HomeMy WebLinkAboutAnnual Financial Report December 31, 2009
CITY OF OAK PARK HEIGHTS, MINNESOTA
ANNUAL FINANCIAL REPORT
December 31, 2009
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CITY OF OAK PARK HEIGHTS, MINNESOTA
TABLE OF CONTENTS
Page
ReferenceNo.
INTRODUCTORY SECTION
Elected and Appointed Officials3
FINANCIAL SECTION
Independent Auditor's Report7
Management's Discussion and Analysis9
Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net AssetsStatement 123
Statement of ActivitiesStatement 224
Fund Financial Statements:
Balance Sheet - Governmental FundsStatement 326
Statement of Revenues, Expenditures and Changes in Fund Balance -
Governmental FundsStatement 428
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Governmental Funds Statement 530
Statement of Net Assets - Proprietary FundsStatement 631
Statement of Revenues, Expenses and Changes in Fund Net Assets -
Proprietary FundsStatement 732
Statement of Cash Flows - Proprietary FundsStatement 833
Statement of Fiduciary Net Assets - Agency FundsStatement 934
Notes to Financial Statements35
Required Supplementary Information:
Budgetary Comparison Schedule - General FundStatement 1062
Schedule of Funding Progress - Retiree Health Plan67
Budgetary Comparison Schedule - Note to RSI68
Combining and Individual Fund Statements:
Combining Balance Sheet - Nonmajor Governmental FundsStatement 1172
Combining Statement of Revenues, Expenditures and Changes in Fund Balance -
Nonmajor Governmental FundsStatement 1273
CITY OF OAK PARK HEIGHTS, MINNESOTA
TABLE OF CONTENTS
Page
ReferenceNo.
Subcombining Balance Sheet - Nonmajor Special Revenue FundsStatement 1374
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Special Revenue FundsStatement 1475
Subcombining Balance Sheet - Nonmajor Debt Service FundsStatement 1576
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Debt Service FundsStatement 1677
Subcombining Balance Sheet - Nonmajor Capital Project FundsStatement 1778
Subcombining Statement of Revenues, Expenditures and Changes in
Fund Balance - Nonmajor Capital Project FundsStatement 1880
Agency Funds:
Subcombining Balance SheetStatement 1982
Subcombining Statement of Changes in Assets and LiabilitiesStatement 2083
STATISTICAL SECTION (UNAUDITED)
Financial Trends:
Net Assets by Component - Last Six Fiscal YearsTable 187
Changes in Net Assets - Last Six Fiscal YearsTable 288
Fund Balances, Governmental Funds - Last Six Fiscal YearsTable 390
Changes in Fund Balances, Governmental Funds - Last Six Fiscal YearsTable 491
Revenue Capacity:
Tax Capacity Value and Estimated Market Value of Taxable PropertyTable 592
Direct and Overlapping Property Tax Capacity RatesTable 693
Principal Property TaxpayersTable 794
Property Tax Levies and CollectionsTable 895
Debt Capacity:
Ratios of Outstanding Debt by TypeTable 996
Direct and Overlapping Governmental Activities DebtTable 1097
Legal Debt Margin InformationTable 1198
Pledged Revenue CoverageTable 1299
Demographic and Economic:
Demographic and Economic StatisticsTable 13100
Principal EmployersTable 14101
Operating Information:
Full-Time Equivalent City Government Employees By Function/ProgramTable 15102
Operating Indicators by Function/ProgramTable 16104
Capital Asset Statistics by Function/ProgramTable 17106
INTRODUCTORY SECTION
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CITY OF OAK PARK HEIGHTS, MINNESOTA
ELECTED AND APPOINTED OFFICIALS
December 31, 2009
Term Expires
Mayor:
David BeaudetDecember 31, 2012
Councilmembers:
Les AbrahamsonDecember 31, 2010
Mary McComberDecember 31, 2012
Mike RunkDecember 31, 2012
Mark SwensonDecember 31, 2010
Administrator:
Eric JohnsonAppointed
Deputy Clerk/Finance Director:
Judy HolstAppointed
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FINANCIAL SECTION
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MANAGEMENT’S DISCUSSION AND ANALYSIS
As management of the City of Oak Park Heights, Minnesota (the City) we offer readers of
the City’s financial statements this narrative overview and analysis of the financial activities
of the City for the fiscal year ended December 31, 2009.
Financial Highlights
The assets of the City exceeded its liabilities at the close of the most recent fiscal year by
$33,022,832 (Net assets). Of this amount, $13,321,133 (unrestricted net assets) may be used
to meet the government’s ongoing obligations to citizens and creditors in accordance with the
City's fund designations and fiscal policies.
The City’s total net assets increased by $1,361,048.
As of the close of the current fiscal year, the City’s governmental funds reported combined
ending fund balances of $16,159,225, a decrease of $1,664,251. The decrease is primarily
due to construction costs for a new City hall and an $861,000 purchase of land for a future
water tower and well site.
At the end of the current fiscal year the general fund balance was $2,720,012 of which
$2,496,635 is designated.
The General Fund balance increased by $103,642 as a result of positive budget variances in
expenditures, despite negative budget variances in revenues.
The City transferred $395,600 from the General Fund to the Budgeted Projects Fund for
capital improvements for streets, parks, public safety, public works, and general government.
The City also transferred $320,000 from the General Fund to the Street Reconstruction Fund
and $77,000 from the General Fund to the Storm Sewer Renewal Replacement Fund.
The City issued the $1,195,000 General Obligation Bonds, Series 2009A to finance
construction of a new City Hall.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City’s basic
financial statements. The City’s basic financial statements comprise three components: 1)
government-wide financial statements, 2) fund financial statements, and 3) notes to the
financial statements. This report also contains other supplementary information in addition
to the basic financial statements themselves.
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Managements Discussion and Analysis
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Government-wide financial statements
. The government-wide financial statements are
designed to provide readers with a broad overview of the City’s finances, in a manner similar
to a private-sector business.
Thestatement of net assets presents information on all of the City’s assets and liabilities,
with the difference between the two reported as net assets. Over time, increases or decreases
in net assets may serve as a useful indicator of whether the financial position of the City is
improving or deteriorating.
Thestatement of activities presents information showing how the City’s net assets changed
during the most recent fiscal year. All changes in net assets are reported as soon as the
underlying event giving rise to the change occurs, regardless of the timing of related cash
flows. Thus, revenues and expenses are reported in this statement for some items that will
only result in cash flows in future fiscal periods (e.g. uncollected taxes and earned but unused
vacation leave).
Both of the government-wide financial statements distinguish functions of the City that are
principally supported by taxes and intergovernmental revenues (governmental activities)
from other functions that are intended to recover all or a significant portion of their costs
through user fees and charges (business-type activities). The governmental activities of the
City include general government, public safety, public works and parks and recreation. The
business-type activities of the City include water, sanitary sewer and storm sewer.
The government-wide financial statements are statements 1 and 2 of this report.
Fund Financial statements
. A fund is a grouping of related accounts that is used to
maintain control over resources that have been segregated for specific activities or objectives.
The City, like other state and local governments, uses fund accounting to ensure and
demonstrate compliance with finance-related legal requirements. All of the funds of the City
can be divided into two categories: governmental funds and proprietary funds.
Governmental funds
. Governmental funds are used to account for essentially the same
functions reported as governmental activities in the government-wide financial statements.
However, unlike the government-wide financial statements, governmental fund financial
statements focus on near-term inflows and outflows of spendable resource, as well as on
balances of spendable resources available at the end of the fiscal year. Such information may
be useful in evaluating a government’s near-term financial requirements.
Because the focus of governmental funds is narrower than that of the government-wide
financial statements, it is useful to compare the information presented for governmental
funds with similar information presented for governmental activities in the government-wide
financial statements. By doing so, readers may better understand the long-term impact of the
City's near term financial decisions. Both the governmental fund balance sheet and
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Managements Discussion and Analysis
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governmental fund statement of revenues, expenditures and change in fund balance provide a
reconciliation to facilitate this comparison between governmental funds and governmental
activities.
The City maintains six individual major governmental funds. Information is presented
separately in the governmental fund balance sheet and in the governmental fund statement of
revenues, expenditures and changes in fund balance for the following major funds:
General Fund
Budgeted Projects and Equipment Revolving Fund – Capital Project Fund
Moelter Park – Capital Project Fund
Capital Revolving Fund – Capital Project Fund
City Hall Improvements – Capital Project Fund
Renewal and Replacement Fund – Capital Project Fund
Data from the other governmental funds are combined into a single, aggregated presentation.
Individual fund data for each of these nonmajor governmental funds is provided in the form
of subcombining statements elsewhere in this report.
The City adopts an annual appropriated budget for its General Fund. A budgetary
comparison schedule has been provided for this fund to demonstrate compliance with this
budget – see Statement 10.
The basic governmental fund financial statements are statements 3 through 5 of this report.
Proprietary funds
. The City maintains three enterprise funds as a part of its proprietary
fund type. Enterprise funds are used to report the same functions presented as business-type
activities in the government-wide financial statements. The City uses enterprise funds to
account for its water, sanitary sewer and storm sewer operations.
Proprietary funds provide the same type of information as the government-wide financial
statements, only in more detail. The proprietary fund financial statements provide separate
information for the following funds:
Enterprise funds:
Water
Sanitary Sewer
Storm Sewer
The basic proprietary fund financial statements are statements 6 through 8 of this report.
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Fiduciary Funds
. Fiduciary funds are used to account for resources held for the benefit of
parties outside the City. Fiduciary funds are not reflected by the government-wide financial
statements because the resources of those funds are not available to support the City’s own
programs.
The basic fiduciary fund statements are Statements 9, 19 and 20.
Notes to the financial statements
. The notes provide additional information that is essential
to a full understanding of the data provided in the government–wide and fund financial
statements. The notes to the financial statements can be found following Statement 9.
Other information.
The combining statements referred to earlier in connection with non-
major governmental funds are presented immediately following the required supplementary
information on budgetary comparisons. Combining and individual fund statements and
schedules are presented as Statements 11 through 20.
Government-Wide Financial Analysis
As noted earlier, net assets may serve over time as a useful indicator of a government's
financial position. In the case of the City, assets exceeded liabilities by $33,022,832 at the
close of the most recent fiscal year.
The largest portion of the City’s net assets ($15,624,736 or 47.3% percent) reflects its
investment in capital assets (e.g. land, improvements, buildings and structures, machinery
and equipment, and furniture and fixtures) less any related debt used to acquire those assets
that is still outstanding. The City uses these capital assets to provide services to citizens;
consequently, these assets are not available for future spending. Although the City’s
investment in its capital assets is reported net of related debt, it should be noted that the
resources needed to repay this debt must be provided from other sources, since the capital
assets themselves cannot be used to liquidate these liabilities.
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Managements Discussion and Analysis
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City of Oak Park Heights’ Net Assets
Governmental ActivitiesBusiness-Type ActivitiesTotals
200920082009200820092008
Current and other assets$17,683,418$18,589,268$1,242,248$1,206,258$18,925,666$19,795,526
Capital assets16,058,91112,676,3996,925,8256,227,79622,984,73618,904,195
Total assets$33,742,329$31,265,667$8,168,073$7,434,054$41,910,402$38,699,721
Long-term liabilities outstanding$7,300,223$6,533,285$26,518$24,778$7,326,741$6,558,063
Other liabilities1,501,307463,59959,52216,2751,560,829479,874
Total liabilities$8,801,530$6,996,884$86,040$41,053$8,887,570$7,037,937
Net assets:
Invested in capital assets, net of related debt$8,698,911$6,376,399$6,925,825$6,227,796$15,624,736$12,604,195
Restricted4,076,9635,937,929 - - 4,076,9635,937,929
Unrestricted12,164,92511,954,4551,156,2081,165,20513,321,13313,119,660
Total net assets$24,940,799$24,268,783$8,082,033$7,393,001$33,022,832$31,661,784
A portion of the City’s net assets represent resources that are subject to external restrictions
on how they may be used. The remaining balance of unrestricted net assets may be used to
meet the City’s ongoing obligations to citizens and creditors.
At the end of the current fiscal year, the City is able to report positive balances in all three
categories of net assets, both for the government as a whole, as well as for its separate
governmental and business-type activities.
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Managements Discussion and Analysis
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Governmental Activities
Governmental activities increased the City’s net assets by $672,016 during 2009. Key
elements of this increase are as follows:
City of Oak Park Heights’ Changes in Net Assets
Governmental ActivitiesBusiness-Type ActivitiesTotals
200920082009200820092008
Revenues:
Program revenues:
Charges for services$394,910$503,253$1,272,101$1,207,218$1,667,011$1,710,471
Operating grants and contributions88,18790,548 - - 88,18790,548
Capital grants and contributions688,97510,091 - - 688,97510,091
General revenues:
General property taxes3,537,8293,261,049 - - 3,537,8293,261,049
Grants and contributions not
restricted to specific programs180,43056,693 - - 180,43056,693
Gain on sale of capital assets12,16520,895 - - 12,16520,895
Other revenue14,18622,148 - - 14,18622,148
Unrestricted investment earnings456,934606,99626,17443,080483,108650,076
Total revenues5,373,6164,571,6731,298,2751,250,2986,671,8915,821,971
Expenses:
General government1,356,0381,477,836 - - 1,356,0381,477,836
Public safety1,364,7341,347,164 - - 1,364,7341,347,164
Public works957,308796,532 - - 957,308796,532
Parks and recreation211,795224,426 - - 211,795224,426
Interest on long-term debt262,586138,399 - - 262,586138,399
Abatement of prior year property taxes - 115,000 - - - 115,000
Water - - 434,577405,965434,577405,965
Sanitary sewer - - 680,468670,661680,468670,661
Storm sewer - - 43,33759,11543,33759,115
Total expenses 4,152,4614,099,3571,158,3821,135,7415,310,8435,235,098
Increase in net assets before transfers1,221,155472,316139,893114,5571,361,048586,873
Transfers(549,139)432,248549,139(432,248) - -
Change in net assets672,016904,564689,032(317,691)1,361,048586,873
Net assets - January 124,268,78323,364,2197,393,0017,710,69231,661,78431,074,911
Net assets - December 31$24,940,799$24,268,783$8,082,033$7,393,001$33,022,832$31,661,784
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Below are specific graphs which provide comparisons of the governmental activities
revenues and expenditures:
Governmental Activities -Revenues
Operating
Grants and
grants and
Unrestricted
contributions
contributions
Capital grants
investment Charges for services
not restricted to
2%and
7%
earnings 9%
specific
contributions
programs 3%
13%
Property
taxes 66%
Governmental Activities -Expenses
Interest on
General
Long-Term
Parks and
Government
Debt 6%
Recreation 5%
33%
Public
Works
23%
Public
Safety 33%
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Business-Type Activities
Business-type activities increased net assets by $689,032 during 2009. Below are graphs
showing the business-type activities revenue and expense comparisons:
Business-Type Activities -Revenues
Unrestricted
Investment
Earnings 2%
Charges for Services
98%
Business-Type Activities -Expenses
Storm Sewer 3%
Water 38%
Sanitary Sewer 59%
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Managements Discussion and Analysis
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Financial Analysis of the Government's Funds
Governmental Funds
. The focus of the City’s governmental funds is to provide information
on near-term inflows, outflows, and balances of spendable resources. Such information is
useful in assessing the City’s financing requirements. In particular, unreserved fund balance
may serve as a useful measure of a government’s net resources available for spending at the
end of the fiscal year.
At the end of the current fiscal year, the City’s governmental funds reported combined
ending fund balances of $16,159,225.
The General Fund increased by $103,642 in 2009. Revenues were under budget by $189,000
due to lower property tax collection rates, abatements of property taxes, cuts in state aid and
lower permit revenues. However, expenditures were under budget by $280,000 due to
reduced spending in almost every City department.
The Budgeted Projects and Equipment Revolving increased by $137,686 due to transfers in
from other funds for future capital purchases.
The Moelter Park Capital Project Fund was created in 2009 and increased by $612,896 due to
a $612,000 contribution from Xcel Energy and investment income.
The Capital Revolving Capital Project Fund decreased by $390,976 during 2009. The fund
provided 50% of the resources needed to acquire land for a future water tower and well site.
The City Hall Improvements Capital Project Fund was established in 2008 to account for the
construction of the new City Hall. Financing is provided by $6.3 million of bonds issued in
2008 and an additional $1.2 million of bonds issued in 2009. The fund balance of this fund
decreased $2,347,545 in 2009.
The Renewal and Replacement Capital Project Fund increased by $285,041 during 2009.
This fund receives an annual transfer from the proprietary funds in an amount equal to
depreciation expense on contributed capital assets.
The nonmajor special revenue funds decreased by $1,444 during 2009.
The nonmajor debt service funds decreased by $25,132 during 2009.
The nonmajor capital project funds decreased by $38,419 during 2009.
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Managements Discussion and Analysis
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Proprietary funds
. The City’s proprietary funds provide the same type of information
found in the government-wide financial statements, but in more detail.
Budgetary Highlights
General Fund
The General Fund budget was not amended during 2009.
Capital Asset and Debt Administration
Capital assets
. The City’s investment in capital assets for its governmental and business-
type activities as of December 31, 2009, amounts to $22,984,736 (net of accumulated
depreciation). This investment in capital assets includes land, buildings and structures,
infrastructure, machinery and equipment and furniture and fixtures.
City of Oak Park Heights’ Capital Assets
(Net of Depreciation
)
BeginningEnding
BalanceIncreasesDecreasesBalance
Governmental activities:
Capital assets, not being depreciated:
Land$2,188,931$50,000($1)$2,238,930
Construction in progress723,7593,903,908(270,894)4,356,773
Total capital assets, not being depreciated2,912,6903,953,908(270,895)6,595,703
Capital assets, being depreciated:
Buildings and structures1,584,031 - - 1,584,031
Other improvements886,154 - - 886,154
Machinery and equipment511,98189,774(69,839)531,916
Furniture and fixtures278,86463,833 - 342,697
Infrastructure12,372,194270,894 - 12,643,088
Total capital assets, being depreciated15,633,224424,501(69,839)15,987,886
Less accumulated depreciation for:
Buildings and structures657,373209,856 - 867,229
Other improvements161,93612,249 - 174,185
Machinery and equipment274,39176,973(69,804)281,560
Furniture and fixtures147,21723,749 - 170,966
Infrastructure4,628,598402,140 - 5,030,738
Total accumulated depreciation5,869,515724,967(69,804)6,524,678
Total capital assets being depreciated - net9,763,709(300,466)(35)9,463,208
Governmental activities capital assets - net$12,676,399$3,653,442($270,930)$16,058,911
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Managements Discussion and Analysis
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BeginningEnding
BalanceIncreasesDecreasesBalance
Business-type activities:
Capital assets, not being depreciated:
Land$60,000$861,283$ - $921,283
Total capital assets, not being depreciated60,000861,2830921,283
Capital assets, being depreciated:
Buildings and structures1,778,29536,583 - 1,814,878
Machinery and equipment264,36518,035 - 282,400
Distribution and collection systems7,334,849 - - 7,334,849
Total capital assets, being depreciated9,377,50954,61809,432,127
Less accumulated depreciation:
Buildings and structures601,65155,643 - 657,294
Machinery and equipment146,90714,138 - 161,045
Distribution and collection systems2,461,155148,091 - 2,609,246
Less accumulated depreciation3,209,713217,87203,427,585
Total capital assets being depreciated - net6,167,796(163,254)06,004,542
Business-type activities capital assets - net$6,227,796$698,029$0$6,925,825
Additional information on the City’s capital assets can be found in Note 4.
Long-term debt
. At the end of the current fiscal year, the City had total long-term debt
outstanding of $7,360,000, an increase of $1,060,000 from 2008.
Additional long-term debt in the amount of $266,685 for compensated absences was also
outstanding at the end of 2009.
City of Oak Park Heights’ Outstanding Debt
General obligation improvement bonds and compensated absences:
Governmental ActivitiesBusiness-Type ActivitiesTotals
200920082009200820092008
General Obligation Bonds$7,360,000$6,300,000$ - $ - $7,360,000$6,300,000
Compensated absences239,435233,28527,25024,778266,685258,063
Total$7,599,435$6,533,285$27,250$24,778$7,626,685$6,558,063
State statutes limit the amount of general obligation debt a Minnesota city may issue to 3% of
total estimated market value. The current debt limitation for the City is $21,562,602. The
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Managements Discussion and Analysis
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City’s 2008A and 2009A Capital Improvement Bonds are counted within the statutory
limitation.
Additional information on the City’s long-term debt can be found in Note 5.
Requests for information.
This financial report is designed to provide a general overview
of the City’s finances for all those with an interest in the government’s finances. Questions
concerning any of the information provided in this report or requests for additional financial
information should be addressed to the Director of Finance, 14168 Oak Park Boulevard, Oak
Park Heights, Minnesota 55082-2007.
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BASIC FINANCIAL STATEMENTS
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 1
STATEMENT OF NET ASSETS
December 31, 2009
Primary Government
GovernmentalBusiness-TypeTotals
Assets:ActivitiesActivities20092008
Cash and investments$16,896,149$862,211$17,758,360$18,722,902
Accrued interest 269,62415,574285,198341,849
Accounts receivable - net7,509328,505336,014320,246
Due from other governmental units42,0113,44945,46042,263
Prepaid items49,10032,50981,60930,516
Taxes receivable:
Delinquent138,496 - 138,49671,337
Due from County47,451 - 47,45123,355
Special assessments receivable96,645 - 96,645134,746
Unamortized bond issuance costs136,433 - 136,433108,312
Capital assets (net of accumulated depreciation):
Land2,238,930921,2833,160,2132,248,931
Building and structures716,8021,157,5841,874,3862,102,902
Other improvements711,969 - 711,969724,218
Machinery and equipment250,356121,355371,711355,143
Furniture and fixtures171,731 - 171,731131,952
Infrastructure7,612,3504,725,60312,337,95312,617,290
Construction in progress4,356,773 - 4,356,773723,759
Total assets33,742,3298,168,07341,910,40238,699,721
Liabilities:
Accounts payable281,21744,637325,854393,828
Salaries payable7,2361,3138,5499,157
Contracts payable814,452 - 814,4527,207
Due to other governmental units3346,9577,29110,306
Due to developers50,000 - 50,00050,000
Accrued interest payable11,333 - 11,3339,376
Compensated absences payable:
Due within one year49,21273249,9447,846
Due in more than one year190,22326,518216,741250,217
Other post employment benefits37,5235,88343,406 -
Bonds payable:
Due within one year250,000 - 250,000135,000
Due in more than one year7,110,000 - 7,110,0006,165,000
Total liabilities8,801,53086,0408,887,5707,037,937
Net assets:
Invested in capital assets, net of related debt8,698,9116,925,82515,624,73612,604,195
Restricted for:
Debt service255,103 - 255,103235,559
City hall improvements3,209,860 - 3,209,8605,702,370
Park improvements612,000 - 612,000 -
Unrestricted12,164,9251,156,20813,321,13313,119,660
Total net assets$24,940,799$8,082,033$33,022,832$31,661,784
The accompanying notes are an integral part of these financial statements.
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CITY OF OAK PARK HEIGHTS, MINNESOTA
STATEMENT OF ACTIVITIES
For The Year Ended December 31, 2009
Charges For
ExpensesServices
Functions/Programs
Primary government:
Governmental activities:
General government$1,356,038$84,067
Public safety1,364,734268,441
Public works957,30842,402
Parks and recreation211,795 -
Interest on long-term debt262,586 -
Total governmental activities4,152,461394,910
Business-type activities:
Water434,577546,606
Sanitary sewer680,468651,022
Storm sewer43,33774,473
Sanitation - -
Total business-type activities1,158,3821,272,101
Total primary government$5,310,843$1,667,011
The accompanying notes are an integral part of these financial statements.
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Statement 2
Net (Expense) Revenue and
Program RevenuesChanges in Net Assets
Primary Government
OperatingCapital
Totals
Grants andGrants andGovernmentalBusiness-Type
ContributionsContributionsActivitiesActivities20092008
$ - $ - ($1,271,971)$ - ($1,271,971)($1,384,407)
87,2258,680(1,000,388) - (1,000,388)(889,614)
96268,295(845,649) - (845,649)(749,719)
- 612,000400,205 - 400,205(218,326)
- - (262,586) - (262,586)(138,399)
88,187688,975(2,980,389)0(2,980,389)(3,380,465)
- - - 112,029112,02969,693
- - - (29,446)(29,446)(13,852)
- - - 31,13631,13615,142
- - - - - 494
000113,719113,71971,477
$88,187$688,975(2,980,389)113,719(2,866,670)(3,308,988)
General revenues:
General property taxes3,537,829 - 3,537,8293,146,049
Grants and contributions not
restricted to specific programs180,430 - 180,43056,693
Unrestricted investment earnings456,93426,174483,108650,076
Gain on sale of capital assets12,165 - 12,16520,895
Other14,186 - 14,18622,148
Transfers(549,139)549,139 - -
Total general revenues
and transfers3,652,405575,3134,227,7183,895,861
Change in net assets672,016689,0321,361,048586,873
Net assets - beginning24,268,7837,393,00131,661,78431,074,911
Net assets - ending$24,940,799$8,082,033$33,022,832$31,661,784
The accompanying notes are an integral part of these financial statements.
îë
CITY OF OAK PARK HEIGHTS, MINNESOTA
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2009
401 Budgeted
Projects and
Equipment
General FundRevolving
Assets
Cash and investments$2,852,966$929,060
Accrued interest receivable32,96812,758
Accounts receivable - net6,697 -
Due from other governmental units42,011 -
Prepaid items - -
Interfund loan receivable - -
Taxes receivable:
Delinquent121,941 -
Due from county42,029 -
Special assessments receivable - -
Total assets$3,098,612$941,818
Liabilities and Fund Balances
Liabilities:
Accounts payable$249,092$2,674
Salaries payable7,236 -
Contracts payable -7,207
Due to other governmental units3313
Due to developers - -
Interfund loan payable - -
Deferred revenue121,941 -
Total liabilities378,6009,884
Fund balance:
Reserved - -
Unreserved:
Designated reported in General Fund2,496,635 -
Designated reported in Special Revenue Funds - -
Designated reported in Capital Project Funds -931,934
Undesignated reported in General Fund223,377 -
Total fund balance2,720,012931,934
Total liabilities and fund balance$3,098,612$941,818
Fund balance reported above
Amounts reported for governmental activities in the statement of net assets are different because:
Capital assets used in governmental activities are not financial resources, and therefore, are not reported in the funds.
Other long-term assets are not available to pay for current-period expenditures and, therefore, are deferred in the funds.
Long-term liabilities, are not due and payable in the current period and therefore are not reported in the funds:
Bonds payable
Compensated absences payable
Other post employment benefits
Accrued interest payable
Net assets of governmental activities
The accompanying notes are an integral part of these financial statements.
îê
Statement 3
710 Renewal
and
ReplacementOther
Capital Project Governmental
407 Moelter 500 Capital 572 City Hall
ParkRevolving FundImprovementsFundFundsTotal Governmental Funds
20092008
$612,363$422,928$4,186,586$3,786,974$4,105,272$16,896,149$17,854,672
53312,72286,26357,06967,311269,624319,045
- - - - 8127,50935,918
- - - - - 42,01141,883
- - 49,100 - - 49,100 -
- - - - - - 65,000
- - - - 16,555138,49671,337
- - - - 5,42247,45123,355
-96,645 - - - 96,645134,746
$612,896$532,295$4,321,949$3,844,043$4,195,372$17,546,985$18,545,956
$ -$6,750$21,774$ - $927$281,217$382,438
- - - - - 7,2367,787
- - 807,245 - - 814,4527,207
- - - - - 3346,791
- - - - 50,00050,00050,000
- - - - - - 65,000
-96,025 - - 16,555234,521203,257
0102,775829,019067,4821,387,760722,480
- - - - 102,115102,115127,247
- - - - - 2,496,6352,271,000
- - - - 100,737100,737102,181
612,896429,5203,492,9303,844,0433,925,03813,236,36114,977,678
- - - - - 223,377345,370
612,896429,5203,492,9303,844,0434,127,89016,159,22517,823,476
$612,896$532,295$4,321,949$3,844,043$4,195,372$17,546,985$18,545,956
$16,159,225$17,823,476
16,058,91112,676,399
370,954311,569
(7,360,000)(6,300,000)
(239,435)(233,285)
(37,523) -
(11,333)(9,376)
$24,940,799$24,268,783
The accompanying notes are an integral part of these financial statements.
îé
CITY OF OAK PARK HEIGHTS, MINNESOTA
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2009
401 Budgeted
Projects and
Equipment407 Moelter
General FundRevolvingPark
Revenues:
General property taxes$3,134,378$ - $ -
Special assessments - - -
Licenses and permits100,074 - -
Intergovernmental271,1195,653 -
Charges for services74,290 - -
Fines and forfeits70,102 - -
Investment income55,43921,440896
Refunds and reimbursements117,441 - -
Donations and contributions50025612,000
Total revenues3,823,34327,118 612,896
Expenditures:
Current:
General government1,108,7578,585 -
Public safety1,264,0355,167 -
Public works435,840115,237 -
Parks and recreation123,16916,019 -
Capital outlay7,500148,445 -
Debt service:
Principal retirement - - -
Interest and other - - -
Bond issuance costs - - -
Construction costs -23,623 -
Total expenditures2,939,301 317,076 0
Revenues over (under) expenditures884,042 (289,958)612,896
Other financing sources (uses):
Sale of capital assets12,200 - -
Bonds issued - - -
Premium (discount) on bonds issued - - -
Transfers in - 427,644 -
Transfers out(792,600) - -
Total other financing sources (uses)(780,400)427,644 0
Net change in fund balance103,642 137,686 612,896
Fund balance - January 12,616,370794,248 -
Fund balance - December 31$2,720,012$931,934$612,896
The accompanying notes are an integral part of these financial statements.
îè
Statement 4
710 Renewal
and Replacement Other
500 Capital 572 City Hall Capital Project GovernmentalIntra-Activity
Revolving FundImprovementsFundFundsEliminationsTotal Governmental Funds
20092008
$ - $ - $ - $336,292$ - $3,470,670$3,156,807
43,810 - - - - 43,81031,579
- - - - - 100,074203,041
- - - - - 276,772141,141
- - - 33,102 - 107,392107,183
- - - 4,486 - 74,58880,689
23,980144,96595,905114,309 - 456,934606,996
- - - 19,981 - 137,422134,987
- - - - - 612,5256,100
67,790 144,965 95,905 508,170 0 5,280,187 4,468,523
- - - 480 - 1,117,8221,075,616
- - - 8,398 - 1,277,6001,292,465
28,125 - - 7,670 - 586,872632,530
- - - - - 139,188146,128
430,641 - - 467,159 - 1,053,745161,707
- - - 135,000 - 135,000750,000
- - - 255,213 - 255,213134,850
- 33,537 - - - 33,537111,020
- 3,632,391 - 247,894 - 3,903,908740,657
458,766 3,665,928 0 1,121,814 0 8,502,885 5,044,973
(390,976)(3,520,963)95,905 (613,644)0 (3,222,698)(576,450)
- - - - - 12,20021,289
- 1,173,418 - 21,582 - 1,195,0006,300,000
- - - - - - 5,827
- - 189,136527,461(792,994)351,247515,083
- - - (394)792,994 - -
0 1,173,418 189,136 548,649 0 1,558,447 6,842,199
(390,976)(2,347,545)285,041 (64,995)0 (1,664,251)6,265,749
820,4965,840,4753,559,0024,192,885 - 17,823,47611,557,727
$429,520$3,492,930$3,844,043$4,127,890$0$16,159,225$17,823,476
The accompanying notes are an integral part of these financial statements.
îç
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 5
RECONCILIATION OF THE STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES OF
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2009
20092008
Amounts reported for governmental activities in the
statement of activities are different because:
Net changes in fund balances - total governmental funds (Statement 4)($1,664,251)$6,265,749
Governmental funds report capital outlays as expenditures. However, in the
statement of activities the cost of those assets is allocated over their
estimated useful lives and reported as depreciation expense:
Depreciation(724,967)(702,019)
Capital outlay4,957,653912,576
Other various transactions relating to capital assets:
Capital contributions to business-type activities(900,386)(82,835)
Received donation of land50,000 -
Adjustment to gain on disposal of capital asset(36)(394)
Other248 -
Revenues in the statement of activities that do not provide current financial
resources are not reported as revenues in the funds:
Change in delinquent taxes67,159(10,758)
Change in deferred and delinquent special assessments(35,895)(21,987)
The issuance of long-term debt (e.g., bonds, leases) provides current
financial resources to governmental funds, while the repayment of the
principal of long-term debt consumes the current financial resources of
governmental funds. Neither transaction, however, has any effect on net
assets. The amount of this difference is:
Principal payments on bonds payable135,000750,000
Bonds issued(1,195,000)(6,300,000)
Bond issuance costs33,537111,020
Some expenses reported in the statement of activities do not require the use
of current financial resources and, therefore, are not reported as expenditures
in governmental funds. Expenses reported in the statement of activities
include the effects of the changes in these expense accruals as follows:
Amortization of issuance costs(5,416)(2,708)
Change in compensated absences payable(6,150)(7,412)
Change in other post employment benefits(37,523) -
Change in accrued interest payable(1,957)(6,668)
Change in net assets of governmental activities (Statement 2)$672,016$904,564
The accompanying notes are an integral part of these financial statements.
íð
CITY OF OAK PARK HEIGHTS, MINNESOTA
STATEMENT OF NET ASSETSStatement 6
PROPRIETARY FUNDS
December 31, 2009
Business-Type Activities Enterprise Funds
707 Storm
705 Water 706 Sewer Sewer Utility
Utility FundUtility FundFundTotals
20092008
Assets:
Current assets:
Cash and cash equivalents$310,249$352,044$199,918$862,211$868,230
Accrued interest receivable5,8516,6403,08315,57422,804
Accounts receivable:
Customers109,815156,90018,563285,278247,587
Certified to County13,81822,4007,00943,22736,087
Other - - - - 654
Due from other governmental units1,5601,889 - 3,449380
Prepaid items - 32,509 - 32,50930,516
Total current assets441,293 572,382 228,573 1,242,248 1,206,258
Noncurrent assets:
Capital assets:
Land921,283 - - 921,28360,000
Buildings and structures1,671,163143,715 - 1,814,8781,778,295
Machinery and equipment274,6177,783 - 282,400264,365
Distribution and collection system3,332,3644,002,485 - 7,334,8497,334,849
Total capital assets6,199,427 4,153,983 0 10,353,410 9,437,509
Less: Allowance for depreciation(1,918,142)(1,509,443) - (3,427,585)(3,209,713)
Net capital assets4,281,2852,644,54006,925,8256,227,796
Total noncurrent assets4,281,2852,644,54006,925,8256,227,796
Total assets4,722,5783,216,922228,5738,168,0737,434,054
Liabilities:
Current liabilities:
Accounts payable12,01030,3302,29744,63711,390
Salaries payable667646 - 1,3131,370
Due to other governmental units4,1712,0567306,9573,515
Compensated absences payable - current portion42626541732754
Total current liabilities17,274 33,297 3,068 53,639 17,029
Noncurrent liabilities:
Compensated absences payable 15,4379,5821,49926,51824,024
Other post employment benefits3,3132,1424285,883 -
Noncurrent liabilities18,75011,7241,92732,40124,024
Total liabilities36,02445,0214,99586,04041,053
Net assets:
Invested in capital assets4,281,2852,644,540 - 6,925,8256,227,796
Unrestricted405,269527,361223,5781,156,2081,165,205
Total net assets$4,686,554$3,171,901$223,578$8,082,033$7,393,001
The accompanying notes are an integral part of these financial statements.
íï
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 7
STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN FUND NET ASSETS
PROPRIETARY FUNDS
For The Year Ended December 31, 2009
Business-Type Activities Enterprise Funds
707 Storm
705 Water 706 Sewer Sewer Utility
Utility FundUtility FundFund
Totals
20092008
Operating revenues:
Customer billings$539,568$641,758$73,068$1,254,394$1,166,589
Penalties5,2428,5361,40515,18320,542
Meter sales1,121 - - 1,1214,067
Charges for services675130 - 80516,220
Refunds and reimbursements -598 - 598 -
Total operating revenues546,606 651,022 74,473 1,272,101 1,207,418
Operating expenses:
Personal services179,373115,49020,720315,583305,071
Contractual services89,16966,25717,957173,383173,835
MCES charges - 366,192 - 366,192356,245
Materials and supplies13,7366,28693020,95228,586
Administrative and personnel charges20,55040,1203,73064,40062,040
Depreciation131,74986,123 - 217,872210,164
Total operating expenses434,577 680,468 43,337 1,158,382 1,135,941
Operating income (loss)112,029 (29,446)31,136 113,719 71,477
Nonoperating revenues:
Earnings on investments9,83511,1585,18126,17443,080
Income (loss) before contributions and transfers121,864(18,288)36,317139,893114,557
Capital contributions899,0931,293 - 900,38682,835
Transfers:
Transfers to other funds(233,470)(108,227)(9,550)(351,247)(515,083)
Total transfers and contributions665,623(106,934)(9,550)549,139(432,248)
Change in net assets787,487(125,222)26,767689,032(317,691)
Net assets - January 13,899,0673,297,123196,8117,393,0017,710,692
Net assets - December 31$4,686,554$3,171,901$223,578$8,082,033$7,393,001
The accompanying notes are an integral part of these financial statements.The accompanying notes are an integral part of these financial statements.
íî
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 8
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
For The Year Ended December 31, 2009
Business-Type Activities Enterprise Funds
707 Storm
705 Water 706 Sewer Sewer Utility
Utility FundUtility FundFundTotals
20092008
Cash flows from operating activities:
Receipts from customers and users$522,414$631,569$70,872$1,224,855$1,242,324
Payment to suppliers(117,672)(452,543)(21,350)(591,565)(661,204)
Payment to employees(174,584)(112,518)(18,849)(305,951)(300,827)
Net cash flows from operating activities230,15866,50830,673327,339280,293
Cash flows from noncapital financing activities:
Transfer to other funds(233,470)(108,227)(9,550)(351,247)(515,083)
Cash flows from capital and related
financing activities:
Acquisition of capital assets(15,515) - - (15,515) -
Cash flows from investing activities:
Investment income12,68614,5936,12533,40462,345
Net increase (decrease) in cash and cash equivalents(6,141)(27,126)27,248(6,019)(172,445)
Cash and cash equivalents - January 1316,390379,170172,670868,2301,040,675
Cash and cash equivalents - December 31$310,249 $352,044 $199,918 $862,211 $868,230
Reconciliation of operating income (loss) to net
cash provided (used) by operating activities:
Operating income (loss)$112,029($29,446)$31,136$113,719$71,477
Adjustments to reconcile operating income
(loss) to net cash flows from operating activities:
Depreciation131,74986,123 - 217,872210,164
Changes in assets and liabilities:
Decrease (increase) in receivables(24,192)(19,453)(3,601)(47,246)47,042
Decrease (increase) in prepaid expenses - (1,993) - (1,993)(829)
Increase (decrease) in payables10,57231,2773,13844,987(47,561)
Total adjustments118,129 95,954 (463)213,620 208,816
Net cash provided by operating activities$230,158$66,508$30,673$327,339$280,293
Noncash investing, capital and financing activities:
Contribution of capital assets$899,093$1,293$ - $900,386$82,835
The accompanying notes are an integral part of these financial statements.The accompanying notes are an integral part of these financial statements.
íí
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 9
STATEMENT OF FIDUCIARY NET ASSETS
AGENCY FUNDS
December 31, 2009
20092008
Assets:
Cash and investments$172,408$115,834
Due from developers6,8593,899
Total assets179,267119,733
Liabilities:
Escrow deposits payable$101,500$16,500
Accounts payable3,6355,312
Due to developers74,13297,921
Total liabilities179,267119,733
Net assets:
Unrestricted$0$0
The accompanying notes are an integral part of these financial statements.
íì
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Oak Park Heights, Minnesota operates under the State of Minnesota Statutory Plan A form of
government. The governing body consists of a five member City council elected by voters of the City.
The financial statements of the City of Oak Park Heights, Minnesota have been prepared in conformity with
generally accepted accounting principles as applied to governmental units by the Governmental Accounting
Standards Board (GASB). The following is a summary of the significant accounting policies.
A.FINANCIAL REPORTING ENTITY
As required by generally accepted accounting principles, the financial statements of the reporting
entity include those of the City (the primary government) and its component units, entities which the
City is considered to be financially accountable. Blended component units, although legally separate
entities, are, in substance, part of the City's operations and so data from these units are combined with
data of the primary government.
BLENDED COMPONENT UNITS
The HRA of the City of Oak Park Heights, Minnesota is a separate legal entity which is authorized to
expend monies generated by the City's tax increment district. The City council also serves as HRA
board members. Separate financial statements are not prepared for the HRA.
The EDA of the City of Oak Park Heights, Minnesota is a separate legal entity. The EDA board
members are substantially the same as the City council in that four of the five board members are
council members and the fifth board member is the City finance director. Separate financial
statements are not prepared by the EDA.
B.GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
The government-wide financial statements (i.e., the statement of net assets and the statement of
changes in net assets) report information on all of the nonfiduciary activities of the primary
government and its component units. For the most part, the effect of interfund activity has been
removed from these statements. Governmental activities, which normally are supported by taxes and
intergovernmental revenues, are reported separately from business-type activities, which rely to a
significant extent on fees and charges for support.
The statement of activities demonstrates the degree to which the direct expenses of a given function or
business-type activity is offset by program revenues. Direct expenses are those that are clearly
identifiable with a specific function or business-type activity. Program revenues include 1) charges to
customers or applicants who purchase, use, or directly benefit from goods, services, or privileges
provided by a given function or business-type activity and 2) grants and contributions that are
restricted to meeting the operational or capital requirements of a particular function or business-type
activity. Taxes and other items not included among program revenues are reported instead as general
revenues.
íë
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary
funds, even though the latter are excluded from the government-wide financial statements. Major
individual governmental funds and major individual enterprise funds are reported as separate columns
in the fund financial statements.
C.MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT
PRESENTATION
The government-wide financial statements are reported using the economic resources measurement
focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues
are recorded when earned and expenses are recorded when a liability is incurred, regardless of the
timing of related cash flows. Property taxes are recognized as revenues in the year for which they are
levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements
imposed by the provider have been met. The City’s only fiduciary funds are agency funds. Agency
funds are custodial in nature (assets equal liabilities) and do not involve measurement of results of
operations.
Governmental fund financial statements are reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as
they are both measurable and available. Revenues are considered to be available when they are
collectible within the current period or soon enough thereafter to pay liabilities of the current period.
For this purpose, the government considers all revenues, except reimbursement grants, to be available
if they are collected within 60 days of the end of the current fiscal period. Reimbursement grants are
considered available if they are collected within one year of the end of the current fiscal period.
Expenditures generally are recorded when a liability is incurred, as under accrual accounting.
However, debt service expenditures, as well as expenditures related to compensated absences and
claims and judgments, are recorded only when payment is due.
Property taxes, special assessments, intergovernmental revenues, charges for services and interest
associated with the current fiscal period are all considered to be susceptible to accrual and so have
been recognized as revenues of the current fiscal period. Only the portion of special assessments
receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of
the current period. All other revenue items are considered to be measurable and available only when
cash is received by the government.
The City reports the following major governmental funds:
TheGeneral Fund is the government’s primary operating fund. It accounts for all financial
resources of the general government, except those required to be accounted for in another fund.
TheBudgeted Projects and Equipment Revolving Capital Project Fund is used to account for
monies set aside for various capital improvements.
TheMoelter Park Capital Project Fund is used to account for funds received for improvements and/or
continued maintenance of park amenities on or adjacent to the Moelter site, including trails, park
shelters, parking lots and other related park amenities, as stated in City resolution number 09-12-49.
íê
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
TheCapital Revolving Capital Project Fund accounts for use of residual debt service fund
monies.
TheCity Hall Improvement Capital Project Fund is used to account for the costs related to the
construction of the new City hall.
TheRenewal and Replacement Capital Project Fund is used to account for assets depreciated
from the utility fund and water and sanitary sewer departments. Funds are used to renew or
replace water and sanitary sewer system assets.
The government reports the following major proprietary funds:
The Water Utility Fund accounts for assets, liabilities, revenues and expenditures for water utility
operations.
The Sewer Utility Fund accounts for assets, liabilities, revenues and expenditures for sewer utility
operations.
The Storm Sewer Utility Fund accounts for assets, liabilities, revenues and expenditures for storm
sewer utility operations.
Additionally, the government reports the following fund type:
Agency Funds account for the assets of various developers held by the City as an agent.
Private-sector standards of accounting and financial reporting issued prior to December 1, 1989,
generally are followed in both the government-wide and proprietary fund financial statements to the
extent that those standards do not conflict with or contradict guidance of the Governmental
Accounting Standards Board. Governments also have the option of following subsequent private-
sector guidance for their business-type activities and enterprise funds, subject to this same limitation.
The government has elected not to follow subsequent private-sector guidance.
As a general rule the effect of interfund activity has been eliminated from the government-wide
financial statements. Exceptions to this general rule are transactions that would be treated as revenues,
expenditures or expenses if they involved external organizations, such as buying goods and services or
payments in lieu of taxes, are similarly treated when they involve other funds of the City. Elimination
of these charges would distort the direct costs and program revenues reported for the various functions
concerned.
Amounts reported as program revenues include 1) charges to customers or applicants for goods,
services, or privileges provided, 2) operating grants and contributions, and 3) capital grants and
contributions, including special assessments. Internally dedicated resources are reported as general
revenues rather than as program revenues. Likewise, general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating
revenues and expenses generally result from providing services and producing and delivering goods in
connection with a proprietary fund’s principal ongoing operations. The principal operating revenues
íé
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
of the enterprise funds are charges to customers for sales and services. Operating expenses for
enterprise funds include the cost of sales and services, administrative expenses, and depreciation on
capital assets. All revenues and expenses not meeting this definition are reported as nonoperating
revenues and expenses.
When both restricted and unrestricted resources are available for an allowable use, it is the City’s
policy to use restricted resources first, then unrestricted resources as they are needed.
D.BUDGETS
Budgets are adopted on a basis consistent with generally accepted accounting principles. Annual
appropriated budgets are adopted for the General Fund, but not for Special Revenue Funds. Budgeted
expenditure appropriations lapse at year end.
Encumbrance accounting, under which purchase orders, contracts, and other commitments for the
expenditure of monies are recorded in order to reserve that portion of the appropriation, is not
employed by the City because it is at present not considered necessary to assure effective budgetary
control or to facilitate effective cash management.
E.LEGAL COMPLIANCE - BUDGETS
The City follows these procedures in establishing the budgetary data reflected in the financial
statements:
1. The City Administrator submits to the City Council a proposed operating budget for the fiscal
year commencing the following January 1. The operating budget includes proposed
expenditures and the means of financing them.
2. Public hearings are conducted to obtain taxpayer comments.
3. The budget is legally enacted through passage of a resolution on a departmental basis and can
be expended by each department based upon detailed budget estimates for individual
expenditure accounts.
4. The department heads are authorized to transfer appropriations under $500 within any
department budget. Additional interdepartmental or interfund appropriations and deletions
are or may be authorized by the City Council with fund (contingency) reserves or additional
revenues.
5. Formal budgetary integration is employed as a management control device during the year for
the General Fund.
6. Legal debt obligation indentures determine the appropriation level and debt service tax levies
for the Debt Service Funds. Supplementary budgets are adopted for the Proprietary Funds to
determine and calculate user charges. These debt service and budget amounts represent
íè
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
general obligation bond indenture provisions and net income for operation and capital
maintenance and are not reflected in the financial statements.
7. A capital improvement program is reviewed annually by the City Council for the Capital
Project Funds. However, appropriations for major projects are not adopted until the actual
bid award of the improvement. The appropriations are not reflected in the financial
statements.
8. Expenditures may not legally exceed budgeted appropriations at the total fund level.
Monitoring of budgets is maintained at the expenditure category level (i.e., personal services;
material and supplies; contractual services; capital outlay) within each department. All
amounts over budget have been approved by the City council through the disbursement
approval process.
9. The City Council may authorize transfer of budgeted amounts between City funds.
F.CASH AND INVESTMENTS
Cash and investment balances from all funds are pooled and invested to the extent available in
authorized investments. Earnings from investments are allocated to individual funds on the basis of
the fund's equity in the cash and investment pool.
Investments are stated at fair value, based upon quoted market prices. Investment income is accrued at
the balance sheet date.
For purposes of the statement of cash flows the Enterprise Funds consider all highly liquid investments
with a maturity of three months or less when purchased to be cash equivalents. All of the cash and
investments allocated to the Enterprise Funds have original maturities of 90 days or less. Therefore
the entire balance in the fund is considered cash equivalents.
G.RECEIVABLES AND PAYABLES
Property taxes and special assessments (see notes 1H and I) have been reported net of estimated
uncollectible accounts. Because utility bills are considered liens on property, no estimated
uncollectible amounts are established. Uncollectible amounts are not material for other receivables
and have not been reported.
H.PROPERTY TAX REVENUE RECOGNITION
The City Council annually adopts a tax levy and certifies it to the County in December
(levy/assessment date) of each year for collection in the following year. The County is responsible for
billing and collecting all property taxes for itself, the City, the local School District and other taxing
authorities. Such taxes become a lien on January 1 and are recorded as receivables by the City at that
date. Real property taxes are payable (by property owners) on May 15 and October 15 of each
íç
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
calendar year. Personal property taxes are payable by taxpayers on February 28 and June 30 of each
year. These taxes are collected by the County and remitted to the City on or before July 7 and
December 2 of the same year. Delinquent collections for November and December are received the
following January. The City has no ability to enforce payment of property taxes by property owners.
The County possesses this authority.
Government-Wide Financial Statements
The City recognizes property tax revenue in the period for which the taxes were levied. Uncollectible
property taxes are not material and have not been reported.
Governmental Fund Financial Statements
The City recognizes property tax revenue when it becomes both measurable and available to finance
expenditures of the current period. In practice, current and delinquent taxes and State credits received
by the City in July, December and January are recognized as revenue for the current year. Taxes
collected by the County by December 31 (remitted to the City the following January) and taxes and
credits not received at year end are classified as delinquent and due from County taxes receivable. The
portion of delinquent taxes not collected by the City in January is fully offset by deferred revenue
because they are not available to finance current expenditures.
I.SPECIAL ASSESSMENT REVENUE RECOGNITION
Special assessments are levied against benefited properties for the cost or a portion of the cost of
special assessment improvement projects in accordance with State Statutes. These assessments are
collectible by the City over a term of years usually consistent with the term of the related bond issue.
Collection of annual installments (including interest) is handled by the County Auditor in the same
manner as property taxes. Property owners are allowed to (and often do) prepay future installments
without interest or prepayment penalties.
Once a special assessment roll is adopted, the amount attributed to each parcel is a lien upon that
property until full payment is made or the amount is determined to be excessive by the City Council or
court action. If special assessments are allowed to go delinquent, the property is subject to tax forfeit
sale. Proceeds of sales from tax forfeit properties are allocated first to the County’s costs of
administering all tax forfeit properties. Generally, the City will collect the full amount of its special
assessments not adjusted by City Council or court action. Pursuant to State Statutes, a property shall
be subject to a tax forfeit sale after three years unless it is homesteaded, agricultural or seasonal
recreational land in which event the property is subject to such sale after five years.
Government-Wide Financial Statements
The City recognizes special assessment revenue in the period that the assessment roll was adopted by
the City Council. Uncollectible special assessments are not material and have not been reported.
Governmental Fund Financial Statements
Revenue from special assessments is recognized by the City when it becomes measurable and
available to finance expenditures of the current fiscal period. In practice, current and delinquent
special assessments received by the City are recognized as revenue for the current year. All remaining
delinquent and deferred assessments receivable in governmental funds are offset by deferred revenues.
ìð
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
J.INVENTORIES
The original cost of materials and supplies has been recorded as expenditures at the time of purchase.
The City does not maintain material amounts of inventories of goods and supplies.
K.PREPAID ITEMS
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as
prepaid items in both government-wide and fund financial statements.
L.CAPITAL ASSETS
Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, bridges,
sidewalks, and similar items), are reported in the applicable governmental or business-type activities
columns in the government-wide financial statements. Capital assets are defined by the government as
assets with an initial, individual cost of more than $5,000 (amount not rounded) and an estimated
useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost
if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the
date of donation.
In the case of the initial capitalization of general infrastructure assets (i.e., those reported by
governmental activities) the government chose to include all such items regardless of their acquisition
date. These assets are reported at historical cost.
The costs of normal maintenance and repairs that do not add to the value of the asset or materially
extend assets lives are not capitalized.
Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest
incurred during the construction phase of capital assets of business-type activities is included as part of
the capitalized value of the assets constructed.For the year ended December 31, 2009, no interest was
capitalized in connection with construction in progress.
Property, plant and equipment of the primary government, as well as the component units, are
depreciated using the straight line method over the following estimated useful lives:
Buildings and structures 50 years
Machinery and equipment 3 – 20 years
Distribution and collection systems 50 years
Streets 25 years
Storm sewers 50 years
Pathways 20 years
ìï
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
M.COMPENSATED ABSENCES
It is the City’s policy to permit employees to accumulate earned but unused vacation and sick pay
benefits. All vacation pay and accumulated vested sick leave benefits that is accrued when incurred in
the government-wide and proprietary fund financial statements.
A liability for these amounts is reported in governmental funds only if they have matured, for example,
as a result of employee resignations and retirements. In accordance with the provisions of Statement
of Government Accounting Standards No. 16, Accounting for Compensated Absences, no liability is
recorded for nonvesting accumulating rights to receive sick pay benefits.
N.LONG-TERM OBLIGATIONS
In the government-wide financial statements and proprietary fund types in the fund financial
statements, long-term debt and other long-term obligations are reported as liabilities in the applicable
governmental activities, business-type activities, or proprietary fund type statement of net assets.
Bond premiums and discounts, as well as issuance costs, are immaterial and are expensed in the year
of bond issuance.
In the fund financial statements, governmental fund types recognize bond premiums and discounts, as
well as bond issuance costs, during the current period. The face amount of debt issued is reported as
other financing sources. Premiums received on debt issuances are reported as other financing sources
while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not
withheld from the actual debt proceeds received, are reported as debt service expenditures.
O.FUND EQUITY
In the fund financial statements, governmental funds report reservations of fund balance for amounts
not appropriable for expenditure or legally segregated for a specific future use. Designated fund
balances represent tentative plans for future use of financial resources.
P.INTERFUND TRANSACTIONS
Interfund services provided and used are accounted for as revenues, expenditures or expenses.
Transactions that constitute reimbursements to a fund for expenditures/expenses initially made from it
that are properly applicable to another fund, are recorded as expenditures/expenses in the reimbursing
fund and as reductions of expenditures/expenses in the fund that is reimbursed. Interfund loans are
reported as an interfund loan receivable or payable which offsets the movement of cash between
funds. All other interfund transactions are reported as transfers.
ìî
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Q.RECLASSIFICATIONS
Certain amounts presented in the prior year data have been reclassified in order to be consistent with
the current year’s presentation.
R.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
A. DEPOSITS
In accordance with Minnesota Statutes, the City maintains deposits at those depository banks
authorized by the City Council, all of which are members of the Federal Reserve System.
Minnesota Statutes require that all City 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.
Minnesota Statutes require that securities pledged as collateral be held in safekeeping by the City
Treasurer or in a financial institution other than that furnishing the collateral. Authorized collateral
includes the following:
a)United States government treasury bills, treasury notes, treasury bonds;
b)Issues of United States government agencies and instrumentalities as quoted by a recognized
industry quotation service available to the government entity;
c)General obligation securities of any state or local government with taxing powers which is rated
“A” or better by a national bond rating service, or revenue obligation securities of any state or
local government with taxing powers which is rated “AA” or better by a national bond rating
service;
d)Unrated general obligation securities of a local government with taxing powers may be pledged as
collateral against funds deposited by that same local government entity:
e)Irrevocable standby letters of credit issued by Federal Home Loan Banks to a municipality
accompanied by written evidence that the bank’s public debt is rated “AA” or better by Moody’s
Investors Service, Inc. or Standard & Poor’s Corporation; and
f)Time deposits that are fully insured by any Federal agency.
ìí
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
At December 31, 2009 the carrying amount of the City’s deposits with financial institutions was
$12,172,399, all of which was insured by FDIC or protected by collateral provided by the financial
institution.
B. INVESTMENTS
Minnesota Statutes authorize the City to invest in the following:
a) 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.
b) Shares of investment companies registered under the Federal Investment Company Act of 1940
and whose only investments are in securities described in (a) above, general obligation tax-exempt
securities, or repurchase or reverse repurchase agreements.
c) Obligations of the State of Minnesota or any of its municipalities as follows:
1)any security which is a general obligation of any state or local government with taxing
powers which is rated “A” or better by a national bond rating service;
2)any security which is a revenue obligation of any state or local government with taxing
powers which is rated “AA” or better by a national bond rating service; and
3)a general obligation of the Minnesota housing finance agency which is a moral obligation of
the State of Minnesota and is rated “A” or better by a national bond rating agency.
d) Bankers acceptance of United States banks eligible for purchase by the Federal Reserve System.
e) Commercial paper issued by United States corporations or their Canadian subsidiaries, of the
highest quality, and maturing in 270 days or less.
f) 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 to the Federal Reserve Bank of New York; certain Minnesota securities broker-dealers;
or, a bank qualified as a depositor.
g) General obligation temporary bonds of the same governmental entity issued under section
429.091, subdivision 7; 469.178, subdivision 5; or 475.61, subdivision 6.
ìì
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
As of December 31, 2009 the City had the following investments and maturities:
Investment Maturities (in Years)
FairLess
Investment TypeValueThan 11-56-10
(1)
Federal National Mortgage Assn. Notes
$349,800$ - $ - $349,800
Federal Home Loan Mortgage Corp. Notes499,250 - 98,250401,000
(1)
Federal Home Loan Bank Notes250,000 - - 250,000
Brokered certificates of deposit3,382,779582,1712,800,608 -
External investment pool - 4M Fund1,276,4401,276,440 - -
Total$5,758,269$1,858,611$2,898,858$1,000,800
(1)
These notes have call dates that occur
Total investments$5,758,269
in less than one yearDeposits12,172,399
Petty cash100
Total cash and investments$17,930,768
Following is a reconciliation of the City’s cash and investment balances as of December 31, 2009:
Government-wide statement of net assets:
Cash and investments$17,758,360
Fiduciary funds statement of net assets172,408
$17,930,768
C. INVESTMENT RISKS
The City’s investment policy is to follow Minnesota State Statutes as described above which reduces
the City’s exposure to credit, custodial credit, and interest rate risks. Specific risk information for the
City is as follows:
Interest rate risk – The City’s investment policy requires the City to diversify its investment portfolio
to eliminate the risk of loss resulting from over concentration of assets in a specific maturity. The
policy also states the City’s investment portfolio will remain sufficiently liquid to enable the City to
meet all operating requirements which might be reasonably anticipated.
Credit risk – The City’s investments in FNMA, FHLMC and FHLB notes were all rated Aaa at the
time of purchase by Moody’s Investors Service. The City’s external investment pool investment is
with the 4M fund which is regulated by Minnesota Statutes and the Board of Directors of the League
of Minnesota Cities. The 4M fund is an unrated 2a7-like pool and the fair value of the position in the
pool is the same as the value of pool shares.
ìë
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
– The City places no limit on the amount the City may invest in any one
Concentration of credit risk
issuer. More than 5% of the City’s investments are with the Federal Home Loan Mortgage
Corporation. This investment is 10% of the City’s total cash and investments.
– For investments in securities, custodial credit risk is the risk that in the event of
Custodial credit risk
a failure of the counterparty, the City will not be able to recover the value of its investment securities
that are in the possession of an outside party. As of December 31, 2009, $1,276,440 of the City’s
investments was invested in the 4M Fund. Investments in the 4M Fund are not evidenced by securities
that exist in physical or book entry form, and therefore are not subject to custodial credit risk
disclosures. The City’s investments in Federal Agency securities and brokered cd’s, are held by the
broker-dealer, of which $1,000,000 is insured through SIPC. Each broker-dealer has provided
additional protection by purchasing additional private insurance. This insurance is subject to
aggregate limits applied to all of the broker’s accounts.
Note 3 RECEIVABLES
Significant receivable balances not expected to be collected within one year of December 31, 2009 are as
follows:
Major Funds
CapitalOther
RevolvingGovernmental
GeneralFundFundsTotal
Delinquent property taxes$54,359$ - $7,380$61,739
Deferred special assessments - 74,038 - 74,038
Total$54,359$74,038$7,380$135,777
Governmental funds report deferred revenue in connection with receivables for revenues that are not considered
to be available to liquidate liabilities of the current period. Governmental funds also defer revenue recognition
in connection with resources that have been received, but not yet earned. At the end of the current fiscal year,
the various components of deferred revenue and unearned revenue reported in the governmental funds were as
follows:
UnavailableUnearned
Delinquent property taxes receivable (General Fund)$121,941$ -
Delinquent property taxes receivable (Nonmajor Funds)16,555 -
Special assessments receivable (Capital Revolving Fund)96,025 -
Total deferred/unearned revenue for governmental funds$234,521$0
ìê
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Note 4 CAPITAL ASSETS
Capital asset activity for the year ended December 31, 2009 was as follows:
BeginningEnding
BalanceIncreasesDecreasesBalance
Governmental activities:
Capital assets, not being depreciated:
Land$2,188,931$50,000($1)$2,238,930
Construction in progress723,7593,903,908(270,894)4,356,773
Total capital assets, not being depreciated2,912,6903,953,908(270,895)6,595,703
Capital assets, being depreciated:
Buildings and structures1,584,031 - - 1,584,031
Other improvements886,154 - - 886,154
Machinery and equipment511,98189,774(69,839)531,916
Furniture and fixtures278,86463,833 - 342,697
Infrastructure12,372,194270,894 - 12,643,088
Total capital assets, being depreciated15,633,224424,501(69,839)15,987,886
Less accumulated depreciation for:
Buildings and structures657,373209,856 - 867,229
Other improvements161,93612,249 - 174,185
Machinery and equipment274,39176,973(69,804)281,560
Furniture and fixtures147,21723,749 - 170,966
Infrastructure4,628,598402,140 - 5,030,738
Total accumulated depreciation5,869,515724,967(69,804)6,524,678
Total capital assets being depreciated - net9,763,709(300,466)(35)9,463,208
Governmental activities capital assets - net$12,676,399$3,653,442($270,930)$16,058,911
ìé
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
BeginningEnding
BalanceIncreasesDecreasesBalance
Business-type activities:
Capital assets, not being depreciated:
Land$60,000$861,283$ - $921,283
Total capital assets, not being depreciated60,000861,2830921,283
Capital assets, being depreciated:
Buildings and structures1,778,29536,583 - 1,814,878
Machinery and equipment264,36518,035 - 282,400
Distribution and collection systems7,334,849 - - 7,334,849
Total capital assets, being depreciated9,377,50954,61809,432,127
Less accumulated depreciation:
Buildings and structures601,65155,643 - 657,294
Machinery and equipment146,90714,138 - 161,045
Distribution and collection systems2,461,155148,091 - 2,609,246
Less accumulated depreciation3,209,713217,87203,427,585
Total capital assets being depreciated - net6,167,796(163,254)06,004,542
Business-type activities capital assets - net$6,227,796$698,029$0$6,925,825
Depreciation expense was charged to functions/programs of the primary government as follows:
Governmental activities:
General government$219,147
Public safety64,072
Public works369,718
Recreation72,030
Total depreciation expense - governmental activities$724,967
Business-type activities:
Water$131,749
Sewer86,123
Total depreciation expense - business-type activities$217,872
ìè
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Note 5 LONG-TERM DEBT
The City issues general obligation bonds to provide funds for the acquisition and construction of major capital
facilities. The reporting entity’s long-term debt is segregated between the amounts to be repaid from
governmental activities and amounts to be repaid from business-type activities.
As of December 31, 2009, the long-term debt of the financial reporting entity consisted of the following:
FinalAuthorized
Issue Maturity Interest AndOutstanding
DateDateRateIssued12/31/09
Governmental Activities:
Improvement bonds:
G.O. Capital Improvement Bonds, Series 2008A06/15/0812/15/282.5 - 4.4$6,300,000$6,165,000
G.O. Capital Improvement Bonds, Series 2009A09/15/0912/15/191.2 - 3.551,195,0001,195,000
Compensated absences payable239,435
Total governmental activities7,599,435
Business-Type Activities:
Compensated absences payable27,250
Total City indebtedness$7,626,685
ìç
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Annual debt service requirements to maturity are as follows:
YearG.O. Improvement Bonds
EndingGovernmental Activities
December 31,PrincipalInterest
2010$250,000$272,000
2011255,000266,675
2012275,000260,680
2013295,000253,605
2014315,000245,578
2015335,000236,276
2016355,000225,678
2017380,000213,835
2018410,000200,554
2019440,000185,670
2020315,000169,325
2021340,000156,725
2022370,000143,125
2023405,000128,325
2024440,000111,922
2025485,00093,882
2026525,00073,512
2027560,00051,200
2028610,00026,840
Total$7,360,000$3,315,407
It is not practicable to determine the specific year for payment of accrued compensated absences.
ëð
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Change in Long-Term Liabilities
Long-term liability activity for the year ended December 31, 2009, was as follows:
BalanceBalanceDue Within
01/01/09AdditionsReductions12/31/09One Year
Governmental Activities:
Bonded debt:
Improvement bonds$6,300,000$1,195,000$135,000$7,360,000$250,000
Compensated absences233,28578,66972,519239,43549,212
Total governmental activities$6,533,285$1,273,669$207,519$7,599,435$299,212
Business-Type Activities:
Compensated absences$24,778$10,371$7,899$27,250$732
Total business-type activities$24,778$10,371$7,899$27,250$732
For governmental activities, compensated absences are generally liquidated by the General Fund. All long-
term bonded indebtedness outstanding at December 31, 2009 is backed by the full faith and credit of the
City, including improvement bond issues. Delinquent taxes receivable at December 31, 2009 were
$138,496.
Revenues Pledged
Revenue PledgedCurrent Year
Percent ofRemainingPrincipalPledged
Use ofTotalTerm ofPrincipaland InterestRevenue
Bond IssueProceedsTypeDebt ServicePledgeand InterestPaidReceived
2008ACity hall constructionProperty taxes100%2009 - 2028$9,275,877$380,025$336,292
2009ACity hall constructionProperty taxes100%2010 - 2019$1,399,530$7,588$ -
Note 6 PENSION PLANS
A. PERA DEFINED BENEFIT PLAN
PLAN DESCRIPTION
All full-time and certain part-time employees of the City 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 Statutes, 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.
ëï
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
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 PERA’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 percent
of average salary for each of the first 10 years of service and 2.7 percent for each remaining year. The
annuity accrual rate for a Coordinated Plan member is 1.2 percent of average salary for each of the
first 10 years and 1.7 percent for each remaining year. Under Method 2, the annuity accrual rate is 2.7
percent of average salary for Basic Plan members and 1.7 percent for Coordinated Plan members for
each year of service. For PEPFF members, the annuity accrual rate is 3.0 percent for each year of
service. For all PEPFF members and PERF members hired prior to July 1, 1989 whose annuity is
calculated using Method 1, a full annuity is available when age plus years of service equal 90. Normal
retirement age is 55 for PEPFF members and 65 for Basic and Coordinated members hired prior to
July 1, 1989. Normal retirment age is the age for unreduced Social Security benefits capped at 66 for
Coordinated members hired on or after July 1, 1989. 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 single-life annuity is a
lifetime annuity that ceases upon the death of the retiree—no survivor annuity is payable. There are
also various types of joint and survivor annuity options available which will be 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 on the internet at
, by writing to PERA at 60 Empire Drive #200, St. Paul, Minnesota, 55103-2088 or by
www.mnpera.org
calling (651) 296-7460 or 1-800-652-9026.
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 were required to contribute 9.10% and 6.0%, respectively, of their annual
ëî
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
covered salary in 2009. PEPFF members were required to contribute 9.4% of their annual covered
salary in 2009. The City is required to contribute the following percentages of annual covered payroll:
11.78% for Basic Plan PERF members, 6.75% for Coordinated Plan PERF members, and 14.1% for
PEPFF members. The City’s contributions to the Public Employees Retirement Fund for the years
ending December 31, 2009, 2008 and 2007 were $47,320, $45,539 and $41,234, respectively. The
City’s contributions to the Public Employees Police and Fire Fund for the years ending December 31,
2009, 2008 and 2007 were $94,756, $91,155 and $77,521, respectively. The City’s contributions were
equal to the contractually required contributions for each year as set by state statute.
B. DEFINED CONTRIBUTION PLAN
The City administrator does not participate in PERA, but is covered by a defined contribution plan
administered by the ICMA Retirement Corporation. The Plan is a tax qualified plan under Section 457
of the Internal Revenue Code and all contributions by or on behalf of the employee are tax deferred
until time of withdrawal.
The City is required to contribute 10% of the annual base salary. Plan provisions and contribution
requirements are established and may be amended by the City council. Employer contributions were
$10,410 for the year ended December 31, 2009.
Note 7 OTHER POST-EMPLOYMENT BENEFITS
In 2009, the City prospectively implemented the requirement of a new accounting pronouncement, GASB
Statement No. 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other than
Pensions.
A.PLAN DESCRIPTION
In addition to providing the pension benefits described in Note 6, the City provides post-employment
health care benefits (as defined in paragraph B) for retired employees through a single-employer
defined benefit plan. The City of Oak Park Heights, Minnesota OPEB plan is administered by the
City. The authority to provide these benefits is established in Minnesota Statutes Sections 471.61
Subd. 2a, and 299A.465. The benefits, benefit levels, employee contributions and employer
contributions are governed by the City and can be amended by the City through its personnel manual
and collective bargaining agreements with employee groups. The Plan is not accounted for as a trust
fund, an irrevocable trust has not been established to account for the Plan. The Plan does not issue a
separate report.
ëí
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
B. BENEFITS PROVIDED
Retirees
The City is required by State Statute to allow retirees to continue participation in the City’s group
health insurance plan if the individual terminates service with the City through service retirement or
disability retirement. Eligibility for benefits is the earlier of age 55 and 3 years of service or age 65.
All health care coverage is provided through the City’s group health insurance plans. The retiree is
required to pay 100% of their premium cost for the City-sponsored group health insurance plan in
which they participate. The premium is a blended rate determined on the entire active and retiree
population. Since the projected claims costs for retirees exceed the blended premium paid by retirees,
the retirees are receiving an implicit rate subsidy (benefit). The coverage levels are the same as those
afforded to active employees. Upon a retiree reaching age 65 years of age, Medicare becomes the
primary insurer and the City’s plan becomes secondary.
C. PARTICIPANTS
As of the actuarial valuation dated February 2009, participants consisted of:
Retirees and beneficiaries currently
purchasing health insurance through the City3
Active employees21
Total24
Participating employers1
D. FUNDING POLICY
The additional cost of using a blended rate for actives and retirees is currently funded on a pay-as-you-
go basis. The City Council may change the funding policy at any time.
ëì
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
E. ANNUAL OPEB COSTS AND NET OPEB OBLIGATION
The City’s annual other post employment benefit (OPEB) cost is calculated based on the annual
required contribution (ARC) of the employer, an amount actuarially determined in accordance with the
parameters of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an
ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial
liabilities (or funding excess) over a period not to exceed 30 years. The net OPEB obligation as of
December 31, 2009, was calculated as follows:
Annual required contribution (ARC)$60,075
Interest on net OPEB obligation -
Annual OPEB cost60,075
Contributions made during the year(16,669)
Increase in net OPEB obligation43,406
Net OPEB obligation - beginning of year -
Net OPEB obligation - end of year$43,406
The City first had an actuarial valuation performed for the plan as of January 1, 2009 to determine the
funded status of the plan as of that date as well as the employer’s annual required contribution (ARC)
for the fiscal year ended December 31, 2009. The City’s annual OPEB cost (expense) of $60,075 was
equal to the ARC for the fiscal year, as the transition liability was set at zero as of December 31, 2008.
The City’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan and the net
OPEB obligation for 2009 was as follows:
Percentage of
Fiscal YearAnnual OPEBEmployer Annual OPEB CostNet OPEB
EndedCostContributionsContributedObligation
December 31, 2009$60,075$16,66927.7%$43,406
ëë
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
F. FUNDED STATUS AND FUNDING PROGRESS
The City currently has no assets that have been irrevocably deposited in a trust for future health
benefits, therefore, the actuarial value of assets is zero. The funded status of the plan was as follows:
Unfunded
ActuarialActuarialUAAL as a
ActuarialActuarialAccruedAccruedFundedCoveredPercentage of
ValuationValue of AssetsLiability (AAL)*Liability (UAAL)RatioPayrollCovered Payroll
Date(a)(b)(b-a)(a/b)(c) ( (b-a) / c)
January 1, 2009$ - $452,765$452,7650.0%$1,600,00028.3%
*Using the entry age normal actuarial pay cost method.
Note, the first OPEB actuarial valuation was conducted as of January 1, 2009. There is no data available prior to the first
valuation.
G. ACTUARIAL METHODS AND ASSUMPTIONS
Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and
assumptions about the probability of occurrence of events far into the future. Examples include
assumptions about future employment, mortality and the health care cost trend. Amounts determined
regarding the funded status of the plan and the annual required contributions (ARC) of the employer
are subject to continual revision as actual results are compared with past expectations and new
estimates are made about the future. The schedule of funding progress, presented as required
supplementary information following the notes to financial statements, presents multi-year trend
information that shows whether the actuarial value of plan assets is increasing or decreasing over time
relative to the actuarial accrued liabilities for benefits.
Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as
understood by the employer and plan members) and include the types of benefits provided at the time
of each valuation and the historical pattern of sharing of benefit costs between the employer and plan
members to that point. The actuarial methods and assumptions used include techniques that are
designed to reduce the effect of short-term volatility in actuarial accrued liabilities and the actuarial
value of assets, consistent with the long-term perspective of the calculations.
In the January 1, 2009 actuarial valuation, the Projected Unit Credit Actuarial cost method was used.
The actuarial assumptions included a 4.0% investment rate of return (net of administrative expenses)
and an initial annual health care cost trend rate of 10% reduced by 0.5% each year to arrive at an
ultimate health care cost trend rate of 5.0%. The actuarial value of assets was $0. The plan’s
unfunded actuarial accrued liability is being amortized using the level percentage of projected payroll
method over 30 years on a closed basis. The remaining amortization period at December 31, 2009,
was 29 years.
ëê
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Note 8 INTERFUND TRANSFERS
Transfers In
Major Funds
Budgeted
Renewal and Projects and Nonmajor
Replacement Equipment Governmental
FundRevolvingFundsTotal
Transfer out:
Governmental Activities:
General Fund$ - $395,600$397,000$792,600
Nonmajor Governmental Funds - 394 - 394
Business-Type Activities:
Water Utility Fund91,95911,050130,461233,470
Sewer Utility Fund97,17711,050 - 108,227
Sanitation Utility Fund - 9,550 - 9,550
Total transfers$189,136$427,644$527,461$1,144,241
During 2009, the City made routine interfund transfers to accumulate resources to be used for improvements or
to close funds.
Note 9 CONTINGENCIES AND COMMITMENTS
A.LITIGATION
In 2009, the City was named in a lawsuit commenced by the County of Washington in dispute over
utility billings for the years 2005 and 2006. The claim has been tendered to the City’s insurance
carrier, who has accepted defense of the claim.
B.FEDERAL AND STATE FUNDS
The City receives financial assistance from federal and state governmental agencies in the form of
grants. The disbursement of funds received under these programs generally requires compliance with
the terms and conditions specified in the grant agreements and are subject to audit by the grantor
agencies. Any disallowed claims resulting from such audits could become a liability of the applicable
fund. However, in the opinion of management, any such disallowed claims will not have a material
effect on any of the financial statements of the individual fund types included herein or on the overall
financial position of the City at December 31, 2009.
ëé
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
C.COMMITTED CONTRACTS
At December 31, 2009, the City had commitments of $3,148,935 for uncompleted construction
contracts relating to the new City hall.
Note 10 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.
Property and casualty insurance coverage is provided through a pooled self-insurance program through the
LMCIT. The City pays an annual premium to the LMCIT. The City is subject to supplemental assessments if
deemed necessary by the LMCIT. The LMCIT reinsures through commercial companies for claims in excess
various amounts. The City retains risk for deductible portions. These deductibles are considered immaterial to
the financial statements.
Employee health and disability insurance is provided through commercial insurance. The City does not have a
deductible or yearly maximum on this insurance.
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.
ëè
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Note 11 DESIGNATIONS AND RESERVATIONS OF FUND EQUITY
At December 31, 2009 the City had designated and reserved portions of its various fund equities through legal
restriction and City Council authorization. Major fund equity appropriations at December 31, 2009 are shown
on the various balance sheets as segregations of the fund equity. A summary of such reservations and
designations is as follows:
December 31,
2009
Governmental Funds:
Major Funds:
General Fund:
Designated for cash flow$1,558,000
Designated for contingent employee benefit188,000
Designated for general contingency557,000
Designated for ensuing year's budget193,635
City Hall Improvement Fund:
Designated for capital improvements3,492,930
Renewal and Replacement Fund:
Designated for capital improvements3,844,043
Moelter Park Fund:
Designated for park improvements612,896
Capital Revolving Fund:
Designated for capital improvements429,520
Budgeted Projects and Equipment Revolving Fund:
Designated for capital improvements931,934
Nonmajor Funds:
Designated for special revenue programs100,737
Reserved for debt service102,115
Designated for capital improvements3,925,038
Totals$15,935,848
ëç
CITY OF OAK PARK HEIGHTS, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
Note 12 MAJOR TAXPAYER
The City has one major taxpayer, Xcel Energy. The total tax capacity value for this taxpayer represented
approximately 34% of the City's total tax capacity value for taxes payable in 2009.
Note 13 CONDUIT DEBT OBLIGATIONS
From time to time, the City has issued Rental Housing or Industrial Revenue Bonds to provide financial
assistance to private-sector entities for the acquisition and construction of rental housing, office space or a
clinic deemed to be in the public interest. The bonds are secured by the property financed and are payable
solely from payments received on the underlying mortgage loans. Upon repayment of the bonds, ownership of
the acquired facilities transfers to the private-sector entity served by the bond issuance. Neither the City, the
State, nor any political subdivision thereof is obligated in any manner for repayment of the bonds.
Accordingly, the bonds are not reported as liabilities in the accompanying financial statements.
As of December 31, 2009, there were five series of Industrial Revenue Bonds outstanding. The principal
amount payable at December 31, 2009 could not be determined; however, their original issue amounts totaled
$54,985,000.
Note 14 OPERATING LEASES
The City leases space in and above its water tower. The space is used for antennas and other equipment necessary to
provide radio communications. Lease terms are as follows:
2009
LeaseAnnual LeaseExpirationRenewal
LocationLesseeAmountAdjustment Factor*DateOptions
58th and NorrellSprint PCS$27,683Greater of CPI or 5%9/20/20142 5-year terms
*Amounts for future lease receipts are unavailable because they are based on the Consumer Price Index
êð
REQUIRED SUPPLEMENTARY INFORMATION
êï
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 10
REQUIRED SUPPLEMENTARY INFORMATION
Page 1 of 5
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2009
With Comparative Actual Amounts For The Year Ended December 31, 2008
Variance with
Final Budget -
2009 Actual Positive2008 Actual
Amounts(Negative)Amounts
Budgeted Amounts
OriginalFinal
Revenues:
Property taxes$3,214,855$3,214,855$3,174,197($40,658)$3,251,500
Abatement of property taxes - - (59,807)(59,807)(115,000)
Payment in lieu of taxes21,50021,50019,988(1,512)20,307
Total property taxes3,236,3553,236,3553,134,378(101,977)3,156,807
Intergovernmental:
Federal:
Safe and sober8,5008,5007,967(533)9,138
Operation nightcap - - 1,6481,648944
Underage compliance checks960960960 - -
Other public safety grants - - 9,7609,760 -
State:
Market value homestead credit83,01083,010 - (83,010)40,625
Utility valuation transition aid178,390178,390178,390 - -
Police aid70,00070,00069,392(608)64,008
PERA rate increase aid2,0402,0402,040 - 2,040
Local government aid - - - - 14,028
Other:
Public health grant - - - - 10,000
Poison ivy grant - - 962962 -
Gravel tax allocation - - - - 358
Total intergovernmental342,900342,900271,119(71,781)141,141
Licenses and permits123,140123,140100,074(23,066)203,041
Charges for services:
General government11,97011,9709,890(2,080)18,779
Administrative - Enterprise Fund64,40064,40064,400 - 62,040
Total charges for services76,37076,37074,290(2,080)80,819
Fines and forfeits70,50070,50070,102(398)63,602
Investment income75,50075,50055,439(20,061)90,004
Refunds and reimbursements87,50087,500117,44129,941134,632
Donations and contributions - - 500500 -
Total revenues4,012,2654,012,2653,823,343(188,922)3,870,046
Expenditures:
General government:
Mayor and city council:
Current:
Personal services57,12057,12058,576(1,456)55,623
Materials and supplies800800135665460
Other services and charges41,96041,96021,04320,91726,496
Total mayor and city council99,88099,88079,75420,12682,579
êî
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 10
REQUIRED SUPPLEMENTARY INFORMATION
Page 2 of 5
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2009
With Comparative Actual Amounts For The Year Ended December 31, 2008
Variance with
Final Budget -
2009 Actual Positive2008 Actual
Amounts(Negative)Amounts
Budgeted Amounts
OriginalFinal
Expenditures: (continued)
General government: (continued)
City administration:
Current:
Personal services$203,700$203,700$184,829$18,871$178,649
Materials and supplies3,4503,4501,9121,5381,626
Other services and charges47,99547,99556,705(8,710)54,752
Total City administration255,145255,145243,44611,699235,027
Legal:
Current:
Personal services30,00030,00018,44811,55217,070
General management and building:
Current:
Materials and supplies8,6008,6006,8641,7368,028
Other services and charges85,09085,09064,20120,88972,331
Total general management and building93,69093,69071,06522,62580,359
Elections:
Current:
Personal services - - - - 6,406
Materials and supplies - - - - 669
Other services and charges940940943(3)1,005
Total elections940940943(3)8,080
Finance:
Current:
Personal services203,360203,360200,5722,788191,004
Materials and supplies3,4753,4752,1871,2883,783
Other services and charges34,75534,75531,8642,89129,866
Total finance241,590241,590234,6236,967224,653
Computer system:
Current:
Materials and supplies2,0002,0002,762(762)1,534
Other services and charges21,00021,00014,7786,22215,998
Total computer system23,00023,00017,5405,46017,532
Audit:
Current:
Personal services21,50021,50019,7301,77016,419
Insurance:
Current:
Other services and charges331,690331,690326,4705,220335,214
Assessing:
Current:
Personal services21,30021,30021,16913120,503
êí
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 10
REQUIRED SUPPLEMENTARY INFORMATION
Page 3 of 5
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2009
With Comparative Actual Amounts For The Year Ended December 31, 2008
Variance with
Final Budget -
2009 Actual Positive2008 Actual
Amounts(Negative)Amounts
Budgeted Amounts
OriginalFinal
Expenditures: (continued)
General government: (continued)
Planning and zoning:
Current:
Personal services$30,000$30,000$42,027($12,027)$22,280
Materials and supplies150150 - 15022
Other services and charges1,5001,5001,1004001,175
Total planning and zoning31,65031,65043,127(11,477)23,477
Engineering:
Current:
Other services and charges27,00027,00025,3081,69211,008
General contingency:
Current:
Other services and charges10,00010,0007,1342,8663,335
Total general government1,187,3851,187,3851,108,75778,6281,075,256
Public safety:
Police department:
Current:
Personal services841,160841,160791,42049,740830,599
Materials and supplies70,40070,40044,62125,77943,123
Other services and charges171,940171,940155,79416,146152,448
Capital outlay - - 7,500(7,500) -
Total police department1,083,5001,083,500999,33584,1651,026,170
Building inspections:
Current:
Personal services107,300107,300102,2225,07899,969
Materials and supplies3,5503,5501,7151,8352,247
Other services and charges22,04522,04517,7424,30319,171
Total building inspections132,895132,895121,67911,216121,387
Fire protection:
Current:
Materials and supplies2,0002,000 - 2,000 -
Other services and charges144,310144,310147,472(3,162)134,995
Total fire protection146,310146,310147,472(1,162)134,995
Civil defense:
Current:
Other services and charges5,1005,1001,5243,5761,303
Animal control:
Current:
Materials and supplies1501506486182
Other services and charges1,5001,5001,461391,013
Total animal control1,6501,6501,5251251,195
Total public safety1,369,4551,369,4551,271,53597,9201,285,050
êì
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 10
REQUIRED SUPPLEMENTARY INFORMATION
Page 4 of 5
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2009
With Comparative Actual Amounts For The Year Ended December 31, 2008
Variance with
Final Budget -
2009 Actual Positive2008 Actual
Amounts(Negative)Amounts
Budgeted Amounts
OriginalFinal
Expenditures: (continued)
Public works:
Street maintenance:
Current:
Personal services$21,100$21,100$19,976$1,124$18,758
Materials and supplies11,39511,3956,2985,09710,690
Other services and charges30,97030,97017,46213,50823,941
Total street maintenance63,46563,46543,73619,72953,389
Snow removal:
Current:
Materials and supplies1,0001,000773227568
Other services and charges116,000116,000105,38210,618130,729
Total snow removal117,000117,000106,15510,845131,297
Sanitation:
Current:
Materials and supplies150150 - 15085
Other services and charges195,900195,900187,2048,696176,130
Total sanitation196,050196,050187,2048,846176,215
Street lighting:
Current:
Other services and charges64,60064,60063,72587559,653
Arborist:
Current:
Personal services15,00015,00015,108(108)15,945
Materials and supplies100100 - 100138
Other services and charges255255138117129
Total arborist15,35515,35515,24610916,212
Tree removal and planting:
Current:
Other services and charges25,00025,00019,7745,22629,423
Total public works481,470481,470435,84045,630466,189
Parks and recreation:
Parks, playgrounds and rinks:
Current:
Personal services77,16577,16558,13919,02662,285
Materials and supplies16,64016,64017,746(1,106)6,939
Other services and charges87,47587,47547,28440,19173,632
Capital outlay - - - - 800
Total parks and recreation181,280181,280123,16958,111143,656
Total expenditures3,219,5903,219,5902,939,301280,2892,970,151
êë
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 10
REQUIRED SUPPLEMENTARY INFORMATION
Page 5 of 5
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2009
With Comparative Actual Amounts For The Year Ended December 31, 2008
Variance with
Final Budget -
2009 Actual Positive2008 Actual
Amounts(Negative)Amounts
Budgeted Amounts
OriginalFinal
Revenues over expenditures
$792,675$792,675$884,042$91,367$899,895
Other financing sources (uses):
Sale of property - - 12,20012,20021,289
Transfers in - - - - 46,566
Transfers out(792,600)(792,600)(792,600) - (867,000)
Total other financing sources (uses)(792,600)(792,600)(780,400)12,200(799,145)
Net change in fund balance$75$75103,642$103,567100,750
Fund balance - January 12,616,3702,515,620
Fund balance - December 31$2,720,012$2,616,370
êê
CITY OF OAK PARK HEIGHTS, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF FUNDING PROGRESS - RETIREE HEALTH PLAN
For The Year Ended December 31, 2009
UnfundedUAAL As A
ActuarialActuarialActuarialPercentage of
ActuarialValue ofAccruedLiabilityFundedCoveredCovered
ValuationAssetsLiability (AAL)*(UAAL)RatioPayrollPayroll
Date(a)(b)(b-a)(a/b)(c)( (b-a) / c)
January 1, 2009$ - $452,765$452,7650.0%$1,600,00028.3%
*Using the entry age normal actuarial pay cost method.
The City implemented GASB Statement No. 45 for the fiscal year ended December 31, 2009. Information for prior years is
not available.
êé
CITY OF OAK PARK HEIGHTS, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE
NOTE TO RSI
December 31, 2009
Note A BUDGETS
The General Fund budget is legally adopted on a basis consistent with accounting principles generally accepted
in the United States of America. The legal level of budgetary control is at the department level for the General
Fund.
êè
COMBINING AND INDIVIDUAL FUND STATEMENTS
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ó ̸· °¿¹» ·²¬»²¬·±²¿´´§ ´»º¬ ¾´¿²µ ó
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NONMAJOR GOVERNMENTAL FUNDS
éï
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 11
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
December 31, 2009
With Comparative Totals For December 31, 2008
Totals
Nonmajor
SpecialDebtCapitalGovernmental Funds
AssetsRevenueServiceProject20092008
Cash and investments$98,615$94,655$3,912,002$4,105,272$4,224,517
Interest receivable1,575$2,03863,69867,31189,383
Taxes receivable:
Delinquent - 16,555 - 16,555 -
Due from county - 5,422 - 5,422 -
Accounts receivable - net812 - - 812 -
Total assets$101,002$118,670$3,975,700$4,195,372$4,313,900
Liabilities and Fund Balance
Liabilities:
Accounts payable$265$ - $662$927$6,015
Due to developers - - 50,00050,00050,000
Interfund loan payable - - - - 65,000
Deferred revenue - 16,555 - 16,555 -
Totalliabilities26516,555,50,662,67,482,121,015,
Totalliabilities265165555066267482121015
Fund balance:
Reserved - 102,115 - 102,115127,247
Unreserved:
Designated100,737 - 3,925,0384,025,7754,065,638
Total fund balance100,737102,1153,925,0384,127,8904,192,885
Total liabilities and fund balance$101,002$118,670$3,975,700$4,195,372$4,313,900
éî
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 12
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE
NONMAJOR GOVERNMENTAL FUNDS
For The Year Ended December 31, 2009
With Comparative Totals For The Year Ended December 31, 2008
Totals
Special DebtCapital
Nonmajor Governmental Funds
RevenueServiceProject20092008
Revenues:
General property taxes$ - $336,292$ - $336,292$ -
Charges for services - - 33,10233,10226,364
Fines and forfeits4,486 - - 4,48617,087
Investment income2,6474,607107,055114,309171,565
Refunds and reimbursements301 - 19,68019,981355
Total revenues7,434 340,899 159,837 508,170 215,371
Expenditures:
Current:
General government480 - - 480360
Public safety8,398 - - 8,3987,415
Parks and recreation - - - - 3,272
Public works - - 7,6707,67095
Capital outlay - - 467,159467,15975,461
Debt service:
Principal - 135,000 - 135,000 -
Interest - 252,6132,600255,213124,017
Construction costs - - 247 ,,894247,,89416,,898
Constructioncosts24789424789416898
Total expenditures8,878 387,613 725,323 1,121,814 227,518
Revenues over (under) expenditures(1,444)(46,714)(565,486)(613,644)(12,147)
Other financing sources (uses):
Bonds issued - 21,582 - 21,582242,303
Transfers in - - 527,461527,461734,210
Transfers out - - (394)(394)(387,113)
Total other financing sources (uses)0 21,582 527,067 548,649 589,400
Net change in fund balance(1,444)(25,132)(38,419)(64,995)577,253
Fund balance - January 1102,181127,2473,963,4574,192,8853,615,632
Fund balance - December 31$100,737$102,115$3,925,038$4,127,890$4,192,885
éí
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 13
SUBCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS
December 31, 2009
With Comparative Totals For December 31, 2008
202 Forefeiture 204 Economic
Totals Nonmajor Special Revenue
and SeizureDevelopment
Funds
Assets20092008
Cash and investments$38,447$60,168$98,615$105,818
Accrued interest receivable6209551,5752,378
Accounts receivable812 - 812 -
Total assets$39,879$61,123$101,002$108,196
Liabilities and Fund Balance
Liabilities:
Accounts payable$265$ - $265$6,015
Fund balance:
Unreserved:
Designated for special revenue programs39,61461,123100,737102,181
Total liabilities and fund balance$39,879$61,123$101,002$108,196
éì
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 14
SUBCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR SPECIAL REVENUE FUNDS
For The Year Ended December 31, 2009
With Comparative Totals For The Year Ended December 31, 2008
202 Forefeiture 204 Economic Totals Nonmajor Special Revenue
and SeizureDevelopmentFunds
20092008
Revenues:
Investment income$1,042$1,605$2,647$4,491
Refunds and reimbursements301 - 301355
Confiscated property4,486 - 4,48617,087
Totalrevenues5,829 1,605 7,434 21,933
Expenditures:
General government:
Current:
Contractual services -480480360
Public safety:
Current:
Materials and supplies6,076 - 6,0767,165
Contractual services2,322 - 2,322250
Capital outlay - - - 12,937
Total expenditures8,3984808,87820,712
Revenuesover(under)expenditures(2,569),1,125,(1,444),1,221,
Revenuesover(under)expenditures(2569)1125(1444)1221
Fund balance - January 142,18359,998102,181100,960
Fund balance - December 31$39,614$61,123$100,737$102,181
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 15
SUBCOMBINING BALANCE SHEET
NONMAJOR DEBT SERVICE FUNDS
December 31, 2009
With Comparative Totals For December 31, 2008
526 G.O. Capital 527 G.O. Capital
ImprovementImprovement
Bonds of 2008Bonds of 2009Total Nonmajor Debt Service Funds
20092008
Assets
Cash and investments$79,409$15,246$94,655$124,740
Accrued interest receivable1,9331052,0382,507
Taxes receivable:
Delinquent16,555 - 16,555 -
Due from county5,422 - 5,422 -
Total assets$103,319 $15,351 $118,670 $127,247
Liabilities and Fund Balance
Liabilities:
Deferred revenue$16,555$ - $16,555$ -
Fund balance:
Reserved for debt service86,76415,351102,115127,247
Total liabilities and fund balance$103,319 $15,351 $118,670 $127,247
éê
CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 16
SUBCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR DEBT SERVICE FUNDS
For The Year Ended December 31, 2009
With Comparative Totals For The Year Ended December 31, 2008
3
526 G.O.
527 G.O.
CapitalCapital
ImprovementImprovement
Total Nonmajor Debt Service
Bonds of 2008Bonds of 2009
Funds
20092008
Revenues:
General property taxes$336,292$ - $336,292$ -
Investment income3,2501,3574,6077,457
Total revenues339,5421,357340,8997,457
Expenditures:
Debt service:
Principal135,000 - 135,000 -
Interest and other245,0257,588252,613122,513
Total expenditures380,0257,588387,613122,513
Revenues over (under) expenditures(40,483)(6,231)(46,714)(115,056)
Other financing sources:
Bonds issued - 21,58221,582242,303
Net change in fund balance(40,483)15,351(25,132)127,247
Fund balance - January 1127,247 - 127,247 -
Fund balance - December 31$86,764 $15,351 $102,115 $127,247
éé
CITY OF OAK PARK HEIGHTS, MINNESOTA
SUBCOMBINING BALANCE SHEET
NONMAJOR CAPITAL PROJECT FUNDS
December 31, 2009
With Comparative Totals For December 31, 2008
732 Novak
712 Storm Sewer Avenue Street and
405 Park 565 Street Renewal / Utility
DevelopmentReconstructionReplacement FundImprovements
Assets
Cash and investments$491,134$1,404,788$156,106$50,000
Interest receivable7,76020,8361,624 -
Total assets$498,894 $1,425,624 $157,730 $50,000
Liabilities and Fund Balance
Liabilities:
Accounts payable$ -$662$ - $ -
Interfund loan payable - - - -
Due to developers - - -50,000
Total liabilities0662050,000
Fund balance:
Unreserved:
Designated for capital improvement498,8941,424,962157,730 -
Total fund balance498,894 1,424,962 157,7300
Total liabilities and fund balance $498,894 $1,425,624 $157,730 $50,000
éè
Statement 17
734 Water 771 Sanitary 773 AAE -
Tower735 Well 736 Sewer Sewer772 Water Storm Sewer Totals Nonmajor Capital
RehabilitationRehabilitationRehabilitationConnectionConnectionConnectionProject Funds
20092008
$185,292$67,488$41,132$361,252$280,789$874,021$3,912,002$3,993,959
1,7786507435,69610,80713,80463,69884,498
$187,070 $68,138 $41,875 $366,948 $291,596 $887,825 $3,975,700 $4,078,457
$ - $ - $ - $ - $ - $ - $662$ -
- - - - - - - 65,000
- - - - - - 50,00050,000
0 0 0 0 0 0 50,662 115,000
187,07068,13841,875366,948291,596887,8253,925,0383,963,457
187,070 68,138 41,875 366,948 291,596 887,825 3,925,038 3,963,457
$187,070 $68,138 $41,875 $366,948 $291,596 $887,825 $3,975,700 $4,078,457
éç
CITY OF OAK PARK HEIGHTS, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR CAPITAL PROJECT FUNDS
For The Year Ended December 31, 2009
With Comparative Totals For The Year Ended December 31, 2008
712 Storm 732 Novak
Sewer Renewal Avenue Street
405 Park 406 Brekke 565 Street / Replacement and Utility
DevelopmentPark MemorialReconstructionFundImprovements
Revenues:
Charges for services:
Connections charges$ - $ - $ - $ - $ -
Rents - - - - -
Investment income13,0411035,0152,730 -
Refunds and reimbursements - - - - -
Total revenues13,0411035,0152,7300
Expenditures:
Parks and recreation:
Current:
Material and supplies - - - - -
Public works:
Current:
Contractual services - - - - -
Capital outlay - - - - -
Debt service - interest - - - - -
Constructioncosts - - --247894, - - --
Constructioncosts247894
Total expenditures00247,89400
Revenues over (under) expenditures13,04110(212,879)2,7300
Other financing sources (uses):
Transfers in - - 320,00077,000 -
Transfers out -(394) - - -
Total other financing sources (uses)0(394)320,00077,0000
Net change in fund balance13,041(384)107,12179,7300
Fund balance - January 1485,8533841,317,84178,000 -
Fund balance - December 31$498,894$0 $1,424,962 $157,730 $0
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Statement 18
734 Water 771 Sanitary 773 AAE -
Tower735 Well 736 Sewer Sewer772 Water Storm Sewer Totals Nonmajor Capital Project
RehabilitationRehabilitationRehabilitationConnectionConnectionConnection
Funds
20092008
$ - $ - $ - $813$4,226$380$5,419$ -
27,683 - - - - - 27,68326,364
2,9871,0931,2509,57118,16023,198107,055159,617
- 19,680 - - - - 19,680 -
30,67020,7731,25010,38422,38623,578159,837185,981
- - - - - - - 3,367
- - 7,670 - - - 7,670 -
- 36,517 - - 430,642 - 467,15962,524
2,600 - - - - - 2,6001,504
- - - - - - ------247894,16898,
24789416898
2,60036,5177,6700430,6420725,32384,293
28,070(15,744)(6,420)10,384(408,256)23,578(565,486)101,688
78,84751,614 - - - - 527,461734,210
- - - - - - (394)(387,113)
78,84751,6140000527,067347,097
106,91735,870(6,420)10,384(408,256)23,578(38,419)448,785
80,15332,26848,295356,564699,852864,2473,963,4573,514,672
$187,070 $68,138 $41,875 $366,948 $291,596 $887,825 $3,925,038 $3,963,457
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 19
SUBCOMBINING BALANCE SHEET
AGENCY FUNDS
December 31, 2009
With Comparative Totals For December 31, 2008
902 Developer 903 Developer
Deposit FundEscrow FundTotals - Agency Funds
20092008
Assets
Cash and investments$70,908$101,500$172,408$115,834
Due from developers6,859 - 6,8593,899
Total assets$77,767 $101,500 $179,267 $119,733
Liabilities
Escrow deposits payable$ - $101,500$101,500$16,500
Accounts payable3,635 - 3,6355,312
Due to developers74,132 - 74,13297,921
Total liabilities$77,767 $101,500 $179,267 $119,733
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Statement 20
SUBCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
AGENCY FUNDS
For The Year Ended December 31, 2009
BalanceBalance
January 1,December 31,
2009AdditionsDeletions2009
902 Developer Deposit Fund
Assets:
Cash and investments$99,334$70,908$99,334$70,908
Due from developers3,8996,8593,8996,859
Total assets$103,233$77,767$103,233$77,767
Liabilities:
Accounts payable$5,312$3,635$5,312$3,635
Due to developers97,92174,13297,92174,132
Total liabilities$103,233$77,767$103,233$77,767
903 Developer Escrow Fund
Assets:
s$16,500$101,500$16,500$101,500
Cash and investment
Liabilities:
Escrow deposits payable$16,500$101,500$16,500$101,500
Total Agency:
Assets:
Cash and investments$115,834$172,408$115,834$172,408
Due from developers3,8996,8593,8996,859
Total assets$119,733$179,267$119,733$179,267
Liabilities:
Escrow deposits payable$16,500$101,500$16,500$101,500
Accounts payable5,3123,6355,3123,635
Due to developers97,92174,13297,92174,132
Total liabilities$119,733$179,267$119,733$179,267
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STATISTICAL SECTION (UNAUDITED)
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 1
NET ASSETS BY COMPONENT
(1)
Last Six Fiscal Years
(Accrual Basis of Accounting)
200420052006200720082009
Governmental activities:
Invested in capital assets, net of related debt$10,059,989$9,928,521$11,481,494$11,799,071$6,376,399$8,698,911
Restricted1,192,681856,611899,708614,1705,937,9294,076,963
Unrestricted7,326,0308,213,51310,290,01810,950,97811,954,45512,164,925
Total governmental activities net assets$18,578,700$18,998,645$22,671,220$23,364,219$24,268,783$24,940,799
Business-type activities:
Invested in capital assets, net of related debt$5,646,237$5,985,350$5,826,582$6,355,129$6,227,796$6,925,825
Unrestricted834,8271,108,0691,382,1631,355,5641,165,2051,156,208
Total business-type activities net assets$6,481,064$7,093,419$7,208,745$7,710,693$7,393,001$8,082,033
Primary government:
Invested in capital assets, net of related debt$15,706,226$15,913,871$17,308,076$18,154,200$12,604,195$15,624,736
Restricted1,192,681856,611899,708614,1705,937,9294,076,963
Unrestricted8,160,8579,321,58211,672,18112,306,54213,119,66013,321,133
Total primary government net assets$25,059,764$26,092,064$29,879,965$31,074,912$31,661,784$33,022,832
(1)
The City implemented GASB Statement No. 34 for the fiscal year ended December 31, 2004. Therefore, information for years
prior to 2004 is not available.
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 2
CHANGES IN NET ASSETS
(1)
Page 1 of 2
Last Six Fiscal Years
(Accrual Basis of Accounting)
200420052006200720082009
Expenses
Governmental activities:
General government$832,609$882,800$987,597$1,046,676$1,477,836$1,356,038
Public safety1,155,2431,210,1791,226,0421,234,7691,347,1641,364,734
Public works602,111511,137755,989796,025796,532957,308
Parks and recreation123,737138,378152,899184,008224,426211,795
Interest on long-term debt67,36555,69543,96537,255138,399262,586
Total governmental activities expenses2,781,0652,798,1893,166,4923,298,7333,984,3574,152,461
Business-type activities:
Water323,527373,996398,766387,766405,965434,577
Sanitary sewer517,595560,876661,367606,458670,661680,468
Storm sewer41,08234,15065,14934,27759,11543,337
Sanitation167,258164,572147,565153,848 - -
Total business-type activities expenses1,049,4621,133,5941,272,8471,182,3491,135,7411,158,382
Total primary government expenses$3,830,527$3,931,783$4,439,339$4,481,082$5,120,098$5,310,843
Program revenues
Governmental activities:
Charges for services:
Licenses and permits$304,594$365,512$306,266$155,820$203,041$100,074
Inspections - City of Bayport50,33784,719 - - - -
Administrative - Enterprise Fund90,86094,14064,46563,20062,04064,400
Direct charges to developers315,535139,191938,298244,895 - -
Connection charges - 18,326780,14134,595 - 5,419
Park fees - 22,9521,004,240 - - -
Refunds and reimbursements91,784106,569155,080105,832153,267112,856
Other activities95,523144,559116,793151,00284,905112,161
Operating grants and contributions68,35888,22974,105142,87990,54888,187
Capital grants and contributions212,63562,686165,39711,32410,091688,975
Total governmental activities program revenues1,229,6261,126,8833,604,785909,547603,8921,172,072
Business-type activities:
Charges for services:
Water388,198423,876502,407482,100475,658546,606
Sanitary sewer577,253705,456767,207679,821656,809651,022
Storm sewer96,90973,54674,17373,94274,25774,473
Sanitation70,87896,85997,26697,764494 -
Capital grants and contributions58,706 - - - - -
Total business-type activities
program revenues1,191,9441,299,7371,441,0531,333,6271,207,2181,272,101
Total primary government program revenues$2,421,570$2,426,620$5,045,838$2,243,174$1,811,110$2,444,173
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 2
CHANGES IN NET ASSETS
(1)
Page 2 of 2
Last Six Fiscal Years
(Accrual Basis of Accounting)
200420052006200720082009
Net (expense) revenue:
Governmental activities($1,551,439)($1,671,306)$438,293($2,389,186)($3,380,465)($2,980,389)
Business-type activities142,482166,143168,206151,27871,477113,719
Total primary government net
(expense) revenue(1,408,957)(1,505,163)606,499(2,237,908)(3,308,988)(2,866,670)
General revenues and other changes in net assets
Governmental activities:
General property taxes$1,979,288$2,222,335$2,417,014$2,730,994$3,146,049$3,537,829
Unrestricted grants and contributions3,0602,04029,838111,09056,693180,430
Investment earnings199,737258,614425,160532,827606,996456,934
Gain on sale of property - - 244,0999,23720,89512,165
Miscellaneous29,12525,20616,25427,62622,14814,186
Transfers90,423(416,944)101,917(329,589)432,248(549,139)
Total governmental activities2,301,6332,091,2513,234,2823,082,1854,285,0293,652,405
Business-type activities:
Investment earnings19,14829,26849,03760,10343,08026,174
Transfers(90,423)416,944(101,917)329,589(432,248)549,139
Total business-type activities(71,275)446,212(52,880)389,692(389,168)575,313
Total primary government$2,230,358$2,537,463$3,181,402$3,471,877$3,895,861$4,227,718
Change in net assets:
Governmental activities$750,194$419,945$3,672,575$692,999$904,564$672,016
Business-type activities71,207612,355115,326540,970(317,691)689,032
Total primary government$821,401$1,032,300$3,787,901$1,233,969$586,873$1,361,048
(1)
The City implemented GASB Statement No. 34 for the fiscal year ended December 31, 2004. Therefore, information
for years prior to 2004 is not available.
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 3
FUND BALANCES, GOVERNMENTAL FUNDS
(1)
Last Six Fiscal Years
(Modified Accrual Basis of Accounting)
200420052006200720082009
General Fund:
Unreserved:
Designated for cash flow$1,147,000$1,237,000$1,409,000$1,698,000$1,541,000$1,558,000
Designated for employee benefits133,961141,533169,633183,000188,000188,000
Designated for contingencies419,000439,000493,000595,000542,000557,000
Designated for ensuing year's budget - - - - - 193,635
Undesignated147,647286,210230,86939,620345,370223,377
Total general fund$1,847,608$2,103,743$2,302,502$2,515,620$2,616,370$2,720,012
All other governmental funds:
Reserved for debt service$454,694$214,783$717,829$460,263$127,247$102,115
Unreserved, reported in:
Special revenue funds81,16775,72186,326100,960102,181100,737
Debt service funds - - 47,315 - - -
Capital projects funds5,381,7346,107,9088,022,5888,480,88414,977,67813,236,361
Total all other governmental funds$5,917,595$6,398,412$8,874,058$9,042,107$15,207,106$13,439,213
(1)
The City implemented GASB Statement No. 34 for the fiscal year ended December 31, 2004. Therefore, information
for years prior to 2004 is not available.
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 4
CHANGES IN FUND BALANCES, GOVERNMENTAL FUNDS
(1)
Last Six Fiscal Years
200420052006200720082009
Revenues:
General property taxes$1,969,207$2,218,906$2,423,246$2,687,730$3,156,807$3,470,670
Special assessments305,758225,516553,45042,34232,07843,810
Licenses and permits304,594365,512306,266155,820203,041100,074
Intergovernmental70,362101,519102,818188,594141,141276,772
Charges for services150,126294,8461,886,776192,545102,199107,392
Fines and forfeits78,27469,85084,73066,18963,60274,588
Earnings on investments199,737258,614425,160532,827606,996456,934
Direct charges to developers374,241139,191938,298244,895 - -
Refunds and reimbursements109,958125,405155,080105,832134,987137,422
Other20,32710,117136,51483,06427,672612,525
Total revenues3,582,584 3,809,476 7,012,338 4,299,838 4,468,523 5,280,187
Expenditures:
Current:
General government793,871851,437941,8751,002,7631,075,6161,117,822
Public safety1,119,5331,172,8031,180,4411,193,4511,292,4651,277,600
Public works296,997208,848423,010458,241632,530586,872
Parks and recreation88,18099,980107,071138,491146,928139,188
Capital outlay50,10421,000443,822411,101160,9071,053,745
Debt service:
Principal retirement400,000395,000190,000125,000750,000135,000
Interest68,33456,71044,53537,688134,850255,213
Bond issuance costs - - - - 111,02033,537
Construction/acquisition costs622,218358,3441,353,195916,653740,6573,903,908
Total expenditures3,439,237 3,164,122 4,683,949 4,283,388 5,044,973 8,502,885
Revenues over (under) expenditures143,347 645,354 2,328,389 16,450 (576,450)(3,222,698)
Other financing sources (uses):
Sale of capital assets - - 244,0999,23721,28912,200
Bonds issued - - - - 6,300,0001,195,000
Premium on bonds issued - - - - 5,827 -
Transfers in178,923180,098190,417432,2801,790,9261,144,241
Transfers out(88,500)(88,500)(88,500)(76,800)(1,275,843)(792,994)
Total other financing sources (uses)90,423 91,598 346,016 364,717 6,842,199 1,558,447
Net change in fund balance$233,770$736,952$2,674,405$381,167$6,265,749($1,664,251)
Debt service as a percentage of noncapital expenditures16.9%16.2%8.1%5.5%21.9%11.1%
Debt service as percentage of total expenditures 13.6%14.3%5.0%3.8%17.5%4.6%
(1)
The City implemented GASB Statement No. 34 for the fiscal year ended December 31, 2004. Therefore, information
for years prior to 2004 is not available.
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CITY OF OAK PARK HEIGHTS, MINNESOTA
TAX CAPACITY VALUE AND ESTIMATED MARKET VALUE OF TAXABLE PROPERTY Table 5
Last Ten Fiscal Years
FiscalLess:
/TotalFiscalAdjustedTotalEstimatedTax Capacity
YearCommercial
EndedResidentialIndustrialPublicAllTaxDisparityTax CapacityDirect TaxMarketas a Percent
December 31,PropertyPropertyUtilityOtherCapacityContributionValueRateValueof EMV
2000$1,978,348$1,976,203$2,560,189$176,864$6,691,874$784,872$5,907,00223.620$295,318,900113.29%
20012,381,3462,360,1842,486,826141,6947,383,123918,3846,464,73923.692324,531,100114.21%
20022,126,1181,554,2211,399,70683,3955,163,440611,0974,552,34341.741349,905,800113.42%
20032,390,9182,058,2691,430,73494,6225,974,543657,6515,316,89235.799406,640,800112.37%
20042,603,2442,303,4611,417,841121,3816,445,927798,0485,647,87934.382447,871,200114.13%
20052,907,9262,526,8581,378,249105,9076,918,940954,5785,964,36236.488485,026,700116.00%
20063,269,4682,687,6501,415,909112,9217,485,9481,037,7536,448,19538.377539,357,100116.09%
20073,318,0523,331,9101,733,70388,0738,471,7381,115,2157,356,52335.731579,089,800115.16%
20083,429,1043,679,1883,060,14482,32910,250,7651,508,6608,742,10536.343673,570,600117.26%
20093,483,7263,952,5233,568,95793,83211,099,0382,177,6788,921,36038.732718,753,400124.41%
Source: Continuing Disclosure Document
çî
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 6
DIRECT AND OVERLAPPING PROPERTY TAX CAPACITY RATES
Last Ten Fiscal Years
CityOverlapping Rates
FiscalDirectSchoolOther
YearRateCountyDistrictDistrictsTotal
200023.62028.12950.43414.805116.988
200123.69226.01650.37317.267117.348
200241.74134.39528.40711.934116.477
200335.79933.30326.56612.067107.735
200434.38231.20118.74610.79195.120
200536.48828.59919.3936.41290.892
200636.13626.96819.4055.74188.250
200735.73325.67319.0044.85685.266
200836.34325.93617.4044.88584.568
200938.73226.37117.7144.83287.649
Source: Continuing Disclosure Document, Washington County website.
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CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 7
PRINCIPAL PROPERTY TAXPAYERS
Current Year and Nine Years Ago
20092000
Percentage Percentage
Taxableof Total CityTaxableof Total City
CapacityCapacityCapacityCapacity
TaxpayerValueRankValueValueRankValue
Xcel Energy$3,812,408134.35%$3,292,828153.06%
VSSA Boutwells Landing LLC503,76624.54% - - -
SC Mall LLC404,26833.64% - - -
OPH Pat LLC & OPH Val LLC321,42842.90% - - -
Wal-Mart Stores, Inc.300,85652.71%147,7265 2.38%
OPPGF LLC223,96062.02% - - -
Menard Inc.217,17071.96%218,414 4 3.52%
Lowe's Home Centers, Inc.198,81481.79% - - -
Raduenz Dealership 135,93291.22% - - -
W.A.T.E. Enterprises Inc.134,198101.21% - - -
Diversey, Inc. - - - 330,426 25.32%
KTJ Limited Partnership Eleven - - - 330,041 35.32%
Oak Ridge Place of Oak Park - - - 86,768 61.40%
Stillwater West LLC - - - 66,190 71.07%
158 Club - - - 62,464 8 1.01%
Oak Park Associates - - - 61,318 90.99%
Secure Mini Storage Limited - - - 53,938 10 0.87%
Total$6,252,80056.34%$4,650,11374.94%
Total All Property $11,099,038$6,205,277
Source: Continuing Disclosure Document
çì
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 8
PROPERTY TAX LEVIES AND COLLECTIONS
Last Ten Fiscal Years
FiscalTaxesCollected Within TheCollections
YearLeviedFiscal Year of the LevyinTotal Collections to Date
EndedFor ThePercentageSubsequentPercentage
(1)
Fiscal Year
December 31,Amountof LevyYearsAmountof Levy
2000$1,440,200$1,426,39099.04%$13,315$1,439,70599.97%
20011,588,435 1,566,938 98.65%18,1621,585,10099.79%
20021,967,5791,904,48896.79%16,7401,921,22897.64%
20031,993,0031,891,04694.88%23,9111,914,95796.08%
20041,965,5361,938,72698.64%24,4381,963,16499.88%
20052,208,1782,176,29098.56%28,7222,205,01299.86%
20062,395,0442,363,19298.67%29,7222,392,91499.91%
20072,781,4892,646,42195.14%24,9552,671,37696.04%
20083,286,2303,211,39297.72%24,9633,236,35598.48%
20093,574,8553,447,96596.45% - 3,447,96596.45%
1. The levy amount presented is after deduction for Market Value Homestead Credit.
Source: City Finance Department.
çë
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 9
RATIOS OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years
Governmental Activities
GeneralPercentage
FiscalObligationImprovementof TaxPer
(a)
Capita
YearBondsBondsTotalCapacity
2000$715,000$2,300,000$3,015,00045.05%762
2001615,0002,040,0002,655,00035.96%668
2002510,0001,760,0002,270,00043.96%529
2003375,0001,485,0001,860,00031.13%430
2004225,0001,235,0001,460,00022.65%315
200565,0001,000,0001,065,00015.39%228
2006 -875,000875,00011.69%188
2007 -750,000750,0008.85%161
20086,300,000 -6,300,00061.46%1,326
20097,360,000 -7,360,00066.31%1,549
Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
There is no business-type activity long-term debt.
çê
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 10
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
December 31, 2009
Estimated
EstimatedShare of
DebtPercentageOverlapping
Governmental UnitOutstandingApplicableDebt
Debt repaid with property taxes:
Independent School District No. 834$71,755,00010.06%$7,218,553
Washington County120,760,0003.15%3,803,940
NMISD No. 9169,710,0001.47%142,737
Metro Transit140,356,6350.34%477,213
Subtotal - overlapping debt11,642,443
City direct debt7,360,000 100.00%7,360,000
Total direct and overlapping debt$19,002,443
Sources: Continuing Disclosure Document
çé
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 11
LEGAL DEBT MARGIN INFORMATION
Last Ten Fiscal Years
Legal Debt Margin Calculation for Fiscal Year 2009
Market value$718,753,400
Debt limit (3% of market value)21,562,602
Debt applicable to limit:
General obligation bonds7,360,000
Less: Amount set aside for repayment
of general obligation debt102,115
Total net debt applicable to limit7,462,115
Legal debt margin$14,100,487
Legal Debt Margin Calculation for Fiscal Years 2000 Through 2008
Net DebtLegalAmount of Debt
FiscalDebtApplicable toDebtApplicable to
YearLimitLimitMarginDebt Limit
2000$6,489,918$ - $6,489,9180.00%
20016,491,622 - 6,491,6220.00%
20026,998,116 - 6,998,1160.00%
20038,132,816 - 8,132,8160.00%
20048,957,424 - 8,957,4240.00%
20059,700,534 - 9,700,5340.00%
200610,787,142 - 10,787,1420.00%
200711,581,796 - 11,581,7960.00%
200820,207,1186,427,24713,779,87131.81%
Note: In 2008, State Statutes increased the percentage used to calculate the debt limit from 2% to 3%.
çè
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 12
PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Improvement Bonds
PropertySpecial
FiscalTaxAssessmentDebt Service
(1)(2)
CollectionsCollections
YearPrincipalInterestCoverage
2000$ -$332,190$270,000$109,4030.876
2001 -311,840850,000133,3520.317
2002 -247,618280,00079,3430.689
2003 -239,390275,00069,2250.695
2004 -197,940250,00060,0120.638
2005 -204,585235,00051,3870.714
2006 -156,905190,00044,5350.669
2007 -35,180125,00037,6880.216
2008 -31,221750,00010,8330.041
2009336,292 -135,000252,6130.868
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
(1)
Capital Improvement Bonds were issued during 2008 and 2009 to finance construction of City Hall. The debt service
payments, which began in 2009, are funded by property tax collections.
(2)
Debt service payments on Improvement Bonds of 1998 ended in 2008 when the bond was paid off. Special assessment
collections, as well as transfers from the connection charge funds, were used to make the debt service payments.
çç
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 13
DEMOGRAPHIC AND ECONOMIC STATISTICS
Last Ten Fiscal Years
Per
Capita
FiscalUnemploymentPersonalPersonal
(2)(1)(1)
RateIncomeIncome
YearPopulation
20003,9572.30%
20013,9772.70%
20024,2913.60%
20034,3294.10%
20044,6334.00%
Information Not Available
20054,6643.40%
20064,6763.50%
20074,7514.10%
20084,7085.40%
2009(1)(1)
Sources: Metropolitan Council (population), Continuing Disclosure Document (unemployment rate)
(1)
Information Not Available
(2)
Washington County rate
ïðð
CITY OF OAK PARK HEIGHTS, MINNESOTA
Table 14
PRINCIPAL EMPLOYERS
Current Year and Nine Years Ago
20092000
EmployerProduct ServiceEmployeesEmployees
Andersen CorporationWindow Manufacturer584 -
VSSA - Boutwell's Landing/McKean SquareSenior Community Housing445 -
State of Minnesota Correctional FacilityGovernment Correctional Institution353350
Wal-Mart Stores, Inc.Retail350150
ISD No. 834, StillwaterPublic education180163
Kohl'sRetail161 -
Menard's Inc.Retail Lumber/Hardware124 -
Lowe'sRetail115 -
Stillwater MotorsAuto Dealership/Service Repair86 -
Kowalski'sRetail/Grocery85 -
Herberger's Department StoreRetail Store -125
Xcel EnergyElectric Utility -105
City of Oak Park HeightsCity Government -75
Dahl Tech, Inc.Plastics Products -30
Schwantes Heating & Air ConditioningSheet Metal Fabrication -16
Total2,4831,014
Source: Continuing Disclosure Document
ïðï
CITY OF OAK PARK HEIGHTS, MINNESOTA
FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION/PROGRAM
Last Ten Fiscal Years
Full-Time Equivalent Employees as of December 31,
Function/Program200020012002
General government:
Administration333
Finance333
Building inspections333
Public safety101010
Public works333
Total222222
Source: City Finance Department
ïðî
Table 15
Full-Time Equivalent Employees as of December 31,
2003200420052006200720082009
2222222
3333333
2222222
10101010101010
3444443
20212121212120
ïðí
CITY OF OAK PARK HEIGHTS, MINNESOTA
OPERATING INDICATORS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
Fiscal Year
Function/Program200020012002
Police:
Physical arrests221256263
Parking violations162218155
Traffic violations728859611
Fire:
Fire and related calls5561108
Medical calls107139174
Building inspection:
Permits issued:
Residential134654
Commercial67375
Total permit valuation$19,485,026$5,799,263$11,651,369
Water:
Connections1,2191,2011,198
Average daily demand (thousands of gallons)570,000600,000576,000
Sewer:
Connections1,2811,2881,281
Sources: Various City departments.
ïðì
Table 16
Fiscal Year
2003200420052006200720082009
237308251240207224208
14511812312492135170
7121,0231,0897386131,016969
1221131151191069891
164200251302270292293
4448211194 -
13111315822
$19,878,493$18,043,522$12,732,475$36,975,066$6,521,063$18,707,532$7,254,000
1,2121,2591,2771,2891,3041,3151,318
645,000611,000614,000676,000681,452654,172681,816
1,2731,2351,2511,2641,2741,2831,285
ïðë
CITY OF OAK PARK HEIGHTS, MINNESOTA
CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM
Last Nine Fiscal Years
Fiscal Year
Function/Program200120022003
Police:
Stations111
Squad cars777
Fire stations
Other public works:
Miles of paved streets22.022.022.0
Streetlights265265330
Traffic signals222
Parks and recreation:
Parkland acreage80105105
Number of parks444
Water:
Water mains (miles)25.525.526.6
Fire hydrants302302316
Storage capacity (thousands of gallons)750750750
Wastewater:
Sanitary sewers (miles)21.921.921.9
Storm sewers (miles)11.812.012.5
Sources: Various City departments.
ïðê
Table 17
Fiscal Year
200420052006200720082009
111111
766666
22.022.022.022.022.022.0
392392392396396396
222222
105105105104108104
445555
26.626.626.626.826.827.1
316316316316316216
750750750750750750
23.323.323.324.924.924.9
12.512..512.512.612.612.6
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