# Public Budgeting and Finance business and finance homework help

Assignment 5: Multiyear Plans and Analysis

Due Week 10 and worth 100 points

Preparation

• Review the document titled “City of Charlottesville 2010 Annual Comprehensive Plan” located in the course shell.

Write a three to four (3-4) page paper in which you:

1. Review the “City of Charlottesville 2010 Annual Comprehensive Plan” and then complete Exercise 1 on page 152 using Exhibits C and D in the Annual Report and Table 9.4 on page 148. Change the title headers to the agency name. Save the Excel File as the agency’s name and include the Multiyear Plan.

2. Analyze the comparison of ratios.

3. Analyze the measures of liquidity.

4. Analyze the long-term solvency.

5. Analyze asset management rations.

• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA. Check with your professor for any additional instructions.
• Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

“City of Charlottesville 2010 Annual Comprehensive Plan” Link below

https://blackboard.strayer.edu/bbcswebdav/courses/…

Exercises

To complete the exercises, use the data in Table 9.7 and Table 9.8 and the spreadsheet titled “Budget Tools 09 Exercises.”

1. Use the financial statements from Charlottesville, Virginia, to conduct your own analysis. Two years are provided so that a comparison between years can be made. Students are advised to use the format in the spreadsheet in Table 9.4 and add an additional column for FY 2005 so that the ratios can be compared side by side. (Please note that NPS used in the days payable ratio is 20 percent of the total expenditures.)

When students compare the ratios, they should focus on measures of liquidity, long-term solvency, and asset management ratios.

Exhibit C

CITY OF CHARLOTTESVILLE, VIRGINIA EXHIBIT C BALANCE SHEET GOVERNMENTAL FUNDS JUNE 30, 2010 Capital Social Other General Projects Services Fund Fund Fund Funds Total ASSETS Cash and cash equivalents 34,913,188 \$ 22,660,346 \$ 102,832 \$ 10,213,024 \$ 67,889,390 \$ Accounts receivable, net 250,844 154,919 4,178 92,851 502,792 Taxes receivable, net 29,136,303 – – – 29,136,303 Special assessments receivable – 16,813 – – 16,813 Due from other governments (note 7) 2,969,213 1,378,266 785,630 3,878,423 9,011,532 Due from other funds (note 8) 1,256,022 – – – 1,256,022 Loans receivable (note 5) – 880,000 – 80,967 960,967 Total assets 68,525,570 \$ 25,090,344 \$ 892,640 \$ 14,265,265 \$ 108,773,819 \$ LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable 1,338,202 \$ 3,677,768 \$ 24,131 \$ 521,379 \$ 5,561,480 \$ Accrued liabilities 3,312,479 – 384,966 1,815,129 5,512,574 Due to other governments – – – 71,105 71,105 Due to other funds (note 8) – – – 809,895 809,895 Deferred revenue 28,059,809 – – – 28,059,809 Total liabilities 32,710,490 3,677,768 409,097 3,217,508 40,014,863 FUND BALANCES (note 2c): Governmental FUND BALANCES (note 2c): Reserved 1,180,647 14,545,925 – 172,501 15,899,073 Unreserved, designated: Major Governmental Funds 10,363,172 6,866,651 483,543 – 17,713,366 Special Revenue Funds – – – 1,328,208 1,328,208 Debt Service Fund – – – 9,547,048 9,547,048 Unreserved, undesignated: General Fund 24,271,261 – – – 24,271,261 Total fund balances 35,815,080 21,412,576 483,543 11,047,757 68,758,956 Total liabilities and fund balances 68,525,570 \$ 25,090,344 \$ 892,640 \$ 14,265,265 \$ 108,773,819 \$ (continued)

CITY OF CHARLOTTESVILLE, VIRGINIA EXHIBIT C, CONTINUED BALANCE SHEET GOVERNMENTAL FUNDS JUNE 30, 2010 Total fund balances per Balance Sheet for Governmental Funds \$ 68,758,956 Amounts reported for governmental activities in the Statement of Net Assets (Exhibit A) are different because: Capital assets used in government activities are not financial resources and therefore are not reported in the funds. The Statement of Net Assets, however, include these assets, net of accumulated depreciation. 198,943,474 Other long-term assets are not available to pay current-period expenditures and therefore are deferred in the governmental funds and are not included in fund balance. Property taxes receivable 1,124,040 Internal service funds are used by management to charge the cost of certain activities, such as insurance and telecommunication to individual funds. The assets and liabilities of certain internal service funds are included in governmental activities in the Statement of Net Assets. Internal Service Funds equity 8,193,519 Some liabilities, including general governmental bonds payable, are not due and payable in the current period and therefore are not reported as fund liabilities. All liabilities are included in the Statement of Net Assets. Accrued interest payable (584,220) Unamortized premium on bonds (1,070,039) Bonds and notes payable (74,348,709) Deferred amount of refunding 251,610 Co pe sated abse ces Compensated absences ( ,866,6 3) 1,866,673) Net assets of governmental activities \$ 199,401,958 The accompanying notes are an integral part of the basic financial statements.

Exhibit D

CITY OF CHARLOTTESVILLE, VIRGINIA EXHIBIT D STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS FOR THE YEAR ENDED JUNE 30, 2010 Capital Social Other General Projects Services Fund Fund Fund Funds Total REVENUES Taxes 92,251,458 \$ – \$ – \$ – \$ 92,251,458 \$ Fees and permits 1,640,727 – – – 1,640,727 Intergovernmental 30,462,577 12,513,591 10,028,497 14,884,174 67,888,839 Charges for services 4,569,003 – – 3,499,427 8,068,430 Fines 392,515 – – – 392,515 Investment earnings 891,788 6 – 27,061 918,855 Miscellaneous 937,687 297,793 42,390 527,708 1,805,578 Total revenues 131,145,755 12,811,390 10,070,887 18,938,370 172,966,402 EXPENDITURES Current: General government 12,528,527 1,316,054 – – 13,844,581 Public safety 5,001 30,206,377 – 548,660 30,760,038 Community service 7,168,627 4,698,996 – 9,132,730 21,000,353 Health and welfare 5,247,485 – 12,736,520 13,499,051 31,483,056 Parks, recreation and culture 8,923,677 147,961 – 51,953 9,123,591 Education 40,094,555 1,009,804 – – 41,104,359 Conservation and development 4,422,401 1,423,753 – 549,759 6,395,913 Other activities 276,671 – – – 276,671 Debt service: Governmental Debt service: Principal – – – 5,926,396 5,926,396 Interest – – – 2,407,670 2,407,670 Miscellaneous – – – 107,867 107,867 Capital outlay 28,702,858 – – – 28,702,858 Total expenditures 108,868,320 37,304,427 12,736,520 32,224,086 191,133,353 Revenues over (under) expenditures 22,277,435 (24,493,037) (2,665,633) (13,285,716) (18,166,951) OTHER FINANCING SOURCES (USES) Transfers from other funds (note 8) 5,124,632 9,206,529 2,665,737 13,645,178 30,642,076 Transfers to other funds (note 8) (24,287,242) (238,146) – (207,726) (24,733,114) Issuance of debt (note 10) 255,400 9,956,200 – – 10,211,600 Premium on issuance of debt – 93,887 – – 93,887 Total other financing sources (uses) (18,907,210) 19,018,470 2,665,737 13,437,452 16,214,449 Net change in fund balance 3,370,225 (5,474,567) 104 151,736 (1,952,502) FUND BALANCE – JULY 1, 2009 26,887,143 32,444,855 483,439 10,896,021 70,711,458 FUND BALANCE – JUNE 30, 2010 \$ 21,412,576 35,815,080 \$ 483,543 \$ 11,047,757 \$ 68,758,956 \$ (continued) -34- CITY OF CHARLOTTESVILLE, VIRGINIA EXHIBIT D, CONTINUED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS FOR THE YEAR ENDED JUNE 30, 2010 Net change in fund balances – total governmental funds (Exhibit D) (1,952,502) \$ Amounts reported for governmental activities in the Statement of Activities (Exhibit B) are different because: Governmental funds report the cost of equipment and facilities acquired as current expenditures while the Statement of Activities reports depreciation expense to allocate those expenditures over the life of the assets. Change in capital assets 32,444,266 Depreciation expense (7,677,621) Revenues in the Statement of Activities that do not provide current financial resources are not reported as revenues in the funds. Property taxes (345,540) Debt proceeds provide current financing resources to governmental funds, but debt issues increase long term liabilities in the Statement of Net Assets. Principal repayments are expenditures in governmental funds, but reduce long term liabilities in the Statement of Net Assets New debt issued (10,211,600) Principal payments 5,926,396 Governmental funds report interest on long-term debt as expenditures when payments are due, while the Statement of Activities reports interest expense on the accrual basis. Change in accrued interest 43,343 Amortization of bond premium (13,619) Amortization of deferred amount of refunding (62,464) Some expenses reported in the Statement of Activities do not require the use of current financial resources and Some expenses reported in the Statement of Activities do not require the use of current financial resources, and therefore are not reported as expenditures in governmental funds. Compensated absences 16,966 The net expense of internal service funds is combined with governmental activities on the Statement of Activities. 285,066 Change in Net Assets of Governmental Activities \$ 18,452,691 The accompanying notes are an integral part of the basic financial statements.