1998 CAFR - Laserfiche WebLink

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Late in 1998, the Police Department received a $1,000 State of Minnesota grant to assist with snowmobile enforcement. The department's efforts in this area are also supported by the use of a snowmobile donated by a local dealer and the .aid of five. volunteers from the Snow Rams snowmobile .club. The Police Department also received a $1,000 Minnesota Safe and Sober Traffic Enforcement grant in 1998. The focus of this grant is the usage of seat belts and compliance of DWI laws. The 30 member Fire Department responded to 351 fire incidents of which 103 were personal injury accidents. This compares to 1997 totals of 238 and 92, respectively. Both the Police and Fire Departments are dispatched through the Anoka County Communications Center, which saves the community significant expense in operational costs. Police Department jailing is also handled by Anoka County, as is a portion of crime investigation. In recognition of the increasing population, demand for service, and the geographic size of the City, negotiations are in process for the purchase of land that will be the site of a second fire station in the City. The new station will be located in the area of 161st Avenue and Armstrong Boulevard. Improved response times that result from a second fire station will be used in the re-evaluation of Ramsey's insurance rating. A lower rating may result in lower property insurance premiums. ACCOUNTING SYSTEM, INTERNAL, AND BUDGETARY CONTROLS The City's accounting system is organized and operated on a fund basis. Each fund or account group is a distinct, self-balancing accounting entity. The various funds and account groups utilized by the City are described in Note. 1 of the financial statements. All funds are in conformity with generally accepted j accounting principles applicable to governmental entities. Accounting and bookkeeping for all City activities are centralized under the Finance Department. The 1 responsibility for financial records, maintaining internal controls, and preparing financial and budgetary reports is delegated to this department The internal control structure is designed to ensure that the assets of the City are protected from loss, theft or misuse, and to ensure that adequate accounting data is compiled to allow for the presentation of financial statements in conformity with GAAP. The internal control structure is designed to provide reasonable, but 1 not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgements by management. ~ The City also maintains budgetary controls of which the objective is to ensure compliance with legal provisions embodied in the annual appropriated budget as approved by the City Council. During the year, the Council may increase the budget, but only to the extent that additional revenues have been realized. The i level of budgetary control (that is, the level at which expenditures cannot legally exceed the appropriated amount) is at the department level for budgeted funds. The City Council also adopts afive-year Capital Improvement Program as a financial planning document. CASH MANAGEMENT The City of Ramsey subscribes to the "pooled cash" concept of investing, which means that all funds with cash balances (except certain funds) participate in an investment pool. This pooled cash concept provides for investing greater amounts of money at more favorable rates. During 1998, the City earned $1,109,056 from investments in obligations issued by the United States and its agencies, bank certificates of deposit, and commercial paper. -ix-