|
<br />finance the construction of a public safety/city hall facility. Special assessment bonds ($6,605,000) and permanent
<br />improvement revolving bonds ($935,000) fmanced improvement projects within the City and are assessed to the benefiting
<br />properties. Tax increment bonds ($972,500) financed the City's economic development program. Certificates of
<br />indebtedness ($1,285,201) financed capital equipment purchases.
<br />
<br />Additional long-term debt in the amount of$2,538,226 and $776,300 is for notes payable and compensated absences,
<br />respectively.
<br />
<br /> City of Elk River Outstanding Debt
<br /> Governmental Business-type
<br /> Activities Activities Total
<br /> 2005 2004 2005 2004 2005 2004
<br />Bonds payable:
<br />General obligation
<br />revenue bonds $ 1,645,000 $ 1,850,000 $ 12,885,000 $ 11,050,000 $ 14,530,000 $ 12,900,000
<br />Lease revenue bonds 8,785,000 9,285,000 8,785,000 9,285,000
<br />Special assessment bonds 6,605,000 6,460,000 6,605,000 6,460,000
<br />Permanent improvement
<br />revolving bonds 935,000 1,020,000 935,000 1,020,000
<br />Tax increment bonds 972,500 1,116,000 972,500 1,116,000
<br />Certificates of indebtedness 1.035.201 705.967 250.000 375.000 1.285.201 1.080.967
<br />Total bonds payable 19,977,701 20,436,967 13,135,000 11,425,000 33,112,701 31,861,967
<br />Notes payable 2,538,226 2,663,145 2,538,226 2,663,145
<br />Compensated absences 481.096 465.634 295.204 282.989 776.300 748.623
<br />Total $ 20.458 797 $ 20 902 601 $ 15968430 $ 14371 134 $ 36 427 227 $ 35 273 735
<br />
<br />The City's bond rating was upgraded to Al from Moody's for general obligation debt.
<br />
<br />State statutes limit the amount of general obligation debt a Minnesota city may issue to 2% of total Estimated Taxable
<br />Market Value. The current debt limitation for the City of Elk River is $30,805,499. Only $9,089,408 of the City's net
<br />outstanding debt is counted within the statutory limitation.
<br />
<br />Additional information on the City of Elk River's long-term debt can be found in Note 3E on pages 47 - 52 of this report.
<br />
<br />Economic Factors and Next Year's Budget
<br />
<br />The City of Elk River estimates that the demand for city services will continue to grow at a level similar to last year due to
<br />population growth. This was taken into consideration in preparation of the City's 2006 budget. The property tax levy is set
<br />annually and is adjusted as necessary to fund the additional cost of providing services related to the City's growth and the
<br />addition of new programs. Charges for services are evaluated each year and adjusted if warranted. The City expects to
<br />keep the tax rate consistent in upcoming years.
<br />
<br />Requests for Information
<br />
<br />This financial report is designed to provide a general overview of the City of Elk River's finances for all those with an
<br />interest in the City's finances. Questions concerning any of the information provided in this report or requests for
<br />additional financial information should be addressed to City of Elk River, Attn: Finance Director, 13065 Orono Pkwy, Elk
<br />River, Minnesota 55330 or by calling (763) 635-1000.
<br />
<br />17
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
<br />I
<br />
|