Loading...
HomeMy WebLinkAbout2001 CAFRCOMPREHENSIVE ANNUAL FINANCIAL REPORT OF THE CITY OF COLUMBIA HEIGHTS STATE OF MINNESOTA FOR THE YEAR ENDED DECEMBER 31, 2001 Preparecd By: Finance Department fl I' 1 1 CIS ' 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA TABLE OF CONTENTS ^ I. INTRODUCTORY SECTION ' Principal City Officials Organizational Chart ' Letter of Transmittal Certificate of Achievement for Excellence in Financial Reporting ' II. FINANCIAL SECTION Independent Auditor's Report General Purpose Financial Statements ' Combined Balance Sheet -All Fund Types and Account Groups Combined Statement of Revenues, Expenditures and Changes in Fund Balance -All Governmental Fund Types and Expendable Trust Fund Combined Statement of Revenues, Expenditures and Changes in Fund Balance -Budget and Actual -General and Special Revenue Fund Types Combined Statement of Revenues, Expenses and Changes in Retained Earnings -Proprietary Fund Types Combined Statement of Cash Flows -Proprietary Fund Types Notes to Financial Statements Combining, Individual Fund and Account Group Financial Statements General Fund: Balance Sheet Statement of Revenues, Expenditures and Changes in Fund Balance -Budget and Actual Schedule of Revenues -Budget and Actual Schedule of Expenditures -Budget and Actual Reference Page Number 3 5 7 17 21 Statement 1 26 Statement 2 30 Statement 3 32 Statement 4 34 Statement 5 35 37 Statement 6 71 Statement 7 72 Statement 8 74 Statement 9 75 CITY OF COLUMBIA HEIGHTS, MINNESOTA TABLE OF CONTENTS Reference Page Number Special Revenue Funds: Combining Balance Sheet Statement 10 80 Combining Statement of Revenues, Expenditures and Changes in Fund Balance Statement 11 84 Statement of Revenues, Expenditures and Changes in Fund Balance -Budget and Actual: Municipal State Aid Street Fund Statement 12 88 Cable Television Fund Statement 13 89 D.A.R.E. Program Statement 14 90 Library Fund Statement 15 91 Community Development Statement 16 92 Statement of Revenues, Expenditures and Changes in Fund Balance: Police/Fire Contingency Fund Statement 17 93 COPS MORE 96 Statement 18 94 Juvenile Justice Grant Statement 19 95 Local Law Enforcement Block Grant Statement 20 96 COPS Grant Overtime Statement 21 97 COPS School Partnership Grant Statement 22 98 Recreation Contributed Projects Statement 23 99 Contributed Projects Statement 24 100 Special Projects Statement 25 101 Parking Ramp Statement 26 102 Confiscated Property Statement 27 103 Housing Mortgage Statement 28 104 MIF Medtronics Statement 29 105 C.H.A.S.E Statement 30 106 Housing and Redevelopment Authority (Component Unit): Statement of Revenues, Expenditures and Changes in Fund Balance -Budget and Actual Statement 31 107 Economic Development Authority (Component Unit): Combining Balance Sheet Statement 32 108 Combining Statement of Revenues, Expenditures and Changes in Fund Balance Statement 33 110 Statement of Revenues, Expenditures and Changes in Fund Balance -Budget and Actual Anoka County CDBG Statement 34 112 Parkview Villa North Statement 35 113 EDA Administration Statement 36 114 Parkview Villa South Statement 37 115 Rental Housing Statement 38 116 Statement of Revenues, Expenditures and Changes in Fund Balance: Section 8 Housing Statement 39 117 CITY OF COLUMBIA HEIGHTS, MINNESOTA TABLE OF CONTENTS Debt Service Funds: Combining Balance Sheet ' Combining Statement of Revenues, Expenditures and Changes in Fund Balance Capital Project Funds: Combining Balance Sheet Combining Statement of Revenues, Expenditures and Changes in Fund Balance Enterprise Funds: Combining Balance Sheet Combining Statement of Revenues, Expenses and Changes in Retained Earnings Combining Statement of Cash Flows Water Utility Fund: Balance Sheet Statement of Revenues, Expenses and Changes in Retained Earnings Statement of Cash Flows Sewer Utility Fund: Balance Sheet Statement of Revenues, Expenses and Changes in Retained Earnings ' Statement of Cash Flows Refuse Utility Fund: Balance Sheet Statement of Revenues, Expenses and Changes in Retained Earnings Statement of Cash Flows t Storm Sewer Utility Fund: Balance Sheet ' Statement of Revenues, Expenses and Changes in Retained Earnings Statement of Cash Flows Liquor Fund: Balance Sheet Statement of Revenues, Expenses and Changes in Retained Earnings Statement of Cash Flows ' Internal Service Funds: Combining Balance Sheet Combining Statement of Revenues, Expenses and Changes in Retained Earnings Combining Statement of Cash Flows Reference Page Number Statement 40 120 Statement 41 121 Statement 42 124 Statement 43 126 Statement 44 130 Statement 45 132 Statement 46 134 Statement 47 136 Statement 48 137 Statement 49 138 Statement 50 139 Statement 51 140 Statement 52 141 Statement 53 142 Statement 54 143 Statement 55 144 Statement 56 145 Statement 57 146 Statement 58 147 Statement 59 148 Statement 60 149 Statement 61 150 Statement 62 152 Statement 63 153 Statement 64 154 CITY OF COLUMBIA HEIGHTS, MINNESOTA TABLE OF CONTENTS Reference Page Number Central Garage Fund: Balance Sheet Statement 65 155 Statement of Revenues, Expenses and Changes in Retained Earnings Statement 66 156 Statement of Cash Flows Statement 67 157 Energy Management Fund: Balance Sheet Statement 68 158 Statement of Revenues, Expenses and Changes in Retained Earnings Statement 69 159 Statement of Cash Flows Statement 70 160 Data Processing Fund: Balance Sheet Statement 71 161 Statement of Revenues, Expenses and Changes in Retained Earnings Statement 72 162 Statement of Cash Flows Statement 73 163 Insurance Fund: Balance Sheet Statement 74 164 Statement of Revenues, Expenses and Changes in Retained Earnings Statement 75 165 Statement of Cash Flows Statement 76 166 Compensated Absences Fund: Balance Sheet Statement 77 167 Statement of Revenues, Expenses and Changes in Retained Earnings Statement 78 168 Statement of Cash Flows Statement 79 169 Trust and Agency Funds: Fiduciary Funds: Combining Balance Sheet Statement 80 172 Expendable Trust Fund: Statement of Revenues, Expenditures and Changes in Fund Balance Statement 81 173 Fiduciary Funds: Combining Statement of Changes in Assets and Liabilities -All Agency Funds Statement 82 174 General Fixed Assets Account Group: Comparative Schedule of General Fixed Assets - By Source Statement 83 176 Schedule of Changes in General Fixed Assets - By Function and Activity Statement 84 177 Schedule of General Fixed Assets - By Function and Activity Statement 85 178 General Long-Term Debt Account Group: Schedule of General Long-Term Debt Statement 86 180 Schedule of Debt Service Requirements to Maturity Statement 87 181 Supplementary Financial Information Combining Schedule of Bonds Payable Exhibit 1 184 CITY OF COLUMBIA HEIGHTS, MINNESOTA TABLE OF CONTENTS i t Reference Page Number III. STATISTICAL SECTION Assessed Value, Tax Capacity, and Estimated Actual Value of all Taxable Property Table 1 188 Tax Rates Table 2 189 City Tax Levy Table 3 190 Tax Levies and Tax Collections Table 4 191 ' Special Assessment Levies and Collections Table 5 192 General Governmental Revenues By Source Table 6 193 General Governmental Expenditures By Function Table 7 194 Principal City Officials Table 8 195 Miscellaneous Statistics Table 9 196 Principal Taxpayers Table 10 198 Computation of Legal Debt Margin Table 11 199 Computation of Direct and Overlapping Debt Table 12 200 Property Value and Construction Table 13 201 Ratio of Net General Obligation Bonded Debt to Assessed Value and Net General Obligation Bonded Debt Per Capita Table 14 202 Ratio of Annual Debt Service Expenditures For General Obligation Bonded Debt to Total General Governmental Expenditures Table 15 203 Schedule of Revenue Bond Coverage Table 16 204 CITY OF COLUMBIA HEIGHTS, MINNESOTA TABLE OF CONTENTS Reference Page Number IV. SINGLE AUDIT AND OTHER REQUIRED REPORTS SECTION Independent Auditor's Report on Compliance with Minnesota Legal Compliance Audit Guide for Local Governments 207 Independent Auditor's Report on Compliance and on Internal Control over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance with GovernmentAuditing Standards 213 Independent Auditor's Report on Compliance with Requirements Applicable to each Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133 217 Schedule of Findings and Questioned Costs 223 Schedule of Expenditures of Federal Awards 233 Independent Auditor's Report on Supplementary Information -Financial Data Schedule Financial Data Schedule 235 n 1 1 I. INTRODUCTORY SECTION i~ 1 1 c~ i t i 1 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA PRINCIPAL CITY OFFICIALS December 31, 2001 i CITY COUNCIL Gary L. Peterson, Mayor Marlaine Szurek Julienne Wyckoff Bruce Nawrocki Robert A. Williams CITY MANAGER Walter Fehst ;~ FINANCE DEPARTMENT William J. Elrite, Finance Director Roxane M. Smith, Assistant Finance Director Councilmember Councilmember Councilmember Councilmember 3 1 t 1 1 1 c~ 1 1 1 Cit of Columbia Hei hts Y g Organizational Chart Mayor: Gary L. Peterson n w ~ POLICE (Administered by Mayor) Police Chief: Thomas Johnson Secretary II Clerk-Typist II Police Captain Sergeants (3) Corporals (3) Patrol Officers (18) Community Service Officers (4) Support Services Supervisor Secretary II-A (2) <.~„ FIRE Fire Chief: Charles Thompson Secretary II (PT) FT Clerk Typist Assistant Fire Chief Firefighters (6) Volunteer Firefighters (24) Councilmembers: Bruce Nawrocki Marlaine Szurek Robert Williams Julienne Wyckoff City Manager: Walter Fehst ADMINISTRATION Assistant to the City Manager Special Projects Coordinator Administrative Secretary Accounting Clerk II-Assessing Clerk Typist II-Administration (PT) Deputy City Clerk/Council Secretary' RECREATION Recreation Director: Keith Windschitl Senior Citizen Coordinator Program Coordinator (2) Head Custodian Recreation Clerk/Typist II Recreation Clerk/Typist II (PT) Custodian II (5 PT) Custodian I (1 PT) Commissions & Boards: Charter EDA Police & Fire Civil Service Traffic Telecommunications Planning & Zoning Human Services Park & Recreation Library FINANCE Finance Director/City Clerk/Treasurer: William Elrite Secretary II (PT) Assistant Finance Director Accounting Coordinator Payroll/Accounting Clerk Utilities Accounting Clerk II Utilities Accounting Clerk I Accounting Clerk II (2 PT) Switchboard Operator/Receptionist Meter Reader (PT) Liquor Operations Manager Assistant Liquor Operations Manager (6) Retail Clerk Retail Clerk (20 PT) IS Director IS Technician LIBRARY Library Director: M. Rebecca Loader Adult Services Specialist Children's Librarian Clerk-Typist II (2) Library Supervisor (4 PT) Page (8 PT) Library Aide (PT) Library Clerk (PT) PUBLIC WORKS Public Works Director/City Engineer: Secretary II-A Assistant City Engineer Engineering Technician IV Engineering Technician III Engineering Technician II (2) Public Works Superintendent Foreman (3) Maintenance III (1) Maintenance II (6) Maintenance I (11) Foreman-Vehicle Maintenance Maintenance III -Mechanic Maintenance III - Bodyman/Painter Administrative Assistant-Public Works Kevin Hansen COMMUNITY DEVELOPMENT Acting Community Development Director Community Development Assistant Building Official Planner Community Development Secretary Secretary II-Permits/License Secretary II-Permits/License (PT) 5 Randy Schumacher 'Also serves in the capacity of Deputy City Clerk under the City Manager. [~ t 1 1 1 CIS ' t ~J 1 CITY OF COLUMBIA HEIGHTS 590 40th Avenue N.E., Columbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692 Visit Our Website ~t: www.ci.cohu~tbia-{ieiglt~s.nui.us April 18, 2002 To the Citizens of the City of Columbia Heights, Mayor, Councilmembers, and City Manager The Comprehensive Annual Financial Report of the City of Columbia Heights for the fiscal year ended December 31, 2001 is hereby submitted. The responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation, including all disclosures, rests with the City. To the best of our knowledge and belief, the enclosed data is accurate in all material respects and is reported in a manner designed to present fairly the financial position and results of operations of the various funds and account groups of the City. All disclosures necessary to enable the reader to gain an understanding of the City's financial activities have been included. The Comprehensive Annual Financial Report is presented in four sections: Introductory, Financial, Statistical, and Other Required Reports. The Introductory Section includes this transmittal letter, the City's organizational chart, a list of principal officials, and a reproduction of the Certificate of Achievement for the prior year. The Financial Section includes the general purpose financial statements, the combining and individual fund and account group statements and schedules, as well as the auditor's report on the financial statements and schedules. The Statistical Section includes selected financial and demographic information, generally presented on a multi-year basis. The City is required to undergo an annual single audit in conformity with the provisions of the Single Audit Act of 1984 and the United States Office of Management and Budget Circular A-133 and a Mimlesota Legal Compliance Audit. Infornlation related to this single audit and compliance audit, including the Schedule of Expenditures of Federal Awards, is included in the Single Audit and Other Required Reports Section. This report includes all funds and account groups of the City. The City provides a full range of services to its citizens. These services include, but are not limited to, police and fire protection; sanitation services; the construction and maintenance of highways, streets, and infrastructure; library; recreational facilities; cultural events; and general administrative services. The Housing and Redevelopment Authority (HRA) and the Economic Development Authority (EDA) are included in the reporting entity as component units of the City of Columbia Heights due to the fact that the governing boards are substantively the same and the City is in a relationship of financial benefit or burden with the authorities. THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE~B7ASIS OF DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES EOUAL OPPORTUNITY EMPLOYER t 1 1 c~ t 1 ECONOMIC CONDITION AND OUTLOOK The City of Columbia Heights, which is a suburb located north of the City of Minneapolis in Anoka County in east-central Minnesota, was originally incorporated as a village in 1898. In 1921, pursuant to the adoption of a home rule City Charter by the qualified voters of the City, a council-manager form of government, was instituted. The City covers an area of 3.52 square miles and has a population of 18,520. As an older, fully developed suburb of the City of Minneapolis, the management and the residents of the City of Columbia Heights are faced with the problems of an aging infrastructure and with increased crime statistics. The City Council and City Management are taking a proactive approach in dealing with these concerns. The City Council has approved several projects related to the redevelopment of the downtown area of Columbia Heights. The projects include the Central Avenue Street, Utility and Streetscape Improvement Project, the Transit Hub, the Master Redevelopment Plan with the "Town Square Concept", and the Transition Block Redevelopment Project consisting of 22 townhomes and 50 units of senior living facilities. These projects will greatly improve the downtown area of Columbia Heights. In May 1997, the City Council established a Scatter Site Redevelopment District. This redevelopment plan identifies substandard housing throughout the City and the properties are purchased as they are placed on the market. The Street Rehabilitation Program is continuing by the completion of the Zone 5 improvements during 2001, these improvements also include water mains and storm sewer improvements. The second phase of Storm Water Management Improvements continued during 2001. The Police Department continued to apply for, and receive, federal and state grants to assist in _ their community policing efforts. The completion of Medtronic Corporation's expansion has resulted in continuing additional job opportunities in the City. Overall, employment in the City has remained stable. The City is actively promoting the expansion and creation of new businesses in the City by providing loans to qualified businesses through the HRA Business Revolving Loan Fund. i MAJOR IMTIATIVES For the Year The Public Works Department had several major initiatives during 2001. The benefits of the certification of the City's Municipal State Aid system continued in 2001. This allows for the City to utilize a portion of the annual allotment, up to $200,000, for the Street Rehabilitation Program. Zone 5 of the Street Rehabilitation Program, including major water main improvement and storm sewer improvements along 43rd Avenue, was completed. The second phase of the Storm Water Management Improvements continued with the acquisition of two residential properties in flood prone areas. The planning, final design phase and right-of--way acquisition of the Central Avenue Street, Utility and Streetscape Improvement Project was completed during 2001. The Utility Department undertook a major cleaning and televising program to analyze problem areas within the sanitary sewer system in preparation for Zone 5 and Zone 6 street work. The Police Department's Community Policing Program continued to be an important part of our mission during 2001 through neighborhood picnics, rental property owners meetings, the McGruff House program, graffiti cleanup program and sector community policing. Dunng 2001, the Police Department staffing levels increased to a point where an officer was placed in the community policing position. This allows the officer to deal one-on-one with major crime and other ongoing issues m our community. The Police Department's relationships with key components of the community continue to expand. Their continued work with the local school district, local business community, the pastors of our community along with their support and involvement with Values First, and their continued use of programs such as DARE and Project Safety Net have assisted in this venture. The federal School Based Partnership grant allowed the Police Department to track assaults in the high school and provide proactive ways to resolve and prevent assaults in the future. During 2001, the Community Development Department completed the updating of the Comprehensive Plan, rewriting of the Zone Ordinance, and the Master Redevelopment Plan . In addition, one of the larger projects to be completed was that of the 22 affordable townhomes in the City's Transition Block Redevelopment. The City received $575,000 in Metropolitan Livable Communities Funds to assist in its construction as well as 50 units of Senior Living Facilities. A Commercial Revitalization Grant was awarded to the City by Anoka County. Funding was approved in the amount of $175,000, which will be used to promote new commercial development within the City. 10 , 1 For the Future The Public Works Department will continue with the Central Avenue Street, Utility and Streetscape Improvement Project in 2002. This project will provide a 4.7 million dollar investment along Central Avenue from 37~' to 43`d, including the core downtown area. In addition, Zone 6 Street Rehabilitation is scheduled to start in 2002. This project will include water main and storm sewer improvements as well as the street rehabilitation. Comprehensive Plan Update The City of Columbia Heights approved its Comprehensive Plan in June 2000 and the Metropolitan Council officially endorsed the plan in June 2001. The Comprehensive Plan is a document that lays out goals and policies used by City Officials to guide decision-making. It covers many aspects of city government, including; land use, housing, public facilities, ~' transportation, parks, sidewalks and trails, population and employment, and community image. In addition, the City Council approved the new Zoning and Development Ordinance in May 2001. This Ordinance established consistent standards and design criteria for development and redevelopment. The Zoning Ordinance establishes appropriate uses and Zoning Districts to maintain, enhance, and create healthy residential, commercial and industrial areas. The Master Redevelopment Plan approved last year for the downtown of Columbia Heights established a "Town Square Concept". The intent of the town square concept is to create a new mixed-use district on 40~' Avenue west of Central Avenue. This, along with the Central Avenue Street, Utility and Streetscape Improvement Project, will continue to improve the downtown area of Columbia Heights. These plans combine new centralized civic uses, new public open space, commercial development, and a new downtown multi-family residential development into a revitalized center. These projects will continue throughout 2002. Financial Information Management of the City of Columbia Heights is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the City are protected from loss, theft or misuse and to ensure that adequate accounting data is compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles. The internal control structure is designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: 1) the cost of a control should not exceed the benefits likely to be derived; and 2) the valuation of costs and benefits requires estimates and judgments by management. In addition, the government maintains extensive budgetary controls. The objective of these controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Council. Activities of the general fund and certain special revenue funds are included in the amiual appropriated budget. The level of budgetary control and the level at which expenditures cannot legally exceed the appropriated amount is at the fund level. As demonstrated by the statements and schedules included in the financial section of this report, the City continues to meet its responsibility for sound financial management. 11 General Government Functions Revenues for City government functions (General, Special Revenue, Debt Service and Capital Project Funds) during 2001 totaled $16,133,217, which is an increase of 7% from 2000. Property taxes received for the City produced 30% of general revenues in 2001 compared to 32% in 2000. The amount of revenues from various sources and their changes from last year are shown below: evenue Source 2001 Amount of 'T'otal Amount of Increase (Decrease) from 2000 Taxes $ 4,878,197 30% $ 68,239 Special Assessments 628,222 4% 180,023 Licenses and permits 292,744 2% 24,730 Intergovernmental 6,597,650 41 % 502,844 Charges for Services 1,191,165 7% 88,916 Fines and forfeitures 87,760 1% (2,458) Investment Income 987,643 6% (203,531) Other revenue 1,469,836 9% 281,847 Total Revenues $ 16,133,217 100% $ 940,610 The increase in taxes is due primarily to increased current ad valorem. The increase in special assessments is due to the Zone 4 & Zone 5 Street Improvement levy and the payment of those assessments. The increase in intergovernmental revenue is due to an increase in grants or aid received from; Anoka County Community Development Block Grant, Housing and Urban Development Operating Subsidy, Municipal State Aid Construction, and Metropolitan Living Communities Grant. The increase in charges for services is due to an increase in adminstrative fees from the Multifamily and Healthcare Facilities Revenue Bonds. The decrease in investment income is due to the decrease in the fair value of the City's investments at 12/31/01. This decrease relates primarily to the government securities for which the principal remains intact. It is the City's policy to hold government securities until maturity. Therefore, unless the City liquidates the investments prior to maturity, it is expected that the recovery of fair value will increase in future periods until held investments fully mature. 12 1 a 1 t t [J G i ~J The expenditures for City general government functions (General, Special Revenue, Debt Service, and Capital Project Funds) during 2001 total $14,148,923 which is an increase of 1% from 2000. The total expenditures for major City functions and their changes from last year are shown below: Expenditures General Government Public Safety Public Works Sanitation Parks and Recreation Library Other & Contingencies Capital Outlay Debt Service Amount of Increase 2001 (Decrease) Amount % of Total from 2000 $ 1,485,904 11% $ (44,519) 3,140,180 22% 189,538 918,211 6% (1,517) 95,092 1 % (22,714) 1,311,661 9% 20,148 545,011 4% 24,853 1,929,582 14% (229,994) 3,542,089 25% 227,273 1.181.193 8% (52,530) Total Expenditures $ 14,148,923 100% $ 110,538 The increase in public safety is due to an increase in police and fire expenditures primarily due to the council approved salary increases for 2001. The decrease in other & contingencies is primarily due to the decrease in project expenditures for projects in the Municipal State Aid Construction Fund. The increase in capital outlay is primarily due to expenditures in the Capital Projects Funds for projects in 2001, the largest project being Zone 5, the Street Rehabilitation Project. The decrease in debt service expenditures is due to decreases in interest paid on the 1991A Tax Increment Bonds due to decreasing outstanding debt. General Fund Balance The fund balance of the General Fund decreased by $904,042 or 19%. The total fund balance of $3,897,376 indicates a strong financial position. It should be pointed out, however, that this represents working capital for general operations, which is used extensively during the first seven months of the year until cun-ent taxes and state aids are received. t 13 Enterprise Operations The City's enterprise operations are comprised of water, sewer, refuse utilities and municipal liquor operations. Total sales from the City's off-sale liquor locations amounted to $6,796,384 in 2001. This resulted in a total net operating income of $459,577. During the year, the City Council designated fiends from the water, sewer, storm sewer and liquor funds for capital improvements. Enterprise Information Sewer and storm sewer utilities experienced operating income during 2001. The water and refuse utility experienced an operating loss during the year. The water utility fund experienced an operating loss of $130,144 for 2001. The sewer utility fund experienced an operating income of $139,810 for 2001. The refuse utility fund experienced an operating loss of $34,491 for 2001. The storm sewer utility fund experienced an operating income of $85,526 for 2001. Internal Service Funds The City maintains five Internal Service Funds -the Central Garage Fund, the Energy Management Fund, the Data Processing Fund, the Insurance Fund and the Compensated Absences Fund. The Central Garage Fund is aself-sustaining fund providing service to other departments within the City and for which user fees are paid by the using department. The Energy Management Fund was established to account for energy maintenance and improvements to City buildings under aseven-year energy savings contract with Honeywell, Inc. The Data Processing Fund was established to account for management information system costs throughout the City. The Insurance Fund was established at a time when the City did not carry commercial liability insurance to pay for any claims arising during that time period. The fund is currently maintained to account for certain costs of the City's risk management services and to build a reserve for catastrophe losses. The Compensated Absences Fund was established to account for terminal leave benefits for governmental funds. This fund was established in 1996 and the related liability was removed from the general long-term debt group to this fiord for accounting purposes. 14 Trust and Agency Funds .The Trust Fund is used to account for assets held by the City in a trustee capacity. The City has an expendable trust fund for flex benefits. Agency Funds are used to account for assets held by the City in an agency capacity for individuals, private organizations, other governments, or other funds. The City has Agency Funds for permit surcharge and escrow. Cash Management ~ Cash temporarily idle during the year was invested in demand deposits, certificates of deposit, obligations of the U.S. Treasury, repurchase agreements, and commercial paper. The average yield on investments for the year was 6.73%, which includes both interest revenue of 6.26% and the change in fair market value of those investments of .47%. The City's investment policy is to minimize credit and market risks while maintaining a competitive yield on its portfolio. Accordingly, deposits were either insured by federal depository insurance or collateralized. Debt Administration At December 31, 2001, the City had four debt issues outstanding. These issues included $2,619,721 of General Obligation Tax Increment Bonds, $810,000 of General Obligation ~, Improvement Bonds and $1,825,000 of General Obligation Utility Revenue Bonds. Risk Mana ement ,~ The City maintains commercial insurance coverage for liability, property, liquor liability, and workers' compensation. As previously stated, the City maintains an Internal Service Fund for insurance. The Insurance Fund maintains a reserved balance to provide funds for catastrophe losses. This fund charges individual departments for allocation of premiums and for claims incurred. There were no significant claims pending at year-end for the City. ~• OTHER INFORMATION Independent Audit State Statutes require an annual audit by independent certified public accountants. The ,~ accounting firm of HLB Tautges Redpath, Ltd. was selected by the City. In addition to meeting the requirements set forth in State Statutes, the audit was also designed to meet the requirements of the Federal Single Audit Act of 1984 and related OMB Circular A-133. The auditor's report on the general purpose financial statements and combining and individual fund and account group statements and schedules is included in the Financial Section of this report. 15 1 Awards The Government Finance Officers' Association (GFOA) of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Columbia Heights, Minnesota for its Comprehensive Annual Financial Report for the year ended December 31, 2000. The Certificate of Achievement is a prestigious national award that recognizes conformance with the highest standards for preparation of state and local government financial reports. In order to be awarded a Certificate of Achievement, a government unit must publish an easily readable and efficiently organized Comprehensive Annual Financial Report whose contents conform to program standards. The CAFR must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe our current report continues to conform to the Certificate of Achievement program requirements, and we are submitting it to the GFOA. Acknowledgments The preparation of the Comprehensive Annual Financial Report on a timely basis was made possible by the dedicated service of the entire staff of the Finance Department. Each member of the department has our sincere appreciation for the contributions made in the preparation of this report. In closing, without the leadership and support of the City Manager and City Council, preparation of this report would not have been possible. Sincerely, William J. Elrite Finance Director Roxane M. Smith Assistant Finance Director 16 1 t J 1 Certificate of 1 Achievement for Excellence in Financial Keporting Presented to City of Columbia I-heights, Minnesota For its Comprehensive Annual Financial F~eport for the Fiscal Year Ended December 31, 2000 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to '~ government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest ,~ standards in government accounting and financial reporting. 17 a 1 t CIS t 1g i II. FINANCIAL SEC'T'ION 1 19 1 r 0 ca 1 1 1 1 u 20 , ~ Tautges Redpath, Ltd. Certified Public Accountants and Consultants INDEPENDENT AUDITOR'S REPORT To the Honorable Mayor and Members of the City Council City of Columbia Heights, Minnesota ,~ We have audited the accompanying general purpose financial statements of the City of Columbia Heights, Minnesota, as of and for the year ended December 31, 2001 as listed in the table of contents. These general purpose financial statements are the responsibility of the City of Columbia Heights, Minnesota's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general purpose financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the general purpose financial statements referred to above present fairly, in all material respects, the financial position of the City of Columbia Heights, Minnesota, as of December 31, 2001, and the results of its operations and the cash flows of its proprietary fund types for the year then ended in conformity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issued a report dated March 14, 2002 on our consideration of the City of Columbia Heights, Minnesota's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grants. That report is an integral part of an audit performed in accordance with GovernmentAuditing Standards and should be read in conjunction with this report in considering the results of our audit. Our audit was performed for the purpose of forming an opinion on the general purpose financial statements of the City of Columbia Heights, Minnesota taken as a whole. The 4810 White Bear Parkway, White Bear Lake, Minnesota 55110, USA Telephone: 651 426 7000 Fax: 651 426 5004 HLB Tautges Redpath, Ltd. is a member of ~ International. A world-wide organization o4~~ounting firms and business advisers. 22 accompanying schedule of expenditures of federal awards as required by U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non- Profit Organizations, along with the combining, individual fund, account group financial statements, supporting schedules and statistical information listed in the table of contents are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the City of Columbia Heights, Minnesota. Such information, except for that portion marked "unaudited," on which we express no opinion, has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly stated in all material respects, in relation to the general purpose financial statements taken as a whole. March 14, 2002 HLB TAUTGES REDPATH, LTD. Certified Public Accountants 23 a 1 f 1 c~ f 1 1 1.1 24 GENERAL PURPOSE FINANCIAL STATEMENTS These general purpose financial statements are part of the Comprehensive Annual Financial Report, presenting only aggregate data by fund type and account group, together with notes to the financial statements, and constitutes "fair presentation in conformity with generally ' accepted accounting principles." It is felt that these general purpose financial statements will be a benefit to users requiring ' less detailed information about our City's finances. f 25 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS December 31, 2001 With Comparative Totals For December 31, 2000 Assets Cash and investments Receivables: Accounts Special assessments Taxes Interest Loans Due from other governmental units Due from other funds Prepayments Inventory, at cost Real estate held for resale Fixed assets, net of accumulated depreciation Other debits: Amount available in debt service funds Amount to be provided for retirement of general long-term debt Total assets Govennnental Fund Types Special Debt Capital General Revenue Service Project $3,767,398 $3,154,645 $2,612,186 $8,357,242 6,324 114,562 - - - - - 821,162 126,290 5,370 20,198 - 57,414 46,696 26,326 76,536 - 22,104 - - 63,386 416,468 - - 161,536 854,379 57,706 411,928 7,003 3,092 - - - 290,652 - - $4,189,351 $4,907,968 $2,716,416 $9,666,868 The accompanying notes are an integral part of these financial statements. 1 Statement 1 Page 1 of 2 ' Proprietary Fiduciary Fund T ypes Fund Type Account Groups Totals Internal Tnist and General General Long- (Memorandum Only) Enterprise Service Agency Fixed Assets Term Debt 2001 2000 ' $5,182,517 $1,682,345 $46,380 $ - $ - $24,802,713 $22,869,895 877,606 2,631 - - - 1,001,123 982,010 821,162 724,838 - _ - - = 151,858 194,559 78,294 22,508 372 - - 308,146 235,330 _ _ _ _ _ 22,104 75,373 ' 248,335 - - - = 728,189 1,094,594 1,210,898 - - - 2,696,447 2,998,051 - 84,276 - - - 94,371 175,081 907,023 56,110 = 963,133 711,125 = = 290,652 321,561 7,070,644 269,680 - 23,350,810 - 30,691,134 29,201,859 _ _ _ - 1,710,716 1,710,716 1,546,331 _ _ _ - 4,455,093 4,455,093 5,186,888 $15,575,317 $2,117,550 $46,752 $23,350,810 $6,165,809 $68,736,841 $66,317,495 The accompanying notes are an integral part of these financial statements. 27 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS December 31, 2001 With Comparative Totals For December 31, 2000 Liabilities, Equity and Other Credits Liabilities: Accounts payable Claims payable Accrued salaries and withholdings payable Contracts payable -retained percentage Due to other governmental units Due to other funds Deferred revenue Accrued interest payable Accreted interest payable Deposits Insurance and taxes in escrow Bonds payable Compensated absences payable Other liabilities Total liabilities Equity and other credits: Contributed capital Investment in general fixed assets Retained earnings: Reserved: Reserved for insurance Reserved for capital improvements Unreserved Fund balance (deficit): Reserved: Reserved for prepayments Reserved for real estate held for resale Reserved for program expendihires Unreserved: Designated for subsequent years' expenditures Designated for working capital Designated for maintenance Designated for debt service Designated for capital improvements Designated for interest rate subsidy Undesignated Total equity and other credits Total liabilities, equity and other credits Governmental Fund Types Special Debt Capital ' General Revenue Service Project $67 167 $105 714 $82 835 $48,974 57,087 7,077 - 2,389 , - 10,145 - 28,869 90,244 118,285 - - - 183,857 912,084 1,079,328 77,177 320,307 10,781 818,443 ' -300 20,652 = _ ' - - - - 1 291,975 766,037 1,005,700 1,978,003 7,003 3,092 - - - 290,652 - - - 657,377 - - - 478,758 - - 3,700,506 235,447 - - - 71,191 - - - - 1,768,375 - 140,052 - - 3,650,603 49,815 2,405,414 (57,659) 4,038,262 3,897,376 4,141,931 1,710,716 7,688,865 $4,189,351 $4,907,968 $2,716,416 $9,666,868 The accompanying notes are an integral part of these financial statements. 28 Statement 1 Page 2 of 2 Proprietary Fiduciary Fund Types __ Fund Type Account Groups Internal Trust and General General Long- Enterprise Service Agency Fixed Assets Teim Debt ' $234,524 $22,355 $10,760 $ - $ - ' 68,109 30,896 = _ - 223,506 - 1,313 - - 521,178 = - = = 30,130 - - - - - - - - 2,736,088 ' 3,744 = 4,350 = _ 1,825,000 - - - 3,429,721 509,943 - - = 3,835 _ 2,906,191 563,194 20,258 0 6,165,809 985,214 188,849 - - - - - - 23,350,810 - - 512,682 - - - 2,662,829 45,448 - - - 9,021,083 807,377 - - - Totals (Memorandum Only) 2001 2000 $572,329 165,558 39,014 433,348 2,696,447 1,226,708 30,130 2,736,088 29,046 5,254,721 509,943 3,835 13.697.167 $770,500 61,495 169,851 191,760 312,593 2,998,051 1,142,364 31,763 2,393,498 72,786 149 6,274,721 474,059 3,411 14,897,001 1,174, 063 23,350,810 512,682 2,708,277 9,828,460 10,095 290,652 657,377 - - - - - 478,758 3,935,953 - - - - - 71,191 _ _ _ = 1,768,375 3,790,655 - - 26,494 - - 6,462;326 12,669,126 1,554,356 26,494 23,350,810 0 55,039,674 $15,575,317 $2,117,550 $46,752 $23,350,810 $6,165,809 $68,736,841 1,239,292 22,201,901 789,591 3,906,928 7,922,872 67,476 321,561 604,483 944,385 3,833,012 707,438 1,615,696 1,200,379 25,000 6,040,480 51,420,494 $66,317,495 The accompanying notes are an integral part of these financial statements. ' 29 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUNDS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Revenues: Taxes Special assessments Licenses and pemuts Intergovernmental Charges for services Fines and forfeitures Investment income: Interest and dividends Change in fair value Other revenues Total revenues Expenditures: Current: General government Public safety Public works Sanitation Parks and recreation Library Other Contuigencies Capital outlay Debt service Total expenditures Revenues over (under) expenditures Governmental Fund Types Special General Revenue $2,954,511 $760,774 292,744 - 3,660,019 2,555,864 390,492 800,673 87,760 - 254,660 207,836 19,113 15,544 21,372 156,382 7,680,671 4,497,073 1,485,904 - 3,140,180 - 918,211 - 95,092 - 1,184,210 127,451 - 545,011 - 1,925,660 3,922 - 247,025 579,974 7,074,544 3,178,096 606,127 1,318,977 Other financing sources (uses): Operating transfers in Operating transfers (out) Total other financing sources (uses) Net increase (decrease) in fund balance Fund balance -January 1 Fund balance -December 31 429,968 354,534 (1,940,137) (1,745,910) (1,510,169) (1,391,376) (904,042) (72,399) 4,801,418 4,214,330 $3,897,376 $4,141,931 The accompanying notes are an integral part of these financial statements. 30 Statement 2 Fiduciary Governmental Fund Types Fund Type Debt Capital Expendable Totals (Memorandum Only) Service Project Tnist 2001 2000 $1,162,912 $ - $ - $4,878,197 $4,809,958 = 628,222 - 628,222 292,744 448,199 268,014 - 381,767 - 6,597,650 6,094,806 _ - 49,143 1,240,308 1,135,145 ' _ _ - 87,760 90,218 116,771 339,475 1,651 920,393 840,512 ' 8,764 25,480 124 69,025 352,949 1,292,082 1,469,836 1,187,989 1,288,447 2,667,026 50,918 16,184,135 15,227,790 - 1,485,904 1,530,423 = _ 3,140,180 2,950,642 _ _ - 918,211 919,728 _ _ _ 95,092 117,806 _ - 1,311,661 1,291,513 = 545,011 520,158 - - 48,400 1,974,060 2,193,014 - 3,922 - ' _ 2,715,090 = 3,542,089 3,314,816 1,181,193 - - 1,181,193 1,233,723 1,181,193 2,715,090 48,400 14,197,323 14,071,823 ' 107,254 (48,064) 2,518 1,986,812 1,155,967 1,001,359 3,154,699 - 4,940,560 2,923,188 (944,228) (191,625) - (4,821,900) (2,702,977) 57,131 2,963,074 0 118,660 220,211 164,385 2,915,010 2,518 2,105,472 1,376,178 1,546,331 4,773,855 23,976 15,359,910 13,983,732 ~ $1,710,716 $7,688,865 $26,494 $17,465,382 $15,359,910 The accompanying notes are an integral part of these ~nanncial statements 31 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL GENERAL AND SPECIAL REVENUE FUND TYPES For The Year Ended December 31, 2001 General Over (Under) Budget Actual Budget Revenues: Taxes $2,958,490 $2,954,511 ($3,979) Licenses and permits 274,500 292,744 18,244 Intergovernmental 3,636,386 3,660,019 23,633 Charges for services 389,900 390,492 592 Fines and forfeits 110,000 87,760 (22,240) Investment income: Interest and dividends 200,000 254,660 54,660 Change in fair value - 19,113 19,113 Other revenues 11,990 21,372 9,382 Total revenues 7,581,266 7,680,671 99,405 Expenditures: Current: General government 1,638,647 1,485,904 (152,743) Prrblic safety 3,283,585 3,140,180 (143,405) Public works 1,171,843 918,211 (253,632) Sanitation 140,006 95,092 (44,914) Parks and recreation 1,335,619 1,184,210 (151,409) Library - - - Other - - - Contingencies - 3,922 3,922 Total current expenditures 7,569,700 6,827,519 (742,181) Capital outlay 65,630 247,025 181,395 Total expenditures 7,635,330 7,074,544 (560,786) Revenues over (under) expendihires (54,064) 606,127 660,191 Other financing sources (uses) Operating ri-ansfers in 429,968 429,968 - Operating transfers (out) (1,932,757) (1,940,137) (7,380) Total other financing sources (uses) (1,502,789) (1,510,169) (7,380) Net increase (decrease) in fiord balance ($1,556,853) (904,042) $652,811 Fund balance -January 1 4,801,418 Fund balance -December 31 $3,897,376 The accompanying notes are an integral part of these financial statements. 32 C' Statement 3 ' Totals (Memorandum Only) Special Revenue 2001 Over (Under) Budget Actual Budget Budget $761,814 $760,774 ($1,040) $3,720,304 _ _ _ 274,500 376,011 2,222,693 1,846,682 4,012,397 621,328 658,548 37,220 1,011,228 _ _ _ 110,040 60,100 122,272 - 6,650 9,175 90,865 1,825,903 3,864,327 - - ' 569,107 545,011 1,312,839 1,713,050 ' 1,881,946 2,258,061 1,599,910 507,055 3,481,856 2,765,116 1 953 655 211 1 099 , ) ( , , , ' 281,112 347,154 (970,267) (976,782) (689,155) (629,628) ($2,345,108) 469,583 1 1,656,109 $2,125,692 62,172 260,100 9,175 - 84,215 18,640 2,038,424 9,407,169 (24,096) 400,211 376,115 (1,092,855) (716,740) 2,755.164 1,638,647 3,283,585 1,171,843 140,006 1,335,619 569,107 1,312,839 9,451,646 1,665,540 11,117,186 (1,710,017) 66,042 711,080 (6,515) (2,903,024) 59,527 (2,191,944) $2,814,691 ($3,901,961) Actual $3,715,285 292,744 5,882,712 1,049,040 87,760 376,932 28,288 112,237 11,544,998 1,485,904 3,140,180 918,211 95,092 1,184,210 545,011 1,713,050 3,922 9,085,580 754,080 9,839,660 Over (Under) Budget ($5,019) 18,244 1,870,315 37,812 (22,240) 116,832 28,288 93,597__ 2,137,829 (152,743) (143,405) (253,632) (44,914) (151,409) (24,096) 400,211 3,922 (366,066) (911,460) (1,277,526) 1,705,338 3,415,355 777,122 (2,916,919) (2,139,797) (434,459) 66,042 (13,895) 52,147 $3,467,502 6.457.527 $6,023,068 The accompanying notes are an integral part of these financial statements. 33 CITY OF COLUMBIA HEIGHTS, MINNESOTA " COMBINED STATEMENT OF REVENUES, EXPENSES AND Statement 4 CHANGES IN RETAINED EARNINGS PROPRIETARY FUND TYPES For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Operating revenues: Charges for services Charges for sales Total operating revenues Operating expenses: Costs of sales, services, and goods sold Operating expense Depreciation Total operating expenses Net income (loss) from operations Nonoperating revenues (expenses): Investment income: Interest and dividends Change in fair value Intergovernmental Miscellaneous revenues Interest expense Interest and fiscal charges Miscellaneous expenses Total nonoperating revenues (expenses) Net income (Ions} before operating h•ansfers Operating transfers: Operating transfers in Operating transfers (out) Total operating transfers Net income (loss) Credit for depreciation on contributed assets Net increase (decrease) in retained earnings Retained earnings -January 1 Retained earnings -December 31 Internal Totals Enterprise Service (Memorandum Only) Funds Funds 2001 2000 $2,682,370 $694,126 $3,376,496 $3,311,685 8,187,836 66,508 8,254,344 7,843,622 10,870,206 760,634 11,630,840 11,155,307 8,958,226 896,531 9,854,757 9,193,836 1,048,677 334,192 1,382,869 1,012,436 343,025 65,003 408,028 301,102 10,349,928 1,295,726 11,645,654 10,507,374 520,278 (535,092) (14,814) 647,933 349,731 99,835 449,566 472,809 26,063 7,493 33,556 185,445 58,290 - 58,290 144,713 47,929 3,177 51,106 52,430 - - - (1,042) (73,126) - (73,126) (71,608) (21,119) - (21,119) (36,622) 387,768 110,505 498,273 746,125 908,046 (424,587) 483,459 1,394,058 2,634,606 319,000 2,953,606 1,446,395 (2,978,266) (94,000) (3,072,266) (1,666,606) (343,660) 225,000 (118,660) (220,211) 564,386 (199,587) 364,799 1,173,847 65,229 - 65,229 65,229 629,615 (199,587) 430,028 1,239,076 i 11,054,297 1,565,094 12,619,391 11,380,315 $11,683,912 $1,365,507 $13,049,419 $12,619,391 The accompanying notes are an integral part of these financial statements. ' 34 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMBINED STATEMENT OF CASH FLOWS PROPRIETARY FUND TYPES For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Statement 5 Internal Totals Enterprise Service (Memorandum Only) Funds Funds 2001 2000 Cash flows from operating activities: I Cash received from customers $10,548,722 $797,543 $11,346,265 $11,433,746 Cash paid to supp]iers for goods and services (5,835,134) (1,037,710) (9,872,844) (9,162,844) Cash payments to employees for services (1,107,752) (274,883) (1,382,635) (1,244,846) Miscellaneous revenues 106,219 5,798 112,017 194,522 Miscellaneous expenses (21,119) (21,119) (36,622) Net cash flows from operating activities 690,936 (509,252) 181,684 1,183,956 1 Cash flows from noncapital financing activities: Operating transfers in Operating transfers (out) Net cash flows from noncapital financing activities Cash tows from capital and related financing activities: Acquisition of fixed assets Disposition of fixed assets Principal payments -bonds Urteres[ expense Interest and fiscal charges Net cash flows from capital and related financing activities Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 Reconciliation of operating income (loss) [o net cash flows from operating activities: Operating income (loss) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Miscellaneous revenues Miscellaneous expenses Depreciation expense Changes in assets and liabilities: (Increase) decrease accounts receivable (Increase) decrease due from otlrer governmental units (Increase) decrease due from other funds (Increase) decrease prepayments (Increase) decrease inventory, at cost Increase (decrease) accounts payable Increase (decrease)in claims payable Increase (decrease) accrued salaries and withholdings payable Increase (decrease) in contracts payable -retained percentage Increase (decrease) due to other governmental units Increase (decrease) due to other fiords Increase (decrease) capitalleasepayable Increase (decrease) accrued interest payable Total adjustments Net cash flows from operating activities 2,634,606 319,000 2,953,606 1,446,395 (2,978,266) (94,000) (3,072,266) (1,666,606) (343,660) 225,000 (118,660) (220,211) (916,276) (36,236) (952,512) (791,612) 204,117 - 204,117 - (110,000) - (110,000) - (1,042) (74,759) - (74,759) (95,641) (896,918) (36,236) (933,154) (888,295) 331,841 97,978 429,819 474,142 26,063 7,493 33,556 185,445 357,904 105,471 463,375 659,587 (191,738) (215,017) (406,755) 735,037 5,374,255 1,897,362 7,271,617 6,536,580 $5,182,517 $1,682,345 $6,864,862 $7,271,617 $520,278 ($535,092) ($14,8]4) $647,933 106,219 3,177 109,396 197,143 (21,119) - (21,119) (36,622) 343,025 65,003 408,028 301,102 30,491 3,646 34,137 (58,855) (985) - (985) 61,919 (350,990) - (350,990) 272,754 15,865 7,464 23,329 (49,366) (243,872) (8,136) (252,008) 9,785 (81,408) (25,328) (106,736) (98,938) - (61,495) (61,495) (138,505) (26,603) 41,509 14,906 22,758 (131,341) - (131,341) 13,923 1 11,322 - ] 11,322 (2,996) 420,054 - 420,054 101,124 - - - (58,907) - - - (296) 170,658 25,840 196,498 536,023 $690,936 ($509,252) $181,684 $1,183,956 The accompanying notes are an integral part of these financial statements. 35 i 1 CIS ' 1 36 l 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 ' Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES I The City of Columbia Heights was incorporated in 1898. The City is governed by a Council composed of an elected mayor and four councilmembers. The Council exercises legislative authority and determines all matters of policy. The Manager, who is appointed by the Council, is responsible for the proper ' administration of all affairs relating to the City. The financial reporting policies of the City conform to generally accepted accounting principles. The following is a summary of the significant policies. A. FINANCIAL REPORTING ENTITY The component units discussed below are included in the City's reporting entity because of the significance of their operational or financial relationships with the City. ' The City of Columbia Heights has two component units -the Housing and Redevelopment Authority (HRA) and the Economic Development Authority (EDA). The HRA and the EDA are considered component units because the governing boards are substantively the same as that of the City and because the City is in a relationship of financial benefit or burden with each of the entities. The financial position and results of operations of the HRA and the EDA component units are presented using the blended method. Blended component units, although legally separate entities, are, in substance, part of the City's operations and as such are reported as Special Revenue Funds and Capital Project Funds. The component units include Governmental Funds using the modified accrual basis of accounting. Separate financial statements for the HRA and EDA are not prepared. ' B. BASIS OF PRESENTATION -FUND ACCOUNTING The accounts of the City of Columbia Heights are organized on the basis of funds and account ' groups, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures. ' Government resources are allocated to and accounted for in individual funds based upon the purpose for which they are to be spent and the means by which spending activities are controlled. The various funds and account groups are grouped in this report into seven generic fund types, three broad fund categories, and two account groups. A description of the fund types and account groups used by the City follows. ' 37 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' NOTES TO FINANCIAL STATEMENTS December 31, 2001 , GOVERNMENTAL FUND TYPES General Fund -The General Fund is the general operating fund of the City. It is used to account ' for all financial resources except those required to be accounted for in another fund. Special Revenue Funds -Special Revenue Funds are used to account for the proceeds of specific , revenue sources (other than expendable trusts or major capital projects) that are legally restricted to expenditures for specified purposes. Debt Service Funds -Debt Service Funds are used to account for the accumulation of resources ' for, and the payment of all general long-term debt principal, interest, and related costs. Capital Project Funds -Capital Project Funds are used to account for financial resources to be used ' for the acquisition or construction of major facilities, other than those financed by Proprietary Funds. PROPRIETARY FUND TYPES ' Enterprise Funds -Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business enterprises -where the intent of the governing body is that the costs of providing goods or services to the genera] public on a continuing basis be financed or recovered primarily through user charges. Internal Service Funds -Internal Service Funds are used to account for the costs of providing ' goods or services to other departments or agencies of the City. Charges to other City departments are made to support these activities. FIDUCIARY FUNDS Agency Funds -Agency Funds are used to account for assets held by the City as an agent for t individuals, private organizations, other governmental units, or other funds. Agency Funds are custodial in nature (assets equal liabilities) and do not involve measurement of results of operations. Trust Funds -Trust Funds are used to account for assets held by the City in a trustee capacity. , ACCOUNT GROUPS , General Fixed Assets Account Group -This account group is used to account for all of the fixed assets of the Governmental Fund Types. ' General Long-Term Debt Account Group -This account group is used to account for all of the City's long-term obligations, other than those liabilities of Proprietary Fund Types. 38 ' r CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS ' December 31, 2001 C. BASIS OF ACCOUNTING Basis of accounting refers to the time at which revenues and expenditures are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. All Governmental, Agency and Expendable Trust Funds are reported on the modified accrual basis of accounting. Generally, only current assets and current liabilities are included in these funds. Governmental and Expendable Trust Funds use the "financial flow" measurement focus. Consequently, their revenues are recognized when they become measurable and available as net current assets. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Revenue sources susceptible to accrual include property taxes, intergovernmental revenue, and investment income. Expenditures are recognized under the modified accrual basis of accounting when a liability is incurred, except for principal and interest on general long-term obligations which are recognized when due. Compensated absences are considered expenditures when paid to employees. Proprietary Funds are accounted for using the "capital maintenance" measurement focus and are reported on the accrual basis of accounting. Revenues are recognized when they are earned and expenses are recorded at the time liabilities are incurred. Governmental Accounting Standards Board (GASB) Statement #20, Accounting and Financial Reporting for Proprietary Funds and Other Governmental Entities that Use Proprietary Funds, provides proprietary activities with a choice of authoritative guidance issued after November 30, 1989. The City of Columbia Heights has elected to follow GASB pronouncements exclusively after that date. D. BUDGETARY DATA The City Manager submits to the City Council a proposed operating budget for the fiscal year commencing on January 1 of the following year. At least one special Council meeting is conducted to obtain public comments as required by the State Truth in Taxation Law. The City Council annually adopts budgets prior to January 1 for the General and certain Special Revenue Funds. The budgets are prepared by fund, function, and activity. The budgets are adopted on a basis consistent with generally accepted accounting principles and all appropriations lapse at the end of the budget year to the extent that they have not been expended. Total expenditures appropriated in the budget resolution may not legally exceed the estimated revenues available from various sources. Formal budgetary integration is employed as a management control device during the year. Budget revisions between functions or activities may be made by the City Manager. Budget revisions at the fund level are authorized by the City Council in accordance with the City Charter at the request of the City Manager. The legal level of budgetary control is therefore at the fund level. The City does not use encumbrance accounting. ' 39 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Amounts shown in the financial statements represent the original budgeted amounts and the following increases in appropriations: General Fund $1,545,756 Special Revenue Fund: Parkview Villa South 700,000 Total $2,245,756 The City did not budget for all Special Revenue Funds and, accordingly, the applicable columns of the Combined Statement of Revenues, Expenditures, and Changes in Fund Balance -Budget and Actual excludes amounts relating to the unbudgeted funds. A reconciliation of actual results for budgeted and unbudgeted Special Revenue Funds follows: Special Revenue Funds: Budgeted funds Unbudgeted funds: Police/Fire Contingency Cops MORE 96 Grant Juvenile Justice Grant Local Law Enforcement Block Grant Cops Overtime Grant Cops School Partnership Grant Recreation Contributed Projects Contributed Projects Special Projects Pazking Ramp Confiscated Property Housing Mortgage MIF Medtronics CHASE EDA: Section 8 Total Special Revenue Funds Fund Balance Financing Fund Balance December 31, Total Total Sources December 31, 2000 Revenues Expenditures (Uses) 2001 $1,656,109 $3,864,327 $2,765,116 ($629,628) $2,125,692 924,562 165,445 111,249 (500,000) 478,758 364 11,355 15,192 3,787 314 1,169 8,48] 9,579 1,071 1,142 6,757 34,567 32,577 2,522 11,269 - 525 525 - - - 50,956 50,956 - - 47,110 35,975 29,864 - 53,221 34,475 19,600 19,993 - 34,082 182,905 141,069 25,000 - 298,974 686,052 17,721 - - 703,773 3,255 9,902 2,784 - 10,373 486,502 2,559 - - 489,061 259,853 9,275 - (269,128) - 20,542 121,920 105,782 - 36,680 (95,325) 3,396 9,479 - (101,408) $4,214,330 $4,497,073 $3,178,096 ($1,391,376) $4,141,93] 40 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 E. ASSETS, LIABILITIES, AND FUND EQUITY ACCOUNTS ASSETS Cash and Investments -Cash balances from all funds of the City are combined and invested to the extent available in allowable investments. Investments are stated at fair value, based upon quoted market prices. Investment income is allocated to the individual funds on the basis of applicable cash balance participation by each fund using an average of monthly beginning cash and investment balances. Special Assessments Receivable -Special assessments represent the financing for public improvements paid for by benefiting property owners. These assessments are recorded as receivables upon certification of each project. The corresponding revenue from the delinquent (unremitted) and deferred (certified but not yet levied) special assessments receivable is deferred until the year it becomes available (collected within 60 days of year-end). Inventories -Inventories are valued at cost, which approximates market, using the first-in, first-out basis. Real Estate Held for Resale -Real estate is valued at the lower of cost or market. Fixed Assets: General Fixed Assets Account Group -All purchased fixed assets are valued at historical cost or estimated historical cost. The costs of property, plant, and equipment are accounted for as current expenditures of the Governmental Fund Types in the year purchased. The City has elected not to record infrastructure fixed assets in its account records. No depreciation has been provided on general fixed assets. Proprietary Fund Types -Fixed assets of the Proprietary Funds are stated at historical cost, estimated historical cost, or in the case of contributions, at fair market value at the time received. Depreciation has been provided using the straight-line method over the estimated useful lives of assets as follows: Buildings 40 - 50 years Machinery and equipment 3 - 20 years Improvements 5 - 20 years Distribution system 50 -100 years Depreciation on contributed assets charged to operations is closed to the contributed equity account. 41 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 , T .T ARTT .TTTF.4 Long-term liabilities expected to be financed from Governmental Funds are accounted for in the General Long-Term Debt Account Group, not in the Governmental Funds. The liability for the vested portion of accumulated vacation and sick leave for Governmental Funds is recorded in the Compensated Absences Internal Service Fund. Vested or accumulated vacation leave of Proprietary Funds is recorded as an expense and liability of those funds as the benefits accrue to employees. No liability is recorded for nonvesting accumulating rights to receive sick , pay benefits. However, a liability is recognized for that portion of accumulating sick leave benefits that it is estimated will be taken as "terminal leave" prior to retirement. FUND EQUITY ' Contributed capital is recorded in Proprietary Funds that have received capital grants or contributions from developers, customers, or other funds. Fund balance accounts are subdivided: Reserved fund balance accounts indicate that portion of fund equity which has been legally segregated for specific purposes or is not appropriable for expenditures. Unreserved designated fund balance accounts indicate that portion of fund equity that the City has , set aside for planned future projects. Unreserved undesignated fund balance accounts indicate that portion of fund equity which is , available for budgeting and expending in future periods. F. REVENUES AND EXPENDITURES ' REVENUES Property Taxes -Property tax levies are set by the City Council and certified to Anoka County in December (levy/assessment date) for collection the following year. In Minnesota, counties act as collection agents for all property taxes. The County spreads the levies over all taxable property in the City. Such taxes become receivables of the City and attach an enforceable lien on taxable property within the City as of January 1. Property taxes are payable in equal installments by property owners to the County as follows: Personal Property -February 28 and June 30 Real Property -May 15 and October 15 42 , CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 i The County remits the collections to the City and other taxing districts four times a year, on or before January 25, April 19, July 5, and December 4. Unpaid taxes at December 31 become delinquent and are classified in the financial statements as delinquent taxes receivable. Property taxes are recognized as revenue to the extent collected in the current period. Portions paid by the State in the form of State paid tax credits are included in intergovernmental revenues. That portion of property taxes receivable but not available (not collected within 60 days of year- end) is recorded as deferred revenue and will be recognized as revenue in the fiscal year that it becomes available. Intergovernmental Revenues -Intergovernmental revenues are reported using the guidelines of legal and contractual requirements of the individual programs. Other Revenues -Other revenues, such as licenses and permits, fees for services, fines and forfeits, and miscellaneous revenue, are recognized when received in cash because they generally are not measurable until received. Investment income is recognized as earned since it is measurable and available. e EXPENDITURES Expenditure recognition for Governmental Fund Types includes only amounts represented by current liabilities. G. TOTAL COLUMNS ON COMBINED STATEMENTS Total columns on the combined statements are captioned "Totals (Memorandum Only)" to indicate that they are presented only to facilitate financial analysis. Data in these columns does not present cash flow or results of operations in conformity with generally accepted accounting principles nor is such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of these data. H. COMPARATIVE DATA Comparative total data for the prior year has been presented in the accompanying financial ' statements to provide an understanding of changes in the City's financial position and operations. Comparative data for each fund type has not been presented in the combined statements since their inclusion could make the statements unduly complex and difficult to read. I. STATEMENT OF CASH FLOWS For purposes of the Statement of Cash Flows, the City considers all highly liquid debt instruments ' with an original maturity of three months or less to be cash equivalents. All of the Proprietary Funds' equity in the City-wide cash and investment management pool is considered to be cash equivalents. 43 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 J. USE OF ESTIMATES The preparation of financial statements in accordance with generally accepted accounting principles (GAAP) requires management to make estimates that affect amounts reported in the financial statements during the reporting period. Actual results could differ from such estimates. Note 2 DEPOSITS AND INVESTMENTS The City maintains a cash and investment pool that is available for use by al] funds of the City. Each fund type's portion of this pool is displayed on the combined balance sheet as "Total Cash and Investments." An indication of the level of risk assumed by the City at year-end is categorized as follows for the City's cash and investments. DEPOSITS In accordance with Minnesota Statutes, the City maintains deposits at depository banks authorized by the City Council. Minnesota Statutes require that all deposits be protected by insurance, surety bond, or collateral. The market value of collateral pledged must equal 110% of the deposits not covered by insurance or bonds (140°Io in the case of mortgage-backed collateral). Authorized collateral includes the legal investments described below, as well as certain first mortgage notes, and certain other state or local government obligations. Minnesota Statutes require that securities pledged as collateral be held in safekeeping by the City or in a financial institution other than that furnishing the collateral. Deposits include checking accounts, savings accounts, and certificates of deposit. At December 31, 2001, the market value of the City's deposits was $3,019,098 and the bank balance was $3,495,782. The entire bank balance was insured or collateralized by securities held by the City's agent in the City's name. INVESTMENTS The City may also invest idle funds as authorized by Minnesota Statutes as follows: direct obligations or obligations guaranteed by the United States or its agencies, its instrumentalities, or organizations created by an act of congress, excluding mortgage-backed securities defined as high risk; shares of investment companies registered under the Federal Investment Company Act of 1940 and whose only investments are in securities described above, general obligation tax-exempt securities, or repurchase or reverse repurchase agreements; general obligations of the State of Minnesota or any of its municipalities; bankers' acceptances of United States' banks eligible for purchase by the Federal Reserve System; commercial paper issued by United States' corporations or their Canadian subsidiaries, of the highest quality, and maturing in 270 days or less; repurchase or reverse repurchase agreements with banks that are members of the Federal Reserve System with capitalization exceeding $10,000,000, a primary reporting dealer in U.S. government securities 44 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 to the Federal Reserve Bank of New York, or certain Minnesota securities broker-dealers; and future contracts sold under authority of Minnesota Statutes Section 471.56, Subdivision 5. As allowed by authorized investment laws, a portion of the City's investment portfolio is invested in collateralized mortgage obligations which are a form of "derivative" investments. Essentially, these investments can be described as having a variable rate with a guaranteed return of principal. The City invests in these investments for purposes of portfolio diversification. The City's investments are categorized to give an indication of the level of custodial credit risk assumed at year-end. Category 1 includes investments that are insured or registered or for which the securities are held by the City or its agent in the City's name. Category 2 includes uninsured and unregistered investments for which the securities are held by the counterparty's trust department or agent in the City's name. Category 3 I includes uninsured and unregistered investments for which the securities are held by the counterparty or by its trust department or agent but not in the City's name. Investment balances at December 31, 2001 are as follows: U.S. Government Securities (including securities insured by the U.S. Government) Shared investment pools Total investments Deposits Cash on hand Total cash and investments Carrying Custodial Credit Risk Category Amount At 1 2 3 Fair Value $18,718,573 $ - $ - $18,718,573 3,060,092 21,778,665 3,019,098 4,950 $24,802,713 45 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 3 LEGAL COMPLIANCE/BUDGETS Total actual expenditures exceeded budgeted expenditures (appropriations) in the following funds for 2001: Budgeted Actual Over Expenditures Expenditures Budget Special Revenue Funds: Housing and Redevelopment Authority $ - $4,223 $4,223 EDA: Anoka County CDBG 249,011 499,279 250,268 Administration 96,764 428,680 331,916 Parkview Villa South 157,775 169,493 11,718 Expenditures in the Housing and Redevelopment Authority Fund are over budget by $4,223 due to the discounting of mortgage loans sold. This was not included in the 2001 budget. Expenditures in the Anoka County CDBG Fund exceed budget by $250,268 due primarily to payments for the Transition Block Project. Expenditures in the EDA Administration Fund exceed budget by $331,916 due to payments for the Transition Block Project. Expenditures in the Parkview Villa South Fund exceed budget by $11,718 due to payments for the new HAP software. 46 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 4 INTERGOVERNMENTAL RECEIVABLES Intergovernmental receivables at December 31, 2001 presented as due from othe r governmental units are composed of the following: General Fund: I ISD #13 $28,174 Anoka County 30,239 City of Hilltop 4,385 City of Saint Anthony 294 City of Minneapolis 294 Total General Fund 63,386 Special Revenue Funds: Municipal State Aid -State of Minnesota 266,701 Juvenile Justice Grant -State of Minnesota 1,257 COPS School Partnership Grant -Federal -Dept of Justice 520 CHASE Grant -State of Minnesota 10,933 EDA (Component Unit): Anoka County CDBG -Anoka County 118,057 EDA Administration -Metropolitan Council 19,000 Total Special Revenue Funds ~ 416,468 I Ente rise Funds: Sewer -Metropolitan Council Environmental Services 220,962 Sewer -City of Hilltop 4,672 Sewer -State of Minnesota 3,327 Refuse -Anoka County 17,762 ' Liquor -State of Minnesota 1,612 Total Enterprise Funds 248,335 L Total intergovernmental receivables $728,189 47 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 INTERCEPTOR ACQUISITION CONTRACT RECEIVABLE As of January 1, 1996, the Metropolitan Council (MCES) assumed ownership of an existing interceptor pursuant to an agreement with the City of Hilltop regarding usage of interceptors owned and maintained by the City of Columbia Heights. The MCES acquired the interceptor at a cost of $330,413.72. This amount is being amortized through current value payments from MCES over a 15-year period with interest at 4%. As of December 31, 2001, a balance of $220,962 remained to be collected over the next ten years. These receivables are presented as Due From Other Governmental Units in the Sewer Utility Fund. Note 5 LOANS RECEIVABLE Loans receivable at December 31, 2001 consist of Housing and Redevelopment Business Revolving Loans totaling $22,104. These loans provide funding for those businesses which qualify. 48 1 i 1 i i 1 1 1 1 1 1 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 6 INTERFUND RECEIVABLES AND PAYABLES Individual fund interfund receivables and payables at December 31, 2001 consist of the following: Interfund Interfund Receivables Payables General Fund Special Revenue Funds: Municipal State Aid Parking Ramp Housing Mortgage Juvenile Justice Grant COPS School Partnership Grant EDA: Anoka County CDBG EDA: Section 8 Debt Service Funds: Tax Increment Bonds MURP Capital Projects Funds: Capital Improvement TIF District #2 Sheffield Redevelopment Infrastructure Replacement Capital Equipment Replacement -General Enterprise Funds: Capital Equipment Replacement -Water Water Debt Service Fund Water Construction Sewer Utility Sewer Construction Storm Sewer Debt Service Liquor $161,536 $ - - 22,320 408,027 - 446,352 - - 315 - 520 - 104,128 - 56,573 57,706 854,379 - 57,706 - 387,365 - 2,243 - 689,720 22,320 - 389,608 - 277,766 - 212,569 - - 490,335 30,843 - 520,720 - - 30,843 169,000 - $2,696,447 $2,696,447 49 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 7 INTERFUND TRANSFERS From To Amount Purpose Operating: General COPS More Grant $3,787 Local match: grants General Local Law Enforcement Block Grant 2,522 Local match: grants General Juvenile Justice Grant 1,071 Local match: grants General Capital Improvements -Buildings 1,400,000 Future improvements of buildings General Capital Improvements-Buildings 117,757 Roof repairs General Capital Improvements -General 50,000 General improvements General Capital Equipment Replacement -General 50,000 Replacement of fixed assets General Central Garage 15,000 Fund cenVal garage services General Data Processing 50,000 Fund data processing services General Community Development 250,000 Fund community development Community Development General Fund 7,335 Administrative labor allocation Community Development General Fund 9,170 Administrative labor allocation State Aid Maintenance Capital Improvements 5,693 Closure of project State Aid Maintenance State Aid Construction 822 Closure of project State Aid Maintenance Capital Improvements -General 664 General improvements Cable Television General Fund 54,333 Administrative labor allocation Cable Television Data Processing 50,000 Fund data processing services MIF-MedVOnic Sanitary Sewer Construction Fund 269,128 Closure of project Library General Fund 8,727 Administrative labor allocation Tax Increment Bonds Tax Increment Refunding 1991 898,020 Debt service Tax Increment Bonds Tax Increment Capital 1990 750 Debt service Sheffield Debt Service Sheffield Redevelopment 45,458 Transfer TIF tax revenues per agreement Capital Improvements State Aid Construction 65,220 Closure of project PIR Fund G.O. Improvement Bond 1999A 102,589 Revenue transfer per bond covenant PIR Fund Capital Improvements 23,816 Closure of prof ect Capital Equipment Replacement-Sewer Sewer Utility 22,926 Capital equipment replacement Capital Equipment Replacement-Water Water Utility 24,060 Capital equipment replacement Water Utility General Fund 68,135 Administrative labor allocation Water Utility Capital Equipment Replacement -Water 25,000 Replacement fixed assets Water Utility Capital Improvements-General 3,549 General improvements Water Utility Data Processing 45,000 Pund data processing services Water Utility Water Fund Debt Service 74,641 Debt service Sewer Utility Capital Equipment Replacement -Sewer 25,000 Replacement fixed assets Sewer Utility Capital Improvements-General 3,010 General improvements Sewer Utility Da[a Processing 45,000 Fund data processing services Sewer Utility General Fund 68,134 Administrative labor allocation Sewer Utility Sewer Fund Debt Service 4,000 Debt service Refuse Utility General Fund 60,960 Administrative labor allocation Refuse Utility General Fund 60,980 Administrative labor allocation Refuse Utility Data Processing 45,000 Fund data processing services Storm Sewer Utility Storm Sewer Debt Service 46,500 Debt service Storm Sewer Utility Capital Equipment Replacement -Storm Sewer 5,800 Replacement fixed assets Storm Sewer Utility Storm Sewer Cons[mcton Fund 32,900 Fund construction fund Liquor General Fund 72,000 Administrative labor allocation Liquor Capital Equipment Replacement -General 100,000 Replacement fixed assets Liquor DARE Program 6,000 Fund DARE program Liquor Data Processing 35,000 Fund data processing services Water Construction Fund Water Utility 1,641,540 Closure of projects Sewer Construction Fund Sewer Utility 31,020 Closure of projects Storm Sewer Construction Fund Storm Sewer Utility 432,091 Closure of projects Central Garage Capital Equipment Replacement -Garage 4,000 Replacement fixed assets Central Garage Capital Improvements -General 60,000 General improvements Central Garage Data Processing 30,000 Fund data processing services Police & Fire Contingency Reserve Capital Equipment Replacement 500,000 Future improvements of buildings Parkview Villa North General Fund 7,335 Administrative labor allocation EDA -Administration General Fund 9,169 Administrative labor allocation EDA -Administration Community Development 13,1 I2 Fund community development functions Parkview Villa South General Fund 3,670 Administratve labor allocation Parkview Villa South Capital Improvement PWS 700,000 Future capital improvements I-IRA Sheffield Redevelopment 94,752 Guaranteed funding HRA Community Development 12,000 Fund community development functions Total Operating Transfers $7,894,166 50 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS _, December 31, 2001 Note 8 FIXED ASSETS The following is a summary of changes in the General Fixed Assets Account Group during the fiscal year: Land Buildings Improvements other than buildings Machinery and equipment ,~ Total general fixed assets Balance Balance January 1, December 31, 2001 Additions Retirements 2001 $3,630,729 $345,903 $120,579 $3,856,053 8,599,711 156,461 14,390 8,741,782 3,125,621 469,237 - 3,594,858 6,845,840 443,208 130,931 7,158,117 $22,201,901 $1,414,809 $265,900 $23,350,810 The following is a summary of Proprietary Fund Type fixed assets at December 31, 2001: Water Sewer Refuse Stonn Sewer Tota] Internal Total Utility Utility Utility Utility Liquor Enterprise Service Proprietary Land $45,223 $36,586 $ - $ - $4,360 $86,169 $ - $86,169 Buildings 462,288 57,942 6,000 - 181,631 707,861 800,859 1,508,720 Improvements other than buildings 5,381,373 3,976,079 14,456 675,867 103,409 10,151,184 439,]28 10,590,312 Machineryandequipmen[ 330,376 570,097 107,681 - 370,187 1,378,341 278,453 ],656,794 Construction in process 21,377 1,456 270,917 293,750 293,750 Total 6,240,637 4,642,160 128,137 946,784 659,587 12,617,305 1,518,440 14,135,745 Less accumulated depreciation 2,244,524 2,672,143 41,717 19,664 568,613 5,546,661 1,248,760 6,795,421 Net fixed assets $3,996,113 $1,97Q017 $86,420 $927,120 $90,974 $7,07Q,644 $269,680 $7,340,324 51 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 9 OPERATING LEASES A. LEASE EXPENSE The City has leased premises for a liquor store (Top Valu) under afive-year lease agreement that originally expired in 1989. This lease has been renewed through December 31, 2004. This lease is considered for accounting purposes to be an operating lease. Lease expenditures for the year ended December 31, 2001 amounted to $136,134. The City also has leased premises for its Top Valu II liquor store under afive-year lease that originally expired February 28, 1998, with afive-year renewal option in 1998 and 2003. The City exercised the 1998 renewal option which increased minimum payments to $3,552 per month. The City is also required to pay all utilities and apro-rata share of real estate taxes. This lease is considered for accounting purposes to be an operating lease. Lease expenditures for the year ended December 31, 2001 amounted to $64,415. Future minimum rental payments are as follows: Top Valu Top Valu II 2002 $88,785 $42,628 2003 88,785 7,104 2004 88,785 - Total $266,355 $49,732 B. LEASE REVENUE The City receives revenue from agreements for the lease of space in Parkview Villa North and for antennas placed on the water towers and Parkview Villa. For accounting purposes, the leases are considered operating leases. Lease revenue for the year ended December 31, 2001, totaled $57,069. Terms of each lease are as follows: Lessee Ivanhoe Place Sprint Spectrum 40th Avenue NE American Portable Telecom 2001 Adj. Expiration $28,431 Greater of CPI or 5% 08/19/06 28,638 Greater of CPI or 4% 12/04/06 $57,069 52 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 10 LONG-TERM DEBT General Obligation Bonds -The City issues General Obligation Bonds to provide funds for the acquisition and construction of major capital facility additions. General Obligation Bonds have been issued to refund General Obligation Tax Increment Bonds. General Obligation Bonds are direct obligations and are backed by the full faith and credit of the City. General Obligation Bonds currently outstanding are as follows: Final Original Interest Issue Maturity Balance Issue Rate Date Date End of Year General Obligation: ` General Long Term Debt Account Group: Tax Increment Bonds: Capital Appreciation Bonds of 1990 $2,399,721 6.90-7.15% 8/23/90 9/1/09 $2,399,721 Refunding Bonds of 1991 6,670,000 5.30-5.80% 12/1/91 3/1/02 220,000 Improvement Bonds: - Improvement Bonds of 1999A 860,000 3.45-4.30% 5/1/99 2/1/10 810,000 Proprietary Funds: Revenue Bonds: Utility Revenue Bonds of 1999B 1,935,000 3.45-4.30% 5/1/99 2/1/10 1,825,000 Total General Obligation Bonds outstanding $5,254,721 ANNUAL DEBT SERVICE REpUIREMENTS As of December 31, 2001, the annual requirements to amortize all bonds outstanding, including interest of $4,576,265 on the General Long Term Debt Account Group debt, and $355,906 on the Proprietary Fund debt are as follows: General Fiscal Year Long Term Ending Debt Account December 31 Group Proprietary Total 2002 $1,246,434 $244,496 $1,490,930 2003 1,046,365 243,105 1,289,470 2004 1,037,735 241,305 1,279,040 2005 1,034,077 243,987 1,278,064 2006 1,025,425 241,185 1,266,610 2007-2010 2,615,950 966,828 3,582,778 Totals $8,005,986 $2,180,906 $10,186,892 53 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 At December 31, 2001, a total of $1,710,716 is available in Debt Service Funds to service the General Obligation Tax Increment Bonds and the General Obligation Improvement Bonds. There are a number of limitations and restrictions contained in the various bond indentures. The City is in compliance with all significant limitations and restrictions. Delinquent assessments receivable at December 31, 2001 totaled $22,400. The Tax Increment Bonds are payable from the amount of increase in the property taxes on the property in the Tax Increment District. Any deficiencies in revenues from these sources will be provided by general property taxes. Long-Term Debt -Other -The City is the administering authority for the following Tax Increment Finance Districts: A. 1977 Downtown CBD Revitalization Plan A3 Type of District Authorizing Law Duration of District Original Tax Capacity Current Tax Capacity (for taxes collectible in 2001) Captured Tax Capacity Retained Bonds Issued Principal Payments Bonds Outstanding at December 31, 2001 B. 1984 Modification to the Downtown CBD Revitalization Plan C7 Type of District Authorizing Law Duration of District Original Tax Capacity Current Tax Capacity (for taxes collectible in 2001) Captured Tax Capacity Retained Bonds Issued Principal Payments Bonds Outstanding at December 31, 2001 Redevelopment HRA (Minnesota Statutes Sections 462.545 and 462.585) August 1, 2009 $165,878 $846,339 $680,461 $28,434,721 $25,815,000 $2,619,721 Redevelopment HRA (Minnesota Statutes Sections 462.545 and 462.585) August 1, 2009 $37,598 $54,338 $16,740 54 i~ CITY OF COLUMBIA HEIGHTS, MINNESOTA -- NOTES TO FINANCIAL STATEMENTS December 31, 2001 C. 1984 University Avenue Redevelopment C8 Type of District Redevelopment ~~ Authorizing Law HRA (Minnesota Statutes Sections 462.545 and 462.585) Duration of District August 1, 2009 Original Tax Capacity $25,176 Current Tax Capacity (for taxes collectible in 2001) $132,295 Captured Tax Capacity Retained $107,119 Bonds Issued $1,070,000 Principal Payments. $1,070,000 Bonds Outstanding at December 31, 2001 D. 1989 Multi-Use Redevelopment Plan I{2 Type of District Redevelopment Authorizing Law HRA (Minnesota Statutes Sections 462.545 and 462.585) Duration of District October 4, 2014 Original Tax Capacity $7,808 Current Tax Capacity (for taxes collectible in 2001) $35,948 Prior Year Tax Capacity Adjustment $2,710 Captured Tax Capacity Retained $30,850 Bonds Issued - Principal Payments = Bonds Outstanding at December 31, 2001 E. 1995 Sheffield Tax Increment Financing District M8 Type of District Redevelopment Authorizing Law HRA (Minnesota Statutes Sections 469.174 to 469.179 inclusion as amended) Duration of District December 31, 2022 Original Tax Capacity $17,159 Current Tax Capacity (for taxes collectible in 2001) $58,957 Captured Tax Capacity Retained $41,798 Prior Year Tax Capacity Adjustment - Bonds Issued - Principal Payments - Bonds Outstanding at December 31, 200] - 55 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 F. 53rd Avenue Tax Increment Financial District N7 Type of District Economic Development Authorizing Law Minnesota Statutes Section 469.174 Duration of District December 11, 2006 Original Tax Capacity $107 894 Current Tax Capacity (for taxes collectible in 2001) $291,927 Captured Tax Capacity Retained $184,033 Bonds Issued _ Principal Payments _ Bonds Outstanding at December 31, 2001 _ G. Housing and Redevelopment District No. 1 P3 Type of District Redevelopment Authorizing Law Minnesota Statutes Section 469.174 Duration of District September 8, 2002 Original Tax Capacity $34,539 Current Tax Capacity (for taxes collectible in 200].) $43,494 Captured Tax Capacity Retained $8,955 Bonds Issued _ Principal Payments _ Bonds Outstanding at December 31, 2001 - H. Housing and Redevelopment District No. 1 P4 Type of District Redevelopment Authorizing Law Minnesota Statutes Section 469.174 Duration of District September 8, 2002 Original Tax Capacity $1,108 Current Tax Capacity (for taxes collectible in 2001) $1,484 Captured Tax Capacity Retained $376 Bonds Issued _ Principal Payments - Bonds Outstanding at December 31, 2001 - 56 CITY OF COLUMBIA HEIGHTS, MINNESOTA ._ NOTES TO FINANCIAL STATEMENTS December 31, 2001 CHANGES IN LONG-TERM LIABILITIES The following is a summary of bond transactions for the year ended December 31, 2001: Balance Balance City January 1 Additions Reductions December 31 General Obligation General Long-Term Debt Account Group: Tax Increment Bonds: Principal $3,479,721 $ - ($860,000) $2,619,721 Accreted interest 2,393,498 342,590 - 2,736,088 Improvement Bonds: Principal 860,000 - (50,000) 810,000 Proprietary Funds: Principal 1,935,000 (11.0,000) 1,825,000 Total General Obligation Bonds $8,668,219 $342,590 ($].,020,000) $7,990,809 With the exception of the 1990 Tax Increment Bonds, all General Obligation Bonds are serial bonds which require semiannual payments of principal and/or interest from the date the bonds are issued. The 1990 Tax Increment Bonds are Capital Appreciation Bonds which require no payments of principal or interest until September 2002. During the year ended December 31, 2001, accreted interest of $2,736,088 was included in general long-term debt for the 1990 Tax Increment Capital Appreciation Bonds. CONDUIT DEBT OBLIGATIONS From time to time, the City of Columbia Heights has issued Revenue Bonds to provide financial assistance to private-sector entities for the acquisition and construction of facilities deemed to be in the public interest. The bonds are secured by the property financed and are payable solely from private-sector entity revenues. Upon repayment of the bonds, ownership of the acquired facilities transfers to the private-sector entity served by the bond issuance. Neither the City of Columbia Heights, the State of Minnesota, nor any political subdivision thereof is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the accompanying financial statements. ~ As of December 31, 2001 there were four series of Revenue Bonds outstanding, with an aggregate principal amount payable of $14,059,000. 57 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 11 FUND EOUITY The following funds had a fund deficit as of December 31, 2001: Fund Deficit Special Revenue Funds: EDA: Section 8 $101,408 Debt Service Funds Multi-Use Redevelopment Plan 57,659 Capital Projects Funds: TIF District #2 2,243 Sheffield Redevelopment 129,160 Capital Improvement Fund 415 417,864 The City will finance these deficits through external or internal sources in future years. For various reasons, certain funds have a portion of their fund equity reserved or designated for specific purposes. A discussion of each such item as it appears on the Combined Balance Sheet follows: A. RESERVATION OF RETAINED EARNINGS Reserve for Insurance -This reserve in the Insurance Internal Service Fund represents funds set aside to pay any claims from the period during which the City had no commercial insurance, and funds set aside to pay any amounts that may arise from a claim that exceeded the limits of current commercial policies. Reserve for Capital Improvements- This reserve in the Water, Sewer, Storm Sewer and Liquor Enterprise Funds and the Central Garage and Data Processing Internal Service Fund represents funds set aside to pay for appropriate future capital replacement and construction projects. 5$ CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Reservations of retained earnings are summarized as follows at December 31, 2001: Reserve for insurance Reserve for capital improvements: Water Utility Fund Sewer Utility Fund Storm Sewer Fund Liquor Fund Central Garage Fund Data Processing Fund Total reserve for capital improvements Total reservation of retained earnings B. RESERVATION OF FUND BALANCES Internal Enterprise Service Total $ - $512,682 $512,682 281,387 - 281,387 2,014,889 - 2,014,889 341,064 - 341,064 25,489 - 25,489 - 19,417 19,417 - 26,031 26,031 2,662,829 45,448 2,708,277 $2,662,829 $558,130 $3,220,959 Reserved for Prepayments -This reserve represents financial resources used for prepayment of subsequent years expenditures. Reserved for Real Estate Held for Resale -This amount represents a financial resource which is not currently available. Reserved for Program Expenditures -This amount represents financial resources which have specific restrictions for future use. Reservations of fund balances at December 31, 2001 are summarized as follows: Reserve for prepayments $10,095 Reserve for real estate held for resale 290,652 Reserve for program expenditures 657,377 Total $958,124 C. DESIGNATED UNRESERVED FUND BALANCES Designated for subsequent years' expenditures -Unspent appropriations lapse at year-end. Amounts which are reappropriated in the next year's budget are reported as fund equity designations. 59 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS - December 31, 2001 Designated for working capital -This amount represents funds set aside by the City to provide positive cash flow for the next fiscal year. Designated for maintenance -This amount represents funds set aside by the HRA to provide for maintenance costs in future years at Parkview Villa South senior housing. Designated for debt service -These amounts represent fund balances which are presently committed to provide financial resources to pay principal and interest on the City's General Obligation Bonds. Designated for capital improvements -This amount represents funds set aside by the City to provide for future capital improvements. Designations for unreserved fund balances at December 31, 2001 are summarized as follows: Special Debt Capital General Revenue Service Projects Total Designated for subsequent years'expenditures $ - $478,758 $ - $ - $478,758 Designated for working capital 3,700,506 235,447 - - 3,935,953 Designated for maintenance - 71,191 - - 71,191 Designated for debt service - - 1,768,375 - 1,768,375 Designated for capita] improvements 140,052 - - 3,650,603 3,790,655 Total designated unreserved fund balance $3,840,558 $785,396 $1,768,375 $3,650,603 $10,044,932 Note 12 SEGMENT INFORMATI ON -ENTERPRISE FUNDS The City maintains five Enterprise Funds which are intended to be self-supporting. Financial segment information as of and for the year ended December 31, 2001 is as follows: Operating revenues Depreciation expense Operating income (]oss) Operating grants Total operating transfers Net income (loss) Properly, plant and equipment additions Property, plant and equipment deletions Net working capital Net cash provided by operating activities Total assets Bonds payable Total equity -contributed Total equity -retained earnings Water Sewer Refuse Storm Sewer Utility Utility Utility Utility Liquor Total $1,448,483 $1,215,330 $1,237,355 $172,654 $6,796,384 $10,870,206 163,622 132,444 12,238 13,989 20,732 343,025 (130,144) 139,810 (34,491) 85,526 459,577 520,278 - 3,327 54,963 - - 58,290 (116,684) 152,984 (166,960) - (213,000) (343,660) (231,406) 464,791 (98,095) 83,240 345,856 564,386 285,600 58,054 - 572,622 - 916,276 - (zoa,117) - - - (2oa,117) 432,586 3,435,003 819,101 82,469 2,433,361 7,202,520 5,847 359,274 21,434 126,715 177,666 690,936 5,111,140 5,640,571 1,007,715 1,055,56] 2,760,330 15,575,317 953,446 36,173 - 835,38] - 1,825,000 624,359 360,855 - - - 985,2]4 2,850,894 5,228,954 905,521 174,208 2,524,335 11,683,912 60 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS y December 31, 2001 ~' Note 13 PROPRIETARY FUNDS' CONTRIBUTED CAPITAL This balance represents the cost of property contributed to the Enterprise Funds and Internal Service Funds by the City, less depreciation thereof charged to operations. Changes occurring in the account during the year were as follows: Water Sewer Central Utility Utility Garage Total Balance-beginning of year $650,653 $399,790 $188,849 $1,239,292 Less: Depreciation on contributed assets (26,294) (38,935) (65,229) Balance-end of year $624,359 $360,855 $188,849 $1,174,063 ~~ Note 14 DEFINED BENEFIT PENSION PLANS -STATEWIDE A. PLAN DESCRIPTION All full-time and certain part-time employees of the City of Columbia Heights are covered by defined benefit plans administered by the Public Employees Retirement Association of Minnesota (PERA). PERA administers the Public Employees Retirement Fund (PERF) and the Public Employees Police and Fire Fund (PEPFF) which are cost-sharing, multiple-employer retirement plans. These plans are established and administered in accordance with Minnesota Statute, Chapters 353 and 356. PERF members belong to either the Coordinated Plan or the Basic Plan. Coordinated Plan members are covered by Social Security and Basic Plan members are not. All new members must participate in the Coordinated Plan. All police officers, firefighters and peace officers who qualify for membership by statute are covered by the PEPFF. PERA provides retirement benefits as well as disability benefits to members, and benefits to survivors upon death of eligible members. Benefits are established by State Statute, and vest after three years of credited service. The defined retirement benefits are based on a member's highest average salary for any five successive years of allowable service, age, and years of credit at termination of service. Two methods are used to compute benefits for PERF's Coordinated and Basic Plan members. The retiring member receives the higher of a step-rate benefit accrual formula (Method 1) or a level accrual formula (Method 2). Under Method 1, the annuity accrual rate for a Basic Plan member is 2.2% of average salary for each of the first 10 years of service and 2.7% for each remaining year. The annuity accrual rate for a Coordinated Plan member is 1.2% of average salary for each of the first 10 years and 1.7P/o for each remaining year. Under Method 2, the annuity accrual rate is 2.7% of average salary for Basic Plan members and 1.7% for Coordinated Plan members for each year of service. For PEPFF members, the annuity accrual rate is 3.0% for each year of service. 61 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 y For all PEPF and PERF members whose annuity is calculated using Method 1, a full annuity is available when age plus years of service equal 90. A reduced retirement annuity is also available to eligible members seeking early retirement. There are different types of annuities available to members upon retirement. A normal annuity is a lifetime annuity that ceases upon the death of the retiree - no survivor annuity is payable. There i are also various types of joint and survivor annuity options available which will reduce the monthly normal annuity amount, because the annuity is payable over joint lives. Members may also leave their contributions in the fund upon termination of public service in order to qualify for a deferred annuity at retirement age. Refunds of contributions are available at any time to members who leave public service, but before retirement benefits begin. The benefit provisions stated in the previous paragraphs of this section are current provisions and apply to active plan participants. Vested, terminated employees who are entitled to benefits but are not receiving them yet are bound by the provisions in effect at the time they last terminated their public service. PERA issues a publicly available financial report that includes financial statements and required supplementary information for PERF and PEPFF. That report may be obtained by writing to PERA, 60 Empire Drive #200, St. Paul, Minnesota, 55103-1855 or by calling (651)296-7460 or 1- 800-652-9026. 1 1 t 1 r 1 62 f CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 B. FUNDING POLICY Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. These statutes are established and amended by the state legislature. The City makes annual contributions to the pension plans equal to the amount required by state statutes. PERF Basic Plan members and Coordinated Plan members are required to contribute 8.75% and 4.75%, respectively, of their annual covered salary. The PEPFF members are required to contribute 6.20% of their annual covered salary. The City of Columbia Heights is required to contribute the following percentages of annual covered payroll: 11.43% for Basic Plan PERF members, 5.18% for Coordinated Plan PERF members, and 9.30% for PEPFF members. Member and employer contribution rates for Basic and Coordinated members will increase by 0.35% effective January 2002. The City's contributions for the last three years which were equal to the contractually required contributions for each year as set by State Statute are as follows: Year Ended December 31 PERF PEPFF 1999 $169,653 $175,387 2000 173,674 160,999 2001 175,714 172,261 In addition to the above amount, the City contributed $56,706 to PEPFF as required under a 1999 consolidation plan. Note 15 DEFINED BENEFIT PENSION PLAN -POLICE AND FIRE CONSOLIDATION FUND - TERMINATED PLAN -PFCF Until July 1, 1999, the City of Columbia Heights was a participant in the PERA Police and Fire Consolidation Fund (PFCF), an agent, multiple-employer defined benefit plan. Effective July 1, 1999 this plan was terminated and all assets and liabilities were transferred to the Police and Fire Fund (PEPFF), a cost sharing multiple-employer plan. Upon termination, a final actuarial valuation determined the unfunded actuarial accrued liability (UAAL) for each participant. The City of Columbia Heights' remaining obligation to the PFCF is repayment of the UAAL, which is payable in 10 equal annual installments from 1999 - 2009. Annual payments for the City of Columbia Heights are $56,706 for the fire and police accounts. ~' 63 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 Note 16 DEFINED CONTRIBUTION PLAN -FIRE RELIEF ASSOCIATION, VOLUNTEER DIVISION PLAN DESCRIPTION The Columbia Heights Fire Department Relief Association is the administrator of asingle-employer pension plan for the volunteer members of the City of Columbia Heights Fire Department. Through October 26, 1997, the Association operated as a defined benefit plan. Effective October 27, 1997, the Association amended its by-laws and converted to a defined contribution plan. The pension plan was fully funded at the time of conversion. Benefits and contribution requirements are established by the Association's by-laws and can be , amended by the Association's board of directors with approval from the City of Columbia Heights. All provisions are within limitations established by Minnesota Statutes. Tvne of Benefit. The exclusive pension provided by the Association is a "Defined Contribution Lump Sum Service Pension" as defined in Minnesota Statutes §424A.02, Subdivision 4. Contributions Required and Contributions Made. No contributions are required from the plan members or the City of Columbia Heights. The Plan is funded through State aid, investment income and discretionary contributions from the City of Columbia Heights. For 2001 State aid was contributed to the Plan. Note 17 COMMITMENTS AND CONTINGENCIES A. RISK MANAGEMENT The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. Workers compensation coverage is provided through a pooled self-insurance program through the League of Minnesota Cities Insurance Trust (LMCIT). The City pays an annual premium to LMCIT. The City is subject to supplemental assessments if deemed necessary by the LMCIT. The LMCIT reinsures through Workers Compensation Reinsurance Association (WCRA) as required by law. For workers compensation, the City is not subject to a deductible. The City's workers compensation coverage is retrospectively rated. With this type of coverage, final premiums are determined after loss experience is known. The amount of premium adjustment, if any, is considered immaterial and not recorded until received or paid. The Cit carried commercial insurance for all other risks of loss, including pro erty and liabilit Y P Y There were no significant reductions in insurance from the previous year or settlements in excess of insurance coverage for any of the past three fiscal years. 64 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2001 B. LITIGATION The City attorney has indicated that any existing and pending lawsuits, claims and other actions in which the City is a defendant are either covered by insurance; of an immaterial amount; or, in the ~ judgment of the City attorney, remotely recoverable by plaintiffs. C. FEDERAL AND STATE FUNDS Amounts received or receivable from federal and state agencies are subject to agency audit and adjustment. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of funds which may be disallowed by the agencies cannot be determined at this time although the City expects such amounts, if any, to be immaterial. D. TAX INCREMENT DISTRICTS The City's tax increment districts are subject to review by the State of Minnesota Office of the State Auditor (OSA). Any disallowed claims or misuse of tax increments could become a liability of the applicable fund. Management has indicated that they are not aware of any instances of noncompliance which would have a material effect on the financial statements. E. CONTRACTUAL COMMITMENTS The City has entered into several contractual commitments which are in process at year end. At December 31, 2001, the City's committed obligation for such projects were approximately $28,843. In addition to these contractual commitments, the City has a contract with the City of Minneapolis for the purchase of the City's water supply. This water supply flows through one master meter located at the City of Minneapolis reservoir. During the years 2000 and 2001 there were periods of time where the meter was dysfunctional and it was necessary for Minneapolis to estimate the water flowage. Due to the age of the meter, there are also some concerns as to its overall accuracy, a result of which could be that the City was billed for less water than was actually consumed which could result in an outstanding liability to the City of Minneapolis. At the present time there is not adequate information to determine the full extent of any potential contingent liability. 65 1 f] t 1 1 1 1 c~ 1 t 1 1 a 66 .~ I', ' COMBINING, INDIVIDUAL FUND AND ACCOUNT GROUP I FINANCIAL STATEMENTS 67 ~~ CIS ' ~~ 1 68 GENERAL FUND The Home Rule Charter of the City of Columbia Heights provides in Section 69, ' Subdivision (c): "A General Fund for the support of such other funds and for the payment of such expenses of the City as the Council may deem proper. Into this fund shall be paid all monies not herein provided to paid (sic) into any other fund." 69 ~~~ 1 c~ 1 ~~ 1 ' " CITY OF COLUMBIA HEIGHTS, MINNESOTA GENERAL FUND Statement 6 BALANCE SHEET December 31, 2001 With Comparative Amounts For December 31, 2000 Assets 2001 2000 ' Cash and investments $3,767,398 $4,783,656 Receivables: Accounts 6,324 13,104 Taxes: Unremitted 49,113 43,980 Delinquent 77,177 67,692 Interest 57,414 44,441 Due from other governmental units 63,386 29,267 Due from other funds 161,536 113,050 ' Prepayments 7,003 6,858 Total assets $4,189,351 $5,102,048 Liabilities and Fund Balance ' Liabilities: Accounts payable $67,167 $107,113 Accrued salaries and withholdings payable 57,087 40,942 Due to other governmental units 90,244 84,583 Defen-ed revenue 77,177 67,692 Deposits 300 300 Total liabilities 291,975 300,630 Fund balance: Reserved for prepayments 7,003 6,858 Unreserved: Designated for subsequent years' expenditures - 6,597 Designated for working capital 3,700,506 3,610,049 Designated for capital improvement 140,052 140,052 Undesignated 49,815 1,037,862 Total fund balance 3,897,376 4,801,418 Total liabilities and fund balance $4,189,351 $5,102,048 71 CITY OF COLUMBIA HEIGHTS, MINNESOTA GENERAL FUND Statement 7 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - Page 1 of 2 BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Amounts For The Year Ended December 31, 2000 2001 Over (Under) 2000 Budget Actual Budget Actual Revenues: Taxes $2,958,490 $2,954,511 ($3,979) $2,737,854 Licenses and permits 274,500 292,744 18,244 268,014 Intergovernmental 3,636,386 3,660,019 23,633 3,557,690 Charges for services 389,900 390,492 592 399,556 Fines and forfeitures 110,000 87,760 (22,240) 90,218 Investment income: Interest and dividends 200,000 254,660 54,660 240,612 Change in fair value - 19,113 19,113 101,671 Other revenues: Miscellaneous 7,490 5,942 (1,548) 4,933 Proceeds from sale of assets 4,500 15,430 10,930 14,539 Total revenues 7,581,266 7,680,671 99,405 7,415,087 Expenditures: General government Council 205,631 189,810 (15,821) 198,582 Manager 391,945 348,264 (43,681) 355,085 Legal 216,460 183,899 (32,561) 191,572 Finance and elections 569,961 532,814 (37,147) 538,506 Assessing 145,923 125,027 (20,896} 129,975 General government buildings 130,000 117,761 (12,239) 157,530 Total general govermnent 1,659,920 1,497,575 (162,345) 1,571,250 Public safety: Police/animal/civil defense 2,483,587 2,291,754 (191,833) 2,172,394 Fire 816,055 864,303 48,248 829,951 Total public safety 3,299,642 3,156,057 (143,585) 3,002,345 Public works: Engineering 355,083 419,446 64,363 311,891 Maintenance 837,260 707,652 (129,608) 735,887 Total public works 1,192,343 1,127,098 (65,245) 1,047,778 Other departments: Sanitation 140,006 95,092 (44,914) 117,806 Parks and recreation 1,343,419 1,194,800 (148,619) 1,239,662 Contingencies - 3,922 3,922 - Totalotherdepartments 1,483,425 1,293,814 (189,611) 1,357,468 Tota] expendihues 7,635,330 7,074,544 (560,786) 6,978,841 72 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA " GENERAL FUND Statement 7 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - Page Z of 2 BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Amounts For The Year Ended December 31, 2000 2001 ' Revenues over (under) expenditures ' Other financing sources (uses): Operating transfers in Operating transfers (out) Total other financing sources (uses) Net increase (decrease) in fund balance Fund balance -January 1 ' Fund balance -December 31 Over (Under) 2000 Budget Actual Budget Actual ($54,064) $606,127 $660,191 $436,246 429,968 429,968 - 445,315 (1,932,757) (1,940,137) (7,380) (1,096,108) (1,502,789) (1,510,169) (7,380) (650,793) ($1,556,853) (904,042) $652,811 (214,547) 4,801,418 $3,897,376 5,015,965 $4,801,418 73 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' GENERAL FUND Statement 8 SCHEDULE OF REVENUES- BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Amounts For "The Year Ended December 31, 2000 2001 (Under) 2000 Budget Actual Budget Actual Revenues: Property taxes: Ad valorem $2,958,490 $2,951,106 ($7,384) $2,733,765 Penalties and interest - 3,405 3,405 4,089 Total taxes 2,958,490 2,954,511 (3,979) 2,737,854 Licenses and permits: Licenses 73,500 87,543 14,043 95,118 Pernlits 201,000 205,201 4,201 172,896 Total licenses and permits 274,500 292,744 18,244 268,014 Intergovernmental: Federal grants: Civil defense 5,000 3,323 (1,677) 3,129 Bullet proof vest grant - 1,449 1,449 1,499 Disaster assistance - - - 4,993 State grants: Local government aid 2,385,618 2,385,618 - 2,345,838 Property tax relief 1,004,368 1,004,368 - 1,004,122 PERA increase aid 20,900 20,809 (91) - Law officer training 7,500 10,521 3,021 10,819 Fire training - 900 900 - Police relief association 150,000 151,312 1,312 148,498 Reimbursements - 3,790 3,790 300 County aid: Street maintenance 20,000 20,480 480 20,480 County grant - - - 3,840 School district 43,000 57,449 14,449 14,172 Total intergovernmental 3,636,386 3,660,019 23,633 3,557,690 Charges for services: General government 700 95 (605) 80 Public safety 204,000 194,331 (9,669) 183,825 Public works 16,500 21,821 5,321 33,439 Parks and recreation 168,700 174,245 5,545 182,212 Total charges for services 389,900 390,492 592 399,556 Fines and forfeitures: Public safety 110,000 87,760 (22,240) 90,218 Total fines and forfeitures 110,000 87,760 (22,240) 90,218 Other revenues: Investment income: Interest and dividends 200,000 254,660 54,660 240,612 Change in fair value - 19,113 19,113 101,671 Miscellaneous 5,990 3,906 (2,084) 4,013 Proceeds from sale of assets 4,500 15,430 10,930 14,539 Other refunds 1,500 2,036 536 920 Total other revenues 211,990 295,145 83,155 361,755 Total revenues $7,581,266 $7,680,671 $99,405 $7,415,087 74 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' GENERAL FUND Statement 9 SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Amounts For The Year Ended December 31, 2000 2001 Actual Supplies Over Persona] and Capital (Under) 2000 Budget Services Services Outlay Total Budget Actual Expenditures: General government: Council and manager: Council $205,631 $115,780 $72,465 $1,565 $189,810 ($15,821) $198,582 Manager 391,945 316,213 32,051 - 348,264 (43,681) 355,085 Legal 216,460 - 182,767 1,132 183,899 (32,561) 191,572 Total council and manager 814,036 431,993 287,283 2,697 721,973 (92,063) 745,239 Administrative services: Finance 563,138 477,252 45,701 2,568 525,521 (37,617) 495,968 Elections 6,823 - 887 6,406 7,293 470 42,538 Assessing 145,923 35,836 89,191 - 125,027 (20,896) 129,975 General government buildings 130,000 - 1 ]7,761 - 117,761 (12,239) 157,530 Total administrative services 845,884 5 ] 3,088 253,540 8,974 775,602 (70,282) 826,011 Total general government 1,659,920 945,081 540,823 11,671 1,497,575 (162,345) 1,571,250 Public safety: Police 2,435,085 2,020,586 226,446 2,899 2,249,93] (185,154) 2,132,899 Fire 816,055 744,986 106,339 12,978 864,303 48,248 829,951 Civil defense 32,352 20,853 9,202 - 30,055 (2,297) 29,040 Animal control 16,150 - 11,768 - 11,768 (4,382) 10,455 Total public safety 3,299,642 2,786,425 353,755 15,877 3,156,057 (143,585) 3,002,345 Public works, highways and streets: Engineering 355,083 197,338 48,806 173,302 419,446 64,363 311,891 Streets 642,019 252,794 246,821 35,585 535,200 (106,819) 556,599 Street lighting 124,989 979 112,554 - 113,533 (I 1,456) 119,989 Traffic signs/signals 70,252 37,773 21,146 - 58,919 (11,333) 59,299 Total public works, highways and streets 1,192,343 488,884 429,327 208,887 1,127,098 (65,245) 1,047,778 Other departments: Sanitation 140,006 35,165 59,927 - 95,092 (44,914) 117,806 Parks and recreation 1,343,419 730,716 453,494 10,590 1,194,800 (148,619) 1,239,662 Contingencies - - 3,922 - 3,922 3,922 - Totalotherdepartments ],483,425 765,881 517,343 10,590 1,293,814 (189,611) 1,357,468 Total expenditures $7,635,330 $4,986,271 $1,841,248 $247,025 $7,074,544 ($560,786) $6,978,841 75 CIS 1 t 1 76 ' SPECIAL REVENUE FUNDS Special Revenue Funds are used to account for the proceeds of specific revenue sources which fmance specified activities as required by law or administrative regulation. Municipal State Aid Fund -maintained according to State Statute for maintenance and ' construction of streets or municipal state aid systems. Cable Television Fund - established to account for revenues and expenditures associated with cable television franchise. D.A.R.E. Program Fund -established to account for revenues and expenditures of D.A.R.E. (Drug Awareness) Program. ' Library -established in 1993 to account for revenues and expenditures of the library. Community Development Fund -established to account for revenues and expenditures associated with planning, building inspections and community development projects within the City. Police/Fire Contingences Fund -established to account for future years' expenditures related to police and fire. COPS MORE 96 Grant -established to account for revenues and expenditures associated with a federal grant received for technical service equipment and personnel. Juvenile Justice Grant -established to account for revenues and expenditures associated with the removal of graffiti in the City. Local Law Enforcement Block Grant Fund -established to account for revenues and expenditures associated with a federal grant received for the purchase of equipment to aid in crime prevention. COPS Overtime Grant Fund -established to account for revenues and expenditures associated with a State grant received for payment of overtime wages and the purchase of equipment to aid in crime prevention. 77 COPS School Partnership Grant -established to account for revenues and expenditures associated with a federal grant received to address identified crime problems within the schools. Recreation Contributed Projects Fund -established to monitor contributions for recreational activities and related expenditures. Contributed Projects Fund - established to monitor contributions and related expenditures. Special Projects Fund -established to monitor revenues from special projects and related expenditures. Parking Ramp Fund - established to account for revenues from parking ramp assessments that are to be used for redevelopment. Confiscated Property Fund -established to account for funds from property confiscated by the police department. Housing_Mortga e Fund -established to account for proceeds and expenditures relating to housing mortgage refinancing proceeds which are not restricted for debt service. MIF Medtronics -established to account for proceeds and expenditures related to Minnesota Investment Fund grants. C.H.A.S.E. Fund -established to account for revenues and expenditures associated with a State grant received for community participation in youth enrichment programs. Housing and Redevelopment Authority Fund -established to account for revenues and expenditures associated with the Housing and Redevelopment Authority (component unit). The HRA provides funding for redevelopment in the City. 78 Economic Development Authority - a separate legal entity from the City. The mayor and City Council comprise the majority membership component unit. .Its purpose is economic development in the City. Anoka County CDBG Fund -established to account for revenues and expenditures associated with federal community development block grants and HOME funds. Parkview Villa North Fund -established to account for revenues and expenditures associated with low income federally subsidized senior housing. Economic Development Authority Administration Fund -established to account for revenues and expenditures associated with business development and community redevelopment projects in the City. Parkview Villa South Fund -established to account for revenues and expenditures associated with an EDA owned senior housing complex. Rental Housing Fund -established to account for revenues and expenditures of City-owned rental properties. Section 8 Fund -established to account for revenues and expenditures associated with the administration of Section 8 rental assistance programs within the City. 79 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 2001 With Comparative Actual Totals For December 31, 2000 Municipal Assets Cash and investments Receivables: Accounts Taxes Interest Loans Due from other governmental units Due from other funds Prepayments Real estate held for resale Total assets Liabilities and Fund Balance Liabilities: Accounts payable Accrued salaries and withholdings payable Contracts payable -retained percentage Due to other governmental units Due to other funds Deferred revenue Deposits Insurance and taxes in escrow Total liabilities Fund balance (deficit): Reserved for prepayments Reserved for real estate held for resale Reserved for program expenditures Unreserved: Designated for subsequent years' expenditures Designated for working capital Designated for maintenance Designated for interest rate subsidy Undesignated Total fund balance (deficit) Total liabilities and fund balance State Cable D.A.R.E. Aid Television Program Library $77,003 $359,617 $15,898 $243,943 - 33,616 - - - 4,729 - 1,561 266,701 - - - - - - 3,092 $343,704 $397,962 $15,898 $248,596 $5,079 $5,824 $ - $3,130 24 - - 4,139 10,145 - - - 1,249 - - 2,788 22,320 - - - - - - 3,092 - - - 235,447 304,887 392,138 15,898 304,887 392,138 15,898 238,539 $343,704 $397,962 $15,898 $248,596 80 1 I Statement 10 Page 1 of 2 r Community COPS Juvenile Local Law Cops School Development Police/Fire More 96 Justice Enforcement Partnership ' Fund Contingency Grant Grant Block Grant Grant $38,012 $467,392 $309 - $200 - $38,091 - $ - - - 2,097 - 11,366 S = 343 = _ 1 - _ _ - _ 1,257 - - _ S20 _ $40,109 $478,758 $314 $1,457 $38,434 $S20 $1,427 $ - $ - $ - $1,006 $ - ' 2,226 = _ - - - 31S - S20 _ _ = 26,1 S9 3,653 I 0 0 31S 27,165 S20 - - _ 478,758 _ - - - _ - _ - 36456 - 314 1,142 11,269 - 36,456 478,758 314 1,142 11,269 0 $40,109 $478,758 $314 $1,457 $38,434 $S20 81 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 2001 With Comparative Achial Totals For December 31, 2000 Assets Cash and investments Receivables: Accounts Taxes Interest Loans Due from other governmental units Due from other funds Prepayments Real estate held for resale Total assets Liabilities and Fund Balance Liabilities: Accounts payable Accrued salaries and withholdings payable Contracts payable -retained percentage Due to other governmental units Due to other funds Defen•ed revenue Deposits Insurance and taxes in escrow Total liabilities Fund balance (deficit): Reserved for prepayments Reserved for real estate held for resale Reserved for program expenditures Unreserved: Designated for subsequent years' expenditures Designated for working capital Designated for maintenance Designated for interest rate subsidy Undesignated Total fund balance (deficit) Total liabilities and fund balance Recreation Contributed Contributed Special Parking Projects Projects Projects Ramp $53,221 $34,082 $253,037 $292,030 - - 43,032 - - - 2,905 3,716 - - - 408,027 $53,221 $34,082 $298,974 $703,773 $ - $ - $ - $ - 0 0 0 0 53,221 34,082 298,974 703,773 53,221 34,082 298,974 703,773 $53,221 $34,082 $298,974 $703,773 82 Statement 10 Page 2 of 2 Total Housing and Economic Confiscated Housing Redevelopment Development Totals Property Mortgage C.H.A.S.E. Authority Authority 2001 2000 $10,373 $42,172 $29,140 $504,226 $695,899 $3,154,645 $4,024,490 - - - - 37,914 114,562 54,532 - - - 3,739 1,631 5,370 4,924 537 257 5,720 13,460 46,696 38,641 = 22,104 22,104 72,872 - - 10,933 - 137,057 416,468 117,598 446,352 - - 854,379 854,379 I = _ 3,092 60,618 - - - 21,113 269,539 290,652 276,961 $10,373 $489,061 $40,330 $556,902 $1,155,500 $4,907,968 $5,505,015 $ - $ - $3,122 $ - $86,126 $105,714 $142,463 528 160 7,077 7,120 = = = 10,145 1,613 - - - - 114,248 118,285 89,963 - - 160,702 183,857 641,929 = _ 24,609 269,539 320,307 348,056 - - - - 20,652 20,652 59,392 _ _ _ _ _ _ 149 I 0 0 3,650 24,609 651,427 766,037 1,290,685 - - 3,092 60,618 _ _ _ 21,113 269,539 290,652 276,961 - - - 306,428 350,949 657,377 604,483 - - - - - 478,758 867,856 - - - - - 235,447 222,963 71,191 71,191 707,438 _ _ _ = 25,000 10,373 489,061 36,680 204,752 (187,606) 2,405,414 1,449,011 10,373 489,061 36,680 532,293 504,073 4,141,931 4,214,330 $10,373 $489,061 $40,330 $556,902 $1,155,500 $4,907,968 $5,505,015 83 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Taxes Intergovernmental Fees/program revenues Rents Investment income: Interest and dividends Change in fair value Other revenues: Miscellaneous Contributions Proceeds from sale of assets Total revenues Expenditures: Parks and recreation: Personal services Supplies Other services and charges Capital outlay Other: Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over (under) expenditures Other financing sources (uses): Operating transfers in Operating transfers (out) Total other financing sources (uses) Net increase (decrease) in fiord balance Fund balance (deficit) -January 1 Fund balance -December 31 MuLUCipal State Cable D.A.R.E. Aid Television Program Library $ - $ - $ - $547,767 1,284,820 - - - - 134,502 - 17,725 - 20,977 - 6,922 - 1,574 - 519 - 29,827 - 230 - - 63 - 1,284,820 186,880 63 573,163 45,286 1,828 - 383,086 1,710 1,267 3,288 90,197 150,289 23,185 2,844 71,728 281,903 - - 7,761 479,188 26,280 6,132 552,772 805,632 160,600 (6,069) 20,391 66,042 - 6,000 - (7,179) (104,333) - (8,727) 58,863 (104,333) 6,000 (8,727) 864,445 56,267 (69) 11,664 (559,608) 335,871 15,967 226,875 $304,887 $392,138 $15,898 $238,539 84 Statement 11 Page 1 of 2 Community COPS Juvenile Local Law Cops Cops School Development Police/Fu-e More 96 Justice Enforcement Overtime Partnership Fund Contingency Grant Grant Block Grant Grant Grant r = 111,249 11,330 8,481 32,933 525 50,956 9,300 50,412 23 = 1,520 _ = 698 3,784 2 114 1 _ _ _ _ _ _ _ 9,998 165,445 11,355 8,481 34,567 525 50,956 i - _ _ _ _ - - ~ _ 231,152 _ 111,249 _ - _ 3,210 _ - _ 525 - 23,172 3,851 - 4,550 368 3,548 _ 1,026 1 20,998 922 6,001 713 10,778 2,386 - 9,720 - 28,316 - 15,980 258,387 111,249 15,192 9,579 32,577 525 50,956 (248,389) 54,196 (3,837) (1,098) 1,990 0 0 275,112 - 3,787 1,071 2,522 - - (16,505) (500,000) - - - - - 258,607 (500,000) 3,787 1,071 2,522 0 0 10,218 (445,804) (50) (27) 4,512 - - 26,238 924,562 364 1,169 6,757 - - ,.~ $36,456 $478,758 $314 $1,142 _ $11,269 $0 $0 85 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Taxes Intergovernmental Fees/program revenues Rents Investment income: Interest and dividends Change in fair value Other revenues: Miscellaneous Contributions Proceeds from sale of assets Total revenues Expenditures: Parks and recreation: Personal services Supplies Other services and charges Capital outlay Other: Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over (under) expenditures Other financing sources (uses): Operating transfers in Operating transfers (out) Total other financing sources (uses) Net increase (decrease) in fund balance Fund balance (deficit) -January 1 Fund balance -December 31 Recreation Contributed Contributed Special Parking Projects Projects Projects Ramp $ - $ - $ - $ - - - 127,215 - - - 12,887 16,484 - - 967 1,237 555 - - - 35,420 19,600 - - 35,975 19,600 141,069 17,721 21,108 - - - 2,738 - - - 6,018 - - - - 78 - - - 9,207 25,000 - - 10,708 - - 29,864 19,993 25,000 0 6,111 (393) 116,069 17,721 0 0 0 0 6,111 (393) 116,069 17,721 47,110 34,475 182,905 686,052 $53,221 $34,082 $298,974 $703,773 86 Statement 11 Page 2 of 2 Total Housing and Economic Confiscated Housing MIF Redevelopment Development Totals Property Mortgage Medtronics C.H.A.S.E. Authority Authority 2001 2000 $ _ $ _ $ _ $ _ $94,499 $118,508 $760,774 $716,111 9,275 105,782 12,903 927,610 2,555,864 1,346,385 _ = 14,910 29,828 140 324,320 237,919 _ _ _ _ - 476,353 476,353 464,774 - 2,380 - 1,142 25,374 60,415 207,836 214,277 - 179 - 86 1,904 4,480 15,544 88,400 9,902 23,135 63,649 90,212 = _ _ = 55,083 73,499 _ _ _ _ _ 37,650 37,650 10,087 902 9 559 2 9,275 121,920 164,508 1,648,291 4,497,073 3,241,664 , , - - - 47,298 - - 47,298 33,654 _ _ - 13,779 - - 34,887 29,336 _ _ _ 42,528 - - 45,266 40,508 _ _ _ 2,177 - - 8,195 5,500 _ _ _ _ - 58,720 858,228 935,656 801 - 44,063 154,747 139,662 1,983 = _ _ 4,223 1,129,825 1,457,696 1,604,416 _ _ _ _ _ 215,005 571,779 409,263 2 784 0 0 105,782 4,223 1,447,613 3,178,096 3,197,995 , 7 118 2 559 9,275 16,138 160,285 200,678 1,318,977 43,669 , , _ _ _ _ _ - 354,534 441,308 - - (269,128) - (106,752) (733,286) (1,745,910) (310,722) 0 0 (269,128) 0 (106,752) (733,286) (1,391,376) 130,586 7,118 2,559 (259,853) 16,138 53,533 (532,608) (72,399) 174,255 255 3 486 502 259,853 20,542 478,760 1,036,681 4,214,330 4,040,075 , , 1 $10,373 $489,061 $0 _$36,680 $532,293 $504,073 $4,141,931 $4,214,330 87 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' SPECIAL REVENUE FUND -MUNICIPAL STATE AID STREET FUND Statement 12 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES 1N FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Intergovernmental: State of Minnesota: Maintenance Construction Other revenues: Miscellaneous Total revenues 2001 t Budget $65,000 Over (Under) 2000 Actual Budget Actual Expenditures: Maintenance: Personal services Supplies Other services and charges Capital outlay Construction: Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over (under) expenditures Other financing sources (uses): Operating transfers ul -Construction Operating h•ansfers out -Maintenance Total other fmancuig sources (uses) Net increase (decrease) in fund balance Fund balance (deficit) -January 1 Fund balance (deficit) -December 31 $129,570 $64,570 $131,838 1,155,250 1,155,250 90,679 - - - 1,384 65,000 1,284,820 1,219,820 223,901 15,284 33,145 17,861 22,536 4,000 1,710 (2,290) 2,061 45,600 20,975 (24,625) 14,065 23,500 51,791 28,291 55,219 31,400 12,141 (19,259) 17,609 - - - 804 138,400 129,314 (9,086) 286,403 1,385,000 230,112 (1,154,888) 55,619 1,643,184 479,188 (1,163,996) 454,316 (1,578,184) 805,632 2,383,816 (230,415) - 66,042 66,042 - (664) (7,179) (6,515) (664) 58,863 59,527 0 ($1,578,848) 864,495 $2,443,343 (230,415) (559,608) (329,193) $304,887 ($559,608) ' 1 1 x~ ~ CITY OF COLUMBIA HEIGHTS, MINNESOTA " SPECLAL REVENUE FUND -CABLE TELEVISION FUND Statement 13 STATEMENT OF REVENUES, EXPENDITURES AND ~; CHANGES IN FUND BALANCE -BUDGET AND A CTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 Over (Under) 2000 Budget Actual Budget Actual Revenues: Franchise fees $116,000 $134,502 $18,502 $125,955 Investment income: Interest and dividends 10,000 20,977 10,977 22,176 Change in fair value 1,574 1,574 9,371 Other revenues: Miscellaneous - 29,827 29,827 9,073 ~. Total revenues 126,000 186,880 60,880 166,575 Expenditures: Personal services 6,418 1,828 (4,590) 1,588 Supplies 3,350 1,267 (2,083) 1,783 Other services and charges 45,075 23,185 (21,890) 40,863 Capital outlay 33,223 (33,223) 2,230 Total expenditures 88,066 26,280 (61,786) 46,464 Revenues over expenditures 37,934 160,600 122,666 120,111 Other financing sources (uses): Operating transfers (out} (104,333) (104,333) - (152,401) Net increase (decrease) in fund balance ($66,399) 56,267 $122,666 (32,290) Fund balance -January 1 335,871 368,161 _ Fund balance -December 31 $392,138 $335,871 89 CITY OF COLUMBIA HEIGHTS, MINNESOTA ' SPECIAL REVENUE FUND - D.A.R.E. PROGRAM Statement 14 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Contributions Expenditures: Supplies Other services and charges Total expenditures Revenues over (under) expenditures Other financing sources: Operating transfers in Total other financing sources Net increase (decrease) in fiznd balance Fund balance -January 1 Fund balance -December 31 2001 Over (Under) 2000 Budget Actual Budget Actual $500 $63 ($437) $75 5,850 3,288 (2,562) 3,600 2,975 2,844 (131) 1,438 8,825 6,132 (2,693) 5 038 , (8,325) (6,069) 2,256 (4,963) 6,000 6,000 - 6,000 6,000 6,000 0 6 000 , ($2,325) (69) $2,256 1,037 15,967 14,930 $15,898 $15,967 90 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -LIBRARY FUND Statement 15 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Taxes Charges for services Investment income: Interest and dividends Change ui fair value Other revenues: Miscellaneous Total revenues Expenditures: ' Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over (under) expenditures Other financing sources (uses): Operating ri-ansfers (out) Total other financing sources (uses) Net increase (decrease) in fund balance Fund balance -January 1 Fund balance -December 31 2001 Over (Under) 2000 Budget Actual Budget Actual $547,767 $547,767 $ - $500,244 21,425 17,725 (3,700) 16,097 2,500 6,922 4,422 7,306 - 519 519 3,087 150 230 80 3,974 571,842 573,163 1,321 530,708 386,237 383,086 (3,151) 356,904 93,840 90,197 (3,643) 94,474 89,030 71,728 (17,302) 68,780 19,400 7,761 (11,639) 3,006 588,507 552,772 (35,735) 523,164 (16,665) 20,391 37,056 7,544 (8,727) (8,727) (8,727) ($25,392) (8,727) 11,664 226,875 $238,539 $37,056 (8,362) (8,362) (818) 227,693 $226,875 91 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -COMMUNITY DEVELOPMENT Statement 16 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Intergovernmental Investment income: Interest and dividends Change in fair value Other revenues: Miscellaneous Total revenues Expenditures: Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over (under) expenditures Other financing sources (uses): Operating transfers in Operating transfers (out) Total other financing sources (uses) Net increase (decrease) in fund balance Fund balance -January 1 Fund balance -December 31 2001 Over (Under) 2000 Budget Actual Budget Actual $ - $ - $ - $30,000 - 9,300 9,300 100 - 698 698 42 - - - 10 0 9,998 9,998 30,152 257,804 231,152 (26,652) 222,612 S,23S 3,851 (1,384) 4,971 27,393 20,998 (6,395) 39,773 82S 2,386 1,561 - 291,257 258,387 (32,870) 267,356 (291,257) (248,389) 42,868 (237,204) 275,112 275,112 - 418,772 (16,SOS) (16,SOS) - (8,518) 258,607 258,607 0 410,254 ($32,650) 10,218 $42,868 173,OS0 26,238 (146,812) $36,456 $26,238 92 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND - POLICE/FIRE CONTINGENCY Statement 17 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Intergovernmental $111,249 $113,532 Investment income: Interest and dividends 50,412 52,323 Change in fair value 3,784 22,109 Total revenues 165,445 187,964 Expenditures: Personal services Revenues over expenditures 111,249 54,196 Other financing sources (uses): Operating transfers out Net increase (decrease) in fund balance Fund balance -January 1 Fund balance -December 31 500,000 (445,804) 924,562 $478,758 114,364 73,600 73,600 850,962 $924,562 93 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -COPS MORE 96 Statement 18 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Intergovernmental: Federal grant $11,330 $21,798 Investment income: Interest and dividends 23 256 Change in fair value 2 108 Total revenues 11,355 22,162 Expenditures: Personal services - 36,422 Supplies 4,550 - Other services and charges 922 _ Capital outlay 9,720 - Total expenditures 15,192 36,422 Revenues over (under) expendihu~es (3,837) (14,260) Other financing sources: Operating transfers in 3,787 11,284 Net increase (decrease) in fiord balance (50) (2,976) Fund balance -January 1 364 3,340 Fund balance -December 31 $314 $364 94 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -JUVENILE JUSTICE GRANT Statement 19 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Intergovernmental: State grant $8,481 $12,301 Expenditures: Personal services Supplies Other services and charges Total expenditures Revenues over (under) expenditures ,~, Other financing sources: Operating h•ansfers in Net increase (decrease) in fund balance Fund balance -January 1 Fund balance -December 31 3,210 368 6,001 9,579 (1,098) 1.071 (27) 1,169 $1,142 $1,169 6,112 1,308 6,041 13,461 (1,160) 1,097 (63) 1,232 95 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL KEVENUE FUND -LOCAL LAW ENFORCEMENT BLOCK GRANT Statement 20 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Intergovenunental: Federal grant $32,933 $23,618 Investment income: Interest and dividends 1,520 1,910 Change in fair value 114 807 Total revenues 34,567 26,335 Expenditures: Supplies 3,548 12,819 Other services and charges 713 863 Capital outlay 28,316 6,958 Total expenditures 32,577 20,640 Revenues over expenditures 1,990 5,695 Other financing sources: Operating transfers in 2 522 2 398 Net increase in fund balance 4,512 8,093 Fund balance (deficit) -January 1 6,757 (1,336) Fund balance -December 31 $11,269 $6,757 96 1 1 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -COPS OVERTIME GRANT Statement 21 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Intergovernmental: State grant $525 $8,636 Expenditures: Personal services Revenues over (under) expenditures Other fmancing sources: Operating transfers in Net increase in fund balance Fund balance (deficit) -January 1 Fund balance -December 31 525 0 $0 9,475 (839) 1,757 918 (918) $0 97 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -COPS SCHOOL PARTNERSHIP GRANT Statement 22 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Intergovernmental: Federal grant Expenditures: Personal services Supplies Other services and charges Capital outlay Total expendihires Revenues over expenditures Fund balance -January 1 Fund balance -December 31 2001 2000 $50,956 $34,679 23,172 1,026 10,778 15,980 50,956 $0 11,103 30 5,320 18,226 34,679 $0 98 ~~ CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -RECREATION CONTRIBUTED PROJECTS Statement 23 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Contributions $35,420 $43,528 Miscellaneous 555 - Total revenues 35,975 43,528 Expenditures: Supplies Other services and charges Capital outlay Total expenditures Net increase in fund balance ~~ Fund balance -January 1 Fund balance -December 31 r 21,108 2,738 6,018 29.864 6,111 47,110 $53,221 25,130 10,509 5,500 41,139 2,389 44,721 $47,110 99 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -CONTRIBUTED PROJECTS Statement 24 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Contributions $19,600 $29,896 Expenditures: Supplies 78 617 Other services and charges 9,207 2,157 Capital outlay 10,708 - Total expenditures 19,993 2,774 Revenues over (under) expenditures (393) 27,122 Other fmancing sources (uses): Operating transfers (out) - (13,750) Net increase (decrease) in fund balance (393) 13,372 Fund balance -January 1 34,475 21,103 Fund balance -December 31 $34,082 $34,475 100 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -SPECIAL PROJECTS Statement 25 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Fees/program revenue Investment income: Interest and dividends Change in fair value Total revenues Expenditures: Other services and charges Net increase in fund balance Fund balance -January 1 Fund balance -December 31 r 2001 2000 $127,215 $61,486 12,887 11,233 967 4,746 141,069 77,465 25,000 49,132 116,069 28,333 182,905 154,572 $298,974 $182,905 101 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -PARKING RAMP Statement 26 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Investment income: Interest and dividends $16,484 $16,369 Change in fair value 1,237 6,917 Total revenues 17,721 23,286 Expenditures - - Net increase in fund balance 17,721 23,286 Fund balance -January 1 686,052 662,766 Fund balance -December 31 $703,773 $686,052 102 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -CONFISCATED PROPERTY Statement 27 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Other revenue: Confiscated property $9,902 $4,095 Expenditures: Supplies 801 8S4 ' Other services and charges 1,983 SS Total expendit<lres 2,784 909 ' Net increase in fund balance 7,118 3,186 Fund balance -January 1 3,255 69 Fund balance -December 31 $10,373 $3,255 103 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -HOUSING MORTGAGE Statement 28 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Investment income: Interest and dividends $2,380 $1,915 Change in fair value 179 809 Other revenues: Miscellaneous - 11,432 Total revenues 2,559 14,156 Expenditures _ _ Net increase in fund balance 2,559 14,156 Fund balance -January 1 486,502 472,346 Fund balance -December 31 $489,061 $486,502 104 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND - MIF MEDTRONICS Statement 29 STATEMENT OF REVENUES, EXPENDITURES AND ' CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Intergovernmental: State grant Investment income: $9,275 $ - Interest and dividends - 12,937 Change in fair value - 5,467 Total revenues 9,275 18,404 Expenditures: - - Revenues over expenditures 9,275 18,404 Other financing sources (uses): ' Operating transfers (out) (269,128) Net increase decrease in fund balance (259,853) 18,404 Fund balance -January 1 259,853 241,449 ' Fund balance -December 31 $0 $259,853 r ' 105 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND - C .H .A .S .E . Statement 30 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ende-d December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 2000 Revenues: Intergovernmental: State grant $105,782 $70,875 Fees/program revenue 14,910 13,095 Investment income: Interest and dividends 1,142 761 Change in fair value 86 320 Total revenues 121,920 85,051 Expenditures: Personal services 47,298 33,654 Supplies 13,779 4,206 Other services and charges 42,528 29,999 Capital outlay 2,177 - Total expenditures 105,782 67,859 Net increase in fund balance 16,138 17,192 Fund balance -January 1 20,542 3,350 Fund balance -December 31 $36,680 $20,542 106 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -HOUSING AND REDEVEL OPMENT AUTH ORITY (COMPONENT UNIT) Statement 31 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTU AL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 Over (Under) 2000 Budget Actual Budget Actual Revenues: Taxes $94,752 $94,499 ($253) $95,643 Intergovernmental 12,000 12,903 903 12,903 Fees/program revenues 20,399 29,828 9,429 21,251 Investment income: Interest and dividends - 25,374 25,374 30,235 Change in fair value - 1,904 1,904 10,932 Total revenues 127,151 164,508 37,357 170,964 Expenditures: Personal services 135 Supplies - - - 363 Other services and charges - 4,223 4,223 462 ' Total expenditures 0 4,223 4,223 960 Revenues over expenditures 127,151 160,285 33,134 170,004 ' Other financing sources (uses): Operating transfers (out) (106,752) (106,752) - (93,618) Net increase in fund balance $20,399 53,533 $33,134 76,386 Fund balance -January 1 478,760 402,374 Fund balance -December 31 $532,293 $478,760 107 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUNDS -ECONOMIC DEVELOPMENT AUTHORITY (COMPONENT UNIT) COMBINING BALANCE SHEET December 31, 2001 With Comparative-Actual Totals For December 31, 2000 Assets Cash and investments Receivables: Accounts Taxes Interest Due from other governmental units Real estate held for resale Total assets Liabilities and Fund Balance Liabilities: Accounts payable Accrued salaries and withholdings payable Due to other governmental units Due to other funds Defen-ed revenue Deposits Total liabilities Fund balance (deficit): Reserved for real estate held for resale Reserved for program expenditures Um-eserved: Designated for maintenance Undesignated Total fund balance (deficit) Total liabilities and fund balance Economic Anoka Parkview Development County Villa Authority CDBG North Admin $ - 37,000 118,057 269,539 $424,596 $395,586 654 3,918 $400,158 $172,403 1,631 19,000 $1,590 31 35,000 104,129 269,539 1, 000 411,289 269,539 (256,232) 13,307 $424,596 108 $30,814 19,247 11,735 61.796 338,362 338,362 $400,158 $193,034 $41,414 129 41,543 12,587 13 8, 904 151,491 $193,034 Statement 32 Parkview Villa Rental Totals South Housing Section 8 2001 2000 $93,894 $34,016 $ - $695,899 $1,169,124 ' 260 - - 37,914 22,119 - - - 1,631 1,282 ' 9,1 S6 386 = 13,460 10,353 137,087 38,384 - - - 269,539 231,848 $103,310 $34,402 $0 $1,188,800 $1,470,080 ' $11,928 $380 $ - $86 126 $38 787 - - - 160 133 13,706 1,460 44,835 114,248 68,829 S6,S73 160,702 77,705 - - - 269,539 231,883 ' 6,485 1,432 - 20,652 19,392 32,119 3,272 101,408 6S 1,427 433,399 - - - 269,539 231,848 - - - 350,949 298,088 ' 71,191 - - 71,191 707,438 - 31,130 (101,408) (187,606) (200,660) 71,191 31,130 (101,408) 504,073 1,036,681 i $103,310 $34,402 $0 $1,188,800 $1,470,080 109 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUNDS -ECONOMIC DEVELOPMENT AUTHORITY (COMPONENT UNIT) COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 Anoka County CDBG Parkview Villa North Economic Development Authority Admire Revenues: Taxes $ _ Intergovernmental revenue 490,829 Fees/program revenues - Rents _ Investment income: Interest and dividends - Change in fair value - Other revenues: Miscellaneous 196 Proceeds from sale of assets 37,650 Total revenues 528,675 Expenditures: Personal services 12,877 Supplies 3 gg Other services and charges 53,644 Loans and grants 241,100 Capital outlay 191,270 Total expenditures 499,279 Revenues over (under) expenditures 29,396 Other financing sources (uses): Operating transfers (out) - Total other financing sources (uses) 0 Net increase (decrease) in fund balance 29,396 Fund balance (deficit) -January 1 (16,089) Fund balance (deficit) -December 31 $13,307 $ - 98,791 266,979 17,376 1,304 4,999 $118,508 335,350 140 15,986 389,449 469,984 10,335 27,200 273,412 18,273 329,220 60,229 31,403 649 60,710 335,350 568 428,680 41,304 (7,335) (22,281) (7,335) (22,281) 52,894 19,023 285,468 132,468 $338,362 $151,491 110 Statement 33 Parkview Villa South $ 191,640 ' 40,612 3,048 ' 1,616 ' 236,916 2,768 15,479 146,352 4,894 169,493 ' 67,423 (703,670) (703,670) (636,247) ' 707,438 $71,191 Rental Housing 17,734 1,711 128 298 19,871 351 347 10,764 11,462 8,409 0 8,409 22,721 $31,130 Section 8 $ - 2,640 716 40 3,396 986 8,493 9,479 (6,083) 0 (6,083) (95,325) ($101,408) 111 2001 $118,508 927,610 140 476,353 60,415 4,480 23,135 37,650 1,648,291 58,720 44,063 553,375 576,450 215,005 1,447, 613 200,678 (733,286) (733,286) (532,608) 1,036,681 $504,073 Totals 2000 $120,224 795,526 35 464,774 56,756 23,685 60,244 10,087 1,531,331 136,796 15,978 649,200 439,864 268,005 1,509, 843 21,488 (34,073) (34,073) (12,585) 1,049,266 $1,036,681 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -ECONOMIC DEVELOPMENT AUTHORITY - Statement 34 ANOKA COUNTY CDBG -STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 Revenues: Intergovernmental revenue Other revenues: Miscellaneous Proceeds from sale of assets Total revenues Budget $249,011 249,011 Over (Under) 2000 Actual Budget Actual $490,829 $241,818 $126,952 196 196 - 37,650 37,650 - 528,675 279,664 126,952 Expenditures: Personal services Supplies Other services and charges Loans and grants Capital outlay Total expendihires Revenues over (under) expenditures Other financing sources (uses): Operating transfers (out) Total other financing sources (uses) Net increase (decrease) in fund balance Fund balance (deficit) -January 1 Fund balance (deficit) -December 31 15,750 26,283 86,846 120,132 249,011 0 0 12,877 (2,873) 21,616 388 388 1,400 53,644 27,361 138,303 241,100 154,254 - 191,270 71,138 - 499,279 250,268 161,319 29,396 29,396 (34,367) (4,259) 0 0 (4,259) 29,396 $29,396 (38,626) (16,089) 22,537 $13,307 ($16,089) 112 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -ECONOMIC DEVELOPMENT AUTHORITY- Statement 35 PARKVIEW VILLA NORTH -STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 ' With Comparative Actual Totals For The Year Ended December 31, 2000 Revenues: Intergovernmental revenue Rents Investment income: Interest and dividends Change in fair value 1 Other Total revenues ' Expenditures: Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over (under) expenditures Other financing sources (uses): Operating transfers (out) Net increase (decrease) in fund balance ' Fund balance -January 1 Fund balance -December 31 2001 Over (Under) 2000 Budget Actual Budget Actual $50,000 $98,791 $48,791 $303,235 267,592 266,979 (613) 252,744 12,000 17,376 5,376 13,929 - 1,304 1,304 5,886 4,000 4,999 999 3,966 333,592 389,449 55,857 579,760 18,059 10,335 (7,724) 20,470 31,174 27,200 (3,974) 9,740 276,314 273,412 (2,902) 261,925 16,670 18,273 1,603 268,005 342,217 329,220 (12,997) 560,140 (8,625) 60,229 68,854 19,620 (7,335) (7,335) - (8,518) ($15,960) 52,894 $68,854 11,102 285,468 $338,362 274,366 $285,468 113 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -ECONOMIC DEVELOPMENT AUTHORITY - Statement 36 EDA ADMINISTRATION -STATEMENT OF REVENUES, EXPENDITt_)I2_ES AND CHANGES 1N FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 Over (Under) 2000 Budget Actual Budget Actual Revenues: Taxes $119,295 $118,508 ($787) $120,224 Intergovernmental revenue - 335,350 335,350 - Fees/program revenues - 140 140 35 Other revenues: Miscellaneous - 15,986 15,986 25,231 Total revenues 119,295 469,984 350,689 145,490 Expenditures: Personal services Supplies Other services and charges Loans and grants Capital outlay Total expenditures Revenues over expenditures Other financing sources (uses): Operating transfers (out) Net increase in fund balance Fund balance -January 1 Fund balance -December 31 57,937 31,403 (26,534) 35,811 2,995 649 (2,346) 341 35,007 60,710 25,703 72,083 - 335,350 335,350 4,760 825 568 (257) - 96,764 428,680 331,916 112,995 22,531 41,304 18,773 32,495 (22,281) (22,281) - (6,389) $250 19,023 $18,773 26,106 132,468 $151,491 106,362 $132,468 114 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -ECONOMIC DEVELOPMENT AUTHORITY - Statement 37 PARKVIEW VILLA SOUTH -STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 Revenues: Rents Investment income: ' Interest and dividends Change in fair value Other ' Total revenues Expenditures: Personal services Supplies Other services and charges Capital outlay Total expenditures Revenues over expenditures r Other financing sources (uses): Operating transfers (out) ' Net increase (decrease) in fund balance Fund balance -January 1 Fund balance -December 31 Over (Under) 2000 Budget Actual Budget Actual $180,262 $191,640 $11,378 $194,417 35,000 40,612 5,612 42,124 - 3,048 3,048 17,799 2,000 1,616 (384) 1,454 217,262 236,916 19,654 255,794 9,029 2,768 (6,261) 1,574 9,417 15,479 6,062 3,570 138,994 146,352 7,358 140,810 335 4,894 4,559 - 157,775 169,493 11,718 145,954 59,487 67,423 7,936 109,840 (703,670) (703,670) - (4,259) ($644,183) (636,247) $7,936 105,581 707,438 $71,191 601,857 $707,438 115 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -ECONOMIC DEVELOPMENT AUTHORITY - Statement 38 RENTAL HOUSING -STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 2001 Over (Under) 2000 Budget Actual Budget Achial Revenues: Rents $15,650 $17,734 $2,084 $17,613 Investment income: Interest and dividends 600 1,711 1,111 - Change in fair value - 128 128 - Other revenue: Miscellaneous - 298 298 419 Proceeds from sale of assets - - - 10,087 Total revenues 16,250 19,871 3,621 28,119 Expenditures: Personal services - 351 351 303 Supplies 3,839 347 (3,492) 564 Other services and charges 12,411 10,764 (1,647) 14,331 Total expenditures 16,250 11,462 (4,788) 15,198 Net increase in fund balance $0 8,409 $8,409 12,921 Fund balance -January 1 22,721 9,800 Fund balance -December 31 $31,130 $22,721 116 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL REVENUE FUND -ECONOMIC DEVELOPMENT AUTHORITY - Statement 39 SECTION 8 HOUSING ' STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Actual Totals For The Year Ended December 31, 2000 ' 2001 2000 Revenues: Intergovernmental revenue $2,640 $365,339 Investment income: Interest and dividends 716 703 Other 40 29,174 Total revenues 3,396 395,216 ' Expenditures: Personal services 986 57,022 Supplies - 363 ' Other services and charges 8,493 21,748 Loans and grants - 435,104 Total expenditures 9,479 514,237 Revenues over (under) expenditures (6,083) (119,021) Other fmancing sources (uses): Operating transfers (out) (10,648) Net increase (decrease) in fiord balance (6,083) (129,669) Fund balance (deficit) -January 1 (95,325) 34,344 Fund balance (deficit) -December 31 ($101,408) ($95,325) 117 i~ c~ 118 , DEBT SERVICE FUNDS The Debt Service Funds are used to account for the collection of tax levies and other revenues and to record the payment and interest on outstanding General Obligation Bonds. Tax Increment Bonds Funds - a separate fund is used to account for each separate Tax 1 Increment Bond Issue revenues and expenditures. These bonds are repaid primarily from tax increments. Special Assessment Improvement Bonds -are repaid primarily from special assessments. 119 CITY OF COLUMBIA HEIGHTS, MINNESOTA DEBT SERVICE FUNDS COMBINING BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Statement 40 Tax Increment Tax Refunding Multi-Use G.O. Increment Bonds Redevelopment Improvement Totals Bonds of 1991 Plan 1999A 2001 2000 Assets Cash and investments $1,889,701 $ - $ - $722,485 $2,612,186 $2,396,130 Receivables: Taxes: Uru-emitted 9,371 - 46 - 9,417 72,822 Delinquent 10,781 - - - 10,781 5,141 Interest 18,226 - - 8,100 26,326 14,793 Due from other fiords 57,706 - - - 57,706 70,417 Total assets $1,985,785 $0 $46 $730,585 $2,716,416 $2,559,303 Liabilities and Fund Balance Liabilities: Accounts payable $82,835 $ - $ - $ - $82,835 $83,035 Due to other funds 854,379 - 57,705 - 912,084 924,796 Deferred revenue: Property taxes -delinquent 10,781 - - - 10,781 5,141 Total liabilities 947,995 0 57,705 0 1,005,700 1,012,972 Fund balance (deficit): Unreserved: Designated for debt service 1,037,790 - - 730,585 1,768,375 1,615,696 Undesignated - - (57,659) - (57,659) (69,365) Total fund balance (deficit) 1,037,790 0 (57,659) 730,585 1,710,716 1,546,331 Total liabilities and fund balance $1,985,785 $0 $46 $730,585 $2,716,416 $2,559,303 120 CITY OF COLUMBIA HEIGHTS, MINNESOTA DEBT SERVICE FUNDS Statement 41 COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 ' With Comparative Totals For The Year Ended December 31, 2000 Tax Tax Increment Multi-Use G.O. Increment Refunding Redevelopment Improvement Bonds Bonds of 1991 Plan 1999A Totals 2001 2000 Revenues: ' Tax increments $1,133,055 $ $29,857 $ $1,162,912 $1,355,993 Intergovernmental - - - - - 300,352 Investment income: Interest and dividends 80,845 = = 35,926 116,771 80,095 Change in fair value 6,068 2,696 8,764 33,844 Total revenues 1,219,968 0 29,857 38,622 1,288,447 1,770,284 Expenditures: Debt service: Principal retirement - 860,000 - 50,000 910,000 900,000 Interest and fiscal charges 750 38,020 33,038 71,808 130,677 Miscellaneous 181,234 - 18,151 - 199,385 203,046 Total expenditures 181,984 898,020 18,151 83,038 1,181,193 1,233,723 Revenues over (under) expenditures 1,037,984 (898,020) 11,706 (44,416) 107,254 536,561 Other financing sources (uses): Operating ri-ansfers in 750 898,020 102,589 1,001,359 1,242,509 Operating transfers (out) (944,228) - - - (944,228) (1,042,118) Total other financing sources (uses) (943,478) 898,020 0 102,589 57,131 200,391 Net increase in fund balance 94,506 - 11,706 58,173 164,385 736,952 Fund balance (deficit) -January 1 943,284 - (69,365) 672,412 1,546,331 809,379 Fund balance (deficit) -December 31 $1,037,790 $0 ($57,659) $730,585 $1,710,716 $1,546,331 121 ~l ca 1 1 122 ' CAPITAL PROJECT FUNDS Capital Project Funds are maintained to account for the construction of major capital facilities. Project funding consists of a combination of several revenue sources, such as municipal State Aid streets, special assessments, Sewer Utility Fund, other governmental units, State and Federal grants, etc. Ca ital Im rovement Fund 401 -used to account f r p p o Capital Project Funds whereby ' funding is provided by a number of internal and external sources. Downtown Parking Maintenance Fund 405 -used for maintenance of the West Side Parking. TIF District #2 Fund 407 -used to account for revenues and expenditures located within the Tax Increment Financing District #2. Sheffield Redevelopment Fund 410 -used to fund redevelopment of the area of the City identified as Sheffield Neighborhood. Capital Improvement General Government Buildings Fund 411 -used to account for improvements to municipal buildings -library, municipal garage, and City Hall. Capital Improvement Parks Fund 412 -used to account for capital improvements in City r parks. EDA Capital Improvement PVVS Fund 414 -used to account for improvements to Parkview Villa South building. Capital Improvement Projects Fund 415 -used to account for projects that will be fully assessed to affected properties. Infrastructure ReLlacement Fund 430 -used to fund replacement of City infrastructure. Capital Equipment Replacement Fund 431 -used to fund replacement of fixed assets as ' needed. Capital Equipment Fire Fund 439 -used to fund replacement of fire fixed assets. 123 CITY OF COLUMBIA HEIGHTS, MINNESOTA CAPITAL PROJECT FUNDS COMBINING BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Assets Cash and investments Receivables: Special assessments: Unremitted Delinquent Deferred Interest Loans Due from other governmental units Due from other funds Real estate held for resale Total assets Liabilities and Fund Balance Liabilities: Accounts payable Accrued salaries and withholdings payable Contracts payable -retained percentage Due to other governmental units Due to other funds Deferred revenue Deposits Total liabilities Fund balance (deficit): Reserved for real estate held for resale Unreserved: Designated for subsequent years' expenditures Designated for capital improvement Undesignated Total fund balance (deficit) Total liabilities and fund balance Capital Improvement Downtown General Capital Parking TIF Sheffield Government Improvement Maintenance District #2 Redevelopment Buildings Fund 401 Fund 405 Fund 407 Fund 410 Fund 411 $47,642 $28,895 $ - $560,560 $1,556,572 - 372 - - 2,758 $47,642 $29,267 $0 $560,560 $1,559,330 $6,390 16 3,897 10,303 $70 $ - $ - $31,854 - - - 14 - 2,243 689,720 - 70 2,243 689,720 31,868 - - - - ],527,462 37,339 29,197 (2,243) (129,160) - 37,339 29,197 (2,243) (129,160) 1,527,462 $47,642 $29,267 $0 $560,560 $1,559,330 1.24 Statement 42 EDA Capital Capita] Capital Capital Capital Improvement Improvement Improvement Infrastructure Equipment Equipment Parks PVVS Projects Replacement Replacement Fire Totals Fund 412 Fund 414 Fund 415 Fund 430 Fund 431 Fund 439 2001 2000 $702,778 $702,938 $ - $462,474 $3,607,679 $687,704 $8,357,242 $4,352,372 - - 2,720 - - - 2,720 3,363 - - 80,905 - - - 80,905 84,483 - - 737,537 - - - 737,537 636,992 9,951 780 8,720 45,571 8,384 76,536 56,103 - - - - - - - 2,501 - - - - - - - 700,379 _ _ = 22,320 389,608 = 411,928 1,100,297 44,600 $712,729 $703,718 $821,162 $493,514 $4,042,858 $696,088 $9,666,868 $6,981,090 $ - $ - $5,887 $2,993 $ - $1,780 $48,974 $64,662 - - 2,373 - - - 2,389 1,806 - - 24,958 - - - 28,869 58,806 - 25,284 - - 387,365 - - - 1,079,328 1,330,202 - - 818,443 - - - 818,443 721,475 - - - - - - - 5,000 0 0 1,239,026 2,993 0 1,780 1,978,003 2,207,235 - - - - - - - 44,600 - - - - - - - 69,932 , 225,115 703,718 - - 500,000 694,308 3,650,603 1,060,327 ~ 487,614 (417,864) 490,521 3,542,858 4,038,262 3,598,996 712,729 703,718 (417,864) 490,521 4,042,858 694,308 7,688,865 4,773,855 ~ $712,729 $703,718_ $821,162 $493,514 $4,042,858 $696,088_ $9,666,868 $6,981,090 125 CITY OF COLUMBIA HEIGHTS, DIINNESOTA CAPITAL PROJECT FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 With Comparative Totals For The Ycar Ended December 31, 2000 Capital Improvement Downtown General Capital Parking TIF Sheffield Government Improvement Maintenance District #2 Redevelopment Buildings Fund 401 Fund 405 Fund 407 Fund 410 Fund 411 Revenues: Special assessments $ - $ - $ - $ - $ - lntergovenunenta] - - - - - Investment income: Interest and dividends - ],648 - - 12,234 Chance in fair value - 124 - - 918 Other revenues: Miscellaneous Project reimbursement Proceeds from sale of land Total revenues 85,368 - 85,368 1,772 - 6,114 - 0 6, 114 13,152 Expenditures: roject expenditures Other 10,733 801 - 37,457 151,929 p Revenue over (under) expenditures 74,635 971 0 (31,343) (138,777) Other financing sources (uses): Operating transfers in 29,509 - - 140,210 1,634,980 Operating transfers (out) (65,220) - - - - Total other financing sources (uses) (35,711) 0 0 140,210 1,634,980 Net increase (decrease) in fund balance 38,924 971 0 108,867 1,496,203 Fund ba]ance (deficit) -January 1 (1,585) 28,226 (2,243) (238,027) 31,259 Fund balance (deficit) -December 31 $37,339 $29,197 ($2,243) ($129,160) $1,527,462 126 Statement 43 EDA Capital Capital Capital Capital Capita] Improvement Improvement Improvement Infrastructure Equipment Equipment Parks PVVS Projects Replacement Replacement Fire Totals Fund 412 Fund 414 Fund 415 Fund 430 Fund 431 Fund 439 2001 2000 $ _ $ _ $628,222 $ $ $ $628,222 $448,199 381,767 _ _ _ 381,767 890,379 44,138 3,458 38,678 202,131 37,188 339,475 303,920 ' 3,313 260 = 2,903 15,171 2,791 25,480 128,355 - - 36,906 - - - 36,906 28,981 2,000 = 1,161,694 = _ 1,255,176 959,738 = 6,000 49,451 3,718 2,208,589 41,581 217,302 39,979 2,667,026 2,765,572 168,416 - 1,814,273 225,651 259,780 46,050 2,715,090 2,627,826 (118,965) 3,718 394,316 (184,070) (42,478) (6,071) (48,064) 137,746 - 700,000 - - 650,000 - 3,154,699 794,056 - - (126,405) - - - (191,625) (254,029) ' 0 700,000 (126,405) 0 650,000 0 2,963,074 540,027 (118,965) 703,718 267,911 (184,070) 607,522 (6,071) 2,915,010 677,773 831,694 - (685,775) 674,591 3,435,336 700,379 4,773,855 4,096,082 $712,729 $703,718 ($417,864) $490,521 $4,042,858 $694,308 $7,688,865 $4,773,855 127 r-, J c~ ~; 1 128 ' ri ' ENTERPRISE FUNDS The authority for these types of funds is derived from Section 69(b) of the City Charter ,~ which allows for Utility or other Public Service Enterprise Funds. The Enterprise Funds are a member of the Proprietary Fund Type category, and, as such, ' are accounted for on the accrual basis of accounting. Revenues in the Enterprise Funds are recognized when they are earned and expenses are recognized when they are incurred. i" The Enterprise Funds are used to account for operations that are either financed and operated in a manner similar to private business enterprises or where the governing body has decided that periodic determination of revenues earned, expenses incurred, and/or net income is appropriate for capital maintenance, public policy, management control, accountability, or other purposes. Water Utility Fund -used to account for revenues and expenses associated with services to area residents. Sewer Utility Fund -used to account for revenues and expenses associated with sewer disposal within the City. Refuse Utility Fund -used to account for revenues and expenses associated with organized collection of refuse and recycling in the City. ' Storm Sewer Utility Fund -used to account for revenues and expenses associated with storm water disposal. ' Li uor Fund -used to account for revenues and ex enses associated with the o eration of q p p ' three off-sale liquor stores. 129 CITY OF COLUMBIA HEIGHTS, MINNESOTA ENTERPRISE FUNDS COMBINING BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Assets Water Sewer Current assets: Cash and cash equivalents Receivables: Accounts Interest Due from other governmental units, current portion Due from other funds Prepayments Inventory, at cost Total current assets Lonb term assets: Due from other govenunental units, net of current portion Fixed assets: Land Buildings Improvements other than buildings Machinery and equipment Construction in process Total fixed assets Less: accumulated depreciation Net fixed assets Total assets Liabilities and Fund Equity Current liabilities: Accounts payable Accrued salaries and withholdings payable Contracts payable -retained percentage Due to other governmental units Due to other funds Accrued interest payable Deposits Total current liabilities Long-term liabilities (net of current portion): Bonds payable Total liabilities Fund equity: Contributed capital: Municipal funds Property owners/customers Federal funds Total contributed capital Retained earnings: Reserved for capital improvements Unreserved Total retained earnings Total fund equity Total liabilities and fund equity $322,790 285,538 11,656 490,335 4,708 1,115,027 45,223 462,288 5,381,373 330,376 21,377 6,240,637 2,244,524 3,996,1 13 $5, 111,140 $2,649 14,253 155,719 490,335 15,741 3,744 682,441 953,446 1,635,887 4,198 167,161 453,000 624,359 281,387 2,569,507 2,850,894 3,475,253 $5, 111,140 S2,588,726 272,205 29,099 7,999 551,563 3,449,592 220,962 36,586 57,942 3,976,079 570,097 1,456 4,642,160 2,672,143 1,970,017 $5,640,571 $778 13,214 597 14,589 36,173 50,762 4,198 356,657 360,855 2,014,889 3,214,065 5,228,954 5,589,809 $5,640,571 Ir-- L L 130 Statement 44 ' 't'otals Refuse Storm Sewer Liquor 2001 2000 $610,125 $85,683 S1,575,193 $5,182,517 $5,374,255 283,646 36,217 - 877,606 908,097 9,762 6,541 21,236 78,294 60,404 17,762 1,612 27,373 6,312 - - 169,000 1,210,898 859,908 _ _ - - 15,865 ' 902,315 907,023 663,151 921,295 128,441 2,669,356 8,283,711 7,887,992 - - - 220,962 241,038 - - 4,360 86,169 86,169 6,000 - 181,631 707, 861 707,861 14,456 675,867 103,409 10,151,184 8,046,533 107,681 - 370,187 1,378,341 1,330,987 - 270,917 293,750 1,738,836 128,137 946,784 659,587 12,617,305 11,910,386 41,717 19,664 568,613 5,546,661 5,208,875 86,420 927,120 90,974 7,070,644 6,701,511 $1,007,715 $1,055,561 $2,760,330 $15,575,317 $14,830,541 $102,194 $1,325 $127,578 = 12 40,630 - - 67,787 ' = 30,843 = 13,792 102, 194 102,194 0 905,521 905,521 905,521 $1,007,7]5 45,972 835,381 881,353 0 341,064 (166,856) 174,208 ] 74,208 $1,055,561 235,995 235,995 0 25,489 2,498,846 2,524,335 2,524,335 $2,760,330 131 $234,524 68,109 223,506 521,178 30,130 3,744 1,081,191 1,825,000 2,906,191 8,396 523,818 453,000 985,214 2,662,829 9,021,083 11,683,912 12,669,126 $15,575,317 $315,933 94,712 131,341 112,184 101,124 31,763 3,744 790,801 1,935,000 2,725,801 8,396 589,047 453,000 1,050,443 3,868,083 7,186,214 11,054,297 12,104,740 $14,830, 541 CITY OF COLUMBIA HEIGHTS, MINNESOTA ENTERPRISE FUNDS COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Water Operating revenues: Charges for services: Customer services Penalties Sewer service charges Refuse service charges Storm sewer service charges Charges for sales: Water Meter Liquor Beer Wine Other Total operating revenues Operating expenses: Cost of sales and services Distribution Administration Recycling Hazardous waste Cost of goods sold Operating expense Depreciation Total operating expenses Net income (loss) from operations Nonoperating revenues (expenses): Investment income: Interest and dividends Change in fair value Intergovernmental Miscellaneous revenues Interest and fiscal charges Miscellaneous expenses Total nonoperating revenues (expenses) Net income before operating transfers Operating transfers: Operating transfers in Operating transfers (out) Total operating transfers Net income (loss) Credit for depreciation on contributed assets Retained earnings -January 1 Retained earnings -December 3 ] $25,913 3],118 1,311,179 80,273 1,448,483 983,112 424, 114 7,779 163,622 1,578,627 (13 0,144) 51,701 3,880 31 (38,203) (1,987) 15,422 (114,722) 1,765,241 (1,881,925) (116,684) (231,406) 26,294 3,056,006 $2,850,894 Sewer S - 1,215,330 1,215,330 660,588 271,009 11,479 132,444 1,075,520 139.810 131,525 9,686 3,327 3 8,041 (1,450) (9,132) 171,997 311,807 352,074 (199,090) 152,984 464,791 38,935 4,725,228 $5,228,954 132 ' Refuse $ - ' 1,237,355 ' 1,237,355 1,229,432 11,391 16,115 2,670 12,238 1,271, 846 (34,491) 43,300 3,250 54,963 1, 843 103,356 68,865 ' (166,960) (166,960) ' (98,095) 1,003,616 $905,521 1 Statement 45 Storm Sewer $ - 172,654 172,654 73,139 13,989 87,128 ss,s26 29,009 2,178 (33,473) (2,286) 83,240 517,291 (517,291) 0 83,240 90,968 $174,208 Liquor $ - 2,023,135 3,504,000 645,396 623,853 6,796,384 5,267,398 1,048,677 20,732 6,336,807 459,577 94,196 7,069 8,014 (10,000) 99,279 558,856 (213,000) (213,000) 345,856 2,178,479 $2,524,335 133 2001 $25,913 31,118 1,215,330 1,237,355 172,654 1,311,179 80,273 2,023,135 3,504,000 645,396 623,853 10,870,206 2,873,132 768,262 30,649 16,115 2,670 5,267,398 1,048,677 343,025 10,349,928 520,278 349,731 26,063 58,290 47,929 (73,126) (21,119) 387,768 908,046 2,634,606 (2,978,266) (343,660) 564,386 65,229 11,054,297 $11,683,9]2 't'otals 2000 $23,443 30,259 1,223,167 1,243,644 153,428 1,285,115 74,689 1,894,952 3,277,002 607,184 645,883 10,458,766 2,596,339 673,734 48,642 12,367 449 5,051,575 964,161 251,862 9,599,129 859,637 360,999 138,199 144,713 41,923 (71,608) (36,622) 577,604 1,437,241 973,395 (1,627,606) (654,211) 783,030 65,229 10,206,038 $11,054,297 CITY OF COLUMBIA HEIGHTS, MINNESOTA ENTERPRISE FUNDS COMBINING STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 3 ], 2000 Cash flows from operating activities: Cash received from customers Cash paid to suppliers for goods and services Cash payments to employees for services Miscellaneous revenues Miscellaneous expenses Net cash flows from operating activities Cash flows from noncapital financing activities: Operating transfers in Operating transfers (out) Net cash flows from noncapital financing activities Cash flows from capital and related financing activities: Acquisition of fixed assets Disposition of fixed assets Principal payments -bonds Interest and fiscal charges Net cash flows from capital and related financing activities Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 Reconciliation of operating income (loss) to net cash flows from operating activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Miscellaneous revenues Miscellaneous expenses Depreciation expense Changes in assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in due from other governmental units (Increase) decrease in due from other funds (Increase) decrease in prepayments (Increase) decrease in inventory, at cost Increase (decrease) in accounts payable Increase (decrease)in accrued salaries and withholdings payable Increase (decrease) in contracts payable-retained percentage Increase (decrease) in due to other governmental units Increase (decrease) in due to other funds Total adjustments Net cash flows from operating activities Water $1,068,813 (818,775) (242,235) 31 (1,987) 5,847 1,765,241 (1,881,925) (116,684) (285,600) (57,468) (39,057) (382,125) 49,333 3,880 53,213 (439,749) 762,539 $322,790 Sewer $1,278,835 (779,478) (172,319) 41,368 (9,132) 359,274 352,074 (199,090) 152,984 (58,054) 204,117 (2, 180) (1,482) 142,401 119,6]4 9,686 129,300 783,959 1,804,767 $2,588,726 0 1 1 ($130,144) $139,810 31 (1,987) 163,622 9,060 (388,730) 41,368 (9,132) 132,444 8,686 17,079 37,740 1,728 (1,413) (8,850) (131,341) 104,660 389,211 135,991 $5,847 (1,633) (7,088) 219,464 $359,274 134 u Statement 46 "I~otals Refuse Storm Sewer Liquor 2001 2000 $1,222,836 $175,935 $6,802,303 $10,548,722 $10,738,840 (1,257,581) 2,313 (5,981,613) (8,835,134) (8,376,475) (627) (S1,S33) (641,038) (1,107,752) (986,424) 56,806 8,014 106,219 186,636 = (10,000) (21,1 t9) (36,622) 21,434 126,715 177,666 690,936 1,525,955 ' - 517,291 - 2,634,606 973,395 (166,960) (517,291) (213,000) (2,978,266) (1,627,606) (166,960) 0 (213,000) (343,660) (654,21 I ) - (572,622) - (916,276) (711,989) _ _ - 204,117 - (50,352) (110,000) - ' _ (34,220) _ (74,759) (95,641) 0 (657,194) 0 (896,918) (807,630) ' 43,003 32,006 87,885 331,841 363,157 3,250 2,178 7,069 26,063 138,199 46,253 34, 184 94,954 357,904 501,356 (99,273) (496,295) 59,620 (191,738) 565,470 709,398 581,978 1,515,573 5,374,255 4,808,785 $610,125 $85,683 $1,575,193 $5,182,517 $5,374,255 ' ($34,491) $85,526 $459,577 $520,278 $859,637 ' 56,806 8,014 106,219 186,636 ' = (10,000) (21,119) (36,622) 12,238 13,989 20,732 343,025 251,862 3,243 3,281 6,221 30,491 (54,599) (17,762) (302) (985) 61,919 _ _ - (350,990) 272,754 - - 15,865 15,865 (15,865) - - (245,600) (243,872) (3,846) 1,400 (6,936) (72,826) (81,408) (106,657) 12 (10,677) (26,603) (1,315) _ (131,341) 13,923 _ 6,662 I 11,322 (2,996) - 30,843 - 420,054 101,124 55,925 41,189 (281,911) 170,658 666,318 ' $21,434 $126,715 $177,666 $690,936 $1,525,955 135 CITY OF COLUMBIA HEIGHTS, MINNESOTA WATER UTILITY FUND BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Statement 47 Capital Equipment Capital Operating Replacement Construction Debt Totals Account Account Account Service 2001 2000 Assets Current assets: Cash and cash equivalents $269,426 $ - $ - $53,364 $322,790 $762,539 Receivables: Accounts 285,538 - - - 285,538 294,598 Interest 5,794 3,621 - 2,241 11,656 9,288 Due from other funds - 277,766 - 212,569 490,335 101,605 Inventory, at cost 4,708 - - - 4,708 6,436 Totalcurrcntassets 565,466 281,387 0 268,174 1,115,027 1,174,466 Fixed assets: Land 45,223 - - - 45,223 45,223 Buildings 462,288 - - - 462,288 462,288 Improvements other than buildings 5,381,373 - - - 5,381,373 3,739,833 Machinery and equipment 330,376 - - - 330,376 306,777 Construction in process - - 21,377 - 21,377 1,402,877 Total fixed assets 6,219,260 0 21,377 0 6,240,637 5,956,998 Less: accumulated depreciation 2,244,524 - - - 2,244,524 2,082,864 Net fixed assets 3,974,736 0 21,377 0 3,996,113 3,874,134 Total assets $4,540,202 $281,387 $2],377 $268,174 $5,111,140 $5,048,600 Liabilities and Fund Equity Current liabilities: Accounts payable $2,649 $ - $ - $ - $2,649 $4,061 Accrued salaries and withholdings payable 14,253 - - - 14,253 23,103 Contracts payable -retained percentage - - - - - 131,341 Due to other governmental units 155,719 - - - 155,719 51,059 Due to other funds - - 490,335 - 490,335 101,124 Accrued interest payable - - - 15,741 15,741 16,595 Deposits 3,744 - - - 3,744 3,744 Total current liabilities 176,365 0 490,335 15,741 682,441 331,027 Lonb terns liabilities (net of current portion): Bonds payable - - - 953,446 953,446 1,010,914 Total liabilities 176,365 0 490,335 969,187 1,635,887 1,341,941 Fund equity: Contributed capital: Municipal funds 4,198 - - - 4,198 4,198 Property owners 167,161 - - - 167,161 193,455 Federal funds 453,000 - - - 453,000 453,000 Total contributed capita] 624,359 0 0 0 624,359 650,653 Retained earnings: Reserved for capital improvements - 281,387 - - 281,387 1,437,751 Unreserved 3,739,478 - (468,958) (701,013) 2,569,507 1,618,255 Total retained earnings 3,739,478 281,387 (468,958) (701,013) 2,850,894 3,056,006 Total fund equity 4,363,837 281,387 (468,958) (701,013) 3,475,253 3,706,659 Total liabilities and fund equity $4,540,202 $281,387 $21,377 $268,174 $5,111,140 $5,048,600 136 CITY OF COLUMBIA HEIGHTS, MINNESOTA WATER UTILITY FUND Statement 48 ' STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 1 With Comparative Totals For The Year Ended December 31, 2000 Capital Equipment Capital Operating Replacement Construction Debt Totals Account Account Account Service 2001 2000 Operating revenues: Charges for services: Customer services $25,913 $ - $ - $ - $25,913 $23,443 Penalties 31,118 - - - 31,118 30,259 Charges for sales: Water 1,311,179 - - - 1,311,179 ],285,115 Meter 11,904 - - 68,369 80,273 74,689 ' Total operating revenues 1,380,114 0 0 68,369 1,448,483 1,413,506 Operating expenses: Cost of sales and services 983,112 - 983,112 735,393 Distribution 424,114 _ = 424,114 399,775 Administration 7,779 - - - 7,779 21,207 Depreciation 163,622 - - - 163,622 92,539 ' Total operating expenses 1,578,627 0 0 0 1,578,627 1,248,914 Net income from operations (198,513) 0 0 68,369 (130,144) 164,592 Nonoperating revenues (expenses): Investment income: Interest and dividends 25,699 16,060 = 9,942 51,701 50,290 ' Change in fair value 1,929 1,205 746 3,880 21,250 Miscellaneous revenues 31 - - - 31 6,449 Interest and fiscal charges - - - (38,203) (38,203) (37,411) Miscellaneous expenses - (1,987) - - (1,987) - Total nonoperating revenues (expenses) 27,659 15,278 0 (27,515) 15,422 40,578 Net income before operating transfers (170,854) 15,278 0 40,854 (I 14,722) 205,170 Operating transfers: Operating transfers in 1,665,600 25,000 - 74,641 1,765,241 432,440 Operating transfers (out) (216,325) (24,060) (1,641,540) - (1,881,925) (540,396) Total operating transfers 1,449,275 940 (1,641,540) 74,641 (116,684) (107,956) Net income (loss) 1,278,421 16,218 (1,641,540) 115,495 (231,406) 97,214 Credit for depreciation on contributed assets 26,294 - - - 26,294 26,294 Retained earnings-January I 2,434,763 265,169 1,172,582 (8 ] 6,508) 3,056,006 2,932,498 Retained earnings -December 31 $3,739,478 $281,387 ($468,958) ($701,013) $2,850,894 $3,056,006 ' 137 CITY OF COLUMBIA HEIGHTS, MINNESOTA WATER UTILITY FUND STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Statement 49 2001 2000 Cash flows from operating activities: Cash received from customers $1,068,813 $1,292,111 Cash paid to suppliers for goods and services (818,775) (893,411) Cash payments to employees for services (242,235) (237,710 Miscellaneous revenues 31 6,449 Miscellaneous expenses (1,987) - Net cash flows from operating activities 5,847 167,434 Cash flows from noncapital financing activities: Operating transfers in 1,765,241 432,440 Operating transfers (out) (1,881,925) (540,396) Net cash flows from noncapital financing activities (116,684) (107,956) Cash flows from capital and related financing activities: Acquisition of fixed assets (285,600) (417,472) Principal payments -bonds (57,468) - Interest and fiscal charges (39,057) (49,966) Net cash flows from capital and related financing activities (382,125) (467,438) Cash flows from investing activities: Investment income: Interest and dividends 49,333 52,312 Change in fair value 3,880 21,250 Net cash flows from investing activities 53,213 73,562 Net increase (decrease) in cash and cash equivalents (439,749) (334,398) Cash and cash equivalents - January I 762,539 1,096,937 Cash and cash equivalents -December 31 $322,790 $762,539 Reconciliation of operating income to net cash flows from operating activities Operating income (loss) ($130,144) $164,592 Adjustments to reconcile operating income to net cash flows from operating activities: Miscellaneous revenues 31 6,449 Miscellaneous expenses (1,987) - Depreciation expense 163,622 92,539 Changes in assets and liabilities: (Increase) decrease in accounts receivable 9,060 (19,790) (Increase) decrease in due from other funds (388,730) (101,605) (Increase) decrease in inventory, at cost 1,728 (2,242) Increase (decrease)in accounts payable (1,413) (86,869) Increase (decrease)in accrued salaries and withholdings payable (8,850) (1,809) Increase (decrease)in contracts payable-retained percentage (131,341) 13,923 Increase (decrease) in due to other governmental units 104,660 1,122 Increase (decrease) in due to other funds 389,211 101,124 Total adjustments 135,991 2,842 Net cash flows from operating activities $5,847 $167,434 138 CITY OF COLUMBIA HEIGHTS, MINNESOTA SEWER UTILITY FUND ' BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Capital Equipment Capital Operating Replacement Construction Account Account Account Assets Cun~ent assets: Cash and cash equivalents Receivables: Accounts Interest Due from other governmental units, current portion Due from other funds Total current assets Long-term assets: ' Due from other governmental units, net of current portion Fixed assets: ' Land Buildings Improvements other than buildings Machinery and equipment Construction in process Total fixed assets Less: accumulated depreciation ' Net fixed assets Total assets Liabilities and Fund Equity Current liabilities: Accounts payable Accrued salaries and withholdings payable ' Accrued interest payable Total current liabilities Long-term liabilities (net of current portion): Bonds payable Total liabilities Fund equity: Contributed capital: Municipal funds Customers Total contributed capital Retained earnings: Reserved for capital improvements Unreserved Total retained earnings Total fund equity Total liabilities and fund equity $1,110,627 $376,321 $1,097,233 272,205 - - 13,251 4,849 10,983 Statement 50 Debt Totals Service 2001 2000 $4,545 $2,588,726 $1,804,767 - 272,205 280,891 16 29,099 17,188 4,672 - 3,327 - 7,999 5,002 30,843 - 520,720 - 551,563 589,303 1,431,598 381,170 1,632,263 4,561 3,449,592 2,697,151 220,962 - - - 220,962 241,038 36,586 - - - 36,586 36,586 57,942 - - - 57,942 57,942 3,976,079 - - - 3,976,079 3,945,059 570,097 - - - 570,097 546,342 - - 1,456 - 1,456 205,573 4,640,704 0 1,456 0 4,642,160 4,791,502 2,672,143 - - - 2,672,143 2,542,977 1,968,561 0 1,456 0 1,970,017 2,248,525 $3,621,121 $381,170 $1,633,719 $4,561 $5,640,571 $5,186,714 $778 $ - $ - $ - $778 $2,412 13,214 - - - 13,214 20,302 - - - 597 597 629 13,992 0 0 597 14,589 23,343 - - - 36,173 36,173 38,353 13,992 0 0 36,770 50,762 61,696 4,198 - - - 4,198 4,198 356,657 - - - 356,657 395,592 360,855 0 0 0 360,855 399,790 - 381,170 1,633,719 - 2,014,889 1,702,563 3,246,274 - - (32,209) 3,214,065 3,022,665 3,246,274 381,170 1,633,719 (32,209) 5,228,954 4,725,228 3,607,129 381,170 1,633,719 (32,209) 5,589,809 5,125,018 $3,621,121 $381,170 $1,633,719 $4,561 $5,640,571 $5,186,714 139 CITY OF COLUMBIA HEIGHTS, MINNESOTA SEWER UTILITY FUND Statement 51 STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Capital Equipment Capital Operating Replacement Construction Debt Totals Account Account Account Service 2001 2000 Operating revenues: Charges for sales and services: Sewer service charges $1,215,330 $ - $ - $ - 660,588 - - - 271,009 - - - 11,479 - - - 132,444 - - - 1,075,520 0 0 139,810 0 0 $1,215,330 $1,223,167 Operating expenses: Cost of sales and services Distribution Administration Depreciation Total operating expenses Net income from operations Nonoperating revenues (expenses) Investment income: Interest and dividends Change in fair value Intergovernmental Miscellaneous revenues Interest and fiscal charges Miscellaneous expenses Total nonoperating revenues (expenses) Net income (loss) before operating transfer Operating transfers: Operating transfers in Operating transfers (out) Total operating transfers Net income Credit for depreciation on contributed assets Retained eamings -January I Retained eamings -December 31 660,588 646,382 271,009 212,935 11,479 14,542 _ 132,444 119,258 0 1,075,520 993,117 0 139,810 230,050 58,776 21,507 51,172 70 131,525 127,006 4,411 1,614 3,656 5 9,686 39,325 - - 3,327 - 3,327 84,986 38,041 - - - 38,041 23,209 - - - (1,450) (1,450) (1,419) - - (9,132) - (9,132) (12,722) 101,228 23,121 49,023 (1,375) 171,997 260,385 241,038 23,121 49,023 (1,375) 311,807 490,435 53,946 25,000 269,128 4,000 352,074 340,361 (145,144) (22,926) (31,020) - (199,090) (448,316) (91,198) 2,074 238,108 4,000 152,984 (107,955) 149,840 25,195 287,131 2,625 464,791 382,480 38,935 - - - 38,935 38,935 3,057,499 355,975 1,346,588 (34,834) 4,725,228 4,303,813 $3,246,274 $381,170 $1,633,719 ($32,209) $5,228,954 $4,725,228 140 CITY OF COLUMBIA HEIGHTS, MINNESOTA SEWER UTILITY FUND Statement 52 ' STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 2001 2000 Cash flows from operating activities: Cash received from customers $1,278,835 $1,316,929 Cash paid to suppliers for goods and services (779,478) (825,264) Cash payments to employees for services (172,319) (116,638) Miscellaneous revenues 41,368 108,195 Miscellaneous expenses (9,132) (12,722) Net cash flows from operating activities 359,274 470,500 ' Cash flows from noncapital financing activities: Operating transfers in 352,074 340,361 Operating transfers (out) (199,090) (448,316) Net cash flows from noncapital financing activities 152,984 (107,955) Cash flows from capital and related financing activities: Acquisition of fixed assets (58,054) (13,538) ' Disposition of fixed assets 204,1 17 Principal payments -bonds (2,180) - Interest and fiscal charges (1,482) (1,896) Net cash flows from capital and related financing activities 142,401 (15,434) Cash flows from investing activities: Investment income: Interest and dividends 119,614 129,052 Change in fair value 9,686 39,325 Net cash flows from investing activities 129,300 168,377 Net increase (decrease) in cash and cash equivalents 783,959 515,488 Cash and cash equivalents -January 1 1,804,767 1,289,279 ' Cash and cash equivalents -December 31 $2,588,726 $1,804,767 Reconciliation of operating income to ' net cash flows from operating activities Operating income $139,810 $230,050 Adjustments to reconcile operating income to net cash flows from operating activities: Miscellaneous revenues 41,368 108,195 Miscellaneous expenses (9,132) (12,722) 1 Depreciation expense 132,444 119,258 Changes in assets and liabilities: (Increase) decrease in accounts receivable 8,686 (4,075) (Increase) decrease in due from other governmental units 17,079 49,463 (Increase) decrease in due from other funds 37,740 48,374 Increase (decrease) in accounts payable (1,633) (66,323) Increase (decrease) in accrued salaries and withholdings payable (7,088) (1,720) Total adjustments 219,464 240,450 Net cash flows from operating activities $359,274 $470,500 141 CITY OF COLUMBIA HEIGHTS, MINNESOTA REFUSE UTILITY FUND BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Statement 53 Assets Cun-ent assets: Cash and cash equivalents Receivables: Accounts Interest Due from other governmental units Total current assets Fixed assets: Buildings Improvements other than buildings Machinery and equipment Total fixed assets Less: accumulated depreciation Net fixed assets Total assets Liabilities and Fund Equity Current liabilities: Accounts payable Total liabilities Fund equity: Retained earnings: Unreserved Total liabilities and fund equity 2001 2000 $610,125 $709,398 283,646 286,889 9,762 9,465 17,762 - 921,295 1,005,752 6,000 6,000 14,456 14,456 107,681 107,681 128,137 128,137 41,717 29,478 86,420 98,659 $1,007,715 $1,104,411 $102,194 $100,795 102,194 100,795 905,521 1,003,616 $1,007,715 $1,104,411 CITY OF COLUMBIA HEIGHTS, MINNESOTA REFUSE UTILITY FUND Statement 54 STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 ' Operating revenues: Refuse service charges ' Operating expenses: Cost of sales and services Administration Recycling Hazardous waste Depreciation Total operating expenses Net income (loss) from operations Nonoperating revenues (expenses): Investment income: Interest and dividends ' Change in fair value Intergovernmental Miscellaneous revenues Total nonoperating revenues (expenses) Net income before operating transfers ' Operating transfers: Operating transfers (out) Net income (loss) Retained earnings -January 1 Retained earnings -December 31 $1,237,355 $1,243,644 1,229,432 1,214,564 11,391 11,006 16,115 12,367 2,670 449 12,238 12,261 1,271,846 1,250,647 (34,491) (7,003) 43,300 51,248 3,250 21,655 54,963 59,727 1,843 1,401 103,356 134,031 68,865 127,028 (166,960) (160,330) (98,095) (33,302) 1,003,616 1,036,918 $905,521 $1,003,616 143 CITY OF COLUMBIA HEIGHTS, MINNESOTA REFUSE UTILITY FUND Statement 55 STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative`Totals For die Year Ended December 31, 2000 Lam' C Cash flows from operating activities: Cash received from customers Cash paid to suppliers for goods and services Cash payments to employees for services Miscellaneous revenues Net cash flows from operating activities Cash flows from noncapital financing activities: Operating transfers (out) Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from uivesting activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 Reconciliation of operating income to net cash flows from operating activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Miscellaneous revenues Depreciation expense Changes in assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in due from other governmental units (Increase) decrease in due from other funds Increase (decrease) in accounts payable Increase (decrease) in accrued salaries and withholdings payable Total adjustments Net cash flows from operating activities 2001 2000 $1,222,836 $1,596,811 (1,257,581) (1,136,456) (627) (1,224) 56,806 61,128 21,434 520,259 (166,960) (160,330) 43,003 3,250 46,253 (99,273) 709,398 $610,125 54,548 21,655 76,203 ' 436,132 ' 273,266 $709,398 ($34,491) ($7,003) 56,806 12,238 3,243 (17,762) 1,400 $21,434 61,128 , 12,261 14,791 12,391 325,985 100,721 (15) 527,262 $520,259 1 ~i 144 CITY OF COLUMBIA HEIGHTS, MINNESOTA STORM SEWER UTILITY FUND Statement 56 BALANCE SHEET December 31, 2001 With Comparative~Totals For December 31, 2000 1 Capital Equipment Capital ' Operating Replacement Construction Debt Totals Account Account Account Service 2001 2000 Assets ' Current assets: Cash and cash equivalents $20,842 $5,946 $58,895 $ - $85,683 $581,978 Receivables: Accounts 36,217 36,217 39,498 Interest 113 39 6,389 - 6,541 9,538 Total current assets 57,172 5,985 65,284 0 128,441 631,014 Fixed assets: Improvements other than buildings 675,867 - - - 675,867 243,776 Construction in process - - 270,917 - 270,917 130,386 Total fixed assets 675,867 0 270,917 0 946,784 374,162 Less: accumulated depreciation 19,664 - - - 19,664 5,675 Net fixed assets 656,203 0 270,917 0 927,120 368,487 Total assets $713,375 $5,985 $336,201 $0 $1,055,561 $999,501 Liabilities and Fund Equity Current liabilities: Accounts payable $203 $ _ $1,122 $ - $1,325 $8,261 Accrued salaries and withholdings payable 12 12 Due to other funds - - - 30,843 30,843 - Accrued interest payable - - - 13,792 13,792 14,539 ' Total current liabilities 215 0 1,122 44,635 45,972 22,800 ' Long-term liabilities (net of current portion): Bonds payable Total liabilities Fund equity: Retained earnings: Reserved for capital improvements Unreserved Total retained earnings Total fund equity _ _ _ 835,381 835,381 885,733 215 0 1,122 880,016 881,353 908,533 - 5,985 335,079 - 341,064 703,807 713,160 - - (880,016) (166,856) (612,839) 713,160 5,985 335,079 (880,016) 174,208 90,968 713,160 5,985 335,079 (880,016) 174,208 90,968 Total liabilities and fund equity $713,375 $5,985 $336,201 $0 $1,055,561 $999,501 145 CITY OF COLUMBIA HEIGHTS, MINNESOTA STORM SEWER UTILITY FUND Statement 57 STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Capital Equipment Capital Operating Replacement Construction Debt Totals Account Account Account Service 2001 2000 Operating revenues: Charges for sales and services: Storm sewer service charges Operating expenses: Distribution Administration Depreciation Total operating expenses Net income from operations Nonoperating revenues (expenses): Investment income: Interest and dividends Change in fair value Interest and fiscal charges Miscellaneous expenses Total nonoperating revenues (expenses) Net income (loss) before operating transfers Operating transfers: Operating transfers in Operating transfers (out) Total operating transfers Net income (loss) Retained earnings -January 1 Retained earnings -December 31 $172,654 $ - 73,139 - 13,989 - 87,128 0 85,526 0 t J $ - $172,654 $153,428 ' - 73,139 61,024 - - 1,887 _ - 13,989 5,287 0 0 87,128 68,198 0 0 85,526 85,230 501 172 28,336 - 29,009 51,645 38 13 2,127 - 2,178 21,823 - - - (33,473) (33,473) (32,778) - - - - - (23,900) 539 185 30,463 (33,473) (2,286) 16,790 86,065 185 30,463 (33,473) 83,240 102,020 432,091 5,800 32,900 46,500 517,291 200,594 (85,200) (432,091) - (517,291) (200,594) 346,891 5,800 (399,191) 46,500 0 0 432,956 5,985 (368,728) 13,027 83,240 102,020 280,204 - 703,807 (893,043) 90,968 (11,052) $713,160 $5,985 $335,079 ($880,016) $174,208 $90,968 146 CITY OF COLUMBIA HEIGHTS, MINNESOTA STORM SEWER UTILITY FUND Statement 58 STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 2001 2000 Cash flows from operating activities: Cash received from customers Cash paid to suppliers for goods and services ' Cash payments to employees for services Miscellaneous expenses Net cash flows from operating activities $175,935 2,313 (81,833) $113,930 (8,843) (49,107) (23,900) 35,380 Cash flows from noncapital financing activities: Operating transfers in Operating transfers (out) Net cash flows from noncapital financing activities Cash flows from capital and related financing activities: Acquisition of fixed assets Principal payments -bonds Interest and fiscal charges Net cash flows from capital and related financing activities Cash flows from investurg activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents- January 1 Cash and cash equivalents -December 31 Reconciliation of operating income (loss) to net cash flows from operating activities Operating income ~ Adjustments to reconcile operaturg income (loss) to net cash flows from operatuig activities: 1 Miscellaneous expenses Depreciation expense Changes in assets and liabilities: ' (Increase) decrease in accounts receivable Increase (decrease) in accounts payable Increase (decrease) in accrued salaries and withholdings payable Increase (decrease) in due to other funds Total adjustments Net cash flows from operating activities 126,71 S S 17,291 (517,291) 0 (572,622) (80,382) (34,220) (657,194) 32,006 2,178 34,184 (496,295) 581,978 200,594 (200,594) 0 (280,979) (43,779) (324,758) 48,749 21,823 70,572 (218,806) 800,784 $85,683 $581,978 $88,826 $85,230 13,989 3,281 (6,936) 12 30, 843 41,189 $126,715 (23,900) 5,287 (39,498) 8,261 (49,850) $35,380 147 CITY OF COLUMBIA HEIGHTS, MINNESOTA LIQUOR FUND BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Statement 59 Assets Current assets: Cash and cash equivalents Receivables: Accounts Interest Due from other governmental units Due from other funds Prepayments Inventory, at cost Total current assets Fixed assets: Land Buildings Improvements other than buildings Machinery and equipment Total fixed assets Less: accumulated depreciation Net fixed assets Total assets Liabilities and Fund Equity Cui-~•ent liabilities: Accounts payable Accrued salaries and withholdings payable Due to other governmental units Total liabilities Fund equity: Retained earnings: Reserved for capital improvements Unreserved Total retained earnings Total liabilities and fund equity Capital Equipment Operating Replacement Totals Account Account 2001 2000 $1,550,024 $25,169 $1,575,193 $1,515,573 - - - 6,221 20,916 320 21,236 14,925 1,612 - 1,612 1,310 169,000 - 169,000 169,000 - - - 15,865 902,315 - 902,315 656,715 2,643,867 25,489 2,669 356 2 379 609 , , , 4,360 - 4,360 4,360 181,631 - 181,631 181,631 103,409 - 103,409 103,409 370,187 - 370,187 370,187 659,587 0 659,587 659,587 568,613 - 568,613 547,881 90,974 0 90,974 111 706 , $2,734,841 $25,489 $2,760,330 $2,491,315 J $127,578 $ - $127,578 $200,404 40,630 - 40,630 51,307 67,787 - 67,787 61,125 235,995 0 235,995 312,836 - 25,489 25,489 23,962 2,498,846 - 2,498,846 2,154,517 2,498,846 25,489 2,524,335 2,178,479 ' $2,734,841 $25,489 $2,760,330 $2,491,315 t 148 ' a CITY OF COLUMBIA HEIGHTS, MINNESOTA LIQUOR FiJND Statement 60 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Capital Operating Accounts Total Equipment Top Heights Operating Replacement To tals Top Valu Valu II Liquor Accounts Account 2001 2000 Operating revenues: ' Charges for sales: Liquor $966,057 $618,734 $438,344 $2,023,135 $ $2,023,135 $1,894,952 Beer 1,571,509 1,127,666 804,825 3,504,000 - 3,504,000 3,277,002 Wine 326,369 246,792 72,235 645,396 645,396 607,184 Other 282,527 180,865 160,461 623,853 = 623,853 645,883 Total operating revenues 3,146,462 2,174,057 1,475,865 6,796,384 0 6,796,384 6,425,021 Operating expenses: Cost of goods sold 2,451,855 1,692,595 1,122,948 5,267,398 - 5,267,398 5,051,575 Operating expense 507,073 359,254 182,350 1,048,677 1,048,677 964,161 Depreciation 4,332 13,420 2,980 20,732 = 20,732 22,517 Total operating expenses 2,963,260 2,065,269 1,308,278 6,336,807 0 6,336,807 6,038,253 1 Net income from operations $183,202 $108,788 $167,587 459,577 0 459,577 386,768 Nonoperating revenues (expenses): Investment income: Interest and dividends Change in fair value Miscellaneous revenues Miscellaneous expenses Total nonoperating revenues (expenses) ' Net income before operating transfers Operating transfers: Operating transfers (out) Total operating transfers Net income Retained earnings -January 1 Retained earnings -December 31 92,775 1,421 94,196 80,810 6,963 106 7,069 34,146 8,014 - 8,014 10,864 (10,000) - (10,000) - 97,752 1,527 99,279 125,820 557,329 1,527 558,856 512,588 (213,000) - (213,000) (277,970) (213,000) 0 (213,000) (277,970) 344,329 1,527 345,856 234,618 2,154,517 23,962 2,178,479 1,943,861 $2,498,846 $25,489 $2,524,335 $2,178,479 149 CITY OF COLUMBIA HEIGHTS, MINNESOTA LIQUOR FUND STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative~Totals For The Year Ended December 31, 2000 $6,802,303 (5,981,613) (641,038) 8,014 (10,000) 177,666 Statement 61 2001 2000 Cash flows from operating activities: Cash received from customers Cash paid to suppliers for goods and services Cash payments to employees for services Miscellaneous revenues Miscellaneous expenses Net cash flows from operating activities Cash flows from noncapital financing activities: Operating transfers (out) Net cash flows from noncapital financing activities Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase in cash and cash equivalents Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 Reconciliation of operating income to net cash Mows from operating activities Operating income Adjustments to reconcile operating income to net cash flows from operating activities: Miscellaneous revenues Miscellaneous expenses Depreciation expense Changes in assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in due from other governmental units (Increase) decrease in prepayments (Increase) decrease in inventory, at cost Increase (decrease) in accounts payable Increase (decrease) in accrued salaries and withholdings payable Increase (decrease) in due to other governmental units Total adjushnents Net cash flows from operating activities $6,419,059 (5,515,801) (581,740) 10, 864 332,382 (213,000) (277,970) (213,000) (277,970) 87,885 7,069 94,954 59,620 1,515,573 $1,575,193 78,496 34,146 112,642 167,054 1,348,519 $1,515,573 i~ I~ 1 u i] $459,577 $386,768 8,014 10,864 (10,000) - 20,732 22,517 6,221 (6,027) (302) 65 15,865 (15,865) (245,600) (72,826) (1,604) (62,447) (10,677) 2,229 6,662 (4,118) (281,911) (54,386) $177,666 $332,382 t 150 INTERNAL SERVICE FUNDS Internal Service Funds are used to account for the financing on a cost reimbursement basis of goods or services provided by one department or agency to other departments or agencies within the City. t Central Garage Fund -used to account for the costs of operating a maintenance facility for automotive equipment used by other City departments. Such costs are billed to other departments at actual cost plus a fixed overhead factor. The automotive equipment itself is acquired by the various user departments which are responsible for financing replacement vehicles as necessary. Energy Management Fund -used to account for the costs associated with energy management and maintenance within the City. All costs are recorded in the fund and allocated to user departments. Data Processing Fund -used to account for management information system costs throughout the City. Insurance Fund -used to account for certain costs of the City's risk management services and to build a reserve for catastrophe losses. All costs for claims and claims administration are recorded in the fund and allocated to user funds based on a percentage risk factor. Insurance premiums are recorded directly in the user funds. ' Com ensated Absences Fund -used to account for funds that have been set aside b Y the City Council for compensated absences. 151 CITY OF COLUMBIA HEIGHTS, MINNESOTA INTERNAL SERVICE FUNDS Statement G2 COMBINING BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Assets Current assets: Cash and cash equivalents Receivables: Accounts Interest Prepayments Inventory, at cost Total current assets Fixed assets: Buildings Improvements other than buildings Machinery and equiprnent Total fixed assets Less: accumulated depreciation Net fixed assets Total assets Central Energy Data Garage Management Processing Insurance Compensated Totals Absences 2001 2000 $122,603 $106,296 $374,905 $420,825 $657,716 $1,682,345 $1,897,362 2,631 - - - - 2,631 6,277 1,809 1,350 4,146 7,581 7,622 22,508 20,651 - - - 84,276 - 84,276 91,740 56, 110 - - - - 56,110 47,974 183,153 107,646 379,051 512,682 665,338 1,847,870 2,064,004 404,988 395,871 - - - 800,859 800,859 124,218 314,910 - - - 439,128 436,460 120,177 - 158,276 - - 278,453 244,885 649,383 710,781 158,276 0 0 1,518,440 1,482,204 432,338 710,781 105,641 - - 1,248,760 1,183,757 217,045 0 52,635 0 0 269,680 298,447 $400,198 $107,646 $431,686 $512,682 $665,338 $2,117,550 $2,362,451 Liabilities and Fund Equity Current liabilities: Accounts payable $15,876 Claims payable - Accrued salaries and withholdings payable 24,317 Total current liabilities 40,193 Long-term liabilities: Compensated absences payable - 7'otal long-term liabilities 0 Total liabilities 40,193 Fund equity: Contributed capital: Municipal funds Property owners Total contributed capital Retained earnings: Reserved for insurance Reserved for capital improvements Unreserved Total retained earnings Total fund equity Total liabilities and fund equity $ - $6,479 $ - $ - $22,355 $47,683 - - - - - 61,495 - 6,579 - - 30,896 25,271 0 13,058 0 0 53,251 ] 34,449 - - - 509,943 509,943 474,059 0 0 0 509,943 509,943 474,059 0 ] 3,058 0 509,943 563, ] 94 608,508 124,196 - - - - 124,196 124, 196 64,653 - - 64,653 64,653 188,849 0 0 0 0 188,849 188,849 - - - 512,682 - 512,682 789,591 19,417 - 26,031 - - 45,448 38,845 151,739 107,646 392,597 - 155,395 807,377 736,658 171,156 107,646 418,628 512,682 155,395 1,365,507 1,565,094 360,005 107,646 418,628 512,682 155,395 1,554,356 1,753,943 $400,198 $107,646 $431,686 $512,682 $665,338 $2,117,550 $2,362,451 152 t I 1 1 1 1 i i 1 1 1 1 1 1 1 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA INTERNAL SERVICE FUNDS State-nent 63 COMBINING STATEMENT OF REVENUES, E~:PENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Central Energy Data Compensated Totals Operating revenues: Charges for services: Services to departments ' Use of space Insurance allocation Recovery of damages Charges for sales: Sales of gasoline Total operating revenues Operating expenses: Cost of services and space Claims administration Claims 1 Depreciation Total operating expenses Net income (loss) from operations Nonoperating revenues (expenses): Investment income: Interest and dividends Change in fair value Miscellaneous revenues Interest expense Total nonoperating revenues (expenses) Net income (loss) before operating transfers 1 Operating transfers: Operating transfers in Operating transfers (out) Total operating transfers Net income (loss) Retained earnings -January 1 Retained earnings -December 31 Garage Management Processing hisurance Absences 2001 2000 $114,082 $ - $ - $ - $ - $114,082 $111,304 163,573 - - - - 163,573 162,840 - - - 363,641 - 363,641 350,310 - - - 52,830 - 52,830 13,290 66,508 - - - - 66,508 58,797 344,163 0 0 416,471 0 760,634 696,541 328,722 - 172,471 395,338 - 896,531 810,730 - - - 5,476 - 5,476 22,963 - - - 328,716 - 328,716 25,312 42,951 - 22,052 - - 65,003 49,240 371,673 0 194,523 729,530 0 1,295,726 908,245 (27,510) 0 194,523) (313,059) 0 (535,092) (211,704) 8,022 5,988 18,391 33,626 33,808 99,835 111,810 602 449 1,380 2,524 2,538 7,493 47,246 3,177 - - - - 3,177 10,507 - - - - - - (1,042) 11,801 6,437 19,771 36,150 36,346 110,505 168,521 (15,709) 6,437 (174,752) (276,909) 36,346 (424,587) (43,183) 19,000 - 300,000 - - 319,000 473,000 (94,000) - - - - (94,000) (39,000) (75,000) 0 300,000 0 0 225,000 434,000 (90,709) 6,437 125,248 (276,909) 36,346 (199,587) 390,8]7 261,865 101,209 293,380 789,591 119,049 1,565,094 1,174,277 $171,156 $107,646 $418,628 $512,682 $155,395 $1,365,507 $1,565,094 153 CITY OF COLUMBIA HEIGHTS, MINNESOTA INTERNAL SERVICE FUNDS Statement 64 COMBINING S"fATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Cash flows from operating activities: Cash received from customers/damages Cash paid to suppliers for goods and services Cash payments to employees for services Miscellaneous revenues Net cash flows from operating activities Cash flows from noncapital financing activities: Operating transfers in Operating transfers (out) Net cash flows from noncapital financing activities Cash flows from capital and related financing activities: Acquisition of fixed assets Interest expense Net cash flows from capital and re]ated financing activities Caslt flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents -January I Cash and cash equivalents -December 31 Reconciliation of operating income (loss) to net cash flows from operating activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash flows fiom operating activities: Miscellaneous revenues Depreciation expense Changes in assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in prepayments (Increase) decrease in inventory, at cost Increase (decrease)in accounts payable hrcrease (decrease)in claims payable Increase (decrease)in accrued salaries and withholdings payable Increase (decrease)in capital lease payable Increase (decrease)in accrued interest payable Total adjustments Net cash flows from operating activities Central Energy Data Compensated Garage Management Processing Insurance Absences Totals 2001 2000 $345,188 $ - $ - $416,471 $35,884 $797,543 $694,906 (182,940) - (71,199) (783,571) - (1,037,7]0) (786,369) (147,866) - (127,017) - - (274,883) (258,422) 3,177 2,621 - - 5,798 7,886 17,559 2,621 (198,216) (367,100) 35,884 (509,252) (341,999) 19,000 - 300,000 - (94,000) - _ _ (75,000) 0 300,000 0 (2,668) - (33,568) (2,668) 0 (33,568) t - 319,000 473,000 -_ (94,000) (39,000) 0 225,000 434,000 - - (36,236) (79,623) - - (1,042) 0 0 (36,236) (80,665) 8,376 5,134 16,489 35,800 32,179 97,978 110,985 602 449 1,380 2,524 2,538 7,493 47,246 8,978 5,583 17,869 38,324 34 717 105 471 158 231 , , , (51,131) 8,204 86,085 (328,776) 70,601 (2]5,017) 169,567 173,734 98,092 288,820 749,601 587,115 1,897,362 1,727,795 $122,603 $106,296 $374,905 $420,825 $657,716 $1,682,345 $1,897,362 ($27,510) $ - ($194,523) $313,059) $ - ($535,092) ($211,704) 3,177 - - - - 3,177 10,507 42,951 - 22,052 - - 65,003 49,240 1,025 2,621 - - - 3,646 (4,256) - - - 7,464 - 7,464 (33,501) (8,136) - - - - (8,136) 13,631 2,668 - (27,986) (10) - (25,328) 7,719 - - - (6],495) - (61,495) (138,505) 3,384 - 2,241 - 35,884 41,509 24,073 - - - - - - (58,907) - - - - (296) 45,069 2,621 (3,693) (54,041) 35,884 25,840 (130,295) $17,559 $2,621 ($198,216) ($367,100) $35,884 ($509,252) ($341,999) 154 CITY OF COLUMBIA HEIGHTS, MINNESOTA CENTRAL GARAGE FUND Statement 65 BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Assets Current assets: Cash and cash equivalents Receivables: Accounts Interest Inventory, at cost Total cun~ent assets 1 Fixed assets: Buildings Improvements other than buildings Machinery and equipment Total fixed assets Less: accumulated depreciation Net fixed assets Total assets Liabilities and Fund Equity Current liabilities: Accounts payable Accrued salaries and withholdings payable Total liabilities Fund equity: Contributed capital: Municipal funds Property owners Total contributed capital Retained earnings: Reserved for capital improvements Unreserved Total retained earnings Total fund equity Total liabilities and fund equity Capital Equipment Operating Replacement Account Account Totals 2001 2000 $103,405 $19,198 $122,603 $173,734 2,631 - 2,631 3,656 1,590 219 1,809 2,163 56,110 - 56,110 47,974 163,736 19,417 183,153 227,527 404,988 - 404,988 404,988 124,218 - 124,218 121,550 120,177 - 120,177 120,177 649,383 0 649,383 646,715 432,338 - 432,338 389,387 217,045 0 217,045 257,328 $380,781 $19,417 $400,198 $484,855 $15,876 $ - $15,876 $13,208 24,317 - 24,317 20,933 40,193 0 40,193 34,141 124,196 - 124,196 124,196 64,653 - 64,653 64,653 188,849 0 188,849 188,849 - 19,417 19,417 14,374 151,739 - 151,739 247,491 151,739 19,417 171,156 261,865 340,588 19,417 360,005 450,714 $380,781 $19,417 $400,198 $484,855 155 CITY OF COLUMBIA HEIGHTS, MINNESOTA CENTRAL GARAGE FUND Statement 66 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Capital Equipment Operating Replacement Totals Account Account 2001 2000 Operating revenues: Charges for services: Services to departments Use of space Charges for sales: Sales of gasoline Total operating revenues Operating expenses: Cost of services and space Depreciation Total operating expenses Net income (loss) from operations Nonoperating revenues: Investment income: Interest and dividends Change in fair value Miscellaneous revenues Total nonoperating revenues Net income (loss) before operating transfers Operating transfers: Operating transfers in Operating transfers (out) Total operating transfers Net income (loss) Retained earnings -January 1 Retained earnings -December 31 $114,082 $ - $114,082 $111,304 163,573 - 163,573 162,840 66,508 - 66,508 58,797 344,163 0 344,163 332,941 328,722 - 328,722 308,513 42,951 - 42,951 38,297 371,673 0 371,673 346,810 (27,510) 0 (27,510) (13,869) 7,052 970 8,022 11,706 529 73 602 4,947 3,177 - 3,177 7,886 10,758 1,043 11,801 24,539 (16,752) 1,043 (15,709) 10,670 15,000 4,000 19,000 - (94,000) - (94,000) (30,000) (79,000) 4,000 (75,000) (30,000) (95,752) 5,043 (90,709) (19,330) 247,491 14,374 261,865 281,195 $151,739 $19,417 $171,156 $261,865 156 t i i ~ ~ 1 t 1 i 1 CITY OF COLUMBIA HEIGHTS, MINNESOTA CENTRAL GARAGE FUND Statement 67 STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative Totals Por The Year Ended December 31, 2000 nnni ~nnn Cash flows from operating activities: Cash received from customers Cash paid to suppliers for goods and services Cash payments to employees for services Miscellaneous revenues Net cash flows from operating activities Cash flows from noncapital financing activities: Operating transfers in Operating transfers (out) Net cash flows from noncapital financing activities $345,188 (182,940) (147,866) 3,177 17,559 19,000 (94,000) (75,000) $331,051 (139,094) (143,291) 7,886 56,552 Cash flows from capital and related financing activities: Acquisition of fixed assets Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase (decrease) in cash and cash equivalents t Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 Reconciliation of operating income (loss) to net cash flows from operating activities ' Operating income (loss) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Miscellaneous revenues Depreciation expense Changes in assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in inventory, at cost Increase (decrease) in accounts payable Increase (decrease) in accrued salaries and withholdings payable Total adjustments Net cash flows from operating activities (30,000) (30,000) (2,668) (44,107) 8,376 11,952 602 4, 947 8,978 16,899 (51,131) (656) 173,734 174,390 $122,603 $173,734 ($27,510) ($13,869) 3,177 42,951 1,025 (8,136) 2,668 3,384 45,069 $17,559 7,886 38,297 (1,890) 13,631 11,965 532 70,421 $56,552 157 CITY OF COLUMBIA HEIGHTS, MINNESOTA ENERGY MANAGEMENT FUND Statement 68 BALANCE SHEET December 31, 2001 With Comparatives Totals For December 31, 2000 2001 2000 Assets Current assets: Cash and cash equivalents $106,296 $98,092 Receivables: Accounts - 2,621 Interest 1,350 496 Total current assets 107,646 IOI,209 Fixed assets: Buildings 395,871 395,871 Improvements other than buildings 314,910 314,910 Total fixed assets 710,781 710,781 Less: accumulated depreciation 710,781 710,781 Net fixed assets 0 0 Total assets $107,646 $101,209 Liabilities and Fund Equity Current liabilities: $ - $ - Retained earnings: Unreserved 107,646 101,209 Total liabilities and fund equity $107,646 $101,209 158 CITY OF COLUMBIA HEIGHTS, MINNESOTA ENERGY MANAGEMENT FUND Statement 69 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 2001 2000 Operating revenues: $ - $ - Operating expenses: - - Net income from operations 0 0 Nonoperating revenues (expenses): Investment income: Interest and dividends 5,988 2,685 Change in fair value 449 1,135 I Miscelleaneous revenues Interest expense = 2,621 (1,042) Total nonoperating revenues (expenses) 6,437 5,399 Net income before operating transfers 6,437 5,399 Operating transfers: 1 Operating transfers in - 124,000 Net income 6,437 129,399 ( Retained earnuigs -January 1 101,209 (28,190) ~, Retained earnings -December 31 $107,646 $101,209 159 CITY OF COLUMBIA HEIGHTS, MINNESOTA ENERGY MANAGEMENT FUND STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative-Totals For The Year Ended December 31, 2000 2001 Cash flows from operating activities: Cash paid to suppliers for goods and services Miscellaneous revenues Net cash flows from operating activities Cash flows from noncapital financing activities: Operating transfers in Cash flows from capital and related financing activities: Interest expense Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase ui cash and cash equivalents Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 $ - 2, 621 2, 621 5,134 449 5,583 8,204 98,092 $106,296 Statement 70 2000 ($54,119) (54,119) 124,000 (1,042) 2,474 1,135 3,609 72,448 25,644 $98,092 Reconciliation of operating income to net cash flows from operating activities Operating income Adjustments to reconcile operating income to net cash flows from operating activities: Miscellaneous revenues Changes in assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in prepayments Increase (decrease) in accounts payable Increase (decrease) in capital lease payable Increase (decrease)in accrued interest payable Total adjustments Net cash flows from operating activities $ - 2, 621 2,621 $2,621 $ - 2,621 (2,621) 11,313 (6,229) (58,907) (296) (54,119) ($54,119) 160 CITY OF COLUMBIA HEIGHTS, MINNESOTA DATA PROCESSING FUND BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 Statement 71 Capital Equipment Operating Replacement Totals Account Account 2001 2000 Assets Current assets: Cash and cash equivalents $349,201 $25,704 $374,905 $288,820 Interest receivable 3,819 327 4,146 2,244 Total current assets 353,020 26,031 379,051 291,064 Fixed assets: Machinery and equipment 158,276 158,276 124,708 Total fixed assets 158,276 0 158,276 124,708 Less: accumulated depreciation 105,641 - 105,641 83,589 Net fixed assets 52,635 0 52,635 41,119 Total assets $405,655 $26,031 $431,686 $332,183 Liabilities and Fund Equity Current liabilities: Accounts payable $6,479 $ $6,479 $34,465 Accrued salaries and withholdings payable 6,579 - 6,579 4,338 Total liabilities 13,058 0 13,058 38,803 Retained earnings: Reserved for capital improvements - 26,031 26,031 24,471 Unreserved 392,597 392,597 268,909 Total retained earnings 392,597 26,031 418,628 293,380 Total liabilities and fund equity $405,655 $26,031 $431,686 $332,183 161 CITY OF COLUMBIA HEIGHTS, MINNESOTA DATA PROCESSING FUND Statement 72 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Capital Equipment Operating Replacement Totals Operating revenues Operating expenses: Cost of services Depreciation Total operating expenses Net income (loss) from operations Nonoperating revenues: Investment income: Interest and dividends Change in fair value Total nonoperating revenues Net income (loss) before operating transfers Operating transfers: Operating transfers in Operating transfers (out) Total operating h~ansfers Net income Retained earnings -January 1 Retained earnings -December 31 Account Account 2001 2000 $ - $ - $ - $ - 172,471 - 172,471 170,046 22,052 - 22,052 10,943 194,523 0 194,523 180,989 (194,523) 0 (194,523) (180,989) 16,940 1,451 18,391 12,151 1,271 109 1,380 5,134 18,211 1,560 19,771 17,285 (176,312) 1,560 (174,752) (163,704) 300,000 - 300,000 349,000 _ - - (9,000) 300,000 0 300,000 340,000 123,688 1,560 125,248 176,296 268,909 24,471 293,380 117,084 $392,597 $26,031 $418,628 $293,380 162 CITY OF COLUMBIA HEIGHTS, MINNESOTA DATA PROCESSING FUND STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Statement 73 2001 Cash flows from operating activities: Cash paid to suppliers for goods and services Cash payments to employees for services Net cash flows from operating activities Cash flows from noncapital financing activities: Operating transfers in Operating transfers (out) Net cash flows from noncapital financing activities Cash flows from capital and related financing activities: ~' Acquisition of fixed assets Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase in cash and cash equivalents Cash and cash equivalents -January 1 1 Cash and cash equivalents -December 31 Reconciliation of operating income (loss) to net cash flows from operating activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Depreciation expense Changes in assets and liabilities: ~. (Increase) decrease in prepayments Increase (decrease) in accounts payable Increase (decrease) in accrued salaries and withholdings payable Total adjustments Net cash flows from operating activities ($71,199) (127,017) (198,216) 300,000 300,000 2000 ($22,883} (115,131) (138,014) 349,000 (9,000) 340,000 (33,568) (35,516) 16,489 1,380 17,869 86,085 288,820 $374,905 10,951 5,134 16,085 182,555 106,265 $288,820 ($194,523) ($180,989) 22,052 (27,986) 2,241 (3,693) ($198,216) 10, 943 12 30,157 1,863 42,975 ($138,014) 163 CITY OF COLUMBIA HEIGHTS, MINNESOTA INSURANCE FUND Statement 74 BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 2001 2000 Assets Current assets: Cash and cash equivalents $420,825 $749,601 Receivables: Interest 7,581 9,755 Prepayments 84,276 91,740 Total assets $512,682 $851,096 Liabilities and Fund Equity Cun~ent liabilities: Accounts payable $ - $10 Claims payable - 61,495 Total current liabilities 0 61,505 Fund equity: Retained earnings: Reserved for insurance 512,682 789,591 Total liabilities and fund equity $512,682 $851,096 164 1~ CITY OF COLUMBIA HEIGHTS, MINNESOTA INSURANCE FUND Statement 75 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 Operating revenues: Insurance allocation Recovery of damages Total operating revenues Operating expenses: Insurance premiums Claims administration 1 Claims Total operating expenses Net income (loss) from operations Nonoperating revenues: Investment income: Interest and dividends Change in fair value Total nonoperating revenues Net income (loss) Retained earnings -January 1 Retained earnings -December 31 $363,641 $350,310 52,830 13,290 416,471 363,600 395,338 332,171 5,476 22,963 328,716 25,312 729,530 380,446 (313,059) (16,846) 33,626 52,818 2,524 22,318 36,150 75,136 (276,909) 58,290 789,591 731,301 $512,682 $789,591 165 CITY OF COLUMBIA HEIGHTS, MINNESOTA INSURANCE FUND STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative~Totals For The Year Ended December 31, 2000 $416,471 (783,571) (367,100) 2001 Cash flows from operating activities: Cash received from damages Cash paid to suppliers for goods and services Net cash flows from operating activities Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 Reconciliation of operating income (loss) to net cash flows from operating activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Changes in assets and liabilities: (Increase) decrease in accounts receivable (Increase) decrease in prepayments Increase (decrease) in accounts payable Increase (decrease) in claims payable Total adjustments Net cash flows from operating activities 35,800 2,524 38,324 (328,776) 749,601 $420,825 Statement 76 2000 $363,855 (591,951) (228,096) 53,547 22,318 75,865 (152,231) 901,832 $749,601 ($313,059) ($16,846) 7,464 (10) (61,495) (54,041) ($367,100) 255 (44,826) (28,174) (138,505) (211,250) ($228,096) 166 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMPENSATED ABSENCES FUND Statement 77 BALANCE SHEET December 31, 2001 With Comparative Totals For December 31, 2000 2001 2000 ' Assets Current assets: Cash and cash equivalents Interest receivable Total assets Liabilities and Fund Equity Long-term liabilities: Compensated absences payable ~ Total liabilities Retained eat7rings: ~~ Unreserved Total liabilities and fund equity $657,716 $587,115 7,622 5,993 $665,338 $593,108 $509,943 $474,059 509,943 474,059 155,395 119,049 $665,338 $593,108 167 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMPENSATED ABSENCES FUND Statement 78 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For The Year Ended December 31, 2001 With Comparative Totals For The Year Ended December 31, 2000 2001 Operating revenues 2000 Charges for services $ - $ - Operating expenses: Cost of services - - Net income from operations 0 0 Nonoperating revenues: Investment income: Interest and dividends 33,808 32,450 Change in fair value 2,538 13,712 Total nonoperating revenues 36,346 46,162 Net income 36,346 46,162 Retained earnings -January 1 119,049 72,887 Retained earnings -December 31 $155,395 $119,049 168 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMPENSATED ABSENCES FUND STATEMENT OF CASH FLOWS For The Year Ended December 31, 2001 With Comparative-Totals For The Year Ended December 31, 2000 Statement 79 Cash flows from operating activities: Cash received from customers Cash flows from investing activities: Investment income: Interest and dividends Change in fair value Net cash flows from investing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents -January 1 Cash and cash equivalents -December 31 Reconciliation of operating income to net cash flows from operating activities Operating income Adjustments to reconcile operating income to net cash flows from operating activities: Changes in assets and liabilities: Increase (decrease) in accrued salaries and withholdings payable Total adjustments Net cash flows from operating activities 2001 $35,884 32,179 2,538 34,717 70,601 587,115 $657,716 $ - 35,884 35,884 $35,884 2000 $21,678 32,061 13,712 45,773 67,451 519,664 $587,115 $ - 21,678 21,678 $21,678 169 1 ~~ 170 r TRUST AND AGENCY FUNDS Trust and Agency Funds are used to account for assets held by a government in a trustee or agent capacity for individuals, private organizations, other governments and/or other funds. Agency Funds: Permit Surcharge Fund -used to account for SAC charges and surcharges collected for and remitted to the State of Minnesota. Escrow Agency Fund -used to account for payroll-related assets and liabilities. ~j Trust Fund: Flex Benefit - used to account for contributions by employees and related expenditures for flexible benefits. 171 CITY OF COLUMBIA HEIGHTS, MINNESOTA FIDUCIARY FUNDS Statement 80 COMBINING BALANCE SHEET December 31, 2001 Assets Cash and investments Receivables: Interest Total assets Liabilities and Fund Balance Liabilities: Accounts payable Due to other governmental units Deposits Other liabilities Total liabilities Fund balance: Unreserved: Undesignated Total fund balance Total liabilities and fund balance Expendable Trust Flex Agency Benefit Funds Total $34,154 $12,226 $46,380 372 - 372 $34,526 $12,226 $46,752 $8,032 $2,728 $10,760 - 1,313 1,313 - 4,350 4,350 - 3,835 3,835 8,032 12,226 20,258 26,494 - 26,494 26,494 0 26,494 $34,526 $12,226 $46,752 172 CITY OF COLUMBIA HEIGHTS, MINNESOTA EXPENDABLE TRUST FUNDS -FLEX BENEFIT FUND Statement 81 COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE For The Year Ended December 31, 2001 Revenues: Flex withholding Investment income: Interest and dividends Change in fair value Total revenues Expenditures: Other services and charges Total expenditures ~, Net increase in fund balance Fund balance -January 1 Fund balance -December 31 ,~ ~~ 2001 $49,143 1,651 124 50,918 48,400 48,400 2,518 23,976 $26,494 173 CITY OF COLUMBIA HEIGHTS, MINNESOTA FIDUCIARY FUNDS Statement 82 COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES - ALL AGENCY FUNDS For The Year Ended December 31, 2001 Balance Balance 1/1/2001 Additions Deletions 12/31/2001 Assets Cash and investments: General account $10,367 $1,313 $2,915 $8,765 Payroll account 3,414 47 - 3,461 Total assets $13,781 $1,360 $2,915 $12,226 Liabilities Accounts payable $5,441 $ - $2,713 $2,728 Due to other governmental units 579 1,313 579 1,313 Deposits 4,350 - - 4,350 Other liabilities 3,411 731 307 3,835 Total liabilities $13,781 $2,044 $3,599 $12,226 Permit Surcharge Agency Fund Assets Cash and investments -general account $69 $1,313 $ - $1,382 Liabilities SAC charges/surcharges payable $69 $1,313 $ - $1,382 Escrow Agency Fund Assets Cash and investments: General account $10,298 $ - $2,915 $7,383 Payroll account 3,414 47 - 3,461 Total assets $13,712 $47 $2,915 $10,844 Liabilities Accounts payable $5,441 $ - $2,713 $2,728 Due to other governmental units 579 - 579 - Deposits 4,350 - - 4,350 Other liabilities: Payroll deductions payable 1,444 731 - 2,175 Employee activity 1,898 - 307 1,591 Total liabilities $13,712 $731 $3,599 $10,844 174 GENERAL FIXED ASSETS ACCOUNT GROUP The City maintains a separate account group which contains the fixed assets used in the governmental fund type operations. They are assets of the City as a whole and not of individual funds. 175 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMPARATIVE SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE For The Year Ended December 31, 2001 General Fixed Assets Land Buildings Improvements other than buildings Machinery and equipment Total city general fixed assets nyestment inSeneral Fixed Assets by Sour General Obligation Bonds: Library Bonds of 1966 Municipal Building Bonds of 1959 Park Bonds of 1962 City Garage Bonds of 1972 Capital Improvement Bonds of 1976 Total general obligation bonds Grants: Federal E.D.A., H.U.D., and Police Grants State Total grants Revenue sharing: Federal Anoka County Total revenue sharing Balance from current revenue and contributions Total investments in general fixed assets Statement 83 Balance Balance 1/1/2001 Additions Deletions 12/31/2001 $3,630,729 $345,903 $120,579 $3,856,053 8,599,711 156,461 14,390 8,741,782 3,125,621 469,237 3,594,858 6,845,840 443,208 130,931 7,158,117 $22,201,901 $1,414,809 $265,900 $23,350,810 $90,000 $ - $ - $90,000 150,000 - - 150,000 325,000 - - 325,000 510,000 - - 510,000 929,475 - - 929,475 2,004,475 0 0 2,004,475 953,568 63,818 - 1,017,386 267,951 2,177 - 270,128 1,221,519 65,995 0 1,287,514 1,752,317 - - 1,752,317 51,550 - - 51,550 1,803,867 0 0 1,803,867 17,172,040 1,348,814 265,900 18,254,954 $22,201,901 $1,414,809 $265,900 $23,350,810 176 CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS BY FUNCTION AND ACTIVITY For The Year Ended December 31, 2001 Statement 84 ~_ Balance Balance 1/1/2001 Additions Deletions 12/31/2001 General government: Council $22,706 $1,565 $ - $24,271 Manager 17,199 - 401 16,798 Finance and elections 333,323 8,974 - 342,297 Assessing ~/ 12,194 - - 12,194 Planning 18,519 - - 18,519 General government buildings 1,446,702 152,193 - 1,598,895 Total general government 1,850,643 162,732 401 2,012,974 Public safety: Police/animaUcivil defense 895,964 131,711 39,863 987,812 Fire 1,002,117 58,919 1,061,036 Inspections 39,458 - 7,959 31,499 Total public safety 1,937,539 190,630 47,822 2,080,347 Public works: Engineering 251,345 2,030 5,898 247,477 Maintenance 3,621,717 605,445 7,406 4,219,756 Total public works 3,873,062 607,475 13,304 4,467,233 Other departments: Sanitation 17,336 - - 17,336 Parks and recreation 8,069,879 236,098 83,795 8,222,182 Library 473,451 7,761 - 481,212 Cable television 161,203 - - 161,203 EDA 5,818,788 210,113 120,578 5,908,323 Total other departments 14,540,657 453,972 204,373 14,790,256 :~ Total general fixed assets $22,201,901 $1,414,809 $265,900 $23,350,810 177 i~ CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF GENERAL FIXED ASSETS Statement 85 BY FUNCTION AND ACTIVITY December 31, 2001 Improvements Machinery ~~ Other Than and Land Buildings Buildings Equipment Total General government Council Manager $ _ - $ = - $ - - $24,271 16,798 $24,271 16,798 S Finance and elections - 342,297 342,297 Assessing - - - 12,194 12,194 Planning - 17,840 - 679 18,519 ~~ General government buildings 182,194 1,300,564 22,296 93,841 1,598,895 Total general government 182,194 1,318,404 22,296 490,080 2,012,974 Public safety: Police/animaUcivil defense - 2,875 1,710 983,227 987,812 Fire - 56,543 2,199 1,002,294 1,061,036 Inspections - - - 31,499 31,499 ' Total public safety 0 59,418 3,909 2,017,020 2,080,347 Public works: Engineering - 5,110 2,801 239,566 247,477 Maintenance 17,800 63,056 2,561,020 1,577,880 4,219,756 Total public works 17,800 68,166 2,563,821 1,817,446 4,467,233 ;~ Other departments: Sanitation - - - 17,336 17,336 Parks and recreation 3,249,254 1,986,875 1,000,898 1,985,155 8,222,182 ~~ Library 21,000 301,543 1,134 157,535 481,212 Cable television - 5,565 - 155,638 161,203 EDA 385,805 5,001,811 2,800 517,907 5,908,323 Total other departments 3,656,059 7,295,794 1,004,832 2,833,571 14,790,256 Totals $3,856,053 $8,741,782 $3,594,858 $7,158,117 $23,350,810 1 ~I 178 GENERAL LONG-TERM DEBT ACCOUNT GROUP The General Long-Term Debt Account Group is used to account for the long-term debt of the City other than debt recorded in the Enterprise Funds. 179 CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF GENERAL LONG-TERM DEBT December 31, 2001 Statement 86 Amount Available And To Be Provided For The Payment Of General Long-Term Debt Amount available in Debt Service Funds $1,710,716 Amount to be provided for retirement of general long-term debt 4,455,093 Total available and to be provided for $6,165,809 General Long-Term Debt Payable General Obligation Bonds payable $3,429,721 Accreted interest on Capital Appreciation Bonds 2,736,088 Total general long-term debt payable $6,165,809 180 CITY OF COLUMBIA HEIGHTS, MINNESOTA SCI-IEDULE OF DEBT SERVICE REQUIREMENTS TO MATURITY Statement 87 December 31, 2001 ~. General Obligation Bonds Year Principal Interest 2002 2003 $716,51 S $529,919 477,918 568,447 2004 445,584 592,151 2005 422,272 611,805 2006 390,822 634,603 ~ 2007 370,S4S 651,235 2008 344,375 668,797 2009 196,690 317,911 2010 65,000 1,397 Total $3,429,721 $4,576,265 t 1 t 181 9 A c~ E t 182 ii 1 SUPPLEMENTARY FINANCIAL INFORMATION 183 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMBINING SCHEDULE OF BONDS PAYABLE December 31, 2001 Interest Issue Maturity Rate Date Date GENERAL LONG-TERM DEBT ACCOUNT GROUP: G.O. Tax Increment Bonds Capital Appreciation Bonds of 1990: Refunding Bonds of 1991: All bonds maturing on or after March 1, 2000 shall be subject to redemption and prior payment in whole or in part at the option of the issuer on March 1, 1999 and on any day thereafter at a price of par and accrued interest. G.O. Improvement Bonds Series 1999A: Bonds due on or after February 1, 2008 are callable commencing February 1, 2007 and on any date thereafter at a price of par plus accrued interest. Total Bonds -General Long Term Debt Account Group PROPRIETARY FUNDS G.O. Utility Revenue Bonds Series 1999B: Bonds due on or after February 1, 2008 are callable commencing February 1, 2007 and on any date thereafter at a price of par plus accrued interest. Total Bonds -Proprietary Funds Total General Obligation Bonds 8/23/90 9/1/09 9/01 6.90% 6.95% 7.00% 7.00% 7.10% 7.10% 7.15% 7.15% 3/01 - 9/01 5.30% 5.50% 5.60% 5.70% 5.80% 12/ 1 /91 3/ 1 /02 2/01-8/01 3.45% 3.55% 3.65% 3.80% 3.90% 4.00% 4.10% 4.15% 4.25 4.30% 2/01-8/01 3.45% 3.55% 3.65% 3.80% 3.90% 4.00% 4.10% 4.15% 4.25% 4.30% 5/1/99 5/1 /99 2/1/10 2/1/10 184 Exhibit 1 Original Balance Balance Interest Paid in Issue 1/1/01 Sold Retired 12/31/01 Current Year $2,399,721 $2,399,721 $ - $ - $2,399,721 $ - ' 6,670,000 1,080,000 - 860,000 220,000 37,270 ' 860,000 860,000 - 50,000 810,000 32,780 9,929,721 4,339,721 0 910,000 3,429,721 70,050 1,935,000 1,935,000 - 110,000 1,825,000 74,500 1,935,000 1,935,000 0 110,000 1,825,000 74,500 ' $11,864,721 $6,274,721 $0 $1,020,000 $5,254,721 $144,550 t 185 CIS ' fl 186 , III. STATISTICAL SECTION 187 CITY OF COLUMBIA HEIGHTS, MINNESOTA ASSESSED VALUE, TAX CAPACITY, AND Table 1 ESTIM ATED ACTUAL VALUE OF A LL TAXABLE PROPERTY (A) Years 1 992 Through 2001 (Unaudited) Ratio of Total Assessed/ Tax Capacity Real Property Personal Property Area Wide Allocation (A) Tot als Value Assessed/ Estimated Assessed/ Estimated Assessed/ Estimated to Total Fiscal Tax Capacity Actual Tax Capacity Actual Tax Capacity Actual Estimated Year Value Value Value Value Contribution Distribution Value Value Actual Value 1992 9,901,542 536,614,500 210,051 4,258,500 (510,571) 3,290,306 12,891,328 540,873,000 2.38% 1993 9,503,314 538,522,400 207,255 4,398,000 (609,79]) 3,067,799 ]2,168,577 542,920,400 2.24% 1994 9,226,574 537,840,800 207,309 4,447,000 (594,265) 2,852,940 11,692,558 542,287,800 2.16% 1995 9,02],129 541,715,800 207,658 4,549,100 (608,080) 2,759,929 11,380,636 546,264,900 2.08% 1996 8,884,233 546,047,800 220,961 4,803,500 (552,406) 2,603,671 11,156,459 550,851,300 2.03% 1997 9,185,608 564,682,300 224,356 4,912,100 (449,141) 2,873,097 11,833,920 569,594,400 2.08% 1998 8,840,736 586,529,700 193,445 4,891,100 (512,532) 2,540,064 11,061,713 591,420,800 1.87% 1999 8,557,027 608,453,400 168,578 4,871,900 (505,598) 2,527,183 10,747,190 613,325,300 1.75% 2000 9,219,621 657,162,700 161,709 4,839,300 (503,719) 2,777,292 11,654,903 662,002,000 1.76% 2001 10,304,905 744,888,200 157,970 4,733,500 (573,922) 3,085,984 12,974,937 749,621,700 1.73% (A) The Metropolitan Fiscal Disparities Act was first implemented for taxes payable in 1975 for the seven Metropolitan counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington. Forty percent of the increase in commercial-industrial (including public utility) valuation in each assessment district since 1971 is contributed to an area-wide tax base. Using the factors of population and real property market value, a per capita distribution index is calculated. This index is employed in determining what proportion of the valuation shall be distributed back to each assessment district. Source: Anoka County: Taxes & Taxable Property in the City of Columbia Heights 188 CITY OF COLUMBIA HEIGHTS, MINNESOTA TAX RATES -PER $100 OF TAX CAPACITY Years 1992 Through 2001 (Unaudited) Table 2 ^ Year City School County Metro Other (A) Total 1992 0.19040 0.53249 028808 0.03395 0.01102 1.05594 1993 0.22956 0.61847 0.30308 0.03928 0.00937 1.19976 ' 1994 0.23021 0.68142 0.30033 0.04225 0.01018 1.26420 1995 0.25686 0.69161 0.29899 0.04370 0.01570 1.30686 1996 0.26460 0.77730 0.29946 0.05280 0.01488 1.40904 1997 0.29018 0.84748 0.28000 0.04605 0.01381 1.47752 1998 0.30991 0.68491 0.27845 0.05183 0.02287 1.34797 r 1999 0.31925 0.68837 0.29426 0.05685 0.02442 1.38315 2000 0.30147 0.66465 0.28125 0.05326 0.03212 1.33275 2001 0.30564 0.47452 0.26432 0.05354 0.03073 1.12875 (A) For ears 1992-1997: Rice Creek Watershed, Y Mos uito Control, q and Housing and Redevelopment Authori ty. For years 1998-2001 Rice Creek Watershed, Mosquito Control, H ousing and Redevelopment Authority and County Regional Rail. Source: Anoka County: Taxes & Taxable Property in the City of Columbia Heights 189 CITY OF COLUMBIA HEIGHTS, MINNESOTA CITY TAX LEVY Years 1992 Through 2001 (Unaudited) Table 3 Fiscal Year 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 City Levy Total 3,368,595 3,463,645 3,548,960 3,587,209 2,754,161 3,038,144 3,201,434 3,238,625 3,295,956 3,625,552 General Fund 3,368,595 3,084,666 3,158,342 3,196,861 2,340,393 2,517,101 2,659,289 2,660,059 2,676,416 2,958,490 Library 378,979 390,348 390,348 413,768 422,043 443,145 467,518 500,244 547,767 Source: Certification of Truth in Taxation document filed with Anoka County by the City of Columbia Heights. 190 EDA 99,000 99,000 111,048 119,296 119,295 ' CITY OF COLUMBIA HEIGHTS, MINNESOTA TAX LEVIES AND TAX COLLECTIONS Years 1992 Through 2001 (Unaudited) Table 4 Ratio of Accumulated Collections Percentage Collections Delinquent of Current of Levy of Prior Ratio Taxes to Years "faxes Collected Years Taxes of Total Accumulated Current Year Total During Fiscal During Fiscal During Fiscal Total Collections Delinquent Year Collected Tax Levy* Period Period Period Collections to Tax Levy Taxes Tax Levy 1992 2,406,707 2,360,410 98.1% 19,290 2,379,700 09888:1 109,305 0.04542:1 1993 2,453,972 2,400,802 97.8% 25,753 2,426,555 0.9888:1 123,285 0.05024:1 1994 2,583,699 2,531,198 98.0% 16,381 2,547,579 0.9860:1 79,071 0.03060:1 1995 2,608,699 2,571,649 98.6% 12,843 2,584,492 0.9907:1 40,418 0.01549:1 ' 1996 2,754,161 2,726,715 99.0% 78,666 2,805,381 1.0186:1 33,408 0.01213:1 1997 3,038,144 3,001,061 98.8% 23,818 3,024,879 0.9956:1 48,239 0.01588:1 ' 1998 3,201,434 3,163,132 98.8% 26,314 3,189,446 0.9963:1 77,078 0.02408:1 1999 3,238,625 3,182,088 98.3% 35,374 3,217,463 0.9935:1 103,465 0.03195:1 2000 3,295,956 3,267,728 99.1% 73,658 3,341,386 1.0138:1 67,692 0.02054:1 2001 3,625,552 3,584,080 98.9% 28,580 3,612,660 0.9964:1 77,177 0.02129:1 * The tax levy h as been adjusted by the Homestead and Agricultural Aid (property tax replacement) which is a revenue ' from other agencies and has been incorporated i nto Table 6. Source: Certification of Truth in Taxation document filed with Anoka County by the City of Columbia I-Ieights and Anoka County Tax Collections. 191 CITY OF COLUMBIA HEIGHTS, MINNESOTA SPECIAL ASSESSMENT LEVIES AND COLLECTIONS Years 1992 Through 2001 (Unaudited) Table 5 Deferred Special Assessments Current Current Collections Special Collected Balance Fiscal Assessments % of Delinquent Assessments During at End of Year Due Amount Levy Collections (A) Delinquent Fiscal Period Fiscal Period 1992 * 224,922 171,708 76.3% 55,385 73,962 54,141 416,229 1993 * 104,941 71,722 68.3% 59,468 59,185 139,047 364,055 1994 * 125,888 85,292 67.8% 39,267 60,229 102,127 304,970 1995 159,282 86,587 54.4% 53,447 79,057 25,130 186,323 1996 64,767 38,470 59.4% 58,495 34,147 70,506 158,269 1997 76,405 32,286 42.3% 21,532 54,706 259,263 558,078 1998 141,739 96,100 67.8% 36,320 63,342 413,629 626,176 1999 136,207 86,221 63.3% 58,414 83,475 279,890 604,210 2000 154,355 100,790 65.3% 73,583 84,483 293,080 636,992 2001 166,451 114,766 68.9% 76,680 80,906 453,679 737,537 * The parking ramp at 4025 Van Buren Street NE was assessed; however, it was not included in this figure. (A) The City bills the property owner directly when a special assessment installment becomes due. If the installment becomes delinquent, it is certified to the County for inclusion on the following year's property tax statement and is shown as a delinquent collection. 192 CITY OF COLUMBIA HEIGHTS, MINNESOTA GENERAL GOVERNMENTAL REVENUES BY SOURCE (A) Table 6 Years 1992 through 2001 (Unaudited) Fiscal Special Licenses Inter- Charges for Fines and Investment Year Taxes Assessments and Permits governmental Services Forfeitures Income Miscellaneous Total (B) 1992 3,496,720 147,180 125,275 3,504,973 442,636 104,673 562,475 595,015 8,978,947 1993 3,593,244 130,454 135,545 3,782,752 464,887 89,464 665,190 136,976 8,998,512 1994 3,674,463 586,129 165,696 3,702,419 447,409 87,225 389,451 259,220 9,312,012 ' 1995 4,167,428 - 176,290 3,755,162 383,646 89,138 321,971 83,954 8,977,589 1996 3,840,481 - 223,758 4,139,604 879,601 125,543 361,401 167,606 9,737,994 i 1997 4,489,572 - 202,533 4,302,631 923,485 127,074 443,034 127,862 10,616,191 ' 1998 4,449,833 - 289,411 5,286,058 1,167,676 121,858 454,776 287,937 12,057,549 1999 4,413,680 - 40],158 5,282,867 1,029,899 100,161 135,144 242,852 11,605,761 2000 4,809,958 - 268,014 5,204,427 1,106,613 90,218 754,535 193,270 12,427,035 2001 4,878,197 - 292,744 6,215,883 1,191,165 87,760 622,688 177,754 13,466,191 Notes: (A) Includes General, Special Revenue, and Debt Service Fund Types. (B) This schedule includes the Housing and Redevelopment A uthority as a b lended component unit of the City, except for 1991-1995 when it was discretely presented as a separate colu mn. r 1 193 CITY OF COLUMBIA HEIGHTS, MINNESOTA GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (A) Years 1992 Through 2001 (Unaudited) Table 7 Highways Fiscal General Public and Year Government Safety Streets 1992 1,356,795 2,563,788 819,300 1993 1,441,603 2,679,272 806,990 1994 1,352,543 2,576,987 841,861 1995 1,395,395 2,550,980 938,819 1996 1,354,292 2,597,866 965,677 1997 1,397,129 2,542,310 1,075,682 1998 1,449,476 2,675,544 917,546 1999 1,548,597 2,838,483 1,023,373 2000 1,530,423 2,950,642 919,728 2001 1,485,904 3,140,180 918,211 Parks and Debt Other Sanitation Recreation Library Service (B) Total 176,216 1,044,021 383,933 2,272,802 397,879 9,014,734 149,054 1,040,459 374,625 2,963,693 499,702 9,955,398 100,111 1,037,181 395,821 1,688,796 419,918 8,413,218 73,815 977,813 405,873 1,424,633 833,417 8,600,745 124,580 1,055,083 409,047 1,475,888 1,608,033 9,590,466 84,251 1,201,796 427,358 1,477,132 1,752,565 9,958,223 116,816 1,223,12] 471,240 1,414,259 2,975,143 11,243,145 105,420 1,216,028 487,292 1,270,994 2,506,097 10,996,284 117,806 1,291,513 520,158 1,233,723 2,846,566 11,410,559 95,092 1,311,661 545,011 1,181,193 2,756,581 11,433,833 Notes: (A) Includes General, Special Revenue, and Debt Service Fund Types. (B) From 1988 to 1990, the Housing and Redevelopment Authority is blended as a component unit of the City. Beginning in 1991, the Housing and Redevelopment Authority is discretely presented as a separate column. 194 t CITY OF COLUMBIA HEIGHTS, MINNESOTA PRINCIPAL CITY OFFICIALS Table 8 Year Ended December 31, 2001 Name Official Title I Mayor and Council Gary L. Peterson Mayor Marlaine Szurek Councilmember Juliem~e Wyckoff Councilmember ' Bruce Nawrocki Councilmember Robert A. Williams Councilmember Administration Walter Fehst City Manager Linda Magee Assistant to City Manager William Elrite City Clerk-Treasurer, Finance Director Roxane Smith Assistant Finance Director ' Larry Scott Liquor Operations Manager Jim Hoeft City Attorney Kevin Hansen Public Works Director, City Engineer Thomas Johnson Chief of Police Charles Thompson Chief of Fire Lauren McClanahan Superintendent of Public Works Keith Windschitl Recreation Services Director M. Rebecca Loader Librarian 195 CITY OF COLUMBIA HEIGHTS, MINNESOTA MISCELLANEOUS STATISTICS December 31, 2001 (Unaudited) Table 9 Page 1 of 2 Date of Incorporation March 14, 1898 Date of Adoption of City Charter July 21, 1921 Form of Government Council-Manager Fiscal Year Begins January l Area of City 3.52 Square Miles Miles of Streets and Alleys Trunk Highways 3.0 County 6.2 City Streets 61.8 Alleys 18.9 Miles of Sewers: Storm Sewers 33.6 Sanitary Sewers 59.0 Watermain Miles 66.1 Building Permits Issued: 1992 515 1993 505 1994 565 1995 596 1996 602 1997 678 1998 869 1999 1,254 2000 794 2001 671 Estimated Construction Cost for Issued Permits: 1992 2,373,433 1993 3,292,353 1994 4,522,438 1995 4,927,970 1996 11,910,040 1997 5,904,308 1998 16,991,747 1999 24,018,811 2000 6,767,183 2001 12,547,885 196 CITY OF COLUMBIA HEIGHTS, MINNESOTA MISCELLANEOUS STATISTICS Table 9 December 31, 2001 Page 2 of 2 (Unaudited) Fire Protection: Number of Stations Number of Employees: Full-time Part-time Volunteer Police Protection: Number of Stations Number of Employees Parks: City Parks Playgrounds County Park Schools: Senior High Junior High Elementary Parochial Elementary Employees (as of December 31, 2001): Regular Part-time and Temporary r Elections: Registered voters -Last City General Election Number of Votes Cast -Last City General Election Percentage of Registered Voters Voting Population: I 1900 1920 1930 1940 1950 1960 1970 1975 (Mid-Decade Census) 1980 ' 1985 1990 (Census) 2000 (Census) 8 1 25 1 36 13 11 1 1 1 3 1 122 149 271 1 ],167 9,501 85.08% 123 2,968 5,613 6,053 8,175 17,533 23,997 23,316 20,029 19,540 18,910 18,520 197 CITY OF COLUMBIA HEIGHTS, MINNESOTA PRINCIPAL TAXPAYERS December 31, 2001 (Unaudited) Tax Capacity Taxpayer Type of Business Value Medtronics, Inc. Medical Manufacturing $291,927 Bradley Operating LP Commercial 237,945 Maylan Construction Company Retail (K-mart) 134,310 Columbia Heights Center Mall 133,341 Lake State Properties Cormmercial 129,448 Columbia Pat-k Properties Medical Building 127,867 Consolidated Reality of Minneapolis Apartments 121,754 Northern States Power Utility 83,361 Crestview Lutheran Home Apartments 79,915 Jeffs Bobby & Steves Auto World Commercial 77,142 Total Principal Taxpayers $1,417,010 Source: Anoka County: Taxes & Taxable Property in the City of Columbia Heights Table IO of Total City Tax Capacity Value 2.25% 1.83% 1.04% 1.03% 1.00% 0.99% 0.94% 0.64% 0.62% 0.59% 10.92% 198 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMPUTATION OF LEGAL DEBT MARGIN ' December 31, 2001 (Unaudited) Table 11 Market Value Debt Limit Percentage (Note A) Debt limit Amount of Debt applicable to debt limit: Total bonded debt Less: Tax increment bonds (Note B) Special assessment bonds Total amount of debt applicable to debt limit Legal debt margin 2000/2001 1999/2000 $719,348,700 2% 14,386,974 5,254,721 2,619,721 2,635,000 $11,751,974 $657,804,700 2% 13,156,094 6,274,721 3,479,721 2,795,000 $10,361,094 Note A M.S.A. Section 475.53 (Limit on Debt) Subdivision 1. Generally, except as otherwise provided in Sections 475.51 to 475.75, "no municipality, except a school district or a city of the first class, shall incur or be subject to a net debt in excess of 2% of the taxable market 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: 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. 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 betternient of public water works 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. Not applicable. 1 7. Amount of all money and face value of all securities held as a Debt Service Fund for the extinguishment of obligations other than those deductible under this subdivision. 8. All other obligations which under the provisions of la~v authorizing their issuance are not to be included in computing the net debt of the municipality. 199 CITY OF COLUMBIA HEIGHTS, MINNESOTA COMPUTATION OF DIRECT AND OVERLAPPING DEBT December 31, 2001 (Unaudited) Table 12 Net General Obligation Debt Percentage Applicable to City Amount Applicable to City of Columbia Heights Share of Debt Direct debt: City of Columbia Heights $5,254,721 100.0% $5,254,721 Overlapping debt: Anoka County 103,700,000 5.24% 5,434,801 Metropolitan Council 176,315,000 5.24% 9,240,473 ISD 13 (Columbia Heights) 31,880,000 69.37% 22,115,267 Total overlapping debt 311,895,000 36,790,542 Totals $317,149,721 $42,045,263 200 CITY OF COLUMBIA HEIGHTS, M INNESOTA PROPERTY VALUE AND CONSTRUCTION Table 13 Years 1992 Tl u-ough 2001 (Unaudited) Property Value (A) Construction Fiscal Year Real Personal Total Number of Units Value 1992 9,901,542 210,051 10,111,593 515 2,373,433 1993 9,503,314 207,255 9,710,569 505 3,292,353 1994 9,226,574 207,309 9,433,883 565 4,522,438 1995 9,021,129 207,658 9,228,787 596 4,927,970 1996 8,884,233 220,961 9,105,194 602 11,910,040 1997 9,185,608 224,356 9,409,964 678 5,904,308 1998 8,840,736 193,445 9,034,181 869 16,991,747 1999 8,557,027 168,578 8,725,605 1,254 24,018,811 2000 9,219,621 161,709 9,381,330 794 6,767,183 2001 10,304,905 157,970 10,462,875 671 12,547,885 1 (A) Tax capacity (1992-2001) values from Table 1. 201 CITY OF COLUMBIA HEIGHTS, MINNESOTA RATIO OF NET GENERAL OBLIGATION BONDED DEBT TO ASSESSED VALUE AND NET GENERAL OBLIGATION BONDED DEBT PER CAPITA Years 1992 Through 2001 (Unaudited) Table 14 Ratio of Net Bonded Gross Debt to Net Bonded Fiscal Assessed Bonded Less Debt Net Bonded Assessed Debt Per Year Population Value Debt Service Fund Debt Value Capita 1992 18,910 12,891,328 19,059,721 8,916,964 10,142,757 78.68% 572 1993 18,910 12,168,577 17,209,721 7,922,087 9,287,634 76.32% 536 1994 18,910 11,692,558 9,679,721 1,171,524 8,508,197 72.77% 491 1995 18,910 11,380,636 8,624,721 1,422,979 7,201,742 63.28% 450 1996 18,910 11,156,459 7,469,721 843,287 6,626,434 59.40% 350 1997 18,910 11,833,920 6,314,721 822,740 5,491,981 46.41% 290 1998 18,910 11,061,713 5,324,721 644,112 4,680,609 42.31% 248 1999 18,910 10,747,190 7,174,721 809,379 6,365,342 59.23% 337 2000 18,520 11,654,903 6,274,721 1,546,331 4,728,390 40.57% 255 2001 18,520 12,974,937 5,254,721 1,710,716 3,544,005 27.31% 191 202 CITY OF COLUMBIA HEIGHTS, MINNESOTA RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR GENERAL OBLIGATION BONDED DEBT TO TOTAL GENERAL GOVERNMENTAL EXPENDITURES Years 1992 Through 2001 ,~ (Unaudited) Table 15 Fiscal Year Principal Interest 1992 1,180,000 1,017,432 1993 1,875,000 1,035,788 1994 1,015,000 618,920 1995 1,055,000 357,961 1996 1,155,000 304,268 1997 1,155,000 246,128 1998 990,000 190,390 1999 945,000 138,167 ' 2000 900,000 224,530 2001 1,020,000 144,550 Total Debt Service Total General Governmental Expenditures Ratio of Debt Service to General Governmental Expenditures 2,197,432 2,910,788 1,633,920 1,412,961 1,459,268 1,401,128 1,180,390 1,083,167 1,124,530 1,164,550 9,014,734 9,955,398 8,413,218 8,600,745 9,590,466 9,958,223 11,243,145 10,996,284 11,410,559 11,433,833 24.4% 29.2% 19.4% 16.4% 15.2% 14.1% 10.5% 9.9% 9.9% 10.2% 203 CITY OF COLUMBIA HEIGHTS, MINNESOTA REVENUE BOND COVERAGE: WATER, SEWER AND STORM SEWER FUNDS Table 16 Last Ten Years (Unaudited) Net Revenue Fiscal Gross Operating Available for Debt Service Requirements Year Revenues (1) Expenses (2) Debt Service Principal (3) Interest (3) Total (3) Coverage 1999 $2,733,079 $2,120,759 $612,320 $0 $0 $0 0.00 2000 3,216,084 2,201,375 $1,014,709 - 95,497 95,497 10.63 2001 3,105,845 2,442,339 $663,506 110,000 74,00 184,500 3.60 Notes: The Revenue Bonds were issued in 1999, thus statistical information is shown from that year on. (1) Total revenues including investment income. (2) Total expenses exclusive of depreciation. (3) Includes principal and interest of revenue bonds presented on cash basis. 204 IV. SINGLE AUDIT AND OTHER REQUIRED REPORTS 205 Cif ' t 206 i ~ Tautges Redpath, Ltd. Certified Public Accountants and Consultants ' Independent Auditor's Report on Compliance With Minnesota Leal Compliance Audit Guide for Local Governments To The Honorable Mayor and Members of the City Council ' Columbia Heights, Minnesota We have audited the general purpose financial statements of the City of Columbia Heights, Minnesota, as of and for the year ended December 31, 2001, and have issued our report thereon dated March 14, 2002. ' We conducted our audit in accordance with auditing standards generally accepted in the United States of America, and the provisions of the Minnesota Legal Compliance Audit Guide for Local Government promulgated by the Legal Compliance Task Force pursuant to ' Minnesota Statutes Section 6.65. Accordingly, the audit included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. The Minnesota Legal Compliance Audit Guide for Local Government covers five main categories of compliance to be tested: contracting and bidding, deposits and investments, conflicts of interest, public indebtedness, and claims and disbursements. Our study included all of the listed categories. The results of our tests indicate that for the items tested, the City of Columbia Heights, Minnesota complied with the material terms and conditions of applicable legal provisions, except as described in this report. This report is intended solely for the information and use of the City Council, management and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than those specified parties. March 14, 2002 // ~~ /~ f LAN ° HLB TAUTGES REDPATH, LTD. ' Certified Public Accountants 4810 White Bear Parkway, White Bear Lake, Minnesota 55110, USA Telephone: 651 426 7000 Fax: 651 426 5004 HLB Tautges Bedpath, Ltd. is a member of ~ International. A world-wide organization of accounting firms and business advisers. 207 u 1 CIS ' 208 n FINDING: Declaration for payment was not included on all claims paid. CONDITION: Minnesota Statutes require that municipalities have a declaration for payment signed to the effect that such account, claim, or demand is just and correct and that no part of it has been paid. New laser checks used in 2000 and the beginning of 2001 did not contain the preprinted declaration on the back of the checks. This finding was noted in the 2000 report. The City corrected this condition in 2001 when the situation was brought to their attention. CRITERIA: Minnesota Statute 471.391 reads as follows: 471.391 Declaration form. Subdivision 1. Sufficiency. The declaration provided for in section 471.38 is sufficient if in the following form: "I declare under the penalties of law that this account, claim or demand is just and correct and that no part of it has been paid. ..................... Signature of Claimant" Subd. 2. Above check endorsement. The check or order-check by which the claim is paid may have printed on its reverse side, above the space for endorsement thereof by the payee, the following statement: "The undersigned payee, in endorsing this check (or order-check) declares that the same is received in payment of a just and correct claim against the county (county board of education for unorganized territory, school district, town or city), and that no part of it has heretofore been paid." When endorsed by the payee named in the check or order-check, such statement shall operate and shall be deemed sufficient as the required declaration of the claim. 209 u 1 CIS ' u 1 210 ' RECOMMENDATION: This finding was noted in the 2000 report. We recommend that the City continue to follow procedures implemented in 2001 to ensure compliance with Minnesota Statute 471.391. ' CITY'S RESPONSE: The City has implemented the inclusion of the required language on the back of all checks in compliance with Minnesota State Statute 471.391. In the future, all newly ordered checks are to be inspected for this requirement. 211 c~ 1 1 212 ~ Tautges Redpath, Ltd. ' Certified Public Accountants and Consultants ' Independent Auditor's Report on Compliance and on Internal Control over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance with GovernmentAuditing Standards To the Honorable Mayor and Members of the City Council Columbia Heights, Minnesota ' We have audited the general purpose financial statements of the City of Columbia Heights, Minnesota as of and for the year ended December 31, 2001, and have issued our report ' thereon, dated March 14, 2002. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in GovernmentAuditing Standards, issued by the Comptroller ~ General of the United States. Compliance As part of obtaining reasonable assurance about whether the City of Columbia Heights, Minnesota's general purpose financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination of general purpose financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are required to be reported under GovernmentAuditing ,Standards. ~ Internal Control Over Financial Reporting In planning and performing our audit, we considered the City of Columbia Heights, Minnesota's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the general purpose financial statements and not to provide assurance on the internal control over financial reporting. However, we noted certain matters involving the internal control over financial reporting and its operation that we consider to be reportable conditions. Reportable conditions involve ' matters coming to our attention relating to significant deficiencies in the design or operation of the internal control over financial reporting that, in our judgment, could adversely affect the City of Columbia Heights, Minnesota's ability to record, process, summarize, and report 4810 White Bear Parkwa White Bear Lake Minnesota 55110 USA Tele hone: 651 426 7000 Fax: 651 426 5004 Y, p HLB Tautges Redpath, Ltd. is a member of ~ International. A world-wide organization of accounting firms and business advisers. 213 t CIS ' 1 214 ' ' financial data consistent with the assertions of management in the general purpose financial statements. Reportable conditions are described in the accompanying schedule of findings and questioned costs as item 2001-1. 1 1 A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the general purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. Our consideration of the internal control over financial reporting would not necessarily disclose all matters in the internal control that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses. However, we believe that none of the reportable conditions described above is not a material weakness. We also noted other matters involving the internal control over financial reporting, which we have reported to management of the City of Columbia Heights, Minnesota in a separate letter dated March 14, 2002. ' This report is intended solely for the information and use of the City Council, management and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than those specified parties. ' March 14, 2002 ' iY~ ~- i~ c/r HLB TAUTGES REDPATH, LTD. Certified Public Accountants 215 1 c~ I~ 1 1 216 li t t Tautges Redpath, Ltd. Certified Public Accountants and Consultants Independent Auditor's Report on Compliance with Requirements Applicable to each Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133 To the Honorable Mayor and Members of the City Council Columbia Heights, Minnesota Compliance We have audited the compliance of the City of Columbia Heights, Minnesota with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) CircularA-133 Compliance Supplement that are applicable to each of its major federal programs for the year ended December 31, 2001. The City of Columbia Heights, Minnesota's major federal programs are identified in the summary of auditor's results section of the accompanying schedule of findings and questioned costs. Compliance with the requirements of laws, regulations, contracts and grants applicable to each of its major federal programs is the responsibility of the City of Columbia Heights, Minnesota's management. Our responsibility is to express an opinion on the City of Columbia Heights, Minnesota's compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in GovernmentAuditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non- Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the City of Columbia Heights, Minnesota's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on the City of Columbia Heights, Minnesota's compliance with those requirements. In our opinion, the City of Columbia Heights, Minnesota complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal 4810 White Bear Parkway, White Bear Lake, Minnesota 55110, USA Telephone: 651 426 7000 Fax: 651 426 5004 HLB Tautges Redpath, Ltd. is a member of ~ International. A world-wide organization of accounting firms and business advisers. 217 u c~ t r~ J 218 t programs for the year ended December 31, 2001. However, the results of our auditing procedures disclosed instances of noncompliance with those requirements, which are required to be reported in accordance with OMB Circular A-133, and which are described in the accompany Schedule of Findings and Questioned Costs as item 2001-2. Internal Control Over Compliance L The management of the City of Columbia Heights, Minnesota is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts and grants applicable to federal programs. In planning and performing ' our audit, we considered the City of Columbia Heights, Minnesota's internal control over compliance with requirements that could have a direct and material effect on a major federal ' program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on internal control over compliance in accordance with OMB Circular A-133. t We noted certain matters involving the internal control over compliance and its operation that we consider to be reportable conditions. Reportable conditions involve matters coming to ' our attention relating to significant deficiencies in the design or operation of the internal control over compliance that, in our judgment, could adversely affect the City of Columbia Heights, Minnesota's ability to administer a major federal program in accordance with applicable requirements of laws, regulations, contracts and grants. Reportable conditions are described in the accompanying Schedule of Findings and Questioned Costs as items described in item 2001-2. Our consideration of the internal control over compliance would not necessarily disclose all matters in the internal control that might be material weaknesses. A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that noncompliance with applicable requirements of laws, regulations, contracts, and grants that would be material in relation to a major federal program being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving the internal control over compliance and its operation that we consider to be ' material weaknesses. We also noted other matters involving the internal controls and its operation that we have reported to the management of the City of Columbia Heights, Minnesota, and the Columbia Heights Economic Development Authority, in separate reports dated March 14, 2002. 219 t CIS Il t 1 220 u This report is intended solely for the information and use of the City Council, management and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than those specified parties. March 14, 2002 HLB TAUTGES REDPATH, LTD. Certified Public Accountants 221 CIS ' t t i 222 ~' L 1 t CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF FINDINGS AND QUESTIONED COSTS Year Ended December 31, 2001 SECTION I -SUMMARY OF AUDIT RESULTS 1. The Independent Auditor's Report expresses an unqualified opinion on the financial statements of the City of Columbia Heights, Minnesota. 2. There was one reportable condition disclosed during the audit of the financial statements as reported in the Independent Auditor's Report on Compliance and on Internal Control over Financial Reporting Based on an Audit of Financial Statements Performed in accordance with GovernmentAuditing Standards. The above condition was not determined to be a material weakness. 3. No instances of noncompliance material to the financial statements of the City of Columbia Heights, Minnesota were disclosed during the audit. 4. One reportable condition relating to the audit of the major federal award programs is reported in the Independent Auditor's Report on Compliance with Requirements Applicable to each Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133. The above condition was not determined to be a material weakness. 5. The auditor's report on compliance for the major federal award programs for the City of Columbia Heights, Minnesota expresses an unqualified opinion. 6. Audit findings relative to the major federal award programs for the City of Columbia Heights, Minnesota are reported in Section III of this Schedule. 7. The audit disclosed one finding relating to major programs that we are required to disclose under 510(a) or OMB Circular A-133. 8. The Community Development Block Grant - CFDA #14.218 was tested as a major program. 9. The threshold for distinguishing Types A and B programs was $300,000. u 1 10. The City of Columbia Heights, Minnesota was not determined to be a low-risk auditee. 223 'J t CIS ' ~~ 224 i CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF FINDINGS AND QUESTIONED COSTS Year Ended December 31, 2001 SECTION II -FINANCIAL STATEMENT FINDINGS 2001-1: Recreational Revenue Documentation Condition: Certain documentation needs to be maintained in the City's files to substantiate that proper procedures have been followed when recording recreational revenue. Currently, documentation is not maintained that provides for verifying the completeness of recreation revenue. We noted the City does not maintain an audit trail regarding recreational revenue. Recommendation: We suggest the City improve cash receipting procedures which would include use of the cash register and independent verification of class rosters. Corrective Action Plan: The Recreation Department will implement the use of the cash register system and will conduct an independent verification of class rosters. SECTION III -FEDERAL AWARD FINDINGS AND QUESTIONED COSTS DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT: 2001- 2: _CDSG Program, CFDA #14.218, passed-through Anoka County Criteria: Certain documentation needs to be maintained in the City's files to substantiate that proper procedures have been followed when disbursing federal funds. Condition: Two of the three housing rehabilitation grant files tested were missing the loan repayment agreements. Questioned Cost: No costs have been questioned as a result of this finding. Recommendation: The City should develop internal control procedures to ensure that all information collected by the City when disbursing federal funds is maintained. Corrective Action Plan: The City has obtained copies of the loan repayment agreements from Anoka County and will maintain a copy in the recipient file. In the future, the City will ensure that appropriate information is maintained on file. 225 1 I~ J J c~ 226 CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF FINDINGS AND QUESTIONED COSTS Year Ended December 31, 2001 2001- 3: CIAP Program, CFDA #14.852 (Carryforward from PY finding) Criteria: The Davis-Bacon Act requires that all laborers who work on construction contracts in excess of $2,400 be paid not less than the prevailing wage rates. Condition: During 2000, the City entered into one contract that required compliance with the provision of the Davis-Bacon Act. The City was unable to provide information to verify compliance with Davis-Bacon. Questioned Cost: The amount of questioned costs has not been determined. Recommendation: The City should develop internal control procedures to ensure that all construction projects that are covered by the Davis-Bacon Act use prevailing wage rates and that this information is maintained by the City. Corrective Action Plan: The EDA entered into a contract with Millar Elevator Service to modernize 2 elevators at Parkview Villa North on September 29, 1999. The total amount of the contract was $271,488 with $75,128 being spent on labor for the project. If necessary, the EDA will meet with the Department of Housing and Urban Development to reconstruct the Davis-Bacon Act prevailing wage documentation. In addition, the EDA will develop internal control and filing procedures for all future construction projects covered by the Davis-Bacon Act requirements. Current Status: This remains a current finding since final compensation payments have not been made. The Economic Development Authority has recently approved this ~ payment and will be sending the final disbursement to Millar for distribution soon. 1 227 t t fl CIS ' ~~ 228 n CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF FINDINGS AND QUESTIONED COSTS ~ Year Ended December 31, 2001 SECTION IV -PRIOR YEAR FINDINGS DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT: 2000 -1: CIAP Program, CFDA #14.852 Condition and Criteria: The Davis-Bacon Act requires that all laborers who work on _ construction contracts in excess of $2,000 be paid not less than the prevailing wage rates. During 2000 the City entered into one contract that required compliance with the provision of the Davis-Bacon Act. The City was unable to provide information to verify compliance with Davis-Bacon. Questioned Cost: The amount of questioned costs has not been determined. Current Status: The City appears to be in the process of clearing up this matter. This remains a current finding since final payments have not been made -see finding 2001-3. ~ 2000 - 2: CDBG Program, CFDA #14.218, passed-through Anoka County Condition and Criteria: Certain documentation needs to be maintained in the City's files to substantiate proper procedures have been followed when disbursing federal funds. One of the five files tested in 2000 was missing the loan repayment agreement. Questioned Cost: No costs have been questioned as a result of this fmding. Current Status: The specific documentation missing in 2000 was located by the City. However, in 2001, the City had a similar finding on missing documentation- see finding 2001-2. 1999-4: CDBG Program, CFDA No. 14.218, passed through Anoka County Criteria: The Davis-Bacon Act requires that all laborers who work on construction contracts in excess of $2,000 be paid not less than the prevailing wage rates. Condition: During 1999 the City entered into one contract that required compliance with the provision of the Davis-Bacon Act. The City was unable to provide information to verify compliance with Davis-Bacon. 229 1 i 1 c~ 230 , CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF FINDINGS AND QUESTIONED COSTS Year Ended December 31, 2001 Questioned Cost: The amount of questioned costs has not been determined. Current Status: Information has been provided by the City to demonstrate that the 1999 contract with Blue Earth Environmental did not apply to the Davis Bacon regulations. Thus we remove this as a prior year finding. 231 t c~ i~ 232 CITY OF COLUMBIA HEIGHTS, MINNESOTA SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Year Ended December 31, 2001 "~ Federal Funding Source/ Federal 2001 Pass Through Agency/ CFDA Federal Program Title Number Expenditures U.S. Department of Justice: Direct: Police Hiring Supplement 16.580 $1 ],330 Local Law Enforcement Block Grant ]6.592 30,535 Bulletproof Vest Partnership Program 16.607 1,449 School Partnership Fund 16.710 50,956 Passed -through State of MN Department of Economic Security: Juvenile Accountability Incentive Block Grant 16.523 8,482 Federal Emergency Management Agency: Passed-through Anoka County: Emergency Management Assistance Grant 83.503 3,322 U.S. Department of Housing and Urban Development: Passed-through Anoka County: HOME Investment Partnership Program 14.239 70,000 Community Development Block Grant - Entitlement Grant (CDBG) * 14.218 394,980 Direct: Operating Subsidy 14.850 92,081 Capital Improvement Program 14.872 6,709 Total Federal Expenditures $669,844 * Major Program Notes to the schedule of expenditures of federal awards Note 1. Basis of Presentation The above schedule of expenditures of federal awards includes the federal grant activity of the City of Columbia Heights, Minnesota (including its component units) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the general purpose financial statements. Note 2. Subrecipients Of the federal expenditures presented in the schedule, the City of Columbia Heights, Minnesota provided federal awards to subrecipients as follows: Federal Amount CFDA Provided -_ Program Title Number to Subrecipients Community Development Block Grant -Entitlement Grants 14.218 $p Note 3. Reporting Entity The City of Columbia Heights, Minnesota, for purposes of this schedule includes all funds of the primary government as defined by GASB Statement No. 14, the Financial Reporting Entity. This schedule also includes the Housing and Redevelopment Authority (HRA), and the Economic Development Authority (EDA) which are the sole component units of the City. 233 234 1 ~ Tautges Redpath, Ltd. Certified Public Accountants and Consultants Independent Auditor's Report on Supplementary Information - Financial Data Schedule To the Honorable Mayor and Members of the City Council ~, City of Columbia Heights, Minnesota We have audited the general purpose financial statements of the City of Columbia Heights, Minnesota, as of and for the year ended December 31, 2001, and have issued our report thereon dated March 14, 2002. Our audit was performed for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The accompanying Financial Data Schedule is presented for purposes of additional analysis as required by the U.S. Department of Housing and Urban Development and is not a required part of the general purpose financial statements. Such information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the general purpose financial statements taken as a whole. This report is intended solely for the information and use of the City Council, management and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than those specified parties. March 14, 2002 ~~ T~~ ~~';~~~ ~~ HLB TAUTGES REDPATH, LTD. Certified Public Accountants 4810 White Bear Parkwa ,White Bear Lake, Minnesota 55110, USA Tele hone: 651 426 7000 Fax: 651 426 5004 Y P HLB Tautges Redpath, Ltd. is a member of ~ International. A world-wide organization of accounting firms and business advisers. 235 1~ 1 u s i c~ r t 0 ~~ 236