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GOVERNMENT-WIDE FINANCIAL ANALYSIS (CONTINUED) <br />At the end of the current fiscal year, the City is able to report positive balances in all three categories of net <br />position, both for the government as a whole, as well as for its separate governmental and business-type <br />activities. <br />Changes in the City’s proportionate share of state-wide pension obligations contributed to the differences in <br />amounts presented as deferred outflows, noncurrent liabilities, and deferred inflows in the previous table. The <br />start of construction on a new water treatment plant and significant developer contributions reported increased <br />capital assets, net of depreciation in the current year. <br />The following is a summary of the City’s changes in net position: <br />Changes in Net Position <br />Governmental Business-Type <br />Activities Activities Total <br />2023 2022 2023 2022 2023 2022 <br />Revenues <br />Program revenues <br />Charges for services 2,401,214$ 1,918,322$ 7,512,798$ 6,752,601$ 9,914,012$ 8,670,923$ <br />Operating grants and contributions 2,004,445 707,228 100,369 57,700 2,104,814 764,928 <br />Capital grants and contributions 5,163,608 9,697,841 3,949,772 4,839,693 9,113,380 14,537,534 <br />General revenues <br />Property taxes 20,126,982 17,637,477 - - 20,126,982 17,637,477 <br />Franchise fees - 4,859 - - - 4,859 <br />General grants and contributions 3,223 3,644 - - 3,223 3,644 <br />Investment earnings (charges)2,562,165 (286,023) 3,147,802 (4,935,417) 5,709,967 (5,221,440) <br />Gain on sale of capital assets 20,000 22,500 - - 20,000 22,500 <br />Total revenues 32,281,637 29,705,848 14,710,741 6,714,577 46,992,378 36,420,425 <br />Expenses <br />General government 5,347,691 4,967,112 - - 5,347,691 4,967,112 <br />Public safety 8,717,911 7,989,480 - - 8,717,911 7,989,480 <br />Highways and streets 8,670,486 5,308,212 - - 8,670,486 5,308,212 <br />Culture and recreation 2,194,755 1,997,522 - - 2,194,755 1,997,522 <br />Economic development 1,705,446 1,096,422 - - 1,705,446 1,096,422 <br />Interest and fiscal charges 1,258,959 564,462 - - 1,258,959 564,462 <br />Water utility - - 2,062,314 1,895,776 2,062,314 1,895,776 <br />Sewer utility - - 2,209,802 1,947,356 2,209,802 1,947,356 <br />Street light utility - - 173,924 172,765 173,924 172,765 <br />Recycling utility - - 527,182 514,231 527,182 514,231 <br />Storm water utility - - 864,721 791,605 864,721 791,605 <br />Total expenses 27,895,248 21,923,210 5,837,943 5,321,733 33,733,191 27,244,943 <br />Changes in net position before transfers 4,386,389 7,782,638 8,872,798 1,392,844 13,259,187 9,175,482 <br />Transfers 74,424 93,147 (74,424) (93,147) - - <br />Changes in net position 4,460,813 7,875,785 8,798,374 1,299,697 13,259,187 9,175,482 <br />Net position - beginning 107,826,384 99,950,599 107,366,344 106,066,647 215,192,728 206,017,246 <br />Net position - ending 112,287,197$ 107,826,384$ 116,164,718$ 107,366,344$ 228,451,915$ 215,192,728$ <br />Governmental Activities – Governmental activities account for a $4,460,813 increase in the City’s net position. <br />Capital grants and contributions decreased by $4,534,233 due to less street reconstruction funding and less <br />developer contributions. Operating grants and contributions increased by $1,297,217. The City received <br />$1,248,044 from the State of Minnesota at year end 2023 to be used for public safety expenditures. <br />30