1982.07.19 CC Minutes - Laserfiche WebLink

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4 . ARNE H. CARLSON STATE AUDITOR • SUITE 400; 555 PARK STREET ST. PAUL, MINNESOTA 55103 For Further Information : FOR IMMEDIATE RELEASE (612) 296-2551 STATE AUDITOR ARNE CARLSON ISSUES HUGO FISCAL HEALTH PROFILE State Auditor Arne Carlson today told Hugo city officials that their fiscal health profile shows that "you are a city living within your means. " "The financial managers have planned prudently, and these are times when this kind of planning is essential. " Carison' s office has designed the Minnesota Financial Health Program (MFHP) which is a five-year fiscal stress analysis (1976-1980) for cities with populations of 2, 500 or more. Carlson, Beth Sullivan, Director of MFHP, and Paul Damrow, Fiscal Analyst for MFHP, are providing assistance to cities in the interpretation of their profiles. Carlson continued his analysis. "The value of taxable property has increased about 10% per year equaling 53. 55% growth during the period studied. And when compared to the 45. 8% five-year inflation rate, the increase is just slightly more than inflation. " "The 400% growth in population between 1970 and 1976 brought about an increase in the dollar value of building permits. Even in 1980 when other cities show a decrease in the amount of building, Hugo ' s building continued. " Carlson said that the prudent financial planning appears in thel revenues and expenditures of the governmental funds. "Revenues and current expenditures increased much less than the inflation rate - revenues by 13.01% and current expenditures by 17. 97% , while total expenditures, which includes capital outlay, actually declined. " "Although the undesignated general fund balances has a rather erratic pattern, the 1980 fund balance stood at $60, 605. This is equal to 18. 15% of total expenditures for the year and 38.99% of the dollars received from the state and federal governments. "