|
Financial Analysis of the Government's Funds
<br /> As noted earlier,the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements.
<br /> Governmental funds. The focus of the City's governmental funds is to provide information on near-term inflows,outflows and
<br /> balances of spendable resources. Such information is useful in assessing the City's financing requirements. In particular,unassigned
<br /> fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year.
<br /> Activity in the City's major governmental funds is discussed below:
<br /> Fund Balance December 31, Increase
<br /> Major Funds 2014 2013 (Decrease)
<br /> General $ 1,319,013 $ 1,258,596 $ 60,417
<br /> The General fund balance has increased from 2013 and is strong moving into
<br /> The fund also transferred out$223,000 during the year
<br /> Debt Service $ 1,799,549 $ 1,832,254 $ (32,705)
<br /> The Debt Service fund decreased$32,705. The City manages cash flow in all
<br /> Debt Service funds and ensures adequate resources exist to fund future obligations.
<br /> Park $(1,103,264) S(1,086,915) $ (16,349)
<br /> The Park fund balance decreased about$16,000 from the previous year.
<br /> Which is due to interest paid on the interfund loan.
<br /> As of the end of the current fiscal year,the City's governmental funds reported combined ending fund balances of$2,481,639,a
<br /> decrease of$184,098 in comparison with the prior year. Approximately 8.6 percent of this total amount or$214,477 constitutes
<br /> unassigned fund balance,which is available for spending at the City's discretion. The remainder of fund balance($2,267,162)is not
<br /> available for spending because it is either: 1)nonspendable($25,069),2)restricted($1,961,220,or 3)assigned($280,873)for the
<br /> purposes described in the fund balance section of each balance sheet.
<br /> Proprietaryfunds. The City's proprietary funds provide the same type of information found in the government-wide financial
<br /> statements,but in more detail.
<br /> Unrestricted net position of the enterprise funds at the end of the year amounted to$4,280,196. The total increase in net position for
<br /> the funds was$327,605. Other factors concerning the finances of this fund have already been addressed in the discussion of the City's
<br /> business-type activities.
<br /> General Fund Budgetary Highlights
<br /> The City's General fund budget was not amended during the year. Revenues had a positive budget variance and expenditures had
<br /> negative budget variance,and overall the General fund had a net positive budget variance of$50,889.
<br /> Some of the significant variances can be briefly summarized as follows:
<br /> • Total revenue had a positive budget variance of$52,535. All revenue categories had positive variances,except for interest on
<br /> investments,property taxes,and fines and forfeitures.The City holds its investments to maturity and the market value decline
<br /> is temporary and will not affect the overall cash received.
<br /> • Total expenditures had a positive budget variance of$4,854. Total public safety and public works expenditures were over
<br /> budget by a total of$33,484 and$23,601,respectively. Total general governmental expenditures were under budget by
<br /> $56,533
<br /> • The city also transferred$223,000 from the General fund to other funds,which was$54,000 more than budget.City Council
<br /> approved a transfer of$54,000 which was authorized to fund future capital asset acquisitions.
<br /> -21-
<br />
|