07-08-1996 Council Packet - Laserfiche WebLink

Home Browse Search

n To the City Council and Citizens of the City of Orono May 29, 1996 Speoal R ev ’ente Funds Special Revenue Funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specific purposes, including current operating expenses and capital outlay. Park Fund The Park Fund was created by Ordinance of the City Council to receive contributions for subdivisions in lieu of conveyance or dedication of land for parks, playgrounds, and other public purposes. Such contributions, termed park dedication fees, are to be used for the acquisition, development, or ma ntenance of "ublic parks, playgrounds, surface water holding areas (ponding areas), and debt retirement in connection with land previously acquired for such public purposes. The fund balance as of December 31, 1995 was $267,352. Improvt -Ment and Equipment C apital Qittlav Ft^-n The Improvement and Equipment Capital Outlay Fund was established to provide a source of funds for equipment purchases and improvements. The fund was established by a transfer from the General Fund and is maintained by annual budgeted transfers from the General Fund, by investment earnings, and by user charges to panicipating departments for certain office equipment. Expenditures are for non-Enterprise Fund purposes. The fund balance as of December 31, 1995 was $380,871. Birn.niN'f; C apital Outlay Fund The Building Capital Outlay Fund was established to receive annual budgeted transfers from the General Fund for the purpose of reducing the need for future bonding of non-Enterprise building facilities. The 1991 Public Facilities Capital Project Fund received several advances from the Building Capital Outlay Fund. As an offset to these transfers, proceeds from land sold to reduce the project costs were deposited in the Building Capital Outlay Fund. The City Council has determined that investment earnings of the Building Capital Outlay Fund w ill be used to partially pay the debt service of the 1991 Public Facilities Revenue Bonds. The Building Capital Outlay Fund balance at December 31, 1995 was $2,486,079. Debt Service Funds Debt Service Funds are used to account for the current year payment of matured principal and interest on long-term general bonded debt. Sources available for payment of the debt service are primarily provided by special assessments and property taxes. The combined fund balance for all Debt Service Funds as of December 31, 1995 was $1,367,973, an increase of 1.0% from 1994. C apital Project Funds Capital Project Funds are used to account for financial resources to be used for the acquisition or construction of major capital facilities. -9-