Management’s Discussion and Analysis

*Not restated for GASB 87

Financial Analysis of the City’s Funds

Governmental Funds

At the close of the fiscal year, the City’s governmental funds reported combined ending fund balances of $187.9 million, a decrease of $2.9 million compared to fiscal year 2021. Governmental fund balances are classified as follows:

• Nonspendable either due to a fund’s form or legal constraints such as permanent trusts: $4.5 million or 2.4%.

• Restricted for a specific purpose either by creditors, grantors, constitutional provisions, or enabling Legislation $24.3 million or 12.9% .

• Committed for specific purposes by the Legislature or for satisfying contractual requirements: $2.0 million or 1.1%.

• Assigned for a specific purpose as that intent is expressed by the Legislature or by a governing body or official: $122.4 million or 65.2%.

• Unassigned is the General Fund balance that has not been designated for another fund and that has not been restricted, committed, or assigned to a specific purpose within the General Fund: $34.6 million or 18.4%. Changes in the fund balance are described by major fund type as follows: Within governmental funds, the City’s capital improvement fund experienced an increase in fund balance. The fund increased by $6.7 million, from $96.2 million in FY 2021 to $102.9 million in FY 2022. The largest part of this increase is due to assigned funds for current projects including; Boise Depot, Julia Davis Bathroom, Hawkins Trail and other greenbelt improvements, police vehicles, connect Boise parks project, GASB right to use assets associated with library leases and fire station #5. All other governmental fund groups experienced a decrease in fund balance. The general fund decreased by $8.2 million, from $68.4 million in FY 2021 to $60.2 million in FY 2022. The decrease is due to a transfer from General Fund to Debt Service Fund for payoff of the general obligation refunding revenue bond 2011A, offset by an increase in revenue from prior year. The Foothills Levy Fund had a decrease in fund