MANAGEMENT’S DISCUSSION AND ANALYSIS

General Fund Budgeting Highlights (Continued)

 The original budget had to be increased by $449,101 due to the change in revenues. Property taxes were originally budgeted as $2,423,059 with actual revenues of $2,362,631 for a total increase of $82,975; other taxes were originally budgeted as $3,856,126 with actual revenues of $4,039,447 for a total increase of $183,321; intergovernmental revenues were originally budgeted as $579,000 with actual revenues of $414,168 for a decrease of 164,832; charges for services were originally budgeted as $156,550 with actual revenues of $193,852 for an increase of 37,302; and sales taxes were originally budgeted as $3,040,102 with actual revenues of $3,049,230 for a decrease of $9,128.

Capital Assets and Debt Administration

At the end of fiscal year 2016, the City had $101,671,173 invested in capital assets, which is an increase over fiscal year 2015 of $1,365,045. Table 5 shows fiscal years 2016 and 2015 balances of the Capital Assets, Net of Accumulated Depreciation as presented in Note 7.

TABLE 5 – Capital Assets, Net of Accumulated Depreciation

Debt

The City reported outstanding debt of $19,173,390 as of July 31, 2016. Debt for the Business-type activities relates to the Water and Sewerage Revenue Bonds that were issued in FY 2013 to refinance the cost of the 2003 Water and Sewerage Revenue Bonds and the Water and Sewer Fund’s allocated portion of the net pension liability. The amount of outstanding debt in Governmental Activities includes Certificates of Participation (COPS) with Georgia Municipal Association (GMA), revenue bonds, compensated absences, capital leases, net pension liability and notes payable totaling $11,159,374. This amount increased over the prior year as a result of the implementation of GASB Statement No. 68 and 71 requiring the City to report a net pension liability. Table 6 – Outstanding Long-Term Liabilities reflects information provided in Note 8.