5.2. SR 06-19-2006 - Laserfiche WebLink

Home Browse Search

CITY OF ELK RIVER, MINNESOTA NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2005 Note 3: DETAILED NOTES ON ALL FUNDS - CONTINUED Beginning Ending Due Within Balance Additions Reductions Balance One Year Business-type activities: Bonds payable G.O. revenue bonds $ 11,050,000 $ 2,860,000 $(1,025,000) $ 12,885,000 $ 2,280,000 Certificates of indebtedness 375,000 (125,000) 250,000 125,000 Total bonds payable 11,425,000 2,860,000 (1,150,000) 13,135,000 2,405,000 Notes payable 2,663,145 (124,919) 2,538,226 127,272 Compensated absences 282,989 38,933 (26,718) 295,204 110,895 Business-type activity long-term liabilities $ 14.371.134 $ 2.898.933 $(1.301.637) $ 15.968.430 $ 2.643.167 For the governmental activities, bonds payable can be summarized in the following categories: The general obligation revenue bonds were used for the construction of various drainage projects and expansion of an indoor ice arena. The bonds are payable from revenues but are backed by the full faith and credit of the City. The lease revenue bonds were used for the construction of city hall and a public safety building and the expansion of city hall. The bonds are payable from annual lease payments received by the EDA from the City. The special assessment bonds are used to finance assessable improvements within the City. The bonds are payable primarily from special assessments levied against properties benefited by the improvements. In addition, the bonds are general obligations of the City and are backed by its full faith and credit. The permanent improvement revolving bonds are used to finance assessable improvements within the City. The bonds are payable primarily from special assessments levied against properties benefited by the improvements. In addition, the bonds are general obligations of the City and are backed by its full faith and credit. The tax increment bonds are used to [mance land acquisition and other public costs to facilitate development within the tax increment district. The bonds are payable from tax increment revenues generated by existing and new development within the district. In addition, the bonds are general obligation of the City and are backed by its full faith and credit. The certificates of indebtedness are used to finance the purchase of capital equipment. The certificates are general obligations backed by the full faith and credit of the City. For the governmental activities, compensated absences are generally liquidated through the General Fund. For the business-type activities, the general obligation revenue bonds are used to [mance the acquisition and construction of major capital facilities and the certificates of indebtedness are used to [mance the purchase of equipment. The bonds and certificates are payable from net revenues of the benefiting enterprise fund but are backed by the full faith and credit of the City. The City also issued a promissory note to provide for the construction of a landfill gas generator. The note is to be paid from revenue of the system and is secured by the facility. The City issued $1,660,000 General Obligation Sewer Revenue Refunding Bonds, Series 2005B, the proceeds of which will be used to refund in advance the 2007-2016 maturities of the General Obligation Sewer Revenue Bonds, Series 1996. On February 1,2006, the escrow account will be used to call the $1,630,000 remaining principal of the General Obligation Sewer Revenue Bonds, Series 1996. Until this call date the City will continue to make debt service payments on the General Obligation Sewer Revenue Bonds, Series 1996 issue, while the interest payments on the General Obligation Sewer Revenue Refunding Bonds, Series 2005B issue will be paid from proceeds on the escrow account. This "crossover refunding" was undertaken to reduce its total debt service payments over the next ten years by $175,500 51 I I I I I I I I I I I I I I I I I I I