2019 City of Hopkins, MN Annual Financial ReportCity of Hopkins, MinnesotaComprehensive Annual Financial Report
for year ended December 31, 2019
19
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
of the
CITY OF HOPKINS, MN
For The Year Ended
December 31, 2019
Prepared by the Department of Finance
i
THE CITY OF HOPKINS, MINNESOTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED DECEMBER 31, 2019
TABLE OF CONTENTS
I INTRODUCTORY SECTION
Letter of Transmittal from the City Manager and Finance Director
Page
3
Certificate of Achievement for Excellence in Financial Reporting 7
Administrative Organization Chart 8
City Officials 9
II FINANCIAL SECTION
Independent Auditors' Report
12
Management's Discussion and Analysis 15
A. Basic Financial Statements:
Government-wide Financial Statements:
Statement of Net Position 30
Statement of Activities 31
Fund Financial Statements:
Balance Sheet - Governmental Funds 32
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position 34
Statement of Revenues, Expenditures and Changes in
Fund Balances - Governmental Funds 36
Reconciliation of the Statement of Revenues, Expenditures
and Changes in Fund Balances of Governmental Funds
to the Statement of Activities 38
Statement of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - General Fund 39
Statement of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Economic Development Special Revenue Fund 40
Statement of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Arts Center Special Revenue Fund 41
Statement of Revenues, Expenditures and Changes in Fund Balances -
Budget and Actual - Tax Increment District Super Valu
Special Revenue Fund 42
Statement of Net Position - Proprietary Funds 44
Statement of Revenues, Expenses and Changes in
Net Position - Proprietary Funds 46
Statement of Cash Flows - Proprietary Funds 48
Notes to Financial Statements 52
ii
THE CITY OF HOPKINS, MINNESOTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED DECEMBER 31, 2019
Page
B. Required Supplementary Information
Schedule of Changes in the City’s Total OPEB Liability and Related Ratios 88
Schedule of Proportionate Share of Net Pension Liability - Public Employees
General Employees Retirement Fund 88
Schedule of the City's Contribution 89
Schedule of the City's Contribution to the Hopkins Fire Relief Fund 90
Schedule of Changes in the Net Pension Asset and Related Ratios - Hopkins
Fire Relief 91
Notes to Required Supplementary Information 92
C. Combining and Individual Nonmajor Fund Statements and Schedules:
Combining Balance Sheet - Nonmajor Governmental Funds 97
Combining Statement of Revenues, Expenditures and Changes
in Fund Balances - Nonmajor Governmental Funds 108
Schedules of Revenues, Expenditures and Changes in Fund
Balances - Budget and Actual:
Special Revenue Funds:
State Chemical Assessment 118
Parking 119
Communications 120
Hopkins Race & Equity Initiative 121
Depot Coffee House 122
Tax Increment District Entertainment Center 123
Tax Increment District Sonoma Project 124
Tax Increment District Oaks of Mainstreet 125
5th Avenue Flats 126
Tax Increment District Moline 127
Tax Increment District Marketplace & Main 138
Combining Statement of Net Position - Nonmajor Enterprise Funds 130
Combining Statement of Revenues, Expenses and Changes in
Net Position - Nonmajor Enterprise Funds 131
Combining Statement of Cash Flows - Nonmajor Enterprise Funds 132
Combining Statement of Net Position - Internal Service Funds 134
Combining Statement of Revenues, Expenses and Changes in
Net Position - Internal Service Funds 135
Combining Statement of Cash Flows - Internal Service Funds 136
D. Other Supplementary Information
Schedule of Revenues, Expenditures and Changes in Fund Balances –
Budgetary Comparison Schedule – General Fund 138
iii
THE CITY OF HOPKINS, MINNESOTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED DECEMBER 31, 2019
Page
A. Financial Trends
Net Position by Component 144
Changes in Net Position 146
Fund Balances, Governmental Funds 148
Changes in Fund Balances, Governmental Funds 150
B. Revenue Capacity
Assessed and Actual Value of Taxable Property 152
Direct and Overlapping Property Tax Rates 153
Principal Property Taxpayers 154
Property Tax Levies and Collections 155
C. Debt Capacity
Ratios of Outstanding Debt by Type 156
Ratios of Net General Bonded Debt Outstanding 157
Direct and Overlapping Governmental Activities Debt 158
Legal Debt Margin Information 159
D. Demographic and Economic Information
Demographic and Economic Statistics 160
Principal Employers 161
E. Operating Information
Full-time Equivalent City Employees by Type 162
Operating Indicators by Function/Program 164
Capital Asset Statistics by Function/Program 166
III STATISTICAL SECTION
iv
CITY OF HOPKINS, MINNESOTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED DECEMBER 31, 2019
SECTION I
INTRODUCTORY SECTION
1
City of Hopkins
2
July 23, 2020
To the Honorable Mayor, Members of the Hopkins City Council and the Citizens of the City of
Hopkins, Minnesota:
The Comprehensive Annual Financial Report (CAFR) of the City of Hopkins, Minnesota (the
City) for the fiscal year ended December 31, 2019 is hereby submitted. This report was prepared
in accordance with U.S. generally accepted accounting principles (GAAP) as established by the
Governmental Accounting Standards Board (GASB) and meets the requirements of the
Minnesota State Auditor’s Office.
This report consists of management’s representations concerning the finances of the City of
Hopkins. Consequently, management assumes full responsibility for both 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 Hopkins has 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 of the City of Hopkins financial statements in conformity with GAAP. Because the
cost of internal controls should not outweigh their benefits, the City of Hopkins 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 Hopkins financial statements have been audited by CliftonLarsonAllen LLP, 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 Hopkins for the fiscal year ended
December 31, 2019, are free of 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
unmodified opinions that the City of Hopkins financial statements for the fiscal year ended
December 31, 2019, are fairly presented in conformity with GAAP. The independent auditors’
report is presented as the first component of the financial section of this report.
GAAP requires that management provide a narrative introduction, overview, and analysis to
accompany the basic financial statements in the form of Management’s Discussion and Analysis
(MD&A). This letter of transmittal is designed to complement the MD&A and should be read in
conjunction with it. The City’s MD&A can be found in the financial section of this report
immediately following the report of the independent auditors.
3
Profile of the Government
Hopkins was first settled in 1853 and was incorporated as the Village of West Minneapolis in
1893. The name was changed in 1928 to Hopkins after one of the early residents. The original
territory of incorporation was three square miles, but successive annexation since 1946 has
enlarged this area by one-third. In 1947, the residents of the area adopted a City Charter with a
Council/Manager form of government. The governing council is responsible, among other things,
for passing ordinances, adopting the budget, appointing committees and hiring the government’s
manager and the government’s attorney. The government’s manager is responsible for carrying
out the policies and ordinances of the government, for overseeing day-to-day operations of the
government and for appointing the heads of the government’s departments.
The report includes all funds of the City, including the City’s Housing and Redevelopment
Authority (HRA). The City provides a full range of services including general government,
public safety, highways and streets, urban redevelopment and housing, culture and recreation,
and health and welfare. In addition to general municipal activities, the City provides water,
sewer, storm sewer and refuse services and operates an ice arena. Low-income rental housing is a
function of the HRA. The Hopkins Fire Relief Association has not met the established criteria for
inclusion in the reporting entity, and accordingly is excluded from this report.
The annual budget serves as the foundation for the City of Hopkins financial planning and
control. All departments of the City of Hopkins are required to submit requests for appropriation
to the Finance Director by June of each year. The Finance Director uses these requests as the
starting point for developing a proposed budget. The Finance Director then presents this
proposed budget to the Council for review prior to September 30th. The Council is required to
hold public hearings on the proposed budget and to adopt a final budget no later than December
31, the close of the City of Hopkins fiscal year.
The appropriated budget is prepared by fund and department. Department heads may make
transfers of appropriations within a department. Transfers of appropriations between funds
require approval of the City Council. Budget to actual comparisons are provided in this report for
each individual governmental fund for which an annual budget has been adopted. For the General
Fund and the major Special Revenue Funds this comparison is presented on pages 40-42 as part
of the basic financial statements for the governmental funds. For governmental funds, other than
the General fund and major Special Revenue Funds, with annual budgets, this comparison is
presented in the combining and individual fund statements and schedules subsection of this
report on pages 120-129.
Factors Affecting Financial Condition
The City of Hopkins, consisting of 2,504 acres, is located in Hennepin County on the westerly
fringe of the Minneapolis urban area. The City, as part of the Minneapolis-St. Paul metropolitan
complex, is readily accessible by the many highways and railways leading into the area. This easy
access prompted steady growth for the City of Hopkins during its formative years. In response to
this growth the City developed goals of working towards a planned community, with its policies
4
directed toward sound ratios of residential, commercial and industrial components, with the
current tax base approximately 69% single family residential and apartments, and 31%
commercial-industrial. The city’s population has grown slightly. The City is largely developed,
but has seen some redevelopment for apartment buildings. In the next several years the City will
see the redevelopment of a 17-acre site, which will include residential and commercial
components.
The City Council and staff along with an organized group of concerned partners determined what
the Vision and the Mission of the City of Hopkins should be. Participation in this project was
very high and the resulting Vision and Mission are as follows:
Community Vision
Creating a spirit of community where:
All people feel save and respected, and diversity is celebrated.
Business growth is supported and a vibrant downtown is maintained.
People enjoy exceptional government services, neighborhoods and outstanding
schools.
City of Hopkins Mission
Inspire, Educate, Involve, Communicate
Economic Condition and Outlook
Hopkins continues to show strong economic and redevelopment opportunities within the city.
The ground breaking for Southwest Light Rail Transit (SWLRT) occurred during 2018. The
project will continue to be a catalyst for development along its corridor, including in Hopkins.
Development activity is also the result of successful planning on the part of the city council and
city staff.
Efforts are being made for continued development and growth for 2020 and beyond. It is
anticipated that over $150,000,000 of construction will also take place in the City of Hopkins
during the next several years. The two largest anticipated projects are redevelopment of the
Hopkins Cold Storage Site, a 17-acre site with and projected valuation of $62,000,000 and a
three phase mixed used residential development near Blake Road station with approximately 750
rental units and 11,000 square feet of commercial space.
Long-term financial planning
The City of Hopkins has a strategic plan for economic development and has completed extensive
planning work in anticipation of the Southwest Light Rail Transit (SWLRT) line and the three
Hopkins LRT stations. As a part of the plans, the City of Hopkins intends to pursue various
development and redevelopment efforts throughout the City.
5
Future projects
A systematic citywide sidewalk rehab program was initiated in 1992. Each year one quadrant is
inspected and necessary repairs made. A sidewalk/trail plan was developed and implemented in
2003, which guides future improvements and connections to regional trails.
The City has established a street reconstruction and storm sewer program based on a street
condition survey and storm water management program. The streets found in poor condition and
future problem streets will be systematically included for repairs in the five-year Capital
Improvement Plan.
Certificate of Achievement For
Excellence in Financial Reporting
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
Hopkins for its comprehensive annual finance report for the fiscal year ended December 31,
2018. In order to be awarded a Certificate of Achievement for Excellence in Financial
Reporting, a governmental unit must publish an easily readable and efficiently organized
comprehensive annual financial report. This report must satisfy both U.S. generally accepted
accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe our current
comprehensive annual financial report 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.
Acknowledgments
We wish to express our appreciation to the Mayor and City Council for their continued interest
and support in planning and conducting the financial operations of the City in a responsible and
progressive manner. We also want to express our appreciation to the Finance Department staff
for their work in preparing this report.
Respectfully submitted,
Michael J. Mornson Nick Bishop, CPA
City Manager Finance Director
6
7
Organizational Chart
8
THE CITY OF HOPKINS, MINNESOTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
CITY OFFICIALS
December 31, 2019
CITY COUNCIL
Term
Expires
Jason Gadd Mayor 12-31-19
Rick Brausen Councilmember 12-31-21
Brian Hunke Councilmember 12-31-19
Kristi Halverson Councilmember 12-31-21
Aaron Kuznia Councilmember 12-31-19
CITY MANAGER
Michael J. Mornson Appointed
FINANCE DIRECTOR
Nick Bishop Appointed
9
City of Hopkins
10
CITY OF HOPKINS, MINNESOTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED DECEMBER 31, 2019
SECTION II
FINANCIAL SECTION
11
INDEPENDENT AUDITORS’ REPORT
Honorable Mayor and
Members of the City Council
City of Hopkins, Minnesota
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 Hopkins,
Minnesota (the City), as of and for the year ended December 31, 2019, 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 missta tement, whether due to fraud
or error.
Auditors’ 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 auditors’ judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to frau d 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 n ot 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 signific ant
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.
12
Honorable Mayor and
Members of the City Council
City of Hopkins, Minnesota
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 informat ion of the City as of December 31, 2019, and the respective
changes in financial position and, where applicable, cash flows thereof and the respective budgetary
comparison for the General Fund and major special revenue funds for the year then ended in
accordance with accounting principles generally accepted in the United States of America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the Un ited States of America require that the management’s
discussion and analysis, schedule of changes in the City’s total OPEB liability and related ratios ,
schedules of the City’s proportionate share of net pension liabilities and schedules of the City’s pension
contributions, as listed in the table of contents, 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 consid ers 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 inqui ries, 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 introductory section, combining and individual
nonmajor fund statements and schedules and statistical section are presented for purposes of
additional analysis and are not a required part of the basic financ ial statements.
The combining and individual nonmajor fund statements and 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 statemen ts and certain additional procedures,
including comparing and reconciling such information directly to the underlying accounting and other
records used to prepare the basic financial s tatements or to the basic financial statements themselves,
and other additional procedures i n accordance with auditing standards generally accepted in the United
States of America. In our opinion, the combining and individual fund statements and schedules are fairly
stated, in all material respects, in relation to the basic f inancial statements as a whole.
The introductory and statistical sections 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.
13
Honorable Mayor and
Members of the City Council
City of Hopkins, Minnesota
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards , we have also issued our report dated July 23, 2020
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 solely to describe the scope of our testing of internal control over
financial reporting and compliance and the result of that testing, and not to provide an opinion on the
effectiveness of the City’s internal control over financial reporting or on co mpliance. 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.
CliftonLarsonAllen LLP
Minneapolis, Minnesota
July 23, 2020
14
CITY OF HOPKINS, MINNESOTA
MANAGEMENT’S DISCUSSION AND ANALYSIS
(Unaudited)
This section of the City’s comprehensive annual financial report presents a discussion and analysis of
the City’s financial activities during the fiscal year ended December 31, 2019. This discussion and
analysis should be read in conjunction with the letter of transmittal in the introductory section of this
report.
Financial Highlights
The assets and deferred outflows of the City exceeded liabilities and deferred inflows at the
close of the 2019 fiscal year by approximately $72.1 million (net position). Of this amount,
approximately $(13.0) million (unrestricted net position) is unavailable to meet the City’s
ongoing obligations to citizens and creditors due in part to the recognition of the City's share of
the unfunded pension obligation.
The City’s total net position increased by approximately $2.5 million. A key factor in this
increase was the addition of capital assets, partially offset by the increase in debt. Positive
operating results in the Water, Sewer and Storm Sewer funds also contribute to the increase.
As of the close of the current fiscal year, the City's governmental funds reported combined
ending fund balances of approximately $21.6 million, a increase of approximately $1.9 million
in comparison with the prior year's fund balance. The increase is due to additional grant
revenue in the Economic Development fund, unspent bond proceeds and positive operating
results in in the general fund. Approximately $2.7 million of fund balance is available for
spending at the City’s discretion (assigned or unassigned fund balance).
As of December 31, 2019, unassigned fund balance for the General Fund was approximately
$5.6 million, or 39% of total general fund expenditures. This compares to $ 5.2 million from
the prior year, a increase of approximately $448,000. The General Fund working capital goal
policy stated that the City will strive to maintain a fund balance in the General Fund for
working capital of 42% of the previous year's General Fund expenditures. At December 31st
working capital is at 42%.
The City of Hopkins total debt increased by approximately $6.3 million during the current fiscal
year due to the sale of general obligation and refunding bonds. Total new debt totaled $14.2
million while bond maturities and refundings totaled $7.9 million.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City of Hopkins basic
financial statements. The City of Hopkins 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 supplementary information in addition to the basic financial
statements themselves.
Government-wide financial statements. The government-wide financial statements are designed to
provide readers with a broad overview of the City of Hopkins finances, in a manner similar to a
private-sector business.
15
The statement of net position presents information on all of the City of Hopkins assets, deferred
outflows of resources, liabilities, and deferred inflows of resources with the difference between them
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 of Hopkins is improving or deteriorating.
The statement of activities presents information showing how the City 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 this 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 of Hopkins that are
principally supported by taxes and intergovernmental revenues (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 of Hopkins include general,
public safety, highways, streets, culture, recreation, urban redevelopment, housing, health and welfare.
The business-type activities of the City of Hopkins include water, sewer, refuse, storm sewer utilities, an
ice arena, and a housing and redevelopment authority.
The government-wide financial statements include the City of Hopkins itself, but also a legally separate
Hopkins Housing and Redevelopment Authority. Although the Hopkins Housing and Redevelopment
Authority is legally separate, it functions for all practical purposes as a department of the City of
Hopkins, and therefore has been included as an integral part of the primary government.
The government-wide financial statements can be found on pages 30-31 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 of Hopkins, like
other state and local governments, uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements. All of the funds of the City of Hopkins 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 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 City’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
information presented for governmental activities in the government-wide financial statements. By
doing so, readers may better understand the long-term impact of the City’s near-term financing
decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues,
expenditures, and changes in fund balance provide a reconciliation to facilitate this comparison between
governmental funds and governmental activities.
16
The City of Hopkins maintains forty-five individual governmental funds. Information is presented
separately in the governmental fund balance sheet and in the governmental fund statement of revenues,
expenditures, and changes in fund balances for the General Fund, Economic Development, Arts Center,
Tax Increment District Super Valu, Capital Improvement and Permanent Improvement Revolving fund
all of which are considered to be major funds. Data from the other thirty-nine 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 of Hopkins adopts an annual appropriated budget for its general fund and all of its special
revenue funds except for the Community Development Block Grant fund. A budgetary comparison
statement has been provided for the General fund and major special revenue funds and schedules are
provided for other funds to demonstrate compliance with the budget.
The basic governmental fund financial statements can be found on pages 32-37 of this report.
Proprietary funds. The City of Hopkins maintains two 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 of Hopkins uses enterprise funds to account for its water, sewer, refuse,
storm sewer utilities, the pavilion ice arena, and the housing and redevelopment authority. Internal
service funds are an accounting device used to accumulate and allocate costs internally among the City
of Hopkins various functions. The City of Hopkins uses internal service funds to account for
replacement of equipment, insurance deductibles and compensated absences. Because all of these
services predominantly benefit governmental rather than business-type functions, they have been
included within governmental activities in the government-wide financial statements.
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 utility, sewer utility, storm sewer utility and pavilion funds, all of which are considered to be
major funds of the City of Hopkins. Data from the other two enterprise funds are combined into a
single, aggregated presentation. Individual fund data for each of these non-major proprietary funds is
provided in the form of combining statements elsewhere in this report. The 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 also provided in the form of combining statements elsewhere
in this report.
The basic proprietary fund financial statements can be found on pages 43-47 of this report.
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 can be found
on pages 49-82 of this report.
Other Information
In addition to the basic financial statements and accompanying notes, this report also presents certain
required supplementary information. Required supplementary information can be found on page 85-90
of this report.
17
The combining statements referred to earlier in connection with non-major governmental funds,
non-major proprietary funds and internal service funds are presented immediately following the required
supplementary information. Combining and individual fund statements and schedules can be found on
pages 94-132 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 of Hopkins, assets and deferred outflows exceeded liabilities and
deferred inflows by $72,095,684 at the close of the most recent fiscal year.
Due to the recognition of pension liability almost all (96%) of the City of Hopkins net position is
reflected in its investment in capital assets (e.g., land, buildings, machinery and equipment); less any
related debt used to acquire those assets that are still outstanding. The City of Hopkins uses these
capital assets to provide services to residents. The net capital assets are not available for future
spending. Although the City of Hopkins 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.
City of Hopkins Net Position
December 31
Governmental Activities Business-Type Activities Total
2019 2018 2019 2018 2019 2018
Assets
Current and other assets $ 30,626,890 $ 31,482,785 $ 3,734,763 $ 3,493,480 $ 34,361,653 $ 34,976,265
Capital assets 95,394,401 85,900,124 39,848,335 37,996,931 135,242,736 123,897,055
Total assets 126,021,291 117,382,909 43,583,098 41,490,411 169,604,389 158,873,320
Deferred Outflows of Resources
Deferred charges on refunding 146,371 187,149 - - 146,371 187,149
Pensions 4,016,475 5,211,254 71,929 169,911 4,088,404 5,381,165
OPEB 121,741 126,131 17,501 18,129 139,242 144,260
Total deferred outflows of
resources 4,284,587 5,524,534 89,430 188,040 4,374,017 5,712,574
Liabilities
Other liabilities 5,307,972 4,942,359 669,383 508,088 5,977,355 5,450,447
Long-term liabilities
outstanding 79,741,313 70,647,805 9,775,775 10,417,401 89,517,088 81,065,206
Total liabilities 85,049,285 75,590,164 10,445,158 10,925,489 95,494,443 86,515,653
Deferred Inflows of Resources
Pensions 6,188,034 7,169,642 177,264 249,295 6,365,298 7,418,937
OPEB 20,093 - 2,888 - 22,981 -
Net Position
Net investment in capital assets 37,857,254 37,136,053 31,184,022 28,627,563 69,041,276 65,763,616
Restricted 15,076,501 16,547,512 - - 15,076,501 16,547,512
Unrestricted (14,865,750)(14,432,265) 1,863,196 1,733,552 (13,002,554)(12,698,713)
Total net position $ 38,068,005 $ 39,251,300 $ 33,047,218 $ 30,361,115 $ 71,115,223 $ 69,612,415
A portion of the City of Hopkins net position represent resources that are subject to external restrictions
on how they may be used.
The City’s net position increased by $2,483,269 during the current fiscal year.
18
The net pension liability and the pension-related deferred outflows and inflows of resources (which are
reported in accordance with GASB Statement No. 68), do not change the City's future funding
requirements or obligations under the plans, which are determined by state statutes. Additionally, the
City has recorded the net pension asset of the Hopkins Fire Department Relief Association in the
government-wide statements.
Net position was impacted by $9,754,067 at December 31, 2019 due to the effects of this standard.
Pension-related amounts included in the above schedule related to the standard are as follows:
Net pension asset $ 277,156
Deferred outflows of resources 4,088,403
Net pension liability (7,754,328)
Deferred inflows of resources (6,365,298)
Total $ (9,754,067)
(remainder of this page left blank intentionally)
19
Governmental and business-type activities. Governmental activities decreased the City of Hopkins
net position by $(202,833) and business-type activities increased net position by $2,686,103. Key
elements of the increases are as follows:
City of Hopkins Changes in Net Position
For the Year Ended December 31
Governmental Activities Business-Type Activities Total
2019 2018 2019 2018 2019 2018
Revenues:
Program revenues:
Charges for services $ 1,501,386 $ 2,252,352 $ 7,014,126 $ 6,937,410 $ 8,515,512 $ 9,189,762
Operating grants and
contributions 3,987,547 11,597,974 1,326,311 579,401 5,313,858 12,177,375
Capital grants and
contributions 1,888,147 1,630,559 - - 1,888,147 1,630,559
General revenues:
Property taxes 16,229,961 14,343,939 40,054 81 16,270,015 14,344,020
Tax increments 3,209,850 2,433,504 - - 3,209,850 2,433,504
Grants and contributions
not restricted 72,581 56,990 2,648 2,758 75,229 59,748
Investment earnings 396,461 225,337 17,925 13,153 414,386 238,490
Gain on sale of capital
assets 1,162 45,002 4,400 17,210 5,562 62,212
Total revenues 27,287,095 32,585,657 8,405,464 7,550,013 35,692,559 40,135,670
Expenses:
General government 5,435,138 4,361,727 - - 5,435,138 4,361,727
Public safety 9,200,365 7,846,565 - - 9,200,365 7,846,565
Health and welfare 189,917 196,435 - - 189,917 196,435
Highways and streets 5,175,949 4,562,075 - - 5,175,949 4,562,075
Urban redevelopment and
housing 2,431,931 2,352,139 - - 2,431,931 2,352,139
Culture and recreation 2,385,415 2,015,291 - - 2,385,415 2,015,291
Interest on long-term debt 212,538 65,784 - - 212,538 65,784
Water - - 2,204,922 1,704,965 2,204,922 1,704,965
Sewer - - 2,618,842 2,288,938 2,618,842 2,288,938
Storm sewer - - 605,214 461,036 605,214 461,036
Refuse - - 924,090 910,481 924,090 910,481
Pavilion/ice arena - - 1,081,741 689,178 1,081,741 689,178
Housing and
redevelopment authority - - 743,227 677,169 743,227 677,169
Total expenses 25,031,253 21,400,016 8,178,036 6,731,767 33,209,289 28,131,783
Increase in net position before
transfers
2,255,842 11,185,641 227,428 818,246 2,483,270 12,003,887
Transfers (2,458,675)(4,218,053) 2,458,675 4,218,053 - -
Increase (decrease) in net position (202,833) 6,967,588 2,686,103 5,036,299 2,483,270 12,003,887
Net position - January, as restated 39,251,299 32,283,711 30,361,115 25,324,816 69,612,414 57,608,527
Net position - December 31 39,048,466 39,251,299 33,047,218 30,361,115 72,095,684 69,612,414
20
Governmental activities: Property taxes increased in 2019 due to tax growth and increased levy
amounts. The City also received a number of program grants for specific programs in addition to
county grants for ongoing projects and redevelopment activity. Net position increased primarily due to
a major project costs that were capitalized in 2019, and partially offset by an increase in debt.
21
Business-type activities. Business-type activities had an increase in net position due to transfers and
increased revenues. A utility rate study was completed in 2016 with a large increase implemented in
2017 that is designed to cover operations, debt and capital needs over the next 5 years. Smaller
incremental increases are planned annually to continue to improve the financial health of the utility
funds.
22
Financial Analysis of the City’s Funds
As noted earlier, the City of Hopkins uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements.
Governmental funds. The focus of the City of Hopkins governmental funds is to provide information
on near-term inflows, outflows, and balances of spendable resources. Such information is useful in
assessing the City of Hopkins financing requirements. In particular, unassigned fund balance may serve
as a useful measure of a City’s net resources available for spending at the end of the fiscal year.
As of the end of the current fiscal year, the City of Hopkins governmental funds reported combined
ending fund balances of $21,643,971, increase of $1,851,235 in comparison with the prior year's
balance. The increase of fund balance in the current year was caused by recognition of deferred revenue
in the Economic Development fund, unspent bond proceeds and positive operating results in the
General Fund. This was offset by the use of available fund balance to prepay callable bonds.
Approximately 13% of fund balance or $2,749,017, constitutes assigned and unassigned fund balance,
which is available for spending at the City’s discretion. The remainder of fund balance is
non-spendable, restricted or committed to indicate that it is not available for new spending because it is
either in a non-spendable form (inventory, prepaid expenses, rehabilitative loans, or property held for
resale); restricted (debt service, tax increment projects) or has already been committed (for economic
development, property purchases, parking, and communication activities).
The general fund is the chief operating fund of the City of Hopkins. At the end of the current fiscal
year, unassigned fund balance of the general fund was $5,627,395. This represents 92.5% of the general
fund’s total fund balance. As a measure of the general fund’s liquidity, it may be useful to compare
both unassigned fund balance and total fund balance to total fund expenditures. Unassigned fund
balance represents approximately 39.0% of total general fund expenditures while total fund balance
represents approximately 42.2% of that same amount.
The fund balance of the City of Hopkins general fund increased by $466,303 during the current fiscal
year. Revenues exceeded expenditures by $486,303 before transfers. The increase can be attributed to
revenue exceeding budget for intergovernmental revenue, charges for services, fees, licenses and
permits. These categories are budgeted conservatively based on the uncertainty and lack of control over
their collection.
The Economic Development fund has a total fund balance of $4,305,158 of which $4,305,158 is
committed for economic development. The fund balance increased by $1,108,236 primarily as a result
deferred revenues becoming available in 2019. The associated grant expenditures were recognized in
2018.
The Arts Center fund has a deficit fund balance of $(1,156,077) all of which is unassigned. The fund
balance deficit decreased by $75,014 mainly due to continued and judicious management of the facility
and budget. The Arts Center received a programming grant from the Minnesota State Arts Board to
offset programming costs in 2019. Staff and the Friends of the Hopkins Center for the Arts, a non-profit
23
associated with the Arts Center, continue working to identify significant donors and corporate sponsors
to underwrite arts programming and continue to decrease the deficit.
The Tax Increment District Super Valu fund has a total fund balance of $6,256,565 of which all is
restricted for tax increment. The fund balance decreased by $(42,219) due to amounts owed to
developers for project costs and related financing exceeding revenue.
The Permanent Improvement Revolving fund has a total fund balance of $(1,097,452) which is
unassigned. The fund balance decreased by $(171,776) as a result of capital outlay for street projects,
some of which will be reimbursed through other governmental agencies. The fund has also recorded
significant costs during 2019 that will be reimbursed through bond proceeds issued in 2020.
The Capital Improvement Fund has a total fund balance of $319,784 which is restricted. The fund
balance increased by $ 724,658 primarily as the result of unspent bond proceeds.
Proprietary funds. The City of Hopkins proprietary funds provide the same type of information found
in the government-wide financial statements, but in more detail.
Unrestricted net position of the Water fund at the end of the year amounted to $(1,395,526). The
increase in net position amounted to $1,127,897 and is due to operating revenues exceeding operating
expenses along with transfers in from the permanent improvement fund for reimbursement of project
costs. The City completed a utility rate study which evaluated the entire rate structure of the water fund.
The City implemented a tiered rate structure in 2017 that will meet state requirements for conservation
pricing and meet the City's needs for operations and capital expenditures. Rates were increased again in
2019 with smaller incremental increases planned annually.
Unrestricted net position of the Sewer fund at the end of the year amounted to $576,536. The
unrestricted net position will be used to pay for infrastructure improvements. The increase in net
position amounted to $1,285,465 and is due to operating revenues exceeding operating expenses along
with transfers in from the permanent improvement fund for reimbursement of project costs. Along with
the water fund a utility rate study was also done for the sewer fund. A rate structure was put in place in
February 2017 to ensure adequate funds are maintained for operations and capital needs in the
long-term. Rates were increased again in 2019 with smaller incremental increases planned annually.
Unrestricted net position of the Storm Sewer Utility fund at the end of the year amounted to $1,514,975.
The unrestricted net position will be used to pay for infrastructure improvements. The increase in net
position amounted to $554,276 and is due to transfers in from the permanent improvement fund for
reimbursement of project costs and operating revenues exceeding operating expenditures.
Unrestricted net position of the Pavilion fund at the end of the year amounted to $(483,781). The
decrease in net position amounted to $(556,478) and is due to the increased depreciation being recorded
as a result of a 2018 upgrade project. The fund will continue to cover operating costs, except
depreciation, with operating revenue.
General Fund Budgetary Highlights
There is no difference between the general fund original budget and the final approved budget. The
City always adopts a balanced budget and does not plan to have a decrease or increase in total fund
balance. Amending the budget was not considered necessary during the year.
24
During the year revenues were over budgetary estimates by $503,979 due to increased
intergovernmental grants, license and permit revenue, fines, grants, recreation fees and donations. This
was offset by a decrease in tax revenues as a result of rebates due taxpayers who challenged their
valuations in tax court and less than expected miscellaneous revenues.
Expenditures were over budget by $(37,676) and was due to increased costs in the public safety and
culture and recreation primarily due to increased personnel and professional services costs.
The net effect of these budget impacts was a increase in fund balance of $466,303 after transfers.
Capital Asset and Debt Administration
Capital assets. The City of Hopkins investment in capital assets for its governmental and business type
activities as of December 31, 2019, amounts to $135,242,736 (net of accumulated depreciation). This
investment in capital assets includes land, buildings, improvements, vehicles, machinery and
equipment, park facilities, roads, highways, bridges, distribution systems and construction in progress.
Major capital asset events during the current fiscal year included the following:
Construction in progress additions totaled $14,937,849 for annual street and infrastructure
improvements and the City Hall upgrade project.
A total of $9,351,450 of assets was transferred from construction in progress to other
improvements as infrastructure projects were completed and put into service.
Vehicle and equipment purchases totaled $395,025. Major purchases include a squad car/body
camera system and squad car computers.
Vehicle and equipment deletions totaled $1,117,657. Deletions were a result of scheduled
replacements of public works and public safety vehicles and equipment.
City of Hopkins Capital Assets
(net of depreciation)
December 31
Governmental Activities Business-Type Activities Total
2019 2018 2019 2018 2019 2018
Land $ 6,157,677 $ 6,157,677 $ 254,299 $ 254,299 $ 6,411,976 $ 6,411,976
Buildings 12,006,450 12,477,169 3,556,889 3,298,825 15,563,339 15,775,994
Infrastructure - - 7,473,428 6,810,061 7,473,428 6,810,061
Improvements 46,289,040 40,366,743 22,432,143 22,224,710 68,721,183 62,591,453
Vehicles 2,284,371 2,649,835 630,800 841,717 2,915,171 3,491,552
Equipment 2,412,719 2,731,696 348,083 273,885 2,760,802 3,005,581
Construction in progress 26,244,144 21,517,004 5,152,693 4,293,434 31,396,837 25,810,438
$ 95,394,401 $ 85,900,124 $ 39,848,335 $ 37,996,931 $ 135,242,736 $ 123,897,055
-
Additional information on the City of Hopkins capital assets can be found in note 5 on pages 61-62 of
this report.
Long-term debt. At the end of the current fiscal year, the City of Hopkins had total bonded debt
outstanding of $76,375,000. Of this amount $13,280,000 comprises tax increment redevelopment debt,
and $54,655,000 comprises general obligation and special assessment debt, all of which is backed by
the full faith and credit of the government. The remainder of the City of Hopkins debt, $8,440,000,
represents bonds intended to be paid from specified revenue sources (i.e., revenue bonds).
25
City of Hopkins Outstanding Debt
General Obligation and Revenue Bonds
December 31
Governmental Activities Business-Type Activities Total
2019 2018 2019 2018 2019 2018
G.O. Tax increment bonds $ 13,280,000 $ 14,295,000 $ - $ - $ 13,280,000 $ 14,295,000
G.O. Housing fee bonds - 890,000 - - - 890,000
G.O. Equipment certificates 260,000 345,000 - - 260,000 345,000
G.O. Capital improvement
bonds
49,540,000 38,470,000 - - 49,540,000 38,470,000
G.O. Special assessment bonds 4,855,000 6,845,000 - - 4,855,000 6,845,000
Revenue bonds - - 8,440,000 9,180,000 8,440,000 9,180,000
$ 67,935,000 $ 60,845,000 $ 8,440,000 $ 9,180,000 $ 76,375,000 $ 70,025,000
The City of Hopkins total bonded debt increased by $6,350,000 during the current fiscal year. The
increase is a result of the issuance of $12,185,000 in G.O. Bonds that financed street reconstruction
project, utility improvements and City Hall upgrades; and the issuance of $2,015,000 of GO Refunding
Bonds General Obligation and General Obligation Permanent Improvement bonds. Total payments of
$7,850,000 were made for principal and redemptions. General Obligation Bonds are backed by the full
faith, credit and taxing power of the City, and are serviced by General and Tax Increment levies and
also by fees assessed against benefited properties.
Revenue Bonds are backed by the full faith, credit and taxing power of the City, and are serviced by the
Water, Sewer, and Storm Sewer Utility Funds and the Pavilion Fund current revenues.
City Special Assessment Bonds are backed by the full faith, credit and taxing power of the City, and
repayment monies are generated by the collection of special assessments and general levies.
The City is subject to a statutory limit of bonded indebtedness equaling 3.0 percent of taxable market
value. At December 31, 2019, the debt limit for the City is $64,367,792. Of the total debt, $18,340,000
of general obligation and revenue bonds is applicable to the limit. After taking into consideration funds
on hand available to liquidate debt, the legal debt margin is $46,027,792.
The City of Hopkins was upgraded to a “AA+” rating from Standard & Poor’s in January 2014 which
was most recently reaffirmed in May of 2020.
Additional information on the City of Hopkins long-term debt can be found in note 9 on pages 63-66 of
this report.
Economic Factors and Next Year’s Budgets and Rates
A number of factors were taken into consideration when preparing the City of Hopkins 2020 budget.
The City will begin a two year street reconstruction project of a major road and its residential street
improvement program. Employee compensation will remain competitive in the market, which was
most recently affirmed with a compensation and classification study in 2017. Water and sewer rates
were increased incrementally based on a 2016 utility rate study. The City continues to use a Financial
Management Plan that can estimate the property tax increases or decreases on a median value home as a
basis for decision making. As a result of these factors the City prepared a budget for 2020 that included
a general fund increase of 6.60% and an overall increase of 5.04% in expenditures.
26
During the current fiscal year, unassigned fund balance in the general fund was $5,627,395 or 39% of
general fund expenditures. The Office of the State Auditor recommends unassigned fund balances of no
less than five months of operating expenditures. The unassigned fund balance is used to pay for the
City’s general fund obligations until it receives its property tax levy revenues in June.
Requests for Information
This financial report is designed to provide a general overview of the City of Hopkins finances for all
those with an interest in the government’s finances. Questions concerning any of the information
provided in this report or requests for additional financial information should be addressed to the
Director of Finance, City of Hopkins, 1010 First Street South, Hopkins, MN 55343.
27
28
BASIC FINANCIAL STATEMENTS
29
City of Hopkins
Statement of Net Position
December 31, 2019
Primary Government
Governmental
Activities
Business-Type
Activities Total
Assets
Cash and cash equivalents $24,371,631 $3,877,254 $28,248,885
Taxes receivable 229,992 522 230,514
Special assessments receivable 2,747,193 -2,747,193
Accounts receivable 596,417 607,408 1,203,825
Intergovernmental receivable 180,125 495,672 675,797
Interest receivable 34,718 214 34,932
Internal balances 1,424,467 (1,424,468)(1)
Inventories 78,146 33,507 111,653
Net pension asset 277,156 -277,156
Prepaid items 143,170 144,654 287,824
Land held for resale 543,875 -543,875
Capital assets, non depreciable 32,401,821 5,406,993 37,808,814
Capital assets, net of depreciation 62,992,580 34,441,342 97,433,922
Total Assets 126,021,291 43,583,098 169,604,389
Deferred Outflows of Resources
Deferred charge on refunding 146,371 -146,371
Pensions 4,016,475 71,929 4,088,404
OPEB 121,741 17,501 139,242
Total Deferred Outflows of Resources 4,284,587 89,430 4,374,017
Liabilities
Accounts payable 3,840,598 456,615 4,297,213
Salaries payable 291,572 50,623 342,195
Due to other governments 2,700 3,457 6,157
Accrued interest payable 939,760 90,129 1,029,889
Unearned revenue 111,601 51,058 162,659
Non current liabilities:
Compensated absences due within one year 518,905 44,754 563,659
Total OPEB liability due within one year 121,741 17,501 139,242
Compensated absences due in more than one year 406,867 40,159 447,026
Total OPEB liability due in more than one year 698,544 113,988 812,532
Net pension liability due in more than one year 6,839,439 914,889 7,754,328
Bonds due within one year 4,850,000 -4,850,000
Bonds due in more than one year 66,427,558 8,661,985 75,089,543
Total Liabilities 85,049,285 10,445,158 95,494,443
Deferred Inflows of Resources
Pensions 6,188,034 177,264 6,365,298
OPEB 20,093 2,888 22,981
Total Deferred Inflows of Resources 6,208,127 180,152 6,388,279
Net Position
Net investment in capital assets 37,857,254 31,184,022 69,041,276
Restricted for:
Economic development 6,859,615 -6,859,615
Public Works 824,717 -824,717
Debt service 7,939,730 -7,939,730
Net pension asset 277,156 -277,156
Communications 155,744 -155,744
Unrestricted (14,865,750)1,863,196 (13,002,554)
Total Net Position $39,048,466 $33,047,218 $72,095,684
The notes to the financial statements are an integral part of this statement.
30
City of Hopkins
Statement of Activities
For the Year Ended December 31, 2019
Program Revenues Net Revenues (Expenses) and Changes in Net Position
Functions/Programs Expenses
Charges for
Services
Operating Grants
and Contributions
Capital Grants and
Contributions
Governmental
Activities
Business-type
Activities Total
Governmental Activities:
General government $5,435,138 $69,656 $1,252,397 $833,220 $(3,279,865)$-$(3,279,865)
Public safety 9,200,365 199,762 1,342,134 -(7,658,469)-(7,658,469)
Health and welfare 189,917 52,115 168,335 -30,533 -30,533
Highways and streets 5,175,949 127,229 885,847 1,054,927 (3,107,946)-(3,107,946)
Urban redevelopment and housing 2,431,931 182,060 55,264 -(2,194,607)-(2,194,607)
Culture and recreation 2,385,415 870,564 283,570 -(1,231,281)-(1,231,281)
Interest on long-term debt 212,538 ---(212,538)-(212,538)
Total Governmental Activities 25,031,253 1,501,386 3,987,547 1,888,147 (17,654,173)-(17,654,173)
Business-Type Activities:
Water 2,204,922 1,997,654 172 --(207,096)(207,096)
Sewer 2,618,842 2,880,685 212,748 --474,591 474,591
Storm sewer 605,214 806,193 ---200,979 200,979
Refuse 924,090 958,458 43,494 --77,862 77,862
Pavilion/Ice arena 1,081,741 85,275 399,365 --(597,101)(597,101)
Housing and redevelopment authority 743,227 285,861 670,532 --213,166 213,166
Total Business-type Activities 8,178,036 7,014,126 1,326,311 --162,401 162,401
Total Government $33,209,289 $8,515,512 $5,313,858 $1,888,147 (17,654,173)162,401 (17,491,772)
General revenues:
Property taxes 16,229,961 40,054 16,270,015
Tax increments 3,209,850 -3,209,850
Grants & contributions not restricted 72,581 2,648 75,229
Unrestricted investment earnings 396,461 17,925 414,386
Gain on disposal of capital assets 1,162 4,400 5,562
Transfers (2,458,675)2,458,675 -
Total General Revenues 17,451,340 2,523,702 19,975,042
Change in net position (202,833)2,686,103 2,483,270
Net position - January 1 39,251,299 30,361,115 69,612,414
Net position - December 31 $39,048,466 $33,047,218 $72,095,684
The notes to the financial statements are an integral part of this statement.
31
City of Hopkins
Balance Sheet
Governmental Funds
December 31, 2019
General Fund
Economic
Development Arts Center
Tax Increment
District Super
Valu
Capital
Improvement
Assets
Cash and cash equivalents $3,370,117 $3,328,130 $-$6,780,970 $439,483
Taxes receivable 168,077 4,980 3,701 45 1,393
Special assessments receivable -----
Accounts receivable 221,010 25,263 23,781 -90,645
Rehabilitation loans receivable -----
Due from other governments 148,442 -5,930 --
Interest receivable 3,546 1,034 -391 -
Due from other funds 2,848,021 757,479 ---
Inventories 78,146 ----
Prepaid items 132,954 -8,500 --
Property held for resale -222,156 -321,719 -
Total Assets $6,970,313 $4,339,042 $41,912 $7,103,125 $531,521
Liabilities, Deferred Inflows of Resources and
Fund Balances
Liabilities:
Accounts payable $461,601 $25,324 $40,264 $846,560 $210,912
Salaries payable 263,287 5,618 10,639 --
Due to other funds --1,143,556 --
Due to other governments 2,664 ----
Unearned revenue 59,840 -1,345 --
Total Liabilities 787,392 30,942 1,195,804 846,560 210,912
Deferred inflows of resources:
Taxes and special assessments 98,932 2,942 2,185 -825
Total Deferred Inflows of Resources 98,932 2,942 2,185 -825
Fund balances:
Non-spendable 211,100 -8,500 --
Restricted ---6,256,565 319,784
Committed -4,305,158 ---
Assigned 245,494 ----
Unassigned 5,627,395 -(1,164,577)--
Total Fund Balances (Deficits)6,083,989 4,305,158 (1,156,077)6,256,565 319,784
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $6,970,313 $4,339,042 $41,912 $7,103,125 $531,521
The notes to the financial statements are an integral part of this statement.
32
City of Hopkins
Balance Sheet
Governmental Funds
December 31, 2019
Permanent
Improvement
Revolving
Nonmajor
Governmental
Funds
Total
Governmental
Funds
Assets
Cash and cash equivalents $209,440 $8,549,320 $22,677,460
Taxes receivable -49,218 227,414
Special assessments receivable 135,661 2,611,532 2,747,193
Accounts receivable 74,150 136,410 571,259
Rehabilitation loans receivable -25,158 25,158
Due from other governments -25,753 180,125
Interest receivable 12,325 15,099 32,395
Due from other funds --3,605,500
Inventories --78,146
Prepaid items -240 141,694
Property held for resale --543,875
Total Assets $431,576 $11,412,730 $30,830,219
Liabilities, Deferred Inflows of Resources and
Fund Balances
Liabilities:
Accounts payable $1,418,460 $747,284 $3,750,405
Salaries payable -12,028 291,572
Due to other funds -1,037,477 2,181,033
Due to other governments -36 2,700
Unearned revenue -50,416 111,601
Total Liabilities 1,418,460 1,847,241 6,337,311
Deferred inflows of resources:
Taxes and special assessments 110,568 2,633,485 2,848,937
Total Deferred Inflows of Resources 110,568 2,633,485 2,848,937
Fund balances:
Non-spendable -240 219,840
Restricted -7,509,492 14,085,841
Committed -284,115 4,589,273
Assigned --245,494
Unassigned (1,097,452)(861,843)2,503,523
Total Fund Balances (Deficits)(1,097,452)6,932,004 21,643,971
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $431,576 $11,412,730 $30,830,219
The notes to the financial statements are an integral part of this statement.
33
Reconciliation of the Balance Sheet of Governmental Funds
To the Statement of Net Position
December 31, 2019
Fund balances of governmental funds $ 21,643,971
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, not reported
in the governmental funds.
Capital assets 123,356,261
Less: accumulated depreciation (32,058,222)
Taxes and special assessments receivable will be collected in future years, but are not available soon
enough to pay for the current period's expenditures and therefore are deferred in the funds 2,848,937
Internal service funds are used by the City to charge the costs of certain activities, such as replacement
of City vehicles and equipment. The assets and liabilities of the internal service funds are included in
the governmental activities in the statement of net assets. 4,780,942
Long-term liabilities, including bonds payable and accrued interest payable, are not due and payable in
the current period and, therefore, are not reported in the governmental funds.
Bond principal payable (67,935,000)
Unamortized premium/discount (3,342,557)
Accrued interest payable (939,760)
Deferred charges on refunding 146,371
The City's net pension liability, net pension asset, total OPEB liability and related deferred outflows
and inflows of resources are recorded only on the Statement of Net Position. Balances at year end are:
Net pension asset 277,156
Deferred outflows of resources related to pensions 4,016,473
Deferred outflows of resources related to OPEB 121,744
Net pension liability (6,839,439)
Total OPEB liability (820,285)
Deferred inflows of resources related to pensions (6,188,033)
Deferred inflows of resources related to OPEB (20,093)
Net position of governmental activities $ 39,048,466
34
35
City of Hopkins
Statement of Revenues, Expenditures and Changes in Fund Balances
Governmental Funds
For the Year Ended December 31, 2019
General Fund
Economic
Development Arts Center
Tax Increment
District Super
Valu
Capital
Improvement
Revenues
Property taxes $11,714,684 $531,241 $256,396 $-$99,473
Franchise Fees 304,668 ---354,579
Tax increments ---2,216,873 -
Special assessments -----
Intergovernmental 1,384,842 835,700 88,824 --
Fees, licenses and permits 813,964 ----
Charges for services 433,856 -383,101 --
Fines 179,855 ----
Investment earnings 13,617 28,348 81 36,658 -
Other miscellaneous revenues 68,971 25,264 239,011 --
Total Revenues 14,914,457 1,420,553 967,413 2,253,531 454,052
Expenditures
Current:
General government 2,491,508 ---23,022
Public safety 7,836,700 ----
Health and welfare 185,824 ----
Highways and streets 3,055,236 ----
Urban redevelopment and housing 103,475 317,068 -924,728 -
Culture and recreation 755,411 -979,319 --
Debt service:
Principal retirement -----
Interest and fiscal fees -----
Capital Outlay ----4,506,372
Total Expenditures 14,428,154 317,068 979,319 924,728 4,529,394
Excess (deficiency) of revenues
over expenditures 486,303 1,103,485 (11,906)1,328,803 (4,075,342)
Other Financing Sources (Uses)
Improvement bonds issued -----
Premium on improvement bonds -----
Transfer in -4,751 86,920 -4,800,000
Transfer out (20,000)--(1,371,022)-
Total Other Financing Sources (Uses)(20,000)4,751 86,920 (1,371,022)4,800,000
Net change in fund balances 466,303 1,108,236 75,014 (42,219)724,658
Fund balance (deficit) - January 1 5,617,686 3,196,922 (1,231,091)6,298,784 (404,874)
Fund balance (deficit) - December 31 $6,083,989 $4,305,158 $(1,156,077)$6,256,565 $319,784
The notes to the financial statements are an integral part of this statement.
36
City of Hopkins
Statement of Revenues, Expenditures and Changes in Fund Balances
Governmental Funds
For the Year Ended December 31, 2019
Permanent
Improvement
Revolving
Non-major
Governmental
Funds
Total
Governmental
Funds
Revenues
Property taxes $1,911 $3,594,588 $16,198,293
Franchise Fees -512,678 1,171,925
Tax increments -992,977 3,209,850
Special assessments 498,036 987,053 1,485,089
Intergovernmental 6,800 650,977 2,967,143
Fees, licenses and permits --813,964
Charges for services -182,131 999,088
Fines -16,664 196,519
Investment earnings 264,044 43,614 386,362
Other miscellaneous revenues 1,584,078 246,690 2,164,014
Total Revenues 2,354,869 7,227,372 29,592,247
Expenditures
Current:
General government -1,219,764 3,734,294
Public safety -157,958 7,994,658
Health and welfare --185,824
Highways and streets 193,041 266,184 3,514,461
Urban redevelopment and housing -1,019,481 2,364,752
Culture and recreation -318,245 2,052,975
Debt service:
Principal retirement -6,475,000 6,475,000
Interest and fiscal fees -1,670,990 1,670,990
Capital Outlay 7,342,406 298,579 12,147,357
Total Expenditures 7,535,447 11,426,201 40,140,311
Excess (deficiency) of revenues
over expenditures (5,180,578)(4,198,829)(10,548,064)
Other Financing Sources (Uses)
Improvement bonds issued -13,565,000 13,565,000
Premium on improvement bonds -1,292,974 1,292,974
Transfer in 5,089,596 3,767,669 13,748,936
Transfer out (80,794)(14,735,795)(16,207,611)
Total Other Financing Sources (Uses)5,008,802 3,889,848 12,399,299
Net change in fund balances (171,776)(308,981)1,851,235
Fund balance (deficit) - January 1 (925,676)7,240,985 19,792,736
Fund balance (deficit) - December 31 $(1,097,452)$6,932,004 $21,643,971
The notes to the financial statements are an integral part of this statement.
37
City of Hopkins
Reconciliation of the Statement of Revenues, Expenditures
and Changes in Fund Balances of Governmental Funds
to the Statement of Activities
For the Year Ended December 31, 2019
Net change in fund balances total governmental funds $ 1,851,235
Amounts reported for governmental activities in the statement of activities are different because:
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. 10,113,465
Revenues in the statement of activities that do not provide current financial resources
are not reported as revenues in the funds (2,544,314)
The issuance of long-term debt provides current financial resources to governmental funds,
while the repayment of the principal of long-term debt uses the current financial resources of
governmental funds. Neither transaction, however, has any effect on net position. Also,
governmental funds report the effect of premiums, discounts, and similar items when debt is
first issued, whereas these amounts are recorded in the statement of net position and amortized
in the statement of activities. This amount is the net effect of these differences in the treatment
of long-term debt related items.(8,419,988)
Some pension and OPEB expenses reported in the Statement of Activities do not require the
use of current financial resources and, therefore are not reported as expenditures
Change in net pension asset/liability, total OPEB liability and related deferred
outflows/inflows of resources (885,911)
External revenues and expenditures of the internal service funds reported in the statement of
activities are not reported as revenues and expenditures in governmental funds.(317,320)
Change in net position of governmental activities $ (202,833)
38
City of Hopkins
Statement of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual
General Fund
For the Year Ended December 31, 2019
Original Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Property taxes $11,782,524 $11,782,524 $11,714,684 $(67,840)
Franchise Fees 290,000 290,000 304,668 14,668
Intergovernmental 1,167,129 1,167,129 1,384,842 217,713
Fees, licenses and permits 557,115 557,115 813,964 256,849
Charges for services 293,260 293,260 433,856 140,596
Fines 184,800 184,800 179,855 (4,945)
Investment earnings 15,000 15,000 13,617 (1,383)
Other miscellaneous revenues 120,650 120,650 68,971 (51,679)
Total Revenues 14,410,478 14,410,478 14,914,457 503,979
Expenditures
General government 2,508,278 2,508,278 2,491,508 16,770
Public safety 7,565,881 7,565,881 7,836,700 (270,819)
Health and welfare 208,089 208,089 185,824 22,265
Highways and streets 3,196,137 3,196,137 3,055,236 140,901
Urban redevelopment and housing 101,498 101,498 103,475 (1,977)
Culture and recreation 730,695 730,695 755,411 (24,716)
Capital Outlay 79,900 79,900 -79,900
Total Expenditures 14,390,478 14,390,478 14,428,154 (37,676)
Excess (deficiency) of revenues over
expenditures 20,000 20,000 486,303 466,303
Other Financing Sources (Uses):
Transfer out (20,000)(20,000)(20,000)-
Net change in fund blance $-$-466,303 $466,303
Fund balance - January 1 5,617,686
Fund balance - December 31 $6,083,989
The notes to the financial statements are an integral part of this statement.
39
City of Hopkins
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Major Special Revenue Funds
Economic Development
Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Property taxes $350,154 $350,154 $531,241 $181,087
Intergovernmental --835,700 835,700
Investment earnings 30,000 30,000 28,348 (1,652)
Other miscellaneous revenues 15,000 15,000 25,264 10,264
Total Revenues 395,154 395,154 1,420,553 1,025,399
Expenditures
Current:
Urban redevelopment and housing 390,519 390,519 317,068 73,451
Total Expenditures 390,519 390,519 317,068 73,451
Other Financing Sources (Uses)
Transfer in --4,751 4,751
Net change in fund balance $4,635 $4,635 1,108,236 $1,103,601
Fund balance - January 1, reported 3,196,922
Fund balance - December 31 $4,305,158
The notes to the financial statements are an integral part of this statement.
40
City of Hopkins
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Major Special Revenue Funds
Arts Center
Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Property taxes $257,500 $257,500 $256,396 $(1,104)
Intergovernmental 35,000 35,000 88,824 53,824
Fees, licenses and permits 1,400 1,400 -(1,400)
Charges for services 422,062 422,062 383,101 (38,961)
Investment earnings --81 81
Other miscellaneous revenues 185,700 185,700 239,011 53,311
Total Revenues 901,662 901,662 967,413 65,751
Expenditures
Current:
Culture and recreation 882,740 882,740 979,319 (96,579)
Capital Outlay 122,850 122,850 -122,850
Total Expenditures 1,005,590 1,005,590 979,319 26,271
Other Financing Sources (Uses)
Transfer in 86,920 86,920 86,920 -
Net change in fund balance $(17,008)$(17,008)75,014 $92,022
Fund balance - January 1, reported (1,231,091)
Fund balance - December 31 $(1,156,077)
The notes to the financial statements are an integral part of this statement.
41
City of Hopkins
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Major Special Revenue Funds
Tax Increment District Super Valu
Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Tax increments $2,400,000 $2,400,000 $2,216,873 $(183,127)
Investment earnings 8,000 8,000 36,658 28,658
Total Revenues 2,408,000 2,408,000 2,253,531 (154,469)
Expenditures
Urban redevelopment and housing 480,000 480,000 924,728 (444,728)
Total Expenditures 480,000 480,000 924,728 (444,728)
Other Financing Sources (Uses)
Transfer out (1,270,053)(1,270,053)(1,371,022)(100,969)
Net change in fund balance $657,947 $657,947 (42,219)$(700,166)
Fund balance - January 1, reported 6,298,784
Fund balance - December 31 $6,256,565
The notes to the financial statements are an integral part of this statement.
42
43
City of Hopkins
Statement of Net Position
Proprietary Funds
December 31, 2019
Business-Type Activities-Enterprise Funds
Water
Utility
Sewer
Utility
Storm Sewer
Utility Pavilion
Nonmajor
Proprietary
Funds Totals
Governmental
Activities
Internal
Service Funds
Assets
Current assets:
Cash and investments $-$578,928 $1,570,290 $-$1,728,036 $3,877,254 $1,694,171
Taxes receivable ---522 -522 2,578
Accounts receivable 149,145 390,543 10,384 5,782 51,554 607,408 -
Accrued interest receivable -157 -57 -214 2,315
Prepaid expenses 1,215 127,519 --15,920 144,654 1,476
Due from other governments ---12,994 482,678 495,672 -
Inventory 30,189 3,275 43 --33,507 -
Total current assets 180,549 1,100,422 1,580,717 19,355 2,278,188 5,159,231 1,700,540
Noncurrent assets:
Capital Assets, non depreciable:
Land 14,097 5,150 26,800 -208,252 254,299 -
Construction in progress 2,491,198 1,607,714 1,053,782 --5,152,694 -
Capital Assets, depreciable
Building and structures 39,589 6,500 6,500 3,272,851 6,044,690 9,370,130 -
Distribution system 16,364,412 11,620,710 13,452,403 6,004,307 -47,441,832 -
Machinery and equipment 437,788 711,482 9,000 349,576 896,585 2,404,431 8,930,666
Less accumulated depreciation (7,513,851)(5,244,732)(5,041,620)(2,197,885)(4,776,963)(24,775,051)(4,832,932)
Total noncurrent assets 11,833,233 8,706,824 9,506,865 7,428,849 2,372,564 39,848,335 4,097,734
Total Assets 12,013,782 9,807,246 11,087,582 7,448,204 4,650,752 45,007,566 5,798,274
Deferred outflows of resources:
Pensions 23,782 13,060 3,553 15,110 16,424 71,929 -
OPEB 6,188 4,336 606 2,266 4,105 17,501 -
Total Deferred Outflows 29,970 17,396 4,159 17,376 20,529 89,430 -
Liabilities
Current liabilities:
Accounts payable 54,357 278,310 564 18,936 104,448 456,615 91,560
Salaries payable 10,606 6,101 1,728 7,470 24,718 50,623 -
Due to other funds 1,104,472 --119,996 200,000 1,424,468 -
Due to other governments 32 ---3,425 3,457 -
Compensated absences 10,283 4,750 3,733 34,355 31,792 84,913 925,772
Unearned revenue ---51,058 -51,058 -
Accrued interest payable 20,002 20,408 8,247 41,472 -90,129 -
Total current liabilities 1,199,752 309,569 14,272 273,287 364,383 2,161,263 1,017,332
44
City of Hopkins
Statement of Net Position
Proprietary Funds
December 31, 2019
Business-Type Activities-Enterprise Funds
Water
Utility
Sewer
Utility
Storm Sewer
Utility Pavilion
Nonmajor
Proprietary
Funds Totals
Governmental
Activities
Internal
Service Funds
Noncurrent liabilities:
Total OPEB liability due within one year 6,188 4,336 606 2,751 3,620 17,501 -
Total OPEB liability due in more than one
year 38,112 28,363 3,182 14,665 29,666 113,988 -
Net pension liability due in more than one year 302,479 166,116 45,194 192,196 208,904 914,889 -
Revenue bonds payable (net of unamortized
discounts and premium)2,652,248 1,786,407 831,217 3,392,113 -8,661,985 -
Total noncurrent liabilities 2,999,027 1,985,222 880,199 3,601,725 242,190 9,708,363 -
Total Liabilities 4,198,779 2,294,791 894,471 3,875,012 606,573 11,869,626 1,017,332
Deferred inflows of resources:
Pensions 58,607 32,185 8,757 37,239 40,476 177,264 -
DI OPEB 1,021 716 100 374 677 2,888 -
Total Deferred Inflows of Resources 59,628 32,901 8,857 37,613 41,153 180,152 -
Net Position
Net investment in capital assets 9,180,871 6,920,414 8,673,438 4,036,736 2,372,563 31,184,022 4,097,734
Unrestricted (1,395,526)576,536 1,514,975 (483,781)1,650,992 1,863,196 683,208
Total Net Position $7,785,345 $7,496,950 $10,188,413 $3,552,955 $4,023,555 $33,047,218 $4,780,942
The notes to the financial statements are an integral part of this statement.
45
City of Hopkins
Statement of Revenues, Expenses and Changes in Net Position
Proprietary Funds
For the Year Ended December 31, 2019
Business-Type Activities-Enterprise Funds
Water
Utility
Sewer
Utility
Storm Sewer
Utility Pavilion
Nonmajor
Proprietary
Funds Total
Governmental
Activities
Internal
Service Funds
Operating revenues
Charges for services $1,984,871 $2,860,436 $799,166 $479,410 $1,242,868 $7,366,751 $540,578
Other 12,900 20,248 7,027 4,447 26,090 70,712 -
Total operating revenues 1,997,771 2,880,684 806,193 483,857 1,268,958 7,437,463 540,578
Operating expenses
Cost of sales and services 1,641,219 2,072,744 249,350 501,103 852,506 5,316,922 214,586
Administration 211,455 138,819 55,685 5,767 564,771 976,497 6,730
Depreciation 321,500 329,238 280,270 475,064 250,040 1,656,112 875,744
Total operating expenses 2,174,174 2,540,801 585,305 981,934 1,667,317 7,949,531 1,097,060
Operating income (loss)(176,403)339,883 220,888 (498,077)(398,359)(512,068)(556,482)
Nonoperating revenues (expenses)
Property taxes ---40,054 -40,054 227,680
Miscellaneous revenue 55 --783 998 1,836 1,871
Investment earnings --9,612 13 8,300 17,925 8,228
Interest/fiscal agent expense (48,502)(60,287)(19,909)(99,807)-(228,505)-
Intergovernmental grants 875 213,219 131 556 689,004 903,785 -
Gain (loss) on sale of assets 4,400 ----4,400 1,383
Total nonoperating revenues
(expenses)(43,172)152,932 (10,166)(58,401)698,302 739,495 239,162
Income (loss) before contributions and
transfers (219,575)492,815 210,722 (556,478)299,943 227,427 (317,320)
Transfers and contributions
Transfers in 1,699,024 1,103,450 518,496 --3,320,970 -
Transfers out (351,552)(310,800)(174,942)-(25,000)(862,294)-
Change in net position 1,127,897 1,285,465 554,276 (556,478)274,943 2,686,103 (317,320)
Net position - January 1, as previously stated 6,657,448 6,211,485 9,634,137 4,109,433 3,748,612 30,361,115 5,098,262
Net position - December 31 $7,785,345 $7,496,950 $10,188,413 $3,552,955 $4,023,555 $33,047,218 $4,780,942
The notes to the financial statements are an integral part of this statement.
46
47
City of Hopkins
Statement of Cash Flows
Proprietary Funds
For the Year Ended December 31, 2019
Business-type Activities-Enterprise Funds
Governmental
Nonmajor Activities
Water Sewer Storm Sewer Proprietary Internal
Utility Utility Utility Pavilion Funds Totals Service Funds
Cash Flows from Operating Activities
Receipts from customers and users $ 1,985,285 $ 2,839,114 $ 811,349 $ 488,690 $ 918,515 $ 7,042,953 $ 11,314
Receipts for interfund services provided - - - - - 526,686
Internal activity-payments to other funds 57,558 - - 119,996 200,000 377,554 -
Payments to suppliers (760,881) (290,817) (167,715) (200,184) (900,145) (2,319,742) (467,272)
Payments to employees (944,325) (1,650,503) (75,477) (298,180) (488,395) (3,456,880) -
Payments for interfund services used (211,455) (138,819) (55,685)(5,767) (94,032) (505,758) 34,989
Net cash provided by (used in) by operating activities 126,182 758,975 512,472 104,555 (364,057) 1,138,127 105,717
Cash Flows from Noncapital Financing Activities
Intergovernmental grants - 213,219 - - 689,004 902,223 -
Taxes - - - 40,054 - 40,054 227,800
Transfers in 1,699,024 1,103,450 518,496 - - 3,320,970 10,141
Transfers out (351,552) (310,800) (174,942)- (25,000) -
Miscellaneous income 55 1 9,360 783 9,227 19,426 -
Net cash provided by (used in) noncapital financing
activities 1,347,527 1,005,870 352,914 40,837 673,231 4,282,673 237,941
Cash Flows from Capital and Related Financing Activities:
Issuance of debt 444,500 190,500 - - - 635,000 -
Construction of capital assets (1,486,971) (794,153) (656,340) (85,983) (489,195) (3,512,642) (256,675)
Proceeds from sales of capital assets 45,827 17,754 - - - 63,581 1,383
Interest and other payments (71,985) (77,741) (21,606) (118,846)- (290,178) -
Bond payments (603,300) (629,600) (122,100) (20,000)- (1,375,000) -
Net cash provided by (used in) capital and related
financing activities (1,671,929) (1,293,240) (800,046) (224,829) (489,195) (4,479,239) (255,292)
Cash Flows From Investing Activities
Interest received - - - - - - 2
Net increase (decrease) in cash and cash equivalents (198,220) 471,605 65,340 (79,437) (180,021) 79,267 88,368
Cash and cash equivalents - January 1 198,220 92,155 534,290 79,437 951,553 1,855,655 366,205
Cash and cash equivalents - December 31 $- $ 563,760 $ 599,630 $- $ 771,532 $ 1,934,922 $ 454,573
48
City of Hopkins
Statement of Cash Flows
Proprietary Funds
For the Year Ended December 31, 2019
Business-type Activities-Enterprise Funds
Governmental
Nonmajor Activities
Water Sewer Storm Sewer Proprietary Internal
Utility Utility Utility Pavilion Funds Totals Service Funds
Reconciliation of Cash and Cash Equivalents at End of Year to
Cash and Investments per Statement of Net Position
Ending cash and cash equivalents per cash flow statement $- $ 563,760 $ 599,630 $- $ 771,532 $ 1,934,922 $ 454,573
Investments - 15,168 970,660 - 956,504 1,942,332 1,239,598
Cash and Investments per Statement of Net Position $- $ 578,928 $ 1,570,290 $- $ 1,728,036 $ 3,877,254 $ 1,694,171
Reconciliation of operating income (loss) to net
cash provided (used) by operating activities:
Operating income (loss) $ (176,403) $ 339,883 $ 220,888 $ (498,077) $ (398,359) $ (512,068) $ (556,482)
Adjustments to reconcile operating income
(loss) to net cash provided by (used in) operating
activities:
Depreciation expense 321,500 329,238 280,270 475,064 250,040 1,656,112 875,744
(Increase) decrease in:
Accounts receivable (12,486) (41,570) 5,156 (10,318) (350,443) (409,661) -
Due from other funds - - - - - (4,054)
Inventory 631 - - - 631 -
Prepaid expense (1,215) (127,354)- 90 (1,864) (130,343) -
Pensions (deferred outflows) 41,632 23,478 5,024 26,867 25,553 122,554 -
OPEB (deferred outflows)(6,188)(4,336)(606)(2,266)(4,105) (17,501) -
Increase (decrease) in:
Accounts, compensated absences and accrued interest payable (36,786) 270,725 4,478 (17,387) (53,050) 167,980 (209,491)
Due to other funds 57,558 - - 119,996 200,000 377,554 -
Due to other governments (1,612) - - (679)(8,402) (10,693) -
Unearned revenue - - - 15,151 - 15,151 -
Net pension liability (29,641) (14,263) 447 5,385 (3,442) (41,514) -
Total OPEB liability (3,866)(2,709)(378)1,810 (5,788) (10,931) -
Pensions (deferred inflows)(27,963) (14,833)(2,907) (11,455) (14,874) (72,032) -
OPEB (deferred inflows) 1,021 716 100 374 677 2,888 -
Net cash provided (used) by operating activities $ 126,182 $ 758,975 $ 512,472 $ 104,555 $ (364,057) $ 1,138,127 $ 105,717
The notes to the financial statements are an integral part of this statement.
49
50
NOTES TO THE
FINANCIAL STATEMENTS
51
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
1. SUMMARY OF SIGNIFICANT ACCOUNT POLICIES
The City of Hopkins, Minnesota (the City) is a charter City, which was approved December 2, 1947. The City operates
pursuant to applicable Minnesota laws and statutes. The governing body of the City is a Council – Manager form of
government.
The financial statements of the City have been prepared in conformity with U.S. generally accepted accounting principles as
applied to governmental units by the Government Accounting Standards Board (GASB). The more significant accounting
policies of the City are described below.
A. REPORTING ENTITY
In accordance with GASB pronouncements, the City’s financial statements include all funds and departments of the
City and its component units, for which the City is considered to be financially accountable. A blended component
unit, although legally separate entity is, in substance, part of the City’s operations and so data from this unit is
combined with data of the primary government. The City’s blended component unit has a March 31 year-end, however
when blended with the City it is shown with a December 31 year-end.
Blended Component Unit
Housing and Redevelopment Authority in and for the City of Hopkins (HRA)
The HRA was created by the City to carry out certain redevelopment projects and low-income rental housing. The
HRA's governing body is the same as the governing body of the primary government in that all members of the Hopkins
City Council are also the Hopkins Housing and Redevelopment Authority Commissioners. The City of Hopkins in its
capacity as the HRA Board of Directors, has operational responsibility for the HRA. Therefore there is a burden
relationship between the primary government and the component unit. The housing activity is supported in part by
federal subsidies. There is an extensive trust agreement between the HRA and HUD regarding the facility. The HRA is
included in the City’s enterprise funds. Separate financials are not prepared.
B. GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
The government-wide financial statements (i.e., statement of net position and the statement of changes in net position)
report information on all activities of the primary government and its component units. The interfund services provided
and used are not eliminated in the process of consolidation. 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 segment is offset
by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment.
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 segment and 2) grants and contributions that are restricted to
meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly
included among program revenues are reported instead as general revenues.
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.
52
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
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 have been met. Unbilled utility service receivables are recorded at year-end.
Governmental funds are accounted for using the current financial resources measurement focus and the modified
accrual basis of accounting. Their revenues are recognized when susceptible to accrual (i.e., when they become
measurable and available). “Measurable” means the amount of the transaction can be determined and “available”
means collectible within the current period or within sixty days thereafter to be used to pay liabilities of the current
period.
Major revenues that are susceptible to accrual include property taxes, special assessments, intergovernmental revenues,
charges for services, and investment earnings. Major revenues that are not susceptible to accrual include fees and
miscellaneous revenues; such revenues are recorded only as received because they are not measurable until collected.
Expenditures are generally recognized under the modified accrual basis of accounting when the related fund liability is
incurred, except for principal and interest on general long-term debt and compensated absences that are recognized
when due and payable.
The City reports the following major governmental funds:
The general fund is the primary operating fund of the City. It is used to account for all financial resources except
those required to be accounted for in another fund.
The economic development special revenue fund accounts for development opportunities of the city. Sources of
funds are derived from the administration of loans and an annual tax levy.
The arts center special revenue fund accounts for the activities of the Hopkins Center for the Arts. Sources of funds
are derived from leases, ticket sales, admission fees, grants and donations.
The tax increment district super valu special revenue fund accounts for the activities of the Super Valu tax
increment development district. Sources of funds are a tax increment levy.
The permanent improvement revolving capital projects fund accounts for resources and accumulated payments for
street improvements funded with bonds and special assessments levied on benefited property.
The capital improvement fund accounts for the payments made towards various improvement projects in the city.
The City reports the following major proprietary funds:
The water utility fund accounts for the operations of the City-owned water distribution system. The water bonds of
2009A, 2012B and 2013A are included as part of this fund since revenues of the water fund are pledged to pay
principal and interest on this bond.
The sewer utility fund accounts for the operations of the City-owned sewer lift stations and disposal system. The
sewer bonds of 2009A, 2012B and 2013A are included as part of this fund since revenues of the sewer fund are
pledged to pay principal and interest on this bond.
53
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
The storm sewer utility fund accounts for the operations and improvements of the storm water drainage system. The
storm water bond issues of 2009A, 2010B, 2012B and 2013A are included as part of this fund since revenues of the
storm sewer fund are pledged to pay principal and interest on these bonds.
The pavilion fund accounts for the operations and improvements of the city owned ice arena. The 2018B Tax
Abatement bonds used for the City's contribution towards the pavilion addition project are included as part of the
fund.
Additionally, the City reports the following fund types:
Governmental Funds
Special Revenue Funds - Special revenue funds are used to account for the proceeds of specific revenue sources that
are legally restricted or committed by Council to expenditures for specified purposes.
Debt Service Funds - Debt service funds are used to account for the accumulation of resources for, and the payment
of, general long-term debt principal, interest, and related costs.
Capital Project Funds - Capital project funds are used to account for financial resources to be used for the
acquisition or construction of major capital facilities and infrastructure, other than those financed by proprietary
funds or special revenue funds.
Proprietary Funds
Enterprise Funds - Enterprise funds are used to account for operations that are financed and operated in a manner
similar to private business enterprises, where the intent of the governing body is that the costs (expenses, including
depreciation) of providing goods or services to the general public on a continuing basis, be financed or recovered
primarily through user charges.
Internal Service Funds – Internal service funds are used to account for the financing of goods and services provided
by one department to other departments of the City on a cost-reimbursement basis. Internal service funds are used
for equipment replacement, insurance deductions and employee benefits.
As a general rule the effect of interfund activity has been eliminated from the government-wide financial statements,
however interfund services provided and used are not eliminated in the process of consolidation.
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 non-operating 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 City enterprise funds and internal service
funds are charges to customers for sales and service. Operating expenses for enterprise funds and internal service 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 non-operating revenues and expenses.
When both restricted and unrestricted resources are available for use, it is the City’s policy to use restricted resources
first, and then use unrestricted resources as they are needed.
54
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
D. CASH AND INVESTMENTS
Cash balances from all funds are combined and invested to the extent available in authorized investments pursuant to
Minnesota Statutes (see note 4). Earnings from such investments are allocated to the respective funds on the basis of
applicable cash balance participation by each fund. Investments in certificates of deposit with a maturity date of less
than one year at the date of purchase are reported at cost or amortized cost, which approximates fair value. Investments
held longer than one year are reported at fair value, based on quoted market prices.
The City accounts for its cash, cash equivalents and investments in an entity-wide cash management pool, which is used
essentially as a demand deposit account. Restricted cash and investments are reported separately on the financial
statement.
E. INTERFUND RECEIVABLES/PAYABLES
Activity between funds that is representative of lending/borrowing arrangements and transactions between funds that
are outstanding at the end of the fiscal year are referred to “due to/from other funds” Any residual balances outstanding
between the governmental activities and business-type activities are reported in the government-wide financial
statements as “internal balances.”
The non-current portion of due from other funds is classified as nonspendable fund balance in the general fund to
indicate that this portion of fund balance is not available for appropriation and is not expendable available financial
resources.
F. INVENTORIES AND PREPAID ITEMS
All inventories are accounted for using the consumption method and are valued at cost using the first-in/first-out (FIFO)
method.
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.
G. CAPITAL ASSETS
Capital assets, which include land, buildings, equipment and infrastructure assets (e.g., roads, bridges, curbs and
gutters, streets and sidewalks, drainage systems, lighting systems, and similar items), are reported in the applicable
governmental or business-type activities columns in the government-wide financial statements and the proprietary fund
financial statements. The City defines capital assets as assets with an initial, individual cost of more than $5,000 and an
estimated useful life in excess of three years. Such assets are recorded at historical cost. Donated capital assets are
recorded at acquisition value at the date of donation.
The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend assets lives are
not capitalized.
Assets not being depreciated include land and construction in progress. Buildings, equipment, and infrastructure of the
City and the HRA are depreciated using the straight-line method over the estimated useful lives as follows:
Buildings 30 - 40 years
Mains and Lines 40 - 50 years
Streets 20 - 25 years
Improvements 10 - 20 years
Vehicles 3 - 30 years
Equipment 3 - 20 years
55
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
H. DEFERRED OUTFLOWS/INFLOWS OF RESOURCES
In addition to assets, the statement of financial position reports a separate section for deferred outflows of resources.
This separate financial statement element, deferred outflows of resources, represents a consumption of net position
that applies to a future period(s) and will not be recognized as an outflow of resources (expense/expenditure) until
then. The City has three items that qualify for reporting in this category. It is the deferred charge on refunding reported
in the government-wide statement of net position, the deferred charge for pensions (see Pension section below for
explanation) and deferred charge on post employment benefits other than pensions (see OPEB section below for
explanation). A deferred charge on refunding results from the difference in the carrying value of refunded debt and its
reacquisition price. This amount is deferred and amortized over the shorter of the life of the refunded or refunding
debt. In addition to liabilities, the statement of financial position reports a separate section for deferred inflows of
resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net
position that applies to a future period(s) and will not be recognized as an inflow of resources (revenue) until that
time. The City has two items that qualifies for reporting in this category. It is the deferred charge for pensions (see
Pension section below for explanation) and deferred charges on post employment benefits other than pension (see
OPEB section below for explanation). The City also has one type of item, which arises 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 funds balance sheet. The governmental funds report unavailable revenues from four sources:
property taxes, special assessments, loans and grants. These amounts are deferred and recognized as an inflow of
resources in the period that the amounts become available.
I. COMPENSATED ABSENCES
The City compensates all employees upon termination for unused vacation or flex leave. Employees hired prior to
August 1, 1998 may opt to have sick leave, at the rate of 8 hours for each calendar month of full-time service, instead of
flex leave.
Employees hired prior to August 1, 1998, that have not opted for flex leave, shall be entitled to severance pay, after
completion of five years of continuous City employment. Severance pay is calculated by multiplying the total number
of continuous years in the City employ and/or accumulated sick leave by the daily wage rate prevailing at date of
severance, at one day per year of such employment, to a maximum of 20 days. Such severance money shall be paid in
case of separation caused by death, eligible retirements, or medically attested disability preventing an employee from
performing the major duties of the position or separation for non-disciplinary reasons.
Accumulated vacation, flex and vested severance pay is reported as an expense and an accrued liability as the benefits
accrue to employees in the government-wide and proprietary fund financial statements. A liability for these amounts is
reported in the governmental funds only if benefits have matured as a result of employee resignations and retirements.
The employee benefits internal service fund reports the governmental funds’ liability for compensated absences on the
accrual basis.
J. PENSIONS
For purposes of measuring the net pension liability, deferred outflows/inflows of resources, and pension expense,
information about the fiduciary net position of the Public Employees Retirement Association (PERA) and additions
to/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.
For purposes of measuring the liability, deferred outflows of resources and deferred inflows of resources, and expense
associated with the City's requirement to contribute to the Hopkins Fire Relief Association, information about the Plan's
fiduciary net position and additions to/deductions from the Hopkins Fire Relief Association Plan's fiduciary net position
56
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
have been determined on the same basis as they are reported by the Plan. For this purpose, benefit payments (including
refunds of contributions) are recognized when due and payable in accordance with the benefit terms. Investments are
reported at fair value.
K. POSTEMPLOYMENT BENEFITS OTHER THAN PENSIONS (OPEB)
For purposes of measuring the total OPEB liability, deferred outflows of resources related to OPEB, and OPEB
expense, the City recognizes payments when due and payable in accordance with the benefit terms. The City's benefit
payments consist of the implicit rate subsidy, and partially subsidized premiums for retirees hired before July 1, 1993.
L. LONG-TERM OBLIGATIONS
In the government-wide financial statements, and proprietary 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, amortized over the life of the bonds.
Bonds payable are reported net of the applicable bond premium or discount.
In the governmental fund financial statements bond premiums and discounts, as well as bond issuance costs are
recognized 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. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as
debt service expenditures.
M. NET POSITION/FUND EQUITY
Net position represents the difference between assets and liabilities in the government-wide financial statements. Net
position invested in capital assets consists of capital assets net of accumulated depreciation, reduced by the outstanding
balance of any long-term debt used to build or acquire the capital assets. Net position is reported as restricted in the
government-wide financial statements when there are limitations imposed on its use through external restrictions
imposed by creditors, grantors, laws or regulations of other governments.
In the fund financial statements, governmental funds report fund balances in classifications that disclose constraints for
which amounts in those funds can be spent. These classifications are as follows:
Nonspendable – portions of fund balance related to prepaids, inventories, long-term receivables, and land held for
resale.
Restricted – funds are constrained by external parties (statute, grantors, bond agreements, etc.).
Committed – fund constraints are established and modified by a resolution approved by the City Council.
Assigned – consists of internally imposed constraints. These constraints are established by the City Council and/or
management. The City Council also delegates the authority to assign fund balance to the Finance Director per City
Legislative Policy 6-G, Fund Balance.
Unassigned – is the residual classification for the General Fund and also reflects negative residual amounts in other
funds.
When an expenditure is incurred for purposes for which both restricted and unrestricted fund balance is available, it is
the City’s policy to use restricted first, then unrestricted fund balance.
57
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
When an expenditure is incurred for purposes for which committed, assigned, and unassigned amounts are available, it
is the City’s policy to use committed first, then assigned, and finally unassigned amounts.
The City formally adopted a fund balance policy for the General Fund. The policy establishes an unassigned fund of a
minimum of 5 months or 42% of the previous year’s budgeted expenditures.
N. INTERFUND TRANSACTIONS
Inter-fund services provided and used are accounted for as revenues and expenditures. Transactions that constitute
reimbursements to a fund for expenditures initially made from it that are properly applicable to another fund are
recorded as expenditures in the reimbursing fund and as reductions of expenditures in the fund that is reimbursed.
All other interfund transactions are reported as transfers.
O. PROPERTY TAXES
Property tax levies are set by the City Council in December of each year, and are certified to Hennepin County (the
County) for collection in the following year. In the State of Minnesota, counties act as collection agents for all property
taxes. The County spreads all levies over assessable property. 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 taxpayers in two equal installments, on May 15 and October 15. Personal property
taxes are also payable by taxpayers in two equal installments, on February 28 and June 30. The County provides tax
settlements to cities and other local governments three times a year, on or before January 25, July 5 and December 5.
In the governmental fund financial statements property taxes are accrued and recognized as revenue for collections
within 60 days of year-end. Taxes that remain unpaid at the County on December 31 are classified as delinquent taxes
receivable, and are fully offset by deferred inflows of resources because they are not available to finance current
expenditures. No allowance for uncollectible taxes has been provided because such amounts are not expected to be
material.
P. CONDUIT DEBT OBLIGATIONS
From time to time, the City has issued Commercial Development Revenue Notes/Bonds in accordance with the
Minnesota Municipal Industrial Development Act. These obligations are issued to provide financial assistance to
private-sector entities for the acquisition and construction of industrial and commercial facilities deemed to be in the
public interest. The obligations are secured by the property financed and are payable solely from payments received on
the underlying mortgage loans. Upon repayment of the obligations, ownership of the acquired facilities transfers from
the bond holder to the private-sector entity served by the debt issuance. Neither the City, the State, nor any political
subdivision thereof is obligated in any manner for repayment of the obligations. Accordingly, the bonds are not
reported as liabilities in the accompanying financial statements. As of December 31, 2019, there were 7 notes/bond
issues outstanding, with an aggregate principal amount payable of approximately $40 million.
Q. USE OF ESTIMATES
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure
of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those estimates.
58
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
2. RECONCILIATION OF GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
A. EXPLANATION OF CERTAIN DIFFERENCES BETWEEN THE GOVERNMENTAL FUND STATEMENT OF
REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE AND THE GOVERNMENT- WIDE
STATEMENT OF ACTIVITIES
The governmental fund statement of revenues, expenditures, and changes in fund balances includes a reconciliation
between net changes in fund balances – total governmental funds and change in net position of governmental activities
as reported in the government-wide statement of activities. One element of that reconciliation explains, “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.” The details of this difference are as follows:
Capital outlay $ 12,147,357
Depreciation expense (2,033,892)
Net adjustment to increase net changes in fund balances -
total governmental funds to arrive at changes in net position
of governmental activities $ 10,113,465
Another element of that reconciliation explains that, “the issuance of long-term debt provides current financial
resources to governmental funds, while the repayment of the principal of long-term debt uses financial resources of the
governmental funds. Neither of these transactions has any effect on the net position. Also, governmental funds report
the effect of premiums, discounts and similar items when debt is first issued, whereas these amounts are deferred and
amortized in the statement of activities.” The details of these differences are as follows:
Principal repayments $ (6,475,000)
Issuance of general obligation bonds 13,565,000
Add premium 1,292,974
Less deferred loss on refunding debt -
Amortization of deferred losses on refunding 40,778
Amortization of bond premium and discount (216,187)
Prior year interest expense (727,223)
Accrue interest expense for current year 939,760
Net adjustment to decrease net changes in fund balances -
total governmental funds to arrive at changes in net
position of governmental activities 8,420,102
3. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY
A. BUDGETS AND BUDGETARY ACCOUNTING
Annual budgets are adopted on a basis consistent with U.S. generally accepted accounting principles for all
governmental funds except the Section 8 and Hennepin County CDBG special revenue funds, the debt service funds
and the capital projects funds, which are not budgeted. A capital improvement plan is reviewed annually by the City
Council for the capital projects funds and utility 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. All
annual appropriations lapse at fiscal year end.
59
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
The City follows these procedures in establishing the budgetary data reflected in the financial statements and set forth
in Section 7.04 of the City Charter.
1. The City Manager shall, at the first regular council meeting in September, submit to the Council a proposed budget
and an explanatory budget message in a form and manner as prescribed by the City Charter.
2. The Council shall determine the plan and time of the public hearings on the budget to obtain taxpayer comments.
3. The Council shall adopt the tax levy by resolution no later than a December date, which is annually established by
law for the county auditor to levy taxes. The budget shall set forth the total for each budgeted fund with such
segregation as to objects and purposes of expenditures as the Council deems necessary for purposes of budget
control.
4. The City Manager is authorized to transfer budgeted amounts between departments within any fund; however, any
revisions that alter the total expenditures of any fund must be approved by the City Council and are limited to the
amount revenues exceed the budgets or authorize the transfer of sums from unexpended balances to other purposes.
Budgeted expenditure appropriations lapse at year-end. The level of legal control is at the fund level.
5. The Council made no supplemental budgetary appropriation throughout the year.
B. EXCESS OF EXPENDITURES OVER APPROPRIATIONS
For the year ended December 31, 2019, actual expenditures exceeded the budgeted amounts in the following funds:
General Fund $ 37,676
State Chemical Assessment Team 18,312
Parking 20,945
Hopkins Race & Equity Initiative 9,186
Tax Increment District SuperValu 444,728
Tax Increment District Oakes of Mainstreet 200,952
Tax Increment District Marketplace & Main 12,058
Tax Increment District Moline 535,855
These over expenditures were funded by greater than anticipated revenues of the General, Economic Development,
State Chemical Assessment Team, Hopkins Race & Equity Initiative, Tax Increment Entertainment District, Tax
Increment District Oakes of Mainstreet, and Tax Increment District Moline funds, from fund balance in the General,
Economic Development, Parking, Hopkins Race & Equity Initiative, and Tax Increment District Oakes of Mainstreet
funds, and by future revenues in the State Chemical Assessment Team, Depot Coffee House and Arts Center funds.
Budgets are adopted for some special revenue fund types but not all. Excluded from the budget adoption process are
funds that are completely reimbursable from the federal and state governments. The Community Development Block
Grant Funds is a non-budgeted fund.
60
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
At December 31, 2019, the following funds had deficit fund balances or net position. These deficits will be funded
through future tax levies, contributions, grants, charges for services or developer payments:
Art Center $ 1,156,077
Permanent Improvement Revolving 1,097,452
State Chemical Assessment Team 23,856
Depot Coffee House 62,581
Pavilion Addition 123,616
5th Avenue Flats 395,831
Tax Increment District Marketplace & Main 195,227
Tax Increment Revenue Bonds of 2016D 2,003
Pavilion Addition 123,616
Park Improvement 58,679
D. NET POSITION RESTRICTED BY ENABLING LEGISLATION
The government-wide statement of net position reports $6,384,673 in restricted net position for economic development,
of which $6,359,492 is restricted by enabling legislation. The remaining $25,181 is CDBG funds restricted by outside
parties.
4. DEPOSITS AND INVESTMENTS
As of December 31, 2019 the City had the following deposits and investments:
Investment Type Fair Value
Government sponsored entities $ 6,726,465
Municipal obligations 606,659
Negotiable certificates of deposit 3,430,236
Money market mutual fund 268,953
Deposits 17,216,571
Total fair value cash and investments $ 28,248,885
Interest rate risk – Interest rate risk is the risk that the fair value of investments will be adversely affected by a change in
interest rates. In accordance with City of Hopkins Legislative Policy 6-B, Standards of Investments, the city manages its
exposure to declines in fair values by structuring the investment portfolio so that securities mature to meet cash
requirements for ongoing operations, thereby avoiding the need to sell securities on the open market prior to maturity.
At December 31, 2019 the City had the following investment maturities:
Investment Maturities (in Years)
Less No
Total than One 1-5 6-10 Maturity
Investment Type:
Government sponsored entities
Fannie Mae $ 2,960,080 $ 2,960,080 $ - $ - $ -
FHLB 2,299,774 2,299,774 - - -
U.S. Treasury Note 1,466,611 1,466,611 - - -
Municipal obligations 606,659 504,460 102,199 - -
Negotiable certificates of deposit 3,430,236 3,430,236 - - -
Money market mutual fund 268,953 - - - 268,953
Deposits 17,216,571 - - - 17,216,571
61
C. FUND BALANCE DEFICITS
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
$ 28,248,885 $ 10,661,161 $ 102,199 $ - $ 17,485,524
Credit risk – Credit risk is the risk that an issuer or other counter party to an investment will not fulfill its obligations.
Credit risk is measured using credit quality ratings of investments in debt securities as described by nationally recognized
rating agencies such as Standard & Poor’s and Moody’s. According to the City’s investment policy commercial paper
shall be restricted to issues, which mature in 270 days or less with a rating of A-1 (Moody’s), P-1 (Standard & Poor’s) or
F-1 (Fitch) among at least two of the three rating agencies.
The City is authorized by Minnesota Statutes to invest in the following:
(a) Direct obligations or obligations guaranteed by the United States or its agencies
(b) Shares of investment companies registered under the Federal Investment Company Act of 1940 and whose
only investments are in securities described in (a) above
(c) General obligations in the State of Minnesota or any of its municipalities
(d) Bankers’ acceptances of United States banks eligible for purchase by the Federal Reserve System
(e) Commercial paper issued by United States corporations or their Canadian subsidiaries, of the highest quality,
and maturity in 270 days or less; and
(f) Guaranteed investment contracts issued or guaranteed by United States commercial banks or domestic
branches of foreign banks or United States insurance companies or their subsidiaries
(g) Repurchase or reverse repurchase agreements with banks that are members of the Federal Reserve System with
capitalization exceeding $10,000,000, a primary reporting dealer in U.S. Government securities to the Federal
Reserve Bank of New York, or certain Minnesota securities broker-dealers.
The following table lists the credit quality ratings per Moody’s and/or Standard and Poor’s and/or Fitch of the City’s
investments at December 31, 2019.
Quality Ratings
Not
Total AAA AA Rated
Investment Type:
Government securities
Fannie Mae $ 2,960,080 $- $ 2,960,080 $ -
FHLB 2,299,774 - 2,299,774 -
U.S. Treasury Note 1,466,611 1,466,611 - -
Municipal obligations 606,659 504,460 102,199 -
Negotiable certificates of deposit 3,430,236 - - 3,430,236
Money market mutual fund 268,953 - - 268,953
Deposits 17,216,571 - - 17,216,571
$ 28,248,885 $ 1,971,071 $ 5,362,053 $ 20,915,761
Custodial credit risk
Deposits – For deposits, this 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 all City deposits be protected by insurance, surety bond, or collateral. The market value of
collateral pledged must equal 110% of the deposits not covered by insurance or bonds. Authorized collateral includes the
legal investments described above, as well as certain first mortgage notes, and certain other state or local government
obligations. 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. At December 31, 2019 the City had no deposits that were
uninsured or uncollateralized. The deposits were insured or collateralized by securities held by the City’s agent in the
City’s name.
Investments – For an investment, this is the risk that, in the event of the failure of the counterparty, the City will not be
able to recover the value of its investments or collateral securities that are in the possession of an outside party. All
62
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
investments held by the City are insured or registered or are held by the City or its agent in the City’s name. The City has
no investments that are uninsured or unregistered nor are any investments held by a counterparty or a counterparty's trust
department or agent that is not in the city's name.
Concentration of credit risk – This is the risk associated with investing a significant portion of the City’s investments
(considered 5% or more) in the securities of a single issuer, excluding U.S. explicitly guaranteed investments (Treasuries),
investment pools, and mutual funds. At December 31, 2019, the City had investments with FNMA and FHLB which
individually comprised more than 5% of the City's total investments. Investments with FNMA and FHLB were 10% and
8%, respectively, of the City's total investments.
Fair Value Measurement – The City used fair value measurements to record fair value adjustments to certain assets and
liabilities and to determine fair value disclosures. The City follows an accounting standard that defines fair value,
establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to
measure fair value, and requires expanded disclosures about fair value measurements.
In accordance with this standard, the City has categorized its investments, based on the priority of the inputs to the
valuation technique, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted
prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3).
If the inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is
based on the lowest level input that is significant to the fair value measurement of the instrument. Financial assets and
liabilities recorded on the combined statements of financial position are categorized based on the inputs to the valuation
techniques as follows:
Level 1 - Financial assets and liabilities are valued using inputs that are unadjusted quoted prices in active
markets accessible at the measurement date of identical financial assets and liabilities.
Level 2 - Financial assets and liabilities are values based on quoted prices for similar assets, or inputs that are
observable, either directly or indirectly for substantially the full term through corroboration with observable
market data.
Level 3 - Financial assets and liabilities are valued using pricing inputs which are unobservable for the asset,
inputs that reflect the reporting entity's own assumptions about the assumptions market participants and would
use in pricing the assets.
As of December 31, 2019 the City's investments fall into the following categories of fair value:
Level 1 Level 2 Level 3 Total
U.S. Government Securities $- $ 6,726,465 $ - $ 6,726,465
Municipal Obligations - 606,659 - 606,659
Negotiable Certificates of Deposit - 3,430,236 - 3,430,236
$- $ 10,763,360 $ - 10,763,360
Investments measured at amortized cost 17,485,524
$ 28,248,885
63
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
5. CAPITAL ASSETS
Capital asset activities for the year ended December 31, 2019 were as follows:
Beginning Ending
Balance Increase Decreases Transfers Balance
Governmental activities:
Capital assets, not being depreciated
Land $ 6,157,677 $- $- $- $ 6,157,677
Construction in progress 21,517,004 12,062,241 - (7,335,101) 26,244,144
Total not being depreciated 27,674,681 12,062,241 - (7,335,101) 32,401,821
Capital assets, being depreciated
Buildings 20,685,855 39,000 - - 20,724,855
Other Improvements 61,145,056 40,581 - 7,335,101 68,520,738
Vehicles 5,190,623 - 5,026,981
Machinery & equipment 7,324,947 286,692
-(163,642)
(2,000,484)- 5,611,155
Total being depreciated 94,346,481 366,273 (2,164,126) 7,335,101 99,883,728
Less accumulated depreciation
Buildings (8,208,686) (509,719) - - (8,718,405)
Other Improvements (20,778,313) (1,453,385) - - (22,231,698)
Vehicles (2,381,964) (587,741) 227,095 - (2,742,610)
Machinery & equipment (4,752,074) (358,162) 1,911,800 - (3,198,436)
Total accumulated depreciation (36,121,037)(2,909,006) 2,138,895 - (36,891,148)
Total capital assets, being
depreciated, net 58,225,444 (2,542,734) (25,231) 7,335,101 62,992,580
Governmental activities capital
assets, net $ 85,900,125 $ 9,519,507 $ (25,231) $- $ 95,394,401
Beginning Ending
Balance Increases Decreases Transfers Balance
Business-type Activities:
Capital assets, not being depreciated
Land $ 254,299 $- $- $- $ 254,299
Construction in progress 4,293,434 2,875,608 - (2,016,349) 5,152,693
Total not being depreciated 4,547,733 2,875,608 - (2,016,349) 5,406,993
Capital assets, being depreciated
Buildings 8,866,971 503,161 - - 9,370,132
Infrastructure 20,246,803 - - 1,026,551 21,273,354
Other Improvements 25,158,268 20,413 - 989,798 26,168,479
Vehicles 1,346,280 - - - 1,346,280
Machinery & equipment 949,818 108,333 - - 1,058,151
Total being depreciated 56,568,140 631,907 - 2,016,349 59,216,396
Less accumulated depreciation
Buildings (5,568,146) (245,097) - - (5,813,243)
Infrastructure (13,436,742) (363,184) - - (13,799,926)
Other Improvements (2,933,558) (802,779) - - (3,736,337)
Vehicles (504,563) (210,917) - - (715,480)
Machinery & equipment (675,933) (34,135) - - (710,068)
Total accumulated depreciation (23,118,942)(1,656,112) - - (24,775,054)
Total capital assets, being
depreciated, net 33,449,198 (1,024,205)- 2,016,349 34,441,342
Business-type activities capital
assets, net $ 37,996,931 $ 1,851,403 $- $- $ 39,848,335
64
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS
December 31, 2019
Depreciation expense was charged to City functions as follows:
Governmental activities:
General government $ 53,380
Public safety 202,184
Highways and streets 1,520,016
Culture and recreation 257,682
Capital assets held by the government's internal service funds are 875,744
charged to the various functions based on their usage of the assets
Total depreciation expense - governmental activities $ 2,909,006
Business-type activities:
Water $ 321,500
Sewer 329,238
Storm Sewer 280,270
Refuse 69,054
Pavilion/Ice arena 475,064
Housing and Redevelopment Authority 180,986
Total depreciation expense - business-type activities $ 1,656,112
Construction commitments
The City has active construction projects as of December 31, 2019. The projects include streets and other improvements.
The City’s commitment with contractors related to these projects is $922,361.
On October 15, 2013 the City Council entered into a 14 year maintenance agreement with SEH Design/Build, Inc. for
inspection, maintenance, cleaning and painting of the city's two water towers. The contract commitment totals $1,529,400
and will be paid in annual installments beginning in 2014.
6. INTERFUND RECEIVABLES AND PAYABLES
The following funds had amounts receivable from other funds, and the respective funds had equal amounts payable to
other funds at December 31, 2019:
Due from Other Funds
Economic
General Development Total
Due to other funds:
Non-major governmental $ 279,997 $ 757,479 $ 1,037,476
Arts Center 1,143,556 - 1,143,556
Water 1,104,472 - 1,104,472
Pavilion 119,996 - 119,996
Non-major enterprise 200,000 - 200,000
Total due to other funds $ 2,848,021 $ 757,479 $ 3,605,500
The interfund receivables and payables are to eliminate negative cash between funds and to allow for development loans
or to facilitate a project or operations of another fund.
65
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
7. INTERFUND TRANSFERS
The following is a summary of transfers between funds as of December 31, 2019:
Transfers in
Permanent
Art Economic Improvement Capital Non-major Storm
Center Development Revolving Improvement Governmental Water Sewer Sewer Total
Transfers out:
General $ - $ - $ - $ 20,000 $ - $ - $ - $ 20,000
Permanent
Improvement
Revolving - - - 80,794 - - - 80,794
Tax Increment
Super Valu - - - 1,371,022 - - - 1,371,022
Water - - - - 351,552 - - - 351,552
Sewer - - - - 310,800 - - - 310,800
Storm Sewer - - - - 174,942 - - - 174,942
Non-major
governmental 86,920 4,751 5,089,596 4,800,000 1,433,559 1,699,024 1,103,450 518,496 14,735,796
Non-major
business-type - - - 25,000 - - - 25,000
Total transfers in $ 86,920 $ 4,751 $ 5,089,596 $ 4,800,000 $ 3,767,669 $ 1,699,024 $ 1,103,450 $ 518,496 $ 17,069,906
Interfund transfers allow the City to allocate financial resources to debt service funds that are paying the general
obligation debt.
Non-routine transfers include the following:
1) Annual transfers from water, sewer, storm sewer and refuse funds for lease payments on new public works
facility.
2) An annual transfer, from the non-major governmental Communication funds to the Art Center Fund totaling
$86,920 to pay the original debt for building the facility.
3) Annual transfers from Tax Increment Special Revenue funds to Debt Service funds for debt payments.
4) Transfers from non-major governmental funds to Permanent Improvement Revolving, water, sewer and storm
storm sewer and non-major governmental funds for bond proceeds.
5) Transfers from water, sewer and storm sewer to non-major governmental debt funds for bond payment
contributions.
6) Transfer from nonmajor governmental funds to Capital Improvement fund for capital contribution.
8. LONG-TERM DEBT
The City issues general obligation bonds to provide funds for the acquisition and construction of major capital
facilities. General obligation bonds have been issued for governmental activities.
General Obligation Bonds are backed by the full faith, credit and taxing power of the City, and are serviced by
General and Tax Increment levies and also by fees assessed against benefited properties. These bonds generally are
issued as 20-year serial bonds.
General Obligation Bonds
On April 30, 2019 the City issued $12,185,000 General Obligation Bonds series 2019A for street reconstruction,
utility improvements and City Hall updgrades. The bonds bear interest at rates ranging from 3.00% to 5.00% , and
have a final maturity date of February 1, 2035.
66
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
Refunding Bonds
On November 26, 2019 the City issued $2,015,000 General Obligation Refunding Bonds, Series 2019B for refunding
$840,000 of General Obligation Bonds, Series 2009A and $1,355,000 of General Obligation Permanent
Improvements Bonds, 2010A. The bonds bear interest at a rate of 5.00%, and have a final maturity date of February
1, 2026. Future combined debt service payments will be reduced by $43,337 with a present value savings of $40,894.
The refunded bonds were called and paid on November 26, 2019.
General obligation bonds currently outstanding are as follows:
Purpose Interest Rates Original Amount Current Amount
Governmental activities 0.35 – 4.00% $ 49,375,000 $ 44,810,000
Governmental activities – refunding 0.50 – 5.00% 28,045,000 18,270,000
Annual debt service requirements to maturity for general obligation bonds are as follows:
Year Ending Governmental Activities
December 31 Principal Interest
2020 $ 4,395,000 $ 1,947,663
2021 5,110,000 1,747,105
2022 5,250,000 1,594,071
2023 5,340,000 1,435,610
2024 4,295,000 1,285,075
2025-2029 22,865,000 4,220,499
2030-2034 14,490,000 1,142,849
2035-2037 1,335,000 26,475
$ 63,080,000 $ 13,399,347
The City also has special assessment bonds, which are backed by the full faith, credit and taxing power of the City,
and repayment monies are generated by the collection of special assessments and general levies.
General obligation bonds currently outstanding are as follows:
Purpose Interest Rates Original Amount Current Amount
Street Improvements 0.50 – 3.125% $ 9,810,000 $ 4,855,000
Annual debt service requirements to maturity for special assessment bonds are as follows:
Year Ending Governmental Activities
December 31 Principal Interest
2020 $ 455,000 $ 108,550
2021 460,000 98,800
2022 465,000 88,350
2023 475,000 77,750
2024 490,000 66,875
2025-2029 2,360,000 160,481
2030-2031 150,000 2,344
$ 4,855,000 $ 603,150
67
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
Revenue Bonds
The City also issues bonds where the government pledges income derived from the acquired or constructed assets to
pay debt service.
Revenue bonds outstanding at year-end are as follows:
Purpose Interest Rates Original Amount Current Amount
Water construction & replacement 2.0 – 2.2% 760,000 460,000
Water construction & replacement 2.0 - 2.5% 860,000 600,000
Water construction & replacement 2.0 - 2.0 % 930,000 815,000
Water construction & replacement 3.0 - 4.0% 272,650 259,350
Water construction & replacement 3.0 - 5.0% 444,500 444,500
Sanitary sewer construction & replacement 2.0 – 2.2% 170,000 100,000
Sanitary sewer construction & replacement 2.0 - 2.5% 490,000 340,000
Sanitary sewer construction & replacement 3.0 - 4.0% 1,119,300 1,064,700
Sanitary sewer construction & replacement 3.0 - 5.0% 190,500 190,500
Storm sewer – refunding 0.5 – 2.9% 875,000 325,000
Storm sewer construction & replacement 2.0 – 2.2% 320,000 190,000
Storm sewer construction & replacement 2.0 - 2.5% 380,000 265,000
Storm sewer construction & replacement 3.0 - 4.0% 43,050 40,950
Pavilion equipment certificates 2.0 – 2.0% 175,000 60,000
Pavilion construction & replacement 3.0 – 3.0% 3,285,000 3,285,000
Revenue bond debt service requirements to maturity are as follows:
Year Ending
December 31 Principal Interest
2020 $ 595,000 $ 240,722
2021 640,000 217,761
2022 655,000 199,881
2023 665,000 181,429
2024 590,000 163,721
2025-2029 3,120,000 555,381
2030-2035 2,175,000 156,400
$ 8,440,000 $ 1,715,295
The City is subject to a statutory limit of bonded indebtedness equaling 3.0 percent of taxable market value. At
December 31, 2019, the debt limit for the City is $64,367,792. Of the total debt, $18,340,000 of general obligation
and revenue bonds is applicable to the limit. The legal debt margin is $46,027,792.
68
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
Changes in Long-Term Liabilities
Long-term liability activity for the year ended December 31, 2019, was as follows:
Beginning Ending Due Within
Balance Additions Deductions Balance One Year
Governmental Activities:
Bonds payable:
G.O. tax increment bonds $ 15,185,000 $ - $ 1,905,000 $ 13,280,000 $ 1,060,000
General obligation bonds 38,815,000 13,565,000 2,580,000 49,800,000 3,335,000
Total general obligation bonds 54,000,000 13,565,000 4,485,000 63,080,000 4,395,000
Special assessment bonds 6,845,000 - 1,990,000 4,855,000 455,000
Less deferred amounts
For issuance discounts (28,527) - 17,367 (11,160) -
For issuance premiums 2,294,298 1,292,974 233,555 3,353,717 -
Total bonds payable 63,110,771 14,857,974 6,725,922 71,277,558 4,850,000
Compensated absences 884,053 1,227,400 1,185,681 925,772 518,905
Governmental activity
long-term liabilities $ 63,994,824 $ 16,085,374 $ 7,911,603 $ 72,203,330 $ 5,368,905
Business-type activities:
Bonds payable:
Revenue bonds $ 9,180,000 $ 635,000 $ 1,375,000 $ 8,440,000 $ 595,000
Less deferred amounts
For issuance discounts (2,926) - 717 (2,209) -
For issuance premiums 192,294 59,181 27,281 224,194 -
Total bonds payable 9,369,368 694,181 1,402,998 8,661,985 595,000
Compensated absences 91,630 96,584 103,301 84,913 44,754
Business-type activity
long-term liabilities $ 9,460,998 $ 790,765 $ 1,506,299 $ 8,746,898 $ 639,754
For the governmental activities, compensated absences liability is generally liquidated by the general and by the
parking, communications, Depot Coffee House and arts center special revenue funds.
For the governmental activities, the OPEB and pension liabilities are generally liquidated by the general and by the
parking, communications, Depot Coffee House and arts center special revenue funds.
69
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
10. FUND BALANCES
At December 31, 2019, the City had various fund balances through legal restriction and City Council
authorization. Major fund balance appropriations at December 31, 2019 are shown on the various balance sheets
as segregations of the fund balance. The fund balances are as follows:
Total Nonspendable Restricted Committed Assigned Unassigned
General Fund $ 5,627,395 $ - $ - $ - $ - $ 5,627,395
Inventories 78,146 78,146 - - - -
Prepaids 132,954 132,954 - - - -
Community development 245,494 - - - 245,494 -
Total General Fund 6,083,989 211,100 - - 245,494 5,627,395
Economic Development
Economic Development 4,305,158 - - 4,305,158 - -
Total Economic Development Fund 4,305,158 - - 4,305,158 - -
Arts Center
Deficit Fund Balance (1,156,077) 8,500 - - - (1,164,577)
Total Arts Center Fund (1,156,077) 8,500 - - - (1,164,577)
Tax Increment District Super Valu
Property held for resale 321,719 - 321,719 - - -
Tax Increment 5,934,846 - 5,934,846 - - -
Total Tax Increment District
Super Valu 6,256,565 - 6,256,565 - - -
Permanent Improvement Revolving
Deficit Fund Balance (1,097,452) - - - - (1,097,452)
Total Permanent Improvement
Revolving (1,097,452) - - - - (1,097,452)
Capital Improvement
Capital Improvement 319,784 - 319,784 - - -
Total Capital Improvement Fund 319,784 - 319,784 - - -
Nonmajor Governmental Funds
Rehab loans 25,181 - 25,181 - - -
Debt service 6,246,005 - 6,246,005 - - -
Tax increment 577,869 - 577,869 - - -
Parking improvements 108,236 - - 108,236 - -
Communications 330,931 240 154,812 175,879 - -
Capital Asset Improvement 504,933 - 504,933 - - -
Race and Equity Initiative 692 - 692 - - -
Deficit fund balance (861,843) - - - - (861,843)
Total Nonmajor Funds 6,932,004 240 7,509,492 284,115 - (861,843)
Total Fund Balances $ 21,643,971 $ 219,840 $ 14,085,841 $ 4,589,273 $ 245,494 $ 2,503,523
70
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
11. PENSION PLAN OBLIGATIONS
1. Defined Benefit Pension Plans - Statewide
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 Plan
All full-time and certain part-time employees of the City are covered by the General Employees Plan. General
Employees Plan members belong to the Coordinated Plan. Coordinated Plan members are covered by Social
Security.
2. Public Employees Police and Fire Plan
The Police and Fire Plan, originally established for police officers and firefighters not covered by local relief
associations, now covers all police officer and firefighters hired since 1980. Effective July 1, 1999, the Police and
Fire Plan also covers police officers and firefighters belonging to local relief associations that elected to merge with
and transfer assets and administration to PERA.
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 provision in effect at the time they last terminated their public service.
1. General Employees Plan Benefits
General Employees Plan 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 computer benefits for
PERA's Coordinated Plan 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 percent of average salary for each of the first 10 years of service and 1.7 percent of average
salary 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 for
unreduced Social Security benefits capped at 66.
Annuities, disability benefits, and survivor benefits are increased effective every January 1. Beginning January 1, 2019,
the post retirement increase will be equal to 50 percent of the cost-of-living adjustment (COLA). announced by the
SSA, with a minimum increase of at least 1 percent and a maximum of 1.5 percent. Recipients that have been receiving
the annuity or benefit for at least a fully ear as of the June 30 before the effective date of the increase will receive the
full increase. For 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. For members retiring on January 1,
2024, or later, the increase will be delayed until normal retirement age (age 65 if hired prior to July 1, 1989, or age 66
for individuals hired on or after July 1, 1989). Members retiring under Rule 90 are exempt from the delay to normal
retirement.
71
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
2. Police and Fire Plan Benefits
Benefits for the Police and Fire Plan 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 Police and Fire
Plan 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. A full,
unreduced pension is earned when members are age 55 and vested, or for members who were first hired prior to
July 1, 1989, when age plus years of service equal at least 90.
Annuities, disability benefits, and survivor benefits are increased effective every January 1. Beginning January 1,
2019, the post retirement increase will be fixed at 1 percent. 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. For 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.
B. Contributions
Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. Contribution rates can only be
modified by the state legislature.
1. General Employees Fund Contributions
Coordinated Plan members were required to contribute 6.50%, respectively, of their annual covered salary in calendar
year 2019. The City was required to contribute 7.50% for Coordinated Plan members in calendar year 2019. The
City’s contributions to the General Employees Fund for the year ended December 31, 2019, were $429,188. The
City’s contributions were equal to the required contributions as set by state statute.
2. Police and Fire Fund Contributions
Plan members contribution rates increased from 10.8% of pay to 11.3% of their annual covered salary in calendar year
2019. The City was required to contribute 16.95%, an increase from 16.2% of pay for Police and Fire Fund members
in calendar year 2019. The City’s contributions to the Police and Fire Fund for the year ended December 31, 2019,
were $563,869. The City’s contributions were equal to the required contributions as set by state statute.
C. Pension Costs
1. General Employees Fund Pension Costs
At December 31, 2019, the City reported a liability of $4,456,194 for its proportionate share of the General Employees
Fund's net pension liability. The City’s net pension liability reflected a reduction due to the State of Minnesota’s
contribution of $16 million to the fund in 2019. 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 $138,494. The net pension liability was
measured as of June 30, 2019, 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, 2018,
through June 30, 2019, relative to the total employer contributions received from all of PERA’s participating
72
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
employers. At June 30, 2019, the City’s proportion was .0806%, which was an decrease of .0005% from its proportion
measured as of June 30, 2018.
For the year ended December 31, 2019, the City recognized pension expense of $526,576 for its proportionate share of
the General Employee Fund’s pension expense. In addition, the City recognized an additional $10,372 as pension
expense (grant revenue) for its proportionate share of the state of Minnesota's contribution of $16 million to the
General Employees Fund during the 2019 calendar year.
At December 31, 2019, the City reported its proportionate share of the General Employees Fund’s deferred outflows of
resources and deferred inflows of resources related to pensions from the following sources:
Description
Deferred
Outflows of
Resources
Deferred Inflows
of Resources
Differences between expected and actual economic
experience
$ 123,498 $ -
Changes of assumptions - 350,260
Net difference between projected and actual earnings on
pension plan investments
- 451,688
Changes in proportion 15,308 61,461
City contributions subsequent to the measurement date 211,543
Total $ 350,349 $ 863,409
A total of $211,543 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, 2020. Other amounts reported as deferred outflows and inflows of resources related to pensions will be
recognized in pension expense as follows:
Year Ended June 30
2020 $ (275,973)
2021 (358,822)
2022 (96,989)
2023 7,181
2024 -
Thereafter -
2. Police and Fire Fund Pension Costs
At December 31, 2019, the City reported a liability of $3,298,134 for its proportionate share of the Police and Fire
Fund's net pension liability. The net pension liability was measured as of June 30, 2019, 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 contribution received by PERA during the measurement
period for employer payroll paid dates from July 1, 2018, through June 30, 2019, relative to the total employer
contribution received from all of PERA's participating employers. At June 20, 2019, the City's proportion was
.3098%, which was an increase of 0.018% from its proportionate share measured as of June 30, 2018. The City also
recognized $41,283 for the year ended December 31, 2019, as revenue and an offsetting reduction of the net pension
liability for its proportionate share of the State of Minnesota's on behalf contributions to the Police and Fire fund.
Legislation passed in 2013 required the State of Minnesota to begin contribution $9 million to the Police and Fire
Fund each year until the plan is 90% funded or until the State Patrol Plan (administered by the Minnesota State
Retirement System) is 90 percent funded, whichever occurs later. In addition, the state will pay $4.5 million on
73
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
October 1, 2018 and October 1, 2019 in direct state aid. Thereafter, by October 1 of each year, the state will pay $9
million until full funding is reached or July 1, 2048, whichever is earlier.
For the year ended December 31, 2019, the City recognized pension expense of $439,763 for its proportionate share
of the Police and Fire Plan's pension expense.
At December 31, 2019, 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:
Description
Deferred
Outflows of
Resources
Deferred Inflows
of Resources
Differences between expected and actual economic
experience
$ 140,035 $ 502,011
Changes of assumptions 2,736,928 3,702,792
Net difference between projected and actual earnings on
pension plan investments
- 686,924
Changes in proportion 183,654 423,501
City contributions subsequent to the measurement date 282,872 -
Total $ 3,343,489 $ 5,315,228
A total of $282,872 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, 2020. Other amounts reported as deferred outflows and inflows of resources related to pensions will
be recognized in pension expense as follows:
Year Ended June 30
2020 $ (255,302)
2021 (498,672)
2022 (1,361,988)
2023 (51,515)
2024 (87,134)
Thereafter -
D. Actuarial Assumptions
The total pension liability in the June 30, 2019, actuarial valuation was determined using the following actuarial
assumptions:
Inflation 2.50% per year
Active Member Payroll Growth 3.25% per year
Investment Rate of Return 7.50%
Salary increases were based on a service-related table. Mortality rates for active members, retirees, survivors and
disabilitants were based on RP-2014 tables for males or females, as appropriate, with slight adjustments to fit PERA's
experience. Cost of living benefit increases for retirees are assumed to be 1.25 percent per year for the General
Employees Plan and 1.0 percent per year for the Police and Fire Plan.
Actuarial assumptions used in the June 30, 2019, valuation were based on the results of actuarial experience studies.
The most recent six-year experience study in the General Employees Plan was completed in 2019. The most recent
74
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
four-year experience study for Police and Fire Plan was completed in 2016. Economic assumptions were updated in
2018 based on a review of inflation and investment return options.
The following changes in actuarial assumptions occurred in 2019:
General Employees Plan
The mortality projection scale was changed from MP-2017 to MP-2018.
The assumed post-retirement benefit increase was changed from 1.0 percent per year through 2044 and 2.5
percent per year thereafter to 1.25 percent per year.
Changes in 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.
Police and Fire Fund
The mortality projection scale was changed from MP-2017 to MP-2018.
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 on a regular basis 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:
Asset Class Target Allocation Long-Term Expected Real
Rate of Return
Domestic Stocks 35.5%5.10%
International Stocks 25%5.90%
Bonds (Fixed
Income)
20%0.75%
Alternative Assets
(Private Markets)
17.5%5.90%
Cash 2%-%
Total 100%
75
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
E.Discount Rate
The discount rate used to measure the total pension liability in 2019 was 7.5%. 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 General Employees Fund was
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.
F.Pension Liability Sensitivity
The following presents the City’s proportionate share of the net pension liability for all plans it participates in,
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 or one
percentage point higher than the current discount rate:
Sensitivity of Net Pension Liability at Current Single Discount Rate
General Employees Fund Police and Fire Fund
1% Lower 6.5% $ 7,325,742 6.5% $ 7,209,108
Current Discount Rate 7.5% $ 4,456,194 7.5% $ 3,298,134
1% Higher 8.5% $ 2,086,811 8.5% $ 64
G. 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 on the Internet at www.mnpera.org.
(remainder of this page left blank intentionally)
76
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
2. Hopkins Fire Relief Association (HFRA)
A. Plan Description
Firefighters of the City of Hopkins are members of the Hopkins Fire Department Relief Association. The
Association is the administrator of the single-employer defined benefit pension plan available to firefighters. The
plan was established in 1909 and is administered pursuant to Minnesota Statutes Chapter 69, Chapter 424A, and
the Association’s by-laws. It is governed by a Board of Trustees made up of six members elected by the members
of the Association for three year terms, and the Mayor, City Clerk and Fire Chief, who serve as ex-officio voting
members of the Board of Trustees. As of December 31, 2018, membership includes 38 active participants and 13
vested terminated employees entitled to benefit but not yet receiving them
The Association issues a publicly available financial report that includes financial statements and required
supplementary information of the Hopkins Fire Relief Association. That report may be obtained by writing to the
Hopkins Fire Relief Association, 1010 First St S, Hopkins, MN 55343.
For financial reporting purposes, the Association’s financial statements are not included with the City financial
statements because the Association is not a component unit of the City. The Association does not have any
component units.
B. Benefits Provided
The Association operates under a defined benefit plan. The pension liability is calculated by the number of active
service years multiplied by a set benefit level. The Association’s current level is at $7,300 per active year. According
to the bylaws of the Association and pursuant to Minnesota statute 424A.02, subdivisions 2 and 4, members who retire
with less than 20 years of service and have reached the age of 50 years and have completed at least ten years of active
membership are entitled to a reduced service pension not to exceed the amount calculated by multiplying the member’s
service pension for the completed years of service times the applicable non-forfeitable percentage of pension. The
defined retirement benefits are based on members’ years of service. Vesting begins after the 10th year of service with a
60% benefit increasing by 4% per year to 100% after the 20th year of service.
If a member of the Association shall become totally and permanently disabled, with a service related disability (injured
in the line of duty) to the extent that a physician or surgeon acceptable to the Board shall certify that such disability
will permanently prevent said member from performing said member’s duties in the Department, the Association shall
pay to such member the sum of the current pension amount for each year and fractions of a year that the member has
served as an active member of the Department, without regard to minimum or partial vesting requirements. If a
member who has received such a disability pension should subsequently recover and return to active duty in the
Department, any amount paid to said member as a disability pension shall be deducted from said member’s service
pension.
Upon the death of any member of the Association who is in good standing at the time of said member’s death, the
Association shall pay to the surviving spouse, if any, and if there is no surviving spouse, to child or children, if any,
and if no child or children survive, to the estate of such deceased member, the credited sum of said member’s pension.
77
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
C. Contributions
Minnesota Statues Chapter 424A.093 specifies minimum support rates required on an annual basis. The significant
actuarial assumptions used to compute the municipal support are the same as those used to compute the accrued
pension liability. The association is comprised of volunteers; therefore, there are no payroll expenditures (i.e. there are
no covered payroll percentage calculations). The minimum contribution from the City of Hopkins and state aid is
determined as follows:
The Plan is funded in part by fire state aid and, if necessary, City contributions. The State of Minnesota distributed to
the City $107,988 in fire state aid and $1,000 in supplemental benefit reimbursements paid by the City to the Relief
Association for the year ended December 31, 2018. Required employer contributions are calculated annually based
on statutory provisions. The City’s statutorily-required contribution to the plan for the year ended December 31, 2018
was $40,000.
The City used December 31, 2018 amounts since December 31, 2019 were not available yet.
D. Pension Costs
At December 31, 2019, the City reported an asset of $227,156 for the Association’s net pension asset. The net pension
asset was measured as of December 31, 2018, and the total pension liability used to calculate the net pension liability
was determined by an actuarial valuation as of that date.
As a result of its requirement to contribute to the Relief Association, the City recognized fire expense of $242,187 for
the year ended December 31, 2019. At December 31, 2019, the City reported deferred outflows of resources and
deferred inflows of resources from the following sources:
Description
Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Differences between expected and actual economic
experience
$ - $ 186,661
Changes of assumptions 52,218 -
Net difference between projected and actual earnings on
pension plan investments
321,445 -
City contributions subsequent to the measurement date 20,902 -
Total $ 394,565 $ 186,661
78
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
The City contributions to the Association subsequent to the measurement date of $20,902, reported as deferred
outflows of resources, will be recognized as a reduction of the net pension liability in the year ended December 31,
2020. Other amounts reported as deferred outflows and inflows of resources related to the Association’s pension will
be recognized in pension expense as follows:
Year Ended December 31
Pension Expense
Amount
2020 $ 92,975
2021 25,792
2022 22,256
2023 78,089
2024 (25,583)
Thereafter (6,527)
E.Actuarial Assumptions
The actuarial total pension liability was determined as of December 31, 2018, using the following actuarial
assumptions, applied to all periods included in the measurement:
ASSUMPTIONS FROM ACTUARIAL REPORT
Valuation Date 1/1/2019
Actuarial Cost Method Entry Age Normal
Amortization Method Level Dollar Closed
Actuarial Assumptions:
Discount Rate 6.25%
Investment Rate of Return 6.25%
20-Year Municipal Bond Yield 4.00%
Age of Service Retirement Age 50
Mortality N/A
Disability None
Withdrawal None
Percent Married N/A
Age Difference N/A
Form of Payment Lump Sum
The long-term expected rate of return on pension plan investments was determined using a building-block method in
which best-estimates of expected future real rates of return (expected returns, net of pension plan investment expense
and inflation) are developed for each major asset class. These asset class estimates are combined to produce the
portfolio long-term expected rate of return by weighting the expected future real rates of return by weighting the
expected future real rates of return by the current asset allocation percentage (or target allocation, if available) and by
adding expected inflation.
79
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
The best-estimate of expected future real rates of return were developed by aggregating data from several published
capital market assumption surveys and deriving a single best-estimate based on the average survey values. These
capital market assumptions reflect both historical market experience as well as diverse views regarding anticipated
future returns. The expected inflation assumption was developed based on an analysis of historical experience blended
with forward-looking expectations available in market data.
Best estimates of geometric real and nominal rates of return for each major asset class included in the pension plan's
asset allocation as of December 31, 2018 are summarized in the following table:
Allocation at Long-Term
December 31,Expected Expected Nominal
Asset Class 2018 Portfolio Weight Rate of Return
Cash 3.45%6.00%2.25%
Fixed Income 15.14%25.00%4.25%
Equities 81.41%67.00%7.25%
Other 0.00%2.00%6.00%
Total Portfolio 100.00%100.00%6.25%
F. Discount Rate
The discount rate used to measure the total pension liability was 6.25%. Assets were projected using expected benefit
payments and expected asset returns. Expected benefit payments were discounted by year using expected assets return
assumption for years in which the assets were sufficient to pay all benefit payments. Any remaining benefit payments
after the trust fund is exhausted are discounted at the municipal bond rate of return. The equivalent single rate is the
discount rate. Based on those assumptions, the pension plan's fiduciary net position was projected to be available to
make all projected future benefit payments of current plan members.
G. Pension Liability Sensitivity
The following presents the City of Hopkins proportionate share of the net pension liability of the Association,
calculated using the discount rate of 6.25%, as well as what the Association’s net pension liability would be if it were
calculated using a discount rate that is one percentage point lower (5.25%) or one percentage point higher (7.25%)
than the current rate:
Selected
1% Decrease Discount Rate 1% Increase
Net Pension Liability (Asset) $ (202,683) $ (277,156) $ (347,154)
Discount Rate 5.25%6.25%7.25%
H. Plan’s Fiduciary Net Position
The pension plan's fiduciary net position has been determined on the same basis used by the pension plan. The
pension plan is on an accrual-basis of accounting. Revenues are recorded when earned and expenses (including
benefit payments) are recorded when a liability is incurred. Pension plan investments are valued at fair market value
as of year-end.
Detailed information about the Plan's fiduciary net position is available in a separately-issued report. That report may
be obtained by writing to the Hopkins Fire Relief Association, 1010 First St. S., Hopkins, MN 55343.
80
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
Information about the changes in the Plan's net pension liability (asset) is as follows:
2018
Total Pension Asset
Service Cost $ 101,467
Interest 164,469
Differences Between Expected and Actual Experience (26,108)
Changes of Assumptions 130,083
Plan Changes
Benefit Payments (49,576)
Net Change in Total Pension Liability 320,335
Total Pension Liability - Beginning 2,554,829
Total Pensions Liability - Ending (a) 2,875,164
Plan Fiduciary Net Position
Employer Contributions 148,988
Net Investment Income (305,016)
Benefit Payments (49,576)
Administrative Expenses (11,805)
Net Change in Fiduciary Net Position (217,409)
Fiduciary Net Position - Beginning 3,369,729
Fiduciary Net Position - Ending (b) 3,152,320
Association's Net Pension Liability/(Asset) - Ending (a) - (b) $ (277,156)
Fiduciary Net Position as a Percentage of the Total Pension Liability 109.64%
Covered Employee Payroll N/A
Net Pension Liability/(Asset) as a Percentage of Covered-Employee Payroll N/A
81
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
I. Aggregate Pension Costs
General
Employees
Plan
Police and
Fire Plan Fire Relief Total
Pension Expense $ 526,576 $ 439,763 $ 242,187 $ 1,208,526
Net Pension Liability 4,456,194 3,298,134 - 7,754,328
Net Pension Asset - - (277,156)(277,156)
Deferred Outflows 350,348 3,343,490 394,565 4,088,403
Deferred Inflows 863,408 5,315,229 186,661 6,365,298
12. OTHER POST EMPLOYMENT BENEFIT PLAN
The City engaged an actuary to determine the City’s liability for post-employment healthcare benefits other than
pensions as of January 1, 2019, for this single employer defined benefit OPEB plan.
A. Plan Description
The City's single employer defined benefit OPEB plan provides OPEB for all permanent full-time employees of the
City. The City's OPEB plan is administered by the City. The City does not administer a trust and therefore does not
issue a separate financial statements. The City is funding this liability on a pay-as-you-go-basis.
The City provides benefits for retirees as required by Minnesota Statute §471.61 subdivision 2b. The City provides
subsidized benefits to active employees, who were hired prior to July 1, 1993 and have been with the City for at least
ten years and are either (1) age 60 year or older or (2) eligible for full PERA retirement benefits. Employees retiring
by June 30, 2007 will receive full single health and life insurance coverage until age 65; employees retiring between
July 1, 2007 and December 31, 2009 will receive $500 per month towards the cost of single health and life insurance
until age 65; and employees retiring after December 31, 2009 will receive $15 per month times years of service
(maximum of $500 per month) towards the cost of single health and life insurance until age 65. Currently 16
employees meet those eligibility requirements. Benefit and eligibility provisions are established through negotiations
and are renegotiated every two years.
Active plan participants entitled to
but not yet receiving benefit
payments 106
Retirees or spouses currently
receiving benefit payments 16
Total Participants 122
82
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
B. Total OPEB Liability
The City's total OPEB liability was measured as of January 1, 2019, and was determined by an actuarial valuation as
of January 1, 2018.
Actuarial assumptions
The total OPEB liability in the January 1, 2018 actuarial valuation was determined using the following actuarial
assumptions, applied to all period included in the measurement unless otherwise specified:
Inflation 2.50%
Salary Increases 3.00%
Invest rate of
return
3.80%
Healthcare cost
trend rates
6.50% as of January 1, 2019
grading to 5.00% over 6 years
Mortality rates were based on RP-2014 White Collar Mortality Tables with MP-2017 Generational Improvement
Scale (with Blue Collar adjustment for Police and Fire Personnel).
The retirement and withdrawal assumptions used to value GASB 75 liabilities are similar to those used to value
pension liabilities for Minnesota public employees. The state pension plans base their assumptions on periodic
experience studies.
Discount Rate
The discount rate used to measure the total OPEB liability was 3.80 percent. Since the plan is not funded by a trust,
the discount rate is equal to the 20-year Municipal Bond Rate.
Assumption changes since the prior measurement date include the following: The discount rate was changes from
3.30 % to 3.80%.
C. Changes in the Total OPEB Liability
Increase (Decrease)
Total OPEB Liability
Beginning Balance $ 1,038,757
Changes for the year:
Service Cost 49,577
Interest 33,554
Assumption Changes (25,854)
Net Investment income
Benefit payments (144,260)
Net Changes (86,983)
Ending Balance $ 951,774
83
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
Sensitivity of the total OPEB liability to changes in the discount rate
The following 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-percentage point lower (2.80 percent) or 1-percentage-point higher
(4.80 percent) than the current discount rate.
1% Decrease Discount Rate 1% Increase
(2.80)%(3.80)%(4.8)%
Total OPEB Liability $ 1,014,047 $ 951,774 $ 894,183
Sensitivity of the total OPEB liability to changes in the healthcare cost trend rates
The following 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-percentage-point lower (5.25 percent decreasing to
4.00%) or 1-percentage higher (7.25 percent decreasing to 6.0 percent) than the current healthcare cost trend rates:
1% Decrease
(5.25%
decreasing to
4.00%)
Healthcare Cost
Trend Rates
(6.25%
decreasing to
5.00%)
1% Increase
(7.25%
decreasing to
6.00%)
Total OPEB
Liability
$ 871,771 $ 951,774 $ 1,047,272
D. OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB
For the year ended December 31, 2019, the City recognized OPEB expense of $57,277. At December 31, 2019, the
City reported deferred inflows and outflows of resources related to OPEB from the following sources:
Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Changes of Assumptions $ - $ 22,981
Contributions made after the measurement date 139,243 -
The City's contributions subsequent to the measurement date of $139,243, reported as deferred outflows of resources,
will be recognized as a reduction of the total OPEB liability in the city's fiscal year ended December 31, 2020.
Amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be
recognized in OPEB expense as follows:
Year ended
December 31
OPEB Expense Amount
2020 $(2,873)
2021 (2,873)
2022 (2,873)
2023 (2,873)
2024 (2,873)
Thereafter (8,616)
84
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
13. REHABILITATION LOANS RECEIVABLE
The City makes rehabilitation loans to residential and commercial entities within the City. Residential loans are made
for 20 year periods at 3% interest. A mortgage against the property improved is required and City staff is responsible
to follow-up any delinquent accounts. Loan repayments are made to Matrix Financial Services, a loan service
bureau, which charges a fee of $5.95 per month per loan. Principal and interest are forwarded to the City monthly
with loan collection and loan status reports. Rehabilitation loan activity is a function of the Economic Development
Fund, and the Hennepin County CDBG Funds. Loans become due in full upon sale of property. Rehabilitation loans
receivable amounted to $ 25,158 at December 31, 2019 and are recorded in the Hennepin County CDBG non-major
special revenue funds.
14. CLAIMS AND LITIGATION
The City had the usual and customary types of miscellaneous claims pending at year-end, which are of a minor nature
and usually all covered by insurance carried for that purpose. The City carries a $1,000,000 Public Official Liability
Insurance policy with public entity and employee endorsement.
15. 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 participates in a public entity risk pool to mitigate
its exposure to these risks. Workers compensation and property and liability coverage are provided through a pooled
self-insurance plan with other cities. Settled claims have not exceeded insurance coverage in any of the past three
fiscal years and no significant reductions in coverage from the prior year. The City pays an annual premium based on
prior claims history for its workers compensation coverage. The public entity risk pool is responsible for the
payment of all associated claims. The City has a $20,000 deductible per occurrence with a maximum per year out of
pocket of $40,000, for its property and liability coverage. The public entity risk pool is responsible for all losses in
excess of $20,000 per occurrence and all losses occurring after the $40,000 maximum City out of pocket costs.
16. TAX ABATEMENTS
The City enters into property tax abatement agreements through the use of tax increment financing districts with
local businesses under various Minnesota Statutes. Under these statutes the City annually abates taxes collected
above the districts' base tax capacity which is established during adoption of the tax increment district. These
agreements are established to foster economic development and redevelopment through creating jobs, removing
blight and providing affordable housing. The City uses Minnesota Statutes 469.001 to 469.047 and 469.174 to
469.179 (The Tax Increment Act) to create these districts.
For the year ended December 31, 2019, the City has five agreements established under Minnesota Statute 469.174 to
469.179 (The Tax Increment Act) which resulted in property taxes totaling $3,209,850 being abated. The following
agreement exceeded 10 percent of the total amount abated.
A pay as you go note to convert substandard property into an office complex. The abatement amounted to
$2,216,873.
85
City of Hopkins, Minnesota
NOTES TO FINANCIAL STATEMENTS, (CONT.)
December 31, 2019
17. SUBSEQUENT EVENTS
At the April 21, 2020 meeting, the City Council approved issuance and sale of $8,585,000 General Obligation
Bonds, Series 2020A. Proceeds from the 2020A bonds will be used for the City's 2020/2021 residential road
reconstruction, utility system improvements and equipment. The issuance was offered for sale on May 19, 2020.
Subsequent to year-end, the World Health Organization declared the spread of Coronavirus Disease (COVID-19) a
worldwide pandemic. The COVID-19 pandemic is having significant effects on global markets, supply chains,
businesses, and communities. Specific to the City of Hopkins, COVID-19 may impact various parts of its 2020
operations and financial results including, but not limited to, costs for emergency preparedness and closure of
recreational facilities. Management believes the City is taking appropriate actions to mitigate the negative impact.
However, the full impact of COVID-19 is unknown and cannot be reasonably estimated as these events occurred
subsequent to year-end and are still developing.
86
REQUIRED SUPPLEMENTARY
INFORMATION
87
City of Hopkins, Minnesota
REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2019
1. OTHER POSTEMPLOYMENT BENEFITS PLAN
Schedule of Changes in City's Total OPEB Liability and Related Ratios
Measurement Date Measurement Date
January 1, 2019 January 1, 2018
Total OPEB Liability
Service cost $ 49,577 $ 52,550
Interest 33,554 36,421
Changes of assumptions (25,854) -
Benefit payments (144,260)(201,014)
Net change in total OPEB liability (86,983)(112,043)
Total OPEB liability - beginning 1,038,757 1,150,800
Total OPEB liability - ending $ 951,774 $ 1,038,757
Covered employee payroll $ 8,223,045 $ 7,983,539
City's total OPEB liability as a percentage of the
covered employee payroll
11.57%13.01%
Less than ten years presented due to information not available. Will add additional years as they become
available.
2. SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY
PUBLIC EMPLOYEES GENERAL EMPLOYEES RETIREMENT FUND
PERA - General Employees Retirement Fund
Measurement
Date
Employer's
Proportionate
(Percentage)
of the
Net Pension
Employer's
Proportionate
Share
(Amount) of
the Net
Pension
Liability
(Asset)
(a)
State's
Proportionate
Share
(Amount) of
the Net
Pension
Liability
Associated
with the City
of Hopkins
(b)
Employer's
Proportionate
Share of the
Net Pension
Liability and
the State's
Proportionate
Share of the
Net Pension
Liability
Associated
with the City of
Hopkins
(a+b)
Employer's
Covered
Payroll**
(c)
Employer's
Proportionate
Share of the
Net Pension
Liability
(Asset) as a
Percentage of
its Covered
Payroll
((a+b)/c)
Plan
Fiduciary
Net
Position
as a
Percentage
of the Total
Pension
Coverage
June 30, 2016 0.0833% 6,763,547 88,334 6,851,881 5,171,867 132.48%68.90%
June 30, 2017 0.0806% 5,145,451 64,662 5,210,113 5,189,400 100.40%75.90%
June 30, 2018 0.0811% 4,499,095 147,655 4,646,750 5,453,853 85.20%79.53%
June 30, 2019 0.0806% 4,456,194 138,494 4,594,688 5,790,736 79.35%80.23%
88
City of Hopkins, Minnesota
REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2019
PERA - Public Employees Police and Fire Fund
Measurement
Date
Employer's
Proportionate
(Percentage) of the
Net Pension
Employer's
Proportionate
Share (Amount)
of the Net
Pension
Liability (Asset)
(a)
Employer's
Covered
Payroll** (b)
Employer's
Proportionate
Share of the
Net Pension
Liability
(Asset) as a
Percentage of
its Covered
Payroll (a/b)
Plan Fiduciary
Net Position
as a Percentage
of the Total
Pension
Coverage
June 30, 2016 0.2800% 11,236,887 2,694,210 417.08%63.90%
June 30, 2017 0.2800% 3,780,333 2,879,284 131.29%85.40%
June 30, 2018 0.2918% 3,110,289 3,075,716 101.12%84.84%
June 30, 2019 0.3098% 3,298,134 3,207,841 102.81%89.26%
* The City implemented the Provisions of Governmental Accounting Standards Board Statement No. 68 for
the year ending December 31, 2015. The schedules within the Required Supplementary Information Section
required a ten year presentation, but does not require retroactive reporting. Information prior to 2015 is not
available.
** For purposes of this schedule, covered payroll is defined as "pensionable wages".
3. SCHEDULES OF THE CITY'S CONTRIBUTIONS
PERA - General Employees Retirement Fund
Fiscal
Year
Ending
Statutorily
Required
Contributions
(a)
Contributions
in Relation to
the Statutorily
Required
Contributions
(b)
Contribution
Deficiency
(Excess)
(a-b)
Covered
Payroll **
(d)
Contributions as a
Percentage of
Covered Payroll
(b/d)
December 31, 2016 376,176 (376,176) - 5,015,680 7.50%
December 31, 2017 392,183 (392,183) - 5,229,107 7.50%
December 31, 2018 447,696 (447,696) - 5,969,280 7.50%
December 31, 2019 429,188 (429,188) - 5,722,507 7.50%
PERA - Public Employees Police and Fire Fund
Fiscal
Year
Ending
Statutorily
Required
Contributions
(a)
Contributions
in Relation to
the Statutorily
Required
Contributions
(b)
Contribution
Deficiency
(Excess)
(a-b)
Covered
Payroll **
(d)
Contributions as a
Percentage of
Covered Payroll
(b/d)
December 31, 2016 444,662 (444,662) - 2,744,827 16.20%
December 31, 2017 458,715 (458,715) - 2,831,574 16.20%
December 31, 2018 488,856 (488,856) - 3,017,630 16.20%
December 31, 2019 563,869 (563,869) - 3,326,661 16.95%
89
City of Hopkins, Minnesota
REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2019
* The City implemented the Provisions of Governmental Accounting Standards Board Statement No. 68 for
the year ending December 31, 2015. The schedules within the Required Supplementary Information Section
required a ten year presentation, but does not require retroactive reporting. Information prior to 2015 is not
available.
** For purposes of this schedule, covered payroll is defined as "pensionable wages".
4. SCHEDULE OF THE CITY'S CONTRIBUTION TO THE HOPKINS FIRE RELIEF FUND
Last Ten Years
Fiscal
Year
Ending
December 31
Actuarially
determined
contribution(a)
Contributions in
Relation to the
Statutorily
Required
Contributions
(b)
Contribution
Deficiency
(Excess)
(a-b)
2019 $ 20,902 $ (20,902) $ -
2018 40,000 (40,000) -
2017 143,749 (143,749) -
2016 137,010 (137,010) -
2015 136,009 (136,009) -
2014 126,474 (126,474) -
2013 127,009 (127,009) -
2012 99,335 (99,335) -
2011 97,205 (97,205) -
2010 257,957 (257,957) -
90
City of Hopkins, Minnesota
REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2019
5. SCHEDULE OF CHANGES IN THE NET PENSION ASSET AND
RELATED RATIOS FOR THE HOPKINS FIRE RELIEF FUND
Information about the changes in the Plan's net pension liability (asset) is as follows:
2018 2017 2016 2015
Total Pension Asset
Service Cost $ 101,467 $ 98,992 $ 81,771 $ 85,760
Interest 164,469 154,035 171,936 157,795
Differences Between Expected and Actual Experience (26,108) - (262,107) -
Changes of Assumptions 130,083 - 83,549 -
Plan Changes - - 212,877 -
Benefit Payments (49,576)(127,545)(138,785)(134,745)
Net Change in Total Pension Liability 320,335 125,482 149,241 108,810
Total Pension Liability - Beginning 2,554,829 2,429,347 2,280,106 2,171,296
Total Pension Liability - Ending (a) 2,875,164 2,554,829 2,429,347 2,280,106
Plan Fiduciary Net Position
Employer Contributions 148,988 143,749 137,010 136,009
Net Investment Income (305,016) 460,846 186,692 (117,135)
Benefit Payments (49,576)(127,545)(138,785)(134,745)
Administrative Expenses (11,805)(12,186)(11,761)(11,783)
Net Change in Fiduciary Net Position (217,409) 464,864 173,156 (127,654)
Fiduciary Net Position - Beginning 3,369,729 2,904,865 2,731,709 2,859,363
Fiduciary Net Position Ending (b) 3,152,320 3,369,729 2,904,865 2,731,709
Association's Net Pension Liability/(Asset) - Ending (a)
- (b) $ (277,156) $ (814,900) $ (475,518) $ (451,603)
Fiduciary Net Position as percentage of the Total
Pension Liability 109.64%131.90%119.57%119.81%
Covered Payroll N/A N/A N/A N/A
Net Pension Liability/(Asset) as a Percentage of
Covered Payroll N/A N/A N/A N/A
Note: Information prior to 2014 is unavailable.
91
City of Hopkins, Minnesota
REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2019
Notes to Required Supplementary Information
PERA - General Employees Retirement Fund
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 2.5
percent per year thereafter to 1.25 percent per year.
2017 Changes
Changes in Plan Provisions:
The State's special funding contribution increased from $6 million to $16 million.
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, 15.00 percent for vested deferred member liability and 3.00
percent for non-vested deferred member liability.
The assumed post-retirement benefit increase rate was changed from 1.00 percent per year for
all years to 1.00 percent per year through 2044 and 2.50 percent per year thereafter.
2016 Changes
Changes in Actuarial Assumptions:
The assumed post-retirement benefit increase rate was changed from 1.00 percent per year
through 2035 and 2.5 percent per year thereafter to 1.00 percent per year for all years.
The assumed investment return was changed from 7.90 percent to 7.50 percent. The single
discount rate was changed from 7.90 percent to 7.50 percent.
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 percent to 3.25
percent for payroll growth and 2.50 percent for inflation.
2015 Changes
Changes in Plan Provisions
On January 1, 2015 the Minneapolis Employees Retirement Fund was merged into the
General Employees Fund, which increased the total pension liability by $1.1 billion and increased the
fiduciary plan net position by $892 million. Upon consolidation, state and employer contributions
were revised; the State's contribution of $6 million, which meets the special funding situation
definition, is due September 2015
Changes in Actuarial Assumptions
The assumed post-retirement benefit increase rate was changed from 1.00 percent per year
through 2030 and 2.50 percent per year thereafter to 1.00 percent per year through 2035 and 2.50
percent per year thereafter.
92
City of Hopkins, Minnesota
REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2019
PERA - Public Employees Police and Fire Fund
2018 Changes
Changes in Actuarial Assumptions:
The mortality projection scale was changed from MP-2016 to MP-2017
2017 Changes
Changes in Actuarial Assumptions:
Assumed salary increased 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
generation table to the RP-2014 fully generation tables (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 for the first three years of service. Rates
beyond the select period of three years were adjusted, resulting in more expected termination overall.
Assumed percentage of married female 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 year older than females.
The assumed percentage of female member 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.
The Single Discount Rate was changed from 5.60 percent per annum to 7.50 percent per
annum.
2016 Changes
Changes in Actuarial Assumptions:
The assumed post-retirement benefit increase rate was changed from 1.00 percent per year
through 2037 and 2.50 percent thereafter to 1.00 percent per year for all future years.
The assumed investment return was changed from 7.90 percent to 7.50 percent. The single
discount rate changed from 7.90 percent to 5.60 percent.
The assumed future salary increases, payroll growth, and inflation were decreased by 0.25
percent to 3.25 percent for payroll growth and 2.50 percent for inflation.
2015 Changes
Changes in Plan Provisions
The post-retirement benefit increase to be paid after attainment of the 90 percent funding
threshold was changed, from inflation up to 2.50 percent, to a fixed rate of 2.50 percent.
Changes in Actuarial Assumptions:
The assumed post-retirement benefit increase rate was changed from 1.00 percent per year
through 2030 and 2.50 percent per year thereafter to 1.00 percent per year through 2037 and 2.50
percent per year thereafter.
93
City of Hopkins, Minnesota
REQUIRED SUPPLEMENTARY INFORMATION
December 31, 2019
OPEB - Other Postemployment Benefits Plan
2019 Changes
Changes in Actuarial Assumptions:
The discount rate was changed from 3.30% to 3.80%.
94
CITY OF HOPKINS, MINNESOTA
NONMAJOR GOVERNMENTAL FUNDS STATEMENTS
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for revenues derived from specific taxes or other
earmarked revenue sources. Expenditures are restricted by law or administrative regulation for
specified purposes.
State Chemical Assessment Fund – This fund is entirely supported by state aid for the
purpose of chemical assessment training and activity for the State of Minnesota.
Hennepin County CDBG - This fund accounts for receipt for Community Development Block
Grant funds and the issuance of loans and grants for housing rehabilitation.
Parking Fund - This fund acquired land, improves and maintains parking lots and a parking
ramp and collects monthly maintenance fees from users.
Communications Fund - This fund records the City's share of a five-city joint venture cable TV
franchise administered under the Southwest Suburban Cable Commission.
Hopkins Race & Equity Initiative - This fund was established to account for the activity of a
collaborative effort of the City and two outside organizations centered on race equity.
Depot Coffee House Fund – This fund accounts for the operations of the coffee house
business and the teen center operations that are supported through grant funds.
Tax Increment Funds - These funds were established to record the use of tax increment
receipts and bond proceeds as applied in various Tax Increment Districts.
5th Avenue Flats Fund - This fund was established to account for the project costs of the 5th
Avenue Flats project. Originally shown as a tax increment fund the project changed scope and
is no longer in a tax increment district.
95
DEBT SERVICE FUNDS
Debt Service Funds are established to finance and account for the payment of interest
and principal on all general obligation debt other than debt issued for and serviced by a
governmental enterprise. Provisions are made in the City's general property tax levy for
money sufficient to meet the general obligation debt.
CAPITAL PROJECTS FUNDS
Capital Projects Funds are established to account for the resources expended to
acquire assets of a relatively permanent nature. (Special revenue and enterprise fund
resources are not included in this category.) These funds evolve from the needs for
special accounting for bond proceeds, grants and contributions for the acquisition of
capital assets.
Park Improvements Fund - This fund was established to record construction and
improvement costs for park facilities.
Municipal State Aid Fund - This fund is used to account for the City's allocation of the
state collected highway user tax. This allocation is based on population and need for
construction of designated state aid streets in the City.
Pavilion Addition Fund - This fund was established to record construction and
improvement costs for the Pavilion Addition Project.
96
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Special Revenue Funds
State
Chemical
Assessment
Hennepin
County
CDBG Parking Communications
Hopkins Race &
Equity Initiative
Assets
Cash and cash equivalents $-$23 $184,980 $278,408 $695
Accounts receivable ---57,878 -
Rehabilitation loans receivable -25,158 ---
Due from other governments 24,204 -1,549 --
Interest receivable --232 66 -
Prepaid items ---240 -
Total Assets $24,204 $25,181 $186,761 $336,592 $695
Liabilities and Fund Balances
Liabilities:
Accounts payable $14 $-$25,919 $2,910 $3
Salaries payable 2,161 -2,190 2,751 -
Due to other funds 45,885 ----
Due to other governments -----
Unearned revenue --50,416 --
Total Liabilities 48,060 -78,525 5,661 3
Fund balances:
Non-spendable ---240 -
Restricted -25,181 -154,812 692
Committed --108,236 175,879 -
Unassigned (23,856)----
Total Fund Balances (23,856)25,181 108,236 330,931 692
Total Liabilities and Fund Balances $24,204 $25,181 $186,761 $336,592 $695
97
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Special Revenue Funds
Depot
Coffee
House
Tax
Increment
District
Entertainment
District
Tax
Increment
District
Sonoma
Tax
Increment
District
Oaks of
Mainstreet 5th Ave Flats
Assets
Cash and cash equivalents $-$260,377 $-$357,194 $10,121
Accounts receivable 3,247 ----
Rehabilitation loans receivable -----
Due from other governments -----
Interest receivable -22 -468 -
Prepaid items -----
Total Assets $3,247 $260,399 $-$357,662 $10,121
Liabilities and Fund Balances
Liabilities:
Accounts payable $5,536 $-$-$-$-
Salaries payable 4,926 ----
Due to other funds 55,330 141,527 --405,952
Due to other governments 36 ----
Unearned revenue -----
Total Liabilities 65,828 141,527 --405,952
Fund balances:
Non-spendable -----
Restricted -118,872 -357,662 -
Committed -----
Unassigned (62,581)---(395,831)
Total Fund Balances (62,581)118,872 -357,662 (395,831)
Total Liabilities and Fund Balances $3,247 $260,399 $-$357,662 $10,121
98
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Special Revenue Funds
Tax Increment
District Moline
Tax
Increment
District
Marketplace
& Main Total
Assets
Cash and cash equivalents $426,602 $107,196 $1,625,596
Accounts receivable --61,125
Rehabilitation loans receivable --25,158
Due from other governments --25,753
Interest receivable 1 -789
Prepaid items --240
Total Assets $426,603 $107,196 $1,738,661
Liabilities and Fund Balances
Liabilities:
Accounts payable $325,268 $92,473 $452,123
Salaries payable --12,028
Due to other funds -210,000 858,694
Due to other governments --36
Unearned revenue --50,416
Total Liabilities 325,268 302,473 1,373,297
Fund balances:
Non-spendable --240
Restricted 101,335 -758,554
Committed --284,115
Unassigned -(195,277)(677,545)
Total Fund Balances 101,335 (195,277)365,364
Total Liabilities and Fund Balances $426,603 $107,196 $1,738,661
99
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Debt Service Funds
Taxable Tax
Increment
Bonds of 1997
Refunding
Bonds of 2005B
Housing
Improvement
Bonds of 1999A
Refunding
Bonds of 2009B
Housing
Improvement
Bonds of 1999B
Refunding
Bonds of 2009B
Improvement
Revolving
Bonds of
2010A
Assets
Cash and cash equivalents $13,278 $84,120 $131,324 $116,348
Taxes receivable ---1,268
Special assessments receivable 7,813 14,154 14,777 224,423
Interest receivable 127 96 193 198
Total Assets $21,218 $98,370 $146,294 $342,237
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:
Accounts payable $-$75,000 $120,000 $-
Due to other funds ----
Total Liabilities -75,000 120,000 -
Deferred inflows of resources:
Taxes and special assessments 7,813 10,305 12,201 225,179
Total Deferred Inflows of Resources 7,813 10,305 12,201 225,179
Fund balances:
Restricted 13,405 13,065 14,093 117,058
Unassigned ----
Total Fund Balances 13,405 13,065 14,093 117,058
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $21,218 $98,370 $146,294 $342,237
100
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Debt Service Funds
Tax
Increment
Bonds of 2002
Refunding
Bonds of
2010B
Capital
Improvement
Bonds of 2012A
Equipment
Certificates of
2012B
Improvement
Bonds of 2012B
Improvement
Bonds of 2013A
Assets
Cash and cash equivalents $280,162 $297,535 $61,912 $454,766 $344,267
Taxes receivable -3,175 1,418 2,051 1,223
Special assessments receivable ---332,366 211,170
Interest receivable 82 38 28 245 147
Total Assets $280,244 $300,748 $63,358 $789,428 $556,807
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:
Accounts payable $-$-$-$-$1,000
Due to other funds -----
Total Liabilities ----1,000
Deferred inflows of resources:
Taxes and special assessments -1,897 859 333,396 211,898
Total Deferred Inflows of Resources -1,897 859 333,396 211,898
Fund balances:
Restricted 280,244 298,851 62,499 456,032 343,909
Unassigned -----
Total Fund Balances 280,244 298,851 62,499 456,032 343,909
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $280,244 $300,748 $63,358 $789,428 $556,807
101
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Debt Service Funds
Improvement
Bonds of 2014A
Refunding
Bonds of 2014B
SROP Bonds of
2015A
Tax Abatement
Bonds of 2015B
Tax Increment
Revenue Bonds
of 2015C
Assets
Cash and cash equivalents $183,350 $482,721 $320,941 $109,830 $486,161
Taxes receivable 1,406 9,697 3,598 1,672 -
Special assessments receivable 61,557 -44,497 --
Interest receivable 75 615 133 83 199
Total Assets $246,388 $493,033 $369,169 $111,585 $486,360
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:
Accounts payable $-$-$-$-$-
Due to other funds -----
Total Liabilities -----
Deferred inflows of resources:
Taxes and special assessments 62,409 5,826 46,673 1,016 -
Total Deferred Inflows of Resources 62,409 5,826 46,673 1,016 -
Fund balances:
Restricted 183,979 487,207 322,496 110,569 486,360
Unassigned -----
Total Fund Balances 183,979 487,207 322,496 110,569 486,360
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $246,388 $493,033 $369,169 $111,585 $486,360
102
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Debt Service Funds
Tax Increment
Revenue Bonds
of 2015D
Improvement
Bonds of 2016A
Tax Abatement
Bonds of 2016B
G O Bonds of
2016C
Tax Increment
Revenue Bonds
of 2016D
Assets
Cash and cash equivalents $145,924 $625,467 $124,975 $162,504 $-
Taxes receivable -1,356 475 3,200 -
Special assessments receivable -527,696 ---
Interest receivable 64 ---6,159
Total Assets $145,988 $1,154,519 $125,450 $165,704 $6,159
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:
Accounts payable $-$5,138 $4,624 $87 $-
Due to other funds ----8,162
Total Liabilities -5,138 4,624 87 8,162
Deferred inflows of resources:
Taxes and special assessments -528,435 282 1,855 -
Total Deferred Inflows of Resources -528,435 282 1,855 -
Fund balances:
Restricted 145,988 620,946 120,544 163,762 -
Unassigned ----(2,003)
Total Fund Balances 145,988 620,946 120,544 163,762 (2,003)
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $145,988 $1,154,519 $125,450 $165,704 $6,159
103
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Debt Service Funds
SROP Bonds of
2017A
G O Bonds of
2018A
G O Bonds of
2017B
G O Bonds of
2019A
Refunding
Bonds of 2019B
Assets
Cash and cash equivalents $806,815 $563,006 $324,321 $298,769 $-
Taxes receivable 12,167 4,341 2,171 --
Special assessments receivable 577,372 595,707 ---
Interest receivable 1 1,432 -2,337 -
Total Assets $1,396,355 $1,164,486 $326,492 $301,106 $-
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:
Accounts payable $-$-$-$-$-
Due to other funds -----
Total Liabilities -----
Deferred inflows of resources:
Taxes and special assessments 584,420 597,754 1,267 --
Total Deferred Inflows of Resources 584,420 597,754 1,267 --
Fund balances:
Restricted 811,935 566,732 325,225 301,106 -
Unassigned -----
Total Fund Balances 811,935 566,732 325,225 301,106 -
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $1,396,355 $1,164,486 $326,492 $301,106 $-
104
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Total
Assets
Cash and cash equivalents $6,418,496
Taxes receivable 49,218
Special assessments receivable 2,611,532
Interest receivable 12,252
Total Assets $9,091,498
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:
Accounts payable $205,849
Due to other funds 8,162
Total Liabilities 214,011
Deferred inflows of resources:
Taxes and special assessments 2,633,485
Total Deferred Inflows of Resources 2,633,485
Fund balances:
Restricted 6,246,005
Unassigned (2,003)
Total Fund Balances 6,244,002
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $9,091,498
105
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Capital Project Funds
Park
Improvements
Municipal State
Aid
Construction
Fund
Pavilion
Addition Total
Assets
Cash and cash equivalents $-$505,228 $-$505,228
Accounts receivable 75,285 --75,285
Interest receivable 1,391 -667 2,058
Total Assets $76,676 $505,228 $667 $582,571
Liabilities, Deferred Inflows of Resources
and Fund Balances
Liabilities:
Accounts payable $3,724 $295 $85,293 $89,312
Total Liabilities 3,724 295 85,293 89,312
Deferred inflows of resources:
Due to other funds 131,631 -38,990 170,621
Total Deferred Inflows of Resources 131,631 -38,990 170,621
Fund balances:
Restricted -504,933 -504,933
Unassigned (58,679)-(123,616)(182,295)
Total Fund Balances (58,679)504,933 (123,616)322,638
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $76,676 $505,228 $667 $582,571
106
City of Hopkins
Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2019
Special Revenue Debt Service Capital Projects
Total
Non-major
Governmental
Funds
Assets
Cash and cash equivalents $1,625,596 $6,418,496 $505,228 $8,549,320
Taxes receivable -49,218 -49,218
Special assessments receivable -2,611,532 -2,611,532
Accounts receivable 61,125 -75,285 136,410
Rehabilitation loans receivable 25,158 --25,158
Due from other governments 25,753 --25,753
Interest receivable 789 12,252 2,058 15,099
Prepaid items 240 --240
Total Assets $1,738,661 $9,091,498 $582,571 $11,412,730
Liabilities, Deferred Inflows of Resources and
Fund Balances
Liabilities:
Accounts payable $452,123 $205,849 $89,312 $747,284
Salaries payable 12,028 --12,028
Due to other funds 858,694 8,162 170,621 1,037,477
Due to other governments 36 --36
Unearned revenue 50,416 --50,416
Total Liabilities 1,373,297 214,011 259,933 1,847,241
Deferred inflows of resources:
Taxes and special assessments -2,633,485 -2,633,485
Total Deferred Inflows of Resources -2,633,485 -2,633,485
Fund balances:
Non-spendable 240 --240
Restricted 758,554 6,246,005 504,933 7,509,492
Committed 284,115 --284,115
Unassigned (677,545)(2,003)(182,295)(861,843)
Total Fund Balances 365,364 6,244,002 322,638 6,932,004
Total Liabilities, Deferred Inflows of
Resources and Fund Balances $1,738,661 $9,091,498 $582,571 $11,412,730
107
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Special Revenue Funds
State
Chemical
Assessment
Hennepin
County
CDBG Parking Communications
Hopkins Race &
Equity Initiative
Revenues
Franchise Fees $-$-$-$213,299 $-
Tax increments -----
Intergovernmental 74,586 ----
Charges for services --116,681 --
Fines --16,664 --
Investment earnings -23 1,241 3,181 29
Other miscellaneous revenues ---29,624 11,000
Total Revenues 74,586 23 134,586 246,104 11,029
Expenditures
Current:
General government ---155,110 -
Public safety 78,312 -79,646 --
Highways and streets --83,082 --
Urban redevelopment and housing -(1,329)---
Culture and recreation ----12,186
Debt service:
Interest and fiscal fees -----
Total Expenditures 78,312 (1,329)162,728 155,110 12,186
Excess (deficiency) of revenues
over expenditures (3,726)1,352 (28,142)90,994 (1,157)
Other Financing Sources (Uses)
Transfer in -----
Transfer out ---(303,431)-
Total Other Financing Sources (Uses)---(303,431)-
Net change in fund balances (3,726)1,352 (28,142)(212,437)(1,157)
Fund balance (deficit) - January 1 (20,130)23,829 136,378 543,368 1,849
Fund balance (deficit) - December 31 $(23,856)$25,181 $108,236 $330,931 $692
108
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Special Revenue Funds
Depot
Coffee
House
Tax
Increment
District
Entertainment
District
Tax
Increment
District
Sonoma
Tax Increment
District Oaks of
Mainstreet 5th Ave Flats
Revenues
Franchise Fees $-$-$-$-$-
Tax increments -54,375 19,569 --
Intergovernmental 19,500 ----
Charges for services 65,450 ----
Fines -----
Investment earnings -1,567 288 3,055 -
Other miscellaneous revenues 203,066 ----
Total Revenues 288,016 55,942 19,857 3,055 -
Expenditures
Current:
General government -----
Public safety -----
Highways and streets -----
Urban redevelopment and housing -2,416 1,529 200,952 2,000
Culture and recreation 306,059 ----
Debt service:
Interest and fiscal fees -8,239 1,907 --
Total Expenditures 306,059 10,655 3,436 200,952 2,000
Excess (deficiency) of revenues
over expenditures (18,043)45,287 16,421 (197,897)(2,000)
Other Financing Sources (Uses)
Transfer in 20,000 -13,022 --
Transfer out --(4,751)--
Total Other Financing Sources (Uses)20,000 -8,271 --
Net change in fund balances 1,957 45,287 24,692 (197,897)(2,000)
Fund balance (deficit) - January 1 (64,538)73,585 (24,692)555,559 (393,831)
Fund balance (deficit) - December 31 $(62,581)$118,872 $-$357,662 $(395,831)
109
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Special Revenue Funds
Tax Increment
District Moline
Tax Increment
District
Marketplace &
Main Total
Revenues
Franchise Fees $-$-$213,299
Tax increments 722,817 196,216 992,977
Intergovernmental --94,086
Charges for services --182,131
Fines --16,664
Investment earnings -398 9,782
Other miscellaneous revenues --243,690
Total Revenues 722,817 196,614 1,752,629
Expenditures
Current:
General government --155,110
Public safety --157,958
Highways and streets --83,082
Urban redevelopment and housing 625,855 188,058 1,019,481
Culture and recreation --318,245
Debt service:
Interest and fiscal fees --10,146
Total Expenditures 625,855 188,058 1,744,022
Excess (deficiency) of revenues
over expenditures 96,962 8,556 8,607
Other Financing Sources (Uses)
Transfer in --33,022
Transfer out --(308,182)
Total Other Financing Sources (Uses)--(275,160)
Net change in fund balances 96,962 8,556 (266,553)
Fund balance (deficit) - January 1 4,373 (203,833)631,917
Fund balance (deficit) - December 31 $101,335 $(195,277)$365,364
110
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Debt Service Funds
Taxable Tax
Increment
Bonds of 1997
Refunding
Bonds of 2005B
Housing
Improvement
Bonds of 1999A
Refunding
Bonds of 2009B
Housing
Improvement
Bonds of 1999B
Refunding
Bonds of 2009B
Improvement
Revolving
Bonds of
2010A
Tax
Increment
Bonds of 2002
Refunding
Bonds of
2010B
Revenues
Property taxes $-$-$-$89,599 $-
Special assessments 693 143,827 254,600 54,984 -
Investment earnings 77 1,605 2,599 1,274 1,328
Total Revenues 770 145,432 257,199 145,857 1,328
Expenditures
Current:
General government 19 255,779 511,280 683 869
Debt Service:
Principal retirement -320,000 570,000 1,540,000 160,000
Interest and fiscal fees -7,603 13,368 55,484 20,728
Total Expenditures 19 583,382 1,094,648 1,596,167 181,597
Excess (deficiency) of revenues
over expenditures 751 (437,950)(837,449)(1,450,310)(180,269)
Other Financing Sources (Uses)
Improvement bonds issued -----
Premium on improvement bonds -----
Transfer in ---1,404,353 188,000
Transfer out -----
Total Other Financing Sources (Uses)---1,404,353 188,000
Net change in fund balances 751 (437,950)(837,449)(45,957)7,731
Fund balance (deficit) - January 1 12,654 451,015 851,542 163,015 272,513
Fund balance (deficit) - December 31 $13,405 $13,065 $14,093 $117,058 $280,244
111
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Debt Service Funds
Capital
Improvement
Bonds of 2012A
Equipment
Certificates of
2012B
Improvement
Bonds of 2012B
Improvement
Bonds of 2013A
Improvement
Bonds of 2014A
Revenues
Property taxes $219,172 $96,121 $149,213 $87,914 $96,581
Special assessments --101,028 53,708 9,405
Investment earnings 1,246 209 2,195 1,776 830
Total Revenues 220,418 96,330 252,436 143,398 106,816
Expenditures
Current:
General government 859 544 1,104 1,950 747
Debt Service:
Principal retirement 175,000 85,000 210,000 120,000 120,000
Interest and fiscal fees 12,814 6,129 44,485 29,744 44,044
Total Expenditures 188,673 91,673 255,589 151,694 164,791
Excess (deficiency) of revenues
over expenditures 31,745 4,657 (3,153)(8,296)(57,975)
Other Financing Sources (Uses)
Improvement bonds issued -----
Premium on improvement bonds -----
Transfer in ----49,934
Transfer out -----
Total Other Financing Sources (Uses)----49,934
Net change in fund balances 31,745 4,657 (3,153)(8,296)(8,041)
Fund balance (deficit) - January 1 267,106 57,842 459,185 352,205 192,020
Fund balance (deficit) - December 31 $298,851 $62,499 $456,032 $343,909 $183,979
112
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Debt Service Funds
Refunding
Bonds of 2014B
SROP Bonds of
2015A
Tax Abatement
Bonds of 2015B
Tax Increment
Revenue Bonds
of 2015C
Tax Increment
Revenue Bonds
of 2015D
Revenues
Property taxes $652,892 $248,891 $114,497 $-$-
Special assessments -9,197 ---
Investment earnings 1,628 1,302 437 2,371 585
Total Revenues 654,520 259,390 114,934 2,371 585
Expenditures
Current:
General government 1,143 942 649 1,190 679
Debt Service:
Principal retirement 705,000 245,000 125,000 250,000 370,000
Interest and fiscal fees 67,025 82,025 69,723 85,500 147,388
Total Expenditures 773,168 327,967 195,372 336,690 518,067
Excess (deficiency) of revenues
over expenditures (118,648)(68,577)(80,438)(334,319)(517,482)
Other Financing Sources (Uses)
Improvement bonds issued -----
Premium on improvement bonds -----
Transfer in 145,000 68,412 63,750 335,000 517,000
Transfer out -----
Total Other Financing Sources (Uses)145,000 68,412 63,750 335,000 517,000
Net change in fund balances 26,352 (165)(16,688)681 (482)
Fund balance (deficit) - January 1 460,855 322,661 127,257 485,679 146,470
Fund balance (deficit) - December 31 $487,207 $322,496 $110,569 $486,360 $145,988
113
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Debt Service Funds
Improvement
Bonds of 2016A
Tax Abatement
Bonds of 2016B
G O Bonds of
2016C
Tax Increment
Revenue Bonds
of 2016D
SROP Bonds of
2017A
Revenues
Property taxes $99,452 $34,197 $239,056 $-$919,810
Special assessments 105,765 ---136,318
Investment earnings 2,935 474 312 -126
Total Revenues 208,152 34,671 239,368 -1,056,254
Expenditures
Current:
General government 5,837 5,141 595 459 2,048
Debt Service:
Principal retirement 255,000 100,000 195,000 235,000 610,000
Interest and fiscal fees 82,925 30,665 32,088 83,100 431,475
Total Expenditures 343,762 135,806 227,683 318,559 1,043,523
Excess (deficiency) of revenues
over expenditures (135,610)(101,135)11,685 (318,559)12,731
Other Financing Sources (Uses)
Improvement bonds issued -----
Premium on improvement bonds -----
Transfer in 154,666 100,000 76,900 318,000 -
Transfer out -----
Total Other Financing Sources (Uses)154,666 100,000 76,900 318,000 -
Net change in fund balances 19,056 (1,135)88,585 (559)12,731
Fund balance (deficit) - January 1 601,890 121,679 75,177 (1,444)799,204
Fund balance (deficit) - December 31 $620,946 $120,544 $163,762 $(2,003)$811,935
114
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Debt Service Funds
G O Bonds of
2018A
G O Bonds of
2017B
G O Bonds of
2019A
Refunding
Bonds of 2019B Total
Revenues
Property taxes $384,171 $163,022 $-$-$3,594,588
Special assessments 117,528 ---987,053
Investment earnings 1,688 72 5,945 -31,014
Total Revenues 503,387 163,094 5,945 -4,612,655
Expenditures
Current:
General government 5,920 427 194,088 51,112 1,044,064
Debt Service:
Principal retirement -85,000 --6,475,000
Interest and fiscal fees 250,893 63,638 --1,660,844
Total Expenditures 256,813 149,065 194,088 51,112 9,179,908
Excess (deficiency) of revenues
over expenditures 246,574 14,029 (188,143)(51,112)(4,567,253)
Other Financing Sources (Uses)
Improvement bonds issued --12,185,000 1,380,000 13,565,000
Premium on improvement bonds --1,081,263 211,711 1,292,974
Transfer in 178,750 134,882 --3,734,647
Transfer out --(12,777,014)(1,540,599)(14,317,613)
Total Other Financing Sources (Uses)178,750 134,882 489,249 51,112 4,275,008
Net change in fund balances 425,324 148,911 301,106 -(292,245)
Fund balance (deficit) - January 1 141,408 176,314 --6,536,247
Fund balance (deficit) - December 31 $566,732 $325,225 $301,106 $-$6,244,002
115
City of Hopkins
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Capital Projects Funds
Park
Improvements
Municipal State
Aid
Construction
Fund
Pavilion
Addition Total
Revenues
Franchise Fees $299,379 $-$-$299,379
Intergovernmental -556,891 -556,891
Investment earnings -2,092 726 2,818
Other miscellaneous revenues 3,000 --3,000
Total Revenues 302,379 558,983 726 862,088
Expenditures
Current:
General government --20,590 20,590
Highways and streets 30,563 152,539 -183,102
Capital outlay 298,579 --298,579
Total Expenditures 329,142 152,539 20,590 502,271
Excess (deficiency) of revenues
over expenditures (26,763)406,444 (19,864)359,817
Other Financing Sources (Uses)
Transfer out (110,000)--(110,000)
Total Other Financing Sources (Uses)(110,000)--(110,000)
Net change in fund balances (136,763)406,444 (19,864)249,817
Fund balance (deficit) - January 1 78,084 98,489 (103,752)72,821
Fund balance (deficit) - December 31 $(58,679)$504,933 $(123,616)$322,638
116
City of Hopkins
Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2019
Special Revenue Debt Service Capital Projects
Total Nonmajor
Governmental
Funds
Revenues
Property taxes $-$3,594,588 $-$3,594,588
Franchise Fees 213,299 -299,379 512,678
Tax increments 992,977 --992,977
Special assessments -987,053 -987,053
Intergovernmental 94,086 -556,891 650,977
Charges for services 182,131 --182,131
Fines 16,664 --16,664
Investment earnings 9,782 31,014 2,818 43,614
Other miscellaneous revenues 243,690 -3,000 246,690
Total Revenues 1,752,629 4,612,655 862,088 7,227,372
Expenditures
Current:
General government 155,110 1,044,064 20,590 1,219,764
Public safety 157,958 --157,958
Highways and streets 83,082 -183,102 266,184
Urban redevelopment and housing 1,019,481 --1,019,481
Culture and recreation 318,245 --318,245
Debt service:
Principal retirement -6,475,000 -6,475,000
Interest and fiscal fees 10,146 1,660,844 -1,670,990
Capital outlay --298,579 298,579
Total Expenditures 1,744,022 9,179,908 502,271 11,426,201
Excess (deficiency) of revenues
over expenditures 8,607 (4,567,253)359,817 (4,198,829)
Other Financing Sources (Uses)
Improvement bonds issued -13,565,000 -13,565,000
Premium on improvement bonds -1,292,974 -1,292,974
Transfer in 33,022 3,734,647 -3,767,669
Transfer out (308,182)(14,317,613)(110,000)(14,735,795)
Total Other Financing Sources (Uses)(275,160)4,275,008 (110,000)3,889,848
Net change in fund balances (266,553)(292,245)249,817 (308,981)
Fund balance (deficit) - January 31 631,917 6,536,247 72,821 7,240,985
Fund balance (deficit) - December 31 $365,364 $6,244,002 $322,638 $6,932,004
117
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
State Chemical Assessment
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Intergovernmental $60,000 $60,000 $74,586 $14,586
Total Revenues 60,000 60,000 74,586 14,586
Expenditures
Current:
Public safety 60,000 60,000 78,312 (18,312)
Total Expenditures 60,000 60,000 78,312 (18,312)
Net change in fund balance $-$-(3,726)$(3,726)
Fund balance (deficit) - January 1 (20,130)
Fund balance (deficit) - December 31 $(23,856)
118
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Parking
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Charges for services $129,150 $129,150 $116,681 $(12,469)
Fines 22,000 22,000 16,664 (5,336)
Investment earnings 1,500 1,500 1,241 (259)
Total Revenues 152,650 152,650 134,586 (18,064)
Expenditures
Current:
Public safety 75,987 75,987 79,646 (3,659)
Highways and streets 65,796 65,796 83,082 (17,286)
Total Expenditures 141,783 141,783 162,728 (20,945)
Net change in fund balance $10,867 $10,867 (28,142)$(39,009)
Fund balance (deficit) - January 1 136,378
Fund balance (deficit) - December 31 $108,236
119
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Communications
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Franchise Fees $219,235 $219,235 $213,299 $(5,936)
Investment earnings 3,000 3,000 3,181 181
Other miscellaneous revenues 33,000 33,000 29,624 (3,376)
Total Revenues 255,235 255,235 246,104 (9,131)
Expenditures
Current:
General government 389,234 389,234 155,110 234,124
Capital Outlay 3,500 3,500 -3,500
Total Expenditures 392,734 392,734 155,110 237,624
Excess (deficiency) of revenues over expenditures (137,499)(137,499)90,994 228,493
Other Financing Sources (Uses)
Transfer out (86,920)(86,920)(303,431)(216,511)
Total Other Financing Sources (Uses)(86,920)(86,920)(303,431)(216,511)
Net change in fund balance $(224,419)$(224,419)(212,437)$11,982
Fund balance (deficit) - January 1 543,368
Fund balance (deficit) - December 31 $330,931
120
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Hopkins Race & Equity Initiative
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Investment earnings $-$-$29 $29
Other miscellaneous revenues 6,000 6,000 11,000 5,000
Total Revenues 6,000 6,000 11,029 5,029
Expenditures
Culture and recreation 3,000 3,000 12,186 (9,186)
Total Expenditures 3,000 3,000 12,186 (9,186)
Net change in fund balance $3,000 $3,000 (1,157)$(4,157)
Fund balance (deficit) - January 1 1,849
Fund balance (deficit) - December 31 $692
121
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Depot Coffee House
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Intergovernmental $15,000 $15,000 $19,500 $4,500
Charges for services 69,000 69,000 65,450 (3,550)
Other miscellaneous revenues 258,600 258,600 203,066 (55,534)
Total Revenues 342,600 342,600 288,016 (54,584)
Expenditures
Current:
Culture and recreation 347,925 347,925 306,059 41,866
Total Expenditures 347,925 347,925 306,059 41,866
Excess (deficiency) of revenues over expenditures (5,325)(5,325)(18,043)(12,718)
Other Financing Sources (Uses)
Transfer in 20,000 20,000 20,000 -
Total Other Financing Sources (Uses)20,000 20,000 20,000 -
Net change in fund balance $14,675 $14,675 1,957 $(12,718)
Fund balance (deficit) - January 1 (64,538)
Fund balance (deficit) - December 31 $(62,581)
122
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Tax Increment District Entertainment District
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Tax increments $29,500 $29,500 $54,375 $24,875
Investment earnings 500 500 1,567 1,067
Total Revenues 30,000 30,000 55,942 25,942
Expenditures
Current:
Urban redevelopment and housing 14,500 14,500 2,416 12,084
Debt Service:
Interest and fiscal fees --8,239 (8,239)
Total Expenditures 14,500 14,500 10,655 3,845
Net change in fund balance $15,500 $15,500 45,287 $29,787
Fund balance (deficit) - January 1 73,585
Fund balance (deficit) - December 31 $118,872
123
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Tax Increment District Sonoma
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Tax increments $12,000 $12,000 $19,569 $7,569
Investment earnings --288 288
Other miscellaneous revenues 3,000 3,000 -(3,000)
Total Revenues 15,000 15,000 19,857 4,857
Expenditures
Urban redevelopment and housing 2,500 2,500 1,529 971
Debt service:
Interest and fiscal fees 5,000 5,000 1,907 3,093
Total Expenditures 7,500 7,500 3,436 4,064
Excess (deficiency) of revenues over expenditures 7,500 7,500 16,421 8,921
Other Financing Sources (Uses)
Transfer in --13,022 13,022
Transfer out --(4,751)(4,751)
Total Other Financing Sources (Uses)--8,271 8,271
Net change in fund balance $7,500 $7,500 24,692 $17,192
Fund balance (deficit) - January 1 (24,692)
Fund balance (deficit) - December 31 $-
124
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Tax Increment District Oaks of Mainstreet
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Investment earnings $-$-$3,055 $3,055
Total Revenues --3,055 3,055
Expenditures
Current:
Urban redevelopment and housing --200,952 (200,952)
Total Expenditures --200,952 (200,952)
Net change in fund balance $-$-(197,897)$(197,897)
Fund balance (deficit) - January 1 555,559
Fund balance (deficit) - December 31 $357,662
125
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
5th Ave Flats
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Expenditures
Urban redevelopment and housing $2,000 $2,000 $2,000 $-
Debt service:
Total Expenditures 2,000 2,000 2,000 -
Net change in fund balance $(2,000)$(2,000)(2,000)$-
Fund balance (deficit) - January 1 (393,831)
Fund balance (deficit) - December 31 $(395,831)
126
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Tax Increment District Moline
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Tax increments $98,000 $98,000 $722,817 $624,817
Total Revenues 98,000 98,000 722,817 624,817
Expenditures
Urban redevelopment and housing 90,000 90,000 625,855 (535,855)
Total Expenditures 90,000 90,000 625,855 (535,855)
Net change in fund balance $8,000 $8,000 96,962 $88,962
Fund balance (deficit) - January 1 4,373
Fund balance (deficit) - December 31 $101,335
127
City of Hopkins
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual
Nonmajor Special Revenue Funds
Tax Increment District Marketplace & Main
For the Year Ended December 31, 2019
Original
Budget
Final
Approved
Budget Actual
Variance with
Final Budget
Over/Under
Revenues
Tax increments $188,000 $188,000 $196,216 $8,216
Investment earnings --398 398
Total Revenues 188,000 188,000 196,614 8,614
Expenditures
Current:
Urban redevelopment and housing 176,000 176,000 188,058 (12,058)
Debt service:
Total Expenditures 176,000 176,000 188,058 (12,058)
Net change in fund balance $12,000 $12,000 8,556 $(3,444)
Fund balance (deficit) - January 1 (203,833)
Fund balance (deficit) - December 31 $(195,277)
128
CITY OF HOPKINS, MINNESOTA
NONMAJOR PROPRIETARY FUNDS
Enterprise Funds are established to account for the financing of self-supporting
activities of governmental units, which render services to the general public on a user
charge basis. Records are maintained on the accrual basis of accounting.
The Authority for these types of funds is derived from Section 11.01 of the City Charter,
which allows for utility or other public service enterprise funds.
The City has six Enterprise Funds, two of which are considered to be nonmajor, they
are:
Refuse Utility Fund – This fund accounts for the operations of the city owned refuse
service.
Housing Authority Fund – This fund accounts for the operations of the city owned
federally subsidized apartment building.
129
City of Hopkins
Combining Statement of Net Position
Nonmajor Enterprise Funds
December 31, 2019
Nonmajor Business-type Activities-Enterprise Funds
Refuse
Utility
Housing
Authority Total
Assets
Current assets:
Cash and investments $1,471,696 $256,340 $1,728,036
Accounts receivable 48,640 2,914 51,554
Prepaid expenses -15,920 15,920
Due from other governments 88 482,590 482,678
Total current assets 1,520,424 757,764 2,278,188
Noncurrent assets:
Capital assets, nondepreciable:
Land -208,252 208,252
Capital assets, depreciable:
Building and structures 309,227 5,735,463 6,044,690
Machinery and equipment 843,866 52,719 896,585
Less accumulated depreciation (631,314)(4,145,649)(4,776,963)
Total noncurrent assets 521,779 1,850,785 2,372,564
Total Assets 2,042,203 2,608,549 4,650,752
Deferred outflows of resources:
Pensions 16,424 -16,424
OPEB 2,734 1,371 4,105
Total Deferred Outflows of Resources 19,158 1,371 20,529
Liabilities
Current liabilities:
Accounts payable 67,494 36,954 104,448
Salaries payable 7,919 16,799 24,718
Due to other funds -200,000 200,000
Due to other governments 3,425 -3,425
Compensated absences 18,675 13,117 31,792
Total current liabilities 97,513 266,870 364,383
Noncurrent liabilities:
Total OPEB liability due within one year 2,249 1,371 3,620
Total OPEB liability due in more than one year 11,650 18,016 29,666
Net pension liability due in more than one year 208,904 -208,904
Total noncurrent liabilities 222,803 19,387 242,190
Total Liabilities 320,316 286,257 606,573
Deferred inflows of resources:
Pensions 40,476 -40,476
DI OPEB 451 226 677
Total Deferred Inflows of Resources 40,927 226 41,153
Net Position
Net investment in capital assets 521,778 1,850,785 2,372,563
Unrestricted 1,178,340 472,652 1,650,992
Total Net Position $1,700,118 $2,323,437 $4,023,555
130
City of Hopkins
Combining Statement of Revenues, Expenses and Changes in Net Position
Nonmajor Enterprise Activities
For the Year Ended December 31, 2019
Nonmajor Business-type Activities-Enterprise Funds
Refuse
Utility
Housing
Authority
Nonmajor
Enterprise Funds
Total
Operating revenues
Charges for services $969,489 $273,379 $1,242,868
Other 13,608 12,482 26,090
Total operating revenues 983,097 285,861 1,268,958
Operating expenses
Cost of sales and services 761,004 91,502 852,506
Administration 94,032 470,739 564,771
Depreciation 69,054 180,986 250,040
Total operating expenses 924,090 743,227 1,667,317
Operating income (loss)59,007 (457,366)(398,359)
Nonoperating revenues (expenses)
Miscellaneous revenue 998 -998
Investment earnings 8,300 -8,300
Intergovernmental grants 18,472 670,532 689,004
Total nonoperating revenues (expenses)27,770 670,532 698,302
Income (loss) before contributions and transfers 86,777 213,166 299,943
Capital contributions
Transfers (25,000)-(25,000)
Change in net position 61,777 213,166 274,943
Net position - January 1 1,638,341 2,110,271 3,748,612
Net position - December 31 $1,700,118 $2,323,437 $4,023,555
131
City of Hopkins
Combining Statement of Cash Flows
Internal Service Funds
For the Year Ended December 31, 2019
Equipment Employee Insurance
Replacement Benefits Risk Totals
Cash Flows from Operating Activities
Receipts from customers and users $ - $ - $ 11,314 $ 11,314
Receipts from interfund services provided 526,686 - - 526,686
Internal activity-payments to other funds - - -
Payments to suppliers (432,899)(1,530)(32,843)(467,272)
Payments for interfund services used (6,333) 41,719 (397) 34,989
Net cash provided (used) by operating activities 87,454 40,189 (21,926) 105,717
Cash Flows from Noncapital Financing Activities
Taxes 227,800 - - 227,800
Transfers in 1,871 6,420 1,850 10,141
Net cash provided by noncapital financing activities 229,671 6,420 1,850 237,941
Cash Flows from Capital and Related Financing Activities:
Purchases of capital assets (256,675) - - (256,675)
Proceeds from sales of capital assets 1,383 - - 1,383
Interest and other payments - - - -
Capital lease payments - - - -
Net cash used by capital and related
financing activities (255,292) - - (255,292)
Cash Flows From Investing Activities 2 - - 2
Net increase (decrease) in cash and cash equivalents 61,835 46,609 (20,076) 88,368
Cash and Cash Equivalents - January 1 225,954 119,007 21,244 366,205
Cash and Cash Equivalents - December 31 $ 287,789 $ 165,616 $ 1,168 $ 454,573
Reconciliation of Cash and Cash Equivalents at End of Year
to Cash and Investments per Statement of Net Position
Ending cash and cash equivalents per cash flow statement $ 287,789 $ 165,616 $ 1,168 $ 454,573
Investments - 944,181 295,417 1,239,598
Cash and Investments per Statement of Net Position $ 287,789 $ 1,109,797 $ 296,585 $ 1,694,171
Reconciliation of operating income (loss) to net
cash provided (used) by operating activities:
Operating income (loss) $ (478,754) $ (1,530) $ (76,198) $ (556,482)
Adjustments to reconcile operating income (loss) to
net cash provided (used) by operating activities:
Depreciation expense 875,744 - - 875,744
(Increase) decrease in:
Due from other funds (4,054) - - (4,054)
Increase (decrease) in:
Accounts, compensated absences and accrued interest -
payable (305,482) 41,719 54,272 (209,491)
Net Cash Provided (Used) by Operating Activities $ 87,454 $ 40,189 $ (21,926) $ 105,717
132
CITY OF HOPKINS, MINNESOTA
INTERNAL SERVICE FUNDS
Internal Service Funds are used to account for the financing of goods or services
provided by one department to other departments of the government, on a cost
reimbursement basis. Revenues and expenses are recognized on the accrual basis.
Revenues are recognized in the accounting period in which they are earned and
become objectively measurable; expenses are recognized in the period incurred, if
objectively measurable.
Equipment Replacement Fund – This fund accounts for the acquisition of machinery
and equipment. User charges are billed to the various City departments.
Insurance Risk Fund – This fund accounts for the dividends and deductibles relating
to property and casualty insurance coverage. Deductibles are paid from past dividends.
Users are charged only if the fund has a shortfall.
Employee Benefits Fund – This fund accounts for accrued employee benefits within
the governmental funds. User charges are billed to the various departments.
133
City of Hopkins
Combining Statement of Net Position
Internal Service Funds
December 31, 2019
Equipment
Replacement
Employee
Benefits
Insurance
Risk Total
Assets
Current assets:
Cash and investments $287,789 $1,109,797 $296,585 $1,694,171
Taxes receivable 2,578 --2,578
Accrued interest receivable 1,919 348 48 2,315
Prepaid expenses 1,476 --1,476
Total current assets 293,762 1,110,145 296,633 1,700,540
Property and equipment:
Machinery and equipment 8,930,666 --8,930,666
Less accumulated depreciation (4,832,932)--(4,832,932)
Net property and equipment 4,097,734 --4,097,734
Total Assets 4,391,496 1,110,145 296,633 5,798,274
Liabilities
Current liabilities:
Accounts payable 37,288 -54,272 91,560
Compensated absences -925,772 -925,772
Total current liabilities 37,288 925,772 54,272 1,017,332
Total Liabilities 37,288 925,772 54,272 1,017,332
Net Position
Net investment in capital assets 4,097,734 --4,097,734
Unrestricted 256,474 184,373 242,361 683,208
Total Net Position $4,354,208 $184,373 $242,361 $4,780,942
134
City of Hopkins
Combining Statement of Revenues, Expenses and Changes in Net Position
Internal Service Funds
Year Ended December 31, 2019
Equipment
Replacement
Employee
Benefits
Insurance
Risk Total
Operating revenues
Charges for services $529,264 $-$11,314 $540,578
Operating expenses
Materials, supplies and services 125,941 1,530 87,115 214,586
Administration 6,333 -397 6,730
Depreciation expense 875,744 --875,744
Total operating expenses 1,008,018 1,530 87,512 1,097,060
Operating income (loss)(478,754)(1,530)(76,198)(556,482)
Nonoperating revenues (expenses)
Property taxes 227,680 --227,680
Miscellaneous revenue 1,871 --1,871
Investment earnings -6,387 1,841 8,228
Gain (loss) on sale of assets 1,383 --1,383
Total nonoperating revenues (expenses)230,934 6,387 1,841 239,162
Change in net position (247,820)4,857 (74,357)(317,320)
Total net position - January 1 4,602,028 179,516 316,718 5,098,262
Net position - December 31 $4,354,208 $184,373 $242,361 $4,780,942
135
City of Hopkins
Combining Statement of Cash Flows
Internal Service Funds
For the Year Ended December 31, 2019
Equipment Employee Insurance
Replacement Benefits Risk Totals
Cash Flows from Operating Activities
Receipts from customers and users $ - $ - $ 11,314 $ 11,314
Receipts from interfund services provided 526,686 - - 526,686
Internal activity-payments to other funds - - -
Payments to suppliers (432,899)(1,530)(32,843)(467,272)
Payments for interfund services used (6,333) 41,719 (397) 34,989
Net cash provided (used) by operating activities 87,454 40,189 (21,926) 105,717
Cash Flows from Noncapital Financing Activities
Taxes 227,800 - - 227,800
Transfers in 1,871 6,420 1,850 10,141
Net cash provided by noncapital financing activities 229,671 6,420 1,850 237,941
Cash Flows from Capital and Related Financing Activities:
Purchases of capital assets (256,675) - - (256,675)
Proceeds from sales of capital assets 1,383 - - 1,383
Interest and other payments - - - -
Capital lease payments - - - -
Net cash used by capital and related
financing activities (255,292) - - (255,292)
Cash Flows From Investing Activities 2 - - 2
Net increase (decrease) in cash and cash equivalents 61,835 46,609 (20,076) 88,368
Cash and Cash Equivalents - January 1 225,954 119,007 21,244 366,205
Cash and Cash Equivalents - December 31 $ 287,789 $ 165,616 $ 1,168 $ 454,573
Reconciliation of Cash and Cash Equivalents at End of Year
to Cash and Investments per Statement of Net Position
Ending cash and cash equivalents per cash flow statement $ 287,789 $ 165,616 $ 1,168 $ 454,573
Investments - 944,181 295,417 1,239,598
Cash and Investments per Statement of Net Position $ 287,789 $ 1,109,797 $ 296,585 $ 1,694,171
Reconciliation of operating income (loss) to net
cash provided (used) by operating activities:
Operating income (loss) $ (478,754) $ (1,530) $ (76,198) $ (556,482)
Adjustments to reconcile operating income (loss) to
net cash provided (used) by operating activities:
Depreciation expense 875,744 - - 875,744
(Increase) decrease in:
Due from other funds (4,054) - - (4,054)
Increase (decrease) in:
Accounts, compensated absences and accrued interest -
payable (305,482) 41,719 54,272 (209,491)
Net Cash Provided (Used) by Operating Activities $ 87,454 $ 40,189 $ (21,926) $ 105,717
136
OTHER SUPPLEMENTARY
INFORMATION
137
CITY OF HOPKINS
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For the Year Ended Decemeber 31, 2019
Variance with
Budgeted Amounts Actual Final Budget
Original Final Amounts Over (Under)
Revenues
Taxes
Property Taxes $ 11,782,524 $ 11,782,524 $ 11,714,684 $ (67,840)
Franchise Fees 290,000 290,000 304,668 14,668
Total Taxes 12,072,524 12,072,524 12,019,352 (53,171)
Licenses and Permits 557,115 557,115 813,964 256,849
Intergovernmental Revenues
Federal: - - 2,864 2,864
State:
PERA Aid 20,510 20,510 72,581 52,071
State - Police Aid 290,000 290,000 376,937 86,937
State - Fire Aid 100,000 100,000 135,240 35,240
Municipal state aid 170,000 170,000 185,631 15,631
Local Government Aid 556,619 556,619 556,578 (41)
Other Grants and Aids 30,000 30,000 55,011 25,011
Total Intergovernmental Revenues 1,167,129 1,167,129 1,384,842 217,713
Charges for Services
General Government 185,610 185,610 277,654 92,044
Public Safety 35,500 35,500 35,910 410
Public Works 1,150 1,150 7,967 6,817
Parks and Recreation 71,000 71,000 112,325 41,325
Total Charges for Services 293,260 293,260 433,856 140,596
Fines and Forfeitures 184,800 184,800 179,855 (4,945)
Miscellaneous Revenues
Investment Income 15,000 15,000 13,617 (1,383)
Contributions and Donations 15,500 15,500 35,411 19,911
Other 105,150 105,150 33,559 (71,591)
Total Miscellaneous Revenues 135,650 135,650 82,587 (53,063)
Total Revenues 14,410,478 14,410,478 14,914,457 503,979
Expenditures
General Government
Current:
Mayor and Council $ 96,132 $ 96,132 $ 108,214 $ 12,082
Administration 797,580 797,580 798,641 1,061
Legal 175,000 175,000 260,493 85,493
Finance 577,855 577,855 629,833 51,978
City Clerk/Elections 183,243 183,243 133,871 (49,372)
Municipal Building 392,396 392,396 380,302 (12,094)
Planning & Zoning 217,372 217,372 148,416 (68,956)
Other General Government 68,700 68,700 31,738 (36,962)
Capital Outlay 4,800 4,800 - (4,800)
Total General Government 2,513,078 2,513,078 2,491,508 (21,570)
138
CITY OF HOPKINS
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For the Year Ended Decemeber 31, 2019
Variance with
Budgeted Amounts Actual Final Budget
Original Final Amounts Over (Under)
Expenditures (Continued)
Public Safety
Current:
Police 5,609,105 5,609,105 5,673,970 64,865
Fire 1,351,078 1,351,078 1,546,519 195,441
Building Inspections 605,699 605,699 616,211 10,512
Other Protection - - - -
Capital Outlay 48,100 48,100 - (48,100)
Total Public Safety 7,613,981 7,613,982 7,836,700 222,719
Health and Welfare
Current:
Community Inspections 208,089 208,089 185,824 (22,265)
Capital Outlay - - - -
Total Health and Welfare 208,089 208,089 185,824 (22,265)
Public Works
Current:
Building Services 307,547 307,547 410,124 102,577
Engineering 206,716 206,716 143,677 (63,039)
Streets 1,116,127 1,116,127 980,845 (135,282)
Parks/Forestry 1,354,201 1,354,201 1,277,615 (76,586)
Snow Removal 211,546 211,546 242,975 31,429
Capital Outlay 25,000 25,000 - (25,000)
Total Public Works 3,221,137 3,221,137 3,055,236 (165,901)
Culture and Recreation
Current:
Recreation 730,695 730,695 755,411 24,716
Capital Outlay 2,000 2,000 - (2,000)
Total Parks and Recreation 732,695 732,695 755,411 22,716
Housing and Economic Development
Current:
Development 101,498 101,498 103,475 1,977
Total Expenditures 14,390,478 14,390,478 14,428,154 37,676
Excess of Revenues Over (Under) 20,000 20,000 486,303 466,303
OTHER FINANCING SOURCES (USES)
Transfers In
From Enterprise Funds & Internal Service Funds - - - -
From Governmental Funds - - - -
Transfers Out
To Enterprise Funds & Internal Service Funds - - - -
To Governmental Funds 20,000 20,000 20,000 -
Total Other Financing Sources (Uses) 20,000 20,000 20,000 -
Net increase (decrease) in Fund Balance $ - $ - 466,303 466,303
Fund balance - January 1 5,617,686
Fund balance - December 31 $ 6,083,989
139
140
CITY OF HOPKINS, MINNESOTA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED DECEMBER 31, 2019
SECTION III
STATISTICAL SECTION
141
CITY OF HOPKINS, MINNESOTA
STATISTICAL SECTION
This part of the City of Hopkins’ comprehensive annual financial report presents detailed
information as a context for understanding what the information in the financial statements, note
disclosures, and the required supplementary information says about the city’s overall financial
health.
Contents Page
Financial Trends 144
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 152
These schedules contain information to help the reader assess the factors affecting
the city’s ability to generate its property and sales taxes.
Debt Capacity 156
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 160
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 162
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 comprehensive
annual financial reports for the relevant year.
142
143
City of Hopkins
Net Position by Component,
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year
2010 2011 2012 2013
Governmental activities
Net investment in capital assets $ 32,823,582 $ 31,666,432 $ 31,891,229 $ 30,666,268
Restricted 8,613,114 8,250,360 8,684,347 10,014,203
Unrestricted 3,590,101 6,348,703 7,854,941 9,575,287
Total governmental activities net position $ 45,026,797 $ 46,265,495 $ 48,430,517 $ 50,255,758
Business-type activities
Net investment in capital assets $ 16,279,028 $ 17,075,284 $ 16,405,495 $ 16,621,198
Restricted - - - -
Unrestricted 1,073,329 731,674 2,262,236 2,469,397
Total business-type activities net position $ 17,352,357 $ 17,806,958 $ 18,667,731 $ 19,090,595
Primary Government
Net investment in capital assets $ 49,102,610 $ 48,741,716 $ 48,296,724 $ 47,287,466
Restricted 8,613,114 8,250,360 8,684,347 10,014,203
Unrestricted 4,663,430 7,080,377 10,117,177 12,044,684
Total primary government net position $ 62,379,154 $ 64,072,453 $ 67,098,248 $ 69,346,353
144
Schedule 1
Fiscal Year
2014 2015 2016 2017 2018 2019
$ 31,272,253 $ 32,609,356 $ 33,833,387 $ 32,064,111 $ 37,136,053 $ 37,857,254
16,967,889 16,967,889 17,743,963 18,544,263 16,547,512 16,056,962
1,902,270 (9,447,813)(18,308,556)(17,563,673)(14,432,266)(14,865,750)
$ 50,142,412 $ 40,129,432 $ 33,268,794 $ 33,044,701 $ 39,251,299 $ 39,048,466
$ 16,937,928 $ 17,893,856 $ 21,798,183 $ 23,990,746 $ 28,627,563 $ 31,184,022
- - - - - -
1,954,212 1,419,018 435,435 1,443,445 1,733,552 1,863,196
$ 18,892,140 $ 19,312,874 $ 22,233,618 $ 25,434,191 $ 30,361,115 $ 33,047,218
$ 48,210,181 $ 50,503,212 $ 55,631,570 $ 56,054,857 $ 65,763,616 $ 69,041,276
16,967,889 16,967,889 17,743,963 18,544,263 16,547,512 16,056,962
3,856,482 (8,028,795)(17,873,121)(16,120,228)(12,698,714)(13,002,554)
$ 69,034,552 $ 59,442,306 $ 55,502,412 $ 58,478,892 $ 69,612,414 $ 72,095,684
145
City of Hopkins
Changes in Net Position,
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year
2010 2011 2012 2013 2014 2015
Expenses
Governmental activities:
General Government $ 1,693,275 $ 1,719,970 $ 2,056,756 $ 2,108,141 $ 2,276,155 $ 6,656,991
Public Safety 6,243,813 6,213,995 6,382,270 6,357,722 6,526,230 6,665,974
Health and Welfare 180,895 170,018 136,528 165,649 171,187 185,248
Highways and Streets 3,062,507 3,332,067 3,226,807 5,845,437 5,709,009 4,542,014
Urban Development and Housing 1,914,779 2,859,900 2,362,030 2,000,868 2,247,553 1,249,457
Culture and Recreation 1,505,513 1,644,834 1,726,812 1,857,743 1,941,912 2,068,887
Interest on long-term debt 895,873 871,902 811,914 908,264 711,697 688,155
Total governmental activities expenses 15,496,655 16,812,686 16,703,117 19,243,824 19,583,743 22,056,726
Business-type activities:
Water 1,196,947 1,263,835 1,365,542 1,387,807 1,540,940 1,699,540
Sewer 1,844,309 1,800,126 1,816,058 1,995,886 2,042,106 2,061,180
Storm Sewer 420,619 407,057 451,659 448,170 508,686 394,707
Refuse 738,398 778,044 862,286 825,329 834,113 848,685
Pavilion/Ice Arena 398,354 416,166 430,082 426,634 460,246 462,771
Housing and Redevelopment Authority 542,324 607,090 563,863 615,043 625,667 610,318
Total business-type activities 5,140,951 5,272,318 5,489,490 5,698,869 6,011,758 6,077,201
Total primary government expenses $ 20,637,606 $ 22,085,004 $ 22,192,607 $ 24,942,693 $ 25,595,501 $ 28,133,927
Program Revenues
Governmental activities:
Charges for services:
General Government $ 17,169 $ 42,112 $ 40,360 $ 76,477 $ 56,635 $ 82,686
Public Safety 124,338 186,611 159,642 180,548 118,248 79,415
Health and Welfare 32,135 41,815 55,331 57,032 57,235 47,085
Highways and Streets 56,902 73,519 78,226 75,840 96,573 127,221
Urban Development and Housing - 206,916 3,444 228 242 220,027
Culture and Recreation 560,702 623,147 684,018 756,011 740,147 810,762
Operating grants and contributions 1,894,777 2,325,158 3,499,465 5,273,474 2,943,889 4,970,313
Capital grants and contributions 567,370 1,751,464 1,350,147 1,775,717 2,728,416 501,029
Total governmental activities program revenues 3,253,393 5,250,742 5,870,633 8,195,327 6,741,385 6,838,538
Business-type activities:
Charges for services:
Water 1,343,153 1,395,306 1,534,071 1,483,133 1,497,699 1,514,086
Sewer 1,812,585 1,838,949 2,015,166 1,999,333 2,025,763 2,172,277
Storm Sewer 803,889 803,417 801,345 799,603 802,898 805,542
Refuse 852,215 939,421 894,534 901,670 906,387 910,672
Pavilion/Ice Arena 363,591 385,748 70,976 65,055 31,914 24,876
Housing and Redevelopment Authority 258,388 255,188 255,921 272,109 256,884 277,885
Operating grants and contributions 216,596 190,442 698,769 561,111 795,199 622,332
Capital grants and contributions 328,515 28,250 206,681 144,076 - -
Total business-type activities program revenues 5,978,932 5,836,721 6,477,463 6,226,090 6,316,744 6,327,670
Total primary government program revenues $ 9,232,325 $ 11,087,463 $ 12,348,096 $ 14,421,417 $ 13,058,129 $ 13,166,208
Net (Expense)/Revenue
Governmental activities $ (12,243,262) $ (11,561,944) $ (10,832,484) $ (11,048,497) $ (12,842,358) $ (15,218,188)
Business-type activities 837,981 564,403 987,973 527,221 304,986 250,469
Total primary government net expense $ (11,405,281) $ (10,997,541) $ (9,844,511) $ (10,521,276) $ (12,537,372) $ (14,967,719)
General Revenues and Other Changes in Net Position
Governmental activities:
Property taxes $ 9,827,813 $ 9,952,156 $ 10,354,188 $ 10,565,115 $ 11,207,914 $ 11,038,746
Tax Increments 2,147,517 2,239,668 2,332,863 2,002,607 2,700,110 2,920,681
Unrestricted grants and contributions 306,215 312,519 20,724 21,152 20,510 20,510
Unrestricted investment earnings 121,229 108,956 106,304 105,213 193,546 279,418
Gain on sale of capital assets - 42,343 38,427 34,651 27,235 27,535
Transfers 145,000 145,000 145,000 145,000 493,093 (864,187)
Total governmental activities 12,547,774 12,800,642 12,997,506 12,873,738 14,642,408 13,422,703
Business-type activities:
Property taxes - - - - - -
Grants & Contributions not restricted - - - - - -
Unrestricted investment earnings 9,138 8,319 9,040 18,788 24,503 64,161
Gain on sale of capital assets - 26,879 760 21,855 - 23,477
Loss on disposal of capital assets - - 8,000 - - -
Transfers (145,000)(145,000)(145,000)(145,000)(493,093) 864,187
Total business-type activities (135,862)(109,802)(127,200)(104,357)(468,590) 951,825
Total primary government $ 12,411,912 $ 12,690,840 $ 12,870,306 $ 12,769,381 $ 14,173,818 $ 14,374,528
Change in Net Position
Governmental activities 304,512 1,238,698 2,165,022 1,825,241 1,800,050 (1,795,485)
Business-type activities 702,119 454,601 860,773 422,864 (163,604) 1,202,294
Total primary government $ 1,006,631 $ 1,693,299 $ 3,025,795 $ 2,248,105 $ 1,636,446 $ (593,191)
146
Schedule 2
Fiscal Year
2016 2017 2018 2019
$ 10,341,183 $ 6,751,459 $ 4,361,727 $ 5,435,138
8,561,759 8,126,086 7,846,565 9,200,365
185,301 179,916 196,435 189,917
5,168,939 5,932,978 4,562,075 5,175,949
1,398,736 1,354,036 2,352,139 2,431,931
2,231,605 2,737,116 2,015,291 2,385,415
952,756 1,335,290 65,784 212,538
28,840,279 26,416,881 21,400,016 25,031,253
1,878,807 1,871,868 1,704,965 2,204,922
2,251,291 2,406,027 2,288,938 2,618,842
397,660 460,771 461,036 605,214
867,823 874,750 910,481 924,090
483,035 547,831 689,178 1,081,741
616,653 591,895 677,169 743,227
6,495,269 6,753,142 6,731,767 8,178,036
$ 35,335,548 $ 33,170,023 $ 28,131,783 $ 33,209,289
$ 72,716 $ 175,390 $ 43,471 $ 69,656
274,661 172,584 171,291 199,762
58,264 59,645 48,550 52,115
125,749 125,046 165,600 127,229
190,199 146,491 961,625 182,060
770,466 788,549 861,815 870,564
4,087,923 8,007,553 11,597,974 3,987,547
1,109,278 1,731,738 1,630,559 1,888,147
6,689,256 11,206,996 15,480,885 7,377,080
1,526,290 1,837,434 1,931,035 1,997,654
2,215,251 2,698,307 2,780,090 2,880,685
810,142 809,262 806,605 806,193
959,258 956,056 954,620 958,458
22,275 37,080 62,161 85,275
282,125 294,000 402,899 285,861
721,677 697,635 579,401 1,326,311
702,555 - - -
7,239,573 7,329,774 7,516,811 8,340,437
$ 13,928,829 $ 18,536,770 $ 22,997,696 $ 15,717,517
$ (22,151,023) $ (15,209,885) $ (5,919,131) $ (17,654,173)
744,304 576,632 785,044 162,401
$ (21,406,719) $ (14,633,253) $ (5,134,087) $ (17,491,772)
$ 11,994,436 $ 12,895,910 $ 14,343,939 $ 16,229,961
2,959,459 2,146,730 2,433,504 3,209,850
20,510 20,510 56,990 72,581
124,406 168,437 225,337 396,461
62,013 69,883 45,002 1,162
(2,089,914)(3,533,235)(4,218,053)(2,458,675)
13,070,910 11,768,235 12,886,719 17,451,340
63,519 - 81 40,054
- - - 2,648
13,231 20,760 13,153 17,925
9,776 (54) 17,210 4,400
- - - -
2,089,914 3,533,235 4,218,053 2,458,675
2,176,440 3,553,941 4,248,497 2,523,702
$ 15,247,350 $ 15,322,176 $ 17,135,216 $ 19,975,042
(9,080,113)(3,441,650) 6,967,588 (202,833)
2,920,744 4,130,573 5,033,541 2,686,103
$ (6,159,369) $ 688,923 $ 12,001,129 $ 2,483,270
147
City of Hopkins
Fund Balances, Governmental Funds,
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
2010 2011 2012 2013
General Fund
Reserved $ 182,211 $ - $ - $ -
Unreserved 4,071,049 - - -
Nonspendable - 174,487 196,500 231,608
Assigned - 591,676 508,767 426,768
Unassigned - 4,266,048 4,488,876 4,823,141
Total general fund $ 4,253,260 $ 5,032,211 $ 5,194,143 $ 5,481,517
All other Governmental Funds
Reserved reported in:
Special Revenue Funds $ 2,844,901 $ - $ - $ -
Capital Projects Funds - - - -
Debt Service Funds 4,850,159 - - -
Unreserved reported in:
Special Revenue Funds 590,281 - - -
Capital Projects Funds 3,572,002 - - -
Nonspendable - 2,674,342 1,718,341 1,495
Restricted - 5,823,862 6,312,043 5,199,415
Committed - 926,349 2,679,389 4,509,026
Assigned - 2,502,336 4,785,717 3,313,086
Unassigned - (1,916,865)(2,090,788)(2,011,214)
Total all other governmental funds $ 11,857,343 $ 10,010,024 $ 13,404,702 $ 11,011,808
Total all funds $ 16,110,603 $ 15,042,235 $ 18,598,845 $ 16,493,325
Note: The City began to use new categories of fund balance when it implemented GASB 54 in 2011.
Prior years were not retroactively reclassified.
148
Schedule 3
Fiscal Year
2014 2015 2016 2017 2018 2019
$ - $ - $ - $ - $ - $ -
- - - - - -
213,499 227,113 87,263 135,373 192,368 211,100
339,055 340,189 340,857 245,494 245,494 245,494
5,184,081 5,439,798 5,437,774 5,471,420 5,179,824 5,627,395
$ 5,736,635 $ 6,007,100 $ 5,865,894 $ 5,852,287 $ 5,617,686 $ 6,083,989
$ - $ - $ - $ - $ - $ -
- - - - - -
- - - - - -
- - - - - -
- - - - - -
201 204 - - - 8,740
12,683,242 16,720,476 15,207,736 13,114,006 13,826,248 14,085,841
4,574,733 4,882,609 5,034,095 5,157,831 3,722,663 4,589,273
4,162,299 1,249,239 - 1,655,606 - -
(2,029,619)(1,960,918)(2,789,907)(1,536,968)(3,373,861)(3,123,872)
$ 19,390,856 $ 20,891,610 $ 17,451,924 $ 18,390,475 $ 14,175,050 $ 15,559,982
$ 25,127,491 $ 26,898,710 $ 23,317,818 $ 24,242,762 $ 19,792,736 $ 21,643,971
149
City of Hopkins
Changes in Fund Balances, Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
2010 2011 2012 2013
Revenues
Property Taxes $ 9,795,318 $ 10,038,514 $ 10,403,945 $ 10,600,854
Tax Increments 2,147,517 2,239,668 2,332,863 2,002,607
Special Assessments 1,128,467 1,446,922 1,307,949 1,634,903
Intergovernmental 1,215,163 1,931,333 1,549,464 3,775,172
Licenses and Permits 623,492 691,962 476,296 649,672
Charges for Services 800,115 908,106 787,724 884,354
Fines and Forfeits 138,894 174,303 253,530 251,170
Investment Earnings 106,128 94,409 94,235 94,024
Miscellaneous 589,604 701,683 1,881,347 1,343,592
Total revenues 16,544,698 18,226,900 19,087,353 21,236,348
Expenditures
Current:
General Government 1,576,676 1,598,885 1,598,885 2,019,932
Public Safety 5,881,633 5,895,640 6,144,206 6,089,431
Health and Welfare 177,732 168,202 136,169 164,237
Highways and Streets 2,082,853 2,337,018 2,193,209 4,709,377
Urban Redevelopment and Housing 1,881,610 2,826,172 2,826,172 1,979,001
Culture and Recreation 1,339,695 1,510,024 1,510,024 1,688,876
Capital outlay 1,358,792 1,972,143 2,470,049 4,272,737
Debt Service
Principal 4,665,000 2,065,000 1,635,000 3,265,000
Interest and fiscal charges 953,232 852,184 819,238 853,433
Bond Issuance Costs 49,233 - - -
Total expenditures 19,966,456 19,225,268 19,332,952 25,042,024
Excess (deficiency) of revenues
over expenditures (3,421,758)(998,368)(245,599)(3,805,676)
Other Financing Sources (Uses)
Sale of Property - - - -
Proceeds from Issuance of Debt 2,710,000 - 5,985,000 1,920,000
Issuance of refunding debt 1,805,000 - - -
Discount on Debt (45,150) - (12,830) -
Premium on Debt - - 65,705 42,010
Refunded bond payment - (215,000) - -
Transfer In 7,808,068 1,504,822 4,788,179 2,948,556
Transfer Out (7,663,068)(1,359,822)(4,989,453)(3,210,410)
Total other financing sources (uses) 4,614,850 (70,000) 5,836,601 1,700,156
Net change in fund balances $ 1,193,092 $ (1,068,368) $ 5,591,002 $ (2,105,520)
Debt service as a percentage of
noncapital expenditures 30.2%16.9%14.6%19.8%
Note: Capital outlay has been adjusted for items not shown as capital expenditures on the entity wide statements and reclassified to their
respective expenditure category.
150
Schedule 4
Fiscal Year
2014 2015 2016 2017 2018 2019
$ 11,212,334 $ 11,190,091 $ 12,181,695 $ 13,089,431 $ 14,414,205 $ 16,198,293
2,700,110 2,920,681 2,959,459 2,146,730 2,433,504 3,209,850
1,202,401 1,003,444 1,404,258 1,753,923 1,121,267 1,485,089
3,272,977 2,234,195 2,698,372 3,743,694 8,466,571 2,967,143
569,585 489,373 686,785 811,826 702,431 813,964
835,960 848,775 1,000,847 1,008,699 933,517 999,088
229,807 258,924 223,131 230,804 190,395 196,519
172,012 257,543 115,925 157,870 215,005 386,362
1,148,505 1,474,048 1,870,874 2,463,487 1,260,706 3,335,939
21,343,691 20,677,074 23,141,346 25,406,464 29,737,601 29,592,247
2,126,004 2,586,582 2,886,837 3,285,079 2,872,325 3,734,294
6,154,320 6,253,424 6,718,046 7,154,007 7,600,081 7,994,658
167,088 176,248 181,666 177,734 190,623 185,824
4,495,659 3,180,023 3,797,748 4,546,602 3,283,862 3,514,461
2,192,453 1,219,526 1,337,387 1,306,327 2,294,347 2,364,752
1,747,614 1,851,741 2,016,229 2,107,616 2,024,126 2,052,975
2,144,714 8,789,979 7,325,037 11,753,941 19,310,698 12,147,357
1,970,000 8,570,000 3,075,000 3,080,000 3,890,000 6,475,000
709,367 646,387 855,114 1,050,401 1,496,932 1,670,990
- - - - - -
21,707,219 33,273,910 28,193,064 34,461,707 42,962,994 40,140,311
(363,528)(12,596,836)(5,051,718)(9,055,243)(13,225,393)(10,548,064)
- - - - - -
1,895,000 18,735,000 8,770,000 13,530,000 6,715,000 13,565,000
6,345,000 - 3,540,000 - - -
- - - - - -
214,606 425,129 452,971 1,352,173 168,423 1,292,974
- (3,927,887)(7,305,660)(3,678,549) - -
9,351,659 8,513,635 8,112,133 12,157,526 9,870,518 13,748,936
(8,858,566)(9,377,822)(12,098,618)(15,690,761)(8,822,290)(16,207,611)
8,947,699 14,368,055 1,470,826 7,670,389 7,931,651 12,399,299
$ 8,584,171 $ 1,771,219 $ (3,580,892) $ (1,384,854) $ (5,293,742) $ 1,851,235
13.70%37.60%18.80%18.20%22.80%29.10%
151
Schedule 5
City of Hopkins
Assessed and Actual Value of Taxable Property
Last Ten Fiscal Years
(in thousands of dollars)
Less:Total Taxable
Payable Residential Apartment Commercial Industrial Other Tax-Exempt Market Total Direct
Year Property Property Property Property Property Property Value Tax Rate
2010 $ 922,267 $ 251,418 $ 404,674 $ 168,803 $ 1,503 $ 177,975 $ 1,570,690 $ 49.377
2011 883,348 251,141 397,506 173,349 1,272 179,699 1,526,917 56.463
2012 816,431 252,968 422,769 174,254 1,492 179,699 1,488,215 59.718
2013 867,012 269,812 405,840 174,255 1,492 179,699 1,538,712 63.819
2014 838,714 277,435 419,190 177,413 1,492 179,699 1,534,545 64.290
2015 917,367 313,183 430,897 181,538 1,506 179,699 1,664,792 62.503
2016 961,676 363,334 439,692 191,925 1,604 179,699 1,778,532 65.581
2017 999,228 406,566 530,859 198,797 1,350 254,549 1,882,251 64.485
2018 1,004,480 449,375 541,376 181,049 1,429 254,549 1,923,160 67.833
2019 1,128,890 562,141 580,479 174,975 1,519 254,549 2,193,455 71.697
Notes:
(1) The direct tax rate is applied to the tax capacity of the property which is calculate by applying a statutory formula to the estimated market value
of the property. The tax capacity is then multiplied by the direct tax rate to determine the city taxes payable on a specific parcel.
(2) Tax exempt property is revalued on a six-year cycle. All other property is revalued on a three year cycle.
152
Schedule 6
City of Hopkins
Direct and Overlapping Property Tax Rates
Last Ten Fiscal Years
(rate per $1,000 of assessed value)
City Direct Rate Overlapping Rates
Fiscal
Year Basic Rate
General
Obligation Debt
Service
Total
Direct
School
District
Hennepin
County
Metro
Council Other
Total
Overlapping
Total Direct and
Overlapping Tax
Rate
2010 43.121 6.256 49.377 22.944 42.561 2.612 6.825 74.942 124.319
2011 49.638 6.825 56.463 26.456 45.840 2.949 7.540 82.785 139.248
2012 52.238 7.480 59.718 29.270 48.231 3.084 7.827 88.412 148.130
2013 55.902 7.917 63.819 29.730 49.461 3.242 8.241 90.674 154.493
2014 55.743 8.547 64.290 32.358 49.959 3.335 8.716 94.368 158.658
2015 53.884 8.619 62.503 30.340 46.398 3.006 8.094 87.838 150.341
2016 55.365 10.216 65.581 28.514 45.356 2.899 7.864 84.633 150.214
2017 54.251 10.234 64.485 25.611 44.087 2.821 7.755 80.274 144.759
2018 53.153 14.680 67.833 29.035 42.808 2.630 7.984 82.457 150.290
2019 55.827 15.870 71.697 30.589 41.861 2.542 7.577 82.569 154.266
Source: Hennepin County, Minnesota Taxpayer Services Department
Notes: The City's basic rate is determined by the city's annual budget requirements as set by the City Council. Rates for debt service are based on each year's requirements.
153
Schedule 7
City of Hopkins
Principal Property Taxpayers,
Current Year and Ten Years Ago
2019 2010
Percentage Percentage
of Total of Total
City City
Tax Tax Tax Tax
Capacity Capacity Capacity Capacity
Taxpayer Value Rank Value Value Rank Value
Colfin MIdwest NNN Investment, LLC $ 1,354,280 1 4.83 % $ - - - %
Piedmont 9320 Excelsior LLC 688,260 2 2.45 - - -
Doran 810 Apartments LLC 480,375 3 1.71 - - -
Hopkins Distribution Co. LLC 473,050 4 1.69 - - -
Greenfield Apartments, LLP 472,700 5 1.69 302,800 4 1.37
Ramsgate Apartments, LLC 360,650 6 1.29 242,000 5 1.09
Southwest Real Estate, Inc 302,520 7 1.08 237,223 6 1.07
Duke Realty Corporation 262,290 8 0.94 233,250 7 1.05
The Luther Co., LTD 253,148 9 0.90 - - -
UNFI (Super Valu) 245,940 10 0.88 1,114,910 1 5.04
Heines Global REIT 9320 EXCEL - 211,630 9 0.96
Excelsior Crossings, LLC - 764,810 2 3.46
RE Capital Partners 599,250 3 2.71
City Center Ventures, LLC - 199,250 10 0.90
Hopkins Real Estate, LLC - - 229,250 8 1.04
Total $ 4,893,213 17.45 % $ 4,134,373 18.68 %
Total City 2019/2010 tax capacity $ 28,035,050 22,135,067
Source: Hennepin County, Minnesota Assessor's Office
Notes: Tax capacity is a percentage of total market value. For taxes payable in 2011 and forward these class rates are 1% for residential, 1.25% for apartments and
1.5% of first $150,000 with balance at 2.0% for commercial/industrial properties.
154
Schedule 8
City of Hopkins
Property Tax Levies and Collections,
Last Ten Fiscal Years
Collected within the
Taxes Levied for the Fiscal Year Fiscal Year of Levy Total Collections to Date
Percentage Collections in Percentage Outstanding Percentage
Fiscal Operating Debt Total Tax of Subsequent of Delinquent of Levy
Year Tax Levy Tax Levy Levy Amount Levy Years (3)Amount Levy Taxes Outstanding
2010 8,733,685 1,267,000 10,000,685 9,533,671 95.3% 101,357 9,635,028 96.3% 365,657 3.8%(1)
2011 9,022,414 1,241,000 10,263,414 9,828,089 95.8% 185,324 10,013,413 97.6% 250,001 2.5%(2)
2012 9,119,591 1,306,400 10,425,991 10,181,764 97.7% 122,430 10,304,194 98.8% 121,797 1.2%
2013 9,219,774 1,306,400 10,526,174 10,319,805 98.0% 45,857 10,365,662 98.5% 160,512 1.5%
2014 9,268,754 1,421,461 10,690,215 10,506,537 98.3% 13,474 10,520,011 98.4% 170,204 1.6%
2015 9,735,801 1,514,844 11,250,645 11,009,239 97.9% 40,184 11,049,423 98.2% 201,222 1.8%
2016 10,338,764 1,907,878 12,246,642 12,120,075 99.0%(11,487) 12,108,588 98.9% 138,054 1.1%
2017 11,151,866 2,103,366 13,255,232 12,984,829 98.0% 19,138 13,003,967 98.1% 251,265 1.9%
2018 11,403,994 3,149,223 14,553,217 14,187,600 97.5% 150,555 14,338,155 98.5% 215,062 1.5%
2019 12,714,661 3,613,429 16,328,090 16,163,548 99.0% - 16,163,548 99.0% 164,542 1.0%
Notes:
(1) For the year 2010 State of MN unalloted $241,193 in Market Value Homestead Credit that is included in the total levy.
Had the City received those funds, outstanding delinquent taxes would be reduced to $182,339 and
the percentage of levy outstanding would be 1.8%.
(2) For the year 2011 State of MN unalloted $257,696 in Market Value Homestead Credit that is included in the total levy.
Had the City received those funds, outstanding delinquent taxes would be reduced to $153,757 and
the percentage of levy outstanding would be 1.5%.
(3) During the years 2010-2015 there were a significant number of tax court challenges that resulted in taxes being
rebated to taxpayers resulting in higher delinquent taxes for the years 2008-2015.
155
Schedule 9
City of Hopkins
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
Business-Type
Governmental Activities Activities
General HRA Tax Special Total Percentage
Fiscal Obligation Lease Revenue Increment Assessments Capital Revenue Primary of Personal Per
Year Bonds Bonds Bonds Bonds Lease Bonds Government Income Capita
2010 $ 8,566,973 $ 2,281,799 $ 8,290,713 $ 4,861,298 $ 355,556 $ 5,133,954 $ 29,490,293 16.84% $ 1,676
2011 7,951,437 2,154,353 7,265,336 4,362,694 318,241 3,843,183 25,895,244 14.21% 1,472
2012 10,130,650 - 6,733,274 7,262,674 279,083 4,832,960 29,238,641 15.02% 1,652
2013 9,388,707 - 4,691,998 8,745,591 237,990 6,054,706 29,118,992 14.23% 1,623
2014 15,092,501 - 4,095,716 10,123,177 194,868 5,488,002 34,994,264 16.94% 1,900
2015 15,637,818 - 15,519,181 8,757,855 149,616 4,807,632 44,872,102 20.75% 2,436
2016 23,522,410 - 17,869,376 8,155,188 102,128 4,422,261 54,071,363 23.94% 2,812
2017 35,893,456 - 16,852,700 7,547,520 52,675 6,500,290 66,846,641 28.63% 3,518
2018 36,883,957 - 19,269,286 6,919,853 - 9,369,368 72,442,464 33.68% 3,797
2019 47,657,083 - 18,637,449 4,933,026 - 8,661,985 79,889,543 35.09% 4,053
Notes: Details regarding the District's outstanding debt can be found in note 9 of the notes to the financial statements.
See the Demographic and Economic Statistics schedule on schedule 14 for personal income
and population data.
156
Schedule 10
City of Hopkins
Ratios of Net General Bonded Debt Outstanding
Last Ten Fiscal Years
General Obligation Bonds
Less Percentage of
General Tax Debt Service Actual Taxable
Fiscal Obligation Improvement Revenue Increment Fund Net Value of Per
Year Bonds Bonds Bonds Bonds Total Balance Bonded Debt Property Capita
2010 $ 10,848,772 $ 4,861,298 $ 7,415,753 $ 8,290,713 $ 31,416,536 $ 7,688,050 $ 23,728,486 1.511% $ 1,349
2011 10,105,790 4,362,694 5,997,536 7,265,336 27,731,356 6,650,512 21,080,844 1.381% 1,198
2012 10,130,650 7,262,674 4,832,960 6,733,274 28,959,558 6,543,187 22,416,371 1.506% 1,266
2013 9,388,707 8,745,591 6,054,706 4,691,998 28,881,002 7,871,612 21,009,390 1.365% 1,171
2014 15,092,501 10,123,177 5,488,002 4,095,716 34,799,396 14,373,448 20,425,948 1.331% 1,109
2015 15,637,818 8,757,855 4,807,632 15,519,181 44,722,486 15,540,533 29,181,953 1.750% 1,518
2016 23,522,410 8,155,188 4,422,261 17,869,376 53,969,235 11,342,561 42,626,674 2.397% 2,217
2017 35,893,456 7,547,520 6,500,290 16,852,700 66,793,966 10,596,245 56,197,721 2.986% 2,958
2018 36,883,957 6,919,853 9,369,368 19,269,286 72,442,464 8,599,909 63,842,555 3.320% 3,346
2019 47,522,953 4,933,026 8,661,984 18,637,449 79,755,412 6,244,002 73,511,410 3.351% 3,729
Notes:
Details regarding the city's outstanding debt can be found in note 9 of the notes to the financial statements
See the Assessed and Actual Value of Taxable Property schedule 5 for taxable market value of property data
See the Demographic and Economic Statistics schedule 14 for population data
G.O Improvement bonds are included as they are backed by a general tax levy and special assessements levied against benefitted properties
G.O. Revenue bonds are included as they are backed by the full taxing authority of the City should revenues fall short of debt requirements
G.O. Tax Increment bonds are included as they are backed by property taxes levied against the properties benefitting from specific development for which the bonds were issued.
157
Schedule 11
City of Hopkins
Direct and Overlapping Governmental Activities Debt
As of December 31, 2019
Estimated
Estimated Share of
Net Debt Percentage Overlapping
Outstanding Applicable (a)Debt
Debt repaid with property taxes:
School Districts:
Hopkins ISD 270 $ 167,740,000 16.27% $ 27,291,298
St. Louis Park ISD 283 138,915,000 0.52% 722,358
Other Debt:
Hennepin County 1,334,420,000 1.18% 15,746,156
Hennepin Suburban Park District 61,035,000 1.65% 1,007,078
Hennepin Regional RR Authority 98,385,000 1.65% 1,623,353
Metropolitan Council (d) 1,555,384,035 0.56% 8,710,151
Subtotal - overlapping debt 55,100,393
City of Hopkins Direct Debt (b,c) 71,093,428 21.83% 15,519,695
Total Direct and Overlapping Debt: $ 70,620,088
Source: Hennepin County, Minnesota Taxpayer Services
Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City. This schedule shows the
portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. This process
recognizes that, when considering the City's ability to issue and repay long-term debt, the entire debt 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.
(a) The percentage of overlapping debt applicable is estimated using the taxable market values. Applicable percentages were estimated by
determining the portion of the county's and school district's taxable market value that is within the City's boundaries.
(b) City of Hopkins direct debt includes long-term debt instruments of the City which are bonds and capital leases of the government.
(c) Net Debt Outstanding excludes revenue bonds.
(d) 2019 Met Council Tax Capacity was used - 2020 N/A
158
Schedule 12
City of Hopkins
Legal Debt Margin Information
Last Ten Fiscal Years
(dollars in thousands)
Legal Debt Margin Calculation for Fiscal Year 2019
Market value $ 2,145,593
Debt limit (3% of market value) 64,368
Debt applicable to limit:
General Obligation Bonds 18,340
Less: Amount set aside for repayment of
general obligation debt (3,951)
Total net debt applicable to limit 14,389
Legal debt margin $ 49,979
Fiscal Year
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Debt limit $ 47,121 $ 43,806 $ 42,189 $ 46,161 46,036 $ 48,168 $ 51,633 $ 54,888 $ 57,695 $ 64,368
Total net debt applicable to limit 10,144 9,549 9,402 8,903 8,736 14,661 21,761 24,401 32,175 14,389
Legal debt margin $ 36,977 $ 34,257 $ 32,787 $ 37,258 37,300 $ 33,507 $ 29,872 $ 30,487 $ 25,520 $ 49,979
Total net debt applicable to the limit
as a percentage of debt limit 21.53%21.80%22.29%19.29%18.98%30.44%42.15%44.46%55.77%22.35%
159
Schedule 13
City of Hopkins
Demographic and Economic Statistics
Last Ten Calendar Years
Personal Per
Income (2)Capita
Fiscal (thousands Personal School Unemployment
Year Population (1)of dollars)Income (2)Enrollment (3)Rate (4)
2010 17,591 $ 174,808 $ 43,265 9,241 6.5
2011 17,591 180,988 44,489 9,107 5.5
2012 17,701 193,488 47,136 8,556 5.1
2013 17,939 203,498 49,147 8,555 4.3
2014 18,413 206,789 49,460 8,489 3.8
2015 19,227 216,218 51,244 8,495 3.1
2016 19,227 225,882 53,121 8,327 3.8
2017 19,000 233,465 53,166 8,182 3.6
2018 19,079 215,086 59,736 8,152 2.8
2019 19,713 227,292 62,889 8,345 2.7
Sources: (1) Metropolitan Council, except for 2010 and 2011 which is per the U.S. Census.
(2) U.S. Department of Commerce Bureau of Economic Analysis data for Minnesota Metropolitan Area
(3) Minnesota Department of Education and is for public and non-public schools in Hopkins School District #270
(4) Minnesota Department of Employment and Economic Development, based on December rates
160
Schedule 14
City of Hopkins
Principal Employers,
Current Year and Ten Years Ago
2019 2010
Percentage Percentage
of Total of Total
Taxpayer Employees Rank Employment Employees Rank Employment
SuperValu (2) 1,400 1 7.649 1,200 3 11.085
ISD 270 Hopkins (1) 1,365 2 7.457 1,400 2 12.933
Colfin Midwest NNN INV LLC (Cargil) 1,215 3 6.638 2,350 1 21.709 %
Thermotech 400 4 2.185 190 6 1.755
US Post Office 314 5 1.715 - - -
Oak Ridge Country Club 185 6 1.011 204 5 1.885
Augustana Chapel View Care Center 185 7 1.011 225 4 2.079
US Bank 185 8 1.011 - - -
City of Hopkins 116 9 0.634 140 8 1.293
Walser Chrysler Dodge Jeep Ram 100 10 0.546 - - -
Hopkins Honda - - - 160 7 1.478
Golden Living Center - - - 134 9 1.238
SunGard Financial Systems 105 10 0.970
Total 5,465 29.857 % 6,108 56.425 %
Source: Reference USA, written and telephone survey (March 2019), and the Minnesota Department of Employment and Economic Development.
Notes:
(1) Includes total number of employees located in facilities throughout Independent School District 270, Hopkins.
(2) Reflects employees in the corporate office and warehouse.
161
Schedule 15
City of Hopkins
Full-Time Equivalent City Employees by Type
Last Ten Fiscal Years
Full-time-Equivalent Employees as of December 31, 2019
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
General Government
Administrative Services 4.80 4.80 4.95 5.00 5.00 5.00 5.05 5.50 5.00 4.00
Finance 4.60 4.60 4.60 4.60 4.60 4.60 4.00 5.00 4.00 4.00
Municipal Building 1.45 1.45 1.45 1.45 1.45 1.45 1.45 1.45 1.45 1.45
Community Services 9.95 9.95 9.80 9.80 9.70 9.70 8.65 7.20 8.95 8.95
Public Safety
Police 39.00 40.00 39.50 36.45 34.50 36.50 36.78 38.45 38.28 38.45
Fire 1.20 1.20 1.20 1.25 1.25 1.25 3.25 3.25 4.10 4.10
Public Works 17.77 17.25 17.69 17.69 17.09 18.09 17.58 18.09 19.98 20.98
Recreation
Activity Center 3.30 3.30 3.20 3.20 3.20 3.20 3.25 3.20 2.80 3.00
Skate Park 0.05 0.05 0.05 0.05 0.05 0.05 0.05 0.05 0.05 0.05
Planning & Zoning 1.35 1.35 1.35 1.35 1.35 1.35 1.35 1.35 1.35 1.35
Community Development - - 0.85 0.85 0.85 0.85 1.50 0.85 0.85 0.85
Total General Government 83.47 83.95 83.79 81.69 79.04 82.04 82.91 84.39 86.81 87.18
Special Revenue Funds
Economic Development 1.75 1.60 1.60 1.15 1.60 1.60 1.25 1.60 2.00 2.00
Paratransit - - - - - - - - - -
Housing Rehabilitation 0.85 0.85 - - - - - - - -
Parking 1.00 1.00 0.72 0.72 0.72 1.00 0.72 0.72 1.12 1.12
Section 8 - - - - - - - - - -
Communication 0.40 0.25 0.25 0.25 0.25 0.25 0.75 1.25 1.00 1.00
Depot Coffee House 1.00 1.50 1.50 2.50 2.50 2.50 5.25 5.25 5.00 4.62
Art Center 4.05 4.55 4.30 3.80 3.80 4.30 4.30 4.30 5.28 5.28
Total Special Revenue Funds 9.05 9.75 8.37 8.42 8.87 9.65 12.27 13.12 14.40 14.02
Enterprise Funds
Water 3.11 3.11 3.13 3.13 3.13 3.43 2.60 3.43 4.79 3.79
Sanitary Sewer 3.44 3.44 3.46 3.46 3.46 3.76 3.40 3.76 2.60 2.60
Refuse 3.40 3.58 3.89 3.89 3.89 3.89 4.09 4.09 3.39 3.39
Storm Sewer 0.42 0.42 0.63 0.63 0.63 0.63 0.43 0.63 0.63 0.63
Pavilion/Ice Arena 3.05 2.45 2.40 2.40 2.40 2.90 2.90 2.90 2.70 2.90
Housing and Redevelopment 2.05 2.20 2.20 2.20 2.20 2.20 2.40 2.40 2.40 2.40
Total General Government 15.47 15.20 15.71 15.71 15.71 16.81 15.82 17.21 16.51 15.71
Total 107.99 108.90 107.87 105.82 103.62 108.50 111.00 114.72 117.72 116.91
Source: City Finance Office
162
163
City of Hopkins
Operating Indicators by Function/Program
Last Ten Years
Fiscal Year
Function/Program 2010 2011 2012 2013 2014
General Government
Elections 2 1 2 1 2
Registered voters 9,393 9,691 10,912 9,917 109,123
Number of votes cast 5,761 961 9,130 1,674 9,130
Voter participation (registered)61.30%9.90%83.70%16.90%8370.00%
Public Safety
Police
Total Calls for Service 19,141 21,257 25,379 25,286 26,140
Sworn Officers 26 26 26 26 26
Traffic Stops 2,597 5,231 7,602 6,333 5,741
Parking Citations 914 864 958 979 820
Fire
Fires 58 40 36 38 51
False Alarm 98 95 91 101 100
Fire Runs 370 331 382 382 428
Medical Runs 66 77 141 178 195
Average Response Time (minutes) 4.0 4.0 4.0 4.2 4.2
Inspections
Building Permits 4 631 501 509 455
Value of Building Permits $ 10,968,955 $ 19,211,258 $ 9,804,196 $ 44,183,445 $ 16,453,935
Public Works
Miles of seal coating 0.95 0.85 5.36 5.49 5.26
Miles of crack sealing 1.99 7.26 4.13 3.75 5.85
Sidewalk repairs in square feet 5,252 5,831 5,770 5,172 4,482
Alley repairs in square yards 170 200 201 190 41
Culture and Recreation
Art Center
Bookings 4,913 4,307 307 4,440 4,747
Reserved Hours 30,414 26,406 26,406 27,442 29,440
Customer Visits for Events/Activities 205,319 219,975 219,975 213,487 215,371
Water
Gallons of water pumped (in millions) 794 744 781 817 812
Number of well house inspections 2,501 2,446 2,480 2,465 2,510
Number of hydrants flushed 144 151 142 138 150
Water Rate - Tier One $ 1.90 $ 1.90 $ 1.96 $ 2.02 $ 2.10
Water Rate - Tier Two
Water Rate - Tier Three
Sanitary Sewer
Sanitary sewage flow (in millions of gallons) 567.8 606.5 601.9 579.0 628.6
Miles of sewer lines jetted 15.4 14.6 14.7 16.2 14.6
Number of manholes checked/cleaned 1,301 1,421 1,337 1,413 1,400
Lift Station Maintenance checks 4,310 4,321 4,314 4,307 4,401
Sewer Rate $ 3.40 $ 3.60 $ 3.75 $ 3.90 $ 4.10
Refuse
Number of refuse accounts 2,695 2,687 2,681 2,706 2,709
Tons of refuse collected 2,298 2,265 2,470 2,136 2,393
Tons of recycled material (residential) 1,148 1,222 1,182 757 1,114
Refuse rate 15.85-21.85 15.85-21.85 15.85-21.85 16.85 - 24.30 16.85 - 24.30
Recycling rate $ 3.75 $ 3.75 $ 4.00 $ 4.25 $ 4.25
Pavilion/Ice Arena
Ice time rental hours 1,455 1,407 1,429 1,401 1,370
Turf use hours 624 758 869 865 810
Mezzanine rental use 776 1,150 1,260 1,386 2,147
Source: Various City Departments
Notes:
(1) Information not available is labeled N/A..
164
Schedule 16
Fiscal Year
2015 2016 2017 2018 2019
1 2 1 2 1
9,647 10,418 10,366 22,279 10,684
1,058 9,198 2,164 11,583 1,514
11.00%88.30%20.90%52.0%14.2%
23,535 24,549 26,724 26,063 23,996
28 27 27 27 30
6,055 6,910 6,232 6,212 4,929
725 640 662 542 499
18 81 43 31 39
103 130 123 110 29
467 566 415 322 235
177 171 119 143 111
4.4 4.2 4.2 4.2 4.1
501 451 485 405 506
$ 12,631,596 $ 76,838,870 $ 19,553,988 $ 27,785,861 $ 45,193,752
....
1.81 1.05 1.32 1.18 N/A
5.26 1.54 2.22 2.33 8.87
6,800 6,286 10,260 25,905 40,100
182 180 1,235 712 45
5,013 4,981 4,761 3,975 3,859
31,759 31,320 32,993 24,901 19,509
216,450 211,969 220,032 227,291 220,512
751 787 760 720 656
2,190 2,450 1,095 1,095 1,095
120 139 139 - 337
$ 2.18 $ 2.18 2.44 2.60 2.78
2.81 3.00 3.20
3.23 3.45 3.68
615 605 598 560 448
12 15 15 13 14
274 1,025 274 302 357
4,350 4,283 1,945 1,095 1,825
$ 4.30 $ 4.30 $ 5.81 $ 6.12 $ 6.46
2,735 2,692 2,687 2,698 2,687
2,368 2,095 2,215 2,162 2,132
1,106 166 966 676 676
$16.85 - 24.30 $16.85 - 24.30 $17.85-25.30 $17.85-25.30 $17.85-25.30
$ 4.50 $ 5.00 $ 5.00 $ 5.00 $ 5.00
1,365 1,284 1,385 1,213 1,714
818 749 682 425 446
2,822 2,847 7,315 8,892 14,289
165
Schedule 17
City of Hopkins
Capital Asset Statistics by Function/Program
Last Ten Years
Fiscal Year
Function/Program 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Public Safety
Police
Stations 1 1 1 1 1 1 1 1 1 1
Patrol Units 11 11 11 11 11 11 11 11 11 11
Fire
Stations 1 1 1 1 1 1 1 1 1 1
Public Works
Highways (miles) 3.57 3.57 3.57 3.57 3.57 3.57 3.57 3.57 3.57 3.57
County Highways 5.32 5.32 5.32 5.32 5.32 5.32 5.32 5.32 5.32 5.32
City Streets (miles) 47.50 47.50 47.50 47.50 47.50 47.50 47.5 47.5 47.5 47.5
Alleys (miles) 9.52 9.52 9.52 9.52 9.52 9.52 9.52 9.52 9.52 9.52
Streetlights 398 398 398 398 398 398 398 398 398 398
Traffic Signals 44 44 44 44 44 44 44 44 44 44
Refuse collection trucks 3 3 3 3 3 3 3 3 3 3
Culture & Recreation
Parks
Parks 16 16 16 16 16 16 16 16 16 16
Park Trails 4 4 4 4 4 4 4 4 4 4
Park Acres 104 104 104 104 104 104 104 104 104 104
Park Shelters 10 11 11 11 11 11 11 11 11 11
Playgrounds 11 11 11 11 11 11 11 11 11 11
Skateboard Park/Inline Skating 1 1 1 1 1 1 1 1 1 1
Skating Rinks 7 7 7 7 7 7 7 7 7 7
Hockey Rinks 5 5 5 5 5 5 5 5 5 5
Basketball Courts 6 6 6 6 6 6 6 6 6 6
Pickleball Courts - - - - - - - - 1 1
Softball Fields 4 4 4 4 4 4 4 4 4 4
Swimming Beach 1 1 1 1 1 1 1 1 1 1
Tennis Courts 8 8 8 8 8 8 8 8 8 8
Volleyball Courts 2 2 2 2 2 2 2 2 2 2
Watermains
Distribution System (miles) 52.60 52.60 52.60 52.60 52.60 52.60 52.6 52.6 52.6 52.6
Fire Hydrants 560 560 560 560 560 560 560 560 560 560
Storage Capacity (gallons in thous) 3,200 3,200 3,200 3,200 3,200 3,200 3200 3200 3200 3200
Water Connections 3,168 3,168 3,168 3,168 3,168 3,168 3168 3168 3168 3168
Sanitary Sewer
Collection System (miles) 45.46 45.46 45.46 45.46 45.46 45.46 45.46 45.46 45.46 45.46
Sewer Connections 3,086 3,086 3,086 3,086 3,086 3,086 3,086 3,086 3,086 3,086
Storm Sewer
Pipe (miles) 21.40 21.40 21.40 21.40 21.40 21.40 21.40 21.40 21.40 21.40
Parking
Parking Lots 7 7 7 7 7 7 7 7 7 7
Parking Ramp 1 1 1 1 1 1 1 1 1 1
Source: Various City Departments
166