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HomeMy WebLinkAboutItem 7i        FINANCIAL HIGHLIGHTS:   The following financial report and analysis offers readers a narrative overview of the financial activities  of the City for the three‐month period ended March 31, 2019. This report includes the General Fund,  Communications  Fund,  Liquor  Fund  and  Utility  Operating  Funds.  The  readers  are  encouraged  to  consider the information presented here in conjunction with the  unaudited  financial  statements  attached to this report, the adopted budget and the five‐year Capital Improvement Plan.   General Fund     ‐     Revenues   Property tax revenues   Tax payments from Dakota County are received in two installments in June and December.  The General fund property tax revenues are anticipated to be $21.3 million for 2019.     Licenses and Permits.     Building  permit  revenue  continues  to  be  strong  and  are  exceeding  budget  estimates  through the first quarter. The following chart shows how the number of permits issued in  the first quarter compares to the same period in 2018 and the 2019 Adopted Budget:      YTD 1st  2019 First  Quarter Adopted Quarter Permit Type 2018 Budget 2019 Single Family 100 350 95 Townhome 7 50 17 Apartments (Units) 0 1 (160 units) 0 Commercial 0 10 1    Intergovernmental.   Revenues comprised of police and fire aid and various grants are typically received in the  third and fourth quarters. $12,000 has been recognized for an Arts Grant.     Charges for Services.   General government services are slightly below budget due mainly to lower planning and  inspection fees.       ii    FINANCIAL HIGHLIGHTS (continued):    General Fund     ‐     Revenues (Continued)     Charges for Services. (Continued)   Public Safety revenues are slightly below budget estimates. Security services are down  compared to the same time in 2018 which included $18,000 from Super Bowl LII. Security  services are also below budget due to many events occurring later in the year such as  Easter, Christmas and Samaritan’s Purse. The fire contract with Eureka Township ($41,375)  is billed out in June of the current year. 2019 is the first year of a three‐year agreement  with Eureka Township.     Public works revenues are based on summer construction projects and therefore year‐to‐ date  revenues  are  below  the  annual  estimates.  Engineering  developer  contract  administration is collected at the time of the development contract. $207,000 has been  received in the first quarter.      Parks and Recreation revenues are exceeding budget estimates but are down $12,000 over  the same period in 2018.      Court Fines  •  Revenues from court fines ($96,000) represent 28 percent of the budget estimates and are  up $6,000 over the period in 2018. Court fine revenues and the membership fees paid to  the Dakota Communications Center are both impacted by the number of CAD calls.      General Fund     ‐     Expenditures     Personnel – Actual expenses for personnel will reflect the impact of the implementation of the  compensation and classification study and cost of living adjustments that were approved in  2018.     Motor Fuels – Motor fuels through March 31, are at 32 percent of the 2019 Budget. Motor  fuels are $12,000 higher than the same period in 2018. Increased snow events for the public  works departments contributed to the higher fuel expense.      Street Chemicals – Costs for the first part of 2019 are at 43 percent of the budget. Inventory at  the end of 2018 helped keep salt purchases down in 2019. Unused chemicals are stored at the  central maintenance facility and will be utilized in the late fall if needed.       Utilities – Electric & Natural Gas. Costs are fairly consistent with the same period in 2018. Tota l  costs through the first quarter represent 28 percent of the adopted budget.      Community and Economic Development. Expenditures are down compared to the same  period in 2018 due to the Economic Development Guide being completed in 2018.    iii    FINANCIAL HIGHLIGHTS (continued):    General Fund     ‐     Expenditures (continued)     Inspections. Salaries are up over the same period in 2018 due to a recent employee resignation  resulting in severance costs.      Information Technology. Timing of annual maintenance agreements can impact the expense  comparison each year. In 2019, increases in ESRI maintenance connected with the Cartegraph  upgrade and the county broadband initiative contributed to the increase over the same period  in 2018.     Police. DCC membership fees for the 1st quarter are up $16,000 over the same period in 2018  as a result of increased CAD events in prior years. Commodities increase over the same period  in 2018 due to uniforms ($19,000) for new police reserve officers.     Fire. The Department migrated to a pay‐per‐hour compensation plan for firefighters. The  increased costs are accounted for in the budget appropriations. The first quarter personnel  expenses were 6.9 percent over the same period in 2018.      Engineering/GIS. GPS receivers were purchased in the first quarter contributing to the increase  over 2018      Operations & Maintenance. Personnel services are below budget estimates due to employee  vacancies.      Streets. Personnel services are up compared to budget and the prior year due in part to the  increased  snow  events  in  2019.  Salt  costs  were  below  the  prior year  due  to  the  use  of  significant inventories available at the end of 2018.      Parks. The  parks  budget  is  below  budget  as  the  department  gets  into  its  busy  season.  Expenditures exceeded the same period in 2018 as a result of an extended ice rink season.     Arts Center.  A roll drum was purchased in 2019 to allow the use of a screen to be utilized  during performances. Funding ($13,000) was provided by ticket surcharges.     iv    FINANCIAL HIGHLIGHTS (continued):    Communications Fund       Revenues from Franchise fees are received on a quarterly basis. They are typically received by  the end of the month following the quarter. As of the date of this report, the first quarter  franchise fees have not been received and the amount was estimated based on historical  numbers. Revenues are anticipated to remain consistent with prior years.      Expenses  are  down  slightly  over the same period in 2018. There is  $180,000  in  budget  appropriations for the final phase of the fiber installation project. The project is funded by  transfers from the General Fund, Liquor Fund and the Utility Fund. Funding from the General  Fund was transferred in 2018 and is reflected in the beginning fund balance. Funding from the  Liquor Fund and Utility Fund will be made as the project is completed.      Liquor Fund       Sales for the first quarter amounted to $3.3 million which is a 2.7 percent increase over the  same period in 2018. Sales were slightly below budget estimates which had much higher  expectations for March sales which may have been impacted by the winter weather.      Total expenditures are in line with budget appropriations. Rent for the Kenrick liquor store  added $66,000 in additional expenditures for the quarter compared to 2018. Three floor  scrubbers were also purchased in the first quarter adding $14,000 to the 2019 expenditures.      2019 Transfers include a $400,000 transfer to the Equipment Fund; $400,000 to the Debt  Service Fund for the police station bonds (final maturity ‐ February, 2032); $274,000 for the  2017 HRA lease revenue bonds (debt for Galaxie Store; final maturity – February, 2027); and  $262,000 in operating transfers.       v    FINANCIAL HIGHLIGHTS (continued):       Water Fund     Water revenues are low in the first quarter which is typical for the first quarter but are  exceeding revenues from the same period a year ago due mainly to the water rate increase  that went in affect February 1, 2019. Water usage increases as residents and businesses turn  on their irrigation systems in late spring.     The 2019 major maintenance projects are budgeted as follows:   ADA Door operators ‐ $6,800   Water Treatment Facility space needs study ‐ $50,000    Trench drain rehabilitation ‐ $40,000   Well #12 rehabilitation ‐ $60,000   Pump rehabilitation ‐ $60,000   Well house #3 roof replacement ‐ $12,500   2019 Street reconstruction project – watermain repair/replacement costs ‐ $1.4 million   Water meter replacement projects ‐ $334,000; $9,000 has been spent year‐to‐date      Sewer Fund     Sewer revenues are tracking above budget expectations and are up over the same period in  2018 as a result of the increase in sewer rates for the base charge and discharge effective  February 1, 2019.       Expenditures are below budget estimates but are up compared to the same period in 2018.      Disposal charges paid to Metropolitan Council of Environmental Services increased 3.9 percent  over the 2018 rates and are projected to be $4.2 million for 2019      The 2019 major maintenance projects are budgeted as follows:   Lift station rehabilitation ‐ $530,000   Sewer line improvements ‐ $250,000   I/I mitigation repairs ‐$425,000      vi    FINANCIAL HIGHLIGHTS (continued):       Street Lighting Fund     Revenues are exceeding budget and are up over the same period in 2018. Street light fees of  $8,300 were collected at the time of final plat in the first quarter.     Streetlight rates were increased effective February 1, 2019.       2019 electrical costs are in line with budget estimates.        Environmental Resources Fund     Revenues are tracking with budget estimates.      Rates were increased effective February 1, 2019.     Personnel services are slightly below budget but increased over the same period in 2018.      Majority of projects are completed in the spring, summer and fall months which results in  lower expenses during the first quarter.     Unaudited 2019 Variance from Adopted 3/31/2019 Amended Budget Actual 3/31/18 Budget Actual Positive (Negative)Percent Actual Revenues General property taxes 21,327,427$       ‐$                         (21,327,427)$               0.0% 6,991$                  (6,991)$                       0.0% Licenses and permits 2,390,498           580,822              (1,809,676)                    24.3% 598,671                (17,849)                       97.0% Intergovernmental 989,590               21,888                (967,702)                       2.2% 60,712                  (38,824)                       36.1% Charges for services 2,734,249           662,423              (2,071,826)                    24.2% 458,097                204,326                      144.6% Court fines 346,000               95,598                (250,402)                       27.6% 88,050                  7,548                           108.6% Investment income 120,000               35,108                (84,892)                         29.3% 22,898                  12,210                         153.3% Miscellaneous 47,163                 13,644                (33,519)                        28.9%12,808                  836                             106.5%   Total revenues 27,954,927         1,409,483          (26,545,444)                5.0%1,248,227            161,256                     112.9% Expenditures Mayor and Council 113,250               27,822                85,428                           24.6% 27,514                  (309)                             101.1% Committees and Commissions 68,218                 4,959                  63,259                           7.3% 4,245                    (714)                             116.8% City Administration 477,506               113,904              363,602                        23.9% 120,811                6,907                           94.3% City Clerk 148,586               29,924                118,662                        20.1% 29,095                  (829)                             102.8% Legal Counsel 81,000                 18,179                62,821                           22.4% 18,933                  754                              96.0% Planning 580,515               144,633              435,882                        24.9% 140,913                (3,721)                          102.6% Community and Econ. Development 375,237               88,945                286,292                        23.7% 101,972                13,027                         87.2% Inspections 1,273,544           322,179              951,365                        25.3% 303,568                (18,612)                       106.1% General Government Facilities 607,324               155,744              451,580                        25.6% 138,936                (16,808)                       112.1% Finance 804,429               186,844              617,585                        23.2% 195,887                9,043                           95.4% Information Systems 788,545               272,943              515,602                        34.6% 219,605                (53,337)                       124.3% Human Resources 527,997               126,720              401,277                        24.0% 124,450                (2,270)                          101.8% Insurance 285,000               71,250                213,750                        25.0% 71,250                  ‐                                    100.0% Police 11,628,288         2,838,060          8,790,228                     24.4% 2,720,177            (117,883)                     104.3% Fire 2,034,937           392,036              1,642,901                     19.3% 359,679                (32,357)                       109.0% Engineering 881,757               212,767              668,990                        24.1% 210,299                (2,468)                          101.2% Construction Services 573,870               101,490              472,380                        17.7% 90,904                  (10,586)                       111.6% Streets 3,288,617           1,062,937          2,225,680                     32.3% 1,029,098            (33,839)                       103.3% Parks 2,744,963           582,487            2,162,476                   21.2% 561,423               (21,065)                      103.8% Recreation 745,137               159,142              585,996                        21.4% 153,839                (5,303)                          103.4% Heritage Center 138,674               25,815                112,859                        18.6% 26,118                  304                              98.8% Arts Center 550,049               173,200              376,849                        31.5% 167,265                (5,936)                          103.5% Other 79,466                ‐                           79,466                          0.0%‐                            ‐                                   0.0%   Total expenditures 28,796,909         7,111,980          21,684,929                  24.7%6,815,980            (296,000)                    104.3% Excess (deficiency) of revenues over expenditures (841,982)             (5,702,497)         (4,860,515)                    (5,567,753)           (134,745)                     Other financing sources (uses) Transfer from other funds 766,482               41,621                (724,862)                       5.4% 173,897                (132,277)                     23.9% Transfer to other funds (630,000)             (480,000)             150,000                       76.2%(400,000)              (80,000)                      120.0% Total other financing sources (uses) 136,482               (438,380)             (574,862)                       (226,103)              (212,277)                    193.9% Net change in fund balance (705,500)             (6,140,877)         (5,435,377)                    (5,793,609)           (347,268)                     Beginning fund balance 14,970,310         15,565,945        595,635                        15,128,923          437,022                      Ending fund balance 14,264,810$       9,425,068$        (4,839,742)$                 9,335,314$          89,754$                      Adj fund balance, Dec 31 (net of restricted )13,150,435$      8,729,238$       8,639,484$         Net change in fund balance percentage (4.7%)(39.5%)(38.3%) Ratio: Fund balance to CY expenditures 45.7% Ratio: Fund balance to NY expenditures 44.3% Expense Summary: Personnel services 21,502,338        5,198,288          16,224,584                 24.2%4,974,898            (223,390)                   104.5% Commodities 1,757,479          566,254             1,191,225                   32.2%581,970               15,716                       97.3% Other charges and services 5,537,092          1,347,437          4,189,655                   24.3%1,259,111            (88,326)                     107.0% Capital outlay ‐                          ‐                         ‐                                    #DIV/0!‐                           ‐                                  0.0% 28,796,909        7,111,980          21,605,463                 24.7%6,815,980            (296,000)                   104.3% General Fund Summary Statement of Revenues, Expenditures and Changes in Fund Balances For the Three Month Period Ended March 31, 2019 Comparative Variance from 2018 Actual Positive (Negative) 1 Unaudited General Fund Schedule of Expenditures 2019 Variance from Adopted 3/31/2019 Adopted Budget Actual 3/31/18 Expenditures Budget Actual Positive (Negative)Percent Actual Mayor and Council Personnel services 62,561$               15,847$              46,714$                        25% 13,295$                (2,553)$                       119.2% Commodities 50                         64                        (14)                                 128% 90                          26                                 71.1% Other charges and services 50,639                 11,911                38,728                          24%14,129                  2,218                          84.3% Total 113,250               27,822                85,428                          25%27,514                  (309)                            101.1% Committees/Commissions Personnel services 53,388                 573                      52,815                           1% 358                        (215)                             160.1% Commodities 1,630                   ‐                       1,630                             0% ‐                         ‐                               0.0% Other charges and services 13,200                 4,386                  8,814                            33%3,887                    (499)                            112.8% Total 68,218                 4,959                  63,259                          7%4,245                    (714)                            116.8% City Administration Personnel services 455,248               109,149              346,099                        24% 106,297                (2,851)                          102.7% Commodities 1,600                   136                      1,464                             8% 8                            (128)                             1699.8% Other charges and services 20,658                 4,619                  16,039                           22%14,506                  9,887                           31.8% Total 477,506               113,904              363,602                       24%120,811                6,907                          94.3% City Clerk Personnel services 114,305               28,593                85,712                           25% 28,141                  (452)                             101.6% Commodities 300                       36                        264                                12% 7                            (29)                               513.9% Other charges and services 33,981                 1,295                  32,686                          4%947                        (348)                             136.7% Total 148,586               29,924                118,662                       20%29,095                  (829)                            102.8% Legal Counsel Other charges and services 81,000                 18,179                62,821                          22%18,933                  754                             96.0% Planning Personnel services 538,195               135,659              402,536                        25% 132,676                (2,984)                          102.2% Commodities 2,041                   63                        1,978                             3% 141                        78                                 44.7% Other charges and services 40,279                 8,911                  31,368                           22%8,096                    (815)                             110.1% Total 580,515               144,633              435,882                       25%140,913                (3,721)                         102.6% Community and Economic Development Personnel services 307,121               68,599                238,522                        22% 71,898                  3,299                           95.4% Commodities 250                       4                          246                                2% 19                          15                                 21.1% Other charges and services 67,866                 20,342                47,524                           30%30,055                  9,713                           67.7% Total 375,237               88,945                286,292                       24%101,972                13,027                        87.2% Inspection Personnel services 1,003,209           260,151              743,058                        26% 235,752                (24,400)                       110.3% Commodities 13,792                 2,685                  11,107                           19% 3,076                    391                              87.3% Other charges and services 256,543               59,343                197,200                        23%64,740                  5,397                           91.7% Total 1,273,544           322,179              951,365                       25%303,568                (18,612)                      106.1% (continued) Comparative Variance from 2018 Actual Positive (Negative) 2 Unaudited General Fund Schedule of Expenditures 2019 Variance from Adopted 3/31/2019 Adopted Budget Actual 3/31/18 Expenditures (continued)Budget Actual Positive (Negative)Percent Actual General Government Facilities Personnel services 399,147$            103,969$            295,178$                      26% 92,119$                (11,850)$                     112.9% Commodities 22,174                 7,814                  14,360                           35% 7,461                    (353)                             104.7% Other charges and services 186,003               43,961                142,042                       24%39,356                  (4,605)                         111.7% Total 607,324               155,744              451,580                       26%138,936                (16,808)                      112.1% Finance Personnel services 716,653               166,605              550,048                        23% 176,311                9,706                           94.5% Commodities 3,525                   839                      2,686                             24% 854                        15                                 98.2% Other charges and services 84,251                 19,400                64,851                           23%18,722                  (678)                             103.6% Total 804,429               186,844              617,585                       23%195,887                9,043                          95.4% Information Systems Personnel services 443,618               106,758              336,860                        24% 104,279                (2,479)                          102.4% Commodities 4,425                   327                      4,098                             7% 1,908                    1,581                           17.2% Other charges and services 340,502               165,857              174,645                        49%113,418                (52,439)                       146.2% Total 788,545               272,943              515,602                       35%219,605                (53,337)                      124.3% Human Resources Personnel services 416,092               98,889                317,203                        24% 96,799                  (2,091)                          102.2% Commodities 3,865                   2,952                  913                                76% 476                        (2,476)                          620.2% Other charges and services 108,040               24,878                83,162                           23%27,175                  2,297                           91.5% Total 527,997               126,720              401,277                       24%124,450                (2,270)                         101.8% Insurance Other charges and services 285,000               71,250                213,750                       25%71,250                 ‐                              100.0% Police Personnel services 9,083,175           2,160,656          6,922,519                     24% 2,097,158            (63,498)                       103.0% Commodities 401,462               138,623              262,839                        35% 115,809                (22,814)                       119.7% Other charges and services 2,143,651           538,781              1,604,870                     25%507,210                (31,571)                       106.2% Total 11,628,288         2,838,060          8,790,228                    24%2,720,177            (117,883)                    104.3% Fire Personnel services 1,245,784           286,208              959,576                        23% 267,726                (18,482)                       106.9% Fire Relief Contribution/State Aid 363,351               6,000                  357,351                        2% 10,000                  4,000                           60.0% Commodities 153,816               34,771                119,045                        23% 28,885                  (5,886)                          120.4% Other charges and services 271,986               65,057                206,929                        24%53,068                  (11,989)                       122.6% Total 2,034,937           392,036              1,642,901                    19%359,679                (32,357)                      109.0% (continued) Comparative Variance from 2018 Actual Positive (Negative) 3 Unaudited General Fund Schedule of Expenditures 2019 Variance from Adopted 3/31/2019 Adopted Budget Actual 3/31/18 Expenditures (continued)Budget Actual Positive (Negative)Percent Actual Engineering Personnel services 769,706$            191,712$            577,994$                      25% 184,465$              (7,248)$                       103.9% Commodities 12,966                 3,907                  9,059                             30% 661                        (3,246)                          591.1% Other charges and services 99,085                 17,148                81,937                           17%25,174                  8,026                           68.1% Total 881,757               212,767              668,990                       24%210,299                (2,468)                         101.2% Construction Services Personnel services 552,065               96,995                455,070                        18% 88,325                  (8,670)                          109.8% Commodities 7,915                   423                      7,492                             5% 946                        523                              44.7% Other charges and services 13,890                 4,072                  9,818                             29%1,633                    (2,439)                          249.4% Total 573,870               101,490              472,380                       18%90,904                  (10,586)                      111.6% Streets Personnel services 2,183,894           707,070              1,476,824                     32% 634,272                (72,798)                       111.5% Commodities 746,573               304,630              441,943                        41% 359,440                54,810                         84.8% Other charges and services 358,150               51,237                306,913                        14%35,386                  (15,851)                       144.8% Total 3,288,617           1,062,937          2,225,680                    32%1,029,098            (33,839)                      103.3% Parks  Personnel services 1,925,115           462,352              1,462,763                     24% 453,373                (8,980)                          102.0% Commodities 296,140               41,770                254,370                        14% 43,506                  1,736                           96.0% Other charges and services 523,708               78,365                445,343                        15%64,544                  (13,821)                       121.4% Total 2,744,963           582,487              2,162,476                    21%561,423                (21,065)                      103.8% Recreation Personnel services 419,055               95,660                323,396                        23% 97,402                  1,743                           98.2% Commodities 35,577                 1,918                  33,659                           5% 2,590                    672                              74.1% Other charges and services 290,505               61,564                228,941                        21%53,847                  (7,717)                          114.3% Total 745,137               159,142              585,996                       21%153,839                (5,303)                         103.4% Heritage Center Personnel services 71,576                 14,752                56,824                           21% 14,640                  (112)                             100.8% Commodities 9,358                   1,287                  8,071                             14% 2,617                    1,330                           49.2% Other charges and services 57,740                9,776                 47,964                          17%8,861                   (915)                            110.3% Total 138,674               25,815                112,859                       19%26,118                  304                             98.8% Arts Center Personnel services 299,614               82,090                217,524                        27% 69,614                  (12,477)                       117.9% Commodities 40,020                 24,005                16,015                           60% 13,476                  (10,529)                       178.1% Other charges and services 210,415              67,105               143,310                       32%84,175                 17,070                        79.7% Total 550,049               173,200              376,849                       31%167,265                (5,936)                         103.5% Other financing uses ‐ transfers To Communications Fund (Fiber Project) ‐                            ‐                       ‐                                      0% ‐                             ‐                                    0.0% To Building Fund ‐                            ‐                       ‐                                      0% 300,000                (300,000)                     0.0% To Equipment Fund 480,000               ‐                       480,000                        0% ‐                             480,000                      0.0% To Park Improvement Fund 150,000               ‐                       150,000                        0% ‐                             150,000                      0.0% To Trail Improvement Fund ‐                           ‐                      ‐                                     0%100,000                (100,000)                    0.0% Total 630,000              ‐                           630,000                       0%400,000                230,000                     0.0% Variance from 2018 Actual Positive (Negative) Comparative 4 Unaudited 2019 Percent Adopted 3/31/2019 of 3/31/18 Budget Actual Variance Budget Actual Revenues Licenses franchise fee 687,840$   170,000$   (517,840)$   24.7% 169,000$      1,000$          100.6% PEG Fees 57,948       14,656       (43,292)        25.3% 14,917           (261)               98.3% Intergovernmental State aid  516             ‐                  (516)             0.0% ‐                     ‐                     0.0% Investment income 2,058          2,911          853             141.5%2,264             647               128.6% Total revenues 748,362     187,567     (560,795)    25.1%186,181         1,386            100.7% Expenditures ‐ General government Personnel services 461,880     108,070     353,810       23.4%106,222         (1,848)            101.7% Commodities 14,900       3,172          11,728         21.3% 3,634             462                87.3% Other charges and services 310,530     26,777       283,753       8.6% 31,766           4,989             84.3% Capital outlay 59,500       6,442          53,058        10.8%6,557             115               98.2% Total expenditures 846,810     144,461     702,349      17.1%148,179        3,718             97.5% Excess (deficiency) of revenues over  expenditures (98,448)      43,106       141,554      ‐43.8%38,002           103,552        113.4% Other financing (uses) ‐ Transfers From Liquor Fund (Comm/Mkt Position) 91,267       22,817       (68,450)        25.0% 21,881           936                104.3% From Utility Fund (fiber project) 41,472       ‐                  (41,472)        0.0% ‐                     ‐                     0.0% From Liquor Fund (fiber project) 7,503          ‐                  (7,503)          0.0% ‐                     ‐                     0.0% To General Fund (expense allocations) (80,866)      (20,217)      60,650         25.0%(19,666)         (551)               102.8% To Improvement Construction Fund ‐                 ‐                 ‐                   0.0%‐                    ‐                    0.0% Total other financing (uses)59,376       2,600          (56,776)       4.4%2,216             385               117.4% Net change in fund balance (39,072)      45,707       84,779         40,218           5,489             Beginning fund balance 498,704     931,544     432,840       603,176         328,368         Ending fund balance 459,632$  977,251$  517,619$    643,394$     333,857$      Variance from 2018 Actual Positive (Negative) Comparative CITY OF LAKEVILLE, MINNESOTA Statement of Revenues, Expenditures and Changes in Fund Balances For the Three Month Period Ended March 31, 2019 Special Revenue ‐ Communications Fund 5 Unaudited 2019 Percent Adopted 3/31/2019 of 3/31/18 Budget Actual Variance Budget Actual Sales and cost of sales Sales 15,360,906$      3,327,917$         (12,032,989)$    21.7% 3,241,316$     86,601$          102.7% Cost of sales 11,583,628         2,517,393           9,066,235         21.7%2,439,125        (78,268)          103.2% Gross profit 3,777,278           810,524              (2,966,754)       21.5%802,191           8,333              101.0% Gross profit % 24.6% 24.4% 24.7% Operating expenses Personnel services 1,736,357           423,434              1,312,923          24.4% 388,101           (35,333)           109.1% Commodities 79,362                24,993                54,369               31.5% 11,358             (13,635)           220.0% Other charges and services 1,087,236           265,026              822,210             24.4%170,007           (95,020)           155.9% Total operating expenses 2,902,955           713,453              2,189,502         24.6%569,465           (143,988)        125.3% Operating income 874,323              97,071                (777,252)           11.1%232,726           (135,655)        41.7% Non‐operating revenue (expense) Investment income 19,110                12,002                (7,108)                62.8% 2,845               9,157               421.9% Miscellaneous 6,716                   ‐                            (6,716)                0.0% ‐                    ‐                   0.0% Capital outlay acquisitions (79,785)               ‐                            79,785               0.0% ‐                    ‐                   0.0% Transfers in (out) General Fund (158,573)             (39,643)               118,930             25.0% (48,717)            9,073               81.4% Communications (Mktg Spec) (91,267)               (22,817)               68,450               25.0% (21,881)            (936)                 104.3% Communications (Fiber) (7,503)                 ‐                            7,503                 0.0% ‐                    ‐                   0.0% Debt Service: CIP Bonds‐Police Station (400,000)             (400,000)             ‐                          100.0% (300,000)          (100,000)         133.3% Galaxie Lease (274,100)             (245,400)             28,700               89.5% ‐                    (245,400)         0.0% Capital Projects: Equipment Fund (400,000)             (400,000)             ‐                          100.0% (250,000)          150,000          160.0% Enterprise Fund:‐                       Environmental Resources ‐ Recycling (4,525)                ‐                            4,525                0.0%‐                   ‐                      0.0% Total non‐operating (net)(1,389,927)         (1,095,858)         294,069            78.8%(617,753)          (478,105)        177.4% Change in working capital (515,604)             (998,787)             (483,183)            (385,027)          (613,760)         Beginning working capital 3,007,218           3,840,753           833,535            1,223,019        2,617,734       Ending working capital 2,491,614$        2,841,966$        350,352$          837,992$        2,003,974$    Variance from 2018 Actual Positive (Negative) Comparative CITY OF LAKEVILLE, MINNESOTA Enterprise ‐ Liquor Fund Statement of Revenues, Expenditures and Changes in Working Capital For the Three Month Period Ended March 31, 2019 6 Unaudited 2019 Percent Adopted 3/31/2019 of 3/31/18 Budget Actual Variance Budget Actual Operating revenues User charges for services 5,144,657$       719,513$            (4,425,144)$   14.0% 703,288$      16,225$        102.3% Other 231,830              42,193                (189,637)        18.2%34,721           7,472            121.5% Total operating revenue 5,376,487           761,706              (4,614,781)     14.2%738,009         23,697          ‐625.3% Operating expenses Personnel services 1,215,031           292,317              922,714          24.1%270,926         (21,391)         107.9% Commodities 350,868              64,785                286,083          18.5% 63,476           (1,309)            102.1% Other charges and services 1,253,016           242,754              1,010,262       19.4%158,058         (84,696)         153.6% Major Maintenance 1,958,114           9,253                  1,948,861      0.5%41,712           32,459          22.2% Total operating expenses 4,777,029           609,110              4,167,919      12.8%534,173         (74,937)        114.0% Operating income (loss)599,458              152,596              (446,862)         203,836         (51,240)         Non‐operating revenue (expense) Intergovernmental 1,632                  ‐                      (1,632)             0.0% ‐                     ‐                     0.0% Investment income 36,308                23,849                (12,459)           65.7% 12,500           11,349           190.8% Disposal of assets (10,000)               6,011                  16,011            ‐60.1% ‐                     6,011             0.0% Capital outlay (67,739)               (3,956)                 63,783            5.8%(3,956)            ‐                     100.0% Bond proceeds 1,430,000           ‐                           (1,430,000)      0.0% ‐                     ‐                     0.0% Debt Service (1,215,420)         (855,667)             359,753          70.4%(865,828)       10,161           98.8% Transfers (out)(169,526)             (37,198)               132,329         21.9%(34,811)         (2,387)           106.9% Total non‐operating (net)5,255                  (866,961)             (872,216)         (892,095)       25,134           Change in working capital 604,713              (714,365)             (1,319,078)      (688,259)       (26,106)         103.8% Beginning working capital 7,364,204           7,631,559           267,355          7,687,750     (56,191)        99.3% Ending working capital 7,968,917$        6,917,194$        (1,051,723)$   6,999,491$   (82,297)        98.8% Variance from 2018 Actual Positive (Negative) CITY OF LAKEVILLE, MINNESOTA Comparative For the Three Month Period Ended March 31, 2019 Statement of Revenues, Expenditures and Changes in Working Capital Enterprise ‐ Utility Fund Water Operation 7 Unaudited 2019 Percent Adopted 3/31/2019 of 3/31/18 Budget Actual Variance Budget Actual Operating revenue User charges for services 6,608,063$        1,719,539$        (4,888,524)$  26.0%1,573,484$   146,055$      109.3% Operating expenses Personnel services 834,639              162,450              672,189          19.5%158,529         (3,921)            102.5% Commodities 85,471                20,299                65,172            23.7% 12,817           (7,481)            158.4% Other charges and services 391,263              66,868                324,395          17.1% 47,863           (19,004)         139.7% Disposal charges 4,174,432           1,043,608           3,130,824       25.0%1,004,503     (39,105)         103.9% Major maintenance projects 1,205,000          ‐                           1,205,000      0.0%‐                    ‐                    0.0% Total operating expenses 6,690,805           1,293,224           5,397,581      19.3%1,223,713     (69,511)        105.7% Operating income (loss)(82,742)               426,315              509,057          349,771         76,544          121.9% Non‐operating revenue (expense) Intergovernmental State aid 1,632                  ‐                           (1,632)             0.0% ‐                     ‐                     0.0% Grants 152,368              ‐                           (152,368)         0.0% ‐                     ‐                     0.0% Investment income 24,050                10,644                (13,406)           44.3% 6,250             4,394             170.3% Disposal of assets (10,000)               ‐                           10,000            0.0% ‐                     ‐                     0.0% Capital outlay (51,529)               ‐                           51,529            0.0%(3,956)            3,956             0.0% Debt service (70,472)               (56,496)               13,976            80.2%(65,350)         8,854             86.5% Transfers in 24,165                24,165                ‐                       100.0% 23,822           343                101.4% Transfers (out)(174,527)             (43,632)               130,895         25.0%(57,614)         13,982          75.7% Total non‐operating (net)(104,313)             (65,319)               38,994           62.6%(96,848)         31,529          67.4% Change in working capital (187,055)             360,996              548,051          252,923         108,073         142.7% Beginning working capital 2,275,130           3,406,134           1,131,004       2,790,620     615,514        122.1% Ending working capital 2,088,075$        3,767,130$        1,679,055$     3,043,543$  723,587$      123.8% Variance from 2018 Actual Positive (Negative) Comparative CITY OF LAKEVILLE, MINNESOTA Statement of Revenues, Expenditures and Changes in Working Capital For the Three Month Period Ended March 31, 2019 Enterprise ‐ Utility Fund Sanitary Sewer Operation 8 Unaudited 2019 Percent Adopted 3/31/2019 of 3/31/18 Budget Actual Variance Budget Actual Operating revenue User charges for services 875,355$      238,492$        (636,863)$    27.2%219,196$   19,296$        108.8% Operating expenses Personnel services 19,855          2,409               17,446          12.1% 2,282          (127)              105.6% Commodities 63                  2                      61                  2.4% 171             169               0.9% Other charges and services 761,901        190,870          571,031        25.1%184,120     (6,751)           103.7% Total operating expenses 781,819        193,281          588,538       24.7%186,572     (6,709)          103.6% Operating income (loss)93,536          45,211            (48,325)         32,624       12,587         138.6% Non‐operating revenue (expense) Investment income 2,933             1,757               (1,176)           59.9% 844             914               208.3% Debt service (45,375)         (31,396)           13,979          69.2%(3,230)        (28,166)         971.9% Transfers in (out) ‐ General Fund (5,001)           1,250               6,251            ‐25.0%(1,102)        2,352           ‐113.5% Total non‐operating (net)(47,443)         (28,388)           19,055         59.8%(3,488)        (24,900)        813.8% Change in working capital 46,093          16,823            (29,270)         29,135       (12,313)         57.7% Beginning working capital 477,402        562,342          84,940          432,774     129,568       129.9% Ending working capital 523,495$      579,165$        55,670$        461,909$   117,255$    125.4% Variance from 2018 Actual Positive (Negative) Comparative CITY OF LAKEVILLE, MINNESOTA Statement of Revenues, Expenditures and Changes in Working Capital For the Three Month Period Ended March 31, 2019 Enterprise ‐ Utility Fund Street Light Operation 9 Unaudited 2019 Percent Adopted 3/31/2019 of 3/31/18 Budget Actual Variance Budget Actual Revenues User charges for services 1,636,903$       413,661$          (1,223,242)$   25.3%286,076$     127,585$        144.6% Total revenues 1,636,903         413,661            (1,223,242)    25.3%286,076         127,585          ‐427.6% Expenditures ‐ Public works Personnel services 444,935            106,497            338,438          23.9% 99,246           (7,251)              107.3% Commodities 34,248               11,405               22,843            33.3% 16,075           4,671               70.9% Other charges and services 1,161,000         30,658               1,130,342      2.6%24,860           (5,798)              123.3% Total expenditures 1,640,183         148,560            1,491,623      9.1%140,181         (8,379)              106.0% Operating income (loss)(3,280)               265,101            268,381          145,895         119,206          181.7% Non‐operating revenue (expense) Intergovernmental 120,292            ‐                         (120,292)         0.0% ‐                     ‐                   0.0% Investment income 3,140                 3,213                 73                    102.3% 2,500             713                  128.5% Transfers in (out)‐                   General Fund (169,461)           (42,365)             127,096          25.0%(36,056)         (6,309)              117.5% Equipment Fund (31,000)             (31,000)             ‐                       100.0% (31,000)         ‐                   100.0% Storm Sewer Trunk Fund 20,000               20,000               ‐                       100.0% 10,000           10,000             200.0% Liquor Fund 4,525                 ‐                         (4,525)             0.0% ‐                     ‐                   0.0% Sanitary sewer operations (24,165)             (24,165)            ‐                      100.0%(23,822)         (343)                 101.4% Total other financing (uses)(76,669)             (74,317)             2,352             96.9%(78,378)         4,061               94.8% Change in working capital (79,949)             190,784            270,733          67,517           123,267           282.6% Beginning working capital 782,656            1,028,129         245,473          1,004,332     23,797             102.4% Ending working capital 702,707$         1,218,913$      516,206$       1,071,849$  147,064$        113.7% Variance from 2018 Actual Positive (Negative) Comparative CITY OF LAKEVILLE, MINNESOTA Statement of Revenues, Expenditures and Changes in Working Capital For the Three Month Period Ended March 31, 2019 Enterprise ‐ Utility Fund Environmental Resources Operation 10