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Management's Discussion and Analysis -Continued
<br />Apri19, 2009
<br />CAPITAL ASSETS
<br />The Utilities' investment in capital assets for its business-type activities as of December 31, 2008, amounts to $63,336,064 (net of
<br />accumulated depreciation). This investment in capital assets includes land, buildings and improvements and equipment. A table
<br />summarizing the balances by fund follows:
<br /> Increase
<br /> 2008 2007 (Decrease)
<br />Land $ 281,776 $ 211,236 $ 70,639
<br />Land improvements 26,476 29,001 (2,526)
<br />Buildings 2,468,930 2,674,423 (lOS,493)
<br />Construction in progress 196,606 1,834,486 (1,638,880)
<br />Machinery and equipment 1,238,820 1,332,337 (93,6 17)
<br />Infrastructure 49,124,468 47,508,808 1,616,650
<br />Total $ 63,336,064 $ 63,490,290 $ (164,226)
<br />The total decrease in the Utilities' investment in capital assets for the current fiscal year was 0.3 percent.
<br />Additional information on the Utilities' capital assets can be found in Note 2B on page 20 - 22 of this report.
<br />LONG-TERM DEBT
<br />At year end, the Utilities had $18,439,132 in long-term debt up from $16,652,842 in fiscal 2007. More detailed information about
<br />the Utilities' long-teen liabilities is presented in the Notes to the Financial Statements on pages 22 - 24 and below:
<br />Increase
<br />2008 2007 (Decrease)
<br />G.O. revenue bonds
<br />Revenue bonds
<br />Promissory note
<br />Compensated absences payable
<br />OPEB liability
<br />Total
<br />$ 8,660,000 $ 6,410,000 $ 2,260,000
<br />6,goo,oo0 7,o7s,ooo (27s,ooo)
<br />2,701,994 2,879,OS4 (177,060)
<br />266,926 288,788 (21,863)
<br />10,213 - 10,213
<br />$ 18,439,132 $ 16,662,842 $ 1,786,290
<br />CONTACTING THE UTILITIES FINANCIAL MANAGER
<br />This financial report is designed to provide our citizens, customers, investors and creditors with a general overview of the
<br />Utilities' finances and to demonstrate the Utilities' accountability for the money it receives. Questions concerning any of the
<br />information provided in this report or requests for additional financial information should be addressed to Theresa Slominski, Elk
<br />River Municipal Utilities, PO Box 430, Elk River, Minnesota 66330-0430 or stop by at 13069 Orono Parkway in Elk River, MN.
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