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Memo general fundsr 1 0 ot 1TY ►0 Ce F 0 MINNESOTA g DATE: 25 November 2013 TO: Lori Johnson, City Administrator MEMORANDUM FROM: Dan Jordet, Administrative Services Director RE: Use of General Fund Excess Revenue At the last budget working session it was suggested that the bottom line amount in the General Fund be allocated to easing a debt related cost. Staff was asked to review the debt service funds and make a recommendation. In fund 350, which services the 2003A G.O. Improvement Bonds, the City is close to closing out that obligation. The outstanding principal will be fully paid as of 1 February 2014 (blue cell). However, there are outstanding amounts for delinquent assessments and delinquent property taxes that force the fund into a cash deficit. The attached sheet shows that if the General Fund excess revenues are transferred to the 2003A bond fund it will reduce this cash shortfall (yellow cell). Assuming that the delinquent assessments and taxes are paid over the next two years, the fund will still end with a deficit balance of $ 4,215 (red cell). That amount may be further reduced by additional interest collected on the delinquent amounts owed. The fund will be monitored on an ongoing basis, as are all funds of the City. If this is agreeable, staff will prepare a resolution authorizing transfer of these funds once they have accumulated during the 2014 fiscal year. Other Professional Services Expenditures: 2003A - G.O. Improvement ent Bonds 18%380 188,005 103,088 -- - Net Operations: Deka Service Fund 350 (422) (28,480) Estimated (231171)1 401302 45,255 Beginning Gash .21285 Actual Actual Actual Proposed Projected Projected (28,486) 2011 2012 2013 2014 2015 2010 11 .. - Ending sash 2,002 25}810) Property Taxes 1332405 1121659 117,320 I 1001000 51392 51392 Other Operating Income - - - - 1 - - Special Assessments 55,038 48,238 301804 35,000 38,000 30,863 Other Non -Operating Income - - - - � - - Operating Transfers In - 341917 I Revenues: 1897133 160,894 147X4 169,917 1 401392 45,255 Bond Principal 170,000 1781000 180,000 I 190}000 ; . - Bond Interest 101855 14,380 8,065 31088 1 - - Other Bond Fees and Charges Other Professional Services Expenditures: 180,555 18%380 188,005 103,088 -- - Net Operations: (422) (28,480) (41,081) (231171)1 401302 45,255 Beginning Gash .21285 21002 (25}510) (66,001)[ (80,802) (40,470) Net Operations (422) (28,486) (41,081) 40,302 45,255 Changes in Assets/Liabilities ilities 130 874 11 .. - Ending sash 2,002 25}810) (66,691) ( Begining Principal Balance Due: 715,000 545,000 370,000 1 100,000 ; - - Ending Principal Balance Due: 5453000 370,000 1003000 i- Asessments Receivable 1403427 1091883 74 803 303808 Delinquent Taxes 101784 10x784 10}734 5x392