Loading...
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 year ended December 31, 2019. This report only covers the General Fund. Readers  should take note that this information is preliminary as the City’s annual audit has not been  completed and some amounts may be estimated as the final audit work is still being completed. 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  Total revenues are about $1 million or 3.4% higher than the November budget estimates.     Property tax revenues   General property taxes exceeded budget estimates by $154,000 due in part to better than  anticipated collection rates and delinquent tax collections. All delinquent taxes are  recorded in the General Fund and the other funds receive 100 percent of their current levy.  Tax payments from Dakota County were received in June and December, with the final  settlement received in January 2020.      Licenses and Permits.     Licenses and Permits exceeded budget estimates by $274,000. Building permit revenue  continues to be strong. Revenues exceeded 2018 by 20.1 percent. The following chart  shows the 2018 actual number of building permits as well as a comparison of the 2019  budget to actual.      Permit Type  2018  Actual  2019  Budget  2019  Estimate  2019  Actual  Single Family 446 350 475 521  Townhome 81 50 75 99  Apartments (Units) 2 (75 Units) 1 (160 Units) 8 (325 Units) 8 (325 Units)  Commercial (New) 8 10 8 4  Industrial (New) 3 1 2 4     Intergovernmental.   Intergovernmental revenues exceeded budget estimates by $55,000 partially due to the  Police Department’s body worn camera grant of $27,000. Police State Aid, post board grant  and Fire State Aid exceeded the original budget.     ii     General Fund     ‐     Revenues (Continued)   Intergovernmental. (continued)  Revenue for public safety programs such as traffic safety, protective vest replacement  grants and firefighter training grants continue to be strong. CDBG Grants for the DARTS  senior busing service and the Senior Chores/Maintenance program also exceeded  estimates.      Charges for Services.   Charges for services exceeded budget estimates by $124,000.   General government services revenues exceeded budget estimates by $54,000 due largely  to planning activities from new development plans; inspection fees; a payment of $17,000  from Dakota Electric for capital credits and increases in convenience fees as payments by  credit card become more popular.   Public safety revenues were lower than budget estimates by $18,000. The reduction is the  result of changes in police security services for Hosanna!. Revenues were also down  significantly from the prior year. 2018 security services included the Super Bowl LII  ($18,000) and Samaritan’s Purse ($166,000). Forfeiture sales for 2019 exceeded budget  estimates by $4,000. Revenues from forfeiture sales have restrictions as to what they can  be spent on.     Public works revenues for engineering‐related services in connection with developer  construction administration, inspection and GIS exceeded the adopted budget by $572,000  and revised budget estimates by $59,000. Revenues of $611,000 have been recognized  from City improvement projects which is $117,000 below the prior year.    Parks and Recreation program revenues are up over the previous year by $93,000 and  exceeded the budget estimate by $29,000. Expenses related to program revenues are also  up proportionately.      Court Fines   Revenues from court fines ($354,000) fell short of the revised budget estimates by $18,000.  Court fine revenues declined in the second half of 2019 compared to the beginning of the  year. After a couple years of declining revenues, court fines were up $7,000 over 2018      Investment Revenue and Miscellaneous   Investment revenue exceeded budget estimates by $350,000. Interest earnings for the  General Fund amounted to $478,000. This is comprised of investment earnings of $283,000  and an increase for the market value adjustment of $195,000.     iii     General Fund     ‐     Expenditures  Total expenditures are about $221,000 or 0.8 percent less than the November budget estimates.     Personnel Services – Personnel services of $21,346,000 were below budget estimates by  $54,000 or 0.3 percent. Higher costs for snow removal in the Streets Department and  increased costs for the Arts Center were offset by lower than anticipated expenses in Police  ($45,000), Fire ($14,000), Parks ($23,000) and Construction Services (34,000).      Motor Fuels – Motor fuels were $28,000 over budget but were $17,000 below 2018. $39,000  of the overage is from the Street Department. Additional snow removal events likely  contributed to the overall increase.      Utilities – Electricity. Actual costs were consistent with the adopted budget. Electricity costs in  2019 exceeded 2018 by $2,000 or 0.60 percent. Lighting upgrades and improvements to facility  building automation continues to help in reducing energy consumption.      Utilities – Natural Gas. Actual costs were below the adopted budget by $19,000 and were  $5,000 lower than the prior year. Natural gas costs continue to be low, but the budget  anticipates these costs to trend slightly upward in the coming years.      Mayor and Council. Expenditures increased 20.2 percent over the prior year due to increases  in members’ monthly stipend and adding Metro Cities membership dues in 2019.     City Clerk. 2019 was a non‐election year and expenditures decreased $68,000 from the prior  year.      Legal. City Attorney fees were $21,000 higher than in 2018. The 2019 budget was amended to  account for the increased expenses.     Planning. The Comp Plan update process started in 2017 and was completed in 2019.      Community and Economic Development. The department accounts for the DARTS bus service  and the Senior Chores/Maintenance programs which are funded by Community Development  Block Grant.      Inspections. Contractual electrical inspections were up over the prior year as the residential  building continues to be strong. A replacement vehicle was anticipated by the end of 2019 but  was delayed and subsequently purchased in 2020.        iv     General Fund     ‐     Expenditures (continued)     General Government Facilities. Personnel services exceeded estimates due to additional hours  by the Facility Attendants to maintain city facilities and hours worked by the maintenance staff  for improvements to the public works storage facility. Utilities were also kept in service at the  public works storage facility contributing an additional $6,000 in unanticipated utility costs.      Information Technology. Other charges and services were over budget estimates by $24,000  due to additional software maintenance and security programs that were implemented to  improve the functionality for all technology users. Enterprise funds are allocated their share of  programs they utilize. The Utility Fund’s share of the new Cartegraph maintenance was  anticipated to be more than the actual share allocated. This also impacted the variance since  more of the cost was applied to the General Fund than originally anticipated.      Human Resources. Actual expenditures for the advanced resignation program were $3,000  below budget estimates. Employee wellness was also under budget estimates by  approximately $5,000. The use of consultants for contract negotiations was also below the  estimate.     Insurance:  The General Fund’s share of the insurance was reduced in past years to help keep  the tax levy down. With surplus funds anticipated, the budget was amended to reflect 100  percent of the amount that should be allocated to the General Fund.       Police Department. The Police Department is the largest General Fund department.   Expenditures were under budget estimates by $152,000.  Personnel services were below  budget estimates by $45,000. Overtime was significantly lower due to reductions in the  requests for police security services such as Super Bowl LII ($18,000) and Samaritan’s Purse  ($166,000) in 2018. Commodities and other charges and services were under budget estimates  by $34,000 and $73,000, respectively, due to many items.     Fire Department. The Fire Department expenditures were under budget estimates by $8,000.  Reductions in the worker compensation insurance experience modification resulted in  significant reductions in the expense compared to budget. Pay for fire calls was also below  budget estimates but were offset by increases in duty crew hours as well as training costs.  Personnel costs are contingent on the number and duration of emergency calls.       Engineering Department. The need for outside engineering services was less than expected  and resulted in a $20,000 reduction. The purchase of a GPS receiver unit and related  equipment for $15,000 was not in the budget estimates.    v     General Fund     ‐     Expenditures (continued)     Construction Services. 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 is expended when delivered and stockpiled until it is  needed. A larger supply at the beginning of 2019 resulted in a lower cost in 2019. Motor fuels  were up $11,000 compared to 2018 due to the snow conditions. Equipment parts also  exceeded budget.  Repairs to the downtown planters cost $23,000.     Parks. Seasonal wages were down compared to budget estimates. As schools tend to start in  mid‐August many employees leave before the mowing season ends resulting in permanent  employees having to cover the remaining season. Major maintenance projects came in lower  than anticipated due to performing various projects by city staff versus hiring outside  contractors.      Recreation and Heritage Center. Expenses overall are up over the prior year due to increases  in participation in recreation activities; however, they are below budget estimates. Contractual  building repairs were $5,000 lower than anticipated at the Heritage Center.      Arts Center.  Expenditures for 2019 increased $123,000 over 2018. The increase was attributed  to the addition of an Administrative Assistant as well as additional programs. There was also  an offsetting increase in revenues of $66,000 as compared to 2018. Budget estimates were  very conservative which resulted in a $69,000 variance due to unanticipated expenditures  related to building repairs including bollard lighting upgrades ($4,000); gutter repairs  ($10,000); fiber connectivity ($6,000). Increased revenues not anticipated in the budget  estimates result in additional expenses such as Facility Attendants and technicians ($23,000);  ticket revenues due to performers ($19,000); instructors ($4,000); credit card fees ($3,000).     Transfers.  Transfers out to other funds amounted to $1,225,000 and provided funding for  technology replacements ($155,000), equipment replacement ($920,000) and park  improvements ($150,000).          vi    General Fund     ‐     Fund Balance     Fund Balance. During the adoption of the 2020 Budget, the 2019 Fund balance was projected  to be $16,012,000 with a 48.9% fund balance ratio. The actual fund balance is anticipated to  be $17,346,000. That is a $1,334,000 increase resulting from the previous discussions above.      Committed Fund Balance. In December 2019, the City Council approved a commitment of  $100,000 of General Fund balance to partially fund projected compensated leave liability.     Assigned Fund Balance.  The City Council approved the use of $749,675 of General Fund  balance as a funding source for the 2020 General Fund budget.       Unrestricted Fund Balance. The unrestricted fund balance is anticipated to be $16,430,000  which is $1,397,000 more than estimated. The estimated unrestricted fund balance ratio is  53.4% of next year’s budgeted expenditures which is higher than the 40‐50% range established  by City policy.  A reconciliation between the estimated fund balance to the unrestricted fund  balance is as follows.     Estimated 2019 fund balance 17,346,000$   Assigned to prepaids/inventory 748,000          Restricted for police fofeitures 103,000          Reserved police donations 65,000            Unrestricted 2019 fund balance 16,430,000$     Unaudited 11/25/2019 Workshop 2019 2019 Variance from 2019 Change from Adopted Amended 12/31/2019 Amended Budget Actual Budget 12/31/2019 Budget Actual Budget Budget Actual Positive (Negative)Percent Estimate Actual Estimate Percent Revenues General property taxes 21,327,427$     21,327,427$       21,493,906$     166,479$                    100.8% 21,339,969$    21,493,906$    153,937$          100.7% Licenses and permits 2,390,498         2,448,498            3,807,971         1,359,473                   155.5% 3,534,323        3,807,971        273,648            107.7% Intergovernmental 989,590             1,032,137            1,118,553         86,416                        108.4% 1,063,786        1,118,553        54,767              105.1% Charges for services 2,734,249         2,765,649            3,453,819         688,170                      124.9% 3,329,991        3,453,819        123,828            103.7% Court fines 346,000             346,000               354,292             8,292                          102.4% 372,602           354,292           (18,310)             95.1% Investment income 120,000             120,000               478,317             358,317                      398.6% 128,000           478,317           350,317            373.7% Miscellaneous 47,163               84,282                 149,646             65,364                        177.6%79,163             149,646           70,483              189.0%   Total revenues 27,954,927       28,123,993         30,856,504       2,732,511                   109.7%29,847,834      30,856,504      1,008,670         103.4% Expenditures Mayor and Council 113,250             121,132               119,026             2,106                          98.3% 120,978           119,026           1,952                98.4% Committees and Commissions 68,218               117,770               107,962             9,808                          91.7% 100,497           107,962           (7,465)               107.4% City Administration 477,506             488,296               468,870             19,426                        96.0% 472,970           468,870           4,100                99.1% City Clerk 148,586             148,586               136,800             11,786                        92.1% 148,537           136,800           11,737              92.1% Legal Counsel 81,000               96,000                 92,545               3,455                          96.4% 81,000             92,545             (11,545)             114.3% Planning 580,515             580,515               561,916             18,599                        96.8% 557,557           561,916           (4,359)               100.8% Community and Econ. Development 375,237             375,237               374,090             1,147                          99.7% 374,756           374,090           666                   99.8% Inspections 1,273,544         1,331,544            1,314,243         17,301                        98.7% 1,332,794        1,314,243        18,551              98.6% General Government Facilities 607,324             607,324               625,571             (18,247)                       103.0% 607,995           625,571           (17,576)             102.9% Finance 804,429             804,429               791,588             12,841                        98.4% 811,518           791,588           19,930              97.5% Information Systems 788,545             788,545               808,013             (19,468)                       102.5% 783,795           808,013           (24,218)             103.1% Human Resources 527,997             527,997               495,921             32,076                        93.9% 511,677           495,921           15,756              96.9% Insurance 285,000             435,727               435,727              ‐                                   100.0% 435,727           435,727            ‐                         100.0% Police 11,628,288       11,561,288         11,379,675       181,613                      98.4% 11,531,492      11,379,675      151,817            98.7% Fire 2,034,937         2,064,689            2,035,516         29,173                        98.6% 2,043,956        2,035,516        8,440                99.6% Engineering 881,757             881,757               876,416             5,341                          99.4% 883,891           876,416           7,475                99.2% Construction Services 573,870             573,870               508,240             65,630                        88.6% 546,408           508,240           38,168              93.0% Streets 3,288,617         3,299,546            3,427,896         (128,350)                     103.9% 3,409,542        3,427,896        (18,354)             100.5% Parks 2,744,963         2,744,963            2,657,125         87,838                        96.8% 2,726,338        2,657,125        69,213              97.5% Recreation 745,137             745,137               745,489             (352)                            100.0% 755,893           745,489           10,404              98.6% Heritage Center 138,674             138,674               117,981             20,693                        85.1% 133,494           117,981           15,513              88.4% Arts Center 550,049             618,806               673,801             (54,995)                       108.9% 604,726           673,801           (69,075)             111.4% Other 79,466               79,466                 ‐                         79,466                        0.0%‐                        ‐                        ‐                         0.0%   Total expenditures 28,796,909       29,131,298         28,754,411       376,887                      98.7%28,975,541      28,754,411      221,130            99.2% Excess (deficiency) of revenues over expenditures (841,982)           (1,007,305)          2,102,093         3,109,398                   872,293           2,102,093        1,229,800          Other financing sources (uses) Transfer from other funds 766,482             766,482               772,784             6,302                          100.8% 772,784           772,784            ‐                         100.0% Transfer to other funds (630,000)           (1,225,000)          (1,225,000)        ‐                                   100.0%(1,225,000)       (1,225,000)       ‐                         100.0% Total other financing sources (uses) 136,482             (458,518)             (452,216)           6,302                          (452,216)          (452,216)          ‐                         100.0% Net change in fund balance (705,500)           (1,465,823)          1,649,877         3,115,700                   420,077           1,649,877        1,229,800          Beginning fund balance 14,970,310       15,592,214         15,696,442       104,228                      15,592,214      15,696,442      104,228             Ending fund balance 14,264,810$     14,126,391$       17,346,319$     3,219,928$                 16,012,291$    17,346,319$    1,334,028$        Adj fund balance, Dec 31 (net of restricted )13,150,435$    13,012,016$      16,430,106$    15,032,916$   16,430,106$   1,397,190          Net change in fund balance percentage (4.7%)(9.4%)10.5%2.7%10.5% Ratio: Fund balance to CY expenditures 45.7%44.7%57.1%51.9%57.1% Ratio: Fund balance to NY expenditures 43.0%42.6%53.4%48.9%53.4% Expense Summary: Personnel services 21,502,338      21,547,135         21,346,192      121,477                     99.1%21,399,946     21,346,192     53,754             99.7% Commodities 1,757,479         1,736,746           1,729,776         6,970                          99.6%1,769,285       1,729,776       39,509             97.8% Other charges and services 5,537,092         5,806,238           5,641,869         164,369                     97.2%5,764,841       5,641,869       122,972           97.9% Capital outlay ‐                        41,179                36,574              4,605                          88.8%41,469            36,574            4,895               88.2% 28,796,909      29,131,298         28,754,411      297,421                     98.7%28,975,541     28,754,411     221,130           99.2% ‐                          ‐                            ‐                          ‐                                    ‐                         ‐                          General Fund Summary Statement of Revenues, Expenditures and Changes in Fund Balances For the Twelve Month Period Ended December 31, 2019 Comparative 1 Unaudited General Fund Schedule of Expenditures 2019 2019 Variance from 2019 Change From Adopted Amended 12/31/2019 Adopted Budget Actual Budget 12/31/2019 Budget Actual Expenditures Budget Budget Actual Positive (Negative)Percent Estimate Actual Estimate Percent Mayor and Council Personnel services 62,561$             62,561$               60,566$             1,995$                        97% 62,561$           60,566$           1,995$              96.8% Commodities 50                      50                        98                      (48)                              196% 50                     98                     (48)                    196.0% Other charges and services 50,639               58,521                 58,362               159                              100%58,367             58,362             5                        100.0% Total 113,250             121,132               119,026             2,106                          98%120,978           119,026           1,952                98.4% Committees/Commissions Personnel services 53,388               80,388                 80,663               (275)                            100% 75,053             80,663             (5,610)               107.5% Commodities 1,630                 1,630                   2,191                 (561)                            134% 2,430               2,191               239                   90.2% Other charges and services 13,200               35,752                 25,108               10,644                        70%23,014             25,108             (2,094)               109.1% Total 68,218               117,770               107,962             9,808                          92%100,497           107,962           (7,465)               107.4% City Administration Personnel services 455,248             455,248               448,010             7,238                          98% 447,802           448,010           (208)                  100.0% Commodities 1,600                 1,600                   321                    1,279                          20% 1,600               321                   1,279                20.1% Other charges and services 20,658               31,448                 20,539               10,909                        65%23,568             20,539             3,029                87.1% Total 477,506             488,296               468,870             19,426                        96%472,970           468,870           4,100                99.1% City Clerk Personnel services 114,305             114,305               115,748             (1,443)                         101% 115,216           115,748           (532)                  100.5% Commodities 300                    300                      300                     ‐                              100% 300                   300                    ‐                    100.0% Other charges and services 33,981               33,981                 20,752               13,229                        61%33,021             20,752             12,269              62.8% Total 148,586             148,586               136,800             11,786                        92%148,537           136,800           11,737              92.1% Legal Counsel Other charges and services 81,000               96,000                 92,545               3,455                          96%81,000             92,545             (11,545)             114.3% Planning Personnel services 538,195             538,195               529,020             9,175                          98% 523,355           529,020           (5,665)               101.1% Commodities 2,041                 2,041                   1,743                 298                              85% 1,708               1,743               (35)                    102.0% Other charges and services 40,279               40,279                 31,153               9,126                          77%32,494             31,153             1,341                95.9% Total 580,515             580,515               561,916             18,599                        97%557,557           561,916           (4,359)               100.8% Community and Economic Development Personnel services 307,121             307,121               304,016             3,105                          99% 306,140           304,016           2,124                99.3% Commodities 250                    250                      194                    56                                78% 250                   194                   56                      77.6% Other charges and services 67,866               67,866                 69,880               (2,014)                         103%68,366             69,880             (1,514)               102.2% Total 375,237             375,237               374,090             1,147                          100%374,756           374,090           666                   99.8% Inspection Personnel services 1,003,209         1,003,209            1,005,532         (2,323)                         100% 999,261           1,005,532        (6,271)               100.6% Commodities 13,792               13,792                 10,257               3,535                          74% 12,311             10,257             2,054                83.3% Other charges and services 256,543             289,543               298,454             (8,911)                         103% 295,932           298,454           (2,522)               100.9% Capital outlay ‐                         25,000                 ‐                     25,000                        0%25,290             ‐                        25,290              0.0% Total 1,273,544         1,331,544            1,314,243         17,301                        99%1,332,794        1,314,243        18,551              98.6% (continued) Comparative 2 Unaudited General Fund Schedule of Expenditures 2019 2019 Variance from 2019 Change From Adopted Amended 12/31/2019 Adopted Budget Actual Budget 12/31/2019 Budget Actual Expenditures (continued)Budget Budget Actual Positive (Negative)Percent Estimate Actual Estimate Percent General Government Facilities Personnel services 399,147$          399,147$             415,821$          (16,674)$                     104% 400,209$         415,821$         (15,612)$           103.9% Commodities 22,174               22,174                 22,189               (15)                              100% 24,452             22,189             2,263                90.7% Other charges and services 186,003             186,003               187,561             (1,558)                         101%183,334           187,561           (4,227)               102.3% Total 607,324             607,324               625,571             (18,247)                       103%607,995           625,571           (17,576)             102.9% Finance Personnel services 716,653             716,653               705,368             11,285                        98% 721,346           705,368           15,978              97.8% Commodities 3,525                 3,525                   1,254                 2,271                          36% 2,136               1,254               882                   58.7% Other charges and services 84,251               84,251                 84,966               (715)                            101%88,036             84,966             3,070                96.5% Total 804,429             804,429               791,588             12,841                        98%811,518           791,588           19,930              97.5% Information Technology Personnel services 443,618             443,618               435,708             7,910                          98% 437,644           435,708           1,936                99.6% Commodities 4,425                 4,425                   5,613                 (1,188)                         127% 3,600               5,613               (2,013)               155.9% Other charges and services 340,502             340,502               366,692             (26,190)                       108%342,551           366,692           (24,141)             107.0% Total 788,545             788,545               808,013             (19,468)                       102%783,795           808,013           (24,218)             103.1% Human Resources Personnel services 416,092             416,092               401,902             14,190                        97% 401,576           401,902           (326)                  100.1% Commodities 3,865                 3,865                   4,145                 (280)                            107% 4,677               4,145               532                   88.6% Other charges and services 108,040             108,040               89,874               18,166                        83%105,424           89,874             15,550              85.3% Total 527,997             527,997               495,921             32,076                        94%511,677           495,921           15,756              96.9% Insurance Other charges and services 285,000             435,727               435,727             ‐                              100%435,727           435,727           ‐                    100.0% Police Personnel services 9,083,175         9,056,175            8,976,742         79,433                        99% 9,021,681        8,976,742        44,939              99.5% Commodities 401,462             371,662               339,589             32,073                        91% 373,613           339,589           34,024              90.9% Other charges and services 2,143,651         2,133,451            2,063,344         70,107                        97%2,136,198        2,063,344        72,854              96.6% Total 11,628,288       11,561,288         11,379,675       181,613                      98%11,531,492      11,379,675      151,817            98.7% Fire Personnel services 1,245,784         1,245,284            1,224,204         21,080                        98% 1,238,506        1,224,204        14,302              98.8% Fire Relief Contribution/State Aid 363,351             383,598               383,598              ‐                              100% 376,650           383,598           (6,948)               101.8% Commodities 153,816             155,821               141,285             14,536                        91% 145,005           141,285           3,720                97.4% Other charges and services 271,986             279,986               286,429             (6,443)                         102%283,795           286,429           (2,634)               100.9% Total 2,034,937         2,064,689            2,035,516         29,173                        99%2,043,956        2,035,516        8,440                99.6% (continued) Comparative 3 Unaudited General Fund Schedule of Expenditures 2019 2019 Variance from 2019 Change From Adopted Amended 12/31/2019 Adopted Budget Actual Budget 12/31/2019 Budget Actual Expenditures (continued)Budget Budget Actual Positive (Negative)Percent Estimate Actual Estimate Percent Engineering Personnel services 769,706$          769,706$             779,159$          (9,453)$                       101% 778,419$         779,159$         (740)$                100.1% Commodities 12,966               12,966                 7,821                 5,145                          60% 12,215             7,821               4,394                64.0% Other charges and services 99,085               99,085                 73,107               25,978                        74% 93,257             73,107             20,150              78.4% Capital outlay ‐                         ‐                           16,329               (16,329)                       0%‐                   16,329             (16,329)             0.0% Total 881,757             881,757               876,416             5,341                          99%883,891           876,416           7,475                99.2% Construction Services Personnel services 552,065             552,065               490,045             62,020                        89% 523,562           490,045           33,517              93.6% Commodities 7,915                 7,915                   7,496                 419                              95% 9,118               7,496               1,622                82.2% Other charges and services 13,890               13,890                 10,699               3,191                          77%13,728             10,699             3,029                77.9% Total 573,870             573,870               508,240             65,630                        89%546,408           508,240           38,168              93.0% Streets Personnel services 2,183,894         2,183,894            2,276,916         (93,022)                       104% 2,243,719        2,276,916        (33,197)             101.5% Commodities 746,573             746,573               834,394             (87,821)                       112% 792,502           834,394           (41,892)             105.3% Other charges and services 358,150             358,150               316,586             41,564                        88% 362,392           316,586           45,806              87.4% Capital outlay ‐                         10,929                 ‐                     10,929                        0%10,929             ‐                        10,929              0.0% Total 3,288,617         3,299,546            3,427,896         (128,350)                     104%3,409,542        3,427,896        (18,354)             100.5% Parks  Personnel services 1,925,115         1,925,115            1,891,602         33,513                        98% 1,914,902        1,891,602        23,300              98.8% Commodities 296,140             296,140               272,984             23,156                        92% 292,172           272,984           19,188              93.4% Other charges and services 523,708             523,708               492,539             31,169                        94%519,264           492,539           26,725              94.9% Capital outlay ‐                         ‐                           ‐                     ‐                              0%‐                   ‐                        ‐                    0.0% Total 2,744,963         2,744,963            2,657,125         87,838                        97%2,726,338        2,657,125        69,213              97.5% Recreation Personnel services 419,055             419,055               411,215             7,840                          98% 412,428           411,215           1,213                99.7% Commodities 35,577               35,577                 30,763               4,814                          86% 35,555             30,763             4,792                86.5% Other charges and services 290,505             290,505               303,511             (13,006)                       104%307,910           303,511           4,399                98.6% Total 745,137             745,137               745,489             (352)                            100%755,893           745,489           10,404              98.6% Heritage Center Personnel services 71,576               71,576                 62,954               8,622                          88% 66,979             62,954             4,025                94.0% Commodities 9,358                 9,358                   6,423                 2,935                          69% 9,358               6,423               2,935                68.6% Other charges and services 57,740               57,740                 48,604               9,136                          84%57,157             48,604             8,553                85.0% Total 138,674             138,674               117,981             20,693                        85%133,494           117,981           15,513              88.4% Arts Center Personnel services 299,614             324,664               347,403             (22,739)                       107% 332,937           347,403           (14,466)             104.3% Commodities 40,020               47,082                 40,716               6,366                          86% 46,233             40,716             5,517                88.1% Other charges and services 210,415             241,810               265,437             (23,627)                       110% 220,306           265,437           (45,131)             120.5% Capital outlay ‐                         5,250                   20,245               (14,995)                       386%5,250               20,245             (14,995)             385.6% Total 550,049             618,806               673,801             (54,995)                       109%604,726           673,801           (69,075)             111.4% Comparative 4 i        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, 2020. 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.  Following guidance from state health officials, the City of Lakeville closed public access to all facilities  effective March 17, 2020 to limit the potential for community transmission of COVID‐19.  The closure  includes Lakeville City Hall, Lakeville Area Arts Center, Heritage Center, Hasse and Ames Arenas, Central  Maintenance Facility, Water Treatment Facility, all four fire stations and the lobby of the Lakeville  Police Department.  Essential City services have continued without interruption.   This financial report and future reports will include information related to the financial impact of  COVID‐19, when available.  City Administrator Miller and department directors are currently evaluating  any expenditure adjustments that can be made to mitigate the impacts of lost revenues.   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 $22.5 million for 2020.    Dakota County is considering alternative distribution dates for the first half tax settlements.     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 2019 and the 2020 Adopted Budget:      YTD 1st 2020 YTD 1st Quarter Adopted Quarter Permit Type 2019 Budget 2020 Single Family 95 350 117 Townhome 17 50 22 Apartments (Units) 0 0 8 (200 units) Commercial 1 8 1 Industrial 0 0 0      ii    FINANCIAL HIGHLIGHTS (continued):    General Fund     ‐     Revenues (Continued)   Licenses and Permits.  (Continued)    Year‐to‐date permits issued through April 22, 2020 are as follows:    Single Family – 169  Townhome – 27  Apartment (units) – 8 (200 units)     Intergovernmental.   Revenues comprised of police and fire aid and various grants are typically received in the  third and fourth quarters. $5,000 has been recognized for an Arts Grant.     Charges for Services.   General government services are in line with the budget. $26,000 has been received for  fiscal agent fees from the Dakota Communications Center and Lakeville Arenas.      Public Safety revenues are in line with budget estimates. Security services are down slightly  compared to the same time in 2019. SRO contributions are comparable to 2019, but due  to the school closing for COVID‐19, an estimated loss of $64,000 in revenues for the second  quarter is anticipated. The fire contract with Eureka Township ($42,265) is billed out in June  of the current year. 2020 is the second 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. $16,000 has been  received in the first quarter which is $190,000 less than the first quarter 2019. Preliminary  engineering platting fees ($14,000) are at 50 percent of the adopted budget.      Parks and Recreation revenues are below budget with many program cancellations at the  end of March due to COVID‐19 and the State of Minnesota “Stay at Home” executive order.  Future revenues will be significantly impacted due to COVID‐19.  Current gross revenue  losses are estimated at $120,000; net revenues losses at $52,000.     Court Fines  • Revenues from court fines ($90,000) represent 25 percent of the budget estimates but are  down $6,000 over the same period in 2019. Court fine revenues and the membership fees  paid to the Dakota Communications Center are both impacted by the number of CAD calls.  It is difficult to determine how much of an impact that COVID‐19 will have on court fines in  future quarters.        iii    FINANCIAL HIGHLIGHTS (continued):     General Fund     ‐     Expenditures     Personnel – First quarter expenditures for personnel are at 23 percent of the 2020 budget.  2020 is the first full year of the implementation of the compensation and classification study  that was approved in 2018 and implemented in stages in 2019 and 2020.     Motor Fuels – Motor fuels through March 31 are at 23 percent of the 2020 Budget. Decreased  snow events for the public works departments contributed to the lower fuel expense. The first  quarter fuel expense was $26,000 lower than the same period in 2019.      Street Chemicals – Costs are at 55 percent of the budget. 2020 salt purchases are 95 percent  higher than the same period in 2019. Inventory at the end of 2018 helped keep salt purchases  down in 2019 compared to 2020. Unused chemicals are stored at the central maintenance  facility and will be utilized in the late fall if needed.       Utilities – Electric costs are lower than the same period in 2019 due to energy saving  improvements in lighting. Natural gas costs are in line with the same period in 2019.      City Clerk. Expenditures are up compared to the same period in 2019 due to election judge  training and the purchase of voting booths.       Legal. Legal fees are in line with budget. Expenditures are up 14 percent over the same period  in 2019.     Inspections. Capital outlay includes a new vehicle replacement in 2020. This replacement was  planned in 2019 but was delayed. Other charges and services are exceeding prior year due to  increased contract electrical inspections.      Information Technology. Timing of annual maintenance agreements can impact the expense  comparison each year. In 2020, the Laserfiche annual maintenance paid in the first quarter  2019 expired in March 2020. Laserfiche is being upgraded in 2020 and therefore, no additional  maintenance cost will be incurred until after the first quarter 2020.     Police. DCC membership fees for the first quarter decreased $4,000 over the same period in  2019. The fee is allocated among the members based on the number of CAD events over a  three‐year period. Lakeville’s share of total CAD events went down, resulting in an annual  reduction of $15,000.      Fire. Delays in purchasing firefighter bunker gear, cancelled attendance for schools and the  cancellation of the annual banquet kept expenses below the same period in 2019.        iv      FINANCIAL HIGHLIGHTS (continued):    General Fund     ‐     Expenditures (continued)     Engineering/GIS. Personnel services are below budget estimates due to an employee vacancy  in the first quarter. Purchase of a drone and GPS equipment resulted in the increase in  commodities.     Construction Services. Personnel services are up over the prior year due to leave hours paid  out for an employee resignation. The position is currently vacant, and options are being  evaluated.    Streets. Personnel services are up slightly compared to budget due to overtime incurred during  the snow removal season. However, personnel services are down $102,000 compared to the  same period in 2019 due to reduced snow events. Salt costs are exceeding budget and prior  year due in part to lower inventories at the beginning of 2020 as compared with the prior year.      Arts Center. Personnel services are exceeding the prior year due to the addition of the  Administrative Assistant that was added in 2019.        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 over the same period in 2019. Final costs for the fiber installation project  are still anticipated for 2020. The project is funded by transfers from the General Fund, Liquor  Fund and the Utility Fund. Funding from the Liquor Fund and Utility Fund will be made as the  project is completed.        v    FINANCIAL HIGHLIGHTS (continued):   Liquor Fund       Sales through the first quarter amounted to $3.8 million which is a 13.3 percent increase over  the same period in 2019. The “Stay at Home” order may have contributed to the increased  sales despite intermittent store closures.      Total expenditures are slightly below budget appropriations. Personnel services are down as a  result of the COVID‐19 virus forcing stores to operate with minimal staffing.      2020 Transfers include a $500,000 transfer to the Equipment Fund; $400,000 to the Debt  Service Fund for the police station bonds (final maturity ‐ February, 2032); $258,000 for the  2017 HRA lease revenue bonds (debt for Galaxie Store; final maturity – February, 2027);  $13,000 for the 2020 fireworks; and $143,000 in operating transfers.       Capital outlay appropriations consists of $15,000 for the condenser replacement at the Kenrick  location; $26,000 for the replacement of the sliding front door at the Galaxie location; and  $9,000 for a cardboard bailer at the Kenrick location.      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, 2020. Water usage increases as residents and businesses turn  on their irrigation systems in late spring.     The 2020 major maintenance projects are budgeted as follows:   Automatic shut off for chlorine tanks ‐ $45,000   PLC Replacement ‐ $413,000   Lunchroom floor epoxy coating ‐ $12,000   Condenser replacement ‐ $30,000   Air compressor replacement ‐ $54,000   Well and pump rehabilitations ‐ $286,000   Fairfield water tower logo painting ‐ $100,000   Dakota Heights water tower lot repaving ‐ $85,000   2020 Street reconstruction project – watermain repair/replacement costs ‐ $2.5 million   Water meter replacement projects ‐ $342,000  vi    FINANCIAL HIGHLIGHTS (continued):   Sewer Fund     Sewer revenues are exceeding budget expectations and are up over the same period in 2019  as a result of the increase in sewer rates for the base charge and discharge effective February  1, 2020.       Disposal charges paid to Metropolitan Council of Environmental Services increased 3.1 percent  over the 2019 rates and are projected to be $4.3 million for 2020.      Expenditures are below budget estimates but are up compared to the same period in 2019.      The 2020 major maintenance projects are budgeted as follows:   Sewer line improvements ‐ $598,000   I/I mitigation repairs ‐$425,000     Street Lighting Fund     Revenues are exceeding budget and are up over the same period in 2019. Streetlight fees of  $1,000 were collected at the time of final plat in the first quarter.     Streetlight rates were increased effective February 1, 2020.       2020 electrical costs are below budget estimates.      vii    FINANCIAL HIGHLIGHTS (continued):     Environmental Resources Fund     Revenues are tracking slightly below budget estimates. Intergovernmental grant revenues  were budgeted at $120,000. The request for funding will be made once the final contract  payments are made.      Rates were increased effective February 1, 2020.     Personnel services are slightly below budget but are exceeding prior year due to the addition  of a full‐time Forester position late in the second quarter of 2019.      Majority of projects are still currently in progress or have not been started resulting in lower  expenses compared to the budget.     Unaudited 2020 2020 Variance from Adopted Amended 3/31/2020 Amended Budget Actual 3/31/2019 Budget Budget Actual Positive (Negative)Percent Actual Revenues General property taxes 22,509,080$      22,509,080$         ‐$                         (22,509,080)$              0.0%‐$                        ‐$                      0.0% Licenses and permits 2,657,099          2,657,099            810,802              (1,846,297)                   30.5% 580,822            229,980           139.6% Intergovernmental 1,053,453          1,053,453            10,492                (1,042,961)                   1.0% 21,888              (11,396)            47.9% Charges for services 2,976,026          2,976,026            421,895              (2,554,131)                   14.2% 667,923            (246,028)          63.2% Court fines 360,000              360,000                89,639                (270,361)                      24.9% 95,598              (5,959)              93.8% Investment income 128,000              128,000                37,188                (90,813)                         29.1% 35,108              2,080               105.9% Miscellaneous 42,893                42,893                  13,880                (29,013)                         32.4%13,644              236                   101.7%   Total revenues 29,726,551        29,726,551          1,383,896          (28,342,656)                 4.7%1,414,983        (31,087)            97.8% Expenditures Mayor and Council 121,006              121,006                36,595                84,411                          30.2% 35,704              (891)                  102.5% Committees and Commissions 91,616                91,616                  4,197                  87,419                          4.6% 4,959                762                   84.6% City Administration 498,062              498,062                118,682              379,381                        23.8% 113,904            (4,778)              104.2% City Clerk 265,446              265,446                54,348                211,098                        20.5% 29,924              (24,424)            181.6% Legal Counsel 83,500                83,500                  20,749                62,751                          24.8% 18,179              (2,570)              114.1% Planning 597,315              597,315                150,217              447,099                        25.1% 144,633            (5,584)              103.9% Community and Econ. Development 382,316              382,316                83,930                298,386                        22.0% 82,695              (1,235)              101.5% Inspections 1,439,695          1,439,695            358,491              1,081,204                    24.9% 322,179            (36,312)            111.3% General Government Facilities 637,091              637,091                150,479              486,613                        23.6% 155,744            5,266               96.6% Finance 859,493              859,493                199,691              659,802                        23.2% 186,844            (12,847)            106.9% Information Systems 818,247              818,247                237,284              580,963                        29.0% 272,942            35,658             86.9% Human Resources 557,705              557,705                127,640              430,066                        22.9% 126,719            (921)                  100.7% Insurance 285,000              285,000                71,250                213,750                        25.0% 71,250               ‐                        100.0% Police 12,428,732        12,428,732          2,920,233          9,508,499                    23.5% 2,838,060        (82,173)            102.9% Fire 2,103,412          2,103,412            393,989              1,709,423                    18.7% 392,036            (1,953)              100.5% Engineering 1,024,200          1,024,200            206,331              817,869                        20.1% 212,767            6,437               97.0% Construction Services 620,977              620,977                134,112              486,866                        21.6% 101,490            (32,622)            132.1% Streets 3,547,487          3,547,487            1,032,629          2,514,858                    29.1% 1,062,937        30,308             97.1% Parks 2,869,618          2,869,618            600,775              2,268,843                    20.9% 582,487            (18,288)            103.1% Recreation 786,925              786,925                177,985              608,940                        22.6% 159,142            (18,843)            111.8% Heritage Center 151,221              151,221                28,854                122,367                        19.1% 25,815              (3,039)              111.8% Arts Center 633,472              633,472                168,534              464,938                        26.6% 173,200            4,666               97.3% Other (45,939)              (45,939)                 ‐                           (45,939)                         0.0%‐                         ‐                        0.0%   Total expenditures 30,756,597        30,756,597          7,276,993          23,479,604                  23.7%7,113,611        (163,382)          102.3% Excess (deficiency) of revenues over expenditures (1,030,046)         (1,030,046)           (5,893,098)         (4,863,052)                   (5,698,628)       (194,470)           Other financing sources (uses) Transfer from other funds 830,371              830,371                184,491              (645,880)                      22.2% 191,621            (7,130)              96.3% Transfer to other funds (550,000)            (550,000)              (550,000)            ‐                                     100.0%(630,000)           80,000             87.3% Total other financing sources (uses) 280,371              280,371                (365,509)            (645,880)                      (438,379)           72,870             83.4% Net change in fund balance (749,675)            (749,675)              (6,258,607)         (5,508,932)                   (6,137,007)       (121,600)           Beginning fund balance 16,012,291        16,012,291          16,922,425        910,134                        15,565,945      1,356,480        Ending fund balance 15,262,616$      15,262,616$        10,663,819$      (4,598,798)$                 9,428,938$      1,234,880$      Adj fund balance, Dec 31 (net of restricted )14,283,241$        14,283,241$          9,812,606$       8,733,108$      Net change in fund balance percentage (4.7%)(4.7%)(37.0%)(39.4%) Ratio: Fund balance to CY expenditures 46.4%46.4% Ratio: Fund balance to NY expenditures 44.8%44.8% Expense Summary: Personnel services 23,014,364       23,014,364         5,387,118         17,673,185                 23.4%5,244,288        (142,830)         102.7% Commodities 1,863,320         1,863,320            581,792             1,281,528                   31.2%520,254           (61,538)           111.8% Other charges and services 5,863,108         5,863,108            1,270,456         4,592,652                   21.7%1,349,069        78,613            94.2% Capital outlay 15,805               15,805                 37,627               (21,822)                        238.1%‐                        (37,627)           0.0% 30,756,597       30,756,597         7,276,993         23,525,543                 23.7%7,113,611        (163,382)         102.3% Variance from 2019 Actual Positive (Negative) General Fund Summary Statement of Revenues, Expenditures and Changes in Fund Balances For the Three Month Period Ended March 31, 2020 Comparative 1 Unaudited General Fund Schedule of Expenditures 2020 2020 Variance from Adopted Amended 3/31/2020 Adopted Budget Actual 3/31/2019 Expenditures Budget Budget Actual Positive (Negative)Percent Actual Mayor and Council Personnel services 62,561$              62,561$                15,723$              46,838$                        25% 15,847$            124$                 99.2% Commodities 50                        50                           ‐                      50                                  0% 64                      64                     0.0% Other charges and services 58,395                58,395                  20,872                37,523                          36%19,793              (1,079)              105.5% Total 121,006              121,006                36,595                84,411                          30%35,704              (891)                  102.5% Committees/Commissions Personnel services 58,261                58,261                  305                      57,956                          1% 573                    268                   53.2% Commodities 2,530                  2,530                     ‐                      2,530                            0%‐                      ‐                    0.0% Other charges and services 30,825                30,825                  3,892                  26,933                          13%4,386                494                   88.7% Total 91,616                91,616                  4,197                  87,419                          5%4,959                762                   84.6% City Administration Personnel services 471,198              471,198                113,742              357,457                        24% 109,149            (4,593)              104.2% Commodities 1,600                  1,600                     ‐                      1,600                            0% 136                    136                   0.0% Other charges and services 25,264                25,264                  4,940                  20,324                          20% 4,619                (321)                  106.9% Capital outlay ‐                           ‐                             ‐                      ‐                                 0%‐                     ‐                    0.0% Total 498,062              498,062                118,682              379,381                        24%113,904            (4,778)              104.2% City Clerk Personnel services 219,099              219,099                32,695                186,404                        15% 28,593              (4,102)              114.3% Commodities 4,090                  4,090                    3,685                  405                                90% 36                      (3,649)              10236.1% Other charges and services 42,257                42,257                  17,968                24,289                          43%1,295                (16,673)            1387.5% Total 265,446              265,446                54,348                211,098                        20%29,924              (24,424)            181.6% Legal Counsel Other charges and services 83,500                83,500                  20,749                62,751                          25%18,179              (2,570)              114.1% Planning Personnel services 561,507              561,507                139,617              421,891                        25% 135,659            (3,958)              102.9% Commodities 1,718                  1,718                    194                      1,524                            11% 63                      (131)                  307.9% Other charges and services 34,090                34,090                  10,406                23,684                          31%8,911                (1,495)              116.8% Total 597,315              597,315                150,217              447,099                        25%144,633            (5,584)              103.9% Community and Economic Development Personnel services 325,688              325,688                74,303                251,385                        23% 68,599              (5,704)              108.3% Commodities 275                      275                         ‐                      275                                0% 4                        4                       0.0% Other charges and services 56,353                56,353                  9,627                  46,726                          17%14,092              4,465               68.3% Total 382,316              382,316                83,930                298,386                        22%82,695              (1,235)              101.5% Inspection Personnel services 1,110,274          1,110,274            255,604              854,670                        23% 260,151            4,547               98.3% Commodities 15,931                15,931                  3,790                  12,141                          24% 2,685                (1,105)              141.2% Other charges and services 305,810              305,810                68,094                237,716                        22% 59,343              (8,751)              114.7% Capital outlay 7,680                  7,680                    31,003                (23,323)                         404%‐                     (31,003)            0.0% Total 1,439,695          1,439,695            358,491              1,081,204                    25%322,179            (36,312)            111.3% (continued) Comparative Variance from 2018 Actual Positive (Negative) 2 Unaudited General Fund Schedule of Expenditures 2020 2020 Variance from Adopted Amended 3/31/2020 Adopted Budget Actual 3/31/2019 Expenditures (continued)Budget Budget Actual Positive (Negative)Percent Actual General Government Facilities Personnel services 424,529$           424,529$              101,792$           322,738$                     24% 103,969$          2,178$             97.9% Commodities 27,822                27,822                  3,656                  24,166                          13% 7,814                4,158               46.8% Other charges and services 184,740              184,740                45,031                139,709                        24%43,961              (1,070)              102.4% Total 637,091              637,091                150,479              486,613                        24%155,744            5,266               96.6% Finance Personnel services 757,706              757,706                174,467              583,239                        23% 166,605            (7,862)              104.7% Commodities 1,575                  1,575                    1,142                  433                                73% 839                    (303)                  136.1% Other charges and services 100,212              100,212                24,082                76,130                          24%19,400              (4,682)              124.1% Total 859,493              859,493                199,691              659,802                        23%186,844            (12,847)            106.9% Information Technology Personnel services 469,695              469,695                116,015              353,680                        25% 106,758            (9,257)              108.7% Commodities 3,800                  3,800                    995                      2,805                            26% 327                    (668)                  304.3% Other charges and services 344,752              344,752                120,274              224,478                        35%165,857            45,583             72.5% Total 818,247              818,247                237,284              580,963                        29%272,942            35,658             86.9% Human Resources Personnel services 425,855              425,855                103,719              322,137                        24% 98,889              (4,830)              104.9% Commodities 3,100                  3,100                    511                      2,589                            16% 2,952                2,441               17.3% Other charges and services 128,750              128,750                23,410                105,340                        18%24,878              1,468               94.1% Total 557,705              557,705                127,640              430,066                        23%126,719            (921)                  100.7% Insurance Other charges and services 285,000              285,000                71,250                213,750                        25%71,250              ‐                    100.0% Police Personnel services 9,760,854          9,760,854            2,322,794          7,438,060                    24% 2,206,656        (116,138)          105.3% Commodities 373,796              373,796                97,964                275,832                        26% 92,623              (5,341)              105.8% Other charges and services 2,294,082          2,294,082            499,475              1,794,607                    22%538,781            39,306             92.7% Total 12,428,732        12,428,732          2,920,233          9,508,499                    23%2,838,060        (82,173)            102.9% Fire Personnel services 1,309,742          1,309,742            317,828              991,914                        24% 286,208            (31,620)            111.0% Fire Relief Contribution/State Aid 375,000              375,000                2,000                  373,000                        1% 6,000                4,000               33.3% Commodities 146,449              146,449                20,632                125,817                        14% 34,771              14,139             59.3% Other charges and services 272,221              272,221                53,529                218,692                        20%65,057              11,528             82.3% Total 2,103,412          2,103,412            393,989              1,709,423                    19%392,036            (1,953)              100.5% (continued) Comparative Variance from 2018 Actual Positive (Negative) 3 Unaudited General Fund Schedule of Expenditures 2020 2020 Variance from Adopted Amended 3/31/2020 Adopted Budget Actual 3/31/2019 Expenditures (continued)Budget Budget Actual Positive (Negative)Percent Actual Engineering Personnel services 892,142$           892,142$              185,743$           706,399$                     21% 191,712$          5,970$             96.9% Commodities 15,526                15,526                  5,900                  9,626                            38% 3,907                (1,993)              151.0% Other charges and services 116,532              116,532                14,688                101,844                        13%17,148              2,460               85.7% Total 1,024,200          1,024,200            206,331              817,869                        20%212,767            6,437               97.0% Construction Services Personnel services 598,042              598,042                130,628              467,415                        22% 96,995              (33,633)            134.7% Commodities 9,207                  9,207                    2,400                  6,807                            26% 423                    (1,977)              567.4% Other charges and services 13,728                13,728                  1,084                  12,644                          8%4,072                2,988               26.6% Capital outlay ‐                           ‐                             ‐                      ‐                                 0%‐                     ‐                    0.0% Total 620,977              620,977                134,112              486,866                        22%101,490            (32,622)            132.1% Streets Personnel services 2,321,085          2,321,085            604,800              1,716,285                    26% 707,070            102,270           85.5% Commodities 887,173              887,173                392,768              494,405                        44% 304,630            (88,138)            128.9% Other charges and services 339,229              339,229                35,061                304,168                        10%51,237              16,176             68.4% Total 3,547,487          3,547,487            1,032,629          2,514,858                    29%1,062,937        30,308             97.1% Parks  Personnel services 2,039,577          2,039,577            486,927              1,552,650                    24% 462,352            (24,575)            105.3% Commodities 287,489              287,489                25,792                261,697                        9% 41,770              15,978             61.7% Other charges and services 542,552              542,552                88,056                454,496                        16%78,365              (9,691)              112.4% Total 2,869,618          2,869,618            600,775              2,268,843                    21%582,487            (18,288)            103.1% Recreation Personnel services 440,186              440,186                103,068              337,118                        23% 95,660              (7,408)              107.7% Commodities 33,296                33,296                  3,488                  29,808                          10% 1,918                (1,570)              181.9% Other charges and services 313,443              313,443                71,429                242,014                        23%61,564              (9,865)              116.0% Total 786,925              786,925                177,985              608,940                        23%159,142            (18,843)            111.8% Heritage Center Personnel services 70,331                70,331                  16,154                54,177                          23% 14,752              (1,402)              109.5% Commodities 9,743                  9,743                    280                      9,463                            3% 1,287                1,007               21.8% Other charges and services 71,147                71,147                  12,420                58,727                          17%9,776                (2,644)              127.0% Total 151,221              151,221                28,854                122,367                        19%25,815              (3,039)              111.8% Arts Center Personnel services 366,971              366,971                89,196                277,775                        24% 82,090              (7,106)              108.7% Commodities 38,150                38,150                  18,595                19,555                          49% 24,005              5,410               77.5% Other charges and services 220,226              220,226                54,119                166,107                        25% 67,105              12,986             80.6% Capital outlay 8,125                  8,125                    6,624                  1,501                            82%‐                     (6,624)              0.0% Total 633,472              633,472                168,534              464,938                        27%173,200            4,666               97.3% Variance from 2018 Actual Positive (Negative) Comparative 4 Unaudited 2020 Percent Adopted 3/31/2020 of 3/31/2019 Budget Actual Variance Budget Actual Revenues Licenses franchise fee 698,256$  174,949$     (523,307)$  25.1% 170,000$     4,949$          102.9% PEG Fees 58,266      15,101          (43,165)       25.9% 14,656          445               103.0% Intergovernmental State aid 516             ‐                    (516)            0.0%‐                     ‐                    0.0% Investment income 2,058         3,295            1,237          160.1%2,911            384               113.2% Total revenues 759,096    193,345        (565,751)    25.5%187,567        5,778            103.1% Expenditures ‐ General government Personnel services 417,437    97,613          319,824      23.4% 108,070        10,457          90.3% Commodities 20,300      4,346            15,954        21.4% 3,172            (1,174)           137.0% Other charges and services 114,292    24,403          89,889        21.4% 26,777          2,374            91.1% Capital outlay 185,000    ‐                    185,000      0.0%6,442            6,442            0.0% Total expenditures 737,029    126,362        610,667      17.1%144,461        18,099          87.5% Excess (deficiency) of revenues over  expenditures 22,067      66,983          44,916        303.5%43,106          1,810            155.4% Other financing (uses) ‐ Transfers From Liquor Fund (Comm/Mkt Position)‐                  ‐                     ‐                   0.0% 22,817          (22,817)        0.0% To General Fund (expense allocations) (83,739)     (83,739)         ‐                   100.0% (20,217)        (63,522)        414.2% To Technology Fund (expense allocations)(4,400)       (4,400)           ‐                   100.0%‐                    (4,400)           0.0% Total other financing (uses)(88,139)     (88,139)        ‐                   100.0%2,600            (90,739)        ‐3390.0% Net change in fund balance (66,072)     (21,156)        44,916        45,706          (66,862)         Beginning fund balance 808,425    1,054,469    246,044      931,544        122,925         Ending fund balance 742,353$  1,033,313$  290,960$    977,250$     56,063$         Variance from 2019 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, 2020 Special Revenue ‐ Communications Fund 5 Unaudited 2020 Percent Adopted 3/31/2020 of 3/31/2019 Budget Actual Variance Budget Actual Sales and cost of sales Sales 15,898,952$     3,769,825$        (12,129,127)$   23.7% 3,327,917$    441,908$       113.3% Cost of sales 11,923,215        2,821,817          9,101,398         23.7%2,517,393       (304,424)        112.1% Gross profit 3,975,737          948,008             (3,027,729)       23.8%810,524          137,484         117.0% Gross profit % 25.0% 25.1% 24.4% Operating expenses Personnel services 1,832,091          405,613             1,426,478         22.1% 423,434          17,821           95.8% Commodities 79,619               17,934               61,685              22.5% 24,993            7,059              71.8% Other charges and services 1,371,375          249,326             1,122,049         18.2%265,026          15,700           94.1% Total operating expenses 3,283,085          672,873             2,610,212         20.5%713,453          40,580           94.3% Operating income 692,652             275,135             (417,517)           39.7%97,071            178,064         283.4% Non‐operating revenue (expense) Investment income 15,000               11,947               (3,053)               79.6% 12,002            (55)                  99.5% Miscellaneous 3,762                   ‐                           (3,762)               0.0%‐                    ‐                  0.0% Capital outlay acquisitions (49,790)               ‐                           49,790              0.0%‐                    ‐                  0.0% Sale of assets ‐                            ‐                            ‐                         0.0%‐                    ‐                  0.0% Transfers in (out) General Fund (143,412)            (35,853)              107,559            25.0% (39,643)           3,790              90.4% General Fund ‐ Fireworks (13,000)               ‐                           13,000              0.0%‐                  0.0% Communications (Mktg Spec)‐                            ‐                            ‐                         0.0% (22,817)           22,817           0.0% Debt Service: CIP Bonds‐Police Station (400,000)            (400,000)             ‐                         100.0% (400,000)          ‐                  100.0% Galaxie Lease (284,808)            (258,250)            26,558              90.7% (245,400)         (12,850)          105.2% Capital Projects: Equipment Fund (500,000)            (500,000)             ‐                         100.0% (400,000)         (100,000)        125.0% Technology Fund (69,677)              (69,677)               ‐                         100.0%‐                   (69,677)          0.0% Enterprise Fund: Environmental Resources ‐ Recycling (4,356)                ‐                           4,356                0.0%‐                   ‐                      0.0% Total non‐operating (net)(1,446,281)        (1,251,833)        194,448            86.6%(1,095,858)     (155,975)        114.2% Change in working capital (753,629)            (976,698)            (223,069)           (998,787)         22,089            Beginning working capital 3,378,854          3,823,178          444,324            3,890,525       (67,347)           Ending working capital 2,625,225$        2,846,480$        221,255$          2,891,738$    (45,258)$         Variance from 2019 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, 2020 6 Unaudited 2020 Percent Adopted 3/31/2020 of 3/31/2019 Budget Actual Variance Budget Actual Operating revenues User charges for services 5,762,460$       862,675$           (4,899,785)$  15.0% 719,513$     143,162$     119.9% Other 133,479             44,761               (88,718)          33.5%42,193          2,568            106.1% Total operating revenue 5,895,939          907,436             (4,988,503)     15.4%761,706        145,730        ‐654.9% Operating expenses Personnel services 1,279,486          303,378             976,108         23.7% 292,317        (11,061)        103.8% Commodities 359,080             45,653               313,427         12.7% 64,785          19,132          70.5% Other charges and services 1,409,280          221,256             1,188,024      15.7% 242,754        21,498          91.1% Major Maintenance 3,845,340          59,067               3,786,273      1.5%9,253            (49,814)        638.4% Total operating expenses 6,893,186          629,353             6,263,833      9.1%609,109        (20,244)        103.3% Operating income (loss)(997,247)            278,083             1,275,330      152,597        125,486         Non‐operating revenue (expense) Intergovernmental 1,632                  ‐                     (1,632)            0.0%‐                     ‐                    0.0% Investment income 32,484               23,669               (8,815)            72.9% 23,849          (180)              99.2% Disposal of assets (10,000)               ‐                          10,000           0.0% 6,011            (6,011)           0.0% Capital outlay (66,261)              (38,445)              27,816           58.0% (3,956)           (34,489)        971.8% Bond proceeds 3,470,000           ‐                          (3,470,000)     0.0%‐                     ‐                    0.0% Debt Service (1,273,737)        (936,001)            337,736         73.5% (855,667)      (80,334)        109.4% Transfers (out)(180,367)            (50,942)              129,425         28.2%(37,198)        (13,744)        136.9% Total non‐operating (net)1,973,751          (1,001,719)        (2,975,470)     (866,961)      (134,758)       Change in working capital 976,504             (723,637)            (1,700,141)     (714,364)      (9,273)           101.3% Beginning working capital 7,386,740          7,574,011          187,271         7,245,758    328,253        104.5% Ending working capital 8,363,244$       6,850,374$       (1,512,870)$  6,531,394$  318,980        104.9% Variance from 2019 Actual Positive (Negative) CITY OF LAKEVILLE, MINNESOTA Comparative For the Three Month Period Ended March 31, 2020 Statement of Revenues, Expenditures and Changes in Working Capital Enterprise ‐ Utility Fund Water Operation 7 Unaudited 2020 Percent Adopted 3/31/2020 of 3/31/2019 Budget Actual Variance Budget Actual Operating revenue User charges for services 6,969,526$       1,868,143$       (5,101,383)$  26.8%1,719,539$  148,604$     108.6% Operating expenses Personnel services 848,707             178,573             670,134         21.0% 162,450        (16,123)        109.9% Commodities 85,148               17,078               68,070           20.1% 20,299          3,221            84.1% Other charges and services 384,787             70,093               314,694         18.2% 66,868          (3,225)           104.8% Disposal charges 4,305,768          1,076,442          3,229,326      25.0% 1,043,608    (32,834)        103.1% Major maintenance projects 1,023,000          ‐                          1,023,000      0.0%‐                    ‐                    0.0% Total operating expenses 6,647,410          1,342,186          5,305,224      20.2%1,293,225    (48,961)        103.8% Operating income (loss)322,116             525,957             203,841         426,314        99,643          123.4% Non‐operating revenue (expense) Intergovernmental State aid 816                      ‐                          (816)               0.0%‐                     ‐                    0.0% Grants 25,816                ‐                          (25,816)          0.0%‐                     ‐                    0.0% Investment income 40,544               11,077               (29,467)          27.3% 10,644          433               104.1% Disposal of assets (10,000)               ‐                          10,000           0.0%‐                     ‐                    0.0% Capital outlay (66,261)              (38,445)              27,816           58.0%‐                    (38,445)        0.0% Debt service (72,450)              (68,142)              4,308              94.1% (56,496)        (11,646)        120.6% Transfers in 24,187               24,187                ‐                      100.0% 24,165          22                 100.1% Transfers (out)(187,412)            (52,703)              134,709         28.1%(43,632)        (9,071)           120.8% Total non‐operating (net)(244,760)            (124,026)            120,734         50.7%(65,319)        (58,707)        189.9% Change in working capital 77,356               401,930             324,574         360,995        40,935          111.3% Beginning working capital 2,880,764          3,544,582          663,818         3,044,063    500,519        116.4% Ending working capital 2,958,120$       3,946,512$       988,392$       3,405,058$  541,454$     115.9% Variance from 2019 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, 2020 Enterprise ‐ Utility Fund Sanitary Sewer Operation 8 Unaudited 2020 Percent Adopted 3/31/2020 of 3/31/2019 Budget Actual Variance Budget Actual Operating revenue User charges for services 1,017,739$  263,945$       (753,794)$    25.9%238,492$  25,453$       110.7% Operating expenses Personnel services 22,657         4,634              18,023         20.5% 2,409         (2,225)          192.4% Commodities 67                 1 66                 1.9% 2                1 62.7% Other charges and services 964,218       197,054         767,164       20.4%190,870    (6,184)          103.2% Total operating expenses 986,942       201,689         785,253       20.4%193,281    (8,408)          104.4% Operating income (loss)30,797         62,256           31,459         45,211      17,045         137.7% Non‐operating revenue (expense) Investment income 3,686            2,374              (1,312)          64.4% 1,757         617              135.1% Debt service (48,700)        (38,521)          10,179         79.1% (31,396)     (7,125)          122.7% Transfers in (out) ‐ General Fund (5,614)          (1,404)            4,210            25.0%(1,250)       (154) 112.3% Total non‐operating (net)(50,628)        (37,551)          13,077         74.2%(30,889)     (6,662)          121.6% Change in working capital (19,831)        24,705           44,536         14,322      10,383         172.5% Beginning working capital 584,861       759,654         174,793       571,214    188,440       133.0% Ending working capital 565,030$     784,359$       219,329$     585,536$  198,823$    134.0% Variance from 2019 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, 2020 Enterprise ‐ Utility Fund Street Light Operation 9 Unaudited 2020 Percent Adopted 3/31/2020 of 3/31/2019 Budget Actual Variance Budget Actual Revenues User charges for services 2,020,828$      478,746$         (1,542,082)$  23.7% 413,661$     65,085$          115.7% Charges for services ‐ Recycling 4,090                ‐                        (4,090)            0.0%‐                    ‐                  0.0% Total revenues 2,024,918        478,746           (1,546,172)    23.6%413,661        65,085            ‐373.8% Expenditures ‐ Public works Personnel services 539,971           120,267           419,704         22.3% 106,497        (13,770)           112.9% Commodities 37,856              12,404              25,452           32.8% 11,405          (999)                108.8% Other charges and services 1,581,698        64,605              1,517,093      4.1%30,658          (33,947)           210.7% Total expenditures 2,159,525        197,277           1,962,248      9.1%148,560        (48,717)           132.8% Operating income (loss)(134,607)          281,469           416,076         265,101        16,368            106.2% Non‐operating revenue (expense) Intergovernmental 120,292            ‐                        (120,292)        0.0%‐                     ‐                  0.0% Investment income 4,189                4,608                419                110.0% 3,213            1,395              143.4% Transfers in (out) General Fund (182,427)          (25,754)            156,673         14.1% (23,224)        (2,530)             110.9% Storm Sewer Infrastucture Fund ‐                         ‐                         ‐                      0.0% 20,000          (20,000)           0.0% Equipment Fund (31,000)            (31,000)             ‐                      100.0% (31,000)         ‐                  100.0% Technology Fund (3,600)              (3,600)               ‐                      100.0%‐                    (3,600)             0.0% Liquor Fund 4,356                 ‐                        (4,356)            0.0%‐                     ‐                  0.0% Sanitary sewer operations (24,187)            (24,187)            ‐                      100.0%(24,165)        (22)                  100.1% Total other financing (uses)(112,377)          (79,934)            32,443           71.1%(55,176)        (24,758)           144.9% Change in working capital (246,984)          201,536           448,520         209,925        (8,389)             96.0% Beginning working capital 1,070,254        1,474,476        404,222         1,094,376    380,100          134.7% Ending working capital 823,270$         1,676,012$      852,742$       1,304,301$  371,711$        128.5% Variance from 2019 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, 2020 Enterprise ‐ Utility Fund Environmental Resources Operation 10