2003-03-26 CC Packet - Laserfiche WebLink

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, . City of.Centerville February 6, 2003 Page Eleven BuDding Fee Reporting Requirement The 2001 Legislature provided for law MS 16B.685 which requires all municipalities to file an annual construction and development-related fee report to the Department of Administration. The first report will be due April 1, 2003 and will cover the year ended December 31,2002. The content of the report will be as follows: 1. The number and valuation of units for which fees were paid. 2. The amount of building permit fees, plan review fees, adminiRtrative fees, engineering fees, infrastructure fees and other construction (md development related fees. 3. The expenses associated with the municipal activities for which fees were collected. The first two items have always been available while the third may require additional effort to report the most accurate information. Most cities have not allocated indirect costs to the Building Department Some consideration of all the costs directly and indirectly related to providing Building Department services will help the City report the most accurate information. It doesn't appear that there is a consequence to reporting profitable operations but this information could be used for further lobbying efforts and legislation aimed at restricting the amount of the fees. If needed, we are prepared to provide assistance in completing the form. Governmental Aeeounting Standards Board (GASB) Statement No. 34, Basic Financial Statements - and Management's Discussion and Analysis - for State and Local Governments We have discussed GASB 34 in detail in our management letter each of the last two years. This statement is a major overhaul in the way government financial statements look and the information contained within. It is intended to make the City's annual financial report more user friendly for citizens, st8ft; council and those that provide resources to the City. We are prepared to offer assistance and direction on implementation but staff and council can find many resources relating to Statement #34 on GASB's web site (http://accounting.rutgers.edulraw/gasb/repmodeJ/index.h1m1). We have discussed some of the items needing preparation in advance of implementation with your Finance Director and listed below are some key dates and activities: Statement implementation date: Year ending, December 31, 2004 Items needing completion by City: lJifrastructure asset inventory: Year ending, December 31,2003 Capital asset inventory: Completed Management Discussion and Analysis Letter (MD&A): Year ending, December 31, 2004 The dates above are recommended timelines for completion but the City can complete any of them before the date identified. 1 1 * * * * * * This report is intended solely for the information and use of management, Council and the Minnesota Office of the State Auditor and is not intended to be and should not be used by anyone other than these specified parties. Our audit would not necessarily disclose all weaknesses in the system because it was based on selected tests of the accounting records and related data. The comments and recommendations in the report are purely constructive in nature, and should be read in this context. If you have any questions or wish to discuss any of the items contained in this letter, please feel free to contact us at your convenience. We wish to thank you for the opportunity to be of service and for the courtesy and cooperation extended to us by yourstaft: February 6, 2003 Minneapolis, Minnesota ~J ~~ ~~)LLP ABDO. EICK. & MEYERS. LLP Certified Public Accountants