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GOVERNMENTAL FUNDS EXPENDITURES <br /> The expenditures of governmental funds will also vary from state-wide averages and from year-to-year, <br /> based on the City's circumstances. Expenditures are classified into three types as follows: <br /> • Current—These are typically the general operating type expenditures occurring on an annual basis, <br /> and are primarily funded by general sources, such as taxes and intergovernmental revenues. <br /> • Capital Outlay and Construction—These expenditures do not occur on a consistent basis,more <br /> typically fluctuating significantly from year-to-year. Many of these expenditures are <br /> project-oriented,and are often funded by specific sources that have benefited from the expenditure, <br /> such as special assessment improvement projects. <br /> • Debt Service —Although the expenditures for debt service may be relatively consistent over the <br /> term of the respective debt, the funding source is the important factor. Some debt may be repaid <br /> through specific sources, such as special assessments or redevelopment funding, while other debt <br /> may be repaid with general property taxes. <br /> The following table presents the City's governmental funds expenditures by type for the last two fiscal <br /> years: <br /> Governmental Funds Expenditures by Type <br /> 2025 2024 Year-to-Year Change <br /> Percent Percent Dollar Percent <br /> Expenditures of Total Expenditures of Total Change Change <br /> Current <br /> General government $ 1,626,371 10.7 % $ 1,653,379 12.4 % $ (27,008) (1.6) % <br /> Public safety 4,750,775 31.3 4,477,705 33.7 273,070 6.1 % <br /> Streets and highways 898,802 5.9 850,640 6.4 48,162 5.7 % <br /> Sanitation 40,348 0.3 33,406 0.3 6,942 20.8 % <br /> Culture and recreation 1,980,833 13.0 2,089,452 15.7 (108,619) (5.2) % <br /> Economic development 2,592,223 17.1 2,555,315 19.2 36,908 1.4 % <br /> Total current 11,889,352 78.3 11,659,897 87.7 229,455 2.0 % <br /> Capital outlay 2,813,220 18.5 1,165,832 8.7 1,647,388 141.3 % <br /> Debt service 479,977 3.2 477,229 3.6 2,748 0.6 % <br /> Total expenditures $ 15,182,549 100.0 % $ 13,302,958 100.0 % $ 1,879,591 14.1 % <br /> Total expenditures in the City's governmental funds for 2025 were$15,182,549,an increase of$1,879,591 <br /> from the prior year. <br /> The increase in the current year was primarily due to the increase in capital outlay for streets and culture <br /> and recreation improvements. <br /> -9- <br />