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Regular City Council Meeting Monday, May 12,2014 Page 7 On Page 24 of the same report (General Indebtedness), Councilmember McGehee questioned the liability for the Fire Relief Fund. Finance Director Miller clarified that this listed outstanding debt issues, not total liability,just debt liabilities, with the Relief Association holding approximately$9 million in assets, which changed annually, with an estimated $200,000 unfunded for the long-term. Mr. Mayer referred to page 71 of that same report where a history of the fund was provided, based on actuarial data through 2012, with holdings of 8.2 million, and liability of $9 million, showing an approximate shortfall at this time of $$493,000. Mr. Mayer opined that this fund remained in good shape, and ac- counting information for that was done somewhat differently, as actuarial studies were spread out over thirty years and as an asset to the City was best to overfund it over a thirty year period. At the request of Councilmember McGehee, Mr. Miller advised that the break- down between commercial and residential property tax funding for the City fluc- tuated annually, with the current breakdown at 55% for residential and 45% for commercial properties, but subject to change over the long-term. Etten moved, McGehee seconded, acceptance of the 20143 Annual Financial Re- port from the independent auditing firm of Kern, DeWenter, Viere (KDV) as pre- sented by their representative, Matt Mayer. Councilmember Laliberte thanked Mr. Mayer and staff for the presentation and asked that Finance Director Miller share this information with the Finance Com- mittee as part of their due diligence function under ordinance. Roll Call Ayes: McGehee; Willmus; Laliberte; Etten; and Roe. Nays: None. c. Recognize Bond Rating Upgrade Finance Director Miller recognized the significant bond rating upgrade received from Standard & Poor's (S & P), one of the two municipal credit rating agencies commonly used throughout the State of Minnesota. Mr. Miller noted that this was a milestone event accomplished by the City Council's actions and direction to staff and overall financial performance of the City, as detailed in the Request for Council Action (RCA) dated May 12, 2014, and Attachment A. Ms. Terri Heaton from Springsted, the City's Financial consultant, was present to congratulate the City and its staff, and noted why this was a landmark moment for the City of Roseville, as she displayed the rating scale for investment grade