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1971 Financial Statements CITY OF FRIDLEY, MINNESOTA FINANCIAL STATEMENTS DECEMBER 31, 1971 GEORGE M. HANSEN COMPANY Certified Public Accountants MINNEAPOLIS,MINNESOTA 1541 6 CITY OF FRIDLEY, MINNESOTA ELECTED AND APPOINTED OFFICIALS DECEMBER 31, 1971 Term of office expires January Elected Mayor - Jack 0. Kirkham 1972 Councilmen Robert E. Ke lshaw c u 4'!Y ' 1974 David 0. Harris 1972 Frank G. Liebl (Resigned December 15, 1971) * .°1' ` jam' 1973 Tim F. Breider 1973 ^ Effective January 1972 3 Mayor - Frank G. Liebl 1975 Councilmen Everett F. Utter 1975 /, Donald R. Mittelstadt 1973 Tint F. Breider Qp 1973 Robert E. Kelshaw 1974 Appointed City Manager - Gerald R. Davis Clerk-Treasurer - Marvin C. Brunsell Attorney - Virgil C. Herrick Assessor - Mervin Herrmann Engineer - Nasim Qureshi * Donald R. Mittelstadt appointed for remainder of unexpired term. CITY OF FRIDLEY, MINNESOTA TABLE OF CONTENTS Page Independent certified public accountant's opinion 1 Comments 2 Balance sheets - All funds 8 General and special revenue funds Balance sheets 10 .— General Fund Statement of revenue - Actual compared with budget estimates 11 Statement of expenditures - Actual compared with budget estimates 12 Special Revenue funds - Statements of cash receipts and disbursements 17 Investment Fund Balance sheet 19 Statement of cash receipts and disbursements 19 Special assessment funds ^- Balance sheets 20 Statement of cash receipts and disbursements 21 Individual fund balance sheets Construction 22 Debt service 24 General debt service funds Balance sheets 28 Statements of cash receipts and disbursements 28 Liquor Fund Balance sheet 29 Statement of income 30 Analysis of changes in retained earnings 30 Statement of changes in financial position 33 Statement of operating expenses 34 Municipal Building Reserve Bond Fund Statement of changes in assets restricted for liquor revenue bond debt service Sinking Account 36 Reserve Account 36 CITY OF FRIDLEY, MINNESOTA TABLE OF CONTENTS (CONTINUED) P. P. Page .. Water and Sewer Revenue Bond Fund Balance sheet 37 Operation and Maintenance Account - Statement of income 38 .• Analysis of changes in retained earnings 38 Statement of changes in financial position 39 Statement of changes in assets restricted for revenue bond P. debt service Sinking Account 40 Reserve Account 40 Contruction Account 40 Trust and agency funds Balance sheets 41 m. Statements of cash receipts and disbursements 41 Statement of general fixed assets 42 Miscellaneous information Statement of cash and security for deposits 43 Summary statement of cash receipts and disbursements 43 P. Bonds payable - All funds 44 Debt service requirements - All funds 50 Certificates of indebtedness - General Fund 50 P. Assessed valuations, tax levies and mill rates 51 Tax levies and tax collections 52 Insurance coverage 53 Employees' surety bonds 53 p. a GEORGE M. HANSEN COMPANY ^ Certified Public Accountants SOUTH PLAZA BUILDING MINNEAPOLIS.MINNESOTA 55416 Soma May 3, 1972 To the City Council of Fridley, Minnesota We have examined the accompanying financial statements of the respective ._ funds of the City of Fridley, Minnesota for the year ended December 31, 1971. 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, these statements present fairly the financial position of the respective funds of the City of Fridley, Minnesota at December 31, 1971 and the results of their operations for the year then ended, in conformity with generally accepted governmental accounting principles applied on a basis consistent with that of the preceding year. 1•■■ e r TO 34 7 .tle 11"r* Soma 2 CITY OF FRIDLEY, MINNESOTA COMMENTS The City of Fridley operates under a charter which provides for a form of government designated as the "Council-Manager Plan." Under this plan as set forth in the Charter, "All discretionary powers of the city, both legislative and executive shall vest in and be exercised by the city council. It shall have complete control over the city administration, but shall exercise this control exclusively through the city manager and shall not itself attempt to perform any administrative work." The council is elected by popular vote and consists of five members, including the mayor who is chairman. The city manager is appointed by the council. The city financial statements are presented on the accrual basis of accounting whereby revenues are recorded when earned, except for general property taxes and General Fund special assessments which are considered as revenue in the year collected. The financial statements which follow have been prepared to set forth individual fund balance sheets, analysis of changes in fund balance, actual revenue compared with P. budget estimates and other information. GENERAL FUND The General Fund was established to account for the revenues and expenditures necessary to provide basic governmental services to the City such as general government, public safety and highway maintenance. In the following statements, revenues are recorded by source, while expenditures are recorded by department. Included in "General property taxes" in the statement of revenue are property and bank excise taxes_ and payments from the State property tax relief fund for homestead tax and exempt property tax replacement. A plan of financial operation of the Fund is set forth in the annual budget adopted by Council. The General Fund statements are prepared to show the budget estimate, actual amount and balance. A condensed summary of revenue and expenditures is shown below: P. REVENUE 11971 Qi, f.. C' 1970 P. Budget Budget Actual estimates Actual estimates General property taxes $ 955,838 $ 982,166 $ 894,153 $ 891,457 '" Licenses and permits 97,393 64,373 73,298 112,560 Fines and forfeitures 22,668 20,000 23,696 16,000 From use of money and property 40,660 24,400 33,629 21,500 Intergovernmental revenue 395,384 368,891 331,699 313,825 Charges for current services 56,254 50,890 45,172 43,380 Other revenue 26,352 10,600 39,711 25,190 Transfers from other funds 239,000 239,000 157,890 171,753 Prior year's fund balance 47,880 51,294 Total revenue $1,833,549 $1,808,200 $1,599,248 $1,646,959 3 EXPENDITURES 1971 1970 Budget Budget Actual estimates Actual estimates General government $ 302,310 $ 320,540 $ 272,071 $ 290,286 Public safety 621,908 655,045 559,692 575,892 Highways 378,320 403,898 321,711 374,725 Sanitation and waste removal 39,847 42,475 27,254 36,625 Conservation of health 6,922 6,900 5,509 6,626 City band 1,381 1,600 1,130 1,600 Recreation 82,365 79,871 69,909 70,628 Municipal parks 257,787 260,571 253,089 251,907 Reserve for contingencies 37,300 20,920 Hospitalization insurance 16,001 17,750 Total expenditures $1,690,840 $1,808,200 $1,526,366 $1,646,959 Actual revenues exceeded actual expenditures during 1971 by $142,709 increasing the fund balance to $575,878 at December 31, 1971. An unused reserve for contingencies and less than anticipated personal services expenditures in general government, public safety and highways were the main reasons for the increase in the fund balance. Shown on the balance sheets are amounts to be provided for land, building and equipment acquisition. Repayment is to be made in annual installments and financed by current tax levies. SPECIAL REVENUE FUNDS Municipal State-Aid Fund - Gasoline tax collections apportioned to the City from the State of Minnesota for street construction are accounted for in this fund. Transfers are also made to this fund from special assessment debt service funds. Any excess of amounts assessed over construction costs have been restricted in this fund for payment of seal coating expenditures. At December 31, 1971, $354,557 of the fund balance was available for future seal coating. 1969 Flood Fund - All costs incurred in connection with the 1969 flood were paid in prior years. The fund was closed out when final settlement for flood aid was received from the Federal Government in 1971. Park Capital Fund - This fund accounts for the acquisition and improvement of parks in the City. Revenue has been provided by transfers from other funds along with Federal and State grants in aid. Accounts receivable of $28,545 from the State of Minnesota and $125,238 from the Federal Government representing balances due from grants are reflected on the balance sheet. Additional revenue of $41,078 will be required to finance construction costs incurred to date. INVESTMENT FUND This fund was established to more effectively handle the accounting for investments and interest earned thereon. All investments are carried in this account during the year and transferred to their respective funds at the year end. Consequently, at December 31, 1971, this fund shows only interest earned but not yet •- received. m. 4 m. SPECIAL ASSESSMENT FUNDS Special assessment funds are established to account for special assessments levied to finance improvements or services deemed to benefit the properties against which Wft the assessments are levied. Primarily, the transactions accounted for in special assessment construction funds are receipt of bond proceeds and disbursement of bond proceeds for construction work done. Special assessment debt service funds account mainly for collection of assessments against benefited property owners and disburse- ment of assessment collections for the payment of bonds and interest. Several special assessment construction funds showed cash deficits as of December 31, ... 1971. These deficits mean, in effect, that monies belonging to other City funds have been used as a means of temporary financing until sufficient bonds are sold and special assessments receivable collected to pay current expenditures and eliminate the deficits. The debt service fund for Improvement Bonds of 1963 show a deferred tax levy of $426,300 to pay costs of water and sewer system expansion not assessed against benefited property. It is anticipated that the unassessed costs will be paid from earnings of the Water and Sewer Utilities Operating Fund and that annual collectible amounts of the levy will be canceled or reduced accordingly. P. The debt service fund for the Refunding Bonds of 1964 shows a deferred tax levy of $792,300. This tax levy was set up in the bond resolution for payment of the total bond issue; no consideration was given to the deferred special assessments .- receivable. The collections by the City of deferred special assessments, as well as the transfers from the Sewer and Water Utilities Operating Fund, could be used to cancel or reduce the annual collectible amount of the deferred tax levy. The balance sheets for the debt service funds show future interest on both special assessments receivable and related bonds payable. It should be noted that pro- 01.0 spective interest receivable or payable becomes an actual asset or liability, respectively, strictly as a function of time. Prepayments of special assessments have the effect of reducing the amount of interest collectible. Conversely, redemption of bonds before maturity would reduce the amount of interest to be paid. ^' Refunding bonds were sold by the City in 1964 for the advance payment of the re- maining bonds of three City bond issues. Proceeds were deposited with the escrow m. agent for payment when due. These issues in original amounts were: Improvement Bonds dated January 1, 1959 $ 270,000 m. Improvement Bonds dated December 15, 1959 505,000 Improvement Bonds of 1961, dated May 1, 1961 1,250,000 $2,025,000 At December 31, 1971, the above bonds were outstanding in the amount of $540,000. m. Account balances reported by the escrow agent at December 31, 1971 were as follows: Cash $ 467 Investments 581,706 $ 582,173 Bonds payable 540,000 ., Reserve for future interest and call premium $ 42,173 m. 5 SPECIAL ASSESSMENT FUNDS (CONTINUED) Special Improvements Revolving Fund - The purpose of this fund is to provide temporary financing for small improvement projects. It has been used also to provide cash to special assessment debt service funds which have incurred cash deficits due to bond and interest maturities in advance of collection of corresponding special assessments receivable. Money for these purposes has been provided mainly from balances in old inactive construction and debt service funds, water and sewer connection assessments and improvement escrow deposits. GENERAL DEBT SERVICE FUNDS These funds are being used for the accumulation of monies for payment of general obligation bonds and interest thereon. General property taxes and transfers from other City funds are providing the necessary revenue. Although deferred tax levies are set forth in the resolution for retirement of the bonds and interest on the Water No. 75 Improvement Bonds, it is the intention of the City to cancel the tax levies annually on this bond issue and to provide the necessary revenues by transfers from the Water and Sewer Revenue Bond Fund. LIQUOR FUND (MUNICIPAL BUILDING REVENUE BOND FUND) This fund was established to account for the operations and financing of the City-owned liquor stores. Shown below is a condensed summary of liquor store operations for 1971, 1970 and 1969: - 1971 1970 1969 Percent Percent Percent of sales of sales of sales Sales Off sale $1,137,712 78.4 $1,169,734 76.2 $1,126,316 76.9 On sale 312,647 21.6 365,028 23.8 337,917 23.1 Total sales $1,450,359 100.0 $1,534,762 100.0 $1,464,233 100.0 Cost of sales 952,302 65.7 988,084 64.4 946,949 64.7 Gross profit $ 498,057 34.3 $ 546,678 35.6 $ 517,284 35.3 Operating expenses 370,031 25.5 343,122 22.4 306,298 20.9 Operating profit $ 128,026 8.8 $ 203,556 13.2 $ 210,986 14.4 Other income and expenses (net) 86,874 6.0 16,387 1.1 14,194 .9 Net income $ 214.900 14.8 $ 219,943 14.3 $ 225.180 15.3 Percent of Percent of Percent of net income net income net income Transfers to other City funds $ 224,175 164.9 $ 216,000 98.2 $ 180,000 79.9, The City sold both on-sale liquor stores in September 1971 for $252,000 resulting in a - gain of $66,848. Accounts receivable of $179,711 from the sale of the stores is re- flected on the balance sheet at December 31, 1971. The interior of the Shorewood Inn (formerly on-sale store No. 33) was severely damaged by a fire on April 25, 1972. Losses by the fire are covered by insurance. 7 WATER AND SEWER REVENUE BOND FUND This fund accounts for the operations and financing for City-owned sewer and water systems. In 1956 and 1970, revenue bonds in the amounts of $170,000 and $460,000, respectively, were issued of which $535,000 of these bonds were outstanding at December 31, 1971 and payable in future years. Debt service accounts for these bond issues are being maintained in accordance with the provisions of the bond sales agreements. The agreements provide that net revenues of the water and sewer operations equal to the principal and interest maturities of the revenue bonds due in the following year be pledged as collateral. Shown below is a condensed summary of operations of the water and sewer operation account for 1971, 1970 and 1969. 1971 1970 1969 Water account Operating revenue $364,261 $349,257 $353,762 Operating expenses 268,791 238,442 272,711 Operating income $ 95,470 $110,815 $ 81.051 Sewer account Operating revenue $359,205 $279,262 $286,798 Operating expenses 434,299 176,868 174,505 Operating income (loss) $(75,094) $102,394 $112,293 The receivable from the Metropolitan Sewer Board represents the City's share of the equity in the North Suburban Sanitary Sewer District sewer system which was acquired by the Board on January 1, 1971. This receivable will be paid to the City by means ^'/OM.) of issuing credit against future sewer billings from the Board. These credits will be applied in equal annual installments, with interest, through 1999. Sewer operating expenses for 1971 include $317,060 in rental charges as compared with $82,190 in 1970. The Sewer Board also assumed control of the functions of the North Suburban Sanitary Sewer District of which the City was a member. Final distribution of the net assets of N.S.S.S.D. of $24,221 is included in the 1971 income statement. The City follows the practice of not including as part of fixed assets in this fund the cost of the distribution system, which is paid for by assessment against benefited property or by deferred tax levies. Such fixed assets are carried as a part of General Fixed Assets. In 1969, the Fund assumed a $770,000 liability for bonds payable along with future interest obligations of the Water No. 75 (General Debt Service) Fund. An interfund receivable and payable is shown on the respective fund balance sheets. Included in interest expense of the Water and Sewer Fund is $24,835 representing the current year's charges on this bond issue. The Water and Sewer Revenue Bond Fund has transferred monies to the special assessment debt service funds to pay principal and interest on some bond issues, although it is not required to do so. As a result, the City con- siders such transfers as direct charges against retained earnings and not against income. TRUST AND AGENCY FUNDS Trust and agency funds are established to account for cash or other assets held by the City as a trustee or agent. The City funds of this nature include (1) Firemen's Relief Association Fund, (2) Police Relief Association Fund and (3) Pension Fund. The first ,^ two funds account for collections of general property taxes and subsequent remittance of these collections to the respective association. The Pension Fund accounts for the accumulation of resources needed to finance the City's share of pension contributions. .- 8 CITY OF FRIDLEY, MINNESOTA BALANCE SHEETS - ALL FUNDS DECEMBER 31, 1971 General and Special Investment Revenue � Fund ASSETS Cash $( 2,352) $(78,903) Cash with fiscal agent Investments, at cost plus accrued interest City of Fridley temporary bonds U. S. Government obligation 995,000 78,903 Accounts receivable 227,956 ^ Prepaid expense Due from other funds 80,000 Taxes receivable 103,431 Special assessments receivable 9,188 Inventories, at cost Fixed assets, at cost less accumulated depreciation Amounts to be provided 178,846 Total assets $1,592,069 $ -0- n LIABILITIES, RESERVES AND FUND BALANCE Accounts and contracts payable $ 355,863 Due to other funds 80,000 Deposits payable 2,359 Bonded indebtedness - Future maturities Definitive bonds Principal Interest Certificates of indebtedness Principal 5,000 Interest 269 Temporary bonds (held by City of Fridley) Principal Interest Deferred gain - Metropolitan Sewer Board Reserves 112,619 Unencumbered appropriation balances Investment in general fixed assets Retained earnings Fund balance 1,035,959 Total liabilities, reserves and fund balance $1,592,069 $ -0- 9 General Water and Trust Special Debt Municipal Sewer and General Assessment Service Liquor Utilities Agency Fixed Assets $( 19,885) $ 30,256 $ 10,241 $ 32,740 $ 16,466 607,521 21,138 15,113 1,636,529 1,443,855 250,000 165,000 640,000 17,671 179,711 670,415 914 725,114 1,219,529 620,725 13,494 6,573,175 239,814 35,535 2,271,475 $18,525,853 1,559,024 1,403 $13,037,419 $1.648,636 $631,215 $3.629,743 $ 29,960 $18,525.853 $ 399,594 $ 15,491 $ 193,131 725,114 13,815 220,169 6,270,000 $1,245,000 535,000 1,561,330 348,331 1,605,000 261,450 - \ 472,764 1,988,055 55,305 , 103,585 $ 13,494 656,890 $18,525,853 615,724 1,379,980 281,285 16,466 $13,037,419 $1,648,636 $631,215 $3,629,743 $ 29.960 $18,525.853 10 CITY OF FRIDLEY, MINNESOTA GENERAL AND SPECIAL REVENUE FUNDS BALANCE SHEETS DECEMBER 31, 1971 Municipal Park Combined General State-Aid Capital ,. ASSETS Cash (deficit) $( 2,352) $ 4,799 $ 3,530 $(10,681) Investments, at cost plus accrued interest 995,000 625,000 370,000 Accounts receivable State of Minnesota 94,171 59,075 6,551 28,545 Other 133,785 8,547 125,238 Due from other funds 80,000 80,000 Taxes receivable Unremitted 43,250 43,250 Delinquent 60,181 60,181 Delinquent special assessments .. receivable 9,188 9,188 Amount to be provided For land and buildings 132,499 132,499 For equipment 5,269 5,269 From General Fund for reimbursement of construction costs 41,078 41,078 P"' Total assets $1,592,069 $947,80a $460,081 $184,180 LIABILITIES, RESERVES AND FUND BALANCE Accounts and contracts payable $ 355,863 $251,683 $104,180 Due to other funds 80,000 80,000 Deposits payable 2,359 2,359 Certificates of indebtedness Principal 5,000 5,000 P. Interest 269 269 Reserves for uncollected taxes and special assessments 112,619 112,619 ^, Fund balance 1,035,959 575,878 $460,081 Total liabilities, reserves and fund balance $1,592,069 $947,808 $460,081 $184,180 11 CITY OF FRIDLEY, MINNESOTA GENERAL FUND STATEMENT OF REVENUE - ACTUAL COMPARED WITH BUDGET ESTIMATES YEAR ENDED DECEMBER 31, 1971 Budget Actual estimates General property and other taxes Current ad valorem $ 932,944 $ 967,166 Delinquent ad valorem 21,218 12,000 Tax forfeit 1,676 3,000 $ 955,8381- $ 982,166 Licenses and permits Business regulatory licenses $ 19,164-1 $ 11,618 Nonbusiness licenses and permits 78,229 v 52,755 $ 97,393 $ 64,373 Fines and forfeitures - Municipal Court $ 22,668*i=- $ 20,000 Revenue from use of money and property Interest earned $ 35,0634' $ 14,000 Rents 5,597'Y 10,400 $ 40,660 $ 24,400 Intergovernmental revenue Cigarette and liquor taxes $ 114,5411- $ 100,196 Mobile home registration fee 17,154'1` 15,000 Per capita apportionment 232,052 v 224,695 Gasoline tax 22,1251- 21,000 Mortgage registry 9,512 y 8,000 $ 395,384 $ 368,891 Charges for current services General Government $ 8,5901- $ 9,390 Public Safety 8,5717 1,750 •- Conservation of Health 20,146" 20,500 Recreation 18,947' 19,250 $ 56,254 $ 50,890 Other revenue $ 26,352 $ 10,600 Transfers from other funds Municipal Liquor Operating Fund $ 225,000 $ 225,000 Municipal State-Aid Fund - Seal Coating 14,0001% 14,000 $ 239,000 $ 239,000 Prior years' fund balance $ 47,880 Total revenue $1,833,549 $1,808,200 .- 12 CITY OF FRIDLEY, MINNESOTA GENERAL FUND STATEMENT OF EXPENDITURES ACTUAL COMPARED WITH BUDGET ESTIMATES YEAR ENDED DECEMBER 31, 1971 Budget Actual estimates General Government Mayor and Council Personal services $ 25,905 $ 25,960 Contractual services 8,123 9,250 Commodities 873 2,100 Other charges 5,889 4,405 $ 40,790 $ 41,715 Manager Personal services $ 32,322 $ 36,874 Contractual services 7,800 5,200 Commodities 884 1,725 Other charges 1,255 850 Capital outlay 734 850. $ 42,995 $ 45,499 Elections and Voters' Registration Personal services $ 8,498 $ 8,489 Contractual services 1,004 1,015 _ Commodities 1,168 1,335 Other charges 4,180 4,221 $ 14,850 $ 15,060 Finance Clerk-Treasurer Personal services $ 33,539 $ 35,494 Contractual services 7,038 6,950 Commodities 3,764 4,035 Other charges 7,833 8,200 Capital outlay 626 650 Refunds 187 200 Assessor Personal services 39,658 43,982 Contractual services 3,981 4,275 Commodities 429 625 Other charges 1,604 1,655 Capital outlay 217 161 Independent auditing and accounting 4,500 5,500 $ 103,376 $ 111,727 Legal Personal services $ 21,929 $ 22,640 Contractual services 734 250 Commodities 120 Other charges 138 $ 22,801 $ 23,010 13 CITY OF FRIDLEY, MINNESOTA GENERAL FUND STATEMENT OF EXPENDITURES - ACTUAL COMPARED WITH BUDGET ESTIMATES (CONTINUED) YEAR ENDED DECEMBER 31, 1971 Budget Actual estimates General Government (Continued) Administrative Offices Planning Commission Personal services $ 2,000 Industrial Development Commission Personal services 150 Contractual services $ 76 1,710 Commodities 150 Civil Service Personal services 175 75 Contractual services 410 Human Relations Contractual services 50 135 Commodities 125 $ 301 $ 4,755 Planning and Zoning Personal services $ 20,954 $ 20,560 �,. Contractual services 1,472 1,450 Ss Commodities 613 680 Other charges 134 295 Capital outlay 215 220 $ 23,388 $ 23,205 General Government Buildings Personal services $ 13,827 $ 13,211 Contractual services 30,138 31,772 Commodities 1,278 1,312 Other charges 6,829 7,354 Capital outlay 1,737 1,920 $ 53,809 $ 55,569 Total General Government $ 302,310 $ 320,540 Public Safety Police Protection Personal services $ 315,345 $ 332,526 Contractual services 18,721 19,750 Commodities 14,858 15,100 Other charges 14,646 14,760 Capital outlay 18,604 18,775 PTh $ 382,174 $ 400,911 14 CITY OF FRIDLEY, MINNESOTA GENERAL FUND rNi STATEMENT OF EXPENDITURES - ACTUAL COMPARED WITH BUDGET ESTIMATES (CONTINUED) YEAR ENDED DECEMBER 31, 1971 Budget Actual estimates Public Safety (Continued) Fire Protection Personal services $ 90,332 $ 90,511 Contractual services 17,795 18,065 ... Commodities 5,086 6,263 Other charges 8,114 8,031 Capital outlay 22,436 25,603 $ 143,763 $ 148,473 Protective Inspection Personal services $ 55,711 $ 61,521 C, Contractual services 12,363 12,896 --s>i Commodities 1,581 1,696 Other charges 2,033 2,208 Capital outlay 565 950 $ 72,253 $ 79,271 Civil Defense Personal services $ 9,000 $ 9,105 Contractual services 1,108 1,310 _ Commodities 292 460 Other charges 836 865 Capital outlay 8,064 8,525 $ 19,300 $ 20,265 Animal Control Personal services $ 1,000 .. Contractual services $ 4,200 5,000 Commodities 218 125 $ 4,418 $ 6,125 r Total Public Safety $ 621,908 $ 655,045 Highways Engineering Personal services $ 42,393 $ 50,342 Contractual services 6,724 6,767 .. Commodities 2,407 2,140 Other charges 3,993 3,868 Capital outlay 1,067 1,075 $ 56,584 $ 64,192 Street and Alley Personal services $ 85,671 $ 105,659 Contractual services 24,829 21,610 Commodities 19,413 18,400 Other charges 28,157 25,611 Capital outlay 26,953 27,900 $ 185,023 $ 199, 180 15 CITY OF FRIDLEY, MINNESOTA GENERAL FUND STATEMENT OF EXPENDITURES - ACTUAL COMPARED WITH BUDGET ESTIMATES (CONTINUED) YEAR ENDED DECEMBER 31, 1971 Budget Actual estimates Highways (Continued) Snow and Ice Removal Personal services $ 18,115 $ 20,500 Contractual services 7,760 6,850 Commodities 7,541 5,700. Other charges 1,730 2,558 Capital outlay 2,911 2,356 $ 38,057 $ 37,964 Traffic Signs, Signals and Markings Personal services $ 1,121 $ 2,541 Contractual services 7,666 7,300 Commodities 3,530 3,800 Other charges 110 200 Capital outlay 15,500 15,500 $ 27,927 $ 29,341 Equipment Maintenance Personal services $ 4,063 $ 3,959 Contractual services 5,158 5,296 Commodities 3,236 3,276 Other charges 1,244 1,275 Capital outlay 21,399 21,547 $ 35,100 $ 35,353 Street Lighting- Contractual services $ 35,629 $ 37,868 ^ Total Highways $ 378,320 $ 403,898 Sanitation and Waste Removal Storm Sewers Personal services $ 5,205 $ 5,600 Contractual services 8,740 9,558 Commodities 1,962 1,400 Other charges 699 742 $ 16,606 $ 17,300 Pest Control Contractual services $ 200 Weed Eradication Personal services $ 4,081 $ 4,011 Contractual services 19,068 20,700 ,o. d Commodities 28 200 Other charges 64 64 $ 23,241 $ 24,975 Total Sanitation and Waste Removal $ 39.847 $ 42.475 16 CITY OF FRIDLEY, MINNESOTA GENERAL FUND STATEMENT OF EXPENDITURES - ACTUAL COMPARED WITH BUDGET ESTIMATES :(CONTINUED) YEAR ENDED DECEMBER 31, 1971 Budget Actual estimates Conservation of Health Personal services $ 5,749 $ 5,300 Contractual services 1,109 1,520 Commodities 8,0 Other charges 64 Total Conservation of Health $ 6,922 $ 6,900 City Band Personal services $ 950 $ 950 Commodities 431 650 Total City Band $ 1,381 $ 1,600 Recreation Personal services $ 61,955 $ 60,439 Contractual services 4,010 3,200 Commodities and capital outlay 12,159 14,485 Other charges 4,170 1,747 Refunds 71 Total Recreation $ 82,365 $ 79,871 Municipal Parks Personal services $ 115,736 $ 109,967 Contractual services 30,489 27,201 Commodities 20,290 19,494 Other charges 12,052 12,190 Capital outlay 79,220 91,719 Total Municipal Parks $ 257,787 $ 260,571 Reserve for contingencies $ 37,300 Total expenditures $1,690,840 $1.808,200 Fund balance January 1, 1971 $ 434,892 $ 387, 29 Revenue over (under) expenditures 142,70099 `- - «!(U,.?“\ Adjustment of prior year's accounts payable & receivable C' 1 ,723) Fund balance December 31, 1971 - $ 575.,878 $ 387,029 17 CITY OF FRIDLEY, MINNESOTA PTh SPECIAL REVENUE FUNDS STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS YEAR ENDED DECEMBER 31, 1971 Municipal 1969 Park •- Combined State-Aid Flood Capital Cash balance, January 1, 1971 $(19,255) $ 93,990 $(71,480) $(41,765) Receipts State-aid construction apportionment $ 62,115 $ 62,115 Interest on investments 28,628 28,602 $ 26 Investments matured (at cost) 273,000 273,000 Federal grant for flood relief 68,912 $ 68,912 Transfers from other funds 1969 Street Construction Fund 18, 127 18,127 Public Utility Fund 2,568 2,568 General Fund 68,000 68,000 1970 Street Construction Fund 15,688 15,688 1970 Principal and interest 38,123 38,123 State-aid (Temporary transfer) 80,000 80,000 /1 Total receipts $655,161 $435,655 $ 71,480 $148,026 Disbursements Construction costs $ 12,070 $ 12,070 Purchase of investments 370,000 $370,000 Land purchase 96,803 96,803 Transfers to other funds „" General Fund - Seal coating appropriation 14,000 14,000 1969 Street Construction Fund 15,688 15,688 1970 Street Construction Fund 37,361 37,361 1971 Street Construction Fund 9,066 9,066 Park Capital. Fund (Temporary transfer) 80,000 80,000 Water and Sewer Utilities 8,069 8,069 Total disbursements $643,057 $526,115 $116,942 Cash balance, December 31, 1971 $( 7,151) $ 3,530 $ -0- $(10.681) 19 CITY OF FRIDLEY, MINNESOTA INVESTMENT FUND BALANCE SHEET DECEMBER 31, 1971 ASSETS Cash $( 78,903) Accrued interest receivable 78,903 Total assets $ -0- ... STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS YEAR ENDED DECEMBER 31, 1971 Cash balance, January 1, 1971 $( 70,262) Receipts - Transfers from other City funds $3,739,436 Disbursements - Distribution to other City funds Investments $3,493,855 Interest distributed to other City funds General $ 29,730 Special Revenue 27,643 Special Assessment 123,051 General Debt Service 14,125 Municipal Liquor 6,625 Water and Sewer Utilities 52,019 Trust and Agency 1,029 254,222 Total disbursements $3,748,077 Cash balance,December 31, 1971 $( 78,903) 20 CITY OF FRIDLEY, MINNESOTA SPECIAL ASSESSMENT FUNDS BALANCE SHEETS DECEMBER 31, 1971 Special Special Special Assessment Assessment Improvements Combined Construction Debt Service Revolving ASSETS Cash $( 19,885) $ 55,255 $( 76,178) $ 1,038 Cash with fiscal agents 607,521 607,521 i`Investments,) at cost plus accrued interest City of Fridley temporary bonds 1,636,529 1,636,529 Other - ,1,443,855 " - 282,000 1,081,855 80,000 Accounts receivable 17,671 99 17,572 Taxes receivable Delinquent 929 929 Deferred 1,218,600 1,218,600 Special assessments receivable Delinquent 768,004 751,726 16,278 Deferred Principal 4,204,839 4,007,055 197,784 Interest 1,600,332 1,600,332 Amounts to be provided for Construction 719,130 719,130 Debt retirement 839,894 839,894 Total assets $13,037,419 $1,056,484 $11,685.835 $ 295.100 LIABILITIES, RESERVES, APPROPRIATIONS AND FUND BALANCE Accounts and contracts payable $ 399,594 $ 399,594 Deposits payable 13,815 $ 13,815 Bonded indebtedness - Future maturities Definitive bonds Principal 6,270,000 $ 6,270,000 Interest 1,561,330 1,561,330 Temporary bonds (held by City of Fridley) Principal 1,605,000 1,605,000 Interest 261,450 261,450 Reserves for debt retirement 1,988,055 1,988,055 Unencumbered appropriation balances 656,890 656,890 Fund balance 281,285 281,285 Total liabilities, reserves appropriations and fund balance $13.037.419 $1.056,484 $11,685,835 $ 295,100 •- 21 CITY OF FRIDLEY, MINNESOTA SPECIAL ASSESSMENT FUNDS STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS YEAR ENDED DECEMBER 31, 1971 Special Special Special Assessment Assessment Improvements Combined Construction Debt Service Revolving Cash balance, January 1, 1971 $ 226,548 $ 67,053 $ 159,356 $ 139 Receipts Proceeds from sale of temporary bonds $ 955,000 $ 955,000 Special assessments 1,044,046 $ 999,458 $ 44,588 General property taxes 528 528 Interest on special assessments 2,387 2,387 Interest on investments 188,395 11,125 169,709 7,561 Investments sold 1,838,984 1,749,984 89,000 Escrow deposits 11,555 11,555 Transfers from other funds 466,683 312,474 154,209 Total receipts $4,507,578 $1,278,599 $3,073,888 $ 155,091 Disbursements . Capital outlay ... Transfers to other funds - Interest during construction $ 41,776 $ 41,776 Other 930,555 930,344 $ 211 .. $ 972,331 $ 972,120 $ 211 Retirement of bonds Principal 874,000 $ 874,000 Interest 338,992 338,992 -- Investments purchased 2,398,855 282,000 2,036,855 80,000 Transfers to other funds 136,543 36,277 55,900 44,366 Refund of escrow deposits 29,615 29,615 Other disbursements 3,675 3,675 Total disbursements $4,754,011 $1,290,397 $3,309,422 $ 154,192 Cash balance, December 31, 1971 $( 19,885) $ 55,255 $( 76,178) $ 1,038 .- 22 CITY OF FRIDLEY, MINNESOTA SPECIAL ASSESSMENT CONSTRUCTION FUNDS BALANCE SHEETS DECEMBER 31, 1971 ASSETS Accounts receivable - Cash Investments Other .. Sewer and Water No. 50 $ 8,946 Storm Sewer No. 82 13,082 Sewer and Water No. 93 10,823 Sewer and Water No. 98 123 Storm Sewer No. 100 3,037 Storm Sewer No. 101 ( 2,550) Sewer and Water No. 102 (11,978) Storm Sewer and Sewer and Water No. 103 4,887 $245,000 Locke Lake Dam No. 104 1,424 Storm Sewer and Sewer and Water No. 105 1,999 37,000 Storm Sewer and Sewer and Water No. 107 ( 7,581) 1968 Street 17,887 1969 Street 2,488 $ 99 es-k- 1970 Street 22,353 1971 Street ( 3,060) 1972 Street ( 6,625) Combined $ 55,255 $282,000 $ 99 23 LIABILITIES AND APPROPRIATIONS Amount Accounts Total to be and Unencumbered liabilities provided for Total contracts appropriation and construction assets payable balance appropriations $ 8,946 $ 7,408 $ 1,538 $ 8,946 13,082 11,259 1,823 13,082 $ 14,980 25,803 25,803 25,803 123 123 123 700 3,737 3,737 3,737 2,550 11,978 75,113 325,000 227,840 97,160 325,000 14,776 16,200 16,200 16,200 61,001 100,000 24,162 75,838 100,000 7,581 17,887 15,234 2,653 17,887 2,587 2,587 2,587 271,280 293,633 81,441 212,192 293,633 252,546 249,486 249,486 249,486 .- 6,625 $712.130 $1.056.484 $399.594 $656.890 $1,056,484 24 CITY OF FRIDLEY, MINNESOTA SPECIAL ASSESSMENT DEBT SERVICE FUNDS BALANCE SHEETS DECEMBER 31, 1971 Regular Special Combined Assessment ASSETS Cash $( 76,178) $( 91,577) Cash with fiscal agents 607,521 Investments, at cost plus accrued interest ... City of Fridley temporary bonds 1,636,529 1,300,154 Other 1,081,855 Accounts receivable 17,572 Taxes receivable Delinquent 929 Deferred 1,218,600 Special assessments receivable ._ Delinquent 751,726 79,187 Deferred Principal 4,007,055 239,826 Interest 1,600,332 31,597 Amount to be provided for debt retirement 839,894 Total assets $11,685,835 $1,559,187 LIABILITIES AND RESERVE .. Bonded indebtedness - Future maturities Definitive bonds Principal $ 6,270,000 $ 695,000 Interest 1,561,330 69,152 Temporary bonds (held by City of Fridley) Principal 1,605,000 Interest 261,450 Reserve for debt retirement 1,988,055 795,035 Total liabilities and reserve $11,685.835 $1,559.187 1 25 Storm Sewer Locke Sewer Sewer Storm and Sewer Lake and •- and Water Sewer and Water Dam Water 1969 1970 No. 48 No. 100 No. 103 No. 104 No. 105 Street Street $(30,234) $ 12,746 $ 2,097 $ 1,924 125,087 30,000 40,000 17,572 74,429 11,350 11,128 ^,tm 166,773 49,149 299,479 374,813 56,318 40,088 112,756 162,869 $393,250 $ 12,100 $121,000 137,294 $392,373 $101.983 $393,250 $ 12,100 $121,000 $455,682 $745.600 $230,000 9,225 $ 60,000 $325,000 $ 10,000 $100,000 $325,000 $635,000 10,500 68,250 2,100 21,000 22,750 110,600 153,148 31,483 107,932 $392,373 $101,983 $393,250 $ 12.100 $121,000 $455,682 $745,600 • .- 26 CITY OF FRIDLEY, MINNESOTA SPECIAL ASSESSMENT DEBT SERVICE FUNDS m. BALANCE SHEETS (CONTINUED) DECEMBER 31, 1971 m. Improve- ment 1971 Bonds of m. Street 1960 ASSETS Cash $ 1,675 Cash with fiscal agents 97,982 Investments, at cost plus accrued interest City of Fridley temporary bonds 336,375 Other 40,000 Accounts receivable Taxes receivable Delinquent Deferred Special assessments receivable Delinquent 82,683 Deferred Principal 395,139 rN Interest 139,098 Amount to be provided for debt retirement $176,250 Total assets $176,250 $1,092,952 LIABILITIES AND RESERVE ,.. Bonded indebtedness - Future maturities Definitive bonds Principal $ 855,000 Interest 194,637 Temporary bonds (held by City of Fridley) Principal $150,000 Interest 26,250 Reserve for debt retirement 43,315 m. Total liabilities and reserve $176,250 $1,092,952 m. m. m. 27 Improve- Improve- Improve- Improve- Improve- ment ment Refunding ment ment ment Bonds of Bonds of Bonds of Bonds of Bonds of Bonds of 1962 _ 1963 1964 1965 1967 1970 $ 4,300 $ 389 $ 18,166 $ 2,538 $ 1,290 $ 508 68,717 178,847 136,888 70,000 240,000 174,855 185,000 260,000 42,000 929 426,300 792,300 21,028 65,596 82,297 128,705 129,560 65,763 ...,Th 36,691 37,032 225,393 208,842 903,674 1,070,244 12,270 7,399 63,378 82,948 305,073 586,538 $144.289 $845,433 $1,357,318 $608,033 $1,778,444 $1,901,941 $ 75,000 $475,000 $ 930,000 $415,000 $1,340,000 $1,255,000 14,862 94,662 125,785 .100,560 315,715 636,732 54,427 275,771 301,533 92,473 122,729 10,209 $144,289 $845,433 $1,357,318 $608,033 $1,778.444 $1,901,941 .. 28 CITY OF FRIDLEY, MINNESOTA GENERAL DEBT SERVICE FUNDS a. BALANCE SHEETS - DECEMBER 31, 1971 Civic ,. Park Bonds Center of 1962 Bonds Water Combined and 1963 of 1965 No. 75 ASSETS Cash $ 30,256 $ 1,353 $ 27,463 $ 1,440 Cash with fiscal agent 21,138 21,138 Investments at cost plus accrued interest 250,000 40,000 210,000 Taxes receivable Delinquent 4,918 2,715 2,203 Deferred 615,807 71,600 544,207 Due from Water and Sewer Revenue Bond Fund 725,114 725,114 Amount to be provided for debt retirement 1,403 1,403 Total assets -----'- $1,648,636 $136,806 $573,873 $937,957 LIABILITY AND RESERVE Liability - Bonded indebtedness Future maturities Bonds $1,245,000 $105,000 $425,000 $715,000 Interest 348,331 4,947 120,427 222,957 Reserve for Debt Retirement 55,305 26,859 28,446 Total liability and reserve $1,648,636 $136,806 $573,873 $937,957 STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS YEAR ENDED DECEMBER 31, 1971 Cash balance, January 1, 1971 $ 74,120 $ 37,658 $ 24,392 $ 12,070 Receipts Property taxes $ 82,657 $ 46,214 $ 36,443 Interest on investments 14,912 1,497 1,375 $ 12,040 Investment maturities, at cost 198,000 198,000 Transfer from Water and Sewer Revenue Bond Fund 49,271 49,271 Total receipts $ 344,840 $ 47,711 $ 37,818 $259,311 '' Disbursements Investment purchases $ 250,000 $ 40,000 $210,000 Bonds 90,000 35,000 $ 20,000 35,000 Interest 48,495 8,975 14,685 24,835 Fiscal agent service charge 209 41 62 106 Total disbursements $ 388,704 $ 84,016 $ 34,747 $269,941 Cash balance, December 31, 1971 $ 30.256 $ 1,353 $ 27,463 $ 1,440 29 CITY OF FRIDLEY, MINNESOTA LIQUOR FUND BALANCE SHEET DECEMBER 31, 1971 ASSETS Current assets Cash $ 10,241 Contract for deed receivable 8,487 Investments, at cost plus accrued interest 165,000 Prepaid rent 914 Inventories, at cost 239,814 Total current assets $424,456 Property, plant and equipment, substantially all at cost Land and improvements $ 156 Furniture, fixtures and equipment 67,699 Truck 3,084 $ 70,939 Less accumulated depreciation 35,404 Net property, plant and equipment $ 35,535, ^".." Contract for deed receivable, less current portion above $171,224 Total assets $631,215 LIABILITIES AND RETAINED EARNINGS Current liabilities Accounts payable $ 15,491 Retained earnings $615,724 Total liabilities and retained earnings $631,215 30 CITY OF FRIDLEY, MINNESOTA LIQUOR FUND STATEMENT OF INCOME YEAR ENDED DECEMBER 31, 1971 On-Sale Stores Total No. 22 No. 33 ^, Sales $1,450,359 $125,169 $187,478 Cost of sales 952,302 36,735 54,534 Gross profit $ 498,057 $ 88,434 $132,944 Percent of sales 34.3 70.7 70.9 Operating expenses $ 370,031 $ 79,446 $115,992 Percent of sales 25.5 63.5 61.9 Operating profit $ 128,026 $ 8,988 $ 16,952 Percent of sales 8.8 7.2 9.0 Other income $ 20,851 $ 4,433 $ 5,942 Gain on sale of on-sale stores 66,848 41,375 25,473 (Interest expense) ( 825) ( 550) $ 86,874 $ 45,808 $ 30,865 Percent of sales 6.0 36.6 16.5 Net income $ 214,900 $ 54,796 $ 47,817 Percent of sales 14.8 43.8 25.5 ANALYSIS OF CHANGES IN RETAINED EARNINGS YEAR ENDED DECEMBER 31, 1971 Retained earnings January 1, 1971 $599,282 Net income 214,900 Transfer from Sinking Account 25,717 P- Transfer to General Fund (224,175) Retained earnings December 31, 1971 $615.724 rTh 31 Off-Sale stores No. 1 No. 2 No. 3 No. 4 $138,937 $282,257 $257,680 $458,838 104,416 213,087 198,977 344,553 $ 34,521 $ 69,170 $ ..58,703 $114,285 24.9 24.5 22.8 24.9 $ 33,567 $ 45,025 $ ..41,824 $ 54,177 24.2 15.9 16.2 11.8 $ 954 $ 24,145 $ . 16,879 $ 60,108 .7 8.6 6.6 13.1 $ 442 $ 2,643 $ 2,119 $ 5,272 t•-• ( 275) $ 442 $ 2,643 $ . . 1,844 $ 5,272 .3 .9 .7 1.1 $ 1,396 $ 26,788 $ 18,723 $ 65,380 1.0 9.5 7.3 14.2 .. 33 CITY OF FRIDLEY, MINNESOTA LIQUOR FUND STATEMENT OF CHANGES IN FINANCIAL POSITION YEAR ENDED DECEMBER 31, 1971 FUNDS PROVIDED Net income $214,900 Less gain on sale of liquor store 66,848 $148,052 Depreciation 13,242 $161,294 Proceeds from sale of liquor stores 252,000 Transfers from restricted assets 25,717 $439,011 FUNDS APPLIED Additions to property, plant and equipment $ 24,844 Transfer to General Fund 224,175 Increase in contract receivable 171,224 $420,243 INCREASE IN WORKING CAPITAL $ 18,768 WORKING CAPITAL Current assets $424,456 Current liabilities 15,491 Working capital $408,965' Current ratio 27.40 to 1.00 34 CITY OF FRIDLEY, MINNESOTA rial LIQUOR FUND STATEMENT OF OPERATING EXPENSES YEAR ENDED DECEMBER 31, 1971 On-Sale Stores Percent Percent Percent 0. Total of sales No. 22 of sales No. 33 of sales Salaries and wages $258,898 17.9 $ 63,226 50.5 $ 88,634 47.3 _ Employee benefits 18,322 1.3 3,962 3.2 7,105 3.8 Supplies 7,414 .5 727 .6 1,681 .9 Laundry and cleaning 4,872 .3 1,030 .8 1,416 .8 Rent 11,893 .8 Utilities 13,926 1.0 2,275 1.8 3,723 2.0 Repairs and maintenance 7,154 .5 1,340 1.1 2,636 1.4 Insurance 26,480 1.8 3,840 3.1 5,353 2.8 - Depreciation 11,980 .8 1,322 1.1 3,824 2.0 Mileage and automobile expense 1,133 .1 402 .3 403 .2 Professional fees 1,688 .1 150 .1 150 .1 Alarm service 2,261 .2 384 .3 183 .1 Cash (over) short 343 83 .1 268 .1 Uncollectible checks 1,999 .1 388 .3 320 .2 (-.- Miscellaneous 1,668 .1 317 .2 296 .2 $370,031 25.5 $ 79,446 63.5 $115,992 61.9 . / ) 35 Off-Sale Stores Percent Percent Percent Percent No. 1 of sales No. 2 of sales No. 3 of sales No. 4 of sales .... $ 17,713 12.8 $ 29,850 10.4 $ 28,024 10.9 $ 31,451 6.8 1,227 .9 1,875 .7 2,234 .9 1,919 .4 746 .5 1,161 .4 1,556 .6 1,543 .3 592 .4 607 .2 455 .2 772 .2 4,064 2.9 500 .2 504 .2 6,825 1.5 2,285 1.6 1,093 .4 1,756 .7 2,794 .6 528 .4 1,449 .5 576 .2 625 . 1 3,043 2.2 4,717 1.7 4,466 1.7 5,061 1. 1 1,765 1.3 1,678 .6 1,291 .5 2,100 .5 1 80 .1 73 .1 82 93 651 .5 262 .1 263 . 1 212 .1 468 .3 784 .3 91 351 . 1 26 ...„..s\ 138 .1 ( 680 .2 (. . 335 .1 138 241 .2 317 .1 240 .1 257 .1 $ 33,567 24.2 $ 45,025 15.9 $ 41.824 16.2 $ 54,177 11.8, 1 36 CITY OF FRIDLEY, MINNESOTA MUNICIPAL BUILDING RESERVE BOND FUND STATEMENT OF CHANGES IN ASSETS RESTRICTED FOR LIQUOR REVENUE BOND DEBT SERVICE YEAR ENDED DECEMBER 31, 1971 Sinking Reserve Combined Account Account Cash balance, January 1, 1971 $26,544 $(8,471) $35,015, Receipts - Transfer from Liquor Operating Fund $28,083 $28,083 .- Disbursements Transfer to Liquor Operating Fund $35,015 $35,015 Bonds 18,000 $18,000 Interest 781 781 Other 831 831 Total disbursements $54,627 $19,612 $35,015 Cash balance, December 31, 1971 $ -0- $ -0- $ -0- P. P. I I ! 1 37 CITY OF FRIDLEY, MINNESOTA WATER AND SEWER REVENUE BOND FUND BALANCE SHEET DECEMBER 31, 1971 ASSETS Current assets Cash $ 3,215 Investments, at cost 580,000 Accounts receivable 197,651 Total current assets $ 780,866 Restricted assets - Revenue Bond Accounts •• Sinking Account Cash $ 22,564 Cash with fiscal agent 15 113 $ 37,677 Reserve Account Cash $ 4,478 Investment 20,000 24,478 Construction Account Cash $ 2,483 Investments 40,000 42,483 Total restricted assets $ 104,638 Accounts receivable Metropolitan Sewer Board $ 472,764 Property, plant and equipment, substantially all at cost* Land and improvements $ 149,076 Buildings 737,067 Meters 219,713 Machinery and equipment 1,742,145 $2,848,001 Less accumulated depreciation 576,526 Net property, plant and equipment $2,271,475 Total assets 83,629,743 LIABILITIES, RESERVES AND RETAINED EARNINGS Current liabilities Accounts payable - Other $ 192,078 Bonds payable within one year** 10,000 Total current liabilities $ 202,078 Other liabilities Accounts payable from restricted assets (Construction Account) $ 1,053 fonds payable less portion due within one year 525,000 Meter deposits payable 220,169 Due to General Debt Service Fund, Water No. 75 735,678 Deferred income from Metropolitan Sewer Board 472.164 ^ Total other liabilities $1,954,664 Reserves Reserve for Construction Account $ 41,430 Reserve for Sinking Account debt service 37,677 .., Reserve for Reserve Account 24,478 Total reserves $ 103,585 Retained earnings $1,369,416 Total liabilities, reserves and retained earnings 83.629 743 * See Comments, Page 7 ** Payable from restricted assets m. 38 CITY OF FRIDLEY, MINNESOTA WATER AND SEWER UTILITIES REVENUE BOND FUND OPERATION AND MAINTENANCE ACCOUNT STATEMENT OF INCOME YEAR ENDED DECEMBER 31, 1971 Combined Water Sewer Operating revenue Water Sales and sewer rents $717,386 $361,040 $356,346 P, Connection permits 3,806 1,180 2,626 Sales of materials and miscellaneous services 2,274 2,041 233 Total operating revenue $723,466 $364,261 $359,205 Operating expenses Source of supply $319,964 $ 2,904 $317,060 Power and pumping 41,302 41,302 Purification 36,959 36,959 Transmission and distribution 162,599 75,568 87,031 Customer accounting and collecting 29,038 18,417 10,621 Administrative and general 27,166 9,477 17,689 Depreciation 86,062 84,164 1,898 Total operating expenses $703,090 $268,791 $434,299 Operating income (loss) $ 20,376 $ 95.470 $(75.094) Other income and (expense) Interest income 30,536 Distribution of net assets of N,S.S.S.D. 24,221 Interest expense (59,390) ^, Net income $ 15,743 1 ANALYSIS OF CHANGES IN RETAINED EARNINGS YEAR ENDED DECEMBER 31, 1971 Retained earnings January 1, 1971, before adjustments $ 638,965 Net income 15,743 ^� Transferred from Construction' Account 802,025 Transfers to other funds ( 87,317) Retained earnings December 31, 1971 $1.369,416 n 39 CITY OF FRIDLEY, MINNESOTA ^, WATER AND SEWER REVENUE BOND FUND STATEMENT OF CHANGES IN FINANCIAL POSITION YEAR ENDED DECEMBER 31, 1971 FUNDS PROVIDED Net income $ 15,743 Depreciation 86,062 $ 101,805 Increase in meter deposits payable 9,923 Transfer from construction account 802,025 Accounts receivable Metropolitan Sewer Board 472,764 $1,386,517 FUNDS APPLIED Increase in property, plant and equipment $ 562,717 Reduction of bonds payable 10,000 Reduction of amount due Debt Service Fund, Water No. 75 24,966 Transfers To other funds 53,530 To restricted assets 33,787 Deferred income from Metropolitan Sewer Board 472,764 $1,157,764 INCREASE IN WORKING CAPITAL $ 228,753 WORKING CAPITAL Current assets $ 780,866 Current liabilities 202,078 Working capital $ 578,788 Current ratio 3.86 to 1.00 P. 40 CITY OF FRIDLEY, MINNESOTA WATER AND SEWER REVENUE BOND FUND STATEMENT OF CHANGES IN ASSETS RESTRICTED FOR REVENUE BOND DEBT SERVICE YEAR ENDED DECEMBER 31, 1971 Sinking Reserve Construction Combined Account Account Account Cash balance, January 1, 1971 $ 32,164 $(13,223) $ 22,826 $ 22,561 Receipts Transfer from Operation and Maintenance Account $ 1,032 $ 1,032 Interest on investments 21,849 $ 1,362 $ 1,652 18,835 Transfer from Water and Sewer Operating Fund 78,874 78,874 Investments sold 397,000 397,000 Total receipts $498,755 $ 80,236 $ 1,652 $416,867 Disbursements Bonds $ 10,000 $ 10,000 Interest 34,341 34,341 Fiscal agents service charge 108 108 Construction costs 396,945 $396,945 r" Investments purchased 60,000 $ 20,000 40,000 Total disbursements $501,394 $ 44,449 $ 20,000 $436,945 Cash balance, December 31, 1971 $ 29,525 $ 22,564 $ 4,478 $ 2.483 Investment balance, January 1, 1971 $397,000 $397,000 Additions 60,000 $ 20,000 40,000 Deductions (397,000) (397,000) Investment balance, December 31, 1971 $ 60.000 $ 20,000 $ 40,000 7 7 i 41 CITY OF FRIDLEY, MINNESOTA TRUST AND AGENCY FUNDS BALANCE SHEETS - DECEMBER 31, 1971 Firemen's Police Relief Relief Association Association Pension Combined Fund Fund Fund ASSETS Cash $ 16,466 $ 16,466 Taxes receivable Unremitted 7,842 $ 1,677 $ 2,515 3,650 Delinquent 5,652 1,195 2,415 2,042 Total assets $ 29,960 $ 2,872 $ 4,930 $ 22,158 RESERVE AND FUND BALANCE Reserve for uncollected taxes $ 13,494 $ 2,872 $ 4,930 $ 5,692 Fund balance 16,466 16,466 Total reserve and fund balance $ 29,960 $ 2,872 $ 4,930 $ 22,158 STATEMENTS OF CASH RECEIPTS AND DISBURSEMENTS YEAR ENDED DECEMBER 31, 1971 -- Cash balance January 1, 1971 $ 25,553 $ 25,553 Receipts General property taxes $124,848 $ 52,820 $ 26,380 $ 45,648 Insurance premium tax 20,952 20,952 Interest earned 1,030 1,030 Total receipts $146,830 $ 52,820 $ 47,332 $ 46,678 Disbursements Police Relief Association $ 47,332 $ 47,332 Firemen's Relief Association 52,820 $ 52,820 Pension contributions 55,765 $ 55,765 Total disbursements $155,917 $ 52,820 $ 47,332 $ 55,765 PM Cash balance December 31, 1971 $ 16,466 $ -0- $ -0- $ 16,466 42 p. CITY OF FRIDLEY, MINNESOTA STATEMENT OF GENERAL FIXED ASSETS DECEMBER 31, 1971 General fixed assets p. Land $ 557,946 Buildings and structures 777,722 Improvements other than buildings 15,638,438 Furniture, fixtures and office equipment 151,922 Machinery and equipment 484,403 p. Construction in progress 915,422 Total general fixed assets $18,525.853 Investment in general fixed assets Special assessments $16,021,726 State-aid 116,708 .. Current revenues 522,008 p. Municipal liquor dispensary 38,570 Contributions 101,536 p. General obligation bonds 1,724,819 Water and sewer utilities 486 ., Total investment in general fixed assets $18,525,853. .. General fixed assets were shown at cost except that fixed assets for which cost information was not available were priced at appraised values. fl 43 CITY OF FRIDLEY, MINNESOTA STATEMENT OF CASH AND SECURITY FOR DEPOSITS DECEMBER 31, 1971 Face amount of securities Cash and pledged as deposits collateral Checking accounts - Fridley State Bank, Fridley, Minnesota General account $(18,837) $225,000* Petty cash and change funds 7,400 Total cash $(11,437) Savings Certificate - First National Bank of Minneapolis $150,000 $180,000 -Om* *Additional security of $20,000 is provided by the Federal Deposit Insurance Corporation. SUMMARY STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS ALL FUNDS YEAR ENDED DECEMBER 31, 1971 Cash Cash balance balance January 1, December 31, Fund 1971 Receipts Disbursements 1971 General Fund $ 35,184 $ 4,408,658 $ 4,439,043 $ 4,799 Special revenue funds ( 19,255) 647,135 624,239 3,641 .. Investment Fund ( 70,262) 3,683,246 3,691,887 ( 78,903) Special assessment funds 226,548 4,507,578 4,754,011 ( 19,885) General debt service funds 74,120 344,840 388,704 30,256 Liquor Fund 22,567 1,697,179 1,709,505 10,241 Municipal Building Reserve Bond Fund 26,544 28,083 54,627 Water and Sewer Revenue Bond Fund (335,652) 2,255,903 1,898,303 21,948 Trust and agency funds 25,553 146,830 155,917 16,466 Total $( 14,653) $17.719,452 $17,716,236 $( 11,437) 44 — CITY OF FRIDLEY, MINNESOTA BONDS PAYABLE - ALL FUNDS DECEMBER 31, 1971 — Issue Interest Maturity Principal date rate date amount Special Assessment Debt Service Funds - Definitive Bonds Regular Sewer Improvement Bonds $4,000 per year 5/1/54 3.00% 5/1/72-73 $ 8,000 May 1, 1974 3.00 5/1/74 2,000 — Water and Sewer Improvement Bonds of 1954 $20,000 per year 8/1/54 4.00 8/1/72-74 60,000 Water and Sewer Improvement Bonds of 1954 (Series B) $20,000 per year 8/1/54 4.00 2/1/72-74 60,000 Water and Sewer Improvement Bonds $20,000 per year 11/1/54 4.00 2/1/72-74 60,000 Water and Sewer Improvement Bonds $20,000 per year 5/1/55 3.60 2/1/72-75 80,000 $20,000 per year 3.60 8/1/72-75 80,000 General Obligation Improvement Bonds .., $15,000 per year 10/1/55 3.60 2/1/72 15,000 $15,000 per year 3.60 8/1/72 15,000 $20,000 per year 3.60 2/1/73-75 60,000 $20,000 per year 3.60 8/1/73-75 60,000 Improvement Bonds $30,000 per year 8/1/56 4.75 8/1/72-74 90,000 August 1, 1975 4.75 8/1/75 50,000 7 August 1, 1976 4.75 8/1/76 55,000 Total Regular Special Assessment Debt Service Funds $ 695,000 Sewer and Water No. 48 $120,000 per year 10/1/61 4.10 1/1/72 $ 120,000 January 1, 1973 4.10 1/1/73 110,000 n' Total Sewer and Water No. 48 Special Assessment Debt Service Fund $ 230,000 n . 45 CITY OF FRIDLEY, MINNESOTA BONDS PAYABLE - ALL FUNDS (CONTINUED) DECEMBER 31, 1971 Issue Interest Maturity Principal date rate date amount Special Assessment Debt Service Funds - Definitive Bonds (Continued) Improvement Bonds of 1960 $80,000 per year 10/1/60 4.107. 1/1/72-73 $ 160,000 January 1, 1974 4.10 1/1/74 75,000 .. $80,000 per year 4.20 1/1/75-78 320,000 January 1, 1979 4.20 1/1/79 75,000 January 1, 1980 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 Total Improvement Bonds of 1960 Special Assessment Debt Service Fund $ 855,000 Improvement Bonds of 1962 ..„ February 1, 1972 5/1/62 3.50 2/1/72 $ 5,000 February 1, 1973 3.50 2/1/73 10,000 February 1, 1974 3.50 2/1/74 5,000 February 1, 1975 3.80 2/1/75 10,000 .. February 1, 1976 3.80 2/1/76 5,000 February 1, 1977 3.80 2/1/77 10,000 February 1, 1978 3.80 2/1/78 5,000 February 1, 1979 3.80 2/1/79 10,000 $5,000 per year 3.80 2/1/80-82 15,000 Total Improvement Bonds of 1962 Special Assessment Debt Service Fund $ 75,000 Improvement Bonds of 1963 '�" $60,000 per year 1/1/63 3.50 1/1/72-73 $ 120,000 January 1, 1974 3.50 1/1/74 50,000 January 1, 1975 3.70 1/1/75 45,000 -. $30,000 per year 3.70 1/1/76-77 60,000 $30,000 per year 3.80 1/1/78-79 60,000 $35,000 per year 3.80 1/1/80-83 140,000 Total Improvement Bonds of 1963 Special Assessment Debt Service Fund $ 475,000 "1 Refunding Bonds of 1964 February 1, 1972 2/1/64 3.30 2/1/72 $ 155,000 /.Th $105,000 per year 3.30 2/1/73-75 315,000 .... $105,000 per year 3.40 2/1/76-79 420,000 February 1, 1980 3.40 2/1/80 40,000 Total Refunding Bonds of 1964 Special Assessment Debt Service Fund $ 930,000 46 CITY OF FRIDLEY, MINNESOTA BONDS PAYABLE - ALL FUNDS (CONTINUED) DECEMBER 31, 1971 Issue Interest Maturity Principal date rate date amount Special Assessment Debt Service Funds - Definitive Bonds (Continued) Improvement Bonds of 1965 wm $30,000 per year 5/1/65 3.20% 2/1/72-75 $ 120,000 $30,000 per year 3.30 2/1/76-78 90,000 $30,000 per year 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 February 1, 1986 3.50 2/1/86 20,000 Total Improvement Bonds of 1965 Special Assessment Debt Service Fund $ 415,000 Improvement Bonds of 1967 $150,000 per year 10/1/67 4.20 1/1/72-75 $ 600,000 $140,000 per year 4.20 1/1/76-77 280,000 (-•- $130,000 per year 4.40 1/1/78 130,000 $ 40,000 per year 4.40 1/1/79-82 160,000 $ 30,000 per year 4.50 1/1/83-87 150,000 January 1, 1988 4.50 1/1/88 20,000 .,I Total Improvement Bonds of 1967 Special Assessment Debt Service Fund $1,340,000 .- Improvement Bonds of 1970 $95,000 per year 7/1/70 6.50 1/1/72-79 $ 760,000 $85,000 per year 6.50 1/1/80 85,000 $45,000 per year 6.75 1/1/81-82 90,000 $45,000 per year 6.90 1/1/83-84 90,000 $40,000 per year 7.00 1/1/85-89 200,000 ''1 $15,000 per year 7.00 1/1/90-91 30,000 Total Improvement Bonds of 1970 Special Assessment Debt Service Fund $1,255,000 7 Total Special Assessment Definitive Bonds $6,270,000 7 General Debt Service Funds Park Bonds 7 $20,000 per year 5/1/62 3.40. 2/1/72-73 $ 40,000 $20,000 per year 1/1/63 3.50 1/1/72-73 40,000 n January 1, 1974 3.50 1/1/74 25,000 1 Total Park Bonds $ 105,000 7I 47 CITY OF FRIDLEY, MINNESOTA BONDS PAYABLE - ALL FUNDS (CONTINUED) DECEMBER 31, 1971 Issue Interest Maturity Principal date rate date amount General Debt Service Funds (Continued) Civic Center Bonds .. $20,000 per year 5/1/65 3.20'/, 2/1/72-73 $ 40,000 $25,000 per year 3.20 2/1/74-75 50,000 $25,000 per year 3.30 2/1/76-78 75,000 $30,000 per year 3.40 2/1/79-81 90,000 February 1, 1982 3.50 2/1/82 30,000 $35,000 per year 3.50 2/1/83-86 140,000 Total Civic Center Bonds $ 425,000 Water No. 75 $35,000 per year 5/1/65 3.20 2/1/72 $ 35,000 February 1, 1973 3.20 2/1/73 20,000 February 1, 1974 3.20 2/1/74 35,000 ""'.". February 1, 1975 3.20 2/1/75 20,000 February 1, 1976 3.30 2/1/76 35,000 $50,000 per year 3.30 2/1/77-78 100,000 -- $50,000 per year 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 Total Water No. 75 Bonds $ 715,000 Total General Debt Service Funds $1,245,000 REVENUE BONDS Public Utilities Sinking Fund Water and Sewer Revenue Bonds of 1956 $15,000 per year 9/1/56 4.50 9/1/72-76 $ 75,000 Water Bonds of 1970 $35,000 per year 7/1/70 6.50 1/1/73 $ 35,000 .. $40,000 per year 6.50 1/1/74-75 80,000 $45,000 per year 6.50 1/1/76-77 90,000 $50,000 per year 6.50 1/1/78-79 100,000 $55,000 per year 6.50 1/1/80 55,000 MR $55,000 per year 6.75 1/1/81 55,000 $45,000 per year 6.75 1/1/82 45,000 Total Water Bonds of 1970 $ 460,000 Total Public Utilities Sinking Fund $ 535,000 Total Definitive Bonds $8,050,000 49 CITY OF FRIDLEY, MINNESOTA BONDS PAYABLE - ALL FUNDS (CONTINUED) DECEMBER 31, 1971 Issue Interest Maturity Principal date rate date amount Special Assessment Debt Service Funds - Temporary Bonds 1969 Street 7/1/69 7.00% 7/1/72 $ 325,000 m. 1970 Street 7/1/70 7.00 7/1/73 $ 325,000 Sewer, Water & Sanitary Sewer No. 100 1/1/71 7.00 1/1/74 $ 60,000 1971 Street 6/30/71 7.00 6/30/74 $ 150,000 1970 Street 11/1/71 7 .00 11/1/74 $ 75,000 Water, Sewer and Sanitary ""/•Th Sewer No. 103 11/1/71 7.00 11/1/74 $ 325,000 Locke Lake Dam No. 104 12/1/71 7.00 12/1/74 $ 10,000 1970 Street 12/1/71 7.00 12/1/74 $ 235,000 Sewer, Water and Sanitary Sewer No. 105 12/1/71 7.00 12/1/74 $ 100,000 Total Special Assessment Temporary Bonds $1,605,000 Total bonds outstanding $94655,000 .. 50 CITY OF FRIDLEY, MINNESOTA DEBT SERVICE REQUIREMENTS - ALL FUNDS _ DECEMBER 31, 1971 Year Principal Interest Total 1972 $ 1,294,000 $ 449,575 $ 1,743,575 1973 944,000 387,475 1,331,475 1974 2,102,000 320,213 2,422,213 1975 745,000 227,275 972,275 1976 660,000 195,802 855,802 1977 610,000 165,993 775,993 1978 600,000 139,125 739,125 1979 515,000 114,107 629,107 - 1980 450,000 92,105 542,105 1981 355,000 73,415 428,415 1982 350,000 57,055 407,055 1983 220,000 44,148 264,148 1984 185,000 35,177 220,177 1985 180,000 27,025 207,025 1986 175,000 19,112 194,112 1987 120,000 12,250 132,250 1988 80,000 7,100 87,100 1989 40,000 3,500 43,500 r- -- 1990 15,000 1,575 16,575 1991 15,000 525 15,525 $ 9,655.000 $ 2,372,552 $12.027.552 CERTIFICATES OF INDEBTEDNESS - GENERAL FUND DECEMBER 31, 1971 Interest Maturity Principal rate date amount Certificates of Indebtedness maturing $5,000 per year 5 3/8% 6/1/72 $ 5,000 Total certificates of indebtedness $ 5,000 51 CITY OF FRIDLEY, MINNESOTA ASSESSED VALUATIONS, TAX LEVIES AND MILL RATES (Shown by year of tax collectibility) 1969 1970 1971 1972 Assessed Valuations Real estate $17,404,548 $19,189,965 $23,921,229 $24,721,145 Personal property 2,311,980 3,245,428 3,687,092 4,080,720 Actual assessed $19,716,528 $22,435,393 $27,608,321 $28,801,865 Exempt personal 966,800 1,155,935 1,210,692 N/A •■ Total $20,683,328 $23,591,328 $28,819,013 $28,801,865 Tax Levies General Fund $ 727,902 $ 909,650 $ 1,001,209 $ 923,625 Public Employees' Retirement Association Fund 60,288 90,312 47,402 59,566 Firemen's Relief Association Fund 20,683 24,057 27,523 17,602 Police Pension Association �•/, Fund 20,683 44,610 55,862 57,547 General Debt Service Funds 75,200 83,590 81,531 Total $ 904,756 $ 1,068,629 $ 1,215.586 $ 1,139,871 Mill Rates General Fund 35.16 38.56 34.74 32.07 Public Employees' Retirement Association Fund 2.91 3.83 1.64 2.07 •^ Firemen's Relief Association Fund .95 1.02 .96 .61 Police Pension Association Fund .95 1.89 1.94 2.00 General Debt Service Funds 3.63 2.90 2.83 Total 43.60 45.30 42. 18 39.58 W. WO 52 CITY OF FRIDLEY, MINNESOTA TAX LEVIES AND TAX COLLECTIONS .- YEARS 1962 THROUGH 1971 Collections Percentage Collection of current of levy of prior Ratio _ year's taxes collected years' taxes of total Year Total during fiscal during fiscal during fiscal Total collections collected tax levy period period period collections to tax levy 1962 $ 355,994 $ 351,707 98.79% $ 3,828 $ 355,535 .9987:1 1963 407,343 394,611 96.87 5,011 399,622 .9810: 1 _ 1964 471,095 456,350 96.87 7,243 463,593 .9840: 1 1965 565,667 547,313 96.76 7,658 544,971 .9811: 1 - 1966 641,945 618,252 96.31 10,003 628,255 .9787:1 1967 753,242 721,568 95.79 16,160 737,728 .9794:1 1968 757,325 743,851 98.22 29,672 773,523 1.0213: 1 n 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 r 53 PM CITY OF FRIDLEY, MINNESOTA INSURANCE COVERAGE DECEMBER 31, 1971 All risk, direct physical loss coverage Buildings and contents (except liquor stock) - 9O7 Co-insurance $3,592,300 ,% Boiler insurance 500,000 Contractor's equipment 213,497 Signs 10,000 Fire and extended coverage - Liquor contents (include stock) 414,000 Comprehensive liability, including automobiles .• Bodily injury Each person 100,000 Each occurrence 300,000 Property damage 100,000/300,000 Liquor liability 1,000,000 Open stock burglary 10,000 Comprehensive and collision, automobile Passenger vehicles Actual cash value Other vehicles Stated value Business interruption, liquor stores 350,000 Money and securities, inside and outside premises, all locations 15,000 Depository, forgery bond 10,000 Workmen's compensation Statutory EMPLOYEES' SURETY BONDS DECEMBER 31, 1971 Surety Name Position bond Gerald R. Davis City Manager $ 25,000 Marvin C. Brunsell City Clerk 1,000 ,., Marvin C. Brunsell Treasurer 25,000 Mervin J. Herrmann Assessor 500 Leon Madsen Deputy Assessor 500 Walter J. Mulcahy Appraiser 500 All employees are covered by a blanket faithful performance bond of 15,000