|
<br />
<br />City of Orono’s Capital Assets
<br />(Net of Depreciation)
<br />
<br />
<br />Additional information on the City’s capital assets can be found in Note 3B starting on page 65 of this report.
<br />
<br />Increase Increase Increase
<br />2022 2021 (Decrease)2022 2021 (Decrease)2022 2021 (Decrease)
<br />Land 7,677,435$ 7,677,435$ -$ 86,074$ 86,074$ -$ 7,763,509$ 7,763,509$ -$
<br />Construction in Progress 3,383,190 2,106,260 1,276,930 1,178,176 245,058 933,118 4,561,366 2,351,318 2,210,048.00
<br />Infrastructure 13,247,716 13,243,725 3,991 936,628 18,245,506 (17,308,878) 14,184,344 31,489,231 (17,304,887.00)
<br />Buildings and Systems 7,383,614 7,570,954 (187,340) (519) 1,007,169 (1,007,688) 7,383,095 8,578,123 (1,195,028.00)
<br />Improvements other than Buildings 1,981,263 2,081,191 (99,928) 493,656 (266) 493,922 2,474,919 2,080,925 393,994.00
<br />Machinery and Equipment 2,675,945 2,410,128 265,817 18,342,130 555,892 17,786,238 21,018,075 2,966,020 18,052,055.00
<br />Total 36,349,163$ 35,089,693$ 1,259,470$ 21,036,145$ 20,139,433$ 896,712$ 57,385,308$ 55,229,126$ 2,156,182$
<br />Percent increase (decrease)3.6%4.5%3.9%
<br />Governmental Activities Business-type Activities Total
<br /> Long-term Debt. At the end of the current fiscal year, the City had total bonded debt outstanding consisting of revenue
<br />related debt and general obligation debt as noted in the table below. While all of the City’s bonds have revenue streams,
<br />they are all backed by the full faith and credit of the City.
<br />
<br />State statutes limit the amount of G.O. debt a Minnesota city may issue to 3 percent of total estimated market value. The
<br />current debt limitation for the City is $107,592,654 Only the $18,290,000 in G.O. bonds is counted within the statutory
<br />limitation.
<br />
<br />City of Orono’s Outstanding Debt
<br />
<br />Increase Increase
<br />2022 2021 (Decrease)2022 2021 (Decrease)
<br />G.O. Revenue Bonds 17,650,000$ 18,385,000$ (735,000)$ 640,000$ 725,000$ (85,000)$
<br />Bond Premium 676,006 745,963 (69,957) 9,646 11,131 (1,485)
<br />Total 18,326,006$ 19,130,963$ (804,957)$ 649,646$ 736,131$ (86,485)$
<br />Governmental Activities Business-type Activities
<br />Additional information on the City’s long-term debt can be found in Note 3D starting on page 69 of this report.
<br />
<br />Economic Factors and Next Year’s Budgets and Rates
<br />
<br />• Utility rate increases are scheduled to be around 2% per year. These sustainable increases were made possible
<br />by analyzing the utility funds capital needs and making the difficult decision to increase rates significantly over
<br />the past three years.
<br />
<br />• Property values continue to rise, but at a much lower rate than in previous years. With indications that interest
<br />rates may remain at relatively high levels through next year, it is unlikely that the property tax base will expand as
<br />dramatically as it has over the last three years.
<br />
<br />• The creation and equipping of the Orono Fire Department has resulted in short term spike in capital expenditures
<br />that will last for a couple of years. The new equipment is being worked into the City’s Capital Improvement Plan
<br />so that large spikes in capital expenditures can be avoided in the future.
<br />Requests for Information
<br />
<br />Questions concerning any of the information provided in this report or requests for additional information should be
<br />addressed by writing to the City of Orono, 2750 Kelley Parkway, Orono, Minnesota 55356 or by calling (952) 249-4600.
<br />31 77
|