10-01-1984 Council Packet Special Meeting

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Memo 484-55 7 COUNCIL MEETING OCT - 1 i9G", TO: Ci 1 Council FROM: Tom Kuehn, Finance Director CITY OF ORONO DATE: September 27, 1984 SUBJECT: Auditor's Report on Projection of Special Assessment Funds In Apr i 1 1984 we contracted with the firm of An inson, Hendrickson & Company to perform a cash flow projection and analysis of the Special Assessment Funds. The purpose of the analysis was to determine if there was sufficient future assessment revenues to make the bond and interest payments as they came due, and to determine if it was necessary to levy the supplemental taxes to aid in the payment of future bond and interest. after reviewing the various assumptions projected we have determined that it will not be necessary to levy any future taxes for the payment of the current bond issues. However we will cancel these future levies one year at a time in case there are some drastic changes in future assessment collections. I have numbered the pages of the report in the lower right corner to make reference easier. The report covers the ttree Special Assessment Funds: 1966-76 Improvement; 1986 Improvement; and 1982 Improvement. The 1966-76 Improvement Fund contains the debt for the 1971 bonds and the 1976 bonds, the remaining funds contain one bond issue each as indicated by the year of the fund. I have highlighted the projected cash and investment balance after all bonds and interest have been made on each page. Pages 1, 6 and 8 reflect the status of each fund with no further tax levies. The 1966-76 Improvement Fund shows an ending balance in 1991 of $286,336 (page 1) after the final bond and interest payment. The 1980 Improvement Fund Pnding balance in 1996 is $334,653 (page 6) and the 1982 Improvement Fund ending balance in 1999 is $44,898 (-,age 8) . It is my understanding that these excess funds can ue transferred to other debt funds, construction funds, or to the general fund.