HomeMy WebLinkAbout2024/08/12 - ADMIN - Agenda Packets - City Council - Study SessionAGENDA
AUGUST 12, 2024
6:00 p.m. Study session – Council Chambers
Discussion items
1. Capital budget and levy recommendation
2. Review of 2023 Annual Comprehensive Financial Report
Written report
3. Development proposal for 5401 Gamble Drive – Ward 4
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Meeting: Study session
Meeting date: August 12, 2024
Discussion item: 1
Executive summary
Title: Capital budget and levy recommendation
Recommended action: No action recommended, for discussion purposes only
Policy considerations:
1. Does council support the proposed 2025 budget as drafted? The balanced budget consists of
an "all-inclusive” preliminary levy increase of 9% and includes the following components:
a. General levies (general fund (GF), park improvement, capital replacement and
employee benefits) of $42,438,312
b. Debt Service Levy of $6,856,221
c. Use of excess unobligated GF dollars for transfers of $947,000 in 2025
2. Does council support the proposed 5- and 10-year Capital Improvement Plans?
Summary: Recommendations in the proposed 2025 budget are based on maintaining high-
quality services and advancing city priorities while also making best use of public dollars.
Highlights include a:
• General fund levy increase that addresses several corrections to the city’s budget and
stops spending down one-time resources on ongoing costs.
• Multi-year plan to correct structural imbalances in capital replacement funds and
prepare for increased streetlight replacement needs in the next several years. The plan
relies on a combination of new levy revenue and use of one-time funds to smooth the
increase.
• Plan to incorporate previously unfunded projects as directed by council in April 2024
($3.5 million multi-year plan to address delamination; $300,000 MnDOT signal
replacements; $300,000 for Cedar Lake Trail connection)
Together, these changes result in an all-in 2025 property tax levy increase of 9% for property
taxpayers. In the months before the final levy approval, staff will continue to work to lower the
increase while maintaining the council’s policy priorities.
Financial or budget considerations: 2025 proposed budget and long-range financial plan
Strategic priority consideration: Not applicable.
Supporting documents: Appendix A, Appendix B
Prepared by: Amelia Cruver, finance director
Reviewed by: Cheyenne Brodeen, administrative services director
Cindy Walsh, deputy city manager
Approved by: Kim Keller, city manager
Study session meeting of August 12, 2024 (Item No. 1) Page 2
Title: Capital budget and levy recommendation
Discussion
Background:
City Council Budget Calendar
Date Agenda Item Topics
July 8 Council report and discussion: Base
budget and fee update
• Learnings from 2023
• Base Budget spending and revenues and
levy impact
• 2025 economic conditions
July 15 Council report and discussion:
Operating budget
Public Hearing: Fee update
• Proposed new operating budget spending
items in the 2025 budget and levy impact
Aug. 12 Council report and discussion:
Capital budget and levy
recommendation
• Proposed capital projects for 2025 and levy
impact
• Proposed 5 year Capital Improvement Plan
(CIP)
• Preliminary 2025 levy
Sept. 16 Council report, discussion and
vote: Approve maximum levy
• Revisions, if any, to the proposed capital and
operating budgets and associated levies
• Adoption of maximum 2025 levy
October
TBD
Council report and discussion: TIF
Management Report and
discussion
• TIF district performance
• TIF district recommended transfers and
decertification, if any
Mid
November
Truth in taxation property tax
notices sent out by the county
Residents receive an estimate of their 2025 tax bill
and information on the public hearing in December
Nov. 18 Council report and discussion:
Revised budget
• Revisions to the budget and adjustments to
the levy, as needed. In November, the levy
can only go down from the maximum set in
September
Dec. 2 Council report and public hearing:
Truth in Taxation
• Residents share feedback on the proposed
2025 budget
Dec. 16 Council report, discussion and
vote: Budget adoption
• Council adopts the 2025 budget and CIP
In 2023, St. Louis Park passed an “all-inclusive” levy increase of 7.7%. This included several new
FTEs and expanded programing that were also funded by savings and reallocating existing
budget line items.
2024 Capital Budget projects now underway:
• County Minnetonka Boulevard reconstruction and undergrounding
• Webster Park Construction (Ward 1)
Present considerations: The city’s budget comprises several funds, which expend dollars. Levies
and other revenue sources provide resources into the funds. Staff takes care to ensure each city
fund has long-term sustainability and sufficiency to meet the aligned city goals. This report
Study session meeting of August 12, 2024 (Item No. 1) Page 3
Title: Capital budget and levy recommendation
provides fund and capital expenditure information through the Capital Improvement Plan (CIP),
funding recommendations and rationale. It also provides updated general fund projections and
recommendations on use of one-time funds.
2025 CIP recommendations
2025 CIP summarized by funding source
Park improvement fund
Dollars in this fund support capital spending to maintain city parks. In addition to the park
improvement levy, park and trail dedication fees are an additional source of revenue for this
fund. This fund does not have an official target for its balance. In the past, the city has targeted
a $1 million reserve to manage drops in revenue related to trail and park dedication fees and
unforeseen cost increases. The fund balance at the end of 2023 was $3.2 million. In addition to
property tax revenues, trail and park dedication fees are expected to be more than $400,000
next year. Given the varied revenue sources in the park improvement fund and fund balance
more than double its target amount, we are recommending lowering the levy by $200,000 and
Study session meeting of August 12, 2024 (Item No. 1) Page 4
Title: Capital budget and levy recommendation
utilizing excess fund balance to cover planned expenditures resulting in a recommended levy of
$660,000 in 2025.
The proposed capital improvement projects in the park improvement fund include several
renovations to parks and playgrounds that support the city’s strategic priority to create
opportunities to build social capital through community engagement:
• Ainsworth Park (Ward 3): $80,000 new playground structure
• Bronx Park (Ward 3): $70,000 new playground structure
• Wolfe Park Amphitheater (Ward 4): $100,000 replacement of walkway and pavers at the
entrance of the park.
Information technology replacement fund
Dollars in this fund support capital spending to city information technology (IT) infrastructure
and equipment. Along with the municipal building replacement fund, the only source of
revenue for this fund is the capital replacement levy. The IT replacement fund supports
necessary city spending in all departments, including police and fire. This fund supports the
technology for business operations of all departments.
Examples of expenditures include:
• Ongoing software licenses
• Computers and other technology hardware and data storage
• Management of the city’s fiber network and servers
• Cybersecurity software, training and assessment
Like the municipal building replacement fund, the recommendation for the IT replacement fund
includes steady increases in the levy to address the structural imbalance of this fund and use of
one-time resources, including excess fund balance in the IT replacement fund, to bridge the
existing gap between spending and revenues.
Since the IT replacement fund is supported by the property tax levy that is paid out in two
payments starting in June, having enough cash in the fund to cover 40-50% of planned
expenses is a good target. At the end of 2023, the IT replacement fund had a cash balance of
$985,000. Staff recommends using $200,000 in fund balance in 2025 while also continuing to
step up the capital levy to close the structural imbalance in this fund over the next several
years.
Municipal building and infrastructure fund
This fund supports capital spending for all city facilities. As with the IT replacement fund, the
only source of revenue for this fund is the capital replacement levy. One-time transfers from
the city’s general fund have supported spending that exceeded levy revenues in recent years;
without adjustments, this structural imbalance will continue in future years. The adopted
budget in 2024 and plan for 2025-2028 included steady increases in the levy to address the
structural imbalance of this fund and use of one-time resources, including Public Safety Aid, to
bridge the existing gap between spending and revenues. 2025’s budget follows that plan.
Study session meeting of August 12, 2024 (Item No. 1) Page 5
Title: Capital budget and levy recommendation
Highlights in the proposed 2025 CIP in the building replacement fund include:
•HVAC equipment and controls upgrades
•Building safety and remodels
•Replacement of public safety equipment
In 2025, we are also creating a new division within the municipal building fund to address
municipal infrastructure. These needs have previously been addressed in the operating budget
for the public works department, though they have never been fully funded and instead rely on
salary and other savings. The new fund was created to help better track and fund the following
items in operations: streetlight poles, traffic signals, control cabinets, retaining walls, electrical
cabinets and sidewalk shaving (trip hazards). As more streetlights throughout the city reach the
end of their life, costs will increase. This fund does include streetlights in the city’s special
service districts, but more planning is needed to replace all of the assets in the city’s special
service districts; this is discussed later in the report.
In 2024, this fund will also support addressing delamination on streets where only an overlay
will be required. This overlay work can be done in-house by the city’s public works department.
In future years, delaminating streets will require a more intensive mill and overlay and
therefore will be worked into large road construction projects, funded through G.O. bond
proceeds and bid out with other major infrastructure projects for implementation.
Since the municipal building and infrastructure fund is supported by the property tax levy that
is paid out in two payments starting in June, having enough cash in the fund to cover 40-50% of
planned expenses is a good target. At the end of 2023, the municipal infrastructure fund had a
cash balance of $500,000. This is below that target, so staff are recommending a combination
of levy increases and excess general fund balance to fund the 2025 budget.
General Obligation (G.O.) bond funded projects
Each year, the city leads several road construction projects to improve pavement condition in
neighborhoods throughout the city. Construction on major streets, whether county or city
owned, can be single or multiyear projects and also requires city resources in the form of staff
expertise and financial outlay.
Cost estimates for the city’s annual pavement replacement projects are adjusted for inflation.
Staff uses 5% as the inflation factor. This is consistent with what the industry has been seeing
on construction projects.
In April 2024, the city council provided staff direction to incorporate the following projects into
the 2025-2034 CIP:
•MCWD: Minnehaha Greenway – Cedar Lake regional trail connection (2025)
•MnDOT signal replacements (2025 and 2026)
•Hennepin County: Minnetonka Boulevard reconstruction - phase 2 (2028) and phase 3
(2029)
•Delamination mitigation (2025- 2030)
Study session meeting of August 12, 2024 (Item No. 1) Page 6
Title: Capital budget and levy recommendation
This resulted in the following changes to the 2025-2034 CIP:
• Delamination in 2025 will be added to the municipal infrastructure fund which is
supported by the capital levy. This will increase the 2025 levy by $320,000. In 2026-2030
delamination work will be added to the road construction budgets for those years and
will largely by funded by bond proceeds. The anticipated cost to address all
delamination is $3.4 million, in 2024 dollars.
• The Minnehaha Greenway and Cedar Lake trail connection (2025), and Minnetonka
Boulevard reconstruction (2028) projects are planned to be funded through borrowing
(GO Bonds) and the MnDOT signal replacements (2025-2026) will utilize Municipal State
Aid dollars.
• TH100 service road loop improvements: this project was originally planned for 2034 but
was moved up to 2029 as a part of the 2024 CIP/ budget process in order for the city to
submit it as a potential bonding candidate in the 2024 legislative session. This effort was
unsuccessful. After a review of funding and staff workload needs for the projects added
to the 10-year CIP, staff recommends shifting the TH100 service road loop
improvements from 2029 back to 2034.
•
In 2024 – 2026, the large Cedar Lake Road and Louisiana Avenue Improvements project is
happening in addition to the city’s annual pavement management programming. The city is
implementing the new financing plan approved in the 2024 budget process that utilizes state
and federal grants, state aid and state aid backed borrowing, as well as utility fund revenues to
complete the project. Groundbreaking on this major project occurred in June and construction
is expected to conclude in 2026.
Other major projects in the proposed 2025 budget include pavement management projects in
the Wolfe Park, Westwood Hill and Cedar Manor neighborhoods and the Minnetonka
Boulevard reconstruction project in the Fern Hill and Triangle neighborhoods. These projects
are funded using franchise fees, general obligation bonds and utility revenues.
Utility revenue
Utility funds are also sometimes referred to as an enterprise fund, or a government fund that
conducts business type activities. The water, sewer, storm water and solid waste funds are
designed to be self-sustaining, meaning fees paid by users of each service cover the costs of
providing those services, including infrastructure maintenance, staff and contract costs. The
customers for each service vary from each other and from the pool of property taxpayers.
Water, sewer and storm water services are supported by all property owners within the city of
St. Louis Park, while solid waste users are only residents in single family homes (1–4-unit
buildings), with small multifamily units and certain small businesses able to opt-in.
Study session meeting of August 12, 2024 (Item No. 1) Page 7
Title: Capital budget and levy recommendation
Utility funds support large capital projects to ensure the city’s below-ground infrastructure is in
good condition and can meet the city’s service needs. The timing of major underground
infrastructure repair and replacement is driven by when work is being done on the road above
the infrastructure. The projects planned for 2025 in the Capital Improvement Plan funded out
of utility funds include:
• Louisiana & Cedar Lake Rd
• County Minnetonka Blvd project
• Commercial Street Rehab
• Sanitary Sewer lining projects
• Local Street Rehab (Area 3)
Five and ten-year capital improvement plans (CIP)
Appendix A shows the full list of projects in the five-year CIP by funding source.
Appendix B shows the ten-year CIP summarized by funding source.
Unfunded projects
As a future note, the city has additional capital needs on the horizon that will require additional
study and scoping before estimated costs and timing can be determined and incorporated into
the long-range financial plan and CIP. Important ones to call out include:
• Special service districts: The city has six special service districts (SSD) with infrastructure
that is nearing the end of its lifecycle. SSD agreements split infrastructure costs into two
categories: maintenance (which the district funds) and replacement (which the city
funds). The city will begin replacing light poles in SSDs this year and continue into the
medium term. Aging light poles are a safety hazard; thus, levy funds will be added to the
municipal infrastructure fund (formerly municipal building replacement fund) to allow
for public works to get started right away on this replacement work. Other parts of SSD
infrastructure will need to be planned into the city’s CIP in future years. Staff are
finalizing a plan this year that will be discussed in the 2025 connected infrastructure
systems discussions.
• Watermain/sanitary sewer vulnerability study: In early 2024, a citywide assessment of
the sanitary sewer and water systems was completed. The study will assist with
identifying additional capital investment and understanding additional geographic areas
where mitigation and repairs should be considered. This water and sanitary sewer risk
assessment will help better determine priorities for future infrastructure replacement
needs. The information provided in the study will be used to inform the 10-year CIP
starting in the 2026 budget process.
• Acoustic improvements at the ROC: The city is exploring options to improve the
acoustics at the ROC. Any acoustic changes will require funding which has not yet been
programmed.
• Feasibility and design studies: These studies are being completed on two major projects,
renovating the police station and renovating or replacing the pool at the aquatic center.
Both of these projects are still in the early stages of development and final costs are still
unknown. When staff recommendations are completed and costs are estimated, staff
will bring them to council for direction on whether to add to the CIP.
• Webster Park: The city has some dedicated funds for the purchase and design of
Webster Park in the 2024 budget. MnDOT has not yet provided a purchase price for the
park; therefore, staff will carry forward the money into 2025. Additional monies may be
Study session meeting of August 12, 2024 (Item No. 1) Page 8
Title: Capital budget and levy recommendation
needed to complete the purchase; additionally, funds will be needed to design and
develop the park.
Debt service
The city has the option of funding major capital expenditures with cash on hand, municipal
state aid (MSA), other one-time dollars or proceeds from bond sales that must be repaid
through debt service. The city currently has 9 issuances that it is repaying each year through the
debt service levy:
Current G.O. Bond Debt Service
Issue date Final Maturity Purpose 2025 Levy
2014 A 02/01/2026 Sidewalk and Trail Connection $561,550
2016 A 02/01/2027 Ice Arena and Outdoor Recreation Facility $1,163,569
2017 A 02/01/2028 Sidewalk, Trails, SWLRT, Fiber $393,238
2018 A 02/01/2029 Fiber Installation, Softball Field, Sidewalk, Trail $238,200
2019 A 02/01/2035 Westwood Hills Nature Center, SWLRT Line, Fiber
System, Sidewalk, trail and road construction
$1,427,481
2019 B 02/01/2032 Refunding 2010D $800,475
2020 A 02/01/2042 Dakota Bridge, Dakota Bikeway, Pavement
Management, SE Bikeway, SWLRT - Trail Bridge
$808,950
2021 A 02/01/2038 Louisiana Bridge, Park Improvement, Pavement
Management, Wooddale Bikeway
$1,072,568
2024A 02/01/2040 Sidewalks and trails, County Minnetonka Blvd $426,846
The current 5-year CIP will increase debt service payments steadily. We will have old debt
retiring in four of the next five years (beginning in 2026), which will offset some of the
increases.
Recommended CIP Debt Payment Forecast
2025 2026 2027 2028 2029
Current Payments $6,856,221 $6,878,750 $6,475,453 $6,448,875 $6,073,269
2025 Projects $645,000 $645,000 $645,000 $645,000
2026 Projects $446,000 $446,000 $446,000
2027 Projects $600,000 $600,000
2028 Projects $926,000
Total Debt Levy $6,856,221 $7,523,750 $7,566,453 $8,139,875 $8,690,269
2029 projects funded through borrowing won’t impact the debt service levy until 2030. These
estimated totals will change when the actual bonds are sold depending on the prevailing
interest rates, duration and the city’s continued stellar bond rating.
Putting it all together
The recommended CIP will impact the property tax levy in two ways. The levy will increase to
cover spending in funds that are supported directly by the levy: Park Improvement Fund, IT
capital replacement fund and municipal building and infrastructure fund. The levy will also
Study session meeting of August 12, 2024 (Item No. 1) Page 9
Title: Capital budget and levy recommendation
increase when new bonds are sold to fund major infrastructure projects by the annual debt
service amount.
The table below shows the overall proposed levy for 2025 that includes support for current
programs and staff, new recommended changes from the July 8 and 15 study sessions, and
recommended capital budget. The General Fund increase breaks down as follows:
• A little over $2M to cover the cost of the base budget, largely driven by inflation in
personnel costs, and an additional increase to cover reduced non-tax revenues that are
forecasted to decline in 2025.
• $740,000 increase to fund the operating decisions discussed in the 7/15 council report
in the general fund.
• $1.5M to support staff that have historically been funded out of the EDA and HRA levies.
The EDA and HRA levies have been reduced to offset this increase in the general fund
levy.
The capital replacement fund growth is driven by two factors:
• In the 2024 budget staff identified that revenues were falling short of expenses each
year. This budget and long-term plan recommends a gradual increase in the levy to
ensure that revenues match expenditures by the end of the 5-year outlook.
• Delamination in 2025 will be entirely levy supported, adding $320,000 in expenses in the
capital funds to 2025 only. The remainder of the project is to be funded through GO
bonding.
The debt service levy has also been adjusted since the July 15 discussion. In earlier charts, the
debt levy was set at $6.6M, a reflection of only needing to make one payment on the new
2024A bonds in 2025. However, because levy revenue does not come to the city until June, and
the first debt payment of 2026 is in February, we must levy for enough funds to cover the
February 2026 payment as well. Staff has adjusted the debt service levy up by $176,000 to
match that amount.
Study session meeting of August 12, 2024 (Item No. 1) Page 10
Title: Capital budget and levy recommendation
Recommended 2025 Levy
Fund 2024 Adopted Change
2025
Proposed
Percentage
Change
General Fund $34,147,654 $4,487,161 $38,634,815 13%
Capital Replacement Fund $2,177,793 $765,704 $2,943,496 35%
Park Improvement Fund $860,000 -$200,000 $660,000 -23%
Employee Benefits Fund $200,000 $200,000 0%
Subtotal General Levies $37,385,447 $5,052,865 $42,438,312 14%
Debt Service Levy $6,362,813 $493,408 $6,856,221 8%
General and Debt Service Levies $43,748,260 $5,546,273 $49,294,533 13%
Housing Redevelopment
Authority Levy
$1,744,133 -$550,000 $1,194,133 -32%
Economic Development
Authority Levy
$877,000 -$690,000 $187,000 -79%
Total Property Tax Levy $46,483,749 $4,191,917 $50,675,665 9.0%
A 9% levy increase is recommended as a preliminary maximum levy. Staff will continue to work
to reduce the overall levy increase by analyzing duplicative budget lines, verifying revenue
forecasts and looking for additional outside revenues and will report back to council in mid-
November on progress.
The table below shows the 5-year levy outlook. It assumes:
• A 4.5% growth in base spending in the general fund levy to support inflationary
increases in personnel costs.
• An increase of $390,000 in 2027 to support three fire full-time employees when the
SAFER grant expires.
• An increase in the debt service levy to support the planned debt funded projects in the
CIP.
• An increase in the capital levy that gradually grows to close the structural deficit in
those funds by 2029.
• HRA levy is held flat due to other revenues now going into AHTF.
• Economic Development Authority is increased by $187k in 2026 to cover ongoing costs,
then held flat.
Study session meeting of August 12, 2024 (Item No. 1) Page 11
Title: Capital budget and levy recommendation
Five-year Financial Outlook
Fund
2024
Adopted
2025
Proposed
2026
Forecast
2027
Forecast
2028
Forecast
2029
Forecast
General Fund $34,147,654 $38,634,815 $40,373,382 $42,580,184 $44,496,293 $46,498,626
Capital
Replacement
Fund
$2,177,793 $2,943,496 $3,237,846 $3,594,741 $4,152,494 $4,775,368
Park
Improvement
Fund
$860,000 $660,000 $760,000 $860,000 $860,000 $860,000
Employee
Benefits Fund
$200,000 $200,000 $200,000 $200,000 $200,000 $200,000
Subtotal
General Levies
$37,385,447 $42,438,312 $44,571,228 $47,234,925 $49,708,787 $52,333,994
Debt Service
Levy
$6,362,813 $6,856,221 $7,523,750 $7,566,453 $8,139,875 $8,690,269
General and
Debt Service
Levies
$43,748,260 $49,294,533 $52,094,978 $54,801,378 $57,848,662 $61,024,263
HRA Levy $1,744,133 $1,194,133 $1,194,133 $1,194,133 $1,194,133 $1,194,133
EDA Levy $877,000 $187,000 $374,000 $374,000 $374,000 $374,000
Total Property
Tax Levy
$46,483,749 $50,675,665 $53,663,110 $56,369,511 $59,416,794 $62,592,395
Total Levy
Growth
7.7% 9.0% 5.9% 5.0% 5.4% 5.3%
Next steps: Staff is working to estimate the impact that this budget will have on the city portion
of property taxes and anticipates being able to make that information available at the council
discussion on Aug. 12, 2024. These will be preliminary estimates that will be refined once the
county has finalized its calculations for taxes payable in 2025.
On Sept. 16, 2024, council will approve the preliminary maximum levy. Staff’s recommendation
is to approve a 9% levy increase, with the understanding that staff will continue to work
towards lowering the final levy that is approved in December.
Study session meeting of August 12, 2024 (Item No. 1) Page 12
Title: Capital budget and levy recommendation
Date Agenda Item Topics
July 8 Council report and discussion: Base
budget and fee update
• Learnings from 2023
• Base Budget spending and revenues and
levy impact
• 2025 economic conditions
July 15 Council report and discussion:
Operating budget
Public Hearing: Fee update
• Proposed new operating budget spending
items in the 2025 budget and levy impact
Aug. 12 Council report and discussion:
Capital budget and levy
recommendation
• Proposed capital projects for 2025 and
levy impact
• Proposed 5-year Capital Improvement Plan
(CIP)
• Preliminary 2025 levy
Sept. 16 Council report, discussion and
vote: Approve maximum levy
• Revisions, if any, to the proposed capital
and operating budgets and associated
levies
• Adoption of maximum 2025 levy
October
TBD
Council report and discussion: TIF
Management Report and
discussion
• TIF district performance
• TIF district recommended transfers and
decertification, if any
Mid
November
Truth in taxation property tax
notices sent out by the county
Residents receive an estimate of their 2025 tax bill
and information on the public hearing in
December
Nov. 18 Council report and discussion:
Revised budget
• Revisions to the budget and adjustments
to the levy, as needed. In November, the
levy can only go down from the maximum
set in September
Dec. 2 Council report and public hearing:
Truth in Taxation
• Residents share feedback on the proposed
2025 budget
Dec. 16 Council report, discussion and
vote: Budget adoption
• Council adopts the 2025 budget and CIP
2025 through 2029
Capital Improvement Plan: St. Louis Park, MN
Source Project #2025 2026 2027 2028 2029 Total
(1103) - General Fund Public Safety Aid fund balance
Body Armor *65990010 12,000 12,000
EMS - MED Kits *65990020 21,500 21,500
FS 1 Training Room AV Upgrades *34250001 10,000 10,000
FS Cameras Replacement *13185003 10,000 10,000
Hose/Nozzle *65990017 12,000 12,000
Hydraulic Rescue Tool *65990004 80,000 80,000
Ice/Water Rescue Cache *65990014 10,000 10,000
Outside Warning Sirens *65990002 5,000 5,000
Police: Body and Squad Dash
Cameras/Video Storage *13995067 245,000 245,000 490,000
Police: Squad Computers / Printers / Cell
Service *13995006 28,000 28,000
Thermal Imagers *65990001 50,000 50,000
(1103) - General Fund Public Safety Aid fund
balance Total 473,500 245,000 10,000 0 0 728,500
(4066) Park Improvement Fund
Buckthorn Management *22999903 25,000 25,000 25,000 25,000 25,000 125,000
Carpenter Park LED Ballfield
Replacement Pole/lte *21271101 225,000 225,000
Cedar Knoll Park - Carlson Field LED
replacement *21281301 300,000 300,000
Court Recon+Hoop - Twin Lakes Park
Basketball *21275801 50,000 50,000
Court Resurface - Aquila Park Basketball *21270301 14,000 14,000
Court Resurface - Bass Lake Tennis *21280401 14,000 14,000
Court Resurface - Birchwood Basketball *21260601 6,000 6,000
Court Resurface - Carpenter Park Tennis *21271105 17,500 17,500
Court Resurface - Fern Hill Park Tennis *21252101 5,000 5,000
Court Resurface - Northside Park Tennis *21274301 14,000 14,000
Court Resurface - Shelard Park Basketball *21285201 4,000 4,000
Court Resurface - Wolfe Park (Pklbll &
Bsktbll)*21276403 23,000 23,000
Dakota Park LED Baseball Field Light &
Pole Rplcmt *21261801 345,000 345,000
Landscaping - City Entrance Signs & MSC
Bldg *21999901 10,000 10,000 20,000 20,000 20,000 80,000
OR: Birchwood Park camera replacement *13995060 30,000 30,000
OR: Oak Hill Camera/Security/Wi-Fi
Replacements *13995052 35,000 35,000
OR: Park Shelter (Smaller) Camera
Replacements *13995053 14,000 14,000
OR: Rec Center / ROC / Lot Camera
Replacements *13995025 30,000 58,000 88,000
OR: Rec POS Stations *13995070 22,000 24,000 46,000
OR: Wolfe Park / Amphitheatre / Pool Wi-
Fi Replace *13995054 6,000 6,000
OR: Wolfe Park Pavilion S2 /
Amphitheatre Cameras *13995061 15,000 15,000
Produced Using Plan-It CIP Software Page 1 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 13
Park Building Upgrades-Electric furnaces *21279903 200,000 200,000
Park Hockey Rink LED Light Replacement *21299902 112,000 112,000
Park Parking Lot Resurface, 2026 *21269901 100,000 100,000
Park Parking Lot Resurface, 2029 *21299901 100,000 100,000
Park Shelter Replacement - various parks *21259905 150,000 150,000
Playground Eqpt Repl - Ainsworth Park +
concrete *21990101 80,000 80,000
Playground Eqpt Repl - Aquila Park *21990301 100,000 100,000
Playground Eqpt Repl - Bronx Park *21990902 70,000 70,000
Playground Eqpt Repl - Cedarhurst Park *21991503 70,000 70,000
Playground Eqpt Repl - Dakota Park *21991801 70,000 70,000
Playground Eqpt Repl - Hampshire Park *21992401 70,000 70,000
Playground Eqpt Repl - Jorvig Park *21992801 70,000 70,000
Playground Eqpt Repl - Louisiana Oaks
Park *21993601 105,000 105,000
Playground Eqpt Repl - Oak Hill Park (Big
eqpt)*21994403 105,000 105,000
Playground Eqpt Repl - Oak Hill Park (Tot
eqpt)*21994402 70,000 70,000
Playground Eqpt Repl - Parkview Park *21991712 70,000 70,000
Playground Eqpt Repl - Webster Park *21996112 65,000 65,000
Playground Eqpt Repl - Wolfe Park (tot)*21996403 70,000 70,000
Playground Woodchips *21999902 30,000 30,000 30,000 30,000 30,000 150,000
Pollinator Conversion / Maintenance *22239901 30,000 30,000 30,000 30,000 30,000 150,000
Rec Center Aquatic Park Concession Eqpt.
Rplcmt *25990215 10,000 10,000 10,000 30,000
Rec Center Aquatic Park Deck Furniture *25990212 15,000 15,000 15,000 45,000
Rec Center Aquatic Park Feature(s)*25270204 100,000 100,000
Rec Center Aquatic Park Pool Gutters *25250201 275,000 275,000
Rec Center Aquatic Park Pump
Replacement *25280201 75,000 75,000
Rec Center Arena Dasher Board Repair *24995008 75,000 90,000 165,000
Rec Center Arena (East) Dehumidification *24275004 400,000 400,000
Rec Center Arena (East) Light
Replacement *24255004 50,000 50,000
Rec Center Arena Hot Water Heaters *24295003 40,000 40,000
Rec Center Arena Refrigeration
Maintenance *24995006 15,000 15,000 15,000 45,000
Rec Center Arena (West) Entry Doors *24295004 200,000 200,000
Rec Center Arena (West) Locker Room
Remodel *24265003 375,000 375,000
Rec Center Arena (West) Roof Design *24255010 100,000 100,000
Rec Center Banquet Room Carpet
Replacement *24255003 25,000 25,000
Rec Center Cooling Tower Replacement *24275003 150,000 150,000
Rec Center Generator Replacement *24285004 500,000 500,000
Rec Center Landscaping (woodchips)*24995017 20,000 20,000 25,000 25,000 25,000 115,000
Rec Center Lobby Tile *24295002 300,000 300,000
Rec Center Restroom Plumbing *24275001 150,000 150,000
Rec Center/ROC Dasher Board
Replacement *24995003 150,000 150,000 150,000 450,000
Rec Center/ROC Scoreboard
Replacement *24295001 100,000 100,000
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 2 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 14
ROC Restrooms *27296601 250,000 250,000
ROC Roof Assessment *27246603 10,000 10,000 20,000
ROC Stucco Repair *27256601 25,000 25,000
ROC Turf Replacement *27286604 95,000 95,000
Trail Lighting *21259906 100,000 100,000
Trail (new), Hampshire Park to Otten
Pond *21269903 130,000 130,000
Trail Reconstruction *21259903 100,000 100,000
Trail Restoration *21999907 125,000 125,000 250,000
Tree Replacement (80% blvd + 20% parks)*22999901 100,000 100,000 100,000 100,000 100,000 500,000
Westwood Hills NC Boardwalk Deck Repl,
Ph 1,Wside *23256203 30,000 30,000 40,000 100,000
Westwood Hills NC Exhibit Wall *23286201 10,000 10,000
Westwood Hills NC Waterfall Deck
Redecking *23286203 20,000 20,000
Westwood Hills NC Waterfall liner repair *23256204 50,000 50,000
WHNC Surveillance Cameras, Building
Addition *13275019 50,000 50,000
Wolfe Park Amphitheater Pavers *21256403 100,000 100,000
(4066) Park Improvement Fund Total 1,630,000 1,473,000 2,301,500 1,653,000 1,866,000 8,923,500
(5001) - Water Utility
Admin Serv / Utilities: Infinity BI Service *13155014 666 666 666 666 666 3,330
County - Mtka Blvd (Chippewa Rd to
Aquila)*40297000 2,156,250 2,156,250
County - Mtka Blvd (Hwy 100 to France)*40237000 1,718,750 1,718,750
County - Mtka Blvd (Xylon to TH100)*40287000 5,950,000 5,950,000
Forcemain Replacement *53295003 150,000 150,000
GAC Replacement (WTP1)*53255003 100,000 100,000
GAC Replacement (WTP1)*53275002 110,000 110,000
GAC Replacement (WTP1)*53295004 115,000 115,000
OR: Asset Mgmt Software (CarteGraph)*13995011 11,000 11,000 11,000 12,000 12,000 57,000
OR: MSC Cameras *13995031 5,800 5,800
Replace Riding Mower in Utilities *53275005 20,000 20,000
SCADA Server Replacement *53265005 100,000 100,000
Street - Commercial street rehab *40281050 122,000 122,000
Street - Commercial street rehab *40271050 126,000 126,000
Street - Commercial street rehab *40261050 796,000 796,000
Street - Commercial street rehab *40251050 688,000 688,000
Street - Local street rehab (Area 3)*40251000 518,000 518,000
Street - Local street rehab (Area 4)*40261000 403,000 403,000
Street - Local street rehab (Area 5)*40271000 575,000 575,000
Street - Local street rehab (Area 6)*40281000 863,000 863,000
Street - Local street rehab (Area 7)*40291000 3,676,000 3,676,000
Street - MSA rehab (Louisiana & Cedar
Lake Rd)*40241100 1,073,415 1,111,320 2,184,735
Street - MSA rehab
(Oxford/Edgwd/Cambridge)*40291100 95,092 95,092
Water Treatment Plant Rehab, WTP1 *53285002 715,000 715,000
Water Treatment Plant Rehab, WTP10 *53275003 500,000 500,000
Water Treatment Plant Rehab, WTP6 *53265006 460,000 460,000
Water Treatment Plant Rehab, WTP8 *53255004 400,000 400,000
Water Well Rehab (SLP12)*53255001 105,000 105,000
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 3 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 15
Water Well Rehab (SLP13)*53285001 120,000 120,000
Water Well Rehab (SLP14)*53295002 85,000 85,000
Water Well Rehab (SLP15)*53265003 75,000 75,000
Water Well Rehab (SLP4)*53265002 75,000 75,000
Water Well Rehab (SLP8)*53245003 8,000 8,000
(5001) - Water Utility Total 4,622,831 3,031,986 1,342,666 7,782,666 6,295,808 23,075,957
(5101) - Sanitary Sewer Utility
Admin Serv / Utilities: Infinity BI Service *13155014 667 667 667 667 667 3,335
Bridge - Meadowbrook @ Minnehaha
Creek *40281700 862,125 862,125
County - Mtka Blvd (Chippewa Rd to
Aquila)*40297000 431,250 431,250
County - Mtka Blvd (Hwy 100 to France)*40237000 205,582 205,582
County - Mtka Blvd (Xylon to TH100)*40287000 700,000 700,000
OR: Asset Mgmt Software (CarteGraph)*13995011 11,000 11,000 11,000 12,000 12,000 57,000
OR: MSC Cameras *13995031 5,800 5,800
Sanitary sewer - Lining *40293000 650,000 650,000
Sanitary sewer- Lining *40253000 600,000 600,000
Sanitary sewer- Lining *40263000 605,000 605,000
Sanitary sewer- Lining *40273000 620,000 620,000
Sanitary sewer- Lining *40283000 635,000 635,000
Sanitary sewer - Oregon LS #7 *40273100 1,246,375 1,246,375
Sanitary sewer - Webster LS #10 *40253100 773,500 773,500
Street - Commercial street rehab *40281050 43,000 43,000
Street - Commercial street rehab *40271050 44,000 44,000
Street - Commercial street rehab *40261050 7,500 7,500
Street - Commercial street rehab *40251050 269,000 269,000
Street - Local street rehab (Area 3)*40251000 230,000 230,000
Street - Local street rehab (Area 4)*40261000 156,000 156,000
Street - Local street rehab (Area 5)*40271000 390,000 390,000
Street - Local street rehab (Area 6)*40281000 409,000 409,000
Street - Local street rehab (Area 7)*40291000 430,000 430,000
Street - MSA rehab (Louisiana & Cedar
Lake Rd)*40241100 50,000 50,000
Street - MSA rehab
(Oxford/Edgwd/Cambridge)*40291100 200,880 200,880
(5101) - Sanitary Sewer Utility Total 2,089,749 830,167 2,312,042 2,661,792 1,730,597 9,624,347
(5201) Solid Waste Utility
OR: Asset Mgmt Software (CarteGraph)*13995011 11,000 11,000 11,000 12,000 12,000 57,000
OR: MSC Cameras *13995031 5,800 5,800
(5201) Solid Waste Utility Total 11,000 11,000 11,000 12,000 17,800 62,800
(5301) - Stormwater Utility
Admin Serv / Utilities: Infinity BI Service *13155014 667 667 667 667 667 3,335
Alley construction *40281500 187,250 187,250
Alley construction *40291500 188,300 188,300
Alley construction *40261500 213,850 213,850
Alley construction *40251500 208,250 208,250
Alley construction *40271500 173,600 173,600
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 4 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 16
Bridge - Meadowbrook @ Minnehaha
Creek *40281700 695,750 695,750
OR: Asset Mgmt Software (CarteGraph)*13995011 11,000 11,000 11,000 12,000 12,000 57,000
OR: MSC Cameras *13995031 12,000 12,000
Storm water- Ainsworth Park
improvements *40264000 1,983,750 1,983,750
Storm water- BMP maintenance *40254300 61,000 61,000
Storm water- BMP maintenance *40264300 62,500 62,500
Storm water- BMP maintenance *40274300 64,000 64,000
Storm water- BMP maintenance *40284300 65,500 65,500
Storm water- BMP maintenance *40294300 67,000 67,000
Storm water - Carpenter Park
maintenance *40254200 690 690
Storm water - Carpenter Park
maintenance *40284200 27,830 27,830
Storm water- Lamplighter Pond rehab *40224001 223,800 223,800
Storm water- Louisiana station area
improvements *40294000 2,139,000 2,139,000
Storm water- Minnehaha Creek equalizer
pipe *40284002 104,363 104,363
Storm water- Otten Pond rehab *40274000 339,250 339,250
Storm water- Park Glen resliancy
improvements *40284001 104,362 104,362
Storm water- Rainwater rewards *40254500 54,800 54,800
Storm water- Rainwater rewards *40264500 56,000 56,000
Storm water- Rainwater rewards *40274500 57,200 57,200
Storm water- Rainwater rewards *40284500 58,400 58,400
Storm water- Rainwater rewards *40294500 59,600 59,600
Storm water- Shelard basin rehab *40284000 101,775 101,775
Storm water- Twin Lake outfall
replacement *40254000 225,400 225,400
Street - Commercial street rehab *40281050 187,000 187,000
Street - Commercial street rehab *40271050 193,000 193,000
Street - Commercial street rehab *40261050 117,600 117,600
Street - Commercial street rehab *40251050 373,000 373,000
Street - Local street rehab (Area 3)*40251000 516,000 516,000
Street - Local street rehab (Area 4)*40261000 614,000 614,000
Street - Local street rehab (Area 5)*40271000 779,000 779,000
Street - Local street rehab (Area 6)*40281000 818,000 818,000
Street - Local street rehab (Area 7)*40291000 859,000 859,000
Street - MSA rehab (Louisiana & Cedar
Lake Rd)*40241100 700,000 360,000 1,060,000
Street - MSA rehab
(Oxford/Edgwd/Cambridge)*40291100 291,400 291,400
(5301) - Stormwater Utility Total 2,374,607 3,419,367 1,617,717 2,362,897 3,628,967 13,403,555
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 5 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 17
Cable TV Franchise Fees
ParkTV live truck character generator
(CG)*11251001 25,000 25,000
Playback systems *11201014 100,000 100,000
Production switcher *11201015 45,000 45,000
Tripods for On Location *11151007 10,000 10,000
Van Camera Cables *11201003 13,000 13,000
Van Cameras *11201001 160,000 160,000
Cable TV Franchise Fees Total 160,000 10,000 0 145,000 38,000 353,000
Capital Levy - IT Capital Fund 06400
Admin Serv: HR Time Management
System *13165007 4,120 4,244 4,371 4,502 4,637 21,874
Admin Serv - Hubble Budgeting Annual
Maintenance *13995017 27,318 28,138 28,982 29,851 30,747 145,036
Admin Serv:Laserfiche ECM System
Maintenance *13155006 43,709 45,020 46,371 47,762 49,195 232,057
Admin Serv: NeoGov E-Documents
Verification *13215002 8,742 9,004 9,274 9,552 9,839 46,411
Admin Serv: Tungsten Elec Accounts
Payable *13995068 15,298 15,757 16,230 16,717 17,218 81,220
B&E / Admin Serv: PIMS / PDS / SA
Upgrades *13185005 300,000 300,000
B&E / Fire / CD: Project Dox *13165009 46,840 46,840 46,840 46,840 46,840 234,200
Body / Dash Cams and Security Support *13995104 143,232 147,529 179,955 156,514 161,209 788,439
Fire: Stations A/V and EOC Presentation
Equipment *13995037 0 0
Fire: Zuercher Field Ops Mobile Solution *13185002 12,020 12,381 12,752 13,135 13,529 63,817
IR: Adobe Software Products Licensing *13995058 20,700 21,308 21,308 21,308 21,308 105,932
IR: Central City Hall Plotter (Lease)*13995029 7,431 7,653 7,883 8,120 8,363 39,450
IR: City Hall Council Chambers AV
Upgrade *13155008 225,000 225,000
IR: EOC Computer / Phone Equipment
Replacement *13995013 16,000 18,000 34,000
IR: Hosted / Managed Services / DR / BC *13135001 103,809 106,923 110,131 113,435 116,838 551,136
IR: Lidar (one-time) / ESRI GIS Hub *13195073 6,578 6,775 6,978 7,187 7,403 34,921
IR: LOGIS Software Applications *13995073 496,345 511,235 526,572 542,370 558,641 2,635,163
IR: MyStLouisPark CRM *13155007 24,040 24,761 25,504 26,269 27,057 127,631
IR: Network Equipment Battery (UPS)
Backup *13185009 25,000 25,000
IR: On-going Hardware Adds &
Replacement *13995003 150,000 220,000 139,000 143,000 148,000 800,000
IR: On-going Network Adds &
Replacement *13995002 136,591 140,689 144,909 149,257 153,734 725,180
IR: On-going Software Licenses, Mtce,
Development *13995001 385,000 400,000 420,000 440,000 460,000 2,105,000
IR: PCI Re-Assessment / Training /
Security *13125001 28,000 28,000
IR: Remote Building Large Scanner /
Plotter *13995036 6,229 6,415 6,608 6,806 7,010 33,068
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 6 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 18
IR: Surveillance Camera and S2 Locks
Maintenance *13995026 18,576 19,134 19,708 20,299 20,908 98,625
IR: Telephone Handset / Handless
Upgrades *13995035 60,000 60,000
IR: UHL Camera Servers Replacement -
City Hall *13995057 41,000 41,000
IR: Wireless Controller Replacement /
Expansion *13175006 35,000 35,000
IR: Wireless Hotspot Additions /
Replacements *13995041 11,000 11,000 12,000 34,000
OR: Asset Mgmt Software (CarteGraph)*13995011 11,000 11,000 11,000 12,000 12,000 57,000
Police: Body and Squad Dash
Cameras/Video Storage *13995067 245,000 245,000 245,000 735,000
Police: Dispatch Camera Viewing
Workstations *13995024 64,000 64,000
Capital Levy - IT Capital Fund 06400 Total 1,738,578 1,800,806 2,293,376 2,199,924 2,474,476 10,507,160
Capital Levy - Municipal Buildings and Infrastructure 06000
Auto-CPR Device *65990005 55,000 55,000
Body Armor *65990010 12,000 12,000
CH 1st & 3rd Floor Window and Blind
Replace *31260005 210,000 210,000
CH 1st Floor Carpet Replacement *31260001 35,000 35,000
CH 2nd Floor Windows and Blinds
Replace *31250002 210,000 210,000
CH Camera Replacement *13995016 15,000 15,000
CH Facility Assessment *31250001 50,000 50,000
CH, FS, PD, RC Ice Machine Replacement *31234271 30,000 30,000
CH Generator Head Gasket Replacement *31260004 35,000 35,000
CH HVAC Controls Update *31250004 20,000 20,000
CH, PD Campus Landscaping
Replacement *31240005 17,000 17,000
CH Timber Retaining Walls Replacement *31280001 150,000 150,000
City Facility Condition Assessments *31234261 50,000 50,000
Citywide Access Control System
Replacement *31234263 100,000 100,000
Citywide TV Replacements *31234262 10,000 10,000 20,000
Eng: GPS Base Station *13175001 25,000 25,000
FS 1 & 2 Air Conditioning Replacement *34290001 120,000 120,000
FS 1 & 2 Audio/Visual Replacement *34280002 10,000 10,000
FS 1 & 2 Boilers Replacement *34280001 80,000 80,000
FS 1 & 2 Carpet Replacement *34260004 70,000 70,000
FS 1 & 2 Exercise Equipment
Replacement *34270002 35,000 35,000
FS 1 & 2 Landscaping Replacement *34240001 16,000 16,000
FS 1 & 2 Mattress Replacement *34290003 15,000 15,000
FS 1 & 2 Office Furniture Replacement *34290002 100,000 100,000
FS 1 Decontamination Laundry Install *34250003 350,000 350,000
FS 1 Light Fixture Replacements *34260001 60,000 60,000
FS 1 Training Tower Modifications *34260002 50,000 50,000
FS Cameras Replacement *13185003 15,000 15,000
Gas Mask Fit Testing Equipment *20190100 17,000 17,000
Helmets/Boots *65990007 25,000 25,000
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 7 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 19
IR: Fiber Asset Management *13995066 58,000 59,000 60,000 61,000 62,000 300,000
IR: Fiber Network Modifications / Repairs *13995071 27,318 28,138 28,982 29,851 30,747 145,036
Message Board *20240002 15,000 15,000
MSC AC Server Room Replacement *33250006 22,000 22,000
MSC Boiler Replacement *33290002 100,000 100,000
MSC Campus Landscaping Replacement *33220002 22,000 22,000
MSC Carpet Replacement *33280002 18,000 18,000
MSC Car Wash/Hotsy Replacement *33250008 30,000 30,000
MSC & FS CO Nox Sensor Replacement *33140002 15,000 15,000 30,000
MSC Fuel Island Rebuild *33250009 200,000 200,000
MSC Gate Replacement *33270001 180,000 180,000
MSC Hoist Replacement *33250004 320,000 320,000
MSC HVAC Controls, Replacement *33250003 15,000 15,000
MSC Office Remodel *33280001 250,000 250,000
MSC Paint Booth Maintenance *33250001 25,000 25,000
MSC, PD Garage Door Opener
Transmitter Upgrade *33225001 15,000 15,000
MSC Roofing Replacement, Phase 1 *33250007 500,000 500,000
MSC Roofing Replacement, Phase 3 *33250010 500,000 500,000
MSC Roof Replacement, Phase 2 *3325 500,000 500,000
MSC Roof Top HVAC Unit Replacement *33290001 180,000 180,000
MSC Rooftop Solar Install *33260004 300,000 300,000
MSC Security Fence Install *33280003 50,000 50,000
MSC Wood Shop Windows Replacement *33270002 10,000 10,000
Operations Capital Improvement Fund *50254102 350,000 350,000
Operations Capital Improvement Fund *50264103 500,000 500,000
Operations Capital Improvement Fund *50274102 510,000 510,000
Operations Capital Improvement Fund *50284102 520,000 520,000
P-Admin Serv: Agenda Management
System *13175007 15,000 15,000 15,000 15,000 15,000 75,000
PD AC Replacement *32270002 100,000 100,000
PD Carpet Replacement *32280002 90,000 90,000
PD Ceiling Tile Replacement *32250002 20,000 20,000
PD Exercise Equipment Replacement *32260002 15,000 15,000
PD Exterior Bullet Resistant Glass
Installation *32260001 250,000 250,000
PD HVAC Control Replacement *32270003 12,000 12,000
PD Locker Replacement *32280001 110,000 110,000
PD Parking Gate Replacement *32260004 65,000 65,000
PD Range Targeting System Replacement *32260003 160,000 160,000
PD Replace Training Room Divider *32290001 35,000 35,000
PD Roof Replacement *32710001 500,000 500,000
PD Solar Install *32280003 300,000 300,000
PD Station Exterior Masonry
Maintenance *32270001 65,000 65,000
PD Water Heater Replacement *32290002 18,000 18,000
Police: 800 MHz Mobile Police Radios *13995004 80,000 61,000 48,000 189,000
Police: Interview Room Cameras *13995040 7,500 7,500
Police: Jail Cameras (17)*13995021 29,000 29,000
Police: Non-Jail Cameras *13995022 23,000 23,000
Police: Squad Computers / Printers / Cell
Service *13995006 28,000 173,000 280,000 481,000
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 8 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 20
RC Banquet/Gallery AV Replacement *35290001 80,000 80,000
RC Office Remodel, 2027 *37270001 140,000 140,000
RC Office Remodel, 2029 *37290001 140,000 140,000
RC Solar Addition (West Roof)*35270001 450,000 450,000
SCBA *65990003 502,535 502,535
Streets - Delamination *40251250 320,000 320,000
SWAT Robot *20180002 29,000 29,000
Technical Rescue Cache *65990016 25,000 25,000
Turnouts *65990006 140,000 140,000
Ventilation Fans *65990019 30,000 30,000
WHNC AV Updates *36260004 10,000 10,000 20,000
WHNC Bird Netting Installation *36260005 15,000 15,000
WHNC Parking Lot Entry Gate
Replacement *36250001 50,000 50,000
WHNC Projectors Replacement *36260002 25,000 25,000
WHNC Public Furniture Replacement *36290002 20,000 20,000
WHNC Rental Tables (Long) Replacement *36260003 15,000 15,000
WHNC Rental Tables, Round
Replacement *36270001 15,000 15,000
WHNC Security Camera Addition *36260001 30,000 30,000
WHNC Security Camera Replacement
(Half)*36280001 75,000 75,000
Capital Levy - Municipal Buildings and
Infrastructure 06000 Total 2,352,318 2,569,138 2,493,982 2,546,851 2,307,782 12,270,071
E-911 Funds
911 Server Replacement *13995069 180,000 180,000
Dispatch Consollettes *20210001 54,000 54,000
Fire / Police: Dispatch Voice Recorders *13995007 85,000 85,000
Police: Zuercher CAD Module Annual
Fees *13995042 38,423 40,344 42,362 44,480 46,704 212,313
E-911 Funds Total 92,423 40,344 42,362 224,480 131,704 531,313
Franchise Fees - Pavement Management Fund
Alley construction *40281500 347,750 347,750
Alley construction *40291500 349,700 349,700
Alley construction *40261500 397,150 397,150
Alley construction *40251500 386,750 386,750
Alley construction *40271500 322,400 322,400
Equipment - Survey GPS *40290000 26,000 26,000
Street - Commercial street rehab *40281050 1,029,000 1,029,000
Street - Commercial street rehab *40271050 1,234,000 1,234,000
Street - Commercial street rehab *40261050 1,700,300 1,700,300
Street - Commercial street rehab *40251050 1,563,000 1,563,000
Street - Local street rehab (Area 3)*40251000 2,765,000 2,765,000
Street - Local street rehab (Area 4)*40261000 2,912,000 2,912,000
Street - Local street rehab (Area 5)*40271000 3,073,000 3,073,000
Street - Local street rehab (Area 6)*40281000 4,015,000 4,015,000
Street - Local street rehab (Area 7)*40291000 3,077,000 3,077,000
Street - Maintenance project (Area 1)*40251200 463,840 463,840
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 9 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 21
Street - Maintenance project (Area 2)*40261200 316,150 316,150
Street - Maintenance project (Area 3)*40271200 284,410 284,410
Street - Maintenance project (Area 4)*40281200 432,260 432,260
Street - Maintenance project (Area 5)*40291200 527,110 527,110
Franchise Fees - Pavement Management Fund Total 5,178,590 5,325,600 4,913,810 5,824,010 3,979,810 25,221,820
G.O. Bonds
Bridge - Meadowbrook @ Minnehaha
Creek *40281700 303,125 303,125
County - Mtka Blvd (Chippewa Rd to
Aquila)*40297000 2,553,000 2,553,000
County - Mtka Blvd (Hwy 100 to France)*40237000 2,328,126 2,328,126
County - Mtka Blvd (Xylon to TH100)*40287000 4,988,680 4,988,680
CTP Bikeway - Sidewalk - Trail *40272000 433,000 433,000
CTP Bikeway - Sidewalk - Trail *40252000 300,000 300,000
Fire Truck Replacement *E - XX02 1,803,147 1,803,147
Rec Center Arena (West) Roof Design *24255010 700,000 700,000
Rec Center Boiler Replacement *24265004 1,000,000 1,000,000
Street - Commercial street rehab *40271050 1,094,000 1,094,000
Street - Commercial street rehab *40261050 135,600 135,600
Street - Commercial street rehab *40251050 363,000 363,000
Street - Local street rehab (Area 3)*40251000 1,705,000 1,705,000
Street - Local street rehab (Area 4)*40261000 642,000 642,000
Street - Local street rehab (Area 5)*40271000 1,093,000 1,093,000
Street - Local street rehab (Area 6)*40281000 1,476,000 1,476,000
Street - Local street rehab (Area 7)*40291000 1,766,000 1,766,000
Street - MSA rehab
(Oxford/Edgwd/Cambridge)*40291100 1,124,292 1,124,292
Streets- Delamination *40261250 577,172 577,172
Streets- Delamination *40271250 327,500 327,500
Streets- Delamination *40281250 1,229,800 1,229,800
Streets- Delamination *40291250 785,400 785,400
G.O. Bonds Total 4,696,126 3,054,772 4,750,647 7,997,605 6,228,692 26,727,842
G.O. Revenue Bonds
Street - MSA rehab (Louisiana & Cedar
Lake Rd)*40241100 1,250,000 1,870,207 3,120,207
G.O. Revenue Bonds Total 1,250,000 1,870,207 0 0 0 3,120,207
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 10 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 22
Internal Service revenue - Vehicle and
Equipment fund
Annual Equipment Replacement
Program *E - XX01 1,869,000 2,577,108 2,466,167 3,233,642 2,165,622 12,311,539
Flock License Plate Readers *20250002 25,000 25,000 25,000 25,000 25,000 125,000
Hand Gun Optics *20250003 67,446 5,900 5,900 5,900 5,900 91,046
M.F.F. Equipment Replacement *20250010 20,000 20,000
Police K9 Purchase *20250001 34,000 34,000
SWAT Ballistic Shields *20180003 10,000 10,000
SWAT Rifle replacement *20180001 15,000 15,000
Internal Service revenue - Vehicle and Equipment
fund Total 2,015,446 2,608,008 2,497,067 3,274,542 2,211,522 12,606,585
Met Council Grant
SWLRT- Park and Ride Ramp at Beltline
Station *40199006 2,500,000 2,500,000
Met Council Grant Total 2,500,000 0 0 0 0 2,500,000
Municipal State Aid
Bridge - Meadowbrook @ Minnehaha
Creek *40281700 3,013,000 3,013,000
MnDOT- TH169/ Cedar Lake Road
traffic signal *40268000 310,000 310,000
MnDOT- Traffic signals *40258000 300,000 300,000
Street - MSA rehab (Louisiana & Cedar
Lake Rd)*40241100 1,588,911 1,148,382 2,737,293
Street - MSA rehab
(Oxford/Edgwd/Cambridge)*40291100 4,571,649 4,571,649
Municipal State Aid Total 1,888,911 1,458,382 0 3,013,000 4,571,649 10,931,942
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 11 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 23
Police & Fire Pension
Police: 800 MHz Mobile Police Radios *13995004 0 180,000 180,000
Police: East / North Side Camera
Replacements *13995072 8,000 8,000
Police: Field Ops Subscription *13995056 9,288 9,567 9,854 10,149 10,454 49,312
Police: High Speed Cell Squad Modem
Replacements *13995055 20,000 20,000
Police: New CAD/RMS/Mobile Suite *13145010 400,000 400,000
Police: Roll Call / EOC AV Equipment
Replacement *13995043 120,000 120,000
Police: Squad Computers / Printers /
Cell Service *13995006 27,000 27,000
Police: Zuercher Crime View
Dashboard *13155020 10,927 11,255 11,593 11,941 12,299 58,015
Police & Fire Pension Total 140,215 655,822 21,447 22,090 22,753 862,327
State of Minnesota
Bridge - Meadowbrook @ Minnehaha
Creek *40281700 500,000 500,000
Street - MSA rehab (Louisiana & Cedar
Lake Rd)*40241100 3,000,000 3,000,000
State of Minnesota Total 3,000,000 0 0 500,000 0 3,500,000
U.S. Government
Street - MSA rehab (Louisiana & Cedar
Lake Rd)*40241100 3,470,667 1,588,000 5,058,667
U.S. Government Total 3,470,667 1,588,000 0 0 0 5,058,667
GRAND TOTAL 39,684,961 29,991,599 24,607,616 40,219,857 35,505,560 170,009,593
Source Project #2025 2026 2027 2028 2029 Total
Produced Using Plan-It CIP Software Page 12 / 12
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 24
Produced Using Plan-It CIP Software Page 1 / 2
2025 through 2034
Capital Improvement Plan: St. Louis Park, MN
Source 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Total
(1103) - General Fund Public Safety Aid fund
balance 473,500 245,000 10,000 728,500
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 25
Produced Using Plan-It CIP Software Page 2 / 2
Source 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Total
(4066) Park Improvement Fund 1,630,000 1,473,000 2,301,500 1,653,000 1,866,000 1,380,000 955,000 406,000 482,000 574,000 12,720,500
(5001) - Water Utility 4,622,831 3,031,986 1,342,666 7,782,666 6,295,808 4,752,000 5,292,531 5,268,000 5,503,000 5,578,000 49,469,488
(5101) - Sanitary Sewer Utility 2,089,749 830,167 2,312,042 2,661,792 1,730,597 1,193,000 1,289,025 1,244,000 2,054,800 2,235,000 17,640,172
(5201) Solid Waste Utility 11,000 11,000 11,000 12,000 17,800 13,000 13,000 88,800
(5301) - Stormwater Utility 2,374,607 3,419,367 1,617,717 2,362,897 3,628,967 1,773,525 2,403,462 3,649,950 1,181,400 3,937,820 26,349,712
Cable TV Franchise Fees 160,000 10,000 145,000 38,000 263,000 616,000
Capital Levy - IT Capital Fund 06400 1,738,578 1,800,806 2,293,376 2,199,924 2,474,476 2,248,065 2,342,722 20,000 800,000 15,917,947
Capital Levy - Municipal Buildings and
Infrastructure 06000 2,352,318 2,569,138 2,493,982 2,546,851 2,307,782 1,535,669 1,159,619 900,000 635,000 689,000 17,189,359
E-911 Funds 92,423 40,344 42,362 224,480 131,704 49,039 51,491 631,843
Franchise Fees - Pavement Management Fund 5,178,590 5,325,600 4,913,810 5,824,010 3,979,810 5,036,490 4,209,060 6,240,080 3,556,750 4,086,840 48,351,040
G.O. Bonds 4,696,126 3,054,772 4,750,647 7,997,605 6,228,692 2,810,026 2,736,188 1,506,578 2,954,623 12,212,500 48,947,757
G.O. Revenue Bonds 1,250,000 1,870,207 3,120,207
Internal Service revenue - Vehicle and Equipment
fund 2,015,446 2,608,008 2,497,067 3,274,542 2,211,522 3,330,437 938,598 700,410 17,576,030
Met Council Grant 2,500,000 2,500,000
Municipal State Aid 1,888,911 1,458,382 3,013,000 4,571,649 2,012,500 5,166,000 18,110,442
Police & Fire Pension 140,215 655,822 21,447 22,090 22,753 23,436 24,139 909,902
State of Minnesota 3,000,000 500,000 673,000 4,173,000
Tax Increment Financing 443,000 443,000
U.S. Government 3,470,667 1,588,000 5,058,667
GRAND TOTAL 39,684,961 29,991,599 24,607,616 40,219,857 35,505,560 24,850,686 24,100,335 19,935,018 16,367,573 35,279,160 290,542,365
Study sessionl meeting of August 12, 2024 (Item No. 1)
Title: Capital budget and levy recommendation Page 26
Meeting: Study session
Meeting date: August 12, 2024
Discussion item: 2
Executive Summary
Title: Review of 2023 Annual Comprehensive Financial Report
Recommended action: None. The report summarizes the results of the Annual Comprehensive
Financial Report (AFCR) for the year ended Dec. 31, 2023. Council will review the audit and
discuss its results.
Policy consideration: What additional information may the council want finance to provide
related to the 2023 Annual Comprehensive Financial Report?
Summary: The city is required to have an independent (external) audit each year, through
which the audit firm issues an opinion on the city’s financial statements. The city’s ACFR
received an unmodified audit opinion for the Dec. 31, 2023 report. For 2023, the auditor has
deemed St. Louis Park’s audit as “unmodified” which means that they are of the opinion that
the city’s financial statements present fairly, in all material respects, and are in accordance with
the applicable financial reporting framework for the Dec. 31, 2023 ACFR. In keeping with the
previous 39 years, the city has submitted the ACFR to the Government Finance Officers
Association for consideration of the Certificate of Achievement award for financial reporting.
We anticipate the submission will be accepted and the city will be, for the 40th consecutive
year, granted the award.
Rebecca Petersen from Redpath and Company will present the financial details. Because the
audit is public at the time it is finalized, it has been proactively added to the city’s website on
the finance department’s financial reports page: 2023 Annual Comprehensive Financial Report.
Financial or budget considerations: This report shows the City of St. Louis Park continues to
remain in strong financial condition.
Strategic priority consideration: Not applicable.
Supporting documents: 2023 Annual Comprehensive Financial Report
Minnesota Legal Compliance Report
Independent Auditor’s Report on Internal Control Over Financial
Reporting and On Compliance
Communication With Those Charged With Governance
Prepared by: Joe Olson, deputy finance director
Reviewed by: Amelia Cruver, finance director
Approved by: Kim Keller, city manager
Study session meeting of August 12, 2024 (Item No. 2) Page 2
Title: Review of 2023 Annual Comprehensive Financial Report
Discussion
Background: Each year the city is required to have an audit on the city’s financials, internal
controls, and a single audit (if applicable, the single audit is an audit of federal funds and is only
done when the city has expended over $750,000 in spending of federal funds in a fiscal year).
The completion of the audit will result in the Annual Comprehensive Financial Report (ACFR).
This report provides transparency to the public regarding the financial well-being of the City of
St. Louis Park. The city’s single audit will be reported to council and is due to the federal
government on Sept. 30, 2024.
2023 Annual Comprehensive Financial Report (ACFR): The Annual Comprehensive Financial
Report (ACFR) is located on our website under government/finance/financial reports. Here are
the highlights:
Governmental Fund Highlights:
•The fund balance for the city’s governmental funds increased $9,758,022 during 2023
from a beginning balance of $77,634,308 to an ending balance of $87,392,330. The
primary reasons for the increase are related to the $2,337,550 increase in the general
fund balance (mainly related to new aid received in 2023), street capital projects
increasing $4,337,339 (mainly related to a transfer in from the TIF redevelopment fund)
and a $2,279,678 increase the affordable housing trust fund.
•Total governmental revenues totaled $86,626,411, expenditures of $78,214,381 and
other financing sources (uses) totaled $1,345,992. The majority of the revenue and
expenditures collected and disbursed occurred in the general fund with revenue totaling
$47,927,635 and expenditures of $47,655,851.
•Within the other governmental funds category is the affordable housing trust fund. In
2023, the fund balance grew by $2,279,678 (from $6,398,525 to $8,678,208.)
•The street capital fund is where the city records revenues and expenditures for its major
road and bridge construction projects. Some major construction projects in the last few
years have relied on borrowing, reimbursement grants and state aid. At times the
spending happens in a different fiscal year than the revenue is received. This condition is
Governmental Fund Beginning Fund
Balance
Revenues &
Other Financing
Sources
Expenditures &
Other Financing
Uses
Ending Fund
Balance
General Fund 25,661,664 50,793,401 48,455,851 27,999,214
Housing Rehab 6,567,161 2,042,719 2,071,677 6,538,203
COVID Fund (76,598) 995,720 1,635,313 158,715
Debt Service Fund 6,405,593 8,733,236 7,328,594 7,810,235
Development EDA 18,559,583 3,423,070 3,635,807 18,346,846
Redevelopment District Fund 7,889,333 15,022,550 15,742,130 7,169,753
Street Capital Project Fund (8,082,998) 2,076,671 2,219,332 (3,745,659)
Other Governmental Funds 20,710,570 11,573,253 9,168,800 23,115,023
Study session meeting of August 12, 2024 (Item No. 2) Page 3
Title: Review of 2023 Annual Comprehensive Financial Report
driving the negative balance in those funds. Finance expects the fund balance to return
to a positive number within the next several years.
•Other Financing Sources (Uses) – are items that are not classified as revenue and
expenditures according to the Government Accounting Standards Board (GASB). This
includes items like transfers in and out to other funds, issuance of debt and other items
classified by GASB.
•The city’s cash and investments in the city’s governmental funds totaled $85,839,870.
The majority of the cash and investments for governmental funds are held in the city’s
general fund in the amount of $35,920,443 (which amounts to 41.8%).
General Fund Balance Highlights:
•The general fund balance ended Dec. 31, 2023 at $27,999,214. This is an increase of
$2,337,550 from the beginning fund balance of $25,661,664.
•The city will maintain an unassigned general fund balance of not less than 40-50% of the
subsequent year’s budgeted expenditures with a target of 45%. The ending 2023 general
fund unassigned balance is 46.2% of the city’s 2024 general fund budgeted expenditures of
$52,925,779. This equates to $627,361 additional unassigned fund balance over the
targeted 45%.
•The city uses five categories of fund balance for the general fund which include
nonspendable, restricted, committed, assigned and unassigned.
o Nonspendable general fund balance – the ending balance for this category is
determined by the total amount of prepaid and inventories the city has as of
year-end.
o Restricted general fund balance – this restriction is created based on an external
entity (i.e. State of MN or Federal Government) requiring monies to be spent in a
specified way.
o Committed general fund balance – items that were approved by the city council
for a specified way of spending.
o Assigned general fund balance – items established by the city council or an
official delegate of city council.
o Unassigned general fund balance – this encompasses all amounts that do not fit
the four categories listed above.
General Fund Classification Nonspendable Restricted Committed Assigned Unassigned
Prepaid items 161,715 - - - -
Inventories 284,249 - - - -
E-911 purposes - 214,971 - - -
Public safety aid - 2,194,317 - - -
Police - community engagement - -- 200,000 -
Tax court petitions - -- 500,000 -
Unassigned - -- - 24,494,578
General Fund
Study session meeting of August 12, 2024 (Item No. 2) Page 4
Title: Review of 2023 Annual Comprehensive Financial Report
Enterprise Fund Highlights:
•The city’s total net position for the city’s enterprise funds (water, sewer, storm water and
solid waste) increased $5,844,102 during the year of 2023, from a beginning balance of
$53,643,668 to an ending balance of $59,487,770.
•Operating revenues and operating expenses versus nonoperating. Operating revenues and
expenses are items closely related to the operations of the water, sewer, storm water and
solid waste funds (for example, the utility billing charges for services for the revenue and
operational charges like salary for expenses.) Nonoperating includes property taxes,
investment earnings and other.
•Capital contribution includes items of connection fees, special assessments and interfund
transfers.
•Enterprise funds cash and investments ended Dec. 31, 2023, with a balance of $16,044,716.
Internal Service Fund Highlights:
•The city’s net position for the city’s internal service funds decreased $4,214,926 during the
2023 year from negative $9,768,424 to negative $13,983,350. The primary reason for the
change is the pension obligations recorded in the employee benefits fund.
•Net pension obligations were the primary driver for the change in fund balance. This
determines the city’s overall share in the state’s employee pension plans (PERA, Police and
Fire). This liability is calculated by an actuary firm to determine the city’s share if the state
cannot make payment to the state employee pension plans. Changes align with the market
value of the assets the State invests in the pension plans.
Next Steps: This is an informational presentation after which our auditor and finance team will
be available if there are any questions. City council is asked to communicate any detailed or
technically specific questions financial questions ahead of the meeting so that finance staff may
review and gather information in preparation.
Revenues &
Transfers In
Expenses &
Transfers Out
Water 9,395,049 7,653,715
Sewer 9,476,404 7,279,048
Storm Water 3,920,283 2,420,533
Solid Waste 4,774,885 4,711,943
Revenues &
Transfers In
Expenses &
Transfers Out
Employee Benefits 4,575,983 8,333,596
Insurance 306,224 520,003
Vehicles & Equipment 1,814,769 1,318,111
Municipal Buildings 517,562 530,309
Technology 1,895,055 2,622,500
Annual Comprehensive
Financial Report
for the fiscal year ended Dec. 31, 2023
Kim Keller – City Manager
Prepared by: Finance Division
Member of the Government Finance Officers’
Association of the United States and Canada
Study session meeting of August 12, 2024 (Item No. 2) Title:
Review of 2023 Annual Comprehensive Financial Report Page 5
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 6
CITY OF ST. LOUIS PARK, MINNESOTA
ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED
December 31, 2023
Kim Keller – City Manager
Prepared by: Finance Division
Member of the Government Finance Officers’ Association
Of the United States and Canada
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 7
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Title: Review of 2023 Annual Comprehensive Financial Report Page 8
CITY OF ST. LOUIS PARK , MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
I.INTRODUCTORY SECTION
Letter of Transmittal 3
Certificate of Achievement 9
Services Chart 11
Officials of the City of St. Louis Park 13
II.FINANCIAL SECTION
Independent Auditor's Report 17
Management's Discussion and Analysis 21
Basic Financial Statements:
Government‐Wide Financial Statements:
Statement of Net Position Statement 138
Statement of Activities Statement 239
Fund Financial Statements:
Balance Sheet ‐ Governmental Funds Statement 340
Statement of Revenues, Expenditures and Changes in Fund Balances ‐
Governmental Funds Statement 442
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Governmental Funds to the Statement of Activities Statement 544
Statement of Net Position ‐ Proprietary Funds Statement 645
Statement of Revenues, Expenses and Changes in Fund Net Position ‐
Proprietary Funds Statement 747
Statement of Cash Flows ‐ Proprietary Funds Statement 848
Notes to Financial Statements 51
Required Supplementary Information:
Budgetary Comparison Schedule ‐ General Fund Statement 994
Budgetary Comparison Schedule ‐ Housing Rehabilitation Fund Statement 10 99
Schedule of Changes in Total OPEB Liability and Related Ratios Statement 11 100
Schedule of Proportionate Share of Net Pension Liability ‐ General Employees
Retirement Fund Statement 12 101
Schedule of Pension Contributions ‐ General Employees Retirement Fund Statement 13 102
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 9
CITY OF ST. LOUIS PARK , MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
Schedule of Proportionate Share of Net Pension Liability - Public Employees Police
and Fire Fund Statement 14 103
Schedule of Pension Contributions - Public Employees Police and Fire Fund Statement 15 104
Notes to RSI 105
Combining Fund Statements and Schedules:
Combining Balance Sheet - Nonmajor Governmental Funds Statement 16 114
Combining Statement of Revenues, Expenditures and Changes in Fund Balances -
Nonmajor Governmental Funds Statement 17 115
Special Revenue Funds:
Combining Balance Sheet - Nonmajor Special Revenue Funds Statement 18 118
Combining Statement of Revenues, Expenditures and Changes in Fund Balances -
Nonmajor Special Revenue Funds Statement 19 119
Capital Projects Funds:
Combining Balance Sheet - Nonmajor Capital Projects Funds Statement 20 122
Combining Statement of Revenues, Expenditures and Changes in Fund Balances -
Nonmajor Capital Projects Funds Statement 21 123
Debt Service Funds:
Combining Balance Sheet - Major Debt Service Fund Statement 22 126
Combining Statement of Revenues, Expenditures and Changes in Fund Balances -
Major Debt Service Fund Statement 23 128
Redevelopment District Funds:
Combining Balance Sheet - Major Redevelopment District Fund Statement 24 132
Combining Statement of Revenues, Expenditures and Changes in Fund Balances -
Major Redevelopment District Fund Statement 25 136
Streets Capital Projects Funds:
Combining Balance Sheet - Major Streets Capital Projects Fund Statement 26 143
Combining Statement of Revenues, Expenditures and Changes in Fund Balances -
Major Streets Capital Projects Fund Statement 27 144
Schedules of Revenues, Expenditures and Changes in Fund Balances -
Budget to Actual:
Cable Television Fund Statement 28 145
Community Development Fund Statement 29 146
Special Service Districts Fund Statement 30 147
Affordable Housing Trust Fund Statement 31 148
Climate Investment Fund Statement 32 149
Development EDA Fund Statement 33 150
Park Improvement Fund Statement 34 151
Pavement Management Fund Statement 35 152
Internal Service Funds:
Combining Statement of Net Position Statement 36 154
Combining Statement of Revenues, Expenses and Changes in Fund Net Position Statement 37 155
Combining Statement of Cash Flows Statement 38 156
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 10
CITY OF ST. LOUIS PARK , MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
III.STATISTICAL SECTION (UNAUDITED)
Financial Trends:
Net Position by Component Table 1162
Changes in Net Position Table 2164
Governmental Activities Tax Revenues by Source Table 3169
Fund Balances of Governmental Funds Table 4170
Changes in Fund Balances of Governmental Funds Table 5172
Revenue Capacity:
Assessed Value/Tax Capacity Value and Estimated Market Value
of all Taxable Property Table 6174
Property Tax Rates ‐ Direct and Overlapping Governments Table 7176
Principal Property Taxpayers Table 8178
Property Tax Levies and Collections Table 9179
Debt Capacity:
Ratios of Outstanding Debt By Type Table 10 180
Ratios of General Bonded Debt Outstanding Table 11 181
Direct and Overlapping Governmental Activities Debt Table 12 183
Legal Debt Margin Information Table 13 184
Pledged Revenue Bond Coverage Table 14 186
Demographic and Economic Information:
Demographic Statistics Table 15 187
Principal Employers Table 16 189
Operating Information:
Full‐Time Equivalent Employees by Function Table 17 190
Operating Indicators by Function Table 18 192
Capital Asset Statistics by Function Table 19 193
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I.INTRODUCTORY SECTION
1
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2
Study session meeting of August 12, 2024 (Item No. 2)
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St. Louis Park City Hall • 5005 Minnetonka Blvd., St. Louis Park, MN 55416
www.stlouispark.org • Phone: 952.924.2500 • TTY: 952.924.2518
June 26, 2024
Government’s citizens, as well as Honorable Mayor and Members of the City Council
City of St. Louis Park, Minnesota
Minnesota statutes require all cities to issue an annual report on its financial position and
activity prepared in accordance with generally accepted accounting principles (GAAP) and
audited in accordance with generally accepted auditing standards by a firm of licensed certified
public accountants, or the Office of the State Auditor. Pursuant to that requirement, we hereby
issue the annual comprehensive financial report (ACFR) of the City of St. Louis Park for the fiscal
year ended December 31, 2023.
This report consists of management’s representations concerning the finances of the City of St.
Louis Park. Consequently, management assumes full responsibility for the completeness and
reliability of all of the information presented in this report. To provide a reasonable basis for
making these representations, management of the City of St. Louis Park established a
comprehensive internal control framework that is designed both to protect the government’s
assets from loss, theft, or misuse and to compile sufficient reliable information for the
preparation for the City of St. Louis Park’s financial statements in conformity with GAAP.
Because the cost of internal controls should not outweigh their benefits, the City of St. Louis
Park’s comprehensive framework of internal controls has been designed to provide reasonable
rather than absolute assurance that the financial statements will be free from material
misstatement. As management, we assert that, to the best of our knowledge and belief, this
financial report is complete and reliable in all material respects.
The City of St. Louis Park’s financial statements have been audited by Redpath and Company
LLC, a firm of licensed certified public accountants. The goal of the independent audit was to
provide reasonable assurance that the financial statements of the City of St. Louis Park for the
fiscal year ended December 31, 2023, are free of any material misstatement. The independent
audit involved examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements; assessing the accounting principles used and significant estimates
made by management; and evaluating the overall financial statement presentation. The
independent auditor concluded, based upon the audit, that there was a reasonable basis for
rendering an unmodified opinion that the City of St. Louis Park’s financial statements for the
fiscal year ended December 31, 2023, are fairly presented in conformity with GAAP. The
independent auditor’s report is presented as the first component of the financial section of this
report.
3
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 15
St. Louis Park City Hall • 5005 Minnetonka Blvd., St. Louis Park, MN 55416
www.stlouispark.org • Phone: 952.924.2500 • TTY: 952.924.2518
Management’s Discussion and Analysis (MD&A) immediately follows the independent auditor’s
report and provides a narrative introduction, overview, and analysis of the basic financial
statements. This letter of transmittal is designed to complement the MD&A and should be read
in conjunction with it.
Profile of the Government
The City of St. Louis Park, established in 1886, is a first ring community located immediately
west of Minneapolis. Thanks to its convenient location, St. Louis Park combines all the cultural
amenities of a large metropolitan area with small town friendliness. The City of St. Louis Park
currently occupies a land area of 10.8 square miles and serves a population of 48,827. The City
of St. Louis Park is empowered to levy a property tax on both real and personal properties
located within its boundaries. While it also is empowered by state statutes to extend its
corporate limits by annexation, St. Louis Park is a completely developed community and is
bordered on all sides by other incorporated communities.
St. Louis Park operates under the council/manager form of government. Policy‐making and
legislative authority are vested in a City Council consisting of a mayor, two at‐large council
members, and four ward council members. The City Council is responsible, among other things,
for passing ordinances, adopting the budget, appointing committees, and hiring the City
Manager. The City Manager is responsible for carrying out the policies and ordinances of the
council, for overseeing the day‐to‐day operations of the City government, and for appointing
the heads of the various departments. The council is elected on a non‐partisan basis. Council
members serve four‐year staggered terms.
The City of St. Louis Park provides a full range of services, including police and fire protection;
redevelopment, the construction and maintenance of highways, streets, and other
infrastructure; water, sewer, storm water, and refuse services, as well as recreational activities
and cultural events.
The annual budget serves as the foundation for the City of St. Louis Park’s financial planning
and control. All departments and agencies of the City of St. Louis Park submit requests for
appropriation to the City Manager in June of each year. The City Manager uses these requests
as the starting point for developing a proposed budget. The City Manager then presents this
proposed budget to the council for review prior to adoption of a preliminary tax levy by
September 30. The council is required to hold a public hearing on the proposed budget and to
adopt a final budget no later than December 28.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 16
St. Louis Park City Hall • 5005 Minnetonka Blvd., St. Louis Park, MN 55416
www.stlouispark.org • Phone: 952.924.2500 • TTY: 952.924.2518
The appropriated budget is prepared by fund, (e.g. General), function (e.g., public safety), and
department (e.g., police). Department directors may make transfers of appropriation within a
department. Transfers of appropriations between funds, however, require the approval of the
City Council. Budget to actual comparisons are provided in this report for the general fund for
which an appropriated annual budget has been adopted. These comparisons are presented as
part of the basic financial statements for the governmental funds.
Factors Affecting Financial Condition
The information presented in the financial statements is perhaps best understood when it is
considered from the broader perspective of the specific environment within which the City of
St. Louis Park operates.
Local economy
The City of St. Louis Park currently enjoys a durable economic environment and local indicators
point to continued stability versus other communities in the Twin City Metro Area. The City of
St. Louis Park has a well‐diversified tax base, with a sizeable full valuation that includes retail,
manufacturing, and health care components, as well as diverse housing stock. Redevelopment
and Development efforts remain very strong in St Louis Park.
Redevelopment/Development
The City of St. Louis Park is committed to providing a broad range of housing and
neighborhood‐oriented development within the community. It is important to provide more
diverse and creative housing choices, while preserving existing affordable housing, and foster
and facilitate reinvestment and redevelopment of neighborhood‐oriented businesses and
services to meet the needs of current and future residents. The city has experienced significant
redevelopment in the past seven years. These new developments contain market rate and
affordable housing units, and commercial, retail, and service spaces to create more livable
neighborhoods and promote economic vitality. The city has used its tax increment financing
authority in many of these projects to advance specific community and economic development
priorities of the city.
Some of the larger projects completed in the past couple of years include:
Risor
Roers Companies constructed a new development, Risor, at 3510 Beltline Blvd., at the
intersection of Beltline Boulevard and 35th Street West. The development consists of a six‐
story, mixed‐use building with 170 rental residential units, 247 stalls of structured parking,
ground floor residential lobby and amenities, live‐work dwelling units and 4,000 square feet of
commercial space.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 17
St. Louis Park City Hall • 5005 Minnetonka Blvd., St. Louis Park, MN 55416
www.stlouispark.org • Phone: 952.924.2500 • TTY: 952.924.2518
The development is an age restricted 55+ community with 10% of the units affordable at 50%
area median income. The building has a large south facing roof top amenity deck, as well as a
sky lounge with views of Bass Lake Preserve.
Rise on 7
CommonBond redeveloped the former Prince of Peace Lutheran Church site at 8115 Hwy. 7
and constructed a five‐story, mixed‐use building called Rise on 7. The site contains 120 dwelling
units and a 6,600‐square‐foot daycare. All dwelling units at Rise on 7 are affordable with an
income range of 30% – 60% of area median income (AMI). The development exceeds the city's
minimum inclusionary housing and green building policies. Site improvements include outdoor
play areas for the apartments and the daycare, rooftop solar array, a rain garden and
underground stormwater management system.
Corsa
The Opus Group constructed a five‐story, 250‐unit, mixed‐use building with 7,714 square feet
of commercial space and six live/work units on the ground floor at 3440 Beltline Boulevard,
with an attached three‐story, above ground ramp and in a 28‐stall surface parking lot. The
development is mixed income with 10% of the units affordable at 50% area median income
(AMI).
Corsa is certified at the Silver Level through the National Green Building Standard. The
development also won a 2024 ReScape award from Minnesota Brownfields for its economic
impact.
Caraway
Greystar Real Estate Partners recently completed a six‐story apartment building in the West
End. The project includes 207 mixed‐income units ranging in size from studio to three
bedrooms and two levels of underground parking. The site also includes a new pocket park
along 16th Street and pedestrian improvements connecting the apartment to the rest of the
West End.
The project provides eight units affordable to households at 60% area medium income (AMI).
Parkway Residences, Phase I & II
Parkway Residences Phase I & II, located along West 31st Street near Glenhurst Avenue South
was completed in 2023. Phases I & II were completed in 2022 and 2023, respectively, and
include the construction of a four‐story, 95‐unit apartment building with two levels of
underground parking, a four‐story, 37‐unit apartment building with one level of underground
parking, and the rehabilitation of three existing apartment buildings that contain 24 units,
resulting in a total of 162 residential units. The project includes 24 units available at 50% area
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 18
St. Louis Park City Hall • 5005 Minnetonka Blvd., St. Louis Park, MN 55416
www.stlouispark.org • Phone: 952.924.2500 • TTY: 952.924.2518
median income and six units available at 60% area median income, and includes a variety of
sustainability features.
Volo at Texa Tonka
Volo at Texa Tonka includes a 101‐unit, four to five‐story multifamily building on the northeast
corner of Texas Avenue and Minnetonka Boulevard, and an 11‐unit, two‐story townhome
building on the northern portion of the site. The apartment building includes amenity spaces,
underground parking, enclosed parking at the first floor and surface parking on‐site with other
site amenities. Both buildings provide walk up units for residents with exterior entrances to
activate the street frontage. The development also connects the neighborhood to the Texa‐
Tonka shopping center and surrounding amenities like Rainbow Park and Cedar Lake Trail with
a public trail connection through the site and includes 20% of the units as affordable at 50%
area median income.
The City also sponsors a comprehensive rehabilitation loan program available to single family
and multi‐family homeowners. The first programs were started in the mid 1970’s and have
evolved into a comprehensive set of programs to ensure the preservation and enhancement of
the City’s housing stock.
Additionally, the city has a Convention and Visitors Bureau, which markets the desirability of St.
Louis Park for both business and recreational opportunities. This continues to be a very strong
partner with the City of St. Louis Park which has brought increased business and activities to the
city.
Long‐term Financial Planning
The City maintains a 10 year Long Range Financial Management Plan that incorporates
anticipated revenues, expenditures, capital outlay, and tax impacts for all relevant funds. The
plan anticipates opportunities or challenges, allows for changes to then be made, with the goal
of achieving long‐term sustainability. The plan is used in conjunction with the annual budget
process and Capital Improvement Plan, which then allows the City Council to evaluate various
budget decisions prior to adoption. This plan has proven its value by playing a significant role in
maintaining the City’s AAA bond rating from Standard & Poor’s, which assists in keeping the
costs of borrowing for the City of St. Louis Park at a low rate.
Awards
The Government Finance Officers Association of the United States and Canada (GFOA) awarded
a Certificate of Achievement for Excellence in Financial Reporting to the City of St. Louis Park for
its annual comprehensive financial report (ACFR) for the fiscal year ended December 31, 2022.
This was the 40th consecutive year that the government received this prestigious award. In
order to be awarded a Certificate of Achievement, a government must publish an easily
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 19
St. Louis Park City Hall • 5005 Minnetonka Blvd., St. Louis Park, MN 55416
www.stlouispark.org • Phone: 952.924.2500 • TTY: 952.924.2518
readable and efficiently organized annual comprehensive financial report (ACFR). The report
must satisfy both generally accepted accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current
annual comprehensive financial report (ACFR) continues to meet the Certificate of Achievement
Program’s requirements and we are submitting it to the GFOA to determine its eligibility for
another certificate.
Acknowledgements
The preparation of this report would not have been possible without the efficient and
dedicated services of the entire staff of the Finance Division and other key City of St. Louis Park
personnel. We would like to express our appreciation to all members of the organization who
assisted and contributed to the preparation of the report. Credit also must be given to the
Mayor and the City Council for their unfailing support for maintaining the highest standards of
professionalism in the management of the City of St. Louis Park’s finances.
Respectfully submitted,
Kim Keller Amelia Cruver
City Manager Finance Director
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 20
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of St. Louis Park
Minnesota
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
December 31, 2022
Executive Director/CEO
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City managerCommunity developmentEngineeringFire departmentPolice departmentRace equity and inclusionAdministrative servicesBuilding and energyParks and recreation Communications and technologyDeputy city managerCommunityCity councilPublic worksCity managerCity councilCommunityCity managerCity councilCommunityCity manager
City council
Community
Administrative services• City clerk• Finance(includes assessing, utility billing)• Human resourcesBuilding and energy• Construction codes• Property maintenance/licensing• SustainabilityCommunications and technology• Communications• Technology•3DUN79Community development•Housing• Economic development/redevelopment• Planning and zoningEngineering• Construction• Engineering services• TransportationFire department• Emergency response• Emergency management• EMS/community health• PreventionParks and recreation•)DFLOLWLHV• Parks maintenance LQFOXGHVIOHHWQDWXUDOUHVRXUFHV • Recreation programming(includes Westwood Hills Nature Center,Rec Center, ROC)Police department• Administration• Investigations•PatrolPublic works• Administration/asset management• Solid waste• Streets• Utilities11Study session meeting of August 12, 2024 (Item No. 2) Title: Review of 2023 Annual Comprehensive Financial ReportPage 23
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OFFICIALS OF THE CITY OF ST. LOUIS PARK
Yolanda Farris
Council
Jake Spano
Mayor
EDA Commissioner
Term Expires 01/2024
Nadia Mohamed
At-Large B Councilmember
EDA President Term
Expires 01/2024
At-Large A Councilmember
EDA Commissioner
Term Expires 01/2024
Margaret Rog
Ward 1 Councilmember
EDA Commissioner
Term Expires 01/2026
Lynette Dumalag
Ward 2 Councilmember
EDA Vice President
Term Expires 01/2026
Sue Budd
Ward 3 Councilmember
EDA Treasurer
Term Expires 1/2026
Tim Brausen
Ward 4 Councilmember
EDA Commissioner
Term Expires 1/2026
Executive Staff
Kim Keller, City Manager
Cindy Walsh, Deputy City Manager/Operations & Recreation Director
Bryan Kruelle, Police Chief
Steve Koering, Fire Chief
Karen Barton, Community Development Director
Brian Hoffman, Building & Inspections Director
Amelia Cruver, Finance Director
Debra Heiser, Engineering Director
Jacque Smith, IR & Communications Director
Rita Vorpahl, Human Resources Director
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II.FINANCIAL SECTION
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400 Robert Street North, Suite 1600, St. Paul, MN, 55101 651.426.7000 www.redpathcpas.com
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and
Members of the City Council
City of St. Louis Park, Minnesota
Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, the
business‐type activities, each major fund, and the aggregate remaining fund information of
the City of St. Louis Park, Minnesota, as of and for the year ended December 31, 2023, and
the related notes to the financial statements, which collectively comprise the City of St.
Louis Park, Minnesota's basic financial statements as listed in the table of contents.
In our opinion, the financial statements referred to above present fairly, in all material
respects, the respective financial position of the governmental activities, the business‐type
activities, each major fund, and the aggregate remaining fund information of the City of St.
Louis Park, Minnesota, as of December 31, 2023, and the respective changes in financial
position, and, where applicable, cash flows thereof for the year then ended in accordance
with accounting principles generally accepted in the United States of America.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the
United States of America and the standards applicable to financial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States.
Our responsibilities under those standards are further described in the Auditor's
Responsibilities for the Audit of the Financial Statements section of our report. We are
required to be independent of the City of St. Louis Park, Minnesota and to meet our other
ethical responsibilities, in accordance with the relevant ethical requirements relating to our
audit. We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinions.
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Title: Review of 2023 Annual Comprehensive Financial Report Page 29
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial
statements in accordance with accounting principles generally accepted in the United States
of America, and for the design, implementation, and maintenance of internal control
relevant to the preparation and fair presentation of financial statements that are free from
material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there
are conditions or events, considered in the aggregate, that raise substantial doubt about the
City of St. Louis Park, Minnesota’s ability to continue as a going concern for twelve months
beyond the financial statement date, including any currently known information that may
raise substantial doubt shortly thereafter.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements
as a whole are free from material misstatement, whether due to fraud or error, and to issue
an auditor's report that includes our opinions. Reasonable assurance is a high level of
assurance but is not absolute assurance and therefore is not a guarantee that an audit
conducted in accordance with generally accepted auditing standards and Government
Auditing Standards will always detect a material misstatement when it exists. The risk of
not detecting a material misstatement resulting from fraud is higher than for one resulting
from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control. Misstatements are considered
material if there is a substantial likelihood that, individually or in the aggregate, they would
influence the judgment made by a reasonable user based on the financial statements.
In performing an audit in accordance with generally accepted auditing standards and
Governmental Auditing Standards, we:
Exercise professional judgment and maintain professional skepticism throughout the
audit.
Identify and assess the risks of material misstatement of the financial statements,
whether due to fraud or error, and design and perform audit procedures responsive
to those risks. Such procedures include examining, on a test basis, evidence
regarding the amounts and disclosures in the financial statements.
Obtain an understanding of internal control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances, but not for the purpose
of expressing an opinion on the effectiveness of the City of St. Louis Park,
Minnesota's internal control. Accordingly, no such opinion is expressed.
Evaluate the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluate the
overall presentation of the financial statements.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 30
Conclude whether, in our judgment, there are conditions or events, considered in
the aggregate, that raise substantial doubt about the City of St. Louis Park,
Minnesota's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among
other matters, the planned scope and timing of the audit, significant audit findings, and
certain internal control related matters that we identified during the audit.
Change in Accounting Principle
As described in Note 16 to the financial statements, the City of St. Louis Park, Minnesota
adopted new accounting guidance for the year ended December 31, 2023, Governmental
Accounting Standards Board Statement No. 96, Subscription‐Based Information Technology
Arrangements. Our opinion is not modified with respect to this matter.
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management’s discussion and analysis, the budgetary comparison schedules, and the
schedules of OPEB and pension information, as listed in the table of contents, be presented
to supplement the basic financial statements. Such information is the responsibility of
management and, although not a part of the basic financial statements, is required by the
Governmental Accounting Standards Board who considers it to be an essential part of
financial reporting for placing the basic financial statements in an appropriate operational,
economic, or historical context. We have applied certain limited procedures to the required
supplementary information in accordance with auditing standards generally accepted in the
United States of America, which consisted of inquiries of management about the methods
of preparing the information and comparing the information for consistency with
management's responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not
express an opinion or provide any assurance on the information because the limited
procedures do not provide us with sufficient evidence to express an opinion or provide any
assurance.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements
that collectively comprise the City of St. Louis Park, Minnesota's basic financial statements.
The accompanying combining and individual nonmajor fund financial statements and
schedules are presented for purposes of additional analysis and are not a required part of
the basic financial statements. Such information is the responsibility of management and
was derived from and relates directly to the underlying accounting and other records used
to prepare the basic financial statements. The information has been subjected to the
auditing procedures applied in the audit of the basic financial statements and certain
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 31
additional procedures, including comparing and reconciling such information directly to the
underlying accounting and other records used to prepare the basic financial statements or
to the basic financial statements themselves, and other additional procedures in accordance
with auditing standards generally accepted in the United States of America. In our opinion,
the combining and individual nonmajor fund financial statements and schedules are fairly
stated, in all material respects, in relation to the basic financial statements as a whole.
Other Information
Management is responsible for the other information included in the annual report. The
other information comprises the introductory and statistical sections but does not include
the basic financial statements and our auditor's report thereon. Our opinions on the basic
financial statements do not cover the other information, and we do not express an opinion
or any form of assurance thereon.
In connection with our audit of the basic financial statements, our responsibility is to read
the other information and consider whether a material inconsistency exists between the
other information and the basic financial statements, or the other information otherwise
appears to be materially misstated. If, based on the work performed, we conclude that an
uncorrected material misstatement of the other information exists, we are required to
describe it in our report.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
June 26, 2024 on our consideration of the City of St. Louis Park, Minnesota’s internal control
over financial reporting and on our tests of its compliance with certain provisions of laws,
regulations, contracts, and grant agreements and other matters. The purpose of that report
is solely to describe the scope of our testing of internal control over financial reporting and
compliance and the results of that testing, and not to provide an opinion on the
effectiveness of the City of St. Louis Park, Minnesota's internal control over financial
reporting or on compliance. That report is an integral part of an audit performed in
accordance with Government Auditing Standards in considering the City of St. Louis Park,
Minnesota’s internal control over financial reporting and compliance.
REDPATH AND COMPANY, LLC
St. Paul, Minnesota
June 26, 2024
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Title: Review of 2023 Annual Comprehensive Financial Report Page 32
City of St. Louis Park
Management’s Discussion and Analysis
As management of the City of St. Louis Park, we offer readers of the City’s financial statements this
narrative overview and analysis of the financial activities of the City for the fiscal year ended
December 31, 2023. We encourage readers to consider the information presented here in
conjunction with additional information that we have furnished in our letter of transmittal, which
starts on page 3 of this report.
Financial Highlights
The assets and deferred outflows of resources of the City exceeded its liabilities and deferred
inflows of resources at the close of the most recent fiscal year by $204,697,105 (net position).
Of this amount, $56,237,393 (unrestricted net position) may be used to meet the government’s
ongoing obligations to citizens and creditors.
The City’s total net position increased by $6,116,093 as a result of revenues in excess of
expenses. $5,642,426 was a result of an increase of net position within business‐type activities,
and $473,667 from an increase of net position within governmental activities.
As of the close of the current fiscal year, the City’s governmental funds reported combined
ending fund balances of $87,392,330 an increase of $9,758,022 in comparison with the prior
year. The increase was primarily related to timing differences between capital project funding
and work completed on capital projects, new sources of revenue for the City in calendar year,
and the City increasing it’s support for housing increasing the Affordable Housing Trust fund
balance. Approximately 35 percent of this total amount, or $30,622,372, is either nonspendable
or restricted for specific purposes. The remaining fund balance was committed by City Council,
assigned or unassigned.
At the end of the current fiscal year, unassigned fund balance for the General fund was
$24,443,962 (46 percent) of the total subsequent year budgeted General fund expenditures.
The City’s total noncurrent liabilities, including compensated absences, lease liabilities,
subscription‐based IT arrangement liabilities, bonded debt, OPEB liability and net pension
liability decreased $33,447,311 during 2023. Principal paid on bonded debt during the year was
$7,615,000. Net pension liabilities decreased $25,251,673, $5,210,585 related to the State’s
General Employees Retirement Fund (GERF) and $20,041,088 related to the State’s Public
Employees Police and Fire Fund (PEPFF).
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City’s basic financial
statements. The City’s basic financial statements comprise three components: 1) government‐wide
financial statements, 2) fund financial statements, and 3) notes to the financial statements. This
report also contains other supplemental information in addition to the basic financial statements
themselves. The following chart (Figure 1) shows how the various parts of this annual report are
arranged and related to one another.
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City of St. Louis Park
Management’s Discussion and Analysis
The financial statements also include notes that explain some of the information in the financial
statements and provide more detailed data. The statements are followed by a section combining
fund financial statements and schedules that further explains and supports the information in the
financial statements. Figure 1 shows how the required parts of this annual report are arranged and
relate to one another. In addition to these required elements, we have included a section with
combining fund financial statements and schedules that provide details about nonmajor
governmental funds, which are added together and presented in single columns in the basic
financial statements. Internal service funds statements are also included, reflecting balances prior
to their elimination from the government‐wide financial statements, to avoid “doubling‐up” effect
within the governmental and business‐type activities columns of said statements.
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Study session meeting of August 12, 2024 (Item No. 2)
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City of St. Louis Park
Management’s Discussion and Analysis
Figure 2 summarizes the major features of the City’s financial statements, including the portion of
the City government they cover and the types of information they contain. The remainder of this
overview section of management’s discussion and analysis explains the structure and contents of
each of the statements.
Government‐wide Statements Governmental Funds Proprietary Funds
Scope Entire City government and
the City’s component units
The activities of the City that are
not proprietary, such as police, fire and
parks
Activities the City operates similar to
private businesses, such as the water
and sewer system
Required
financial
statements
• Statement of Net Position
• Statement of Activities
• Balance Sheet
• Statement of Revenues, Expenditures
and Changes in
Fund Balances
• Statement of Net Position
• Statement of Revenues, Expenses and
Changes in Net Position
• Statement of Cash Flows
Accounting basis and
measurement focus
Accrual accounting and economic
resources focus
Modified accrual accounting and
current financial resources focus
Accrual accounting and economic
resources focus
Type of asset/liability
information
All assets and liabilities, both
financial and capital, and short‐term
and long‐term
Only assets expected to be used
up and liabilities that come due
during the year or soon thereafter;
no capital assets included
All assets and liabilities, both financial
and capital, and short‐term
and long‐term
Type of deferred
outflows/inflows of
resources information
All deferred outflows/inflows of
resources, regardless of when cash is
received or paid
Only deferred outflows of
resources expected to be used up
and deferred inflows of resources
that come due during the year or
soon thereafter; no capital assets
included
All deferred outflows/inflows of
resources, regardless of when cash is
received or paid
Type of inflow/outflow
information
All revenues and expenses during the
year, regardless of when
cash is received or paid
Revenues for which cash is
received during or soon after the
end of the year; expenditures
when goods or services have been
received and payment is due
during the year or soon thereafter
All revenues and expenses during the
year, regardless of when
cash is received or paid
Fund Financial Statements
Figure 2
Major features of the Government‐wide and Fund Financial Statements
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City of St. Louis Park
Management’s Discussion and Analysis
Government‐wide financial statements – The government‐wide financial statements are
designed to provide readers with a broad overview of the City’s finances in a manner similar to a
private‐sector business.
The statement of net position presents information on all the City’s assets and deferred outflows
of resources and liabilities and deferred inflows of resources, with the difference between the
two reported as net position. Over time, increases or decreases in net position may serve as a
useful indicator of whether the financial position of the City is improving or deteriorating.
The statement of activities presents information showing how the government’s net position
changed during the most recent fiscal year. All changes in net position are reported as soon as the
underlying event giving rise to the change occurs, regardless of the timing of related cash flows.
Thus, revenues and expenses are reported in the statement for some items that will only result in
cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave).
Both of the government‐wide financial statements distinguish functions of the City that are
principally supported by taxes and intergovernmental revenue (governmental activities) from
other functions that are intended to recover all or a significant portion of their costs through user
fees and charges (business‐type activities). The governmental activities of the City include general
government, public safety, public information, operations, parks and recreation, housing and
rehabilitation, social and economic development, and interest on long‐term debt. The business‐
type activities of the City include water, sewer, solid waste, and storm water operations.
The government‐wide financial statements include not only the City itself (known as the primary
government), but also a legally separate Economic Development Authority (EDA) for which the
City is financially accountable. Financial information for this component unit is not reported
separately from the financial information presented for the primary government itself.
The government‐wide financial statements start on page 38 of this report.
Fund financial statements – A fund is a grouping of related accounts that is used to maintain
control over resources that have been segregated for specific activities or objectives. The City, like
other state and local governments, uses fund accounting to ensure and demonstrate compliance
with finance‐related legal requirements. All the funds of the City can be divided into two
categories: governmental funds and proprietary funds.
Governmental funds – Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government‐wide financial statements. However,
unlike the government‐wide financial statements, governmental fund financial statements focus
on near‐term inflows and outflows of spendable resources, as well as on balances of spendable
resources available at the end of the fiscal year. Such information may be useful in evaluating a
government’s near‐term financing requirements.
Because the focus of governmental funds is narrower than that of the government‐wide financial
statements, it is useful to compare the information presented for governmental funds with similar
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 36
City of St. Louis Park
Management’s Discussion and Analysis
information presented for governmental activities in the government‐wide financial statements.
By doing so, readers may better understand the long‐term impact of the government’s near‐term
financing decisions. Both the governmental fund balance sheet and the governmental fund
statement of revenues, expenditures, and changes in fund balances provide a reconciliation to
facilitate this comparison between governmental funds and governmental activities.
The City maintains seven individual major governmental funds. Information is presented
separately in the governmental fund balance sheet and the governmental fund statement of
revenues, expenditures, and changes in fund balances for the General Fund, Housing
Rehabilitation, COVID Fund, Debt Service, Development EDA, Redevelopment District, and Streets
Capital Projects, all of which are considered to be major funds. Data from the other ten
governmental funds are combined into a single, aggregated presentation. Individual fund data for
each of these non‐major governmental funds is provided in the form of combining statements
elsewhere in this report.
The City adopts annual appropriated budgets for the General Fund, the Special Revenue Funds of
Housing Rehabilitation, Cable Television, Community Development, Special Service Districts,
Affordable Housing Trust, and Climate Investment Funds, and the Capital Project Funds of the
Development EDA, Park Improvement, and Pavement Management Funds. Budgetary
comparison statements are provided for these funds to demonstrate compliance with this budget.
The basic governmental fund financial statements start on page 40 of this report.
Proprietary funds – The City maintains two different types of proprietary funds.
Enterprise funds are used to report the same functions presented as business‐type activities in the
government‐wide financial statements. The City uses enterprise funds to account for its water,
sewer, solid waste, and storm water operations. Proprietary funds provide the same type of
information as the government‐wide financial statements, only in more detail. The proprietary
fund financial statements provide separate information for the water, sewer, solid waste and
storm water operations, all of which are major funds for the City except for the City’s solid waste
fund.
Internal service funds are an accounting device used to accumulate and allocate costs internally
among the City’s various functions. The City uses internal service funds to account for maintaining
its fleet of vehicles, management information systems, replacement of City equipment, employee
benefits, compensated absences, pension benefit, and insurance. Because all these services
predominately benefit governmental rather than business‐type functions, they have been
included within governmental activities in the governmental‐wide financial statements. All
internal service funds are combined into a single, aggregated presentation in the proprietary fund
financial statements. Individual fund data for the internal service funds is provided in the form of
combining statements elsewhere in this report.
The basic proprietary fund financial statements start on page 45 of this report.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 37
City of St. Louis Park
Management’s Discussion and Analysis
Notes to the financial statements – The notes provide additional information that is essential to
a full understanding of the data provided in the government‐wide and fund financial statements.
The notes to the financial statements start on page 51 of this report.
Other Supplementary Information ‐ In addition to the basic financial statements and
accompanying notes, Required Supplementary Information, presents a detailed budgetary
comparison schedule for the General Fund and Housing Rehabilitation Fund to demonstrate
compliance with the budget. In accordance with the requirements of GASB Statement No. 75, it
also includes other post‐employment benefit plan schedule of changes in total OPEB liability and
related ratios. In accordance with the requirements of GASB Statement No. 68, also included is
defined benefit pension plan information: a) schedules of the City’s contributions and b)
schedules of the City’s proportionate share of net pension liability. These schedules can be found
in the Required Supplementary Information section of this report. The combining statements and
schedules referred to earlier in connection with nonmajor governmental funds and internal
service funds are presented immediately following the required supplementary information
starting on page 94 of this report.
Government‐wide Financial Analysis
As noted earlier, net position may serve over time as a useful indicator of a government’s financial
position. In the case of the City, assets and deferred outflows of resources exceeded liabilities and
deferred inflows of resources by $204,697,105 at the close of the most recent fiscal year.
Increase Increase
2023 2022 (Decrease) 2023 2022 (Decrease)
Assets
Current and other assets 128,888,974$ 119,463,195$ 9,425,779$ 23,286,203$ 24,173,457$ (887,254)$
Capital assets 146,204,754 156,371,678 (10,166,924) 60,792,927 57,401,837 3,391,090
Total assets 275,093,728 275,834,873 (741,145) 84,079,130 81,575,294 2,503,836
Total deferred outflows
of resources 25,922,978 30,887,502 (4,964,524) ‐ ‐ ‐
Liabilities
Other liabilities 18,803,871 18,767,872 35,999 1,386,674 1,843,341 (456,667)
Noncurrent liabilities 107,173,362 137,809,859 (30,636,497) 22,401,532 25,212,346 (2,810,814)
Total liabilities 125,977,233 156,577,731 (30,600,498) 23,788,206 27,055,687 (3,267,481)
Total deferred inflows
of resources 25,347,193 926,031 24,421,162 5,286,099 5,157,208 128,891
Net position
Net investment in
capital assets 76,348,500 81,133,330 (4,784,830) 38,639,429 32,352,244 6,287,185
Restricted 33,471,783 27,223,707 6,248,076 ‐ ‐ ‐
Unrestricted 39,871,997 40,861,576 (989,579) 16,365,396 17,010,155 (644,759)
Total net position 149,692,280$ 149,218,613$ 473,667$ 55,004,825$ 49,362,399$ 5,642,426$
Governmental Activities Business‐type Activities
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 38
City of St. Louis Park
Management’s Discussion and Analysis
City of St. Louis Park’s Net Position
A portion of the City’s net position (56 percent) reflects its investment in capital assets (e.g., land,
permanent easements, buildings, infrastructure, machinery, equipment, leased assets, and
subscription‐based IT arrangement assets); less any related debt used to acquire those assets that
is still outstanding. The City uses these capital assets to provide services to citizens; consequently,
these assets are not available for future spending. Although the City’s investment in its capital
assets is reported net of related debt, it should be noted that the resources needed to repay this
debt must be provided from other sources, since the capital assets themselves cannot be used to
liquidate these liabilities.
An additional portion of the City’s net position $33,471,783 represents resources that are subject
to external restrictions on how they may be used. The remaining balance of unrestricted net
position $56,237,393 may be used to meet the City’s ongoing obligations to citizens and creditors.
At the end of the current fiscal year, the City is able to report positive balances in all three
categories of net position, both for the City as a whole, as well as for its separate governmental
and business‐type activities.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 39
City of St. Louis Park
Management’s Discussion and Analysis
Analysis of the City’s Operations – The following table provides a summary of the City’s
operations for the year ended December 31, 2023. Overall, both the governmental and business‐
type activities revenue and expenses remained stable.
City of St. Louis Park’s Changes in Net Position
Increase Increase
2023 2022 (Decrease)2023 2022 (Decrease)
Revenues
Program revenues
Charges for services 9,927,469$ 12,324,944$ (2,397,475)$ 26,133,183$ 26,210,004$ (76,821)$
Operating grants
and contributions 4,876,812 3,247,517 1,629,295 288,228 206,308 81,920
Capital grants and
contributions 3,010,970 8,958,110 (5,947,140) 251,800 829,382 (577,582)
General revenues
Property taxes and TIF 57,355,005 55,244,115 2,110,890 ‐ ‐ ‐
Franchise fees 5,442,999 5,469,040 (26,041) ‐ ‐ ‐
Lodging taxes 959,428 905,461 53,967 ‐ ‐ ‐
Grants and contributions
not restricted to
specific programs 760,407 816,658 (56,251) ‐ ‐ ‐
Unrestricted investment earnings (loss)3,350,315 (888,151) 4,238,466 1,019,421 (97,071) 1,116,492
Gain on sale of capital assets 329,110 164,728 164,382 ‐ ‐ ‐
Miscellaneous 3,119,068 2,826,100 292,968 ‐ ‐ ‐
Total revenues 89,131,583 89,068,522 63,061 27,692,632 27,148,623 544,009
Expenses
General government 14,731,230 14,543,794 187,436 ‐ ‐ ‐
Public safety 25,488,917 23,014,115 2,474,802 ‐ ‐ ‐
Public information 1,885,527 1,832,219 53,308 ‐ ‐ ‐
Operations 23,418,451 19,750,249 3,668,202 ‐ ‐ ‐
Parks and recreation 9,889,201 8,419,354 1,469,847 ‐ ‐ ‐
Housing and rehabilitation 1,897,395 5,473,490 (3,576,095) ‐ ‐ ‐
Social and economic development 11,924,027 14,493,892 (2,569,865) ‐ ‐ ‐
Interest on long‐term debt 1,721,000 2,103,528 (382,528) ‐ ‐ ‐
Water ‐ ‐ ‐ 6,874,231 6,261,586 612,645
Sewer ‐ ‐ ‐ 6,331,986 6,176,756 155,230
Solid waste ‐ ‐ ‐ 4,484,177 3,788,443 695,734
Storm water ‐ ‐ ‐ 2,061,980 2,190,790 (128,810)
Total expenses 90,955,748 89,630,641 1,325,107 19,752,374 18,417,575 1,334,799
Increase (decrease) in net
position before transfers (1,824,165) (562,119) (1,262,046) 7,940,258 8,731,048 (790,790)
Transfers 2,297,832 2,230,904 66,928 (2,297,832) (2,230,904) (66,928)
Change in net position 473,667 1,668,785 (1,195,118) 5,642,426 6,500,144 (857,718)
Net position, January 1 149,218,613 147,549,828 1,668,785 49,362,399 42,862,255 6,500,144
Net position, December 31 149,692,280$ 149,218,613$ 473,667$ 55,004,825$ 49,362,399$ 5,642,426$
Governmental Activities Business‐type Activities
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 40
City of St. Louis Park
Management’s Discussion and Analysis
Governmental Activities
Governmental activities increased the City’s net position by $473,667. Overall, the governmental
activities in 2023 were stable, with comparable increases in revenues and expenses.
Governmental revenues increased by $63,031 from the prior year. Expenses increased by $1.3
million, primarily related to changes in the City’ share of the State’s net pension liability and an
increase in expenses in operations related to timing of City capital projects.
Business‐type Activities
Business‐type activities increased the City’s net position by $5,642,426. Revenues increased by
$544,009, and expenses increased by $1.3 million. Net transfers were comparable to the prior
year. The increase in revenues was the result of primarily attributable to an increase in charges
for services and an increase in interest income, this was partially offset by decreases to
connections fees and special assessments and rent from 2022 to 2023. The increase in expenses
was primarily attributable to an increase in operating expenses to support the utility services
offered to properties throughout the City.
Governmental Activities
Revenues ‐ The following chart illustrates the City’s revenue by source for its governmental
activities:
Revenues by Source ‐ Governmental Activities
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 41
City of St. Louis Park
Management’s Discussion and Analysis
Expenses ‐ The following chart illustrates the City’s expenses and program revenues for its
governmental activities:
Expenses and Program Revenues ‐ Governmental Activities
Business‐type Activities
Revenues ‐ The following chart illustrates the City’s revenue by source for its business‐type
activities:
Revenue Sources ‐ Business‐type Activities
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 42
City of St. Louis Park
Management’s Discussion and Analysis
Expense and Program Revenues ‐ Business‐type Activities
Expenses ‐ The following chart illustrates the City’s expenses and program revenues for its
business‐type activities:
Financial Analysis of the Government’s Funds
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with
finance‐related legal requirements. In particular, unassigned fund balance may serve as a useful
measure of a government’s net resources available for spending at the end of the year.
Governmental funds – As of the end of the current fiscal year, the City’s governmental funds
reported combined ending fund balances of $87,392,330, an increase of $9,758,022 in
comparison with the prior year. Approximately 21 percent of this total amount, $18,361,751,
constitutes unassigned fund balance, which is available for spending at the City’s discretion. The
remainder of the fund balance $69,030,579 is not available for new spending because it is either
1) nonspendable $457,893, 2) restricted $30,164,479, 3) committed $2,068,003 or 4) assigned
$36,340,204 for specific purposes.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 43
City of St. Louis Park
Management’s Discussion and Analysis
Increase
2023 2022 (Decrease)
General 27,999,214$ 25,661,664$ 2,337,550$
Housing Rehabilitation 6,538,203$ 6,567,161$ (28,958)$
COVID 158,715$ (76,598)$ 235,313$
Debt Service 7,810,235$ 6,405,593$ 1,404,642$
Development EDA 18,346,846$ 18,559,583$ (212,737)$
Redevelopment District 7,169,753$ 7,889,333$ (719,580)$
Streets Capital Projects (3,745,659)$ (8,082,998)$ 4,337,339$
Fund Balances
December 31,
Major Funds
The Redevelopment District fund is comprised of all tax increment districts in the City. The decrease in fund balance of $719,580 is due to
additional transfers out to the EDA and to support city‐wide housing.
The fund balance of the Debt Service fund increased $1,404,642 as a result of expenditures relaed to the City's debt serivce exceeding revenues by
$205,104. This was offset by $1,609,746 from other City funds to support the City debt service payments.
The Development EDA fund balance decreased $212,737 as a result of expenditures exceeding revenue by $1,116,000. This was offset by a
transfer in from the Redevelopment District in the amount of $911,180.
The City’s General Fund balanced increased $2,337,550 during the current fiscal year. The increase is primarily attributable to the City receiving
additional public safety aid that is included in the City's restricted fund balance.
The Housing Rehabilitation fund balance decreased $28,958 as a result of expenditures related to housing exceeding revenues by $35,110.
The Street Capital Projects fund balance increased $4,337,339 as a result of timing differences between work completed and aid received for
capital work on projects and a City transfer from the redevelopment districts in the amount of $4,480,000.
The fund balance of the Covid fund increased $235,313 as a result of interest income.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 44
City of St. Louis Park
Management’s Discussion and Analysis
Proprietary funds – The City’s proprietary funds provide the same type of information found in
the government‐wide financial statements, but in more detail. At the end of the year, unrestricted
net position of the Water, Sewer, Solid Waste, and Storm Water funds amounted to $20,848,341.
Total net position increased by $5,844,102. This increase was primarily a result of the City’s
operating revenues exceeded its operating expenses by $7,064,236 in 2023. This was partially
offset by transfers out of the proprietary funds to other City funds in the amount of $2,297,832.
General Fund Budgetary Highlights
Actual revenues were $3,523,657 over budget and expenditures were $386,107 over budget;
along with transfers and other financing sources, the end result was an increase in fund balance
of $2,337,550. The variance is primarily the result of the City receiving additional public safety aid
in 2023. The balance of the public safety aid increased the restricted fund balance of the City.
Capital Asset and Debt Administration
The City’s investment in capital assets for its governmental and business type activities as of
December 31, 2023 was $206,997,681 (net of accumulated depreciation and amortization). This
investment in capital assets includes land, buildings and system improvements, machinery and
equipment, park facilities, roads, highways, and bridges. The City’s investment in capital assets
for the current fiscal year decreased 3.17 percent.
Major capital asset events during the current fiscal year included the following:
Street Rehab projects
Alley construction
For the year ending December 31, 2022, the City changed from the modified approach for
infrastructure to the depreciation method. Infrastructure assets previously accounted for under
the modified approach will be depreciated over the remaining useful life of the assets. The year
ending December 31, 2023 represents the first year of depreciation expense on these
infrastructure assets.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 45
City of St. Louis Park
Management’s Discussion and Analysis
City of St. Louis Park’s Capital Assets
(net of accumulated depreciation)
Increase Increase
2023 2022 (Decrease) 2023 2022 (Decrease)
Land 17,255,135$ 17,255,135$ ‐$ 515,082$ 515,082$ ‐$
Permanent easments 1,441,876 1,441,876 ‐ ‐ ‐ ‐
Construction in progress 1,675,577 6,698,824 (5,023,247) 362,677 5,239,141 (4,876,464)
Buildings and structures 46,102,226 47,645,285 (1,543,059) 415,179 441,750 (26,571)
Improvements other
than buildings 29,552,739 30,145,418
(592,679) 5,121,929 5,011,223
110,706
Infrastructure 41,069,421 44,583,778 (3,514,357) 50,843,066 42,353,352 8,489,714
Machinery and
equipment 4,519,958 4,981,944 (461,986) 3,534,994 3,841,289 (306,295)
Fleet 4,323,304 3,480,139 843,165 ‐ ‐ ‐
Leased assets ‐ fleet 97,261 109,152 (11,891) ‐ ‐ ‐
Leased assets ‐ machinery
and equipment 4,965 30,127 (25,162) ‐ ‐ ‐
Subscription‐based IT
arrangements 162,292 ‐ 162,292 ‐ ‐ ‐
Total 146,204,754$ 156,371,678$ (10,166,924)$ 60,792,927$ 57,401,837$ 3,391,090$
Governmental Activities Business‐type Activities
Additional information on the City’s capital assets can be found in Note 5 on pages 65‐66 of this
report.
Debt administration
At the end of the current fiscal year, the City had total bonded debt outstanding of $87,460,000.
Of this amount, $65,030,000 comprises debt issued for improvement and capital projects, of
which $58,160,000 will be repaid by ad valorem tax levies and $6,870,000 will be repaid through
the collection of special assessments. In addition, $570,000 is general obligation tax increment
debt which financed redevelopment projects and will be repaid from the tax increments resulting
from increased tax capacity of the redevelopment properties. The remaining $21,860,000 of the
City’s bonded debt represents general obligation revenue bonds with $20,600,000 to be repaid
by the Water, Sewer, and Storm Water fund user charges and $1,260,000 from revenues collected
from the benefitting property. Furthermore, the City has long‐term debt of $105,354 related to
lease liabilities, $4,671,667 for compensated absences, $5,694,659 for other postemployment
benefits payable, $27,143,398 for the net pension liability, and $136,118 relating to subscription‐
based IT arrangement liabilities.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 46
City of St. Louis Park
Management’s Discussion and Analysis
City of St. Louis Park’s Outstanding Debt
General Obligation Bonds, Revenue Bonds, and other Debt
Increase Increase
2023 2022 (Decrease) 2023 2022 (Decrease)
G.O. improvement 58,160,000$ 62,205,000$ (4,045,000)$ 20,600,000$ 23,230,000$ (2,630,000)$
G.O. tax increment 570,000 1,105,000 (535,000) ‐ ‐ ‐
G.O. special assessment 6,870,000 7,190,000 (320,000) ‐ ‐ ‐
G.O. revenue 1,260,000 1,345,000 (85,000) ‐ ‐ ‐
Bond issuance premium/discount 2,820,721 3,108,098 (287,377) 1,542,977 1,759,686 (216,709)
Lease liability 105,354 140,862 (35,508) ‐ ‐ ‐
Compensated absences 4,413,112 4,204,891 208,221 258,555 222,660 35,895
Other postemployment benefits 5,694,659 6,115,937 (421,278) ‐ ‐ ‐
Net pension liability 27,143,398 52,395,071 (25,251,673) ‐ ‐ ‐
Subscription liability 136,118 ‐ 136,118 ‐ ‐ ‐
Total 107,173,362$ 137,809,859$ (30,636,497)$ 22,401,532$ 25,212,346$ (2,810,814)$
Governmental Activities Business‐type Activities
Principal payments during 2023 totaled $7,615,000. The City maintains an “AAA” rating from
Standard & Poor’s for general obligation debt.
State statutes limit the amount of general obligation debt a governmental entity may issue to 3
percent of its total assessed valuation. The current debt limitation for the City is $282,832,302
which is significantly more than the City’s outstanding general obligation debt. Additional
information on the City’s long‐term debt can be found in Note 6 on pages 67‐71 of this report.
Economic Factors, Subsequent Year Budgets, Rates and Changes in Structure
The City estimates that the demand for City services will continue to grow as the economy
improves. The property tax levy is set annually and is adjusted as necessary to fund the cost of
providing services to our citizens and customers. Charges for services are evaluated each year and
adjusted to support operations and capital outlay. All these factors were considered in preparing
the City’s budget for the 2024 fiscal year.
Requests for Information
This financial report is designed to provide our citizens, customers, and creditors with a general
overview of the City of St. Louis Park’s finances and to show the City’s accountability for the
resources it is entrusted. Questions concerning any of the information provided in the report, or
requests for additional financial information, can be directed to the City of St. Louis Park Finance
Department at 5005 Minnetonka Boulevard, St. Louis Park, Minnesota, 55416, 952‐924‐2500.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 48
BASIC FINANCIAL STATEMENTS
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 49
CITY OF ST. LOUIS PARK, MINNESOTA
STATEMENT OF NET POSITION Statement 1
December 31, 2023
Governmental Business‐Type
Activities Activities Totals
Assets
Cash and investments 89,910,434$ 16,044,716$ 105,955,150$
Accrued interest receivable 217,134 43,602 260,736
Due from other governments 1,903,381 ‐ 1,903,381
Accounts receivable 2,561,186 4,617,466 7,178,652
Taxes receivable 837,021 ‐ 837,021
Prepaid items 737,920 481,184 1,219,104
Inventories 284,249 82,106 366,355
Internal balances 4,482,945 (4,482,945) ‐
Special assessments receivable 9,802,681 1,043,547 10,846,228
Leases receivable 168,201 5,456,527 5,624,728
Loans receivable 12,446,173 ‐ 12,446,173
Pledges receivable 750,000 ‐ 750,000
Land held for resale 4,787,649 ‐ 4,787,649
Capital assets
Nondepreciable assets 20,372,588 877,759 21,250,347
Depreciable assets (net of accumulated depreciation)125,567,648 59,915,168 185,482,816
Amortizable assets (net of accumulated amortization)264,518 ‐ 264,518
Total assets 275,093,728 84,079,130 359,172,858
Deferred outflows of resources
Related to pensions 24,284,885 ‐ 24,284,885
Related to OPEB 1,638,093 ‐ 1,638,093
Total deferred outflows of resources 25,922,978 ‐ 25,922,978
Liabilities
Accounts payable 7,667,739 743,057 8,410,796
Salaries payable 1,638,868 114,692 1,753,560
Due to other governments 351,907 69,045 420,952
Contracts payable 504,362 10,521 514,883
Accrued interest payable 798,756 286,282 1,085,038
Deposits payable 2,626,902 163,077 2,789,979
Unearned revenue 5,215,337 ‐ 5,215,337
Noncurrent liabilities
Due within one year 9,162,368 2,598,061 11,760,429
Due in more than one year 98,010,994 19,803,471 117,814,465
Total liabilities 125,977,233 23,788,206 149,765,439
Deferred inflows of resources
Related to pensions 24,061,236 ‐ 24,061,236
Related to OPEB 1,120,333 ‐ 1,120,333
Related to leases 165,624 5,286,099 5,451,723
Total deferred inflows of resources 25,347,193 5,286,099 30,633,292
Net position
Net investment in capital assets 76,348,500 38,639,429 114,987,929
Restricted for
Redevelopment districts 11,440,137 ‐ 11,440,137
Affordable housing 8,691,507 ‐ 8,691,507
E‐911 purposes 214,971 ‐ 214,971
Public safety aid 2,194,317 ‐ 2,194,317
Community development 532,093 ‐ 532,093
Debt service 9,070,235 ‐ 9,070,235
Cable TV equipment 36,365 ‐ 36,365
Police and fire purposes 1,292,158 ‐ 1,292,158
Unrestricted 39,871,997 16,365,396 56,237,393
Total net position 149,692,280$ 55,004,825$ 204,697,105$
The accompanying notes are an integral part of these financial statements.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 50
CITY OF ST. LOUIS PARK, MINNESOTA
STATEMENT OF ACTIVITIES Statement 2
For The Year Ended December 31, 2023
Operating Capital
Charges For Grants and Grants and Governmental Business‐Type
Functions/Programs Expenses Services Contributions Contributions Activities Activities Total
Governmental activities
General government 14,731,230$ 1,275,983$ 39,159$ ‐$ (13,416,088)$ ‐$ (13,416,088)$
Public safety 25,488,917 4,605,015 3,825,123 244,424 (16,814,355) ‐ (16,814,355)
Public information 1,885,527 ‐ ‐ ‐ (1,885,527) ‐ (1,885,527)
Operations 23,418,451 746,010 111,690 2,062,754 (20,497,997) ‐ (20,497,997)
Parks and recreation 9,889,201 3,078,421 106,707 ‐ (6,704,073) ‐ (6,704,073)
Housing and rehabilitation 1,897,395 4,982 41,503 437,887 (1,413,023) ‐ (1,413,023)
Social and economic development 11,924,027 217,058 337,580 265,905 (11,103,484) ‐ (11,103,484)
Interest on long‐term debt 1,721,000 ‐ 415,050 ‐ (1,305,950) ‐ (1,305,950)
Total governmental activities 90,955,748 9,927,469 4,876,812 3,010,970 (73,140,497) ‐ (73,140,497)
Business‐Type activities
Water 6,874,231 9,045,322 18,435 118,902 ‐ 2,308,428 2,308,428
Sewer 6,331,986 8,957,027 93,942 132,898 ‐ 2,851,881 2,851,881
Solid waste 4,484,177 4,420,169 175,851 ‐ ‐ 111,843 111,843
Storm water 2,061,980 3,710,665 ‐ ‐ ‐ 1,648,685 1,648,685
Total business‐type activities 19,752,374 26,133,183 288,228 251,800 ‐ 6,920,837 6,920,837
Total 110,708,122$ 36,060,652$ 5,165,040$ 3,262,770$ (73,140,497) 6,920,837 (66,219,660)
General revenues
Taxes
Property taxes 43,092,885 ‐ 43,092,885
Tax increment 14,262,120 ‐ 14,262,120
Franchise taxes 5,442,999 ‐ 5,442,999
Lodging taxes 959,428 ‐ 959,428
Grants and contributions not
restricted to specific programs 760,407 ‐ 760,407
Unrestricted investment earnings (loss)3,350,315 1,019,421 4,369,736
Gain on sale of capital assets 329,110 ‐ 329,110
Miscellaneous 3,119,068 ‐ 3,119,068
Transfers 2,297,832 (2,297,832) ‐
Total general revenues and transfers 73,614,164 (1,278,411) 72,335,753
Change in net position 473,667 5,642,426 6,116,093
Net position ‐ January 1 149,218,613 49,362,399 198,581,012
Net position ‐ December 31 149,692,280$ 55,004,825$ 204,697,105$
Net (Expense) Revenue and Changes in Net Position
Program Revenues
The accompanying notes are an integral part of these financial statements.
39
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 51
CITY OF ST. LOUIS PARK, MINNESOTA
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2023
General Housing Rehabilitation COVID Fund
Assets
Cash and investments 35,920,443$ 3,559,355$ 3,901,182$
Accrued interest receivable 217,047 ‐ ‐
Due from other governments 325,556 ‐ ‐
Accounts receivable 758,955 ‐ ‐
Taxes receivable ‐ unremitted 72,848 ‐ ‐
Taxes receivable ‐ delinquent 348,690 ‐ ‐
Prepaid items 161,715 ‐ ‐
Inventories 284,249 ‐ ‐
Special assessments receivable ‐ delinquent ‐ 49,412 ‐
Special assessments receivable ‐ deferred ‐ 8,725,069 ‐
Due from other funds 12,474 ‐ ‐
Interfund loan receivable ‐ ‐ ‐
Loans receivable ‐ current ‐ 500,000 ‐
Loans receivable ‐ noncurrent ‐ 3,663,991 ‐
Pledges receivable ‐ current ‐ ‐ ‐
Pledges receivable ‐ noncurrent ‐ ‐ ‐
Leases receivable ‐ current ‐ ‐ ‐
Leases receivable ‐ noncurrent ‐ ‐ ‐
Land held for resale ‐ ‐ ‐
Total assets 38,101,977$ 16,497,827$ 3,901,182$
Liabilities
Accounts payable 4,453,713$ 408,624$ 98$
Salaries payable 1,606,396 1,068 ‐
Due to other governments 186,374 22,104 ‐
Contracts payable ‐ ‐ ‐
Due to other funds ‐ ‐ ‐
Interfund loan payable ‐ 767,842 ‐
Deposits payable 2,122,004 ‐ ‐
Unearned revenue 1,385,586 ‐ 3,742,369
Total liabilities 9,754,073 1,199,638 3,742,467
Deferred inflows of resources
Related to leases ‐ ‐ ‐
Unavailable revenue 348,690 8,759,986 ‐
Total deferred inflows of resources 348,690 8,759,986 ‐
Fund balances
Nonspendable 445,964 ‐ ‐
Restricted 2,409,288 ‐ ‐
Committed ‐ ‐ ‐
Assigned 700,000 6,538,203 158,715
Unassigned 24,443,962 ‐ ‐
Total fund balances 27,999,214 6,538,203 158,715
Total liabilities, deferred inflows of
resources, and fund balances 38,101,977$ 16,497,827$ 3,901,182$
Special Revenue Funds
The accompanying notes are an integral part of these financial statements.
40
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 52
Statement 3
Debt Service Development EDA Redevelopment District Streets Capital Projects
Other Governmental
Funds
Total Governmental
Funds
8,286,284$ 7,640,719$ 11,640,800$ 30,843$ 14,860,244$ 85,839,870$
‐ 87 ‐ ‐ ‐ 217,134
‐ ‐ ‐ 1,502,754 30,000 1,858,310
22,896 222,636 ‐ ‐ 1,457,071 2,461,558
10,603 833 386,974 ‐ 1,433 472,691
‐ ‐ ‐ ‐ 12,646 361,336
‐ ‐ ‐ ‐ 11,929 173,644
‐ ‐ ‐ ‐ ‐ 284,249
‐ ‐ ‐ ‐ 2,786 52,198
‐ ‐ ‐ ‐ 1,025,414 9,750,483
‐ 264,908 1,558,987 ‐ 3,429,694 5,266,063
‐ 3,351,631 ‐ ‐ 1,800,000 5,151,631
70,000 250,435 ‐ ‐ 7,277 827,712
1,190,000 2,088,961 2,607,092 ‐ 2,068,417 11,618,461
‐ ‐ ‐ ‐ 100,000 100,000
‐ ‐ ‐ ‐ 650,000 650,000
‐ 15,764 ‐ ‐ ‐ 15,764
‐ 152,437 ‐ ‐ ‐ 152,437
‐ 4,787,649 ‐ ‐ ‐ 4,787,649
9,579,783$ 18,776,060$ 16,193,853$ 1,533,597$ 25,456,911$ 130,041,190$
5,000$ 158,484$ 2,317,845$ 10,311$ 152,436$ 7,506,511$
‐ 2,842 ‐ ‐ 3,141 1,613,447
‐ 7,793 93,472 589 ‐ 310,332
‐ ‐ ‐ 279,675 224,687 504,362
‐ ‐ 264,908 4,988,681 12,474 5,266,063
‐ ‐ 4,383,789 ‐ ‐ 5,151,631
504,548 ‐ ‐ ‐ 350 2,626,902
‐ ‐ ‐ ‐ 87,382 5,215,337
509,548 169,119 7,060,014 5,279,256 480,470 28,194,585
‐ 165,624 ‐ ‐ ‐ 165,624
1,260,000 94,471 1,964,086 ‐ 1,861,418 14,288,651
1,260,000 260,095 1,964,086 ‐ 1,861,418 14,454,275
‐ ‐ ‐ ‐ 11,929 457,893
7,810,235 ‐ 9,476,051 ‐ 10,468,905 30,164,479
‐ ‐ ‐ ‐ 2,068,003 2,068,003
‐ 18,346,846 ‐ 30,254 10,566,186 36,340,204
‐ ‐ (2,306,298) (3,775,913) ‐ 18,361,751
7,810,235 18,346,846 7,169,753 (3,745,659) 23,115,023 87,392,330
9,579,783$ 18,776,060$ 16,193,853$ 1,533,597$ 25,456,911$ 130,041,190$
Total Fund balances reported above 87,392,330$
Amounts reported for governmental activities in the statement of net position are different because
Capital assets used in governmental activities are not financial resources, and therefore, are not
reported in the funds 127,988,474
Other long‐term assets are not available to pay for current‐period expenditures and, therefore, are
reported as unavailable revenue in the funds:
Receivables not available soon enough to pay for the current period's expenditures 14,288,651
Long‐term liabilities, including bonds payable, are not due and payable in the current period and
therefore are not reported in the funds:
Bonds payable and unamortized bond premium/discount (69,680,721)
Accrued interest payable (796,049)
Internal service funds are used by management to charge the cost of certain services to individual funds.
The assets and liabilities are included in the governmental statement of net position (9,500,405)
Net position of governmental activities 149,692,280$
Capital Projects Funds
The accompanying notes are an integral part of these financial statements.
41
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 53
CITY OF ST. LOUIS PARK, MINNESOTA
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2023
General Housing Rehabilitation COVID Fund
Revenues
Property taxes 32,037,360$ ‐$ ‐$
Tax increments ‐ ‐ ‐
Franchise taxes ‐ ‐ ‐
Lodging tax ‐ ‐ ‐
License and permits 5,164,020 ‐ ‐
Intergovernmental 4,811,448 ‐ 760,407
Charges for services 4,308,479 ‐ ‐
Fines and forfeitures 179,508 ‐ ‐
Special assessments ‐ 1,180,241 ‐
Interest income (loss)725,857 142,782 235,313
Miscellaneous 700,963 1,132 ‐
Total revenues 47,927,635 1,324,155 995,720
Expenditures
Current
General government 10,427,128 ‐ ‐
Public safety 21,642,315 ‐ ‐
Public information ‐ ‐ ‐
Operations 6,043,095 ‐ ‐
Parks and recreation 8,656,422 ‐ ‐
Housing and rehabilitation ‐ 1,359,265 ‐
Housing maintenance ‐ ‐ ‐
Social and economic development ‐ ‐ 98
Miscellaneous 831,287 ‐ ‐
Capital outlay
Public safety 55,604 ‐ ‐
Public information ‐ ‐ ‐
Operations ‐ ‐ ‐
Parks and recreation ‐ ‐ ‐
Social and economic development ‐ ‐ 60,309
Debt service
Principal ‐ ‐ ‐
Interest and other ‐ ‐ ‐
Total expenditures 47,655,851 1,359,265 60,407
Revenues over (under) expenditures 271,784 (35,110) 935,313
Other financing sources (uses)
Transfers in 2,865,766 718,564 ‐
Transfers out (800,000) (712,412) (700,000)
Total other financing sources (uses)2,065,766 6,152 (700,000)
Net change in fund balances 2,337,550 (28,958) 235,313
Fund balances ‐ January 1 25,661,664 6,567,161 (76,598)
Fund balances ‐ December 31 27,999,214$ 6,538,203$ 158,715$
Special Revenue Funds
The accompanying notes are an integral part of these financial statements.
42
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 54
Statement 4
Debt Service Development EDA Redevelopment District Streets Capital Projects
Other
Governmental
Funds
Total Governmental
Funds
6,362,813$ 530,657$ ‐$ ‐$ 2,425,599$ 41,356,429$
‐ ‐ 14,262,120 ‐ ‐ 14,262,120
‐ ‐ ‐ ‐ 5,442,999 5,442,999
‐ 959,428 ‐ ‐ ‐ 959,428
‐ ‐ ‐ ‐ ‐ 5,164,020
415,050 337,580 ‐ 2,062,754 74,702 8,461,941
‐ 191,750 ‐ 7,800 69,156 4,577,185
‐ ‐ ‐ ‐ ‐ 179,508
‐ ‐ ‐ ‐ 386,427 1,566,668
220,114 344,526 715,145 6,117 723,531 3,113,385
125,513 147,949 37,368 ‐ 529,803 1,542,728
7,123,490 2,511,890 15,014,633 2,076,671 9,652,217 86,626,411
‐ ‐ ‐ ‐ ‐ 10,427,128
‐ ‐ ‐ ‐ 4,980 21,647,295
‐ ‐ ‐ ‐ 387,851 387,851
‐ ‐ ‐ 128,642 229,017 6,400,754
‐ ‐ ‐ ‐ 511,296 9,167,718
‐ ‐ ‐ ‐ 493,375 1,852,640
‐ ‐ ‐ ‐ 30,000 30,000
328,000 3,256,590 7,403,840 73,225 353,925 11,415,678
‐ ‐ ‐ ‐ ‐ 831,287
‐ ‐ ‐ ‐ ‐ 55,604
‐ ‐ ‐ ‐ 226,303 226,303
‐ ‐ ‐ 2,017,465 4,671,290 6,688,755
‐ ‐ ‐ ‐ 1,532,199 1,532,199
‐ 371,300 ‐ ‐ ‐ 431,609
4,985,000 ‐ ‐ ‐ ‐ 4,985,000
2,015,594 ‐ 118,966 ‐ ‐ 2,134,560
7,328,594 3,627,890 7,522,806 2,219,332 8,440,236 78,214,381
(205,104) (1,116,000) 7,491,827 (142,661) 1,211,981 8,412,030
1,609,746 911,180 7,917 4,480,000 1,921,036 12,514,209
‐ (7,917) (8,219,324) ‐ (728,564) (11,168,217)
1,609,746 903,263 (8,211,407) 4,480,000 1,192,472 1,345,992
1,404,642 (212,737) (719,580) 4,337,339 2,404,453 9,758,022
6,405,593 18,559,583 7,889,333 (8,082,998) 20,710,570 77,634,308
7,810,235$ 18,346,846$ 7,169,753$ (3,745,659)$ 23,115,023$ 87,392,330$
Capital Projects Funds
The accompanying notes are an integral part of these financial statements.
43
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 55
CITY OF ST. LOUIS PARK, MINNESOTA
RECONCILIATION OF THE STATEMENT OF REVENUES,Statement 5
EXPENDITURES AND CHANGES IN FUND BALANCES OF
GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
For The Year Ended December 31, 2023
Amounts reported for governmental activities in the
statement of activities (Statement 2) are different because:
Net changes in fund balances ‐ total governmental funds (Statement 4)9,758,022$
Governmental funds report capital outlays as expenditures. However, in the
statement of activities the cost of those assets is allocated over their estimated
useful lives and reported as depreciation expense. This is the amount by which
capital outlays exceeded depreciation in the current period.
Capital outlay 8,409,229
Depreciation expense (19,172,942)
The issuance of long‐term debt provides current financial resources to
governmental funds, while the repayment of principal of long‐term debt consumes
the current financial resources of governmental funds. Neither transaction,
however, has any effect on net position. Also, governmental funds report the effect
of issuance costs, premiums, discounts and similar items when debt is first issued,
whereas these amounts are deferred and amortized in the statement of activities.
Principal repayments on long term debt 4,985,000
Interest on long‐term debt in the statement of activities differs from the amount
reported in the governmental fund because interest is recognized as an
expenditure in the funds when it is due, and thus requires the use of current
financial resources. In the statement of activities, however, interest expense is
recognized as the interest accrues, regardless of when it is due.134,649
Governmental funds report debt issuance premiums and discounts as an other
financing source or use at the time of issuance. Premiums and discounts are
reported as an unamortized asset or liability in the City‐wide financial statements.287,377
Certain revenues are recognized as soon as they are earned. Under the modified
accrual basis of accounting certain revenues cannot be recognized until they are
available to liquidate liabilities of the current period.
Special assessments (618,452)
Property taxes (59,686)
Pledges (812,620)
Loans and other 1,576,340
Internal service funds are used by management to charge the costs for equipment,
information system, equipment replacement, employee benefits and major losses
incurred by individual funds. The net revenue of certain activities of internal
service funds is reported with governmental activities.(4,013,250)
Change in net position of governmental activities (Statement 2)473,667$
The accompanying notes are an integral part of these financial statements.
44
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 56
CITY OF ST. LOUIS PARK, MINNESOTA
STATEMENT OF NET POSITION Statement 6
PROPRIETARY FUNDS
December 31, 2023
Governmental
Activities
Non‐Major Fund Internal
Water Sewer Storm Water Solid Waste Totals Service Funds
Assets
Current assets
Cash and investments 4,728,558$ 4,990,412$ 3,277,453$ 3,048,293$ 16,044,716$ 4,070,564$
Accrued interest receivable 43,602 ‐ ‐ ‐ 43,602 ‐
Due from other governments ‐ ‐ ‐ ‐ ‐ 45,071
Accounts receivable 1,396,280 1,535,932 664,656 1,020,598 4,617,466 99,628
Taxes receivable ‐ unremitted ‐ ‐ ‐ ‐ ‐ 2,994
Prepaid items 10,586 446,026 13,986 10,586 481,184 564,276
Inventories 82,106 ‐ ‐ ‐ 82,106 ‐
Special assessments receivable ‐ delinquent 65,513 893 ‐ ‐ 66,406 ‐
Special assessments receivable ‐ deferred 555,265 421,876 ‐ ‐ 977,141 ‐
Leases receivable ‐ current 348,975 ‐ ‐ ‐ 348,975 ‐
Leases receivable ‐ noncurrent 5,107,552 ‐ ‐ ‐ 5,107,552 ‐
Total current assets 12,338,437 7,395,139 3,956,095 4,079,477 27,769,148 4,782,533
Noncurrent assets
Capital assets
Nondepreciable capital assets, at cost
Land 114,844 60,000 340,238 ‐ 515,082 818,094
Construction in progress 148,228 25,388 189,061 ‐ 362,677 11,413
Total nondepreciable capital assets 263,072 85,388 529,299 ‐ 877,759 829,507
Depreciable capital assets, at cost
Buildings and structures 5,082,540 6,111 ‐ ‐ 5,088,651 9,520,322
Improvements other than buildings 2,088,407 1,142,838 7,274,202 ‐ 10,505,447 3,032,740
Infrastructure 37,307,635 24,378,334 25,566,625 ‐ 87,252,594 1,313,801
Machinery, furniture and equipment 8,790,661 305,031 103,765 ‐ 9,199,457 10,325,740
Fleet ‐ ‐ ‐ ‐ ‐ 11,466,085
Total depreciable capital assets, at cost 53,269,243 25,832,314 32,944,592 ‐ 112,046,149 35,658,688
Less: accumulated depreciation (21,295,709) (17,228,281) (13,606,991) ‐ (52,130,981) (18,536,433)
Total depreciable capital assets, net of accumulated depreciation 31,973,534 8,604,033 19,337,601 ‐ 59,915,168 17,122,255
Amortizable capital assets, at cost
Subscription‐based IT arrangements ‐ ‐ ‐ ‐ ‐ 258,303
Leased assets ‐ machinery, furniture and equipment ‐ ‐ ‐ ‐ ‐ 50,905
Leased assets ‐ fleet ‐ ‐ ‐ ‐ ‐ 148,797
Total amortizable capital assets, at cost ‐ ‐ ‐ ‐ ‐ 458,005
Less: accumulated amortization ‐ ‐ ‐ ‐ ‐ (193,487)
Total amortizable capital assets, net of accumulated amortization ‐ ‐ ‐ ‐ ‐ 264,518
Total capital assets, net of accumulated depreciation and amortization 32,236,606 8,689,421 19,866,900 ‐ 60,792,927 18,216,280
Total noncurrent assets 32,236,606 8,689,421 19,866,900 ‐ 60,792,927 18,216,280
Total assets 44,575,043 16,084,560 23,822,995 4,079,477 88,562,075 22,998,813
Deferred outflows of resources
Related to pensions ‐ ‐ ‐ ‐ ‐ 24,284,885
Related to OPEB ‐ ‐ ‐ ‐ ‐ 1,638,093
Total deferred outflows of resources ‐ ‐ ‐ ‐ ‐ 25,922,978
Liabilities
Current liabilities
Accounts payable 217,278 44,975 28,639 452,165 743,057 161,228
Salaries payable 53,849 23,359 24,775 12,709 114,692 ‐
Accrued flex spending ‐ ‐ ‐ ‐ ‐ 25,421
Due to other governments 21,926 2,785 5,368 38,966 69,045 41,575
Contracts payable 6,012 1,503 3,006 ‐ 10,521 ‐
Deposits payable 78,989 ‐ 84,088 ‐ 163,077 ‐
Accrued interest payable 246,914 18,626 20,742 ‐ 286,282 2,707
Unearned revenue ‐ ‐ ‐ ‐ ‐ ‐
Compensated absences payable ‐ current 87,234 29,010 36,619 15,198 168,061 2,886,458
Leases liability ‐ current ‐ ‐ ‐ ‐ ‐ 35,081
Subscription‐based IT arrangements liability ‐ current ‐ ‐ ‐ ‐ ‐ 118,698
Bonds payable ‐ current 2,101,000 150,000 179,000 ‐ 2,430,000 ‐
Other postemployment benefits payable ‐ current ‐ ‐ ‐ ‐ ‐ 233,409
Total current liabilities 2,813,202 270,258 382,237 519,038 3,984,735 3,504,577
Noncurrent liabilities
Compensated absences payable 46,972 15,621 19,718 8,183 90,494 1,526,654
Lease liability ‐ ‐ ‐ ‐ ‐ 70,273
Subscription‐based IT arrangements liability ‐ ‐ ‐ ‐ ‐ 17,420
Bonds payable 17,043,343 1,545,638 1,123,996 ‐ 19,712,977 ‐
Other postemployment benefits payable ‐ ‐ ‐ ‐ ‐ 5,461,250
Net pension liability ‐ ‐ ‐ ‐ ‐ 27,143,398
Total noncurrent liabilities 17,090,315 1,561,259 1,143,714 8,183 19,803,471 34,218,995
Total liabilities 19,903,517 1,831,517 1,525,951 527,221 23,788,206 37,723,572
Deferred inflows of resources
Related to pensions ‐ ‐ ‐ ‐ ‐ 24,061,236
Related to OPEB ‐ ‐ ‐ ‐ ‐ 1,120,333
Related to leases 5,286,099 ‐ ‐ ‐ 5,286,099 ‐
Total deferred inflows of resources 5,286,099 ‐ ‐ ‐ 5,286,099 25,181,569
Net position
Net investment in capital assets 13,086,251 6,992,280 18,560,898 ‐ 38,639,429 17,974,808
Unrestricted 6,299,176 7,260,763 3,736,146 3,552,256 20,848,341 (31,958,158)
Total net position 19,385,427$ 14,253,043$ 22,297,044$ 3,552,256$ 59,487,770 (13,983,350)$
Adjustment to reflect consolidation of Internal Service fund activities (4,482,945)
Net position of business‐type activities 55,004,825$
Business‐Type Activities Enterprise Funds
The accompanying notes are an integral part of these financial statements.
45
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 57
- This page intentionally left blank -
46
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 58
CITY OF ST. LOUIS PARK, MINNESOTA
STATEMENT OF REVENUES, EXPENSES AND Statement 7
CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
For The Year Ended December 31, 2023
Governmental
Activities
Non‐Major Fund Internal
Water Sewer Storm Water Solid Waste Total Service Funds
Operating revenues
Charges for services 8,528,096$ 8,951,668$ 3,692,594$ 4,404,773$ 25,577,131$ 4,722,841$
Other 91,391 5,359 18,071 15,396 130,217 515,322
Rent 425,835 ‐ ‐ ‐ 425,835 ‐
Total operating revenues 9,045,322 8,957,027 3,710,665 4,420,169 26,133,183 5,238,163
Operating expenses
Personal services 1,806,144 816,276 909,929 535,990 4,068,339 8,283,582
Supplies 556,188 20,702 2,038 88,447 667,375 1,053,389
Professional services 754,103 8,792 94,495 2,215 859,605 54,163
Insurance 28,170 65,916 6,283 6,790 107,159 464,109
Utilities 527,917 60,112 23,535 ‐ 611,564 ‐
Repairs and maintenance 1,118,729 391,546 60,523 ‐ 1,570,798 ‐
Depreciation and amortization 1,010,059 211,130 760,737 ‐ 1,981,926 2,025,187
Disposal charges 27,337 4,421,764 ‐ 3,729,798 8,178,899 ‐
Other 526,312 281,502 138,079 77,389 1,023,282 935,623
Total operating expenses 6,354,959 6,277,740 1,995,619 4,440,629 19,068,947 12,816,053
Operating income (loss)2,690,363 2,679,287 1,715,046 (20,460) 7,064,236 (7,577,890)
Nonoperating revenues (expenses)
Interest income (loss)380,797 276,067 183,692 178,865 1,019,421 236,930
Property taxes ‐ ‐ ‐ ‐ ‐ 1,796,142
Intergovernmental revenue 18,435 93,942 ‐ 175,851 288,228 57,408
Amortization of bond premiums 174,313 16,470 25,926 ‐ 216,709 ‐
Gain on disposal of capital assets ‐ ‐ ‐ ‐ ‐ 329,110
Interest expense (600,902) (46,499) (51,059) ‐ (698,460) (8,466)
Total nonoperating revenues (expenses)(27,357) 339,980 158,559 354,716 825,898 2,411,124
Income (loss) before capital contributions and transfers 2,663,006 3,019,267 1,873,605 334,256 7,890,134 (5,166,766)
Capital contributions and transfers
Connection fees and special assessments 118,902 132,898 ‐ ‐ 251,800 ‐
Transfers in ‐ ‐ ‐ ‐ ‐ 951,840
Transfers out (697,854) (954,809) (373,855) (271,314) (2,297,832) ‐
Change in net position 2,084,054 2,197,356 1,499,750 62,942 5,844,102 (4,214,926)
Net position ‐ January 1 17,301,373 12,055,687 20,797,294 3,489,314 53,643,668 (9,768,424)
Net position ‐ December 31 19,385,427$ 14,253,043$ 22,297,044$ 3,552,256$ 59,487,770$ (13,983,350)$
Change in net position as reported above 5,844,102$
Adjustment to reflect consolidation of Internal Service fund activities (201,676)
Change in net position of business‐type activities 5,642,426$
Business‐Type Activities Enterprise Funds
The accompanying notes are an integral part of these financial statements.
47
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 59
CITY OF ST. LOUIS PARK, MINNESOTA
STATEMENT OF CASH FLOWS Statement 8
PROPRIETARY FUNDS Page 1 of 2
For The Year Ended December 31, 2023
Governmental
Activities
Non‐Major Fund Internal
Water Sewer Storm Water Solid Waste Total Service Funds
Cash flows from operating activities
Receipts from customers and users 8,955,981$ 8,995,232$ 3,593,884$ 4,383,433$ 25,928,530$ ‐$
Receipts from interfund services provided ‐ ‐ ‐ ‐ ‐ 4,722,841
Other operating cash receipts 91,391 5,359 18,071 15,396 130,217 418,170
Payments to suppliers (3,631,276) (5,341,363) (426,126) (4,134,618) (13,533,383) (3,517,422)
Payments to employees (1,792,201) (811,498) (895,848) (526,995) (4,026,542) (4,338,975)
Net cash flows provided (used) by
operating activities 3,623,895 2,847,730 2,289,981 (262,784) 8,498,822 (2,715,386)
Cash flows from noncapital financing activities
Transfers in ‐ ‐ ‐ ‐ ‐ 800,000
Transfers out (659,894) (916,849) (335,895) (233,354) (2,145,992) ‐
Property taxes ‐ ‐ ‐ ‐ ‐ 1,793,148
Intergovernmental receipts 18,435 93,942 ‐ 175,851 288,228 14,950
Net cash flows provided (used) by
noncapital financing activities (641,459) (822,907) (335,895) (57,503) (1,857,764) 2,608,098
Cash flows from capital and related financing activities
Transfers in ‐ ‐ ‐ ‐ ‐ 651,840
Transfers out (37,960) (37,960) (37,960) (37,960) (151,840) (500,000)
Connection fees/special assessments received 118,902 132,898 ‐ ‐ 251,800 ‐
Acquisition of capital assets (2,940,386) (937,276) (1,495,354) ‐ (5,373,016) (2,339,471)
Proceeds from sale of capital assets ‐ ‐ ‐ ‐ ‐ 329,010
Principal paid
Bonds (2,269,150) (144,500) (216,350) ‐ (2,630,000) ‐
Leases ‐ ‐ ‐ ‐ ‐ (59,611)
Subscription‐based IT arrangements ‐ ‐ ‐ ‐ ‐ (122,185)
Interest paid
Bonds (632,677) (49,563) (54,663) ‐ (736,903) ‐
Leases ‐ ‐ ‐ ‐ ‐ (5,759)
Subscription‐based IT arrangements ‐ ‐ ‐ ‐ ‐ ‐
Net cash flows provided (used) by
capital and related financing activities (5,761,271) (1,036,401) (1,804,327) (37,960) (8,639,959) (2,046,176)
Cash flows from investing activities
Investment income 344,603 276,067 183,692 178,865 983,227 236,930
Net increase (decrease) in cash and cash equivalents (2,434,232) 1,264,489 333,451 (179,382) (1,015,674) (1,916,534)
Cash and cash equivalents ‐ January 1 7,162,790 3,725,923 2,944,002 3,227,675 17,060,390 5,987,098
Cash and cash equivalents ‐ December 31 4,728,558$ 4,990,412$ 3,277,453$ 3,048,293$ 16,044,716$ 4,070,564$
Business‐Type Activities Enterprise Funds
The accompanying notes are an integral part of these financial statements.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 60
CITY OF ST. LOUIS PARK, MINNESOTA
STATEMENT OF CASH FLOWS Statement 8
PROPRIETARY FUNDS Page 2 of 2
For The Year Ended December 31, 2023
Governmental
Business‐Type Activities Enterprise Funds Activities
Non‐Major Fund Internal
Water Sewer Storm Water Solid Waste Totals Service Funds
Reconciliation of operating income (loss) to
net cash provided (used) by operating activities
Operating income (loss)2,690,363$ 2,679,287$ 1,715,046$ (20,460)$ 7,064,236$ (7,577,890)$
Adjustments to reconcile operating income (loss)
to net cash flows from operating activities
Depreciation and amortization 1,010,059 211,130 760,737 ‐ 1,981,926 2,025,187
(Increase) decrease in assets/deferred outflows
Accounts receivable 134,486 112,917 (47,374) (21,340) 178,689 (97,152)
Lease receivable (217,313) ‐ ‐ ‐ (217,313) ‐
Special assessments (59,279) (69,353) ‐ ‐ (128,632) ‐
Prepaid items (10,586) (77,585) (13,986) (4,486) (106,643) (275,417)
Inventories (20,003) ‐ ‐ ‐ (20,003) ‐
Deferred outflows of resources ‐ ‐ ‐ ‐ ‐ 4,964,524
Increase (decrease) in liabilities/deferred inflows
Accounts payable (12,459) (4,855) (42,987) (195,954) (256,255) (695,137)
Due to other governments (54,458) 578 1,005 (29,539) (82,414) (39,584)
Contracts payable 4,986 (9,167) (45,205) ‐ (49,386) ‐
Deposits payable 15,265 ‐ (51,336) ‐ (36,071) ‐
Accrued salaries payable (1,143) 5,492 2,384 (831) 5,902 ‐
Accrued flex spending ‐ ‐ ‐ ‐ ‐ 6,808
Compensated absences payable 15,086 (714) 11,697 9,826 35,895 208,221
Other postemployment benefits ‐ ‐ ‐ ‐ ‐ (421,278)
Net pension liability ‐ ‐ ‐ ‐ ‐ (25,251,673)
Deferred inflows of resources 128,891 ‐ ‐ ‐ 128,891 24,438,005
Net cash provided (used) by operating activities 3,623,895$ 2,847,730$ 2,289,981$ (262,784)$ 8,498,822$ (2,715,386)$
Noncash capital and related financing activities
Amortization of bond premiums 174,313$ 16,470$ 25,926$ ‐$ 216,709$ ‐$
Capital assets acquired via lease ‐$ ‐$ ‐$ ‐$ ‐$ 23,066$
Capital assets acquired via subscription‐based IT arrangements ‐$ ‐$ ‐$ ‐$ ‐$ 258,303$
The accompanying notes are an integral part of these financial statements.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 62
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of St. Louis Park, Minnesota (the City) was incorporated in 1886 and operates a council‐manager form of government under
the “Home Rule Charter” concept according to applicable Minnesota laws and statutes. The governing body consists of a seven‐
member City Council elected by the voters of the City.
The financial statements of the City have been prepared in conformity with accounting principles generally accepted in the United
States of America as applied to governmental units by the Governmental Accounting Standards Board (GASB). The following is a
summary of the significant accounting policies.
A.FINANCIAL REPORTING ENTITY
As required by generally accepted accounting principles, the financial statements of the reporting entity include those of
the City (the primary government) and its component units, entities for which the City is considered to be financially
accountable. Blended component units, although legally separate entities, are in substance, part of the City’s operations
and so data from these units are combined with data of the City.
BLENDED COMPONENT UNITS
The Economic Development Authority (EDA) is an entity legally separate from the City. However, for financial reporting
purposes, the EDA is reported as if it were part of the City’s operations because the members of the City Council serve
as EDA Board Members and the City has the ability to access EDA resources. Separate financial statements are not
prepared for the EDA.
The following funds are maintained by the EDA: Debt Service Funds –2008B General Obligation Tax Increment Bonds,
and Hoigaard’s 2010A & B TIF Notes; Capital Project Funds – Development EDA and Redevelopment District.
RELATED ORGANIZATION
The Housing Authority (HA) is an entity legally separate from the City. The HA is governed by a Board of Commissioners
appointed by the City Council. However, the City’s accountability for the HA does not extend beyond making the
appointments.
B.GOVERNMENT‐WIDE AND FUND FINANCIAL STATEMENTS
The government‐wide financial statements (i.e., the statement of net position and the statement of activities) report
information on all of the activities of the primary government and its component units. For the most part, the effect of
interfund activity has been removed from these statements. Governmental activities, which normally are supported by
taxes and intergovernmental revenues, are reported separately from business‐type activities, which rely to a significant
extent on fees and charges for support.
The statement of activities demonstrates the degree to which the direct expenses of a given function or business‐type
activity is offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or
business‐type activity. Program revenues include: 1) charges to customers or applicants who purchase, use, or directly
benefit from goods, services, or privileges provided by a given function or business‐type activity and 2) grants and
contributions that are restricted to meeting the operational or capital requirements of a particular function or business‐
type activity. Taxes and other items not included among program revenues are reported instead as general revenues.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 63
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Separate financial statements are provided for governmental funds and proprietary funds. Major individual governmental
funds and major individual enterprise funds are reported as separate columns in the fund financial statements.
C.MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT PRESENTATION
The government‐wide financial statements are reported using the economic resources measurement focus and the accrual
basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses
are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as
revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility
requirements imposed by the provider have been met.
Governmental fund financial statements are reported using the current financial resources measurement focus and the
modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available.
Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to
pay liabilities of the current period. For this purpose, the City considers all revenues to be available if they are collected
within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as
under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences
and claims and judgments, are recorded only when payment is due.
Property taxes, special assessments, intergovernmental revenue, franchise taxes, licenses, and interest associated with the
current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current
fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be
susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and
available only when cash is received by the City.
The City reports the following major governmental funds:
The General Fund is the City’s primary operating fund. It accounts for all financial resources of the general government,
except those required to be accounted for in another fund.
The Housing Rehabilitation Fund is used to account for revenues from revenue bond fees and expenditures related to
preventing deterioration of multi‐unit housing.
The COVID Fund accounts for the proceeds of Federal COVID relief funding.
The Debt Service Fund accounts for the resources accumulated and payments made for principal and interest on long‐
term general obligation debt of the government.
The Development EDA Fund accounts for transactions related to redevelopment efforts in the City; financing is
provided by investment income, grants, and developer reimbursements.
The Redevelopment District Fund accounts for transactions relative to acquisition and development in the City’s tax
increment redevelopment districts; financing is provided by the sale of general obligation tax increment bonds along
with tax increment property tax payments.
The Streets Capital Project Fund accounts for street construction projects. Revenues are provided by the General Fund
for maintenance expenditures or by the issuance of general obligation bonds.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 64
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
The City reports the following major enterprise funds:
The Water Fund accounts for the provisions of water services to residents of the City. All activities necessary to provide
such services are accounted for in this fund, including administration, operations, maintenance, billing and collection.
The Sewer Fund accounts for the provisions of sewer services to residents of the City. All activities necessary to provide
such services are accounted for in this fund, including administration, operations, maintenance, billing and collection.
The Storm Water Fund accounts for the revenue and expenses related to providing storm water to the residents of the
City. All activities necessary to provide such services are accounted for in this fund, including administration,
operations, construction, maintenance, billing and collection.
The City reports the following non‐major enterprise funds:
The Solid Waste Fund accounts for the revenue and expense related to collection, disposal, and recycling of residential
solid waste. Financing is provided by charging each property owner a predetermined service fee.
Additionally, the government reports the following fund types:
Internal Service Funds account for the financing of goods or services provided by one department or agency to other
departments or agencies of the City, or to other governments on a cost reimbursement basis. The City’s internal
service funds account for employee benefits including postemployment benefits and pensions, insurance, capital
replacement.
As a general rule the effect of interfund activity has been eliminated from the government‐wide financial statements.
Exceptions to this general rule are transactions that would be treated as revenues, expenditures or expenses if they
involved external organizations, such as buying goods and services or payments in lieu of taxes, are similarly treated when
they involve other funds of the City. Elimination of these charges would distort the direct costs and program revenues
reported for the various functions concerned.
Amounts reported as program revenues include 1) charges to customers or applicants for goods, services, or privileges
provided, 2) operating grants and contributions, and 3) capital grants and contributions, including special assessments.
Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general
revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and
expenses generally result from providing services and producing and delivering goods in connection with a proprietary
fund’s principal ongoing operations. The principal operating revenues of the water, sewer, solid waste and storm water
enterprise funds are charges to customers for sales and services. Operating expenses for enterprise funds include the cost
of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting
this definition are reported as nonoperating revenues and expenses.
D.BUDGETARY INFORMATION
Budgets are legally adopted on a basis consistent with generally accepted accounting principles. Annual appropriated
budgets are legally adopted for the General Fund, the following special revenue funds: Housing Rehabilitation, Cable
Television, Community Development, Special Service Districts, Affordable Housing Trust and Climate Investment Funds, and
the following capital project funds: Development EDA, Park Improvement, and Pavement Management Funds.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 65
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Budgeted amounts are reported as originally adopted, or as amended by the City Council. Budgeted expenditure
appropriations lapse at year end.
Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies
are recorded in order to reserve that portion of the appropriation, is not employed by the City because it is as present not
considered necessary to assure effective budgetary control or to facilitate effective cash management.
E.LEGAL COMPLIANCE ‐ BUDGETS
The City follows these procedures in establishing the budgetary data reflected in the financial statements:
1.The City Manager submits to the City Council a proposed operating budget for the fiscal year commencing the
following January 1. The operating budget includes proposed expenditures and the means of financing them.
2.The City Council reviews the proposed budget and makes appropriate changes.
3.Public hearings are conducted to obtain taxpayer comments.
4.The budget is legally enacted through passage of a resolution on a departmental/divisional basis and can be
expended by each department based upon detailed budget estimates for individual expenditure accounts in
accordance with the provisions of Section 6.05 of the City Charter.
5.After the budget resolution is approved, the City Council can increase the budget only by resolution if actual
receipts exceed the estimated, or from accumulated fund balance in the amount of unexpended appropriations
from the previous fiscal year.
6.Formal budgetary integration is employed as a management control device during the year for the General Fund.
7.Legal debt obligation indentures determine the appropriation level and debt service tax levies for the Debt Service
Funds. Supplementary budgets are adopted for the Proprietary Funds to determine and calculate user charges.
These debt service and budget amounts represent general obligation bond indenture provisions and net income
for operation and capital maintenance and are not reflected in the financial statements.
8.A capital improvement program is reviewed annually by the City Council for the Capital Project Funds. However,
appropriations for major projects are not adopted until the actual bid award of the improvement. The
appropriations are not reflected in the financial statements.
9.The legal level of budgetary control is at the fund level. Expenditures may not legally exceed budgeted
appropriations at the total fund level. The City Council must approve all expenditures at fund level either by
resolution or through the disbursement process. The General Fund’s expenditures exceeded appropriations for
the year ended December 31, 2023.
10.Monitoring of budgets is maintained at the expenditure category level (i.e., personal services, supplies, and other
services and charges, and capital outlay) within each program. Management can exceed appropriations at the
department level without City Council approval. Approval must be received for exceeding budgeted
appropriations at the fund level.
11.The City Council may authorize transfer of budgeted amounts between City funds.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 66
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
F.CASH AND INVESTMENTS
Cash and investment balances from all funds are pooled and invested to the extent available in authorized investments.
Investment income is allocated to individual funds on the basis of average monthly cash balances. The City’s investment
policy dictates that the General fund is to receive the first three percent of all interest earnings as an administrative fee.
The administrative fee does not apply to the Economic Development Authority.
Investments are stated at fair value, based upon quoted market prices, except for investments in 2a7‐like external
investment pools, which are stated at amortized cost. Investment income is accrued at the balance sheet date.
For purposes of the statement of cash flows, the Proprietary Funds consider all highly liquid investments with a maturity of
three months or less when purchased to be cash equivalents. All of the cash and investments allocated to the Proprietary
Fund types have original maturities of 90 days or less. Therefore the entire balance in such fund types is considered cash
equivalents.
It is the City’s policy to invest in a manner that seeks to ensure preservation of capital in the overall portfolio. Safety of
principal is the foremost objective, but liquidity and yield are also important considerations. The objective will be to
mitigate credit risk by purchasing only highly rated securities with adequate collateral and interest rate risk by matching
maturities to cash flow needs and holding securities to maturity.
G.ACCOUNTS RECEIVABLE
Property taxes and special assessment receivables have been reported net of estimated uncollectible accounts (See Note 1 I
and J). The City annually certifies delinquent water and sewer accounts to the County for collection in the following year.
Because utility bills are considered liens on property, no estimated uncollectible amounts are established. Uncollectible
amounts are not material for other receivables and have not been reported.
H.INTERFUND RECEIVABLES AND PAYABLES
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year
are referred to as either “due to/from other funds” (i.e., the current portion of interfund loans) or “interfund loan
receivable/payable” (i.e., the noncurrent portion of interfund loans). Any residual balances outstanding between the
governmental activities and business‐type activities are reported in the government‐wide financial statements as “internal
balances.”
I.PROPERTY TAX REVENUE RECOGNITION
The City Council annually adopts a tax levy and certifies it to the County in December (levy/assessment date) of each year
for collection in the following year. The County is responsible for billing and collecting all property taxes for itself, the City,
the local School District and other taxing authorities. Such taxes become a lien on January 1 and are recorded as
receivables by the City at that date. Real property taxes are payable (by property owners) on May 15 and October 15 of
each calendar year. Personal property taxes are payable by taxpayers on February 28 and June 30 of each year. These
taxes are collected by the County and remitted to the City on or before July 7 and December 2 of the same year.
Delinquent collections for November and December are received the following January. The City has no ability to enforce
payment of property taxes by property owners. The County possesses this authority.
55
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 67
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
The City recognizes property tax revenue when it becomes both measurable and available to finance expenditures of the
current period. In practice, current and delinquent taxes and State credits received by the City in July, December and
January are recognized as revenue for the current year. Taxes collected by the County by December 31 (remitted to the
City the following January) and taxes and credits not received at year end are classified as delinquent and due from County
taxes receivable. The portion of delinquent taxes not collected by the City in January is fully offset by deferred inflow of
resources because they are not available to finance current expenditures.
GOVERNMENT‐WIDE FINANCIAL STATEMENTS
The City recognizes property tax revenue in the period for which the taxes were levied. Uncollectible property taxes are not
material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
The City’s property tax revenue includes payment from the Metropolitan Revenue Distribution (Fiscal Disparities Formula)
per Minnesota Statute 473F. This statute provides a means of spreading a portion of the taxable valuation of
commercial/industrial real property to various taxing authorities within the defined metropolitan area. The valuation
“shared” is a portion of commercial/industrial property valuation growth since 1971. Property taxes paid to the City
through this formula for December 31, 2023 totaled $3,001,010. Receipt of property taxes from this “fiscal disparities pool”
does not increase or decrease total tax revenue.
J.SPECIAL ASSESSMENT REVENUE RECOGNITION
Special assessments are levied against benefited properties for the cost or a portion of the cost of special assessment
improvement projects in accordance with State Statutes. These assessments are collectible by the City over a term of years
usually consistent with the term of the related bond issue. Collection of annual installments (including interest) is handled
by the County Auditor in the same manner as property taxes. Property owners are allowed to (and often do) prepay future
installments without interest or prepayment penalties.
Once a special assessment roll is adopted, the amount attributed to each parcel is a lien upon that property until full
payment is made or the amount is determined to be excessive by the City Council or court action. If special assessments
are allowed to go delinquent, the property is subject to tax forfeit sale and the first proceeds of that sale (after costs,
penalties and expenses of sale) are remitted to the City in payment of delinquent special assessments. Pursuant to State
Statutes, a property shall be subject to a tax forfeit sale after three years unless it is homesteaded, agricultural or seasonal
recreational land in which event the property is subject to such sale after five years.
GOVERNMENT‐WIDE FINANCIAL STATEMENTS
The City recognizes special assessment revenue in the period that the assessment roll was adopted by the City Council.
Uncollectible special assessments are not material and have not been reported.
GOVERNMENTAL FUND FINANCIAL STATEMENTS
Revenue from special assessments is recognized by the City when it becomes measurable and available to finance
expenditures of the current fiscal period. In practice, current and delinquent special assessments received by the City are
recognized as revenue for the current year. Special assessments that are collected by the County by December 31
(remitted to the City the following January) and are also recognized as revenue for the current year. All remaining
delinquent, deferred and special deferred assessments receivable in governmental funding are completely offset by
deferred inflow of resources.
56
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 68
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
K.INVENTORIES
Inventory is valued at cost using the first‐in, first out (FIFO) method. Inventory consists mainly of expendable supplies held
for consumption. Inventories of the governmental funds are recorded as expenditures when consumed rather than when
purchased.
L.PREPAID ITEMS
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both
government‐wide and fund financial statements. Prepaid items are reported using the consumption method and recorded
as expenditures/expenses at the time of consumption.
M.CAPITAL ASSETS
Capital assets, which include property, plant, equipment, infrastructure assets (e.g., roads, bridges, sidewalks, and similar
items), and intangible assets such as easements and computer software, are reported in the applicable governmental or
business‐type activities columns in the government‐wide financial statements. Capital assets are defined by the City as
assets with an estimated useful life in excess of three years and an initial individual cost of more than the following:
Land All
Buildings $5,000
Other Improvements $25,000
Machinery and equipment $10,000
Vehicles $10,000
Infrastructure $250,000
Other assets $5,000
Construction in progress Accumulate all costs and
capitalize if over $100,000
when completed
Capitalization Threshold
Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets,
donated works of art and similar items, and capital assets received in a service concession arrangement are recorded at
estimated acquisition value at the date of donation.
Major outlays for capital assets and improvements are capitalized as projects are constructed.
Property, plant and equipment of the primary government, as well as the component units, is depreciated using the straight
line method over the following estimated useful lives:
Buildings and structures 5 – 30 years
Improvements other than buildings 5 – 30 years
Infrastructure 5 – 100 years
Machinery, furniture and equipment (including
software)
3 – 30 years
Fleet 3 – 25 years
Temporary easements 3 – 5 years
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 69
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Capital assets of the water utility and sewer utility operations include the water distribution system and sewer collection
system. These systems have been wholly (or substantially) financed by non‐operating funds (special assessments, general
taxes, federal and state grants, and other sources) and contribution to the Water and Sewer operating funds. City policy is
to finance these assets by the sources indicated rather than by user charges.
Accordingly, the water and sewer user rates are not established at levels sufficient to cover depreciation on these assets.
The City implemented GASB 51, Accounting and Financial Reporting for Intangible Assets effective January 1, 2010, which
required the City to capitalize and amortize intangible assets. Pursuant to GASB Statement No. 51, the retroactive reporting
of permanent easements is not required and therefore, the City has elected not to report permanent easements acquired
in years prior to 2010.
N. COMPENSATED ABSENCES
It is the City's policy to permit employees to accumulate earned but unused vacation, sick pay and flex leave benefits. No
liability is recorded for unpaid accumulated sick leave, except for that portion that is payable as severance. All liabilities for
vacation leave, flex leave and severance, both current and long‐term, are recorded in the Employee Benefits Fund, an
Internal Service Fund for governmental funds, and in the individual enterprise funds when incurred. The personnel
ordinance limits the annual accumulation of benefits that can be accumulated from year‐to‐year. A liability for these
amounts is reported in governmental funds only if they have matured, for example, as a result of employee resignations
and retirements.
O. LONG‐TERM OBLIGATIONS
In the government‐wide financial statements and proprietary fund types in the fund financial statements, long‐term debt
and other long‐term obligations are reported as liabilities in the applicable governmental activities, business‐type activities,
or proprietary fund type statement of net position. Bond premiums and discounts are deferred and amortized over the life
of the bonds using the effective interest method.
In the fund financial statements, governmental fund types recognize bond premiums and discounts during the current
period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are
reported as other financing sources while discounts on debt issuances are reported as other financing uses.
P. FUND BALANCE CLASSIFICATIONS
In the fund financial statements, governmental funds report fund balance in classifications that disclose constraints for
which amounts in those funds can be spent. These classifications are as follows:
Nonspendable ‐ consists of amounts that are not in spendable form, such as prepaid items.
Restricted ‐ consists of amounts related to externally imposed constraints established by creditors, grantors or
contributors; or constraints imposed by state statutory provisions.
Committed ‐ consists of amounts that are constrained for specific purposes that are internally imposed by formal action
(resolution) of the City Council. Those committed amounts cannot be used for any other purpose unless City Council
removes or changes the specified use by taking the same type of action it employed to previously commit those
amounts.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 70
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Assigned ‐ consists of internally imposed constraints. These constraints reflect the specific purpose for which it is the
City’s intended use. These constraints are established by the City Council and/or management. Pursuant to City
Council Resolution, the City’s Chief Financial Officer and/or City Manager is authorized to establish assignments of fund
balance.
Unassigned ‐ is the residual classification for the general fund and also reflects negative residual amounts in other
funds.
When both restricted and unrestricted resources are available for use, it is the City’s policy to first use restricted resources,
then use unrestricted resources as they are needed.
When committed, assigned or unassigned resources are available for use, it is the City’s policy to use resources in the
following order; 1) committed 2) assigned and 3) unassigned.
Q.INTERFUND TRANSACTIONS
Interfund services provided and used are accounted for as revenues, expenditures or expenses. Transactions that
constitute reimbursements to a fund for expenditures/expenses initially made from it that are properly applicable to
another fund, are recorded as expenditures/expenses in the reimbursing fund and as reductions of expenditures/expenses
in the fund that is reimbursed. Interfund loans are reported as an interfund loan receivable or payable which offsets the
movement of cash between funds. All other interfund transactions are reported as transfers.
R.NET POSITION
Net position represents the difference between assets/deferred outflows and liabilities/deferred inflows. Net position is
displayed in three components.
a)Net investment in capital assets – consists of capital assets, net of accumulated depreciation reduced by any
outstanding debt attributable to acquire capital assets.
b)Restricted net position – consist of net position restricted when there are limitations imposed on their use through
external restrictions imposed by creditors, grantors, laws or regulations of other governments.
c)Unrestricted net position – all other net position that do not meet the definition of “restricted” or “net investment
in capital assets”.
S.USE OF ESTIMATES
The preparation of financial statements in accordance with generally accepted accounting principles (GAAP) requires
management to make estimates that affect amounts reported in the financial statements during the reporting period.
Actual results could differ from such estimates.
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CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
T. DEFERRED OUTFLOWS/INFLOWS OF RESOURCES
In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of
resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net
assets that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure)
until then. The government has two items that qualify for reporting in this category. They are the pension and OPEB
related deferred outflows of resources reported in the government‐wide statement of net position and the proprietary
funds statement of net position.
In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflows of
resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets
that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The
government has lease, pension, and OPEB related deferred inflows of resources reported in the government‐wide
statement of net position and the proprietary funds statement of net position. The government also has a type of item,
which arises only under a modified accrual basis of accounting, that qualifies for reporting in this category. Accordingly, the
item, unavailable revenue, is reported only in the governmental fund balance sheet. The governmental funds report
unavailable revenues from the following sources: property taxes, special assessments, bond reimbursement payments not
yet due and other miscellaneous unavailable revenue.
U. PENSION PLANS
COST SHARING MULTIPLE – EMPLOYER PLANS
For purposes of measuring the net pension liability, deferred outflows and inflows of resources, and pension expense,
information about the fiduciary net position of the Public Employees Retirement Association (PERA) and additions to and
deductions from PERA’s fiduciary net position have been determined on the same basis as they are reported by PERA,
except that PERA’s fiscal year end is June 30. For this purpose, plan contributions are recognized as of employer payroll
paid dates and benefit payments and refunds are recognized when due and payable in accordance with the benefit terms.
Investments are reported at fair value.
V. LEASE RECEIVABLE
The City's lease receivable is measured at the present value of lease payments expected to be received during the lease
term. A deferred inflow of resources is recorded for the lease. The deferred inflow of resources is recorded at the
commencement of the lease in an amount equal to the initial recording of the lease receivable, and is recognized as
revenue over the lease term.
Note 2 DEPOSITS AND INVESTMENTS
A. DEPOSITS
In accordance with Minnesota Statutes, the City maintains deposits at those depository banks authorized by the City
Council, all of which are members of the Federal Reserve System.
Minnesota Statutes require that securities pledged as collateral be held in safekeeping by the City Treasurer or in a financial
institution other than that furnishing the collateral.
Authorized collateral – Minnesota Statute 118.A.03 identifies allowable forms of collateral.
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CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Custodial Credit Risk ‐ deposits – Custodial credit risk is the risk that in the event of a bank failure, the City’s deposits may
not be returned to it. Minnesota Statutes require that insurance, surety bonds or collateral protect all City deposits. The
fair value of collateral pledged must equal 110% of deposits not covered by insurance or bonds. The City has no additional
deposit policies addressing custodial credit risk. As of December 31, 2023, the bank balance of the City’s deposits was
$3,631,834 all of which was covered by federal depository insurance or by collateral pledged and held in the City’s name.
B. INVESTMENTS
Subject to rating, yield, maturity and issuer requirements as prescribed by statue, Minnesota Statutes 118A.04 and 118A.05
authorized the City to invest in United States securities, state and local securities, commercial paper, time deposits,
temporary general obligation bonds, repurchase agreements, Minnesota joint powers investment trust and guaranteed
investment contracts.
At December 31, 2023, the City had the following investments and maturities:
Fair Less
Investment Type Rating Value Than 11‐56‐10 11‐15
4M Fund NR 64,020,911$ 64,020,911$ ‐$ ‐$ ‐$
Money Market Funds NR 77,641 77,641 ‐ ‐ ‐
Certificates of Deposit NR 4,129,854 190,447 3,939,407 ‐ ‐
Asset Backed Securities AA+1,475,880 ‐ 1,475,880 ‐ ‐
Municipal Bonds AA‐ ‐AAA 13,638,693 ‐ 11,773,065 1,865,628 ‐
US Treasuries AA+17,772,553 10,969,846 6,802,707 ‐ ‐
US Agencies ‐ Fannie Mae/Freddie Mac AA+1,354,090 ‐ 1,354,090 ‐ ‐
Federal Home Loan Bank Notes AA+1,546,863 669,546 246,505 630,812 ‐
Total 104,016,485$ 75,928,391$ 25,591,654$ 2,496,440$ ‐$
Total investments 104,016,485$
Deposits 1,936,444
Cash on hand 2,221
Total cash and investments 105,955,150$
Investment Maturities (in Years)
The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted
accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. The
hierarchy has three levels. Level 1 investments are valued using inputs that are based on quoted market prices. Level 2
investments are valued using inputs that are based on matrix pricing models. Level 3 investments are valued using inputs
that are unobservable.
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CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
The City has the following recurring fair value measurements as of December 31, 2023:
Investment Type 12/31/2023 Level 1Level 2 Level 3
Investments at fair value:
Certificates of Deposit 4,129,854$ ‐$ 4,129,854$ ‐$
Municipal Bonds 13,638,693 ‐ 13,638,693 ‐
US Treasury 17,772,553 17,772,553 ‐ ‐
Asset Backed Securities 1,475,880 ‐ 1,475,880 ‐
US Agencies ‐ Fannie Mae/Freddie Mac 1,354,090 ‐ 1,354,090 ‐
Federal Home Loan Bank Notes 1,546,863 ‐ 1,546,863 ‐
Total/Subtotal 39,917,933 17,772,553$ 22,145,380$ ‐$
Investments not categorized:
External investment pool ‐ 4M Fund 64,020,911
Money market funds 77,641
Total 104,016,485$
Fair Value Measurement Using
The City’s external investment pool investment is with the 4M Fund which is regulated by Minnesota Statutes and the
Board of Directors of the League of Minnesota Cities. The 4M Fund is an unrated pool and the fair value of the position in
the pool is the same as the value of pool shares. The pool is managed to maintain a portfolio weighted average maturity of
no greater than 60 days and seeks to maintain a constant net asset value (NAV) per share of $1. The pool measures their
investments in accordance with Government Accounting Standards Board Statement No. 79, at amortized cost.
The 4M Liquid Asset Fund has no redemption requirements. The 4M Plus Fund requires funds to be deposited for a
minimum of 14 calendar days. Withdrawals prior to the 14‐day restriction period are subject to a penalty equal to 7 days
interest on the amount withdrawn. The 4M Term Series investments are designed to be held to maturity. Withdrawal prior
to maturity require 7 days notice of redemption and are subject to penalties.
C. INVESTMENT RISKS
Custodial credit risk – investments – For investments in securities, custodial credit risk is the risk that in the event of failure
of the counterparty to a transaction, the City will not be able to recover the value of its investment securities that are in the
possession of an outside party. Investments in investment pools and money markets are not evidenced by securities that
exist in physical or book entry form, and therefore are not subject to custodial credit risk disclosures. The City’s investment
policy requires the City’s security broker/dealers to provide its audited financial statements, proof of NASD certification,
proof of state registration, and certification of having read, understood and agreed to comply with the City’s investment
policy. Investments in securities are held by the City’s broker‐dealer of which $500,000 is insured through SIPC. Each
broker‐dealer has provided additional protection by providing additional insurance. This insurance is subject to aggregate
limits applied to all of the broker‐dealers accounts.
Interest rate risk – Interest rate risk is the risk that changes in interest rates of debt investments could adversely affect the
fair value of an investment. The City’s investment policy states the investment portfolio will remain sufficiently liquid to
enable the City to meet all operating and capital requirements that might be reasonably anticipated. The maximum
maturity of investments shall not extend beyond five years, unless related to specific cash flow needs.
Credit risk – Credit risk is the risk that an issuer or other counterparty to an investment will be unable to fulfill its obligation
to the holder of the investment. State law limits investments to commercial paper to those rated in the highest quality
category by at least two nationally recognized rating agencies; in any security of the State of Minnesota or any of its
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CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
municipalities which is rated “A” or better by a national bond rating service for general obligation and rated “AA” or better
for a revenue obligation; a general obligation of the Minnesota Housing Finance Agency to those rated “A” or better by a
national bond rating agency; mutual funds or money market funds whose investments are restricted to securities described
in MS 118A.04. The City’s investment policy does not place further restrictions on investment options.
Concentration of credit risk – Concentration of credit risk is the risk of loss that may be attributed to the magnitude of a
government’s investment in a single issuer. The City’s investment policy states no more than 50% of its investment
portfolio can be invested in municipal bonds or MHFA securities. Investments in a single issuer exceeding 5% of the City’s
overall cash and investment portfolio are in various holdings as follows:
US Treasuries 17.09%
Note 3 RECEIVABLES
A.LOANS RECEIVABLE
The City has made loans to local businesses and individuals that qualify for various loan programs. The businesses and
individuals pay varying installments on the loans. Depending on the loan program, some of the loans are secured by an
interest in the property.
Also, some of the loans are forgivable after 30 years if certain criteria are met. As of December 31, 2023, any forgiveness of
loans would not occur for another 20 – 30 years. At this time, information is not available to develop an estimate for any
loans which may be forgiven. Therefore, no allowance has been recorded. As loan maturity dates approach, the City will
evaluate whether an allowance for forgivable loans should be recorded in the financial statements.
As of December 31, 2023, the loans receivable balance was $12,446,173.
Significant receivable balances not expected to be collected within one year of December 31, 2023 are as follows:
Special Interfund
Loans Assessments Property Loans Pledges
Receivable Receivable Taxes Receivable Receivable Total
Major Funds:
General Fund ‐$ ‐$ 120,100$ ‐$ ‐$ 120,100$
Housing Rehabilitation Fund 3,663,991 8,742,300 ‐ ‐ ‐ 12,406,291
Debt Service Funds 1,190,000 ‐ ‐ ‐ ‐ 1,190,000
Development EDA Fund 2,088,961 ‐ ‐ 2,945,654 ‐ 5,034,615
Redevelopment District Fund 2,607,092 ‐ ‐ ‐ ‐ 2,607,092
Water Fund ‐ 58,600 ‐ ‐ ‐ 58,600
Sewer Fund 368,700 ‐ ‐ ‐ 368,700
Nonmajor Governmental Funds 2,068,417 868,600 4,600 1,800,000 650,000 5,391,617
Total 11,618,461$ 10,038,200$ 124,700$ 4,745,654$ 650,000$ 27,177,015$
63
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Title: Review of 2023 Annual Comprehensive Financial Report Page 75
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 4 UNAVAILABLE REVENUE
Governmental funds report deferred inflows of resources in connection with receivables for revenues that are not considered to be
available to liquidate liabilities of the current period. At the end of the current fiscal year, the various components of unavailable
revenue reported in the governmental funds were as follows:
Unavailable
Delinquent property taxes receivable (General Fund) 348,690$
Delinquent property taxes receivable (Nonmajor Funds) 13,304
Special assessments not yet due (Housing Rehabilitation Fund) 8,759,986
Special assessments not yet due (Nonmajor Funds)1,028,200
Bond reimbursement payments not yet due (Debt Service Funds) 1,260,000
Other miscellaneous (Development EDA Fund) 94,471
Other miscellaneous (Redevelopment District Fund)1,964,086
Other miscellaneous (Nonmajor Funds)819,914
Total unavailable revenue for governmental funds 14,288,651$
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Title: Review of 2023 Annual Comprehensive Financial Report Page 76
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 5 CAPITAL ASSETS
Capital asset activity for the year ended December 31, 2023 is as follows:
Beginning Ending
Balance Increases Decreases Balance
Governmental activities:
Capital assets, not being depreciated:
Land 17,255,135$ ‐$ ‐$ 17,255,135$
Permanent easements 1,441,876 ‐ ‐ 1,441,876
Construction in progress 6,698,824 6,897,086 11,920,333 1,675,577
Total capital assets, not being depreciated 25,395,835 6,897,086 11,920,333 20,372,588
Capital assets, being depreciated and amortized:
Buildings and structures 70,060,538 144,237 ‐ 70,204,775
Improvements other than buildings 53,229,095 1,496,627 ‐ 54,725,722
Infrastructure 67,985,013 12,086,898 ‐ 80,071,911
Machinery, furniture and equipment 14,127,484 383,103 160,444 14,350,143
Fleet 10,617,180 1,661,082 614,024 11,664,238
Leased assets ‐ fleet 146,364 24,202 21,769 148,797
Leased assets ‐ machinery, furniture and equipment 56,372 ‐ 5,467 50,905
Subscription‐based IT arrangements ‐ 258,303 ‐ 258,303
Total capital assets, being depreciated and amortized 216,222,046 16,054,452 801,704 231,474,794
Less accumulated depreciation and amortization for:
Buildings and structures 22,415,253 1,687,296 ‐ 24,102,549
Improvements other than buildings 23,083,677 2,089,306 ‐ 25,172,983
Infrastructure 23,401,235 15,601,255 ‐ 39,002,490
Machinery, furniture and equipment 9,145,540 845,089 160,444 9,830,185
Fleet 7,137,041 817,917 614,024 7,340,934
Leased assets ‐ fleet 37,212 36,093 21,769 51,536
Leased assets ‐ machinery, furniture and equipment 26,245 25,162 5,467 45,940
Subscription‐based IT arrangements ‐ 96,011 ‐ 96,011
Total accumulated depreciation and amortization 85,246,203 21,198,129 801,704 105,642,628
Total capital assets being depreciated and amortized ‐ net 130,975,843 (5,143,677) ‐ 125,832,166
Governmental activities capital assets ‐ net 156,371,678$ 1,753,409$ 11,920,333$ 146,204,754$
65
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 77
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Beginning Ending
Balance Increases Decreases Balance
Business‐type activities:
Capital assets, not being depreciated:
Land 515,082$ ‐$ ‐$ 515,082$
Construction in progress 5,239,141 5,088,438 9,964,902 362,677
Total capital assets, not being depreciated 5,754,223 5,088,438 9,964,902 877,759
Capital assets, being depreciated:
Buildings and structures 5,088,651 ‐ ‐ 5,088,651
Improvements other than buildings 10,003,517 501,930 ‐ 10,505,447
Infrastructure 77,505,044 9,747,550 ‐ 87,252,594
Machinery, furniture and equipment 9,199,457 ‐ ‐ 9,199,457
Total capital assets, being depreciated 101,796,669 10,249,480 ‐ 112,046,149
Less accumulated depreciation for:
Buildings and structures 4,646,901 26,571 ‐ 4,673,472
Improvements other than buildings 4,992,294 391,224 ‐ 5,383,518
Infrastructure 35,151,692 1,257,836 ‐ 36,409,528
Machinery, furniture and equipment 5,358,168 306,295 ‐ 5,664,463
Total accumulated depreciation 50,149,055 1,981,926 ‐ 52,130,981
Total capital assets being depreciated ‐ net 51,647,614 8,267,554 ‐ 59,915,168
Business‐type activities capital assets ‐ net 57,401,837$ 13,355,992$ 9,964,902$ 60,792,927$
Depreciation and amortization expense was charged to functions/programs of the primary government as follows:
Governmental activities:
General government 94,489$
Public safety 441,284
Operations and recreation 17,101,499
Public information 1,439,607
Social and economic development 96,063
Internal service 2,025,187
Total depreciation and amortization expense ‐ governmental activities 21,198,129$
Business‐type activities:
Water 1,010,059$
Sewer 211,130
Storm water 760,737
Total depreciation expense ‐ business‐type activities 1,981,926$
66
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 78
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 6 CITY INDEBTEDNESS
The City issues general obligation bonds, to provide funds for the acquisition and construction of major capital facilities. The
reporting entity’s long‐term debt is segregated between the amounts to be repaid from governmental activities and amounts to be
repaid from business‐type activities. General obligation bonds are direct obligations and pledge the full faith and credit of the City.
As of December 31, 2023, long‐term debt of the City consisted of the following:
Final Authorized
Issue Maturity Interest And Outstanding
Date Date Rates Issued 12/31/2023
Governmental Activities:
General Long‐Term Debt:
General Improvement Bonds:
G.O. Improvement Bonds Series 2014A 12/18/2014 2/1/2026 2.00% 5,070,000$ 1,630,000$
G.O. Improvement Bonds Series 2016A 7/14/2016 2/1/2027 1.375 ‐ 2.375% 10,000,000 4,510,000
G.O. Improvement Bonds Series 2017A 7/13/2017 2/1/2028 2.125 ‐ 3.00% 3,430,000 1,840,000
G.O. Improvement Bonds Series 2018A 6/14/2018 2/1/2033 3.00 ‐ 4.00%2,020,000 1,300,000
G.O. Improvement Bonds Series 2019A 4/10/2019 2/1/2035 2.00 ‐ 4.00% 22,220,000 20,520,000
G.O. Improvement Bonds Series 2019B 11/26/2019 2/1/2032 3.00 ‐ 5.00%7,585,000 6,090,000
G.O. Improvement Bonds Series 2020A 11/10/2020 2/1/2042 2.00 ‐ 4.00%10,505,000 10,000,000
G.O. Improvement Bonds Series 2021A 4/15/2021 2/1/2038 1.15 ‐ 2.00% 12,385,000 12,270,000
Total General Improvement Bonds 73,215,000 58,160,000
Tax Increment Bonds:
Tax Increment Refunding Bonds Series 2008B 12/1/2008 2/1/2024 3.25 ‐ 4.625% 5,490,000 570,000
G.O. Special Assessment Bonds:
G.O. Improvement Bonds Series 2012A HIA 10/17/2012 2/1/2033 0.75 ‐ 3.90%1,290,000 735,000
G.O. Improvement Bonds Series 2019C HIA 11/26/2019 2/1/2028 2.00 ‐ 2.20%2,200,000 1,235,000
G.O. Improvement Bonds Series 2022B 9/7/2022 2/1/2043 3.5 ‐ 4.25%4,900,000 4,900,000
Total G.O. Special Assessment Bonds 8,390,000 6,870,000
G.O. Revenue bonds:
G.O. Improvement Refunding Bonds Series 2022A 6/21/2022 2/1/2037 3.8 ‐ 4.125%1,345,000 1,260,000
Total G.O. Revenue Bonds 1,345,000 1,260,000
Issuance premiums (discounts)N/A N/A N/A N/A 2,820,721
Total ‐ bonded indebtedness 88,440,000 69,680,721
Compensated absences payable N/A N/A N/A N/A 4,413,111
Lease liability N/A N/A .31 ‐ 7.28%N/A 105,354
Subscription liability N/A N/A 2.31 ‐ 2.65%N/A 136,118
Net pension liability ‐ GERF N/A N/A N/A N/A 13,694,534
Net pension liability ‐ PEPFF N/A N/A N/A N/A 13,448,864
Total ‐ net pension liability N/A 27,143,398
Other post employment benefits N/A N/A N/A N/A 5,694,659
Total governmental activities 88,440,000 107,173,361
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Title: Review of 2023 Annual Comprehensive Financial Report Page 79
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Business‐Type Activities:
General Obligation Revenue Bonds:
Utility Revenue Bonds Series 2014A 12/18/2014 2/1/2026 2.00%4,930,000 1,585,000
Utility G.O. Improvement Bonds Series 2017A 7/13/2017 2/1/2033 2.125 ‐ 3.00% 4,985,000 3,550,000
Utility Refunding Revenue Bonds Series 2017A 7/13/2017 2/1/2025 2.125 ‐ 3.00% 1,485,000 405,000
Utility G.O. Revenue Bonds Series 2018A 6/14/2018 2/1/2033 3.00 ‐ 4.00% 6,780,000 4,860,000
Utility G.O. Revenue Bonds Series 2019B 11/26/2019 2/1/3030 3.00 ‐ 5.00% 7,520,000 5,660,000
Utility G.O. Revenue Bonds Series 2020B 11/10/2020 2/1/2036 2.00 ‐ 4.00% 5,035,000 4,540,000
Total General Obligation Revenue Bonds 30,735,000 20,600,000
Issuance premiums (discounts)N/A N/A N/A N/A 1,542,977
Total ‐ bonded indebtedness 30,735,000 22,142,977
Compensated absences payable N/A N/A N/A N/A 258,555
Total business ‐type activities 30,735,000 22,401,532
Total long‐term liabilities 119,175,000$ 129,574,893$
GOVERNMENTAL ACTIVITIES
Annual debt service requirements to maturity for the governmental activities long‐term debt are as follows:
Year Ending
December 31 Principal Interest Principal Interest Principal Interest Principal Interest
2024 4,925,000$ 1,517,583$ 570,000$ 13,181$ 425,000$ 243,848$ 70,000$ 48,741$
2025 5,085,000 1,381,030 ‐ ‐ 515,000 230,550 70,000 45,941
2026 5,225,000 1,247,230 ‐ ‐ 525,000 215,063 75,000 43,041
2027 4,965,000 1,103,933 ‐ ‐ 545,000 198,853 80,000 39,941
2028 5,105,000 937,355 ‐ ‐ 395,000 183,435 80,000 36,741
2029 4,900,000 766,749 ‐ ‐ 280,000 171,508 85,000 33,441
2030 4,825,000 616,899 ‐ ‐ 290,000 161,476 85,000 30,126
2031 4,330,000 492,646 ‐ ‐ 300,000 150,903 90,000 26,801
2032 4,430,000 387,569 ‐ ‐ 315,000 139,700 95,000 23,286
2033 3,255,000 297,547 ‐ ‐ 320,000 127,780 100,000 19,481
2034 3,020,000 220,263 ‐ ‐ 245,000 117,003 100,000 15,481
2035 3,100,000 140,913 ‐ ‐ 255,000 107,248 105,000 11,381
2036 1,020,000 90,300 ‐ ‐ 265,000 96,848 110,000 7,012
2037 1,040,000 69,700 ‐ ‐ 275,000 85,979 115,000 2,372
2038 1,060,000 48,700 ‐ ‐ 290,000 74,538 ‐ ‐
2039 455,000 33,550 ‐ ‐ 300,000 62,440 ‐ ‐
2040 465,000 24,350 ‐ ‐ 310,000 49,783 ‐ ‐
2041 475,000 14,950 ‐ ‐ 325,000 36,444 ‐ ‐
2042 480,000 5,100 ‐ ‐ 340,000 22,313 ‐ ‐
2043 ‐ ‐ ‐ ‐ 355,000 7,544 ‐ ‐
Total 58,160,000$ 9,396,367$ 570,000$ 13,181$ 6,870,000$ 2,483,256$ 1,260,000$ 383,786$
G.O. Improvement Bonds G.O. Tax Increment Bonds G.O. Special Assessment Bonds G.O. Revenue Bonds
It is not practicable to determine the specific year for payment of long‐term accrued compensated absences.
68
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 80
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
BUSINESS‐TYPE ACTIVITIES
Annual debt service requirements to maturity for the business‐type long‐term debt are as follows:
Year Ending
December 31 Principal Interest
2024 2,430,000$ 651,250$
2025 2,515,000 567,925
2026 2,385,000 477,475
2027 1,920,000 396,138
2028 1,995,000 320,563
2029 2,080,000 241,075
2030 2,160,000 167,013
2031 1,265,000 114,775
2032 1,310,000 78,050
2033 1,335,000 42,200
2034 395,000 20,150
2035 400,000 12,200
2036 410,000 4,100
Total 20,600,000$ 3,092,914$
G.O. Revenue Bonds
It is not practicable to determine the specific year for payment of long‐term accrued compensated absences.
69
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 81
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
CHANGE IN LONG‐TERM LIABILITIES
Long‐term liability activity for the year ended December 31, 2023 was as follows:
Beginning Ending Due Within
Balance Additions Reductions Balance One Year
Governmental activities:
Bonds payable:
G.O. improvement bonds 62,205,000$ ‐$ 4,045,000$ 58,160,000$ 4,925,000$
G.O. tax increment bonds 1,105,000 ‐ 535,000 570,000 570,000
G.O. special assessment bonds 7,190,000 ‐ 320,000 6,870,000 425,000
G.O. revenue bonds 1,345,000 ‐ 85,000 1,260,000 70,000
Add:
Premiums on bonds 3,116,447 ‐ 288,500 2,827,947 ‐
Discounts on bonds (8,349) ‐ (1,123) (7,226) ‐
Total bonds payable $74,953,098 $0 $5,272,377 $69,680,721 $5,990,000
Compensated absences 4,204,891 3,128,668 2,920,448 4,413,111 2,886,458
Lease liability 140,862 23,066 58,574 105,354 35,081
Subscription liability ‐ 258,303 122,185 136,118 118,698
Total governmental activity
long‐term debt 79,298,851$ 3,410,037$ 8,373,584$ 74,335,304$ 9,030,237$
Business ‐type activities:
Bonds payable:
G.O. revenue bonds 23,230,000$ ‐$ 2,630,000$ 20,600,000$ 2,430,000$
Add:
Premiums on bonds 1,759,686 ‐ 216,709 1,542,977 ‐
Total bonds payable 24,989,686 ‐ 2,846,709 22,142,977 2,430,000
Compensated absences 222,660 246,987 211,092 258,555 168,061
Total business ‐type activity
long‐term debt 25,212,346$ 246,987$ 3,057,801$ 22,401,532$ 2,598,061$
For governmental activities, compensated absences are paid out of the Employee Benefits internal service fund.
70
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 82
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
REVENUE PLEDGED
Future revenue pledged for the payment of long‐term debt is as follows:
Percent of Debt service Remaining Principal Pledged
Use of total as a % of Pledged Principal and Interest Revenue
Bond Issue Proceeds Type debt service net revenues Through and Interest paid received
G.O. Improvement Bonds
Series 2012A
Housing Improvement
Area Fee 100% 99% 2033 876,589 86,078 86,078
G.O. Improvement Bonds
Series 2010A / Refunding
2019C
Housing Improvement
Area Fee 100% 100% 2028 1,293,271 287,835 287,835
Tax Increment Refunding
Bonds Series 2008B Street Improvements TIF 100% 100% 2024 583,181 573,400 573,400
Utility Crossover
Refunding Bonds Series
2013A
Utility Infrastructure
Projects Utility charges 100% 100% 2023 ‐ 290,415 290,415
Utility Revenue Bonds
Series 2014A
Utility Infrastructur e
Projects Utility charges 100% 100% 2026 1,632,842 541,858 541,858
Utility Revenue Bonds
Series 2017A
Utility Infrastructure
Projects Utility charges 100% 100% 2033 4,003,215 469,123 469,123
Utility Refunding Revenue
Bonds Series 2017A
Utility Infrastructure
Projects Utility charges 100% 100% 2025 417,225 210,075 210,075
Utility Revenue Bonds
Series 2018A
Utility Infrastructure
Projects Utility charges 100% 100% 2033 5,585,630 623,570 623,570
Utility Revenue Bonds
Series 2019B
Utility Infrastructure
Projects Utility charges 100% 100% 2030 6,646,448 865,002 865,002
G.O. Bonds Series 2020A ‐
Utility portion
Utility Infrastructure
Projects Utility charges 100% n/a 2036 5,378,695 395,280 395,280
G.O. Bonds Series 2020A ‐
Levy portion
Bikeway, Bridge,
Pavement Management Tax Levy 100% n/a 2042 12,669,488 824,720 824,720
G.O. Bonds Series 2021A
Park Improvements,
Louisiana Bridge,
Wooddale Bikeway,
Pavement Management Tax Levy 100% n/a 2038 14,038,495 305,621 305,621
2022A G.O. Refunding
Bonds Louisiana Court Project
Operating revenues of
Louisiana Court 100% n/a 2037 1,643,790 142,790 142,790
Revenue Pledged Current Year
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 83
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 7 DEFINED BENEFIT PENSION PLANS
A. PLAN DESCRIPTION
The City participates in the following cost‐sharing multiple‐employer defined benefit pension plans administered by the
Public Employees Retirement Association of Minnesota (PERA). PERA’s defined benefit pension plans are established and
administered in accordance with Minnesota Statutes, Chapters 353 and 356. PERA’s defined benefit pension plans are tax
qualified plans under Section 401(a) of the Internal Revenue Code
1. General Employees Retirement Fund (GERF)
All full‐time (with the exception of employees covered by PEPFF) and certain part‐time employees of the City are
covered by the General Employees Retirement Fund (GERF). GERF members belong to the Coordinated Plan.
Coordinated Plan members are covered by Social Security.
2. Public Employees Police and Fire Fund (PEPFF)
The PEPFF, originally established for police officers and firefighters not covered by a local relief association, now covers
all police officers and firefighters hired since 1980. Effective July 1, 1999, the PEPFF also covers police officers and
firefighters belonging to local relief associations that elected to merge with and transfer assets and administration to
PERA.
B. BENEFITS PROVIDED
PERA provides retirement, disability, and death benefits. Benefit provisions are established by state statute and can only be
modified by the state legislature. Vested, terminated employees who are entitled to benefits but are not receiving them
yet, are bound by the provisions in effect at the time they last terminated their public service.
1. GERF Benefits
Benefits are based on a member’s highest average salary for any five successive years of allowable service, age, and
years of credit at termination of service. Two methods are used to compute benefits for PERA’s Coordinated members.
Members hired prior to July 1, 1989 receive the higher of Method 1 or Method 2 formulas. Only Method 2 is used for
members hired after June 30, 1989. Under Method 1, the accrual rate for Coordinated members is 1.2% for each of the
first ten years of service and 1.7% for each additional year. Under Method 2, the accrual rate for Coordinated Plan
members is 1.7% for all years of service. For members hired prior to July 1, 1989 a full annuity is available when age
plus years of service equal 90 and normal retirement age is 65. For members hired on or after July 1, 1989, normal
retirement age is the age for unreduced Social Security benefits capped at 66.
Benefit increases are provided to benefit recipients each January. The postretirement increase is equal to 50% of the
cost‐of‐living adjustment (COLA) announced by the SSA, with a minimum increase of at least 1% and a maximum of
1.5%. Recipients that have been receiving the annuity or benefit for at least a full year as of the June 30 before the
effective date of the increase will receive the full increase. Recipients receiving the annuity or benefit for at least one
month but less than a full year as of the June 30 before the effective date of the increase will receive a reduced
prorated increase. In 2023, legislation repealed the statute delaying increases for members retiring before full
retirement age.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 84
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
2.PEPFF Benefits
Benefits for PEPFF members first hired after June 30, 2010 but before July 1, 2014 vest on a prorated basis from 50%
after five years up to 100% after ten years of credited service. Benefits for PEPFF members first hired after June 30,
2014 vest on a prorated basis from 50% after ten years up to 100% after twenty years of credited service. The annuity
accrual rate is 3% of average salary for each year of service. For PEPFF members who were first hired prior to July 1,
1989, a full annuity is available when age plus years of service equal at least 90.
Benefit increases are provided to benefit recipients each January. The postretirement increase is fixed at 1%.
Recipients that have been receiving the annuity or benefit for at least 36 months as of the June 30 before the effective
date of the increase will receive the full increase. Recipients receiving the annuity or benefit for at least 25 months but
less than 36 months as of the June 30 before the effective date of the increase will receive a reduced prorated
increase.
C.CONTRIBUTIONS
Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. Contribution rates can only be
modified by the state legislature.
1.GERF Contributions
Coordinated Plan members were required to contribute 6.5% of their annual covered salary in fiscal year 2023 and the
City was required to contribute 7.5% for Coordinated Plan members. The City’s contributions to the GERF for the year
ended December 31, 2023 were $1,443,924. The City’s contributions were equal to the required contributions as set
by state statute.
2.PEPFF Contributions
Police and Fire Plan members were required to contribute 11.80% of their annual covered salary in fiscal year 2023 and
the City was required to contribute 17.70% for Police and Fire Plan members. The City’s contributions to the PEPFF for
the year ended December 31, 2023 were $1,799,416. The City’s contributions were equal to the required contributions
as set by state statute.
D.PENSIONS COST
1.GERF Pension Costs
At December 31, 2023, the City reported a liability of $13,694,534 for its proportionate share of GERF’s net pension
liability. The City’s net pension liability reflected a reduction due to the State of Minnesota’s contribution of $16
million. The State of Minnesota is considered a non‐employer contributing entity and the state’s contribution meets
the definition of a special funding situation. The State of Minnesota’s proportionate share of the net pension liability
associated with the City totaled $377,584.
73
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 85
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
The net pension liability was measured as of June 30, 2023, and the total pension liability used to calculate the net
pension liability was determined by an actuarial valuation as of that date. The City’s proportion of the net pension
liability was based on the City’s contributions received by PERA during the measurement period for employer payroll
paid dates from July 1, 2022 through June 30, 2023, relative to the total employer contributions received from all of
PERA’s participating employers. The City’s proportionate share was 0.2449% at the end of the measurement period
and 0.2387% for the beginning of the period.
City’s proportionate share of the net pension liability 13,694,534$
State of Minnesota’s proportionate share of the net
pension liability associated with the City 377,584
Total 14,072,118$
For the year ended December 31, 2023, the City recognized pension expense of $2,191,913 for its proportionate share
of the GERF’s pension expense. In addition, the City recognized an additional $1,697 as pension expense (and grant
revenue) for its proportionate share of the State of Minnesota’s contribution of $16 million to the GERF.
At December 31, 2023, the City reported its proportionate share of the GERF’s deferred outflows of resources and
deferred inflows of resources related to pensions from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Differences between expected and
actual economic experience 449,734$ 95,534$
Changes in actuarial assumptions 2,243,896 3,753,555
Difference between projected and
actual investment earnings ‐ 545,326
Changes in proportion 284,662 ‐
Contributions paid to PERA
subsequent to the measurement date 727,478 ‐
Total 3,705,770$ 4,394,415$
The $727,478 reported as deferred outflows of resources related to pensions resulting from City contributions
subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ended
December 31, 2024. Other amounts reported as deferred outflows and inflows of resources related to pensions will be
recognized in pension expense as follows:
Year Ended Pension
December 31, Expense
2024 464,207$
2025 (1,979,473)
2026 396,224
2027 (297,081)
2028 ‐
Thereafter ‐
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 86
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
2.PEPFF Pension Costs
At December 31, 2023, the City reported a liability of $13,448,864 for its proportionate share of the PEPFF’s net
pension liability. The net pension liability was measured as of June 30, 2023 and the total pension liability used to
calculate the net pension liability was determined by an actuarial valuation as of that date. The City’s proportionate
share of the net pension liability was based on the City’s contributions received by PERA during the measurement
period for employer payroll paid dates from July 1, 2022 through June 30, 2023, relative to the total employer
contributions received from all of PERA’s participating employers. The City’s proportionate share was 0.7788% at the
end of the measurement period and 0.7696% for the beginning of the period.
The State of Minnesota contributed $18 million to PEPFF during the plan fiscal year ended June 30, 2023. The
contribution consisted of $9 million in direct state aid that meets the definition of a special funding situation and $9
million in supplemental state aid that does not meet the definition of a special funding situation. The $9 million direct
state aid was paid on October 1, 2022. Thereafter, by October 1 of each year, the state will pay $9 million to the PEPFF
until full funding is reached or July 1, 2048, whichever is earlier. The $9 million in supplemental state aid will continue
until the fund is 90% funded, or until the State Patrol Plan (administered by the Minnesota State Retirement System) is
90% funded, whichever occurs later. The State of Minnesota’s proportionate share of the net pension liability
associated with the City totaled $541,749.
City’s proportionate share of the net pension liability 541,749$
State of Minnesota’s proportionate share of the net
pension liability associated with the City 13,448,864
Total 13,990,613$
The State of Minnesota is included as a non‐employer contributing entity in the PEPFF Schedule of Employer
Allocations and Schedule of Pension Amounts by Employer, Current Reporting Period Only (pension allocation
schedules) for the $9 million in direct state aid. PEPFF employers need to recognize their proportionate share of the
State of Minnesota’s pension expense (and grant revenue) under GASB 68 special funding situation accounting and
financial reporting requirements. For the year ended December 31, 2023, the City recognized pension expense of
$4,448,735 for its proportionate share of the Police and Fire Plan’s pension expense. The City recognized an additional
($32,629) as pension expense (and grant revenue) for its proportionate share of the State of Minnesota’s contribution
of $9 million to the PEPFF.
The State of Minnesota is not included as a non‐employer contributing entity in the Police and Fire Pension Plan
pension allocation schedules for the $9 million in supplemental state aid. The City recognized $70,091 for the year
ended December 31, 2023 as revenue and an offsetting reduction of net pension liability for its proportionate share of
the State of Minnesota’s on‐behalf contributions to the Police and Fire Fund.
75
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 87
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
At December 31, 2023, the City reported its proportionate share of the PEPFF’s deferred outflows of resources and
deferred inflows of resources related to pensions from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Differences between expected and
actual economic experience 3,711,135$ ‐$
Changes in actuarial assumptions 15,621,971 18,910,647
Difference between projected and
actual investment earnings ‐ 663,276
Changes in proportion 325,261 92,898
Contributions paid to PERA
subsequent to the measurement date 920,748 ‐
Total 20,579,115$ 19,666,821$
The $920,748 reported as deferred outflows of resources related to pensions resulting from City contributions
subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ended
December 31, 2024. Other amounts reported as deferred outflows and inflows of resources related to pensions will be
recognized in pension expense as outflows:
Year Ended Pension
December 31, Expense
2024 705,807$
2025 139,107
2026 3,315,088
2027 (853,102)
2028 (3,315,354)
Thereafter ‐
The net pension liability will be liquidated by the Employee Benefits internal service fund.
E.ACTUARIAL ASSUMPTIONS
The total pension liability in the June 30, 2023, actuarial valuation was determined using an individual entry‐age normal
actuarial cost method and the following actuarial assumptions:
Inflation 2.25% per year
Investment Rate of Return 7.00%
The long‐term investment rate of return is based on a review of inflation and investment return assumptions from a
number of national investment consulting firms. The review provided a range of investment return rates deemed to be
reasonable by the actuary. An investment return of 7.00% was deemed to be within that range of reasonableness for
financial reporting purposes.
Benefit increases after retirement are assumed to be 1.25% for the GERF and 1.00% for the PEPFF.
76
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 88
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Salary growth assumptions in the GERF range in annual increments from 10.25% after one year of service to 3.0% after 27
years of service. In the PEPFF, salary growth assumptions range from 11.75% after one year of service to 3.0% after 24
years of service.
Mortality rates for GERF were based on the Pub‐2010 General Employee Mortality Table. Mortality rates for PEPFF were
based on the Pub‐2010 Public Safety Employee Mortality tables. The tables are adjusted slightly to fit PERA’s experience.
Actuarial assumptions for GERF are reviewed every four years. The most recent four‐year experience study for GERF was
completed in 2022. The assumption changes were adopted by the Board and become effective with the July 1, 2023
actuarial valuation. The most recent four‐year experience study for PEPFF was completed in 2020 and adopted by the
Board and became effective with the July 1, 2021 actuarial valuation.
The following changes in actuarial assumptions and plan provisions occurred in 2023:
General Employees Fund
Changes in Actuarial Assumptions:
The investment return assumption and single discount rate were changed from 6.50% to 7.00%.
Changes in Plan Provisions:
An additional one‐time direct state aid contribution of $170.1 million was contributed to the Plan on October 1, 2023.
The vesting period of those hired after June 30, 2010, was changed from five years of allowable service to three years
of allowable service.
The benefit increase delay for early retirements on or after January 1, 2024, was eliminated.
A one‐time, non‐compounding benefit increase of 2.50% minus the actual 2024 adjustment will be payable in a lump
sum for calendar year 2024 by March 31, 2024.
Police and Fire Fund
Changes in Actuarial Assumptions:
The investment return assumption was changed from 6.50% to 7.00%.
The single discount rate changed from 5.40% to 7.00%.
.
Changes in Plan Provisions:
An additional one‐time direct state aid contribution of $19.4 million was contributed to the Plan on October 1, 2023.
Vesting requirement for new hires after June 30, 2014, was changed from a graded 20‐year vesting schedule to a
graded 10‐year vesting schedule, with 50% vesting after five years, increasing incrementally to 100% after 10 years.
A one‐time, non‐compounding benefit increase of 3.00% will be payable in a lump sum for calendar year 2024 by
March 31, 2024.
Psychological treatment is required effective July 1, 2023, prior to approval for a duty disability benefit for a
psychological condition relating to the member’s occupation.
The total and permanent duty disability benefit was increased, effective July 1, 2023.
77
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 89
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
The State Board of Investment, which manages the investments of PERA, prepares an analysis of the reasonableness on a
regular basis of the long‐term expected rate of return using a building‐block method in which best‐estimate ranges of
expected future rates of return are developed for each major asset class. These ranges are combined to produce an
expected long‐term rate of return by weighting the expected future rates of return by the target asset allocation
percentages. The target allocation and best estimates of geometric real rates of return for each major asset class are
summarized in the following table:
Target Long‐Term Expected
Asset Class Allocation Real Rate of Return
Domestic equity 33.5% 5.10%
International equity 16.5% 5.30%
Fixed income 25% 0.75%
Private markets 25% 5.90%
Total 100%
F. DISCOUNT RATE
The discount rate used to measure the total pension liability in 2023 was 7.00%. The projection of cash flows used to
determine the discount rate assumed that contributions from plan members and employers will be made at rates set in
Minnesota Statutes. Based on these assumptions, the fiduciary net position of the GERF and PEPFF were projected to be
available to make all projected future benefit payments of current plan members. Therefore, the long‐term expected rate
of return on pension plan investments was applied to all periods of projected benefit payments to determine the total
pension liability.
G. PENSION LIABILITY SENSITIVITY
The following presents the City’s proportionate share of the net pension liability, calculated using the discount rate
disclosed in the preceding paragraph, as well as what the City’s proportionate share of the net pension liability would be if
it were calculated using a discount rate one percentage point lower (6.00%) or one percentage point higher (8.00%) than
the current discount rate:
1% Decrease in 1% Increase in
Discount Rate Discount Rate Discount Rate
City's Proportionate share of the
GERF net pension liability 24,226,730$ 13,694,534$ 5,031,402$
City's Proportionate share of the
PEPFF net pension liability 26,864,149$ 13,448,864$ 2,567,688$
H. PENSION PLAN FIDUCIARY NET POSITION
Detailed information about each pension plan’s fiduciary net position is available in a separately‐issued PERA financial
report that includes financial statements and required supplementary information. That report may be obtained at
www.mnpera.org.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 90
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
I. PENSION EXPENSE
Pension expense recognized by the City for the fiscal year ended December 31, 2023 is as follows:
GERF 2,191,913$
PEPFF 4,448,735
Total 6,640,648$
Note 8 DEFINED CONTRIBUTION PLAN
Four council members of the City of St. Louis Park, Minnesota, are covered by the Public Employees Defined Contribution Plan
(PEDCP), a multiple‐employer deferred compensation plan administered by PERA. The PEDCP is a tax qualified plan under Section
401(a) of the Internal Revenue Code and all contributions by or on behalf of employees are tax deferred until time of withdrawal.
Plan benefits depend solely on amounts contributed to the plan plus investment earnings, less administrative expenses. Minnesota
Statutes, Chapter 353D.03, specifies plan provisions, including the employee and employer contribution rates for those qualified
personnel who elect to participate. An eligible elected official who decides to participate contributes 5% of salary which is matched
by the elected official’s employer. For ambulance service personnel, employer contributions are determined by the employer, and
for salaried employees must be a fixed percentage of salary. Employer contributions for volunteer personnel may be a unit value for
each call or period of alert duty. Employees who are paid for their services may elect to make member contributions in an amount
not to exceed the employer share. Employer and employee contributions are combined and used to purchase shares in one or more
of the seven accounts of the Minnesota Supplemental Investment Fund. For administering the plan, PERA receives 2% of employer
contributions and twenty‐five hundredths of 1% (.0025) of the assets in each member’s account annually.
Total contributions made by the City during fiscal year 2023 were:
Required
Employer
Employee (Pension Expense) Employee Employer Rate
2,734$ 2,734$ 5% 5% 5%
Contribution Amount Percentage of Covered Payroll
Note 9 POST‐EMPLOYMENT BENEFITS OTHER THAN PENSIONS (OPEB)
A. PLAN DESCRIPTION
In addition to providing the pension benefits described in Notes 7 and 8, the City provides post‐employment health care
benefits, as defined in paragraph B, through its group health insurance plan (the plan). The plan is a single‐employer
defined benefit OPEB plan administered by the City. The authority to provide these benefits is established in Minnesota
Statutes Sections 471.61 Subd. 2a and 299A.465. The benefits, benefit levels, employee contributions and employer
contributions are governed by the City and can be amended by the City through its personnel manual and collective
bargaining agreements with employee groups. No assets are accumulated in a trust that meets the criteria in paragraph 4
of GASB Statement No. 75.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 91
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
B.BENEFITS PROVIDED
The City is required by State Statute to allow retirees to continue participation in the City’s group health insurance plan if
the individual terminates service with the City through service retirement or disability retirement. Police officers, police,
sergeants, police lieutenants, dispatchers, and firefighters age 50 and over with 3 years of service, or age 65 with 1 year of
service, may continue medical and dental coverage at their own expense. Non‐union and 49ers union employees age 55
with 3 years of service, age 65 with 1 year of service, any age with 30 years of service, or those whose age plus service is at
least 90 may continue medical and dental coverage at their own expense. Employees may obtain dependent coverage at
retirement only if the employee was receiving dependent coverage immediately prior to retirement. The surviving spouse
of an active employee may continue coverage in the group health insurance plan after the employee’s death.
All health care coverage is provided through the City’s group health insurance plans. The retiree is required to pay 100% of
their premium cost for the City‐sponsored group health insurance plan in which they participate. The premium is a blended
rate determined on the entire active and retiree population. Since the projected claims costs for retirees exceed the
blended premium paid by retirees, the retirees are receiving an implicit rate subsidy (benefit). The coverage levels are the
same as those afforded to active employees. Upon a retiree reaching age 65, Medicare becomes the primary insurer.
C.PARTICIPANTS
As of the December 31, 2022 valuation date, participants of the plan consisted of:
Active employees electing coverage 277
Active employees waiving coverage 2
Retirees electing coverage 28
Total 307
D.TOTAL OPEB LIABILITY AND CHANGES IN TOTAL OPEB LIABILITY
The City’s total OPEB liability of $5,694,659 was measured at December 31, 2022 and was determined by an actuarial
valuation as of December 31, 2023. Changes in the total OPEB liability during 2023 were:
Changes for the year:
Service cost 390,372$
Interest cost 117,569
Changes of benefit terms ‐
Differences between expected and actual experience 480,554
Changes in assumptions (1,176,364)
Benefit payments (233,409)
Net changes (421,278)
Balance ‐ beginning of year 6,115,937
Balance ‐ end of year 5,694,659$
There were no plan changes since the measurement date of December 31, 2021.
80
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 92
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
E. ACTUARIAL ASSUMPTIONS AND OTHER INPUTS
The total OPEB liability in the December 31, 2023 actuarial valuation was determined using the following actuarial
assumptions and other inputs, applied to all periods included in the measurement, unless otherwise specified:
Inflation rate 2.50%
Salary increases Based on most recently disclosed
assumptions for the pension plan in
which the employee participates
Discount rate 4.05%
Index rate for 20‐year tax ‐exempt muncipal bonds 4.05%
Healthcare trend rates 7.6% in 2023 gradually decreasing
over several decades to an ultimate
rate of 3.90% in 2075 and later years
Retirees' share of benefit‐related costs 100%
Since the plan is funded on a pay‐as‐you‐go basis, both the discount rate and the investment rate of return were based on
published rate information for 20‐year, tax exempt, municipal bonds as of the measurement date. (Fidelity 20‐year
Municipal GO AA Index)
Mortality rates for general employees were based on Pub‐2010 General mortality tables with projected mortality
improvements based on scale MP‐2021, and other adjustments. Mortality rates for Police and Fire employees were based
on the Pub‐2010 Public Safety mortality tables with projected mortality improvements based on scale MP‐2021, and other
adjustments.
The actuarial assumptions used in the December 31, 2023 valuation are similar to those used to value pension liabilities for
Minnesota public employees. The state pension plans base their assumptions on periodic experience studies.
Changes in assumptions and other inputs since the prior measurement date include:
The discount rate was changed from 1.84% to 4.05% based on updated 20‐year municipal bond rates.
Healthcare trend rates were reset to reflect updated cost increase expectations.
Medical per capita claims costs were updated to reflect recent experience.
Withdrawal, retirement, mortality, disability, and salary increase rates were updated from the rates used in the
July 1, 2020 PERA General Employees Plan and July 1, 2020 PERA Police and Fire Plan valuations to the rates used
in the July 1, 2022 Valuations
The percent of future non Medicare eligible retirees electing each medical plan changed to reflect recent plan
experience.
The inflation assumption was changed from 2.25% to 2.50% based on an updated historical analysis of inflation
rates and forward‐looking market expectations.
The payroll growth assumptions was changed from 3.00% to 3.25% based on the July 1, 2023 PERA valuations.
81
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 93
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
F.SENSITIVITY OF THE TOTAL OPEB LIABILITY TO CHANGES IN THE DISCOUNT RATE
The following table presents the total OPEB liability of the City, as well as what the City’s total OPEB liability would be if it
were calculated using a discount rate that is 1% lower or 1% higher than the current discount rate of 4.05%:
1% Decrease
Current
Discount Rate 1% Increase
Total OPEB liability 6,276,086$ 5,694,659$ 5,186,395$
G.SENSITIVITY OF THE TOTAL OPEB LIABILITY TO CHANGES IN HEALTHCARE COST TREND RATES
The following table presents the total OPEB liability of the City, as well as what the City’s total OPEB liability would be if it
were calculated using healthcare cost trend rates that are 1% lower (6.60% decreasing to 2.90%) or 1% higher (8.60%
decreasing to 4.90%) than the current healthcare cost trend rates:
Current Healthcare
1% Decrease Cost Trend Rates 1% Increase
Total OPEB liability 5,064,218$ 5,694,659$ 6,436,742$
H.OPEB EXPENSE AND DEFERRED OUTFLOWS AND INFLOWS OF RESOURCES RELATED TO OPEB
For the year ended December 31, 2023, the City recognized $402,361 of OPEB expense. At December 31, 2023, the City
reported deferred outflows and inflows of resources related to OPEB from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Difference between expected 1,349,903$ 3,638$
and actual liability
Changes of assumption 288,190 1,116,695
Contributions between the measurement
date and reporting date 182,815 ‐
Total 1,820,908$ 1,120,333$
$182,815 of the deferred outflows of resources relates to contributions subsequent to the measurement date will be
recognized as a reduction of the OPEB liability in the year ending December 31, 2024. Other amounts reported as deferred
outflows and inflows of resources related to OPEB will be recognized in OPEB expense as follows:
Year Ended OPEB
December 31, Expense
2024 127,829$
2025 127,829
2026 115,777
2027 107,677
2028 94,257
Thereafter (55,609)
517,760$
82
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Title: Review of 2023 Annual Comprehensive Financial Report Page 94
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 10 INTERFUND RECEIVABLES, PAYABLES AND TRANSFERS
The City has established interfund loans to finance infrastructure improvements, project reimbursements, housing rehabilitation
loans and to provide initial financing for TIF districts. A summary at December 31, 2023 is as follows:
Interfund Interfund
Loan Loan
Receivable Payable
Major Funds:
Housing Rehabilitation ‐$ 767,842$
Development EDA 3,351,631 ‐
Redevelopment District ‐ 4,383,789
Non‐Major Funds 1,800,000 ‐
Total 5,151,631$ 5,151,631$
The City provides temporary advances to funds that have insufficient cash balances by means of an advance from another fund
shown as due from other funds in the advancing fund, and a due to other fund in the fund with the deficit, until adequate resources
are received. A summary at December 31, 2023 is as follows:
Due From Due To
Other Funds Other Funds
Major Funds:
General Fund 12,474$ ‐$
Development EDA 264,908 ‐
Streets Capital Projects ‐ 4,988,681
Redevelopment District 1,558,987 264,908
Non ‐Major Funds 3,429,694 12,474
Total 5,266,063$ 5,266,063$
Interfund transfers at December 31, 2023 are as follows:
Housing Redevelopment EDA ‐ Internal
General Rehabilitation District Development Debt Service Street Capital Service Funds Non‐major Totals
Transfers out:
General $ ‐ ‐$ ‐$ ‐$ ‐$ ‐$ 800,000$ ‐$ 800,000$
Housing Rehabilitation 9,774 ‐ ‐ ‐ 702,638 ‐ ‐ ‐ 712,412
Redevelopment District ‐ ‐ ‐ 911,180 907,108 4,480,000 ‐ 1,921,036 8,219,324
EDA ‐ Development ‐ ‐ 7,917 ‐ ‐ ‐ ‐ ‐ 7,917
COVID Fund 700,000 ‐ ‐ ‐ ‐ ‐ ‐ ‐ 700,000
Nonmajor Governmental 10,000 718,564 ‐ ‐ ‐ ‐ ‐ ‐ 728,564
Water 659,894 ‐ ‐ ‐ ‐ ‐ 37,960 ‐ 697,854
Sewer 916,849 ‐ ‐ ‐ ‐ ‐ 37,960 ‐ 954,809
Storm Water 335,895 ‐ ‐ ‐ ‐ ‐ 37,960 ‐ 373,855
Solid Waste 233,354 ‐ ‐ ‐ ‐ ‐ 37,960 ‐ 271,314
Total transfers in 2,865,766$ 718,564$ 7,917$ 911,180$ 1,609,746$ 4,480,000$ 951,840$ 1,921,036$ 13,466,049$
Fund
Transfers in
Generally, transfers are used to (1) move revenues from the fund that collects them to the fund that the budget requires to expend
them, (2) move receipts restricted to debt service from the funds collecting the receipts to a debt service fund in accordance with
bond documents, (3) move funds in accordance with the City’s adopted capital improvement plan to support project costs, and (4)
use unrestricted revenues collected in the General Fund to finance various programs accounted for in other funds in accordance
with City policy.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 95
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 11 LEASE AND SUBSCRIPTION‐BASED INFORMATION TECHNOLOGY ARRANGEMENT DISCLOSURES
A. LESSOR LEASES
The City leases space on its water towers for cellular tower antenna sites. There are ten leases with terms ranging from 108
to 240 months, including up to four renewal periods of 60 months each at the lessee’s option. The lease terms include
options which the City considers the likelihood of being exercised to be greater than 50%. The agreements call for annual
lease payments ranging from $8,979 to $69,643. The lease receivables are measured at the present value of future
minimum lease payments expected to be received during the lease term at discount rates of 1.085% to 3.398%.
The City has a ground lease with a term of 142 months including two, 60 month extensions at the lessee’s option. The
agreement calls for annual payments of $15,764. The lease receivable is measured at the present value of future minimum
lease payments expected to be received during the lease term at a discount rate of .31%.
At December 31, 2023, the City recorded lease receivables of $5,624,728 and deferred inflows for these arrangements of
$5,451,723. Lease related inflows of resources (revenue) recognized during the year ended December 31, 2023, was
$454,243 including interest revenue of $63,568. There were no variable revenues associated with these agreements.
B. LESSEE LEASES
As of December 31, 2023, the City had eight outstanding vehicle leases. Each lease requires 60 monthly payments from
commencement of the lease, ranging from $386 to $581. The lease liability is measured at discount rates ranging from
0.512% to 7.28%. The City also has three office equipment leases for various pieces of office equipment. The leases have
terms of 20 to 58 months with no extension options. Each lease requires monthly payments of $151 to $1,841. The lease
liability is measured at a discount rate of 0.31%
As a result of the leases, the City has recorded right‐to‐use leased assets with a net book value of $102,226 as of December
31, 2023.
The lease liability and right‐to‐use leased asset for the year ended December 31, 2023 are shown in Note 6 and Note 5,
respectively.
Scheduled lease payments are as follows:
Year Ending
December 31 Principal Interest
2024 35,081$ 4,414$
2025 30,819 3,000
2026 29,219 1,509
2027 9,783 409
2028 452 3
Total 105,354$ 9,335$
Lease Liability
Governmental Activities
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 96
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
C. SUBSCRIPTION‐BASED INFORMATION TECHNOLOGY ARRANGEMENTS
During the year ended December 31, 2023, the City entered into a right‐to‐use subscription‐based IT arrangement for the
use of Ricoh – Bullwall RansomCare server. The agreement expires in on June 1, 2026 and is reported at the present value
of future minimum payments, discounted at a 2.31% rate (which is the City’s estimated borrowing rate over the same time
period).
During the year ended December 31, 2023, the City entered into a right‐to‐use subscription‐based IT arrangement for the
use of Microsoft Office (through SHI). The agreement expires in March 1, 2025 and is reported at the present value of
future minimum payments, discounted at a 2.65% rate (which is the City’s estimated borrowing rate over the same time
period).
The subscription liability and subscription‐based IT asset for the year ended December 31, 2023 are shown in Note 6 and
Note 5, respectively.
Scheduled lease payments are as follows:
Year Ending
December 31 Principal Interest
2024 118,698$ 3,487$
2025 17,420 402
Total 136,118$ 3,889$
Subscription Liability
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 97
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 12 FUND BALANCE
A.CLASSIFICATIONS
At December 31, 2023, a summary of the governmental fund balance classifications are as follows:
Nonspendable Restricted Committed Assigned Unassigned
General fund
Prepaid items 161,715$ ‐$ ‐$ ‐$ ‐$
Inventories 284,249 ‐ ‐ ‐ ‐
E‐911 purposes ‐ 214,971 ‐ ‐ ‐
Public safety aid ‐ 2,194,317 ‐ ‐ ‐
Police ‐ community engagement ‐ ‐ ‐ 200,000 ‐
Tax court petitions ‐ ‐ ‐ 500,000 ‐
Unassigned ‐ ‐ ‐ ‐ 24,443,962
Housing rehabilitation ‐ ‐ ‐ 6,538,203 ‐
COVID fund ‐ ‐ ‐ 158,715 ‐
Debt service ‐ 7,810,235 ‐ ‐ ‐
Development EDA
Redevelopment efforts ‐ ‐ ‐ 18,346,846 ‐
Redevelopment districts ‐ 9,476,051 ‐ ‐ (2,306,298)
Streets capital projects
SWLRT beltline ‐ ‐ ‐ 30,254 ‐
Unassigned ‐ ‐ ‐ ‐ (3,775,913)
Other governmental funds
Affordable housing ‐ 8,678,203 ‐ ‐ ‐
Capital improvements 6,575 ‐ ‐ 3,554,008 ‐
Climate investment ‐ ‐ 647,281 ‐ ‐
Community development ‐ 462,179 ‐ ‐ ‐
Opioid settlement ‐ ‐ 3,359 ‐ ‐
Cable TV equipment purchases 5,354 36,365 1,417,363 824,158 ‐
Park improvement ‐ ‐ ‐ 3,140,010 ‐
Police and fire purposes ‐ 1,292,158 ‐ ‐ ‐
Special service districts ‐ ‐ ‐ 259,032 ‐
Permanent improvement ‐ ‐ ‐ 2,788,978 ‐
Total 457,893$ 30,164,479$ 2,068,003$ 36,340,204$ 18,361,751$
Unless separately displayed, constraints are not more specific than the purpose of the fund.
Fund/Description
MINIMUM FUND BALANCE POLICY
The City Council has formally adopted a fund balance policy for the General Fund.
The policy establishes a year‐end target of unassigned fund balance amount for cash flow timing needs in the range of 40‐
50% of the subsequent years budget expenditures. At December 31, 2023, the unassigned fund balance for the General
Fund was 46% of the subsequent year’s budgeted expenditures.
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 98
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 13 DEFICIT FUND BALANCE/NET POSITION
At December 31, 2023, individual funds with deficit fund balance/net position are as follows:
Amount Future Financing Source
Redevelopment District:
Bridgewater Bank TIF District 501,724$ Future tax increment
Rise on 7 TIF District 1,804,574 Future tax increment
Streets Capital Projects Fund:
Streets Capital Projects 604,412 Future bonding/MSA reimbursement
Sidewalks and Trails 384,910 Future transfer
2023 MSA Street Project 987,515 MSA reimbursement
W36th St/Wooddale Rehab 1,611,907 Future transfer
2024 MSA Street Project 187,169 MSA reimbursement
Internal Service Funds:Future pension contributions
Employee Benefits 35,951,822 and investment earnings
42,034,033$
Note 14 COMMITMENTS AND CONTINGENCIES
A.RISK MANAGEMENT
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and
omissions; injuries to employees; and natural disasters. The City continues to carry commercial insurance for risks of loss,
including workers compensation, property and general liability and employee health and accident insurance. There were
no significant reductions in insurance from the previous year or settlements in excess of insurance coverage for any of the
past three fiscal years.
PROPERTY AND CASUALTY INSURANCE
Property and casualty insurance coverage is provided through the League of Minnesota Cities Insurance Trust (LMCIT), a
public entity risk pool currently operating as a common risk management and insurance program for Minnesota cities:
general liability, excess liability property, automobile, marine, crime, employee dishonesty, boiler and open meeting law.
The City pays an annual premium to the LMCIT for its insurance coverage. The LMCIT is self‐sustaining through member
premiums and reinsures through commercial companies for claims in excess of various amounts. The City retains risk for
the deductible portions of the insurance policies. The deductible amounts are $50,000 for each occurrence and a $150,000
annual aggregate.
Current State Statute (Minnesota Statute subd. 466.04) provides limits of liability for the City. These limits are that the
combination of defense expense and indemnification expense shall not exceed $500,000 in the case of one claimant or
$1,500,000 for any number of claims arising out of a single occurrence.
B.LITIGATION
The City attorney has indicated that existing and pending lawsuits, claims and other actions in which the City is a defendant
are either covered by insurance; of an immaterial amount; or, in the judgment of the City attorney, remotely recoverable by
plaintiffs.
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Title: Review of 2023 Annual Comprehensive Financial Report Page 99
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
C.FEDERAL AND STATE FUNDS
The City receives financial assistance from federal and state governmental agencies in the form of grants. The
disbursement of funds received under these programs generally requires compliance with the terms and conditions
specified in the grant agreements and is subject to audit by the grantor agencies. Any disallowed claims resulting from such
audits could become a liability of the applicable fund. However, in the opinion of management, any such disallowed claims
will not have a material effect on any of the financial statements of the individual fund types included herein or on the
overall financial position of the City at December 31, 2023.
E.TAX ABATEMENTS – PAY‐AS‐YOU‐GO TAX INCREMENT
The City EDA provides tax abatements pursuant to Minnesota Statutes 469.174 to 469.1794 (Tax Increment Financing)
through a pay‐as‐you‐go note program. Tax increment financing (TIF) can be used to encourage private development,
redevelopment, renovation and renewal, growth in low‐to‐moderate‐income housing, and economic development within
the City. TIF captures the increase in tax capacity and property taxes from development or redevelopment to provide
funding for the related project.
The City has numerous tax increment pay‐as‐you‐go agreements. The agreements are not a general obligation of the City
and are payable solely from available tax increment. Accordingly, these agreements are not reflected in the financial
statements of the City. The pay‐as‐you‐go note provides for payment to the developer a percentage of all tax increment
received in the prior six months. The payment reimburses the developer for public improvements. Principal and interest
shall be paid on February 1 and August 1. Payments are payable solely from available tax increment derived from the
developed/redeveloped property and paid to the City. The City shall have no obligation to pay any unpaid balance of
principal or accrued interest that may remain after the final payment.
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Title: Review of 2023 Annual Comprehensive Financial Report Page 100
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Details of the pay‐as‐you‐go notes are as follows:
Issue Principal Interest First Final % TIF 2023 12/31/2023
District Name / Note Description Date Amount Rate Note Pymt Note Pymt Available Payments Balance
Zarthan/16th Ave TIF District
CSM ‐ Town Place Suites 10/25/2000
1,101,362$ 8.00% 8/1/2003 2/1/2023 89.75% 18,744$ 1,218,476$
CSM ‐ Spring Hill Suites 10/25/2000
1,448,088 8.00% 8/1/2003 2/1/2023 89.75% 27,493 1,750,836
46,237
Mill City TIF District
MSP SLP Apartments 11/20/2000
3,431,137 8.75% 8/1/2002 2/1/2023 94.75% 290,152 2,209,013
Park Commons TIF District
Excelsior & Grand Phase NE 6/5/2006 4,668,633 8.50% 8/1/2006 2/1/2028 97.00% 1,121,825 2,852,302
Excelsior & Grand Phase NW 6/5/2006 4,079,105 8.50% 8/1/2007 2/1/2028 97.00% 1,115,190 2,583,726
Excelsior & Grand Phase E 6/5/2006 3,300,715 8.50% 8/1/2006 2/1/2028 97.00% 685,249 3,485,707
2,922,264
Elmwood Apartments TIF District
Elmwood Apartments 4/4/2022 950,000 4.25% 8/1/2022 8/1/2026 95.00% 203,162 481,976
Highway 7 Corporate Center TIF District
Highway 7 Business Center Note A 7/24/2008 2,100,000 1.00% 8/1/2008 8/1/2027 95.00% 126,300 399,577
Highway 7 Business Center Note B 7/24/2008 360,000 1.00% 8/1/2008 8/1/2027 95.00% 21,652 57,538
Parkway Residual TIF District
Parkway Place LLC 1/12/2023 3,350,000 3.32% 8/1/2023 8/1/2036 95.00% 157,728 3,254,370
West End TIF District
Duke Realty Limited Partnership 11/1/2010 21,100,000 6.75% 2/1/2012 2/1/2031 95.00% 2,784,872 20,909,528
4900 Excelsior TIF District
Weidner / 4900 Excelsior Apts LLC 3/5/2019 2,800,000 4.50% 8/1/2019 2/1/2027 95.00% 696,560 617,461
F. LOUISIANA COURT PROJECT
The City of St. Louis Park has entered into an agreement with Project for Pride in Living Louisiana Court Limited Partnership
to issue $4,505,000 in General Obligation Bonds – Series 2000A for the purpose of acquiring and renovating certain rental
housing facilities within the City of St. Louis Park intended primarily for low and moderate income persons and their
families. During 2010, the 2000A bonds were refunded by the $1,770,000 General Obligation Refunding Bonds, Series
2010C. The City of St. Louis Park will receive monthly principal and interest payments from Project for Pride in Living
Louisiana Court Limited Partnership to cover all debt service obligations of the City of St. Louis Park on a semi‐annual basis.
In the event that the City of St. Louis Park does not receive payment from Project for Pride in Living, the City of St. Louis
Park is still under obligation to make all debt service payments. At such time, the City of St. Louis Park would pursue
collection of above referenced principal and interest payments per the agreement dated May 1, 2000. As of December 31,
2023, the outstanding principal on the bonds is $1,260,000.
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Title: Review of 2023 Annual Comprehensive Financial Report Page 101
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
G.CONSTRUCTION AND OTHER SIGNIFICANT COMMITMENTS
At December 31, 2023, the City had commitments for the following major construction projects:
Remaining
Contract Construction
Project Name Number Committed
Dakota Park Infrastructure Improvements 2122 ‐1806 9,759$
36th Street and Wooddale Reconstruction 4022‐6000 212,050
Alley Rehabilitation 4023‐1500 96,054
MSA Street Rehab Monterey Phase 24020‐1101 184,797
Beltline SWLRT Pedestrian Improvements 4022 ‐2000 37,688
2022 Pavement Management Project 4021‐1000 257,761
2023 Pavement Management Project 4023‐1000 233,461
1,031,570$
H.SUBSEQUENT EVENTS
On June 3, 2024, the City issued $3,050,000 General Obligation Bond, Series 2024A with coupon rates of 4% ‐ 5%. The
proceeds of the sale will fund City construction projects.
Note 15 CONDUIT DEBT OBLIGATIONS
From time to time, the City has issued industrial, hospital or housing revenue bonds to provide financial assistance to private‐sector
entities for the acquisition and construction of industrial, commercial or housing facilities deemed to be in the public interest. The
bonds are secured by the property financed and are payable solely from payments received on the underlying mortgage loans.
Upon repayment of the bonds, ownership of the acquired facilities transfers to the private‐sector entity served by the bond
issuance. Neither the City, the State, nor any political subdivision thereof is obligated in any manner for repayment of the bonds.
Accordingly, the bonds are not reported as liabilities in the accompanying financial statements. As of December 31, 2023, there
were 15 revenue bonds issued. The aggregate principal amount payable as of December 31, 2023 is $157,989,990.
Note 16 ADOPTION OF NEW ACCOUNTING STANDARD
The City implemented GASB Statement No. 96, Subscription‐Based Information Technology Arrangements for the year ended
December 31, 2023. As a result, a right‐to‐use subscription‐based IT arrangement asset and liability are reported on the Statement
of Net Position and the Statement of Net Position – Proprietary Funds.
90
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 102
CITY OF ST. LOUIS PARK, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 17 RECENTLY ISSUED ACCOUNTING STANDARDS
The Governmental Accounting Standards Boards (GASB) recently approved the following statements which were not implemented
for these financial statements:
Statement No. 99 Omnibus 2022. The provisions of this Statement contain multiple effective dates, the next implementation
date being for fiscal years beginning after June 15, 2023.
Statement No. 100 Accounting Changes and Error Corrections – an amendment of GASB Statement No. 62. The provisions of this
Statement are effective for fiscal years beginning after June 15, 2023.
Statement No. 101 Compensated Absences. The provisions of this Statement are effective for fiscal years beginning after
December 15, 2023.
Statement No. 102 Certain Risk Disclosures. The provisions of this Statement are effective for fiscal years beginning after June
15, 2024.
Statement No. 103 Financial Reporting Model Improvements. The provisions of this Statement are effective for fiscal years
beginning after June 15, 2025.
The effect these standards may have on future financial statements is not determinable at this time.
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REQUIRED SUPPLEMENTARY INFORMATION
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Title: Review of 2023 Annual Comprehensive Financial Report Page 105
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 9
BUDGETARY COMPARISON SCHEDULE ‐ GENERAL FUND Page 1 of 5
For The Year Ended December 31, 2023
Budgeted Amounts
Original Final
Revenues
Property taxes 32,041,296$ 32,041,296$ 32,037,360$ (3,936)$
Licenses and permits
Licenses 922,377 922,377 938,371 15,994
Permits 4,078,600 4,078,600 4,225,649 147,049
Total licenses and permits 5,000,977 5,000,977 5,164,020 163,043
Intergovernmental
Federal ‐ ‐ 267,742 267,742
State of Minnesota
Highway user tax 850,000 850,000 909,490 59,490
Police and fire state aid 870,924 870,924 901,327 30,403
Police training reimbursement 50,000 50,000 ‐ (50,000)
Other 294,515 294,515 2,651,390 2,356,875
Local and other 63,700 63,700 81,499 17,799
Total intergovernmental 2,129,139 2,129,139 4,811,448 2,682,309
Charges for services
General government 1,280,638 1,280,638 1,185,400 (95,238)
Public safety 94,100 94,100 153,089 58,989
Culture and recreation 1,211,600 1,211,600 1,460,589 248,989
Rent of City property 1,604,857 1,604,857 1,509,401 (95,456)
Total charges for services 4,191,195 4,191,195 4,308,479 117,284
Fines and forfeitures 181,000 181,000 179,508 (1,492)
Interest income (loss)320,821 320,821 725,857 405,036
Miscellaneous
Revenue bond fees 475,000 475,000 404,396 (70,604)
Other 64,550 64,550 296,567 232,017
Total miscellaneous 539,550 539,550 700,963 161,413
Total revenues 44,403,978 44,403,978 47,927,635 3,523,657
Actual Amounts
Variance with Final
Budget
See accompanying notes to the required supplementary information.
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CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 9
BUDGETARY COMPARISON SCHEDULE ‐ GENERAL FUND Page 2 of 5
For The Year Ended December 31, 2023
Budgeted Amounts
Expenditures Original Final
General government
Administration
Current
Personal services 1,271,381$ 1,271,381$ 1,208,242$ (63,139)$
Supplies 14,000 14,000 4,439 (9,561)
Other services and charges 823,850 823,850 681,803 (142,047)
Total administration 2,109,231 2,109,231 1,894,484 (214,747)
Finance
Current
Personal services 618,466 618,466 463,756 (154,710)
Materials and supplies 3,000 3,000 1,750 (1,250)
Other services and charges 578,945 578,945 1,205,697 626,752
Total finance 1,200,411 1,200,411 1,671,203 470,792
Assessing
Current
Personal services 826,081 826,081 829,825 3,744
Materials and supplies 1,150 1,150 648 (502)
Other services and charges 22,330 22,330 13,643 (8,687)
Total assessing 849,561 849,561 844,116 (5,445)
Human resources
Current
Personal services 671,485 671,485 743,990 72,505
Supplies 2,000 2,000 1,944 (56)
Other services and charges 161,100 161,100 177,009 15,909
Total human resources 834,585 834,585 922,943 88,358
Community development
Current
Personal services 1,408,782 1,408,782 1,534,165 125,383
Materials and supplies 3,500 3,500 631 (2,869)
Other services and charges 32,450 32,450 8,276 (24,174)
Total community development 1,444,732 1,444,732 1,543,072 98,340
Facilities maintenance
Current
Personal services 741,801 741,801 381,847 (359,954)
Materials and supplies 103,700 103,700 128,224 24,524
Other services and charges 506,583 506,583 751,057 244,474
Total facilities maintenance 1,352,084 1,352,084 1,261,128 (90,956)
Actual Amounts
Variance with Final
Budget
See accompanying notes to the required supplementary information.
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CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 9
BUDGETARY COMPARISON SCHEDULE ‐ GENERAL FUND Page 3 of 5
For The Year Ended December 31, 2023
Budgeted Amounts
Expenditures (continued)Original Final
General government (continued)
Communications and marketing
Current
Personal services 627,874$ 627,874$ 665,324$ 37,450$
Materials and supplies 20,500 20,500 12,674 (7,826)
Other services and charges 357,850 357,850 357,103 (747)
Total communications, etc.1,006,224 1,006,224 1,035,101 28,877
Information resources
Current
Personal services 990,062 990,062 685,355 (304,707)
Materials and supplies 2,500 2,500 84 (2,416)
Other services and charges 595,130 595,130 569,642 (25,488)
Total information services 1,587,692 1,587,692 1,255,081 (332,611)
Total general government 10,384,520 10,384,520 10,427,128 42,608
Public safety
Police
Current
Personal services 11,868,497 11,868,497 11,587,908 (280,589)
Materials and supplies 302,450 302,450 416,550 114,100
Other services and charges 877,112 877,112 911,118 34,006
Capital outlay ‐ ‐ 55,604 55,604
Total police 13,048,059 13,048,059 12,971,180 (76,879)
Fire protection
Current
Personal services 5,049,931 5,049,931 4,948,774 (101,157)
Materials and supplies 137,000 137,000 137,411 411
Other services and charges 619,547 619,547 714,850 95,303
Total fire protection 5,806,478 5,806,478 5,801,035 (5,443)
Building
Current
Personal services 2,732,241 2,732,241 2,687,850 (44,391)
Materials and supplies 15,000 15,000 14,529 (471)
Other services and charges 191,665 191,665 223,325 31,660
Total building 2,938,906 2,938,906 2,925,704 (13,202)
Total public safety 21,793,443 21,793,443 21,697,919 (95,524)
Actual Amounts
Variance with Final
Budget
See accompanying notes to the required supplementary information.
96
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 108
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 9
BUDGETARY COMPARISON SCHEDULE ‐ GENERAL FUND Page 4 of 5
For The Year Ended December 31, 2023
Budgeted Amounts
Expenditures (continued)Original Final
Operations
Public works administration
Current
Personal services 240,785$ 240,785$ 285,147$ 44,362$
Materials and supplies 5,000 5,000 2,416 (2,584)
Other services and charges 18,700 18,700 7,733 (10,967)
Total public works administration 264,485 264,485 295,296 30,811
Public works operations
Current
Personal services 2,020,489 2,020,489 1,749,012 (271,477)
Materials and supplies 522,500 522,500 383,245 (139,255)
Other services and charges 1,060,635 1,060,635 984,411 (76,224)
Total public works operations 3,603,624 3,603,624 3,116,668 (486,956)
Vehicle maintenance
Current
Personal services 779,842 779,842 757,224 (22,618)
Materials and supplies 634,600 634,600 586,909 (47,691)
Other services and charges 164,333 164,333 131,022 (33,311)
Total vehicle maintenance 1,578,775 1,578,775 1,475,155 (103,620)
Engineering
Current
Personal services 594,430 594,430 1,045,027 450,597
Materials and supplies 6,000 6,000 6,325 325
Other services and charges 150,195 150,195 104,624 (45,571)
Total engineering 750,625 750,625 1,155,976 405,351
Total operations 6,197,509 6,197,509 6,043,095 (154,414)
Parks and recreation
Organized recreation
Current
Personal services 1,444,408 1,444,408 1,706,692 262,284
Materials and supplies 49,200 49,200 56,030 6,830
Other services and charges 478,900 478,900 558,269 79,369
Total organized recreation 1,972,508 1,972,508 2,320,991 348,483
Recreation Center
Current
Personal services 1,428,854 1,428,854 1,448,147 19,293
Materials and supplies 240,000 240,000 252,210 12,210
Other services and charges 633,127 633,127 820,355 187,228
Total recreation center 2,301,981 2,301,981 2,520,712 218,731
Park maintenance
Current
Personal services 1,508,868 1,508,868 1,499,629 (9,239)
Materials and supplies 122,700 122,700 132,530 9,830
Other services and charges 560,679 560,679 524,710 (35,969)
Total park maintenance 2,192,247 2,192,247 2,156,869 (35,378)
Actual Amounts
Variance with Final
Budget
See accompanying notes to the required supplementary information.
97
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 109
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 9
BUDGETARY COMPARISON SCHEDULE ‐ GENERAL FUND Page 5 of 5
For The Year Ended December 31, 2023
Budgeted Amounts
Expenditures (continued)Original Final
Parks and recreation (continued)
Westwood hills nature center
Current
Personal services 760,206$ 760,206$ 750,301$ (9,905)$
Materials and supplies 59,745 59,745 31,911 (27,834)
Other services and charges 28,981 28,981 23,745 (5,236)
Total westwood hills nature center 848,932 848,932 805,957 (42,975)
Natural Resources
Current
Personal services 168,679 168,679 160,264 (8,415)
Materials and supplies 24,000 24,000 23,008 (992)
Other services and charges 576,800 576,800 668,621 91,821
Total natural resources 769,479 769,479 851,893 82,414
Total parks and recreation 8,085,147 8,085,147 8,656,422 571,275
Other
Race equity and inclusion
Current
Personal services 341,258 341,258 260,216 (81,042)
Materials and supplies 3,500 3,500 2,566 (934)
Other services and charges 44,500 44,500 134,959 90,459
Total race equity and inclusion 389,258 389,258 397,741 8,483
Sustainability
Current
Personal services 360,317 360,317 360,416 99
Materials and supplies 1,000 1,000 225 (775)
Other services and charges 58,550 58,550 72,905 14,355
Total Sustainability 419,867 419,867 433,546 13,679
Total other 809,125 809,125 831,287 22,162
Total expenditures 47,269,744 47,269,744 47,655,851 386,107
Revenues over (under) expenditures (2,865,766) (2,865,766) 271,784 3,137,550
Other financing sources (uses)
Transfers in 2,865,766 2,865,766 2,865,766 ‐
Transfers out ‐ ‐ (800,000) (800,000)
Total other financing sources (uses)2,865,766 2,865,766 2,065,766 (800,000)
Net change in fund balances ‐$ ‐$ 2,337,550 2,337,550$
Fund balance ‐ January 1 25,661,664
Fund balance ‐ December 31 27,999,214$
Actual Amounts
Variance with Final
Budget
See accompanying notes to the required supplementary information.
98
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 110
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 10
BUDGETARY COMPARISON SCHEDULE ‐ HOUSING REHABILITATION FUND
For The Year Ended December 31, 2023
Budgeted Amounts
Original Final
Revenues
Special assessments 948,165$ 948,165$ 1,180,241$ 232,076$
Interest income (loss)25,000 25,000 142,782 117,782
Miscellaneous ‐ ‐ 1,132 1,132
Total revenues 973,165 973,165 1,324,155 350,990
Expenditures
Current
Housing and rehabilitation 1,523,277 1,523,277 1,359,265 164,012
Total expenditures 1,523,277 1,523,277 1,359,265 164,012
Revenues over (under) expenditures (550,112) (550,112) (35,110) 515,002
Other financing sources (uses)
Transfers in 1,078,923 1,078,923 718,564 (360,359)
Transfers out (813,245) (813,245) (712,412) 100,833
Total other financing sources (uses)265,678 265,678 6,152 (259,526)
Net change in fund balances (284,434)$ (284,434)$ (28,958) 255,476$
Fund balances ‐ January 1 6,567,161
Fund balances ‐ December 31 6,538,203$
Actual Amounts
Variance with Final
Budget
99
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 111
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 11
SCHEDULE OF CHANGES IN THE TOTAL OPEB LIABILITY AND RELATED RATIOS
For The Year Ended December 31, 2023
2023 2022 2021 2020 2019 2018
Total OPEB Liability:
Service cost 390,372$ 369,731$ 310,714$ 273,727$ 312,898$ 273,798$
Interest cost 117,569 120,277 119,920 148,042 122,728 126,654
Differences between expected and actual experience 480,554 (4,674) 1,214,476 ‐ 269,604 ‐
Changes in assumptions (1,176,364) 93,700 169,400 131,969 (170,614) 120,221
Benefit payments (233,409) (214,438) (226,393) (214,270) (211,503) (140,966)
Net change in total OPEB liability (421,278) 364,596 1,588,117 339,468 323,113 379,707
Total OPEB liability ‐ beginning 6,115,937 5,751,341 4,163,224 3,823,756 3,500,643 3,120,936
Total OPEB liability ‐ ending 5,694,659$ 6,115,937$ 5,751,341$ 4,163,224$ 3,823,756$ 3,500,643$
Covered‐employee payroll $25,827,906 $26,492,137 $24,937,137 $24,950,067 $23,867,837 $22,206,835
Total OPEB liability as a percentage of covered‐employee payroll 22.0%23.1%23.1%16.7%16.0%15.8%
The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2018 and
is intended to show a ten year trend. Additional years will be added as they become available.
See accompanying notes to the required supplementary information.
100
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 112
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 12
SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY ‐
GENERAL EMPLOYEES RETIREMENT FUND
Last Ten Years
City's
Proportionate
State's Share of the City's
Proportionate Net Pension Proportionate Plan
City's City's Share (Amount) Liability and the Share of the Fiduciary
Proportionate Proportionate of the Net State's Proportionate Net Pension Net Position
Share Share (Amount) Pension Share of the Net Liability as a as a
Measurement Fiscal Year (Percentage) of of the Net Liability Pension Liability Percentage of its Percentage
Date Ending the Net Pension Pension Associated with Associated with Covered Covered of the Total
June 30 December 31 Liability Liability (a) City (b)City (a+b)Payroll (c) Payroll ((a+b)/c) Pension Liability
2015 2015 0.2263%11,728,040$ ‐$ 11,728,040$ 13,317,871$ 88.1%78.2%
2016 2016 0.2258%18,333,840 239,395 18,573,235 14,027,206 132.4%68.9%
2017 2017 0.2269%14,485,146 182,131 14,667,277 14,714,583 99.7%75.9%
2018 2018 0.2307%12,798,290 419,668 13,217,958 15,513,575 85.2%79.5%
2019 2019 0.2358%13,036,854 405,149 13,442,003 16,684,548 80.6%80.2%
2020 2020 0.2373%14,227,219 438,865 14,666,084 16,929,758 86.6%79.1%
2021 2021 0.2397%10,236,264 312,569 10,548,833 17,305,663 61.0%87.0%
2022 2022 0.2387%18,905,119 554,246 19,459,365 17,852,413 109.0%76.7%
2023 2023 0.2449%13,694,534 377,584 14,072,118 19,401,899 72.5%83.1%
The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
See accompanying notes to the required supplementary information.
101
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 113
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 13
SCHEDULE OF PENSION CONTRIBUTIONS ‐ GENERAL EMPLOYEES RETIREMENT FUND
Last Ten Years
Statutorily Contributions in Contribution Contributions as a
Required Relation to the Deficiency Covered Percentage of
Fiscal Year Contribution Statutorily Required (Excess)Payroll Covered
Ending (a) Contribution (b)(a‐b)(c)Payroll (b/c)
December 31, 2015 1,026,806$ 1,026,806$ ‐$ 13,690,747$ 7.50%
December 31, 2016 1,076,319 1,076,319 ‐ 14,350,435 7.50%
December 31, 2017 1,122,359 1,122,359 ‐ 14,965,469 7.50%
December 31, 2018 1,206,070 1,206,070 ‐ 16,080,867 7.50%
December 31, 2019 1,270,160 1,270,160 ‐ 16,935,462 7.50%
December 31, 2020 1,330,896 1,330,896 ‐ 17,746,254 7.50%
December 31, 2021 1,320,869 1,320,869 ‐ 17,605,379 7.50%
December 31, 2022 1,366,394 1,366,394 ‐ 18,218,564 7.50%
December 31, 2023 1,443,924 1,443,924 ‐ 19,252,322 7.50%
The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
See accompanying notes to the required supplementary information.
102
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 114
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 14
SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY ‐
PUBLIC EMPLOYEES POLICE AND FIRE FUND
Last Ten Years
City's
Proportionate
State's Share of the City's
Proportionate Net Pension Proportionate Plan
City's City's Share (Amount) Liability and the Share of the Fiduciary
Proportionate Proportionate of the Net State's Proportionate Net Pension Net Position
Share Share (Amount) Pension Share of the Net Liability as a as a
Measurement Fiscal Year (Percentage) of of the Net Liability Pension Liability Percentage of its Percentage
Date Ending the Net Pension Pension Associated with Associated with Covered Covered of the Total
June 30 December 31 Liability Liability (a) City (b)City (a+b)Payroll (c) Payroll ((a+b)/c) Pension Liability
2015 2015 0.7170%8,146,798$ ‐$ 8,146,798$ 6,568,763$ 124.0%86.6%
2016 2016 0.7090%28,453,404 ‐ 28,453,404 6,826,711 416.8%63.9%
2017 2017 0.7010%9,464,334 ‐ 9,464,334 7,214,850 131.2%85.4%
2018 2018 0.7220%7,695,776 ‐ 7,695,776 7,675,241 100.3%88.8%
2019 2019 0.7803%8,307,082 ‐ 8,307,082 8,227,972 101.0%89.3%
2020 2020 0.7570%9,978,070 235,086 10,213,156 8,551,806 119.4%87.2%
2021 2021 0.7605%5,870,254 263,913 6,134,167 8,990,234 68.2%93.7%
2022 2022 0.7696%33,489,952 1,463,172 34,953,124 9,345,528 374.0%70.5%
2023 2023 0.7788%13,448,864 541,749 13,990,613 10,229,973 136.8%86.5%
The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
See accompanying notes to the required supplementary information.
103
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 115
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 15
SCHEDULE OF PENSION CONTRIBUTIONS ‐ PUBLIC EMPLOYEES POLICE AND FIRE FUND
Last Ten Years
Statutorily Contributions in Contribution Contributions as a
Required Relation to the Deficiency Covered Percentage of
Fiscal Year Contribution Statutorily Required (Excess)Payroll Covered
Ending (a) Contribution (b)(a‐b)(c)Payroll (b/c)
December 31, 2015 1,087,225$ 1,087,225$ ‐$ 6,711,265$ 16.20%
December 31, 2016 1,127,487 1,127,487 ‐ 6,959,796 16.20%
December 31, 2017 1,210,648 1,210,648 ‐ 7,473,136 16.20%
December 31, 2018 1,284,219 1,284,219 ‐ 7,927,279 16.20%
December 31, 2019 1,433,661 1,433,661 ‐ 8,458,178 16.95%
December 31, 2020 1,602,879 1,602,879 ‐ 9,055,812 17.70%
December 31, 2021 1,635,494 1,635,494 ‐ 9,240,074 17.70%
December 31, 2022 1,700,317 1,700,317 ‐ 9,606,308 17.70%
December 31, 2023 1,799,416 1,799,416 ‐ 10,166,187 17.70%
The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2015 and is intended to
show a ten year trend. Additional years will be reported as they become available.
See accompanying notes to the required supplementary information.
104
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 116
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2023
Note A LEGAL COMPLIANCE – BUDGETS
The General Fund and Housing Rehabilitation budgets are legally adopted on a basis consistent with accounting principles generally
accepted in the United States of America. The legal level of budgetary control is at the department level for the major funds.
General Fund expenditures exceeded budget by $386,107.
Note B PENSION INFORMATION
PERA – General Employees Retirement Fund
2023 Changes
Changes in Actuarial Assumptions:
‐ The investment return assumption and single discount rate were changed from 6.50% to 7.00%.
Changes in Plan Provisions:
‐ An additional one‐time direct state aid contribution of $170.1 million was contributed to the Plan on October 1, 2023.
‐ The vesting period of those hired after June 30, 2010, was changed from five years of allowable service to three years of
allowable service.
‐ The benefit increase delay for early retirements on or after January 1, 2024, was eliminated.
‐ A one‐time, non‐compounding benefit increase of 2.50% minus the actual 2024 adjustment will be payable in a lump sum
for calendar year 2024 by March 31, 2024.
2022 Changes
Changes in Actuarial Assumptions:
-The mortality improvement scale was changed from Scale MP‐2020 to Scale MP‐2021.
2021 Changes
Changes in Actuarial Assumptions:
-The investment return and single discount rates were changed from 7.50% to 6.50% for financial reporting purposes.
-The mortality improvement scale was changed from Scale MP‐2019 to Scale MP‐2020.
2020 Changes
Changes in Actuarial Assumptions:
-The price inflation assumption was decreased from 2.50% to 2.25%.
-The payroll growth assumption was decreased from 3.25% to 3.00%.
-Assumed salary increase rates were decreased 0.25% and assumed rates of retirement were changed resulting in more
unreduced (normal) retirements and slightly fewer Rule of 90 and early retirements. Assumed rates of termination and
disability were also changed.
-Base mortality tables were changed from RP‐2014 tables to Pub‐2010 tables, with adjustments.
-The mortality improvement scale was changed from Scale MP‐2018 to Scale MP‐2019.
-The spouse age difference was changed from two years older for females to one year older.
-The assumed number of married male new retirees electing the 100% Joint & Survivor option changed from 35% to 45%.
The assumed number of married female new retirees electing the 100% Joint & Survivor option changed from 15% to 30%.
The corresponding number of married new retirees electing the Life annuity option was adjusted accordingly.
Changes in Plan Provisions:
‐ Augmentation for current privatized members was reduced to 2.0% for the period July 1, 2020 through December 31, 2023
and 0.0% after. Augmentation was eliminated for privatizations occurring after June 30, 2020.
105
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 117
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2023
2019 Changes
Changes in Actuarial Assumptions:
‐ The mortality projection scale was changed from MP‐2017 to MP‐2018
Changes in the Plan Provisions:
‐ The employer supplemental contribution was changed prospectively, decreasing from $31.0 million to $21.0 million per
year. The State’s special funding contribution was changed prospectively, requiring $16.0 million due per year through
2031.
2018 Changes
Changes in Actuarial Assumptions:
- The mortality projection scale was changed from MP‐2015 to MP‐2017.
- The assumed benefit increase was changed from 1.00 percent per year through 2044 and 2.50 percent per year thereafter
to 1.25 percent per year.
2017 Changes
Changes in Actuarial Assumptions:
- The Combined Service Annuity (CSA) loads were changed from 0.8 percent for active members and 60 percent for vested
and non‐vested deferred members. The revised CSA loads are now 0.0 percent for active member liability, 15.0 percent for
vested deferred member liability and 3.0 percent for non‐vested deferred member liability.
- The assumed post‐retirement benefit increase rate was changed from 1.0 percent per year for all years to 1.0 percent per
year through 2044 and 2.5 percent per year thereafter.
2016 Changes
Changes in Actuarial Assumptions:
- The assumed post‐retirement benefit increase rate was changed from 1.0% per year through 2035 and 2.5% per year
thereafter to 1.0% per year for all future years.
- The assumed investment return was changed from 7.9% to 7.5%. The single discount rate was changed from 7.9% to 7.5%.
- Other assumptions were changed pursuant to the experience study dated June 30, 2015. The assumed future salary
increases, payroll growth, and inflation were decreased by 0.25% to 3.25% for payroll growth and 2.50% for inflation.
PERA – Public Employees Police and Fire Fund
2023 Changes
Changes in Actuarial Assumptions:
- The investment return assumption was changed from 6.50% to 7.00%.
- The single discount rate changed from 5.40% to 7.00%.
Changes in Plan Provisions:
- An additional one‐time direct state aid contribution of $19.4 million was contributed to the Plan on October 1, 2023.
- Vesting requirement for new hires after June 30, 2014, was changed from a graded 20‐year vesting schedule to a graded
10‐year vesting schedule, with 50% vesting after five years, increasing incrementally to 100% after 10 years.
- A one‐time, non‐compounding benefit increase of 3.00% will be payable in a lump sum for calendar year 2024 by March 31,
2024.
- Psychological treatment is required effective July 1, 2023, prior to approval for a duty disability benefit for a psychological
condition relating to the member’s occupation.
- The total and permanent duty disability benefit was increased, effective July 1, 2023.
2022 Changes
Changes in Actuarial Assumptions:
- The single discount rate changed from 6.50% to 5.4%.
- The mortality improvement scale was changed from Scale MP‐2020 to Scale MP‐2021.
106
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 118
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2023
2021 Changes
Changes in Actuarial Assumptions:
-The investment return and single discount rates were changed from 7.50% to 6.50% for financial reporting purposes.
-The inflation assumption was changed from 2.50% to 2.25%.
-The payroll growth assumption was changed from 3.25% to 3.00%.
-The base mortality tables for healthy annuitants, disabled annuitants and employees were changed from RP‐2014 tables to
Pub‐2010 Public Safety Mortality tables. The mortality improvement scale was changed from MP‐2019 to MN‐2020.
-Assumed salary increase and retirement rates were modified as recommended in the July 14, 2020 experience study. The
changes result in a decrease in gross salary increase rates, slightly more unreduced retirements and fewer assumed early
retirements.
-Assumed rates of withdrawal were changed from select and ultimate rates to service‐based rates. The changes result in
more assumed terminations.
-Assumed rates of disability were increased for ages 25‐44 and decreased for ages over 49. Overall, proposed rates result in
more projected disabilities.
-Assumed percent married for active female members was changed from 60% to 70%.
2020 Changes
Changes in Actuarial Assumptions:
‐ The mortality projection scale was changed from MP‐2018 to MP‐2019.
2019 Changes
Changes in Actuarial Assumptions:
‐ The mortality projection scale was changed from MP‐2017 to MP‐2018.
Changes in the Plan Provisions:
‐ There have been no changes since the prior valuation.
2018 Changes
Changes in Actuarial Assumptions:
-The mortality projection scale was changed from MP‐2016 to MP‐2017.
2017 Changes
Changes in Actuarial Assumptions:
-The single discount rate was changed from 5.6% to 7.5%.
-Assumed salary increases were changed as recommended in the June 30, 2016 experience study. The net effect is
proposed rates that average 0.34 percent lower than the previous rates.
-Assumed rates of retirement were changed, resulting in fewer retirements.
-The Combined Service Annuity (CSA) load was 30 percent for vested and non‐vested deferred members. The CSA has been
changed to 33 percent for vested members and 2 percent for non‐vested members.
-The base mortality table for healthy annuitants was changed from the RP‐2000 fully generational table to the RP‐2014 fully
generational table (with a base year of 2006), with male rates adjusted by a factor of 0.96. The mortality improvement
scale was changed from Scale AA to Scale MP‐2016. The base mortality table for disabled annuitants was changed from the
RP‐2000 disabled mortality table to the mortality tables assumed for healthy retirees.
-Assumed termination rates were decreased to 3.0 percent for the first three years of service. Rates beyond the select
period of three years were adjusted, resulting in more expected terminations overall.
-Assumed percentage of married female members was decreased from 65 percent to 60 percent.
-Assumed age difference was changed from separate assumptions for male members (wives assumed to be three years
younger) and female members (husbands assumed to be four years older) to the assumption that males are two years older
than females.
-The assumed percentage of female members electing Joint and Survivor annuities was increased.
-The assumed post‐retirement benefit increase rate was changed from 1.00 percent for all years to 1.00 percent per year
through 2064 and 2.50 percent thereafter.
107
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 119
CITY OF ST. LOUIS PARK, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2023
2016 Changes
Changes in Actuarial Assumptions:
- The assumed post‐retirement benefit increase rate was changed from 1.0% per year through 2037 and 2.5% thereafter to
1.0% per year for all future years.
- The assumed investment return was changed from 7.9% to 7.5%. The single discount rate changed from 7.9% to 5.6%.
- The assumed future salary increases, payroll growth, and inflation were decreased by 0.25% to 3.25% for payroll growth
and 2.50% for inflation.
Note C OPEB INFORMATION
No assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No. 75 to pay related benefits. There
are no factors that affect trends in the amounts reported, such as changes in benefit terms or assumptions.
108
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 120
COMBINING FUND STATEMENTS AND SCHEDULES
109
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Title: Review of 2023 Annual Comprehensive Financial Report Page 121
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110
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 122
NONMAJOR GOVERNMENTAL FUNDS
111
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Title: Review of 2023 Annual Comprehensive Financial Report Page 123
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112
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 124
SPECIAL REVENUE FUNDS
The Special Revenue Funds are used to account for and report the
proceeds of specific revenue sources that are restricted or committed to
expenditure for specified purposes other than debt service or capital
projects.
CAPITAL PROJECTS FUNDS
The Capital Projects Funds account for financial resources that are
restricted, committed, or assigned to expenditure for capital outlays
including the acquisition or construction of capital facilities and other
capital assets.
113
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CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING BALANCE SHEET Statement 16
NONMAJOR GOVERNMENTAL FUNDS
December 31, 2023
Special Capital
Revenue Projects Total
Assets
Cash and investments 8,508,640$ 6,351,604$ 14,860,244$
Due from other governments 30,000 ‐ 30,000
Accounts receivable 159,404 1,297,667 1,457,071
Taxes receivable ‐ unremitted ‐ 1,433 1,433
Taxes receivable ‐ delinquent 12,646 ‐ 12,646
Prepaid expenses 5,354 6,575 11,929
Special assessments receivable ‐ delinquent 1,253 1,533 2,786
Special assessments receivable ‐ deferred 265,512 759,902 1,025,414
Due from other funds ‐ 3,429,694 3,429,694
Interfund loan receivable 1,800,000 ‐ 1,800,000
Loans receivable ‐ current 7,277 ‐ 7,277
Loans receivable ‐ noncurrent 2,068,417 ‐ 2,068,417
Pledges receivable ‐ current ‐ 100,000 100,000
Pledges receivable ‐ noncurrent ‐ 650,000 650,000
Total assets 12,858,503$ 12,598,408$ 25,456,911$
Liabilities
Accounts payable 79,597$ 72,839$ 152,436$
Salaries payable 3,141 ‐ 3,141
Contracts payable ‐ 224,687 224,687
Due to other funds 12,474 ‐ 12,474
Deposits payable ‐ 350 350
Unearned revenue 80,014 7,368 87,382
Total liabilities 175,226 305,244 480,470
Deferred inflows of resources
Unavailable revenue 349,983 1,511,435 1,861,418
Fund balances
Nonspendable 5,354 6,575 11,929
Restricted 9,176,747 1,292,158 10,468,905
Committed 2,068,003 ‐ 2,068,003
Assigned 1,083,190 9,482,996 10,566,186
Total fund balances 12,333,294 10,781,729 23,115,023
Total liabilities, deferred inflows
of resources, and fund balances 12,858,503$ 12,598,408$ 25,456,911$
114
Study session meeting of August 12, 2024 (Item No. 2)
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CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 17
CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
For The Year Ended December 31, 2023
Special Capital
Revenue Projects Total
Revenues
Property taxes 1,565,599$ 860,000$ 2,425,599$
Franchise taxes 655,277 4,787,722 5,442,999
Intergovernmental 30,000 44,702 74,702
Charges for services 30,290 38,866 69,156
Special assessments 252,889 133,538 386,427
Interest income (loss)162,326 561,205 723,531
Miscellaneous 2,700 527,103 529,803
Total revenues 2,699,081 6,953,136 9,652,217
Expenditures
Current
Public safety ‐ 4,980 4,980
Public information 387,851 ‐ 387,851
Operations ‐ 229,017 229,017
Parks and recreation ‐ 511,296 511,296
Housing and rehabilitation 493,375 ‐ 493,375
Housing maintenance 30,000 ‐ 30,000
Social and economic development 353,925 ‐ 353,925
Capital outlay
Public information 226,303 ‐ 226,303
Operations ‐ 4,671,290 4,671,290
Parks and recreation ‐ 1,532,199 1,532,199
Total expenditures 1,491,454 6,948,782 8,440,236
Revenues over (under) expenditures 1,207,627 4,354 1,211,981
Other financing sources (uses)
Transfers in 1,921,036 ‐ 1,921,036
Transfers out (718,564) (10,000) (728,564)
Total other financing sources (uses)1,202,472 (10,000)1,192,472
Net change in fund balances 2,410,099 (5,646)2,404,453
Fund balances ‐ January 1 9,923,195 10,787,375 20,710,570
Fund balances ‐ December 31 12,333,294$ 10,781,729$ 23,115,023$
115
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Study session meeting of August 12, 2024 (Item No. 2)
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NONMAJOR SPECIAL REVENUE FUNDS
Cable Television Fund – used to account for revenues received from
franchise fees and expenditures related to regulation of the privately
owned cable television company.
Community Development Fund – used to account for funds received
under Title I of the Housing and Community Development Act of 1974.
Special Service Districts Fund – used to account for the operations of
Special Service Districts. Revenues are received from each district’s
property owners and are used to provide additional services, primarily
snow removal, within each District.
Affordable Housing Trust Fund – used to account for the operations
related to supporting and expanding efforts to maintain and support
naturally occurring affordable housing and other housing opportunities.
Climate Investment Fund – used to account for programs related to
supporting climate change efforts.
Opioid Settlement Fund – used to account for opioid settlement funds.
117
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 129
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING BALANCE SHEET Statement 18
NONMAJOR SPECIAL REVENUE FUNDS
December 31, 2023
Assets
Cash and investments 2,162,705$ ‐$ 286,021$ 5,317,734$ 658,807$ 83,373$ 8,508,640$
Due from other governments ‐ 30,000 ‐ ‐ ‐ ‐ 30,000
Accounts receivable 157,411 ‐ 1,993 ‐ ‐ ‐ 159,404
Taxes receivable ‐ delinquent ‐ ‐ ‐ 12,646 ‐ ‐ 12,646
Prepaid expenses 5,354 ‐ ‐ ‐ ‐ ‐ 5,354
Special assessments receivable ‐ delinquent ‐ ‐ 1,253 ‐ ‐ ‐ 1,253
Special assessments receivable ‐ deferred ‐ ‐ 265,512 ‐ ‐ ‐ 265,512
Interfund loan receivable ‐ ‐ ‐ 1,800,000 ‐ ‐ 1,800,000
Loans receivable ‐ current ‐ ‐ ‐ 7,277 ‐ ‐ 7,277
Loans receivable ‐ noncurrent ‐ 514,567 ‐ 1,553,850 ‐ ‐ 2,068,417
Total assets 2,325,470$ 544,567$ 554,779$ 8,691,507$ 658,807$ 83,373$ 12,858,503$
Liabilities
Accounts payable 39,089$ ‐$ 28,982$ ‐$ 11,526$ ‐$ 79,597$
Salaries payable 3,141 ‐ ‐ ‐ ‐ ‐ 3,141
Due to other funds ‐ 12,474 ‐ ‐ ‐ ‐ 12,474
Unearned revenue ‐ ‐ ‐ ‐ ‐ 80,014 80,014
Total liabilities 42,230 12,474 28,982 ‐ 11,526 80,014 175,226
Deferred inflows of resources
Unavailable revenue ‐ 69,914 266,765 13,304 ‐ ‐ 349,983
Fund balances
Nonspendable 5,354 ‐ ‐ ‐ ‐ ‐ 5,354
Restricted 36,365 462,179 ‐ 8,678,203 ‐ ‐ 9,176,747
Committed 1,417,363 ‐ ‐ ‐ 647,281 3,359 2,068,003
Assigned 824,158 ‐ 259,032 ‐ ‐ ‐ 1,083,190
Total fund balances 2,283,240 462,179 259,032 8,678,203 647,281 3,359 12,333,294
Total liabilities, deferred inflows
of resources, and fund balances 2,325,470$ 544,567$ 554,779$ 8,691,507$ 658,807$ 83,373$ 12,858,503$
Opioid
SettlementCable Television
Community
Development Total
Special Service
Districts
Affordable
Housing Trust
Climate
Investment
118
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 130
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES,Statement 19
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR SPECIAL REVENUE FUNDS
For The Year Ended December 31, 2023
Revenues
Property taxes ‐$ ‐$ ‐$ 1,565,599$ ‐$ ‐$ 1,565,599$
Franchise taxes 655,277 ‐ ‐ ‐ ‐ ‐ 655,277
Intergovernmental ‐ 30,000 ‐ ‐ ‐ ‐ 30,000
Charges for services ‐ ‐ 25,308 4,982 ‐ ‐ 30,290
Special assessments ‐ ‐ 252,889 ‐ ‐ ‐ 252,889
Interest income (loss)112,410 137 10,505 ‐ 35,998 3,276 162,326
Miscellaneous 588 ‐ 2,112 ‐ ‐ ‐ 2,700
Total revenues 768,275 30,137 290,814 1,570,581 35,998 3,276 2,699,081
Expenditures
Current
Public information
Personal services 312,413 ‐ ‐ ‐ ‐ ‐ 312,413
Other services and charges 75,438 ‐ ‐ ‐ ‐ ‐ 75,438
Housing and rehabilitation
Other services and charges ‐ ‐ ‐ 493,375 ‐ ‐ 493,375
Housing maintenance
Other services and charges ‐ 30,000 ‐ ‐ ‐ ‐ 30,000
Social and economic development
Personal services ‐ ‐ 113 ‐ ‐ ‐ 113
Other services and charges ‐ ‐ 247,108 ‐ 106,704 ‐ 353,812
Capital outlay
Public information 226,303 ‐ ‐ ‐ ‐ ‐ 226,303
Total expenditures 614,154 30,000 247,221 493,375 106,704 ‐ 1,491,454
Revenues over (under) expenditures 154,121 137 43,593 1,077,206 (70,706) 3,276 1,207,627
Other financing sources (uses)
Transfers in ‐ ‐ ‐ 1,921,036 ‐ ‐ 1,921,036
Transfers out ‐ ‐ ‐ (718,564) ‐ ‐ (718,564)
Total other financing sources (uses)‐ ‐ ‐ 1,202,472 ‐ ‐ 1,202,472
Net change in fund balances 154,121 137 43,593 2,279,678 (70,706) 3,276 2,410,099
Fund balances ‐ January 1 2,129,119 462,042 215,439 6,398,525 717,987 83 9,923,195
Fund balances ‐ December 31 2,283,240$ 462,179$ 259,032$ 8,678,203$ 647,281$ 3,359$ 12,333,294$
Cable Television
Community
Development
Special Service
Districts Total
Affordable Housing
Trust Opioid SettlementClimate Investment
119
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Study session meeting of August 12, 2024 (Item No. 2)
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NONMAJOR CAPITAL PROJECTS FUNDS
Police and Fire Pensions Fund – used to account for pension refunds
received by the police and fire departments. These funds must be used
for specific police and fire purposes.
Permanent Improvement Revolving Fund – used to account for the
resources and expenditures required for capital improvements which will
provide a direct or significant indirect benefit to individual property
owners. Financing of these projects is provided by shared costs with
other organizations, Municipal State Aid and special assessements.
Park Improvement Fund – used to account for the financing of land
acquisition and development for park purposes. Revenues are provided
by park dedication fees, a school district contribution, rent and a
property tax levy.
Pavement Management Fund – used to account for the financing of
street rehabilitation. Revenues are provided by a franchise fee and
transfers from sanitary sewer utility funds.
121
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 133
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING BALANCE SHEET Statement 20
NONMAJOR CAPITAL PROJECTS FUNDS
December 31, 2023
Police and Fire
Pensions
Permanent
Improvement
Revolving
Park
Improvement
Pavement
Management Total
Assets
Cash and investments 1,292,158$ 1,817,342$ 3,242,104$ ‐$ 6,351,604$
Accounts receivable ‐ 100,046 ‐ 1,197,621 1,297,667
Taxes receivable ‐ unremitted ‐ ‐ 1,433 ‐ 1,433
Prepaid expenses ‐ ‐ ‐ 6,575 6,575
Special assessments receivable ‐ delinquent ‐ 1,533 ‐ ‐ 1,533
Special assessments receivable ‐ deferred ‐ 759,902 ‐ ‐ 759,902
Due from other funds ‐ 871,590 ‐ 2,558,104 3,429,694
Pledges receivable ‐ current ‐ ‐ 100,000 ‐ 100,000
Pledges receivable ‐ noncurrent ‐ ‐ 650,000 ‐ 650,000
Total assets 1,292,158$ 3,550,413$ 3,993,537$ 3,762,300$ 12,598,408$
Liabilities
Accounts payable ‐$ ‐$ 64,969$ 7,870$ 72,839$
Contracts payable ‐ ‐ 30,840 193,847 224,687
Deposits payable ‐ ‐ 350 ‐ 350
Unearned revenue ‐ ‐ 7,368 ‐ 7,368
Total liabilities ‐ ‐ 103,527 201,717 305,244
Deferred inflows of resources
Unavailable revenue ‐ 761,435 750,000 ‐ 1,511,435
Fund balances
Nonspendable ‐ ‐ ‐ 6,575 6,575
Restricted 1,292,158 ‐ ‐ ‐ 1,292,158
Assigned ‐ 2,788,978 3,140,010 3,554,008 9,482,996
Total fund balances 1,292,158 2,788,978 3,140,010 3,560,583 10,781,729
Total liabilities, deferred inflows of
resources, and fund balances 1,292,158$ 3,550,413$ 3,993,537$ 3,762,300$ 12,598,408$
122
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 134
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES,Statement 21
EXPENDITURES AND CHANGES IN FUND BALANCES
NONMAJOR CAPITAL PROJECTS FUNDS
For The Year Ended December 31, 2023
Police and Fire Pensions
Permanent Improvement
Revolving Park Improvement
Pavement
Management Total
Revenues
Property taxes ‐$ ‐$ 860,000$ ‐$ 860,000$
Franchise taxes ‐ ‐ ‐ 4,787,722 4,787,722
Intergovernmental ‐ ‐ 44,702 ‐ 44,702
Charges for services ‐ ‐ 38,866 ‐ 38,866
Special assessments ‐ 133,538 ‐ ‐ 133,538
Interest income (loss)65,458 134,499 183,459 177,789 561,205
Miscellaneous ‐ 500 524,492 2,111 527,103
Total revenues 65,458 268,537 1,651,519 4,967,622 6,953,136
Expenditures
Current
Public safety 4,790 190 ‐ ‐ 4,980
Operations ‐ ‐ ‐ 229,017 229,017
Parks and recreation ‐ ‐ 511,296 ‐ 511,296
Capital outlay
Operations ‐ 94,203 ‐ 4,577,087 4,671,290
Parks and recreation ‐ ‐ 1,532,199 ‐ 1,532,199
Total expenditures 4,790 94,393 2,043,495 4,806,104 6,948,782
Revenues over (under) expenditures 60,668 174,144 (391,976) 161,518 4,354
Other financing sources (uses)
Transfers out ‐ (10,000) ‐ ‐ (10,000)
Total other financing sources (uses)‐ (10,000) ‐ ‐ (10,000)
Net change in fund balances 60,668 164,144 (391,976) 161,518 (5,646)
Fund balances ‐ January 1 1,231,490 2,624,834 3,531,986 3,399,065 10,787,375
Fund balances ‐ December 31 1,292,158$ 2,788,978$ 3,140,010$ 3,560,583$ 10,781,729$
123
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 136
FUNDS INCLUDED IN DEBT SERVICE FUND
2000 General Obligation Bond Reserve
2008B General Obligation Tax Increment Bond
Hoigaard’s 2010 A & B TIF Notes
2010C General Obligation Refunding Bond
2010C General Obligation Bond Reserve
2012A Taxable General Obligation HIA Bond
2014A General Obligation Bond
2016A General Obligation Bond
2017A General Obligation Bond
2018A General Obligation Bond
2019A General Obligation Bond
2019B General Obligation Bond
2019C Taxable General Obligation HIA Refunding Bond
2020A General Obligation Bond
2021A General Obligation Bond
2022B Bridgewalk HIA Bond
125
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 137
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING BALANCE SHEET
DEBT SERVICE FUND
December 31, 2023
2000 General
Obligation Bond
Reserve
2008B General
Obligation Tax
Increment Bond
Hoigaard's 2010 A
& B TIF Notes
2010C General
Obligation
Refunding Bond
2010C General
Obligation Bond
Reserve
2012A Taxable
General Obligation
HIA Bond
2014A General
Obligation Bond
Assets
Cash and investments 121,105$ 5,000$ ‐$ 94,880$ 549,017$ ‐$ 629,404$
Accounts receivable ‐ ‐ ‐ 19,230 3,666 ‐ ‐
Taxes receivable ‐ unremitted ‐ ‐ ‐ ‐ ‐ ‐ 921
Loans receivable ‐ current ‐ ‐ ‐ 70,000 ‐ ‐ ‐
Loans receivable ‐ noncurrent ‐ ‐ ‐ 1,190,000 ‐ ‐ ‐
Total assets 121,105$ 5,000$ ‐$ 1,374,110$ 552,683$ ‐$ 630,325$
Liabilities
Accounts payable ‐$ 5,000$ ‐$ ‐$ ‐$ ‐$ ‐$
Deposits payable ‐ ‐ ‐ ‐ 504,548 ‐ ‐
Total liabilities ‐ 5,000 ‐ ‐ 504,548 ‐ ‐
Deferred inflows of resources
Unavailable revenue ‐ ‐ ‐ 1,260,000 ‐ ‐ ‐
Fund balances
Restricted 121,105 ‐ ‐ 114,110 48,135 ‐ 630,325
Total fund balance 121,105 ‐ ‐ 114,110 48,135 ‐ 630,325
Total liabilities, deferred inflows
of resources, and fund balances 121,105$ 5,000$ ‐$ 1,374,110$ 552,683$ ‐$ 630,325$
126
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 138
Statement 22
2016A General
Obligation Bond
2017A General
Obligation Bond
2018A General
Obligation Bond
2019A General
Obligation Bond
2019B General
Obligation Bond
2019C Taxable
General Obligation
HIA Refunding
Bond
2020A General
Obligation Bond
2021A General
Obligation Bond
2022B Bridgewalk
HIA Bond Total
1,562,289$ 439,934$ 279,341$ 1,721,406$ 1,070,471$ ‐$ 757,075$ 1,056,362$ ‐$ 8,286,284$
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 22,896
2,052 689 420 1,772 1,425 ‐ 1,428 1,896 ‐ 10,603
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 70,000
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 1,190,000
1,564,341$ 440,623$ 279,761$ 1,723,178$ 1,071,896$ ‐$ 758,503$ 1,058,258$ ‐$ 9,579,783$
‐$ ‐$ ‐$ ‐$ ‐$ ‐$ ‐$ ‐$ ‐$ 5,000$
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 504,548
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 509,548
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 1,260,000
1,564,341 440,623 279,761 1,723,178 1,071,896 ‐ 758,503 1,058,258 ‐ 7,810,235
1,564,341 440,623 279,761 1,723,178 1,071,896 ‐ 758,503 1,058,258 ‐ 7,810,235
1,564,341$ 440,623$ 279,761$ 1,723,178$ 1,071,896$ ‐$ 758,503$ 1,058,258$ ‐$ 9,579,783$
127
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 139
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
DEBT SERVICE FUND
For The Year Ended December 31, 2023
3
2000 General
Obligation Bond
Reserve
2008B General
Obligation Tax
Increment Bond
Hoigaard's 2010 A &
B TIF Notes
2010C General
Obligation
Refunding Bond
2010C General
Obligation Bond
Reserve
2012A Taxable
General Obligation
HIA Bond
2014A General
Obligation Bond
2016A General
Obligation Bond
Revenues
Property taxes ‐$ ‐$ ‐$ ‐$ ‐$ ‐$ 552,627$ 1,231,322$
Intergovernmental ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐
Interest income (loss)6,186 ‐ ‐ 2,839 27,149 ‐ 15,207 41,967
Miscellaneous ‐ ‐ ‐ 125,513 ‐ ‐ ‐ ‐
Total revenues 6,186 ‐ ‐ 128,352 27,149 ‐ 567,834 1,273,289
Expenditures
Social and economic development
Developer assistance ‐ ‐ 328,000 ‐ ‐ ‐ ‐ ‐
Debt service
Principal ‐ 535,000 ‐ 85,000 ‐ 60,000 520,000 1,070,000
Interest and other ‐ 43,875 233 58,730 ‐ 26,885 42,507 91,164
Total expenditures ‐ 578,875 328,233 143,730 ‐ 86,885 562,507 1,161,164
Revenues over (under) expenditures 6,186 (578,875) (328,233) (15,378) 27,149 (86,885) 5,327 112,125
Other financing sources (uses)
Transfers in ‐ 578,875 328,233 6,186 ‐ 87,230 ‐ ‐
Transfers out (6,186) ‐ ‐ ‐ ‐ ‐ ‐ ‐
Total other financing sources (uses)(6,186) 578,875 328,233 6,186 ‐ 87,230 ‐ ‐
Net change in fund balances ‐ ‐ ‐ (9,192) 27,149 345 5,327 112,125
Fund balances ‐ January 1 121,105 ‐ ‐ 123,302 20,986 (345) 624,998 1,452,216
Fund balances ‐ December 31 121,105$ ‐$ ‐$ 114,110$ 48,135$ ‐$ 630,325$ 1,564,341$
128
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 140
Statement 23
2017A General
Obligation Bond
2018A General
Obligation Bond
2019A General
Obligation Bond
2019B General
Obligation Bond
2019C Taxable
General Obligation
HIA Refunding
Bond
2020A General
Obligation Bond
2021A General
Obligation Bond
2022B Bridgewalk
HIA Bond
Interfund
Eliminations Total
413,687$ 252,105$ 1,063,473$ 855,000$ ‐$ 856,748$ 1,137,851$ ‐$ ‐$ 6,362,813$
‐ ‐ 415,050 ‐ ‐ ‐ ‐ ‐ ‐ 415,050
10,044 6,964 43,981 30,242 ‐ 14,757 20,778 ‐ ‐ 220,114
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 125,513
423,731 259,069 1,522,504 885,242 ‐ 871,505 1,158,629 ‐‐7,123,490
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 328,000
335,000 190,000 770,000 540,000 260,000 505,000 115,000 ‐ ‐ 4,985,000
55,195 55,082 644,465 261,408 28,785 302,233 225,500 179,532 ‐ 2,015,594
390,195 245,082 1,414,465 801,408 288,785 807,233 340,500 179,532 ‐7,328,594
33,536 13,987 108,039 83,834 (288,785) 64,272 818,129 (179,532) ‐(205,104)
‐ ‐ ‐ ‐ 289,130 ‐ ‐ 326,278 (6,186) 1,609,746
‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 6,186 ‐
‐‐‐‐ 289,130 ‐‐326,278 ‐1,609,746
33,536 13,987 108,039 83,834 345 64,272 818,129 146,746 ‐1,404,642
407,087 265,774 1,615,139 988,062 (345) 694,231 240,129 (146,746) ‐ 6,405,593
440,623$ 279,761$ 1,723,178$ 1,071,896$ ‐$ 758,503$ 1,058,258$ ‐$ ‐$ 7,810,235$
129
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Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 142
FUNDS INCLUDED IN REDEVELOPMENT DISTRICT FUND
Duke West End TIF
Eliot Park TIF
Ellipse TIF District
Victoria Ponds
Park Center Housing
CSM TIF District
Mill City TIF District
Park Commons TIF District
Edgewood TIF District
Elmwood Village
Wolfe Lake TIF District
Aquila Commons
Highway 7 Business Center
Hard Coat TIF District
Shoreham TIF District
4900 Excelsior Blvd TIF District
Elmwood Apartments TIF District
Bridgewater Bank TIF District
Wooddale Station TIF District
Spending Plan
Wayzata Blvd TIF District
Parkway Residual TIF District
Rise on 7 TIF District
Texa Tonka TIF District
131
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 143
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING BALANCE SHEET
REDEVELOPMENT DISTRICT FUND
December 31, 2023
Duke West End TIF Eliot Park TIF Ellipse TIF District Victoria Ponds
Park Center
Housing
Assets
Cash and investments 4,395,045$ 501,542$ 479,764$ 11,135$ 1,283$
Taxes receivable ‐ unremitted 26,413 ‐ ‐ ‐ ‐
Due from other funds ‐ ‐ ‐ ‐ ‐
Loans receivable ‐ noncurrent ‐ ‐ ‐ ‐ 807,092
Total assets 4,421,458$ 501,542$ 479,764$ 11,135$ 808,375$
Liabilities
Accounts payable 2,309,190$ 96$ 96$ 96$ 96$
Due to other governments 8,845 42,118 2,072 ‐ ‐
Due to other funds ‐ ‐ ‐ ‐ ‐
Interfund loan payable ‐ ‐ ‐ ‐ ‐
Total liabilities 2,318,035 42,214 2,168 96 96
Deferred inflows of resources
Unavailable revenue ‐ ‐ ‐ ‐ 164,086
Fund balances
Restricted 2,103,423 459,328 477,596 11,039 644,193
Unassigned ‐ ‐ ‐ ‐ ‐
Total fund balances 2,103,423 459,328 477,596 11,039 644,193
Total liabilities, deferred inflows
of resources, and fund balances 4,421,458$ 501,542$ 479,764$ 11,135$ 808,375$
132
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 144
Statement 24
Page 1 of 2
CSM TIF District
Mill City TIF
District
Park Commons TIF
District Elmwood Village
Wolfe Lake TIF
District Aquila Commons
Highway 7
Business Center
24,454$ 24,834$ 1,489,376$ 1,084,250$ 77,910$ ‐$ 161,297$
2,598 ‐ 36,665 11,747 ‐ 276,147 ‐
‐ ‐ ‐ 1,558,987 ‐ ‐ ‐
‐ ‐ ‐ ‐ ‐ ‐ ‐
27,052$ 24,834$ 1,526,041$ 2,654,984$ 77,910$ 276,147$ 161,297$
96$ 96$ 96$ 96$ 96$ 96$ 96$
2,266 1,862 12,141 9,803 998 1,792 917
‐ ‐ ‐ ‐ ‐ 261,027 ‐
‐ ‐ ‐ 1,771,541 ‐ ‐ ‐
2,362 1,958 12,237 1,781,440 1,094 262,915 1,013
‐ ‐ ‐ ‐ ‐ ‐ ‐
24,690 22,876 1,513,804 873,544 76,816 13,232 160,284
‐ ‐ ‐ ‐ ‐ ‐ ‐
24,690 22,876 1,513,804 873,544 76,816 13,232 160,284
27,052$ 24,834$ 1,526,041$ 2,654,984$ 77,910$ 276,147$ 161,297$
133
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 145
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING BALANCE SHEET
REDEVELOPMENT DISTRICT FUND
December 31, 2023
Shoreham TIF
District
4900 Excelsior
Blvd TIF District
Elmwood
Apartments TIF
District
Bridgewater Bank
TIF District
Assets
Cash and investments 549,165$ 390,626$ 118,365$ 311,706$
Taxes receivable ‐ unremitted ‐ ‐ ‐ ‐
Due from other funds ‐ ‐ ‐ ‐
Loans receivable ‐ noncurrent ‐ ‐ ‐ ‐
Total assets 549,165$ 390,626$ 118,365$ 311,706$
Liabilities
Accounts payable 96$ 96$ 96$ 96$
Due to other governments 1,677 2,078 1,008 1,086
Due to other funds ‐ ‐ ‐ ‐
Interfund loan payable ‐ ‐ ‐ 812,248
Total liabilities 1,773 2,174 1,104 813,430
Deferred inflows of resources
Unavailable revenue ‐ ‐ ‐ ‐
Fund balances
Restricted 547,392 388,452 117,261 ‐
Unassigned ‐ ‐ ‐ (501,724)
Total fund balances 547,392 388,452 117,261 (501,724)
Total liabilities, deferred inflows
of resources, and fund balances 549,165$ 390,626$ 118,365$ 311,706$
134
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 146
Statement 24
Page 2 of 2
Wooddale Station
TIF District Spending Plan
Parkway Residual
TIF District
Rise on 7 TIF
District
Texa Tonka TIF
District Total
9,198$ 1,636,409$ 339,269$ ‐$ 35,172$ 11,640,800$
‐ ‐ ‐ ‐ 33,404 386,974
‐ ‐ ‐ ‐ ‐ 1,558,987
‐ ‐ ‐ 1,800,000 ‐ 2,607,092
9,198$ 1,636,409$ 339,269$ 1,800,000$ 68,576$ 16,193,853$
7,023$ ‐$ 96$ 96$ ‐$ 2,317,845$
2,175 ‐ 1,258 597 779 93,472
‐ ‐ ‐ 3,881 ‐ 264,908
‐ ‐ ‐ 1,800,000 ‐ 4,383,789
9,198 ‐ 1,354 1,804,574 779 7,060,014
‐ ‐ ‐ 1,800,000 ‐ 1,964,086
‐ 1,636,409 337,915 ‐ 67,797 9,476,051
‐ ‐ ‐ (1,804,574) ‐ (2,306,298)
‐ 1,636,409 337,915 (1,804,574) 67,797 7,169,753
9,198$ 1,636,409$ 339,269$ 1,800,000$ 68,576$ 16,193,853$
135
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 147
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
REDEVELOPMENT DISTRICT FUND
For The Year Ended December 31, 2023
Duke West End
TIF Eliot Park TIF
Ellipse TIF
District Victoria Ponds
Park Center
Housing
Revenues
Tax increments 3,589,939$ 471,833$ 749,685$ ‐$ 177,021$
Interest income (loss)123,908 9,949 15,250 14,872 3,955
Miscellaneous ‐ ‐ ‐ ‐ ‐
Total revenues 3,713,847 481,782 764,935 14,872 180,976
Expenditures
Current
Social and economic development 2,806,205 4,198 4,651 2,101 2,579
Debt service
Interest and other ‐ ‐ ‐ ‐ ‐
Total expenditures 2,806,205 4,198 4,651 2,101 2,579
Revenues over (under) expenditures 907,642 477,584 760,284 12,771 178,397
Other financing (uses)
Transfers in ‐ ‐ ‐ ‐ ‐
Transfers out (578,875) (2,620) (279,809) ‐ (177,667)
Total other financing sources (uses)(578,875) (2,620) (279,809) ‐ (177,667)
Net change in fund balances 328,767 474,964 480,475 12,771 730
Fund balances ‐ January 1 1,774,656 (15,636) (2,879) (1,732) 643,463
Fund balances ‐ December 31 2,103,423$ 459,328$ 477,596$ 11,039$ 644,193$
136
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 148
Statement 25
Page 1 of 2
CSM TIF District
Mill City TIF
District
Park Commons
TIF District
Edgewood TIF
District Elmwood Village
Wolfe Lake TIF
District Aquila Commons
Highway 7
Business Center
514,885$ 642,850$ 3,081,622$ ‐$ 2,321,561$ 201,722$ 216,629$ 162,614$
11,037 15,461 13,312 ‐ 323,065 4,105 13,593 2,778
‐ ‐ ‐ ‐ ‐ ‐ ‐ 37,368
525,922 658,311 3,094,934 ‐ 2,644,626 205,827 230,222 202,760
52,775 296,457 2,943,914 2,005 6,620 3,620 6,046 153,009
‐ ‐ ‐ ‐ 81,598 ‐ ‐ ‐
52,775 296,457 2,943,914 2,005 88,218 3,620 6,046 153,009
473,147 361,854 151,020 (2,005) 2,556,408 202,207 224,176 49,751
‐ ‐ ‐ 2,005 ‐ ‐ ‐ ‐
(495,000) (630,000) ‐ ‐ (4,808,233) (125,000) (210,940) ‐
(495,000) (630,000) ‐ 2,005 (4,808,233) (125,000) (210,940) ‐
(21,853) (268,146) 151,020 ‐ (2,251,825) 77,207 13,236 49,751
46,543 291,022 1,362,784 ‐ 3,125,369 (391) (4) 110,533
24,690$ 22,876$ 1,513,804$ ‐$ 873,544$ 76,816$ 13,232$ 160,284$
137
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 149
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES
REDEVELOPMENT DISTRICT FUND
For The Year Ended December 31, 2023
Hard Coat TIF
District
Shoreham TIF
District
4900 Excelsior
Blvd TIF District
Elmwood
Apartments TIF
District
Bridgewater Bank
TIF District
Revenues
Tax increments ‐$ 552,295$ 719,627$ 212,639$ 245,118$
Interest income (loss)367 ‐ 4,846 607 15,378
Miscellaneous ‐ ‐ ‐ ‐ ‐
Total revenues 367 552,295 724,473 213,246 260,496
Expenditures
Current
Social and economic development 2,989 2,580 707,778 208,310 3,665
Debt service
Interest and other ‐ ‐ ‐ ‐ 37,368
Total expenditures 2,989 2,580 707,778 208,310 41,033
Revenues over (under) expenditures (2,622) 549,715 16,695 4,936 219,463
Other financing (uses)
Transfers in 3,168 ‐ ‐ ‐ ‐
Transfers out ‐ ‐ ‐ ‐ ‐
Total other financing sources (uses)3,168 ‐ ‐ ‐ ‐
Net change in fund balances 546 549,715 16,695 4,936 219,463
Fund balances ‐ January 1 (546) (2,323) 371,757 112,325 (721,187)
Fund balances ‐ December 31 ‐$ 547,392$ 388,452$ 117,261$ (501,724)$
138
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 150
Statement 25
Page 2 of 2
Wooddale Station
TIF District Spending Plan
Wayzata Blvd TIF
District
Parkway Residual
TIF District
Rise on 7 TIF
District
Texa Tonka TIF
District Total
3,214$ ‐$ ‐$ 332,059$ ‐$ 66,807$ 14,262,120$
47,890 82,795 ‐ 9,577 ‐ 2,400 715,145
‐ ‐ ‐ ‐ ‐ ‐ 37,368
51,104 82,795 ‐ 341,636 ‐ 69,207 15,014,633
26,827 ‐ 2,316 161,087 2,698 1,410 7,403,840
‐ ‐ ‐ ‐ ‐ ‐ 118,966
26,827 ‐ 2,316 161,087 2,698 1,410 7,522,806
24,277 82,795 (2,316) 180,549 (2,698) 67,797 7,491,827
‐ ‐ 2,744 ‐ ‐ ‐ 7,917
(911,180) ‐ ‐ ‐ ‐ ‐ (8,219,324)
(911,180) ‐ 2,744 ‐ ‐ ‐ (8,211,407)
(886,903) 82,795 428 180,549 (2,698) 67,797 (719,580)
886,903 1,553,614 (428) 157,366 (1,801,876) ‐ 7,889,333
$0 $1,636,409 $0 $337,915 ($1,804,574) $67,797 $7,169,753
139
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 151
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140
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 152
FUNDS INCLUDED IN STREETS CAPITAL PROJECTS FUND
Streets Capital Project
Sidewalks and Trails
2023 MSA Street Project
W36th St / Wooddale Rehab
SWLRT at Beltline
2024 MSA Street Project
141
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 153
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142
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 154
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING BALANCE SHEET Statement 26
STREETS CAPITAL PROJECTS FUND
December 31, 2023
Streets Capital
Projects
Sidewalks and
Trails
2023 MSA Street
Project
W36th St /
Wooddale Rehab SWLRT at Beltline
2024 MSA Street
Project Total
Assets
Cash and investments ‐$ ‐$ ‐$ ‐$ 30,843$ ‐$ 30,843$
Due from other governments 1,502,754 ‐ ‐ ‐ ‐ ‐ 1,502,754
Total assets 1,502,754$ ‐$ ‐$ ‐$ 30,843$ ‐$ 1,533,597$
Liabilities
Accounts payable 4,118$ 329$ 5,864$ ‐$ ‐$ ‐$ 10,311$
Due to other governments ‐ ‐ ‐ ‐ 589 ‐ 589
Contracts payable 75,918 57,650 93,187 52,920 ‐ ‐ 279,675
Due to other funds 2,027,130 326,931 888,464 1,558,987 ‐ 187,169 4,988,681
Total liabilities 2,107,166 384,910 987,515 1,611,907 589 187,169 5,279,256
Deferred inflows of resources
Unavailable revenue ‐ ‐ ‐ ‐ ‐ ‐ ‐
Fund balances
Assigned ‐ ‐ ‐ ‐ 30,254 ‐ 30,254
Unassigned (604,412) (384,910) (987,515) (1,611,907) ‐ (187,169) (3,775,913)
Total fund balances (604,412) (384,910) (987,515) (1,611,907) 30,254 (187,169) (3,745,659)
Total liabilities, deferred inflows
of resources, and fund balances 1,502,754$ ‐$ ‐$ ‐$ 30,843$ ‐$ 1,533,597$
143
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 155
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES,Statement 27
EXPENDITURES AND CHANGES IN FUND BALANCES
STREETS CAPITAL PROJECTS FUND
For The Year Ended December 31, 2023
3
Streets Capital
Projects
Sidewalks and
Trails
2023 MSA Street
Project
W36th St /
Wooddale Rehab
SWLRT at
Beltline
2024 MSA Street
Project Total
Revenues
Intergovernmental 1,502,754$ 560,000$ ‐$ ‐$ ‐$ ‐$ 2,062,754$
Interest income (loss)‐ 4,556 ‐ ‐ 1,561 ‐ 6,117
Charges for services 7,800 ‐ ‐ ‐ ‐ ‐ 7,800
Total revenues 1,510,554 564,556 ‐ ‐ 1,561 ‐ 2,076,671
Expenditures
Current
Operations ‐ 75,133 ‐ 52,919 590 ‐ 128,642
Social and econonomic development ‐ ‐ 73,225 ‐ ‐ ‐ 73,225
Capital outlay
Operations 432,907 555,789 771,403 229,302 ‐ 28,064 2,017,465
Total expenditures 432,907 630,922 844,628 282,221 590 28,064 2,219,332
Revenues over (under) expenditures 1,077,647 (66,366) (844,628) (282,221) 971 (28,064) (142,661)
Other financing sources (uses)
Transfers in ‐ ‐ ‐ 4,480,000 ‐ ‐ 4,480,000
Total other financing sources (uses)‐ ‐ ‐ 4,480,000 ‐ ‐ 4,480,000
Net change in fund balances 1,077,647 (66,366) (844,628) 4,197,779 971 (28,064) 4,337,339
Fund balances ‐ January 1 (1,682,059) (318,544) (142,887) (5,809,686) 29,283 (159,105) (8,082,998)
Fund balances ‐ December 31 (604,412)$ (384,910)$ (987,515)$ (1,611,907)$ 30,254$ (187,169)$ (3,745,659)$
144
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 156
CITY OF ST. LOUIS PARK, MINNESOTA
CABLE TELEVISION FUND Statement 28
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Franchise taxes 739,000$ 739,000$ 655,277$ ($83,723)
Interest income (loss)20,000 20,000 112,410 92,410
Miscellaneous 500 500 588 88
Total revenues 759,500 759,500 768,275 8,775
Expenditures
Current
Public information
Personal services 372,139 372,139 312,413 (59,726)
Supplies 3,600 3,600 ‐ (3,600)
Other services and charges 70,534 70,534 75,438 4,904
Capital outlay
Public information 250,000 250,000 226,303 (23,697)
Total expenditures 696,273 696,273 614,154 (82,119)
Net change in fund balances 63,227$ 63,227$ 154,121 90,894$
Fund balances ‐ January 1 2,129,119
Fund balances ‐ December 31 2,283,240$
2023
Budgeted Amounts Variance with
Final Budget
145
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 157
CITY OF ST. LOUIS PARK, MINNESOTA
COMMUNITY DEVELOPMENT FUND Statement 29
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Intergovernmental 165,000$ 165,000$ 30,000$ (135,000)$
Interest income (loss)‐ ‐ 137 137
Total revenues 165,000 165,000 30,137 (134,863)
Expenditures
Current
Housing maintenance
Other services and charges 165,000 165,000 30,000 (135,000)
Total expenditures 165,000 165,000 30,000 (135,000)
Revenues over (under) expenditures ‐$ ‐$ 137 137$
Fund balances ‐ January 1 462,042
Fund balances ‐ December 31 462,179$
2023
Budgeted Amounts Variance with
Final Budget
146
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 158
CITY OF ST. LOUIS PARK, MINNESOTA
SPECIAL SERVICES DISTRICTS FUND Statement 30
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Charges for services 30,566$ 30,566$ 25,308$ (5,258)$
Special assessments 253,155 253,155 252,889 (266)
Interest income (loss)‐ ‐ 10,505 10,505
Miscellaneous ‐ ‐ 2,112 2,112
Total revenues 283,721 283,721 290,814 7,093
Expenditures
Current
Social and economic development
Personal services 2,800 2,800 113 (2,687)
Supplies 26,663 26,663 ‐ (26,663)
Other services and charges 263,258 263,258 247,108 (16,150)
Total expenditures 292,721 292,721 247,221 (45,500)
Revenues over (under) expenditures (9,000)$ (9,000)$ 43,593 52,593$
Fund balances ‐ January 1 215,439
Fund balances ‐ December 31 259,032$
2023
Budgeted Amounts Variance with
Final Budget
147
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 159
CITY OF ST. LOUIS PARK, MINNESOTA
AFFORDABLE HOUSING TRUST FUND Statement 31
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Property taxes 1,582,696$ 1,582,696$ 1,565,599$ (17,097)$
Charges for services ‐ ‐ 4,982 4,982
Interest income (loss)15,000 15,000 ‐ (15,000)
Total revenues 1,597,696 1,597,696 1,570,581 (27,115)
Expenditures
Current
Housing and rehabilitation
Other services and charges 1,650,500 1,650,500 493,375 (1,157,125)
Total expenditures 1,650,500 1,650,500 493,375 (1,157,125)
Revenues over (under) expenditures (52,804) (52,804) 1,077,206 1,130,010
Other financing sources (uses)
Transfers in ‐ ‐ 1,921,036 1,921,036
Transfers out (718,564) (718,564) (718,564) ‐
Total other financing sources (uses) (718,564) (718,564) 1,202,472 1,921,036
Net change in fund balances (771,368)$ (771,368)$ 2,279,678 3,051,046$
Fund balances ‐ January 1 6,398,525
Fund balances ‐ December 31 8,678,203$
2023
Budgeted Amounts Variance with
Final Budget
148
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 160
CITY OF ST. LOUIS PARK, MINNESOTA
CLIMATE INVESTMENT FUND Statement 32
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Interest income (loss)100$ 100$ 35,998$ 35,898$
Total revenues 100 100 35,998 35,898
Expenditures
Current
Social and economic development
Other services and charges 183,100 183,100 106,704 (76,396)
Total expenditures 183,100 183,100 106,704 (76,396)
Net change in fund balances (183,000)$ (183,000)$ (70,706) 112,294$
Fund balances ‐ January 1 717,987
Fund balances ‐ December 31 647,281$
2023
Budgeted Amounts Variance with
Final Budget
149
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 161
CITY OF ST. LOUIS PARK, MINNESOTA
DEVELOPMENT EDA FUND Statement 33
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Property taxes 526,230$ 526,230$ 530,657$ 4,427$
Lodging tax 676,422 676,422 959,428 283,006
Intergovernmental ‐ ‐ 337,580 337,580
Charges for services 205,194 205,194 191,750 (13,444)
Interest income (loss)150,000 150,000 344,526 194,526
Miscellaneous 150,000 150,000 147,949 (2,051)
Total revenues 1,707,846 1,707,846 2,511,890 804,044
Expenditures
Current
Social and economic development
Personal services 2,807,282 2,807,282 3,256,590 449,308
Capital outlay
Social and economic development 2,320,000 2,320,000 371,300 (1,948,700)
Total expenditures 5,127,282 5,127,282 3,627,890 (1,499,392)
Revenues over (under) expenditures (3,419,436) (3,419,436) (1,116,000) 2,303,436
Other financing sources (uses)
Transfers in ‐ ‐ 911,180 911,180
Transfers out ‐ ‐ (7,917) (7,917)
Proceeds from sale of capital assets 3,465,000 3,465,000 ‐ (3,465,000)
Total other financing sources (uses) 3,465,000 3,465,000 903,263 (2,561,737)
Net change in fund balances 45,564$ 45,564$ (212,737) (258,301)$
Fund balances ‐ January 1 18,559,583
Fund balances ‐ December 31 18,346,846$
2023
Budgeted Amounts Variance with
Final Budget
150
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 162
CITY OF ST. LOUIS PARK, MINNESOTA
PARK IMPROVEMENT FUND Statement 34
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Property taxes 860,000$ 860,000$ 860,000$ ‐$
Intergovernmental 50,000 50,000 44,702 (5,298)
Charges for services 50,000 50,000 38,866 (11,134)
Interest income (loss)200,000 200,000 183,459 (16,541)
Miscellaneous 919,496 919,496 524,492 (395,004)
Total revenues 2,079,496 2,079,496 1,651,519 (427,977)
Expenditures
Current
Parks and recreation
Other services and charges 800,000 800,000 511,296 (288,704)
Capital outlay
Parks and recreation 1,466,628 1,466,628 1,532,199 65,571
Total expenditures 2,266,628 2,266,628 2,043,495 (223,133)
Net change in fund balances (187,132)$ (187,132)$ (391,976) (204,844)$
Fund balances ‐ January 1 3,531,986
Fund balances ‐ December 31 3,140,010$
2023
Budgeted Amounts Variance with
Final Budget
151
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 163
CITY OF ST. LOUIS PARK, MINNESOTA
PAVEMENT MANAGEMENT FUND Statement 35
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE ‐ BUDGET TO ACTUAL
For The Year Ended December 31, 2023
3
Actual
Original Final Amounts
Revenues
Franchise taxes 4,880,205$ 4,880,205$ 4,787,722$ (92,483)$
Interest income (loss)‐ ‐ 177,789 177,789
Miscellaneous ‐ ‐ 2,111 2,111
Total revenues 4,880,205 4,880,205 4,967,622 87,417
Expenditures
Current
Operations
Other services and charges ‐ ‐ 229,017 229,017
Capital outlay
Operations 5,002,290 5,002,290 4,577,087 (425,203)
Total expenditures 5,002,290 5,002,290 4,806,104 (196,186)
Net change in fund balances (122,085)$ (122,085)$ 161,518 283,603$
Fund balances ‐ January 1 3,399,065
Fund balances ‐ December 31 3,560,583$
2023
Budgeted Amounts Variance with
Final Budget
152
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 164
INTERNAL SERVICE FUNDS
The City has five Internal Service Funds to account for the financing of
goods or services provided by one department or agency to other
departments or agencies of the City, or to other governments on a cost
reimbursement basis. The City’s internal service funds account for
employee benefits including pensions and other postemployment
benefits, insurance, and capital replacement.
153
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 165
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF NET POSITION Statement 36
INTERNAL SERVICE FUNDS
December 31, 2023
Employee Benefits Insurance
Vehicles &
Equipment
Municipal
Buildings Technology Total
Assets
Current assets
Cash and investments 441,152$ 1,374,318$ 761,266$ 508,760$ 985,068$ 4,070,564$
Due from other governments ‐ ‐ 45,071 ‐ ‐ 45,071
Accounts receivable 41,709 ‐ 53,930 ‐ 3,989 99,628
Taxes receivable ‐ unremitted 250 ‐ ‐ ‐ 2,744 2,994
Prepaid items 228,005 103,711 ‐ ‐ 232,560 564,276
Total current assets 711,116 1,478,029 860,267 508,760 1,224,361 4,782,533
Noncurrent assets
Capital assets
Nondepreciable capital assets, at cost
Land ‐ ‐ ‐ ‐ 818,094 818,094
Construction in progress ‐ ‐ ‐ 11,413 ‐ 11,413
Total nondepreciable capital assets ‐ ‐ ‐ 11,413 818,094 829,507
Depreciable capital assets, at cost
Building and structures ‐ ‐ ‐ 9,481,724 38,598 9,520,322
Improvements other than buildings ‐ ‐ 49,248 2,660,405 323,087 3,032,740
Infrastructure ‐ ‐ ‐ 622,563 691,238 1,313,801
Machinery, furniture and equipment ‐ ‐ 6,283,280 324,567 3,717,893 10,325,740
Fleet ‐ ‐ 10,551,892 ‐ 914,193 11,466,085
Total depreciable capital assets, at cost ‐ ‐ 16,884,420 13,089,259 5,685,009 35,658,688
Less: accumulated depreciation ‐ ‐ (10,385,145) (4,154,953) (3,996,335) (18,536,433)
Total depreciable capital assets, net of accumulated depreciation ‐ ‐ 6,499,275 8,934,306 1,688,674 17,122,255
Amortizable capital assets, at cost
Subscription‐based IT arrangements ‐ ‐ ‐ ‐ 258,303 258,303
Leased assets ‐ machinery, furniture and equipment ‐ ‐ ‐ ‐ 50,905 50,905
Leased assets ‐ fleet ‐ ‐ 148,797 ‐ ‐ 148,797
Total amortizable capital assets, at cost ‐ ‐ 148,797 ‐ 309,208 458,005
Less: accumulated amortization ‐ ‐ (51,536) ‐ (141,951) (193,487)
Total amortizable capital assets, net of accumulated amortization ‐ ‐ 97,261 ‐ 167,257 264,518
Total capital assets, net of accumulated depreciation and amortization ‐ ‐ 6,596,536 8,945,719 2,674,025 18,216,280
Total noncurrent assets ‐ ‐ 6,596,536 8,945,719 2,674,025 18,216,280
Total assets 711,116 1,478,029 7,456,803 9,454,479 3,898,386 22,998,813
Deferred outflows of resources
Related to pensions 24,284,885 ‐ ‐ ‐ ‐ 24,284,885
Related to OPEB 1,638,093 ‐ ‐ ‐ ‐ 1,638,093
Total deferred outflows of resources 25,922,978 ‐ ‐ ‐ ‐ 25,922,978
Liabilities
Current liabilities
Accounts payable 125,223 ‐ 9,228 3,818 22,959 161,228
Accrued flex spending 25,421 ‐ ‐ ‐ ‐ 25,421
Due to other governments 2,534 ‐ ‐ ‐ 39,041 41,575
Accrued interest payable ‐ ‐ ‐ ‐ 2,707 2,707
Compensated absences payable ‐ current 2,886,458 ‐ ‐ ‐ ‐ 2,886,458
Leases liability ‐ current ‐ ‐ 29,409 ‐ 5,672 35,081
Subscription‐based IT arrangements liability ‐ current ‐ ‐ ‐ ‐ 118,698 118,698
Other postemployment benefits payable ‐ current 233,409 ‐ ‐ ‐ ‐ 233,409
Total current liabilities 3,273,045 ‐ 38,637 3,818 189,077 3,504,577
Noncurrent liabilities
Compensated absences payable 1,526,654 ‐ ‐ ‐ ‐ 1,526,654
Lease liability ‐ ‐ 70,273 ‐ ‐ 70,273
Subscription‐based IT arrangements liability ‐ ‐ ‐ ‐ 17,420 17,420
Other postemployment benefits payable 5,461,250 ‐ ‐ ‐ ‐ 5,461,250
Net pension liability 27,143,398 ‐ ‐ ‐ ‐ 27,143,398
Total noncurrent liabilities 34,131,302 ‐ 70,273 ‐ 17,420 34,218,995
Total liabilities 37,404,347 ‐ 108,910 3,818 206,497 37,723,572
Deferred inflows of resources
Related to pensions 24,061,236 ‐ ‐ ‐ ‐ 24,061,236
Related to OPEB 1,120,333 ‐ ‐ ‐ ‐ 1,120,333
Total deferred inflows of resources 25,181,569 ‐ ‐ ‐ ‐ 25,181,569
Net position
Net investment in capital assets ‐ ‐ 6,496,854 8,945,719 2,532,235 17,974,808
Unrestricted (35,951,822) 1,478,029 851,039 504,942 1,159,654 (31,958,158)
Total net position (35,951,822)$ 1,478,029$ 7,347,893$ 9,450,661$ 3,691,889$ (13,983,350)$
154
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 166
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENSES AND Statement 37
CHANGES IN FUND NET POSITION
INTERNAL SERVICE FUNDS
For The Year Ended December 31, 2023
Employee Benefits Insurance
Vehicles &
Equipment
Municipal
Buildings Technology
Interfund
Eliminations Total
Operating revenues
Charges for services 3,243,340$ ‐$ 1,479,501$ ‐$ ‐$ ‐$ 4,722,841$
Other 257,321 244,656 10 ‐ 13,335 ‐ 515,322
Total operating revenues 3,500,661 244,656 1,479,511 ‐ 13,335 ‐ 5,238,163
Operating expenses
Personal services 8,239,571 44,011 ‐ ‐ ‐ ‐ 8,283,582
Supplies ‐ ‐ ‐ ‐ 1,053,389 ‐ 1,053,389
Professional services 49,890 ‐ ‐ ‐ 4,273 ‐ 54,163
Insurance deductibles and uninsured losses ‐ 464,109 ‐ ‐ ‐ ‐ 464,109
Depreciation and amortization ‐ ‐ 1,230,731 417,541 376,915 ‐ 2,025,187
Other 44,135 11,883 81,680 112,768 685,157 ‐ 935,623
Total operating expenses 8,333,596 520,003 1,312,411 530,309 2,119,734 ‐ 12,816,053
Operating income (loss)(4,832,935) (275,347) 167,100 (530,309) (2,106,399) ‐ (7,577,890)
Nonoperating revenues (expenses)
Interest income (loss)86,163 61,568 6,148 10,816 72,235 ‐ 236,930
Property taxes 150,000 ‐ ‐ ‐ 1,646,142 ‐ 1,796,142
Intergovernmental revenue 39,159 ‐ ‐ 6,746 11,503 ‐ 57,408
Gain (loss) on disposal of capital assets ‐ ‐ 329,110 ‐ ‐ ‐ 329,110
Interest expense ‐ ‐ (5,700) ‐ (2,766) ‐ (8,466)
Total nonoperating revenues (expenses)275,322 61,568 329,558 17,562 1,727,114 ‐ 2,411,124
Income (loss) before transfers (4,557,613) (213,779) 496,658 (512,747) (379,285) ‐ (5,166,766)
Transfers in 800,000 ‐ ‐ 500,000 151,840 (500,000) 951,840
Transfers out ‐ ‐ ‐ ‐ (500,000) 500,000 ‐
Change in net position (3,757,613) (213,779) 496,658 (12,747) (727,445) ‐ (4,214,926)
Net position ‐ January 1 (32,194,209) 1,691,808 6,851,235 9,463,408 4,419,334 ‐ (9,768,424)
Net position ‐ December 31 (35,951,822)$ 1,478,029$ 7,347,893$ 9,450,661$ 3,691,889$ ‐$ (13,983,350)$
155
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 167
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF CASH FLOWS Statement 38
INTERNAL SERVICE FUNDS Page 1 of 2
For The Year Ended December 31, 2023
Employee
Benefits Insurance
Vehicles &
Equipment
Municipal
Buildings Technology Total
Cash flows from operating activities
Receipts from interfund services provided 3,243,340$ -$ 1,479,501$ -$ -$ 4,722,841$
Other operating cash receipts 215,612 244,656 (53,920) 2,200 9,622 418,170
Payments to suppliers (33,931) (1,182,884) (230,060) (129,415) (1,941,132) (3,517,422)
Payments to employees (4,294,964) (44,011) - - - (4,338,975)
Net cash flows provided (used) by
operating activities (869,943) (982,239) 1,195,521 (127,215) (1,931,510) (2,715,386)
Cash flows from noncapital financing activities
Transfers in 800,000 - - - - 800,000
Property taxes 149,750 - - - 1,643,398 1,793,148
Intergovernmental receipts 39,159 - (45,071) 8,052 12,810 14,950
Net cash flows provided (used) by
noncapital financing activities 988,909 - (45,071) 8,052 1,656,208 2,608,098
Cash flows from capital and related
financing activities
Transfers in - - - 500,000 151,840 651,840
Transfers out - - - - (500,000) (500,000)
Acquisition of capital assets - - (1,540,071) (416,297) (383,103) (2,339,471)
Proceeds from sale of capital assets - - 329,010 - - 329,010
Principal paid on lease liability - - (34,621) - (24,990) (59,611)
Interest paid on lease liability - - (5,700) - (59) (5,759)
Principal paid on subscription-based IT arrangements liability - - - - (122,185) (122,185)
Net cash flows provided (used) by
and related financing activities - - (1,251,382) 83,703 (878,497) (2,046,176)
Cash flows from investing activities
Investment income 86,163 61,568 6,148 10,816 72,235 236,930
Net increase in cash and cash equivalents 205,129 (920,671) (94,784) (24,644) (1,081,564) (1,916,534)
Cash and cash equivalents - January 1 236,023 2,294,989 856,050 533,404 2,066,632 5,987,098
Cash and cash equivalents - December 31 441,152$ 1,374,318$ 761,266$ 508,760$ 985,068$ 4,070,564$
156
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 168
CITY OF ST. LOUIS PARK, MINNESOTA
COMBINING STATEMENT OF CASH FLOWS Statement 38
INTERNAL SERVICE FUNDS Page 2 of 2
For The Year Ended December 31, 2023
Employee
Benefits Insurance
Vehicles &
Equipment
Municipal
Buildings Technology Total
Reconciliation of operating income (loss) to
net cash provided (used) by operating activities
Operating income (loss)(4,832,935)$ (275,347)$ 167,100$ (530,309)$ (2,106,399)$ (7,577,890)$
Adjustments to reconcile operating income (loss)
to net cash flows from operating activities
Depreciation and amortization - - 1,230,731 417,541 376,915 2,025,187
(Increase) decrease in assets/deferred outflows
Accounts receivable (41,709) - (53,930) 2,200 (3,713) (97,152)
Prepaid items (26,238) (103,711) - - (145,468) (275,417)
Deferred outflows of resources 4,964,524 - - - - 4,964,524
Increase (decrease) in liabilities/deferred inflows
Accounts payable 83,798 (603,181) (148,380) (16,647) (10,727) (695,137)
Accrued flex spending 6,808 - - - - 6,808
Due to other governments 2,534 - - - (42,118) (39,584)
Compensated absences payable 208,221 - - - - 208,221
Other postemployment benefits (421,278) - - - - (421,278)
Net pension liability (25,251,673) - - - - (25,251,673)
Deferred inflows of resources 24,438,005 - - - - 24,438,005
Net cash provided (used) by operating activities (869,943)$ (982,239)$ 1,195,521$ (127,215)$ (1,931,510)$ (2,715,386)$
Noncash capital and related financing activities
Capital assets acquired via lease -$ -$ 23,066$ -$ -$ 23,066$
Capital assets acquired via subscription-based IT arrangements -$ -$ -$ -$ 258,303$ 258,303$
157
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158
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Title: Review of 2023 Annual Comprehensive Financial Report Page 170
III.STATISTICAL SECTION (UNAUDITED)
159
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160
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Title: Review of 2023 Annual Comprehensive Financial Report Page 172
Statistical Section (Unaudited)
This statistical part of the City of St. Louis Park's annual comprehensive financial report
presents detailed information as a context for understanding what the information in the
financial statements, note disclosures, and required supplementary information says
about the City's overall financial health.
Contents Table
Financial Trends 1 ‐ 5
These schedules contain trend information to help the reader understand how the
City's financial performance and well‐being have changed over time.
Revenue Capacity 6 ‐ 9
These schedules contain information to help the reader assess the factors
affecting the City's ability to generate its property tax.
Debt Capacity 10 ‐ 14
These schedules present information to help the reader assess the affordability
of the City's current levels of outstanding debt and the City's ability to issue
additional debt in the future.
Demographic and Economic Information 15 ‐ 16
These schedules offer demographic and economic indicators to help the reader
understand the environment within which the City's financial activities take
place and to help make comparisons over time and with other governments.
Operating Information 17 ‐ 19
These schedules contain information about the City's operations and resources
to help the reader understand how the City's financial information relates to the
services the City provides and the activities it performs.
Sources: Unless otherwise noted, the information in these schedules is derived
from the annual comprehensive financial reports for the relevant year.
161
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Title: Review of 2023 Annual Comprehensive Financial Report Page 173
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
NET POSITION BY COMPONENT
LAST TEN FISCAL YEARS
2014 2015 2016 2017
Governmental activities
Net investment in capital assets 94,891,625$ 96,286,131$ 96,458,787$ 103,279,857$
Restricted 10,971,995 10,608,709 10,658,889 11,439,977
Unrestricted 49,971,778 31,667,135 31,751,796 26,888,688
Total governmental activities net position 155,835,398$ 138,561,975$ 138,869,472$ 141,608,522$
Business‐type activities
Net investment in capital assets 22,818,382$ 22,753,326$ 23,030,284$ 25,716,982$
Unrestricted 4,783,696 4,620,302 5,849,650 4,979,057
Total business‐type activities net position 27,602,078$ 27,373,628$ 28,879,934$ 30,696,039$
Total primary government
Net investment in capital assets 117,710,007$ 119,039,457$ 119,489,071$ 128,996,839$
Restricted 10,971,995 10,608,709 10,658,889 11,439,977
Unrestricted 54,755,474 36,287,437 37,601,446 31,867,745
Total primary government 183,437,476$ 165,935,603$ 167,749,406$ 172,304,561$
Source(s):
Source 1: Data was provided by the annual comprehensive financial report (ACFR)
Note(s):
Note 1: GASB 68 was implemented in 2015. Net position was restated for 2014 to reflect the reporting of net pension liability and
pension related deferred outflows of resources. Net position for years prior to 2014 was not restated.
Fiscal Year
162
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Table 1
2018 2019 2020 2021 2022 2023
107,090,668$ 102,644,391$ 103,325,878$ 86,983,523$ 81,133,330$ 76,348,500$
13,200,855 22,391,884 15,556,085 24,710,300 27,223,707 33,471,783
23,914,099 11,937,764 24,180,714 35,856,005 40,861,576 39,871,997
144,205,622$ 136,974,039$ 143,062,677$ 147,549,828$ 149,218,613$ 149,692,280$
25,992,377$ 27,805,955$ 30,198,068$ 30,830,919$ 32,352,244$ 38,639,429$
6,163,907 6,426,698 8,071,994 12,031,336 17,010,155 16,365,396
32,156,284$ 34,232,653$ 38,270,062$ 42,862,255$ 49,362,399$ 55,004,825$
133,083,045$ 130,450,346$ 133,523,946$ 117,814,442$ 113,485,574$ 114,987,929$
13,200,855 22,391,884 15,556,085 24,710,300 27,223,707 33,471,783
30,078,006 18,364,462 32,252,708 47,887,341 57,871,731 56,237,393
176,361,906$ 171,206,692$ 181,332,739$ 190,412,083$ 198,581,012$ 204,697,105$
Fiscal Year
163
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Title: Review of 2023 Annual Comprehensive Financial Report Page 175
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
CHANGES IN NET POSITION
LAST TEN FISCAL YEARS
(accrual basis of accounting)
2014 2015 2016 2017
Expenses
Governmental activities
General government 9,161,922$ 10,712,749$ 11,182,348$ 10,648,181$
Public safety 13,954,604 15,336,854 20,091,787 17,870,131
Public information 507,928 3,057,509 549,940 647,316
Parks and recreation ‐ ‐ ‐ ‐
Operations ‐ ‐ ‐ ‐
Operations and recreation 13,318,552 9,996,885 13,352,637 13,448,470
Engineering 21,045,392 10,185,956 5,091,818 7,859,907
Housing and rehabilitation 909,051 707,661 528,467 480,911
Housing maintenance 130,534 84,505 144,204 72,244
Social and economic development 8,058,914 8,872,479 8,826,281 10,987,654
Interest on long‐term debt 1,185,975 1,233,107 1,620,489 1,511,329
Total governmental activities expenses 68,272,872 60,187,705 61,387,971 63,526,143
Business‐type activities
Water 4,609,579 4,684,190 4,773,624 4,786,816
Sewer 4,885,748 5,333,887 6,002,088 6,227,919
Solid Waste 2,813,587 2,917,214 3,256,804 3,390,874
Storm Water 1,422,645 1,400,975 1,514,761 1,611,785
Total business‐type activities expenses 13,731,559 14,336,266 15,547,277 16,017,394
Total expenses 82,004,431$ 74,523,971$ 76,935,248$ 79,543,537$
Program revenues
Governmental activities
Charges for services
General government 1,142,294$ 1,185,881$ 1,184,122$ 1,143,220$
Public safety 3,477,244 4,237,819 4,354,793 3,962,306
Public works ‐ ‐ ‐ ‐
Public information
Public information ‐ 10,000 ‐ ‐
Culture and recreation ‐ ‐ ‐ ‐
Operations and recreation 2,089,052 2,344,863 2,122,730 2,308,221
Engineering 318,873 144,151 97,688 134,508
Housing and rehabilitation 7,537 6,315 7,607 4,514
Housing maintenance 241 ‐ ‐ ‐
Social and economic development 224,252 256,557 259,910 255,109
Interest on long‐term debt ‐ ‐ ‐ ‐
Operating grants and contributions 2,024,171 3,586,440 2,512,011 3,670,054
Capital grants and contributions 12,066,132 3,178,294 3,960,739 5,205,879
Total governmental activities program revenue 21,349,796 14,950,320 14,499,600 16,683,811
Business‐type activities
Charges for services
Water 5,188,065 5,766,601 5,674,239 6,089,295
Sewer 5,841,377 6,112,024 6,663,731 7,261,014
Solid Waste 3,179,732 3,189,566 2,905,899 3,237,506
Storm Water 2,246,201 2,472,134 2,642,860 2,816,349
Operating grants and contributions 127,742 128,610 181,525 159,376
Capital grants and contributions ‐ ‐ 799,894 279,801
Total business‐type activities program revenue 16,583,117 17,668,935 18,868,148 19,843,341
Total program revenues 37,932,913$ 32,619,255$ 33,367,748$ 36,527,152$
Fiscal Year
164
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Title: Review of 2023 Annual Comprehensive Financial Report Page 176
Table 2
Page 1 of 2
2018 2019 2020 2021 2022 2023
11,051,775$ 12,022,082$ 12,065,668$ 11,981,562$ 14,543,794$ 14,731,230$
17,621,109 18,868,900 18,283,411 18,168,010 23,014,115 25,488,917
642,350 594,521 924,428 496,229 1,832,219 1,885,527
‐ 7,463,862 6,454,814 6,782,740 8,419,354 9,889,201
‐ 20,692,741 18,700,327 21,980,357 19,750,249 23,418,451
15,146,290 ‐ ‐ ‐ ‐ ‐
7,491,753 ‐ ‐ ‐ ‐ ‐
530,192 1,001,834 1,085,356 780,257 5,473,490 1,897,395
19,768 89,828 709,009 ‐ ‐ ‐
12,549,378 16,536,420 11,642,624 11,246,159 14,493,892 11,924,027
1,456,241 2,139,962 1,818,341 1,991,765 2,103,528 1,721,000
66,508,856 79,410,150 71,683,978 73,427,079 89,630,641 90,955,748
5,445,760 5,922,733 5,545,411 5,743,764 6,261,586 6,874,231
6,083,196 6,387,860 6,020,350 6,828,464 6,176,756 6,331,986
3,463,412 3,527,810 3,666,565 3,681,072 3,788,443 4,484,177
2,372,829 2,179,955 2,206,992 2,331,779 2,190,790 2,061,980
17,365,197 18,018,358 17,439,318 18,585,079 18,417,575 19,752,374
83,874,053$ 97,428,508$ 89,123,296$ 92,012,158$ 108,048,216$ 110,708,122$
1,214,710$ 1,231,454$ ‐$ 1,266,925$ 1,323,472$ 1,275,983$
4,049,914 5,212,202 6,353,145 4,719,500 6,756,712 4,605,015
‐ ‐ ‐ ‐ ‐ ‐
‐ ‐ ‐ ‐ ‐ ‐
576 ‐ 89,008 ‐ ‐ ‐
2,516,191 2,566,014 1,703,896 2,982,628 4,002,198 3,824,431
136,648 156,330 ‐ ‐ ‐ ‐
633,932 3,467 ‐ 750 2,676 4,982
‐ ‐ ‐ ‐ ‐ ‐
213,944 216,989 330,072 213,828 239,886 217,058
‐ ‐ ‐ ‐ ‐ ‐
2,666,090 3,360,346 6,426,976 2,886,299 3,247,517 4,876,812
3,526,377 2,693,816 3,646,262 3,996,798 8,958,110 3,010,970
14,958,382 15,440,618 18,549,359 16,066,728 24,530,571 17,815,251
6,469,268 6,908,538 7,989,679 8,535,668 9,156,315 9,045,322
7,360,679 7,634,597 8,059,428 8,528,207 8,971,596 8,957,027
3,348,948 3,538,931 3,782,579 4,267,345 4,540,176 4,420,169
2,887,425 3,059,282 3,158,072 3,322,640 3,541,917 3,710,665
174,250 196,100 196,223 212,446 206,308 288,228
429,928 556,508 299,018 430,010 829,382 251,800
20,670,498 21,893,956 23,484,999 25,296,316 27,245,694 26,673,211
35,628,880$ 37,334,574$ 42,034,358$ 41,363,044$ 51,776,265$ 44,488,462$
Fiscal Year
165
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Title: Review of 2023 Annual Comprehensive Financial Report Page 177
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
CHANGES IN NET POSITION
LAST TEN FISCAL YEARS
(accrual basis of accounting)
2014 2015 2016 2017
Net (expenses) revenues
Governmental activities (46,923,076)$ (45,237,385)$ (46,888,371)$ (46,842,332)$
Business‐type activities 2,851,558 3,332,669 3,320,871 3,825,947
Total primary government (44,071,518)$ (41,904,716)$ (43,567,500)$ (43,016,385)$
General Revenues and Other Changes in Net Position
Governmental activities
Taxes
Property taxes 27,398,157$ 28,209,567$ 30,185,703$ 31,582,993$
Tax increment 7,380,995 6,763,951 7,733,689 8,961,792
Franchise taxes 2,268,213 2,915,732 3,079,399 3,763,394
Lodging taxes ‐ ‐ ‐ ‐
Grants and contributions not
restricted to specific programs 504,035 557,671 584,639 590,978
Unrestricted investment earnings 407,753 221,408 388,647 408,945
Gain on sale of capital assets 464,629 577,248 142,713 106,204
Miscellaneous 2,609,539 2,985,997 3,201,122 2,091,334
Transfers 5,995,095 3,620,449 1,879,956 2,075,742
Total governmental activities general revenues 47,028,416 45,852,023 47,195,868 49,581,382
Business‐type activities
Unrestricted investment earnings 78,003 59,330 65,391 65,900
Transfers (5,995,095) (3,620,449) (1,879,956) (2,075,742)
Total business‐type activities general revenues (5,917,092) (3,561,119) (1,814,565) (2,009,842)
Total primary government 41,111,324$ 42,290,904$ 45,381,303$ 47,571,540$
Change in net position
Governmental activities 105,340$ 614,638$ 307,497$ 2,739,050$
Business‐type activities (3,065,534) (228,450) 1,506,306 1,816,105
Total primary government (2,960,194)$ 386,188$ 1,813,803$ 4,555,155$
Note(s)
Note 1: GASB 68 was implemented in 2015. Pension expense for years prior to 2015 was not restated
Fiscal Year
166
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Title: Review of 2023 Annual Comprehensive Financial Report Page 178
Table 2
Page 2 of 2
2018 2019 2020 2021 2022 2023
(51,550,474)$ (63,969,532)$ (53,134,619)$ (57,360,351)$ (65,100,070)$ (73,140,497)$
3,305,301 3,875,598 6,045,681 6,711,237 8,828,119 6,920,837
(48,245,173)$ (60,093,934)$ (47,088,938)$ (50,649,114)$ (56,271,951)$ (66,219,660)$
33,449,668$ 34,566,143$ 36,651,274$ 37,841,783$ 41,059,104$ 43,092,885$
10,266,075 11,027,616 12,081,105 12,875,438 14,185,011 14,262,120
3,804,678 1,074,002 4,569,901 5,122,147 5,469,040 5,442,999
1,021,855 4,212,728 339,055 543,133 905,461 959,428
618,645 319,322 331,454 587,658 816,658 760,407
739,130 1,669,916 1,232,923 (215,865) (888,151) 3,350,315
1,751,339 178,509 56,625 149,946 164,728 329,110
491,591 1,619,458 1,858,081 2,289,514 2,826,100 3,119,068
2,004,593 2,070,255 2,102,839 2,196,105 2,230,904 2,297,832
54,147,574 56,737,949 59,223,257 61,389,859 66,768,855 73,614,164
159,537 271,026 172,777 (45,939) (97,071) 1,019,421
(2,004,593) (2,070,255) (2,102,839) (2,196,105) (2,230,904) (2,297,832)
(1,845,056) (1,799,229) (1,930,062) (2,242,044) (2,327,975) (1,278,411)
52,302,518$ 54,938,720$ 57,293,195$ 59,147,815$ 64,440,880$ 72,335,753$
2,597,100$ (7,231,583)$ 6,088,638$ 4,029,508$ 1,668,785$ 473,667$
1,460,245 2,076,369 4,115,619 4,469,193 6,500,144 5,642,426
4,057,345$ (5,155,214)$ 10,204,257$ 8,498,701$ 8,168,929$ 6,116,093$
Fiscal Year
167
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168
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 3
GOVERNMENTAL ACTIVITIES TAX REVENUES BY SOURCE
LAST TEN FISCAL YEARS
Fiscal Property Franchise Lodging
Year Taxes Taxes Taxes Total
2014 34,779,152$ 2,268,213$ ‐$ 37,047,365$
2015 34,973,518 2,915,732 ‐ 37,889,250
2016 37,919,392 3,079,399 ‐ 40,998,791
2017 40,544,785 3,763,394 ‐ 44,308,179
2018 43,715,743 3,804,678 1,021,855 48,542,276
2019 45,593,759 1,074,002 4,212,728 50,880,489
2020 48,732,379 4,569,901 339,055 53,641,335
2021 50,717,221 5,122,147 543,133 56,382,501
2022 55,244,115 5,469,040 905,461 61,618,616
2023 57,355,005 5,442,999 959,428 63,757,432
Source(s):
Source 1: Hennepin County tax settlement data
Source 2: Financial data provided by the City's Finance division related to franchise and lodging taxes
169
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Title: Review of 2023 Annual Comprehensive Financial Report Page 181
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
FUND BALANCES OF GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
(modified accrual basis of accounting)
2014 2015 2016 2017
General fund
Nonspendable 397,873$ 566,574$ 330,483$ 292,821$
Restricted 492,223 464,469 413,787 392,004
Assigned 696,293 758,084 936,663 1,050,569
Unassigned 14,576,348 15,242,009 16,193,763 17,054,520
Total General fund 16,162,737$ 17,031,136$ 17,874,696$ 18,789,914$
All other governmental funds
Nonspendable ‐$ ‐$ 23,563$ 6,500$
Restricted 12,663,957 12,457,701 10,057,843 11,725,590
Committed 483,590 481,009 466,287 696,235
Assigned 38,701,128 39,567,878 41,068,221 33,609,392
Unassigned (8,819,377) (6,551,326) (5,187,339) (3,628,247)
Total all other governmental funds 43,029,298$ 45,955,262$ 46,428,575$ 42,409,470$
Source(s):
Source 1: Data provided by the annual comprehensive financial report (ACFR)
Fiscal Year
170
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Title: Review of 2023 Annual Comprehensive Financial Report Page 182
Table 4
2018 2019 2020 2021 2022 2023
258,932$ 340,247$ 362,022$ 517,589$ 324,139$ 445,964$
272,840 126,683 82,986 94,311 87,357 2,409,288
1,025,207 1,602,523 992,938 1,275,140 1,304,322 700,000
17,697,405 18,762,374 25,386,153 21,928,316 23,945,846 24,443,962
19,254,384$ 20,831,827$ 26,824,099$ 23,815,356$ 25,661,664$ 27,999,214$
19,700$ 6,799$ ‐$ 9,500$ 3,100$ 11,929$
12,196,553 28,145,222 18,877,118 23,013,971 25,561,608 27,755,191
1,064,284 913,497 812,078 1,535,938 2,118,897 2,068,003
33,843,896 31,598,020 30,398,365 33,433,213 35,172,356 35,640,204
(7,382,436) (7,310,832) (5,887,231) (4,954,407) (10,883,317) (6,082,211)
39,741,997$ 53,352,706$ 44,200,330$ 53,038,215$ 51,972,644$ 59,393,116$
Fiscal Year
171
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 183
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
(modified accrual basis of accounting)
2014 2015 2016 2017
Revenues
Taxes 24,361,524$ 26,598,373$ 27,734,546$ 28,941,646$
Tax increments 7,380,995 6,763,951 7,733,689 8,961,792
Abatement of property taxes ‐ ‐ ‐ ‐
Lodging tax ‐ ‐ ‐ ‐
Franchise taxes 2,268,213 2,915,732 3,079,399 3,763,394
Licenses and permits 3,413,683 4,312,702 4,320,078 3,985,517
Intergovernmental 13,216,055 6,017,025 4,345,482 8,228,158
Charges for services 3,476,264 3,608,933 3,406,964 3,529,125
Fines and forfeits 369,546 263,951 299,808 293,236
Special assessments 1,268,539 1,238,873 1,192,628 1,169,859
Investment earnings 386,263 199,747 362,196 369,203
Miscellaneous 2,577,300 3,051,946 3,230,390 2,218,712
Total revenues 58,718,382 54,971,233 55,705,180 61,460,642
Expenditures
General government 7,376,380 7,813,046 8,188,193 8,142,675
Public safety 13,239,729 14,025,463 14,669,251 15,824,577
Parks and recreation ‐ ‐ ‐ ‐
Operations and recreation 10,450,789 9,710,604 9,688,872 10,665,329
Operations ‐ ‐ ‐ ‐
Engineering 21,013,383 10,068,447 480,162 7,754,421
Public information 462,341 561,252 477,721 495,256
Housing and rehabilitation 875,225 538,411 482,313 453,940
Housing maintenance 130,534 84,505 144,204 57,370
Social and economic development 7,928,905 8,872,479 8,673,638 10,857,645
Miscellaneous ‐ ‐ ‐ ‐
Debt service
Principal 1,970,000 1,612,827 1,681,876 3,650,297
Interest 1,138,100 1,210,971 1,446,371 1,493,780
Other charges 54,433 2,640 2,717 ‐
Bond issuance costs ‐ ‐ 111,922 40,419
Capital outlay 2,271,988 3,486,864 19,894,828 10,159,659
Total expenditures 66,911,807 57,987,509 65,942,068 69,595,368
Revenues over (under) expenditures (8,193,425)(3,016,276)(10,236,888)(8,134,726)
Other financing sources (uses)
Transfers in 19,317,129 13,296,241 8,148,651 5,586,488
Transfers out (15,241,005) (9,462,850) (6,994,545) (4,182,613)
Refunding bonds issued ‐ ‐ ‐ ‐
Bonds issued 5,070,000 ‐ 10,000,000 3,430,000
Proceeds from long term debt ‐ 2,200,000 ‐ ‐
Premium on bonds issued 98,040 ‐ 396,655 196,964
Payments to refunded bond escrow agent ‐ ‐ ‐ ‐
Proceeds from sale of capital assets 321,866 777,248 3,000 ‐
Total other financing sources (uses)9,566,030 6,810,639 11,553,761 5,030,839
Net change in fund balances 1,372,605$ 3,794,363$ 1,316,873$ (3,103,887)$
Debt service as a percentage of
noncapital expenditures 4.81%5.18%6.02%8.61%
Source(s):
Source 1: Data provided by the annual comprehensive financial report (ACFR)
Fical Year
172
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Title: Review of 2023 Annual Comprehensive Financial Report Page 184
Table 5
2018 2019 2020 2021 2022 2023
31,853,551$ 32,598,016$ 34,531,332$ 36,198,206$ 39,294,300$ 41,356,429$
10,266,075 11,368,332 12,081,105 12,875,438 14,185,011 14,262,120
‐ (340,716) 112,630 (257,203) ‐ ‐
1,021,855 4,212,728 339,055 543,133 905,461 959,428
3,804,678 1,074,002 4,569,901 5,122,147 5,469,040 5,442,999
4,001,645 5,264,659 5,294,314 4,997,981 7,282,483 5,164,020
5,240,175 5,383,495 6,904,307 6,868,059 6,561,710 8,461,941
3,708,327 3,847,458 3,055,615 4,034,686 4,849,157 4,577,185
282,146 274,339 126,192 150,964 175,090 179,508
1,150,577 1,183,508 1,127,497 1,322,729 1,316,841 1,566,668
677,131 1,616,635 1,176,200 (238,771) (849,382) 3,113,385
1,529,337 1,701,458 1,901,751 2,348,898 3,052,915 1,542,728
63,535,497 68,183,914 71,219,899 73,966,267 82,242,626 86,626,411
9,075,636 9,372,448 9,490,394 9,458,536 9,365,669 10,427,128
17,050,302 17,651,051 17,806,753 19,290,081 20,750,758 21,647,295
‐ 6,571,735 6,454,814 6,813,935 8,079,262 9,167,718
11,031,544 ‐ ‐ ‐ ‐ ‐
‐ 14,448,732 17,097,698 21,366,729 16,876,505 6,400,754
4,449,897 ‐ ‐ ‐ ‐ ‐
567,653 477,150 875,890 452,420 388,391 387,851
512,029 796,010 1,060,588 776,654 5,424,459 1,852,640
12,040 60,315 709,009 ‐ 30,000 30,000
10,479,359 15,396,270 11,513,051 11,110,229 14,307,230 11,415,678
‐ 26,282 517,651 482,494 585,774 831,287
2,055,000 2,990,000 11,915,000 3,495,000 4,195,000 4,985,000
1,462,325 1,468,620 2,138,151 1,907,737 2,153,150 2,134,560
‐ ‐ ‐ ‐ ‐ ‐
33,060 309,945 124,200 157,707 195,260 ‐
14,388,878 16,857,464 8,140,774 6,339,203 3,502,579 8,934,470
71,117,723 86,426,022 87,843,973 81,650,725 85,854,037 78,214,381
(7,582,226)(18,242,108)(16,624,074)(7,684,458)(3,611,411)8,412,030
7,282,081 3,919,120 7,537,016 10,843,129 5,443,812 12,514,209
(5,608,462) (2,299,247) (5,573,129) (10,260,254) (6,097,836) (11,168,217)
‐ ‐ ‐ ‐ 1,345,000 ‐
2,020,000 32,005,001 10,505,000 12,385,000 4,900,000 ‐
‐ ‐ ‐ ‐ ‐ ‐
5,659 1,965,386 938,458 529,431 36,282 ‐
‐ (2,160,000) ‐ ‐ (1,345,000) ‐
1,679,945 ‐ 56,625 16,294 109,890 ‐
5,379,223 33,430,260 13,463,970 13,513,600 4,392,148 1,345,992
(2,203,003)$ 15,188,152$ (3,160,104)$ 5,829,142$ 780,737$ 9,758,022$
5.6%6.0%17.6%7.4%7.7%10.2%
Fiscal Year
173
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 185
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
ASSESSED VALUE/TAX CAPACITY VALUE AND ESTIMATED MARKET VALUE
OF ALL TAXABLE PROPERTY
LAST TEN FISCAL YEARS
2014 2015 2016 2017
Population 47,411 47,502 48,354 48,747
Real Property
Total assessed/tax capacity value 62,068,742$ 65,599,841$ 71,118,692$ 77,324,247$
Less tax increment districts ‐(6,130,653) (5,894,025) (6,798,025) (8,211,886)
Area‐wide allocation (net)(3,670,487) (3,879,478) (3,168,815) (4,255,021)
Net assessed/tax capacity value 52,267,602$ 55,826,338$ 61,151,852$ 64,857,340$
Estimated market value 5,123,316,900$ 5,435,136,500$ 5,841,548,800$ 6,306,324,900$
Personal Property
Assessed/tax capacity value 576,427$ 607,025$ 614,793$ 650,504$
Estimated market value 29,320,000$ 30,852,400$ 31,212,200$ 33,056,300$
Total Real and Personal Property
Assessed/tax capacity value 52,844,029$ 56,433,363$ 61,766,645$ 65,507,844$
Estimated market value 5,152,636,900$ 5,465,988,900$ 5,872,761,000$ 6,339,381,200$
Tax Capacity Rate 48.6%47.8%46.2%46.2%
Source(s):
Source 1: Data was provided by Hennipen County, MN taxing district information
174
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Title: Review of 2023 Annual Comprehensive Financial Report Page 186
Table 6
2018 2019 2020 2021 2022 2023
49,039 48,677 49,834 50,010 48,827 49,786
81,272,437$ 88,023,090$ 95,317,915$ 101,379,851$ 105,817,137$ 116,291,091$
(8,746,231) (10,129,650) (10,875,524) (11,817,305) (12,614,033) (13,838,198)
(4,787,086) (4,741,344) (5,233,557) (5,628,072) (6,248,597) (6,106,046)
67,739,120$ 73,152,096$ 79,208,834$ 83,934,474$ 86,954,507$ 96,346,847$
6,637,473,500$ 7,205,288,500$ 7,731,035,100$ 8,164,996,400$ 8,539,554,600$ 9,410,555,500$
710,227$ 747,358$ 739,713$ 777,794$ 302,259$ 335,559$
36,048,400$ 37,926,900$ 37,525,400$ 39,320,700$ 15,556,200$ 17,187,900$
68,469,347$ 73,899,454$ 79,948,547$ 84,712,268$ 87,256,766$ 96,682,406$
6,673,521,900$ 7,243,215,400$ 7,768,560,500$ 8,204,317,100$ 8,555,110,800$ 9,427,743,400$
46.4%44.7%43.4%42.9%44.7%42.9%
Fiscal Year
175
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 187
STATISTICAL SECTION (UNAUDITED)
2014 2015 2016 2017
Operating Rate 45.868 45.234 43.744 42.933
Debt Service Rate 2.702 2.520 2.451 3.267
Total City Direct Rates 48.570 47.754 46.195 46.200
County
Operating Rate 49.959 46.398 45.356 44.087
School District
Operating Rate 16.741 15.642 14.887 12.364
Debt Service Rate 15.617 14.698 13.627 13.247
Other Taxing Districts
St. Louis Park HRA Levy 1.808 1.679 1.634 1.661
Metro Mosquito Control 0.563 0.507 0.483 0.475
Metro Council 1.069 0.976 0.925 0.883
Metro Transit Debt 1.703 1.523 1.491 1.463
Hennepin County HRA 0.514 0.471 0.439 0.497
Hennepin Parks 4.169 3.789 3.601 3.365
Park Museum 0.766 0.702 0.712 0.711
HC Regional Railroad Authority 1.777 1.817 1.879 1.925
Referendum Market Value Based Rate ‐ ‐ ‐ ‐
Watershed 1.806 1.738 1.724 1.738
Total Overlapping Rates 96.492 89.940 86.758 82.416
Total Direct and Overlapping Rates 145.062 137.694 132.953 128.616
Source(s):
Source 1: 2023 Data ‐ Preliminary Official Statement Dated May 23, 2024 for 2024A General Obligation Bonds Issuance
Source 2: Hennipen County "Rate Cards" available on Hennipen County taxing district information
City of St. Louis Park
Overlapping Rates
CITY OF ST. LOUIS PARK, MINNESOTA
PROPERTY TAX RATES ‐ DIRECT AND OVERLAPPING
LAST TEN FISCAL YEARS
176
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Title: Review of 2023 Annual Comprehensive Financial Report Page 188
Table 7
2018 2019 2020 2021 2022 2023
41.759 40.090 38.656 37.652 38.647 36.299
4.624 4.616 4.742 5.203 6.034 6.562
46.383 44.706 43.398 42.855 44.681 42.861
42.808 41.861 41.084 38.210 38.535 34.542
14.506 13.578 13.946 14.273 15.594 16.718
14.529 13.444 13.244 12.205 11.189 8.288
1.718 1.667 1.668 1.699 1.743 1.630
0.456 0.427 0.412 0.381 0.377 0.331
0.844 0.659 0.616 0.631 0.659 0.576
1.383 1.456 1.433 1.256 1.204 1.066
0.457 0.535 0.801 0.722 0.771 0.663
3.161 2.961 2.859 2.793 2.787 2.473
0.710 0.705 0.710 0.707 0.722 0.647
1.962 1.807 1.388 1.323 1.329 1.188
‐ ‐ ‐ ‐ ‐ ‐
1.694 1.569 1.493 1.422 1.368 1.220
84.228 80.669 79.654 75.622 76.278 69.342
130.611 125.375 123.052 118.477 120.959 112.203
Fiscal Year
177
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 189
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 8
PRINCIPAL PROPERTY TAXPAYERS
CURRENT YEAR AND NINE YEARS AGO
Percentage Percentage
of Total of Total
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Value Rank Value Value Rank Value
BOF II MN West End Office Park, LLC 116,000,000$ 1 1.25
10330 029 24 32 0023 LLC 114,904,000 2 1.23
Excelsior & Grand LLC 106,439,000 3 1.14 63,698,000 4 1.24
Park Nocollet Real Estate 86,273,200 4 0.93
MSP West End LLC 80,813,000 5 0.87
Gateway Knollwood, LLC 72,434,000 6 0.78
BOF II MN 10 West End LLC 70,074,000 7 0.75
Middleton Park Place Investors 65,779,000 8 0.71
4800 Excelsior Apartments 53,789,000 9 0.58
Thomson Reuters Prop Tax Ser 52,333,000 10 0.56
Interchange Investors (formerly WHIOP Real Estate)87,000,000 1 1.69
ARC WEMPSMN001, LLC 78,706,000 2 1.53
G & I VII 1600 & Moneygram LLC 69,052,700 3 1.34
PNMC Holdings 56,152,200 5 1.09
West End Office MN, LLC 43,000,000 6 0.83
VIF II/ Park Place East/West LLC 38,372,000 7 0.74
Camerata LLC 36,300,000 8 0.70
Ellipse On Excelsior LLC 35,133,800 9 0.68
36 Park LLC 32,640,000 10 0.63
Total 818,838,200$ 8.80 %476,356,700$ 10.47 %
Total taxable assessed value 9,312,162,650$ 5,152,636,900$
Source(s):
Source 1: 2023 Data ‐ Assessing Division (City of St. Louis Park, MN)
Source 2: 2014 Data ‐ 2014 Annual Comprehensive Financial Report
Taxpayer
2023 2014
178
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 190
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 9
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
Fiscal Year Total Tax
Ended Levy for Percentage Percentage
December 31 Fiscal Year Amount of Levy Amount of Levy
2014 26,527,267$ 26,129,048$ 98.50 26,515,779$ 99.96
2015 27,938,615 27,590,682 98.75 27,906,854 99.89
2016 29,615,682 29,462,804 99.48 29,591,629 99.92
2017 31,350,534 30,559,213 97.48 31,345,761 99.98
2018 32,921,154 32,737,859 99.44 32,891,773 99.91
2019 34,362,862 34,204,350 99.54 34,342,947 99.94
2020 36,103,499 35,746,281 99.01 36,071,063 99.91
2021 37,772,505 37,266,514 98.66 37,653,823 99.69
2022 39,023,549 37,124,572 95.13 38,873,547 99.62
2023 43,144,457 42,662,701 98.88 42,662,701 98.88
Source(s):
Source 1: Data provided related to the collection of taxes from Hennipen County, MN
Source 2: Property tax levies are approved annually by the City of St. Louis Park, MN City Council
Collected Within the
Fiscal Year of the Levy Total Collections to Date
179
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Title: Review of 2023 Annual Comprehensive Financial Report Page 191
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 10
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST TEN FISCAL YEARS
General Special Net Unamortized Net Unamortized Total Percentage
Fiscal Obligation Tax Increment Assessment Lease Subscription Notes Premiums/ Revenue Premiums/ Primary of Personal Per
Year Bonds Bonds Bonds Liabilities (2) Liabilities (3) Payable (Discounts) Bonds (Discounts) Government Income (1) Capita (1)
2014 23,609,091$ 4,520,700$ ‐$ 33,075$ ‐$ ‐$ (25,209)$ 16,826,503$ 126,503$ 45,090,663$ 2.39 951.06
2015 22,445,000 4,175,000 ‐ 24,975 ‐ 2,122,173 (28,920) 13,510,000 106,990 42,355,218 2.26 891.65
2016 31,230,000 3,805,000 ‐ 215,619 ‐ 2,025,297 348,099 10,515,000 91,538 48,230,553 2.46 997.45
2017 33,430,000 3,410,000 ‐ 165,931 ‐ ‐ 497,335 14,070,000 375,930 51,949,196 2.53 1,065.69
2018 33,810,000 2,995,000 3,315,000 180,382 ‐ ‐ 445,293 19,475,000 677,443 57,583,118 2.67 1,174.23
2019 61,100,000 2,560,000 3,170,000 121,005 ‐ ‐ 2,393,817 24,900,000 1,853,981 92,928,803 3.95 1,909.09
2020 60,150,000 2,100,000 2,925,000 81,699 ‐ ‐ 3,082,422 27,870,000 2,194,446 95,478,567 3.87 1,915.93
2021 69,525,000 1,615,000 2,610,000 103,026 ‐ ‐ 3,363,842 26,005,000 1,977,066 102,588,934 2.40 1,265.95
2022 65,840,000 1,105,000 7,190,000 140,862 ‐ ‐ 3,078,042 23,510,000 1,759,686 102,623,590 2.76 1,348.43
2023 61,390,000 570,000 6,870,000 105,354 136,118 ‐ 2,792,242 20,600,000 1,542,977 94,006,691 2.48 1,233.08
Note(s):
Note 1: Details regarding the City's outstanding debt can be found in the notes in the annual comprehensive financial report.
(1) Data was provided by the Federal Census Bureau.
(2) The City implemented GASB 87 for the year ended December 31, 2022. Liabilities listed for earlier years are capital lease payables.
(3) The City implemented GASB 96 for the year ended December 31, 2023. Liabilities listed for earlier years are not restated.
Governmental Activities Business Type Activities
180
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 192
CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 11
RATIOS OF GENERAL BONDED DEBT OUTSTANDING
LAST TEN FISCAL YEARS
Percentage of
Less: Amounts Estimated
General Restricted Net Unamortized Actual Taxable
Fiscal Obligation for Debt Premiums/Value of Per
Year Bonds Service Funds (Discounts)Total Property (1)Capita (2)
2014 23,625,000$ (3,152,137)$ (16,954)$ 20,440,000$ 0.40 431.12
2015 22,445,000 (3,092,198) (20,758) 19,332,044 0.35 406.97
2016 31,230,000 (3,146,018) 355,124 28,439,106 0.48 588.14
2017 33,430,000 (3,325,205) 503,370 30,608,165 0.48 627.90
2018 33,810,000 (4,727,310) 450,186 29,532,876 0.44 602.23
2019 61,100,000 (13,942,465) 2,327,029 49,484,564 0.69 1,019.52
2020 60,150,000 (4,923,698) 3,082,423 58,308,725 0.75 1,170.06
2021 69,525,000 (5,296,548) 3,363,842 67,592,294 0.82 1,280.59
2022 65,840,000 (6,553,029) 3,078,042 62,365,013 0.81 1,305.71
2023 61,390,000 (7,810,235) 2,792,242 56,372,007 0.60 899.71
Note(s):
Note 1: Details regarding the City's outstanding debt can be found in the notes in the annual comprehensive financial report.
(1) Data was provided by Hennepin County, MN and the City's Assessing Division
(2) Data was provided by the Federal Census Bureau
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 12
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
AS OF DECEMBER 31, 2023
Share of
Debt Percentage Overlapping
Outstanding (1) Applicable (2)Debt
Overlapping Debt
Hennepin County 1,071,970,000$ 1.76 % 37,394,242$
St. Louis Park Independent School District 247,260,000 99.39 243,082,989
Hopkins Independent School District 143,190,000 3.00 4,171,684
Edina Independent School District 173,695,000 0.05 85,121
Hennepin County Suburban Park District 54,980,000 4.89 2,428,133
Hennepin Regional RR Authority 81,665,000 3.54 2,854,034
Metropolitan Council 238,225,000 1.76 1,579,127
Subtotal of Overlapping Debt 2,010,985,000 291,595,330
Direct Debt
City of St. Louis Park 69,921,892 100.00 69,921,892$
Total of Direct and Overlapping Debt 2,080,906,892$ 361,517,222$
Source(s):
Source 1: Data provided by Hennepin County, Minnesota
Note(s):
Note 1: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City of St. Louis Park.
This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents
and businesses of the City of St. Louis Park. This process recognizes that, when considering the City's ability to issue and
repay long‐term debt, the entire burden borne by the residents and businesses should be taken into account. However, this
does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt of each overlapping government
(1) Net debt which excludes revenue and special assessment bonds.
(2) The percentage applicable to the City of St. Louis Park was determined by dividing the portion of tax capacity within the City by the
total tax capacity of the of the taxing jurisdiction.
Governmental Unit
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
LEGAL DEBT MARGIN INFORMATION
LAST TEN FISCAL YEARS
2014 2015 2016 2017
Debt Limit 154,579,107$ 163,979,667$ 176,182,830$ 190,181,436$
Total Net Debt Applicable to Limit 18,053,460 17,063,045 23,934,703 28,375,000
Legal Debt Margin 136,525,647$ 146,916,622$ 152,248,127$ 161,806,436$
Total Net Debt Applicable to the Limit as
a percentage of Debt Limit 11.68%10.41%13.59%14.92%
Legal Debt Margin Calculation for Fiscal Year
Estimated Taxable Market Value 5,152,636,900$ 5,465,988,900$ 5,872,761,000$ 6,339,381,200$
Debt Limit (3% of taxable market value)154,579,107$ 163,979,667$ 176,182,830$ 190,181,436$
Debt applicable to limit
Total Bonded Debt 45,090,663$ 42,355,218$ 45,550,000$ 50,910,000$
Less:
G.O. Revenue Bonds (16,826,503) (13,510,000) (10,515,000) (14,070,000)
G.O. Improvement Bonds (5,690,000) (5,485,000) (5,270,000) (5,055,000)
G.O. Tax Increment Bonds (4,520,700) (4,175,000) (3,805,000) (3,410,000)
Notes payable ‐ (2,122,173) (2,025,297) ‐
Total Net Debt Applicable to Limit:18,053,460 17,063,045 23,934,703 28,375,000
Legal Debt Margin:136,525,647$ 146,916,622$ 152,248,127$ 161,806,436$
Source(s):
Source 1: Estimated taxable market value was provided by City's Assessing Division and Hennepin County, MN taxing district information.
Source 2: Data regarding bonded information was provided by City's Finance Division
Note(s):
Note 1: Under State of Minnesota law, the City of St. Louis Park's outstanding general obligation debt should not exceed 3 percent
of the market value of the taxable property. By law, the general obligation debt subject to the limitation may be offset by amounts
set aside for the extinguishment of those obligations.
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Table 13
2018 2019 2020 2021 2022 2023
200,205,657$ 216,158,655$ 233,056,815$ 246,129,513$ 256,653,324$ 282,832,302$
28,975,000 56,450,000 55,790,000 65,525,000 62,205,000 58,740,000
171,230,657$ 159,708,655$ 177,266,815$ 180,604,513$ 194,448,324$ 224,092,302$
14.47%26.12%23.94%26.62%24.24%20.77%
6,673,521,900$ 7,205,288,500$ 7,768,560,500$ 8,204,317,100$ 8,555,110,800$ 9,427,743,400$
200,205,657$ 216,158,655$ 233,056,815$ 246,129,513$ 256,653,324$ 282,832,302$
56,280,000$ 88,560,000$ 90,120,000$ 97,145,000$ 90,455,000$ 82,850,000$
(19,475,000) (24,900,000) (27,870,000) (26,005,000) (23,510,000) (20,310,000)
(4,835,000) (4,650,000) (4,360,000) (4,000,000) (3,635,000) (3,230,000)
(2,995,000) (2,560,000) (2,100,000) (1,615,000) (1,105,000) (570,000)
‐ ‐ ‐ ‐ ‐ ‐
28,975,000 56,450,000 55,790,000 65,525,000 62,205,000 58,740,000
171,230,657$ 159,708,655$ 177,266,815$ 180,604,513$ 194,448,324$ 224,092,302$
Fiscal Year
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 14
PLEDGED REVENUE BOND COVERAGE
LAST TEN FISCAL YEARS
Less:Net
Fiscal Gross Operating Revenue
Year Revenue 2 Expenses 3 Available Principal Interest Coverage
2014 13,277,524 (10,514,981) 2,762,543 1,015,000 352,614 2.02
2015 14,379,975 (9,041,931) 5,338,044 1,045,000 4 381,359 3.74
2016 15,481,494 (10,328,560) 5,152,934 1,155,000 5 301,051 3.54
2017 16,495,157 (10,186,997) 6,308,160 1,360,000 6 197,658 4.05
2018 16,851,218 (11,354,272) 5,496,946 1,375,000 320,608 3.24
2019 17,827,318 (11,848,046) 5,979,272 2,095,000 543,388 2.27
2020 19,334,536 (11,095,215) 8,239,321 2,065,000 697,976 2.95
2021 20,311,000 (11,982,334) 8,328,666 2,135,000 858,728 2.78
2022 21,582,506 (11,883,813) 9,698,693 2,505,000 824,730 2.91
2023 22,665,949 (13,346,604) 9,319,345 2,630,000 736,665 2.77
Note(s):
Note 1: Details regarding the government's outstanding debt can be found in the notes to the annual comprehensive financial report
1 Includes Water Utility, Sewer Utility and Storm Water Utility revenue bonds.
2 Gross revenue includes investment income and excludes intergovermental and miscellaneous revenues
3 Expenses exclude depreciation, interest on bonds and miscellaneous expenses
4 Excludes $2,145,000 refunded principal paid through cash with fiscal agent.
5 Excludes $1,840,000 refunded principal paid through cash with fiscal agent.
6 Excludes $1,555,000 refunded principal paid through issuance of 2017A bonds.
Debt Service
Revenue Bonds1
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
DEMOGRAPHIC STATISTICS
LAST TEN FISCAL YEARS
Personal Income
(amounts
expressed Per Capita Median School Unemployment
Year Population (1) in thousands) Income (1) Age (1) Enrollment (2) Rate (3)
2014 47,411 1,884,398 39,746 35.4 4,590 2.6
2015 47,502 1,876,424 39,502 35.5 4,590 2.3
2016 48,354 1,962,641 40,589 35.2 4,627 2.9
2017 48,747 2,053,370 42,123 35.7 4,571 2.1
2018 49,039 2,157,275 43,991 35.7 4,560 2.2
2019 48,677 2,286,261 46,968 35.6 4,692 2.5
2020 49,834 2,469,026 49,545 35.3 5,000 5.2
2021 50,010 2,639,628 52,782 36.1 4,523 3.0
2022 48,827 2,721,470 55,737 35.6 4,373 1.8
2023 49,786 3,119,392 62,656 36.0 4,476 2.1
Source(s):
(1) Data was provided by the Federal Census Bureau
(2) School enrollment data was provided by the Minnesota Department of Education (MDE)
(3) Data provided by the Metropolitan Council, MN
Table 15
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 16
PRINCIPAL EMPLOYERS
CURRENT YEAR AND NINE YEARS AGO
Employees Rank Employees Rank
Park Nicollet Health Services and Methodist Hospital 4,650 1 12.1 % 5,763 1 21.1 %
Wells Fargo Mortgage 1,100 2 2.9
St. Louis Park Public Schools (I.S.D. No. 283)1,000 3 2.6 702 2 2.6
Japs‐Olson Company 600 4 1.6 650 4 2.4
RAYUS Radiology (formerly Center for Diagnostic Imaging)450 5 1.2 ‐
Sholom Home West 420 6 1.1 650 3 2.4
Target (formerly Super Target)405 7 1.1 405 5 1.5
MoneyGram International 400 8 1.0 251 8 0.9
Cub Foods 300 9 0.8
Lifetime Fitness 300 10 0.8 300 7 1.1
St. Louis Park, City of 336 6 1.2
Epicor Software Corporation 250 9 0.9
Golden Living Center 230 10 0.8
Total 9,625 25.20 % 9,537 34.90 %
Total City employment 38,316 27,369
Source(s):
Source 1: 2023 Data ‐ Preliminary Official Statement Dated May 23, 2024 for 2024A General Obligation Bonds Issuance
Source 2: 2023 Data ‐ Total City Employment: Met Council Community Profile website
of Total City of Total City
Employer Employment Employment
Percentage Percentage
2023 2014
Fiscal Year Fiscal Year
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)
FULL‐TIME EQUIVALENT EMPLOYEES BY FUNCTION
LAST TEN FISCAL YEARS
2014 2015 2016 2017
Function
General government 88.4 89.4 91.6 97.9
Public safety
Police
Officers 53.0 55.0 55.0 57.0
Civilians 35.0 35.0 35.0 35.0
Fire
Firefighters and officers 24.0 25.0 26.0 28.0
Operations and recreation and Engineering 34.0 35.0 35.0 28.1
Water 11.2 11.5 11.4 12.5
Sewer 5.5 6.0 6.0 6.4
Solid Waste 4.7 5.8 5.8 5.3
Storm Water 6.2 6.7 6.7 7.1
Total Employees 262.0 269.4 272.5 277.3
Source(s):
Source 1: Data & records maintained in the Human Resources Division of the City of St. Louis Park, MN
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Table 17
2018 2019 2020 2021 2022 2023
91.8 93.9 128.0 126.8 129.0 127.8
57.0 57.0 58.0 58.0 58.0 60.0
35.0 36.0 15.0 15.0 16.0 15.0
28.0 28.0 28.0 30.0 30.0 31.0
35.0 36.0 37.0 37.0 38.0 28.7
14.6 12.2 9.7 9.0 18.0 11.0
5.1 6.1 6.0 7.0 ‐ 7.5
4.9 5.6 3.0 3.0 3.0 5.0
6.2 6.8 4.0 4.0 1.0 7.0
277.6 281.6 288.7 289.8 293.0 293.0
Fiscal Year
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 18
OPERATING INDICATORS BY FUNCTION
LAST TEN FISCAL YEARS
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Police
Medical calls 2,391 3,756 3,623 3,705 4,375 4,479 3,559 3,683 3,947 3,798
Traffic stops 6,907 6,692 6,939 7,401 6,267 3,956 3,352 3,429 2,700 5,229
Other 27,752 29,299 31,462 31,052 31,882 37,399 43,757 44,508 40,164 50,331
Fire
Inspections/medical/all other calls 4,747 5,118 6,130 5,513 6,308 5,712 5,032 5,301 5,648 5,844
Fire calls ‐ residential/structural 116 135 53 202 297 95 87 130 44 34
Fire calls ‐ other 91 115 41 85 68 50 40 198 76 85
Cable TV
Hours of new programming 311 400 400 368 362 377 249 377 382 425
Inspections
Permits 11,111 9,684 10,099 11,246 10,106 10,619 11,215 12,180 11,305 11,208
Inspections 32,543 23,031 23,372 28,484 25,187 21,419 23,090 26,928 26,091 25,845
Culture and recreation
Aquatic park attendance 51,894 68,355 72,439 65,665 71,977 65,000 26,762 39,963 28,649 65,102
Hours of ice time 4,773 4,626 4,125 6,000 6,400 6,900 4,460 5,718 6,650 6,550
Water
Gallons of water production (billions)2.09 2.01 1.78 1.79 1.91 1.83 1.77 1.90 1.96 2.03
Average watermain breaks per year 40 41 20 11 38 33 33 29 28 11
Public Works
Snowplowing hours 3,752 2,284 3,781 2,859 5,466 4,334 2,546 3,275 4,483 3,751
Source(s):
Source 1: Data above is retained by departments and divisions of the City of St. Louis Park, MN
Fiscal Year
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CITY OF ST. LOUIS PARK, MINNESOTA
STATISTICAL SECTION (UNAUDITED)Table 19
CAPITAL ASSET STATISTICS BY FUNCTION
LAST TEN FISCAL YEARS
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Function
Public safety
Police
Stations 1 1 1 1 1 1 1 1 1 1
Patrol units 25 28 28 29 29 29 29 29 35 35
Fire
Stations 2 2 2 2 2 2 2 2 2 2
Vehicles 13 10 14 15 15 15 15 15 15 15
Fire hydrants 1,699 1,699 1,772 1,773 1,774 1,774 1,774 1,774 1,774 1,774
Culture and recreation
Parks 57 52 53 53 53 53 53 53 53 53
Trails 10 10 22 22 22 22 22 22 22 22
Streets
Lane miles of streets 311 311 311 311 311 311 311 311 417 417
Miles of streets 155 155 155 155 155 155 155 155 149 149
Water
Wells 11 10 10 10 10 10 10 10 9 9
Water treatment plants 6 6 6 6 6 6 6 6 6 6
Miles of watermain 160 160 175 175 175 175 175 178 159 159
Sanitary Sewer
Lift stations 23 23 23 23 23 23 23 23 23 23
Miles of sewermain 147 147 143 143 143 143 143 144 137 137
Storm Sewer
Lift stations 10 10 10 11 11 11 11 11 12 12
Ponds and lakes 52 52 52 52 52 52 52 51 99 99
Catch basins 3,731 3,731 3,885 3,885 3,940 3,940 3,940 4,143 4,129 4,129
Source(s):
Source 1: Data is retained by departments and divisions of the City of St. Louis Park, MN
Fiscal Year
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400 Robert Street North, Suite 1600, St. Paul, MN, 55101 651.426.7000 www.redpathcpas.com
MINNESOTA LEGAL COMPLIANCE REPORT
To the Honorable Mayor and
Members of the City Council
City of St. Louis Park, Minnesota
We have audited, in accordance with auditing standards generally accepted in the United
States of America and the standards applicable to financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States, the financial
statements of the governmental activities, the business‐type activities, each major fund,
and the aggregate remaining fund information of the City of St. Louis Park, Minnesota, as of
and for the year ended December 31, 2023, and the related notes to the financial
statements, which collectively comprise the City of St. Louis Park, Minnesota’s basic
financial statements, and have issued our report thereon dated June 26, 2024.
In connection with our audit, we noted that the City of St. Louis Park, Minnesota failed to
comply with provisions of the claims and disbursements and miscellaneous provisions
sections of the Minnesota Legal Compliance Audit Guide for Cities, promulgated by the
State Auditor pursuant to Minn. Stat. § 6.65, insofar as they relate to accounting matters as
described in the Schedule of Findings and Questioned Costs as items 2023‐003 and 2023‐
004.Also, in connection with our audit, nothing came to our attention that caused us to
believe that the City of St. Louis Park, Minnesota failed to comply with the provisions of the
conflicts of interest, contracting – bid laws, depositories of public funds and public
investments, public indebtedness, and tax increment financing sections of the Minnesota
Legal Compliance Audit Guide for Cities, insofar as they relate to accounting matters.
However, our audit was not directed primarily toward obtaining knowledge of such
noncompliance. Accordingly, had we performed additional procedures, other matters may
have come to our attention regarding the City of St. Louis Park, Minnesota’s noncompliance
with the above referenced provisions, insofar as they relate to accounting matters.
Government Auditing Standards requires the auditor to perform limited procedures on the
City of St. Louis Park, Minnesota’s response to the legal compliance findings identified in our
audit and described in the accompanying Schedule of Findings and Questioned Costs. The
City of St. Louis Park, Minnesota’s response was not subjected to the other auditing
procedures applied in the audit of the financial statements and, accordingly, we express no
opinion on the response.
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 207
The purpose of this report is solely to describe the scope of our testing of compliance and
the results of that testing, and not to provide an opinion on compliance. Accordingly, this
communication is not suitable for any other purpose.
REDPATH AND COMPANY, LLC
St. Paul, Minnesota
June 26, 2024
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 208
City of St. Louis Park, Minnesota
Schedule of Findings and Questioned Costs
For The Year Ended December 31, 2023
2023-003 Prompt Payment
Criteria: Minnesota Statutes require prompt payment of local government bills. MS 471.425 Subd. 2. Reads in
part:
Subd. 2.Payment required.
A municipality must pay each vendor obligation according to the terms of the contract or, if no
contract terms apply, within the standard payment period unless the municipality in good faith
disputes the obligation.
Condition: During the course of our audit we identified an instance where a City obligation was not paid
within the required timeframe.
A PERA pension contribution payment of $252,497 relating to payroll on December 27, 2023, was
not made until March 13th 2024.
Cause: Our understanding is that turnover within the finance department is a contributing factor.
Additionally, lack of timely bank reconciliation as noted in finding 2023-001 may be a contributing factor to
the untimely PERA payment.
Effect: The City is not in compliance with MS 471.425.
Recommendation: We recommend that the City continue efforts to maintain compliance with State
Statutes.
Views of Responsible Officials: Finance Division agrees with this finding. Minnesota State Statute requires
public entities to make payments within 35 days, instances existed in 2023 where payments were made after
35 days. Benefits and payroll is a multi-department process and staff will work to make sure processes are as
efficient as possible and review appropriate state statutes with all staff involved.
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 209
City of St. Louis Park, Minnesota
Schedule of Findings and Questioned Costs
For The Year Ended December 31, 2023
2023-004 – Public Purpose Expenditures
Criteria: The Office of the State Auditor’s Legal Compliance Guide for Cities, in accordance with the cited
Attorney General Opinions, requires (in part) that cities:
Refrain from donating money to people, nonprofit organizations and charities unless allowed by
specific authority
Refrain from paying for Christmas parties and other employee social events
Ops. Atty. Gen. 442a17, Jan. 17, 1938; 59a22, Nov. 23, 1966; 270-D, Aug. 12, 1977; 174E, March 24, 1970
Condition: During the course of our audit, we identified several instances of noncompliance or potential
noncompliance with the Office of the State Auditor’s Legal Compliance Guide as follows:
The City disbursed $6,500 to a nonprofit organization as a contribution towards the organization’s
insurance expense. We were unable to identify authorization for this contribution
The City made payments to or on behalf of a nonprofit organization totaling $555 in support of the
nonprofit’s fair and Christmas event.
The City disbursed $2,581 for catering services for the fire department. Our understanding is that
the catering was part of a recognition event for firefighters and guests. We were unable to identify
authorization to hold this recognition event.
Cause: Unknown.
Effect: The effect of noncompliance is not determinable.
Recommendation: We recommend the City follow the Minnesota Public Purpose Doctrine by ensuring all
expenditures have a public purpose and that the City has a specific or implied authority for the
expenditure that arose out of a statute or from the City’s charter.
Views of Responsible Officials: Finance Division agrees with this finding. Compliance with Minnesota’s Public
Purpose is a focus for the City staff to be a safeguard of public funds. Extensive training has been provided to
city staff and council in 2024 to ensure compliance.
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 210
400 Robert Street North, Suite 1600, St. Paul, MN, 55101 651.426.7000 www.redpathcpas.com
COMMUNICATION WITH THOSE CHARGED WITH GOVERNANCE
To the Honorable Mayor and
Members of the City Council
City of St. Louis Park, Minnesota
We have audited the financial statements of the governmental activities, the business‐type
activities, each major fund, and the aggregate remaining fund information of the City of St.
Louis Park, Minnesota for the year ended December 31, 2023. Professional standards require
that we provide you with information about our responsibilities under generally accepted
auditing standards and Government Auditing Standards, as well as certain information related
to the planned scope and timing of our audit. We have communicated such information in our
letter to you dated June 10, 2024. Professional standards also require that we communicate to
you the following information related to our audit.
Significant Audit Matters
Qualitative Aspects of Accounting Practices
Management is responsible for the selection and use of appropriate accounting policies. The
significant accounting policies used by the City of St. Louis Park, Minnesota are described in
Note 1 to the financial statements. As described in Note 16 to the financial statements, the City
of St. Louis Park, Minnesota adopted new accounting guidance for 2023, Governmental
Accounting Standards Board Statement No. 96, Subscription‐Based Information Technology
Arrangements. We noted no transactions entered into by the City of St. Louis Park, Minnesota
during the year for which there is a lack of authoritative guidance or consensus. All significant
transactions have been recognized in the financial statements in the proper period.
Accounting estimates are an integral part of the financial statements prepared by management
and are based on management’s knowledge and experience about past and current events and
assumptions about future events. Certain accounting estimates are particularly sensitive
because of their significance to the financial statements and because of the possibility that
future events affecting them may differ significantly from those expected.
The most sensitive estimates affecting the financial statements are the:
Estimated present value of the lease receivables, lease liabilities, and the subscription‐
based information technology arrangement (SBITA) liability
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 211
City of St. Louis Park, Minnesota
Communication With Those Charged With Governance
Page 2
Estimates used to calculate the net pension liability and OPEB liability, the pension and
OPEB related deferred outflows and inflows of resources, and pension and OPEB
expense.
These estimates are based on the City of St. Louis Park, Minnesota’s estimated incremental
borrowing rates, rates stated in applicable lease agreements, and actuarial studies. We
evaluated the key factors and assumptions used to develop the estimates in determining that
they are reasonable in relation to the financial statements taken as a whole.
Certain financial statement disclosures are particularly sensitive because of their significance to
financial statement users. Determining sensitivity is subjective, however, we believe the
disclosures most likely to be considered sensitive are Note 7 – Defined Benefit Pension Plans
and Note 14 H – Subsequent events.
The financial statement disclosures are neutral, consistent, and clear.
Difficulties Encountered in Performing the Audit
We encountered no difficulties in dealing with management in performing and completing our
audit.
Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified
during the audit, other than those that are clearly trivial, and communicate them to the
appropriate level of management. There were no uncorrected misstatements that have an
effect on our opinion on the financial statements. The uncorrected misstatements or the
matters underlying them could potentially cause future period financial statements to be
materially misstated, even though, in our judgment, such uncorrected misstatements are
immaterial to the financial statements under audit. The following material misstatement
detected as a result of audit procedures was corrected by management:
Intergovernmental revenues due from other agencies was adjusted by
approximately $1,865,000 to record year‐end receivables consistently with the City’s
revenue recognition policies. This adjustment had no net impact on ending fund
balance for the fund‐based statements.
Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting,
reporting or auditing matter, whether or not resolved to our satisfaction, that could be
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 212
City of St. Louis Park, Minnesota
Communication With Those Charged With Governance
Page 3
significant to the financial statements or the auditor’s report. We are pleased to report that no
such disagreements arose during the course of our audit.
Management Representations
We have requested certain representations from management that are included in the
management representation letter dated June 26, 2024.
Management Consultations with Other Independent Accountants
In some cases, management may decide to consult with other accountants about auditing and
accounting matters, similar to obtaining a “second opinion” on certain situations. If a
consultation involves application of an accounting principle to the City of St. Louis Park,
Minnesota’s financial statements or a determination of the type of auditor’s opinion that may
be expressed on those statements, our professional standards require the consulting
accountant to check with us to determine that the consultant has all the relevant facts. To our
knowledge, there were no such consultations with other accountants.
Other Audit Findings or Issues
We generally discuss a variety of matters, including the application of accounting principles and
auditing standards, with management each year prior to retention as the City of St. Louis Park,
Minnesota’s auditors. However, these discussions occurred in the normal course of our
professional relationship and our responses were not a condition to our retention.
During the course of our audit, it came to our attention that interest is not being accrued on the
Rise on 7 Interfund Loan. The applicable loan agreement calls for interest accruals, estimated at
December 31, 2023 to be $ $102,000. We recommend that the City either begin accruing
interest on these loans, or amend the loan agreement to eliminate interest accruals on the
loans.
Other Matters
We applied certain limited procedures to the management’s discussion and analysis, budgetary
comparison schedules, and schedules of OPEB and pension information, which are required
supplementary information (RSI) that supplements the basic financial statements. Our
procedures consisted of inquiries of management regarding the methods of preparing the
information and comparing the information for consistency with management’s responses to
our inquiries, the basic financial statements, and other knowledge we obtained during our audit
of the basic financial statements. We did not audit the RSI and do not express an opinion or
provide any assurance on the RSI.
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 213
City of St. Louis Park, Minnesota
Communication With Those Charged With Governance
Page 4
We were engaged to report on the individual and combining nonmajor fund financial
statements and schedules, which accompany the financial statements but are not RSI. With
respect to this supplementary information, we made certain inquiries of management and
evaluated the form, content, and methods of preparing the information to determine that the
information complies with accounting principles generally accepted in the United States of
America, the method of preparing it has not changed from the prior period, and the
information is appropriate and complete in relation to our audit of the financial statements.
We compared and reconciled the supplementary information to the underlying accounting
records used to prepare the financial statements or to the financial statements themselves.
We were not engaged to report on the introductory and statistical sections, which accompany
the financial statements but are not RSI. Such information has not been subjected to auditing
procedures applied in the audit of the basic financial statements, and accordingly, we do not
express an opinion or provide any assurance on it.
Restriction on Use
This information is intended solely for the information and use of the City of St. Louis Park,
Minnesota’s City Council and management and is not intended to be, and should not be, used
by anyone other than these specified parties.
REDPATH AND COMPANY, LLC
St. Paul, Minnesota
June 26, 2024
Study session meeting of August 12, 2024 (Item No. 2)
Title: Review of 2023 Annual Comprehensive Financial Report Page 214
Meeting: Study session
Meeting date: August 12, 2024
Written report: 3
Executive summary
Title: Development proposal for 5401 Gamble Drive – Ward 4
Recommended action: Please provide staff with feedback on the proposed redevelopment.
Policy consideration:
• Is the city council generally supportive of the proposed redevelopment concept?
• Is the city council willing to consider a rezoning to a planned unit development?
• Is the city council willing to consider a drive-thru in this location if it is well designed and
screened?
• Is the EDA willing to consider providing tax increment financing for this project?
Summary: Hempel has a purchase agreement for 5401 Gamble Drive. The redeveloper
proposes to redevelop one of the West End Office Towers and construct a six story, 223-unit
mixed-use building with 21,000 square feet of commercial space and may include a grocer.
Parking would be provided underground and in a surface lot.
The housing would be mixed income with 47 affordable units (20%) available to households
earning up to 50% of area median income (AMI), exceeding the city’s inclusionary housing
policy requirements. Seven three-bedroom units are included in the proposal to assist in
meeting the city council’s goals for family-sized housing. Staff are also working with the
redeveloper to include some 30% AMI units in the development. The development would be
subject to the city’s green building policy, and in so doing Hempel will likely pursue LEED silver
certification. The building will include at least 40 kw photovoltaic panels on the building’s roof.
The redeveloper intends to submit applications for a preliminary and final plat and a
preliminary and final planned unit development. Hempel has also indicated its desire to pursue
additional phases if the other West End Office Park sites become available. Therefore, it is
recommended that the redeveloper complete an environmental assessment worksheet (EAW)
for the area to determine any impacts to the surrounding traffic and utility infrastructure that
may occur with a larger redevelopment.
Financial or budget considerations: The redeveloper indicates there are extraordinary costs
associated with the proposed redevelopment which preclude the project from achieving a
market rate of return. Consequently, the redeveloper intends to apply for tax increment
financing assistance through the establishment of a housing TIF district.
Strategic priority consideration: St. Louis Park is committed to providing a broad range of
housing and neighborhood oriented development.
Supporting documents: Discussion; development concept plans; letter from developer
Prepared by: Jennifer Monson, redevelopment administrator
Laura Chamberlain, senior planner
Reviewed by: Sean Walther, planning manager
Greg Hunt, economic development manager
Karen Barton, community development director
Approved by: Kim Keller, city manager
Study session meeting of August 12, 2024 (Item No. 3) Page 2
Title: Development proposal for 5401 Gamble Drive – Ward 4
Discussion
Site information: The proposed redevelopment site is located at 5401 Gamble Drive, on the
southeast corner of Park Place Boulevard and Gamble Drive, immediately south of the Shops at
West End. The site is in the Blackstone neighborhood.
Site map:
Site area (acres): 3.31 acres
Study session meeting of August 12, 2024 (Item No. 3) Page 3
Title: Development proposal for 5401 Gamble Drive – Ward 4
Current use: Surrounding land uses:
Office tower North: Shops at West End
East: West End Office Park
South: West End Office Park
West: Costco gas station
Current 2040 land use guidance Current zoning
OFC- office O office
Proposed 2040 land use guidance Proposed zoning
OFC - office PUD planned unit development
Background: In 2023, Eden Prairie-based Hempel Real Estate purchased the Shops at West End.
Since its purchase, Hempel has further invested in the property invigorating the shopping area
by attracting new commercial, service, and office tenants including Kiddiwampus, Marcus
Theaters, Polestar, Boketto, the Artisan Store and Makerspace, and more. However, Hempel
has yet to activate the south end of the shopping area.
Hempel would like to pursue additional development to bring activity to the south end of the
shopping area by creating a large commercial draw and additional residential units, bringing
more people to the area throughout the day, not just during typical working hours.
Present considerations: Hempel has a purchase agreement for 5401 Gamble Drive. The
redeveloper proposes to redevelop the northwest office tower located within the West End
Office Towers complex, and construct a six story, 223-unit mixed-use building with 21,000
square feet of commercial space, potentially including a grocer, restaurant and coffee shop.
Parking for residential units would be provided underground and commercial and guest parking
would be located in a surface lot.
The redeveloper proposes the coffee shop on the south end of the building facing Park Place
Boulevard include a drive-thru. As designed, the drive-thru would be parallel to Park Place
Boulevard but would be screened adjacent to the sidewalk. For aesthetic, sustainability, and
urban design reasons, staff have encouraged the redeveloper to remove the drive-thru from
the project plans. The present office zoning district allows drive-thrus (in-vehicle sales and
service) with a conditional use permit. Hempel indicates that income generated from the
revenue of the drive-thru helps increase the net operating income for the development.
Without the drive-thru, the project’s financial gap would further increase, necessitating a
greater request for financial assistance. Hempel has requested city council consider the
attached letter outlining Hempel’s development proposal and its desire to include a drive-thru
as part of the project.
The redeveloper intends to request the city rezone the site from O-Office to PUD planned unit
development. A rezoning to a PUD would allow the site to utilize the residential density allowed
in the city’s 2040 Comprehensive Plan office land use category, which allows up to 125 units per
acre.
Study session meeting of August 12, 2024 (Item No. 3) Page 4
Title: Development proposal for 5401 Gamble Drive – Ward 4
Proposed concept rendering
Proposed development concept site plan
Study session meeting of August 12, 2024 (Item No. 3) Page 5
Title: Development proposal for 5401 Gamble Drive – Ward 4
Inclusionary housing policy: As proposed the development would double the city’s inclusionary
housing policy requirements by providing 47 units (20%) available to households earning up to
50% of area median income (AMI) for 26 years. The redeveloper intends to apply for tax
increment financing to help offset a portion of the site’s extraordinary costs in order to fill the
financial gap in the project’s proforma. The site only qualifies for a Housing TIF district, which
requires 20% of the units to be affordable to households earning up to 50% AMI or 40% of the
units be affordable to households earning up to 60% AMI. The plans also include seven three-
bedroom units to assist in meeting the city council’s goals for family-sized housing. Staff are
also working with the redeveloper to include some 30% AMI units in the development.
Green building policy: The development will be required to meet the city’s green building
policy. This will be the first building required to follow the updated policy adopted in early
2023. To meet policy requirements the redeveloper plans to pursue LEED Silver certification
which may include the following: LED lighting, low VOC materials, construction waste recycling,
higher efficiency HVAC systems, low flow fixtures and recycled content materials. The building
will also include at least a 40kw rooftop solar array.
Request for financial assistance: The redeveloper has determined that there are extraordinary
costs associated with the proposed redevelopment which preclude the project from achieving a
market rate of return. Consequently, the redeveloper intends to apply for tax increment
financing assistance through the establishment of a housing TIF district. Should the council/EDA
wish to pursue the proposed development, staff will work with the EDA’s financial consultant,
Ehlers, to verify whether in fact a financial gap exists in the project’s financial proforma and
determine the appropriate level of assistance, if any.
Diversity, equity and inclusion policy: If financial assistance is provided the development is
required to adhere to the city’s diversity equity and inclusion policy related to the hiring of
BIPOC/AAPI and women-owned business enterprises and workforce goals.
The development would seek to comply with the following diversity, equity and inclusion
participation business and workforce participation goals:
Participation Goals Women BIPOC/AAPI
Business Organization 10% 13%
Business Enterprises 6% 13%
Workforce 20% 32%
Peripheral Enterprises 6% 13%
Next steps: If city council supports the proposed redevelopment concept, staff will work with
the redeveloper to begin the process of completing an Environmental Assessment Worksheet
(EAW) for the four lots in the West End Office Park to determine what impacts to the
surrounding traffic and utility infrastructure may occur with a larger redevelopment.
Completing the EAW is a several-month process.
While the EAW is being completed, the redeveloper will start working on more detailed concept
plans and engineered drawings. Hempel also intends to submit an application for TIF assistance
Study session meeting of August 12, 2024 (Item No. 3) Page 6
Title: Development proposal for 5401 Gamble Drive – Ward 4
for the EDA’s consideration. A summary of future actions is outlined below. The redeveloper
would like to begin construction on the building in April 2025.
Previous/future actions Governing body Date
Consider distribution of the EAW in the Environmental
Quality Board Monitor
City Council TBD
Consider EAW Finding of Fact and Record of Decision City Council TBD
EDA receives report outlining the request for financial
assistance
EDA TBD
Public hearing and recommendation on preliminary and
final plat and preliminary and final PUD
Planning Commission TBD
EDA receives report summarizing business terms related
to the contract for private development
EDA TBD
Consider approval of preliminary and final plat and 1st
reading of the PUD ordinance
City Council TBD
Consider 2nd reading of the PUD ordinance City Council TBD
Consider establishing a housing TIF District EDA/City Council TBD
Consider approval of the contract for private
development
EDA TBD
ATM
TUSHIE MONTGOMERY
terasă | 08.01.2024 Cover Sheet | P0
5401 Gamble Drive, St. Louis Park, MN 55416 | 224125A
terasă
Sheet Index
P0 | Cover Sheet
P1 | Site Plan
P2 | Floor Plan- Levels -1 & 1
P3 | Floor Plan- Levels 2 & 3
P4 | Floor Plan- Levels 4 & 5
P5 | Floor Plan- Level 6
P6 | Elevations
P7 | Perspectives
P8 | Schematic Rendering
P9 | Schematic Rendering
P10 | Schematic Rendering
P11 | Shadow Study
P12 | Shadow Study
P13 | City Exhibit
P14 | City Exhibit
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 7
6-Story Mixed Used
Level 1: Retail & Apartment Lobby
Levels 2-6: Apartment Units
1-Story Apt.1-Story RetailSurface Parking
134 Stalls
1-Story
4-Story4-Story
5-Story
5353 Gamble Dr.5354 Parkdale Dr.1
S10
6-Story Mixed Used
Level 1: Retail & Apartment Lobby
Levels 2-6: Apartment Units
1-Story Apt.1-Story RetailSurface Parking
134 Stalls
1-Story
4-Story
4-Story
5-Story
ATM
TUSHIE MONTGOMERY
terasă | 08.01.2024 Site Plan | P1
5401 Gamble Drive, St. Louis Park, MN 55416 | 224125A
SCALE:1" = 160'-0"
2 Key Plan- Site
SCALE:1" = 60'-0"
1 Site Plan
Proposed 6-StoryMixed Use Building
6-Story Mixed UseLevel 1: Retail & Apartment LobbyLevels 2-6: Apartment Units
Surface Parking134 StallsPark Place Blvd.Gamble Dr.
Site Triangle- 50'
Site Triangle- 50'
GarageEntry
ServiceEntry +PedestrianCorridor
Bus Lane5-Story
4-Story
2-Story
4-Story
2-Story
5-Story
ProposedGreenspace
Extension of West End Blvd.Apt. EntryDrop-Off Lane5353 Gamble Dr.5354 Gamble Dr.Current TransitShelter Location
ProposedLocation of NewTransit Shelter
Free-StandingScreen Wall
Traffic BarrierArms Drive Thru Entry
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 8
Primary Material
Accent Material #1
Aluminum + Glass Railing
Accent Fin Element
Accent Material #2
Free-Standing
Screen Wall
Transit Shelter
Accent Fin Element
Aluminum Balcony
Primary Material
Accent Material #2
Accent Material #1
Metal Awning
Masonry #1
Storefront Glazing
Primary Material
Retail Signage
Storefront Glazing
Masonry #1
Aluminum Balcony
Primary Material
Accent Material #2
Aluminum+Glass Railing
Accent Material #1
Perforated Metal
Screen
Metal Awning
Retail Signage
Storefront Glazing
Masonry #1
Accent Material #1
Primary Material
Accent Material #2
Storefront Glazing
Masonry #1
Accent Fin Element
Accent Material #1
Aluminum + Glass Railing
Primary Material
Aluminum Balcony
Perforated Metal
Screen
Metal Awning
Primary Material
Accent Material #2
Accent Material #1
Material Key
Primary Material
Alt. 1: Stucco
Alt. 2: Metal Panel
Off-White/ Light Beige
Varied Reveals
Type:
Color:
Other:
Accent Material #1
Metal Panel
Alt. 1: Anodized Copper
Alt. 2: Wood-Look
Vertically Oriented
Type:
Color:
Other:
Accent Material #2
Alt. 1: Metal Panel
Alt. 2: Fiber Cement Siding
Dark Bronze / Black
Type:
Color:
Other:
Masonry #1
Alt. 1 Cast Stone
Alt. 2 Utility Brick
Light Beige
Type:
Color:
Other:
Accent Fin
Wood-Look Metal Fin
To Match Accent
Material #1
Type:
Color:
Other:
All Materials Are Preliminary and Subject to Change Upon Final Material
Selection Process.
ATM
TUSHIE MONTGOMERY
terasă | 08.01.2024 Elevations | P6
5401 Gamble Drive, St. Louis Park, MN 55416 | 224125A
SCALE:1" = 40'-0"
1 West Elevation- Park Place Blvd.
SCALE: 1" = 40'-0"
2 North Elevation- Gamble Dr.
SCALE: 1" = 40'-0"
3 East Elevation
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 9
SCALE:
2 Corner of Gamble Dr. & Park Place Blvd.
SCALE:
1 Corner of Gamble Dr. & West End Blvd.
ATM
TUSHIE MONTGOMERY
terasă | 08.01.2024 Perspectives | P7
5401 Gamble Drive, St. Louis Park, MN 55416 | 224125A
SCALE:
3 Retail Tenant Corner
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 10
ATM
TUSHIE MONTGOMERY
terasă | 08.01.2024 Schematic Rendering | P10
5401 Gamble Drive, St. Louis Park, MN 55416 | 224125A
P8
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 11
ATM
TUSHIE MONTGOMERY
terasă | 08.01.2024 Schematic Rendering | P9
5401 Gamble Drive, St. Louis Park, MN 55416 | 224125A
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 12
ATM
TUSHIE MONTGOMERY
terasă | 08.01.2024 Schematic Rendering | P10
5401 Gamble Drive, St. Louis Park, MN 55416 | 224125A
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 13
July 29, 2024
Jennifer Monson, AICP
Redevelopment Administrator I
City of St. Louis Park
5005 Minnetonka Blvd, St. Louis
Park, MN 55416
Ill
HEMPEL
REAL ESTATE
10050 Crosstown Circle
Suite 600
Eden Prairie, MN 55344
T 612 355 2600
F 612 355 2801
www.hempelcompanies.com
RE: Proposed Redevelopment of 5401 Gamble Drive, St. Louis Park,MN
Dear Jennifer:
Thank you for our continued conversations regarding the possibility of
Hempel acquiring and redeveloping the existing West End I office building
immediately south of our Shoppes at West End investment.
We are writing this letter as a supplemental addition to our concept plan
submittal for the proposed development and request that this letter be shared with
the City Council during your upcoming workshop on this topic.
As you know, Hempel has worked with the existing property owner, Bridge
Investment Group, for the past 12 months in an effort to make a redevelopment of
this 3-acre parcel happen. During this relatively challenging time for financing real
estate projects, we have been able to remain engaged with the seller in order to
bring forward an exciting vision for the redevelopment of this parcel, which we also
expect may be a catalyst for the redevelopment of other parcels in this area someday.
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 14
To make the proposed project feasible to redevelop, there are many things that
have had to come together, including the following:
•TIF - the City's willingness to consider a TIF housing redevelopment district,
which helps pay for affordable housing units and drive density on this parcel
•Construction costs - construction cost inflation appears to be at a plateau
given the slow down and challenges with new construction, but we do not
expect this to remain beyond next summer
•Existing office tenancies - the seller has maintained short term office
tenancies in the existing office building which will not be possible indefinitely;
at some point soon, the owner will need to recommit to these tenancies with
new investment and the redevelopment window will close on this parcel for
the foreseeable future
•Anchor tenancy - we are working towards a final commitment by a leading
national retail tenant to our redevelopment plan, which will require we break
ground no later than spring 2025 to meet their timing. Any delay in the
project starting beyond that date will not allow us to deliver the project in
time for this anchor tenant delivery
•Drive Through - we have proposed one, and only one, drive through retail
store incorporated into our proposed development plan for a leading coffee
brand. This drive-through will be part of a larger vehicle movement pattern
on the west side of the development that includes deliveries for the other
retailers. The project's economics are materially and adversely affected
without us being able to provide a drive-through for this coffee user, but
following is a more complete list of the compelling reasons to approve a
Drive Through:
o First, the rent that the coffee user will pay for a drive through is
worth approximately $2 mm in value to the project and subsidizes the
40+ affordable housing units of the project. A drive through
prohibition threatens overall development feasibility unless we can
identify an alternative $2 million subsidy, which seems unlikely
o Second, we have screened the drive through substantially, and in so
doing, have set a new precedent for how drive throughs, if allowed,
should be incorporated into any future development and only in a
PUD setting
o Third, our drive-through is facing property to the west that includes a
gas station and substantial surface parked retail properties that will
not be affected by the drive-through. We believe our plan meets most
all City requirements and, in a PUD, we should be afforded some
flexibility to make adjustments to the plan that help financial
feasibility, and inclusion of a drive through is our key ask
o Fourth, we feel it is important to land this coffee user in the West End
and this user is a key amenity for the overall development -
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 15
their internet cafe will be a meeting place for our residents and
nearby office tenants
o Drive-throughs are a significant benefit to the disabled and others
with mobility challenges, versus requiring them to park and traverse
into and out of the store and in various weather conditions
o Because of the economics that a drive through represents to the
project, the project itself is at risk without it and this will be a
substantial loss for the area, not just over one project - it would affect
any redevelopment possibility for years to come in this location.
We ask that the City consider all of these things in either supporting or
rejecting our proposed plan as currently presented.
Sincerely,
Rick McKelvey Senior
Vice President
Study session meeting of August 12, 2024 (Item No. 3)
Title: Development proposal for 5401 Gamble Drive - Ward 4 Page 16