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Government-wide Financial Analysis
<br />As noted earlier, net assets may serve over time as a useful indicator of a government’s financial position. In the case of the City,
<br />assets exceeded liabilities by $21,117,555at the close of the most recent fiscal year.
<br />By far, the largest portion of the City’s net assets (59percent) reflects its investment in capital assets (e.g., land, buildings,
<br />machinery and equipment); less any related debt used to acquire those assets that are still outstanding. The City uses these capital
<br />assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City’s
<br />investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must
<br />be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.
<br />Summary of Net Assets
<br />Governmental ActivitiesBusiness-type Activities
<br />IncreaseIncrease
<br />20102009(Decrease)20102009(Decrease)
<br />Assets
<br />Current and other assets$5,654,390$9,338,395$(3,684,005)$3,597,296$3,701,352$(104,056)
<br />Capital assets16,118,27015,829,115289,1557,186,0097,502,889(316,880)
<br />Total assets21,772,66025,167,510(3,394,850)10,783,30511,204,241(420,936)
<br />Liabilities
<br />Noncurrent liabilities outstanding10,852,58613,740,170(2,887,584)13,89716,631(2,734)
<br />Other liabilities559,903553,8516,05212,024259,726(247,702)
<br />Total liabilities11,412,48914,294,021(2,881,532)25,921276,357(250,436)
<br />Net assets
<br />Invested in capital assets,
<br />net of related debt5,308,8314,725,463583,3687,186,0097,502,889(316,880)
<br />Restricted for
<br />Future expansion---71,63171,631-
<br />Debt service4,010,8243,887,817123,007---
<br />Unrestricted1,040,5162,260,209(1,219,693)3,499,7443,353,364146,380
<br />Total net assets$10,360,171$10,873,489$(513,318)$10,757,384$10,927,884$(170,500)
<br />An additional portion of the City’s net assets (19.3 percent) represents resources that are subject to external restrictions on how
<br />unrestricted net assets
<br />they may be used. The remaining balance of ($4,540,260) may be used to meet the City’s ongoing
<br />obligations to citizens and creditors.
<br />At the end of the current fiscal year, the City is able to report positive balances in all three categories of net assets, both for the
<br />City as a whole, as well as for its separate governmental and business-type activities. The same situation held true for the prior
<br />year.
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