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1983 - Comp. Annual Financial Report ,. . I I I I I I . I I I I I I I . I I I I I I City of Shorewood Shorewood, Minnesota AUD nOR I S REPORT December 31, 1983 SCANNED " I I I I ~ I t I I I I I I I . I J I I I I Robert Rascop Jan Haugen Tad Shaw Kristi Stover Robert Gagne City of Shorewood Shorewood, Minnesota OFFICIALS 1983 Mayor Alderman Alderman - Alderman Alderman - J frYl1 12-31-84 " 12-31-86 12-31-86 12-31-84 12-31-84 I I I I , I . I I I I I I I . I J I I I I City of Shorewood Shorewood, Minnesota INDEX December 31, 1983 Combined Balance Sheet - All Fund Types and Account Groups Page 1 2 - 3 Accountant's Opinion Combined Statement of Revenue, Expenditures and Changes in Fund Balance 4 - 5 Combined Statement of Revenue, Expenditures and Changes in Fund Balance - General and Special Revenue Fund Proprietary Fund Types Combining Statement of Revenue, Expenses and Changes in Retained Earnings 6 Combining Statement in Changes in Financial Position 7 - 8 9 10 - 18 19 20 21 22 - 23 24 25 26 Notes to Financial Statements Supplementary Information General Fund Balance Sheet Statement of Revenue - Budgeted - Actual Statement of Expenditures - Budgeted - Actual, and Change in Fund Balance Special Revenue Funds Combining Balance Sheet Combining Statement of Revenue and Expenditures and Change in Fund Balance Capital Project Fund Combining Balance Sheet Combining Statement of Revenue, Expenditures and Changes in Fund Balance Special Assessment Funds Combining Balance Sheet 28 Combining Statement of Revenue, Expenditures and Changes in Fund Balance 29 I I I I l I . I I I I I I I . I J I I I I City of Shorewood Shorewood, Minnesota INDEX December 31, 1983 Page Water Operating Fund Comparative Balance Sheet 30 Comparative Statement of Revenue, Expenses and Changes in Retained Earnings Comparative Statement of Change in Financial Position 31 32 Sanitary Sewer Operating Fund Comparative Balance Sheet 33 Comparative Statement of Revenue, Expenses and Change in Retained Earnings Comparative Change in Financial Position 34 35 Liquor Fund Comparative Balance Sheet 36 Comparative Statement of Revenue, Expenses and Changes in Retained Earnings Comparative Statement of Changes in Financial Position 37 38 I I I I ~ I t I I I I I I I It I J I I I I MATTHIAS. ROEBKE a MAISER CERTIFIED PUBLIC ACCOUNTANTS ~40 EAST FIRST P. O. BOX e15 WACONIA. MINNESOTA ~15387 ALAN W. MATTHIAS JOHN M. ROEBKE JAMES J. MAISER AREA CODE e 12 442-4408 METRO 448-15343 DUANE A. EBERT May 5, 1984 NORWOOD OFFICE CITIZENS STATE BANK BLDG. The Honorable Mayor and the Honorable City Council City of Shorewood Shorewood, Minnesota We have examined the combined financial statements of the City of Shorewood, Minnesota, as of and for the year ended December 31, 1983, as listed in the table of contents. Our examination was made in accordance with generally accepted auditing standards and, accordingly, included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. As more fully described in the Notes to Financial Statements, no complete historical record exists of costs for the City's in- vestment in property, plant and equipment, except for the Liquor Fund, because acquisitions prior to January 1, 1978 have not been recorded. This is a departure from generally accepted accounting principles. Since January 1, 1978, the City has recorded property, plant and equipment acquisitions in the Sanitary Sewer and Water Operating Funds and the General Fixed Assets Account Group as well as the Liquor Fund, and has made provision for depreciation, which conforms to generally accepted accounting principles applicable to governmental units. In our opinion, the aforementioned financial statements present fairly the financial position of the various funds and account groups of the City of Shorewood at December 31, 1983, and the results of its opera- tions for the year then ended, in conformity with generally accepted accounting principles applied on a basis consistent with the prior year except for the change, with which we concur, in the method of revenue recognition for the special assessment funds and the reclassification of Revenue Bonds from the Long Term Debt Group of Accounts to the Enterprise Fund, as described in Notes to the Financial Statements. Our examination was made for the purpose of forming an opinion on the combined financial statements taken as a whole. The combining, individual fund, and account group financial statements and schedules listed in the table of contents are presented for purposes of additional analysis and are not a required part of the combined financial statements of the City of Shorewood, Minnesota. The information has been subjected to the auditing procedures applied in the examination of the combined financial statements and, in our opinion, is fairly stated in all material respects in relation to the combined statements taken as a whole. ~~:~J~-r~ I"VI'ID.LIU:'U D/'\L/'\nl"l:. Jnl:.l:.1 - /'\LL rvnu 'Irl:.J /,\I'U /,\1" I" V V I' I UI\VUrJ I I I I . I I I I I I I , I . I , December 31, 1983 Governmental Fund Types Speci al Genera 1 Revenue ASSETS Cash and Investments $ 23,359 $ 15,130 Accrued Interest 106 Accounts Receivable 4,535 Taxes Receivable - Current 11,544 Special Assessments-Current Unamortized Bond Discount Inventory Fixed Assets - Net of Depreciation General Fixed Assets Total Assets $ 39,438 $ 15,236 51 ,289 $1,310,624 $ 279,625 $ $1,680,027 334 12,789 2,091 15,320 503 31 ,586 36,624 11 ,544 /97-,.MU~, 97,840 .! 11 ,11~) 11,118 ,-------~- 115,235 115,235 1 ,166,863 1 ,166,863 628,787 628,787 $ 51 ,623 $1,432,874 $1,595,400 $628,787 $ -0- $3,763,358 Debt Servi ce /1,,'7 i A Capital Projects Q(/ ,/Ii'''''' .>,. ,$ :" >i7i'ij':;.AN,../' f) Proprie- tory Special Enter- Assessments prise Account Groups General General Fixed Long-Term Assets Debt Totals Memorandum Only December 31, 1983 The accompanying notes are an integral part of this financial statement. I I I , I I I I I I I . I I I I December 31, 1983 Proprie- Governmental Fund Types tory Account Groups Totals Memorandum Only General General Sped a 1 Debt Capital Sped a 1 Enter- Fixed Long- Term December 31 , General Revenue Service Projects Assessments prise Assets Debt 1983 LIABILITIES AND FUND EQU!TV Accounts Payable $ 28,821 $ $ 9,297 $ $ 48,255 $ $ 86,373 Special Assessments Bonds Payable 3,955,000 3,955,000 Revenue Bonds Payable 135,000 135,000 Other Long Term Debt 27 ,508 27 ,508 Investment in General Fixed Assets 628,787 628,787 Contributed Capital 1,285,350 1 ,285,350 Retained Earnings 99,287 99,287 Fund Balance Unappropriated 10,617 15,236 42,326 ( 2,522,126) ( 2,453 ,947) Total Liabilities And Fund Equity $ 39,438 $ 15,236 $ 51 ,623 $1,432,874 $1 ,595,400 $628,787 $ -0- $3,763,358 The accompanying notes are an integral part of this financial statement. .. - - - ... --- ... - - - - -. -- .. - - City of Shorewood COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES For the Year Ended December 31, 1983 Governmental Fund Types Totals Memorandum Only Special Debt Capital Special December 31 December 31 General Revenue Servi ce Projects Assessments 1983 1982 REVENUES: Taxes $414,856 $ $ $ 15,723 $ 430,579 $ 412,004 Special Assessments 690,673 690,673 562,353 Licenses and Permits 53,606 53,606 33,354 Intergovernmental Revenue ~! J Ii:) ~~ftJ Federal 19, 155 C _-D fJ> ~ 19,155 20,030 State 259,326 13,992 3,509 276 ,827 322,258 Charges for Services 30,623 30,623 18,898 Fines 47,544 47,544 33,024 Interest on Investments 1 ,137 3,681 105,331 11 0 ,149 Miscellaneous Revenue 13,538 15,144 28,682 214,830 Tot a 1 Revenues $819,493 $ 34,284 $ 18,825 $815,236 $1,687,838 $1,616,751 OTHER SOURCES It,) Transfer from Other Funds $ 33,206 ", .1>, " $ 7,200c $ 40,406 $ 16,655 -;J ."" II ~~ Tot a 1 Revenues and Other Sources $852,699 $ 34,284,/ $ 26,025 $815,236 $1 ,728,244 $1,633,406 -r~ 'Jr. '7 , '11 "1 '-\' ~~~~/ l) ..yll ')~ i ~vc t~ The accompanying notes are an integral part of this financial statement. ""0 QI l.O ro ~ - - - - ~ -.- ~ - - - - -- -- - - - City of Shorewood COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES For the Year Ended December 31, 1983 Governmental Fund Types Spec i a 1 Debt General Revenue Service Capital Speci al Projects Assessments EXPENDITURES: Current General Government Public Safety Police Fire 1, Other uJ Street and Highways Maintenance Street Li ght i ng Parks and Recreation Other Capital Outlay Debt Service Interest and Fiscal Total Expenditures $271 ,057 $ $ $ \l 240,341 j~ ~4~, Zla"" '1 h I ~ 19,593) , Ie iD ttll ,) iJ}.. .'>" '1'''1 , {Jilt' tor cl .~ ( ! illS fJl' , 182,312 6,108 34,219 2,626 17,469 3,311 14,286 855 272,275 $ 6,792 $286,561 Charges $788,343 $ 17,469 OTHER USES: Transfer to Other Funds $ 20,407 Total Expenditures and Other Uses $788,343 $ 37,876 $ 6,792 $286,561 Net Increase (Decrease) in Fund Balance During the Year $ 64,356 ($ 3,592) $ 19,233 $528,675 $ 23,093 ($694,092) ($2356,709) $ 42,326($2522,126) FUND BALANCE - January 1 PRIOR YEAR ADJUSTMENT FUND BALANCE - December 31 ($ 51,092) $ 18,828 ($ 2,647) $ 10,617 $ 15,236 The accompanying notes are an integral part of this financial statement. j Totals Memorandum Only December 31 December 31 1983 1982 $ 271,057 $ 195,936 318,006 240,341 34 ,713 19,593 190,180 182,312 ~.._ 6 , 1 08 . 36,84S------ 23,319 106,539 35,066 126,363 273,130 $1 ,099,165 331,101 $1,291,444 $ 20,407 $ 16,655 $1,119,572 $1,308,099 $ 608,672 $ ($ 703,263) ($ ($2,359,356) ($ ($2,453,947) ($ 325,307 646,010) 29,653) 350,356) " III \C ('\) (J"1 .. - - - ... --- .. - - - - -- City of Shorewood COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - GENERAL AND SPECIAL REVENUE FUND TYPES For the Year Ended December 31, 1983 Sped a1 Revenue Funds Revenues: Taxes Licenses and permits Intergovernmental revenues Charges for services Fines and forfeits Miscellaneous revenues Total Revenues Expenditures: Current: General government Public safety Highways and streets Other Parks and recreation Total Expenditures Excess of Revenues over (under) Expenditures Other Financing Sources(Uses): Operating transfers Excess of Revenues over (under) Expenditures and Other Uses FUND BALANCE - January 1 PRIOR YEAR ADJUSTMENT FUND BALANCE - December 31 General Budget $423,14g 33,330 274,380 24,400 33,000 9,000 $797,259 Actual $414,856 53,606 259,326 30,623 47,544 13 ,538 $819,493 11 ,285 10,579) 2,369) 743) 2,406) $ 19,828 8,000) $ 52,528 $ 64,356 $ 11,828 ($ 51 ,092) ($ 51 ,092) ($ 2,647) ($ 2,647) $ 1,436 $ 10,617 $ 9,181 Actua 1 $ 33,147 33,147 $282,342 $271,057 $ 284,068 294,647 ( 196,051 188,420 ( ( ($ 33,476 34,219 $785,937 $788,343 $ 11 ,322 $ 31,150 41 ,206 33,206" ( 1 , 1 37 1 , 137 $ 34,284 $ 34,284 $ $ 20,407 20,407 $ 20,407 $ 20,407 ..- - - - BUDGET AND ACTUAL Tot a 1 s (Memorandum Only) Budget $423,149 33,330 307 ,527 24,400 33,000 10 , 137 $831 ,543 $282,342 284,068 1 86 ,051 20,407 33,476 $806,344 Actual $414,856 53,606 292,473 30,623 47,544 14,675 $853,777 $271 ,057 294,647 188,420 20,407 34,219 $808,750 $ 13,877 $ 13,877 $ 25,199 $ 45,027 ($ 17,469)( 17 ,469) Fund Variance Favorable (Unfavorable) Budget ($ 8,293) ~?l5lo$ 20,276 15,054) 6,223 14,544 4 ,538 $ 22,234 23 ,737 15,737 Variance Favorable (Unfavorable) ($ 8,293) 20,276 15,054) 6,223 14,544 4 ,538 $ 22,234 $ 11 ,285 ( 10,579) ( 2,369) ( 743) ($ 2,406) $ 19,828 8,000) ($ 3,592)($ 3,592) $ 48,936 $ 60,764 $ 11 ,828 $ 18,828 $ 18,828 ($ 32,264)($ 32,264) ($ 2,647) ($ 2,647) $ 15,236 $ 15,236 $ 16,672 $ 25,853 $ 9,181 The accompanying notes are an integral part of this financial statement. -c QI u:l ro 0"1 I I I I I J I I I I I , I I I J I I I I City of Shorewood COMBINED STATEMENT OF REVENUES, EXPENSES AND RETAINED EARNINGS ALL PROPRIETARY FUND TYPES For The Years Ended December 31, 1983, 1982 SALES AND COST OF SALES Sales Cost of Sales Gross Profit Enterprise Funds (Total s - Memorandum Only) 1983 1982 $693,309 $767,320 528,705 587,099 $164,604 $180,221 $242,326 $219,419 23,172 19,592 $265,498 $239,011 $430,102 $419,232 $114 ,081 $114,]83' 20,198 18,934 41 ,698 39,157 21 ,143 21 ,084 12,366 15,421 699 1 ,149 48,163 65,141 17 ,361 15,680 371 8,060 4,115 7,202 8,597 15,570 4,917 1,201 458 189,316 159,271 8, 199 8,103 80 2,383 2,494 1 ,868 1,182 $507,205 $482,640 ($ 77,103) ($ 63,408) $ 40,791 $ 9,080 19,028 6,750 20,073 27,075 9,651 17 ,000 $ 98,623 $ 50,825 OPERATING REVENUE Sewer Service Charges Water Sales Total Operating Revenues Total Gross Profit and Operating Revenue OPERATING EXPENSES Salaries and Wages Employee Benefits Rent Ut il it i es Insurance Advert is i ng Depreciation Professional Services Bad Debts Supplies Office Expense Repairs and Maintenance Dues, Subscriptions, Ed. Sewer Use Charge - MWCC Purchases - Water Inflow and Infiltration Study Purchases of Water Meters Miscellaneous Total Operating Expenses Operating Income OTHER REVENUE General Property Taxes Homestead Credit Permits & Connection Fees Interest on Investments Other Income Total Other Revenue Page 7 I I I I i , I I I I I - I . I - I I I I Page 8 City of Shorewood COMBINED STATEMENT OF REVENUES, EXPENSES AND RETAINED EARNINGS ALL PROPRIETARY FUND TYPES For The Years Ended December 31, 1983, 1982 OTHER EXPENSES Metro Sewer SAC Charges Interest Interest on Interfund Loans Total Other Expenses NET INCOME (LOSS) TO RETAINED EARNINGS RETAINED EARNINGS, JANUARY 1 LESS: TRANSFERS LESS: PRIOR YEAR ADJUSTMENT RETAINED EARNINGS, DECEMBER 31 Enterprise Funds (Totals - Memorandum Only) 1983 1982 $ 13,043 13,471 6,799 $ 33,313 ($ 11 ,793) $286,400 ($ 20,000) ($155,320) $ 99,287 $ 2,945 2,026 5,642 $ 10,613 ($ 23,196) $309,596 $286,400 The accompanying notes are an integral part of this financial statement. I I I I , J I I I I I , I . I J I I I I Page 9 City of Shorewood COMBINED STATEMENT OF CHANGES IN FINANCIAL POSITION ALL PROPRIETARY FUND TYPES For The Years Ended December 31, 1983, 1982 SOURCES OF FINANCIAL RESOURCES Operations Net Income for the Year Add: Items not requi ri ng current outlay of resources Depreciation Increase in Long-Term Debt Total Resources Provided USES OF FINANCIAL RESOURCES Operations Net Loss for the Year Reduction of Long Term Debt Transfers Prior Year Adjustment Acquisition of Fixed Assets Total Uses of Financial Resources Net Increase (Decrease) in Working Capital COMPONENT ELEMENTS OF INCREASE (DECREASE) IN WORKING CAPITAL Cash and Temporary Investments Receivables Special Assessments Accrued Interest Inventories Prepaid Expenses Accounts Payable Accrued Liabilities Escrow Li abil ity Current Portion Long-Term Indebted- ness Contracts Payable Net Increase (Decrease) in Worki ng Capital Enterpri se Funds (Totals - Memorandum Only) 1983 1982 $ 63,320 $ 59,127 48,163 130,000 $241 ,483 65,141 $124,268 $ 75,113 4,903 20,000 155,320 $255,336 $ 82,323 4,958 $ 87,281 ($ 13,853) $ 36,987 $ 41 ,466 ( 23,207) ( 3,117) 1 ,813 ( 7,218) ( 14,175) ( 4,149) $ 17,651 ( 8,803) 2,687 ( 520) 2,122 ( 1,240) 16,951 2,729 1 ,025 ( 252) 4,637 $ 36,987 5,266) ($ 13,853) The accompanying notes are an integral part of this financial statement. I I I I I , I I I I I , I . I J I I I I Page 10 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 Note 1 - Summary of Significant Accounting Policies A. Fund Accounting The accounts of the City are organized on the basis of funds and account groups, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures, or expenses, as appropriate. Government resources are allocated to and ac- counted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled. The various funds are grouped, in the financial statements in thi s report, i r:!~Q__~tght~g.eneric fund types and three broad fund categori es-as follows: GOVERNMENTAL FUNDS I General Fund - The General Fund is the general operating fund of the City. It is used to account for all financial resources except those required to be accounted for in another fund. Special Revenue Funds - Special Revenue Funds are used to account for the proceeds of certain specific revenue sources that are legally restricted to expenditures for specified purposes. ~/ Debt Service Funds - Debt Service Funds are used to account for the accumulation of resources for, and the payment of, general long-term principal, interest, and related costs. Capital Projects Funds - Capital Projects Funds are used to ac- count for financial resources to be used for the acquisition or construction of major capital facilities other than those financed by proprietary funds or Special Assessment Funds. Special Assessment Funds - Special Assessment Funds are used I to account for the financing of public improvements or services deemed to benefit the properties against which special assess- ments are levied. PROPRIETARY FUNDS 0- J Enterprise Funds - Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business enterprises - where the intent is that the costs of providing goods or services to the general public on a continu- ing basis be financed or recovered primarily through user charges. I I I I ~ , I I I I I - I t I J I I I I Page 11 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31,1983 NOTE 1 - Continued FIDUCIARY FUNDS Agency Funds - Agency Funds are used to account for assets held by the City as an agent for individuals, private organi- zations, other governments, and/or other funds. The City does not have any Agency Funds. B. Measurement Focus Fixed assets used in governmental fund type operations are re- corded at historical cost and accounted for in the General Fixed Assets Account Group. Public domain general fixed assets con- sisting of roads, bridges, curbs and gutters, streets and side- walks, drainage systems and lighting systems, are excluded from general fixed assets as such items are immovable and of value only to the City. No depreciation has been provided on general fixed assets. Long-term liabi1tiies expected to be financed from governmental funds are accounted for in the General Long-Term Debt Account Group, not in the governmental funds. The single exception to this general rule is for special assessment bonds, which are ac- counted for in Special Assessment Funds. Proprietary funds are accounted for on a cost of service or "capita1 maintenance" measurement focus. This means that all assets, including fixed assets, and all liabilities, including long-term liabilities, associated with their activity are in- cluded on their balance sheets. Their reported fund equity is segregated into contributed capital and retained earnings com- ponents. Proprietary fund type operating statements present increases and decreases in net total assets. Fixed assets of proprietary funds are recorded therein at historical cost. Depreciation is charged as an expense against operations and accumulated depreciation is reported on proprie- I I I I , J I I I I I , I . I J I I I I Page 12 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 NOTE 1 - Continued tary fund balance sheets. Depreciation has been provided over the estimated useful lives using the straight-line method. The estimated useful lives are from 10 to 50 years. Donated fixed assets are valued at the fair market value as of the date received. C. Basis of Accounting Governmental funds and Agency funds are accounted for using the modified accrual basis of accounting. Their revenues are recognized when they become measurable and available. Substantially all sources of revenue are accrued except interest on special assessments receivable, which is recog- nized when due. Expenditures are generally recognized under the modified ac- crual basis of accounting when the related fund liability is in- curred, except for principal and interest on general long-term debt which is recognized when due. Proprietary funds are accounted for using the accrual basis of accounting. Revenues are recognized when they are earned, and expenses are recognized when they are incurred. Unbilled utility service receivables are recorded at year-end. D. Budgets and Budgetary Accounting The city follows these procedures in establishing the budgetary data reflected in the financial statements: 1. The City Administrator submits to the City Council a proposed operating budget for the fiscal year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them. 2. The budget is legally enacted through passage of a resolu- tion. 3. The City Council may authorize transfer of budgeted amounts between departments within any fund. 4. Formal budgetary integration is employed as a management control device during the year for the General Fund and Special Revenue Funds. Formal budgetary integration is not employed for Debt Service Funds because effective I I I I . I . I I I I I , I . I J I I I I Page 13 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 NOTE 1 - Continued effective budgetary control is alternatively achieved through general obligation bond indenture provisions Budgetary control for Capital Projects and Special Assessments Funds is accomplished through the use of project controls. 5. Budgets for the General and Special Revenue Funds are adopted on a basis consistent with generally accepted ac- counting principles. 6. Budgetary control is maintained at the object of expendi- ture category level within each activity, and in compliance with City Charter requirements. Also inherent in this controlling function is the management philosophy that the existence of a particular item or appropriation in the ap- proved budget does not automatically mean that it will be spent. The budget process has flexibility in that, where need has been properly demonstrated, an adjustment can be made within the department budget by the City Council. Therefore, there is a constant review process and expenditures are not approved until it has been determined that (1) adequate funds were appropriated; (2) the expenditure is still necessary; and (3) funds are available. Budgeted amounts are as originally adopted or as amended by they City Council. Budgeted expenditure appropriations lapse at year-end. E. Cash and Temporary Cash Investments Cash balances from all funds are combined and invested to the extent available in short term certificates of deposit and re- purchase agreement. Investments are carried at cost. Market value at December 31, 1983 is the same as cost. Earnings from such investments are allocated to the respective funds on the basis of applicable cash balance participation by each fund. F. Inventory Inventories are stated at cost, on a first-in, first-out basis. G. Accumulated Unpaid Vacation and Sick Pay Vacation cannot be accumulated past year-end without Council approval. Unpaid vacation pay approved by the City Council as of December 31, 1983 is not material. Sick leave is expensed as paid. Unpaid sick leave as of December 31,1983 represents a contingent liability for the City of $3,543.1 I I I I , I . I I I I I I I . I J I I I I Page 14 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 NOTE 1 - Continued H. Total Columns on Combined Statements Total columns on the combined statements are captioned Memorandum Only to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position; results of operations, or changes in financial position in conformtiy with generally accepted accounting principles. Interfund eliminations have not been made in the aggregation of this data. I. Property Taxes Property taxes are set by the City Council and certified to the County auditor, who acts as collecting agent, on October 1 of the year prior to collection. Minnesota cities operate under a levy limitation law which generally permits an 8% annual increase in taxes per capita. Levies for bonded indebtedness are not covered by this law. Property tax revenue includes amounts collected by the County during the year and remitted to the City. Delinquent property taxes receivable are offset by an allowance for uncollectable taxes. Portions of the tax levy paid by the state in the form of Homestead and Reduced Assessment Credits are included in intergovernmental revenue. Only that portion collected direct- ly from property owners is reflected in tax revenue. J. Financial Reporting Entity The City of Shorewood, for financial reporting purposes, includes all of the funds and account groups relevant to the operations of the City of Shorewood. The Financial Statements presented herein do not include agencies which have been formed under applicable state laws as separate and distinct units of govern- ment apart from the City of Shorewood. Note 2 - Fixed Assets General fixed asset purchases are recorded as expenditures in the various funds at the time of purchase. Such assets are capitalized at cost in the General Fixed Asset Group of Accounts. The change in fixed assets may be summarized as follows: Balance Balance General Fixed Asset 1-1-83 Additions Deductions 12-31-83 Land & Buil di ngs Machi nery and Equipment $494,162 117 , 156 $611 ,318 $ $ $494,162 17 ,469 $ 17 ,469 $ 134,625 $628,787 I I I I , I . I I I I I , I . I J I I I , Page 15 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 Note 2 - Fi xed Assets (Continued) Balance Balance Enterprise Fund 1-1-83 Additions Deductions 12-31-83 Sewer Fund $372,974 $ $ $372,974 Water Fund $945,113 $ $ $945,113 Liquor Fund $ 29, 1 00 $ $ $ 29,100 Depreciation Enterprise Funds Depreciation is determined using the straight-line method for the estimated useful life of the asset, ranging from five to fifty years. Depreciation expense for 1983 for the Water Fund was $28,300, Sewer Fund $18,732 and Liquor Fund $1,128. Special Assessment and Trust and Agency Funds - No depreciation has been provided on the fixed assets. General Fi xed Assets No depreciation has been provided on general fixed assets. Budgetary Data The City Council adopts an annual budget. During the budget year, supplemental appropriations are authorized by the council. The amounts shown in the financial statements as "Budgeted" represent the original budgeted amount and all revisions made during the year. Note 3 - Long-Term Debt General Obligation Bonds: The 1980 Water Revenue Bonds were reclassified from General Obligation Bonds to Revenue Bonds in 1983. These are recorded as a liability in the Water Operating Fund for 1983. Special Assessment Bonds: These bonds are recorded as a liability in the Special Assessment Fund. The bonds are payable primarily from special assessments to be levied and collected for local improvements, and are backed by the full faith and credit of the city. Water Revenue Bonds: The Water Revenue Bonds are recorded as a liability in the Water Operating Fund. These bonds are backed by the full faith and credit of the City. If water revenues are not sufficient to meet the debt service requirements an ad valorem tax will be levied to meet the debt service requirements. -T.::> 'I i.t Ir.( a.... MO't) VIt...........--. -::F, of 't,d' t{,l, j'j ('41" Ju ~'a" ~ d /V~ 1-<lt tJ 'j / tYJA'1 a ~ ..A ..." L t) , I 1 I 1 , I. . 1 I 1 I 1 , I . I, Page 16 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 Note 3 - Long-Term Debt (Continued) Balance ISSUE 1-1-83 General Obligation $ 140,000 Balance Additions Deductions 12-31-83 Maturity $140,000 $ -0- $ 25,000 $ 200,000 1991 130,000 1,170,000 1992 90,000 810,000 1992 5,000 40,000 1991 70,000 620,000 1993 20,000 40,000 1985 265,000 1,075,000 1987 $ $605,000 $3,955,000 $140,000 $ 5,000 $ 135,000 Special Assessment 71 Sewer Imps. 72 Sewer Imps. 72 Sewer Imps. B 73 Water Imps. 74 Sewer Imps 80 Improvements 81 Improvements Bonds $ 225,000 1,300,000 900,000 45,000 690,000 60,000 1,340,000 $4,560,000 $ -0- Water Revenue Bonds Other Long Term Debt Genera1-Certificatq $ $ 15,000 .-c Park-Contract8~~~:- 8,156 Park-Contract(7"v.l't' 7 ,500 Sewer-Deferred / ~ej Contract lI4'!J t'}"~ 32,145 $ 62,801 $ 15,000 1 ,359 5,000 $ -0- 6,797' 1988. 2,500 1984 27 ,508 1988 $ 36 ,805 4,637 $ 25,996 The debt servi ce requi rement for the next five years is summarized below: Special Assessments Revenue Bonds Othe r Debt Year Principal Interest Principal Interest Principal Interest 1984 $605,000 $229,419 $ 5,000 $11,000 $8,762 $1,954 1985 610,000 189,697 5,000 10,625 6,544 1,518 1986 590,000 149,275 10,000 10,250 6,842 1 ,165 1987 590,000 109,715 10,000 9,475 7,158 795 1988 320,000 81,283 10,000 8,700 7,499 406 Note 4 - Fund Balance Deficits J 1 I 1 , The following funds have fund balance deficits Special Assessment Fund Water Operating Fund as of December 31, 1983: ($2,522,126) ($ 333,007) {).~5 '-' rv': \f (J..J.v, ;ilf)~ ii ~RSI i 1,.. So f~,/fi ,:'; J I pL . f)-f> Note 5 - Pension Plans . City fire personnel must belong to their fire pension plan. All other City employees with the exception of the City Administrator and part time students must belong to the state-wide Public Employees Retirement Association (PERA). The City's contribution in 1983 for PERA was $31,483. I I I I , I . I I I I I I I . I J I I I I Page 17 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 Note 6 - Prior Period Adjustments The revenue recognition for special assessment funds was changed from accrual basis of accounting to the modified accrual basis according to NCGA Statement #1. As a result of this change, special assessments are recognized as revenue when received and not when assessed. As a result of this change, special assessments receivable as reported in the December 31, 1983 audit report were charged to Fund Balance. See effect on Fund Balance below. General Obligation Bonds. The 1980 water revenues were reclassified from the General Long Term Debt Group of Accounts to the Water Operating Fund. The effect on Fund Balance is shown below. General Fund Special Water Assessments Operating Sewer Operating Special Assessment Receivable closed to Fund Balance ($2,647) ($2,356,709) ($ 5,289) ($18,638) Debt Service Fund closed to Water Operating Fund 3 ,6QL~ -"""""', Transfer General Obligation Bonds to Water Operating Fund \ 135,000) ($2,356,709) ($136,682) ($18,638) Net Change ($2,647) I I I I , , I I I I I , I . I , I I I I Page 18 City of Shorewood NOTES TO FINANCIAL STATEMENTS December 31, 1983 Note 7 - Segment Information The City maintains three Enterprise Funds which account for sewer and water utility systems and the liquor stores operations. Segment information for the year ended December 31, 1983 is as follows: Tot a 1 Liquor Sewer Water Enterpri se Fund Fund Fund Funds Operating Reserves $164,604 $242,326 $ 23,172. $430,102 Operating Expenses $177 ,361 $242,227 $ 87,617 $507,205 Operating Income ($ 12,757) $ 99 ($ 64,445) ($ 77,103) Other Income, (Expenses) 2,355 63,221 266) 65,310 Net Income ($ 10,402) $ 63,320 ($ 64,711) ($ 11 ,793) Transfers ($ 20,000) ($ 20,000) Fixed Assets Additions $ $ $ $ Retained Earnings $142,395 $287 ,899 ($331 ,007) $ 99,287 I I I I , , I I I I I , I a I , I I I I Page 19 City of Shorewood SUPPLEMENTARY INFORMATION December 31, 1983 Our examination was made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental statements are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the examination of the basic financial statements, and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. I I I I i I I I I I I , I . I , I .- I , City of Shorewood GENERAL FUND BALANCE SHEET December 31, 1983 ASSETS Cash and Short Term Investments Taxes Receivable, Current Accounts Receivable Total Assets LIABILITIES AND FUND BALANCES LIABILITIES Accounts Payable Accrued Expenses Total Liabilities FUND BALANCES Unappropriated Total Liabilities and Fund Balances Page 20 $ 23,359 11 ,544 4,535 $ 39,438 $ 18,290 10,531 $ 28,821 $ 10,617 $ 39,438 . Page 21 City of Shorewood . GENERAL FUND STATEMENT OF REVENUES - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 . TAXES General Property Taxes Current Delinquent Penalties and Interest Fiscal Disparities Total Taxes Budgeted Actual Variance Favorable (Unfavorable) . . LICENSES AND PERMITS Business Licenses Non Business Licenses Building Permits Total Licenses and Permits $407,745 $367 ,643(( $ 40,102) .~ ,<: 30,144 \ 30,144 )\ 1 ,665 D' 1 ,665 J( \ ~'DV' " 15,404 15,404 - '~' $423,149 $414,856 ($ 8,293) ~ol, '~'.'~ ~\\~ <i' co. $ 13,470 $ 10,022 ($ 3,448) 4,860 2 , 144 ( 2,716) 15,000 41 ,440 26,440 $ 33,330 $ 53,606 X $ 20,276 INTERGOVERNMENTAL REVENUE $168,292 Y$ Loca 1 Governmental Aid $168,269 23 &) . Homestead Credit 90,011 90,0111 \ lJ' Attached Machinery Aid 100 145 :r' 45 f'J , Building Surcharge Rebate 1 ,000 878 ( 122) 1)\ ~ '. \ County Road Aid 15,000 - ( 15,000) " ''i' Total Intergovernmental Revenue $274,380 $259,326 ($ 15,054) \ . CHARGES FOR SERVICES If'o'f' General Government $ 13,800 $ 23,783 "":$ 9,983 1, .' k~.(e!i/I" Highway and streets 5,500 ,/j' 4,150 {' 1 ,350) VJ~\'~ Sanitation Charges 4,000 825 .., 3,175) pit Park and Recreation 1,100 1 ,865./ 765 Tot a 1 Charges for Services $ 24,400 $ 30,623 $ 6,223 ~ I) FINES $ 33,000 $ 47 ,544../$ 14,544 ) {~" I.!""C '(\ ~ MISCELLANEOUS $ 9,000 $ 13,538/$ 4 , 5 38 Tot a 1 Revenues $797,259 $819,493 $ 22,234 TRANSFERS $ 20,000 '/$ From Li quor Fund $ 20,000 From CDBG Fund 8,000 - ( 8,000) From Revenue Sharing 13,206 1 3 ,206 ./ Total Trans fers $ 41,206 $ 33,206 ($ 8,000) Total Revenues and Trans fers $838,465 $852,699 $ 14,234 . . . . . Page 22 City of Shorewood GENERAL FUND STATEMENT OF EXPENDITURES - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 Variance Favorable Budgeted Actual (Unfavorable) '>< $ 25,181 $ 22,160 $ 3,021 Xl 35,530 33,961 1,569 ~tf" 31 ,811 53,318 21 ,507)...:t; ~>tj if Jj Lfo 0 (,. 114,365 91,733 22,632 I fA !} 36,304 27 ,094 9,210 33,450 37 ,084 ( 3 ,634), - 5,701 5,707 ( 6) $282,342 $271 ,057 $ 11 ,285 ",~~ "J \1) f}. .~ $231,100 $240,341 ($ 9,241 r ?'\ \ ~ * 34,668 34,713 ( 45) 18,300 19,593 ( 1,293) C, $284,068 $294,647 ($ 10,579) :,) . . General Government Mayor and Council Current Expenditures Administration Current Expenditures Finance Current Expenditures General Government Current Expenditures Planning and Zoning Current Expenditures Lega 1 Current Expenditures Municipal Building Current Expenditures Total General Government . . I Public Safety Police Protection Current Expenditures Fi re Protect ion Current Expenditures Protective Inspection Current Expenditures Total Public Safety Streets and Highways Public Works Current Expenditures Garage Current Expenditures Streets and Roads Current Expenditures Snow and Ice Current Expenditures Traffic Control Current Expenditures Street Lighting Current Expenditures Sanitation and Weeds Removal Current Expenditures Tree Maintenance Current Expenditures Total Public Works $ 67,074 6,425 58,098 17 ,212 8,003 7,300 8,310 13,629 $186,051 . . .. . Park and Recreation Current Expenditures $ 89,747 7,712 49,164 17,858 7,415 6 , 1 08 5,394 5,022- $188,420'($ t ($ 22 ,673) ~ ~~(a~ .- ( 1,287) \2't~~ 8,934 646) 588 1 , 192 2 ,91 6. d() V r1.. $ · ..JL... 8,607 (JT5I' J '-rr . 2,369)~Q 700 . Total Expenditures $ 33,476 $ 34,219 ($ 743) $785,937 $788,343 ($ 2,406) . t Page 23 ~ City of Shorewood GENERAL FUND STATEMENT OF CHANGE IN FUND BALANCE For the Year Ended December 31, 1983 t UNAPPROPRIATED Budgeted Actual Variance Favorable (Unfavorable) Fund Balance, January 1 ($ 51,092) ($ 51,092) $ Total Revenue and Transfers 838,465 785,937 852,699 14,234 . Total Expenditures 788,343 2,406) 2,647) ( 2,647) "5.f-. $ 1,436 $ 10,617 $ 9,181 Prior Year Adjustment Fund Balance, December 31 . D D) APPROPRIATED t ty) I c: f Fund Balance, January 1 $ 15,000 $ 15,000 '? QPIIJ . Debt Service Reduction 15,000) 15,000) Fund Balance, December 31 $ -0- $ -0- ., t I If . . Page 24 City of Shorewood . SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 1983 . Federal Revenue Sharing ASSETS . Cash and Short Term Investments $ 15 , 130 Accrued Interest 106 Total Assets $ 15,236 . LIABILITIES AND FUND BALANCES Fund Balance $ 15,236 . Total Liabilities and Fund Balances $ 15,236 . . . . . . Page 25 City of Shorewood . COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES For the Year Ended December 31, 1983 . Federal Community Revenue Development Sharing Grant Tot a 1 . REVENUE Interest $ 1 , 137 $ $ 1 , 137 Local Government 13,992 13,992 Federal Entitlement 19,155 19,155 Total Revenue $ 20,292 $ 13,992 $ 34,284 . EXPENDITURES Transfer $ 20,407 $ $ 20,407 Capital Expenditures 3,477 13,992 17 ,469 Total Expenditures $ 23,884 $ 13,992 $ 37 ,876 Excess Revenue over . Expenditures ($ 3,592) $ -0- ($ 3,592) Fund Balance 1-1-83 $ 18,828 $ -0- $ 18,828 Fund Balance 12-31-83 $ 15,236 $ -0- $ 15,236 . SPECIAL REVENUE FUNDS . . . . . City of Shorewood . CAPITAL PROJECT FUND COMBINING BALANCE SHEET December 31, 1983 . . ASSETS Cash and Short Term Investments Accrued Interest Total Assets . LIABILITIES AND FUND BALANCE . Accounts Payable Fund Balance Total Liabilities and Fund Balance t . . t I Page 26 Capital Park Improvement $ 51,289 334 $ 51,623 $ 9,297 42,326. $ 51,623 . Page 27 City of Shorewood . CAPITAL PROJECT FUND COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE For the Year Ended December 31,1983 . . REVENUE Division Fees Equipment Donations Century Club Donation Interest Miscellaneous Transfers Total Revenue Park Improvements o~"~"" r;~ 9,600_) "T~8T4 3 , 1 00 3,681 630 7,200/' $ 26,025 . . EXPENDITURES Interest Capital Improvements Engineer Services Annual Festival Total Expenditures $ 855 3,311 474 $ 2,152 6,792 $ 19,233 $ 23,093 $ 42,326 NET INCREASE (DECREASE) IN FUND BALANCE . FUND BALANCE - January 1 FUND BALANCE - December 31 . I] . . . City of Shorewood . SPECIAL ASSESSMENTS FUNDS COMBINING BALANCE SHEET December 31, 1983 . ASSETS . Cash and Short Term Investments Debt Service Accrued Interest Accounts Receivable Special Assessments Receivable, Current Unamortized Bond Discount . Total Assets LIABILITIES AND FUND BALANCE . L i abil iti es Bonds Payable Total Liabilities Fund Balance . Total Liabilities and Fund Balance . . . . Page 28 $1,310,624 12,789 503 97,840 11,118 $1,432,874 $3,955,000 $3,955,000 ($2,522,126) $1,432,874 . Page 29 City of Shorewood . SPECIAL ASSESSMENT FUNDS COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGE IN FUND BALANCE For the Year Ended December 31, 1983 . . REVENUES Special Assessments Current $ 631 ,870 Oelinquent 49,123 Penalties and Interest 9,680 General Property Taxes 15,123 Homestead Credit 3,509 Fiscal Disparities 600 Interest on Investments 105,331 Total Revenue $ 815,236 EXPENDITURES Interest on Bonds $ 272,167 Fiscal Agent Fees 108 Construction Costs 14,286 Total Expenditures $ 286,561 Net Increase (Decrease) in Fund Balance $ 528,675 Fund Balance, January 1 ($ 694,092) Prior Year Adjustment ($2,356,709) Fund Balance, December 31 ($2,522,126) . . It . . . . . City of Shorewood . WATER OPERATING FUND BALANCE SHEET December 31, 1983, 1982 . ASSETS . Current Assets Cash and Temporary Investments Accounts Receivable Less: Allowance for Uncollectible Accounts Other Special Assessments Total Current Assets . Fixed Assets (Note 1) Equipment Assets, Contributed Less: Allowance for Depreciation Total Fixed Assets Total Assets . LIABILITIES AND FUND EQUITY . Current Liabilities Accounts Payable Accrued Liabilities Current Portion Long Term Debt Total Current Liabilities . LONG TERM LIABILITIES Bonds Payable - Non Current Portion . RETAINED EARNINGS Contributions Retained Earnings (Deficit) Total Fund Equity Total Liabilities and Fund Equity . . 1983 ($108,680) 6, 7 20~ 1,585)- 2,172 ($101,373) Page 30 1982 ($ 71,150) 5,289 ($ 65,861) $ 13,303 $ 13,303 931 ,81 0 . ..____jJl.~SlD ( 103,014)/'-- ( 74,711) $842,099 $870,402 $740,726 $ 4,497 426 5,000 $ 9,923 $130,000 $931,810 ( 331 ,007) $600,803 $740,726 $804,541 $ 2,282 63 $ 2,345 $931,810 ( 1 29 ,61 4 ) $802,196 $804,541 OPERATING EXPENSES Salaries and Wages Employee Benefits Insurance Office Expense Supplies, Motor Fuel Small Tool s City Buildings Expense Allocation Electricity Contracted Services Education Postage Independent Audit Purchases - Water Purchase of Water Meters a4ff ref io '1;'0?l.t , Equipment Maintenance 12,711 'j Mi scell aneous 687 ""T) r;,/7 Depreciation HI ;J /v28,3.Q3/ 45,651 Total Operating Expenses >~.~/~ttil ($ 87_!.~ll\ $ 98,628 ~ q . . ~- 7"'." Operating Income (LOSS)~'~ e~~~)/) ($ 79,036) ADD: Non Operating Revenue 'J ,) General Property Taxes Homestead Credit Fiscal Disparities Sale of Meters Connections Charges Speci al Assessments IYl Total Non Operating Revenue . City of Shorewood . WATER OPERATING FUND " STATEMENT OF REVENUES AND EXPENSES For The Years Ended December 31, 1983, 1982 . 1983 $ 23,172 OPERATING REVENUES Water Sales . $ 17 ,738 3,614 694 60 4,217 . 5,834 5,067 135 \. . 358 8,199 '1. . . $ 12,463 2,873 492 1,778 55~ ~ $ 18, 156 . i G(J . LESS: Non Operating Expenses Interest, Interfund Loan Interest on Bonds Total Non Operating Expenses $ 6,799~' $ 11,623 5,642 $ 18,422 $ 5,642 ($129,614) ($ 47,291) , j,s. J \ i V\ l'l~" ,.., ($136 ,682) ~~"".o? v>()\t0p,.,v. ($331 ,007)f~~J~$129,614) NET INCOME (LOSS) TO RETAINED EARNINGS ($ 64,711) . RETAINED EARNINGS, January PRIOR YEAR ADJUSTMENT RETAINED EARNINGS, December 31 .' Page 31 1982 $ 19,592 $ 19,642 3,892 " 2,526 .- !.~~! 11 0 ,'1\' V\~ tl{1t lv' 1 ,829 J,vJ,~v> 419 f 3,942 5,605 3,477 90 11 357 8,103 2,494 r/ 480 1 , 135 ~ 890 330 $ 2,355 ($ 82,323) . City of Shorewood . WATER OPERATING FUND STATEMENT OF CHANGES IN FINANCIAL POSITION For The Years Ended December 31, 1983, 1982 . . SOURCES OF FINANCIAL RESOURCES Operat ions Add: Expenses not requiring current outlay of resources Depreciation Increase in Long Term Debt Total Resources Provided . USES OF FINANCIAL RESOURCES Net Loss for the Year Prior Year Adjustment Total Uses of Financial Resources . Net Increase (Decrease) in Worki ng Capital COMPONENT ELEMENTS OF INCREASE (DECREASE) IN WORKING CAPITAL . Cash and Temporary Investments Accounts Receivable Special Assessments Receivable Accounts Payable Accrued Liabilities Escrow Liability Current Portion Long Term Debt Net Increase (Decrease) in Worki ng Capital . . . . f'I'J\IC $ 28,303 ~ $ 45,651 130,000 1983 $158,303 $ 64,711 136,682 $201 ,393 ($ 43,090) '\ \ ($ 37,530)J 5,135 ( 3,117) ( 2,215) ( 363) ( 5,000) ($ 43,090) 1982 111 " $ 45,651 $ 82,323 $ 82,323 ($ 36,672) ($ 41,691) 1 ,058 46) 2,581 401 1,025 ($ 36,672) Page 32 :1\ ,.~ ~0:) . It'J t.' ". '\ 'S . . City of Shorewood SANITARY SEWER OPERATING FUND BALANCE SHEET December 31, 1983, 1982 ASSETS . . . . Total Assets LIABILITIES AND FUND EQUITY . Current Liabilities Accounts Payable Accrued Liabilities Current Portion Long-Term Indebtedness (Note 3) Total Current Liabilities . Long-Term Indebtedness Contracts Payable (Note 3) Total Liabilities . FUND EQUITY Contributions in Aid to Construction Retained Earnings - Unreserved - as restated (Note 7) Total Fund Equity Total Liabilities and Fund Equity . . Page 33 1983 1982 $252,165 805 16,694 1,944 2,166) 278 22,768 $292,488 $ 19,434 353,540 ( 51,967) $321 ,007 $ 19,434 353,540 ( 33,235) $339,739 $632,227 $674,980 $ 6,033 $ 2 ,709 616 4,903 4,637 $ 10,936 $ 7,962 $ 22,605 $ 27 ,508 $ 33,541 $ 35,470 $353,540 $353,540 287,899 243,217 $641 ,439 $596,757 $674,980 $632,227 . . City of Shorewood SANITARY SEWER OPERATING FUND STATEMENT OF REVENUES AND EXPENSES For The Years Ended December 31, 1983, 1982 . OPERATING REVENUE Sewer Service Charges 1983 Page 34 1982 $242,326 ~ $219,419 . OPERATING EXPENSES Salaries and Wages Employee Benefits Insurance Offi ce Expense Supplies, Motor Fuels ''If\tl~J,;>s. C'f,,:1 ~"n ~> Small Tools City Buildings Expense Allocation Electricity - Lift Stations Contracted Servi ces i...rl'lJw?s A...ci,4 ~ t. 11 J . Education Service Charge Refunds j Sewer Use Charge - Metro Waste. . ' I\rt~~~( Cont ro 1 Comm, ss, on ~ I 1)11' ,Of -/ 4,387 / 5,178 / 115;1 71 / 189,316 ~ $ 15,1 07 ~ 2,999 ./ 446 755 ' 2,448 / . . Independent Audit Postage Y Depreciation 18,732 ~ Equipment Maintenance 2,421 /' Miscellaneous 172 Inflow and Infiltration Study 80/ Total Operating Expenses $242,227 Operating Income . tJt \\Qt\9~ $ 99 OTHER ~EVENlJE . t\i~ \'Jr,,,> eo/~ Spec, al Assessments .' DQ'JI. eltti.\\'4 ~'" $ General Property Taxes-/"- J LO~iI (}9'lJ."v'\ ~.\\" ) Hsomestepad ~redit ::;) 10'-' \~\'~ ~' } ewer erm,ts (CP,"'"y'P Di sposal Fees ..' ~,t" Refunds - Reimbursements Metro Sewer SAC Charges Interest on Investments Total Other Revenue . . 27 ,839~ 6,207:/ 3 ,1 00 785 8,866 13,600 17 ,718 $ 78,112 . OTHER EXPENSES Interest Metro sewer SAC Charges Total Other Expenses ~ <[ r I Y....1......' G~. t. ,Ll- ~//. ' )/ "I $ 1 ,848~ 13,043 $ 14,891 $ 63,320 $243,217 ($ 18,638) $287,899 . NET INCOME TO RETAINED EARNINGS RETAINED EARNINGS, January 1 PRIOR YEAR ADJUSTMENT RETAINED EARNINGS, December 31 . $ 13 ,928 2,870 2,149 582 707 1 ,482 2,844 4,314 2,286 243 94 159,271 357 590 18,732 18 2,383 $212,850 $ 6,569 $ 14,664 900/ 280 ~. 1,716 3,825 24,997 $ 46,382 $ 2,026 2,945 $ 4,971 $ 47,980 $195,237 $ $243,217 $ 82,052 $ 66,712 \ .~~)~;) \i 1)9 \ '\ $ 4,903 /~(:\) 18,638// . City of Shorewood . SANITARY SEWER OPERATING FUND STATEMENT OF CHANGES IN FINANCIAL POSITION For the Years Ended December 31,1983,1982 . 1983 SOURCES OF FINANCIAL RESOURCES . Operations Net Income for the Year Add: Items not requiring current outlay of resources $ 63,320 Depreciation 18,732 Total Resources Provided by Operations . USES OF FINANCIAL RESOURCES Retirement of Long Term Debt Prior Year Adjustment . Total Use of Financial Resources $ 23,541 Net Increase (Decrease) in Work i ng Capital $ 58,511 . COMPONENT ELEMENTS OF INCREASE (DECREASE) IN WORKING CAPITAL . Cash and Temporary Investments Certificates of Deposit Receivables Other Accrued Interest Accounts Payable Accrued Liabilities Current Portion Long-Term Indebtedness Contracts Payable Net Increase (Decrease) in Working Capital $ 58,511 $ 81,418 1 21 ,746) \ 1,813 3,324) 616 266) . . . Page 35 1982 $ 47,980 18,732 $ -0- $ 66,712 $172,536 ,., L5'i,.,~(P ( 114,310).0 255 ( 5,678) ( 1,414) 10,570 368 252) 4,637 $ 66,712 . City of Shorewood . LIQUOR FUND BALANCE SHEET December 31, 1983, 1982 . ASSETS . CURRENT ASSETS Cash and Investments Accounts Receivable Inventory Liquor Wine Beer Miscellaneous Total Current Assets 1983 $ 54,722 5,980 57,308 43,034 10,336 4,557 $175,937 . FIXED ASSETS Furniture and Fixtures Leasehold Improvements Less: Allowance For Depreciation Total Fixed Assets $ 25,145 3,955 ( 25,343) $ 3,757 $179,694 . Total Assets Page 36 1982 $ 57,144 12,576 58 ,511 46,653 11 ,254 6,035 $192,173 $ 25,145 3,955 ( 24,215) $ 4,885 $197,058 LIABILITIES AND EQUITY . CURRENT LIABILITIES Accounts Payable $ 27 ,215 $ 18,579 Accrued Liabilities 10,084 5,682 Total Current Liabilities $ 37,299 $ 24,261 RETAINED EARNINGS $142,395 $172,797 . Total Liabilities and Equity $179,694 $197,058 . . . . City of Shorewood Page 37 . LIQUOR FUND STATEMENT OF REVENUE, EXPENSES AND CHANGES IN RETAINED EARNINGS For the Years Ended December 31, 1983, 1982 . 1983 $693,309 528,705 $164,604 SALES AND COST OF SALES Sales Cost of Sales Gross Profit . GENERAL AND ADMINISTRATIVE EXPENSE Salaries, Regular Salaries, Part Time Employee Benefits Supplies, Office Supplies, R & M Supplies, General Professional Services Audit Contractual Meetings, Schools & Miles Util ities Insurance Miscellaneous Bookkeeping Rent Dues & Subscriptions Advertising & Promotions Depreciation Total General and Administrative $ 67,845 13 ,391 13,585 3,289 438 1 ,395 750 2,886 3,122 422 10,922 11 ,226 938 3,098 41,698 529 699 1,128 $177 ,361 ($ 12,757) . . . Net Operating Income (Loss) . OTHER INCOME Interest $ 2,355 ($ 10,402) 172,797 ($ 20,000) $142,395 Net Income (Loss) RETAINED EARNINGS, January 1 . Less Transfers RETAINED EARNINGS, December 31 . . 1982 $767,320 587,099 $180,221 $ 80,613 12,172 518 2,518 2,865 9,203 9,879 1 0 ,746 1 ,459 39 ,1 57 125 1 , 149 758 $171,162 $ 9,059 $ 2,088 $ 11,147 161,650 $ $172,797 . Page 38 City of Shorewood . LIQUOR FUND STATEMENT OF CHANGES IN FINANCIAL POSITION For the Years Ended December 31, 1983, 1982 . 1983 1982 SOURCES OF FINANCIAL RESOURCES Net Income for the Year $ $ 11,147 Add: Items not requiring current outlay of resources De f'Y . 1 , 1 28 758 . Total Resources Provided $ 1 , 1 28 $ 11 ,905 USES OF FINANCIAL RESOURCES Net Loss for the Year $ 10,402 $ Acquisition of Fixed Assets 4,958 Transfer to Other Funds 20,000 . $ 30,402 $ 4,958 Net Increase (Decrease) in Worki ng Capital ($ 29,274) $ 6,947 . COMPONENT ELEMENTS OF INCREASE (DECREASE) OF WORKING CAPITAL Cash and Investments ($ 2,422) $ 1,116 Receivables and Prepaids ( 6,596) ( 2,051) . Inventories ( 7,218) 2,122 Accounts Payable ( 8,636 ) 3,800 Accrued Liabilities ( 4,402) 1,960 ($ 29,274) $ 6,947 . . . .