HomeMy WebLinkAbout05(B) - Approval of July 2025 Treasurer's Report Report
ITEM: 5B
CITY COUNCIL AGENDA REPORT
MEETING DATE: August 26, 2025
PREPARED BY: Angela Gieseke, Financial Analyst / Accountant
PRESENTED BY: Nicole Klekner, Finance Director
AGENDA ITEM: Approval of July 2025 Treasurer's Report
RECOMMENDED ACTION:
Adopt the July 2025 Treasurer’s Report as presented.
BACKGROUND:
The purpose of this agenda item is for the Council to consider the approval of the monthly
Treasurer’s Report for July 2025. This information is being provided in a format which categorizes
the balances by fund type. A second page is included to provide the Fund Balance Classification
for each of the funds as well as the restrictions placed upon their usage. Even though the
business-type funds have an “unrestricted” fund balance and the General Fund has an
“unassigned” fund balance, it does not necessarily mean the balance is available to appropriate
to other funds for other uses. There are constraints in place due to the type of fund or based on
the City’s fund balance policy.
FINANCIAL IMPACT:
Staff has prepared a preliminary summary of the activity in the funds for the month of July 2025.
The Treasurer’s Report reflects the beginning cash balance, receipts, disbursements, and the
ending cash balance for each fund. As shown on the July 2025 Treasurer’s Report, the balance
of cash and investments is $58.4 million. Of this balance, $57.1 million is investments and $1.3
million is cash.
The Report is preliminary, unaudited and will change.
The attached memorandum provides a summary of the fund descriptions.
ALTERNATIVES:
1. Motion and second as part of the consent agenda to approve the July 2025 Treasurer’s
Report as presented.
2. Motion and second to remove the Treasurer’s Report from the consent agenda for
additional discussion.
ATTACHMENTS:
1. 07-2025 Treasurer's Report (attach 1)
2. 07-2025 Treasurer's Report (attach 2)
3. 07-2025 Treasurer's Report (attach 3)
City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372
City of Prior Lake
Treasurers Report
July 2025
Fund 7/1/2025 7/31/2025
Fund Type & Name No.Balance Receipts Disbursements Balance
Business-Type Funds
Water Fund 601 10,289,304.80$ 118,577.04$ 271,977.05$ 10,135,904.79$
Sewer Fund 604 5,519,143.73 91,305.44 316,531.07 5,293,918.10
Water Quality Fund 602 4,279,432.87 48,551.36 43,511.49 4,284,472.74
Total Business-Type Funds 20,087,881.40$ 258,433.84$ 632,019.61$ 19,714,295.63$
Governmental-Type Funds
General Fund 101 15,638,539.05$ 1,195,965.97$ 2,002,910.89$ 14,831,594.13$
Special Revenue Funds
Cable Franchise Fund 210 110,093.95$ 1,749.47$ -$ 111,843.42$
Capital Park Fund 225 1,629,469.10 58,266.59 23,861.65 1,663,874.04
Police Forfeiture Fund 235 117,661.21 211.31 506.70 117,365.82
EDA Special Revenue 240 698,354.74 5,744.33 11,866.15 692,232.92
Econ Dev Federal Revolving Loan Fund 250 147,023.48 265.19 - 147,288.67
Developer Agreement Fund 260 1,075,735.29 2,713.64 4,998.00 1,073,450.93
MN Public Safety 270 562,653.52 993.26 11,975.00 551,671.78
Affordable Housing Aid 275 48,354.67 133,448.99 - 181,803.66
Total Special Revenue Funds 4,389,345.96$ 203,392.78$ 53,207.50$ 4,539,531.24$
Capital Project Funds
TIF #1-3 413 251,742.05$ 445.61$ 4,690.00$ 247,497.66$
TIF #5-1 416 20,984.38 23.77 7,805.50 13,202.65
TIF #1-5 419 102,489.12 117.56 37,311.80 65,294.88
Revolving Equipment Fund 410 741,420.06 8,408.92 72,123.74 677,705.24
Revolving Park Equipment Fund 430 1,338,741.92 2,410.85 2,128.00 1,339,024.77
Facilities Management Fund 440 1,131,459.66 1,917.45 68,395.38 1,064,981.73
Permanent Impr Revolving Fund 450 1,469,739.15 6,721.06 116.33 1,476,343.88
Construction Fund 501 1,969,413.24 234,224.05 1,153,355.55 1,050,281.74
Trunk Reserve Fund 502 7,438,624.39 21,844.20 - 7,460,468.59
Total Capital Project Funds 14,464,613.97$ 276,113.47$ 1,345,926.30$ 13,394,801.14$
Debt Service Funds 562-580 4,657,734.07$ 31,603.40$ 1,055.25$ 4,688,282.22$
Agency Fund 801 349,722.25$ 7,500.00$ 33,100.00$ 324,122.25$
Total Governmental Type Funds 39,499,955.30$ 1,714,575.62$ 3,436,199.94$ 37,778,330.98$
Internal Service Funds 701 & 702 944,463.82$ 8,325.33$ -$ 952,789.15$
Total All Funds 60,532,300.52$ 1,981,334.79$ 4,068,219.55$ 58,445,415.76$
Investment Pool & Ratio as of 7/31/2025 102 97.73%57,121,551.37$
This report does not reflect financial obligations from contracts, agreements, purchases, services received, etc.
TREASURER’S REPORT FUND DESCRIPTIONS
Water Fund - For the collection of water billing utility revenue. This enterprise fund balance is allocated for the
operational costs of the Water departments and normally reserved for large capital municipal system expenses.
Sewer Fund - For the collection of sewer billing utility revenue. This enterprise fund balance is allocated for the
operational costs of the Sewer department and normally reserved for large capital municipal system expenses.
Water Quality Fund - An enterprise account funded by the storm water charge that is generated on the bi-monthly
water and sewer utility bills. The funds in the account are dedicated to finance water quality improvements
including departmental administration, storm water maintenance operations and improvement projects related to
water quality.
General Fund - Represents the resources to support general operating budget expenditures of the City. The year-
end fund balance represents dollars that have accumulated over a period of time. The City Council has designated
40% to 50% of the current operating budget, for working capital to finance city operations.
Cable Franchise Fund - Acts as a clearing house for funds received from the cable franchise company as specified
by ordinance.
Capital Park Fund - Dedicated funds received from developers in accordance with the City’s Park Dedication
requirement when land is platted. Funds are collected for the purpose of developing the City’s neighborhood park
and trail system. These dollars are programmed throughout the course of the City’s Capital Improvement
Program.
Police Forfeiture Fund – Special revenue fund created to track criminal and DWI forfeiture revenues and
expenditures.
EDA Special Revenue – Reserved and expended at the direction of the Prior Lake Economic Development
Authority for specific economic development activity as allowed by MN Statute. The purpose is to provide
economic incentives for new business expansion within the community.
Econ Dev Fed/MN Loan Funds - Accounts for the proceeds of economic development grants received either from
the federal government or the State of Minnesota to provide seed money for a revolving loan account. This
provides economic incentive for new business expansion within the community.
Developer Agreement Special Revenue Fund - Special revenue fund related to costs the City incurs in connection
with a subdivision. Fees are paid to the City by the developer when the Development Contract and Final Plat are
approved by City Council. Revenues are used to pay for legal expenses incurred with review and approval of the
plat and inspection services on developer installed-utilities for newly approved subdivisions within Prior Lake.
MN Public Safety Special Revenue Fund - Special revenue fund created for 2023 public safety aid revenue
received from the State of MN and eligible expenditures.
Affordable Housing Aid Special Revenue Fund - Special revenue fund created for local affordable housing aid
received from the State of MN and eligible expenditures.
Tax Increment Funds - Represents an accumulation of funds such as bond proceeds and project administration
fees charged to companies requesting project write-downs in the form of tax increment financing for new and/or
redevelopment. The TIF district property taxes are then deposited in a number of tax increment funds established
to track their respective revenue.
Revolving Equipment Fund - A regular replacement schedule for equipment needs of the City in excess of $5,000
has been adopted. Periodic fund transfers are appropriated to provide a funding source for the acquisition and
purchase of new and replacement vehicles and equipment.
Revolving Park Equipment Fund – Consists of funds reserved for the replacement of park equipment.
Facilities Management Fund – Established in conjunction with the Facilities Management Plan (FMP). The FMP
provides a schedule of major repairs, replacements and upgrades to all of the City facilities.
Permanent Improvement Revolving Fund – Consists of funds available for annual street mill and overlay projects
with any remaining funds to be used to provide upfront funding for future improvements.
Construction Fund - Represent unexpended bond proceeds that are reserved to pay for improvement projects
approved by the City Council on an annual basis. These dollars are necessary to complete outstanding
construction contracts and related engineering and professional services.
Trunk Reserve Fund - Consists of dedicated revenue generated from utility connection permits and acreage fees
assessed at time of sewer and water installation for the recovering of trunk oversizing costs and central municipal
system improvements i.e., wells lift stations, force mains, etc. These dollars are programmed throughout the
course of the City’s capital improvement plan. This fund also includes funds transfered in from the Water Storage
Fund 505 at the end of 2021 and dedicated to future water storage infrastructure.
Debt Service Funds - Represents prepayments of special assessments, property tax collections and special levies
needed to pay the outstanding bonded indebtedness of the City. This fund balance is 100% reserved for the
payment of bond principal and interest.
Agency Fund - Accounts for the residential building permit deposit that is refunded to the building contractor
upon final inspection. This provides financial assurance that the property site will be adequately cleaned up and
debris free before an occupancy permit is granted.
Severance Compensation Fund – Internal Service Fund established to partially fund the City’s compensated
absence liability associated with the accrued vacation and sick leave for employees upon termination as
recommended by the State Auditor’s Office.
Insurance Fund – Internal Service Fund established to track revenues and expenditures related to insurance funds.
City of Prior Lake
Treasurers Report
July 2025
Fund Type & Name Fund Balance Classification Constraints
Business-Type Funds
Water Fund Unrestricted Identified on utility bill for this purpose
Sewer Fund Unrestricted Identified on utility bill for this purpose
Water Quality Fund Unrestricted Identified on utility bill for this purpose
Governmental-Type Funds
General Fund Unassigned Cash flow, emergencies, one-time opportunities
Special Revenue Funds
Cable Franchise Fund Assigned for communications Statutory obligation to use for PEG access
Capital Park Fund Assigned for capital improvements Contractually obligated; park dedication fees
Police Forfeiture Fund Restricted for eligible general law enforcement
activities (criminal forfeitures) or DWI related
enforcement, training, and education (DWI
forfeitures)
Statutory obligated
EDA Special Revenue Assigned for development Economic Development
Econ Dev Federal Revolving Loan Fund Restricted for economic development Economic Development
Developer Agreement Fund Assigned for development Contractually obligated
MN Public Safety Restricted for eligible Public Safety purchases Contractually obligated
Affordable Housing Aid Restricted for affordable housing expenditures Contractually obligated
Capital Project Funds
TIF #1-3 Restricted for tax increment Contractually obligated by tax increment agreements
TIF #1-5 Restricted for tax increment Contractually obligated by tax increment agreements
TIF #5-1 Restricted for tax increment Contractually obligated by tax increment agreements
Revolving Equipment Fund Assigned for capital improvements Identified for equipment replacement
Revolving Park Equipment Fund Assigned for capital improvements Identified for park equipment replacement
Facilities Management Fund Assigned for capital improvements Identified for funding Facilities Management Plan
Permanent Improvement Revolving Fund Assigned for capital improvements Identified for funding street improvement projects
Construction Fund Restricted for capital improvements Construction projects in progress
Trunk Reserve Fund Assigned for capital improvements Contractually obligated by developer agreements
Debt Service Funds Restricted for Debt Service Reserved for contractually obligated debt service
Agency Fund N/A Escrows to be reimbursed to depositors
Internal Service Funds Unrestricted Identified as payment for severance compensation and insurance