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GOVERNMENT-WIDE FINANCIAL STATEMENTS <br /> In addition to fund-based information, the current reporting model for governmental entities also requires <br /> the inclusion of two government-wide financial statements designed to present a clear picture of the City <br /> as a single, unified entity. These government-wide financial statements provide information on the total <br /> cost of delivering services,including capital assets and long-term liabilities. <br /> STATEMENT OF NET POSITION <br /> The Statement of Net Position essentially tells you what the City owns and owes at a given point in time, <br /> the last day of the fiscal year. Theoretically, net position represents the resources the City has leftover to <br /> use for providing services after its debts are settled. However,those resources are not always in spendable <br /> form, or there may be restrictions on how some of those resources can be used. Therefore, net position is <br /> divided into three components: net investment in capital assets,restricted, and unrestricted. <br /> The following table presents the components of the City's net position as of December 31,2025,and 2024, <br /> for governmental activities and business-type activities: <br /> As of December 31, <br /> 2025 2024 Change <br /> Net position <br /> Governmental activities <br /> Net investment in capital assets $ 33,249,497 $ 33,174,862 $ 74,635 <br /> Restricted 2,798,771 2,589,059 209,712 <br /> Unrestricted 11,661,064 11,541,168 119,896 <br /> Total governmental activities 47,709,332 47,305,089 404,243 <br /> Business-type activities <br /> Net investment in capital assets 11,724,683 9,456,028 2,268,655 <br /> Unrestricted 2,008,667 3,430,415 (1,421,748) <br /> Total business-type activities 13,733,350 12,886,443 846,907 <br /> Total net position $ 61,442,682 $ 60,191,532 $ 1,251,150 <br /> The City's total net position on December 31,2025,was $1,251,150 more than the previous year. <br /> Governmental activities' net position increased by $404,243. The increase was primarily in the restricted <br /> portion of net position as presented in the table above. The net investment in capital assets was also up in <br /> the current year,as capital asset additions exceeded the amount of depreciation in fiscal 2025.Unrestricted <br /> net position also improved, which is consistent with the earlier discussion of the increase in unassigned <br /> fund balance of the General Fund. <br /> Business-type activities net position increased by $846,907. The change in the net investment in capital <br /> assets portion of net position is consistent with our earlier discussion for enterprise funds with an increase <br /> in water, sewer, and storm water infrastructure assets using unrestricted resources. <br /> At the end of the current fiscal year,the City continues to present positive balances in all categories of net <br /> position,both for the government as a whole,and for its separate governmental and business-type activities. <br /> The same situation held true for the prior fiscal year. <br /> -19- <br />