Presented below are the computed amounts of ratios for the Village of Riverside example appearing in the chapter. Required: a. Using the financial statements provided in Illustrations 2-5 through 2-11, compute ratios for the City of Salem. Assume the population of Salem is 52,000 and the fair value of property totals $970 million. b. For each ratio, indicate which of the two governments has a stronger financial position.
CITY OF SALEM Statement of Net Position As of December 31, 2020 Primary Government Business-type Activities Component Units Governmental Activities $ 8,242,998 3,312,992 1,072,963 Primary Government $13,057,722 13,663,326 1,103,742 $ $ 4,814,724 10,350,334 30,779 84,733 Assets Cash and cash equivalents Investments Inventory Receivables (net): Taxes receivable Accounts receivable Due from other governments Restricted assets Capital assets (net of accumulated depreciation) Total assets 2,872,611 722,215 2,872,611 3,379,541 2,657,326 27,085 1,328,448 3,933,126 1,328,448 6,228,169 2,295,043 65,690,373 87,175,726 48,894,402 69,042,608 114,584,775 156,218,334 11,170,900 11,282,718 710 2,425,447 4,340,108 493,849 473,168 2,919,296 4,813,276 2,164,521 1,342,717 3,507,238 Liabilities Accounts payable Accrued liabilities Bonds payable due within one year Bonds payable due in more than one year Total liabilities Net position Net investment in capital assets Restricted Unrestricted Total net position 39,834,882 48,764,958 18,858,187 21,167,921 58,693,069 69,932,879 710 11,197,985 23,690,970 3,933,126 10,786,672 $38,410,768 30,757,135 2,295,043 14,822,509 $47,874,687 54,448,105 6,228,169 25,609,181 $86,285,455 84,023 $11,282,008 CITY OF SALEM Statement of Activities For the Year Ended December 31, 2020 Primary Government Program Revenues Net (Expense) Revenue and Change in Net Position Charges for Services Operational Grants and Contributions Capital Grants and Contributions Governmental Activities Business-type Activities Component Units Functions/Programs Expenses Total $ $ $1,144,018 56,497 275,492 $ 263,178 1,002,525 750,109 2,903,982 2,861,389 73,300 302,672 298,495 277,700 1,853,091 4,203 $ 3,734,068 1,433,650 9,265,997 6,167,650 4,436,534 9,292,427 3,217,236 1,720,121 1,422,428 40,690,111 Governmental activities General government Judicial administration Public safety Public works Health and welfare Education Parks and recreation Community development Interest on long-term debt Total governmental activities Business-type activities Water Solid waste Parking Total business-type activities Total primary government Component units Industrial development authority ($2,326,872) (374,628) (7,962,696) (1,410,577) (1,570,942) (9,219,127) (2,309,705) (1,213,654) (1,422,428) (27,810,629) ($2,326,872) (374,628) (7,962,696) (1,410,577) (1,570,942) (9,219,127) (2,309,705) (1,213,654) (1,422,428) (27,810,629) 604,359 51,611 500 156,361 2,131,977 8,455,650 2,291,855 3,109,692 2,085,064 6,594 6,041,987 2,556,633 481,869 9.080,489 49,770,600 6,385,233 2,351,433 261,107 8,997,773 11,129,750 3,452,938 1,886,458 (220,762) 5,118,634 5,118,634 3,452,938 1,886,458 (220,762) 5,118,634 (22,691,995) 6.594 8,462,244 5,194,756 7,486,611 (27,810,629 4,322,849 9.979 20.000 4,193,964 (98,906) General revenues Property taxes Sales taxes Hotel and meals taxes Grants Miscellaneous Transfers Total general revenues Change in net position Net position, beginning Net position, ending 15,382,482 5,729,224 4,998,045 2,724,725 2,341,374 1,172 15,382,482 5,729,224 4,998,045 2,724,725 1,611,886 615,062 31,061,424 3,250,795 35,159,973 $38,410,768 729,488 (615,062) 114,426 5,233,060 42,641,627 $47,874,687 31,175,850 8,483,855 77,801,600 $86,285,455 1,172 (97,734) 11,379,742 $11,282,008 CITY OF SALEM Balance Sheet Governmental Funds As of December 31, 2020 Special Courthouse Debt Total General Revenue Renovation Service Governmental Assets Fund Fund Fund Fund Funds Cash and cash equivalents $ 6,408,214 $627,837 $ 895,300 $230,000 $ 8,161,351 Investments 3,312,992 3,312,992 Receivables (net) Taxes receivable 2,872,611 2,872,611 Accounts receivable 679,215 14,177 693,392 Due from other governments 1,085,184 243,264 1,328,448 Supplies inventory 23,747 23,747 Restricted assets 3,933,126 3.933,126 TOTAL ASSETS $18,315,089 $642,014 $1,138,564 $230,000 $20,325,667 Liabilities Accounts payable 2,085,358 70,000 207,134 2,362,492 Accrued liabilities 543,064 19,398 562,462 TOTAL LIABILITIES 2,628,422 70,000 226,532 2,924,954 Deferred Inflows of Resources Property Taxes 4.408,087 4.408,087 TOTAL DEFERRED INFLOWS 4,408,087 4,408,087 Fund Balance Nonspendable - Supplies inventory 23,747 23,747 Restricted - Intergovernmental grants 312,000 500.000 812,000 - Bond sinking fund 230,000 230,000 Committed - Rainy day fund 4,500,000 4,500,000 - Courthouse renovation 380,000 380,000 Assigned - School lunch program 260,014 260,014 - Other capital projects 917,300 32,032 949,332 Unassigned 5,837,533 5,837,533 TOTAL FUND BALANCE 11,278,580 572,014 912,032 230,000 12,992,626 TOTAL LIABILITIES DEFERRED INFLOWS AND FUND BALANCE $18,315,089 $642,014 $1,138,564 $230,000 $20,325,667 - ILLUSTRATION 2-8a Reconciliation to (Government-wide) Statement of Activities Excess of revenues and other sources over expenditures and other uses reported in the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balance. $(1,485,357) Amounts reported for governmental activities in the Statement of Activities are different because . Governmental funds report the cost of capital assets as expenditures, while they are capital assets in the government-wide statements. 10,924,818 Debt proceeds provide current financial resources to the governmental funds but are liabilities in the government-wide statements. (9,675,400) Depreciation is not recorded in the governmental funds but is expensed in the Statement of Activities. (1,691,116) Income earned by internal service funds is included in governmental activities on government-wide statements. 23,964 Payments of principal on long-term debt are expenditures in the governmental funds but reduce the liability in the government-wide statements. 1,155,326 Property taxes expected to be collected more than 60 days after year-end are deferred in the governmental funds. 3,998,560 Change in net position of governmental activities (government-wide) $3,250,795 Total Governmental $15,361,830 11.761.522 1,892.678 10,996,440 1,262,549 41,275,019 CITY OF SALEM Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds For the Year Ended December 31, 2020 Special Courthouse Debt General Revenue Renovation Service Revenues Property taxes $15,361,830 $ Other local taxes 11.761,522 Charges for services 1,601,435 291,243 Intergovernmental 7,098,698 3,456,194 441,548 Miscellaneous 1,262,549 Total revenues 37,086,034 3,747,437 441,548 Expenditures Current: General government 3,353,502 Judicial administration 1,456,734 1,981,144 Public safety 8,216,347 Public Works 4,602,273 Health and welfare 4,418,294 Education 8,887,834 Parks and recreation 3.055,325 Community development 899,209 1,093,804 Capital outlay 10,924,818 Debt service: Principal 1,155,326 Interest 924,818 Total expenditures 34,889,518 3,074,948 10,924,818 2,080,144 Revenues over (under) expenditures 2,196,516 672,489 (10,483,270) (2,080,144) Other financing sources (uses) Issuance of debt 9,675,400 Transfers from other funds 2,080,144 Transfers (to) other funds (3,256,899) (289,593) Total other financing sources (uses) (3,256,899) (289,593) 9,675,400 2,080,144 Excess of revenues and other sources over (under) expenditures and other uses (1,060,383) 382,896 (807,870) Fund balance- beginning of year 12,338,963 189.118 1,719,902 230,000 Fund balance-end of year $11,278,580 $572,014 $912,032 $230,000 3,353,502 3,437,878 8,216,347 4,602,273 4,418,294 8,887,834 3,055,325 1,993,013 10,924,818 1,155,326 924,818 50.969,428 (9,694,409) 9,675,400 2,080,144 (3,546,492) 8,209,052 (1,485,357) 14,477,983 $12.992,626 CITY OF SALEM Statement of Net PositionProprietary Funds As of December 31, 2020 Governmental Activities- Internal Business-type ActivitiesEnterprise Funds Service Assets Water Solid Waste Parking Total Fund Current assets: Cash and cash equivalents $ 3,801,978 $ 847,889 $ 164,857 $ 4,814,724 $ 81,647 Investments 4,433,039 5,917,295 10,350,334 Inventory 30,779 30,779 330,759 Receivables (net) Accounts receivable 2,307.643 342,394 7.289 2.657,326 Due from other funds 28,824 Restricted assets 1,394,787 900,256 2,295,043 Total current assets 11,968,226 8,007,834 172,146 20,148,206 441,230 Noncurrent assets: Capital assets (net of accumulated depreciation) 37.975,852 4,611,754 6,306,796 48,894,402 68,603 Total assets $49,944,078 $12,619,588 $6,478,942 $69,042,608 $509,833 Liabilities Current liabilities: Accounts payable 317,131 174,087 2,631 493,849 62,958 Accrued liabilities 437,363 25,854 9.951 473,168 3,309 Total current liabilities 754.494 199,941 12,582 967,017 66,267 Liability for landfill closure and postclosure care costs 2,063,637 2,063,637 Capital leases payable 7,091 Bonds payable 16,114,097 2,023,170 18,137,267 Total noncurrent liabilities 16,114,097 2,063,637 2,023,170 20,200,904 7,091 Total liabilities 16,868,591 2,263,578 2,035,752 21,167,921 73,358 Net position Net investment in capital assets 21,861,755 4,611,754 4,283,626 30,757,135 61,512 Restricted 1,394,787 900,256 2,295,043 Unrestricted 9,818,945 4,844,000 159,564 14,822,509 374,963 Total net position $33,075,487 $10,356,010 $4,443,190 $47,874,687 $436,475 CITY OF SALEM Statement of Revenues, Expenses, and Changes in Fund Net PositionProprietary Funds For the Year Ended December 31, 2020 Governmental Activities, Internal Business-type ActivitiesEnterprise Funds Service Water Solid Waste Parking Total Fund Operating revenues Charges for services $ 6,335,022 $2,292,322 $ 261,088 $ 8,888,432 $663,162 Miscellaneous 45,499 58,827 104,326 Total revenues 6,380,521 2,351,149 261,088 8,992,758 663,162 Operating expenses Personnel services 1,576,088 1,164,629 126,466 2,867,183 591,010 Repairs and maintenance 389,271 50,296 439,567 2,698 Contractual services 1,107,169 439,355 1,546,524 34,622 Depreciation 1,374,214 353,411 153,097 1,880,722 6,654 Utilities 186,195 1,173 40,619 227.987 100 Other 699,009 332,110 63,766 1,094,885 4,256 Landfill closure costs 215,659 215,659 Total operating expenses 5,331,946 2,556,633 383.948 8,272,527 639,340 Operating income (loss) 1,048,575 (205,484) (122,860) 720,231 23,822 Nonoperating revenues (expenses) Interest income 452,718 279,924 1,558 734,200 700 State aid 23,746 6,878 30,624 Interest expense (710,042) (97,901) (807,943) (558) Total nonoperating revenue (233,578) 286,802 (96,343) (43,119) 142 Income before contributions and transfers 814.997 81,318 (219,203) 677,112 23.964 Capital contributions 3,085,946 2,085,064 5,171,010 Transfers in 179,440 179,440 Transfers out (92,300) (702,202) (794,502) Change in net position 3,808,643 1,464,180 (39,763) 5,233,060 23,964 Net positionbeginning of year 29,266,844 8.891,830 4,482,953 42,641,627 412,511 Net positionend of year $33,075,487 $10,356,010 $4,443,190 $47,874,687 $436,475 CITY OF SALEM Statement of Cash Flows Proprietary Funds For the Year Ended December 31, 2020 Governmental Activities, Internal Service Fund Total $649,426 1630.437) $8.991,395 (3.392.741) (1.811,584) (961,876) 2.825,194 18.989 6.594 179,440 (794,502) (608,468) (999,348) (1.143,307) (631,528) (3.719) (2.774.183) (3.719) Business-type ActivitiesEnterprise Funds Water Solid Waste Parking Cash flows from operating activities Cash received from customers $6,388,018 $2,343,431 $259,946 Cash pald to suppliers (2,490,241) (822,363) (80,137) Cash paid to employees (948,035) (764.032) (99,517) Other (588,974) (322.472) (50.430) Net cash provided by operating activities 2.360,768 434,564 29.862 Cash flows from noncapital financing activities Operating grants received 6.594 Transfers from other funds 179,440 Transfers to other funds (92,300) (702,202) Net cash provided by noncapital financing activities (92,300) (695,608) 179,440 Cash flows from capltal and related financing activities Acquisition of capital assets (543,169) (456.179) Principal paid on long-term debt (1.014,887) (128,420) Interest pald (535,567) (95.961) Net cash provided from capital and related financing activities (2,093,623) (456,179) (224.381) ows from Investing activities Interest received 287,725 279.924 1.558 Net cash provided from Investing activities 287,725 279.924 1.558 Increase in cash 462,570 (437,299) (13,521) Cash and cash equivalents- beginning of year 4,734,195 2.185.444 178,378 Cash and cash equivalents end of year $5,196,765 $1.748.145 $164.857 Reconciliation of operating Income to net cash provided by operating activities: Operating Income 1,048,575 (205.484) (122,860) Depreciation 1.374,214 353.411 153,097 (Increase) decrease in receivables 21,097 122,828 (375) (Increase) decrease in Inventory Increase (decrease) In accounts payable (83,118) Increase in landfill closure liability 163.809 Net cash provided by operating activities $2.360,768 $ 434,564 $ 29.862 Noncash Investing, capital, and financing activities: Contributions of capital assets from developers $3,085,946 $2.085.064 $ 569,207 700 569,207 11.750 700 15,970 7.098,017 65,677 $7.109.767 $ 81,647 720.231 1.880.722 143,550 23,822 6.654 (13.736) (46,535) 48.784 (83.118) 163,809 $2,825.194 $ 18,989 $5,171,010 $ CITY OF SALEM Statement of Net Position As of December 31, 2020 Primary Government Business-type Activities Component Units Governmental Activities $ 8,242,998 3,312,992 1,072,963 Primary Government $13,057,722 13,663,326 1,103,742 $ $ 4,814,724 10,350,334 30,779 84,733 Assets Cash and cash equivalents Investments Inventory Receivables (net): Taxes receivable Accounts receivable Due from other governments Restricted assets Capital assets (net of accumulated depreciation) Total assets 2,872,611 722,215 2,872,611 3,379,541 2,657,326 27,085 1,328,448 3,933,126 1,328,448 6,228,169 2,295,043 65,690,373 87,175,726 48,894,402 69,042,608 114,584,775 156,218,334 11,170,900 11,282,718 710 2,425,447 4,340,108 493,849 473,168 2,919,296 4,813,276 2,164,521 1,342,717 3,507,238 Liabilities Accounts payable Accrued liabilities Bonds payable due within one year Bonds payable due in more than one year Total liabilities Net position Net investment in capital assets Restricted Unrestricted Total net position 39,834,882 48,764,958 18,858,187 21,167,921 58,693,069 69,932,879 710 11,197,985 23,690,970 3,933,126 10,786,672 $38,410,768 30,757,135 2,295,043 14,822,509 $47,874,687 54,448,105 6,228,169 25,609,181 $86,285,455 84,023 $11,282,008 CITY OF SALEM Statement of Activities For the Year Ended December 31, 2020 Primary Government Program Revenues Net (Expense) Revenue and Change in Net Position Charges for Services Operational Grants and Contributions Capital Grants and Contributions Governmental Activities Business-type Activities Component Units Functions/Programs Expenses Total $ $ $1,144,018 56,497 275,492 $ 263,178 1,002,525 750,109 2,903,982 2,861,389 73,300 302,672 298,495 277,700 1,853,091 4,203 $ 3,734,068 1,433,650 9,265,997 6,167,650 4,436,534 9,292,427 3,217,236 1,720,121 1,422,428 40,690,111 Governmental activities General government Judicial administration Public safety Public works Health and welfare Education Parks and recreation Community development Interest on long-term debt Total governmental activities Business-type activities Water Solid waste Parking Total business-type activities Total primary government Component units Industrial development authority ($2,326,872) (374,628) (7,962,696) (1,410,577) (1,570,942) (9,219,127) (2,309,705) (1,213,654) (1,422,428) (27,810,629) ($2,326,872) (374,628) (7,962,696) (1,410,577) (1,570,942) (9,219,127) (2,309,705) (1,213,654) (1,422,428) (27,810,629) 604,359 51,611 500 156,361 2,131,977 8,455,650 2,291,855 3,109,692 2,085,064 6,594 6,041,987 2,556,633 481,869 9.080,489 49,770,600 6,385,233 2,351,433 261,107 8,997,773 11,129,750 3,452,938 1,886,458 (220,762) 5,118,634 5,118,634 3,452,938 1,886,458 (220,762) 5,118,634 (22,691,995) 6.594 8,462,244 5,194,756 7,486,611 (27,810,629 4,322,849 9.979 20.000 4,193,964 (98,906) General revenues Property taxes Sales taxes Hotel and meals taxes Grants Miscellaneous Transfers Total general revenues Change in net position Net position, beginning Net position, ending 15,382,482 5,729,224 4,998,045 2,724,725 2,341,374 1,172 15,382,482 5,729,224 4,998,045 2,724,725 1,611,886 615,062 31,061,424 3,250,795 35,159,973 $38,410,768 729,488 (615,062) 114,426 5,233,060 42,641,627 $47,874,687 31,175,850 8,483,855 77,801,600 $86,285,455 1,172 (97,734) 11,379,742 $11,282,008 CITY OF SALEM Balance Sheet Governmental Funds As of December 31, 2020 Special Courthouse Debt Total General Revenue Renovation Service Governmental Assets Fund Fund Fund Fund Funds Cash and cash equivalents $ 6,408,214 $627,837 $ 895,300 $230,000 $ 8,161,351 Investments 3,312,992 3,312,992 Receivables (net) Taxes receivable 2,872,611 2,872,611 Accounts receivable 679,215 14,177 693,392 Due from other governments 1,085,184 243,264 1,328,448 Supplies inventory 23,747 23,747 Restricted assets 3,933,126 3.933,126 TOTAL ASSETS $18,315,089 $642,014 $1,138,564 $230,000 $20,325,667 Liabilities Accounts payable 2,085,358 70,000 207,134 2,362,492 Accrued liabilities 543,064 19,398 562,462 TOTAL LIABILITIES 2,628,422 70,000 226,532 2,924,954 Deferred Inflows of Resources Property Taxes 4.408,087 4.408,087 TOTAL DEFERRED INFLOWS 4,408,087 4,408,087 Fund Balance Nonspendable - Supplies inventory 23,747 23,747 Restricted - Intergovernmental grants 312,000 500.000 812,000 - Bond sinking fund 230,000 230,000 Committed - Rainy day fund 4,500,000 4,500,000 - Courthouse renovation 380,000 380,000 Assigned - School lunch program 260,014 260,014 - Other capital projects 917,300 32,032 949,332 Unassigned 5,837,533 5,837,533 TOTAL FUND BALANCE 11,278,580 572,014 912,032 230,000 12,992,626 TOTAL LIABILITIES DEFERRED INFLOWS AND FUND BALANCE $18,315,089 $642,014 $1,138,564 $230,000 $20,325,667 - ILLUSTRATION 2-8a Reconciliation to (Government-wide) Statement of Activities Excess of revenues and other sources over expenditures and other uses reported in the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balance. $(1,485,357) Amounts reported for governmental activities in the Statement of Activities are different because . Governmental funds report the cost of capital assets as expenditures, while they are capital assets in the government-wide statements. 10,924,818 Debt proceeds provide current financial resources to the governmental funds but are liabilities in the government-wide statements. (9,675,400) Depreciation is not recorded in the governmental funds but is expensed in the Statement of Activities. (1,691,116) Income earned by internal service funds is included in governmental activities on government-wide statements. 23,964 Payments of principal on long-term debt are expenditures in the governmental funds but reduce the liability in the government-wide statements. 1,155,326 Property taxes expected to be collected more than 60 days after year-end are deferred in the governmental funds. 3,998,560 Change in net position of governmental activities (government-wide) $3,250,795 Total Governmental $15,361,830 11.761.522 1,892.678 10,996,440 1,262,549 41,275,019 CITY OF SALEM Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds For the Year Ended December 31, 2020 Special Courthouse Debt General Revenue Renovation Service Revenues Property taxes $15,361,830 $ Other local taxes 11.761,522 Charges for services 1,601,435 291,243 Intergovernmental 7,098,698 3,456,194 441,548 Miscellaneous 1,262,549 Total revenues 37,086,034 3,747,437 441,548 Expenditures Current: General government 3,353,502 Judicial administration 1,456,734 1,981,144 Public safety 8,216,347 Public Works 4,602,273 Health and welfare 4,418,294 Education 8,887,834 Parks and recreation 3.055,325 Community development 899,209 1,093,804 Capital outlay 10,924,818 Debt service: Principal 1,155,326 Interest 924,818 Total expenditures 34,889,518 3,074,948 10,924,818 2,080,144 Revenues over (under) expenditures 2,196,516 672,489 (10,483,270) (2,080,144) Other financing sources (uses) Issuance of debt 9,675,400 Transfers from other funds 2,080,144 Transfers (to) other funds (3,256,899) (289,593) Total other financing sources (uses) (3,256,899) (289,593) 9,675,400 2,080,144 Excess of revenues and other sources over (under) expenditures and other uses (1,060,383) 382,896 (807,870) Fund balance- beginning of year 12,338,963 189.118 1,719,902 230,000 Fund balance-end of year $11,278,580 $572,014 $912,032 $230,000 3,353,502 3,437,878 8,216,347 4,602,273 4,418,294 8,887,834 3,055,325 1,993,013 10,924,818 1,155,326 924,818 50.969,428 (9,694,409) 9,675,400 2,080,144 (3,546,492) 8,209,052 (1,485,357) 14,477,983 $12.992,626 CITY OF SALEM Statement of Net PositionProprietary Funds As of December 31, 2020 Governmental Activities- Internal Business-type ActivitiesEnterprise Funds Service Assets Water Solid Waste Parking Total Fund Current assets: Cash and cash equivalents $ 3,801,978 $ 847,889 $ 164,857 $ 4,814,724 $ 81,647 Investments 4,433,039 5,917,295 10,350,334 Inventory 30,779 30,779 330,759 Receivables (net) Accounts receivable 2,307.643 342,394 7.289 2.657,326 Due from other funds 28,824 Restricted assets 1,394,787 900,256 2,295,043 Total current assets 11,968,226 8,007,834 172,146 20,148,206 441,230 Noncurrent assets: Capital assets (net of accumulated depreciation) 37.975,852 4,611,754 6,306,796 48,894,402 68,603 Total assets $49,944,078 $12,619,588 $6,478,942 $69,042,608 $509,833 Liabilities Current liabilities: Accounts payable 317,131 174,087 2,631 493,849 62,958 Accrued liabilities 437,363 25,854 9.951 473,168 3,309 Total current liabilities 754.494 199,941 12,582 967,017 66,267 Liability for landfill closure and postclosure care costs 2,063,637 2,063,637 Capital leases payable 7,091 Bonds payable 16,114,097 2,023,170 18,137,267 Total noncurrent liabilities 16,114,097 2,063,637 2,023,170 20,200,904 7,091 Total liabilities 16,868,591 2,263,578 2,035,752 21,167,921 73,358 Net position Net investment in capital assets 21,861,755 4,611,754 4,283,626 30,757,135 61,512 Restricted 1,394,787 900,256 2,295,043 Unrestricted 9,818,945 4,844,000 159,564 14,822,509 374,963 Total net position $33,075,487 $10,356,010 $4,443,190 $47,874,687 $436,475 CITY OF SALEM Statement of Revenues, Expenses, and Changes in Fund Net PositionProprietary Funds For the Year Ended December 31, 2020 Governmental Activities, Internal Business-type ActivitiesEnterprise Funds Service Water Solid Waste Parking Total Fund Operating revenues Charges for services $ 6,335,022 $2,292,322 $ 261,088 $ 8,888,432 $663,162 Miscellaneous 45,499 58,827 104,326 Total revenues 6,380,521 2,351,149 261,088 8,992,758 663,162 Operating expenses Personnel services 1,576,088 1,164,629 126,466 2,867,183 591,010 Repairs and maintenance 389,271 50,296 439,567 2,698 Contractual services 1,107,169 439,355 1,546,524 34,622 Depreciation 1,374,214 353,411 153,097 1,880,722 6,654 Utilities 186,195 1,173 40,619 227.987 100 Other 699,009 332,110 63,766 1,094,885 4,256 Landfill closure costs 215,659 215,659 Total operating expenses 5,331,946 2,556,633 383.948 8,272,527 639,340 Operating income (loss) 1,048,575 (205,484) (122,860) 720,231 23,822 Nonoperating revenues (expenses) Interest income 452,718 279,924 1,558 734,200 700 State aid 23,746 6,878 30,624 Interest expense (710,042) (97,901) (807,943) (558) Total nonoperating revenue (233,578) 286,802 (96,343) (43,119) 142 Income before contributions and transfers 814.997 81,318 (219,203) 677,112 23.964 Capital contributions 3,085,946 2,085,064 5,171,010 Transfers in 179,440 179,440 Transfers out (92,300) (702,202) (794,502) Change in net position 3,808,643 1,464,180 (39,763) 5,233,060 23,964 Net positionbeginning of year 29,266,844 8.891,830 4,482,953 42,641,627 412,511 Net positionend of year $33,075,487 $10,356,010 $4,443,190 $47,874,687 $436,475 CITY OF SALEM Statement of Cash Flows Proprietary Funds For the Year Ended December 31, 2020 Governmental Activities, Internal Service Fund Total $649,426 1630.437) $8.991,395 (3.392.741) (1.811,584) (961,876) 2.825,194 18.989 6.594 179,440 (794,502) (608,468) (999,348) (1.143,307) (631,528) (3.719) (2.774.183) (3.719) Business-type ActivitiesEnterprise Funds Water Solid Waste Parking Cash flows from operating activities Cash received from customers $6,388,018 $2,343,431 $259,946 Cash pald to suppliers (2,490,241) (822,363) (80,137) Cash paid to employees (948,035) (764.032) (99,517) Other (588,974) (322.472) (50.430) Net cash provided by operating activities 2.360,768 434,564 29.862 Cash flows from noncapital financing activities Operating grants received 6.594 Transfers from other funds 179,440 Transfers to other funds (92,300) (702,202) Net cash provided by noncapital financing activities (92,300) (695,608) 179,440 Cash flows from capltal and related financing activities Acquisition of capital assets (543,169) (456.179) Principal paid on long-term debt (1.014,887) (128,420) Interest pald (535,567) (95.961) Net cash provided from capital and related financing activities (2,093,623) (456,179) (224.381) ows from Investing activities Interest received 287,725 279.924 1.558 Net cash provided from Investing activities 287,725 279.924 1.558 Increase in cash 462,570 (437,299) (13,521) Cash and cash equivalents- beginning of year 4,734,195 2.185.444 178,378 Cash and cash equivalents end of year $5,196,765 $1.748.145 $164.857 Reconciliation of operating Income to net cash provided by operating activities: Operating Income 1,048,575 (205.484) (122,860) Depreciation 1.374,214 353.411 153,097 (Increase) decrease in receivables 21,097 122,828 (375) (Increase) decrease in Inventory Increase (decrease) In accounts payable (83,118) Increase in landfill closure liability 163.809 Net cash provided by operating activities $2.360,768 $ 434,564 $ 29.862 Noncash Investing, capital, and financing activities: Contributions of capital assets from developers $3,085,946 $2.085.064 $ 569,207 700 569,207 11.750 700 15,970 7.098,017 65,677 $7.109.767 $ 81,647 720.231 1.880.722 143,550 23,822 6.654 (13.736) (46,535) 48.784 (83.118) 163,809 $2,825.194 $ 18,989 $5,171,010 $
