HomeMy WebLinkAbout2009 Comprehensive Annual Financial ReportCITY OF EDINA, MINNESOTA
Comprehensive Annual Financial Report
for the Fiscal Year Ended Dec. 31, 2009
CITY OF EDINA, MINNESOTA
Comprehensive Annual Financial Report
For the fiscal year ended
December 31, 2009
Prepared by:
Department of Finance
John Wallin – Treasurer and Finance Director
Eric Roggeman – Assistant Finance Director
CITY OF EDINA, MINNESOTA
TABLE OF CONTENTS
Page
No.
I. INTRODUCTORY SECTION
Letter of Transmittal 1
GFOA Certificate of Achievement 4
Organization 5
Organization Chart 6
II. FINANCIAL SECTION
Independent Auditors' Report 7
Management's Discussion and Analysis9
Basic Financial Statements:
Government-wide Financial Statements:
Statement of Net Assets 21
Statement of Activities 22
Fund Financial Statements:
Balance Sheet - Governmental Funds25
Statement of Revenues, Expenditures, and Changes in Fund Balances -
Governmental Funds 26
Reconciliation of the Statement of Revenues, Expenditures, and Changes in
Fund Balances of Governmental Funds to the Statement of Activities27
Statement of Net Assets - Proprietary Funds28
Statement of Revenues, Expenses, and Changes in Fund Net Assets -
Proprietary Funds 29
Statement of Cash Flows - Proprietary Funds30
Statement of Fiduciary Net Assets - Fiduciary Funds32
Notes to the Financial Statements 33
Required Supplementary Information:
Budgetary Comparison Information:
Budgetary Comparison Schedule - General Fund63
Other Post-Employment Benefits Plan Schedule of Funding Progress69
Notes to Required Supplementary Information71
CITY OF EDINA, MINNESOTA
TABLE OF CONTENTS
Page
No.
Combining and Individual Non Major Fund Financial Statements and Schedules:
Combining Balance Sheet - Nonmajor Special Revenue Funds74
Combining Statement of Revenues, Expenditures and Changes in
Fund Balances - Nonmajor Special Revenue Funds75
Special Revenue Fund - Community Development Block Grant
Schedule of Revenues, Expenditures and Changes in Fund
Balances - Budget and Actual 76
Combining Statement of Net Assets - Nonmajor Proprietary Funds78
Combining Statement of Revenues, Expenses and Changes in
Fund Net Assets - Nonmajor Proprietary Funds79
Combining Statement of Cash Flows - Nonmajor Proprietary Funds80
Combining Statement of Changes in Assets and Liabilities - Agency Funds83
Supplementary Financial Information:
Tax Capacity, Tax Levies and Tax Capacity Rates85
Combined Schedule of Bonded Indebtedness86
Schedule of Sources and Uses of Public Funds for 50th & France - #120088
Schedule of Sources and Uses of Public Funds for Southeast Edina
Redevelopment District - #120189
Schedule of Sources and Uses of Public Funds for Grandview Area
Redevelopment District - #120290
Schedule of Sources and Uses of Public Funds for Southeast Edina
Redevelopment District - #120391
Schedule of Sources and Uses of Public Funds for 70th Street and
Cahill Road District - #1207 92
CITY OF EDINA, MINNESOTA
TABLE OF CONTENTS
Page
No.
III. STATISTICAL SECTION (UNAUDITED)
Financial Trends:
Net Assets by Component 94
Changes in Net Assets 96
Fund Balances of Governmental Funds98
Changes in Fund Balances of Governmental Funds100
Revenue Capacity:
Assessed Value, Actual Value and Tax Capacity of Taxable Property102
Direct and Overlapping Tax Capacity Rates103
Principal Property Tax Payers 104
Property Tax Levies and Collections105
Debt Capacity:
Ratios of Outstanding Debt by Type106
Ratios of General Bonded Debt Outstanding107
Direct and Overlapping Governmental Activities Debt108
Legal Debt Margin Information 109
Pledged Revenue Coverage 110
Demographic and Economic Information:
Demographic and Economic Statistics111
Principal Employers 112
Operating Information:
Full-Time Equivalent City Government Employees by Function113
Operating Indicators by Function 114
Capital Asset Statistics by Function115
This page left blank intentionally.
2
Local economy
The City currently enjoys a favorable economic environment and local indicators point to continued
stability. The region, while noted for a strong retail sector, enjoyed considerable re-development in
recent years. The re-development consisted of varied manufacturing, medical and high-tech base that
adds to the relative stability of the unemployment rate. Major industries with headquarters or divisions
within the government’s boundaries or in close proximity include medical services, retail operations
and banking services. Edina is home to over 50,000 jobs that are expected to remain stable over the
coming years.
The City has become known for its quality residential housing stock and attractive neighborhoods. To
date, approximately 98% of the housing stock is in place. Although the emphasis has changed over
the years from exclusively single family housing to a more balanced mix of housing types, the City’s
concern for overall quality in residential development remains a top priority.
The City enjoys a AAA bond rating and a Aaa bond rating from Standard and Poors and Moody’s,
respectively.
Long-term financial planning
The Metropolitan Council requires all cities in the seven-county metropolitan area to have a
Comprehensive Plan and State law requires cities to update their plans every 10 years. The
Comprehensive Plan guides development and redevelopment and addresses changes likely to occur
due to various social and market forces. The City updated our Comprehensive Plan and submitted it
to the Metropolitan Council for review in 2008. A final version was adopted by the City Council in
2009.
The City continues to focus on quality of life improvements throughout Edina. These efforts cover a
broad array of areas including protecting and improving the environment, revitalization of parks and
public areas, expanding recreational opportunities, expanding City services, and increasing
communication between City representatives and the public.
The City is working closely with state government, federal government and neighboring communities
to improve the area’s state and county transportation network, which includes upgraded highways
and well-placed pathways. Funding for most of the transportation improvements will need to come
from state, county and federal sources, with some minor portion supported by the local taxpayers.
Relevant financial policies
The City recently adopted a set of financial management policies that focus on long-term financial
planning. Policies cover areas such as cash and investments, the operating budget, revenue, fund
balance, capital outlay, and debt management.
Designations for park dedication, investments, compensated absences, and cash flow are all within
the ranges specified in the policies. In addition, the City has $936,499 unreserved, undesignated fund
balance in the general fund.
Major initiatives
The City is continually working to update our aging infrastructure. Our annually adopted five-year
Capital Improvement Plan includes spending and financing projections for these projects.
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CITY OF EDINA, MINNESOTA
ORGANIZATION
December 31, 2009
Term Expires
Mayor:
James Hovland December 31, 2012
Council Members:
Joni Bennett December 31, 2010
Scot Housh December 31, 2010
Mary Brindle December 31, 2012
Ann Swenson December 31, 2012
City Manager:
Gordon Hughes Appointed
Finance Director/Treasurer:
John Wallin Appointed
City Clerk:
Debra Mangen Appointed
5
City of Edina
Boards andCommissions
HRA Personnel
Elections
City Clerk
Human Resources
Human Services
Communications
Technology
Liquor
Administration Assessing
Recycling
Health
Water and Sewer
Street Maintenance
Engineering
Public
Works
Planning
Recreational
Facilities
Recreational
Programs
Park Maintenance
Parks and
Recreation
Building
Inspections
Finance
Civil Defense
Animal Control
Police Operations
Police
Prevention and
Control
EMS
Special Operations
Fire
Public Safety
City Manager
City Council City Attorney
Citizens
9
MANAGEMENT’S DISCUSSION AND ANALYSIS
As management of the City of Edina (the City), we offer readers of the City’s financial statements this
narrative overview and analysis of the financial activities of the City for the fiscal year ended
December 31, 2009. We encourage readers to consider the information presented here in conjunction
with additional information that we have furnished in our letter of transmittal, which precedes this
report.
Financial Highlights
The assets of the City exceeded its liabilities at the close of the most recent fiscal year by
$170,578,186 (net assets). Of this amount, $45,864,320 (unrestricted net assets) may be used to
meet the City’s ongoing obligations to citizens and creditors in accordance with the City's fund
designations and fiscal policies.
The City’s total net assets increased by $6,159,053. $5,836,562 of this increase is due to the
City’s use of tax increment revenues to pay down tax increment debt.
As of the close of the current fiscal year, the City’s governmental funds reported combined ending
fund balances of $46,770,059, an increase of $4,702,160 in comparison with the prior year. Of
this total amount, $31,528,465, or 67%, is available for spending at the City’s discretion
(unreserved fund balance).
At the end of the current fiscal year, unreserved fund balance for the general fund was
$12,031,358, or 44% of total general fund expenditures.
The City’s total bonded debt increased by $15,095,000 during the current fiscal year, from
$76,295,000 to $91,390,000. The City issued new debt during the year consisting of $14,230,000
general obligation bonds to finance equipment purchases and the new public works facility,
$8,720,000 public project revenue bonds to finance the new public works facility, and $4,450,000
of revenue bonds to refinance existing debt and to pay for improvements to Braemar Arena.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City’s basic financial
statements. The City’s basic financial statements comprise three components: 1) government-wide
financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report
also contains other supplementary information in addition to the basic financial statements
themselves.
Government-wide financial statements. The government-wide financial statements are designed to
provide readers with a broad overview of the City’s finances, in a manner similar to a private-sector
business.
The statement of net assets presents information on all of the City’s assets and liabilities, with the
difference between the two reported as net assets. Over time, increases or decreases in net assets
may serve as a useful indicator of whether the financial position of the City is improving or
deteriorating.
Management’s Discussion and Analysis (Continued)
10
The statement of activities presents information showing how the City’s net assets changed during
the most recent fiscal year. All changes in net assets are reported as soon as the underlying event
giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and
expenses are reported in this statement for some items that will only result in cash flows in future
fiscal periods (e.g. uncollected taxes and earned but unused vacation leave).
Both of the government-wide financial statements distinguish functions of the City that are principally
supported by taxes and intergovernmental revenues (governmental activities) from other functions
that are intended to recover all or a significant portion of their costs through user fees and charges
(business-type activities). The governmental activities of the City include general government, public
safety, public works and parks. The business-type activities of the City include utilities, liquor, aquatic
center, golf course and community activity centers.
Fund financial statements. A fund is a grouping of related accounts that is used to maintain control
over resources that have been segregated for specific activities or objectives. The City, like other
state and local governments, uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements. All of the funds of the City can be divided into three categories:
governmental funds, proprietary funds, and fiduciary funds.
Governmental funds. Governmental funds are used to account for essentially the same
functions reported as governmental activities in the government-wide financial statements.
However, unlike the government-wide financial statements, governmental fund financial
statements focus on near-term inflows and outflows of spendable resources, as well as on
balances of spendable resources available at the end of the fiscal year. Such information
may be useful in evaluating a government’s near-term financial requirements.
Because the focus of governmental funds is narrower than that of the government-wide
financial statements, it is useful to compare the information presented for governmental funds
with similar information presented for governmental activities in the government-wide
financial statement. By doing so, readers may better understand the long-term impact of the
City's near term financial decisions. Both the governmental fund balance sheet and
governmental fund statement of revenues, expenditures, and change in fund balances
provide a reconciliation to facilitate this comparison between governmental funds and
governmental activities.
The City maintains 4 individual major governmental funds. Information is presented
separately in the governmental fund balance sheet and in the governmental fund statement
of revenues, expenditures, and changes in fund balances for the general fund, Housing and
Redevelopment Authority fund, debt service fund and the construction fund.
Data from the other governmental funds are combined into a single, aggregated presentation.
Individual fund data for each of these non-major governmental funds are provided in the form
of combining statements elsewhere in this report.
The City adopts an annual appropriated budget for its general fund and one of its special
revenue funds. A budgetary comparison statement has been provided for those funds to
demonstrate compliance with these budgets.
Proprietary funds. The City maintains four major enterprise funds. Enterprise funds are
used to report the same functions presented as business-type activities in the governmental-
wide financial statements. The City uses enterprise funds to account for its utility, liquor,
aquatic center and golf course operations.
Management’s Discussion and Analysis (Continued)
11
Data from the other proprietary funds are combined into a single, aggregated presentation.
Individual fund data for each of these non-major proprietary funds are provided in the form of
combining statements elsewhere in this report.
Proprietary funds provide the same type of information as the government-wide financial
statements, only in more detail.
Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of
parties outside the government. Fiduciary funds are not reflected in the government-wide
financial statements because the resources of those funds are not available to support the
City’s own programs. The accounting used for fiduciary funds is much like that used for
proprietary funds.
Notes to the financial statements. The notes provide additional information that is essential to a full
understanding of the data provided in the government–wide and fund financial statements.
Other information. The combining statements referred to earlier in connection with non-major
governmental and enterprise funds are presented immediately following the required supplementary
information on budgetary comparisons.
Government-wide Financial Analysis
As noted earlier, net assets may serve over time as a useful indicator of a government's financial
position. In the case of the City, assets exceeded liabilities by $170,578,186 at the close of the most
recent fiscal year.
The largest portion of the City's net assets ($116,956,164 or 69%) reflects its investment in capital
assets (e.g. land, buildings, machinery, and equipment) less any related debt used to acquire those
assets that is still outstanding. The City uses these capital assets to provide services to citizens;
consequently, these assets are not available for future spending. Although the City's investment in its
capital assets is reported net of related debt, it should be noted that the resources needed to repay
this debt must be provided from other sources, since the capital assets themselves cannot be used to
liquidate these liabilities.
Management’s Discussion and Analysis (Continued)
12
City of Edina’s Net Assets
2009 2008 2009 2008 2009 2008
Current and
other assets60,453,175$ 54,476,230$ 23,418,500$ 24,630,275$ 83,871,675$ 79,106,505$
Capital assets122,558,594 108,049,357 68,987,531 65,348,867 191,546,125 173,398,224
Total assets183,011,769$ 162,525,587$ 92,406,031$ 89,979,142$ 275,417,800$ 252,504,729$
Long-term liabilities
outstanding64,880,633$ 44,334,972$ 24,346,645$ 24,334,398$ 89,227,278$ 68,669,370$
Other liabilities10,670,301 13,649,480 4,942,035 5,766,746 15,612,336 19,416,226
Total liabilities75,550,934$ 57,984,452$ 29,288,680$ 30,101,144$ 104,839,614$ 88,085,596$
Net assets:
Invested in capital
assets, net of
related debt69,622,370$ 71,601,227$ 47,333,794$ 46,851,736$ 116,956,164$ 118,452,963$
Restricted7,132,865 3,362,446 624,837 954,486 7,757,702 4,316,932
Unrestricted30,705,600 29,577,462 15,158,720 12,071,776 45,864,320 41,649,238
Total net assets107,460,835$ 104,541,135$ 63,117,351$ 59,877,998$ 170,578,186$ 164,419,133$
Governmental Activities Business-Type Activities Totals
An additional portion of the City’s net assets ($7,757,702) represents resources that are subject to
external restrictions on how they may be used. The remaining balance of unrestricted net assets
($45,864,320) may be used to meet the City's ongoing obligations to citizens and creditors.
At the end of the current fiscal year, the City is able to report positive balances in all of the categories
of net assets reported, both for the government as a whole, as well as for its separate governmental
and business-type activities. The same situation held true for the prior fiscal year.
There was also an increase of $4,215,082 in unrestricted net assets, largely due to positive operating
results in the Utility fund.
Management’s Discussion and Analysis (Continued)
13
As shown below, the City’s net assets increased by $6,159,053 during the current fiscal year. Factors
contributing to this change are discussed in the next two sections.
City of Edina's Changes in Net Assets
2009 2008 2009 2008 2009 2008
Revenues:
Program revenues:
Charges for services6,697,150$ 7,442,883$ 35,641,231$ 33,959,038$ 42,338,381$ 41,401,921$
Operating grants and
contributions1,377,785 1,170,183 135,917 147,456 1,513,702 1,317,639
Capital grants and
contributions2,582,999 7,710,015 - - 2,582,999 7,710,015
General revenues:
Property taxes23,834,274 22,242,276 300,372 - 24,134,646 22,242,276
Other taxes8,255,177 9,225,900 - - 8,255,177 9,225,900
Gain on disposal
of assets11,709 1,265 2,250 14,505 13,959 15,770
Unrestricted investment
earnings387,177 1,185,899 209,371 607,312 596,548 1,793,211
Total revenues43,146,271 48,978,421 36,289,141 34,728,311 79,435,412 83,706,732
Expenses:
General government7,362,560 6,836,248 - - 7,362,560 6,836,248
Public safety14,751,479 14,833,647 - - 14,751,479 14,833,647
Public works8,993,290 9,046,873 - - 8,993,290 9,046,873
Parks7,732,777 5,971,565 - - 7,732,777 5,971,565
Interest on long-term debt2,129,490 1,923,821 - - 2,129,490 1,923,821
Utilities- - 11,833,994 10,625,811 11,833,994 10,625,811
Liquor- - 11,449,194 11,049,223 11,449,194 11,049,223
Aquatic center- - 798,369 787,663 798,369 787,663
Golf course- - 3,588,831 3,612,482 3,588,831 3,612,482
Community activity
centers- - 4,636,375 4,502,849 4,636,375 4,502,849
Total expenses 40,969,596 38,612,154 32,306,763 30,578,028 73,276,359 69,190,182
Increase in net assets
before transfers2,176,675 10,366,267 3,982,378 4,150,283 6,159,053 14,516,550
Transfers743,025 967,800 (743,025) (967,800) - -
Increase in net assets2,919,700 11,334,067 3,239,353 3,182,483 6,159,053 14,516,550
Net assets - January 1104,541,135 93,207,068 59,877,998 56,695,515 164,419,133 149,902,583
Net assets - December 31107,460,835$ 104,541,135$ 63,117,351$ 59,877,998$ 170,578,186$ 164,419,133$
Governmental Activities Business-type Activities Totals
Management’s Discussion and Analysis (Continued)
14
Governmental Activities
Governmental activities increased the City's net assets by $2,919,700, accounting for 47% of the total
growth in net assets. Key elements of this increase are as follows:
Property tax revenues increased by $1,591,998 (7%) during the year, which is equal to the
property tax levy increase of 7% outlined in our 2009 budget.
The City also collected $7,587,386 in tax increments, which were used to pay principal and
interest on tax increment debt. This increases net assets because debt principal payments
are not expensed on the Statement of Activities.
Below are specific graphs which provide comparisons of the governmental activities revenues and
expenses:
Charges for services16%
Operating grants and
contributions
3%
Capital grants and
contributions
6%Property taxes
55%
Other taxes19%
Other1%
Revenues by Source -Governmental Activities
-
2
4
6
8
10
12
14
16
Generalgovernment Public safetyPublic worksParksInterest onlong-term
debt
Millions
Expenses and Program Revenues -Governmental
Activities
expenses
program revenue
Management’s Discussion and Analysis (Continued)
15
Business-type Activities
Business-type activities increased net assets by $3,239,353 accounting for 53% of the City's growth
in net assets. Key elements of the current year increase are as follows:
Charges for services for business-type activities increased 5% from 2008. The Utilities fund
charges for services increased $1,145,239 (8%) from the previous year due to increased
rates and consumption. The City commissioned a utility rate study for the 2009 year that
called for significant rate increases to pay for current and future infrastructure needs.
Business-type activities made net transfers of $743,025 to governmental activities during
2009 to provide cash flow for operational and capital improvement needs.
Charges for
services
98.2%
Operating grants
and
contributions
0.4%
Other
1.4%
Revenues by Source -Business-type Activities
-
2
4
6
8
10
12
14
16
UtilitiesLiquorAquaticcenter Golf courseCommunityactivity
centers
Millions
Expenses and Program Revenues -Business-type
Activities
expenses
program revenue
Management’s Discussion and Analysis (Continued)
16
Financial Analysis of the City's Funds
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-
related legal requirements.
Governmental Funds. The focus of the City’s governmental funds is to provide information on near-
term inflows, outflows, and balances of spendable resources. Such information is useful in assessing
the City’s financing requirements. In particular, unreserved fund balance may serve as a useful
measure of a government’s net resources available for spending at the end of the fiscal year.
At the end of the current fiscal year, the City's governmental funds reported combined ending fund
balances of $46,770,059, an increase of $4,702,160 in comparison with the prior year. Approximately
67% of this total amount ($31,528,465) constitutes unreserved fund balance. The remainder of the
fund balance is reserved because it has already been committed 1) to provide for prepaid items
($18,241), 2) to pay committed contracts ($6,838,361), 3) for special projects ($200,343), 4) for
construction projects ($2,730,517) or 5) to pay debt service ($5,454,132).
The general fund is the chief operating fund of the City. At the end of the current fiscal year,
unreserved fund balance of the general fund was $12,031,358. As a measure of the general fund’s
liquidity, unreserved fund balance represents 44% of total general fund expenditures.
The fund balance of the City’s general fund decreased by $2,329,404 during the current fiscal year.
Key factors in this decrease are as follows:
As part of the 2010 budget process, the City decided to move the equipment replacement
program to the construction fund in 2010. This decision required a transfer of program assets
($3,244,468) from the general fund to the construction fund on December 31, 2009.
General fund property tax revenues increased by 3.8% in the current fiscal year despite a
budgeted levy increase of over 4.3%. The shortfall is due to higher than expected
delinquencies and abatements.
Total general fund expenditures decreased 4% in the current fiscal year despite a budgeted
increase of 3.6%. The City made several mid-year adjustments to our spending patterns in
2009 due to declining revenues and economic uncertainty. Adjustments included deferred
equipment purchases and maintenance, fewer part-time staff, voluntary furloughs, and other
adjustments.
The liquor fund transferred $765,100 of profits to the general fund.
The general fund made transfers totaling $700,000 to the construction fund to finance our
Capital Improvement Program, as stipulated in the fund balance section of our financial
management policies.
The Housing and Redevelopment Authority fund balance decreased by $2,210,875 in the current
fiscal year because the City is using accumulated tax increment funds to pay for the promenade
project.
The debt service fund has a total fund balance of $5,454,132, all of which is reserved for the payment
of debt service. The net increase in fund balance during the current year in the debt service fund was
$1,785,508. Fund balance increased during the year because of new levies for debt issued during
2009 that will increase required debt service beginning in February 2010.
The construction fund balance increased by $7,383,155 in 2009 due to the equipment replacement
program transfer from the general fund. Also, new debt was issued in 2009 to help finance
construction of the new public works facility, which will be completed in 2010.
Management’s Discussion and Analysis (Continued)
17
Proprietary funds. The City’s proprietary funds provide the same type of information found in the
government-wide financial statements, but in more detail.
Unrestricted net assets of the utility fund at the end of the year amounted to $11,844,846. The total
growth in net assets was $3,181,676. Operating revenues and expenses in the utilities fund increased
by 9.7% and 7.3%, respectively, in 2009, due to rate increases that are intended to help replace
aging infrastructure. The City invested $5,388,636 in utility fund capital assets during 2009.
Unrestricted net assets of the liquor fund at the end of the year amounted to $1,241,053. Total net
assets decreased by $103,517. The liquor fund continues to transfer profits back into other City
funds, including the general, construction, golf course, arena and art center funds. The liquor fund
made transfers totaling $1,310,100 to other funds during 2009. The majority of this amount
($765,100) was transferred to the general fund according to the budget.
Unrestricted net assets of the aquatic center fund at the end of the year amounted to $677,179.
Aquatic center revenues decreased slightly from 2008 due to unfavorable weather for the aquatic
center in 2009. The aquatic center remains profitable.
Unrestricted net assets of the golf course fund at the end of the year amounted to a deficit of
($1,408,841), an increase of $121,561 from the prior year. Unrestricted net assets had been declining
for a number of years leading up to 2009 in the golf course fund because cash flow is not sufficient to
make principal and interest payments on outstanding debt. The golf course made the final payment
on some of its debt on January 1, 2009, and refinanced the remaining debt on April 29, 2009, so debt
service will be less of a burden in future years.
General Fund Budgetary Highlights
During the year there was a $700,000 increase in appropriations between the original and final
amended budget. The increase was a transfer to the construction fund of unreserved and
undesignated general fund balance according to the City’s fund balance policy.
During the year, revenues were $823,779 less than budget, as the weak economy affected our
property tax, permit, and investment revenue. Due to these revenue declines, the City made several
adjustments to our spending during the year as well, although the budget was never formally
changed. The spending adjustments succeeded in saving $1,635,472 of budgeted expenditures, so
that there was no need to draw upon existing fund balance for operations. Fund balance decreased,
but only because of the equipment replacement program transfer to the construction fund.
Many City departments were significantly under budget for the year, mostly due to the mid-year
spending adjustments. All departments cut expenditures by reducing staffing levels through overtime,
part-time staffing, attrition, and voluntary furloughs. No full-time employees were laid off during the
year. In addition, departments deferred equipment purchases where possible. The City also saved
money through lower than expected fuel, commodities, and insurance prices.
Capital Asset and Debt Administration
Capital assets. The City’s investment in capital assets for its governmental and business type
activities as of December 31, 2009, amounted to $191,546,125 (net of accumulated depreciation).
This investment in capital assets included land, land improvements, buildings, vehicles and
equipment. The total increase in the City’s investment in capital assets for the current fiscal year was
10 percent (a 13 percent increase for governmental activities and a 6 percent increase for business-
type activities).
Management’s Discussion and Analysis (Continued)
18
Major capital asset events during the current fiscal year included the following:
The City started construction on a new public works facility in 2009; construction in progress
as of the close of the fiscal year has reached $13,294,948.
A variety of street construction, sidewalk and traffic signal projects began in 2009.
A variety of utility infrastructure improvements, including watermain, sanitary and storm
sewer, including the country club neighborhood project; construction in progress as of the
close of the fiscal year reached $11,179,667.
City of Edina’s Capital Assets
(Net of Depreciation)
2009 2008 2009 2008 2009 2008
Land and land
improvements26,040,078$ 26,109,904$ 4,634,890$ 4,832,171$ 30,674,968$ 30,942,075$
Buildings and
improvements34,810,399 35,576,980 5,924,799 6,486,370 40,735,198 42,063,350
Machinery and equipment8,108,214 8,003,483 2,771,677 2,098,994 10,879,891 10,102,477
Infrastructure24,727,802 24,946,400 44,202,165 41,962,368 68,929,967 66,908,768
Construction in progress28,872,101 13,412,590 11,454,000 9,968,964 40,326,101 23,381,554
Total122,558,594$ 108,049,357$ 68,987,531$ 65,348,867$ 191,546,125$ 173,398,224$
Governmental Activities Business-Type Activities Totals
Additional information on the City’s capital assets can be found in Note 4.
Long-term debt. At the end of the current fiscal year, the City had total bonded long-term debt
outstanding of $91,390,000, an increase of $15,095,000 from 2008. The key factor in this increase
was the issuance of $22,720,000 of General Obligation and Public Project Revenue bonds related to
the construction of the new public works facility.
$24,020,000 is for general obligation improvement debt that is supported by property tax levies and
special assessments. This amount increased from 2009 due to a new debt issue for the public works
facility.
$14,620,000 is for permanent improvement revolving (PIR) bonds, which finance the City’s special
assessment program. This amount decreased from 2008 due to regularly scheduled principal
payments on outstanding issues.
An additional $4,125,000 of general obligation tax increment debt financed the City’s economic
development program. This amount decreased in 2009 due to regularly scheduled principal payments
on outstanding issues.
Also outstanding is $22,650,000 public project revenue bonds which financed the City Hall and Police
facility as well as two gymnasiums and the new public works facility. This amount increased in 2009
due to a new debt issue for the public works facility.
There is a total of $25,975,000 in revenue bonds for improvements to the enterprise funds.
Managem
Tax in
Gener
Public
Public
Reven
Total
The City m
State stat
Estimated
the City's
Additiona
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The City s
the relativ
Edina for
Southdale
Southdale
Edina is
selected a
six percen
Property v
slowed si
payable in
ment’s Discu
crement bonds
ral obligation bonds
improvement bond
project revenue bo
nue bonds
maintains an A
tutes limit the
d Market Valu
outstanding d
l information o
c Factors an
strives to pro
vely healthy
February 20
e Center, the
e hospital, as
known for e
as one of the
nt finish in five
values in Edin
ince then. Es
n 2010 after a
ssion and A
Ci
200
4,1$
s 24,0
ds 14,6
onds22,6
65,4$
Gove
Aaa rating fro
e amount of g
ue. The curren
debt is counte
on the City’s
nd Next Year’
ovide an unco
local econom
010 was 5.4%
nation’s first
s well as sev
xcellent publ
e best in the c
e years.
na increased
stimated mar
a 1.3% increa
nalysis (Con
1
ty of Edina’s
09 2008
25,00010,015$
020,00010,420
620,00014,770
650,00014,675
-
415,000 49,880$
ernmental Activities
om Moody's a
general obliga
nt debt limitat
ed within the s
long-term deb
’s Budget
ommonly high
my helps to m
%, well below
fully enclose
veral corporat
lic schools, a
country. Ninet
at a rapid pac
rket value of
se the year b
ntinued)
19
s Outstandin
8 2009
,000$
,000
,000
,000
- 25,975,00
,000 25,975,00$
s Business
and an AAA ra
ation debt a M
tion for the Ci
statutory limit
bt can be fou
h quality of lif
make this go
w the state an
ed climate-con
te headquarte
as the Edina
ty-seven perc
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f all real est
before.
ng Debt
2008
- -$
- -
- -
- -
00 26,415,000
00 26,415,000$
-Type Activities
ating from Sta
Minnesota cit
ity is $301,36
tation.
nd in Note 5.
fe for our res
oal a reality.
nd national le
ntrolled regio
ers. In additio
a school syst
cent of senior
l years throug
tate actually
2009
4,125,000$ $
24,020,000
14,620,000
22,650,000
25,975,000
91,390,000$ $
Totals
andard & Poo
ty may issue
68,951. Only $
sidents and b
The unemplo
evels. The C
nal shopping
on to its hea
tem has bee
rs go to colle
gh 2006, but t
decreased 0
2008
10,015,000$
10,420,000
14,770,000
14,675,000
26,415,000
76,295,000$
s
or’s.
to 3% of tot
$46,670,000 o
usinesses an
oyment rate
City is home t
mall, Fairvie
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en consistent
ge and eighty
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0.6% for taxe
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of
nd
in
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ew
y,
tly
y-
as
es
Management’s Discussion and Analysis (Continued)
20
The City collects property taxes based on tax capacity, which roughly equals estimated market value
multiplied by class rates for different types of parcels (commercial, residential, etc.). Class rates are
set by state statute. Tax capacity for real estate increased 0.5% for taxes payable in 2010, and has
been increasing steadily ever since the state revised property tax law in 2001 for taxes payable in
2002, although that growth has slowed since 2006 along with values.
Due to the recent increases in market value and tax capacity, property tax rates had been decreasing
through 2007, although tax rates now appear to be rising slightly.
All of these factors above were considered in preparing the City’s budget for the 2010 fiscal year. The
City’s adopted 2010 budget includes a property tax levy of $20,737,472 for the general fund, an
increase of 2.2% from the 2009 general fund levy.
Requests for Information
This financial report is designed to provide a general overview of the City’s finances for all those with
an interest in the government’s finances. Questions concerning any of the information provided in this
report or requests for additional financial information should be addressed to the Office of the Finance
Director, 4801 West 50th Street, Edina, Minnesota 55424. The City’s Comprehensive Annual
Financial Report can also be found on the internet at www.cityofedina.com.
CITY OF EDINA, MINNESOTA
STATEMENT OF NET ASSETS
December 31, 2009
GovernmentalBusiness-type
Activities Activities Total
Assets:
Current assets:
Cash and cash equivalents662,700$ 596,903$ 1,259,603$
Investments41,777,092 11,746,053 53,523,145
Restricted investments9,568,879 4,538,546 14,107,425
Accrued interest 81,480 23,696 105,176
Accounts receivable, net507,793 3,260,834 3,768,627
Special assessments receivable8,043,035 394,738 8,437,773
Internal balances(1,200,000) 1,200,000 -
Due from other governments626,252 3,840 630,092
Prepaid items18,241 355,506 373,747
Inventory - 1,148,391 1,148,391
Total current assets 60,085,472 23,268,507 83,353,979
Noncurrent assets:
Deferred charges367,703 149,993 517,696
Nondepreciable capital assets 46,305,930 12,542,965 58,848,895
Depreciable capital assets (net)76,252,664 56,444,566 132,697,230
Total noncurrent assets 122,926,297 69,137,524 192,063,821
Total assets 183,011,769 92,406,031 275,417,800
Liabilities:
Current liabilities:
Accounts payable3,645,786 788,646 4,434,432
Salaries payable751,851 251,762 1,003,613
Accrued interest payable985,995 363,894 1,349,889
Contracts payable829,425 85,616 915,041
Due to other governments12,192 177,712 189,904
Deposits payable 27,165 112,887 140,052
Unearned revenue6,354 105,645 111,999
Compensated absences payable1,436,533 455,873 1,892,406
Bonds payable2,975,000 2,600,000 5,575,000
Total current liabilities 10,670,301 4,942,035 15,612,336
Noncurrent liabilities:
Net OPEB obligation513,059 70,553 583,612
Compensated absences payable2,154,800 683,809 2,838,609
Bonds payable, net of unamortized discount62,212,774 23,592,283 85,805,057
Total noncurrent liabilities64,880,633 24,346,645 89,227,278
Total liabilities75,550,934 29,288,680 104,839,614
Net assets:
Invested in capital assets, net of related debt69,622,370 47,333,794 116,956,164
Restricted for tax increments7,132,865 - 7,132,865
Restricted for debt service- 624,837 624,837
Unrestricted30,705,600 15,158,720 45,864,320
Total net assets 107,460,835$ 63,117,351$ 170,578,186$
Primary Government
The accompanying notes are an integral part of these financial statements
21
CITY OF EDINA, MINNESOTA
STATEMENT OF ACTIVITIES
For The Year Ended December 31, 2009
OperatingCapital
Charges forGrants andGrants and
ExpensesServicesContributionsContributions
Functions/Programs
Primary government:
Governmental activities:
General government7,362,560$ 811,087$ 291,633$ -$
Public safety14,751,479 5,081,563 859,248 -
Public works8,993,290 403,771 218,804 2,582,999
Parks7,732,777 400,729 8,100 -
Interest on long-term debt2,129,490 - - -
Total government activities40,969,596 6,697,150 1,377,785 2,582,999
Business-type activities:
Utilities11,833,994 14,858,488 116,615 -
Liquor11,449,194 12,655,777 - -
Aquatic center798,369 859,816 - -
Golf course3,588,831 3,660,466 - -
Community activity centers4,636,375 3,606,684 19,302 -
Total business-type activities32,306,763 35,641,231 135,917 -
Total primary government73,276,359$ 42,338,381$ 1,513,702$ 2,582,999$
The accompanying notes are an integral part of these financial statements.
Program Revenues
22
GovernmentalBusiness-type
ActivitiesActivitiesTotal
(6,259,840)$ -$ (6,259,840)$
(8,810,668) - (8,810,668)
(5,787,716) - (5,787,716)
(7,323,948) - (7,323,948)
(2,129,490) - (2,129,490)
(30,311,662) - (30,311,662)
- 3,141,109 3,141,109
- 1,206,583 1,206,583
- 61,447 61,447
- 71,635 71,635
- (1,010,389) (1,010,389)
- 3,470,385 3,470,385
(30,311,662) 3,470,385 (26,841,277)
General revenues:
Property taxes23,834,274 300,372 24,134,646
Tax increment collections7,587,386 - 7,587,386
Franchise taxes667,791 - 667,791
Unrestricted investment earnings387,177 209,371 596,548
Gain on disposal of capital assets11,709 2,250 13,959
Transfers743,025 (743,025) -
Total general revenues and transfers33,231,362 (231,032) 33,000,330
Change in net assets2,919,700 3,239,353 6,159,053
Net assets - beginning104,541,135 59,877,998 164,419,133
Net assets - ending107,460,835$ 63,117,351$ 170,578,186$
Net (Expense) Revenue and
Changes in Net Assets
23
This page left blank intentionally.
24
CITY OF EDINA, MINNESOTA
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2009
Housing &NonmajorTotal
RedevelopmentDebt GovernmentalGovernmental
GeneralAuthorityServiceConstructionFunds Funds
Assets
Cash and cash equivalents222,893$ 7,283$ 245,744$ 21,390$ 165,390$ 662,700$
Investments - unrestricted12,422,894 12,380,037 4,981,014 11,275,151 717,996 41,777,092
Investments - restricted - - - 9,568,879 - 9,568,879
Accrued interest 12,441 45,066 4,430 15,009 4,534 81,480
Accounts receivable 314,825 - - 11,776 181,192 507,793
Special assessments
receivable - - 5,922,939 2,120,096 - 8,043,035
Due from other funds 130,501 - 200,000 - 450,000 780,501
Due from other governments491,121 1,662 22,944 10,450 100,075 626,252
Prepaid items 18,241 - - - - 18,241
Total assets 13,612,916$ 12,434,048$ 11,377,071$ 23,022,751$ 1,619,187$ 62,065,973$
Liabilities and fund balances
Liabilities:
Accounts payable 611,477$ 970,336$ -$ 2,049,287$ 14,686$ 3,645,786$
Salaries payable 731,821 - - 8,524 11,506 751,851
Contracts payable - - - 829,425 - 829,425
Due to other funds 200,000 130,501 - 1,550,000 100,000 1,980,501
Due to other governments 5,779 6,413 - - - 12,192
Deposits payable 14,240 - - 12,925 - 27,165
Unearned revenue - - - - 6,354 6,354
Deferred revenue - - 5,922,939 2,119,701 - 8,042,640
Total liabilities 1,563,317 1,107,250 5,922,939 6,569,862 132,546 15,295,914
Fund balance:
Reserved for:
Prepaid items 18,241 - - - - 18,241
Encumbrances - - - 6,838,361 - 6,838,361
Special projects - - - 200,343 - 200,343
Construction projects - - - 2,730,517 - 2,730,517
Debt service - - 5,454,132 - - 5,454,132
Unreserved:
Designated, reported in:
General Fund 11,094,859 - - - - 11,094,859
Capital Project Funds - - - 6,683,668 - 6,683,668
Undesignated, reported in:
General Fund 936,499 - - - - 936,499
Special Revenue Funds - 11,326,798 - - 1,486,641 12,813,439
Total fund balance 12,049,599 11,326,798 5,454,132 16,452,889 1,486,641 46,770,059
Total liabilities and
fund balances 13,612,916$ 12,434,048$ 11,377,071$ 23,022,751$ 1,619,187$ 62,065,973$
Fund balance reported above 46,770,059$
Amounts reported for governmental activities in the statement of net assets are different because:
Capital assets used in governmental activities are not financial resources, and therefore,
are not reported in the funds 122,558,594
Other long-term assets are not available to pay for current-period expenditures and, therefore,
are deferred in the funds 8,042,640
Long-term liabilities, including bonds payable, are not due and payable in the current period and therefore
are not reported in the funds.(69,910,458)
Net assets of governmental activities 107,460,835$
The accompanying notes are an integral part of these financial statements.
25
CITY OF EDINA, MINNESOTA
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2009
Housing &NonmajorTotal
RedevelopmentDebt GovernmentalGovernmental
GeneralAuthorityServiceConstructionFundsFunds
Revenues:
General property taxes 20,742,167$ -$ 3,092,107$ -$ -$ 23,834,274$
Tax increment collections - 7,587,386 - - - 7,587,386
Special assessments - - 1,508,662 1,195,171 - 2,703,833
Franchise fees - - - - 667,791 667,791
License and permits 2,081,139 - - 23,828 - 2,104,967
Intergovernmental 884,649 - - 276,129 346,392 1,507,170
Charges for services 2,759,164 - - 146,246 - 2,905,410
Fines and forfeitures 1,148,440 - - - 76,543 1,224,983
Investment income 37,668 183,592 35,151 109,936 20,830 387,177
Rental of property 342,446 - - 1,170 - 343,616
Other revenues 43,406 - - 14,950 101,679 160,035
Total revenues 28,039,079 7,770,978 4,635,920 1,767,430 1,213,235 43,426,642
Expenditures:
Current:
General government 4,007,381 1,631,984 - 306,787 949,177 6,895,329
Public safety 13,442,038 - - 60,366 190,282 13,692,686
Public works 5,597,264 - - 314,494 - 5,911,758
Parks 3,569,655 - - 118,408 - 3,688,063
Capital outlay:
General government 16,653 - - 405,492 - 422,145
Public safety 320,573 - - 234,330 - 554,903
Public works 54,149 - - 19,232,675 - 19,286,824
Parks 165,994 2,215,633 - 351,566 - 2,733,193
Debt service:
Bond principal - - 7,415,000 - - 7,415,000
Interest and fiscal charges - - 1,841,342 - - 1,841,342
Total expenditures 27,173,707 3,847,617 9,256,342 21,024,118 1,139,459 62,441,243
Revenues over
(under) expenditures 865,372 3,923,361 (4,620,422) (19,256,688) 73,776 (19,014,601)
Other financing sources (uses):
Transfers in 765,100 - 6,338,205 4,244,468 - 11,347,773
Transfers out (3,994,468) (6,134,236) - (476,044) - (10,604,748)
Sale of capital assets 34,592 - - - - 34,592
Bonds issued - - 67,000 22,883,000 - 22,950,000
Premium on bonds issued - - 725 64,040 - 64,765
Discount on bonds issued - - - (75,621) - (75,621)
Total other financing
sources (uses)(3,194,776) (6,134,236) 6,405,930 26,639,843 - 23,716,761
Net increase (decrease)
in fund balance (2,329,404) (2,210,875) 1,785,508 7,383,155 73,776 4,702,160
Fund balance - January 114,379,003 13,537,673 3,668,624 9,069,734 1,412,865 42,067,899
Fund balance - December 3112,049,599$ 11,326,798$ 5,454,132$ 16,452,889$ 1,486,641$ 46,770,059$
The accompanying notes are an integral part of these financial statements.
26
CITY OF EDINA, MINNESOTA
RECONCILIATION OF THE STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES OF
GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
For The Year Ended December 31, 2009
Amounts reported for governmental activities in the
statement of activities (page 22-23) are different because:
Net changes in fund balances - total governmental funds (page 26)4,702,160$
Governmental funds report capital outlays as expenditures. However,
in the statement of activities the cost of those assets is allocated
over their estimated useful lives and reported as depreciation expense.
This is the amount by which capital outlays exceeded depreciation
in the current period.14,532,120
In the statement of activities, only the gain on the sale of capital assets
is reported. However, in the governmental funds, the proceeds from
the sale increases financial resources. Thus, the change in net assets
differs from the change in fund balance by the cost of the capital
assets sold.(22,883)
Revenues in the statement of activities that do not provide current
financial resources (property tax and special assessment receivables)
are not reported as revenues in the funds.(292,080)
The issuance of long-term debt (e.g., bonds, leases) provides current
financial resources to governmental funds, while the repayment of the
principal of long-term debt consumes the current financial resources
of governmental funds. Neither transaction, however, has any effect
on net assets. Also, governmental funds report the effect of issuance
costs, premiums, discounts and similar items when debt is first issued,
whereas these amounts are deferred and amortized in the statement of
activities. This amount is the net effect of these differences in the
treatment of long-term debt and related items.(15,388,617)
Some expenses reported in the statement of activities do not require the
use of current financial resources (OPEB obligations, accrued interest
and amortization on debt and compensated absences payable) and,
therefore, are not reported as expenditures in governmental funds.(611,000)
Change in net assets of governmental activities (page 23)2,919,700$
The accompanying notes are an integral part of these financial statements.
27
CITY OF EDINA, MINNESOTA
STATEMENT OF NET ASSETS
PROPRIETARY FUNDS
December 31, 2009
Nonmajor
AquaticGolfEnterprise
Utilities Liquor Center Course Funds Total
Assets:
Current assets:
Cash and cash equivalents 458,470$ 571$ 107,848$ 12,949$ 17,065$ 596,903$
Investments - unrestricted 8,510,735 - - - 3,235,318 11,746,053
Investments - restricted 2,233,114 - - - 2,305,432 4,538,546
Interest receivable 3,911 - - - 19,785 23,696
Accounts receivable, net 3,127,841 950 - 1,613 130,430 3,260,834
Special assessments receivable394,738 - - - - 394,738
Due from other funds - 1,000,000 1,200,000 - 116,000 2,316,000
Due from other governments 3,840 - - - - 3,840
Prepaid expenses 355,506 - - - - 355,506
Inventory 24,827 1,058,199 - 52,622 12,743 1,148,391
Total current assets 15,112,982 2,059,720 1,307,848 67,184 5,836,773 24,384,507
Noncurrent assets:
Deferred charges 100,931 - 9,575 11,329 28,158 149,993
Net capital assets 56,772,399 1,331,625 1,758,093 4,928,678 4,196,736 68,987,531
Total noncurrent assets 56,873,330 1,331,625 1,767,668 4,940,007 4,224,894 69,137,524
Total assets 71,986,312 3,391,345 3,075,516 5,007,191 10,061,667 93,522,031
Liabilities:
Current liabilities:
Accounts payable 281,915 341,754 592 33,718 130,667 788,646
Salaries payable 61,781 56,206 1,015 51,003 81,757 251,762
Accrued interest payable 335,278 - 13,233 15,383 - 363,894
Contracts payable 85,616 - - - - 85,616
Due to other funds - - - 1,000,000 116,000 1,116,000
Due to other governments 14,062 149,214 567 6,144 7,725 177,712
Deposits payable 112,216 - - 671 - 112,887
Unearned revenue - 4,545 - 45,141 55,959 105,645
Compensated absences payable 90,027 101,846 - 127,168 136,832 455,873
Bonds payable - current 2,185,000 - 135,000 280,000 - 2,600,000
Total current liabilities 3,165,895 653,565 150,407 1,559,228 528,940 6,058,035
Noncurrent liabilities:
Net OPEB obligation 20,018 12,333 - 17,374 20,828 70,553
Compensated absences payable135,040 152,769 - 190,752 205,248 683,809
Bonds payable, net of
unamortized discounts 19,527,893 - 725,741 884,987 2,453,662 23,592,283
Total noncurrent liabilities 19,682,951 165,102 725,741 1,093,113 2,679,738 24,346,645
Total liabilities 22,848,846 818,667 876,148 2,652,341 3,208,678 30,404,680
Net assets:
Invested in capital assets,
net of related debt 37,292,620 1,331,625 897,352 3,763,691 4,048,506 47,333,794
Restricted for debt service - - 624,837 - - 624,837
Unrestricted 11,844,846 1,241,053 677,179 (1,408,841) 2,804,483 15,158,720
Total net assets 49,137,466$ 2,572,678$ 2,199,368$ 2,354,850$ 6,852,989$ 63,117,351$
Business-type Activities - Enterprise Funds
The accompanying notes are an integral part of these financial statements.
28
CITY OF EDINA, MINNESOTA
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
PROPRIETARY FUNDS
For The Year Ended December 31, 2009
Nonmajor
AquaticGolfEnterprise
Utilities Liquor Center Course Funds Total
Operating revenues:
Sales - liquor -$ 12,642,630$ -$ 146,632$ -$ 12,789,262$
Sales - retail - - 4,759 212,886 43,909 261,554
Sales - utilities 14,484,863 - - - - 14,484,863
Sales - concessions - - 101,398 230,776 65,549 397,723
Memberships - - 464,570 123,761 86,290 674,621
Admissions - - 261,621 264,671 675,447 1,201,739
Building rental - - 27,468 81,728 1,398,011 1,507,207
Rental of equipment - - - 359,277 106,758 466,035
Greens fees - - - 1,880,610 215,710 2,096,320
Other fees 372,935 - - 358,333 1,015,010 1,746,278
Total operating revenues 14,857,798 12,642,630 859,816 3,658,674 3,606,684 35,625,602
Operating expenses:
Cost of sales and services 52,786 9,300,699 28,670 338,248 73,878 9,794,281
Personal services 1,732,097 1,361,602 261,365 1,774,558 2,095,029 7,224,651
Contractual services 5,989,392 472,412 118,074 580,479 1,432,638 8,592,995
Commodities 888,411 62,538 142,570 323,311 414,341 1,831,171
Central Services 501,693 186,144 25,056 110,796 155,897 979,586
Depreciation 1,650,837 65,799 194,928 414,656 464,490 2,790,710
Total operating expenses10,815,216 11,449,194 770,663 3,542,048 4,636,273 31,213,394
Operating income (loss)4,042,582 1,193,436 89,153 116,626 (1,029,589) 4,412,208
Nonoperating revenues (expenses):
Excess tax increments - - - 100,124 200,248 300,372
Intergovernmental 116,615 - - - - 116,615
Investment income 140,567 - - - 68,804 209,371
Donations - - - - 19,302 19,302
Interest and fiscal charges (811,587) - (26,942) (34,362) (42) (872,933)
Amortization of bond discount 8,005 - (764) (820) (60) 6,361
Gain (loss) on sale of
capital asset - - - (11,601) 2,250 (9,351)
Miscellaneous 690 13,147 - 1,792 - 15,629
Special items (215,196) - - - - (215,196)
Total nonoperating
revenues (expenses)(760,906) 13,147 (27,706) 55,133 290,502 (429,830)
Income (loss) before transfers 3,281,676 1,206,583 61,447 171,759 (739,087) 3,982,378
Transfers:
Transfers in - - - 170,000 497,075 667,075
Transfers out (100,000) (1,310,100) - - - (1,410,100)
Total transfers (100,000) (1,310,100) - 170,000 497,075 (743,025)
Change in net assets 3,181,676 (103,517) 61,447 341,759 (242,012) 3,239,353
Net assets - January 1 45,955,790 2,676,195 2,137,921 2,013,091 7,095,001 59,877,998
Net assets - December 31 49,137,466$ 2,572,678$ 2,199,368$ 2,354,850$ 6,852,989$ 63,117,351$
Business-type Activities - Enterprise Funds
The accompanying notes are an integral part of these financial statements.
29
CITY OF EDINA, MINNESOTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
For The Year Ended December 31, 2009
Nonmajor
AquaticGolfEnterprise
Utilities Liquor Center Course Funds Total
Cash flows from operating activities:
Receipts from customers and users15,030,675$ 12,643,860$ 859,805$ 3,661,488$ 3,605,996$ 35,801,824$
Payment to suppliers (7,759,304) (9,988,420) (314,722) (1,387,799) (2,260,207) (21,710,452)
Payment to employees (1,692,107) (1,322,943) (260,723) (1,734,978) (2,046,052) (7,056,803)
Donations - - - - 19,302 19,302
Miscellaneous revenue 690 13,147 - 1,792 - 15,629
Special items (215,196) - - - - (215,196)
Net cash provided by
(used in) operating activities5,364,758 1,345,644 284,360 540,503 (680,961) 6,854,304
Cash flows from noncapital financing activities:
Excess tax increments - - - 100,124 200,248 300,372
State grant 116,615 - - - - 116,615
Transfer from other funds - - - 170,000 497,075 667,075
Transfer to other funds (100,000) (1,310,100) - - - (1,410,100)
Proceeds from interfund borrowing - 100,000 185,000 - 101,000 386,000
Payment of interfund borrowing - - (1,200,000) (100,000) (101,000) (1,401,000)
Net cash provided by (used in)
noncapital financing activities16,615 (1,210,100) (1,015,000) 170,124 697,323 (1,341,038)
Cash flows from capital and related financing activities:
Proceeds from capital debt - - - - 2,425,443 2,425,443
Proceeds from refunding debt - - 858,033 1,159,096 - 2,017,129
Deposit to refunding escrow - - (845,000) (1,140,000) - (1,985,000)
Acquisition of capital assets (5,388,636) (157,853) (14,915) (173,180) (718,719) (6,453,303)
Proceeds from sale
of capital assets - - - 12,328 2,250 14,578
Principal paid on bonds (2,045,000) - (120,000) (515,000) (225,000) (2,905,000)
Interest paid on bonds (803,157) - (34,013) (53,953) (4,162) (895,285)
Net cash provided by (used in)
capital and related
financing activities (8,236,793) (157,853) (155,895) (710,709) 1,479,812 (7,781,438)
Cash flows from investing activities:
Proceeds from sale of investments3,025,663 - - - 715,922 3,741,585
Purchase of investments - - - - (2,425,591) (2,425,591)
Investment income 214,681 - - - 184,226 398,907
Net cash flows provided by
(used in) investing activities3,240,344 - - - (1,525,443) 1,714,901
Net increase (decrease)
in cash and cash equivalents 384,924 (22,309) (886,535) (82) (29,269) (553,271)
Cash and cash equivalents -
January 1 73,546 22,880 994,383 13,031 46,334 1,150,174
Cash and cash equivalents -
December 31458,470$ 571$ 107,848$ 12,949$ 17,065$ 596,903$
Business-type Activities - Enterprise Funds
The accompanying notes are an integral part of these financial statements.
30
CITY OF EDINA, MINNESOTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
For The Year Ended December 31, 2009
Nonmajor
AquaticGolfEnterprise
Utilities Liquor Center Course Funds Total
Business-type Activities - Enterprise Funds
Reconciliation of operating income to net cash
provided (used) by operating activities:
Operating income (loss) 4,042,582$ 1,193,436$ 89,153$ 116,626$ (1,029,589)$ 4,412,208$
Adjustments to reconcile operating income
(loss) to net cash flows provided by
(used in) operating activities:
Depreciation 1,650,837 65,799 194,928 414,656 464,490 2,790,710
Donations - - - - 19,302 19,302
Miscellaneous revenue 690 13,147 - 1,792 - 15,629
Special items (215,196) - - - - (215,196)
Changes in assets and liabilities:
Decrease (increase) in receivables324,192 550 - 347 (69) 325,020
Decrease (increase) in
special assessments (153,431) - - - - (153,431)
Decrease (increase) in
due from other governments 2,116 - - - - 2,116
Decrease (increase) in inventory12,330 30,173 - (3,649) (1,307) 37,547
Decrease (increase) in
prepaid items (11,100) - - - - (11,100)
Increase (decrease) in
accounts payable (244,071) (9,286) 35 (20,654) (182,397) (456,373)
Increase (decrease) in
salaries payable 11,648 7,570 642 9,508 7,927 37,295
Increase (decrease) in
contracts payable (88,143) - - - - (88,143)
Increase (decrease) in
due to other governments 3,962 12,486 (387) (128) 251 16,184
Increase (decrease) in deposits - - - (10,534) - (10,534)
Increase (decrease) in
unearned revenue - 680 (11) 2,467 (619) 2,517
Increase (decrease) in
net OPEB obligation 9,471 5,835 - 8,219 9,854 33,379
Increase (decrease) in
compensated absences 18,871 25,254 - 21,853 31,196 97,174
Total adjustments 1,322,176 152,208 195,207 423,877 348,628 2,442,096
Net cash provided by
(used in) operating activities5,364,758$ 1,345,644$ 284,360$ 540,503$ (680,961)$ 6,854,304$
Noncash investing activities:
Increase (decrease) in
fair value of investments (8,566)$ -$ -$ -$ (105,245)$ (113,811)$
The accompanying notes are an integral part of these financial statements.
31
CITY OF EDINA, MINNESOTA
STATEMENT OF FIDUCIARY NET ASSETS
AGENCY FUNDS
December 31, 2009
Agency Funds
Assets
Cash 177,048$
Investments 245,000
Total assets 422,048$
Liabilities
Accounts payable 34,406$
Salaries payable 4,716
Due to other governmental units 382,926
Total liabilities 422,048$
The accompanying notes are an integral part of these financial statements.
32
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
33
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Edina (the City) was incorporated in 1888 and operates under the State of Minnesota
Statutory Plan B form of government. The governing body consists of a five-member City Council
elected by voters of the City.
The financial statements of the City have been prepared in conformity with accounting principles
generally accepted in the United States of America (generally accepted accounting principles) as
applied to governmental units by the Governmental Accounting Standards Board (GASB). The
following is a summary of significant accounting policies.
A. FINANCIAL REPORTING ENTITY
The City’s financial reporting entity consists of (a) the primary government, (b)
organizations for which the primary government is financially accountable, and (c) other
organizations for which the nature and significance of their relationship with the primary
government are such that exclusion would cause the reporting entity’s financial
statements to be misleading or incomplete. The primary government is financially
accountable for the component unit if it appoints a voting majority of the component unit’s
governing body and is able to impose its will on the component unit or there is a potential
for the component unit to provide specific financial benefits to, or impose specific financial
burdens on, the primary government.
As required by generally accepted accounting principles, the financial statements of the
reporting entity include those of the City of Edina (the primary government) and its
component units. The component units discussed below are included in the City's
reporting entity because of the significance of their operational or financial relationships
with the City.
COMPONENT UNITS
In conformity with generally accepted accounting principles, the financial statements of
the component unit have been included in the financial reporting entity as a blended
component unit.
The Housing and Redevelopment Authority (HRA) is an entity legally separate from the
City. However, for financial reporting purposes, the HRA is reported as if it were part of
the City's operations because the members of the City Council serve as HRA board
members and its activity is confined to the City of Edina. The activity of the HRA is
reported in the Special Revenue Funds. Separate financial statements are not prepared
for the HRA.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
34
B. GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
The government-wide financial statements (i.e., the statement of net assets and the
statement of changes in net assets) report information on all of the nonfiduciary activities
of the City. Governmental activities, which normally are supported by taxes and
intergovernmental revenues, are reported separately from business-type activities, which
rely to a significant extent on fees and charges for support.
The statement of activities demonstrates the degree to which the direct expenses of a
given function or business-type activity are offset by program revenues. Direct expenses
are those that are clearly identifiable with a specific function or business-type activity.
Program revenues include 1) charges to customers or applicants who purchase, use, or
directly benefit from goods, services, or privileges provided by a given function or
business-type activity and 2) grants and contributions that are restricted to meeting the
operational or capital requirements of a particular function or business type activity.
Taxes and other items not included among program revenues are reported instead as
general revenues.
Separate financial statements are provided for governmental funds, proprietary funds,
and fiduciary funds, even though the latter are excluded from the government-wide
financial statements. Major individual governmental funds and major individual enterprise
funds are reported as separate columns in the fund financial statements. Aggregated
information for the remaining nonmajor governmental and enterprise funds is reported in
a single column in the fund financial statements
C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT
PRESENTATION
The government-wide financial statements are reported using the economic resources
measurement focus and the accrual basis of accounting, as are the proprietary fund and
fiduciary fund financial statements. The City’s only fiduciary fund type, agency funds, are
custodial in nature and do not have a measurement focus. Revenues are recorded when
earned and expenses are recorded when a liability is incurred, regardless of the timing of
related cash flows. Property taxes are recognized as revenues in the year for which they
are levied. Grants and similar items are recognized as revenue as soon as all eligibility
requirements imposed by the provider have been met.
Governmental fund financial statements are reported using the current financial
resources measurement focus and the modified accrual basis of accounting. Revenues
are recognized as soon as they are both measurable and available. Revenues are
considered to be available when they are collectible within the current period or soon
enough thereafter to pay liabilities of the current period. For this purpose, the City
considers all revenues, except reimbursement grants, to be available if they are collected
within 60 days of the end of the current fiscal period. Expenditures generally are recorded
when a liability is incurred, as under accrual accounting. However, debt service
expenditures, as well as expenditures related to compensated absences and claims and
judgments are recorded only when payment is due.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
35
Property taxes, special assessments, intergovernmental revenues, charges for services
and interest associated with the current fiscal period are all considered to be susceptible
to accrual and so have been recognized as revenues of the current fiscal period. Only the
portion of special assessments receivable due within the current fiscal period is
considered to be susceptible to accrual as revenue of the current period. All other
revenue items are considered to be measurable and available only when cash is received
by the City.
The City reports the following major governmental funds:
The general fund is the government’s primary operating fund. It accounts for all
financial resources of the general government, except those required to be
accounted for in another fund.
The special revenue Housing and Redevelopment Authority fund is used to account
for revenues from several sources (property taxes, bond proceeds, investment
earnings, etc.) that are designated for housing and redevelopment.
The debt service fund accounts for the payment of principal and interest on the Tax
Increment, General Obligation, Permanent Improvement Revolving, and Public
Project Revenue Bonds.
The capital projects construction fund accounts for the various special assessment
and state aid projects throughout the City. This fund also provides financing for
capital improvements as designated in the City’s capital improvement budget.
The City reports the following major proprietary funds:
The utility fund accounts for the provision of water, sewer and recycling services to
the City’s residents.
The liquor fund accounts for the operation of the City’s three liquor stores.
The aquatic center fund accounts for the operation of the City’s aquatic center.
The golf course fund accounts for the operation of the City’s three golf courses and a
golf dome.
Additionally, the City reports the following fund type:
Agency - the police seizure, Public Safety Training Facility, and I-494 Corridor
Commission funds account for fees collected for other government agencies and the
payroll fund accounts for payroll deductions withheld from employee paychecks but
not yet sent to the appropriate party (includes federal and state taxes, health care
deductions, etc).
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
36
Private-sector standards of accounting and financial reporting issued prior to December
1, 1989, generally are followed in both the government-wide and proprietary fund
financial statements to the extent that those standards do not conflict with or contradict
guidance of the Governmental Accounting Standards Board. Governments also have the
option of following subsequent private-sector guidance for their business-type activities
and enterprise funds, subject to this same limitation. The City has elected not to follow
subsequent private-sector guidance.
As a general rule the effect of interfund activity has been eliminated from the
government-wide financial statements. Exceptions to this general rule are transactions
that would be treated as revenues, expenditures or expenses if they involved external
organizations, such as buying goods and services or payments in lieu of taxes, are
similarly treated when they involve other funds of the City of Edina. Elimination of these
charges would distort the direct costs and program revenues reported for the various
functions concerned.
Amounts reported as program revenues include 1) charges to customers or applicants for
goods, services, or privileges provided, 2) operating grants and contributions, and 3)
capital grants and contributions, including special assessments. Internally dedicated
resources are reported as general revenues rather than as program revenues. Likewise,
general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from nonoperating items.
Operating revenues and expenses generally result from providing services and producing
and delivering goods in connection with a proprietary fund’s principal ongoing operations.
The principal operating revenues of the utilities, liquor, aquatic center, golf course, arena,
art center and Edinborough Park/Centennial Lake enterprise funds are charges to
customers for sales and services. Operating expenses for enterprise funds include the
cost of sales and services, administrative expenses, and depreciation on capital assets.
All revenues and expenses not meeting this definition are reported as nonoperating
revenues and expenses.
When both restricted and unrestricted resources are available for an allowable use, it is
the City’s policy to use restricted resources first, then unrestricted resources as they are
needed.
Depreciation expense is included in the direct expenses of each function. Interest on
long-term debt is considered an indirect expense and is reported separately on the
Statement of Activities.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
37
D. CASH AND INVESTMENTS
The City’s cash and cash equivalents are considered to be deposits and cash on hand for
purposes of the cash flow statement.
Cash balances from all funds are pooled together and invested to the maximum extent at
favorable rates. This also allows certain funds to generate a temporary cash overdraft.
Interest earned is allocated as determined by the Investment Advisory Committee. The
City provides temporary advances to funds that have insufficient cash balances by
means of an advance from another fund shown as interfund receivables in the advancing
fund, and an interfund payable in the fund with the deficit, until adequate resources are
received. These interfund balances are eliminated on the government-wide financial
statements.
The City reports its investments at fair value based on quoted market prices. Changes in
fair value of securities in the City’s investment portfolio are recorded as a net change in
fair value of investments in the City’s fund financial statements and within general
revenues in the government-wide financial statements.
E. RECEIVABLES AND PAYABLES
During the course of operations, numerous transactions occur between individual funds
for goods provided or services rendered. Short-term interfund loans are classified as “due
to/from other funds.” All short-term interfund receivables and payables at December 31,
2009 are planned to be eliminated in 2010. Any residual balances outstanding between
the governmental activities and business-type activities are reported in the government-
wide financial statements as “internal balances.”
Property taxes and special assessments receivables have been reported net of estimated
uncollectible accounts. Because utility bills are considered liens on property, no
estimated uncollectible amounts are established. Uncollectible amounts are not material
for other receivables and have not been reported.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
38
F. REVENUE RECOGNITION
1. PROPERTY TAX REVENUE RECOGNITION
The City Council annually adopts a tax levy and certifies it to the County in
December (levy/assessment date) of each year for collection in the following
year. The County is responsible for billing and collecting all property taxes for
itself, the City, the local School District and other taxing authorities. Such taxes
become a lien on January 1 and are recorded as receivables by the City at that
date. Real property taxes are payable (by property owners) on May 15 and
October 15 of each calendar year. Personal property taxes are payable by
taxpayers on February 28 and June 30 of each year. These taxes are collected
by the County and remitted to the City on or before July 7 and December 2 of the
same year. Delinquent collections for November and December are received the
following January. The City has no ability to enforce payment of property taxes
by property owners. The County possesses this authority.
GOVERNMENT-WIDE FINANCIAL STATEMENTS
The City recognizes property tax revenue in the period for which the taxes were
levied. Uncollectible property taxes are not material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
The City recognizes property tax revenue when it becomes both measurable and
available to finance expenditures of the current period. In practice, current and
delinquent taxes and State credits received by the City in July, December and
January are recognized as revenue for the current year. Taxes collected by the
County by December 31 (remitted to the City the following January) and taxes
and credits not received at the year end are classified as delinquent and due
from County taxes receivable. The portion of delinquent taxes not collected by
the City in January are fully offset by deferred revenue because they are not
available to finance current expenditures.
2. SPECIAL ASSESSMENT REVENUE RECOGNITION
Special assessments are levied against benefited properties for the cost or a
portion of the cost of special assessment improvement projects in accordance
with State Statutes. These assessments are collectible by the City over a term of
years usually consistent with the term of the related bond issue. Collection of
annual installments (including interest) is handled by the County Auditor in the
same manner as property taxes. Property owners are allowed to (and often do)
prepay future installments without interest or prepayment penalties.
Once a special assessment roll is adopted, the amount attributed to each parcel
is a lien upon that property until full payment is made or the amount is
determined to be excessive by the City Council or court action. If special
assessments are allowed to go delinquent, the property is subject to tax forfeit
sale. Pursuant to State Statutes, a property shall be subject to a tax forfeit sale
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
39
after three years unless it is homesteaded, agricultural or seasonal recreational
land in which event the property is subject to such sale after five years.
GOVERNMENT-WIDE FINANCIAL STATEMENTS
The City recognizes special assessment revenue in the period that the
assessment roll was adopted by the City Council. Uncollectible special
assessments are not material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
Revenue from special assessments is recognized by the City when it becomes
measurable and available to finance expenditures of the current fiscal period. In
practice, current and delinquent special assessments received by the City are
recognized as revenue for the current year. Special assessments that are
collected by the County by December 31 (remitted to the City the following
January) and are also recognized as revenue for the current year. All remaining
delinquent, deferred and special deferred assessments receivable in
governmental funds are completely offset by deferred revenues.
G. INVENTORIES, PREPAID ITEMS AND DEFERRED CHARGES
Inventories of the proprietary funds are stated at cost and are recorded as expenditures
when consumed rather than when purchased.
Certain payments to vendors reflect costs applicable to future accounting periods and are
recorded as prepaid items in both government-wide and fund financial statements.
Deferred charges represent deferred issuance costs.
H. CAPITAL ASSETS
Capital assets, which include property, plant, equipment and parks, are reported in the
applicable governmental or business-type activities columns in the government-wide
financial statements. Capital assets are also reported in the proprietary fund financial
statements but not in the governmental fund financial statements.
Capital assets are defined by the government as assets with an initial, individual cost of
more than $10,000 (amount not rounded) and an estimated useful life in excess of three
years. Such assets are recorded at historical cost or estimated historical cost if
purchased or constructed. Donated capital assets are recorded at estimated fair market
value at the date of donation. The costs of normal maintenance and repairs that do not
add to the value of the asset or materially extend assets lives are not capitalized.
Infrastructure assets include all of the City’s assets since inception.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
40
Property, plant and equipment of the primary government is depreciated using the
straight line method over the following estimated useful lives:
Assets Life
Golf course 10 - 35 years
Land improvements 20 – 50 years
Buildings and structures 20 - 40 years
Furniture and office equipment 5 - 10 years
Vehicles and equipment 3 - 20 years
Parks 5 - 100 years
Distribution system 50 years
Collection system 10 - 50 years
Storm sewers 50 years
Wells 7 - 30 years
I. COMPENSATED ABSENCES
It is the City's policy to permit employees to accumulate earned but unused vacation and
sick pay benefits. All vacation pay is accrued when incurred in the government-wide and
proprietary fund financial statements. A liability for these amounts is reported in
governmental funds only if they have matured, for example, as a result of employee
resignations and retirements. In accordance with the provisions of Statement of
Governmental Accounting Standards No. 16, Accounting for Compensated Absences, no
liability is recorded for nonvesting accumulating rights to receive sick pay benefits.
However, a liability is recognized for that portion of accumulating sick leave benefits that
is vested as severance pay. According to City policy, vested sick leave benefits are
liquidated into a health care savings plan upon separation.
J. LONG-TERM OBLIGATIONS
In the government-wide financial statements and proprietary fund types in the fund
financial statements, long-term debt and other long-term obligations are reported as
liabilities in the applicable governmental activities, business-type activities, or proprietary
fund type statement of net assets. Bond premiums and discounts, as well as issuance
costs, are deferred and amortized over the life of the bond using the straight-line method.
Bonds payable are reported net of the applicable bond premium or discount. Bond
issuance costs are reported as deferred charges and amortized over the term of the
related debt.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
41
In the fund financial statements, governmental fund types recognize bond premiums and
discounts, as well as bond issuance costs, during the current period. The face amount of
debt issued plus any premium received is reported as other financing sources. Discounts
on debt issuances are reported as other financing uses. Issuance costs, whether or not
withheld from the actual debt proceeds received, are reported as debt service
expenditures.
K. FUND EQUITY
In the fund financial statements, governmental funds report reservations of fund balance
for amounts that are not available for appropriation or are legally restricted by outside
parties for use for a specific purpose. Designations of fund balance represent tentative
management plans that are subject to change.
L. INTERFUND TRANSACTIONS
Interfund services provided and used are accounted for as revenues, expenditures or
expenses. Transactions that constitute reimbursements to a fund for
expenditures/expenses initially made from it that are properly applicable to another fund,
are recorded as expenditures/expenses in the reimbursing fund and as reductions of
expenditures/expenses in the fund that is reimbursed. Interfund loans are reported as an
interfund loan receivable or payable which offsets the movement of cash between funds.
All other interfund transactions are reported as transfers.
M. NET ASSETS
Net assets represent the difference between assets and liabilities in the government-wide
and proprietary fund financial statements. Net assets invested in capital assets, net of
related debt, consists of capital assets, net of accumulated depreciation, reduced by the
outstanding balance of any long-term debt used to build or acquire the capital assets. Net
assets are reported as restricted when there are limitations imposed on their use through
external restrictions imposed by creditors, grantors, or laws or regulations of other
governments.
N. USE OF ESTIMATES
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates that affect amounts
reported in the financial statements during the reporting period. Actual results could differ
from such estimates.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
42
O. JOINT VENTURES
The City’s investment in joint venture is reported in the statement of net assets as
governmental activities capital assets and is equal to the City’s interest in the net assets
of the joint venture. The City’s interest is based on the allocation in the joint powers
agreement.
Note 2 RECONCILIATION OF GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
A. EXPLANATION OF CERTAIN DIFFERENCES BETWEEN THE GOVERNMENTAL
FUND BALANCE SHEET AND THE GOVERNMENT-WIDE STATEMENT OF NET
ASSETS
The governmental fund balance sheet includes a reconciliation between fund balance
– total governmental funds and net assets – governmental activities as reported in
the government-wide statement of net assets. One element of that reconciliation
explains that “long-term liabilities, including bonds payable, are not due and payable
in the current period and therefore are not reported in the funds.” The details of this
difference are as follows:
Bonds payable 65,415,000$
Plus: issuance premium 94,042
Less: issuance discount (321,268)
Less: deferred charge for issuance costs (367,703)
Accrued interest payable 985,995
OPEB obligation 513,059
Compensated absences 3,591,333
Net adjustment to reduce fund balance - total
governmental funds to arrive at net assets -
governmental activities69,910,458$
B. EXPLANATION OF CERTAIN DIFFERENCES BETWEEN THE GOVERNMENTAL
FUND STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND
BALANCES AND THE GOVERNMENT-WIDE STATEMENT OF ACTIVITIES
The governmental fund statement of revenues, expenditures, and changes in fund
balances includes a reconciliation between net changes in fund balances – total
governmental funds and changes in net assets of governmental activities as reported
in the government-wide statement of activities. One element of that reconciliation
explains that “Governmental funds report capital outlays as expenditures. However,
in the statement of activities the cost of those assets is allocated over their estimated
useful lives and reported as depreciation expense.” The details of this difference are
as follows:
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
43
Capital outlay 19,818,160$
Depreciation expense (5,286,040)
Net adjustment to increase net changes in fund
balances - total governmental funds to arrive at
changes in net assets of governmental funds14,532,120$
Another element of that reconciliation states that “The issuance of long-term debt
provides current financial resources to governmental funds, while the repayment of
the principal of long-term debt consumes the current financial resources of
governmental funds. Neither transaction, however, has any effect on net assets.
Also, governmental funds report the effect of issuance costs, premiums, discounts
and similar items when debt is first issued, whereas these amounts are deferred and
amortized in the statement of activities.” The details of this difference are as follows:
Debt issued or incurred:
Issuance of general obligation bonds14,230,000$
Issuance of public project revenue bonds8,720,000
Less issuance costs(135,527)
Less discounts(75,621)
Plus premiums64,765
Principal repayments:
Tax increment debt(5,890,000)
General obligation debt(630,000)
Permanent improvement revolving debt(150,000)
Public project revenue debt(745,000)
Net adjustment to decrease net changes in fund
balances - total governmental funds to arrive at
changes in net assets of governmental activities15,388,617$
Another element of that reconciliation states that “Some expenses reported in the
statement of activities do not require the use of current financial resources and
therefore are not reported as expenditures in governmental funds.” The details of this
difference are as follows:
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
44
OPEB obligation (242,729)$
Compensated absences (80,123)
Accrued interest (234,517)
Amortization of issuance costs (33,247)
Amortization of bond discounts and premiums (20,384)
Net adjustment to decrease net changes in fund
balances - total governmental funds to arrive at
changes in net assets of governmental activities(611,000)$
Note 3 CASH AND INVESTMENTS
A. COMPONENTS OF CASH AND INVESTMENTS
Cash and investments at year-end consist of the following:
Deposits 1,417,565$
Cash on hand 19,085
Investments 67,875,570
69,312,220$
Cash and investments are presented in the financial statements as follows:
Cash and cash equivalents - Statement of Net Assets 1,259,603$
Investments - Statement of Net Assets 53,523,144
Restricted investments - Statement of Net Assets 14,107,425
Cash and investments - Statement of Fiduciary Net Assets 422,048
69,312,220$
The City had restricted investments of $14,107,425 as of December 31, 2009 that
represent unspent bond proceeds to be used for construction projects.
B. DEPOSITS
In accordance with applicable Minnesota Statutes, the City maintains deposits at
depository banks authorized by the City Council, including checking accounts, savings
accounts and certificates of deposit.
The following is considered the most significant risk associated with deposits:
Custodial credit risk – In the case of deposits, this is the risk that in the event of
a bank failure, the City’s deposits may be lost.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
45
Minnesota Statutes require that all deposits be protected by federal deposit
insurance, corporate surety bond, or collateral. The market value of collateral
pledged must equal 110% of the deposits not covered by federal deposit
insurance or corporate surety bonds. Authorized collateral includes treasury bills,
notes, and bonds; issues of U.S. government agencies; general obligations rated
“A” or better; revenue obligations rated “AA” or better; irrevocable standard
letters of credit issued by the Federal Home Loan Bank; and certificates of
deposit. Minnesota Statutes require that securities pledged as collateral be held
in safekeeping in a restricted account at the Federal Reserve Bank or in an
account at a trust department of a commercial bank or other financial institution
that is not owned or controlled by the financial institution furnishing the collateral.
The City’s investment policy does not contain further restrictions on the types of
collateral required.
At year-end, the carrying amount of the City’s deposits was $1,417,565 while the
balance on the bank records was $2,298,284. At December 31, 2009, all
deposits were fully covered by federal depository insurance, surety bonds, or by
collateral held by the City’s agent in the City’s name.
C. INVESTMENTS
The City has the following investments at year end:
Rating Agency < 1 1 to 5 5 to 10 10 +Total
U.S. TreasuriesN/AN/A -$ 64,631$ 753,494$ 599,169$ 1,417,294$
GNMA N/AN/A - - - 33,813 33,813
SBA NotesAAA/AaaS&P/Mdy's3,944 54,434 485,400 42,526 586,304
U.S. Agencies AAA/AaaS&P/Mdy's5,274,355 13,050,897 2,611,137 2,704,226 23,640,615
Municipals N/RN/A 30,122 - - - 30,122
Municipals AS&P 10,041 - - - 10,041
MunicipalsAAA/AAAS&P/Fitch30,291 10,603 73,459 - 114,353
MunicipalsAA/Aa1S&P/Mdy's - - - 2,595,000 2,595,000
Negotiable CD'sN/RN/A6,988,183 97,879 - - 7,086,062
Interfund DebtN/RN/A - 1,400,000 - - 1,400,000
12,336,936$ 14,678,444$ 3,923,490$ 5,974,734$ 36,913,604
Money Market*AAAS&P28,390,629
4M Fund*N/RN/A2,571,337
Total investments 67,875,570$
N/A - Not Applicable
N/R - Not Rated
* - The City's money market investments don't have maturities
Credit Risk
Investment
Interest Risk - Maturity Duration in Years
The Minnesota Municipal Money Market Fund (4M Fund) is regulated by Minnesota
Statutes and the Board of Directors of the League of Minnesota Cities. The 4M Fund is
an unrated 2a7-like pool and the fair value of the position in the pool is the same as the
value of pool shares.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
46
Investments are subject to various risks, the following of which are considered the most
significant:
Custodial credit risk – For investments, this is the risk that in the event of a
failure of the counterparty to an investment transaction (typically a broker-dealer)
the City would not be able to recover the value of its investments or collateral
securities that are in the possession of an outside party. The City’s investment
policy specifically addresses custodial credit risk, requiring the City to limit its
exposure by purchasing insured or registered investments, or by the control of
who holds the securities.
Credit risk – This is the risk that an issuer or other counterparty to an investment
will not fulfill its obligations. Minnesota Statutes limit the City’s investments to
direct obligations or obligations guaranteed by the United States or its agencies;
shares of investment companies registered under the Federal Investment
Company Act of 1940 that receive the highest credit rating, are rated in one of
the two highest rating categories by a statistical rating agency, and all of the
investments have a final maturity of thirteen months or less; general obligations
rated “AA” or better; general obligations of the Minnesota Housing Finance
Agency rated “A” or better; bankers’ acceptances of United States banks eligible
for purchase by the Federal Reserve System; commercial paper issued by
United States corporations or their Canadian subsidiaries, rated of the highest
quality category by at least two nationally recognized rating agencies, and
maturing in 270 days or less; Guaranteed Investment Contracts guaranteed by a
United States commercial bank, domestic branch of a foreign bank, or a United
States insurance company, and with a credit quality in one of the top two highest
categories; repurchase or reverse repurchase agreements and securities lending
agreements with financial institutions qualified as a “depository” by the
government entity, with banks that are members of the Federal Reserve System
with capitalization exceeding $10,000,000, that are a primary reporting dealer in
U.S. government securities to the Federal Reserve Bank of New York, or certain
Minnesota securities broker-dealers. The City’s investment policies specifically
address credit risk, further limiting the City’s exposure to credit risk by requiring
that all state and local government obligations to be rated “AA” or better by a
national rating agency.
Concentration risk – This is the risk associated with investing a significant
portion of the City’s investment (considered 5 percent or more) in the securities
of a single issuer, excluding U.S. guaranteed investments (such as Treasuries),
investment pools, and mutual funds. The City’s investment policies specifically
address the City’s desire to limit concentration risk, but do not set specific
guidelines for measurement of this risk. At year-end, the City’s investments
include 7% and 24% in securities issued by FHLMC and FNMA, respectively.
Interest rate risk – This is the risk of potential variability in the fair value of fixed
rate investment resulting in changes in interest rates (the longer the period for
which an interest rate is fixed, the greater the risk). The City’s investment policies
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
47
specifically address the City’s desire to limit interest rate risk, but do not set
specific guidelines for measurement of this risk.
Note 4 CAPITAL ASSETS
Capital asset activity for the year ended December 31, 2009 is as follows:
Beginning Ending
Balance Increases Decreases Balance
Governmental activities:
Capital assets not being depreciated:
Land15,981,364$ -$ -$ 15,981,364$
Investment in joint venture1,452,465 - - 1,452,465
Construction in progress13,412,590 19,197,487 (3,737,976) 28,872,101
Total capital assets not being depreciated30,846,419 19,197,487 (3,737,976) 46,305,930
Capital assets being depreciated:
Land improvements21,699,762 693,134 - 22,392,896
Buildings and structures 35,018,165 344,266 - 35,362,431
Furniture and office equipment 2,615,664 935,934 (180,865) 3,370,733
Vehicles and equipment 13,888,737 574,109 (602,698) 13,860,148
Infrastructure 69,003,514 1,398,379 (203,145) 70,198,748
Parks 14,669,282 412,827 (99,001) 14,983,108
Total capital assets being depreciated156,895,124 4,358,649 (1,085,709) 160,168,064
Less accumulated depreciation for:
Land improvements(11,571,222) (762,960) - (12,334,182)
Buildings and structures (9,764,664) (985,309) - (10,749,973)
Furniture and office equipment (1,255,307) (244,633) 180,865 (1,319,075)
Vehicles and equipment (7,245,611) (1,140,594) 582,613 (7,803,592)
Infrastructure (44,057,114) (1,616,977) 203,145 (45,470,946)
Parks (5,798,268) (535,567) 96,203 (6,237,632)
Total accumulated depreciation(79,692,186) (5,286,040) 1,062,826 (83,915,400)
Total capital assets being depreciated, net77,202,938 (927,391) (22,883) 76,252,664
Governmental activities capital assets, net108,049,357$ 18,270,096$ (3,760,859)$ 122,558,594$
Certain capital assets were reclassified to different categories during the year, and these
reclassifications are reflected in the “Increases” and “Decreases” columns above.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
48
Beginning Ending
Balance Increases Decreases Balance
Business-type activities:
Capital assets not being depreciated:
Land1,088,965$ -$ -$ 1,088,965$
Construction in progress9,968,964 5,580,286 (4,095,250) 11,454,000
Total capital assets not being depreciated11,057,929 5,580,286 (4,095,250) 12,542,965
Capital assets being depreciated:
Land improvements & golf course8,080,614 102,704 - 8,183,318
Buildings and structures16,102,655 35,735 - 16,138,390
Furniture and office equipment121,680 38,462 - 160,142
Vehicles and equipment4,915,278 1,070,810 (53,211) 5,932,877
Utility infrastructure68,448,170 3,720,556 - 72,168,726
Lease property capital lease468,580 - - 468,580
Total capital assets being depreciated98,136,977 4,968,267 (53,211) 103,052,033
Less accumulated depreciation for:
Land improvements & golf course(4,337,408) (299,985) - (4,637,393)
Buildings and structures(9,616,285) (597,306) - (10,213,591)
Furniture and office equipment(111,652) (9,982) - (121,634)
Vehicles and equipment(2,826,312) (402,678) 29,282 (3,199,708)
Utility infrastructure(26,485,802) (1,480,759) - (27,966,561)
Lease property capital lease(468,580) - - (468,580)
Total accumulated depreciation(43,846,039) (2,790,710) 29,282 (46,607,467)
Total capital assets being depreciated, net54,290,938 2,177,557 (23,929) 56,444,566
Business-type activities capital assets, net65,348,867$ 7,757,843$ (4,119,179)$ 68,987,531$
Depreciation expense was charged to functions/programs of the primary government as follows:
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
49
Governmental activities:
General government505,794$
Public safety640,274
Public works2,371,507
Parks1,768,465
Total depreciation expense - governmental activities5,286,040$
Business-type activities:
Utilities 1,650,837$
Liquor 65,799
Aquatic Center 194,928
Golf Course 414,656
Arena 286,241
Art Center 30,124
Edinborough Park/Centennial Lakes 148,125
Total depreciation expense - business-type activities2,790,710$
CONSTRUCTION COMMITMENTS
At December 31, 2009, the City had construction project contracts in progress. The commitments
related to the remaining contract balances are summarized as follows:
ContractRemaining
Project #Project DescriptionAmountCommitment
08-1 EngCountry Club Reconstruction14,289,890$ 1,348,005$
08-6 EngStreet/Sidewalk Reconstruction2,145,508 4,348
09-5 EngPromenade1,952,097 22,029
09-6 EngStreet/Sidewalk Reconstruction720,380 38,024
09-7 EngStreet/Sidewalk Reconstruction718,139 7,638
09-11 EngStreet/Sidewalk Reconstruction1,586,586 17,366
VariousNew Public Works Facility10,613,873 6,074,954
7,512,364$
Note 5 LONG-TERM DEBT
The City has five types of bonded debt outstanding at December 31, 2009: tax increment bonds,
general obligation bonds, public improvement revolving bonds, public project revenue bonds and
G.O. revenue bonds. The first type of bond is payable solely from tax increment monies with any
deficiency to be provided for by general property taxes. The second type is payable from general
property taxes. The third type is payable from special assessments. The fourth type is payable
solely from annual appropriation lease payments received from the City of Edina pursuant to a
lease between the Edina Housing and Redevelopment Authority and the City. The fifth type is
payable primarily from enterprise revenue with any deficiency to be provided for by general
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
50
property taxes. The reporting entity’s long-term debt is segregated between the amounts to be
repaid from governmental activities and amounts to be repaid from business-type activities.
GOVERNMENTAL ACTIVITIES
As of December 31, 2009, the governmental long-term bonded debt of the financial reporting
entity consisted of the following:
Final
InterestIssueMaturityOriginalPayable
Rates Date Date Issue 12/31/09
Tax Increment Bonds:
Tax Increment Bonds, Series 2000A4.30-4.80%9/6/20002/1/20112,620,000$ 630,000$
Tax Increment Bonds, Series 2002B3.00%8/5/20022/1/20121,400,000 1,400,000
Tax Increment Refunding Bonds,
Series 2005D3.00-3.40%7/19/20052/1/20133,505,000 2,095,000
Total Tax Increment Bonds 7,525,000 4,125,000
General Obligation Bonds:
General Obligation - Park &
Recreation Refunding, 2005A3.50-4.00%7/19/20052/1/20175,375,000 4,120,000
General Obligation - Capital
Improvement Plan, 2007A4.00-4.25%5/24/20072/1/20285,865,000 5,670,000
General Obligation - Capital
Improvement Plan, 2009A3.00-4.40%4/29/20092/1/203014,000,000 14,000,000
General Obligation - Equipment
Certificates, 2009B2.00-3.00%4/29/20091/1/2012230,000 230,000
Total General Obligation Bonds25,470,000 24,020,000
Permanent Improvement Revolving (PIR) Bonds:
Permanent Improvement
Revolving, 2005E 3.00-3.75%9/13/20052/1/20161,460,000 995,000
Permanent Improvement
Revolving, 2007C 3.60-4.00%5/24/20072/1/20195,870,000 5,870,000
Permanent Improvement
Revolving, 2008B 3.00-4.00%8/28/20082/1/20207,755,000 7,755,000
Total PIR Bonds15,085,000 14,620,000
Public Project Revenue Bonds:
Public Project Revenue, Series 20024.00-5.25%1/1/20022/1/202112,410,000 9,075,000
Public Project Revenue, Series 20053.50-4.13%9/13/20055/1/20265,425,000 4,855,000
Public Project Revenue, Series 2009A2.10-4.55%11/24/20092/1/20302,595,000 2,595,000
Public Project Revenue, Series 2009B1.95-5.80%11/24/20092/1/20306,125,000 6,125,000
Total Public Project Revenue Bonds 26,555,000 22,650,000
Total bonded indebtedness - governmental activities74,635,000$ 65,415,000$
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
51
BUSINESS-TYPE ACTIVITIES
Final
InterestIssueMaturityOriginalPayable
Rates Date Date Issue 12/31/09
Revenue Bonds:
Recreational Facility Bonds, Series 2009B2.00-3.00%4/29/20091/1/20132,010,000$ 2,010,000$
Recreational Facility Bonds, Series 2009C2.00-4.00%12/10/20092/1/20302,440,000 2,440,000
Utility Revenue Bonds, Series 2003C1.10-3.55%3/1/20032/1/20133,200,000 1,405,000
Utility Revenue Bonds, Series 2007B 4.00%5/24/20072/1/20178,210,000 6,740,000
Utility Revenue Bonds, Series 2008A3.00-4.25%8/28/20082/1/201913,985,000 13,380,000
Total Revenue Bonds29,845,000 25,975,000
Total bonded indebtedness - business-type activities29,845,000$ 25,975,000$
Annual debt service requirements to maturity for the City’s bonds are as follows:
Principal Interest Principal Interest Principal Interest
2010 805,000$ 125,820$ 735,000$ 1,016,976$ 655,000$ 520,278$
2011 840,000 94,359 1,265,000 852,680 1,330,000 486,944
2012 1,930,000 48,445 1,310,000 810,293 1,375,000 442,069
2013 550,000 9,350 1,270,000 766,655 1,415,000 395,269
2014 - - 1,310,000 721,799 1,455,000 346,231
2015-2019 - - 6,080,000 2,905,192 7,460,000 904,525
2020-2024 - - 5,195,000 1,966,223 930,000 18,600
2025-2029 - - 5,880,000 827,596 - -
2030 - - 975,000 21,450 - -
Total 4,125,000$ 277,974$ 24,020,000$ 9,888,864$ 14,620,000$ 3,113,916$
Principal Interest Principal Interest
2010 780,000$ 632,880$ 2,600,000$ 869,086$
2011 810,000 1,063,316 2,755,000 808,335
2012 975,000 953,448 2,880,000 718,226
2013 1,255,000 910,821 2,985,000 622,636
2014 1,305,000 860,166 2,330,000 531,925
2015-2019 7,370,000 3,385,491 10,895,000 1,303,195
2020-2024 5,925,000 1,700,844 625,000 245,213
2025-2029 3,595,000 664,953 740,000 109,600
2030 635,000 34,330 165,000 3,300
Total 22,650,000$ 10,206,249$ 25,975,000$ 5,211,516$
Governmental Activities
General Public ImprovementTax
Public Project Revenue
Business-type ActivitiesGovernmental Activities
Obligation Bonds
BondsRevenue Bonds
Revolving Bonds
Year Ending
December 31
Year Ending
December 31
Increment Bonds
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
52
CHANGE IN LONG-TERM LIABILITIES
Long-term liability activity for the year ended December 31, 2009, was as follows:
Beginning EndingDue Within
Balance Additions Reductions Balance One Year
Governmental activities:
Bonds payable:
Tax increment10,015,000$ -$ (5,890,000)$ 4,125,000$ 805,000$
General obligation10,420,000 14,230,000 (630,000) 24,020,000 735,000
PIR 14,770,000 - (150,000) 14,620,000 655,000
Public project revenue14,675,000 8,720,000 (745,000) 22,650,000 780,000
Less deferred amounts:
Discount on bonds(273,307) (75,621) 27,660 (321,268) -
Premiums36,553 64,765 (7,276) 94,042 -
Total bonds payable49,643,246 22,939,144 (7,394,616) 65,187,774 2,975,000
Compensated absences3,511,210 1,741,551 (1,661,428) 3,591,333 1,436,533
Governmental activity
Long-term liabilities53,154,456$ 24,680,695$ (9,056,044)$ 68,779,107$ 4,411,533$
Business-type activities:
Bonds payable:
Revenue bonds26,415,000$ 4,450,000$ (4,890,000)$ 25,975,000$ 2,600,000$
Less deferred amounts:
Discount on bonds(17,504) - 3,834 (13,670) -
Premiums216,397 41,997 (27,442) 230,952 -
Total bonds payable26,613,893 4,491,997 (4,913,608) 26,192,282 2,600,000
Compensated absences1,042,508 380,253 (283,079) 1,139,682 455,873
Business-type activity
Long-term liabilities27,656,401$ 4,872,250$ (5,196,687)$ 27,331,964$ 3,055,873$
For governmental activities, compensated absences are generally liquidated by the general
fund.
The City issued $2,240,000 of General Obligation bonds, Series 2009B to finance a current
refunding of the 2010 through 2013 maturities of the City’s $3,270,000 General Obligation
bonds, Series 1999B and the 2010 through 2017 maturities of the $4,620,000 General
Obligation bonds, Series 2001A and to fund the purchase of capital equipment. The current
refundings were undertaken to reduce total debt service payments by $124,874 and resulted
in an economic gain of $117,750.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
53
Note 6 LEGAL DEBT MARGIN
The City is subject to a statutory limitation by the State of Minnesota for bonded indebtedness
payable principally from property taxes. The City of Edina's legal debt margin for 2009 is
computed as follows:
December 31, 2009
Market Value (after fiscal disparities)10,045,631,700$
Debt Limit (3% of Market Value)301,368,951$
Amount of debt applicable to debt limit:
Total bonded debt 91,390,000$
Less:
Tax increment bonds (4,125,000)
Public improvement revolving bonds (14,620,000)
Revenue bonds (25,975,000)
Total debt applicable to debt limit 46,670,000$
Legal debt margin 254,698,951$
Note 7 DEFINED BENEFIT PENSION PLANS - STATEWIDE
A. PLAN DESCRIPTION
All full-time and certain part-time employees of the City of Edina are covered by defined
benefit plans administered by the Public Employees Retirement Association of Minnesota
(PERA). PERA administers the Public Employees Retirement Fund (PERF) and the
Public Employees Police and Fire Fund (PEPFF) which are cost-sharing, multiple-
employer retirement plans. These plans are established and administered in accordance
with Minnesota Statute, Chapters 353 and 356.
PERF members belong to either the Coordinated Plan or the Basic Plan. Coordinated
Plan members are covered by Social Security and Basic Plan members are not. All new
members must participate in the Coordinated Plan. All police officers, firefighters and
peace officers who qualify for membership by statute are covered by the PEPFF.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
54
PERA provides retirement benefits as well as disability benefits to members, and benefits
to survivors upon death of eligible members. Benefits are established by State Statute,
and vest after three years of credited service. The defined retirement benefits are based
on a member’s highest average salary for any five successive years of allowable service,
age, and years of credit at termination of service.
Two methods are used to compute benefits for PERF’s Coordinated and Basic Plan
members. The retiring member receives the higher of a step-rate benefit accrual formula
(Method 1) or a level accrual formula (Method 2). Under Method 1, the annuity accrual
rate for a Basic Plan member is 2.2% of average salary for each of the first 10 years of
service and 2.7% for each remaining year. The annuity accrual rate for a Coordinated
Plan member is 1.2% of average salary for each of the first 10 years and 1.7% for each
remaining year. Under Method 2, the annuity accrual rate is 2.7% of average salary for
Basic Plan members and 1.7% for Coordinated Plan members for each year of service.
For PEPFF members, the annuity accrual rate is 3.0% for each year of service. For all
PEPFF and PERF members hired prior to July 1, 1989 whose annuity is calculated using
Method 1, a full annuity is available when age plus years of service equal 90. Normal
retirement age is 55 for PEPFF and 65 for Basic and Coordinated members hired prior to
July 1, 1989. Normal retirement age is the age for unreduced Social Security benefits
capped at 66 for Coordinated members hired on or after July 1, 1989. A reduced
retirement annuity is also available to eligible members seeking early retirement.
There are different types of annuities available to members upon retirement. A single-life
annuity is a lifetime annuity that ceases upon the death of the retiree – no survivor
annuity is payable. There are also various types of joint and survivor annuity options
available which will be payable over joint lives. Members may also leave their
contributions in the fund upon termination of public service in order to qualify for a
deferred annuity at retirement age. Refunds of contributions are available at any time to
members who leave public service, but before retirement benefits begin.
The benefit provisions stated in the previous paragraphs of this section are current
provisions and apply to active plan participants. Vested, terminated employees who are
entitled to benefits but are not receiving them yet are bound by the provisions in effect at
the time they last terminated their public service.
PERA issues a publicly available financial report that includes financial statements and
required supplementary information for PERF and PEPFF. That report may be obtained
on the internet at www.mnpera.org, by writing to PERA at 60 Empire Drive #200, St.
Paul, Minnesota, 55103-2088 or by calling (651) 296-7460 or 1-800-652-9026.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
55
B. FUNDING POLICY
Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions.
These statutes are established and amended by the state legislature. The City makes
annual contributions to the pension plans equal to the amount required by state statutes.
PERF Basic Plan members and Coordinated Plan members were required to contribute
9.1% and 6.0%, respectively, of their covered salary in 2009. PEPFF members were
required to contribute 9.4% of their covered salary in 2009. The City of Edina is required
to contribute the following percentages of annual covered payroll: 11.78% for Basic Plan
PERF members, 6.75% for Coordinated Plan PERF members, and 14.1% for PEPFF
members. Employer contribution rates for the Coordinated Plan will increase to 7%
effective January 1, 2010. The City’s contributions to the Public Employees Retirement
Fund for the years ending December 31, 2009, 2008, and 2007 were $930,938,
$860,091, and $785,482, respectively. The City’s contributions to the Public Employees
Police and Fire Fund for the years ending December 31, 2009, 2008, and 2007 were
$941,565, $855,910, and $738,399, respectively. The City’s contributions were equal to
the contractually required contributions for each year as set by state statute.
Note 8 OTHER POST-EMPLOYMENT BENEFITS PLAN
A. Plan Description
The City provides post-employment insurance benefits to certain eligible employees
through City’s Other Post-Employment Benefits Plan, a single-employer defined benefit
plan administered by the City. All post-employment benefits are based on contractual
agreements with employee groups. These contractual agreements do not include any
specific contribution or funding requirements. These benefits are summarized as follows:
Post-Employment Insurance Benefits – All retirees of the City have the option
under state law to continue their medical insurance coverage through the City
from the time of retirement until the employee reaches the age of eligibility for
Medicare. For members of all employee groups, the retiree must pay the full
premium to continue coverage for medical and dental insurance.
The City is legally required to include any retirees for whom it provides health
insurance coverage in the same insurance pool as its active employees, whether
the premiums are paid by the City or the retiree. Consequently, participating
retirees are considered to receive a secondary benefit known as an “implicit rate
subsidy.” This benefit relates to the assumption that the retiree is receiving a
more favorable premium rate than they would otherwise be able to obtain if
purchasing insurance on their own, due to being included in the same pool with
the City’s younger and statistically healthier active employees.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
56
B. Funding Policy
The required contribution is based on projected pay-as-you-go financing requirements,
with additional amounts to pre-fund benefits as determined annually by the City.
C. Annual OPEB Cost and Net OPEB Obligation
The City’s annual OPEB cost (expense) is calculated based on annual required
contributions (ARC) of the City, an amount determined on an actuarially determined basis
in accordance with the parameters of GASB Statement Nos. 43 and 45. The ARC
represents a level funding that, if paid on an ongoing basis, is projected to cover normal
costs each year and amortize any unfunded actuarial liabilities (or funding excess) over a
period not to exceed 30 years. The following table shows the components of the City’s
annual OPEB cost for the year, the amount actually contributed to the plan, and the
changes in the City’s net OPEB obligation to the plan:
Annual required contribution 439,466$
Interest on net OPEB obligation 13,838
Adjustment to annual required contribution (9,987)
Annual OPEB cost (expense)443,317
Contributions made (167,209)
Increase in net OPEB obligation 276,108
Net OPEB obligation - beginning of year 307,504
Net OPEB obligation - end of year 583,612$
The City’s annual OPEB cost, the percentage of annual OPEB cost contributed to the
plan, and the net OPEB obligation for the past two years are as follows:
Percentage of
FiscalAnnualEmployerAnnual OPEBNet OPEB
Year Ended OPEB Cost Contribution Cost Contributed Obligation
December 31, 2008439,466$ 131,962$ 30.0%307,504$
December 31, 2009443,317 167,209 37.7%583,612
D. Funded Status and Funding Progress
As of January 1, 2008, the most recent actuarial valuation date, the plan was zero
percent funded. The actuarial accrued liability for benefits was $4,638,477, and the
actuarial value of assets was $0, resulting in an unfunded actuarial accrued liability
(UAAL) of $4,638,477. The covered payroll (annual payroll of active employees covered
by the plan) was $17,071,318, and the ratio of the UAAL to the covered payroll was 27.2
percent.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
57
Actuarial valuations of an ongoing plan involve estimates of the value of reported
amounts and assumptions about the probability occurrence of events far into the future.
Examples include assumptions about future employment, mortality, and the healthcare
cost trend. Amounts determined regarding the funded status of the plan and ARCs of the
employer are subject to continual revision as actual results are compared with past
expectations and new estimates are made about the future. The Schedule of Funding
Progress immediately following the notes to the basic financial statements presents multi-
year trend information about whether the actuarial value of plan assets is increasing or
decreasing over time relative to the actuarial accrued liabilities for benefits.
E. Actuarial Methods and Assumptions
Projections of benefits for financial reporting purposes are based on the substantive plan
(the plan as understood by the employer and the plan members) and include the types of
benefits provided at the time of each valuation and the historical pattern of sharing of
benefit costs between the employer and plan members to that point. The actuarial
methods and assumptions used include techniques that are designed to reduce the
effects of short-term volatility in actuarial accrued liabilities and the actuarial value of
assets, consistent with the long-term perspective of the calculations.
In the January 1, 2008 actuarial valuation, the projected unit credit actuarial cost method
was used. The actuarial assumptions included: a 4.5 percent investment rate of return
(net of administrative expenses) based on the City’s own investments; an annual
healthcare cost trend rate of 10.0 percent initially, reduced by decrements to an ultimate
rate of 5.0 percent after ten years. The UAAL is being amortized on a level dollar basis
over a closed period. The remaining amortization period at January 1, 2008 was 30
years.
Note 9 INTERFUND RECEIVABLES, PAYABLES, AND TRANSFERS
The composition of internal balances as of December 31, 2009, is as follows:
Payable Fund Amount
General HRA 130,501$
Debt Service General 200,000
Police Special Revenue CDBG 100,000
Construction 350,000
Liquor Golf Course 1,000,000
Aquatic Center Construction 1,200,000
Art Center Arena 116,000
Total 3,096,501$
Receivable Fund
The City’s interfund receivables and payables eliminate what would have been negative cash
balances.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
58
Debt Nonmajor
General Service Construction Golf Course Business-type Total
Transfer out:
General Fund-$ -$ 3,994,468$ -$ -$ 3,994,468$
HRA Fund- 6,134,236 - - - 6,134,236
Construction Fund- 203,969 - - 272,075 476,044
Utilities Fund- - 100,000 - - 100,000
Liquor Fund765,100 - 150,000 170,000 225,000 1,310,100
765,100$ 6,338,205$ 4,244,468$ 170,000$ 497,075$ 12,014,848$
Transfer In:
Interfund transfers allow the City to allocate financial resources to the funds that receive benefit
from services provided by another fund. Many of the City’s interfund transfers fall under that
category. Non-routine transfers include the following:
1. The liquor fund transferred $765,100, $170,000, $145,000 and $80,000 to the general
fund, golf course fund, art center, and arena funds, respectively, to subsidize operations.
2. The construction fund transferred $22,075 and $250,000 to the arena and edinborough
funds, respectively, to subsidize capital improvements to those facilities.
3. The HRA fund transferred $6,134,236 of tax increment revenues to the debt service fund
to pay principal and interest on outstanding tax increment debt.
4. The general fund, utilities fund, and liquor fund transferred $50,000, $100,000, and
$150,000, respectively, to the construction fund to fund the capital improvement program,
as planned in the 2009 budget.
5. The construction fund transferred $203,969 to the debt service fund to pay a portion of
the debt service on the gymnasium bonds.
6. The general fund transferred $700,000 of the 2008 unreserved and undesignated fund
balance to the construction fund according to the City’s fund balance policies to fund the
capital improvement program.
7. The general fund transferred $3,244,468 to the construction fund to move the equipment
replacement program to the construction fund.
Note 10 TAX INCREMENT DISTRICTS
The City of Edina is the administering authority for the following Tax Increment Districts:
District number 1200 (50th and France Commercial Area) is a redevelopment district established
in 1974 pursuant to Minnesota Statutes with a termination date of 2009.
District number 1201 (Southeast Edina Redevelopment District – Edinborough) is a
redevelopment district established in 1977 pursuant to Minnesota Statutes with a termination date
of 2009.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
59
District number 1202 (Grandview Commercial Area) is a redevelopment district established in
1984 pursuant to Minnesota Statutes with a termination date of 2010.
District number 1203 (Southeast Edina Redevelopment District – Centennial Lakes) is a
redevelopment district established in 1988 pursuant to Minnesota Statutes with a termination date
of 2016.
District number 1207 (70th and Cahill Economic Development District) is an economic district
established in 1990 pursuant to Minnesota Statutes with a decertification date of 2000. Increment
previously collected is available for expenditures within the larger development district that
includes the Wooddale – Valley View commercial area. Tax capacity and debt for this district is
not included in the following schedule as county reports no longer indicate captured tax capacity
for this district and no debt is outstanding.
The following table reflects values as of December 31, 2009:
TIF #1200TIF #1201TIF #1202TIF #1203Total
Original tax capacity112,826$ 94,319$ 164,885$ 229,691$ 601,721$
Current tax capacity1,635,539 3,146,003 1,656,552 4,470,822 10,908,916
Tax capacity change1,522,713 3,051,684 1,491,667 4,241,131 10,307,195
Captured tax capacity value:
Retained captured tax capacity1,522,713$ 3,051,684$ 1,491,667$ 4,241,131$ 10,307,195$
Total bonds issued
(general obligation)5,360,000$ 22,445,000$ 9,637,555$ 35,894,724$ 73,337,279$
Amounts redeemed5,360,000 22,445,000 7,607,555 33,799,724 69,212,279
Outstanding bonds at
December 31, 2009-$ -$ 2,030,000$ 2,095,000$ 4,125,000$
Note 11 CONTINGENCIES
A. RISK MANAGEMENT
The City is exposed to various risks of loss related to torts, theft of, damage to and
destruction of assets; errors and omissions; injuries to employees; and natural disasters.
Worker’s compensation insurance is provided through the League of Minnesota Cities
Insurance Trust (LMCIT). The City has a $10,000 deductible per occurrence, with a
$500,000 annual maximum.
Automobile and general liability coverage is provided through an insurance company.
The City pays an annual premium for this coverage and all claims are paid from the plan
up to the annual maximum of $600,000. The City is not subject to a deductible for
automobile or general liability coverage.
Property coverage is also provided by an insurance company. The City pays an annual
premium for this coverage, and all claims are paid for by the plan. The City has $2,500 -
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
60
$25,000 deductibles per occurrence depending on claim type, with an annual maximum
of $83,446,936.
Police professional insurance coverage is provided by an insurance company. The City
pays an annual premium for this coverage, and has a $10,000 deductible per occurrence,
with a $500,000 annual maximum.
Settlement claims have not exceeded insurance coverage for each of the past three
years. There were not significant reductions in insurance coverage during 2009.
B. LITIGATION
The City attorney has indicated that existing and pending lawsuits, claims and other
actions in which the City is a defendant are either covered by insurance; of an immaterial
amount; or, in the judgment of the City attorney, remotely recoverable by plaintiffs.
C. FEDERAL AND STATE FUNDS
The City receives financial assistance from federal and state governmental agencies in
the form of grants. The disbursement of funds received under these programs generally
requires compliance with the terms and conditions specified in the grant agreements and
is subject to audit by the grantor agencies. Any disallowed claims resulting from such
audits could become a liability of the applicable fund. However, in the opinion of
management, any such disallowed claims will not have a material effect on any of the
financial statements of the individual fund types included herein or on the overall financial
position of the City at December 31, 2009.
D. TAX INCREMENT DISTRICTS
The City’s tax increment districts are subject to review by the State of Minnesota Office of
the State Auditor (OSA). Any disallowed claims or misuse of tax increments could
become a liability of the applicable fund. Management is not aware of any instances of
noncompliance which would have a material effect on the financial statements.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
61
Note 12 CONDUIT DEBT OBLIGATION
As of December 31, 2009, the City of Edina had 4 series of Housing and Health Care Revenue
Bonds, with an aggregate principal amount payable of $31,560,000. The bonds are payable
solely from revenues of the respective organizations and do not constitute an indebtedness of the
City, and are not a charge against its general credit or taxing power. Accordingly, the bonds are
not reported as liabilities in the accompanying financial statements.
Note 13 JOINT VENTURE
The City is a participant with the City of Bloomington, the City of Eden Prairie and the
Metropolitan Airport Commission in a joint venture to construct and operate a facility to be used
for the training of law enforcement officers and firefighters. The South Metro Public Safety
Training Facility Association (PSTF) is governed by a Board consisting of one representative from
each Member. On dissolution of the Association, the Facility shall revert to the City of Edina, and
all remaining assets shall be divided among the members based on the Cost Sharing Formula. In
accordance with the joint venture agreement, each member of the association will share in the
cost of the construction and operation based on the Cost Sharing Formula. The City’s net
investment is reported in the governmental activities capital assets. The City’s equity interest in
the PSTF was $1,452,465. Complete financial statements for PSTF can be obtained from the City
of Edina, 4801 West 50th Street, Edina, MN 55424.
Note 14 RELATED PARTY TRANSACTIONS
The City pays an annual membership fee to the South Metro Public Safety Training Facility as
part of the joint venture agreement. The membership fee is paid by the Police and Fire
departments and is based on a Cost Sharing Formula. For the year ended December 31, 2009,
the City paid a total of $35,044 in membership fees to the PSTF.
The City also pays an annual membership fee to the I-494 Corridor Commission as part of the
joint venture agreement. The membership fee is paid by the commissions and projects
department and is based on a Cost Sharing Formula. For the year ended December 31, 2009,
the City paid a total of $10,831 in membership fees to the I-494 Corridor Commission.
CITY OF EDINA, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2009
62
Note 15 DESIGNATIONS AND RESERVATIONS OF FUND BALANCE
At December 31, 2009 the City had designated and reserved portions of its various fund balances
through legal restriction and City Council authorization. A summary of such designations and
reservations is as follows:
December 31, 2009
General Fund:
Reserved for prepaid items18,241$
Designated for park dedication178,295
Designated for investments25,817
Designated for compensated absences1,436,533
Designated for cash flow9,454,214
Debt Service Fund:
Reserved for debt service5,454,132
Construction Fund:
Reserved for encumbrances6,838,361
Reserved for special projects200,343
Reserved for construction projects2,730,517
Designated for equipment replacement3,244,468
Designated for capital improvements3,439,200
33,020,121$
Note 16 SPECIAL ITEMS
During 2009 the City experienced a significant watermain break that overloaded the local sanitary
sewer system capacity causing sewage backups in several homes. The City’s insurance carrier
reviewed the event and determined that neither they nor the City would be liable for the property
damage. However, the City Council decided that the City would voluntarily reimburse property
owners for damage up to a limit, based on an independent assessment of the damage caused.
The Utilities fund paid claims of $215,196 for this event in 2009. No material claims related to the
voluntary payment program are believed to be outstanding at year-end.
CITY OF EDINA, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2009
Variance with
2009Final Budget -
ActualOver
OriginalFinalAmounts(Under)
Revenues:
General property taxes:
Current21,040,691$ 21,040,691$ 20,721,987$ (318,704)$
Penalties and interest12,000 12,000 20,180 8,180
Total general property taxes21,052,691 21,052,691 20,742,167 (310,524)
Licenses and permits:2,797,715 2,797,715 2,081,139 (716,576)
Intergovernmental:
Federal:36,000 36,000 104,906 68,906
State:
Municipal state aid195,000 195,000 195,000 -
Other51,000 51,000 126,973 75,973
State aid - police 355,000 355,000 338,684 (16,316)
Health programs120,000 120,000 119,086 (914)
Total intergovernmental757,000 757,000 884,649 127,649
Charges for services:
Building Department5,300 5,300 29,132 23,832
City Clerk5,300 5,300 8,862 3,562
Fire Department48,000 48,000 31,237 (16,763)
Ambulance fees1,545,000 1,545,000 1,556,146 11,146
Police Department200,950 200,950 172,878 (28,072)
Engineering155,000 155,000 210,071 55,071
Health Department7,700 7,700 6,580 (1,120)
Planning Department26,750 26,750 16,536 (10,214)
Housing Foundation Contract24,000 24,000 37,870 13,870
HRA Services 20,600 20,600 28,377 7,777
Park Registration 96,000 96,000 103,530 7,530
Senior Center 100,000 100,000 94,525 (5,475)
Other fees 5,000 5,000 1,540 (3,460)
50th & France Assessment 69,000 69,000 69,000 -
Charges to other funds 392,880 392,880 392,880 -
Total charges for services 2,701,480 2,701,480 2,759,164 57,684
Fines and forfeits 900,000 900,000 1,148,440 248,440
Miscellaneous:
Rental of property 315,000 315,000 342,446 27,446
Investment income 322,772 322,772 37,668 (285,104)
Donations 10,200 10,200 28,367 18,167
Other 6,000 6,000 15,039 9,039
Total miscellaneous 653,972 653,972 423,520 (230,452)
Total revenues 28,862,858 28,862,858 28,039,079 (823,779)
Budgeted Amounts
63
CITY OF EDINA, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND (CONTINUED)
For The Year Ended December 31, 2009
Variance with
2009Final Budget -
ActualUnder
OriginalFinalAmounts(Over)
Expenditures:
General government:
Mayor and Council:
Current:
Personal services45,829$ 45,829$ 46,150$ (321)$
Contractual services12,355 12,355 8,105 4,250
Commodities1,200 1,200 1,214 (14)
Central services31,932 31,932 27,582 4,350
Total mayor and council91,316 91,316 83,051 8,265
Administration:
Current:
Personal services870,456 870,456 837,215 33,241
Contractual services193,650 193,650 156,602 37,048
Commodities4,780 4,780 766 4,014
Central services76,236 76,236 64,196 12,040
Total current1,145,122 1,145,122 1,058,779 86,343
Capital outlay6,360 6,360 332 6,028
Total administration1,151,482 1,151,482 1,059,111 92,371
Planning:
Current:
Personal services364,502 364,502 372,582 (8,080)
Contractual services48,055 48,055 24,472 23,583
Commodities1,960 1,960 - 1,960
Central services59,076 59,076 49,764 9,312
Total current473,593 473,593 446,818 26,775
Capital outlay2,010 2,010 1,862 148
Total planning 475,603 475,603 448,680 26,923
Finance:
Current:
Personal services 519,682 519,682 513,840 5,842
Contractual services 109,800 109,800 96,560 13,240
Commodities 3,400 3,400 2,236 1,164
Central services 58,452 58,452 49,252 9,200
Total current 691,334 691,334 661,888 29,446
Capital outlay 6,300 6,300 - 6,300
Total finance 697,634 697,634 661,888 35,746
Election:
Current:
Personal services 143,876 143,876 104,907 38,969
Contractual services 32,319 32,319 11,668 20,651
Commodities 19,393 19,393 6,783 12,610
Central services 15,168 15,168 12,466 2,702
Total current 210,756 210,756 135,824 74,932
Capital outlay - - 985 (985)
Total election 210,756 210,756 136,809 73,947
Budgeted Amounts
64
CITY OF EDINA, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND (CONTINUED)
For The Year Ended December 31, 2009
Variance with
2009Final Budget -
ActualUnder
OriginalFinalAmounts(Over)
Budgeted Amounts
Assessing:
Current:
Personal services660,133$ 660,133$ 651,457$ 8,676$
Contractual services116,100 116,100 87,395 28,705
Commodities3,000 3,000 637 2,363
Central services71,760 71,760 60,288 11,472
Total current850,993 850,993 799,777 51,216
Capital outlay12,695 12,695 13,474 (779)
Total assessing863,688 863,688 813,251 50,437
Legal and court services:
Current:
Contractual services371,800 371,800 339,744 32,056
Commissions and projects:
Current:
Personal services130,000 130,000 213,379 (83,379)
Contractual services506,232 506,232 266,441 239,791
Commodities- - 1,680 (1,680)
Total commissions and projects636,232 636,232 481,500 154,732
Total general government4,498,511 4,498,511 4,024,034 474,477
Public safety:
Police protection:
Current:
Personal services6,453,422 6,453,422 6,289,875 163,547
Contractual services399,650 399,650 359,935 39,715
Commodities67,182 67,182 57,476 9,706
Central services961,236 961,236 801,135 160,101
Total current7,881,490 7,881,490 7,508,421 373,069
Capital outlay265,533 265,533 75,456 190,077
Total police protection 8,147,023 8,147,023 7,583,877 563,146
Fire protection:
Current:
Personal services 3,694,178 3,694,178 3,530,757 163,421
Contractual services 321,500 321,500 319,454 2,046
Commodities 166,000 166,000 191,064 (25,064)
Central services 332,484 332,484 270,727 61,757
Total current 4,514,162 4,514,162 4,312,002 202,160
Capital outlay 201,247 201,247 230,313 (29,066)
Total fire protection 4,715,409 4,715,409 4,542,315 173,094
65
CITY OF EDINA, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND (CONTINUED)
For The Year Ended December 31, 2009
Variance with
2009Final Budget -
ActualUnder
OriginalFinalAmounts(Over)
Budgeted Amounts
Civil defense:
Current:
Personal services38,800$ 38,800$ 38,800$ -$
Contractual services10,026 10,026 7,812 2,214
Commodities12,110 12,110 8,278 3,832
Total current60,936 60,936 54,890 6,046
Capital outlay5,683 5,683 13,425 (7,742)
Total civil defense66,619 66,619 68,315 (1,696)
Animal Control:
Current:
Personal services69,897 69,897 70,489 (592)
Contractual services8,795 8,795 9,826 (1,031)
Commodities4,299 4,299 2,050 2,249
Central services9,312 9,312 7,590 1,722
Total current92,303 92,303 89,955 2,348
Capital outlay7,534 7,534 - 7,534
Total animal control99,837 99,837 89,955 9,882
Public health:
Current:
Personal services272,872 272,872 258,358 14,514
Contractual services198,234 198,234 192,565 5,669
Commodities1,407 1,407 1,673 (266)
Central services35,436 35,436 29,850 5,586
Total current507,949 507,949 482,446 25,503
Capital outlay 5,682 5,682 - 5,682
Total public health513,631 513,631 482,446 31,185
Inspections:
Current:
Personal services 910,454 910,454 847,385 63,069
Contractual services 70,021 70,021 62,910 7,111
Commodities 9,265 9,265 5,325 3,940
Central services 94,008 94,008 78,704 15,304
Total current 1,083,748 1,083,748 994,324 89,424
Capital outlay 22,452 22,452 1,379 21,073
Total inspections 1,106,200 1,106,200 995,703 110,497
Total public safety 14,648,719 14,648,719 13,762,611 886,108
66
CITY OF EDINA, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND (CONTINUED)
For The Year Ended December 31, 2009
Variance with
2009Final Budget -
ActualUnder
OriginalFinalAmounts(Over)
Budgeted Amounts
Public works:
Administration:
Current:
Personal services190,941$ 190,941$ 169,697$ 21,244$
Contractual services7,300 7,300 6,049 1,251
Commodities850 850 - 850
Central services23,856 23,856 20,151 3,705
Total administration222,947 222,947 195,897 27,050
Engineering:
Current:
Personal services813,584 813,584 825,592 (12,008)
Contractual services102,100 102,100 94,937 7,163
Commodities18,370 18,370 11,159 7,211
Central services122,004 122,004 101,580 20,424
Total current1,056,058 1,056,058 1,033,268 22,790
Capital outlay51,084 51,084 25,373 25,711
Total engineering1,107,142 1,107,142 1,058,641 48,501
Street maintenance:
Current:
Personal services2,198,050 2,198,050 2,026,026 172,024
Contractual services755,090 755,090 699,374 55,716
Commodities1,031,735 1,031,735 896,542 135,193
Central services915,276 915,276 746,157 169,119
Total current4,900,151 4,900,151 4,368,099 532,052
Capital outlay294,454 294,454 28,776 265,678
Total street maintenance5,194,605 5,194,605 4,396,875 797,730
Total public works 6,524,694 6,524,694 5,651,413 873,281
67
CITY OF EDINA, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND (CONTINUED)
For The Year Ended December 31, 2009
Variance with
2009Final Budget -
ActualUnder
OriginalFinalAmounts(Over)
Budgeted Amounts
Parks:
Administration:
Current:
Personal services646,249$ 646,249$ 613,614$ 32,635$
Contractual services34,844 34,844 29,037 5,807
Commodities2,986 2,986 10,087 (7,101)
Central services71,760 71,760 60,395 11,365
Total current755,839 755,839 713,133 42,706
Capital outlay7,088 7,088 324 6,764
Total administration762,927 762,927 713,457 49,470
Recreation:
Current:
Personal services198,875 198,875 175,560 23,315
Contractual services182,343 182,343 151,362 30,981
Commodities51,655 51,655 50,313 1,342
Total recreation432,873 432,873 377,235 55,638
Maintenance:
Current:
Personal services1,574,630 1,574,630 1,630,190 (55,560)
Contractual services516,391 516,391 384,891 131,500
Commodities199,608 199,608 174,758 24,850
Central services353,088 353,088 289,448 63,640
Total current2,643,717 2,643,717 2,479,287 164,430
Capital outlay121,517 121,517 165,670 (44,153)
Total maintenance2,765,234 2,765,234 2,644,957 120,277
Total parks3,961,034 3,961,034 3,735,649 225,385
Total expenditures 29,632,958 29,632,958 27,173,707 2,459,251
Revenues over (under) expenditures (770,100) (770,100) 865,372 1,635,472
Other financing sources (uses):
Transfer from other funds 765,100 765,100 765,100 -
Transfer to other funds (50,000) (750,000) (3,994,468) (3,244,468)
Sale of capital assets 55,000 55,000 34,592 (20,408)
Total financing sources (uses)770,100 70,100 (3,194,776) (3,264,876)
Net increase (decrease) in fund balance -$ (700,000)$ (2,329,404) (1,629,404)$
Fund balance - January 1 14,379,003
Fund balance - December 31 12,049,599$
68
CITY OF EDINA, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
OTHER POST-EMPLOYMENT BENEFITS PLAN
SCHEDULE OF FUNDING PROGRESS
For The Year Ended December 31, 2009
UnfundedUnfunded
ActuarialActuarialActuarialActuarialLiability as a
ValuationAccruedValue ofAccruedFundedCoveredPercentage of
Date Liability Plan Assets Liability Ratio Payroll Payroll
January 1, 20084,638,477$ -$ 4,638,477$ 0.0%17,071,318$ 27.2%
69
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70
CITY OF EDINA, MINNESOTA
NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2009
71
Note A LEGAL COMPLIANCE – BUDGETS
The City follows these procedures in establishing the budgetary data reflected in the financial
statements:
1. The City Manager submits to the City Council a proposed operating budget for the fiscal year
commencing the following January 1. The operating budget includes proposed expenditures
and the means of financing them.
2. Public hearings are conducted to obtain taxpayer comments.
3. The budget is legally enacted by the passage of a resolution by the City Council.
4. Formal budgetary integration is employed as a management control device during the year.
5. Budgets for the General Fund and the Community Development Block Grant Fund are
adopted on a basis consistent with generally accepted accounting principles (GAAP).
6. The City Manager may authorize transfers of budgeted amounts between departments.
7. Reported budget amounts are as originally adopted or as amended by Council-approved
supplemental appropriations and budget transfers.
8. Expenditures may not legally exceed appropriations by department unless offset by increases
in revenues. All unencumbered appropriations lapse at year-end.
CITY OF EDINA, MINNESOTA
NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2009
72
Note B EXCESS OF EXPENDITURES OVER APPROPRIATIONS
The General Fund budget is legally adopted on a basis consistent with accounting principles
generally accepted in the United States of America. The legal level of budgetary control is at the
department level for the General Fund. The following is a listing of General Fund departments whose
expenditures exceed budget appropriations.
Final Over
Budget Actual Budget
Public Safety:
Civil defense66,619$ 68,315$ 1,696$
Excess expenditures in the civil defense department are funded by available general fund balance
designated for our equipment replacement program.
Excess expenditures of $119,096 in the CDBG fund are due to timing differences between the grant
period and the City’s fiscal year. All CDBG expenditures are reimbursed by the County.
A Special Revenue Fund is used to account for the proceeds of specific revenue
sources that are legally restricted to expenditures for specified purposes.
The following are nonmajor special revenue funds:
Community Development Block Grant Fund - This fund was established to
account for funds received under Title I of the Housing and Community
Development Act of 1974.
Communications Fund - This fund was established to account for funds received
from the franchise fee of the local cable television service.
Police Special Revenue Fund - This fund was established to account for funds
received for specific purposes within the police department, including
E-911 and forfeiture funds.
NONMAJOR GOVERNMENTAL FUNDS
Special Revenue Funds
73
CITY OF EDINA, MINNESOTA
COMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS
December 31, 2009
Community Total Nonmajor
Development PoliceSpecial Revenue
Block GrantCommunicationSpecial RevenueFunds
Assets
Cash and cash equivalents 59$ 81,470$ 83,861$ 165,390$
Investments - 717,996 - 717,996
Accrued interest receivable - 4,534 - 4,534
Accounts receivable - 181,192 - 181,192
Due from other funds - - 450,000 450,000
Due from other governments 100,075 - - 100,075
Total assets 100,134$ 985,192$ 533,861$ 1,619,187$
Liabilities and Fund Balance
Liabilities:
Accounts payable -$ 14,412$ 274$ 14,686$
Salaries payable 134 11,228 144 11,506
Due to other funds 100,000 - - 100,000
Unearned revenue - 6,354 - 6,354
Total liabilities 100,134 31,994 418 132,546
Fund balance:
Unreserved:
Undesignated - 953,198 533,443 1,486,641
Total fund balance - 953,198 533,443 1,486,641
Total liabilities and fund balance 100,134$ 985,192$ 533,861$ 1,619,187$
74
CITY OF EDINA, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
NONMAJOR SPECIAL REVENUE FUNDS
For The Year Ended December 31, 2009
CommunityTotal Nonmajor
DevelopmentPoliceSpecial Revenue
Block GrantCommunicationSpecial RevenueFunds
Revenues:
Franchise fees-$ 667,791$ -$ 667,791$
Intergovernmental278,052 - 68,340 346,392
Fines and forfeitures- - 76,543 76,543
Investment income- 20,552 278 20,830
Other- 101,679 - 101,679
Total revenues278,052 790,022 145,161 1,213,235
Expenditures:
Current:
General government278,052 671,125 - 949,177
Public safety- - 190,282 190,282
Total expenditures278,052 671,125 190,282 1,139,459
Net increase (decrease) in fund balance- 118,897 (45,121) 73,776
Fund balance - January 1- 834,301 578,564 1,412,865
Fund balance - December 31-$ 953,198$ 533,443$ 1,486,641$
75
CITY OF EDINA, MINNESOTA
SPECIAL REVENUE FUND - COMMUNITY DEVELOPMENT BLOCK GRANT
SCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
For The Year Ended December 31, 2009
Variance with
Final budget -
ActualOver
OriginalFinalAmounts(Under)
Revenues:
Intergovernmental 158,956$ 158,956$ 278,052$ 119,096$
Expenditures:
Current:
General government 158,956 158,956 278,052 119,096
Net increase (decrease) in fund balance -$ -$ -$ -$
Fund balance - January 1 -
Fund balance - December 31 -$
Budgeted Amounts
76
Enterprise funds account for the financing of self-supporting activities of
governmental units which render services to the general public on a user charge
basis. The following are nonmajor enterprise funds:
Arena Fund - This fund accounts for activities related to the Braemar Ice Arena.
Art Center Fund - This fund accounts for activities related to the City's Art Center.
Edinborough/Centennial Lakes Fund - This fund accounts for activities at two
of the City's parks; Edinborough Park and Centennial Lakes Park.
NONMAJOR PROPRIETARY FUNDS
Enterprise Funds
77
CITY OF EDINA, MINNESOTA
COMBINING STATEMENT OF NET ASSETS
NONMAJOR PROPRIETARY FUNDS
December 31, 2009
Total Nonmajor
ArtEdinborough ParkProprietary
Arena Center Centennial Lakes Funds
Assets
Current assets:
Cash and cash equivalents485$ 14,835$ 1,745$ 17,065$
Investments - unrestricted114,013 - 3,121,305 3,235,318
Investments - restricted2,305,432 - - 2,305,432
Interest receivable74 - 19,711 19,785
Accounts receivable128,990 - 1,440 130,430
Due from other funds- 116,000 - 116,000
Inventory- 12,743 - 12,743
Total current assets2,548,994 143,578 3,144,201 5,836,773
Noncurrent assets:
Deferred charges28,158 - - 28,158
Net capital assets2,352,277 230,986 1,613,473 4,196,736
Total noncurrent assets2,380,435 230,986 1,613,473 4,224,894
Total assets4,929,429 374,564 4,757,674 10,061,667
Liabilities:
Current liabilities:
Accounts payable35,076 19,041 76,550 130,667
Salaries payable32,201 8,164 41,392 81,757
Due to other funds116,000 - - 116,000
Due to other governments1,771 743 5,211 7,725
Unearned revenue- 7,267 48,692 55,959
Compensated absences payable57,375 18,881 60,576 136,832
Total current liabilities242,423 54,096 232,421 528,940
Noncurrent liabilities:
OPEB payable7,150 1,973 11,705 20,828
Compensated absences86,062 28,322 90,864 205,248
Bonds payable, net of
unamortized discounts 2,453,662 - - 2,453,662
Total noncurrent liabilities2,546,874 30,295 102,569 2,679,738
Total liabilities2,789,297 84,391 334,990 3,208,678
Net assets:
Invested in capital assets,
net of related debt2,204,047 230,986 1,613,473 4,048,506
Unrestricted (63,915) 59,187 2,809,211 2,804,483
Total net assets2,140,132$ 290,173$ 4,422,684$ 6,852,989$
78
CITY OF EDINA, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET ASSETS
NONMAJOR PROPRIETARY FUNDS
For The Year Ended December 31, 2009
Total Nonmajor
Edinborough ParkProprietary
Arena Art Center Centennial Lakes Funds
Operating revenues:
Sales - retail2,026$ 41,883$ -$ 43,909$
Sales - concessions5,692 444 59,413 65,549
Memberships3,716 25,496 57,078 86,290
Admissions111,481 - 563,966 675,447
Building rental1,157,522 - 240,489 1,398,011
Rental of equipment2,997 - 103,761 106,758
Greens fees- - 215,710 215,710
Class registration & other fees130,976 400,394 483,640 1,015,010
Total operating revenues1,414,410 468,217 1,724,057 3,606,684
Operating expenses:
Cost of sales and services880 21,094 51,904 73,878
Personal services654,132 244,329 1,196,568 2,095,029
Contractual services608,683 293,356 530,599 1,432,638
Commodities73,241 59,568 281,532 414,341
Central Services41,905 34,847 79,145 155,897
Depreciation286,241 30,124 148,125 464,490
Total operating expenses1,665,082 683,318 2,287,873 4,636,273
Operating loss(250,672) (215,101) (563,816) (1,029,589)
Nonoperating revenues (expenses):
Excess tax increments100,124 100,124 - 200,248
Investment income (loss)(5,924) - 74,728 68,804
Donations- 19,302 - 19,302
Interest and fiscal charges(42) - - (42)
Amortization of bond discount(60) - - (60)
Gain (loss) on sale of
capital asset- - 2,250 2,250
Total nonoperating
revenues (expenses)94,098 119,426 76,978 290,502
Income (loss) before transfers(156,574) (95,675) (486,838) (739,087)
Transfers:
Transfers in 102,075 145,000 250,000 497,075
Total transfers 102,075 145,000 250,000 497,075
Change in net assets(54,499) 49,325 (236,838) (242,012)
Net assets - January 1 2,194,631 240,848 4,659,522 7,095,001
Net assets - December 312,140,132$ 290,173$ 4,422,684$ 6,852,989$
79
CITY OF EDINA, MINNESOTA
COMBINING STATEMENT OF CASH FLOWS
NONMAJOR PROPRIETARY FUNDS
For The Year Ended December 31, 2009
Total Nonmajor
ArtEdinborough ParkProprietary
Arena Center Centennial Lakes Funds
Cash flows from operating activities:
Receipts from customers and users1,408,372$ 468,262$ 1,729,362$ 3,605,996$
Payment to suppliers(715,951) (411,244) (1,133,012) (2,260,207)
Payment to employees(630,015) (237,119) (1,178,918) (2,046,052)
Donations- 19,302 - 19,302
Net cash provided by (used in)
operating activities62,406 (160,799) (582,568) (680,961)
Cash flows from noncapital financing activities:
Excess tax increments100,124 100,124 - 200,248
Transfer from other funds102,075 145,000 250,000 497,075
Proceeds from interfund borrowing101,000 - - 101,000
Payment of interfund borrowing- (101,000) - (101,000)
Net cash provided by noncapital
financing activities303,199 144,124 250,000 697,323
Cash flows from capital and related financing activities:
Proceeds of capital debt2,425,443 - - 2,425,443
Acquisition of capital assets(136,088) - (582,631) (718,719)
Proceeds from sale
of capital assets- - 2,250 2,250
Principal paid on bonds(225,000) - - (225,000)
Interest paid on bonds(4,162) - - (4,162)
Net cash used in capital and
related financing activities2,060,193 - (580,381) 1,479,812
Cash flows from investing activities:
Proceeds from sales of investments- - 715,922 715,922
Purchase of investments(2,425,591) - - (2,425,591)
Investment income148 - 184,078 184,226
Net cash flows provided by (used in).investing activities (2,425,443) - 900,000 (1,525,443)
Net increase (decrease) in cash
and cash equivalents355 (16,675) (12,949) (29,269)
Cash and cash equivalents - January 1130 31,510 14,694 46,334
Cash and cash equivalents - December 31485$ 14,835$ 1,745$ 17,065$
Reconciliation of operating loss to net cash
provided (used) by operating activities:
Operating loss (250,672)$ (215,101)$ (563,816)$ (1,029,589)$
Adjustments to reconcile operating loss
to net cash flows from operating activities:
Depreciation286,241 30,124 148,125 464,490
Donations- 19,302 - 19,302
Changes in assets and liabilities:
Decrease (increase) in receivables(6,038) - 5,969 (69)
Decrease (increase) in inventory- (1,307) - (1,307)
Increase (decrease) in accounts payable7,711 (1,062) (189,046) (182,397)
Increase (decrease) in salaries payable10,171 933 (3,177) 7,927
Increase (decrease) in due to
other governments1,047 (10) (786) 251
Increase (decrease) in unearned revenue- 45 (664) (619)
Increase (decrease) in OPEB payable3,383 933 5,538 9,854
Increase (decrease) in
compensated absences10,563 5,344 15,289 31,196
Total adjustments313,078 54,302 (18,752) 348,628
Net cash provided by (used in)
operating activities62,406$ (160,799)$ (582,568)$ (680,961)$
Noncash investing activities:
Increase (decrease) in
fair value of investments(6,146)$ -$ (99,099)$ (105,245)$
80
Agency funds are used to report resources held by the City in a purely custodial
capacity. The following are agency funds:
Police Seizure Fund - This fund accounts for assets seized by the Police
Department.
Public Safety Training Facility - This fund accounts for assets and liabilities of the
South Metro Public Safety Training Facility, which is a joint venture that the City has
fiduciary responsibilities for.
Payroll Fund - This fund accounts for assets withheld from employee paychecks
that the City plans to remit to various third parties, including state & local
governments, insurance providers, and others.
I-494 Corridor Commission - This fund accounts for assets and liabilities of the
I-494 Corridor Commission, which is a joint venture that the City has
fiduciary responsibilities for.
FIDUCIARY FUNDS
Agency Funds
81
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82
CITY OF EDINA, MINNESOTA
COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
AGENCY FUNDS
For The Year Ended December 31, 2009
BalanceBalance
January 1AdditionsDeductionsDecember 31
POLICE SEIZURE
Assets:
Cash 21,505$ 1,184$ -$ 22,689$
Liabilities:
Due to other governmental units 21,505$ 1,184$ -$ 22,689$
PUBLIC SAFETY TRAINING FACILITY
Assets:
Cash13,104$ -$ 8,602$ 4,502$
Investments 245,000 - - 245,000
Total Assets 258,104$ -$ 8,602$ 249,502$
Liabilities:
Accounts payable15,605$ -$ 11,448$ 4,157$
Salaries payable4,187 529 - 4,716
Due to other governmental units 238,312 2,317 - 240,629
Total Liabilities 258,104$ 2,846$ 11,448$ 249,502$
PAYROLL
Assets:
Cash 14,016$ 16,233$ -$ 30,249$
Liabilities:
Accounts payable 14,016$ 16,233$ -$ 30,249$
I-494 CORRIDOR COMMISSION
Assets:
Cash -$ 119,608$ -$ 119,608$
Liabilities:
Due to other governmental units -$ 119,608$ -$ 119,608$
TOTALS - ALL AGENCY FUNDS
Assets:
Cash48,625$ 137,025$ 8,602$ 177,048$
Investments 245,000 - - 245,000
Total Assets 293,625$ 137,025$ 8,602$ 422,048$
Liabilities:
Accounts payable29,621$ 16,233$ 11,448$ 34,406$
Salaries payable4,187 529 - 4,716
Due to other governmental units 259,817 123,109 - 382,926
Total Liabilities 293,625$ 139,871$ 11,448$ 422,048$
83
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84
CITY OF EDINA, MINNESOTA
TAX CAPACITY, TAX LEVIES AND TAX CAPACITY RATES
(shown by year of tax collectibility)
2006 2007 2008 2009 2010
Total tax capacity 101,947,912$ 113,428,895$ 120,084,430$ 122,532,149$ 122,737,754$
Increment valuation (7,980,069) (8,771,951) (9,771,137) (10,307,195) (5,482,305)
Contribution to fiscal
disparities pool (7,107,862) (8,486,997) (9,358,999) (10,393,526) (10,942,782)
Tax capacity used
for rate calculation 86,859,981 96,169,947 100,954,294 101,831,428 106,312,667
Fiscal disparities distribution2,411,937 2,595,376 2,895,523 3,298,549 3,537,906
Adjusted net tax capacity89,271,918$ 98,765,323$ 103,849,817$ 105,129,977$ 109,850,573$
Tax levies:
General fund18,560,151$ 19,427,890$ 20,314,404$ 21,202,691$ 20,737,472$
Equipment- - - - 940,494
Debt service 1,660,841 1,497,500 1,695,827 2,351,030 3,212,757
Total certified tax levies20,220,992 20,925,390 22,010,231 23,553,721 24,890,723
Referendum market value levy599,138 605,138 595,438 600,212 602,250
Total levy20,820,130$ 21,530,528$ 22,605,669$ 24,153,933$ 25,492,973$
Tax capacity rate:
General fund revenue20.755 19.636 19.563 20.204 20.004
Bonds & interest 1.858 1.514 1.634 2.243 2.968
Total tax capacity rate22.613 21.150 21.197 22.447 22.972
Market value rate0.00703 0.00641 0.00601 0.00597 0.00606
85
CITY OF EDINA, MINNESOTA
COMBINED SCHEDULE OF BONDED INDEBTEDNESS
December 31, 2009
Final
InterestMaturityOriginal
RatesDateDateIssue Redeemed
Tax Increment Bonds:
Tax Increment Bonds, Series 2000A4.30 - 4.8009/06/0002/01/112,620,000$ 1,700,000$
Tax Increment Bonds, Series 2002B3.00%08/05/0202/01/121,400,000 -
Tax Increment Refunding Bonds, Series 2005B3.00%07/19/0502/01/0910,520,000 7,285,000
Tax Increment Taxable Refunding Bonds,
Series 2005C3.75 - 4.2507/19/0502/01/096,220,000 4,335,000
Tax Increment Refunding Bonds, Series 2005D3.00 - 3.4007/19/0502/01/133,505,000 930,000
Total Tax Increment Bonds24,265,000 14,250,000
General Obligation Bonds:
GO Park & Recreation Refunding Bonds,
Series 2005A3.50 - 4.0007/19/0502/01/175,375,000 820,000
GO Capital Improvement Plan, Series 2007A4.00 - 4.2505/24/0702/01/285,865,000 -
GO Capital Improvement Plan, Series 2009A3.00 - 4.4004/29/0902/01/30- -
GO Equipment Certificates, Series 2009B2.00 - 3.0004/29/0901/01/12- -
Total General Obligation Bonds11,240,000 820,000
Permanent Improvement Revolving (PIR) Bonds:
GO Permanent Improvement Revolving,
Series 2005E3.00 - 3.7509/13/0502/01/161,460,000 315,000
GO Permanent Improvement Revolving
Series 2007C3.60 - 4.2505/24/0702/01/195,870,000 -
GO Permanent Improvement Revolving
Series 2008B3.00 - 4.0008/28/0802/01/207,755,000 -
Total PIR Bonds15,085,000 315,000
Public Project Revenue Bonds:
Public Project Revenue, Series 20024.00 - 5.2501/01/0202/01/2112,410,000 2,785,000
Public Project Revenue, Series 20053.00 - 4.1309/13/0505/01/265,425,000 375,000
Taxable Public Project Revenue, Series 2009A2.10 - 4.5511/24/0902/01/30- -
Taxable Public Project Revenue, Series 2009B1.95 - 5.8011/24/0902/01/30 - -
Total Public Project Revenue Bonds17,835,000 3,160,000
Revenue Bonds:
Recreational Facility Bonds, Series 1999B3.70 - 4.4505/03/9901/01/133,270,000 1,595,000
Recreational Facility Bonds, Series 2001A2.25 - 4.6511/01/0101/01/174,620,000 3,450,000
Recreational Facility Bonds, Series 2009B2.00 - 3.0004/29/0901/01/17- -
Recreational Facility Bonds, Series 2009C2.00 - 4.0012/10/0902/01/30- -
Utility Revenue Bonds, Series 1999A3.20 - 4.2005/03/9902/01/093,600,000 3,180,000
Utility Revenue Bonds, Series 2003C1.10 - 3.5503/01/0302/01/133,200,000 1,475,000
Utility Revenue Bonds, Series 2007B4.00%05/24/0702/01/178,210,000 770,000
Utility Revenue Bonds, Series 2008A3.00 - 4.0008/28/0802/01/1913,985,000 -
Total Public Project Revenue Bonds36,885,000 10,470,000
Total - Bonded indebtedness105,310,000$ 29,015,000$
Prior Years
86
PrincipalInterestInterest
OutstandingPayableDueDuePayable
12/31/08 Issued Payments 12/31/09 In 2010 In 2010 to Maturity
920,000$ -$ 290,000$ 630,000$ 305,000$ 22,768$ 30,568$
1,400,000 - - 1,400,000 - 42,000 105,000
3,235,000 - 3,235,000 - - - -
1,885,000 - 1,885,000 - - - -
2,575,000 - 480,000 2,095,000 500,000 61,052 142,406
10,015,000 - 5,890,000 4,125,000 805,000 125,820 277,974
4,555,000 - 435,000 4,120,000 455,000 147,250 669,107
5,865,000 - 195,000 5,670,000 205,000 227,044 2,494,547
- 14,000,000 - 14,000,000 - 638,040 6,717,417
- 230,000 - 230,000 75,000 4,642 7,793
10,420,000 14,230,000 630,000 24,020,000 735,000 1,016,976 9,888,864
1,145,000 - 150,000 995,000 150,000 32,331 121,741
5,870,000 - - 5,870,000 505,000 214,153 1,175,671
7,755,000 - - 7,755,000 - 273,794 1,816,504
14,770,000 - 150,000 14,620,000 655,000 520,278 3,113,916
9,625,000 - 550,000 9,075,000 575,000 442,499 3,059,575
5,050,000 - 195,000 4,855,000 205,000 190,381 1,869,572
- 2,595,000 - 2,595,000 - - 1,354,368
- 6,125,000 - 6,125,000 - - 3,922,734
14,675,000 8,720,000 745,000 22,650,000 780,000 632,880 10,206,249
1,675,000 - 1,675,000 - - - -
1,170,000 - 1,170,000 - - - -
- 2,010,000 - 2,010,000 415,000 46,256 132,306
- 2,440,000 - 2,440,000 - 54,670 1,085,670
420,000 - 420,000 - - - -
1,725,000 - 320,000 1,405,000 330,000 41,972 99,133
7,440,000 - 700,000 6,740,000 730,000 255,000 1,134,200
13,985,000 - 605,000 13,380,000 1,125,000 471,188 2,760,207
26,415,000 4,450,000 4,890,000 25,975,000 2,600,000 869,086 5,211,516
76,295,000$ 27,400,000$ 12,305,000$ 91,390,000$ 5,575,000$ 3,165,040$ 28,698,519$
2009
87
CITY OF EDINA, MINNESOTA
SCHEDULE OF SOURCES AND USES OF PUBLIC FUNDS
FOR 50TH & FRANCE-NO. 1200, A TAX INCREMENT FINANCING DISTRICT
(Districts 1200, 1201, 1203 and 1204 are pooled)
December 31, 2009
Accounted
OriginalAmendedfor in CurrentAmount
BudgetBudgetprior yearsyearremaining
Source of funds:
Bond proceeds 2,200,000$ 5,280,000$ 5,251,998$ -$ 28,002$
Tax increments received - 31,748,489 25,790,600 694,209 5,263,680
Real estate sales *800,000 170,782 170,782 - -
State aid - 418,871 418,871 - -
Special assessments - 1,321,096 728,505 - 592,591
Parking permits - 268,524 268,524 - -
Community development - 186,064 186,064 - -
Interest on invested funds - 2,000,000 2,747,974 - (747,974)
Other - 73,881 73,881 - -
Total sources of funds:3,000,000 41,467,707 35,637,199 694,209 5,136,299
Uses of funds:
Land acquisition - 873,061 873,061 - -
Installation of public utilities
and improvements 3,000,000 7,867,034 7,862,032 - 5,002
Bond payments:
Principal - 5,280,000 5,360,000 - (80,000)
Interest - 4,738,329 4,140,864 - 597,465
Administrative costs - 1,230,000 1,205,451 - 24,549
Paid to other governments - 21,000 20,841 - 159
Work orders - 16,257 16,257 - -
Contingencies - 11,644 11,644 - -
Interest - 463,037 463,037 - -
Miscellaneous - 62,095 63,010 - (915)
Transfer - 17,000,000 15,575,000 740,211 684,789
Total uses of funds:3,000,000 37,562,457 35,591,197 740,211 1,231,049
Funds remaining (deficit)-$ 3,905,250$ 46,002$ (46,002)$ 3,905,250$
Cost to authority Price paid by developer
* Real estate sales
Liquor store site 128,064$ 105,002$
Union oil site 134,506 65,780
262,570$ 170,782$
88
CITY OF EDINA, MINNESOTA
SCHEDULE OF SOURCES AND USES OF PUBLIC FUNDS
FOR SOUTHEAST EDINA REDEVELOPMENT DISTRICT-NO. 1201, A TAX INCREMENT FINANCING DISTRICT
(Districts 1200, 1201, 1203 and 1204 are pooled)
December 31, 2009
Accounted
OriginalAmendedfor in CurrentAmount
BudgetBudgetprior yearsyearremaining
Source of funds:
Bond proceeds 6,165,177$ 21,470,000$ 20,219,852$ -$ 1,250,148$
Tax increments received - 75,000,000 60,306,927 1,595,175 13,097,898
Real estate sales *598,005 3,000,000 2,642,115 - 357,885
Loan proceeds - 1,321,096 - - 1,321,096
Community development - 189,221 189,221 - -
Interest on invested funds - 3,500,000 2,665,830 - 834,170
Other - 50,000 1,357 - 48,643
Total sources of funds:6,763,182 104,530,317 86,025,302 1,595,175 16,909,840
Uses of funds:
Land acquisition 6,682,998 12,200,000 6,894,303 - 5,305,697
Installation of public utilities
and improvements - 16,000,000 14,278,823 - 1,721,177
Site improvements or
preparation costs 2,885,484 2,000,000 468,098 - 1,531,902
Bond payments:
Principal - 21,470,000 22,445,000 - (975,000)
Interest - 20,100,000 19,772,264 - 327,736
Administrative costs 194,700 1,800,000 1,673,988 - 126,012
Paid to other governments - 110,000 99,613 - 10,387
Transfers out - 22,000,000 19,581,699 1,638,837 779,464
Interest reduction - 1,850,000 - - 1,850,000
Parkland dedication fees - 767,852 767,852 - -
Total uses of funds:9,763,182 98,297,852 85,981,640 1,638,837 10,677,375
Funds remaining (deficit)(3,000,000)$ 6,232,465$ 43,662$ (43,662)$ 6,232,465$
Cost to authority Price paid by developer
* Real estate sales
Retail site 8,350$ 11,899$
Hotel site 192,915 192,915
Elderly site 453,740 346,534
Office site 1,027,277 784,563
Coventry Townhouses 1,318,103 1,318,103
3,000,385$ 2,654,014$
89
CITY OF EDINA, MINNESOTA
SCHEDULE OF SOURCES AND USES OF PUBLIC FUNDS
FOR GRANDVIEW AREA REDEVELOPMENT DISTRICT-NO. 1202, A TAX INCREMENT FINANCING DISTRICT
December 31, 2009
Accounted
OriginalAmendedfor inCurrentAmount
BudgetBudgetprior yearsyearremaining
Source of funds:
Bond proceeds4,500,000$ 9,900,000$ 9,475,915$ -$ 424,085$
Tax increments received- 29,737,107 15,109,770 1,325,812 13,301,525
Real estate sales *- 4,700,000 5,402,344 - (702,344)
Interest on invested funds- 300,000 1,014,888 41,376 (756,264)
Other- - 61,068 - (61,068)
Total sources of funds:4,500,000 44,637,107 31,063,985 1,367,188 12,205,934
Uses of funds:
Land acquisition- 6,500,000 4,265,416 332,715 1,901,869
Installation of public utilities
and improvements4,310,000 17,127,000 9,738,935 - 7,388,065
Bond payments:
Principal- 9,900,000 7,317,555 290,000 2,292,445
Interest- 9,190,000 3,130,660 78,677 5,980,663
Loan/note interest- - 4,000,994 593,264 (4,594,258)
Paid to other governments- - 198,978 2,068 (201,046)
Administrative costs190,000 1,920,107 1,353,171 8,992 557,944
Total uses of funds:4,500,000 44,637,107 30,005,709 1,305,716 13,325,682
Funds remaining (deficit)-$ -$ 1,058,276$ 61,472$ (1,119,748)$
Cost to authorityPrice paid by developer
* Real estate sales
5229 Eden Ave.1,822,319$
5220 Eden Circle995,000
5244 Eden Circle (condemnation deposit)309,937
5201 Eden Circle1,447,043 2,070,119
Project area23,832 4,005,694
4,598,131$ 6,075,813$
90
CITY OF EDINA, MINNESOTA
SCHEDULE OF SOURCES AND USES OF PUBLIC FUNDS
FOR SOUTHEAST EDINA REDEVELOPMENT DISTRICT-NO. 1203, A TAX INCREMENT FINANCING DISTRICT
(Districts 1200, 1201, 1203 and 1204 are pooled)
December 31, 2009
Accounted
OriginalAmendedfor in CurrentAmount
BudgetBudgetprior yearsyearremaining
Source of funds:
Bond proceeds 41,400,000$ 34,400,000$ 33,761,677$ -$ 638,323$
Tax increments received80,000,000 90,000,000 38,198,706 3,972,190 47,829,104
Real estate sales *5,000,000 11,637,070 11,637,070 - -
Special assessment - 1,321,096 - - 1,321,096
Interest on invested funds - 2,500,000 3,847,904 172,250 (1,520,154)
Transfer in - 40,000,000 36,267,924 2,379,047 1,353,029
Sale of material - 255,710 255,710 - -
Developer payments - 297,826 297,826 - -
Other - 20,000 21,799 - (1,799)
Total sources of funds:126,400,000 180,431,702 124,288,616 6,523,487 49,619,599
Uses of funds:
Land acquisition 13,900,000 22,981,425 22,981,425 - -
Installation of public utilities
and improvements 26,677,000 25,871,230 18,758,446 2,213,608 4,899,176
Bond payments:
Principal 41,400,000 41,400,000 28,199,724 5,600,000 7,600,276
Interest 38,000,000 38,000,000 33,989,191 165,559 3,845,250
Administrative costs 1,140,800 1,600,000 1,352,912 24,241 222,847
Paid to other governments - 42,000 36,758 4,345 897
Loan/note interest - 14,684,711 5,016,715 666,592 9,001,404
Parkland dedication fees - 2,030,345 2,030,345 - -
Total uses of funds:121,117,800 146,609,711 112,365,516 8,674,345 25,569,850
Funds remaining (deficit)5,282,200$ 33,821,991$ 11,923,100$ (2,150,858)$ 24,049,749$
Cost to authority Price paid by developer
* Real estate sales
Retail and theater site 3,213,720$ 3,213,720$
Medical office site 815,092 815,092
Office site 1,107,160 1,107,160
Office building #1 449,300 449,300
Office building #2 1,280,702 1,280,702
Office building #3 1,341,533 1,341,533
Office building #4 1,625,849 1,625,849
Office building #5 1,803,714 1,803,714
11,637,070$ 11,637,070$
91
CITY OF EDINA, MINNESOTA
SCHEDULE OF SOURCES AND USES OF PUBLIC FUNDS
FOR 70TH STREET AND CAHILL ROAD DISTRICT-NO. 1207, A TAX INCREMENT FINANCING DISTRICT
December 31, 2009
Accounted
OriginalAmendedfor inCurrentAmount
BudgetBudgetprior yearsyearremaining
Source of funds:
Bond proceeds1,911,000$ 1,911,000$ -$ -$ 1,911,000$
Tax increments received2,177,855 2,177,855 746,863 - 1,430,992
Interest on invested funds- - 242,483 16,940 (259,423)
Total sources of funds:4,088,855 4,088,855 989,346 16,940 3,082,569
Uses of funds:
Land acquisition529,400 529,400 39,968 2,025 487,407
Installation of public utilities
and improvements325,000 325,000 540,279 - (215,279)
Demolition150,000 150,000 - - 150,000
Relocation160,000 160,000 - - 160,000
Capitalized interest150,000 150,000 - - 150,000
Debt service2,178,455 2,178,455 - - 2,178,455
Paid to other governments- - 2,730 - (2,730)
Administrative costs596,000 596,000 74,830 - 521,170
Total uses of funds:4,088,855 4,088,855 657,807 2,025 3,429,023
Funds remaining (deficit)-$ -$ 331,539$ 14,915$ (346,454)$
92
Contents
Financial Trends
Revenue Capacity
Debt Capacity
Demographic and Economic Information
Operating Information
STATISTICAL SECTION
ThispartoftheCity'scomprehensiveannualfinancialreportpresents
detailedinformationasacontextforunderstandingwhattheinformationin
thefinancialstatements,notedisclosures,andrequiredsupplementary
information says about the City's overall financial health.
Page
94
Sources:Unlessotherwisenoted,theinformationintheseschedulesisderivedfromthe
comprehensiveannualfinancialreportsfortherelevantyear.TheCityimplementedGASB
Statement34in2003;schedulespresentinggovernment-wideinformationinclude
information beginning in that year.
Theseschedulescontaintrendinformationtohelpthe
readerunderstandhowtheCity'sfinancialperformance
and well-being have changed over time.
Theseschedulescontaininformationtohelpthereader
assesstheCity'smostsignificantlocalrevenuesource,
the property tax.
Theseschedulescontaininformationtohelpthereader
assesstheaffordabilityoftheCity'scurrentlevelsof
outstandingdebtandtheCity'sabilitytoissueadditional
debt in the future.
Theseschedulesofferdemographicandeconomic
indicatorstohelpthereaderunderstandthe
environmentwithinwhichtheCity'sfinancialactivities
take place.
Theseschedulescontainserviceandinfrastructuredata
tohelpthereaderunderstandhowtheinformationinthe
City'sfinancialreportrelatestotheservicestheCity
provides and the activities it performs.
102
106
111
113
93
CITY OF EDINA, MINNESOTA
NET ASSETS BY COMPONENT
LAST SEVEN FISCAL YEARS
(accrual basis of accounting)
2003 2004 2005
Governmental activities
Invested in capital assets,
net of related debt21,792,377$ 34,320,784$ 36,092,020$
Restricted4,676,748 2,145,488 78,943
Unrestricted31,876,783 28,762,040 35,796,801
Total governmental
activities net assets 58,345,908$ 65,228,312$ 71,967,764$
Business-type activities
Invested in capital assets,
net of related debt29,952,549$ 37,240,476$ 40,044,169$
Restricted1,672,828 - -
Unrestricted15,344,474 11,934,496 11,121,720
Total business-type
activities net assets 46,969,851$ 49,174,972$ 51,165,889$
Primary government
Invested in capital assets,
net of related debt51,744,926$ 71,561,260$ 76,136,189$
Restricted6,349,576 2,145,488 78,943
Unrestricted47,221,257 40,696,536 46,918,521
Total primary government
net assets 105,315,759$ 114,403,284$ 123,133,653$
Fiscal Year
94
2006 2007 2008 2009
69,814,012$ 67,680,882$ 71,601,227$ 69,622,370$
- - 3,362,446 7,132,865
15,280,058 25,136,312 29,577,462 30,705,600
85,094,070$ 92,817,194$ 104,541,135$ 107,460,835$
46,981,755$ 43,046,160$ 46,851,736$ 47,333,794$
- - 954,486 624,837
6,379,515 13,649,355 12,071,776 15,158,720
53,361,270$ 56,695,515$ 59,877,998$ 63,117,351$
116,795,767$ 110,727,042$ 118,452,963$ 116,956,164$
- - 4,316,932 7,757,702
21,659,573 38,785,667 41,649,238 45,864,320
138,455,340$ 149,512,709$ 164,419,133$ 170,578,186$
Fiscal Year
95
CITY OF EDINA, MINNESOTA
CHANGES IN NET ASSETS
LAST SEVEN FISCAL YEARS
(accrual basis of accounting)
2003 2004 2005
Expenses
Governmental activities:
General government5,839,893$ 6,934,045$ 4,967,008$
Public safety10,784,215 11,063,767 12,019,027
Public works5,621,291 5,834,490 7,185,784
Parks4,484,685 4,248,060 5,901,648
Interest on long-term debt2,760,022 2,399,682 2,288,524
Total governmental activities expenses29,490,106 30,480,044 32,361,991
Business-type activities:
Utilities7,930,502 7,801,580 8,254,409
Liquor8,764,081 9,110,888 9,749,313
Aquatic center711,061 701,768 725,936
Golf course3,555,243 3,508,741 3,580,307
Community activity centers3,833,026 3,850,192 3,825,562
Total business-type activities expenses24,793,913 24,973,169 26,135,527
Total primary government expenses54,284,019$ 55,453,213$ 58,497,518$
Program Revenues
Governmental activities:
Charges for services:
General government930,391$ 454,603$ 619,526$
Public safety4,213,081 4,634,744 5,614,406
Other activities898,141 748,398 630,157
Operating grants and contributions1,215,745 1,154,808 1,512,366
Capital grants and contributions7,214,393 4,192,947 2,252,491
Total governmental activities program revenues14,471,751 11,185,500 10,628,946
Business-type activities:
Charges for services:
Utilities9,694,981 9,875,078 10,240,381
Liquor9,659,631 10,030,067 10,752,724
Aquatic center861,340 764,134 849,380
Golf course3,684,079 3,538,122 3,482,999
Community activity centers2,966,731 3,254,012 3,251,860
Operating grants and contributions132,031 138,447 131,408
Total business-type activities program revenues26,998,793 27,599,860 28,708,752
Total primary government program revenues41,470,544$ 38,785,360$ 39,337,698$
Net (Expense)/Revenue
Governmental activities(15,018,355)$ (19,294,544)$ (21,733,045)$
Business-type activities2,204,880 2,626,691 2,573,225
Total primary government net expense(12,813,475)$ (16,667,853)$ (19,159,820)$
General Revenues and Other Changes in Net Assets
Governmental activities:
Property taxes17,815,426$ 17,865,757$ 19,071,202$
Tax increment collections7,342,270 6,761,934 7,060,744
Franchise taxes- 450,956 457,421
Unrestricted investment earnings286,209 443,074 977,956
Gain on disposal of capital assets26,669 - 63,674
Transfers(4,053,805) 655,227 841,500
Total governmental activities21,416,769 26,176,948 28,472,497
Business-type activities:
Property taxes-$ -$ -$
Unrestricted investment earnings387,117 227,167 236,654
Gain (loss) on disposal of capital assets(177,051) 6,490 22,538
Transfers4,053,805 (655,227) (841,500)
Total business-type activities4,263,871 (421,570) (582,308)
Total primary government25,680,640$ 25,755,378$ 27,890,189$
Change in Net Assets
Governmental activities6,398,414$ 6,882,404$ 6,739,452$
Business-type activities6,468,751 2,205,121 1,990,917
Total primary government12,867,165$ 9,087,525$ 8,730,369$
Fiscal Year
96
2006 2007 2008 2009
5,414,961$ 7,039,298$ 6,836,248$ 7,362,560$
13,300,351 13,743,194 14,833,647 14,751,479
8,973,031 8,757,022 9,046,873 8,993,290
5,341,682 5,025,560 5,971,565 7,732,777
2,973,749 1,887,633 1,923,821 2,129,490
36,003,774 36,452,707 38,612,154 40,969,596
9,234,651 10,036,844 10,625,811 11,833,994
9,968,963 10,361,998 11,049,223 11,449,194
795,614 780,981 787,663 798,369
3,652,169 3,621,977 3,612,482 3,588,831
4,048,649 4,168,534 4,502,849 4,636,375
27,700,046 28,970,334 30,578,028 32,306,763
63,703,820$ 65,423,041$ 69,190,182$ 73,276,359$
731,613$ 784,659$ 840,070$ 811,087$
6,146,114 5,632,642 5,839,683 5,081,563
793,796 736,329 763,130 804,500
1,423,302 1,384,024 1,170,183 1,377,785
4,013,617 4,299,509 7,710,015 2,582,999
13,108,442 12,837,163 16,323,081 10,657,934
11,421,474 13,125,773 13,713,249 14,858,488
11,029,445 11,436,175 12,122,599 12,655,777
867,626 868,833 925,388 859,816
3,646,620 3,630,538 3,680,584 3,660,466
3,337,153 3,517,111 3,517,218 3,606,684
122,358 127,492 147,456 135,917
30,424,676 32,705,922 34,106,494 35,777,148
43,533,118$ 45,543,085$ 50,429,575$ 46,435,082$
(22,895,332)$ (23,615,544)$ (22,289,073)$ (30,311,662)$
2,724,630 3,735,588 3,528,466 3,470,385
(20,170,702)$ (19,879,956)$ (18,760,607)$ (26,841,277)$
20,414,298$ 21,459,001$ 22,242,276$ 23,834,274$
7,228,002 7,793,577 8,578,434 7,587,386
499,206 570,871 647,466 667,791
1,230,264 1,581,702 1,185,899 387,177
8,418 58,377 1,265 11,709
838,230 919,625 967,800 743,025
30,218,418 32,383,153 33,623,140 33,231,362
-$ -$ -$ 300,372$
283,771 510,678 607,312 209,371
25,210 7,604 14,505 2,250
(838,230) (919,625) (967,800) (743,025)
(529,249) (401,343) (345,983) (231,032)
29,689,169$ 31,981,810$ 33,277,157$ 33,000,330$
7,323,086$ 8,767,609$ 11,334,067$ 2,919,700$
2,195,381 3,334,245 3,182,483 3,239,353
9,518,467$ 12,101,854$ 14,516,550$ 6,159,053$
Fiscal Year
97
CITY OF EDINA, MINNESOTA
FUND BALANCES OF GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
(modified accrual basis of accounting)
2000 2001 2002 2003a
General fund
Reserved141,939$ 15,872$ 417,093$ 412,991$
Unreserved13,755,160 14,359,821 14,325,972 9,961,074
Total general fund13,897,099$ 14,375,693$ 14,743,065$ 10,374,065$
All other governmental funds
Reserved16,729,995$ 2,319,839$ 4,186,436$ 4,084,987$
Unreserved, reported in:
Special revenue funds1,147,917 1,435,949 1,589,518 686,777
Capital projects funds22,454,859 22,869,578 26,750,351 19,608,849
Total all other governmental funds40,332,771$ 26,625,366$ 32,526,305$ 24,380,613$
a The substantial decrease in unreserved fund balance in 2003 is due to the transfer of
investment assets to the Edinborough Park/Centennial Lakes enterprise fund.
b The substantial increase in reserved fund balance in 2005 is due to two crossover
refunding bond issues that were outstanding as of December 31, 2005.c The substantial decrease in general fund unreserved fund balance in 2009 is due to the transfer
of the equipment replacement program to the construction fund.
The substantial increase in other governmental funds reserved fund balance in 2009 is due to
unspent bond proceeds related to the new Public Works Facility, which is under construction.
Fiscal Year
98
2004 2005b 2006 2007 2008 2009c
390,771$ 223,351$ 36,849$ 28,637$ 13,982$ 18,241$
10,226,055 11,595,433 13,797,189 14,078,220 14,365,021 12,031,358
10,616,826$ 11,818,784$ 13,834,038$ 14,106,857$ 14,379,003$ 12,049,599$
3,465,440$ 13,792,312$ 2,682,238$ 6,247,539$ 8,467,918$ 15,223,353$
781,458 731,027 13,179,904 14,750,448 14,950,538 12,813,439
16,651,788 17,032,750 3,160,085 5,853,322 4,270,440 6,683,668
20,898,686$ 31,556,089$ 19,022,227$ 26,851,309$ 27,688,896$ 34,720,460$
Fiscal Year
99
CITY OF EDINA, MINNESOTA
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
(modified accrual basis of accounting)
2000 2001 2002 2003
Revenues
General property taxes22,904,512$ 24,409,785$ 24,735,336$ 17,903,618$
Tax increment collections- - - 7,342,270
Special assessments1,159,876 1,086,093 998,908 1,019,461
Franchise fees336,678 473,702 418,153 393,627
License and permits1,835,828 2,239,611 1,939,207 2,182,263
Intergovernmental1,880,680 5,085,981 2,254,968 4,678,735
Charges for services2,902,666 1,962,172 2,096,806 2,076,519
Fines and forfeitures967,421 976,952 910,407 785,227
Investment income2,376,137 1,357,701 1,178,211 286,209
Rental of property1,156,526 4,262,984 1,782,063 354,266
Other revenues96,932 184,466 180,081 200,551
Total revenues35,617,256 42,039,447 36,494,140 37,222,746
Expenditures
General government4,558,424 5,353,002 5,372,431 5,709,741
Public safety8,846,360 9,409,291 9,893,428 10,352,816
Public works3,672,057 4,313,065 4,161,373 4,142,668
Parks2,150,588 2,375,565 2,602,266 2,974,164
Capital outlay8,352,494 11,193,155 11,059,757 15,539,676
Debt service
Principal6,050,000 3,740,000 5,885,000 5,700,000
Interest and other charges3,108,601 3,148,719 3,094,480 2,908,787
Total expenditures36,738,524 39,532,797 42,068,735 47,327,852
Revenues over (under) expenditures(1,121,268) 2,506,650 (5,574,595) (10,105,106)
Other Financing Sources (Uses)
Transfers in6,976,639 6,215,411 12,308,480 8,752,126
Transfers out(6,165,639) (6,201,152) (11,552,990) (12,805,931)
Parkland dedication85,520 60,280 - -
Sale of capital assets- - - -
Bonds issued21,742,116 - 13,637,416 1,540,000
Premium on bonds issued- - - 59,219
Discount on bonds issued- - - -
Refunding bonds issued- - - 6,570,000
Payment to refunding escrow- (15,810,000) (2,550,000) (6,525,000)
Principal paid by escrow- - - -
Total other financing sources (uses)22,638,636 (15,735,461) 11,842,906 (2,409,586)
Net change in fund balances21,517,368$ (13,228,811)$ 6,268,311$ (12,514,692)$
Debt service as a percentage of
noncapital expenditures32.3%24.3%29.0%27.1%
a The substantial change in debt service as a percentage of noncapital expenditures in 2007 is due
to a change in the way this ratio is calculated. The City did not recalculate previously reported ratios.
Fiscal Year
100
2004 2005 2006 2007a 2008 2009
17,865,757$ 19,071,202$ 20,414,298$ 21,459,001$ 22,242,276$ 23,834,274$
6,761,934 7,060,744 7,228,002 7,793,577 8,578,434 7,587,386
966,879 1,354,264 1,751,219 1,750,444 2,442,490 2,703,833
450,956 457,421 499,206 570,871 647,466 667,791
2,247,759 3,240,622 3,488,897 2,909,521 2,915,455 2,104,967
3,933,540 1,539,169 2,773,350 3,699,006 3,005,883 1,507,170
2,279,302 2,466,663 2,691,354 2,748,709 3,093,941 2,905,410
863,073 742,917 1,023,935 971,486 1,073,174 1,224,983
443,074 977,956 1,230,264 1,581,702 1,185,899 387,177
385,707 315,542 310,145 355,734 255,607 343,616
294,136 227,446 246,797 225,839 126,723 160,035
36,492,117 37,453,946 41,657,467 44,065,890 45,567,348 43,426,642
5,213,469 5,477,308 5,995,804 6,544,307 6,235,352 6,895,329
11,125,388 11,373,763 12,431,114 12,985,215 13,788,797 13,692,686
4,386,669 4,882,811 5,233,907 5,787,619 6,189,594 5,911,758
2,954,372 3,146,029 3,300,375 3,455,789 3,693,595 3,688,063
7,772,321 8,227,191 8,980,526 11,991,122 14,666,907 22,997,065
6,450,000 6,830,000 5,985,000 6,190,000 7,090,000 7,415,000
2,484,291 2,543,639 2,107,036 1,677,770 1,967,021 1,841,342
40,386,510 42,480,741 44,033,762 48,631,822 53,631,266 62,441,243
(3,894,393) (5,026,795) (2,376,295) (4,565,932) (8,063,918) (19,014,601)
8,367,595 7,797,369 6,865,258 7,290,391 7,983,585 11,347,773
(7,712,368) (6,955,869) (6,027,028) (6,370,766) (7,015,785) (10,604,748)
- - - - - -
- 135,045 54,457 66,845 96,825 34,592
- 15,816,165 - 11,735,000 7,755,000 22,950,000
- - - - - 64,765
- (36,275) - (53,637) (35,848) (75,621)
- 16,764,721 - - - -
- (16,635,000) - - - -
- - (9,035,000) - - -
655,227 16,886,156 (8,142,313) 12,667,833 8,783,777 23,716,761
(3,239,166)$ 11,859,361$ (10,518,608)$ 8,101,901$ 719,859$ 4,702,160$
27.4%27.4%23.1%20.9%22.6%21.6%
Fiscal Year
101
CITY OF EDINA, MINNESOTA
ASSESSED VALUE, ACTUAL VALUE AND TAX CAPACITY OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
City TaxCity
Used AdjustedCapacity Referendum
EstimatedLimitedTaxableTotalfor RateNetRateRate
4,535,762$ DNADNA90,807$ 74,705$ 77,166$ 17.669%0.01634%3.006$
4,861,730 DNA DNA99,650 80,964 83,716 17.233%0.01495%2.967
5,821,567 DNA DNA72,584 c 59,176 c 61,007 c 27.806%c 0.01200%2.914
6,328,581 DNADNA77,666 63,169 65,145 27.139%0.01100%2.794
6,909,477 DNA DNA83,448 68,553 70,756 25.565%0.01000%2.618
8,052,704 7,674,983$ 7,668,117$ 91,310 76,343 78,717 24.085%0.00880%2.354
8,713,166 8,541,954 8,536,086 101,948 86,860 89,272 22.613%0.00703%2.317
9,619,356 9,456,650 9,451,668 113,429 96,170 98,765 21.150%0.00641%2.172
9,986,738 9,933,166 9,928,907 120,084 100,954 103,850 21.197%0.00601%2.204
10,112,498 10,091,005 10,079,499 122,532 101,831 105,130 22.447%0.00597%2.334
Source: Hennepin County Taxpayer Services. 2000-2004 estimated market values obtained from previous CAFRs and do not include
personal property.
DNA: Historical data is not available
a Property in the City is assessed annually. Assessed value is equal to market value, although taxable value may be different, as shown.
The City receives reports from Hennepin County showing total market value, but not separated by property classification.
b This value is estimated by the City Finance Department by taking City taxes as a rate of estimated market value (rate per $1,000 of
assessed value). The property tax system in Minnesota uses a tax capacity system whereby each parcel is assigned a tax capacity
based on taxable value and class. In Minnesota, local taxes are usually expressed as a percentage of this calculated tax capacity
(see column titled "City Tax Capacity Rate"). Therefore, this rate is only theoretical and shown for comparative purposes only.
c The State of Minnesota passed property tax reform legislation that significantly reduced tax capacity in 2002.
2009
Year
2000
2008
Estimated
Rate b
Market Value (In Thousands) a Tax Capacity (In Thousands)
2007
Fiscal Direct
2005
2006
2001
2002
2003
2004
102
CITY OF EDINA, MINNESOTA
DIRECT AND OVERLAPPING TAX CAPACITY RATES
LAST TEN FISCAL YEARS
Total
BasicDebtTotal TaxDirect &
RateRateCapacity RMVHennepinTax Cap.RMVOther Overlap
DNADNA17.669%0.016%39.655%51.678%DNA8.426%117.428%
DNADNA17.233%0.015%37.624%46.839%DNA8.126%109.822%
26.116%1.690%27.806%a 0.012%50.409%a 18.504%a DNA9.847%106.566%
24.586%2.553%27.139%0.011%50.607%23.312%DNA8.993%110.051%
23.183%2.382%25.565%0.010%47.324%22.670%DNA8.256%103.815%
22.536%1.549%24.085%0.009%44.172%19.694%0.166%8.547%96.498%
20.755%1.858%22.613%0.007%41.016%19.226%0.154%8.104%90.959%
19.636%1.514%21.150%0.006%39.110%18.244%0.147%8.417%86.921%
19.563%1.634%21.197%0.006%38.571%16.951%0.177%8.546%85.265%
20.204%2.243%22.447%0.006%40.413%17.766%0.183%8.413%89.039%
Source: Hennepin County Taxpayer Services. Some 2000-2004 data obtained from previous CAFR's.
RMV: Referendum Market Value
DNA: Historical data is not available
Geographic boundaries for overlapping district are not identical to the City's boundaries. City boundaries contain six different
school districts but only ISD #273 is shown here. Other districts include Mosquito Control, Met Council, Metro Transit,
Hennepin Parks, Park Museum and Regional Railroad Authority. In addition, there are two watershed districts in the City,
Nine Mile Creek and Minnehaha Creek, and rates for Nine Mile are included in Other. Total rates do not include RMV rates.
a The State of Minnesota passed property tax reform legislation that significantly reduced tax capacity in 2002. At the
same time, the state took on greater responsibility for school district funding.
City RatesOverlapping Rates
ISD #273 EdinaFiscal
Year
2009
2000
2005
2006
2001
2002
2003
2004
2007
2008
103
CITY OF EDINA, MINNESOTA
PRINCIPAL PROPERTY TAX PAYERS
CURRENT YEAR AND NINE YEARS AGO
PercentagePercentage
of Totalof Total
Tax CapacityRankCapacityTax CapacityRankCapacity
Southdale Shopping Center3,497,098$ 12.85%4,906,659$ 15.45%
Galleria Shopping Center1,188,800 20.97%1,614,622 21.79%
Southdale Office Park910,362 30.74%1,359,207 41.51%
Centennial Lakes Retail679,250 40.55%663,442 90.74%
Southdale Medical Bldg638,930 50.52%716,706 70.80%
National Car631,752 60.52%957,300 61.06%
Centennial Lakes Phase V615,384 70.50%- 0.00%
Centennial Lakes Phase IV603,462 80.49%- 0.00%
Macy's Department Stores520,174 90.42%- 0.00%
Target510,186 100.42%432,156 110.48%
Pentagon Office Park- 0.00%1,560,591 31.73%
United Healthcare Corporation- 0.00%882,609 50.98%
Cedars of Edina- 0.00%710,438 80.79%
Edinborough Plaza- 0.00%508,820 100.57%
Totals9,795,398$ 7.99%14,312,550$15.89%
Source: City of Edina Assessing Office
20002009
Taxpayer
104
CITY OF EDINA, MINNESOTA
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
TotalCollections in
TaxPercentageSubsequentPercentage
LevyAmountof LevyYearsAmountof Levy
14,391,078$ 14,290,698$ 99.30%91,042$ 14,381,740$ 99.94%
15,165,091 15,053,569 99.26%100,594 15,154,163 99.93%
17,728,603 16,985,098 a 95.81%a 85,589 17,070,687 96.29%
18,506,442 17,808,469 96.23%50,633 17,859,102 96.50%
18,808,903 18,066,892 96.06%106,524 18,173,416 96.62%
19,667,551 19,090,016 97.06%108,171 19,198,187 97.61%
20,820,130 20,310,889 97.55%164,059 20,474,948 98.34%
21,530,528 21,347,789 b 99.15%b 66,091 21,413,880 99.46%
22,605,669 22,178,719 c 98.11%c 122,057 22,300,776 98.65%
24,153,933 23,484,137 d 97.23%d - 23,484,137 97.23%
Source: Hennepin County Taxpayer Services.
a Beginning in 2002, the State of Minnesota quit reimbursing the City for the market value homestead credit
(MVHC) program. The MVHC program reduces property taxes for certain residential properties and is phased
out once a property reaches a certain assessed value. The program is designed so the State "pays" the
amount property taxes were reduced by to local governments. When the State ended reimbursing the City for
MVHC in 2002, tax collections as a percent of levy dropped, as shown in this table. Due to the phase out
provision in the MVHC program, the City anticipates that the impact of this lost revenue will decrease over
time as property values rise above the phase out level.
b In 2007 the State of Minnesota reimbursed the City for MVHC after five years of not making payments.
c In 2008 the State of Minnesota reimbursed the City for only 50% of MVHC.
d In 2009 the State of Minnesota once again quit reimbursing the City for MVHC.
Total Collections to Date
Taxes
Payable
2005
2006
2009
Collected within the
Fiscal Year of the Levy
2004
2000
2001
2002
2003
2008
2007
105
CITY OF EDINA, MINNESOTA
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST TEN FISCAL YEARS
(dollars in thousands, except per capita)
GeneralPublicTaxPermanentRec.Utility TotalPercentage
ObligationProjectIncrementImprovement Facility RevenuePrimary of PersonalPer
DebtRevenueBondsRevolvingBondsBondsGovernment IncomeCapita
7,550$ -$ 66,670$ 170$ 10,520$ 3,265$ 88,175$ 4.24%1,859$
7,250 - 47,590 - 14,670 2,955 72,465 3.51%1,527
6,950 12,410 40,855 - 7,890 2,630 70,735 3.31%1,490
8,165 12,035 35,900 - 7,145 5,495 68,740 2.97%1,445
7,295 11,595 30,760 - 6,325 4,860 60,835 2.58%1,263
11,765 16,560 28,905 1,460 5,475 4,215 68,380 2.92%1,441
5,670 16,080 20,460 1,460 4,595 3,550 51,815 2.19%1,105
10,990 15,390 15,665 7,170 3,690 11,070 63,975 2.39%1,359
10,420 14,675 10,015 14,770 2,845 23,570 76,295 3.00%1,584
24,020 22,650 4,125 14,620 4,450 21,525 91,390 3.59%1,897
Details regarding the City's outstanding debt may be found in the notes to the financial statements.
2009
2001
2002
2003
2004
2007
2008
2005
2006
Business-Type ActivitiesGovernmental Activities
2000
Year
Fiscal
106
CITY OF EDINA, MINNESOTA
RATIOS OF GENERAL BONDED DEBT OUTSTANDING
LAST TEN FISCAL YEARS
(dollars in thousands, except per capita)
GeneralPublicTaxPercentage
ObligationProjectIncrementof PropertyPer
DebtRevenueBonds Total Value a Capita
7,550$ -$ 66,670$ 74,220$ 1.64%1,565$
7,250 - 47,590 54,840 1.13%1,155
6,950 12,410 40,855 60,215 1.03%1,269
8,165 12,035 35,900 56,100 0.89%1,179
7,295 11,595 30,760 49,650 0.72%1,031
11,765 16,560 28,905 57,230 0.71%1,206
5,670 16,080 20,460 42,210 0.48%900
10,990 15,390 15,665 42,045 0.44%893
10,420 14,675 10,015 35,110 0.35%729
24,020 22,650 4,125 50,795 0.50%1,055
Details regarding the City's outstanding debt may be found in the notes to the financial statements.
a See statistical schedule titled "Assessed Value, Actual Value and Tax Capacity of Taxable Property" for
estimated property value data.
2009
2008
2007
2006
2001
2002
2003
2004
General Bonded Debt
Year
Fiscal
2000
2005
107
CITY OF EDINA, MINNESOTA
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
AS OF DECEMBER 31, 2009
Net GeneralPercentage
Obligation Bonded ApplicableCity Share
Debt Outstanding a in City b of Debt
Overlapping Debt:
Hennepin County600,494,319$ 7.29%43,776,036$
Hennepin Suburban Park District71,017,752 9.89%7,023,656
Hennepin Regional Rail Authority42,430,624 7.29%3,093,192
School Districts:
ISD No. 273 (Edina)82,581,000 98.64%81,457,898
ISD No. 270 (Hopkins)156,028,964 8.74%13,636,931
ISD No. 271 (Bloomington)80,285,172 0.00%-
ISD No. 272 (Eden Prairie)78,098,382 0.92%718,505
ISD No. 280 (Richfield)30,739,811 23.24%7,143,932
ISD No. 283 (St. Louis Park)54,914,328 0.02%10,983
Metro Council131,613,280 3.23%4,251,109
Total Overlapping Debt1,328,203,632 161,112,242
City of Edina26,528,780 100.00%26,528,780
Total Overlapping and Direct Debt1,354,732,412$ 187,641,022$
Ratio of debt per capita (48,169 population)3,895$
Ratio of debt to estimated market valuation of $10,112,498,0001.86%
Source: Hennepin County Taxpayer Services
a Calculation excludes revenue and special assessment bonds as well as sinking fund balance, if any.
b The percentage of overlapping debt applicable is estimated using tax capacity. Applicable percentages
were estimated by determining the portion of another governmental unit's tax capacity that is within
the City's boundaries and dividing it by each unit's total tax capacity.
Direct Debt:
Debt Ratios:
108
CITY OF EDINA, MINNESOTA
LEGAL DEBT MARGIN INFORMATION
LAST TEN FISCAL YEARS
(dollars in thousands)
2000 2001 2002 2003 2004 2005 2006 2007 2008a 2009
Debt limit 97,235$ 116,431$ 138,279$ 138,190$ 160,674$ 173,867$ 191,974$ 199,775$ 302,385$ 301,369$
Total net debt
applicable
to limit 7,550 7,250 19,360 20,200 18,890 29,785 21,750 26,380 25,095 46,670
Legal debt
margin 89,685$ 109,181$ 118,919$ 117,990$ 141,784$ 144,082$ 170,224$ 173,395$ 277,290$ 254,699$
Total net debt
applicable to
the limit as a
percentage of
debt limit 7.76%6.23%14.00%14.62%11.76%17.13%11.33%13.20%8.30%15.49%
Market value (after fiscal disparities)
Debt limit (3% of market value)
Debt applicable to limit:
General obligation bonds
Public project revenue bonds
Total debt applicable to limit
Legal debt margin
a The State of Minnesota changed the legal debt limit from 2% of taxable market value to 3% during 2008.
301,368,951
22,650,000
254,698,951$
Fiscal Year
10,045,631,700$
24,020,000
46,670,000
Legal Debt Margin Calculation for Fiscal Year 2009
109
CITY OF EDINA, MINNESOTA
PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Less: operatingNet available
Revenue expenses revenue Principal Interest Total Coverage
Public Project Revenue Bonds (Annual Appropriation Lease Revenue)
20031,026,437$ -$ 1,026,437$ 375,000$ 15,000$ 390,000$ 2.63
20041,028,837 - 1,028,837 440,000 557,636 997,636 1.03
20051,058,840 - 1,058,840 460,000 558,486 1,018,486 1.04
20061,501,741 - 1,501,741 480,000 779,778 1,259,778 1.19
20071,497,500 - 1,497,500 690,000 725,855 1,415,855 1.06
20081,425,186 - 1,425,186 715,000 696,118 1,411,118 1.01
20091,424,405 - 1,424,405 745,000 665,193 1,410,193 1.01
Tax Increment Bonds
20008,590,313 - 8,590,313 5,595,000 2,677,383 8,272,383 1.04
20019,309,360 - 9,309,360 3,270,000 3,205,971 6,475,971 1.44
20027,053,836 - 7,053,836 4,570,000 2,355,928 6,925,928 1.02
20037,342,270 - 7,342,270 5,000,000 1,889,329 6,889,329 1.07
20046,761,934 - 6,761,934 5,140,000 1,520,376 6,660,376 1.02
20057,060,744 - 7,060,744 5,465,000 1,327,983 6,792,983 1.04
20067,228,002 - 7,228,002 8,445,000 902,607 9,347,607 0.77
20077,793,577 - 7,793,577 4,795,000 625,606 5,420,606 1.44
20088,578,434 - 8,578,434 5,650,000 445,694 6,095,694 1.41
20097,587,386 - 7,587,386 5,890,000 244,236 6,134,236 1.24
Permanent Improvement Revolving Bonds (Special Assessment)
2000 721,871 - 721,871 180,000 13,340 193,340 3.73
2001 684,660 - 684,660 170,000 4,420 174,420 3.93
2006 85,656 - 85,656 - 43,366 43,366 1.98
2007 391,921 - 391,921 160,000 46,694 206,694 1.90
2008 564,534 - 564,534 155,000 306,759 461,759 1.22
20091,508,662 - 1,508,662 150,000 513,708 663,708 2.27
Utility Bond
20008,793,386 7,205,934 1,587,452 335,000 127,525 462,525 3.43
20018,556,810 7,065,589 1,491,221 310,000 116,794 426,794 3.49
20028,561,287 7,399,773 1,161,514 325,000 105,205 430,205 2.70
20039,668,434 7,769,810 1,898,624 335,000 160,691 495,691 3.83
20049,473,355 7,643,129 1,830,226 635,000 158,451 793,451 2.31
200510,225,975 8,107,039 2,118,936 645,000 141,226 786,226 2.70
200611,416,361 9,107,143 2,309,218 665,000 129,608 794,608 2.91
200713,125,419 9,735,839 3,389,580 690,000 108,840 798,840 4.24
200813,544,728 10,076,422 3,468,306 1,485,000 459,983 1,944,983 1.78
200914,857,798 10,815,215 4,042,583 2,045,000 803,157 2,848,157 1.42
Recreational Facility Bonds
20005,727,930 5,209,610 518,320 450,000 553,962 1,003,962 0.52
20015,430,507 5,231,143 199,364 470,000 531,176 1,001,176 0.20
20025,424,422 5,031,839 392,583 6,780,000 611,509 7,391,509 0.05
20035,866,300 5,511,730 354,570 745,000 265,602 1,010,602 0.35
20045,621,743 5,492,510 129,233 820,000 241,387 1,061,387 0.12
20055,708,827 5,604,464 104,363 850,000 214,108 1,064,108 0.10
20065,929,984 5,808,902 121,082 880,000 199,260 1,079,260 0.11
20075,870,485 5,798,005 72,480 905,000 168,159 1,073,159 0.07
20086,005,571 5,972,558 33,013 845,000 135,956 980,956 0.03
20095,932,900 5,977,793 (44,893) 860,000 92,128 952,128 (0.05)
Debt service requirementsFiscal
Year
110
CITY OF EDINA, MINNESOTA
DEMOGRAPHIC AND ECONOMIC STATISTICS
Last Ten Fiscal Years
Estimated
PersonalPer CapitaHigh School
IncomePersonalGraduationUnemployment
Population(In thousands)IncomeRateRate
47,4252,081,388$ 43,888$ 88.2%2.40%
47,4652,065,867 43,524 91.5%3.30%
47,4652,134,976 44,980 91.5%4.00%
47,5702,317,801 48,724 91.5%4.10%
48,1562,356,369 48,932 93.3%3.90%
47,4482,341,464 49,348 92.1%3.30%
46,8962,365,434 50,440 92.0%3.00%
47,0902,673,959 56,784 92.0%3.45%
48,1692,547,369 52,884 92.0%4.33%
48,1692,547,369 52,884 92.4%6.38%
Sources:
Population data from U.S. Census Bureau/Metropolitan Council. 2008 is the most recent estimate.
Personal income and per capita income estimates based on MN Department of Employment
and Economic Development Quarterly Census of Employment and Wages. 2008 is the most recent.
High school graduation rate data from U.S. Census Bureau for all of Hennepin County. 2007 is the
most recent estimate.
Unemployment rate data from State of Minnesota Department of Employment and Economic Development.
2009
2007
2008
Fiscal
Year
2006
2005
2004
2003
2002
2001
2000
111
CITY OF EDINA, MINNESOTA
PRINCIPAL EMPLOYERS
CURRENT YEAR AND NINE YEARS AGO
Percentage ofPercentage of
Total City Total City
EmployeesRankEmploymentEmployeesRankEmployment
Jerry's Enterprises, Inc.4,500 120.74%2,000 27.77%
Fairview Southdale Hospital2,500 211.52%2,400 19.32%
Macy's (Marshall Field's or Dayton's)1,200 35.53%500 51.94%
Edina Public Schools ISD #2731,172 45.40%DNADNADNA
Nash Finch Co.350 51.61%350 81.36%
International Dairy Queen Inc.300 61.38%300 91.17%
City of Edina262 71.21%DNADNADNA
JC Penney Co.250 81.15%400 61.55%
Edina Realty210 90.97%DNADNADNA
Con Agra Foods-Snack Food Gr.196 100.90%DNADNADNA
Golden Valley Microwave Foods- 0.00%650 32.53%
Health Risk Management Inc.- 0.00%552 42.14%
Norwest Funding- 0.00%358 71.39%
Roach Organization Inc.- 0.00%140 100.54%
Totals10,940 50.43%7,650 29.72%
Source: State of Minnesota Department of Employment and Economic Development (DEED).
DNA: Historical data is not available
20002008
Employer
112
CITY OF EDINA, MINNESOTA
FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION
LAST TEN FISCAL YEARS
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
General Government
Administration8.00 8.00 8.25 8.25 8.25 8.25 8.25 8.25 8.25 8.25
Planning 3.75 3.75 3.75 3.75 3.75 3.75 3.75 3.75 3.75 3.85
Finance 5.50 5.75 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50
Elections 0.50 0.50 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00
Assessing 7.00 7.00 7.00 7.00 7.00 7.00 7.00 7.00 7.00 7.00
Public Works
Administration 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50
Engineering 7.50 7.50 7.50 6.50 7.50 7.50 7.50 8.50 8.50 8.50
Supervision 2.00 2.50 2.50 2.50 2.50 2.50 2.50 2.50 2.50 2.50
Maintenance 28.00 27.00 28.00 28.00 28.00 28.00 28.00 28.00 28.00 27.00
Public Safety
Police Protection67.00 70.00 69.00 68.00 66.00 69.00 69.00 70.00 70.00 71.00
Animal Control 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00
Fire Protection31.00 32.00 32.00 32.00 32.00 32.00 32.00 33.00 33.00 33.00
Public Health 3.08 3.08 3.75 2.75 2.75 2.75 2.75 2.75 2.75 2.65
Inspections 5.75 6.75 6.50 6.50 6.50 6.50 6.50 7.50 7.50 7.50
Parks & Recreation
Administration 7.00 7.00 7.00 7.00 6.80 6.80 6.80 6.80 6.80 6.80
Maintenance 16.00 17.00 17.00 16.00 16.50 16.40 16.40 16.40 16.40 16.40
Central Services
General 1.00 2.00 2.00 2.00 2.00 2.00 2.00 3.00 3.00 3.00
City Hall 1.10 1.10 1.10 1.10 1.10 1.10 1.10 1.10 1.10 1.10
Public Works Bldg0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90
Equipment Ops7.00 6.50 6.50 6.50 6.50 6.50 6.50 6.50 6.50 6.50
Utilities 16.25 15.70 14.50 14.50 15.50 15.75 15.75 15.25 15.75 18.75
Liquor 10.00 9.30 9.75 9.75 9.75 9.75 9.75 9.75 9.75 9.75
Aquatic Center - - - - 0.20 0.55 0.55 0.55 0.55 0.55
Golf Course 14.00 14.00 15.00 15.00 13.00 13.00 13.00 13.00 13.00 13.00
Arena 5.00 5.00 5.00 6.00 6.00 6.00 6.00 6.00 6.00 5.00
Art Center 3.00 3.00 3.00 3.00 3.00 2.50 2.00 2.00 2.00 2.00
Edinborough Park/
Centennial Lakes 12.00 13.00 12.00 12.00 12.00 12.00 11.00 12.00 12.00 12.00
Other 2.00 2.00 2.00 2.00 2.00 2.00 2.00 4.00 4.00 5.00
Total 266.83 272.83 273.00 270.00 268.50 271.50 270.00 277.50 278.00 281.00
Source: City of Edina Finance Department
a Employee counts do not include Council members, part-time, contract or seasonal employees.
Budgeted Full-time Employees for Fiscal Year a
Function
113
CITY OF EDINA, MINNESOTA
OPERATING INDICATORS BY FUNCTION
LAST TEN FISCAL YEARS
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
General Government
Total City employees801 868 860 879 870 909 887 890 918 885
Votes cast a 30,483 10,008 28,156 10,721 31,730 1,367 26,270 7,930 31,512 2,733
Public Works
Asphalt placed (tons)- - - - - - 9,000 8,000 7,500 9,500
Concrete (cu. yds.)- - - - - - 650 850 480 640
Public Safety
Crimes reported - 2,411 2,139 2,073 1,983 1,908 1,937 2,010 2,025 NA
Fire calls 1,091 1,142 1,106 1,062 1,060 1,055 963 1,012 913 852
Medical calls 2,914 2,931 3,153 3,030 3,199 3,423 3,470 3,510 3,516 3,496
Central Services
Vehicle fixes - - - - - - 2,398 2,460 2,967 2,539
Utilities
Daily consumption b - - - - - - 7,209 7,372 7,376 7,596
Aquatic Center
Attendance 125,000 115,000 111,056 96,419 88,636 139,415 120,406 114,173 110,000 64,836
Golf Course
Total rounds played137,838 120,898 112,078 123,770 116,734 113,679 114,737 112,821 112,663 117,819
Source: Various City departments
Note: The City prepared this schedule for the first time in 2006, therefore, some historical data is not readily available.
NA: Data not available when this report was compiled.
a The City Elections department runs general elections in even-numbered years and school district elections in odd-numbered years.
Number of votes cast tend to vary between even and odd-numbered years and based on presidential election cycles.
b Daily average of water pumped from city wells, measured in thousands of gallons.
Fiscal Year
Function
114
CITY OF EDINA, MINNESOTA
CAPITAL ASSET STATISTICS BY FUNCTION
LAST TEN FISCAL YEARS
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Public Works
Miles of streets224 224 224 224 224 224 224 224 224 224
City parking ramps4 4 4 4 4 4 4 4 4 4
Public Safety
Fire stations 2 2 2 2 2 2 2 2 2 2
Parks & Recreation
City parks 39 39 39 40 40 40 40 40 40 40
Acreage of parks1,552 1,552 1,552 1,553 1,553 1,553 1,553 1,553 1,553 1,553
Park buildings 26 26 27 27 27 27 27 27 27 27
Utilities
Wells 18 18 18 18 18 18 18 19 19 19
Watermain miles199 199 199 199 199 199 199 199 199 199
Sanitary sewer miles186 186 186 186 186 186 186 186 186 186
Sewer connections 13,984 13,984 13,984 13,984 14,851 14,851 14,851 14,851 14,851 13,933
Arena
Ice sheets 3 3 3 3 3 3 3 3 3 3
Source: Various City departments
Fiscal Year
Function
115