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The City maintains a number of enterprise funds to account for services the City provides that are
<br />financed primarily through fees charged to those utilizing the service. This section of the report provides
<br />you with an overview of the financial trends and activities of the City's enterprise funds, which includes
<br />the Water Utility, Sewer Utility, Street Light Utility, Recycling Utility, and Storm Water Utility Funds.
<br />The utility funds comprise a considerable portion of the City's activities. These funds significantly help
<br />to defray overhead and administrative costs and provide additional support to general government
<br />operations by way of annual transfers. We understand that the City is proactive in reviewing these
<br />activities on an ongoing basis and we want to reiterate the importance of continually monitoring these
<br />operations. Over the years, we have emphasized to our city clients the importance of these utility
<br />operations being self - sustaining, preventing additional burdens on general government funds. This would
<br />include the accumulation of net assets for future capital improvements and to provide a cushion in the
<br />event of a negative trend in operations.
<br />ENTERPRISE FUNDS FINANCIAL POSITION
<br />ENTERPRISE FUNDS OVERVIEW
<br />The following table summarizes the changes in the financial position of the City's enterprise funds during
<br />the year ended December 31, 2012, presented both by classification and by fund:
<br />Net position of enterprise funds
<br />Total by classification
<br />Net investment in capital assets
<br />Unrestricted
<br />Total — enterprise funds
<br />Total by fund
<br />Water Utility
<br />Sewer Utility
<br />Street Light Utility
<br />Recycling Utility
<br />Storm Water Utility
<br />Total — enterprise funds
<br />Enterprise Funds Change in Financial Position
<br />Net Position
<br />as of December 31,
<br />2012 2011
<br />$ 50,843,868
<br />27,486,732
<br />$ 78,330,600
<br />$ 39,262,115
<br />26,660,606
<br />1,673,212
<br />271,232
<br />10,463,435
<br />$ 78,330,600
<br />$ 51,748,092
<br />23,764,060
<br />$ 75,512,152
<br />$ 37,201,244
<br />26,100,811
<br />1,654,098
<br />233,916
<br />10,322,083
<br />$ 75,512,152
<br />Increase
<br />(Decrease)
<br />$ (904,224)
<br />3,722,672
<br />$ 2,818,448
<br />$ 2,060,871
<br />559,795
<br />19,114
<br />37,316
<br />141,352
<br />$ 2,818,448
<br />In total, the net position of the City's enterprise funds increased by $2,818,448 during the year ended
<br />December 31, 2012. Increases for contributions and positive operating results contributed to the overall
<br />increase. Depreciation expense on capital assets in excess of current year additions reduced the overall
<br />net investment in capital assets in enterprise fund operations.
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