1993 CAFR - Laserfiche WebLink

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JFTNANC1IA1L RTR171701Y (Continued) Trust and Agency Funds (continued): Expendable Trust Funds (continued) - Flexible Benefit Plan Fund: The Flexible Benefit Plan Fund is used to account for the City's flexible benefit plan which is classified as a "cafeteria plan" under Section 125 of the Internal Revenue Code. During 1993, $33,200 was the total pass through of employee contributions toward personal benefit program expenditures, compared to $32,960 for 1992. Economic Development Authority Fund: The Economic Development Authority Fund was established to account for all revenues and expenditures associated with City economic development activities within the City. On December 31, 1993, the fund balance was $169,194. Agency Funds - Agency funds are custodial funds (assets equal to liabilities) and do not involve measurement of operations. Agency funds are merely clearing accounts and have no fund equity. Minnesota, Kemper, Metropolitan Deferred Compensation and Great West Funds: The Minnesota, Kemper, Metropolitan Deferred Compensation and Great West Funds are used to account for employee deferred compensation plans created in accordance with Section 457 of the Internal Revenue Code. General Fixed Asset Account Group: The general fixed assets of the City are those fixed assets of tangible nature and significant value, which have a service life in excess of one year, are used in the performance of general governmental functions, and are not accounted for in the Enterprise Funds. These assets are accounted for in the General Fixed Asset Account Group. The City has chosen not to report infrastructure fixed assets such as streets, storm sewers, and similar assets that are immovable and of value only to the City. As of December 31, 1993, the general fixed assets of the City amounted to $4,066,365. This amount represents the original cost of the assets and is considerably less than their present replacement value. Depreciation is recognized in the City's accounting system for only the Enterprise Funds fixed assets, and not the general fixed assets. General Long -Term Debt Account Group General obligation bonds and other forms of long -term debt supported by general revenues and the full faith and credit of the City are obligations of the City as a whole and not a single individual fund. The proceeds from such debt may also be spent on facilities which are utilized in the operations of several funds. For these reasons, the amount of un- matured, long -term indebtedness, which is backed by the City, are accounted for and reported in a separate self - balancing group of accounts entitled General Long -Term Debt Account Group. During 1993, the City issued a general obligation tax increment refunding bond of which no part was taxable. x v