_{Not-for-Profit Organizations: Sources of Funding and Primary Expenditures}

Write a paper of no more than 1,050 words that answers the following questions for each site: Columbia, Missouri - CAFR is attached

• What is the mission and purpose of each organization
• What are the primary sources of funding for each
• What are the primary expenditures for each
• How successful is each entity in terms of meeting its mission and staying fiscally solvent

Prepare an Excel workbook that contains a separate spreadsheet for each individual not-for-profit organization. The spreadsheets should list the following:

• The principle sources of revenues for the organizations
• The primary expenditures made by each. In other words, how do the organizations get and spend their money.
• Be sure to include dollar amounts.

CITY OF COLUMBIA, MISSOURI Comprehensive Annual Financial Report For the Fiscal Year October 1, 2012 - September 30, 2013 Department of Finance John Blattel, Director CITY OF COLUMBIA, MISSOURI Comprehensive Annual Financial Report For the Fiscal Year October 1, 2012- September 30, 2013 Department of Finance John Blattel, Director CITY OF COLUMBIA, MISSOURI Table of Contents Page INTRODUCTORY SECTION: Transmittal Letter Certificate of Achievement Organizational Chart List of Officials i-iii v vi-vii ix FINANCIAL SECTION: Independent Auditors' Report Management's Discussion and Analysis 5-6 9-18 Basic Financial Statements Government-Wide Financial Statements Statement of Net Position Statement of Activities 21 22-23 Fund Financial Statements Governmental Funds Financial Statements Balance Sheet Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position Statement of Revenues, Expenditures, and Changes in Fund Balances Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities 24 25 26 27 Proprietary Funds Financial Statements Statement of Net Position Statement of Revenues, Expenses, and Changes in Fund Net Position Statement of Cash Flows 28 29 30 Fiduciary Fund Financial Statements Statement of Fiduciary Net Position Statement of Changes in Fiduciary Net Position Notes to the Basic Financial Statements 31 33 39-88 (Continued) CITY OF COLUMBIA, MISSOURI Table of Contents Page Required Supplementary Information - Unaudited Budgetary Comparison Schedule - Governmental General Fund Notes to the Budgetary Comparison Schedule 91 93 Pension and OPEB Trust Funds Information Schedule of Funding Progress Schedule of Employer Contributions 94 95 Supplementary Information Combining Fund Financial Statements and Schedules Non-major Governmental Funds Combining Balance Sheet Combining Balance Sheet - Non-major Special Revenue Funds Combining Balance Sheet - Non-major Debt Service Funds Combining Statement of Revenues, Expenditures, and Changes In Fund Balances Combining Statement of Revenues, Expenditures, and Changes In Fund Balances - Non-major Special Revenue Funds Combining Statement of Revenues, Expenditures, and Changes In Fund Balances - Non-major Debt Service Funds Budgetary Comparison Schedules - Non-major Governmental Funds 105 107-109 111 113 115-117 119 120-126 Non-major Enterprise Funds Combining Statement of Net Position Combining Statement of Revenues, Expenses, and Changes in Net Position Combining Statement of Cash Flows 130-131 132-133 134-135 Internal Service Funds Combining Statement of Net Position Combining Statement of Revenues, Expenses, and Changes in Net Position Combining Statement of Cash Flows 140-141 142-143 144-145 Fiduciary Funds Combining Statement of Fiduciary Net Position Combining Statement of Changes in Fiduciary Net Position Combining Statement of Fiduciary Net Position - Agency Combining Statement of Changes in Fiduciary Net Position - Agency 150-151 152-153 154 155 (Continued) CITY OF COLUMBIA, MISSOURI Table of Contents Table Page STATISTICAL SECTION: Net Position by Component - Last Ten Fiscal Years Changes in Net Position - Last Ten Fiscal Years Fund Balance - Governmental Funds - Last Ten Fiscal Years Changes in Fund Balances - Governmental Funds - Last Ten Fiscal Years Assessed Value and Estimated Actual Value of Taxable Property - Last Ten Fiscal Years Property Tax Rates and Tax Levies - Direct and Overlapping Governments - Last Ten Fiscal Years Principal Taxpayers - Current and Nine Years Ago General Fund - Property Tax Levies and Tax Collections - Last Ten Fiscal Years Schedule of Electric Service Rates - Last Ten Fiscal Years Schedule of Electric Service Rates - Last Ten Fiscal Years Schedule of Water Service Rates - Last Ten Fiscal Years Schedule of Sanitary Sewer Service Rates - Last Ten Fiscal Years Schedule of Marketable Securities and Investments Federal and State Grants Taxable Sales by Category - Last Ten Fiscal Years Ratios of Outstanding Debt by Type - Last Ten Fiscal Years Ratio of Net General Bonded Debt to Assessed Value and Per Capita - Last Ten Fiscal Years Direct and Overlapping Governmental Activities Debt Legal Debt Margin Information - Last Ten Fiscal Years Water and Electric Utility Revenue Bond Coverage - Last Ten Fiscal Years Sanitary Sewer Utility Revenue Bond Coverage - Last Ten Fiscal Years Parking Revenue Bond Coverage - Last Ten Fiscal Years Property Value, Construction, and Bank Deposits - Last Ten Fiscal Years Largest Electric Utility Customers Largest Water Utility Customers Demographic Statistics - Last Ten Fiscal Years Principal Employers - Current and Nine Years Ago Full-Time Equivalent City Government Employees by Function/Program - Last Ten Fiscal Years Operating Indicators by Function/Program - Last Ten Fiscal Years Capital Asset Statistics by Function/Program - Last Seven Fiscal Years Insurance in Force Salaries of Principal Officials 1 2 3 4 160-161 162-163 164-165 166-167 5 169 6 7 170-171 173 8 9 10 11 12 13 14 15 16 174-175 176-177 178-179 180-181 182 183-186 187 188-189 191 17 18 19 20 21 22 23 24 25 26 27 192 193 194-195 196 197 198 199 200 201 202 203 28 29 30 31 32 204 205 207 208-209 210 CITY OF COLUMBIA, MISSOURI INTRODUCTORY SECTION CITY OF COLUMBIA, MISSOURI __________________________________________________________________________________________________ FINANCE DEPARTMENT ADMINISTRATION January 28, 2014 Honorable Mayor, City Council, City Manager, and the Citizens of the City of Columbia: Introduction Management Responsibility The Comprehensive Annual Financial Report (CAFR) of the City of Columbia, Missouri (the City) is submitted for your review in compliance with the provisions of Article II, Section 17 of the City Charter. This CAFR was prepared by the staff of the Finance Department in close cooperation with the external auditor, McGladrey LLP. Responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures, rests with the City. We believe the data, as presented, is accurate in all material aspects, that it is presented in a manner designed to fairly set forth the financial activity of its various funds and that all disclosures necessary to enable the reader to gain the maximum understanding of the City's financial affairs have been included. 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. The Financial Reporting Entity The Governmental Accounting Standards Board has established the criteria to determine the financial reporting entity for a municipal government's financial report. Therefore, the City used these criteria to examine the relationship of the City to other associated but legally separate entities, to determine if their inclusion in this report would be necessary to fairly present the financial position of the City. These criteria generally have to do with financial benefit or burden, and levels of influence over the activities of these organizations. The financial reporting entity includes all funds of the City. This financial report does not include the Columbia Regional Library District, the Columbia Housing Authority or the City of Columbia New Century Fund, Inc. For a more detailed explanation of the relationship to these entities, refer to footnote number one in the Notes to the Basic Financial Statements on page 39. Government Structure The City of Columbia is a constitutional home rule charter city and was organized in 1892 pursuant to the laws of the State of Missouri. The City is governed by a home rule charter and has a Council-Manager, non-partisan form of government which was adopted in 1949. The Mayor and six council members are elected for three year staggered terms with two council members elected each year. The City is divided into six wards, with one council member representing each ward and the Mayor being elected at large. Columbia is a full service City which provides not only the traditional basic services such as public safety, public works and planning, but also a wide variety of enterprise activities. Columbia provides a majority of utility services including water, electricity, solid waste, and sanitary sewers. Additionally, Columbia operates three transportation enterprises: the regional airport, public transportation and railroad operations. It is this comprehensive service approach that allows Columbia to be responsive to the community while managing growth in a professional and fiscally responsible manner. 701 E. BROADWAY ~ P.O. BOX 6015 ~ COLUMBIA, MISSOURI 65205-6015 (573) 874-7365 ~ FAX (573) 874-7761 ~ TTY (573) 874-7625 Economic Condition and Outlook The City of Columbia is located in Boone County in the central portion of the State of Missouri. The City's central location serves as a crossroad for travelers going east and west on Interstate 70 and north and south on U.S. 63. Columbia has excellent transportation resources being serviced by the Columbia Regional Airport, Columbia Terminal Railroad, Columbia Area Transit System and two interstate bus services. The City encompasses approximately 60 square miles and has a current estimated population of approximately 112,000. The City is the location of the main campus of the University of Missouri, Columbia College, and Stephens College. Approximately 49,977 students attend these institutions of higher education during the regular school year. In addition to higher education, Columbia is also a regional medical center with eight hospitals. Insurance is a major business operation in the City with home offices of Shelter Insurance Companies, the Columbia Insurance Group, and a regional office of State Farm Insurance Company. Columbia is a regional shopping area for central Missouri with 16 shopping centers. Other area industries consist of printing, structural metal fabrication, structural materials production, electronic products, auto parts and food processing. All of these activities have given Columbia a fairly stable employment base. Public education (including the University) and government comprise over 33% of all non-farm employment and are four of the top ten employers in the Columbia area. Service industries provide approximately 40% of non-farm employment with the medical industry comprising two of the top ten employers. The retailing industry is also strong providing approximately 16% of the employment in the area. The unemployment rate in Columbia, approximately 5% in 2013, has been well below the national average of approximately 8%. Long-Term Financial Planning The City of Columbia has a number of forecasting tools for long term financial planning. The 3 to 5 year model utilized for the General Fund is updated throughout the year to not only determine possible adjustments that may be necessary to the current year's budget, but to also determine what effects those changes may have in future years. In addition, the City utilizes cost of service models developed by consultants to assist in the long term planning for our enterprise activities. The City's larger internal service funds have developed three year business plans in an effort to keep charges to city departments competitive. Due to the economic downturn, staff shared these forecasts with the Council earlier and more often during fiscal year 2013. Work sessions were held with the City Council during this fiscal year to keep Council informed and to allow the Council to provide additional information regarding service levels to our citizens. Council agreed to create a reserve of 20% of expenditures as outlined in the City's policy resolution. The City has established three guiding budgeting principles to assist the City during this fiscal challenge. The first principle is to budget revenues conservatively and anticipates actual revenues of 2-5% over estimated budget. The second principle is to budget expenditures at our maximum foreseen exposure and anticipates actual expenditures at 98% of the budgeted amounts. The third principle is to budget the use of excess reserves to balance the budget, if necessary. The City has consistently budgeted for the use of these reserves, but we have only reduced reserves for Fiscal Years 2005, 2009 and 2013 during the last ten years. Major Initiatives City staff continued to work to implement the Visioning Plan which is centered on the thirteen community vision statements. The final product is a community vision of Columbia through the next fifteen years. The complete vision report including goals, strategies, action plans, appendices and implementation supplement is available at www.gocolumbiamo.com (click on Community Visioning.) A talent strategy committee has been formed to help insure the workforce, both now and in the future is trained and capable to effectively provide the products and services directed by the City Council and instill a culture of \"hire to departure\" learning environment within City government. One part of this initiative is the City's expanded new employee orientation training of 12 hours per employee to include many general subjects that were not previously covered. A second part of this initiative is the establishment of a structured Manager and Supervisor Training Program. ii The City developed a Strategic Plan during Fiscal Year 2012. During Fiscal Year 2013, the City began implementation of the Strategic Plan including the development of a structure to measure the City's progress towards achieving its Strategic Plan priorities. Other Information Independent Audit The State of Missouri statutes require an annual audit of all funds of the City. The firm of McGladrey LLP has included its opinion in this report. Certificate of Achievement We believe this report meets and conforms to the very high standards of the Government Finance Officers Association (GFOA) of the United States and Canada for financial reporting of state and local governments. The City of Columbia, Missouri has received a Certificate of Achievement for Excellence in Financial Reporting for each of the last thirty three years, and we believe our current report continues to conform to the Certificate of Achievement Program requirements. We will be submitting this report to GFOA to determine its eligibility for another certificate because a Certificate of Achievement is valid for a one-year period only. In order to be awarded a Certificate, the financial report must satisfy accounting principles and must be organized to strict program standards. Such reports must also satisfy applicable legal requirements. Finally, I would like to say the preparation of the Comprehensive Annual Financial Report could not have been accomplished without the dedicated staff of the Finance Department, especially personnel in the Accounting Division who actually compiled the report. Appreciation is also extended to the Mayor, the City Council, and the City Manager, for their part in planning and conducting the financial operations of the City in a responsible and progressive manner. Respectfully submitted, John Blattel, CPA Director of Finance iii THIS PAGE IS INTENTIONALLY LEFT BLANK iv Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting Presented to Text38: City of Columbia Missouri For its Comprehensive Annual Financial Report for the Fiscal Year Ended September 30, 2012 Executive Director/CEO v FUNCTIONAL ORGANIZATIONAL CHART CITIZENS OF COLUMBIA, MISSOURI MAYOR AND CITY COUNCIL MUNICIPAL JUDGE CITY CLERK BOARDS AND COMMISSIONS CITY MANAGER PROJECT MANAGER CITY MANAGEMENT FELLOW INTERNAL AUDITOR ASSISTANT TO THE CITY MANAGER DEPUTY CITY MANAGER CITY COUNSELOR JOINT COMMUNICATIONS TRUST FUNDS GIS/IT STEERING COMMITTEE CITY PROSECUTOR HUMAN RESOURCES DIRECTOR PARKS AND RECREATION DIRECTOR DIRECTOR OF INFORMATION TECHNOLOGIES DIRECTOR OF PUBLIC HEALTH & HUMAN SERVICES COMMUNITY DEVELOPMENT DIRECTOR ADMINISTRATION ADMINISTRATION TELEPHONES PUBLIC HEALTH SERVICES PLANNING BENEFITS C.A.R.E. AS/400 HELPDESK LABOR NEGOTIATIONS RECREATION SERVICES APPLICATIONS ENVIRONMENTAL HEALTH CDBG MICRO COMPUTERS ANIMAL CONTROL BUILDING & SITE DEVELOPMENT DOCUMENT IMAGING COMMUNITY HEALTH NEIGHBORHOOD PROGRAMS WEB/ E-GOVERNMENT HUMAN SERVICES VOLUNTEER PROGRAMS PARK OPERATION PARK DEVELOPMENT ZONING FINANCE DIRECTOR ADMINISTRATION & FINANCIAL PLANNING TREASURY MANAGEMENT ACCOUNTING PURCHASING SELF INSURANCE/ RISK MANAGEMENT UTILITIES ACCOUNTS & BILLING BUSINESS LICENSE Approved date City Manager vi 6 City of Columbia, Missouri www.GoColumbiaMo.com CITY OF COLUMBIA, MISSOURI ASSISTANT CITY MANAGER SPECIAL EVENTS CULTURAL AFFAIRS MANAGER CIVIC RELATIONS OFFICER CONVENTION & VISITORS BUREAU DIRECTOR LEGISLATIVE AFFAIRS VISIONING PUBLIC COMMUNICATIONS CITY CHANNEL EVENT SERVICES CONTACT CENTER DOCUMENT SUPPORT SERVICES FIRE CHIEF POLICE CHIEF PUBLIC WORKS DIRECTOR WATER AND LIGHT DIRECTOR ADMINISTRATION ADMINISTRATION/ ADMIN SUPPORT ENGINEERING ADMINISTRATION & GENERAL EMERGENCY SERVICES OPERATIONS/ OPER. SUPPORT COMMUNITY SERVICES STREETS & SIDEWALKS SUSTAINABILITY ADMINISTRATOR ECONOMIC DEVELOPMENT DIRECTOR ENGINEERING TRAFFIC AIRPORT RATES & FISCAL PLANNING SOLID WASTE ENERGY MANAGEMENT TRANSIT SYSTEM RAILROAD TRAINING EMERGENCY MANAGEMENT PARKING TRANSLOAD FACILITY WASTEWATER TREATMENT ELECTRICAL PRODUCTION WASTEWATER COLLECTION WATER PRODUCTION STORMWATER UTILITY ELECTRICAL DISTRIBUTION & TRANSMISSION CUSTODIAL & MAINTENANCE WATER DISTRIBUTION VEHICLE MAINTENANCE GIS vii 7 City of Columbia, Missouri www.GoColumbiaMo.com THIS PAGE INTENTIONALLY LEFT BLANK viii CITY OF COLUMBIA, MISSOURI CITY OF COLUMBIA OFFICIALS MAYOR Bob McDavid CITY COUNCIL Fred Schmidt - Ward 1 Ian Thomas - Ward 4 Michael Trapp - Ward 2 Laura Nauser - Ward 5 Karl Skala - Ward 3 Barbara Hoppe - Ward 6 CITY MANAGER Mike Matthes DIRECTOR OF FINANCE John Blattel INDEPENDENT AUDITORS McGladrey LLP ix THIS PAGE INTENTIONALLY LEFT BLANK x CITY OF COLUMBIA, MISSOURI FINANCIAL SECTION CITY OF COLUMBIA, MISSOURI INDEPENDENT AUDITORS' REPORT Independent Auditor's Report To the Honorable Mayor and Members of the City Council of the City of Columbia, Missouri Columbia, Missouri Report on the Financial Statements 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 Columbia, Missouri (the City) as of and for the year ended September 30, 2013, and the related notes to the financial statements, which collectively comprise the City's basic financial statements as listed in the table of contents. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes 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. Auditor's Responsibility Our responsibility is to express opinions on these financial statements based on our audit. 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. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements 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 entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Opinions 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, as of September 30, 2013, 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. 5 Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the Management's Discussion and Analysis on pages 9 through 18, the Budgetary Comparison Schedules on page 91, and the Schedules of Funding Progress and Schedules of Employer Contributions on pages 94 and 95 be presented to supplement the basic financial statements. Such information, 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. Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City's basic financial statements. The combining and individual nonmajor fund financial statements and other schedules, listed in the table of contents as supplementary information, and the other information, such as the introductory and statistical section are presented for purposes of additional analysis and are not a required part of the basic financial statements. The combining and individual nonmajor fund financial statements and other schedules, are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain 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, this information is fairly stated, in all material respects, in relation to the basic financial statements as a whole. The accompanying introductory, statistical sections and other schedules, as listed in the table of contents, have not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we do not express an opinion or provide any assurance on them. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated January 27, 2014 on our consideration of the City'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 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 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's internal control over financial reporting and compliance. Kansas City, Missouri January 27, 2014 6 CITY OF COLUMBIA, MISSOURI MANAGEMENT'S DISCUSSION AND ANALYSIS City of Columbia, Missouri Management's Discussion and Analysis As management of the City of Columbia (the \"City\"), we offer readers of the City's Comprehensive Annual Financial Report (CAFR), this narrative and analysis of the financial activities of the City for the fiscal year ended September 30, 2013. We encourage readers to consider the information presented here in conjunction with additional information provided in this report in our letter of transmittal and basic financial statements. Financial Highlights Columbia continues to be a growing city. The City provides a full range of governmental and proprietary services that include eleven enterprise activities. Tax revenues of $66,438,583 increased 3.5% in fiscal year 2013. Sales tax revenue increased in fiscal year 2013 by $1,635,776 (3.8%). Charges for services in business-type activities increased $5,712,179 or 3%. The City's total net position increased $32,243,194 or 3.7%. Governmental activities net position increased $18,638,192 or 4.3% while business-type activities net position increased $13,605,002 or 3.1%. Total unrestricted net position increased $936,242. The City continued to fully fund its Other Post Employee Benefit (OPEB) liability associated with retiree health insurance subsidies as well as make all required contributions to its pension plans. The Comprehensive Annual Financial Report This comprehensive annual financial report consists of six parts: Introductory section, which includes the transmittal letter and general information, Management's discussion and analysis (this part), The basic financial statements, which include the government-wide and the fund financial statements, along with the notes to the basic financial statements, Required supplementary information, Combining statements for non-major governmental funds, non-major enterprise funds, internal service funds, and fiduciary funds, and Statistical section The basic financial statements present two kinds of information. The government-wide financial statements provide both long-term and short-term information about the City's overall financial status. These statements are prepared on a full accrual basis to present information in a more corporate-like presentation. Fund financial statements are included to provide useful information on individual parts of the government. The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. More relevant detail is provided by distinct presentation of major funds in the basic financial statements, rather than summaries by total fund types. Government-Wide Financial Statements The basic financial statements include two government-wide financial statements: the statement of net position and the statement of activities. The statement of net position presents information on all of the City's assets and liabilities, 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 City's net position changed during the most recent fiscal year. 9 There are two government-wide financial statements. The governmental activities financial statements include the functions of the City that are principally supported by taxes and intergovernmental revenues. The business-type activities financial statements include functions that are intended to recover all, or a significant portion, of their costs through user fees and charges. These statements can be found on pages 21 to 23. The government-wide financial statements report information about the City as a whole using accounting methods similar to those used by the private sector. The statement of net position and statement of activities divide the City into the following: Governmental activities - All of the City's basic services are considered to be governmental activities, including public safety, public works, health, parks, planning, cultural and economic development and general administration. These activities are supported primarily with general City revenue such as sales taxes, gross receipts taxes, Payment in Lieu of Taxes (PILOT), property taxes, fines and specific program revenue like permit fees and grants. Business-type activities - All the City's enterprise activities are included here. These operations derive revenues from charges for services that are intended to recoup the full cost (or a significant portion of the cost) of operations. Three of these operations require subsidies from tax revenue (airport, transit and recreation services). The government-wide financial statements are required to also include legally separate entities (if any) for which the City is financially accountable. The City does not have any such entity that is required to be included as a \"component unit\" in its financial statements. Fund Financial Statements Another major section of the basic financial statements is the fund financial statements. These statements are on pages 24 to 33. The fund financial statements provide detailed information about each of the City's most significant funds, called \"major funds\". The city has four \"major funds\