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GOVERNMENT -WIDE FINANCIAL STATEMENTS
<br />In addition to fund -based information, the current reporting model for governmental entities also requires
<br />the inclusion of two government -wide financial statements designed to present a clear picture of the City
<br />as a single, unified entity. These government -wide fmancial statements provide information on the total
<br />cost of delivering services, including capital assets and long-term liabilities.
<br />STATEMENT OF NET POSITION
<br />The Statement of Net Position essentially tells you what your city owns and owes at a given point in time,
<br />the last day of the fiscal year. Theoretically, net position represents the resources the City has leftover to
<br />use for providing services after its debts are settled. However, those resources are not always in
<br />spendable form, or there may be restrictions on how some of those resources can be used. Therefore, net
<br />position is divided into three components: net investment in capital assets, restricted, and unrestricted.
<br />The following table presents the components of City's net position as of December 31, 2012 and 2011 for
<br />governmental activities and business -type activities:
<br />As of December 31, Increase
<br />2012 2011 (Decrease)
<br />Net position
<br />Governmental activities
<br />Net investment in capital assets $ 41,998,822 $ 39,794,321 $ 2,204,501
<br />Restricted 14,632,006 22,103,948 (7,471,942)
<br />Unrestricted 7,298,825 14,433,838 (7,135,013)
<br />Total governmental activities 63,929,653 76,332,107 (12,402,454)
<br />Business -type activities
<br />Net investment in capital assets 50,843,868 51,748,092 (904,224)
<br />Unrestricted 27,486,732 23,764,060 3,722,672
<br />Total business -type activities 78,330,600 75,512,152 2,818,448
<br />Total net position
<br />$ 142,260,253 $ 151,844,259 $ (9,584,006)
<br />The decrease in the restricted net position of governmental activities is consistent with our earlier
<br />discussion of the City's approved expenditures within tax increment district 14 for The COR (Center Of
<br />Ramsey) development project. The decrease in the unrestricted net position was also for development
<br />costs within The COR, financed with tax increment financing bonds. The increase in the net investment
<br />in capital assets for governmental activities reflects the City's continued investment in capital asset
<br />infrastructure.
<br />The change in the net position for business -type activities is consistent with our earlier discussion for the
<br />utility operations which are presented under the same full accrual basis of accounting.
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