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<br />GOVERNMENT-WIDE FINANCIAL STATEMENTS
<br />
<br />In addition to fund-based information, the current reporting model for governmental entities also requires
<br />the inclusion of two government-wide financial statements designed to present a clear picture of the City
<br />as a single, unified entity. These government-wide financial statements provide information on the total
<br />cost of delivering services, including capital assets and long-term liabilities.
<br />
<br />STATEMENT OF NET POSITION
<br />
<br />The Statement of Net Position essentially tells you what your city owns and owes at a given point in time,
<br />the last day of the fiscal year. Theoretically, net position represents the resources the City has leftover to
<br />use for providing services after its debts are settled. However, those resources are not always in spendable
<br />form, or there may be restrictions on how some of those resources can be used. Therefore, net position is
<br />divided into three components: investment in capital assets, restricted, and unrestricted.
<br />
<br />The following table presents the components of the City’s net position as of December 31, 2018 and 2017
<br />for governmental activities and business-type activities (utility fund operations):
<br />
<br />Increase
<br />2018 2017 (Decrease)
<br />Net position
<br />Governmental activities
<br />Net investment in capital assets 26,972,898$ 22,750,377$ 4,222,521$
<br />Restricted 1,010,521 898,739 111,782
<br />Unrestricted 8,736,913 10,678,219 (1,941,306)
<br />Total governmental activities 36,720,332 34,327,335 2,392,997
<br />Business-type activities
<br />Net investment in capital assets 17,295,916 16,292,000 1,003,916
<br />Unrestricted 1,329,268 1,298,744 30,524
<br />Total business-type activities 18,625,184 17,590,744 1,034,440
<br />Total net position 55,345,516$ 51,918,079$ 3,427,437$
<br />As of December 31,
<br />
<br />Net position for governmental activities increased by $2,392,997 in 2018, as presented above. The
<br />investment in capital assets increased $4,222,521 this year, mainly due to the significant amount of
<br />construction activity in the current year. The remaining change in this category of net position typically
<br />depends on the relationship of the rate at which the City is adding capital assets, the rate capital assets are
<br />being depreciated, and how the City finances the purchase and construction of capital assets. The
<br />restricted portion of net position increased $111,782, due to increases in amounts restricted for tax
<br />increment purposes. The decrease in unrestricted net position is due to the continued investment in
<br />infrastructure using unrestricted resources of the City.
<br />
<br />The change in net position for business-type activities is consistent with our earlier discussion for the
<br />utility operations, which are presented under the same, full accrual, basis of accounting.
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