March 21, 2006 CCP - Laserfiche WebLink

Home Browse Search

City of Lake Elmo February 17, 2006 Page Thirteen Debt Service Funds Debt service funds are used to account for the payment of long-term debt principal and interest. Governmental accounting does not report the outstanding debt as a liability of the fund except for debt paid from enterprise funds. The following is a summary of the assets accumulated in each debt service fund and the related long-term debt at year end. Debt Description General Obligation Bonds 2001 G.O. Improvement 2002 G.O. Improvement 2004 G.O. CIP Total General Obligation Bonds Capital Projects Funds December 31, 2005 Final Total Total Bonds Maturity Cash Assets Outstanding Date - $ 286,917 $ 365,698 $ 850,000 2017 98,571 262,505 215,000 2012 177,395 177,395 4,090,000 2025 $ 562,883 $ 805,598 $ 5,155,000 These funds accumulate resources to finance major capital acquisition and construction projects. A recap of each fund and fund balances (deficits) follows: Fund Major Equipment Acquisition Nonmajor Infrastructure Reserve Park Acquisition Section 33 Utilities MSA Construction Total Fund Balances (Deficits) December 31, Increase 2005 2004 (Decrease) $ 3,893,501 $ 4,694,896 $ (801,395) (273,163) (193,623) (79,540) 476,090 264,838 211,252 95,169 91,831 3,338 604,342 567,497 36,845 $ 4,795,939 $ 5,425,439 $ (629,500) As projects are completed the City should transfer the remaining resources to the original funding source or to a permanent reserve fund. The Section 33 Utilities fund has had virtually no expenditure activity for at least the last three years. If this project is complete, the fund should be closed by Council resolution in 2006. The Infrastructure Reserve fund has a deficit fund balance at the end of the year. It appears future special assessments may not be sufficient to eliminate the deficit. The City should identify how the deficit will be eliminated. 952.8359090 • Fax 952.835.3261 Ww .aemcpas.com