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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, 202 2 and
<br />2021, for governmental activities and business-type activities (utility fund operations):
<br />
<br />2022 2021 Change
<br />Net position
<br />Governmental activities
<br />Net investment in capital assets 28,318,503$ 27,474,959$ 843,544$
<br />Restricted 1,641,206 1,220,301 420,905
<br />Unrestricted 10,024,011 10,799,339 (775,328)
<br />Total governmental activities 39,983,720 39,494,599 489,121
<br />Business-type activities
<br />Net investment in capital assets 18,960,842 18,373,335 587,507
<br />Unrestricted 4,679,804 3,921,634 758,170
<br />Total business-type activities 23,640,646 22,294,969 1,345,677
<br />Total net position 63,624,366$ 61,789,568$ 1,834,798$
<br />As of December 31,
<br />
<br />Net position for governmental activities increased by $489,121 in 2022, as presented above. The
<br />investment in capital assets increased $843,544 this year, mainly due to the amount of construction
<br />activity in the current year. The remaining change in this category of net position typically depends on the
<br />relationship of the rate at which the City is adding capital assets, the rate capital assets a re being
<br />depreciated, and how the City finances the purchase and construction of capital assets. The restricted
<br />portion of net position increased $420,905, due to increases in the amounts restricted for tax increment
<br />purposes and park improvements. The decrease in unrestricted net position is due to changes in pension
<br />obligations and the City’s use of unrestricted funds for investment in capital assets.
<br />
<br />The change in net position for business-type activities is consistent with our earlier discussion of the
<br />utility operations, which are presented under the same, full accrual basis of accounting.
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