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Financial Analysis of the Utilities
<br /> Our analysis of the Utilities begins on page 20 in the Financial Section. One of the most important questions asked about the Utilities'
<br /> finances is"Is the Utilities as a whole better off or worse off as a result of this year's activities?" The Statements of Net Position,and
<br /> the Statements of Revenues,Expenses and Changes in Net Position report information about the Utilities'activities in a way that will
<br /> help answer this question. These two statements report the net position of the Utilities and changes in this net position. You can think
<br /> of the Utilities'net position(the difference between assets and liabilities)as one way to measure financial health or financial position.
<br /> Over time,increases or decreases in the Utilities'net position is one indicator of whether its financial health is improving or
<br /> deteriorating. However,you will need to consider other non-financial factors such as changes in economic conditions,population
<br /> growth,zoning,and new or changed government legislation.
<br /> Net position. To begin our analysis,a summary of the Utilities' Statements of Net Position is presented in Table A-1. As can be seen
<br /> from the Table,net assets increased$2,039,501 to$56,055,589 in fiscal 2014 up from$54,016,088 in fiscal 2013.
<br /> TABLE A-1
<br /> Condensed Statement of Net Position
<br /> Increase
<br /> 2014 2013 (Decrease)
<br /> Assets
<br /> Current and other $ 20,288,649 $ 19,466,124 $ 822,525
<br /> Capital 48,254,028 48,879,659 (625,631)
<br /> Total assets 68,542,677 68,345,783 196,894
<br /> Total deferred outflows 67,284 75,525 (8,241)
<br /> Liabilities
<br /> Current 5,269,454 5,801,938 (532,484)
<br /> Non-current 7,284,918 8,603,282 (1,318,364)
<br /> Total liabilities 12,554,372 14,405,220 (1,850,848)
<br /> Net position
<br /> Net investment in capital assets 40,218,203 39,358,482 859,721
<br /> Restricted for debt service 490,500 647,000 (156,500)
<br /> Unrestricted 15,346,886 14,010,606 1,336,280
<br /> Total net position $ 56,055,589 $ 54,016,088 $ 2,039,501
<br /> Looking at Table A-1,you can see that most of the change in net position was realized in liabilities,which decreased$1,850,848 in
<br /> 2014. The decrease in current liabilities is a result of the 2014A bond refunding,as well as the$2,180,000 prepayment of the 2006
<br /> bonds. The increase in net position can also be attributed to the change in current assets,which increased$822,525. This increase is
<br /> due largely to increased sales,which can be attributed to the economy. Capital assets also decreased$625,631 as a result of removal
<br /> of inactive assets from the asset schedules with our software conversion.
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