1d Approval of 2006/07 Fund Transfers
CITY OF
CHANHASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone: 952.227.1100
Fax: 952.227.1110
Building Inspections
Phone: 952.227.1180
Fax: 952.227.1190
Engineering
Phone: 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952.227.1120
Fax: 952.227.1110
Recreation Center
2310 Coulter Boulevard
Phone: 952.227.1400
Fax: 952.227.1404
Planning &
Natural Resources
Phone: 952.227.1130
Fax: 952.227.1110
Public Works
1591 Park Road
Phone: 952.227.1300
Fax: 952.227.1310
Senior Center
Phone: 952.227.1125
Fax: 952.227.1110
Web Site
WW'//. ci .chan hassen.mn .us
MEMORANDUM
~&~
..... """"'"
TO:
Mayor & City Council Members
FROM:
Gh'
ol~'
Greg Sticha, Finance Director
DATE:
June 25,2007
SUBJ:
Approve 2006 and 2007 Transfers from 2006 Audit
BACKGROUND
As part of the 2006 financial audit process, a few transfers need to be completed
as noted below:
1. A transfer needs to be made as of 1-1-07 for $95,677.36 from the capital
replacement fund (400) to the Library Bond Debt service fund (357).
The reason for this transfer is that these are unspent bond proceeds, due
to the project coming in under budget by the same amount. Legally, once
the project is complete, those unspent proceeds must be transferred from
the construction fund to the debt service fund to be used to pay the
related debt.
2. A transfer needs to be made at 12-317"06 for $162,718.00 from the Tax
Increment District #4 Entertainment fund (491) to the 2004C GO TIP
refunding debt service fund (362). The reason for this transfer is the two
notes related to this district were refinanced into one bond at a lower
interest rate in 2004. The tax increment from this development is being
receipted into the construction fund as recommended by our auditors, but
a transfer needs to be made on an annual basis to the debt service fund to
payoff the refinanced notes. This transfer will need to be made on an
annual basis until the debt is amortized.
3. A transfer needs to be made at 12-31-06 for $906,960.52 from the 2005
MUSA Expansion/East-West Collector construction fund (602) to the
special assessment construction fund (600). The reason for this transfer
was the expenses for the 2005 MUSA Utility Expansion portion of the
project were being recorded incorrectly in fund 600 rather than 602. This
transfer simply moves the expenses to the proper fund (602) and puts the
cash back into the correct fund (600).
RECOMMENDA TION
Staff recommends that the City Council approve the transfers as noted for 2006
and 2007.
ATTACHMENT
1. Resolution
The City of Chanhassen · A growing community with clean lakes, quality schools, a charming downtown, thriving businesses, winding trails, and beautiful parks. A great place to live, work, and play.
F:\GregS\Council\2007\2007 fund tsf memo. doc
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE:
.June 25, 2007
RESOLUTION NO:
2007-
MOTION BY:
SECONDED BY:
RESOLUTION AUTHORIZING 2006 AND 2007 FUND TRANSFERS
WHEREAS, the city's auditors have completed the 2006 financial audit and made
recommendations for fund transfers.
NOW, THEREFORE, BE IT RESOLVED by the City Council ofChanhassen, Minnesota, as
follows:
1. Authorization: Findings. The City Council hereby authorizes the Finance Director to transfer the
following amounts as shown.
Transfer from: Transfer to:
400 Capital Replacement Fund (2007) 357
491 TID #4 Entertainment TlF Fund (2006) 362
602 2005 MUSA Area Expansion Fund (2006) 600
Amount
$95,677 .36
$162,718.00
$906,960.52
Passed and adopted by the Chanhassen City Council this 25th day of June, 2007.
ATTEST:
Todd Gerhardt, City Manager
Thomas A. Furlong, Mayor
YES
NO
ABSENT