|
<br />-12-
<br />ENTERPRISE FUNDS OVERVIEW
<br />
<br />The City maintains enterprise funds to account for services the City provides that are financed primarily
<br />through fees charged to those utilizing the service. This section of the report provides you with an
<br />overview of the financial trends and activities of the City’s enterprise funds, which include the Water,
<br />Sewer, Surface Water Management, and Recycling Funds.
<br />
<br />The utility funds comprise a considerable portion of the City’s activities. We understand that the City is
<br />proactive in reviewing these activities on an ongoing basis, and we want to reiterate the importance of
<br />continually monitoring these operations. Over the years, we have emphasized to our city clients the
<br />importance of these utility operations being self-sustaining, preventing additional burdens on general
<br />government funds. This would include the accumulation of net position for future capital improvements
<br />and to provide a cushion in the event of a negative trend in operations.
<br />
<br />ENTERPRISE FUNDS FINANCIAL POSITION
<br />
<br />The following table summarizes the changes in the financial position of the City’s enterprise funds during
<br />the year ended December 31, 2021, presented both by classification and by fund:
<br />
<br />2021 2020 Change
<br />Net position of enterprise funds
<br />Total by classification
<br />Net investment in capital assets 18,373,335$ 17,248,962$ 1,124,373$
<br />Unrestricted 3,921,634 3,000,493 921,141
<br />Total enterprise funds 22,294,969$ 20,249,455$ 2,045,514$
<br />Total by fund
<br />Water 9,870,248$ 8,524,928$ 1,345,320$
<br />Sewer 7,022,865 6,598,119 424,746
<br />Surface Water Management 5,211,661 4,984,413 227,248
<br />Nonmajor Recycling 190,195 141,995 48,200
<br />Total enterprise funds 22,294,969$ 20,249,455$ 2,045,514$
<br />
<br />Enterprise Funds Change in Financial Position
<br />Net Position
<br />as of December 31,
<br />
<br />In total, the net position of the City’s enterprise funds increased by $2,045,514 during the year ended
<br />December 31, 2021. The increase in net position is primarily related to positive operating results and
<br />capital contributions for connection fees and capital grants recognized in the current year.
<br />
|