2020.05.12 CC Minutes - Laserfiche WebLink

Home Browse Search

May 12, 2020 Page 4 of 6 and Development Director Schlichting explained staff had established a 10% contingency into this project. Councilmember Jacobsen reviewed the cost sharing proposed for this project and noted the City would be covering 75% of the street reconstruction expenses, along with all other watermain, sewer and storm sewer improvements. A roll call vote was taken. 5 Ayes, 0 Nays-Motion Carried Council Business 1. Consideration of Acceptance of the City’s Comprehensive Annual Financial Report, Auditor Communication Letter, and Reports on Compliance for Fiscal Year Ending December 31, 2019. Motion by Councilmember Jacobsen, seconded by Councilmember Allen to accept the Comprehensive Annual Financial Report, Audit Communication Letter, and Reports on Compliance with Government Auditing Standards and Legal Compliance for fiscal year ending December 31, 2019. City Manager Massopust stated preparation of the City’s Comprehensive Annual Financial Report (CAFR) for the year ending December 31, 2019, has been completed. BerganKDV, our independent auditing firm, has completed their audit of our accounting records and financial statements. They have issued an unqualified, or clean opinion that our financial statements are presented fairly in all material respects. He explained a representative from Bergan KDV would be joining the meeting remotely in order to provide the Council with a presentation on the 2019 Audit. Interim Finance Director Smith provided the Council with an update on the 4th Quarter financials. She reviewed the General Fund revenues and expenditures. It was noted licenses and permits came in higher than expected due to new development activity. In addition, Investment Income and Personnel assisted in increasing the General Fund. She reported decreases to the Fund Balance occurred from property tax pending petitions. The balance within the City’s utility funds was reviewed with the Council in further detail. She thanked her finance team for all of their assistance throughout the audit process. Andrew Grice, Bergan KDV, presented the Council with the results of the 2019 Audit. He thanked Ms. Smith and her staff for adapting to the new process that had to be followed for this years audit. He described the components of an audit and commended the City for its strong financial position. He reported the City had received an unmodified opinion which was the best opinion an auditor is able to offer. He summarized the performance of the General Fund, along with the City’s utility funds from 2019, noting the overall revenues and expenditures. Councilmember Jacobsen questioned if it was common for Ramsey County to withhold property taxes for pending petitions. He asked if the City has seen repayment of these funds to date. Interim Finance Director Smith commented these funds have not been paid to the City in 2020, but a resettlement would occur in the May property tax payment if matters were settled. She indicated there was an abnormally high amount pending petitions with Ramsey County in 2019. Councilmember Jacobsen stated he was proud of the strides the City was making to reduce the level of outstanding debt. He explained the City Council was acting in the best interest of the residents and was remaining fiscally sound. He thanked staff and Mr. Grice for their tremendous efforts on behalf of New Brighton. Councilmember Allen agreed stating the City was making positive strides to improve its financial strength while increasing its overall tax capacity. A roll call vote was taken. 5 Ayes, 0 Nays-Motion Carried Council Business 1. Consideration of Acceptance of the City’s Comprehensive Annual Financial Report, Auditor Communication Letter, and Reports on Compliance for Fiscal Year Ending December 31, 2019.