2005-12-31 Annual Finance Report

Home Browse Search

Management's Discussion and Analysis As management of the City ofCenterville, Minnesota, (the City), we offer readers of the City's fInancial statements this narrative overview and analysis of the fmancial activities of the City for the fIscal year ended December 31, 2005. Financial Highlights . The assets of the City exceeded its liabilities at the close of the most recent fIscal year by $17,4 70,621 (net assets). Of this amount, $5,089,023 (unrestricted net assets) may be used to meet the City's ongoing obligations to citizens and creditors. . The City's total net assets decreased $1,028,229. . As of the close of the current fiscal year, the City's governmental funds reported combined ending fund balances of $5,663,244 a decrease of $2,308 in comparison with the prior year. Approximately 27.0 percent of this total amount, $1,529,573, is available for spending at the City's discretion, but has been designated for specifIc purposes. . At the end of the current fIscal year, unreserved fund balance for the General fund was $1,529,573, or 80 percent of total General fund expenditures. While these funds are not legally reserved, they are designated for future purposes. . The City's total debt decreased $57,250, 0.9 percent during the current fIscal year. Major activity in debt occurred from the issuance of $827,750 in bonds. The overall decrease resulted from the prepayment of 1998 GO Improvement bonds and GO Sewer/Water revenue bonds totaling $765,000 and regular bond payments totaling $120,000. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the City's basic fmancial statements. The City's basic fInancial statements comprise three components: 1) government-wide fInancial statements, 2) fund fInancial statements, and 3) notes to the fInancial statements. This report also contains other supplemental information in addition to the basic fInancial statements themselves. -1-