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ENTERPRISE FUNDS OVERVIEW
<br />The City maintains several enterprise funds to account for services the City provides that are financed
<br />primarily through fees charged to those utilizing the service. This section of the report provides you with
<br />an overview of the financial trends and activities of the City's enterprise funds, which include the Water,
<br />Sewer, Street Light, Recycling, and Storm Water Utility Funds.
<br />The utility funds comprise a considerable portion of the City's activities. We understand that the City is
<br />proactive in reviewing these activities on an ongoing basis and we want to reiterate the importance of
<br />continually monitoring these operations. Over the years, we have emphasized to our city clients the
<br />importance of these utility operations being self-sustaining, preventing additional burdens on general
<br />governmental funds. This would include the accumulation of net position for future capital improvements
<br />and to provide a cushion in the event of a negative trend in operations.
<br />ENTERPRISE FUNDS FINANCIAL POSITION
<br />The following table summarizes the changes in the financial position of the City's enterprise funds during
<br />the year ended December 31, 2025, presented both by classification and by fund:
<br />Enterprise Funds Change in Financial Position
<br />Net Position
<br />as of December 31,
<br />2025 2024
<br />Change
<br />Net position of enterprise funds
<br />Total by classification
<br />Net investment in capital assets $ 112,202,886 $ 95,749,335 $ 16,453,551
<br />Unrestricted 26,375,618 32,212,510 (5,836,892)
<br />Total enterprise funds $ 138,578,504 $ 127,961,845 $ 10,616,659
<br />Total by fund
<br />Water Utility
<br />Sewer Utility
<br />Street Light Utility
<br />Recycling Utility
<br />Stoiin Water Utility
<br />$ 81,596,261 $ 76,068,276 $ 5,527,985
<br />30,521,998 27,859,546 2,662,452
<br />2,122,277 2,038,066 84,211
<br />400,037 416,994 (16,957)
<br />23,937,931 21,578,963 2,358,968
<br />Total enterprise funds $ 138,578,504 $ 127,961,845 $ 10,616,659
<br />In total, the net position of the City's enterprise funds increased by $10,616,659 during the year ended
<br />December 31, 2025. Additional capital grants, developer contributions, and connection fees, all
<br />contributed to the overall growth in net position.
<br />The increase in the net investment in capital assets portion of net position includes the City's use of
<br />unrestricted resources for infrastructure improvements in the current year, along with contributions from
<br />developers, which was partially offset by current year depreciation.
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