City of New Hope Audit Report Year Ended December 31, 2019 Malloy - PowerPoint PPT Presentation

City of New Hope Audit Report Year Ended December 31, 2019 Malloy Montague, Karnowski, Radosevich, & Co., P.A.

Auditor’s Role Opinion on Basic Financial Statements Test Internal Controls and Compliance – Financial Statement Audit – Minnesota Laws and Regulations

Audit Results Unmodified “Clean” Opinion on Basic Financial Statements – Implemented GASB 84 – Fiduciary Activities Report on Internal Control and Compliance for the Financial Statement Audit – No Findings Reported for the Current Year Report on Minnesota Legal Compliance – No Findings Reported for the Current Year

Governmental Funds Change in Fund Balances Fund Balance as of December 31, 2019 2018 (Restated) Change Total by classification Nonspendable $ 22,980 $ 18,763 $ 4,217 Restricted 13,304,922 22,590,743 (9,285,821) Committed 5,033,555 5,695,475 (661,920) Assigned 6,248,128 5,695,269 552,859 Unassigned 4,641,403 3,713,980 927,423 Total governmental funds $ 29,250,988 $ 37,714,230 $ (8,463,242) Total by fund General $ 7,139,703 $ 7,180,951 $ (41,248) EDA Special Revenue 4,721,758 5,390,021 (668,263) HRA Construction Capital Projects 4,655,140 3,177,772 1,477,368 City Hall CIP Capital Projects 1,794,294 9,527,103 (7,732,809) Street Infrastructure Capital Projects 15,854 (948,474) 964,328 Park/Pool Improvement Capital Projects 5,316,815 9,492,781 (4,175,966) HRA Bonds Debt Service (2,244,096) (2,286,122) 42,026 Nonmajor funds 7,851,520 6,180,198 1,671,322 Total governmental funds $ 29,250,988 $ 37,714,230 $ (8,463,242)

General Fund Financial Position Year Ended December 31, $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $– 2015 2016 2017 2018 2019 Fund Balance $6,080,412 $6,273,678 $6,888,655 $7,180,951 $7,139,703 Cash Balance (Net) $5,919,870 $6,090,997 $6,750,104 $6,992,743 $7,187,781 Exp & Trans Out $11,879,622 $12,624,250 $13,290,729 $13,652,053 $14,337,748

General Fund Revenues – Budget and Actual Property Taxes Franchise Taxes Licenses and Permits Intergovernmental Charges for Services Fines Other $– $1 $2 $3 $4 $5 $6 $7 $8 $9 $10 $11 Millions Budget Actual

General Fund Expenditures – Budget and Actual General Government Public Safety Public Works Culture and Recreation $1 $2 $3 $4 $5 $6 $7 $8 $9 $– Millions Budget Actual

Enterprise Funds – Change in Net Position Net Position as of December 31, 2019 2018 Change Total by classification Net investment in capital assets $ 19,315,353 $ 18,783,898 $ 531,455 Restricted 1,358,401 1,160,680 197,721 Unrestricted 3,511,168 2,386,606 1,124,562 Total enterprise funds $ 24,184,922 $ 22,331,184 $ 1,853,738 Total by fund Sewer Utility $ 4,395,720 $ 3,908,698 $ 487,022 Water Utility 7,456,222 6,575,624 880,598 Golf Course 525,574 563,433 (37,859) Ice Arena 3,669,781 3,471,669 198,112 Storm Water 7,726,231 7,442,703 283,528 Street Lighting 411,394 369,057 42,337 Total enterprise funds $ 24,184,922 $ 22,331,184 $ 1,853,738

Sewer Utility Operation Year Ended December 31, $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $– 2015 2016 2017 2018 2019 Op. Rev. $2,468,638 $2,627,875 $2,899,257 $3,154,709 $3,380,075 Op. Exp. $2,447,426 $2,175,482 $2,420,994 $2,684,030 $2,843,056 Op. Inc. (Loss) $21,212 $452,393 $478,263 $470,679 $537,019

Water Utility Operation Year Ended December 31, $5,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $– $(500,000) $(1,000,000) 2015 2016 2017 2018 2019 Op. Rev. $3,576,643 $3,835,031 $3,994,122 $4,391,025 $4,387,321 Op. Exp. $4,522,667 $3,519,233 $3,462,858 $4,029,601 $3,720,072 Op. Inc. (Loss) $(946,024) $315,798 $531,264 $361,424 $667,249

Storm Water Fund Year Ended December 31, $1,200,000 $1,100,000 $1,000,000 $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $– 2015 2016 2017 2018 2019 Op. Rev. $981,723 $1,037,429 $1,082,348 $1,139,007 $1,190,058 Op. Exp. $690,536 $797,604 $834,963 $738,307 $874,407 Op. Inc. (Loss) $291,187 $239,825 $247,385 $400,700 $315,651

Street Lighting Fund Year Ended December 31, $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $– 2015 2016 2017 2018 2019 Op. Rev. $128,890 $137,525 $137,491 $144,582 $152,975 Op. Exp. $105,471 $102,912 $101,625 $119,198 $116,612 Op. Inc. (Loss) $23,419 $34,613 $35,866 $25,384 $36,363

Golf Course Fund Year Ended December 31, $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 $– $(50,000) $(100,000) 2015 2016 2017 2018 2019 Op. Rev. $272,314 $299,856 $273,247 $274,735 $282,323 Op. Exp. $290,507 $338,940 $335,983 $309,757 $327,422 Op. Inc. (Loss) $(18,193) $(39,084) $(62,736) $(35,022) $(45,099)

Ice Arena Fund Year Ended December 31, $1,000,000 $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $– $(100,000) $(200,000) 2015 2016 2017 2018 2019 Op. Rev. $748,886 $713,649 $811,661 $825,531 $852,765 Op. Exp. $821,786 $890,144 $951,444 $942,466 $953,352 Op. Inc. (Loss) $(72,900) $(176,495) $(139,783) $(116,935) $(100,587)

Government–Wide Change in Net Position As of December 31, 2019 2018 (Restated) Change Net position Governmental activities Net investment in capital assets $ 30,139,510 $ 27,888,417 $ 2,251,093 Restricted 6,628,138 3,944,766 2,683,372 Unrestricted 16,702,142 14,664,992 2,037,150 Total governmental activities 53,469,790 46,498,175 6,971,615 Business-type activities Net investment in capital assets 19,315,353 18,783,898 531,455 Restricted 1,358,401 1,160,680 197,721 Unrestricted 3,054,187 1,783,306 1,270,881 Total business-type activities 23,727,941 21,727,884 2,000,057 Total net position $ 77,197,731 $ 68,226,059 $ 8,971,672