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STATEMENT OF ACTIVITIES <br />The Statement of Activities tracks the City's yearly revenues and expenses, as well as any other <br />transactions that increase or reduce total net positions. These amounts represent the full cost of providing <br />services. The Statement of Activities provides a more comprehensive measure than just the amount of <br />cash that changed hands, as reflected in the fund -based financial statements. This statement includes the <br />cost of supplies used, depreciation of long -lived capital assets, and other accrual -based expenses. <br />The following table presents the change in the net position of the City for the years ended December 31, <br />2012 and 2011: <br />Expenses <br />2012 2011 <br />Program <br />Revenues Net Change Net Change <br />Net (expense) revenue <br />Governmental activities <br />General government $ 18,976,842 $ 3,993,400 $ (14,983,442) $ (4,533,124) <br />Public safety 4,218,066 1,422,763 (2,795,303) (3,166,148) <br />Highways and streets 5,659,428 2,095,402 (3,564,026) (1,875,242) <br />Culture and recreation 1,216,583 667,197 (549,386) (1,223,948) <br />Interest and fiscal charges 2,555,567 — (2,555,567) (1,302,228) <br />Business -type activities <br />Water utility 1,228,012 3,152,893 1,924,881 546,685 <br />Sewer utility 1,152,760 1,625,013 472,253 92,453 <br />Street light utility 165,651 179,124 13,473 15,092 <br />Recycling utility 302,936 346,523 43,587 44,558 <br />Storm water utility 496,309 647,169 150,860 206,913 <br />Total net (expense) revenue $ 35,972,154 $ 14,129,484 (21,842,670) (11,194,989) <br />General revenues <br />Property taxes <br />General grants and contributions <br />Investment earnings <br />Sale of capital assets <br />Total general revenues <br />Change in net position <br />11,454,519 11,671,760 <br />9,175 120,932 <br />794,970 1,364,014 <br />14,716 <br />12,258,664 13,171,422 <br />$ (9,584,006) $ 1,976,433 <br />One of the goals of this statement is to provide a side -by -side comparison to illustrate the difference in the <br />way the City's governmental and business -type operations are financed. The City's governmental <br />operations tend to rely more heavily on general revenues, such as property taxes and unrestricted grants. <br />In contrast, the City's business -type activities tend to rely more heavily on program revenues like charges <br />for services (sales) and program specific grants to cover expenses. This is critical given the current <br />external downward pressures on general revenue sources such as taxes and state aids. <br />-17- <br />