1997 Audited Financial Statements
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CITY OF ALBERTVILLE, MINNESOTA
TABLE OF CONTENTS
ELECTED OFFICIALS AND ADMINISTRATION
INDEPENDENT AUDITORS' REPORT
GENERALPURPOSEFLNANCIALSTATEMENTS-
Combmed Balance Sheet - All Fund Types and Account Groups
Combmed Statement of Revenues, ExpendItures and Changes m Fund Balance _
All Governmental Fund Types
Combmed Statement of Revenues, ExpendItures and Changes m Fund Balance _
Budget and Actual - General and SpecIal Revenue Fund Types
Combmed Statement of Revenues, Expenses and Changes m Retamed Eammgs _
All Propnetary Fund Types
Combmed Statement of Cash Flows - All Propnetary Fund Types
Notes to the FmancIaI Statements
COMBLNLNG AND INDIVIDUAL FUND FLNANCIAL STATEMENTS _
General Fund -
Balance Sheet
Statement of Revenues, ExpendItures and Changes m Fund Balance - Budget
and Actual
SpecIal Revenue Funds -
Combmmg Balance Sheet
Combmmg Statement of Revenues, ExpendItures and Changes m Fund
Balance
Debt ServIce Funds
Combmmg Balance Sheet
Combmmg Statement of Revenues, ExpendItures, and Changes m Fund
Balance
CapItal Projects Funds-
Combmmg Balance Sheet
Combmmg Statement of Revenues, ExpendItures and Changes m Fund
Balance
Enterpnse Funds -
CombImng Balance Sheet
CombImng Statement of Revenues, Expenses, and Changes m Retamed
Earnmgs
Combmmg Statement of Cash Flows
Agency Funds -
Statement of Changes m Assets and LIabIlItIes
Statement of General FIxed Assets
Statement of General Long-Term Debt
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CITY OF ALBERTVILLE, MINNESOTA
TABLE OF CONTENTS
(ContInued)
SUPPLEMENTARY INFORMATION -
Statement of Sources and Uses ofPubhc Funds for EconomIc Development
DIStrICt No 1, Tax Increment FInancIng DIStrICt No 5
Statement of Sources and Uses of Pubhc Funds for EconomIc Development
DIstrICt No 1, Tax Increment FInancIng DIStrICt No 6
Statement of Sources and Uses ofPubhc Funds for EconomIc Development
DIStrICt No 1, Tax Increment FInancIng DIStrICt No 7
Statement of Sources and Uses ofPubhc Funds for EconomIc Development
DIStrICt No 1, Tax Increment FInancIng DIStrICt No 8
Statement of Sources and Uses ofPubhc Funds for EconomIc Development
DIStrICt No 1, Tax Increment FInancIng DIStrICt No 9
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE WITH MINNESOTA
STATUTES
FINDINGS ON COMPLIANCE WITH MINNESOTA STATUTES
CORRECTIVE ACTION PLANNED BY THE CITY IN ORDER TO RESOLVE
CURRENT YEAR AUDIT FINDINGS
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Elected OfficIals
Mark S Olsen
Duane Bermng
Robert Gundersen
PatnCla Stalberger
John Vetsch
Gamson Hale
Lmda Houghton
CITY OF ALBERTVILLE, MINNESOTA
ELECTED OFFICIALS AND ADMINISTRATION
December 31, 1997
PosItIon
Term ExpIres
Mayor
CouncIl Member
CouncIl Member
CouncIl Member
CouncIl Member
December 31, 1998
December 31, 1998
December 31, 1998
December 31, 2000
December 31,2000
Appomted
CIty AdmImstrator
CIty Clerk-Treasurer
December 31, 1997
Indefimte
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Kc:A7
Kern, oeWenter, Viere, Ltd.
CertIfied Public Accountants
Alvm M Kern
Duane N DeWenter
Loren M Vlere
Gerald A Stover
Keith W Julson
Dwayne B Dockendorf
David H Hmnenkamp
Christopher P Shorba
INDEPENDENT AUDITORS' REPORT
March 5, 1998
Honorable Mayor and Members ofthe CIty CouncIl
CIty of AlbertvIlle
AlbertvIlle, Mmnesota
We have audIted the general purpose financial statements of the CIty of AlbertvIlle, Mmnesota,
as of and for the year ended December 31, 1997, as lIsted m the table of contents These general
purpose financIal statements are the responsIbIlIty ofthe CIty'S management Our responsIbIhty
IS to express an opmIOn on these financIal statements based on our audIt
Except as dIscussed m the followmg paragraph, we conducted our audIt m accordance wIth
generally accepted audItmg standards Those standards reqUIre that we plan and perform the
audIt to obtam reasonable assurance about whether the finanCial statements are free of matenal
mIsstatement An audIt mcludes exammmg, on a test baSIS, eVIdence supportmg the amounts and
dIsclosures m the general purpose finanCIal statements An audIt also mcludes assessmg the
accountmg pnncIples used and sIgmficant estImates made by management, as well as evaluatmg
the overall general purpose finanCIal statement presentatIon We belIeve that our audIt proVIdes a
reasonable basIS for our opmIOn
Because the CIty does not mamtam adequate hIstoncal cost fixed asset accountmg records, It was
not practIcable to extend our audItIng procedures to enable us to express, and we do not express,
an opmIOn on the balance sheet of the general fixed asset account group as of December 31,
1997
In our opmIOn, except for the effect of such adjustments, If any, that mIght have been determmed
to be necessary had we audIted the General FIxed Asset Account Group, the general purpose
finanCial statements referred to above present fairly, mall matenal respects, the finanCIal pOSItIon
of the CIty of AlbertVIlle, Mmnesota, as of December 31, 1997, and the results of Its operatIOns
and cash flows of ItS propnetary fund types for the year then ended m conformity WIth generally
accepted accountmg pnncIples
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220 Park Avenue South PO Box 1304 St Cloud, MN 56302
320-251-7010 FAX 320-251-1784
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Honorable Mayor and CIty CouncIl
March 5, 1998
Page 2
Our audIt was made for the purpose offonmng an OpInIOn on the general purpose finanCial
statements taken as a whole The combInIng and IndIVIdual fund finanCIal statements lIsted In
the table of contents are presented for purposes of addItIonal analYSIS and are not a reqUIred part
of the general purpose finanCial statements of CIty of AlbertVIlle, MInnesota Such InfOrmatIOn
has been subjected to the aUdItIng procedures applIed In the audIt of the general purpose finanCIal
statements and, In our opIIDon, IS faIrly presented In all matenal respects In relatIon to the general
purpose finanCial statements taken as a whole
The supplementary InfOrmatIOn lIsted In the table of contents IS not necessary for a fair
presentatIOn of the finanCIal statements but IS presented for purposes of addItIonal analYSIS ThIs
InfOrmatIOn has not been subjected to any audIt procedures and, accordIngly, we do not express
an OpInIOn on It
~fl~/~ 4M.
KERN, DEWENTER, VIERE, LTD
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CITY OF ALBERTVILLE, MINNESOTA I
COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS I
December 31, 1997
-~-~ Governmental Fund Types I
Special Debt Capital I
ASSETS AND OTHER DEBITS General Revenue ServIce PrOjects
Assets
Cash and Investments (Includmg Cash I
EqUivalents) $ 463,906 $ 1,656,958 $ 735,097 $ 268,615
Taxes Receivable -
Delinquent 9,691 0 1,993 0
Special Assessments ReceIvable - I
Deferred 0 0 448,405 52,200
Delmquent 0 0 18,817 0
Accounts Receivable 0 0 0 0
Interest ReceIvable 25,403 0 0 0 I
Due from Other Governmental Umts 2,339 0 2,904 0
Loans ReceIvable 0 74,561 0 0
Investments for Deferred CompensatIOn Plan 0 0 0 0
Fixed Assets - Net 0 0 0 0 I
Other Debits
Amount AvaIlable m Debt ServIce Funds 0 0 0 0
Amount to be Provided for Retirement of
General Long-Term Debt 0 0 0 0 I
TOTAL ASSETS AND
OTHER DEBITS $ 501,339 $ 1,731,519 $ 1,207,216 $ 320,815 I
LIABILITIES, EQUITY AND OTHER CREDITS
Liabilities
Cash Overdraft $ 0 $ 2,419 $ 124,797 $ 156,593 I
Accounts Payab~e 15,260 0 0 50,684
AccI ued Payroll Taxes and Benefits 3,183 0 0 0
Contracts Payable 0 0 0 0
Deferred Revenue 9,691 74,561 469,215 52,200 I
Deferred Compensation Payable 0 0 0 0
Bonds Payable 0 0 0 0
Total Liabilities 28,134 76,980 594,012 259,477 I
Equity and Other Credits
Investment m General Fixed Assets 0 0 0 0
Contnbuted Capital 0 0 0 0 I
Retamed Earnmgs -
Reserved 0 0 0 0
Unreserved 0 0 0 0
Fund Balance - I
Reserved 0 0 667,489 0
Unreserved -
Designated 405,884 425,075 66,699 234,992
Undesignated _ _ 67,321 1,229,464 (120,984) (173,654) I
Total EqUity and Other Credits ___ _473,205 1,654,539 ~13,204 _~1,338
TOTAL LIABILITIES, EQUITY I
AND OTHER CREDITS $ ~Q!,339 $ 1 ,73 1 ,519 $ 1,207,216 $ 320,815
The notes to the finanCial statements are an mtegral part of this statement I
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I Propnetary
Fund JY~_ Account Groups
General
Fixed General Totals
I Assets Long-Term (Memorandum Only)
_ Enterpn~ _ _ (Unaudl~ Debt 1997 1996
I $ 197,071 $ 0 $ 0 $ 3,321,647 $ 2,923,932
0 0 0 11,684 16,788
I 0 0 0 500,605 697,315
0 0 0 18,817 18,873
74,747 0 0 74,747 74,467
I 0 0 0 25,403 43,641
0 0 0 5,243 67,726
0 0 0 74,561 80,496
0 0 0 0 41,135
I 3,146,401 725,696 0 3,872,097 3,945,427
0 0 613,204 613,204 899,098
I 0 0 -----1!}6,796 1,136,796 1,310,902
----~-
I $ 3,418,219 $ 725,696 $ 1,750,000 $ 9,654,804 $ 10,119,800
I $ 0 $ 0 $ 0 $ 283,809 $ 128,047
2,391 0 0 68,335 130,002
0 0 0 3,183 0
0 0 0 0 4,294
I 0 0 0 605,667 813,472
0 0 0 0 41,135
_ ~,290,240 0 1,750,000 3,040,240 3,555,944
1,292,631 0 1,750,000 4,001,234 4,672,894
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0 725,696 0 725,696 721,149
I 1,868,608 0 0 1,868,608 1,868,608
94,354 0 0 94,354 96,572
162,626 0 0 162,626 143,534
I 0 0 0 667,489 1,177 ,028
0 0 0 1,132,650 975,616
I 0 0 0 __ ~,002, 147 464,399
---- ~
2,125,588 725,696 0 2,~53,570 ~446,906
--- - ~~
I $ ),11 8~219 $ 32~>696 $ 1,75~000 $ 9J654,80~_ $ 10,119,800
- -- --~ - --~ - - ~ ---
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CITY OF ALBERTVILLE, MINNESOTA I
COMBINED STATEMENT OF REVENUES, EXPENDITURES, I
AND CHANGES IN FUND BALANCE - ALL GOVERNMENTAL FUND TYPES
Year Ended December 31, 1997
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Governmental Fund Types
SpecIal Debt I
General Revenue ServIce
REVENUES
Taxes $ 427,000 $ 0 $ 156,176 I
SpeCial Assessments 0 0 234,264
LIcenses and Permtts 150,231 0 0
Intergovernmental Revenues 240,855 0 0
Charges for ServIces 37,771 504,595 27,440 I
Fmes 227 0 0
MIscellaneous Revenues 63,374 56,267 37,588
Total Revenues 919,458 560,862 455,468 I
EXPENDITURES
Current -
General Government 243,042 0 0 I
Pubhc Safety 112,181 0 0
Pubhc Works 159,400 0 0
Samtatton 12,342 0 0 I
Culture and Recreatton 16,686 11 ,346 0
Econormc Development 2,321 0 0
MIscellaneous 27,955 0 7,042
CapItal Outlay 0 0 0 I
Debt ServIce -
PnncIpal 0 0 460,000
Interest and FIscal Charges 0 0 110,616 I
Total ExpendItures 573,927 11,346 577,658
EXCESS OF REVENUES OVER (UNDER) I
EXPENDITURES 345,531 549,516 (122,190)
OTHER FINANCING SOURCES (USES)
Bond Proceeds 0 0 0 I
Operatmg Transfers In 0 149,019 0
Operatmg Transfers Out (149,019) 0 (163,704)
Total Other Fmancmg Sources (Uses) (149,019) 149,019 (163,704) I
EXCESS OF REVENUES AND OTHER
FINANCING SOURCES OVER (UNDER)
EXPENDITURES AND OTHER USES 196,512 698,535 (285,894) I
FUND BALANCE - January 1 552,749 679,948 899,098
PRIOR PERIOD ADmSTMENT 0 0 0 I
FUND BALANCE - January 1, as restated 552,749 679,948 899,098
RESIDUAL EQUITY TRANSFERS (276,056) 276,056 0 I
FUND BALANCE - December 31 $ 473,205 $ 1 ,654,539 $ 613,204 I
The notes to the financial statements are an mtegral part of thIS statement
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Totals
I Capital (Memorandum Only)
Projects 1997 1996
$ 50,205 $ 633,381 $ 395,429
I 11,533 245,797 259,339
0 150,231 72,916
0 240,855 233,438
I 27,100 596,906 214,226
0 227 131
29,757 186,986 169,082
I 118,595 2,054,383 1,344,561
I 0 243,042 323,902
0 112,181 131,033
0 159,400 122,887
0 12,342 12,297
I 0 28,032 89,797
0 2,321 35,327
53,664 88,661 29,498
I 652,545 652,545 87,942
0 460,000 708,000
I 0 110,616 13 7 ,998
706,209 1,869,140 1,678,681
I (587,614) 185,243 (334,120)
I 0 0 396,979
163,704 312,723 0
0 (312,723) 0
163,704 0 396,979
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I (423,910) 185,243 62,859
485,248 2,617,043 2,679,851
I 0 0 (16,868)
485,248 2,617,043 2,662,983
I 0 0 (108,799)
$ 61,338 $ 2,802,286 2,617,043
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CITY OF ALBERTVILLE, MINNESOTA I
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL -
GENERAL AND SPECIAL REVENUE FUND TYPES I
Year Ended December 31, 1997
General Fund I
Over I
(Under)
Budget Actual Budget
REVENUES
Taxes $ 412,400 $ 427,000 $ 14,600 I
LIcenses and PermIts 26,715 150,231 123,516
Intergovernmental Revenues 236,937 240,855 3,918
Charges for ServIces 39,094 37,771 (1,323) I
Fmes 100 227 127
MIscellaneous Revenues 4,650 63,374 58,724
Total Revenues 719,896 919,458 199,562 I
EXPENDITURES
Current - I
General Government 253,075 243,042 (10,033)
PublIc Safety 171,984 112,181 (59,803)
PublIc Works 200,938 159,400 (41,538)
SamtatIOn 12,345 12,342 (3) I
Culture and RecreatIOn 20,850 16,686 (4,164)
EconomIC Development 2,524 2,321 (203)
MIscellaneous 3,800 27,955 24,155 I
Total ExpendItures 665,516 573,927 (91,589)
EXCESS OF REVENUES OVER I
EXPENDITURES 54,380 345,531 291,151
OTHER FINANCING SOURCES (USES) I
Operatmg Transfers In 0 0 0
Operatmg Transfers Out 0 (149,019) (149,019)
Total Other Fmancmg Sources (Uses) 0 (149,019) (149,019) I
EXCESS OF REVENUES AND OTHER
FINANCING SOURCES OVER
EXPENDITURES AND OTHER USES $ 54,380 196,512 $ 142,132 I
FUND BALANCE - January 1 552,749
RESIDUAL EQUITY TRANSFERS (276,056) I
FUND BALANCE - December 31 $ 473,205 I
The notes to the finanCIal statements are an mtegral part of thIS statement I
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I Totals
SpecIal Revenue Funds (Memorandum Only)
Over Over
I (Under) (Under)
Budget Actual Budget Budget Actual Budget
I $ 0 $ 0 $ 0 $ 412,400 $ 427,000 $ 14,600
0 0 0 26,715 150,231 123,516
0 0 0 236,937 240,855 3,918
I 0 504,595 504,595 39,094 542,366 503,272
0 0 0 100 227 127
0 56,267 56,267 4,650 119,641 114,991
I 0 560,862 560,862 719,896 1,480,320 760,424
I 0 0 0 253,075 243,042 (10,033)
0 0 0 171,984 112,181 (59,803)
0 0 0 200,938 159,400 (41,538)
I 0 0 0 12,345 12,342 (3)
0 11,346 11,346 20,850 28,032 7,182
0 0 0 2,524 2,321 (203)
I 0 0 0 3,800 27,955 24,155
0 11,346 11,346 665,516 585,273 (80,243)
I 0 549,516 549,516 54,380 895,047 840,667
I 0 149,019 149,019 0 149,019 149,019
0 0 0 0 (149,019) (149,019)
0 149,019 149,019 0 0 0
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I $ 0 698,535 $ 698,535 $ 54,380 895,047 $ 840,667
679,948 1,232,697
I 276,056 0
I $ 1.654,539 $ 2,127,744
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CITY OF ALBERTVILLE, MINNESOTA
COMBINED STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN RETAINED EARNINGS - ALL PROPRIETARY FUND TYPES
Year Ended December 31, 1997
WIth ComparatIve Totals for the Year Ended December 31, 1996
Totals
1997
OPERATING REVENUES
Charges for ServIces
PenaltIes
Total Operatmg Revenues
$
233,849 $
3,948
237,797
OPERATING EXPENSES
Employee Benefits
RepaIrs and Mamtenance
Engmeer Fees
Legal Fees
SupplIes
ProfessIOnal ServIces
Testmg Expense
Insurance
DepreCIatIOn
MIscellaneous
Total Operatmg Expenses
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13,792
3,657
50
1,558
86,197
o
4,319
77,877
554
188,004
49,793
OPERATING INCOME (LOSS)
NON-OPERATING REVENUES (EXPENSES)
Interest Income
Interest Expense and FIscal Charges
Total Non-operatmg Revenues (Expenses)
11,308
(44,227)
(32,919)
16,874
240,106
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NET INCOME (LOSS)
RETAINED EARNINGS - January 1
RESIDUAL EQUITY TRANSFERS
RETAINED EARNINGS - December 31
$
256,980 $
The notes to the finanCial statements are an mtegral part of thIS statement
1996
172,466
8,326
180,792
119
304
586
230
2,241
98,341
125
3,703
78,194
521
184,364
(3,572)
3,759
(46,031)
(42,272)
(45,844)
177,151
108,799
240,106
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I CITY OF ALBERTVILLE, MINNESOTA
COMBINED STATEMENT OF CASH FLOWS -
I ALL PROPRIETARY FUND TYPES
Year Ended December 31, 1997
WIth ComparatIve Totals for Year Ended December 31, 1996
I Totals
1997 1996
I CASH FLOWS FROM OPERATING ACTIVITIES
Operatmg Income (Loss) $ 49,793 $ (3,572)
Adjustments to ReconcIle Operatmg Income (Loss) to
I Net Cash PrOVIded by Operatmg ActIvItIes
DepreCIatIOn 77 ,877 78,194
Change m Assets and LIabIlItIes
I (Increase) m Accounts ReceIvable (280) (23,220)
Increase (Decrease) m Accounts Payable 2,285 (3,176)
Total Adjustments 79,882 51,798
I Net Cash PrOVIded by Operatmg ActIVItIes 129,675 48,226
I CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
ReSIdual EqUIty Transfer In 0 108,799
I CASH FLOWS FROM CAPITAL AND RELATED FINANCING
ACTIVITIES
PnncIpal Payments on Bonds (55,704) (53,899)
I Interest and FISCal Charges Paid on Bonds (44,227) (46,031)
AcqUIsItIon of FIXed Assets 0 (4,598)
Net Cash (Used) by CapItal and Related Fmancmg ActIVItIes (99,931) (104,528)
I CASH FLOWS FROM INVESTING ACTIVITIES
Interest on Investments 11,308 3,759
I Net Increase m Cash and Cash EqUIvalents 41,052 56,256
Cash and Cash EqUIvalents, January 1 156,019 99,763
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Cash and Cash EqUIvalents, December 31 $ 197,071 $ 156,019
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I The notes to the financIal statements are an mtegral part of thIS statement
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The CIty of AlbertvIlle, Mmnesota, has a mayor-councIl form of government A mayor and four
councIl members are elected by the voters of the CIty for two-year and four-year terms,
respectIvely
The accountmg polICIes ofthe CIty conform to generally accepted accountmg pnnCIples except
that the CIty has not mamtamed adequate fixed asset records for the General FIxed Asset
Account Group WIth respect to propnetary actIvIties, the CIty has adopted GASB No 20,
"Accountmg and FmancIal Reportmg for Propnetary Funds and Other Governmental EntItIes that
use Propnetary Fund Accountmg" The CIty has elected to apply all applIcable GASB
pronouncements as well as FmancIaI Accountmg Standards Board (FASB) pronouncements,
Accountmg PnncIples Board (APB) OpImons and Accountmg Research Bulletms (ARB), Issued
on or before November 30, 1989 unless those pronouncements conflIct With or contradIct GASB
pronouncements In addItion, the CIty has elected not to apply F ASBs, APBs and ARBs Issued
after November 30, 1989 The followmg IS a summary ofthe CIty'S more sIgmficant accountmg
polIcIes
A FmancIaI Reportmg EntIty
In accordance WIth GASB Statement No 14, The Fmanczal Reportmg Entzty, the financIal
statements present the CIty and ItS component unItS The CIty mcludes all funds, account
groups, orgamzatIOns, mstItutIOns, agencIes, departments, and offices that are not legally
separate from such Component umts are legally separate organIZatIOns for WhICh the elected
offiCials of the CIty are finanCIally accountable and are mcluded wIthm the general purpose
financIal statements of the CIty because of the sIgmficance of theIr operatIonal or financIal
relatIOnshIps WIth the CIty
The CIty IS conSIdered finanCIally accountable for a component unIt If It appomts a votmg
maJonty of the organIzatIon's govermng body and It IS able to Impose ItS wIll on the
organIzatIOn by sIgmficantly mfluencmg the programs, projects, actIVItIes, or level of
servIces performed or proVIded by the organIzatIOn, or there IS a potentIal for the organIzatIOn
to prOVIde speCIfic finanCial benefits to, or Impose speCIfic finanCial burden on, the CIty
As a result of applymg the component unIt defimtIOn cntena above, certam organIZatIOns
have been defined m accordance WIth GASB Statement No 14 and are presented m thIS
report as follows
. Blended Component Umts - Reported as If they were part ofthe CIty
. DIscretely Presented Components Umts - EntaIls reportmg the component unIt
finanCIal data m a column separate from the finanCIal data of the CIty
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
A FmancIal Reportmg EntIty (Contmued)
· Related OrgamzatIon - The relatIOnshIp ofthe CIty WIth entIty IS dIsclosed
· Jomt Ventures and Jomtly Governed OrgamzatIons - The relatIOnshIp of the CIty WIth
the entIty IS dIsclosed
For each ofthe categones above, the specIfic entIties are IdentIfied as follows
Blended Component Umt
None
DIscretely Presented Component Umts
None
Related OrganIzatIOn
None
Jomt Ventures and Jomtly Governed OrganIzatIOns
Jomt Powers Board Water Fund
In 1977 the CIty of AlbertvIlle entered mto an agreement wIth the CItIes of St
MIchael and Hanover and Frankfort TownshIP to construct a water system under a
grant bond arrangement WIth the Umted States EconomIC Development
AdmImstratIOn (EDA) Water revenue bonds were Issued m the name of the CIty of
AlbertvIlle and purchased by EDA The Jomt Powers Board remIts the annual bond
and mterest payment to the CIty of AlbertvIlle whIch m turn remIts the payment to
EDA
The Jomt powers agreement states m the event the Jomt Powers Board Water Fund
does not generate suffiCIent revenue to pay operatmg costs and pnncIpal and mterest
on bonds, the partICIpants agree to contnbute from theIr general fund an amount
sufficIent to pay for such defiCIency At the tIme of the ongmal agreement, each CIty
and town was to contrIbute 25% of the reqUIred amount In 1996, Frankfort
TownshIP was annexed mto the CItIes of St MIchael, AlbertvIlle, and Otsego and no
longer eXIsts as a townshIP Therefore, the CIty of AlbertvIlle, IS now reqUIred to
contnbute one-thIrd of any potentIal defiCIenCIes of the Jomt Powers Board
10
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
A Fmanclal Reportmg EntIty (Contmued)
Jomt Ventures and Jomtly Governed OrganIzatIons (Contmued)
Jomt Powers Board Water Fund (Contmued)
A summary of the financIal mformatIOn of the Jomt Powers Board Water Fund for the
year ended December 31, 1996 (1997 mformatIon IS not avaIlable) IS
Total Assets
$ 4.186.790
$ 1,762,778
2.424.012
$ 4.186.790
$ 439,000
402,549
284.993
$ 321.444
Total LiabIlItIes
Total EqUIty
Total LiabIlItIes and EqUIty
Total Revenues
Operatmg Expenses
Other Income and Expense
Net Income
FmancIaI statements for the Jomt Powers Board Water Fund may be obtamed at
AlbertvIlle CIty Hall
St MIchael - AlbertVIlle Ice Arena
In 1996 and 1997, the CIty of AlbertvIlle entered m aJomt powers agreement wIth the
CIty of St MIchael and Independent School DIStrIct # 885 - St MIchael - AlbertVIlle,
for constructIon and mamtenance of a qualIfied Ice arena In addItIOn, the CIty
receIved notIce m 1996 ofbemg selected as a MIghty Ducks grant reCIpIent to help
fund the cost of the arena The arena IS to be constructed WIth the MIghty Ducks
grant funds, donatIOns, and a revenue note to be executed by the CItIes of St MIchael
and AlbertVIlle and Independent School Dlstnct # 885
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
A Fmanclal Reportmg EntIty (Contmued)
Jomt Ventures and Jomtly Governed OrgarnzatIOns (Contmued)
St MlChael- AlbertvIlle Ice Arena (Contmued)
The jomt powers agreement states the CIty of AlbertvIlle IS to execute a revenue note
m the amount of$ 133,333 whIch WIll be paId back wIth funds avaIlable from the
operatIon of the Ice arena The total amount ofthe revenue note IS to be $ 400,000, of
whIch each partIcIpant IS one-thIrd responsIble If funds are defiCIent, the CIty must
pay one-thIrd of the amount necessary to make up the shortage In addItIon, the CIty
must allocate an amount sufficIent to pay one-thud of any projected shortfall m
annual revenues avaIlable for the operatIon and mamtenance ofthe Ice arena
As of December 31, 1997, the Ice arena has not been constructed, and there IS no
amount outstandmg on the revenue note Separate financIal statements have not been
prepared for the Ice arena
B Fund Accountmg
The accounts of the CIty are organIzed on the basIs of funds and account groups, each of
whIch IS consIdered a separate accountmg entIty The operatIOns of each fund are accounted
for wIth a separate set of self-balancmg accounts that compnse ItS assets, lIabIlItIes, fund
eqUIty, revenues and expendItures or expenses, as appropnate Government resources are
allocated and accounted for m mdlvldual funds based upon the purposes for whIch they are to
be spent and the means by whIch spendmg actIVItIes are controlled The vanous funds are
grouped, m the financIal statements m thIS report, mto five genenc fund types and two broad
fund categones, descnbed below
Governmental Funds
The General Fund IS the general operatmg fund of the CIty It IS used to account for all
finanCIal resources except those reqUIred to be accounted for m another fund
SpecIal Revenue Funds are used to account for the proceeds of speCIfic revenue sources
(other than expendable trusts or major capItal projects) that are legally restncted to
expendItures for speCIfied purposes The CIty has five SpecIal Revenue Funds
Debt ServIce Funds are used to account for the accumulatIon of resources for, and the
payment of pnnclpal, mterest, and related costs of general long-term debt The CIty has
fourteen Debt ServIce Funds
12
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(ContInued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (ContInued)
B Fund AccountIng (ContInued)
Governmental Funds (ContInued)
CapItal Projects Funds are used to account for financial resources to be used for the
acqUisItion or construction of major capItal facIlIties (other than those financed by
propnetary funds) The CIty has twenty-one CapItal Projects Funds
Propnetary Funds
Enterpnse Funds are used to account for operations (a) that are financed and operated In a
manner sImIlar to pnvate busIness enterpnses--where the Intent ofthe governIng body IS
that the costs (expenses, IncludIng deprecIation) of provIdIng goods or servIces to the
general publIc on a contInUIng basIS be financed or recovered pnmanly through user
charges, or (b) where the governIng body has deCIded that the penodlc determInatIOn of
revenues earned, expenses Incurred, or net Income IS appropnate for capItal maIntenance,
publIc polIcy, management control, accountabIlIty, or other purposes The CIty mamtaIns
sanItary sewer and storm water enterpnse funds
Account Groups
The General FIxed Assets Account Group (unaudIted) IS used to account for the CIty'S
fixed assets, other than those accounted for In propnetary funds
The General Long-Term Debt Account Group IS used to account for the CIty'S long-term
debt, other than that accounted for In propnetary funds
C Measurement Focus. FIxed Assets and Long-Term LIabIlIties
The accountmg and reportIng treatment applIed to the fixed assets and long-term lIabIlIties
asSOCiated wIth a fund are determIned by ItS measurement focus All governmental funds are
accounted for on a spendIng or "finanCIal flow" measurement focus Tills means that only
current assets and current lIabIlIties are generally Included on theIr balance sheets TheIr
reported fund balance (net current assets) IS consIdered a measure of avaIlable spendable
resources Governmental fund operatIng statements present Increases (revenues and other
financmg sources) and decreases (expendItures and other finanCIng uses) In net current assets
AccordIngly, they are smd to present a summary of sources and uses of avaIlable spendable
resources dunng a penod
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(ContInued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (ContInued)
C Measurement Focus. FIxed Assets and Long-Term LIabIlItIes (ContInued)
FIxed assets used In governmental fund type operatIons (general fixed assets) are accounted
for In the General FIxed Assets Account Group, rather than In governmental funds PublIc
domaIn ("Infrastructure") general fixed assets--wluch are certaIn Improvements other than
bUIldIngs, IncludIng roads, curbs and gutters, streets and sIdewalks, draInage systems, and
lIghtIng systems--are not capItalIzed by the CIty No deprecIatIon has been provIded on
general fixed assets
All fixed assets are valued at theIr lustoncal cost or estImated hIstoncal cost If actual cost IS
not avaIlable Donated fixed assets are valued at theIr estImated faIr value on the date
donated
Long-term lIabIlItIes expected to be financed from governmental funds are accounted for In
the General Long-Term Debt Account Group, not In the governmental funds
The two account groups are not "funds" They are concerned only wIth the measurement of
financIal posItIon They are not Involved WIth measurement of results of operatIons
Because of theIr spendIng measurement focus, expendIture recogmtIOn for governmental
fund types IS lImIted to exclude amounts represented by noncurrent lIabIlItIes SInce they do
not affect net current assets, such long-term amounts are not recogmzed as governmental
fund type expendItures or fund lIabIlItIes They are Instead reported as lIabIlItIes In the
General Long-Term Debt Account Group
All propnetary funds are accounted for on a flow of economIC resources measurement focus
ThIS means that all assets and all lIabIlItIes (whether current or noncurrent) assoCIated wIth
the fund's actIvIty are mcluded on the balance sheet TheIr reported fund eqUIty (net total
assets) IS segregated Into contnbuted capItal and retaIned earnIngs components Propnetary
fund type operatIng statements present Increases (revenues) and decreases (expenses) In net
total assets
DepreCIatIOn of all exhaustIble fixed assets used by propnetary funds IS charged as an
expense agaInst operatIons Accumulated deprecIatIon IS reported on the propnetary fund
balance sheet DepreCIatIon has been proVIded over the assets' estImated useful lIves USIng
the straIght-Ime method
The estImated useful lIves ofthe fixed assets range from five to fifty years
14
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
D BasIS of Accountmg
BaSIS of accountmg refers to when revenues and expendItures or expenses are reCOgnIzed m
the accounts and reported m the financIal statements BasIS of accountmg relates to the
tImmg of the measurement made, regardless ofthe measurement focus applIed
All governmental funds are accounted for usmg the modIfied accrual baSIS of accountmg, m
WhICh revenues are recognIzed when they become measurable and avaIlable as net current
assets
The CIty consIders property taxes as avaIlable If they are collected wlthm 60 days after year
end A one-year avaIlabIlIty penod IS used for revenue recognItIon for all other governmental
fund revenues ExpendItures are recorded when the related fund lIabIlIty IS mcurred
Pnnclpal and mterest on general long-term debt are recorded as fund lIabIlItIes when due or
when amounts have been accumulated m the debt servIce fund for payments to be made early
m the followmg year
Major revenues that are susceptIble to accrual mclude property taxes, speCIal assessments,
mtergovernmental revenues, charges for servIces, and mterest on mvestments Major
revenues that are not susceptIble to accrual mclude lIcenses and permIts, fees and
mIscellaneous revenues, such revenues are recorded only as receIved because they are not
measurable untIl collected Interest on speCIal assessments IS recognIzed as revenue when
due, net of delmquencIes
ExpendItures are generally recognIzed under the modIfied accrual basIS of accountmg when
the related fund lIabIlItIes are mcurred ExceptIOns to thIS rule mclude SIck pay and pnnclpal
and mterest on general long-term debt, wInch are reCOgnIzed when due
All propnetary funds are accounted for usmg the accrual baSIS of accountmg, revenues are
reCOgnIzed when they are earned and expenses are recognIzed when they are mcurred
The CIty reports deferred revenue on the combmed balance sheet Deferred revenues anse
when a potentIal revenue does not meet both the "measurable" and "avaIlable" cntena for
recognItIon m the current penod Deferred revenues also anse when resources are receIved
by the CIty before It has a legal claIm to them, or when grant momes are receIved pnor to the
mcurrence of qualIfymg expendItures In subsequent years, when both revenue recognItIon
cntena are met, or when the CIty has a legal claIm to the resources, the lIabIlIty for deferred
revenue IS removed from the combmed balance sheet and the revenue IS reCOgnIzed
15
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
E Budgetary Data
The CIty CouncIl adopts an annual budget The amounts shown m the financIal statements as
"budget" represent the ongmal budgeted amount and all reVISIons made dunng the year The
CIty follows these procedures m establIshmg the budgetary data reflected m the financIal
statements
1 Budget requests are submItted by all department heads to the CIty Admmlstrator The
CIty AdmInIstrator complIes the budget requests mto an overall prelImmary CIty budget
2 The CIty Admmlstrator presents the proposed budget to the CIty CouncIl The budget
resolutIOn adopted by the CIty CouncIl sets forth the budget at the functIOn level for the
General Fund There were no budget amendments m 1997
3 Formal budgetary mtegratIOn IS employed as a management control devIce dunng the
year for the General Fund No budgets are adopted for SpeCIal Revenue Funds Formal
budgetary mtegratIOn IS not employed for Debt ServIce Funds because effectIve budgetary
control IS alternatIvely achIeved through general oblIgatIOn bond mdenture provISIons
Budgetary control for CapItal Projects Funds IS accomplIshed through the use of project
controls
4 The budget for the General Fund IS adopted on a basIs consIstent WIth generally accepted
accountmg pnncIples (GAAP) Annual appropnatIOns lapse at year end
F Encumbrances
Encumbrances outstandmg at year-end expIre and outstandmg purchase orders are cancelled
and not reported m the finanCIal statements
As of December 31, 1997, no outstandmg encumbrances eXIsted
G Cash and Investments (Includmg Cash EqUIvalents) (See Note 3)
Cash balances from all funds are combmed and mvested to the extent avaIlable m authonzed
mvestments Earnmgs from such mvestments are allocated to the respectIve funds on the
basIs of applIcable cash balance partICIpatIOn by each fund
Investments are carned at cost or amortIzed cost Any premIUms or dIscounts are amortIzed
over the matunty of the mvestment
16
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
( Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
G Cash and Investments (Inc1udmg Cash EqUIvalents) (See Note 3) (Contmued)
Investments for Deferred CompensatIon Plans are stated at market value
For purposes of the Statement of Cash Flows ofpropnetary fund types, cash eqUIvalents are
defined as short-term, hIghly lIqUId mvestments that are both
a readIly convertIble to known amounts of cash, or
b so near theIr matunty that they present mSIgmficant nsk of changes m value because
of changes m mterest rates
The CIty'S polIcy consIders cash eqUIvalents to be those that meet the above cntena and have
ongmal matuntIes of three months or less
H Taxes ReceIvable
DelInquent taxes receIvable represent the past SIX years of uncollected tax levIes
I Special Assessments ReceIvable
DelInquent specIal assessments represent the past SIX years of uncollected specIal
assessments
Deferred specIal assessments represent the pnncIpal portIOn of those assessments to property
owners for Improvements made by the CIty and are to be paId m 1998 and years thereafter
J Loans ReceIvable
Loans receIvable represent a loan made to a local busmess for the purpose of economIc
development
K Deferred Revenue
Deferred revenue represents delmquent taxes, delmquent and deferred assessments
receIvable, and loans receIVable Tills revenue IS deferred untIl It IS measurable and avaIlable
as net current assets
17
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
L VacatIOn and SICk Leave
The CIty compensates employees who resIgn or retire WIth due notice for unused vacation
and holIday pay Employees may not carry over vacatIOn time from one vacatIOn year to
another vacatIOn year as establIshed by the employee's annIversary date unless pnor approval
IS granted by the CIty CounCIl
The CIty has Implemented a sIck leave mcentIve program Full-time employees are entitled
to sIck leave at the rate of one day per month to a mIDClmum of 45 days or 360 hours Hours
accumulated m excess of the maxImum IS appbed to the sIck leave mcentIve program An
employee earns one-fourth day paId vacation or one-fourth days' pay m lIeu of saId vacatIOn
at the employee's option ThIS optIOn IS only active and avaIlable when the begmmng SICk
leave balance for each month IS 45 days The cash m beu optIOn IS paId m December of each
year
VacatIOn pay and SIck pay are consIdered expendItures m the year due m the governmental
fund types, whIle m the propnetary fund types, vacatIOn and SIck pay are charged to expense
when earned
M Fund EqUIty
Fund eqUIty IS dIVIded mto sectIOns as follows
- Contnbuted capItal represents fixed assets purchased by other funds and contrIbuted to the
enterpnse fund
- Retamed earnmgs of enterpnse funds are subdIvIded as follows
Reserved amounts are set aSIde by counCIl resolutIOn for specIfic expenses m future
penods
The unreserved porbon of retamed earnmgs IS avaIlable for expendmg m future penods
- Fund balance accounts are subdIVIded as follows
Reserved accounts represent those portIons of fund eqUIty not appropnable for
expendIture or legally separated for a future use
Unreserved, deSIgnated accounts mdIcate the portIon of fund balance WhICh has been
deSIgnated for a speCIfic purpose
The unreserved, undesIgnated account IS the portIon of fund balance WhICh IS avaIlable
for budgetmg and expendmg m future penods
18
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
N Revenues. ExpendItures and Expenses
1 Revenues
Property taxes and specIal assessment prmcIpal and mterest are recognIzed as revenue
when measurable and avaIlable
Intergovernmental revenues are reported under the legal and contractual reqUirements of
the mdIvIdual programs
LIcenses and permIts, charges for servIces, fines and forfeItures, and mIscellaneous
revenues (except mvestment earmngs) are recorded as revenues when measurable and
avaIlable Investment earmngs are recorded when earned because they are measurable
and avaIlable
2 Property Tax Collection Calendar
The CIty leVIes Its property tax for the subsequent year dunng the month of December
The property tax IS recorded as revenue when It becomes measurable and avaIlable
Wnght County IS the collectmg agency for the levy and remIts the collectIOns to the CIty
three times a year Taxes not collected as of December 31 each year are shown as
delmquent taxes receIvable
December 28 IS the last day the CIty can certIfy a tax levy to the County AudItor for
collection the followmg year Such taxes become a lIen on the followmg January 1
The County AudItor makes up the tax lIst for all taxable property m the CIty, applymg the
applIcable tax rate to the tax capaCIty of mdIvIdual propertIes, to arnve at the actual tax
for each property The County AudItor also collects all specIal assessments, except for
certam prepayments paId dIrectly to the CIty
The County AudItor turns over a lIst oftaxes to be collected on each parcel of property to
the County Treasurer m January of each year
The County Treasurer collects all taxes and IS reqUired to mall copIes of all personal
property tax statements by February 15, and copIes of all real estate tax statements by
Apn115, of each year Property owners are reqUired to pay one-half of theIr real estate
taxes due by May 15 and the balance by October 15
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
N Revenues. ExpendItures and Expenses (Contmued)
2 Property Tax CollectIOn Calendar (Contmued)
If taxes due May 15 are not paid on time, a penalty of3% IS assessed on homesteaded
property and 7% on non-homesteaded property An addItional 1 % penalty IS added each
month the taxes remain unpaid, until October 15 If the taxes due May 15 are not paId by
October 15, a 2% penalty per month IS added to homesteaded property and 4% per month
to non-homesteaded property until January I
If the taxes are not paId by January I, further penalties are added PenaltIes and mterest
apply to both taxes and speCIal assessments There are some exceptIOns to the above
penalties, but they are not matenal
WIthm 30 days after the tax settlement date, the County Treasurer IS reqUIred to pay 70%
of the estimated collectIOns of taxes and speCIal assessments to the CIty Treasurer The
County Treasurer must pay the balance to the CIty Treasurer wIthm 60 days after
settlement, proVIded that after 45 days mterest accrues at the rate of 8% per annum
3 ExpendItures
ExpendIture recogrutIon for governmental fund types mcludes only amounts represented
by current lIabIlIties Smce noncurrent lIabIlIties do not affect net current assets, they are
not recogruzed as governmental fund expendItures or fund lIabIlIties They are reported
as lIabIlIties m the General Long-Term Debt Account Group
4 Expenses
Propnetary fund types recogruze expenses when they are mcurred
o Interfund TransactIOns
QuasI-external transactIOns are accounted for as revenues, expendItures or expenses
Transactions that constitute reImbursements to a fund for expendItures or expenses InItially
made from It that are properly applIcable to another fund are recorded as expendItures or
expenses m the fund that IS reImbursed
All other mterfund transactions, except quasI-external and reImbursements, are reported as
transfers Nonrecumng or nonroutme permanent transfers of eqUIty are reported as reSIdual
eqUIty transfers All other mterfund transfers are reported as operatmg transfers
20
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
P Total Columns on General PUl:pose Statements
Total columns on the general purpose financIal statements are captIoned "memorandum only"
to mdIcate that they are presented only to facIlItate financIal analysIs Data m these columns
do not present finanCIal pOSItIon, results of operatIons, or cash flows m conformIty WIth
generally accepted accountmg prmcIples Interfund elImmatIons have not been made m the
aggregatIOn of thts data
Q ComparatIve Data
ComparatIve total data for the pnor year have been presented m the accompanymg financIal
statements m order to proVIde an understandmg of changes m the CIty'S financIal pOSItIon and
operatIOns However, pnor year totals by fund type have not been presented m each of the
statements smce theIr mclusIOn would make the statements unduly complex and dIfficult to
read
ComparatIve data have been restated to reflect reclasSIficatIons
NOTE 2 - STEWARDSHIP. COMPLIANCE AND ACCOUNTABILITY
A Fund Balance DefiCIts
The followmg funds had defiCIt fund balances at December 31, 1997
SpeCIal Revenue Fund -
CMIF $
Debt ServIce Funds -
1988 Refundmg Bonds
1988 Sewer and Water Revenue Bonds
1996A G 0 TIF Bonds
CapItal ProJ ects Funds -
TIF # 6 Fraser Steel
Barthel IndustrIal Dnve and 52nd St
Bnttany Kay Estates
North Frontage Road
Summerfield AddItIon
NE Sewer and Water ExtenSIOn
ParksIde 3rd AddItIon
$ 2,419
71,223
41,460
12,068
25
9,310
195
46,750
17,862
125
15,117
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 2 - STEWARDSHIP. COMPLIANCE AND ACCOUNTABILITY (Contmued)
A Fund Balance DefiCIts (Contmued)
CapItal Projects Funds - (Contmued)
Vetsch Custom Cabmets TIP # 8
ParksIde 4th AddItion
Cottages of AlbertvIlle TIP # 7
Cedar Creek Industnal Park
Mamtenance BuIldmg
Cedar Creek North
Center Oaks 1 st AddItion
Barthel Bus Garage TIP # 9
$ 5,601
24,880
20,135
2,352
1,335
5,133
21,831
3,003
These defiCIts WIll be ehmmated by future levIes, collectIOns of specIal assessments,
operatmg transfers, and developer reImbursements
B ExpendItures m Excess of AppropnatIOns
ExpendItures exceeded appropnatIOns m the followmg funds for the year ended
December 31, 1997
Special Revenue Funds
Park Fund
CMIF Fund
ExpendItures AppropnatIOns
$ 3,135
8,211
$
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NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS
A Assets
1 Cash and Investments (Includmg Cash EQUIvalents)
Cash balances of the CIty'S funds are combmed (pooled) and mvested to the extent
avaIlable m vanous mvestments authonzed by Mmnesota State Statutes Each fund's
portIOn OfthIS pool (or pools) IS illsplayed on the finanCial statements as "cash and
mvestments (mcludmg cash eqUIvalents)" For purposes of IdentIfymg nsk ofmvestmg
pubhc funds, the balances and related restnctIons are summanzed below
a DepOSIts - Mmnesota Statutes reqUIre that all depOSIts WIth finanCial mstItutIons must
be collaterahzed m an amount equal to 110% of depOSIts m excess of FDIC Insurance
22
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
A Assets (Contmued)
1 Cash and Investments (lncludmg Cash EqUIvalents) (Contmued)
a DeposIts - (Contmued)
Category 1 - DeposIts collateralIzed by Federal DeposItory Insurance (FDIC) and
those deposIts collateralIzed wIth secuntIes held by the CIty or by ItS
agent m the CIty'S name
Category 2 - CollateralIzed wIth secuntIes held by the pledgmg financmg mstItutIon's
trust department or agent m the CIty'S name
Category 3 - UncollateralIzed, mcludmg amounts whIch are collateralIzed wIth
secuntIes held by the pledgmg financIal mstItutIOn, or by ItS trust
department or agent, but not m the CIty'S name, or deposIts WhICh are
collateralIzed but collateral not perfected
Category Bank Carrymg
1 -L 3 Balance Amount
CertIficates of
DeposIt $ 132,754 $ 0 $ 471,930 $ 604,684 $ 604,684
Bank Accounts 149.939 --.!l 1.135.829 1.285.768 1.126.552
Total DeposIts $ 282.693 $ 0 $ 1.607.759 $ 1.890.452 $ 1.731.236
b Investments - Mmnesota State Statutes authonze the CIty to mvest m oblIgations of
the US Treasury, agencIes and mstrumentalItIes, shares ofmvestment companIes
whose only mvestments are m the forementIOned secuntIes, oblIgatIOns of the State of
MInnesota or ItS mUnIcIpalItIes, bankers' acceptances, future contracts, repurchase and
reverse repurchase agreements, and commercial paper of the hIghest qualIty WIth a
matunty of no longer than 270 days Investments held by the CIty at year end
classIfied as to credIt nsk are as follows
Category 1 - Insured or regIstered, WIth secuntIes held by the CIty'S agent m the CIty'S
name
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
( Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
A Assets (Contmued)
1 Cash and Investments (Includmg Cash EqUIvalents) (Contmued)
b Investments - (Contmued)
Category 2 - Umnsured and unregIstered, wIth secuntIes held by the counterparty's
trust department or agent m the CIty'S name
Category 3 - Unmsured and unregIstered, wIth secuntIes held by the counterparty, or
by ItS trust department or agent but not m the CIty'S name
Category Carrymg Market
1 -L ~ Amount Value
U S Government
SecuntIes $ 694,366 $ 0 $ 0 $ 694,367 $ 694,367
Mortgage Pools 612.184 --1l --1l 612,185 612,185
Total $ 1.306.550 $ 0 $ 0
Total DepOSIts (Note 3 A 1 a) 1,731,236 1,731,236
Petty Cash 50 50
Total Cash and Investments
(Includmg Cash EqUIvalents) $ 3.037.838 $ 3.037.838
ThIs amount IS classIfied on the combmed balance sheet as follows
Cash and Investments
(Includmg Cash EqUIvalents)
Cash Overdraft
Total
$ 3,321,647
(283.809)
$ 3.037.838
For the year ended December 31, 1997, the CIty earned mterest revenue of $ 152,189
24
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
A Assets (Contmued)
2 Deferred CompensatIOn Plan
The CIty offers Its employees a deferred compensation plan created m accordance WIth
Internal Revenue Code SectIOn 457 The plan, avaIlable to all CIty employees, permIts
them to defer a portIOn of thelf salary until future years The deferred compensation IS
not avaIlable to employees until termmatIOn, retirement, death or unforeseeable
emergency In 1996 all amounts of compensatIOn deferred under the plan, all property
and nghts purchased WIth those amounts, and all mcome attnbutable to those amounts,
property or nghts, are (until paId or made avaIlable to the employee or other benefiCiary)
solely the property and nghts ofthe CIty, subject only to the nghts of the claims of the
CIty'S general credItors PartIcIpants' nghts under the plan are equal to the fair market
value ofthe deferred account for each partIcIpant The related assets and lIabIlIties are
recorded m the Agency Fund - Deferred Compensation
It IS the opmIOn of the CIty'S legal counsel that the CIty has no lIabIlIty for losses under
the plan but the CIty does have the duty of due care that would be reqUIred of an ordmary
prudent mvestor The CIty belIeves that It IS unlIkely that It WIll use the assets to satISfy
the claIm of general credItors m the future
The plan IS managed by trustees other than the CIty
In accordance WIth the reqUIrements of Governmental Accountmg Standards Board
(GASB) Statement No 32, the deferred compensation plan has been elImmated from the
CIty'S 1997 financIal statements The assets and mcome of the plan are held m trust for
the exclUSIVe benefit of partIcIpants and theIr beneficIanes and are no longer subject to
the claIms of the CIty'S general credItors The CIty has determmed no fiduCiary
relationshIp eXIsts WIth the IRC Section 457 plan and, therefore, the related assets and
lIabIlIties are removed from the 1997 Deferred Compensation Agency Fund finanCial
statements
3 Due From Other Governmental Umts
The followmg IS a summary of due from other governmental umts at December 31, 1997
Fund
Wnght
County
General
Debt ServIce
Total
$ 2,339
2.904
$ 5.243
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
A Assets (Contmued)
4 Loan ReceIvable
The loan receIvable m the Revolvmg Loan SpecIal Revenue Fund represents a loan to a
local company for the purpose of econOmIC development The note ongmated Apnl 30,
1992, and reqUIres monthly payments of$ 585 m years 1-3 at an mterest rate of 1 %,
monthly payments of $ 689 m years 4-8 at an mterest rate of 3%, monthly payments of
$ 691 m years 9-13 at an mterest rate of 5%, and monthly payments of $ 594 m years 14 _
18 at an mterest rate of7% The balance at December 31, 1997 was $ 74,561
5 FIxed Assets
The followmg IS a summary of changes m general fixed assets (unaudIted)
Balance Balance
1-1-97 Purchases DIsposals 12-31-97
Land $ 35,566 $ 0 $ 0 $ 35,566
BUIldmgs 113,409 0 0 113 ,409
Improvements Other
than BUIldmgs 78,169 0 0 78,169
Machmery and EqUIpment 494.005 4.547 ----.Q 498.552
Total $ 721.149 $ 4.547 $ 0 $ 725.696
A summary of propnetary fund type fixed assets at December 31, 1997 IS as follows
SanItary
Sewer
Fund
Land
Sewer System
EqUIpment
Total FIxed Assets
Less Accumulated DepreCIatIon
Net FIxed Assets
$ 190,269
3,552,460
84.663
3,827,392
(680.991)
$ 3.146.401
26
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
B LIabIlIties
1 Defined Benefit PensIOn Plans - StatewIde
a Plan DescnptIOn
All full-time and certam part-time employees ofthe CIty of AlbertvIlle, are covered
by defined benefit pensIOn plans admmIstered by the PublIc Employees Retirement
AssoCIatIOn of Mmnesota (PERA) PERA admmIsters the PublIc Employees
Retirement Fund (pERF) WhICh IS a cost-shanng, multiple-employer retIrement plan
ThIS plan IS establIshed and admmIstered m accordance wIth Mmnesota Statutes,
Chapters 353 and 356
PERF members belong to eIther the Coordmated Plan or the BasIC Plan Coordmated
Plan members are covered by SocIal Secunty and BasIC Plan members are not All
new members must partIcIpate m the Coordmated Plan
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 termmatIOn of servIce
Two methods are used to compute benefits for PERF's Coordmated and BasIc Plan
members The retmng 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 who retIres before July 1, 1997 IS 2
percent of average salary for each of the first 10 years of servIce and 2 5 percent for
each remammg year The annUIty accrual rate for BasIC members who retire on or
after July 1, 1997 IS 2 2 percent of average salary for each of the first 10 years of
servIce and 2 7 percent for each remammg year For a Coordmated Plan member who
retIres before July 1, 1997, the annUIty accrual rate IS 1 percent of average salary for
each ofthe first 10 years and 1 5 percent for each remammg year For Coordmated
members who retIre on or after July 1, 1997, the annUIty accrual rates mcrease by 0 2
percent (to 1 2 percent of average salary for each ofthe first 10 years and 1 7 percent
for each remammg year) Under Method 2, the annUIty accrual rate IS 2 5 percent of
average salary for BaSIC Plan members and 1 5 percent for Coordmated Plan members
who retIre before July I, 1997 AnnUIty accrual rates mcrease 02 percent for
members who retIre on or after July I, 1997 For PERF members whose annUIty IS
calculated usmg Method I, a full annUIty IS avaIlable when age plus years of servIce
equal 90 A reduced retIrement annUIty IS also aVaIlable to elIgIble members seekmg
early retIrement
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(ContInued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (ContInued)
B LIabIlItIes (ContInued)
1 Defined Benefit PensIOn Plans - StatewIde (ContInued)
a Plan DescnptIon (ContInued)
There are dIfferent types of annUItIes aVaIlable to members upon retIrement A
normal annUIty IS a lIfetIme annUIty that ceases upon the death of the retIree--no
survIvor annUIty IS payable There are also vanous types of JOInt and survIvor annUIty
optIons aVaIlable whIch wIll reduce the monthly normal annUIty amount, because the
annUIty IS payable over JOInt lIves Members may also leave theIr contnbutIOns In the
fund upon termInatIOn of publIc servIce In order to qualIfy for a deferred annUIty at
retIrement age Refunds of contnbutIons are avaIlable at any tIme to members who
leave publIc servIce, but before retIrement benefits begIn
The benefit provlSlons 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 That report may be obtamed by
wntmg to PERA, 514 St Peter Street #200, St Paul, MInnesota, 55102 or by callIng
(612) 296-7460 or 1-800-652-9026
b FundIng PolIcy
Mznnesota Statutes Chapter 353 sets the rates for employer and employee
contnbutIOns These statutes are establIshed and aIllended by the state legIslature
The CIty makes annual contnbutIOns to the penSIOn plan equal to the amount reqUIred
by state statutes PERF BasIC Plan members and CoordInated Plan members are
reqUIred to contnbute 8 23 percent and 4 23 percent, respectIvely, of theIr annual
covered salary The CIty of AlbertvIlle IS reqUIred to contnbute the follOWIng
percentages of annual covered payroll 10 73 percent for BaSIC Plan PERF members
and 4 48 percent for CoordInated Plan PERF members The CIty'S contnbutIOns to
the PublIc Employees RetIrement Fund for the years endIng December 31, 1997,
1996, and 1995 were $ 4,802, $ 4,854, and $ 4,972, respectIvely The CIty does not
have polIce or fire employees The CIty'S contnbutIons were equal to the
contractually reqUIred contnbutIons for each year as set by state statute
28
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(ContInued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
B LIabIlItIes (ContInued)
2 Deferred Revenue
Deferred revenues at December 31, 1997 are summanzed as follows
SpeCial Debt CapItal
General Revenue ServIce Projects Total
Taxes ReceIvable -
Delmquent $ 9,691 $ 0 $ 1,993 $ 0 $ 11,684
SpeCial Assessments
ReceIvable -
Deferred 0 0 448,405 52,200 500,605
DelInquent 0 0 18,817 0 18,817
Loans ReceIvable ~ 74.561 0 0 74.561
Total $ 9.691 $ 74.561 $ 469.215 $ 52.200 $ 605.667
3 Long-Term Debt
The followmg IS a summary of bond transactIons for the year ended December 31, 1997
General
OblIgatIon
General SpecIal Tax
OblIgatIon Revenue Assessment Increment Total
Balance - January 1 $ 150,000 $ 1,440,944 $ 1,475,000 $ 490,000 $ 3,555,944
AddItIons 0 0 0 0 0
RetIrements 15.000 75.704 380.000 45.000 515.704
Balance - December 31 $ 135.000 $ 1.365.240 $ 1.095.000 $ 445.000 $ 3.040.240
29
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
B LIabIlItIes (Contmued)
3 Long-Term Debt (Contmued)
Bonds outstandmg at December 31, 1997, mclude the followmg Issues
General OblIgatIOn Bonds
$ 175,000 General OblIgatIOn Refundmg Bonds,
Senes 1993, due m annual mstallments of$ 15,000 to
$ 20,000 through March 1, 2004, mterest at 3 00 to
5 00 percent
Outstandmg
December 31. 1997
$ 135.000
Revenue Bonds
$ 210,000 Sewer and Water Revenue Bonds of
1988, due m annual mstallments of $ 10,000 to
$ 25,000 through December 1,2000, mterest at
5 50 to 7 40 percent
$ 75,000
MInnesota PublIc FacIlItIes Authonty Loan, due
m annual mstallments of$ 26,728 to $ 49,149 through
August 20, 2014, mterest at 3 32 percent
Total Revenue Bonds
1.290.240
$ 1.365.240
General OblIgatIOn SpecIal Assessment Bonds
$ 505,000 Advance Refundmg and Improvement Bond
of 1988, due m annual mstallments of$ 15,000 to $ 60,000
through February 1,2000, mterest at 6 35 to 7 25 percent
$ 95,000
$ 215,000 Refundmg Bonds of 1989, due m annual
mstallments of$ 5,000 to $ 25,000 through September 1,
2003, mterest at 7 00 to 7 75 percent
105,000
$ 435,000 Improvement Bonds of 1990, due m annual
mstallments of$ 25,000 to $ 45,000 through December 1,
2000, mterest at 6 00 to 6 80 percent
130,000
30
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
B LiabIlIties (Contmued)
3 Long-Term Debt (Contmued)
General OblIgatIOn Special Assessment Bonds (Contmued)
$ 115,000 General OblIgation Refundmg Improvement
Bonds of 1992, due m annual mstallments of $ 10,000
to $ 15,000 through February 1, 1998, mterest at 550
percent
$ 350,000 General OblIgation Improvement Bonds,
Senes 1992A, due m annual mstallments of$ 15,000
to $ 35,000 through December 30, 2004, mterest at
5 70 percent
$ 675,000 General OblIgation Improvement Refundmg
Bonds, Senes 1993A, due m annual mstallments of
$ 20,000 to $ 95,000 through February 1, 2006, mterest
at 3 40 to 5 75 percent
$ 245,000 General OblIgatIOn Improvement Bonds,
Senes 1993B, due m annual mstallments of $ 80,000 to
$ 85,000 through February 1, 1998, mterest at 340 to
3 90 percent
$ 130,000 General OblIgatIOn Improvement Bonds,
Senes 1994A, due m annual mstallments of$ 40,000
to $ 45,000 through February 1, 1998, mterest at
5 45 percent
Total General ObhgatIOn SpeCIal Assessment Bonds
General OblIgatIOn Tax Increment Bonds
$ 270,000 Tax Increment Bonds of 1990, due m annual
mstallments of$ 30,000 to $ 45,000 through December 1,
1998, mterest at 6 10 to 6 70 percent
$ 400,000 General OblIgatIOn Tax Increment Bonds,
Senes 1996A, due m annual mstallments of$ 25,000
to $ 95,000 through February 1,2008, mterest at 425
to 5 40 percent
Total Tax Increment Bonds
Outstandmg
December 31. 1997
$ 60,000
215,000
365,000
80,000
45.000
$ 1.095.000
$ 45,000
400.000
$ 445.000
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
B LiabIlItIes (Contmued)
3 Long- Term Debt (Contmued)
The annual reqUIrements to amortIze all bonded debt outstandmg as of December 31,
1997, mcludmg mterestpayrnents of$ 705,426 are
General
OblIgatIOn
Year Endmg General SpecIal Tax
December 31 OblIgatIon Revenue Assessment Increment Total
1998 $ 20,970 $ 130,418 $ 434,797 $ 116,523 $ 702,708
1999 25,245 128,605 234,123 110,307 498,280
2000 24,370 126,781 212,708 42,420 406,279
2001 23,450 99,930 132,332 40,920 296,632
2002 22,490 99,931 77,235 39,420 239,076
Thereafter 42.000 1.199.166 170.440 191.085 1.602.691
Total $ 158.525 $ 1.784.831 $ 1.261.635 $ 540.675 $ 3.745.666
C Fund EqUIty
Fund eqUIty balances are classIfied as follows to reflect the lImItatIons and restrIctIOns of the
respectIve funds
1 Fund Balance-
Fund balance IS compnsed of the followmg components
SpecIal Debt CapItal
General Revenue ServIce Pro1ects Total
Reserved -
Reserved for Debt ServIce $ 0 $ 0 $ 667,489 $ 0 $ 667,489
Umeserved -
DeSIgnated for Operatmg
CapItal 405,884 0 0 0 405,884
DeSIgnated for Debt ServIce 0 0 66,699 0 66,699
DeSIgnated for CapItal Outlay 0 425,075 0 234,992 660,067
UndesIgnated 67.321 1.229.464 (120.984) (173.654) 1.002.147
Total Fund Balance
$ 473.205 $ 1.654.539 $ 613.204 $ 61.338 $ 2.802.286
32
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 3 - DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS (Contmued)
C Fund EqUIty (Contmued)
2 Retamed Earmngs -
Reserved retamed earmngs at December 31, 1997, IS as follows
Enterpnse
Reserved for Operatmg CapItal
$ 94.354
3 Contnbuted CapItal -
Contnbuted capItal m the enterpnse funds represents fixed assets whIch were purchased
by other funds and transferred to the enterpnse funds Changes m contnbuted capItal for
the year are as follows
Contnbuted CapItal- January 1, 1997
Add Assets Contnbuted Dunng 1997
Contnbuted CapItal - December 31, 1997
$ 1,868,608
o
$ 1.868.608
NOTE 4 - SEGMENT INFORMATION
The CIty mamtams SanItary Sewer and Storm Water Enterpnse Funds Segment mformatIOn for
the year ended December 31, 1997 IS as follows
SanItary Storm
Sewer Water Total
Operatmg Revenues $ 189,559 $ 48,238 $ 237,797
DeprecIatIOn 77 ,877 0 77,877
Operatmg Income 9,555 40,238 49,793
Net Income (Loss) (30,709) 47,583 16,874
Net Workmg CapItal 49,233 162,626 211,859
Total Assets 3,255,593 162,626 3,418,219
Debt Outstandmg 1,290,240 0 1,290,240
Total EqUIty 1,962,962 162,626 2,125,588
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 5 - TAX INCREMENT FINANCING
The CIty of AlbertvIlle IS the admmIstenng authonty for the followmg tax mcrement financmg
dIstncts
Name ofDIstnct Tax Increment Fmancmg DIstnct #5
Type ofDIstnct
Authonzmg Law
Year Estabhshed
Duration of DIstnct
EconomIC Development
Mmnesota T I F Act, SectIOns 469 174 to 469 179
1989
10 years or no more than eIght years from the receIpt of the
first mcrement
Ongmal Net Tax CapacIty
Current Net Tax CapacIty
Captured Net Tax CapacIty-
Retamed by CIty
$ 127
62.453
$ 62.326
Type of Bonds Issued General Obhgation Tax Increment
Total Bonds Issued
Amounts Redeemed
Outstandmg Bonds at December 31, 1997
$ 670,000
(225.000)
$ 445.000
Name ofDIstnct Tax Increment Fmancmg DIstnct #6
Type of DIstnct
Authonzmg Law
Year Estabhshed
DuratIOn of DIstnct
EconomIc Development
Mmnesota T I F Act, Chapter 469 174
1989
10 Years or no more than eIght years from the receIpt of the first
mcrement
Ongmal Tax CapacIty
Current Tax CapacIty
Captured Tax CapacIty -
Retamed by CIty
$ 127
43.486
$ 43.359
Type of Notes Issued "Pay as You Go" - The CIty pays the developer for tax mcrements
receIved m the current year
34
CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 5 - TAX INCREMENT FINANCING (Contmued)
Name ofDIstnct Tax Increment Fmancmg DIStnCt #7
Type ofDIstnct
AuthonzIng Law
Year EstablIshed
DuratIOn ofDIstnct
Housmg DIstnct
Mmnesota T I F Act, Chapter 469174, Subd 11, and 469 1761
1997
25 years after the date of receIpt of the first Increment
angInal Tax CapacIty
Current Tax CapacIty
Captured Tax CapacIty -
Retamed by CIty
This mformatIOn was not
aVailable from Wnght County
Type of Notes Issued "Pay as You Go" - The CIty pays the developer for tax Increments
receIved In the current year
Name ofDIstnct Tax Increment Fmancmg DIstnCt #8
Type ofDIstnct
AuthonzIng Law
Year EstablIshed
DuratIOn ofDIstnct
EconomIc Development
MInnesota T I F Act, Chapter 469 174, subd 12
1997
EarlIer of 9 years after the date of receIpt of the first Increment, or
11 years after the date of approval of the TIP Plan
angInal Tax CapacIty
Current Tax CapacIty
Captured Tax CapacIty -
RetaIned by CIty
ThIS InfOrmatIOn was not
avaIlable from Wnght County
Type of Notes Issued "Pay as You Go" - The CIty pays the developer for tax Increments
receIved In the current year
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CITY OF ALBERTVILLE, MINNESOTA
NOTES TO THE FINANCIAL STATEMENTS
Year Ended December 31, 1997
(Contmued)
NOTE 5 - TAX INCREMENT FINANCING (Contmued)
Name ofDIstnct Tax Increment Fmancmg DIStnCt #9
Type ofDIstnct
Authonzmg Law
Year EstablIshed
DuratIOn ofDIStnCt
EconomIC Development
Mmnesota T I F Act, Chapter 469 174, subd 12
1997
Earher of 9 years after the date of receIpt of the first mcrement, or
11 years after the date of approval of the TIP Plan
Ongmal Tax CapaCIty
Current Tax CapaCIty
Captured Tax CapaCIty -
Retamed by CIty
ThIS mformatIOn was not
avaIlable from Wnght County
Type of Notes Issued "Pay as You Go" - The CIty pays the developer for tax mcrements
receIved m the current year
NOTE 6 - RISK MANAGEMENT
The CIty IS exposed to vanous nsk of loss related to torts, theft of, damage to and destructIOn of
assets, errors and omIsSIons, mJunes to employees, and natural dIsasters In order to protect
agamst these nsks of loss, the CIty purchases commercIal msurance through the League of
MInnesota CItIes Insurance Trust, a pubhc entIty nsk pool ThIS pool currently operates common
nsk management and msurance programs for munICIpal entItIes The CIty pays an annual
premIUm to the League for ItS msurance coverage The League of MInnesota CItIes Insurance
Trust IS self-sustaImng through commercIal companIes for excess claIms The CIty IS covered
through the pool for any claims mcurred but unreported, however, retams nsk for the deductIble
portIOn of ItS msurance polICIes The amounts of these deductIbles are conSIdered Immatenal to
the finanCIal statements
Dunng the year ended December 31, 1997, there were no SIgnIficant reductIOns m msurance
coverage from the pnor year Settled claims have not exceeded the CIty'S commercIal coverage
m any of the past three years
The CIty'S workers compensatIOn msurance pohcy IS retrospectIvely rated WIth thIS type of
pohcy, final premIUms are determmed after loss expenence, workers compensatIOn rates and
salanes for the year are known The final premIUm adjustment was recorded m the year the
adjustment was made
NOTE 7 - SUBSEQUENT EVENT
On March 2, 1998, the CIty CouncIl awarded a fire truck bId for $ 161,949 to Manon FIre and
Rescue
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CITY OF ALBERTVILLE, MINNESOTA
THE GENERAL FUND
The General Fund accounts for all revenues and expendItures of a governmental umt WhICh are
not accounted for m other funds, and It IS usually the largest and most Important accountmg
actIvIty for state and local governments It nonnally receIves a greater vanety and number of
taxes and other general revenues than any other fund ThIs fund has flowmg mto It such
revenues as general property taxes, lIcense and pefmlts, fines and penaltIes, rents, charges for
current servIces, state-shared taxes, and mterest earmngs The fund's resources also finance a
wIder range of actIvItIes than any other fund Most of the current operatIons of governmental
unItS WIll be financed from thIs fund
CITY OF ALBERTVILLE, MINNESOTA
GENERAL FUND
BALANCE SHEET
Year Ended December 31, 1997
WIth ComparatIve Totals for December 31, 1996
ASSETS
Totals
1997
1996
$ 463,906 $
9,691
25,403
2,339
$ _ ~,339 $
~-
$ 15,260 $ 129,229
3,183 0
_ 9,691 13,599
28,134 142,828
0 276,056
405,884 359,948
67,321 (83,255)
473,205 552,749
$ 501,339 $ 695,577
Cash and Investments
Taxes ReceIvable -
Dehnquent
Interest ReceIvable
Due from Other Governmental Umts
TOTAL ASSETS
LIABILITIES AND FUND BALANCE
LiabIhtIes
Accounts Payable
Accrued Payroll Taxes and Benefits
Deferred Revenue
Total LiabIhtIes
Fund Balance
Reserved for CapItal Outlay
Unreserved -
DesIgnated for OpeIatmg CapItal
UndesIgnated
Total Fund Balance
TOTAL LIABILITIES AND FUND BALANCE
636,270
13,599
43,641
2,067
695,577
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CITY OF ALBERTVILLE, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE-
BUDGET AND ACTUAL
Year Ended December 31, 1997
WIth ComparatIve Totals for December 31, 1996
Over
(Under) 1996
Budget Actual Budget Actual
REVENUES
Taxes-
General Property Tax $ 412,400 $ 420,471 $ 8,071 $ 354,749
Tax Increments 0 6,529 6,529 32,966
Total Taxes 412,400 427,000 14,600 387,715
LIcenses and PermIts -
LIquor and Beer LIcenses 8,300 8,270 (30) 8,550
Buddmg PermIts 13,940 131,833 117,893 62,015
Busmess PermIts 200 6,063 5,863 376
SIgn PermIts 3,525 3,375 (I 50) 1,575
Other LIcenses 750 690 (60) 400
Total LIcenses and PermIts 26,715 150,231 123,516 72,916
Intergovernmental -
Local Government AId 82,672 83,139 467 68,717
HACA 136,182 138,141 1,959 135,478
Local Performance AId 2,384 2,384 0 0
Flfe AId 7,899 10,280 2,381 10,985
Pohce AId 3,000 3,709 709 3,332
Other State AIds 4,800 3,202 (1,598) 4,926
Total Intergovernmental Revenue 236,937 240,855 3,918 223,438
Charges for ServIces -
Flfe Protecnon Fees 33,994 31,261 (2,733) 33,542
SpecIal Assessment Searches 100 540 440 440
Park Rental Fees 2,000 2,000 0 1,600
Storm Sewer Fees and ConnectIOn Fees 0 0 0 24,969
Other Charges for ServIces 3,000 3,970 970 20,670
Total Charges for ServIces 39,094 37,771 (1,323) 81 ,221
Fmes, ForfeItures and Penalnes 100 227 127 131
MIscellaneous Revenue -
Interest 2,200 36,014 33,814 60,908
Sale of General FIxed Assets 0 2,989 2,989 3,510
Lease Payments 950 950 0 950
Contnbunons and DonatIOns 0 19,800 19,800 1,524
Other Revenues 1,500 3,621 2,121 4,994
Total MIscellaneous 4,650 63,374 58,724 71,886
TOTAL REVENUES 719,896 919,458 199,562 837,307
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CITY OF ALBERTVILLE, MINNESOTA
GENERAL FUND I
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE -
BUDGET AND ACTUAL I
Year Ended December 31, 1997
WIth Comparative Totals for December 31, 1996
(ContInued)
Over I
(Under) 1996
Budget Actual Budget Actual I
EXPENDITURES
General Government
Mayor and CouncIl -
Salanes and Benefits $ 12,457 $ 12,356 $ (101) $ 10,338 I
Other Insurance 4,900 3,435 (1,465) 3,303
ProfeSSIOnal ServIces 5,000 4,138 (862) 13,547
PnntIng and PublIcations 2,800 8,354 5,554 4,508 I
Travel 309 0 (309) 345
SupplIes 400 415 15 45
Dues and SubscnptIons 2,150 2,210 60 2,596
MIscellaneous 1,000 1,000 0 1,829 I
Total Mayor and CouncIl 29,016 31 ,908 2,892 36,511
CIty Clerk-Treasurer and CIty AdmImstrator-
Salanes and Benefits 98,091 94,919 (3,172) 89,359 I
Accounting and AudIting 6,300 7,900 1,600 6,100
Contracted ServIces 1,950 938 (1,012) 1,485
RepaIrS and MaIntenance 500 195 (305) 0
EqUipment Rental 1,000 944 (56) 922 I
Other Insurance 3,500 2,936 (564) 3,803
Travel 800 35 (765) 546
Supphes 5,300 4,734 (566) 4,452
Dues and SubscnptlOns 350 160 (190) 120 I
CapItal Outlay 2,900 269 (2,631 ) 9,812
Total Clerk-Treasurer and AdmInIstrator 120,691 113,030 (7,661) 116,599
ElectIOns - I
Salanes and Benefits 0 0 0 8,708
AsseSSIng - I
Contracted ServIces 5,450 6,611 1,161 5,269
Legal -
Purchased ServIces 29,000 24,072 (4,928) 47,710 I
EngIneer -
Purchased ServIces 24,000 15,442 (8,S58) 42,496
Planmng and Zomng - I
Salanes and Benefits 1,077 1,552 475 1,034
Contracted ServIces 15,000 35,320 20,320 46,407
Travel 500 0 (500) 209 I
Supphes 700 226 (474) 90
Total Planmng and Zomng 17,277 37,098 19,821 47,740
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CITY OF ALBERTVILLE, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE _
BUDGET AND ACTUAL
Year Ended December 31, 1997
With Comparative Totals for December 31, 1996
(Continued)
Over
(Under) 1996
Budget Actual Budget Actual
EXPENDITURES (ContInued)
General Government (Continued)
General Government BUIldIngs -
Refuse Disposal $ 600 $ 495 $ (105) $ 561
RepaIrS and MaIntenance 12,500 749 (11,751) 415
Insurance 3,500 2,936 (564) 3,303
Telephone 2,500 3,141 641 3,296
SupplIes 800 1,143 343 869
UtIhtIes 4,500 2,804 (1,696) 3,034
Capital Outlay 3,200 1,453 (1,747) 7,311
Miscellaneous 41 2,160 2,119 80
Total BUIldIngs and Plant 27,641 14,881 (12,760) 18,869
Total General Government 253,075 243,042 (10,033) 323,902
PublIc Safety
PolIce Protection -
Contracted Services 62,963 62,963 0 60,225
Fire ProtectIOn -
Salanes and Benefits 4,750 2,248 (2,502) 2,744
PensIOn Fund ContnbutlOn 4,272 4,272 0 9,000
Payment of Fire AId 7,8991 10,280 2,381 10,985
TraInIng 15,850 6,249 (9,601) 6,271
PhYSicals 500 2,457 1,957 319
Audit - FIre RelIef ASSOCiation 1,200 740 (460) 923
RepaIrS and MaIntenance 1,000 3,495 2,495 3,303
Travel 1,500 415 (1,085) 1,421
Insurance 0 0 0 100
Telephone 900 594 (306) 583
Supphes 2,500 1,266 (1,234) 3,367
UtlhtIes 3,100 2,794 (306) 3,027
Dues and SubscnptlOns 200 185 (15) 172
Capital Outlay 63,600 6,351 (57,249) 5,249
Miscellaneous 0 100 100 40
Total Fire Protection 107,271 41,446 (65,825) 47,504
BUIldIng InspectIOn -
Contracted Services 0 5,360 5,360 20,935
Ammal Control-
Contracted Services 1,750 2,4 I 2 662 2,369
Total PublIc Safety 171,984 112,181 (59,803) 131,033
40
CITY OF ALBERTVILLE, MINNESOTA I
GENERAL FUND I
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE-
BUDGET AND ACTUAL I
Year Ended December 31, 1997
WIth ComparatIve Totals for December 31, 1996
(Contmued)
Over I
(Under) 1996
Budget Actual Budget Actual I
EXPENDITURES (Contmued)
PublIc Works
Streets and HIghways -
Salanes and Benefits $ 50,963 $ 50,398 $ (565) $ 38,152 I
ProfessIOnal ServIces 9,100 2,695 (6,405) 2,806
RepaIrs and Mamtenance 19,000 16,053 (2,947) 20,090
Sand and Gravel 500 887 387 43
Street Sweepmg 2,500 2,683 183 1,872 I
Seal Coatmg 8,000 0 (8,000) 0
Telephone 600 852 252 584
Travel 100 0 (100) 32
SupplIes 1,500 2,406 906 1,591 I
UtIlItIes 2,375 2,710 335 2,990
Dues and SubscnptIOns 250 215 (35) 275
CapItal Outlay 70,300 46,209 (24,091) 24,083 I
Total Streets and HIghways 165,188 125,108 (40,080) 92,518
Ice and Snow Removal -
Contracted ServIces 8,750 6,860 (1,890) 5,495 I
Street LIghtmg -
ElectncIty 27,000 27,432 432 24,874
Total PublIc Works 200,938 159,400 (41,538) 122,887 I
SamtatIOn
RecyclIng - I
Contracted ServIces 12,345 12,342 (3) 12,297
Culture and RecreatIOn
Parks - I
Salanes and Benefits 0 94 94 16,363
Refuse DIsposal 600 495 (105) 540
RepaIrs and Mamtenance 1,500 4,727 3,227 2,701 I
EqUIpment Rental 2,500 1,294 (1,206) 1,246
Other Insurance 3,300 2,935 (365) 3,303
Telephone 700 537 (163) 537
SupplIes 800 976 176 1,442 I
UtIlItIes 4,100 2,753 (1,347) 3,112
Dues and SubscnptIons 750 0 (750) 750
Fnendly CIty Days DonatIons 2,600 2,600 0 2,950
CapItal Outlay 4,000 275 (3,725) 8,126 I
Total Culture and RecreatIOn 20,850 16,686 (4,164) 41,070
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CITY OF ALBERTVILLE, MINNESOTA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE _
BUDGET AND ACTUAL
Year Ended December 31, 1997
WIth Comparattve Totals for December 31, 1996
(Conttnued)
Over
(Under) 1996
Budget Actual Budget Actual
EXPENDITURES (Contmued)
EconomIc Development
Payment to Developer $ 0 $ 0 $ 0 $ 32,966
Salanes and Benefits 539 477 (62) 517
Suppltes 100 0 (100) 0
MIscellaneous 1,885 1,844 (41) 1,844
Total EconomIc Development 2,524 2,321 (203) 35,327
Unallocated -
Other DonatIOns 0 23,101 23,101 0
Unemployment Insurance 0 0 0 3,663
Other 3,800 4,854 1,054 0
Total Un allocated 3,800 27,955 24,155 3,663
TOTAL EXPENDITURES 665,516 573,927 (91,589) 670,179
EXCESS OF REVENUES OVER EXPENDITURES 54,380 345,531 291,151 167,128
OTHER FINANCING USES
Operatmg Transfer Out 0 (149,019) (149,019) 0
EXCESS OF REVENUES OVER EXPENDITURES
AND OTHER FINANCING USES $ 54,380 196,512 $ 142,132 167,128
FUND BALANCE, January 1 552,749 455,579
RESIDUAL EQUITY TRANSFER (276,056) (69,958)
FUND BALANCE, December 31 $ 473,205 $ 552,749
42
CITY OF ALBERTVILLE, MINNESOTA
SPECIAL REVENUE FUNDS
COMB~GBALANCESHEET
Year Ended December 31, 1997
WIth ComparatIve Totals for December 31, 1996
102 201 203
CapItal Revo1vmg
Outlay Park Loan
Reserves Fund Fund
ASSETS
Cash and Investments $ 425,075 $ 55,882 $ 64,220
Notes ReceIvable 0 0 74,561
TOTAL ASSETS $ 425,075 $ 55,882 $ 138,781
LIABILITIES AND FUND BALANCE
Cash Overdraft $ 0 $ 0 $ 0
Accounts Payable 0 0 0
Deferred Revenue 0 0 74,561
Total LiabIlIties 0 0 74,561
Fund Balance
Unreserved -
DeSIgnated for CapItal Outlay 425,075 0 0
UndesIgnated 0 55,882 64,220
Total Fund Balance 425,075 55,882 64,220
TOTAL LIABILITIES AND
FUND BALANCE $ 425,075 $ 55,882 $ 138,781
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CITY OF ALBERTVILLE, MINNESOTA
SPECIAL REVENUE FUNDS I
COMBINING STATEMENT OF REVENUES, EXPENDITURES I
AND CHANGES IN FUND BALANCE
Year Ended December 31, 1997
WIth ComparatIve Totals for December 31, 1996 I
102 201 203 I
CapItal Revolvmg
Outlay Park Loan I
Reserves Fund Fund
REVENUES
Intergovernmental - I
Other Grants and AIds $ 0 $ 0 $ 0
Charges for ServIces
Park DedIcatIon Fees 0 51,500 0
Sewer AvaIlabIlIty Charges 0 0 0 I
Trunk Access Charges 0 0 0
MIscellaneous -
Interest 0 1,875 5,621 I
Loan Repayments 0 0 5,935
Total Revenues 0 53,375 11,556
EXPENDITURES I
Culture and RecreatIOn -
Planmng Contract ServIces 0 0 0 I
ConstructIOn ServIces 0 3,135 0
SupplIes 0 0 0
CapItal Outlay 0 0 0 I
Total ExpendItures 0 3,135 0
EXCESS OF REVENUES OVER I
(UNDER) EXPENDITURES 0 50,240 11,556
OTHER FINANCING SOURCES
Operatmg Transfers In 149,019 0 0 I
EXCESS OF REVENUES AND OTHER
FINANCING SOURCES OVER (UNDER) I
EXPENDITURES 149,019 50,240 11,556
FUND BALANCE (DEFICIT) - January 1 0 5,642 52,664 I
RESIDUAL EQUITY TRANSFER 276,056 0 0
FUND BALANCE (DEFICIT) - December 31 $ 425,075 $ 55,882 $ 64,220 I
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CITY OF ALBERTVILLE, MINNESOTA
DEBT SERVICE FUNDS I
COMBINING BALANCE SHEET I
Year Ended December 31, 1997
WIth ComparatIve Totals for Year Ended December 31, 1996
I
300 317 318 I
Closed 1988 1989 I
Bond Refundmg Refundmg I
Issues Bonds Bonds
ASSETS
Cash and Investments $ 66,699 $ 0 $ 72,400
Taxes ReceIvable - I
Delmquent 0 90 238
SpecIal Assessments ReceIvable-
Deferred 0 26,259 14,500 I
Delmquent 0 0 154
Due from Other Governmental Umts 0 46 91
TOTAL ASSETS $ 66,699 $ 26,395 $ 87,383 I
LIABILITIES AND FUND BALANCE I
LiabIlities
Cash Overdraft $ 0 $ 71,269 $ 0 I
Deferred Revenue 0 26,349 14,892
Total LiabIlities 0 97,618 14,892
Fund Balance I
Reserved for Debt ServIce 0 0 72,491
Unreserved - I
DeSIgnated for Debt ServIce 66,699 0 0
UndesIgnated 0 (71,223) 0
Total Fund Balance 66,699 (71,223) 72,491
TOTAL LIABILITIES AND I
FUND BALANCE $ 66,699 $ 26,395 $ 87,383
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I I 319 I 322 J 323 324 325 I
GO
I GO 1993 GO
1992 1992 Improvement 1993B
1990 Sewer Refundmg & Refundmg Improvement
Improvement Trunk Improvement Bond Bond
I Bond Fund Bond Fund Fund Fund Fund
$ 72,222 $ 70,374 $ 3,635 $ 197,503 $ 100,130
I 508 183 365 20 0
I 15,316 117,692 18,472 226,559 0
0 0 0 18,432 231
100 58 97 1,017 1,318
I $ 88,146 $ 188,307 $ 22,569 $ 443,531 $ 101,679
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I $ 0 $ 0 $ 0 $ 0 $ 0
15,824 117,875 18,837 245,011 231
15,824 117,875 18,837 245,011 231
I 72,322 70,432 3,732 198,520 101,448
I 0 0 0 0 0
0 0 0 0 0
72,322 70,432 3,732 198,520 101,448
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$ 88,146 $ 188,307 $ 22,569 $ 443,531 $ 101,679
I (Contmued )
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CITY OF ALBERTVILLE, MINNESOTA I
DEBT SERVICE FUNDS
COMBINING BALANCE SHEET I
Year Ended December 31, 1997
WIth Comparative Totals for Year Ended December 31, 1996
(Contmued) I
327 341 342 I
1988 I
Westwmd CIty Sewer and
3rd Hall Water
UtIlItIes Bond Revenue I
Fund Fund Bonds
ASSETS
Cash and Investments $ 63,120 $ 11,535 $ 0 I
Taxes ReceIvable -
Delmquent 0 589 0
SpecIal Assessments ReceIvable - I
Deferred 0 0 29,607
Delmquent 0 0 0
Due from Other Governmental Umts 0 177 0
TOTAL ASSETS $ 63,120 $ 12,301 $ 29,607 I
LIABILITIES AND FUND BALANCE I
LiabIlIties
Cash Overdraft $ 0 $ 0 $ 41,460 I
Deferred Revenue 0 589 29,607
Total LiabIlIties 0 589 71,067
Fund Balance I
Reserved for Debt ServIce 63,120 11,712 0
Unreserved - I
DesIgnated for Debt ServIce 0 0 0
UndesIgnated 0 0 (41,460)
Total Fund Balance 63,120 11,712 (41,460) I
TOTAL LIABILITIES AND
FUND BALANCE $ 63,120 $ 12,301 $ 29,607 I
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I l 351 352 I 353
I 1990
Tax Tax
Increment Increment 1996A
Fmance Fmancmg GO TIF Totals
I Bonds Bonds Bond Fund 1997 1996
$ 3,767 $ 73,712 $ 0 $ 735,Q97 $ 898,410
I 0 0 0 1,993 3,189
I 0 0 0 448,405 639,315
0 0 0 18,817 18,873
0 0 0 2,904 65,659
I $ 3,767 $ 73,712 $ 0 $ 1,207,216 $ 1,625,446
I
I $ 0 $ 0 $ 12,068 $ 124,797 $ 64,971
0 0 0 469,215 661,377
0 0 12,068 594,012 726,348
I 0 73,712 0 667,489 900,972
I 0 0 0 66,699 63,050
3,767 0 (12,068) (120,984) (64,924)
3,767 73,712 (12,068) 613,204 899,098
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$ 3,767 $ 73,712 $ 0 $ 1,207,216 $ 1,625,446
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CITY OF ALBERTVILLE, MINNESOTA
DEBT SERVICE FUNDS I
COMBINING STATEMENT OF REVENUES, EXPENDITURES I
AND CHANGES IN FUND BALANCE
Year Ended December 3 I, 1997
WIth Comparattve Totals for December 31, 1996
I
, 300 317 318 319 I
Closed 1988 1989 1990 I
Bond Refundmg Refundmg Improvement
Issues Bonds Bonds Bond Fund
REVENUES I
General Property Taxes $ 0 $ 2,580 $ 10,2 I 7 $ 22,559
SpecIal Assessments 0 25,508 6,040 9,267
Charges for ServIces 0 0 0 0 I
MIscellaneous -
Interest 3,649 0 4,218 4,942
Total Revenues 3,649 28,088 20,475 36,768
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EXPENDITURES
MIscellaneous -
Interest 0 4,187 0 0 I
Debt ServIce -
Bond Pnnclpal 0 60,000 20,000 40,000
Bond Interest and FIscal Charges 0 9,403 9,972 11,593
Total ExpendItures 0 73,590 29,972 51,593 I
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES 3,649 (45,502) (9,497) (14,825) I
OTHER FINANCING SOURCES (USES)
Bond Proceeds 0 0 0 0
Operatmg Transfers Out 0 0 0 0 I
Total Other Fmancmg Sources (Uses) 0 0 0 0
EXCESS OF REVENUES AND OTHER I
FINANCING SOURCES OVER (UNDER)
EXPENDITURES AND OTHER USES 3,649 (45,502) (9,497) (14,825)
FUND BALANCE (DEFICIT) - January 1 63,050 (25,721 ) 81,988 87,147 I
RESIDUAL EQUITY TRANSFERS 0 0 0 0
FUND BALANCE (DEFICIT) - December 31 $ 66,699 $ (71,223) $ 72,491 $ 72,322 I
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I GO
GO 1993 GO 1988
I 1992 1992 Improvement 1993B Westwmd CIty Sewer and
Sewer Refundmg & Refundmg Improvement 3rd Hall Water
Trunk Improvement Bond Bond UtilItIes Bond Revenue
Bond Fund Fund Fund Fund Fund Fund Bonds
I $ 8,862 $ 14,562 $ 0 $ 0 $ 0 $ 25,889 $ 0
41,799 8,283 78,201 18,584 46,582 0 0
I 0 0 0 0 0 0 27,440
3,776 0 8,480 5,271 1,238 0 0
54,437 22,845 86,681 23,855 47,820 25,889 27,440
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I 0 806 0 0 0 0 2,049
30,000 15,000 90,000 80,000 45,000 15,000 20,000
13,965 3,712 19,654 4,886 3,611 6,878 7,648
I 43,965 19,518 109,654 84,886 48,611 21,878 29,697
I 10,472 3,327 (22,973) (61,031) (791) 4,011 (2,257)
0 0 0 0 0 0 0
I 0 0 0 0 0 0 0
0 0 0 0 0 0 0
I 10,472 3,327 (22,973) (61,031) (791 ) 4,011 (2,257)
I 59,960 405 221,493 162,479 63,911 7,701 (39,203)
0 0 0 0 0 0 0
I $ 70,432 $ 3,732 $ 198,520 $ 101,448 $ 63,120 $ 11,712 $ (41 ,460)
(Contmued )
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CITY OF ALBERTVILLE, MINNESOTA I
DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES I
AND CHANGES IN FUND BALANCE
Year Ended December 3 I, 1997
WIth ComparatIve Totals for December 31, 1996
(Contmued) I
I 351 I 352 I 353 I
Tax 1990 I
Increment Tax Increment 1996A
Fmance Fmance GO TIF Totals
Bonds Bonds Bonds 1997 1996 I
REVENUES
General Property Taxes $ 0 $ 71,507 $ 0 $ 156,176 $ 7,714
SpecIal Assessments 0 0 0 234,264 259,339
Charges for ServIces 0 0 0 27,440 8,600 I
MIscellaneous -
Interest 0 6,014 0 37,588 48,976
Total Revenues 0 77,521 0 455,468 324,629 I
EXPENDITURES
MIscellaneous -
Interest 0 0 0 7,042 3,402 I
Debt ServIce -
Bond Pnnclpal 0 45,000 0 460,000 708,000
Bond Interest and FIscal Charges 0 6,247 13,047 110,616 137,998 I
Total ExpendItures 0 51,247 13,047 577,658 849,400
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES 0 26,274 (13,047) (122,190) (524,771) I
OTHER FINANCING SOURCES (USES)
Bond Proceeds 0 0 0 0 979 I
Operatmg Transfers Out (63,704) (100,000) 0 (163,704) 0
Total Other Fmancmg Sources (Uses) (63,704) (100,000) 0 (163,704) 979
EXCESS OF REVENUES AND OTHER I
FINANCING SOURCES OVER (UNDER)
EXPENDITURES AND OTHER USES (63,704) (73,726) (13,047) (285,894) (523,792)
FUND BALANCE (DEFICIT) - January I 67,471 147,438 979 899,098 1,379,517 I
RESIDUAL EQUITY TRANSFERS 0 0 0 0 43,373
FUND BALANCE (DEFICIT) - December 31 $ 3,767 $ 73,712 $ (12,068) $ 613,204 $ 899,098 I
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48 I
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ASSETS
Cash and Investments
SpecIal Assessments ReceIvable -
Deferred
TOTAL ASSETS
CITY OF ALBERTVILLE, MINNESOTA
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
Year Ended December 31, 1997
WIth Comparative Totals for December 31, 1996
I 400 403 I 406 421
1989
AlbertvIlle Barthal
Closed Dramage TIF #6 Industnal
CapItal Improvement Fraser Dnve &
Projects Project Steel 52nd Street
$ 197,228 $ 8,475 $ 0 $ 0
0 0 0 0
$ 197,228 $ 8,475 $ 0 $ 0
LIABILITIES AND FUND BALANCE
LIabIlIties
Cash Overdraft
Accounts Payable
Contracts Payable
Deferred Revenue
Total LiabIlIties
Fund Balance
Unreserved -
DeSIgnated for CapItal Outlay
Undeslgnated
Total Fund Balance
TOTAL LIABILITIES AND
FUND BALANCE
$ 0 $ 0 $ 25 $ 9,310
0 0 0 0
0 0 0 0
0 0 0 0
0 0 25 9,310
197,228
o
197,228
8,475
o
8,475
o
(25)
(25)
o
(9,310)
(9,310)
$
197,228 $
8,475 $
o $
o
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I I 423 I 426 I 427 I 428 I 429 I 430 I 431
I Vetsch
Bnttany North NE Sewer CSAH ParksIde Custom
Kay Frontage Summerfield and Water 19/37 3rd Cabmets
Estates Road AddItIon ExtenSIOn AdditIon AddItIon TIF #8
I $ 0 $ 0 $ 0 $ 0 $ 58,708 $ 0 $ 0
I 0 52,200 0 0 0 0 0
$ 0 $ 52,200 $ 0 $ 0 $ 58,708 $ 0 $ 0
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$ 195 $ 46,750 $ 17,538 $ 125 $ 0 $ 15,117 $ 5,526
I 0 0 324 0 33,623 0 75
0 0 0 0 0 0 0
0 52,200 0 0 0 0 0
I 195 98,950 17,862 125 33,623 15,117 5,601
I 0 0 0 0 25,085 0 0
(195) (46,750) (17,862) (125) 0 (15,117) (5,601)
(195) (46,750) (17,862) (125) 25,085 (15,117) (5,601)
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$ 0 $ 52,200 $ 0 $ 0 $ 58,708 $ 0 $ 0
I (Contmued )
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CITY OF ALBERTVILLE, MINNESOTA
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
Year Ended December 31, 1997
With Comparative Totals for December 31, 1996
(ContInued)
I 432 & 434 I I 433 435 436 I 437
Cottages
Parkslde of Cedar Creek
4th Albertville Industrial MaIntenance
Addition TIF #7 Park BuildIng The Meadows
ASSETS
Cash and Investments $ 0 $ 0 $ 0 $ 0 $ 2,698
SpeCial Assessments Receivable -
Deferred 0 0 0 0 0
TOTAL ASSETS $ 0 $ 0 $ 0 $ 0 $ 2,698
LIABILITIES AND FUND BALANCE
Liabilities
Cash Overdraft $ 24,815 $ 18,910 $ 2,352 $ 1,335 $ 0
Accounts Payable 65 1,225 0 0 0
Contracts Payable 0 0 0 0 0
Deferred Revenue 0 0 0 0 0
Total Liabilities 24,880 20,135 2,352 1,335 0
Fund Balance
Unreserved -
Designated for Capital Outlay 0 0 0 0 2,698
Undeslgnated (24,880) (20,135) (2,352) (1,335) 0
Total Fund Balance (24,880) (20,135) (2,352) (1,335) 2,698
TOTAL LIABILITIES AND
FUND BALANCE $ 0 $ 0 $ 0 S 0 $ 2,698
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I J 438 I 439 I 440 I 441 I 442
I Center Parkslde SecurIty Barthal Bus
Cedar Creek Oaks 1 st CommercIal Bank of Garage Totals
North AddItIon Park Maple Lake TIF #9 1997 1996
I $ 0 $ 0 $ 1,369 $ 137 $ 0 $ 268,615 $ 552,772
I 0 0 0 0 0 52,200 58,000
$ 0 $ 0 $ 1,369 $ $ 0 $ 320,815 $ 610,772
137
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$ 4,458 $ 7,134 $ 0 $ 0 $ 3,003 $ 156,593 $ 63,076
I 675 14,697 0 0 0 50,684 154
0 0 0 0 0 0 4,294
0 0 0 0 0 52,200 58,000
I 5,133 21,831 0 0 3,003 259,477 125,524
I 0 0 1,369 137 0 234,992 552,618
(5,133) (21,831) 0 0 (3,003) (173,654) (67,370)
(5,133) (21,831) 1,369 137 (3,003) 61,338 485,248
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$ 0 $ 0 $ 1,369 $ 137 $ 0 $ 320,815 $ 610,772
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I 50
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CITY OF ALBERTVILLE, MINNESOTA
CAPITAL PROJECTS FUNDS I
COMBINING STATEMENT OF REVENUES, EXPENDITURES I
AND CHANGES IN FUND BALANCE
Year Ended December 3 1, 1997
WIth ComparatIve Totals for December 31,1996
I
400 403 406 , 421 423
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1989
Albertville Barthel
Closed Dramage TIF #6 Industnal Bnttany I
CapItal Improvement Fraser Dnve & Kay
Projects Project Steel 52nd Street Estates
REVENUES
Property Taxes $ 0 $ 0 $ 50,205 $ 0 $ 0 I
SpeCIal Assessments 0 0 0 0 0
Charges for ServIces 0 0 0 0 0
MIscellaneous Revenues - I
Interest 10,790 998 0 0 0
Total Revenues 10,790 998 50,205 0 0
EXPENDITURES I
Other 0 0 50,230 509 0
CapItal Outlay -
Engmeer Fees 0 2,882 0 0 0 I
Legal Fees 0 0 0 0 50
Other ProfessIOnal ServIces 0 0 0 0 1
Land 0 0 0 0 0
ConstructIOn ServIces 0 9,257 0 0 0 I
Total ExpendItures 0 12,139 50,230 509 51
EXCESS OF REVENUES OVER I
(UNDER) EXPENDITURES 10,790 (11,141) (25) (509) (51)
OTHER FINANCING SOURCES
Operating Transfers In 0 0 0 0 0 I
Bond Proceeds 0 0 0 0 0
Total Other FinanCing Sources 0 0 0 0 0
EXCESS OF REVENUES AND OTHER I
FINANCING SOURCES OVER (UNDER)
EXPENDITURES 10,790 (11,141) (25) (509) (51)
FUND BALANCE - January 1 186,438 19,616 0 (8,801) (144) I
PRIOR PERIOD ADJUSTMENT 0 0 0 0 0
FUND BALANCE - January 1, as Restated 186,438 19,616 0 (8,801) (144) I
RESIDUAL EQUITY TRANSFERS 0 0 0 0 0 I
FUND BALANCE (DEFICIT) - December 31 $ 197,228 $ 8,475 $ (25) $ (9,3 10) $ (195)
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I 426 I 427 , 428 I 429 I 430 I 431 I 432 & 434 I
I Vetsch
North NE Sewer CSAH Parkslde Custom ParksIde
I Frontage Summerfield & Water 19/37 3rd Cabmets 4th
Road AdditIon ExtensIOn AddItion AdditIOn TIP #8 AdditIon
I $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0
11,533 0 0 0 0 0 0
0 0 0 0 0 1,300 0
I 0 0 0 17,969 0 0 0
11,533 0 0 17,969 0 1,300 0
I 2,925 0 0 0 0 0 0
368 16,212 0 6,171 15,067 1,985 21,362
I 269 1,650 125 25,522 50 4,392 3,017
0 0 0 8,431 0 524 501
0 0 0 220,692 0 0 0
I 0 0 0 238,632 0 0 0
3,562 17,862 125 499,448 15,117 6,901 24,880
I 7,971 (17,862) (125) (481,479) (15,117) (5,601) (24,880)
3,704 0 0 160,000 0 0 0
I 0 0 0 0 0 0 0
3,704 0 0 160,000 0 0 0
I 11,675 (17,862) (125) (321,479) (15,117) (5,601) (24,880)
I (58,425) 0 0 346,564 0 0 0
0 0 0 0 0 0 0
I (58,425) 0 0 346,564 0 0 0
0 0 0 0 0 0 0
I $ (46,750) $ (17,862) $ (125) $ 25,085 $ (15,117) $ (5,601) $ (24,880)
I (Contmued )
51
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CITY OF ALBERTVILLE, MINNESOTA
CAPITAL PROJECTS FUNDS I
COMBINING STATEMENT OF REVENUES, EXPENDITURES I
AND CHANGES IN FUND BALANCE
Year Ended December 31, 1997
With Comparative Totals for December 31, 1996
(Contmued) I
433 435 I 436 I 437 I 438
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Cottages
of Cedar Creek I
AlbertvIlle IndustrIal Maintenance Cedar Creek
TIF #7 Park BUIldmg The Meadows North
REVENUES
Property Taxes $ 0 $ 0 $ 0 $ 0 $ 0 I
Special Assessments 0 0 0 0 0
Charges for ServIces 1,850 1,400 0 4,350 6,750
MIscellaneous Revenues - I
Interest 0 0 0 0 0
Total Revenues 1,850 1,400 0 4,350 6,750
EXPENDITURES I
Other 0 0 0 0 0
CapItal Outlay -
Engmeer Fees 8,239 2,857 1,335 261 559 I
Legal Fees 12,785 500 0 925 8,605
Other ProfeSSIOnal ServIces 961 395 0 466 2,719
Land 0 0 0 0 0
ConstructIOn Services 0 0 0 0 0 I
Total Expenditures 21,985 3,752 1,335 1,652 11,883
EXCESS OF REVENUES OVER I
(UNDER) EXPENDITURES (20,135) (2,352) (1,335) 2,698 (5,133)
OTHER FINANCING SOURCES
Operatmg Transfers In 0 0 0 0 0 I
Bond Proceeds 0 0 0 0 0
Total Other Fmancmg Sources 0 0 0 0 0
EXCESS OF REVENUES AND OTHER I
FINANCING SOURCES OVER (UNDER)
EXPENDITURES (20,135) (2,352) (1,335) 2,698 (5,133)
FUND BALANCE - January 1 0 0 0 0 0 I
PRIOR PERIOD ADJUSTMENT 0 0 0 0 0
FUND BALANCE - January I, as Restated 0 0 0 0 0 I
RESIDUAL EQUITY TRANSFERS 0 0 0 0 0 I
FUND BALANCE (DEFICIT) - December 31 $ (20,135) $ (2,352) $ (l,335) $ 2,698 $ (5,133)
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I Center Parkslde Secunty Barthel Bus
Oaks 1st Commercial Bank of Garage Totals
AdditIOn Park Maple Lake TIF #9 1997 1996
I $ 0 $ 0 $ 0 $ 0 $ 50,205 $ 0
0 0 0 0 11,533 0
6,550 2,350 1,650 900 27,100 0
I 0 0 0 0 29,757 13,244
6,550 2,350 1,650 900 118,595 13,244
I 0 0 0 0 53,664 22,433
24,736 24 123 291 102,472 21,653
I 675 275 625 3,187 62,652 25,031
2,970 682 765 425 18,840 0
0 0 0 0 220,692 0
I 0 0 0 0 247,889 41,258
28,381 981 1,513 3,903 706,209 110,375
I (21,831) 1,369 137 (3,003) (587,614) (97,131)
I 0 0 0 0 163,704 0
0 0 0 0 0 396,000
0 0 0 0 163,704 396,000
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(21,831) 1,369 137 (3,003) (423,910) 298,869
I 0 0 0 0 485,248 242,521
0 0 0 0 0 ( \6,868)
I 0 0 0 0 485,248 225,653
0 0 0 0 0 (39,274)
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$ (21 ,83\) $ \,369 $ \37 $ (3,003) $ 61,338 S 485,248
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CITY OF ALBERTVILLE, MINNESOTA
ENTERPRISE FUNDS
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Enterpnse Funds are establIshed to account for the financmg of self-supportmg actIvItIes of
governmental umts WhICh render servIces on a user charge basIS to the general publIc The most
umversal type of government enterpnse IS the publIc utIlIty engaged m the provIsIon of such
basIc servIces as water, electncIty, and natural gas SanItary sewer systems financed by user
charges have also assumed the status of publIc utIlIty operatIOns m many urban areas, and many
CItIes have combmed water and sewer systems under the same management
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CITY OF ALBERTVILLE, MINNESOTA
I ENTERPRISE FUNDS
I COMBINING BALANCE SHEET
Year Ended December 31, 1997
WIth ComparatIve Totals for December 31,1996
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601 604
I Samtary Storm Totals
ASSETS Sewer Water 1997 1996
I CURRENT ASSETS
Cash and Cash EqUIvalents $ 41,634 $ 155,437 $ 197,071 $ 156,019
Accounts ReceIvable 67,558 7,189 74,747 74,467
Total Current Assets 109,192 162,626 271,818 230,486
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FIXED ASSETS
Land 190,269 0 190,269 190,269
I Sewer Plant and Lmes 3,552,460 0 3,552,460 3,507,443
Machmery and EqUIpment 84,663 0 84,663 84,663
ConstructIon m Process 0 0 0 45,017
I Total Cost 3,827,392 0 3,827,392 3,827,392
Less Accumulated DeprecIatIon (680,991) 0 (680,991) (524,920)
Net FIxed Assets 3,146,401 0 3,146,401 3,302,472
I TOTAL ASSETS $ 3,255,593 $ 162,626 $ 3,418,219 $ 3,454,764
I LIABILITIES AND FUND EQUITY
CURRENT LIABILITIES
Accounts Payable $ 2,391 $ 0 $ 2,391 $ 106
I Current MatuntIes of Bonds Payable 57,568 0 57,568 55,703
Total Current LIabIlItIes 59,959 0 59,959 55,809
I LONG-TERM DEBT, LESS CURRENT PORTION
Bonds Payable 1,232,672 0 1,232,672 1,290,241
Total LIabIlItIes 1,292,631 0 1,292,631 1,346,050
I FUND EQUITY
Contnbuted CapItal 1,868,608 0 1,868,608 1,868,608
I Retamed Earmngs -
Reserved for Operatmg CapItal 94,354 0 94,354 96,572
Unreserved 0 162,626 162,626 143,534
I Total Fund EqUIty 1,962,962 162,626 2,125,588 2,108,714
TOTAL LIABILITIES AND
I FUND EQUITY $ 3,255,593 $ 162,626 $ 3,418,219 $ 3,454,764
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I CITY OF ALBERTVILLE, MINNESOTA
ENTERPRISE FUNDS
I COMBINING STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN RETAINED EARNINGS
Year Ended December 31, 1997
I WIth ComparatIve Totals for the Year Ended December 31, 1996
601 604
I Samtary Storm Totals
Sewer Water 1997 1996
I OPERATING REVENUES
Charges for ServIces $ 185,863 $ 47,986 $ 233,849 $ 172,466
I PenaltIes 3,696 252 3,948 8,326
Total Operatmg Revenues 189,559 48,238 237,797 180,792
OPERATING EXPENSES
I Employee Benefits 0 0 0 119
RepaIrs and Mamtenance 6,294 7,498 13,792 304
Engmeer Fees 3,480 177 3,657 586
I Legal Fees 50 0 50 230
SupplIes 1,558 0 1,558 2,241
ProfessIOnal ServIces 85,872 325 86,197 98,341
I Testmg Expense 0 0 0 125
Insurance 4,319 0 4,319 3,703
DeprecIatIon 77,877 0 77,877 78,194
MIscellaneous 554 0 554 521
I Total Operatmg Expenses 180,004 8,000 188,004 184,364
OPERATING INCOME (LOSS) 9,555 40,238 49,793 (3,572)
I NON-OPERATING REVENUES
(EXPENSES)
I Interest Income 3,963 7,345 11,308 3,759
Interest Expense and FIscal Charges (44,227) 0 (44,227) (46,031)
Total Non-Operatmg Revenues
(Expenses) (40,264) 7,345 (32,919) (42,272)
I NET INCOME (LOSS) (30,709) 47,583 16,874 (45,844)
I RETAINED EARNINGS - January 1 125,063 115,043 240,106 177,151
RESIDUAL EQUITY TRANSFERS 0 0 0 108,799
II
RETAINED EARNINGS - December 31 $ 94,354 $ 162,626 $ 256,980 $ 240,106
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CITY OF ALBERTVILLE, MINNESOTA
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
Year Ended December 31, 1997
WIth ComparatIve Totals for the Year Ended December 31, 1996
Samtary Storm
Sewer Water
CASH FLOWS FROM OPERATING ACTIVITIES
Operatmg Income (Loss) $ 9,555 $ 40,238
Adjustments to ReconcIle Operatmg Income (Loss) to
Net Cash ProvIded by Operatmg ActIVItIes
DepreCIatIOn 77,877 0
Change m Assets and LIabIlItIes
(Increase) Decrease m Accounts ReceIvable 359 (639)
Increase (Decrease) m Accounts Payable 2,285 0
Total Adjustments 80,521 (639)
Net Cash ProvIded by Operatmg ActIVItIes 90,076 39,599
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
ReSIdual EqUity Transfer In 0 0
CASH FLOWS FROM CAPITAL AND RELATED FINANCING
ACTIVITIES
PnncIpal Payments on Bonds (55,704) 0
Interest and FIscal Charges PaId on Bonds (44,227) 0
AcqUiSItIon of FIxed Assets 0 0
Net Cash (Used) by CapItal and Related Fmancmg ActIVItIes (99,931) 0
CASH FLOWS FROM INVESTING ACTMTIES
Interest on Investments 3,963 7,345
Net Increase (Decrease) m Cash and Cash EqUIvalents (5,892) 46,944
Cash and Cash EqUivalents, January 1 47,526 108,493
Cash and Cash EqUIvalents, December 31 $ 41,634 $ 155,437
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CITY OF ALBERTVILLE, MINNESOTA
GENERAL LONG-TERM DEBT
ACCOUNT GROUP
General oblIgatIon bonds and other forms of long-term debt supported by general revenues are
oblIgatIons of a governmental umt as a whole and not Its mdIvIdual constItuent funds Moreover,
the proceeds of such debt may be spent on facIlItIes whIch are utIlIzed In the operatIons of
several funds For these reasons the amount of unmatured, long-term mdebtedness whICh IS
backed by the full faIth and credIt of the government should be recorded and accounted for In a
separate self-balancIng group of accounts tItled the "General Long-Term Debt Group of
Accounts" ThIS debt group wIll Include, In addItIon to conventIOnal general oblIgatIOn bonds,
tIme warrants and notes WhICh have a maturIty of more than one year from date of Issuance
CITY OF ALBERTVILLE, MINNESOTA
GENERAL LONG-TERM DEBT
December 31, 1997
WIth ComparatIve Totals at December 31, 1996
1997 1996
AMOUNT AVAILABLE AND TO BE PROVIDED
FOR PAYMENT OF GENERAL LONG-TERM DEBT
Amount AvaIlable m Debt ServIce Funds $ 613,204 $ 899,098
Amount to be ProVIded for RetIrement of
General Long-Term Debt 1,136,796 1,310,902
TOTAL AVAILABLE AND TO BE PROVIDED $ 1,750,000 $ 2,210,000
GENERAL LONG-TERM DEBT
GO Sewer and Water Revenue Bonds of 1988 $ 75,000 $ 95,000
G 0 Advance Refundmg and Improvement Bond of 1988 95,000 155,000
GO Refundmg Bond of 1989 105,000 125,000
G 0 Tax Increment Bonds of 1990 45,000 90,000
G 0 Improvement Bond of 1990 130,000 170,000
G 0 Refundmg Improvement Bond of 1992 60,000 75,000
G 0 Improvement Bonds, Senes 1992A 215,000 245,000
GO Improvement Refundmg Bonds, Senes 1993A 365,000 455,000
GO Improvement Refundmg Bonds, Senes 1993B 80,000 160,000
G 0 Improvement Refundmg Bonds, Senes 1993C 135,000 150,000
G 0 Improvement Refundmg Bonds, Senes 1994A 45,000 90,000
G 0 Tax Increment Bonds, Senes 1996A 400,000 400,000
TOTAL GENERAL LONG-TERM DEBT $ 1,750,000 $ 2,210,000
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CITY OF ALBERTVILLE, MINNESOTA I
STATEMENT OF SOURCES AND USES OF PUBLIC FUNDS
FOR ECONOMIC DEVELOPMENT DISTRICT NO 1
TAX INCREMENT FINANCING DISTRICT NO 5 I
December 31, 1997
(UnaudIted)
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Accounted
Amended Form Pnor Current Amount I
Budget Budget Years Year Remammg
Sources of Funds
Bond Proceeds $ 253,147 $ 653,147 $ 665,213 $ 0 $ (12,066)
Excess Tax Increments 0 0 0 60,000 (60,000) I
Tax Increments 0 0 385,025 71,507 (456,532)
Interest Earnmgs 0 0 28,823 24,981 (53,804)
Other 0 49,500 3,182 0 46,318 I
Total Sources of Funds 253,147 702,647 1,082,243 156,488 (536,084)
Uses of Funds I
ConstructIon and Improvements 196,856 396,856 177,776 247,889 (28,809)
RIght of Way 0 185,000 0 220,692 (35,692)
AdmmIstratIve Costs 10,000 10,000 10,000 0 0
Legal Costs 3,161 3,161 28,786 28,404 (54,029) I
Engmeenng 30,098 55,098 38,583 6,171 10,344
Other ProfeSSIonal ServIces 0 0 0 8,431 {8,431 )
TIF Consultants 6,984 6,984 0 0 6,984 I
Costs of Bond Issuance 6,048 30,048 32,002 0 (1,954)
Contmgency 0 15,500 0 0 15,500
Bond Payments - I
Pnnclpa1 0 0 180,000 45,000 (225,000)
Interest andFlscal Agent Fees 0 0 100,499 19,294 (119,793)
Total Uses of Funds 253,147 702,647 567,646 575,881 (440,880) I
DIstnct Balance $ 0 $ 0 $ 514,597 $ (419,393) $ (95,204)
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CITY OF ALBERTVILLE, MINNESOTA
STATEMENT OF SOURCES AND USES OF PUBLIC FUNDS
FOR ECONOMIC DEVELOPMENT DISTRICT NO 1
TAX INCREMENT FINANCING DISTRICT NO 6
December 31, 1997
(UnaudIted)
Accounted
For m Pnor Current Amount
Budget Years Year Remammg
Sources of Funds
Bond Proceeds $ 329,933 $ 0 $ 0 $ 329,933
Tax Increments 0 152,246 50,205 (202,451 )
Total Sources of Funds 329,933 152,246 50,205 127,482
Uses of Funds
Land AcqUISItion 121,000 121,000 0 0
SIte Improvements 192,533 31,246 50,230 111 ,057
Legal Costs 2,900 0 0 2,900
Bond Counsel 2,000 0 0 2,000
TIF Consultant 2,500 0 0 2,500
FmancIaI AdVIsor 3,000 0 0 3,000
CIty AdmInIstratIOn 6,000 0 0 6,000
Total Uses of Funds 329,933 152,246 50,230 127,457
DIstnct Balance $ 0 $ 0 $ (25) $ 25
60
CITY OF ALBERTVILLE, MINNESOTA
STATEMENT OF SOURCES AND USES OF PUBLIC FUNDS
FOR ECONOMIC DEVELOPMENT DISTRICT NO 1
TAX INCREMENT FINANCING DISTRICT NO 7
December 31, 1997
(UnaudIted)
Accounted
For m Pnor Current Amount
Budget Years Year Remammg
Sources of Funds
Developer Escrows $ 0 $ 0 $ 1,850 $ (1,850)
Tax Increments 390,000 0 0 390,000
Total Sources of Funds 390,000 0 1,850 388,150
Uses of Funds
Land AcqUISItIon 0 0 0 0
SIte Improvements 0 0 0 0
SoIl CorrectIons 0 0 0 0
Parkmg 0 0 0 0
Sewer, Water, and Storm
UtIhtIes 0 0 0 0
Engmeer Fees 0 0 8,239 (8,239)
Legal Fees 0 0 12,785 (12,785)
Other ProfessIOnal ServIces 0 0 961 (961 )
Unallocated 390,000 * 0 0 390,000
Total Uses of Funds 390,000 0 21,985 368,015
DIstnct Balance $ 0 $ 0 $ (20,135) $ 20,135
*
The Tax Increment Fmancmg Plan for Tax Increment DIStnCt No 7 adopted by the CIty CounCIl
on May 20, 1997 does not mc1ude an allocatIOn of budgeted costs
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CITY OF ALBERTVILLE, MINNESOTA
STATEMENT OF SOURCES AND USES OF PUBLIC FUNDS
FOR ECONOMIC DEVELOPMENT DISTRICT NO 1
TAX INCREMENT FINANCING DISTRICT NO 8
December 31, 1997
(UnaudIted)
Sources of Funds
Developer Escrows $
Tax Increments
Total Sources of Funds
Budget
Accounted
For m Pnor
Years
Current
Year
Amount
Remammg
o $
75,000
75,000
o $
o
o
1,300 $
o
1,300
(1,300)
75,000
73,700
Uses of Funds
Land AcqUIsItion
SIte Improvements
SOlI Corrections
Sewer, Water, and Storm
UtIl1tIes
Footmgs
Parkmg
Engmeer Fees
Legal Fees
Other ProfeSSIOnal ServIces
Unallocated
Total Uses of Funds
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
DIstnct Balance
o
o
o
o
o
o
75,000 *
75,000
o $
o $
o
o
o
1,985
4,392
524
o
6,901
(5,601) $
o
o
o
(1,985)
(4,392)
(524)
75,000
68,099
5,601
$
*
The Tax Increment Fmancmg Plan for Tax Increment DIstnct No 8 adopted by the CIty CouncIl
on May 20, 1997 does not mclude an allocatIOn of budgeted costs
62
CITY OF ALBERTVILLE, MINNESOTA
STATEMENT OF SOURCES AND USES OF PUBLIC FUNDS
FOR ECONOMIC DEVELOPMENT DISTRICT NO 1
TAX INCREMENT FINANCING DISTRICT NO 9
December 31, 1997
(UnaudIted)
Budget
Accounted
For m Pnor
Years
Amount
Remalmng
Current
Year
Sources of Funds
Developer Escrows $
Tax Increments
Total Sources of Funds
900 $
o
900
(900)
54,900
54,000
o $
54,900
54,900
o $
o
o
Uses of Funds
Land AcqUisItIon
SIte Improvements
SoIl CorrectIons
Sewer, Water, and Storm
UtIl1ties
Footmgs
Parkmg
Engmeer Fees
Legal Fees
Other ProfeSSIOnal ServIces
Unallocated
Total Uses of Funds
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
54,900 *
54,900
o
o
o
o
o
o
o
o
o
o
o
291
3,187
425
o
3,903
o
o
o
(291)
(3,187)
(425)
54,900
50,997
3,003
DIStnct Balance
$
o $
(3,003) $
o $
*
The Tax Increment Fmancmg Plan for Tax Increment DIStnct No 9 adopted by the CIty CouncIl
on November 3, 1997 does not mclude an allocatIOn of budgeted costs
o
o
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CITY OF ALBERTVILLE, MINNESOTA
INDEPENDENT AUDITOR'S REPORT ON
COMPLIANCE WITH MINNESOTA STATUTES
March 5, 1998
Honorable Mayor and CIty CounCIl
CIty of AlbertVIlle
AlbertVIlle, MInnesota
We have audIted the general purpose financIal statements of the CIty of AlbertvIlle as of and for
the year ended December 31, 1997, and have Issued our report thereon dated March 5, 1998
We conducted our audIt m accordance WIth generally accepted audltmg standards and the
prOVIsIOns of the Mmnesota Legal Compllance Audzt Guzde for Local Government, promulgated
by the Legal ComplIance Task Force pursuant to MInnesota Statute Sec 6 65 Accordmgly, the
audIt mcluded such tests of the accountmg records and such other audltmg procedures as we
conSIdered necessary m the CIrcumstances
The Mmnesota Legal Compllance Audzt Guzde for Local Government covers five mam
categones of complIance to be tested contractmg and blddmg, depOSIts and mvestments,
conflIcts of mterest, publIc mdebtedness, and claIms and dIsbursements Our study mcluded all
of the lIsted categones The results of our tests mdlcate that for the Items tested the CIty
complIed WIth the matenal terms and condItIons of applIcable legal prOVISIons, except as
descnbed on the followmg page Further, for the Items not tested, based on our audIt and the
procedures referred to above, nothmg came to our attentIOn to mdlcate that the CIty had not
complIed WIth such legal proVISIons
ThIS report IS mtended solely for the use of the CIty and should not be used for any other
purpose ThIS restnctIon IS not mtended to lImIt the dlstnbutIOn of tills report, WhICh IS a matter
of publIc record
t--",~, ~/ r:/#,
KERN, DEWENTER, VIERE, LTD
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CITY OF ALBERTVILLE, MINNESOTA
FINDINGS ON COMPLIANCE WITH MINNESOTA STATUTES
Year Ended December 31,1997
CURRENT YEAR FINDING
Collateral
MInnesota Statutes Sec 11801 and 118 10, provIde that all deposIts wIth financial Institutions
must be collateralIzed In an amount equal to 110% of deposIts In excess of FDIC Insurance The
deposIts of the CIty at December 31, 1997, were unsecured as follows
110% of DeposIts In
Excess of FDIC at
December 31. 1997
Market Value of
Collateral at
December 31. 1997 Unsecured
State Bank of Rogers
$ 519.123
$ 500.625
$ 18.498
We recommend the CIty mom tor collateral to ensure proper collateralIzatIon
PRIOR YEAR FINDING
None
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