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HomeMy WebLinkAboutAnalytical City of Brooklyn Center Expense Analytical Governmental Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 14000.00 Infrastructure Construction 10000.00 Nonmajor Funds 10000.00 Salaries and 12/31/2007 Salaries and 2007 S Change % Change Benefits Other Benefits Other Budget from budget from budget General Fund higher than expected replacement charges from the Central Garage and higher fuel prices charged General Government 1,678,770 1,192,173 2,870,943 1,793,855 1,081,940 2,875,795 (110,233) -10.2% to the departments Public Safety 5,925,977 1,426,928 7,352,905 5,837,386 1,444,019 7,281,405 17,091 1.2% Public Works 1,248,297 71908 1,967,385 1,227,661 689,486 1,917,147 (29,602) -4.3% Community Services - 74,389 74,389 - 80,951 80,951 6,562 8.1% Parks and Recreation 1,565,396 70507 2,271,093 1,553,181 646,816 2,199,997 (58,881) -9.1% Economic Development - 335,729 335,729 - 308,750 308,750 (26,979) -8.7% budget includes $100,000 contingency, not spent in 2007; lower than expected education costs (general and tuition reimbursements) and professional services, set aside for City building Nondepartmental 53,432 301,416 354,848 59,631 447,790 507,421 146,374 32.7% evaluation and planning in 2007, we charged an engineering charge to the construction funds (Infrastructure and CIF) for time spent by engineers on specific projects ($200,000), calculated lower admin charges to Administrative services reimbursement - (744,590) (744,590) - (845,500) (845,500) 100,910 -11.9% other funds in 2007. Capital Outlay - 141,272 141,272 - 148,406 148,406 7,134 4.8% Major Special Revenue Fund Tax Increment District No. 3 final year of spending of $17.2M bond issue, purchased Days Inn, demolished Days Inn, additional amounts spent on existing redevelopment properties (Olive Garden, Cracker Economic Development 37,574 4,98507 5,023,461 - 187,500 187,500 (4,798,387) - 2559.1% Barrel, 57th & Logan, etc) in 2007, TIF3 paid for a storm water project near the Regal Theater, because the property is in TIF 3. This asset will be transferred to the Storm Capital outlay - 1,179,136 1 - - - (1,179,136) #DIV /0! Fund in 2008, when completed. City of Brooklyn Center Expense Analytical Governmental Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 14000.00 Infrastructure Construction 10000.00 Nonmajor Funds 10000.00 Salaries and 12/31/2007 Salaries and 2007 S Change % Change Benefits Other Benefits Other Budget from budget from budget Major Capital Projects Fund Infrastructure Construction charges to mow long grass and remove diseased Services and other charges - 74,536 74,536 - - - (74,536) 4DIV /0! trees The majority of the costs associated with the reconstruction projects are moved to other funds: water, sewer, storm, street reconstruction. The budget accounts for all project costs, even those Capital outlay - 1,975,078 1 - 7,45100 7,451,800 5,476,722 73.5% that are financed by other funds. NON MAJOR FUNDS Special Revenue Housing and Redevelopment Authority Services and other charges - 395 395 - - - (395) #DIV /0! Economic Development Authority Personal services 160,212 - 160,212 201,925 - 201,925 - #DIV /0! Supplies - 2,018 2,018 - 3,650 3,650 1,632 44.7% Services and other charges - 133,357 133,357 - 72,212 72,212 (61,145) -84.7% Earle Brown Tax Increment District Personal services 900 - 900 - - - - #DIV /0! Services and other charges - 2,528 2,528 - 3500 3500 32,472 92.8% Tax Increment District No. 4 Personal services 78 - 78 - - - - #DIV /0! Services and other charges - 653 653 - - - (653) #DIV /0! Police Drug Forfeiture Supplies - 16,791 16,791 - 7,500 7,500 (9,291) - 123.9% Services and other charges - 42,782 42,782 - 8,500 8,500 (34,282) - 403.3% Capital outlay - - - - - #DIV /0! Community Development Block Grant The CDBG is running through the County. This Services and other charges - - - - 195,019 195,019 195,019 100.0% fund should not be budgeted. City Initiatives Grant Personal services 114,432 - 114,432 10,075 - 10,075 - #DIV /0! Supplies - 27,069 27,069 - 7,145 7,145 (19,924) - 278.9% Services and other charges - 28,901 28,901 - 23,287 23,287 (5,614) -24.1% City of Brooklyn Center Expense Analytical Governmental Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 14000.00 Infrastructure Construction 10000.00 Nonmajor Funds 10000.00 Salaries and 12/31/2007 Salaries and 2007 S Change % Change Benefits Other Benefits Other Budget from budget from budget Capital Projects Capital Improvements Materials and supplies - 2,400 2,400 - - - (2,400) 9DIV /0! Services and other charges - 33,097 33,097 - - - (33,097) #DIV /0! Budget was for the completion of the Kylawn Park building; it was barely started in 2007, will Capital outlay - 75,339 75,339 - 21500 21500 139 65.0% be finished in 2008. Municipal State Aid for Construction Materials and supplies - 24,681.00 24,681.00 - 22,950.00 22,950 (1,731) -7.5% Services and other charges - 35,898.00 35,898.00 - 35,900 35,900 2 0.0% Expenditures were recorded as transfer in 2007 - 734,097 - this is the amount of MSA that was received for specific projects and transferred to Capital outlay - - - - 843,000 843,000 843 100.0% the Infrastructure Construction fund. Earle Brown Heritage Center Improvements Services and other charges - 40,508 40,508 - 17900 17900 138,492 77.4% Capital outlay - - - - - - - #DIV /0! Street Reconstruction Capital outlay - 1,153,699 1 - 1,190,500 1,190,500 3601 3.1% Technology Most of the projects scheduled for 2007 had been put off until 2008 - digital imaging system, web - based citizen request system. Other projects cost less than anticipated - server hardware upgrades, Services and other charges - 39,737 39,737 - 149,640 149,640 109,903 73.4% CARS POS system. City of Brooklyn Center Expense Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% 2007 12/31/2007 Budget $ Change % Change Municipal Liquor higher than expected revenue will cause higher Cost of sales 4,125,816 3 210,466 5.4% than expected cost of sales. Personal services 529,966 536,747 (6,781) -1.3% Supplies 24 20,895 3,384 16.2% Other services 157,556 166,290 (8 -5.3% Insurance 11,527 13 (2,048) -15.1% Utilities 36 37 (331) -0.9% Rent 245 243,360 2,047 0.8% Golf Course Personal services 139,344 142,492 (3,148) -2.2% Supplies 44 5000 (6,082) -12.0% Other services 76,455 75 1,191 1.6% Insurance 6 8 (1,947) -22.8% Utilities 19 15 4 25.6% Earle Brown Heritage Center higher than expected revenue will cause higher Cost of sales 2,162,075 1,907,974 254 13.3% than expected cost of sales. Personal services 909 910,629 (1,297) -0.1% Supplies 142 160 (17,914) -11.2% Other services 53408 521 12 2.3% Insurance 48 45 2,383 5.2% Utilities 220 233,997 (13,567) -5.8% Rent - - #DIV /0 ! City of Brooklyn Center Expense Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% 2007 12/31/2007 Budget $ Change % Change Water Utility Personal services 42509 421 4,391 1.0% Supplies 156,404 178 (21,751) -12.2% budget amount does not include improvements - Other services 385,303 39007 (5,304) -1.4% these were reclassed as capital assets Insurance 12,589 12,875 (286) -2.2% Utilities 151 134 16,612 12.3% Sanitary Sewer Utility Personal services 169,781 171,896 (2 -1.2% Supplies 16,262 32 (16,543) -50.4% budget amount does not include improvements - these were reclassed as capital assets; higher than anticipated payments to MCES for sewer services ($89K), admin transfer was calculated higher in the General Fund in 2007 than in this fund Other services 2,179 2,071,111 108,298 5.2% ($38K). Insurance 5,329 5 (141) -2.6% Utilities 35,572 27,900 7,672 27.5% Storm Drainage Utility Personal services 85 89 (4,053) -4.5% Supplies 9,627 21,700 (12,073) -55.6% budget amount does not include improvements - Other services 291,957 310,608 (18,651) -6.0% these were reclassed as capital assets Insurance 2,780 1,405 1,375 97.9% City of Brooklyn Center Expense Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% 2007 12/31/2007 Budget $ Change % Change Recycling and Refuse Supplies 220 400.00 (180) -45.0% Other services 255,290 244 11,050 4.5% Insurance 1 2 (466) -20.7% Street Light Utility Supplies 822 2,900 (2 -71.7% budget amount does not include improvements - these were reported as transfers to the Other services 22,509 14,161 8,348 59.0% Infrastructure Construction fund Insurance 1,291 1,340 (49) -3.7% Utilities 167 161,800 5,237 3.2% Expense Analytical Internal Service Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, used a scope of $100,000 and 10% to analyze changes. 2007 12/31/2007 Budget $ Change % Change from budget from budget Central Garage Personal Services 301 321,647 (20,165) -6.3% Supplies 392,966 423,845 (30,879) -7.3% budget amount does not include capital outlay Other Services 148,053 102 45,500 44.4% Insurance 55,102 54,280 822 1.5% Utilities 1,870 3 (1,830) -49.5% EE Retirement Benefit Personal Services 50,754 60 (9,246) -15.4% EE Comp Absences Personal Services 146,900 16000 (13,100) -8.2% City of Brooklyn Center Expense Analytical Governmental Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 14000.00 Infrastructure Construction 10000.00 Nonmajor Funds 10000.00 PY Salaries and 12/31/2007 Salaries and 12/31/2006 $ Change % Change Benefits Other Benefits Other from p/y from p/y General Fund General Government 1,678,770 1,192,173 2,870,943 1,63106 1,105,327 2,737,213 86,846 7.9% In 2006 - paid for temp admin asst from prof services ($48,500); paid $30,000 for dispatch transition - reconfigure office area to accommodate station service officers rather than dispatchers; charges for LOGIS support went down in 2007 $16,622; prisoner boarding charges Public Safety 5,925,977 1,426,928 7,352,905 5,625,776 1,532,336 7,158,112 (105,408) -6.9% down in 2007 $15,514 Public Works 1,248,297 71908 1,967,385 1,026,634 669,923 1,696,557 49,165 7.3% Community Services - 74,389 74,389 - 123,172 123,172 (48,783) -39.6% Parks and Recreation 1,565,396 70507 2,271,093 1,458,355 718,331 2,176,686 (12,634) -1.8% Economic Development - 335,729 335,729 - 350,919 350,919 (15,190) -4.3% Nondepartmental 53,432 301,416 354,848 53,730 310,237 363,967 (8,821) -2.8% In 2007, an engineering services transfer was made from the Infrastructure Construction Fund to the General Fund for the actual wages and benefits for the engineering department time Administrative services reimbursement - (744,590) (744,590) - (529,362) (529,362) (215,228) 40.7% spent on the specific projects, $202,347. Capital Outlay - 141,272 141,272 - 53,579 53,579 8703 163.7% City of Brooklyn Center Expense Analytical Governmental Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 14000.00 Infrastructure Construction 10000.00 Nonmajor Funds 10000.00 PY Salaries and 12/31/2007 Salaries and 12/31/2006 S Change % Change Benefits Other Benefits Other from p/y from p/y Major Special Revenue Fund Tax Increment District No. 3 In 2007, a conscious effort was made to classify as capital outlay only that amount that was to be capitalized as a capital asset - Project 2007 -15. The remaining amounts were classified as current Economic Development 37,574 4,98507 5,023,461 43,331 683,243 726,574 4,302,644 629.7% expenditures. The difference between (in total) 2006 and 2007 can be attributed to the purchase, and demolition, of the property at 1501 Freeway Blvd in 2007 (the old Days Inn) and the continued preparation of the property at 57th & Logan, and at 1501 and 1601 James Circle for redevelopment. These costs are not capitalizable. The estimated fair value, not to exceed net realizable value, is included on the balance sheet as both Assets Held for Resale and Deferred Revenue until these properties are sold. Until that time, any additional costs associated with site preparation and the eventual sale of these properties will be reported as expenditures Capital outlay - 1,179,136 1,179,136 - 2,913,979 2,913,979 (1,734,843) -59.5% in this fund. Major Capital Projects Fund Infrastructure Construction Services and other charges - 74,536 74,536 - 63,352 63,352 11,184 17.7% MSA contributions in 2006 reduced expenditures, Capital outlay - 1,975,078 1,975,078 - 1,417,391 1,417,391 55707 39.3% MSA was transfer in 2007 - $678,040. Larger projects in 2007, also had larger contributions from MSA, Street Reconstruction, Utility Funds, etc. City of Brooklyn Center Expense Analytical Governmental Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 14000.00 Infrastructure Construction 10000.00 Nonmajor Funds 10000.00 PY Salaries and 12/31/2007 Salaries and 12/31/2006 S Change % Change Benefits Other Benefits Other from p/y from p/y NON MAJOR FUNDS Special Revenue Housing and Redevelopment Authority Services and other charges - 395 395 - - - 395 9DIV /0! Economic Development Authority Personal services 160,212 - 160,212 142,022 - 142,022 - #DIV /0! Supplies - 2,018 2,018 - 79 79 1,939 2454.4% Services and other charges - 133,357 133,357 - 145,581 145,581 (12,224) -8.4% Earle Brown Tax Increment District Personal services 900 - 900 6,332 - 6,332 - #DIV /0! Services and other charges - 2,528 2,528 - 2,856 2,856 (328) -11.5% Tax Increment District No. 4 Personal services 78 - 78 150 - 150 - #DIV /0! Services and other charges - 653 653 - 705 705 (52) -7.4% Police Drug Forfeiture Supplies - 16,791 16,791 - 4,812 4,812 11,979 248.9% Services and other charges - 42,782 42,782 - 12,714 12,714 30,068 236.5% Capital outlay - - - - 3,003 3,003 (3,003) - 100.0% Community Development Block Grant Services and other charges - - - - 11,340 11,340 (11,340) - 100.0% City Initiatives Grant Personal services 114,432 - 114,432 116,814 - 116,814 - #DIV /0! Supplies - 27,069 27,069 - 9,572 9,572 17,497 182.8% Services and other charges - 28,901 28,901 - 33,274 33,274 (4,373) -13.1% City of Brooklyn Center Expense Analytical Governmental Funds 12/31/2007 "Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 14000.00 Infrastructure Construction 10000.00 Nonmajor Funds 10000.00 PY Salaries and 12/31/2007 Salaries and 12/31/2006 $ Change % Change Benefits Other Benefits Other from p/y from p/y Capital Projects Capital Reserve Emergency These were costs associated with the repairs to City buildings that sustained damage in the storm on September 2005. In 2008, we expect to see an Services and other charges - 183,409 183,409 - - - 183,409 #DIV /0! insurance reimbursement for these costs. Capital Improvements Materials and supplies - 2,400 2,400 - - - 2,400 #DIV /0! Services and other charges - 33,097 33,097 - 2100 2100 11,437 52.8% In 2006, the new salt /storage building was substantially completed (total cost of $407,000). In 2007, the Kylawn park building was supposed to have been re- built, however, the contractor did not get much done on the project. This will be Capital outlay - 75,339 75,339 - 490,499 490,499 (415,160) -84.6% completed in 2008. Municipal State Aid for Construction Materials and supplies - 2401 2401 - - - 2401 #DIV /0! Services and other charges - 3508 35,898 - 35,551 35,551 347 1.0% Contributions to projects in 2006 were reported as expenditures in MSA and a reduction in expenditures in Infrastructure Construction Fund, and as transfers in 2007 - difference is almost $300K, more MSA received in 2007 than in 2006 Capital outlay - - - - 381,445 381,445 (381,445) - 100.0% for current projects. Earle Brown Heritage Center Improvements Services and other charges - 40,508 40,508 - 79,362 79,362 (38,854) -49.0% Capital outlay - - - - 40,903 40,903 (40,903) - 100.0% Street Reconstruction Projects in 2007 required more reconstruction funds than in those in 2006. Total project costs Capital outlay - 1,15309 1,15309 - 617,673 617,673 536 86.8% for 2007 were $5.1M vs $4M in 2006 Technology Services and other charges - 39,737 39,737 - 22,575 22,575 17,162 76.0% City of Brooklyn Center Expense Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% PY 12/31/2007 12/31/2006 $ Change % Change Municipal Liquor increase in sales will mean increase in cost of Cost of sales 4,125,816 3 203,673 5.2% sales on full -time position was added in 2007 - $45K, Personal services 529,966 469,203 60,763 13.0% plus 3% increase for all wages Supplies 24 25 (1,012) -4.0% Other services 157,556 151 6,484 4.3% Insurance 11 11 298 2.7% Utilities 36 37,106 (437) -1.2% Rent 245,407 242 206 1.1% Golf Course Personal services 139,344 130,070 9,274 7.1% irrigation system required significant repair /maintenance in 2007 - $26,475 in parts Supplies 44,718 14 29,823 200.2% were needed for this system in 2007 Other services 76,455 87,623 (11,168) -12.7% Insurance 600 7 (833) -11.2% Utilities 19,969 18 1,096 5.8% City of Brooklyn Center Expense Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% PY 12/31/2007 12/31/2006 $ Change % Change Earle Brown Heritage Center Cost of sales 2,162,075 2 33,124 1.6% Personal services 909,332 881 27,754 3.1% Supplies 142,428 156,069 (13,641) -8.7% in 2007, all equipment rentals were included in this line, rather than in rentals. When you include the two amounts for 2006, difference is $18,391 Other services 534 404 129,932 32.2% or 3.3 %. (We are not required to include a note disclosure for the periodic rental of equipment, however, the rent in the Liquor Store does require a note disclosure, for the buildings. I moved the rents in the EBHC to "Other Services " in 2007 to avoid an issue, or the question on whether a disclosure Insurance 48,179 44 3 7.9% is needed.) Utilities 220 221,342 (912) -0.4% This was equipment rental in 2006 - should not have been classified here - should have been Rent - 148,323 (148,323) - 100.0% "Other Services" Water Utility in 2007, a part of one engineer was allocated to water at 30 %, not done in 2006; engineer was Personal services 42509 377,065 4804 12.9% included in 2007 budget Supplies 156,404 142 13,561 9.5% Other services 385,303 372 13 3.6% Insurance 12,589 12 (198) -1.5% Utilities 151 151,428 (191) -0.1% City of Brooklyn Center Expense Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% PY 12/31/2007 12/31/2006 $ Change % Change Sanitary Sewer Utility Personal services 169,781 148 20,970 14.1% Supplies 16,262 11,466 4,796 41.8% In 2006, the City accrued a payment to MCES for prior year's service charges that Met Council had not charged in the past. This payment was for $580,465; increase in payments to MCES for Other services 2 2,485 (306,070) -12.3% 2007 of $246,200 - net difference of $334,265 Insurance 5,329 5 (400) -7.0% Utilities 35,572 30 4,638 15.0% Storm Drainage Utility in 2007, a part of one engineer was allocated to storm at 40 %, not done in 2006; engineer was Personal services 85 59 26,624 45.0% included in 2007 budget Supplies 9,627 1038 (9,011) -48.3% in 2006, paid $41,984 for storm sewer study, Other services 291,957 334 (42,585) -12.7% project 2005 -19 Insurance 2,780 2 203 7.9% Recycling and Refuse Supplies 220 - 220 #DIV /0 ! Other services 255 243 11,412 4.7% Insurance 1,790 1 (185) -9.4% Street Light Utility Supplies 822 794 28 3.5% Other services 22 13,522 8,987 66.5% Insurance 1,291 1 (76) -5.6% Utilities 167,037 145 21,501 14.8% City of Brooklyn Center Expense Analytical Internal Service Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, used a scope of $100,000 and 10% to analyze changes. PY 12/31/2007 12/31/2006 $ Change % Change from p/y from p/y Central Garage Personal Services 301,482 296 4 1.6% Supplies 392,966 34905 4301 12.6% Other Services 148 107,954 40,099 37.1% Insurance 55 49,841 5,261 10.6% Utilities 1,870 2,014 (144) -7.1% EE Retirement Benefit In 2006, an adjustment was made to the accrual for Retirement Benefits, the old spread sheet only went through 2021, when we have retirees that are eligible through 2032. This adjustment was made in 2006 which caused the large increase. In 2007, with no new employees eligible, the adjustment to the liability was actually a decrease, which was Personal Services 50,754 535 (484,988) -90.5% offset against the expenses in the fund. EE Comp Absences Personal Services 146 126,776 20,124 15.9% City of Brooklyn Center Revenue Analytical Governmental Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 140 Infrastructure Construction 10000.00 Nonmajor Funds 100 Reviewed all other changes and analyzed any other accounts that appeared unusual or based on auditor judgment. 2007 12/31/2007 Budget $ Change from budget % Change from budget Franchise fees Nonmaj or Governmental Capital Projects Street Reconstruction 658,620 665,000 (6,380) -0.96% Lodging taxes General Fund 706,930 650 56,930 8.76% Licenses and permits rental dwelling license revenue was 1/2 of budget - this is an area that the City is working on to make the process better and smoother - these licenses are issued as two year licenses, which makes budgeting difficult until everything settles into General Fund 673,156 771 (98,287) - 12.74% place. Charges for services General Fund 693 670,791 22 3.36% Nonmajor Governmental Special Revenue City Initiatives Grant 12,436 11,187 1,249 11.16% Capital Projects Infrastructure Construction 0 0 0 #DIV /0! 705,736 6811978 City of Brooklyn Center Revenue Analytical Governmental Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 140 Infrastructure Construction 10000.00 Nonmajor Funds 100 Reviewed all other changes and analyzed any other accounts that appeared unusual or based on auditor judgment. 2007 12/31/2007 Budget $ Change from budget % Change from budget Fines and forfeits General Fund 291,423 24000 51,423 21.43% Miscellaneous General Fund 81,884 45,100 36,784 81.56% Tax Increment District No. 3 47,390 0 47,390 #DIV /0! Infrastructure Construction 35,286 11 24,286 220.78% Nonmaj or Governmental Special Revenue Economic Development Authority 209 0 2,109 #DIV /0 ! Police Drug Forfeiture 23 2800 (4 - 15.08% City Initiatives Grant 16,276 19,774 (3,498) - 17.69% Capital Projects Capital Reserve Emergency 169,019 not budgeted Capital Improvements 2 8, 67 8 0 2 8, 67 8 #DIV /0 ! Earle Brown Heritage Center Improv. 0 0 0 #DIV /0 ! Technology 0 0 0 #DIV /0 ! 404,420 103,874 City of Brooklyn Center Revenue Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% 2007 12/31/2007 Budget $ Change from budget % Change from budget Sales and user fees Budget is conservative, so as not to over - extend the resources - Municipal Liquor 5,474 5,131,115 343 6.69% budget will always be conservatively estimated Budget is conservative, so as not to over - extend the resources - Earle Brown Heritage Center 4 3 409 10.47% budget will always be conservatively estimated management is reviewing this fund in 2008 - budget for Golf Course 252 296 (43,3 80) - 14.66% revenues has been too high for last couple of years. Other revenue For all: Other revenue not budgeted, this may be rebates on purchases (Liquor), possibly an insurance payment received, NSF check processing fees, cash short /over, interest on overdue invoice payments (EBHC), minor adjustments to sales tax (to round to the nearest dollar), charges for reports Municipal Liquor 13,275 - 13,275 #DIV /0! (utilities), scrap value for old water meters, etc Earle Brown Heritage Center 4,812 - 4,812 #DIV /0! Golf Course 118 - 118 #DIV /0 ! Water Utility 5 - 5 #DIV /0! Sanitary Sewer Utility 1,984 - 1 #DIV /0! Street Light Utility L380 - 1 #DIV /0 ! 27,125 - City of Brooklyn Center Revenue Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% 2007 12/31/2007 Budget $ Change from budget % Change from budget Capital contributions Earle Brown Heritage Center - - - #DIV /0 ! Water Utility - - - #DIV /0 ! capital contributions are not budgeted. This is the amount of special assessments levied for the storm portion of Storm Drainage Utility 193 - 193,157 #DIV /0! reconstruction projects. 193,157 - City of Brooklyn Center Revenue Analytical Internal Service Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, used a scope of $100,000 and 10% to analyze changes. 2006 12/31/2007 Budget $ Change % Change from budget from budge Sales and user fees charges for replacements in 2007 were higher than anticipated due to refining the process /workpapers, internal and external fuel sales higher than expected because of increase in cost of Central Garage 1 1 252,703.00 21.1% fuel This amount is not budgeted because it is a function of the amount paid for terminating employees, the interest or other EE Comp Absences 100,468.00 - 100,468.00 #DIV /0! revenue earned, and the change in the accrual at year -end. Other revenue estimated amount for insurance payments for equipment not "totaled ", used oil recycling, sales of equipment not on capital Central Garage 10 500.00 5,384.00 107.7% assets list Capital contributions Central Garage - - - #DIV /0 ! capital contributions are not budgeted in any fund City of Brooklyn Center Revenue Analytical Governmental Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 140 Infrastructure Construction 10000.00 Nonmajor Funds 100 Reviewed all other changes and analyzed any other accounts that appeared unusual or based on auditor judgment. PY 12/31/2007 12/31/2006 $ Change from p/y % Change from p/y Franchise fees Nonmaj or Governmental Capital Projects Street Reconstruction 658 658 210.00 0.03% Lodging taxes General Fund 706,930.00 738 (31,846.00) -4.31% Licenses and permits General Fund 673 722 (49,477.00) -6.85% Charges for services General Fund 693,300.00 683,968.00 9,332.00 1.36% Nonmajor Governmental Special Revenue City Initiatives Grant 12 11,562.00 874.00 7.56% Capital Projects Infrastructure Construction - 2608.00 (26,688.00) - 100.00% 705,736.00 722,218.00 Fines and forfeits General Fund 291 256 34 13.57% City of Brooklyn Center Revenue Analytical Governmental Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 140 Infrastructure Construction 10000.00 Nonmajor Funds 100 Reviewed all other changes and analyzed any other accounts that appeared unusual or based on auditor judgment. PY 12/31/2007 12/31/2006 $ Change from p/y % Change from p/y Miscellaneous General Fund 81 85 (3 -4.53% in 2006, properties at 1501 & 1601 James Circle, in early 2007, the equipment that was salvageable from these two properties (Olive Garden and Cracker Barrel) was sold in early 2007. This was not the sale of an asset since these properties are Tax Increment District No. 3 47,390.00 - 47,390.00 #DIV /0! held as Assets Held for Resale, not capital assets. Until 2007, this fund held deferred revenue for the Riverwood Neighborhood project. In 2007, this was recorded as revenue, in lieu of special assessments, and allocated to the appropriate Infrastructure Construction 35,286.00 1,240.00 34,046.00 2745.65% projects. City of Brooklyn Center Revenue Analytical Governmental Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, the following were the scopes used for analyzing each fund: General Fund 9000.00 Tax Increment District No. 3 140 Infrastructure Construction 10000.00 Nonmajor Funds 100 Reviewed all other changes and analyzed any other accounts that appeared unusual or based on auditor judgment. PY 12/31/2007 12/31/2006 $ Change from p/y % Change from p/y Nonmaj or Governmental Special Revenue In early 2006, the City issued conduit debt for Maranatha Health care, an up -front fee of 1% of the bonds is required for the issuance, 58,750; a piece of redevelopment property at 419 69th ave was sold to a developer in 2006 for $38,000; SAC charges left over in the Sewer Fund are transferred to the EDA at the end of the year, $11,611 in 2006 Economic Development Authority 2,109.00 116,947.00 (114,83 8.00) - 98.20% and $1,926 in 2007 Police Drug Forfeiture 23 29 (5 - 18.44% City Initiatives Grant 16,276.00 21,378.00 (5,102.00) - 23.87% Capital Projects Capital Reserve Emergency 169,019.00 194 (25,902.00) - 13.29% Capital Improvements 28 23,369.00 5 22.72% Earle Brown Heritage Center Improv. - 3,500.00 (3,500.00) - 100.00% Technology - 1,020.00 (1 - 100.00% 404 477,296.00 City of Brooklyn Center Revenue Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% PY 12/31/2007 12/31/2006 $ Change from p/y % Change from p/y Sales and user fees Conscious effort by Liquor Operations Manager to market the stores - Store #2 has had continued increase in sales as potential patrons become aware that the store Municipal Liquor 5,474 5 315,647 6.12% is where it is. Earle Brown Heritage Center 4,325 4,260,168 65,128 1.53% Golf Course 252 250,339 2,281 0.91% Other revenue Municipal Liquor 13 7,894 5,381 68.17% In 2006, the EBHC received two reimbursements for expenses that were covered by insurance, so such Earle Brown Heritage Center 4,812 37,644 (32,832) - 87.22% reimbursements in 2007 Golf Course 118 105 13 12.38% Water Utility 5,556 3,419 2 62.50% In May 2002, the City deposited with the Hennepin County Court $607,000 for the condemnation action to acquire right -of -way for the France Avenue Relocation Project 2002 -04. In early 2007, we received a check for $93,810.98 (dated December 2006) for that portion that was to be refunded to the City upon completion of that action ($85,000 plus $8,810.98 interest). No such Sanitary Sewer Utility 1 93 (91,827) - 97.89% distribution in 2007. Street Light Utility L380 - 1 #DIV /0 ! 27 142,873 City of Brooklyn Center Revenue Analytical Proprietary Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230 and this is a first year client, analyzed all accounts that changed by more than $25,000 and 5% PY 12/31/2007 12/31/2006 $ Change from p/y % Change from p/y Capital contributions in 2006, the EBHC Capital Project fund purchased a combination oven (with roll -in rack) and "contributed" it Earle Brown Heritage Center - 40,903 (40,903) - 100.00% to the EBHC, no such capitalizable purchase in 2007 in 2006, the fuel system was reclassified from the Water, Sewer and General Capital Assets to the Central Garage. Charges are collected each month in the Garage Fund for eventual replacement of this system, however, the system itself was not in the Garage Capital Assets. In addition, the old cold storage building was re- allocated due to a new use, because the new storage building was Water Utility - (59,511) 59,511 - 100.00% built. Bonds were issued in 2006 for 2 storm projects - 2005- 02 and 2006 -02. In 2007, only one project, 2007 -06, had special assessments as a funding source. The storm portion of 2007 -02 was not significant enough to Storm Drainage Utility 193,157 324,771 (131,614) - 40.53% warrant the levy of special assessments. 193,157 306,163 City of Brooklyn Center Revenue Analytical Internal Service Funds 12/31/2007 * *Analyzed all accounts from the financial statements that were not tested in another section. Based on materiality at workpaper 1230, used a scope of $100,000 and 10% to analyze changes. PY 12/31/2007 12/31/2006 $ Change % Change from p/y from p/y Sales and user fees Central Garage 1,453,167.00 1 67,708.00 4.9% Jackie - you had the red amount as $0, however the 2006 EE Comp Absences 100,468.00 87,249.00 13,219.00 15.2% statement shows this amount to be $87,249 In 2007, liability increased by $14,000 more than in 2006 ($59K vs $45K); because the increase in interest revenue was used to pay the increase in severance payouts, the revenue (user fees) increased to cover this difference in the accrual Other revenue Central Garage 10,384.00 35 (24,999.00) -70.7% Capital contributions in 2006, the fuel system was reclassified from the Water, Sewer and General Capital Assets to the Central Garage. Charges are collected each month in the Garage Fund for eventual replacement of this system, however, the Central Garage - 168,316.00 (168,316.00) - 100.0% system itself was not in the Garage Capital Assets. Salaries 2006 2007 2007 2006 to 2007 to Actual Actual Budget 2007 % change Budget % change 3% increase from 2006 to 2007 across all funds regular increase in wages, plus step increases for staff as scheduled; higher OT in PD because of staff shortage; in 2007 all engineering time charge to general fund, in 2006 time charged to projects was posted to General 7 8,027 7,978 (520,443) -6.93% (49 -0.61% infrastructure constr fund $176,569 in 2007; EDA 112 123 160,971 (11 -9.89% 37 23.12% Earle Brown TIF (TIF2 5 784 - 4 85.83% (784) #DIV /0! TIF #3 37 32 - 5 13.55% (32 #DIV /0! TIF #4 131 68 - 63 48.09% (68) #DIV /0! 2 employees charge their time to these funds - based on what they are working on - will vary from year to year, all EDA /TIF funds 156 157 160 (1,195) -0.77% 3 2.24% total will vary by increase in salaries (3 %) amounts will vary based on grants received for PD - recreation staff fairly stable. PD does not budget any City Initiatives Grant 102 95 10,075 6 6.48% (85 - 847.26% salaries (or benefits) in this fund in 2006 - engineering dept charged their time to this fund. In 2007, engineering charged their time to engineering. Comparable amount for 2007 was Infrastructure Constr 143 - - 143 100.00% - #DIV /0! $176,569 (larger projects in 2007 than in 2006). Salaries 2006 2007 2007 2006 to 2007 to Actual Actual Budget 2007 % change Budget % change 3% increase from 2006 to 2007 across all funds Liquor 404 433 432,013 (28 -7.03% (1 -0.24% in 2007 a full -time position was added Golf 107 114 115 (6 -6.46% 901 0.78% E B H C 682 703743 704 (21 013) -3.08% 1 0.15% in 2007, a part of one engineer was allocated to water at 40 %, not done in 2006; engineer was included in 2007 Water 289 322 320,511 (32 - 11.19% (1 -0.53% budget in 2007, a part of one engineer was allocated to sewer at 30 %, not done in 2006; engineer was included in 2007 Sewer 112 127,515 129,675 (15 - 13.75% 2,160 1.67% budget in 2007, a part of one engineer was allocated to storm at 30 %, not done in 2006; engineer was included in 2007 Storm 45 62,689 64 (17 - 37.24% 1440 2.25% budget Central Garage 218 217 234,968 290 0.13% 17,255 7.34% 9 10,261 10,151,148 (492 -5.04% (110 -1.09% Benefits 2006 2007 2007 2006 to 2007 to Actual Actual Budget 2007 % change Budget % change 3% increase from 2006 to 2007 across all funds General 2 2 2 (187,466) -8.68% 146 5.87% EDA 32 34 40 (2,922) -9.12% 5 14.61% Earle Brown TIF (TIF2 799 116 - 683 85.48% (116) #DIV /0! TIF #3 5 4 - 624 11.47% (4,816) #DIV /0! TIF #4 19 9 - 10 52.63% (9) #DIV /0! all EDA /TIF funds 38 39 40 (1 -4.19% 1 2.54% City Initiatives Grant 14 18 - (4,208) - 28.49% (18,977) #DIV /0! depts do not budget benefits with part -time staff in 2006 - engineering dept charged their time to this fund. In 2007, engineering charged their time to engineering. Comparable wage amount for 2007 was $176,569 (larger Infrastructure Constr 21 - - 21 100.00% - #DIV /0! projects in 2007 than in 2006). Liquor 78 94,040 104 (15,364) - 19.53% 10 10.21% Golf 21 23 26 (2,217) - 10.44% 3 13.00% EBHC 193 201 205 (8,243) -4.25% 3 1.87% in 2007, a part of one engineer was allocated to water at 40 %, not done in 2006; engineer was included in 2007 Water 84 100 100 (16,026) - 18.92% 254 0.25% budget in 2007, a part of one engineer was allocated to sewer at 30 %, not done in 2006; engineer was included in 2007 Sewer 34 41,493 42 (6 - 19.88% 728 1.72% budget in 2007, a part of one engineer was allocated to storm at 30 %, not done in 2006; engineer was included in 2007 Storm 13 22 25 (8,851) - 64.30% 3,093 12.03% budget Central Garage 75 81 86 (5,586) -7.36% 5 6.04% 2 2 3 (235,116) -8.59% 155 4.98% work comp amounts are estimated for budgeting - not for ALL: known until after budget has been approved. increase in PERA contribution from City 0.25% for Coord and 1.20% for Police & Fire Cafeteria contribution can change with change in staff, or if existing staff are moved between depts - City contribution for employees who "opt out" of the City medical coverage is less than those who participate, for 2007 was $3,245 annual City of Brooklyn Center Utility Service Revenue Analytical Information 12/31/2007 2006 2007 2007 2006 to 2007 to Actual Actual Budget 2007 % change Budget % change Water 1 2 1 155 8.24% 372 22.31% rates increased 7.2% over 2006 Sanitary Sewer 3 3 3 179 5.82% 263 8.77% rates increased 2.8% over 2006 Storm Drainage 1 1 1 88 6.72% 28 2.03% rates increased 8.5% over 2006 Recycling /Refuse 242 245 245,100 2 1.10% 156 0.06% no rate increase from 2006 to 2007 Street Lights 221 232 229 11 5.20% 3 1.36% rates increased 8.4% over 2006 City of Brooklyn Center Utility Funds Analytical Information 12/31/2007 2006 2007 Number of accounts in UB system 8 9 Water Utility Fund Water Rates $1.11/1,000 gal $1.19/1,000 gal Gallons pumped 1,317,319,000 1,324,181,000 Gallons billed 1 1 connections 8 8 Sanitary Sewer Fund connections 8 8 rates $59.46/res qtr $61.10 /res qtr Storm Sewer Fund rates $11.85 /res qtr $12.86 /res qtr Recycling and Refuse Fund rates $7.35 /res qtr $7.35 /res qtr Street Light Utility Fund rates $3.21 /res qtr $3.48 /res qtr