1982 CAFR - Laserfiche WebLink

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1. Local Government Aid Laws - This law does not treat the City fairly, and action is currently being taken to initiate changes. These changes would create additional funds to improve planning and enact good management controls. 2. Bond Rating Change - Currently the City is striving to change its bond rating. The effects of this change would be very beneficial to the City and its citizens. Ramsey finances many of its improvement projects (primarily streets) with general obligation improvement bonds which are backed by the full faith and credit of the city. Varying portions of these improvements are generally assessed against benefited property owners. In the past, these improvements were accounted for in special assessment funds which included the project construction, debt service and outstanding debt on bonds. Because the bonds are backed by the full faith and credit of the City, Ramsey has decided, it is preferable to report these permanent improvements in the capital project and debt service fund types, and the outstanding general obligation improvement bonds in the general long -term debt account group. There are several advantages to this change in accounting. The resources available for the retirement of debt are clearly iden- tified and maintained in debt service funds, monitoring the adequacy of funds for debt payments is improved, and all construction for permanent improvements (other than parks) is shown in the capital project fund type. Independent Audit State law requires an annual audit of the City's financial records and transactions supporting the financial statements. This require- ment has been complied with and the auditors' opinion has been included in this report. The accompanying financial statements have been examined by Deloitte Haskins & Sells, independent public accountants. The firm is engaged by the City Council to render an opinion on the City's financial statements in accordance with generally accepted auditing standards. The City Council is responsible for: 1. Assuring that the city administration fulfills its responsibilities in the preparation of the financial statements; and 2. Engaging the independent public accountants with whom the City Council reviews the scope of the audits and the accounting principles to be applied in financial reporting. To ensure complete independence, Deloitte Haskins & Sells has full and free access to meet with the City Council to discuss the results of their examination and their assessment of the adequacy of internal accounting controls and the quality of financial reporting. 1