GENERAL GOVERNMENT

Fund Balances

The fund balance table reflects the estimated beginning fund balance as of July 1, 2020, plus the FY21/22 budgeted revenues, transfers in, expenditures, and transfers out and the projected ending fund balance at June 20, 2022.

These totals are reflected in each department budget detail page. When looking at the Audited Comprehensive Annual Report located on our website at www.edmondok.com under financial services/audit reports, you will find the audited totals of all equity.

Equity is classified as net position and displayed in three components:

• Net investment in capital assets-Consists of capital assets including restricted capital assets and bony construction proceeds, net of accumulated depreciation and reduced by the outstanding balances of any bonds, mortgages, notes or other borrowings that are attributable to the acquisition, construction, or improvement of those assets. • Restricted net position-Consists of net position with constraints placed on the use either by 1) external groups such as creditors, grantors, contributors, or laws or regulations of other governments, or 2) law through constitutional provisions or enabling legislation. • Unrestricted net position-All other net position that does not meet the definition of “restricted” or

“net investment in capital assets”.

Governmental fund equity is classified as fund balance and is further classified as non-spendable, restricted, committed, assigned and unassigned. These classifications are defined as:

Non-spendable-included amounts that cannot be spent because they are either (a) not in spendable form or (b) legally or contractually required to be maintained intact.

Restricted-consists of fund balance with constraints placed on the use of resources either by (1) external groups such as creditors, grantors, contributors, or laws or regulations of other governments, or (2) laws through constitutional provisions or enabling legislation.

Committed-included amounts that can only be used for specific purposed pursuant to constraints imposed by formal action of the city’s highest level of decision-making authority. The City’s highest level of decision-making authority is made by ordinance. City Council adopts an ordinance that established this constraint.

Assigned-included amount that are constrained by the City’s intent to be used for specific purposed but are neither restricted nor committed. Assignments of fund balance may be made by city council action or management decision when the City Council has delegated that authority. Assignments for transfers and interest income for governmental funds are made through budgetary process.

Unassigned-represent fund balance that has not been assigned to other funds and has not been restricted, committed, or assigned to specific purposes within the general fund. The general fund is the only fund that reports a positive unassigned fund balance.

In an effort to ensure the continuance of sound financial management of public resources, the City of Edmond’s Unassigned Fund Balance within the General Fund will be maintained to provide the City with sufficient working capital and a comfortable margin of safety to address emergencies, sudden loss of revenue or operating needs, and unexpected downturns. The City strives to maintain in the Unassigned fund balance in the General Fund of (10%). Other goals and limits are listed in the notes of our annual comprehensive annual report on our website.

Fund Balance increase/decrease of 10% or more

On the following chart of Fund Balance Estimation for 2022, notice that the Major funds are identified in bold font and marked with an asterisk (*). Below is a short discussion of the change estimates in these major funds as well as a few others.

• General Fund-Is expected to be within the range of 10% change. Sales tax and Use taxes remained steady for the City during the pandemic and shut down of various venues.

• Fire Public Safety Limited Tax Fund-Is estimated to have a 19.95% decrease in fund balance.

New staff is approved for the FY22, which is creating a rotating staff of firefighters. Fire also has scheduled to purchase new computer supplies. A new prop conversion for safety training is also planned to be purchased this year, as well as some repairs to building and a retainage wall.

• Police Public Safety Limited Tax Fund-Is estimated to have a 17.57% decrease in fund balance.

A new Academy is planned for this fiscal year which will increase salaries for this department.

New this year will be replacement of handheld radios and computer systems. Demolition of tower at Police Training Facility and funding for various community outreach programs are also scheduled.

• 2000 Capital Improvement Tax Fund-Is estimated to have a 292.07% decrease in fund balance.

This decrease is primarily due to an increase of expenditures on CIP projects including the complete renovation of the Kickingbird Golf Clubhouse, the Cross Timbers Facility Expansion, the

Covell/Coltrane intersection projects and the Intelligent Traffic System phase IV.

The remaining non major funds and various larger are listed in the following table and various larger increase/decrease funds are listed below:

• The Administrative Support-General Government. The large estimated decrease in this fund is due to a new allocation process that was started in fiscal year ending 6-30-20. The new allocation process is based on actual expenditures.

• Kickingbird Golf Club-Is estimated to have a decrease of 330.93%, due to loss of revenues from closure of the Golf Course for renovations.

• Visit Edmond-Is estimated to have a decrease of 126.62% due to lower revenues during COVID19.

• Asset Forfeiture-Is estimated to have 130.89% decrease in fund balance due to several large capital expenditures that are planned, including a patrol boat for Arcadia Lake, fencing at the

Police Training Center, and radio headsets.