Notes to Financial Statements

Debt Service Requirements

Debt service requirements on long-term debt, including current maturities, at September 30, 2022 are as follows:

Future minimum financing purchase obligations as of September 30, 2022 were as follows:

In Idaho, a municipality is allowed a debt limit of two percent of the market valuation of the real and personal property in its taxing area. The City’s legal debt limit for 2022, based on data available from Ada County, would be approximately $729,591. The legal debt margin which subtracts out total net debt is $647,161.

Arbitrage Requirements

Any excess interest earnings on tax-exempt bond proceeds must be remitted to the federal government in five-year intervals. Even though a payment may not be required until several years into the future, the liability is recognized as it is probable and measurable. The liability would be recorded in both governmental and business-type activities, as applicable. During fiscal year September 30, 2022, the City had no excess interest earnings on tax-exempt bond proceeds.