1978 Annual Financial Report (1
II
G
r
r
ANNUAL FINANCIAL REPORT
of the
CITY OF FRIDLEY, MINNESOTA
for the year ended
� DECEMBER 31, 1978
1
� DEPARTMENT OF FINANCE
MARVIN C. BRUNSELL, DIRECTOR OF FINANCE
MEMBER OF MUNICIPAL FINANCE OFFICERS' ASSOCIATION
p-� OF THE UNITED STATES AND CANADA
i� �
71
7 CITY OF FRIDLEY, MINNESOTA
TABLE OF CONTENTS
Exhibit
Number Page
SECTION I
INTRODUCTORY SECTION
Letter of Transmittal I-XI
Auditor's Opinion XII
Certificate of Conformance XIII-XIV
Elected and Appointed Officials XV
Organizational Chart XVI
^-, SECTION II
COMBINED FINANCIAL SECTION
Combined Balance Sheet - All Funds I 1
Combined Statement of Revenue, Expenditures, and
Changes in Fund Balances - All Governmental
71 Fund Types II 3
Statement of Income and Changes in Retained
Earnings - Proprietary Fund Type III 5
Statement of Changes in Financial Position -
,. Proprietary Fund Type IV 6
Statement of Cash and Security for Deposits V 7
Summary Statement of Cash Receipts and Disbursements -
All Funds V 7
7 Statement of Investments VI 8
1
Bonds Payable - All Funds VII 10
fl Combined Statement of Delinquent Taxes
Receivable by Funds VIII 14
eTh
1
n
ri..., CITY OF FRIDLEY, MINNESOTA
TABLE OF CONTENTS (CONTINUED)
flExhibit
Number Page
,. SECTION III
FINANCIAL SECTION BY FUNDS
General Fund
Balance Sheet IX 15
rj Analysis of Changes in Fund Balance X 16
Statement of Revenue - Estimated and Actual XI 17
Statement of Expenditures - Compared with
Authorizations XII 19
Special Revenue Funds
Balance Sheets XIII 22
flAnalysis of Changes in Fund Balances XIV 24
1-1-4) Statement of Revenue and Expenditures XV 26
General Debt Service Fund
Balance Sheet XVI 28
Statement of Revenue, Expenditures and Analysis
7 of Fund Balance XVII 29
Capital Project Funds
7 Balance Sheets XVIII 30
Analysis of Changes in Fund Balance XIX 31
1
Statement of Revenue and Expenditures XX 32
Special Assessment Funds
71
Balance Sheets XXI 33
fi Analysis of Changes in Fund Balances XXII 34
Statements of Revenue and Expenditures XXIII 35
Statements of Cash Receipts and Disbursements XXIV 36
tn-
I
71 zi.
ti
7
CITY OF FRIDLEY, MINNESOTA
TABLE OF CONTENTS (CONTINUED)
nExhibit
Number Page
i
Enterprise Funds
Balance Sheets XXV 37
Combined Statement of Income and Changes in
Retained Earnings XXVI 38
r Combined Statement of Changes in Financial
Position XXVII 39
Municipal Liquor Fund
Balance Sheet XXVIII 40
j1Analysis of Changes in Retained Earnings XXIX 41
Statement of Income XXX 42
flStatement of Operating Expenses XXXI 44
Statement of Changes in Financial Position XXXII 45
Public Utility Fund
^' Balance Sheet XXXIII 46
Analysis of Changes in Retained Earnings XXXIV 47
rStatement of Income XXXV 48
.., Statement of Changes in Financial Position XXXVI 50
Christenson Building Fund
Balance Sheet XXXVII 51
Analysis of Changes in Retained Earnings XXXVII 51
Statement of Income XXXVIII 52
Statement of Changes in Financial Position XXXVIII 52
General Fixed Assets
Statement of General Fixed Assets XXXIX 53
Schedule of General Fixed Assets by Functions
and Activities - XXXX 54
' I
Statement of Changes in General Fixed Assets XXXXI 56
i iii
r,
CITY OF FRIDLEY, MINNESOTA
TABLE OF CONTENTS (CONTINUED)
nExhibit
Number Page
,, General Long-Term Debt
Statement of General Long-Term Debt XXXXII 57
p.
Notes to the Financial Statements
r. Note 1 - Summary of Significant Accounting Policies 58
( '
Note 2 - Pending Litigation 59
Note 3 - Deferred Credit - Metropolitan Waste
Control Commission (Public Utility Fund) 60
Note 4 - Pension Plans (All Funds) 60
Note 5 - Leases 63
! ! Note 6 - Bonded Debt 63
Note 7 - Revenue Bonds 63
Note 8 - Bond Covenants 64
Note 9 - Industrial Revenue Bonds 64
Note 10 - Vacation and Sick Leave 63
r..
SECTION IV
STATISTICAL SECTION
Table
Number
General Fund Expenditure Analysis by Function Table 1 65
., General Fund Revenue by Source Table 2 66
Property Tax Levies and Collections Table 3 67
Assessed Value and Estimated Market Value of
all Taxable Property Table 4 68
History of Tax Levies and Mill Rates Table 5 70
Statement of Valuations and Levies by Classes
of Property -- for Taxes Payable in 1978 Table 6 72
-U,
r,
CITY OF FRIDLEY, MINNESOTA
TABLE OF CONTENTS (CONTINUED)
71 Table
Number Page
r,
Significant Minnesota Tax Policies Table 7 73
Special Assessment Levies and Collections Table 8 74
n Debt Service Requirements - All Funds Table 9 75
! I Debt Service Requirements - General Obligation Bonds Table 10 76
7 Debt Service Requirements - Permanent Special
Assessment Bonds Table 11 77
Debt Service Requirements - Temporary Special
71 Assessment Bonds Table 12 78
Debt Service Requirements - Public Utility Revenue
n and Water Improvment Bonds Table 13 79
Computation of Legal Debt Margin Table 14 80
Property Tax Rates and Tax Levies - All Overlapping
Governmental Units Table 15 82
Computation of Direct and Overlapping Bonded Debt
and Comparative Debt Ratios Table 16 84
7� Ratio of Annual Debt Service Expenditures for
! I General Bonded Debt to Total General Government
Expenditures Table 17 85
Ratio of Net Bonded Debt to Property Values and
1 Net Bonded Debt per Capita Table 18 86
— Schedule of Insurance in Force Table 19 87
Principal Officials Annual Salaries and Surety Bonds Table 19 87
City Capital Improvement Financing Policy Table 20 88
Miscellaneous Statistical Information Table 21 89
General Information Table 22 92
7
1
7 v
F TDT CTION I ` A
UOY
.
r r
A y
_ ____x "'-',;-":',4' s_ F 'a!
❑ ti
as
1 r �
4�.a �nFH ,
.-yr i. 4,'? i .i &. 1ti:+ `y. l0Y't ,a 4t"_ fit
f S JZ ,l - 4c.-!'!k`!4n 11 - - yr.�,
_ ,,' r,�
r 4 i i ' f te ;i k 5 t -' ..< ti s y '''.7.n . a s s•• l' �is i'7. r,} -`Y Lcu �' ��`�'�C�""K.-. ;+�� i? .,_,f{„ ✓t ' ::mss..
, , i # r -t!� 1 Y' IN � eT x *R ", w+ s k . * ,Y _ Iti' - y� w°I"A.-.
it 5f ° ' '`.;:t:rr wp - -4. .
tom
t i
��.y' iC T'''',. .:,L _ . 4 r-. h.� '1 ,HG^ {r-tl *b y may¢
F 4f4t �" i _ .f kw�f.,. 1 6. Lnal �21 :Vi;{. Y :y �' k ......'"?..••••
Y
c}� y
Tss«r •..•t • a* t . Y•
i
$* �
.
v r t:T
jF M t4 J. -.,4S' +11
Lf
a
A
-_:,- _r-,_ii
i i...
i .4.- y.F,
"",rte+ CITY OF FRIDLEY
6431 UNIVERSITY AVENUE N.E., FRIDLEY, MINNESOTA 55432
TELEPHONE ( 612)571-3450
May 31 , 1979
Mr. Nasim M. Qureshi , City Manager
Mayor William J. Nee and Council Members
Fridley, Minnesota 55432
Dear Mr. Qureshi , Mayor Nee and Council Members:
The annual financial report for the City of Fridley for the fiscal year ended
December 31 , 1978 is herewith submitted.
ACCOUNTING SYSTEM AND REPORTS
The organizational form and contents of this report were prepared generally
in accordance with standards prescribed by the Municipal Finance Officers
Association of the United States and Canada, the American Institute of
-,-, Certified Public Accountants, the State of Minnesota Auditor's Office, and
the City Charter.
General and Special Revenue, and General Debt Service funds are presented
on a modified accrual basis of accounting. All other funds are presented on
an accrual basis of accounting. (See Notes to Financial Statements. )
A complete budgetary system of accounts is maintained for those funds for
which governmental budgetary principles are applicable.
.-• Budgetary control is maintained in compliance with City Charter requirements.
The Charter provides that it is the duty of the City Manager to strictly enforce
the provisions of the budget. The management policy of the City is such that
the existence of a particular item or appropriation in the approved budget
does not mean that it will or must automatically be expended. It is the
policy of the City to control budgets at the division level . Budget adjust-
ments between City divisions are made upon approval of a resolution by the
City Council . The City Charter provides that the City Council shall not have
power to increase the total amount of the budget, whether by insertion of
new items or otherwise, beyond the estimated revenue unless the actual revenue
•- exceeds such revenue estimates, and in that event not beyond such actual
revenue. There is a constant review process. Expenditures are not approved
until it has been determined that 1 ) adequate funds have been appropriated,
2) the expenditure is necessary, and 3) funds are available.
PP
The City has not borrowed funds during the past year, either on a short-term
eTh or long-term basis, to meet current operating expenses.
I
Page 2
May 31 , 1979
City Manager, Mayor and Council Members .7
r )
The City of Fridley has computerized substantially all of its financial -
operation. This has been done through the use of computer facilities and
programs available through The Local Government Information Systems
Association (LOGIS).
LOGIS was formed under the Minnesota Joint Powers Act to provide an organiza- rl
tion through which a number of municipalities could jointly and cooperatively
provide for the establishment, operation and maintenance of data processing fl
facilities and management information systems for the use and benefit of
the members and others, The Articles of Agreement became effective May 25,
1972 and the By-laws were adopted May 26, 1972.
The accounting modules which have been computerized are for payroll , utility ' J
billing, financial control , equipment control , fixed asset, and liquor
inventory.
The following is a brief explanation of the purpose of each type of fund
used in managing and accounting for City operations, 7
GENERAL FUND 7
Punpoae
The General Fund was established to account for revenue and expenditures �''1
necessary to provide basic governmental services to the City, such as general .
government, public safety, highway maintenance, park and recreation services.
This is one of the four operating funds of the City. The other three
operating funds are the Municipal Liquor, Public Utility, and the Christenson
Building funds.
comment,
On December 31 , 1978, the General Fund showed an unappropriated fund balance of
$1 ,630,478 and an appropriated fund balance of $204,638. ; j
The General Fund Balance Sheet as presented reflects the City's accrued
liability for vacation benefits for all City employees. It also includes the
estimated potential liability for sick leave benefits for all City employees,
One-third of the total sick leave accumulation for all City employees was
used as the basis for estimating the City's liability for sick leave. ' I
The unappropriated fund balance of $1 ,630,478 is available to finance future ' I
City budgets. In actual practice, the bulk of this amount represents working n
capital for the General Fund operations. The City receives most of its tax
revenue during the months of July and December. This necessitates carrying a
relatively high fund balance in order to maintain the City's policy of not
funding General Fund operating expenditures by borrowing. The General Fund '1
balance increased by $477,337 in 1978. Of the $477,337, $277,889 was the
result of actual expenditures being under budgeted expenditures, and $216,960
was the result of actual revenue being over the estimate. Revenue exceeded
^1
II I
n
j Page 3
May 31 , 1979
City Manager, Mayor and Council Members
1
estimates in several areas including license revenue, grants, charges for
services, interest earnings and insurance rebates from the State of Minnesota
used to finance fire and police pensions. Revenue in these areas was higher
than expected, and can be expected to return to a more normal pattern in the
., future. Expenditures were under the budget in several areas, particularly in
the park and recreation area. For additional detail , see Exhibits XI and XII.
., In the financial statements which follow, revenue is recorded by source while
expenditures are recorded by division. Included in intergovernmental revenue
in the statement of revenue are payments received from the State Property Tax
Relief Fund for Homestead Credit.
r.
� 1 A plan of financial operations of the Fund is set forth in the annual budget
adopted by the City Council . General Fund statements are prepared to show the
., budget estimate and the actual amount expended. A condensed summary of
! revenue and expenditures is shown below.
Revenue received for General Fund operations totaled $4,466,665 in 1978, an
r, increase of $426,230 or 10.5% over the previous year. The following table
represents an analysis of the major revenue sources for the General Fund for
the years 1978, 1977 and 1976.
1978 1977 1976
Revenue Source Budget Actual Actual Actual
General property taxes $1 ,752,516 $1 ,846,370 $1 ,703,364 $1 ,762,205
Licenses and permits 149,770 179,868 191 ,243 144,451
Intergovernmental revenue 1 ,545,842 1 ,576,630 1 ,346,412 811 ,406
Charges for current services 72,295 104,069 99,755 63,200
1 Fines and forfeitures 75,004 85,789 79,166 66,453
From use of money and property 86,500 133,386 88,042 83,939
^ Interfund transfers 393,556 388,628 384,743 385,388
Other revenue 101 ,235 151 ,925 147,710 95,797
Prior year's fund balance 72,987
r% Total $4,249 705 $4,466,665 $4,040,435 $3,412,839
Expenditures for general governmental operations totaled $3,971 ,886 in 1978,
an increase of $369,883 or 10.3% over 1977.
Expenditure by Function
General Government $ 617,059 $ 572,381 $ 484,663 $ 476,286
Public Safety 1 ,470,095 1 ,446,302 1 ,239,730 1 ,146,181
Civic Center 111 ,427 102,444 109,647 80,067
Public Works 1 ,072,270 1 ,028,594 928,742 879,626
Parks and Recreation 927,798 822,095 839,151 699,304
Reserve for Contingencies 51 ,056
r.
Total $4,249,705 $3,971 ,816 $3,601 ,933 $3,281 ,464
III
Page 4
May 31 , 1979
City Manager, Mayor and Council Members
Levy Limitations (°-'1
r-
Minnesota Levy Limitation Law was adopted in 1972 and in general has placed
a limitation on the amount of property tax a City can levy. The amount of
increase is limited to 6% per capita per year. Since inception, various ra
amendments to the law have been enacted but the basic principle has remained
the same. The following table summarizes the City's compliance with the
law for the years 1979, 1978, 1977 and 1976.
Shown by Year Collectible 1979 1978 1977 1976 it
Authorized levy $2,288,081 $1 ,869,304 $1 ,756,263 $1 ,704,706
Plus allowable special levies 328,580 339,266 398,149 353,724 ' I
Total allowable levy $2,616,661 $2,208,570 $2,154,412 $2,058,430
Actual levy 2,348,124 2,199,318 2,057,083 1 ,854,061
Excess not used $ 268,537 $ 9,252 $ 97,329 $ 204,369 it
The City is operating within the authorized levy limitation. For the taxes
collectible in the year 1978, the City was $9,252 under the levy limitation n
and will be $268,537 under the limitation for 1979. The City Council took II
action in 1978 to increase the allowable tax base by 10% for 1979. This is
provided for in the State Statutes. n
F.i s cat DA4 po L LeA
The State Legislature enacted a "Fiscal Disparity Law" in 1971 which was not (7
implemented until taxes payable in 1975 due to a constitutional challenge.
The law provides for the "pooling" of 40% of all new commercial and industrial
property valuations in the seven-county metropolitan area. In turn, valuation � I
from this "pool" is to be redistributed to taxing jurisdictions according to
specific criteria.
Although it is impossible to determine the future impact of the "Fiscal II
Disparity Law' on the City of Fridley, the law had the effect of reducing
the City's taxable valuation by $6,271 ,738 for the taxes collectible in 1978. II
SPECIAL REVENUE FUNDS n
PWLpa4 e
Special Revenue funds are used to account for revenue derived from specific fl
taxes or other earmarked revenue sources. They are usually required by
Statute, Charter provisions or local ordinance to finance particular functions
or activities of government. II
Muvu,c Lpa e. State-Aid Fund
Gasoline tax collections apportioned to the City by the State of Minnesota
for street construction are accounted for in this fund. Gasoline tax
apportionments used for maintenance purposes are accounted for in the General 1
IV El
Page 5
May 31 , 1979
r City Manager, Mayor and Council Members
r`1
Fund. Transfers are also made back to this fund from Special Assessment funds.
pm
These funds are derived from the excess of the construction funds received
from the State of Minnesota plus the special assessments levied less the
cost of the project. This excess is transferred (see page 4) back to the
pm Municipal State-Aid Fund where the funds are earmarked for seal coating
projects, or the City's share of sidewalk or street improvement projects.
r
Revenue Shaking Fund
^ The Revenue Sharing Fund was established to account for the revenue received
from the Federal Government in accordance with the "State and Local Fiscal
Assistance Act of 1972." Expenditure of these funds can be made only in
accordance with the provisions of that act. The City's share of these
r Revenue Sharing funds for the year 1978 was $218,387.
Revenue Sharing funds are transferred from the Revenue Sharing Fund to the
r., General Fund where the detailed amounts are budgeted.
1 !
r■
Anti-Recebd-.on Fund
No anti-recession funds were received by the City in 1978. In 1978, $12,108
of anti-recession funds were transferred to the General Fund where this
amount was appropriated and spent.
STEP Fund
The STEP Fund was set up to account for phase II of the Selective Traffic
Enforcement Program. The program is being funded by a grant from the State
pm of Minnesota and City funds.
7 Teen Cen-en Fund
The Teen Center Fund was set up to account for the revenue and expenditures
p„ associated with the operation of a teen center and teen dances.
Community Development 8Jock G1cant
n
A $140,000 Community Development Block Grant was approved for the City of
Fridley during 1977. Funds are received from HUD as money is spent and HUD
r, is billed. Of the $140,000 grant, $93,500 is scheduled for home rehabili-
tation grants, $20,400 for housing maintenance, $21 ,000 for administration and
$5,100 for a resource center.
■
I
V
Page 6
May 31 , 1979
City Manager, Mayor and Council Members
GENERAL DEBT SERVICE FUND _■
Put pod e
The General Debt Service Fund accounts for money devoted to the payment of
interest and principal on long-term general obligation debt (other than
Special Assessment Debt Service).
This fund is used for the accumulation of monies for payment of general
obligation bonds and interest thereon. Property taxes provide the necessary
revenue. The City has one general obligation issue outstanding which is ^,
carried in this Fund. This is a $500,000 issue for the Civic Center dated
May 1 , 1965. On December 31 , 1978, $260,000 was outstanding on this bond
issue.
CAPITAL PROJECT FUNDS
Purpose
Capital Project funds receive and disburse monies used for acquisition of
capital facilities other than those financed by Special Assessments and 7
Enterprise funds.
Capital Impkovemen-t Fund
This fund was established to account for the revenue and expenditures of a
revolving type Capital Improvement Fund. No expenditures have been made from n
this Fund to date.
r,
Ista.nd4 ob Peace
This fund was established to account for the Islands of Peace Project. A Fl
$150,000 grant has been received from the State of Minnesota for the purpose
of constructing a shelter building.
North Panfz Fund
This fund has been established to account for the special North Park Project. �1
The North Park area is currently being developed by a private non-profit II
foundation and the City as a nature center. A $27,000 grant was received in
1976 from the State of Minnesota for use on this project.
Locke Panfz Fund
This fund has been set up to account for three separate trail grants. Grants 71
in the amount of $5,000, $38,000 and $40,240 for trail systems in Locke Park
have been approved by the State. Grant funds in the amount of $15,200 for
the $38,000 grant were received in 1978.
VI 71
n
Page 7
May 31 , 1979
City Manager, Mayor and Council Members
ENTERPRISE FUNDS
Punpod e
Enterprise funds account for the financing of services to the general public
! in which all or most of the cost involved is paid in the form of charges by
the users of such a service. In the City of Fridley, Enterprise funds are
used to account for the operation of the Public Utility System, the municipal
liquor stores and the operation of a small shopping center. Except for
ownership, Enterprise funds bear a close resemblance to privately owned
utility or service enterprises.
MunLc..ipat Liquon Fund
The Municipal Liquor Fund was established to account for the operation and
financing of the City-owned municipal liquor stores. One is located at
6289 Highway 65; the other is located at 6586 University Avenue Northeast.
The City owns the land, building and fixtures at the Highway 65 location.
The City leases the building at the University Avenue location. The City
has been operating under a five-year lease at the University Avenue location.
*- A new lease was negotiated in 1978 which will expire on May 1 , 1987.
;
Shown below is a summary of liquor store operations for the years 1978, 1977,
1976, 1975 and 1974.
1978 1977 1976 1975 1974
r., Sales $1 ,323,462 $1 ,160,937 $1 ,061 ,562 $1 ,100,224 $1 ,074,169
Gross profit 260,941 228,106 214,480 231 ,768 245,843
Net profit 119,607 98,681 98,963 90,939 107,339
Transfers to the
General Fund $ 85,000 $ 85,000 $ 85,000 $ 75,000 $ 75,000
Retained earnings of the Municipal Liquor Fund were $741 ,933 on December 31 ,
1978, compared to $707,306 on December 31 , 1977.
PubLLc. Utility Fund
This fund accounts for the operation and financing of the City-owned sewer and
r" water systems. In 1970, bonds in the amount of $460,000 were issued. In 1975,
ii these bonds were refunded and a new bond issue substituted. On December 31 ,
1978, $162,215 of these bonds were outstanding and payable in future years.
In 1969, the fund assumed a $770,000 liability for bonds payable along with
future interest obligations of the Water No. 75 Improvement Bonds. A total
principal amount of $470,000 for this bond issue was outstanding on December
31 , 1978. Although deferred tax levies are set forth in the resolution for
retirement of the bonds and interest, it is the intention of the City to
eTh cancel the tax levies annually for this bond issue and to provide the necessary
revenue from the Public Utility Fund.
VII
Page 8
May 31 , 1979
City Manager, Mayor and Council Members
The receivable from the Metropolitan Waste Control Commission of $498,441
represents the City's share of the equity in the Minneapolis Sewer System
which was acquired by the Board on January 1 , 1971 , the balance of the
reserve capacity charges which were advanced to the Commission during 1971
and 1972, and final cost allocation from 1977. The reserve capacity charges .,
of $47,339 at December 31 , 1978 will be repaid with interest directly to
the City over the next ten years. The remainder will be paid to the City by
means of issuing credit against future sewer billings from the Commission.
These credits will be applied in annual installments with interest through ^'
• 1999.
The assets for the Water and Sewer distribution system, originally financed
by special assessments, were transferred from General Fixed Assets to the
Public Utility Fund in 1978. Those improvements to the utility system paid
for or financed directly by the Public Utility Fund have always been carried
in the Public Utility Fund and depreciated. f
The City Council has a policy of not depreciating water and sewer lines paid
for by special assessments. The reasoning for this is that Fridley is still fl
a young community. The original water and sewer lines have not been fully
paid for by the property owners. To require these same property owners to
pay for the lines by special assessments and also via their utility bills 7
would require the same customers to pay for the system twice. If depreciation , �
were charged on the water and sewer lines financed by special assessments,
the income of the Public Utility Fund would have been $203,334 less. rffl.
The Public Utility Fund has transferred monies to the Special Assessment
Debt Service funds to pay principal and interest on some bond issues although
there is no legal requirement to do so. As a result, the City considers r'
such transfers as direct charges against retained earnings and not against
income.
Retained earnings on December 31 , 1978 was $13,554,769 compared to $13,326,747 1
on December 31 , 1977 after adjustments.
On December 12, 1977 the City Council took action to increase sewer rates by ► l
10.3% for all classes of customers. With this action it is expected that
the Public Utility Fund will be able to operate on a self-sustaining basis
for three years before another rate adjustment is necessary. f1
Shown below is a summary of operations of the Public Utility Fund for the
years 1978, 1977, 1976, 1975 and 1974.
1978 1977 1976 1975 1974
it
Water account - ,
Operating income $615,741 $650,272 $707,872 $554,174 $548,467
Operating expenses 472,763 440,440 460,948 419,532 458,314
Operating income $142,978 $209,832 $246,924 $134,642 $ 90,153 fl
Sewer account
Operating income $788,718 $625,924 $579,091 $615,086 $596,560
Operating expenses 827,225 698,712 647,182 581 ,386 414,726
Operating income (loss) $(38,507) $(72,788) $(68,091 ) $ 33,700 $181 ,834
VIII El
Page 9
May 31 , 1979
•, City Manager, Mayor and Council Members
,.f Ck L s ten on Building Fund
I
On September 1 , 1978 the City entered into a lease/option agreement with
O.H. Peterson, Jr. for the property known as the Christenson building. The
property consists of 2.66 acres of land, an older shopping center building,
a house and a cement block commercial garage building. The lease runs until
July 31 , 1979. The lease contains provisions for two one-year extensions.
The lease agreement also provides that the City has the option to purchase
the property for $275,000. The purpose of.the City entering into the
lease agreement with Mr. Peterson is to hold the property together as one
., parcel pending possible redevelopment. The City is currently operating the
property as a shopping center. The City pays $1 ,700 month rent plus all
other operating expenses, and in turn collects rent from the tenants.
SPECIAL ASSESSMENT FUNDS
Punpo4 e
Special Assessment Funds are employed to finance and account for the
construction and financing of certain public improvements such as street
improvements, sidewalk improvements, storm sewers, and water and sewer
lines which may be paid wholly or in part from the special assessments levied
against benefited property. The fact that the special improvements are paid
for completely or in part by property owners in a limited geographical area
who specially benefit distinguishes them from improvements which benefit
the entire community and which are paid for out of general revenue or through
the issuance of general obligation bonds.
I
Comments
The City employs the practice of issuing temporary three-year bonds to finance
the improvements during the construction period of projects. The temporary
�-, bonds usually are in force past the time the special assessment rolls are
adopted by the City Council . Permanent bonds are normally issued after the
assessment rolls have been approved by the City Council and after the initial
prepayments of assessments have been made by property owners. This practice
allows the City to keep the amount of permanent bonds issued by the City to
a minimum. Construction in progress is shown in the General Fixed Asset Group
of Accounts.
Spec.%a..2 A44e%sments RevoFvLng
The purpose of this fund is to provide temporary financing for small improve-
ment projects.
Spect.ae Aus4es4meni6 Canstxuctian
The transactions accounted for in the Special Assessment Construction funds are
the receipt of bond proceeds and the disbursement of the proceeds for construc-
tion work performed.
IX
Page 10
May 31 , 1979
City Manager, Mayor and Council Members 7
Specia,+? A44e44mevitA Debt Sehvice r ,
The Special Assessments Debt Service funds are used to account for the
collection of assessments against benefited property owners and the disburse-
ment of assessment collections for the payment of bonds and interest thereon.
GENERAL FIXED ASSETS GROUP OF ACCOUNTS
1
Punpo4 e
General Fixed Assets are those fixed assets of a governmental jurisdiction '_ I
which are not accounted for in an Enterprise Fund. To be classified as a
fixed asset in this category, a specific piece of property must possess ri
three attributes: 1 ) it must be tangible in nature, 2) it must have a life
longer than the fiscal year, and 3) it must be of significant value.
GENERAL LONG-TERM DEBT GROUP OF ACCOUNTS ' '
Punpo s e fl
General obligation bonds and other forms of long-term debt supported by
general revenue are obligations of a governmental unit as a whole and not its
individual constituent funds. Moreover, the proceeds of such debt may be
spent on facilities which are utilized in the operation of several funds.
For these reasons, the amount of unmatured long-term indebtedness which is
backed by a full faith and credit of the City are accounted for and reported
in a separate self-balancing group of accounts entitled "General Long Group
of Accounts." The group includes (in addition to conventional term debt)
general obligation bonds, time warrants and notes which have a maturity of ri more than one year from date of issuance.
comment, n
As of December 31 , 1978, the long-term debt of the City consisted of $260,000
in definitive bonds issued for the purpose of financing the Civic Center rl
and $95,817 in long-term contracts payable issued for the purpose of I
financing the addition to the City's municipal garage.
rl
CITY INVESTMENT POLICY
The City. follows a policy .of pooling the investments for_ all City funds and
71
prorating the interest earned back to each fund on the basis, of each fund's
average cash balance. During the year 1978, the interest earnings totaled
$681,067. This is an increase of $125,066 over the $556,001 earned in the i
year 1977.
X n
n
l i
Page 11
May 31 , 1979
fl City Manager, Mayor and Council Members
BOND RATING
The City's current bond rating is Aa. This rating was awarded for the
Improvement Bond Sale held May 16, 1977. The amount of the bond issue was
to refund temporary three-year improvment bonds or to finance construction
projects already underway. The 1977 issue will be repaid entirely from
special assessments. The City previously held an A-1 bond rating which was
awarded for the first time on March 1 , 1975.
PENSIONS
I• !
Commen 6
ji Employees in the City of Fridley are covered by five pension plans:
1 ) Fridley Fire Relief Association for Volunteer Firemen; 2) Fridley Police
Pension Association, for Police Officers hired prior to December 15, 1975;
^ 3) Public Employees Retirement Police and Fire Plan, covering the City's
full-time Firemen and newly-hired Police Officers; 4) the basic Public
Employees Retirement Plan, which covers certain other City civilian employees;
r, and 5) Coordinated Public Employee Pension Plan, which covers the balance
of the City civilian employees. The employees covered by the Coordinated
P.E.R.A. Plan are also covered by Social Security.
The City is currently making all pension contributions required by law.
For additional background information of the pension plans covering City
employees, see Notes to the Financial Statements.
Ii
r. Independevit Audit
{ i Section 7.13 of the City Charter requires an annual audit to be made of the
books of account, financial records and transactions of all administrative
departments of the City by a certified public accountant or the State
{ 1 Auditor's Department of the State of Minnesota. This requirement has been
complied with and the opinion of the George M. Hansen Company, Certified
►" Public Accountants, is included with this report.
I '
Aclznoueedgement
The preparation of this report on a timely basis could not be accomplished
without the efficient and dedicated services of the entire staff of the
Finance Department. I want to express my special appreciation to Sid Inman
iI and Shirley Haapala for their assistance.
Very..,truly yours,
■ G 1 '
; Marvin C. Brunsell
Assistant City Manager/Finance Director
XI
r-+
fl GEORGE M. HANSEN COMPANY
Certified Public Accountants
r 1
SOUTH PLAZA BUILDING
i..� MINNEAPOLIS.MINNESOTA 55416
ii ACCOUNTANTS' OPINION
li
Honorable City Council
City of Fridley, Minnesota
We have examined the financial statements of the various funds and account
groups of the City of Fridley, Minnesota for the year ended December 31, 1978,
listed in Sections II and III of the foregoing table of contents. Our
examination was made in accordance with generally accepted auditing standards
and accordingly included such tests of the accounting records and such other
auditing procedures as we considered necessary in the circumstances.
In our opinion, the aforementioned financial statements present fairly the
financial position of the various funds and account groups of the City of
Fridley, Minnesota at December 31, 1978, and the results of operations of
such funds and the changes in financial position of the proprietary funds for
the year then ended, in conformity with generally accepted accounting
, principles applied on a basis consistent with that of the preceding year.
77 1,471.7%.0aft copf-Pop
May 25, 1979
n
li
r. •
XII
n
Certificate
of
Conformance
in Financial
Reporting
Presented to
City
For its Annual Financial Report
for the Fiscal Year Ended
'December 31,1916
A Certificate of Conformance in Financial Reporting is presented
by the Municipal Finance Officers Association of the United States and Canada
to governmental units whose annual financial reports are judged to
substantially conform to the financial reporting principles and
standards promulgated by the National Council on Governmental Accounting.
•
li
1
Pres'. •
pq _ �• + xecutive Director
'A A e.*
jR`r y 77 Ty Date OCtobQX 12,1977
• XIII
n
t1
11
The Municipal Finance Officers Association of the United States and
Canada (MFOA) awarded a Certificate of Conformance in Financial
11 Reporting to the City of Fridley for our Annual Financial Report for
t ' the fiscal year ended December 31 , 1976.
In order to be awarded a Certificate of Conformance, a governmental
unit must publish an easily readable and efficiently organized
comprehensive Annual Financial Report, whose contents conform to
nindustry standards. Such reports must satisfy both generally accepted
accounting principles and applicable legal requirements.
A Certificate of Conformance is valid for a period of three years
ru-) subject to two Annual Reviews. Our Annual Financial Report for the
fiscal year ended December 31 , 1977 successfully passed its required
Annual Review. We believe our current report continues to conform to
nCertificate of Conformance Program requirements, and we are submitting
• it to MFOA for another required Annual Review. "
11
•
n
n
n
n
irt
_ It of sq
n XIV
II
r
L
" CITY OF FRIDLEY, MINNESOTA
ELECTED AND APPOINTED OFFICIALS
,, DECEMBER 31 , 1978
ELECTED OFFICIALS
Term of office
expires January
Elected
Mayor - William J. Nee 1981
Council
Robert L. Barnette , Councilmember-at-Large 1981
Edward L. Hamernik, Ward I 1979
Dennis L. Schneider, Ward II 1980
Edward J. Fitzpatrick, Ward III 1979
Effective January 1979
r, Mayor - William J. Nee 1981
Council
Robert L. Barnette, Councilmember-at-Large 1981
Cheryl Lee Moses, Ward I 1982
Dennis L. Schneider, Ward II 1980
Edward J. Fitzpatrick, Ward III 1982
APPOINTED OFFICIALS
Appointed
City Manager - Nasim M. Qureshi
Clerk-Treasurer - Marvin C. Brunsell
p, Attorney - Virgil C. Herrick
Department Heads
Finance Director - Marvin C. Brunsell
Public Safety Director - James P. Hill
Parks and Recreation Director - Charles A. Boudreau
Fire Chief - Robert D. Aldrich
Public Works Director - Richard N. Sobiech
Division Heads
City Assessor - Mervin Herrman
Accounting Officer - Sidney Inman
Liquor Stores Manager - Robert L. McGuire
' j Public Works Superintendent - Ralph S. Volkman
Community Development Director - Darrel G. Clark
n
Civil Defense Director - Robert D. Aldrich
XV
_ ] 1 j --1 1 1 =l
J - 1
CITY OF FRIDLEY
ORGANIZATION CHART
1 ELECTORATE I
IMAYOR AND CITY COUNCIL I
I Planning Commission I
1 Charter Commission CATV Commission
Police Commission Board of Health
Community Development Commission Human Resources Commission
Parks & Recreation Commission Appeals Commission Housing & Redevelopment Authority
Environmental Quality Commission
CITY MANAGER I
I LEGAL I - I PERSONNEL I
I PURCHASING'
I
NATURE INTERPRETATION PARK & RECREATION PUBLIC WORKS I FINANCE DEPARTMENT I POLICE FIRE
Parks Engineering Accounting & Police Protection Fire Protection
Data Processing
Recreation
Utilities ( Animal Control Fire Prevention
Assessing &
Special Assessments
Band Street Maintenance Civil Defense I
Elections&
Planning Licensing
Building Inspection Liquor Stores
COMBINED FINANCIAL SECTION ff.
ii
{
Wa
1
CITY OF FRIDLEY, MINNESOTA
BALANCE SHEET fl
ALL FUNDS AND ACCOUNT GROUPS r �
DECEMBER 31 , 1978
Governmental Fund Types 71
General
Special Debt ^
General Revenue Service
ASSETS*
Cash (deficit) $ 26,242 $ (8,235) $ 116
Investments, at cost
U.S. Government and other short term
obligations (Exhibit III) 1 ,529,989 1 ,091 ,878 59,955
City of Fridley temporary bonds (Exhibit III) 545,000 II
Accounts receivable 482,876 206,434
Taxes receivable 14,939 292 ..
Special assessments receivable 16,020
Due from other funds
Inventories, at cost 16,751
Prepaid expenditures or expenses 86,785
71
Fixed assets, at cost less accumulated depreciation
Amount available in General Debt Service Fund
Amount to be provided by future taxes
Unassessed construction costs
Total assets $2,718,602 $1 ,290,077 $60,363
LIABILITIES, RESERVES AND FUND EQUITY
Liabilities
Accounts and contracts payable $ 833,310 $ 4,645
71
Deposits payable 19,217
Due to other funds
Deferred revenue or income 30,959 $ 292
Bonded indebtedness - Future maturities ri
Definitive bonds
Principal (Exhibit VI)
Temporary bonds (held by City of Fridley) l
Principal (Exhibit VI)
Reserves
Fund equity n
Investment in general fixed assets
Retained earnings
Contributions
Investment in fixed assets � I
Unappropriated
Fund balance
Appropriated 204,638 1 ,167,378 60,071 71
Unappropriated 1 ,630,478 118,054
Total liabilities, reserves
.]
and fund equity $2,718,602 $1 ,290,077 $60,363
*A portion of the assets are restricted for debt retirement. See Public Utility Fund
financial statements.
See accompanying Notes to Financial Statements.
-1-
EXHIBIT I
n
i 1
7 Governmental Fund Proprietary
Types (Continued) Fund Type Account Groups Total
General General
Capital Special Fixed Long Term December 31, December 31,
Project Assessment Enterprise Assets Debt 1978 1977
$ 1 ,543 $ (92,555) $ 14,947 $ (57,942) $ (223,093)
I
305,168 4,954,040 2,455,281 10,396,311 9,681 ,712
j , 545,000 35,000
2,241 4,051 792,590 1 ,488,192 1 ,237,787
,., 297 15,528 15,869
' ! 3,755,421 3,771 ,441 4,669,553
5,000
159,351 176,102 156,918
r- 41 ,108 127,893 55,329
' I 12,072,001 $15,637,067 27,709,068 28,416,349
$ 60,071 60,071 50,815
295,746 295,746 374,551
500,000 500,000
$309,249 $9,120,957 $15,535,278 $15,637,067 $355,817 $45,027,410 $44,475,790
r $ 55,898 $ 141 ,780 $ 104,449 $ 95,817 $ 1 ,235,899 $ 1 ,051 ,950
151 ,123 140 170,480 205,147
5,000
297 500,131 531 ,679 562,577
1
4,947,786 632,214 260,000 5,840,000 6,740,000
545,000
545,000 35,000
144,806
15,637,067 15,637,067
26,413,582
r, 10,166,680 10,166,680
1 ,905,321 1 ,905,321 2,002,767
2,226,343 2,226,343 1 ,741 ,488
r 27,347 3,335,268 4,794,702 4,044,743
225,707 1 ,974,239 1 ,528,730
n $309,249 $91120,957 $15,535,278 $15,637,067 $355,817 $45,027,410 $44,475,790
eTh
1
-2-
n
CITY OF FRIDLEY, MINNESOTA
COMBINED STATEMENT OF REVENUE, EXPENDITURES, AND CHANGES IN FUND BALANCES
ALL GOVERNMENTAL FUND TYPES �`'r
YEAR ENDED DECEMBER 31 , 1978
Governmental Fund Types 1
Special General Debt
General Revenue Service
Revenue 1
Taxes $1 ,846,370 $35,592
Special assessments levied 9,362
Licenses and permits 179,868 7
Intergovernmental revenue
Federal 254,886
State 1 ,233,321 $ 211 ,909 5,964
7
Grants
85,675 298,994
Other
2,748
Charges for current services 104,069 n
Fines and forfeits 85,789 jl
Interest and rents 133,386 72,592 2,179
Unassessed construction costs ^
Miscellaneous revenue 142,563 f
Total revenue $4,078,037 $ 583,495 $43,735
Other sources
Proceeds of General Obligation Bonds
Transfers from other funds 388,628
Total revenue and other sources $4,466,665 $ 583,495 $43,735 rai
Expenditures
Current
General government $ 572,381
Public safety 1 ,446,302 $ 32,706
Civic center 102,444
Public works 1 ,028,594 26,009
Parks and recreation 822,095 9,735 i �
Debt service
Bonds issued r,
Principal $25,000 i I
Interest and fiscal charges 9,479
Total expenditures $3,971 ,816 $ 68,450 $34,479 fl
Other uses
Transfers to other funds 533,712
Total expenditures and other uses $3,971 ,816 $ 602,162 $34,479 ' 1
Revenue over (under) expenditures $ 494,849 $ (18,667) $ 9,256
Adjustments to fund balance (17,512) 144,806
Net increase (decrease) in fund
balance during year $ 477,337 $ 126,139 $ 9,256
Fund balance, January 1 1 ,357,779 1 ,159,293 50,815 7
Fund balance, December 31 $1 ,835,116 $1 ,285,432 $60,071
See accompanying Notes to Financial Statements. rl
-3-
EXHIBIT II
� 1
rj Governmental Fund Types
(Continued)
Capital Special
Project Assessments Total
$ 37,824 $1 ,919,786
$ 75,613 84,975
179,868
254,886
6,309 2,594 1 ,460,09T ---
165,200 549,869
2,748
13,695 117,764
85,789
18,247 319,473 545,877
500,000 500,000
1 ,704 385,012 529,279
$229,284 $1 ,296,387 $6,230,938
i �
520,000 520,000
30,000 340,635 759,263
$259,284 $2,157,022 $7,510,201
0.
li $ 572,381
1 ,479,008
.. 102,444
$ 808,464 1 ,863,067
$ 88,925 920,755
520,000 520,000
25,000
287,054 296,533
r• $ 88,925 $1 ,615,518 $5,779,188
66
127 595 1 7
n ,30
$ 88,925 $1 ,743,113 $6,440,495
r•
$170,359 $ 413,909 $1 ,069,706
127,294
$170,359 $ 413,909 $1 ,197,000
82,695 2,921 ,359 5,571 ,941
n $253,054 $3,335,268 $6,768,941
iI
.,
-4-
EXHIBIT III rl
CITY OF FRIDLEY, MINNESOTA r1
STATEMENT OF INCOME AND CHANGES IN RETAINED EARNINGS
PROPRIETARY FUND TYPE (ENTERPRISE FUNDS)
YEAR ENDED DECEMBER 31 , 11378
n
Sales and cost of sales
Sales $ 1 ,323,462
Cost of sales 1 ,062,521
Gross profit $ 260,941
7
Operating income
Water sales and sewer rents $ 1 ,319,213
Rental income 14,805
ri Other 85,246
Total operating income $ 1 ,419,264
Operating expenses $ 1 ,494,558 fl
Operating income $ 185,647
71
Other income and (expense)
Interest on investments $ 153,687
Other interest 20,600
Other income 17,779
Interest expense (28,964)
Fiscal agent charges (163)
Total other income and (expense) $ 162,939
Net income $ 348,586 rl
Retained earnings January 1 3,744,255
$ 4,092,841
Adjustments '
Contribution of water and sewer lines 10,166,680
Elimination of other liability-Deferred credit 123,118 n
Add 7I
Current value credits received 13,158
Write-off of accounts payable 503
r
Deduct - Transfers to other funds (97,956)
Retained earnings December 31 $14,298,344
1
See accompanying Notes to Financial Statements. (...)
-5- l
EXHIBIT IV
CITY OF FRIDLEY, MINNESOTA
STATEMENT OF CHANGES IN FINANCIAL POSITION
iI PROPRIETARY FUND TYPE (ENTERPRISE FUNDS)
YEAR ENDED DECEMBER 31 , 1978
7
SOURCE OF FUNDS
Operations:
Net income for the year $348,586
Items not requiring current outlay of funds
Depreciation 118,358
$466,944
Decrease in long-term contracts receivable 45,687
Decrease in anti-trust receivables 1 ,495
Sale of fixed assets 1 ,797
Adjustment of accounts payable 503
r' Metropolitan Waste Control Commission
credits received 13,158
r. Total source of funds $529.584.
APPLICATION OF FUNDS
Purchase of property and equipment $ 22,709
Decrease in other liabilities
Deferred income 1 ,579
Deposits payable 668
Bonds payable less portion due within one year 5,241
Transfers to sinking accounts 83,316
Transfers to other funds 97,956
Increase in working capital 318,115
Total application of funds $529,584
Various elements of net increase in working capital
Cash and investments $334,931
Accounts receivable 20,500
Inventory 17,897
Contracts for deed receivable (6,917)
Prepaid expenses 39,028
Accounts payable (81 ,808)
Bonds payable within one year (5,241 )
Deferred income (275)
Increase in working capital $318.115
71
See accompanying Notes to Financial Statements.
-6-
CITY OF FRIDLEY, MINNESOTA 11
EXHIBIT V
STATEMENT OF CASH AND SECURITY FOR DEPOSITS
DECEMBER 31 , 1978 7
/--
Face amount
of securities -7
pledged as
Cash collateral
Checking account - Fridley State Bank,
Fridley, Minnesota
General Account $ (63,742) $ 200,000*
Petty cash and change funds 5,800 i
Total cash $ (57,942) r
Certificates of Deposit (included in investments)
Fidelity Bank & Trust Company, Minneapolis $ 2,100,000 $2,765,000*
Minnesota Federal Savings & Loan, New Brighton 100,000 * it
Northwestern National Bank, St. Paul 1 ,390,000 1 ,600,000*
First Federal Savings & Loan, Roseville 100,000
Hennepin Federal Savings & Loan, Minneapolis 100,000 *� j
Northern Federal Savings & Loan, St. Paul 100,000
Home Federal Savings & Loan, Columbia Heights 100,000 *
Farmers & Mechanics Savings Bank, Minneapolis 100,000 *
First National Bank, Minneapolis 500,000 500,000* 71
Northwestern National Bank, Minneapolis 500,000 1 ,315,000*
Total invested in certificates of deposit $ 5,090,000 $6,180,000
Government securities 5,306,311
City of Fridley Temporary Bonds 545,000
Total investments $10,941 ,311
n
*Additional security of $40,000 for demand deposits and $100,000 for time deposits is
provided at each depository by the Federal Deposit Insurance Corporation or the Federal
Savings and Loan Insurance Corporation.
SUMMARY STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS ri
ALL FUNDS
YEAR ENDED DECEMBER 31 , 1978
71
Cash Cash
balance(deficit) balance(deficit)
January 1 , December 31 , II
• Fund 1978 Receipts Disbursements 1978
General Fund $(161 ,292) $ 9,898,480 $ 9,710,946 $ 26,242 fl
Special Revenue funds (2,073) 1 ,686 ,926 1 ,693,088 (8,235)
General Debt Service Fund 94,551 94,435 116
Capital Projects funds (3,857) 425,638 420,238 1 ,543
Special Assessment funds (54,233) 7,076,674 7,114,996 (92,555)
Liquor Fund 4,285 1 ,927,212 1 ,925,171 6,32G
Public Utility Fund (5,923) 3,230,914 3,216,243 8,748
Christenson Building Fund 11 ,595 11 ,722 (127)
Total . $(223,093) $24,351 ,990 124,186,839 x(57,942) rl-7-
EXHIBIT VI
r
1 CITY OF FRIDLEY, MINNESOTA
STATEMENT OF INVESTMENTS
DECEMBER 31 , 1978
Interest
rate Maturity Cost
Federal Intermediate Credit Bank 8.45% 5/1/79 $ 200,000
„ Federal Intermediate Credit Bank 7;00 4/1/82 100,000
Federal National Mortgage Association 8.70 10/10/80 200,000
Federal National Mortgage Association 8,70 10/10/80 202,617
Federal National Mortgage Association 8.50 9/12/83 100,000
Federal National Mortgage Association 9.25 10/10/83 350,000
Federal National Mortgage Association 8.20 4/10/84 100,387
Federal National Mortgage Association 7.55 12/10/84 500,000
►., Federal Land Bank Bonds 6.80 10/23/79 204,282
Federal Land Bank Bonds 7.05 10/20/83 100,000
Federal Home Loan Bank Bonds 8.65 5/25/79 191 ,715
„ Federal Home Loan Bank Bonds 9.75 8/25/80 200,625
Federal Home Loan Bank Bonds 9.75 8/25/80 100,000
' Federal Home Loan Bank Bonds 9.75 8/25/80 175,171
Federal Home Loan Bank Bonds 6.70 11/25/80 511 ,153
Federal Home Loan Bank Bonds 6.70 11/25/80 179,370
U.S. Treasury Notes 7.125 11/30/79 250,294
U.S. Treasury Notes 7.125 11/15/80 200,118
S. Treasury Notes 7.125 11/15/82 400,124
' %.S. Treasury Notes 8.00 8/15/86 100,597
Small Business Loan 8.90 12/16/85 81 ,470
,„ Government National Mortgage Association 8.125 7/1/2008 288,838
t ; Government National Mortgage Association 9.00 9/1/2008 250,114
1 Government National Mortgage Association 9.00 12/1/2008 249,436
Certificate of Deposit - Northwestern National ,
^ Saint Paul 6.25 1/24/79 150,000
1 Certificate of Deposit - Northwestern National ,
Saint Paul 6.16 1/24/79 400,000
.. Certificate of Deposit - Northwestern National ,
r ' Saint Paul 10.92 4/2/79 100,000
� Certificate of Deposit - Northwestern National ,
Saint Paul 6.40 6/22/79 100,000
^' Certificate of Deposit - Northwestern National ,
Saint Paul 6.45 1/24/80 150,000
Certificate of Deposit - Northwestern National ,
n Saint Paul 6.65 5/16/80 140,000
) ' Certificate of Deposit - Northwestern National ,
Saint Paul 6.75 6/24/80 100,000
r. Certificate of Deposit - Northwestern National ,
Saint Paul 6.82 7/24/80 100,000
Certificate of Deposit - Northwestern National ,
Saint Paul 6.90 12/23/80 150,000
.. Certificate of Deposit - Fidelity, Minneapolis 6.25 3/9/79 100,000
Certificate of Deposit - Fidelity, Minneapolis 6.30 5/5/79 100,000
(rtificate of Deposit - Fidelity, Minneapolis 10.90 6/18/79 100,000
F. ..ertificate of Deposit - Fidelity, Minneapolis 10.90 6/20/79 100,000
Certificate of Deposit - Fidelity, Minneapolis 8.55 7/26/79 100,000
-8-
EXHIBIT VI CONTINUED
7
CITY OF FRIDLEY, MINNESOTA 1
STATEMENT OF INVESTMENTS (CONTINUED) ri
DECEMBER 31 , 1978 f'
Interest
rate Maturity Cost r,
Certificate of Deposit - Fidelity, Minneapolis 7.25% 11/17/79 $ 200,000
Certificate of Deposit - Fidelity, Minneapolis 6.60 12/21/79 400,000
Certificate of Deposit - Fidelity, Minneapolis 6.60 12/21/79 100,000
Certificate of Deposit - Fidelity, Minneapolis 6.75 1/24/80 100,000
Certificate of Deposit - Fidelity, Minneapolis 6.75 1/24/80 300,000
Certificate of Deposit - Fidelity, Minneapolis 7.50 1/14/80 100,000 `
Certificate of Deposit - Fidelity, Minneapolis 8.70 7/19/80 200,000
Certificate of Deposit - Fidelity, Minneapolis 7.00 3/10/81 200,000
Certificate of Deposit - Home Federal Savings &
Loan, Columbia Heights 8.00 4/11/79 100,000 iI
Certificate of Deposit - Farmers & Mechanics ,
Minneapolis 8.01 4/30/79 100,000
Certificate of Deposit - First Federal Savings & II
Loan, Roseville 8.125 5/23/79 100,000
Certificate of Deposit - Northern Federal Savings &
Loan, Saint Paul 6.875 7/18/79 100,000 (i
Certificate of Deposit - Hennepin Federal Savings &
Loan, Minneapolis 6.75 7/22/79 100,000
Certificate of Deposit - First National Bank of
Minneapolis 10.95 8/17/79 500,000
Certificate of Deposit - Minnesota Federal Savings
& Loan, New Brighton 7.50 2/23/81 50,000
Certificate of Deposit - Minnesota Federal Savings fl
& Loan, New Brighton 7.50 4/8/81 50,000
Certificate of Deposit - Northwestern National Bank,
Minneapolis 6.25 12/16/81 500,000
Short Term Government Securities - State Street Bank 8.08 Indefinite 70,000 I
City of Fridley Temporary Bonds
Water, Sewer and Storm Sewer No. 121 7.00 8/1/80 25,000
Street Improvement No. ST. 1978-1 , 2 & 4 7.00 5/15/81 500,000 ri
Storm Sewer No. 125 7.00 9/1/81 20,000
Total $10,941 ,311 ' I
Allocated by funds ri General Fund $ 2,074,989
Special Revenue Funds 1 ,091 ,878
General Debt Service Fund 59,955 ^
Capital Project Funds 305,168 ' I
Special Assessment Funds 4,954,040
Enterprise Funds 2,455,281
Total $10,941 ,311
-9- I I
EXHIBIT VII
r L.
rj CITY OF FRIDLEY, MINNESOTA
BONDS PAYABLE - ALL FUNDS
DECEMBER 31 , 1978
Issue Interest Maturity Principal
date rate date amount
Special Assessment Debt Service
Funds - Definitive Bonds
Improvement Bonds of 1960
January 1 , 1980 10/1/60 4.20% 1/1/80 $ 80,000
., January 1 , 1981 4.20 1/1/81 70,000
January 1 , 1982 4.20 1/1/82 75,000
r+ Total Improvement Bonds of 1960 Special Assessment Debt
Service Fund $ 225,000
Improvement Bonds of 1962
February 1 , 1979 5/1/62 3.80 2/1/79 $ 10,000
$ 5,000 per year 3.80 2/1/80-82 15,000
7-.1 Total Improvement Bonds of 1962 Special Assessment Debt
Service Fund $ 25,000
Improvement Bonds of 1963
$ 35,000 per year 1/1/63 3.80 1/1/80-83 $ 140,000
,, Total Improvement Bonds of 1963 Special Assessment Debt
Service Fund $ 140,000
Refunding Bonds of 1964
February 1 , 1979 2/1/64 3.40 2/1/79 $ 105,000
February 1 , 1980 3.40 2/1/80 40,000
Total Refunding Bonds of 1964 Special Assessment Debt
Service Fund $ 145,000
r, Improvement Bonds of 1965
$ 30,000 per year 5/1/65 3.40 2/1/79-80 $ 60,000
February 1 , 1981 3.40 2/1/81 25,000
$ 25,000 per year 3.50 2/1/82-85 100,000
1 February 1 , 1986 3.50 2/1/86 20,000
i
Total Improvement Bonds of 1965 Special Assessment Debt
71 Service Fund $ 205,000 �,
it
.
See accompanying Notes to Financial Statements.
-10-
EXHIBIT VII CONTINUED ' '
,S1
r 1
I
CITY OF FRIDLEY, MINNESOTA
71
BONDS PAYABLE - ALL FUNDS (CONTINUED)
DECEMBER 31 , 1978 n
Issue Interest Maturity Principal 71
date rate date amount
Special Assessment Debt Service
Funds - Definitive Bonds (Continued)
Improvement Bonds of 1967 ' I
$ 40,000 per year 10/1/67 4.40% 1/1/80-82 $ 120,000
$ 30,000 per year 4.50 1/1/83-87 150,000
January 1 , 1988 4.50 1/1/88 20,000 7
Total Improvement Bonds of 1967 Special Assessment Debt
Service Fund $ 290,000 1 rl
Improvement Bonds of 1972
February 1 , 1980 10/1/72 4.40 1/1/80 $ 150,000
$150,000 per year 4.60 1/1/81-82 300,000r
$ 75,000 per year 4.80 1/1/83-84 150,000
$ 75,000 per year 5.00 1/1/85-86 150,000
January 1 , 1987 5.10 1/1/87 75,000 Fl
January 1 , 1988 5.20 1/1/88 75,000
January 1 , 1989 5.20 1/1/89 50,000
$ 50,000 per year 5.25 1/1/90-91 100,000
per 50,000, er year 5.30 1/1/92-94 150,000
Total Improvement Bonds of 1972 Special Assessment Debt
Service Fund $1 ,200,000 7
Refunding Bonds of 1975 (Improvement Bond Portion) n
January 1 , 1980 3/1/75 6.00 1/1/80 $ 88,035 II
January 1 , 1981
6.00 1/1/81 47,250
January 1 , 1982 6.00 1/1/82 47,500
$ 50,000 per year 6.00 1/1/83-84 100,000
January 1 , 1985 6.00 1/1/85 40,000
$ 45,000 per year 6.00 1/1/86-88 135,000
January 1 , 1989 6.00 1/1/89 10,000 n
Total Refunding Bonds of 1975 Special Assessment Debt
Service Fund $ 467,785 ri
' I
L
-11- n
r-,
EXHIBIT VII CONTINUED
r,
ri -
p, CITY OF FRIDLEY, MINNESOTA
BONDS PAYABLE - ALL FUNDS (CONTINUED)
DECEMBER 31 , 1978
Issue Interest Maturity Principal
date rate date amount
n
' ' Special Assessment Debt Service
Funds - Definitive Bonds (Continued)
r,
Improvement Bonds of 1976
- February 1 , 1979 2/1/76 4.10% 2/1/79 $ 175,000
r., February 1 , 1980 4.30 2/1/80 175,000
! ; February 1 , 1981 .4.50 2/1/81 175,000
February 1 , 1982 4.70 2/1/82 175,000
February 1 , 1983 4.90 2/1/83 175,000
February 1 , 1984 5.00 2/1/84 125,000
February 1 , 1985 5.10 2/1/85 75,000
February 1 , 1986 5.25 2/1/86 25,000
i‘m February 1 , 1987 5.40 2/1/87 25,000
February 1 , 1988 5.60 2/1/88 25,000
February 1 , 1989 5.80 2/1/89 25,000
r., February 1 , 1990 6.00 2/1/90 25,000
Total Improvement Bonds of 1976 Special
r,
Assessment Debt Service Fund $1 ,200,000
Improvement Ronds of 1977
February 1 , 1979 5/1/77 3.40 2/1/79 $ 65,000
., February 1 , 1980 3.70 2/1/80 110,000
i ( February 1 , 1981 3.90 2/1/81 110,000
February 1 , 1982 4.00 2/1/82 110,000
February 1 , 1983 4.20 2/1/83 110,000
February 1 , 1984 4.30 2/1/84 110,000
February 1 , 1985 4.40 2/1/85 110,000
February 1 , 1986 4.60 2/1/86 110,000
"' February 1 , 1987 4.70 2/1/87 115,000
_ February 1 , 1988 4.80 2/1/88 50,000
February 1 , 1989 4.90 2/1/89 50,000
1 Total Improvement Bonds of 1977 Special
Assessment Debt Service Fund $1 ,050,000
! I Total Special Assessment Debt Service Funds -
Definitive Bonds $4,947,785
. I
See accompanying Notes to Financial Statements.
-12-
EXHIBIT VII CONTINUED il
I
CITY OF FRIDLEY, MINNESOTA
BONDS PAYABLE - ALL FUNDS (CONTINUED)
DECEMBER 31 , 1978
Issue Interest Maturity Principal
date rate date amount '
General Debt Service Fund -
Definitive Bonds (Continued) ri
Civic Center Bonds of 1965
$ 30,000 per year 5/1/65 3.40% 2/1/79-81 $ 90,000 fl
February 1 , 1982 3.50 2/1/82 30,000
$ 35,000 per year 3.50 2/1/83-86 140,000 I
Total General Debt Service Fund Bonds $ 260,000
7
Public Utility Fund - Definitive Revenue Bonds
Waterworks Bonds of 1965 (W-75) II
$ 50,000 per year 5/1/65 3.40 2/1/79-81 $ 150,000
$ 50,000 per year 3.50 2/1/82-87 300,000
February 1 , 1988 3.50 2/1/88 20,000 rrl
Total Waterworks Bonds of 1965 (W-75)
Public Utility Fund $ 470,000 71
Refunding Bonds of 1975 (Water Utility Portion)
January 1 , 1980 3/1/75 6.00 1/1/80 $ 56,965
January 1 , 1981 6.00 1/1/81 57,750 7
January 1 , 1982 6.00 1/1/82 47,500
4
Total Refunding Bonds of 1975 (Water Utility Portion) $ 162,215 f
Total Public Utility Fund Revenue Bonds $ 632,215
Total Definitive Bonds $5,840,000 fl
Special Assessment Debt Service n
Fund - Temporary Bonds
Water, Sewer and Storm Sewer No. 121 8/1/77 7.00 8/1/80 $ 25,000
Street Improvement Projects ST. 1978-1 , fl
ST. 1978-2 and ST. 1978-4 5/15/78 7.00 5/15/81 $ 500,000
Storm Sewer No. 125 9/1/78 7.00 9/1/81 $ 20,000 ' I
Total Special Assessment Debt Service Fund
Temporary Bonds $ 545,000
Total Bonds Outstanding $6,385,000
-13- 7
n
EXHIBIT VIII
P4
I '
CITY OF FRIDLEY, MINNESOTA
7 COMBINED STATEMENT OF DELINQUENT
TAXES RECEIVABLE BY FUNDS
DECEMBER 31 , 1978
1975 &
r- Funds Exhibit Total Prior 1976 1977 1978
General Fund VII $44,469 $21 ,380 $4,820 $4,353 $13,916
rte, Capital Improvement Fund XVI 516 127 101 288
General Debt Service Fund XIV 1 ,134 592 189 84 269
Total ULM $21 ,972 151_136 $4,538 $14,473
r•
n
PRI
r-,
f" See accompanying Notes to Financial Statements.
-14-
i;`1,\NCIP L SEC''IO�I BY FUND III
•
THE GENERAL FUND
The General Fund accounts for all revenues and
expenditures of a governmental unit which are
not accounted for in other funds, and it is
usually the largest and most important accounting
activity for state and local governments. It
normally receives a greater variety and number of
taxes and other general revenues than any other
fund. This fund has flowing into it such revenues
as general property taxes, licenses and permits,
fines and penalties, rents, charges for current
services, state-shared taxes, and interest earnings.
The fund's resources also finance a wider range of
activities than any other fund. Most of the current
operations of governmental units will be financed
from this fund.
1
EXHIBIT IX
CITY OF FRIDLEY, MINNESOTA
GENERAL FUND
BALANCE SHEET
., DECEMBER 31 , 1978 AND 1977
ASSETS 1978 1977
Cash (deficit) $ 26,242 $ (161 ,292)
Investments, at cost 2,074,989 1 ,797,268
Accounts receivable 70,006 58,967
Taxes receivable
Delinquent $ 44,469 $ 51 ,898
Unremitted 14,939 15,243
Less: Estimated uncollectible (44,469) 14,939 (51 ,898) 15,243
Special assessments receivable
Delinquent 3,375 6,750
Deferred - Principal 16,020 10,063
Less: Estimated uncollectible (3,375) 16,020 (6,750) 10,063
Accrued interest receivable 412,870 225,718
^. Inventories, at cost 16,751 15,464
Prepaid expenditures 86,785 53,249
Total assets $2,718,602 $2,014,680
LIABILITIES AND FUND BALANCE
Liabilities
Accounts payable $ 491 ,389 $ 293,521
Leave payable 341 ,921 307,151
Deposits payable 19,217 30,923
Deferred revenue - Taxes and special
assessments receivables 30,959 25,306
Fund balance
Appropriated 204,638 77,987
Unappropriated 1 ,630,478 1 ,279,792
Total liabilities and fund balance $2,718,602 $2,014,680
' 1
See accompanying Notes to Financial Statements.
r,
I
-15-
EXHIBIT X ri
Jf
n
CITY OF FRIDLEY, MINNESOTA fI
GENERAL FUND
ANALYSIS OF CHANGES IN FUND BALANCE ( I
YEARS ENDED DECEMBER 31 , 1978 AND 1977
1978 1977
Add :
Revenue $4,466,665 $4,040,435 fI
Accounts payable canceled 175 14,137
Adjustment to gas/oil inventory 2,383
$4,469,223 $4,054,572 II
Deduct :
Expenditures $3,971 ,816 $3,601 ,933
Accounts receivable canceled 2,032 634
Adjustment of leave payable 18,038 28,422 n
$3,991 ,886 $3,630,989 fI
Increase in fund balance $ 477,337 $ 423,583 ► I
Fund balance, January 1 1 ,357,779 934,196 ' I
Fund balance, December 31 $1 ,835,116 $1 ,357,779 ► I
n
n
See accompanying Notes to Financial Statements. fl
EXHIBIT XI
•,
CITY OF FRIDLEY, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUE
1 ^ YEARS ENDED DECEMBER 31 , 1978 AND 1977
■
1978 1977
Budget Actual Actual
I
General property and other taxes
Current ad valorem $1 ,675,913 $1 ,749,512 $1 ,622,897
„' Delinquent ad valorem 31 ,092 35,454 37,904
Tax forfeit 5,407 11 ,846
Fiscal disparities 40,104 42,122 35,299
Penalties and interest 7,436 7,264
$1 ,752,516 $1 ,846,370 $1 ,703,364
Special assessments $ 7,857 $ 9,362 $ 5,116
Licenses and permits
Licenses
Contractors $ 8,050 $ 12,375 $ 9,520
Business 57,045 76,882 62,485
All other 6,500 3,265 4,831
Permits 78,175 87,346 114,407
$ 149,770 $ 179,868 $ 191 ,243
Intergovernmental revenue
C.E.T.A. $ 245,135 $ 249,385 $ 147,757
Civil defense 6,700 5,501 10,933
State aid - maintenance 26,625 26,205 26,625
Local government aid 900,071 905,499 789,133
Homestead credit 320,103 301 ,617 292,518
Grants
Federal 27,388 34,136 17,085
State 17,820 51 ,539 60,361
Local 2,000 2,748 2,000
$1 ,545,842 $1 ,576,630 $1 ,346,412
Charges for current services
General government $ 7,085 $ 11 ,897 $ 12,418
Public safety 12,220 18,858 15,938
Conservation of health 17,040 20,014 19,160
Recreation 35,950 53,300 52,239
$ 72,295 $ 104,069 $ 99,755
Fines and forfeitures $ 75,004 $ 85,789 $ 79,166
7 Revenue from use of money and property
Interest on investments $ 75,500 $ 121 ,638 $ 77,805
Rents 11 ,000 11 ,748 10,237
I..-.
$ 86,500 $ 133,386 $ 88,042
See accompanying Notes to Financial Statements.
7
-17-
EXHIBIT XI CONTINUED ri
7
CITY OF FRIDLEY, MINNESOTA
GENERAL FUND Ti
STATEMENT OF'REVENUE (CONTINUED)
YEARS ENDED DECEMBER 31, 1178 AND 1977 n
1978 1977 II
Budget Actual Actual
Transfers from other funds rl
Liquor Fund $ 85,000 $ 85,000 $ 85,000
Revenue Sharing Fund 186,520 186,520 200,505
Other funds 122,036 117,108 99,238 rl
$ 393,556 $ 388,628 $ 384,743
Other revenue $ 93,378 $ 142,563 $ 142,594 fl
Prior years' fund balance $ 72,987
Total revenue $4,249,705 $4,466,665 $4,040,435 rl
n
•
I
n
n
rl
n
•
n
n
n
(7)
See accompanying Notes to Financial Statements.
-18- ,1 fl
EXHIBIT XII
CITY OF FRIDLEY, MINNESOTA
GENERAL FUND
71- STATEMENT OF EXPENDITURES
YEARS ENDED DECEMBER 31 , 1978 AND 1977
1978 1977
Budget Actual Actual
GENERAL GOVERNMENT
..' Mayor and Council
Personal Services $ 48,559 $ 47,063 $ 43,351
Other Expenditures 25,370 14,786 16,650
7 Capital Outlay 144
! ' $ 73,929 $ 61 ,993 $ 60,001
,-, Planning Commission
Personal Services $ 18,975 $ 18,557 $ 16,415
Other Expenditures 7,490 4,308 4,478
Capital Outlay 143
$ 26,465 $ 23,008 $ 20,893
Other Commissions
-, Personal Services $ 6,659 $ 4,364 $ 4,453
Other Expenditures 5,884 4,300 7,171
$. 123543 $ 8,664 $ 11 ,624
r,
City Manager
Personal Services $ 119,332 $ 115,040 $ 81 ,838
Other Expenditures 38,581 26,435 28,902
Capital Outlay 2,125 2,756 2,678
$ 160,038 $ 144,231 $ 113,418
Personnel
Personal Services $ 20,932 $ 21 ,335 $ 12,319
Other Expenditures 3,700 2,568 1 ,085
Capital Outlay 125 125
$ 24,757 $ 24,028 $ 13,404
Legal
Personal Services $ 2,660 $ 261
Other Expenditures 51 ,646 $ 53,134 43,916
Pm" $ 54,306 $ 53,134 $ 44,177
I ,
Elections
r, Personal Services $ 13,492 $ 14,306 $ 5,996
Other Expenditures 3,507 1 ,503 1 ,790
Capital Outlay 100 480 1 ,049
$ 17,099 $ 16,289 $ 8,835
Finance
eTh Personal Services $ 83,820 $ 83,171 $ 80,480
Other Expenditures 47,165 44,351 38,645
II Capital Outlay 2,236 2,125 2,848
$ 133,221 $ 129,647 $ 121 ,973
T L
-19-
EXHIBIT XII CONTINUED
rl
CITY OF FRIDLEY, MINNESOTA 7
GENERAL FUND r
STATEMENT OF'EXPENDITURES (CONTINUED) 1
YEARS ENDED DECEMBER 31 , 1978 AND 1977 7I
1978 1977
GENERAL GOVERNMENT, continued Budget Actual Actual 7
I
Assessing
Personal Services $ 105,255 $ 101 ,413 $ 81 ,119 n
Other Expenditures 9,200 9,383 8,802 71
Capital Outlay 246 591 417
$ 114,701 $ 111 ,387 $ 90,338
Total General Government $ 617,059 $ 572,381 $ 484,663 7
PUBLIC SAFETY
Police 7
Personal Services $ 952,060 $ 910,555 $ 802,159
Other Expenditures 131 ,824 150,548 105,900 n
Capital Outlay 53,324 53,793 47,023 I )
$1 ,137,208 $1 ,114,896 $ 955,082
Fire rl
Personal Services $ 251 ,118 $ 251 ,433 $ 227,608
Other Expenditures 52,523 52,703 36,326
Capital Outlay 12,231 11 ,432 2,460 ryi
$ 315,872 $ 315,568 $ 266,394
Civil Defense
rl
Personal Services $ 12,545 $ 13,266 $ 13,220 I
Other Expenditures 4,470 2,572 4,592
Capital Outlay 442
$ 17,015 $ 15,838 $ 18,254 II
Total Public Safety $1 ,470,095 $1 ,446,302 $1 ,239,730 II
CIVIC CENTER fl
Personal Services $ 42,877 $ 45,134 $ 37,049
Other Expenditures 49,950 40,785 48,780 n
Capital Outlay 18,600 _ 16,525 23,818 I
Total Civic Center $ 111 ,427 $ 102,444 $ 109,647
PUBLIC WORKS fl
Code Enforcement
Personal Services $ 141 ,975 $ 120,230 $ 123,270 n
Other Expenditures 43,875 53,368 34,008 ' I
Capital Outlay 200 1 ,613 848
$ 186,050 $ 175,211 $ 158,126
Planning
Personal Services $ 82,978 $ 74,651 $ 59,862
Other Expenditures 9,025 11 ,724 6,559
Capital Outlay 510 694 353
$ 92,513 $ 87,069 $ 66,774
-20- \/ r1
EXHIBIT XII CONTINUED
7 CITY OF FRIDLEY, MINNESOTA
(‘Th GENERAL FUND
7 E
i
)
YEARSENDEDODECEMBERI31 0, 1978 AND 1977
1978 1977
fl PUBLIC WORKS, continued Budget Actual Actual
Engineering
r, Personal Services $ 71 ,013 $ 54,484 $ 68,186
r Other Expenditures 14,825 30,673 15,759
Capital Outlay 7,240 6,396 2,247
$ 93,078 $ 91 ,553 $ 86,192
Public Works
Personal Services $ 269,854 $ 248,011 $ 225,390
Other Expenditures 310,225 302,122 270,084
Capital Outlay 120,550 124,628 122,176
$ 700,629 $ 674,761 $ 617,650
Total Public Works $1 ,072,270 $1 ,028,594 $ 928,742
PARKS AND RECREATION
^" Naturalist
Personal Services $ 76,436 $ 105,558 $ 61 ,665
Other Expenditures 74,090 47,096 77,702
Capital Outlay 19,850 333 12,908
$ 170,376 $ 152,987 $ 152,275
,� Parks
Personal Services $ 175,465 $ 122,113 $ 154,362
Other Expenditures 99,742 105,964 101 ,857
Capital Outlay 126,589 139,410 170,037
$ 401 ,796 $ 367,487 $ 426,256
Recreation
r, Personal Services $ 269,984 $ 238,742 $ 195,592
Other Expenditures 79,577 61 ,707 63,557
Capital Outlay 6,065 1 ,172 1 ,471
$ 355,626 $ 301 ,621 $ 260,620
Total Parks and Recreation $ 927,798 $ 822,095 $ 839,151
RESERVE FOR CONTINGENCIES
Total Reserve for Contingencies $ 51 ,056
Total expenditures $4,249,705 $3,971 ,816 $3,601, 933
See accompanying Notes to Financial Statements.
-21- \-7
SPECIAL REVENUE FUNDS
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for
revenues derived from specific taxes or other
earmarked revenue sources. They are usually
required by statute, charter provision, or
local ordinance to finance particular functions
or activities of government.
CITY OF FRIDLEY, MINNESOTA
SPECIAL REVENUE FUNDS
BALANCE SHEETS
DECEMBER 31 , 1978
ri
ri
rl
Municipal Revenue Anti- fl
Combined State Aid Sharing Recession n
ASSETS fl
Cash (deficit) $ (8,235) $ 2,812 $ 230
Investments, at cost 1 ,091 ,878 1 ,014,613 77,265
r]
Accounts receivable
Federal Government 55,928 55,928
State of Minnesota 121 ,373 121 ,3734E--- �—�1
Other 29,133
Total assets $1 ,290,077 $1 ,138,798 $133,423 $ -0-
rl
LIABILITY AND FUND BALANCE
Liability - Accounts payable $ 4,645 fl
Fund balance
Reserve for construction 121 ,373 $ 121 ,373 rl
Appropriated 1 ,046,005 899,371 $133,423
Unappropriated 118,054 118,054 n
Total liability it
and fund
balance $1 ,290,077 $1 ,138,798 $133,423 $ -0-
rl
! I
"1
' L
See accompanying Notes to Financial Statements.
-22- Ti
EXHIBIT XIII
7/1.'1
fl
r•
ii
r,
Teen Community
Step Center Development
., $(5,367) $ 74 $(5,984)
` 7,399 1 ,734 20,000
$ 2,032 $1 ,808 $14,016
j
$ 23 $ 142 $ 4,480
2,009 1 ,666 9,536
$ 2,032 $1 ,808 $14,016
n
-23-
CITY OF FRIDLEY, MINNESOTA (c
SPECIAL REVENUE FUNDS
ANALYSIS OF CHANGES IN FUND BALANCES
YEAR ENDED DECEMBER 31 , 1978
riMunicipal Revenue Anti-
Combined State Aid Sharing Recession (�
Fund balance January 1 , 1978 II
before adjustment $1 ,159,293 $1 ,049,363 $ 96,822 $12,108 -_
Adjustment: Add reserve 71
for construction to -
fund balance 144,806 144,806
Fund balance January 1 , 1978 fl
after adjustment $1 ,304,099 $1 ,194,169 $ 96,822 $12,108
Revenue 583,495 279,713 223,121 fl
Expenditures 602,162 335,084 186,520 12,108
Fund balance December 31 , 1978 $1 ,285,432 $1 ,138,798 $133,423 $ -0-
^1
! 1
1I
I
II
it
1
See accompanying Notes to Financial Statements.
-24- !
I
EXHIBIT XIV
7(1441
ri
Teen Community
P.
STEP Center Development
r` $ -0- $ 1 ,000 $ -0-
II
$ -0- $ 1 ,000 $ -0-
34,715 10,401 35,545
77-m . 32,706 9,735 26,009
r $2,009 $ 1 ,666 $ 9,536
rtmn
i
,
-25-
EI
7
CITY OF FRIDLEY, MINNESOTA )
SPECIAL REVENUE FUNDS
STATEMENT OF REVENUE AND EXPENDITURES '�
YEAR ENDED DECEMBER 31 , 1978
it
Combined Municipal State Aid
Budget Actual Budget Actual
71
Revenue
State-aid construction apportionment $212,000 $211 ,909 $212,000 $211 ,909 71
Grants and donations 255,770 298,994
Interest on investments 68,000 72,592 68,000 67,804
Prior years' fund balance 67,110 55,000 r]
Total revenue $602,880 $583,495 $335,000 $279,713
Expenditures fl
Transfers to other funds
General Fund $303,630 $303,628 $105,000 $105,000 rl
1977 Street Construction Fund 1 ,000 1 ,148 1 ,000 1 ,148 I
1978 Street Construction Fund 229,000 228,936 229,000 228,936
Other 69,250 68,450
Total expenditures $602,880 $602,162 $335,000 $335,084 rl
Revenue over(under) expenditures
$ -0- $(18,667) $ -0- $(55,371 ) fl
rl
El
it
(-)
See accompanying Notes to Financial Statements.
-26- E I
r
EXHIBIT XV
71,
n
n
Community
Revenue Sharing Anti-Recession STEP Teen- Center Development
Budget Actual Budget Actual Budget Actual Budget Actual Budget Actual
$186,520 $218,387 $33,000 $34,715 $9,750 $10,347 $26,500 $35,545
1
4,734 54
$12,110
rm $186,520 $223,121 $12,110 $ -0- $33,000 $34,715 $9,750 $10,401 $26,500 $35,545
77 $186,520 $186,520 $12,110 $ 12,108
i
r• $33,000 $32,706 $9,750 $ 9,735 $26,500 $26,009
II
$186,520 $186,520 $12,110 $.12,108 $33,000 $32,706 $9,750 $ 9,735 $26,500 $26,009
$ -0- $ 36,601 $ -0- $(12.108) $ -0- $ 2,00 $ -0- $ 666 $ -0- $ 9.536
7
1
II
-27- •
L_!
DEBT SERVICE FUNDS
DEBT SERVICE FUNDS
Debt Service Funds are created to account for
the payment of interest and principal on long-
term, general obligation debt other than that
r-
_ payable from special assessments and debt issued
for and serviced primarily by a governmental
enterprise.
r1
EXHIBIT XVI
1
7
CITY OF FRIDLEY, MINNESOTA
GENERAL DEBT SERVICE FUND
CIVIC CENTER BONDS OF 1965
BALANCE SHEET
DECEMBER 31 , 1978
ASSETS
Cash $ 116
Investments, at cost 59,955
Taxes receivable
Delinquent $ 1 ,134
Unremitted 292
Less: Estimated uncollectible taxes (1,134) 292
•� Total assets $60,363
n
LIABILITY AND FUND BALANCE
1
Liability - Deferred revenue $ 292
Fund balance - Appropriated 60,071
Total liability and fund balance $60,363
; i
See accompanying Notes to Financial Statements.
r,
-28-
EXHIBIT XVII ' I
CITY OF FRIDLEY, MINNESOTA ' I
GENERAL DEBT SERVICE FUND
CIVIC CENTER BONDS OF 1965 fl
STATEMENT OF REVENUE, EXPENDITURES AND ANALYSIS OF FUND BALANCE 1
YEAR ENDED DECEMBER 31 , 1978
n
Budget Actual
Revenue
Property taxes $34,230 $35,592
Homestead credit 5,950 5,964
Interest on investments 2,179
Total revenue $40,180 $43,735
Expenditures
Bonds $25,000 $25,000
Interest 9,423 9,422
Fiscal agent service charge 60 57
Contingencies 5,697 it
Total expenditures $40,180 $34,479
Revenue over expenditures $ -0- $ 9,256
Fund balance, January 1 , 1978 50,815 50,815
Fund balance, December 31 , 1978 $50,815 $60,071 f
El
! 1
El
I
! 1
See accompanying Notes to Financial Statements.
-29- 1
1
CAPITAL PROJECTS FUNDS
CAPITAL PROJECTS FUNDS
Capital Projects Funds are created to account for
all resources used for the acquisition of capital
facilities by a governmental unit except those
financed by special assessment and enterprise funds.
a`-
i
r-4
EXHIBIT XVIII
1 CITY OF FRIDLEY, MINNESOTA
CAPITAL PROJECT FUNDS
BALANCE SHEETS
DECEMBER 31 , 1978
Capital Islands North Locke
Combined Improvement of Peace Park Park
ASSETS
li Cash (deficit) $ 1 ,543 $ 19,279 $(18,096) $ 340 $ 20
Investments, at cost 305,168 193,367 96,000 4,564 11 ,237
Taxes receivable
r Delinquent $ 516 $ 516
Unremitted 297 297
Less: Estimated
uncollectible taxes (516) 297 (516) 297
Accounts receivable 2,241 2,241
n Total assets $309,249 $212,943 $ 80,145 $4,904 $11 ,257
LIABILITIES AND FUND BALANCE
Liabilities
Accounts payable $ 55,898 $ 52,798 $3,100
Deferred revenue 297 $ 297
Fund balance 27,347
Appropriated 27,347
Unappropriated 225,707 212,646 1 ,804 $11 ,257
Total liabilities and
fund balance $309,249 $212,943 $`80,145 $4,904 $11 ,257
n
See accompanying Notes to Financial Statements.
-30-
EXHIBIT XIX
71
T
a
1
7
1
CITY OF FRIDLEY, MINNESOTA
CAPITAL PROJECT FUNDS ! I
ANALYSIS OF CHANGES IN FUND BALANCE
YEAR ENDED DECEMBER 31 , 1978
Capital Islands North Locke
Combined Improvement of Peace Park Park
Fund balance (deficit) --
January 1 , 1978 $ 82,695 $127,552 $(49,198) $ 4 1603 $ (262)
Revenue 259,284 85,094 158,109 637 15,444
Expenditures 88,925 -0- 81 ,564 3,436 3,925 II
Fund balance II
December 31 , 1978 $253,054 $212,646 $ 27,347 $ 1 ,804 $11 ,257
71
I
7
7
_I
See accompanying Notes to Financial Statements. n
-31- I 1
EXHIBIT YX
CITY OF FRIDLEY, MINNESOTA
CAPITAL PROJECT FUNDS
•, STATEMENT OF REVENUE AND EXPENDITURES
YEAR ENDED DECEMBER 31 , 1978
Capital Islands North Locke
Combined Improvement of Peace Park Park
Revenue
Property taxes $ 37,824 $37,824
Homestead credit 6,309 6,309
j Interest on investments 18,247 10,961 $ 6,733 $ 309 $ 244
Grants 165,200 150,000 15,200
Transfer from other fund 30,000 30,000
' I Other 1 ,704 1 ,376 328
II Total revenue $259,284 $85,094 $158,109 $ 637 $15,444
Expenditures
rl
Interest $ 3,567 $ 3,567
Other 85,358 77,997 $ 3,436 $ 3,925
Total expenditures $ 88,925 $ -0- $ 81 ,564 $ 3,436 $ 3,925
Revenue over (under)
expenditures $170,359 $85,094 $ 76,545 $(2,799) $11 ,519
n
^
I
7
I
II
See accompanying Notes to Financial Statements.
-32-
ti
SPECIAL ASSESSMENT FUNDS
Special Assessment Funds are employed to finance and
account for the construction and financing of certain
public improvements such as residential streets,
sidewalks, or storm sewers or the provision of services
which are to be paid for wholly or in part from special
assessments levied against benefited property. The
fact that special assessment improvements are paid for
completely or in part by property owners in a limited
geographical area deemed to be specially benefited
distinguishes them from improvements which benefit the
entire community and which are paid for out of general
revenues or through the issuance of general obligation
bonds.
7
EXHIBIT XXI
7
CITY OF FRIDLEY, MINNESOTA
SPECIAL ASSESSMENT FUNDS
BALANCE SHEETS
fl DECEMBER 31 , 1978
.1 Special Special Special
I � Assessment Assessment Assessment
Combined Construction Debt Service Revolving
ASSETS
Cash (deficit) $ (92,555) $(69,656) $ (25,400) $ 2,501
7 Investments, at cost 4,954,040 117,016 4,386,981 450,043
Due from the State of Minnesota 1 ,274 1 ,274
Accounts receivable 2,777 2,777
7 Special assessments receivable
Delinquent 439,386' 430,684 8,702
Deferred - Principal 3,316,035 3,225,220 90,815
Unassessed construction costs 500,000 500,000
71 Total assets $9 120,957 S_51 ,411 $8,517,485 $552,061
LIABILITIES AND FUND BALANCE
r, Liabilities
Accounts and contracts payable $ 141 ,780 $141 ,780
Deposits payable 151 ,123 $151 ,123
Bonded indebtedness
7 Future maturities
Definitive bonds
Principal 4,947,786 $4,947,786
7 Temporary Bonds (held by
(City of Fridley)
Principal 545,000 545,000
n Fund balance (deficit) - Appropriated 3,335,268 (90,369) 3,024,699 400,938
II Total liabilities and
fund balance $9,120957 $ 51 ,411 $8,517,485 $552,061
7
n
n
r
See accompanying Notes to Financial Statements.
71 -33-
II
EXHIBIT XVII
CITY OF FRIDLEY, MINNESOTA ri
SPECIAL ASSESSMENT FUNDS ' !
ANALYSIS OF- CHANGES IN FUND BALANCES
'MAR E"1DED DECEMBER 31 , 1978_ ..
Special Special Special
Assessment Assessment Assessment
Combined Construction Debt Service Revolving
Fund balance (deficit) January 1 , 1978 $2,921 ,359 $(130,701 ) $2,664,628 $387,432 n
Revenue 2,157,022 866,630 1 ,235,147 55,245 n
Expenditures 1 ,743,113 826,298 875,076 41 ,739 n
it
Fund balance (deficit) December 31 , 1978 $3,335,268 $ (90,369) $3,024,699 $400,938
n
' 1
El
' I
See accompanying Notes to Financial Statements.
-34- I I
7
EXHIBIT XXIII
CITY OF FRIDLEY, MINNESOTA
r,
' SPECIAL ASSESSMENT FUNDS
STATEMENTS OF REVENUE AND EXPENDITURES
n
YEAR ENDED DECEMBER 31 , 1978
Ii
Special Special Special
Assessment Assessment Assessment
7 Combined Construction Debt Service Revolving
Revenue
r, Proceeds from sale of bonds $ 520,000 $520,000
Special assessments levied 75,613 $ 59,043 $16,570
Interest on assessments 297,138 289,841 7,297
n Penalties and interest on assessments 34,769 34,398 371
Unassessed construction costs 500,000 500,000
State of Minnesota-Project reimbursement 2,594 2,594
Charges for services 13,695 13,695
Interest on investments 319,473 10,444 279,310 29,719
Other 53,105 52,939 68 98
Transfers from other funds 340,635 266,958 72,487 1 ,190
fl Total revenue $2,157,022 $866,630 $1 ,235,147 $55,245
Expenditures
Construction costs $ 803,467 $803,467
Bonds issued 520,000 $ 520,000
Interest 285,948 285,948
Fiscal agent charges 1 ,106 1 ,106
Other 4,997 $ 4,997
Transfers to other funds 127,595 22,831 \ 68,022 36,742
1 Total expenditures $1 ,743,113 $826,298 $ 875,076 $41 ,739
fl Revenue over expenditures $ 413.909 $ 40,332 $ 360.071 $13.506
7
! 1
n
n
r
II See accompanying Notes to Financial Statements.
-35-
\, /
EXHIBIT XXIV 71
CITY OF FRIDLEY, MINNESOTA /
SPECIAL ASSESSMENT FUNDS fl
STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS
YEAR ENDED DECEMBER 31 , 1978
Special Special Special
Assessment Assessment Assessment
Combined Construction Debt Service Revolving n
Cash balance (deficit) January 1 , 1978 $ (54,233) $ (40,352) $ (13,916) $ 35 - I
Receipts fl
Proceeds from sale of bonds $ 520,000 $ 520,000
Special assessments 1 ,275,825 $1 ,230,624 $ 45,201
Interest on assessments 13 5 8
Penalties and interest on assessments 34,769 34,398 371
Interest on investments 319,473 10,444 279,310 29,719
Escrow deposits 29,987 29,987n
Other 69,378 68,657 623 98 ! 1
Transfers from other funds 340,635 266,958 72,487 1 ,190
Investments matured 4,486,594 151 ,220 3,896,536 438,838
Total receipts $7,076,674 $1 ,017,279 $5,513,983 $545,412 7
Disbursements
Construction costs
Transfers to other funds r'l
Interest during construction $ 6,480 $ 6,480
Other construction costs 900,256 900,256
Bond retirement
Principal 783,276 `$ - 783,276
P
Interest 285,948 285,948
Fiscal agent charges 1 ,106 v 1 ,106
Refund of escrow deposits 52,280 134 $ 52, 28O
Other 4,015
Transfers to other funds 127,595 22,831 68,022 36,7427
Investments purchased 4,954,040 117,016 4,386,981 450,043'
Total disbursements $7,114,996 $1 ,046,583 $5,525,467 $542,9467
Cash balance (deficit) December 31 , 1978 1 (92,555) $ (69.656) $ (25.400) 1_2,MT
fl
(-)
See accompanying Notes to Financial Statements.
-36- fl
{
{
{
•
ENTERPRISE FUNDS
Enterprise funds are established to account for
{ the financing of self-supporting activities of
governmental units which render services on a user
charge basis to the general public. The most
universal type of government enterprise is the
public utility engaged in the provision of such
basic services as water, electricity, and natural
gas. Sanitary sewer systems financed by user
charges have also assumed the status of public
utility operations in many urban areas, and many
cities have combined water and sewer systems under
the same management. Another type of government
enterprise in Minnesota is the Municipal Liquor
Operation.
i -,
n
EXHIBIT XXV
n
� � CITY OF FRIDLEY, MINNESOTA
n ENTERPRISE FUNDS
! ,
I BALANCE SHEETS
DECEMBER 31 , 1978
7
Public Christenson
Liquor Utility Building
Combined Fund Fund Fund
n
! ASSETS
Current assets
Cash (deficit) $ 11 ,054 $ 6,326 $ 4,855 $ (127)
1 Investments, at cost 2,196,337 451 ,247 1 ,745,090
Accounts receivable 294,149 3,142 287,432 3,575
,., Inventories, at cost 159,351 155,728 3,623
Prepaid expenses 41 ,108 41 ,108.
Total current assets $ 2,701 ,999 $616,443 $ 2,082,108 $3,448
Restricted assets
Sinking accounts
Cash $ 3,893 $ 3,893
n Investments, at cost 258,944 258,944
I � Accounts receivable - Metropolitan
Waste Control Commission 498,441 498,441
Total restricted assets $ 761 ,278 $ 761 ,278
Property, plant and equipment,
substantially all at cost less
p. accumulated depreciation $12,072,001 $208,273 $11 ,863,728
Total assets $15,535,278 $824,716 $14,707,114 $3,448
7 LIABILITIES AND RETAINED EARNINGS
Current liabilities
Accounts payable $ 104,449 $ 81 ,368 $ 21 ,550 $1 ,531
7 Bonds payable within one year 106,965 106,965
Deferred income 275 275
Total current liabilities $ 211 ,689 $ 81 ,368 $ 128,515 $1 ,806
7 Other liabilities
Bonds payable less portion due
within one year $ 525,249 $ 525,249
Deferred income 499,856 $ 1 ,415 498,441
7 Deposits payable 140 140
Total other liabilities $ 1 ,025,245 $ 1 ,415 $ 1 ,023,830
7 Retained earnings
Contributions $10,166,680 $10,166,680
Invested in property, plant
and equipment 1 ,905,321 $208,273 1 ,697,048
Unappropriated 2,226,343 533,660 1 ,691 ,041 $1 ,642
Total retained earnings $14,298,344 $741 ,933 $13,554,769 $1 ,642
Total liabilities and
ii retained earnings $15,535,278 $824,716 $14,707,114 $3.448
See accompanying Notes to Financial Statements.
-37-
n
� I
EXHIBIT XXVI
CITY OF FRIDLEY, MINNESOTA �`
I
ENTERPRISE FUNDS
COMBINED STATEMENT OF INCOME AND CHANGES IN RETAINED EARNINGS
YEAR ENDED DECEMBER 31 , 1978
Public Christenson
Liquor Utility Building
Combined Fund Fund Fund
Sales and cost of sales
Sales $ 1 ,323,462 $1,323,462 I
Cost of sales 1 ,062,521 1 ,062,521
Gross profit $ 260,941 $ 260,941
n
Operating income
Water sales and sewer rents $ 1 ,319,213 $ 1 ,319,213
Rental income 14,805 $14,805
Other 85,246 85,246 ' I
Total operating income $ 1 ,419,264 $ 1 ,404,459 /$14,805
Operating expenses $ 1 ,494,558 $ 181 ,407 $ 1 ,299,988 $13,163 n
Operating income $ 185,647 $ 79,534 $ 104,471 $ 1 ,642
rn I
Other income and (expense)
Interest on investments $ 153,687 $ 23,074 $ 130,613
Other interest 20,600 2,781 17,819
Other income 17,779 14,218 3,561 it
Interest expense (28,964) (28,964)
Fiscal agent charges (163) (163)
Total other income and ri
(expense) $ 162,939 $ 40,073 $ 122,866
Net income $ 348,586 $ 119,607 $ 227,337 $ 1 ,642 7
Retained earnings January 1 3,744,255 707,306 3,036,949
$ 4,092,841 $ 826,913 $ 3,264,286 $ 1 ,642
Adjustments
Contribution of water and
sewer lines 10,166,680 10,166,680 '�
Elimination of other liability- 123,118
Deferred credit 123,118
Add
Current value credits received 13,158 13,158
Write-off of accounts payable 503 20 483
'
Deduct - Transfers to other funds (97,956) (85,000) (12,956)
I
Retained earnings December 31 $14,298,344 $ 741 ,933 $13,554,769 $ 1 ,642,..
See accompanying Notes to Financial Statements. 11
-38- fl
n
EXHIBIT XXVII
flCITY OF FRIDLEY, MINNESOTA
/ ENTERPRISE FUNDS
COMBINED STATEMENT OF CHANGES IN FINANCIAL POSITION
II YEAR ENDED DECEMBER 31, 1978
Public Christenson
Liquor Utility Building
Combined Fund Fund Fund
n
SOURCE OF FUNDS
) ' Operations:
Net income for the year $348,586 $119,607 $227,337 $ 1 ,642
Items not requiring current outlay of funds
r Depreciation 118,358 - 8,223 110,135
$465,944 $127,830 $337,472 $-.176-47
r, Decrease in long-term contracts receivable 45,687 45,687
' ' Decrease in anti-trust receivables 1 ,495 1 ,495
Sale of fixed assets 1 ,797 1 ,797
r, Adjustment of accounts payable 503 20 483
Metropolitan Waste Control
Commission credits received 13,158 13,158
,- Total source of funds $529,584 $175,032 $352,910 $ 1 ,642
1i APPLICATION OF FUNDS
,..� Purchase of property and equipment $ 22,709 $ 22,709
Decrease in other liabilities
Deferred income 1 ,579 $ 1 ,579
Deposits payable 668 668
'.; Bonds payable less portion due within
i one year 5,241 5,241
Transfers to sinking accounts 83,316 83,316
7 Transfers to other funds 97,956 85,000 12,956
Increase in working capital 318,115 88,453 228,020 $ 1 ,642
Total application of funds $529,584 $175,032 $352,910 $ 1 ,642
7 Various elements of net increase in
working capital
7 Cash and investments $334,931 $142,228 $192,830 $ (127)
Accounts receivable 20,500 1 ,643 15,282 3,575
Inventory 17,897 17,645 252
Contracts for deed receivable (6,917) (6,917)
7 Prepaid expenses 39,028 (12) 39,040
Accounts payable (81 ,808) (66,134) (14,143) (1 ,531 )
Bonds payable within one year (5,241 ) (5,241 )
^ Deferred income (275) (275)
Increase in working capital $318,115 $ 88,453 $228,020 $ 1 ,642
7
r...
r
See accompanying Notes to Financial Statements.
r~
-39-
7I
EXHIBIT XXVIII =
CITY OF FRIDLEY, MINNESOTA
LIQUOR FUND
BALANCE SHEET
DECEMBER 31 , 1978 AND 1977 -
1978 1977
ASSETS
r,
Current assets
Cash $ 6,326 $ 4,285
Investments, at cost 451 ,247 311 ,060
Accounts receivable 3,142 1 ,499 fl
Inventory, at cost 155,728 138,083
Contracts for deed receivable, current portion 6,917
Prepaid expenses 12 n
Total current assets $616,443 $461 ,856
Property, plant and equipment, substantially all at cost
Land and buildings $198,641 $198,641
Furniture, fixtures and equipment 62,538 62,538
Signs and automotive 13,628 13,628
$274,807 $274,807 fl
Less accumulated depreciation 66,534 58,311
Net property, plant and equipment $208,273 $216,496
Other assets
Contracts for deed receivable, less current portion $ 45,687
Anti-trust accounts receivable, less current portion 1 ,495
Total other assets $ 47,182
Total assets $824,716 $725,534
n
LIABILITIES AND RETAINED EARNINGS
r,
Current liabilities
Accounts payable $ 75,223 $ 9,452
Accrued sales tax 6,145 5,782
Total current liabilities $ 81 ,368 $ 15,234
Other liability
Deferred income $ 1 ,415 $ 2,994
Retained earnings
Invested in property, plant and equipment $208,273 $216,496 1.1
Unappropriated 533,660 490,810
Total retained earnings $741,933 $707,306
Total liabilities and retained earnings $824,716 $725,534 ' I
71
See accompanying Notes to Financial Statements.
-40- r - - 7
EXHIBIT XXIX
jl
li
CITY OF FRIDLEY, MINNESOTA
LIQUOR FUND
ANALYSIS OF CHANGES IN RETAINED EARNINGS
YEARS ENDED DECEMBER 31 , 1978 and 1977
1978 1977
Retained earnings
January 1 $707,306 $693,625
Net income 119,607 98,681
Adjustment of accounts payable 20
Transferred to General Fund (85,000) (85,000)
Retained earnings
December 31 $741 ,933 $707,306
7
n
n
it
r,
r
r.
-41-
n
CITY OF FRIDLEY, MINNESOTA
LIQUOR FUND
STATEMENT OF INCOME
YEARS ENDED DECEMBER 31 , 1978 and 1977
Combined Store No. 2 ri
1978 1977 1978 1977
r,
II
Sales $1 ,323,462 $1 ,160,937
r,
Cost of 1 ,062,521 932,831 71
Gross Profit $ 260,941 $ 228,106
Percent of sales 19.7 19.6 (-7
— I
Operating expenses $ 181 ,407 $ 167,518
Percent of sales 13.7 14.4
Operating profit $ 79,534 $ 60,588
Percent of sales 6.0 5.2
Other income $ 40,073 $ 38,093 $2,781 $4,250
Percent of sales 3.0 3.3
Net income $ 119, 607 $ 98,681 $2,781 $4,250
Percent of sales 9.0 8.5
El
El
El
i
See accompanying Notes to Financial Statements.
-42- f I
EXHIBIT XXX
r
n
Store No. 3 Store No. 4
i Hwy. 65 Holly Center
1978 1977 1978 1977
ii $686,195 $591 ,618 $637,267 $569,319
550,355 475,519 512,166 457,312
$135,840 $116,099 $125,101 $112,007
19.8 19.6 19.6 19.7
$ 91,019 $ 84,961 $ 90,388 $ 82,557
13.3 14.3 14.2 14.5
$ 44,821 $ 31 ,138 $ 34,713 $ 29,450
6.5 5.3 5.4 5.2
71 $ 19,359 $ 17,433 $ 17,933 $ 16,410
2.8 2.9 2.8 3.6
$ 64,180 $ 48,571 $ 52,646 $ 45,860
9.3 8.2 8.2 8.8
Ti
71
T
I
n
-43-
I
EXHIBIT XXXI
CITY OF FRIDLEY, MINNESOTA
n
1
LIQUOR FUND ;
STATEMENT OF OPERATING EXPENSES
YEARS ENDED DECEMBER 31 , 1978 AND 1177
Store No. 3 Store No.4 ,�
Combined Hwy. 65 Holly Center 7l
1978 1977 1978 1977 1978 19_77,7
Operating Expenses 1
Selling
Salary - Clerks $ 86,552 $ 77,642 $ 42,536 $ 38,594 $44,016 $39,04t1
Bags & Wrapping 3,39 2,881 1 ,732 1 ,405 1 ,663 1 ,47;
Uncollectable Checks 538 � �. 716 ( � (10) 318
10 352
48 398
Licenses 108 / (10) 54
Sales Tax Shortage (42 32 (74)
$ 90,594 $ 81 ,245 $ 444,535 $ 40,327 $46,059 $40,918
; I
Percent of Sales 6.9 7.0 6.5 6.8 7.2 L2
Overhead
Utilities $ 8,282 $ 9,111 $ 5,226 $ 6,239 $ 3,056 $ 2,87
Insurance 13,667 11 ,788 6,971 6,041 6,696 5,747
Rent 8,357 8,232 8,357 8,23
Laundry 1 ,100 1 ,128 619 593 481
Repair and Maintenance 4,055 3,617 2,350 1 ,880 1 ,705 1 ,/- '
�
Supplies 594 1 ,335 \.P 342 768 252 567
Communications 1 ,126 J� 1 ,260 >> 531 701 595 55
Alarm Service 561�w 315 269 246 221
Advertising 1 ,46 1 ,039 918 532 549 507
Depreciation 8,223 8,719> 6,943 7,169 1 ,280 1 ,55f
Other Overhead Expense 11_835 2,114 1 ,079 1 ,349 756 761
49,267 $ 48,835 $ 2 5,294 $ 25,541 $23,973 $23,294
Percent of Sales 3.7 4.2 3.7 4.3 3.8 71
General
Management Expense $ 20,992 $ 20,337 $ 10,706 $ 10,372 $10,286 $ 9,96-
Inventory Control 6,254 5,380 3,190 2,744 3,064 2,63
Accounting 7,568 4,926 3,860 2,512 3,708 2,414
Warehouse Expense 32 109 16 56 16 52.
Data Processing 5,699 5,776 2,907 2,946 2,792 2,83
Other General Expense 1 ,001 910 511 463 490 44/
$ 41 ,546 ,-x $ 37,438 ,, $ 21 ,190 $ 19,093 $20,356 $18,34
Percent of Sales 3.1 3.2 3.1 3.2 3.2 0.2
Total Operating Expenses $181 ,407 $167,518 $ 91 ,019 $ 84,961 $90,388 182257
i
Total Percent of Sales 13.7 14.4 13.3 14.3 14.2 (1'40
I ,
See accompanying Notes to Financial Statements.
-44- n
EXHIBIT XXXII
i
r CITY OF FRIDLEY, MINNESOTA
Ii
LIQUOR FUND
STATEMENT OF CHANGES IN FINANCIAL POSITION
YEARS ENDED DECEMBER 31 , 1978 AND 1977
., 1978 1977
SOURCE OF FUNDS
Operations:
Net income for the year $119,607 $ 98,681
Items not requiring current outlay of funds
Depreciation 8,223 7,844
$127,830 $106,525
Decrease in long-term contracts receivable 45,687 75,127
Decrease in anti-trust receivables 1 ,495 1 ,858
Retirement of fixed assets 874
Adjustment of accounts payable 20
Total source of funds $175,032 $184,384
APPLICATION OF FUNDS
Purchase of property and equipment $ 3,961
Transfer to General Fund $ 85,000 85,000
Decrease in deferred income 1 ,579 2,038
Increase in working capital 88,453 93,385
n Total application of funds $175,032 $184.384
Various elements of net increase in working capital :
Cash $ 2,041 $ 5,826
Investments 140,187 95,869
0041 Accounts receivable 1 ,643 (180)
Inventory 17,645 7,589
Contracts for deed receivable (6,917) (7,211 )
Accounts payable (65,771 ) (7,759)
71 Accrued sales tax (363) (761 )
Prepaid expenses (12) 12
n Increase in working capital $ 88,453 $ 93.385
C
See accompanying Notes to Financial Statements.
-45-
I
EXHIBIT XXXIII
CITY OF FRIDLEY, MINNESOTA f' `
PUBLIC UTILITY FUND
BALANCE SHEET
DECEMBER 31 , 1978 and 1977
1978 1977 7
ASSETS ,
Current assets
Cash (deficit) $ 4,855 $ (5,923)
Investments, at cost 1 ,745,090 1 ,563,038
Accounts receivable 287,432 272,150
Inventory of meters 43,623 2,068 Prepaid expenses ,
Total current assets $ 2,082,108 $1 ,834,704
Restricted assets '�
Sinking accounts i
Cash $ 3,893
Investments, at cost 258,944 $ 276,245
Due from other funds 5,000 I
`. Accounts receivable-Metropolitan Waste Control Commission 498,441 410,533
Total restricted assets $ 761 ,278 $ 691 ,778
Property, plant and equipment, substantially all at cost 71
Land and improvements $ 152,793 $ 154,590
Buildings 737,067 737,067
Machinery and equipment 1 ,903,563 1 ,880,854
Other improvements 123,909 123,909
Water and sewer lines 10,166,680
$13,084,012 $2,896,420 ^�
Less accumulated depreciation 1 ,220,284 1 ,110,149
Net property, plant and equipment $11 ,863,728 $1 ,786,271
Total assets $14,707.114 $4,312,753
LIABILITIES AND RETAINED EARNINGS
Current liabilities ^
Accounts payable $ 21 ,550 $ 7,407
Bonds payable within one year 106,965 101 ,724
Total current liabilities $ 128,515 $ 109,131 ,�
' I
Other liabilities
Bonds payable less portion due within one year $ 525,249 $ 632,214
Deferred income - Metropolitan Waste Control Commission 498,441 410,533
Deferred credit - Sinking account debt service 123,118 71
Deposits payable 140 808
Total other liabilities $ 1 ,023,830 $1 ,166,673
Retained earnings 71
Contributions from other funds $10,166,680
Invested in property, plant and equipment 1 ,697,048 $1 ,786,271
Unappropriated 1 ,691 ,041 1 ,250,678
ri
Total retained earnings $13,554,769 $3,036,949
Total liabilities and retained earnings $14,707,114 $4,312,753
7)
See accompanying Notes to Financial Statements.
-46- rl
EXHIBIT XXXIV.
.1
i
CITY OF FRIDLEY, MINNESOTA
PUBLIC UTILITY FUND
ANALYSIS OF CHANGES IN RETAINED EARNINGS
mm
YEARS ENDED DECEMBER 31, 1978 AND 1977
1978 1977
^' Retained earnings January 1 , before adjustments $ 3,036,949 $2,775,607
Adjustments
mm
Contribution of water and sewer lines 10,166,680
Elimination of other liability - deferred credit 123,118
Retained earnings January 1 , after adjustments $13,326,747 $2,775,607
Add
Net income 227,337 231 ,402
71 Current value credits received 13,158 17,869
Transfer in 10,000
Reduction in deferred credit for debt service 33,657
^" Write-off of accounts payable 483
Deduct
Transfer out - Special Assessment Fund (12,956) (31 ,435)
Adjustment of accounts receivable (151)
Retained earnings, December 31 $13.554,769 $3,036,949
mm
n
I
See accompanying Notes to Financial Statements.
-47-
CITY OF FRIDLEY, MINNESOTA
I
PUBLIC UTILITY FUND
STATEMENT OF INCOME n
YEARS ENDED DECEMBER 31 , 1978 AND 1977
1978 1977
Combined Combined
Operating income 77
Water sales and sewer rents $1 ,319,213 $1 ,180,577 I
Connection permits 6,119 9,008
Sales of materials and miscellaneous service 79,127 86,611 n
Total operating income $1 ,404,459 $1 ,276,196
Operating expenses n
Source of supply $ 591 ,356 $ 498,476
Power and pumping 135,392 121 ,985
Purification 46,047 48,985
Transmission and distribution 291 ,568 246,896 7
Customer accounting and collecting 77,967 67,944
Administrative and general 47,523 41 ,938
Depreciation 110,135 112,928
Total operating expenses $1 ,299,988 $1 ,139,152 1I
Operating income (loss) $ 104,471 $ 137,044
Other income and (expense) 71
Interest on investments - operating account $ 112,530 $ 94,895
Interest on investments - sinking accounts 18,083 16,891 7
Other interest - operating account 17,819 12,896 1
Connection charges 3,561 3,465
Interest expense (28,964) (33,657) ,
Fiscal agents' charges - sinking accounts (163) (132)
Total other income and (expense) $ 122,866 $ 94,358
Net income $ 227,337 $ 231 ,402 7
71
Ti
Ti
7
See accompanying Notes to Financial Statements.
Ti-48-
EXHIBIT XXXV
r.
! i
L
p,
1978 1977 1978 1977
Water Water SeWer Sew
$551 ,300 $578,520 $767,913 $602,057
1 ,950 2,880 4,169 6,128
62,491 68,872 16,636 17,739
$615,741 $650,272 $788,718 $625,924
$ 1 ,895 $ 1 ,565 $589,461 $496,911
106,780 97,543 28,612 24,442
46,047 48,985
134,946 113,085 156,622 133,811
53,778 45,985 24,189 21 ,959
33,187 34,877 14,336 7,061
96,130 98,400 14,005 14,528
$472,763 $440,440 $827,225 $698,712
$142,978 $209,832 $(38,507) $(72,788)
7,
-49- •
EXHIBIT XXXVI
CITY OF FRIDLEY , MINNESOTA ■
1
PUBLIC UTILITY FUND ' 1
STATEMENT OF CHANGES IN FINANCIAL POSITION
YEARS ENDED DECEMBER 31 , 1978 AND 1977
1978 1977 1
SOURCE OF FUNDS ^�
Operations:
Net income for the year $227,337 $231 ,402
Items not requiring current outlay of funds
Depreciation 110,135 112,928
$337,472 $344,330
Metropolitan Waste Control Commission credits received 13,158 17,868
Sale of fixed assets 1 ,797
Write-off of accounts payable (.receivable) 483 (151)
Total source of funds $352,910 $362,047
APPLICATION OF FUNDS
Purchase of property and equipment $
22,709 $ 31 ,188
Decrease in other liabilities
Deposits payable 668 (100) r1
Bonds payable less portion due within one year 5,241 ' I
Transfers to sinking accounts 83,316* 83,302*
Transfer to other funds - Special Assessment Fund 12,956 31 ,435
Increase in working capital 228,020 216,222
Total application of funds $352 ,910 $362,047
7]
Various elements of net increase in working capital :
Cash and investments $192,830 $230,620 7
Accounts receivable 15,282 (20,057)
Inventory 252 (1 ,864)
Prepaid expenses 39,040 2,068
Accounts payable (14,143) 5,455 7
Bonds payable within one year (5,241)
Increase in working capital $228,020 $216,222 7]
*Net of bonds paid less decrease in restricted assets - sinking accounts i
I
7)
See accompanying Notes to Financial Statements .
i
-50-
w
EXHIBIT XXXVII
7
' I
CITY OF FRIDLEY, MINNESOTA
CHRISTENSON BUILDING FUND
BALANCE SHEET
DECEMBER 31 ,-1978
ASSETS
r,
Cash (deficit) $ (127)
Accounts receivable 3,575
j� Total assets $3,448
LIABILITIES AND RETAINED EARNINGS
Liabilities
Accounts payable $1 ,531
Deferred income 275
Retained earnings - Unappropriated 1 ,642
Total liabilities and
' retained earnings $3,448
PR
CHRISTENSON BUILDING FUND
ANALYSIS OF CHANGES IN RETAINED EARNINGS
Year Ended December 31 , 1978
Retained earnings January 1 $ -O-
! � Net Income 1 ,642
Retained earnings December 31 $1 ,642
iI
See accompanying Notes to Financial Statements.
-51-
EXHIBIT XXXVIII
' I
7
CITY OF FRIDLEY, MINNESOTA r ■
CHRISTENSON BUILDING FUND
STATEMENT OF INCOME
YEAR ENDED DECEMBER 31 , 1978
7
Operating income
Rent $14,805 n
Operating expenses
Professional services $ 25
Lot maintenance 120
Rent 6,800
Taxes 4,761
Interest 16
Insurance 1 ,441
Total operating expenses $13,163
Net income $ 1 ,642
CITY OF FRIDLEY, MINNESOTA ri
CHRISTENSON BUILDING FUND
STATEMENT OF CHANGES IN FINANCIAL POSITION
YEAR ENDED DECEMBER 31 , 1978
SOURCE OF FUNDS 7
Operations:
Net income for the year $ 1 ,642
APPLICATION OF FUNDS
Increase in working capital $ 1 ,642 7
Various elements of net increase in working capital :
Cash . $ (127) ^�
Accounts receivable 3,575
Accounts payable (1 ,531 )
Deferred income (275)
Increase in working capital $ 1 ,642
7
7
See accompanying Notes to Financial Statements. (7)
-52- rl
GENERAL FIXED ASSETS
G R O U P O F ACCOUNTS
General Fixed Assets are those fixed assets of a
governmental jurisdiction which are not accounted .
for in an Enterprise, Working Capital , or Trust
Fund. To be classified as a fixed asset in this
category, a specific piece of property must possess
these attributes:
(1 ) tangible nature; (2) a life longer than the
current fiscal year; and (3) a significant value.
r.
EXHIBIT XXXIX
:14\
CITY OF FRIDLEY, MINNESOTA
STATEMENT OF GENERAL FIXED ASSETS
7 DECEMBER 31 , 1978
^ General fixed assets
Land $ 1 ,284,198
Building and structures 1 ,120,914
Improvements other than buildings 10,960,335
1
Furniture, fixtures, and office equipment 257,130
Machinery and equipment 1 ,045,916
Specialized equipment 3,464
^1 Construction in progress 965,110
Total general fixed assets $15,637,067
Investment in general fixed assets
Special assessments $10,686,180
State-aid 236,883
General Fund 2,959,615
Other funds 193,901
Liquor Fund 15,421
Contributions 676,969
General obligation bonds 856,597
-1 Public Utility Fund 2,522
Grants 8,979
Total investment in general fixed assets
$15,637,067
mrTh
See accompanying Notes to Financial Statements.
-53-
l
CITY OF FRIDLEY, MINNESOTA
7
SCHEDULE OF GENERAL FIXED ASSETS BY FUNCTIONS AND ACTIVITIES r
YEAR ENDED DECEMBER 31 , 1978
Other
Total Land Buildings Improvements '1
General Government
City Manager $ 27,040
Accounting 54,610
Assessing 6,788
Elections 24,681
Planning 17,646 El
Civic Center 712,583 $ 18,448 $ 664,690
Total General
Government $ 843,348 $ 18,448 $ 664,690 7
Public Safety
Police Protection $ 141 ,178 7
Fire Protection 324,361 $ 70,281
Inspectional Services 1 ,626
Civil Defense 29,069
7
Total Public
Safety $ 496,234 $ 70,281
Public Works
Engineering $ 52,353
Street Improvements 6,625,995 $ 5,103 $6,206,934
7
Water, Sewer and
Storm Sewer 4,312,685 4,312,685
Traffic Signal 101 ,561 101 ,561
7
City Garage 373,860 97,940 $ 265,101
Total Public Works $11 ,466,454 $ 103,043 $ 265,101 $10,621 ,180 7
Parks/Naturalist
Parks $ 1 ,825,925 $1 ,159,655 $ 107,828 $ 335,684
Naturalist 39,996 3,052 13,014 3,471 ...,
Total Parks &
Naturalist $ 1 ,865,921 $1 ,162,707 $ 120,842 $ 339,155
7
Total General
Fixed Assets
Allocated to 7
Functions $14,671 ,957 $1 ,284,198 $1 ,120,914 $10,960,335
Construction in Progress 965,110 71
Total Fixed L
Assets $15,637,067
See accompanying Notes to Financial Statements.
-54- I
EXHIBIT XXXX
r/.1
Furniture
and Specialized
Machinery Equipment Equipment
$ 7,344 $ 19,696
11 54,610
6,788
r, 24,681
5,850 11 ,796
29,445
fl
$ 13,194 $147,016
$ 108,783 $ 32,395
238,965 15,115
1 ,626
26,980 2,089
$ 376,354 $ 49,599
$ 26,931 $ 24,982 $ 440
413,958
10,819
$ 440,889 $ 35,801 $ 440
$ 201 ,849 $ 17,885 $ 3,024
fl 13,630 6,829
.7 $ 215,479 $ 24,714 $ 3,024
7
$1 ,045,916 $257,130 $ 3,464
I
-55-
EXHIBIT XXXXI
CITY OF FRIDLEY, MINNESOTA
STATEMENT OF CHANGES IN GENERAL FIXED ASSETS
BY FUNCTION, ACTIVITY AND SOURCE 1
YEAR ENDED DECEMBER 31 , 1978
Function January 1 , 1978 Additions Deductions December 31 , 1978
General Government 7
City Manager $ 18,795 $ 8,623 $ 378 $ 27,040
Accounting 51 ,887 4,057 1 ,334 54,610
Assessing 6,593 195 6,788
7
Elections - Voter Registration 21 ,923 2,758 24,681
Planning 15,226 2,942 522 17,646
Civic Center 707,471 5,112 712,583 7$ 821 ,895 $ 23,687 $ 2,234 $ 843,348
Public Safety
Police Protection $ 118,243 $ 56,235 $ 33,300 $ 141 ,178
Fire Protection 311 ,459 12,902 324,361
Inspection Services 1 ,626 1 ,626
Civil Defense 29,069 29,069
$ 460,397 $ 69,137 $ 33,300 $ 496,234
Highways
Engineering $ 45,505 $ 6,916 $ 68 $ 52,353 7
Street Improvements 8,312,193 104,353 1 ,790,551 6,625,995
Water, Sewer & Storm Sewer 14,459,705 19,660 10,166,680 4,312,685
Traffic Signals 101 ,561 101 ,561 (-7
City Garage 372,979 1 ,266 385 373,860
$23,291 ,943 $ 132,195 $11 ,957,684 $11 ,466,454
Parks i
Parks $ 1 ,620,133 $ 207,654 $ 1 ,862 $ 1 ,825,925
Naturalist 34,975 5,021 39,996
$ 1 ,655,108 $ 212,675 $ 1 ,862 $ 1 ,865,921 7
Construction
in progress $ 184,239 $ 842,132 $ 61 ,261 $ 965,110 7
Total $26,413,582 $1 ,279,826 $12,056,341 $15,637,067 "�
Source I
Special Assessments $21 ,923,240 $ 766,134 $12,003,194 $10,686,180
State Aid 236,883 236,883
General Fund 2,653,766 342,024 36,175 2,959,615
Other Funds 71 ,384 139,489 16,972 193,901
Liquor Fund 15,421 15,421
Contributions 653,769 23,200 676,969
General Obligation. Bonds 856,597 856,597
Water and Sewer Public Utility Fund 2,522 2,522 ^�
Grants 8,979 8,979 � I
/
Total $26,413,582 $1 ,279,826 $12,056,341 $15,637,067 L
See accompanying Notes to Financial Statements.
-56- 1
GENERAL LONG - TERM DEBT
GROUP OF ACCOUNTS
General obligation bonds and other forms of long-
term debt supported by general revenues are
obligations of a governmental unit as a whole and
not its individual constituent funds. Moreover,
the proceeds of such debt may be spent on facilities
which are utilized in the operations of several
funds. For these reasons, the amount of unmatured
long-term indebtedness which is backed by the full
faith and credit of the government should be recorded
and accounted for in a separate self-balancing group
of accounts titled the "General Long-Term Debt Group
of Accounts." This debt group will include, in
addition to conventional general obligation bonds,
time warrants and notes which have a maturity of
more than one year from date of issuance.
; I
EXHIBIT XXXXII
:144
7,
1
1
CITY OF FRIDLEY, MINNESOTA
`1 STATEMENT OF GENERAL LONG-TERM DEBT
YEAR ENDED DECEMBER 31 , 1978
Amount available and to be provided for the payment
of general long-term debt
Amount available in General Debt Service Fund $ 60,071
Amount to be provided by future taxes 295,746
Total available and to be provided $355,817
1
General long-term debt payable
Serial Bonds $260,000
Contracts - City Garage and Garage Addition 95,817
Total general long-term debt payable $355,817
(.Th
1
1
See accompanying Notes to Financial Statements.
-57-
NOTES TO
FINANCIAL STATEMENTS
)e
CITY OF FRIDLEY, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
DECEMBER 31 , 1978
,, Note 1 - Summary of Significant Accounting Policies
The accounting policies of the City of Fridley conform to generally accepted
"� accounting principles. The following is a summary of the significant policies:
Basis of accounting
Governmental funds - Revenue and expenditures are recognized on the modified
accrual basis. Under the modified accrual basis, revenue is recognized in
the accounting period in which they become available and measurable. Expen-
ditures are recognized in the accounting period in which the fund incurred
71 the liability, if measurable, except for unmatured interest on general long-
term debt and special assessment debt.
Proprietary funds - Income and expenses are recognized on the accrual basis.
Under the accrual basis, income is recognized in the accounting period in
which they are earned and become measurable; expenses are recognized in the
period incurred, if measurable.
The following transactions are accounted for as described below:
(a) General property taxes - Revenue is recognized in the year of anticipated
collection, with amounts due from the County and received early in the
following year set up as a receivable (unremitted taxes). Allowances are
provided for the full amount of delinquent taxes receivable. This
procedure has the effect of recognizing general property taxes as revenue
when cash is received because of the uncertainty of collection of the
delinquent amount.
71
(b) Interest revenue on special assessments receivable - Interest revenue is
recognized in the year of anticipated collection of the current principal
71 installment.
(c) Interest expense on general bonded indebtedness, special assessment bonds
.1 when utility revenue bonds - Interest expense is recorded as an expenditure
when paid; interest is not accrued unless fully matured and not paid.
(d) Bond and interest payments due January 1 - Expenditures are recognized
when amounts are remitted to the paying agent (usually in December) for
payment of bonds and interest.
Investments - Investments are carried at cost, which approximates market. Cost
includes principal , accrued interest and premium or discount. Investment revenue
is recorded as earned and is allocated to the respective funds on the basis of
applicable participation by each fund.
-58-
n
CITY OF FRIDLEY, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
DECEMBER 31 , 1978 /
Mote 1 - Summary of Significant Accounting Policies (continued)
Inventories - Inventories held by the General Fund and Enterprise funds are fl
stated at cost which is lower than market on a first-in first-out basis and
accounting controls are maintained under a perpetual system. The only other
items of inventory would be a small quantity of supplies which were expensed when 'l
purchased.
Property, Plant and Equipment-Enterprise Funds - The property, plant and equipment
of the Enterprise funds are stated at cost. Depreciation has been provided
using the straight-line method over the estimated useful lives of the assets.
No depreciation has been taken on water and sewer lines as Council has adopted a
policy of not depreciating assets contributed by other funds. If depreciation II
had been charged on those assets financed by other funds, the income of the
Public Utility Fund would have been $24,003, a decrease of $203,334. '�
General Fixed Assets - General Fixed Assets purchased are recorded as expenditures 7I
in funds other than Enterprise funds at time of purchase. Such assets are
capitalized at cost in the general fixed asset group of accounts. No depreciation
has been provided on the general fixed assets.
General Long-term Debt - The general long-term liabilities, except for Enterprise
and Special Assessment funds, are not carried as a liability of a fund, but rathern
are set up in a separate self-balancing group of accounts known as the "general
long-term debt group of accounts."
Budget - A plan of financial operation is set forth in the annual budget adopted
by the City Council . The amounts shown in the financial statements represent the
original budgeted amount and all revisions made during the year.
Note 2 - Pending Litigation
With the exception of the below-mentioned items, the City had the usual and
customary types of miscellaneous claims pending at year-end, mostly of a minor
nature and usually all covered by insurance carried for that purpose. 1
The City is involved in a suit for breach of contract wherein the plaintiff alleges
that the City of Fridley and Comstock & Davis, Consulting Engineers, misled him
in describing existing conditions in regard to a utility project. It is alleged
that the plaintiff contractor did a substantial amount of work for which he was
not compensated. The plaintiff is asking $375,000 in damages. It is the position
of the City that if there is any liability, it is that of Comstock & Davis who
were hired by the City to design and supervise the construction.
The City is involved in several other litigations; however, any liability on n
these cases is covered by an adequate amount of liability insurance.
-59- I
ii
CITY OF FRIDLEY, MINNESOTA
t NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
DECEMBER 31 , 1978
It
Note 3 - Deferred Credit - Metropolitan Waste Control Commission (Public
**�� Utility Fund)
II The deferred credit of the Public Utility Fund represents:
71 1 . The City's share of equity in the City's sewer interceptors is $389,668
(the interceptors were acquired by the Commission on January 1 , 1971 ) .
This receivable will be paid to the City in annual installments with
interest through 1999. Repayment will be made by issuing credits against
fl future disposal charges from the Commission.
2. The amount of $47,339, which will be repaid with interest through 1988,
is for advances made to the Comission during 1971 and 1972.
3. The remaining balance of $61 ,434 represents the final cost allocation
for 1977. This amount will be credited against disposal charges from
the Commission in 1979.
Note 4 —Pension Plans (All Funds)
The City has no pension funds as such. Other agencies are responsible for the
administration of all of the pension plans covering City employees. Employees
of the City of Fridley are covered by five pension plans: 1 ) Fridley Volunteer
Firefighter's Relief Association for volunteer firefighters; 2) Fridley Police
Pension Association for police officers hired prior to December 15, 1975;
3) Public Employees Retirement Association (P.E.R.A. ) Police and Fire Plan
covering the City's full-time firefighters and newly-hired police officers; 4) the
basic Public Employees Retirement Association (P.E.R.A. ) covering certain other
71 City civilian employees; and 5) the Coordinated Public Employees Retirement
Association (P.E.R.A. ) which covers the balance of the City civilian employees.
The employees covered by the Coordinated P.E.R.A. Plan are also covered by
Social Security.
The City is currently making all pension contributions required by law.
7 A brief explanation of each of the pension plans follows:
1 . Fridley Volunteer Firefighter's Relief Association:
As of December 31 , 1978, there were thirty-eight active volunteer
firefighters covered by this pension system. The employer's contribution
in 1978 was $45,683. The pension plan provides benefits for volunteer
firefighters only. It provides no benefits for full-time firefighters.
The City's full-time firefighters are covered by the P.E.R.A. Police and
Fire Plan. The Fridley Volunteer Firefighter's Relief Association plan
is actuarially sound; an audit report prepared by the State Auditor's
Office as of December 31 , 1977 shows an actuarial surplus in the Fund of
prTh $83,359. Funding for the pension plan is provided entirely from the 2%
rebate received from the State of Minnesota. The source of revenue for
this rebate is a 2% levy on all fire insurance premiums written in the
City of Fridley. In 1978 this source of revenue provided $45,683 to the
Fund which was in excess of the amount needed to meet the normal pension
costs.
-60-
' 1
CITY OF FRIDLEY, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
DECEMBER 31 , 1978 P
Note 4 - Pension Plans (All Funds) (continued)
2. Fridley Police Pension Association:
The Fridley Police Pension Association was incorporated on December 26,
1966 to be effective January 1 , 1967. On December 31 , 1977, the plan
covered twenty-six active sworn police officers. In 1978, the employer's 7
contribution was $119,583. On December 15, 1975, the City Council adopted
an ordinance which had the effect of placing all newly-hired police officers
in the State-wide P.E.R.A. Police and Fire Plan. This action of the City
Council had the effect of substantially reducing the City's liability for
newly-hired police officers because the State-wide P.E.R.A. Police and
Fire Plan has retirement benefits less liberal than those of the Fridley
Police Pension Association. This action of the City Council has been upheld
by the Minnesota District Court. In addition, a special bill was adopted
by the State Legislature with an effective date of July 11 , 1977, which
also provided for putting new officers in P.E.R.A. in addition to some ^�
other features.
An actuarial report prepared for the Fridley Police Pension Association
by Gabriel , Roeder, Smith & Company shows an unfunded actuarial deficit
of $588,573 as of December 31 , 1978. Assets of the Association were -
shown as $1 ,265,283 and total liabilities of $1 ,853,856. In 1969 the
State Legislature adopted legislation requiring all municipalities in the r r1
State to gradually increase their contributions to local pension plans,
such as the Fridley Police Pension Association, so that by the year 1980
the level of funding would be such that the actuarial deficit of the plan
would be frozen. The purpose of this legislation was to prevent an
increase in unfunded pension liabilities and to cause the employee and
employer to contribute sufficient funds to the plan to fund the normal
cost of the plan. The City has proceeded ahead of schedule in increasing
its contributions to the plan.
The normal cost of the pension plan is 24.03% of payroll , according to "�
Gabriel , Roeder, Smith & Company, actuaries. In addition to meeting this
normal cost, the 1969 Guidelines Act requires that interest on the deficit
in the amount of 5% be paid to the Association. This is the funding level
that is required to be reached by the year 1980. The interest on the
deficit amounts to approximately 3.9% of payroll . The total funding
requirements of the plan, therefore, are approximately 27.93% of covered
payroll with the employees contributing 8% and the City 19.93%.
The City receives a 2% surcharge on automobile insurance policies written
in the City. This is channeled through the State of Minnesota to the
City for the purpose of helping to pay the employer's share of pension
costs. In 1978, this amounted to $50,395. The City contributed $69,188
of its own money during 1978. The total contribution to the fund for
the employer's share was $119,583. This compares with a normal cost for
the employer's share of the plan, assuming there was no deficit, of $90,945.
The amount the City and the employees contributed is in excess of the
level of funding that must be reached by 1980. Because of the Council 's
action in placing newly-hired police officers in the State-wide P.E.R.A.
Police and Fire Plan, the Fridley Police Pension Association Plan will
-61- 1 1
CITY OF FRIDLEY, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
DECEMBER 31 , 1978
I + Note 4 - Pension Plans (All Funds) (,continued
2. Fridley Police Pension Association (continued)
eventually be phased out. It is the intent of the City to meet or exceed
the funding requirements as provided by the Guildeines Act for this
pension plan and to retire the deficit entirely on or before 2010 as is
provided for by State legislation. The City bears the ultimate funding
responsibility for the fund except for the amount contributed by the
employees.
3. Public Employees Retirement Association - Police and Fire Plan:
ii
As of December 31 , 1978, there were eleven full-time employees in the
State-wide P.E.R.A. Police and Fire Plan. The employer's contribution
in 1978 was $24,256. The normal cost of this plan is 20% of payroll .
The employee contributes 8% of payroll and the employer contributes 12%.
According to the Financial Report of the Public Employees Retirement
Association, this plan was 82% funded as of June 30, 1978. The City's
funding responsibility is limited to the 12% employer's contribution.
4. Basic Public Employees Retirement Association Plan:
On December 31 , 1978, there were thirty-one permanent employees covered
by the State-wide Basic Public Employees Retirement Association Plan.
Employees under this plan are not covered by Social Security. This is
a state-wide pension system covering local government employees through-
out the State of Minnesota with the exception of the City of Minneapolis.
The normal cost of this pension plan is 16% of payroll plus 2-1/2% to
make up the actuarial deficit. Employees contribute 8% of payroll and
employer contributes 8%, plus an additional 2-1/2% which is applied
towards the actuarial deficit. The employer's contribution to this plan
was $54,263 in 1978. State law provides that the actuarial deficit is
to be retired by 1997. According to the Financial Report, the plan was
77 57% funded as of June 30, 1978.
7 5. Coordinated Public Employees Retirement Association:
As of December 31 , 1978, there were fifty-four permanent employees and
sixteen temporary employees covered under this plan. The employer's
7 contribution in 1978 was $51 ,126. Employees covered by this plan receive
approximately one-half of the benefits of those employees covered by
the Basic P.E.R.A. plan. In addition, they receive Social Security
benefits. The normal cost of this plan is 8% of payroll plus an addi-
tional 1-1/2% to make up the actuarial deficit of the fund. The employee
contributes 4% of payroll and the employer 4% of payroll , plus an
additional 1-1/2% to retire the actuarial deficit. Under State law, the
I ; actuarial deficit is scheduled to be retired by 1997. The Financial
-62-
71
CITY OF FRIDLEY, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
DECEMBER 31 , 1978
Note 4 - Pension Plans (All Funds) (continued)
5. Coordinated Public Employees Retirement Association (continued)
Report shows the plan was 104% funded as of June 30, 1978. The City's
responsibility is limited to the 5.5% contribution. The funding rate
for the Basic and Coordinated P.E.R.A. plans, taken as a whole, was
69% on June 30, 1978. It should be noted that CETA employees are covered
by Social Security, but no other pension plan.
Note 5 - Leases 7
The City leases space for Liquor Store No. 4 at the Holly Shopping Center, ^�
6586 University Avenue Northeast. A lease was entered into on the 13th day
of May 1974 which provides for the following rent schedule in 1979:
First four months of 1979 $2,700.00 basic rent
First four months of 1979 144.00 lot maintenance
$2,844.00
A new lease was entered into on October 30, 1978 which provides for the 7
following rental payments effective May 1 , 1979.
$13,600 per annum for each of the first four lease years (
$15,192 per annum for each of the fifth through eighth years
In addition to the above amounts, the City is required to pay $61 each month 7
for the first four years of the lease for lot maintenance and $73 per month
during the fifth through the eighth years for lot maintenance. The City will
also share on a pro rata basis any increase in taxes over the base year of ^�
1978.
In addition, the City has a lease-purchase agreement for the purchase of
•
certain real estate located within Fridley. The agreement expires July 31 ,
1979 but contains provisions for two one-year extensions. The City also has
the option to purchase the property for $275,000. Presently the City pays
$1 ,700 per month rent, or $20,400 annually, plus all other operating expenses.
Note 6 - Bonded Debt
The City had four types of bonded debt outstanding at December 31 , 1978. They
were: 1 ) general obligation bonds for the Civic Center, 2) general obligation
improvement bonds, 3) general obligation utility revenue bonds, and 4) public
utility revenue bonds.
The general obligation bonds are payable solely from general property taxes.
mi
The general obligation improvement bonds and general obligation utility revenue
bonds are payable primarily from other sources such as special assessments
and utility revenue, respectively, with any deficiency to be provided for by
general property taxes. The public utility revenue bonds are payable solely i
from the revenue of the City's utilities fund. See the supplemental informa-
tion for schedules of bond and interest maturities. n
-63-
•i CITY OF FRIDLEY, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
DECEMBER 31 , 1978
Note 7 - Revenue Bonds
At December 31 , 1978, the Public Utility Fund had $632,214 of revenue bonds
outstanding. The net income of the Public Utility Fund along with general
property taxes has been pledged to pay the principal and interest. The City
, i has not levied taxes for the payment of these bonds or interest thereon.
Note 8 - Bond Covenants
The revenue bond issues have specific covenants which are to be followed by
the City. The City has complied with these covenants.
Note 9 - Industrial Revenue Bonds
On March 21 , 1977 the Council authorized the issuance of $1 ,500,000 of
Industrial Revenue Bonds for Safetran Systems Corporation. On December 31 ,
1978, $1 ,500,000 in bonds were outstanding for this issue.
Note 10 Vacation and Sick Leave
The General Fund balance sheet as presented reflects the City's accrued
liability for vacation benefits for all City employees. It also includes the
estimated potential liability for sick leave benefits for all City employees.
The City's liability for sick leave accrual was estimated on the basis of
one-third of the total sick leave accumulations for all City employees.
Ti
I
-64-
STATISTICAL SECTION IV
TABLE I
7-4\
71
'1
CITY OF FRIDLEY, MINNESOTA
GENERAL FUND EXPENDITURE ANALYSIS
BY FUNCTION
71
General Civic Public Public Parks and
Year Government Center Safety Works Recreation Total
1969 $199,356 $ 56,049 $ 496,542 $ 368,494 $200,269 $1 ,320,710
1970 230,473 50,051 565,629 352,661 327,552 1 ,526,366
1971 255,423 53,809 621 ,908 418,167 341 ,533 1 ,690,840
7%Th 1972 293,510 56,562 652,201 453,682 351 ,739 1 ,807,694
1973 310,866 62,076 848,448 495,006 407,943 2,124,339
1974 357,012 61 ,449 893,201 675,381 493,160 2,480,203
71 1975 436,032 77,753 1 ,016,774 755,904 582,982 2,869,445
1976 476,286 80,067 1 ,146,181 879,626 699,304 3,281 ,464
!1 1977 484,663 109,647 1 ,239,730 928,742 839,151 3,601 ,933
71 1978 572,381 102,fin4 1 ,446,302 1 ,028,594 822,095 3,971 ,816
n
r
i
I
j -65-
TABLE 2 7
71
Ti
CITY OF FRIDLEY, MINNESOTA
GENERAL FUND REVENUE BY SOURCE ' l
LAST TEN FISCAL YEARS
Ti
Charges Inter-
General Licenses for govern- Inter- I
Property Permits, Current mental Fund Other Total .__
Year Tax and Fines Services Revenue Transfers Revenue Revenue
1969 $ 720,572 $109,276 $ 24,957 $ 263,780 $212,123 $ 39,778 $1 ,370,486
1970 894,153 96,994 45,172 331 ,699 157,890 73,340 1 ,599,248
1971 955,838 120,061 56,254 395,384 239,000 67,012 1 ,833,549 r]
1972 973,103 192,456 47,761 541 ,938 156,500 90,056 2,001 ,814
1973 1 ,087,173 157,703 57,100 502,955 263,245 93,012 2,161 ,188
1974 1 ,344,632 179,142 58,243 601 ,266 323,690 112,568 2,619,541
1975 1 ,619,966 174,630 59,936 648,872 335,693 115,753 2,954,850
1976 1 ,762,205 210,904 63,200 811 ,406 385,388 179,736 3,412,839
1977 1 ,703,364* 270,409 99,755 1 ,346,412 384,743 235,752 4,040,435 fl
1978 1 ,846,370* 265,657 104,069 1 ,576,630 388,628 285,311 4,466,665
Increases in general property taxes is partially attributable to change in accounting
' 1
procedures, which now include pension contributions and other employee benefits in
the operating progams of the General Fund. Ti
*Homestead credit received for these two years is reported as part of Intergovernmental 71
Revenue rather than the General Property Tax source.
Ti
(7)
Ji -66- I I
TABLE 3
rLTh
pit
CITY OF FRIDLEY, MINNESOTA
TAX LEVIES AND TAX COLLECTIONS
YEARS 1969 THROUGH 1978
Collections Percentage Collection
of current of levy of prior Ratio
year's taxes collected year's taxes of total
Year Total during fiscal during fiscal during fiscal Total collections
collected tax levy period period period collections to tax levy
1969 $ 904,756 $ 877,150 96.95% $16,349 $ 893,499 .9875:1
1970 1 ,068,629 1 ,038,922 97.22 12,177 1 ,051 ,099 .9835:1
1971 1 ,215,586 1 ,136,296 93.47 27,563 1 ,163,859 .9574:1
1972 1 ,139,871 1 ,119,975 98.25 75,812 1 ,195,787 1 .0490:1
*.. 1973 1 ,260,386 1 ,245,095 98.78 30,551 1 ,275,646 1 .0112:1
1974 1 ,389,672 1 ,365,737 98.28 18,974 1 ,384,711 .9964:1
1975 1 ,662,544 1 ,629,395 98.01 29,767 1 ,659,162 .9980:1
1976 1 ,854,061 1 ,812,739 97.78 32,401 1 ,845,140 .9952:1
1977 2,057,083 2,033,169 98.84 39,505 2,072,674 1 .0076:1
1978 2,199,318 2,177,318 99.00 48,922 2,226,240 1 .0122:1
-67-
CITY OF FRIDLEY, MINNESOTA n
ASSESSED VALUE AND ESTIMATED MARKET VALUE OF ALL TAXABLE PROPERTY I
(Shown by Year of Collectibility) 71
Years 1970 Through 1979
Fiscal Period fl_
1970 1971 1972 1973
Population 29,233**** 29,636 30,340 31 ,143
(2)
Real Property
Estimated Market Value $179,336,929 $215,276,076 $224,892,331 $266,730,657
Assessor's Lmt. Mar. Val . $ 55,773,785 $ 67,811 ,964 $ 69,941 ,515 $242,991 ,629 71
Assessed Value
Homestead $ 5,126,387 $ 5,271 ,642 $ 5,295,419 $ 16,233,935
Excess and Non-Homestead 14,063,578 18,649,587 19,425,726 73,166,443
Area-Wide Allocation --- --- --- --- ' I
Taxable Value $ 19,189,965 $ 23,921 ,229 $ 24,721 ,145 $ 89,400,378
Personal Property
Estimated Market Value
Taxable Property $ 28,671 ,122 $ 32,262,943 $ 36,379,141 $ 15,796,166
Exempt Property 10,211 ,890 10,593,848 --- ---
Total Market Value $ 38,883,012 $ 42,856,791 $ 36,379,141 $ 15,796,166
Assessor's Value
Taxable Property $ 8,916,719 $ 10,162,827 $ 11 ,313,913 $ 14,390,307
Exempt Property 3,175,898 3,337,062 --- --- II
Total Assessor's Value $ 12,092,617 $ 13,499,889 $ 11 ,313,913 $ 14,390,307
Taxable Value:
Taxable Property $ 3,245,428 $ 3,687,092 $ 4,080,720 $ 6,187,860
Exempt Property 1 ,155,935 1 ,210,692 --- --- - '
Taxable Value $ 4,401 ,363 $ 4,897,784 $ 4,080,720 $ 6,187,860 n
Total Real & Personal Property ' 1
Estimated Market Value $218,219,941 $258,132,867 $261 ,271 ,472 $282,526,823
Limited Market Value $ 67,866,402 $ 81 ,311 ,853 $ 81 ,255,428 $257,381 ,936 71
Total Taxable Value $ 23,591 ,328 $ 28,819,013 $ 28,801 ,865 $ 95,588,238
Ratio of Market Value
To Limited Market Value .311 :1** .315:1** .311 :1** .911 :1*
7
To Taxable Value .108:1 .112:1 .110:1 .338:1
Per Capita Valuations I
Estimated Market Value $ 7,465 $ 8,710 $ 8,640 $ 9,072
Taxable Value 807 972 952 3,069
(1 ) Beginning in 1972, the value of inventories and fixtures was dropped. Cities 71
were reimbursed by the State via other State Aids.
(2) 1972 and subsequent valuations reflect changes as provided for in Laws of 1971 ,
7
Extra Session, Chapter 31 , amended.
Beginning with taxes levied in 1972, collectible in 1973, Minnesota assessed Fl values tripled through elimination of the 33 1/3 ratio previously used to arrive
at "adjusted" market values. Tax rates are one-third of past rates.
-68- n
N.)
7
TABLE 4
.1
Fiscal Period
r• -1974 1975 1976 1977 1978 1979
{ � 32,542 32,486 31 ,570 31 ,940 31 ,940*** 33,450
(3)
$294,415,529 $325,394,031 $367,264,013 $405,285,288 $456,038,596 $474,610,022
$270,273,456 $288,949,935 $327,232,236 $363,541 ,172 $408,865,261 $458,973,683
7" $ 16,582,864 $ 17,104,208 $ 17,644,329 $ 19,607,606 $ 20,453,732 $ 21 ,633,558
! 84,043,948 90,832,944 105,665,396 117,424,505 124,640,289 134,204,943
--- (3,140,753) (4,541 ,034) (4,812,211 ) (6,271 ,738) (7,376,217)
r
, $100,626,812 $104,796,399 $118,768,691 $132,219,900 $138,822,283 $148462,284
1 II
li $ 17,323,420 $ 18,183,599 $ 18,073,064 $ 18,167,447 $ 19,340,803 $ 17,424,500
$ 17,323,420 $ 18,183,599 $ 18,073,064 $ 18,167,447 $ 19,340,803 $ 17,424,500
$ 15,902,900 $ 16,147,000 $ 16,103,100 $ 16,296,200 $ 17,348,700 $ 17,424,500 •
--- --- --- --- --- ---
$ 15,902,900 $ 16,147,000 $ 16,103,100 $ 16,296,200 $ 17,348,700 $ 17,424,500
$ 6,838,247 $ 6,943,210 $ 6,924,333 $ 7,007,366 $ 7,459,941 $ 7,492,535
^1 $ 6,838,247 T 6,943,210 $ 6,924,333 $ 7,007,366 $ 7,459,941 $ 7,492,535
7 $311 ,738,949 $343,577,630 $385,337,077 $423,452,735 $475,379,399 $492,034,522
$286,176,356 $305,096,935 $343,335,336 $379,837,372 $426,213,961 $476,398,183
$107,465,059 $111 ,739,609 $125,693,024 $139,227,266 $146,282,224 $155,954,819
.918:1* .888:1* .891 :1* .897:1* .897:1* .968:1
�
''f .345:1 .325:1 .326:1 .329:1 .308:1 .317:1
� {
$ 9,580 $ 10,576 $ 12,206 $ 12,689 $ 14,884 $ 14,710
71 $ 3,302 $ 3,440 $ 3,981 $ 4,359 $ 4,580 $ 4,662
(3) Property values include net amount allocated pursuant to Laws of 1971 , Extra
Session, Chapter 23, from Area-Wide "Pool ."
Beginning with taxes levied in 1974, collectible in 1975, the value on which
the City of Fridley's mill rate is calculated, is not the City's assessed
71 value
but a taxable value based on the City of Fridley's assessed value minus
the net loss to the Metro Tax Pool .
J *Source - State of Minnesota Department of Revenue
1 **Source - Anoka County Assessor's Office
***No census figure for 1978 is available, therefore, t 1977 figure is used.
****United States Census
-69- ,
n
I
r1
n
CITY OF FRIDLEY, MINNESOTA 7
HISTORY OF TAX LEVIES AND MILL RATES
(Shown by Year of Tax Collectibility) j�
7 !
1970 1971 1972 1973
Tax Levies 71
General Fund $ 909,650 $1 ,001 ,209 $ 923,625 $1 ,075,464
P.E.R.A. Fund 90,312 47,402 59,566 53,954
Fire Relief Assoc. Fund 24,057 27,523 17,602 13,776
rl
Police Pension Assoc. Fund 44,610 55,862 57,547 49,992
General Debt Service Funds --- 83,590 81 ,531 67,200
Capital Improvement Fund --- --- --- --- n
Total $1 ,068,629 $1 ,215,586 $1 ,139,871 $1 ,260,386 fl
7
Mill Rate
General Fund 38.56 34.74 32.07 10.84
P.E.R.A. Fund 3.83 1 .64 2.07 .54
Fire Relief Assoc. Fund 1 .02 .96 .61 .14
Police Pension Assoc. Fund 1 .89 1 .94 2.00 .51
General Debt Service Funds -- 2.90 2.83 .68 77
Capital Improvement Fund -- -- -- -- I1
45.30 42.18 39.58 12.71
(1 ) Beginning in 1972, the value of inventories and fixtures was dropped. Cities
were reimbursed by the State via other State Aids.
(2) 1972 and subsequent valuations reflect changes as provided for in Laws of 1971 ,
Extra Session, Chapter 31 , amended.
Beginning with taxes levied in 1972, collectible in 1973, Minnesota assessed
values tripled through elimination of the 33 1/3 ratio previously used to arrive
at "adjusted" market values. Tax rates are one-third of past rates. ri
11
El
i
-70-
i ► I
ml
TABLE 5
rTh
A.
r-
I
7
i 1974 1975 1976 1977 1978 1979
I
$1 ,178,854 $1 ,624,144 $1 ,769,965 $1 ,974,563 $2,114,917 $2,264,856
95,895 --- --- --- ---
75,723 ---
39,200 38,400 37,500 36,600 41 ,000 39,900
A, --- -- 46,596 45,920 43,401 43,368
$1 ,389,672 $1 ,662,544 $1 ,854,061 $2,057,083 $2,199,318 $2,348,124
10.97 14.53 14.09 14.18 14.47 14.52
' I _89 =_ __ __ -- --
.71 --
r, .37 .35 .30 .27 .28 .26
� � -- -- .37 .33 .30 .28
12.94 14.88 14.76 14.78 15.05 15.06
(3) Property values include net amount allocated pursuant to Laws of 1971 , Extra
Session, Chapter 23, from Area-Wide "Pool."
71
Beginning with taxes levied in 1974, collectible in 1975, the value on which
.l The City of Fridley's mill rate is calculated, is not the City's assessed value
but a taxable value based on the City of Fridley's assessed value plus the
net addition or deletion from the Metro Tax Pool .
li
R
it
I
-71-
TABLE 6 fl
CITY OF FRIDLEY, MINNESOTA R
STATEMENT OF VALUATIONS AND LEVIES BY CLASSES OF PROPERTY (l'
(1978 Valuation for Taxes Payable in 1979)
rl
Assessed
Valuation Assessed Ratio of Tax Levy
Before Valuation Valuation Adjusted Based on 1
Contribution Contribution Distribution Adjusted Assessed Adjusted
Class of to Metro Tax to Metro Tax From Metro Assessed Value to Assessed
Property Pool Pool Tax Pool Value Total Value
Commercial $ 21 ,086,770 $ 3,640,350 $ 17,446,420 11 .187% $ 262,686.17
Industrial 38,948,583 6,723,955 32,224,628 20.663 485,195.70
F.M.C. #85 4,030,820 695,867 3,334,953 2.138 50,203.19
Gas 1 ,271 ,725 219,546 1 ,052,179 .675 15,849.93
Electric 2,180,487 376,432 1 ,804,055 1 .157 27,167.95 7
Billboards, etc. 9,503 1,641 7,862 .005 117.41 r,
P.U.-R.E. & Mach. 363,404 62,737 300,667 .193 4,531 .91 '_I
Vacant Land 1 ,380,343 1 ,380,343 .885 20,781 .0
Apartments 14,392,800 14,392,800 9.229 216,709.63 -
Residential 79,666,601 79,666,601 51 .083 1 ,199,499.21
Received from
Metro Pool $4,344,311 4,344,311 2.785 65,381 .88 l
TOTALS $163,331 ,036 $11 ,720,528 $4,344,311 $155,954,819 100.000 $2,348,124.00
The assessed value for the first seven classes of property shown above has been reduced for -
local taxable value to 82.7363% of the actual assessed value. This taxable value is then
mulitplied by the applicable local mill rates. The balance of the assessed value is
multiplied by the Metro Mill Rate of 114.365. This money then goes into the Metro Pool . -
The City of Fridley received $65,381 .88 from this pool .
The tax shown for Residential is the total amount received by the City. Owners of I
Residential properties do not pay this full amount. Up to $325 per homestead in credit
is paid by the State to the County, and the County in turn distributes this to various
local governments as part of the levy request. An additional refund may be received 71
by the taxpayer directly from the State depending on income and age.
' I
r)
II
-72- i
7
CITY OF FRIDLEY, MINNESOTA
rq
TABLE 7
SIGNIFICANT MINNESOTA TAX POLICIES
GENERAL
1
All non-exempt property in Minnesota is subject to taxation by local taxing districts.
The tax levied on a property is derived by multiplying its assessed valuation by the
total tax rate. The tax rate (mills) is determined by the County Auditor, dividing
each taxing district's dollar levy (budget less aids and revenues) by its total
assessed valuation (taxable value). (Budget taxable value = mill rate. )
Properties are valued by local or county assessors at least every four years at their
estimated market or potential sales value (Estimated Market Value = EMV). Because
Minnesota legislation limits the amount which any property value (for tax purposes)
may be increased in one year, a Limited Market Value (LMV) is used to determine a
property's assessed value for tax purposes. (A State objective is to increase
undervalued properties to near market value within four years in annual amounts.)
7� The Minnesota Department of Revenue appraises representative properties annually,
I comparing sales or market values with the LMV. Sales ratios are averaged over three
years to determine an average sales ratio. The sales ratio is also applied to
determine municipal and school district state aids.
For tax purposes, the assessed valuation of a property is computed on the basis of
its Limited Market Value and its category of use. Some examples are:
7
Residential homestead property: Part of the LMV said to be "homestead" ($17,000 for
taxes due in 1979-) is assessed at 20%, and the balance at 33 1/3%. The assessed value
of a homestead residence with an LMV of $50,000 would be $14,400 for taxes collectible
in 1979. (See "homestead" note below. )
PR Residential non-homestead property is assessed at 40% of its LMV. The assessed value
of a non-homestead residence (rental property) with an LMV of $50,000 would be $20,000.
Industrial/commercial/utility property is assessed at 43% of LMV. (LMV of utilities
is computed by the Minnesota Department of Revenue. )
NOTE: A property qualifies as a "homestead" if it is occupied by the owner
on the assessment date. The homestead base is adjusted annually by the Department
of Revenue based upon an inflation index.
EXEMPT PROPERTY: Exempt real property includes Indian lands, public property, and
educational , religious and charitable institutions. In 1967, certain personal property
was exempted from taxation, and additional properties (farm machinery, inventories,
manufacturers' machinery) were exempted in 1971 and 1973. Originally, the State provided
7 direct reimbursement for taxes lost due to newly exempt properties; however, later
implemented local government aids consider these, and reimbursements have been "grand-
.` fathered in" (guaranteed) at previous levels and are no longer identified.
HOMESTEAD CREDIT: Homestead taxes are reduced by a 45% credit (maximum $325) . This
credit is subtracted on the tax statement, and the taxpayer pays only the net amount;
,.� homestead credits are reimbursed by the State to the taxing districts in proportion to
I their levies, thus relieving the property tax burden.
n "CIRCUIT BREAKER" TAX RELIEF: Further residential property tax credits are gauged by
percentages of the gross property tax to household income: (1 ) To the extent a
home owner's tax or a renter's imputed tax exceeds certain percentages of household
income (1% for lower income groups, up to 4% for incomes of $100,000 or more) ,
home owners or renters may receive State credits up to $800 (combined homestead and
income-adjusted credits).
-73-
TABLE 8 fl
2I
ill
I
CITY OF FRIDLEY, MINNESOTA fl
SPECIAL ASSESSMENT LEVIES AND COLLECTIONS
YEARS 1969 THROUGH 1978
7
Ratio Total
Ratio of Outstand-
of Total ing
Current Collec- Current
Collec- Delin- tions and 7 Current Current tions to quent to Delin-
Assess- Assess- Amount Assess- Current quent
Fiscal ments ments Due ments Total Levy Assess-
Year Due Collected (Percent) Collected Collected (Percent) ments
1969 $683,141 $563,413 82.47% $158,713 $722,126 105.71% $744,043
1970 681 ,841 572,939 84.03 62,085 635,024 93.13 818,438
1971 688,887 606,297 88.01 133,150 739,447 104.34 751 ,726 7
1972 746,971 634,697 84.97 119,204 753,901 100.93 727,909
1973 697,797 619,236 88.74 87,793 707,029 101 .32 724,891 71
1974 913,497 742,105 81 .24 81 ,990 824,095 90.21 782,751
1975 953,453 696,193 73.02 273,771 969,964 101 .73 736,530 7_
1976 942,965 767,498 81 .39 223,843 991 ,341 105.13 706,413 71
1977 918,918 801 ,584 87.23 168,821 970,405 105.60 655,073 -
1978 777,007 699,145 89.98 288,525 987,670 127.11 439,385 ' 1
71
' 1
n
,,1 11
-74- R
r.
i
TABLE 9
--, CITY OF FRIDLEY, MINNESOTA
r~ DEBT SERVICE REQUIREMENTS - ALL FUNDS
7 DECEMBER 31 , 1978
Year Principal Interest Total
H 1979 $ 465,000 $ 217,149.53 $ 682,149.53
1980 915,000 265,100.01 1 ,180,100.01
n 1981 1 ,315,000 208,955.00 1 ,523,955.00
1982 790,000 154,812.50 944,812.50
1983 585,000 123,985.00 708,985.00
1984 500,000 99,432.50 599,432.50
1 1985 440,000 78,035.00 518,035.00
1986 390,000 59,103.75 449,103.75
1987 340,000 41 ,990.00 381 ,990.00
'l 1988 235,000 27,800.00 262,800.00
I 1 1989 135,000 18,250.00 153,250.00
1990 75,000 12,637.50 87,637.50
7 1991 50,000 9,262.50 59,262.50
i 1992 50,000
6,625.00 56,625.00
1993 50,000 3,975.00 53,975.00
1994 50,000 1 ,325.00 51 ,325.00
$6,385,000 $1 ,328,438.29 $7,713,438.29
SUMMARY OF OUTSTANDING BONDED INDEBTEDNESS
Bonds Outstanding January 1 , 1978
General Debt Service $ 285,000
Special Assessment - Permanent 5,721 ,061
- Public Utilities - Sinking 733,939
' 1 Special Assessment - Temporary 35,000
$6,775,000
1 Bonds Issued During 1978
Special Assessment - Temporary $ 520,000
; I Bonds Retired During 1978
General Debt Service $ 25,000
Special Assessment - Permanent 773,276
Public Utilities - Sinking 101 ,724
Special Assessment - Temporary 10,000
$ 910,000
-,
I Balance and Purpose of Bonds Outstanding on December 31 , 1978
General Debt Service $ 260,000
Special Assessment - Permanent 4,947,785
Public Utilities - Sinking 632,215
Special Assessment - Temporary 545,000
$6,385,000
-75- v
TABLE 10
71
r
71
71
CITY OF FRIDLEY, MINNESOTA
DEBT SERVICE REQUIREMENTS - GENERAL OBLIGATION BONDS
CIVIC CENTER
DECEMBER 31 , 1978
Year Principal Interest Total
1979 $ 30,000 $ 8,500.00 $ 38,500.00
1980 30,000 7,480.00 37,480.00 �•-y
1981 30,000 6,460.00 36,460.00 /
1982 30,000 5,425.00 35,425.00
1983 35,000 4,287.50 39,287.50
1984 35,000 3,062.50 38,062.50 f
1985 35,000 1 ,837.50 36,837.50 =-
1986 35,000 612.50 35,612.50
$260,000 $37,665.00 $297,665.00 Ti
71
71
' I
11
Ti
n
►1
-76- 1.1
P.
TABLE 11
.,
' I
r,
I
CITY OF FRIDLEY, MINNESOTA
DEBT SERVICE REQUIREMENTS - PERMANENT BONDS
SPECIAL ASSESSMENT FUNDS
1 DECEMBER 31 , 1978
7 Year Principal Interest Total
1979 $ 385,000 $ 150,638.03 $ 535,638.03
'1 1980 753,035 198,513.22 951 ,548.22
1 1981 657,250 167,529.77 824,779.77
1982 662,500 137,842.57 800,342.57
7`') 1983 500,000 111 ,122.50 611 ,122.50
I 1984 415,000 89,545.00 504,545.00
1985 355,000 71 ,122.50 426,122.50
1986 305,000 55,166.25 360,166.25
'7 1987 290,000 40,415.00 330,415.00
1988 215,000 27,450.00 242,450.00
1989 135,000 18,250.00 153,250.00
1990 75,000 12,637.50 87,637.50
1 1991 50,000 9,262.50 59,262.50
1992 50,000 6,625.00 56,625.00
.. 1993 50,000 3,975.00 53,975.00
7 1994 50,000 1 ,325.00 51 ,325.00
$4,947,785 $1 ,101 ,419.84 $6,049,204.84
7
7
.,
i
; ,
r.
V
..
-77-
TABLE 12
rl
r•
r
71
II
r,
CITY OF FRIDLEY, MINNESOTA 71
DEBT SERVICE REQUIREMENTS - TEMPORARY BONDS
SPECIAL ASSESSMENT FUNDS fl
DECEMBER 31 , 1978 •
n
Year Principal Interest Total H
1979 $ -0- $38,150.00 $ 38,150.00
1980 25,000 38,150.00 63,150.00 (-7
1981 520,000 18,900.00 538,900.00
$545,000 $95,200.00 $640,200.00 r
7I
71
n
11
7I
J
-78-
TABLE 13
P4
r.
•,
CITY OF FRIDLEY, MINNESOTA
^ DEBT SERVICE REQUIREMENTS
PUBLIC UTILITY REVENUE & WATER IMPROVEMENT BONDS
DECEMBER 31 , 1978
Year Principal Interest Total
1979 $ 50,000 $19,861 .50 $ 69,861 .50
1980 106,965 20,956.79 127,921 .79
1981 107,750 16,065.23 123,815.23
1982 97,500 11 ,544.93 109,044.93
l 1983 50,000 8,575.00 58,575.00
1984 50,000 6,825.00 56,825.00
1985 50,000 5,075.00 55,075.00
►� 1986 50,000 3,325.00 53,325.00
1987 50,000 1 ,575.00 51 ,575.00
1988 20,000 350.00 20,350.00
$632,215 $94,153.45 $726,368.45
n
rT
V
rR
-79-
TABLE 14 fl
I
n
CITY OF FRIDLEY, MINNESOTA
COMPUTATION OF LEGAL DEBT MARGIN
DECEMBER 31 , 1978
71
Assessed Value $163,331 .036* 71
(A) Debt Limit 6.667 Percent of Assessed Value $10,889,280
Amount of Debt Applicable to Debt Limit: 71
Total Bonded Debt $ 6,385,000
(B) Deductions: 71
General Debt Service Fund Assets $ 60,071
Special Assessment Bonds 5,492,785
Water Revenue & Improvement Bonds 632,215 6,185,071
Total Amount of Debt Applicable to Debt 199,929
Limit rl
Legal Debt Margin $10,689,351 I
*Includes $7,376,217 negative adjustment from "Fiscal Disparity" area wide tax base. 71
Note: (A) M.S.A. Section 475.53 (see following page)
Note: (B) M.S.A. Section 475.51 (see following page) 71
n
it
I
71
11
-80- J
Fl
TABLE 14 Continued
CITY OF FRIDLEY, MINNESOTA
COMPUTATION OF LEGAL DEBT MARGIN (CONTINUED)
DECEMBER 31 , 1978
Note (A):
M.S.A. Section 475.53 et seq. Limit on Net Debt
"Subdivision 1 . Generally. Except as otherwise provided in
section 475.51 , no municipality, except a school district or
a city of the first class, shall incur or be subject to a
r% net debt in excess of 6.67 percent of the assessed value."
Note (B) :
,, M.S.A. Section 475.51 Definitions
"Subdivision 4. 'Net Debt" means the amount remaining after
deducting from its gross debt the amount of current revenues
^ which are applicable within the current fiscal year to the
payment of any debt, and the aggregate of the principal of
the following:
,
'; j (1 ) Obligations issued for improvements which are payable
wholly or partly from the proceeds of special assessments
levied upon property specially benefited thereby, including
those which are general obligations of the municipality issuing
them, if the municipality is entitled to reimbursement in whole
or in part from the proceeds of the special assessments.
PR
(2) Warrants or orders having no definite or fixed maturity.
,.? (3) Obligations payable wholly from the income from revenue
producing conveniences.
(4) Obligations issued to create or maintain a permanent
improvement revolving fund.
(5) Obligations issued for the acquisition, and betterment of
public waterworks systems, and public lighting, heating or
power systems, and of any combination thereof or for any other
public convenience from which a revenue is or may be derived.
(6) Debt service loans and capital loans made to a school
district under the providions of sections 124.42 and 124.43.
(7) Amount of all money and the face value of all securities held
as a debt service fund for the extinguishment of obligations
other than those deductible under this subdivision.
r•
(8) All other obligations which under the provisions of law
authorizing their issuance are not to be included in computing
n the net debt of the municipality. "
1 .
PR ✓
-81-
II
' I
�1
CITY OF FRIDLEY, MINNESOTA
PROPERTY TAX RATES PER $1 ,000 OF ASSESSED VALUE AND TAX LEVIES
ALL OVERLAPPING GOVERNMENTS
YEARS 1970 THROUGH 1979 fl
TAX RATES n
School School School School
District District District District en
Year City No. 11 No. 13 No. 14 No. 16 County 11
1970 45.30 Mills 297.66 Mills 209.33 Mills 287.42 Mills 247.72 Mills 68.99 Mills .,
1971 42.18 257.09 211 .08 273.11 217.43 67.78
1972 39.58 " 173.68 " 162.66 " 160.27 172.87 " 73.59 "
1973 12.71 54.92 49.88 52.54 56.01 21 .77 "
1974 12.94 54.85 53.49 " 55.04 " 54.44 " 29.49
1975 14.88 60.19 " 54.12 60.33 66.05* " 22.22 "
1976 14.76 55.27 49.16 " 55.18 61 .60* " 22.16 "
1977 14.78 " 58.40 47.26 54.65 63.62* " 22.21 „
1978 15.05 55.84 46.53 54.26 61 .68* " 24.40
1979 15.06 47.71 45.04 47.17 62.25* 24.29
*Vocational/Technical District No. 916 included in District No. 16. �^
This table reflects the new method of determining assessed valuations as required
by 1971 Legislation. This change results in an assessed valuation of approximately n
35% of market value instead of approximately 11% under the previous formula.
TAX LEVIES 'l
; I
1970 $1 ,016,323 $250,844 $1 ,240,770 $3,110,580 $1 ,199,686 $1 ,547,818
1971 1 ,164,519 230,075 1 ,418,753 3,711 ,783 1 ,391 ,814 ' 1 ,871 ,292
1972 1 ,139,978 171 ,539 1 ,087,369 2,292,156 1 ,195,816 2,119,529 it
1973 1 ,214,927 183,201 1 ,108,087 2,570,517 1 ,182,508 2,080,956
1974 1 ,390,598 211 ,658 1 ,332,878 3,001 ,552 1 ,314,940 2,201 ,959
1975 1 ,662,685 268,717 1 ,414,161 3,417,636 1 ,617,961* 2,482,854 j
1976 1 ,855,229 300,800 1 ,403,823 3,537,777 1 ,698,993* 2,785,357
1977 2,057,083 360,242 1 ,499,855 3,863,402 1 ,948,613* 3,092,238 n
1978 2,199,318 355,565 1 ,568,135 3,987,358 2,017,736* 3,569,286 it
1979 2,348,124 330,743 1 ,634,858 3,668,695 2,204,204* 3,788,253
*Includes Vocational/Technical District No. 916.
n
-82- 1
n
TABLE 15
1
► L.\
...I
' 1
n
ii
r`, TOTALS
Special School School School School
Districts District District District District
Total No. 11 No. 13 No. 14 No. 16
3.34 Mills 415.29 Mills 326.96 Mills 405.05 Mills 365.35 Mills
n 2.87 369.92 323.91 " 385.94 " 330.26 "
: I 5.60 292.45 281 .43 279.04 291 .64
2.38** 91 .37 86.24 89.04 92.87
2.89** " 90.96 ii 89.81 91 .36 90.76 "
pl 4.77** " 101 .86 95.99 102.20 " 107.92 "
, 1 3.23** " 95.06 89.31 95.33 " 101 .75 "
3.43** " 98.52 " 87.68 " 95.07 " 104.04 "
7" 3.14** " 98.14 89.12 96.85 104.27 "
1 3.35** 89.80 87.73 89.87 " 104.95 "
,al **No Water Shed District in School District No. 11 .
n
i Yearly Total
Total Local Percentage Net Loss to Tax
^ Tax Levies Increase Metro Pool Levies
$ 74,934 $ 8,440,955 22%
79,236 9,867,472 17%
1 rl 161 ,290 8,167,677 -21%
Ii 204,380 8,544,576 5%
297,343 9,750,928 14%
rl 520,369 11 ,384,383 17%
380,806 11 ,962,785 5%
454,078 13,275,511 11%
�+ 426,450 14,123,848 6%
, I 470,367 14,445,243 2% $922,702 $15,367,945
r
ii
1 i -83-
TABLE 16 fl
CITY OF FRIDLEY
COMPUTATION OF DIRECT AND OVERLAPPING rri
BONDED DEBT AND COMPARATIVE DEBT RATIOS
DECEMBER 31 , 1978 i
% of Debt Net Debt
Gross Sinking Net Applicable Applicable
Governmental Unit Debt Funds Debt to City to City '�
Direct & Overlapping Debt ' '
Direct Debt: it
City of Fridley $ 6,385,000 $ 4,684,489 $ 1 ,700,511 100% $ 1 ,700,511 —
Overlapping Debt:
7
School Districts
No. 11 $ 33,725,000* $ 3,872,648 $29,852,352 1 .839 $ 548,985
No. 13 5,160,000* 1 ,419,120 3,740,880 32.005 1 ,197,269 7
No. 14 4,801 ,745* 897,035 3,904,710 100.000 3,904,710 II
No. 16 8,086,667* 1 ,636,760 6,449,907 45.341 2,924,452
Metro Transit $ 11 ,400,000 $ 2,320,980 $ 9,079,020 1 .827 $ 165,874 j1
Metro Council $ 34,350,000 $21 ,174,220 $13,175,780 1 .693 $ 223,066
Anoka County $ 625,000 $ 182,550 $ 442,450 23.205 $ 102,671 ! 1
Vocational/Technical
District No. 916 $ 7,420,000 $ 721 ,983 $ 6,698,017 2.951 $ 197,6 i
Total Overlapping
Debt $105,568,412 $32,225,296 $73,343,116 $ 9,264,685 fl
Total Direct and
Overlapping Debt $111 ,953,412 $36. 909,785 $75,043,627 $10,965,196 fl
Direct Overlapping fl
Total Debt Debt
Ratio of Net Debt to Taxable Value 1 :14.22 1 :91 .71 1 :16.83 7
Percent of Net Debt to Taxable Value 7.03% 1 .09% 5.94%
Ratio of Net Debt to Market Value 1 :44.87 1 :289.34 1 :53.11
Percent of Net Debt to Market Value 2.23% 0.35% 1 .88% �1
I_
Per Capita Debt $327.80 $ 50.83 $276.97
The above debt excludes the City's share of debt applicable to the Metropolitan Council , it
Metropolitan Waste Control Commission, the Metropolitan Airport Commission and the
North Suburban Hospital District which is paid from users' fees.
*Does not include State loans. 11
,1
-84- 7
..
TABLE 17
if
n
t.,
' i
i CITY OF FRIDLEY, MINNESOTA
r‘ RATIO OF ANNUAL DEBT SERVICE EXPENDITURES
i FOR GENERAL BONDED DEBT TO TOTAL GENERAL
' ` GOVERNMENT EXPENDITURES
YEARS 1969 THROUGH 1978
n
it
Total Total Ratio of Debt
Fiscal Debt General Service to
71 Year Principal Interest Service Expenditures General Expenditures
1969 $60,000 $47,895 $107,895 $1 ,416,795 .0762 : 1
1I 1970 60,000 45,975 105,975 1 ,687,787 .0628 : 1
7‘") 1971 90,000 48,495 138,495 1 ,846,757 .0750 : 1
1972 60,000 23,520 83,520 1 ,953,180 .0428 : 1
7 1973 65,000 14,620 79,620 2,341 ,081 .0340 : 1
1974 25,000 12,685 37,685 2,520,672 .0150 : 1
ri 1975 25,000 11 ,885 36,885 2,899,724 .0127 : 1
71 1976 25,000 11 ,073 36,073 3,281 ,818 .0110 : 1
1977 25,000 10,247 35,247 3,601 ,933 .0098 : 1
jf 1978 25,000 9,422 34,422 3,971 ,816 .0087 : 1
t"
I
i �
..
I i -85-
r1
TABLE 18 1
(
, I
n
CITY OF FRIDLEY, MINNESOTA
RATIO OF NET BONDED DEBT
TO PROPERTY VALUES AND NET BONDED DEBT PER CAPITA
(EARS 1969 THROUGH 1978
Net Ratio of Net Net Bonded,
Fiscal Taxable Gross Less Debt Bonded Bonded Debt to Debt Per
Year Population Value Bonded Debt Service Funds Debt Assessed Value Capita '
1969 28,235 $ 20,683,328 $9,589,000 $3,712,201 $5,876,799 .2841 :1 $208 77
1970 29,233 23,591 ,328 9,672,000 3,913,038 5,758,962 .2441 :1 197
1971 29,636 28,819,013 9,655,000 3,655,759 5,999,241 .2082:1 20(7
1972 30,240 28,801 ,865 9,756,000 3,870,814 5,885,186 .2043:1 194
1973 31 ,143 95,588,238 9,852,000 3,801 ,883 6,050,117 .0633:1 194
1974 32,542 107,465,059 8,885,000 3,010,682 5,874,318 .0547:1 181 fl
1975 32,486 111 ,739,609 9,385,000 3,623,017 5,761 ,983 .0516:1 177
1976 31 ,570 125,693,024 8,210,000 4,300,690 3,909,310 .0311 :1 124
1977 31 ,940 139,227,266 6,775,000 4,209,680 2,565,320 .0184:1 80
1978 33,450 146,282,224 6,385,000 4,684,489 1 ,700,511 .0162:1 51
n
11
-86- ► I
TABLE 19
•-► CITY OF FRIDLEY, MINNESOTA
II
I � INSURANCE COVERAGE
1'1 DECEMBER 31 , 1978
All risk, direct physical loss coverage
F.% Building and contents (.except liquor stock) - 90% Co-insurance $5,888,901
Boiler insurance 500,000
Contractor's equipment 429,292
Signs 16,148
7
' ' All risk, fire and extended coverage - liquor stores and stock 193,000
^ Comprehensive liability
Bodily injury
Each person 500,000
., Each occurrence 500,000
" II Property damage 100,000
Liquor liability 300,000/500,000
i
Excess liability 1 ,000,000
^ Automobile
Liability 250,000/500,000
Comprehensive and collision
.., Passenger vehicles Actual cash value
Other vehicles Stated value
Business interruption, liquor stores 141 ,000
7 Money and securities, inside and outside
premises, all locations 15,000
n
; I Workers' compensation Statutory
71 Errors and ommission insurance 1 ,000,000
PRINCIPAL OFFICIALS ANNUAL SALARIES AND SURETY BONDS
DECEMBER 31 , 1978
rii
Surety
Name Position Salary Bond
Nasim M. Qureshi City Manager $37,250 $50,000
Virgil C. Herrick City Attorney 15,600** None*
Marvin C. Brunsell City Clerk 27,750 1 ,000
P. Marvin C. Brunsell Treasurer 27,750 50,000
( Richard N. Sobiech Public Works Director 28,500 None*
James P. Hill Public Safety Director 28,150 None*
Vacant Fire Chief 23,250 None*
Charles A. Boudreau Parks and Recreation Director 24,500 None*
*Afl employees are covered by a blanket faithful performance bond of $100,000.
**Covers first thirty hours per month of basic service, balance billed at $40 per hour.
7 -87-
TABLE 20
CITY CAPITAL IMPROVEMENT FINANCING POLICY
The policy of the City of Fridley regarding financing of major capital ry
improvements is as follows: n
STREET, CURB AND GUTTER, SIDEWALK AND STORM SEWER IMPROVEMENTS:
It is the policy of the City to assess 100% of the cost of street surfacing,
curb and gutter improvements and storm sewer improvements against benefited
properties, less aid for construction received from the State of Minnesota.
Properties owned by the City, the school districts, or other tax exempt n
organizations are treated in the same manner and assessed at the same rate �, )
as taxable properties.
WATER AND SEWER IMPROVEMENTS: 71
Water and sewer lateral improvements are 100% assessed against benefited
properties. Properties owned by tax exempt organizations are treated the
il
same as taxable properties. The water and sewer main system has been
substantially assessed against benefited properties. An exception to the
above policy has been the cost of looping certain water system main lines Fl
which benefited no particular properties. This unassessed portion of the I
improvement cost is being financed by the Public Utility Fund.
WELLS, RESERVOIRS, PUMPING STATIONS, ETC. : fl i
These improvements have been financed from the income of the Public
Utility Fund. rrl 1
ACQUISITION OF PARK LAND, CIVIC CENTER, ETC. :
It is the policy of the City to finance small park capital improvements out n
of the current General Fund operating budget. It is the policy of the City
to finance major park capital improvements, such as the purchase of large
parcels of land, with general obligation bonds. The City currently has one fl
general obligation bond issue outstanding. This is for the Civic Center.
The balance outstanding for this issue on December 31 , 1978 was $260,000.
OTHER CAPITAL IMPROVEMENTS: . T1
It is the policy of the City to finance capital improvements such as fire �
trucks and public works equipment, etc. from the current General Fund ! 1
operating budget. In order to even out the amount budgeted annually for such
items, the City started a Capital Improvement Revolving Fund in 1976. The
balance in this fund on December 31 , 1978 was $193,367.71 . The purpose of the
Fl
fund is to finance capital outlay items normally financed through the General
Fund. No purchases have been made through this fund to date. fl
REVENUE SHARING:
In past years, it was the policy of the City to use Revenue Sharing funds
primarily for capital outlay items. For the year 1978, approximately 25% of rl '
the Revenue Sharing funds were budgeted for personal services. All of the n
Anti-Recession funds were budgeted for personal ser ices. The General Fund
is used as the vehicle for budgeting and expenditu of Revenue Sharing monies.
-88- 7
TABLE 21
CITY OF FRIDLEY, MINNESOTA
PR
L MISCELLANEOUS STATISTICAL INFORMATION
Date of Incorporation (Village of Fridley) July 1 , 1949
Date of Adoption of City Charter September 10; 1957
effective
^ September 25, 1957
Form of Government Council/Manager
n
Fiscal Year Begins January 1
p4 Area of City 11 Square Miles
Bond Rating Aa
^ Miles of Streets & Sidewalks (Including State & County)
City Streets 96.7
Trunk Highways 10.8
ml County Roads 16.0
Sidewalks 9.0
Miles of Sewer
Storm 36.6
' I Sanitary 97.5
r"`� Miles of Water Mains 101 .1
Fire Protection
PR Number of Stations 1
Volunteer Firemen 34
Full-time Firemen 5
Fire Rating Class 5
, t Police Protection
Number of Stations 1
71 Number of Sworn Officers 32
^ BUILDING PERMITS
I Residential Multiple Commercial/
Year No. Value Dwellings Industrial All Other Total
., 1970 50 $ 1 ,286,900 $1 ,330,000 $3,073,600 $6,310,674 $12,001 ,174
' � 1971 96 2,380,125 5,045,486 764,400 5,824,504 14,014,515
.4 1972 418 11 ,270,165 9,501 ,531 4,780,947 2,408,115 27,960,758
1 1973 99 2,507,865 -0- 4,482,184 630,014 7 ,620,063
1974 115 3,025,142 -0- 4,353,649 3,811 ,271 11 ,191 ,062
1975 109 3,845,673 175,850 4,683,913 1 ,337,616 10,043,052
n 1976 179 6,786,840 -0- 6,303,847 1 ,164,862 14,255,549
1 1977 223 8,805,695 5,170,196 5,596,312 3,271 ,108 22,843,311
1978 92 4,188,131 425,208 5,24j,268 1 ,532,535 11 ,393,142
r,
I -89-
n
TABLE 21 Continued i
CITY OF FRIDLEY, MINNESOTA r
MISCELLANEOUS STATISTICAL INFORMATION (CONTINUED) r I I
it
Number of Street Lights 876
Number of Traffic Signal Installations 27 fl
Number of Other Special Signal Installations 1
Number of Civil Defense Warning Sirens
8 ; i
Permanent Employees--As of December 31 , a'
il
-Number
1969 104 1
1970 115
1971 105
1972 109 fl
1973 118
1974 123
1975 130*
1976 129* 7
1977 148* '
1978 141*
N ?1 rri
Elections
Registered Voters--Last General Election (1978) 14,405 n
Number of Votes Cast Last General Election (1978) 11 ,143 it
Percent (%) Voting
Population 3,796
1950 Federal Census T1
1960 Federal Census 15,182
1965 Special Federal Census 24,789
1970 Federal Census 29,233
1971 Estimated by Metropolitan Council 29,636
1972 Estimated by Metropolitan Council 30,240
1973 Estimated by Metropolitan Council 31 ,143
1974 Estimated by Metropolitan Council 32,542 El
1975 Estimated by Metropolitan Council 32,486
1976 Estimated by Metropolitan Council 31 ,570
1977 Estimated by Metropolitan Council 31 ,940 j
1978 Estimated by Metropolitan Council 33,450
(575 ' , 3R, 66y
*Includes CETA 1
fl
(-.
11
-90- 7
r
ii
TABLE 21 Continued
r" CITY OF FRIDLEY, MINNESOTA
MISCELLANEOUS STATISTICAL INFORMATION (CONTINUED)
Parks and Recreation Areas
Developed 395 Acres
Undeveloped 125 Acres
n Total 52Q Acres
1I
City Parks Schools Total
H
i
Number of:
Hockey Rinks 9 2 11
r, General Skating Rinks 18 3 21
I Playgrounds 10 9 19
Swimming Beaches 1 0 1
Swimming Pools 0 1 1
7 Wading Pools 0 0 0
, I Picnic Grounds 1 0 1
Day Camp Sites 1 0 1
71 Baseball Diamonds 1 5 6
Softball Diamonds 16 16 32
Outdoor Basketball Courts 19 13 32
Tennis Courts 22 17 39
7 Horseshoe Courts 9 0 9
11 Archery Ranges 1 0 1
Permanent Playground Buildings 0 0 0
r`-, Permanent Picnic Shelters 8 0 8
Soccer Fields 1 0 1
Football Fields 1 9 10
n
Municipal Water System Source
Primary Source City of Fridley Water Plant
(Wells)--Capacity of 15
ri
Million Gallons Per Day
Secondary Source City of Minneapolis
n .
(Mississippi River)--35
1 Million Gallons Per Day
Number of Connections December 31 , 1978 7,377 Connections
4.1 Million Gallons
15 Million Gallons
1 ,005
I
Municipal Sewer System
Disposal--Through Metropolitan Waste Control
7 Commission
Number of Connections 7,308
Average Daily Flow (Includes Infiltration/Inflow) 3.64 Million Gallons
Pq
it
1
/
PR
-91-
r"
TABLE 22 f ,
r
CITY OF FRIDLEY, MINNESOTA ri■,
GENERAL INFORMATION ! !
n
LOCATION - TRANSPORTATION 1 !
The City of Fridley, with a total land area of eleven square miles and an estimated
population of 33,450, is located at the north boundary of Minneapolis and Columbia
ri
Heights, about eight miles from the Minneapolis central business district. Freight
service is provided the area by local and interstate truck lines and the Burlington
Northern Railroad, and transportation is available through Metropolitan Transit
Commission facilities. Highways serving Fridley include Interstate #694 (beltline li
around the metropolitan area) and State Highways #65 and #47. Commercial airline
service is available at Minneapolis-St. Paul International Airport, approximately r,
twenty-five miles south, and private business aviation facilities are available at ' I
the Anoka County and Crystal Airports, both operated by the Metropolitan Airports
Commission. r,
I
LARGER EMPLOYERS fl
Larger employers in the City include:
No. of
Employer Product or Service Employees
FMC Corporation Pumps and naval ordnance 3,600
Onan Corporation Portable generators, electronic 1 ,800 i
equipment ! '
Medtronics, Inc. Electro-medical devices 1 ,450
Burlington Northern Railroad Northtown Yard 1 ,043 r
Unity Hospital Medical services 1 ,000
Target Stores & Warehouse Discount store & warehouse 750
Totino's Finer Foods Frozen foods 403
Independent School District #14 Fridley School District 325 rl
LaMaur, Inc. Cosmetics 300
• Minco Products, Inc. Electronic devices 260
Kurt Manufacturing Machine parts 254
Barry Blower Company Air moving devices 240
Safetran Systems Corporation Railroad accessories 240
Midland Cooperatives Warehousing and oil blending 226 r,
plant
Carter-Day Company Air control equipment 215
Holiday Village North Discount department store 200
Holly Shopping Center Retail and service establishments 200
Strite-Anderson Manufacturing Aluminum die castings 175
it
i
�' 11
-92- I I
I !
TABLE 22 Continued
7 CITY OF FRIDLEY, MINNESOTA
� GENERAL INFORMATION (CONTINUED)
r+ LIMITED MARKET VALUE
Fifteen of the largest taxpayers include:
r+
ii -1978 Payable 1979
Value
' 1 Market
Rank Taxpayer Business Value
., 1 . FMC Corporation Naval ordinance $14,042,800
2. Onan Corporation Portable electric generators 13,622,200
3. Medtronics, Inc. Electro-medical devices 13,301 ,700
4. Target Stores Discount store & Warehouse 8,582,400
5. Maurice Fillister Georgetown Apartments 6,740,200
6. LaMaur, Inc. Cosmetics 5,392,900
7. Five Sands Development Meadowrun Apartments 4,159,400
8. Midland Cooperatives Warehousing & oil blending 4,147,800
1 9. Holiday Village Discount department store 3,771 ,700
10. Honeymead Lindseed oil & grain products 3,604,600
n 11 . Carter-Day Air control equipment 3,447,700
12. Totino's Finer Foods Frozen foods 3,424,000
13. Black Forest Apartments Apartments 3,352,300
14. Rice Creek Townhouses Townhouses 3,250,000
f 15. Longview Fiber Corrugated boxes 2,214,600
Of the City's total assessed value, approximately 61% is residential (including
^ apartments, mobile home parks and nursing homes) and 39% commercial , industrial and
utility property.
n
FINANCIAL SERVICES
The Fridley state Bank has had deposits as follows as of December 31 each year:
1974 $11 ,002,894
1975 12,759,779
1976 13,898,431
1977 16,585,000
1978 18,032,565
pm
I Twin City Federal Savings and Loan Association, Minneapolis, has one of its branch
offices in Fridley.
pm
I
MEDICAL FACILITIES
Medical facilities in Fridley include Unity Hospital , a 275 bed hospital with an
adjacent clinic (Unity Professional Building) , the Fridley Medical Center, which
recently completed a $350,000 wing, and two nursing homes, Lynwood Manor and Fridley
Convalescent and Nursing Home.
F
-93-
TABLE 22 Continued
CITY OF FRIDLEY, MINNESOTA
GENERAL INFORMATION (CONTINUED)
EDUCATION
Fridley is served by four school districts, the major portion being within
Independent School District No. 14 (Fridley) . The Fridley School District operates fl
three elementary schools, a junior high and a senior high school , employing 245 -
certified personnel and 80 additional employees in the education of about 4,188
students. Grace Parochial High School has an enrollment of 1 ,014. Portions of r'
the Columbia Heights School District (13) , the Spring Lake Park School District � i
(16) and Anoka/Hennepin School District (11 ) also lie within the City of Fridley.
They have an enrollment of students living within the City of Fridley of 2,913.
I
Colleges and universities, vocational-technical and specialized training schools
are located throughout the metropolitan area within easy commuting distances of
Fridley. fl
n
11
n
n
n
fl
I1
-94- n
August 16, 1979
Arthur Hillman
Office of the State Auditor.
Municipal Reporting Unit
Veterans Service Building
Saint Paul, MN 55155
Dear Mr.- Hillman:
Attached is the information you requested. -
eeN
If I may be of further service Please feel free to call
Sincerely yours,
•
Sid Ian
Accounts and Budger Officer
c.c M.C.B.
sar.
n 1 SPECIAL ASSESSMENT CONSTRUCTION
A) Changes bon senv.icea - $13,695. This en L' a amount
nece.ived bnom citizens bon 4pecia2 curb nemova2
and p t'acemen t.
B) Othen - $52,939
$142 Rei.mbmaed on pnaject SW - 123
$27,651 Budgeted and expended in Fund 01 bon 1978 ST
$2,202 Budgeted and expended .in Fund 01 bon 1978 ST
$20,350 Budgeted and expended in Fund 01 bon butute
pno1 ects bon 1978 ST
$503 Skeet Sweeping changes 1978 ST
$183 C.E.T.A. Re.imbunsement 1978 ST
$1,908 Ethninat on ob payabte3 not used in 1971 ST
to cto4a out pnoject
$ 52, 939
SPECIAL SPECIAL SPECIAL
ASSESSMENTS ASSESSMENTS ASSESSMENTS
II TRANSFERS IN CONSTRUCTION DEPT SERVICE REVOLVING
A) From S.A.0 to cover prior years deficit in curb removal 1;190_
3) From 1978 ST. to 1978 Bonds -interest 17,500
From 125 SW to 125 SW Bonds (Close out) 339
D) From Utility Fund to 1963 Bonds 868
E) From 1971 ST. to 1972 Bonds (Close out)
F) From Revolving fund to 1964 Refunding Bonds 36,742
3) From Utility Fund to 1964 Refunding Bonds 12,088
-I) From State Aid Fund to 1977 Bonds 1,148
I) From SW 177 to 1977 Bonds (Close out) 71
]) From SW 119 to 1977 Bonds (Close out) 24
K) From State Aid to 1978S 228,936
_)' rom 1977 Bonds to 1976S to cover defecits 38,022
266,958 72,487 1,190
SPECIAL SPECIAL • SPECIAL
ASSESSMENTS ASSESSMENTS ASSESSMENTS
III 'TRANSFERS OUT CONSTRUCTION DEPT SERVICE REVOLVING
`A)/SEE II - A 1, 190
' 8) SEE II - 8 17,500
' C) SEE II - C 339
D) SEE II - E
3,707
E) SEE II - I 71
F) SEE II - J 24
G) SEE II - K 38,022
H) Parom Geneut Fund to Capi tate Impnavement Fund 30,000
1) SEE II - F 36,742
• 22,831 68,022 36,742
IV CONSTRUCTION COSTS
Suet Waken/Sewer
SW 119 30
SW 118 61
SW 117 321
SW 124 464
SW 60 19,670
SW 126 208
SW 107 1,311
1978 ST 139,900
1978 ST 14,255
1915 ST 12,508
1976 ST 6,237
1971 ST 8,502
781,402 22,065