|
ELK RIVER MUNICIPAL UTILITIES
<br /> ELK RIVER,MINNESOTA
<br /> NOTES TO THE FINANCIAL STATEMENTS
<br /> DECEMBER 31,2013 AND 2012
<br /> Note 2: DETAILED NOTES ON ALL FUNDS-CONTINUED
<br /> C. Long-term debt
<br /> General obligation revenue bonds
<br />• The City of Elk River issues general obligation bonds to provide funds for the acquisition and construction of major
<br /> capital facilities. The following bonds are to be paid out of Utilities'revenues and are backed by the full faith and credit
<br /> of the City.
<br /> Authorized Interest Issue Maturity December 31,
<br /> Description and Issued Rate Date Date 2013 2012
<br /> G.O.Water Revenue
<br /> Refunding Bonds of 2008 $ 3,085,000 2.75-3.65 % 02/20/08 02/01/22 $ 2,180,000 $ 2,450,000
<br /> G.O.Water Revenue
<br /> Bonds of 2003B 1,995,000 3.55-3.70 12/09/03 02/01/14 235,000 465,000
<br /> G.O.Capital Improvement
<br /> Plan Bonds of 2010A 1,265,000 2.00-4.00 04/21/10 08/01/23 1,015,000 1,100,000
<br /> Total G.O.Revenue and Refunding Bonds $ 3,430,000 $ 4,015,000
<br /> The annual requirements to amortize the general obligation revenue and refunding bonds as of December 31,2013 are as
<br /> follows:
<br /> Year Ending
<br /> December 31, Principal Interest Total
<br /> 2014 $ 595,000 $ 106,007 $ 701,007
<br /> 2015 300,000 92,840 392,840
<br /> 2016 305,000 84,333 389,333
<br /> 2017 320,000 74,850 394,850
<br /> 2018 335,000 63,948 398,948
<br /> 2019-2023 1,575,000 132,484 1,707,484
<br /> Total $ 3,430,000 $ 554,462 $ 3,984,462
<br /> The G.O.revenue bonds were issued to finance capital improvements and are to be repaid from future revenues pledged
<br /> from the Water and Electric funds and are backed by the full faith and credit of the Utilities.
<br /> In both 2012 and 2013,annual principal and interest payment on the bonds required about 27 percent of revenues from
<br /> the Water fund. For 2012,principal and interest paid and total customer revenues for the Water fund were$601,492 and
<br /> $2,265,142,respectively. For 2013,principal and interest paid and total customer revenues for the Water fund were
<br /> $612,249 and$2,278,124,respectively.
<br /> In both 2012 and 2013,annual principal and interest payment on the bonds required about 0.3 percent of revenues from
<br /> the Electric fund. For 2012,principal and interest paid and total customer revenues for the Electric fund were$93,840
<br /> and$30,258,690,respectively. For 2013,principal and interest paid and total customer revenues for the Electric fund
<br /> were$96,520 and$30,846,379,respectively.
<br /> 93
<br />
|