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HomeMy WebLinkAbout2009 CAFRCity of Saint Anthony Saint Anthony, Minnesota 2009 Comprehensive Annual L Financial Report L Our mission is to be a progressive and livable community, a walkable village, which is safe and secure Lr COMPREHENSIVE ANNUAL FINANCIAL REPORT OF THE CITY OF ST. ANTHONY, MINNESOTA FOR THE YEAR ENDED 31, 2009 Prepared By: Finance Department Roger Larson, Finance Director N - This page intentionally left blank - r CITY OF ST. ANTHONY, MINNESOTA TABLE OF CONTENTS I. INTRODUCTORY SECTION Page Letter of Transmittal 3 Organization 7 Organization Chart 8 Il. FINANCIAL SECTION Independent Auditor's Report 11 Management's Discussion and Analysis 13 Basic Financial Statements: Government -Wide Financial Statements: Statement of Net Assets Statement 1 27 Statement of Activities Statement 2 28 Fund Financial Statements: Balance Sheet - Governmental Funds Statement 3 30 Statement of Revenues, Expenditures and Changes in Fund Balance - Govemmental Funds Statement 4 32 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds Statement 5 34 Statement of Net Assets - Proprietary Funds Statement 6 35 Statement of Revenues, Expenses and Changes in Fund Net Assets - Proprietary Funds Statement 7 36 Statement of Cash Flows - Proprietary Funds Statement 8 37 Notes to Financial Statements 39 Required Supplementary Information: Budgetary Comparison Schedule - General Fund Statement 9 82 Budgetary Comparison Schedule - Note to RSI 87 Schedule of Funding Progess - Other Post Employment Benefits Plan Statement 10 88 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 11 94 Combining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Governmental Funds Statement 12 95 Subcombining Balance Sheet - Nonmajor Special Revenue Funds Statement 13 98 Subcombining Statement of Revenues, Expenditures and Changes in Exhibit 2 123 Fund Balance - Nonmajor Special Revenue Funds Statement 14 100 Subcombining Balance Sheet - Nonmajor Debt Service Funds Statement 15 104 Subcombining Statement of Revenues, Expenditures and Changes in Exhibit 4 125 Fund Balance - Nonmajor Debt Service Funds Statement 16 106 Subcombining Balance Sheet - Nonmajor Capital Project Funds Statement 17 Ito Subcombining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Capital Project Funds Statement 18 112 Special Revenue Funds: Schedules of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual: Community Center Fund Statement 19 115 Police Forfeiture Fund Statement 20 116 Recycling Fund Statement 21 117 HRA Fund Statement 22 118 Fire Education/Training Fund Statement 23 119 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 Assets Exhibit 5 126 CITY OF ST. ANTHONY, MINNESOTA TABLE OF CONTENTS Page Reference No. III. STATISTICAL SECTION (Unaudited) Financial Trends: Net Assets by Component Table 1 129 Changes in Net Assets 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 10 142 Legal Debt Margin Information Table 11 143 Pledged Revenue Coverage Table 12 144 Demographic and Economic: Demographic and Economic Statistics Table 13 148 Principal Employers Table 14 149 Operating Information: Full -Time Equivalent City Government Employees by Function/Program Table 15 150 Operating Indicators by Function/Program Table 16 152 Capital Asset Statistics by Function/Program Table 17 154 M - This page intentionally left blank - I. INTRODUCTORY SECTION - This page intentionally left blank - tho�ny ills e C� 3301 Silver Lake Road, St. Anthony, Minnesota 55418 -1699 Office: (612) 782 -3301 • Fax: (612) 782 -3302 • www.ci.saint- anthony.mn.us May 18, 2010 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, 2009. 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. HLB Tautges Redpath, Ltd., Certified Public Accountants, have issued an unqualified ( "clean ") opinion on the City of St. Anthony's financial statements for the year ended December 31, 2009. 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. MD &A complement this letter of transmittal and should be read in conjunction with it. 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 three square miles and serves a population of 8,437. 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. L Our Mission is to be a progressive and livable community, a walkable village, which is safe and secure. 3 The City is served by Independent School District (ISD) #282 (St. Anthony), which has a 2009/2010 enrollment of approximately 1,650, operates one elementary school, a junior high and senior high in the City. In addition, a private school, St. Charles Borromeo, offers K -8 grade education with enrollment of approximately 325 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 I(A) & 6(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). Department heads may make transfers of appropriations within a department. Transfers of appropriations between departments, however, require the approval of the City Council. Budget -to- actual comparisons are provided on Statement 9 as required supplementary information to the basic financial statements for the governmental funds. 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 aggressively pursue redevelopment opportunities. Because of these efforts, the City's tax capacity and tax base have consistently increased over the last five years. Long -term financial planning: The City maintains internal service funds for the replacement of various capital assets. The Capital Equipment Fund provides funding for the replacement of the City's fleet including all vehicles and heavy equipment that have a value of $5,000 or more and a useful life of at least two years. The Road Improvement Funds have been established for the replacement of the City's roads and infrastructure, including the resurfacing and reconstruction of City's streets, sidewalks and storm water system. The City combines the use of Goal Setting and Key Financial Management Planning to identify and prioritize all City improvement projects. On an on -going basis, projects are identified, discussed and prioritized by the City Council. Once the project is identified, a complete analysis is done to review the impact, examine the funding sources available to determine the appropriate funding source and budget for the costs. 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 has been actively working to limit its liability risk and insurance costs. To assist employees who are injured while on duty, a Managed Care Program was implemented which aids in reducing medical expenses and other costs relating to the injury. The program assists employees with a treatment plan and 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. M Awards: The City of St. Anthony worked with the Middle Mississippi Watershed Management Organization on a Water Re -Use Project which collects ground water run off into a large holding tank that is used to irrigate Central Park. The City received several awards for the project including: 1) ACEC - Minnesota Engineering Excellence Grand Award. 2) League of Minnesota Cities — City of Excellence Award. (Population 5,000 — 19,999) 3) MWPA —Project of the Year (Honorable Mention). 4) CEAM — Municipal Project of the Year (Honorable Mentions). Grants: Each year, the City actively participates in Federal, State and County administered grants. In 2009 the Police, Fire and Public Works Departments received a variety of safety and training grants. A list of the 2009 public safety and recycling grants includes: A. Safe and Sober Grant — Alcohol Compliance Grant. B. Operation Nite -Cap — Alcohol Compliance Grant. C. State of Minnesota - Underage Alcohol Compliance Grant. D. State and Federal Bullet Proof Vest Grant. E. Minnesota Firefighter Disability Grant. F. Minnesota Department of Labor — Public Works Safety Grant. G. Metro Emergency Services Grant — Public Safety Grant. H. Ramsey County — Score /Recycling Grant 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 2009, the City continued to receive funding for the "Citizens Academy" which provides alcohol awareness and safety training to our residents. In addition, the City also received additional funding from local businesses to purchase pagers for the Fire Department. Acknowledgements: The preparation of this report would not have been possible without the efficient and dedicated services of the entire staff of the Finance Department. We would like to express our appreciation to all members of the department who assisted and contributed to the preparation of this report. Credit also must be given to the Mayor and the City Council for their unfailing support for maintaining the highest standard of professionalism in the management of the City of St. Anthony's finances. Respectfully submitted, Mike Morrison 6 Roger A. Larson, City Manager Finance Director CITY OF ST. ANTHONY, MINNESOTA ORGANIZATION December 31, 2009 Mayor: Jerry Faust Council Members: Hal Gray Jim Roth Randy Stille Brian Thuesen City Manager: Michael Momson Finance Director: Roger A. Larson, Sr. I L, 7 Term Expires December 31. 2011 December 31, 2011 December 31, 2011 December 31, 2009 December 31, 2009 Appointed Appointed a F x u 0 H ¢ u 0 x F z N N N dv dv 0 0 w w v G Z o N ti N C O N N N 0 W 0. 0. w U w w p v v v K C. FG N N W vv I Li m W a z v off; r c .. ti n N � V o G o V z U � � ] W r O O z E w N rl II ro G N u Vl u O W vv I Li v � r c .. ti n N V G y � � W r O O E w � V m W C. N rl II ro G N u Vl u O W II. FINANCIAL SECTION - This page intentionally left blank - Tautges Redpath, Ltd. Certified Public Accountants and Consultants INDEPENDENT AUDITOR'S REPORT To the Honorable Mayor and Members of the City Council City of St. Anthony, Minnesota 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, 2009, which collectively comprise the City of St. Anthony, Minnesota's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the City of St. Anthony, Minnesota's management. 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 of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our 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, 2009, and the respective changes in financial position, and cash flows, where applicable, thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. As discussed in Note 7 to the financial statements, the City of St. Anthony, Minnesota implemented Governmental Accounting Standard Board Statement No. 45, Accounting and Financial Reporting by Employers for Post - Employment Benefits Other Than Pensions, as of and for the year ended December 31, 2009. This Statement results in the City of St. Anthony, Minnesota reporting a liability for post - employment benefits that the City of St. Anthony, Minnesota provides to its employees. 4810 White Bear Parkway White Bear Lake, Minnesota 55110 651 426 7000 651 426 5004 Fax I www.hlbtr.com HLB iautges Redgam, Ltd. is a member of 0 international, a word wide organization of accounting firms and business adaimrs. I Equal Opportunity Employer In accordance with Government Auditing Standards, we have also issued our report dated May 18, 2010 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 the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. The Management's Discussion and Analysis and the budgetary comparison information on pages 13 through 23 and 82 through 88, are not a required part of the basic financial statements but are supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information. However, we did not audit the information and express no opinion on it. 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 supplementary financial information have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken 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 express no opinion on them. tea. HLB TAUTGES REDPATH, LTD. White Bear Lake, Minnesota May 18, 2010 12 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, 2009. 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 $21,601,533 (net assets). Of this amount, $5,859,051 (unrestricted net assets) may be used to meet the City's ongoing obligations to citizens and creditors. • The City's total net assets decreased by $161,733 from the prior years stated net assets. • As of the close of the current fiscal year, the City of St. Anthony's governmental funds reported combined ending fund balances of $13,433,862, an increase of $1,854,376 in comparison with the prior year stated fund balances. Approximately 36.8% of this total amount, $4,944,244, is available for spending at the City's discretion (unreserved/ undesignated fund balance). • At the end of the current fiscal year, unreserved fund balance for the General Fund was $1,471,584 or 28.3% of total General Fund expenditures. • The City of St. Anthony's total bonded debt increased by $3,925,000 (10.8 %) during the current fiscal year. The key factors in this increase were; 1) pay off of the 2000B State Aid Bond totaling $460,000; 2) pay off of the 2000A Storm Sewer Revenue Bond G.O totaling $945,000; 3) principal retirement of $1,490,000; 4) issuance of the 2009A $5,175,000 G.O. Improvement Bonds; and 5) issuance of the 2009B $1,645,000 G.O. Refunding Bonds. 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 assets presents information on all of the City of St. Anthony, Minnesota's assets and liabilities, with the difference between the two reported as net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the financial position of the City of St. Anthony, Minnesota is improving or deteriorating. 13 The statement of activities presents information showing how the City's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cashflows. 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 I 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 outflows of spendable resources, as well as on balances ofspendable 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. The City of St. Anthony, Minnesota maintains 27 individual governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund 14 statement of revenues, expenditures and changes in fund balance for the General, Water Filtration and Purification Fund, Street Improvement Debt Service, HRA Debt Service, Street Improvement Projects, HRA Projects, Storm Water Improvement, Silver Lake Road Project and 2009 Improvement Project, all of which are considered to be major funds. Data from the other 18 governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining and subcombining 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 8 of this report. The combining statements referred to earlier in connection with nonmajor 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 11 through 23 of this report. 15 Government -wide Financial Analysis As noted earlier, net assets 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 $21,601,533 at the close of the most recent fiscal year. A portion of the City of St. Anthony, Minnesota's net assets (33.9 %) reflects its investment in capital assets (e.g., land, buildings, machinery, and equipment); less any related debt used to acquire those assets that are still outstanding. The City of St. Anthony, Minnesota uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City of St. Anthony, Minnesota's investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. City of St. Anthony, Minnesota's Net Assets An additional portion of the City of St. Anthony, Minnesota's net assets (38.9 %) represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net assets (27.2 %) may be used to meet the government's ongoing obligations to citizens and creditors. At the end of the current fiscal year, the City of St. Anthony, Minnesota is able to report positive balances in all three categories of net assets, both for the City as a whole, as well as for its separate governmental and business -type activities. 16 Governmental Activities Business -Type Activities Totals 2009 2008 2009 2008 2009 2008 Current and other assets $17,475,776 $17,594,836 $1,279,178 $1,604,909 $18,754,954 $19,199,745 Capital assets 36,520,639 32,981,668 7,017,685 6,910,674 43,538,324 39,892,342 Total assets $53,996,415 $50,576,504 $8,296,863 $8,515,583 $62,293,278 $59,092,087 Long term liabilities outstanding $33,174,378 $30,990,701 $1,931,013 $2,080,627 $35,105,391 $33,071,328 Other liabilities 5,088,842 3,731,067 497,512 526,426 5,586,354 4,257,493 Total liabilities $38,263,220 $34,721,768 $2,428,525 $2,607,053 $40,691,745 $37,328,821 Net assets: Invested in capital assets net of related debt $2,315,775 $3,000,881 $5,017,685 $4,745,674 $7,333,460 $7,746,555 Restricted 8,289,022 3,271,180 120,000 120,000 8,409,022 3,391,180 Unrestricted 5,128,398 9,582,675 730,653 1,042,856 5,859,051 10,625,531 Total net assets $15,733,195 $15,854,736 $5,868,338 $5,908,530 $21,601,533 $21,763,266 An additional portion of the City of St. Anthony, Minnesota's net assets (38.9 %) represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net assets (27.2 %) may be used to meet the government's ongoing obligations to citizens and creditors. At the end of the current fiscal year, the City of St. Anthony, Minnesota is able to report positive balances in all three categories of net assets, both for the City as a whole, as well as for its separate governmental and business -type activities. 16 The City's net assets decreased by $161,733 during the current fiscal year. The key element for the decrease was that unrestricted, capital and operating grants were lower than the previous 1,160,932 year. - - 1,160,932 City of St. Anthony, Minnesota's Changes in Net Assets Public safety 2,937,528 2,656,975 Governmental Activities Business -Type Activities Totals 2,937,528 2,656,975 2009 2008 2009 2008 2009 2008 Revenues: - 1,839,163 1,436,309 Program revenue: 424,590 416,881 - Charges for services $2,128,956 $1,937,648 $8,195,292 $7,975,452 $10,324,248 $9,913,100 Operating grants and contributions 456,357 522,542 - - 456,357 522,542 Capital grants and contributions 1,659,382 1,684,417 - - 1,659,382 1,684,417 General revenue: - - 2,534,700 Property taxes 4,442,708 4,118,365 - - 4,442,708 4,118,365 Other taxes 1,952,704 1,753,559 - - 1,952,704 1,753,559 Grants and contributions - - 6,156,097 not restricted to specific programs 20,918 88,291 - - 20,918 88,291 Other 228,845 439,791 439,791 36,074 668,636 475,865 Total revenues 10,889,870 10,544,613 8,635,083 8,011,526 19,524,953 18,556,139 Expenses General government 1,160,932 1,231,302 - - 1,160,932 1,231,302 Public safety 2,937,528 2,656,975 - - 2,937,528 2,656,975 Public works 1,839,163 1,436,309 - - 1,839,163 1,436,309 Parks and recreation 424,590 416,881 - - 424,590 416,881 Services to other cities 1,026,842 940,807 - - 1,026,842 940,807 Housing and redevelopment 2,534,700 536,068 - - 2,534,700 536,068 Interest on long -term debt 1,407,527 1,497,107 - - 1,407,527 1,497,107 Liquor - - 6,156,097 5,969,076 6,156,097 5,969,076 Water - - 843,723 794,433 843,723 794,433 Sewer 932,979 860,918 932,979 860,918 Total expenses 11,331,282 8,715,449 7,932,799 7,624,427 19,264,081 16,339,876 Excess before transfers (441,412) 1,829,164 702,284 387,099 260,872 2,216,263 Transfers 319,871 (1,514,827) (319,871) 1,514,827 Increase (decrease) in net assets (121,541) 314,337 382,413 1,901,926 260,872 2,216,263 Net assets - January 15,854,736 15,540,399 5,908,530 4,006,604 21,763,266 19,547,003 Net assets - December 31 $15,733,195 $15,854,736 $6,290,943 $5,908,530 $22,024,138 £21,763,266 I 17 L_ Governmental Activities. Governmental activities decreased the City of St. Anthony's net assets by $121,541. The key factor of the decrease was that unrestricted, capital and operating grants were lower than the previous year. Revenues by Source- Grants and contributions not Governmental restricted to Activities specific programs Other2% Chargesfor services 20% 0% Operating grants and Tax increments contributions 18% 4% Property taxes 41% Capital grants and contributions 15% For the most part, increases in expenses closely paralleled inflation and growth in the demand for services. m Business -type activities. Business -type activities decreased net assets by $40,192. The key factor for the decrease was that charges for sanitary waste disposal were increased by the Metropolitan Council Environmental Services. Revenues by Source - Business -Type Activities Miscellaneous 1% Charges for services 99% 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. In particular, unreserved fund balance may serve as a useful measure of the City's net resources available for spending at the end of the fiscal year. As of the end of the current fiscal year, the City of St. Anthony, Minnesota's governmental funds reported combined ending fund balances of $13,433,862, an increase of $1,854,376 in comparison with the prior year restated amounts. Approximately 53.0% of this total amount ($7,115,664) constitutes unreserved, fund balance, which is available for spending at the City's discretion. This includes amounts that have been designated for 1) general fund operations ($1,471,584), 2) special revenue funds ($160,827) and 3) capital project funds ($539,029). 19 The remainder of fund balance is reserved to indicate that it is not available for new spending because it has already been committed 1) prepaid items ($54,648), 2) to pay debt service ($5,022,328), and 3) to pay for tax increment projects ($1,241,212). The General Fund is the chief operating fund of the City of St. Anthony, Minnesota. At the end of the current fiscal year, unreserved fund balance of the General Fund was $1,471,584, while total fund balance reached $1,525,433. As a measure of the General Fund's liquidity, it may be useful to compare both unreserved fund balance and total fund balance to total fund expenditures. Unreserved fund balance represents 28.3% of total General Fund expenditures and total fund balance represents 29.3% of that same amount. During the current fiscal year, the fund balance in the General Fund increased by $84,929. The City's Water Filtration and Purification Fund had a total fund balance of $5,226,484. The Street Improvement Debt Service Fund increased by $1,270,415 as annual debt payment requirements were less than assessment collections, property tax collections, bond proceeds and interest. The HRA Debt Service Fund increased by $171,104 as the annual debt service requirements were less than the revenue collected. The Street Improvement Projects Fund decreased by $536,182 as the construction costs incurred were more than the bond proceeds and other funding sources. The HRA Projects Funds increased by $372,458 to a balance of $1,279,858. The key factor in this was tax increment collections exceeded expenditures. The Storm Water Improvement Fund decreased by $124,117 as a result of construction payments for the Water Reuse Project. The Silver Lake Road Project Fund decreased $236,701 as a result of the year -to -date construction costs and payments to Hennepin County. The 2009 Street Improvement Project Fund increased by $270,726 as a result of the sale of a $2,630,000 Road Improvement Bond, payments to contractors and pending final construction expenses. Non -major Special Revenue Funds decreased by $22,377 to a balance of $103,616. Non -major Debt Service Funds had a total fund balance of $1,127,314, all of which is reserved for the payment of debt service. The net increase in fund balance during the current year in the non -major debt service funds was $854,781. Non -major Capital Project Funds had a total fund balance of $151,937, a decrease of $26,292. X31] 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. Unrestricted net assets in the Liquor Operations and Water and Sewer Funds at the end of the year amounted to $730,653. The total net assets for each fund were: Liquor— $2,057,159; Water and Sewer - $3,811,179. General Fund Budgetary Highlights Variances from original to final budget are as follows: • The 2009 General Fund original operating budget was reduced by $135,000 to reflect the market value homestead credit unalloted by the State of Minnesota. Variances from actual to budget can be briefly summarized as follows: • Building and plumbing permit revenue exceeded the budget by $124,607. • Unbudgeted public safety grants and revenue from private sources provided $45,787 in funding for safety and alcohol compliance. • Municipal court fines exceeded budget by $5,068. • Interest earnings were less than budget by $14,366. • Cable franchise fees exceeded budget by $16,909. • Miscellaneous revenue exceeded budget by $8,302. 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, 2009 amounts to $43,538,324 (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 9.1 %. 21 Major capital asset events during the current fiscal year included the following: • The annual street reconstruction and infrastructure improvement project was added. Land Land improvement Buildings and structures Furniture and fixtures Infrastructure/streets stonn sewers Stomr water Less accumulated depreciation Construction in progress Total City of St. Anthony, Minnesota's Capital Assets (net of depreciation) Governmental Activities Business -Type Activities Totals 2009 2008 2009 2008 2009 2008 $3,378,842 10,199 9,403,047 2,962,254 20,808,158 $3278,842 9,403,047 2,906,840 20,679,541 428,469 401,913 1,468,902 - (9,330,593) (8,030,704) 7,391,361 4242,189 $5,653 $5,653 $3,384,495 $3,384,495 - - 10,199 - 3,883,283 3,883,283 13,286,330 13,286,330 1,429,469 589,977 4,391,723 3,496,817 6,797,402 6,522,693 27,605,560 27,202,234 - - 428,469 401,913 - - 1,468,902 - (5,098,122) (4,796,125) (14,428,715) (12,826,829) 705,193 7,391,361 4,947,382 $36,520,639 $32,981,668 $7,017,685 $6,910,674 $43,538,324 $39,892,342 Additional information on the City of St. Anthony, Minnesota's capital assets can be found in Note 4. Long -term debt. At the end of the current fiscal year, the City of St. Anthony, Minnesota had total debt outstanding of $38,884,539. Of this amount, $23,985,000 comprises debt backed by the full faith and credit of the City, $10,055,000 is backed by tax increments, $2,000,000 is backed by revenues sources from the City of St. Anthony, Minnesota's enterprise funds and $2,050,000 is G.O. improvement debt for which the City is liable in the event of default by the developer of Silver Lake Village. The remainder of the City of St. Anthony, Minnesota's debt represents the liability for compensated absences. General obligation bonds General obligation: Fannie Mae loan payable G.O. revenue bonds Revenue bonds Compensated absences Total City of St. Anthony, Minnesota's Outstanding Debt General Obligation and Revenue Bonds Governmental Activities Business -Type Activities Totals 2009 2008 2009 2008 2009 2008 $19,320,000 $14,745,000 $19,320,000 $14,745,000 2,050,000 2,500,000 - - 2,050,000 2,500,000 5,375,000 5,700,000 1,815,000 1,895,000 7,190,000 7,595,000 9,345,000 9,505,000 185,000 270,000 9,530,000 9,775,000 660,675 609,318 133,864 115,404 794,539 724,722 $36,750,675 $33,059,318 $2,133,864 $2,280,404 $38,884,539 $35,341,730 22 The City of St. Anthony's total bonded debt increased by $3,925,000 (10.8 %) during the current fiscal year. The key factors in this increase were; 1) pay off of the 2000B State Aid Bond totaling $460,000; 2) pay off of the 2000A Storm Sewer Revenue Bond G.O totaling $945,000; 3) principal retirement of $1,490,000; 4) issuance of the 2009A $5,175,000 G.O. Improvement Bonds; and 5) issuance of the 2009B $1,645,000 G.O. Refunding Bonds. 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 $24,778,098, which is in excess of the City of St. Anthony, Minnesota's $6,460,000 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 5. Economic Factors and Next Year's Budgets and Rates • Healthy financial profile and a stable outlook including a very strong general fund balance • Strong income and wealth indicators relative to national levels. • The taxable market value in the City has risen rapidly in the past five years averaging 12 %. The major development of Silver Lake Village contributed to the increase with its addition of apartments, condominiums and commercial space in an area that was formally an enclosed shopping mall. • Extensive planning and management practices 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 2009 fiscal year. In 2009, there were no increases in water and sewer rates. The revenue from water and sewer operations totaled $1,583,317, which was less than expenditures by $116,602 (7.4 %). In the future, rates will be changed to comply with the Minnesota Department of Resources mandate that requires the sale of water be based on a Tiered Water Rate Structure that promotes the conservation of usage. This rate structure will charge a higher rate for excessive usage. Upon implementation, moving forward the annual increases for water, sewer and storm water charges will be in an amount similar to the rate of inflation. 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. i 23 This page intentionally left blank - 24 BASIC FINANCIAL STATEMENTS 25 - This page intentionally left blank - 26 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF NET ASSETS t December 31, 2009 Statement 1 Primary Government Governmental Business -Type Totals Activities Activities 2009 2008 Assets: Cash and investments Restricted cash and investments $13,366,245 - $55,507 155,311 $13,421,752 155,311 $11,716,422 149,256 Funds held in trust 455,147 - 455,147 455,830 Accrued interest 34,600 2,315 36,915 46,192 Due from other governmental units 35,192 - 35,192 16,941 Internal balances 215,575 (215,575) - - Accountsreceivable - net 666,239 417,788 1,084,027 3,492,779 Prepaid items 54,658 26,902 81,560 76,120 Property taxes receivable 82,666 - 82,666 195,404 Special assessments receivable 1,935,126 1,935,126 1,740,216 Funds held for others 160,000 - 160,000 160,000 Inventories - at cost - 793,969 793,969 659,650 Deferred charges 467,486 42,961 510,447 487,957 Unamortized bond discounts 2,842 - 2,842 2,978 Capital assets - net: Nondepreciable 10,770,203 5,653 10,775,856 8,331,877 Depreciable 25,750,436 7,012,032 32,762,468 31,560,465 Total assets 53,996,415 8,296,863 62,293,278 59,092,087 Liabilities: Accounts payable 373,106 23,783 396,889 320,632 Contracts payable 113,553 - 113,553 688,340 Deposits payable 4,847 111,907 116,754 108,952 Due to other governmental units 1,128 77,778 78,906 68,073 Salaries payable 142,641 38,254 180,895 149,664 Accrued interest payable 632,724 30,644 663,368 619,673 Unamortized bond premium 167,706 - 167,706 33,765 Compensated absences payable: ' Due within one year 198,137 40,146 238,283 218,394 Due in more than one year 462,538 93,718 556,256 506,328 Bonds and notes payable: Due within one year 3,455,000 175,000 3,630,000 2,050,000 Due in more than one year 32,635,000 1,825,000 34,460,000 32,565,000 Other post employment benefits: Due in more than one year 76,840 12,295 89,135 - Total liabilities 38,263,220 2,428,525 40,691,745 37,328,821 Net assets: Invested in capital assets, net of related debt 2,315,775 5,017,685 7,333,460 7,746,555 Restricted for: 4,464,512 Debt service 6,782,289 120,000 6,902,289' - Tax increment purposes 1,506,733 - 1,506,733✓ 952,060 Unrestricted 5,128,398 730,653 5,859,051 8,600,139 Total net assets $15,733,195 $5,868,338 $21,601,533 $21,763,266 The accompanying notes are an integral part of these financial statements. 27 L. CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF ACTIVITIES For The Year Ended December 31, 2009 Functions /Programs Expenses Primary government: 843,723 Governmental activities: 932,979 General government $1,160,932 Public safety 2,937,528 Public works 1,839,163 Parks and recreation 424,590 Services to other cities 1,026,842 Housing and redevelopment 2,534,700 Interest on long -term debt 1,407,527 Total governmental activities 11,331,282 Business -type activities Liquor 6,156,097 Water 843,723 Sewer 932,979 Total business -type activities 7,932,799 Total primary government $19,264,081 The accompanying notes are an integral part of these financial statements. 28 Charges For Services $432,497 138,688 173,504 227,673 1,156,500 94 2,128,956 6,611,975 806,987 776,330 8,195,292 $10,324,248 Statement 2 Net (Expense) Revenue and Program Revenues Changes in Net Assets Operating Capital Primary Government Grants and Grants and Governmental Business -Type Totals Contributions Contributions Activities Activities 2009 2008 $53,595 $ ($674,840) $ ($674,840) ($933,746) 277,907 (2,520,933) (2,520,933) (2,246,959) 102,287 1,659,382 96,010 96,010 516,351 - - (196,917) (196,917) (199,074) 129,658 129,658 155,393 - (2,534,606) (2,534,606) (536,068) 22,568 (1,384,959) - (1,384,959) (1,326,739) 456,357 1,659,382 (7,086,587) 0 (7,086,587) (4,570,842) _ - 455,878 455,878 390,655 (36,736) (36,736) 17,938 _ (156,649) (156,649) (57,568) 0 0 0 262,493 262,493 351,025 $456,357 $1,659,382 (7,086,587) 262,493 (6,824,094) (4,219,817) General revenues: General property taxes 4,442,708 - 4,442,708 4,118,365 Tax increment taxes 1,952,704 1,952,704 1,753,559 Grants and contributions not restricted to specific programs 20,918 - 20,918 88,291 Unrestricted investment earnings 184,434 6,833 191,267 422,411 Other 40,430 10,353 50,783 53,454 Gain on sale of capital assets 3,981 - 3,981 - Transfers 319,871 (319,871) - - Total general revenues and transfers 6,965,046 (302,685) 6,662,361 6,436,080 Change in net assets (121,541) (40,192) (161,733) 2,216,263 Net assets - January 1 15,854,736 5,908,530 21,763,266 19,547,003 Net assets - December 31 $15,733,195 $5,868,338 $21,601,533 $21,763,266 L The accompanying notes are an integral part of these financial statements. 29 L CITY OF ST. ANTHONY, MINNESOTA BALANCESHEET GOVERNMENTALFUNDS December 31, 2009 The accompanying notes are an integral part of these financial statements. 30 Street Water Filtration Improvement Debt General Fund and Purification Service BRA Debt Service Assets Cash and investments $1,599,173 $3,509,084 $2,659,396 $1,211,710 Funds held in trust - - - 454,451 Accrued interest 417 21,752 - 6,388 Due from other governmental units 11,941 - 3,357 - Interfund receivable 33,075 - - _ Interfund loan receivable - 1,704,230 - - Accounts receivable - net 66,239 - - - Prepaid items 53,849 661 - - Property taxes receivable: Delinquent 76,277 - 24,991 14,459 Due from county (7,392) - (2,593) (836) Special assessments receivable - - 1,570,720 - Funds held by others Total assets $1,833,579 $5,235,727 $4,255,871 $1,686,172 Liabilities and Fund Balance Liabilities: Accounts payable $65,098 $7,303 $ - $ - Contracts payable _ _ Deposits payable 2,364 Interfand loan payable - - - 437,430 Due to other governmental units 1,128 - - - Salaries payable 140,234 1,940 - Deferred revenue 99,322 - 1,595,140 14,459 Total liabilities 308,146 9,243 1,595,140 451,889 Fund balance: Reserved for: Prepaid items 53,849 661 - - Debt service - - 2,660,731 1,234,283 Tax increment projects _ _ _ - Unreserved: Designated reported in: General Fund 1,471,584 Special Revenue Funds - Capital Project Funds _ _ Undcsignated reported in: Special Revenue Funds - 5,225,823 - - Capital Project Funds _ Total fund balance 1,525,433 5,226,484 2,660,731 1,234,283 Total liabilities and fund balance $1,833,579 $5,235,727 $4,255,871 $1,686,172 The accompanying notes are an integral part of these financial statements. 30 Statement 3 r Street Silver Lake 2009 Street Other Improvement Storm Water Road Project Improvement Governmental Intra- Activity Projects HRA Projects Improvement Fund Project Fund Funds Eliminations Total Governmental Funds ( $917,024 $1,279,305 $10,685 $121,295 - 696 - - r 2,587,685 140,629 - - - 124,891 2009 2008 $387,316 $1,540,769 $ - $13,235,757 $11,091,218 - - - 455,147 455,830 - 6,043 - 34,600 43,877 - 19,894 - 35,192 16,941 - - - 33,075 - - - (1,521,730) 182,500 219,000 - - - 2,794,553 3,047,578 - 148 - 54,658 51,893 - 124,891 - - - 7,604 - 248,222 163,872 - (153,858) - - - (877) - (165,556) 31,532 - - - - - 364,406 - 1,935,126 1,740,216 160,000 - - - - 160,000 160,000 $3,504,709 $1,551,663 $10,685 $121,295 $387,316 $1,937,987 ($1,521,730) $19,003,274 $17,021,957 $ - $3,801 $39,698 $1,834 $179,978 $75,394 - - - 90,604 22,949 2,483 - - 1,000,000 - - - - 84,300 467 2,587,685 265,521 372,010 3,587,685 271,805 39,698 1,834 270,582 555,120 1,241,212 148 1,127,314 - - 160,827 119,461 116,734 302,834 $ - $373,106 $300,793 - 113,553 623,606 4,847 - (1,521,730) - - 1,128 768 - 142,641 115,456 - 4,934,137 4,401,848 (1,521,730) 5,569,412 5,442,471 54,658 51,893 5,022,328 2,726,028 1,241,212 872,653 1,471,584 1,389,299 160,827 136,375 539,029 1,122,190 - - - - - (57,359) - 5,168,464 5,439,782 (82,976) 38,646 (29,013) (150,897) - (224,240) (158,734) (82,976) 1,279,858 (29,013) 119,461 116,734 1,382,867 0 13,433,862 11,579,486 $3,504,709 $1. 551,663 $10.685 $121,295 $387,316 $1,937,987 ($1,521,730) $19,003,274 $17,021,957 Fund balance reported above $13,433,862 $11,579,486 Amounts reported for governmental activities in the statement of net assets are different because: Capital assets used in governmental activities arc not financial resources, and therefore, are not reported in the funds. 36,520,639 32,981,668 Other long -term assets are not available to pay for current -period expenditures and, therefore, are t deferred in the funds (net of allowance for uncollectible of $2,128,314). 2,805,823 4,401,848 Long -term liabilities, including bonds payable, are not due and payable in the current period and therefore arc not reported in the funds. (36,496,942) (32,629,055) Internal service funds arc 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 assets (530,187) (479,211) Net assets of governmental activities $15,733,195 $15,854,736 The accompanying notes are an integral part of these financial statements. 31 L_ CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE GOVERNMENTALFUNDS For The Year Ended December 31, 2009 The accompanying notes are an integral part of these financial statements. 32 Street Street Water Filtration Improvement HRA Debt Improvement General Fund and Purification Debt Service Service Projects Revenues: General property taxes $2,786,631 $ - $867,167 $394,045 $ - Tax increment collections - - - 337,230 - Licenses and permits 358,381 - - - - Intergovernmental 338,202 - - - - Special assessments - - 255,889 - - Charges for services 1,215,888 - - - - Cable franchise fees 92,309 - - - - Fines and forfeits 112,068 - - - Investment income 2,434 152,855 2,202 12,659 1,503 Contributions and donations 1,450 - - - - Miscellaneous 38,302 - - Total revenues 4,945,665 152,855 1,125,258 743,934 1,503 Expenditures: Current: General government 733,202 127,503 - 983 - Public safety 2,612,953 - - - - Public works 596,882 149,720 - - - Parks and recreation 218,259 - - - - Services to other cities 1,026,842 - - - - Nondepartmental 6,798 - - - - Housing and redevelopment - - - - - Capital outlay: General government - - - - - Public safety - - - - - Public works - - - - - Debt service: Principal - - 760,000 525,000 450,000 Interest - - 430,947 695,021 87,685 Paying agent fees - - 2,974 5,300 - Professional service - - 5,077 - Issuance costs - - 27,103 - - Construction/acquisition costs - - - - Developer incentives - - Total expenditures 5,194,936 277,223 1,226,101 1,226,304 537,685 Revenues over (under) expenditures (249,271) (124,368) (100,843) (482,370) (536,182) Other financing sources (uses): Bonds issued - _ - - - - Refunding bonds issued - - 1,335,000 - - Redemption of refunded bonds - - - - - Premium on debt issued - - 36,258 - - Sale of capital assets - - - - - Transfers in 410,300 - - 653,474 - Transfers out (76,100) (100,000) - Total other financing sources (uses) 334,200 (100,000) 1,371,258 653,474 0 Net change in fund balance 84,929 (224,368) 1,270,415 171,104 (536,182) Fund balance - January 1 1,440,504 5,450,852 1,390,316 1,063,179 453,206 Fund balance - December 31 $1,525,433 $5,226,484 $2,660,731 $1,234,283 ($82,976) The accompanying notes are an integral part of these financial statements. 32 Statement 4 - - - - 235,000 2009 Street Other - 3,965,000 155,627 Storm Water Silver Lake Road Improvement Governmental Intra- Activity 1,245 - 9,519- HRA Projects Improvement Project Fund Project Fund Funds Eliminations Total Governmental Funds - - - - 22,317 - 49,420' / - 2009 2008 $ - $ - $ - $ - $359,378 $ - $4,407,221 $4,097,493 1,566,610 - - - - - 1,903,840 1,682,549 - - - - - - 358,381 247,878 8,885 34,754 668,484 - 380,041 - 1,430,366 2,039,592 _ _ _ - 250,373 - 506,262 385,197 - 2,450 - - - 301,089 - 1,519,427 1,451,925 _ _ _ _ - - 92,309 92,606 _ _ _ - 10,802 - 122,870 139,421 2,703 234 398 2,266 6,799 - 184,053 400,038 _ _ _ 2,000 - 3,450 3,950 94 2,277 2,476 10,205 - 53,354 186,449 1,578,292 39,715 671,358 2,266 1,320,687 0 10,581,533 10,727,098 109,268 - - - 46,449 - 1,017,405 1,076,699 - - - - 41,755 - 2,654,708 2,446,434 - 8,292 - 5,442 1,194 - 761,530 679,269 - - - - 183,528 - 401,787 394,673 - - - - - - 1,026,842 940,807 - - - - - - 6,798 23,387 191,608 - 191,608 212,583 - - - - - - - 23,136 - - - 202,638 - - - - 271,459 - 271,459 92,894 - - - - 235,000 - 1,970,000 2,305,000 - 3,965,000 155,627 - 1,369,280 1,450,248 - - 1,245 - 9,519- 10,601 - - - - - - 5,077' 5,080 - - - - 22,317 - 49,420' / - - 155,540 908,059 2,326,384 1,399,197 - 4,789,180✓ 3,419,607 443,092 8,749 - 443,092. 323,485 552,360 163,832 908,059 2,331,826 2,549,379 0 14,967,705 13,606,541 1,025,932 (124,117) (236,701) (2,329,560) (1,228,692) 0 (4,386,172) (2,879,443) - - - 2,564,794 1,400,206 - 3,965,000 1,910,000 - - - - 1,520,000 - 2,855,000 - _ - (1,210,000) - (1,210,000) - - - - 35,492 68,742 - 140,492 8,749 - - - - 12,056 - 12,056 14,705 - - - - 243,800 (829,574) 478,000 625,000 (653,474) - 829,574 - - (653,474) 0 0 2,600,286 2,034,804 0 6,240,548 2,558,454 372,458 (124,117) (236,701) 270,726 806,112 0 1,854,376 (320,989) 907,400 95,104 356,162 (153,992) 576,755 - 11,579,486 11,900,475 51,279,858 (529,013) 5119,461 $116,734 $1,382,867 $0 $13,433,862 511,579,486 The accompanying notes are an integral part of these financial statements. 33 CITY OF ST. ANTHONY, MINNESOTA RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTALFUNDS For The Year Ended December 31, 2009 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) 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. The net effect of various miscellaneous transactions involving capital assets (i.e., sales, trade -ins and donations) is to decrease net assets, as follows: Book value of disposals Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds. 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 assets. This amount is the net effect of these differences in the treatment of long -term debt and related items. 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. Revenues in the statement of activities are shown net of uncollectible amounts for accounts receivable from developers. Transfer out of governmental activities to Enterprise Fund capital assets. 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. Change in net assets of governmental activities (statement 2) Statement 5 2009 2008 $1,854,376 ($320,989) 3,713,296 2,737,320 (16,196) (24,007) 532,289 (185,873) (3,857,332) 386,251 (10,555) (67,909) (2,128,314) (158,129) (2,139,827) (50,976) (70,629) ($121,541) $314,337 The accompanying notes are an integral part of these financial statements. 34 L L. L CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF NET ASSETS PROPRIETARY FUNDS December 31, 2009 Assets: Current assets: Cash and cash equivalents Restricted cash and cash equivalents Receivables: Interest Accounts Prepaid items Inventories - at cost Total current assets Noncurrent assets: Deferred charges Capital assets: Land Buildings and structures Furniture, fixtures and equipment Distribution and collection system Construction in progress Total capital assets Less: Allowance for depreciation Net capital assets Total noncurrent assets Total assets Liabilities: Current liabilities: Interfund payable Accounts payable Due to other governmental units Contracts payable Salaries payable Accrued interest payable Refundable deposits Compensated absences payable - current portion Bonds and notes payable - current portion Interfund loan payable - current portion Total current liabilities Noncurrent liabilities: Compensated absences payable - noncurrent portion Bonds and notes payable - noncurrent portion Interfund loan payable - noncurrent portion Other post employement benefits Total noncurrent liabilities Total liabilities Statement 6 Governmental Business -Type Activities Enterprise Funds Activities - 701 Water Internal 705 Liquor and Sewer Totals Service Fund 2009 2008 $4,400 $51,107 $55,507 $495,097 $130,488 155,311 - 155,311 149,256 - 2,315 - 2,315 2,315 14,223 403,565 417,788 445,201 - 10,365 16,537 26,902 24,227 - 793,969 - 793,969 659,650 980,583 471,209 1,451,792 1,775,746 130,488 5,015 37,946 42,961 48,163 - - 5,653 5,653 5,653 - 1,875,328 2,007,955 3,883,283 3,883,283 - 399,593 1,029,875 1,429,468 589,977 - - 6,797,401 6,797,401 6,522,691 - - - - 705,193 - 2,274,921 9,840,884 12,115,805 11,706,797 0 (656,966) (4,441,154) (5,098,120) (4,796,123) - 1,617,955 5,399,730 7,017,685 6,910,674 0 1,622,970 5,437,676 7,060,646 6,958,837 0 2,603,553 5,908,885 8,512,438 8,734,583 130,488 33,075 - 33,075 - - 5,999 17,784 23,783 19,839 - 72,629 5,149 77,778 67,305 - - - - 64,734 - 20,583 17,671 38,254 34,208 - - 30,644 30,644 31,611 - - 111,907 111,907 108,952 - 12,134 28,012 40,146 34,777 198,137 90,000 85,000 175,000 165,000 - 36,500 - 36,500 36,500 - 270,920 296,167 567,087 562,926 198,137 28,327 65,391 93,718 80,627 462,538 95,000 1,730,000 1,825,000 2,000,000 - 146,000 - 146,000 182,500 6,147 6,148 12,295 - - 275,474 1,801,539 2,077,013 2,263,127 462,538 546,394 2,097,706 2,644,100 2,826,053 660,675 Net assets: Invested in capital assets, net of related debt 1,432,955 3,584,730 5,017,685 4,745,674 Restricted for debt service 120,000 - 120,000 120,000 Unrestricted 504,204 226,449 730,653 1,042,856 (530,187) Total net assets $2,057,159 $3,811,179 55,868,338 $5,908,530 (5530,187) The accompanying notes are an integral part of these financial statements. 35 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS PROPRIETARY FUNDS For The Year Ended December 31, 2009 Sales Cost of sales Gross profit Operating revenues: Customer billings Connection charges Total operating revenues Total gross profit and operating revenues 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 Amortization of deferred charges Paying agent fees Miscellaneous Total nonoperating revenues (expenses) Income (loss) before transfers Capital contributions Transfers: Transfers out Change in net assets Net assets - January I Net assets - December 31 Amount reported for transfers out reported above Capital contributions reclassified to transfers in Net transfers of business -type activities (Statement 2) Statement 7 Governmental Business -Type Activities Enterprise Funds Activities - 701 Water Internal 705 Liquor and Sewer Totals Service Fund 2009 2008 $6,611,975 $ $6,611,975 $6,359,731 $ (5,068,121) (5,068,121) (4,884,558) 1,543,854 0 1,543,854 1,475,173 0 1,5 82,017 - 1,300 1,5 82,017 1,300 1,606,621 9,100 0 1,583,317 1,583,317 1,615,721 0 1,543,854 1,583,317 3,127,171 3,090,894 0 617,551 606,718 1,224,269 1,163,315 51,357 314,756 38,552 353,308 360,747 - 24,075 112,784 136,859 116,222 - - 513,610 513,610 467,267 - 26,481 193,095 219,576 224,676 - 76,114 235,160 311,274 293,152 - 1,058,977 1,699,919 2,758,896 2,625,379 51,357 484,877 (116,602) 368,275 465,515 (51,357) 6,056 777 6,833 18,985 381 (26,475) (73,739) (100,214) (108,936) - (2,524) (2,694) (5,218) (5,204) - - (350) (350) (350) - 8,430 1,923 10,353 17,089 - (14,513) (74,083) (88,596) (78,416) 381 470,364 (190,685) 279,679 387,099 (50,976) - 158,129 158,129 2,139,827 (400,000) (78,000) (478,000) (625,000) 70,364 (110,556) (40,192) 1,901,926 (50,976) 1,986,795 3,921,735 5,908,530 4,006,604 (479,211) $2,057,159 $3,811,179 $5,868,338 $5,908,530 ($530,187) ($478,000) ($625,000) 158,129 2,139,827 ($319,871) $1,514,827 The accompanying notes are an integral part of these financial statements. 36 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For The Year Ended December 31, 2009 Cash flows from operating activities Statement 8 Governmental Business -Type Activities Enterprise Funds Activities - 701 Water Internal 705 Liquor and Sewer Totals Service Fund 2009 2008 Receipts from customers and users $6,611,647 $1,611,058 $8,222,705 $7,976,434 $ Payment to suppliers (5,555,039) (920,809) (6,475,848) (6,306,235) - Payment to employees (605,586) (583,882) (1,189,468) (1,145,732) Miscellaneous revenue 8,430 1,923 10,353 17,089 Net cash flows from operating activities 459,452 108,290 567,742 541,556 0 Cash flows from noncapital financing activities: Transfer to General Fund Transfer to Capital Project Funds Change in interfund receivable /payable Net cash flows from noncapital financing activities Cash flows from capital and related financing activities: Acquisition of capital assets Change in interfund loan receivable /payable Interest paid on interfund payable Principal paid on debt Interest paid on debt Net cash flows from 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 I 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 (282,300) (78,000) (360,300) (275,000) - (117,700) - (117,700) (350,000) - 33,075 33,075 - - (366,925) (78,000) (444,925) (625,000) 0 - (260,154) (260,154) (35,811) - (36,500) - (36,500) (36,500) - (10,950) - (10,950) (12,775) - (85,000) (80,000) (165,000) (160,000) - (15,525) (75,056) (90,581) (97,361) - (147,975) (415,210) (563,185) (342,447) 0 6,056 777 6,833 16,670 381 (49,392) (384,143) (433,535) (409,221) 381 209,103 435,250 644,353 1,053,574 130,107 $159,711 $51,107 $210,818 $644,353 $130,488 $484,877 ($116,602) $368,275 $465,515 ($51,357) 8,430 1,923 10,353 17,089 76,114 235,160 311,274 293,152 (328) 27,741 27,413 982 - (498) (2,177) (2,675) 265 - (134,319) - (134,319) (27,670) - 25,176 (37,755) (12,579) (207,777) 51,357 (25,425) 224,892 199,467 76,041 51,357 $459,452 $108,290 $567,742 $541,556 $0 Noncash capital financing activities: Water system assets in the amount of $15,933 and sewer system assets in the amount of $142,196 were contributed to the Water and Sewer Fund in 2009. The accompanying notes are an integral part of these financial statements. 37 L - This page intentionally left blank - 38 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Note I 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 assets and the statement of changes in net assets) report information on all 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. 39 L. CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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. 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. U11 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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 Water Filtration and Purification Fund accounts for operation and maintenance of the City's water purification plant. 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 Storm Water Improvement Fund was established to account for the construction costs associated with the 100 -Year Flood Protection Project and related flooding issues. The Silver Lake Road Project Fund was established to account for the funding and costs of reconstruction for Silver Lake Road from 37th Avenue NE to St. Anthony Boulevard. The 2009 Street Improvement Fund accounts for the construction costs associated with the reconstruction of Foss Road from Chandler Drive to the City limits. 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. Additionally, the City reports the following fund type: Internal Service Fund - the Severance Fund accounts for the liability the City has for employee vacation and severance payments. Private - sector standards of accounting and financial reporting issued prior to December 1, 1989, generally are followed in both the government -wide and proprietary-fund financial statements to the extent that those standards do not conflict with or contradict guidance of the Governmental Accounting Standards Board. Governments also have the option of following subsequent private- sector guidance for their business -type activities and enterprise funds, subject to this same limitation. The City has elected not to follow subsequent private- sector guidance. L 41 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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, except the Water Filtration and Purification Fund. 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. 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. 42 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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. The following is a listing of the Special Revenue Fund whose expenditures exceed budget appropriations: Final Over Budget Actual Budget Nonmajor Fund: Special Revenue Fund: Recycling Fund $19,400 $22,303 $2,903 HRA Fund 162,100 191,608 29,508 F. CASH AND INVESTMENTS 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. 43 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Investments are stated at fair value, based upon quoted market prices. 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. Restricted assets represent cash held by a fiscal agent which is restricted for bond debt service payments for the Liquor Revenue Bonds. 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. 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, 2009 are planned to be eliminated in 2009. 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 J). Because utility bills are considered liens on property, no estimated uncollectible amounts are established. Accounts receivable (from developers) have been reported net of an estimated uncollectible amount of $2,128,314 on the government -wide financial statements. Developers receivable are fully offset by deferred revenue in the governmental fund financial statements. 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. 44 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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 revenue because they are not available to finance current expenditures. I. MARKET VALUE HOMESTEAD CREDIT Property taxes on residential agricultural homestead property (as defined by State Statutes) are partially reduced by market value homestead credit (MVHC). This credit is paid to the City by the State in lieu of taxes levied against homestead property. The State remits this credit through installments each year. The credit is recognized as revenue by the City at the time of collection. J. SPECIAL ASSESSMENT REVENUE RECOGNITION Special assessments are levied against benefited properties for the cost or a portion of the cost of special assessment improvement projects in accordance with State Statutes. These assessments are collectible by the City over a term of years usually consistent with the term of the related bond issue. Collection of annual installments (including interest) is handled by the County Auditor in the same manner as property taxes. Property owners are allowed to (and often do) prepay future installments without interest or prepayment penalties. 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. 45 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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 revenues. K. INVENTORIES GOVERNMENTALFUNDS The original cost of materials and supplies has been recorded as expenditures at the time of purchase. These funds do not maintain material amounts of inventories. PROPRIETARY FUNDS Inventories of the Proprietary Funds are stated at weighted average cost, which approximates market, using the first -in, first -out (FIFO) method. L. 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. M. CAPITAL ASSETS Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, bridges, sidewalks, and similar items), 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 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. 12 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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, 2009, no interest was capitalized in connection with construction in progress. Property, plant and equipment of the primary government, as well as the component units, are depreciated using the straight -line method over the following estimated useful lives: Assets Buildings and structures 5 — 40 years Furniture, fixtures and equipment 3 — 20 years Distribution and collection systems 20 — 50 years Streets 20 — 50 years Storm sewers 25 years N. 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, Accountingfor 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. O. LONG -TERM OBLIGATIONS In the govemment -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 assets. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds. Bonds payable are reported net of the applicable bond premium discount. Bond issuance costs are reported as deferred charges. In the governmental fund financial statements, governmental funds recognize bond premiums and discounts, as well as bond issuance costs, 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. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. P. FUND EQUITY In the fund financial statements, governmental funds report reservations of fund balance for amounts not appropriable for expenditure or legally segregated for a specific future use. Designated fund balances represent tentative plans for future use of financial resources. 47 L CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Q. 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. R. 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. S. RECLASSIFICATIONS Certain amounts presented in the prior year data has been reclassified in order to be consistent with the current year's presentation. T. 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 ASSETS The governmental fund balance sheet includes a reconciliation between fund balance — total governmental funds and net assets — governmental activities as reported in the government -wide statement of net assets. 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 ($36,496,942) difference is as follows: Bonds payable ($36,090,000) Accrued interest payable (632,724) Unamortized bond discounts 2,842 Unamortized bond premium (167,706) Deferred charges 467,486 Other post - employment benefits (76,840) Net adjustment to reduce fund balance - total governmental funds to arrive at net assets - govermnental activities. ($36,496,942) 48 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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 assets 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 $3,713,296 difference is as follows: Capital outlay $271,459 Construction/acquisition costs 4,789,180 Depreciation expense (1,347,343) Net adjustment to increase net changes in fund balances - total governmental funds to arrive at changes in net assets of governmental activities. $3,713,296 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 $532,289 difference is as follows: General property taxes deferred revenue: At December 31, 2008 ($84,465) At December 31, 2009 119,952 Tax increment taxes deferred revenue: At December 31, 2008 (79,407) At December 31, 2009 128,271 Loan receivable (from developers) deferred revenue: At December 31, 2008 (2,500,000) At December 31, 2009 2,500,000 Special assessments deferred revenue: At December 31, 2008 (1,737,976) At December 31, 2009 1,934,555 Due from other governmental units: At December 31, 2009 23,045 Due from developers deferred revenue: At December 31, 2009 228,314 Net adjustments to increase net changes in fund balances - total governmental funds to arrive at changes in net assets of governmental activities. $532,289 I 49 i_. CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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 assets. The details of this ($3,857,332) difference is as follows: Debt issued or incurred: Issuance of general obligation bonds ($3,965,000) Issuance of current refunding bonds ($2,855,000) Less premium (140,492) Principal repayments 3,180,000 Other post employment benefits (76,840) Net adjustment to decrease net changes in fund balances - total governmental funds to arrive at changes in net assets of governmental activities. ($3,857,332) 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 ($10,555) difference is as follows: Amortization of issuance costs, premiums, discounts $34,107 Accrued interest (44,662) Net adjustment to decrease net changes in fund balances - total governmental funds to arrive at changes in net assets of governmental activities. ($10,555) 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; 50 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 b) Issues of United States government agencies and instrumentalities as quoted by a recognized industry quotation service available to the government entity; 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, 2009, 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) Obligations of the State of Minnesota or any of its municipalities 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. Ld) 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. 51 L CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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. g) General obligation temporary bonds of the same governmental entity issued under section 429.091, subdivision 7; 469.178, subdivision 5; or 475.61, subdivision 6. As of December 31, 2009, the City had the following investments and maturities: Investment Maturities (in Years) Fair Less over Investment Type Rating Value Thant 1 -5 6 -10 10years Federal National Mortgage Assn. Notes (I) Federal Home Loan Mortgage Corp. Notes (1) Federal Farm Credit Bank REMIC Money market External investment pool - 4M Fund Brokered certificates of deposit Total AAA $679,376 AAA 1,417,752 AAA 438,368 N/A 2,421 N/A 7,854,046 N/A 2,355,395 N/A 1,272,752 7,500 $14,020,110 (I)These investments have call dates that occur in less than one year. $ - $679,376 494,036 923,716 438,368 - 2,421 7,854,046 - - - 2,355,395 - - - 1,272,752 - - $11,482,193 5438368 5494,036 $1,605,513 Total investments $14,020,110 Deposits 7,500 Petty cash 4,600 Total cash and investments $14,032,210 Following is a reconciliation of the City's cash and investment balances as of December 31, 2009: Cash and investments $13,421,752 Restricted cash and investments 155,311 Funds held in trust 455,147 $14,032,210 C. INVESTMENT RISKS The City's investment policy is to follow Minnesota State Statutes as described above which reduces the City's exposure to credit, custodial credit and interest rate risks. Specific risk information for the City is as follows: Custodial credit risk - investments — For investments in securities, custodial credit risk is the risk that in the event of a failure of the counterparty, the City will not be able to recover the value of its investment securities that are in the possession of an outside party. As of December 31, 2009, $49,135 of the City's $14,020,110 investments was uninsured and unregistered, with securities held in the City's name. As of December 31, 2009, $10,209,441 of the City's investments were invested in money markets or external investment pools. These investments are not evidenced by securities that exist in physical or book entry form, and therefore are not subject to custodial credit risk disclosures. Interest rate risk — 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 52 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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. Credit risk - The City's external investment pool investment is with the 4M fund which is regulated by Minnesota Statutes and the Board of Directors of the League of Minnesota Cities. The 4M fund is an unrated 2a7 -like pool and the fair value of the position in the pool is the same as the value of pool shares. Concentration of credit risk - 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 Mortgage Corp. Notes 18.33% Federal National Mortgage Assn. Notes 8.78% Federal Farm Credit Bank 5.67% Note RECEIVABLES Significant receivables balances not expected to be collected within one year of December 31, 2009 are as follows: 53 L- Major Funds Street water Improvement HRA HRA Filtration & Nonmajor General Debt Service Debt Service Projects Purification Funds Total Special assessments receivable $ - $1,355,932 $ - $ - $ - $ - $1,355,932 Delinquent property taxes 35,000 11,400 5,100 109,050 - 3,500 164,050 Interfund loan receivable - - - - 1,662,110 - 1,662,110 Accounts receivable 2,587,685 - - 2,587,685 $35,000 $3,955,017 $5,100 $109,050 $1,662,110 $3,500 $5,769,777 53 L- CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Governmental funds report deferred revenue in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period. Governmental funds also defer revenue recognition in connection with resources that have been received, but not yet earned. At the end of the current fiscal year, the various components of deferred revenue and unearned revenue reported in the governmental funds were as follows: Unavailable Unearned Delinquent property taxes receivable (General Fund) $76,277 $ Delinquent property taxes receivable (Street Improvement Debt Service) 24,991 Delinquent property taxes receivable (HRA Debt Service) 11,079 Delinquent property taxes receivable (Nonmajor Funds) 7,604 Delinquent TIF (HRA Debt Service Fund) 3,380 Delinquent TIF (HRA Projects Fund) 124,891 Special assessments not yet due (Street Improvement Debt Service) 1,570,150 Special assessments not yet due (Nonmajor Funds) 364,406 Accounts receivable not yet due (General Fund) 23,045 Accounts receivable not yet due (Street Improvement Projects Fund) 2,587,685 Accounts receivable not yet due (HRA Projects Fund) 140,629 Total deferred/uneamed revenue for governmental funds $4,934,137 $0 54 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Note 4 CAPITAL ASSETS Capital asset activity for the year ended December 31, 2009 was as follows: Primary Government Beginning Ending Balance Increases Decrease Balance Governmental activities: Capital assets, not being depreciated: Land $3,378,842 $ - $ - $3,378,842 Construction in progress 4,242,189 4,618,074 (1,468,902) 7,391,361 Total capital assets, not being depreciated 7,621,031 4,618,074 (1,468,902) 10,770,203 Capital assets, being depreciated: Buildings and improvements Land improvement Furniture, fixtures and equipment Streets Storm sewers Storm water Total capital assets, being depreciated Less accumulated depreciation for: Buildings and improvements Land improvement Furniture, fixtures and equipment Streets Storm sewers Storm water Total accumulated depreciation Total capital assets being depreciated - net Governmental activities capital assets - net L. 55 9,403,047 - 9,403,047 - 10,199 10,199 2,906,840 119,064 (63,650) 2,962,254 20,679,541 128,617 20,808,158 401,913 26,556 428,469 - 1,468,902 1,468,902 33,391,341 1,753,338 (63,650) 35,081,029 2,010,843 279,612 2,290,455 - 595 595 1,696,704 216,591 (47,454) 1,865,841 4,320,477 829,306 5,149,783 2,680 16,342 19,022 - 4,897 4,897 8,030,704 1,347,343 (47,454) 9,330,593 25,360,637 405,995 (16,196) 25,750,436 $32,981,668 $5,024,069 ($1,485,098) $36,520,639 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Primary Government Business -type activities: Capital assets, not being depreciated: Land Construction in progress Total capital assets, not being depreciated Capital assets, being depreciated: Buildings and improvements Furniture, fixtures and equipment Distribution and collection system Total capital assets, being depreciated Less accumulated depreciation for: Buildings and improvements Furniture, fixtures and equipment Distribution and collection system Total accumulated depreciation Total capital assets being depreciated - net Business -type activities capital assets - net Beginning Ending Balance Increases Decrease Balance $5,653 $ - $ - $5,653 705,193 1,378 (706,571) - 710,846 1,378 (706,571) 5,653 3,883,283 - 3,883,283 589,977 848,767 (9,275) 1,429,469 6,522,691 274,711 6,797,402 10,995,951 1,123,478 (9,275) 12,110,154 1,371,091 102,887 1,473,978 496,810 40,829 (9,275) 528,364 2,928,222 167,558 3,095,780 4,796,123 311,274 (9,275) 5,098,122 6,199,828 812,204 0 7,012,032 $6,910,674 $813,582 ($706,571) $7,017,685 Depreciation expense was charged to functions /programs of the primary government as follows: Governmental activities: General government $122,416 Public safety 178,850 Public works, including depreciation of general infrastructure assets 1,023,274 Parks and recreation 22,803 Total depreciation expense - governmental activities 1,347,343 Business -type activities: Liquor Water Sewer Total depreciation expense - business -type activities Total depreciation expense 56 76,114 150,986 84,174 311,274 $1,658,617 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 At December 31, 2009, the City had construction project contracts in progress. The commitments related to the remaining contract balances are summarized as follows: Project 2009 Street Improvements Note 5 LONG -TERM DEBT Contract Remaining Amount Commitment $1,908,755 $96,674 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, 2009. 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. PUBLIC FACILITIES LEASE REVENUE BONDS These bonds issued are being used to finance renovation of public works facilities and the construction of a fire station/hall. These bonds were issued by the Housing and Redevelopment Authority and are payable from annual transfers from the General Fund derived from a special general property tax levy. These bonds are deemed a direct obligation of the City, although issued by the HRA, and are supported by the full faith and credit of the City under a lease revenue indenture with the HRA. 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. 57 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 FANNIE MAE LOAN PAYABLE The City has entered into a non - revolving line of credit agreement with Fannie Mae. The line of credit was for a total of $3,350,000; proceeds were used to fund the acquisition of property in the Apache Plaza area related to the Silver Lake Village development. The City disbursed the funds to the developer who applied the funds towards purchase of property and other costs associated with the redevelopment project. The project is primarily for residential purposes. The loan was for a period of 36 months and was set to mature on August 27, 2007; however, the City extended the loan period to October 1, 2010. Interest on the loan is payable quarterly. The interest rate is variable based on the three month LIBOR (as published in the Wall Street Journal) plus 175 basis points. In addition, the interest rate will be reset quarterly on the first day of each calendar quarter. It is anticipated the loan will be repaid from proceeds of tax increment bonds to be issued in future years. Terms of the note agreement constitutes an unconditional general obligation of the City for which its full faith and credit and taxing power are pledged. In addition, the City pledges future tax increment to be derived from the tax increment district for payment of the note. The City has recorded a receivable from the developer for the amount of the line of credit. Principal and interest on the line of credit is currently being paid by the City and a receivable is recorded from the developer (fully offset with deferred revenue). The City has a mortgage, assignment of leases and rents and fixture financing statement dated September 10, 2004 which obliges the developer to reimburse the City for the interest on the loan and to reimburse the City for the repayment of the loan. W.i r f i i l l CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 GOVERNMENTAL ACTIVITIES As of December 31, 2009, the long -term debt of the financial reporting entity consisted of the following: G.O. Improvement Bonds: G.O. Improvement Bonds, Series 2001 B G.O. Improvement Bonds, Series 2002A G.O. Improvement Bonds, Series 2003A G.O. Improvement Bonds, Series 2004A G.O. Improvement Bonds, Series 2005A G.O. Improvement Bonds, Series 2006A G.O. Improvement Bonds, Series 2007A G.O. Improvement Bonds, Series 2009A G.O. Improvement Refunding Bonds, Series 2009B Total improvement bonds G.O. Street Reconstruction Bonds: G.O. Street Reconstruction Bonds, Series 2008A G.O. Tax Increment Bonds: G.O. Taxable Tax Increment Refunding Bonds, Series 2003E Tax Increment Revenue Bonds: Tax Increment Revenue Bonds, Series 2006B Tax Increment Revenue Bonds, Series 2007 Total tax increment revenue bonds G.O. Revenue Bonds: G.O. Sturm Sewer Refunding Revenue Bonds, Series 2009A G.O. Tax Abatement Bonds: G.O. Tax Abatement Bonds, Series 2001 A 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 Public Facilities Lease Revenue Bonds: Public Facilities Lease Revenue Bonds, Series 2003 Total - bonded indebtedness Fannie Mae loan payable Compensated absences payable Total City indebtedness - governmental activities 59 IL 2.00- 4.15% 4/1/2003 2/1/2024 Variable 81272004 10 /1/2010 5,530,000 4,550,000 38,755,000 34,040,000 3,350,000 2,050,000 - 660,675 $42,105,000 $36,750,675 Final Interest Issue Maturity Original Payable Rates Date Date Issue 12131109 4.00 -5.00% 4/1/2001 2/1/2010 $1,160,000 $660,000 3.00 -5.00% 3/1/2002 2/1/2010 1,500,000 965,000 1.60 -4.20% 4/16/2003 2/1/2019 1,700,000 1,235,000 2.00 -4.60% 6/1/2004 2/1/2020 1,790,000 1,370,000 2.70 -4.15% 4/1/2005 2/1/2021 1,695,000 1,420,000 4.00% 4/1/2006 2/12022 3,190,000 2,745,000 3.54.1% 4/24/2007 2/1/2023 2,050,000 1,950,000 3.00 -4.00% 5/712009 2/1/2025 2,630,000 2,630,000 2.50- 3.00% 12/16/2009 2/12018 1,335,000 1,335,000 17,050,000 14,310,000 3.0 -4.0% 6/5/2008 2/1/2024 1,910,000 1,910,000 3.00 -5.00% 11/52003 2/1/2013 1,170,000 710,000 5.00 -5.62% 8/1/2006 8/12031 4,975,000 4,785,000 4.30 -5.00% 4/17/2007 2/1/2031 4,640.000 4,560,000 9,615,000 9,345,000 3.004.00% 5/712009 2/1/2015 825,000 825,000 4.00 -4.80% 2/1/2001 2/1/2010 625,000 360,000 3.00 -4 -00% 5/72009 2/1/2025 1,335,000 1,335,000 2.50- 3.00% 12/10/2009 2/1/2016 310,000 310,000 2,270,000 2,005,000 3.00 -4.00% 5/712009 2/1/2015 385,000 385,000 2.00- 4.15% 4/1/2003 2/1/2024 Variable 81272004 10 /1/2010 5,530,000 4,550,000 38,755,000 34,040,000 3,350,000 2,050,000 - 660,675 $42,105,000 $36,750,675 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 BUSINESS -TYPE ACTIVITIES Business -type activities Revenue Bonds: Liquor Revenue Bonds G.O. Water and Sewer Revenue Bonds, Series 2003B Total revenue bonds Compensated absences Total City indebtedness - business -type activities Total City indebtedness Annual debt service requirements to maturity for long -term debt are as follows: Final Governmental Activities $165,000 Interest Maturity Original Payable Rates Date Date Issue 12/31/09 5.50 -5.75% 8/1/1997 1/1/2012 $940,000 $185,000 2.00 -4.45% 4/16/2003 2/112024 2,200,000 1,815,000 14,925 2013 3,140,000 2,000,000 190,000 4,750 135,000 10,875 2014 133,864 325,228 - 3,140,000 2,133,864 6,675 2015 1,000,000 289,824 $45,245,000 $38,884,539 Annual debt service requirements to maturity for long -term debt are as follows: 2010 $2,235,000 Governmental Activities $165,000 Year Ending December 31 G.O. Improvement Bonds Principal Interest G.O. Tax Increment Bonds Principal Interest G.O. Revenue Bonds Principal Interest 2010 $2,235,000 $499,506 $165,000 $29,570 $130,000 $28,575 2011 940,000 426,845 175,000 22,168 130,000 18,900 2012 970,000 394,447 180,000 13,865 135,000 14,925 2013 1,005,000 360,509 190,000 4,750 135,000 10,875 2014 1,030,000 325,228 - - 145,000 6,675 2015 1,000,000 289,824 - - 150,000 2,250 2016 1,040,000 253,965 - - - - 2017 1,070,000 216,146 - - - - 2018 1,035,000 177,185 - - - - 2019 960,000 138,723 - - - - 2020 845,000 102,972 - - - - 2021 730,000 71,834 - - - - 2022 615,000 45,411 - - - - 2023 390,000 25,559 - - - - 2024 220,000 13,400 - - - - 2025 225,000 4,500 - - - - Total $14,310,000 $3,346,054 $710,000 $70,353 $825,000 $82,200 .1 L. i CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Governmental Activities Tax Increment All Other General Year Ending Revenue Bonds Lease Revenue Bonds Fannie Mae Loan Obligation Bonds December 31 Principal Interest Principal Interest Principal Interest"' Principal Interest 2010 $180,000 $482,934 $215,000 $162,285 $2,050,000 $ - $430,000 $165,178 2011 190,000 474,421 225,000 155,685 - - 210,000 131,414 2012 205,000 465,268 235,000 148,785 - - 285,000 124,226 2013 225,000 455,080 245,000 141,462 - - 295,000 115,645 2014 245,000 443,743 255,000 133,585 - - 295,000 106,795 2015 260,000 431,549 265,000 125,000 - - 305,000 97,664 2016 280,000 418,368 280,000 115,595 - - 255,000 88,976 2017 300,000 403,790 295,000 105,459 - - 210,000 81,251 2018 330,000 387,949 310,000 94,565 - - 215,000 73,651 2019 350,000 370,568 325,000 82,814 - - 225,000 65,681 2020 385,000 351,903 340,000 70,175 - - 235,000 57,161 2021 405,000 331,684 360,000 56,430 - - 245,000 48,071 2022 440,000 310,039 380,000 41,630 - - 255,000 38,419 2023 470,000 286,157 400,000 25,730 - - 270,000 28,129 2024 500,000 260,437 420,000 8,715 - - 280,000 17,200 2025 535,000 233,125 - - - - 290,000 5,800 2026 575,000 203,938 - - - - - - 2027 615,000 172,453 - - - - - - 2028 655,000 138,828 - - - - - - 2029 700,000 103,079 - - - - - - - 2030 745,000 64,906 - - - - - - 2031 755,000 19,547 - - - Total $9,345,000 $6,809,762 $4,550,000 $1,467,915 $2,050,000 s0 S4,300,000 $1,245,261 CuInterest rate is reset quarterly on the first day of each calendar quarter (January 1, April I, July 1 and October 1) Business -Type Activities Year Ending Revenue Bonds December 31 Principal Interest 2010 $175,000 $82,846 2011 185,000 74,801 2012 95,000 66,122 2013 95,000 62,703 2014 100,000 59,094 2015 105,000 55,197 2016 110,000 51,031 2017 120,000 46,411 2018 125,000 41,358 2019 130,000 36,018 2020 135,000 30,386 2021 145,000 24,364 2022 150,000 17,948 2023 160,000 11,125 2024 170,000 3,782 Total $2,000,000 $663,186 It is not practicable to determine the specific year for payment of long -term accrued compensated absences. 61 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 CHANGE IN LONG -TERM LIABILITIES Long -term liability activity for the year ended December 31, 2009, was as follows: Governmental activities: Bonds payable: G.O. improvement debt G.O. street reconstruction bonds G.O. tax increment bonds G.O. revenue bonds G.O. state aid street bonds G.O. tax abatement bonds Tax increment revenue bonds G.O. public facilities lease revenue bonds Total bonds payable - governmental activities Fannie Mae loan payable Compensated absences Total governments] activities long -term liabilities Business -type activities: Revenue bonds Compensated absences Total business -type activities long -term liabilities Beginning Ending Due Within Balance Additions Reductions Balance One Year $11,105,000 $3,965,000 ($760,000) $14,310,000 $2,235,000 1,910,000 - - 1,910,000 100,000 870,000 - (160,000) 710,000 165,000 945,000 825,000 (945,000) 825,000 130,000 460,000 385,000 (460,000) 385,000 70,000 400,000 1,645,000 (40,000) 2,005,000 360,000 9,505,000 - (160,000) 9,345,000 180,000 4,755,000 (205,000) 4,550,000 215,000 29,950,000 6,820,000 (2,730,000) 34,040,000 3,455,000 2,500,000 - (450,000) 2,050,000 2,050,000 609,318 323,111 (271,754) 660,675 198,137 $33,059,318 $7,143,111 ($3,451,754) $36,750,675 $5,703,137 $2,165,000 $ - ($165,000) $2,000,000 $175,000 115,404 76,578 (58,118) 1335864 40,146 $2,280,404 $76,578 ($223,118) $2,133,864 $215,146 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, 2009 is backed by the full faith and credit of the City, including improvement and revenue bond issues, except for the 1997 Liquor Revenue Bonds, the Public Facilities Lease Revenue Bonds of 2003, and the Tax Increment Bonds of 2006B and 2007. Delinquent assessments receivable at December 31, 2009 totaled $34,414. 62 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 PLEDGED REVENUE Future revenue pledged for the payment of long -term debt is as follows: Bond Issue U. of Pmaeds Revenue Pledged Remaining Nncipnl and hu. cu ncro Year Type Percent of Tend Beat Service Ddt service as a %or Nel Revenues Term of PIMge Principal and trams[ Paid Pledged Revenue Reed M 20000 Stem Aid Stan State aid slreetpr.jcc, of 2000 MSA allamenu 100% NIA 2000 -20W S - 5475,634 5162,568 2009A Steel Aid Strcn Refunding Refunding of 20008 Stem Aid Socetbonds MSA.Nutmeats 100% N/A 2009 -2015 421,370 - 2001A Tax Abatement ccntml Park lmprovemans Tax abatement nvmue 100% WA 2001 -2010 42070 52,032 35,90) 20NA Tax Abammnm Emerald Park improvements Tax abmemcnt— nue IOVA NIA 2009 -2025 1,808,726 - - 2009B Tax Abamment Refunding Refunding of 2001 A Tax Abaremee, Bonds Tax oba¢ment —ease 100% NIA 2009 -2016 338,969 - - 2001 B Road Improvements Sxcd..uuxNsewerof 2001 i anosemm6 Spaialasseasmenu 31% N/A 2001 -2010 625,410 102,358 20,112 2002A Read lmpmvemenu Suen impmveres. of 2002 Special assessments 22% N/A 2002 -2010 982,640 132,080 19,988 2003A Road lmprovemcnts Street inmrovemcnts 0172003 Spccizl assessments 21% N/A 2003 -2019 1,496,013 148,140 39.521 20MA Read lmprovenins Street improvements of 2004 Specialasscssments 23% N/A 2004 -2020 1,211,994 163,694 30.487 2005A Road Impmvcmems Street and nano sewn imyrovemcnuof2005 Spouxt assessments 23% N/A 2005 -2021 1,782.354 150,058 35.863 2006A Read Improvements Street and emmt sewer improvements of 2006 Special assessments 40% WA 20W -2022 2,324.600 61,100 35.913 2002A Road lmpmvcmevu Strca and smnn sewer Special assessments 29% N/A 2002-2023 2,533,191 175,918 49.510 2009A Road ln,neocc ras 2009 road rcconsurunion Special assessmems 21% NIA 2009 -2025 3,508.884 - - 2009B Road lmposemmts Refunding Refunding of20Ol B and 2002A Road lmpmvemem Bonds Special osessinems 2% NIA 2009 -2018 1.492.269 - - 2008A Sreet Reconswction Bonds Silver Lake Rood Improvomenx Tax levy 98% NIA 2008 -2024 2,525,238 82.853 220.123 2000A Smtm Sewer RCvcnuc Improvements msmno sewer wilily Unh, charges 100% NIA 2WO -2009 - 985,103 167.293 2009A Smrm Sewer RcfundinesRevenuc Refunding of 20WA Simi Sewer Revenue Utility charges 100% N/A 2009 -2015 902,200 - 63 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 CURRENT REFUNDINGS $1,210,000 GENERAL OBLIGATION CURRENT REFUNDING BONDS, SERIES 2009A On May 7, 2009, the City issued the $1,210,000 General Obligation Current Refunding Bonds, Series 2009A with an average interest rate of 3.505% to refund the 2010 through 2015 maturities aggregating $1,220,000 principal amount of the City's $1,610,000 General Obligation Storm Sewer Revenue Bonds, Series 2000A and the $950,000 General Obligation State -Aid Street Bonds, Series 2000B with an average interest rate of 5.454% and 5.392 %, respectively. The net proceeds of $1,238,335 (after payment of $16,023 of issuance costs) was used to retire all outstanding principal of the refunded bonds on June 1, 2009 (the call date). The City refunded the 2000A Bonds to reduce its total debt service payments over the next six years by $88,695 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $82,963. The City refunded the 2000B Bonds to reduce its total debt service payments over the next six years by $42,210 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $37,930. $1,645,000 GENERAL OBLIGATION REFUNDING BONDS, SERIES 2009B On December 16, 2009, the City issued the $1,645,000 General Obligation Refunding Bonds, Series 2009B with an average interest rate of 2.0527% to refund on February 1, 2010 the 2011 through 2018 maturities aggregating $1,770,000 principal amount of the City's $625,000 General Obligation Tax Abatement Bonds, Series 2001 A, $1,160,000 General Obligation Improvement Bonds, Series 2001 B, and $1,500,000 General Obligation Improvement Bonds, 2002A with an average interest rate of 4.487 %, 4.713% and 4.747 %, respectively. The net proceeds of $1,656,281 (after payment of $33,397 of issuance 64 Revenue Pled d C _,Year Percent f Deld service Principal Pledged Remaining Uac of Total .aY Of Tenn of Principal and lnleresl Revenue Bond lawc Proceeds Type Debt Servicc Net Revenue Pledge and lntercq Paid Receiver! 2003E TIF ReNndmg of 1996 W bonds, TIF 100% N/A 2003 -2013 780,353 19,235 337,230 mdcvdopmctn of Super Valu 20068 TIF Redevelopmentafpejed TIF IWA N/A 2036 -2031 8,449434 345,300 1.357,649 ante M3 and TIF 3 -5 2007 TIF Redctdopmvml TIF 100% N/A 2007 -2031 7,705,328 305,414 305,414 2003 Le. Reveuac Acquire, coratmct and fomish Lease revroue 1006 N/A 2003-2024 6,017,915 373,073 394,045 public works and fire facility 1997 Liquor Revenue New liquor atone Liquor store revenue 100% 206 1997- 2012 201,100 100,525 100.525 2003BG.0.Walcr 1Sewer Revenuc Water and newer utility Chirgca for arnica 100% 73% 2003.2034 1,231,043 154.706 154,706 impmvcmcnta CURRENT REFUNDINGS $1,210,000 GENERAL OBLIGATION CURRENT REFUNDING BONDS, SERIES 2009A On May 7, 2009, the City issued the $1,210,000 General Obligation Current Refunding Bonds, Series 2009A with an average interest rate of 3.505% to refund the 2010 through 2015 maturities aggregating $1,220,000 principal amount of the City's $1,610,000 General Obligation Storm Sewer Revenue Bonds, Series 2000A and the $950,000 General Obligation State -Aid Street Bonds, Series 2000B with an average interest rate of 5.454% and 5.392 %, respectively. The net proceeds of $1,238,335 (after payment of $16,023 of issuance costs) was used to retire all outstanding principal of the refunded bonds on June 1, 2009 (the call date). The City refunded the 2000A Bonds to reduce its total debt service payments over the next six years by $88,695 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $82,963. The City refunded the 2000B Bonds to reduce its total debt service payments over the next six years by $42,210 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $37,930. $1,645,000 GENERAL OBLIGATION REFUNDING BONDS, SERIES 2009B On December 16, 2009, the City issued the $1,645,000 General Obligation Refunding Bonds, Series 2009B with an average interest rate of 2.0527% to refund on February 1, 2010 the 2011 through 2018 maturities aggregating $1,770,000 principal amount of the City's $625,000 General Obligation Tax Abatement Bonds, Series 2001 A, $1,160,000 General Obligation Improvement Bonds, Series 2001 B, and $1,500,000 General Obligation Improvement Bonds, 2002A with an average interest rate of 4.487 %, 4.713% and 4.747 %, respectively. The net proceeds of $1,656,281 (after payment of $33,397 of issuance 64 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 costs) along with City funds of $115,000 was used to retire all outstanding principal of the refunded bonds on February 1, 2010 (the call date). The City refunded the 2001A Bonds to reduce its total debt service payments over the next seven years by $29,394 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $27,490. The City refunded the 2001B Bonds to reduce its total debt service payments over the next eight years by $63,901 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $53,080. The City refunded the 2002A Bonds to reduce its total debt service payments over the next nine years by $100,527 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $83,742. Note 6 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 Public Employees Retirement Fund (PERF) and the Public Employees Police and Fire Fund (PEPFF) which are cost - sharing, multiple - employer retirement plans. These plans are established and administered in accordance with Minnesota Statutes, Chapters 353 and 356. PERF members belong to either the Coordinated Plan or the Basic Plan. Coordinated Plan members are covered by Social Security and Basic Plan members are not. All new members must participate in the Coordinated Plan. All police officers, firefighters and peace officers who qualify for membership by statute are covered by the PEPFF. PERA provides retirement benefits as well as disability benefits to members, and benefits to survivors upon death of eligible members. Benefits are established by State Statute, and vest after three years of credited service. The defined retirement benefits are based on a member's highest average salary for any five successive years of allowable service, age, and years of credit at termination of service. 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 PERF and PEPFF. That report may be obtained on the internet at www.mnpera.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. M k. CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 B. FUNDING POLICY Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. These statutes are established and amended by the state legislature. The City makes annual contributions to the pension plans equal to the amount required by state statutes. PERF Basic Plan members and Coordinated Plan members were required to contribute 9.10% and 6.0 %, respectively, of their annual covered salary in 2009. PEPFF members were required to contribute 9.4% of their annual covered salary in 2009. The City is required to contribute the following percentages of annual covered payroll: 11.78% for Basic Plan PERF members, 6.75% for Coordinated Plan PERF members, and 14.1 % for PEPFF members. Employer contribution rates for the Coordinated Plan PERF members will increase to 7% effective January 1, 2010. The City's contributions to the Public Employees Retirement Fund for the years ending December 31, 2009, 2008 and 2007 were $115,915, $106,534 and $96,724, respectively. The City's contributions to the Public Employees Police and Fire Fund for the years ending December 31, 2009, 2008 and 2007 were $315,447, $272,527 and $235,132, respectively. The City's contributions were equal to the contractually required contributions for each year as set by state statute. C. PUBLIC EMPLOYEES RETIREMENT ASSOCIATION (PERA) - DEFINED CONTRIBUTION PLAN DESCRIPTION Five 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 four - tenths 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. 0 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Total contributions made by the City during fiscal year 2009 were: Amount Employees Employer Percentage of Covered Payroll Required Employees Employer Rates PEDCP $1,613 $1,613 5.00% 5.00% 5.00% D. SINGLE EMPLOYER PERS PLAN DESCRIPTION — ST. ANTHONY FIREFIGHTER'S RELIEF ASSOCIATION All members of the St. Anthony Fire Department are covered by a defined benefit plan administered by the St. Anthony Firefighter's 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 Firefighter's Relief Association, 3505 Silver Lake Road, St. Anthony, Minnesota, 55418. 67 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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 $32,411, is recorded as a revenue and an expenditure in the City's 2009 financial statements. The City's annual pension cost for 2008 (2009 is unavailable) and related information for the plan is as follows: Annual pension cost $44,755 Contributions made: City $6,000 State aid $38,755 Actuarial valuation date 12/31/08 Actuarial cost method Entry age normal Amortization method Level dollar closed Remaining amortization period: Normal cost 20 years Prior service cost 5 years Asset valuation method Market 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 M. C i CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Three year trend information (information for December 31, 2009 is not available): Year Ending 12/31/2008 12/31/2007 12/31/2006 Three Year Trend Information Annual Percentage Net Pension of APC Pension Cost (APC) Contributed Obligation $44,755 51,604 61,764 100% $ 100% 100% REQUIRED SUPPLEMENTARY INFORMATION — SCHEDULE OF FUNDING PROGRESS Note 7 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 6, 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. 13419 Assets in Excess of Pension Actuarial Actuarial Actuarial (Unfunded) Benefit Valuation Value of Accrued Accrued Funded Per Year Date Assets Liability Liability Ratio of Service 12/31/2008 $735,213 $866,712 ($131,499) 84.83% $2,500 12/31/2007 1,072,177 767,320 304,857 139.73% 2,300 12/31/2006 977,084 659,904 317,180 148.06% 2,000 Note 7 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 6, 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. 13419 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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, 2009 through December 31, 2009 monthly premiums paid for Police or Firefighters disabled in the line of duty are: Open Access Distinctions III $1,150 deductible plan HSA 3 for Free Plan 70 Employee Employee Plus Spouse $577 $1,227 537 1,146 407 869 516 1,097 r CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 I C. PARTICIPANTS As of the actuarial valuation dated January 1, 2008, participants consisted of: Retirees and beneficiaries currently purchasing health insurance through the City 5 Disabled police and firefighters 1 Active employees 55 Total 61 Participating employers 1 D. FUNDING POLICY 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, 2009, was calculated as follows: Annual required contribution (ARC) $116,485 Interest on net OPEB obligation - Adjustment to ARC - Annual OPEB cost 116,485 Contributions made during the year (27,350) Increase (decrease) in net OPEB obligation 89,135 Net OPEB obligation - beginning of year Net OPEB obligation - end of year $89,135 l_ t L 71 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Interfund transfers: Transfer out Governmental activities: General Fund HRA Capital Project Filteration Fund Business -type activities: Utility Fund Liquor Fund Total transfers Transfer In Governmental Activities Major Funds HRA Nonmajor General Debt Governmental Fund Service Fund Total $ $ - $76,100 $76,100 653,474 - 653,474 50,000 - 50,000 100,000 78,000 - 78,000 282,300 117,700 400,000 $410,300 $653,474 $243,800 $1,307,574 All of the 2009 transfers are considered routine and consistent with previous practices. Note 9 DEFICIT FUND BALANCES /NET ASSETS The City has deficit fund balances /net assets at December 31, 2009 as follows: Fund Amount Major funds: Street improvement project $82,976 Stormwater improvement 29,013 Nonmajor funds: HRA fund 57,359 Revolving improvement 52,850 2010 street improvement 98,047 Internal service fund 530,187 These deficits will be eliminated by charges to other funds. 74 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Note 10 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. 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 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, 2009. 75 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 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. E. PAY -AS- YOU -GO TAX INCREMENT The City has one tax increment pay -as- you -go agreement. The agreement is not a general obligation of the City and is payable solely from available tax increments. Accordingly, this agreement is not reflected in the financial statements of the City. Details of the pay -as- you -go are as follows: TIF District #3 -5, Landings at Silver Lake Village: The pay -as- you -go agreement for TIF District #3 -5 provides for the payment of 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 payment will be completed February 1, 2032. F. ARBITRAGE The City issued greater than $5 million of bonds in the years 2003, 2006 and 2007 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 11 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, 2009. 76 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Note 12 DESIGNATIONS AND RESERVATIONS OF FUND EOUITY At December 31, 2009 and 2008, the City had designated and reserved portions of its various fund equities through legal restriction and City Council authorization. A summary of such designations is as follows: Governmental Activities Major Funds: General Fund: Reserved for prepaid items Designated for working capital Designated for self insurance reserve Designated for unemployment reserve Total General Fund Water Filtration & Purification: Reserved for prepaid items Street Improvements Debt Service Fund: Reserved for debt service HRA Debt Service Fund: Reserved for debt service Street Improvement Projects Fund: Designated for improvement projects HRA Projects Fund: Reserved for tax increment projects Storm Water Improvement Designated for capital improvements /accquisition Silver Lake Road Project Fund Designated for capital improvemrnt/acquisition 2009 Street Improvement Project Fund Designated for capital improvements Nonmajor Funds: Reserved for debt service Reserved for prepaid items Designated for community center operations Designated for police activities Designated for recycling program Designated for housing and redevelopment authority Designated for fire activities Designated for capital improvements/accquisition Designated for building maintenance Total nonmajor funds Total reservations and designations of fund balance L December 31, 2009 2008 148 133 $53,849 $51,205 1,383,584 1,296,299 60,000 65,000 28,000 28,000 1,525,433 1,440,504 301,013 215,903 661 555 1,591,123 626,759 2,660,731 1,390,316 1,234,283 1,063,179 453,206 1,241,212 872,653 95,104 119,461 356,162 116,734 1,127,314 272,533 148 133 64,974 52,246 68,276 70,781 26,134 - - 13,058 1,443 290 301,013 215,903 1,821 1,815 1,591,123 626,759 $8,489,638 $6,298,438 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Business -Type Activities Enterprise Funds: Reserved for debt service Designated for interfund loan Total reserves and designations of enterprise fund net assets Note 13 CONDUIT DEBT OBLIGATION December 31, 2009 2008 $120,000 $120,000 185,000 219,000 $305,000 $339,000 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, 2009, there were six series of Multi - family Housing Revenue Bonds outstanding. The aggregate issued amount was $54,735,000, including two 1996 issues totaling $7,200,000, a 2002 issue of $7,775,000 and three 2004 issues of $39,760,000. The balance outstanding at December 31, 2009 is unavailable. Note 14 PUBLIC FACILITIES LEASE In 2003 the City, via the Housing and Redevelopment Authority (HRA), issued $5,530,000 of Public Facilities Lease Revenue Bonds. Proceeds from these bonds were utilized to finance the renovation of public works facilities and construction of a new fire station/hall. Bond proceeds were placed into an escrow account. The City received reimbursement from the trustee as costs are incurred by the City. To assist in financing the project the City transferred $157,000 from its Water and Sewer Fund in 2003. In connection with this bond issue, the City entered into a lease agreement with the HRA for the use of these facilities. Terms of the lease require the City to pay rents annually in amounts to satisfy the debt service requirements related to the bond issued by the HRA. In addition, the City advanced $437,360 to the bond trustee to initially fund the bond reserve requirements of the agreement. 78 0 U I L L- CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 The net book value of assets under this lease agreement at December 31, 2009 are as follows Land $1,294,541 Buildings and structures 4,887,598 Furniture, fixtures and equipment 30,902 Accumulated depreciation (907,324) Net $5,305,717 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: 2009 Annual Lease Initial Lease Adjustment Expiration Automatic Lessee Amount Factor Date Renewals Sprint Spectrum $20,374 4% 2/27/14 3 -5 year terms Future minimum lease payments are as follows: 2010 $21,189 2011 22,037 2012 22,918 2013 23,835 2014 24,788 2015 -2019 139,631 2020 -2024 169,882 2025 -2029 165,636 Total $589,916 79 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2009 Note 16 LEGAL DEBT MARGIN The City is subject to a statutory limitation by the State of Minnesota for bonded indebtedness payable principally from property taxes. The City's legal debt margin for 2009 is computed as follows: Amount of debt applicable to debt limit Total bonded debt December 31, Less nonapplicable debt: 2009 Market value: (2,825,000) Ramsey County $293,617,900 Hennepin County 532,318,700 Total market value 825,936,600 Debt limit percentage 3,00% Debt limit 24,778,098 Amount of debt applicable to debt limit Total bonded debt 36,040,000 Less nonapplicable debt: Revenue bonds (liquor, water, sewer, storm sewer) (2,825,000) State aid street bonds (385,000) Tax abatement bonds (2,005,000) Improvement bonds (14,310,000) Tax increment bonds (10,055,000) Cash and investments in applicable debt service funds (1,049,796) Total amount of debt applicable to debt limit 5,410,204 Legal debt margin $19,367,894 Note 17 SUBSEOUENT EVENTS The City issued the $1,375,000 General Street Reconstruction Bonds, Series 2010A on April 27, 2010 to finance street reconstruction. Note 18 RECENTLY ISSUED ACCOUNTING STANDARDS The Governmental Accounting Standards Boards (GASP) recently approved the following statements which were not implemented for these financial statements: Statement No. 51 Accounting and Financial Reporting for Intangible Assets. The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2009. Statement No. 53 Accounting and Financial Reporting for Derivative Instruments. The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2009. Statement No. 54 Fund Balance Reporting and Governmental Fund Type Definitions. The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2010. The effect these standards may have on future financial statements is not determinable at this time. Sill REQUIRED SUPPLEMENTARY INFORMATION Si CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 1 of 5 For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 Expenditures: 2009 2008 General government: Budgeted Amounts Actual Variance with Actual Original Final Amounts Final Budget Amounts Revenues: Current: General property taxes $2,819,505 $2,819,505 $2,786,631 ($32,874) $2,625,557 Licenses and permits 233,500 233,500 358,381 124,881 247,878 Intergovernmental: Other services and charges 24,600 22,100 16,726 / 5,374 Federal: Total mayor and council 61,300 58,800 52,780 6,020 Police grants - - 30,171 30,171 19,650 State: Market value homestead credit 136,506 1,506 1,506 - 69,772 Police aid 155,000 155,000 168,952 13,952 153,492 Fire aid 52,500 52,500 32,411 (20,089) 40,177 Municipal state aid - street maintenance 30,000 30,000 36,845 6,845 29,449 PERA aid 7,200 7,200 7,197 (3) 7,197 Police grants - - 6,034 6,034 1,075 County: Street maintenance 25,200 25,200 29,535 4,335 24,659 Other - - 5,539 5,539 1,035 Local: School District DARE 14,500 14,500 14,500 - 14,500 Other 2,500 2,500 5,512 3,012 25,585 Total intergovernmental 423,406 288,406 338,202 49,796 386,591 Charges for services: Police contracts 1,156,500 1,156,500 1,156,500 - 1,096,200 Cable franchise fees 75,400 75,400 92,309 16,909 92,606 Antenna rental - water tower 19,400 19,400 20,374 974 19,591 Administrative charges 28,600 28,600 28,600 - 27,500 Other 12,789 12,789 10,414 (2,375) 9,581 Total charges for services 1,292,689 1,292,689 1,308,197 15,508 1,245,478 Fines and forfeits 107,000 107,000 112,068 5,068 114,062 Contributions and donations 1,500 1,500 1,450 (50) 2,450 Other revenue: Investment income 16,800 16,800 2,434 (14,366) 18,666 Miscellaneous - other 30,000 30,000 38,302 8,302 33,241 Total other revenue 46,800 46,800 40,736 (6,064) 51,907 Total revenues 4,924,400 4,789,400 4,945,665 156,265 4,673,923 Expenditures: General government: Mayor and council: Current: Personal services 34,700 34,700 35,816 (1,116) 36,489 Materials and supplies 2,000 2,000 238 1,762 632 Other services and charges 24,600 22,100 16,726 / 5,374 22,608 Total mayor and council 61,300 58,800 52,780 6,020 59,729 82 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 2 of 5 For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 83 2009 2008 Budgeted Amounts Actual Variance with Actual Original Final Amounts Final Budget Amounts Expenditures: (continued) General government: (continued) Intergovernmental relations: Current: Contracted services $27,500 $26,300 $21,903 $4,397 $24,505 Public relations /cable: Current: Personal services 11,600 11,600 13,560 (1,960) 10,936 Supplies 700 700 170 530 - Other services and charges 15,700 15,700 24,509 j (8,809) 23,981 Total public relations /cable 28,000 28,000 38,239✓ (10,239) 34,917 General management: Current: Personal services 89,300 89,300 97,252 (7,952) 96,477 Supplies 400 400 151 249 163 Other services and charges 11,800 10,300 4,997 5,303 8,531 Total general management 101,500 100,000 102,400✓ (2,400) 105,171 Elections: Current: Personal services 25,000 25,000 15,184 9,816 26,979 Supplies 1,500 1,500 692 808 1,350 Other services and charges 6,800 6,200 3,383 / 2,817 4,460 Total elections 33,300 32,700 19,259✓ 13,441 32,789 Finance: Current: Personal services 102,400 102,400 95,017 7,383 91,033 Supplies 16,000 15,000 8,491 6,509 9,622 Other services and charges 164,000 163,000 160,967 2,033 171,101 Total finance 282,400 280,400 264,475 15,925 271,756 Assessing: Current: Personal services 6,600 6,600 3,092 3,508 2,934 Supplies 400 400 38 362 43 Other services and charges 44,900 42,400 39,818 2,582 37,756 Total assessing 51,900 49,400 42,948 6,452 40,733 Legal: Current: Contracted services 90,000 85,000 67,013 17,987 68,975 Planning and zoning: Current: Supplies 400 400 336 64 30 Other services and charges 4,800 4,800 1,571 3,229 3,692 Total planning and zoning 5,200 5,200 1,907 3,293 3,722 83 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULE - GENERAL FUND For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 Expenditures: (continued) General government: (continued) General government buildings: Current: Supplies Other services and charges Total general government buildings Total general government Public safety: Civil defense: Current: Personal services Supplies Other services and charges Total civil defense Police protection: Current: Personal services Supplies Other services and charges Total police protection Republican National Convention: Current: Personal services Fire protection: Current: Personal services Supplies Other services and charges Total fire protection Protective inspections: Current: Personal services Supplies Other services and charges Total protective inspections DARE program: Current: Personal services Supplies Other services and charges Total DARE program Statement 9 Page 3 of 5 $400 2009 $ - $400 2008 Budgeted Amounts Actual Variance with Actual Original Final Amounts Final Budget Amounts $400 $400 $ - $400 $8 110,100 110,100 122,278 (12,178) 112,508 110,500 110,500 122,278 (11,778) 112,516 791,600 776,300 733,202 43,098 754,813 49,800 49,800 53,159 (3,359) 50,098 1,300 1,300 901 399 1,042 5,800 4,500 4,827 (327) 5,612 56,900 55,600 58,887 (3,287) 56,752 1,370,300 1,368,300 1,433,216 (64,916) 1,309,209 70,700 70,700 57,898 12,802 74,192 83,400 75,400 62,454 12,946 68,945 1,524,400 1,514,400 1,553,568 (39,168) 1,452,346 19,079 752,900 750,900 761,618 (10,718) 711,073 26,400 25,100 18,497 6,603 16,354 46,600 44,100 33,951 10,149 40,904 825,900 820,100 814,066 6,034 768,331 16,200 16,200 10,187 6,013 9,787 200 200 17 183 - 78,400 78,400 162,129 (83,729) 104,125 94,800 94,800 172,333 (77,533) 113,912 11,500 11,500 9,704 1,796 11,083 2,000 2,000 2,038 / (38) 1,851 1,000 1,000 - / 1,000 - 14,500 14,500 11,742 2,758 12,934 1.11 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 4 of 5 For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 f Public works: 2009 2008 Street maintenance: Budgeted Amounts Actual Variance with Actual Original Final Amounts Final Budget Amounts Expenditures: (continued) Personal services 332,800 316,700 331,027 (14,327) Public safety: (continued) Supplies 94,300 93,100 68,514 24,586 Animal control: Other services and charges 95,600 95,600 89,984 5,616 Current: Total street maintenance 522,700 505,400 489,525 15,875 Supplies $400 $400 $49 $351 $ - Contracted services 4,400 3,400 2,308 1,092 1,525 Total animal control 4,800 3,800 2,357 V 1,443 1,525 Total public safety 2,521,300 2,503,200 2,612,953 (109,753) 2,424,879 Public works: Street maintenance: Current: Personal services 332,800 316,700 331,027 (14,327) 325,032 Supplies 94,300 93,100 68,514 24,586 61,033 Other services and charges 95,600 95,600 89,984 5,616 83,072 Total street maintenance 522,700 505,400 489,525 15,875 469,137 Equipment maintenance: Current: Personal services 37,100 37,100 40,454 (3,354) 40,047 Supplies 26,700 26,700 25,167 1,533 32,789 Other services and charges 5,500 5,500 8,066 (2,566) 8,493 Total equipment maintenance 69,300 69,300 73,687 (4,387) 81,329 Tree and weed care: Current: Personal services 31,700 31,100 31,581 119 30,189 Supplies 900 400 - 400 33 Other services and charges 4,500 4,500 2,089 2,411 3,904 Total tree and weed care 37,100 36,600 33,670 2,930 34,126 Total public works 629,100 611,300 596,882 14,418 584,592 Parks and recreation: Park maintenance: Current: Personal services 150,700 150,700 130,911 19,789 118,028 Supplies 9,100 7,600 8,325 (725) 6,057 Other services and charges 27,700 27,700 26,847 853 23,739 Total park maintenance 187,500 186,000 166,083 19,917 147,824 Recreation: Current: Community services 57,200 57,200 52,176 5,024 52,176 Total parks and recreation 244,700 243,200 218,259 24,941 200,000 M _. CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 5 of 5 For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 Expenditures: (continued) Services to other cities: Police services - contract allocation amount: Personal services Supplies Other services and charges Total services to other cities Nondepartmental: Personal services Supplies Workers compensation insurance Total nondepartmental Total expenditures Revenues over(under)expenditures 2,197 (2,197) 1,818 311 (311) 780 4,290 (4,290) 20,789 0 0 6,798 (6,798) 23,387 5,181,300 5,128,600 5,194,936 (66,336) 4,928,478 (256,900) (339,200) (249,271) 89,929 (254,555) Other financing sources (uses): Transfers to other funds (71,100) (71,100) (76,100) (5,000) (68,300) Transfer from other funds 328,000 410,300 410,300 325,000 Total other financing sources (uses) 256,900 339,200 334,200 (5,000) 256,700 Net change in fund balance Fund balance - January 1 Fund balance - December 31 $0 $0 a 84,929 $84,929 2,145 1,440,504 1,438,359 $1,525,433 $1,440,504 2009 2008 Budgeted Amounts Actual Variance with Actual Original Final Amounts Final Budget Amounts $902,200 $902,200 $950,033 ($47,833) $882,022 19,800 19,800 15,572 4,228 11,303 72,600 72,600 61,237 11,363 47,482 994,600 994,600 1,026,842 (32,242) 940,807 2,197 (2,197) 1,818 311 (311) 780 4,290 (4,290) 20,789 0 0 6,798 (6,798) 23,387 5,181,300 5,128,600 5,194,936 (66,336) 4,928,478 (256,900) (339,200) (249,271) 89,929 (254,555) Other financing sources (uses): Transfers to other funds (71,100) (71,100) (76,100) (5,000) (68,300) Transfer from other funds 328,000 410,300 410,300 325,000 Total other financing sources (uses) 256,900 339,200 334,200 (5,000) 256,700 Net change in fund balance Fund balance - January 1 Fund balance - December 31 $0 $0 a 84,929 $84,929 2,145 1,440,504 1,438,359 $1,525,433 $1,440,504 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULE NOTE TO RSI December 31.2009 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. M CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF FUNDING PROGRESS OTHER POST EMPLOYMENT BENEFITS PLAN For The Year Ended December 31, 2009 Statement 10 (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, 2009 $0 $1,160,956 0.00% $1,160,956 $3,383,647 34.31% The City implemented GASB Statement No. 45 for the fiscal year ended December 31, 2009. Information for prior years is not available. M COMBINING AND INDIVIDUAL NONMAJOR FUND FINANCIAL STATEMENTS AND SCHEDULES S <9 This page intentionally left blank - 90 NONMAJOR GOVERNMENTAL FUNDS 9 i - This page intentionally left blank - 92 SPECIAL REVENUE FUNDS r Special Revenue Funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specified purposes. i i i DEBT SERVICE FUNDS The 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 The 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). 93 CITY OF ST. ANTHONY, MINNESOTA COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS December 31, 2009 With Comparative Totals For December 31, 2008 Assets Cash and investments Accrued interest Due from other governmental units Accounts receivable Prepaid items Property taxes receivable: Delinquent Due from county Special assessments receivable Total assets Liabilities and Fund Balance Liabilities: Interfund payable Accounts payable Contracts payable Interfund loan payable Due to other governmental units Salaries payable Deferred revenue Total liabilities Fund balance: Reserved Unreserved: Designated Undesignated Total fund balance Total liabilities and fund balance Statement I I Totals Nonmajor Special Debt Capital Governmental Funds Revenue Service Project 2009 2008 $97,334 $1,127,922 $315,513 $1,540,769 $654,264 6,043 - 6,043 4,464 19,894 19,894 1,040 - - 480 148 148 133 2,360 5,244 7,604 2,630 (269) (608) - (877) 1,007 - 310,356 54,050 364,406 - $125,510 $1,442,914 $369,563 $1,937,987 $664,018 $ - $ $ - $ - $44,296 19,067 56,327 75,394 39,593 - 22,949 22,949 - 84,300 84,300 - - (40) 467 - - 467 784 2,360 315,600 54,050 372,010 2,630 21,894 315,600 217,626 555,120 87,263 148 1,127,314 1,127,462 272,666 160,827 302,834 463,661 354,093 (57,359) - (150,897) (208,256) (50,004) 103,616 1,127,314 151,937 1,382,867 576,755 $125,510 $1,442,914 $369,563 $1,937,987 $664,018 94 i i L CITY OF ST. ANTHONY, MINNESOTA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 12 CHANGES IN FUND BALANCE NONMAJOR GOVERNMENTAL FUNDS For The Year Ended December 31, 2009 With Comparative Totals For The Year Ended December 31, 2008 Expenditures: - 65,206 1,335,000 1,400,206 Totals Refunding bonds issued Current: Special Debt Capital Nonmajor Governmental Funds - (1,210,000) Revenue Service Project 2009 2008 Revenues: Public safety 15,994 - 25,761 41,755 General property taxes $105,641 $253,737 $ - $359,378 $132,425 Intergovernmental 54,017 198,475 127,549 380,041 235,193 Special assessments - 220,123 30,250 250,373 - Charges for services 131,796 167,793 1,500 301,089 296,243 Forfeited property 10,802 - - 10,802 25,359 Investment income 3,945 858 1,996 6,799 44,315 Contributions and donations - - 2,000 2,000 1,500 Other 8,755 - 1,450 10,205 2,532 Total revenues 314,956 840,986 164,745 1,320,687 737,567 Expenditures: - 65,206 1,335,000 1,400,206 47,003 Refunding bonds issued Current: - 1,520,000 - Redemption of refunded bonds - (1,210,000) General government 22,303 - 24,146 46,449 120,671 Public safety 15,994 - 25,761 41,755 21,555 Public works - - 1,194 1,194 5,079 Parks and recreation 183,528 - - 183,528 166,173 Housing and development 191,608 - 191,608 212,583 Capital outlay: General government - - - 23,136 Public safety - - - - 202,638 Public works - - 271,459 271,459 92,894 Debt service: Principal - 235,000 - 235,000 305,000 Interest - 155,627 - 155,627 99,073 Paying agent fees - 1,245 - 1,245 1,938 Issuance costs - 22,317 - 22,317 - Construction/acquistioncosts - - 1,399,197 1,399,197 43,794 Total expenditures 413,433 414,189 1,721,757 2,549,379 1,294,534 Revenues over(under)expenditures (98,477) 426,797 (1,557,012) (1,228,692) (556,967) Other financing sources Bonds issued - 65,206 1,335,000 1,400,206 47,003 Refunding bonds issued - 1,520,000 - 1,520,000 - Redemption of refunded bonds - (1,210,000) - (1,210,000) Premium on debt issued - 52,778 15,964 68,742 - Sale of capital assets - - 12,056 12,056 14,705 Transfers in 76,100 - 167,700 243,800 318,300 Total other financing sources 76,100 427,984 1,530,720 2,034,804 380,008 Net change in fund balance (22,377) 854,781 (26,292) 806,112 (176,959) Fund balance - January 1 125,993 272,533 178,229 576,755 753,714 Fund balance- December 31 $103,616 $1,127,314 $151,937 $1,382,867 $576,755 95 Phis page intentionally left blank - 96 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 Fund was established to account for revenues and expenditures related to training provided to police and fire personnel. 97 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING BALANCE SHEET NONMAJOR SPECIAL REVENUE FUNDS December 31, 2009 With Comparative Totals For December 31, 2008 Liabilities and Fund Balance Liabilities Interfund payable $ - $ - Accounts payable 13,672 - Salaries payable 382 - Deferred revenue - Total liabilities 14,054 0 Fund balance: Reserved for Prepaid items 134 Unreserved: Designated for community center operations 64,974 - Designated for police activities - 68,276 Designated for recycling program - - Designated for HRA - - Designated for fire activities - - Undesignated - - Total fund balance 65,108 68,276 Total liabilities and fund balance $79,162 $68,276 M 601 Community 230 Police Center Fund Forfeiture Fund Assets Cash and investments $79,028 $68,276 Accrued interest - - Due from other governmental units - - Accounts receivable - - Prepaid items 134 - Property taxes receivable: Delinquent - - Due from county - - Total assets $79,162 $68,276 Liabilities and Fund Balance Liabilities Interfund payable $ - $ - Accounts payable 13,672 - Salaries payable 382 - Deferred revenue - Total liabilities 14,054 0 Fund balance: Reserved for Prepaid items 134 Unreserved: Designated for community center operations 64,974 - Designated for police activities - 68,276 Designated for recycling program - - Designated for HRA - - Designated for fire activities - - Undesignated - - Total fund balance 65,108 68,276 Total liabilities and fund balance $79,162 $68,276 M i r i 225 Recycling Fund $11,325 19,894 14 $31,233 5,000 85 5,085 14 26,134 26,148 $31,233 301 HRA Fund ($63,133) 6,043 2,360 (269) ($54,999) 2,360 2,360 (57,359) (57,359) ($54,999) 240 Fire Education / Training Fund .. $1,838 $1,838 395 WR 1,443 1,443 $1,838 Statement 13 Totals Nonmaior Special Revenue Funds 2009 2008 $97,334 $140,704 6,043 4,464 19,894 1,040 - 480 148 133 2,360 1,547 (269) 727 $125,510 $149,095 19,067 467 2,360 21,894 148 64,974 68,276 26,134 1,443 (57,359) 103,616 $125,510 $10,632 10,139 784 1,547 23.102 133 52,246 70,781 13,058 290 (10,515) 125,993 $149,095 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE NONMAJOR SPECIAL REVENUE FUNDS For The Year Ended December 31, 2009 With Comparative Totals For The Year Ended December 31, 2008 601 Community Center Fund Revenues: General property taxes $ Intergovernmental: State - market value homestead credit Local - other Charges for services: Administrative fees Rental receipts 125,000 Forfeited property - Investment income 174 Other - Total revenues 125,174 Expenditures: Current: General government - Public safety - Parks and recreation 183,528 Housing and development - Total expenditures 183,528 Revenues over(under)expenditures (58,354) Other financing sources: Sale of capital assets - Transfers in 71,100 Total other financing sources 71,100 Net change in fund balance 12,746 Fund balance - January 1 52,362 Fund balance - December 31 $65,108 100 230 Police Forfeiture Fund 10,802 211 11,013 13,518 13,518 (2,505) 0 (2,505) 70,781 $68,276 P i I r 225 Recycling Fund $ - 50,687 3,261 ' 1 53,949 22,303 22,303 31,646 5,000 5,000 36,646 (10,498) $26,148 301 HRA Fund $105,641 3,330 3,556 8,664 121,191 191,608 191,608 (70,417) 0 (70,417) 13,058 ($57,359) 240 Fire Education / Training Fund 3,535 3 91 3,629 2,476 2,476 1,153 0 1,153 290 $1,443 101 Statement 14 Totals Nonmaior Special Revenue Funds 2009 2008 $105,641 $104,956 3,330 3,835 50,687 - 6,796 3,620 125,000 125,000 10,802 25,359 3,945 35,055 8,755 1,671 314,956 299,496 22,303 15,994 183,528 191,608 413,433 (98,477) 76,100 76,100 (22,377) 125,993 $103,616 13,551 21,555 166,173 212,583 413,862 (114,366) 3,870 68,300 72,170 (42,196) 168,189 $125,993 This page intentionally left blank - 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 100 -Year 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. Equipment Certificates Fund was established for major capital equipment purchases. Silver Lake Road Bond Fund was established to account for the debt service associated with the reconstruction and infrastructure improvements of Silver Lake Road. 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. i 103 L� CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING BALANCE SHEET NONMAJOR DEBT SERVICE FUNDS December 31, 2009 With Comparative Totals For December 31, 2008 Assets Cash and investments Property taxes receivable: Delinquent Due from county Special assessments receivable Total assets Liabilities and Fund Balance Liabilities: Deferred revenue Fund balance: Reserved for debt service Total liabilities and fund balance 703 Storm Water 207 State Aid 502 Tax Fund Street Fund Abatement Fund 104 $147,101 $83,230 $455,770 - - 1,719 (182) $147,101 $83,230 $457,307 $ - $ $1,719 147,101 83,230 455,588 $147,101 $83,230 $457,307 r r P I t r Statement 15 512 2009 Street 402 Equipment 365 Silver Lake Road Improvement Bond 1,127,314 272,533 Certificates Fund Bond Fund Fund Totals Nonmajor Debt Service Funds $595,964 $1,442,914 $273,616 2009 2008 $15,866 $140,347 $285,608 $1,127,922 $272,253 228 3,297 - 5,244 1,083 7 (433) - (608) 280 - - 310,356 310,356 - $16,101 $143,211 $595,964 $1,442,914 $273,616 $228 $3,297 $310,356 $315,600 $1,083 15,873 139,914 285,608 1,127,314 272,533 $16,101 $143,211 $595,964 $1,442,914 $273,616 l 105 I� 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, 2009 With Comparative Totals For The Year Ended December 31, 2008 703 Storm Water 207 State Aid 502 Tax Fund Street Fund Abatement Fund Revenues General property taxes $ - $ - $77,644 Intergovernmental: State: MSA state aid 162,568 - Local: ISD - tax abatement - 35,907 Special assessments - - Charges for services 167,793 - - Investment income 123 35 277 Total revenues 167,916 162,603 113,828 Expenditures: Debt service: Principal 120,000 75,000 40,000 Interest 40,103 15,634 17,037 Paying agent fees 172 173 500 Professional service - - - Issuance costs 10,579 5,444 6,294 Total expenditures 170,854 96,251 63,831 Revenues over(under)expenditures (2,938) 66,352 49,997 Other financing sources: Bonds issued - - - Refunding bonds issued 825,000 385,000 310,000 Redemption of refunded bonds (825,000) (385,000) - Premium on debt issued 30,447 13,911 8,420 Total other financing sources (uses) 30,447 13,911 318,420 Net change in fund balance 27,509 80,263 368,417 Fund balance - January 1 119,592 2,967 87,171 Fund balance - December 31 $147,101 $83,230 $455,588 106 r u. r i r I F r I Statement 16 107 512 2009 Street 402 Equipment 365 Silver Lake Improvement Bond Certificates Fund Road Bond Fund Fund Totals Nonmajor Debt Service Funds 2009 2008 $266 $175,827 $ - $253,737 $27,469 - - - 162,568 96,102 - 35,907 37,002 220,123 220,123 - - - 167,793 167,623 46 98 279 858 2,783 312 175,925 220,402 840,986 330,979 - - 235,000 305,000 82,853 155,627 99,073 400 1,245 1,938 - - 22,317 - 0 83,253 0 414,189 406,011 312 92,672 220,402 426,797 (75,032) - 65,206 65,206 47,003 - 1,520,000 - (1,210,000) - - 52,778 - 0 0 65,206 427,984 47,003 312 92,672 285,608 854,781 (28,029) 15,561 47,242 272,533 300,562 $15,873 $139,914 $285,608 $1,127,314 $272,533 107 - This page intentionally left blank - 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. State Aid Street Fund accounts for the funding and costs of reconstruction for the City's designated State Aid roads. Silver Lake Village Park Fund was established to account for the operation and maintenance of 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. 2010 Street Reconstruction Fund accounts for the sidewalk, lighting and street reconstruction improvements to Silver Lane and the bituminous mill and overlay to portions of Old Highway 8 and Highcrest Road. 109 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING BALANCE SHEET NONMAJOR CAPITAL PROJECT FUNDS December 31, 2009 With Comparative Totals For December 31, 2008 Assets Cash and investments Special assessment receivable Total assets Liabilities and Fund Balance Liabilities: Interfund payable Accounts payable Contracts payable Interfund loan payable Due to other governmental units Deferred revenue Total liabilities Fund balance (deficit): Unreserved: Designated: Designated for building maintenance Designated for capital improvements /acquistions Undesignated Total fund balance (deficit) Total liabilities and fund balance 509 Revolving 501 Park 205 State Aid Improvement Improvement Street $31,450 $124,599 $38,133 54,050 - - $85,500 $124,599 $38,133 110 84,300 54,050 138,350 22,949 22,949 570 570 101,650 37,563 (52,850) - (52,850) 101,650 37,563 $85,500 $124,599 $38,133 Statement 17 $ $ - $ - 513 2010 Street $ - 350 Silver Lake 401 Capital 510 Building Improvement 54,751 Village Park Equipment Fund Improvement Fund Project Fund Totals Nonmajor Capital Project Funds - 22,949 - 2009 2008 $57,355 $105,451 $1,821 ($43,296) $315,513 $241,307 - - - 54,050 - - $57,355 $105,451 $1,821 ($43,296) $369,563 $241,307 $ $ - $ - $ - $ - $33,664 1,006 54,751 56,327 29,454 - - 22,949 - 84,300 - (40) - - 54,050 - 0 1,006 0 54,751 217,626 63,078 - - 1,821 - 1,821 1,815 ' 57,355 104,445 - 301,013 215,903 - - - (98,047) (150,897) (39,489) 57,355 104,445 1,821 (98,047) 151,937 178,229 $57,355 $105,451 $1,821 ($431296) $369,563 $241,307 M 0 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE NONMAJOR CAPITAL PROJECT FUNDS For The Year Ended December 31, 2009 With Comparative Totals For The Year Ended December 31, 2008 Revenues: Intergovernmental: State - Municipal state aid State - other Special assessments Charges for services: Service charges Investment income Contributions and donations 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 Construction/acquistion costs Total expenditures Revenues over(under)expenditures Other financing sources (uses): Bonds issued Premium on debt issued Transfers in Sale of capital assets Total other financing sources (uses) Net change in fund balance Fund balance (deficit) - January 1 509 Revolving 501 Park 205 State Aid Improvement Improvement Street 30,250 1,500 37 1,304 112 30,287 2,804 112 1,194 88,521 1,212,629 - 88,521 1,212,629 1,194 (58,234) (1,209,825) (1,082) 1,335,000 15,964 0 1,350,964 0 (58,234) 141,139 (1,082) 5,384 (39,489) 38,645 Fund balance (deficit) - December 31 ($52,850) 5101,650 $37,563 112 Statement 18 r 510 Building 513 2010 Street 350 Silver Lake 401 Capital Improvement Improvement - Village Park Equipment Fund Fund Project Fund Totals Nonmajor Capital Project Funds r 2009 2008 $ $108,237 $ $ - $108,237 $96,654 - 19,312 92,894 - 19,312 1,600 - - 98,047 - 30,250 - - 321,366 - 1,500 - 169 368 6 - 1,996 6,477 - 2,000 6 - 2,000 1,500 200 1,250 - 1,450 861 369 131,167 6 0 164,745 107,092 24,146 24,146 107,120 - - 23,136 25,761 25,761 - - - 202,638 1,194 5,079 271,459 - 271,459 92,894 - 98,047 1,399,197 43,794 0 321,366 0 98,047 1,721,757 474,661 369 (190,199) 6 (98,047) (1,557,012) (367,569) L - 1,335,000 - - 15,964 - 167,700 - 167,700 250,000 12,056 - 12,056 10,835 0 179,756 0 0 1,530,720 260,835 l 369 (10,443) 6 (98,047) (26,292) (106,734) 56,986 114,888 1,815 178,229 284,963 L$57,355 $104,445 $1,821 ($98,047) $151,937 $178,229 L L 113 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 230 POLICE FORFEITURE FUND Statement 20 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 Revenues: Forfeiture and confiscation Investment income Total revenues Expenditures: Public safety: Current: Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over (under) expenditures Other financing sources (uses): Sale of capital assets Net change in fund balance Fund balance - January 1 Fund balance - December 31 2009 Budgeted Amounts Original Final $21,000 $21,000 1,000 1,000 22,000 22,000 10,500 5,000 10,500 10,500 5,000 10,500 26,000 26,000 (4,000) (4,000) ($4,000) ($4,000) 116 2008 Actual Actual $10,802 211 11,013 95 11,869 1,554 $25,359 1,535 26,894 11,831 5,389 2,216 13,518 19,436 (2,505) 7,458 3,870 (2,505) 11,328 70,781 59,453 $68,276 $70,781 i CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 225 RECYCLING FUND Statement 21 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2009 1 With Comparative Actual Amounts For The Year Ended December 31, 2008 i 2009 Budgeted Amounts 2008 Original Final Actual Actual Revenues: I Intergovernmental: Hennepin County recycling grant $6,500 $6,500 $44,561 $ Ramsey County score grant 4,300 4,300 6,126 Charges for services 3,500 3,500 3,261 1,700 Investment income 100 100 1 Total revenues 14,400 14,400 53,949 1,700 Expenditures: General government: Current: Personal services 2,700 2,700 4,072 3,290 Other services and charges 16,700 16,700 18,231 10,261 Total expenditures 19,400 19,400 22,303 13,551 Revenues over(under)expenditures (5,000) (5,000) 31,646 (11,851) Other financing sources (uses): Transfer in 5,000 5,000 5,000 Net change in fund balance $0 $0 36,646 (11,851) Fund balance (deficit) - January 1 (10,498) 1,353 Fund balance (deficit) - December 31 $26,148 ($10,498) L 117 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 301 HRA FUND Statement 22 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 118 2009 Budgeted Amounts 2008 Original Final Actual Actual Revenues: General property taxes $107,170 $107,170 $105,641 $104,956 Intergovernmental - State: Market value homestead credit 3,330 3,330 3,330 3,835 Investment income 67,500 67,500 3,556 32,574 Other - 8,664 1,465 Total revenues 178,000 178,000 121,191 142,830 Expenditures: Housing and redevelopment: Current: Personal services 89,300 89,300 101,017 96,817 Contractual services 72,800 72,800 90,591 115,766 Total expenditures 162,100 162,100 191,608 212,583 Revenues over(under)expenditures 15,900 15,900 (70,417) (69,753) Other financing sources (uses): Transfers out (28,600) (28,600) Net change in fund balance ($12,700) ($12,700) (70,417) (69,753) Fund balance - January 1 13,058 82,811 Fund balance (deficit) - December 31 ($57,359) $13,058 118 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 240 FIRE EDUCATION / TRAINING FUND Statement 23 ( SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2009 With Comparative Actual Amounts For The Year Ended December 31, 2008 Fund balance - January 1 290 266 Fund balance - December 31 $1,443 $290 i 1 r i 119 2009 Budgeted Amounts 2008 Original Final Actual Actual Revenues: Charges for services $2,500 $2,500 $3,535 $1,920 Investment income - - 3 17 Other 100 100 91 206 Total revenues 2,600 2,600 3,629 2,143 Expenditures: Public safety: Current: Personal services 1,600 1,600 1,780 1,764 Materials and supplies 1,000 1,000 696 355 Total expenditures 2,600 2,600 2,476 2,119 Revenues over expenditures $0 $0 1,153 24 Fund balance - January 1 290 266 Fund balance - December 31 $1,443 $290 i 1 r i 119 - This page intentionalh left blank - 120 SUPPLEMENTARY FINANCIAL INFORMATION 111 CITY OF ST. ANTHONY, MINNESOTA BALANCESHEET BRA DEBT SERVICE FUND December 31, 2009 With Comparative Totals For December 31, 2008 Exhibit 1 122 G.O. Tax Increment Bonds Public 1996A Facilities TIF TIF Totals Apache Revenue Revenue Revenue HRA Debt Service Fund (Cub Foods) Bonds Bonds 2006 Bonds 2007 2009 2008 Assets Cash and investments $756,712 $454,998 $ - $ - $1,211,710 $1,036,273 Funds held in trust - 454,451 - - 454,451 455,135 Accrued interest receivable - 6,388 - - 6,388 6,392 Property taxes receivable: Delinquent 3,380 11,079 - - 14,459 8,238 Due from county - (836) - - (836) 2,809 Total assets $760,092 $926,080 $0 $0 $1,686,172 $1,508,847 Liabilities and Fund Balance Liabilities: Interfund loan payable $ - $437,430 $ - $ - $437,430 $437,430 Deferred revenue 3,380 11,079 - - 14,459 8,238 Total liabilities 3,380 448,509 0 0 451,889 445,668 Fund balance (deficit): Reserved for debt service 756,712 477,571 - - 1,234,283 1,063,179 Total liabilities and fund balance $760,092 $926,080 $0 $0 $1,686,172 $1,508,847 122 CITY OF ST. ANTHONY, MINNESOTA SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES Exhibit 2 l IN FUND BALANCE HRA DEBT SERVICE FUND For The Year Ended December 31, 2009 With Comparative Totals For The Year Ended December 31, 2008 l Revenues over (under) expenditures G.O. Tax 29,891 (347,300) (306,164) (482,370) (443,087) Other financing sources (uses): Increment Transfers in Bonds Public 347,300 306,174 653,474 573,949 Net change in fund balance 1996A Facilities TIF TIF Totals 130,862 Fund balance - January 1 Apache Revenue Revenue Revenue FIR Debt Service Fund f (Cub Foods) Bonds Bonds 2006 Bonds 2007 2009 2008 Revenues: General property taxes $ - $394,045 $ - $ - $394,045 $387,860 Tax increment collections 337,230 - - - 337,230 283,536 Investment income 1,541 11,118 - - 12,659 39,039 Total revenues 338,771 405,163 0 0 743,934 710,435 Expenditures: General government: Other 983 - - - 983 2,155 Debt service: Principal 160,000 205,000 80,000 80,000 525,000 430,000 Interest and other 36,235 168,072 265,300 225,414 695,021 711,264 Paying agent fees 350 2,200 2,000 750 5,300 5,103 Professional service - - - - - 5,000 Total expenditures 197,568 375,272 347,300 306,164 1,226,304 1,153,522 Revenues over (under) expenditures 141,203 29,891 (347,300) (306,164) (482,370) (443,087) Other financing sources (uses): Transfers in - - 347,300 306,174 653,474 573,949 Net change in fund balance 141,203 29,891 0 10 171,104 130,862 Fund balance - January 1 615,509 447,680 - (10) 1,063,179 932,317 Fund balance - December 31 $756,712 $477,571 $o $0 $1,234,283 $1,063,179 i l I l L 123 CITY OF ST. ANTHONY, MINNESOTA BALANCE SHEET BRA PROJECTS FUND December 31, 2009 With Comparative Totals For December 31, 2008 Assets Cash and investments Funds held in trust Property taxes receivable: Delinquent Due from county Accounts and other receivables Funds held by others Total assets Liabilities and Fund Balance Liabilities: Accounts payable Deposits payable Deferred revenue Total liabilities Fund balance: Reserved for tax increment projects Unreserved: Undesignated Total fund balance Total liabilities and fund balance Exhibit 3 Tax Increment Financing Districts HRA Totals Chandler Apache Directed HRA Projects Fund Place (Wal -Mart) Projects 2009 2008 $204,265 $1,193,911 ($118,871) $1,279,305 $761,534 - 696 696 695 - 124,891 124,891 79,407 - (153,858) (153,858) 199 - 140,629 - 140,629 - 160,000 160,000 160,000 $204,265 $1,306,269 $41,129 $1,551,663 $1,001,835 $ $3,801 $ - $3,801 $15,028 - 2,483 2,483 - 265,521 - 265,521 79,407 0 269,322 2,483 271,805 94,435 204,265 1,036,947 1,241,212 872,653 - 38,646 38,646 34,747 204,265 1,036,947 38,646 1,279,858 907,400 $204,265 $1,306,269 $41,129 $1,551,663 $1,001,835 124 i e t n I 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, 2009 With Comparative Totals For The Year Ended December 31, 2008 Revenues: Tax increment collections Intergovernmental - MVHC Investment income Other revenues: Developer fees and reimbursements Total revenues Expenditures: General government: Other Parks and recreation: Contractual services Developer incentives Total expenditures Tax Increment Financing Districts HRA Totals Chandler Apache Directed HRA Projects Fund Place (Wal -Mart) Projects 2009 2008 $208,961 $1,357,649 $ - 8,885 166 2,537 $1,566,610 $1,399,013 8,885 7,487 2,703 20,455 - 94 94 - 209,127 1,369,165 0 1,578,292 1,426,955 963 108,305 109,268 76,343 - - 28,500 443,092 443,092 323,485 963 551,397 0 552,360 428,328 Revenues over(under)expenditures 208,164 817,768 0 1,025,932 998,627 Other financing sources (uses): Transfers in - - - - Transfers out (653,474) (653,474) (1,039,528) Total other financing sources (uses) 0 (653,474) 0 (653,474) (1,039,528) Net change in fund balance Fund balance - January 1 Fund balance - December 31 208,164 164,294 0 372,458 (40,901) (3,899) 872,653 38,646 907,400 948,301 $204,265 $1,036,947 $38,646 $1,279,858 $907,400 125 CITY OF ST. ANTHONY, MINNESOTA SCHEDULE OF REVENUES, EXPENSES AND CHANGES Exhibit 5 FUND NET ASSETS WATER AND SEWER ENTERPRISE FUND For The Year Ended December 31, 2009 With Comparative Totals For The Year Ended December 31, 2008 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) Nonoperating revenues (expenses): Investment income Interest expense Amortization of bond discount Paying agent fees Miscellaneous income Total nonoperating revenues (expenses) Net operating income (loss) Capital contributions Transfers out Change in net assets Net assets - January 1 Net assets - December 31 Operations Totals Water Sewer 2009 2008 $806,552 $775,465 $1,582,017 $1,606,621 450 850 1,300 9,100 807,002 776,315 1,583,317 1,615,721 372,391 234,327 606,718 579,865 26,689 11,863 38,552 47,711 78,818 33,966 112,784 87,302 - 513,610 513,610 467,267 139,403 53,692 193,095 185,419 150,986 84,174 235,160 208,705 768,287 931,632 1,699,919 1,576,269 $38,715 ($155,317) (116,602) 39,452 777 10,613 (73,739) (76,036) (2,694) (2,696) (350) (350) 1,923 15,694 (74,083) (52,775) 126 (190,685) (13,323) 158,129 2,139,827 (78,000) (225,000) (110,556) 1,901,504 3,921,735 2,020,231 $3,811,179 $3,921,735 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 Page Financial Trends These tables contain trend information to help the reader understand how 129 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 significant local revenue source, the property tax. Debt Capacity These tables present information to help the reader assess the affordability 140 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 148 understand the enviomment within which the City's financial activities take place. Operating Information These tables contain service and infrastructure data to help the reader 150 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. L_ 127 This page intentionally left blank - 128 CITY OF ST. ANTHONY, MINNESOTA NET ASSETS BY COMPONENT Last Five Fiscal Years (Accrual Basis of Accounting) Governmental activities: Invested in capital assets, net of related debt Restricted for: Debt service Tax increment purposes Unrestricted Total governmental activities net assets Business -type activities: Invested in capital assets, net of related debt Restricted for: Debt service Unrestricted Total business -type activities net assets Primary government: Invested in capital assets, net of related debt Restricted for: Debt service Tax increment purposes Unrestricted Total primary government net assets Table 1 Fiscal Year 2005 2006 2007 2008 2009 $2,430,860 $2,966,021 $2,039,017 $3,000,881 $2,315,775 8,164,796 6,541,771 3,228,881 2,327,517 6,782,289 761,339 2,611,204 783,582 943,663 1,506,733 5,373,139 5,861,552 9,488,919 9,582,675 5,128,398 $16,730,134 $17,980,548 $15,540,399 $15,854,736 $15,733,195 $1,758,506 $1,822,792 $2,703,188 $4,745,674 $5,017,685 120,000 120,000 120,000 120,000 120,000 2,157,418 1,973,533 1,183,416 1,042,856 730,653 $4,035,924 $3,916,325 $4,006,604 $5,908,530 $5,868,338 $4,189,366 $4,788,813 $4,742,205 $7,746,555 $7,333,460 8,284,796 6,661,771 3,348,881 2,447,517 6,902,289 761,339 2,611,204 783,582 943,663 1,506,733 7,530,557 7,835,085 10,672,335 10,625,531 5,859,051 $20,766,058 $21,896,873 $19,547,003 $21,763,266 $21,601,533 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. 129 CITY OF ST. ANTHONY, MINNESOTA CHANGES IN NET ASSETS Last Five Fiscal Years (Accrual Basis of Accounting) Expenses Governmental activities: General government Public safety Public works Parks and recreation Services to other cities Housing and redevelopment Interest on long -term debt Total governmental activities expenses Business -type activities: Liquor Water Sewer Total business -type activities expenses Total primary government expenses Program revenues Governmental activities: Charges for services: Services to other cities Other activities Operating grants and contributions Capital grants and contributions Total governmental activities program revenues Business -type activities: Charges for services: Liquor Water Sewer Operating grants and contributions Capital grants and contributions Total business -type activities program revenues Total primary government program revenues Table 2 Page 1 of 2 Fiscal Year 2005 2006 2007 2008 2009 $877,230 $1,115,231 $1,111,240 $1,231,302 $1,160,932 2,402,296 2,461,222 2,359,360 2,656,975 2,937,528 1,414,857 1,400,951 6,266,350 1,436,309 1,839,163 1,499,773 806,512 450,549 416,881 424,590 606,952 649,625 911,419 940,807 1,026,842 424,273 2,967,835 173,098 536,068 2,534,700 11.331 5,034,639 5,429,222 5,740,169 5,969,076 6,156,097 641,490 899,686 775,828 794,433 843,723 805.171 736.967 785.491 860.918 932.979 $14,720,951 $17,563,641 $19,985,430 $16,339,876 $19,264,081 $724,140 $747,675 $1,039,000 $1,096,200 $1,156,500 1,192,468 999,142 876,425 841,448 972,456 691,777 684,819 609,886 522,542 456,357 5.513.448 1406.314 3.281.241 4.144.607 4.244.695 5,298,404 5,814,838 6,187,185 6,359,731 6,611,975 684,096 778,979 841,611 812,371 806,987 843,409 776,886 850,260 803,350 776,330 6,825,909 7,370,703 7,879,056 7,975,452 8,195,292 $12,339,357 $10,777,017 $11,160,297 $12,120,059 $12,439,987 Net (expense) revenue: Governmental activities ($2,726,203) ($7,091,452) ($9,402,701) ($4,570,842) ($7,086,587) Business -type activities 344,609 304,828 577,568 351,025 262,493 Total primary government net (expense) revenue (2,381,594) (6,786,624) (8,825,133) (4,219,817) (6,824,094) 130 CITY OF ST. ANTHONY, MINNESOTA CHANGES IN NET ASSETS Last Five Fiscal Years (Accrual Basis of Accounting) General revenues and other changes in net assets Governmental activities: Taxes: Property taxes Tax increment collections Grants and contributions Unrestricted investment earnings Miscellaneous Gain on sale of capital asset Transfers Total governmental activities Business -type activities: Investment earnings Miscellaneous Transfers Total business -type activities Total primary government Change in net assets: Governmental activities Business -type activities Total primary government Table 2 Page 2 of 2 Fiscal Year 2005 2006 2007 2008 2009 $3,464,453 $3,668,503 $3,968,436 $4,118,365 $4,442,708 410,968 851,309 1,477,929 1,753,559 1,952,704 124,309 94,470 159,741 88,291 20,918 358,571 514,440 698,345 403,426 208,761 214,859 96,837 77,745 36,365 16,103 - 8,730 - 3,981 348,250 485,000 580,356 (1,514,827) 319,871 4,921,410 5,719,289 6,962,552 4,885,179 6,965,046 44,410 78,638 74,764 18,985 6,833 499 12,490 18,303 17,089 10,353 48.2501 (485.000) (580.356) 1.514.827 (319.871 $4,618,069 $5,325,417 $6,475,263 $6,436,080 $6,662,361 $2,195,207 ($1,372,163) ($2,440,149) $314,337 ($121,541) 41,268 (89,044) 90,279 1,901,926 (40,192) $2,236,475 ($1,461,207) ($2,349,870) $2,216,263 ($161,733) 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. L. l_ 131 L This page intentionally left blank - 132 CITY OF ST. ANTHONY, MINNESOTA FUND BALANCES - GOVERNMENTAL FUNDS Last Five Fiscal Yeats (Modified Accrual Basis of Accounting) Table 3 1 Fiscal Year 2005 2006 2007 2008 2009 General Fund: Reserved $39,805 $44,852 $46,543 $51,205 $53,849 Unreserved 1,147,914 1,237,373 1,391,816 1,389,299 1,471,584 Total general fund $1,187,719 $1,282,225 $1,438,359 $1,440,504 $1,525,433 All other governmental funds: Reserved $5,537,424 $5,564,131 $4,116,654 $3,595,470 $6,264,349 Unreserved, reported in: Special revenue funds 5,399,955 5,335,977 5,650,265 5,576,157 5,329,291 Capital projects funds 894,116 1,500,372 695,197 967,355 314,789 Total all other governmental funds $11,831,495 $12,400,480 $10,462,116 $10,138,982 $11,908,429 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. I L 0 133 CITY OF ST. ANTHONY, MINNESOTA CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS Last Five Fiscal Years (Modified Accrual Basis of Accounting) Revenues: General property taxes Tax increment collections Licenses, fees and permits Intergovernmental Special assessments Charges for services Fines and forfeits Cable franchise fees Investment income Contributions and donations Miscellaneous Total revenues Expenditures: Current: General government Public safety Public works Parks and recreation Services to other cities Nondepartmental 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 I of 2 Fiscal Year 2005 2006 2007 2008 2009 $3,430,286 $3,649,764 $3,957,749 $4,097,493 $4,407,221 410,968 851,309 1,469,532 1,682,549 1,903,840 548,972 244,170 213,842 247,878 358,381 1,201,555 954,911 706,080 2,039,592 1,430,366 1,548,836 589,812 441,327 385,197 506,262 1,057,781 1,113,298 1,403,419 1,451,925 1,519,427 101,273 135,960 164,788 139,421 122,870 69,577 70,737 85,162 92,606 92,309 354,749 507,615 689,428 400,038 184,053 - 6,300 37,100 3,950 3,450 540,229 511,851 404,611 186,449 53,354 9,264,226 8,635,727 9,573,038 10,727,098 10,581,533 776,110 952,291 945,295 1,076,699 1,017,405 2,119,568 2,255,783 2,165,891 2,446,434 2,654,708 772,565 759,254 809,751 679,269 761,530 1,467,289 783,791 428,341 394,673 401,787 606,952 649,625 911,419 940,807 1,026,842 5,228 1,501 48,735 23,387 6,798 424,273 439,422 173,098 212,583 191,608 572 6,389 125 - - 139,648 229,174 12,993 - - 31,040 21,056 316,264 318,668 271,459 - 19,712 - - - 1,495,000 4,765,000 2,195,000 2,305,000 1,970,000 997,352 1,022,069 1,313,578 1,450,248 1,3 69,280 14,386 9,373 11,501 10,601 9,519 16,097 9,140 1,901 5,080 5,077 - - 208,545 - 49,420 2,901,864 2,108,395 5,366,376 3,419,607 4,789,180 - 2,769,938 3,592,385 323,485 443,092 - 36,580 - - - 11,767,944 16,838,493 18,501,198 13,606,541 14,967,705 (2,503,718) (8,202,766) (8,928,160) (2,879,443) (4,386,172) 134 I L j CITY OF ST. ANTHONY, MINNESOTA CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS Table 4 Last Five Fiscal Years Page 2 of 2 (Modified Accrual Basis of Accounting) Other financing sources (uses): Bonds issued Refunding bonds issued Redemption of refunded bonds Premium on debt issued Discount on debt issued Transfers in Transfers out Sale of capital assets Total other financing sources (uses) Net change in fund balance Fiscal Year 2005 2006 2007 2008 2009 $1,695,000 $8,165,000 $6,690,000 $1,910,000 $3,965,000 2,855,000 - - (1,210,000) 30,669 - 8,749 140,492 - (3,069) (213) - - 467,022 1,775,848 4,275,129 1,832,828 1,307,574 (118,772) (1,290,848) (3,827,825) (1,207,828) (829,574) 12,852 18,855 8,744 14,705 12,056 2,056,102 8,696,455 7,145,835 2,558,454 6,240,548 ($447,616) $493,689 ($1,782,325) ($320,989) $1,854,376 Debt service as a percentage of noncapital expenditure 29.0% 40.2% 28.6% 38.2% 34.0% Debt service as percentage of total expenditures 21.4% 34.5% 20.2% 27.7% 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. 135 22.4% 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) * A complete breakdown of tax capacity was not available, these numbers have been estimated by considering total tax capacity and the related percentage breakdown from the previous year. ** The Minnesota Legislature reduced some of the "class rates" used to calculate tax capacity values in levy years 1998,1999 and 2001. The lower rates reduce the amount of Taxable Market Value that converts to value for the calculation of property taxes and tax rates. 136 Commercial/ Total Fiscal Adjusted Total Estimated Tax Capacity Payable Residential Industrial All Tax Disparity Tax Capacity Direct Tax Market as a Percent Year Property Property Other Capacity Contribution Value Rate Value of EMV 2000 $4,532,263 $1,658,367 $110,097 $6,300,727 ($184,724) $6,116,003 30.63% $383,067,100 1.60% ** 2001 4,970,738 1,833,267 108,643 6,912,648 (201,588) 6,711,060 30.55% 417,647,700 1.61% 2002 3,979,387 * 1,467,645 * 86,976 * 5,534,008 (319,514) 5,214,494 50.33% 460,129,700 1.13% ** 2003 4,703,934 1,307,337 66,005 6,077,276 (318,956) 5,758,320 47.05% 520,877,700 1.11% 2004 5,061,743 1,387,360 67,875 6,516,978 220,246 6,737,224 52.01% 576,666,300 1.1700/ 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 1.11% 2007 7,894,132 2,575,759 * 64,903 10,534,794 (1,374,734) 9,160,060 45.62% 893,542,800 1.03% 2008 7,537,190 2,684,972 67,599 10,289,761 (1,260,607) 9,029,154 51.61% 869,823,300 1.18% 2009 7,194,714 2,546,141 64,834 9,805,689 (1,106,369) 8,699,320 55.66% 825,936,600 1.19% Source: Official Statements for the City of St. Anthony. (Hennepin and Ramsey Counties Combined) * A complete breakdown of tax capacity was not available, these numbers have been estimated by considering total tax capacity and the related percentage breakdown from the previous year. ** The Minnesota Legislature reduced some of the "class rates" used to calculate tax capacity values in levy years 1998,1999 and 2001. The lower rates reduce the amount of Taxable Market Value that converts to value for the calculation of property taxes and tax rates. 136 CITY OF ST. ANTHONY, MINNESOTA DIRECT AND OVERLAPPING PROPERTY TAX RATES Last Ten Fiscal Years City Overlapping Rates* Fiscal Direct School Other Hennepin Year Rate District Districts County 2000 30.63% 56.35% 13.27% 39.66% 2001 30.55% 60.92% 12.84% 37.62% 2002 50.33% 18.37% ** 14.09% 50.41% 2003 47.05% 14.93% 15.63% 50.61% 2004 52.01% 22.10% 13.45% 47.32% 2005 50.31% 19.33% 13.93% 44.17% 2006 46.58% 21.78% 14.65% 41.02% 2007 45.62% 19.73% 13.81% 38.57% 2008 51.61% 32.04% 13.35% 40.41% 2009 55.66% 32.93% 17.37% 42.06% 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. * *The State of Minnesota enacted significant property tax reform measures in 2001. Among these measures were several provisions which substantially reduced school district property tax levies, replacing the tax levy funds with state aid. As a result, tax levies and tax rates for most school districts for taxes payable in 2002 are substantially less than the comparable figures for prior years. 137 Table 6 Total 139.90% 141.93% 133.20% 128.21% 134.88% 127.74% 124.03% 117.73% 137.41% 148.02% CITY OF ST. ANTHONY, MINNESOTA PRINCIPAL PROPERTY TAXPAYERS Current Year and Nine Years Ago *Data is not available for more than the top seven taxpayers in 2000 Source: Official Statements for the City of St. Anthony 138 5 2 4 1 6 7 3 Table 7 Percentage of Total City Capacity Value 0.00% 0.00% 0.00% 2.35% 0.00% 0.00% 0.00% 3.40% 0.00% 0.00% 2.87% 4.61% 1.77% 1.71% 0.00% 3.38% 22.33% 2009 2000* Percentage Tax of Total City Tax Capacity Capacity Capacity Taxpayer Value Rank Value Value Rank St. Anthony Retail Development $758,128 1 7.73% $ - St. Anthony Leased Housing Assoc. 364,550 2 3.72% - Autumn Woods Partnership LP 205,800 3 2.10% - Equinox Properties LLC 186,200 4 1.90% 134,064 St. Anthony Shopping Center 98,252 5 1.00% - LG Anderson LLC /Apache Medical 89,250 6 0.91% Landau - 3925 Pleasant 83,426 7 0.85% - St. Anthony Nursing Home LP 82,449 8 0.84% 194,184 Chandler Place LP 82,329 9 0.84% - Herama/Commonwealth Electric 71,250 10 0.73% - St. Marie Company - - 0.00% 163,877 Glaser Financial Group Inc. - - 0.00% 263,280 Northern States Power Company - - 0.00% 101,035 Village North - - 0.00% 97,871 St. Anthony Business Center - - 0.00% - - Super Value - - 0.00% 192,916 Individual - - 0.00% - Total $2,021,634 20.62% 51,147,227 Total All Property $9,805,689 $5,713,569 *Data is not available for more than the top seven taxpayers in 2000 Source: Official Statements for the City of St. Anthony 138 5 2 4 1 6 7 3 Table 7 Percentage of Total City Capacity Value 0.00% 0.00% 0.00% 2.35% 0.00% 0.00% 0.00% 3.40% 0.00% 0.00% 2.87% 4.61% 1.77% 1.71% 0.00% 3.38% 22.33% CITY OF ST. ANTHONY, MINNESOTA PROPERTY TAX LEVIES AND COLLECTIONS f Last Ten Fiscal Years Table 8 Fiscal Taxes Collected Within The Collections Year Levied Fiscal Year of the Levy in Total Collections to Date Ended For The Percentage Subsequent Percentage f December 31, Fiscal Year Amount of Levy (1) Years Amount of Levy 2000 $1,900,515 $1,893,309 99.62% $9,973 $1,903,282 100.15% I 2001 2,051,067 2,038,887 99.41% 7,788 2,046,675 99.79% ( 2002 2,634,866 2,625,911 99.66% 7,923 2,633,834 99.96% 2003 2,731,541 2,721,724 99.64% 8,129 2,729,853 99.94% 2004 3,370,364 3,349,081 99.37% 12,095 3,361,176 99.73% 2005 3,689,759 3,655,463 99.07% 32,287 3,687,750 99.95% 2006 3,812,957 3,776,369 99.04% 33,327 3,809,696 99.91% 2007 4,123,032 4,079,891 98.95% 30,012 4,109,903 99.68% 2008 4,415,588 4,352,700 98.58% 41,245 4,393,945 99.51% i 2009 4,465,113 4,352,222 97.47% - 4,352,222 97.47% Beginning with payable year 2002, Market Value Homestead Credit is included in the operating levy. Sources: 1999 - 2004 Official Statements for the City of St. Anthony 2005 - 2009 St. Anthony Finance Department 1 L, L L 139 CITY OF ST. ANTHONY, MINNESOTA RATIOS OF OUTSTANDING DEBT BY TYPE Last Five Fiscal Years Source: St. Anthony Finance Department *Per Capita data is based on a population of 8,437. Information is not available for years prior to 2005. 140 Governmental Activities General Tax Total Percentage Fiscal Obligation Improvement Increment Revenue Fannie Governmental of Adjusted Year Bonds Bonds Bonds Bonds Mae Loan Activities Tax Capacity 2005 $1,435,000 $11,210,000 $2,355,000 $6,600,000 $3,350,000 $24,950,000 341.36% 2006 1,245,000 11,300,000 6,145,000 6,310,000 3,350,000 $28,350,000 348.93% 2007 1,055,000 12,675,000 10,605,000 6,010,000 2,500,000 $32,845,000 358.57% 2008 945,000 13,015,000 10,375,000 5,615,000 2,500,000 $32,450,000 359.39% 2009 825,000 16,220,000 10,055,000 6,940,000 2,050,000 $36,090,000 399.71% Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. ter Information not available is labeled N/A. Source: St. Anthony Finance Department *Per Capita data is based on a population of 8,437. Information is not available for years prior to 2005. 140 Table 9 r r I 141 L -- Sewer/ Business -Type Activities Water Sewer/ Liquor Total Bonds Total Percentage Water Revenue Business -Type Per Primary of Personal Per 1 Bonds Bonds Activities Customer Government Income lrl Capita* $2,125,000 $495,000 $2,620,000 $932 $27,570,000 N/A $3,357 2,050,000 425,000 2,475,000 896 30,825,000 N/A 3,924 1,975,000 350,000 2,325,000 1,070 35,170,000 N/A 3,847 1,895,000 270,000 2,165,000 824 34,615,000 N/A 3,818 1,815,000 185,000 2,000,000 789 38,090,000 N/A 4,278 r I 141 L -- CITY OF ST. ANTHONY, MINNESOTA DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT As of December 31, 2009 Governmental Unit Debt repaid with property taxes: 1'1 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: (')Official Statements for City of St. Anthony (z) St. Anthony Finance Department Table 10 Estimated Estimated Share of Debt Percentage Overlapping Outstanding Applicable* Debt $25,775,000 82.6654% $21,306,998 877,275,000 0.2878% 2,524,461 169,667,000 0.4434% 752,355 1,116,379,876 0.0463% 517,105 85,660,000 0.5165% 442,456 25,543,375 26,070,000 $51,613,375 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. 142 CITY OF ST. ANTHONY, MINNESOTA LEGAL DEBT MARGIN INFORMATION Table 11 Last Five Fiscal Years i f' 1 Legal Debt Margin Calculation for Fiscal Year 2009 I Market value $825,936,600 Debt limit (3% of market value) 24,778,098 Debt applicable to limit: General obligation bonds 6,460,000 Less: Amount set aside for repayment of eneral obligation debt g g (1,049,796) Total net debt applicable to limit 5,410,204 Legal debt margin $19,367,894 2005* 2006* 2007* 2008 2009 Debt limit $13,406,318 $14,610,820 $17,870,856 $26,094,699 $24,778,098 Total net debt applicable to limit 4,776,007 4,429,013 4,099,637 5,741,849 5,410,204 Legal debt margin $8,630,311 $10,181,807 $13,771,219 $20,352,850 $19,367,894 Total net debt applicable to the limit as a percentage of debt limit 35.63% 30.31% 30.31% 22.00% 21.83% Source: Market Value - Hennepin County and Ramsey County, Minnesota Assessor's Offices Information is not available for years prior to 2005. *Debt limit was 2% of market value. I L l_ I L 143 CITY OF ST. ANTHONY, MINNESOTA PLEDGED REVENUE COVERAGE Last Five Fiscal Years Storm Sewer Revenue Bonds Utility Less Net Fiscal Service Operating Available Debt Service Year Charges Expenses Revenue Principal Interest Coverage 2005 $163,951 $ - $163,951 $95,000 $68,448 100% 2006 169,255 - 169,255 100,000 63,670 103% 2007 167,373 - 167,373 105,000 58,595 102% 2008 167,373 - 167,373 110,000 53,220 103% 2009 167,793 - 167,793 120,000 40,103 105% 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. 144 r I Table 12 r Page 1 of 2 t { r Water and Sewer Revenue Bonds Utility Less Net Service Operating Available Debt Service Charges Expenses Revenue Principal Interest Coverage $1,527,505 $1,210,943 $316,562 $75,000 $82,195 201% 1,556,004 1,387,657 168,347 75,000 80,694 108% 1,691,871 1,480,228 211,643 75,000 78,750 138% 1,615,721 1,576,269 39,452 80,000 77,236 25% 1,583,317 1,699,919 (116,602) 80,000 75,056 (75 %) L i, I i. i 145 i_ CITY OF ST. ANTHONY, MINNESOTA PLEDGED REVENUE COVERAGE Last Four 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, or amortization expenses. Information is not available for years prior to 2005. 146 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 1,049,110 426,063 80,000 20,125 426% 2009 1,543,854 1,058,977 484,877 85,000 15,525 482% Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. Operating expenses do not include interest, or amortization expenses. Information is not available for years prior to 2005. 146 Table 12 Page 2 of 2 f Improvement Bonds Tax Increment Bonds Special Tax Assessment Debt Service Increment Debt Service Collections I 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% 5,062,624 760,000 430,947 425% 1,903,840 320,000 526,949 225% ■1 147 CITY OF ST. ANTHONY, MINNESOTA DEMOGRAPHIC AND ECONOMIC STATISTICS Last Ten Fiscal Years Table 13 Sources: Information is not tracked on a yearly basis for individual cities. Data for Hennepin County was used. Source - Hennepin County Z Information not available is labeled N /A. Official Statements for the City of St. Anthony 148 Per Capita Fiscal Personal Personal Unemployment Year Population (3) Income (2) (3) Income(l) Rate(l) 2000 8,012 $345,116,900 $43,075 2.60% 2001 8,012 349,171,317 43,543 3.60% 2002 8,012 352,090,233 43,907 4.60% 2003 8,012 363,296,128 45,344 4.80% 2004 8,012 385,272,855 48,045 4.50% 2005 8,012 N/A N/A 3.40% 2006 8,012 N/A N/A 3.60% 2007 8,361 N/A N/A 4.20% 2008 8,361 N/A N/A 5.00% 2009 8,437 N/A N/A 6.80% Sources: Information is not tracked on a yearly basis for individual cities. Data for Hennepin County was used. Source - Hennepin County Z Information not available is labeled N /A. Official Statements for the City of St. Anthony 148 CITY OF ST. ANTHONY, MINNESOTA PRINCIPAL EMPLOYERS Current Year and Nine Years Ago Table 14 f r 2009 2000* j Employer Employees Rank Employees Rank I ISD No. 282 (St. Anthony - New Brighton) 270 1 230 2 Cub Foods 260 2 - - St. Anthony Health Center and Chandler Place 245 3 250 1 Wal -Mart 160 4 - - City of St. Anthony 132 5 - - Triangle Industries 80 6 - - Industrial Custom Products 50 7 - - Happy's Potato Chip Company 50 8 - - Triangle Industries 80 9 - - Marshall Manufacturing 40 10 - - Francis A. Gross Golf Course - - - - Applebee's - - - - Apache Plaza Mall - - 115 3 Herbergers - - 92 4 Wendy's - - - - j Total 1,367 637 * Data is not available for more than the top four employers in 2000 Source: Official Statements for the City of St. Anthony UM CITY OF ST. ANTHONY, MINNESOTA FULL -TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION/PROGRAM Last Ten Fiscal Years Function/Program General government: Administration Finance Police: Officers Support staff Community service officer Volunteers (non -paid) Fire: Firefighters Volunteers (paid on call) Public works: Administration Street Park Water /Sewer Mechanic Seasonal Liquor operations: Off -sale: Full -time Market Place - part-time Silver Lake Village - part-time On -sale: Full -time Storehouse - part-time Total Source: City of St. Anthony Full -Time Equivalent Employees as of December 31, 2000 2001 2002 3.00 3.00 3.00 4.50 4.50 4.50 20.00 20.00 20.00 2.00 2.00 2.00 1.00 1.00 1.00 12.00 12.00 12.00 7.00 7.00 7.00 2.75 3.00 3.00 2.00 2.00 2.00 6.00 6.00 5.00 2.00 2.00 2.00 2.00 2.00 2.00 1.00 1.00 1.00 10.00 10.00 10.00 4.00 4.00 4.00 5.25 5.25 5,25 5.25 5.25 5.25 4 4 4 9 9 9 102.50 102.75 101.75 150 Table 15 Full -Time Equivalent Employees as of December 31 2003 2004 2005 2006 2007 2008 2009 3.00 3.00 3.00 3.00 3.00 3.00 3.00 4.50 4.50 4.50 4.50 4.50 4.75 4.75 20.00 20.00 20.00 20.00 22.00 23.00 23.00 2.00 2.00 2.00 2.00 2.00 2.50 2.50 0.50 0.50 0.50 0.50 1.00 1.00 1.00 12.00 12.00 12.00 12.00 12.00 12.00 12.00 7.00 7.00 7.00 7.00 7.00 7.00 7.00 i 3.00 I 3.00 3.00 3.00 3.00 3.00 3.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 I 5.00 5.00 6.00 6.00 6.00 6.00 6.00 2.00 3.00 3.00 3.00 3.00 3.00 3.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00 5.00 5.00 4.00 4.00 4.00 4.00 4.00 5.25 5.25 5.25 5.25 5.25 5.25 5.25 5.25 5.25 5.25 5.25 5.25 5.25 5.25 89.50 90.50 90.50 90.50 93.00 94.75 94.75 151 CITY OF ST. ANTHONY, MINNESOTA OPERATING INDICATORS BY FUNCTION /PROGRAM Last Ten Fiscal Years Function/Program Police: * Moving violation Non - moving violations DWI Traffic arrests Gross and misdemeanor arrests Felony arrests Warrant arrests Fire: Emergency responses Medical responses Fires Inspections ** Building inspection: Permits issued Other public works: Street resurfacing (miles) Potholes filled (tons) Water: New connections Water mains breaks Average daily consumption (thousands of gallons) Peak daily consumption (thousands of gallons) * Police statistics are for St Anthony only ** Began monitoring inspection in 2006 * ** Unavailable for years prior to 2002 Source: City of St. Anthony 152 Fiscal Year 2000 2001 2002 1,976 1,778 1,833 487 447 527 28 26 25 508 455 461 141 110 160 39 45 37 71 48 32 938 902 885 681 618 576 33 44 46 314 313 313 1 1 1 12 9 10 9 8 7 1,002 971 876 * ** * ** 1,495 Table 16 Fiscal Year 2003 2004 2005 2006 2007 2008 2009 1,772 2,072 1,560 2,246 2,357 2,137 2,008 601 544 501 632 627 494 351 37 60 56 114 26 61 59 400 587 515 750 831 815 770 179 150 181 162 158 203 193 52 32 54 67 45 44 32 31 31 23 22 29 32 32 901 925 1,043 980 976 1,055 996 568 586 646 704 696 768 718 47 46 47 28 40 89 68 197 78 81 92 277 341 346 292 255 262 289 1 1 1 1 2 2 1 8 8 7 5 35 20 80 - - - 14 16 10 - 10 8 10 3 32 8 9 961 898 903 922 990 902 885 1,278 1,601 2,192 2,454 2,500 2,157 2,295 153 CITY OF ST. ANTHONY, MINNESOTA CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM Last Ten Fiscal Years Function/Program Police: Stations Patrol units Fire stations(.) Other public works: Streets (miles) Parks and recreation: Acreage Playgrounds Baseball/softball diamonds (b) Soccer /football fields (b) Community centers Liquor operations: On/off sale locations(`) Water: Water mains (miles) Fire hydrants Storage capacity (thousands of gallons) Wastewater: Sanitary sewers (miles) Storm sewers (miles) a.) Leased Fire Station during construction b.) Park construction Silver Point 2000 -2001, Central Park 2003 -2004 c.) Closed Stonehouse Bar and SAV 1 in 2003, reopened SAV 1 in 2004, SAV 2 closed 3 weeks in September 2004 to move to new location. Source: City of St. Anthony 154 Fiscal Year 2000 2001 2002 1 1 1 11 1] 11 1 1 l 24.7 24.7 24.7 40 40 40 2 2 4 4 4 3 3 3 3 24.7 24.7 24.7 283 283 283 2,250 2,250 2,250 24.7 24.7 24.7 15.0 15.0 15.0 Table 17 Fiscal Year 2003 2004 2005 2006 2007 2008 2009 1 1 1 1 1 1 1 11 12 12 12 12 12 12 1 1 1 1 1 1 24.7 24.7 24.7 24.7 24.7 24.7 24.7 40 40 40 40 40 40 40 3 3 4 4 4 4 4 3 7 7 7 7 7 7 2 2 2 2 2 2 1 1 1 1 1 1 1 1 2 2 2 2 2 2 24.7 24.7 24.7 24.7 24.7 24.7 24.7 283 283 283 283 287 287 287 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 15.0 15.0 15.0 15.0 15.0 15.0 15.0 L- 155 - This page intentionally left blank - 156