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Proprietary Funds — The City's Proprietary Funds provide the same type of information found in the <br />government -wide financial statements, but in more detail. The City's Enterprise Funds had a combined net <br />position balance of $96,677,630 at December 31, 2018. The financial activities of these funds have been <br />summarized in previous charts within this discussion. The City's Internal Service Fund had an ending net <br />position of $497,694. <br />The Enterprise Funds consist of the Water Utility Fund, Sewer Utility Fund, Street Light Utility Fund, Recycling <br />Utility Fund, and Storm Water Utility Fund. The growth in net position reflects the ongoing expansion and <br />provision of services to the various service areas of the utilities. <br />Capital Assets — The City's investment in capital assets (net of accumulated depreciation) for its governmental <br />and business -type activities as of December 31, 2018 are as follows: <br />Govemmental Bus ines s -Type <br />Activities Activities <br />Totals <br />24.15. 2IIwZ zwa 251.11 24.]S 2S1.1Z <br />Land $ 6,848,022 $ 6,848,022 $ 868,513 $ 868,513 $ 7,716,535 $ 7,716,535 <br />Constmction in progress 2,224,390 1,615,891 30,731 1,214,149 2,255,121 2,830,040 <br />Buildings andstmctures 29,291,844 29,402,849 6,058,847 6,058,847 35,350,691 35,461,696 <br />Improvements other than buildings 11,632,254 11,089,703 17,089,778 15,744,605 28,722,032 26,834,308 <br />Office equipment 675,058 668,396 - - 675,058 668,396 <br />Motor vehicles 3,776,621 3,968,685 - - 3,776,621 3,968,685 <br />Machinery and equipment 7,042,354 6,635,538 1,101,645 834,318 8,143,999 7,469,856 <br />Infrastructure 39,356,498 36,965,046 - - 39,356,498 36,965,046 <br />Water and sewer lines - - 51,003,308 50,097,118 51,003,308 50,097,118 <br />100,847,041 97,194,130 76,152,822 74,817,550 176,999,863 172,011,680 <br />Les s accumulated depreciation 33,165,906 30,279,339 22,499,484 20,962,265 55,665,390 51,241,604 <br />Totalcapitalas sets ,net of depreciation $ 67.681135 $ 66.914.791 $ 53.653.338 $ 53.855.285 $ 121334.473 $ 120.770.076 <br />Depreciation expense $ 3.429.643 $ 3.335.799 $ L580.361 $ 1511.968 $ 5.010.004 $ 4.847.767 <br />The City's investment in capital assets for its governmental and business -type activities as of December 31, 2018 <br />amounts to approximately $121 million (net of accumulated depreciation). <br />The governmental activities show an increase of $766,344 in capital assets attributable to an increase in <br />capitalized projects. Business -type activities show a decrease of $201,947 in capital assets. The decrease is <br />attributable to an increase in accumulated depreciation. Additional details of capital asset activity for the year <br />can be found in Note 4 of the notes to basic financial statements. <br />Long -Term Liabilities — The Debt Service Funds account for the accumulation of resources to finance all of <br />the City's general obligation bonds. The revenue sources for these funds include annual tax levies and special <br />assessments. At year-end, major debt service fund balance was $971,719 and non -major debt service fund <br />balance was $1,650,132 for a total of $2,621,851 in fund balance restricted for debt service. <br />The following table summarizes the City's long-term liabilities: <br />2018 2017 <br />Govemrnental Activities <br />BOrrds $ 25,295,000 $ 26,075,000 <br />Capital equipment certificates 875,000 1,020,000 <br />Compensated absences 905,627 847,202 <br />Net perrsiorr liability 4,683,942 5,892,660 <br />Total OP•-•• liability 645,239 565,491 <br />Subtotal 32,404,808 34,400,353 <br />Busirses s-type Activities <br />Net parrs ion liability <br />543,043 581,651 <br />Total $ <br />32,947,851 $ 34,982,004 <br />35 <br />