HomeMy WebLinkAbout2014 CAFRCOMPREHENSIVE ANNUAL FINANCIAL REPORT
OF THE
CITY OF ST. ANTHONY, MINNESOTA
FOR THE YEAR ENDED
DECEMBER 31, 2014
Prepared By:
Finance Department
Shelly Rueckert,
Finance Director
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CITY OF ST. ANTHONY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
I. INTRODUCTORY SECTION
Letter of Transmittal 3
Organization 7
Organizational Chart 8
II. FINANCIAL SECTION
Independent Auditor's Report 11
Management's Discussion and Analysis 15
Basic Financial Statements:
Government -Wide Financial Statements:
Statement of Net Position
Statement 1
29
Statement of Activities
Statement 2
30
Fund Financial Statements:
Balance Sheet - Governmental Funds
Statement 3
32
Statement of Revenues, Expenditures and Changes in Fund Balance -
Governmental Funds
Statement 4
34
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Governmental Funds
Statement 5
36
Statement of Net Position - Proprietary Funds
Statement 6
37
Statement of Revenues, Expenses and Changes in Fund Net Position -
Proprietary Funds
Statement 7
38
Statement of Cash Flows - Proprietary Funds
Statement 8
39
Statement of Fiduciary Net Position - Fiduciary Fund
Statement 9
40
Notes to Financial Statements
41
Required Supplementary Information:
Budgetary Comparison Schedule - General Fund
Statement 10
88
Budgetary Comparison Schedule - Note to RSI
93
Schedule of Funding Progress - Other Post Employment Benefits Plan
Statement 11
94
CITY OF ST. ANTHONY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
Combining and Individual Nonmajor Fund Financial Statements and Schedules:
Combining Balance Sheet - Nonmajor Governmental Funds Statement 12 97
Combining Statement of Revenues, Expenditures and Changes in Fund Balance -
Nonmajor Governmental Funds Statement 13 98
Subcombining Balance Sheet - Nonmajor Special Revenue Funds
Statement 14
101
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Special Revenue Funds
Statement 15
102
Subcombining Balance Sheet - Nonmajor Debt Service Funds
Statement 16
104
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Debt Service Funds
Statement 17
106
Subcombining Balance Sheet - Nonmajor Capital Project Funds
Statement 18
110
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Capital Project Funds
Statement 19
112
Special Revenue Funds:
Schedules of Revenues, Expenditures and Changes in
Fund Balance - Budget and Actual:
Community Center Fund
Statement 20
114
Police Forfeiture Fund
Statement 21
115
Recycling Fund
Statement 22
116
HRA Fund
Statement 23
117
Fire Education/Training Fund
Statement 24
118
Statement of Changes in Assets and Liabilities - Agency Fund
Statement 25
119
Supplementary Financial Information:
HRA Debt Service Fund:
Balance Sheet
Exhibit 1
122
Schedule of Revenues, Expenditures and Changes in Fund Balance
Exhibit 2
123
HRA Projects Fund:
Balance Sheet
Exhibit 3
124
Schedule of Revenues, Expenditures and Changes in Fund Balance
Exhibit 4
125
Water and Sewer Enterprise Fund:
Schedule of Revenues, Expenses and Changes in Fund Net Position
Exhibit 5
126
CITY OF ST. ANTHONY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
III. STATISTICAL SECTION (Unaudited)
Financial Trends:
Net Position by Component Table 1 128
Changes in Net Position Table 2 130
Fund Balances - Governmental Funds Table 3 133
Changes in Fund Balances - Governmental Funds Table 4 134
Revenue Capacity:
Tax Capacity Value and Estimated Market Value of Taxable Property Table 5 136
Direct and Overlapping Property Tax Rates Table 6 137
Principal Property Taxpayers Table 7 138
Property Tax Levies and Collections Table 8 139
Debt Capacity:
Ratios of Outstanding Debt by Type
Table 9
140
Direct and Overlapping Governmental Activities Debt
Table 10
143
Legal Debt Margin Information
Table 11
144
Pledged Revenue Coverage
Table 12
146
Demographic and Economic:
Demographic and Economic Statistics
Table 13
150
Principal Employers
Table 14
151
Operating Information:
Full -Time Equivalent City Government Employees by Function/Program
Table 15
152
Operating Indicators by Function/Program
Table 16
153
Capital Asset Statistics by Function/Program
Table 17
154
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June 4, 2015
To the Honorable Mayor, Members of the City Council, and Citizens of the City of St. Anthony,
Minnesota:
State law requires that all general-purpose local governments publish within six months of the
close of each fiscal year a complete set of audited financial statements. This report is published
to fulfill that requirement for the fiscal year ended December 31, 2014.
Management assumes full responsibility for the completeness and reliability of the information
contained in this report, based upon a comprehensive framework of internal controls that have
been established for this purpose. Because the cost of internal controls should not exceed
anticipated benefits, the objective is to provide reasonable, rather than absolute, assurance that
the financial statements are free of any material misstatements.
Redpath and Company, Ltd., Certified Public Accountants, have issued an unmodified opinion
on the City of St. Anthony's financial statements for the year ended December 31, 2014. The
independent auditor's report is located at the front of the financial section of this report.
Management's discussion and analysis (MD&A) immediately follows the independent auditor's
report and provides a narrative introduction, overview, and analysis of the basic financial
statements. The MD&A complements this letter of transmittal and therefore should be read in
conjunction.
Profile of the City
The City of St. Anthony, incorporated in 1945, is located near Northeast Minneapolis and is a
first ring northern suburb of the Minneapolis -St. Paul metropolitan area. The City is a
completely developed community and is bordered on all sides by the communities of
Minneapolis, Columbia Heights, New Brighton and Roseville. Approximately two-thirds of the
City is located in northeastern Hennepin County and one-third is located in the northwest corner
of Ramsey County. The City encompasses a land area of 2.35 square miles and serves a
population of 8,226.
The City is located 10 minutes north of downtown Minneapolis and 15 minutes northwest of
downtown St. Paul. City residents and businesses have easy access to all parts of the
Minneapolis -St. Paul metropolitan area by the use of Interstate 35W, Interstate 694 and Highway
280.
3301 Silver Lake Road, St. Anthony, MN 55418-1699•www.ci.saint-anthony.nm.us• (612) 782-3301• (612) 782-3302
Our mission is to be a progressive and livable community, a walkable village, which is sustainable, safe and secure.
3
The City is served by Independent School District (ISD) #282 (St. Anthony), which has a
2013/2014 enrollment of approximately 1,733, operates one elementary school, a middle school
and senior high in the City. In addition, a private school, St. Charles Borromeo, offers K-8 grade
education with enrollment of approximately 300 students.
The City operates as a statutory Council -Manager form of government. Policy-making and
legislative authority are vested in the City Council consisting of one elected mayor and four
council members. The City Council is responsible, among other things, for passing ordinances,
adopting the budget, appointing committees, and hiring the City Manager. The City Manager is
responsible for carrying out the policies and ordinances of the City Council, overseeing the day-
to-day operations of the City, and appointing the heads of the various departments. The Council
is elected on a non-partisan basis. Council members serve four-year staggered terms, with two
council members elected every two years. The Mayor is elected to serve a four-year term.
The City of St. Anthony provides a full range of services including administrative services;
police protection; fire suppression and prevention; construction of capital improvements;
reconstruction and maintenance of city streets and other infrastructure; distribution of water;
sanitary sewer collection; storm water drainage; parks and recreational activities; forestry
maintenance; and recycling.
The St. Anthony Firefighters' Relief Association is a separate legal entity, and accordingly is
excluded from this report. The St. Anthony Housing and Redevelopment Authority (HRA), an
entity legally separate from the City, is governed by a board which includes the City Council. Its
sole purpose is to promote economic development within the City of St. Anthony. The HRA is a
component unit of the City and its financial transactions have been included in these financial
statements as a blended component unit. Additional information on both of these legally
separate entities can be found in Note 1(A) & 7(D) in the notes to the financial statements.
The annual budget serves as the foundation for the City of St. Anthony's financial planning and
control. All departments of the City of St. Anthony submit requests for appropriations to the
City Manager in June of each year. The City Manager uses these requests as the starting point
for developing the recommended budget. The City Manager then presents the recommended
budget to the City Council for their review prior to the certification of the proposed levy to the
County Auditors by September 15th. The City Council is required to hold public hearings on the
proposed budget and to adopt a final budget by December 31, the close of the City of St.
Anthony's fiscal year.
The appropriated budget is prepared for the General Fund by function (e.g., public safety), and
department (e.g., police), and object code (e.g., salaries). Transfers of appropriations between
departments require the approval of the City Council. Budget -to -actual comparisons are
provided on Statement 10 as required supplementary information to the basic financial
statements for the governmental funds.
4
Factors Affecting Financial Condition
The information presented in the financial statements is perhaps best understood when it is
considered from the broader perspective of the specific environment within which the City of St.
Anthony operates.
Local economy: The Minneapolis -St. Paul metropolitan area has continued to experience a
relatively stable economy. The market place for local products and services remains strong. St.
Anthony is a fully developed City. However, continued long-term growth is anticipated as St.
Anthony continues to pursue redevelopment opportunities.
Long-term financial planning: The City maintains five capital funds for the replacement of
equipment and various infrastructure assets. Each fund is managed by a comprehensive 15 year
capital planning document. These documents include the City's current buildings, park
improvements, operating equipment and fleet, along with future street, water, sanitary sewer and
stormwater improvements. These plans estimate the replacement dates and cost for current and
prospective equipment. Additionally the plans include projected future street, water, sanitary
sewer and stormwater reconstruction costs. The plans also identify the funding sources for these
capital expenditures. These sources include Capital levy, Enterprise funds operating income
transfers, parkland dedication fees, stormwater charges, water and sewer connection fees, grants
and donations, State aids, cost sharing agreements, bond proceeds and assessments.
The City combines the use of goal setting and a comprehensive budget process to identify and
prioritize City improvement projects. The 15 -year capital plans are updated annually by staff
and are approved by the City Council.
Cash management policies and practices: The City's foremost investment objective is to
preserve capital. Secondary considerations are liquidity and lastly yield. Accordingly, deposits
are either insured by federal depository insurance or collateralized. All temporary cash surpluses
during the year are invested in various securities defined by Minnesota Statutes. The City's
policy is to invest all available monies at competitive interest rates in accordance with the City's
over-all fiscal plan and coordinate them with operating needs and programs projected over the
ensuing 12 months.
Risk Management: The City uses a proactive approach to limit its liability risk and insurance
costs. To assist employees who are injured while on duty, Managed Care Program is used to
reduce medical expenses and other costs relating to workplace injuries. The program assists
employees with a treatment plan which reduces lost workdays, replacement workers, etc.
In addition, a safety committee consisting of employees from every department meets monthly
throughout the year to discuss safety related items, review accident reports and provide
recommendations to reduce the City's exposure to liability.
The City's general liability insurance is with the League of Minnesota Cities Insurance Trust. In
order to reduce the cost of insurance, a $10,000 per occurrence/$50,000 aggregate deductible is
maintained and funded through insurance dividends paid by the League of Minnesota Cities.
R
Grants: Each year, the City actively participates in Federal, State and County administered
grants. In 2014 the Police, Fire, Public Works and Administration received a variety of public
safety, operating, equipment and infrastructure construction grants. A list of the grants includes:
A. Minnesota Firefighter Disability Grant.
B. Hennepin County LED cost sharing Grant.
C. State of Minnesota — Vest Grant.
D. Ramsey County — Safe and Sober Grant.
E. Minnesota Board of Firefighter Training & Education Grant.
F. Rice Creek Watershed Grant — Central Park Rain Garden.
G. Rice Creek Watershed Grant — Silver Lake Stormwater Treatment.
H. Minnesota Public Facilities Authority Grant — Silver Lake Stormwater Treatment.
I. Ramsey County Emergency Management and Homeland Security — Fire Dept.
Radios.
J. Hennepin County Recycling Grant.
K. Ramsey County Recycling Grant.
L. Metropolitan Council Environmental Services — Sanitary Sewer Improvements
Partnerships: The City partners with local businesses, civic organizations and the Chamber of
Commerce to provide a variety of community safety and education programs. In 2014, the City
continued to receive funding for numerous Crime Prevention activities which included the
certification of four police officers as crime prevention specialists by the Minnesota Crime
Prevention Association.
Acknowledgements
Finally, we would like to express our gratitude to the Mayor and the City Council. Their
unfailing support for maintaining the highest standard of professionalism in the management of
the City of St. Anthony's finances results in a fiscally sustainable City government.
Respectfully submitted,
Mark Casey
City Manager
Shelly Aueckert
Finance Director
6
CITY OF ST. ANTHONY, MINNESOTA
ORGANIZATION
December 31, 2014
Term Expires
Mayor:
Jerry Faust December 31, 2015
Council Members:
Hal Gray
December 31, 2015
Jim Roth
December 31, 2015
Randy Stille
December 31, 2017
Jan Jenson
December 31, 2017
City Manager:
Mark Casey Appointed
Finance Director:
Shelly Rueckert Appointed
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10
A N S C O M P A N V
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and
Members of the City Council
City of St. Anthony, Minnesota
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business -type activities, each major fund, and the aggregate remaining fund information of the City
of St. Anthony, Minnesota, as of and for the year ended December 31, 2014, and the related notes
to the financial statements, which collectively comprise the City of St. Anthony, Minnesota's basic
financial statements as listed in the table of contents.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this
includes the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether due
to fraud or error.
Auditor's Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United States
of America 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 financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures selected depend on the auditor's judgment,
including the assessment of the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor considers internal control
relevant to the entity's preparation and fair presentation of the financial statements in order to
design audit procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express
no such opinion. An audit also includes evaluating the appropriateness of accounting policies used
and the reasonableness of significant accounting estimates made by management, as well as
evaluating the overall presentation of the financial statements.
4810 White Bear Parkway, St. Paul, MN, 55110 651.426.7000 www.redpathcpas.com
11
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business -type activities, each major
fund, and the aggregate remaining fund information of the City of St. Anthony, Minnesota, as of
December 31, 2014, and the respective changes in financial position, and, where applicable, cash
flows thereof for the year then ended in accordance with accounting principles generally accepted
in the United States of America.
Report on Summarized Comparative Information
We have previously audited the City of St. Anthony, Minnesota's 2013 financial statements, and we
expressed an unmodified audit opinion on the respective financial statements of the governmental
activities, the business -type activities, each major fund, and the aggregate remaining fund
information in our report dated June 9, 2014. In our opinion, the summarized comparative
information presented herein as of and for the year ended December 31, 2013 is consistent, in all
material respects, with the audited financial statements from which it has been derived.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management's discussion and analysis, budgetary comparison information and OPEB Schedule of
Funding Progress on pages 15 - 25 and 88 - 94 be presented to supplement the basic financial
statements. Such information, although not a part of the basic financial statements, is required by
the Governmental Accounting Standards Board, who considers it to be an essential part of financial
reporting for placing the basic financial statements in an appropriate operational, economic, or
historical context. We have applied certain limited procedures to the required supplementary
information in accordance with auditing standards generally accepted in the United States of
America, which consisted of inquiries of management about the methods of preparing the
information and comparing the information for consistency with management's responses to our
inquiries, the basic financial statements, and other knowledge we obtained during our audit of the
basic financial statements. We do not express an opinion or provide any assurance on the
information because the limited procedures do not provide us with sufficient evidence to express an
opinion or provide any assurance.
12
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City of St. Anthony, Minnesota's basic financial statements. The
introductory section, combining and individual nonmajor fund financial statements and schedules,
supplementary financial information, and statistical section are presented for purposes of additional
analysis and are not a required part of the basic financial statements.
The combining and individual nonmajor fund financial statements and schedules and the
supplementary financial information are the responsibility of management and were derived from
and relate directly to the underlying accounting and other records used to prepare the basic financial
statements. Such information has been subjected to the auditing procedures applied in the audit of
the basic financial statements and certain additional procedures, including comparing and
reconciling such information directly to the underlying accounting and other records used to
prepare the basic financial statements or to the basic financial statements themselves, and other
additional procedures in accordance with auditing standards generally accepted in the United States
of America. In our opinion, the combining and individual nonmajor fund financial statements and
schedules and the supplementary financial information are fairly stated in all material respects in
relation to the basic financial statements as a whole.
The introductory and statistical sections have not been subjected to the auditing procedures applied
in the audit of the basic financial statements and, accordingly, we do not express an opinion or
provide any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated June 4,
2015, on our consideration of the City of St. Anthony, Minnesota's internal control over financial
reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts,
and grant agreements and other matters. The purpose of that report is to describe the scope of our
testing of internal control over financial reporting and compliance and the results of that testing,
and not to provide an opinion on internal control over financial reporting or on compliance. That
report is an integral part of an audit performed in accordance with Government Auditing Standards
in considering the City of St. Anthony, Minnesota's internal control over financial reporting and
compliance.
REDPATH AND COMPANY, LTD.
St. Paul, Minnesota
June 4, 2015
13
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14
MANAGEMENT'S DISCUSSION AND ANALYSIS
As management of the City of St. Anthony, Minnesota, we offer readers of the City of St.
Anthony, Minnesota's financial statements this narrative overview and analysis of the financial
activities of the City of St. Anthony, Minnesota for the fiscal year ended December 31, 2014.
We encourage readers to consider the information presented here in conjunction with additional
information that we have furnished in our letter of transmittal, which can be found in the
Introductory Section of this report.
Financial Highlights
• The assets of the City of St. Anthony, Minnesota exceeded its liabilities at the close of the
most recent fiscal year by $27,130,809 (net position). Of this amount, $345,686
(unrestricted net position) may be used to meet the City's ongoing obligations to citizens and
creditors.
• The City's total net position increased by $1,212,738 from the prior years stated net position.
• As of the close of the current fiscal year, the City of St. Anthony's governmental funds
reported combined ending fund balances of $9,093,844, a decrease of $456,743 in
comparison with the prior year stated fund balances.
• At the end of the current fiscal year, unassigned fund balance for the General Fund was
$2,384,345 or 43.96% of total General Fund Budget expenditures.
• The City of St. Anthony's total bonded debt decreased by $855,000 (2.5%) during the current
fiscal year. The key factors in this decrease were; 1) payoff of 2007A G.O. Improvement
bonds totaling $1,500,000; 2) principal retirement of $2,230,000; 3) issuance of the 2014A
$2,070,000 G.O. Improvement bonds; 4) issuance of the 2014C $1,305,000 G.O. Refunding
bonds; 5) the payoff and refunding of 2007 Tax Increment revenue bonds with Tax
Increment 2014B G.O. Tax Increment bonds for a net reduction in debt of $500,000.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City of St. Anthony,
Minnesota's basic financial statements. The City of St. Anthony, Minnesota's basic financial
statements comprise three components: 1) government -wide financial statements, 2) fund
financial statements, and 3) notes to the financial statements. This report also contains other
supplementary information in addition to the basic financial statements themselves.
Government -wide financial statements. The government -wide financial statements are
designed to provide readers with a broad overview of the City of St. Anthony, Minnesota's
finances, in a manner similar to a private -sector business.
The statement of net position presents information on all of the City of St. Anthony, Minnesota's
assets and liabilities, with the difference between the two reported as net position. Over time,
increases or decreases in net position may serve as a useful indicator of whether the financial
position of the City of St. Anthony, Minnesota is improving or deteriorating.
15
The statement of activities presents information showing how the City's net position changed
during the most recent fiscal year. All changes in net position are reported as soon as the
underlying event giving rise to the change occurs, regardless of the timing of related cash flows.
Thus, revenues and expenses are reported in this statement for some items that will only result in
cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave).
Both of the government -wide financial statements distinguish functions of the City of St.
Anthony, Minnesota that are principally supported by taxes and intergovernmental revenues
(governmental activities) from other functions that are intended to recover all or a significant
portion of their costs through user fees and charges (business -type activities). The governmental
activities of the City of St. Anthony, Minnesota include general government, public safety,
public works, parks and recreation, services to other cities and HRA activities. The business -
type activities of the City of St. Anthony, Minnesota include the operation of water and sewer
utilities and the municipal off -sale liquor stores.
The government -wide financial statements include not only the City of St. Anthony, Minnesota
itself (known as the primary government), but also a legally separate Housing and
Redevelopment Authority (HRA) for which the City of St. Anthony, Minnesota is financially
accountable. The HRA functions for all practical purposes as a department of the City of St.
Anthony, Minnesota, and therefore has been included as an integral part of the primary
government.
The government -wide financial statements can be found on Statements 1 and 2 of this report.
Fund financial statements. A fund is a grouping of related accounts that are used to maintain
control over resources that have been segregated for specific activities or objectives. The City of
St. Anthony, Minnesota, like other state and local governments, uses fund accounting to ensure
and demonstrate compliance with finance -related legal requirements. All of the funds of the City
of St. Anthony, Minnesota can be divided into two categories: governmental funds and
proprietary funds.
Governmental funds. Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government -wide financial statements. However,
unlike the government -wide financial statements, governmental fund financial statements focus
on near-term inflows and ou flows of spendable resources, as well as on balances of spendable
resources available at the end of the fiscal year. Such information may be useful in evaluating a
City's near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government -wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government -wide financial statements.
By doing so, readers may better understand the long-term impact of the City's near-term
financing decisions. Both the governmental fund balance sheet and the governmental fund
statement of revenues, expenditures and changes in fund balance provide a reconciliation to
facilitate this comparison between governmental funds and governmental activities.
16
The City of St. Anthony, Minnesota maintains 31 individual governmental funds. Information is
presented separately in the governmental fund balance sheet and in the governmental fund
statement of revenues, expenditures and changes in fund balance for the General, Street
Improvement Debt Service, HRA Debt Service, Street Improvement Projects, HRA Projects,
2012 Street Improvement Project, 2013 Street Improvement Project, 2014 Street Improvement
Project, 2015 Street Improvement Project, 2016 Street Improvement Project, and Silver Lake
Road Bond Fund all of which are considered to be major funds. Data from the other 21
governmental funds are combined into a single, aggregated presentation. Individual fund data
for each of these non -major governmental funds is provided in the form of combining and sub -
combining statements and schedules elsewhere in this report.
The City of St. Anthony, Minnesota adopts an annual appropriated budget for its General Fund.
A budgetary comparison statement has been provided for the General Fund to demonstrate
compliance with this budget.
The basic governmental fund financial statements can be found on Statements 3 through 5 of this
report.
Proprietary funds. The City of St. Anthony, Minnesota maintains two different types of
proprietary funds. Enterprise funds are used to report the same functions presented as business -
type activities in the government -wide financial statements. The City of St. Anthony, Minnesota
uses enterprise funds to account for its water and sewer and municipal liquor operations.
Internal service funds are an accounting device used to accumulate and allocate costs internally
among the City of St. Anthony, Minnesota's various functions. The City of St. Anthony,
Minnesota uses an internal service fund to account for its compensated absences. Because these
services predominantly benefit governmental rather than business -type functions, they have been
included within governmental activities in the government -wide financial statements.
Proprietary funds provide the same type of information as the government -wide financial
statements, only in more detail. The proprietary fund financial statements provide separate
information for the water and sewer and municipal liquor operations, which are considered to be
major funds of the City of St. Anthony, Minnesota.
The basic proprietary fund financial statements can be found on Statements 6 through 8 of this
report.
Notes to the financial statements. The notes provide additional information that is essential to
a full understanding of the data provided in the government -wide and fund financial statements.
The notes to the financial statements can be found following Statement 9 of this report.
The combining statements referred to earlier in connection with non -major governmental funds
are presented immediately following the required supplementary information on budgetary
comparisons. Combining and individual fund statements and schedules can be found on
Statements 12 through 19 of this report.
17
Government -wide Financial Analysis
As noted earlier, net position may serve over time as a useful indicator of a City's financial
position. In the case of the City of St. Anthony, Minnesota, assets exceeded liabilities by
$27,105,809 at the close of the most recent fiscal year. The City's overall increase in the net
position for 2014 was $1,187,738.
City of St. Anthony, Minnesota's Net Position
The City's net position increased by $1,212,738 in 2014. The key element for the increase was
revenues exceeded expenditures.
18
Governmental Activities
Business -Type
Activities
Totals
2014
2013
2014
2013
2014
2013
Current and other assets
$12,063,386
$12,617,051
$6,538,350
$6,843,784
$18,601,736
$19,460,835
Capital assets
38,838,423
37,875,456
7,407,140
7,091,301
46,245,563
44,966,757
Total assets
$50,901,809
$50,492,507
$13,945,490
$13,935,085
$64,847,299
$64,427,592
Long term liabilities outstanding
$29,949,418
$34,501,146
$1,432,173
$1,690,435
$31,381,591
$36,191,581
Other liabilities
5,428,134
1,644,202
906,765
673,738
6,334,899
2,317,940
Total liabilities
$35,377,552
$36,145,348
$2,338,938
$2,364,173
$37,716,490
$38,509,521
Net position:
Invested in capital assets net ofrelated debt
$14,953,582
$14,322,013
$6,036,192
$5,605,845
$20,989,774
$19,927,858
Restricted
5,740,611
5,264,423
-
-
5,740,611
5,264,423
Unrestricted
,169,936)
,239,277)
5,570,360
5,965,067
400,424
725,790
Total net position
$15,524,257
$14,347,159
$11,606,552
$11,570,912
$27,130,809
$25,918,071
The City's net position increased by $1,212,738 in 2014. The key element for the increase was
revenues exceeded expenditures.
18
City of St. Anthony, Minnesota's Changes in Net Position
19
Governmental Activities
Business -Type
Activities
Totals
2014
2013
2014
2013
2014
2013
Revenues:
Program revenue:
Charges for services
$2,374,306
$2,506,369
$7,878,288
$8,788,826
$10,252,594
$11,295,195
Operating grants and contributions
499,538
585,950
499,538
585,950
Capital grants and contributions
1,070,975
780,072
1,070,975
780,072
General revenue:
Property taxes
6,030,558
5,703,707
6,030,558
5,703,707
Other taxes
1,131,896
1,405,872
1,131,896
1,405,872
Grants and contributions
not restricted to specific programs
461,964
26,384
-
-
461,964
26,384
Other
326,758
415,699
172,956
118,071
499,714
533,770
Total revenues
11,895,995
11,424,053
8,051,244
8,906,897
19,947,239
20,330,950
Expenses:
General government
1,116,100
1,029,147
-
-
1,116,100
1,029,147
Public safety
4,644,185
4,488,023
4,644,185
4,488,023
Public works
2,711,291
2,565,860
2,711,291
2,565,860
Parks and recreation
608,966
569,254
608,966
569,254
Housing and redevelopment
575,738
565,303
575,738
565,303
Interest on long-term debt
1,044,635
1,217,646
-
-
1,044,635
1,217,646
Liquor
-
-
5,879,240
6,479,809
5,879,240
6,479,809
Water
931,090
859,112
931,090
859,112
Water Filtration and Purification
239,074
124,505
239,074
124,505
Sewer
-
-
984,182
1,019,421
984,182
1,019,421
Total expenses
10,700,915
10,435,233
8,033,586
8,482,847
18,734,501
18,918,080
Excess before transfers
1,195,080
988,820
17,658
424,050
1,212,738
1,412,870
Transfers
(17,982)
(809,238)
17,982
809,238
-
-
Increase (decrease) in net position
1,177,098
179,582
35,640
1,233,288
1,212,738
1,412,870
Net position - January, as previously reported
14,347,159
14,378,700
11,570,912
10,337,624
25,918,071
24,716,324
Prior period adjustment
-
(211,123)
-
-
-
(211,123)
Net position - January, as restated
14,347,159
14,167,577
11,570,912
10,337,624
25,918,071
24,505,201
Net position -December 31
$15,524,257
$14,347,159
$11,606,552
$11,570,912
$27,130,809
$25,918,071
19
Governmental Activities. Governmental activities increased the City of St. Anthony's net
position by $1,177,098 compared to prior year increase of $179,582. The key element for this
change relates to the City contributing assets from Governmental Activities to Business -Type
Activities.
Revenues by Source
- Governmental Grants and
Activities contributions not Other
restricted to specific 3% Charges for services
programs 20%
Other taxes 4% Operating grants and
9% contributions
4%
Capital grants and
contributions
9%
Property taxes
51%
For the most part, increases in expenses closely paralleled the combining factors of inflation and
growth in the demand for services.
20
Business -type activities. Business -type activities increased net position by $35,640. The key
factor for the increase was assets were contributed to the Water/Sewer Funds by the Street
Improvement Funds. Rate increases for all utility services were made for 2013 and 2014
billings.
Revenues by Source -
Business -Type Activities
Miscellaneous
20
Charges for services
98%
Financial Analysis of the City's Funds
As noted earlier, the City of St. Anthony uses fund accounting to ensure and demonstrate
compliance with finance -related legal requirements.
Governmental funds. The focus of the City of St. Anthony, Minnesota's governmental funds is
to provide information on near-term inflows, outflows, and balances of spendable resources.
Such information is useful in assessing the City of St. Anthony, Minnesota's financing
requirements.
As of the end of the current fiscal year, the City of St. Anthony, Minnesota's governmental funds
reported combined ending fund balances of $9,093,844, a decrease of $456,743 in comparison
with the prior year restated amounts.
The ending fund balance by GASB 54 designation is as follows:
Nonspendable
$92,767
Restricted
7,627,714
Committed
78,180
Assigned
1,318,583
Unassigned
(23,400)
Total
$9,093,844
21
The General Fund is the chief operating fund of the City of St. Anthony, Minnesota. At the end
of the current fiscal year, unassigned fund balance of the General Fund was 2,384,345, while
total fund balance reached $2,475,481. As a measure of the General Fund's liquidity, it may be
useful to compare both unassigned fund balance and total fund balance to total fund
expenditures. Unassigned fund balance represents 37.2% of total General Fund expenditures and
total fund balance represents 38.6% of that same amount.
During the current fiscal year, the fund balance in the General Fund increased by $326,942.
The Street Improvement Debt Service Fund decreased by $1,225,715 as debt was refinanced in
2012 and proceeds were used for retirement of debt in early 2014.
The HRA Debt Service Fund decreased by $31,079 as annual debt service requirements included
a pay down of debt associated with the refunding of 2007 tax increment debt.
The Street Improvement Project Fund decreased by $152,271 substantially due to the closing
transfer of street improvement fund to the related debt service fund.
The HRA Projects Funds decreased by $412,048 substantially due to the refunding of 2007 tax
increment debt which debt reserves for revenue bonds were used to pay down debt.
The 2012 Street Improvement Project fund decreased by $12,661 due to final construction costs
and remaining funds transferred to related debt service fund.
The 2014 Street Improvement Project fund increased by $169,220 due to the receipt of 2014
bonding proceeds less current construction expenditures.
The 2015 Street Improvement Project fund decreased by $130,223 due to preliminary
engineering costs prior to construction, 2015 bonding proceeds will be used to repay these
preliminary expenditures.
The 2016 Street Improvement Project fund decreased by $68,773 due to due to preliminary
engineering costs prior to construction, 2016 bonding proceeds will be used to repay these
preliminary expenditures.
Non -major Special Revenue Funds decreased by $6,731 to a balance of ($104,210) substantially
due to deductible cost associated with lightning strike damage at the Community Center
building.
Non -major Debt Service Funds had a total fund balance of $1,996,027, all of which is restricted
for the payment of debt service. The net increase in fund balance during the current year in the
non -major debt service funds was $180,424, of which $44,046 represents the addition of the
2014 Street Improvement Bond Fund.
Non -major Capital Project Funds had a total fund balance of $1,058,067, a decrease of $460,994,
substantially due to the construction expenditures related to the Salo Park stormwater treatment
system.
22
Proprietary funds. The City of St. Anthony, Minnesota's proprietary funds provide the same
type of information found in the government -wide financial statements, but in more detail.
Total net position in the Liquor Operations and Water and Sewer Funds at the end of the year
amounted to $11,606,552. The total net position for each fund was: Liquor — $2,113,362; Water
and Sewer — $9,493,190.
General Fund Budgetary Highlights
Variances from actual to budget can be briefly summarized as follows:
• Licenses and permits were $147,555 greater than budget due to construction related permits
being $104,762 greater than anticipated and along with activity being budgeted
conservatively
• General property taxes were $274,221 greater than budget due to the levy's inclusion of an
allowance for uncollected taxes and greater excess tax increment collections than budgeted.
• Police Grants revenues exceed budget by $18,086 due to a conservative budget related to a
County grant for the safe and sober program.
• Police State Aid —was greater than budget by $38,610 due to conservative budget related to
supplemental funding provided by the State.
• Investment income was greater than budget by $24,340 due to the non -budgeted unrealized
gain on investments and conservative budgeting for investment interest earnings.
• Miscellaneous other revenues were $26,420 greater than budget due to dividends on workers
compensation insurance not expected to be distributed by the League of Minnesota Insurance
Trust for 2014.
• Legal — contracted services were greater than budget by $58,920 due to costs associated with
implementing an organized collection system and costs associated with land use litigation.
• Planning and zoning —other services and charges was $11,825 greater than budget due to
contracted planner's assistance with land use litigation.
• Police protection — personal services was $52,227 greater than budget due to the budget
variances that were the result of changes in benefit elections, longevity advancements and
greater resource allocations to meet staffing needs.
• Fire protection — other services and charges was $61,846 greater than budget due to costs
associated with turnover, recruitment and training of several paid on call firefighters.
• Protective Inspections — other services and charges was $80,413 greater than budget due to
greater construction related revenues.
Capital Asset and Debt Administration
Capital Assets. The City of St. Anthony, Minnesota's investment in capital assets for its
governmental and business -type activities as of December 31, 2014 amounts to $46,245,563 (net
of accumulated depreciation). This investment in capital assets includes land, buildings and
structures, improvements, machinery and equipment, park facilities, roads and infrastructure.
The total increase in the City of St. Anthony, Minnesota's investment in capital assets for the
current fiscal year is 2.84%.
23
Major capital asset events during the current fiscal year included the following:
• The annual street reconstruction and infrastructure improvement project is reflected in the
Construction in progress along with Salo Pond Stormwater treatment system, Fiber Lan
utility improvements and Southeast Regional Stormwater treatment system.
City of St. Anthony, Minnesota's Capital Assets
Governmental Activities Business -Type Activities Totals
2014 2013 2014 2013 2014 2013
Land
$3,747,184
$3,747,184
$5,653
$5,653
$3,752,837
$3,752,837
Land improvement
555,181
505,717
-
-
555,181
$505,717
Buildings and structures
9,836,936
9,836,936
3,883,283
3,883,283
13,720,219
$13,720,219
Furniture and fixtures
3,899,084
3,645,444
1,455,295
1,441,075
5,354,379
$5,086,519
Software intangibles
6,823
-
26,022
26,022
32,845
$26,022
Infrastructure/streets
32,438,813
31,441,542
8,636,295
8,145,639
41,075,108
$39,587,181
Storm sewers
428,469
428,469
-
-
428,469
$428,469
Storm water
2,253,147
2,063,842
-
-
2,253,147
$2,063,842
Less accumulated depreciation
(17,406,583)
(15,510,352)
(6,771,562)
(6,410,371)
(24,178,145)
($21,920,723)
Construction in progress
3,079,369
1,716,674
172,154
3,251,523
$1,716,674
Total $38,838,423 $37,875,456 $7,407,140 $7,091,301 $46,245,563 $44,966,757
Additional information on the City of St. Anthony, Minnesota's capital assets can be found in
Note 5.
Long-term debt. At the end of the current fiscal year, the City of St. Anthony, Minnesota had
total debt outstanding of $33,705,000. Of this amount, $24,455,000 comprises debt backed by
the full faith and credit of the City, $7,920,000 is backed by tax increments and $1,330,000 is
backed by revenues sources from the City of St. Anthony, Minnesota's enterprise funds. The
remainder of the City of St. Anthony, Minnesota's debt represents the liability for compensated
absences.
City of St. Anthony, Minnesota's Outstanding Debt
General Obligation and Revenue Bonds
Governmental Activities Business -Type Activities Totals
2014 2013 2014 2013 2014 2013
General obligation bonds
$24,305,000
$24,280,000
$ - $ - $24,305,000
$24,280,000
G.O. revenue bonds
150,000
295,000
1,330,000 1,440,000 1,480,000
1,735,000
Revenue bonds
7,920,000
8,545,000
- - 7,920,000
8,545,000
Issuance premiums (discounts)
482,350
375,799
40,948 45,456 523,298
421,255
Compensated absences
661,966
650,208
153,726 143,548 815,692
793,756
Total $33,519,316 $34,146,007 $1,524,674 $1,629,004 $35,043,990 $35,775,011
The City of St. Anthony's total bonded debt decreased $855,000 (2.5%) during the current fiscal
year. The key factors in this decrease were; 1) payoff of 2007A G.O. Improvement bonds
totaling $1,500,000; 2) principal retirement of $2,230,000; 3) issuance of the 2014A $2,070,000
G.O. Improvement bonds; 4) issuance of the 2014C $1,305,000 G.O. Refunding bonds; 5) the
payoff and refunding of 2007 Tax Increment revenue bonds with Tax Increment 2014B G.O. Tax
Increment bonds for a net reduction in debt of $500,000.
24
The City of St. Anthony, Minnesota maintains an "AA" rating from Standard and Poor's for
general obligation debt. State statutes limit the amount of general obligation debt the City may
issue to 3% of its total market value. The current debt limitation for the City of St. Anthony,
Minnesota is $20,226,682, which is in excess of the City of St. Anthony, Minnesota's
$6,110,000 outstanding general obligation debt, excluding tax increment, special assessment, and
HRA bonds. Additional information on the City of St. Anthony, Minnesota's long-term debt can
be found in Note 6.
Economic Factors and Next Year's Budgets and Rates
• Healthy financial profile with a stable outlook including a very strong general fund balance.
• Strong income and wealth indicators relative to national levels.
• The stable outlook reflects expectations that St. Anthony will continue to maintain balanced
operations.
• Good management practices, including extensive financial planning to maintain acceptable
service levels while being sensitive to increases in property taxes remains the most
significant challenge.
These factors were considered in preparing the City of St. Anthony, Minnesota's budget for the
2015 fiscal year.
Requests for Information
This financial report is designed to provide a general overview of the City of St. Anthony,
Minnesota's finances for all those with an interest in the government's finances. Questions
concerning any of the information provided in this report or requests for additional financial
information should be addressed to the Office of the Finance Director, City of St. Anthony,
Minnesota, 3301 Silver Lake Road, St. Anthony, Minnesota, 55418.
25
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26
BASIC FINANCIAL STATEMENTS
27
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28
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF NET POSITION
December 31, 2014
With Comparative Totals For December 31, 2013
Statement 1
Liabilities:
14,953,582 6,036,192
Primary Government
19,927,858
Restricted for:
Governmental
Business -Type
Totals
808,869
651,511
Activities
Activities
2014
2013
Assets:
Deposits payable
2,000
77,825
79,825
Cash and investments
$9,211,416
$4,125,755
$13,337,171
$13,870,626
Funds held in trust
1,290,049
-
1,290,049
1,392,296
Accrued interest
24,434
-
24,434
17,584
Due from other governmental units
296,805
-
296,805
662,976
Internal balances
(1,015,526)
1,015,526
-
-
Accounts receivable - net
32,620
501,365
533,985
585,842
Prepaid items
86,579
26,102
112,681
66,128
Property taxes receivable
270,260
-
270,260
217,312
Special assessments receivable
1,789,048
-
1,789,048
1,758,676
Funds held for others
71,513
-
71,513
61,049
Inventories - at cost
6,188
869,602
875,790
828,346
Capital assets - net:
Due in more than one year
435,428
74,279
509,707
Nondepreciable
6,826,553
177,807
7,004,360
5,469,511
Depreciable
32,011,870
7,229,333
39,241,203
39,497,246
Total assets
50,901,809
13,945,490
64,847,299
64,427,592
Liabilities:
14,953,582 6,036,192
20,989,774
19,927,858
Restricted for:
Accounts payable
440,853
368,016
808,869
651,511
Contracts payable
309,638
152,642
462,280
77,447
Deposits payable
2,000
77,825
79,825
425,550
Due to other governmental units
42,894
68,627
111,521
448,499
Salaries payable
209,051
61,792
270,843
241,473
Accrued interest payable
418,372
11,083
429,455
473,460
Compensated absences payable:
Due within one year
203,559
47,272
250,831
240,620
Due in more than one year
458,407
106,454
564,861
553,136
Bonds and notes payable (net of unamortized
premiums and discounts):
Due within one year
3,801,767
119,508
3,921,275
3,895,556
Due in more than one year
29,055,583
1,251,440
30,307,023
31,085,699
Other post employment benefits:
Due in more than one year
435,428
74,279
509,707
416,570
Total liabilities
35,377,552
2,338,938
37,716,490
38,509,521
Net position:
Net investments in capital assets
14,953,582 6,036,192
20,989,774
19,927,858
Restricted for:
Debt service
5,717,140 -
5,717,140
5,242,895
Public safety
23,471 -
23,471
21,528
Unrestricted
(5,169,936) 5,570,360
400,424
725,790
Total net position
$15,524,257 $11,606,552
$27,130,809
$25,918,071
The accompanying notes are an integral part of these financial statements.
29
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF ACTIVITIES
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Functions/Pro rg ams
Primary government:
Governmental activities:
General government
Public safety
Public works
Parks and recreation
Housing and redevelopment
Interest on long-term debt
Total governmental activities
Business -type activities:
Liquor
Water
Water Filtration and Purification
Sewer
Total business -type activities
Total primary government
Expenses
$1,116,100
4,644,185
2,711,291
608,966
575,738
1,044,635
10,700,915
Program Revenues
Charges For
Services
$435,702
1,368,246
336,349
234,009
2,374,306
5,879,240
6,078,039
845,396
879,007
239,074
-
1,069,876
921,242
8,033,586
7,878,288
$18,734,501
$10,252,594
The accompanying notes are an integral part of these financial statements.
30
Statement 2
The accompanying notes are an integral part of these financial statements.
31
Net (Expense) Revenue and
Program Revenues
Changes in Net Position
Operating Capital
Primary Government
Grants and Grants and
Governmental
Business -Type
Totals
Contributions Contributions
Activities
Activities
2014
2013
$17,383 $ -
($663,015)
$ -
($663,015)
($590,662)
352,977 -
(2,922,962)
-
(2,922,962)
(2,764,897)
127,378 1,037,135
(1,210,429)
-
(1,210,429)
(1,260,028)
- 33,840
(341,117)
-
(341,117)
(166,165)
- -
(575,738)
-
(575,738)
(565,303)
1,800 -
(1,042,835)
-
(1,042,835)
(1,214,046)
499,538 1,070,975
(6,756,096)
0
(6,756,096)
(6,561,101)
- -
-
198,799
198,799
428,334
- -
-
33,611
33,611
106,939
- -
(239,074)
(239,074)
(124,505)
- -
-
(148,634)
(148,634)
(104,789)
0 0
0
(155,298)
(155,298)
305,979
$499,538 $1,070,975
(6,756,096)
(155,298)
(6,911,394)
(6,255,122)
General revenues:
General property taxes
6,030,558
-
6,030,558
5,703,707
Tax increment taxes
1,131,896
-
1,131,896
1,405,872
Grants and contributions not
restricted to specific programs
461,964
-
461,964
26,384
Unrestricted investment earnings
189,441
111,512
300,953
75,766
Gain on sale of capital assets
33,204
-
33,204
-
Other
104,113
61,444
165,557
456,263
Transfers
(17,982)
17,982
-
-
Total general revenues and transfers
7,933,194
190,938
8,124,132
7,667,992
Change in net position
1,177,098
35,640
1,212,738
1,412,870
Net position - January 1, as previously reported
14,347,159
11,570,912
25,918,071
24,716,324
Prior period adjustment
-
-
-
(211,123)
Net position - January 1, as restated
14,347,159
11,570,912
25,918,071
24,505,201
Net position - December 31
$15,524,257
$11,606,552
$27,130,809
$25,918,071
The accompanying notes are an integral part of these financial statements.
31
CITY OF ST. ANTHONY, MINNESOTA
BALANCESHEET
GOVERNMENTALFUNDS
December 31, 2014
With Comparative Totals For December 31, 2013
The accompanying notes are an integral part of these financial statements.
32
General Fund
Street Improvement
HRA Debt Service
HRA Projects
101/900
Debt Service 345
311/312/335/336
319/321/326/330
Assets
Cash and investments
$1,924,907
$1,610,184
$620,244
$1,345,559
Funds held in trust
-
-
Accrued interest
24,251
Due from other governmental units
42,476
Interfund receivable
639,128
Accounts receivable - net
32,620
-
-
Prepaid items
84,948
-
-
-
Property taxes receivable:
Delinquent
57,460
13,523
5,913
54,611
Due from county
90,769
10,251
2,882
1,287
Special assessments receivable
30
628,505
-
-
Funds held by others
-
-
71,513
Inventories
6,188
-
-
Total assets
$2,902,777
$2,262,463
$629,039
$1,472,970
Liabilities, Deferred Inflows of Resources, and Fund Balance
Liabilities:
Accounts payable
$120,408
$
$ -
$214,932
Contracts payable
-
-
Interfund payable
-
121,354
Deposits payable
2,000
-
Interfund loan payable
-
959,326
Due to other governmental units
42,882
-
Salaries payable
204,516
-
-
Total liabilities
369,806
0
0
1,295,612
Deferred inflows of resources:
Unavailable revenue
57,490
642,028
5,913
54,611
Total deferred inflows of resources
57,490
642,028
5,913
54,611
Fund balance (deficit):
Nonspendable
91,136
-
-
-
Restricted
-
1,620,435
623,126
1,894,041
Committed
-
-
-
71,513
Assigned
-
-
Unassigned
2,384,345
-
(1,842,807)
Total fund balance (deficit)
2,475,481
1,620,435
623,126
122,747
Total liabilities, deferred inflows of
resources, and fund balance (deficit)
$2,902,777
$2,262,463
$629,039
$1,472,970
The accompanying notes are an integral part of these financial statements.
32
Statement 3
2014 Street 2015 Street 2016 Street
Other
Improvement Improvement Improvement
Silver Lake Road
Governmental
Intra -Activity
Project Fund 521 Project Fund 523 Project Fund 525
Bond Fund 365
Funds
Eliminations
Total Governmental Funds
2014
2013
$124,640 $ $
$179,032
$3,379,878
$
$9,184,444
$9,331,784
-
1,290,049
1,290,049
1,392,296
-
183
-
24,434
17,584
75,000 18,673
-
160,656
296,805
662,976
- -
-
(639,128)
-
32,531
-
32,620
127,997
-
1,631
86,579
43,152
2,747
14,832
149,086
157,575
1,350
14,635
121,174
59,737
-
1,160,513
1,789,048
1,758,676
-
71,513
61,049
- -
6,188
30,946
$199,640 $18,673 $0
$1,473,361
$4,732,145($639,128)
$13,051,940
$13,676,303
$17,533 $34,676 $16,172
$
$37,132
$
$440,853
$497,749
151,554 - -
158,084
309,638
77,447
- 114,220 52,601
350,953
(639,128)
-
-
- -
-
2,000
341,000
56,200
1,015,526
1,026,721
12
42,894
84,812
- - -
4,535
209,051
181,734
169,087 148,896 68,773
0
606,916
(639,128)
2,019,962
2,209,463
- - -
2,747
1,175,345
1,938,134
1,916,253
0 0 0
2,747
1,175,345
0
1,938,134
1,916,253
-
1,631
92,767
74,098
1,470,614
2,019,498
7,627,714
7,272,849
-
-
6,667
78,180
94,064
30,553
1,288,030
1,318,583
1,707,483
- (130,223) (68,773)
-
(365,942)
(23,400)
402,093
30,553 (130,223) (68,773)
1,470,614
2,949,884
0
9,093,844
9,550,587
$199,640 $18,673 $0
$1,473,361
$4,732,145
($639,128)
$13,051,940
$13,676,303
Fund balance reported above
$9,093,844
$9,550,587
Amounts reported for governmental activities in the statement of net position are different
because:
Capital assets used in governmental activities are not financial resources, and therefore,
are not reported in the funds.
38,838,423
37,875,456
Other long-term assets are not available to pay for current -period expenditures and,
therefore, are reported as unavailable in the funds.
1,938,134
1,916,253
Long-term liabilities, including bonds payable, are not due and payable in the current period
and therefore are not reported in the funds.
(33,711,150)
(34,312,398)
Internal service funds are used by management to charge
the cost of employee vacation
and severance to individual funds. The assets and liabilities
are included in the
governmental activities on the statement of net position.
(634,994)
(682,739)
Net position of governmental activities
$15,524,257
$14,347,159
The accompanying notes are an integral part of these financial statements.
33
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE
GOVERNMENTALFUNDS
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
The accompanying notes are an integral part of these financial statements.
34
Street
Street
2012 Street
General Fund
Improvement Debt
HRA Debt Service
Improvement
HRA Projects
Improvement
101/900
Service 345
311/312/335/336
Projects 340
319/321/326/330
Project Fund 517
Revenues:
General property taxes
$3,551,089
$898,415
$377,755
$ -
$ -
$
Tax increment collections
-
-
-
1,117,824
Licenses, fees and permits
351,102
-
Intergovernmental
899,613
-
Special assessments
-
178,624
Charges for services
1,471,652
-
Cable franchise fees
109,009
Fines and forfeits
119,035
-
-
-
Investment income
29,840
15,482
11,300
73,776
Contributions and donations
11,800
-
-
-
Refunds and reimbursement
9,130
-
Miscellaneous
73,420
-
-
10,464
Total revenues
6,625,690
1,092,521
389,055
0
1,202,064
0
Expenditures:
Current:
General government
871,369
-
-
19,673
Public safety
4,328,233
-
-
Public works
904,693
2,331
Parks and recreation
248,478
-
Nondepartmental
59,265
Housing and redevelopment
-
710
Capital outlay:
General government
Public safety
Public works
Parks and recreation
-
-
Debt service:
Principal
2,305,000
4,575,000
-
Interest
158,428
519,259
93,154
Paying agent fees
1,747
3,494
-
Professional service
5,332
-
Issuance costs
-
77,241
Construction/acquisition costs
-
-
Developer incentives
-
-
-
431,875
-
Total expenditures
6,412,038
2,470,507
5,174,994
0
545,412
2,331
Revenues over (under) expenditures
213,652
(1,377,986)
(4,785,939)
0
656,652
(2,331)
Other financing sources (uses):
Bonds issued
-
-
-
Refunding bonds issued
3,665,000
Premium on debt issued
83,318
Sale of capital assets
-
-
-
Transfers in
264,244
152,271
1,070,467
Transfers out
(150,954)
-
(1,767)
(152,271)
(1,068,700)
(10,330)
Total other financing sources (uses)
113,290
152,271
4,817,018
(152,271)
(1,068,700)
(10,330)
Net change in fund balance
326,942
(1,225,715)
31,079
(152,271)
(412,048)
(12,661)
Fund balance (deficit) - January 1
2,148,539
2,846,150
592,047
152,271
534,795
12,661
Prior period adjustment
-
-
-
-
-
-
Fund balance (deficit) - January 1, as restated
2,148,539
2,846,150
592,047
152,271
534,795
12,661
Fund balance (deficit) - December 31
$2,475,481
$1,620,435
$623,126
$0
$122,747
$0
The accompanying notes are an integral part of these financial statements.
34
Statement 4
2014 Street
2015 Street
2016 Street
(35,544)
Other
0
(8,061,676)
Improvement
Improvement
Improvement
Silver Lake Road
Governmental Intra -Activity
43,755
Project Fund 521
Project Fund 523
Project Fund 525
Bond Fund 365
Funds Eliminations
Total Governmental Funds
-
4,970,000
-
39,174
2014
2013
$
$
$
$178,123
$1,047,737 $
$6,053,119
$5,657,416
-
13,390
-
13,390
1,117,824
1,398,000
421,184
-
351,102
342,390
75,000
18,673
-
471,193
1,464,479
792,477
166,404
-
0
0
146,960
491,988
587,191
-
2,381,324
169,220
(130,223)
315,959
1,787,611
1,932,268
0
(456,743)
(901,324)
(138,667)
-
109,009
104,089
-
-
9,550,587
-
7,549
126,584
129,363
11,754
-
1,354
45,710
189,216
24,197
-
165,606
3,237,185
-
33,840
45,640
16,134
($130,223)
($68,773)
$1,470,614
$2,949,884
3,428
12,558
37,286
-
-
7,671
91,555
338,433
253,158
18,673
0
179,477
2,080,047 0
11,840,685
11,359,244
-
-
35,459
926,501
836,190
29,330
4,357,563
4,174,754
94,354
1,001,378
1,042,876
214,579
463,057
420,826
-
59,265
56,117
143,153
143,863
150,070
38,826
38,826
8,157
283,189
283,189
5,792
53,143
53,143
270,443
-
49,464
49,464
-
110,000
795,000
7,785,000
4,245,000
56,950
311,425
1,139,216
1,308,344
633
1,979
7,853
16,387
-
34
11,738
17,104
6,682
61,155
-
-
47,404
-
185,800
66,035
2,088,202
148,896
68,773
-
653,393
2,959,264
1,618,986
-
-
-
-
-
431,875
415,233
2,149,357
148,896
68,773
215,021
2,715,032 0
19,902,361
14,641,892
(1,896,199)
(130,223)
(68,773)
(35,544)
(634,985)
0
(8,061,676)
(3,282,648)
2,026,245
-
43,755
2,070,000
1,775,000
-
1,305,000
-
4,970,000
-
39,174
35,552
-
158,044
42,080
-
-
13,390
13,390
25,244
421,184
(1,514,667)
393,499
539,000
-
-
(130,645)
1,514,667
-
-
2,065,419
0
0
1,340,552
347,684
0
7,604,933
2,381,324
169,220
(130,223)
(68,773)
1,305,008
(287,301)
0
(456,743)
(901,324)
(138,667)
165,606
3,237,185
-
9,550,587
10,663,034
-
-
-
(211,123)
(138,667)
0
0
165,606
3,237,185
0
9,550,587
10,451,911
$30,553
($130,223)
($68,773)
$1,470,614
$2,949,884
$0
$9,093,844
$9,550,587
The accompanying notes are an integral part of these financial statements.
35
CITY OF ST. ANTHONY, MINNESOTA
RECONCILIATION OF THE STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES OF
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2014
With Comparative Amounts For The Year Ended December 31, 2013
Statement 5
2014 2013
Amounts reported for governmental activities in the
statement of activities (statement 2) are different because:
Net changes in fund balances - total governmental funds (statement 4) ($456,743) ($901,324)
Governmental funds report capital outlays as expenditures. However, in the
statement of activities the cost of those assets is allocated over their
estimated useful lives and reported as depreciation expense. This is the
amount by which capital outlays exceeded depreciation in the current period. 1,477,477 45,991
The net effect of various miscellaneous transactions involving capital assets
(i.e. sales, trade-ins and donations) is to decrease net position, as follows: (16,729) (58,447)
Revenues in the statement of activities that do not provide current financial
resources are not reported as revenues in the funds. 21,881 50,767
The issuance of long-term debt (e.g. bonds, leases) provides current financial
resources to governmental funds, while the repayment of the principal of
long-term debt consumes the current financial resources of governmental
funds. Neither transaction, however, has any effect on net position. This
amount is the net effect of these differences in the treatment of long-term debt
and related items. 506,667 2,354,911
Some expenses reported in the statement of activities do not require the use of
current financial resources and, therefore, are not reported as expenditures in
governmental funds. 94,581 90,698
Transfer out of governmental capital assets contributed to Enterprise Funds (497,781) (1,348,238)
Internal Service Funds are used by management to charge the cost of severance
expense to individual funds. This amount is the net income attributable to
governmental activities. 47,745 (54,776)
Change in net position of governmental activities (statement 2) $1,177,098 $179,582
The accompanying notes are an integral part of these financial statements.
36
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
December 31, 2014
With Comparatvie Totals For December 31, 2013
Assets:
Current assets:
Cash and cash equivalents
Interfund loan receivable - current portion
Receivables:
Accounts
Prepaid items
Inventories - at cost
Total current assets
Noncurrent assets:
Interfund loan receivable - noncurrent portion
Capital assets:
Land
Construction in progress
Buildings and structures
Furniture, fixtures and equipment
Distribution and collection system
Software intangibles
Total capital assets
Less: Allowance for depreciation
Net capital assets
Total noncurrent assets
Total assets
Liabilities:
Current liabilities:
Accounts payable
Contracts payable
Due to other governmental units
Salaries payable
Accrued interest payable
Refundable deposits
Compensated absences payable - current portion
Bonds and notes payable - current portion
Total current liabilities
Statement 6
Governmental
Business -Type Activities Enterprise Funds Activities -
701/704 Water Internal Service
Liquor 705 and Sewer Totals Fund
2014 2013
$461,439 $3,664,316 $4,125,755 $4,538,842 $26,972
- 125,620 125,620 131,195 -
1,999
499,366 501,365
457,845 -
11,679
14,423 26,102
22,976 -
869,602
- 869,602
797,400 -
1,344,719
4,303,725 5,648,444
5,948,258 26,972
889,906 889,906 895,526
325,362
5,653
5,653
5,653
-
-
172,154
172,154
-
-
1,875,328
2,007,955
3,883,283
3,883,283
-
418,325
1,036,970
1,455,295
1,441,075
-
-
8,636,295
8,636,295
8,145,639
-
26,022
-
26,022
26,022
-
2,319,675
11,859,027
14,178,702
13,501,672
0
(1,033,971)
(5,737,591)
(6,771,562)
(6,410,371)
-
1,285,704
6,121,436
7,407,140
7,091,301
0
1,285,704
7,011,342
8,297,046
7,986,827
0
2,630,423
11,315,067
13,945,490
13,935,085
26,972
325,362
42,654
368,016
153,762 -
-
152,642
152,642
- -
60,447
8,180
68,627
363,687 -
30,703
31,089
61,792
59,739 -
-
11,083
11,083
12,000 -
-
77,825
77,825
84,550 -
19,073
28,199
47,272
43,533 203,559
-
119,508
119,508
114,508 -
435,585
471,180
906,765
831,779 203,559
Noncurrent liabilities:
Compensated absences payable - noncurrent portion
42,951
63,503
106,454
100,015
458,407
Bonds and notes payable - noncurrent portion
-
1,251,440
1,251,440
1,370,948
-
Other post employement benefits
38,525
35,754
74,279
61,431
-
Total noncurrent liabilities
81,476
1,350,697
1,432,173
1,532,394
458,407
Total liabilities
517,061
1,821,877
2,338,938
2,364,173
661,966
Net position:
Net investments in capital assets
1,285,704
4,750,488
6,036,192
5,605,845
-
Unrestricted
827,658
4,742,702
5,570,360
5,965,067
(634,994)
Total net position
$2,113,362
$9,493,190
$11,606,552
$11,570,912
($634,994)
The accompanying notes are an integral part of these financial statements.
37
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF REVENUES, EXPENSES AND Statement 7
CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
For The Year Ended December 31, 2014
With Comparatvie Totals For The Year Ended December 31, 2013
Governmental
Business -Type Activities Enterprise Funds Activities -
Operating expenses:
Personal services
Supplies
Contracted services
Treatment charges (MCES)
Other
Depreciation
Total operating expenses
Operating income (loss)
Nonoperating revenues (expenses):
Investment income
Interest expense
Fees and cost of issuance
Miscellaneous revenue
Total nonoperating revenues (expenses)
Income (loss) before capital
contributions and transfers
Capital contributions and transfers:
Capital contributions
Transfers in
Transfers out
Change in net position
Net position - January 1
Net position - December 31
719,778
738,151
701/704
1,437,316
38,780
321,687
80,317
Water and
380,553
Internal
36,122
Liquor 705
Sewer
Totals
Service Fund
-
620,470
620,470
2014
2013
Sales
$6,078,039
$ -
$6,078,039
$6,908,143 $ -
Cost of sales
(4,704,566)
-
(4,704,566)
(5,281,745) -
Gross profit
1,373,473
0
1,373,473
1,626,398 0
Operating revenues:
(331,139)
(132,340)
371,979
(38,780)
Customer billings
-
1,789,849
1,789,849
1,729,883 -
Connection charges
-
10,400
10,400
150,800 -
Total operating revenues
0
1,800,249
1,800,249
1,880,683 0
Total gross profit and operating revenues
1,373,473
1,800,249
3,173,722
3,507,081 0
Operating expenses:
Personal services
Supplies
Contracted services
Treatment charges (MCES)
Other
Depreciation
Total operating expenses
Operating income (loss)
Nonoperating revenues (expenses):
Investment income
Interest expense
Fees and cost of issuance
Miscellaneous revenue
Total nonoperating revenues (expenses)
Income (loss) before capital
contributions and transfers
Capital contributions and transfers:
Capital contributions
Transfers in
Transfers out
Change in net position
Net position - January 1
Net position - December 31
719,778
738,151
1,457,929
1,437,316
38,780
321,687
80,317
402,004
380,553
-
36,122
195,017
231,139
174,583
-
-
620,470
620,470
588,795
-
20,521
208,478
228,999
228,535
-
76,566
288,955
365,521
325,320
-
1,174,674
2,131,388
3,306,062
3,135,102
38,780
198,799
(331,139)
(132,340)
371,979
(38,780)
5,881
105,631
111,512
51,593
225
-
(22,275)
(22,275)
(29,102)
-
-
(683)
(683)
(36,898)
-
58,262
3,182
61,444
66,478
-
64,143
85,855
149,998
52,071
225
262,942
(245,284)
17,658
424,050
(38,555)
7,125
490,656
497,781
1,348,238
-
-
15,645
15,645
-
86,300
(395,444)
(100,000)
(495,444)
(539,000)
-
(125,377)
161,017
35,640
1,233,288
47,745
2,238,739
9,332,173
11,570,912
10,337,624
(682,739)
$2,113,362
$9,493,190
$11,606,552
$11,570,912
($634,994)
The accompanying notes are an integral part of these financial statements.
38
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Cash flows from operating activities
Statement 8
Governmental
Business -Type Activities Enterprise Funds Activities -
701/704 Water Internal Service
Liquor 705 and Sewer Totals Fund
2014 2013
Receipts from customers and users
$6,076,040
$1,758,728
$7,834,768
$8,791,589
$ -
Payment to suppliers
(4,978,554)
(1,371,483)
(6,350,037)
(6,497,359)
-
Payment to employees
(706,554)
(726,296)
(1,432,850)
(1,407,851)
(27,022)
Miscellaneous revenue
58,262
3,182
61,444
66,478
$952,857 ($27,022)
Net cash flows provided by (used in) operating activities
449,194
(335,869)
113,325
952,857
(27,022)
Cash flows from noncapital financing activities:
Transfer from other funds
-
15,645
15,645
-
86,300
Transfer to General Fund
(214,244)
(50,000)
(264,244)
(380,800)
-
Transfer to Capital Project Funds
(181,200)
(50,000)
(231,200)
(158,200)
-
Change in interfund receivable/payable
-
-
-
-
(32,531)
Net cash flows provided by (used in) noncapital financing
activities
(395,444)
(84,355)
(479,799)
(539,000)
53,769
Cash flows from capital and related
financing activities:
Acquisiton of capital assets
Change in interfund loan receivable/payable
Interest received on interfund receivable
Proceeds from debt
Issuance costs paid on debt
Principal paid on debt
Interest paid on debt
Net cash flows provided by (used in) capital and related
financing activities
Cash flows from investing activities:
Investment income
Net increase (decrease)in cash and cash equivalents
Cash and cash equivalents - January 1
Cash and cash equivalents - December 31
Reconciliation of operating income (loss) to net cash
provided (used) by operating activities:
Operating income (loss)
Adjustments to reconcile operating income (loss)
to net cash flows from operating activities:
Miscellaneous revenue
Depreciation
Changes in assets and liabilities:
Decrease (increase)in receivables
Decrease (increase) in prepaid items
Decrease (increase) in inventory
Increase (decrease)in payables
Total adjustments
Net cash provided by operating activities
- (30,937)
(30,937)
-
11,195
11,195
1,098,029
41,623
41,623
67,730
- -
-
1,489,964
- -
-
(36,898)
- (110,000)
(110,000)
(1,545,000)
- (28,383)
(28,383)
(48,458)
0 (116,502) (116,502) 1,025,367 0
5,881
64,008
69,889
(10,059) 225
59,631
(472,718)
(413,087)
1,429,165 26,972
401,808
4,137,034
4,538,842
3,109,677 -
$461,439
$3,664,316
$4,125,755
$4,538,842 $26,972
$198,799 ($331,139) ($132,340) $371,979 ($38,780)
58,262 3,182 61,444 66,478
76,566 288,955 365,521 325,320
(1,999)
(41,521)
(43,520)
2,763 -
(3,918)
792
(3,126)
15,516 -
(72,202)
-
(72,202)
35,094 -
193,686
(256,138)
(62,452)
135,707 11,758
250,395
(4,730)
245,665
580,878 11,758
$449,194
($335,869)
$113,325
$952,857 ($27,022)
Noncash investing, capital and financing activities:
Liquor assets in the amount of $7,125 and $0 were contributed to the Water and Sewer Fund in 2014 and 2013, respectively.
Water and Sewer System assets in the amount of $490,656 and $1,348,238 were contributed to the Water and Sewer Fund in 2014 and 2013, respectively.
The accompanying notes are an integral part of these financial statements.
39
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF FIDUCIARY NET POSITION
FIDUCIARY FUND -DEVELOPERS DEPOSIT
December 31, 2014
With Comparative Totals For December 31, 2013
2014
Assets:
Cash and investments ($1,090)
Accounts receivable - net 1,090
Total assets $0
Liabilities:
Deposits payable $ -
The accompanying notes are an integral part of these financial statements.
40
Statement 9
2013
($7,234)
7,234
$0
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of St. Anthony, Minnesota (the City) operates pursuant to applicable Minnesota laws and statutes
under the council-manager plan (Statutory Plan B) as defined by State statutes. The government of the City is
directed by a Council composed of an elected mayor and four other elected members. The Council exercises
legislative authority and determines matters of policy. The Council appoints the City Manager who is
responsible for the administration of all affairs relating to the City.
The financial statements of the City 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 (the primary government) and its component units. The component
unit discussed below is included in the City's reporting entity because of the significance of their
operational or financial relationships with the City.
COMPONENT UNITS
In conformity with generally accepted accounting principles, the financial statements of the component
unit have been included in the financial reporting entity as a blended component unit.
The Housing and Redevelopment Authority (HRA) 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 HRA board members and its activity is
confined to the City. The City established the HRA under State statutes to assist and support housing
and redevelopment projects undertaken within the City which are under the statutory authority of the
HRA. The City reviews and approves tax levies and other financial matters related to the HRA. The
City provides major financing of HRA activities and debt issued in connection with HRA projects are
general obligations of the City. The activity of the HRA is reported in the HRA Debt Service Fund,
the HRA Projects Fund and the HRA Special Revenue Fund. Separate financial statements are not
prepared for the HRA.
B. GOVERNMENT -WIDE AND FUND FINANCIAL STATEMENTS
The government -wide financial statements (i.e. the statement of net position and the statement of
changes in net position) report information on all of the nonfiduciary activities of the primary
government and its component units. For the most part, the effect of interfund activity has been
removed from these statements. Governmental activities, which normally are supported by taxes and
intergovernmental revenues, are reported separately from business -type activities, which rely to a
significant extent, on fees and charges for support.
41
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
The statement of activities demonstrates the degree to which the direct expenses of a given function or
business -type activity is offset by program revenues. Direct expenses are those that are clearly
identifiable with a specific function or business -type activity. Program revenues include 1) charges to
customers or applicants who purchase, use or directly benefit from goods, services or privileges
provided by a given function or business -type activity; and, 2) grants and contributions that are
restricted to meeting the operational or capital requirements of a particular function or business -type
activity. Taxes and other items not included among program revenues are reported instead as general
revenues.
Separate financial statements are provided for governmental funds and proprietary funds. Major
individual governmental funds and major individual enterprise funds are reported as separate columns
in the fund financial statements.
C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING AND FINANCIAL STATEMENT
PRESENTATION
The government -wide financial statements are reported using the economic resources measurement
focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues
are recorded when earned and expenses are recorded when a liability is incurred, regardless of the
timing of related cash flows. Property taxes are recognized as revenues in the year for which they are
levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements
imposed by the provider have been met. The City's only fiduciary fund is an agency fund. Agency
funds are custodial in nature (assets equal liabilities) and do not involve measurement of results of
operations.
Governmental fund financial statements are reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as
they are both measurable and available. Revenues are considered to be available when they are
collectible within the current period or soon enough thereafter to pay liabilities of the current period.
For this purpose, the City considers all revenues, except property taxes and reimbursement grants, to
be available if they are collected within 90 days of the end of the current fiscal period. Property taxes
are considered available if they are collected within 60 days of the end of the current year.
Reimbursement grants are considered available if they are collected within one year of the end of the
current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual
accounting. However, debt service expenditures, as well as expenditures related to compensated
absences and claims and judgments, are recorded only when payment is due.
Property taxes, special assessments, intergovernmental revenues, charges for services and interest
associated with the current fiscal period are all considered to be susceptible to accrual and so have
been recognized as revenues of the current fiscal period. Only the portion of special assessments
receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of
the current period. All other revenue items are considered to be measurable and available only when
cash is received by the City.
42
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
The City reports the following major governmental funds:
The General Fund is the government's primary operating fund. It accounts for all financial
resources of the general government, except those required to be accounted for in another fund.
The Street Improvement Debt Service Fund was established to account for debt associated with a
systematic plan to reconstruct substandard residential streets and alleys. Annual debt service
payments are funded through special assessments and tax levies.
The HRA Debt Service Fund was established to account for debt associated with Tax Increment
Financing Districts of the City.
The Street Improvement Projects Fund was established to account for the construction costs for
annual road reconstruction projects.
The HRA Projects Fund was established to account for the construction and redevelopment costs
within the City.
The 2012 Street Improvement Project Fund accounts for the construction costs associated with the
reconstruction of Belden Drive and Coolidge Street between 34' and 361 Avenues, 35' Avenue
between Belden Drive and Harding Street and miscellaneous sanitary sewer and stormwater
repairs.
The 2014 Street Improvement Project Fund accounts for the construction costs associated with the
reconstruction of Penrod Lane between 36' and 37th Avenues, Edgmere Avenue between Penrod
Lane and Chelmsford Road, and Wenhurst Avenue between Penrod Lane and Chelmsford Road.
The 2015 Street Improvement Project Fund accounts for the construction costs associated with
reconstruction of 3611 Avenue between Highcrest Road and Silver Lake Road and Chelmsford
Road between 361 and 37' Avenue, the mill and overlay of Saint Anthony Boulevard between
Highway 88 and Ridgeway and reconstruction of Coolidge area alley and certain stormwater
improvements.
The 2016 Street Improvement Project Fund accounts for the construction costs associated with the
reconstruction of Stinson Boulevard between 371 Avenue and Silver Lane, sidewalk
improvements, railroad crossing improvements and street lighting improvements.
The Silver Lake Road Bond Fund was established to account for the debt service associated with
the reconstruction and infrastructure improvements of Silver Lake Road.
The City reports the following major proprietary funds:
The Liquor Fund is an enterprise fund that is used to account for operations of the City's off -sale
liquor operation.
The Water and Sewer Fund accounts for the water and sewer service charges which are used to
finance the water and sewer system operating expenses, and the operation and maintenance of the
City's water purification plant.
43
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Additionally, the City reports the following fund types:
Internal Service Fund - the Severance Fund accounts for the liability the City has for employee
vacation and severance payments.
Agency Fund - the Developer Deposits Fund accounts for costs incurred by the City for the
review of various land use permits requested by developers and subsequent owners. The City
requires the developer or owner to pay the costs associated with the permitting process. The City
collects an initial deposit and bills any overages as needed.
As a general rule the effect of interfund activity has been eliminated from the government -wide
financial statements. Exceptions to this general rule are transactions that would be treated as revenues,
expenditures or expenses if they involved external organizations, such as buying goods and services or
payments in lieu of taxes, are similarly treated when they involve other funds of the City. Elimination
of these charges would distort the direct costs and program revenues reported for the various functions
concerned.
Amounts reported as program revenues include 1) charges to customers or applicants for goods,
services or privileges provided, 2) operating grants and contributions, and 3) capital grants and
contributions, including special assessments. Internally dedicated resources are reported as general
revenues rather than as program revenues. Likewise, general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating
revenues and expenses generally result from providing services and producing and delivering goods in
connection with a proprietary fund's principal ongoing operations. The principal operating revenues
of the liquor, water and sewer enterprise funds are charges to customers for sales and services.
Operating expenses for enterprise funds include the cost of sales and services, administrative expenses,
and depreciation on capital assets. All revenues and expenses not meeting this definition are reported
as nonoperating revenues and expenses.
When both restricted and unrestricted resources are available for an allowable use, it is the City's
policy to use restricted resources first, then unrestricted resources as they are needed.
D. BUDGETS
Budgets are legally adopted on a basis consistent with generally accepted accounting principles.
Annual appropriated budgets are legally adopted for the General and all Special Revenue Funds.
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.
44
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
E. LEGAL COMPLIANCE - BUDGETS
The City follows these procedures in establishing the budgetary data reflected in the financial
statements:
1) The City Manager submits to the City Council a proposed operating budget for the upcoming year
in August. The operating budget includes proposed revenues and expenditures and the operating
levy associated with operations.
2) The City Council and staff meet to review the proposed budget and Council recommends any
appropriate changes.
3) Public hearings are conducted in April and December to obtain taxpayer comments and
recommendations to the operating budget.
4) The budget and tax levy is legally enacted through the passage of a resolution on a department
basis for the General Fund and on a fund basis for Special Revenue and Enterprise Funds that can
be expended by each department based upon detailed budget estimates.
5) The City Manager and Finance Director are authorized to transfer appropriations within any
department budget. Interdepartmental or interfund appropriations and deletions are authorized by
the City Council with fund contingency reserves or additional revenues.
6) Formal budgetary integration is employed as a management control device during the year for the
General Fund, Special Revenue, Capital Equipment and Enterprise Funds. The General Fund,
Special Revenue Funds and Enterprise Funds all have Council adopted annual budgets.
7) Legal debt obligation indentures determine the appropriation level of 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.
8) A capital improvement program is reviewed annually 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.
9) The legal level of budgetary control is at the department level for the General Fund and the fund
level for the Special Revenue Funds. Monitoring of budgets is maintained at the expenditure
category level (i.e., personal services; materials and supplies; contractual services; and capital
outlay) within each program. All amounts over budget have been approved by the City Council
through the disbursement process.
10) The City Council may authorize transfer of budgeted amounts between City funds. The City
Council made supplemental budgetary appropriations throughout the year. Individual
amendments were not material in relation to the original appropriations which were adjusted.
45
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
The following is a listing of the General Fund departments and Special Revenue Funds whose
expenditures exceed budget appropriations:
Major Fund:
General Fund
Finance
Legal
Planning and zoning
General government buildings
Police protection
Fire protection
Protective inspections
Equipment maintenance
Tree and weed care
Nondepartmental
Nonmajor Funds:
Special Revenue Funds:
Community Center Fund
HRA Fund
F. CASH AND INVESTMENTS
Final
Over
Budget
Actual
Budget
$256,894
$260,168
$3,274
103,750
162,670
58,920
46,825
59,320
12,495
$61,362
$68,357
6,995
3,047,461
3,084,925
37,464
916,117
1,006,141
90,024
81,623
162,236
80,613
357,089
368,026
10,937
39,588
40,042
454
28,200
59,265
31,065
178,867
192,816
13,949
140,612
143,153
2,541
Cash and investment balances from all funds, except the Liquor Fund, are pooled and invested to the
extent available in authorized investments. Investment income is 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. These interfund balances
are eliminated on the government -wide financial statements.
Investments are stated at fair value, based upon quoted market prices, except for investments in 2a7 -
like external investment pools, which are stated at amortized cost. Investment income is accrued at the
balance sheet date.
For purposes of the statement of cash flows, the City 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 Funds have original maturities of 90 days or less. Therefore,
the entire balance in the Proprietary Funds is considered cash equivalents.
Funds held in trust represent bond proceeds related to the Public Facilities Lease Revenue bond issue
which are being held by a trustee. The trustee is responsible for the investment of these funds.
46
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
G. RECEIVABLES AND PAYABLES
During the course of operations, numerous transactions occur between individual funds for goods
provided or services rendered. Short-term interfund loans are classified as "interfund
receivables/payables." All short-term interfund receivables and payables at December 31, 2014 are
planned to be eliminated in 2015. Long-term interfund loans are classified as "interfund loan
receivable/payable." Any residual balances outstanding between the governmental activities and
business -type activities are reported in the government -wide financial statements as "internal
balances."
Uncollectible property taxes and special assessments are not material and have not been reported (see
Note 1 H and I). Because utility bills are considered liens on property, no estimated uncollectible
amounts are established. Uncollectible amounts are not material for other receivables and have not
been reported.
H. 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 7 and
December 2 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.
GOVERNMENT -WIDE FINANCIAL STATEMENTS
The City recognizes property tax revenue in the period for which the taxes were levied. Uncollectible
property taxes are not material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
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 January are recognized as revenue for the current year. Taxes
collected by the County by December 31 (remitted to the City the following January) and taxes and
credits not received at 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 inflow of
resources because they are not available to finance current expenditures.
I. 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
47
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
manner as property taxes. Property owners are allowed to (and often do) prepay future installments
without interest or prepayment penalties.
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. Proceeds of sales from tax forfeit properties are allocated first to the County's costs of
administering all tax forfeit properties. 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.
GOVERNMENT -WIDE FINANCIAL STATEMENTS
The City recognizes special assessment revenue in the period that the assessment roll was adopted by
the City Council. Uncollectible special assessments are not material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
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 that are collected by the County by December 31 (remitted to the City the following
January) are also recognized as revenue for the current year. All remaining delinquent, deferred and
special deferred assessments receivable in governmental funds are completely offset by deferred
inflow of resources.
J. INVENTORIES
GOVERNMENTAL FUNDS
Inventories are valued at cost using the first-in/first-out (FIFO) method. The cost of such inventories
are recorded as expenditures when consumed rather than when purchased.
PROPRIETARY FUNDS
Inventories of the Proprietary Funds are stated at weighted average cost, which approximates market,
using the first -in, first -out (FIFO) method.
K. PREPAID ITEMS
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as
prepaid items in both government -wide and fund financial statements. Prepaid items are reported
using the consumption method and recorded as expenditures/expenses at the time of consumption.
L. CAPITAL ASSETS
Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, bridges,
sidewalks, and similar items) and intangible assets such as easements and computer software, are
reported in the applicable governmental or business -type activities columns in the government -wide
financial statements. Capital assets are defined by the City as assets with an initial, individual cost of
more than $5,000 (amount not rounded) and an estimated useful life in excess of one year. Such assets
48
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital
assets are recorded at estimated fair market value at the date of donation.
Pursuant to GASB Statement 34, in the case of the initial capitalization of general infrastructure assets
(i.e. those reported by governmental activities), the City chose to capitalize retroactively to 1980.
These assets are reported at estimated historical cost. The City estimated historical cost for the initial
reporting of these assets through analysis of original bonding documents. As the City constructs or
acquires additional infrastructure assets each period, they will be capitalized and reported at historical
cost.
The costs of normal maintenance and repairs that do not add to the value of the asset or materially
extend assets lives are not capitalized.
Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest
incurred during the construction phase of capital assets of business -type activities is included as part of
the capitalized value of the assets constructed. For the year ended December 31, 2014, no interest was
capitalized in connection with construction in progress.
The City implemented GASB Statement No. 51, Accounting and Financial Reporting for Intangible
Assets effective January 1, 2010 which required the City to capitalize and amortize intangible assets.
Pursuant to GASB Statement 51, in the case of initial capitalization of intangible assets, the City chose
to include such items regardless of their acquisition date, except for permanent easements and
internally generated software. The City has already accounted for computer software and temporary
easements at historical cost and therefore retroactive reporting was not necessary.
Property, plant and equipment of the primary government, as well as the component units, are
depreciated/amortized using the straight-line method over the following estimated useful lives:
Assets
Buildings and structures 5 — 40 years
Furniture, fixtures and equipment (including software) 3 — 20 years
Distribution and collection systems 20 — 50 years
Streets 20 — 50 years
Storm sewers 25 years
M. COMPENSATED ABSENCES
It is the City's policy to permit employees to accumulate earned but unused personal leave benefits. All
personal leave pay is accrued when incurred in the government -wide and proprietary fund financial
statements. A liability for these amounts associated with governmental fund employees is reported in
the Internal Service Severance Fund. In accordance with the provisions of Statement of Government
Accounting Standards No. 16, Accounting for Compensated Absences, no liability is recorded for
nonvesting accumulating rights to receive personal leave benefits. However, a liability is recognized
for that portion of accumulating personal leave benefits that is vested as severance pay.
49
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
N. LONG-TERM OBLIGATIONS
In the government -wide financial statements and proprietary funds in the fund financial statements,
long-term debt and other long-term obligations are reported as liabilities in the applicable
governmental activities, business -type activities, or proprietary funds statement of net position. Bond
premiums and discounts are deferred and amortized over the life of the bonds. Bonds payable are
reported net of the applicable bond premium discount.
In the governmental fund financial statements, governmental funds recognize bond premiums and
discounts during the current period. The face amount of debt issued is reported as other financing
sources. Premiums received on debt issuances are reported as other financing sources while discounts
on debt issuances are reported as other financing uses.
O. FUND BALANCE CLASSIFICATIONS
In the fund financial statements, governmental funds report fund balance in classifications that disclose
constraints for which amounts in those funds can be spent. These classifications are as follows:
Nonspendable - consists of amounts that are not in spendable form, such as prepaid items.
Restricted - consists of amounts related to externally imposed constraints established by creditors,
grantors or contributors; or constraints imposed by state statutory provisions.
Committed - consists of internally imposed constraints. These constraints are established by
resolution of the City Council.
Assigned - consists of internally imposed constraints. These constraints reflect the specific
purpose for which it is the City's intended use. These constraints are established by the City
Council and/or management. Pursuant to City Council policy, the City's Finance Director and/or
City Manager are authorized to establish assignments of fund balance.
Unassigned - is the residual classification for the general fund and also reflects negative residual
amounts in other funds.
When both restricted and unrestricted resources are available for use, it is the City's policy to first use
restricted resources, and then use unrestricted resources as they are needed.
When committed, assigned or unassigned resources are available for use, it is the City's policy to use
resources in the following order; 1) committed 2) assigned and 3) unassigned.
P. INTERFUND TRANSACTIONS
Interfund services provided and used 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. Interfund loans are
reported as an interfund loan receivable or payable which offsets the movement of cash between
funds. All other interfund transactions are reported as transfers.
50
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Q. USE OF ESTIMATES
The preparation of financial statements in accordance with generally accepted accounting principles
(GAAP) requires management to make estimates that affect amounts reported in the financial
statements during the reporting period. Actual results could differ from such estimates.
R. RECLASSIFICATIONS
Certain amounts presented in the prior year data has been reclassified in order to be consistent with the
current year's presentation.
S. COMPARATIVE TOTALS
The basic financial statements, required supplementary information, combining and individual fund
financial statements and schedules and supplementary financial information include certain prior -year
summarized comparative information in total but not at the level of detail required for presentation in
conformity with generally accepted accounting principles. Accordingly, such information should be
read in conjunction with the City's financial statements for the year ended December 31, 2013, from
which the summarized information was derived.
T. DEFERRED OUTFLOWS/INFLOWS OF RESOURCES
In addition to assets, the statement of financial position will sometimes report a separate section for
deferred outflows of resources. This separate financial statement element, deferred ou�flows of
resources, represents a consumption of net position that applies to a future period(s) and so will not be
recognized as an outflow of resources (expense/expenditure) until then. The government has no items
that qualify for reporting in this category.
In addition to liabilities, the statement of financial position will sometimes report a separate section for
deferred inflows of resources. This separate financial statement element, deferred inflows of
resources, represents an acquisition of net position that applies to a future period(s) and so will not be
recognized as an inflow of resources (revenue) until that time. The government has one type of item,
which arises only under a modified accrual basis of accounting, that qualifies for reporting in this
category. Accordingly, the item, unavailable revenue, is reported only in the governmental fund
balance sheet. The governmental funds report unavailable revenues from the following sources:
property taxes, special assessments, and tax increment.
51
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
U. RECONCILIATION OF GOVERNMENT -WIDE AND FUND FINANCIAL STATEMENTS
1. EXPLANATION OF CERTAIN DIFFERENCES BETWEEN THE GOVERNMENTAL FUND
BALANCE SHEET AND THE GOVERNMENT -WIDE STATEMENT OF NET POSITION
The governmental fund balance sheet includes a reconciliation between fund balance — total
governmental funds and net position — governmental activities as reported in the government -wide
statement of net position. One element of that reconciliation explains that "long-term liabilities,
including bonds payable, are not due and payable in the current period and therefore are not
reported in the funds". The details of this ($33,711,150) difference is as follows:
Bonds payable
($32,375,000)
Accrued interest payable
(418,372)
Unamortized bond discounts
2,015
Unamortized bond premium
(484,365)
Other post -employment benefits
(435,428)
Net adjustment to reduce fund balance - total
governmental funds to arrive at net position -
governmental activities. ($33,711,150)
2. EXPLANATION OF CERTAIN DIFFERENCES BETWEEN THE GOVERNMENTAL FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
AND THE GOVERNMENT -WIDE STATEMENT OF ACTIVITIES
The governmental fund statement of revenues, expenditures and changes in fund balances
includes a reconciliation between net changes in fund balances — total governmental funds and
changes in net position of governmental activities as reported in the government -wide statement
of activities. One element of that reconciliation explains that "governmental funds report capital
outlays as expenditures. However, in the statement of activities the cost of those assets is
allocated over their estimated useful lives and reported as depreciation expense." The details of
this $1,477,477 difference is as follows:
Capital outlay
Construction/acquisition costs
Current expenditures capitalized
Depreciation expense
Net adjustment to increase net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities.
52
$424,622
2,959,264
59,162
(1,965,571)
$1,477,477
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Another element of that reconciliation states that "the net effect of various miscellaneous
transactions involving capital assets (i.e. sales, trade-ins, and donations) is to decrease net
position." The details of this ($16,729) difference are as follows:
The statement of activities reports losses arising
from the trade-in or disposal of existing capital
assets to acquire new capital assets. Conversely,
governmental funds do not report any gain or loss
on a trade-in of capital assets. ($16,729)
Net adjustment to decrease net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities. ($16,729)
Another element of that reconciliation states that "revenues in the statement of activities that do
not provide current financial resources are not reported as revenues in the funds". The details of
this $21,881 difference is as follows:
Unavailable revenue - general property taxes:
At December 31, 2013
At December 31, 2014
Unavailable revenue - tax increment taxes:
At December 31, 2013
At December 31, 2014
Unavailable revenue - special assessments:
At December 31, 2013
At December 31, 2014
Net adjustments to decrease net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities.
53
($117,036)
94,475
(40,539)
54,611
(1,758,678)
1,789,048
$21,881
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Another element of that reconciliation states that "the issuance of long-term debt (e.g. bonds,
leases) provides current financial resources to governmental funds, while the repayment of
principal of the long-term debt consumes the current financial resources of governmental funds".
Neither transaction, however, has any effect on net position. The details of this $506,667
difference is as follows:
Debt issued or incurred:
Issuance of general obligation bonds ($7,040,000)
Premium on issued bonds (158,044)
Principal repayments 7,785,000
Other post employment benefits (80,289)
Net adjustment to increase net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities. $506,667
Another element of that reconciliation states that "some expenses reported in the statement of
activities do not require the use of current financial resources and, therefore, are not reported as
expenditures in governmental funds". The details of this $94,581 difference is as follows:
Amortization of premiums, discounts 51,493
Accrued interest 43,088
Net adjustment to increase net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities. $94,581
Note 2 DEPOSITS AND INVESTMENTS
A. 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.
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. Authorized collateral
includes the following:
a) United States government treasury bills, treasury note and treasury bonds;
b) Issues of United States government agencies and instrumentalities as quoted by a recognized
industry quotation service available to the government entity;
54
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
c) General obligation securities of any state or local government with taxing powers which is rated
"A" or better by a national bond rating service, or revenue obligation securities of any state or
local government with taxing powers which is rated "AA" or better by a national bond rating
service;
d) General obligation securities of a local government with taxing powers may be pledged as
collateral against funds deposited by that same local government entity:
e) Irrevocable standby letters of credit issued by Federal Home Loan Banks to a municipality
accompanied by written evidence that the bank's public debt is rated "AA" or better by Moody's
Investors Service, Inc. or Standard & Poor's Corporation; and
f) Time deposits that are fully insured by any Federal agency.
Custodial Credit Risk — Deposits: Custodial credit risk is the risk that in the event of a bank failure,
the City's deposits may not be returned to it. State statutes require that insurance, surety bonds or
collateral protect all City deposits. The market value of collateral pledged must equal 110% of
deposits not covered by insurance or bonds. As of December 31, 2014, the bank balance of the City's
deposits was covered by federal depository insurance.
B. 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) State and local securities as follows:
1) any security which is a general obligation of any state or local government with taxing
powers which is rated "A" or better by a national bond rating service;
2) any security which is a revenue obligation of any state or local government with taxing
powers which is rated "AA" or better by a national bond rating service; and
3) a general obligation of the Minnesota Housing Finance Agency which is a moral obligation of
the State of Minnesota and is rated "A" or better by a national bond rating agency.
d) Bankers acceptances of United States banks.
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.
667.7
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
g) General obligation temporary bonds of the same governmental entity issued under section
429.091, subdivision 7; 469.178, subdivision 5; or 475.6 1, subdivision 6.
As of December 31, 2014, the City had the following investments and maturities:
Investment Maturities (in Years)
Fair
Less
Over
Investment Type
Rating
Value
Than 1
1-5 6-10
10 Years
Federal Home Loan Bank
AAA
$1,859,402
$1,859,402
$ $ -
$ -
REMIC
NR
88,652
-
468
88,184
Money market
NR
1,101,861
1,101,861
-
-
External investment pool - 4M Fund
NR
4,663,964
4,663,964
Local governments
AA - AAA
714,119
-
714,119 -
Brokered certificates of deposit
NR
4,902,883
1,686,875
3,067,035 148,973
US Treasury State and Local Government (SLGS)
NR
1,290,049
1,290,049
-
-
Total
$14,620,930
$10,602,151
$3,781,154 $149,441
$88,184
NR - Not Rated
Total investments $14,620,930
Petty cash 5,200
Total cash and investments $14,626,130
Following is a reconciliation of the City's cash and investment balances as of December 31, 2014:
Cash and investments $13,337,171
Cash and investments - fiduciary fund ($1,090)
Funds held in trust 1,290,049
$14,626,130
C. INVESTMENT RISKS
Custodial credit risk — investments — For investments in securities, custodial credit risk is the risk that
in the event of failure of the counterparty to a transaction, the City will not be able to recover the value
of its investment securities that are in the possession of an outside party. Investments in investment
pools and money markets are not evidenced by securities that exist in physical or book entry form, and
therefore are not subject to custodial credit risk disclosures. The City's investment policy does not
address custodial risk. However, investments in securities are held by the City's broker-dealers of
which $500,000 is insured through SIPC. The broker-dealer has provided additional protection by
providing additional insurance. This insurance is subject to aggregate limits applied to all of the
broker-dealers' accounts.
Interest rate risk — Interest rate risk is the risk that changes in interest rates of debt investments could
adversely affect the fair value of an investment. The City's investment policy requires the City to
diversify its investment portfolio to eliminate the risk of loss resulting from over concentration of
assets in a specific maturity. The policy also states the City's investment portfolio will remain
sufficiently liquid to enable the City to meet all operating requirements which might be reasonably
anticipated.
56
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Credit Risk — Credit risk is the risk that an issuer or other counterparty to an investment will be unable
to fulfill its obligation to the holder of the investment. State law limits investments in commercial
paper to those rated in the highest quality category by at least two nationally recognized rating
agencies; in any security of the State of Minnesota or any of its municipalities which is rated "A" or
better by a national bond rating service for general obligation and rated "AA" or better for a revenue
obligation; a general obligation of the Minnesota Housing Finance Agency to those rated "A" or better
by a national bond rating agency; mutual funds or money market funds whose investments are
restricted to securities described in MS 118A.04. The City's investment policy does not place further
restrictions on investment options.
Concentration of credit risk — Concentration of credit risk is the risk of loss that may be attributed to
the magnitude of a government's investment in a single issuer. The City places no limit on the amount
the City may invest in any one issuer. More than 5% of the City's investments are in various holdings
as follows:
Federal Home Loan Bank 12.72%
Note 3 RECEIVABLES
Significant receivables balances not expected to be collected within one year of December 31, 2014 are as
follows:
61FA
Major Funds
Street
Improvement
HRA
HRA
Silver Lake
Nonmajor
General Debt Service
Debt Service
Projects
Road Bond
Funds
Total
Special assessments receivable $ - $522,000
$ -
$
$ -
$1,074,000
$1,596,000
Delinquent property taxes 26,500 6,200
2,700
1,300
6,800
43,500
Delinquent Tax Increment - -
-
46,300
-
-
46,300
$26,500 $528,200
$2,700
$46,300
$1,300
$1,080,800
$1,685,800
61FA
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Note 4 UNAVAILABLE REVENUES
Governmental funds report deferred inflows of resources in connection with receivables for revenues that are
not considered to be available to liquidate liabilities of the current period. At the end of the current fiscal year,
the various components of unavailable revenue reported in the governmental funds were as follows:
58
Property
Special
Taxes
Assessments
TIF Total
Major Fund:
General Fund
$57,460
$30
$ - $57,490
Street Improvement Debt Service
13,523
628,505
- 642,028
HRA Debt Service
5,913
-
- 5,913
HRA Projects Fund
-
-
54,611 54,611
Silver Lake Road Bond
2,747
-
- 2,747
Nonmajor Funds
14,832
1,160,513
- 1,175,345
Total unavailale revenue
$94,475
$1,789,048
$54,611 $1,938,134
58
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Note 5 CAPITAL ASSETS
Capital asset activity for the year ended December 31, 2014 was as follows:
Primary Government
Governmental activities:
Capital assets, not being depreciated:
Land
Construction in progress
Total capital assets, not being depreciated
Capital assets, being depreciated:
Buildings and improvements
Land improvement
Furniture, fixtures and equipment (including
software)
Streets
Storm sewers
Storm water
Intangible assets
Total capital assets, being depreciated
Less accumulated depreciation/amortization for:
Buildings and improvements
Land improvement
Furniture, fixtures and equipment
Streets
Storm sewers
Storm water
Total accumulated depreciation/amortization
Total capital assets being depreciated - net
Beginning Ending
Balance Increases Decreases Transfers Balance
$3,747,184 $ - $ - $ - $3,747,184
1,716,674 3,018,428 (1,157,952) (497,781) 3,079,369
5,463,858 3,018,428 (1,157,952) (497,781) 6,826,553
9,836,936 - 9,836,936
505,717 49,464 555,181
3,645,444
344,142 (90,502)
- 3,899,084
31,441,542
997,271
- 32,438,813
428,469
-
- 428,469
2,063,842
189,305
- 2,253,147
-
6,823 -
- 6,823
47,921,950
1,587,005 (90,502)
0 49,418,453
3,455,885
294,013 -
3,749,898
151,267
43,925
195,192
2,412,971
268,278 (69,340)
- 2,611,909
9,158,359
1,258,497
- 10,416,856
87,577
17,139
- 104,716
244,293
83,719
- 328,012
15,510,352
1,965,571 (69,340)
0 17,406,583
32,411,598 (378,566) (21,162) 0 32,011,870
Governmental activities capital assets - net $37,875,456 $2,639,862 ($1,179,114) ($497,781) $38,838,423
59
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Beginning Ending
Primary Government Balance Increases Decrease Transfers Balance
Business -type activities:
Capital assets, not being depreciated:
Land $5,653 $ - $ $ $5,653
CIP - 172,154 172,154
Total capital assets, not being depreciated 5,653 172,154 0 0 177,807
Capital assets, being depreciated:
Buildings and structures
Furniture, fixtures and equipment
Software and intangibles
Distribution and collection system
Total capital assets, being depreciated
Less accumulated depreciation for:
Buildings and structures
Furniture, fixtures and equipment
Software and intangibles
Distribution and collection system
Total accumulated depreciation
Total capital assets being depreciated - net
Business -type activities capital assets - net
3,883,283 -
- 3,883,283
1,441,075 11,425
(4,330) 7,125 1,455,295
26,022 -
- - 26,022
8,145,639 -
490,656 8,636,295
13,496,019 11,425
(4,330) 497,781 14,000,895
1,873,113
89,345
1,962,458
732,640
51,332 (4,330)
779,642
16,047
5,205
21,252
3,788,571
219,639
- 4,008,210
6,410,371
365,521 (4,330)
0 6,771,562
7,085,648
(354,096) 0
497,781 7,229,333
$7,091,301 ($181,942) $0 $497,781 $7,407,140
Depreciation/amortization expense was charged to functions/programs of the primary government as follows:
Governmental activities:
General government
Public safety
Public works, including depreciation of general infrastructure assets
Parks and recreation
Total depreciation/amortization expense - governmental activities
Business -type activities:
Liquor
Water
Sewer
Total depreciation/amortization expense - business -type activities
Total depreciation expense
60
$116,884
186,626
1,516,152
145,909
1,965,571
76,566
214,740
74,215
365,521
$2,331,092
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
CONSTRUCTION COMMITMENTS
At December 31, 2014, the City had construction project contracts in progress. The commitments related
to the remaining contract balances are summarized as follows:
Project
2014 Street Improvements
Fiber LAN Installation Project
Note 6 LONG-TERM DEBT
Contract Remaining
Amount Commitment
$2,021,154 $311,744
203,453 50,811
$362,555
The City issues general obligation bonds to finance its street improvement program, tax increment projects and
other City purposes. General obligation bonds are direct obligations of the City and are supported by the full
faith and credit of the City. The City has several types of general obligation bonds outstanding at December 31,
2014. Following is a brief description of the different bond types:
• Improvement bonds are issued to finance street improvement projects. These bonds are payable
primarily from special assessments levied on benefited properties. The costs of these projects are
shared by the City; general property taxes levied provide the revenues for these costs.
• Tax increment bonds were used to finance redevelopment projects and are payable primarily from
incremental property taxes derived from the tax increment districts with any deficiency to be provided
from general property taxes.
• Storm sewer revenue bonds used to finance storm water improvement projects are payable primarily
from service charges to residents.
• State aid street bonds were utilized for a street improvement project and will be paid from future state
aids received annually.
• Tax abatement bonds were issued to finance a portion of the park improvement project and are payable
from a special general property tax levy.
• Certificates of indebtedness issued to finance various equipment acquisitions are payable from a
special general property tax levy.
REVENUE BONDS
The City has issued revenue bonds to finance business -type activities. These bonds are Liquor Revenue
and Utility Revenue Bonds which are payable from operations of these two Enterprise Funds, respectively.
The liability for these bonds is recorded in the Proprietary Funds.
61
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
GOVERNMENTAL ACTIVITIES
As of December 31, 2014, the long-term debt of the financial reporting entity consisted of the following:
G.O. Improvement Bonds:
G.O. Improvement Bonds, Series 2009A
G.O. Improvement Refunding Bonds, Series 2009B
G.O. Improvement Bonds, Series 2010A
G.O. Improvement Bonds, Series 2011A
G.O. Improvement Refunding Bonds, Series 2011B
G.O. Improvement Bonds, Series 2013B
G.O. Improvement Bonds, Series 2014A
Total improvement bonds
G.O. Street Reconstruction Bonds:
G.O. Street Reconstruction Bonds, Series 2008A
G.O. Street Reconstruction Refunding Bonds, Series 2014C
Tax Increment Revenue Bonds:
Tax Increment Revenue Bonds, Series 2006B
Tax Increment Revenue Refunding Bonds, Series 2014B
Total tax increment revenue bonds
G.O. Lease Revenue Refunding Bonds:
G.O. Lease Revenue Refunding Bonds, Series 2012A
G.O. Revenue Bonds:
G.O. Storm Sewer Refunding Revenue Bonds, Series 2009A
G.O. Tax Abatement Bonds:
G.O. Tax Abatement Bonds, Series 2009A
G.O. Tax Abatement Refunding Bonds, Series 2009B
Total tax abatement bonds
G.O. State Aid Bonds
G. O. State Aid Street Refunding Bonds, Series 2009A
G.O. Bonds:
G.O. Refunding Bonds, Series 2012A
Issuance premiums (discounts)
Total -bonded indebtedness
Compensated absences payable
Total City indebtedness - governmental activities
62
Final
Interest
Issue
Maturity
Original
Payable
Rates
Date
Date
Issue
12/31/14
3.00-4.00%
5/7/2009
2/1/2025
$2,630,000
$2,055,000
2.50-3.00%
12/16/2009
2/1/2018
1,335,000
645,000
2.25-3.625%
5/20/2010
2/1/2026
1,375,000
1,145,000
3.00-4.00%
4/12/2011
2/1/2027
2,955,000
2,395,000
0.40-2.00%
12/29/2011
2/1/2021
2,210,000
1,700,000
0.45-2.625%
4/23/2013
2/1/2029
1,775,000
1,775,000
2.00-3.30%
4/10/2014
2/1/2030
2,070,000
2,070,000
14,350,000
11,785,000
3.00-4.00%
6/5/2008
2/1/2024
1,910,000
1,390,000
2.00-3.00%
7/24/2014
2/1/2024
1,305,000
1,305,000
3,215,000
2,695,000
5.00-5.62%
8/1/2006
8/1/2031
4,975,000
4,255,000
2.00-3.50%
7/24/2014
2/1/2031
3,665,000
3,665,000
8,640,000
7,920,000
2.00-2.75%
4/25/2012
2/1/2024
3,995,000
3,415,000
3.00-4.00%
5/7/2009
2/1/2015
825,000
150,000
3.00-4-00%
5/7/2009
2/1/2025
1,335,000
1,115,000
2.50-3.00%
12/10/2009
2/1/2016
310,000
110,000
1,645,000
1,225,000
3.00-4.00%
5/7/2009
2/1/2015
385,000
60,000
2.00-2.75%
4/25/2012
2/1/2028
5,500,000
5,125,000
N/A
482,350
38,555,000
32,857,350
-
661,966
$38,555,000
$33,519,316
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
BUSINESS -TYPE ACTIVITIES
Revenue Bonds:
G.O. Water and Sewer Revenue Refunding Bonds, Series 2013A
Issuance premiums (discounts)
Total - bonded indebtedness
Compensated absences
Total City indebtedness - business -type activities
Total City indebtedness
Final
Interest Maturity Original Payable
Rates Date Date Issue 12/31/14
2.00-4.45% 4/16/2003 2/1/2024
Annual debt service requirements to maturity for long-term debt are as follows:
Year Ending G.O. Improvement Bonds
December 31 Principal Interest
Governmental Activities
G.O. Revenue Bonds
Principal Interest
$1,440,000 $1,330,000
N/A
40,948
1,440,000
1,370,948
-
153,726
1,440,000
1,524,674
$39,995,000
$35,043,990
G.O. Refunding Bonds
Principal Interest
2015
$1,020,000
$316,119
$150,000 $2,250 $460,000
$103,550
2016
1,160,000
277,196
- - 470,000
94,250
2017
1,175,000
252,300
- - 485,000
84,700
2018
1,125,000
226,684
- - 490,000
74,950
2019
1,045,000
201,378
- - 500,000
65,050
2020
920,000
177,740
- - 515,000
54,900
2021
795,000
156,221
- - 530,000
44,450
2022
685,000
135,649
- - 545,000
33,564
2023
705,000
114,227
- - 320,000
24,458
2024
725,000
90,789
- - 155,000
19,155
2025
745,000
66,081
- - 160,000
15,333
2026
535,000
44,554
- - 160,000
11,252
2027
430,000
28,604
- - 165,000
6,944
2028
275,000
17,698
- - 170,000
2,337
2029
285,000
9,544
- - -
-
2030
160,000
2,640
- - -
-
Total
$11,785,000
$2,117,424
$150,000 $2,250 $5,125,000
$634,893
63
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Year Ending
December 31
Lease
Revenue Bonds
Governmental Activities
Tax Increment
Revenue Bonds
Principal Interest Principal
Tntaract
All Other General
Obligation Bonds
Principal Interest
2015
$290,000
$67,540
$245,000
$336,268
$1,585,000
$98,428
2016
300,000
61,640
315,000
324,494
275,000
64,239
2017
315,000
55,490
330,000
313,116
225,000
58,227
2018
325,000
49,090
355,000
300,966
230,000
52,776
2019
335,000
42,490
375,000
287,725
235,000
47,106
2020
345,000
35,690
405,000
273,613
245,000
41,036
2021
355,000
28,690
420,000
258,409
250,000
34,546
2022
370,000
21,348
450,000
241,166
260,000
27,456
2023
385,000
13,320
475,000
221,207
270,000
19,153
2024
395,000
4,542
500,000
199,962
280,000
9,800
2025
-
-
530,000
177,575
125,000
2,500
2026
-
-
565,000
153,763
-
-
2027
-
-
600,000
128,103
-
-
2028
-
-
635,000
100,803
-
-
2029
-
-
675,000
71,192
-
-
2030
-
-
710,000
38,981
-
-
2031
-
-
335,000
8,147
-
-
Total
$3,415,000
$379,840
$7,920,000
$3,435,490
$3,980,000
$455,267
Business -Type Activities
Year Ending Revenue Bonds
December 31 Principal Interest
2015
$115,000
$25,450
2016
115,000
23,150
2017
125,000
20,750
2018
130,000
18,200
2019
130,000
15,600
2020
135,000
12,950
2021
140,000
10,200
2022
140,000
7,400
2023
145,000
4,550
2024
155,000
1,550
Total
$1,330,000
$139,800
It is not practicable to determine the specific year for payment of long-term accrued compensated absences.
64
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
CHANGE IN LONG-TERM LIABILITIES
Long-term liability activity for the year ended December 31, 2014, was as follows:
Governmental activities:
Bonds payable:
G.O. improvement debt
G.O. refunding bonds
G.O. street reconstruction bonds
G.O. revenue bonds
G.O. state aid street bonds
G.O. tax abatement bonds
Tax increment revenue bonds
G.O. lease revenue refunding bonds
Total bonds payable - governmental activities
Issuance premiums (discounts)
Total bonded indebtedness
Compensated absences
Total governmental activities
long-term liabilities
Business -type activities:
Revenue bonds
Total bonds payable - business -type activities
Issuance premiums (discounts)
Total bonded indebtedness
Compensated absences
Total business -type activities
long-term liabilities
Beginning
$ ($110,000)
$1,330,000
Ending
Due Within
Balance
Additions
Reductions
Balance
One Year
40,948
4,508
1,485,456
(114,508)
1,370,948
$12,105,000
$2,070,000
($2,390,000)
$11,785,000
$1,020,000
5,500,000
-
(375,000)
5,125,000
460,000
1,500,000
1,305,000
(110,000)
2,695,000
1,390,000
295,000
-
(145,000)
150,000
150,000
120,000
(60,000)
60,000
60,000
1,355,000
-
(130,000)
1,225,000
135,000
8,545,000
3,665,000
(4,290,000)
7,920,000
245,000
3,700,000
-
(285,000)
3,415,000
290,000
33,120,000
7,040,000
(7,785,000)
32,375,000
3,750,000
375,799
158,044
(51,493)
482,350
51,767
33,495,799
7,198,044
(7,836,493)
32,857,350
3,801,767
650,208
359,868
(348,110)
661,966
203,559
$34,146,007 $7,557,912 ($8,184,603) $33,519,316 $4,005,326
$1,440,000
$ ($110,000)
$1,330,000
$115,000
1,440,000
(110,000)
1,330,000
115,000
45,456
(4,508)
40,948
4,508
1,485,456
(114,508)
1,370,948
119,508
143,548
92,756 (82,578)
153,726
47,272
$1,629,004
$92,756 ($]97,086)
$1,524,674
$166,780
For the governmental activities, compensated absences are generally liquidated by the Internal Service
Severance Fund and loans payable are generally liquidated by the Street Improvement Projects Fund.
All long-term bonded indebtedness outstanding at December 31, 2014 is backed by the full faith and credit
of the City, including improvement and revenue bond issues, except for the Tax Increment Bonds of 2006B
and 2014B. Delinquent assessments receivable at December 31, 2014 totaled $7,647.
65
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
PLEDGED REVENUE
Future revenue pledged for the payment of long-term debt is as follows:
Bond Issue
Use of
Proceeds
Revenue Pledged
Remaining
Principal
and Interest
Current
Year
Type
Percentof
Total
Debt Service
Debt service
as a % of
Net Revenues
Term of
Pledge
Principal
and Interest
Paid
Pledged
Revenue
Received
2009A Street Aid Street Refunding
Refunding of 2000B State Aid
Street bonds
MSA allotments
100%
N/A
2009-2015
$60,900
$62,700
$61,800
2009A Tax Abatement
Emerald Park improvements
Tax abatement revenue
100%
N/A
2009-2025
$1,360,091
$115,076
$139,116
2009B Tax Abatement Refunding
Refunding of 2001A Tax
Abatement Bonds
Tax abatement revenue
100%
N/A
2009-2016
$112,750
$58,438
$42,439
2007A Road Improvements
Street and storm sewer
Special assessments
29%
N/A
2007-2023
$ -
$1,529,100
$16,873
2009A Road Improvements
2009 road reconstruction
Special assessments
21%
N/A
2009-2025
$2,502,524
$223,918
$25,457
2010A Road Improvements
2010 road construction
Special assessments
9%
N
3n1(,-2,)26
$1,387,796
$116,092
$5,013
2011A Road hnprovements
2011 road construction
Special assessments
25%
N/A
2011-2027
11166,138
$166,175
$34,018
2012A Road Improvements
2012 road construction
Special assessments
25%
N/A
2012-2028
$4,215,165
$458,274
$43,239
2013B Road Improvements
2013 road construction
Special assessments
25%
N/A
2013-2029
$2,053,905
$36,338
$31,691
2014A Road. Improvements
2014 road construction
Special assessments
25%
N/A
2014-2030
$2,608,110
$ -
$166,404
2014C Road Improvements
Refunding of 2008A
Silver Lake Road improvements
Tax levy
25%
N/A
2014-2024
$1,484,014
$ -
$ -
2009B Road Improvements
Refunding
Refunding of 2001B and 2002A
Road Improvement Bonds
Special. assessments
7%
N/A
2009-2018
$916,619
$194,288
$18,797
2008A Street Reconstmetion
Bonds
Silver Lake Road
improvements
Tax levy
98%
N/A
2008-2024
$1,417,513
$166,950
$59,215
2009A Storm Sewer
Refimdings Revenue
Refunding of2000A Storm
Sewer Revenue
Utility charges
IOU°c
N/A
2009-2015
$152,250
$151,675
$146,423
2006B TIF
Redevelopment ofproject
-a #3 and TIF 3-5
TIF
100%
N/A
2006-2031
$6,662,809
$365,550
$ -
2007 TIF
Redevelopment
TIF
100%
N/A
2007-2031
$ -
$4,370,419
$1,117,824
2014B TIF
Refimdmg 2007 TIF Bonds
TIF
100%
N/A
2015-2031
$4,692,681
$ -
$ -
2013A G.O. Water/Sewer Revenue
Refimding 2003B GO Water/
Sewer Revenue Bonds
Charges for services
100%
82%
2013-2024
$1,469,800
$137,700
$1,800,249
2011A Road Improvements
Refunding
Refunding 2003A Street
Improvement Bonds
Special assessments
22%
N/A
2011-2026
$718,156
$142,113
$20,586
2011B Road Improvements
Refunding
Refunding 2004A and 2005A
Street Improvement Bonds
Special assessments
25%
N/A
2012-2020
$1,788,270
$283,880
$30,158
66
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
ADVANCE CROSSOVER REFUNDINGS
On April 25, 2012, the City issued $1,410,000 in General Obligation Bonds, Series 2012A with an average
interest rate of 2.05% to advance refund $1,380,000 of outstanding 2007A Series Bonds with an average
interest rate of 4.40%. The net proceeds of $1,423,370 were used to purchase U.S. Government Securities.
Those securities were deposited in an irrevocable trust with an escrow agent to provide for the interest on
the refunding bonds before the crossover date and called principal on the refunded bonds on February 1,
2014.
The City advance refunded the 2007A General Obligation Improvement Bonds to reduce its total debt
service payments over the last nine years of the bond by $110,499 and to obtain an economic gain
(difference between the present value of the debt service payments on the old and new debt) of $98,253.
On July 24, 2014, the City issued $1,305,000 in General Obligation Refunding Bonds, Series 2014C with
an average interest rate of 2.10% to advance refund $1,275,000 of outstanding 2008A Series Bonds with
an average interest rate of 3.83% The net proceeds of $1,326,127 were used to purchase U.S. Government
Securities. Those securities were deposited in an irrevocable trust with an escrow agent to provide for the
interest on the refunding bonds before the crossover date and called principal on the refunded bonds on
February 1, 2015.
The City advance refunded the 2008A General Obligation Street Reconstruction Bonds to reduce its total
debt service payments over the last ten years of the bond by $81,373 and to obtain an economic gain
(difference between the present value of the debt service payments on the old and new debt) of $68,536.
The City is responsible for the debt service of the refunded bonds before the crossover date and the debt
service of the refunding bonds after the crossover date. The debt service of the refunding bonds before the
crossover date is payable from the escrow account. Assets held with the escrow agent total $1,290,049 at
December 31, 2014.
Refunded
Payment Bonds Refunding
Date Total Bonds
Debt Service Commitment
Escrow Account City
2015
$1,417,513 $30,201
$1,290,389 $157,326
2016
- 163,275
- 163,275
2017
- 160,575
- 160,575
2018
- 162,825
- 162,825
2019
- 160,025
- 160,025
2020
- 162,175
- 162,175
2021
- 159,275
- 159,275
2022
- 161,138
- 161,138
2023
- 162,125
- 162,125
2024
- 162,400
- 162,400
Total
$1,417,513 $1,484,014
$1,290,389 $1,611,139
67
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
CURRENT REFUNDING
On July 24, 2014, the City issued the $3,665,000 General Obligation Tax Increment Revenue Refunding
Bonds, Series 2014B with an average interest rate of 3.02% to refund the 2015 through 2031 maturities
aggregating $4,045,000 in principal amount of the City's $4,640,000 General Obligation Tax Increment
Revenue Bonds, Series 2007 with an average interest rate of 4.98%, dated April 17, 2007. Net proceeds of
$3,671,077 along with $379,750 of City funds were used to retire all outstanding principal of the refunded
bonds on August 1, 2014.
The City refunded the bonds to reduce its total debt service payments over the seventeen years by
$1,060,281 and to obtain an economic gain (difference between the present value of the debt service
payments on the old and new debt) of $855,598.
Note 7 DEFINED BENEFIT PENSION PLANS - STATEWIDE
A. PLAN DESCRIPTION
All full-time and certain part-time employees of the City are covered by defined benefit plans administered
by the Public Employees Retirement Association of Minnesota (PERA). PERA administers the General
Employees Retirement Fund (GERF) 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 Statutes, Chapters 353 and 356.
GERF 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.
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.
PERA issues a publicly available financial report that includes financial statements and required
supplementary information for GERF and PEPFF. That report may be obtained on the internet at
www.moera.org, by writing to PERA, 60 Empire Drive #200, St. Paul, Minnesota, 55103-2088 or by
calling (651) 296-7460 or 1-800-652-9026.
68
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
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. GERF Basic Plan members and
Coordinated Plan members were required to contribute 9.1% and 6.25%, respectively, of their annual
covered salary in 2014. PEPFF members were required to contribute 9.6% of their annual covered
salary in 2014. The City was required to contribute the following percentages of annual covered
payroll in 2014: 11.78% for Basic Plan GERF members, 7.25% for Coordinated Plan GERF
members, and 14.4% for PEPFF members. The City's contributions to the General Employees
Retirement Fund for the years ending December 31, 2014, 2013 and 2012 were $144,654, $143,131,
and $141,004, respectively. The City's contributions to the Public Employees Police and Fire Fund
for the years ending December 31, 2014, 2013 and 2012 were $384,556, $350,488, and $339,281,
respectively. The City's contributions were equal to the contractually required contributions for each
year as set by state statute. Contribution rates will increase on January 1, 2015 in the Coordinated Plan
(6.5% for members and 7.5% for employees) and in the Police and Fire Fund (10.8% for members and
16.2% for employers).
C. PUBLIC EMPLOYEES RETIREMENT ASSOCIATION (PERA) - DEFINED
CONTRIBUTION
PLAN DESCRIPTION
All council members of the City are covered by the Public Employees Defined Contribution Plan
(PEDCP), a multiple -employer deferred compensation plan administered by the Public Employees
Retirement Association of Minnesota (PERA). The PEDCP is a tax qualified plan under Section
401(a) of the Internal Revenue Code and all contributions by or on behalf of employees are tax
deferred until time of withdrawal.
Benefit Provisions and Contribution Rates
Plan benefits depend solely on amounts contributed to the plan plus investment earnings, less
administrative expenses. Minnesota Statutes, Chapter 353D.03, specifies plan provisions, including
the employee and employer contribution rates for those qualified personnel who elect to participate.
Plan provisions are established and can be amended by State Statutes. An eligible elected official who
decides to participate contributes 5 percent of salary which is matched by the elected official's
employer. Employer and employee contributions are combined and used to purchase shares in one or
more of the seven accounts of the Minnesota Supplemental Investment Fund. For administering the
plan, PERA receives 2 percent of employer contributions and twenty-five hundredths of one percent of
the assets in each member's account annually.
Plan benefits depend solely on amounts contributed to the plan plus investment earnings, less
administrative expenses.
69
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Total contributions made by the City during fiscal year 2014 were:
Amount
Employees Employer
Percentage of
Covered Payroll
Employees Employer
PEDCP $1,763 $1,763 5.00% 5.00%
D. SINGLE EMPLOYER PERS
Required
Rates
PLAN DESCRIPTION — ST. ANTHONY FIREFIGHTERS RELIEF ASSOCIATION
5.00%
All members of the St. Anthony Fire Department are covered by a defined benefit plan administered
by the St. Anthony Firefighters Relief Association. The Plan is a single employer retirement plan and
is established and administered in accordance with Minnesota Statute, Chapter 69.
The Relief Association provides retirement benefits as well as disability benefits to members and
benefits to survivors upon death of eligible members. Benefits are established in accordance with the
State Statute and vest after ten years of credited service. The defined retirement benefits are based on
a member's years of service. Benefit provisions can be amended by the Relief Association within the
parameters provided by State Statutes.
The Relief Association issues a publicly available financial report that includes financial statements
and required supplementary information. That report may be obtained by writing to St. Anthony
Firefighters Relief Association, 3505 Silver Lake Road, St. Anthony, Minnesota, 55418.
V17
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
FUNDING POLICY
Minnesota Statutes Chapter 69.772 sets the minimum contribution requirement for the City and State
aid on an annual basis. These statutes are established and amended by the state legislature. The Relief
Association is comprised of volunteers; therefore, members have no contribution requirements. The
City receives the State aid contribution and is required by state statutes to pass this through as payment
to the Relief Association. This transaction, in the amount of $45,251, is recorded as a revenue and an
expenditure in the City's 2014 financial statements. The City's annual pension cost for 2014 and
related information for the plan is as follows:
Annual pension cost $51,251
Contributions made:
City $45,251
State aid $6,000
Actuarial valuation date 12/31/14
Actuarial cost method Entry age normal
Amortization method Level dollar closed
Remaining amortization period:
Normal cost 20 years
Prior service cost 10 years
Asset valuation method Fair Value
Actuarial assumptions:
Investment rate of return
5%
Projected salary increases
N/A
Inflation rate
N/A
Cost of living adjustments
None
Age of service requirements
50
Post-retirement benefits increase
None
71
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Three year trend information (information for December 31, 2014 is not available):
Three Year Trend Information
REQUIRED SUPPLEMENTARY INFORMATION — SCHEDULE OF FUNDING PROGRESS
Actuarial
Annual
Percentage Net
Year
Pension
of APC Pension
Ending
Cost (APC)
Contributed Obligation
12/31/2014
12/31/2014
$51,251
100% -
12/31/2013
51,672
100% -
12/31/2012
39,235
100% -
REQUIRED SUPPLEMENTARY INFORMATION — SCHEDULE OF FUNDING PROGRESS
Actuarial
Actuarial
Actuarial
Valuation
Value of
Accrued
Date
Assets
Liability
12/31/2014
$897,780
$768,412
12/31/2013
899,818
745,576
12/31/2012
901,525
862,540
Assets in
Excess of
Pension
(Unfunded)
Benefit
Accrued
Funded
Per Year
Liability
Ratio
of Service
$129,368
116.80%
$3,000
154,242
120.69%
2,800
38,985
104.52%
2,800
Note 8 OTHER POST -EMPLOYMENT BENEFITS (OPEB)
In 2009, the City prospectively implemented the requirement of a new accounting pronouncement, GASB
Statement No. 45, Accounting and Financial Reporting by Employers for Post -employment Benefits Other
Than Pensions.
A. PLAN DESCRIPTION
In addition to providing the pension benefits described in Note 7, the City provides post -employment
health care benefits (as defined in paragraph B) for retired employees and police and firefighters
disabled in the line of duty, through a single -employer defined benefit plan. The term Plan refers to
the City's requirement by State Statute to provide retirees with access to health insurance. The OPEB
plan is administered by the City. The authority to provide these benefits is established in Minnesota
Statutes Sections 471.61 Subd. 2a, and 299A.465. The benefits, benefit levels, employee contributions
and employer contributions are governed by the City and can be amended by the City through its
personnel manual and collective bargaining agreements with employee groups. The Plan is not
accounted for as a trust fund, as an irrevocable trust has not been established to account for the plan.
The Plan does not issue a separate report.
72
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
B. BENEFITS PROVIDED
Retirees
The City is required by State Statute to allow retirees to continue participation in the City's group
health insurance plan if the individual terminates service with the City through service retirement or
disability retirement. To be eligible for benefits, an employee must qualify for retirement or disability
benefits from a Minnesota public pension plan. The employee may continue to participate in the
City's group health insurance plan that the employee was a participant of immediately prior to
retirement. Employees may obtain dependent coverage at retirement only if the employee was
receiving dependent coverage immediately prior to retirement. Covered spouses may continue
coverage after the retiree's death. The surviving spouse of an active employee may continue coverage
in the group health insurance plan after the employee's death.
All health care coverage is provided through the City's group health insurance plans. The retiree is
required to pay 100% of their premium cost for the City -sponsored group health insurance plan in
which they participate. The premium is a blended rate determined on the entire active and retiree
population. Since the projected claims costs for retirees exceed the blended premium paid by retirees,
the retirees are receiving an implicit rate subsidy (benefit). The coverage levels are the same as those
afforded to active employees. Upon a retiree reaching age 65 years of age, Medicare becomes the
primary insurer and the City's plan becomes secondary.
Disabled police and firefighter
The City continues to pay the employer's contribution toward health coverage for Police or
Firefighters disabled in the line of duty per Minnesota Statute 299A.465, until age 65. Coverage for a
spouse is included, if the spouse was covered at the time of the disability. The January 1, 2014
through December 31, 2014 monthly premiums paid for Police or Firefighters disabled in the line of
duty are:
Employee
Employee Plus Spouse
Aware Plan:
$30 Copay
$758
$1,592
$30 Copay 90/10% coinsurance
722
1,516
$500 Deductible - $25 copay
670
1,407
$2500 HDHP/HSA
500
1,051
$4000 HDHP/HSA
457
959
Accord Plan:
$30 Copay
729
1,531
$30 Copay 90/10% coinsurance
694
1,457
$500 Deductible - $25 copay
644
1,352
$2500 HDHP/HSA
482
1,010
$4000 HDHP/HSA
439
923
73
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
C. PARTICIPANTS
As of the actuarial valuation dated January 1, 2014, participants consisted of:
Retirees and beneficiaries currently
purchasing health insurance through the City
Disabled police and firefighters
Active employees
Total
Participating employers
D. FUNDING POLICY
58
62
1
The additional cost of using a blended rate for actives and retirees is currently funded on a pay-as-you-
go basis. The City Council may change the funding policy at any time.
E. ANNUAL OPEB COSTS AND NET OPEB OBLIGATION
The City's annual other post employment benefit (OPEB) cost is calculated based on the annual
required contribution (ARC) of the employer, an amount actuarially determined in accordance with the
parameters of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an
ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial
liabilities (or funding excess) over a period not to exceed 30 years. The net OPEB obligation as of
December 31, 2014, was calculated as follows:
Annual required contribution (ARC)
$103,504
Interest on net OPEB obligation
18,746
Adjustment to ARC
(15,727)
Annual OPEB cost
106,523
Contributions made during the year
(13,386)
Increase (decrease) in net OPEB obligation
93,137
Net OPEB obligation - beginning of year
416,570
Net OPEB obligation - end of year $509,707
For the governmental activities, the net OPEB obligation is generally liquidated by the General Fund.
74
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
The City had an actuarial valuation performed for the plan as of January 1, 2014 to determine the
funded status of the plan as of that date as well as the employer's annual required contribution (ARC)
for the fiscal year ended December 31, 2014. The City's annual OPEB cost, the percentage of annual
OPEB cost contributed to the plan and the net OPEB obligation for 2012, 2013 and 2014 was as
follows:
F. FUNDED STATUS AND FUNDING PROGRESS
The City currently has no assets that have been irrevocably deposited in a trust for future health
benefits; therefore, the actuarial value of assets is zero. The funded status of the plan was as follows:
Unfunded
Percentage of
Fiscal Year
Annual OPEB
Employer
Annual OPEB Cost
Net OPEB
Ended
Cost
Contributions
Contributed
Obligation
Funded
Covered
Percentage of
Valuation
December 31, 2012
$98,886
$13,152
13%
$331,640
December 31, 2013
102,892
17,962
17%
416,570
December 31, 2014
106,523
13,386
13%
509,707
F. FUNDED STATUS AND FUNDING PROGRESS
The City currently has no assets that have been irrevocably deposited in a trust for future health
benefits; therefore, the actuarial value of assets is zero. The funded status of the plan was as follows:
*Using the Projected Unit Credit Actuarial cost method.
G. ACTUARIAL METHODS AND ASSUMPTIONS
Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and
assumptions about the probability of occurrence of events far into the future. Examples include
assumptions about future employment, mortality and the health care cost trend. Amounts determined
regarding the funded status of the plan and the annual required contributions (ARC) of the employer
are subject to continual revision as actual results are compared with past expectations and new
estimates are made about the future. The schedule of funding progress, presented as required
supplementary information following the notes to the financial statements, presents multi-year trend
information that shows whether the actuarial value of plan assets is increasing or decreasing over time
relative to the actuarial accrued liabilities for benefits.
Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as
understood by the employer and plan members) and include the types of benefits provided at the time
of each valuation and the historical pattern of sharing of benefit costs between the employer and plan
members to that point. The actuarial methods and assumptions used include techniques that are
designed to reduce the effect of short-term volatility in actuarial accrued liabilities and the actuarial
value of assets, consistent with the long-term perspective of the calculations. In the January 1, 2014
actuarial valuation, the Projected Unit Credit Actuarial cost method was used. The actuarial
assumptions included a 4.5% investment rate of return (net of administrative expenses), an initial
al
Unfunded
Actuarial
Actuarial
UAAL as a
Actuarial
Actuarial Accrued
Accrued
Funded
Covered
Percentage of
Valuation
Value of Assets Liability (AAL)*
Liability (UAAL)
Ratio
Payroll
Covered Payroll
Date
(a) (b)
(b -a)
(alb)
(c)
( (b -a) / c)
January 1, 2014
$0 $869,401
$869,401
0.00%
$3,834,128
22.68%
*Using the Projected Unit Credit Actuarial cost method.
G. ACTUARIAL METHODS AND ASSUMPTIONS
Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and
assumptions about the probability of occurrence of events far into the future. Examples include
assumptions about future employment, mortality and the health care cost trend. Amounts determined
regarding the funded status of the plan and the annual required contributions (ARC) of the employer
are subject to continual revision as actual results are compared with past expectations and new
estimates are made about the future. The schedule of funding progress, presented as required
supplementary information following the notes to the financial statements, presents multi-year trend
information that shows whether the actuarial value of plan assets is increasing or decreasing over time
relative to the actuarial accrued liabilities for benefits.
Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as
understood by the employer and plan members) and include the types of benefits provided at the time
of each valuation and the historical pattern of sharing of benefit costs between the employer and plan
members to that point. The actuarial methods and assumptions used include techniques that are
designed to reduce the effect of short-term volatility in actuarial accrued liabilities and the actuarial
value of assets, consistent with the long-term perspective of the calculations. In the January 1, 2014
actuarial valuation, the Projected Unit Credit Actuarial cost method was used. The actuarial
assumptions included a 4.5% investment rate of return (net of administrative expenses), an initial
al
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
annual health care cost trend rate of 9% reduced by .33% each year to arrive at an ultimate health care
cost trend rate of 5.0% and an inflation rate of 3%. The actuarial value of assets was $0. The plan's
unfunded actuarial accrued liability is being amortized using the level percentage of projected payroll
method over 30 years on an open basis.
Note 9 INTERFUND RECEIVABLES/PAYABLES, LOANS AND TRANSFERS
Individual fund interfund receivable and payable balances at December 31, 2014 are as follows:
Fund Receivable Payable
Major Funds:
General Fund
HRA Projects
2015 Street Improvement Project Fund
2016 Street Improvement Project Fund
Nonmajor Funds:
HRA Fund
Silver Lake Village Park
Building Improvement Fund
Total
$639,128 $ -
- 121,354
114,220
52,601
156,796
160,352
33,805
$639,128 $639,128
Interfund payables and receivables are representative of lending/borrowing arrangements to cover deficit cash
balances at the end of the fiscal year.
Interfund loans:
Fund
Major funds:
Water and Sewer
HRA Projects
Nonmajor funds:
Revolving Improvement Fund
Total
Receivable Payable Purpose
$1,015,526 $ -
959,326 Provide financing for pay off of Fannie Mae loan
56,200 Provide financing for Arbors Alley Project
$1,015,526 $1,015,526
76
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Interfund transfers:
$130,223
2016 Street Improvement Fund
68,773
Nonmajor funds:
HRA Fund
159,775
Silver Lake Village Park
171,550
Building Improvement Fund
33,805
Transfer In
634,994
Governmental Activities
Business -type
Major Funds
Major Fund
HRA
Street
Nonmajor
Internal
General
Debt
Improvement
Governmental
Service
Water and
Transfer out
Fund
Service
Debt Service
Fund
Fund
Sewer Fund
Total
Governmental activities:
General Fund
$
$ -
$
$64,654
$86,300
$
$150,954
HRA Projects
1,068,700
-
-
1,068,700
Street Improvement Projects
-
152,271
152,271
HRA Debt Service Fund
1,767
-
-
1,767
2012 Street Improvement Project
-
10,330
10,330
Nonmajor
115,000
15,645
130,645
Business -type activities:
Water and Sewer Fund
50,000
50,000
-
100,000
Liquor Fund
214,244
181,200
-
395,444
Total transfers
$264,244
$1,070,467
$152,271
$421,184
$86,300
$15,645
$2,010,111
All of the 2014 transfers are considered routine and consistent with previous practices.
Note 10 DEFICIT FUND BALANCES/NET POSITION
The City has deficit fund balances/net position at December 31, 2014 as follows:
Fund Amount
Major funds:
2015 Street Improvement Fund
$130,223
2016 Street Improvement Fund
68,773
Nonmajor funds:
HRA Fund
159,775
Silver Lake Village Park
171,550
Building Improvement Fund
33,805
Internal Service Fund
634,994
These deficits will be eliminated in certain situations by; increased levy, bond proceeds, charges to other funds
or fund transfers.
Note 11 CONTINGENCIES
A. 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.
V&A
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
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 the
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. The City has no deductible and a managed care program to assist employees with their
rehabilitation plan. Annual employee hours of service are audited and final premiums are then
determined. The amount of premium adjustment, if any, is considered immaterial and not recorded
until received or paid.
Property, casualty and automobile insurance coverage are 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 portions. These deductibles are considered immaterial to the financial statements.
The City continues to carry commercial insurance for all other risks of loss, including liquor liability,
employee health and disability insurance.
There were no significant reductions in insurance from the previous year or significant settlements in
excess of insurance coverage for any of the past three fiscal years.
B. LITIGATION
The City 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,
remotely recoverable by plaintiffs.
C. FEDERAL AND STATE FUNDS
The City receives financial assistance from federal 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 are 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 included herein or on the overall financial position of the City
at December 31, 2014.
D. TAX INCREMENT DISTRICTS
The City's tax increment districts are subject to review by the State of Minnesota Office of the State
Auditor (OSA). Any disallowed claims or misuse of tax increments could become a liability of the
applicable fund. Management has indicated that they are not aware of any instances of noncompliance
which would have a material effect on the financial statements.
78
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
E. PAY-AS-YOU-GO TAX INCREMENT
The City has two tax increment pay-as-you-go agreements. The agreements are not a general
obligation of the City and are payable solely from available tax increment. Accordingly, these
agreements are not reflected in the financial statements of the City. Details of the pay-as-you-go notes
are as follows:
TIF District #3-5, Landings at Silver Lake Village:
The pay-as-you-go note provides for the payment to the developer for 90% of all tax increment
received in the prior six months. The payment reimburses the developer for street, utilities, right-of-
way, land acquisition, and other public improvements. Principal and interest payments will be
completed February 1, 2031.
TIF District #3-5, Phase II Town Homes:
The pay-as-you-go note provides for the payment to the developer for 95% of all tax increment
received in the prior six months. The payment reimburses the developer for streets, utilities, right-
of-way, land acquisition, and other public improvements. Principal and interest payments will be
completed February 1, 2031.
F. ARBITRAGE
The City issued greater than $5 million of bonds in the years 2006, 2007 and 2011 and, therefore; is
required to rebate excess investment income relating to these issues to the federal government. The
City calculates arbitrage rebate every five years as permitted by arbitrage regulations. The extent of
the City's liability for arbitrage rebates for bond issues not currently requiring five year rebate
calculations is not determinable at this time. However, in the opinion of management, any such
liability would be immaterial.
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 improvement 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, 2014.
79
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Note 13 FUND BALANCE
A. CLASSIFICATIONS
At December 31, 2014, a summary of the governmental fund balance (deficit) classifications are as
follows:
Nonspendable:
Prepaid items
Inventory
Total nonspendable
Restricted for:
Tax increment
Public safety
Debt service
Total restricted
Committed to:
Community center operations/maintenance
Recycling
Revolving loan program
Total committed
Assigned to:
Community center operations/maintenance
Street improvements/rehabilitiation
Storm water improvements
Development purposes
Public safety
Parks and recreation
Total assigned
Unassigned
Total
Street
Improvement HRA
Debt Silver Lake Debt HRA
General Fund Service Road Bond Service Projects
$84,948 $ $ $ $
6,188
91,136 0 0 0 0
1,894,041
1,620,435 1,470,614 623,126 -
0 1,620,435 1,470,614 623,126 1,894,041
71,513
0 0 0 0 71,513
0 0 0 0
2,384,345 - (1,842,807)
$2,475,481 $1,620,435 $1,470,614 $623,126 $122,747
80
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
B. MINIMUM UNASSIGNED FUND BALANCE POLICY
The City Council has formally adopted a policy regarding the minimum unassigned fund balance for
the General Fund. The most significant revenue source of the General Fund is property taxes. This
revenue source is received in two installments during the year — June and December. As such, it is the
City's goal to begin each fiscal year with sufficient working capital to fund operations between each
semi-annual receipt of property taxes.
The policy establishes a year-end targeted unassigned fund balance amount for cash-flow timing needs
in the range of 30-35% of the subsequent year's budgeted operating expenditures (net of expenditures
for police services to other cities). At December 31, 2014, the unassigned fund balance of the General
Fund was 44% of the subsequent year's budgeted expenditures.
81
2014
2015
2016
Street
Street
Street
Improvement
Improvement
Improvement
Project
Project
Project
Other Funds
Total
Nonspendable:
Prepaid items
$
$
$
$1,631
$86,579
Inventory
-
-
6,188
Total nonspendable
0
0
0
1,631
92,767
Restricted for:
Tax increment
-
-
1,894,041
Public safety
23,471
23,471
Debt service
1,996,027
5,710,202
Total restricted
0
0
0
2,019,498
7,627,714
Committed to:
Community center operations/maintenance
999
999
Recycling
-
5,668
5,668
Revolving loan program
-
71,513
Total committed
0
0
0
6,667
78,180
Assigned to:
Community center operations/maintenance
13,998
13,998
Street improvements/rehabilitiation
30,553
-
-
189,115
219,668
Storm water improvements
-
76,646
76,646
Other capital improvements
810,019
810,019
Public safety
10,610
10,610
Parks and recreation
-
187,642
187,642
Total assigned
30,553
0
1,288,030
1,318,583
Unassigned
-
(130,223)
(68,773)
(365,942)
(23,400)
Total
$30,553
($130,223)
($68,773)
$2,949,884
$9,093,844
B. MINIMUM UNASSIGNED FUND BALANCE POLICY
The City Council has formally adopted a policy regarding the minimum unassigned fund balance for
the General Fund. The most significant revenue source of the General Fund is property taxes. This
revenue source is received in two installments during the year — June and December. As such, it is the
City's goal to begin each fiscal year with sufficient working capital to fund operations between each
semi-annual receipt of property taxes.
The policy establishes a year-end targeted unassigned fund balance amount for cash-flow timing needs
in the range of 30-35% of the subsequent year's budgeted operating expenditures (net of expenditures
for police services to other cities). At December 31, 2014, the unassigned fund balance of the General
Fund was 44% of the subsequent year's budgeted expenditures.
81
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Note 14 CONDUIT DEBT OBLIGATION
From time to time, the City has issued Multi -family Housing Revenue Bonds to provide financial assistance to
private -sector entities for the acquisition and construction of rental housing deemed to be in the public interest.
The bonds are secured by the property financed and are payable solely from payments received 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 issuance. Neither the City, the State, nor any political subdivision
thereof is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as
liabilities in the accompanying financial statements.
As of December 31, 2014, there were seven series of Multi -family Housing Revenue Bonds outstanding. The
aggregate issued amount was $71,685,000, including two 1996 issues totaling $7,200,000, a 2002 issue of
$7,775,000, three 2004 issues of $39,760,000, and one 2013 issue of $16,950,000. The balance outstanding at
December 31, 2014 is unavailable.
Note 15 OPERATING LEASES
The City leases space above its water towers to Sprint Spectrum. The space is used for antennas and other
equipment necessary to provide radio communications. Lease terms are as follows:
82
2014
Annual Lease
Initial
Lease
Adjustment
Expiration
Automatic
Lessee
Amount
Factor
Date
Renewals
Sprint Spectrum
$24,706
4%
2/27/18
2-5 year terms
Clearwire Communications
24,000
4%
7/17/14
5-5 year terms
Verizon Wireless
24,300
3%
8/1/18
4-5 year terms
82
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Future minimum lease payments are as follows:
Sprint
Spectrum
Clearwire Verizon
Communications Wireless
2015
$25,694
$28,591
$25,029
2016
26,722
29,735
25,780
2017
27,791
30,924
26,553
2018
28,902
32,161
27,350
2019
30,059
33,448
28,170
2020
31,261
34,786
29,016
2021
32,511
36,177
29,886
2022
33,812
37,624
30,783
2023
35,164
39,129
31,706
2024
36,571
40,695
32,657
2025
38,034
42,322
33,637
2026
39,555
44,015
34,646
2027
41,137
45,776
35,685
2028
42,783
47,607
36,756
2029
7,464
49,511
37,859
2030
-
51,491
38,994
2031
-
53,551
40,164
2032
-
55,693
41,369
2033
-
57,921
42,610
2034
-
60,238
43,889
2035
-
62,647
45,205
2036
-
65,153
46,561
2037
-
67,759
27,630
2038
-
70,470
-
2039
-
38,983
-
Total
$477,460
$1,156,407
$791,935
83
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Note 16 LEGAL DEBT MARGIN
33,705,000
34,560,000
The City is subject to a statutory limitation by the State of Minnesota for bonded indebtedness payable
principally from property taxes. The City's legal debt margin for 2014 and 2013 is computed as follows:
December 31,
December 31,
(1,735,000)
2014
2013
Market value:
Tax abatement bonds
(1,225,000)
Ramsey County
$244,282,700
$243,533,600
Hennepin County
429,940,030
431,040,057
Total market value
674,222,730
674,573,657
Debt limit percentage
3.00%
3.00%
Debt limit
20,226,682
20,237,210
Amount of debt applicable to debt limit
Total bonded debt
33,705,000
34,560,000
Less nonapplicable debt:
Revenue bonds (water, sewer, storm sewer)
(1,480,000)
(1,735,000)
State aid street bonds
(60,000)
(120,000)
Tax abatement bonds
(1,225,000)
(1,355,000)
Improvement bonds
(16,910,000)
(17,605,000)
Tax increment bonds
(7,920,000)
(8,545,000)
Cash and investments in applicable debt
service funds
(2,078,937)
(749,869)
Total amount of debt applicable to debt limit
4,031,063
4,450,131
Legal debt margin
$16,195,619
$15,787,079
Note 17 RECENTLY ISSUED ACCOUNTING STANDARDS
The Governmental Accounting Standards Boards (GASB) recently approved the following statements which
were not implemented for these financial statements:
Statement No. 68 Accounting and Financial Reporting for Pensions — an amendment of GASB Statement
27. The provisions of this Statement are effective for financial statements for periods beginning after June
15, 2014. Statement No. 68 requires governments providing defined benefit pensions to recognize their
long-term obligation for pension benefits as a liability for the first time.
Statement No. 71 Pension Transition for Contributions Made Subsequent to the Measurement Date — an
amendment of GASB Statement No. 68. The provisions of this Statement should be applied simultaneously
with the provisions of Statement 68.
Statement No. 72 Fair Value Measurement and Application. The provisions of this Statement are effective
for financial statements for periods beginning after June 15, 2015.
The effect these standards may have on future financial statements is not determinable at this time, but it is
expected that Statements No. 68 and No. 71 will have a material impact.
84
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2014
Note 18 PRIOR PERIOD ADJUSTMENT/CORRECTION OF AN ERROR
During 2013, corrections to the prior year financial statements were made to correct accounts payable relating
to pay-as-you-go TIF. Prior to adjustment the City was not accruing the February payment relating to TIF
money received during the year.
A summary of changes are as follows:
Major
Governmental
Governmental Fund
Activities HRA Projects
Fund balance/net position -
January 1, 2013, as previously restated $14,378,700 $716,403
Prior period adjustments:
Pay -as -you go TIF
Fund balance/net position -
January 1, 2013, as restated
Note 19 SUBSEQUENT EVENTS
(211,123) (211,123)
$14,167,577 $505,280
The City issued the $2,580,000 G.O. Bonds, Series 2015A on May 19, 2014 to fund various public
improvements within the City.
85
- This page intentionally left blank -
86
REQUIRED SUPPLEMENTARY INFORMATION
87
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Statement 10
Page 1 of 5
Expenditures:
General government:
Mayor and council:
Current:
Personal services 37,541 37,541 37,938 (397) 34,420
Other services and charges 45,850 45,850 42,857 2,993 33,270
Total mayor and council 83,391 83,391 80,795 2,596 67,690
88
2014
2013
Budgeted Amounts
Actual
Variance with
Actual
Original
Final
Amounts
Final Budget
Amounts
Revenues:
General property taxes
$3,276,868
$3,276,868
$3,551,089
$274,221
$3,381,333
Licenses and permits
203,547
203,547
351,102
147,555
342,390
Intergovernmental:
Federal:
Police grants
30,750
30,750
48,836
18,086
127,770
State:
Local governement aid/ MVHC
442,967
442,967
442,967
-
43
Police aid
143,325
143,325
181,935
38,610
172,796
Fire aid
46,672
46,672
45,251
(1,421)
45,672
Municipal state aid - street maintenance
73,682
73,682
76,749
3,067
73,682
PERA aid
7,197
7,197
7,197
-
7,197
Other
-
-
4,000
4,000
-
County:
Street maintenance
22,223
22,223
19,723
(2,500)
19,723
Other
8,800
8,800
57,674
48,874
71,215
Local:
School District DARE
14,500
14,500
15,281
781
14,500
Other
18,350
18,350
-
(18,350)
6,756
Total intergovernmental
808,466
808,466
899,613
91,147
539,354
Charges for services:
Police contracts
1,234,162
1,234,162
1,234,162
-
1,204,060
Cable franchise fees
102,672
102,672
109,009
6,337
104,089
Antenna rental - water tower
76,664
76,664
74,505
(2,159)
67,281
Other
175,392
175,392
162,985
(12,407)
170,911
Total charges for services
1,588,890
1,588,890
1,580,661
(8,229)
1,546,341
Fines and forfeits
110,250
110,250
119,035
8,785
118,253
Contributions and donations
500
500
11,800
11,300
2,700
Other revenue:
Investment income
5,500
5,500
29,840
24,340
(7,315)
Refunds and reimbursments
15,000
15,000
9,130
(5,870)
21,183
Miscellaneous - other
47,000
47,000
73,420
26,420
46,732
Total other revenue
67,500
67,500
112,390
44,890
60,600
Total revenues
6,056,021
6,056,021
6,625,690
569,669
5,990,971
Expenditures:
General government:
Mayor and council:
Current:
Personal services 37,541 37,541 37,938 (397) 34,420
Other services and charges 45,850 45,850 42,857 2,993 33,270
Total mayor and council 83,391 83,391 80,795 2,596 67,690
88
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Statement 10
Page 2 of 5
89
2014
2013
Budgeted Amounts
Actual
Variance with
Actual
Original
Final
Amounts
Final Budget
Amounts
Expenditures: (continued)
General government: (continued)
Public relations/cable:
Current:
Personal services
$7,673
$7,673
$6,312
$1,361
$6,005
Supplies
600
600
673
(73)
1,350
Other services and charges
28,241
28,241
28,804
(563)
27,119
Capital outlay
2,500
2,500
-
2,500
8,157
Total public relations/cable
39,014
39,014
35,789
3,225
42,631
General management:
Current:
Personal services
83,222
83,222
80,390
2,832
83,959
Supplies
1,000
1,000
526
474
1,044
Other services and charges
40,825
40,825
43,521
(2,696)
36,746
Total general management
125,047
125,047
124,437
610
121,749
Elections:
Current:
Personal services
25,031
25,031
24,543
488
18,978
Supplies
2,100
2,100
2,256
(156)
1,536
Other services and charges
4,575
4,575
2,944
1,631
3,121
Total elections
31,706
31,706
29,743
1,963
23,635
Finance:
Current:
Personal services
119,189
119,189
125,379
(6,190)
114,433
Supplies
9,000
9,000
8,867
133
8,119
Other services and charges
128,705
128,705
125,922
2,783
122,575
Total finance
256,894
256,894
260,168
(3,274)
245,127
Assessing:
Current:
Personal services
3,429
3,429
3,423
6
3,324
Supplies
175
175
166
9
166
Other services and charges
49,000
49,000
46,501
2,499
46,270
Total assessing
52,604
52,604
50,090
2,514
49,760
Legal:
Current:
Contracted services
103,750
103,750
162,670
(58,920)
72,739
Planning and zoning:
Current:
Personal services
1,100
1,100
1,199
(99)
1,075
Supplies
125
125
696
(571)
73
Other services and charges
45,600
45,600
57,425
(11,825)
63,712
Total planning and zoning
46,825
46,825
59,320
(12,495)
64,860
89
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Budgeted Amounts
Original Final
Expenditures: (continued)
General government: (continued)
General government buildings:
Current:
Other services and charges $61,362 $61,362
Total general government buildings 61,362 61,362
Total general government 800,593 800,593
Public safety:
1,840
60,190
Civil defense:
1,325
418
Current:
2,503
1,379
Personal services
60,359
60,359
Supplies
1,450
1,450
Other services and charges
4,800
4,800
Total civil defense
66,609
66,609
Police protection:
3,084,925
(37,464)
Current:
864,977
Personal services
2,757,534
2,757,534
Supplies
119,118
119,118
Other services and charges
170,809
170,809
Total police protection
3,047,461
3,047,461
Fire protection:
Current:
Personal services
835,592
835,592
Supplies
31,400
31,400
Other services and charges
49,125
49,125
Total fire protection
916,117
916,117
Protective inspections:
Current:
Personal services
11,317
11,317
Supplies
175
175
Other services and charges
70,131
70,131
Total protective inspections
81,623
81,623
DARE program:
Current:
Personal services
11,508
11,508
Supplies
2,500
2,500
Total DARE program
14,008
14,008
rl
2014
Actual
Amounts
$68,357
68,357
871,369
Variance with
Final Budget
($6,995)
(6,995)
(70,776)
Statement 10
Page 3 of 5
2013
Actual
Amnnnta
$65,394
65,394
753,585
58,519
1,840
60,190
125
1,325
418
2,297
2,503
1,379
60,941
5,668
61,987
2,809,761
(52,227)
2,654,596
118,973
145
117,269
156,191
14,618
221,386
3,084,925
(37,464)
2,993,251
864,977
(29,385)
818,080
30,193
1,207
36,277
110,971
(61,846)
86,005
1,006,141
(90,024)
940,362
11,414
278
150,544
162,236
(97)
(103)
(80,413)
(80,613)
10,558
58
143,287
153,903
11,123 385 10,120
2,782 (282) 2,815
13,905 103 12,935
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Statement 10
Page 4 of 5
Public works:
2014
2013
Street maintenance:
Budgeted Amounts
Actual
Variance with
Actual
Original
Final
Amounts
Final Budget
Amounts
Expenditures: (continued)
Personal services
371,435
371,435
371,650
(215)
Public safety: (continued)
Supplies
26,918
26,918
11,644
15,274
Animal control:
Other services and charges
108,524
108,524
113,331
(4,807)
Current:
Total street maintenance
506,877
506,877
496,625
10,252
Supplies
$100
$100
$59
$41
$63
Contracted services
3,000
3,000
26
2,974
1,070
Total animal control
3,100
3,100
85
3,015
1,133
Total public safety
4,128,918
4,128,918
4,328,233
(199,315)
4,163,571
Public works:
Street maintenance:
Current:
Personal services
371,435
371,435
371,650
(215)
395,646
Supplies
26,918
26,918
11,644
15,274
21,061
Other services and charges
108,524
108,524
113,331
(4,807)
112,416
Total street maintenance
506,877
506,877
496,625
10,252
529,123
Equipment maintenance:
Current:
Personal services
78,219
78,219
77,652
567
68,747
Supplies
246,770
246,770
243,005
3,765
242,497
Other services and charges
32,100
32,100
47,369
(15,269)
29,003
Total equipment maintenance
357,089
357,089
368,026
(10,937)
340,247
Tree and weed care:
Current:
Personal services
35,793
35,793
35,542
251
41,147
Other services and charges
3,795
3,795
4,500
(705)
3,076
Total tree and weed care
39,588
39,588
40,042
(454)
44,223
Total public works
903,554
903,554
904,693
(1,139)
913,593
Parks and recreation:
Park maintenance:
Current:
Personal services
159,555
159,555
156,217
3,338
126,806
Supplies
7,609
7,609
7,630
(21)
1,867
Other services and charges
37,628
37,628
32,455
5,173
35,704
Total park maintenance
204,792
204,792
196,302
8,490
164,377
Recreation:
Current:
Community services
52,176
52,176
52,176
-
52,176
Total parks and recreation
256,968
256,968
248,478
8,490
216,553
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Expenditures: (continued)
Nondepartmental:
Personal services
Supplies
Insurance deductible costs
Total nondepartmental
Total expenditures
Revenues over (under) expenditures
Other financing sources (uses):
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balance
Fund balance - January 1
Fund balance - December 31
Budgeted Amounts
Original Final
2014
Actual
Amounts
Statement 10
Page 5 of 5
2013
Variance with Actual
Final Budget Amounts
27,800
27,800
36,473
(8,673)
32,929
400
400
98
302
478
-
-
22,694
(22,694)
22,710
28,200
28,200
59,265
(31,065)
56,117
6,118,233
6,118,233
6,412,038
(293,805)
6,103,419
(62,212)
(62,212)
213,652
275,864
(112,448)
264,244
264,244
264,244
-
380,800
(175,565)
(175,565)
(150,954)
24,611
(95,150)
88,679
88,679
113,290
24,611
285,650
$26,467
$26,467
326,942
$300,475
173,202
V►
2,148,539 1,975,337
$2,475,481 $2,148,539
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE
NOTE TO RSI
December 31, 2014
Note A BUDGETS
The General Fund budget is legally adopted on a basis consistent with accounting principles generally accepted
in the United States of America. The legal level of budgetary control is at the department level for the General
Fund.
►� c
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF FUNDING PROGRESS
OTHER POST EMPLOYMENT BENEFITS PLAN
For The Year Ended December 31, 2014
Statement 11
MIX
(1)
(2)
(3)
(4)
(5)
(6)
Unfunded
Actuarial
Accrued
Active
UAAL As A
Actuarial
Actuarial
Actuarial
Funded
Liability
Members
Percentage of
Valuation
Value of
Accrued
Ratio
(UAAL)
Covered
Covered
Date
Assets
Liability (AAL)
(1)/(2)
(2)-(1)
Payroll
Payroll (4) / (5)
January 1, 2010
$ -
$835,974
0.00%
$835,974
$3,543,870
23.59%
January 1, 2012
-
838,935
0.00%
838,935
3,513,322
23.88%
January 1, 2014
-
869,401
0.00%
869,401
3,834,128
22.68%
MIX
Isle] LyiI I IzIIki[r1_P►1111zI7►y/1bill-JlzIs]kiI►viLl1L67:a1I1►117J1►L1kiINF—1"
STATEMENTS AND SCHEDULES
95
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for the proceeds of specific revenue sources that
are legally restricted to expenditures for specified purposes.
DEBT SERVICE FUNDS
Debt Service Funds are used to account for the accumulation of resources for, and
payment of, interest, principal and related costs on long-term debt.
CAPITAL PROJECT FUNDS
Capital Project Funds account for financial resources to be used for the
acquisition or construction of major capital facilities (other than those financed by
Proprietary Funds).
CITY OF ST. ANTHONY, MINNESOTA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
December 31, 2014
With Comparative Totals For December 31, 2013
Assets
Cash and investments
Accrued interest
Due from other governmental units
Accounts receivable - net
Prepaid items
Property taxes receivable:
Delinquent
Due from county
Special assessments receivable
Total assets
Statement 12
Liabilities, Deferred Inflows of Resources, and Fund Balance
Liabilities:
1,631 -
- 1,631
Totals
Restricted
Special
Debt
Capital
Nonmajor Governmental Funds
Revenue
Service
Project
2014
2013
$73,207
$1,982,985
$1,323,686
$3,379,878
$3,335,121
-
-
-
-
416
-
-
160,656
160,656
435,831
-
-
-
-
99,259
1,631
-
-
1,631
49
2,284
11,881
667
14,832
21,196
1,191
13,042
402
14,635
10,051
-
1,126,904
33,609
1,160,513
991,331
$78,313
$3,134,812
$1,519,020
$4,732,145
$4,893,254
Liabilities, Deferred Inflows of Resources, and Fund Balance
Liabilities:
1,631 -
- 1,631
49
Restricted
Accounts payable
$18,896 $ -
$18,236
$37,132
$94,916
Contracts payable
- -
158,084
158,084
21,683
Interfund payable
156,796 -
194,157
350,953
244,677
Deposits payable
- -
-
-
339,000
Interfund loan payable
- -
56,200
56,200
61,820
Due to other governmental units
12 -
-
12
825
Salaries payable
4,535 -
-
4,535
4,095
Total liabilities
180,239 0
426,677
606,916
767,016
Deferred inflows of resources:
Unavailable revenue
2,284 1,138,785
34,276
1,175,345
1,012,528
Total deferred inflows of resources
2,284 1,138,785
34,276
1,175,345
1,012,528
Fund balance (deficit):
Nonspendable
1,631 -
- 1,631
49
Restricted
23,471 1,996,027
- 2,019,498
2,002,737
Committed
6,667 -
- 6,667
33,015
Assigned
24,608 -
1,263,422 1,288,030
1,253,470
Unassigned
(160,587) -
(205,355) (365,942)
(175,561)
Total fund balance (deficit)
(104,210) 1,996,027
1,058,067 2,949,884
3,113,710
Total liabilities, deferred inflows of
resources, and fund balance $78,313 $3,134,812 $1,519,020 $4,732,145 $4,893,254
r'J71
CITY OF ST. ANTHONY, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 13
CHANGES IN FUND BALANCE
NONMAJOR GOVERNMENTAL FUNDS
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Expenditures:
Totals
Current:
Special
Debt
Capital
Nonmajor Governmental Funds
Revenue
Service
Project
2014
2013
Revenues:
Public safety
9,326
-
20,004
29,330
General property taxes
$153,194
$844,811
$49,732
$1,047,737
$1,086,244
Intergovernmental
17,383
92,706
361,104
471,193
199,885
Special assessments
-
138,828
8,132
146,960
206,855
Charges for services
128,385
146,423
41,151
315,959
490,016
Fines and forfeits
7,549
-
-
7,549
11,110
Investment income
1,064
20,463
24,183
45,710
(5,655)
Contributions and donations
-
-
33,840
33,840
13,434
Refunds and reimbursements
-
-
3,428
3,428
16,103
Other
6,980
-
691
7,671
173,505
Total revenues
314,555
1,243,231
522,261
2,080,047
2,191,497
Expenditures:
Current:
General government
-
-
35,459
35,459
74,488
Public safety
9,326
-
20,004
29,330
11,183
Public works
-
-
94,354
94,354
129,283
Parks and recreation
192,816
-
21,763
214,579
204,273
Housing and development
143,153
-
-
143,153
135,607
Capital outlay:
General government
-
-
38,826
38,826
-
Public safety
-
-
283,189
283,189
5,792
Public works
-
-
53,143
53,143
270,443
Parks and recreation
-
-
49,464
49,464
-
Debt service:
Principal
-
795,000
-
795,000
755,000
Interest
-
308,175
3,250
311,425
369,240
Paying agent fees
-
1,979
-
1,979
4,114
Professional service
-
11,738
-
11,738
2,703
Construction/acquistion costs
-
-
653,393
653,393
69,783
Total expenditures
345,295
1,116,892
1,252,845
2,715,032
2,031,909
Revenues over (under) expenditures
(30,740)
126,339
(730,584)
(634,985)
159,588
Other financing sources:
Bonds issued
-
43,755
-
43,755
22,057
Sale of capital assets
-
-
13,390
13,390
25,244
Transfers in
64,654
10,330
346,200
421,184
571,122
Transfers out
(40,645)
-
(90,000)
(130,645)
(317,772)
Total other financing sources
24,009
54,085
269,590
347,684
300,651
Net change in fund balance
(6,731)
180,424
(460,994)
(287,301)
460,239
Fund balance (deficit) - January 1 (97,479) 1,815,603 1,519,061 3,237,185 2,653,471
Fund balance (deficit) - December 31 ($104,210) $1,996,027 $1,058,067 $2,949,884 $3,113,710
Reconciliation of beginning fund balance to prior year ending fund balance:
Less: prior year ending fund balance for funds reported as major in current year: $3,113,710
Silver Lake Road Bond Fund 365 (165,606)
Add: prior year ending fund balance for funds reported as nonmajor in current year:
2013 Street Improvement Project Fund 519 289,081
Current year beginning fund balance $3,237,185
WE
NONMAJOR SPECIAL REVENUE FUNDS
The City's Special Revenue Funds are used to account for the proceeds of
specific revenue sources that are legally restricted to expenditures for
specified purposes. The City of St. Anthony, Minnesota had the following
Special Revenue Funds during the year:
Community Center Fund is used to account for the operation and maintenance
of City Hall and Community Services.
Police Forfeiture Fund is used to account for revenue and expenditures related
to the forfeiture of property.
Recycling Fund is used to account for the City's recycling program. It
incorporates the activities of both Hennepin and Ramsey Counties.
HRA Fund was established to oversee the commercial and residential
redevelopment activities in the community.
Fire Education / Training was established to account for revenues and
expenditures related to training provided to police and fire personnel.
ae
- This page intentionally left blank -
100
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS
December 31, 2014
With Comparative Totals For December 31, 2013
Statement 14
101
Fire
Community
Police
Education /
Center Fund
Forfeiture
Recycling
HRA Fund
Training
Totals Nonmajor Special
601
Fund 230
Fund 225
301
Fund 240
Revenue
Funds
2014
2013
Assets
Cash and investments
$33,458
$31,172
$5,668
$
$2,909
$73,207
$82,356
Accrued interest
-
-
-
-
-
-
416
Due from other governments
-
-
-
-
-
339,000
Accounts receivable
-
-
-
-
-
99,259
Prepaid items
819
-
812
-
1,631
49
Property taxes receivable:
Delinquent
-
-
-
2,284
-
2,284
2,992
Due from county
-
-
-
1,191
1,191
1,345
Total assets
$34,277
$31,172
$5,668
$4,287
$2,909
$78,313
$525,417
Liabilities, Deferred Inflows of Resources, and Fund Balance
Liabilities:
Accounts payable
$17,756
$
$ -
$1,140
$ -
$18,896
$32,120
Interfund payable
-
-
-
156,796
-
156,796
244,677
Deposits Payable
-
-
-
-
-
339,000
Due to other governmental units
12
-
-
-
-
12
12
Salaries payable
693
-
3,842
-
4,535
4,095
Total liabilities
18,461
0
0
161,778
0
180,239
619,904
Deferred inflows of resources:
Unavailable revenue
-
-
2,284
2,284
2,992
Total deferred inflows of resources
0
0
0
2,284
0
2,284
2,992
Fund balance (deficit):
Nonspendable
819
-
-
812
-
1,631
49
Restricted
-
23,471
-
-
-
23,471
21,528
Committed
999
-
5,668
-
-
6,667
33,015
Assigned
13,998
7,701
-
-
2,909
24,608
17,745
Unassigned
-
-
(160,587)
-
(160,587)
(169,816)
Total fund balance (deficit)
15,816
31,172
5,668
(159,775)
2,909
(104,210)
(97,479)
Total liabilities, deferred inflows of
resources, and fund balance
$34,277
$31,172
$5,668
$4,287
$2,909
$78,313
$525,417
101
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES, Statement 15
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR SPECIAL REVENUE FUNDS
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Revenues:
General property taxes
Intergovernmental:
Local - other
Charges for services:
Administrative fees
Rental receipts
Fines and Forfeits
Investment income
Refunds and reimbursements
Other
Total revenues
Expenditures:
Current:
General government
Public safety
Parks and recreation
Housing and development
Capital outlay:
Public safety
Total expenditures
Revenues over (under) expenditures
Other financing sources (uses):
Transfers in
Transfers out
Net change in fund balance
Fund balance (deficit) - January 1
Fund balance (deficit) - December 31
102
Fire
Community
Police
Education /
Center Fund
Forfeiture
Recycling
HRA Fund
Training
Totals Nonmajor Special
601
Fund 230
Fund 225
301
Fund 240
Revenue
Funds
2014
2013
$ -
$ -
$ -
$153,194
$ -
$153,194
$148,665
-
-
17,383
-
-
17,383
17,340
-
-
-
-
3,385
3,385
7,723
125,000
-
-
-
-
125,000
125,000
-
7,549
-
-
7,549
11,110
439
488
76
-
61
1,064
5,295
-
-
-
-
-
675
6,980
-
-
-
6,980
3,862
132,419
8,037
17,459
153,194
3,446
314,555
319,670
-
-
-
-
-
-
25,359
-
5,606
-
-
3,720
9,326
11,183
192,816
-
-
-
192,816
172,248
-
-
-
143,153
-
143,153
135,607
-
-
-
-
-
-
5,792
192,816
5,606
0
143,153
3,720
345,295
350,189
(60,397)
2,431
17,459
10,041
(274)
(30,740)
(30,519)
64,654
-
-
-
-
64,654
95,150
(25,000)
-
(15,645)
-
-
(40,645)
(145,000)
(20,743)
2,431
1,814
10,041
(274)
(6,731)
(80,369)
36,559
28,741
3,854
(169,816)
3,183
(97,479)
(17,110)
$15,816
$31,172
$5,668($159,775)
$2,909
($104,210)
($97,479)
102
NONMAJOR DEBT SERVICE FUNDS
The City's Debt Service Funds are used to account for the accumulation of
resources for, and payment of, interest, principal and related costs of long-term
debt other than proprietary fund debt. The City of St. Anthony, Minnesota had
the following nonmajor Debt Service Funds during the year.
Storm Water Fund was established to account for the debt service associated with
Flood Protection and infrastructure improvements.
State Aid Street Fund accounts for debt service for road construction projects of
high traffic roads in the Village. Funding is provided by the State of Minnesota -
State Aid.
Tax Abatement Fund was established to account for debt service payments
associated with the improvements to City parks.
2009 Street Improvement Bond Fund was established to account for the debt
service associated with the reconstruction and infrastructure improvements to
Chandler Drive and Foss Road.
2010 Street Improvement Bond Fund was established to account for the debt
service associated with the reconstruction improvements to Silver Lane and the
overlay of portions of Old Highway 8 and Highcrest Road.
2011 Street Improvement Bond Fund was established to account for the debt
service associated with the reconstruction improvements to Belden Drive,
Coolidge Street, Harding Street and Edward Street. Sidewalk improvements along
39th Ave are also included.
2012 Street Improvement Bond Fund was established to account for the debt
service associated with the reconstruction of Belden Drive and Coolidge Street
between 34th and 36th Avenues, 35th Avenue between Belden Drive and Harding
Street and miscellaneous sanitary sewer and stormwater repairs.
2013 Street Improvement Bond Fund was established to account for the debt
service associated with the reconstruction of Penrod Lane between 36th and 37th
Avenues, Chelmsford Road between 36th and 36th Avenues, Edgmere Avenue
between Penrod Lane and Chelmsford Road, and Wenhurst Avenue between
Penrod Lane and Chelmsford Road.
2014 Street Improvement Bond Fund was established to account for the debt
service associated with the reconstruction of Penrod Lane between 36th and 37th
Avenues, Edgmere Avenue between Penrod Lane and Chelmsford Road, and
Wenhurst Avenue between Penrod Lane and Chelmsford Road.
103
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING BALANCE SHEET
NONMAJOR DEBT SERVICE FUNDS
December 31, 2014
With Comparative Totals For December 31, 2013
Assets
Cash and investments
Property taxes receivable:
Delinquent
Due from county
Special assessments receivable
Total assets
Liabilities, Deferred Inflows of Resources, and Fund Balance
Liabilities:
Accounts payable
Total liabilities
Deferred inflows of resources:
Unavailable revenue
Total deferred inflows of resources
Fund balance:
Restricted
Total liabilities, deferred inflows of
resources, and fund balance
2009 Street
Storm Water State Aid Street Tax Abatement Improvement
$142,768 $66,106 $225,903
$376,963
- - 2,300
2,850
- - 1,137
7,346
- - -
149,534
$142,768 $66,106 $229,340
$536,693
104
0 0 0 0
- - 2,300 152,384
0 0 2,300 152,384
142,768 66,106 227,040 384,309
$142,768 $66,106 $229,340 $536,693
2010 Street 2011 Street 2012 Street 2013 Street 2014 Street
Improvement Improvement Improvement Improvement Improvement
Statement 16
Totals Nonmajor Debt Service Funds
$156,673
$410,681
$332,467
$227,378
$44,046 $1,982,985
$1,972,950
1,694
2,128
1,881
1,028
- 11,881
17,492
1,493
1,055
1,287
724
- 13,042
8,260
41,648
142,038
327,501
188,558
277,625 1,126,904
951,694
$201,508
$555,902
$663,136
$417,688
$321,671 $3,134,812
$2,950,396
0 0 0
43,342 144,166 329,382 189,586 277,625 1,138,785 969,187
43,342 144,166 329,382 189,586 277,625 1,138,785 969,187
158,166 411,736 333,754 228,102 44,046 1,996,027 1,981,209
$201,508 $555,902 $663,136 $417,688 $321,671 $3,134,812 $2,950,396
105
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR DEBT SERVICE FUNDS
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Revenues:
General property taxes
Intergovernmental:
State:
MSA state aid
Local:
ISD - tax abatement
Special assessments
Charges for services
Investment income
Total revenues
Expenditures:
Debt service:
Principal
Interest
Paying agent fees
Professional service
Total expenditures
Revenues over (under) expenditures
Other financing sources:
Bonds issued
Transfers in
Total other financing sources (uses)
Net change in fund balance
Fund balance - January 1
Fund balance - December 31
2009 Street
Storm Water State Aid Street Tax Abatement Improvement
$ -
$ -
$150,649
$185,561
-
61,800
-
-
-
-
30,906
-
-
-
-
26,147
146,423
-
-
-
1,147
182
1,921
4,341
147,570
61,982
183,476
216,049
145,000
60,000
130,000
150,000
6,675
2,700
43,514
73,918
122
86
316
204
986
655
1,640
3,524
152,783
63,441
175,470
227,646
(5,213)
(1,459)
8,006
(11,597)
0
0
0
0
(5,213)
(1,459)
8,006
(11,597)
147,981
67,565
219,034
395,906
$142,768
$66,106
$227,040
$384,309
106
Statement 17
2010 Street
2011 Street
2012 Street
2013 Street
2014 Street
Improvement
Improvement
Improvement
Improvement
Improvement
Bond Fund 514
Bond Fund 516
Bond Fund 518
Bond Fund 520
Bond Fund 522
Totals Nonmajor Debt Service Funds
2014
2013
$109,928
$140,252
$141,187
$117,234
$ -
$844,811
$888,323
-
-
-
-
-
61,800
63,600
-
-
-
-
-
30,906
30,906
5,013
34,018
41,959
31,691
-
138,828
200,705
-
-
-
-
-
146,423
152,750
1,516
5,193
3,559
2,248
356
20,463
(5,528)
116,457
179,463
186,705
151,173
356
1,243,231
1,330,756
80,000
105,000
125,000
-
-
795,000
755,000
36,092
61,175
47,763
36,338
-
308,175
365,694
400
297
104
450
-
1,979
4,114
4,283
117
122
346
65
11,738
2,703
120,775
166,589
172,989
37,134
65
1,116,892
1,127,511
(4,318)
12,874
13,716
114,039
291
126,339
203,245
-
-
-
-
43,755
43,755
22,057
-
-
10,330
-
-
10,330
82,772
0
0
10,330
0
43,755
54,085
104,829
(4,318)
12,874
24,046
114,039
44,046
180,424
308,074
162,484
398,862
309,708
114,063
-
1,815,603
1,673,135
$158,166
$411,736
$333,754
$228,102
$44,046
$1,996,027
$1,981,209
Reconciliation of beginning fund balance to prior year ending fund balance:
Less prior year ending fund balance for funds reported as major
in current year:
$1,981,209
Silver Lake Road Bond Fund 365
(165,606)
Current year
beginning fund balance
$1,815,603
107
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108
NONMAJOR CAPITAL PROJECT FUNDS
The City's Capital Project Funds account for financial resources to be used for the
acquisition or construction of major capital facilities (other than those financed by
Proprietary Funds). The City of St. Anthony, Minnesota had the following
Capital Project Funds during the year:
Revolving Improvement Fund was established to provide funding for smaller
improvement projects.
Park Improvement Fund accounts for the revenues and expenditures associated
with the renovations and refurbishing of the City's park system.
Silver Lake Village Park Fund was established to account for the construction and
improvements to the City's park located in Silver Lake Village. The Park is
named "Salo Park" which is in honor of St. Anthony's sister city (Salo, Finland).
Capital Equipment Fund is used by all City Departments and accounts for the
annual purchases of capital equipment.
Building Improvement Fund was established to provide funding for existing City
owned building improvements and renovations.
Storm Water Improvement Fund was established to account for the construction
costs associated with the 100 -Year Flood Protection Project and related flooding
issues.
2013 Street Improvement Project Fund accounts for the construction costs
associated with the reconstruction of Edward Street between 35th and 36th
Avenues along with 36th Avenue between Roosevelt Street and Silver Lake
Road.
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING BALANCE SHEET
NONMAJOR CAPITAL PROJECT FUNDS
December 31, 2014
With Comparative Totals For December 31, 2013
110
Revolving
Park Improvement
Silver Lake Village
Improvement 509
501
Park 350
Assets
Cash and investments
$753,967
$187,642
$ -
Due from other governmental units
863
-
81,451
Property taxes receivable:
Delinquent
-
-
-
Due from county
47
-
-
Special assessment receivable
33,609
-
-
Total assets
$788,486
$187,642
$81,451
Liabilities, Deferred Inflows of Resources, and
Fund Balance
Liabilities:
Accounts payable
$7,466
$ -
$829
Contracts payable
-
-
91,820
Interfund payable
-
-
160,352
Interfund loan payable
56,200
-
-
Due to other governments
-
-
-
Total liabilities
63,666
0
253,001
Deferred inflows of resources:
Unavailable revenue
33,609
-
-
Total deferred inflows of resources
33,609
0
0
Fund balance (deficit):
Assigned
691,211
187,642
-
Unassigned
-
-
(171,550)
Total fund balance (deficit)
691,211
187,642
(171,550)
Total liabilities, deferred inflows
of resources, and fund balance
$788,486
$187,642
$81,451
110
Statement 18
111
Building
2013 Street
Capital Equipment
Improvement Fund
Storm Water
Improvement
Fund 401
510
Improvement 702
Project Fund 519
Totals Nonmajor Capital Project Funds
2014
2013
$126,698
$ -
$ -
$255,379
$1,323,686
$1,279,815
-
-
78,342
-
160,656
96,831
667
-
-
-
667
712
355
-
-
-
402
446
-
-
-
-
33,609
39,637
$127,720
$0
$78,342
$255,379
$1,519,020
$1,417,441
$8,245
$ -
$1,696
$ -
$18,236
$62,796
-
-
-
66,264
158,084
21,683
-
33,805
-
-
194,157
-
-
-
-
-
56,200
61,820
-
-
-
-
-
813
8,245
33,805
1,696
66,264
426,677
147,112
667
-
-
-
34,276
40,349
667
0
0
0
34,276
40,349
118,808
-
76,646
189,115
1,263,422
1,235,725
-
(33,805)
-
-
(205,355)
(5,745)
118,808
(33,805)
76,646
189,115
1,058,067
1,229,980
$127,720
$0
$78,342
$255,379
$1,519,020
$1,417,441
111
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBEN ING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR CAPITAL PROJECT FUNDS
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Revenues:
General property taxes
Intergovernmental:
State - other
Other - local participation
Special assessments
Charges for services:
Service charges
Investment income
Contributions and donations
Refunds and reimbursements
Other
Total revenues
Expenditures:
General government:
Materials and supplies
Capital outlay
Public safety:
Materials and supplies
Capital outlay
Public works:
Materials and supplies
Contractual services
Capital outlay
Parks and recreation:
Materials and supplies
Capital outlay
Debt service:
Interest
Construction/acquistion costs
Total expenditures
Revenues over (under) expenditures
Other financing sources:
Transfers in
Transfers out
Sale of capital assets
Total other financing sources
Net change in fund balance
Fund balance (deficit) - January 1
Fund balance (deficit) - December 31
Revolving
Improvement 509
112
Park Improvement Silver Lake Village
501 Park 350
- 297,442
8,132 - -
13,774 3,577
3,428
25,334 3,577 297,442
60,947 - -
21,500 - -
- 21,763 -
- 16,124 -
3,250 - -
- - 466,725
85,697 37,887 466,725
(60,363) (34,310) (169,283)
(90,000) - -
(90,000) 0 0
(150,363) (34,310) (169,283)
841,574 221,952 (2,267)
$691,211 $187,642 ($171,550)
Capital Equipment
Fund 401
Building 2013 Street
Improvement Fund Storm Water Improvement Project
510 Improvement 702 Fund 519
Statement 19
Totals Nonmajor Capital Project Funds
2014 2013
$49,732 $ - $
-
$ -
$49,732
$49,256
- -
-
-
297,442
2,000
- -
31,795
31,867
63,662
86,039
- -
-
-
8,132
6,150
- -
41,151
-
41,151
204,543
916 764
-
5,152
24,183
(5,422)
33,840 -
-
-
33,840
13,434
- -
-
3,428
15,428
691 -
-
-
691
169,643
85,179 764
72,946
37,019
522,261
541,071
35,459 -
-
-
35,459
49,129
38,826 -
-
38,826
-
- 20,004
-
20,004
-
85,215 197,974
-
283,189
-
- 6,255
-
-
6,255
10,069
- 27,152
-
-
88,099
119,214
31,643 -
-
-
53,143
270,443
- -
-
-
21,763
32,025
33,340 -
-
-
49,464
-
- -
-
-
3,250
3,546
- -
49,683
136,985
653,393
69,783
224,483 251,385
49,683
136,985
1,252,845
554,209
(139,304) (250,621)
23,263
(99,966)
(730,584)
(13,138)
248,200 98,000
-
-
346,200
393,200
- -
-
-
(90,000)
(172,772)
13,390 -
-
-
13,390
25,244
261,590 98,000
0
0
269,590
245,672
122,286 (152,621)
23,263
(99,966)
(460,994)
232,534
(3,478) 118,816
53,383
289,081
1,519,061
997,446
$118,808 ($33,805)
$76,646
$189,115
$1,058,067
$1,229,980
Reconciliation of beginning fund balance to prior year ending fund balance:
Add: prior year ending fund balance for funds reported as nonmajor in current year:
$1,229,980
2013 Street Improvement Project Fund 519
289,081
Current year beginning fund balance
$1,519,061
113
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 601 COMMUNITY CENTER FUND Statement 20
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2014
With Comparative Actual Amounts For The Year Ended December 31, 2013
Revenues:
Charges for services:
Rental receipts
Investment income
Other
Total revenues
Expenditures:
Parks and recreation:
Current:
Personal services
Supplies
Contractual services
Total expenditures
Revenues over (under) expenditures
Other financing sources:
Transfer in
Transfer out
Net change in fund balance
Fund balance - January 1
Fund balance - December 31
2014
Budgeted Amounts 2013
Original Final Actual Actual
$125,000 $125,000 $125,000
$125,000
250 250 439
(842)
- - 6,980
3,237
125,250 125,250 132,419
127,395
12,036
12,036
14,124
13,902
550
550
2,151
179
167,292
166,281
176,541
158,167
179,878
178,867
192,816
172,248
(54,628)
(53,617)
(60,397)
(44,853)
73,650
73,650
64,654
70,150
(25,000)
(25,000)
(25,000)
(145,000)
($5,978) ($4,967)
114
(20,743) (119,703)
36,559 156,262
$15,816 $36,559
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 230 POLICE FORFEITURE FUND Statement 21
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2014
With Comparative Actual Amounts For The Year Ended December 31, 2013
115
2014
Budgeted Amounts
2013
Original
Final
Actual
Actual
Revenues:
Forfeiture and confiscation
$12,500
$12,500
$7,549
$11,110
Investment income
-
-
488
(124)
Total revenues
12,500
12,500
8,037
10,986
Expenditures:
Public safety:
Current:
Personal services
-
-
1,984
2,703
Supplies
3,500
3,500
3,622
2,608
Other services and charges
6,250
6,250
-
-
Capital outlay
2,750
2,750
-
5,792
Total expenditures
12,500
12,500
5,606
11,103
Revenues over (under) expenditures
$0
$0
2,431
(117)
Fund balance - January 1
28,741
28,858
Fund balance - December 31
$31,172
$28,741
115
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 225 RECYCLING FUND Statement 22
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2014
With Comparative Actual Amounts For The Year Ended December 31, 2013
116
2014
Budgeted Amounts
2013
Original Final
Actual
Actual
Revenues:
Intergovernmental:
Hennepin County recycling grant
$ - $ -
$17,383
$17,340
Charges for services
- -
-
2,683
Investment income
- -
76
-
Other
- -
-
625
Total revenues
0 0
17,459
20,648
Expenditures:
General government:
Current:
Personal services
- -
-
472
Other services and charges
- 3,853
-
24,887
Total expenditures
0 3,853
0
25,359
Revenues over (under) expenditures
$ - ($3,853)
17,459
(4,711)
Other financing sources:
Transfer in
- -
-
25,000
Transfer out
- -
(15,645)
-
Total other financing sources
- -
(15,645)
25,000
Net change in fund balance
$0 ($3,853)
1,814
20,289
Fund balance (deficit) - January 1
3,854
(16,435)
Fund balance (deficit) - December 31
$5,668
$3,854
116
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 301 HRA FUND Statement 23
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2014
With Comparative Actual Amounts For The Year Ended December 31, 2013
Revenues:
General property taxes
Investment income
Refunds and reimbursements
Total revenues
Expenditures:
Housing and redevelopment:
Current:
Personal services
Contractual services
Total expenditures
Revenues over (under) expenditures
Fund balance (deficit) - January 1
Fund balance (deficit) - December 31
2014
Budgeted Amounts 2013
Original Final Actual Actual
$150,585 $133,427 $153,194 $148,665
3,000 3,000 - 6,278
-117 C
1 JJ,J V✓ 1JV,'TL I - ,J, 1.7 1J✓1V 117
90,612
90,612
88,861
85,383
50,000
50,000
54,292
50,224
140,612
140,612
143,153
135,607
$12,973 ($4,185)
117
10,041 20,011
(169,816) (189,827)
($159,775) ($169,816)
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 240 FIRE EDUCATION / TRAINING FUND Statement 24
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2014
With Comparative Actual Amounts For The Year Ended December 31, 2013
Revenues:
Charges for services
Investment income
Total revenues
Expenditures:
Public safety:
Current:
Personal services
Materials and supplies
Other
Total expenditures
Revenues over (under) expenditures
Fund balance - January 1
Fund balance - December 31
2014
Budgeted Amounts 2013
Original Final Actual Actual
$5,500 $5,500 $3,385 $5,040
- - 61 (17)
5,500 5,500 3,446 5,023
4,590
4,590 1,340 4,378
550
550 2,380 1,494
25
25 - -
5,165
5,165 3,720 5,872
$335 $335
118
(274) (849)
3,183 4,032
$2,909 $3,183
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
AGENCY FUND
For The Year Ended December 31, 2014
Developer Deposits
Statement 25
Balance Balance
January 1, December 31,
2014 Additinnc neletinnc 2014
Assets:
Cash and investments ($7,234) $7,234 ($1,090) ($1,090)
Accounts receivable - net 7,234 1,090 (7,234) 1,090
Total assets $ - $8,324 ($8,324) $ -
Liabilities:
Deposits payable $ - $ - - $ -
119
- This page intentionally left blank -
120
6411)1l4►vi14LlkC1:yd;lIkL1►us] /_TOIZMal NLy, F -11I z
121
CITY OF ST. ANTHONY, MINNESOTA
BALANCESHEET
HRA DEBT SERVICE FUND
December 31, 2014
With Comparative Totals For December 31, 2013
Exhibit 1
Public Facilities
Revenue Bonds TIF Revenue TIF Revenue
311/312 Bonds 2006 335 Bonds 2007 336 HRA Debt Service Fund Totals
2014 2013
Assets
Cash and investments
$609,856
$2,643
$7,745
$620,244
$588,736
Property taxes receivable:
Delinquent
5,913
-
-
5,913
8,049
Due from county
2,882
-
-
2,882
3,311
Total assets
$618,651
$2,643
$7,745
$629,039
$600,096
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Interfund loan payable
$ -
$ -
$ -
$ -
$ -
Total liabilities
0
0
0
0
0
Deferred inflows of resources:
Unavailable revenue
5,913
-
-
5,913
8,049
Total deferred inflows of resources
5,913
0
0
5,913
8,049
Fund balance:
Restricted
612,738
2,643
7,745
623,126
592,047
Total liabilities, deferred inflows of
resources, and fund balance
$618,651
$2,643
$7,745
$629,039
$600,096
122
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES Exhibit 2
IN FUND BALANCE
HRA DEBT SERVICE FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Revenues:
General property taxes
Investment income
Total revenues
Expenditures:
Debt service:
Principal
Interest and other
Paying agent fees
Bond issuance costs
Total expenditures
Revenues over (under) expenditures
Other financing sources (uses):
Public
Facilities TIF Revenue
Revenue Bonds Bonds 2006
311/312 335
TIF Revenue
Bonds 2007
336 HRA Debt Service Fund Totals
2014 2013
$377,755
$ -
$ -
$377,755
$374,868
6,145
-
5,155
11,300
(3,546)
383,900
0
5,155
389,055
371,322
700,400
285,000
125,000
4,165,000
4,575,000
710,000
73,290
240,550
205,419
519,259
560,797
228
2,733
533
3,494
7,535
-
-
77,241
77,241
-
358,518
368,283
4,448,193
5,174,994
1,278,332
25,382
(368,283)
(4,443,038)
(4,785,939)
(907,010)
Refunding bonds issued
-
-
3,665,000
3,665,000
-
Premium on debt issued
-
-
83,318
83,318
-
Transfers in
1,767
368,300
700,400
1,070,467
876,446
Transfers out
(1,767)
-
-
(1,767)
-
Total other financing sources (uses)
0
368,300
4,448,718
4,817,018
876,446
Net change in fund balance
25,382
17
5,680
31,079
(30,564)
Fund balance - January 1
587,356
2,626
2,065
592,047
622,611
Fund balance - December 31
$612,738
$2,643
$7,745
$623,126
$592,047
123
CITY OF ST. ANTHONY, MINNESOTA
BALANCE SHEET
HRA PROJECTS FUND
December 31, 2014
With Comparative Totals For December 31, 2013
Assets
Cash and investments
Interfund loan receivable
Property taxes receivable:
Delinquent
Due from county
Funds held by others
Total assets
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable
Interfund payable
Interfund loans payable
Due to other governments
Total liabilities
Deferred inflows of resources:
Unavailable revenue
Total deferred inflows of resources
Fund balance (deficit):
Restricted
Committed
Unassigned
Total fund balance (deficit)
Total liabilities, deferred inflows of
resources, and fund balance (deficit)
Exhibit 3
Tax Increment Financing Districts
Apache HRA
Chandler Apache (Wal- (Cub Foods) Directed
Place 321 Mart) 330 326 Projects 319 Eliminations HRA Projects Fund Total
2014 2013
$25,915 $820,934 $498,710 $ - $ - $1,345,559 $1,757,602
646,850 - 722,566 (1,369,416)
54,611 54,611 40,539
1,287 - 1,287 8,114
- - 71,513 71,513 61,049
$672,765 $876,832 $1,221,276 $71,513 ($1,369,416) $1,472,970 $1,867,304
- $214,932 $ $ - $ $214,932 $208,367
- 121,354 121,354 121,453
2,328,742 - (1,369,416) 959,326 959,326
- - - 2,824
0 2,543,674 0 121,354 (1,369,416) 1,295,612 1,291,970
54,611 54,611 40,539
0 54,611 0 0 0 54,611 40,539
672,765 1,221,276 - 1,894,041 1,831,915
- - 71,513 71,513 61,049
- (1,721,453) - (121,354) (1,842,807) (1,358,169)
672,765 (1,721,453) 1,221,276 (49,841) 0 122,747 534,795
$672,765 $876,832 $1,221,276 $71,513 ($1,369,416) $1,472,970 $1,867,304
124
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES Exhibit 4
IN FUND BALANCE
HRA PROJECTS FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Expenditures:
Tax Increment Financing
Districts
-
General government:
(1,068,700)
(876,446)
Net change in fund balance
Other
- 19,673
HRA
16,274
Housing and redevelopment
- -
710 - 710
14,463
Debt service:
Directed
(60,305)
534,795
Interest
Chandler
Apache (Wal-
Apache (Cub
Projects
- 431,875
- - 431,875
415,233
Place 321
Mart) 330
Foods) 326
319
HRA Projects Fund Totals
25,915 584,062
36,211 10,464 656,652
905,961
$672,765
($1,721,453)
2014
2013
Revenues:
$534,795
Tax increment collections
$ -
$1,117,824
$ -
$ -
$1,117,824
$1,398,000
Investment income
25,915
10,940
36,921
-
73,776
43,502
Miscellaneous
-
-
-
10,464
10,464
-
Total revenues
25,915
1,128,764
36,921
10,464
1,202,064
1,441,502
Expenditures:
-
(1,068,700)
-
General government:
(1,068,700)
(876,446)
Net change in fund balance
Other
- 19,673
- - 19,673
16,274
Housing and redevelopment
- -
710 - 710
14,463
Debt service:
1,185,065
(60,305)
534,795
Interest
- 93,154
- - 93,154
89,571
Developer incentives
- 431,875
- - 431,875
415,233
Total expenditures
0 544,702
710 0 545,412
535,541
Revenues over (under) expenditures
25,915 584,062
36,211 10,464 656,652
905,961
Other financing sources (uses):
Transfers out
-
(1,068,700)
-
-
(1,068,700)
(876,446)
Net change in fund balance
25,915
(484,638)
36,211
10,464
(412,048)
29,515
Fund balance - January 1, as previously reported
646,850
(1,236,815)
1,185,065
(60,305)
534,795
716,403
Prior period adjustment
-
-
-
-
-
(211,123)
Fund balance - January 1, as restated
646,850
(1,236,815)
1,185,065
(60,305)
534,795
505,280
Fund balance (deficit) - December 31
$672,765
($1,721,453)
$1,221,276$4(
9,841)
$122,747
$534,795
125
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENSES AND CHANGES Exhibit 5
IM FUND NET POSITION
WATER AND SEWER ENTERPRISE FUND
For The Year Ended December 31, 2014
With Comparative Totals For The Year Ended December 31, 2013
Operating revenues:
Charges for services
Connection charges
Total operating revenues
Operating expenses:
Personal services
Supplies
Contracted services and other
Treatment charges (MCES)
Other
Depreciation
Total operating expenses
Operating income (loss)
Operations
704 Water Filtration
76,784
Totals
738,151
701 Water and Purification
701 Sewer
2014
2013
$875,407 $ -
$914,442
$1,789,849
$1,729,883
3,600 -
6,800
10,400
150,800
879,007 0
921,242
1,800,249
1,880,683
401,613
76,784
259,754
738,151
703,735
17,476
45,957
16,884
80,317
58,954
53,032
107,321
34,664
195,017
136,476
-
-
620,470
620,470
588,795
147,056
9,012
52,410
208,478
205,453
214,740
-
74,215
288,955
243,625
833,917
239,074
1,058,397
2,131,388
1,937,038
$45,090
($239,074)
($137,155)
(331,139)
(56,355)
Nonoperating revenues (expenses):
Investment income
Interest expense
Fees and cost of issuance
Miscellaneous income
Total nonoperating revenues (expenses)
Income (loss) before capital
contributions and transfers
Capital contributions and transfers:
Capital contributions
Transfers in
Transfers out
Change in net position
Net position - January 1
Net position - December 31
126
105,631
53,269
(22,275)
(29,102)
(683)
(36,898)
3,182
2,740
85,855
(9,991)
(245,284) (66,346)
490,656 1,348,238
15,645 -
(100,000) (100,000)
161,017 1,181,892
9,332,173 8,150,281
$9,493,190 $9,332,173
III. STATISTICAL SECTION (UNAUDITED)
This part of the City of St. Anthony, Minnesota's Comprehensive Annual Financial
Report presents detailed information as a context for understanding what the information
in the financial statements, note disclosures and required supplementary information says
about the City of St. Anthony, Minnesota's overall financial health.
Contents
Financial Trends
Page
These tables contain trend information to help the reader understand how 128-135
the City's financial performance and well-being have changed over time.
Revenue Capacity
These tables contain information to help the reader assess the City's most 136-139
significant local revenue source, the property tax.
Debt Capacity
These tables present information to help the reader assess the affordability 140-149
of the City's current levels of outstanding debt and the City's ability to issue
additional debt in the future.
Demographic and Economic Information
These tables offer demographic and economic indicators to help the reader 150-151
understand the enviornment within which the City's financial activities take
place.
Operating Information
These tables contain service and infrastructure data to help the reader 152-154
understand how the information in the City's financial report relates to the
services the City provides and the activities it performs.
Sources: Unless otherwise noted, the information in these tables is derived from the
comprehensive financial reports for the relevant year.
Comparable GASB Statement 34 information is available for years beginning in 2005;
the City has chosen to provide information for that year forward. Ultimately, these tables
will contain information for the last ten years.
127
CITY OF ST. ANTHONY, MINNESOTA
NET POSITION BY COMPONENT
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Governmental activities:
Net invested in capital assets,
Restricted for:
Debt service
Public safety
Unrestricted
Total governmental
activities net position
Business -type activities:
Net invested in capital assets,
Restricted for:
Debt service
Unrestricted
Total business -type
activities net position
Primary government:
Net invested in capital assets,
Restricted for:
Debt service
Public safety
Unrestricted
Total primary government
net position
2005
$4,785,860
8,164,796
50,191
3,729,287
$16,730,134
$1,758,506
120,000
2,157,418
Fiscal Year
2006
$9,108,004
6,541,771
42,994
2,287,779
$17,980,548
$1,822,792
120,000
1,973,533
2007
$12,640,902
3,228,881
53,908
(383,292)
$15,540,399
$2,703,188
120,000
1,183,416
2008
$13,372,903
2,327,517
63,701
90,615
$15,854,736
$4,745,674
120,000
1,042,856
$4,035,924 $3,916,325 $4,006,604 $5,908,530
$6,544,366
8,284,796
50,191
5,886,705
$20,766,058
$10,930,796
6,661,771
42,994
4,261,312
$21,896,873
$15,344,090
3,348,881
53,908
800,124
$19,547,003
Comparable GASB Statement 34 information is available for years beginning in 2005; the City has chosen to provide
information for that year forward. Ultimately, this table will contain information for ten years.
Note: GASB 65 was implemented in 2013. Net position was restated for 2012 to reflect the expensing of bond issuance
costs in the year of issuance.
Net position for years prior to 2012 was not restated.
128
$18,118,577
2,447,517
63,701
1,133,471
$21,763,266
Table 1
Fiscal Year
2009 2010 2011 2012 2013 2014
$12,367,934
$14,098,233
$15,334,754
$15,182,974
$16,217,013
$14,953,582
6,782,289
4,372,871
4,263,706
4,741,115
3,347,895
5,717,140
60,985
34,320
16,281
21,521
21,528
23,471
(3,478,013)
(1,339,821)
(6,358,682)
(5,566,910)
(5,239,277)
(5,169,936)
$15,733,195
$17,165,603
$13,256,059
$14,378,700
$14,347,159
$15,524,257
$5,017,685
120,000
730,653
$4,915,905
120,000
615,994
$4,767,233
5,642,649
$4,523,383
5,814,241
$5,605,845
5,965,067
$6,036,192
5,570,360
$5,868,338
$5,651,899
$10,409,882
$10,337,624
$11,570,912
$11,606,552
$17,385,619
$19,014,138
$20,101,987
$19,706,357
$21,822,858
$20,989,774
6,902,289
4,492,871
4,263,706
4,741,115
3,347,895
5,717,140
60,985
34,320
16,281
21,521
21,528
23,471
(2,747,360)
(723,827)
(716,033)
247,331
725,790
400,424
$21,601,533
$22,817,502
$23,665,941
$24,716,324
$25,918,071
$27,130,809
129
CITY OF ST. ANTHONY, NUNNESOTA
CHANGES IN NET POSITION
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Table 2
Page 1 of 2
Business -type activities
Liquor
5,034,639
5,429,222
5,740,169
5,969,076
6,156,097
Fiscal Year
6,537,271
6,618,975
6,479,809
5,879,240
Water
2005
2006
2007
2008
2009
2010
2011
2012
2013«1
2014
Expenses
-
-
-
-
-
-
132,981
114,337
124,505
239,074
Governmental activities:
805,171
736,967
785,491
860,918
932,979
956,635
944,097
1,041,085
1,019,421
1,069,876
General government
$877,230
$1,115,231
$1,111,240
$1,231,302
$1,160,932
$1,310,199
$1,052,821
$1,307,007
$1,029,147
$1,116,100
Public safety
2,402,296
2,461,222
2,359,360
2,656,975
2,937,528
2,898,043
2,971,316
2,971,275
4,488,023
4,644,185
Public works
1,414,857
1,400,951
6,266,350
1,436,309
1,839,163
1,841,083
1,834,066
2,671,918
2,565,860
2,711,291
Parks and recreation
1,499,773
806,512
450,549
416,881
424,590
440,858
457,822
377,689
569,254
608,966
Services to other cities
606,952
649,625
911,419
940,807
1,026,842
1,016,479
1,039,009
1,039,504
-
-
Housing and redevelopment
424,273
2,967,835
173,098
536,068
2,534,700
654,145
671,934
649,104
565,303
575,738
Interest on long-term debt
1,014,270
1,096,390
1,411,926
1,497,107
1,407,527
1,290,844
1,302,681
1,197,073
1,217,646
1,044,635
Total governmental
$12,339,357
$10,777,017
$11,160,297
$12,120,059
$12,439,987
$11,844,589
$11,851,385
$13,248,340
$12,661,217
$11,823,107
activities expenses
8,239,651
10,497,766
12,683,942
8,715,449
11,331,282
9,451,651
9,329,649
10,213,570
10,435,233
10,700,915
Business -type activities
Liquor
5,034,639
5,429,222
5,740,169
5,969,076
6,156,097
6,360,985
6,537,271
6,618,975
6,479,809
5,879,240
Water
641,490
899,686
775,828
794,433
843,723
826,352
874,099
901,732
859,112
845,396
Water Filtration and Purification
-
-
-
-
-
-
132,981
114,337
124,505
239,074
Sewer
805,171
736,967
785,491
860,918
932,979
956,635
944,097
1,041,085
1,019,421
1,069,876
Total business -type
1,192,468
999,142
876,425
841,448
972,456
817,062
803,397
1,067,084
2,506,369
2,374,306
activities expenses
6,481,300
7,065,875
7,301,488
7,624,427
7,932,799
8,143,972
8,488,448
8,676,129
8,482,847
8,033,586
Total primary
2,905,063
974,678
755,930
1,684,417
1,659,382
992,511
839,137
1,566,565
780,072
1,070,975
government expenses
$14,720,951
$17,563,641
$19,985,430
$16,339,876
$19,264,081
$17,595,623
$17,818,097
$18,889,699
$18,918,080
$18,734,501
Program revenues
Governmental activities:
Charges for services:
5,298,404
5,814,838
6,187,185
6,359,731
6,611,975
6,826,901
6,995,923
7,139,381
6,908,143
6,078,039
Services to other cities
$724,140
$747,675
$1,039,000
$1,096,200
$1,156,500
$1,157,190
$1,180,334
$1,192,138
$ -
$ -
Other activities
1,192,468
999,142
876,425
841,448
972,456
817,062
803,397
1,067,084
2,506,369
2,374,306
Operating grants and contributions
691,777
684,819
609,886
522,542
456,357
475,411
454,841
447,554
585,950
499,538
Capital grants and contributions
2,905,063
974,678
755,930
1,684,417
1,659,382
992,511
839,137
1,566,565
780,072
1,070,975
Total governmental
activities program revenues
5,513,448
3,406,314
3,281,241
4,144,607
4,244,695
3,442,174
3,277,709
4,273,341
3,872,391
3,944,819
Business -type activities:
Charges for services:
Liquor
5,298,404
5,814,838
6,187,185
6,359,731
6,611,975
6,826,901
6,995,923
7,139,381
6,908,143
6,078,039
Water
684,096
778,979
841,611
812,371
806,987
785,642
798,240
957,824
933,051
879,007
Water Filtration and Purification
-
-
-
-
-
-
-
-
-
-
Sewer
843,409
776,886
850,260
803,350
776,330
789,872
779,513
877,794
947,632
921,242
Operating grants and contributions
-
-
-
-
-
-
-
-
-
-
Capital grants and contributions
Total business -type
activities program revenues
6,825,909
7,370,703
7,879,056
7,975,452
8,195,292
8,402,415
8,573,676
8,974,999
8,788,826
7,878,288
Total primary government
program revenues
$12,339,357
$10,777,017
$11,160,297
$12,120,059
$12,439,987
$11,844,589
$11,851,385
$13,248,340
$12,661,217
$11,823,107
130
CITY OF ST. ANTHONY, NHNNESOTA
CHANGES IN NET POSITION
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Table 2
Page 2 of 2
General revenues and other changes in
net position:
Fiscal Year
Governmental activities:
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Net (expense) revenue:
499
12,490
18,303
17,089
10,353
3,454
3,976
17,569
66,478
61,444
Governmental activities
($2,726,203)
($7,091,452)
($9,402,701)
($4,570,842)
($7,086,587)
($6,009,477)
($6,051,940)
($5,940,229)
($6,562,842)
($6,756,096)
Business -type activities
344,609
304,828
577,568
351,025
262,493
258,443
85,228
298,870
305,979
(155,298)
Total primary government
124,309
94,470
159,741
88,291
20,918
22;827
24,673
10,639
26,384
461,964
net (expense) revenue
(2,381,594)
(6,786,624)
(8,825,133)
(4,219,817)
(6,824,094)
(5,751,034)
(5,966,712)
(5,641,359)
(6,256,863)
(6,911,394)
General revenues and other changes in
net position:
Governmental activities:
44,410
78,638
74,764
18,985
6,833
(336)
52,659
122,833
51,593
111,512
Taxes:
499
12,490
18,303
17,089
10,353
3,454
3,976
17,569
66,478
61,444
Property taxes
$3,464,453
$3,668,503
$3,968,436
$4,115,365
$4,442,708
$4,750,440
$4,872,840
$5,408,188
$5,703,707
$6,030,558
Tax increment collections
410,968
851,309
1,477,929
1,753,559
1,952,704
1,807,388
1,746,766
1,335,674
1,405,872
1,131,896
Grants and contributions
124,309
94,470
159,741
88,291
20,918
22;827
24,673
10,639
26,384
461,964
Unrestricted investment earnings
358,571
514,440
698,345
403,426
208,761
224,693
6,803
55,206
25,914
189,441
Other
214,859
96,837
77,745
36,365
16,103
61,866
148,500
208,525
389,785
104,113
Gain on sale of capital assets
-
8,730
-
-
3,981
-
-
46,195
-
33,204
Transfers
348,250
485,000
580,356 (1,514,827)
319,871
478,000
595,200
610,000
(809,238) (17,982)
Total governmental activities
4,921,410
5,719,289
6,962,552
4,885,179
6,965,046
7,345,214
7,394,782
7,674,427
6,742,424
7,933,194
Business -type activities:
Unrestricted investment earnings
44,410
78,638
74,764
18,985
6,833
(336)
52,659
122,833
51,593
111,512
Other
499
12,490
18,303
17,089
10,353
3,454
3,976
17,569
66,478
61,444
Transfers
(348,250) (485,000) (580,356)
1,514,827 (319,871) (478,000) (595,200) (610,000)
809,238
17,982
Total business -type activities
(303,341)
(393,872)
(487,289)
1,550,901
(302,685)
(474,882)
(538,565)
(469,598)
927,309
190,938
Total primary government
$4,618,069
$5,325,417
$6,475,263
$6,436,080
$6,662,361
$6,870,332
$6,856,217
$7,204,829
$7,669,733
$8,124,132
Change in net position:
Governmental activities
$2,195,207
($1,372,163)
($2,440,149)
$314,337
($121,541)
$1,335,737
$1,342,842
$1,734,198
$179,582
$1,177,098
Business -type activities
41,268
(89,044)
90,279
1,901,926
(40,192)
(216,439)
(453,337)
(170,728)
1,233,288
35,640
Total primary government
$2,236,475
($1,461,207)
($2,349,870)
$2,216,263
($161,733)
$1,119,298
$889,505
$1,563,470
$1,412,870
$1,212,738
Comparable GASB Statement 34 information is available for years beginning in 2005; the City has chosen to provide
information for that year forward. Ultimately, this table will contain information for ten years.
(n In 2011 the Water Filtration and Purification fund was reclassified to the Water and Sewer Proprietary Fund.
(z)In 2013,.services to other cities were reclassified to public safety expense.
Note: GASB 65 was implemented in 2013. Governmental activity expenses were restated for 2012 to reflect the expensing of bond issuance costs
in the year of issuance. Expenses for years prior to 2012 were not restated.
131
- This page intentionally left blank -
132
CITY OF ST. ANTHONY, MINNESOTA
FUND BALANCES - GOVERNMENTAL FUNDS Table 3
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Fiscal Year
133
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
General Fund:
Reserved
$39,805
$44,852
$46,543
$51,205
$53,849
$57,430
$ -
$ -
$ -
$ -
Unreserved
1,147,914
1,237,373
1,391,816
1,389,299
1,471,584
1,567,270
-
-
-
-
Nonspendable
-
-
-
-
-
-
55,271
68,481
74,049
91,136
Unassigned
1,647,566
1,906,856
2,074,490
2,384,345
Total general fund
$1,187,719
$1,282,225
$1,438,359
$1,440,504
$1,525,433
$1,624,700
$1,702,837
$1,975,337
$2,148,539
$2,475,481
All other governmental funds:
Reserved
$5,537,424
$5,564,131
$4,116,654
$3,595,470
$6,264,349
$4,625,111
$
$
$
$
Unreserved, reported in:
Special revenue funds
5,399,955
5,335,977
5,650,265
5,576,157
5,329,291
5,212,683
Capital projects funds
894,116
1,500,372
695,197
967,355
314,789
243,408
Nonspendable
-
-
-
-
-
-
132
129
49
1,631
Restricted
6,868,120
8,594,337
2,002,737
7,627,714
Committed
210,953
222,184
33,015
78,180
Assigned
763,667
1,344,529
1,253,470
1,318,583
Unassigned
(1,240,578) (1,473,482) (175,561) (2,407,745)
Total all other
governmental finds
$11,831,495
$12,400,480
$10,462,116
$10,138,982
$11,908,429
$10,081,202
$6,602,294
$8,687,697
$3,113,710
$6,618,363
Comparable GASB Statement 34 information is available
for years beginning in 2005; the City has chosen to provide
information for that year forward. Ultimately,
this table will contain
information for ten years.
Note:
The City implemented GASB Statement
No. 54 for the fiscal year ended December 31, 2011, resulting in significant reclassification
of the components of fund balances.
133
CITY OF ST. ANTHONY, MINNESOTA
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Revenues:
General property taxes
Tax increment collections
Licenses, fees and permits
Intergovernmental
Special assessments
Charges for services
Cable franchise fees
Fines and forfeits
Investment income
Contributions and donations
Miscellaneous
Total revenues
Expenditures:
Current:
General government
Public safety
Public works
Parks and recreation
Services to other cities
Nondeparlmental
Housing and redevelopment
Capital outlay:
General government
Public safety
Public works
Parks and recreation
Debt service:
Principal retirement
Interest
Paying agent fees
Professional service
Issuance costs
Construction/acquisition costs
Developer incentives
District decertified - repayment
of tax increments
Total expenditures
Revenues over (under) expenditures
Table 4
Page 1 of 2
Fiscal Year
2005 2006 2007 2008 2009 2010 2011 2012 2013 «� 2014
$3,430,286 $3,649,764 $3,957,749 $4,097,493 $4,407,221 $4,787,076 $4,877,268 $5,416,328 $5,657,416 $6,053,119
410,968 851,309 1,469,532 1,682,549 1,903,840 1,911,678 1,708,873 1,364,881 1,398,000 1,117,824
548,972 244,170 213,842 247,878 358,381 224,096 195,563 290,985 342,390 351,102
1,201,555 954,911 706,080 2,039,592 1,430,366 1,239,053 861,744 1,530,983 792,477 1,464,479
1,548,836 589,812 441,327 385,197 506,262 398,895 517,678 427,467 587,191 491,988
1,057,781 1,113,298 1,403,419 1,451,925 1,519,427 1,528,210 1,573,975 1,736,274 1,932,268 1,787,611
69,577 70,737 85,162 92,606 92,309 92,786 96,608 101,403 104,089 109,009
101,273 135,960 164,788 139,421 122,870 128,165 117,835 130,560 129,363 126,584
354,749 507,615 689,428 400,038 184,053 224,598 6,792 55,201 24,197 189,216
- 6,300 37,100 3,950 3,450 2,834 610 2,778 16,134 45,640
540,229 511,851 404,611 186,449 53,354 708,181 148,500 194,052 375,719 104,113
9,264,226 8,635,727 9,573,038 10,727,098 10,581,533 11,245,572 10,105,446 11,250,912 11,359,244 11,840,685
776,110 952,291 945,295 1,076,699 1,017,405 1,170,630 883,478 1,059,361 836,190 926,501
2,119,568 2,255,783 2,165,891 2,446,434 2,654,708 2,615,752 2,700,328 2,671,890 4,174,754 4,357,563
772,565 759,254 809,751 679,269 761,530 726,064 684,761 818,851 1,042,876 1,001,378
1,467,289 783,791 428,341 394,673 401,787 388,808 366,153 344,702 420,826 463,057
606,952 649,625 911,419 940,807 1,026,842 1,016,479 1,039,009 1,039,504 - -
5,228 1,501 48,735 23,387 6,798 6,940 22,283 160;513 56,117 59,265
424,273 439,422 173,098 212,583 191,608 183,513 227,921 240,097 150,070 143,863
572 6,389 125 - - - 12,661 46,588 8,157 38,826
139,648 229,174 12,993 - - 67,850 152,405 130,000 5,792 283,189
31,040 21,056 316,264 318,668 271,459 212,029 112,158 170,056 270,443 53,143
- 19,712 - - - - - - - 49,464
1,495,000 4,765,000 2,195,000 2,305,000 1,970,000 4,255,000 3,120,000 4,255,000 4,245,000 7,785,000
997,352 1,022,069 1,313,578 1,450,248 1,369,280 1,392,608 1,271,549 1,299,266 1,308,344 1,139,216
14,386 9,373 11,501 10,601 9,519 8,763 11,582 18,811 16,387 7,853
16,097 9,140 1,901 5,080 5,077 3,117 30,109 3,480 6,682 17,104
- - 208,545 - 49,420 - 67,278 132,217 66,035 185,800
2,901,864 2,108,395 5,366,376 3,419,607 4,789,180 2,420,767 1,953,923 2,253,448 1,618,986 2,959,264
- 2,769,938 3,592,385 323,485 443,092 470,632 444,013 409,007 415,233 431,875
- 36,580 - - - - - - - -
11,767,944 16,838,493 18,501,198 13,606,541 14,967,705 14,938,952 13,099,611 15,052,791 14,641,892 19,902,361
(2,503,718) (8,202,766) (8,928,160) (2,879,443) (4,386,172) (3,693,380) (2,994,165) (3,801,879) (3,282,648) (8,061,676)
134
CITY OF ST. ANTHONY, MINNESOTA
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS Table 4
Last Ten Fiscal Years Page 2 of 2
(Modified Accrual Basis of Accounting)
Fiscal Year
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Other financing sources (uses):
Bonds issued
$1,695,000
$8,165,000
$6,690,000
$1,910,000
$3,965,000
$1,375,000
$1,940,000
$2,195,000
$1,775,000
$2,070,000
Refunding bonds issued
2,855,000
3,225,000
7,300,000
4,970,000
Redemption of refunded bonds
(1,210,000)
(1,030,000)
-
-
Payment to refunded bond escrow agent
-
-
(4,015,373)
-
Premium on debt issued
30,669
-
8,749
140,492
402
105,598
190;221
42,080
158,044
Discount on debt issued
-
(3,069)
(213)
-
-
-
-
-
-
-
Sale of capital assets
12,852
18,855
8,744
14,705
12,056
15,347
9,982
10,962
25,244
13,390
Transfers in
467,022
1,775,848
4,275,129
1,832,828
1,307,574
3,634,584
1,603,430
1,626,372
2,021,913
1,908,166
Transfers out
(118,772)
(1,290,848)
(3,827,825)
(1,207,828)
(829,574)
(3,156,584)
(1,008,230)
(1,016,372)
(1,482,913)
(1,514,667)
Total other financing
sources(uses)
2,056,102
8,696,455
7,145,835
2,558;454
6,240,548
1,868,749
4,845,780
6,290,810
2,381,324
7,604,933
Net change in fund balance
($447,616)
$493,689
($1,782,325)
($320,989)
$1,854,376
($1,824,631)
$1,851,615
$2,488,931
($901,324)
($456,743)
Debt service as a percentage of
noncapital expenditures
28.7%
40.0%
27.4%
38.1%
33.7%
46.1%
40.4%
44.6%
43.6%
54.2%
Debt service as percentage of total expenditures
21.2%
34.4%
19.0%
27.6%
22.3%
37.8%
33.5%
36.9%
37.9%
44.8%
Comparable GASB Statement 34 information is available for years beginning in 2005; the City has chosen to provide
information for that year forward. Ultimately, this table will contain information for ten years.
"'In 2011 the Water Filtration and Purification fund was reclassified to the Water and Sewer Proprietary Fund.
(2) In 2013, services to other cities were reclassified to public safety expense.
135
CITY OF ST. ANTHONY, MINNESOTA
TAX CAPACITY VALUE AND ESTIMATED MARKET VALUE OF TAXABLE PROPERTY
Last Ten Fiscal Years
Table 5
Source: Official Statements for the City of St. Anthony. (Hennepin and Ramsey Counties Combined)
* Includes tax increment tax capacity and net fiscal disparities impact.
136
Commercial/
Total
Adjustments
Adjusted
Total
Estimated
Tax Capacity
Payable
Residential
Industrial
All
Tax
to Tax
Tax Capacity
Direct Tax
Market
as a Percent
Year
Property
Property
Other
Capacity
Capacily *
Value
Rate
Value
of EMV
2005
5,758,863
1,509,783
70,799
7,339,445
(30,542)
7,308,903
50.31%
636,972,900
1.15%
2006
6,449,616
2,001,921
65,285
8,516,822
(391,888)
8,124,934
46.58%
730,541,000
1.17%
2007
7,466,195
2,317,446
75,570
9,859,211
(1,315,126)
8,544,085
46.42%
838,117,800
1.18%
2008
7,894,132
2,575,759
64,903
10,534,794
(1,374,734)
9,190,060
45.62%
893,542,800
1.18%
2009
7,537,190
2,684,972
67,599
10,289,761
(1,260,607)
9,029,154
51.61%
869,823,300
1.18%
2010
7,194,714
2,546,141
64,834
9,805,689
(1,106,369)
8,699,320
55.66%
828,631,600
1.18%
2011
6,734,706
2,398,897
71,265
9,204,868
(909,287)
8,295,581
59.89%
778,761,500
1.18%
2012
6,225,942
2,273,812
73,491
8,573,245
(846,346)
7,726,899
68.85%
761,934,600
1.13%
2013
5,860,660
2,139,288
83,509
8,083,457
(802,123)
7,281,334
75.46%
721,227,600
1.12%
2014
5,863,304
2,146,080
78,927
8,088,311
(765,126)
7,323,185
77.16%
720,018,700
1.12%
Source: Official Statements for the City of St. Anthony. (Hennepin and Ramsey Counties Combined)
* Includes tax increment tax capacity and net fiscal disparities impact.
136
CITY OF ST. ANTHONY, MINNESOTA
DIRECT AND OVERLAPPING PROPERTY TAX RATES
Last Ten Fiscal Years
Table 6
Source: Official Statements for the City of St. Anthony (Hennepin County)
*Overlapping rates are those of local and county governments that apply to property owners within the City. Not all
overlapping rates apply to all City property owners; for example, although the county property tax rates apply to all
City property owners, other District rates apply only to the approximately one-third of City property owners whose
property is located within that District's geographic boundaries.
137
City
Overlapping Rates*
Fiscal
Direct
School
Other
Hennepin
Year
Rate
District
Districts
County
Total
2005
50.31%
19.33%
13.93%
44.17%
127.74%
2006
46.58%
21.78%
14.65%
41.02%
124.03%
2007
46.42%
18.58%
13.38%
39.11%
117.49%
2008
46.90%
19.73%
13.81%
38.57%
119.01%
2009
51.61%
32.04%
13.35%
40.41%
137.41%
2010
55.66%
32.72%
17.37%
42.06%
147.81%
2011
59.89%
36.48%
11.14%
45.84%
153.34%
2012
68.85%
38.32%
12.04%
48.23%
167.44%
2013
75.46%
38.87%
12.70%
49.46%
176.49%
2014
77.16%
33.09%
13.22%
49.96%
173.43%
Source: Official Statements for the City of St. Anthony (Hennepin County)
*Overlapping rates are those of local and county governments that apply to property owners within the City. Not all
overlapping rates apply to all City property owners; for example, although the county property tax rates apply to all
City property owners, other District rates apply only to the approximately one-third of City property owners whose
property is located within that District's geographic boundaries.
137
CITY OF ST. ANTHONY, MINNESOTA
PRINCIPAL PROPERTY TAXPAYERS
Current Year and Nine Years Ago
Source: Official Statements for the City of St. Anthony
2014 2005
Rank
1
2
3
4
5
7
6
8
9
10
0
138
Percentage
Tax
of Total City
Capacity
Taxpayer
Value
Inland Silver Lake Village LLC
$718,098
St. Anthony Leased Housing Assoc.
326,560
Autumn Woods Partnership LP
185,275
Equinox Properties LLC
183,169
St. Anthony Shopping Center
128,730
Chandler Place LP
102,608
Xcel Energy
98,682
Landau - 3925 Pleasant (Mortenson)
80,238
St. Anthony Nursing Home LP
78,289
Highcrest Lanor LP
52,506
Northern Gopher Enterprises Inc
-
LG Anderson LLC
-
Total
$1,954,155
Total All Property
$8,088,311
Source: Official Statements for the City of St. Anthony
2014 2005
Rank
1
2
3
4
5
7
6
8
9
10
0
138
Percentage
of Total City
Tax
Capacity
Capacity
Value
Value
8.88%
$278,706
4.04%
-
2.29%
202,675
2.26%
199,500
1.59%
55,350
1.27%
89,250
1.22%
71,582
0.99%
67,500
0.97%
67,423
0.65%
-
-
107,025
-
55,410
24.16%
$1,194,421
$7,339,445
Rank
1
2
3
10
5
6
7
8
0
4
9
Table 7
Percentage
of Total City
Capacity
Value
3.80%
2.76%
2.72%
0.75%
1.22%
0.98%
0.92%
0.92%
1.46%
0.75%
16.28%
CITY OF ST. ANTHONY, MINNESOTA
PROPERTY TAX LEVIES AND COLLECTIONS Table 8
Last Ten Fiscal Years
Fiscal
Taxes
Collected Within The
Collections
Year
Levied
Fiscal Year of the Levy
in Total Collections to Date
Ended
For The
Percentage
Subsequent Percentage
December 31,
Fiscal Year
Amount of Levy (')
Years Amount of Levy
2005
3,689,759
3,655,463
99.07%
12,095
3,667,558
99.40%
2006
3,812,957
3,776,369
99.04%
31,990
3,808,359
99.88%
2007
4,123,032
4,079,891
98.95%
36,905
4,116,796
99.85%
2008
4,169,941 (2)
4,088,462
98.05%
30,820
4,119,282
98.79%
2009
4,465,113 (2)
4,352,222
97.47%
60,313
4,412,535
98.82%
2010
4,642,067 (2)
4,566,162
98.36%
57,447
4,623,609
99.60%
2011
4,761,665 (2'
4,710,258
98.92%
37,239
4,747,497
99.70%
2012
5,223,089
5,157,341
98.74%
55,789
5,213,130
99.81%
2013
5,426,789
5,345,759
98.51%
65,058
5,410,817
99.71%
2014
5,633,007
5,564,141
98.78%
Not Available
Beginning
with payable year 2006 through 2001, Market
Value Homestead
Credit is included
in the operating levy.
(2) Net of Market Value Homestead Credit which was subject to State unallotments or other reductions.
Sources: 2005 - 2014 St. Anthony Finance Department
139
CITY OF ST. ANTHONY, MINNESOTA
RATIOS OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
Source: St. Anthony Finance Department
*See Table 13 for Population data.
140
Percentage
of Adjusted
Tax Canacitv
341.36%
348.93%
384.42%
359.39%
414.86%
400.33%
451.61%
460.60%
454.86%
442.09%
Governmental Activities
G.O.
G.O.
Tax
Lease
G.O.
Other
Total
Fiscal
Improvement
Reconstruction
Increment
Revenue
Revenue
G.O.
Fannie
Governmental
Year
Bonds
Bonds
Bonds
Bonds
Bonds
Bonds
Mae Loan
Activities
2005
$ 11,210,000
$
$ 2,355,000
$ 5,340,000
$ 1,260,000
$ 1,435,000
$ 3,350,000
$ 24,950,000
2006
11,300,000
6,145,000
5,150,000
1,160,000
1,245,000
3,350,000
28,350,000
2007
12,675,000
10,605,000
4,955,000
1,055,000
1,055,000
2,500,000
32,845,000
2008
11;105,000
1,910,000
10,375,000
4,755,000
945,000
860,000
2,500,000
32,450,000
2009
14,310,000
1,910,000
10,055,000
4,550,000
825,000
2,390,000
2,050,000
36,090,000
2010
13,450,000
1,810,000
9,710,000
4,335,000
695,000
1,960,000
1,250,000
33,210,000
2011
16,645,000
1,710,000
9,345,000
4,110,000
565,000
1,850,000
-
34,225,000
2012
18,935,000
1,605,000
8,960,000
3,995,000
430,000
1,665,000
35,590,000
2013
17,605,000
1,500,000
8,545,000
3,700,000
295,000
1,475,000
33,120,000
2014
16,910,000
2,695,000
7,920,000
3,415,000
150,000
1,285,000
32,375,000
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
Source: St. Anthony Finance Department
*See Table 13 for Population data.
140
Percentage
of Adjusted
Tax Canacitv
341.36%
348.93%
384.42%
359.39%
414.86%
400.33%
451.61%
460.60%
454.86%
442.09%
141
Table 9
Total
Percentage
Sewer/
of Personal
Per
Business -Type Activities
Income
Water
27,570,000
Sewer/
Liquor
Total
Bonds
3,391
Water
Revenue
Business -Type
Per
Bonds
Bonds
Activities
Customer
35,035,000
$ 2,125,000
$ 495,000
$ 2,620,000
11.03%
924
2,050,000
425,000
2,475,000
34,560,000
891
1,975,000
350,000
2,325,000
859
1,895,000
270,000
2,165,000
824
1,815,000
185,000
2,000,000
789
1,730,000
95,000
1,825,000
752
1,640,000
-
1,640,000
713
1,545,000
1,545,000
672
1,440,000
1,440,000
626
1,330,000
1,330,000
578
141
Table 9
Total
Percentage
Primary
of Personal
Per
Government
Income
Capita*
27,570,000
$
2,979
30,825,000
Not Available
3,391
35,170,000
3,864
34,615,000
3,846
38,090,000
12.20%
4,239
35,035,000
11.75%
4,037
35,865,000
11.03%
4,107
37,135,000
11.07%
4,228
34,560,000
10.14%
3,889
33,705,000
Nat Available
- This page intentionally left blank -
142
CITY OF ST. ANTHONY, MINNESOTA
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
As of December 31, 2014
Governmental Unit
Debt repaid with property taxes: (1)
School Districts:
ISD No. 282
NE Metro Intermediate School District No. 916
Counties:
Hennepin
Ramsey
Other:
Metropolitan Council
Three Rivers Park District
Subtotal - overlapping debt
City direct debt (2)
Total direct and overlapping debt
Sources: (l) Official Statements for City of St. Anthony
(2) St. Anthony Finance Department
Debt
Outstanding
$21,160,000
735,600,000
177,575,000
196,680,000
55,755,000
Estimated
Percentage
Applicable*
53.6503%
0.3769%
0.2789%
Table 10
Estimated
Share of
Overlapping
Debt
$11,352,414
2,772,327
495,222
0.2442% 480,258
0.5188% 289,282
15,389,503
32,375,000
$47,764,503
Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City. This
schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents
and businesses of the City. This process recognizes that, when considering the City's ability to issue and repay long-term
debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not
imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government.
*For debt repaid with property taxes, the percentage of overlapping debt applicable is estimated using taxable assessed
property values. Applicable percentages were estimated by determining the portion of another governmental unit's taxable
assessed value that is within the City's boundaries and dividing it by each unit's total taxable assessed value.
143
CITY OF ST. ANTHONY, MINNESOTA
LEGAL DEBT MARGIN INFORMATION
Last Ten Fiscal Years
Legal Debt Margin Calculation for Fiscal Year 2014
Market value
Debt limit (3% of market value)
Debt applicable to limit:
General obligation bonds
Less: Amount set aside for repayment
of general obligation debt
Total net debt applicable to limit
Legal debt margin
2005*
Debt limit $ 13,406,318
Total net debt applicable to limit 4,776,007
Legal debt margin $ 8,630,311
2006*
$ 14,610,820
4,429,013
$ 10,181,807
2007*
$ 17,870,856
4,099,637
$ 13,771,219
Total net debt applicable to the limit as a
percentage of debt limit 35.63% 30.31% 22.94%
Source: Market Value - Hennepin County and Ramsey County, Minnesota Assessor's Offices
*Debt limit was 2% of market value.
144
Legal Debt Margin Calculation for Fiscal Year 2014
Table 11
$674,222,730
20,226,682
6,110,000
(2,078,937)
4,031,063
$16,195,619
2008 2009 2010 2011 2012 2013 2014
$ 26,094,699 $ 24,778,098 $ 23,262,423 $ 22,184,277 $ 21,518,115 $ 20,237,210 $ 20,226,682
5,741,849 5,410,204 5,059,006 4,708,301 4,902,237 4,450,131 4,031,063
$ 20,352,850 $ 19,367,894 $ 18,203,417 $ 17,475,976 $ 16,615,878 $ 15,787,079 $ 16,195,619
22.00% 21.83% 21.75% 21.22% 22.78% 21.99% 19.93%
145
CITY OF ST. ANTHONY, MINNESOTA
PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Storm Sewer Revenue Bonds
Net
Stormwater
Less
Fiscal
Service
Operating
Year
Charges
Expenses
2005
$163,951
$ -
2006
169,255
-
2007
167,373
-
2008
167,373
-
2009
167,793
-
2010
150,431
-
2011
150,833
-
2012
150,734
-
2013
152,750
-
2014
146,423
-
Storm Sewer Revenue Bonds
Net
Available
Debt Service
Revenue
Principal Interest
Coverage
$167,373
$95,000
$68,448
102%
169,255
100,000
63,670
103%
167,373
105,000
58,595
102%
167,373
110,000
53,220
103%
167,793
120,000
40,103
105%
150,431
130,000
28,575
95%
150,833
130,000
18,900
101%
150,734
135,000
14,925
101%
152,750
135,000
10,875
105%
146,423
145,000
6,675
97%
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. Operating
expenses do not include interest, depreciation, or amortization expenses.
Information is not available for years prior to 2005.
146
Utility
Less
Service
Operating
Charges
Expenses
$1,527,505
$1,210,943
1,556,004
1,387,657
1,691,871
1,480,228
1,615,721
1,367,564
1,583,317
1,464,759
1,575,514
1,452,765
1,577,823
1,492,891
1,836,635
1,621,559
1,883,034
1,577,518
1,803,431
1,577,518
Water and Sewer Revenue Bonds
Net
Available
Revenue Principal
$316,562
168,347
211,643
248,157
118,558
122,749
84,932
215,076
305,516
225,913
147
Debt Service
$75,000
75,000
75,000
80,000
80,000
85,000
90,000
95,000
1,545,000
110,000
Interest
$82,195
80,694
78,750
77,236
75,056
71,093
68,064
66,123
48,458
26,783
Table 12
Page 1 of 2
Coverage
201%
108%
138%
158%
76%
79%
54%
133%
19%
165%
CITY OF ST. ANTHONY, MINNESOTA
PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. Operating
expenses do not include interest, depreciation, or amortization expenses.
Information is not available for years prior to 2005.
148
Liquor Revenue Bonds
Less
Net
Fiscal
Net Sales
Operating
Available
Debt Service
Year
(Gross Profit)
Expenses
Revenue
Principal Interest
Coverage
2005
$1,169,359
$766,082
$403,277
$65,000
$32,150
415%
2006
1,362,796
839,959
522,837
70,000
29,619
525%
2007
1,475,679
985,377
490,302
75,000
24,438
493%
2008
1,475,173
964,663
510,510
80,000
20,125
510%
2009
1,543,854
982,863
560,991
85,000
15,525
558%
2010
1,594,829
1,032,636
562,193
90,000
10,638
559%
2011
1,654,205
1,077,832
576,373
95,000
5,463
574%
2012
1,736,060
1,127,368
608,692
-
-
N/A
2013
1,626,398
1,198,064
428,334
-
-
N/A
2014
1,373,473
1,174,675
198,798
-
-
N/A
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. Operating
expenses do not include interest, depreciation, or amortization expenses.
Information is not available for years prior to 2005.
148
Table 12
Page 2 of 2
149
Improvement Bonds
Tax Increment Bonds
Special
Tax
Assessment
Debt Service
Increment
Debt Service
Collections
Principal
Interest
Coverage
Collections
Principal
Interest
Coverage
$1,548,836
$485,000
$323,582
192%
$410,968
$105,000
$145,381
164%
589,812
3,100,000
390,118
17%
851,309
1,185,000
95,263
66%
441,327
675,000
480,360
38%
1,469,532
180,000
384,296
260%
385,197
1,570,000
495,649
19%
1,682,549
230,000
538,369
219%
506,262
760,000
430,947
43%
1,903,840
320,000
526,949
225%
398,895
2,235,000
499,506
15%
1,911,678
345,000
512,504
223%
517,678
2,405,000
532,400
18%
1,708,873
365,000
496,588
198%
427,467
3,735,000
555,220
10%
1,364,881
385,000
479,132
158%
587,191
3,695,000
420,070
14%
1,398,000
415,000
459,830
160%
491,988
3,350,000
420,070
13%
1,117,824
4,290,000
445,969
24%
149
CITY OF ST. ANTHONY, MINNESOTA
DEMOGRAPHIC AND ECONOMIC STATISTICS
Last Ten Fiscal Years
Fiscal
Year
Population (1)
2005
8,376
2006
8,361
2007
8,500
2008
8,437
Personal
Income (2)
Not Available
Table 13
Per
Capita
Personal Unemployment
Income(l) Rate (3)
2009
8,514
295,699,734
34,731
2010
8,226
282,682,377
34,365
2011
8,333
310,183,426
37,224
2012
8,417
321,483,107
38,195
2013
8,516
326,729,114
38,367
2014
Not Available
Sources:
(1) Metropolitan Council Estimates for St. Anthony -
for both Ramsey County & Hennepin County.
(Z) Personal Income calculated from Per Capita Personal Income and Population.
(3) Minnesota Department of Employment and Economic Development -
Annual Average Unemployment Rate for Hennepin County
150
3.70%
3.60%
4.10%
4.90%
7.30%
7.00%
6.10%
5.20%
4.60%
3.70%
CITY OF ST. ANTHONY, MINNESOTA
PRINCIPAL EMPLOYERS
Current Year and Nine Years Ago
2014
2005
Table 14
Employer
Employees
Rank
Employees
Rank
St. Anthony Health Center and Chandler Place
303
1
280
1
Cub Foods
263
2
190
3
ISD No. 282 (St. Anthony - New Brighton)
226
3
264
2
City of St. Anthony
132
4
98
4
B&F Fastener Supply
100
5
-
-
St. Charles Borromeo Parish
93
6
65
5
North Memoral - Silver Lake Clinic
81
7
-
-
Happy's Potato Chip Company
50
8
50
7
Berger -Allied Van Lines
49
9
-
-
Marshall Manufacturing
45
10
-
-
Culver's
-
-
51
6
Baker's Square
-
-
48
8
Francis A. Gross Golf Course
-
-
45
9
Wendy's
-
-
39
10
Total
1,342
1,130
151
CITY OF ST. ANTHONY, MINNESOTA
FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION/PROGRAM Table 15
Last Ten Fiscal Years
Source: City of St. Anthony
Full -Time Equivalent Employees as of December 31, 2014
Function/Program
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
General government:
Administration
3.00
3.00
3.00
3.00
3.00
3.00
3.00
2.00
2.00
2.00
Finance
4.50
4.50
4.50
4.75
4.75
4.75
4.50
4.25
4.25
4.25
Police:
Officers
20.00
20.00
22.00
23.00
23.00
23.00
23.00
23.00
23.00
23.00
Support staff
2.00
2.00
2.00
2.50
2.50
2.50
2.50
2.50
2.50
2.50
Community service officer
0.50
0.50
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
Volunteers (non -paid)
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
12.00
Fire:
Firefighters
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
7.00
Volunteers (paid on call)
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
Public works:
Administration
2.00
2.00
2.00
2.00
2.00
2.00
2.00
2.00
2.00
2.00
Street
6.00
6.00
6.00
6.00
6.00
6.00
5.00
6.00
6.00
6.00
Park
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
Water/Sewer
2.00
2.00
2.00
2.00
2.00
2.00
2.00
2.00
2.00
2.00
Mechanic
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
Seasonal*
2.25
2.25
2.25
2.00
2.00
2.00
2.00
2.00
2.00
2.00
Liquor operations:
Off -sale:
Full-time
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
5.00
Market Place - part-time
5.25
5.25
5.25
5.25
5.25
6.00
6.00
6.00
6.00
6.00
N Silver Lake Village - part-time
5.25
5.25
5.25
5.25
5.25
6.00
6.00
6.00
6.00
6.00
Total
83.75
83.75
86.25
87.75
87.75
89.25
88.00
87.75
87.75
87.75
Source: City of St. Anthony
CITY OF ST. ANTHONY, MINNESOTA
OPERATING INDICATORS BY FUNCTION/PROGRAM Table 16
Last Ten Fiscal Years
* Police statistics are for St Anthony only
** Began monitoring inspection counts in 2006
Source: City of St. Anthony
Fiscal Year
Function/Program
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
Police: *
Moving violation
1,560
2,246
2,357
2,137
2,008
2,305
1,848
1,851
2,068
2,017
Non-moving violations
501
632
627
494
351
397
210
200
396
321
DWI
56
114
26
61
59
49
44
39
34
39
Traffic arrests
515
750
831
815
770
600
673
578
679
633
Gross and misdemeanor arrests
181
162
158
203
193
129
145
164
244
130
Felony arrests
54
67
45
44
32
29
46
37
67
53
Warrant arrests
23
22
29
32
32
28
28
20
23
25
Fire:
Emergency responses
1,043
980
976
1,055
996
1,203
1,221
1,267
1,409
1,363
Medical responses
646
704
696
768
718
895
894
933
1,016
1,012
Fires
47
28
40
39
32
34
35
40
26
26
Inspections**
N/A
197
78
81
92
97
121
116
88
240
Building inspection:
Permits issued
346
292
255
262
283
315
336
272
303
288
Other public works:
Street reconstruction/resurfacing (miles)
1
1
2
2
1
1
2
1
1
1
Potholes filled (tons)
7
5
35
20
80
22
100
84
39
34
Water:
,,A New connections
-
14
16
10
-
7
1
39
122
28
Water mains breaks
10
3
32
8
9
11
10
10
7
8
Average daily consumption (thousands of gallons)
903
922
990
902
885
806
821
884
822
763
Peak daily consumption (thousands of gallons)
2,192
2,454
2,500
2,157
2,295
1,396
1,586
1,879
1,724
1,635
* Police statistics are for St Anthony only
** Began monitoring inspection counts in 2006
Source: City of St. Anthony
CITY OF ST. ANTHONY, MINNESOTA
CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
Function/Program 2005
Police:
Stations
Fleet units
Fire stations
Other public works:
City Streets (miles)
Parks and recreation:
Acreage
Playgrounds
Baseball/softball diamonds
Soccer/football fields
Community centers
Liquor operations:
On/off sale locations
Water:
Water mains (miles)
Fire hydrants
Storage capacity (thousands of gallons)
� Wastewater:
Sanitary sewers (miles)
Storrs sewers (miles)
Source: City of St. Anthony
Table 17
Fiscal Year
2006 2007 2008 2009 2010 2011 2012 2013 2014
1
2,250
1
1
1
1
1
1
1
1
1
12
12
12
12
12
13
13
14
14
14
1
1
1
1
1
1
1
1
1
1
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
40
40
40
40
40
40
40
40
40
40
4
4
4
4
4
4
4
4
4
4
7
7
7
7
7
7
7
7
7
7
2
2
2
2
2
2
2
2
2
2
1
1
1
1
1
1
1
1
1
1
2
2
2
2
2
2
2
2
2
2
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
283
283
287
287
287
287
287
287
287
287
2,250
2,250
2,250
2,250
2,250
2,250
2,250
2,250
2,250
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
24.7
15.0
15.0
15.0
15.0
15.0
15.0
15.0
15.0
15.0
15.0
4810 White Bear Parkway, St. Paul, MN, 55110 651.426.7000 www.redpathcpas.com
June 9, 2015
Ms. Shelly Rueckert
City of St. Anthony
3301 Silver Lake Road NE
St. Anthony, MN 55418-1699
Dear Shelly:
Transmitted herewith are copies of the following reports for the City of St. Anthony, Minnesota
for the year ended December 31, 2014:
Comprehensive Annual Financial Report (12 Copies)
Report on Compliance with Minnesota Legal Compliance Audit Guide for Political
Subdivisions (12 Copies)
Report on Internal Control over Financial Reporting and on Compliance and Other
Matters (12 Copies)
Communication with Those Charged with Governance (12 Copies)
Electronic versions of each report have also been sent to you via email.
State Reporting Requirements
We understand that you will submit one copy of each of the first three reports directly to the
Office of the State Auditor.
Thank you for the audit engagement. Please express our appreciation to the entire City staff for
the aid and cooperation given us during our fieldwork for this engagement.
If you have any questions on the above reports, please advise.
Sincerely,
REDPATH AND COMPANY, LTD.
Peggy A. Moeller, CPA
PAM/aer
A N d C O M P A N V
COMMUNICATION WITH THOSE CHARGED WITH GOVERNANCE
To the Honorable Mayor and
Members of the City Council
City of St. Anthony, Minnesota
We have audited the financial statements of the governmental activities, the business -type
activities, each major fund, and the aggregate remaining fund information of the City of St.
Anthony, Minnesota (the City) for the year ended December 31, 2014. Professional standards
require that we provide you with information about our responsibilities under generally accepted
auditing standards and Government Auditing Standards, as well as certain information related to
the planned scope and timing of our audit. We have communicated such information in our
letter to you dated December 22, 2014. Professional standards also require that we communicate
to you the following information related to our audit.
Significant Audit Results
Qualitative Aspects of Accounting Practices
Management is responsible for the selection and use of appropriate accounting policies. The
significant accounting policies used by the City are described in Note 1 to the financial
statements. No new accounting policies were adopted and the application of existing policies
was not changed during 2014. We noted no transactions entered into by the City during the year
for which there is a lack of authoritative guidance or consensus. All significant transactions have
been recognized in the financial statements in the proper period.
Accounting estimates are an integral part of the financial statements prepared by
management and are based on management's knowledge and experience about past and current
events and assumptions about future events. Certain accounting estimates are particularly
sensitive because of their significance to the financial statements and because of the possibility
that future events affecting them may differ significantly from those expected. The City does not
have any particularly sensitive estimates in its financial statements.
The financial statement disclosures are neutral, consistent, and clear.
Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and
completing our audit.
4810 White Bear Parkway, St. Paul, MN, 55110 651.426.7000 www.redpathcpas.com
City of St. Anthony, Minnesota
Communication with Those Charged with Governance
Page 2
Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified
during the audit, other than those that are clearly trivial, and communicate them to the
appropriate level of management. There were no uncorrected misstatements that have an effect
on our opinion on the financial statements. There were no corrected misstatements identified
during the audit.
Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting,
reporting, or auditing matter, whether or not resolved to our satisfaction that could be significant
to the financial statements or the auditor's report. We are pleased to report that no such
disagreements arose during the course of our audit.
Management Representations
We have requested certain representations from management that are included in the
management representation letter dated June 4, 2015.
Management Consultations with Other Independent Accountants
In some cases, management may decide to consult with other accountants about auditing and
accounting matters, similar to obtaining a "second opinion" on certain situations. If a
consultation involves application of an accounting principle to the City's financial statements or
a determination of the type of auditor's opinion that may be expressed on those statements, our
professional standards require the consulting accountant to check with us to determine that the
consultant has all the relevant facts. To our knowledge, there were no such consultations with
other accountants.
Other Audit Findings or Issues
We generally discuss a variety of matters, including the application of accounting principles
and auditing standards, with management each year prior to retention as the City's auditors.
However, these discussions occurred in the normal course of our professional relationship and
our responses were not a condition to our retention.
Other Matters
We applied certain limited procedures to the management discussion and analysis, budgetary
comparison information, OPEB Schedule of Funding Progress, and the Notes to Required
Supplementary Information, which are required supplementary information (RSI) that
supplements the basic financial statements. Our procedures consisted of inquiries of management
regarding the methods of preparing the information and comparing the information for
consistency with management's responses to our inquiries, the basic financial statements, and
other knowledge we obtained during our audit of the basic financial statements. We did not audit
the RSI and do not express an opinion or provide any assurance on the RSI.
City of St. Anthony, Minnesota
Communication with Those Charged with Governance
Page 3
We were engaged to report on the combining and individual nonmajor fund financial
statements and schedules and the supplementary financial information, which accompany the
financial statements but are not RSI. With respect to this supplementary information, we made
certain inquiries of management and evaluated the form, content, and methods of preparing the
information to determine that the information complies with accounting principles generally
accepted in the United States of America, the method of preparing it has not changed from the
prior period, and the information is appropriate and complete in relation to our audit of the
financial statements. We compared and reconciled the supplementary information to the
underlying accounting records used to prepare the financial statements or to the financial
statements themselves.
We are not engaged to report on the introductory and statistical sections, which accompany
the financial statements but are not RSI. We did not audit or perform other procedures on this
other information and we do not express an opinion or provide any assurance on it.
Restriction of Use
This information is intended solely for the use of the City of St. Anthony, Minnesota's
management and City Council, and is not intended to be, and should not be, used by anyone
other than these specified parties.
4aA 4nC) 607paZW , -��
REDPATH AND COMPANY, LTD.
St. Paul, Minnesota
June 4, 2015
A N 0 O M P A N V
INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL
REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN
AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GO VERNMENT A UDITING STANDARDS
To the Honorable Mayor and
Members of the City Council and Management
City of St. Anthony, Minnesota
We have audited, in accordance with the auditing standards generally accepted in the United
States of America and the standards applicable to financial audits contained in Government
Auditing Standards issued by the Comptroller General of the United States, the financial
statements of the governmental activities, the business -type activities, each major fund, and
the aggregate remaining fund information of the City of St. Anthony, Minnesota, as of and
for the year ended December 31, 2014, and the related notes to the financial statements,
which collectively comprise the City of St. Anthony, Minnesota's basic financial statements
and have issued our report thereon dated June 4, 2015.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City of
St. Anthony, Minnesota's internal control over financial reporting (internal control) to
determine the audit procedures that are appropriate in the circumstances for the purpose of
expressing our opinions on the financial statements, but not for the purpose of expressing an
opinion on the effectiveness of the City of St. Anthony, Minnesota's internal control.
Accordingly, we do not express an opinion on the effectiveness of the City of St. Anthony,
Minnesota's internal control.
A deficiency in internal control exists when the design or operation of a control does not allow
management or employees, in the normal course of performing their assigned functions, to
prevent, or detect and correct, misstatements on a timely basis. A material weakness is a
deficiency, or a combination of deficiencies, in internal control such that there is a reasonable
possibility that a material misstatement of the entity's financial statements will not be
prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency,
or a combination of deficiencies, in internal control that is less severe than a material
weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first
paragraph of this section and was not designed to identify all deficiencies in internal control
that might be material weaknesses or, significant deficiencies and therefore, material
weaknesses or significant deficiencies may exist that were not identified. Given these
4810 White Bear Parkway, St. Paul, MN, 55110 651.426.7000 www.redpathcpas.com
Report on Internal Control over Financial Reporting
and on Compliance and Other Matters
Page 2
limitations, during our audit we did not identify any deficiencies in internal control that we
consider to be material weaknesses. We did identify a deficiency in internal control, described
in the accompanying Schedule of Findings and Responses as finding 2014-001 that we
consider to be a signficant deficiency.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City of St. Anthony,
Minnesota's financial statements are free from material misstatement, we performed tests of
its compliance with certain provisions of laws, regulations, contracts and grant agreements,
noncompliance with which could have a direct and material effect on the determination of
financial statement amounts. However, providing an opinion on compliance with those
provisions was not an objective of our audit, and accordingly, we do not express such an
opinion. The results of our tests disclosed no instances of noncompliance or other matters
that are required to be reported under Government Auditing Standards.
City of St. Anthony, Minnesota's Response to Finding
The City of St. Anthony, Minnesota's response to the finding identified in our audit is
described in the accompanying Schedule of Findings and Responses. The City of St. Anthony,
Minnesota's response was not subjected to the auditing procedures applied in the audit of the
financial statements and, accordingly, we express no opinion on it.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and
compliance and the results of that testing, and not to provide an opinion on the effectiveness
of the entity's internal control or on compliance. This report is an integral part of an audit
performed in accordance with Government Auditing Standards in considering the entity's
internal control and compliance. Accordingly, this communication is not suitable for any
other purpose.
REDPATH AND COMPANY, LTD.
St. Paul, Minnesota
June 4, 2015
A N o C O M P A N V
MINNESOTA LEGAL COMPLIANCE REPORT
To the Honorable Mayor and
Members of the City Council
City of St. Anthony, Minnesota
We have audited, in accordance with auditing standards generally accepted in the United States
of America, and the standards applicable to financial audits contained in Government Auditing
Standards, issued by the Comptroller General of the United States, the financial statements of the
governmental activities, the business -type activities, each major fund, and the aggregate
remaining fund information of the City of St. Anthony, Minnesota, as of and for the year ended
December 31, 2014 and the related notes to the financial statements, and have issued our report
thereon dated June 4, 2015.
The Minnesota Legal Compliance Audit Guide for Political Subdivisions, promulgated by the
State Auditor pursuant to Minnesota Statutes Section 6.65, contains seven categories of
compliance to be tested: contracting and bidding, deposits and investments, conflicts of interest,
public indebtedness, claims and disbursements, miscellaneous provisions, and tax increment
financings. Our audit considered all of the listed categories.
In connection with our audit, nothing came to our attention that caused us to believe that the City
of St. Anthony, Minnesota failed to comply with the provisions of the Minnesota Legal
Compliance Audit Guide for Political Subdivisions. However, our audit was not directed
primarily toward obtaining knowledge of such noncompliance. Accordingly, had we performed
additional procedures, other matters may have come to our attention regarding the City of St.
Anthony, Minnesota's noncompliance with the above referenced provisions.
The purpose of this report is solely to describe the scope of our testing of compliance and the
results of that testing, and not to provide an opinion on compliance. Accordingly, this
communication is not suitable for any other purpose.
REDPATH AND COMPANY, LTD.
St. Paul, Minnesota
June 4, 2015
4810 White Bear Parkway, St. Paul, MN, 55110 651.426.7000 www.redpathcpas.com