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HomeMy WebLinkAbout2021 ACFRCity of Saint Anthony Saint Anthony, Minnesota 2021 Annual Comprehensive Financial Report YEAR ENDED DECEMBER 31, 2021 Prepared By: Finance Department Our mission is to be a progressive and welcoming Village that is walkable, sustainable and safe. ANNUAL COMPREHENSIVE FINANCIAL REPORT OF THE CITY OF ST. ANTHONY, MINNESOTA FOR THE YEAR ENDED DECEMBER 31, 2021 Prepared By: Finance Department Shelly Rueckert, Finance Director - This page intentionally left blank - 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 19 Basic Financial Statements: Government-Wide Financial Statements: Statement of Net Position Statement 1 31 Statement of Activities Statement 2 32 Fund Financial Statements: Balance Sheet - Governmental Funds Statement 3 34 Statement of Revenues, Expenditures and Changes in Fund Balance - Governmental Funds Statement 4 36 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds Statement 5 38 Statement of Net Position - Proprietary Funds Statement 6 39 Statement of Revenues, Expenses and Changes in Fund Net Position - Proprietary Funds Statement 7 40 Statement of Cash Flows - Proprietary Funds Statement 8 41 Notes to Financial Statements 43 Required Supplementary Information: Budgetary Comparison Schedule - General Fund Statement 9 90 Schedule of Changes in the City's Total OPEB Liability and Related Ratios Statement 10 95 Schedule of Proportionate Share of Net Pension Liability - General Employees Retirement Fund Statement 11 96 Schedule of Pension Contributions - General Employees Retirement Fund Statement 12 97 Schedule of Proportionate Share of Net Pension Liability - Public Employees Police and Fire Fund Statement 13 98 Schedule of Pension Contributions - Public Employees Police and Fire Fund Statement 14 99 Schedule of Changes in the Net Pension Liability and Related Ratios - St. Anthony Fire Department Relief Association Statement 15 100 Schedule of Contributions - St. Anthony Fire Department Relief Association Statement 16 101 Notes to RSI 103 II. FINANCIAL SECTION CITY OF ST. ANTHONY, MINNESOTA TABLE OF CONTENTS Page Reference No. Combining and Individual Nonmajor Fund Financial Statements and Schedules: Combining Balance Sheet - Nonmajor Governmental Funds Statement 17 110 Combining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Governmental Funds Statement 18 111 Subcombining Balance Sheet - Nonmajor Special Revenue Funds Statement 19 116 Subcombining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Special Revenue Funds Statement 20 118 Subcombining Balance Sheet - Nonmajor Debt Service Funds Statement 21 122 Subcombining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Debt Service Funds Statement 22 123 Subcombining Balance Sheet - Nonmajor Capital Project Funds Statement 23 126 Subcombining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Capital Project Funds Statement 24 127 Special Revenue Funds: Schedules of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual: Community Center Fund Statement 25 128 Police Forfeiture Fund Statement 26 129 Recycling Fund Statement 27 130 HRA Fund Statement 28 131 Fire Education/Training Fund Statement 29 132 Supplementary Financial Information: Street Improvement Debt Service Fund: Balance Sheet Exhibit 1 134 Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 2 136 HRA TIF Improvements Fund: Balance Sheet Exhibit 3 138 Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 4 139 Street Improvement Project Fund: Balance Sheet Exhibit 5 140 Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 6 141 HRA TIF Debt Service Fund Balance Sheet Exhibit 7 142 Schedule of Revenues, Expenditures and Changes in Fund Balance Exhibit 8 143 Water/Sewer/Water Plant Enterprise Fund: Schedule of Revenues, Expenses and Changes in Fund Net Position Exhibit 9 144 CITY OF ST. ANTHONY, MINNESOTA TABLE OF CONTENTS Page Reference No. Financial Trends: Net Position by Component Table 1 146 Changes in Net Position Table 2 148 Fund Balances - Governmental Funds Table 3 152 Changes in Fund Balances - Governmental Funds Table 4 154 Revenue Capacity: Tax Capacity Value and Estimated Market Value of Taxable Property Table 5 156 Direct and Overlapping Property Tax Rates Table 6 157 Principal Property Taxpayers Table 7 158 Property Tax Levies and Collections Table 8 159 Debt Capacity: Ratios of Outstanding Debt by Type Table 9 161 Direct and Overlapping Governmental Activities Debt Table 10 163 Legal Debt Margin Information Table 11 164 Pledged Revenue Coverage Table 12 166 Demographic and Economic: Demographic and Economic Statistics Table 13 170 Principal Employers Table 14 171 Operating Information: Full-Time Equivalent City Government Employees by Function/Program Table 15 172 Operating Indicators by Function/Program Table 16 174 Capital Asset Statistics by Function/Program Table 17 176 III. STATISTICAL SECTION (Unaudited) - This page intentionally left blank - I. INTRODUCTORY SECTION 1 - This page intentionally left blank - 2       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   June 17, 2022  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, 2021.  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, 2021.  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 9,257.  The City is located 10 minutes north of downtown Minneapolis and 15 minutes northwest of  downtown St. Paul.  City residents and businesses have easy access to all parts of the  Minneapolis‐St. Paul metropolitan area by the use of Interstate 35W, Interstate 694 and  Highway 280.  3       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 City is served by Independent School District (ISD) #282 (St. Anthony), which has a  2021/2022 enrollment of approximately 1,700, 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 330 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  elected 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  the proposed budget and to adopt a final budget by December 31, the close of the City of St.  Anthony’s fiscal year.  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   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 9 as required supplementary information to the basic financial  statements for the governmental funds.  Factors Affecting Financial Condition  The information presented in the financial statements is perhaps best understood when it is  considered from the broader perspective of the specific environment within which the City of  St. Anthony operates.  Local economy:  The Minneapolis‐St. Paul metropolitan area has continued to experience a  relatively stable economy.  The market place for local products and services remains strong.  St.  Anthony is a fully developed City.  However, continued long‐term growth is anticipated as St.  Anthony experiences redevelopment activity in commercial and industrial areas, along with the  construction of additional multi‐family residential units.   Capital Asset 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.    Debt Levy:  In 2014, the City began a debt levy reduction program to stabilize the debt levy  growth, while continuing annual street reconstruction projects. The 2022 Street Improvement  project and resulting debt levy are included in the program and will result in a zero increase  debt levy for 2023.   5       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   A critical milestone in the debt levy reduction program will be reached in 2023, which is the  final levy year for Lease Revenue Bonds, resulting in a sizable decrease in the debt levy  requirements. Future street improvement will be performed every two out of three years. This  modified pace of street improvements will result in a reduction in the reliance on bond (debt)  financing. Debt levy reductions will be transition to Infrastructure levy support of construction  projects. Then the Infrastructure Levy will fund a great portion of construction costs versus  Bond financing over time.  Resulting in a significantly reduced amount of cumulative debt in  the next 15 years. The model also provides flexibility for unexpected levy demands in the  future.  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  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 2021 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:    6       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     A. Federal Government  American Rescue Act Funds.  B. Ramsey County Safe and Sober Grant.  C. Minnesota Board of Firefighter Training & Education Grant.  D. Hennepin County Recycling Grant.  E. Hennepin County Tree Grant  F. State of Minnesota COVID unemployment relief  G. Rice Creek Watershed District Grant for the Silver Lake Terrace and Silver  Lake Water Quality Improvement     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. During 2021 the City added North  Suburban Cable Commission as a financial services customer.   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,  _________________________________   Charlie Yunker    Shelly Rueckert  City Manager      Finance Director     7 - This page intentionally left blank - 8 CITY OF ST. ANTHONY, MINNESOTA ORGANIZATION Term Expires Mayor: Randy Stille December 31, 2023 Council Members: Jan Jenson December 31, 2021 Thomas Randle December 31, 2023 Bernard Walker December 31, 2023 Wendy Webster December 31, 2021 City Manager: Charlie Yunker Appointed Finance Director: Shelly Rueckert Appointed December 31, 2021 9 Engineer - WSB & AssociatesFull-Time Positions = 58Financial - Ehlers & AssociatesPart-Time Positions (average) = 49Legal - Dorsey & WhitneyPublic Works Seasonal=10Planner - Northwest Associated Constultants, Inc. Police Reserves (Unpaid) = 12Building Inspections - City of New BrightonConsultantsParks & Environmental CommissionCity Manager5 Full time Employees25 Part time EmployeesFINANCE 20211 Part time EmployeeADMINISTRATION7 Full time Employees24 Part time EmployeesMAYOR AND COUNCIL MEMBERSPlanning CommissionAssistant to the City ManagerPOLICE St. Anthony Organizational ChartLIQUOR OPERATIONSHuman Resources/Deputy City Clerk23 Full time Employees5 Full time Employees12 Reserve OfficersCommunications Coordinator1 Shared EmployeePUBLIC WORKS14 Full time EmployeesFIRE10 Seasonal Employees10 II. FINANCIAL SECTION 11 - This page intentionally left blank - 12 55 5th Street East, Suite 1400, St. Paul, MN, 55101      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 Audit of the Financial Statements Opinions We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of City of St. Anthony, Minnesota, as of and for the year ended December 31, 2021, and the related notes to the financial statements, which collectively comprise City of St. Anthony, Minnesota's basic financial statements as listed in the table of contents. In our opinion, the accompanying 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 City of St. Anthony, Minnesota, as of December 31, 2021, 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. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of City of St. Anthony, Minnesota and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. 13 Report on Summarized Comparative Information We have previously audited City of St. Anthony, Minnesota’s 2020 financial statements, and we expressed unmodified audit opinions 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 11, 2021. In our opinion, the summarized comparative information presented herein as of and for the year ended December 31, 2020 is consistent, in all material respects, with the audited financial statements from which it has been derived. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for 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. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about City of St. Anthony, Minnesota’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. 14 In performing an audit in accordance with GAAS and Governmental Auditing Standards, we:  Exercise professional judgment and maintain professional skepticism throughout the audit.  Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.  Obtain an understanding of internal control relevant to the audit 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 City of St. Anthony, Minnesota's internal control. Accordingly, no such opinion is expressed.  Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.  Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about City of St. Anthony, Minnesota's ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis, the budgetary comparison schedule, and the schedules of OPEB and pension information, as listed in the table of contents, be presented to supplement the basic financial statements. Such information is the responsibility of management and, 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. 15 Supplementary 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 combining and individual nonmajor fund financial statements and schedules and supplementary financial information exhibits are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The 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 supplementary financial information exhibits are fairly stated, in all material respects, in relation to the basic financial statements as a whole. Other Information Management is responsible for the other information included in the annual report. The other information comprises the introductory and statistical sections but does not include the basic financial statements and our auditor's report thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon. In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report. 16 Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated June 17, 2022 on our consideration of 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 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 City of St. Anthony, Minnesota’s internal control over financial reporting and compliance. REDPATH AND COMPANY, LTD. St. Paul, Minnesota June 17, 2022 17 - This page intentionally left blank - 18 MANAGEMENT’S DISCUSSION AND ANALYSIS As management of the City of St. Anthony, Minnesota (the City), we offer readers of the City’s financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended December 31, 2021. 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 and deferred outflows of resources of the City exceeded its liabilities and deferred inflows of resources at the close of the most recent fiscal year by $48,440,876 (net position).  The City’s total net position increased by $4,374,403 from the prior year’s stated net position.  As of the close of the current fiscal year, the City’s governmental funds reported combined ending fund balances of $18,279,223, an increase of $731,381 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 $3,730,206 or 49% of total General Fund Budget expenditures.  The City’s total bonded debt decreased by $1,070,000 during the current fiscal year. The key factors in this decrease were: 1) principal retirement of $4,040,000 and 2) the issuance of $2,970,000 of 2021A General Obligation Bonds. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the City’s basic financial statements. The City’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’s finances, in a manner similar to a private-sector business. The statement of net position presents information on all of the City’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 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 that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user 19 fees and charges (business-type activities). The governmental activities of the City include general government, public safety, public works, parks and recreation, services to other cities and HRA activities. The business-type activities of the City 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 itself (known as the primary government), but also a legally separate Housing and Redevelopment Authority (HRA) for which the City of St. Anthony is financially accountable. The HRA functions for all practical purposes as a department of the City of St. Anthony, 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, 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 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 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 Improvements, Street Improvement Projects and Public Utilities Infrastructure, all of which are considered to be major funds. Data from the other 14 governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these non- major governmental funds is provided in the form of combining and sub-combining statements and schedules elsewhere in this report. The City 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. 20 Proprietary funds. The City 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 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 various functions. The City uses an internal service fund to account for its compensated absences, OPEB 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. The basic proprietary fund financial statements can be found on Statements 6 through 8 of this report. Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found following Statement 8 of this report. The combining statements referred to earlier in connection with 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 17 through 24 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. Assets and deferred outflows of resources exceeded liabilities and deferred inflows of resources by $48,440,876 at the close of the most recent fiscal year. 21 City of St. Anthony, Minnesota’s Net Position Governmental Activities Business-Type Activities Totals 2021 2020 2021 2020 2021 2020 Current and other assets $23,891,135 $21,508,654 $5,379,427 $4,691,115 $29,270,562 $26,199,769 Capital assets 33,854,615 33,885,667 25,013,354 24,315,166 58,867,969 58,200,833 Total assets $57,745,750 $55,394,321 $30,392,781 $29,006,281 $88,138,531 $84,400,602 Total deferred outflows of resources $4,479,130 $1,936,317 $0 $0 $4,479,130 $1,936,317 Long term liabilities outstanding $32,992,744 $35,951,705 $625,283 $791,392 $33,618,027 $36,743,097 Other liabilities 3,319,733 1,825,400 464,799 421,610 3,784,532 2,247,010 Total liabilities $36,312,477 $37,777,105 $1,090,082 $1,213,002 $37,402,559 $38,990,107 Total deferred inflows of resources $6,774,226 $3,280,339 $0 $0 $6,774,226 $3,280,339 Net position: Invested in capital assets net of related debt $10,068,970 $10,349,363 $24,563,962 $23,721,266 $34,632,932 $34,070,629 Restricted 6,655,391 6,700,424 - - 6,655,391 6,700,424 Unrestricted 2,413,816 (776,593) 4,738,737 4,072,013 7,152,553 3,295,420 Total net position $19,138,177 $16,273,194 $29,302,699 $27,793,279 $48,440,876 $44,066,473 The City’s net position increased by $4,374,403 in 2021. The increase was primarily due to constructing and capitalizing assets during the current year which will be depreciated in future years. City of St. Anthony, Minnesota’s Changes in Net Position Governmental Activities Business-Type Activities Totals 2021 2020 2021 2020 2021 2020 Revenues: Program revenue: Charges for services $3,041,161 $1,722,036 $10,098,794 $9,595,167 $13,139,955 $11,317,203 Operating grants and contributions 741,397 1,211,012 - - 741,397 1,211,012 Capital grants and contributions 624,283 1,862,319 - - 624,283 1,862,319 General revenue: Property taxes 8,083,595 7,946,178 - - 8,083,595 7,946,178 Tax increment taxes 2,470,757 2,077,137 - - 2,470,757 2,077,137 Grants and contributions not restricted to specific programs 640,386 613,302 - - 640,386 613,302 Other 96,705 359,421 (5,291) 45,267 91,414 404,688 Total revenues 15,698,284 15,791,405 10,093,503 9,640,434 25,791,787 25,431,839 Expenses: General government 1,349,129 1,374,449 - - 1,349,129 1,374,449 Public safety 4,840,277 5,125,951 - - 4,840,277 5,125,951 Public works 2,947,640 2,915,895 - - 2,947,640 2,915,895 Parks and recreation 646,257 438,126 - - 646,257 438,126 Housing and redevelopment 1,217,386 1,276,274 - - 1,217,386 1,276,274 Interest on long-term debt 695,343 680,448 - - 695,343 680,448 Liquor - - 6,765,260 6,605,500 6,765,260 6,605,500 Water - - 1,377,483 1,554,879 1,377,483 1,554,879 Sewer - - 1,240,813 1,202,141 1,240,813 1,202,141 Stormwater - - 337,796 367,578 337,796 367,578 Total expenses 11,696,032 11,811,143 9,721,352 9,730,098 21,417,384 21,541,241 Excess before transfers 4,002,252 3,980,262 372,151 (89,664) 4,374,403 3,890,598 Transfers (1,137,269) 212,638 1,137,269 (212,638) - - Increase (decrease) in net position 2,864,983 4,192,900 1,509,420 (302,302) 4,374,403 3,890,598 Net position - January 1 16,273,194 12,080,294 27,793,279 28,095,581 44,066,473 40,175,875 Net position - December 31 $19,138,177 $16,273,194 $29,302,699 $27,793,279 $48,440,876 $44,066,473 22 Governmental Activities. Governmental activities increased the City’s net position by $2,864,983 compared to prior year increase of $4,192,900 The key elements of this change are a decrease of $388,526 in Governmental program revenues, a decrease in general revenues of $1,279,720 and a reduction of $340,329 in governmental activities expenses. 23 Business-type Activities. Business-type activities increased net position by $1,509,420. There was net $1,137,269 transfers to cash and a increase in general revenues of $53,488. Financial Analysis of the City’s Funds As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental funds. The focus of the City’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’s financing requirements. As of the end of the current fiscal year, the City’s governmental funds reported combined ending fund balances of $18,279,223 an increase of $731,381 from the prior year. The ending fund balance is classified as follows: Nonspendable $182,533 Restricted 7,396,858 Committed 337,173 Assigned 6,632,453 Unassigned 3,730,206 Total $18,279,223 The General Fund is the chief operating fund of the City. At the end of the current fiscal year, unassigned fund balance of the General Fund was $3,730,206, while total fund balance reached $3,876,786. 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 49% of total General Fund expenditures and total fund balance represents 51% of that same amount. During the current fiscal year, the fund balance in the General Fund increased by $478,796 due to an increase in revenues over expenses of $28,575 and along with an increase in other financing uses of $356,989. The Street Improvement Debt Service Fund decreased by $226,068 mainly due to refunding of specific prior year debt issuance and using cash on hand to lower new debt issues and existing debt levied. 24 The HRA TIF Improvement Fund increased by $693,553, substantially due to an increase in revenues over expenses of $431,112 and a small reduction in transfers of $1,449. The Street Improvement Project Funds decreased by $597,206 due to other financing sources of $2,144,542 exceeding revenues under expenditures of $2,471,798. The Public Utilities Infrastructure Fund increased by $75,485 substantially due to connection fees of $521,900 less capital outlays of $444,755. Non-major Special Revenue Funds increased by $125,902 resulting in an ending balance of $378,475 substantially due revenue over expenditures of $12,029 and plus net transfers in of $113,873. Non-major Debt Service Funds had a total fund balance of $1,032,751, all of which is restricted for the payment of debt service. The net decrease in fund balance during the current year in the non-major debt service funds was $29,977, substantially due to the planned use of fund balance to support the debt service associated with the Public Facilities Revenue Bonds. Non-major Capital Project Funds had a total fund balance of $2,378,389, an increase of $210,896 from prior year, substantially due to the receipt of park dedication fee revenues of $259,000. Proprietary funds. The City’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 $29,393,011. The total net position for each fund was: Liquor – $2,610,392; Water and Sewer – $17,437,699; Stormwater Utility - $9,344,920. 25 General Fund Budgetary Highlights Variances from actual to budget can be briefly summarized as follows:  General property taxes were $97,224 greater than budget due to a higher percentage of current tax levy collections were received than was budgeted.  Licenses and permits were $855,846 greater than budget primarily due to higher level of construction related permit activity.  Legal expenditures were $42,151 less than budget due to less legal activity incurred than was provided for in the budget.  Public works expenditures were $126,006 less than budget primarily due to budgeted positions being unfilled for portions of the year.  Protection inspections expenditures were $472,796 greater than budget primarily due to higher level of construction related permit activity.  Transfers out were $367,845 greater than budget due to excess fund balance transfers made in accordance with the fund balance policy. Capital Asset and Debt Administration Capital Assets. The City’s investment in capital assets for its governmental and business-type activities as of December 31, 2021 amounts to $58,867,969 (net of accumulated depreciation). This investment in capital assets includes land, buildings and structures, improvements, machinery and equipment, park facilities, roads and infrastructure. The City’s investment in capital assets (net) increased .1%. Major capital asset events during the current fiscal year included the following:  The 2021 Street and Utility Improvement project construction began and significant progress was made. The remaining construction activities will be completed in 2022.  The City Engineer was authorized to design and create construction specifications for the 2022 Street and Utility Improvement project, which will be substantially constructed in 2022. 26 City of St. Anthony, Minnesota’s Capital Assets Governmental Activities Business-Type Activities Totals 2021 2020 2021 2020 2021 2020 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 - - 73,984 - Land improvements 587,187 587,187 1,038,687 1,038,687 1,625,874 1,625,874 Buildings and structures 10,321,564 10,258,074 8,482,703 8,482,703 18,804,267 18,740,777 Furniture and fixtures 4,731,993 4,798,664 5,396,420 4,860,982 10,128,413 9,659,646 Software intangibles 56,823 56,823 62,894 26,022 119,717 82,845 Infrastructure/streets 43,240,017 41,336,141 18,006,505 17,043,752 61,246,522 58,379,893 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 (30,373,380) (28,449,148) (12,328,253) (11,495,579) (42,701,633) (39,944,727) Construction in progress 3,125,075 3,132,590 11,297 15,498 3,136,372 3,148,088 Total $33,854,615 $33,885,667 $25,013,354 $24,315,166 $58,867,969 $58,126,849 Additional information on the City’s capital assets can be found in Note 5. Long-term debt. At the end of the current fiscal year, the City had total bonded debt outstanding of $27,925,000. Of this amount, $20,990,000 comprises debt backed by special assessments and the full faith and credit of the City, $5,345,000 is backed by tax increments, $1,150,000 is backed by lease revenue sources, and $440,000 is backed by revenues sources from the City’s water/sewer funds. In addition, the City’s debt represents the liability for compensated absences $811,706, net pension liability of $3,249,904, and OPEB liability of $692,246. City of St. Anthony, Minnesota’s Outstanding Debt General Obligation and Revenue Bonds Governmental Activities Business-Type Activities Totals 2021 2020 2021 2020 2021 2020 General obligation bonds $20,990,000 $21,255,000 $ - $ - $20,990,000 $21,255,000 G.O. revenue bonds 1,150,000 1,505,000 440,000 580,000 1,590,000 2,085,000 G.O. tax increment bonds 5,345,000 5,795,000 - - 5,345,000 5,795,000 Issuance premiums (discounts) 929,779 934,554 9,392 13,900 939,171 948,454 - Total $28,414,779 $29,489,554 $449,392 $593,900 28,864,171 $30,083,454 The City’s total bonded debt decreased by $1,070,000 during the current fiscal year. The key factors in this decrease were: 1) principal retirement of $4,040,000 and 2) the issuance of $2,970,000 of 2021A General Obligation Bonds. The City 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 is $32,282,829, which is in excess of the City’s applicable debt. Additional information on the City’s long-term debt can be found in Note 6. 27 Bond Rating comments on Economic Factors, Financial management and Budgets Healthy economic metrics, including incomes and wealth levels, in a Twins Cities suburb, supported by consistent valuation growth. Solid financial position with very strong available reserves, resulting from positive operational performance. Good financial policies and practices under our Financial Management Assessment (FMA) methodology, and strong institutional framework. Weak debt and liabilities profile with elevated debt costs, but a manageable pension and OPEB burden and rapid amortization of debt. Strong operational performance lending to consistent growth in available reserves. These factors were considered in preparing the City’s budget for the 2022 fiscal year and beyond. 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. 28 BASIC FINANCIAL STATEMENTS 29 - This page intentionally left blank - 30 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF NET POSITION Statement 1 December 31, 2021 With Comparative Totals For December 31, 2020 Governmental Business-Type Activities Activities 2021 2020 Assets: Cash and investments $20,762,177 $3,688,437 $24,450,614 $21,486,901 Accrued interest 19,340 - 19,340 28,108 Due from other governmental units 74,291 - 74,291 98,775 Accounts receivable - net 96,164 743,752 839,916 799,854 Internal balances 90,312 (90,312) - - Property taxes receivable 137,112 - 137,112 142,907 Prepaid items 168,984 28,348 197,332 183,503 Inventories - at cost 13,549 1,009,202 1,022,751 1,136,201 Loans receivable 5,786 - 5,786 9,227 Special assessments receivable 1,566,643 - 1,566,643 1,521,614 Land held for resale 370,356 - 370,356 370,356 Capital assets - net: - Nondepreciable 4,861,942 2,101,251 6,963,193 6,974,909 Depreciable 28,992,673 22,912,103 51,904,776 51,225,924 Net pension asset 586,421 - 586,421 422,323 Total assets 57,745,750 30,392,781 88,138,531 84,400,602 Deferred outflows of resources: Related to other post employment benefits 109,026 - 109,026 82,708 Related to pensions 4,370,104 - 4,370,104 1,853,609 Total deferred outflows of resources 4,479,130 0 4,479,130 1,936,317 Liabilities: Accounts payable 1,151,001 269,861 1,420,862 815,745 Due to other governmental units 18,397 85,991 104,388 187,950 Salaries payable 144,162 54,170 198,332 186,638 Contracts payable 997,559 - 997,559 619,949 Deposits payable 169,773 52,235 222,008 89,539 Accrued interest payable 321,361 2,542 323,903 347,189 Unearned revenue 517,480 - 517,480 - Other post employment benefits: Due within one year 30,213 - 30,213 21,165 Due in more than one year 662,033 - 662,033 593,322 Long-term liabilities: Due within one year 3,383,835 199,155 3,582,990 3,498,759 Due in more than one year 25,666,759 426,128 26,092,887 27,462,805 Net pension liability: Due in more than one year 3,249,904 - 3,249,904 5,167,046 Total liabilities 36,312,477 1,090,082 37,402,559 38,990,107 Deferred inflows of resources: Related to other post employment benefits 304,301 - 304,301 345,652 Related to pensions 6,469,925 - 6,469,925 2,934,687 Total deferred inflows of resources 6,774,226 - 6,774,226 3,280,339 Net position: Net investments in capital assets 10,068,970 24,563,962 34,632,932 34,070,629 Restricted for: Debt service 6,255,605 - 6,255,605 6,406,488 Pensions 360,702 - 360,702 247,024 Public safety 39,084 - 39,084 46,912 Unrestricted 2,413,816 4,738,737 7,152,553 3,295,420 Total net position $19,138,177 $29,302,699 $48,440,876 $44,066,473 Total Primary Government The accompanying notes are an integral part of these financial statements. 31 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF ACTIVITIES For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 Program Revenues Charges For Functions/Programs Expenses Services Primary government: Governmental activities: General government $1,349,129 $1,207,984 Public safety 4,840,277 894,133 Public works 2,947,640 707,746 Parks and recreation 646,257 231,068 Housing and redevelopment 1,217,386 230 Interest on long-term debt 695,343 - Total governmental activities 11,696,032 3,041,161 Business-type activities: Liquor 6,765,260 7,260,590 Water/water plant 1,377,483 1,311,611 Sewer 1,240,813 1,314,285 Stormwater 337,796 212,308 Total business-type activities 9,721,352 10,098,794 Total primary government $21,417,384 $13,139,955 The accompanying notes are an integral part of these financial statements. 32 Statement 2 Operating Capital Grants and Grants and Governmental Business-Type Contributions Contributions Activities Activities 2021 2020 $57,779 $ - ($83,366) $ - ($83,366) ($937,971) 326,531 - (3,619,613) - (3,619,613) (3,202,286) 94,052 624,283 (1,521,559) - (1,521,559) (704,998) 263,035 - (152,154) - (152,154) (214,259) - - (1,217,156) - (1,217,156) (1,275,814) - - (695,343) - (695,343) (680,448) 741,397 624,283 (7,289,191) 0 (7,289,191) (7,015,776) - - - 495,330 495,330 419,968 - - - (65,872) (65,872) (421,421) - - - 73,472 73,472 22,740 - - - (125,488) (125,488) (156,218) 0 0 0 377,442 377,442 (134,931) $741,397 $624,283 (7,289,191) 377,442 (6,911,749) (7,150,707) General revenues: General property taxes 8,083,595 - 8,083,595 7,946,178 Tax increment taxes 2,470,757 - 2,470,757 2,077,137 Grants and contributions not restricted to specific programs 640,386 - 640,386 613,302 Unrestricted investment earnings 47,420 (11,911) 35,509 363,920 Gain on disposal of capital assets - 6,620 6,620 - Other 49,285 - 49,285 40,768 Transfers (1,137,269) 1,137,269 - - Total general revenues and transfers 10,154,174 1,131,978 11,286,152 11,041,305 Change in net position 2,864,983 1,509,420 4,374,403 3,890,598 Net position - January 1 16,273,194 27,793,279 44,066,473 40,175,875 Net position - December 31 $19,138,177 $29,302,699 $48,440,876 $44,066,473 Program Revenues Total Primary Government Changes in Net Position Net (Expense) Revenue and The accompanying notes are an integral part of these financial statements. 33 CITY OF ST. ANTHONY, MINNESOTA BALANCE SHEET GOVERNMENTAL FUNDS December 31, 2021 With Comparative Totals For December 31, 2020 General Fund Street Improvement Debt Service Fund Assets Cash and investments $4,232,561 $4,015,795 Accrued interest 19,340 - Due from other governmental units 22,097 - Accounts receivable - net 75,469 - Interfund receivable 194,094 Interfund loan receivable - - Property taxes receivable: Delinquent 34,173 12,220 Due from county 45,780 17,073 Prepaid items 133,031 - Inventories - at cost 13,549 - Loans receivable - - Special assessments receivable 5,531 1,510,851 Land held for resale - - Total assets $4,775,625 $5,555,939 Liabilities, Deferred Inflows of Resources, and Fund Balance Liabilities: Accounts payable $136,346 $4,235 Due to other governmental units 18,397 - Salaries payable 138,919 - Contracts payable - - Deposits payable 72,992 7,534 Unearned revenue 492,480 - Interfund payable - - Interfund loan payable - - Total liabilities 859,134 11,769 Deferred inflows of resources: Unavailable revenue 39,705 1,522,353 Fund balance (deficit): Nonspendable 146,580 - Restricted - 4,021,817 Committed - - Assigned - - Unassigned 3,730,206 - Total fund balance (deficit)3,876,786 4,021,817 Total liabilities, deferred inflows of resources, and fund balance (deficit)$4,775,625 $5,555,939 The accompanying notes are an integral part of these financial statements. 34 Statement 3 HRA TIF Improvements Street Improvement Project Fund Public Utilities Infrastructure Other Governmental Funds Intra-Activity Eliminations 2021 2020 $3,733,601 $1,430,346 $3,062,603 $3,981,575 $ - $20,456,481 $18,184,464 - - - - - 19,340 28,108 - 50,000 - 2,194 - 74,291 91,509 - 2,500 - 18,195 - 96,164 106,183 (194,094) - - - 1,158,249 - (1,158,249) - - 9,557 - - 9,234 - 65,184 75,065 (149) - - 9,224 - 71,928 67,842 528 - - 35,425 - 168,984 146,540 - - - - - 13,549 16,211 - - - 5,786 - 5,786 9,227 - 45,501 - 4,760 - 1,566,643 1,521,614 370,356 - - - - 370,356 370,356 $4,113,893 $1,528,347 $4,220,852 $4,066,393 ($1,352,343) $22,908,706 $20,617,119 $939,678 $24,564 $3,349 $42,829 $ - $1,151,001 $607,097 - - - - - 18,397 94,188 - - - 5,243 - 144,162 127,727 - 997,559 - - - 997,559 619,949 73,458 - - 15,789 - 169,773 34,084 - 25,000 - - - 517,480 - - 194,094 - - (194,094) - - 959,326 - - 198,923 (1,158,249) - - 1,972,462 1,241,217 3,349 262,784 (1,352,343) 2,998,372 1,483,045 9,557 45,502 - 13,994 - 1,631,111 1,586,232 528 - - 35,425 - 182,533 162,751 2,131,346 171,860 - 1,071,835 - 7,396,858 7,955,365 - - - 337,173 - 337,173 201,822 - 69,768 4,217,503 2,345,182 - 6,632,453 6,513,862 - - - - - 3,730,206 2,714,042 2,131,874 241,628 4,217,503 3,789,615 0 18,279,223 17,547,842 $4,113,893 $1,528,347 $4,220,852 $4,066,393 ($1,352,343) $22,908,706 $20,617,119 Fund balance reported above $18,279,223 $17,547,842 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.33,854,615 33,885,667 Other long-term assets are not available to pay for current-period expenditures and, therefore, are reported as unavailable in the funds. 1,631,111 1,586,232 Net pension asset related to the Saint Anthony Fire Department pension plan. 586,421 422,323 Deferred outflows of resources related to the Saint Anthony Fire Department pension plan. 12,295 14,093 Deferred inflows of resources related to the Saint Anthony Fire Department pension plan. (238,014) (189,392) Long-term liabilities, including bonds payable, are not due and payable in the current period and therefore are not reported in the funds.(28,736,140) (29,831,909) 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. (6,251,334) (7,161,662) Net position of governmental activities $19,138,177 $16,273,194 Total Governmental Funds The accompanying notes are an integral part of these financial statements. 35 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE GOVERNMENTAL FUNDS For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 General Fund Street Improvement Debt Service Fund Revenues: General property taxes $4,979,581 $1,913,242 Tax increment collections - - Licenses, fees and permits 1,116,447 - Intergovernmental 1,025,885 - Special assessments 5,369 318,182 Charges for services 1,026,738 - Cable franchise fees 103,768 - Fines and forfeits 113,163 - Investment income (loss)(8,752) (9,073) Contributions and donations 610 - Refunds and reimbursements 6,108 - Miscellaneous 46,785 - Total revenues 8,415,702 2,222,351 Expenditures: Current: General government 1,137,305 - Public safety 5,414,435 - Public works 780,182 4,628 Parks and recreation 291,168 - Nondepartmental 33,949 - Housing and redevelopment - - Capital outlay - - Debt service: Principal - 2,105,000 Interest - 539,854 Other costs - 33,113 Construction/acquisition costs - - Developer incentives - - Total expenditures 7,657,039 2,682,595 Revenues over (under) expenditures 758,663 (460,244) Other financing sources (uses): Bonds issued - 25,658 Refunding bonds issued - 885,000 Payment to refunding bond escrow agent - (885,000) Premium on bonds issued - 51,790 Sale of capital assets - - Transfers in 274,729 156,728 Transfers out (554,596) - Total other financing sources (uses) (279,867) 234,176 Net change in fund balance 478,796 (226,068) Fund balance - January 1 3,397,990 4,247,885 Fund balance - December 31 $3,876,786 $4,021,817 The accompanying notes are an integral part of these financial statements. 36 Statement 4 HRA TIF Improvements Street Improvement Project Fund Public Utilities Infrastructure Other Governmental Funds Intra-Activity Eliminations 2021 2020 $ - $ - $ - $1,196,838 $ - $8,089,661 $7,932,488 2,474,570 - - - - 2,474,570 2,076,472 - - - - - 1,116,447 318,232 - 27,674 - 12,996 - 1,066,555 3,181,190 - 195,159 - 2,095 - 520,805 377,937 - - 521,900 131,082 - 1,679,720 1,186,119 - - - - - 103,768 95,517 - - - 7,531 - 120,694 87,539 47,200 (582) 31,517 (11,854) - 48,456 313,955 - - - 263,025 - 263,635 1,050 13,720 - - 704 - 20,532 34,629 - 2,500 - - - 49,285 40,768 2,535,490 224,751 553,417 1,602,417 0 15,554,128 15,645,896 31,793 - - 19,414 - 1,188,512 1,225,447 - - - 22,946 - 5,437,381 5,169,275 - - - 93,199 - 878,009 944,755 - - - 344,752 - 635,920 403,034 - - - - - 33,949 28,475 120,021 - - 130,471 - 250,492 499,439 - - 444,755 334,011 - 778,766 533,874 - - - 1,050,000 - 3,155,000 2,900,000 93,150 - - 225,148 - 858,152 842,600 - 56,649 - 3,073 - 92,835 83,751 - 2,909,900 33,177 - - 2,943,077 2,485,227 975,485 - - - - 975,485 782,009 1,220,449 2,966,549 477,932 2,223,014 0 17,227,578 15,897,886 1,315,041 (2,741,798) 75,485 (620,597) 0 (1,673,450) (251,990) - 2,059,342 - - - 2,085,000 3,000,000 - - - - - 885,000 - - - - - - (885,000) - - 85,250 - - - 137,040 154,026 - - - 19,091 - 19,091 - - - - 1,292,234 (1,473,691) 250,000 250,000 (621,488) - - (383,907) 1,473,691 (86,300) (86,300) (621,488) 2,144,592 0 927,418 0 2,404,831 3,317,726 693,553 (597,206) 75,485 306,821 0 731,381 3,065,736 1,438,321 838,834 4,142,018 3,482,794 - 17,547,842 14,482,106 $2,131,874 $241,628 $4,217,503 $3,789,615 $0 $18,279,223 $17,547,842 Total Governmental Funds The accompanying notes are an integral part of these financial statements. 37 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, 2021 With Comparative Amounts For The Year Ended December 31, 2020 2021 2020 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)$731,381 $3,065,736 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.1,379,459 845,932 Transfer out of governmental capital assets contributed to Enterprise Funds.(1,387,269) (37,362) 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.(23,242) (85,637) Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds.44,879 32,979 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.1,095,769 (91,874) 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.910,328 393,604 Governmental funds report pension contributions as expenditures, however, pension expense is reported in the statement of activities. This is the amount by which pension expense differed from pension contributions for the St. Anthony Fire Department pension plan (Note 8).113,678 69,522 Change in net position of governmental activities (Statement 2)$2,864,983 $4,192,900 The accompanying notes are an integral part of these financial statements. 38 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF NET POSITION Statement 6 PROPRIETARY FUNDS December 31, 2021 With Comparative Totals For December 31, 2020 Governmental Activities Water/Sewer/ Stormwater Internal Liquor Water Plant Utility Service Fund Assets:2021 2020 Current assets: Cash and cash equivalents $1,239,208 $2,185,353 $263,876 $3,688,437 $3,016,982 $305,696 Accounts receivable - net 4,095 739,657 - 743,752 693,671 - Due from other governmental units - - - - 7,266 - Prepaid items 12,903 15,445 - 28,348 36,963 - Inventories - at cost 868,579 140,623 - 1,009,202 1,119,990 - Total current assets 2,124,785 3,081,078 263,876 5,469,739 4,874,872 305,696 Noncurrent assets: Capital assets: Land - 5,653 2,084,301 2,089,954 2,089,954 - Land improvements - - 1,038,687 1,038,687 1,038,687 - Buildings and structures 1,888,593 6,594,110 - 8,482,703 8,482,703 - Furniture, fixtures and equipment 476,643 4,694,559 225,218 5,396,420 4,860,982 - Distribution and collection system - 12,702,329 7,557,323 20,259,652 19,296,899 - Software intangibles 62,894 - - 62,894 26,022 - Construction in process - - 11,297 11,297 15,498 - Total capital assets 2,428,130 23,996,651 10,916,826 37,341,607 35,810,745 0 Less: Allowance for depreciation (1,528,592) (8,977,310) (1,822,351) (12,328,253) (11,495,579) - Net capital assets 899,538 15,019,341 9,094,475 25,013,354 24,315,166 0 Total assets 3,024,323 18,100,419 9,358,351 30,483,093 29,190,038 305,696 Deferred outflows of resources: Related to OPEB - - - - - 109,026 Related to pensions - - - - - 4,357,809 Total deferred outflows of resources - - - - - 4,466,835 Liabilities: Current liabilities: Accounts payable 231,451 24,979 13,431 269,861 208,648 - Due to other governmental units 82,282 3,709 - 85,991 93,762 - Salaries payable 25,617 28,553 - 54,170 58,911 - Accrued interest payable - 2,542 - 2,542 4,834 - Refundable deposits - 52,235 - 52,235 55,455 - Compensated absences payable - current 23,554 35,601 - 59,155 64,944 213,835 Bonds and notes payable - current - 140,000 - 140,000 140,000 - Other post employment benefits liability - current - - - - - 30,213 Total current liabilities 362,904 287,619 13,431 663,954 626,554 244,048 Noncurrent liabilities: Compensated absences payable - noncurrent 51,027 65,709 - 116,736 132,548 421,980 Bonds and notes payable - noncurrent - 309,392 - 309,392 453,900 - Other post employment benefits liability - noncurrent - - - - - 662,033 Net pension liability - - - - - 3,249,904 Total noncurrent liabilities 51,027 375,101 0 426,128 586,448 4,333,917 Total liabilities 413,931 662,720 13,431 1,090,082 1,213,002 4,577,965 Deferred inflows of resources: Related to OPEB - - - - - 304,301 Related to pensions - - - - - 6,231,911 Total deferred inflows of resources - - - - - 6,536,212 Net position: Net investments in capital assets 899,538 14,569,949 9,094,475 24,563,962 23,721,266 - Unrestricted 1,710,854 2,867,750 250,445 4,829,049 4,255,770 (6,341,646) Total net position $2,610,392 $17,437,699 $9,344,920 $29,393,011 $27,977,036 ($6,341,646) Net position reported above $29,393,011 $27,977,036 Adjustment to report the cumulative internal balance for the net effect of activity between the internal service fund and the enterprise funds over time.(90,312) (183,757) Net position of business-type activities (Statement 1)$29,302,699 $27,793,279 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 REVENUES, EXPENSES AND Statement 7 CHANGES IN FUND NET POSITION PROPRIETARY FUNDS For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 Governmental Activities Water/Sewer/ Stormwater Internal Liquor Water Plant Utility Service Fund 2021 2020 Sales $7,259,565 $ - $ - $7,259,565 $7,015,974 $ - Cost of sales (5,431,563) - - (5,431,563) (5,252,004) - Gross profit 1,828,002 0 0 1,828,002 1,763,970 0 Operating revenues: Customer billings - 2,614,535 212,308 2,826,843 2,565,833 - Charges for services - - - - - 676,492 Total operating revenues 0 2,614,535 212,308 2,826,843 2,565,833 676,492 Total gross profit and operating revenues 1,828,002 2,614,535 212,308 4,654,845 4,329,803 676,492 Operating expenses: Personal services 869,391 858,238 - 1,727,629 1,768,109 (202,234) Supplies 355,439 105,440 75 460,954 558,631 - Contracted services 73,355 146,449 51,906 271,710 280,251 - Treatment charges (MCES) - 719,437 - 719,437 712,664 - Other 10,437 212,960 1,172 224,569 222,921 - Total operating expenses, excluding depreciation 1,308,622 2,042,524 53,153 3,404,299 3,542,576 (202,234) Depreciation 72,085 612,059 290,728 974,872 981,306 - Total operating expenses 1,380,707 2,654,583 343,881 4,379,171 4,523,882 (202,234) Operating income (loss)447,295 (40,048) (131,573) 275,674 (194,079) 878,726 Nonoperating revenues (expenses): Investment income (3,466) (7,698) (747) (11,911) 45,267 (1,036) Intergovernmental revenue - - - - - 39,783 Interest expense - (4,064) - (4,064) (8,540) - Gain on disposal of asset - - 6,620 6,620 - - Miscellaneous 1,026 11,361 - 12,387 13,360 - Total nonoperating revenues (expenses)(2,440) (401) 5,873 3,032 50,087 38,747 Income (loss) before contributions and transfers 444,855 (40,449) (125,700) 278,706 (143,992) 917,473 Contributions and transfers: Capital contributions - 1,002,344 384,925 1,387,269 37,362 - Transfers in - - - - - 86,300 Transfers out (250,000) - - (250,000) (250,000) - Total contributions and transfers (250,000) 1,002,344 384,925 1,137,269 (212,638) 86,300 Change in net position 194,855 961,895 259,225 1,415,975 (356,630) 1,003,773 Net position - January 1 2,415,537 16,475,804 9,085,695 27,977,036 28,333,666 (7,345,419) Net position - December 31 $2,610,392 $17,437,699 $9,344,920 $29,393,011 $27,977,036 ($6,341,646) Change in net position reported for business-type activities above $1,415,975 ($356,630) Transfer in of capital assets from governmental activities 1,387,269 37,362 Portion of contribution revenue reported above (1,387,269) (37,362) Adjustment for the net effect of the current year activity between the internal service fund and the enterprise funds.93,445 54,328 Change in net position of business-type activities (Statement 2)$1,509,420 ($302,302) Business-Type Activities Enterprise Funds Totals The accompanying notes are an integral part of these financial statements. 40 CITY OF ST. ANTHONY, MINNESOTA STATEMENT OF CASH FLOWS Statement 8 PROPRIETARY FUNDS For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 Governmental Activities Water/Sewer/ Stormwater Internal Liquor Water Plant Utility Service Fund 2021 2020 Cash flows from operating activities: Receipts from customers and users $7,259,678 $2,561,121 $212,308 $10,033,107 $9,558,751 $ - Receipts from interfund charges for pension benefits - - - - - 676,492 Payment to suppliers (5,682,561) (1,211,729) (41,098) (6,935,388) (7,071,842) - Payment to employees (877,805) (876,166) - (1,753,971) (1,747,112) (741,515) Miscellaneous revenue 8,292 11,361 - 19,653 6,094 - Net cash flows provided by (used in) operating activities 707,604 484,587 171,210 1,363,401 745,891 (65,023) Cash flows from noncapital financing activities: Transfer from General Fund - - - - - 86,300 Transfer to General Fund (250,000) - - (250,000) (250,000) - Net cash flows provided by (used in) noncapital financing activities (250,000)0 0 (250,000) (250,000) 86,300 Cash flows from capital and related financing activities: Acquisition of capital assets (49,273) - (229,894) (279,167) - - Principal paid on debt - (135,000) - (135,000) (135,000) - Interest paid on debt - (15,867) - (15,867) (14,172) - Net cash flows provided by (used in) capital and related financing activities (49,273) (150,867) (229,894) (430,034) (149,172)0 Cash flows from investing activities: Investment income (3,467) (7,698) (747) (11,912) 45,267 (1,036) Net increase (decrease) in cash and cash equivalents 404,864 326,022 (59,431) 671,455 391,986 20,241 Cash and cash equivalents - January 1 834,344 1,859,331 323,307 3,016,982 2,624,996 285,455 Cash and cash equivalents - December 31 $1,239,208 $2,185,353 $263,876 $3,688,437 $3,016,982 $305,696 Reconciliation of operating income (loss) to net cash provided (used) by operating activities: Operating income (loss) $447,295 ($40,048) ($131,573) $275,674 ($194,079) $878,726 Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Miscellaneous revenue 1,026 11,361 - 12,387 13,360 - Depreciation 72,085 612,059 290,728 974,872 981,306 - Changes in assets and liabilities: Decrease (increase) in receivables 7,379 (50,194) - (42,815) (28,042) - Decrease (increase) in prepaid items 1,867 6,748 - 8,615 (17,640) - Decrease (increase) in inventory 96,648 14,140 - 110,788 8,132 - Decrease (increase) in deferred outflows of resources - - - - - (2,544,611) Increase (decrease) in payables 81,304 (69,479) 12,055 23,880 (17,146) (44,803) Increase (decrease) in OPEB liability - - - - - 77,759 Increase (decrease) in net pension liability - - - - - (1,877,359) Increase (decrease) in deferred inflows of resources - - - - - 3,445,265 Total adjustments 260,309 524,635 302,783 1,087,727 939,970 (943,749) Net cash provided by (used in) operating activities $707,604 $484,587 $171,210 $1,363,401 $745,891 ($65,023) Noncash investing, capital and financing activities: Assets in the amount of $0 and $30,356 were contributed to the Liquor Fund in 2021 and 2020, respectively. Assets in the amount of $1,002,344 and $7,006 were contributed to the Water/Sewer/Water Plant Fund in 2021 and 2020, respectively. Assets in the amount of $384,925 and $0 were contributed to the Stormwater Utility Fund in 2021 and 2020, respectively. Totals Business-Type Activities Enterprise Funds The accompanying notes are an integral part of these financial statements. 41 - This page intentionally left blank - 42 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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. 43 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Separate financial statements are provided for governmental funds and proprietary funds. Major individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial statements. C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING AND FINANCIAL STATEMENT PRESENTATION The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the City considers all revenues, except property taxes and reimbursement grants, to be available if they are collected within 90 days of the end of the current fiscal period. Property taxes are considered available if they are collected within 60 days of the end of the current year. Reimbursement grants are considered available if they are collected within one year of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. Property taxes, special assessments, intergovernmental revenues, charges for services and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the City. 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 Improvement Fund was established to account for the construction and redevelopment costs within the City. 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. 44 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 type: 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. 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. 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. 45 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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. 46 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 $105,968 $109,729 $3,761 Public relations/cable 49,551 52,682 3,131 Park maintenance 225,495 238,992 13,497 Fire protection 1,148,879 1,168,266 19,387 Other public safety - 16,339 16,339 Protective inspections 105,721 578,517 472,796 Nonmajor Funds: Special Revenue Funds: Police forfeiture 20,000 22,530 2,530 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. 47 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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, 2021 are planned to be eliminated in 2022. 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 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) are classified as due from county. Taxes not collected by the county by December 31 are classified as delinquent 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 48 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 court action. If special assessments are allowed to go delinquent, the property is subject to tax forfeit sale. Proceeds of sales from tax forfeit properties are allocated first to the county’s costs of administering all tax forfeit properties. Pursuant to state statutes, a property shall be subject to a tax forfeit sale after three years unless it is homesteaded, agricultural or seasonal recreational land in which event the property is subject to such sale after five years. GOVERNMENT-WIDE FINANCIAL STATEMENTS The City recognizes special assessment revenue in the period that the assessment roll was adopted by the City Council. Uncollectible special assessments are not material and have not been reported. GOVERNMENTAL FUND FINANCIAL STATEMENTS Revenue from special assessments is recognized by the City when it becomes measurable and available to finance expenditures of the current fiscal period. In practice, current and delinquent special assessments received by the City are recognized as revenue for the current year. Special assessments that are collected by the County by December 31 (remitted to the City the following January) are also recognized as revenue for the current year. All remaining delinquent, deferred and special deferred assessments receivable in governmental funds are completely offset by deferred inflow of resources. J. INVENTORIES For 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. 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 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. 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. 49 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Property, plant and equipment 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. 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. 50 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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. 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, 2020, from which the summarized information was derived. T. DEFERRED OUTFLOWS/INFLOWS OF RESOURCES In addition to assets, the statement of financial position reports a separate section for deferred outflows of resources. This separate financial statement element represents a consumption of net position that applies to future periods and so will not be recognized as an outflow of resources (expense/ expenditure) until then. The City has two items that qualify 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. 51 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 In addition to liabilities, the statement of financial position reports a separate section for deferred inflows of resources. This separate financial statement element represents an acquisition of net position that applies to future periods and so will not be recognized as an inflow of resources (revenue) until that time. The government has pension and OPEB 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. DEFINED BENEFIT PENSION PLANS 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. 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 ($28,736,140) difference are as follows: Bonds payable ($27,485,000) Accrued interest payable (321,361) Unamortized bond premium (929,779) Net adjustment to reduce fund balance - total governmental funds to arrive at net position - governmental activities. ($28,736,140) 52 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 $1,379,459 difference are as follows: Capital outlay $778,766 Construction/acquisition costs 2,943,077 Capital Outlay not capitalized (156,151) Construction in progress not capitalized (57,048) Depreciation expense (2,129,185) Net adjustment to increase net changes in fund balances - total governmental funds to arrive at changes in net position of governmental activities. $1,379,459 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 $44,879 difference are as follows: Unavailable revenue - general property taxes: At December 31, 2020 ($61,694) At December 31, 2021 55,628 Unavailable revenue - tax increment taxes: At December 31, 2020 (13,371) At December 31, 2021 9,557 Unavailable revenue - special assessments: At December 31, 2020 (1,500,133) At December 31, 2021 1,565,926 Unavailable revenue - intergovernmental: At December 31, 2020 (11,034) At December 31, 2021 - Net adjustments to increase net changes in fund balances - total governmental funds to arrive at changes in net position of governmental activities. $44,879 53 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 $1,095,769 difference are as follows: Debt issued or incurred: Issuance of general obligation bonds ($2,970,000) Premium on issued bonds (137,040) Principal repayments 4,040,000 Change in accrued interest payable 20,994 Amortization of bond premium 141,815 Net adjustment to increase net changes in fund balances - total governmental funds to arrive at changes in net position of governmental activities. $1,095,769 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 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. Securities pledged as collateral are required to be held in safekeeping by the City or in a financial institution other than that furnishing the collateral. Minnesota Statue 118A.03 identifies allowable forms of collateral. 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. As of December 31, 2021, the bank balance of the City’s deposits was covered by federal depository insurance. B. INVESTMENTS Subject to rating, yield, maturity and issuer requirements as prescribed by statute, Minnesota Statutes 118A.04 and 118A.05 authorize the City to invest in United States securities, state and local securities, commercial paper, time deposits, high-risk mortgage-backed securities, temporary general obligation bonds, repurchase agreements, Minnesota joint powers investment trusts and guaranteed investment contracts. 54 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 As of December 31, 2021, 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 Bank AAA $2,872,539 $ - $2,872,539 $ - $ - Federal Farm Credit Bank AAA 838,209 - 838,209 - - Money market funds Aaa-mf 36,485 36,485 - - - External investment pool - 4M Fund Not rated 11,046,074 11,046,074 - - - External investment pool - 4M Plus Fund Not rated 6,247 6,247 - - - External Investment Pool - LTD Not rated 1,496,102 1,496,102 - - - Municipal Securities AA - AAA 776,156 - 485,416 290,740 - Brokered Certificates of Deposit Not rated 6,861,779 2,499,031 3,466,261 896,487 - Total $23,933,591 $15,083,939 $7,662,425 $1,187,227 $0 Total investments $23,933,591 Total deposits 511,723 Petty cash 5,300 Total cash and investments $24,450,614 Investment Maturities (in Years) 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, 2021: Fair Value Measurement Using Investment Type 12/31/2021 Level 1 Level 2 Level 3 Investments at fair value: Brokered Certificates of Deposit $6,861,779 $ - $6,861,779 $ - Municipal Securities 776,156 - 776,156 - Federal Home Loan Bank 2,872,539 - 2,872,539 - Federal Farm Credit Bank 838,209 - 838,209 - Total/Subtotal 11,348,683 $0 $11,348,683 $0 Investments not categorized: External investment pool - 4M, 4M Plus, LTD 12,548,423 Money market funds 36,485 Total $23,933,591 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 its investments at amortized cost in accordance with Government Accounting Standards Board Statement No. 79. 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 subject to a penalty equal to 7 days interest on the amount withdrawn. 55 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 The 4M Limited Term Duration (LTD) Fund is an unrated pool. The LTD Fund is managed to maintain an average maturity of 0-2 years and has a floating net asset value (NAV). Redemptions from the LTD Fund may only be made on the third Wednesday of each month upon at least two (2) weeks advance notice. The LTD Fund measures its investments at fair value and the City’s account balance is the fair value of the investment. 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, 2021 Note 3 RECEIVABLES Significant receivables balances not expected to be collected within one year of December 31, 2021 are as follows: Street Improvement HRA TIF Nonmajor General Debt Service Improvements Funds Total Special assessments receivable $ - $1,387,400 $ - $3,200 $1,390,600 Delinquent property taxes 12,900 5,000 - 3,900 21,800 Delinquent tax increment - - 6,900 - 6,900 $12,900 $1,392,400 $6,900 $7,100 $1,419,300 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 Special Tax Taxes Assessments Increment Total Major Funds: General Fund $34,174 $5,531 $ - $39,705 Street Improvement Debt Service 12,220 1,510,133 - 1,522,353 HRA TIF Improvements - - 9,557 9,557 Street Improvement Project 45,502 45,502 Nonmajor Funds 9,234 4,760 - 13,994 Total unavailale revenue $55,628 $1,565,926 $9,557 $1,631,111 57 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 5 CAPITAL ASSETS Capital asset activity for the year ended December 31, 2021 was as follows: Beginning Ending 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 3,132,590 2,916,164 (2,923,679) 3,125,075 Total capital assets, not being depreciated 4,869,457 2,916,164 (2,923,679) 4,861,942 Capital assets, being depreciated: Buildings and improvements 10,258,074 63,490 - 10,321,564 Land improvements 587,187 - - 587,187 Furniture, fixtures and equipment 4,798,664 161,524 (228,195) 4,731,993 Streets 41,336,141 1,903,876 - 43,240,017 Storm sewers 428,469 - - 428,469 Intangible assets 56,823 - - 56,823 Total capital assets, being depreciated 57,465,358 2,128,890 (228,195) 59,366,053 Less accumulated depreciation for: Buildings and improvements 5,593,137 326,754 - 5,919,891 Land improvements 457,748 8,488 - 466,236 Furniture, fixtures and equipment 3,241,040 211,593 (204,953) 3,247,680 Streets 18,936,257 1,557,126 - 20,493,383 Storm sewers 207,549 17,139 - 224,688 Intangible assets 13,417 8,085 - 21,502 Total accumulated depreciation 28,449,148 2,129,185 (204,953) 30,373,380 Total capital assets being depreciated - net 29,016,210 (295) (23,242) 28,992,673 Governmental activities capital assets - net $33,885,667 $2,915,869 ($2,946,921) $33,854,615 58 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Beginning Ending Balance Increases Decrease Balance Business-type activities: Capital assets, not being depreciated: Land $2,089,954 $ - $ - $2,089,954 Construction in progress 15,498 32,670 (36,871) 11,297 Total capital assets, not being depreciated 2,105,452 32,670 (36,871) 2,101,251 Capital assets, being depreciated: Buildings and structures 8,482,703 - - 8,482,703 Land improvements 1,038,687 - - 1,038,687 Furniture, fixtures and equipment 4,860,982 677,636 (142,198) 5,396,420 Software and intangibles 26,022 36,872 - 62,894 Stormwater 2,253,147 - - 2,253,147 Distribution and collection system 17,043,752 962,753 - 18,006,505 Total capital assets, being depreciated 33,705,293 1,677,261 (142,198) 35,240,356 Less accumulated depreciation for: Buildings and structures 2,847,562 208,919 - 3,056,481 Land improvements 83,096 41,547 124,643 Furniture, fixtures and equipment 1,445,650 174,212 (142,198) 1,477,664 Software and intangibles 26,022 - - 26,022 Stormwater 875,758 90,806 - 966,564 Distribution and collection system 6,217,491 459,388 - 6,676,879 Total accumulated depreciation 11,495,579 974,872 (142,198) 12,328,253 Total capital assets being depreciated - net 22,209,714 702,389 0 22,912,103 Business-type activities capital assets - net $24,315,166 $735,059 ($36,871) $25,013,354 59 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Depreciation/amortization expense was charged to functions/programs of the primary government as follows: Governmental activities: General government $126,746 Public safety 197,665 Public works, including depreciation of general infrastructure assets 1,783,866 Parks and recreation 20,908 Total depreciation/amortization expense - governmental activities 2,129,185 Business-type activities: Liquor 72,085 Water/Sewer/Water Plant 612,059 Stormwater 290,728 Total depreciation/amortization expense - business-type activities 974,872 Total depreciation expense $3,104,057 CONSTRUCTION COMMITMENTS At December 31, 2021, the City had commitments of approximately $193,790 for uncompleted construction contracts. 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, 2021. 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 are issued 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, 2021 As of December 31, 2021, the long-term debt of the City consisted of the following: Interest Issue Maturity Original Payable Rates Date Date Issue 12/31/2021 Governmental Activities: G.O. Improvement Bonds: G.O. Improvement Bonds, Series 2014A 2.00-3.30% 4/10/2014 2/1/2030 $2,070,000 $1,300,000 G.O. Improvement Bonds, Series 2015A 2.00-3.00% 5/19/2015 2/1/2031 2,580,000 1,785,000 G.O. Improvement Bonds, Series 2016A 2.00-2.75% 6/2/2016 2/1/2032 1,455,000 1,100,000 G.O. Improvement Refunding Bonds, Series 2017A 3.00% 5/18/2017 2/1/2033 1,355,000 720,000 G.O. Improvement Bonds, Series 2017A 3.00% 5/18/2017 2/1/2033 2,600,000 2,150,000 G.O. Improvement Bonds, Series 2018A 3.00-4.00% 5/15/2018 2/1/2034 2,610,000 2,315,000 G.O. Improvement Refunding Bonds, Series 2019A 2.25-4.00% 7/18/2019 2/1/2027 3,315,000 1,155,000 G.O. Improvement Bonds, Series 2020A 2.00-3.00% 5/19/2020 2/1/2036 3,000,000 3,000,000 G.O. Improvement Refunding Bonds, Series 2021A 2.00% 5/18/2021 2/1/2029 885,000 885,000 G.O. Improvement Bonds, Series 2021A 1.10-2.00% 5/18/2021 2/1/2037 2,085,000 2,085,000 Total improvement bonds 21,955,000 16,495,000 G.O. 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 2,435,000 G.O. Tax Increment Refunding Bonds, Series 2015B 2.00-3.00% 12/29/2015 2/1/2031 4,310,000 2,910,000 Total tax increment revenue bonds 7,975,000 5,345,000 G.O. Tax Abatement Bonds: G.O. Tax Abatement Bonds, Series 2016B 2.00% 6/2/2016 2/1/2026 1,445,000 460,000 G.O. Tax Abatement Refunding Bonds, Series 2017A 3.00% 5/18/2017 2/1/2025 835,000 450,000 G.O. Tax Abatement Refunding Bonds, Series 2019A 3.00-4.00% 7/18/2019 2/1/2035 1,145,000 1,085,000 Total tax abatement bonds 3,425,000 1,995,000 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 1,150,000 Other G.O. Bonds: G.O. Refunding Bonds, Series 2012A 2.00-2.75% 4/25/2012 2/1/2028 5,440,000 1,675,000 G.O. Street Reconstruction Bonds, Series 2014C 2.00-3.00% 7/24/2014 2/1/2024 1,305,000 465,000 G.O. Equipment Certificate, Series 2017A 3.00% 5/18/2017 2/1/2027 520,000 360,000 Total other G.O. bonds 7,265,000 2,500,000 Unamortized bond premiums N/A 934,523 Total - bonded indebtedness 44,615,000 28,419,523 Compensated absences payable N/A 635,815 Total - governmental activities 44,615,000 29,055,338 Business-type activities Revenue Bonds: G.O. Water and Sewer Revenue Bonds, Series 2013A 2.00% 4/16/2003 2/1/2024 1,440,000 440,000 Unamortized bond premiums N/A 9,392 Total - bonded indebtedness 1,440,000 449,392 Compensated absences N/A 175,891 Total City indebtedness - business-type activities 1,440,000 625,283 Total City indebtedness $46,055,000 $29,680,621 61 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Annual debt service requirements to maturity for long-term debt are as follows: Year Ending December 31 Principal Interest Principal Interest 2022 $1,320,000 $438,965 $475,000 $146,212 2023 1,525,000 386,830 495,000 134,412 2024 1,555,000 342,280 510,000 122,062 2025 1,590,000 296,486 530,000 109,313 2026 1,435,000 252,174 555,000 95,700 2027 1,355,000 212,530 580,000 80,081 2028 1,265,000 177,255 605,000 62,975 2029 1,295,000 142,973 635,000 43,787 2030 1,205,000 109,294 655,000 23,025 2031 1,065,000 79,831 305,000 4,876 2032 890,000 55,564 - - 2033 720,000 35,433 - - 2034 525,000 20,086 - - 2035 325,000 10,780 - - 2036 325,000 4,660 - - 2037 100,000 800 Total $16,495,000 $2,565,941 $5,345,000 $822,443 G.O. Tax Increment BondsG.O. Improvement Bonds 62 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Year Ending December 31 Principal Interest Principal Interest Principal Interest 2022 $255,000 $55,625 $370,000 $21,348 $750,000 $54,677 2023 265,000 48,100 385,000 13,320 530,000 39,907 2024 275,000 40,275 395,000 4,542 375,000 28,155 2025 285,000 32,150 - - 220,000 20,132 2026 160,000 25,700 - - 225,000 14,178 2027 75,000 21,900 - - 230,000 7,919 2028 75,000 19,275 - - 170,000 2,338 2029 80,000 16,950 - - - - 2030 80,000 14,550 - - - - 2031 85,000 12,075 - - - - 2032 85,000 9,525 - - - - 2033 90,000 6,900 - - - - 2034 90,000 4,200 - - - - 2035 95,000 1,425 - - - - Total $1,995,000 $308,650 $1,150,000 $39,210 $2,500,000 $167,306 Revenue Bonds G.O. LeaseG.O. Tax Abatement Bonds Other General Obligation Bonds Governmental Activities Year Ending December 31 Principal Interest 2022 $140,000 $7,400 2023 145,000 4,550 2024 155,000 1,550 Total $440,000 $13,500 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, 2021 CHANGE IN LONG-TERM LIABILITIES Long-term liability activity for the year ended December 31, 2021, was as follows: Beginning Ending Due Within Balance Additions Reductions Balance One Year Governmental activities: Bonds payable: G.O. improvement bonds $15,780,000 $2,970,000 ($2,255,000) $16,495,000 $1,320,000 G.O. tax increment refunding bonds 5,795,000 - (450,000) 5,345,000 475,000 G.O. tax abatement bonds 2,245,000 - (250,000) 1,995,000 255,000 G.O. lease revenue refunding bonds 1,505,000 - (355,000) 1,150,000 370,000 G.O. refunding bonds 2,205,000 - (530,000) 1,675,000 545,000 G.O. street reconstruction bonds 610,000 - (145,000) 465,000 150,000 G.O. equipment certificates 415,000 - (55,000) 360,000 55,000 Total bonds payable 28,555,000 2,970,000 (4,040,000) 27,485,000 3,170,000 Unamortized bond premiums 934,554 137,040 (141,815) 929,779 - Total bonded indebtedness 29,489,554 3,107,040 (4,181,815) 28,414,779 3,170,000 Compensated absences 680,618 445,354 (490,157) 635,815 213,835 Total governmental activities $30,170,172 $3,552,394 ($4,671,972) $29,050,594 $3,383,835 Business-type activities: Revenue bonds $580,000 $ - ($140,000) $440,000 $140,000 Unamortized bond premiums 13,900 - (4,508) 9,392 - Total bonded indebtedness 593,900 0 (144,508) 449,392 140,000 Compensated absences 197,492 143,106 (164,707) 175,891 59,155 Total business-type activities $791,392 $143,106 ($309,215) $625,283 $199,155 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, 2021 is backed by the full faith and credit of the City, including improvement and revenue bond issues. Delinquent assessments receivable at December 31, 2021 totaled $2,526. CURRENT REFUNDINGS On May 18, 2021 the City issued $885,000 in General Obligation Refunding Bonds, Series 2021A with an average interest rate of 2.0% to refund the 2022 through 2029 maturities aggregating $970,000 in principal amount of the City’s General Obligation Bonds, Series 2013B with an average interest rate of 2.49% dated April 23, 2013. $70,000 of funds on hand combined with net proceeds of $907,259 were used to retire all outstanding principal of the refunded bonds on June 1, 2021. The City refunded the Bonds to reduce its total debt service payments over seven years by $118,232 and to obtain an economic gain (difference between the present value of the debt service payments on the old and new debt) of $111,649. 64 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 2021A Road Improvements 2021 road construction Special assessments 17%N/A 2021-2037 2,359,128 - 207,088 2021 Mill & Overlay Property tax levy 83% 2021A Refunding of 2013 road construction Special assessments 17%N/A 2013 - 2029 960,139 1,103,953 98,756 2013B Road Improvements Property tax levy 83% Special assessments 4%N/A 2020A Street Reconstruction 2020 road construction Property tax levy 96%2020-2036 3,540,000 89,520 22,890 2019A Improvement N/A Refunding Refunding of 2010A Special assessments N/A 2019-2026 1,288,300 229,800 206,152 road reconstruction Property tax levy N/A 2019A Tax Abatement 2019 Utility improvements, trails Tax abatement revenue N/A 2019-2035 1,342,800 97,800 101,181 Special assessments 30%N/A 2018A Improvement 2018 road construction Property tax levy 70%2018-2034 2,831,988 232,475 136,210 2017A Improvements Refunding of 2009A Special assessments 9%N/A Refunding road reconstruction Property tax levy 91%2017-2025 763,950 189,075 192,575 2017A Tax Abatement Refunding of 2009A Tax abatement revenue 100% N/A 2017-2025 477,750 115,000 123,689 Refunding Emerald Park improvements 2017A Improvement 2017 road reconstruction Special assessments 17%N/A 2017 - 2033 2,556,050 221,825 153,499 Property tax levy 83% 2017A Equipment Certificate 2017 Equipment note Property tax levy 100% N/A 2017 - 2033 393,600 66,625 280,381 2016A Improvement 2016 road reconstruction Special assessments 52%N/A 2016 - 2032 1,245,144 115,038 95,767 Property tax levy 48% 2016B Tax Abatement Mirror Lake improvements and Tax abatement revenue 100% N/A 2016 - 2026 483,100 100,100 103,801 pedestrian safety improvements 2015A Road Improvements 2015 road construction Special assessments 19%N/A 2015-2031 2,027,931 210,263 181,502 Property tax levy 81% 2015B Tax Increment Refunding 2006B TIF Bonds Tax Increment 100% N/A 2015-2031 3,336,406 322,813 810,961 2014A Improvement 2014 road construction Special assessments 18%N/A 2014 - 2030 1,488,310 170,030 152,865 Property tax levy 82% 2014B Tax Increment Refunding 2007 TIF Bonds Tax Increment 100% N/A 2015 -2031 2,831,038 283,675 688,124 2014C Road Improvements Refunding of 2008A Property tax levy 100% N/A 2014 - 2024 485,663 159,275 150,747 Sikver Lake Road improvements 2013A G.O. Water/Sewer Refunding 2003B G.O. Charges for services 100% N/A 2013-2024 453,500 150,200 2,614,535 Revenue Refunding Water/Sewer Revenue Bonds 2012 road construction Special assessments 13%N/A 2012A Road Improvements Refunding Road improvement Property tax levy 87%2012 - 2028 1,788,043 574,450 181,713 Bonds 2006A,2007A 2012 building improvements 100% N/A 2012A Lease Revenue Refunding Lease Revenue Property tax levy 2012 - 2024 1,189,210 383,690 343,794 Bonds 2003A 2011B Improvements Refunding 2004A and 2005A Special assessments 13%N/A 2012 - 2020 - 136,350 296,610 Refunding Street Improvement Bonds Property tax levy 87% Revenue Pledged Current Year 65 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 7 DEFINED BENEFIT PENSION PLANS – CITY A. 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 local relief associations that elected to merge with and transfer assets and administration to PERA. B. 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 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 members is 1.2% of average salary for each of the first ten years of service and 1.7% of average salary for each additional year. Under Method 2, the accrual rate for Coordinated Plan members is 1.7% of average salary for all years of service. 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. Benefit increases are provided to benefit recipients each January. The postretirement increase is equal to 50% of the cost-of-living adjustment (COLA) announced by the SSA, with a minimum increase of at least 1% and a maximum of 1.5%. Recipients that have been receiving the annuity or benefit for at least a full year as of the June 30 before the effective date of the increase will receive the full increase. For recipients receiving the annuity or benefit for at least one month but less than a full year as of the June 30 before the effective date of the increase will receive a reduced prorated increase. For members retiring on January 1, 2024 or later, the increase will be 66 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 delayed until normal retirement age (age 65 if hired prior to July 1, 1989, or age 66 for individuals hired on or after July 1, 1989). Members retiring under Rule of 90 are exempt from the delay to normal retirement. 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. Benefit increases are provided to benefit recipients each January. The postretirement increase is fixed at 1%. Recipients that have been receiving the annuity or benefit for at least 36 months as of the June 30 before the effective date of the increase will receive the full increase. For recipients receiving the annuity or benefit for at least 25 months but less than 36 months as of the June 30 before the effective date of the increase will receive a reduced prorated increase. C. CONTRIBUTIONS Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. Contribution rates can only be modified by the state legislature. 1. GERF Contributions Coordinated Plan members were required to contribute 6.5% of their annual covered salary in fiscal year 2021 and the City was required to contribute 7.5% for Coordinated Plan members. The City’s contributions to the GERF for the year ended December 31, 2021 were $178,190. The City’s contributions were equal to the required contributions as set by state statute. 2. PEPFF Contributions Police and Fire members were required to contribute 11.80% of their annual covered salary in fiscal year 2021 and the City was required to contribute 17.70%.. The City’s contributions to the PEPFF for the year ended December 31, 2021 were $498,302. The City’s contributions were equal to the required contributions as set by state statute. D. PENSION COSTS 1. GERF Pension Costs At December 31, 2021, the City reported a liability of $1,422,059 for its proportionate share of 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. 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 $43,405. The net pension liability was measured as of June 30, 2021, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of 67 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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, 2020 through June 30, 2021, relative to the total employer contributions received from all of PERA’s participating employers. The City’s proportionate share was 0.0333% at the end of the measurement period and 0.0341% for the beginning of the period. City's proportionate share of the net pension liability $1,422,059 State of Minnesota’s proportionate share of the net pension liability associated with the City 43,405 Total $1,465,464 For the year ended December 31, 2021, the City recognized pension expense of ($1,437) for its proportionate share of the GERF’s pension expense. In addition, the City recognized an additional $3,502 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, 2021, 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: Deferred Outflows Deferred Inflows of Resources of Resources Differences between expected and actual economic experience $8,632 $43,519 Changes in actuarial assumptions 868,280 31,337 Net difference between projected and actual investment earnings - 1,230,955 Changes in proportion 19,395 51,353 Contributions paid to PERA subsequent to the measurement date 89,972 - Total $986,279 $1,357,164 The $89,972 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, 2021. Other amounts reported as deferred outflows and inflows of resources related to pensions will be recognized in pension expense as follows: Year Ended Pension December 31 Expense 2022 ($80,046) 2023 (22,752) 2024 (22,148) 2025 (335,911) 2026 - Thereafter - 68 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 2. PEPFF Pension Costs At December 31, 2021, the City reported a liability of $1,827,845 for its proportionate share of the PEPFF’s net pension liability. The net pension liability was measured as of June 30, 2021 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 proportionate share 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, 2020 through June 30, 2021, relative to the total employer contributions received from all of PERA’s participating employers. The City’s proportionate share was 0.2368% at the end of the measurement period and 0.2369% for the beginning of the period. The State of Minnesota also contributed $18 million to PEPFF during the plan fiscal year ended June 30, 2021. The contribution consisted of $9 million in direct state aid that meets the definition of a special funding situation and $9 million in supplemental state aid that does not meet the definition of a special funding situation. The direct state aid was paid on October 1, 2020. Thereafter, by October 1 of each year, the state will pay $9 million to the PEPFF until full funding is reached or July 1, 2048, whichever is earlier. The $9 million in supplemental state aid will continue until the fund is 90% funded, or until the State Patrol Plan (administered by the Minnesota State Retirement System) is 90% funded, whichever occurs later. Strong asset returns for the fiscal year ended 2021 will accelerate the phasing out of these state contributions, although we do not anticipate them to be phased out during the fiscal year ending 2022. The State of Minnesota is included as a non-employer contributing entity in the PEPFF Schedule of Employer Allocations and Schedule of Pension Amounts by Employer, Current Reporting Period Only (pension allocation schedules) for the $9 million in direct state aid. PEPFF employers need to recognize their proportionate share of the State of Minnesota’s pension expense (and grant revenue) under GASB 68 special funding situation accounting and financial reporting requirements. For the year ended December 31, 2021, the City recognized pension expense of ($249,578) for its proportionate share of the Police and Fire Plan’s pension expense. The City recognized an additional $14,969 as pension expense (and grant revenue) for its proportionate share of the State of Minnesota’s contribution of $9 million to the PEPFF. The State of Minnesota is not included as a non-employer contributing entity in the Police and Fire Pension Plan pension allocation schedules for the $9 million in supplemental state aid. The City also recognized $21,312 for the year ended December 31, 2021 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 Police and Fire Fund. At December 31, 2021, 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: 69 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 At December 31, 2021, 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 $350,633 $ - Changes in actuarial assumptions 2,686,453 986,317 Net difference between projected and actual investment earnings - 3,491,388 Changes in proportion 81,407 397,042 Contributions paid to PERA subsequent to the measurement date 253,037 - Total $3,371,530 $4,874,747 The $253,037 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, 2021. Other amounts reported as deferred outflows and inflows of resources related to pensions will be recognized in pension expense as outflows: Year Ended Pension December 31 Expense 2022 ($1,316,020) 2023 (413,142) 2024 (240,803) 2025 (374,224) 2026 587,935 Thereafter - The net pension liability will be liquidated by the Employee Benefit Internal Service Fund. E. ACTUARIAL ASSUMPTIONS The total pension liability in the June 30, 2021 actuarial valuation was determined using an individual entry-age normal actuarial cost method and the following actuarial assumptions: Inflation 2.25% per year Investment Rate of Return 6.50% The long-term investment rate of return is based on a review of inflation and investment return assumptions from a number of national investment consulting firms. The review provided a range of investment return rates deemed to be reasonable by the actuary. An investment return of 6.50% was deemed to be within that range of reasonableness for financial reporting purposes. Salary growth assumptions in the GERF range in annual increments from 10.25% after one year of service to 3.0% after 29 years of service and 6.0% per year thereafter. In the PEPFF, salary growth assumptions range from 11.75% after one year of service to 3.0% after 24 years of service. 70 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Mortality rates for GERF were based on the Pub-2010 General Employee Mortality Table. Mortality rates for PEPFF were based on the Pub-2010 Public Safety Employee Mortality tables. The tables are adjusted slightly to fit PERA’s experience. Cost of living benefit increases after retirement are assumed to be 1.25% per year for GERF and 1.0% per year for PEPFF. Actuarial assumptions for GERF are reviewed every four years. The most recent four-year experience study for GERF was completed in 2019. The assumption changes were adopted by the Board and become effective with the July 1, 2020 actuarial valuation. The most recent four-year experience study for PEPFF was completed in 2020 and adopted by the Board and became effective with the July 1, 2021 actuarial valuation. The following changes in actuarial assumptions and plan provisions occurred in 2021: General Employees Fund Changes in Actuarial Assumptions:  The investment return and single discount rates were changed from 7.50% to 6.50% for financial reporting purposes.  The mortality improvement scale was changed from Scale MP-2019 to Scale MP-2020. Police and Fire Fund Changes in Actuarial Assumptions:  The investment return and single discount rates were changed from 7.50% to 6.50% for financial reporting purposes.  The inflation assumption was changed from 2.50% to 2.25%.  The payroll growth assumption was changed from 3.25% to 3.00%.  The base mortality tables for healthy annuitants, disabled annuitants and employees were changed from RP-2014 tables to Pub-2010 Public Safety Mortality tables. The mortality improvement scale was changed from MP-2019 to MN-2020.  Assumed salary increase and retirement rates were modified as recommended in the July 14, 2020 experience study. The changes result in a decrease in gross salary increase rates, slightly more unreduced retirements and fewer assumed early retirements.  Assumed rates of withdrawal were changed from select and ultimate rates to service-based rates. The changes result in more assumed terminations.  Assumed rates of disability were increased for ages 25-44 and decreased for ages over 49. Overall, proposed rates result in more projected disabilities.  Assumed percent married for active female members was changed from 60% to 70%. 71 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 equity 33.5%5.10% International equity 16.5%5.30% Fixed income 25.0%0.75% Private markets 25.0%5.90% Total 100% F. DISCOUNT RATE The discount rate used to measure the total pension liability in 2021 was 6.5%. 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 GERF and the PEPFF 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. G. PENSION LIABILITY SENSITIVITY The following presents the City’s proportionate share of the net pension liability, 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 one percentage point lower or one percentage point higher than the current discount rate: 1% Decrease in 1% Increase in Discount Rate (5.5%) Discount Rate (6.5%) Discount Rate (7.5%) Proportionate share of the GERF net pension liability $2,900,275 $1,422,059 $209,093 Proportionate share of the PEPFF net pension liability $5,803,099 $1,827,845 ($1,430,878) H. 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 at www.mnpera.org. 72 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 I. PENSION EXPENSE Pension expense recognized by the City for the year ended December 31, 2021 is as follows: GERF $2,065 PEPFF (234,609) Fire Relief (45,258) Total ($277,802) Note 8 DEFINED BENEFIT PENSION PLAN – FIRE DEPARMENT A. PLAN DESCRIPTION The City’s Fire Department participates in the Statewide Volunteer Firefighter Retirement Plan (SVF), an agent multiple-employer lump-sum defined benefit pension plan administered by the Public Employees Retirement Association of Minnesota (PERA). The SVF plan covers volunteer firefighters of municipal fire departments or independent nonprofit firefighting corporations that have elected to join the plan. At December 31, 2021 (measurement date), the plan covered 23 active firefighters and 10 vested terminated fire fighters whose pension benefits are deferred. The plan is established and administered in accordance with Minnesota Statutes, Chapter 353G. B. BENEFITS PROVIDED The SVF provides lump-sum retirement, death, and supplemental benefits to covered firefighters and survivors. Benefits are paid based on the number of years of service multiplied by a benefit level approved by the City. Members are eligible for a lump-sum retirement benefit at 50 years of age with five years of service. Plan provisions include a pro-rated vesting schedule that increases from 5 years at 40 percent through 20 years at 100 percent. C. CONTRIBUTIONS The SVF is funded by fire state aid, investment earnings and, if necessary, employer contributions as specified in Minnesota statutes, and voluntary City contributions. The State of Minnesota contributed $60,530 in fire state aid to the plan for the year ended December 31, 2021. Required employer contributions are calculated annually based on statutory provisions. The City was not statutorily required to make any contributions to the SVF plan for the year ended December 31, 2021. The City’s voluntary contributions to the SVF plan for the year ended December 31, 2021 were $7,890. 73 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 D. PENSION COSTS At December 31, 2021, the City reported a net pension asset of $586,421 for the SVF plan. The net pension asset was measured as of December 31, 2021. The total pension liability used to calculate the net pension asset in accordance with GASB 68 was determined by PERA applying an actuarial formula to specific census data certified by the fire department. The following table presents the changes in net pension liability during the year. Total Pension Plan Fiduciary Net Pension Liability Net Position Liability (Asset) (a) (b) (a) - (b) Balance at December 31, 2020 $781,581 $1,203,904 ($422,323) Changes for the year: Service cost 28,986 - 28,986 Interest 48,237 - 48,237 Differences between expected and (58,248) - (58,248) actual experience Changes of assumptions - - - Changes in benefit terms - - - Contributions - employer - 7,890 (7,890) Contributions - State of MN - 60,530 (60,530) Contributions - employee - - - Net investment income - 117,572 (117,572) Benefit payments (13,240) (13,240) - Administrative expense - (2,919) 2,919 Net changes 5,735 169,833 (164,098) Balance at December 31, 2021 $787,316 $1,373,737 ($586,421) Increase (Decrease) There were no benefit provision changes during the measurement period. For the year ended December 31, 2021, the City recognized pension expense of ($45,258). At December 31, 2021, the City reported deferred inflows of resources from the following sources: Deferred Outflows Deferred Inflows of Resources of Resources Differences between expected and actual experience $ - $136,560 Changes of assumptions 12,295 13,623 Net differences between projected and actual investment earnings - 87,831 Total $12,295 $238,014 74 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Amounts reported as deferred outflows and inflows of resources related to pensions will be recognized in pension expense as follows: Year ended Pension December 31 Expense 2022 ($45,197) 2023 (67,501) 2024 (58,008) 2025 (31,609) 2026 (8,498) Thereafter (14,906) E. ACTUARIAL ASSUMPTIONS The total pension liability at December 31, 2021, was determined using the entry age normal actuarial cost method and the following actuarial assumptions:  Retirement eligibility at the later of age 50 or 20 years of service  Investment rate of return of 6.0%  Inflation rate of 3.0% The expected investment rate of return for 2021 is 6.0%, a .75% increase from 2020. The inflation rate assumption is 3.0% for 2021, a .50% increase from 2020. F. DISCOUNT RATE The discount rate used to measure the total pension liability was 6.0%. The projection of cash flows used to determine the discount rate assumed that contributions to the SVF plan will be made as specified in statute. Based on that assumption and considering the funding ratio of the plan, the fiduciary net position was projected to be available to make all projected future benefit payments of current active and inactive 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. G. PENSION LIABILITY SENSITIVITY The following presents the City’s net pension asset for the SVF plan, calculated using the discount rate disclosed in the preceding paragraph, as well as what the City’s net pension asset would be if it were calculated using a discount rate 1% lower or 1% higher than the current discount rate: Current 1% Decrease Discount Rate 1% Increase (5.0%)(6.0%)(7.0%) Net pension liability (asset) ($560,562) ($586,421) ($610,148) 75 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 H. PLAN INVESTMENTS 1. Investment Policy The Minnesota State Board of Investment (SBI) is established by Article XI of the Minnesota Constitution to invest all state funds. Its membership as specified in the Constitution is comprised of the Governor (who is designated as chair of the Board), State Auditor, Secretary of State and State Attorney General. All investments undertaken by the SBI are governed by the prudent person rule and other standards codified in Minnesota Statutes, Chapter 11A and Chapter 353G. Within the requirements defined by state law, the SBI, with assistance of the SBI staff and the Investment Advisory Council, establishes investment policies for all funds under its control. These investment policies are tailored to the particular needs of each fund and specify investment objectives, risk tolerance, asset allocation, investment management structure and specific performance standards. Studies guide the on-going management of the funds and are updated periodically. 2. Asset Allocation To match the long-term nature of the pension obligations, the SBI maintains a strategic asset allocation for the SVF that includes allocations to domestic equity, international equity, bonds and cash equivalents. The long-term target asset allocation and long-term expected real rate of return is the following: Target Long-Term Expected Asset Class Allocation Real Rate of Return Domestic equity 33.5%5.10% International equity 16.5%5.30% Fixed income 25.0%0.75% Private markets 25.0%5.90% Total 100% The 6% long-term expected rate of return on pension plan investments was determined using a building-block method. Best estimates for expected future real rates of return (expected returns, net of inflation) were developed for each asset class using both long-term historical returns and long-term capital market expectations from a number of investment management and consulting organizations. The asset class estimates and the target allocations were then combined to produce a geometric, long-term expected real rate of return for the portfolio. Inflation expectations were applied to derive the nominal rate of return for the portfolio. 3. Description of Significant Investment Policy Changes During the Year The SBI made no significant changes to their investment policy during fiscal year 2021 for the Volunteer Firefighter Fund. 76 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 I. PENSION PLAN FIDUCIARY NET POSITION Detailed information about the SVF plan’s fiduciary net position at June 30, 2021 is available in a separately-issued PERA financial report that includes financial statements and required supplementary information. That report may be obtained at www.mnpera.org. Note 9 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 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 2021 were: Required Employer Employee (Pension Expense) Employee Employer Rate $1,553 $1,553 5% 5% 5% Contribution Amount Percentage of Covered Payroll 77 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 10 POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS (OPEB) A. PLAN DESCRIPTION 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. The plan does not issue a stand-alone financial report. 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 2021, the City did not have any police officers or firefighters eligible for this benefit. 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, 2021 actuarial valuation, participants of the plan consisted of: Active employees 56 Inactive employees or beneficiaries currently receiving benefits 4 Total 60 78 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 D. TOTAL OPEB LIABILITY AND CHANGES IN TOTAL OPEB LIABILITY The City’s total OPEB liability of $692,246 was measured as of December 31, 2020 and was determined by an actuarial valuation as of January 1, 2021. Changes in the total OPEB liability during 2021 were: Balance - beginning of year $614,487 Changes for the year: Service cost 62,011 Interest 18,122 Changes of benefit terms - Differences between expected and actual experience 8,294 Changes in assumptions 19,545 Benefit payments (30,213) Net changes 77,759 Balance - end of year $692,246 Changes in assumptions reflect a change in the discount rate from 4.09% in 2020 to 2.74% in 2021. E. ACTUARIAL ASSUMPTIONS AND OTHER INPUTS The total OPEB liability in the January 1, 2021 actuarial valuation was determined using the following actuarial assumptions and other inputs, applied to all periods included in the measurement, unless otherwise specified: Inflation 3.25% Salary increases 3.25% for Police and Fire after 25 years of service and after 26 years of service for all other employees Discount rate 2.12% Investment rate of return NA Healthcare cost trend rates 7.33% for 2021, decreasing each year to an ultimate rate of 5% 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, 2019, obtained from the Bond Buyer 20-Bond G.O. index. Mortality and retirement rates are the rates used in the PERA plan of which the employee, retiree or beneficiary is a participant. 79 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 (3.09%) or 1% higher (5.09%) than the current discount rate: 1% Decrease Discount Rate 1% Increase (1.12%) (2.12%) (3.12%) Total OPEB liability $737,570 $692,246 $647,553 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 (7% decreasing to 4%) or 1% higher (9% decreasing to 6%) than the current healthcare cost trend rates: Healthcare Cost 1% Decrease Trend Rates 1% Increase (6.33% decreasing to 4%) (7.33% decreasing to 5%) (8.33% decreasing to 6%) Total OPEB liability $603,988 $692,246 $796,924 H. OPEB EXPENSE AND DEFERRED OUTFLOWS AND INFLOWS OF RESOURCES RELATED TO OPEB For the year ended December 31, 2021, the City recognized $10,090 of OPEB expense. At December 31, 2021, 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 $71,406 $30,856 Differences between expected and actual experience $7,407 273,445 Contributions subsequent to the measurement date 30,213 - Total $109,026 $304,301 $30,213 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, 2021. 80 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 2022 ($30,782) 2023 (30,782) 2024 (30,782) 2025 (30,782) 2026 (30,782) Thereafter (71,578) Note 11 INTERFUND RECEIVABLES/PAYABLES, LOANS AND TRANSFERS Individual fund interfund receivable and payable balances at December 31, 2021 are as follows: Fund Receivable Payable Governmental activities: Major funds: General Fund $194,094 $ - Street Improvement Project Fund - 194,094 Total $194,094 $194,094 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, 2021 are as follows: Fund Receivable Payable Purpose Major funds: Public Utilities Infrastructure $1,158,249 $ - HRA TIF Improvements 1,369,416 2,328,742 Provide financing for pay off of Fannie Mae loan Nonmajor funds: Revolving Improvement - 16,860 Provide financing for Arbors Alley Park Improvement Fund - 182,063 Provide financing for tennis court maintenance - Total $2,527,665 $2,527,665 81 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Interfund transfers: Street Nonmajor Internal General Improvement Governmental Service Fund Debt Service Funds Fund Total Governmental activities: General Fund $ - $ - $468,296 $86,300 $554,596 HRA TIF Improvements 15,000 - 606,488 - 621,488 Nonmajor 9,729 156,728 217,450 - 383,907 Business-type activities: Liquor 250,000 - - - 250,000 Total transfers $274,729 $156,728 $1,292,234 $86,300 $1,809,991 Transfer out Major Funds Transfer In Governmental Activities All 2021 transfers are considered routine and consistent with previous practices. Note 12 DEFICIT FUND BALANCES/NET POSITION The City has deficit fund balances/net position at December 31, 2021 as follows: Fund Amount Nonmajor funds: Internal Service Fund $6,341,646 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. Note 13 CONTINGENCIES A. RISK MANAGEMENT The City is exposed to various risks of loss related to torts, theft of, damage to and destruction of assets; errors and omissions; injuries to employees; and natural disasters. Workers compensation coverage is provided through a pooled self-insurance program through the League of Minnesota Cities Insurance Trust (LMCIT). The City pays an annual premium to the LMCIT. The City is subject to supplemental assessments if deemed necessary by the LMCIT. The LMCIT reinsures through Workers Compensation Reinsurance Association (WCRA) as required by law. The City has no deductible and a managed care program to assist employees with their rehabilitation plan. Annual employee hours of service are audited and final premiums are then determined. The amount of premium adjustment, if any, is considered immaterial and not recorded until received or paid. Property, casualty and automobile insurance coverage are provided through a pooled self-insurance program through the LMCIT. The City pays an annual premium to the LMCIT. The City is subject to 82 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 for any of the past three fiscal years. 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, 2021. 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: 83 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 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 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 $714,668. At December 31, 2021, the principal amount outstanding on the note was $2,340,502. 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 $66,526. At December 31, 2021, 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 $194,301. At December 31, 2021, the principal amount outstanding on the note was $194,301. 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 14 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. 84 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 These future scheduled tax levies are not shown as assets in the accompanying financial statements at December 31, 2021. Note 15 FUND BALANCE A. CLASSIFICATIONS At December 31, 2021, a summary of the governmental fund balance classifications are as follows: Street Improvement Street Public Debt HRA TIF Improvement Utilities General Fund Service Projects Projects Infrastructure Other Funds Total Nonspendable: Prepaid items $133,031 $ - $528 $ - $ - $35,425 $168,984 Inventory 13,549 - - - - - 13,549 Total nonspendable 146,580 0 528 0 0 35,425 182,533 Restricted for: Tax increment - - 2,131,346 - - - 2,131,346 Public safety - - - - - 39,084 39,084 Capital Improvements - - - 171,860 - - 171,860 Debt service - 4,021,817 - - - 1,032,751 5,054,568 Total restricted 0 4,021,817 2,131,346 171,860 0 1,071,835 7,396,858 Committed to: Community Center 150,347 150,347 Redevelopment activities - - - - - 186,826 186,826 Total committed 0 0 0 0 0 337,173 337,173 Assigned to: Street improvements/rehabilitiation - - - 69,768 - - 69,768 Building improvements - - - - - 681,915 681,915 Public utilities infrastructure - - - - 4,217,503 - 4,217,503 Parks and recreation - - - - - 137,055 137,055 Other capital improvements - - - - - 1,526,212 1,526,212 Total assigned 0 0 0 69,768 4,217,503 2,345,182 6,632,453 Unassigned 3,730,206 - - - - - 3,730,206 Total $3,876,786 $4,021,817 $2,131,874 $241,628 $4,217,503 $3,789,615 $18,279,223 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 35-50% of the subsequent year’s budgeted operating expenditures (net of expenditures for police and financial services to other cities). At December 31, 2021, the unassigned fund balance of the General Fund was 53% of the subsequent year’s budgeted expenditures. 85 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 16 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, 2021, there was one series of Multi-family Housing Revenue Bonds outstanding. The aggregate issued amount was $16,950,000 which consists of one 2013 issue of $16,950,000. The balance outstanding at December 31, 2021 is unavailable. 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 2021 and 2020 is computed as follows: December 31, December 31, 2021 2020 Market value: Ramsey County $428,489,400 $381,988,800 Hennepin County 747,604,900 712,852,200 Total market value 1,176,094,300 1,094,841,000 Debt limit percentage 3%3% Debt limit 35,282,829 32,845,230 Amount of debt applicable to debt limit: Total bonded debt 27,925,000 29,135,000 Less nonapplicable debt: Revenue bonds (water, sewer)(440,000) (580,000) Tax abatement bonds (1,995,000) (2,245,000) Improvement bonds (18,170,000) (17,985,000) Tax increment bonds (5,345,000) (5,795,000) Cash and investments in applicable debt service funds (748,130) (796,747) Total amount of debt applicable to debt limit 1,226,870 1,733,253 Legal debt margin $34,055,959 $31,111,977 86 CITY OF ST. ANTHONY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 18 RECENTLY ISSUED ACCOUNTING STANDARDS The Governmental Accounting Standards Board (GASB) recently approved the following statements which were not implemented for these financial statements: Statement No. 87 Leases. The provisions of this Statement are effective for reporting periods beginning after June 15, 2021. Statement No. 91 Conduit Debt Obligations. The provisions of this Statement are effective for reporting periods beginning after December 15, 2021. Statement No. 92 Omnibus 2020. The provisions of this Statement are effective for reporting periods beginning after June 15, 2021. Statement No. 94 Public-Private and Public-Public Partnerships and Availability Payment Arrangements. The provisions of this Statement are effective for reporting periods beginning after June 15, 2022. Statement No. 96 Subscription – Based Information Technology Arrangements. The provisions of this Statement are effective for reporting periods beginning after June 15, 2022 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 SUBSEQUENT EVENTS On May 26, 2022, the City issued $2,385,000 of Series 2022A General Obligation Improvement Bonds to finance 2022 improvement projects. 87 - This page intentionally left blank - 88 REQUIRED SUPPLEMENTARY INFORMATION 89 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 1 of 5 For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2021 2020 Actual Variance with Actual Original Final Amounts Final Budget Amounts Revenues: General property taxes $4,882,357 $4,882,357 $4,979,581 $97,224 $4,869,556 Special assessments - - 5,369 5,369 609 Licenses and permits 260,601 260,601 1,116,447 855,846 318,232 Intergovernmental: Federal: Public safety grants 45,500 45,500 44,876 (624) 741,865 State: Local governement aid 640,386 640,386 640,386 - 613,302 Police aid 198,076 198,076 205,489 7,413 205,476 Municipal state aid - street maintenance 99,302 99,302 93,988 (5,314) 103,441 PERA aid 7,197 7,197 - (7,197) - County: Other 10,500 10,500 36,082 25,582 9,856 Local: School District DARE 14,500 14,500 - (14,500) 16,326 Other 5,250 5,250 5,064 (186) 1,064 Total intergovernmental 1,020,711 1,020,711 1,025,885 5,174 1,691,330 Charges for services: Police contracts 773,218 773,218 773,218 - 747,071 Antenna rental - water tower 62,376 62,376 62,401 25 60,280 Other 180,704 180,704 191,119 10,415 246,466 Total charges for services 1,016,298 1,016,298 1,026,738 10,440 1,053,817 Cable franchise fees 94,500 94,500 103,768 9,268 95,517 Fines and forfeits 73,876 73,876 113,163 39,287 75,574 Contributions and donations 1,000 1,000 610 (390) 400 Other revenue: Investment income 21,000 21,000 (8,752) (29,752) 36,153 Refunds and reimbursments 12,000 12,000 6,108 (5,892) 14,998 Miscellaneous - other 19,000 19,000 46,785 27,785 40,768 Total other revenue 52,000 52,000 44,141 (7,859) 91,919 Total revenues 7,401,343 7,401,343 8,415,702 1,014,359 8,196,954 Expenditures: General government: Mayor and council: Current: Personal services 40,735 40,735 40,810 (75) 44,288 Other services and charges 65,233 65,233 68,919 (3,686) 58,944 Total mayor and council 105,968 105,968 109,729 (3,761) 103,232 Budgeted Amounts See accompanying notes to the required supplementary information. 90 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 2 of 5 For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2021 2020 Actual Variance with Actual Original Final Amounts Final Budget Amounts Expenditures: (continued) General government: (continued) Public relations/cable: Current: Personal services $11,777 $11,777 $12,312 ($535) $11,435 Supplies 1,454 1,454 - 1,454 44 Other services and charges 36,320 36,320 40,370 (4,050) 35,454 Total public relations/cable 49,551 49,551 52,682 (3,131) 46,933 General management: Current: Personal services 184,345 184,345 127,209 57,136 179,531 Supplies 255 255 197 58 183 Other services and charges 20,676 20,676 18,636 2,040 16,815 Total general management 205,276 205,276 146,042 59,234 196,529 Elections: Current: Personal services 127,093 127,093 118,192 8,901 118,981 Supplies 536 536 1,927 (1,391) 1,863 Other services and charges 2,685 2,685 2,916 (231) 4,596 Total elections 130,314 130,314 123,035 7,279 125,440 Finance: Current: Personal services 173,238 173,238 180,436 (7,198) 169,046 Supplies 10,142 10,142 8,923 1,219 8,707 Other services and charges 140,523 140,523 128,750 11,773 129,012 Total finance 323,903 323,903 318,109 5,794 306,765 Assessing: Current: Personal services 4,983 4,983 4,759 224 4,548 Supplies 173 173 56 117 83 Other services and charges 71,160 71,160 71,000 160 69,000 Total assessing 76,316 76,316 75,815 501 73,631 Legal: Current: Contracted services 142,250 142,250 100,099 42,151 79,720 Planning and zoning: Current: Personal services 14,760 14,760 14,535 225 12,931 Supplies 138 138 155 (17) 35 Other services and charges 77,808 77,808 73,288 4,520 70,837 Total planning and zoning 92,706 92,706 87,978 4,728 83,803 Budgeted Amounts See accompanying notes to the required supplementary information. 91 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 3 of 5 For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2021 2020 Actual Variance with Actual Original Final Amounts Final Budget Amounts Expenditures: (continued) General government: (continued) General government buildings: Current: Other services and charges $126,709 $126,709 $123,816 $2,893 $124,434 Total general government 1,252,993 1,252,993 1,137,305 115,688 1,140,487 Public safety: Civil defense: Current: Personal services 85,988 85,988 85,731 257 82,075 Supplies 570 570 220 350 222 Other services and charges 2,550 2,550 2,178 372 1,340 Total civil defense 89,108 89,108 88,129 979 83,637 Other public safety Current: Personal services - - 16,339 (16,339) 103,851 Other services and charges - - - - 274,504 Total other public safety 0 0 16,339 (16,339) 378,355 Police protection: Current: Personal services 3,226,469 3,226,469 3,193,187 33,282 3,120,270 Supplies 90,084 90,084 82,552 7,532 75,113 Other services and charges 291,263 291,263 276,227 15,036 250,242 Total police protection 3,607,816 3,607,816 3,551,966 55,850 3,445,625 Fire protection: Current: Personal services 1,031,808 1,031,808 1,026,687 5,121 980,385 Supplies 33,561 33,561 43,386 (9,825) 37,220 Other services and charges 83,510 83,510 98,193 (14,683) 93,182 Total fire protection 1,148,879 1,148,879 1,168,266 (19,387) 1,110,787 Protective inspections: Current: Personal services 15,215 15,215 7,624 7,591 14,008 Supplies 150 150 - 150 154 Other services and charges 90,356 90,356 570,893 (480,537) 119,386 Total protective inspections 105,721 105,721 578,517 (472,796) 133,548 DARE program: Current: Personal services 12,119 12,119 11,218 901 10,981 Supplies 2,040 2,040 - 2,040 - Total DARE program 14,159 14,159 11,218 2,941 10,981 Total public safety 4,965,683 4,965,683 5,414,435 (448,752) 5,162,933 Budgeted Amounts See accompanying notes to the required supplementary information. 92 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 4 of 5 For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2021 2020 Actual Variance with Actual Original Final Amounts Final Budget Amounts Public works: Street maintenance: Current: Personal services $489,505 $489,505 $405,363 $84,142 $462,909 Supplies 20,673 20,673 22,414 (1,741) 27,325 Other services and charges 137,634 137,634 124,088 13,546 104,724 Total street maintenance 647,812 647,812 551,865 95,947 594,958 Equipment maintenance: Current: Personal services 48,628 48,628 48,565 63 43,863 Supplies 109,865 109,865 74,291 35,574 142,749 Other services and charges 48,814 48,814 56,977 (8,163) 56,079 Total equipment maintenance 207,307 207,307 179,833 27,474 242,691 Tree and weed care: Current: Personal services 46,827 46,827 46,239 588 43,359 Supplies - - - - 40 Other services and charges 4,242 4,242 2,245 1,997 3,536 Total tree and weed care 51,069 51,069 48,484 2,585 46,935 Total public works 906,188 906,188 780,182 126,006 884,584 Parks and recreation: Park maintenance: Current: Personal services 165,458 165,458 156,574 8,884 152,694 Supplies 16,126 16,126 18,005 (1,879) 15,700 Other services and charges 43,911 43,911 64,413 (20,502) 29,817 Total park maintenance 225,495 225,495 238,992 (13,497) 198,211 Recreation: Current: Community services 52,176 52,176 52,176 - 52,176 Total parks and recreation 277,671 277,671 291,168 (13,497) 250,387 Budgeted Amounts See accompanying notes to the required supplementary information. 93 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 5 of 5 For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2021 2020 Actual Variance with Actual Original Final Amounts Final Budget Amounts Expenditures: (continued) Nondepartmental: Supplies $47,500 $47,500 $24,599 $22,901 $13,869 Insurance deductible costs 15,000 15,000 9,350 5,650 14,606 Total nondepartmental 62,500 62,500 33,949 28,551 28,475 Total expenditures 7,465,035 7,465,035 7,657,039 (192,004) 7,466,866 Revenues over (under) expenditures (63,692) (63,692) 758,663 822,355 730,088 Other financing sources (uses): Transfers in 265,000 265,000 274,729 9,729 262,500 Transfers out (186,751) (186,751) (554,596) (367,845) (185,388) Total other financing sources (uses) 78,249 78,249 (279,867) (358,116) 77,112 Net change in fund balance $14,557 $14,557 478,796 $464,239 807,200 Fund balance - January 1 3,397,990 2,590,790 Fund balance - December 31 $3,876,786 $3,397,990 Budgeted Amounts See accompanying notes to the required supplementary information. 94 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 10 SCHEDULE OF CHANGES IN THE CITY'S TOTAL OPEB LIABILITY AND RELATED RATIOS For The Year Ended December 31, 2021 2021 2020 2019 2018 Total OPEB liability: Service cost $62,011 $49,034 $66,821 $60,682 Interest 18,122 36,179 29,763 28,711 Changes of benefit terms - - - - Differences between expected and actual experience 8,294 (347,833) - - Changes in assumptions 19,545 52,159 (43,327) 21,006 Benefit payments (30,213) (21,165) (11,075) (10,672) Net change in total OPEB liability 77,759 (231,626) 42,182 99,727 Total OPEB liability - beginning 614,487 846,113 803,931 704,204 Total OPEB liability - ending $692,246 $614,487 $846,113 $803,931 Covered-employee payroll $4,600,000 $4,500,000 $4,897,999 $4,627,624 Total OPEB liability as a percentage of covered-employee payroll 15.0% 13.7% 17.3% 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. See accompanying notes to the required supplementary information. 95 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 11 SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY - GENERAL EMPLOYEES RETIREMENT FUND For The Last Ten Years St. Anthony's Proportionate State's Share of the Plan Proportionate Net Pension Fiduciary St. Anthony's St. Anthony's Share (Amount)Liability Net Position Proportionate Proportionate of the Net as a as a Share Share (Amount) Pension Percentage Percentage Measurement Fiscal Year (Percentage) of of the Net Liability of its covered of the Total Date Ending the Net Pension Pension Associated with Covered Payroll Pension June 30 December 31 Liability Liability (a) St. Anthony (b) Total (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% 2019 2019 0.0334%1,846,611 57,331 1,903,942 2,363,174 80.6% 80.2% 2020 2020 0.0341%2,044,451 62,951 2,107,402 2,431,586 86.7% 79.1% 2021 2021 0.0333%1,422,059 43,405 1,465,464 2,398,987 61.1% 87.0% 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. See accompanying notes to the required supplementary information. 96 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 12 SCHEDULE OF PENSION CONTRIBUTIONS - GENERAL EMPLOYEES RETIREMENT FUND For The Last Ten Years Statutorily Contributions in Contribution Contributions as a Fiscal Year Required Relation to the Deficiency Covered Percentage of Ending Contribution Statutorily Required (Excess) Payroll Covered December 31 (a) Contribution (b) (a-b) (c) Payroll (b/c) 2015 $161,326 $161,326 $ - $2,151,016 7.50% 2016 160,607 160,607 - 2,141,425 7.50% 2017 167,798 167,798 - 2,237,307 7.50% 2018 175,748 175,748 - 2,343,317 7.50% 2019 179,816 179,816 - 2,397,523 7.50% 2020 184,656 184,656 - 2,462,125 7.50% 2021 178,190 178,190 - 2,375,875 7.50% 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. See accompanying notes to the required supplementary information. 97 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 13 SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY - PUBLIC EMPLOYEES POLICE AND FIRE FUND For The Last Ten Years 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% 2019 2019 0.2442% 2,599,756 2,576,175 100.9% 89.2% 2020 2020 0.2369% 3,122,595 2,672,439 116.8% 87.2% 2021 2021 0.2368% 1,827,845 2,798,746 65.3% 93.7% 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. See accompanying notes to the required supplementary information. 98 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 14 SCHEDULE OF PENSION CONTRIBUTIONS - PUBLIC EMPLOYEES POLICE AND FIRE FUND For The Last Ten Years Statutorily Contributions in Contribution Contributions as a Fiscal Year Required Relation to the Deficiency Covered Percentage of Ending Contribution Statutorily Required (Excess)Payroll Covered December 31 (a)Contribution (b) (a-b)(c)Payroll (b/c) 2015 $435,571 $435,571 $ - $2,688,709 16.20% 2016 447,527 447,527 - 2,762,512 16.20% 2017 424,887 424,887 - 2,622,760 16.20% 2018 419,242 419,242 - 2,587,918 16.20% 2019 440,545 440,545 - 2,599,085 16.95% 2020 488,862 488,862 - 2,761,934 17.70% 2021 498,302 498,302 - 2,815,267 17.70% 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. See accompanying notes to the required supplementary information. 99 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 15 SCHEDULE OF CHANGES IN THE NET PENSION LIABILITY AND RELATED RATIOS - ST. ANTHONY FIRE DEPARTMENT RELIEF ASSOCIATION For The Last Ten Years Fiscal Year Ending and Measurement date December 31, 2021 December 31, 2020 December 31, 2019 December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2015 Total pension liability: Service cost $28,986 $28,181 $40,799 $37,633 $37,542 $47,233 $44,095 Interest 48,237 46,153 42,195 40,951 44,308 31,829 30,759 Changes in benefit terms - - 35,173 26,091 - - - Differences between expected and actual experience (58,248) (33,785) (71,654) - (35,041) - - Changes of assumptions - - 15,462 - 2,699 (36,075) - Benefit payments (13,240) - (27,928) (144,500) (7,260) (80,200) (25,472) Net change in total pension liability 5,735 40,549 34,047 (39,825) 42,248 (37,213) 49,382 Total pension liability - beginning 781,581 741,032 706,985 746,810 704,562 741,775 692,393 Total pension liability - ending (a) $787,316 $781,581 $741,032 $706,985 $746,810 $704,562 $741,775 Plan fiduciary net position: Contributions - employer $7,890 $6,000 $6,000 $6,000 $6,000 $6,000 $6,000 Contributions - State of Minnesota 60,530 58,407 54,716 53,083 51,206 51,174 48,725 Contributions - employee - - - - - - - Net investment income 117,572 150,122 98,394 (54,281) 93,511 39,971 (23,129) Benefit payments (13,240) - (27,928) (144,500) (7,260) (80,200) (25,472) Administrative expense (2,919) (12,185) (11,640) (11,547) (11,829) (8,653) (10,561) Net change in plan fiduciary net position 169,833 202,344 119,542 (151,245) 131,628 8,292 (4,437) Plan fiduciary net position - beginning 1,203,904 1,001,560 882,018 1,033,263 901,635 893,343 897,780 Plan fiduciary net position - ending (b) $1,373,737 $1,203,904 $1,001,560 $882,018 $1,033,263 $901,635 $893,343 Net pension liability (asset) - ending (a) - (b) ($586,421) ($422,323) ($260,528) ($175,033) ($286,453) ($197,073) ($151,568) Plan fiduciary net position as a percentage of the total pension liability 174.5% 154.0% 135.2% 124.8% 138.4% 128.0% 120.4% Covered-employee payroll* NA NA NA NA NA NA NA Net pension liability as a percentage of covered employee payroll* NA NA NA NA NA NA NA Pension benefit per year of service $3,800 $3,800 $3,800 $3,500 $3,300 $3,300 $3,300 Number of plan participants 31 33 30 33 35 32 32 *The Relief Association is comprised of volunteers, therefore there are no payroll expenditures. GASB 68 was implemented in 2015. Information prior to 2015 is not available. See accompanying notes to the required supplementary information. 100 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 16 SCHEDULE OF CONTRIBUTIONS - ST. ANTHONY FIRE DEPARTMENT RELIEF ASSOCIATION For The Last Ten Years Statutorily Contributions in Contribution Contributions as a Fiscal Year Required Relation to the Deficiency Covered Percentage of Ending Contribution Statutorily Required (Excess) Payroll* Covered December 31 (a) Contribution (b) (a-b) (c) Payroll* (b/c) 2015 $22,977 $22,977 $ - $ - NA 2016 - 6,000 (6,000) - NA 2017 - 6,000 (6,000) - NA 2018 - 6,000 (6,000) - NA 2019 - 6,000 (6,000) - NA 2020 - 6,000 (6,000) - NA 2021 - 7,890 (7,890) - NA *The Relief Association is comprised of volunteers, therefore, there are no payroll expenditures. (i.e., there are no covered payroll amounts or percentage calculations.) GASB 68 was implemented in 2015. Information prior to 2015 is not available. See accompanying notes to the required supplementary information. 101 - This page intentionally left blank - 102 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION NOTES TO RSI December 31, 2021 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 2021 Changes in Actuarial Assumptions:  The investment return and single discount rates were changed from 7.50% to 6.50% for financial reporting purposes.  The mortality improvement scale was changed from Scale MP-2019 to Scale MP-2020. 2020 Changes in Actuarial Assumptions:  The price inflation assumption was decreased from 2.50% to 2.25%.  The payroll growth assumption was decreased from 3.25% to 3.00%.  Assumed salary increase rates were decreased 0.25% and assumed rates of retirement were changed resulting in more unreduced (normal) retirements and slightly fewer Rule of 90 and early retirements. Assumed rates of termination and disability were also changed.  Base mortality tables were changed from RP-2014 tables to Pub-2010 tables, with adjustments.  The mortality improvement scale was changed from Scale MP-2018 to Scale MP-2019.  The spouse age difference was changed from two years older for females to one year older.  The assumed number of married male new retirees electing the 100% Joint & Survivor option changed from 35% to 45%. The assumed number of married female new retirees electing the 100% Joint & Survivor option changed from 15% to 30%. The corresponding number of married new retirees electing the Life annuity option was adjusted accordingly. 2020 Changes in Plan Provisions:  Augmentation for current privatized members was reduced to 2.0% for the period July 1, 2020 through December 31, 2023 and 0.0% after. Augmentation was eliminated for privatizations occurring after June 30, 2020. 2019 Changes in Actuarial Assumptions:  The mortality projection scale was changed from MP-2017 to MP-2018. 2019 Changes in the Plan Provisions:  The employer supplemental contribution was changed prospectively, decreasing from $31.0 million to $21.0 million per year. The State’s special funding contribution was changed prospectively, requiring $16.0 million due per year through 2031. 2018 Changes in Actuarial Assumptions:  The mortality projection scale was changed from MP-2015 to MP-2017.  The assumed benefit increase was changed from 1.00% per year through 2044 and 2.50% per year thereafter to 1.25% per year. 103 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION NOTES TO RSI December 31, 2021 2017 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 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 2021 Changes in Actuarial Assumptions:  The investment return and single discount rates were changed from 7.50% to 6.50% for financial reporting purposes.  The inflation assumption was changed from 2.50% to 2.25%.  The payroll growth assumption was changed from 3.25% to 3.00%.  The base mortality tables for healthy annuitants, disabled annuitants and employees were changed from RP-2014 tables to Pub-2010 Public Safety Mortality tables. The mortality improvement scale was changed from MP-2019 to MN-2020.  Assumed salary increase and retirement rates were modified as recommended in the July 14, 2020 experience study. The changes result in a decrease in gross salary increase rates, slightly more unreduced retirements and fewer assumed early retirements.  Assumed rates of withdrawal were changed from select and ultimate rates to service-based rates. The changes result in more assumed terminations.  Assumed rates of disability were increased for ages 25-44 and decreased for ages over 49. Overall, proposed rates result in more projected disabilities.  Assumed percent married for active female members was changed from 60% to 70%. 2020 Changes in Actuarial Assumptions:  The mortality projection scale was changed from MP-2018 to MP-2019. 2019 Changes in Actuarial Assumptions:  The mortality projection scale was changed from MP-2017 to MP-2018. 2018 Changes in Actuarial Assumptions:  The mortality projection scale was changed from MP-2016 to MP-2017. 2017 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. 104 CITY OF ST. ANTHONY, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION NOTES TO RSI December 31, 2021  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 percent 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% 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 in Actuarial Assumptions:  The assumed post-retirement benefit increase rate was changed from 1.0% per year through 2037 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 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. Statewide Volunteer Firefighter Retirement Plan* 2020 Changes in Actuarial Assumptions:  The assumed investment return and discount rate were changed from 5.25% to 6.00%. 2019 Changes in Actuarial Assumptions:  The assumed investment return and discount rate were changed from 5.75% to 5.25%. 2018 Changes in Actuarial Assumptions:  None 2017 Changes in Actuarial Assumptions:  The assumed investment return and discount rate were changed from 6.00% to 5.75%. 2016 Changes in Actuarial Assumptions:  The assumed investment return and discount rate were changed from 4.25% to 6.00%. *The St. Anthony Fire Department joined the Statewide Volunteer Firefighter Retirement Plan during December 2019. Changes in actuarial assumptions prior to 2020 occurred when the Fire Department’s pension plan assets were held in a special pension trust fund of the St. Anthony Fire Department Relief Association. 105 - This page intentionally left blank - 106 COMBINING AND INDIVIDUAL NONMAJOR FUND FINANCIAL STATEMENTS AND SCHEDULES 107 - This page intentionally left blank - 108 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). 109 CITY OF ST. ANTHONY, MINNESOTA COMBINING BALANCE SHEET Statement 17 NONMAJOR GOVERNMENTAL FUNDS December 31, 2021 With Comparative Totals For December 31, 2020 Special Debt Capital Revenue Service Project 2021 2020 Assets Cash and investments $386,557 $1,030,470 $2,564,548 $3,981,575 $3,605,867 Due from other governmental units - - 2,194 2,194 2,194 Accounts receivable - net 16,085 - 2,110 18,195 19,122 Property taxes receivable: Delinquent 3,124 3,634 2,476 9,234 10,247 Due from county 1,689 4,221 3,314 9,224 9,071 Prepaid items 2,218 - 33,207 35,425 2,239 Loans receivable 5,786 - - 5,786 9,227 Special assessments receivable - - 4,760 4,760 6,347 Total assets $415,459 $1,038,325 $2,612,609 $4,066,393 $3,664,314 Liabilities, Deferred Inflows of Resources, and Fund Balance Liabilities: Accounts payable $12,828 $1,940 $28,061 $42,829 $53,547 Due to other governmental units - - - - 62,798 Salaries payable 5,243 - - 5,243 1,552 Deposits payable 15,789 - - 15,789 24,549 Interfund loan payable - - 198,923 198,923 22,480 Total liabilities 33,860 1,940 226,984 262,784 164,926 Deferred inflows of resources: Unavailable revenue 3,124 3,634 7,236 13,994 16,594 Fund balance (deficit): Nonspendable 2,218 - 33,207 35,425 2,239 Restricted 39,084 1,032,751 - 1,071,835 1,109,640 Committed 337,173 - - 337,173 184,600 Assigned - - 2,345,182 2,345,182 2,186,315 Total fund balance (deficit) 378,475 1,032,751 2,378,389 3,789,615 3,482,794 Total liabilities, deferred inflows of resources, and fund balance $415,459 $1,038,325 $2,612,609 $4,066,393 $3,664,314 Total Nonmajor Governmental Funds 110 CITY OF ST. ANTHONY, MINNESOTA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 18 CHANGES IN FUND BALANCE NONMAJOR GOVERNMENTAL FUNDS For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 Special Debt Capital Revenue Service Project 2021 2020 Revenues: General property taxes $197,712 $573,309 $425,817 $1,196,838 $1,119,341 Intergovernmental 12,996 - - 12,996 1,442,998 Special assessments - - 2,095 2,095 2,013 Charges for services 131,082 - - 131,082 132,302 Fines and forfeits 7,531 - - 7,531 11,965 Investment income (loss) (1,190) (2,248) (8,416) (11,854) 47,246 Contributions and donations - - 263,025 263,025 650 Refunds and reimbursements 230 - 474 704 2,654 Total revenues 348,361 571,061 682,995 1,602,417 2,759,169 Expenditures: Current: General government 19,414 - - 19,414 29,497 Public safety 22,946 - - 22,946 6,342 Public works - - 93,199 93,199 53,007 Parks and recreation 163,501 - 181,251 344,752 152,647 Housing and redevelopment 130,471 - - 130,471 137,588 Capital outlay - - 334,011 334,011 515,405 Debt service: Principal - 1,050,000 - 1,050,000 1,025,000 Interest - 221,903 3,245 225,148 245,828 Paying agent fees - 3,073 - 3,073 4,333 Total expenditures 336,332 1,274,976 611,706 2,223,014 2,169,647 Revenues over (under) expenditures 12,029 (703,915) 71,289 (620,597) 589,522 Other financing sources: Sale of capital assets - - 19,091 19,091 - Transfers in 183,602 673,938 434,694 1,292,234 941,295 Transfers out (69,729) - (314,178) (383,907) (410,710) Total other financing sources 113,873 673,938 139,607 927,418 530,585 Net change in fund balance 125,902 (29,977) 210,896 306,821 1,120,107 Fund balance - January 1 252,573 1,062,728 2,167,493 3,482,794 2,362,687 Fund balance - December 31 $378,475 $1,032,751 $2,378,389 $3,789,615 $3,482,794 Total Nonmajor Governmental Funds 111 - This page intentionally left blank - 112 NONMAJOR GOVERNMENTAL FUNDS 113 - This page intentionally left blank - 114 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. This fund was closed in 2021. 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. This fund was closed in 2021. 115 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING BALANCE SHEET NONMAJOR SPECIAL REVENUE FUNDS December 31, 2021 With Comparative Totals For December 31, 2020 Community Center Fund Police Forfeiture Fund Assets Cash and investments $148,798 $54,873 Accounts receivable - net 15,821 - Property taxes receivable: Delinquent - - Due from county - - Prepaid items 1,758 - Loans receivable - - Total assets $166,377 $54,873 Liabilities, Deferred Inflows of Resources, and Fund Balance Liabilities: Accounts payable $12,828 $ - Deposits payable - 15,789 Salaries payable 1,444 - Total liabilities 14,272 15,789 Deferred inflows of resources: Unavailable revenue - - Fund balance (deficit): Nonspendable 1,758 - Restricted - 39,084 Committed 150,347 - Assigned - - Total fund balance (deficit)152,105 39,084 Total liabilities, deferred inflows of resources, and fund balance $166,377 $54,873 116 Statement 19 HRA Fund 2021 2020 $182,886 $386,557 $252,631 264 16,085 19,122 3,124 3,124 3,112 1,689 1,689 1,516 460 2,218 2,239 5,786 5,786 9,227 $194,209 $415,459 $287,847 $ - $12,828 $6,061 - 15,789 24,549 3,799 5,243 1,552 3,799 33,860 32,162 3,124 3,124 3,112 460 2,218 2,239 - 39,084 46,912 186,826 337,173 184,600 - - 18,822 187,286 378,475 252,573 $194,209 $415,459 $287,847 Total Nonmajor Special Revenue Funds 117 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, 2021 With Comparative Totals For December 31, 2020 Community Center Fund Police Forfeiture Fund Revenues: General property taxes $ - $ - Intergovernmental - - Charges for services: Administrative fees - - Rental receipts 127,300 - Fines and forfeits - 7,531 Investment income (loss)(539)(248) Refunds and reimbursements - - Total revenues 126,761 7,283 Expenditures: Current: General government - - Public safety - 22,530 Parks and recreation 163,501 - Housing and redevelopment - - Total expenditures 163,501 22,530 Revenues over (under) expenditures (36,740)(15,247) Other financing sources (uses): Transfers in 183,602 - Transfers out (60,000) - Total other financing sources (uses)123,602 0 Net change in fund balance 86,862 (15,247) Fund balance (deficit) - January 1 65,243 54,331 Fund balance (deficit) - December 31 $152,105 $39,084 118 Statement 20 Recycling Fund HRA Fund Fire Education / Training Fund 2021 2020 $ - $197,712 $ - $197,712 $185,517 12,996 - - 12,996 13,067 3,561 - 221 3,782 5,002 - - - 127,300 127,300 - - - 7,531 11,965 - (403) - (1,190)1,999 - 230 - 230 460 16,557 197,539 221 348,361 345,310 19,414 - - 19,414 29,212 - - 416 22,946 6,342 - - - 163,501 146,197 - 130,471 - 130,471 137,588 19,414 130,471 416 336,332 319,339 (2,857)67,068 (195)12,029 25,971 - - - 183,602 99,088 (2,096) - (7,633)(69,729) - (2,096)0 (7,633)113,873 99,088 (4,953)67,068 (7,828)125,902 125,059 4,953 120,218 7,828 252,573 127,514 $0 $187,286 $0 $378,475 $252,573 Total Nonmajor Special Revenue Funds 119 - This page intentionally left blank - 120 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. HRA TIF Debt Service Fund (335/336) was established to account for debt associated with Tax Increment Financing Districts of the City. 121 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING BALANCE SHEET Statement 21 NONMAJOR DEBT SERVICE FUNDS December 31, 2021 With Comparative Totals For December 31, 2020 Public Facilities Revenue Bonds Tax Abatement Fund Equipment Certificates Fund HSIP Tax Abatement HRA TIF Debt Service 2021 2020 Assets Cash and investments $525,882 $277,422 $59,652 $163,925 $3,589 $1,030,470 $1,059,923 Property taxes receivable: Delinquent 2,200 778 - 656 - 3,634 4,432 Due from county 2,538 917 - 766 - 4,221 4,576 Total assets $530,620 $279,117 $59,652 $165,347 $3,589 $1,038,325 $1,068,931 Liabilities, Deferred Inflows of Resources, and Fund Balance Liabilities: Accounts payable $200 $160 $155 $475 $950 $1,940 $1,771 Deferred inflows of resources: Unavailable revenue 2,200 778 - 656 - 3,634 4,432 Fund balance: Restricted 528,220 278,179 59,497 164,216 2,639 1,032,751 1,062,728 Total liabilities, deferred inflows of resources, and fund balance $530,620 $279,117 $59,652 $165,347 $3,589 $1,038,325 $1,068,931 Total Nonmajor Debt Service Funds 122 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING STATEMENT OF REVENUES,Statement 22 EXPENDITURES AND CHANGES IN FUND BALANCE NONMAJOR DEBT SERVICE FUNDS For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 Public Facilities Revenue Bonds Tax Abatement Fund Equipment Certificates Fund HSIP Tax Abatement HRA TIF Debt Service 2021 2020 Revenues: General property taxes $344,814 $124,367 $ - $104,128 $ - $573,309 $564,902 Investment income (loss) (1,020) (678) (209) (328) (13) (2,248) 11,043 Total revenues 343,794 123,689 (209) 103,800 (13) 571,061 575,945 Expenditures: Debt service: Principal 355,000 100,000 55,000 90,000 450,000 1,050,000 1,025,000 Interest 28,690 15,000 11,625 10,100 156,488 221,903 244,351 Paying agent fees 389 348 344 664 1,328 3,073 4,333 Total expenditures 384,079 115,348 66,969 100,764 607,816 1,274,976 1,273,684 Revenues over (under) expenditures (40,285) 8,341 (67,178) 3,036 (607,829) (703,915) (697,739) Other financing sources (uses): Transfers in - - 67,450 - 606,488 673,938 692,207 Total other financing sources (uses) 0 0 67,450 0 606,488 673,938 692,207 Net change in fund balance (40,285) 8,341 272 3,036 (1,341) (29,977) (5,532) Fund balance - January 1 568,505 269,838 59,225 161,180 3,980 1,062,728 1,068,260 Fund balance - December 31 $528,220 $278,179 $59,497 $164,216 $2,639 $1,032,751 $1,062,728 Total Nonmajor Debt Service Funds 123 - This page intentionally left blank - 124 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. 125 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING BALANCE SHEET Statement 23 NONMAJOR CAPITAL PROJECT FUNDS December 31, 2021 With Comparative Totals For December 31, 2020 Infrastructure Fund Park Improvement Capital Equipment Fund Building Improvement Fund 2021 2020 Assets Cash and investments $700,062 $325,055 $840,767 $698,664 $2,564,548 $2,293,313 Due from other governmental units 2,194 - - - 2,194 2,194 Accounts receivable - net - - 2,110 - 2,110 - Property taxes receivable: Delinquent 204 - 1,751 521 2,476 2,703 Due from county 617 - 2,086 611 3,314 2,979 Prepaid items - - 33,207 - 33,207 - Special assessment receivable 4,760 - - - 4,760 6,347 Total assets $707,837 $325,055 $879,921 $699,796 $2,612,609 $2,307,536 Liabilities, Deferred Inflows of Resources, and Fund Balance Liabilities: Accounts payable $ - $5,937 $4,764 $17,360 $28,061 $45,715 Due to other governmental units - - - - - 62,798 Interfund loan payable 16,860 182,063 - - 198,923 22,480 Total liabilities 16,860 188,000 4,764 17,360 226,984 130,993 Deferred inflows of resources: Unavailable revenue 4,964 - 1,751 521 7,236 9,050 Fund balance (deficit): Nonspendable - - 33,207 - 33,207 - Assigned 686,013 137,055 840,199 681,915 2,345,182 2,167,493 Total fund balance (deficit) 686,013 137,055 873,406 681,915 2,378,389 2,167,493 Total liabilities, deferred inflows of resources, and fund balance $707,837 $325,055 $879,921 $699,796 $2,612,609 $2,307,536 Total Nonmajor Capital Project Funds 126 CITY OF ST. ANTHONY, MINNESOTA SUBCOMBINING STATEMENT OF REVENUES,Statement 24 EXPENDITURES AND CHANGES IN FUND BALANCE NONMAJOR CAPITAL PROJECT FUNDS For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 Infrastructure Fund Park Improvement Capital Equipment Fund Building Improvement Fund 2021 2020 Revenues: General property taxes $59,782 $ - $283,069 $82,966 $425,817 $368,922 Intergovernmental - - - - - 1,429,931 Special assessments 2,095 - - - 2,095 2,013 Investment income (loss)(2,699)(778) (2,689) (2,250) (8,416) 34,204 Contributions and donations - 259,000 4,025 - 263,025 650 Refunds and reimbursements - - 474 - 474 2,194 Total revenues 59,178 258,222 284,879 80,716 682,995 1,837,914 Expenditures: Current: General government - - - - - 285 Public works 93,199 - - - 93,199 53,007 Parks and recereation - 181,251 - - 181,251 6,450 Capital outlay - 3,766 253,802 76,443 334,011 515,405 Debt service: Interest 1,182 2,063 - - 3,245 1,477 Total expenditures 94,381 187,080 253,802 76,443 611,706 576,624 Revenues over (under) expenditures (35,203) 71,142 31,077 4,273 71,289 1,261,290 Other financing sources (uses): Sale of capital assets - - 19,091 - 19,091 - Transfers in - - 215,000 219,694 434,694 150,000 Transfers out (246,728) - (67,450) - (314,178) (410,710) Total other financing sources (uses) (246,728)0 166,641 219,694 139,607 (260,710) Net change in fund balance (281,931) 71,142 197,718 223,967 210,896 1,000,580 Fund balance (deficit) - January 1 967,944 65,913 675,688 457,948 2,167,493 1,166,913 Fund balance (deficit) - December 31 $686,013 $137,055 $873,406 $681,915 $2,378,389 $2,167,493 Total Nonmajor Capital Project Funds 127 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 601 COMMUNITY CENTER FUND Statement 25 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2020 Original Final Actual Actual Revenues: Charges for services: Rental receipts $127,300 $127,300 $127,300 $127,300 Investment income 425 425 (539) - Total revenues 127,725 127,725 126,761 127,300 Expenditures: Parks and recreation: Current: Personal services 45,135 45,135 43,449 42,950 Supplies 6,150 6,150 4,850 5,769 Contractual services 113,776 113,776 115,202 97,478 Total expenditures 165,061 165,061 163,501 146,197 Revenues over (under) expenditures (37,336) (37,336) (36,740) (18,897) Other financing sources (uses): Transfer in 100,451 100,451 183,602 96,588 Transfer out (60,000) (60,000) (60,000) - Total other financing sources (uses)40,451 40,451 123,602 96,588 Net change in fund balance $3,115 $3,115 86,862 77,691 Fund balance (deficit) - January 1 65,243 (12,448) Fund balance (deficit) - December 31 $152,105 $65,243 2021 Budgeted Amounts 128 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 230 POLICE FORFEITURE FUND Statement 26 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2020 Original Final Actual Actual Revenues: Forfeiture and confiscation $2,750 $2,750 $7,531 $11,965 Investment income 425 425 (248)1,009 Total revenues 3,175 3,175 7,283 12,974 Expenditures: Public safety: Current: Supplies 16,000 16,000 18,530 937 Other services and charges 4,000 4,000 4,000 4,000 Total expenditures 20,000 20,000 22,530 4,937 Revenues over (under) expenditures ($16,825) ($16,825) (15,247)8,037 Fund balance - January 1 54,331 46,294 Fund balance - December 31 $39,084 $54,331 2021 Budgeted Amounts 129 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 225 RECYCLING FUND Statement 27 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2020 Original Final Actual Actual Revenues: Intergovernmental: Recycling grants $13,067 $13,067 $12,996 $13,067 Charges for services 4,500 4,500 3,561 3,218 Investment income 50 50 - 119 Total revenues 17,617 17,617 16,557 16,404 Expenditures: General government: Current: Personal services 11,551 11,551 11,939 11,435 Other services and charges 8,025 8,025 7,475 17,777 Total expenditures 19,576 19,576 19,414 29,212 Revenues over (under) expenditures ($1,959) ($1,959)(2,857) (12,808) Other financing sources (uses): Transfer in - - - 2,500 Transfer out - - (2,096) - Total other financing sources (uses) - - (2,096)2,500 Net change in fund balance ($1,959) ($1,959)(4,953) (10,308) Fund balance - January 1 4,953 15,261 Fund balance - December 31 $0 $4,953 2021 Budgeted Amounts 130 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 301 HRA FUND Statement 28 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2020 Original Final Actual Actual Revenues: General property taxes $197,564 $197,564 $197,712 $185,517 Refunds and reimbursements 500 500 230 460 Investment income 75 75 (403)746 Total revenues 198,139 198,139 197,539 186,723 Expenditures: Housing and redevelopment: Current: Personal services 109,506 109,506 112,407 108,195 Contractual services 54,855 54,855 18,064 29,393 Total expenditures 164,361 164,361 130,471 137,588 Revenues over expenditures $33,778 $33,778 67,068 49,135 Fund balance - January 1 120,218 71,083 Fund balance - December 31 $187,286 $120,218 2021 Budgeted Amounts 131 CITY OF ST. ANTHONY, MINNESOTA SPECIAL REVENUE FUND - 240 FIRE EDUCATION / TRAINING FUND Statement 29 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2020 Original Final Actual Actual Revenues: Charges for services $850 $850 $221 $1,784 Investment income - - - 125 Miscellaneous 25 25 - - Total revenues 875 875 221 1,909 Expenditures: Public safety: Current: Personal services 750 750 80 830 Materials and supplies 650 650 336 575 Total expenditures 1,400 1,400 416 1,405 Revenues over expenditures (525)(525)(195)504 Other financing sources (uses): Transfer in - - (7,633) - Total other financing sources (uses) - - (7,633) - Net change in fund balance (525)(525)(7,828)504 Fund balance - January 1 7,828 7,324 Fund balance - December 31 $0 $7,828 2021 Budgeted Amounts 132 SUPPLEMENTARY FINANCIAL INFORMATION 133 CITY OF ST. ANTHONY, MINNESOTA BALANCE SHEET STREET IMPROVEMENT DEBT SERVICE FUND December 31, 2021 With Comparative Totals For December 31, 2020 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 2013 Street Improvement Bond Fund Assets Cash and investments $920,427 $162,596 $196,673 $88,687 $150,056 $335,281 $177,107 Property taxes receivable: Delinquent 2,337 988 1,134 426 693 821 590 Due from county 2,612 1,109 1,363 507 1,143 1,298 1,207 Special assessments receivable 17,791 - 35,028 13,172 38,192 135,791 77,464 Total assets $943,167 $164,693 $234,198 $102,792 $190,084 $473,191 $256,368 Liabilities, Deferred Inflows of Resources, and Fund Balance Liabilities: Accounts payable $ - $475 $160 $150 $150 $275 $200 Deposits payable - - - - - - - Total liabilities 0 475 160 150 150 275 200 Deferred inflows of resources: Unavailable revenue 20,128 988 36,161 13,598 38,885 136,612 78,054 Fund balance: Restricted 923,039 163,230 197,877 89,044 151,049 336,304 178,114 Total liabilities, deferred inflows of resources, and fund balance (deficit)$943,167 $164,693 $234,198 $102,792 $190,084 $473,191 $256,368 134 Exhibit 1 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 2019 Street Improvement Bond Fund 2020 Street Improvement Bond Fund 2021 Street Improvement Bond Fund 2021 2020 $173,507 $348,754 $266,755 $376,033 $479,652 $86,998 $195,835 $57,434 $4,015,795 $4,217,433 807 956 529 790 812 528 809 - 12,220 15,053 1,167 1,411 565 1,028 1,139 752 1,772 - 17,073 16,767 89,508 157,868 31,961 180,553 223,027 - 190,108 320,388 1,510,851 1,445,157 $264,989 $508,989 $299,810 $558,404 $704,630 $88,278 $388,524 $377,822 $5,555,939 $5,694,410 $475 $475 $475 $ - $475 $175 $475 $275 $4,235 $4,404 - 7,534 - - - - - - 7,534 3,393 475 8,009 475 0 475 175 475 275 11,769 7,797 90,315 158,824 31,772 181,343 223,839 528 190,918 320,388 1,522,353 1,438,728 174,199 342,156 267,563 377,061 480,316 87,575 197,131 57,159 4,021,817 4,247,885 $264,989 $508,989 $299,810 $558,404 $704,630 $88,278 $388,524 $377,822 $5,555,939 $5,694,410 Street Improvement Debt Service Fund 135 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, 2021 With Comparative Totals For December 31, 2020 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 $296,610 $150,959 $181,443 $68,825 $121,754 $142,661 Intergovernmental - - - - - - Special assessments 19,855 - 13,463 3,472 12,454 28,191 Investment income (loss) (2,436) (213) (223) (138) (215) (780) Total revenues 314,029 150,746 194,683 72,159 133,993 170,072 Expenditures: Public works: Professional service 84 - 297 222 242 273 Debt service: Principal 520,000 145,000 165,000 80,000 100,000 145,000 Interest 17,037 14,275 24,075 21,000 28,800 28,763 Paying agent fees 569 664 160 150 150 275 Issuance costs - - - - - - Total expenditures 537,690 159,939 189,532 101,372 129,192 174,311 Revenues over (under) expenditures (223,661) (9,193) 5,151 (29,213) 4,801 (4,239) Other financing sources (uses): Bonds issued - - - - - - Refunding bonds issued - - - - - - Payment to refunding bond escrow agent - - - - - - Premium on bonds issued - - - - - - Transfers in 50,000 - 35,000 41,728 30,000 - Total other financing sources (uses) 50,000 0 35,000 41,728 30,000 0 Net change in fund balance (173,661) (9,193) 40,151 12,515 34,801 (4,239) Fund balance - January 1 1,096,700 172,423 157,726 76,529 116,248 340,543 Fund balance - December 31 $923,039 $163,230 $197,877 $89,044 $151,049 $336,304 136 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 2019 Street Improvement Bond Fund 2020 Street Improvement Bond Fund 2021 Street Improvement Bond Fund 2021 2020 $84,627 $122,033 $144,016 $76,981 $84,864 $102,231 $101,273 $234,965 $ - $1,913,242 $1,943,591 - - - - - - - - - - - 14,590 31,109 38,398 19,522 69,651 35,436 - - 32,041 318,182 314,186 (461) (277) (827) (734) (1,017) (1,406)(91) (179)(76) (9,073) 46,578 98,756 152,865 181,587 95,769 153,498 136,261 101,182 234,786 31,965 2,222,351 2,304,355 235 268 446 687 277 740 382 475 - 4,628 5,087 200,000 130,000 165,000 90,000 155,000 150,000 60,000 - - 2,105,000 1,875,000 18,953 40,030 45,263 25,038 66,825 82,475 37,800 89,520 - 539,854 503,622 200 475 475 - - - - - 464 3,582 6,662 29,531 - - - - - - - - 29,531 - 248,919 170,773 211,184 115,725 222,102 233,215 98,182 89,995 464 2,682,595 2,390,371 (150,163) (17,908) (29,597) (19,956) (68,604) (96,954) 3,000 144,791 31,501 (460,244) (86,016) - - - - - - - - 25,658 25,658 52,220 885,000 - - - - - - - - 885,000 - (885,000) - - - - - - - - (885,000) - 51,790 - - - - - - - - 51,790 - - - - - - - - - - 156,728 108,577 51,790 0 0 0 0 0 0 0 25,658 234,176 160,797 (98,373) (17,908) (29,597) (19,956) (68,604) (96,954) 3,000 144,791 57,159 (226,068) 74,781 276,487 192,107 371,753 287,519 445,665 577,270 84,575 52,340 - 4,247,885 4,173,104 $178,114 $174,199 $342,156 $267,563 $377,061 $480,316 $87,575 $197,131 $57,159 $4,021,817 $4,247,885 Street Improvement Debt Service Fund 137 CITY OF ST. ANTHONY, MINNESOTA BALANCE SHEET Exhibit 3 HRA TIF IMPROVEMENTS FUND December 31, 2021 With Comparative Totals For December 31, 2020 Chandler Apache Apache Place (Walmart) (Cub Foods)Eliminations 2021 2020 Assets Cash and investments $187,467 $3,122,500 $423,634 $ - $3,733,601 $2,385,786 Accounts receivable - net - - - - - 25,027 Property taxes receivable: Delinquent - 9,557 - - 9,557 13,371 Due from county - (149) - - (149) 3,895 Prepaid expenses - 528 - - 528 730 Interfund loan receivable 646,850 - 722,566 (1,369,416) - - Land held for resale - 370,356 - - 370,356 370,356 Total assets $834,317 $3,502,792 $1,146,200 ($1,369,416) $4,113,893 $2,799,165 Liabilities, Deferred Inflows of Resources, and Fund Balance Liabilities: Accounts payable $ - $939,678 $ - $ - $939,678 $388,147 Deposits payable - 73,458 - - 73,458 - Contracts payable - - - - - - Interfund loans payable - 2,328,742 - (1,369,416) 959,326 959,326 Total liabilities 0 3,341,878 0 (1,369,416) 1,972,462 1,347,473 Deferred inflows of resources: Unavailable revenue - 9,557 - - 9,557 13,371 Fund balance (deficit): Nonspendable - 528 - - 528 730 Restricted 834,317 150,829 1,146,200 - 2,131,346 1,944,535 Unassigned - - - - - (506,944) Total fund balance (deficit) 834,317 151,357 1,146,200 0 2,131,874 1,438,321 Total liabilities, deferred inflows of resources, and fund balance (deficit) $834,317 $3,502,792 $1,146,200 ($1,369,416) $4,113,893 $2,799,165 Tax Increment Financing Districts Improvements Total HRA TIF 138 CITY OF ST. ANTHONY, MINNESOTA SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES Exhibit 4 IN FUND BALANCE HRA TIF IMPROVEMENTS FUND For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 Chandler Apache Apache Place (Walmart) (Cub Foods) 2021 2020 Revenues: Tax increment collections $ - $2,474,570 $ - $2,474,570 $2,076,472 Investment income (loss) 25,293 (5,598) 27,505 47,200 83,295 Refunds and reimbursements - 13,720 - 13,720 16,977 Total revenues 25,293 2,482,692 27,505 2,535,490 2,176,744 Expenditures: General government - 31,793 - 31,793 55,463 Housing and redevelopment 4,149 112,205 3,667 120,021 361,851 Debt service: Interest - 93,150 - 93,150 93,150 Construction/acquisition costs - - - - 342 Developer incentives - 975,485 - 975,485 782,009 Total expenditures 4,149 1,212,633 3,667 1,220,449 1,292,815 Revenues over expenditures 21,144 1,270,059 23,838 1,315,041 883,929 Other financing sources (uses): Transfers out (3,000) (612,488) (6,000) (621,488) (622,937) Net change in fund balance 18,144 657,571 17,838 693,553 260,992 Fund balance (deficit) - January 1 816,173 (506,214) 1,128,362 1,438,321 1,177,329 Fund balance (deficit) - December 31 $834,317 $151,357 $1,146,200 $2,131,874 $1,438,321 Tax Increment Financing Districts Improvements Total HRA TIF 139 CITY OF ST. ANTHONY, MINNESOTA BALANCE SHEET Exhibit 5 STREET IMPROVEMENT PROJECT FUND December 31, 2021 With Comparative Totals For December 31, 2020 2019 Street Improvement Project Fund 2020 Street Improvement Project Fund 2021 Street Improvement Project Fund 2022 Street Improvement Project Fund 2021 2020 Assets Cash and investments $780,100 $289,421 $360,825 $ - $1,430,346 $1,542,397 Due from other governmental units - - 25,000 25,000 50,000 45,625 Accounts receivable - net - - 2,500 - 2,500 - Special assessments receivable - 45,501 - - 45,501 65,631 Total assets $780,100 $334,922 $388,325 $25,000 $1,528,347 $1,653,653 Liabilities and Fund Balance Liabilities: Accounts payable $5,000 $1,610 $6,767 $11,187 $24,564 $36,803 Contracts payable 723,247 45,378 228,934 - 997,559 552,807 Unearned revenue - - - 25,000 25,000 - Interfund payable - - - 194,094 194,094 159,578 Total liabilities 728,247 46,988 235,701 230,281 1,241,217 749,188 Deferred inflows of resources: Unavailable revenue - 45,502 - - 45,502 65,631 Fund balance (deficit): Restricted - 171,860 - - 171,860 653,305 Assigned 51,853 70,572 152,624 (205,281) 69,768 185,529 Total fund balance (deficit)51,853 242,432 152,624 (205,281) 241,628 838,834 Total liabilities and fund balance $780,100 $334,922 $388,325 $25,000 $1,528,347 $1,653,653 Total Street Improvement Project Fund 140 CITY OF ST. ANTHONY, MINNESOTA SCHEDULE OF REVENUES, EXPENDITURES AND Exhibit 6 CHANGES IN FUND BALANCE STREET IMPROVEMENT PROJECT FUND For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2019 Street Improvement Project Fund 2020 Street Improvement Project Fund 2021 Street Improvement Project Fund 2022 Street Improvement Project Fund 2021 2020 Revenues: Intergovernmental $ - $2,674 $25,000 $ - $27,674 $45,625 Special assessments - 20,129 175,030 - 195,159 61,129 Investment income (loss) (2,715) 2,040 93 - (582) 10,918 Miscellaneous - - 2,500 - 2,500 - Total revenues (2,715) 24,843 202,623 0 224,751 117,672 Expenditures: Debt service: Issuance costs - - 56,649 - 56,649 72,756 Construction/acquisition costs 273,500 484,119 1,947,000 205,281 2,909,900 2,484,885 Total expenditures 273,500 484,119 2,003,649 205,281 2,966,549 2,557,641 Revenues over (under) expenditures (276,215) (459,276) (1,801,026) (205,281) (2,741,798) (2,439,969) Other financing sources (uses): Bonds issued - - 2,059,342 - 2,059,342 2,947,780 Premium on bonds issued - - 85,250 - 85,250 154,026 Transfers out - - - - - (181,247) Total other financing sources (uses) 0 0 2,144,592 0 2,144,592 2,920,559 Net change in fund balance (276,215) (459,276) 343,566 (205,281) (597,206) 480,590 Fund balance (deficit) - January 1 328,068 701,708 (190,942) - 838,834 358,244 Fund balance (deficit) - December 31 $51,853 $242,432 $152,624 ($205,281) $241,628 $838,834 Total Street Improvement Project Fund 141 CITY OF ST. ANTHONY, MINNESOTA BALANCE SHEET Exhibit 7 HRA TIF DEBT SERVICE FUND December 31, 2021 With Comparative Totals For December 31, 2020 2015B G.O Tax Increment Refunding Bonds 2014B G.O Tax Increment Refunding Bonds 2021 2020 Assets Cash and investments $2,246 $1,343 $3,589 $4,930 Liabilities and Fund Balance Liabilities: Accounts payable $475 $475 $950 $950 Fund balance: Restricted 1,771 868 2,639 3,980 Total liabilities and fund balance $2,246 $1,343 $3,589 $4,930 HRA TIF Debt Service Fund Totals 142 CITY OF ST. ANTHONY, MINNESOTA SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES Exhibit 8 IN FUND BALANCE HRA TIF DEBT SERVICE FUND For The Year Ended December 31, 2021 With Comparative Totals For December 31, 2020 2015B G.O Tax Increment Refunding Bonds 2014B G.O Tax Increment Refunding Bonds 2021 2020 Revenues ($8) ($5) ($13) $ - Expenditures: Debt service: Principal 245,000 205,000 450,000 445,000 Interest 77,813 78,675 156,488 165,438 Paying agent fees 664 664 1,328 2,245 Total expenditures 323,477 284,339 607,816 612,683 Revenues over (under) expenditures (323,485) (284,344) (607,829) (612,683) Other financing sources (uses): Transfers in 322,813 283,675 606,488 610,437 Net change in fund balance (672) (669) (1,341) (2,246) Fund balance - January 1 2,443 1,537 3,980 6,226 Fund balance - December 31 $1,771 $868 $2,639 $3,980 HRA TIF Debt Service Fund Totals 143 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, 2021 With Comparative Totals For December 31, 2020 Water/Water Plant Sewer 2021 2020 Operating revenues: Charges for services $1,300,250 $1,314,285 $2,614,535 $2,355,173 Connection charges - - - - Total operating revenues 1,300,250 1,314,285 2,614,535 2,355,173 Operating expenses: Personal services 553,685 304,553 858,238 896,438 Supplies 96,697 8,743 105,440 200,605 Contracted services and other 106,134 40,315 146,449 140,281 Treatment charges (MCES) - 719,437 719,437 712,664 Utilities/insurance/other 181,452 31,508 212,960 206,852 Total operating expenses, excluding depreciation 937,968 1,104,556 2,042,524 2,156,840 Depreciation 461,935 150,124 612,059 619,233 Total operating expenses 1,399,903 1,254,680 2,654,583 2,776,073 Operating income (loss)($99,653) $59,605 (40,048) (420,900) Nonoperating revenues (expenses): Investment income (7,698)27,781 Interest expense (4,064)(8,540) Miscellaneous income 11,361 3,166 Total nonoperating revenues (expenses)(401)22,407 Income (loss) before capital contributions and transfers (40,449) (398,493) Capital contributions 1,002,344 7,006 Change in net position 961,895 (391,487) Net position - January 1 16,475,804 16,867,291 Net position - December 31 $17,437,699 $16,475,804 Operations Totals 144 III. STATISTICAL SECTION (UNAUDITED) This part of the City of St. Anthony, Minnesota’s Annual Comprehensive 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 Tables 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. Tables 1-4 Revenue Capacity These tables contain information to help the reader assess the City’s most significant local revenue source, the property tax. Tables 5-8 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. Tables 9-12 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. Tables 13-14 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. Tables 15-17 Sources: Unless otherwise noted, the information in these tables is derived from the comprehensive financial reports for the relevant year. 145 CITY OF ST. ANTHONY, MINNESOTA NET POSITION BY COMPONENT Last Ten Fiscal Years (Accrual Basis of Accounting) 2012 2013 2014 2015 Governmental activities: Net invested in capital assets $15,182,974 $16,217,013 $14,953,582 $10,604,121 Restricted for: Debt service 4,741,115 3,347,895 5,717,140 6,147,172 Redevelopment activity - - - 12,411 Pensions - - - - Public safety 21,521 21,528 23,471 19,283 Unrestricted (5,566,910) (5,239,277) (9,513,189) (10,391,885) Total governmental activities net position $14,378,700 $14,347,159 $11,181,004 $6,391,102 Business-type activities: Net invested in capital assets $4,523,383 $5,605,845 $6,036,192 $12,143,158 Unrestricted 5,814,241 5,965,067 5,570,360 5,649,685 Total business-type activities net position $10,337,624 $11,570,912 $11,606,552 $17,792,843 Primary government: Net invested in capital assets $19,706,357 $21,822,858 $20,989,774 $22,747,279 Restricted for: Debt service 4,741,115 3,347,895 5,717,140 6,147,172 Redevelopment activity - - - 12,411 Pensions - - - - Public safety 21,521 21,528 23,471 19,283 Unrestricted 247,331 725,790 (3,942,829) (4,742,200) Total primary government net position $24,716,324 $25,918,071 $22,787,556 $24,183,945 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 146 Table 1 2016 2017 2018 2019 2020 2021 $10,024,670 $10,274,946 $10,422,047 $9,746,635 $10,349,363 $10,068,970 6,282,913 6,537,390 7,097,594 6,339,750 6,406,488 6,255,605 - - - - - 197,073 219,561 200,075 177,502 247,024 360,702 25,634 23,865 31,141 39,505 46,912 39,084 1,689,042 (5,330,379)(5,776,551)(4,223,098)(776,593)2,413,816 $18,219,332 $11,725,383 $11,974,306 $12,080,294 $16,273,194 $19,138,177 $14,011,168 $22,151,578 $23,179,624 $24,525,702 $23,721,266 $24,563,962 3,171,781 3,529,653 3,483,257 3,569,879 4,072,013 4,738,737 $17,182,949 $25,681,231 $26,662,881 $28,095,581 $27,793,279 $29,302,699 $24,035,838 $32,426,524 $33,601,671 $34,272,337 $34,070,629 $34,632,932 6,282,913 6,537,390 7,097,594 6,339,750 6,406,488 6,255,605 - - - - - - 197,073 219,561 200,075 177,502 247,024 360,702 25,634 23,865 31,141 39,505 46,912 39,084 4,860,823 (1,800,726)(2,293,294)(653,219)3,295,420 7,152,553 $35,402,281 $37,406,614 $38,637,187 $40,175,875 $44,066,473 $48,440,876 Fiscal Year 147 CITY OF ST. ANTHONY, MINNESOTA CHANGES IN NET POSITION Last Ten Fiscal Years (Accrual Basis of Accounting) 2012 2013 (2)2014 2015 Expenses Governmental activities: General government $1,307,007 $1,029,147 $1,116,100 $1,342,360 Public safety 2,971,275 4,488,023 4,644,185 4,757,637 Public works 2,671,918 2,565,860 2,711,291 2,741,411 Parks and recreation 377,689 569,254 608,966 592,892 Services to other cities 1,039,504 - - - Housing and redevelopment 649,104 565,303 575,738 596,444 Interest on long-term debt 1,197,073 1,217,646 1,044,635 845,856 Total governmental activities expenses 10,213,570 10,435,233 10,700,915 10,876,600 Business-type activities: Liquor 6,618,975 6,479,809 5,879,240 5,728,876 Water 901,732 859,112 845,396 869,446 Water Filtration and Purification 114,337 124,505 239,074 185,964 Sewer 1,041,085 1,019,421 1,069,876 1,051,261 Stormwater - - - - Total business-type activities expenses 8,676,129 8,482,847 8,033,586 7,835,547 Total primary government expenses $18,889,699 $18,918,080 $18,734,501 $18,712,147 Program revenues Governmental activities: Charges for services: Services to other cities $1,192,138 $ - $ - $ - Other activities 1,067,084 2,506,369 2,374,306 2,414,912 Operating grants and contributions 447,554 585,950 499,538 499,126 Capital grants and contributions 1,566,565 780,072 1,070,975 1,367,745 Total governmental activities program revenues 4,273,341 3,872,391 3,944,819 4,281,783 Business-type activities: Charges for services: Liquor 7,139,381 6,908,143 6,078,039 5,893,916 Water 957,824 933,051 879,007 900,412 Water filtration and purification - - - 45,655 Sewer 877,794 947,632 921,242 953,568 Stormwater - - - - Operating grants and contributions - - - - Capital grants and contributions - - - - Total business-type activities program revenues 8,974,999 8,788,826 7,878,288 7,793,551 Total primary government program revenues $13,248,340 $12,661,217 $11,823,107 $12,075,334 Fiscal Year 148 Table 2 Page 1 of 2 2016 2017 2018 2019 2020 2021 $1,319,451 $1,337,698 $1,234,274 $1,587,360 $1,374,449 $1,349,129 7,053,595 6,018,470 4,886,105 4,789,232 5,125,951 4,840,277 4,134,783 2,988,291 3,005,637 2,960,916 2,915,895 2,947,640 472,436 472,700 488,132 536,095 438,126 646,257 - - - - - - 793,834 787,775 1,189,659 975,246 1,276,274 1,217,386 794,584 738,914 795,625 803,042 680,448 695,343 14,568,683 12,343,848 11,599,432 11,651,891 11,811,143 11,696,032 5,676,892 5,591,683 5,617,377 5,903,275 6,605,500 6,765,260 1,083,240 1,176,102 1,573,857 1,617,354 1,554,879 1,377,483 - - - - - - 1,048,937 1,144,273 1,243,591 1,253,102 1,202,141 1,240,813 191,655 244,135 249,911 308,786 367,578 337,796 8,000,724 8,156,193 8,684,736 9,082,517 9,730,098 9,721,352 $22,569,407 $20,500,041 $20,284,168 $20,734,408 $21,541,241 $21,417,384 $ - $ - $ - $ - $ - $ - 2,212,526 2,281,654 1,602,792 1,847,264 1,722,036 3,041,161 10,969,360 630,316 560,924 494,389 1,211,012 741,397 1,643,911 1,604,844 817,077 633,142 1,862,319 624,283 14,825,797 4,516,814 2,980,793 2,974,795 4,795,367 4,406,841 5,822,783 5,714,000 5,867,452 6,160,868 7,025,468 7,260,590 925,577 969,638 1,010,722 999,082 1,133,458 1,311,611 - - - - - - 1,012,979 1,122,738 1,162,167 1,211,209 1,224,881 1,314,285 192,748 197,242 201,729 206,700 211,360 212,308 130,932 - - - - - 1,166,747 569,716 126,991 - - - 9,251,766 8,573,334 8,369,061 8,577,859 9,595,167 10,098,794 $24,077,563 $13,090,148 $11,349,854 $11,552,654 $14,390,534 $14,505,635 Fiscal Year 149 CITY OF ST. ANTHONY, MINNESOTA CHANGES IN NET POSITION Last Ten Fiscal Years (Accrual Basis of Accounting) 2012 2013 (2)2014 2015 Net (expense) revenue: Governmental activities ($5,940,229)($6,562,842) ($6,756,096)($6,594,817) Business-type activities 298,870 305,979 (155,298)(41,996) Total primary government net (expense) revenue (5,641,359)(6,256,863)(6,911,394)(6,636,813) General revenues and other changes in net position: Governmental activities: Taxes: Property taxes $5,408,188 $5,703,707 $6,030,558 $5,893,900 Tax increment collections 1,335,674 1,405,872 1,131,896 1,121,627 Grants and contributions 10,639 26,384 461,964 516,015 Unrestricted investment earnings 55,206 25,914 189,441 146,023 Other 208,525 389,785 104,113 172,913 Gain on sale of capital assets 46,195 - 33,204 7,653 Transfers 610,000 (809,238)(17,982)(6,053,216) Total governmental activities 7,674,427 6,742,424 7,933,194 1,804,915 Business-type activities: Unrestricted investment earnings 122,833 51,593 111,512 86,407 Other 17,569 66,478 61,444 88,664 Transfers (610,000)809,238 17,982 6,053,216 Total business-type activities (469,598)927,309 190,938 6,228,287 Total primary government $7,204,829 $7,669,733 $8,124,132 $8,033,202 Change in net position: Governmental activities $1,734,198 $179,582 $1,177,098 ($4,789,902) Business-type activities (170,728)1,233,288 35,640 6,186,291 Total primary government $1,563,470 $1,412,870 $1,212,738 $1,396,389 (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 150 Table 2 Page 2 of 2 2016 2017 2018 2019 2020 2021 $257,114 ($7,827,034)($8,618,639)($8,677,096)($7,015,776)($7,289,191) 1,251,042 417,141 (315,675)(504,658)(134,931)377,442 1,508,156 (7,409,893)(8,934,314)(9,181,754)(7,150,707)(6,911,749) $6,160,156 $6,577,570 $7,128,703 $7,477,523 $7,946,178 $8,083,595 1,455,090 1,530,093 1,870,589 2,060,375 2,077,137 2,470,757 530,110 535,422 559,437 561,062 613,302 640,386 254,396 234,572 286,519 492,834 318,653 47,420 1,207,375 407,269 225,774 15,468 40,768 49,285 7,151 34,775 48,529 - - - 1,956,838 (7,986,616)(1,251,989)(1,824,178)212,638 (1,137,269) 11,571,116 1,333,085 8,867,562 8,783,084 11,208,676 10,154,174 31,097 21,812 32,771 83,886 45,267 (11,911) 64,805 72,713 12,565 29,294 - 6,620 (1,956,838)7,986,616 1,251,989 1,824,178 (212,638)1,137,269 (1,860,936)8,081,141 1,297,325 1,937,358 (167,371)1,131,978 $9,710,180 $9,414,226 $10,164,887 $10,720,442 $11,041,305 $11,286,152 $11,828,230 ($6,493,949)$248,923 $105,988 $4,192,900 $2,864,983 (609,894)8,498,282 981,650 1,432,700 (302,302)1,509,420 $11,218,336 $2,004,333 $1,230,573 $1,538,688 $3,890,598 $4,374,403 Fiscal Year 151 CITY OF ST. ANTHONY, MINNESOTA FUND BALANCES - GOVERNMENTAL FUNDS Last Ten Fiscal Years (Modified Accrual Basis of Accounting) 2012 2013 2014 2015 General Fund: Nonspendable $68,481 $74,049 $91,136 $107,412 Unassigned 1,906,856 2,074,490 2,384,345 2,338,600 Total general fund $1,975,337 $2,148,539 $2,475,481 $2,446,012 All other governmental funds: Nonspendable $129 $49 $1,631 $2,157 Restricted 8,594,337 2,002,737 7,627,714 6,491,789 Committed 222,184 33,015 78,180 94,107 Assigned 1,344,529 1,253,470 1,318,583 578,258 Unassigned (1,473,482) (175,561) (2,407,745) (2,062,163) Total all other governmental funds $8,687,697 $3,113,710 $6,618,363 $5,104,148 Fiscal Year 152 Table 3 Fiscal Year 2016 2017 2018 2019 2020 2021 $115,482 $119,651 $126,304 $101,105 $159,782 $146,580 2,204,185 2,280,463 2,381,460 2,489,685 3,238,208 3,730,206 $2,319,667 $2,400,114 $2,507,764 $2,590,790 $3,397,990 $3,876,786 $57,188 $15,339 $97,687 $1,451 $2,969 $35,953 6,907,253 7,002,918 7,466,883 7,176,386 7,955,365 7,396,858 105,503 125,069 124,355 102,948 201,822 337,173 13,148,229 6,568,756 5,374,785 5,502,668 6,513,862 6,632,453 (1,693,729) (1,452,918) (1,409,874) (892,137) (524,166) - $18,524,444 $12,259,164 $11,653,836 $11,891,316 $14,149,852 $14,402,437 153 CITY OF ST. ANTHONY, MINNESOTA CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS Last Ten Fiscal Years (Modified Accrual Basis of Accounting) 2012 2013 (2) 2014 2015 Revenues: General property taxes $5,416,328 $5,657,416 $6,053,119 $5,897,070 Tax increment collections 1,364,881 1,398,000 1,117,824 1,106,582 Licenses, fees and permits 290,985 342,390 351,102 296,465 Intergovernmental 1,530,983 792,477 1,464,479 1,644,481 Special assessments 427,467 587,191 491,988 621,931 Charges for services 1,736,274 1,932,268 1,787,611 1,879,520 Cable franchise fees 101,403 104,089 109,009 108,104 Fines and forfeits 130,560 129,363 126,584 130,823 Investment income 55,201 24,197 189,216 145,447 Contributions and donations 2,778 16,134 45,640 15,903 Miscellaneous 194,052 375,719 104,113 172,913 Total revenues 11,250,912 11,359,244 11,840,685 12,019,239 Expenditures: Current: General government 1,059,361 836,190 926,501 948,089 Public safety 2,671,890 4,174,754 4,357,563 4,352,048 Public works 818,851 1,042,876 1,001,378 1,043,791 Parks and recreation 344,702 420,826 463,057 446,684 Services to other cities 1,039,504 - - - Nondepartmental 160,513 56,117 59,265 40,139 Housing and redevelopment 240,097 150,070 143,863 119,294 Capital outlay 346,644 284,392 386,652 Debt service: Principal retirement 4,255,000 4,245,000 7,785,000 3,750,000 Interest 1,299,266 1,308,344 1,139,216 1,020,262 Paying agent fees 18,811 16,387 7,853 10,386 Professional service 3,480 6,682 17,104 16,971 Issuance costs 132,217 66,035 185,800 142,682 Construction/acquisition costs 2,253,448 1,618,986 2,959,264 3,750,269 Developer incentives 409,007 415,233 431,875 475,886 Total expenditures 15,052,791 14,641,892 19,902,361 16,503,153 Revenues over (under) expenditures (3,801,879) (3,282,648) (8,061,676) (4,483,914) Other financing sources (uses): Bonds issued 2,195,000 1,775,000 2,070,000 2,580,000 Refunding bonds issued 7,300,000 - 4,970,000 4,310,000 Redemption of refunded bonds - - - - Payment to refunded bond escrow agent (4,015,373) - - (4,332,935) Premium on debt issued 190,221 42,080 158,044 188,693 Sale of capital assets 10,962 25,244 13,390 25,860 Transfers in 1,626,372 2,021,913 1,908,166 2,069,259 Transfers out (1,016,372) (1,482,913) (1,514,667) (1,900,647) Total other financing sources(uses) 6,290,810 2,381,324 7,604,933 2,940,230 Net change in fund balance $2,488,931 ($901,324) ($456,743) ($1,543,684) Debt service as a percentage of noncapital expenditures 44.6% 43.6% 54.2% 36.5% Debt service as percentage of total expenditures 36.9% 37.9% 44.8% 28.9% (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 154 Table 4 2016 2017 2018 2019 2020 2021 $6,161,036 $6,633,308 $7,107,947 $7,484,962 $7,932,488 $8,089,661 1,476,275 1,541,874 1,861,251 2,093,697 2,076,472 2,474,570 304,079 358,230 295,955 268,565 318,232 1,116,447 2,283,016 1,925,460 1,136,456 1,595,355 3,181,190 1,066,555 570,549 589,332 658,532 463,256 377,937 520,805 1,701,246 1,732,288 1,097,940 1,153,385 1,186,119 1,679,720 113,672 115,079 101,612 97,200 95,517 103,768 93,529 76,057 85,538 96,292 87,539 120,694 252,830 233,668 284,452 485,833 313,955 48,456 4,120 102,340 16,046 1,550 1,050 263,635 11,637,694 407,269 217,071 253,239 75,397 69,817 24,598,046 13,714,905 12,862,800 13,993,334 15,645,896 15,554,128 1,066,236 1,119,746 1,048,214 1,327,603 1,225,447 1,188,512 5,164,270 5,346,521 4,861,358 4,698,695 5,169,275 5,437,381 1,051,747 1,034,427 1,208,232 1,071,071 944,755 878,009 409,979 406,748 431,091 474,430 403,034 635,920 - - - - - 38,421 45,095 61,262 78,233 28,475 33,949 156,312 132,437 160,255 169,010 499,439 250,492 398,844 431,511 1,037,417 165,581 533,874 778,766 2,620,000 5,815,000 2,895,000 4,910,000 2,900,000 3,155,000 820,607 846,526 887,798 897,980 842,600 858,152 14,793 5,760 29,308 11,822 10,995 6,655 16,339 6,677 2,823 - - 80,294 104,887 42,563 71,382 72,756 86180 4,867,870 9,908,037 2,720,619 1,970,296 2,485,227 2,943,077 627,639 649,910 1,029,217 804,391 782,009 975,485 17,333,351 25,853,282 16,415,157 16,650,494 15,897,886 17,227,578 7,264,695 (12,138,377) (3,552,357) (2,657,160) (251,990) (1,673,450) 2,900,000 3,120,000 2,610,000 1,145,000 3,000,000 2,085,000 - 2,190,000 - 1,335,000 - 885,000 - - - - - - - - - - (885,000) 69,485 302,540 92,831 225,916 154,026 137,040 15,186 28,244 64,754 23,050 - 19,091 4,003,953 312,760 287,094 335,000 250,000 250,000 (959,368) - - (86,300) (86,300) (86,300) 6,029,256 5,953,544 3,054,679 2,977,666 3,317,726 2,404,831 $13,293,951 ($6,184,833) ($497,678) $320,506 $3,065,736 $731,381 25.7% 41.5% 29.8% 40.1% 29.1% 29.7% 19.8% 25.8% 23.0% 34.9% 23.5% 5.0% Fiscal Year 155 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 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% 2019 8,962,344 2,362,141 119,600 11,444,085 (1,027,837) 10,416,248 70.22% 1,023,687,200 1.12% 2020 9,800,198 2,337,325 118,670 12,256,193 (1,054,049) 11,202,144 68.02% 1,094,841,000 1.12% 2021 10,602,682 2,514,579 130,188 13,247,449 (1,319,311) 11,928,138 66.39% 1,176,094,300 1.13% Source: Official Statements for the City of St. Anthony. (Hennepin and Ramsey Counties Combined) * Includes tax increment tax capacity and net fiscal disparities impact. 156 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 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% 2019 70.22%36.01%10.63%41.86%158.73% 2020 68.02%33.82%9.87%41.08%152.79% 2021 66.39%31.31%9.52%38.54%145.76% 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* 157 CITY OF ST. ANTHONY, MINNESOTA PRINCIPAL PROPERTY TAXPAYERS Table 7 Current Year and Ten Years Ago Percentage Percentage Tax of Total City Tax of Total City Capacity Capacity Capacity Capacity Taxpayer Value Rank Value Value Rank Value St. Anthony Leased Housing Assoc. I $755,350 1 5.50% 315,158 2 3.68% L/L Equinox Associates LLC 420,164 2 3.06% 176,890 4 2.06% Inland Silver Lake Village LLC 420,074 3 3.06% 711,020 1 8.29% Autumn Woods Partners LP 306,875 4 2.23% 188,225 3 2.20% Northern Gopher Enterprises Inc 222,990 5 1.62% - - - St. Anthony Leased Housing Assoc. II 221,443 6 1.61% - - - Autumn Woods III LLC 142,413 7 1.04% - - - Landau - 3925 Pleasant LLC 142,175 8 1.03% - - - St. Anthony Shopping Center 136,250 9 0.99% 95,250 5 1.11% Chandler Place LP 133,659 10 0.97% 82,124 6 0.96% St. Anthony Nursing Home LP - - - 78,364 7 0.91% Landau - 3925 Pleasant LLC - - - 75,097 8 0.88% Herama Properties - - - 59,250 9 0.69% Hannay Harria Real Estate LLC - - - 51,750 10 0.60% Total $2,901,393 21.11% $1,833,128 21.38% Total All Property $13,744,262 $8,573,245 Source: Official Statements for the City of St. Anthony 20122021 158 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 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%26,941 5,372,700 99.00% 2014 5,633,007 5,564,141 98.78%(35,583) 5,528,558 98.15% 2015 5,831,737 5,733,450 98.31%(9,206) 5,724,244 98.16% 2016 6,050,812 5,974,249 98.73%23,753 5,998,002 99.13% 2017 6,450,785 6,400,683 99.22%4,964 6,405,647 99.30% 2018 6,850,011 6,801,704 99.29%278 6,801,981 99.30% 2019 7,311,453 7,226,085 98.83%13,032 7,239,117 99.01% 2020 7,609,458 7,611,336 100.02%18,468 7,629,804 100.27% 2021 7,865,595 7,836,798 99.63% (1) Net of Market Value Homestead Credit which was subject to State unallotments or other reductions. Sources: St. Anthony Finance Department Not Available Fiscal Year of the Levy Collected Within The Total Collections to Date 159 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. Governmental Year Bonds Bonds Bonds Bonds Bonds Bonds Activities 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 2019 18,330,000 755,000 6,240,000 1,850,000 - 1,280,000 28,455,000 2020 18,400,000 610,000 5,795,000 1,505,000 - 2,245,000 28,555,000 2021 18,530,000 465,000 5,345,000 1,150,000 - 1,995,000 27,485,000 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 160 Table 9 Sewer/ Water Percentage Sewer/ Total Bonds Total Percentage of Adjusted Water Business-Type Per Primary of Personal Per Tax Capacity Bonds Activities Customer Government Income Capita* 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 8.12% 3,500 273.18% 715,000 715,000 311 29,170,000 7.65% 3,234 254.91% 580,000 580,000 242 29,135,000 6.67% 3,147 230.42% 440,000 440,000 183 27,925,000 Not Available Business-Type Activities 161 - This page intentionally left blank - 162 CITY OF ST. ANTHONY, MINNESOTA DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT Table 10 As of December 31, 2021 Estimated Estimated Share of Debt Percentage Overlapping Governmental Unit Outstanding Applicable* Debt Debt repaid with property taxes: (1) School Districts: ISD No. 282 $27,970,000 85.9816% $24,049,054 Counties: Hennepin 1,071,610,000 0.3726% 3,992,819 Ramsey 116,030,000 0.4880% 566,226 Other: Metropolitan Council 187,200,000 0.2448% 458,266 Three Rivers Park District 51,320,000 0.5413% 277,795 Subtotal - overlapping debt 29,344,160 City direct debt (2)27,485,000 Total direct and overlapping debt $56,829,160 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. 163 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 2012 2013 2014 2015 Debt limit $21,518,115 $20,237,210 $20,226,682 $21,500,127 Total net debt applicable to limit 4,902,237 4,450,131 4,031,063 3,615,981 Legal debt margin $16,615,878 $15,787,079 $16,195,619 $17,884,147 Total net debt applicable to the limit as a percentage of debt limit 22.78% 21.99% 19.93% 16.82% Source: Market Value - Hennepin County and Ramsey County, Minnesota Assessor's Offices Legal Debt Margin Calculation for Fiscal Year 2021 164 Table 11 $1,176,094,300 35,282,829 5,460,000 - 5,460,000 $29,822,829 2016 2017 2018 2019 2020 2021 $24,651,217 $26,027,076 27,507,354$ 30,710,616$ 32,845,230$ 35,282,829$ 3,176,798 3,244,392 2,804,561 3,640,000 6,095,000 5,460,000 $21,474,419 $22,782,684 24,702,793$ 27,070,616$ $26,750,260 $29,822,829 12.89% 12.47% 10.20% 11.85% 18.56% 15.47% Legal Debt Margin Calculation for Fiscal Year 2021 165 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 2012 $150,734 $0 $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 - - - - - - 2019 - - - - - - 2020 - - - - - - 2021 - - - - - - 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 166 Table 12 Page 1 of 2 Utility Less Net Service Operating Available Charges Expenses Revenue Principal Interest Coverage $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%) 2,210,291 2,230,804 (20,513) 130,000 15,600 (14%) 2,355,173 2,156,840 198,333 135,000 12,950 134% 2,614,535 2,042,524 572,011 140,000 10,200 381% Water and Sewer Revenue Bonds Debt Service 167 CITY OF ST. ANTHONY, MINNESOTA PLEDGED REVENUE COVERAGE Table 12 Last Ten Fiscal Years Page 2 of 2 Special Tax Assessment Increment Collections Principal Interest Coverage Collections Principal Interest Coverage $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% 463,256 2,620,000 629,069 14% 2,093,697 420,000 173,988 352% 377,937 2,455,000 582,534 12% 2,076,472 445,000 165,438 340% 520,805 3,455,000 590,993 13% 2,474,570 450,000 156,488 408% Debt Service Improvement Bonds Debt Service Tax Increment Bonds 168 - This page intentionally left blank - 169 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) 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 9,067 380,152,109 41,927 2.50% 2019 9,020 372,002,840 41,242 2.60% 2020 9,257 428,136,250 46,250 6.18% 2021 Not Available 3.63% 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 170 CITY OF ST. ANTHONY, MINNESOTA PRINCIPAL EMPLOYERS Table 14 Current Year and Ten Years Ago Employer Employees Rank Employees Rank ISD No. 282 (St. Anthony - New Brighton) 352 1 225 4 Cub Foods 250 2 250 2 St. Anthony Health Center/Chandler Place 250 3 293 1 B&F Fastener Supply 100 4 City of St. Anthony 100 5 132 5 St. Charles Borromeo Parish 80 6 Happy's Potato Chip Company 50 7 50 8 Culvers 43 8 37 10 Marshall Manufactruing 40 9 40 9 Village Pub 35 10 Wal-Mart 249 3 Triangle Industries 80 6 Industrial Custom Products 50 7 Total 1,300 1,406 Source: Official Statements for the City of St. Anthony 20112021 171 CITY OF ST. ANTHONY, MINNESOTA FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION/PROGRAM Last Ten Fiscal Years Function/Program 2012 2013 2014 2015 General government: Administration 2.00 2.00 2.00 2.00 Finance 4.25 4.25 4.25 4.50 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 6.00 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 6.00 6.00 6.00 4.50 Silver Lake Village - part-time 6.00 6.00 6.00 4.50 Total 87.75 87.75 87.75 85.00 Source: City of St. Anthony Full-Time Equivalent Employees as of December 31, 172 Table 15 2016 2017 2018 2019 2020 2021 2.50 2.50 2.60 2.85 1.85 3.10 4.00 4.00 4.00 4.00 4.00 4.50 23.00 20.00 20.00 20.00 20.00 20.00 2.50 2.50 2.00 2.00 2.00 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 1.00 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 6.00 6.00 6.00 6.00 6.00 4.50 4.50 4.65 4.65 4.65 4.65 4.00 4.00 4.25 4.25 4.25 4.25 84.50 82.50 82.50 82.75 80.75 83.50 Full-Time Equivalent Employees as of December 31, 173 CITY OF ST. ANTHONY, MINNESOTA OPERATING INDICATORS BY FUNCTION/PROGRAM Last Ten Fiscal Years Function/Program 2012 2013 2014 2015 Police: * Moving violation 1,851 2,068 2,017 2,213 Non-moving violations 200 396 321 197 DWI 39 34 39 23 Traffic arrests 578 679 633 661 Gross and misdemeanor arrests 164 244 130 77 Felony arrests 37 67 53 44 Warrant arrests 20 23 25 24 Fire: Emergency responses 1,267 1,409 1,363 1,425 Medical responses 933 1,016 1,012 1,062 Fires 40 26 26 26 Inspections 116 88 256 238 Building inspection: Permits issued 272 303 288 533 Other public works: Street reconstruction/resurfacing (miles)1 1 1 2 Potholes filled (tons)84 39 34 66 Water: New connections 39 122 28 7 Water mains breaks 10 7 8 8 Average daily consumption (thousands of gallons)884 822 763 770 Peak daily consumption (thousands of gallons)1,879 1,724 1,635 1,571 * Police statistics are for St Anthony only Source: City of St. Anthony Fiscal Year 174 Table 16 2016 2017 2018 2019 2020 2021 1,488 846 1,376 1,944 2,233 1,740 192 65 394 376 177 246 15 21 39 43 31 29 469 249 292 371 412 305 50 63 86 108 126 154 51 20 59 36 25 30 13 20 22 41 43 40 1,534 1,621 1,521 1,538 1,553 1,661 1,113 1,166 1,116 1,140 1,155 1,182 14 17 16 17 12 23 173 216 210 247 68 204 342 292 261 255 310 322 1 1 0.5 1.2 0.3 1.6 23 198 64 53 65 17 1 29 30 3 28 1 2786 3 4 715 731 759 702 740 811 1,153 1,453 1,764 1,642 1,490 1,750 Fiscal Year 175 CITY OF ST. ANTHONY, MINNESOTA CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM Last Ten Fiscal Years Function/Program 2012 2013 2014 2015 Police: Stations 1 1 1 1 Fleet units 14 14 14 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) 11.1 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 1 1 2 Stormwater retention ponds 5 5 6 6 Storm sewers (miles)15.0 15.0 15.0 15.0 Source: City of St. Anthony Fiscal Year 176 Table 17 2016 2017 2018 2019 2020 2021 111111 14 13 13 13 13 13 111111 888888 24.7 24.7 24.7 24.7 24.7 24.7 11.6 12.3 12.3 12.6 12.6 18.3 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 32.0 288 288 288 288 288 288 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 222222 666666 15.0 15.0 15.0 15.0 15.0 15.0 Fiscal Year 177