Laserfiche WebLink
<br />CITY OF ARDEN HfLLS, MINNESOTA <br />NOTES TO THE FINANCIAL STATEMENTS <br />DECEMBER 31 <br /> <br />.ote 5: OTHER INFORMATION - CONTINUED <br /> <br />lee Arena Financing <br /> <br />'n", '" R'" -,: A< F- 'T:', i <br />, 'co ".-- ~~. <br />~ , -." . '-, - - '.-~,:. '; <br /> <br />C. Commitments <br /> <br />The City, along \vith three other cities and Ramsey Coun~~o-mrcagreementdan~9~ e <br />Minnesota Amateur Sports Commission to provide fmancing of a four sheet ice arena. The agreement provides for <br />rental income to cover principal, interest and operating expenses_ In the case of default, each City will be <br />responsible for a specific portion of the debt, Tbe City's percentage is 15.5 percent of one of the four sheets and the <br />amount of the debt will not exceed $9,000,000 for all four sbeets in the complex, No expenditures were incurred <br />under this commitment in 2005. <br /> <br />D. Lake Johanna Volunteer Fire Department, Inc. <br /> <br />The City receives frre protection under a contract with the Lake Johanna Volunteer Fire Department, Inc. The <br />contract calls for annual payments and expires December 31, 2008 and allows renewal for two additional five-year <br />periods, The contract cost will be based ou the budget submitted by the tire department and approved by the City, <br />Capital costs are billed separately in addition to the contract rate. The amount expended under the contract was <br />$230,936 in 2005, <br /> <br />E, Employee Theft <br /> <br />. <br /> <br />During 2005, the City pressed charges against Sandra Berres7 Senior Accounting Clerk, for misappropriation of <br />assets, This employee was terminated in August 2005, !u March 2006, the charged individual plead guilty to five <br />counts of theft by swindle in the amount of nearly $225,000, The theft had taken place over five years, The City <br />expects to receive from insurance the entire amount less their deductible in 2006. <br /> <br />Note 6: PRIOR PERIOD ADJUSTMENT <br /> <br />A prior period adjustment was made to the beginning equity balances as follows: <br /> <br />Fund <br /> <br />Fund Balance <br />January 1,2005 <br />as Previously <br />Reported <br /> <br />Prior Period <br />Adjustment! <br />Restatement <br /> <br />Fund Balance <br />January I, 2005 <br />as Restated <br /> <br />Govermnental activities <br /> <br />$ 17,822,409 <br /> <br />$ <br /> <br />901.778 <br /> <br />$ 18,724.1 87 <br /> <br />The City reviewed the cost reported on a parcel ofland and determined it was not accurate. <br /> <br />. <br /> <br />-38- <br />