HomeMy WebLinkAboutCAFR-1991 COMPREHENSIVE
ANNUAL
FINANCIAL REPORT
of the
CITY OF BROOKLYN CENTER, MINNESOTA
For The Year Ended December 31, 1991
GERALD G. SPLINTER CITY MANAGER
Prepared by
THE DEPARTMENT OF FINANCE
Paul W. Holmlund, Director
(Member of Government Finance Officers
Association of the United States and Canada
Citv of Brooklvn Center
COMPREHENSIVE ANNUAL FINANCI,AL REPORT
Year Ended December 31� 1991
TABLE OF CONTE
NTS
Exhibit Page
Number Number
I. INTRODUCTORY SECTION
j Title Page
Tab1e of Contents
City Officials 1
I Organization Chart 2
City Manager's Letter 3
Finance Director's Letter 4- 12
Certificate of Achievement 13
I
II. FINANCIAL SECTION
Independent Auditors�s Report 14
A. General Purpose Financial Statements
(Combined Statements Overview):
Combined Balance Sheet Al1 Fund Types and
Account Groups 1 16 17
Combined Statement of Revenues, Expenditures
and Changes in Fund Balances All Governmental
Fund Types 2 18
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances Budget And Actual
General and Special Revenue Funds 3 19
Combined Statement of Revenues, Expenses and
Changes in Retained Earnings Proprietary
Fund Types 4 20
Combined Statement of Cash Flows
Proprietary Fund Types 5 21
Notes to Financial Statements 22 50
Citv of Brooklvn Center
COMPREHENSIVE ANNUAL FINANCIAL REPORT
Year Ended December 31. 19y1
TABLE
OF CONTENTS
Statement/
Schedule Page
Number Number
B. Combining and Individual Fund Financial Statements:
General Fund:
Balance Sheet
A-1 52
Statement of Revenues, Expenditures and
Changes in Fund Balance Budget
(GAAP Basis) and Actual A-2 53
Schedule_of Revenue Other Financing
Sources Budget and Actual S-1 54 56
Schedule of Expenditures Com ared to
Budget {GAAP Basis) P S-2
57 G2
Special Revenue Funds:
Combining Balance Sheet B-1 64
Combining Statement of Revenues,
Expenditures and Chan es i
g n Fund
Balances Budget and Actual B-2 65 66
Debt Service Funds:
Combining Balance Sheet C-1 68
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances C-2 b9
Capital Projects Funds:
Combining Balance Sheet D_1 �1
I
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances D_2 �2
Project-Length Schedule of Construction
Projects Capital Improvements Fund g-3 �g
Project-Len th Schedule
g of Construction Projects
Municipal State Aid Construction Fund S-4 74
Project-Length Schedule of Cons
truction Projects
Special Assessment Construction Fund S-5 75
Citv of Brooklvn Center
COMPREHENSIVE ANNUAL FINANCIAL REPORT,
Year Ended December 31� 1991
TABLE OF CONTENTS,
Statement/
Schedule Page
Number Number
Enterprise Funds:
Combining Balance Sheet E-1 77 78
Combining Statement of Revenues, Expenses and
Changes in Retained Earnings E-2 79 80
Combining Statement of Cash Flows E-3 81 82
Statement of Revenues, Expenses, and Changes in
Retained Earnings Municipal Liquor Fund E-4 83
Statement of Revenues, Expenses, and Changes
in Retained Earnings Golf Course Fund E-5 84
Statement of Revenues, E�enses, and Changes
in Retained Earnings Earle Brown
Heritage Center Fund E-6 85
Statement of Revenues, Expenses, and Changes in
Retained Earnings Recycling Refuse Fund E-7 86
Statement of Revenues, Expenses, and Changes
in Retained Earnings Water Utility Fund E-8 87
Statement of Revenues, E�enses, and Changes
in Retained Earnings Sanitary Sewer Fund E-9 88
Statement of Revenues, Expenses, and Changes
in Retained Earnings Storm Drainage Fund E-10 89
Internal Service Funds:
Combining Balance Sheet F-1 91
Combining Statement of Revenues, Expenses and
Changes in Retained Earnings F-2 g2
Co
mbining Statement of Cash Flows F-3 93
Agency Funds:
Statement of Changes in Assets and Liabilities
Employee Deferred Compensation Fund G 95
General Fixed Asset Account Group:
Schedule of Changes in General Fixed Assets
By Sources S-6 97
Citv of Brooklvn Center
COMPREHENSIVE ANNUAL FINANCIAL REPORT,
Year Ended December 31 1991
TABLE OF CONTENTS
Statement/
Schedule Page
Number Number
Schedule of General Fixed Assets
By Function and Activity g_� 98
Schedule of Changes in General Fixed Assets
By Function and Activity g_g 99
General Long-Term Debt Account Group:
Comparative Schedule of General Long-Term Debt H 101
Summary of Debt Service Requirements
to Maturity I 102
III. STATISTICAL SECTION Table Page
General Governmental Expenditures by Function Number Number
1 104
General Governmental Revenues and Other
Financing Sources By Source 2 105
Tax Levies and Tax Collections 3 106
Assessed Value and M
arket Value of All Taxable
Property 4 107
Direct and Overlapping Tax Rates and Tax Levies 5 108
Special Assessment Billings and Collections 6 109
Ratio of Net
Bonded Debt to Assessed Value and
Net Debt Per Capita 7 110
Computation of Legal Debt Margin g
111
Computation of Direct and Overlapping Debt 9 112
Ratio of Annual Debt Service Expenditures for
General Bonded Debt to Total General Expenditures 10 113
Schedule of Water Revenu
e Bond Coverage 11 114
Property Value and Construction 12 115
Principal Taxpayers 13 116
Schedule of Insurance Coverage 14 117-118
Demographic Statistics 15 119
Miscellaneous Statistical Facts
16 120-121
Citv of Brooklvn Center
CITY OFFICIALS
For the Year Ended December 31� 1991
E
LECTED OFFICIALS
Term of Office Term Expires
Mayor Todd Paulson Four Years 12/31/94
Councilwoman Celia Scott Four Years 12/31/94
Councilman David Rosene Four Years 12/31/94
Councilman Gerald Pedlar Four Years 12/31/92
Councilman Philip Cohen Four Years 12/31/92
APPOINTED OFFICIALS
City Manager Gerald G. Splinter
City Clerk Gerald G. Splinter
City Treasurer Paul W. Holmlund
City Attorney Holmes Graven
City Prosecutor Carson Clelland
Department Heads:
Finance Paul W. Holmlund
Public Works Sy Knapp
Police James Lindsay
Fire Ronald Boman
Planning Inspection Ronald Warren
Recreation Arnold Mavis
Assessing
Liquor Stores Mark Parish
Gerald Olson
Personnel Coordinator Geralyn Barone
EDA Coordinator Brad Hoffman
City Engineer Mark Maloney
Public Works Superintendent Richard Schwab
Health Officer Duane Orn, M.D.
Fire Marshall Ronald Boman
Sanitarian Pam Foster
Civil Defense Coordinator James Lindsay
-1-
ORGANIZATION CHART COUNCIL-MANAGER PLAN
City of Brooklyn Center, Minneso#a
ADVISORY
CHARTER COMMISSION
Various Ad Hoc Committees ELECTORATE (appointed by district court)
ADVISORY
Housing Commission
CITY ATTORNEY
ADVISORY
CITY COUNCIL
Human Rights 8� Resources Commission PERSONNEL COORDINATOR
ADVISORY
EDA COORDINATOR
i
Parks Recreation Commission
CITY MANAGER I
N
I
ADVISORY cmr C�ERK f DIRE R
Planning Commission f ,q i EARLE
Emergency BROWN
Prepared- HERITAGE
ness CENTER
�DIRECTOR� �DIRECTOR� �DIRECTOR��
CHIEF DIRECTOR CHIEF MANAGER �DIRECTOR ASSESSOR�
Planning of Finance of
and Recreation Department Police ��viron- Volunteer Liquor Public Tax
Inspection I Cit mental ��re Stores Works Assessment
De artment Department De artment De artment
P Treas�irer p P epartment�
_i r� �a-- Health q r
I I I I I
Golf Recreation i ,r
Course Programs Park Government Public
Maintenance Buildings Engineering Street Utilities
Centerbrook Community Division Division Division Division Division
�'A �l _Center
a
CITY 6301 SHINGLE CREEK PARKWAY
oF BROOKLYN CENTER, MINNESOTA 55430
B ROOK LY N TELEPHONE: 569-3300
C E N T ER FAX: 569-3494
EMERGENCY POLICE FIRE
911
June 8, 1992
HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
CITY OF BROOKLYN CENTER
I hereby transmit the Comprehensive Annual Financial Report of the
City of Brooklyn Center for the fiscal year ended December 31,
1991. Minnesota Statutes and City Charter, Section 7.12, require
that the financial statements of the City of Brooklyn Center be
audited by the State Auditor or a certified public accountant
selected by the City Council. This requirement has been complied
with by the engagement of the firm of Deloitte and Touche and their
report is included in the financial section of this report.
This report has been prepared following the guidelines recommended
by the Government Finance Officers Association of the United States
and Canada. The Government Finance Officers Association awards
Certificates of Achievement for Excellence in Financial Reporting
to those governments whose Comprehensive Annual Financial Reports
are judged to conform substantially with high standards of public
financial reporting, including generally accepted accounting
principles promulgated by the Governmental Accounting Standards
Board. Our financial reports for the past eight years have
received this award. It is my belief that the accompanying report
meets program standards, and it will be submitted to the Government
Finance Officers Association for review.
Respec fu ly submitted
ra d p in e
City M ager
c,TY 6301 SHINGLE CREEK PARKWAY
BROOKLYN CENTER, MINNESOTA 55430
B ROOK LY N TELEPHONE: 569-3300
C ENTER FAX: 569-3494
EMERGENCY POLICE FIRE
911
June 8, 1992
Mr. Gerald G. Splinter
City Manager
City of Brooklyn Center
Dear Mr. Splinter:
The comprehensive annual financial report of the City of Brooklyn
Center for the fiscal year ended December 31, 1991, is hereby
submitted. Responsibility for both the accuracy of the data, and
the completeness and fairness of the presentation, including all
disclosures, rests with the government. To the best of our
knowledge and belief, the enclosed data are accurate in all
material respects and are reported in a manner designed to present
fairly the financial position, results of operations, and cash
flows of the various funds and account groups of the government.
All disclosures necessary to enable the reader to gain an
understanding of the government's financial activities have been
included.
The comprehensive annual financial report is presented in three
sections: introductory, financial, and statistical. Included in
the introductory section is this transmittal letter, the
government's organizational chart and a list of principal
officials. The financial section includes the general purpose
financial statements and the combining and individual fund and
account group financial statements and schedules, as well as the
independent auditors' report on the general purpose financial
statements and schedules. The statistical section includes
selected financial and demographic information, generally presented
on a multi year basis.
The government is required to undergo an annual single audit in
conformity with the provisions of the Sin le Audit Act of
U.S. Office of Management and Budget C g cular A-128, Aud ts a of
State and Local Governments. Information related to this single
audit, including the schedule of federal financial assistance,
findings and recommendations, and independent auditors' reports on
the internal control structure and compliance with applicable laws
and regulations, are issued as a separate report.
�ui�an
�'�II�'�
The City provides the full range of municipal services contemplated
by statute or charter. This includes public safety (police and
fire), streets, sanitation, health and social services, culture-
recreation, public improvements, planning and zoning, and general
administrative services. The City also operates three off-sale
liquor stores, a public water and sewer utility, a golf course, and
a convention center known as the Earle Brown Heritage Center. Net
revenue produced in excess of working capital requirements by the
municipal liquor stores operations have been used toward financing
current expenditures and capital outlays of.the General Fund.
REPORTING ENTITY
In accordance with Governmental Accounting Standards Board
pronouncements, the City's financial statements include all funds,
account groups, departments, agencies, boards, commissions, and
other organizations over which City officials exercise oversight
responsibility.
Oversight responsibility includes such aspects as appointment of
governing body members, budget review, approval of property tax
levies, outstanding debt secured by the City�s full faith and
credit or revenues, and responsibility of funding deficits.
As a result of a 1 i
pp y ng this criteria, certain organizations have
been included or excluded from the City's financial statements, as
ollows:
INC
LtTDF
D.
Housing and Redevelopment Authorit
Authority in and for the City of Br o C nter EDA Development
Y
HRA and EDA were created by the City to provide housing and
redevelopment assistance to Brooklyn Center citizens. They provide
this assistance through the administration of various programs.
Inasmuch as their governing boards are appointed by the City
Council, the Council reviews and approves tax levies, the City
provides major community development financing for their
activities, and the City Manager is the Executive Director, they
are considered to be component units for the City.
I EXCLUDED•
The Brooklyn Center Fire Department Relief Association.
This association is organized as a non-profit organization by its
members to provide pension and other benefits to such members in
accordance with Minnesota statutes. The board of directors is
elected by the membership of the organization. Al1 funding is
conducted in accordance with Minnesota statutes, whereby state aids
flow to the association, tax levies, if necessary, are determined
by the association and are only reviewed by the City, and the
association pays benefits directly to its members. Because the
-5-
i
association is able to fu
nd its programs independently of the City,
it is excluded from the reporting entity.
�i Independent School District No. 286 (Earle Brown)
Independent School District No. 279 (Osseo)
Independent School District No. 281 (Robbinsdale)
Independent School District No. 11 (Anoka)
Independent School District No. 287 (Suburban Hennepin County Area
Vocational Technical Institute)
These districts, like all school districts in Minnesota are
completely independent of any other governmental entity. They have
their own elected Board of Education, levy their own taxes and
prepare and issue their own financial reports.
ECONOMIC CONDITION AND OUTLOOK
Brooklyn Center is a first rin suburb
g on the north-west corner of
Minneapolis. Its commercial district is anchored by the Brookdale
Shopping Center which was built in the 1960s. Other retail and
commercial businesses have grown up around the center and vacant
land exists to the northeast for a substantial amount of additional
business development. The business district is located at the
intersection of four maj or highways which make it a very attractive
location.
Commercial development has been hurt by the soft national market
for real estate. In spite of this, there has been some commercial
construction, including an Olive Garden Restaurant, and additions
to the Marquette Bank and the Johnson Controls industrial building.
The reatest
g threat to the City s financial condition seems to come
from the State of Minnesota. The state appears to have made open
ended commitments to health care, nursing home care, and welfare.
These programs are experiencin ra idl increasin
g P Y g costs, causing
annual budget crisis for the state. Even though the portion of the
sales taxes collected by the state and shared with cities represent
only about 5% of the state budget, that is where it appears the
state turns first to make cuts. This always happens after the
cities have set their budgets, leaving them no chance to raise
other revenues. For 1992, instead of cutting the shared taxes, the
state is extending the sales tax to city purchases.
MAJOR INITIATIVES
During 1990, the city began reconstruction of 69th Avenue North, a
major collector street on the north side of the city. This four
year, $6,000,000 project will widen the street to provide a center
left turn lane, right turn lanes, better through traffic capacity,
and buffer strips between the street and neighborhood. Solving the
bottleneck condition which has existed will improve the City's
transportation network. State aid street bonds in the amount of
$3,000,000 were sold in September 1991 to help fund the project.
Other major funding is from state shared gasoline taxes.
-6-
The City of Brooklyn Center, along with three nei hborin cities
joined to form the North Metro Convention Bureau. Revenues for the
Bureau come from a 3� lodging tax on all hotel and motel rooms in
the four cities. The Bureau's purpose is to promote conventions,
many of which use the facilities of the Earle Brown Heritage
Center. Conventions also generate business for the five hotels,
and the many restaurants and retail stores in and around the
Brookdale shopping center.
In order to understand the changing needs of its population, the
City of Brooklyn Center authorized Maxfield Research Group to
conduct an extensive study of the housing market in the community
and changes which are impacting the community's ability to retain
and attract households. This study presents an extensive survey of
neighborhoods, demographic and housing market data analysis, survey
of apartments, and interviews with persons knowledgeable about the
housing market. From the findings, strategies are suggested for
maintaining and improving the marketability of neighborhoods and
serving the changing needs of residents.
As a result of this study, the City has added a housing coordinator
and launched a new program to redevelop blighted houses in older
neighborhoods. Funding is from the H.R.A.'s tax revenue and the
interest off a$1,000,000 account that was set aside from surplus
funds from a debt service fund.
The City again retained Maxfield Research Grou in 1991 to stud
P
offic
e
Y
retail, industrial and hospitalit markets and
Y make
recommendatio
ns.
Five districts have been evaluated due to thei
r
ro
mine
P nce in the community, and perceived under utilization. The
study identified numerous opportunities for redevelopment, mostly
for industrial sites, which will be ursued
p in the comin ears.
9 Y
FINANCIAL INFORMATION
Management of the government is res onsible for
maintainin a P establishing and
g n internal control structure designed to ensure that
the assets of the government are protected from loss, theft or
misuse and to ensure that adequate accounting data are compiled to
allow for
the
pre aration of
P financial statements in conformity
with generally accepted accounting principles. The internal
control structure is designed to provide reasonable, but not
absolute, assurance that these objectives are met. The concept of
reasonable assurance recognizes that: (1) the cost of a control
should not exceed the benefits likely to be derived; and (2) the
valuation of costs and benefits requires estimates and judgments by
management.
Sinale A
udit.. As a recipient of federal, state and county
financial assistance, the government also is responsible for
ensuring that an adequate internal control structure is in plaee to
ensure compliance with applicable laws and regulations related to
those programs. This internal control structure is subject to
periodic evaluation by management and the independent auditors.
-7-
As a part of the government's sin le audit
g described earlier,
tests are made to determine the adequacy of the internal control
structure, including that portion related to federal financial
i assistance programs, as well as to determine that the government
has complied with applicable laws and regulations. The results of
the government's single audit for the fiscal year ended December
31, 1991 provided no instances of material weaknesses in the
internal control structure or significant violations of applicable
laws and regulations.
Budctetina Controls. In addition the overnment
g maintains
budgetary controls. The objective of these budgetary controls is
to ensure compliance with legal provisions embodied in the annual
appropriated budget approved by the government's governing body.
Activities of the general fund and special revenue funds are
included in the annual appropriated budget. Project-length
financial plans are adopted for the capital projects funds. The
level of budgetary control (that is, the level at which
expenditures cannot legally exceed the appropriated amount) is
established by department. Appropriations lapse at year end and
generally are not reappropriated as part of the following year's
budget.
As demonstrated by the statements and schedules included in the
financial section of this report, the government continues to meet
its responsibility for sound financial management.
General Fund Functions. The following schedule presents a summary
of general fund revenues for the fiscal year ended December 31,
1991 and compares them to 1990.
General Fund Revenues Other Financinc{ Sources
Increase
of -Decrease
1991 Total 1990 From 1990
Taxes $4,274,089 43.5% $3,854,798 419 291
License permits 311,751 3.2% 297,495 14,256
Intergovernmental
revenue 2,926,570 29.8% 3,201,888 -275,318
Charges for
services 881,213 8.9% 919,537 -38,324
Court fines 202,090 2.0� 215,804 -13,714
Misc revenues 360,800 3.7% 443,623 -82,823
Other financing
sources ___877,4�� 8.9°s 174,925 702,552
TOTAL $9,833,990 100.0% $9,108,070 725,920
The large decrease in inter ov
g ernmental revenue is the result of a
decision by the State of Minnesota to decrease its local government
aid. By the mechanism of the levy limitation laws, this in turn
-8-
forces there to be a large increase in the Cit 's ro ert tax
xevenues. Other financing sources increased because he City, for
the first time in 1991, issued $700,000 of certificates of
indebtedness to finance capital outlays.
The following schedule presents a summary of general fund
expenditures for the fiscal year ended December 31, 1991 and
compares them to 1990.
General Fund Expenditures
Increase
of -Decrease
1991 Total 1990 From 1990
General Government $1,591,108 16.0% $1,570,143 $20,965
Public Safety 3,950,862 39.8% 3,474,108 476,754
Public Works 1,827,052 18.4% 1,866,847 -39,795
Community Services 104,706 1.0% 114,633 -g,g2�
Parks Recreation 1,870,385 18.8% 1,842,294 28,091
Economic
Development 177,179 1.8% 169,942 7,237
Non-Departmental 414,149 4.2� 396,550 17,599
TOTAL $9 935 441
100.00 $9,434,517 $500,924
Public Safety expenditures for the Police De a
p rtment were increased
by the addition of two police offices, part time clerical
employees, and a domestic abuse coordinator. Supplies, contractual
services, and capital outlays were all increased to support the
higher overall level of activity. The Fire Department purchased
a new pumper at a cost of $269,748.
GENERAL FUND BALANCE
When the 1991 General Fund budget was adopted by the City Council,
a portion of the fund balance in the amount of $289,525 was
dedicated to finance the 1991 appropriations. The fund balance
actually decreased by only $101,451 or 1.95% in 1991. The ending
fund balance of $5,108,575 is the equivalent of five months of
expenditures for the 1992 budget. General property taxes and
intergovernmental revenue represent 65% of the budgeted general
fund revenue for 1992. The State of Minnesota has structured city
finances so all of these revenues are received in the second half
of the fiscal year. Minnesota cities typically receive as little
as 10% of their revenues in the first six months of the year. In
recognition of this fact, a portion of the fund balance is being
designated for working capital. The unreserved, undesignated fund
balance has decreased to zero as a result of this designation.
The City compensates all employees u on termin
P ation for unused
vacation and one third of unused sick time. Such pay is accrued as
a liability and an expenditure/expense as it is earned in all funds.
-9-
ENTERPRISE OPERATIONS
The City's enterprise operations are comprised of seven separate
and distinctive activities: Liquor stores, Golf Course, Earle
Brown Heritage Center, Recycling, Water utility, Sanitary Sewer
utility, and Storm Drainage utility. The liquor operation is
composed of three stores. Two are city owned and one is leased.
In May 1989 a new long-term lease was signed for the third store
and it was remodeled to improve visibility and access. Sales and
profits at this store have improved as a result of the remodeling.
Centerbrook Golf Course began operating in 1988 and began operating
at a profit in 1990. Green fees have been increasing each year to
keep pace with inflation. Expectations are for the golf course to
continue to be profitable and it has begun to pay back its
construction loan.
The Ear1e Brown Heritage Center is a pioneer farmstead which has
been historically preserved and restored as a modern multipurpose
facility. Its convention center can host conferences, trade shows,
and concerts seating 1,000 people in either banquet or theater
style. The Inn On The Farm is a bed and breakfast with eleven
rooms available to complement convention activities or to be rented
individually. Several of the barns have been restored as unique
office settings which have found a niche in the market.
The dwindling supply of landfill space for the disposal of garbage
has become a major concern in Minnesota. State and count mandate
goals for the diversion of arba e to rec clin y d
9 9 y g programs took
effect in 1989. In response, the City opened a Recycling and
Refuse Fund as an enterprise fund. So far it is operating a
recycling program. Expansion into garbage collection will take
place when there is clear advantage to be achieved by it. Goals
for the recycling program are being met.
The Water and Sanitary Sewer utilities are largely developed and
already reach all parts of the City. Rates for both water and
sanitary sewer are being increased each year to cover inflation and
the need for new capital outlays. Three fourths of the sewer
operating expenses are fees paid to the Metro Waste Control
Commission for sewage treatment and those fees increased 8.6� in
1991. Increasing operating expenses and decreasing investment
earnings are lowering net income for these funds. Planned rate
increases should be sufficient to keep them both profitable.
During the 1980s, the State of Minnesota passed legislation that
requires cities to take greater responsibility for controlling
st
orm wat
er runoff. In res onse
to this
P the Cit created a St
Drai y
na e U
tilit Fund.
g y Its fee structure is based u o
n the amou
p nt
of water discharged into the storm sewer system. During the first
I� two years, this utility will concentrate on doing an engineering
study to determine where problems exist with the existing system of
storm sewers and the storm water runoff they need to handle. Then
I construction of holding ponds and sewer facilities will ha en.
I� PP
-10-
AGENCY FUND
The Deferred Compensation Agency Fund accounts for the I.C.M.A.
Retirement Corporation plan with a market share value totaling
$2,046,095 for City employee plan members at year end.
DEBT ADMINISTRATION
At December 31, 1991, the City had eight debt issues outstanding.
These issues included $610,000 of general obligation bonds,
$450,000 of certificates of indebtedness, $3,000,000 of state aid
street bonds, $11,775,000 of tax increment debt with government
commitment, $530,000 of special assessment debt with a contingent
liability and $45,000 of water revenue bonds. The City has an A-1
rating from Moody's Investors Service. Under current state
statutes, general obligation bonded debt issuances are subject to
a legal limitation based on 2.0 percent of total estimated value.
As of December 31, 1991, the general obligation bonded debt of
$610,000 was well below the legal limit of $20,422,759 and debt per
capita equalled $4.29, compared to $17.40 at December 31, 1990.
Two bond issues were sold during the year. They were General
Obligation Tax Increment Bonds for $6,050,000 and General
Obligation State Aid Street Bonds for $3,000,000. Certificates of
Indebtedness were sold for the first time in 1991 to finance the
purchase of capital equipment in the General Fund. These $700,000
certificates will be repaid over three years from property taxes.
CASH MANAGEMENT
The Finance Department keeps abreast of current trends and
procedures for cash management and forecasting so as to insure
efficient and profitable use of the City's cash resources. Cash is
invested only in investments authorized by Minnesota Statutes
Chapter 475. The yield on investments ranged from a high of 12.0
percent to a low of 4.25 percent. Interest earned during 1991
amounted to $2,139,499 compared to $2,283,402 during 1990. The
City's written investment policy is to minimize credit and market
risk, while maintaining a competitive yield on its portfolio.
All deposits were either insured by federal depository insurance or
collateralized. At year end, all deposits were collateralized.
Cash b
alances for all funds of the City are maintained on a
combined basis and invested to the extent ossible i
p n short term
securities. Earnings from securities are allocated to the various
funds in proportion to their relative cash book balances. In the
recent past, the City hasn't needed to use any short-term debt and
doesn't anticipate such a need in the future.
RISK MANAGEMENT
The City insures all significant risk. A schedule of such
insurance is included in the Statistical Section.
-11-
INDEPENDENT AUDIT
The City Charter and State Statutes require the Council to provide
for an audit of the financial transactions of the Cit Deloitte
Touche has been retained for that ur ose and their
opinion has been included in this report. �alified
CERTIFICATE OF ACHIEVEMENT
The Government Finance Officers Association. of the United States
and Canada (GFOA) awarded a Certificate of Achievement for
Excellence in Financial Reporting to the City of Brooklyn Center
for its comprehensive annual financial report for the fiscal year
ended Deeember 31, 1990.
In order to be awarded a Certificate of Achievement for Excellence
in Financial Reporting, a governmental unit must publish an easily
readable and efficiently organized comprehensive annual financial
report, whose contents conform to program standards. Such reports
must satisfy both generally accepted accounting principles and
applicable legal requirements.
A Certificate of Achievement is valid for a period of one year
only. We believe our current report continues to conform to
Certificate of Achievement Program requirements, and we are
submitting it to GFOA to determine its eligibility for another
certificate.
ACKNOWLEDGEMENTS
The preparation of this report on a timely basis could not be
accomplished without the efficient and dedicated services of the
entire staff of the Department of Finance. We would like to
express our appreciation to all members of the Department, with
special recognition to Tim Johnson, Accountant. We would also like
to thank the Mayor, Council members and the City Manager for their
interest and support in planning and conducting the financial
operations of the City in a responsible and progressive manner, and
the independent auditors for their valuable and willing assistance.
Respectfully submitted,
�a�, w. �I-
Paul W. Holmlund
Director of Finance
I� �1 a�,aa,r,
Charles R. Hansen
Assistant Director of Finance
-12-
Certlfl t o
f
ca e
Achlevement
f r Ex n
o ce e ce
�z
in Fin�ancia_
Ae�ortln
g
Presented to
City of Brook�yn Center,
Mlnnesota
For its Comprehensive Annual J
Financial Keport
for the Fiscal Year Ended
December 31, 1990
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Govemment Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFF�s) achieve the highest
standards in government accounting
and financial reporting.
��;,E OFFj�,�
u� ANDSfA1ES y
N
O
d ca�nanm, President
"'��F.KY. �ti
O �IlCA6�
Executive Director
Deloitte
Touche
900 Pillsbury Center Telephone: (612) 333-2301
Minneapolis, Minnesota 55402-1483 Facsimile: (612) 375-5418
INDEPENDENT AUDITORS' REPORT
The Honorable Mayor and Members
of the City Council of the
City of Brooklyn Center, Minnesota
We have audited the accompanying general purpose financial statements of the City of Brooklyn Center,
Minnesota (the City) as of December 31, 1991 and for the yeaz then ended, listed in Section II of the
foregoing table of contents. These general purpose financial statements are the responsibility of the City's
management. Our responsibility is to express an opinion on these general purpose financial statements
based on our audi�
We conducted our audit in accordance with generally accepted auditing standards and Government
Auditing Standards, issued by the Comptroller General of the United States. Those standards require that
we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial
statements are free of material misstatemenG An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the general purpose financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
In our opinion, such general purpose financial statements present fairly, in all material respects, the
financial position of the City of Brooklyn Center, Minnesota at December 31, 1991 and the results of its
operations and cash flows of its proprietary fund types for the year then ended in conformity with
generally accepted accounting principles.
Our audit was conducted for the purpose of forming an opinion on the general purpose financial
statements taken as a whole. The accompanying combining and individual fund and account group
financial statements and schedules listed in the foregoing table of contents, which are also the
responsibiliry of the City's management, are presented for purposes of additional analysis and are not a
required part of the general purpose financial statements of the City. Such financial statements and
schedules have been subjected to the auditing procedures applied in our audit of the general purpose
financial statements and, in our opinion, are fairly stated in all material respects when considered in
relation to the general purpose financial statements taken as a whole.
Apri110,1992
Membe�
nn�
�:::International
C'
ity of Brooklyn Center, Minnesota
GENERAL PURPOSE FINANCIAL STATEMENTS
The general purpose financial statements are intended to provide a
financial overview of municipal operations. These reports are at
a summary level and include that data needed to control and analyze
current operations to determine compliance with legal and budgetary
limitations and to assist in the financial planning process.
-15-
City of Brooklyn Center EXHIBIT 1
All Fund Types and Account Groups
COMBINED BALANCE SHEET (Continued next page)
December3l, 1991
Fiduciary Totals
Governmental Fund Types Proprietary Fund Types Fund Types Account Groups (Memorandum Only)
General Generai
Special Debt Capital Internal Fixed Long-Term December 31,
General Revenue Service Proiects Enter�rise Service Anencv Assets Debt 1991 tg9p
ASSETS
Caeh, cash equivalents and temporary
cash investments (Notes 2 3) $6,235,869 $62.481 $3,599,268 $12,825,626 $4,287.897 $961.188 $27,772.330 $24.372,047
Receivables:
Accounts 42,804 2,020 707,817 752,241 575,504
Delinquent Taxes (Note 11) 189,847 55,078 5,157
Special assessments: 249.882 221,097
i Deferred 33,963 797,085 1,330,718 105,688 2,267,454 2,577,218
F"' Delinquent 1,440 8,700 22,22g 2,g9p
Due from other funds (Note 12) 35,05B 36,880
86,922 68,922 156,109
Due from other governments 15,284 66,922 810,559 118,117 1,010,882 1,891,563
Inventories and supplies (Note 1 G) 315,085 315,085 327,197
Prepaid expenses 125,186 125,186 107,942
Interfund advances {Note 12) 105,074 1,929,964 2,035,038 2,031,294
Restricted investments (Note 6) 1,000,000 4,121,755 5,121,755 4,123,510
Investments for deferred compensation
plan at market (Note 14) $2,048,095 2,048,095 1,793,006
Property, plant and equipment (Note 4) 32,291,919 $14,243,174 46,535,093 44,467,819
Less accumulated depreciatlon (6,482,85� (6,462,65� (5,806,036)
Amount available in Debt Service Funde
Amount to be provided for General Long-
$3,634,878 3,634,878 4,588,753
Term Debt
12,730,122 12,730,122 2,986,247
Total Assets $6,588,478 $166,g26 $4,460,132 $17,791,172 $35,613,297 $981,188 $2,046,095 $14,243,174 $16,365,000 $98,235,382 $84,430,248
-s---�---
====a==�= =====s===
(See notes to financial statements)
City of Brooklyn Center EXHIBIT 7
All Fund Types and Account Groups
COMBINED BALANCE SHEET (Continued from prior page)
December 31, 1991
Fiduciary Totals
Governmental Fund Types Proprietary Fund Types Fund Types Account Groups (Memorandum Only)
General General
Special Debt Capital Internal Fixed Long-Term December 31,
LIABILITIES, EQUITY AND OTHER CREDITS General Revenue Service Pro'ects Enter�rise Service Apency Assets Debt 19g1 1g9p
Liabilities
Accounts payable $510,289 $6,863 $215,401 $505,275 $1,237,828 $1,171,096
Due to other funds (Note 12) 66,922 66,922 156,109
Accrued salaries and wages 286,020 29,952 $196,869 512 841 261 994
Accrued vacation 8 sick pay (Note 1 J) 520,012 39,485 559,497 518,375
Temporary improvement notes (Note 3) 1,779,215 1,826,246 8,000 3,413,461 8,456,B58
Deferred revenue 163,582 35,403 $825,254 2,168,660 3,192,899 4,357,753
Interfund advancee 698,143 1,336,894 2,035,037 2,031,294
Revenue bonds payable (Notes 5� 6) 45,000 45,000 90,000
General obligation bonds payable (Note 5) $1,060.000 1,060,000 950,000
State aid street bonds payable (Note 5) 3,000,000 3,000,000
Specfal assessment bonds payable (Note 5) 530,000 530,000 745,000
Tax increment bonds payable (Note 11,775,000 1 t,775,000 5,880,000
Deferred compensation funde held for participants (Note 14) -_Y $2,048,095 2,048,095 1,793,008
Total Liabilities 1,479,903 2,586,546 825,254 4,010,307 1,964,608 196,869 2,048,095 18,365,000 29,474,580 26,391,285
Eauitv and Other Credits
Contributed capital (Note S) 22,087,103 22,087,103 22,008,877
Invested in general fixed aseete $14,243,174 14,243,174 13,831,847
Retained earnings:
Reserved:
Debt retirement (Note 6) 121,755 121,755 123,510
Special assessments 108,378 108,378 98.178
Plant expansion (Note B) 4,000,000 4,000,000 4,000,000
Unreserved 7,351,455 784,319 8,115,774 6,803,355
Fund Balances (Deficits):
Reserved:
Debt service 3,634,878 3,634,878 4,588,753
Unexpended appropriations 1,142,851 1,142,651 878,925
Dedicated housing account 1,000,000 1,000,000
Interfund loane 105,074 1,929,964 2,035,038 2,081,294
Bond proceeds 2,082,073 2,062,073
Unreserved:
Designated:
Working capital 4,656,444 4,656,444 4,778,969 I
Unexpended appropriations 347,057 347,057 325,983
Undesignated (2,419.720) 7,648.177
5,226,457 (1,278.328)
Total Equitv and Other Credite 5,108,575 (2,419,720) 3,834,878 13,780,885 33,648,891 784,319 14,243,174 88,780,782 58,038,983
TOTAL LIABILITIES, EQUITY OTHEH CREDITS $6,588,478 $168,826 $4,460,132 $17,791,172 a35,613,297 5881,188 $2,046,095 a14,243,174 $18,385,000 $98,235,362 $84,430,248
==s: �====�==a�:===___�___�___�_____
�5�� C��S���S �S��ZS�� ��S��S ������5'd �S��S��� ����C��� �����C�� ������3
S�S��ffi� 5
(See notes to financial statements) I
City of Brooklyn Center EXHIBIT 2
All Govemmental Fund Types
COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
For the Year Ended December 31, 1991
Totals
Special Debt Capital (Memorandum Only)
Revenues General Revenue Service Proiects 1991 199p
Taxes and special assessments $4,274,089 $1,394,324 $1,037,782 $474,990 $7,181,185 $5,900,442
Licenses and permits 311,751 311,751 297,495
Intergovernmental 2,926,570 180,440 128,939 1,836,213 5,072,162 4,823,715
Charges for services gg1,2�3 qg,7qq 930,957 1,323,691
Court fines 2p2,pgp 202,090 215,804
Investment earnings 323,106 346 266,896 824,793 1,415,141 1,545,524
Miscellaneous 37,694 253,069 290,783 155,qgg
Total Revenues 8,956,513 1,624,854 1,433,617 3,389,065 15,404,048 14,362,140
Exuenditures
Current:
General government 1,591,108
Public safety 1.591.108 2,013,135
3.950,862 3.950,862 3,474,108
Public works �,g27,p52 1,827,052 1,929,950
Community health services 104,706 104,706 114.633
Parks and recreation 1,870,385 56,310 1,926,695 1,947,153
Economic development 177,179 82,574 318,289 578,042 5,431,068
Non-departmental 414,149 414,149 396,550
Capital outlay 380,729 2,416,189 2,796,918 3,805,644
Debt service:
Principal retirement 940,000 940,000 530,000
Interest and fiscal charges 2pg,qqg 75p,pg7 �35,pgq 1,� �5,027 740,837
Totai Exnenditures 9,935,441 749,059 1,890,287 2,869,772 15,244,559 20,383,078
Excess/Deficiencv(-) of Revenues Over Exoenditures (978,928) 875,795 (256,670) 519,293 159,490 (6,020,938)
Other Financina Sources or Uses(-1
Operating transfers in 177,477 1,266,100 629,454 2,073,031 2,908,529
Operating transfers out (1,743,29� (540,864) (2,284,261) (3,228,229)
Sale of bonds 5,996,855 3,000,000 8,996,855
Sale of certificates of indebtedness 700,000 700,000
Total Other Financina Sources or Usesf-1 877,477 4,253,558 1,266,100 3,088,490 9,485,625 (319,700)
Excess or Deficiencv(-1 of Revenues and Other
Sources Over 6coenditures and Other Uses Before
Cumulative Effect of Accountina Chanae (101,451) 5,129,353 1,009,430 3,607,783 9 645 115 6
,340,638
I
Cumulative Effect of Accounting Change (Note1� (1,633,835)
Excess or Deficiencv(-1 of Revenues and Other
Sources Over Exoenditures and Other Uses
and Cumulative Effect of Accountina Chans�e
(101,451) 5,129,353 1,009,430 3,607,783 9,645,115 (7,974,473)
Fund Balances (Deficitsl Januarv 1 5,210,026 (7,549,073) 4,588,753 8,209,777 11,173,596 19,180,668
Oecrease in reserve for inventories
E uit tra �32,599)
q y nsfers
(1,963,305) 1,963,305
Fund Balances (Deficits) December 31 $5-108,575 ($2,419,720) $3-634,878 $13,780,865 $20,818,711 $11,173,5gg
(See notes to financial statements)
-I$-
City of Brooklyn Center EXHIBIT 3
General and Special Revenue Funds
COMBINED STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES BUDGET AND ACTUAL
For the Year Ended December 31, 1991
General Fund Special Revenue Funds
Actual Over Actual Over
Under(-) Under(-)
Budpet Actual Budoet Buds�et Actual Bud et
Revenues
Propertytaxes $4,406,902 $4,274,089 ($132,813)� $1,086,000 $1,394,324 $308,324
Licenses and permits 315,000 311,751 (3,249)
Intergovernmental 2,951,941 2,926,570 (25,371) 195,000 180,440 (14,58Q)
Charge fw eervices 888,145 881,213 (6,932) 70,000 49,744 (20,256)
Court fines 285,000 202,090 (82,910)
Investmentearnings 325,000 323,106 (1,894)
Miscelianeous 22,218 37,694 15,476 3qg 346
Total Revenues 9,194,206 8,956,513 (237,693) 1,351,000 1,624,854 273,854
Exoenditures
Current:
General government 1,657,105 1,591,108 (65,99�
Public safety 4,064,513 3,950,882 (113,651)
Public works 1,900,241 1,827,052 (73,189)
Communityhealth services 127,391 104,706 (16,685)
Parksandrecreation 1,961,570 1,870,385 (91,185) 90,000 56,310 (33,690)
Economic development 183,000 177,179 (5,821) 20,000 82,574 62,574
Non-departmentat 455,511 414,149 (41,362)
Capital outlay 332,556 380,729 48,173
Interest and fiscal charges 100,000 229,446 129,446
Total F�c�enditures 10,343,331 9,935,441 (407,890) 542,556 749,059 206,503
Excess or Deficiencv(-) of Revenues
Over Exoenditures (1,149,125) (978,928) 170,197 808,444 875,795 67,351
Other Financina Sources or Usesf-1
Operating transfers in 159,600 177,477 17,877
Operating transfers out
Safe of bonds (1.484,432) (1,743,29� (258,86�
6,050,000 5,996,855 (53,145)
Sale of certificates of indebtedness 700,000 700,000
Total Other Financinn Sources or Usesf-) 859,600 877,477 17,877 4,565,568 4,253,558 (312,010)
6ccess or Deficienev(-) of Revenues and Other,
Sources Over Exoenditures and Other Uses (289,525) (101,451) 188,074 5,374,012 5,129,353 (244,659)
Fund Balances (Deficitsl Januarv 1 5,210,026 5,210,026 (7,549,073) (7,549,073)
I
Fund Balances (Deficits) December 31 $4,920,501 $5,108,575 $188,074 ($2,175,061) ($2,418,720) ($244,859)
(See notes to financial statements)
-19-
City of Brooklyn Center EXHIBIT 4
Proprietary Fund Types
COMBINED STATEMENTS OF REVENUES, EXPENSES, AND CHANGES
IN RETAINED EARNINGS
For the Year Ended December 31, 1991
Internal Totals
Enterprise Service (Memorandum Only)
Ooeratinq Revenues Funds Fund 1991 1990
Sales and user fees $6,471,067 $6,471,067 $5,408,325
Cost of sales 2,053,165 2,053,165 1,891,899
Net O�eratinQ Revenues 4,417,902 4,417,902 3,516,426
Operatinq�enses
Personal services 1,178,867 $19,678 1,198,545 902,807
Supplies 203,955 203,955 178,070
Other services 2,591,627 2,591,627 2,135,359
Insurance 42,280 42,280 47,650
Utilities 256,339 256,339 276,047
Rent 51,744 51,744 316,041
Depreciation 752,106 752,106 532,704
Total O�r�eratinq Expenses 5,076,918 19,678 5,096,596 4,388,678
Ooeratinq Income or Lossf-1 (659,016) (19,678) (678,694) (872,252)
Non-Operatinq Revenues or Expenses
Investment earnings 654,474 69,884 724,358 810,290
Special assessments (for service
hookups and delinquencies) 45,853 45,853 25,530
Intergovernmentaf revenue 71,862 71,862 40,877
Oiher revenue 2,537 2,537 20,047
Interest and fiscal agent fees (90,816) (90,816) (90,931)
Non-Operatina Totals 683,910 69,884 753,794 805,813
50 206 66 439
Income Before Operatinp Transfers 24 894 75 100
Operating Transfers In 359,125 359,�25 429,700
Operating Transfers Out(-) (147,895) (147,895) (110,000)
Net Income 236,124 50,206 286,330 253,261
Depreciation on contributed assets that,
reduces contributed capital 320,421 320,421 127,390
Retained Earninas Januarv 1 _y1,025,043 714,113 11,739,156 11,358,5Q5
Retained Earnings December 31 $11,5g1,5gg $764,319 $12,345,907 $11,739,156
(See notes to financial statements)
-20-
City of Brooklyn Center EXHIBIT 5
Proprietary Fund Types
COMBINED STATEMENT OF CASH FLOWS
For the Year Ended December 31, 1991
Internal Totals
Enterprise Service (Memorandum Only)
Cash flows from operatinq activities: Funds Fund 1991 1990
Operating income(loss) ($659,016) ($19,678) ($678,694) ($872,252)
Adjustments to reconcile operating income (loss) to
net cash provided by (used for) operating actvities:
Depreciation 752,106 752,106 532,704
Increase (decrease) in assets and liabilities
Accounts receivable (169,583) (169,583) 9,117
Inventories 12,112 12,112 (72,933)
Prepaid expenses (17,244) (17,244) (5,692)
i Accounts payable 115,929 115,929 191,785
Accrued salaries and leave 37,646 37,646 (20,062)
Accrued health insurance liability 12,972 12,972 183,897
Total adiustments 730,966 12,972 743,938 818,816
Net cash provided bv (used for) o�eratina activities 71,950 (6,706) 65,244 (53,436)
Cash flows from noncaoital fina�cina activities:
Net borrowings(repayments) under revolving loan arrangement (46,25� (46,25� (63,775)
i Interest paid on revolving loan (87,121) (87,121) (85,506)
Other non-o eratin income
I P 9 48,390 48,390 45,577
Operating grants received 71,g62 71,862 40,877
Operating transfers in 359,125 359,125 429,700
I Operating transfers out (147,895) (147,895) (110,000)
Net cash provided bv noncaoital financina activities 198,104 198,104 256,873
Cash flows from caoital and related financina activities:
Capital contributions in aid of construction 378,847 378,847 10,827,775
Acquisition and construction of capital assets 1 752 g42 1 7 2 2
5 84 11 423 582
Principal paid on revenue bonds (45,000) (45,000) (45,000)
Interest paid on revenue bonds (3,695) (3,695) (5,425)
Proceeds from sale of equipment 1,710 1,710 1,515
Net cash used for caoital and relatPd financinq aciivities (1,420,980) (1,420,980) (644,71�
Cash flows from investina activities:
Interest on investments 654,474 69,884 724,358 810,290
I Change in restricted assets 1,755 1,755 1,755
Net cash orovided by investinq activities 656,229 69,884 726,113 812,045
Net increase (decrease) in cash and cash equivalents (494,69� 63,178 (431,519) 370,765
Cash, cash eauivalents
and temporarv cash irtvestrr�ents at beainrtino of vear 4,782,594 898,01 Q 5,680,604 5,309,839
Cash, cash equivalents
and temporary cash investments at end of year $4,287,897 $961 $5-249_085 $5_680_604
____________________________________�ss=
(See notes to financial statements)
-21-
Citv of Brooklvn Center
NOTES TO FINANCIAL STATEMENTS
FOR THE YEAR ENDED DECEMBER 31. 1991
Note 1: Summarv of Sianificant Accountina Policies
A. Rebortina Entitv
The City's financial statements include all funds, account
groups, departments, agencies, boards, commissions, and other
organizations over which City officials exercise oversight
responsibility. Oversight responsibility includes such aspects
as appointment of governing body members, budget review,
approval of property tax levies, responsibility for funding
deficits, and outstanding debt secured by the City's full
faith and credit or revenues. As a result of applying the
entity definition criteria of the Governmental Accounting
Standards Board, certain organizations have been included or
excluded from the City's financial statements, as follows:
Included:
Housing and Redevelopment Authority (HRA) and Economic
Development Authority (EDA) in and for the City of Brooklyn
Center.
HRA and EDA were created by the City to provide housing and
redevelopment assistance to Brooklyn Center citizens. They
provide this assistance through the administration of various
programs. Inasmuch as their governing board is appointed by
the Cit Council the Council reviews and a
y pproves tax levies,
the City provides major community development financing for
their activities, and the City Manager is the Executive
Director, they are considered to be component units for the
City.
Excluded:
The Brooklyn Center Fire Department Relief Association.
The Association is organized as a non-profit organization by
its members to provide pension and other benefits to such
members in accordance with Minnesota statutes. The board of
directors is elected by the membership of the organization.
All Funding is conducted in accordance with Minnesota
statutes, whereby state aids flow to the Association. Tax
levies, if necessary, are determined by the Association and
are only reviewed by the City, and the Association pays
benefits directly to its members. Because the Association is
able to fund its programs independently of the City, it is
excluded from the reporting entity. State Aid insurance
-22-
Note 1: Summarv of Sicrnificant Accountinq Policies (continued
A. Re�ortina Entitv (continued)
premium tax in the amount of $70,248 and ad valorem taxes in
the amount of $27, 421 were receipted by the City and disbursed
to the Association during 1991.
Independent School District No. 286 (Earle Brown)
Independent School District No.,279 (Osseo)
Independent School District No. 281 (Robbinsdale)
Independent School District No. 11 (Anoka)
Independent School District No. 287 (Suburban Hennepin
County Area
Vocational Institute)
These Districts, like all school districts in Minnesota, are
completely independent of any other governmental entity. They
have their own elected Board of Education, levy their own
taxes and issue their own financial reports.
B. Fund Accountin4
The accounts of the City are organized on the basis of funds
and account groups, each of which is considered a separate
accounting entity. The operations of each fund are accounted
for with a separate set of self-balancing accounts that
comprise its assets, liabilities, fund equity, revenues, and
expenditures, or expenses, as appropriate. Government
resources are allocated to and accounted for in individual
funds based upon the purposes for which they are to be spent
and the means by which spending activities are controlled.
The various funds are grouped, in the financial statements in
this report, into seven generic fund types and three broad
fund categories as follows:
GOVERNMENTAL FUNDS
General Fund The General Fund is the general operating fund
of the City. It is used to account for all financial
resources except those required to be accounted for in another
fund.
Special Revenue Funds Special Revenue Funds are used to
account for the proceeds of certain specific revenue sources
that are legally restricted to expenditures for specified
purposes.
Debt Service Funds Debt Service Funds are used to account
for the accumulation of resources for, and the payment of
general long-term debt principal, interest and related costs.
-23-
Note 1: Summarv of Sictnificant Accountinq Policies continued
B. Fund Accountinq (continued)
Capital Projects Funds Capital Projects Funds are used to
account for financial resources to be used for the acquisition
or construction of major capital facilities, other than those
financed by proprietary funds.
PROPRIETARY FUNDS
Enterprise Funds Enterprise Funds are used to account for
o erations
P that are f'
inanced and o
perated in a manner similar
to private business enterprises where the intent is that the
costs (expenses, including depreciation) of providing goods or
services to the
I eneral ublic o
g p n a continuin basis
financed or
g be
recovered
primarily through user charges.
Internal Service Funds Internal Service Funds are used to
account for the financing of goods or services provided by one
department to oth
er d
e artmen
p ts of the Cit
y on a cost
reimbursement basis.
FIDUCIARY FUNDS
Agency Funds Agency Funds are used to account for assets
held by the City as an agent for others.
C. Fixed Assets and Loncr-Term Liabilities
The accounting and reporting of fixed assets and long-term
liabilities associated with a fund are determined by its
measurement focus. All governmental funds are accounted for
on a spending or "financial flow" measurement, which means
that only current assets and current liabilities are generally
included on their balance sheets. Their reported fund balance
is considered a measure of "available spendable resources."
Governmental fund operating statements present increases
(revenues and other financing sources) and decreases
(expenditures and other financing uses) in net current assets.
Accordingly, they are said to present a summary of sources and
uses of "available spendable resources" during a period.
Fixed assets used in governmental fund type operations are
accounted for in the General Fixed Assets Account Group,
rather than in the governmental funds. Public domain general
fixed assets consisting of certain improvements other than
buildings, including roads, curbs and gutters, streets and
sidewalks, drainage systems, and lighting systems have been
excluded from general fixed assets, as such items are
immovable and of value only to the City. No depreciation has
been provided on general fixed assets.
-24-
Note 1: Summarv of Sianificant Accountina Policies continued
C. Fixed Assets and Lonq-Term Liabilities. (continued)
All fixed assets are valued at historical cost or estimated
historical cost if historical cost is unavailable. Donated
fixed assets are valued at their estimated market value as of
the date donated.
The fixed assets of the proprietary funds are depreciated
using the straight-line method over the estimated useful lives
of the assets. The estimated useful lives are as follows:
Water Sewer Mains Lines 100 years
Buildings and Structures 20-40 years
Water Wells and Storage Tanks 15-50 years
Sewer Lift Stations 15-40 years
Machinery and Equipment 5-20 years
Furniture and Fixtures 5-20 years
Public Utility assets financed by special assessments are
recorded as contributions.
Long-term liabilities expected to be financed from
governmental funds are accounted for in the General Long Term
Debt Account Group, not in the governmental funds.
All proprietary funds are accounted for on a flow of economic
resources measurement focus. With this measurement focus, all
assets and all liabilities associated with the operations of
these funds are included on the balance sheet. Fund equity
(i.e., net total assets) is segregated into contributed
capital and retained earnings components. Proprietary
fund-type operating statements present increases (e.g.,
revenues) and decreases (e.g., expenses) in net total assets.
D. Basis of Accounting
Governmental funds and agency funds are accounted for using
the modified accrual basis of accounting. Their revenues are
recognized when they become measurable and available.
Available means collectible within the current period or soon
enough thereafter to be used to pay liabilities of the current
period.
Major revenues that are susceptible to accrual include taxes,
special assessments, intergovernmental revenues, charges for
services, and investment earnings. Major revenues that are
not susceptible to accrual include licenses and permits, fees
and miscellaneous revenues; such revenues are recorded only as
received because they are not measurable until collected.
Interest on special assessments is recognized as revenue when
due, net of delinquencies.
-25-
Note 1: Summarv of Sianificant Accountinqr Policies (continued
D. Basis of Accountinq (continued)
Expenditures are generally recognized under the modified
accrual basis of accounting when the related fund liability is
incurred, except for principal and interest on general
long-term debt which is recognized when due.
Al1 proprietary funds are accounted for using the accrual
basis of accounting. Their revenues are recognized when they
are earned, and expenses are recognized when they are
incurred. Unbilled Water and Sewer fund utility service
receivables are recorded at year end.
E. Budaets and Bud4etarv Accountinq
The City follows these procedures establishing the budgetary
data reflected in the financial statements:
1. By the first regular Council meeting in August, the City
Manager submits to the City Council proposed operating budgets
for the fiscal year commencing the following January. The
operating budgets include expenditures and the means of
financing them.
2. The County mails individual property tax notices showing
the taxes which would result from the proposed bud ets of all
g
taxing units to each property owner by the seeond week of
Nov
ember.
3. Public hearin s are conducted t
g o obtain taxpayer
comments.
4. The budgets are legally enacted through passage of a
resolution by the City Council not later than the third week
of December.
5. The City Council must authorize any transfer of budgeted
amounts between departments within any fund.
6. Supplemental appropriations during the ear ma onl be
Y Y Y
made by the City Council. These amounts must be financed by
funds from the contingency reserve set up in the general fund
or by additional revenues.
7. Al1 budget amounts lapse at the end of the year to the
extent they have not been expended.
8. Formal budgetary integration is employed as a management
control device during the year for the General Fund and
Special Revenue Funds. Formal budgetary integration is not
employed for Debt Service Funds because effective budgetary
control is alternatively achieved through general obligation
-26-
Note 1: Summarv of Sianificant Accountinq Policies (continued)
E. Budaets and Budqetarv Accountinq (continued)
bond indenture provisions. Budgetary control for Capital
Projects Funds is accomplished through the use of project
controls.
9. Budgets for the General and Special Revenue Funds are
adopted on a basis consistent with generally accepted
accounting principles.
10. Budgetary control is maintained at the department level,
in compliance with the City Council's directions.
11. Budgeted amounts are as originally adopted, or as amended
by the City Council. Individual amendments were not material
in relation to the original appropriations.
F. Investments
Cash balances from all funds are combined and invested to the
extent available in authorized investments (see Note 2).
Earnings from such investments are allocated to the respective
funds on the basis of applicable cash balance participation by
each fund. Temporary cash investments are stated at cost
which approximates market. All highly liquid unrestricted
investments with a maturity of three months or less when
purchased are considered to be cash equivalents. All of the
investments allocated to the proprietary fund types have
maturities of 90 days or less. Therefore, the entire balance
in such fund types is considered to be cash equivalents.
G. Inventorv,
Inventories in the proprietary funds are valued at cost, using
the first-in/first-out (FIFO) method. The costs of
governmental fund type supplies are recorded as expenditures
when purchased.
H. Total Columns on Combined Statements,
Total columns on the Combined Statements are captioned
Memorandum Only to indicate that they are presented only to
facilitate financial analysis. Data in these columns do not
present financial position, results of operations, or cash
flows in conformity with generally accepted accounting
principles. Interfund eliminations have not been made in the
aggregation of this data.
-27-
Note l: Summarv of Siqnificant Accountinq Policies (continued)
I. Propertv Tax
Property tax levies are set by the City Council in December of
each year, and are certified to Hennepin County for collection
in the following year. In Minnesota, counties act as
collection agents for all property taxes.
The County spreads all levies over taxable property. Such
taxes become a lien on January 1 and are recorded as
receivables by the City at that date. Revenues are accrued
and recognized in the year collectible, net of delinquencies.
Real property taxes may be paid by taxpayers in two equal
installments on May 15 and October 15. Personal property
taxes may be paid on February 28 and June 30. The County
provides tax settlements to cities and other taxing districts
two times a year, in June and November.
Taxes which remain unpaid at December 31 are classified as
delinquent taxes receivable and are fully offset by deferred
revenue because they are not known to be available to finance
current expenditures. No allowance for uncollectible taxes
has been provided because such amounts are not expected to be
material.
Minnesota cities operate under a lev limitation law w'
Y hich
allows an increase in the tax levy each year equal to the
Implicit Price Deflator increase or 3%, whichever is greater,
further indexed by the percentage increase in households or
population, whichever is greater. Levies for bonded
indebtedness are not limited by this law. This limitation has
been eliminat
ed for taxes payable beginning in 1993.
J. Accumulated Unnaid Vacation and Sick Pav
The City pays employees severance pay upon termination of
employment based on accumulated sick Ieave and accrued
vacation. Such pay is accrued as an expense as it is earned.
K. Reclassifications
Certain 1990 accounts have been reclassified to conform to the
1991 presentation.
-28-
Note 2: Cash and Investments
A. De�osits
In accordance with Minnesota Statutes, the City maintains
deposits at those depository banks authorized by the City
Council. All such depositories are members of The
Federal Reserve System.
Minnesota Statutes require that all City deposits be
protected by insurance, surety borid, or collateral. The
market value of collateral pledged must equal 110� of the
deposits not covered by insurance or bonds (140% in the
case of mortgage notes pledged).
Authorized collateral includes the legal investments
described below, as well as certain first mortgage notes,
and certain other state or local government obligations.
Minnesota Statutes require that securities pledged as
i collateral be held in safekeeping by the City treasurer
or in a financial institution other than that furnishing
the collateral.
At December 31, 1991 the carrying amount of the City's
demand deposits was $407,053 and the bank balance was
$258,891. Of the bank balance, $118,817 was covered by
federal depository insurance (risk category A) and the
remainder by collateral held in the pledging bank's trust
department in the City's name (risk category B).
Risk Catectorv
(A) Insured or collateralized by securities held
by the City or its agent in the City's name
(B) Collateralized with securities held by the
pledging institution's trust department
in the City's name
(C) Uncollateralized or collateralized with
securities held by the pledging institution,
but not in the City's name
I� B. Investments
The City may also invest idle funds as authorized by
Mi
nnes�ta Statutes, as follows:
(a) Direct obligations or obligations guaranteed by
the United State or its a encies.
I g
-29-
t
Note 2: Cash and Investments, (continued)
B. Investments (continued)
(b) Shares of investment companies registered under
the Federal Investment Company Act of 1940 and
whose only investments are in securities described
in (a) above.
(c) General obligations of the State of Minnesota or
any of its municipalities.
(d) Bankers acceptances of United States banks eligible
for purchase by the Federal Reserve System.
(e) Commercial paper issued by United States
corporations or their Canadian subsidiaries, of the
highest quality, and maturing in 270 days or less.
(f) Repurchase or reverse repurchase agreements with
banks that are members of the Federal Reserve
System with capitalization exceeding $10,000,000,
a primary reporting dealer in U.S. government
securities to the Federal Reserve Bank of New York,
or certain Minnesota securities broker-dealers.
(g) Future contracts sold under authority of
Minnesota Statutes 471.56, subdivision 5.
The City's investments are categorized below to give an
indication of the level of custodial credit risk assumed
at year end. Category 1 includes investments that are
insured or registered or for which the securities are
held by the City or its agent in the City's name.
Category 2 includes uninsured and unregistered
investments for which the securities are held b the
Y
counter art �s
trus
tdea
P Y rtment or a ent in the Ci
P g t s
name. Ca
Y
tegor 3 includes uninsu
Y red and u
nregistered
investments
for whic
h the securities are held b t
y he
counter art
0
r b i
P Y, ts trust de art
Y p ment or agent, but
not in the City�s name.
Balances at December 31, 1991
Credit Risk Category Carrying Market
Securities Type 1 2 3 Amount Value
U.S. Governments $7,035,000 $7,035,000 $7,282,332
Federal Agencies 15,177,000 15,177,000 15,480,076
Commercial Paper 1,785,000 1,785,000 1,770,476
$23,997,000 $0 $0 $23,997,000 $24,532,884
-30-
NOTE 2: Cash and lnvestments (continued)
SUMMARY OF CASH AND TEMPORARY CASH INVESTMENTS
Balances at December 31, 1991
Cash in Banks:
Marquette Bank Brookdale, Brooklyn Center, Minnesota $406,389
First National Bank of Minneapolis, Minnesota 664
Total Cash in Bank $407,053
Temoorarv Cash Investments:
Carrying
Investment Ty�e Interest Rate Maturitv Amount
Commercial Paper 5.103-6.36% 1992 $1,785,000
U.S. Treasury bond 4.25-7.535% 1992-1996 7,035,000
Federal Home Loan Bank bonds 6.09-8.3�/0 1992-1994 4,400,000
Federal National Mortgage
Association bonds 6.93-12.00% 1992-2001 3,555,000
Federal Farm Credit Bank bonds 5.80-8.40% 1992-1995 7,222,000
Total Investments $23,997,000
Minnesota Municipal Money Market 4,524,109
Total Cash and Investments $28,928,162
Accrued interest on investments 420,218
Discounts on investments 16,991
Premiums on investments (298,807)
Change funds 5,460
Performance Deposits (41,400)
Certificates of Indebtedness 450,000
Temporary Improvement Notes (Note 3)
Total Cash, Cash Equ+valents, Temporary Cash Investments,
and Restricted Investments $32,894,085
Other Assets Investment Pools Deferred Compensation Plan $2,046,095
-31-
Note 3: Tempora
rv Improvement Notes
Temporary Improvement Notes represent interfund borrowing
to provide interim financing for construction projects or
capital outlay expenditures. Such loans bear interest at
10 percent and totaled $3,413,461 and $8,456,658 at
December 31, 1991 and 1990, respectively. For collection
i
purposes, all of these notes are consi
dered current
since the are a
able on dem
Y and.
P Y
Individual fund note balances at December 31, 1991 were
as follows:
Interfund Interfund
Receivable Pavable
General $914,825
E. Brown T.I.F. District $1,779,215
Park Bonds of 1980 71,401
Tax Increment Bonds of 1983 112,593
Tax Increment Bonds of 1985 74,099
Tax Increment Bonds of 1991 90,208
Refunding Bonds of 1987 180,266
Capital Improvements Fund 838,316
M.S.A. Construction Fund 842,949
Spec Assess Construct Fund 1,626,246
Municipal Liquor Fund 8,000
Economic Development Authority 288,804
TOTALS $3,413,461 $3,413,461
I
-32-
Note 4: Fixed Assets
Changes in the General Fixed Assets account group during 1991 were as follows:
Balance Balance
Jan. 1, Dec. 31,
1991 Additions Dis�osals 1991
Land $2,161,061 $52,000 $2,213,061
Buildings 8� Improvements 4,464,262 153,000 $28,284 4,588,978
Park Improvements 2,821,993 41,029 4,165 2,858,857
Furniture Fixtures 735,313 82,72Q 76,987 741,046
Departmental Equipment 3,649,018 291,843 99,629 3,841,232
TOTAL GENERAL FIXED
ASSETS $13,831,647 $620,592 $209,065 $14,243,174
Changes in the Liquor Fund Fixed Assets (at cost) during 1991 were as follows:
Balance Balance
Jan. 1, Dec. 31,
1991 Additions Disposals 1991
Land $107,405
$107,405
Land Improvements 4,228 4,228
Buildings Improvements 294,852 294,852
Leasehold Improvements 27,834 27,834
Furniture Fixtures 120,612 $7,550 $494 127,668
Departmental Equipment 9,640 14,001 7,177 16,464
TOTAL LIQUOR $564,571 $21,551 $7,671 $578,451
Changes in the Golf Course Fixed Assets (at cost) during 1991 were as follows:
Balance Balance
Jan. 1, Dec. 31,
1991 Additions Disoosals 1991
Land $1,391,711 $1,391,711
Land Improvements 30,728 30,728
Buildings Improvements 303,321 303,321
Furniture Fixtures 17,711 17,711
Departmental Equipment 90,654 $14,730 105,384
TOTAL GOLF COURSE $1,834,125 $14,730 $0 $1,848,855
-33-
Note 4: Fixed Assets (continued�
Changes in the Earle Brown Heritage Center Fixed Assets (at cost) during 1991
were as follows:
Balance Balance
Jan. 1, Dec. 31,
1991 Additions Disposals 1991
Land $925,000 $925,000
Buildings Improvements 9,058,988 $346,906 9,405,894
Furniture Fixtures 795,881 16,584 812,465
Departmental Equipment 50,225 19,298 $1,800 67,723
TOTAL E.B.H.C. $10,830,094 $382,788 $1,800 $11,211,082
Changes in the Water Utility Fund Fixed Assets (at cost) during 1991 were as follows:
Balance Balance
Jan. 1, Dec. 31,
1991 Additions Disposals 1991
Land $23,938
$23,938
Land Improvements 2,600 2,fi00
Buildings Improvements 3,673,031 $437,171 $1,097 4,109,105
Mains and Lines 7,137,693 513,212 7,650,905
Machinery Equipment 130,558 6,693 123,865
TOTAL WATER $1 Q,967,820 $950,383 $7,790 $11,910,413
Changes in the Sanitary Sewer Fund Fixed Assets (at cost) during 1991 were as follows:
Balance Balance
Jan. 1, Dec. 31,
1991 Additions Dis�osals 1991
Land $3,388 $3,388
Buildings Improvements 1,300,511 $141,674 $69,205 1,372,980
Mains and Lines 4,995,034 211,656 5,206,690
Machinery Equipment 140,729 30,060 10,729 160,060
TOTAL SEWER $6,439,662 $383,390 $79,934 $6,743,118
-34-
I
l i, Note 5: Lona-Term Debt
The City's long-term debt includes general obligation bonds,
certificates of indebtedness, state aid street bonds, tax
increment bonds, and improvement bonds; all of which are
recorded in the General Long-Term Debt Account Group. In
addition, the City has Water Revenue Bonds which are a
liability of the Water Utility Fund.
The following is a summary of bond transactions of the City
for the year ended December 31, 1991:
General
Obligation G.O. State G.O. Tax Water
Bonds 8� Aid Road increment Improvement Revenue
Certificates Bonds Bonds Bonds Bonds Total
Bonds payable
January 1 $950,000 $5,860,000 $745,000 $90,000 $7,645,000
Bonds issed 700,000 $3,000,000 6,050,000 9,750,000
Bonds retired 590,000 135,000 215,000 45,OOQ 985,000
Bonds payable
December 31 $1,060,000 $3,000,000 $11,775,000 $530,000 $45,000 $16,410,000
General Oblicration Bon
ds Certificates of Indebtedness
General Obligation Bonds and Certificates of Indebtedness are
backed by the full faith and credit of the City and are paid
from property taxes.
State Aid Street Bonds
Future allotments from Municipal State Aid for Streets will
repay these bonds which are backed by the full faith and
credit of the City.
Tax Increment Bonds
Tax Incremen
t s�nds will Le repaid from incremental tax
increases on the property within certain development districts
I and are backed by the full faith and credit of the City.
Improvement and Refundinq Bonds
These bonds are payable primarily from special assessments
levied and collected for local improvements. The City has a
contingent liability relating to a pledge of full faith and
credit on the Special Assessment Bonds. The general credit of
the City is obligated only to the extent that liens foreclosed
against properties involved in the special assessment
districts are insufficient to retire outstanding bonds.
-35-
Note 5: Lona-Term Debt (continued)
Long-term debt maturities (including interest of $8,001,820) are as foliows:
General
Obligation G.O. State G.O. Tax Water
Bonds Aid Street Improvement Increment Revenue
Certificates Bonds Bonds Bonds Bonds Total
1992 $595,810 $307,255 $168,260 $1,231;688 $46,755 $2,349,768
1993 564,780 306,180 127,158 1,341,032 2,339,150
1994 309,071 111,912 1,348,935 1,769,918
1995 306,325 92,131 1,362,095 1,760,551
1996 307,872 53,550 1,418,241 1,779,663
1397 on 3,107,934 41,100 11,263,736 14,412,770
$1,160,590 $4,644,637 $594,111 $17,965,727 $46,755 $24,411,820
Long-term debt obligations outstanding at year-end are summarized as follows:
Bond
Pa ment Issue M ri
Y atu t Authoriz
Y ed
Rates �i6 Dates Date Date And Issued Retired Outstandina
General Obligation Bonds
1991 Certifiicates of Indebtedness 8.00% 12-31 01-01-91 12-31-93 $700,000 $250,000 $450,000
I 1980 Park improvement Bonds 7.4-7.6 2-01 8-01 09-01-80 02-01-93 _1,500,000 890,000 610,000
Total $2,200,000 $1,140,000 $1,060,000
Municipal State Aid
G.O. State-Aid Street Bonds 4.7-6.65% 4-01 10-01 09-01-91 04-01-06 $3,000,000 $0 $3,000,000
I Total $3,000,000 $0 $3,000,000
Tax increment Bonds
1983 G.O.TaxlncrBonds 7.7-9.0 2-01 8-01 11-01-83 02-01-97 $930,000 $345,000 $585,000
1985 G.O. Tax Incr Bonds 6.5-8.1 2-01 8-01 12-01-85 02-01-03 5,250,000 110,000 5,140,000
1991 G.O. Tax Incr Bonds 4.7-6.0 2-01 8-01 U3-01-91 02-01-04 6,050,000 0 6,050,000
Total $12,230,000 $455,000 $11,775,000
Improvement Bonds
1987 Refunding Bonds 4.5-5.5 2-07 8-01 04-01-87 02-01-97 $1,200,000 $670,000 $530,000
Total
$1,200,000 $670,000 $530,000
Water Revenue s
Revenue Bonds of 1963 3.9 1-01 7-Ot 07-01-63 01-01-93 $1,000,000 $955,000 $45,000
Total $1,000,000 $955,000 $45,000
-36-
Note 6: Wate
r and Sanitarv Sewer Funds
Water Utility Revenue bonds were issued during 1963 to finance
an addition to the water works system. These bonds, together
with related interest and service charges, are payable solely
from the operations of the Water Utility Fund and are not a
general obligation of the City. The resolution authorizing
and directing the issuance of these bonds contain covenants
and restrictions enacted for the purpose of protecting the
bondholders' interest. Paragraph 8 of the resolution provides
for the segregation of assets and the appropriation of
retained earnings for debt retirement purposes and defines the
manner of accounting for the activities of the Water Utility
Fund.
As required by Paragraph l0e of the issuing resolution, an
analysis of each account balance appears as follows:
Debt Retirement Account
Accumulated amounts set aside to meet 1992 requirements
for interest and principal:
Investments with accrued interest 46,755
Reserve account investments 75,000
Total Debt Retirement Account: 121,755
All bonds are subject to redemption (call) on any interest
payment date in inverse-numerical order at par and accrued
interest.
Restricted Assets and Retained Earninqs
Investments and Retained Earnings in the amount of $3,700,000
in the Water Fund and $300, 000 in the Sanitary Sewer Fund have
been restricted for the possible future expansion of
facilities.
I
-37-
Note 7: Segment information as of and for the Year Ended December 31, 1991 was as follows:
E Brown
Enterprise Funds: Municipal Golf Heritage Recycling Water Sanitary Storm
Liquor Course Center Refuse Utility Sewer Drainage
Fund Fund Fund Fund Fund Fund Fund Total
Operating Revenues $2,678,840 $278,100 $586,986 $109,909 $703,422 $1,739,770 $374,040 $6,471,067
Depreciation Expense 26,175 23,963 320,421 253,574 127,973 752,106
Operating Income (Loss) 136,65y 63,572 (669,1 8) (51,513) (247,260) (100,621) 209,273 (659,016)
Operating Transfers In 359,125 359,125
Operating Transfers (Out) (130,000) (17,895) (147,895)
Net Income (Loss) (8,924) 12,310 (320,420) 24,941 139,466 194,745 194,006 236,124
w Current Capital Contributions 378,847 378,847
°o Property, Plant Equipment:
Additions 21,551 14,730 382,788 950,383 383,390 1,752,842
Deletions 7,670 1,800 7,790 79,934 97,194
Net Working Capital 145,680 41,598 (4,521) 72,530 788,584 3,778,998 194,006 5,016,875
Total Assets 669,612 1,808,231 10,884,784 113,182 13,210,440 8,733,042 194,006 35,613,297
8onds and Other Long-Term
Liabilities Payable from I
Operating Revenues 199,201 1,120,000 1,319,201
Total Equity $310,336 $681,260 $10,758,830 $72,530 $13,120,926 $8,510,803 $194,006 $33,648,691
�r �rr �rr rr r wr r�
1
Note 8: Contributed Capital
Enterprise funds have received contributed capital from several sources. The fixed assets
acquired in this fashion have been depreciated along with other fund assets. For the Golf
Course and Public Utilities funds, the contributions under Fund Equity on the balance
sheet have not been reduced for the depreciation. However, for the Earle Brown Heritage
Center Fund, contributions under fund equity on the balance sheet have been reduced for
deprectiation. During the year contributions changed by the following amounts:
E. Brown
Golf Heritage Water Sanitary
Course Center Utility Sewer
SOURCES AND USES Fund Fund Fund Fund
Capital fmprovements Fund $378,847
Depreciation charged to contributions (320,421)
Total Change 0 58,426 0 0
Cor�tributions, January 1, 1991 $692,206 10,700,385 $4,997,510 $5,618,576
Contributions, December 31, 1991 $692,206 $10,758,811 $4,997,510 $5 618 576
-39-
NOTE 9: PENSION PLANS:
PUBLIC EMPLOYEES RETIREMENT ASSOCIATION (PERA�
City employees participate in the pension plans administered by the
Public Employees Retirement Association (PERA). In accordance with
Government Accounting Standards Board Statement No. 5, the PERA
plans are classified as a defined benefit multiple employer cost
sharing plans.
Disclosures relating to this plan are as follows:
A. Plan Descrintion
All fu11-time and certain part-time employees of the City of
Brooklyn Center are covered by defined benefit pension plans
administered by the Public Employees Retirement Association of
Minnesota (PERA). PERA administers the Public Employees Retirement
Fund (PERF) and the Public Employees Police and Fire Fund (PEPFF)
which are cost sharing multiple employer retirement plans. PERF
members belong to either the Coordinated Plan or the Basic Plan.
Coordinated members are covered by Social Security and Basic
members are not. Al1 new members must participate in the
Coordinated Plan. All olice off'
p icers, fire fi hters and eace
I officers who g P
qualify for membership by statute are covered by the
PEPFF. The payroll for empZoyees covered by PERF and PEPFF for the
year ended December 31, 1991, was $3,853,375 and $1,742,248,
respectively; the City's total payroll was $6,443,690.
PERA provides retirement benefits as well as disability benefits to
members, and benefits to survivors upon death of eligible members.
Benefits are es
tablished by State Statute, and vest after three
years of credited service. The defined retirement benefits are
based on member's average salary for any five successive years of
allowable service, age, and years of credit at termination of
service. Two methods are used to compute benefits for Coordinated
and Basic members. The retiring member receives the higher of step
rate benef'
it ac
crual fo
rmula (Method 1) or a level accrual formula
i (Method 2). Under Method 1, the annuity accrual rate for a Basic
member is 2 percent of average salary for each of the first 10
years of service and 2.5 percent for each remaining year. For a
Coordinated member, the annuity accrual rate is 1 percent of
average salary for each of the first 10 years and 1.5 percent for
each remaining year. Using Method 2, the annuity accrual rate is
I 2.5 percent of average salary for Basic members and 1.5 percent for
Coordinated members. For PEPFF members, the annuity accrual rate
is 2.5 percent for each year of service. For PERF members whose
I annuity is calculated using Method 1, and for all PEPFF members, a
full annuity is available when age plus years of service equal 90.
I There are different types of annuities available to members upon
retirement. A normal annuity is a lifetime annuity that ceases
upon the death of the retiree. No survivor annuity is payable.
There are also various types of joint and survivor annuity options
available which will reduce the monthly normal annuity amount,
-40-
A. Plan Description (continued)
because the annuity is payable over joint lives. Members may also
leave their contributions in the fund upon termination of public
service, in order to qualify for a deferred annuity at retirement
age. Refunds of contributions are available at any time to members
who leave public service, but before retirement benefits begin.
B. Contributions Rec�uired and Contributions Made,
Minnesota Statutes Chapter 353 sets the rate for employer and
employee contributions. The City makes annual contributions to the
pension plans equal to the amount required by state statutes.
According to Minnesota Statutes Chapter 356.215, Subd. 4(g), the
date of full funding required for the PERF and the PEPFF is the
year 2020. As part of the annual actuarial valuation, PERA's
actuary determines the sufficiency of the statutory contribution
rates towards meeting the required full funding deadline. The
actuary compares the actual contribution rate to a"required"
contribution rate. Current combined statutory contribution rates
and actuarially required contribution rates for the plans are as
follows:
Statutorv Rates Reauired
Emplo ee Emnlover Rates
Public Employees
Retirement Fund:
Basic Plan and
Coordinated Plan 4.44� 4.81� 10.04�
Police Fire Fund 8.00� 12.00% 17.560
Total contributions made by the City during fiscal year 1991
were:
Percentacte of
Contribution Covered Pavroll
Emnlovees Emplover Emblovees Emplo�,er
Public Employees
Retirement Fund:
Basic Plan 18,552 24,187 8.23% 10.73�
Coordinated
Plan 153,380 162,753 4.23� 4.48�
Police Fire
Fund _139,380 _209,068 8.00� 12.00�
TOTALS $311,312 $396,008
The Cit 's cont a r
y ribution for the year ended June 30, 1991, to the
Public Employees Retirement Fund represented approximately .18
percent of total contributions required of all participating
entities. For Public Employees Police and Fire Fund, contributions
for the year ended June 30, 1991, represented .8 percent of total
contributions required of all participating entities.
-41-
C. F
undina Status and Proqress
Pension Benefit Obligation
The '�pension benefit obligation" is a standardized disclosure
measure of the present value of pension benefits, adjusted for the
effects of projected salary increases and step-rate benefits,
estimated to be payable in the future as a result of employee
service to date. The measure which is the actuarial resent value
of credited projected benefits, is intended to help users assess
PERA's funding status on a going-concern basis, assess progress
made in accumulating sufficient assets to pay benefits when due,
and make comparisons among Public Employees Retirement Systems and
amo
n e
g mployers. PERA does not make separate measurements of
assets and pension benefit obligation for individual employers.
The pension benefit obligations as of June 30, 1991,
are shown below (in millions):
PERF PEPFF
Total pension benefit obligation $4,458
Net assets available for benefits,
I at cost (market value for
PERF 3,663; PEPFF 872) $3,524 823
Unfunded (assets in excess of)
pension benefit obligation 934 90
The measurement of the pension benefit obligation is based on an
actuarial valuation as of June 30, 1991. Net assets available to
pay pension benefits were valued as of June 30, 1991.
I Changes in Benefit Provis'
ions.
During the 1991 legislative session, benefit improvements were
obtained for survivors of inembers in the Basic Plan and the Police
and Fire Fund. In the Basic Plan, the maximum family death benefit
i was increased from $1,000 per month to 70 percent of the members's
avera
ge salary. In the Police and Fire Fund, children's benefits
were restored for families of disabled members who had chosen the
joint and survivor annuity option before death. The effect of
these changes increased the pension benefit obligation in the PERF
by $4,016,869 and had essentially no effect on the pension benefit
obligation in the PEPFF.
D. Trend Information,
Ten-year historical trend information is presented in PERA's
Comprehensive Annual Financial Report for the year ended June 30,
1991. This information is useful in assessing the pension plan's
accumulation of sufficient assets to pay pension benefits as they
become due.
-42-
Note 10: Pension Plan Brooklvn Center
Fire Department Relief Association
A. Plan Description
The City contributes to the Brooklyn Center Fire Department
Relief Association ("Association"). In accordance with
Government Accounting Standards Board Statement No. 5, it is
classified as a defined benefit single employer public
emplayee retirement system.
Volunteer fire fighters of the City are members of the
Association and its pension plan. The plan's baseline benefit
is $450 per month after 20 years of service and attaining the
age 50. There are additional benefits for service through 30
years with a maximum of $675 per month. Vesting begins with
10 years of service and benefits are pro-rated for members who
have between 10 and 20 years of service. Members may choose
to take a lump sum settlement instead of the pension, equal to
3000 times the number of years of service, with a maximum of
30 years. Spouse's, children's and funeral benefits are also
provided. These benefit provisions and all other requirements
are consistent with enabling state statutes.
The City levies property taxes at the direction of and for the
benefit of the association plan and passes through state aids
allocated to the plan, all in accordance with enabling state
statutes.
B. Func�ina Status and Proqress
The amount shown below as the "pension benefit obligation" is
a standardized disclosure measure of the present value of
pension benefits, adjusted for the effects of projected
benefit increases, estimated to be payable in the future as a
result of service to date. The measure is the actuarial
present value of credited projected benefits and is intended
to help users assess the funding status of the association
plans on a going-concern basis, assess progress made in
accumulating sufficient assets to pay benefits when due, and
make comparisons among plans. It is independent of the
actuarial funding method used to determine contributions to
the plan, discussed in "C" below.
The pension benefit obligation was determined as part of an
actuarial valuation at December 31, 1991. Significant
actuarial assumptions used include (a) a rate of return on the
investment of present and future assets of 5 percent per year
compounded annually, and (b) no post retirement benefit
increases.
-43-
Note 10: Pension Plan (continued)
B. Fundina Status and Proqress (continued)
An actuarial update to the pension obligation is performed
annually. On December 31, 1991, the unfunded pension benefit
obligation was as follows:
Pension benefit obligation:
Retirees and beneficiaries currently
receiving benefits and terminated
employees not yet receiving benefits $1,413,089
Current Employees
Employer-financed vested 916,214
Employer-financed nonvested 239,038
Total pension benefit obligation 2,568,341
Net assets available for benefits
(at cost, market equals $2,529,579) 2,.538,.897
Unfunded pension benefit obligation 29,444
No changes in actuarial assumption for benefit provisions that
would significantly affect the valuation of the pension
benefit obligation occurred during 1991.
C. Contributions Required and Contributions Made,
Financial requirements of the association plan are determined
on an ac
tuarial basis using the entry age normal actuarial
cost method. Normal cost is funded on a current basis. The
unfunded actuarial accrued liability is to be funded b
I December 31, 1999. The minimum tax levy obligation is the
financial requirement for the e
ar less antic'
i ated s
Y tate
aids p
A
n additi
y onal payments by the City shall be used to
amortize the unfunded liability of the relief association.
The funding strategy for normal cost and the unfunded
actuarial accrued liability should provide sufficient
I resources to pay plan benefits on a timely basis.
Total contributions to the plan in 1991 amounted to $97,669,
of which $27,421 was levied by the City of Brooklyn Center and
$70,248 was from the State of Minnesota. The contributed
amounts were actuarially determined as described above and
were based on an actuarial valuation as of December 31, 1991.
The contributions represent funding for normal cost of $62,747
and the amortization of the unfunded actuarial accrued
liability of $42,674.
-44-
Note 10: Pension Plan (continued)
C. Contributions Required and Contributions Made,(continued)
Significant actuarial assumptions used to compute pension
contribution requirements are substantially the same as those
used to determine the standardized measure of the pension
obligation.
The computation of the pension contribution requirements for
1991 was based on the same actuarial assumptions, benefit
provision, actuarial funding method, and other significant
factors used to determine pension contribution requirements in
previous years.
D. Trend Information
Trend information gives an indication of the progress made in
accumulating sufficient assets to pay benefits when due. Ten
year trend information may be found in the Association's
annual financial report for the year ended December 31, 1991.
Three year trend information for the Association is as
follows:
1991 1990 1989
Available assets as a
percentage of benefit
obligation 99% 94� 93�
Unfunded pension benefit
obligation as a percentage
of covered payroll *not *not *not
applicable applicable applicable
City's contribution**
as a percentage of
covered payroll *not *not *not
applicable applicable applicable
*The Brookl n Center Fire De
Y partment is a volunteer
organization; thus, no covered payroll exists.
**The City's contribution was made in accordance with
actuarially determined requirements.
-45-
Note 11: Individual Fund Disclosures
Deficit fund balances exist in the followinq funds:
Special Revenue Funds:
Earle Brown Tax Increment Financing District:
Unreserved deficit fund balance $2,441,219
This deficit is being funded through internal borrowing, which
will be repaid from future surplus tax increments.
Capital Project Funds:
Special Assessment Construction:
Unreserved deficit fund balance $1,458,920
This deficit is being funded through internal borrowing.
Bonds may be sold in the future if the balances of special
assessments receivable becomes large enough to justify an
issue.
Enterprise Funds:
Golf Course:
Unreserved deficit retained earnings $10,946
This deficit is being funded through internal borrowing. It
is expected that future profits will cover the deficit.
Snecial Revenue Funds which had expenditures in excess of
abpropriations were as follows:
Earle Brown Farm Tax Increment District:
Budaet Actual
Services and other charges $20,000 $82,574
Capital outlay 332,556 380,729
Interest 100,000 229,446
Total $452,556 $692,749
Services and other charges were over budget due to the cost of
issuing bonds and other legal costs. Certain capital outlays
were more expensive than originally expected. Interest on
internal borrowing didn't decline as much as expected after
the sale of bonds because of the need to transfer some bond
proceeds to.the debt service fund.
-46-
Note 12: Interfund Receivables and Pavables
Individual interfund receivable and payable balances at December
31, 1991, were as follows:
Due From/To Other Funds:
I Receivable fund Pauable fund Amount
Economic Development Community Development
Authority Block Grant 566.922
$66,922
Interfund Loans From/To Other Funds:
Receivable fund Pavable fund Amount
General Fund E. Brown T.I.F. 105,074
I Municipal State Aid
for Construction E. Brown T.I.F. 593,069
Capital Improvement Liquor Fund 216,895
Capital Improvement Golf Course 1.120�000
I $2,035,038
Interfund Loan Terms:
The loans payable by the Earle Brown Tax Increment Financing
District are interest free and have no set repayment schedule.
The loan payable by the Liquor Fund is paying interest at the rate
of 8.5% and is repaying the loan principal over a period extending
through the year 2000.
The loan payable by the Golf Course Fund is paying interest at the
rate of 5% and is repaying the loan principal over a period
extending through the year 2008.
I Note 13: Continqencies
There are several lawsuits pending in which the City is involved.
City Management estimates that the potential claims against the
City not covered by insurance resulting from such litigation would
not materially affect the financial statements of the City.
I
-47-
Note 14: Deferred Compensation Plan
The City offers its employees a deferred compensation plan
created in accordance with Internal Revenue Code Section 457.
The plan, available to all City employees, permits them to
defer a portion of their salary until future years. The
deferred compensation is not available to employees until
termination, retirement, death, or unforeseeable emergency.
All amounts of com ensation
p deferred under the lan all
P
property and rights purchased with those amounts, and all
income attributable to those amounts, property, or rights are
(until paid or made available to the employee or other
beneficiar solel the
Y) y propert and ri hts of the Cit
Y g Y
(without being restricted to the provisions of benefits under
the plan), subject only to the claims of the City's general
creditors. Partici an
ts ri hts
under the lan a
P g p re equal to
those of general creditors of the City in an amount equal to
the fair market value of the deferred account for each
participant.
It is the opinion of the City�s legal counsel that the City
has no liability for losses under the plan but does have the
duty of due eare that would be required of an ordinary prudent
investor. The City believes it is unlikely that it will use
the ass
ets
to satis
f the clai s o
m f ener
Y g al credit�rs in the
future.
The City is reporting the activity of this plan as an agency
fun
d and carries its investment at mar
ket value.
-48-
Note 15: Post-Emblovment Health Care Benefits
In addition to the pension benefits described in Note 9, the
Cit rovides cer
y tain health care insurance benefits for cit
P Y
employees who retire before age 65. Substantially all of the
City's full time employees may be eligible for those benefits
from the time they retire with a full annuity from PERA (Note
9A), until they reach age 65 or become eliqible for medicare.
Four employees currently meet this requirement. This benefit
was initiated on April 1, 1986 and will expire on December 31,
1995 unless it is re-enacted by the City Council. The eost of
retiree health care premiums actually paid during 1991 was
$6,706. In addition, an expenditure of $12,972 was recognized
to increase the liability for the estimated cost of employees
who will be eligible to enter the program on or before
December 31, 1995.
Note 16: Fund Chanqes
The following funds were opened during 1991:
Debt Service:
Certificates of Indebtedness
Tax Increment Bonds of 1991
Enterprise:
Water Utility Fund
Sanitary Sewer Fund
Storm Drainage Fund
The following funds were closed during 1991:
Debt Service:
Improvement Bonds of 1976
Enterprise:
Public Utility Fund
The followin funds w e
y er reclassified t• �ifferent fun� types
during 1991:
From Special Revenue Funds to Capital Projects Funds:
Housing and Redevelopment Authority
Economic Development Authority
From Special Revenue to Internal Service Funds:
Employee Retirement Fund
�r
-49-
Note 17: Chanae in the Method of Accountin4:
For Street Improvement Aid
The Capital Projects Municipal State Aid For Construction
Fund has been recording State of Minnesota street improvement
aid as revenue in the year the State allocated the funds to
the City. However, such funds were not available to the City
until an equal amount had been expended by the City on
improvements or repairs to specific streets in the City.
On December 31, 1990, the City changed its method of
accounting for street improvement aid by recognizing the
annual allotment as deferred revenue. Thereafter, such
amounts will be recognized as revenue in the period in which
aZlowable expenditures are incurred. The new method of
accounting for street improvement aid was adopted to properly
match the revenue source with the incurred expenditures in the
period in which the street improvements are performed.
The cumulative effect of the change on the Municipal State Aid
For Construction Fund was a charge of $1,633,835 against the
deficiency of revenues and other financing sources over
expenditures and other financing uses.
Note 18: Lease
The City leases space for the operation of one of its,three
municipal liquor stores, under a five-year lease which expires
in 1994. Rental expense under the lease agreement for the
years ended December 31, 1991 and 1990 was $34,747 and
$36,950, respectively. Future minimum rental payments under
the lease agreement are $24,640 in 1992 through 1994.
I
Note 19: Subsectuent Event
On January 13, 1992, the City sold $4,270,000 of General
Obligation Tax Increment Refunding Bonds. Al1 the bonds are
general obligations of the City, and have the full faith and
credit of the Cit le
y p dged for their re a ent.
P Ym
It is intended that the bonds will be repaid entirely from tax
increments collected from the tax increment district. The
bonds were issued to refund in advance of their stated
maturities, all of the bonds maturing in the years 1997
through 2003 of the City's General Obligation Tax Increment
Bonds of 1985. The City will realize total net savings of
$430, 747 with a present value of $295, 046 on the difference in
the interest rates between the Bonds of 1991 and the Bonds of
1985. The Bonds of 1985 will be called for payment in 1996.
-50-
City of Brooklyn Center, Minnesota
GENERAL FUND
The City of Brooklyn Center Home Rule Charter provides in Section
7.11 that "there shall be maintained in the City Treasury a
classification of Funds which shall provide for a General Fund for
the payment of such expenses of the City as the Council may deem
proper, and such other funds as may be required by statute,
ordinance or resolution".
1 The General Fund was established to account for all revenues and
expenditures which are not required to be accounted for in other
funds. It has more diverse revenue sources than other funds.
These revenue sources include property taxes, licenses, permits,
fines and forfeits, intergovernmental, service charges, rents, and
investment earnings. The Fund's resources finance a wide range of
functions, including the current operations of general government,
public safety, public works, health and welfare, recreation, and
non-departmental expenditures.
This Fund utilizes the modified accrual basis of accounting.
Revenues are recognized in the accounting period in which they
become available and measurable. Expenditures are recognized in
the accounting period in which the related liability is incurred.
t
-51-
Ci f
ty o Brooklyn Center A-1
General Fund
BALANCE SHEET
December 31, 1991
1991 1990
ASSETS
Cash and investments $5,321,044 $4,216,330
Temporary improvement notes 914,825 1,925,238
Accounts receivable 42,604 32,932
Taxes receivable 189,647 196,530
Due from other governments 15,284 22,482
Interfund loan-E. Brown T.I.F. 105,074 105,074
TOTAL ASSETS $6,588,478 $6,498,586
LIABIUTIES AND FUND BALANCE
Liabilities
Accounts payable $510,289 $352,711
Accrued salaries payable 286,020 259,757
Accrued vacation and sick pay 520,012 488,821
Deferred revenue 163,582 187,271
Total Liabilities 1,479,903 1,288,560
Fund Balance
Reserved for: Interfund loans 105,074 105,074
Unreserved fund balance
Designated:
Working capital 4,656,444 4,778,969
Appropriated to next budget 347,057 325,983
Total Fund Balance 5,108,575 5,210,026
TOTAL
LIABILITIES AND FUND BALANCE $6,588,478 $6,498,586
-52-
Ci t of Br
Y ooklyn Center p, 2
General Fund
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN
FUND BALANCE BUDGET (GAAP BASIS) AND ACTUAL
Year Ended December 31, 1991
1991
Actual Over
or Under(-) 1990
Budaet Actual Budcret Actual
Revenues
Property taxes $4,406,902 $4,274,089 ($132,813) 53,854,798
Licenses and permits 315,000 311,751 (3,249) 297,495
Intergovernmental 2,951,941 2,926,570 (25,371) 3,201,888
Charges for services 888,145 881,213 (6,932) 919,537
Court fines 285,000 202,090 (82,910) 215,804
Investment earnings 325,000 323,106 (1,894) 357,526
Miscellaneous 22,218 37,694 15,476 86,097
Total Revenues 9,194,206 8,956,513 8,933,145
Ex�enditures
General government 1,657,105 1,591,108 (65,997) 1,570,143
Public safety 4,064,513 3,950,862 (113,651) 3,474,108
Public works 1,900,241 1,827,052 (73,189) 1,866,847
Community services 121,391 104,706 (16,685) 114,633
Parks and recreation 1,961,570 1,870,385 (91,185) 1,842,294
Economic development 183,000 177,179 (5,821) 169,942
Non-departmental 455,511 414,149 (41,362) 396,550
Total Expenditures, 10,343,331 9,935,441 (407,890) 9,434,517
Excess or Deficiencv(-) of
Revenues Over Exnendit�.ires (1,149,125) (978,928) 170,197 (501,372)
Other Financina Sources
Operating transfers in 159,600 177,477 17,877 174,925
Sale of cert. of indebtedness 700,000 700,000 0
Total Other Financina
Sources 859,600 877,477 17,877 174,925
Excess or Deficiencv(-) of
Revenues and Other Financina
Sources Over Exnenditures (289,525) (101,451) 188,074 (326,447)
Fund Balance January 1 5,210,026 5,210,026 5,569,072
Decrease in Reserve for Inventory 32
,599)
Fund_Balance_December-31 $4 $5,108,575 $188,074 55,210,026
i
-53-
S-1
City of Brooklyn Center (Continued next page)
General Fund
SCHEDULE OF REVENUES AND OTHER FINANCING SOURCES
BUDGET AND ACTUAL
For the Year Ended December 31, 1991
1991
Actual Over
or Under(-) 1990
Budqet Actual Budqet Actual
Ad Valorem Taxes
Property taxes $3,996,302 $3,897,499 ($98,803) $3,487,029
Penalties and interest 20,000 1,022 (18,978) 2,089
Lodging tau 390,600 373,007 (17,593) 365,680
Special assesements 2,561 2,56y
Total Ad Valorem Taxes 4,406,902 4,274,089 (132,813) 3,854,798
Licenses and Permits
Liquor and beer 126,700 138,348 11,648 121,667
Building permits 90,000 82,079 (7,921) 80,750
Mechanical permits 25,000 19,445 (5,555) 19,369
Sewer and water permits 1,500 996 (504) 780
Plumbing permits 8,000 6,650 (1,350) 6,942
Electrical permits 39 39 37
Garbage licenses 1,800 1,985 185 1,735
Taxicab licenses 1,300 563 (737) 1,590
Mechanicallicenses 3,000 3,756 756 4,168
Food licenses 22,000 23,019 1,019 21,823
Service station licenses 2,000 1,910 (90) 1,653
Vehicle dealer licenses 900 900 0 900
Bowling licenses 700 808 108 700
Cigarette licenses 400 1,273 873 179
Swimming pool licenses 2,700 2,942 242 2,866
Sign permits 2,000 1,842 (158) 2,068
Rental dwelling permits 14,000 12,999 (1,001) 18,613
Lodging establishments 900 1,105 205 765
Amusement licenses 5,000 5,967 967 5,230
Dog licenses 5,600 3,426 (2,174) 3,677
Miscellaneous business license 1,500 1,699 199 1,983
Total Licenses and Permits 315,000 311,751 (3,249) 297,495
-54-
I S-1
City of Brooklyn Center (Continued next page)
General Fund
SCHEDULE OF REVENUES AND OTHER FINANCING SOURCES
BUDGET AND ACTUAL
For the Year Ended December 31, 1991
1991
Actuai Over
or Under(-) 1990
Budqet Actual Budqet Actual
Interaovernmental
I Federal grants:
Miscellaneous grants $5 000 $7 330 $2 330 $6 974
Total Federal Grants 5,000 7,330 2,330 6,974
State grants:
Locat government aid 1,681,224 1,679,415 (1,809) 1,954,435
Homestead credit aid 953,469 953,469 0 953,640
Police pension aid 180,000 176,958 (3,042) 160,109
Fireman pension aid 85,000 70,248 (14,752) 85,647
Police training 15,000 14,402 (598) 11,040
!I Miscellaneous grants 32,248 24,748 (7,500) 30,043
l
Total State Grants 2,946,941 2,919,240 (27,701) 3,194,914
Total Interqovernmental Rev. 2,951,941 2,926,570 (25,371) 3,201,888
Charaes for Services
Engineering and clerical fees 100,000 103,789 3,789 155,746
General government charges 26,800 25,383 (1,41 28,480
Public safety charges 17,000 20,540 3,540 17,151
Recreation fees 744,345 731,501 (12,844) 718,160
Q 888,145 881 213 6 932 919 537
Total Char es for Services
Court Fines
Fines 285,000 202,090 (82,910) 215,804
Total Court Fines 285,000 202,090 (82,910) 215,804
I Miscellaneous
Rent 12,000
Interest on investments 325,000 323,106 (1,894) 357,526
�orfeited drug money 12,718 19,073 6,355 43,769
>:�ther ,500 18,621 9,121 30,328
9
I Total Miscellaneous 347,218 360,800 13,582 443,623
Total Revenue $9,194,206 $8,956,513 $237,693 $8,933,145
I
-55-
S-1
City of Brooklyn Center (Continued from
General Fund prior page)
SCHEDULE OF REVENUES AND OTHER FINANCING SOURCES
BUDGET AND ACTUAL
For the Year Ended December 31, 1991
1991
Actuai Over
or Under(-) 1990
Budpet Actual Budqet Actual
Other Financinc� Sources
Operating transfers in:
Liquor Fund $130,000 $130,000 $0 $110,000
M.S.A. Fund 29,600 29,582 (18) 64,925
Storm Drainage Fund 17,895 17,895
Sale of cert. of indebtedness 700,000 700,000 0
Total Other Financina Sources 859,600 877,477 17,877 174,925
Total Revenue and Other Sources $10,053,806 $9,833,990 ($219,816) $9,108,070
-56-
City of Brooklyn Center S-2
General Fund
I SCHEDULE OF EXPENDITURES COMPARED TO BUDGET {GAAP BASIS) (Continued
For the Year Ended December 31, 1991 next page)
1991
Actual Over
or Under(-) 1990
Budaet Actual Budcret Actual
General Government
Mayor and Cbuncil:
Personal services 527,926 $29,286 51,360 $17,417
Services and other charges 46,509 (1,191) 53,385
Total Mavor and Council 75,626 75,795 269 70,802
Charter Commission:
Services and other charges 1 500 1,177 (323) 1,354
Total Charter Commission 1,500 (323) 1,354
Administrative Office:
Personal services 336,626 318,837 (17,789) 340,789
Services and other charges 36,100 20,585 (15,515) 18,082
Capital outlay 500 330 (170) 516
Charged to other funds (74,476) (74,476) 0 (68,408)
Total Administrative Office 298,750 265,276 (33,474) 290,979
Elections and Voter Registration:
Personal services 24,950 13,917 (11,033) 31,564
Supplies 0 1,161
Services and other charges 3,015 3,146 131 4,328
r
Total Elections 27,965 17,063 (10,902) 37,053
Assessor's Office:
Personal. services 182,907 173,010 (9,697) 162,939
Supplies 4,150 1,221 (2,929) 2,608
Services and other charges 5,950 4,096 (1,854) 3,655
Capital outlay 0 368
Total Assessor's Office 193,007 178,327 (14,680) 169,570
I
Finance:
Personal services 381,432 376,181 (5,251) 339,277
Supplies 2,400 1,921 (479) 2,465
Services and other charges 1,975 1,450 (525) 1,399
Capital outlay 1,790 1,094 (696) 2,513
Charged to other funds (203,810) (203,810) 0 (184,747)
Total Finance 183,787 176,836 (6,951) 160,907
-57-
City of Brooklyn Center S-2
General Fund
SCHEDULE OF EXPENDITURES COMPARED TO BUDGET (GAAP BASIS) (Continued
For the Year Ended December 31, 1991 next page)
1991
Actual Over
or Under(-) 1990
Budaet Actual Budaet Actual
General Government (continued)
Independent Audit:
Services and other charges 15,400 15,400 0 15,000
Total IndeDendent Audit 15,400 15,400 0 15,000
Legal:
Services and other charges $200,009 $185,993
Total Leaal 200,600 200,009 (591) 185,993
l
Government Buildings:
Personal services 207,093 205,344 (1,749) 198,649
Supplies 21,825 23,903 2,078 21,402
Services and other charges 145,128 156,101 10,973 166,473
Capital outlay 59,288 53,195 (6,093) 65,870
Total Government Buildinas ___433,334 ___438,543 _____5,209 ___452,394
Data Processing:
Supplies 7,000 7,438 438 5,075
Services and other charges 137,412 142,634 5,222 120,390
Capital outlay 82,724 72,610 (10,114) 60,626
Total Data Processina 227,136 ___222,682 (4,454) 186,091
Total General Government $1,657,105 $1,591,108 ($65,997) 51,570,143
-58-
City of Brooklyn Center S-2
General Fund
SCHEDULE OF EXPENDITURES COMPARED TO BUDGET (GAAP BASIS) (Continued
For the Year Ended December 31, 1991 next page)
1991
Actual Over
or Under(-) 1990
BudQet Actual Bud4et Actual
Public Safety
Police Protection:
Personal services $2,637,830 $2,567,997 (569,833) $2,312,505
Supplies 53,257 38,057 (15,200) 58,762
I I Services and other charges 221,987 255,216 33,229 240,625
Capital outlay 80,710 76,417 (4,293) 102,733
Total Police Protection 2,993,784 2,937,687 (56,097) 2,714,625
Fire Protection:
Personal services 269,891 249,201 (20,690) 247,817
Supplies 20,740 22,005 1,265 16,980
Services and other charges 32,630 24,748 (7,882) 38,693
Capital outlay ___329,838 67,088
Total Fire Protection, 658,440 625,792 (32,648) 370,578
Protective Inspection:
Personal services 289,350 286,452 (2,898) 269,004
Supplies 4,520 3,616 (904) 1,773
Services and other charges 21,283 21,342 59 38,450
Capital outlay 75 61 (14) 1,486
Total Protective InsDection 315,228 311,471 (3,757) 310,713
Emergency Preparedness:
Personal services 61,004 47,742 (13,262) 51,439
Supplies 2,234 687 (1,547) 1,068
Services and other charges 9,522 5,354 (4,168) 8,646
Capital outlay 800 800 0 1,307
Total Emeraencv Preoaredness 73,560 54,583 (18,977) 62,460
Animal Control:
Personal services 16,046 11,711 (4,335) 10,609
Supplies 580 1,949 1,369 176
Services and other charges 6,875 7,669 794 4,947
i
Total Animal Control 23,501 21,329 (2,172) 15,732
Total Public Safetv $4,064,513 $3,950,862 ($113,651) $3,474,108
I
-59-
f S-2
City o Brooklyn Center
General Fund
SCHEDULE OF EXPENDITURES COMPARED TO BUDGET (GAAP BASIS) (Continued
For the Year Ended December 31, 1991 next page)
1991
Actual Over
or Under(-) 1990
Budcret Actual Budaet Actual
Public Works
Engineering Department:
Personal services $437,441 $427,446 ($9,995) $413,007
Supplies 4,700 3,594 (1,106) 4,123
Services and other charges 8,865 4,872 (3,993) 9,819
Capital outlay 3,200 3,015 (185) 611
Charged to other funds (45,864) (45,864) 0 (63,103)
Total Enaineerina Deot. 408,342 393,063 (15,279) 364,457
Street Department:
Personal services 537,833 522,124 (15,709) 492,702
Supplies 157,600 128,765 (28,835) 117,538
Services and other charges 160,000 159,905 (95) 129,627
Capital outlay 121,652 113,530 (8,122) 127,215
Charged to other funds (91,525) (91,525) 0
Total Street Deot. 885,560 832,799 (52,761) 867,082
Maintenance Shop:
Personal seryices 158,685 149,926 (8,759) 143,132
Supplies 189,300 219,502 30,202 196,694
Services and other charges 92,200 79,558 (12,642) 87,181
Capital outlay 5,000 4,781 (219) 4,136
Total Maintenance Shoo 445,185 453,767 8,582 431,143
Traffic Signals and Lights:
Services and other charges 161,154 147,423 (13,731) 158,040
Total Traffic 161,154 147,423 (13,731) 158,040
watershed Districts:
Services and other charges 46,125
Total Watershed Districts 0 0 0 46,125
Total Public Works $1,900,241 51,827,052 (573,189) $1,866,847
-60-
City of Brooklyn Center S-2
General Fund
SCHEDULE OF EXPENbITURES COMPARED TO BUDGET (GAAP BASIS) (Continued
For the Year Ended December 31, 1991 next page)
1991
Actual Over
or Under(-) 1990
Budaet Actual Budaet Actual
Community Services
Health Inspection:
Service and other charges $91,900 $75,215 ($16,685) $88,546
Total Health InsDection 91,900 75,215 (16,685) 88,546
Social Services:
Service and other charges 29,491 29,491 0 26,087
Total Social Services 29,491 29,491 0 26,087
Total Communitv Services $121,391 $104,706 ($16,685) 5114,633
Parks and Recreation,
Administration:
Personal services 257,378 256,245 (1,133) 242,871
Supplies 8,000 11,269 3,269 9,481
Services and other charges 27,000 23,581 (3,419) 24,482
Capital outlay 17,500 17,697 197 7,673
Total Administration_ ___309,878 308,792 (1,086) 284,507
Adult Programs:
Personal services 49,343 83,209 33,866 76,472
Supplies 55,152 47,320 (7,832) 51,545
Services and other charges 196,773 150,986 (45,787) 158,053
Capital outlay 400 0 (400) 0
Total Adult Proarams 301,668 281,515 (20,153) 286,070
Teen Programs:
Personal services 6,700 5,858 (842) 5,801
Supplies 1,230 194 (1,036) 254
Services and other charges 3,850 5,018 1,168 3,112
Capital outlay 1,867 1,774 (93} 990
Total Teen Proarams 13,647 12,844 (803) 10,157
Children's Programs:
Personal services 50,231 52,376 2,145 52,530
Supplies 10,562 9,560 (1,002) 11,117
Services and other charges 14,800 12,376 (2,424) 9,140
Capital outlay 0 370
Total Children's Proqrams 75,593 74,312 (1,281) 73,157
-61-
S-2
City of Brooklyn Center (Continued from
General Fund prior page)
SCHEDULE OF EXPENDITURES COMPARED TO BUDGET (GAAP BASIS)
For the Year Ended December 31, 1991
1991
Actual Over
or Under(-) 1990
Budcret Actual Budaet Actual
Parks and Recreation (continued)
General Programs:
Personal services 534,312 $39,105 $4,793 530,495
Supplies 2,525 2,235 (290) 3,152
Services and other charges 46,914 40,265 (6,649) 46,694
Total General Proarams 83,751 81,605 (2,146) 80,341
Community Center:
Personal services 268,562 285,618 17,056 263,005
Supplies 51,750 38,114 (13,636) 55,922
Services and other charges 149,877 135,142 (14,735) 153,022
Capital outlay 15,398 _____3,007 29,407
Total Communitv Center 485,587 477,279 (8,308) 501,356
Park Maintenance:
Personal services 351,269 338,459 (12,810) 345,029
Supplies 80,000 67,485 (12,515) 61,504
Services and other charges 129,767 113,427 (16,340) 120,593
Capital outlay 141,935 126,192 (15,743) 79,58Q
Charged to other funds (11,525) (11,525) 0
Total Park Maintenance, 634,038 606,706
Total Parks and Recreation, $1,961,570 51,870,385 ($91,185) 51,842,294
Economic Develonment
Convention Bureau:
Services and other charges 183,000 177,179 (5,821) 169,942
Total Economic DeveloDment $183,000 $177,179 ($5,821) $169,942
Non-Denartmental
Expenditures not Charged to
Departments:
Personal services 175,000 181,410 6,410 180,536
Supplies 25,000 19,876 (5,124) 20,510
Services and other charges 253,361 210,720 (42,641) 192,406
Capital outlay 2,150 2,143 (7) 3,098
Total Non-Deoartmental $455,511 $414,149 ($41,362) $396,550
Total Expenditures $10,343,331 $9,935,441 _($407,890) $9,434,517
r
-62-
City of Brookl n Center Minnesota
Y
SPECIAL REVENUE FUNDS
The S ecial
p Revenue Funds are established to account for revenues
derived from taxes and/or other specific revenue sources. These
resources are usually restricted by statute, City Charter or ordinance
to finance specific City functions or activities.
This fund type utilizes the modified accrual basis of accounting.
Revenues are recognized in the accounting period in which they become
available and measurable. Expenditures are recognized in the
accounting period in which the related liability is incurred.
Earle Brown Farm Tax Increment Financ'
inq District: This fund has the
authority to collect tax increments which are used for the historic
restoration of the Earle Brown Farm and for debt service payments of
bonds which also issued for that purpose.
Diseased Tree Removal Fund: This Fund was established to account for
the collection of resources and expenditure of these resources for
diseased tree control. Costs are reimbursed by private property
owners, or the City, depending upon where the tree was located.
I
Communitv Development Block Grant Fund: The Fund was established to
account for funds received under Title I of the Housing and Community
Development Act of 1974. Transfers are made from this Fund to the
Economic Development Authority Fund where accounting for project costs
takes place.
-63-
City of Brooklyn Center g-1
Special Revenue Funds
COMBINING BALANCE SHEET
December 31, 1991
Earle Brown
Tax Incr. Diseased Community
Financing Tree Development Totals
District Removal Block Grant 1991 1990
ASSETS
Cash and investments $43,002 $19,479 $62,481 $9,442
Accounts receivable 2,020 2,020 5,358
Delinquent taxes 0 3,838
Deferred special assessments 33,963 33,963 23,139
Delinquent special assessments 1,440 1,440 1,573
Due from other governments $66,922 66,922 106,109
TOTAL ASSETS $43,002 $56,902 $66,922 $166,826 $149,459
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable $6,863 $6,863 $37,568
Due to other funds $66,922 66,922 106,1�9
Temporary Improvement Notes 1,779,215 1,779,215 6,832,000
Deferred revenue $35,403 35,403 24,712
Advances from other funds 698,143 698,143 698,143
Total Liabilities 2,484,221 35,403 66,922 2,586,546 7,698,532
Fund Balances (Deficits)
Unreserved (2,441,219) 21,499 0 (2,419,720) (7,549,073)
Total Fund Balances (Deficits� (2,441,219) 21,499 0 (2,419,720) (7,549,073)
TOTAL LIABILITIES AND
FUND BALANCES (DEFICITS) $43,002 $56,902 $66,922 $166,826 $149,459
City of Brooklyn Center 6=2
Special Revenue Funds (Continued next page)
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES BUDGET AND ACTUAL
For the Year Ended December 31, 1991
Earle Brown Farm
Tax Increment District Diseased Tree Removal
Over Over
Under(-) Under(-)
Budpet Actual Budnet Bud�et Actual Buds�et
Revenues
Propertytaxes $1,088,000 51,377,594 $311,594
Special assessments
$20,00o si s,�so ��,2�0�
Total Pro�ertvTaues 1,068,000 1,377,584 311,594 20,000 16,730 (3,270)
Intergovernmental:
Federal grants
Total Interaovemmental
Charges for services:
Fees 70,000 49,744 (20,256)
Total Charaes for Services 70,000 49,744 (20,256)
Miscellaneous:
Investment eamings �6 �6
Total Miscellaneous �6
Total Revenues 1,066,000 1,377,594 311.594 90,000 86,820 (23,180)
Exoenditures
Services and other charges 20,000 82,574 B2,574 90,000 56,310 (33,690)
Capital outlay 332,556 380.729 48,173
Interest 100,000 229,446 128,446
Totai Exoenditures 452,556 892,749 240,193 90,000 56,310 (33,690)
Excess or Deficiencv of Revenues Over Ex�enditures 813,444 684,845 71,401 0 10,510 10,510
Other Financina Sources or Uses(-)
Operating transfers out (1,289,432) (1,562,85� (273,425)
Sale of Bonds 6,050,000 5,996,855 (53,145)
Total Other Financina Sources or Usesf-) 4,760,568 4,433,998 (326,570)
Excess or Deficiencv of Revenues and Other Sources
Over Ex�enditures and Other Uses 5,374,012 5,118,843 (255,169) 0 10,510 10,510
Fund Balances (Deficitsl Januarv 1 (7,560,062) (7,560,062) 0 10,988 10,989 0
Fund Balances (Deficits) December 31 ($2,186,050) ($2,441,219) ($255,169) $10,989 $21,499 $10,510
-65-
City of Brooklyn Center B_2
Special Revenue Funds (Continued from prior page)
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES BUDGET AND ACTUAL
For the Year Ended December 31, 1991
Community Development
Block Grant Fund Totals
Over Over
Under(-) 1991 1991 Under(-) 1990
Buds�et Actual Budget Budget Actual Budpet Actual
Revenues
Propertytaxes $1,066,000 $1,377,594 $311,594 $976,539
Special assessments 20,000 16,730 (3,270) 9,005
Total ProoertvTaxes 1,086,000 1,394,324 308,324 985,544
Intergovernmental:
Federal grants $185,000 5780,440 ($14,560) 195,000 180,440 (14,580) 155,804
Totallnteraovernmental 185,000 180,440 (14,560) 195,000 180,440 (14,560) 155,804
Charges for services:
Fees 70,000 49,744 (20,256) 87,896
Total Charaes for Services 70,000 49,744 (20,256) 87,896
Miscellaneous:
Investment earnings 346 346 2,532
Total Miscellaneous 346 346 2,532
Total Revenues 195,000 180,440 (14,560) 1,351,000 1,B24,854 273,854 1,231,776
Exaenditures
Services and other charges 110,000 138,884 28,884 104,859
Capital outlay 332,556 380,729 48,173 4,632,762
Interest 100,000 229,446 129,446 390,387
Total Exoenditures 542,556 749,059 206,503 5,128,008
�i
Encess or Deficiencv of Revenues Over Exoenditures 195,000 180,440 (14,560) 808,444 875,795 6�,351 (3,896,232)
Other Financina Sources or Uses(-)
Operating transfers out (195,000) (150,440) 14,560 (1,484,432) (1,743,29� (258,865) (1,030,836)
Sale of Bonds 6,050,000 5,996,855 (53,14�
Total Other FinancinQ Sources or Uses(-) (195,000) (180,440) 14,560 4,565,568 4,253,558 (312,010) (1,030,636)
Excess or Deficiencv of Revenues and Other Sources
Over Expenditures and Other Uses 0 0 0 5,374,012 5,129,353 (244,659) (4,926,868)
I I Fund Balances (Deficits) Januarv 1 0 0 0 (7,549,073) (7,549,073) 0 (2,622,205)
Fund Balances (Deficits) December 31 $0 s0 $0 (E2,175,061) ($2,419,720) ($244,659) ($7,549,073)
i
-66-
City of Brooklyn Center, Minnesota
DEBT SERVICE FUNDS
The Debt Service Funds were established to account for the payment
(from taxes and other resources) of interest and principal on long-
term general obligation debt.
This fund type utilizes the modified accrual basis of accounting.
Revenues are recognized in the accounting period in which they become
available and measurable. Expenditures �are recognized in the
accounting period in which the principal and interest are due.
The City's Debt Service funds included in this section are:
Certificates of Indebtedness Debt Service Fund: This Fund accounts
for the property taxes raised to pay the principal and interest on
certificates of indebtedness sold in 1991 to finance the purchase of
capital equipment in the General Fund.
General Oblicration State Aid Street Bonds Debt Service,: This Fund
accounts for the accumulation of state aid allotments, for payment of
principal and interest on bonds issued in 1991 to finance a
comprehensive improvement and upgrading 69th Avenue North as a state
aid route.
Park Bonds of 1980 Debt Service Fund,: This Fund was established to
account for the accumulation of resources for payment of principal and
interest on general obligation bonds authorized by the electorate in
1980 to finance the improvement and equipping of parks, park lands and
re3ated public recreational facilities. These improvements include
neighborhood parks, Central Park, Palmer Nature Center, Shingle Creek
Trailway and the Arboretum.
General Oblicration Tax Increment Bonds of 1983 Fund: This Fund
accounts for the accumulation of resources for payment of principal
and interest on general obligation bonds issued in 1983 to finance
purchase of land and installation of utilities for housing for the
elderly.
General Obliaation Tax Increment Bonds of 1985 Fund,: This Fund was
established to account for the accumulation of resources for payment
of principal and interest on general obligation bonds issued in 1985
to finance the purchase and redevelopment of the historic Earle Brown
Farm in Brooklyn Center.
Improvement Bond Funds: This fund accounts for the collection of
special assessments for the payment of principal and interest on
general obligation bonds of 1976.
Refundinq Bonds of 1987 Fund: This fund was established to account
for the collection of special assessments for the payment of principal
and interest on general obligation bonds. The bonds were sold during
1987 to refund Improvement Bonds of 1982.
-67-
City of Brooklyn Center
Debt Service Funds
COMBINING BALANCE SHEET
December 31, 1991
Tax Tax Tax
Certificates Park Increment Increment Increment Refunding
of Bonds Bonds Bonds Bonds Bonds Totals
Indebtedness of 1980 of 1983 of 1985 of 1991 of 1987 1991 1990
ASSETS
Cash and investments $414,804 $654,107 $430,476 $524,061 $1,047,254 $3,070,702 $3,149,159
Temporary improvement notes 71,401 112,593 74,099 90,208 180,266 528,567 1,441,069
Taxes receivable $6,093 13,376 35,609 55,078 15,298
Special assessments receivable:
Deferred 797,085 797,085 973,140
Delinquent 8,700 8,700 21,402
TOTAL ASSETS $6,093 $499,581 $802,309 $504,575 $614,269 $2,033,305 $4,460,132 $5,600,068
I
LIABILITIES AND FUNDBALANCES
Liabilities
Accounts payable $1,475
Deferred revenue $6,093 $13,376 $805,785 $825,254 1,009,840
Total Liabilities 6,093 13,376 805,785 825,254 1,011,315
Fund Balance
Reserved 486,205 $802,309 $504,575 $614,269 1,227,52D 3,634,878 4,588,753
Total Fund Balances 486,205 802,309 504,575 614,269 1,227,520 3,634,878 4,588,753
TOTAL LIABILITIES AND FUND BALANCES $6,093 $499,581 $802,309 $504,575 $614,269 $2,033,305 $4,460,132 $5,600,068
City of Brooklyn Center C-2
Debt Service Funds
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUIVD BALANCES
Year Ended December 31, 1991
State Tax Tax Tax
Certificates Aid Park Increment Increment Increment Improvement Refunding
of Street Bonds Bonds Bonds Bonds Bonds Bonds Totals
Indebtedness Bonds of 1980 of 1983 of 1985 of 1991 of 1976 of 1987 1991 1990
Revenues
Property taxes $242,143 $286,575 $206,950 $452 $736,120 $403,971
Special assessments 4,678 $296,984 301,662 332,006
Intergovenmental revenue 58,944 69,995 128,939 74,771
Investment earnings 4,913 17,950 44,868 $27,238 $28,518 69,674 73,735 266,896 320,833
Total Revenues 306,000 374,520 251,818 27,238 28,518 74,804 370,719 1,433,617 1,131,581
F�cnenditures
Principal $250,000 $60,000 280,000 75,000 60,000 60,000 155,000 940,000 530,000
Interest 56,000 2,025 56,420 52,025 405,625 142,531 1,620 30,155 746,401 585,992
Fiscal agent fees 343 741 704 840 450 257 551 3,886 5,047
Total Exqenditures 306,000 62,368 337,161 127,729 466,465 142,981 61,877 185,706 1,690,287 1,121,039
Excess or DeficiencY of Revenues
Over Ex�enditures 0 (62,368) 37,359 124,089 (439,22� (114,463) 12,927 185,013 (256,670) 10,542 j
Other Financina Sources or Uses(-�
Operating transfers in 62,368 475,000 728,732 1,266,100 496,549
Total Other Financina Sources or Uses(-� 62,368 475,000 728,732 1,266,10Q 496,549
Excess or Deficiencv of Revenues and
Other Sources over Exoenditures 0 0 37,359 124,089 35,773 614,269 12,927 185,013 1,009,430 507,091
FundBalancesJanuarvl 0 0 448,846 678,220 468,802 1,950,378 1,042,507 4,588,753 4,081,662
Equity Transfer Out 1,963,305 1,963,305
Fund Balances December 31 $0 $0 $486,205 $802,309 $504,575 $614,269 $0 $1,227,520 $3,634,878 $4,588,753
xm=�eoeeeee�e===e=== =emea ma-ms ooeexea a�oeoee a=aaeao eee�aas exeeex ee�aose oo-eooee os=oee=x
I� City of Brooklyn Center, Minnesota
CAPITAL PROJECTS FUNDS
The Capital Projects Funds are establishecl to account for all
resources used for the construction or acquisition of capital
facilities by the City except those financed by Enterprise Funds.
This fund type utilizes the modified accrual basis of accounting.
Revenues are recognized in the accounting period in which they
I become available and measurable. Expenditures are recognized in
the accounting period in which the related liability is incurred.
The City's Capital Projects Funds included in this section are:
Ca�ital Improvements Fund: This Fund was established in 1968 to
provide funds, and to account for the expenditure of such funds,
for major capital outlays including, but not be limited to,
construction or acquisition of major permanent facilities having a
relatively long life; and/or to reduce debt incurred for capital
outlays. The financing sources of the Fund include ad valorem
taxation, transfers from other Funds, issuance of bonds, federal
and state grants, and investment earnings.
Municipal State Aid for Construction Fund,: This Fund was
established to account for the state allotment of gasoline tax
collections used for transportation related construction projects.
Special Assessment Construction Fund: This Fund was established to
account for the resources and expenditures required for the
acquisition and construction of capital facilities or improvements
financed wholly or in part by special assessments levied against
benefitted properties.
Housina and Redevelopment Fund fH.R.A.): This fund has authority
to levy an ad valorem property tax for the purpose of conducting
housing and redevelopment projects. These projects are now done in
the E.D.A. Fund and all tax proceeds are transferred to that fund.
Economic Development Authoritv Fund: This Fund was established to
account for the Economic Development Authority (E.D.A.) of Brooklyn
Center. The E.D.A. carries out activities which previously were
done by the H.R.A., plus it has authority to operate an enterprise.
The Earle Brown Heritage Center operates under this authority and
a statement of its operations can be found in the enterprise fund
section of this report. The E.D.A. also does redevelopment and
housing projects, funded by transfers from the C.D.B.G. and H.R.A.
funds.
-70-
City of Brooklyn Center D
Capital Projects Funds
COMBINING BALANCE SHEET
December 31, 1991
Municipal Special Economic
Capital State Aid Assessment Development Totals
Improvement for Construction Authority
Fund Construction Fund Fund 1991 1990
ASSETS
Cash and irnestments $4,870,190 $4,897,102 $212,073 $676,192 $10,655,557 $5,887,267
Temporary improvement notes 838,316 842,949 288,804 1,970,069 2,062,938
Taxes receivable 5,157 5,157 5,431
Special assessments:
Deferred 1,330,718 1,330,718 1,486,369
Delinquent 22,226 22,226 10,295
Due from other funds 66,922 66,922 156,109
Due from other governments 810,559 810,559 1,633,835
Interfund loans:
Municipat liquor 216,gg5 216,895 233,151
Golf course 1,120,000 1,120,000 1,100,000
Earle Brown T.I.F. District 593,069 593,069 593,069
Restricted investments 1,000,000 1,000,000
TOTAL ASSETS $7,045,401 $7,143,679 $1,565,017 $2,037,075 $17,791,172 $13,168,464
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable $109,218 $19,433 $44,747 $42,003 $215,401 $206,099
Temporary improvement notes 1,626,246 1,626,246 1,616,658
Deferred revenue 810,559 1,352,944 5,157 2,168,660 3,135,930
Total Liabilities 109,218 829,992 3,023,937 47,160 4,010,307 4,958,687
Fund Balances (DeficitsJ
Reserved:
Unexpended appropriations 223,951 918,700 1,142,651 676,925
Dedicated housing account 1,000,000 1,00O,OOQ
Advances to other funds 1,336,895 593,069 1,929,964 1,976,220
Bond proceeds 2,062,073 2,062,073
Unreserved 5,375,337 2,739,845 (1,458,920) 989,915 7,646,177 5,556,632
Total Fund BalanceslDeficits� 6,936,183 6,313,687 (1,458,920) 1,989,915 13,780,865 8,209,777
i
TOTAL LIABILITIES AND
FUNDBALANCES(DEFICITS) $7,045,401 $7,143,679 $1,565,017 $2,037,075 $17,791,172 $13,168,464
1-
I City of Brooklyn Center p_p
Capital Projects Funds
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
For the Year Ended December 31, 1991
Municipal Special Housing Economic
Capital Stata Aid Assessment and Development
Improvements for Construction Redevelop Authority Totals
Fund Construction Fund Fund Fund 1991 1980
Revenues
Property taxes a129.425 $597 $130.022 $107.177
I� Special assessments $1,459 5343,509 344,968 225,951
Intergovernmental: State grants 51,824,252 11,961 1,836,213 1,491,252
Investment earnin9s 414,295 238,311 36,377 135,810 824,793 792,221
Other 800 99,3g4 152,905 253,089 60,367
Total Revenues 416,554 2,161,927 532,791 141,386 136,407 3,389,065 2,67B,968
Expenditures
Personal services 57,289 57,289 25,994
Supplies
150 150 525
i Services and other charges 59,467 198,015 257,482 141,488
Capital outlays 151,051 1.829,568 376.103 62.835 2.419.557 3,872.614
Interest �35,pgq 135,2g4 149,798
Total Exoenditures 151,051 1,889,035 511,39� 318,289 2,869,772 4,193,419
I
Excess or Deficiencv of Revenues
Over Ex�enditures 265,503 272,892 21,394 141,386 (181,882) 519,293 (1,516,451)
Other Financina Sources or Uses(-)
Operating transfers in 307,g2g 321,826 629,454 2,237,055
Operating transfers out (gi,g5p) (3p7,gpg) (�qt,3gg) (540,964) (2,197,593)
Sale of Bonds 3,000,000 3,000,000
Total Other Financina Sources or Uses(-1 3,215,678 (307,628) (141,386) 321,826 3,088,490 39,462
I Excess or Deficiencv of Revenues and
Other
Financinp Sources Over Ex�enditures and
Other Financina Uses Before Cumulative
Effect of Accountina Chanae 265,503 3,488,570 (286.234) 0 139,944 3,607,783 (1,476,989)
Cumulative Effect of Accounting Change (1,633,835)
Excess or Deficiencv of Revenues and Other
Financina Sources Over Exoenditures.
Other Financinq Uses and Cumulative
Effect of Accountina Chanqe 265,503 3,488,570 (286,234) 0 139,944 3,607,783 (3,110,824)
Fund Balance (Deficitsl Januarv 1 5,707,375 2,825,117 (1,172,686) 848,971 8,209,777 11,320,601
EquityTransferin 963,3p5 1,000,000 1,963,305
Fund Balance (Deficits) December 31 $6,936,183 $8,313,687 ($1,458,920) $0 $1,989,915 $13,780,865 $8,209,777
I
i
-72-
City of Brooklyn Center S-3
Capital Improvements Fund
PROJECT-LENGTH SCHEDULE OF CONSTRUCTION PROJECTS
From Beainnina to December 31. 1991
Project Over(-) Under I�
1991 to Date Expended
�e of Pro'�ct A ro riations Expenditures Exqenditures Apqropriations
W Replat I-94 property $33,000 $922 $34,100 ($1,100)
PUPS facility 85,000 87,232 87,232 (2,232)
Tein View Meadows land 26,000 26,086 26,086 (86)
Community Center water slide 213,355 18,398 18,398 194,957
Community Ctr code corrections 31,400 2,364 2,364 29,036
Civic Center water heater 28,295 234 234 28,061
Community Ctr concession stand 14,763 815 815 13,948 I,
Evergreen park play equipment 15,000 15,000 15,000 0
Cable TV Improvements 223,951 223,951
Totals $670,764 $151,051 $184,229 $486,535
rrr �r +rri �r �r �r �r �r �r a� r� �r
r� r �r rr �r �r �r► �r �r rr� r�r �■�r a� �s �w
City of Brooklyn Center S-4
Municipal State Aid Construction Fund
PROJECT-LENGTH SCHEDULE OF CONSTRUCTION PROJECTS
From Beainnina to December 31. 1991
Project Over(-) Under
1991 to Date Expended
Pro'� Number Appropriation Exqenditures Exqenditures Apqroqriations
Signal at S.C.P. Freeway 88-25 $87,920 $5,547 $90,671 ($2,751)
Shingle Creek Parkway Cty Rd 10 87-23 9,065 2,867 5,680 3,385
69th Ave professional services 90-10a 156,000 53,797 116,208 39,792 I
V
69th Ave right of way acquisition 90-10b 2,471,392 1,282,559 2,160,879 310,513 I
Dupont 65th Ave signals 90-11 88,364 2,392 81,241 7,123
Humboldt 65th Ave signals 90-12 61,094 6,449 60,174 920
69th Ave house removals phase II 91-02 500 321 321 179
Humboldt Ave landscaping 91-03 18,850 16,793 16,793 2,057
69th Ave soil correction 90-10 860,217 401,605 401,605 458,612
69th Ave house removals phase III 91-14 5,300 5,514 5,514 (214)
Trail improvement project 91-07 97,833 2,923 2,923 94,910
Brooklyn Blvd sidewalk replacement 91-04 31,179 21,943 21,943 9,236
Humboldt Square trail improvement 91-16 32,730 5,683 5,683 27,047
69th Ave house removals phase IV 91-20 9,971 10,195 10,195 (224)
Various sidewalk reptacements 91-21 11,532 10,980 10,980 552
Totals $3,941,947 $1,829,568 $2,990,810 $951,137
City of Brooklyn Center S-5
Special Assessment Construction Fund
PROJECT-LENGTH SCHEDULE OF CONSTRUCTION PROJECTS
From Beainnina to December 31. 1991
Project Over(-) Under
Project 1991 to Date Expended
�e of Pro'�ect Number ApprOpriations Exqenditures Ex�enditures A ro riations
West River Road 66th to 73rd 88-18 $1,585,705 $107,457 $1,544,408 $41,297
Freeway Blvd. Improvement 89-26 762,463 111,338 784,894 (22,431)
Humboldt Ave Improvement 89-27 234,078 3,262 194,708 39,370
69th Ave Reconstruction Seg 2 90-10 308,600 154,046 273,303 35,297
Totals $2,890,846 $376,103 $2,797,313 $93,533
�r ar rrr r t� �r +�r �r► r
City of Brooklyn Center, Minnesota
ENTERPRISE FUNDS
The Enterprise Funds were established to account for the financing
of self supporting activities of the City which render services on
a user charge basis to the general public.
Revenues and expenses in these Funds are recognized on the accrual
basis of accounting. Revenues are recognized in the accounting
period in which they are earned and become objectively measurable.
Expenses are recognized in the period incurred, if objectively
measurable.
The City's Enterprise Funds included in this section are:
Municitial Liauor Fund: This Fund accounts for the operations of
the City's three municipal off-sale liquor stores.
Golf Course Fund: This fund accounts for operations of Centerbrook
Golf Course, a 9 hole, par 3 course owned by the City.
Earle Brown Heritaqe Center: This fund accounts for the operation
of a pioneer farmstead which has been historically preserved and
restored as a modern multipurpose facility. Its convention center
can host conferences, trade shows, and concerts seating 1,000
people in either banquet or theater style. The "Inn On The Farm"
is a bed and breakfast with eleven rooms available to complement
convention activities or be rented individually. Several of the
barns have been restored as unique office settings which have found
a niche in the market.
Recvclina and Refuse Fund: This fund accounts for the operation
of a state mandated recycling program. Expansion into refuse
collection will take place only when there is a clear advantage to
be achieved by it.
Water Utilities Fund,: This Fund accounts for the provision of
water to customers. Administration, wells, water storage, and
distribution are included.
Sanitarv Sewer Fund: This Fund accounts for the collection and
pumping of sanitary sewage through a system of sewer lines and lift
stations. Sewage is treated by the Metropolitan Waste Control
Commission whose fees represent about 75� of this fund's expenses.
Storm Drainaae Fund: This Fund accounts for the operations and
improvements of the storm water drainage system. It incorporates
not only the storm sewer system, but also water structures such as
holding ponds and facilities to improve water quality. Fees are
based upon the amount of water running off a property and vary with
both size and absorption characteristics of the parcel.
-76-
City of Brooklyn Center E_y
Enterprise Funds Continued next page)
COMBINING BALANCE SHEET
December 31, 1991
E. Brown
Municipal Golf Heritage Recycling Water Sanitary Storm
Liquor Course Center Refuse Utility Sewer Drainage Totals
ASSETS Fund Fund Fund Fund Fund Fund Fund 1991 1990
Current Assets
Cash, cash equivalents and
temporarycash investments $7,034 $42,227 $47,838 $91,913 $608,198 $3,388,214 $102,473 $4,287,897 $4,782,594
Accounts receivable net 2,847 70,530 59,577 139,429 30,636 303,019 237,562
Accrued revenue 21,269 89,188 233,244 60,897 404,598 299,652
Assessments receivable:
Deferred 102,488 3,200 105,688 94,568
Delinquent 1,504 1,186 2,690 3,610
Due from other governments 118,117 118,117 129,137
Inventories 291,600 6,342 17,143 315,085 327,197
Prepaid expenses 4,274 3,065 117,847 125,186 107,942
Total Current Assets 305,755 48,569 121,433 113,182 878,098 4,001,237 194,006 5,662,280 5,982,262
Restricted Assets
Temporary cash investments 3,700,000 300,000 4,000,000 4,000,000
Debt retirement investments 121,755 121,755 123,510
Total Restricted Assets 3,821,755 300,000 4,121,755 4,123,510
Fixed Assets
Mains and lines 7,650,905 5,206,690 12,857,595 12,132,727
Structures 294,852 303,321 9,405,894 4,109,105 1,372,980 15,486,152 14,620,532
Equipment 144,132 123,095 880,188 123,865 160,060 1,431,340 1,366,181
Land 107,405 1,391,711 925,000 23,938 3,388 2,451,442 2,451,442
Land improvements 4,228 30,728 2,600 37,556 37,556
Leasehold improvements 27,834 27,834 27,834
578,451 1,848,855 11,211,082 11,910,413 6,743,118 32,291,919 30,636,272
Less: Allowance for depreciation 214,594 89,193 447,731 3,399,826 2,311,313 6,462,657 5,806,036
Total Fixed Assets 363,857 1,759,662 10,763,351 8,510,587 4,431,805 25,829,262 24,830,236
TOTALS $669,612 $1,808,231 $10,884,784 $113,182 $13,210,440 $8,733,042 $194,006 $35,613,297 $34,936,008
S
r� r r �r r� �r r� r
E-t
(Continued from
E. Brown prior page)
Municipal Golf Heritage Recycling Water Sanitary Storm
Liquor Course Center Refuse Utility Sewer Drainage Totals
Fund Fund Fund Fund Fund Fund Fund 1991 1990
LIABILITIES AND FUND EQUITY
Current Liabilities
Accounts payable $107,528 $3,924 $116,978 $40,652 $25,561 $210,632 $505,275 $389,346
Due to other funds 50,000
Accrued salaries payable 11,764 2,846 2,756 9,966 2,620 29,952 2,237
Accrued vacation and sick pay 15,090 201 6,220 8,987 8,987 39,485 29,554
Temporary improvement note 8,000 8,000 8,000
Current portion of long-term debt 17,693 45,000 62,693 61,256
Total Current Liabilities 160,075 6,971 125,954 40,652 89,514 222,239 645,405 540,393
Lon�-Term Liabilities
Construction loan 199,201 1,120,000 1,319,201 1,316,895
Revenue bonds 45,000
Total Lona-term Liabilities 199,201 1,120,000 1,319,201 1,361,895 I
Fund Eau�
Contributions 692,206 10,758,811 4,997,510 5,618,576 22,067,103 22,008,677
Retained earnings (Deficits):
Reserved:
Debt retirement 121,755 121,755 123,510
Restricted assessments 103,992 4,386 108,378 98,178
Plant expansion 3,700,000 300,000 4,000,000 4,000,000
Unreserved 310,336 (10,946) 19 72,530 4,197,669 2,587,841 $194,006 7,351,455 6,803,355
Total Retained Earninos lDeficits 310,336 (10,946) 19 72,530 8,123,416 2,892,227 194,006 11,581,588 11,025,043
Total Fund Eauitv 310,336 681,260 10,758,830 72,530 13,120,926 8,510,803 194,006 33,648,691 33,033,720
TOTALS $669,612 $1,808,231 $10,884,784 $113,182 $13,210,440 $8,733,042 $194,006 $35,613,297 $34,936,008
City of Brooklyn Center E_2
Enterprise Funds (Continued next page)
COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS
For the Year Ended December 31, 1991
E. Brown
Municipal Golf Heritage Recycling Water Sanitary Storm
Liquor Course Center Refuse Utility Sewer Drainage Totals
Fund Fund Fund Fund Fund Fund Fund 1991 1990
Ooeratina Revenues
Sales and user fees $2,678,840 $278,100 $586,986 $109,909 $703,422 $1,739,770 $374,040 $6,471,067 $5,408,325
Cost of sales 2,025,288 27,877 2,053,165 1,891,899
Net Ooeratina Revenues 653,552 250,223 586,986 109,909 703,422 1,739,770 374,040 4,417,902 3,516,426
Oneratina Ex�enses
Personal services 278,887 122,901 404,981 233,744 135,521 2,833 1,178,867 712,970
Supplies 8,781 17,223 62,644 655 94,945 19,685 22 203,955 178,070
OthBrserviCes 118,685 10,680 347,401 160,767 251,903 1,540,279 161,912 2,591,627 2,135,359
Insurance 28,911 4,261 9,108 42,280 47,650
Utilities 20,715 7,623 94,552 116,516 16,933 256,339 276,047
Rent 34,747 16,997 51,744 316,041
Depreciation 26,175 23,963 320,421 253,574 127,973 752,106 532,704
-------j
Total Ooeratina Euoenses 516,901 186,651 1,256,104 161,422 950,682 1,840,391 164,767 5,076,918 4,198,841
OosratinalncomelLoss� 136,651 63,572 (669,118) (51,513) (247,260) (100,621) 209,273 (659,016) (682,415)
�r r sr r�r +�r r r r� �r �s ui
E-2
(Continued from
E. Brown prior page)
Municipal Golf Heritage Recycling Water Sanitary Storm
Liquor Course Center Refuse Utility Sewer Drainage Totals
Fund Fund Fund Fund Fund Fund Fund 1991 1990
Nono�eratinq Revenues or Exoenses(-1
Investment earnings 2,189 6,238 4,592 344,834 293,993 2,628 654,474 737,878
Special assessments (for service hookups delinquencies) 44,480 1,373 45,853 25,530
Intergovernmental revenue 71,862 71,862 40,877
Other revenue 1,430 1,107 2,537 20,047
Interest and fiscal agent fees (19,194) (57,500) (10,42� (3,695) (90,816) (90,931)
Nonooeratinq Totals (15,575) (51,262) (10,42� 76,454 386,726 295,366 2,628 683,910 733,401
Income Before Operatina Transfers 121,076 12,310 (679,545) 24,941 139,466 194,745 211,901 24,894 50,986
O�eratina Transfers:
In 359,125 359,125 429,700
Out (130,000) (17,895) (147,895) (110,000)
Net Income (Loss) (8,924) 12,310 (320,420) 24,941 139,466 194,745 194,006 236,124 370,686
Denreciation on contributed assets
that reduces contributed caoital 320,421 320,421 127,390
Retained Earninqs (Deficits�
Januarv 1 319,260 (23,256) 18 47,589 7,983,950 2,697,482 0 11,025,043 10,526,967
Retained Earnings (Deficits)
December 31 $310,336 ($10,946) $19 $72,530 $8,123,416 $2,892,227 $194,006 $11,581,588 $11,025,043
=oee=eeeeesx=aa=ms000000 ----=a
City of Brookiyn Center E-3
Enterprise Funds (Continued next page)
COMBINING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 1991
E. Brown
Municipal Golf Heritage Recycling Water Sanitary Storm
Liquor Course Center Refuse Utility Sewer Drainage Totals
Cash flows from o�eratina activities: Fund Fund Fund Fund Fund Fund Fund 1991 1990
Operating income(loss) $136,651 $63,572 ($669,118) ($51,513) ($247,260) ($100,621) $209,273 ($659,016) ($682,415)
Adjustments to reconcile operating income (loss) to
net cash provided by (used for) operating actvities
Depreciation 26,175 23,963 320,421 253,574 127,973 752,106 532,704
Increase (decrease) in assets and liabilities
Accounts receivable (1,769) 8,297 (8,813) (17,751) (58,014) (91,533) (169,583) 9,117
Inventories 16,288 (770) (3,406) 12,112 (72,933)
Prepaid expenses (2,969) (3,065) (11,210) (17,244) (5,692)
Accounts payable (3,119) 2,280 (6,626) 12,341 (37,009) 148,062 115,929 191,785
Accrued salaries and leave 12,494 2,062 8,976 10,730 3,384 37,646 (20,062)
i
ao
Total adiustments 47,100 27 535 328,003 3,528 206,138 210 195
(91,533 730,966 634,919 i
Net cash orovided bYlused for) o�eratina 183,751 91,107 (341,115) (47,985) (41,122) 109,574 117,740 71,950 (47,496)
Cash flows from nonca�ital financing activities:
Net borrowings(repayments) under
revolving loan arrangement (16,25n (30,000) (46,25� (63,775)
Interest paid on revolving loan (19,194) (57,500) (10,42� (87,121) (85,506)
Other non-operating income 1,430 45,587 1,373 48,390 45,577
Operating grants received 71,862 71,862 40,877
Operating transfers in 359,125 359,125 429,700
Operating transfers out (130,000)
(17,895) (147,895) (110,000)
Netcash orovided bv(usedforl
noncaoital financina activities (164,021) (87,500) 348,698 71,862 45,587 1,373 (17,895) 198,104 256,873
r i
r �w rr r �r ir r r a�
E-3
(Continued from
prior page)
E. Brown
Municipal Golf Heritage Recycling Water Sanitary Storm
Liquor Course Center Refuse Utility Sewer Drainage Totals
Fund Fund Fund Fund Fund Fund Fund 1991 1990
Cash flows from capital and related financin4 activities:
Capital Contributions in aid of construction 378,847 378,847 10,827,775
Acquisition and construction of
capital assets (21,551) (14,730) (382,788) (950,383) (383,390) (1,752,842) (11,423,582)
Principal paid on revenue bonds (45,000) (45,000) (45,000)
Interest paid on revenue bonds (3,695) (3,695) (5,425)
Proceeds from sale of equipment 1,710 1,710 1,515
Netcash usedforcaoitaland
related financina activities (21,551) (14,730) (2,231) 0 (999,078) (383,390) 0 (1,420,980) (644,717)
N Cash flows from investin4 activities:
i
Interest on investments 2,189 6,238 4,592 344,834 293,993 2,628 654,474 737,878
Change in restricted assets 1,755 1,755 1,755
Netcash �rovided bv(usedfor)
investina activities 2,189 6,238 0 4,592 346,589 293,993 2,628 656,229 739,633
Net increase (decrease) in cash and �I
cash equivalents 368 (4,885) 5,352 28,469 (648,024) 21,550 102,473 (494,69� 304,293
Cash. cash eauivalents and temnorarv
cash investments at beainnina of vear 6,666 47,112 42,486 63,444 1,256,222 3,366,664 0 4,782,594 4,478,301
Cash, cash equivalents and temporary
cash investments at end of year $7,034 $42,227 $47,838 $91,913 $608,t98 $3,388,214 $102,473 $4,287,897 $4,782,594
saxa=eoecseeeeoeeeeeee��ee aa�aa� o=cas� am�m=a cc�oe= eeeeee� eveaemx assose= =�maooe cmooeee
E-4
City of Brooklyn Center
Municipal Liquor Fund
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS
For the Year Ended December 31, 1991
1991 1990
Sales
Liquor $838,198 $797,256
Wine 302,435 297,824
Beer 1,393,4y 0 1,287,434
Soft drinks �52,195 49,800
Other merchandise 92,602 23,237
Total Sales 2,678,840 2,455,551
Less: Cost of Sales 2,025,288 1,863,843
Net O�eratinq Revenues
653,552 591,708
O�eratinq Expenses
Personal services 278,887 263,255
Supplies 8,781 10,385
Other services 58,085 49,347
Insurance 28,911 23,258
Utilities 20,715 23,598
Rent 34,747 36,951
Charged from other funds 60,600 56,777
Depreciation 26,175 26,974
Total Operatina ExAenses 516,901 490,545
Operatinq Income 136,651 101,163
Non Operatinq Revenue or Expense(-1
Investment eamings 2,189 4,744
Other revenue 1,430 8,299
Interest and fiscal agent fees (19,194) (20,514)
Total Non Operatinq (15,575) (7,471
O�eratina Transfers to General Fund 130,000 110,000
Net Income (Lossl (8,924) (16,308)
Retained Earninas Januarv 1 319,260 335,568
Retained Earnings December 31 $310,336 $319,260
-83-
E-5
i City of Brooklyn Center
Golf Course Fund
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS
For the Year Ended December 31, 1991
1991 1990
Oneratinq Revenues
Green fees $209,976 $204,873
Rentals 8,622 9,392
Leagues 6,147 4,901
Golf lessons 13,706 12,706
Concessions 17,771 17,068
Merchandise 19,216 20,123
Pop machine 2,849 2,719
Miscellaneous g7 4�2
Total Operatinq Revenues 278,100 272,254
Less: Cost of Sales 27,877 28,056
Net OAeratinq Revenues 250,223 244,198
O�eratinq Expenses
Personal services 122,901 122,018
Supplies 17,223 14,569
Other services 10,680 10,452
Insurance 4,261 3,388
Utilities 7,623 8,175
Depreciation 23,963 23,351
Total Operatinq Expenses 186,651 181,953
Oneratinq Income 63,572 62,245
Non OqeratinQ Revenue or Expense(-1
tnvestment earnings 6,238 5,124
Interest and fiscal agent fees (57,500) (57,500)
Total Non Oneratinq (51,262) (52,376)
Net Income
12,310 9,869
i Retained Earninqs (Deficitl Januarv 1 (23,256) (33,125)
Retained Earnings (Deficit) December 31 ($10,946) ($23,256)
-84-
E-6
City of Brooklyn Center
Earie Brown Heritage Center Fund
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNING
For the Year Ended December 31, 1991
1991 1990
O�eratinq Revenues
Conventions $342,909 $217,080
Inn on the Farm 153,159 69,993
Office Rents
90,918 59,707
Other 1,086
Total Operatina� Revenues 586,986 347,866
Oneratinq Ex�enses
Personal services 404,981
Supplies 62,644 54,253
Other services 347,401 600,695
Insurance 9,108 9,202
Utilities 94,552 91,690
Rent 16,997 17,116
Depreciation 320,421 127,400
Total Operatinc� Expenses 1,25fi,104 900,356
Oberatinq� Income (Lossl (669,118) (552,490)
Non Operatinq Revenue or Expense(-)
Interest and fiscal agent fees (10,427) (4,582)
Total Non Operatinq (10,42� (4,582) i
Ooeratinc� Transfers In 359,125 429,700
Net Income (Lossl (320,420) (127,372)
Deareciation on contributed assets that
reduces contributed capital 320,421 127,390
Retained Earnin s Janua 1
rv 18 0
Retained Earnings December 31 $1 g $1 g
-85-
I
i
E-7
City of Brooklyn Center
Recyciing Refuse Fund
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS
For the Year Ended December 31, 1991
1991 1990
O�eratina Revenues
Recycling service fees $103,120 $102,854
Recycling container sales 6,789 694
TotalO er in
at Q Revenues 109,909 103,548
�eratina Exoenses
Supplies 655 43
Other services 160,767 113,243
Total Operatina Exqenses 161,422 113,286
O�eratina Income (Loss) (51,513) (9,738)
Non O�eratinq Revenues or Expensest-1
Intergovernmental revenue 71,862 40,877
Investment earnings 4,592
Interest and fiscal agent fees (2,910}
Nono�eratina Totals 76,454 37,967
Net Income 24,941 28,229
Retained Earninqs Januarv 1 47,589 19,360
Retained Earnings December 31 $72,530 $47,589
-86-
i
�,t
y of Brooklyn Center E 8
Water Utility Fund
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNING
For the Year Ended December 31, 1991
Totals
1991 1990
Operatina Revenues
Service to customers $675,708 $630,167
Service hook-up charges 57,180
Sale of ineters 18,280 2,336
Penalties 9,434 6,464
Totaf Operatinq Revenues 703,422 696,147
O�eratinc� Ex�enses
Personal services 233,744 209,603
Supplies 94,945 86,794
Utilities 116,516 134,378
Contractual services 251,903 173,722
Depreciation 253,574 248,478
Total Oberatinct Expenses 950,682 852,975
Oneratinq Income or Lossl-� (247,260) (156,828)
Non OperatinQ Revenues or Ex enses(-1
p
lnvestment earnings 344,834 416,446
Special assessments (for hookups delinquencies) 44,480 12,765
Other 1,107 11,433
Interest and fiscal fees (3,695) (5,425)
Total Non Oneratina 386,726 435,219
Net income 139,466 278,391
Retained EarninQs January 1 7,983,950 7,705,559
Retained Earnings December 31 $8,123,416 $7,983,950
-87-
City of Brooklyn Center E-9
Sanitary Sewer Fund
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
For the Year Ended December 31, 1991
Totals
1991 1990
i Oqeratina Rever�ues
Service to customers $1,697,886 $1,503,587
Penalties 41,884 29,372
Total O�eratina Revenues 1,739,770 1,532,959
Oqeratino Exqenses
Personal services 135,521 118,094
Supplies 19,685 12,026
Utilities 16,933 18,206
Contractual services 191,966 163,907
Metro Waste Control Commission 1,348,313 1,240,992
Depreciation 127,973 106,501
Total O�eratina Ex�enses 1,840,391 1,659,726
O�eratina Income or Loss(-) (100,621) (126,767)
Non OQeratin4 Revenues or Exaenses(-1
Investment earnings 293,993 311,564
Special assessments (for hookups delinquencies) 1,373 12,765
Other 315
Total Non O�eratin4 295,366 324,644
Net Income 194,745 197,877
Retained Earninas Januarv 1 2,697,482 2,499,605
Retained Earnings December 31 $2,892,227 $2,697,482
-88-
Cit of Brookl n Center
Y y E 10
Storm Drainage Fund
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
For the Year Ended December 31, 1991
1991 i
Oqeratinq Revenues
Service to customers $374,040
Total Operatinq� Revenues 374,040
Operatinc� Ex�enses
Personal services 2,833
Supplies 22
Contractual services 161,912
Total Operatinq Exqenses 164,767
i
O�eratinq Income or Loss(-1 209,273
Non OperatinQ Revenues or Exoenses(-1
Investment earnings 2�g2g
Total Non OperatinQ 2.g2g
Operating Transfer to General Fund 17,895
Net Income 194,006
Retained Earninas January 1
R I
etained Earnings December 31 $194,006
-89-
City of Brooklyn Center, Minnesota
INTERNAL SERVICE FUNDS
Internal Service. Funds are used to account, on a cost reimbursement
basis, for the financing of goods or services provided by one
department to other departments of the City.
Revenues and expenses in these funds are recognized on the accrual
basis of accounting. Revenues are recognized in the accounting period
in which they are earned and become measurable. Expenditures are
recognized in the accounting period in which they are incurred.
Public Emplovees Retirement Fund: This fund rovides certain health
P
care insurance benefits for City employees who retire before age 65.
Substantially all of the City's full time employees may be eligible
for those benefits from the time they qualify for an unreduced PERA
pension until they reach age 65 or become eligible for medicare.
Currently investment earnings are sufficient to provide benefits. In
the event that future costs would exceed earnings, other funds would
be charged for the costs associated with their employees.
-90-
City of Brookiyn Center F-1
Internal Service Fund
COMBINING BALANCE SHEET
December 31, 1991
Emnlovee Retirement Fund
ASSETS
1991 1990
Current Assets
Cash, cash equivalents and
temporary cash investments $961,188 $898,010
Total Current Assets 961,188 898,010
TOTAL ASSETS $961,188 $898,010
LIABILITIES AND FUND EQUITY
Current Liabilities
Accrued health liability $196,869 $183,897
Total Current Liabilities 196,869 183,897
Fund E uit
Retained Earnings
Unreserved 764,319 714,113 r
Total Retained Earninqs 764,319 714,113
Total Fund Equitv 764,319 714,113
TOTAL LIABILITIES AND FUND EQUITY $9fi1,188 $898 010
-91-
City of Brooklyn Center F-2
Internal Service Fund
COMBINING STATEMENT OF REVENUES, EXPENSES,
AND CHANGES IN RETAINED EARNINGS
December 31, 1991
Emalovee Retirement Fund
1991 1990
Operatina Ex�enses
Personal services $19,678 $189,837
Total O�eratina Exoenses 19,678 189,837
O�eratinQ Income or Loss(-) (19,678) (189,837)
Non Oqeratina Revenues
Investment earnings 69,884 72,412
Total Non O�eratinq 69,884 72,412
Net Income (Lossl 117 42
50,206 5)
Retained Earninc�s Januarv 1 714,113 831,538
Retained Earnings December $764-319 $714,113
-92-
City of Brooklyn Center F-3
Internal Service Fund
COMBINING STATEMENT OF CASH FLOWS
For the Year Ended December 31, 1991
Emnlovee Retirement Fund
1991 1990
Cash ffows from operatin� activities
Operating income(loss) ($19,678) ($189,837)
Adjustments to reconcile operating income (loss) to
net cash provided by (used for) operating actvities:
Increase (decrease) in assets and liabilities:
Accrued health insurance liability 12,972 183,897
Total adiiastments 2,g72 1 g3,gg7
Net cash �rovided bv (used forl operatina activities (6,706) (5,940)
Cash flows from investinc� activities:
l
Interest on investments 69,884 72,412
Net cash provided bv (used forl
investinq activities 69,884 72,412
Net increase (decrease) in cash and
cash equivalents 63,178 66,472
Cash, cash e�uivalents and temporarv
cash investments at beQinninq of vear 898,010 831,538
Cash, cash equivalents and temporary
cash investments at end of year $961,188 $898,010
-93-
Cit of Brookl n Center Minnesota
Y Y
AGENCY FUNDS
Agency Funds are established to account for assets held by the City
as an agent for other City Funds, governments, or individuals.
The Agency Funds are maintained on the modified accrual basis of
accounting.
The City's Agency fund included in this section is:
Emblovee Deferred Compensation Fund: This fund was established to
account for funds on deposit with the trustees who administer the
City sponsored deferred compensation plan.
i
-94-
Cit of Brookl n n
y y Ce ter G
Employee Deferred Compensation Fund
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For the Year Ended December 31, 1991
Balance Balance
December 31, December 31,
1990 Additions Deductions 1991
ASSETS
Investments for deferred
compensation plans held
by trustees (1) $1,793,006 $448,369 $195,280 $2,046,095
TOTAL ASSETS. $1,793,006 $448,369 $195,280 $2,046,095
LIABILITIES
Due to employees for
deferred compensation $1,793,006 $448,369 $195,280 $2,046,095
TOTAL LIABILITIES $1,793,006 $448,369 $195,280 $2,046,095
(1) Investments are reported at market value.
-95-
Cit of Brookl n Cente
Y y r, Minnesota
GENERAL FIXED
ASSET ACCOUNT GROUP
The General Fixed Asset Account Group was established to account
for the City's fixed assets which are not accounted for in an
enterprise fund, and which are tangible in nature, have a life
longer than the current fiscal year, and have a significant value.
Depreciation is not recorded on those assets.
1:
-96
City of Brookl n Center S-
Y 6
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS BY SOURCE
For the Year Ended December 31, 1991
Balance
Balance
January 1, December 31,
1991 Acouisitions Dis�osals 1991
Investments in General Fixed Assets
Land $2,161,061 $52,000 $2,213,061
Buildings and improvements 4,464,262 153,000 $28,284 4,588,978
Park improvements 2,821,993 41,029 4,165 2,858,857
Furniture 735,313 82,720 76,987 741,046
Departmentat equipment 3,649,018 291,843 99,629 3,841,232
Total Investments in General
Fixed Assets $13,831,647 $620,592 $209,065 $14,243,174
Sources of Investments,
General Ind
ebtedness
439 7
88
374 563
6 647
$807,704
General Fund revenu
es 6 114 7
51 220 029 92 4
25 6,242,355
Liquor store income 223,128 3,373 219,755
Contributions 239,910 3,626 236,284
Capital projects funds
G.O. bonds 2,086,779 31,542 2,055,237
Tax levies 297,350 4,494 292,856
Sale of assets 122,128 1,846 120,282
Debt Service Funds excess 154,502 2,335 152,167
Capital Impr. Fund Balance 3,070,085 26,000 46,404 3,049,681
Federal grants 847,583 12,811 834,772
State grants 235,643 3,562 232,081
Total Sources ofJnvestments $13,831,647 $620,592 $209,065 $14,243,174
-97-
S-7
City of Brooklyn Center
SCHEDULE OF GENERAL FIXED ASSETS BY FUNCTION AND ACTIVITY
December 31, 1991
Other
Function Land Buildinas imnrovements E ui ment Total
General government $344,766 $344,766
Government buildings $303,770 $4,003,143 $286,845 48,801 4,642,559
Public safety 450 1,936,652 1,937,102
Public works 9,793 1,527,446 1,537,239
Recreation 275,794 275,794
Parks 1,909,291 575,592 2,572,012 448,819 5,505,714
Totals $2,213,061 $4,588,978 $2,858,857 $4,582,278 $14,243,174
S-8
City of Brooklyn Center
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS
BY FUNCTION AND ACTIVITY
For the Year Ended December 31, 1991
General Fixed General Fixed
Assets Assets
January 1, December 31,
Function 1991 Additions Deductions 1991
General government $356,520 $34,114 $45,868 $344,766
Government buildings 4,518,781 145,451 21,673 4,642,559
Public safety 1,911,432 101,390 75,720 1,937,102
Public works 1,394,857 153,563 11,181 1,537,239
Recreation 266,347 47,117 37,670 275,794
Parks 5,383,710 138,957 16,953 5,505,714
Totals $13, 831, 647 $620, 592 $209, 065 $14, 243,174
City of Brooklyn Center, Minnesota
GENERAL LONG-TERM DEBT ACCOUNT GROUP
The Gene
ral Long Term Debt Account Group was established to account
for the City's unmatured general obligation long term debt that is
secured by the full faith and credit of the City and is not the
primary obligation of an Enterprise Fund of the City.
-100-
H
City of Brooklyn Center
COMPARATIVE SCHEDULE OF GENERAL LONG-TERM DEBT
December 31, 1991
December 31,
1991 1990
Amounts Available and to be Provided.
Amounts available in Debt Service Funds $3,634,878 $4,588,753
Amounts to be provided:
From future tax increments 9,730,122 2,906,247
From future gas tax allocations 3,000,000 60,000
Total Available and to be Provided 1 65 00 7
6,3 0 ,555,000
General LonQ-Term Debt Pa�rable
General Obligation Bonds $610,000 $890,000
Certificates of indebtedness 450,000
G.O. State Aid Street Bonds 3,000,000 60,000
Special Assessment Bonds 530,000 745,000
Tax Increment Bonds 11,775,000 5,860,000
Total General Long-Term Debt $16,365,000 $7,555,Q00
-101-
City of Brooklyn Center
SUMMARY OF DEBT SERVICE REQUIREMENTS TO MATURITY
December 31, 1991
General Obligation G.O. State G.O. Special G.O. Tax Total Debt
Bonds Certificates Aid Street Bonds Assessment Bonds Increment Bonds Service Repuirements
Year Princioal Interest Princi�al Interest Princiqal Interest Princioal Interest Princioal Interest
1992 $525,000 $70,810 $115,000 $192,255 $145,000 $23,260 $450,000 $781,687 $1,235,000 $1,068,012
1993 535,000 29,780 135,000 171,180 110,000 17,158 590,000 751,032 1,370,000 969,150
1994 145,000 164,071 100,000 11,912 635,000 713,935 880,000 889,918
1995 150,000 156,325 85,000 7,131 690,000 672,095 925,000 835,551
1996 160,000 147,872 50,000 3,550 795,000 623,241 1,005,000 774,663
1997 170,000 138,588 40,000 1,100 795,000 569,712 1,005,000 709,400 II
0
N
1998 180,000 128,478 805,000 515,355 985,000 643,833
1999 190,000 117,560 910,000 456,071 1,100,000 573,631
2000 205,000 105,706 995,000 388,870 1,200,000 494,576
2001 220,000 92,740 1,115,000 313,332 1,335,000 406,072 I I
2002 230,000 78,788 1,220,000 228,247 1,450,000 307,035
2003 245,000 63,821 1,350,000 134,400 1,595,000 198,221
2004 265,000 47,496 1,425,000 42,750 1,690,000 90,246
2005 285,000 29,616 285,000 29,616
2006 305,000 10,141 305,000 10,141
$1,060,000 $100,590 $3,000,000 $1,644,637 $530,000 $64,111 $11,775,000 $6,190,727 $16,365,000 $8,000,065
_=====a
_____a =eme= eoeea�=e aeoxoeao
Cit of Brookl n Cent
Y y er, Minnesota
STATISTICAL SECTION
The statistical section presents comparative statistical data for
the past ten years, and other pertinent information involving
taxes, revenues, expenditures, bonded debt, property valuations,
insurance coverage and miscellaneous statistics.
This information is intended to be useful and of interest to
investors in City bonds, financial institutions, and others
interested in municipal government financial statistics.
With the exception of Table 9(Computation of Direct and
Overlapping Debt) and information concerning school districts in
the Miscellaneous Statistical Facts section, all statistical
information sources were internal City records. The source of
Table 9 information was the Hennepin County Department of Finance.
The sources of school district information were the various school
districts.
-103-
City of Brooklyn Center TABLE 1
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1)
Last Ten Fiscal Years
Community
Fiscal General Public Public Health Parks and Economic Non- Total
Year Govemment Safet� Works Services Recreation Development De�artmental Ex�enditures
1982 $1,007,781 $1,901,839 $1,213,941 $36,244 $1,122,299 $247,755 $5,529,859
1983 1,054,064 1,875,122 1,288,081 28,663 1,268,907 91,953 5,606,790
1984 1,112,173 1,985,108 1,383,039 30,437 1,319,298 337,624 6,167,679
1985 1,283,050 2,143,843 1,560,842 34,326 1,389,075 416,937 6,828,073
1986 1,487,876 2,288,062 1,549,584 45,294 1,405,020 378,688 7,154,524
1987 1,532,185 2,604,773 1,552,532 48,185 1,597,901 313,860 7,649,436
1988 1,768,607 2,716,205 1,768,918 69,117 1,706,516 $162,271 310,475 8,502,109
1989 1,793,495 3,103,222 1,754,800 81,043 1,814,391 168,305 347,315 9,062,571
1990 1,570,143 3,474,108 1,866,847 114,633 1,842,294 169,942 396,550 9,434,517
1991 $1,591,108 $3,950,862 $1,827,052 $104,706 $1,870,385 $177,179 $414,149 $9,935,441
(1) Funds included in this table are the General Fund.
w'
City of Brooklyn Center TABLE 2
GENERAL GOVERNMENTAL
REVENUES AND OTHER FINANCING SOURCES BY SOURCE (1)
Last Ten Fiscal Years
General Other
Fiscal Property Licenses Intergovern- Charges for Fines and Financing Total
Year Taxes Permits mental Services Forfeitures Misc. Sources Revenue
1982 $1,935,403 $249,015 $2,213,486 $790,333 $146,204 $195,945 $407,309 $5,937,695
1983 2,133,859 328,019 2,459,133 859,928 154,812 244,433 489,111 6,669,295
1984 2,407,352 296,667 2,524,494 919,796 158,823 337,201 330,452 6,974,785
1985 2,444,153 387,806 2,618,957 979,543 187,045 348,316 311,926 7,277,746
0
cn I
1986 2,566,220 411,406 2,866,442 965,527 224,753 318,453 341,403 7,694,204
1987 2,541,016 345,019 3,060,252 1,114,203 269,903 310,613 166,888 7,807,894 I
1988 3,318,656 329,783 3,078,491 1,215,635 243,952 363,918 337,871 8,888,306
1989 3,325,101 365,247 3,628,255 1,124,167 278,812 425,356 176,505 9,323,443
1990 3,854,798 297,495 3,201,888 919,537 215,804 443,623 174,925 9,108,070
1990 $4,274,089 $311,751 $2,926,570 $881,213 $202,090 $360,800 $877,477 $9,833,990
(1) Funds included in this table are the General Fund.
City of Brooklyn Center TABLE 3
TAX LEVIES AND TAX COLLECTIONS (1)
Last Ten Fiscal Years
Collections Percentage Coliections
of Current of Levy of Prior Total Delinquent
Year's Taxes Coliected Year's Taxes Collections Delinquent Taxes as
Year During Fisca{ During Fiscal During Fiscal Total as a% of Taxes a% of
Collected Tax Lew� Period Period Period Coliections Tax Lew Receivable Tax Lew
1982 $2,965,702 $2,854,688 96.26% $45,419 $2,900,107 97.79% $300,627 10.14%
1983 2,482,369 2,420,772 97.52% 75 437 2 0
,496,209 100.56 /0 286,787 11.55%
1984 2,836,968 2,721,413 95.93% 111,596 2,833,009 99.86% 290,746 10.25%
1985 2,931,266 2,657,094 90.65% 178,709 2,835,803 96.74% 386,209 13.18%
0
rn
1986 2,886,824 2,849,382 98.70% 32,739 2,882,121 99.84% 390,912 13.54%
1987 3,396,789 3,242,573 95.46% 68,651 3,311,224 97.48% 73,052 2.15%
1988 3,576,812 3,488,174 97.52% 13,090 3,501,264 97.89%. 105,521 2.95% �I
1989 3,505,850 3,418,111 97.50% 55,502 3,473,613 99.08% 84,948 2.42%
1990 4,092,978 3,857,576 94.25% 12,241 3,869,817 94.55�l0 221,097 5.40%
1991 $4,659,449 $4,478,115 96.11% $79,443 $4,557,558 97.81% $249,881 5.36%
(1) Funds included in this table are the General Fund, Certificates of Indebtedness, Park Bonds, and H.R.A.
(2) Includes property taxes only; lodging tax and tax incremenfs are excluded.
City of Brooklyn Center TABLE 4
ASSESSED VALUE AND MARKET VALUE OF ALL TAXABLE PROPERTY (1)
Last Ten Fiscal Years
1982 1983 1984 1985 1988 1987 1988 1989 1990 1991
Poaulation 30,820 30,830 30,820 30,630 30,267 29,759 29,420 28,578 28,810 28,887
Real Pro�ertY
Asaessed value (2): Tax Tax (3) T8x
C �m Capacity Capaciry Capacity
Residential s74,268,430 575.252.072 s'78.112,774 581.072.128 590,912.548 s91,929.248 590.162.927 511.834,805 510,133.274 59.730.898
Non—residential 104,715,944 122.3�,087 124,305,853 126,444,994 125,109,658 139.433,999 154,031.355 19,707,624 18,185,832 16,305,868
Area—wede allocation (2,357.630) (1.437.243) (3,388,456) (2.134.213) (2.097.533) (1,345,864) (8.148.881) (977.841) (1.365.23� (1.384.936)
178,626,744 198,183,916 198,052,171 205,382,909 213,924,873 230,017,381 236,045,801 30,564.588 24,953,871 24,651,830
Less Tax Increment District 78,000 742,474 4,057,811 5,437,588 9,784,473 2,097,505 1,540,518 1,315,724
T�al assesaed value 178,826,744 198,183,918 198,974.171 204,840,435 209,867,062 224,579,793 228,261,128 28,467,083 23,413.353 23,336,106
Estimated Market Value 857,701,757 725,476,089 775,162,400 788,107,800 813,377,800 854,846,550 910,336,300 950,483,900 1,000,289,000 1,018,754,000
Pereonal Pro ep�rrt
Aeaessed value 4,113,787 3,973,587 4,148,726 4,278,221 4,291,918 4,296,001 4,510,313 190,298 530,528 539,121
i
O Estimated market value 9,586,900 9,240,000 9,848,200 9,944,700 9,981,200 9,980,700 10,489,100 3,827,500 10,810,520 10,564,700
I
Total Taxable Prooertv
Asaessed value 5180,740.511 5200.157,503 5203.122,897 5208.918.656 5214.158,978 5228,875.794 5230,771,441 528,657,382 523.943,879 s23.875.227
�=s=�=�=_ s=====___ ==�=a�=�= �s�====Q==
Estimatedmarketvalue �7,266,657 5734,716,089 5784,810,800 5798,052,500 s823,359,000 5884,837,250 5920,825,400 s954,091,400 S1,010,879,520 51,027,318,700
__==�==a� ffi_�
a==e=eeoo
Assesaed Value as a oercent of I
Eatimated Market Value 27.0996 27.249b 25.88% 28.189b 28.0146 26.4646 25.084b 3.0044 2.379b 2.329b
Per Caoita Valuations
Asaessed Va►ue s5.864 s6.492 s6.591 s6.821 s'7.076 57.�1 57.844 S1.003 5831 �827
Estimated Market Value 521,651 s23,831 s25,484 528,055 s27,203 529.061 531,298 533,386 s35,088 s35,563
(1) Source: City of Brooklyn Center Asseseing Department
(2) The Minnesota Legislature changed the property tax eystem for taxes payable in 1989. The tax base of property was changed hom assesaed values to tax cepaciry values.
(3) The reduction in residential values is due to a change in the state mandated formula from gross tex capacity to net tax capacity.
City of Brooklyn Center TABLE 5
DIRECT AND OVERLAPPING TAX RATES AND TAX LEVIES (1)
Last Ten Fiscal Years
TAX RATES IN MILLS (2) Hennepin
School Districts County Total City, School, and County
Year Vo-Tech No. 286 No. 279 No. 281 No. 1 t Special No. 286 No. 279 No. 281 No. 11
Collectible Cit 3 School Earl Brown Osseo Robbinsdale Anoka Districts Earl Brown Osseo Robbinsdale Anoka
1982 16.397 1.469 38.781 42.993 50.524 46.847 33.567 90.214 94.426 101.957 96.811
1983 15.971 1.119 42.896 46.035 52.901 45.474 33.557 93.543 96.682 103.548 95.002
1984 17.096 1.446 49.965 54.909 58.326 55.225 35.007 103.514 108.458 111.875 107.328
1985 16.506 1.490 49.332 51.199 56.100 52.830 34.443 101.771 103.638 108.539 103.779
1986 17.183 1.535 52.545 54.345 59.450 55.740 35.566 106.829 108.629 113.734 108.489
1987 18.167 1.421 49.640 55.783 56.932 54.926 35.315 104.543 110.686 111.835 108.408
1988 19.237 1.493 59.372 61.859 58.433 62.181 38.405 118.507 120.994 117.568 119.823
TAX RATES IN TAX CAPACITY RATES(2)
1989 14.260 1.223 43.440 54.465 49.189 51.384 32.898 91.821 102.846 97.570 98.542
1990 17.479 1.103 42.099 57.847 54.516 47.893 33.547 94.228 109.976 106.645 98.919
1991 19.208 1.046 46.207 58.643 55.540 51.779 37.479 103.940 116.376 113.273 108.466
i
f-•
0
TAX LEVIES IN DOLLARS Hennepin
School Districts County Total City,
Year Vo-Tech No.286 No.279 No.281 No.11 Special Schools,
Collectible Cit 3 School Earl Brown Osseo Robbinsdale Anoka Districts and Countv
1982 $2,965,702 $265,508 $2,422,618 $2,061,005 $2,606,004 $881,745 $6,066,917 $17,269,499
1983 2,482,369 202,256 2,790,808 2,625,207 2,781,573 1,049,119 6,716,839 g,gqg�� 7y
1984 2,836,968 287,933 3,328,173 3,090,749 3,178,504 1,279,696 7,085,080 21,087,103
1985 2,931,266 310,394 3,442,445 3,014,744 3,187,821 1,286,533 7,207,150 21,380,353
1986 2,886,824 327,794 3,776,253 3,194,101 3,476,104 1,329,107 7,593,315 22,583,498
1987 3,396,789 293,194 3,900,388 3,409,323 3,726,934 1,327,348 8,088,560 24,142,536
1988 3,576,812 307,506 4,602,806 3,782,157 3,875,906 1,537,601 8,862,771 26,545,559
1989 3,505,850 293,205 4,059,518 3,770,603 3,791,546 2,179,665 8,776,213 26,376,600
1990 4,092,978 244,258 3,718,102 3,171,054 4,028,724 1,099,641 8,052,590 24,407,347
1991 $4,670,606 $234,927 $4,169,240 $3,266,615 $4,365,729 $1,207,395 $8,992,605 $26,907,117
(1) Source: Hennepin County Department of Property Tax Public Records.
(2) The tax base of property was changed from assessed values to tax capacity values by the Minnesota Legislature in 1989.
(3) Includes tax levy for the Ftousing and Redevelopment Authority of Brooklyn Center.
City of Brooklyn Center TABLE 6
SPECIAL ASSESSMENT BILLINGS AND COLLECTIONS
Last Ten Fiscal Years
Percent
Current Coilections Total
Special Percent Collection Coilections
Year Assessment of of Prior Total to Current
Collected Billinqs Amount Billinqs Years Collections LevX
1982 $733,198 $649,472 88.58% $95,962 $745,434 101.67%
1983 981,733 908,531 92.54% 57,463 965,994 98.40%
0 1984 813,013 768,241 94.49% 79,617 847,858 104.29%
1985 715,185 698,756 97.70% 84,781 783,537 109.56%
1986 631,296 631,165 99.98% 11,953 643,118 101.87%
1987 572,851 552,168 96.39% 3,139 555,307 96.94%
1988 556,028 526,594 94.71% 2,723 529,317 95.20%
1989 562,484 545,242 96.93% 59,944 605,186 107.59%
1990 504,682 476,874 94.49% 14 327 0
491 201
97.33 /o
1991 $612,744 $595,362 97.16% $23,135 $618,497 100.94%
City of Brooklyn Center TABLE 7
RATIO OF NET BONDED DEBT TO ASSESSED VALUE AND NET DEBT PER CAPITA
Last Ten Fiscal Years
Less: Ratio of Net Net
Gross Amounts Net Bonded Debt Bonded
Fiscal Estimated Assessed Bonded in Debt Bonded to Assessed Debt Per
Year Ponulation Value Debt Service Fund Debt Values C aqita
1982 30,820 $180,740,511 $3,040,000 $606,062 $2,433,938 1.35% $78.g7
1983 30,830 200,157,503 2,800,000 678,318 2,121,682 1.06% 68.82
1984 30,820 203,122,897 2,545,000 628,786 1,916,214 0.94% 62.17
1985 30,630 208,916,656 2,290,000 846,014 1,443,986 0.69% 47.14
0 1986 30,267 214,158,978 2,020,000 945,736 1,074,264 0.50% 35.49
1987 29,759 228,875,794 1,740,000 683,294 1,056,706 0.46% 35.51
1988 29,420 230,771,441 1,440,000 751,408 688,592 0.30% 23.41
Less: Ratio of Net Net
Tax Gross Amounts Net Bonded Debt to Bonded
Fiscal Estimated Capacity Bonded in Debt Bonded Tax Capacity Debt Per
Year Po�ulation Value Debt Service Fund Debt Value C aaita
1989 28,578 28,657,382 1,130,000 274,843 855,157 2.98% 29.92
1990 28,810 23,943,879 950,000 448,846 501,154 2.09% 17.40
1991 28,887 $23,875,227 $610,000 $486,205 $123,795 0.52% $4.29
City of Brooklyn Center Table 8
COMPUTATION OF LEGAL DEBT MARGIN
December 31, 1991
Estimated market value for taxes payable in 1991 $1,027,318,700
Debt limit, 2% of market value 20,546,374
Total bonded debt 15,960,000
Deductions {See Note 5):
A. Bonds:
1. Special Assessment Bonds 530,000
2. State Aid Street Bonds 3,000,000
3. Utility Revenue Bonds 45,000
4. Tax Increment Bonds 11,775,000
15,350,000
B. General Debt Service Funds 486,205
Total Deductions 15,836,205
Total Debt Applicable to Debt Limit 123,795
Le al Debt Mar in December 31 1991 $20,422,579
9 9
-111-
City of Brookiyn Center TABLE 9
COMPUTATION OF DtRECT AND OVERLAPPING DEBT
December 31, 1991
City's Share
Govemmental Unit Gross Debt Sinkinq Funds Net Debt Percent Amount
Direct Debt: Citv of Brookivn Center (1� $610,000 $486,205 $123,795 100.0% $123,795
verlapping Debt:
School Districts:
No.281 Robbinsdale 1,605,000 1,141,599 463,401 10.2% 47,267
No.11 Anoka 65,208,635 389,805 64,818,830 5.9% 3,824,311
No. 279 Osseo 65,075,000 1,347,204 63,727,796 26.8% 17,079,049
No. 286 Brooklyn Center 5 250,000 41,163 5,208,837 100.0% 5,208,837
Area Vocationai Technical School No. 287
700,000 700,000 0 4.9% p
Metropolitan Transit 7,550,000 3,207,000 4,343,000 1.5% 65,145
Metropolitan Council (2) 89,515,000 36,372,085 53,142,915 1.5% 797,144
Metropolitan Airport (3) 0 0 0 0.0�/o p
Hennepin County 106,160,000 32,005,932 74,154,068 2.7% 2,002,160
Hennepin County Park Reserve District 10,865,000 2,463,028 8,401,972 2.7% 226,853
Total Overlapr�inq Debt
351,928,635 77,667,816 274,260,819 29,250,766
Totai Direct and Overlapping Debt $352,538,635 $78,154,021 $274,384,614 $29,374,561
(1) Includes oniy general obligation debt which is being repaid through property taxes.
(2) Excludes $318,910,000 less $36,182,224 in sinking funds of Metropolitan Council issued G.O. Sewer Bonds. These
bonds are supported from sewer charges to governments (including Brooklyn Center) in the metropolitan sewer system.
(3) Excludes $145,900,000 less $37,506,755 in sinking funds of G.O. Airport bonds supported from airport user fees.
Direct Overlapping
Comparative Net Debt Ratios Charaeable to Citv Total Debt Debt
Debt to tax capaeity value $23,875,227 123.03% 0.52% 122.52�/0
Debt to market value $1,027,318,700 2.86% 0.01 �/0 2,g5%
Per capita debt, population 28,887 $1,016.88 $4.29 $1,012.59
i r A
i
TABLE 10
City of Brooklyn Center
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR GENERAL
BONDED DEBT TO TOTAL GENERAL EXPENDITURES
Last Ten Fiscal Years
Debt Service
Total (1) Total (2) as a Percent
Debt General of Generai
Year Principal Interest Service Ex�enditures Exoenditures
1982 $195,000 $224,100 $419,100 $5,529,859 7.58%
1983 240 000 2
10, 620 450, 620 5, 606, 790 8.04%
1984 255, 000 250,132 505,132 6,167, 679 8.19%
1985 255,000 251,095 506,095 6,828,073 7.41%
1986 275,000 507,558 782,558 7,154,524 10.94%
1987(3) 2,475,000 930,252 3,405,252 7,649,436 44.52%
1988 640,000 682,561 1,322,561 8,502,109 15.56%
1989 635,000 626,068 1,261,068 9,062,571 13.92%
1990 530, 000 585, 992 1,115, 992 9,434, 517 11.83%
1991 $940,000 $746,401 $1,686,401 $9,935,441 16.97%
(1) For ears 1982 throu h
Y g 1986, General Obligation Bonds and G.O.
Tax Increment Bonds are included. From 1987 onward, Improvement
Bonds, formerly Special Assessment Bonds, are also included. In
1991, Certificates of Indebtedness are included.
(2) The fund included in the ex enditures column i
p s the General Fund.
(3) Amounts for 1987 are higher because of the issuance of Refunding
Bonds of 1987 and the defeasance of Improvement Bonds of 1982.
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City of Brooklyn Center TABLE 11
SCHEDULE OF WATER REVENUE BOND COVERAGE
Last Ten Fiscal Years
Ratio of
Net
Non- Net Revenue
Operating Operating Gross Revenue to Debt
Year Revenue Revenue Revenue Expenses(1� Available Principal Interest Total Service
1982 $507,421 $490,149 $997,570 $377,321 $620,249 $40,000 $18,720 $58,720 10.563 :1
1983 443,565 465,987 909,552 397,265 512,287 40,000 17,160 57,160 8.962 :1
1984 482,558 496,357 978,915 459,771 519,144 40,000 15,600 55,600 9.337 :1
1985 546,817 512,538 1,059,355 478,958 580,397 45,000 14,040 59,040 9.831 :1 I
1986 473,279 488,834 962,113 506,466 455,647 45,000 12,399 57,399 7.938 :1
1987 556,222 412,653 968,875 489,374 479,501 45,000 10,786 55,786 8.595 :1
1988 694,654 375,061 1,069,715 695,395 374,320 45,000 8,889 53,889 6.946 :1
1989 687,982 425,030 1,113,012 665,629 447,3$3 45,000 7,180 52,180 8.574 :1
1990 696,147 440,644 1,136,791 604,497 532,294 45,000 5,425 50,425 10.556 :1
1991 $703,422 $390,421 $1,093,843 $697,108 $396,735 $45,000 $3,695 $48,695 8.147 ;1
(1) Excludes depreciation and interest on bonds.
�r �rr r �r +�r rr �■r r r �r
City of Brooklyn Center TABLE 12
PROPERTY VALUE AND CONSTRUCTION
Last Ten Fiscal Years
Commercial Residential
Construction (1) Construction (1) Property Value (2)
Bank
Year Value Units Value Commercial Residential Non-Taxable De,posits(3�
1982 $2,497,700 70 $2,055,000 $228,523,271 $483,354,800 $52,828,091 N/A
1983 5,342,000 140 8,677,800 235,045,689 490,430,400 52,828,091 N/A
1984 6,037,900 77 8,954,300 268,460,800 506,701,600 52,828,091 N/A
1985 29,553,108 14 827,700 201,274,889 586,929,400 62,287,088 N/A
1986 14,689,661 157 9,737,806 199,882,500 613,694,000 64,906,838 N/A
1987 7,220,527 9 885,202 246,784,100 608,890,900 92,384,868 N/A
1988 5,084,601 66 3,073,500 286,096,300 634,230,700 89,745,168 N/A
1989 7,288,205 4 278,138 321,452,800 678,898,700 83,719,768 '$219,077,986 I�
1990 5,750,567 1 65,249 333,967,220 676,912,300 83,719,768 202,261,488 I
I
1991 $4,719,147 7 $450,745 $339,358,500 $677,299,800 $87,479,168 $201,944,156
(1) Construction values were supplied by the City of Brooklyn Center Planning Department.
(2) Estimated market values were supplied by the City of Brooklyn Center Assessing Depanment.
(3) Bank deposits were supplied by the banks.
City of Brookl n Center TABL
Y E13
PRINCIPAL TAXPAYERS
December 31, 1991
Percentage
1991 of total
Market Market
Tax�a rers Tv�e of Business Valuation Value
Equitable Real Estate
Society of America Brookdale Shopping Center $60,911,600 5.93%
Ryan Construction Office Buildings 18,213,600 1.77%
Dayton-Hudson Corp Department Store 14,671,100 1.43%
Commercial Partners Brookdale Square Shopping
Center 12,938,500 1.26%
Shingle Creek Plaza II Land, Warehouse and Office
Buildings p 591 7 0
00 1.03 /o i
Norman Chazin Apartment Buildings 10,252,000 1.00%
Robert H. Bradley Office and Warehouse Building 9,395,800 0.91%
Sears Roebeck and C
I om an De
p y artment Store o
P 92
59 200
0 90
Plaza Real Estate Partners Hotel/Motel 8,288,300 0.81%
Twin Lake North Company Apartments 7,950,200 0.77%
Total Market Value $162,472,000 15.82%
(1) Market values were supplied by the City of Brooklyn Center Assessin De artment.
9 P
i
TOTAL CITY MARKET VALUE $1,027,318,700
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City of Brooklyn Center Table 14
SCHEDULE OF INSURANCE COVERAGE
Effective January 1, 1992 (Continued ne� page)
Policy Period
Tvne of Coveraqe and Details From To Liabilitv Limits
I. Statutorv Liabilitv to Emplovees
t a. Workers' Compensation 01-01-92 01-01-93 Statutory
(participant in the League
of Minnesota Cities Insurance
Trust Self-Insured Workers'
Compensation Program)
II. Liabilitv to the Public
a. Comprehensive general liability include the following additional coverages:
(a) All employees as additional insureds
(b) Personal injury coverage to include false arrest, libel, slander, wrongful
entry or eviction or invasion of right of privacy.
(c) Broad contractual liability
(d) Products liability
(e) Public Officials' liability
(1) Bodily injury 01-01-92 01-01-93 $600,000 combined single limit
(2) Property damage 01-01-92 Ot-01-93 $600,000 combined single limit
(3) Personal injury 01-01-92 01-01-93 $600,000 combined single limit
b. Automobile liability,
comprehensive 01-01-92 01-01-93
(1) Bodily injury $600,000 occurrence
(2) Property damage $600,000 occurrence
(3) Uninsured motorist $600,000 occurrence
c. Liquor stores' dram sho 01-01-92 01-01-
P 93 $1,000,000 each common
cause
d. Golf Course and Central Park 04-01-92 10-31-92 $1,000,000 each common
liquor liability cause
e. Personal accident, Council 03-01-92 03-01-93 $100,000 accidental death
Commissions $400/week short term disability
f. Personal accident, Volunteers 05-01-92 05-01-93 $100,000 accidental death
$400/week short term disability
$1,000 Medical
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City of Brooklyn Center Table 14
SCHEDULE OF INSURANCE COVERAGE (Continued from prior page)
Effective January 1, 1992
Buildings
and Policy Period Structures Content:
{Replacement (Replacement
Tvqe of Coveraqe and Details From To Cost) Cost�
I I I. Insurance on Citv Propertv 01-01-92 01-01-93
a. Public and institutional
property, all risk, blanket
$25,853,500; $1,000 deductible
replacement value on buildings.
(1) Civic Center $5,529,400 $547,000
(2) East Fire Station $541,700 $60,000
(3) Municipal Service Garage $1,230,900 $236,000
(4) Elevated Water Towers 3 locations $3,218,900 $0
(5) Park Shelter Buildings 17 locations $1,362,000 $55,000
(6) Pump Houses 10 locations $842,000 $110,000
(7) Lift Stations 10 locations $622,000 $71,000
(8) Meter Station $15,000 $0
(9) Storage Building $368,200 $0
(10) Outdoor lighting systems 7 locations $316,000 $0
(11) Liquor Store and Fire Station $530,900 $211,000
(12) Humboldt Liquor Store $230,000 $171,000
(13) Leased Liquor Store $45,000 $215,000
(14) Movable Properties $0 $186,000
(15) Pedestrian Bridge 2 locations $1,003,900 $0
(16) Picnic Shelter $51,000 $0
(17) Earle Brown Heritage Center $6,609,600 $1,121,000
(18) Centerbrook Golf Course Club House $284,000 $22,000
(19) Centerbrook Golf Course Garage $11 000 $2,000
(20) Lions Park Concession Stand $32,000 $3,000
Liabilitv Limits
b. Boiler and machinery 01-01-92 01-01-93 $3,000,000 per accident
c. Automotive physical damage 01-01-92 01-01-93
(1) Comprehensive ACV $250 deductible
(2) Collision ACV $500 deductible t
IV. Criminal Acts
a. Faithful performance blanket position $100,000 per loss
b. Mone an
ds
y ecurities broad form
Various
c. Depositor's forgery $1 Q0,000
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City of Brookl n Center TABLE 15
y
DEMOGRAPHIC STATISTICS
Last Ten Fiscal Years
School Enrollments (3)
Mpis-St.Paul No 286
Fiscal Unemployment C.P.I. No 11 No 279 No 281 Earle
Year Pooulation Rate Anoka Osseo Robbinsdale Brown
982 30,820 6.5% N/ A 1 238 2 263
630 1,298
1983 30,830 6.4% N/ A 1,300 2,184 622 1,311
984 30,820 4.8% N/ A 1,103 2,039 700 1,310
985 30,630 4.5% N/ A 1,032 2,003 567 1 326
1986 30,267 3.9% 1.3% 1,011 1,838 555 1,361
1987 29,759 4.1 3.0% 989 1,674 570 1,376
1988 29,420 3.5% 5.0% 989 1,674 563 1456
1989 28,578 3.5�/0 4.1 �/0 671 1,674 563 1,652
1 99� 28,810 3.2% 4.1 642 1,616 540 1,747
1991 28,887 4.6% 2.3% 807 1,680 521 1,327
(1) Minnesota Department of Jobs and Trainin Research and
g, Statistics Dept.
Twin Cities metro area average for year. 296-6545
(2) U.S. Department of Labor, Bureau of Labor Statistics. 290-3996
All urban consumers, (CPI-U) 1982-84, second half change from prior year.
(3) School enrollment data was supplied by the schools.
-119-
TABLE 16
City of Brooklyn Center (Continued
MISCELLANEOUS STATISTICAL FACTS next page)
December 31, 1991
Date of Incorporation February 14, 1911
Date of Adoption of Cit Charter
Y November 8 1
966
Date City Charter Effective December 8, 1966
Form of Government Council-Manager
Fiscal Ye r
a Be ins
9
January 1
Area of City 8 1/2 square miles
Miles of Streets:
City 105.59
County 6.49
State 10.79
Miles of Storm Sewers 40.93
Number of Street Lights: Owned by N.S.P 993
Owned by City 78
Building Permits: Number Estimated
Issued Cost
991 466 $8,800,980
1990 504 8,035,605
1989 526 19,217,696
1988 554 10,846,987
1987 573 10,421,724
1986 604
28 5 4
9 810
1985 521 32,328,938
1984 545 15,606,354
1983 660 16,096,550
1982 516 $5,968,824
City Employees as of December 31, 1990
Regular full-time 145
Temporary or part-time 269
Total 414
Fire Protection:
Number of Stations 2
Number of Full-time Employees 1
Number of Volunteer Firemen 38
Police Protection:
Number of Stations 1
Number of Full-time Employees 55
Number of Part-time Employees g
-120
1
City of Brooklyn Center TABLE 16
MISCELLANEOUS STATISTICAL FACTS (Continued from
December 31, 1991 prior page)
Parks and Recreation:
Park property totals 522 acres developed to serve a wide variety of
recreational interests. Area include playlots, playgrounds, playfields,
trails, nature areas and an arboretum.
Playgrounds
Park shelters y
Ice skating rinks
Hockey rinks
Softball diamonds 26
Baseball diamonds 6
Tennis courts 18
Basketball courts 5
Municipal Water Plant:
Number of connections 8,892
Average daily consumption in gallons 3,440,416
Peak daily consumption in gallons 9,064,000
Plant capacity gallons per day 17,652,000
Miles of water mains 113 2�
Number of fire hydrants 833
Number of wells 9
Number of elevated reservoirs 3
Storage capacity in gallons 3,000,000
Water rate per thousand gallons $0.55
Municipal Sewer Plant;
Number of connections 8,
Miles of sanitary sewer 104.98
Daily disposal capacity in gallons 8,497,440
Number of lift stations
Residential rate per quarter $31.50
Municipal Liquor Stores (Off-sale):
Number of owned stores 2
Number of leased stores 1
1991 sales $2,678,840
Elections
Last General Election November 6, 1990
Registered voters 18,339
Votes cast 11,313
Percentage of registered voters voting 64%
Last Municipal Election 1990
Registered voters 18,339
Votes cast 11,313
Percentage of registered voters voting 64%
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