365 10,043,022 917,989
126
Table 6
Assessor's Estimated Ratio of Total
— Net Taxable Market Value of Assessed to
Tax Increment Value Taxable Property Actual Value
$ (112,901) $ 5,518,998 $ 187,826,200 2.94%
(141,487) 4,942,987 231,211,700 2.14%
(215,224) 5,324,883 264,013,200 2.02%
(245,834) 5,485,908 290,466,200 1.89%
(244,419) 5,577,922 320,714,400 1.74%
(256,841) 6,220,521 368,267,100 1.69%
(287,819) 7,188,736 435,100,000 1.65%
(307,790) 8,470,611 501,825,800 1.69%
(410,724) 9,399,906 552,696,200 1.70%
(555,542) 10,160,139 627,423,800 1.62%
(646,438) 10,314,573 687,737,400 1.50%
127
CITY OF LINO LAKES, MINNESOTA
PROPERTY TAX RATES (3) - DIRECT AND OVERLAPPING GOVERNMENTS
Last Ten Fiscal Years
(Unaudited)
Table 7
Tax Rates (Per $100 of Tax Capacity)
Year
Taxes
Payable City School (1) County Other (2) Total
1989 20.025 53.967 27.425 5.972 107.389
1990 23.601 43.075 28.846 4.796 100.318
1991 26.564 68.717 31.400 5.133 131.814
1992 26.822 67.857 32.990 5.306 132.975
1993 29.386 60.589 32.779 6.510 129.264
1994 29.661 62.537 32.680 6.260 131.138
1995 30.772 64.308 32.765 6.977 134.822
1996 31.015 63.103 31.036 5.647 130.801
1997 31.167 66.000 30.542 5.197 132.906
1998 30.437 59.004 30.618 6.342 126.401
(1) The majority of Lino Lakes is served by School District 12.
(2) Other includes: Metropolitan Council, Mosquito Control, Metropolitan Transit,
Rice Creek Watershed District and Forest Lake Hospital.
(3) The State of Minnesota changed the method of calculating property taxes effective for taxes payable in 1991.
Years 1991 through 1998 reflect tax capacity values based on a different formula than in previous years.
Source: Anoka County Department of Property Records and Taxation.
128
CITY OF LINO LAKES, MINNESOTA
RATIO OF NET BONDED DEBT
TO ASSESSED VALUE AND NET BONDED DEBT PER CAPITA
Last Ten Fiscal Years
(Unaudited)
Table 8
Ratio of
Assessed Value Less Net Bonded
After Fiscal Gross Cash and Debt to Net
Disparities and Bonded Investments Net Assessed Bonded Debt
Year Population (1) Tax Increment (2) Debt (3) on Hand Bonded Debt Value Per Capita
1989 8,235 $ 231,211,700 300,000 (11,475) 311,475 0.13% 37.82
1990 8,807 264,013,200 1,630,000 58,685 1,571,315 0.60% 178.42
1991 9,273 290,466,200 1,591,000 105,537 1,485,463 0.51% 160.19
1992 10,056 320,714,400 1,553,500 121,842 1,431,658 0.45% 142.37
1993 11,193 368,367,100 1,526,000 222,111 1,303,889 0.35% 116.49
1994 12,266 435,100,000 1,393,500 142,173 1,251,327 0.29% 102.02
1995 13,097 501,825,800 1,341,000 135,440 1,205,560 0.24% 92.05
1996 13,756 552,696,200 1,378,000 194,807 1,183,193 0.21% 86.01
1997 14,560 627,423,800 1,415,000 111,834 1,303,166 0.21% 89.50
1998 15,053 687,417,400 6,862,734 721,623 6,141,111 0.89% 407.97
(1) Population estimates provided from Metropolitan Council except for 1990 which reflects the federal census.
(2) The State of Minnesota changed the method of calculating property taxes effective for taxes payable in 1988 and again in 1991.
Years 1989 and 1990 reflect tax capacity values. Years 1991 through 1998 reflect tax capacity value based on a different
formula than in previous years.
(3) Amount excludes tax increment, special assessment. enterprise and EDA bonds.
129
CITY OF LINO LAKES, MINNESOTA
COMPUTATION OF DIRECT AND OVERLAPPING DEBT
INCLUDING DEBT RATIOS
December 31, 1998
(Unaudited)
Table 9
Overlapping Debt:
Anoka County
School District 12
School District 624
School District 831
SISD 916
Metropolitan Council
Bonded G.O.
Gross Bonded Debt
Outstanding (1)
$46,006,182
67,652,000
47,850,000
14,260,000
6,335,000
101,105,000
Total Overlapping Debt 283,208,182
Direct Debt:
City of Lino Lakes
Total Overlapping & Direct Debt
Debt Ratios:
6,862,734
$290,070,916
Ratio of Debt per capita (15,053 population) - overlapping
Ratio of Debt per capita (15,053 population) - direct
Ratio of Debt per capita (15,053 population) - total
Ratio of Debt to estimated market valuation of $687,417,400
Percentage
Applicable
in City(2)
5.56%
42.03%
2.61%
7,30%
2.20%
0.60%
100.00%
(1) Does not include general obligation debt supported by utility revenues, tax or aid
State-aid road or revenue debt.
(2) Determined by ratio of net tax capacity (after fiscal disparities and tax increment
of property subject to taxation in overlapping unit to valuation of property subject
130
City Share
of Debt
$2,557,944
28,434,136
1,248,885
1,040,980
139,370
606,630
34,027,944
6,862,734
$40,890,678
anticipation certificates,
adjustment)
to taxation in City.
$2,261
$456
$2,716
5.95%
CITY OF LINO LAKES, MINNESOTA
COMPUTATION OF LEGAL DEBT MARGIN
December 31, 1998
(Unaudited)
Table 10
1998/1999 1997/1998
Market Value $687,417,400 $627,423,800
Debt Limit Percentage 2% 2%
Debt Limit 13,748,348 12,548,476
Total Bonded Debt 24,152,734 13,085,000
Less:
Special Assessment Bonds (13,215,000) (7,455,000)
Revenue Bonds - Enterprise Fund (4,075,000) (4,215,000)
Public Project Revenue Bonds (6,350,000) (1,040,000)
Cash in related Debt Service Funds (8,893) (4,417)
Total Debt Applicable to Debt Limit 503,841 370.583
Legal Debt Margin $13,244,507 $12,177,893
131
CITY OF LINO LAKES, MINNESOTA
SCHEDULE OF REVENUE BOND COVERAGE
WATER FUND
Last Six Years (3)
(Unaudited)
Table 11
Net Revenue
Available Interest
Fiscal Gross Operating for Debt and
Year Revenues (1) Expenses (2) Service Principal Fiscal Charges Total Coverage
1992 $232,586 $142,923 $89,663 $ - $57,632 $57,632 1.56
1993 332,888 169,431 163,457 - 75,350 75,350 2.17
1994 394,245 149,764 244,481 25,000 66,080 91,080 2.68
1995 461,747 177,724 284,023 40,000 64,118 104,118 2.73
1996 466,310 210,778 255,532 50,000 170,881 220,881 1.16
1997 851,173 271,575 579,598 50,000 229,900 279,900 2.07
1998 598,005 237,866 360,139 140,000 225,182 365,182 0.99
(1) Total Water Fund revenues and transfers in.
(2) Total Water Fund expenses exclusive of depreciation, interest on debt and fiscal charges.
(3) Prior to 1992 the City's Water Fund had no debt.
132
CITY OF LINO LAKES, MINNESOTA
PRINCIPAL TAXPAYERS
(Unaudited)
Table 12
— Ten of the City's Largest Taxpayers Percent of
1997 Net Tax City's Net
Taxpayer Type of Business Capacity Tax Capacity
Northern States Power Utility $232,108 2.29%
— Taylor Corp. Commercial/Industrial 174,702 1.72%
Gargaro, Nicholas & Deborah Commercial/Industrial 101,806 1.00%
—
Minnegasco, Inc. Utility 68,292 0.67%
Anoka Electric Cooperative Utility 58,484 0.58%
Minnesota Pipeline Co. Utility 54,864 0.54%
— Moline Concrete Products Co. Manufacturing 44,010 0.43%
Lino Lakes Business Center Commercial/Industrial 42,050 0.41%
McKinney, Lloyd P. Commercial/Industrial 36,082 0.36%
Nol -Tec Systems Commercial/Industrial 30,334 0.30%
Total Ten Largest Taxpayers
Source: Anoka County Department of Property Records and Taxation.
$842,732 8.30%
133
CITY OF LINO LAKES, MINNESOTA
PROPERTY VALUE, CONSTRUCTION PERMITS AND BANK DEPOSITS
Last Ten Years
(Unaudited)
Table 13
Fiscal Property Number of Permit Bank
Year Value (1) Building Permits Valuation Deposits (2)
1989 231,211,700 349 17,653,380 Not Available
1990 264,013,200 350 23,229,413 Not Available
1991 290,466,200 396 34,041,557 Not Available
1992 320,714,400 615 36,636,546 Not Available
1993 368,367,100 628 44,537,437 Not Available
1994 435,100,000 566 26,713,028 Not Available
1995 501,825,800 598 40,636,691 Not Available
1996 552,696,200 588 74,061,188 Not Available
1997 627,423,800 597 32,666,843 Not Available
1998 687,417,400 911 48,683,257 Not Available
(1) Assessor's estimated market value of taxable property from Table 6.
(2) Bank deposits are excluded due to the banks within the City being consolidated with banks outside the City.
As a result, local deposits are unavailable.
Source: City Inspection records.
134
CITY OF LINO LAKES, MINNESOTA
DEMOGRAPHIC STATISTICS
(Unaudited)
Table 14
Fiscal School Number of Unemployment
Year Population (2) Enrollment (1) Households (2) Rate (3)
1989 8,235 4,130 2,448 4.2
1990 8,807 4,382 2,603 4.6
1991 9,273 4,638 2,777 4.9
1992 10,056 4,931 2,974 4.8
_ 1993 11,193 5,219 3,313 4.8
1994 12,266 5,587 3,671 3.6
1995 13,097 5,932 3,899 3.1
1996 13,756 6,010 4,095 2.6
—
1997 14,560 6,230 4,280 2.5
— 1998 15,053 6,469 4,443 1.9
(1) Centennial School District 12
(2) Metropolitan Council except 1990 is Federal Census
(3) Minnesota Department of Economic Security
135
CITY OF LINO LAKES, MINNESOTA
MISCELLANEOUS STATISTICS
(Unaudited)
Table 15
Date of Incorporation 5/11/55
Date of Adoption of City Charter 1/12/82
Form of Government Charter
Area of City (square miles) 33
Miles of Streets:
Trunk Highways
Paved - County
Paved - City
17.4
28.5
88.3
Number of Street Lights 350
Fire Protection:
Centennial Fire District
Total Number of Stations 3
(within Lino Lakes) 1
Total Number of Volunteers 50
(within Lino Lakes) 15
Police Protection:
Number of Stations 1
Number of sworn officers 18
Recreation:
Park area 198
Number of Parks & Playgrounds 22
Trails 13 miles
Municipal Water:
Gallons Pumped 294,144,000
Number of Connections 2,476
Miles of watermain 31.46
Number of Fire Hydrants 444
Water Tower Capacity (gallons) 2 million
Municipal Sewer:
Number of Connections
Miles of sewermain
Employees:
Fulltime
Parttime
2,773
42.19
55
4
Elections:
Registered voters - last general election 8,674
Number of votes cast 6,747
Percent of registered voters voting 77%
136