2002-05-22 WS Packet - Laserfiche WebLink

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CITY OF CENTERVILLE, MINNESOTA NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2001 Note 3: DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS. CONTINUED General Obligation Improvement Bonds The following hands were issued to finance various improvements and will be repaid primarily from special assessments levied on the properties benefiting from the improvements. Some issues, however, are partly financed by ad valorem tax levies. All special assessment debt is backed by the full faith and credit of the City. Each year the comhined assessment and tax levy equals 105 percent of the amount required for debt service. The excess of 5 percent is to cover any delinquencies in tax or assessment payments. Authorized Balance and Interest Issue Maturity at Issued Rate Date Date Year End G.O. Improvement Refunding Bonds of 1996 $ 605,000 4.40-4.50% 11-01-96 02-01-02 $ 130,000 G.O. Improvement Bonds of 1998 615,000 4.10-4.50 08-01-98 02-01-09 510,000 G.O. Improvement Refunding Bonds of 1998 245,000 4.71 07-01-98 02-01-03 100,000 G.O. Improvement Bonds of 2000 650,000 4.65-5.25 11-01-00 02-01-11 650,000 G.O. Improvement Bonds of 200 1 990,000 2.90-4.45 11-01-01 02-01-13 990,000 Total General Obligation Special Assessment Bonds $ 2 380.000 General Obligation Revenue Bonds The following bonds were issued to finance improvements to the water system. They will be retired by user charges and are backed by the full faith and credit of the City. G.O. Water Revenue Bonds of 1996 $ 410,000 5.05-5.40% G.O. Water and Sewer Revenue Bonds of 1998 720,000 4.15-4.80 08-01-96 07-01-98 02-01-08 $ 310,000 02-01-09 600.000 $ 910.000 Total General Obligation Revenue Bonds Capital Lease Payable During 1992, the City entered into a lease, with option to purchase, agreement as lessee for financing the construction of the City administration office and fire department. Title remains with the City so long as they are not in default of terms in the lease agreement. The lease agreement qualifies as a capital lease for accounting purposes and, therefore, has been recorded at the present value of the future minimum lease payments as of the date of its inception. $ 500,000 6.28% 09-16-92 02-01-03 $ 112732 Compensated Absences This liability represents vested benefits earned by employees through the end of the year, which will be paid at termination of employment in future years. Total Compensated Absences $ 14.451 -17-