Laserfiche WebLink
CITY OF EUGENE, OREGON <br />Notes to Basic Financial Statements <br />(2) Reconciliation of Government-wide and Fund Financial Statements, continued <br />(B) Explanation of Differences Between the Government-wide Statement of Activities and the Fund Statement of <br />Revenues, Expenditures, and Changes in Fund Balances, continued <br />Capital outlay is reported as expenditures in governmental funds. However, the Statement of Activities <br />allocates the cost of capital outlay over their estimated useful lives as depreciation expense. The details of this <br />$6,060,540 difference are as follows: <br />Capital outlay $ 21,844,423 <br />Depreciation expense (15,783,883) <br />Net adjustment $ 6,060,540 <br />Repayments of long-term debt use current financial resources and are reported as expenditures in <br />governmental funds. The payment of debt principal affects the Statement of Activities and is reported as a <br />decrease in noncurrent liabilities in the Statement of Net Assets. The details of this $603,634 difference are as <br />follows: <br />Debt issued: <br /> Issuance of general obligation bonds $ (9,945,000) <br /> Issuance of notes payable (2,706,000) <br />Principal payments: <br /> General obligation debt 10,383,800 <br /> Certificates of participation 2,410,000 <br /> Limited tax bonds 121,314 <br /> Notes and contracts payable 339,520 <br />Net adjustment $ 603,634 <br />Transfers of capital assets are often made between proprietary funds and governmental funds when the use of <br />an asset changes. Transfers of liabilities are sometimes made between proprietary funds and governmental <br />funds when the fund responsible for repayment changes. Such transfers will provide or use economic <br />resources in proprietary funds, but may not necessarily provide or use spendable financial resources in <br />governmental funds. <br />Transfer of governmental <br /> capital assets to proprietary funds $ (1,440,883) <br /> <br />(3) Stewardship, Compliance, and Accountability <br />(A) Budgetary Information <br />The City Manager submits to the Budget Committee a proposed operating and capital budget a sufficient length <br />of time in advance to allow adoption of the budget prior to July 1. The operating and capital budget includes <br />proposed expenditures and the means of financing them. Public hearings are conducted to obtain taxpayer <br />comments. <br />continued <br />