HomeMy WebLinkAbout2018 CAFR
COMPREHENSIVE ANNUAL FINANCIAL REPORT
OF THE
CITY OF ST. ANTHONY, MINNESOTA
FOR THE YEAR ENDED
DECEMBER 31, 2018
Prepared By:
Finance Department
Shelly Rueckert,
Finance Director
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CITY OF ST. ANTHONY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
Letter of Transmittal 3
Organization 9
Organizational Chart 10
Independent Auditor's Report 13
Management's Discussion and Analysis 17
Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net Position Statement 1 29
Statement of Activities Statement 2 30
Fund Financial Statements:
Balance Sheet - Governmental Funds Statement 3 32
Statement of Revenues, Expenditures and Changes in Fund Balance -
Governmental Funds Statement 4 34
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Governmental Funds Statement 5 36
Statement of Net Position - Proprietary Funds Statement 6 37
Statement of Revenues, Expenses and Changes in Fund Net Position -
Proprietary Funds Statement 7 38
Statement of Cash Flows - Proprietary Funds Statement 8 39
Statement of Fiduciary Net Position - Fiduciary Fund Statement 9 40
Notes to Financial Statements 41
Required Supplementary Information:
Budgetary Comparison Schedule - General Fund Statement 10 94
Schedule of Changes in the City's Total OPEB Liability and Related Ratios Statement 11 99
Schedule of Proportionate Share of Net Pension Liability - General Employees
Retirement Fund Statement 12 100
Schedule of Pension Contributions - General Employees Retirement Fund Statement 13 101
Schedule of Proportionate Share of Net Pension Liability - Public Employees Police
and Fire Fund Statement 14 102
Schedule of Pension Contributions - Public Employees Police and Fire Fund Statement 15 103
I. INTRODUCTORY SECTION
II. FINANCIAL SECTION
CITY OF ST. ANTHONY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
Schedule of Changes in the Net Pension Liability and Related Ratios -
St. Anthony Fire Department Relief Association Statement 16 104
Schedule of Contributions - St. Anthony Fire Department Relief Association Statement 17 105
Notes to RSI 107
Combining and Individual Nonmajor Fund Financial Statements and Schedules:
Combining Balance Sheet - Nonmajor Governmental Funds Statement 18 114
Combining Statement of Revenues, Expenditures and Changes in Fund Balance -
Nonmajor Governmental Funds Statement 19 115
Subcombining Balance Sheet - Nonmajor Special Revenue Funds Statement 20 120
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Special Revenue Funds Statement 21 122
Subcombining Balance Sheet - Nonmajor Debt Service Funds Statement 22 126
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Debt Service Funds Statement 23 127
Subcombining Balance Sheet - Nonmajor Capital Project Funds Statement 24 130
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Capital Project Funds Statement 25 131
Special Revenue Funds:
Schedules of Revenues, Expenditures and Changes in
Fund Balance - Budget and Actual:
Community Center Fund Statement 26 132
Police Forfeiture Fund Statement 27 133
Recycling Fund Statement 28 134
HRA Fund Statement 29 135
Fire Education/Training Fund Statement 30 136
Statement of Changes in Assets and Liabilities - Agency Fund Statement 31 137
Supplementary Financial Information:
Street Improvement Debt Service Fund:
Balance Sheet Exhibit 1 140
Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 2 142
HRA TIF Debt Service Fund:
Balance Sheet Exhibit 3 144
Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 4 145
HRA TIF Improvements Fund:
Balance Sheet Exhibit 5 146
Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 6 147
CITY OF ST. ANTHONY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
Street Improvement Project Fund:
Balance Sheet Exhibit 7 148
Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 8 149
Water/Sewer/Water Plant Enterprise Fund:
Schedule of Revenues, Expenses and Changes in Fund Net Position Exhibit 9 150
Financial Trends:
Net Position by Component Table 1 152
Changes in Net Position Table 2 154
Fund Balances - Governmental Funds Table 3 158
Changes in Fund Balances - Governmental Funds Table 4 160
Revenue Capacity:
Tax Capacity Value and Estimated Market Value of Taxable Property Table 5 162
Direct and Overlapping Property Tax Rates Table 6 163
Principal Property Taxpayers Table 7 164
Property Tax Levies and Collections Table 8 165
Debt Capacity:
Ratios of Outstanding Debt by Type Table 9 166
Direct and Overlapping Governmental Activities Debt Table 10 169
Legal Debt Margin Information Table 11 170
Pledged Revenue Coverage Table 12 172
Demographic and Economic:
Demographic and Economic Statistics Table 13 176
Principal Employers Table 14 177
Operating Information:
Full-Time Equivalent City Government Employees by Function/Program Table 15 178
Operating Indicators by Function/Program Table 16 180
Capital Asset Statistics by Function/Program Table 17 182
III. STATISTICAL SECTION (Unaudited)
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I. INTRODUCTORY SECTION
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Our mission is to be a progressive and welcoming
Village that is walkable, sustainable and safe
3301 Silver Lake Road, St. Anthony, MN 55418 612‐782‐3301 | www.savmn.com
May 30, 2019
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, 2018.
Management assumes full responsibility for the completeness and reliability of the information
contained in this report, based upon a comprehensive framework of internal controls that have
been established for this purpose. Because the cost of internal controls should not exceed
anticipated benefits, the objective is to provide reasonable, rather than absolute, assurance that
the financial statements are free of any material misstatements.
Redpath and Company, Ltd., Certified Public Accountants, have issued an unmodified opinion
on the City of St. Anthony’s financial statements for the year ended December 31, 2018. The
independent auditor’s report is located at the front of the financial section of this report.
Management’s discussion and analysis (MD&A) immediately follows the independent auditor’s
report and provides a narrative introduction, overview, and analysis of the basic financial
statements. The MD&A complements this letter of transmittal and therefore should be read in
conjunction.
Profile of the City
The City of St. Anthony, incorporated in 1945, is located near Northeast Minneapolis and is a
first ring northern suburb of the Minneapolis‐St. Paul metropolitan area. The City is a
completely developed community and is bordered on all sides by the communities of
Minneapolis, Columbia Heights, New Brighton and Roseville. Approximately two‐thirds of the
City is located in northeastern Hennepin County and one‐third is located in the northwest
corner of Ramsey County. The City encompasses a land area of 2.35 square miles and serves a
population of 9,234.
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
4
Our mission is to be a progressive and welcoming
Village that is walkable, sustainable and safe
3301 Silver Lake Road, St. Anthony, MN 55418 612‐782‐3301 | www.savmn.com
Minneapolis‐St. Paul metropolitan area by the use of Interstate 35W, Interstate 694 and
Highway 280.
The City is served by Independent School District (ISD) #282 (St. Anthony), which has a
2018/2019 enrollment of approximately 1,910, operates one elementary school, a middle school
and senior high in the City. In addition, a private school, St. Charles Borromeo, offers K‐8 grade
education with enrollment of approximately 300 students.
The City operates as a statutory Council‐Manager form of government. Policy‐making and
legislative authority are vested in the City Council consisting of one elected mayor and four
council members. The City Council is responsible, among other things, for passing ordinances,
adopting the budget, appointing committees, and hiring the City Manager. The City Manager
is responsible for carrying out the policies and ordinances of the City Council, overseeing the
day‐to‐day operations of the City, and appointing the heads of the various departments. The
Council is elected on a non‐partisan basis. Council members serve four‐year staggered terms,
with two council members elected every two years. The Mayor is elected to serve a four‐year
term.
The City of St. Anthony provides a full range of services including administrative services;
police protection; fire suppression, prevention and medical responses; 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 environmental sustainability programs.
The St. Anthony Firefighters’ Relief Association is a separate legal entity, and accordingly is
excluded from this report. The St. Anthony Housing and Redevelopment Authority (HRA), an
entity legally separate from the City, is governed by a board which includes the City Council.
Its sole purpose is to promote economic development within the City of St. Anthony. The HRA
is a component unit of the City and its financial transactions have been included in these
financial statements as a blended component unit. Additional information on both of these
legally separate entities can be found in Note 1(A) & 7(B) 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 30th. The City Council is required to hold public hearings on
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Our mission is to be a progressive and welcoming
Village that is walkable, sustainable and safe
3301 Silver Lake Road, St. Anthony, MN 55418 612‐782‐3301 | www.savmn.com
the proposed budget and to adopt a final budget by December 31, the close of the City of St.
Anthony’s fiscal year.
The appropriated budget is prepared for the General Fund by function (e.g., public safety), and
department (e.g., police), and object code (e.g., salaries). Transfers of appropriations between
departments require the approval of the City Council. Budget‐to‐actual comparisons are
provided on Statement 10 as required supplementary information to the basic financial
statements for the governmental funds.
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 experiences redevelopment activity in commercial and industrial areas, along with the
construction of additional multi‐family residential units.
Long‐term financial planning: The City maintains five capital funds for the replacement of
equipment and various infrastructure assets. Each fund is managed by a comprehensive 15 year
capital planning document. These documents include the City’s current buildings, park
improvements, operating equipment and fleet, along with future street, water, sanitary sewer
and stormwater improvements. These plans estimate the replacement dates and cost for current
and prospective equipment. Additionally, the plans include projected future street, water,
sanitary sewer and stormwater reconstruction costs. The plans also identify the funding sources
for these capital expenditures. These sources include Capital and Building Improvement levies,
Enterprise funds operating income transfers, parkland dedication fees, stormwater charges,
water and sewer connection fees, grants and donations, State aids, cost sharing agreements,
bond proceeds and assessments.
The City combines the use of goal setting and a comprehensive budget process to identify and
prioritize City improvement projects. The 15‐year capital plans are updated annually by staff
and are approved by the City Council.
Cash management policies and practices: The City’s initial investment objective is to preserve
capital. Secondary considerations are liquidity and lastly yield. Accordingly, deposits are
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Our mission is to be a progressive and welcoming
Village that is walkable, sustainable and safe
3301 Silver Lake Road, St. Anthony, MN 55418 612‐782‐3301 | www.savmn.com
either insured by federal depository insurance or collateralized. Temporary cash surpluses
during the year are invested in various securities defined by Minnesota Statutes. The City’s
policy is to invest available monies at competitive interest rates in accordance with the City’s
over‐all fiscal plan and coordinate them with operating needs and programs projected over the
ensuing 12 months.
Risk Management: The City uses a proactive approach to limit its liability risk and insurance
costs. To assist employees who are injured while on duty, Managed Care Program is used to
reduce medical expenses and other costs relating to workplace injuries. The program assists
employees with a treatment plan which reduces lost workdays, replacement workers, etc.
In addition, a safety committee consisting of employees from every department meets monthly
throughout the year to discuss safety related items, review accident reports and provide
recommendations to reduce the City’s exposure to liability.
The City’s general liability insurance is with the League of Minnesota Cities Insurance Trust. In
order to reduce the cost of insurance, a $10,000 per occurrence/$50,000 aggregate deductible is
maintained and funded through insurance dividends paid by the League of Minnesota Cities.
SHARED SERVICES
Grants: Each year, the City actively participates in Federal, State and County administered
grants. In 2018 the Police, Fire, Public Works and Administration received a variety of public
safety, operating, equipment and infrastructure construction grants. A list of the grants
includes:
A. Minnesota Firefighter Disability Grant.
B. State of Minnesota – Vest Grant.
C. Ramsey County – Safe and Sober Grant.
D. Minnesota Board of Firefighter Training & Education Grant.
E. Hennepin County Recycling Grant.
F. Ramsey County Recycling Grant.
G. Hennepin County Sidewalk Grant
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Our mission is to be a progressive and welcoming
Village that is walkable, sustainable and safe
3301 Silver Lake Road, St. Anthony, MN 55418 612‐782‐3301 | www.savmn.com
H. Minnesota Department of Health ‐ Wellhead Protection Grant
Partnerships and Colleagues: The City partners with local businesses, civic organizations,
School District 282, Community Services and the Chamber of Commerce to provide a variety of
community safety and education programs. The City also has formed partnerships with
colleagues in other jurisdictions. These relationships include providing financial and human
resource services to the Middle Mississippi Water Management Organization, a fuel purchasing
arrangement with the City of New Brighton, utility billing services to the City of Birchwood
Village and police services to the City of Lauderdale. Lastly the City partners with neighboring
communities on infrastructure projects when opportunity arises. A recent example would be
the installation of LED street lights on Silver Lake Road, a joint project with the City of New
Brighton.
Acknowledgements:
Finally, we would like to express our gratitude to the Mayor and the City Council. Their
unfailing support for maintaining the highest standard of professionalism in the management
of the City of St. Anthony’s finances results in a fiscally sustainable City government.
Respectfully submitted,
_________________________________ _________________________________
Mark Casey Shelly Rueckert
City Manager Finance Director
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CITY OF ST. ANTHONY, MINNESOTA
ORGANIZATION
Term Expires
Mayor:
Jerry Faust December 31, 2019
Council Members:
Hal Gray December 31, 2019
Thomas Randle December 31, 2019
Randy Stille December 31, 2021
Jan Jenson December 31, 2021
City Manager:
Mark Casey Appointed
Finance Director:
Shelly Rueckert Appointed
December 31, 2018
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Engineer - WSB & Associates Full-Time Positions = 57
Financial - Ehlers & Associates Part-Time Positions (average) = 50
Legal - Dorsey & Whitney Public Works Seasonal=10
Planner - WSB & Associates Police Reserves (Unpaid) = 12
Building Inspections - City of New Brighton
Consultants
Parks Commission
City Manager
5 Full time Employees
25 Part time Employees
FINANCE
2018
ADMINISTRATION
7 Full time Employees
24 Part time Employees
MAYOR AND COUNCIL MEMBERS
Planning Commission
City Clerk
POLICE
St. Anthony Organizational Chart
LIQUOR OPERATIONS
Assistant to the City Manager
1 Shared Employee
23 Full time Employees5 Full time Employees
12 Reserve Officers
PUBLIC WORKS
14 Full time Employees
FIRE
10 Seasonal Employees
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II. FINANCIAL SECTION
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55 E 5th Street Suite 1400, St. Paul, MN, 55101 651.426.7000 www.redpathcpas.com
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and
Members of the City Council
City of St. Anthony, Minnesota
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, each major fund, and the aggregate remaining fund information of the
City of St. Anthony, Minnesota, as of and for the year ended December 31, 2018, and the related
notes to the financial statements, which collectively comprise the City of St. Anthony,
Minnesota’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements
in accordance with accounting principles generally accepted in the United States of America;
this includes the design, implementation, and maintenance of internal control relevant to the
preparation and fair presentation of financial statements that are free from material misstatement,
whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United
States of America and the standards applicable to financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures selected depend on the auditor’s
judgment, including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the entity’s preparation and fair presentation of the
financial statements in order to design audit procedures that are appropriate in the circumstances,
but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal
control. Accordingly, we express no such opinion. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluating the overall presentation of the financial
statements.
13
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities, the business-type activities, each
major fund, and the aggregate remaining fund information of the City of St. Anthony,
Minnesota, as of December 31, 2018, and the respective changes in financial position, and,
where applicable, cash flows thereof for the year then ended in accordance with accounting
principles generally accepted in the United States of America.
Report on Summarized Comparative Information
We have previously audited the City of St. Anthony, Minnesota’s 2017 financial statements, and
we expressed an unmodified audit opinion on the respective financial statements of the
governmental activities, the business-type activities, each major fund, and the aggregate
remaining fund information in our report dated June 6, 2018. In our opinion, the summarized
comparative information presented herein as of and for the year ended December 31, 2017 is
consistent, in all material respects, with the audited financial statements from which it has been
derived.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
Management’s Discussion and Analysis, the Budgetary Comparison information, the schedule of
changes in the City’s total OPEB liability and related ratios, the Schedules of Proportionate
Share of Net Pension Liability, the Schedules of Pension Contributions, and the Schedule of
Changes in the Net Pension Liability and Related Ratios, on pages 17 – 26 and 94 – 109, be
presented to supplement the basic financial statements. Such information, although not a part of
the basic financial statements, is required by the Governmental Accounting Standards Board,
who considers it to be an essential part of financial reporting for placing the basic financial
statements in an appropriate operational, economic, or historical context. We have applied
certain limited procedures to the required supplementary information in accordance with
auditing standards generally accepted in the United States of America, which consisted of
inquiries of management about the methods of preparing the information and comparing the
information for consistency with management’s responses to our inquiries, the basic financial
statements, and other knowledge we obtained during our audit of the basic financial statements.
We do not express an opinion or provide any assurance on the information because the limited
procedures do not provide us with sufficient evidence to express an opinion or provide any
assurance.
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Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City of St. Anthony, Minnesota’s basic financial statements. The
introductory section, combining and individual nonmajor fund financial statements and
schedules, supplementary financial information, and statistical section are presented for purposes
of additional analysis and are not a required part of the basic financial statements.
The combining and individual nonmajor fund financial statements and schedules and the
supplementary financial information are the responsibility of management and were derived
from and relate directly to the underlying accounting and other records used to prepare the basic
financial statements. Such information has been subjected to the auditing procedures applied in
the audit of the basic financial statements and certain additional procedures, including comparing
and reconciling such information directly to the underlying accounting and other records used to
prepare the basic financial statements or to the basic financial statements themselves, and other
additional procedures in accordance with auditing standards generally accepted in the United
States of America. In our opinion, the combining and individual nonmajor fund financial
statements and schedules and the supplementary financial information are fairly stated in all
material respects in relation to the basic financial statements as a whole.
The introductory and statistical sections have not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we do not express an
opinion or provide any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated May
30, 2019, 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 solely 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 effectiveness of the City of St.
Anthony, Minnesota’s internal control over financial reporting or on compliance. That report is
an integral part of an audit performed in accordance with Government Auditing Standards in
considering the City of St. Anthony, Minnesota’s internal control over financial reporting and
compliance.
REDPATH AND COMPANY, LTD.
St. Paul, Minnesota
May 30, 2019
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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, 2018.
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 $38,637,187 (net position).
The City’s total net position increased by $1,230,573 from the prior year’s stated net
position.
As of the close of the current fiscal year, the City of St. Anthony’s governmental funds
reported combined ending fund balances of $14,161,600, a decrease of $497,678 in
comparison with the prior year stated fund balances.
At the end of the current fiscal year, unassigned fund balance for the General Fund was
$2,381,460 or 35% of total General Fund Budget expenditures.
The City of St. Anthony’s total bonded debt decreased by $415,000 (1.29%) during the
current fiscal year. The key factors in this decrease were: 1) principal retirement of
$3,025,000 and 2) the issuance of $2,610,000 of 2018A G.O. Improvement 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 position presents information on all of the City of St. Anthony, Minnesota’s
assets and liabilities, with the difference between the two reported as net position. Over time,
increases or decreases in net position may serve as a useful indicator of whether the financial
position of the City of St. Anthony, Minnesota is improving or deteriorating.
The statement of activities presents information showing how the City’s net position changed
during the most recent fiscal year. All changes in net position are reported as soon as the
underlying event giving rise to the change occurs, regardless of the timing of related cash flows.
Thus, revenues and expenses are reported in this statement for some items that will only result in
cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave).
Both of the government-wide financial statements distinguish functions of the City of St.
Anthony, Minnesota that are principally supported by taxes and intergovernmental revenues
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(governmental activities) from other functions that are intended to recover all or a significant
portion of their costs through user fees and charges (business-type activities). The governmental
activities of the City of St. Anthony, Minnesota include general government, public safety,
public works, parks and recreation, services to other cities and HRA activities. The business-
type activities of the City of St. Anthony, Minnesota include the operation of water and sewer
utilities and the municipal off-sale liquor stores.
The government-wide financial statements include not only the City of St. Anthony, Minnesota
itself (known as the primary government), but also a legally separate Housing and
Redevelopment Authority (HRA) for which the City of St. Anthony, Minnesota is financially
accountable. The HRA functions for all practical purposes as a department of the City of St.
Anthony, Minnesota, and therefore has been included as an integral part of the primary
government.
The government-wide financial statements can be found on Statements 1 and 2 of this report.
Fund financial statements. A fund is a grouping of related accounts that are used to maintain
control over resources that have been segregated for specific activities or objectives. The City of
St. Anthony, Minnesota, like other state and local governments, uses fund accounting to ensure
and demonstrate compliance with finance-related legal requirements. All of the funds of the City
of St. Anthony, Minnesota can be divided into two categories: governmental funds and
proprietary funds.
Governmental funds. Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government-wide financial statements. However,
unlike the government-wide financial statements, governmental fund financial statements focus
on near-term inflows and outflows of spendable resources, as well as on balances of spendable
resources available at the end of the fiscal year. Such information may be useful in evaluating a
City’s near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements.
By doing so, readers may better understand the long-term impact of the City’s near-term
financing decisions. Both the governmental fund balance sheet and the governmental fund
statement of revenues, expenditures and changes in fund balance provide a reconciliation to
facilitate this comparison between governmental funds and governmental activities.
The City of St. Anthony, Minnesota maintains 19 individual governmental funds. Information is
presented separately in the governmental fund balance sheet and in the governmental fund
statement of revenues, expenditures and changes in fund balance for the General, Street
Improvement Debt Service, HRA TIF Debt Service, HRA TIF Improvements, Street
Improvement Projects and Public Utilities Infrastructure, all of which are considered to be major
funds. Data from the other 13 governmental funds are combined into a single, aggregated
presentation. Individual fund data for each of these non-major governmental funds is provided
in the form of combining and sub-combining statements and schedules elsewhere in this report.
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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, storm water, 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 and
pension benefits. 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, storm water, and municipal liquor operations, which are
considered to be major funds of the City of St. Anthony, Minnesota.
The basic proprietary fund financial statements can be found on Statements 6 through 8 of this
report.
Notes to the financial statements. The notes provide additional information that is essential to
a full understanding of the data provided in the government-wide and fund financial statements.
The notes to the financial statements can be found following Statement 9 of this report.
The combining statements referred to earlier in connection with non-major governmental funds
are presented immediately following the required supplementary information on budgetary
comparisons, OPEB and pension information. Combining and individual fund statements and
schedules can be found on Statements 18 through 25 of this report.
Government-wide Financial Analysis
As noted earlier, net position may serve over time as a useful indicator of a City’s financial
position. In the case of the City of St. Anthony, Minnesota, assets exceeded liabilities by
$38,637,187 at the close of the most recent fiscal year.
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City of St. Anthony, Minnesota’s Net Position
Governmental Activities Business-Type Activities Totals
2018 2017 2018 2017 2018 2017
Current and other assets $17,812,154 $19,809,914 $4,039,968 $4,314,460 $21,852,122 $24,124,374
Capital assets 35,371,998 35,203,865 24,047,540 23,184,164 59,419,538 58,388,029
Total assets $53,184,152 $55,013,779 $28,087,508 $27,498,624 $81,271,660 $82,512,403
Total deferred outflows of resources $4,154,761 $5,681,820 $0 $0 $4,154,761 $5,681,820
Long term liabilities outstanding $37,640,959 $38,976,843 $1,056,990 $1,288,644 $38,697,949 $40,265,487
Other liabilities 1,466,143 3,042,302 367,637 528,749 1,833,780 3,571,051
Total liabilities $39,107,102 $42,019,145 $1,424,627 $1,817,393 $40,531,729 $43,836,538
Total deferred inflows of resources $6,257,505 $6,951,071 $0 $0 $6,257,505 $6,951,071
Net position:
Invested in capital assets net of related debt $10,422,047 $10,274,946 $23,179,624 $22,151,578 $33,601,671 $32,426,524
Restricted 7,328,810 6,780,816 - - 7,328,810 6,780,816
Unrestricted (5,776,551) (5,330,379) 3,483,257 3,529,653 (2,293,294) (1,800,726)
Total net position $11,974,306 $11,725,383 $26,662,881 $25,681,231 $38,637,187 $37,406,614
The City’s net position increased by $1,230,573 in 2018. The increase was primarily due to
revenues exceeding expenses.
City of St. Anthony, Minnesota’s Changes in Net Position
Governmental Activities Business-Type Activities Totals
2018 2017 2018 2017 2018 2017
Revenues:
Program revenue:
Charges for services $1,602,792 $2,281,654 $8,242,070 $8,003,618 $9,844,862 $10,285,272
Operating grants and contributions 560,924 630,316 - - 560,924 630,316
Capital grants and contributions 817,077 1,604,844 126,991 569,716 944,068 2,174,560
General revenue:
Property taxes 7,128,703 6,577,570 - - 7,128,703 6,577,570
Other taxes 1,870,589 1,530,093 - - 1,870,589 1,530,093
Grants and contributions
not restricted to specific programs 559,437 535,422 - - 559,437 535,422
Other 560,822 676,616 45,336 94,525 606,158 771,141
Total revenues 13,100,344 13,836,515 8,414,397 8,667,859 21,514,741 22,504,374
Expenses:
General government 1,234,274 1,337,698 - - 1,234,274 1,337,698
Public safety 4,886,105 6,018,470 - - 4,886,105 6,018,470
Public works 3,005,637 2,988,291 - - 3,005,637 2,988,291
Parks and recreation 488,132 472,700 - - 488,132 472,700
Housing and redevelopment 1,189,659 787,775 - - 1,189,659 787,775
Interest on long-term debt 795,625 738,914 - - 795,625 738,914
Liquor - - 5,617,377 5,591,683 5,617,377 5,591,683
Water - - 1,573,857 1,176,102 1,573,857 1,176,102
Sewer - - 1,243,591 1,144,273 1,243,591 1,144,273
Stormwater - - 249,911 244,135 249,911 244,135
Total expenses 11,599,432 12,343,848 8,684,736 8,156,193 20,284,168 20,500,041
Excess before transfers 1,500,912 1,492,667 (270,339) 511,666 1,230,573 2,004,333
Transfers (1,251,989) (7,986,616) 1,251,989 7,986,616 - -
Increase (decrease) in net position 248,923 (6,493,949) 981,650 8,498,282 1,230,573 2,004,333
Net position - January 1 11,725,383 18,219,332 25,681,231 17,182,949 37,406,614 35,402,281
Net position - December 31 $11,974,306 $11,725,383 $26,662,881 $25,681,231 $38,637,187 $37,406,614
20
Governmental Activities. Governmental activities increased the City of St. Anthony’s net
position by $248,923 compared to prior year decrease of $6,493,949. The key element of this
change relates to prior year’s change included transfers of $7,986,616 to Business –Type
Activities includes the cost of the expanded facility. The facility was completed in 2017 and no
further transfers were made in 2018.
Additionally, increases in Governmental Activities expenses, for the most part, closely paralleled
the combining factors of inflation and growth in the demand for services.
21
Business-type activities. Business-type activities increased net position by $981,650. The key
factor for the increase was transfers of $1,251,989 from Governmental-Type Activities Fund to
Business-Type activities.
Financial Analysis of the City’s Funds
As noted earlier, the City of St. Anthony uses fund accounting to ensure and demonstrate
compliance with finance-related legal requirements.
Governmental funds. The focus of the City of St. Anthony, Minnesota’s governmental funds is
to provide information on near-term inflows, outflows, and balances of spendable resources.
Such information is useful in assessing the City of St. Anthony, Minnesota’s financing
requirements.
As of the end of the current fiscal year, the City of St. Anthony, Minnesota’s governmental funds
reported combined ending fund balances of $14,161,600, a decrease of $497,678 in comparison
with the prior year amounts.
The ending fund balance by GASB 54 designation is as follows:
Nonspendable $223,991
Restricted 7,466,883
Committed 124,214
Assigned 5,458,103
Unassigned 888,409
Total $14,161,600
22
The General Fund is the chief operating fund of the City of St. Anthony, Minnesota. At the end
of the current fiscal year, unassigned fund balance of the General Fund was $2,381,460, while
total fund balance reached $2,507,764. As a measure of the General Fund’s liquidity, it may be
useful to compare both unassigned fund balance and total fund balance to total fund
expenditures. Unassigned fund balance represents 35% of total General Fund expenditures and
total fund balance represents 37% of that same amount.
During the current fiscal year, the fund balance in the General Fund increased by $107,650 due
to increase of transfers from $200,000 to $357,870.
The Street Improvement Debt Service Fund increased by $406,532. Expenditures exceeded
revenues by $24,971, however, other financing sources of $431,503 ultimately created an
increase in fund balance.
The HRA TIF Debt Service Fund decreased by $1,503 due to transferred revenue that covered
only principal and interest expenditures.
The HRA TIF Improvement Fund increased by $155,224, substantially due to a decrease in
Construction and acquisitions costs of $130,329.
The Street Improvement Project Funds increased by $268,342 due to transfer revenue of
$226,794 received from Enterprise funds for utility related improvements.
The Public Utilities Infrastructure Fund decreased by $504,467 substantially due to costs related
to fiber expansions, well improvements, and purchase of heavy equipment.
Non-major Special Revenue Funds increased by $9,173 resulting in an ending balance of
$167,316, substantially due to the increase in general property tax revenue of $6,445.
Non-major Debt Service Funds had a total fund balance of $1,080,186, all of which is restricted
for the payment of debt service. The net increase in fund balance during the current year in the
non-major debt service funds was $33,011, substantially due to transfer revenue of $68,880
received from Enterprise funds for utility related improvements.
Non-major Capital Project Funds had a total fund balance of $1,023,945, a decrease of $971,640
from prior year, substantially due to increase in capital related expenditures of $646,721.
Proprietary funds. The City of St. Anthony, Minnesota’s proprietary funds provide the same
type of information found in the government-wide financial statements, but in more detail.
Total net position in the Liquor Operations, Water and Sewer Funds, and Stormwater Utility
Fund at the end of the year combined was $26,869,580. The total net position for each fund was:
Liquor – $2,184,515; Water and Sewer – $16,669,114; Stormwater Utility - $8,015,951.
23
General Fund Budgetary Highlights
Variances from actual to budget can be briefly summarized as follows:
General property taxes were $63,574 greater than budget due to a higher percentage of
current tax levy collections were received than was budgeted.
Licenses and permits were $30,678 greater than budget primarily due to higher level of
construction related permit activity.
Intergovernmental revenues were $63,388 greater than budget due to grant funding for
Fire Department training was greater than budgeted by $18,307; Police Department
grants and state aid was greater than budgeted by $35,057.
Charges for services were less than budget by $19,784 mainly due to lower cable
franchise fees than budgeted by $17,738.
Planning and Zoning other services and charges were greater than budget by $19,871 due
to costs associated with the 2040 comprehensive plan.
Public Works was $52,182 less than budget due to budgeted street sealcoating and crack
filling was not required in 2018.
Police protection was $206,901 more than budget due to costs professional costs
associated with data practices requests.
Protective Inspections – other services and charges was $28,778 greater than budget due
to higher level of construction related permit activity.
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, 2018 amounts to $59,419,538 (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 1.77%.
Major capital asset events during the current fiscal year included the following:
The 2017 street reconstruction and infrastructure improvement was completed in 2018 along
with the Mirror Lake storm water project.
The 2018 street reconstruction and infrastructure improvements are reflected in construction
work in progress along with preliminary costs associated with upcoming flood mitigation
projects, utility improvements and sidewalk and trails.
24
City of St. Anthony, Minnesota’s Capital Assets
Governmental Activities Business-Type Activities Totals
2018 2017 2018 2017 2018 2017
Land $1,662,883 $1,662,883 $2,089,954 $2,089,954 $3,752,837 $3,752,837
Permanent easements 73,984 - - - 73,984 -
Land improvement 587,187 555,181 1,038,687 - 1,625,874 555,181
Buildings and structures 10,105,047 10,105,047 8,467,897 8,372,645 18,572,944 18,477,692
Furniture and fixtures 4,761,555 4,255,778 4,841,674 4,547,552 9,603,229 8,803,330
Software intangibles 23,303 6,823 26,022 26,022 49,325 32,845
Infrastructure/streets 39,489,582 36,041,107 14,896,823 13,763,523 54,386,405 49,804,630
Storm sewers 428,469 428,469 - - 428,469 428,469
Storm water - - 2,253,147 2,253,147 2,253,147 2,253,147
Less accumulated depreciation (24,526,759) (22,702,055) (9,566,664) (8,703,724) (34,093,423) (31,405,779)
Construction in progress 2,766,747 4,850,632 - 835,045 2,766,747 5,685,677
Total $35,371,998 $35,203,865 $24,047,540 $23,184,164 $59,419,538 $58,388,029
Additional information on the City of St. Anthony, Minnesota’s capital assets can be found in
Note 5.
Long-term debt. At the end of the current fiscal year, the City of St. Anthony, Minnesota had
total bonded debt outstanding of $31,730,000. Of this amount, $22,040,000 comprises debt
backed by special assessments and the full faith and credit of the City, $6,660,000 is backed by
tax increments, $2,185,000 is backed by lease revenue sources, and $845,000 is backed by
revenues sources from the City of St. Anthony, Minnesota’s water/sewer funds. In addition, the
City of St. Anthony, Minnesota’s debt represents the liability for compensated absences
$846,668, net pension liability of $4,499,785, and OPEB liability of $803,931.
City of St. Anthony, Minnesota’s Outstanding Debt
General Obligation and Revenue Bonds
Governmental Activities Business-Type Activities Totals
2018 2017 2018 2017 2018 2017
General obligation bonds $22,040,000 $21,595,000 $ - $ - $22,040,000 $21,595,000
G.O. revenue bonds 2,185,000 2,510,000 845,000 975,000 3,030,000 3,485,000
G.O. tax increment bonds 6,660,000 7,065,000 - - 6,660,000 7,065,000
Issuance premiums (discounts) 794,649 793,291 22,916 27,424 817,565 820,715
Total $31,679,649 $31,963,291 $867,916 $1,002,424 32,547,565 $32,965,715
The City of St. Anthony’s total bonded debt decreased by $415,000 (1.29%) during the current
fiscal year. The key factors in this decrease were: 1) principal retirement of $3,025,000 and 2)
the issuance of $2,610,000 of 2018A G.O. Improvement 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 $27,507,354, which is in excess of the City of St. Anthony, Minnesota’s applicable
debt. Additional information on the City of St. Anthony, Minnesota’s long-term debt can be
found in Note 6.
25
Economic Factors and Next Year’s Budgets and Bond Rating comments
Healthy financial profile with a stable outlook including a strong general fund balance.
Strong income and wealth indicators relative to national levels.
The stable outlook reflects expectations that St. Anthony will continue to maintain
balanced operations.
Good management practices, including extensive financial planning, to maintain present
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
2019 fiscal year.
Requests for Information
This financial report is designed to provide a general overview of the City of St. Anthony,
Minnesota’s finances for all those with an interest in the government’s finances. Questions
concerning any of the information provided in this report or requests for additional financial
information should be addressed to the Office of the Finance Director, City of St. Anthony,
Minnesota, 3301 Silver Lake Road, St. Anthony, Minnesota, 55418.
26
BASIC FINANCIAL STATEMENTS
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28
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF NET POSITION Statement 1
December 31, 2018
With Comparative Totals For December 31, 2017
Governmental Business-Type
Activities Activities 2018 2017
Assets:
Cash and investments $14,705,310 $2,370,867 $17,076,177 $18,992,195
Accrued interest 41,672 - 41,672 30,964
Due from other governmental units 320,710 11,432 332,142 763,888
Internal balances 206,699 (206,699) - -
Accounts receivable - net 25,769 601,647 627,416 624,802
Loans receivable 32,674 - 32,674 41,194
Prepaid items 220,011 29,047 249,058 150,652
Property taxes receivable 191,626 585 192,211 109,995
Special assessments receivable 1,888,670 23,084 1,911,754 1,804,010
Inventories - at cost 3,980 1,210,005 1,213,985 1,320,221
Capital assets - net:
Nondepreciable 4,503,614 2,089,954 6,593,568 9,438,514
Depreciable 30,868,384 21,957,586 52,825,970 48,949,515
Net pension asset 175,033 - 175,033 286,453
Total assets 53,184,152 28,087,508 81,271,660 82,512,403
Deferred outflows of resources:
Related to other post employment benefits 30,066 - 30,066 -
Related to pensions 4,124,695 - 4,124,695 5,681,820
Total deferred outflows of resources 4,154,761 0 4,154,761 5,681,820
Liabilities:
Accounts payable 417,813 123,123 540,936 1,962,226
Contracts payable 573,031 - 573,031 889,976
Deposits payable 7,551 59,905 67,456 67,412
Due to other governmental units 24,529 144,702 169,231 179,369
Salaries payable 83,811 32,865 116,676 103,835
Accrued interest payable 359,408 7,042 366,450 368,233
Compensated absences payable:
Due within one year 214,247 61,602 275,849 271,652
Due in more than one year 443,347 127,472 570,819 570,204
Bonds and notes payable (net of unamortized
premiums and discounts):
Due within one year 3,040,000 130,000 3,170,000 3,025,000
Due in more than one year 28,639,649 737,916 29,377,565 29,940,715
Other post employment benefits:
Due in more than one year 803,931 - 803,931 722,331
Net pension liability:
Due in more than one year 4,499,785 - 4,499,785 5,735,585
Total liabilities 39,107,102 1,424,627 40,531,729 43,836,538
Deferred inflows of resources:
Related to pensions 6,257,505 - 6,257,505 6,951,071
Net position:
Net investments in capital assets 10,422,047 23,179,624 33,601,671 32,426,524
Restricted for:
Debt service 7,097,594 - 7,097,594 6,537,390
Pensions 200,075 - 200,075 219,561
Public safety 31,141 - 31,141 23,865
Unrestricted (5,776,551) 3,483,257 (2,293,294) (1,800,726)
Total net position $11,974,306 $26,662,881 $38,637,187 $37,406,614
Total
Primary Government
The accompanying notes are an integral part of these financial statements.
29
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF ACTIVITIES
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
Program Revenues
Charges For
Functions/Programs Expenses Services
Primary government:
Governmental activities:
General government $1,234,274 $385,823
Public safety 4,886,105 783,160
Public works 3,005,637 204,897
Parks and recreation 488,132 228,912
Housing and redevelopment 1,189,659 -
Interest on long-term debt 795,625 -
Total governmental activities 11,599,432 1,602,792
Business-type activities:
Liquor 5,617,377 5,867,452
Water/water plant 1,573,857 1,010,722
Sewer 1,243,591 1,162,167
Stormwater 249,911 201,729
Total business-type activities 8,684,736 8,242,070
Total primary government $20,284,168 $9,844,862
The accompanying notes are an integral part of these financial statements.
30
Statement 2
Operating Capital
Grants and Grants and Governmental Business-Type
Contributions Contributions Activities Activities 2018 2017
$31,277 $ - ($817,174) $ - ($817,174) ($889,024)
388,975 - (3,713,970) - (3,713,970) (4,104,501)
140,672 817,077 (1,842,991) - (1,842,991) (1,076,699)
- - (259,220) - (259,220)(230,121)
- - (1,189,659) - (1,189,659)(787,775)
- - (795,625) - (795,625)(738,914)
560,924 817,077 (8,618,639)0 (8,618,639) (7,827,034)
- - - 250,075 250,075 122,317
- - - (563,135)(563,135)(206,464)
- - - (81,424)(81,424)(21,535)
- 126,991 - 78,809 78,809 522,823
0 126,991 0 (315,675)(315,675)417,141
$560,924 $944,068 (8,618,639)(315,675)(8,934,314) (7,409,893)
General revenues:
General property taxes 7,128,703 - 7,128,703 6,577,570
Tax increment taxes 1,870,589 - 1,870,589 1,530,093
Grants and contributions not
restricted to specific programs 559,437 - 559,437 535,422
Unrestricted investment earnings 286,519 32,771 319,290 256,384
Gain on sale of capital assets 48,529 - 48,529 34,775
Other 225,774 12,565 238,339 479,982
Transfers (1,251,989) 1,251,989 - -
Total general revenues and transfers 8,867,562 1,297,325 10,164,887 9,414,226
Change in net position 248,923 981,650 1,230,573 2,004,333
Net position - January 1 11,725,383 25,681,231 37,406,614 35,402,281
Net position - December 31 $11,974,306 $26,662,881 $38,637,187 $37,406,614
Program Revenues
Total
Primary Government
Changes in Net Position
Net (Expense) Revenue and
The accompanying notes are an integral part of these financial statements.
31
CITY OF ST. ANTHONY, MINNESOTA
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2018
With Comparative Totals For December 31, 2017
General Fund
Street Improvement
Debt Service Fund HRA TIF Debt Service
Assets
Cash and investments $2,348,969 $4,448,108 $7,537
Accrued interest 37,166 - -
Due from other governmental units 35,909 25,000 -
Interfund receivable 93,921 - -
Interfund loan receivable - - -
Accounts receivable - net 25,036 - -
Loans receivable - - -
Prepaid items 122,324 - -
Property taxes receivable:
Delinquent 34,402 13,679 -
Due from county 41,638 19,353 -
Special assessments receivable 5,754 1,869,543 -
Inventories 3,980 - -
Total assets $2,749,099 $6,375,683 $7,537
Liabilities, Deferred Inflows of Resources, and Fund Balance
Liabilities:
Accounts payable $90,794 $ - $ -
Contracts payable - - -
Deposits payable 4,424 3,127 -
Interfund payable - - -
Interfund loan payable - - -
Due to other governmental units 24,499 - -
Salaries payable 81,462 - -
Total liabilities 201,179 3,127 0
Deferred inflows of resources:
Unavailable revenue 40,156 1,895,923 -
Total deferred inflows of resources 40,156 1,895,923 0
Fund balance (deficit):
Nonspendable 126,304 - -
Restricted - 4,476,633 7,537
Committed - - -
Assigned - - -
Unassigned 2,381,460 - -
Total fund balance (deficit)2,507,764 4,476,633 7,537
Total liabilities, deferred inflows of
resources, and fund balance (deficit)$2,749,099 $6,375,683 $7,537
The accompanying notes are an integral part of these financial statements.
32
Statement 3
HRA TIF
Improvements
Street Improvement
Project Fund
Public Utilities
Infrastructure
Other Governmental
Funds
Intra-Activity
Eliminations
2018 2017
$1,450,168 $841,228 $3,027,904 $2,422,152 $ - $14,546,066 $16,326,450
- 4,506 - - - 41,672 30,964
- 88,331 - 171,470 - 320,710 753,412
- - - - (93,921) - -
- - 993,046 - (993,046) - -
- - - 733 - 25,769 39,311
- - - 32,674 - 32,674 41,194
94,695 - - 2,992 - 220,011 122,147
46,028 - - 7,363 - 101,472 71,377
18,995 - - 10,168 - 90,154 38,245
- - - 13,373 - 1,888,670 1,788,335
- - - - - 3,980 12,843
$1,609,886 $934,065 $4,020,950 $2,660,925 ($1,086,967) $17,271,178 $19,224,278
$8,411 $122,971 $11,413 $184,224 $ - $417,813 $1,675,682
20,188 337,282 67,142 148,419 - 573,031 859,814
- - - - - 7,551 4,042
- 93,921 - - (93,921) - -
959,326 - - 33,720 (993,046) - -
- - - 30 - 24,529 66,360
- - - 2,349 - 83,811 76,296
987,925 554,174 78,555 368,742 (1,086,967)1,106,735 2,682,194
46,028 - - 20,736 - 2,002,843 1,882,806
46,028 0 0 20,736 0 2,002,843 1,882,806
94,695 - - 2,992 - 223,991 134,990
1,871,386 - - 1,111,327 - 7,466,883 7,002,918
- - - 124,214 - 124,214 125,069
- 379,891 3,942,395 1,135,817 - 5,458,103 6,568,756
(1,390,148) - - (102,903) - 888,409 827,545
575,933 379,891 3,942,395 2,271,447 0 14,161,600 14,659,278
$1,609,886 $934,065 $4,020,950 $2,660,925 ($1,086,967) $17,271,178 $19,224,278
Fund balance reported above $14,161,600 $14,659,278
Amounts reported for governmental activities in the statement of net position are different because:
Capital assets used in governmental activities are not financial resources, and therefore,
are not reported in the funds.35,371,998 35,203,865
Other long-term assets are not available to pay for current-period expenditures and,
therefore, are reported as unavailable in the funds.2,002,843 1,882,806
Net pension asset related to the Saint Anthony Fire Department Relief Association. 175,033 286,453
Deferred outflows of resources related to the Saint Anthony Fire Department Relief Association.78,816 2,463
Deferred inflows of resources related to the Saint Anthony Fire Department Relief Association.(53,774)(69,355)
Long-term liabilities, including bonds payable, are not due and payable in the current period
and therefore are not reported in the funds.(32,039,057) (32,943,025)
Internal service funds are used by management to charge the cost of employee vacation,
severance, pension benefits, and other post employment benefits to individual funds. The assets
and liabilities are included in the governmental activities on the statement of net position.(7,723,153) (7,297,102)
Net position of governmental activities $11,974,306 $11,725,383
Total Governmental Funds
The accompanying notes are an integral part of these financial statements.
33
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
General Fund
Street Improvement
Debt Service Fund
HRA TIF Debt
Service
Revenues:
General property taxes $4,234,627 $1,833,144 $ -
Tax increment collections - - -
Licenses, fees and permits 295,955 - -
Intergovernmental 1,025,888 - -
Special assessments 2,171 588,400 -
Charges for services 963,641 - -
Cable franchise fees 101,612 - -
Fines and forfeits 72,574 - -
Investment income 23,866 40,405 -
Contributions and donations 3,873 - -
Refunds and reimbursements 19,596 - -
Miscellaneous 35,559 475 -
Total revenues 6,779,362 2,462,424 0
Expenditures:
Current:
General government 986,885 - -
Public safety 4,619,786 - -
Public works 922,648 - -
Parks and recreation 262,516 - -
Nondepartmental 61,262 - -
Housing and redevelopment - - -
Capital outlay:
General government - - -
Public safety - - -
Public works - - -
Parks and recreation - - -
Debt service:
Principal - 1,985,000 405,000
Interest - 495,303 182,238
Paying agent fees - 4,056 1,502
Professional service - 2,586 -
Issuance costs - 450 -
Construction/acquisition costs - - -
Developer incentives - - -
Total expenditures 6,853,097 2,487,395 588,740
Revenues over (under) expenditures (73,735)(24,971)(588,740)
Other financing sources (uses):
Bonds issued - 64,907 -
Refunding bonds issued - - -
Premium on bonds issued - - -
Sale of capital assets - - -
Transfers in 357,870 366,596 587,237
Transfers out (176,485) - -
Total other financing sources (uses)181,385 431,503 587,237
Net change in fund balance 107,650 406,532 (1,503)
Fund balance - January 1 2,400,114 4,070,101 9,040
Fund balance - December 31 $2,507,764 $4,476,633 $7,537
The accompanying notes are an integral part of these financial statements.
34
Statement 4
HRA TIF
Improvements
Street Improvement
Project Fund
Public Utilities
Infrastructure
Other Governmental
Funds
Intra-Activity
Eliminations
2018 2017
$ - $ - $ - $1,040,176 $ - $7,107,947 $6,633,308
1,861,251 - - - - 1,861,251 1,541,874
- - - - - 295,955 358,230
- 68,602 - 41,966 - 1,136,456 1,925,460
- 64,990 - 2,971 - 658,532 589,332
- - - 134,299 - 1,097,940 1,732,288
- - - - - 101,612 115,079
- - - 12,964 - 85,538 76,057
71,963 24,924 89,010 34,284 - 284,452 233,668
- 11,573 - 600 - 16,046 102,340
- 7,152 9,544 137,245 - 173,537 388,564
- 7,500 - - - 43,534 18,705
1,933,214 184,741 98,554 1,404,505 0 12,862,800 13,714,905
21,815 9,156 - 30,358 - 1,048,214 1,119,746
- - - 241,572 - 4,861,358 5,346,521
- - 29,925 255,659 - 1,208,232 1,034,427
- - - 168,575 - 431,091 406,748
- - - - - 61,262 45,095
11,289 - - 148,966 - 160,255 132,437
- - - 102,507 - 102,507 -
- - - 603,056 - 603,056 111,041
- - 285,243 35,906 - 321,149 320,470
- - - 10,705 - 10,705 -
- - - 505,000 - 2,895,000 5,815,000
93,150 - - 117,107 - 887,798 846,526
1,488 - - 1,252 - 8,298 5,760
- - - 237 - 2,823 6,677
- 63,123 - - - 63,573 104,887
25,924 2,605,242 89,453 - - 2,720,619 9,908,037
1,029,217 - - - - 1,029,217 649,910
1,182,883 2,677,521 404,621 2,220,900 0 16,415,157 25,853,282
750,331 (2,492,780)(306,067)(816,395)0 (3,552,357) (12,138,377)
- 2,545,093 - - - 2,610,000 3,120,000
- - - - - - 2,190,000
- 92,831 - - - 92,831 302,540
- - - 64,754 - 64,754 28,244
- 226,794 - 339,250 (1,590,653)287,094 312,760
(595,107)(103,596)(198,400)(517,065) 1,590,653 - -
(595,107) 2,761,122 (198,400)(113,061)0 3,054,679 5,953,544
155,224 268,342 (504,467)(929,456)0 (497,678) (6,184,833)
420,709 111,549 4,446,862 3,200,903 - 14,659,278 20,844,111
$575,933 $379,891 $3,942,395 $2,271,447 $0 $14,161,600 $14,659,278
Total Governmental Funds
The accompanying notes are an integral part of these financial statements.
35
CITY OF ST. ANTHONY, MINNESOTA
RECONCILIATION OF THE STATEMENT OF REVENUES,Statement 5
EXPENDITURES AND CHANGES IN FUND BALANCES OF
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2018
With Comparative Amounts For The Year Ended December 31, 2017
2018 2017
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)($497,678) ($6,184,833)
Governmental funds report capital outlays as expenditures. However, in the
statement of activities the cost of those assets is allocated over their
estimated useful lives and reported as depreciation expense. This is the
amount by which capital outlays exceeded depreciation in the current period.1,698,333 7,813,363
The net effect of various miscellaneous transactions involving capital assets
(i.e. sales, trade-ins and donations) is to decrease net position, as follows:(7,522) (65,479)
Revenues in the statement of activities that do not provide current financial
resources are not reported as revenues in the funds.120,037 61,298
The issuance of long-term debt (e.g. bonds, leases) provides current financial
resources to governmental funds, while the repayment of the principal of
long-term debt consumes the current financial resources of governmental
funds. Neither transaction, however, has any effect on net position. This
amount is the net effect of these differences in the treatment of long-term debt
and related items.192,169 152,550
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.92,173 107,612
Transfer out of governmental capital assets contributed to Enterprise Funds.(1,522,678) (8,000,094)
Internal Service Funds are used by management to charge the cost of severance
pension, and other post employment expenses to individual funds. This amount is the
net income attributable to governmental activities.193,575 (398,285)
Governmental funds report pension contributions as expenditures, however,
pension expense is reported in the statement of activities. This is the amount
by which the St. Anthony Fire Department Relief Association pension expense
differs from pension contributions:
Pension contributions $59,083
Pension expense (78,569) (19,486) 19,919
Change in net position of governmental activities (statement 2)$248,923 ($6,493,949)
The accompanying notes are an integral part of these financial statements.
36
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF NET POSITION Statement 6
PROPRIETARY FUNDS
December 31, 2018
With Comparative Totals For Enterprise Funds For December 31, 2017
Governmental
Activities -
Liquor
Water/Sewer/
Water Plant
Stormwater
Utility
Internal
Service Fund
Assets:2018 2017
Current assets:
Cash and cash equivalents $469,542 $1,803,675 $97,650 $2,370,867 $2,559,792 $159,244
Receivables:
Accounts - net 8,140 616,591 - 624,731 601,166 -
Due from other governmental units - 585 11,432 12,017 10,849 -
Prepaid items 12,292 16,755 - 29,047 28,505 -
Inventories - at cost 897,494 312,511 - 1,210,005 1,307,378 -
Total current assets 1,387,468 2,750,117 109,082 4,246,667 4,507,690 159,244
Noncurrent assets:
Capital assets:
Land - 5,653 2,084,301 2,089,954 2,089,954 -
Land improvements - - 1,038,687 1,038,687 - -
Construction in progress - - - - 835,045 -
Buildings and structures 1,880,793 6,587,104 - 8,467,897 8,372,645 -
Furniture, fixtures and equipment 441,685 4,399,989 - 4,841,674 4,547,552 -
Distribution and collection system - 11,380,084 5,769,887 17,149,971 15,852,681 -
Software intangibles 26,022 - - 26,022 190,011 -
Total capital assets 2,348,500 22,372,830 8,892,875 33,614,205 31,887,888 0
Less: Allowance for depreciation (1,314,538) (7,274,881) (977,246) (9,566,665) (8,703,724) -
Net capital assets 1,033,962 15,097,949 7,915,629 24,047,540 23,184,164 0
Total assets 2,421,430 17,848,066 8,024,711 28,294,207 27,691,854 159,244
Deferred outflows of resources:
Related to OPEB - - - - - 30,066
Related to pensions - - - - - 4,045,879
Total deferred outflows of resources - - - - - 4,075,945
Liabilities:
Current liabilities:
Accounts payable 86,700 28,503 7,920 123,123 286,544 -
Contracts payable - - - - 30,162 -
Due to other governmental units 65,089 78,773 840 144,702 113,009 -
Salaries payable 18,231 14,634 - 32,865 27,539 -
Accrued interest payable - 7,042 - 7,042 8,125 -
Refundable deposits - 59,905 - 59,905 63,370 -
Compensated absences payable - current portion 21,795 39,807 - 61,602 59,217 214,247
Bonds and notes payable - current portion - 130,000 - 130,000 130,000 -
Total current liabilities 191,815 358,664 8,760 559,239 717,966 214,247
Noncurrent liabilities:
Compensated absences payable - noncurrent portion 45,100 82,372 - 127,472 124,298 443,347
Bonds and notes payable - noncurrent portion - 737,916 - 737,916 872,424 -
Other post employment benefits liability - - - - 102,705 803,931
Net pension liability - - - - - 4,499,785
Total noncurrent liabilities 45,100 820,288 0 865,388 1,099,427 5,747,063
Total liabilities 236,915 1,178,952 8,760 1,424,627 1,817,393 5,961,310
Deferred inflows of resources:
Related to pensions - - - - - 6,203,731
Net position:
Net investments in capital assets 1,033,962 14,230,033 7,915,629 23,179,624 22,151,578 -
Unrestricted 1,150,553 2,439,081 100,322 3,689,956 3,722,883 (7,929,852)
Total net position $2,184,515 $16,669,114 $8,015,951 $26,869,580 $25,874,461 ($7,929,852)
Net position reported above $26,869,580 $25,874,461
Adjustment to report the cumulative internal balance for the net effect of activity
between the internal service fund and the enterprise funds over time.(206,699) (193,230)
Net position of business-type activities (Statement 1)$26,662,881 $25,681,231
Business-Type Activities Enterprise Funds
Totals
The accompanying notes are an integral part of these financial statements.
37
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF REVENUES, EXPENSES AND Statement 7
CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
For The Year Ended December 31, 2018
With Comparative Totals For Enterprise Funds For The Year Ended December 31, 2017
Governmental
Activities -
Liquor
Water/Sewer/
Water Plant
Stormwater
Utility
Internal Service
Fund
2018 2017
Sales $5,867,452 $ - $ - $5,867,452 $5,714,000 $ -
Cost of sales (4,344,764) - - (4,344,764) (4,354,933) -
Gross profit 1,522,688 0 0 1,522,688 1,359,067 0
Operating revenues:
Customer billings - 2,121,689 201,729 2,323,418 2,241,968 -
Connection charges - 51,200 - 51,200 47,650 -
Charges for services - - - - - 616,737
Total operating revenues 0 2,172,889 201,729 2,374,618 2,289,618 616,737
Total gross profit and operating revenues 1,522,688 2,172,889 201,729 3,897,306 3,648,685 616,737
Operating expenses:
Personal services 818,707 879,764 - 1,698,471 1,627,715 458,754
Supplies 317,399 256,513 6,871 580,783 416,067 -
Contracted services 50,003 168,643 27,031 245,677 219,261 -
Treatment charges (MCES) - 708,567 - 708,567 643,390 -
Other 10,358 206,020 - 216,378 193,375 -
Depreciation 68,782 578,149 216,009 862,940 630,196 -
Total operating expenses 1,265,249 2,797,656 249,911 4,312,816 3,730,004 458,754
Operating income (loss) 257,439 (624,767) (48,182) (415,510) (81,319) 157,983
Nonoperating revenues (expenses):
Investment income 7,275 24,620 876 32,771 21,812 2,067
Intergovernmental revenue - - - - - 36,461
Interest expense - (12,609) - (12,609) (15,200) -
Fees and cost of issuance - (1,078) - (1,078) (603) -
Refunds and reimbursements - 3,753 - 3,753 4,495 -
Miscellaneous revenue 1,357 6,105 1,350 8,812 68,218 -
Total nonoperating revenues (expenses)8,632 20,791 2,226 31,649 78,722 38,528
Income (loss) before capital
contributions, transfers and special items 266,071 (603,976) (45,956) (383,861) (2,597) 196,511
Capital contributions, transfers and special item:
Capital contributions 18,060 1,224,256 280,362 1,522,678 8,385,676 -
Capital contributions - intergovernmental - - 126,991 126,991 569,716 -
Transfers in 52,738 49,967 - 102,705 - 86,300
Transfers out (250,000) - (123,394) (373,394) (399,060) (102,705)
Special item - - - - - (619,626)
Total capital contributions, (179,202) 1,274,223 283,959 1,378,980 8,556,332 (636,031)
transfers and special items
Change in net position 86,869 670,247 238,003 995,119 8,553,735 (439,520)
Net position - January 1 2,097,646 15,998,867 7,777,948 25,874,461 17,320,726 (7,490,332)
Net position - December 31 $2,184,515 $16,669,114 $8,015,951 $26,869,580 $25,874,461 ($7,929,852)
Change in net position reported for business-type activities above $995,119 $8,553,735
Transfer in of capital assets from governmental activities 1,522,678 8,000,094
Transfer in of inventory from governmental activities - 385,582
Portion of contribution revenue reported above (1,522,678) (8,385,676)
Adjustment for the net effect of the current year activity between the
internal service fund and the enterprise funds.(13,469) (55,453)
Change in net position of business-type activities (Statement 2)$981,650 $8,498,282
Business-Type Activities Enterprise Funds
Totals
The accompanying notes are an integral part of these financial statements.
38
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF CASH FLOWS Statement 8
PROPRIETARY FUNDS
For The Year Ended December 31, 2018
With Comparative Totals For Enterprise Funds For The Year Ended December 31, 2017
Governmental
Activities -
Liquor
Water/Sewer/
Water Plant
Stormwater
Utility
Internal
Service Fund
2018 2017
Cash flows from operating activities:
Receipts from customers and users $5,864,410 $2,152,366 $200,327 $8,217,103 $7,935,360 $ -
Receipts from interfund charges for pension benefits - - - - - 594,990
Payment to suppliers (4,816,804) (1,278,159) (69,730) (6,164,693) (5,826,248) -
Payment to employees (816,368) (871,218) - (1,687,586) (1,594,083) (630,066)
Miscellaneous revenue 1,524 9,925 1,350 12,799 239,476 -
Net cash flows provided by (used in)
operating activities 232,762 12,914 131,947 377,623 754,505 (35,076)
Cash flows from noncapital financing activities:
Transfer from General Fund - - - - - 86,300
Transfer to General Fund (250,000) - - (250,000) (249,060) -
Transfer to Debt Service Funds - - (123,394) (123,394) (150,000) -
Net cash flows provided by (used in)
noncapital financing activities (250,000)0 (123,394) (373,394) (399,060) 86,300
Cash flows from capital and related
financing activities:
Intergovernmental revenue - capital - - 126,991 126,991 569,716 -
Acquisition of capital assets - - (203,642) (203,642) (596,126) -
Principal paid on debt - (130,000) - (130,000) (125,000) -
Interest paid on debt - (19,274) - (19,274) (21,355) -
Net cash flows provided by (used in)
capital and related financing activities 0 (149,274) (76,651) (225,925) (172,765)0
Cash flows from investing activities:
Investment income 7,275 24,620 876 32,771 21,812 2,067
Net increase (decrease) in cash and cash equivalents (9,963) (111,740) (67,222) (188,925) 204,492 53,291
Cash and cash equivalents - January 1 479,505 1,915,415 164,872 2,559,792 2,355,300 105,953
Cash and cash equivalents - December 31 $469,542 $1,803,675 $97,650 $2,370,867 $2,559,792 $159,244
Reconciliation of operating income (loss) to net cash
provided (used) by operating activities:
Operating income (loss) $257,439 ($624,767) ($48,182) ($415,510) ($81,319) $157,983
Adjustments to reconcile operating income (loss)
to net cash flows from operating activities:
Miscellaneous revenue 1,357 9,858 1,350 12,565 239,476 -
Depreciation 68,782 578,149 216,009 862,940 630,196 -
Changes in assets and liabilities:
Decrease (increase) in receivables (2,875) (20,456) (1,402) (24,733) (68,258) -
Decrease (increase) in prepaid items 498 (1,040) - (542) 2,622 -
Decrease (increase) in inventory (50,205) 147,578 - 97,373 (78,696) -
Decrease (increase) in deferred outflows of resources - - - - - 1,603,412
Increase (decrease) in payables (42,234) (76,408) (35,828) (154,470) 110,484 (747)
Increase (decrease) in OPEB liability - - - - - 81,600
Increase (decrease) in net pension liability - - - - - (1,199,339)
Increase (decrease) in deferred inflows of resources - - - - - (677,985)
Total adjustments (24,677) 637,681 180,129 793,133 835,824 (193,059)
Net cash provided by operating activities $232,762 $12,914 $131,947 $377,623 $754,505 ($35,076)
Noncash investing, capital and financing activities:
Assets in the amount of $18,060 and $10,765 were contributed to the Liquor Fund in 2018 and 2017, respectively.
Assets in the amount of $1,224,256 and $7,752,439 were contributed to the Water/Sewer/Water Plant Fund in 2018 and 2017, respectively.
Assets in the amount of $280,362 and $236,890 were contributed to the Stormwater Utility Fund in 2018 and 2017, respectively.
Totals
Business-Type Activities Enterprise Funds
The accompanying notes are an integral part of these financial statements.
39
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF FIDUCIARY NET POSITION Statement 9
FIDUCIARY FUND - DEVELOPERS DEPOSIT
December 31, 2018
With Comparative Totals For December 31, 2017
2018 2017
Assets:
Cash and investments $ - $ -
Accounts receivable - net 16,017 22,942
Total assets $16,017 $22,942
Liabilities:
Cash deficit $14,275 $14,942
Deposits payable 1,742 8,000
Total liabilities $16,017 $22,942
The accompanying notes are an integral part of these financial statements.
40
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of St. Anthony, Minnesota (the City) operates pursuant to applicable Minnesota laws and statutes
under the council-manager plan (Statutory Plan B) as defined by State statutes. The government of the City is
directed by a Council composed of an elected mayor and four other elected members. The Council exercises
legislative authority and determines matters of policy. The Council appoints the City Manager who is
responsible for the administration of all affairs relating to the City.
The financial statements of the City have been prepared in conformity with generally accepted accounting
principles as applied to governmental units by the Governmental Accounting Standards Board (GASB). The
following is a summary of the significant accounting policies.
A. FINANCIAL REPORTING ENTITY
As required by generally accepted accounting principles, the financial statements of the reporting
entity include those of the City (the primary government) and its component units. The component
unit discussed below is included in the City's reporting entity because of the significance of their
operational or financial relationships with the City.
COMPONENT UNITS
In conformity with generally accepted accounting principles, the financial statements of the component
unit have been included in the financial reporting entity as a blended component unit.
The Housing and Redevelopment Authority (HRA) is an entity legally separate from the City.
However, for financial reporting purposes, the HRA is reported as if it were part of the City's
operations because the members of the City Council serve as HRA board members and its activity is
confined to the City. The City established the HRA under State statutes to assist and support housing
and redevelopment projects undertaken within the City which are under the statutory authority of the
HRA. The City reviews and approves tax levies and other financial matters related to the HRA. The
City provides major financing of HRA activities and debt issued in connection with HRA projects are
general obligations of the City. The activity of the HRA is reported in the HRA TIF Debt Service
Fund, the HRA TIF Improvement Fund and the HRA Special Revenue Fund. Separate financial
statements are not prepared for the HRA.
B. GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
The government-wide financial statements (i.e. the statement of net position and the statement of
activities) report information on all of the nonfiduciary activities of the primary government and its
component units. For the most part, the effect of interfund activity has been removed from these
statements. Governmental activities, which normally are supported by taxes and intergovernmental
revenues, are reported separately from business-type activities, which rely to a significant extent, on
fees and charges for support.
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.
41
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Separate financial statements are provided for governmental funds and proprietary funds. Major
individual governmental funds and major individual enterprise funds are reported as separate columns
in the fund financial statements.
C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING AND FINANCIAL STATEMENT
PRESENTATION
The government-wide financial statements are reported using the economic resources measurement
focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues
are recorded when earned and expenses are recorded when a liability is incurred, regardless of the
timing of related cash flows. Property taxes are recognized as revenues in the year for which they are
levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements
imposed by the provider have been met. The City’s only fiduciary fund is an agency fund. Agency
funds are custodial in nature (assets equal liabilities) and do not involve measurement of results of
operations.
Governmental fund financial statements are reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as
they are both measurable and available. Revenues are considered to be available when they are
collectible within the current period or soon enough thereafter to pay liabilities of the current period.
For this purpose, the City considers all revenues, except property taxes and reimbursement grants, to
be available if they are collected within 90 days of the end of the current fiscal period. Property taxes
are considered available if they are collected within 60 days of the end of the current year.
Reimbursement grants are considered available if they are collected within one year of the end of the
current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual
accounting. However, debt service expenditures, as well as expenditures related to compensated
absences and claims and judgments, are recorded only when payment is due.
Property taxes, special assessments, intergovernmental revenues, charges for services and interest
associated with the current fiscal period are all considered to be susceptible to accrual and so have
been recognized as revenues of the current fiscal period. Only the portion of special assessments
receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of
the current period. All other revenue items are considered to be measurable and available only when
cash is received by the City.
The City reports the following major governmental funds:
The General Fund is the government’s primary operating fund. It accounts for all financial
resources of the general government, except those required to be accounted for in another fund.
The Street Improvement Debt Service Fund was established to account for debt associated with a
systematic plan to reconstruct substandard residential streets and alleys. Annual debt service
payments are funded through special assessments and tax levies.
The HRA TIF Debt Service Fund was established to account for debt associated with Tax
Increment Financing Districts of the City.
The HRA TIF Improvement Fund was established to account for the construction and
redevelopment costs within the City.
42
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
The Street Improvement Project Fund was established to account for the construction costs
associated with a systematic plan to reconstruct substandard residential streets and alleys.
The Public Utilities Infrastructure Fund was established to account for costs associated with the
City’s utilities infrastructure.
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/Sewer/Water Plant Fund accounts for the water and sewer service charges which are
used to finance the water and sewer system operating expenses, and the operation and
maintenance of the City’s water purification plant.
The Stormwater Utility Fund accounts for stormwater service charges which are used to finance
the construction and operation of the stormwater and flood protection projects.
Additionally, the City reports the following fund types:
Internal Service Fund - the Employee Benefit Fund accounts for the liability the City has for
employee vacation and severance payments, and is also used to provide pension benefits and other
post employment benefits to other departments of the City on a cost reimbursement basis.
Agency Fund - the Developers Deposit Fund accounts for costs incurred by the City for the
review of various land use permits requested by developers and subsequent owners. The City
requires the developer or owner to pay the costs associated with the permitting process. The City
collects an initial deposit and bills any overages as needed.
As a general rule the effect of interfund activity has been eliminated from the government-wide
financial statements. Exceptions to this general rule are transactions that would be treated as revenues,
expenditures or expenses if they involved external organizations, such as buying goods and services or
payments in lieu of taxes, are similarly treated when they involve other funds of the City. Elimination
of these charges would distort the direct costs and program revenues reported for the various functions
concerned.
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.
43
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
D. BUDGETS
Budgets are legally adopted on a basis consistent with generally accepted accounting principles.
Annual appropriated budgets are legally adopted for the General and all Special Revenue Funds.
Budgeted expenditure appropriations lapse at year end.
Encumbrance accounting, under which purchase orders, contracts and other commitments for the
expenditure of monies are recorded in order to reserve that portion of the appropriation, is not
employed by the City because it is at present not considered necessary to assure effective budgetary
control or to facilitate effective cash management.
E. LEGAL COMPLIANCE - BUDGETS
The City follows these procedures in establishing the budgetary data reflected in the financial
statements:
1) The City Manager submits to the City Council a proposed operating budget for the upcoming year
in August. The operating budget includes proposed revenues and expenditures and the operating
levy associated with operations.
2) The City Council and staff meet to review the proposed budget and Council recommends any
appropriate changes.
3) Public hearings are conducted in April and December to obtain taxpayer comments and
recommendations to the operating budget.
4) The budget and tax levy is legally enacted through the passage of a resolution on a department
basis for the General Fund and on a fund basis for Special Revenue and Enterprise Funds that can
be expended by each department based upon detailed budget estimates.
5) The City Manager and Finance Director are authorized to transfer appropriations within any
department budget. Interdepartmental or interfund appropriations and deletions are authorized by
the City Council with fund contingency reserves or additional revenues.
6) Formal budgetary integration is employed as a management control device during the year for the
General Fund, Special Revenue, Capital Equipment and Enterprise Funds. The General Fund,
Special Revenue Funds and Enterprise Funds all have Council adopted annual budgets.
7) Legal debt obligation indentures determine the appropriation level of debt service tax levies for
the Debt Service Funds. Supplementary budgets are adopted for the Proprietary Funds to
determine and calculate user charges. These debt service and budget amounts represent general
obligation bond indenture provisions and net income for operation and capital maintenance and
are not reflected in the financial statements.
8) A capital improvement program is reviewed annually by the City Council for the Capital Project
Funds. However, appropriations for major projects are not adopted until the actual bid award of
the improvement. The appropriations are not reflected in the financial statements.
9) The legal level of budgetary control is at the department level for the General Fund and the fund
level for the Special Revenue Funds. Monitoring of budgets is maintained at the expenditure
category level (i.e., personal services; materials and supplies; contractual services; and capital
outlay) within each program. All amounts over budget have been approved by the City Council
through the disbursement process.
10) The City Council may authorize transfer of budgeted amounts between City funds. The City
Council made supplemental budgetary appropriations throughout the year. Individual
amendments were not material in relation to the original appropriations which were adjusted.
44
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
The following is a listing of the General Fund departments and Special Revenue Funds whose
expenditures exceed budget appropriations:
Final Over
Budget Actual Budget
Major Fund:
General Fund
Mayor and council $83,873 $93,537 $9,664
Finance 365,625 371,304 5,679
Planning and zoning 53,672 73,543 19,871
Police protection 3,096,086 3,302,987 206,901
Fire protection 1,100,021 1,105,289 5,268
Protective inspections 94,430 123,208 28,778
Park maintenance 204,469 210,340 5,871
Nondepartmental 38,086 61,262 23,176
Nonmajor Funds:
Special Revenue Funds:
Police forfeiture fund 6,781 7,170 389
Recycling fund 21,686 21,873 187
HRA fund 145,817 148,966 3,149
The over expenditures were funded by available fund balance.
F. CASH AND INVESTMENTS
Cash and investment balances from all funds are pooled and invested to the extent available in
authorized investments. Investment income is allocated to individual funds on the basis of the fund's
equity in the cash and investment pool.
The City provides temporary advances to funds that have insufficient cash balances by means of an
advance from another fund shown as interfund receivables in the advancing fund, and an interfund
payable in the fund with the deficit, until adequate resources are received. These interfund balances
are eliminated on the government-wide financial statements.
Investments are stated at fair value except for investments in external investment pools that meet the
GASB 79 requirement, which are stated at amortized cost. Investment income is accrued at the
balance sheet date.
For purposes of the statement of cash flows, the City considers all highly liquid investments with a
maturity of three months or less when purchased to be cash equivalents. All of the cash and
investments allocated to the Proprietary Funds have original maturities of 90 days or less. Therefore,
the entire balance in the Proprietary Funds is considered cash equivalents.
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, 2018 are
45
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
planned to be eliminated in 2019. Long-term interfund loans are classified as “interfund loan
receivable/payable.” Any residual balances outstanding between the governmental activities and
business-type activities are reported in the government-wide financial statements as “internal
balances.”
Uncollectible property taxes and special assessments are not material and have not been reported (see
Note 1 H and I). Because utility bills are considered liens on property, no estimated uncollectible
amounts are established. Uncollectible amounts are not material for other receivables and have not
been reported.
H. PROPERTY TAX REVENUE RECOGNITION
The City Council annually adopts a tax levy and certifies it to the County in December
(levy/assessment date) of each year for collection in the following year. The County is responsible for
billing and collecting all property taxes for itself, the City, the local School District and other taxing
authorities. Such taxes become a lien on January 1 and are recorded as receivables by the City at that
date. Real property taxes are payable (by property owners) on May 15 and October 15 of each
calendar year. Personal property taxes are payable by taxpayers on February 28 and June 30 of each
year. These taxes are collected by the County and remitted to the City on or before July 7 and
December 2 of the same year. Delinquent collections for November and December are received the
following January. The City has no ability to enforce payment of property taxes by property owners.
The County possesses this authority.
GOVERNMENT-WIDE FINANCIAL STATEMENTS
The City recognizes property tax revenue in the period for which the taxes were levied. Uncollectible
property taxes are not material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
The City recognizes property tax revenue when it becomes both measurable and available to finance
expenditures of the current period. In practice, current and delinquent taxes and State credits received
by the City in July, December and January are recognized as revenue for the current year. Taxes
collected by the County by December 31 (remitted to the City the following January) and taxes and
credits not received at year end are classified as delinquent and due from County taxes receivable. The
portion of delinquent taxes not collected by the City in January is fully offset by deferred inflow of
resources because they are not available to finance current expenditures.
I. SPECIAL ASSESSMENT REVENUE RECOGNITION
Special assessments are levied against benefited properties for the cost or a portion of the cost of
special assessment improvement projects in accordance with State Statutes. These assessments are
collectible by the City over a term of years usually consistent with the term of the related bond issue.
Collection of annual installments (including interest) is handled by the County Auditor in the same
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
46
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
forfeit sale after three years unless it is homesteaded, agricultural or seasonal recreational land in
which event the property is subject to such sale after five years.
GOVERNMENT-WIDE FINANCIAL STATEMENTS
The City recognizes special assessment revenue in the period that the assessment roll was adopted by
the City Council. Uncollectible special assessments are not material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
Revenue from special assessments is recognized by the City when it becomes measurable and
available to finance expenditures of the current fiscal period. In practice, current and delinquent
special assessments received by the City are recognized as revenue for the current year. Special
assessments that are collected by the County by December 31 (remitted to the City the following
January) are also recognized as revenue for the current year. All remaining delinquent, deferred and
special deferred assessments receivable in governmental funds are completely offset by deferred
inflow of resources.
J. INVENTORIES
GOVERNMENTAL FUNDS
Inventories are valued at cost using the first-in, first-out (FIFO) method. The cost of such inventories
are recorded as expenditures when consumed rather than when purchased.
PROPRIETARY FUNDS
Inventories of the Proprietary Funds are stated at weighted average cost, which approximates market,
using the first-in, first-out (FIFO) method.
K. PREPAID ITEMS
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as
prepaid items in both government-wide and fund financial statements. Prepaid items are reported
using the consumption method and recorded as expenditures/expenses at the time of consumption.
L. CAPITAL ASSETS
Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, bridges,
sidewalks, and similar items) and intangible assets such as easements and computer software, are
reported in the applicable governmental or business-type activities columns in the government-wide
financial statements. Capital assets are defined by the City as assets with an initial, individual cost of
more than $5,000 (amount not rounded) and an estimated useful life in excess of one year. Such assets
are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital
assets are recorded at acquisition value at the date of donation.
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.
47
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
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, 2018, no interest was
capitalized in connection with construction in progress.
The City implemented GASB Statement No. 51, Accounting and Financial Reporting for Intangible
Assets which required the City to capitalize and amortize intangible assets. Pursuant to GASB
Statement 51, in the case of initial capitalization of intangible assets, the City chose to include such
items regardless of their acquisition date, except for permanent easements and internally generated
software. The City has already accounted for computer software and temporary easements at historical
cost and therefore retroactive reporting was not necessary.
Property, plant and equipment of the primary government, as well as the component units, are
depreciated/amortized using the straight-line method over the following estimated useful lives:
Assets
Buildings and structures 5 – 40 years
Furniture, fixtures and equipment (including software) 3 – 20 years
Distribution and collection systems 20 – 50 years
Streets 20 – 50 years
Storm sewers 25 years
Stormwater treatment systems 25 – 40 years
M. COMPENSATED ABSENCES
It is the City's policy to permit employees to accumulate earned but unused personal leave benefits. All
personal leave pay is accrued when incurred in the government-wide and proprietary fund financial
statements. A liability for these amounts associated with governmental fund employees is reported in
the Internal Service Employee Benefit Fund. In accordance with the provisions of Statement of
Government Accounting Standards No. 16, Accounting for Compensated Absences, no liability is
recorded for nonvesting accumulating rights to receive personal leave benefits. However, a liability is
recognized for that portion of accumulating personal leave benefits that is vested as severance pay.
N. LONG-TERM OBLIGATIONS
In the government-wide financial statements and proprietary funds in the fund financial statements,
long-term debt and other long-term obligations are reported as liabilities in the applicable
governmental activities, business-type activities, or proprietary funds statement of net position. Bond
premiums and discounts are deferred and amortized over the life of the bonds. Bonds payable are
reported net of the applicable bond premium discount.
In the governmental fund financial statements, governmental funds recognize bond premiums and
discounts during the current period. The face amount of debt issued is reported as other financing
sources. Premiums received on debt issuances are reported as other financing sources while discounts
on debt issuances are reported as other financing uses.
48
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
O. FUND BALANCE CLASSIFICATIONS
In the fund financial statements, governmental funds report fund balance in classifications that disclose
constraints for which amounts in those funds can be spent. These classifications are as follows:
Nonspendable - consists of amounts that are not in spendable form, such as prepaid items.
Restricted - consists of amounts related to externally imposed constraints established by creditors,
grantors or contributors; or constraints imposed by state statutory provisions.
Committed - consists of internally imposed constraints. These constraints are established by
resolution of the City Council.
Assigned - consists of internally imposed constraints. These constraints reflect the specific
purpose for which it is the City’s intended use. These constraints are established by the City
Council and/or management. Pursuant to City Council policy, the City’s Finance Director and/or
City Manager are authorized to establish assignments of fund balance.
Unassigned - is the residual classification for the general fund and also reflects negative residual
amounts in other funds.
When both restricted and unrestricted resources are available for use, it is the City’s policy to first use
restricted resources, and then use unrestricted resources as they are needed.
When committed, assigned or unassigned resources are available for use, it is the City’s policy to use
resources in the following order: 1) committed, 2) assigned and 3) unassigned.
P. INTERFUND TRANSACTIONS
Interfund services provided and used are accounted for as revenues, expenditures or expenses.
Transactions that constitute reimbursements to a fund for expenditures/expenses initially made from it
that are properly applicable to another fund, are recorded as expenditures/expenses in the reimbursing
fund and as reductions of expenditures/expenses in the fund that is reimbursed. Interfund loans are
reported as an interfund loan receivable or payable which offsets the movement of cash between
funds. All other interfund transactions are reported as transfers.
Q. USE OF ESTIMATES
The preparation of financial statements in accordance with generally accepted accounting principles
(GAAP) requires management to make estimates that affect amounts reported in the financial
statements during the reporting period. Actual results could differ from such estimates.
R. RECLASSIFICATIONS
Certain amounts presented in the prior year data has been reclassified in order to be consistent with the
current year’s presentation.
49
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
S. COMPARATIVE TOTALS
The basic financial statements, required supplementary information, combining and individual fund
financial statements and schedules and supplementary financial information include certain prior-year
summarized comparative information in total but not at the level of detail required for presentation in
conformity with generally accepted accounting principles. Accordingly, such information should be
read in conjunction with the City’s financial statements for the year ended December 31, 2017, from
which the summarized information was derived.
T. DEFERRED OUTFLOWS/INFLOWS OF RESOURCES
In addition to assets, the statement of financial position will sometimes report a separate section for
deferred outflows of resources. This separate financial statement element, deferred outflows of
resources, represents a consumption of net position that applies to a future period(s) and so will not be
recognized as an outflow of resources (expense/expenditure) until then. The City has two items that
qualifies for reporting in this category. They are the pension related deferred outflows of resources
and the OPEB related deferred outflows of resources reported in the government-wide Statement of
Net Position and the proprietary funds Statement of Net Position.
In addition to liabilities, the statement of financial position will sometimes report a separate section for
deferred inflows of resources. This separate financial statement element, deferred inflows of
resources, represents an acquisition of net position that applies to a future period(s) and so will not be
recognized as an inflow of resources (revenue) until that time. The government has pension related
deferred inflows of resources reported in the government-wide Statement of Net Position and the
proprietary funds Statement of Net Position. The government also has a type of item, which arises
only under a modified accrual basis of accounting that qualifies for reporting in this category.
Accordingly, the item, unavailable revenue, is reported only in the governmental fund balance sheet.
The governmental funds report unavailable revenues from the following sources: property taxes,
special assessments, tax increment and intergovernmental revenue.
U. PENSION PLANS
COST SHARING MULTIPLE – EMPLOYER PLANS
Pensions. For purposes of measuring the net pension liability, deferred outflows/inflows of resources,
and pension expense, information about the fiduciary net position of the Public Employees Retirement
Association (PERA) and additions to/deductions from PERA’s fiduciary net position have been
determined on the same basis as they are reported by PERA except PERA’s fiscal year end is June 30.
For this purpose, plan contributions are recognized as of employer payroll paid dates and benefit
payments and refunds are recognized when due and payable in accordance with the benefit terms.
Investments are reported at fair value.
SINGLE EMPLOYER PLAN
Pensions. For purposes of measuring the net pension liability (asset), deferred outflows of resources
and deferred inflows of resources related to pensions, and pension expense, information about the
fiduciary net position of the St. Anthony Fire Department Relief Association (Relief) and additions
to/deductions from the Relief’s fiduciary net position have been determined on the same basis as they
were reported by the Relief. For this purpose, benefit payments are recognized when due and payable
in accordance with the benefit terms. Investments are reported at fair value.
50
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
V. RECONCILIATION OF GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
1. EXPLANATION OF CERTAIN DIFFERENCES BETWEEN THE GOVERNMENTAL FUND
BALANCE SHEET AND THE GOVERNMENT-WIDE STATEMENT OF NET POSITION
The governmental fund balance sheet includes a reconciliation between fund balance – total
governmental funds and net position – governmental activities as reported in the government-wide
statement of net position. One element of that reconciliation explains that “long-term liabilities,
including bonds payable, are not due and payable in the current period and therefore are not
reported in the funds”. The details of this ($32,039,057) difference is as follows:
Bonds payable ($30,885,000)
Accrued interest payable (359,408)
Unamortized bond premium (794,649)
Net adjustment to reduce fund balance - total
governmental funds to arrive at net position -
governmental activities.($32,039,057)
2. EXPLANATION OF CERTAIN DIFFERENCES BETWEEN THE GOVERNMENTAL FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
AND THE GOVERNMENT-WIDE STATEMENT OF ACTIVITIES
The governmental fund statement of revenues, expenditures and changes in fund balances
includes a reconciliation between net changes in fund balances – total governmental funds and
changes in net position of governmental activities as reported in the government-wide statement
of activities. One element of that reconciliation explains that “governmental funds report capital
outlays as expenditures. However, in the statement of activities the cost of those assets is
allocated over their estimated useful lives and reported as depreciation expense.” The details of
this $1,698,333 difference is as follows:
Capital outlay $1,037,417
Construction/acquisition costs 2,720,619
Construction/acquisition costs not capitalized (53,491)
Depreciation expense (2,006,212)
Net adjustment to increase net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities. $1,698,333
51
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Another element of that reconciliation states that “the net effect of various miscellaneous
transactions involving capital assets (i.e. sales, trade-ins, and donations) is to decrease net
position.” The details of this ($7,522) difference are as follows:
The statement of activities reports losses arising
from the trade-in or disposal of existing capital
assets to acquire new capital assets. Conversely,
governmental funds do not report any gain or loss
on a trade-in of capital assets. ($7,522)
Net adjustment to decrease net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities. ($7,522)
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 $120,037 difference is as follows:
Unavailable revenue - general property taxes:
At December 31, 2017 ($34,687)
At December 31, 2018 55,444
Unavailable revenue - tax increment taxes:
At December 31, 2017 (36,690)
At December 31, 2018 46,028
Unavailable revenue - special assessments:
At December 31, 2017 (1,786,429)
At December 31, 2018 1,876,371
Unavailable revenue - intergovernmental:
At December 31, 2017 (25,000)
At December 31, 2018 25,000
Net adjustments to increase net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities.$120,037
52
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Another element of that reconciliation states that “the issuance of long-term debt (e.g. bonds,
leases) provides current financial resources to governmental funds, while the repayment of
principal of the long-term debt consumes the current financial resources of governmental funds.
Neither transaction, however, has any effect on net position.” The details of this $192,169
difference is as follows:
Debt issued or incurred:
Issuance of general obligation bonds ($2,610,000)
Premium on issued bonds (92,831)
Principal repayments 2,895,000
Net adjustment to increase net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities. $192,169
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 $92,173 difference is as follows:
Accrued interest $700
Amortization of bond premium 91,473
Net adjustment to increase net changes in fund
balances - total governmental funds to arrive at
changes in net position of governmental activities.$92,173
Note 2 DEPOSITS AND INVESTMENTS
A. DEPOSITS
In accordance with Minnesota Statutes, the City maintains deposits at those depository banks
authorized by the City Council, all of which are members of the Federal Reserve System.
Minnesota Statutes require that all City deposits be protected by insurance, surety bond, or collateral.
The market value of collateral pledged must equal 110% of the deposits not covered by insurance or
bonds.
Minnesota Statutes require that securities pledged as collateral be held in safekeeping by the City
Treasurer or in a financial institution other than that furnishing the collateral. Authorized collateral
includes the following:
a) United States government treasury bills, treasury note and treasury bonds;
b) Issues of United States government agencies and instrumentalities as quoted by a recognized
industry quotation service available to the government entity;
53
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
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, 2018, the bank balance of the City’s
deposits was covered by federal depository insurance.
B. INVESTMENTS
Minnesota Statutes authorize the City to invest in the following:
a) Direct obligations or obligations guaranteed by the United States or its agencies, its
instrumentalities or organizations created by an act of congress, excluding mortgage-backed
securities defined as high risk.
b) Shares of investment companies registered under the Federal Investment Company Act of 1940
and whose only investments are in securities described in (a) above, general obligation tax-exempt
securities, or repurchase or reverse repurchase agreements.
c) State and local securities as follows:
1) any security which is a general obligation of any state or local government with taxing
powers which is rated “A” or better by a national bond rating service;
2) any security which is a revenue obligation of any state or local government with taxing
powers which is rated “AA” or better by a national bond rating service; and
3) a general obligation of the Minnesota Housing Finance Agency which is a moral obligation of
the State of Minnesota and is rated “A” or better by a national bond rating agency.
d) Bankers acceptances of United States banks eligible for purchase by the Federal Reserve System.
e) Commercial paper issued by United States corporations or their Canadian subsidiaries, of the
highest quality, and maturing in 270 days or less.
f) Repurchase or reverse repurchase agreements with banks that are members of the Federal Reserve
System with capitalization exceeding $10,000,000; a primary reporting dealer in U.S. government
securities to the Federal Reserve Bank of New York; certain Minnesota securities broker-dealers;
or, a bank qualified as a depositor.
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.
54
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
As of December 31, 2018, the City had the following investments and maturities:
Fair Less Over
Investment Type Rating Value Than 1 1-5 6-10 10 Years
Federal Home Loan Mortgage Corporation AAA $745,674 $ - $745,674 $ - $ -
Federal National Meeting Association AAA 250,206 - 250,206 - -
Money market funds NR 3,266,100 3,266,100 - - -
External investment pool - 4M Fund NR 1,824,213 1,824,213 - - -
External investment pool - 4M Plus Fund NR 809,551 809,551 - - -
External investment pool - 4M Fixed Income Fund NR 489,200 489,200 - - -
Municipal Securities AA - AAA 762,802 296,958 465,844 - -
Brokered Certificates of Deposit NR 8,641,472 2,884,047 5,448,291 309,134 -
Total $16,789,218 $9,570,069 $6,910,015 $309,134 $0
NR - Not Rated Total investments $16,789,218
Total deposits 267,384
Petty cash 5,300
Total cash and investments $17,061,902
Investment Maturities (in Years)
Following is a reconciliation of the City’s cash and investment balances as of December 31, 2018:
Cash and investments $17,076,177
Cash and investments - fiduciary fund (14,275)
$17,061,902
The City categorizes its fair value measurements within the fair value hierarchy established by
generally accepted accounting principles. The hierarchy is based on the valuation inputs used to
measure the fair value of the asset. The hierarchy has three levels. Level 1 investments are valued
using inputs that are based on quoted prices in active markets for identical assets. Level 2 investments
are valued using inputs that are based on quoted prices for similar assets or inputs that are observable,
either directly or indirectly. Level 3 investments are valued using inputs that are unobservable.
The City has the following recurring fair value measurements as of December 31, 2018:
Investment Type 12/31/18 Level 1 Level 2 Level 3
Investments at fair value:
Brokered Certificates of Deposit $8,641,472 $ - $8,641,472 $ -
Municipal Securities 762,802 - 762,802 -
Federal Home Loan Mortgage Corporation 745,674 - 745,674 -
Federal National Mortgage Association 250,206 - 250,206
Total/Subtotal 10,400,154 $0 $10,400,154 $0
Investments not categorized:
External investment pool - 4M, 4M Plus,
4M Fixed Income Funds 3,122,964
Money market funds 3,266,100
Total $16,789,218
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
pool and the fair value of the position in the pool is the same as the value of pool shares. The pool is
managed to maintain a portfolio weighted average maturity of no greater than 60 days and seeks to
maintain a constant net asset value (NAV) per share of $1. The pool measures their investments in
accordance with Government Accounting Standards Board Statement No. 79, at amortized cost.
The 4M Liquid Asset Fund has no redemption requirements. The 4M Plus Fund requires funds to be
deposited for a minimum of 14 calendar days. Withdrawals prior to the 14-day restriction period are
55
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
subject to a penalty equal to 7 days interest on the amount withdrawn. In regards to the 4M Fixed
Income Fund, redemption of a CD prior to the maturity may result in early withdrawal penalties.
C. INVESTMENT RISKS
Custodial credit risk – investments – For investments in securities, custodial credit risk is the risk that
in the event of failure of the counterparty to a transaction, the City will not be able to recover the value
of its investment securities that are in the possession of an outside party. Investments in investment
pools and money markets are not evidenced by securities that exist in physical or book entry form, and
therefore are not subject to custodial credit risk disclosures. The City’s investment policy does not
address custodial risk. However, investments in securities are held by the City’s broker-dealers of
which $500,000 is insured through SIPC. The broker-dealer has provided additional protection by
providing additional insurance. This insurance is subject to aggregate limits applied to all of the
broker-dealers’ accounts.
Interest rate risk – Interest rate risk is the risk that changes in interest rates of debt investments could
adversely affect the fair value of an investment. The City’s investment policy requires the City to
diversify its investment portfolio to eliminate the risk of loss resulting from over concentration of
assets in a specific maturity. The policy also states the City’s investment portfolio will remain
sufficiently liquid to enable the City to meet all operating requirements which might be reasonably
anticipated.
Credit risk – Credit risk is the risk that an issuer or other counterparty to an investment will be unable
to fulfill its obligation to the holder of the investment. State law limits investments in commercial
paper to those rated in the highest quality category by at least two nationally recognized rating
agencies; in any security of the State of Minnesota or any of its municipalities which is rated “A” or
better by a national bond rating service for general obligation and rated “AA” or better for a revenue
obligation; a general obligation of the Minnesota Housing Finance Agency to those rated “A” or better
by a national bond rating agency; mutual funds or money market funds whose investments are
restricted to securities described in MS 118A.04. The City’s investment policy does not place further
restrictions on investment options.
Concentration of credit risk – Concentration of credit risk is the risk of loss that may be attributed to
the magnitude of a government’s investment in a single issuer. The City places no limit on the amount
the City may invest in any one issuer. The City does not have exposure to a single issuer that equals or
exceeds 5% of the overall portfolio and, therefore, there is no concentration of credit risk.
56
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Note 3 RECEIVABLES
Significant receivables balances not expected to be collected within one year of December 31, 2018 are as
follows:
Street
Improvement HRA TIF Nonmajor
General Debt Service Improvements Funds Total
Special assessments receivable $ - $1,670,200 $ - $11,100 $1,681,300
Delinquent property taxes 19,720 7,820 - 4,230 31,770
Delinquent tax increment - - 36,100 - 36,100
$19,720 $1,678,020 $36,100 $15,330 $1,749,170
Major Funds
Note 4 UNAVAILABLE REVENUES
Governmental funds report deferred inflows of resources in connection with receivables for revenues that are
not considered to be available to liquidate liabilities of the current period. At the end of the current fiscal year,
the various components of unavailable revenue reported in the governmental funds were as follows:
Property Taxes Special Assessments TIF Intergovernmental Total
Major Fund:
General Fund $34,402 $5,754 $ - $ - $40,156
Street Improvement Debt Service 13,679 1,857,244 - 25,000 1,895,923
HRA TIF Improvements - - 46,028 - 46,028
Nonmajor Funds 7,363 13,373 - - 20,736
Total unavailale revenue $55,444 $1,876,371 $46,028 $25,000 $2,002,843
57
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Note 5 CAPITAL ASSETS
Capital asset activity for the year ended December 31, 2018 was as follows:
Beginning Ending
Primary Government Balance Increases Decreases Balance
Governmental activities:
Capital assets, not being depreciated:
Land $1,662,883 $ - $ - $1,662,883
Permanent easements - 73,984 - 73,984
Construction in progress 4,850,632 2,720,619 (4,804,504) 2,766,747
Total capital assets, not being depreciated 6,513,515 2,794,603 (4,804,504) 4,503,614
Capital assets, being depreciated:
Buildings and improvements 10,105,047 - - 10,105,047
Land improvement 555,181 32,006 - 587,187
Furniture, fixtures and equipment (including
software)4,255,778 706,386 (200,609) 4,761,555
Streets 36,041,107 3,448,475 - 39,489,582
Storm sewers 428,469 - - 428,469
Intangible assets 6,823 16,480 - 23,303
Total capital assets, being depreciated 51,392,405 4,203,347 (200,609) 55,395,143
Less accumulated depreciation/amortization for:
Buildings and improvements 4,650,241 313,338 - 4,963,579
Land improvement 333,371 46,060 - 379,431
Furniture, fixtures and equipment 3,131,075 219,585 (181,508) 3,169,152
Streets 14,427,141 1,408,725 - 15,835,866
Storm sewers 156,132 17,139 - 173,271
Intangible assets 4,095 1,365 - 5,460
Total accumulated depreciation/amortization 22,702,055 2,006,212 (181,508) 24,526,759
Total capital assets being depreciated - net 28,690,350 2,197,135 (19,101) 30,868,384
Governmental activities capital assets - net $35,203,865 $4,991,738 ($4,823,605) $35,371,998
58
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Beginning Ending
Primary Government Balance Increases Decrease Balance
Business-type activities:
Capital assets, not being depreciated:
Land $2,089,954 $ - $ - $2,089,954
Construction in progress 835,045 203,642 (1,038,687) -
Total capital assets, not being depreciated 2,924,999 203,642 (1,038,687) 2,089,954
Capital assets, being depreciated:
Buildings and structures 8,372,645 95,252 - 8,467,897
Land improvements - 1,038,687 - 1,038,687
Furniture, fixtures and equipment 4,547,552 294,122 - 4,841,674
Software and intangibles 26,022 - - 26,022
Stormwater 2,253,147 - - 2,253,147
Distribution and collection system 13,763,523 1,133,300 - 14,896,823
Total capital assets, being depreciated 28,962,889 2,561,361 0 31,524,250
Less accumulated depreciation for:
Buildings and structures 2,229,588 201,758 - 2,431,346
Furniture, fixtures and equipment 921,411 168,314 - 1,089,725
Software and intangibles 26,022 - - 26,022
Stormwater 641,258 51,918 - 693,176
Distribution and collection system 4,885,445 440,950 - 5,326,395
Total accumulated depreciation 8,703,724 862,940 0 9,566,664
Total capital assets being depreciated - net 20,259,165 1,698,421 0 21,957,586
Business-type activities capital assets - net $23,184,164 $1,902,063 ($1,038,687) $24,047,540
Depreciation/amortization expense was charged to functions/programs of the primary government as follows:
Governmental activities:
General government $111,552
Public safety 182,016
Public works, including depreciation of general infrastructure assets 1,655,823
Parks and recreation 56,821
Total depreciation/amortization expense - governmental activities 2,006,212
Business-type activities:
Liquor 68,782
Water/Water Plant 478,190
Sewer 99,959
Stormwater 216,009
Total depreciation/amortization expense - business-type activities 862,940
Total depreciation expense $2,869,152
59
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
CONSTRUCTION COMMITMENTS
At December 31, 2018, the City had construction project contracts in progress. The commitments related
to the remaining contract balances are summarized as follows:
Contract Remaining
Project Amount Commitment
2018 Street Improvements $2,515,637 $569,517
Silver Lake Road Street Lights 461,300 22,392
$591,909
Note 6 LONG-TERM DEBT
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,
2018. 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.
Tax abatement bonds were issued to finance a portion of park, sidewalk, and traffic signal
improvements, and are payable from a special general property tax levy.
Certificates of indebtedness issued to finance various equipment acquisitions are payable from a
special general property tax levy.
REVENUE BONDS
The City has issued revenue bonds to finance business-type activities. These bonds are Utility Revenue
Bonds. The liability for these bonds is recorded in the Proprietary Funds.
60
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
GOVERNMENTAL ACTIVITIES
As of December 31, 2018, the long-term debt of the financial reporting entity consisted of the following:
Final
Interest Issue Maturity Original Payable
Rates Date Date Issue 12/31/18
G.O. Improvement Bonds:
G.O. Improvement Bonds, Series 2010A 2.25-3.625% 5/20/2010 2/1/2026 $1,375,000 $815,000
G.O. Improvement Bonds, Series 2011A 3.00-4.00% 4/12/2011 2/1/2027 2,955,000 1,415,000
G.O. Improvement Refunding Bonds, Series 2011B 0.40-2.00% 12/29/2011 2/1/2021 2,210,000 665,000
G.O. Improvement Bonds, Series 2013B 0.45-2.625% 4/23/2013 2/1/2029 1,775,000 1,315,000
G.O. Improvement Bonds, Series 2014A 2.00-3.30% 4/10/2014 2/1/2030 2,070,000 1,690,000
G.O. Improvement Bonds, Series 2015A 2.00-3.00% 5/19/2015 2/1/2031 2,580,000 2,270,000
G.O. Improvement Bonds, Series 2016A 2.00-2.75% 6/2/2016 2/1/2032 1,455,000 1,370,000
G.O. Improvement Refunding Bonds, Series 2017A 3.00% 5/18/2017 2/1/2033 1,355,000 1,195,000
G.O. Improvement Bonds, Series 2017A 3.00% 5/18/2017 2/1/2033 2,600,000 2,600,000
G.O. Improvement Bonds, Series 2018A 3.00-4.00% 5/15/2018 2/1/2034 2,610,000 2,610,000
Total improvement bonds 20,985,000 15,945,000
G.O. Street Reconstruction Bonds:
G.O. Street Reconstruction Refunding Bonds, Series 2014C 2.00-3.00% 7/24/2014 2/1/2024 1,305,000 895,000
Tax Increment Revenue Bonds:
G.O. Tax Increment Refunding Bonds, Series 2014B 2.00-3.50% 7/24/2014 2/1/2031 3,665,000 3,030,000
G.O. Tax Increment Refunding Bonds, Series 2015B 2.00-3.00% 12/29/2015 2/1/2031 4,310,000 3,630,000
Total tax increment revenue bonds 7,975,000 6,660,000
G.O. Lease Revenue Refunding Bonds:
G.O. Lease Revenue Refunding Bonds, Series 2012A 2.00-2.75% 4/25/2012 2/1/2024 3,995,000 2,185,000
G.O. Tax Abatement Bonds:
G.O. Tax Abatement Bonds, Series 2016B 2.00% 6/2/2016 2/1/2026 1,445,000 720,000
G.O. Tax Abatement Refunding Bonds, Series 2017A 3.00% 5/18/2017 2/1/2025 835,000 740,000
Total tax abatement bonds 2,280,000 1,460,000
G.O. Equipment Certificates:
G.O. Equipment Certificate, Series 2017A 3.00% 5/18/2017 2/1/2027 520,000 520,000
G.O. Bonds:
G.O. Refunding Bonds, Series 2012A 2.00-2.75% 4/25/2012 2/1/2028 5,440,000 3,220,000
Issuance premiums (discounts)N/A 794,649
Total - bonded indebtedness 42,500,000 31,679,649
Compensated absences payable - 657,594
Total City indebtedness - governmental activities $42,500,000 $32,337,243
61
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
BUSINESS-TYPE ACTIVITIES
Final
Interest Maturity Original Payable
Rates Date Date Issue 12/31/18
Revenue Bonds:
G.O. Water and Sewer Revenue Refunding Bonds, Series 2013A 2.00%4/16/2003 2/1/2024 $1,440,000 $845,000
Issuance premiums (discounts)N/A 22,916
Total - bonded indebtedness 1,440,000 867,916
Compensated absences - 189,074
Total City indebtedness - business-type activities 1,440,000 1,056,990
Total City indebtedness $43,940,000 $33,394,233
Annual debt service requirements to maturity for long-term debt are as follows:
Year Ending
December 31 Principal Interest Principal Interest
2019 1,415,000 452,329 500,000 65,050
2020 1,440,000 398,393 515,000 54,900
2021 1,330,000 363,038 530,000 44,450
2022 1,220,000 328,761 545,000 33,564
2023 1,255,000 293,783 320,000 24,457
2024 1,280,000 256,864 155,000 19,155
2025 1,310,000 218,413 160,000 15,332
2026 1,150,000 180,923 160,000 11,253
2027 1,060,000 147,554 165,000 6,944
2028 915,000 119,498 170,000 2,338
2029 940,000 93,494 - -
2030 830,000 67,734 - -
2031 685,000 45,056 - -
2032 505,000 26,994 - -
2033 405,000 12,988 - -
2034 205,000 3,331
Total $15,945,000 $3,009,153 $3,220,000 $277,443
G.O. Improvement Bonds
Governmental Activities
G.O. Refunding Bonds
62
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Year Ending
December 31 Principal Interest Principal Interest Principal Interest
2019 335,000 42,490 420,000 173,988 370,000 69,200
2020 345,000 35,690 445,000 165,438 380,000 60,225
2021 355,000 28,690 450,000 156,487 390,000 51,000
2022 370,000 21,348 475,000 146,212 400,000 41,338
2023 385,000 13,320 495,000 134,412 410,000 30,650
2024 395,000 4,542 510,000 122,062 430,000 18,975
2025 - - 530,000 109,313 275,000 9,350
2026 - - 555,000 95,700 155,000 3,825
2027 - - 580,000 80,081 65,000 975
2028 - - 605,000 62,975 - -
2029 - - 635,000 43,787 - -
2030 - - 655,000 23,025 - -
2031 - - 305,000 4,876 - -
Total $2,185,000 $146,080 $6,660,000 $1,318,356 $2,875,000 $285,538
All Other General
Obligation Bonds
Governmental Activities
Refunding Bonds
Tax IncrementLease
Revenue Bonds
Year Ending
December 31 Principal Interest
2019 130,000 15,600
2020 135,000 12,950
2021 140,000 10,200
2022 140,000 7,400
2023 145,000 4,550
2024 155,000 1,550
Total $845,000 $52,250
Revenue Bonds
Business-Type Activities
It is not practicable to determine the specific year for payment of long-term accrued compensated absences.
63
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
CHANGE IN LONG-TERM LIABILITIES
Long-term liability activity for the year ended December 31, 2018, was as follows:
Beginning Ending Due Within
Balance Additions Reductions Balance One Year
Governmental activities:
Bonds payable:
G.O. improvement debt $14,690,000 $2,610,000 ($1,355,000) $15,945,000 $1,415,000
G.O. refunding bonds 3,710,000 - (490,000) 3,220,000 500,000
G.O. street reconstruction bonds 1,035,000 - (140,000) 895,000 140,000
G.O. tax abatement bonds 1,640,000 - (180,000) 1,460,000 180,000
G.O. tax increment refunding bonds 7,065,000 - (405,000) 6,660,000 420,000
G.O. lease revenue refunding bonds 2,510,000 - (325,000) 2,185,000 335,000
G.O. equipment certificates 520,000 - - 520,000 50,000
Total bonds payable - governmental activities 31,170,000 2,610,000 (2,895,000) 30,885,000 3,040,000
Issuance premiums (discounts)793,291 92,831 (91,473) 794,649 -
Total bonded indebtedness 31,963,291 2,702,831 (2,986,473) 31,679,649 3,040,000
Compensated absences 658,341 382,589 (383,336) 657,594 214,247
Total governmental activities
long-term liabilities $32,621,632 $3,085,420 ($3,369,809) $32,337,243 $3,254,247
Business-type activities:
Revenue bonds $975,000 $ - ($130,000) $845,000 $130,000
Total bonds payable - business-type activities 975,000 0 (130,000)845,000 130,000
Issuance premiums (discounts)27,424 - (4,508) 22,916 -
Total bonded indebtedness 1,002,424 0 (134,508) 867,916 130,000
Compensated absences 183,515 99,852 (94,293) 189,074 61,602
Total business-type activities
long-term liabilities $1,185,939 $99,852 ($228,801) $1,056,990 $191,602
For the governmental activities, compensated absences are generally liquidated by the Internal Service
Employee Benefit Fund.
All long-term bonded indebtedness outstanding at December 31, 2018 is backed by the full faith and credit
of the City, including improvement and revenue bond issues. Delinquent assessments receivable at
December 31, 2018 totaled $21,439.
64
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
PLEDGED REVENUE
Future revenue pledged for the payment of long-term debt is as follows:
Percent of Debt service Remaining Principal Pledged
Use of Total as a % of Term of Principal and Interest Revenue
Bond Issue Proceeds Type Debt Service Net Revenues Pledge and Interest Paid Received
2018A Road Improvements 2018 road construction Special Assessments 24%N/A 2018-2034 $3,408,382 $ - $197,452
Property tax levy 76%
2017A Tax Abatement Refunding of 2009A Tax abatement revenue 100% N/A 2017-2025 821,450 123,705 123,155
Emerald Park improvements
2017A Road Improvements Refunding of 2009A Special assessments 21%N/A 2017-2025 1,325,575 206,493 165,666
Refunding road reconstruction Property tax levy 79%
2010A Road Improvements 2010 road construction Special assessments 9%N/A 2010-2026 932,183 99,734 97,608
Property tax levy 91%
2011A Road Improvements 2011 road construction Special assessments 25% N/A 2011 - 2027 1,494,888 167,600 130,832
Property tax levy 75%
2012A Road Improvements 2012 road construction Special assessments 25%N/A 2012 - 2028 3,497,443 564,950 523,800
Refunding Road improvement Property tax levy 75%
Bonds 2006A,2007A
2012A Lease Revenue 2012 building improvements Property tax levy 100%N/A 2012 - 2024 2,331,080 374,090 345,081
Refunding Lease Revenue
Bonds 2003A
2013B Road Improvements 2013 road construction Special assessments 25% N/A 2013 - 2029 1,484,370 141,320 90,317
Property tax levy 75%
2014A Road Improvements 2014 road construction Special assessments 25%N/A 2014 - 2030 2,006,200 177,830 178,431
Property tax levy 75%
2015A Road Improvements 2015 road construction Special assessments 15%N/A 2015-2031 2,658,419 209,862 192,310
Property tax levy 85%
2016A Road Improvements 2016 road reconstruction Special assessments 14% N/A 2016 - 2032 1,595,656 115,387 149,357
Property tax levy 86%
2016B Tax Abatement Mirror Lake improvements and Tax abatement revenue 100% N/A 2016 - 2026 778,600 100,250 103,974
pedestrian safety improvements
Revenue Pledged Current Year
65
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
2017A Road Improvements 2017 road reconstruction Special assessments 16%N/A 2017 - 2033 3,220,100 93,817 267,248
Property tax levy 84%
2017A Equipment Certificate 2017 Equipment note Tax abatement revenue 100% N/A 2017 - 2033 593,350 18,763 232,550
2014C Road Improvements Refunding of 2008A Property tax levy 100% N/A 2014 - 2024 967,138 162,825 154,554
Silver Lake Road improvements
2009B Road Improvements Refunding of 2001B and 2002A Special assessments 7%N/A 2009-2018 - 120,140 -
Refunding Road Improvement Bonds Property tax levy 93%
2015B TIF Refunding 2006B TIF Bonds TIF 100% N/A 2015-2031 4,304,294 316,912 448,879
2014B TIF Refunding 2007 TIF Bonds TIF 100% N/A 2015 -2031 3,674,063 270,325 383,155
2013A G.O. Water/Sewer Refunding 2003B G.O. Charges for services 100% 42% 2013-2024 897,250 148,200 2,121,689
Revenue Water/Sewer Revenue Bonds
2011A Road Improvements Refunding 2003A Street Special assessments 22%N/A 2011 - 2026 147,356 146,813 104,896
Refunding Improvement Bonds Property tax levy 78%
2011B Road Improvements Refunding 2004A and 2005A Special assessments 25%N/A 2012 - 2020 681,025 273,530 189,468
Refunding Street Improvement Bonds Property tax levy 75%
Note 7 DEFINED BENEFIT PENSION
A. COST SHARING MULTIPLE – EMPLOYER PLANS
PLAN DESCRIPTION
The City participates in the following cost-sharing multiple-employer defined benefit pension plans
administered by the Public Employees Retirement Association of Minnesota (PERA). PERA’s
defined benefit pension plans are established and administered in accordance with Minnesota Statutes,
Chapters 353 and 356. PERA’s defined benefit pension plans are tax qualified plans under Section
401(a) of the Internal Revenue Code.
1. General Employees Retirement Fund (GERF)
All full-time (with the exception of employees covered by PEPFF) and certain part-time
employees of the City are covered by the General Employees Retirement Fund (GERF). GERF
members belong to the Coordinated Plan. Coordinated Plan members are covered by Social
Security.
2. Public Employees Police and Fire Fund (PEPFF)
The PEPFF, originally established for police officers and firefighters not covered by a local relief
association, now covers all police officers and firefighters hired since 1980. Effective July 1,
1999, the PEPFF also covers police officers and firefighters belonging to a local relief association
that elected to merge with and transfer assets and administration to PERA.
66
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
BENEFITS PROVIDED
PERA provides retirement, disability, and death benefits. Benefit provisions are established by state
statute and can only be modified by the state legislature. 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.
1. GERF Benefits
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. Two methods are used to
compute benefits for PERA's Coordinated Plan members. Members hired prior to July 1, 1989,
receive the higher of Method 1 or Method 2 formulas. Only Method 2 is used for members hired
after June 30, 1989. Under Method 1, the accrual rate for Coordinated Plan members is 1.2% for
each of the first ten years of service and 1.7% for each additional year. Under Method 2, the
accrual rate for Coordinated Plan members is 1.7% for all years of service. The accrual rates for
former Minneapolis Employee Retirement Fund (MERF) members is 2.0% for each of the first 10
years of service and 2.5% for each additional year. For members hired prior to July 1, 1989 a full
annuity is available when age plus years of service equal 90 and normal retirement age is 65. For
members hired on or after July 1, 1989 normal retirement age is the age for unreduced Social
Security benefits capped at 66.
Beginning January 1, 2019, benefit recipients will receive a future annual increase equal to 50%
of the Social Security Cost of Living Adjustment, not less than 1.0% and not more than 1.5%. For
retirements on or after January 1, 2024, the first benefit increase is delayed until the retiree
reaches Normal Retirement Age (not applicable to Rule of 90 retirees, disability benefit recipients,
or survivors). A benefit recipient who has been receiving a benefit for at least 12 full months as
of June 30 will receive a full increase. Members receiving benefits for at least one month but less
than 12 full months as of June 30 will receive a pro rata increase.
2. PEPFF Benefits
Benefits for the PEPFF members first hired after June 30, 2010, but before July 1, 2014, vest on a
prorated basis from 50% after five years up to 100% after ten years of credited service. Benefits
for PEPFF members first hired after June 30, 2014, vest on a prorated basis from 50% after ten
years up to 100% after twenty years of credited service. The annuity accrual rate is 3% of average
salary for each year of service. For PEPFF members who were first hired prior to July 1, 1989, a
full annuity is available when age plus years of service equal at least 90.
Beginning in 2019, the COLA will be fixed at 1%. Under funding measurements from 2017, the
2.5% COLA trigger was never expected to occur and was subsequently removed from law. Post
retirement increases are given each year except for annuitants who have been receiving a benefit
for only 31 to 41 months. These annuitants will receive a prorated amount of the increase on a
sliding scale.
CONTRIBUTIONS
Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. Contribution
rates can only be modified by the state legislature.
67
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
1. GERF Contributions
Coordinated Plan members were required to contribute 6.50% of their annual covered salary in
fiscal year 2018; the City was required to contribute 7.50% for Coordinated Plan members. The
City’s contributions to the GERF for the year ended December 31, 2018, were $175,748. The
City’s contributions were equal to the required contributions as set by state statute.
2. PEPFF Contributions
Legislation increased both employee and employer contribution rates in the Police and Fire Plan.
Employee rates increased from 10.80% of pay to 11.30% and employer rates increase from
16.20% to 16.95% on January 1, 2019. On January 1, 2020 employee rates increase from 11.80%
and employer rates increase to 17.70%. The City’s contributions to the PEPFF for the year ended
December 31, 2018, were $419,242. The City’s contributions were equal to the required
contributions as set by state statute.
PENSION COSTS
1. GERF Pension Costs
At December 31, 2018, the City reported a liability of $1,913,919 for its proportionate share of the
GERF’s net pension liability. The City’s net pension liability reflected a reduction due to the State of
Minnesota’s contribution of $16 million to the fund in 2018. The State of Minnesota is considered a
non-employer contributing entity and the state’s contribution meets the definition of a special funding
situation. The State of Minnesota’s proportionate share of the net pension liability associated with the
City totaled $62,724. The net pension liability was measured as of June 30, 2018, and the total
pension liability used to calculate the net pension liability was determined by an actuarial valuation as
of that date. The City’s proportion of the net pension liability was based on the City’s contributions
received by PERA during the measurement period for employer payroll paid dates from July 1, 2017,
through June 30, 2018, relative to the total employer contributions received from all of PERA’s
participating employers. At June 30, 2018, the City’s proportion was .0345% which was an increase
of .0007% from its proportion measured as of June 30, 2017.
Post-retirement benefit increases were changed from 1.0% per year with a provision to increase to
2.5% upon attainment of 90% funding ratio to 50% of the Social Security Cost of Living Adjustment,
not less than 1.0% and not more than 1.5%, beginning January 1, 2019.
For the year ended December 31, 2018, the City recognized pension expense of $164,657 for its
proportionate share of the GERF’s pension expense. In addition, the City recognized an additional
$14,627 as pension expense (and grant revenue) for its proportionate share of the State of Minnesota’s
contribution of $16 million to the GERF.
At December 31, 2018, the City reported its proportionate share of the GERF’s deferred outflows of
resources and deferred inflows of resources related to pensions from the following sources:
68
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Deferred Outflows Deferred Inflows
of Resources of Resources
Differences between expected and
actual economic experience $50,657 $56,387
Changes in actuarial assumptions 184,682 215,049
Difference between projected and
actual investment earnings - 193,961
Changes in proportion 54,189 54,442
Contributions paid to PERA
subsequent to the measurement date 86,839 -
Total $376,367 $519,839
$86,839 reported as deferred outflows of resources related to pensions resulting from City
contributions subsequent to the measurement date will be recognized as a reduction of the net pension
liability in the year ended December 31, 2019. Other amounts reported as deferred outflows and
inflows of resources related to pensions will be recognized in pension expense as follows:
Pension
Year Ended Expense
December 31, Amount
2019 $67,345
2020 (116,231)
2021 (141,479)
2022 (39,946)
Thereafter -
2. PEPFF Pension Costs
At December 31, 2018, the City reported a liability of $2,585,866 for its proportionate share of the
PEPFF’s net pension liability. The net pension liability was measured as of June 30, 2018, and the
total pension liability used to calculate the net pension liability was determined by an actuarial
valuation as of that date. The City’s proportion of the net pension liability was based on the City’s
contributions received by PERA during the measurement period for employer payroll paid dates from
July 1, 2017, through June 30, 2018, relative to the total employer contributions received from all of
PERA’s participating employers. At June 30, 2018, the City’s proportion was .2426% which was a
decrease of .0224% from its proportion measured as of June 30, 2017. The City also recognized
$21,834 for the year ended December 31, 2018, as revenue (and an offsetting reduction of net pension
liability) for its proportionate share of the State of Minnesota’s on-behalf contributions to the PEPFF.
Legislation passed in 2013 required the State of Minnesota to begin contributing $9 million to the
PEPFF each year, starting in fiscal year 2014.
Beginning January 1, 2019, the COLA will be fixed at 1%. Under funding measurements from 2017,
the 2.5% COLA trigger was never expected to occur and was subsequently removed from law.
For the year ended December 31, 2018, the City recognized pension expense of $171,860 for its
proportionate share of the PEPFF’s pension expense.
69
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
At December 31, 2018, the City reported its proportionate share of the PEPFF’s deferred outflows of
resources and deferred inflows of resources related to pensions from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Differences between expected and
actual economic experience $104,225 $607,881
Changes in actuarial assumptions 3,140,665 3,806,731
Difference between projected and
actual investment earnings - 574,479
Changes in proportion 213,915 694,801
Contributions paid to PERA
subsequent to the measurement date 210,707 -
Total $3,669,512 $5,683,892
$210,707 reported as deferred outflows of resources related to pensions resulting from City
contributions subsequent to the measurement date will be recognized as a reduction of the net pension
liability in the year ended December 31, 2019. Other amounts reported as deferred outflows and
inflows of resources related to pensions will be recognized in pension expense as follows:
Pension
Year Ended Expense
December 31, Amount
2019 ($181,516)
2020 (286,044)
2021 (471,963)
2022 (1,140,239)
2023 (145,325)
Thereafter -
ACTUARIAL ASSUMPTIONS
The total pension liability in the June 30, 2018 actuarial valuation was determined using the following
actuarial assumptions:
GERF PEPFF
Inflation 2.50% per year 2.50% per year
Salary Growth 3.25% per year after 26 years of service 3.25% per year after 25 years of service
Investment Rate of Return 7.50%7.50%
The total pension liability for each of the defined benefit cost-sharing plans was determined by an
actuarial valuation as of June 30, 2018, using the entry age normal actuarial cost method. Inflation is
assumed to be 2.50% for the General Employees and Police and Fire Plans. Salary growth
assumptions in the General Employees Plan decrease in annual increments from 11.25% after one
year of service, to 3.25% after 26 years of service. In the Police and Fire Plan, salary growth
assumptions decrease from 12.25% after one year of service to 3.25% after 25 years of service.
70
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Mortality rates for all plans are based on RP-2014 mortality tables. The tables are adjusted slightly to
fit PERA’s experience. Actuarial assumptions for the General Employees Plan are reviewed every
four to six years. The most recent six-year experience study for the General Employees Plan was
completed in 2015. The most recent four-year experience study for the Police and Fire Plan was
completed in 2016.
The following changes in actuarial assumptions occurred in 2018:
General Employees Fund
• The mortality projection scale was changed from MP-2015 to MP-2017.
• The assumed benefit increase was changed from 1.0% per year through 2044 and 2.50% per
year thereafter to 1.25% per year.
Police and Fire Fund
• The mortality projection scale was changed from MP-2016 to MP-2017.
The State Board of Investment, which manages the investments of PERA, prepares an analysis of the
reasonableness on a regular basis of the long-term expected rate of return using a building-block
method in which best-estimate ranges of expected future rates of return are developed for each major
asset class. These ranges are combined to produce an expected long-term rate of return by weighting
the expected future rates of return by the target asset allocation percentages. The target allocation and
best estimates of geometric real rates of return for each major asset class are summarized in the
following table:
Target Long-Term Expected
Asset Class Allocation Real Rate of Return
Domestic Stocks 36%5.10%
International Stocks 17%5.30%
Bonds (Fixed Income)20%0.75%
Alternative Assets (Private Markets)25%5.90%
Cash 2%0.00%
Total 100%
DISCOUNT RATE
The discount rate used to measure the total pension liability in 2018 was 7.50%. The projection of
cash flows used to determine the discount rate assumed that contributions from plan members and
employers will be made at rates set in Minnesota Statutes. Based on these assumptions, the fiduciary
net position of the General Employees Fund and the Police and Fire Fund was projected to be
available to make all projected future benefit payments of current plan members. Therefore, the long-
term expected rate of return on pension plan investments was applied to all periods of projected-
benefit payments to determine the total pension liability.
71
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
PENSION LIABILITY SENSITIVITY
The following presents the City’s proportionate share of the net pension liability for all plans it
participates in, calculated using the discount rate disclosed in the preceding paragraph, as well as what
the City’s proportionate share of the net pension liability would be if it were calculated using a
discount rate 1 percentage point lower or 1 percentage point higher than the current discount rate:
1% Decrease in 1% Increase in
Discount Rate (6.5%) Discount Rate (7.5%) Discount Rate (8.5%)
City's proportionate share of the
GERF net pension liability $3,110,363 $1,913,919 $926,288
City's proportionate share of the
PEPFF net pension liability $5,544,259 $2,585,866 $139,398
PENSION PLAN FIDUCIARY NET POSITION
Detailed information about each pension plan’s fiduciary net position is available in a separately-
issued PERA financial report that includes financial statements and required supplementary
information. That report may be obtained on the Internet at www.mnpera.org.
B. SINGLE EMPLOYER PLAN
PLAN DESCRIPTION
All members of the St. Anthony Fire Department are covered by a defined benefit plan administered
by the Relief. The Plan is a single employer retirement plan and is established and administered in
accordance with Minnesota Statute, Chapter 69.
BENEFITS PROVIDED
The Relief 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 within the parameters provided by
State Statutes.
Twenty Year Service Pension
Each member who is at least 50 years of age; has retired from the City of St. Anthony, Minnesota; has
served at least twenty (20) years of active service with such department before retirement; and has
been a member of the Relief in good standing at least 10 years prior to such retirement; shall be
entitled to a pro-rated lump sum service pension in the amount of $3,500 for each completed full year
of service but not exceeding the maximum amount per year of service allowed by law for the
minimum average amount of available financing per firefighter as prescribed by law. Members with
10 years of service receive partial vesting at 60% of the 20 year rate and 4% added for every one year
of service beyond ten years up to 20 years.
Disability Benefits
A member who becomes permanently disabled from being an active firefighter in the City of St.
Anthony, Minnesota will be eligible to collect a disability benefit in an amount equal to his/her full
72
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
years of active service multiplied by the yearly lump sum service pension rate. If a member receives a
disability benefit and subsequently returns to active duty, the total disability benefit will be deducted
from his/her service pension.
Death Benefits
Upon the death of any active member of the Relief who is in good standing at the time of their death,
the Relief shall pay to the surviving spouse or children, if any, the sum of $3,500 for each year that the
member served as an active member of the Relief. The survivor benefits include those members who
are on the regular pension roll or on the deferred pension roll.
State Supplemental Benefits
Minnesota Statute 424A.10 provides for the payment of a supplemental benefit equal to ten percent of
a regular lump sum distribution up to a maximum of $1,000. The supplemental benefit is in lieu of a
State income tax exclusion for lump sum distributions and will no longer be available if State tax law
is modified to exclude lump sum distributions from State income tax. The Relief qualifies for these
benefits.
EMPLOYEES COVERED BY BENEFIT TERMS
At December 31, 2018, the following employees were covered by the benefit terms:
Retired members entitled to benefits,
but have not received them 5
Current members:
Fully vested (20 years or more) 4
Partially vested (10 years to 19 years) 7
Nonvested (less than 10 years) 17
Total 33
CONTRIBUTIONS
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
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.
The City’s contributions to the Relief for the year ended December 31, 2018, were $6,000. The City’s
contributions met the required contribution of $6,000 as set by state statute. State aid contributions for
the year ended December 31, 2018 were $52,083.
NET PENSION LIABILITY
The City’s net pension liability (asset) was measured as of December 31, 2018, and the total pension
liability used to calculate the net pension liability (asset) was determined by an actuarial valuation as
of December 31, 2016 rolled forward to December 31, 2018.
73
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
ACTUARIAL ASSUMPTIONS
The total pension liability in the December 31, 2018 actuarial valuation was determined using the
following actuarial assumptions, applied to all periods included in the measurement:
Investment rate of return 5.75%
Projected salary increases N/A
Inflation 2.75%
Cost-of-living adjustments None
Age of service retirement 50
Post retirement benefit increase None
Mortality assumptions for pre-retirement, post-retirement and disability are as follows:
Healthy pre-retirement – RP 2014 employee generational mortality projected with mortality
improvement scale MP-2016, from a base year of 2006.
Healthy post-retirement – RP 2014 annuitant generational mortality projected with mortality
improvement scale MP-2016 from a base year of 2006. Male rates adjusted by a factor of 0.96.
Disabled – RP 2014 annuitant generational mortality table projected with mortality improvement
scale MP-2016 from a base year of 2006. Male rates are adjusted by a factor of 0.96.
The long-term expected rate of return on pension plan investments was determined using a building-
block method in which best-estimates of expected future real rates of return (expected returns, net of
pension plan investment expense and inflation) are developed for each major asset class. These
asset class estimates are combined to produce the portfolio long-term expected rate of return by
weighting the expected future real rates of return by the current asset allocation percentage (or target
allocation, if available) and by adding expected inflation. All results are then rounded to the nearest
quarter percentage point.
The best-estimate of expected future real rates of return were developed by aggregating data from
several published capital market assumption surveys and deriving a single best-estimate based on
the average survey values. These capital market assumptions reflect both historical market
experience as well as diverse views regarding anticipated future returns. The expected inflation
assumption was developed based on an analysis of historical experience blended with forward-
looking expectations available in market data.
74
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Best estimates of geometric real and nominal rates of return for each major asset class included in
the pension plan’s asset allocation as of the measurement date are summarized in the following
table:
Long-Term Expected Long-Term Expected
Asset Class Real Rate of Return Nominal Rate of Return
Domestic equity 5.39% 8.14%
International equity 5.20% 7.95%
Fixed income 1.98% 4.73%
Real estate and alternatives 4.25% 7.00%
Cash and equivalents 0.79% 3.54%
Total (weighted avg.) 6.58%
Reduced for assumed investment expense (0.95%)
Net assumed investment return (rounded to 1/4%) 5.75%
DISCOUNT RATES
The discount rate used to measure the total pension liability was 5.75%. The liability discount rate
was developed using the alternative method described in paragraph 43 of GASB 67, which states
that “if the evaluations required by paragraph 41 can be made with sufficient reliability without a
separate projection of cash flows into and out of the pension plan, alternative methods may be
applied in making the evaluations.” The determination of the discount rate assumed that the plan’s
current overfunded status, combined with Minnesota statutory funding requirements, provide
sufficient reliability that projected plan assets will be adequate to pay future retiree benefits.
Therefore, the plan’s long-term expected return on plan investments was applied to all periods of
projected benefit payments to determine the total pension liability.
75
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
CHANGES IN THE NET PENSION LIABILITY
Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability (Asset)
(a)(b)(a) - (b)
Balance at December 31, 2017 $746,810 $1,033,263 ($286,453)
Changes for the year:
Service cost 37,633 - 37,633
Interest 40,951 - 40,951
Differences between expected and actual experience - - -
Change of assumptions - - -
Changes of benefit terms 26,091 - 26,091
Contributions - employer - 6,000 (6,000)
On behalf contributions - State of MN - 53,083 (53,083)
Contributions - employee - - -
Net investment income - (54,281) 54,281
Benefit payments, including refunds of employee
contributions (144,500) (144,500) -
Administrative expense - (11,547) 11,547
Other changes - - -
Net changes (39,825) (151,245) 111,420
Balance at December 31, 2018 $706,985 $882,018 ($175,033)
Increase (Decrease)
PENSION LIABILITY (ASSET) SENSITIVITY
The following presents the net pension liability (asset) of the City, calculated using the discount rate
of 5.75%, as well as what the net pension liability would be if it were calculated using a discount
rate that is 1-percentage-point lower (4.75%) or 1-percentage-point higher (6.75%) than the current
rate:
Current
1% Decrease Discount Rate 1% Increase
(4.75%) (5.75%) (6.75%)
Net pension liability (asset) ($151,914) ($175,033) ($196,829)
PENSION PLAN FIDUCIARY NET POSITION
Detailed information about the pension plan’s fiduciary net position is available in the separately
issued Relief Association financial report. That report may be obtained by writing to St. Anthony
Fire Department Relief Association, 3505 Silver Lake Road, St. Anthony, Minnesota, 55418.
76
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
PENSION EXPENSE AND DEFERRED OUTFLOWS OF RESOURCES AND DEFERRED
INFLOWS OF RESOURCES RELATED TO PENSIONS
For the year ended December 31, 2018, the City recognized pension expense of $78,569. At
December 31, 2018, the City reported deferred outflows of resources and deferred inflows of
resources related to pensions from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Differences between expected and actual experience $ - $28,925
Changes of assumptions 2,227 24,849
Net differences between projected and
actual earnings on pension plan investments 76,589 -
Total $78,816 $53,774
Amounts reported as deferred outflows of resources and deferred inflows of resources related to
pension will be recognized in pension expense as follows:
Year ended
June 30:
2019 $19,580
2020 7,242
2021 7,771
2022 15,740
2023 (6,564)
Thereafter (18,727)
C. PENSION EXPENSE
Pension expense recognized by the City for the fiscal year ended December 31, 2018 is as follows:
GERF $179,284
PEPFF 171,860
Fire Relief 78,569
Total $429,713
Note 8 DEFINED CONTRIBUTION PLAN
All city council members of the City of St. Anthony are covered by the Public Employees Defined Contribution
Plan (PEDCP), a multiple-employer deferred compensation plan administered by 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.
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
77
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
employer contribution rates for those qualified personnel who elect to participate. An eligible elected official
who decides to participate contributes 5% of salary which is matched by the elected official's employer. For
ambulance service personnel, employer contributions are determined by the employer, and for salaried
employees, contributions must be a fixed percentage of salary. Employer contributions for volunteer personnel
may be a unit value for each call or period of alert duty. Employees who are paid for their services may elect to
make member contributions in an amount not to exceed the employer share. 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% of employer contributions and
twenty-five hundredths of 1% (.0025) of the assets in each member's account annually.
Total contributions made by the City during fiscal year 2018 were:
Required
Employer
Employee (Pension Expense) Employee Employer Rate
$1,913 $1,913 5% 5% 5%
Contribution Amount Percentage of Covered Payroll
Note 9 POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS (OPEB)
A. PLAN DESCRIPTION
The city implemented GASB Statement No. 75, Accounting and Financial Reporting for Postemployment
Benefits other than Pensions, for the year ended December 31, 2018. GASB Statement No. 75 established
new accounting and financial reporting requirements for governments whose employees are provided OPEB.
Net position has not been restated as a result of the change in accounting principle because its effects on the
financial statements were not material.
In addition to providing the pension benefits described in Note 7, the City provides post-employment
health care benefits, as defined in paragraph B, through its group health insurance plan (the plan). The
plan is a single-employer defined benefit OPEB plan 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. OPEB is funded on a pay-as-you go basis. No assets are
accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No. 75.
B. BENEFITS PROVIDED
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. Active employees, who retire from the City when over age 50 and with 20 years
of service, may continue coverage with respect to both themselves and their eligible dependent(s)
under the City’s health benefits program until age 65.
The City provides health coverage for peace officers or firefighters disabled or killed in the line of
duty in accordance with Minnesota Statute 299A.465. The amount of coverage provided is equal to the
employer portion of health insurance premiums that would have otherwise been paid if the officer or
firefighter was an active employee. During 2018, the City did not have any police officers or
firefighters eligible for this benefit.
78
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
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, Medicare becomes the primary insurer
and the City’s plan becomes secondary.
C. PARTICIPANTS
As of the January 1, 2018 actuarial valuation, participants of the plan consisted of:
Active employees 55
Inactive employees or beneficiaries
currently receiving benefits 2
Total 57
D. TOTAL OPEB LIABILITY AND CHANGES IN TOTAL OPEB LIABILITY
The City’s total OPEB liability of $803,931 was measured as of December 31, 2017, and was
determined by an actuarial valuation as of January 1, 2018. Changes in the total OPEB liability during
2018 were:
Balance - beginning of year $704,204
Changes for the year:
Service cost 60,682
Interest 28,711
Changes of benefit terms -
Differences between expected and actual experience -
Changes in assumptions 21,006
Benefit payments (10,672)
Net changes 99,727
Balance - end of year $803,931
Changes in assumptions reflect a change in the discount rate from 3.78% in 2017 to 3.44% in 2018.
79
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
E. ACTUARIAL ASSUMPTIONS AND OTHER INPUTS
The total OPEB liability in the January 1, 2018 actuarial valuation was determined using the following
actuarial assumptions and other inputs, applied to all periods included in the measurement, unless
otherwise specified:
Inflation 3.50%
Salary increases 3.5% for Police and Fire after 25 years of service and
after 26 years of service for all other employees
Discount rate 3.44%
Investment rate of return NA
Healthcare cost trend rates 10.00% for 2018, decreasing each year to
an ultimate rate of 5.00% for 2028 and beyond
Retirees' share of benefit-related costs 100%
Since the plan is funded on a pay-as-you-go basis, both the discount rate and the investment rate of
return was based on the 20 year AA rated municipal bond rate as of December 31, 2017, obtained from
the Bond Buyer 20-Bond G.O. index.
Mortality rates are the rates used in the PERA plan of which the employee, retiree or beneficiary is a
participant.
Coordinated
Healthy Pre-Retirement
RP-2014 Employee Mortality Table, adjusted for white collar and mortality
improvements using projection scale MP-2015, from a base year of 2014. Rates are set
forward one year for males and set back one year for females.
Healthy Post-Retirement
RP-20 14 Healthy Annuitant Mortality Table, adjusted for white collar and mortality
improvements using projection scale MP-2015, from a base year of 2014. Rates are set
forward two years for males. Female rates are multiplied by a factor of 0.90.
Disabled
RP-2014 Disabled Mortality Table, adjusted for mortality improvements using projection
scale MP-2015, from a base year of 2014. Rates are set forward one year for males and
set forward six years for females.
Police & Fire
Healthy Pre-Retirement
RP-2014 employee generational mortality table projected with mortality improvement
scale MP- 2016, from a base year of 2006.
Healthy Post-Retirement
RP-2014 annuitant generational mortality table projected with mortality improvement
scale MP-2016 from a base year of 2006. Male rates are adjusted by a factor of 0.96.
80
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Disabled
RP-2014 annuitant generational mortality table projected with mortality improvement
scale MP-2016 from a base year of 2006. Male rates are adjusted by a factor of 0.96.
Based on past experience of the plan, 65% of future retirees are assumed to continue medical coverage
until age 65. The retirement rates for employees in each PERA returned plans are as follows:
Coordinated Plan
The 'Rule of 90' retirement rates apply to employees hired prior to July 1, 1989 that have attained the
Rule of 90 (age plus service totals 90). The 'No Rule of 90' Tier 1 retirement rates apply to employees
hired prior to July 1, 1989 that have not attained the Rule of 90, and 'No Rule of 90' Tier 2 employees
hired on or after July 1,1989.
Police & Fire
Rates as shown in the table below.
Police & Fire Fund
Age Rule of 90 Tier 1 Tier 2 All Employees
50 0.00% 0.00% 0.00% 10.00%
51 0.00% 0.00% 0.00% 7.00%
52 0.00% 0.00% 0.00% 7.00%
53 0.00% 0.00% 0.00% 10.00%
54 0.00% 0.00% 0.00% 10.00%
55 20.00% 5.00% 5.00% 25.00%
56 15.00% 5.00% 5.00% 22.50%
57 15.00% 5.00% 5.00% 22.50%
58 15.00% 6.00% 5.00% 22.50%
59 15.00% 7.00% 6.00% 20.00%
60 15.00% 8.00% 7.00% 22.50%
61 18.00% 10.00% 9.00% 25.00%
62 35.00% 20.00% 15.00% 30.00%
63 25.00% 20.00% 15.00% 30.00%
64 25.00% 20.00% 15.00% 30.00%
65 32.50% 32.50% 25.00% 50.00%
66 25.00% 25.00% 25.00% 50.00%
67 20.00% 20.00% 20.00% 50.00%
68 17.50% 17.50% 17.50% 50.00%
69 15.00% 15.00% 15.00% 50.00%
70 17.50% 17.50% 17.50% 100.00%
71 100.00% 100.00% 100.00% 100.00%
Coordinated Plan
Summary of Retirement Rates
81
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
F. SENSITIVITY OF THE TOTAL OPEB LIABILITY TO CHANGES IN THE DISCOUNT
RATE
The following presents the total OPEB liability of the City, as well as what the City’s total OPEB
liability would be if it were calculated using a discount rate that is 1% lower (2.44%) or 1% higher
(4.44%) than the current discount rate:
1% Decrease Discount Rate 1% Increase
(2.44%)(3.44%)(4.44%)
Total OPEB liability $867,461 $803,931 $743,143
G. SENSITIVITY OF THE TOTAL OPEB LIABILITY TO CHANGES IN THE HEALTHCARE
COST TREND RATES
The following presents the total OPEB liability of the City, as well as what the City’s total OPEB
liability would be if it were calculated using healthcare cost trend rates that are 1% lower (9%
decreasing to 4%) or 1% higher (11% decreasing to 6%) than the current healthcare cost trend rates:
Healthcare Cost
1% Decrease Trend Rates 1% Increase
(9% decreasing to 4%) (10% decreasing to 5%) (11% decreasing to 6%)
Total OPEB liability $705,673 $803,931 $918,821
H. OPEB EXPENSE AND DEFERRED OUTFLOWS AND INFLOWS OF RESOURCES
RELATED TO OPEB
For the year ended December 31, 2018, the City recognized $91,408 of OPEB expense. At December
31, 2018, the City reported deferred outflows and inflows of resources related to OPEB from the
following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Changes of assumptions $18,991 $ -
Contributions subsequent to
the measurement date 11,075 -
Total
$30,066 $0
$11,075 reported as deferred outflows of resources resulting from City contributions subsequent to the
measurement date will be recognized as a reduction of the net OPEB liability in the year ended
December 31, 2019.
82
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Amounts reported as deferred outflows and inflows of resources related to OPEB will be recognized in
OPEB expense as follows:
Year Ended OPEB
December 31, Expense
2019 $2,015
2020 2,015
2021 2,015
2022 2,015
2023 2,015
Thereafter 8,916
$18,991
Note 10 INTERFUND RECEIVABLES/PAYABLES, LOANS AND TRANSFERS
Individual fund interfund receivable and payable balances at December 31, 2018 are as follows:
Fund Receivable Payable
Governmental activities:
Major funds:
General Fund $93,921 $ -
Street Improvement Project Fund - 93,921
Total $93,921 $93,921
Interfund payables and receivables are representative of lending/borrowing arrangements to cover deficit cash
balances at the end of the fiscal year.
Interfund loans receivable and payable balances at December 31, 2018 are as follows:
Fund Receivable Payable Purpose
Major funds:
Public Utilities Infrastructure $993,046 $ -
HRA TIF Improvements 1,369,416 2,328,742 Provide financing for pay off of Fannie Mae loan
Nonmajor funds:
Revolving Improvement - 33,720 Provide financing for Arbors Alley Project
-
Total $2,362,462 $2,362,462
83
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Interfund transfers:
Street Street Nonmajor Internal Water/Sewer/
General Improvement HRA TIF Improvement Governmental Service Liquor Water Plant
Fund Debt Service Debt Service Project Fund Fund Fund Fund Total
Governmental activities:
General Fund $ - $ - $ - $ - $90,185 $86,300 $ - $ - $176,485
HRA TIF Improvements 7,870 - 587,237 - - - - - 595,107
Street Improvement Project Fund - 103,596 - - - - - - 103,596
Public Utilities Infrastructure - - - 198,400 - - - - 198,400
Nonmajor 100,000 168,000 - - 249,065 - - - 517,065
Internal Service Fund - - - - - - 52,738 49,967 102,705
Business-type activities:
Liquor 250,000 - - - - - - - 250,000
Stormwater utility - 95,000 - 28,394 - - - - 123,394
Total transfers $357,870 $366,596 $587,237 $226,794 $339,250 $86,300 $52,738 $49,967 $2,066,752
Transfer out
Major Funds
Transfer In
Business-type Activities
Major Funds
Governmental Activities
There was a transfer made in 2018 to close out the 2017 Street Improvement Project Fund. All of the other
2018 transfers are considered routine and consistent with previous practices.
Note 11 DEFICIT FUND BALANCES/NET POSITION
The City has deficit fund balances/net position at December 31, 2018 as follows:
Fund Amount
Nonmajor funds:
Internal Service Fund $7,929,852
Revolving Improvement Fund 83,177
The Internal Service Fund includes the state retirement plans and OPEB and the retirement of pension and
OPEB deficits are dependent upon variables, including contribution rates, investment earnings, and actuarial
assumptions. The Revolving Improvement Fund deficit will be eliminated with future MSA Construction aid.
Note 12 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.
84
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
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. The City did not have
significant settlements in excess of insurance coverage in 2018 and 2016. In 2017, significant
settlements were in excess of insurance coverage by $670,000.
B. LITIGATION
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 judgement of the City management,
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, 2018.
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 three tax increment pay-as-you-go agreements. The agreements are not a general
obligation of the City and are payable solely from available tax increment. Accordingly, these
agreements are not reflected in the financial statements of the City. Details of the pay-as-you-go notes
are as follows:
TIF District #3-5, Landings at Silver Lake Village:
Issued in 2004 in the principal sum of $4,464,407 with an interest rate of 6.75% per annum.
Principal and interest shall be paid on February 1 and August 1 thereafter to and including February
1, 2029. Payments are payable solely from available tax increment derived from the
developed/redeveloped property and paid to the City. The pay-as-you-go note provides for payment
85
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
to the developer equal to 90% of all tax increment received in the prior six months. The payment
reimburses the developer for public improvements. The City shall have no obligation to pay any
unpaid balance of principal or accrued interest that may remain after the final payment on February
1, 2029. The current year abatement (TIF note payments) amount to $793,199. At December 31,
2018, the principal amount outstanding on the note was $3,465,334.
TIF District #3-5, Phase II Town Homes:
Issued in 2006 in the principal sum of $937,520 with an interest rate of 6% per annum. Principal
and interest shall be paid on February 1 and August 1 thereafter to and including August 1, 2031.
Payments are payable solely from available tax increment derived from the developed/redeveloped
property and paid to the City. The pay-as-you-go note provides for payment to the developer equal
to 95% of all tax increment received in the prior six months. The payment reimburses the developer
for public improvements. The City shall have no obligation to pay any unpaid balance of principal
or accrued interest that may remain after the final payment on August 1, 2031. The current year
abatement (TIF note payments) amount to $53,400. At December 31, 2018, the principal amount
outstanding on the note was $937,520.
TIF District # 3-5, The Legends
Issued in 2016 in the principal sum of $1,023,000 with an interest rate of 5% per annum. Principal
and interest shall be paid on February 1 and August 1 thereafter to and including February 1, 2028.
Payments are payable solely from available tax increment derived from the developed/redeveloped
property and paid to the City. The pay-as-you-go note provides for payment to the developer equal
to 90% of all tax increment received in the prior six months. The payment reimburses the developer
for public improvements. The City shall have no obligation to pay any unpaid balance of principal
or accrued interest that may remain after the final payment on February 1, 2028. The current year
abatement (TIF note payments) amount to $277,312. At December 31, 2018, the principal amount
outstanding on the note was $651,421.
F. ARBITRAGE
The City issued greater than $5 million of bonds in the years 2006, 2007 and 2011 and, therefore, is
required to rebate excess investment income relating to these issues to the federal government. The
City calculates arbitrage rebate every five years as permitted by arbitrage regulations. The extent of
the City’s liability for arbitrage rebates for bond issues not currently requiring five year rebate
calculations is not determinable at this time. However, in the opinion of management, any such
liability would be immaterial.
Note 13 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, 2018.
86
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Note 14 FUND BALANCE
A. CLASSIFICATIONS
At December 31, 2018, a summary of the governmental fund balance (deficit) classifications are as
follows:
Street
Improvement Street Public
Debt HRA TIF Improvement HRA TIF Utilities
General Fund Service Debt Service Projects Projects Infrastructure Other Funds Total
Nonspendable:
Prepaid items $122,324 $ - $ - $ - $94,695 $ - $2,992 $220,011
Inventory 3,980 - - - - - - 3,980
Total nonspendable 126,30400094,695 02,992223,991
Restricted for:
Tax increment - - - - 1,871,386 - - 1,871,386
Public safety - - - - - - 31,141 31,141
Debt service - 4,476,633 7,537 - - - 1,080,186 5,564,356
Total restricted 0 4,476,633 7,537 0 1,871,386 0 1,111,327 7,466,883
Committed to:
Community center operations/maintenance - - - - - - 23,443 23,443
Recycling - - - - - - 18,592 18,592
Redevelopment activities - - - - - - 82,179 82,179
Total committed 00000 0124,214124,214
Assigned to:
Community center operations/maintenance - - - - - - 15,883 15,883
Recycling - - - - - - 385 385
Street improvements/rehabilitiation - - - 379,891 - - - 379,891
Building improvements - - - - - - 348,150 348,150
Public safety - - - - - - 12,427 12,427
Public utilities infrastructure - - - - - 3,942,395 - 3,942,395
Parks and recreation - - - - - - 121,660 121,660
Other capital improvements - - - - - - 637,312 637,312
Total assigned 0 0 0 379,891 0 3,942,395 1,135,817 5,458,103
Unassigned 2,381,460 - - - (1,390,148) - (102,903) 888,409
Total $2,507,764 $4,476,633 $7,537 $379,891 $575,933 $3,942,395 $2,271,447 $14,161,600
B. MINIMUM UNASSIGNED FUND BALANCE POLICY
The City Council has formally adopted a policy regarding the minimum unassigned fund balance for
the General Fund. The most significant revenue source of the General Fund is property taxes. This
revenue source is received in two installments during the year – June and December. As such, it is the
City’s goal to begin each fiscal year with sufficient working capital to fund operations between each
semi-annual receipt of property taxes.
The policy establishes a year-end targeted unassigned fund balance amount for cash-flow timing needs
in the range of 30-35% of the subsequent year’s budgeted operating expenditures (net of expenditures
for police services to other cities, financial services to other cities, and fire relief state aid passed
through to the St. Anthony Fire Relief Association). At December 31, 2018, the unassigned fund
balance of the General Fund was 38% of the subsequent year’s budgeted expenditures.
87
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Note 15 CONDUIT DEBT OBLIGATION
From time to time, the City has issued Multi-family Housing Revenue Bonds to provide financial assistance to
private-sector entities for the acquisition and construction of rental housing deemed to be in the public interest.
The bonds are secured by the property financed and are payable solely from payments received on the
underlying mortgage loans. Upon repayment of the bonds, ownership of the acquired facilities transfers to the
private-sector entity served by the bond issuance. Neither the City, the State, nor any political subdivision
thereof is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as
liabilities in the accompanying financial statements.
As of December 31, 2018, there were seven series of Multi-family Housing Revenue Bonds outstanding. The
aggregate issued amount was $71,685,000, including two 1996 issues totaling $7,200,000, a 2002 issue of
$7,775,000, three 2004 issues of $39,760,000, and one 2013 issue of $16,950,000. The balance outstanding at
December 31, 2018 is unavailable.
Note 16 OPERATING LEASES
The City leases space above its water towers. The space is used for antennas and other equipment necessary to
provide radio communications. Lease terms are as follows:
2018 Annual Lease Initial
Lease Adjustment Expiration Automatic
Lessee Amount Factor Date Renewals
Sprint Spectrum $28,903 4%2/27/19 2-5 year terms
Verizon Wireless 27,350 3%8/1/22 3-5 year terms
88
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Future minimum lease payments are as follows:
Sprint Verizon
Spectrum Wireless
2019 30,059 28,170
2020 31,261 29,016
2021 32,590 29,886
2022 33,991 30,783
2023 35,453 31,706
2024 36,978 32,657
2025 38,475 33,637
2026 40,110 34,646
2027 41,835 35,685
2028 43,634 36,756
2029 7,638 37,859
2030 - 38,994
2031 - 40,164
2032 - 41,369
2033 - 42,610
2034 - 43,889
2035 - 45,205
2036 - 46,561
2037 - 27,630
Total $372,024 $687,223
89
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Note 17 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 2018 and 2017 is computed as follows:
December 31, December 31,
2018 2017
Market value:
Ramsey County $332,722,100 $316,089,500
Hennepin County 584,189,715 551,479,705
Total market value 916,911,815 867,569,205
Debt limit percentage 3.00%3.00%
Debt limit 27,507,354 26,027,076
Amount of debt applicable to debt limit:
Total bonded debt 31,730,000 32,145,000
Less nonapplicable debt:
Revenue bonds (water, sewer)(845,000)(975,000)
Tax abatement bonds (1,460,000) (1,640,000)
Improvement bonds (19,165,000) (18,400,000)
Tax increment bonds (6,660,000) (7,065,000)
Cash and investments in applicable debt
service funds (795,439)(820,608)
Total amount of debt applicable to debt limit 2,804,561 3,244,392
Legal debt margin $24,702,793 $22,782,684
Note 18 RECENTLY ISSUED ACCOUNTING STANDARDS
The Governmental Accounting Standards Boards (GASB) recently approved the following statements which
were not implemented for these financial statements:
Statement No. 83 Certain Asset Retirement Obligations. The provisions of this Statement are effective for
reporting periods beginning after June 15, 2018.
Statement No. 84 Fiduciary Activities. The provisions of this Statement are effective for reporting periods
beginning after December 15, 2018.
Statement No. 87 Leases. The provisions of this Statement are effective for reporting periods beginning
after December 15, 2019.
Statement No. 88 Certain Disclosures Related to Debt, including Direct Borrowings and Direct
Placements. The provisions of this Statement are effective for reporting periods beginning after June 15,
2018.
Statement No. 89 Accounting for Interest Cost Incurred before the End of a Construction Periods. The
provisions of this Statement are effective for reporting periods beginning after December 15, 2019.
90
CITY OF ST. ANTHONY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2018
Statement No. 90 Majority Equity Interests. The provisions of this Statement are effective for reporting
periods beginning after December 15, 2018.
The effect these standards may have on future financial statements is not determinable at this time, but it is
expected that Statement No. 87 may have a material impact.
Note 19 SPECIAL ITEM
In 2018, the City aggregated within the internal service fund all fund-level other post employment benefit
liabilities (OPEB). Prior to 2018, allocable portions of the OPEB liability were reported separately within the
Liquor and Water/Sewer/Water Plant enterprise funds. Additionally, under the current financial statements, no
portion of the OPEB liability was reported in the government fund financial statements.
A special item of $619,626 is reported within the statements of revenues, expenses and changes in net position-
proprietary funds - for the year ended December 31, 2018. This item recognizes, using the economic resources
measurement focus and accrual basis of accounting, the assumption by the internal service funds of that portion
of the OPEB liability allocable to personnel expenditures reported within the governmental funds prior to 2018.
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REQUIRED SUPPLEMENTARY INFORMATION
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CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 10
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 1 of 5
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
2018 2017
Actual Variance with Actual
Original Final Amounts Final Budget Amounts
Revenues:
General property taxes $4,171,053 $4,171,053 $4,234,627 $63,574 $3,786,628
Special assessments - - 2,171 2,171 5,074
Licenses and permits 265,277 265,277 295,955 30,678 358,230
Intergovernmental:
Federal:
Police grants 41,600 41,600 42,094 494 41,750
State:
Local governement aid 552,238 552,238 552,240 2 528,225
Police aid 171,630 171,630 206,192 34,562 207,448
Fire aid 45,672 45,672 53,083 7,411 53,206
Municipal state aid - street maintenance 88,708 88,708 97,275 8,567 88,708
PERA aid 7,197 7,197 7,197 - 7,197
County:
Street maintenance 31,905 31,905 31,756 (149) 31,312
Other 8,800 8,800 19,696 10,896 37,419
Local:
School District DARE 14,500 14,500 16,287 1,787 14,500
Other 250 250 68 (182)78
Total intergovernmental 962,500 962,500 1,025,888 63,388 1,009,843
Charges for services:
Police contracts 692,768 692,768 692,768 - 1,345,180
Cable franchise fees 119,350 119,350 101,612 (17,738) 115,079
Antenna rental - water tower 56,252 56,252 56,256 4 59,408
Other 216,667 216,667 214,617 (2,050) 194,668
Total charges for services 1,085,037 1,085,037 1,065,253 (19,784) 1,714,335
Fines and forfeits 75,750 75,750 72,574 (3,176) 71,657
Contributions and donations 1,500 1,500 3,873 2,373 101,500
Other revenue:
Investment income 31,500 31,500 23,866 (7,634) 17,383
Refunds and reimbursments 15,000 15,000 19,596 4,596 5,623
Miscellaneous - other 36,500 36,500 35,559 (941) 18,705
Total other revenue 83,000 83,000 79,021 (3,979) 41,711
Total revenues 6,644,117 6,644,117 6,779,362 135,245 7,088,978
Expenditures:
General government:
Mayor and council:
Current:
Personal services 40,744 40,744 40,721 23 39,085
Other services and charges 43,129 43,129 52,816 (9,687) 43,608
Total mayor and council 83,873 83,873 93,537 (9,664) 82,693
Budgeted Amounts
94
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 10
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 2 of 5
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
2018 2017
Actual Variance with Actual
Original Final Amounts Final Budget Amounts
Expenditures: (continued)
General government: (continued)
Public relations/cable:
Current:
Personal services $9,936 $9,936 $10,081 ($145) $8,941
Supplies 500 500 - 500 86
Other services and charges 37,446 37,446 37,490 (44) 36,363
Capital outlay 1,500 1,500 - 1,500 -
Total public relations/cable 49,382 49,382 47,571 1,811 45,390
General management:
Current:
Personal services 99,565 99,565 98,543 1,022 91,876
Supplies 500 500 117 383 -
Other services and charges 32,177 32,177 29,281 2,896 28,997
Total general management 132,242 132,242 127,941 4,301 120,873
Elections:
Current:
Personal services 19,713 19,713 19,713 - 19,712
Supplies 3,227 525 365 160 352
Other services and charges 400 3,102 816 2,286 3,676
Total elections 23,340 23,340 20,894 2,446 23,740
Finance:
Current:
Personal services 240,409 240,409 251,459 (11,050) 225,003
Supplies 8,600 8,600 7,849 751 7,716
Other services and charges 116,616 116,616 111,996 4,620 114,672
Total finance 365,625 365,625 371,304 (5,679) 347,391
Assessing:
Current:
Personal services 3,914 3,914 4,169 (255) 3,782
Supplies 163 163 116 47 135
Other services and charges 61,503 61,503 61,000 503 58,000
Total assessing 65,580 65,580 65,285 295 61,917
Legal:
Current:
Contracted services 111,110 111,110 75,369 35,741 86,739
Planning and zoning:
Current:
Personal services 13,454 13,454 12,552 902 11,197
Supplies 130 130 121 9 83
Other services and charges 40,088 40,088 60,870 (20,782) 98,527
Total planning and zoning 53,672 53,672 73,543 (19,871) 109,807
Budgeted Amounts
95
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 10
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 3 of 5
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
2018 2017
Actual Variance with Actual
Original Final Amounts Final Budget Amounts
Expenditures: (continued)
General government: (continued)
General government buildings:
Current:
Other services and charges $116,841 $116,841 $111,441 $5,400 $114,522
Total general government buildings 116,841 116,841 111,441 5,400 114,522
Total general government 1,001,665 1,001,665 986,885 14,780 993,072
Public safety:
Civil defense:
Current:
Personal services 76,307 76,307 73,785 2,522 70,131
Supplies 488 488 349 139 239
Other services and charges 3,627 3,627 2,259 1,368 1,525
Total civil defense 80,422 80,422 76,393 4,029 71,895
Police protection:
Current:
Personal services 2,784,330 2,784,330 2,827,257 (42,927) 2,952,914
Supplies 98,199 98,199 81,886 16,313 92,666
Other services and charges 213,557 213,557 393,844 (180,287) 976,002
Total police protection 3,096,086 3,096,086 3,302,987 (206,901) 4,021,582
Fire protection:
Current:
Personal services 994,500 994,500 1,006,035 (11,535) 979,210
Supplies 36,012 36,012 34,760 1,252 28,401
Other services and charges 69,509 69,509 64,494 5,015 83,505
Total fire protection 1,100,021 1,100,021 1,105,289 (5,268) 1,091,116
Protective inspections:
Current:
Personal services 13,805 13,805 13,747 58 13,087
Supplies 100 100 433 (333)92
Other services and charges 80,525 80,525 109,028 (28,503) 131,229
Total protective inspections 94,430 94,430 123,208 (28,778) 144,408
DARE program:
Current:
Personal services 13,105 13,105 9,928 3,177 9,515
Supplies 2,865 2,865 1,981 884 2,719
Total DARE program 15,970 15,970 11,909 4,061 12,234
Budgeted Amounts
96
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 10
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 4 of 5
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
2018 2017
Actual Variance with Actual
Original Final Amounts Final Budget Amounts
Expenditures: (continued)
Public safety: (continued)
Animal control:
Current:
Contracted services $500 $500 $ - $500 $ -
Total animal control 500 500 0 500 0
Total public safety 4,387,429 4,387,429 4,619,786 (232,357) 5,341,235
Public works:
Street maintenance:
Current:
Personal services 414,456 414,456 404,553 9,903 376,686
Supplies 17,786 17,786 20,439 (2,653) 17,698
Other services and charges 137,524 137,524 137,890 (366) 117,210
Total street maintenance 569,766 569,766 562,882 6,884 511,594
Equipment maintenance:
Current:
Personal services 87,889 87,889 80,649 7,240 78,403
Supplies 224,399 224,399 171,346 53,053 140,203
Other services and charges 45,785 45,785 64,395 (18,610) 45,262
Total equipment maintenance 358,073 358,073 316,390 41,683 263,868
Tree and weed care:
Current:
Personal services 41,926 41,926 41,950 (24) 40,405
Other services and charges 5,065 5,065 1,426 3,639 3,765
Total tree and weed care 46,991 46,991 43,376 3,615 44,170
Total public works 974,830 974,830 922,648 52,182 819,632
Parks and recreation:
Park maintenance:
Current:
Personal services 152,608 152,608 153,002 (394) 143,675
Supplies 11,444 11,444 14,357 (2,913) 19,832
Other services and charges 40,417 40,417 42,981 (2,564) 40,684
Total park maintenance 204,469 204,469 210,340 (5,871) 204,191
Recreation:
Current:
Community services 52,176 52,176 52,176 - 52,176
Total parks and recreation 256,645 256,645 262,516 (5,871) 256,367
Budgeted Amounts
97
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 10
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 5 of 5
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
2018 2017
Actual Variance with Actual
Original Final Amounts Final Budget Amounts
Expenditures: (continued)
Nondepartmental:
Personal services $31,313 $31,313 $31,805 ($492) $28,728
Supplies 531 531 15,073 (14,542) 9,800
Insurance deductible costs 6,242 6,242 14,384 (8,142) 6,567
Total nondepartmental 38,086 38,086 61,262 (23,176) 45,095
Total expenditures 6,658,655 6,658,655 6,853,097 (194,442) 7,455,401
Revenues over (under) expenditures (14,538) (14,538) (73,735) (59,197) (366,423)
Other financing sources (uses):
Transfers in 200,000 200,000 357,870 157,870 619,060
Transfers out (176,485) (176,485) (176,485) - (172,190)
Total other financing sources (uses) 23,515 23,515 181,385 157,870 446,870
Net change in fund balance $8,977 $8,977 107,650 $98,673 80,447
Fund balance - January 1 2,400,114 2,319,667
Fund balance - December 31 $2,507,764 $2,400,114
Budgeted Amounts
98
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 11
SCHEDULE OF CHANGES IN THE CITY'S TOTAL OPEB LIABILITY AND RELATED RATIOS
For The Year Ended December 31, 2018
2018
Total OPEB liability:
Service cost $60,682
Interest 28,711
Changes of benefit terms -
Differences between expected and actual experience -
Changes in assumptions 21,006
Benefit payments (10,672)
Net change in total OPEB liability 99,727
Total OPEB liability - beginning 704,204
Total OPEB liability - ending $803,931
Covered-employee payroll $4,627,624
Total OPEB liability as a percentage of covered-employee payroll 17.4%
The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2018 and is intended to
show a ten year trend. Additional years will be added as they become available.
99
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 12
SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY* -
GENERAL EMPLOYEES RETIREMENT FUND
For The Year Ended December 31, 2018
St. Anthony's
Proportionate St. Anthony's
Share of the Proportionate
State's Net Pension Share of the Plan
Proportionate Liability and Net Pension Fiduciary
St. Anthony's St. Anthony's Share (Amount) the State's Liability Net Position
Proportionate Proportionate of the Net Proportionate as a as a
Share Share (Amount) Pension Share of the Net Percentage Percentage
Measurement Fiscal Year (Percentage) of of the Net Liability Pension Liability of its covered of the Total
Date Ending the Net Pension Pension Associated with Associated with Covered Payroll Pension
June 30 December 31 Liability Liability (a) St. Anthony (b) St. Anthony (a+b) Payroll (c) ((a+b)/c) Liability
2015 2015 0.0343% $1,777,604 $ - $1,777,604 $2,012,851 88.3% 78.2%
2016 2016 0.0353% 2,866,185 37,474 2,903,659 2,192,080 132.5% 68.9%
2017 2017 0.0338% 2,157,770 27,098 2,184,868 2,174,769 100.5% 75.9%
2018 2018 0.0345% 1,913,919 62,724 1,976,643 2,318,754 85.2% 79.5%
* The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
100
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 13
SCHEDULE OF PENSION CONTRIBUTIONS* - GENERAL EMPLOYEES RETIREMENT FUND
For The Year Ended December 31, 2018
Statutorily Contributions in Contribution Contributions as a
Required Relation to the Deficiency Covered Percentage of
Fiscal Year Contribution Statutorily Required (Excess) Payroll Covered
Ending (a) Contribution (b)(a-b)(c)Payroll (b/c)
December 31, 2015 $161,326 $161,326 $ - $2,151,016 7.5%
December 31, 2016 160,607 160,607 - 2,141,425 7.5%
December 31, 2017 167,798 167,798 - 2,237,307 7.5%
December 31, 2018 175,748 175,748 - 2,343,317 7.5%
* The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
101
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 14
SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY* -
PUBLIC EMPLOYEES POLICE AND FIRE FUND
For The Year Ended December 31, 2018
Proportionate Share
Proportionate of the Net Pension Plan Fiduciary
Proportion Share (Amount) Liability as a Net Position as
Measurement Fiscal Year (Percentage) of of the Net Percentage of its a Percentage
Date Ending the Net Pension Pension Covered Covered of the Total
June 30 December 31 Liability Liability (a) Payroll (b) Payroll (a/b) Pension Liability
2015 2015 0.2770% $3,147,368 $2,535,887 124.1%86.6%
2016 2016 0.2920% 11,718,468 2,816,408 416.1%63.9%
2017 2017 0.2650% 3,577,815 2,722,821 131.4%85.4%
2018 2018 0.2426% 2,585,866 2,553,675 101.3%88.8%
* The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
102
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 15
SCHEDULE OF PENSION CONTRIBUTIONS* - PUBLIC EMPLOYEES POLICE AND FIRE FUND
For The Year Ended December 31, 2018
Statutorily Contributions in Contribution Contributions as a
Required Relation to the Deficiency Covered Percentage of
Fiscal Year Contribution Statutorily Required (Excess) Payroll Covered
Ending (a) Contribution (b)(a-b)(c)Payroll (b/c)
December 31, 2015 $435,571 $435,571 $ - $2,688,709 16.2%
December 31, 2016 447,527 447,527 - 2,762,512 16.2%
December 31, 2017 424,887 424,887 - 2,622,760 16.2%
December 31, 2018 419,242 419,242 - 2,587,918 16.2%
* The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
103
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 16
SCHEDULE OF CHANGES IN THE NET PENSION LIABILITY* AND RELATED RATIOS -
ST. ANTHONY FIRE DEPARTMENT RELIEF ASSOCIATION
For The Year Ended December 31, 2018
Fiscal year ending December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2015
Measurement date December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2015
Total pension liability:
Service cost $37,633 $37,542 $47,233 $44,095
Interest 40,951 44,308 31,829 30,759
Changes of benefit terms 26,091 - - -
Differences between expected and actual experience - (35,041) - -
Changes of assumptions - 2,699 (36,075) -
Benefit payments, including refunds of employee contributions (144,500)(7,260)(80,200)(25,472)
Net change in total pension liability (39,825)42,248 (37,213)49,382
Total pension liability - beginning 746,810 704,562 741,775 692,393
Total pension liability - ending (a)$706,985 $746,810 $704,562 $741,775
Plan fiduciary net position:
Contributions - employer $6,000 $6,000 $6,000 $6,000
Contributions - State of Minnesota 53,083 51,206 51,174 48,725
Contributions - employee - - - -
Net investment income (54,281)93,511 39,971 (23,129)
Benefit payments, including refunds of employee contributions (144,500)(7,260)(80,200)(25,472)
Administrative expense (11,547)(11,829)(8,653)(10,561)
Other - - - -
Net change in plan fiduciary net position (151,245)131,628 8,292 (4,437)
Plan fiduciary net position - beginning 1,033,263 901,635 893,343 897,780
Plan fiduciary net position - ending (b)$882,018 $1,033,263 $901,635 $893,343
Net pension liability (asset) - ending (a) - (b)($175,033)($286,453)($197,073)($151,568)
Plan fiduciary net position as a percentage of the total pension liability 124.76%138.36%127.97%120.43%
Covered-employee payroll**NA NA NA NA
Net pension liability as a percentage of covered employee payroll**NA NA NA NA
Pension benefit per year of service $3,500 $3,300 $3,300 $3,300
Number of plan participants 33 35 32 32
*GASB 68 was implemented in 2015. Information prior to 2015 is not available.
**The Relief Association is comprised of volunteers, therefore there are no payroll expenditures.
104
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 17
SCHEDULE OF CONTRIBUTIONS* - ST. ANTHONY FIRE DEPARTMENT RELIEF ASSOCIATION
For The Year Ended December 31, 2018
Statutorily Contributions in Contribution Contributions as a
Required Relation to the Deficiency Covered Percentage of
Fiscal Year Contribution Statutorily Required (Excess) Payroll** Covered
Ending (a) Contribution (b)(a-b)(c)Payroll** (b/c)
December 31, 2015 $22,977 $53,725 ($30,748)$ - NA
December 31, 2016 - 56,174 (56,174) - NA
December 31, 2017 - 56,546 (56,546) - NA
December 31, 2018 - 58,083 (58,083) - NA
*GASB 68 was implemented in 2015. Information prior to 2015 is not available.
**The Relief Association is comprised of volunteers, therefore, there are no payroll expenditures.
(i.e., there are no covered payroll amounts or percentage calculations.)
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CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2018
Note A LEGAL COMPLIANCE – 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.
Note B OPEB INFORMATION
No assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No. 75 to pay
related benefits. There are no factors that affect trends in the amounts reported.
Note C PENSION INFORMATION
PERA – General Employees Retirement Fund
2018 Changes
Changes in Actuarial Assumptions:
- The mortality projection scale was changed from MP-2015 to MP-2017.
- The assumed benefit increase was changed from 1.0% per year through 2044 and 2.50% per year
thereafter to 1.25% per year.
2017 Changes
Changes in Actuarial Assumptions:
- The Combined Service Annuity (CSA) loads were changed from 0.8% for active members and 60%
for vested and non-vested deferred members. The revised CSA loads are now 0.0% for active member
liability, 15.0% for vested deferred member liability and 3.0% for non-vested deferred member
liability.
- The assumed post-retirement benefit increase rate was changed from 1.0% per year for all years to
1.0% per year through 2044 and 2.5% per year thereafter.
2016 Changes
Changes in Actuarial Assumptions:
- The assumed post-retirement benefit increase rate was changed from 1.0% per year through 2035 and
2.5% per year thereafter to 1.0% per year for all future years.
- The assumed investment return was changed from 7.9% to 7.5%. The single discount rate was changed
from 7.9% to 7.5%.
- Other assumptions were changed pursuant to the experience study dated June 30, 2015. The assumed
future salary increases, payroll growth, and inflation were decreased by 0.25% to 3.25% for payroll
growth and 2.50% for inflation.
PERA – Public Employees Police and Fire Fund
2018 Changes
Changes in Actuarial Assumptions:
- The mortality projection scale was changed from MP-2016 to MP-2017.
107
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2018
2017 Changes
Changes in Actuarial Assumptions:
- The single discount rate was changed from 5.6% to 7.5%.
- Assumed salary increases were changed as recommended in the June 30, 2016 experience study. The
net effect is proposed rates that average 0.34% lower than the previous rates.
- Assumed rates of retirement were changed, resulting in fewer retirements.
- The Combined Service Annuity (CSA) load was 30% for vested and non-vested deferred members.
The CSA has been changed to 33% for vested members and 2% for non-vested members.
- The base mortality table for healthy annuitants was changed from the RP-2000 fully generational table
to the RP-2014 fully generational table (with a base year of 2006), with male rates adjusted by a factor
of 0.96. The mortality improvement scale was changed from Scale AA to Scale MP-2016. The base
mortality table for disabled annuitants was changed from the RP-2000 disabled mortality table to the
mortality tables assumed for healthy retirees.
- Assumed termination rates were decreased to 3.0% for the first three years of service. Rates beyond
the select period of three years were adjusted, resulting in more expected terminations overall.
- Assumed percentage of married female members was decreased from 65% to 60%.
- Assumed age difference was changed from separate assumptions for male members (wives assumed to
be three years younger) and female members (husbands assumed to be four years older) to the
assumption that males are two years older than females.
- The assumed percentage of female members electing Joint and Survivor annuities was increased.
- The assumed post-retirement benefit increase rate was changed from 1.00% for all years to 1.00% per
year through 2064 and 2.50% thereafter.
2016 Changes
Changes in Actuarial Assumptions:
- The assumed post-retirement benefit increase rate was changed from 1.0% per year through 2037 and
2.5% thereafter to 1.0% per year for all future years.
- The assumed investment return was changed from 7.9% to 7.5%. The single discount rate changed
from 7.9% to 5.6%.
- The assumed future salary increases, payroll growth, and inflation were decreased by 0.25% to 3.25%
for payroll growth and 2.50% for inflation.
Single Employer – Fire Relief Association
2017 Changes
Changes in Actuarial Assumptions:
- The assumed investment return was changed from 6.00% to 5.75%. The single discount rate was
changed from 6.00% to 5.75%.
108
CITY OF ST. ANTHONY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2018
2016 Changes
Changes in Actuarial Assumptions:
- The assumed investment return was changed from 4.25% to 6.00%. The single discount rate changed
from 4.25% to 6.00%.
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110
COMBINING AND INDIVIDUAL NONMAJOR FUND FINANCIAL
STATEMENTS AND SCHEDULES
111
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112
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for the proceeds of specific revenue sources that
are legally restricted to expenditures for specified purposes.
DEBT SERVICE FUNDS
Debt Service Funds are used to account for the accumulation of resources for, and
payment of, interest, principal and related costs on long-term debt.
CAPITAL PROJECT FUNDS
Capital Project Funds account for financial resources to be used for the
acquisition or construction of major capital facilities (other than those financed by
Proprietary Funds).
113
CITY OF ST. ANTHONY, MINNESOTA
COMBINING BALANCE SHEET Statement 18
NONMAJOR GOVERNMENTAL FUNDS
December 31, 2018
With Comparative Totals For December 31, 2017
Special Debt Capital
Revenue Service Project 2018 2017
Assets
Cash and investments $142,369 $1,074,590 $1,205,193 $2,422,152 $3,285,699
Accrued interest - - - - 2,180
Due from other governmental units - - 171,470 171,470 141,169
Accounts receivable - net 733 - - 733 4,593
Loans receivable 32,674 - - 32,674 41,194
Prepaid items 2,992 - - 2,992 15,339
Property taxes receivable:
Delinquent 1,173 4,260 1,930 7,363 4,360
Due from county 1,580 5,596 2,992 10,168 4,343
Special assessments receivable - - 13,373 13,373 15,428
Total assets $181,521 $1,084,446 $1,394,958 $2,660,925 $3,514,305
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $10,653 $ - $173,571 $184,224 $114,168
Contracts payable - - 148,419 148,419 135,669
Interfund loan payable - - 33,720 33,720 39,340
Due to other governmental units 30 - - 30 2,551
Salaries payable 2,349 - - 2,349 1,886
Total liabilities 13,032 0 355,710 368,742 293,614
Deferred inflows of resources:
Unavailable revenue 1,173 4,260 15,303 20,736 19,788
Total deferred inflows of resources 1,173 4,260 15,303 20,736 19,788
Fund balance (deficit):
Nonspendable 2,992 - - 2,992 15,339
Restricted 31,141 1,080,186 - 1,111,327 1,071,040
Committed 124,214 - - 124,214 125,069
Assigned 28,695 - 1,107,122 1,135,817 2,010,345
Unassigned (19,726) - (83,177) (102,903) (20,890)
Total fund balance (deficit)167,316 1,080,186 1,023,945 2,271,447 3,200,903
Total liabilities, deferred inflows of
resources, and fund balance $181,521 $1,084,446 $1,394,958 $2,660,925 $3,514,305
Totals
Nonmajor Governmental Funds
114
CITY OF ST. ANTHONY, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 19
CHANGES IN FUND BALANCE
NONMAJOR GOVERNMENTAL FUNDS
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
Special Debt Capital
Revenue Service Project 2018 2017
Revenues:
General property taxes $162,543 $572,210 $305,423 $1,040,176 $1,039,421
Intergovernmental 16,150 - 25,816 41,966 28,922
Special assessments - - 2,971 2,971 10,079
Charges for services 134,299 - - 134,299 133,032
Fines and forfeits 12,964 - - 12,964 4,400
Investment income 1,614 10,218 22,452 34,284 25,555
Contributions and donations - - 600 600 840
Refunds and reimbursements 1,131 - 136,114 137,245 172,025
Total revenues 328,701 582,428 493,376 1,404,505 1,414,274
Expenditures:
Current:
General government 21,873 - 8,485 30,358 104,826
Public safety 8,405 - 233,167 241,572 5,286
Public works - - 255,659 255,659 170,934
Parks and recreation 140,284 - 28,291 168,575 150,381
Housing and redevelopment 148,966 - - 148,966 131,261
Capital outlay:
General government - - 102,507 102,507 -
Public safety - - 603,056 603,056 111,041
Public works - - 35,906 35,906 241,285
Parks and recreation - - 10,705 10,705 -
Debt service:
Principal - 505,000 - 505,000 1,905,000
Interest - 111,808 5,299 117,107 115,979
Paying agent fees - 1,252 - 1,252 868
Professional service - 237 - 237 1,604
Issuance costs - - - - 23,382
Total expenditures 319,528 618,297 1,283,075 2,220,900 2,961,847
Revenues over (under) expenditures 9,173 (35,869) (789,699) (816,395) (1,547,573)
Other financing sources:
Bonds issued - - - - 520,000
Refundings bonds issued - - - - 835,000
Premium on bonds issued - - - - 82,938
Sale of capital assets - - 64,754 64,754 28,244
Transfers in 90,185 68,880 180,185 339,250 953,926
Transfers out (90,185) - (426,880) (517,065) (630,890)
Total other financing sources 0 68,880 (181,941) (113,061) 1,789,218
Net change in fund balance 9,173 33,011 (971,640) (929,456) 241,645
Fund balance - January 1 158,143 1,047,175 1,995,585 3,200,903 2,959,258
Fund balance - December 31 $167,316 $1,080,186 $1,023,945 $2,271,447 $3,200,903
Totals
Nonmajor Governmental Funds
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116
NONMAJOR GOVERNMENTAL FUNDS
117
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118
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 (601) is used to account for the operation and
maintenance of City Hall and Community Services.
Police Forfeiture Fund (230) is used to account for revenue and expenditures
related to the forfeiture of property.
Recycling Fund (225) is used to account for the City’s recycling program. It
incorporates the activities of both Hennepin and Ramsey Counties.
HRA Fund (301) was established to oversee the commercial and residential
redevelopment activities in the community.
Fire Education / Training Fund (240) was established to account for revenues
and expenditures related to training provided to police and fire personnel.
119
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS
December 31, 2018
With Comparative Totals For December 31, 2017
Community Center
Fund Police Forfeiture Fund
Assets
Cash and investments $45,031 $36,824
Accounts receivable - net - -
Loans receivable - -
Prepaid items 1,653 -
Property taxes receivable:
Delinquent - -
Due from county - -
Due from other governmental units - -
Total assets $46,684 $36,824
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $5,390 $ -
Due to other governmental units 30 -
Salaries payable 285 -
Total liabilities 5,705 0
Deferred inflows of resources:
Unavailable revenue - -
Total deferred inflows of resources 0 0
Fund balance (deficit):
Nonspendable 1,653 -
Restricted - 27,550
Committed 23,443 -
Assigned 15,883 9,274
Unassigned - -
Total fund balance (deficit)40,979 36,824
Total liabilities, deferred inflows of
resources, and fund balance $46,684 $36,824
120
Statement 20
Recycling Fund HRA Fund
Fire Education /
Training Fund
2018 2017
$19,894 $33,876 $6,744 $142,369 $126,092
- 733 - 733 4,593
- 32,674 - 32,674 41,194
151 1,188 - 2,992 4,634
- 1,173 - 1,173 734
- 1,580 - 1,580 709
- - - - 69
$20,045 $71,224 $6,744 $181,521 $178,025
$917 $4,346 $ - $10,653 $15,795
- - - 30 1,467
- 2,064 - 2,349 1,886
917 6,410 0 13,032 19,148
- 1,173 - 1,173 734
0 1,173 0 1,173 734
151 1,188 - 2,992 4,634
- - 3,591 31,141 23,865
18,592 82,179 - 124,214 125,069
385 - 3,153 28,695 25,465
- (19,726) - (19,726)(20,890)
19,128 63,641 6,744 167,316 158,143
$20,045 $71,224 $6,744 $181,521 $178,025
Nonmajor Special Revenue Funds
Totals
121
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, 2018
With Comparative Totals For The Year Ended December 31, 2017
Community Center
Fund
Police Forfeiture
Fund
Revenues:
General property taxes $ - $ -
Intergovernmental:
Local - other - -
Charges for services:
Administrative fees - -
Rental receipts 127,300 -
Fines and forfeits - 12,964
Investment income 787 491
Refunds and reimbursements - -
Total revenues 128,087 13,455
Expenditures:
Current:
General government - -
Public safety - 7,170
Parks and recreation 140,284 -
Housing and redevelopment - -
Capital outlay:
Public safety - -
Total expenditures 140,284 7,170
Revenues over (under) expenditures (12,197)6,285
Other financing sources (uses):
Transfers in 90,185 -
Transfers out (90,185) -
Total other financing sources (uses)0 0
Net change in fund balance (12,197)6,285
Fund balance (deficit) - January 1 53,176 30,539
Fund balance (deficit) - December 31 $40,979 $36,824
122
Statement 21
Recycling Fund HRA Fund
Fire Education /
Training Fund
2018 2017
$ - $162,543 $ - $162,543 $156,098
16,150 - - 16,150 18,989
4,282 - 2,717 6,999 5,532
- - - 127,300 127,500
- - - 12,964 4,400
244 - 92 1,614 1,134
- 1,131 - 1,131 31,678
20,676 163,674 2,809 328,701 345,331
21,873 - - 21,873 20,729
- - 1,235 8,405 5,286
- - - 140,284 134,623
- 148,966 - 148,966 131,261
- - - - 2,817
21,873 148,966 1,235 319,528 294,716
(1,197)14,708 1,574 9,173 50,615
- - - 90,185 85,890
- - - (90,185)(85,890)
00000
(1,197)14,708 1,574 9,173 50,615
20,325 48,933 5,170 158,143 107,528
$19,128 $63,641 $6,744 $167,316 $158,143
Nonmajor Special Revenue Funds
Totals
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124
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.
Public Facilities Revenue Bonds (311) accounts for debt service for the public
works building and fire station.
Tax Abatement Fund (502) was established to account for debt service payments
associated with the improvements to City parks.
Equipment Certificates Fund (402) was established to account for the debt service
related to the 2018 purchase of a fire engine.
HSIP Tax Abatement Fund (536) was established to account for debt service for
sidewalks and signal light improvements.
125
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING BALANCE SHEET Statement 22
NONMAJOR DEBT SERVICE FUNDS
December 31, 2018
With Comparative Totals For December 31, 2017
Public Facilities
Revenue Bonds
Tax Abatement
Fund
Equipment
Certificates
Fund
HSIP Tax
Abatement
2018 2017
Assets
Cash and investments $623,194 $256,864 $61,715 $132,817 $1,074,590 $1,045,736
Property taxes receivable:
Delinquent 2,699 968 - 593 4,260 2,671
Due from county 3,373 1,204 - 1,019 5,596 2,367
Total assets $629,266 $259,036 $61,715 $134,429 $1,084,446 $1,050,774
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $ - $ - $ - $ - $ - $1
Due to other governmental units - - - - - 927
Total liabilities 0 0 0 0 0 928
Deferred inflows of resources:
Unavailable revenue 2,699 968 - 593 4,260 2,671
Total deferred inflows of resources 2,699 968 0 593 4,260 2,671
Fund balance:
Restricted 626,567 258,068 61,715 133,836 1,080,186 1,047,175
Total fund balance 626,567 258,068 61,715 133,836 1,080,186 1,047,175
Total liabilities, deferred inflows of
resources, and fund balance $629,266 $259,036 $61,715 $134,429 $1,084,446 $1,050,774
Totals
Nonmajor Debt Service Funds
126
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES,Statement 23
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR DEBT SERVICE FUNDS
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
Public Facilities
Revenue Bonds
Tax Abatement
Fund
Equipment
Certificates
Fund
HSIP Tax
Abatement
2018 2017
Revenues:
General property taxes $345,081 $123,155 $ - $103,974 $572,210 $579,795
Investment income 5,878 2,624 752 964 10,218 5,610
Total revenues 350,959 125,779 752 104,938 582,428 585,405
Expenditures:
Debt service:
Principal 325,000 95,000 - 85,000 505,000 1,905,000
Interest 49,090 28,705 18,763 15,250 111,808 110,154
Paying agent fees 507 111 184 450 1,252 868
Professional service - 128 - 109 237 1,604
Issuance costs - - - - - 13,151
Total expenditures 374,597 123,944 18,947 100,809 618,297 2,030,777
Revenues over (under) expenditures (23,638)1,835 (18,195)4,129 (35,869) (1,445,372)
Other financing sources (uses):
Bonds issued - - - - - 10,963
Refunding bonds issued - - - - - 835,000
Premium on bonds issued - - - - - 48,477
Transfers in - - 68,880 - 68,880 692,146
Total other financing sources (uses)0 0 68,880 0 68,880 1,586,586
Net change in fund balance (23,638)1,835 50,685 4,129 33,011 141,214
Fund balance (deficit) - January 1 650,205 256,233 11,030 129,707 1,047,175 905,961
Fund balance (deficit) - December 31 $626,567 $258,068 $61,715 $133,836 $1,080,186 $1,047,175
Nonmajor Debt Service Funds
Totals
127
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128
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 (509) was established to provide funding for
smaller improvement projects.
Park Improvement Fund (501) accounts for the revenues and expenditures
associated with the renovations and refurbishing of the City’s park system.
Capital Equipment Fund (401) is used by all City Departments and accounts for
the annual purchases of capital equipment.
Building Improvement Fund (510) was established to provide funding for existing
City owned building improvements and renovations.
129
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING BALANCE SHEET Statement 24
NONMAJOR CAPITAL PROJECT FUNDS
December 31, 2018
With Comparative Totals For December 31, 2017
Revolving
Improvement
Park
Improvement
Capital
Equipment
Fund
Building
Improvement
Fund
2018 2017
Assets
Cash and investments $41,328 $121,660 $673,469 $368,736 $1,205,193 $2,113,871
Accrued interest - - - - - 2,180
Due from other governmental units 145,654 - 25,816 - 171,470 141,100
Prepaid items - - - - - 10,705
Property taxes receivable:
Delinquent - - 1,444 486 1,930 955
Due from county - - 2,278 714 2,992 1,267
Special assessment receivable 13,373 - - - 13,373 15,428
Total assets $200,355 $121,660 $703,007 $369,936 $1,394,958 $2,285,506
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $88,020 $ - $64,251 $21,300 $173,571 $98,372
Contracts payable 148,419 - - - 148,419 135,669
Interfund loan payable 33,720 - - - 33,720 39,340
Due to other governmental units - - - - - 157
Total liabilities 270,159 0 64,251 21,300 355,710 273,538
Deferred inflows of resources:
Unavailable revenue 13,373 - 1,444 486 15,303 16,383
Total deferred inflows of resources 13,373 0 1,444 486 15,303 16,383
Fund balance (deficit):
Nonspendable - - - - - 10,705
Assigned - 121,660 637,312 348,150 1,107,122 1,984,880
Unassigned (83,177) - - - (83,177) -
Total fund balance (deficit)(83,177) 121,660 637,312 348,150 1,023,945 1,995,585
Total liabilities, deferred inflows
of resources, and fund balance $200,355 $121,660 $703,007 $369,936 $1,394,958 $2,285,506
Nonmajor Capital Project Funds
Totals
130
CITY OF ST. ANTHONY, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES,Statement 25
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR CAPITAL PROJECT FUNDS
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
Revolving
Improvement
Park
Improvement
Capital
Equipment Fund
Building
Improvement
Fund
2018 2017
Revenues:
General property taxes $ - $ - $232,550 $72,873 $305,423 $303,528
Intergovernmental:
Federal - - 25,816 - 25,816 -
Other - local participation - - - - - 9,933
Special assessments 2,971 - - - 2,971 10,079
Investment income 3,432 1,996 12,686 4,338 22,452 18,811
Contributions and donations - - 600 - 600 840
Refunds and reimbursements 136,102 - 12 - 136,114 140,347
Total revenues 142,505 1,996 271,664 77,211 493,376 483,538
Expenditures:
General government:
Materials and supplies - - 2,076 6,409 8,485 84,097
Capital outlay - - 102,507 - 102,507 -
Public safety:
Other services and charges - - 233,167 - 233,167 -
Capital outlay - - 603,056 - 603,056 108,224
Public works:
Materials and supplies - - - 12,959 12,959 12,488
Contractual services 203,584 - 19,154 19,962 242,700 158,446
Capital outlay - - 14,605 21,301 35,906 241,285
Parks and recreation:
Materials and supplies - 19,466 - - 19,466 15,758
Other services and charges - - - 8,825 8,825 -
Capital outlay - 10,705 - - 10,705 -
Debt service:
Interest 5,299 - - - 5,299 5,825
Issuance costs - - - - - 10,231
Total expenditures 208,883 30,171 974,565 69,456 1,283,075 636,354
Revenues over (under) expenditures (66,378) (28,175) (702,901)7,755 (789,699) (152,816)
Other financing sources (uses):
Bonds issued - - - - - 509,037
Premium on bonds issued - - - - - 34,461
Sale of capital assets - - 64,754 - 64,754 28,244
Transfers in - - 90,000 90,185 180,185 175,890
Transfers out (358,000) - (68,880) - (426,880) (545,000)
Total other financing sources (uses) (358,000)0 85,874 90,185 (181,941) 202,632
Net change in fund balance (424,378) (28,175) (617,027) 97,940 (971,640) 49,816
Fund balance (deficit) - January 1 341,201 149,835 1,254,339 250,210 1,995,585 1,945,769
Fund balance (deficit) - December 31 ($83,177) $121,660 $637,312 $348,150 $1,023,945 $1,995,585
Totals
Nonmajor Capital Project Funds
131
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 601 COMMUNITY CENTER FUND Statement 26
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2018
With Comparative Actual Amounts For The Year Ended December 31, 2017
2017
Original Final Actual Actual
Revenues:
Charges for services:
Rental receipts $127,300 $127,100 $127,300 $127,500
Investment income 425 425 787 643
Total revenues 127,725 127,525 128,087 128,143
Expenditures:
Parks and recreation:
Current:
Personal services 43,378 43,378 43,006 42,093
Supplies 3,489 3,489 1,732 2,403
Contractual services 101,072 101,072 95,546 90,127
Total expenditures 147,939 147,939 140,284 134,623
Revenues over (under) expenditures (20,214) (20,414) (12,197)(6,480)
Other financing sources (uses):
Transfer in 90,185 90,185 90,185 85,890
Transfer out (90,185) (90,185) (90,185) (85,890)
Total other financing sources (uses)0 0 0 0
Net change in fund balance ($20,214) ($20,414) (12,197)(6,480)
Fund balance - January 1 53,176 59,656
Fund balance - December 31 $40,979 $53,176
2018
Budgeted Amounts
132
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 230 POLICE FORFEITURE FUND Statement 27
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2018
With Comparative Actual Amounts For The Year Ended December 31, 2017
2017
Original Final Actual Actual
Revenues:
Forfeiture and confiscation $2,750 $2,750 $12,964 $4,400
Investment income 425 425 491 302
Total revenues 3,175 3,175 13,455 4,702
Expenditures:
Public safety:
Current:
Supplies 1,750 1,750 7,170 708
Other services and charges 5,031 5,031 - 3,253
Capital outlay:
Public safety - - - 2,817
Total expenditures 6,781 6,781 7,170 6,778
Revenues over (under) expenditures ($3,606) ($3,606)6,285 (2,076)
Fund balance - January 1 30,539 32,615
Fund balance - December 31 $36,824 $30,539
2018
Budgeted Amounts
133
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 225 RECYCLING FUND Statement 28
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2018
With Comparative Actual Amounts For The Year Ended December 31, 2017
2017
Original Final Actual Actual
Revenues:
Intergovernmental:
Hennepin County recycling grant $17,090 $17,090 $16,150 $18,989
Charges for services 3,250 3,250 4,282 3,598
Investment income 50 50 244 141
Total revenues 20,390 20,390 20,676 22,728
Expenditures:
General government:
Current:
Personal services 9,936 9,936 10,081 8,941
Other services and charges 11,750 11,750 11,792 11,788
Total expenditures 21,686 21,686 21,873 20,729
Revenues over (under) expenditures ($1,296) ($1,296)(1,197)1,999
Fund balance - January 1 20,325 18,326
Fund balance - December 31 $19,128 $20,325
2018
Budgeted Amounts
134
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 301 HRA FUND Statement 29
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2018
With Comparative Actual Amounts For The Year Ended December 31, 2017
2017
Original Final Actual Actual
Revenues:
General property taxes $162,534 $162,534 $162,543 $156,098
Refunds and reimbursements 500 500 1,131 31,678
Investment income 150 150 - -
Total revenues 163,184 163,184 163,674 187,776
Expenditures:
Housing and redevelopment:
Current:
Personal services 117,857 117,857 117,269 111,463
Contractual services 7,960 27,960 31,697 19,798
Total expenditures 125,817 145,817 148,966 131,261
Revenues over (under) expenditures $37,367 $17,367 14,708 56,515
Fund balance (deficit) - January 1 48,933 (7,582)
Fund balance (deficit) - December 31 $63,641 $48,933
2018
Budgeted Amounts
135
CITY OF ST. ANTHONY, MINNESOTA
SPECIAL REVENUE FUND - 240 FIRE EDUCATION / TRAINING FUND Statement 30
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2018
With Comparative Actual Amounts For The Year Ended December 31, 2017
2017
Original Final Actual Actual
Revenues:
Charges for services $2,500 $2,500 $2,717 $1,934
Investment income 25 25 92 48
Total revenues 2,525 2,525 2,809 1,982
Expenditures:
Public safety:
Current:
Personal services 1,000 1,000 600 300
Materials and supplies 850 850 635 1,025
Total expenditures 1,850 1,850 1,235 1,325
Revenues over expenditures $675 $675 1,574 657
Fund balance - January 1 5,170 4,513
Fund balance - December 31 $6,744 $5,170
2018
Budgeted Amounts
136
CITY OF ST. ANTHONY, MINNESOTA
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES Statement 31
AGENCY FUND
For The Year Ended December 31, 2018
Balance Balance
January 1, December 31,
2018 Additions Deletions 2018
Developer Deposits
Assets:
Cash and investments $ - $91,647 ($91,647) $ -
Accounts receivable - net 22,942 30,324 (37,249)16,017
Total assets $22,942 $121,971 ($128,896) $16,017
Liabilities:
Cash deficit $14,942 $ - ($667) $14,275
Deposits payable 8,000 197,958 (204,216)1,742
Total liabilities $22,942 $197,958 ($204,883) $16,017
137
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138
SUPPLEMENTARY FINANCIAL INFORMATION
139
CITY OF ST. ANTHONY, MINNESOTA
BALANCE SHEET
STREET IMPROVEMENT DEBT SERVICE FUND
December 31, 2018
With Comparative Totals For December 31, 2017
Prior to 2008
Street
Improvement
Bonds Fund
2008 Street
Improvement
Bond Fund
2009 Street
Improvement
Bond Fund
2010 Street
Improvement
Bond Fund
2011 Street
Improvement
Bond Fund
2012 Street
Improvement
Bond Fund
Assets
Cash and investments $1,496,170 $172,245 $130,959 $172,871 $387,280 $372,803
Due from other governments - - - - - -
Property taxes receivable:
Delinquent 4,783 1,194 1,211 753 913 967
Due from county 5,515 1,511 1,512 940 1,094 1,332
Special assessments receivable 94,365 - 84,338 23,821 68,909 206,944
Total assets $1,600,833 $174,950 $218,020 $198,385 $458,196 $582,046
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $ - $ - $ - $ - $ - $ -
Due to other governmental units - - - - - -
Deposits payable - - - - - -
Total liabilities 0000 0 0
Deferred inflows of resources:
Unavailable revenue 99,148 1,194 85,074 24,145 69,821 207,911
Total deferred inflows of resources 99,148 1,194 85,074 24,145 69,821 207,911
Fund balance (deficit):
Restricted 1,501,685 173,756 132,946 174,240 388,375 374,135
Total fund balance (deficit)1,501,685 173,756 132,946 174,240 388,375 374,135
Total liabilities, deferred inflows of
resources, and fund balance (deficit)$1,600,833 $174,950 $218,020 $198,385 $458,196 $582,046
140
Exhibit 1
2013 Street
Improvement
Bond Fund
2014 Street
Improvement
Bond Fund
2015 Street
Improvement
Bond Fund
2016 Street
Improvement
Bond Fund
2017 Street
Improvement
Bond Fund
2018 Street
Improvement
Bond Fund
2018 2017
$311,580 $207,266 $396,546 $173,944 $373,893 $252,551 $4,448,108 $4,064,362
- - - - 25,000 - 25,000 -
510 967 1,030 595 756 - 13,679 8,590
724 1,392 1,431 2,052 1,850 - 19,353 8,658
113,837 152,257 239,795 190,684 295,762 398,831 1,869,543 1,770,867
$426,651 $361,882 $638,802 $367,275 $697,261 $651,382 $6,375,683 $5,852,477
$ - $ - $ - $ - $ - $ - $ - $1
- - - - - - - 2,782
- - 3,127 - - - 3,127 2,042
0 0 3,1270003,127 4,825
114,347 153,224 240,824 191,278 321,518 387,439 1,895,923 1,777,551
114,347 153,224 240,824 191,278 321,518 387,439 1,895,923 1,777,551
312,304 208,658 394,851 175,997 375,743 263,943 4,476,633 4,070,101
312,304 208,658 394,851 175,997 375,743 263,943 4,476,633 4,070,101
$426,651 $361,882 $638,802 $367,275 $697,261 $651,382 $6,375,683 $5,852,477
Street Improvement Debt Service Funds
141
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE
STREET IMPROVEMENT DEBT SERVICE FUND
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
Prior to 2008
Street
Improvement
Bonds Fund
2008 Street
Improvement
Bond Fund
2009 Street
Improvement
Bond Fund
2010 Street
Improvement
Bond Fund
2011 Street
Improvement
Bond Fund
2012 Street
Improvement
Bond Fund
Revenues:
General property taxes $532,988 $154,554 $149,067 $92,326 $112,035 $136,206
Special assessments 91,764 - 16,599 5,282 18,797 36,811
Investment income 15,801 1,039 333 1,514 4,499 3,801
Miscellaneous - - - - - -
Total revenues 640,553 155,593 165,999 99,122 135,331 176,818
Expenditures:
Debt service:
Principal 860,000 140,000 160,000 85,000 120,000 135,000
Interest 73,170 22,825 46,493 14,734 47,600 37,263
Paying agent fees 1,364 626 113 400 450 90
Professional service 230 - 308 158 347 259
Issuance costs - - - - - -
Total expenditures 934,764 163,451 206,914 100,292 168,397 172,612
Revenues over (under) expenditures (294,211) (7,858) (40,915) (1,170) (33,066)4,206
Other financing sources (uses):
Bonds issued - - - - - -
Refunding bonds issued - - - - - -
Premium on bond issued - - - - - -
Transfers in 123,963 10,000 24,037 20,000 30,000 35,000
Total other financing sources (uses) 123,963 10,000 24,037 20,000 30,000 35,000
Net change in fund balance (170,248) 2,142 (16,878) 18,830 (3,066) 39,206
Fund balance - January 1 1,671,933 171,614 149,824 155,410 391,441 334,929
Fund balance - December 31 $1,501,685 $173,756 $132,946 $174,240 $388,375 $374,135
142
Exhibit 2
2013 Street
Improvement
Bond Fund
2014 Street
Improvement
Bond Fund
2015 Street
Improvement
Bond Fund
2016 Street
Improvement
Bond Fund
2017 Street
Improvement
Bond Fund
2018 Street
Improvement
Bond Fund
2018 2017
$73,966 $142,207 $145,719 $105,720 $188,356 $ - $1,833,144 $1,807,259
16,351 36,224 46,591 43,637 78,892 197,452 588,400 358,068
3,759 1,445 4,089 1,266 1,750 1,109 40,405 23,067
- - - - - 475 475 -
94,076 179,876 196,399 150,623 268,998 199,036 2,462,424 2,188,394
115,000 130,000 155,000 85,000 - - 1,985,000 3,525,000
26,320 47,830 54,863 30,388 93,817 - 495,303 447,359
- 450 450 - 113 - 4,056 3,389
173 261 409 136 305 - 2,586 5,073
- - - 450 - - 450 29,467
141,493 178,541 210,722 115,974 94,235 0 2,487,395 4,010,288
(47,417)1,335 (14,323) 34,649 174,763 199,036 (24,971) (1,821,894)
- - - - - 64,907 64,907 54,817
- - - - - - - 1,355,000
- - - - - - - 78,253
- 10,000 10,000 - 103,596 - 366,596 386,216
0 10,000 10,000 0 103,596 64,907 431,503 1,874,286
(47,417) 11,335 (4,323) 34,649 278,359 263,943 406,532 52,392
359,721 197,323 399,174 141,348 97,384 - 4,070,101 4,017,709
$312,304 $208,658 $394,851 $175,997 $375,743 $263,943 $4,476,633 $4,070,101
Street Improvement Debt Service
Funds
143
CITY OF ST. ANTHONY, MINNESOTA
BALANCE SHEET Exhibit 3
HRA TIF DEBT SERVICE FUND
December 31, 2018
With Comparative Totals For December 31, 2017
2015B G.O Tax
Increment
Refunding Bonds
2014B G.O Tax
Increment
Refunding Bonds
2018 2017
Assets
Cash and investments $4,222 $3,315 $7,537 $9,040
Total assets $4,222 $3,315 $7,537 $9,040
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $ - $ - $ - $ -
Total liabilities 0 0 0 0
Fund balance:
Restricted 4,222 3,315 7,537 9,040
Total liabilities, deferred inflows of
resources, and fund balance $4,222 $3,315 $7,537 $9,040
HRA TIF Debt Service Fund Totals
144
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES Exhibit 4
IN FUND BALANCE
HRA TIF DEBT SERVICE FUND
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
2015B G.O Tax
Increment
Refunding Bonds
2014B G.O Tax
Increment
Refunding Bonds
2018 2017
Revenues:
Investment income $ - $ - $ - $47
Total revenues 0 0 0 47
Expenditures:
Debt service:
Principal 225,000 180,000 405,000 385,000
Interest and other 91,913 90,325 182,238 190,038
Paying agent fees 770 732 1,502 1,503
Total expenditures 317,683 271,057 588,740 576,541
Revenues over (under) expenditures (317,683) (271,057) (588,740) (576,494)
Other financing sources (uses):
Transfers in 316,912 270,325 587,237 575,038
Total other financing sources (uses)316,912 270,325 587,237 575,038
Net change in fund balance (771)(732)(1,503)(1,456)
Fund balance - January 1 4,993 4,047 9,040 10,496
Fund balance - December 31 $4,222 $3,315 $7,537 $9,040
HRA TIF Debt Service Fund Totals
145
CITY OF ST. ANTHONY, MINNESOTA
BALANCE SHEET Exhibit 5
HRA TIF IMPROVEMENTS FUND
December 31, 2018
With Comparative Totals For December 31, 2017
Chandler Place
Apache (Wal-
Mart)
Apache (Cub
Foods)Eliminations
2018 2017
Assets
Cash and investments $124,514 $924,090 $401,564 $ - $1,450,168 $2,216,814
Prepaid expenses - 94,695 - - 94,695 -
Interfund loan receivable 646,850 - 722,566 (1,369,416) - -
Property taxes receivable:
Delinquent - 46,028 - - 46,028 36,690
Due from county - 18,995 - - 18,995 9,024
Total assets $771,364 $1,083,808 $1,124,130 ($1,369,416) $1,609,886 $2,262,528
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $2,560 $4,491 $1,360 $ - $8,411 $694,025
Contracts payable - - 20,188 - 20,188 148,858
Due to other governmental units - - - - - 2,920
Interfund loans payable - 2,328,742 - (1,369,416) 959,326 959,326
Total liabilities 2,560 2,333,233 21,548 (1,369,416) 987,925 1,805,129
Deferred inflows of resources:
Unavailable revenue - 46,028 - - 46,028 36,690
Total deferred inflows of resources 0 46,028 0 0 46,028 36,690
Fund balance (deficit):
Nonspendable - 94,695 - - 94,695 -
Restricted 768,804 - 1,102,582 - 1,871,386 1,852,737
Unassigned - (1,390,148) - - (1,390,148) (1,432,028)
Total fund balance (deficit)768,804 (1,295,453) 1,102,582 0 575,933 420,709
Total liabilities, deferred inflows of
resources, and fund balance (deficit) $771,364 $1,083,808 $1,124,130 ($1,369,416) $1,609,886 $2,262,528
Tax Increment Financing Districts
HRA TIF Improvements Total
146
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES Exhibit 6
IN FUND BALANCE
HRA TIF IMPROVEMENTS FUND
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
Chandler Place
Apache (Wal-
Mart)
Apache (Cub
Foods)
2018 2017
Revenues:
Tax increment collections $ - $1,861,251 $ - $1,861,251 $1,541,874
Investment income 27,421 9,805 34,737 71,963 69,970
Total revenues 27,421 1,871,056 34,737 1,933,214 1,611,844
Expenditures:
General government:
Other - 21,815 - 21,815 21,848
Housing and redevelopment 6,185 - 5,104 11,289 1,176
Debt service:
Interest - 93,150 - 93,150 93,150
Paying agent fees - 1,488 - 1,488 -
Construction/acquisition costs - - 25,924 25,924 156,253
Developer incentives - 1,029,217 - 1,029,217 649,910
Total expenditures 6,185 1,145,670 31,028 1,182,883 922,337
Revenues over expenditures 21,236 725,386 3,709 750,331 689,507
Other financing sources (uses):
Transfers out (3,148) (588,811) (3,148) (595,107) (575,038)
Net change in fund balance 18,088 136,575 561 155,224 114,469
Fund balance (deficit) - January 1 750,716 (1,432,028) 1,102,021 420,709 306,240
Fund balance (deficit) - December 31 $768,804 ($1,295,453) $1,102,582 $575,933 $420,709
Tax Increment Financing Districts
HRA TIF Improvements Totals
147
CITY OF ST. ANTHONY, MINNESOTA
BALANCE SHEET Exhibit 7
STREET IMPROVEMENT PROJECT FUND
December 31, 2018
With Comparative Totals For December 31, 2017
2016 Street
Improvement
Project Fund
2017 Street
Improvement
Project Fund
2018 Street
Improvement
Project Fund
2019 Street
Improvement
Project Fund
2020 Street
Improvement
Project Fund
2021 Street
Improvement
Project Fund
2018 2017
Assets
Cash and investments $25,056 $ - $815,508 $ - $664 $ - $841,228 $355,367
Accrued interest - - 4,506 - - - 4,506 -
Due from other governmental units 66,876 - - 21,455 - - 88,331 566,591
Total assets $91,932 $0 $820,014 $21,455 $664 $0 $934,065 $921,958
Liabilities, Deferred Inflows of
Resources, and Fund Balance
Liabilities:
Accounts payable $ - $ - $65,636 $43,482 $13,853 $ - $122,971 $99,197
Contracts payable 92,671 - 244,611 - - - 337,282 508,145
Due to other governmental units - - - - - - - 1,131
Interfund payable - - - 75,774 - 18,147 93,921 176,936
Total liabilities 92,671 0 310,247 119,256 13,853 18,147 554,174 785,409
Deferred inflows of resources:
Unavailable revenue - - - - - - - 25,000
Total deferred inflows of resources 000000025,000
Fund balance (deficit):
Assigned (739) - 509,767 (97,801) (13,189) (18,147) 379,891 111,549
Total fund balance (deficit)(739)0 509,767 (97,801) (13,189) (18,147) 379,891 111,549
Total liabilities, deferred inflows of
resources, and fund balance (deficit) $91,932 $0 $820,014 $21,455 $664 $0 $934,065 $921,958
Total Street Improvement
Project Fund
148
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENDITURES AND Exhibit 8
CHANGES IN FUND BALANCE
STREET IMPROVEMENT PROJECT FUND
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
2016 Street
Improvement
Project Fund
2017 Street
Improvement
Project Fund
2018 Street
Improvement
Project Fund
2019 Street
Improvement
Project Fund
2020 Street
Improvement
Project Fund
2021 Street
Improvement
Project Fund
2018 2017
Revenues:
Intergovernmental $ - $ - $47,147 $21,455 $ - $ - $68,602 $876,695
Special assessments - - 64,990 - - - 64,990 216,111
Investment income - 3,683 21,241 - - - 24,924 8,461
Contributions and donations 11,573 - - - - - 11,573 -
Refunds and reimbursement 7,152 - - - - - 7,152 209,716
Miscellaneous - - - 7,500 - - 7,500 -
Total revenues 18,725 3,683 133,378 28,955 0 0 184,741 1,310,983
Expenditures:
Current:
General government:9,156 - - - - - 9,156 -
Debt service:
Issuance costs - - 63,123 - - - 63,123 52,038
Construction/acquisition costs 42,311 150,655 2,254,184 126,756 13,189 18,147 2,605,242 4,116,326
Total expenditures 51,467 150,655 2,317,307 126,756 13,189 18,147 2,677,521 4,168,364
Revenues over (under) expenditures (32,742) (146,972) (2,183,929) (97,801) (13,189) (18,147) (2,492,780) (2,857,381)
Other financing sources (uses):
Bonds issued - - 2,545,093 - - - 2,545,093 2,545,183
Premium on bonds issued - - 92,831 - - - 92,831 141,349
Transfers in - - 226,794 - - - 226,794 -
Transfers out - (103,596) - - - - (103,596) (843,362)
Total other financing sources (uses)0 (103,596) 2,864,718 0 0 0 2,761,122 1,843,170
Net change in fund balance (32,742) (250,568) 680,789 (97,801) (13,189) (18,147) 268,342 (1,014,211)
Fund balance (deficit) - January 1 32,003 250,568 (171,022) - - - 111,549 1,125,760
Fund balance (deficit) - December 31 ($739)$0 $509,767 ($97,801) ($13,189) ($18,147) $379,891 $111,549
Total Street Improvement
Project Fund
149
CITY OF ST. ANTHONY, MINNESOTA
SCHEDULE OF REVENUES, EXPENSES AND CHANGES Exhibit 9
IN FUND NET POSITION
WATER/SEWER/WATER PLANT ENTERPRISE FUND
For The Year Ended December 31, 2018
With Comparative Totals For The Year Ended December 31, 2017
Water/Water Plant Sewer 2018 2017
Operating revenues:
Charges for services $985,022 $1,136,667 $2,121,689 $2,044,726
Connection charges 25,700 25,500 51,200 47,650
Total operating revenues 1,010,722 1,162,167 2,172,889 2,092,376
Operating expenses:
Personal services 556,450 323,314 879,764 847,134
Supplies 246,286 10,227 256,513 125,888
Contracted services and other 107,153 61,490 168,643 136,172
Treatment charges (MCES) - 708,567 708,567 643,390
Other 175,745 30,275 206,020 173,189
Depreciation 478,190 99,959 578,149 350,861
Total operating expenses 1,563,824 1,233,832 2,797,656 2,276,634
Operating income (loss)($553,102) ($71,665) (624,767) (184,258)
Nonoperating revenues (expenses):
Investment income 24,620 16,714
Interest expense (12,609)(15,200)
Fees and cost of issuance (1,078)(603)
Refunds and reimbursements 3,753 4,495
Miscellaneous income 6,105 13,094
Total nonoperating revenues (expenses)20,791 18,500
Income (loss) before capital
contributions and transfers (603,976) (165,758)
Capital contributions and transfers:
Capital contributions 1,224,256 8,138,021
Transfers in 49,967 -
Total capital contributions and transfers 1,274,223 8,138,021
Change in net position 670,247 7,972,263
Net position - January 1 15,998,867 8,026,604
Net position - December 31 $16,669,114 $15,998,867
Operations
Totals
150
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
the City’s financial performance and well-being have changed over time.
152-160
Revenue Capacity
These tables contain information to help the reader assess the City’s most
significant local revenue source, the property tax.
162-165
Debt Capacity
These tables present information to help the reader assess the affordability
of the City’s current levels of outstanding debt and the City’s ability to issue
additional debt in the future.
166-172
Demographic and Economic Information
These tables offer demographic and economic indicators to help the reader
understand the enviornment within which the City’s financial activities take
place.
176-177
Operating Information
These tables contain service and infrastructure data to help the reader
understand how the information in the City’s financial report relates to the
services the City provides and the activities it performs.
178-182
Sources: Unless otherwise noted, the information in these tables is derived from the
comprehensive financial reports for the relevant year.
151
CITY OF ST. ANTHONY, MINNESOTA
NET POSITION BY COMPONENT
Last Ten Fiscal Years
(Accrual Basis of Accounting)
2009 2010 2011
Governmental activities:
Net invested in capital assets $12,367,934 $14,098,233 $15,334,754
Restricted for:
Debt service 6,782,289 4,372,871 4,263,706
Redevelopment activity - - -
Pensions - - -
Public safety 60,985 34,320 16,281
Unrestricted (3,478,013) (1,339,821) (6,358,682)
Total governmental
activities net position $15,733,195 $17,165,603 $13,256,059
Business-type activities:
Net invested in capital assets $5,017,685 $4,915,905 $4,767,233
Restricted for:
Debt service 120,000 120,000 -
Unrestricted 730,653 615,994 5,642,649
Total business-type
activities net position $5,868,338 $5,651,899 $10,409,882
Primary government:
Net invested in capital assets $17,385,619 $19,014,138 $20,101,987
Restricted for:
Debt service 6,902,289 4,492,871 4,263,706
Redevelopment activity - - -
Pensions - - -
Public safety 60,985 34,320 16,281
Unrestricted (2,747,360) (723,827) (716,033)
Total primary government
net position $21,601,533 $22,817,502 $23,665,941
Note: GASB 65 was implemented in 2013. Net position was restated for 2012 to reflect the expensing of bond issuance
costs in the year of issuance.
Net position for years prior to 2012 was not restated.
Note: GASB 68 was implemented in 2015. Net position was restated for 2014 to reflect the reporting of net pension liability
and pension related deferred outflows of resources. Net position for years prior to 2014 was not restated.
Note: The City closed the Stormwater Improvement Capital Project Fund during 2015 and transferred the majority
of the net position to the Stormwater Utility Fund.
Fiscal Year
152
Table 1
2012 2013 2014 2015 2016 2017 2018
$15,182,974 $16,217,013 $14,953,582 $10,604,121 $10,024,670 $10,274,946 $10,422,047
4,741,115 3,347,895 5,717,140 6,147,172 6,282,913 6,537,390 7,097,594
- - - 12,411 - - -
- - - - 197,073 219,561 200,075
21,521 21,528 23,471 19,283 25,634 23,865 31,141
(5,566,910) (5,239,277) (9,513,189) (10,391,885) 1,689,042 (5,330,379) (5,776,551)
$14,378,700 $14,347,159 $11,181,004 $6,391,102 $18,219,332 $11,725,383 $11,974,306
$4,523,383 $5,605,845 $6,036,192 $12,143,158 $14,011,168 $22,151,578 $23,179,624
- - - - - - -
5,814,241 5,965,067 5,570,360 5,649,685 3,171,781 3,529,653 3,483,257
$10,337,624 $11,570,912 $11,606,552 $17,792,843 $17,182,949 $25,681,231 $26,662,881
$19,706,357 $21,822,858 $20,989,774 $22,747,279 $24,035,838 $32,426,524 $33,601,671
4,741,115 3,347,895 5,717,140 6,147,172 6,282,913 6,537,390 7,097,594
- - - 12,411 - - -
- - - - 197,073 219,561 200,075
21,521 21,528 23,471 19,283 25,634 23,865 31,141
247,331 725,790 (3,942,829) (4,742,200) 4,860,823 (1,800,726) (2,293,294)
$24,716,324 $25,918,071 $22,787,556 $24,183,945 $35,402,281 $37,406,614 $38,637,187
Fiscal Year
153
CITY OF ST. ANTHONY, MINNESOTA
CHANGES IN NET POSITION
Last Ten Fiscal Years
(Accrual Basis of Accounting)
2009 2010 2011 (1)
Expenses
Governmental activities:
General government $1,160,932 $1,310,199 $1,052,821
Public safety 2,937,528 2,898,043 2,971,316
Public works 1,839,163 1,841,083 1,834,066
Parks and recreation 424,590 440,858 457,822
Services to other cities 1,026,842 1,016,479 1,039,009
Housing and redevelopment 2,534,700 654,145 671,934
Interest on long-term debt 1,407,527 1,290,844 1,302,681
Total governmental
activities expenses 11,331,282 9,451,651 9,329,649
Business-type activities:
Liquor 6,156,097 6,360,985 6,537,271
Water 843,723 826,352 874,099
Water Filtration and Purification - - 132,981
Sewer 932,979 956,635 944,097
Stormwater - - -
Total business-type
activities expenses 7,932,799 8,143,972 8,488,448
Total primary
government expenses $19,264,081 $17,595,623 $17,818,097
Program revenues
Governmental activities:
Charges for services:
Services to other cities $1,156,500 $1,157,190 $1,180,334
Other activities 972,456 817,062 803,397
Operating grants and contributions 456,357 475,411 454,841
Capital grants and contributions 1,659,382 992,511 839,137
Total governmental
activities program revenues 4,244,695 3,442,174 3,277,709
Business-type activities:
Charges for services:
Liquor 6,611,975 6,826,901 6,995,923
Water 806,987 785,642 798,240
Water filtration and purification - - -
Sewer 776,330 789,872 779,513
Stormwater - - -
Operating grants and contributions - - -
Capital grants and contributions - - -
Total business-type
activities program revenues 8,195,292 8,402,415 8,573,676
Total primary government
program revenues $12,439,987 $11,844,589 $11,851,385
Fiscal Year
154
Table 2
Page 1 of 2
2012 2013 (2)2014 2015 2016 2017 2018
$1,307,007 $1,029,147 $1,116,100 $1,342,360 $1,319,451 $1,337,698 $1,234,274
2,971,275 4,488,023 4,644,185 4,757,637 7,053,595 6,018,470 4,886,105
2,671,918 2,565,860 2,711,291 2,741,411 4,134,783 2,988,291 3,005,637
377,689 569,254 608,966 592,892 472,436 472,700 488,132
1,039,504 - - - - - -
649,104 565,303 575,738 596,444 793,834 787,775 1,189,659
1,197,073 1,217,646 1,044,635 845,856 794,584 738,914 795,625
10,213,570 10,435,233 10,700,915 10,876,600 14,568,683 12,343,848 11,599,432
6,618,975 6,479,809 5,879,240 5,728,876 5,676,892 5,591,683 5,617,377
901,732 859,112 845,396 869,446 1,083,240 1,176,102 1,573,857
114,337 124,505 239,074 185,964 - - -
1,041,085 1,019,421 1,069,876 1,051,261 1,048,937 1,144,273 1,243,591
- - - - 191,655 244,135 249,911
8,676,129 8,482,847 8,033,586 7,835,547 8,000,724 8,156,193 8,684,736
$18,889,699 $18,918,080 $18,734,501 $18,712,147 $22,569,407 $20,500,041 $20,284,168
$1,192,138 $ - $ - $ - $ - $ - $ -
1,067,084 2,506,369 2,374,306 2,414,912 2,212,526 2,281,654 1,602,792
447,554 585,950 499,538 499,126 10,969,360 630,316 560,924
1,566,565 780,072 1,070,975 1,367,745 1,643,911 1,604,844 817,077
4,273,341 3,872,391 3,944,819 4,281,783 14,825,797 4,516,814 2,980,793
7,139,381 6,908,143 6,078,039 5,893,916 5,822,783 5,714,000 5,867,452
957,824 933,051 879,007 900,412 925,577 969,638 1,010,722
- - - 45,655 - - -
877,794 947,632 921,242 953,568 1,012,979 1,122,738 1,162,167
- - - - 192,748 197,242 201,729
- - - - 130,932 - -
- - - - 1,166,747 569,716 126,991
8,974,999 8,788,826 7,878,288 7,793,551 9,251,766 8,573,334 8,369,061
$13,248,340 $12,661,217 $11,823,107 $12,075,334 $24,077,563 $13,090,148 $11,349,854
Fiscal Year
155
CITY OF ST. ANTHONY, MINNESOTA
CHANGES IN NET POSITION
Last Ten Fiscal Years
(Accrual Basis of Accounting)
2009 2010 2011 (1)
Net (expense) revenue:
Governmental activities ($7,086,587) ($6,009,477) ($6,051,940)
Business-type activities 262,493 258,443 85,228
Total primary government
net (expense) revenue (6,824,094) (5,751,034) (5,966,712)
General revenues and other changes in net position:
Governmental activities:
Taxes:
Property taxes $4,442,708 $4,750,440 $4,872,840
Tax increment collections 1,952,704 1,807,388 1,746,766
Grants and contributions 20,918 22,827 24,673
Unrestricted investment earnings 208,761 224,693 6,803
Other 16,103 61,866 148,500
Gain on sale of capital assets 3,981 - -
Transfers 319,871 478,000 595,200
Total governmental activities 6,965,046 7,345,214 7,394,782
Business-type activities:
Unrestricted investment earnings 6,833 (336)52,659
Other 10,353 3,454 3,976
Transfers (319,871) (478,000) (595,200)
Total business-type activities (302,685) (474,882) (538,565)
Total primary government $6,662,361 $6,870,332 $6,856,217
Change in net position:
Governmental activities ($121,541) $1,335,737 $1,342,842
Business-type activities (40,192) (216,439) (453,337)
Total primary government ($161,733) $1,119,298 $889,505
(1) In 2011 the Water Filtration and Purification fund was reclassified to the Water and Sewer Proprietary Fund.
(2) In 2013, services to other cities were reclassified to public safety expense.
Note: GASB 65 was implemented in 2013. Governmental activity expenses were restated for 2012
to reflect the expensing of bond issuance costs in the year of issuance. Expenses for years prior to 2012 were not restated.
Note: GASB 68 was implemented for 2015. Expenses for years prior to 2015 were not restated.
Note: The City closed the Stormwater Improvement Capital Project Fund during 2015 and transferred the majority
of the net position to the Stormwater Utility Fund.
Note: The City closed the Water Filtration and Purification Fund during 2016 and transferred the majority of the net position
to governmental activities.
Fiscal Year
156
Table 2
Page 2 of 2
2012 2013 (2)2014 2015 2016 2017 2018
($5,940,229) ($6,562,842) ($6,756,096) ($6,594,817) $257,114 ($7,827,034) ($8,618,639)
298,870 305,979 (155,298) (41,996) 1,251,042 417,141 (315,675)
(5,641,359) (6,256,863) (6,911,394) (6,636,813) 1,508,156 (7,409,893) (8,934,314)
$5,408,188 $5,703,707 $6,030,558 $5,893,900 $6,160,156 $6,577,570 $7,128,703
1,335,674 1,405,872 1,131,896 1,121,627 1,455,090 1,530,093 1,870,589
10,639 26,384 461,964 516,015 530,110 535,422 559,437
55,206 25,914 189,441 146,023 254,396 234,572 286,519
208,525 389,785 104,113 172,913 1,207,375 407,269 225,774
46,195 - 33,204 7,653 7,151 34,775 48,529
610,000 (809,238) (17,982) (6,053,216) 1,956,838 (7,986,616) (1,251,989)
7,674,427 6,742,424 7,933,194 1,804,915 11,571,116 1,333,085 8,867,562
122,833 51,593 111,512 86,407 31,097 21,812 32,771
17,569 66,478 61,444 88,664 64,805 72,713 12,565
(610,000) 809,238 17,982 6,053,216 (1,956,838) 7,986,616 1,251,989
(469,598) 927,309 190,938 6,228,287 (1,860,936) 8,081,141 1,297,325
$7,204,829 $7,669,733 $8,124,132 $8,033,202 $9,710,180 $9,414,226 $10,164,887
$1,734,198 $179,582 $1,177,098 ($4,789,902) $11,828,230 ($6,493,949) $248,923
(170,728) 1,233,288 35,640 6,186,291 (609,894) 8,498,282 981,650
$1,563,470 $1,412,870 $1,212,738 $1,396,389 $11,218,336 $2,004,333 $1,230,573
Fiscal Year
157
CITY OF ST. ANTHONY, MINNESOTA
FUND BALANCES - GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
2009 2010 2011
General Fund:
Reserved $53,849 $57,430 $ -
Unreserved 1,471,584 1,567,270 -
Nonspendable - - 55,271
Unassigned - - 1,647,566
Total general fund $1,525,433 $1,624,700 $1,702,837
All other governmental funds:
Reserved $6,264,349 $4,625,111 $ -
Unreserved, reported in:
Special revenue funds 5,329,291 5,212,683 -
Capital projects funds 314,789 243,408 -
Nonspendable - - 132
Restricted - - 6,868,120
Committed - - 210,953
Assigned - - 763,667
Unassigned - - (1,240,578)
Total all other
governmental funds $11,908,429 $10,081,202 $6,602,294
Note:
The City implemented GASB Statement No. 54 for the fiscal year ended December 31, 2011, resulting in significant reclassification
of the components of fund balances.
Fiscal Year
158
Table 3
2012 2013 2014 2015 2016 2017 2018
$ - $ - $ - $ - $ - $ - $ -
- - - - - - -
68,481 74,049 91,136 107,412 115,482 119,651 126,304
1,906,856 2,074,490 2,384,345 2,338,600 2,204,185 2,280,463 2,381,460
$1,975,337 $2,148,539 $2,475,481 $2,446,012 $2,319,667 $2,400,114 $2,507,764
$ - $ - $ - $ - $ - $ - $ -
- - - - - - -
- - - - - - -
129 49 1,631 2,157 57,188 15,339 97,687
8,594,337 2,002,737 7,627,714 6,491,789 6,907,253 7,002,918 7,466,883
222,184 33,015 78,180 94,107 105,503 125,069 124,355
1,344,529 1,253,470 1,318,583 578,258 13,148,229 6,568,756 5,374,785
(1,473,482) (175,561) (2,407,745) (2,062,163) (1,693,729) (1,452,918) (1,409,874)
$8,687,697 $3,113,710 $6,618,363 $5,104,148 $18,524,444 $12,259,164 $11,653,836
Fiscal Year
159
CITY OF ST. ANTHONY, MINNESOTA
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
2009 2010 2011 (1) 2012
Revenues:
General property taxes $4,407,221 $4,787,076 $4,877,268 $5,416,328
Tax increment collections 1,903,840 1,911,678 1,708,873 1,364,881
Licenses, fees and permits 358,381 224,096 195,563 290,985
Intergovernmental 1,430,366 1,239,053 861,744 1,530,983
Special assessments 506,262 398,895 517,678 427,467
Charges for services 1,519,427 1,528,210 1,573,975 1,736,274
Cable franchise fees 92,309 92,786 96,608 101,403
Fines and forfeits 122,870 128,165 117,835 130,560
Investment income 184,053 224,598 6,792 55,201
Contributions and donations 3,450 2,834 610 2,778
Miscellaneous 53,354 708,181 148,500 194,052
Total revenues 10,581,533 11,245,572 10,105,446 11,250,912
Expenditures:
Current:
General government 1,017,405 1,170,630 883,478 1,059,361
Public safety 2,654,708 2,615,752 2,700,328 2,671,890
Public works 761,530 726,064 684,761 818,851
Parks and recreation 401,787 388,808 366,153 344,702
Services to other cities 1,026,842 1,016,479 1,039,009 1,039,504
Nondepartmental 6,798 6,940 22,283 160,513
Housing and redevelopment 191,608 183,513 227,921 240,097
Capital outlay:
General government - - 12,661 46,588
Public safety - 67,850 152,405 130,000
Public works 271,459 212,029 112,158 170,056
Parks and recreation - - - -
Debt service:
Principal retirement 1,970,000 4,255,000 3,120,000 4,255,000
Interest 1,369,280 1,392,608 1,271,549 1,299,266
Paying agent fees 9,519 8,763 11,582 18,811
Professional service 5,077 3,117 30,109 3,480
Issuance costs 49,420 - 67,278 132,217
Construction/acquisition costs 4,789,180 2,420,767 1,953,923 2,253,448
Developer incentives 443,092 470,632 444,013 409,007
Total expenditures 14,967,705 14,938,952 13,099,611 15,052,791
Revenues over (under) expenditures (4,386,172)(3,693,380)(2,994,165)(3,801,879)
Other financing sources (uses):
Bonds issued 3,965,000 1,375,000 1,940,000 2,195,000
Refunding bonds issued 2,855,000 - 3,225,000 7,300,000
Redemption of refunded bonds (1,210,000) - (1,030,000) -
Payment to refunded bond escrow agent - - - (4,015,373)
Premium on debt issued 140,492 402 105,598 190,221
Sale of capital assets 12,056 15,347 9,982 10,962
Transfers in 1,307,574 3,634,584 1,603,430 1,626,372
Transfers out (829,574)(3,156,584)(1,008,230)(1,016,372)
Total other financing
sources(uses)6,240,548 1,868,749 4,845,780 6,290,810
Net change in fund balance $1,854,376 ($1,824,631)$1,851,615 $2,488,931
Debt service as a percentage of
noncapital expenditures 33.7%46.1%40.4%44.6%
Debt service as percentage of total expenditures
22.3%37.8%33.5%36.9%
(1) In 2011 the Water Filtration and Purification fund was reclassified to the Water and Sewer Proprietary Fund.
(2) In 2013, services to other cities were reclassified to public safety expense.
Fiscal Year
160
Table 4
2013 (2) 2014 2015 2016 2017 2018
$5,657,416 $6,053,119 $5,897,070 $6,161,036 $6,633,308 $7,107,947
1,398,000 1,117,824 1,106,582 1,476,275 1,541,874 1,861,251
342,390 351,102 296,465 304,079 358,230 295,955
792,477 1,464,479 1,644,481 2,283,016 1,925,460 1,136,456
587,191 491,988 621,931 570,549 589,332 658,532
1,932,268 1,787,611 1,879,520 1,701,246 1,732,288 1,097,940
104,089 109,009 108,104 113,672 115,079 101,612
129,363 126,584 130,823 93,529 76,057 85,538
24,197 189,216 145,447 252,830 233,668 284,452
16,134 45,640 15,903 4,120 102,340 16,046
375,719 104,113 172,913 11,637,694 407,269 217,071
11,359,244 11,840,685 12,019,239 24,598,046 13,714,905 12,862,800
836,190 926,501 948,089 1,066,236 1,119,746 1,048,214
4,174,754 4,357,563 4,352,048 5,164,270 5,346,521 4,861,358
1,042,876 1,001,378 1,043,791 1,051,747 1,034,427 1,208,232
420,826 463,057 446,684 409,979 406,748 431,091
- - - - - -
56,117 59,265 40,139 38,421 45,095 61,262
150,070 143,863 119,294 156,312 132,437 160,255
8,157 38,826 168,176 8,201 - 102,507
5,792 283,189 150,645 256,053 111,041 603,056
270,443 53,143 67,831 134,590 320,470 331,854
- 49,464 - - - -
4,245,000 7,785,000 3,750,000 2,620,000 5,815,000 2,895,000
1,308,344 1,139,216 1,020,262 820,607 846,526 887,798
16,387 7,853 10,386 14,793 5,760 29,308
6,682 17,104 16,971 16,339 6,677 2,823
66,035 185,800 142,682 80,294 104,887 42,563
1,618,986 2,959,264 3,750,269 4,867,870 9,908,037 2,720,619
415,233 431,875 475,886 627,639 649,910 1,029,217
14,641,892 19,902,361 16,503,153 17,333,351 25,853,282 16,415,157
(3,282,648)(8,061,676)(4,483,914)7,264,695 (12,138,377)(3,552,357)
1,775,000 2,070,000 2,580,000 2,900,000 3,120,000 2,610,000
- 4,970,000 4,310,000 - 2,190,000 -
- - - - - -
- - (4,332,935) - - -
42,080 158,044 188,693 69,485 302,540 92,831
25,244 13,390 25,860 15,186 28,244 64,754
2,021,913 1,908,166 2,069,259 4,003,953 312,760 287,094
(1,482,913)(1,514,667)(1,900,647)(959,368) - -
2,381,324 7,604,933 2,940,230 6,029,256 5,953,544 3,054,679
($901,324)($456,743)($1,543,684)$13,293,951 ($6,184,833)($497,678)
43.6%54.2%36.5%25.7%41.5%29.8%
37.9%44.8%28.9%19.8%25.8%23.0%
Fiscal Year
161
CITY OF ST. ANTHONY, MINNESOTA
TAX CAPACITY VALUE AND ESTIMATED MARKET VALUE OF TAXABLE PROPERTY Table 5
Last Ten Fiscal Years
Commercial/ Total Adjustments Adjusted Total Estimated Tax Capacity
Payable Residential Industrial All Tax to Tax Tax Capacity Direct Tax Market as a Percent
Year Property Property Other Capacity Capacity * Value Rate Value of EMV
2009 $7,537,190 $2,684,972 $67,599 $10,289,761 ($1,260,607) $9,029,154 51.61% $869,823,300 1.18%
2010 7,194,714 2,546,141 64,834 9,805,689 (1,106,369) 8,699,320 55.66% 828,631,600 1.18%
2011 6,734,706 2,398,897 71,265 9,204,868 (909,287) 8,295,581 59.89% 778,761,500 1.18%
2012 6,225,942 2,273,812 73,491 8,573,245 (846,346) 7,726,899 68.85% 761,934,600 1.13%
2013 5,860,660 2,139,288 83,509 8,083,457 (802,123) 7,281,334 75.46% 721,227,600 1.12%
2014 5,863,304 2,146,080 78,927 8,088,311 (765,126) 7,323,185 77.16% 720,018,700 1.12%
2015 6,286,042 2,172,970 85,325 8,544,337 (607,841) 7,936,496 72.93% 760,404,500 1.12%
2016 7,352,669 2,105,556 94,478 9,552,703 (695,828) 8,856,875 67.64% 860,925,700 1.11%
2017 7,800,780 2,136,787 117,840 10,055,407 (751,642) 9,303,765 69.59% 906,848,000 1.11%
2018 8,225,455 2,301,748 121,376 10,648,579 (856,989) 9,791,590 70.02% 954,111,600 1.12%
Source: Official Statements for the City of St. Anthony. (Hennepin and Ramsey Counties Combined)
* Includes tax increment tax capacity and net fiscal disparities impact.
162
CITY OF ST. ANTHONY, MINNESOTA
DIRECT AND OVERLAPPING PROPERTY TAX RATES Table 6
Last Ten Fiscal Years
City
Fiscal Direct School Other Hennepin
Year Rate District Districts County Total
2009 51.61%32.04%13.35%40.41%137.41%
2010 55.66%32.72%17.37%42.06%147.81%
2011 59.89%36.48%11.14%45.84%153.34%
2012 68.85%38.32%12.04%48.23%167.44%
2013 75.46%38.87%12.70%49.46%176.49%
2014 77.16%33.09%13.22%49.96%173.43%
2015 72.93%29.95%12.23%46.40%161.51%
2016 67.64%33.13%11.63%45.36%157.76%
2017 69.59%33.43%11.69%44.09%158.80%
2018 70.02%37.56%11.07%42.81%161.45%
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.
Overlapping Rates*
163
CITY OF ST. ANTHONY, MINNESOTA
PRINCIPAL PROPERTY TAXPAYERS Table 7
Current Year and Nine Years Ago
Percentage Percentage
Tax of Total City Tax of Total City
Capacity Capacity Capacity Capacity
Taxpayer Value Rank Value Value Rank Value
Inland Silver Lake Village LLC $654,918 1 6.15% 758,128 1 7.73%
St. Anthony Leased Housing 501,195 2 4.71% 364,550 2 3.72%
Assoc. I
Autumn Woods Partners LP 263,838 3 2.48% 205,800 3 2.10%
Equinox Properties LLC 237,506 4 2.23% 186,200 4 1.90%
St. Anthony Shopping Center 163,330 5 1.53% 98,252 5 1.00%
St. Anthony Leased Housing 152,961 6 1.44%
Assoc. II
Xcel Energy 128,912 7 1.21%
Autumn Woods Partners III 119,225 8 1.12%
Landau - 3925 Pleasant 97,971 9 0.92% 83,426 7 0.85%
Chandler Place LP 93,750 10 0.88% 82,329 9 0.84%
LG Anderson LLC/Apache Medical 89,250 6 0.91%
St. Anthony Nursing Home LP 82,449 8 0.84%
Herama/Commonwealth Electric 71,250 10 0.73%
Total $2,413,606 22.67% $2,021,634 20.62%
Total All Property $10,648,579 $9,805,689
Source: Official Statements for the City of St. Anthony
20092018
164
CITY OF ST. ANTHONY, MINNESOTA
PROPERTY TAX LEVIES AND COLLECTIONS Table 8
Last Ten Fiscal Years
Fiscal Taxes Collections
Year Levied in
Ended For The Percentage Subsequent Percentage
December 31, Fiscal Year Amount of Levy Years Amount of Levy
2009 $4,465,113 (1)$4,352,222 97.47%$60,313 $4,412,535 98.82%
2010 4,642,067 (1)4,566,162 98.36%56,690 4,622,852 99.59%
2011 4,761,665 (1)4,710,258 98.92%41,702 4,751,960 99.80%
2012 5,223,089 5,157,341 98.74%39,080 5,196,421 99.49%
2013 5,426,789 5,345,759 98.51%23,300 5,369,059 98.94%
2014 5,633,007 5,564,141 98.78%(41,193) 5,522,949 98.05%
2015 5,831,737 5,733,450 98.31%(11,884) 5,721,566 98.11%
2016 6,050,812 5,974,249 98.73%17,807 5,992,056 99.03%
2017 6,450,785 6,400,683 99.22%1,464 6,402,147 99.25%
2018 6,850,011 6,801,704 99.29%
(1) Net of Market Value Homestead Credit which was subject to State unallotments or other reductions.
Sources: St. Anthony Finance Department
Fiscal Year of the Levy
Collected Within The
Total Collections to Date
Not Available
165
CITY OF ST. ANTHONY, MINNESOTA
RATIOS OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years
G.O. G.O. Tax Lease G.O. Other Total
Fiscal Improvement Reconstruction Increment Revenue Revenue G.O. Fannie Governmental
Year Bonds Bonds Bonds Bonds Bonds Bonds Mae Loan Activities
2009 $14,310,000 $1,910,000 $10,055,000 $4,550,000 $825,000 $2,390,000 $2,050,000 $36,090,000
2010 13,450,000 1,810,000 9,710,000 4,335,000 695,000 1,960,000 1,250,000 33,210,000
2011 16,645,000 1,710,000 9,345,000 4,110,000 565,000 1,850,000 - 34,225,000
2012 18,935,000 1,605,000 8,960,000 3,995,000 430,000 1,665,000 - 35,590,000
2013 17,605,000 1,500,000 8,545,000 3,700,000 295,000 1,475,000 - 33,120,000
2014 16,910,000 2,695,000 7,920,000 3,415,000 150,000 1,285,000 - 32,375,000
2015 18,010,000 1,305,000 7,865,000 3,125,000 - 1,090,000 - 31,395,000
2016 19,280,000 1,170,000 7,450,000 2,825,000 - 950,000 - 31,675,000
2017 18,920,000 1,035,000 7,065,000 2,510,000 - 1,640,000 - 31,170,000
2018 19,685,000 895,000 6,660,000 2,185,000 - 1,460,000 - 30,885,000
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
Source: St. Anthony Finance Department
*See Table 13 for Population data.
Governmental Activities
166
Table 9
Sewer/
Water
Percentage Sewer/ Liquor Total Bonds Total Percentage
of Adjusted Water Revenue Business-Type Per Primary of Personal Per
Tax Capacity Bonds Bonds Activities Customer Government Income Capita*
399.71% $1,815,000 $185,000 $2,000,000 $789 $38,090,000 12.20% $4,239
381.75% 1,730,000 95,000 1,825,000 752 35,035,000 11.75% 4,037
412.57% 1,640,000 - 1,640,000 713 35,865,000 11.03% 4,107
460.60% 1,545,000 - 1,545,000 672 37,135,000 11.07% 4,228
454.86% 1,440,000 - 1,440,000 626 34,560,000 10.14% 3,889
442.09% 1,330,000 - 1,330,000 578 33,705,000 10.05% 3,760
395.58% 1,215,000 - 1,215,000 528 32,610,000 9.41% 3,532
357.63% 1,100,000 - 1,100,000 478 32,775,000 9.37% 3,533
335.03% 975,000 - 975,000 424 32,145,000 8.59% 3,494
315.42% 845,000 - 845,000 367 31,730,000 Not Available
Business-Type Activities
167
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168
CITY OF ST. ANTHONY, MINNESOTA
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT Table 10
As of December 31, 2018
Estimated
Estimated Share of
Debt Percentage Overlapping
Governmental Unit Outstanding Applicable* Debt
Debt repaid with property taxes: (1)
School Districts:
ISD No. 282 $32,665,000 53.5335% $17,486,718
Counties:
Hennepin 950,945,000 0.3741% 3,557,485
Ramsey 155,545,000 0.4965% 772,281
Other:
Metropolitan Council 148,045,000 0.0821% 121,548
Three Rivers Park District 53,355,000 0.5271% 281,234
Subtotal - overlapping debt 22,219,266
City direct debt (2)30,885,000
Total direct and overlapping debt $53,104,266
Sources: (1) Official Statements for City of St. Anthony
(2) St. Anthony Finance Department
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.
169
CITY OF ST. ANTHONY, MINNESOTA
LEGAL DEBT MARGIN INFORMATION
Last Ten Fiscal Years
Market value
Debt limit (3% of market value)
Debt applicable to limit:
General obligation bonds
Less: Amount set aside for repayment
of general obligation debt
Total net debt applicable to limit
Legal debt margin
2009 2010 2011
Debt limit $24,778,098 $23,262,423 $22,184,277
Total net debt applicable to limit 5,410,204 5,059,006 4,708,301
Legal debt margin $19,367,894 $18,203,417 $17,475,976
Total net debt applicable to the limit as a
percentage of debt limit 21.83%21.75%21.22%
Source: Market Value - Hennepin County and Ramsey County, Minnesota Assessor's Offices
Legal Debt Margin Calculation for Fiscal Year 2018
170
Table 11
$916,911,815
27,507,354
3,600,000
(795,439)
2,804,561
$24,702,793
2012 2013 2014 2015 2016 2017 2018
$21,518,115 $20,237,210 $20,226,682 $21,500,127 $24,651,217 $26,027,076 $27,507,354
4,902,237 4,450,131 4,031,063 3,615,981 3,176,798 3,244,392 2,804,561
$16,615,878 $15,787,079 $16,195,619 $17,884,147 $21,474,419 $22,782,684 $24,702,793
22.78% 21.99% 19.93% 16.82% 12.89% 12.47% 10.20%
Legal Debt Margin Calculation for Fiscal Year 2018
171
CITY OF ST. ANTHONY, MINNESOTA
PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Stormwater Less Net
Fiscal Service Operating Available
Year Charges Expenses Revenue Principal Interest Coverage
2009 $167,793 -$ $167,793 $120,000 $40,103 105%
2010 150,431 - 150,431 130,000 28,575 95%
2011 150,833 - 150,833 130,000 18,900 101%
2012 150,734 - 150,734 135,000 14,925 101%
2013 152,750 - 152,750 135,000 10,875 105%
2014 146,423 - 146,423 145,000 6,675 97%
2015 9,619 - 9,619 150,000 2,250 6%
2016 - - - - - -
2017 - - - - - -
2018 - - - - - -
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.
Storm Sewer Revenue Bonds
Debt Service
172
Table 12
Page 1 of 2
Utility Less Net
Service Operating Available
Charges Expenses Revenue Principal Interest Coverage
$1,583,317 $1,464,759 $118,558 $80,000 $75,056 76%
1,575,514 1,452,765 122,749 85,000 71,093 79%
1,577,823 1,492,891 84,932 90,000 68,064 54%
1,836,635 1,621,559 215,076 95,000 66,123 133%
1,883,034 1,577,518 305,516 1,545,000 48,458 19%
1,800,249 1,603,359 196,890 110,000 26,783 144%
1,853,980 1,584,133 269,847 115,000 25,450 192%
1,938,556 1,718,418 220,138 115,000 23,150 159%
2,092,376 1,925,773 166,603 125,000 19,708 115%
2,172,889 2,219,507 (46,618)130,000 18,200 (31%)
Water and Sewer Revenue Bonds
Debt Service
173
CITY OF ST. ANTHONY, MINNESOTA
PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Less Net
Fiscal Net Sales Operating Available
Year (Gross Profit) Expenses Revenue Principal Interest Coverage
2009 $1,543,854 $982,863 $560,991 $85,000 $15,525 558%
2010 1,594,829 1,032,636 562,193 90,000 10,638 559%
2011 1,654,205 1,077,832 576,373 95,000 5,463 574%
2012 1,736,060 1,127,368 608,692 - - N/A
2013 1,626,398 1,198,064 428,334 - - N/A
2014 1,373,473 1,098,109 275,364 - - N/A
2015 1,321,028 1,071,756 249,272 - - N/A
2016 1,354,717 1,082,308 272,409 - - N/A
2017 1,359,067 1,141,171 217,896 - - N/A
2018 1,522,688 1,196,467 326,221 - - N/A
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. Operating
expenses do not include interest, depreciation, or amortization expenses.
Liquor Revenue Bonds
Debt Service
174
Table 12
Page 2 of 2
Special Tax
Assessment Increment
Collections Principal Interest Coverage Collections Principal Interest Coverage
$506,262 $760,000 $430,947 43% $1,903,840 $320,000 $526,949 225%
398,895 2,235,000 499,506 15% 1,911,678 345,000 512,504 223%
517,678 2,405,000 532,400 18% 1,708,873 365,000 496,588 198%
427,467 3,735,000 555,220 10% 1,364,881 385,000 479,132 158%
587,191 3,695,000 717,234 13% 1,398,000 415,000 459,830 160%
491,988 3,350,000 590,257 12% 1,117,824 4,290,000 445,969 24%
621,931 3,355,000 585,636 16% 1,106,582 4,365,000 336,268 24%
570,549 2,070,000 540,465 22% 1,476,275 415,000 156,058 259%
589,332 5,430,000 557,511 10% 1,541,874 385,000 190,038 268%
658,532 2,490,000 607,109 21% 1,861,251 405,000 182,238 317%
Debt Service
Tax Increment BondsImprovement Bonds
Debt Service
175
CITY OF ST. ANTHONY, MINNESOTA
DEMOGRAPHIC AND ECONOMIC STATISTICS Table 13
Last Ten Fiscal Years
Per
Capita
Fiscal Personal Personal Unemployment
Year Population (1)Income (2)Income(1)Rate(3)
2009 8,514 $295,699,734 $34,731 7.30%
2010 8,226 282,682,377 34,365 7.00%
2011 8,333 310,183,426 37,224 6.10%
2012 8,417 321,483,107 38,195 5.20%
2013 8,516 326,729,114 38,367 4.60%
2014 8,965 322,264,855 35,947 3.70%
2015 9,234 333,684,413 36,136 3.30%
2016 9,277 338,053,880 36,440 3.40%
2017 9,200 362,710,000 39,425 3.10%
2018 Not Available 2.50%
Sources:
(1) Metropolitan Council Estimates for St. Anthony
(2) Personal Income calculated from Per Capita Personal Income and Population.
(3) Minnesota Department of Employment and Economic Development -
Annual Average Unemployment Rate for Hennepin County
176
CITY OF ST. ANTHONY, MINNESOTA
PRINCIPAL EMPLOYERS Table 14
Current Year and Nine Years Ago
Employer Employees Rank Employees Rank
St. Anthony Health Center/Chandler Place 270 1 245 3
Cub Foods 250 2 260 2
ISD No. 282 (St. Anthony - New Brighton)206 3 270 1
City of St. Anthony 132 4 132 5
I Care Cab 120 5 - -
B&F Fastener Supply 100 6 - -
St. Charles Borromeo Parish 92 7 - -
North Memoral - Silver Lake Clinic 81 8 - -
Marshall Manufacturing 60 9 40 10
Happy's Potato Chip Company 50 10 50 8
Wal-Mart - - 160 4
Triangle Industries - - 80 6
Triangle Industries - - 80 7
Industrial Custom Products - - 50 9
Total 1,361 1,367
Source: Official Statements for the City of St. Anthony
20092018
177
CITY OF ST. ANTHONY, MINNESOTA
FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION/PROGRAM
Last Ten Fiscal Years
Function/Program 2009 2010 2011 2012
General government:
Administration 3.00 3.00 3.00 2.00
Finance 4.75 4.75 4.50 4.25
Police:
Officers 23.00 23.00 23.00 23.00
Support staff 2.50 2.50 2.50 2.50
Community service officer 1.00 1.00 1.00 1.00
Volunteers (non-paid) 12.00 12.00 12.00 12.00
Fire:
Firefighters 7.00 7.00 7.00 7.00
Volunteers (paid on call) 3.00 3.00 3.00 3.00
Public works:
Administration 2.00 2.00 2.00 2.00
Street 6.00 6.00 5.00 6.00
Park 3.00 3.00 3.00 3.00
Water/Sewer 2.00 2.00 2.00 2.00
Mechanic 1.00 1.00 1.00 1.00
Seasonal 2.00 2.00 2.00 2.00
Liquor operations:
Off-sale:
Full-time 5.00 5.00 5.00 5.00
Market Place - part-time 5.25 6.00 6.00 6.00
Silver Lake Village - part-time 5.25 6.00 6.00 6.00
Total 87.75 89.25 88.00 87.75
Source: City of St. Anthony
Full-Time Equivalent Employees as of December 31,
178
Table 15
2013 2014 2015 2016 2017 2018
2.00 2.00 2.00 2.50 2.50 2.60
4.25 4.25 4.50 4.00 4.00 4.00
23.00 23.00 23.00 23.00 20.00 20.00
2.50 2.50 2.50 2.50 2.50 2.00
1.00 1.00 1.00 1.00 1.00 1.00
12.00 12.00 12.00 12.00 12.00 12.00
7.00 7.00 7.00 7.00 7.00 7.00
3.00 3.00 3.00 3.00 3.00 3.00
2.00 2.00 2.00 2.00 2.00 2.00
6.00 6.00 6.00 6.00 6.00 6.00
3.00 3.00 3.00 3.00 3.00 3.00
2.00 2.00 2.00 2.00 2.00 2.00
1.00 1.00 1.00 1.00 1.00 1.00
2.00 2.00 2.00 2.00 2.00 2.00
5.00 5.00 5.00 5.00 6.00 6.00
6.00 6.00 4.50 4.50 4.50 4.65
6.00 6.00 4.50 4.00 4.00 4.25
87.75 87.75 85.00 84.50 82.50 82.50
Full-Time Equivalent Employees as of December 31,
179
CITY OF ST. ANTHONY, MINNESOTA
OPERATING INDICATORS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
Function/Program 2009 2010 2011 2012
Police: *
Moving violation 2,008 2,305 1,848 1,851
Non-moving violations 351 397 210 200
DWI 59 49 44 39
Traffic arrests 770 600 673 578
Gross and misdemeanor arrests 193 129 145 164
Felony arrests 32 29 46 37
Warrant arrests 32 28 28 20
Fire:
Emergency responses 996 1,203 1,221 1,267
Medical responses 718 895 894 933
Fires 32 34 35 40
Inspections 92 97 121 116
Building inspection:
Permits issued 283 315 336 272
Other public works:
Street reconstruction/resurfacing (miles)1 1 2 1
Potholes filled (tons)80 22 100 84
Water:
New connections - 7 1 39
Water mains breaks 9 11 10 10
Average daily consumption (thousands of gallons)885 806 821 884
Peak daily consumption (thousands of gallons)2,295 1,396 1,586 1,879
* Police statistics are for St Anthony only
Source: City of St. Anthony
Fiscal Year
180
Table 16
2013 2014 2015 2016 2017 2018
2,068 2,017 2,213 1,488 846 1,376
396 321 197 192 65 394
34 39 23 15 21 39
679 633 661 469 249 292
244 130 77 50 63 86
67 53 44 51 20 59
23 25 24 13 20 22
1,409 1,363 1,425 1,534 1,621 1,521
1,016 1,012 1,062 1,113 1,166 1,116
26 26 26 14 17 16
88 256 238 173 216 210
303 288 533 342 292 261
112110.5
39 34 66 23 198 64
122 28 7 1 29 30
788278
822 763 770 715 731 759
1,724 1,635 1,571 1,153 1,453 1,764
Fiscal Year
181
CITY OF ST. ANTHONY, MINNESOTA
CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
Function/Program 2009 2010 2011 2012
Police:
Stations 1 1 1 1
Fleet units 12 13 13 14
Fire stations:1 1 1 1
Fleet units 8 8 8 8
Other public works:
City streets (miles)24.7 24.7 24.7 24.7
Sidewalks (miles)10.2 11.1 11.1 11.1
Parks and recreation:
Acreage 40 40 40 40
Playgrounds 4 4 4 4
Baseball/softball diamonds 7 7 7 7
Soccer/football fields 2 2 2 2
Community centers 1 1 1 1
Skate park 1 1 1 1
Splash pads 2 2 2 2
Tennis courts 2 2 2 2
Seasonal ice rinks 3 3 3 3
Liquor operations:
On/off sale locations 2 2 2 2
Water:
Water mains (miles)24.7 24.7 24.7 24.7
Fire hydrants 287 287 287 287
Storage capacity (thousands of gallons)2,250 2,250 2,250 2,250
Wells 3 3 3 3
Wastewater:
Sanitary sewers (miles)24.7 24.7 24.7 24.7
Lift stations 2 2 2 2
Stormwater:
Stormwater reuse 1 1 1 1
Stormwater treatment systems 0 0 0 0
Stormwater retention ponds 5 5 5 5
Storm sewers (miles)15.0 15.0 15.0 15.0
Source: City of St. Anthony
Fiscal Year
182
Table 17
2013 2014 2015 2016 2017 2018
111111
14 14 14 14 13 13
111111
888888
24.7 24.7 24.7 24.7 24.7 24.7
11.1 11.1 11.1 11.6 12.3 12.3
40 40 40 40 40 40
444444
777777
222222
111111
111111
222222
222222
333333
222222
24.7 24.7 24.7 24.7 24.7 24.7
287 287 287 288 288 288
2,250 2,250 2,250 2,250 2,250 2,250
333333
24.7 24.7 24.7 24.7 24.7 24.7
222222
111111
112222
566666
15.0 15.0 15.0 15.0 15.0 15.0
Fiscal Year
183
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184