Golden Valley, City of - 2024 Final Issued Annual Comprehensive Financial Report (ACFR) - LockedAnnual Comprehensive
Financial Report
For the Fiscal Year Ended December 31, 2024 • City of Golden Valley, Minnesota
Photo by Raleigh Karatz, 2024 Views Of The Valley
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CITY OF GOLDEN VALLEY
HENNEPIN COUNTY, MINNESOTA
Annual Comprehensive Financial
for Year Ended
December 31, 2024
Prepared by
Finance Department
Lyle Hodges – Finance Director
Jennifer Hoffman – Accounting Manager
Analeigh Moser – Accountant
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CITY OF GOLDEN VALLEY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
I. INTRODUCTORY SECTION
Elected and Appointed Officials 3
Organization Chart 5
Finance Director's Letter of Transmittal 7
GFOA Certificate of Achievement 11
II. FINANCIAL SECTION
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Independent Auditor's Report
Management's Discussion and Analysis 19
Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net Position Statement 1 33
Statement of Activities Statement 2 34
Fund Financial Statements:
Governmental Funds:
Balance Sheet Statement 3 36
Reconciliation of the Balance Sheet to the Statement of Net Position Statement 4 39
Statement of Revenues, Expenditures, and Changes in Fund Balance Statement 5 40
Reconciliation of the Statement of Revenues, Expenditures and
Changes in Fund Balance to the Statement of Activities Statement 6 42
Proprietary Funds:
Statement of Net Position Statement 7 43
Statement of Revenues, Expenses, and Changes in Fund Net Position Statement 8 44
Statement of Cash Flows Statement 9 45
Notes to Financial Statements 47
Required Supplementary Information:
Budgetary Comparison Schedule - General Fund Statement 10 86
Other Post-Employment Benefits Plan
Schedule of Changes in the City's Total OPEB Liability and Related Ratios Statement 11 87
PERA - General Employees Retirement Fund
Schedule of Proportionate Share of Net Pension Liability Statement 12 88
Schedule of Pension Contributions Statement 13 89
PERA - Public Employees Police and Fire Fund
Schedule of Proportionate Share of Net Pension Liability Statement 14 90
Schedule of Pension Contributions Statement 15 91
CITY OF GOLDEN VALLEY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
Golden Valley Fire Department Relief Association
Schedule of Changes in the Net Pension Asset and Related Ratios Statement 16 92
Schedule of Contributions Statement 17 94
Notes to Required Supplementary Information 95
Supplementary Information:
Combining and Individual Nonmajor Fund Financial Statements:
Nonmajor Governmental Funds:
Combining Balance Sheet Statement 18 107
Combining Statement of Revenues, Expenditures, and Changes in Fund Balance Statement 19 109
Nonmajor Special Revenue Funds:
Subcombining Balance Sheet Statement 20 110
Subcombining Statement of Revenues, Expenditures, and Changes in Fund Balance Statement 21 112
Nonmajor Debt Service Funds:
Subcombining Balance Sheet Statement 22 114
Subcombining Statement of Revenues, Expenditures, and Changes in Fund Balance Statement 23 115
Nonmajor Capital Project Funds:
Subcombining Balance Sheet Statement 24 116
Subcombining Statement of Revenues, Expenditures, and Changes in Fund Balance Statement 25 119
Special Revenue Funds:
Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual:
Brookview Community Center Fund Statement 26 120
Internal Service Funds:
Combining Statement of Net Position Statement 27 122
Combining Statement of Revenues, Expenditures, and Changes in Net Position Statement 28 123
Combining Statement of Cash Flows Statement 29 124
CITY OF GOLDEN VALLEY, MINNESOTA
TABLE OF CONTENTS
Page
Reference No.
III. STATISTICAL SECTION (UNAUDITED)
Net Position by Component Table 1 128
Changes in Net Position Table 2 130
Fund Balances of Governmental Funds Table 3 134
Changes in Fund Balances of Governmental Funds Table 4 136
Governmental Activities Tax Revenues by Source Table 5 138
Assessed Value and Estimated Actual Value of Taxable Property Table 6 139
Property Tax Rate of Direct and Overlapping Governments Table 7 140
Principal Property Taxpayers Table 8 141
Property Tax Levies and Collections Table 9 143
Ratios of Outstanding Debt By Type Table 10 144
Ratios of General Bonded Debt Outstanding Table 11 146
Direct and Overlapping Governmental Activities Debt Table 12 147
Legal Debt Margin Information Table 13 148
Pledged Revenue Coverage Table 14 150
Demographic and Economic Statistics Table 15 152
Principal Employers Table 16 153
Full-Time Equivalent City Government Employees by Function Table 17 154
Operating Indicators by Function Table 18 156
Capital Asset Statistics by Function Table 19 158
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I. INTRODUCTORY SECTION
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CITY OF GOLDEN VALLEY, MINNESOTA
ELECTED AND APPOINTED OFFICIALS
December 31, 2024
Elected Officials Position Term Expires
Roslyn Harmon Mayor December 31, 2027
Sophia Ginis Councilmember December 31, 2027
Maurice Harris Councilmember December 31, 2027
Denise La Mere-Anderson Councilmember December 31, 2025
Gillian Rosenquist Councilmember December 31, 2025
Appointed Officials
Noah Schuchman City Manager Appointed
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City of Golden Valley Organization Chart Community Development Administrative Services Communi-cations Finance Fire Parks & Recreation Legal Police Public Works City Manager City Council/ Housing and Redevelopment Authority (HRA) Boards and Commissions: Board of Zoning Appeals Community Services Commission Diversity Equity and Inclusion Commission Environmental Commission Open Space and Recreation Commission Planning Commission Police Employment Accountability and Community Engagement Commission 5
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July 24, 2025
Dear Honorable Mayor, City Council, City Manager, and Residents of Golden Valley:
I am pleased to present the Annual Comprehensive Financial Report (ACFR) of the City of Golden Valley,
Minnesota (the City) for the fiscal year ended December 31, 2024. Responsibility for both the accuracy of
the data and the completeness and fairness of the presentation, including all disclosures, rests with the City.
To the best of our knowledge and belief, the enclosed data is accurate, in all material respects, and is
reported in a manner designed to present fairly the financial position and results of operations of the various
funds of the City. All disclosures necessary to enable the reader to gain an understanding of the City’s
financial activities have been included.
The City’s financial statements have been audited by Redpath and Company, LLC, a firm of licensed
certified public accountants. The goal of the independent audit was to provide reasonable assurance that the
financial statements of the City for the fiscal year ended December 31, 2024, are free of material
misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements, assessing the accounting principles used and significant
estimates made by management, and evaluating the overall financial statement presentation. The
independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an
unmodified opinion that the City’s basic financial statements for the fiscal year ended December 31, 2024,
are fairly presented in conformity with accounting principles generally accepted in the United States of
America. The independent auditor’s report is presented as the first component of the financial section of
this report.
The preparation of audited financial statements including this ACFR is a requirement of state law. Also,
the ACFR is required by the bond rating agencies before they will rate the City’s bonds. The report can be
used by the City Council and the citizens of the City to gain a better understanding of the financial condition
of the City.
Accounting principles generally accepted in the United States of America require that management provide
a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of
management’s discussion and analysis (MD&A). This letter of transmittal is designed to complement the
MD&A and should be read in conjunction with it. The City’s MD&A can be found immediately following
the report of the auditors.
The ACFR includes all agencies and entities for which the City is financially accountable, including the
Golden Valley Housing and Redevelopment Authority (HRA), which is reported as a blended component
unit of the City.
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PROFILE OF THE CITY
The City, incorporated in 1886, is an almost fully developed community in Hennepin County. It
encompasses about 10.73 square miles and has an estimated population of 22,305. The City is a Statutory
Plan B form of government, governed by a City Council composed of the mayor and four councilmembers.
The City Council is responsible for setting policies and ordinances that govern the City and for appointing
the city manager and city attorney. The city manager is responsible for carrying out the policies and hiring
the employees that oversee the day-to-day operations of the City.
Police services are provided by 31 sworn officers, which include the police chief, 2 assistant chiefs, and
7 sergeants. Fire services are provided by approximately 50 paid on-call firefighters, fire chief, two assistant
fire chiefs, 3 firefighters that are code enforcement officers and 2 full-time firefighters. The City has an
ISO Class 2 insurance rating.
The 2024–2025 biennial budget was created to help serve as the foundation for the City’s financial planning
and control. Departments submit budget requests to the finance department in June. The city manager
presents the proposed budget to the City Council for review starting in July, to be approved by September
30 each year, for a proposed tax rate for its property owners. All budget workshops are open to the public.
The final adoption of the budget and levy are approved in December. Each year of the biennial budget, the
first year is adopted and the second year is approved in concept only.
ECONOMIC CONDITION AND OUTLOOK
The City’s top priorities have been maintaining the City’s infrastructure—streets, water and sewer, pipes,
parks, public buildings—representing a significant community investment. After all, the value of private
property relates directly to what surrounds it. The City made significant efforts, with many public meetings,
to plan the Infrastructure Renewal Program that will start in 2027 after the Pavement Management Program
(PMP) ends in 2025. In 2021, the City’s PMP program was resumed, after being delayed in 2020 due to the
COVID-19 pandemic. The City approved a 10-year Capital Improvement Program (CIP) in 2024 for the
years 2025–2034.
Each year the city reviews potential bond refundings for any debt issuances. The City also tries to find
alternative grants and programs to receive additional monies to lower the general fund and debt levies. Cost
containment helped keep total overall expenditures under budget in 2024.
The City has once again taken a financially conservative approach for the 2025 budget year.
The following table shows the City’s building activity for the last 10 years:
Total Permits
Year Number Value
2015 1,118 $ 109,928,275
2016 998 $ 104,651,963
2017 1,144 $ 239,041,991
2018 951 $ 79,654,541
2019 1,024 $ 71,658,716
2020 1,008 $ 39,335,260
2021 1,059 $ 65,111,223
2022 1,042 $ 69,444,953
2023 3,505 $ 174,193,226
2024 2,626 $ 223,941,380
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The following permitting activity is notable throughout the City in 2024:
Residential
5 new single-family homes were constructed with a value of $3,065,154.
2,460 residential remodels and additions including many roof, window, and siding replacements
related to prior years’ storm damage were completed with a total value of $54,757,267.
Commercial
145 commercial remodel/addition projects with a total valuation of $85,234,214.
Commercial (Over $5 Million in Value):
640 Wisconsin Ave N New Construction Apartment Building $70,000,000
700 Meadow Lane N Remodel $10,000,000
8803 Wayzata Blvd New Construction Parking Ramp $9,900,000
751 Douglas Dr N Remodel $8,000,000
LONG-TERM FINANCIAL PLANNING
An unassigned fund balance goal in the General Fund of 60 percent of current year budgeted General Fund
expenditures was approved in the fund balance policy adopted by the City Council for budgetary and
planning purposes. The City strongly believes maintaining this higher level of fund balance is prudent, due
to its debt load and the increased uncertainty of its revenue sources. This practice is also supported by the
City’s bond rating agency.
In 1995, through its PMP, the City began reconstructing its streets that did not meet standards. By the end
of 2024, the City completed the bulk of the construction work with only minor finishing work remaining.
The City is looking forward to finishing the Pavement Management Program and beginning the next phase
of the Infrastructure Renewal Plan.
The Brookview Facility, completed in December 2017, provided a site for many new programs and
activities, along with the new restaurant and golf area, and has brought many to the City for a delightful
outing. In 2024, Brookview Golf Course remained one of the top five most-played golf courses in all of
Minnesota.
MAJOR INITIATIVES
The City is a member of the Joint Water Commission (JWC), a joint powers organization that also includes
the cities of New Hope and Crystal. The JWC purchases water from the City of Minneapolis for resale to
the customers of the three cities. The JWC was set up in the early 1960s and has functioned effectively.
The JWC has an emergency well backup system and is now working on financing future capital needs, such
as replacing the three water towers, two reservoirs, and a distribution system. A CIP was approved to plan
for the replacements until 2050, along with yearly financing to build reserves for those expenses.
The City is working with Hennepin County, the cities of Crystal and New Hope, the Bassett Creek
Watershed Management Commission, the Metropolitan Council Environmental Services, and the state of
Minnesota to implement a plan to minimize flood damage in various parts of the City. This project includes
multiple flood storage projects over a long timeframe and may also include structural flood proofing of a
number of homes. The improvements through the last several years, with the City and many outside
agencies funding, has helped further the improvements to reduce the flooding. The 2025–2034 CIP outlines
those projects.
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The City has a Pillars of Success with Organizational Priorities of: Strategic Development and
Redevelopment, Effective Governance, Infrastructure Maintenance and Enhancement, Financial Wellness,
and Community Affairs. From these priorities come action steps. All make up the core services, mission,
and vision for the City. Financial Wellness includes making progress on Legislative Priorities, Bonding for
Remote Fire Station, and Local Government Aid Reform. In 2023 the city asked voters to approve a 1.25
percent local sales tax which was passed. Collections of that tax began in April 2024 and are on track to
meet the funding needs for the capital projects that were planned to use those tax dollars.
INTERNAL CONTROL
Management assumes full responsibility for the completeness and reliability of the information contained
in this report, based upon the comprehensive framework of internal control that it has established for this
purpose. Because the cost of internal control should not exceed anticipated benefits, the objective is to
provide reasonable, rather than absolute, assurance that the financial statements are free of any material
misstatements.
AWARDS AND ACKNOWLEDGEMENTS
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for
Excellence in Financial Reporting to the City for its ACFR for the fiscal year ended December 31, 2023.
The City has received this award since 1987. In order to be awarded a Certificate of Achievement, the
government had to publish an easily readable and efficiently organized ACFR that satisfied both accounting
principles generally accepted in the United States of America and applicable legal requirements. The
Certificate of Achievement is valid for one year only. We believe our current ACFR continues to meet the
Certificate of Achievement program requirements. We are submitting it to the GFOA to determine its
eligibility for another certificate.
The 2024 ACFR meets the highest professional standards and was prepared in a timely and cost-effective
manner. This could never have been accomplished without the excellent work of our finance department as
well as staff from throughout the organization. Credit also must be given to the Mayor and City Council for
their support, and for maintaining the highest standards of professionalism in the management of the City’s
finances.
Yours Truly,
Lyle Hodges, CPA
Finance Director
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II. FINANCIAL SECTION
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400 Robert Street North, Suite 1600, St. Paul, MN, 55101 651.426.7000 www.redpathcpas.com
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and
Members of the City Council
City of Golden Valley, Minnesota
Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, each major fund, and the aggregate remaining fund information of the
City of Golden Valley, Minnesota, as of and for the year ended December 31, 2024, and the
related notes to the financial statements, which collectively comprise the City of Golden Valley,
Minnesota's basic financial statements as listed in the table of contents.
In our opinion, the financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities, the business-type activities, each
major fund, and the aggregate remaining fund information of the City of Golden Valley,
Minnesota, as of December 31, 2024, and the respective changes in financial position, and,
where applicable, cash flows thereof for the year then ended in accordance with accounting
principles generally accepted in the United States of America.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United
States of America and the standards applicable to financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities
under those standards are further described in the Auditor's Responsibilities for the Audit of the
Financial Statements section of our report. We are required to be independent of the City of
Golden Valley, Minnesota and to meet our other ethical responsibilities, in accordance with the
relevant ethical requirements relating to our audit. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our audit opinions.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in
accordance with accounting principles generally accepted in the United States of America, and
for the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether
due to fraud or error.
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In preparing the financial statements, management is required to evaluate whether there are
conditions or events, considered in the aggregate, that raise substantial doubt about the City of
Golden Valley, Minnesota’s ability to continue as a going concern for twelve months beyond the
financial statement date, including any currently known information that may raise substantial
doubt shortly thereafter.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a
whole are free from material misstatement, whether due to fraud or error, and to issue an
auditor's report that includes our opinions. Reasonable assurance is a high level of assurance but
is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance
with generally accepted auditing standards and Government Auditing Standards will always
detect a material misstatement when it exists. The risk of not detecting a material misstatement
resulting from fraud is higher than for one resulting from error, as fraud may involve collusion,
forgery, intentional omissions, misrepresentations, or the override of internal control.
Misstatements are considered material if there is a substantial likelihood that, individually or in
the aggregate, they would influence the judgment made by a reasonable user based on the
financial statements.
In performing an audit in accordance with generally accepted auditing standards and
Governmental Auditing Standards, we:
Exercise professional judgment and maintain professional skepticism throughout the
audit.
Identify and assess the risks of material misstatement of the financial statements, whether
due to fraud or error, and design and perform audit procedures responsive to those risks.
Such procedures include examining, on a test basis, evidence regarding the amounts and
disclosures in the financial statements.
Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the City of Golden Valley, Minnesota's
internal control. Accordingly, no such opinion is expressed.
Evaluate the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluate the overall
presentation of the financial statements.
Conclude whether, in our judgment, there are conditions or events, considered in the
aggregate, that raise substantial doubt about the City of Golden Valley, Minnesota's
ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other
matters, the planned scope and timing of the audit, significant audit findings, and certain internal
control related matters that we identified during the audit.
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Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management’s discussion and analysis, the budgetary comparison schedule, and the schedules of
OPEB and pension information, as listed in the table of contents, be presented to supplement the
basic financial statements. Such information is the responsibility of management and, although
not a part of the basic financial statements, is required by the Governmental Accounting
Standards Board who considers it to be an essential part of financial reporting for placing the
basic financial statements in an appropriate operational, economic, or historical context. We
have applied certain limited procedures to the required supplementary information in accordance
with auditing standards generally accepted in the United States of America, which consisted of
inquiries of management about the methods of preparing the information and comparing the
information for consistency with management's responses to our inquiries, the basic financial
statements, and other knowledge we obtained during our audit of the basic financial statements.
We do not express an opinion or provide any assurance on the information because the limited
procedures do not provide us with sufficient evidence to express an opinion or provide any
assurance.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City of Golden Valley, Minnesota's basic financial statements. The
accompanying combining and individual nonmajor fund financial statements and schedules are
presented for purposes of additional analysis and are not a required part of the basic financial
statements. Such information is the responsibility of management and was derived from and
relates directly to the underlying accounting and other records used to prepare the basic financial
statements. The information has been subjected to the auditing procedures applied in the audit of
the basic financial statements and certain additional procedures, including comparing and
reconciling such information directly to the underlying accounting and other records used to
prepare the basic financial statements or to the basic financial statements themselves, and other
additional procedures in accordance with auditing standards generally accepted in the United
States of America. In our opinion, the combining and individual nonmajor fund financial
statements and schedules are fairly stated, in all material respects, in relation to the basic
financial statements as a whole.
Other Information
Management is responsible for the other information included in the annual report. The other
information comprises the introductory and statistical sections but does not include the basic
financial statements and our auditor's report thereon. Our opinions on the basic financial
statements do not cover the other information, and we do not express an opinion or any form of
assurance thereon.
In connection with our audit of the basic financial statements, our responsibility is to read the
other information and consider whether a material inconsistency exists between the other
information and the basic financial statements, or the other information otherwise appears to be
materially misstated. If, based on the work performed, we conclude that an uncorrected material
misstatement of the other information exists, we are required to describe it in our report.
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Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
July 24, 2025 on our consideration of the City of Golden Valley, Minnesota’s internal control
over financial reporting and on our tests of its compliance with certain provisions of laws,
regulations, contracts, and grant agreements and other matters. The purpose of that report is
solely to describe the scope of our testing of internal control over financial reporting and
compliance and the results of that testing, and not to provide an opinion on the effectiveness of
the City of Golden Valley, Minnesota's internal control over financial reporting or on
compliance. That report is an integral part of an audit performed in accordance with Government
Auditing Standards in considering the City of Golden Valley, Minnesota’s internal control over
financial reporting and compliance.
REDPATH AND COMPANY, LLC
St. Paul, Minnesota
July 24, 2025
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CITY OF GOLDEN VALLEY
Management’s Discussion and Analysis
Year Ended December 31, 2024
As management of the City of Golden Valley, Minnesota (the City), we have provided readers of the City’s
financial statements with this narrative overview and analysis of the financial activities of the City for the
fiscal year ended December 31, 2024. We encourage readers to consider the information presented here in
conjunction with additional information that we have furnished in our letter of transmittal, located earlier
in this report.
FINANCIAL HIGHLIGHTS
The assets and deferred outflows of resources of the City exceeded its liabilities and deferred
inflows of resources at the close of fiscal 2024 by $217,517,755 (net position). The City’s
government-wide net position increased $28,863,959 in 2024, including increases of $21,179,826
and $7,684,133, attributable to its governmental and business-type activities, respectively. At year-
end, the City reported positive balances in total net position and all net position categories for both
the governmental and business-type activities, as was the case at the prior year-end.
At the end of the 2024 fiscal year, the City’s governmental funds reported combined ending fund
balances of $86,017,386, an increase of $21,334,724 compared to the prior year-end.
The unassigned fund balance for the City’s General Fund was $23,027,742 at year-end, which
represents 79.8 percent of 2024 General Fund expenditures and transfers out.
The City’s long-term bonded debt decreased $2,520,000 in 2024, excluding unamortized
premiums, as the City issued $3,230,000 of general obligation (G.O.) special assessment bonds in
2024, while making scheduled principal payments of $5,750,000.
OVERVIEW OF THE FINANCIAL STATEMENTS
The management’s discussion and analysis is intended to serve as an introduction to the City’s basic
financial statements, which are comprised of three components: 1) government-wide financial statements,
2) fund financial statements, and 3) notes to basic financial statements. This report also contains other
supplementary information, in addition to the basic financial statements.
Government-Wide Financial Statements – The government-wide financial statements are designed to
provide readers with a broad overview of the City’s finances, in a manner similar to private sector
businesses.
The Statement of Net Position presents information on all of the City’s assets, deferred outflows of
resources, liabilities, and deferred inflows of resources, with the difference reported as net position. Over
time, increases or decreases in net position may serve as a useful indicator of whether the financial position
of the City is improving or deteriorating.
The Statement of Activities presents information showing how the City’s net position changed during the
most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise
to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are
reported in this statement for some items that will only result in cash flows in future fiscal periods
(delinquent taxes and special assessments).
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Both of the government-wide financial statements distinguish functions of the City that are principally
supported by property taxes and intergovernmental revenues (governmental activities) from other functions
that are intended to recover all or a significant portion of their costs through user fees and charges (business-
type activities). The governmental activities include general government, public safety, community
development, public works, and parks and recreation. The business-type activities of the City include
enterprises for water and sewer, storm sewer, golf course, motor vehicle licensing, and recycling.
The government-wide financial statements include not only the City itself (known as the primary
government), but also the Golden Valley Housing and Redevelopment Authority (HRA). The HRA is a
legally separate entity, which functions, in essence, as a department of the City, to provide housing and
redevelopment assistance through the administration of various programs. Therefore, the HRA has been
included as a blended component unit within the City’s financial statements.
Fund Financial Statements – A fund is a grouping of related accounts that is used to maintain control over
resources segregated for specific activities or objectives. The City, like other local governments, uses fund
accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds
of the City can be divided into two categories: governmental funds and proprietary funds.
Governmental Funds – Governmental funds account for essentially the same functions reported as
governmental activities in the government-wide financial statements. Unlike the government-wide financial
statements, however, governmental fund financial statements focus on near-term inflows and outflows of
spendable resources, and the balances of spendable resources available at the fiscal year-end. Such
information may be useful in evaluating a government’s near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial statements,
it is useful to compare the information presented for governmental funds with similar information presented
for governmental activities in the government-wide financial statements. By doing so, readers may better
understand the long-term impact of the government’s near-term financing decisions. Both the governmental
funds Balance Sheet and Statement of Revenue, Expenditures, and Changes in Fund Balances provide a
reconciliation to facilitate the comparison between governmental funds and governmental activities.
The City reports a number of individual governmental funds. Information is presented separately in the
basic financial statements for the General, American Recovery Plan Act Special Revenue, Street
Reconstruction Debt Service, State Aid Construction Capital Project, Street Reconstruction Capital Project,
Capital Improvements Capital Project, and Local Option Sales Tax funds, which are considered major
funds. Data from the other nonmajor governmental funds is combined into a single, aggregated presentation.
Individual fund data for each of the nonmajor governmental funds is provided in the form of combining
statements elsewhere in this report. The City adopts an annual appropriated budget for the General Fund.
A budget-to-actual comparison is provided in this financial report for this fund.
Proprietary Funds – The City maintains two different types of proprietary funds. Enterprise funds are
used to report the same functions presented as business-type activities in the government-wide financial
statements, only in more detail. The proprietary fund financial statements provide separate information for
the City’s water and sewer, storm sewer, golf course, motor vehicle licensing, and recycling enterprise
operations, all of which are reported as major funds of the City.
Internal service funds are used to accumulate and allocate costs internally among the City’s various
functions. The City uses internal service funds to account for workers’ compensation, payroll benefits, and
vehicle maintenance activities. Because these internal service fund activities predominantly benefit
governmental rather than business-type functions, they have been included within governmental activities
in the government-wide financial statements. The internal service funds are combined into a single,
aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal
service funds is provided in the form of combining statements elsewhere in this report.
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Notes to Basic Financial Statements – The notes to basic financial statements provide additional
information that is essential to a full understanding of the data provided in the government-wide and fund
financial statements.
Other Information – Required Supplementary Information (RSI) is presented following the notes to the
basic financial statements. RSI includes a budgetary comparison schedule for the General Fund, a schedule
on the City’s other post-employment benefits (OPEB), and schedules on pension plans. Combining and
individual fund statements for nonmajor funds and internal service funds are presented as supplementary
information immediately following the RSI. Statistical tables are presented as the last section in this report.
GOVERNMENT-WIDE FINANCIAL ANALYSIS
As noted earlier, changes in net position may serve over time as a useful indicator of the City’s financial
condition. The City’s assets and deferred outflows of resources exceeded its liabilities and deferred inflows
of resources by $217,517,755 at the end of the 2024 fiscal year, which represents an increase in overall net
position of $28,863,959 from current year operations.
Net Position – The City has 48.1 percent of its total net position invested in capital assets (land, land
improvements, buildings and improvements, machinery and equipment, infrastructure, and construction in
progress) less any related debt used to acquire those assets that is still outstanding. The City uses these
capital assets to provide services to citizens; consequently, these assets are not available for future spending.
Although the City’s investment in its capital assets is reported net of related debt, it should be noted that
the resources needed to repay this debt must be provided from other sources, since the capital assets
themselves cannot liquidate these liabilities. An additional 19.0 percent of the City’s net position represents
resources that are subject to external restrictions on how they may be used. The remaining 32.9 percent
of net position is unrestricted and may be used to meet the City’s ongoing obligations.
The following is a summary of the City’s net position at the end of the last two fiscal years:
2024 2023 2024 2023 2024 2023
Current and other assets 106,365,132$ 89,267,048$ 34,131,599$ 28,478,259$ 140,496,731$ 117,745,307$
Capital assets 97,371,704 94,475,397 60,936,860 59,656,327 158,308,564 154,131,724
Total assets 203,736,836 183,742,445 95,068,459 88,134,586 298,805,295 271,877,031
Deferred outflows of resources 7,873,961 10,468,434 - - 7,873,961 10,468,434
Long-term liabilities
(including current portion) 67,134,490 72,757,546 1,985,289 2,167,322 69,119,779 74,924,868
Other Liabilities 7,433,583 6,314,043 1,549,119 2,117,346 8,982,702 8,431,389
Total liabilities 74,568,073 79,071,589 3,534,408 4,284,668 78,102,481 83,356,257
Deferred inflows of resources 11,059,020 10,335,412 - - 11,059,020 10,335,412
Net Position
Net investment in capital assets 45,837,583 43,773,412 58,888,785 56,948,218 104,726,368 100,721,630
Restricted 41,287,142 30,382,206 - - 41,287,142 30,382,206
Unrestricted 38,858,979 31,076,725 32,645,266 26,901,700 71,504,245 57,978,425
Total Net Position 125,983,704$ 105,232,343$ 91,534,051$ 83,849,918$ 217,517,755$ 189,082,261$
Governmental Activities Business-Type Activities Total
21
The increase in current and other assets was mainly in cash and temporary investments, primarily due to
positive operating results for the current year. Changes in the City’s proportionate share of two state-wide
pension plans and the City’s OPEB Plan contributed to the changes in deferred outflows/inflows of
resources and long-term liabilities.
The following is a summary of the City’s changes in net position for the last two fiscal years:
Governmental Activities – Governmental activities net position increased by $21,179,826. Key elements
of this net increase include:
Local sales tax collections began in 2024 which brought in $7,560,759 of new revenue not
previously part of the city’s operations.
Property taxes increased $1,132,696 from the prior year, due to an increase in the adopted levy.
Investment earnings were $795,385 higher than last year, due to increased investment returns
on the City’s investment portfolio.
Governmental activities expenses increased $1,721,820 (4.9 percent) overall, with the increase
spread across several functions. Increases in pension and OPEB costs, HRA and other community
development activity, and normal inflationary increases contributed to this overall increase.
2024 2023 2024 2023 2024 2023
Revenues
Program revenues
Charges for services 6,754,297$ 6,479,283$ 21,108,292$ 22,526,874$ 27,862,589$ 29,006,157$
Operating grants and contributions 1,192,846 1,977,073 1,326,537 166,562 2,519,383 2,143,635
Capital grants and contributions 3,992,296 9,813,055 - 1,027,160 3,992,296 10,840,215
General revenues - -
Property taxes 34,046,986 32,914,290 - - 34,046,986 32,914,290
Franchise taxes 768,897 963,209 1,500,000 1,319,569 2,268,897 2,282,778
Local Taxes 7,560,759 - - - 7,560,759 -
Unrestricted grants and contributions 816,800 113,750 - - 816,800 113,750
Investment earnings (charges)3,465,267 2,669,882 1,321,980 1,450,004 4,787,247 4,119,886
Gain on sale of capital assets 132,781 54,705 - 133,629 132,781 188,334
Total revenues 58,730,929 54,985,247 25,256,809 26,623,798 83,987,738 81,609,045
Expenses
General government 6,917,560 6,273,466 - - 6,917,560 6,273,466
Public safety 3,824,374 9,032,209 - - 3,824,374 9,032,209
Community development 10,353,899 3,965,397 - - 10,353,899 3,965,397
Public works 11,822,897 11,820,506 - - 11,822,897 11,820,506
Parks and recreation 2,251,520 2,393,395 - - 2,251,520 2,393,395
Interest and fiscal charges 1,605,853 1,569,310 - - 1,605,853 1,569,310
Water and sewer - - 10,170,643 10,438,423 10,170,643 10,438,423
Storm sewer - - 2,393,852 2,576,983 2,393,852 2,576,983
Golf course - - 4,100,220 4,347,256 4,100,220 4,347,256
Motor vehicle licensing - - 529,412 558,036 529,412 558,036
Recycling - - 1,153,549 1,090,053 1,153,549 1,090,053
Total expenses 36,776,103 35,054,283 18,347,676 19,010,751 55,123,779 54,065,034
Change in net position
before transfers 21,954,826 19,930,964 6,909,133 7,613,047 28,863,959 27,544,011
Transfers (775,000) 26,072 775,000 (26,072) - -
Change in net position 21,179,826 19,957,036 7,684,133 7,586,975 28,863,959 27,544,011
Net position
Beginning net position previously
reported 105,232,343 85,275,307 83,849,918 76,262,943 189,082,261 161,538,250
Error correction (428,465) - - - (428,465) -
Beginning net position restated 104,803,878 85,275,307 83,849,918 76,262,943 188,653,796 161,538,250
Ending 125,983,704$ 105,232,343$ 91,534,051$ 83,849,918$ 217,517,755$ 189,082,261$
Governmental Activities Business-Type Activities Total
22
The following graphs provide additional information related to governmental activity revenues and
expenses for the current year:
23
Business-Type Activities – Business-type activities net position increased by $7,684,133 which was a
similar increase to 2023 activities. Key elements of this net increase include:
Charges for services increased $2,114,356, with increases in all functional areas.
o Water and sewer charges covered much of operations with a net operating gain of
$1,708,963 related to higher rates offset by lower usage.
o Storm sewer charges were slightly lower than the previous year, also related to higher rates and
lower usage.
o Charges for recycling services increased by $85,982 from last year, due to increased usage
of that service.
o The Brookview golf course and grill facility saw similar revenues to the prior year while
operating costs were lower.
Operating and capital grants combined were $132,815 more than the prior year. Grants included
revenue from local government entities to help offset the costs of capital projects related to jointly
beneficial projects in the jointly managed watershed district.
Investment earnings were $128,024 lower than the prior year. Overall investment earnings were
higher for the City, but the proportion of cash in the business-type funds was lower in 2024 resulting
in slightly lower interest allocation from the pooled funds available.
Business-type activities expenses were $663,075 (3.5 percent) lower than the previous year.
Expenses in all areas except recycling were lower than the prior year. Overall, expenses were in-
line with expectations considering many of the costs related to business-type operations are related
to revenues which were also down.
THIS SECTION LEFT BLANK INTENTIONALLY
24
The following graphs provide additional information related to business-type activity revenues and
expenses for the current year:
25
FINANCIAL ANALYSIS OF THE CITY’S FUNDS
Governmental Funds – At the end of the fiscal year, the City’s governmental funds reported combined
ending fund balances of $86,017,386, an increase of $21,334,724 in comparison with the prior year. The
unassigned portion of fund balance is $23,023,331, which may be used for any approved public purpose.
The remainder of the fund balance is either: 1) restricted by various externally imposed constraints
($39,650,962), 2) internally committed for particular purposes ($161,831), or 3) internally assigned for
particular purposes ($23,181,262).
General Fund – The fund balance of the General Fund increased by $3,793,547 to $26,542,655 at
December 31, 2024. Expenditures were under budget by $1,498,088 because of unfilled positions across
various departments. Revenue came in $2,324,002 over budget. Much of this was related to permits coming
in substantially over budget as a result of ongoing repairs and new buildings around the city as noted in the
Transmittal letter. In addition, investment earnings exceeded budget. General Fund operating results can be
summarized as follows:
Of the total fund balance, $902,003 is restricted for use on public safety expenditures related to Public Safety
Aid received from the State in 2023. $2,612,910 is assigned for use in case of insurance needs. The remaining
amount of $23,027,742 is unassigned fund balance at December 31, 2024. This is equal to 79.8
percent of total 2024 expenditures and other financing uses in the General Fund, which puts the fund in an
excellent financial position. These reserves are needed for working capital to help pay for expenditures
during the first half of the year, since the City does not receive any significant money from its main revenue
source—property taxes—until July of each year.
THIS SECTION LEFT BLANK INTENTIONALLY
2024 2023
Fund Balance 22,749,108$ 17,333,319$
Additions
Revenue 32,404,692 31,046,835
Other sources 251,457 30,000
Total additions 32,656,149 31,076,835
Deduction
Expenditures 25,487,602 22,146,046
Other uses 3,375,000 3,515,000
Total deductions 28,862,602 25,661,046
Fund balance - end of year 26,542,655$ 22,749,108$
26
The following is an analysis of 2024 General Fund revenue compared to budget:
General Fund revenue was $32,404,692 in 2024, an increase of $1,357,857 from the previous year. The
increase was attributable to several factors including a $1,889,268 increase in property tax revenue from a
larger levy, along with a $165,299 increase in building permits and licenses due to additional new building
and remodel work. In addition, the investment earnings in the General Fund increased by $572,087 because
of better-than-expected market conditions coupled with a higher cash balance in the General Fund during
2024.
The following is an analysis of 2024 General Fund expenditures compared to budget:
General Fund 2024 expenditures of $25,487,602 represented an increase of $3,341,556 from the prior year.
The largest expenditure increases were in the general government and public safety. Higher costs for legal
services, fire and police department personnel and supplies, building inspections, and street and park
maintenance contributed to the overall increase.
Revenue
Original
Budget Final Budget Actual
Over (Under)
Final Budget
Taxes 26,613,525$ 26,613,525$ 25,695,656$ (917,869)$
Licenses and permits 1,603,955 1,603,955 3,429,390 1,825,435
Intergovernmental 39,280 39,280 115,110 75,830
Charges for services 1,610,790 1,610,790 1,445,245 (165,545)
Fines and forfeits 76,640 76,640 140,190 63,550
Investment income 125,000 125,000 1,328,792 1,203,792
Other revenue 11,500 11,500 250,309 238,809
Totals 30,080,690$ 30,080,690$ 32,404,692$ 2,324,002$
Expenditure
Original
Budget Final Budget Actual
Over (Under)
Final Budget
General government 3,412,950$ 3,522,950$ 3,775,367$ (252,417)$
Administrative services 2,461,185 2,461,185 2,332,564 128,621
Caualty insurance 380,000 380,000 389,690 (9,690)
Public safety 10,711,780 10,851,780 10,097,673 754,107
Community development 2,610,555 2,610,555 2,301,980 308,575
Public works 5,631,150 5,631,150 5,384,851 246,299
Parks and recreation 1,528,070 1,528,070 1,205,477 322,593
Totals 26,735,690$ 26,985,690$ 25,487,602$ 1,498,088$
27
Other Major Governmental Funds – The City reported six other major governmental funds for 2024.
The American Rescue Plan Act (ARPA) Special Revenue Fund is used to account for federal funds
allocated to the City under the ARPA. Fund balance in this fund decreased $119,933 in 2024, due to
spending down funds on approved projects during the year. At year-end, the City
has $750,000 of unspent ARPA funds available for planned future projects.
The Local Option Sales Tax Special Revenue Fund is used to account for the City’s local option sales tax
receipts. The citizens of Golden Valley elected to adopt a 1.25% local sales tax to fund public works and
public safety buildings in future years. For the year ending December 31, 2024, the fund balance was
$7,441,770, with no expenditures incurred during the year.
The Street Reconstruction Debt Service Fund is used to account for the debt service on the G.O.
improvement bonds issued to finance street improvements. At year-end, this fund had a fund balance of
$12,283,655 accumulated for future debt service. Fund balance increased by $1,390,508 in 2024, as revenue
from property taxes, special assessments, and investment earnings exceeded current year debt service
expenditures.
The State Aid Construction Capital Project Fund is used to account for street construction projects that
qualify for municipal state aid. Fund balance increased $1,840,885 in 2024, ending the year at $8,055,976,
as current year project expenditures were minor with larger projects planned for the near future.
The Street Reconstruction Capital Project Fund is used to account for the City’s ongoing Pavement
Management Program (PMP). The City financed planned 2024 PMP construction with a $3,320,000 bond
issue and a transfer of $1,000,000 from the General Fund. Fund balance increased $833,999 during the
year, leaving a fund balance of $9,762,193 at year-end.
The Capital Improvement Capital Project Fund ended the year with a fund balance of $6,180,072 which
was an increase of $4,838,165 in 2024. Capital outlay was far less than the intergovernmental received from
prior year reimbursements during the year.
The City’s remaining non-major governmental funds ended the year with cumulative fund balances of
$15,751,065, an increase of $1,315,783 from the previous year-end, mainly due to capital improvement
project expenditures ended the year less than inflows from tax increments and transfers from other funds.
Proprietary Funds – The City’s proprietary funds provide the same information for the business-type
activities found in the government-wide financial statements, but in more detail.
The City’s enterprise funds had a total net position of $94,257,998 at year-end, of which $35,369,213 was
unrestricted. The total net position of these funds improved by $7,675,342 during 2024.
Utility Fund net position increased $4,616,716, due to operating income of $1,611,365 and an additional
net addition of $2,200,351 in non-operating income.
Storm Sewer Utility Fund net position increased $2,080,483, due to operating income of $522,585 during
the year along with $1,121,028 of intergovernmental revenue during the year related to grants.
The Brookview Operating (Golf Course) Fund had an increase in net position of $911,051, due to operating
income of $849,000 for 2024. Golf course operating revenue decreased slightly from $4,903,721 in 2023
to $4,846,129 in 2024. The golf course and clubhouse grill facility and other amenities continue
to see usage returning to pre-pandemic levels.
The Motor Vehicle Operating Fund had a decrease in net position of $17,634, as operations continue to
slowly recover from COVID-19-related closures and limitations, and the budgeted transfer to the General
Fund was not reduced.
28
The Recycling Fund had an increase in net position of $84,726 for the year. Operating income was a
negative $99,042 loss but grants and investment earnings brought the net position up overall.
CAPITAL ASSETS AND LONG-TERM LIABILITIES
Capital Assets – The City’s investment in capital assets (net of accumulated depreciation) for its
governmental and business-type activities as of December 31, 2024 was $158,308,564, an increase of
$4,066,053 from the prior year. The City’s capital assets for the last two years are as follows:
The City’s capital assets before depreciation increased by $12,900,090 during 2024, mainly in construction
in progress on street, utility, and storm sewer infrastructure projects across the City. This increase was
partially offset by an increase of $8,834,037 in accumulated depreciation. Additional details of the City’s
capital asset activity for the year can be found in Note 5 of the notes to basic financial statements.
Long-Term Liabilities – The debt service funds account for the accumulation of resources to finance all
of the City’s governmental activity G.O. debt. The revenue sources for these funds include annual tax levies,
tax increments, franchise taxes, and special assessments. At year-end, there was $14,160,091 of fund
balance restricted for debt service in the governmental funds. The revenue bonds will be paid from the
designated business activity of the Storm Sewer Utility Fund. The following table presents the City’s long-
term liabilities as of the last two year-ends:
The City issued $3,230,000 of new G.O. special assessment debt in 2024 and made scheduled debt principal
payments of $5,750,000 during the year. Additional details of long-term liabilities activity for the year can
be found in Note 6 of the notes to basic financial statements.
2024 2023 2024 2023 2024 2023
Land 3,527,685$ 3,527,685$ 993,912$ 993,912$ 4,521,597$ 4,521,597$
Land improvements 8,778,204 8,670,201 5,221,016 5,221,016 13,999,220 13,891,217
Buildings and improvements 31,639,790 29,925,464 840,570 840,570 32,480,360 30,766,034
Machinery and equipment 19,760,678 18,612,097 5,690,104 5,464,845 25,450,782 24,076,942
Infrastructure 155,407,906 146,235,973 68,399,904 61,490,776 223,807,810 207,726,749
Construction in progress 12,888,453 15,483,702 16,002,808 19,784,699 28,891,261 35,268,401
Less accumultated
depreciation (134,631,012) (127,869,474) (36,211,454) (34,138,955) (170,842,466) (162,008,429)
Net total 97,371,704$ 94,585,648$ 60,936,860$ 59,656,863$ 158,308,564$ 154,242,511$
Governmental Activities Business-Type Activities Total
2024 2023 2024 2023 2024 2023
G.O. special assessment bonds 35,140,000$ 36,230,000$ -$ -$ 35,140,000$ 36,230,000$
G.O. street reconstruction bond 3,980,000 4,230,000 - - 3,980,000 4,230,000
HRA lease revenue bonds 12,715,000 13,480,000 - - 12,715,000 13,480,000
G.O. tax increment bonds 540,000 665,000 - - 540,000 665,000
G.O. state aid street bonds 520,000 680,000 - - 520,000 680,000
Revenue bonds - - 1,960,000 2,090,000 1,960,000 2,090,000
Unamortized premiums 2,160,194 1,945,637 25,289 27,346 2,185,483 1,972,983
Compensated absences 1,938,047 1,561,317 - - 1,938,047 1,561,317
Net pension liability - PERA 7,679,423 10,981,155 - - 7,679,423 10,981,155
Total OPEB liability 2,461,826 2,666,223 - - 2,461,826 2,666,223
Net total 67,134,490$ 72,439,332$ 1,985,289$ 2,117,346$ 69,119,779$ 74,556,678$
Governmental Activities Business-Type Activities Total
29
ECONOMIC FACTORS AND NEXT YEAR’S BUDGETS AND RATES
Economic factors affect the preparation of annual budgets. The following factors were considered in
preparing the 2025 budget:
The City’s 2025 total budgeted tax levy went up by 4.9 percent from 2024. The City
implements a balanced budget with revenues equal to expenditures.
The City will maintain fund balance for working capital in the General Fund at 60.0 percent of
the current year’s adopted expenditures.
The City continues to plan for the construction of a new fire station to consolidate the operations
of Stations 2 and 3. During the 2023 legislative session, the City received a state grant of
$3,172,000 for this project.
In 2024, the City started receiving local sales tax as voted into effect by residents in 2023. This
revenue source will fund the majority of the costs of new Public Works and Public Safety
facilities in future years.
The City’s 2025 housing and redevelopment budget increased its housing levy by $30,301 to fund
some housing and economic development initiatives for affordable housing.
REQUESTS FOR INFORMATION
Questions concerning any of the information provided in this report or requests for additional information
should be addressed by writing to the City of Golden Valley, Attention: Finance Director, 7800 Golden
Valley Road, Golden Valley, Minnesota 55427 or by calling (763) 593-8010.
30
BASIC FINANCIAL STATEMENTS
31
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32
CITY OF GOLDEN VALLEY, MINNESOTA
STATEMENT OF NET POSITION Statement 1
December 31, 2024
Governmental Business-Type
Activities Activities Total
Assets:
Cash and investments $90,500,435 $32,921,179 $123,421,614
Accrued interest receivable 281,952 - 281,952
Accounts receivable, net 1,987,111 2,488,022 4,475,133
Due from other governmental units 3,984,729 2,120 3,986,849
Prepaid items - 225,292 225,292
Inventory 201,798 27,800 229,598
Delinquent taxes receivable 1,468,225 - 1,468,225
Special assessments receivable 3,861,541 415,274 4,276,815
Internal balances 1,948,088 (1,948,088) -
Net pension asset - fire relief 2,131,253 - 2,131,253
Capital assets - nondepreciable 16,416,138 16,996,720 33,412,858
Capital assets - net of accumulated depreciation 80,955,566 43,940,140 124,895,706
Total assets 203,736,836 95,068,459 298,805,295
Deferred outflows of resources:
Related to pensions - PERA 5,976,202 - 5,976,202
Related to pensions - fire relief 355,542 - 355,542
Related to OPEB 1,542,217 - 1,542,217
Total deferred outflows of resources 7,873,961 - 7,873,961
Liabilities:
Accounts payable and other current liabilities 3,978,273 808,901 4,787,174
Deposits payable 1,919,066 717,320 2,636,386
Accrued interest payable 747,276 21,292 768,568
Unearned revenue 788,968 1,606 790,574
Long-term liabilities:
Due within one year 7,416,253 130,000 7,546,253
Due in more than one year 49,576,988 1,855,289 51,432,277
Other post-employment benefits:
Due within one year 120,127 - 120,127
Due in more than one year 2,341,699 - 2,341,699
Net pension liability:
Due in more than one year 7,679,423 - 7,679,423
Total liabilities 74,568,073 3,534,408 78,102,481
Deferred inflows of resources:
Related to pensions - PERA 9,278,014 - 9,278,014
Related to pensions - fire relief 429,351 - 429,351
Related to OPEB 1,351,655 - 1,351,655
Total deferred inflows of resources 11,059,020 - 11,059,020
Net position:
Net investment in capital assets 45,837,583 58,888,785 104,726,368
Restricted for:
Debt service 17,024,178 - 17,024,178
Redevelopment 3,238,541 - 3,238,541
Capital improvements 10,218,100 - 10,218,100
Fire relief pensions 2,131,253 - 2,131,253
Public safety 1,093,512 - 1,093,512
Local sales tax 7,441,770 - 7,441,770
Other purposes 139,788 - 139,788
Unrestricted 38,858,979 32,645,266 71,504,245
Total net position $125,983,704 $91,534,051 $217,517,755
The accompanying notes are an integral part of these financial statements.
33
CITY OF GOLDEN VALLEY, MINNESOTA
STATEMENT OF ACTIVITIES
For The Year Ended December 31, 2024
Functions/Programs Expenses
Governmental activities:
General government $6,917,560
Community development 3,824,374
Public safety 10,353,899
Public works 11,822,897
Parks and recreation 2,251,520
Interest on long-term debt 1,605,853
Total governmental activities 36,776,103
Business-type activities:
Water and sewer 10,170,643
Storm sewer 2,393,852
Golf course 4,100,220
Motor vehicle licensing 529,412
Recycling 1,153,549
Total business-type activities 18,347,676
Total primary government $55,123,779
The accompanying notes are an integral part of these financial statements.
34
Statement 2
Operating Capital
Charges For Grants and Grants and Governmental Business-Type
Services Contributions Contributions Activities Activities Total
$1,375,845 $5,142 $ - ($5,536,573) $ - ($5,536,573)
3,105,787 137,096 - (581,491) - (581,491)
365,537 698,921 - (9,289,441) - (9,289,441)
1,071,845 311,464 3,992,296 (6,447,292) - (6,447,292)
835,283 40,223 - (1,376,014) - (1,376,014)
- - - (1,605,853) - (1,605,853)
6,754,297 1,192,846 3,992,296 (24,836,664) - (24,836,664)
11,792,975 86,631 - - 1,708,963 1,708,963
2,880,560 1,121,028 - - 1,607,736 1,607,736
4,846,267 - - - 746,047 746,047
533,983 - - - 4,571 4,571
1,054,507 118,878 - - 19,836 19,836
21,108,292 1,326,537 - - 4,087,153 4,087,153
$27,862,589 $2,519,383 $3,992,296 (24,836,664) 4,087,153 (20,749,511)
General revenues:
Property taxes 34,046,986 - 34,046,986
Franchise taxes 768,897 1,500,000 2,268,897
Local taxes 7,560,759 - 7,560,759
Unrestricted grants and contributions 816,800 - 816,800
Unrestricted investment earnings 3,465,267 1,321,980 4,787,247
Gain on disposal of capital assets 132,781 - 132,781
Transfers (775,000) 775,000 -
Total general revenues and transfers 46,016,490 3,596,980 49,613,470
Change in net position 21,179,826 7,684,133 28,863,959
Net position - January 1, as previously reported 105,232,343 83,849,918 189,082,261
Error correction (428,465) - (428,465)
Net position - January 1, as restated 104,803,878 83,849,918 188,653,796
Net position - December 31 $125,983,704 $91,534,051 $217,517,755
Net (Expenses) Revenue and Changes in Net PositionProgram Revenues
The accompanying notes are an integral part of these financial statements.
35
CITY OF GOLDEN VALLEY, MINNESOTA
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2024
American Street
Rescue Local Option Reconstruction
General Fund Plan Act Sales Tax Debt Service
Assets:
Cash and investments $29,073,460 $750,000 $5,608,056 $12,257,761
Accrued interest receivable 281,952 - - -
Accounts receivable 127,784 - - -
Due from other governmental units 203,459 - 1,833,714 32,469
Due from other funds - - - -
Delinquent taxes receivable 1,468,225 - - -
Special assessments receivable 31,080 - - 3,524,715
Total assets $31,185,960 $750,000 $7,441,770 $15,814,945
Liabilities:
Accounts payable $509,295 $ - $ - $5,475
Salaries payable 1,130,960 - - -
Due to other governmental units 214,072 - - -
Due to other funds - - - -
Contracts payable - - - -
Deposits payable 1,250,705 - - 1,100
Unearned revenue 38,968 750,000 - -
Advances from other funds - - - -
Total liabilities 3,144,000 750,000 - 6,575
Deferred inflows of resources:
Unavailable revenue - property taxes 1,468,225 - - -
Unavailable revenue - special assessments 31,080 - - 3,524,715
Unavailable revenue - state aid - - - -
Total deferred inflows of resources 1,499,305 - - 3,524,715
Fund balance:
Restricted 902,003 - 7,441,770 12,283,655
Committed - - - -
Assigned 2,612,910 - - -
Unassigned 23,027,742 - - -
Total fund balance 26,542,655 - 7,441,770 12,283,655
Total liabilities, deferred inflows of
resources, and fund balances $31,185,960 $750,000 $7,441,770 $15,814,945
The accompanying notes are an integral part of these financial statements.
36
Statement 3
Street Other
State Aid Reconstruction Capital Governmental
Construction Capital Project Improvement Funds Total
$7,402,946 $10,263,129 $6,020,130 $17,066,207 $88,441,689
- - - - 281,952
1,169,234 568,921 - 111,938 1,977,877
1,253,444 - 653,611 8,032 3,984,729
- - 180,780 - 180,780
- - - - 1,468,225
170,475 7,361 35,691 92,219 3,861,541
$9,996,099 $10,839,411 $6,890,212 $17,278,396 $100,196,793
$69,778 $348,527 $115,075 $246,451 $1,294,601
- - - - 1,130,960
- - - 47,729 261,801
- - - 261,639 261,639
446,426 691,205 115,380 14,566 1,267,577
- 30,125 443,994 169,727 1,895,651
- - - - 788,968
- - - 695,000 695,000
516,204 1,069,857 674,449 1,435,112 7,596,197
- - - - 1,468,225
170,475 7,361 35,691 92,219 3,861,541
1,253,444 - - - 1,253,444
1,423,919 7,361 35,691 92,219 6,583,210
8,055,976 3,843,631 - 7,123,927 39,650,962
- - - 161,831 161,831
- 5,918,562 6,180,072 8,469,718 23,181,262
- - - (4,411) 23,023,331
8,055,976 9,762,193 6,180,072 15,751,065 86,017,386
$9,996,099 $10,839,411 $6,890,212 $17,278,396 $100,196,793
The accompanying notes are an integral part of these financial statements.
37
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38
CITY OF GOLDEN VALLEY, MINNESOTA
RECONCILIATION OF THE BALANCE SHEET - GOVERNMENTAL FUNDS Statement 4
TO THE STATEMENT OF NET POSITION - GOVERNMENTAL ACTIVITIES
December 31, 2024
Fund balance - governmental funds (Statement 3) $86,017,386
Net position reported for governmental activities in the statement of net position is
different because:
Certain assets used in governmental activities are not current financial resources and
therefore, are not reported as assets in governmental funds: 97,361,860
Other long-term assets are not available to pay for current period expenditures and
therefore, are reported as unavailable revenue in governmental funds:
Delinquent property taxes receivable 1,468,225
Delinquent and deferred special assessments receivable 3,861,541
Long-term receivables 1,253,444
Long-term liabilities are not due and payable in the current period and therefore, are not
reported as assets in governmental funds. Long-term liabilities at year-end consist of:
Bonds payable (52,895,000)
Unamortized bond premiums (2,160,194)
Accrued interest payable (747,276)
Internal service funds are used to charge the costs of employee benefits and vehicle
maintenance to individual funds. The assets, liabilities and deferred outflows/inflows
of resources of the internal service funds are included in governmental activities:
Net position of internal service funds (10,900,229)
Add back internal service fund balances allocated to business-type activities 2,723,947
Net position - governmental activities (Statement 1)$125,983,704
The accompanying notes are an integral part of these financial statements.
39
CITY OF GOLDEN VALLEY, MINNESOTA
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE
GOVERNMENTAL FUNDS
For The Year Ended December 31, 2024
American Street
Rescue Local Option Reconstruction
General Fund Plan Act Sales Tax Debt Service
Revenue:
Property taxes $25,684,437 $ - $ - $5,041,557
Tax increments - - - -
Special assessments 11,219 - - 1,334,240
Franchise taxes - - - -
Local taxes - - 7,388,827 -
Licenses and permits 3,429,390 - - -
Intergovernmental revenue 115,110 816,800 - -
Charges for services 1,445,245 - - -
Fines and forfeits 140,190 - - -
Investment income 1,328,792 89,724 52,943 342,295
Other revenue 250,309 - - -
Total revenues 32,404,692 906,524 7,441,770 6,718,092
Expenditures:
Current:
General government 6,497,621 - - -
Community development 2,301,980 - - -
Public safety 10,097,673 - - -
Public works 5,384,851 - - -
Parks and recreation 1,205,477 - - -
Capital outlay - - - -
Debt service:
Principal - - - 4,245,000
Interest and fiscal charges - - - 1,082,584
Total expenditures 25,487,602 - - 5,327,584
Revenue over (under) expenditures 6,917,090 906,524 7,441,770 1,390,508
Other financing sources (uses):
Sale of capital assets - - - -
Bonds issued - - - -
Premium on bonds issued - - - -
Transfers in 251,457 - - -
Transfers out (3,375,000) (1,026,457) - -
Total other financing sources (uses) (3,123,543) (1,026,457) - -
Net change in fund balance 3,793,547 (119,933) 7,441,770 1,390,508
Fund balance - January 1, as previously reported 22,749,108 119,933 - 10,893,147
Error correction - - - -
Fund balance - January 1, as restated 22,749,108 119,933 - 10,893,147
Fund balance - December 31 $26,542,655 $ - $7,441,770 $12,283,655
The accompanying notes are an integral part of these financial statements.
40
Statement 5
Street Other
State Aid Reconstruction Capital Governmental
Construction Capital Project Improvement Funds Total
$ - $ - $ - $1,471,803 $32,197,797
- - - 1,577,062 1,577,062
48,857 2,678 4,837 51,091 1,452,922
- 399,684 - 369,213 768,897
- - - 171,932 7,560,759
- - - - 3,429,390
3,398,090 - 5,585,813 156,004 10,071,817
- 858,914 - 529,973 2,834,132
- - - - 140,190
240,189 491,085 221,291 593,896 3,360,215
- - - 130,023 380,332
3,687,136 1,752,361 5,811,941 5,050,997 63,773,513
- - - 61,316 6,558,937
- - - 1,057,466 3,359,446
- - - 1,050 10,098,723
- - - - 5,384,851
- - - 484,839 1,690,316
1,661,501 5,518,869 973,776 2,829,221 10,983,367
160,000 - - 1,215,000 5,620,000
24,750 73,753 - 623,487 1,804,574
1,846,251 5,592,622 973,776 6,272,379 45,500,214
1,840,885 (3,840,261) 4,838,165 (1,221,382) 18,273,299
- - - 162,165 162,165
- 3,230,000 - - 3,230,000
- 444,260 - - 444,260
- 1,000,000 - 2,516,363 3,767,820
- - - (141,363) (4,542,820)
- 4,674,260 - 2,537,165 3,061,425
1,840,885 833,999 4,838,165 1,315,783 21,334,724
6,215,091 8,928,194 1,452,158 14,435,282 64,792,913
- - (110,251) - (110,251)
6,215,091 8,928,194 1,341,907 14,435,282 64,682,662
$8,055,976 $9,762,193 $6,180,072 $15,751,065 $86,017,386
The accompanying notes are an integral part of these financial statements.
41
CITY OF GOLDEN VALLEY, MINNESOTA
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND Statement 6
CHANGES IN FUND BALANCE - GOVERNMENTAL FUNDS TO THE STATEMENT
OF ACTIVITIES - GOVERNMENTAL ACTIVITIES
For The Year Ended December 31, 2024
Net change in fund balance - governmental funds (Statement 5) $21,334,724
Amounts reported for governmental activities in the statement of activities are different because:
Capital outlays are reported in governmental funds as expenditures. However, in the statement of
activities, the cost of those assets is allocated over their estimated useful lives as depreciation expense:
Capital outlay 10,983,367
Capital outlay not capitalized (740,421)
Depreciation expense (7,424,919)
Various other transactions involving capital assets increase (decrease) net position on the statement
of activities but are not reported in governmental funds because they do not provide (or use) current
financial resources:
Gain (loss) on disposal of capital assets (29,384)
Revenues in the statement of activities that do not provide current financial resources are not reported
as revenues in governmental funds:
Change in unavailable property taxes 272,127
Change in unavailable special assessments 769,087
Change in unavailable state aid (6,921,060)
The issuance of long-term debt provides current financial resources to governmental funds, while
repayment of the principal of long-term debt consumes current financial resources. Neither transaction,
however, has any effect on net position. Also, governmental funds report the effects of bond premiums
when the debt is first issued, whereas amounts are deferred and amortized over the life of the debt in
the statement of activities:
Bonds issued (3,230,000)
Premiums on bonds issued (444,260)
Repayment of principal 5,620,000
Amortization of bond premiums 229,703
Certain 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. Expenses reported
in the statement of activities include the effects of the change in the following expense accruals:
Change in accrued interest payable (30,982)
Internal service funds are used to charge the costs of employee benefits and vehicle maintenance to
individual funds. The net revenue / expense of certain activities of internal service funds is reported
with governmental activities in the statement of activities:
Change in net position of internal service funds 800,635
Add back internal service fund activity allocated to business-type activities (8,791)
Change in net position - governmental activities (Statement 2)$21,179,826
The accompanying notes are an integral part of these financial statements.
42
CITY OF GOLDEN VALLEY, MINNESOTA
STATEMENT OF NET POSITION Statement 7
PROPRIETARY FUNDS
December 31, 2024
Governmental
Activities
Water and Storm Sewer Brookview Motor Vehicle Internal
Sewer Utility Utility Operating Operating Recycling Total Service Funds
Assets:
Current assets:
Cash and cash equivalents $15,903,634 $11,644,690 $3,675,183 $150,639 $1,547,033 $32,921,179 $2,058,746
Accounts receivable, net 2,120,305 179 624 273,758 93,156 2,488,022 9,234
Due from other governmental units 2,120 - - - - 2,120 -
Due from other funds 31,817 293,457 - - - 325,274 -
Inventory 8,468 - 19,332 - - 27,800 201,798
Prepaid items 225,292 - - - - 225,292 -
Special assessments receivable 415,274 - - - - 415,274 -
Total current assets 18,706,910 11,938,326 3,695,139 424,397 1,640,189 36,404,961 2,269,778
Noncurrent assets:
Advances to other funds 671,925 1,366,924 - - - 2,038,849 -
Net pension asset - fire relief - - - - - - 2,131,253
Capital assets:
Land - 136,868 857,044 - - 993,912 -
Land improvements 30,054 - 5,190,962 - - 5,221,016 -
Buildings and improvements 602,827 - 237,743 - - 840,570 -
Machinery and equipment 3,021,548 1,111,522 1,530,100 26,934 - 5,690,104 193,341
Distribution and collection systems 33,198,262 35,201,642 - - - 68,399,904 -
Construction in progress 7,777,465 8,225,343 - - - 16,002,808 -
Total capital assets 44,630,156 44,675,375 7,815,849 26,934 - 97,148,314 193,341
Less accumulated depreciation (17,757,768) (13,905,520) (4,521,232) (26,934) - (36,211,454) (183,497)
Capital assets, net 26,872,388 30,769,855 3,294,617 - - 60,936,860 9,844
Total noncurrent assets 27,544,313 32,136,779 3,294,617 - - 62,975,709 2,141,097
Total assets 46,251,223 44,075,105 6,989,756 424,397 1,640,189 99,380,670 4,410,875
Deferred outflows of resources:
Related to pensions - PERA - - - - - - 5,976,202
Related to pensions - fire relief - - - - - - 355,542
Related to OPEB - - - - - - 1,542,217
Total deferred outflows of resources - - - - - - 7,873,961
Liabilities:
Current liabilities:
Accounts payable 322,580 49,807 7,348 47 91,299 471,081 23,134
Salaries payable - - - - - - 89
Due to other governmental units 197,535 8,233 55,388 5,645 8,233 275,034 111
Due to other funds 180,780 - 63,635 - - 244,415 -
Unearned revenue - - 1,606 - - 1,606 -
Contracts payable 49,331 13,455 - - - 62,786 -
Deposits payable 125,525 432,851 158,944 - - 717,320 23,415
Accrued interest payable - 21,292 - - - 21,292 -
Compensated absences payable - current - - - - - - 1,481,253
Other post-employment benefits - current - - - - - - 120,127
Bonds payable - current - 130,000 - - - 130,000 -
Total current liabilities 875,751 655,638 286,921 5,692 99,532 1,923,534 1,648,129
Noncurrent liabilities:
Advances from other funds - - 1,343,849 - - 1,343,849 -
Compensated absences payable - noncurrent - - - - - - 456,794
Other post-employment benefits - noncurrent - - - - - - 2,341,699
Bonds payable - noncurrent - 1,855,289 - - - 1,855,289 -
Net pension liability - PERA - - - - - - 7,679,423
Total noncurrent liabilities - 1,855,289 1,343,849 - - 3,199,138 10,477,916
Total liabilities 875,751 2,510,927 1,630,770 5,692 99,532 5,122,672 12,126,045
Deferred inflows of resources:
Related to pensions - PERA - - - - - - 9,278,014
Related to pensions - fire relief - - - - - - 429,351
Related to OPEB - - - - - - 1,351,655
Total deferred inflows of resources - - - - - - 11,059,020
Net position:
Net investment in capital assets 26,823,057 28,771,111 3,294,617 - - 58,888,785 9,844
Restricted for pensions - fire relief - - - - - - 2,131,253
Unrestricted 18,552,415 12,793,067 2,064,369 418,705 1,540,657 35,369,213 (13,041,326)
Total net position $45,375,472 $41,564,178 $5,358,986 $418,705 $1,540,657 $94,257,998 ($10,900,229)
Net position reported above $94,257,998
Adjustment to reflect the consolidation of internal service fund activity related to enterprise funds (2,723,947)
Net position of business-type activities (Statement 1)$91,534,051
Business-Type Activities Enterprise Funds
The accompanying notes are an integral part of these financial statements.
43
CITY OF GOLDEN VALLEY, MINNESOTA
STATEMENT OF REVENUES, EXPENSES AND Statement 8
CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
For The Year Ended December 31, 2024
Governmental
Activities
Water and Storm Sewer Brookview Motor Vehicle Internal
Sewer Utility Utility Operating Operating Recycling Total Service Funds
Operating revenue:
Charges for services $11,758,696 $2,880,560 $1,938,157 $533,983 $1,054,507 $18,165,903 $11,669,812
Sales and rentals 34,279 - 2,907,972 - - 2,942,251 -
Total operating revenues 11,792,975 2,880,560 4,846,129 533,983 1,054,507 21,108,154 11,669,812
Operating expenses:
Enterprise operations 9,123,219 1,230,162 3,905,144 524,952 1,153,549 15,937,026 -
Other services - - - - - - 11,571,071
Depreciation 1,058,391 1,127,813 91,985 - - 2,278,189 2,587
Total operating expenses 10,181,610 2,357,975 3,997,129 524,952 1,153,549 18,215,215 11,573,658
Operating income (loss)1,611,365 522,585 849,000 9,031 (99,042) 2,892,939 96,154
Nonoperating revenue (expenses):
Franchise taxes 1,500,000 - - - - 1,500,000 -
Intergovernmental revenue 71,415 1,121,028 - - 106,442 1,298,885 583,811
Investment income 624,958 486,630 142,167 3,335 64,890 1,321,980 105,052
Other income 15,216 - (336) - 12,436 27,316 15,618
Gain (loss) on disposal of capital assets - - (20,057) - - (20,057) -
Interest expense (11,238) (49,760) (59,723) - - (120,721) -
Total nonoperating revenues (expenses)2,200,351 1,557,898 62,051 3,335 183,768 4,007,403 704,481
Income (loss) before contributions and transfers 3,811,716 2,080,483 911,051 12,366 84,726 6,900,342 800,635
Capital contributions and transfers:
Transfers in 805,000 - - - - 805,000 -
Transfers out - - - (30,000) - (30,000) -
Total capital contributions and transfers 805,000 - - (30,000) - 775,000 -
Change in net position 4,616,716 2,080,483 911,051 (17,634) 84,726 7,675,342 800,635
Net position - January 1, as previously reported 40,758,756 39,483,695 4,447,935 436,339 1,455,931 86,582,656 (11,382,650)
Error correction - - - - - - (318,214)
Net position - January 1, as restated 40,758,756 39,483,695 4,447,935 436,339 1,455,931 86,582,656 (11,700,864)
Net position - December 31 $45,375,472 $41,564,178 $5,358,986 $418,705 $1,540,657 $94,257,998 ($10,900,229)
Change in net position reported above $7,675,342
Adjustment to reflect the consolidation of internal service fund activity related to enterprise funds 8,791
Change in net position of business-type activities (Statement 2)$7,684,133
Business-Type Activities Enterprise Funds
The accompanying notes are an integral part of these financial statements.
44
CITY OF GOLDEN VALLEY, MINNESOTA
STATEMENT OF CASH FLOWS Statement 9
PROPRIETARY FUNDS
For The Year Ended December 31, 2024
Governmental
Activities
Water and Storm Sewer Brookview Motor Vehicle Internal
Sewer Utility Utility Operating Operating Recycling Total Service Funds
Cash flows from operating activities:
Receipts from customers and users $11,932,004 $2,880,515 $4,845,729 $307,576 $961,351 $20,927,175 $7,847,247
Receipts from interfund services provided - - - - - - 3,817,770
Payments to suppliers/service providers (7,562,019) (606,979) (1,377,164) (32,058) (1,058,947) (10,637,167) (9,267,621)
Payments to employees (1,493,021) (625,482) (2,516,477) (457,325) - (5,092,305) (3,288,213)
Payments for interfund services (300,000) (250,000) (85,000) (30,000) (75,000) (740,000) -
Miscellaneous revenue 15,216 - (336) - 12,436 27,316 15,618
Net cash flows from operating activities 2,592,180 1,398,054 866,752 (211,807) (160,160) 4,485,019 (875,199)
Cash flows from noncapital financing activities:
Franchise taxes 1,500,000 - - - - 1,500,000 -
Intergovernmental revenue 71,415 1,121,028 - - 106,442 1,298,885 583,811
Transfers in 805,000 - - - - 805,000
Transfers out - - - (30,000) - (30,000) -
Net cash flows from noncapital financing activities 2,376,415 1,121,028 - (30,000) 106,442 3,573,885 583,811
Cash flows from capital and related financing activities:
Acquisition of capital assets (3,074,634) (358,703) (81,049) - - (3,514,386) -
Repayment of advances to other funds 26,189 425,365 - - - 451,554 -
Repayment of advances from other funds (354,271) - (52,376) - - (406,647) -
Principal paid on debt - (130,000) - - - (130,000) -
Interest paid on debt (11,238) (52,899) (59,723) - - (123,860) -
Net cash flows from capital and related financing activities (3,413,954) (116,237) (193,148) - - (3,723,339) -
Cash flows from investing activities:
Interest received on investments 624,958 486,630 142,167 3,335 64,890 1,321,980 105,052
Net increase (decrease) in cash and cash equivalents 2,179,599 2,889,475 815,771 (238,472) 11,172 5,657,545 (186,336)
Cash and cash equivalents - January 1 13,724,035 8,755,215 2,859,412 389,111 1,535,861 27,263,634 2,245,082
Cash and cash equivalents - December 31 $15,903,634 $11,644,690 $3,675,183 $150,639 $1,547,033 $32,921,179 $2,058,746
Reconciliation of operating income (loss) to net cash flows
from operating activities:
Operating income (loss) $1,611,365 $522,585 $849,000 $9,031 ($99,042) $2,892,939 $96,154
Adjustments to reconcile operating income (loss) to net
cash net cash flows from operating activities:
Depreciation 1,058,391 1,127,813 91,985 - - 2,278,189 2,587
Miscellaneous revenue 15,216 - (336) - 12,436 27,316 15,618
Changes in assets and liabilities:
Accounts receivable 167,769 (45)(400) (226,407) (93,156) (152,239) (4,795)
Inventory 3,180 - 2,645 - - 5,825 (57,677)
Prepaid expenses (17,134) 160,367 10 - - 143,243 -
Special assessments receivable (28,740) - - - - (28,740) -
Net pension asset - fire relief - - - - - - (789,425)
Deferred outflows of resources - - - - - - 2,594,473
Accounts payable 308,059 (149,162)366 (76) 20,337 179,524 (12,763)
Salaries payable - - - - - - 89
Due to other governmental units (101,979)(734) 1,741 5,645 (735) (96,062)3
Contracts payable (402,697) (108,799) (79,268) - - (590,764) -
Deposits payable (21,250) (153,971) 1,009 - - (174,212) 4,542
Compensated absences payable - - - - - - 58,516
Other post-employment benefits - - - - - - (204,397)
Net pension liability - PERA - - - - - - (3,301,732)
Deferred inflows of resources - - - - - - 723,608
Total adjustments 980,815 875,469 17,752 (220,838) (61,118) 1,592,080 (971,353)
Net cash flows from operating activities $2,592,180 $1,398,054 $866,752 ($211,807) ($160,160) $4,485,019 ($875,199)
Noncash investing, capital and financing activities:
None
Business-Type Activities Enterprise Funds
The accompanying notes are an integral part of these financial statements.
45
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46
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. ORGANIZATION
The City of Golden Valley, Minnesota (the City) operates under “Optional Plan B” as defined in Minnesota
Statutes, Chapter 412. Under this plan, the government of the City is run by a council composed of an
elected mayor and four councilmembers. The City Council exercises legislative authority and determines
all matters of policy. The city manager, who is appointed by the City Council, is responsible for the proper
administration of all affairs relating to the City.
The accounting policies of the City conform to accounting principles generally accepted in the United
States of America as applicable to governmental units.
B. FINANCIAL REPORTING ENTITY
As required by accounting principles generally accepted in the United States of America, these financial
statements include the City (the primary government) and its component units. Component units are legally
separate entities for which the primary government is financially accountable, or for which the exclusion of
the component unit would render the financial statements of the primary government misleading. The
criteria used to determine if the primary government is financially accountable for a component unit
includes whether or not the primary government appoints the voting majority of the potential component
unit’s board, is able to impose its will on the potential component unit, is in a relationship of financial
benefit or burden with the potential component unit, or is fiscally depended upon by the potential
component unit.
As a result of applying these criteria, certain organizations have been included or disclosed in this report as
follows:
BLENDED COMPONENT UNIT
The Golden Valley Housing and Redevelopment Authority (HRA) is a legally separate organization created
in accordance with Minnesota Statutes § 469. Its purpose is to clear and redevelop blighted areas within the
City and to provide adequate housing for low and moderate-income residents. The HRA is fiscally
dependent upon the City, its governing board consists of the City’s mayor and councilmembers, and the
City’s management has operational responsibility for the HRA. Therefore, the HRA has been reported as a
blended component unit of the City, with its funds reported as funds of the City.
JOINT VENTURES
The City participates in two joint ventures: the Bassett Creek Water Management Commission and the
Joint Water Commission (JWC). Descriptions and condensed financial information for these organizations
are included later in these notes.
JOINTLY GOVERNED ORGANIZATION
The City is a member of Local Governmental Information Systems (LOGIS), a consortium of Minnesota
municipalities that provides data processing services and support to its members. LOGIS is a legally
separate entity that is financially independent of the City. Further, the City does not appoint a voting
majority of LOGIS’ Board of Directors. Therefore, it has not been incorporated into the City’s reporting
City. During the 2024 fiscal year, the City paid LOGIS $956,596 for services provided.
47
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
C. GOVERNMENT-WIDE FINANCIAL STATEMENTS
The government-wide financial statements (the statement of net position and the statement of activities)
display information about the reporting government as a whole. These statements include all financial
activities of the City. Governmental activities, which are normally supported by taxes and
intergovernmental revenues, are reported separately from business-type activities, which significantly rely
upon sales, fees, and charges for support.
The statement of activities demonstrates the degree to which the direct expenses of a given function or
segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a
specific function or segment. Program revenues include: 1) charges to customers or applicants who
purchase, use, or directly benefit from goods, services, or privileges provided by a given function or
segment; 2) operating grants and contributions; and 3) capital grants and contributions, including special
assessments that are restricted to meeting the operational or capital requirements of a particular function or
segment. Taxes and other internally directed revenues are reported as general revenues.
The government-wide financial statements are reported using the economic resources measurement focus
and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a
liability is incurred, regardless of the timing of related cash flows. Property taxes and special assessments
are recognized as revenues in the fiscal year for which they are certified for levy. Grants and similar items
are recognized when all eligibility requirements imposed by the provider have been met.
As a general rule, the effect of interfund activity has been eliminated from the government-wide financial
statements. However, charges between the City’s enterprise funds and other functions are not eliminated, as
that would distort the direct costs and program revenues reported in those functions. Depreciation expense
is included in the direct expenses of each function. Interest on long-term debt is considered an indirect
expense and is reported separately on the statement of activities.
D. FUND FINANCIAL STATEMENT PRESENTATION
Separate fund financial statements are provided for governmental and proprietary funds. Major individual
governmental and enterprise funds are reported as separate columns in the fund financial statements.
Aggregated information for the remaining nonmajor governmental funds is reported in a single column in
the fund financial statements.
GOVERNMENTAL FUNDS
Governmental fund financial statements are reported using the current financial resources measurement
focus and the modified accrual basis of accounting.
Revenue is recognized when it becomes measurable and available. “Measurable” means the amount of the
transaction can be determined and “available” means collectible within the current period or soon enough
thereafter to be used to pay liabilities of the current period. For this purpose, the City considers revenues to
be available if they are collected within 60 days after year-end. Only the portion of special assessments
receivable due within the current fiscal period is considered susceptible to accrual as revenue of the current
period. Grants and similar items are recognized when all eligibility requirements imposed by the provider
have been met. Proceeds from long-term debt and lease acquisitions are reported as other financing sources.
Revenue that is susceptible to accrual includes property taxes, special assessments, intergovernmental
revenue, charges for services, and interest earned on investments. Revenue that is not susceptible to accrual
includes licenses and permits, fees, and miscellaneous revenue. Such revenue is recorded only when
received because it is not measurable until collected.
48
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Expenditures are generally recorded when a liability is incurred, except for principal and interest on long-
term debt and other long-term liabilities, which are recognized as expenditures to the extent they have
matured. Capital asset acquisitions are reported as capital outlay expenditures in the governmental funds.
PROPRIETARY FUNDS
Proprietary fund financial statements are reported using the economic resources measurement focus and
accrual basis of accounting, similar to the government-wide financial statements. Proprietary funds
distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses
generally result from providing services and producing and delivering goods in connection with a
proprietary fund’s principal ongoing operations. The principal operating revenues of the City’s enterprise
funds and internal service funds are charges to customers for sales and services. The operating expenses for
the enterprise funds and internal service funds include the cost of sales and services, administrative
expenses, and depreciation on capital assets. All revenues and expenses that do not meet this definition are
reported as nonoperating revenues and expenses.
Aggregated information for the internal service funds is reported in a single column in the proprietary fund
financial statements. Because the principal user of the internal services is the City’s governmental
activities, the financial statements of the internal service funds are consolidated into the governmental
column when presented in the government-wide financial statements. The cost of these services is reported
in the appropriate functional activity.
DESCRIPTION OF FUNDS
The City reports the following major governmental funds:
General Fund – This is the general operating fund of the City. It is used to account for all financial
resources except those required to be accounted for in another fund.
American Rescue Plan Act Special Revenue Fund – This fund is used to account for federal funds
allocated to the City under the American Rescue Plan Act.
Local Option Sales Tax Special Revenue Fund – This fund is used to account for local sales tax
received to fund the City’s Building Forward plan.
Street Reconstruction Debt Service Fund – This fund is used to account for the accumulation of
resources for, and payment of, debt service on improvement bonds issued to finance the City’s
Street Reconstruction Program.
State Aid Construction Capital Project Fund – This fund is used to account for state construction
aid received to finance qualifying road projects.
Street Reconstruction Capital Project Fund – This fund is used to account for financial resources,
primarily improvement bond proceeds, to be used for the City’s Street Reconstruction Program.
Capital Improvement Capital Project Fund – This fund is used to provide financing for major
street and streetlight projects in the City, including a portion of the Street Reconstruction Program.
49
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
The City reports the following major proprietary funds:
Water and Sewer Utility Fund – This fund is used to account for the operation, maintenance, and
improvement of the City’s water and sanitary sewer utilities.
Storm Sewer Utility Fund – This fund is used to account for the operation, maintenance, and
improvement of the City’s storm water drainage system.
Brookview Operating Fund – This fund is used to account for the operation, maintenance, and
improvement of the City’s 18-hole regulation and 9-hole par 3 golf course facilities.
Motor Vehicle Operating Fund – This fund is used to account for the operation and maintenance
of the City’s Deputy Registrar function.
Recycling Fund – This fund is used to account for the operation of the City’s recycling, spring
brush pickup, and fall leaf drop-off programs.
The City also reports the following fund type:
Internal Service Funds – These funds are used to account for the City’s vehicle maintenance
operation, workers’ compensation insurance, and payroll benefits. Internal service funds operate in
a manner similar to enterprise funds; however, they provide services primarily to other
departments within the City.
E. BUDGETS AND BUDGETARY ACCOUNTING
Each fall, following a truth in taxation public hearing, the City Council adopts a budget for the General
Fund and the Brookview Community Center special revenue fund for the following fiscal year beginning
January 1. The budget is prepared on a modified accrual basis of accounting. The City has established
budgetary control at the division level for the General Fund and at the fund level for the Brookview
Community Center Fund. City management may transfer appropriations within divisions but needs City
Council approval before exceeding the budget at that level. Appropriations lapse at year-end; however, the
City Council may approve the carryover of specific amounts.
During 2024, expenditures of the following General Fund divisions exceeded the division’s final budget:
Final
Actual Budget Overage
City council and boards $351,516 $314,920 $36,596
City manager and communications 987,641 899,435 88,206
Finance 1,483,239 1,457,800 25,439
Legal services and city clerk 952,971 850,795 102,176
Risk management 389,690 380,000 9,690
Inspections 1,018,545 1,015,405 3,140
Park maintenance 1,758,817 1,744,915 13,902
50
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
F. CASH AND INVESTMENTS
Cash and investment balances from all funds are pooled and invested to the extent available in authorized
investments. Earnings from the pooled investments are allocated to the individual funds based on the
average monthly cash and investment balances of the respective funds. Certain bond proceeds may be held
separately for capital projects. Earnings on these accounts are allocated directly to the respective funds.
For purposes of the Statement of Cash Flows, the City considers all highly liquid investments with an
original maturity from the time of purchase of three months or less to be cash equivalents. All of the cash
and investments allocated to proprietary fund types have original maturities of 90 days or less. Therefore,
the entire balance in such fund types is considered cash equivalents.
The City generally reports investments at fair value, except for certain investment pools which are valued at
amortized cost.
G. RECEIVABLES
Utility and miscellaneous accounts receivable are reported at gross. Since the City is generally able to
certify delinquent amounts to the county for collection as special assessments, no allowance for
uncollectible accounts has been provided on current receivables. The City does record an allowance for the
amount of utility receivables that remain delinquent after having been certified to the county.
H. PROPERTY TAXES
Property tax levies are set by the City Council in December of each year and are certified to Hennepin
County for collection in the following year. In Minnesota, counties act as collection agents for all property
taxes. The county spreads the levies over all taxable property. Such taxes become a lien on January 1 and
are recorded as receivables by the City on that date. Property taxes may be paid by taxpayers in two equal
installments on May 15 and October 15. The county provides tax settlements to cities and other taxing
districts three times a year; in July, December, and January.
Property taxes are recognized as revenue in the year levied in the government-wide financial statements
and proprietary fund financial statements. In the governmental fund financial statements, taxes are
recognized as revenue when received in cash or within 60 days after year-end. Taxes which remain unpaid
on December 31 are classified as delinquent taxes receivable and are offset by a deferred inflow of
resources in the governmental fund financial statements.
I. SPECIAL ASSESSMENTS
Special assessments represent the financing for public improvements paid for by benefiting property
owners. Special assessments are recorded as receivables upon certification to the county. Special
assessments are recognized as revenue in the year levied in the government-wide financial statements and
proprietary fund financial statements. In the governmental fund financial statements, special assessments
are recognized as revenue when received in cash or within 60 days after year-end. Governmental fund
special assessments receivable which remain unpaid on December 31 are offset by a deferred inflow of
resources in the governmental fund financial statements.
J. INTERFUND RECEIVABLES AND PAYABLES
In the fund financial statements, activity between funds that is representative of lending or borrowing
arrangements is reported as either “due to/from other funds” (current portion) or “advances to/from other
funds” (long-term portion). All other outstanding balances between funds are reported as “due to/from
other funds.” Any residual balances outstanding between the governmental activities and business-type
activities are reported in the government-wide financial statements as “internal balances.”
51
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
K. PREPAIDS
Certain payments to vendors reflect costs applicable to future periods and are recoded as prepaids in both
the government-wide and fund financial statements. Governmental fund prepaids are recorded as
expenditures when consumed.
L. INVENTORIES
Proprietary fund inventories are stated at cost (for supplies) or the lower of cost or market (for resale
merchandise) on the first-in, first-out basis. Inventory in the internal service funds consists of parts,
supplies, and gasoline for the maintenance of city-owned vehicles.
M. CAPITAL ASSETS
Capital assets, which include property, buildings, improvements, equipment, and infrastructure assets
(roads, bridges, sidewalks, and similar items) are reported in the applicable governmental or business-type
activities columns in the government-wide financial statements. Such assets are capitalized at historical
cost or estimated historical cost for assets where actual historical cost is not available. Donated assets are
recorded as capital assets at their estimated acquisition value on the date of donation. The City defines
capital assets as those with an initial, individual cost of $5,000 or more with an estimated useful life in
excess of one year. The cost of normal maintenance and repairs that do not add to the value of the asset or
materially extend asset lives are not capitalized.
Capital assets are recorded in the government-wide and proprietary fund financial statements but are not
reported in the governmental fund financial statements. Capital assets are depreciated using the straight-line
method over their estimated useful lives. Land and construction in progress are not depreciated. Useful
lives vary from 10 to 50 years for land improvements and buildings and improvements, 3 to 20 years for
machinery and equipment, and 20 to 50 years for infrastructure.
N. DEFERRED OUTFLOWS AND INFLOWS OF RESOURCES
In addition to assets and liabilities, the City reports deferred outflows and inflows of resources. These
separate financial statement elements represent a consumption or acquisition of net assets that apply to a
future period and so will not be recognized as an outflow of resources (expense/expenditure) or an inflow
of financial resources (revenue) until then.
Deferred inflows of resources from unavailable revenue arise only under a modified accrual basis of
accounting and, therefore, are only reported in the governmental fund financial statements. The
governmental funds report unavailable revenue from three sources: property taxes, special assessments, and
state aid. These amounts are deferred and recognized as inflows of resources in the period they become
available.
Deferred outflows and inflows of resources related to pensions or other post-employment benefits (OPEB)
are reported in the government-wide and proprietary fund statements of net position. These deferred
outflows and inflows result from differences between expected and actual experience, changes in
proportion, assumption changes, differences between projected and actual earnings on plan investments,
and contributions to the plan subsequent to the measurement date and before the end of the reporting
period. These amounts are deferred and amortized as required under pension or OPEB standards.
52
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
O. LONG-TERM LIABILITIES
In the government-wide and proprietary fund financial statements, long-term debt and other long-term
obligations are reported as liabilities. Bond premiums and discounts are deferred and amortized over the
life of the bonds using the straight-line method.
In the fund financial statements, governmental fund types recognize bond premiums and discounts during
the current period. The face amount of debt issued is reported as other financing sources. Premiums or
discounts on debt issuances are reported as other financing sources or uses, respectively.
P. COMPENSATED ABSENCES
Substantially all regular full-time and part-time city employees hired before January 1, 2009 earn vacation
and sick leave at various rates based on longevity. Unused vacation may be accumulated up to a maximum
of two times the employee’s annual vacation allowance. Unused sick leave may be accumulated up to a
maximum of 800 hours. Employees in good standing are paid for any unused vacation time upon
termination. After five years of service, employees in good standing are also paid for one-third of any
unused sick leave upon termination. Employees hired on or after January 1, 2009 earn personal time off
(PTO) rather than vacation and sick leave. PTO may be accumulated up to various maximum amounts as
specified by contract. Employees in good standing are paid for any unused PTO upon termination.
All vacation, sick leave and PTO benefits which are attributable to services already rendered, accumulate,
and are more likely than not to be used for time off or otherwise paid are accrued when incurred in the
Payroll Benefits Internal Service Fund.
Q. STATE-WIDE PENSION PLANS
For purposes of measuring the net pension liability, deferred outflows/inflows of resources, and pension
expense, information about the fiduciary net position of the Public Employees Retirement Association
(PERA) and additions to/deductions from the PERA’s fiduciary net position have been determined on the
same basis as they are reported by the PERA. For this purpose, plan contributions are recognized as of
employer payroll paid dates and benefit payments, and refunds are recognized when due and payable in
accordance with the benefit terms. Investments are reported at fair value.
R. RISK MANAGEMENT
The City is exposed to various risks of loss related to torts: theft of, damage to, and destruction of assets;
errors and omissions; and natural disasters. The City participates in the League of Minnesota Cities
Insurance Trust (LMCIT), a public city risk pool for its general property and casualty, workers’
compensation, and other miscellaneous insurance coverage. The LMCIT operates as a common risk
management and insurance program for a large number of cities in Minnesota. The City pays an annual
premium to the LMCIT for insurance coverage. The LMCIT agreement provides that the trust will be self-
sustaining through member premiums and will reinsure through commercial companies for claims in excess
of certain limits. The City also carries commercial insurance for certain other risks of loss. Settled claims
resulting from these risks did not exceed insurance coverage in any of the last three fiscal years.
S. USE OF ESTIMATES
The preparation of financial statements in accordance with accounting principles generally accepted in the
United States of America requires management to make estimates and assumptions that affect the amounts
reported in the financial statements during the reporting period. Actual results could differ from those
estimates.
53
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
T. FUND BALANCE CLASSIFICATIONS
In the fund financial statements, governmental funds report fund balance in classifications that disclose
constraints for which amounts in those funds can be spent. These classifications are as follows:
Nonspendable – consists of amounts that are not in spendable form, such as prepaid items, inventory, and
other long-term assets.
Restricted – consists of amounts related to externally imposed constraints established by creditors, grantors,
or contributors; or constraints imposed by state statutory provisions.
Committed – consists of internally imposed constraints established by resolution of the City Council, which
cannot be used for any other purpose unless the City Council removes or changes the specified use by
taking the same type of action employed to previously commit those amounts.
Assigned – consists of internally imposed constraints representing amounts intended to be used by the City
for specific purposes that do not meet the criteria to be classified as restricted or committed. Assigned
amounts represent intended uses established by the governing body itself or by an official to which the
governing body delegates the authority. Pursuant to City Council resolution, the City Council is authorized
to establish assignments of fund balance.
Unassigned – the residual classification for the General Fund, which also reflects negative residual amounts
in other funds.
When both restricted and unrestricted resources are available for use, it is the City’s policy to first use
restricted resources, and then use unrestricted resources as needed. When committed, assigned, or
unassigned resources are available for use, it is the City’s policy to use resources in the following order: 1)
committed, 2) assigned, and 3) unassigned.
The City’s fund balance policy includes a fund balance goal in the General Fund of maintaining an
unassigned fund balance of 60 percent of current year budgeted General Fund expenditures.
U. NET POSITION
In the government-wide and proprietary fund financial statements, net position represents the difference
between assets, deferred outflows of resources, liabilities, and deferred inflows of resources. Net position is
displayed in three components:
Net Investment in Capital Assets – consists of capital assets, net of accumulated depreciation, reduced by
any outstanding debt attributable to acquire capital assets.
Restricted Net Position – consists of net position restricted when there are limitations imposed on its use
through external restrictions imposed by creditors, grantors, or laws or regulations of other governments.
Unrestricted Net Position – all other elements of net position that do not meet the definition of “net
investment in capital assets” or “restricted.”
The City applies restricted resources first when an expense is incurred for which both restricted and
unrestricted resources are available.
54
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 2 CASH AND INVESTMENTS
A. DEPOSITS
In accordance with Minnesota Statutes, the City maintains its deposits at depository banks authorized by
the City Council. All such banks are members of the Federal Reserve System.
Minnesota Statutes require that all City deposits be protected by insurance, surety bonds or collateral. The
fair value of collateral pledged must equal 110% of deposits not covered by insurance or bonds. Securities
pledged as collateral are required to be held in safekeeping by the City or in a financial institution other
than that furnishing the collateral. Minnesota Statute 118A.03 identifies allowable forms of collateral.
Custodial Credit Risk – Deposits – the risk that in the event of a bank failure, the City’s deposits may not
be returned to it. The City has no additional deposit policies addressing custodial credit risk.
At December 31, 2024, the bank balance of the City’s deposits with financial institutions was $3,017,422
and the carrying amount was $2,302,454. All deposits were covered by federal depository insurance or by
collateral pledged and held in the City’s name.
B. INVESTMENTS
Subject to rating, yield, maturity and issuer requirements as prescribed by statute, Minnesota Statutes
118A.04 and 118A.05 authorize the City to invest in United States securities, state and local securities,
commercial paper, time deposits, temporary general obligation bonds, repurchase agreements, Minnesota
joint powers investment trusts and guaranteed investment contracts.
As of the City had the following investments and maturities:
Fair Less
Investment Type Rating Value Than 1 1-5
U.S. agency securities:
US Treasury AA+ 25,317,622 $15,713,422 $9,604,200
FHLB AA+ 15,909,379 - 15,909,379
FHLMC AA+ 4,187,936 998,400 3,189,536
FNMA AA+ 3,990,920 3,990,920 -
State and local bonds *22,387,299 18,713,536 3,673,763
Certificates of deposit not rated 248,542 - 248,542
External investment pools:
Mutual Fund AAAm 21,416,688 21,416,688 -
Money Market NR 37,141 37,141 -
4M Fund AAAm 5,851,838 5,851,838 -
4M Plus Fund AAAm 21,767,560 21,767,560 -
Total $121,114,925 $88,489,505 $32,625,420
* $6,338,889 (AAA), $729,767 (AA+),Total investments $121,114,925
$4,578,114 (AA), $5,244,804 (AA-),Deposits 2,302,454
$997,080 (Aa1), $2,502,825 (MIG1),Cash on hand 4,235
$1,995,820 (SP1) Total cash and investments $123,421,614
Investment Maturities (in Years)
55
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
The City categorizes its fair value measurements within the fair value hierarchy established by generally
accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair
value of the asset. The hierarchy has three levels. Level 1 investments are valued using inputs that are
based on quoted prices in active markets for identical assets. Level 2 investments are valued using inputs
that are based on quoted prices for similar assets or inputs that are observable, either directly or indirectly.
Level 3 investments are valued using inputs that are unobservable.
The City has the following recurring fair value measurements as of :
The Minnesota Municipal Money Market (4M) Fund and 4M Plus Fund are external investment pools
regulated by Minnesota Statutes that are not registered with the Securities and Exchange Commission
(SEC), but follow the regulatory rules of the SEC. The City’s investment in these funds is measured at the
value per share provided by the pool, which are based on an amortized cost method that approximates fair
value. There are no restrictions or limitations on withdrawals from the 4M Fund. The 4M Plus Fund
requires an initial 14-day investment period, subject to a penalty equal to 7 days of interest on funds
withdrawn prior to the 14-day restriction period.
C. INVESTMENT RISKS
Interest rate risk – the risk of potential variability in the fair value of fixed rate investments resulting from
changes in interest rates (the longer the period for which an interest rate is fixed, the greater the risk). The
City does not have an investment policy limiting the duration of investments.
Credit risk – the risk that an issuer or other counterparty to an investment will not fulfill its obligations.
Minnesota Statutes 118A.04 and 118A.05 limits investments in the top two ratings issued by nationally
recognized statistical rating organizations. The City’s investment policy does not specifically address
credit risk.
Custodial credit risk – investments – for investments, this is the risk that in the event of a failure of the
counterparty to an investment transaction (typically a broker-dealer) the City would not be able to recover
the value of its investments or collateral securities that are in the possession of an outside party. The City
does not have a formal investment policy addressing this risk, but typically limits its exposure by
purchasing insured or registered investments, or by control of who holds the securities.
Concentration of credit risk – the risk of loss associated with investing a significant portion of the City’s
investment (considered 5 percent or more) in the securities of a single issuer, excluding U.S. guaranteed
investments (such as treasuries), investment pools, and mutual funds. The City’s investment policies do not
limit the concentration of investments. As of December 31, 2024, the City had 5 percent or more of its
portfolio invested in the following issuers: Federal Home Loan Bank (13.1%), and Federal Farm Credit
Bank (20.9%).
Investment Type 12/31/2024 Level 1 Level 2 Level 3
Investments at fair value:
U.S. agency securities $49,405,857 $25,317,622 24,088,235 $ -
State and local bonds 22,387,299 - 22,387,299 -
Certificates of deposit 248,542 - 248,542 -
$25,317,622 $46,724,076 $ -
Investments not categorized:
Mutual Fund 21,416,688
U.S. Government Money Market Fund 37,141
4M Fund 5,851,838
4M Plus Fund 21,767,560
Total investments $121,114,925
Fair Value Measurement Using
56
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 3 RECEIVABLES
Significant receivable balances not expected to be collected within one year of December 31, 2024 are as follows:
Note 4 INTERFUND BALANCES AND TRANSFERS
A. INTERFUND BALANCES
The City had the following interfund balances at year-end:
Property Special
Taxes Assessments
Receivable Receivable Total
Major funds:
General Fund $734,100 $673 $734,773
Street Reconstruction Debt Service Fund - 3,198,269 3,198,269
Street Reconstruction Capital Project Fund - 6,385 6,385
State Aid Construction Fund - 131,407 131,407
Capital Improvement Fund - 31,230
Water and Sewer Utility Fund - 131,249 131,249
Nonmajor funds - 2,785 2,785
Total $734,100 $3,501,998 $4,204,868
Interfund Interfund
Loan Receivable Loan Payable
Due to/from other funds:
Major Funds:
Capital Improvement $180,780 $ -
Water and Sewer Utility 31,817 180,780
Brookview Operating - 63,635
Storm Sewer Utility 293,457 -
Nonmajor:
Winnetka / Medicine Lake Tax Increment - 261,639
Total 506,054 506,054
Advances to/from other funds:
Major Funds:
Capital Improvement - -
Water and Sewer Utility 671,925 -
Brookview Operating - 1,343,849
Storm Sewer Utility 1,366,924 -
Nonmajor:
Winnetka / Medicine Lake Tax Increment - 695,000
Total 2,038,849 2,038,849
Total Interfund balances $2,544,903 $2,544,903
57
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
B. DESCRIPTIONS OF ADVANCES
In 2015, the Capital Improvement Capital Project Fund advanced $1,800,000 to the Water and Sewer
Utility Enterprise Fund to finance an emergency pipe reconstruction project. The advance will be
repaid through annual payments due each October 31 from 2016 through 2025, consisting of $180,000
principal plus interest on the outstanding balance at 2.6%. Interest for 2024 was $9,360.
In 2016, the Storm Sewer Utility Enterprise Fund advanced $1,000,000 to the Winnetka/Medicine
Lake Tax Increment Capital Project Fund. The advance will be repaid through annual payments due
each February 1 from 2017 through 2036, consisting of principal at varying amounts plus interest on
the outstanding balance at 4.0%. Interest for 2024 was $31,600.
In 2018, the Storm Sewer Utility Enterprise Fund advanced $1,050,000 to the Winnetka/Medicine
Lake Tax Increment Capital Project Fund. The advance will be repaid through semiannual payments
due from February 1, 2019 through August 1, 2025, consisting of principal at varying amounts plus
interest on the outstanding balance at 4.0%. Interest for 2023 was $12,588.
In 2022, the Water and Sewer Utility Enterprise Fund and the Storm Sewer Utility Enterprise Fund
advanced $1,500,000 ($750,000 each) to the Brookview (Golf Course) Operating Enterprise Fund to
finance an irrigation system. The advance will be repaid through annual payments due each October 31
from 2023 through 2042, consisting of principal at varying amounts plus interest on the outstanding
balance at 4.0%. Interest for 2024 was $59,076.
C. INTERFUND TRANSFERS
Interfund transfers for the year ended December 31, 2024 were as follows:
Transfers In Transfers Out
Major Funds:
General $251,457 $3,375,000
American Rescue Plan Act - 1,026,457
Street Reconstruction Capital Project 1,000,000 -
Water and Sewer Utility 805,000
Motor Vehicle Operating - 30,000
Nonmajor 2,516,363 141,363
Total $4,572,820 $4,572,820
A description of these transfers is as follows:
$3,375,000 was transferred from the General Fund to various capital project funds to finance
current and future capital purchases for buildings, parks, equipment and HRA related projects.
$30,000 was transferred from the Motor Vehicle Operating fund to the General Fund as support
for the General Fund budget.
$141,363 was transferred from the Hwy 55 Tax Increment fund to the Hwy 55 West Bonds fund
to finance debt service payments.
$1,026,457 was transferred from the American Rescue Plan Act fund to the General fund and
Water and Sewer Utility fund to reimburse current year expenditures in the respective funds.
58
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 5 CAPITAL ASSETS
Capital asset activity for the year ended December 31, 2024 was as follows:
Beginning Ending
Balance Increases Decreases Balance
Governmental activities:
Capital assets, not being depreciated:
Land $3,527,685 $ - $ - $3,527,685
Construction in progress 15,483,702 7,941,596 10,536,845 12,888,453
Total capital assets, not being depreciated 19,011,387 7,941,596 10,536,845 16,416,138
Capital assets, being depreciated:
Land improvements 8,670,201 108,003 - 8,778,204
Buildings and improvements 29,925,464 1,714,326 - 31,639,790
Machinery and equipment 18,612,097 1,843,933 695,352 19,760,678
Infrastructure 146,235,973 9,171,933 - 155,407,906
Total capital assets being depreciated 203,443,735 12,838,195 695,352 215,586,578
Less accumulated depreciation for:
Land improvements 5,323,540 343,678 - 5,667,218
Buildings and improvements 13,460,744 602,210 - 14,062,954
Machinery and equipment 10,290,970 1,282,722 665,968 10,907,724
Infrastructure 98,794,220 5,198,896 - 103,993,116
Total accumulated depreciation 127,869,474 7,427,506 665,968 134,631,012
Total capital assets being depreciated - net 75,574,261 5,410,689 29,384 80,955,566
Governmental activities capital assets - net $94,585,648 $13,352,285 $10,566,229 $97,371,704
Business-type activities:
Capital assets, not being depreciated:
Land $993,912 $ - $ - $993,912
Construction in progress 19,784,699 3,127,237 6,909,128 16,002,808
Total capital assets, not being depreciated 20,778,611 3,127,237 6,909,128 16,996,720
Capital assets, being depreciated:
Land improvements 5,221,016 - - 5,221,016
Buildings and improvements 840,570 - - 840,570
Machinery and equipment 5,464,845 450,115 224,856 5,690,104
Infrastructure 61,490,776 6,909,128 - 68,399,904
Total capital assets, being depreciated 73,017,207 7,359,243 224,856 80,151,594
Less accumulated depreciation for:
Land improvements 2,925,299 51,880 - 2,977,179
Buildings and improvements 649,135 24,743 - 673,878
Machinery and equipment 3,770,817 351,107 206,226 3,915,698
Infrastructure 26,794,240 1,850,459 - 28,644,699
Total accumulated depreciation 34,139,491 2,278,189 206,226 36,211,454
Total capital assets being depreciated - net 38,877,716 5,081,054 18,630 43,940,140
Business-type activities capital assets - net $59,656,327 $8,208,291 $6,927,758 $60,936,860
59
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Depreciation expense was charged to the following functions:
Governmental activities:
General government $327,507
Community development 449,557
Public safety 382,399
Public works 5,716,921
Parks and recreation 548,535
Capital assets held by the City's internal service funds -
charged to the various functions on usage of the assets 2,587
Total depreciation expense - governmental activities $7,427,506
Business-type activities:
Utility (water and sewer) $1,058,391
Storm sewer utility 1,127,813
Brookview golf course operating 91,985
Total depreciation expense - business-type activities $2,278,189
60
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 6 LONG-TERM LIABILITIES
A. LONG-TERM LIABILITIES
Interest Issue Maturity Original Payable
Rates Date Date Issue 12/31/2024
Governmental Activities:
General obligation improvement bonds:
Improvement Bonds of 2012A 2.00-3.00% 5/15/2012 2/1/2032 $1,575,000 $400,000
Improvement Refunding Bonds of 2012C 2.00-2.25% 5/15/2012 2/1/2025 5,960,000 1,005,000
Improvement Bonds of 2013A 1.25-3.00% 5/21/2013 2/1/2033 1,735,000 785,000
Improvement Refunding Bonds of 2013B 2.00% 5/21/2013 2/1/2026 7,025,000 1,455,000
Improvement Bonds 2014A 1.00-3.40% 6/19/2014 2/1/2035 2,335,000 1,555,000
Improvement Refunding Bonds of 2014C 2.00-4.00% 6/19/2014 2/1/2027 3,950,000 2,025,000
Improvement Bonds of 2015A 3.00-3.50% 7/15/2015 2/1/2036 1,870,000 545,000
Improvement Refunding Bonds of 2015C 2.00-2.50% 7/15/2015 2/1/2028 6,600,000 4,465,000
Improvement Bonds of 2016A 2.00-3.00% 7/7/2016 2/1/2037 1,290,000 750,000
Improvement Bonds of 2017A 3.00-3.25% 7/20/2017 2/1/2038 2,580,000 1,725,000
Improvement Refunding Bonds of 2017A 3.00% 7/20/2017 2/1/2029 4,100,000 2,440,000
Improvement Refunding Bonds of 2017B 2.00-4.00% 7/20/2017 2/1/2028 765,000 295,000
Improvement Bonds of 2018A 3.00-3.375% 6/14/2018 2/1/2038 2,950,000 2,085,000
Improvement Bonds of 2019A 3.00-5.00% 7/18/2019 2/1/2039 1,770,000 1,570,000
Improvement Bonds of 2021A 1.50-3.00% 6/3/2021 2/1/2041 3,420,000 3,190,000
Improvement Bonds of 2022A 3.00-5.00% 5/5/2022 2/1/2042 3,895,000 3,665,000
Improvement Bonds of 2023A 4.00-5.00% 6/15/2023 2/1/2044 3,955,000 3,955,000
Improvement Bonds of 2024A 4.00-5.00% 4/9/2024 2/1/2040 3,230,000 3,230,000
Total general obligation improvement bonds 59,005,000 35,140,000
General obligation street reconstruction bonds:
Street Reconstruction Bonds of 2016C 2.13-4.00% 7/7/2016 2/1/2037 5,630,000 3,980,000
General obligation tax increment bonds:
Tax Increment Bonds of 2017B 2.00-4.00% 7/20/2017 2/1/2028 1,170,000 540,000
General obligation state aid street bonds:
State Aid Street Bonds of 2007A 4.00-4.125% 3/15/2007 4/1/2027 2,560,000 520,000
Lease revenue bonds:
2016C Lease Revenue Bonds (Brookview
Community Center)2.00-4.00% 10/19/2016 2/1/2037 17,410,000 12,715,000
Unamortized premiums 3,852,838 2,160,194
Compensated absences payable N/A 1,938,047
Total governmental activities $89,627,838 $56,993,241
Business-Type Activities:
General Obligation Revenue Bonds:
Utility Revenue Bonds of 2016D 2.13-3.00% 10/19/2016 2/1/2037 $2,580,000 $1,960,000
Unamortized bond premiums 41,745 25,289
Total business-type activities $2,621,745 $1,985,289
61
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
B. DESCRIPTION OF LONG-TERM LIABILITIES
G.O. Improvement Bonds – These bonds are payable primarily from special assessments levied on the
properties benefiting from the improvements funded by these issues. Any deficiencies in revenue to fund
these issues will be provided from general property taxes.
G.O. Street Reconstruction Bonds – The general obligation street reconstruction bonds, issued in
accordance with Minnesota Statutes § 475.58 to finance the cost of the Douglas Drive Street
Reconstruction Project, will be repaid primarily with ad valorem tax levies.
G.O. Tax Increment Bonds – The City has established tax increment financing (TIF) districts and issued
general obligation tax increment bonds in accordance with Minnesota Statutes, § 462.585 and § 273.77. It
is anticipated that the tax increment revenues, derived from the captured assessed value of property in the
tax increment district, will provide substantially all funds necessary to retire the bond principal and interest.
In addition, future tax levies may be placed on the tax rolls annually as scheduled for supplementary
financing.
G.O. State Aid Street Bonds – The general obligation state aid street bonds, issued in accordance with
Minnesota Statutes § 162.18 to finance various street improvements, will be repaid primarily with state aid.
HRA Lease Revenue Bonds – The 2016C Lease Revenue Bonds were issued to finance the construction of
the new Brookview Community Center. The bonds were issued by the HRA, a blended component unit of
the City. The funding for the debt is provided through a lease agreement between the City (as lessee) and
the HRA (as lessor), that requires the City to make rental payments sufficient to pay the debt service on the
bonds. Therefore, this bond issue has been included as an obligation of the City. Title to the facility will
transfer to the City upon completion of the lease agreement and repayment of the related debt.
G.O. Utility Revenue Bonds – These bonds were issued for improvements or projects that directly benefit
the Storm Sewer Utility Enterprise Fund and will be repaid from revenue sources of that fund.
62
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
C. DEBT SERVICE REQUIREMENTS TO MATURITY
Minimum annual payments to retire outstanding bonds are as follows:
D. REVENUE PLEDGED
Future revenue pledged for the payment of long-term debt is as follows:
Year Ending
December 31 Principal Interest Principal Interest Principal Interest
2025 $4,585,000 $1,107,383 $260,000 $111,063 $130,000 $12,513
2026 4,975,000 930,038 265,000 103,188 135,000 8,394
2027 4,075,000 797,332 275,000 96,463 135,000 5,188
2028 3,390,000 677,514 280,000 90,738 140,000 -
2029 2,115,000 582,628 285,000 84,556 - -
2030-2034 7,800,000 2,016,798 1,560,000 279,550 - -
2035-2039 5,910,000 840,569 1,055,000 48,225 - -
2040-2044 2,290,000 146,535 - - - -
Total $35,140,000 $7,098,797 $3,980,000 $813,783 $540,000 $26,095
Year Ending
December 31 Principal Interest Principal Interest Principal Interest
2025 $165,000 $18,047 $795,000 $407,675 $130,000 $49,800
2026 175,000 11,034 820,000 383,450 135,000 47,150
2027 180,000 3,713 845,000 358,475 135,000 43,775
2028 - - 870,000 332,750 140,000 39,650
2029 - - 900,000 301,700 145,000 36,009
2030-2034 - - 5,045,000 949,950 765,000 127,203
2035-2039 - - 3,440,000 156,750 510,000 23,250
2040-2044 - - - - - -
Total $520,000 $32,794 $12,715,000 $2,890,750 $1,960,000 $366,837
Revenue Bonds
Business-Type Activities
General Obligation HRA Lease
Utility Revenue Bonds
General Obligation Tax
Increment Bonds
Governmental Activities
General Obligation
General Obligation
Improvement Bonds
General Obligation Street
Reconstruction Bonds
Governmental Activities Governmental Activities
Governmental Activities Governmental Activities
State Aid Street Bonds
Percent of Remaining Principal Pledged
Use of Total Term of Principal and Interest Revenue
Bond Issue Proceeds Type Debt Service Pledge and Interest Paid Received
Utility Revenue Bonds, Storm sewer Utility charges 100%2016 -2037 $2,326,837 $182,400 $2,880,560
Series 2016D improvements
63
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
E. CHANGES IN LONG-TERM DEBT
Long-term debt activity for the year ended December 31, 2024 is as follows:
* The change in compensated absences is presented as a net change. Beginning balance is restated; see
Note 16 for details.
Note 7 COMPONENTS OF FUND BALANCE
At December 31, 2024, a summary of the governmental fund balance classifications is as follows:
Beginning Ending Due Within
Balance Additions Reductions Balance One Year
Governmental Activities:
G.O. improvement bonds $36,230,000 $3,230,000 $4,320,000 $35,140,000 $4,585,000
G.O. street reconstruction bonds 4,230,000 - 250,000 3,980,000 260,000
G.O. tax increment bonds 665,000 - 125,000 540,000 130,000
G.O. state aid street bonds 680,000 - 160,000 520,000 165,000
HRA lease revenue bonds 13,480,000 - 765,000 12,715,000 795,000
Unamortized premiums 1,945,637 444,260 229,703 2,160,194 -
Compensated absences* 1,879,531 58,516 - 1,938,047 1,481,253
Total governmental activities $59,110,168 $3,732,776 $5,849,703 $56,993,241 $7,416,253
Business-Type Activities:
G.O. utility revenue bonds $2,090,000 $ - $130,000 $1,960,000 $130,000
Unamortized premiums 27,346 - 2,057 25,289 -
Total business-type activities $2,117,346 $ - $132,057 $1,985,289 $130,000
Street Street Other
General Local Option Reconstruction State Aid Reconstruction Capital Governmental
Fund Sales Tax Debt Service Construction Capital Project Improvement Funds Total
Nonspendable:
Prepaid items $ - $ - $ - $ - $ - $ - $ - $ -
Restricted for:
Public safety 902,003 - - - - - 191,509 1,093,512
Building Forward plan - 7,441,770 - - - - - 7,441,770
Debt service - - 12,283,655 - - - 1,876,436 14,160,091
Street improvements - - - 8,055,976 3,843,631 - 945,019 12,844,626
Brookview Comm. Center - - - - - - 738,205 738,205
Cemetery maintenance - - - - - - 107,161 107,161
Redevelopment - - - - - - 3,232,970 3,232,970
Youth recreation - - - - - - 32,627 32,627
Total restricted 902,003 7,441,770 12,283,655 8,055,976 3,843,631 - 7,123,927 39,650,962
Committed for:
Human service needs - - - - - - 161,831 161,831
Assigned for:
Remote fire station 612,910 - - - - - - 612,910
Self-insurance 2,000,000 - - - - - - 2,000,000
Street improvements - - - - 5,918,562 - 165,915 6,084,477
Capital improvements - - - - - 6,180,072 3,070,646 9,250,718
Cable improvements - - - - - - 201,837 201,837
Equipment replacement - - - - - - 4,029,568 4,029,568
Park improvements - - - - - - 1,001,752 1,001,752
Total assigned 2,612,910 - - - 5,918,562 6,180,072 8,469,718 23,181,262
Unassigned 23,027,742 - - - - - (4,411) 23,023,331
Total fund balance $26,542,655 $7,441,770 $12,283,655 $8,055,976 $9,762,193 $6,180,072 $15,751,065 $86,017,386
The City’s fund balance policy includes a goal of maintaining an unassigned fund balance in the General Fund for
working capital of 60% of current year budgeted expenditures.
64
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 8 OTHER POST-EMPLOYMENT BENEFITS (OPEB) PLAN
A. PLAN DESCRIPTION
The City provides post-employment insurance benefits to certain eligible employees through its OPEB
Plan, a single-employer defined benefit plan administered by the City. All post-employment benefits are
based on contractual agreements with employee groups. Eligibility for these benefits is based on years of
service and/or minimum age requirements. These contractual agreements do not include any specific
contribution or funding requirements. The Plan does not issue a publicly available financial report. No plan
assets are accumulated in a trust that meets the criteria in paragraph 4 of Governmental Accounting
Standards Board (GASB) Statement No. 75.
B. BENEFITS PROVIDED
All retirees of the City upon retirement have the option under state law to continue their medical insurance
coverage through the City. For members of certain employee groups, the City pays for all or part of the
eligible retiree’s premiums for medical and/or dental insurance from the time of retirement until the
employee reaches the age of eligibility for Medicare. Benefits paid by the City differ by bargaining unit and
date of hire, with some contracts specifying a certain dollar amount per month, and some covering
premium costs as defined within each collective bargaining agreement. Retirees not eligible for these City-
paid premium benefits must pay the full City premium rate for their coverage.
The City is legally required to include any retirees for whom it provides health insurance coverage in the
same insurance pool as its active employees until the retiree reaches Medicare eligibility, whether the
premiums are paid by the City or the retiree. Consequently, participating retirees are considered to receive a
secondary benefit known as an “implicit rate subsidy.” This benefit relates to the assumption that the retiree
is receiving a more favorable premium rate than they would otherwise be able to obtain if purchasing
insurance on their own, due to being included in the same pool with the City’s younger and statistically
healthier active employees.
For police officers or firefighters disabled in the line-of-duty, Minnesota Statutes require the City to
continue payment of the employer’s contribution toward health coverage for the police officer or firefighter
and their spouse, if the spouse was covered at the time of disability, until age 65.
C. CONTRIBUTIONS
The required contribution is based on projected pay-as-you-go financing requirements, with additional
amounts to prefund benefits as determined periodically by the City. The City’s current year required pay-
as-you-go contributions to finance the benefits described in the previous section totaled $120,127.
D. MEMBERSHIP
Membership in the Plan consisted of the following as of the latest actuarial valuation:
Retirees and beneficiaries receiving benefits 11
Active plan members 125
Total members 136
65
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
E.TOTAL OPEB LIABILITY
The total OPEB liability of $2,461,826 was measured as of December 31, 2023 and was determined by an
actuarial valuation (census data) as of December 31, 2023.
F.ACTUARIAL METHODS AND ASSUMPTIONS
The total OPEB liability was determined using the entry-age normal cost method and the following
actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified:
Since the Plan is not funded by an irrevocable trust, the discount rate is equal to the 20-year municipal bond
yield rate of 3.77%, which was set by considering published rate information for 20-year high quality, tax-
exempt, general obligation municipal bonds as of the measurement date.
The actuarial assumptions used in the latest valuation were based on those used to value pension liabilities
for the state-wide PERA pension plans. The PERA plans base their assumptions on periodic experience
studies. Mortality rates were based on the mortality tables used in the PERA plan of which the employee,
retiree, or beneficiary is a participant.
Future retirees electing coverage is assumed to be 40 percent. Married future retirees electing spouse
coverage is assumed to be 35 percent (60 percent for police and fire personnel).
Assumption changes since the prior measurement date include the following:
The discount rate was changed from 4.05% to 3.77%.
G.CHANGES IN THE TOTAL OPEB LIABILITY
Details of the changes in the total OPEB liability are as follows:
Discount rate 3.77%
20-year municipal bond yield 3.77%
Inflation rate 2.60%
Healthcare cost trend rate 7.75%, grading to 4.00% in year 2043
Changes for the year:
Service cost $136,421
Interest cost 109,822
Changes of benefit terms -
Differences between expected
and actual experience (392,789)
Changes in assumptions 124,108
Benefit payments (181,959)
Net changes (204,397)
Balance - beginning of year 2,666,223
Balance - end of year $2,461,826
66
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
H. TOTAL OPEB LIABILITY SENSITIVITY TO DISCOUNT AND HEALTHCARE COST TREND
RATE CHANGES
The following presents the total OPEB liability, as well as what the City’s total OPEB liability would be if
it were calculated using a discount rate that is 1 percentage point lower or 1 percentage point higher than
the current discount rate:
Current
1% Decrease Discount Rate 1% Increase
Total OPEB liability $2,649,529 $2,461,826 $2,291,095
The following presents the total OPEB liability, as well as what the City’s total OPEB liability would be if
it were calculated using healthcare cost trend rates that are 1 percentage point lower or 1 percentage point
higher than the current healthcare cost trend rates:
Current Healthcare
1% Decrease Cost Trend Rates 1% Increase
Total OPEB liability $2,299,900 $2,461,826 $2,644,695
I. OPEB EXPENSE AND RELATED DEFERRED OUTFLOWS OF RESOURCES AND DEFERRED
INFLOWS OF RESOURCES
The City recognized OPEB expense of $106,267 in 2024. As of year-end, the City reported deferred
outflows of resources and deferred inflows of resources related to OPEB from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Difference between expected and
actual experience $1,159,212 $649,431
Changes in actuarial assumptions 262,878 702,224
Contributions paid subsequent to the
measurement date 120,127 -
Total $1,542,217 $1,351,655
The $120,127 reported as deferred outflows of resources related to OPEB resulting from City contributions
subsequent to the measurement date will be recognized as a reduction of the OPEB liability during the year
ending December 31, 2025. Other amounts reported as deferred outflows and inflows of resources related
to OPEB will be recognized in OPEB expense as follows:
Year Ended OPEB
December 31, Expense
2025 ($9,849)
2026 (9,948)
2027 (13,978)
2028 (5,413)
2029 31,602
Thereafter 78,021
$70,435
67
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 9 DEFINED BENEFIT PENSION PLANS – PERA
A. PLAN DESCRIPTION
The City participates in the following cost-sharing multiple-employer defined benefit pension plans
administered by the Public Employees Retirement Association of Minnesota (PERA). Plan provisions are
established and administered according to Minnesota Statutes, Chapters 353, 353D, 353E, 353G and 356.
Minnesota Statutes Chapter 356 defines each plan’s financial reporting requirements. PERA’s defined
benefit pension plans are tax qualified plans under Section 401(a) of the Internal Revenue Code.
1. General Employees Retirement Plan (General Plan)
Membership in the General Plan includes employees of counties, cities, townships, schools in non-
certified positions, and other governmental entities whose revenues are derived from taxation, fees, or
assessments. Plan membership is required for any employee who is expected to earn more than $425
in a month, unless the employee meets exclusion criteria.
2. Public Employees Police and Fire Retirement Plan (Police and Fire Plan)
Membership in the Police and Fire Plan includes full-time, licensed police officers and firefighters who
meet the membership criteria defined in Minnesota Statutes section 353.64 and who are not earning
service credit in any other PERA retirement plan or local relief association for the same service.
Employers can provide Police and Fire Plan coverage for part-time positions and certain other public
safety positions by submitting a resolution adopted by the entity’s governing body. The resolution
must state that the position meets plan requirements.
B. BENEFITS PROVIDED
PERA provides retirement, disability, and death benefits. Benefit provisions are established by state statute
and can only be modified by the state legislature. Vested, terminated employees who are entitled to
benefits but are not receiving them yet, are bound by the provisions in effect at the time they last terminated
their public service. When a member is “vested,” they have earned enough service credit to receive a
lifetime monthly benefit after leaving public service and reaching an eligible retirement age. Members who
retire at or over their Social Security full retirement age with at least one year of service qualify for a
retirement benefit.
1. General Employees Plan Benefits
The General Employees Plan requires three years of service to vest. Benefits are based on a member’s
highest average salary for any five successive years of allowable service, age, and years of credit at
termination of service. Two methods are used to compute benefits for General Plan members.
Members hired prior to July 1, 1989 receive the higher of the Step or Level formulas. Only the Level
formula is used for members hired after June 30, 1989. Under the Step formula, General Plan
members receive 1.2% of the highest average salary for each of the first ten years of service and 1.7%
for each additional year. Under the Level formula, General Plan members receive 1.7% of the highest
average salary for all years of service. For members hired prior to July 1, 1989, a full retirement
benefit is available when age plus years of service equal 90 and normal retirement age is 65. Members
can receive a reduced requirement benefit as early as age 55 if they have three or more years of
service. Early retirement benefits are reduced by 0.25% for each month under age 65. Members with
30 or more years of service can retire at any age with a reduction of 0.25% for each month the member
is younger than age 62. The Level formula allows General Plan members to receive a full retirement
benefit at age 65 if they were first hired before July 1, 1989 or at age 66 if they were hired on or after
July 1, 1989. Early retirement begins at age 55 with an actuarial reduction applied to the benefit.
68
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Benefit increases are provided to benefit recipients each January. The postretirement increase is equal
to 50% of the cost-of-living adjustment (COLA) announced by the SSA, with a minimum increase of
at least 1% and a maximum of 1.5%. The 2024 annual increase was 1.5%. Recipients that have been
receiving the annuity or benefit for at least a full year as of the June 30 before the effective date of the
increase will receive the full increase. Recipients receiving the annuity or benefit for at least one
month but less than a full year as of the June 30 before the effective date of the increase will receive a
prorated increase.
2. Police and Fire Plan Benefits
Benefits for Police and Fire Plan members hired before July 1, 2010, are vested after three years of
service. Members hired on or after July 1, 2012, are 50% vested after five years and 100% vested after
ten years. After five years, vesting increased by 10% each full year of service until members are at
100% vested after ten years. Police and Fire Plan members receive a full retirement benefit when they
are age 55 and vested, or when their age plus their years of service equals 90 or greater if they were
first hired before July 1, 1989. Early retirement starts at age 50, and early retirement benefits are
reduced by 0.417% each month members are younger than age 55.
Benefit increases are provided to benefit recipients each January. The postretirement increase is fixed
at 1%. Recipients that have been receiving the annuity or benefit for at least 36 months as of the June
30 before the effective date of the increase will receive the full increase. Recipients receiving the
annuity or benefit for at least 25 months but less than 36 months as of the June 30 before the effective
date of the increase will receive a prorated increase.
C. CONTRIBUTIONS
Minnesota Statutes Chapters 353, 353E, 353G, and 356 set the rates for employer and employee
contributions. Contribution rates can only be modified by the state legislature.
1. General Employees Fund Contributions
General Plan members were required to contribute 6.50% of their annual covered salary in fiscal year
2024 and the City was required to contribute 7.50% for General Plan members. The City’s
contributions to the General Employees Fund for the year ended December 31, 2024 were $831,274.
The City’s contributions were equal to the required contributions as set by state statute.
2. Police and Fire Fund Contributions
Police and Fire Plan members were required to contribute 11.80% of their annual covered salary in
fiscal year 2024 and the City was required to contribute 17.70% for Police and Fire Plan members.
The City’s contributions to the Police and Fire Fund for the year ended December 31, 2024 were
$628,260. The City’s contributions were equal to the required contributions as set by state statute.
69
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
D. PENSION COSTS
1. General Employees Fund Pension Costs
At December 31, 2024, the City reported a liability of $4,748,064 for its proportionate share of the
General Employee’s Fund net pension liability. The City’s net pension liability reflected a reduction
due to the State of Minnesota’s contribution of $16 million. The State of Minnesota is considered a
non-employer contributing entity and the state’s contribution meets the definition of a special funding
situation. The State of Minnesota’s proportionate share of the net pension liability associated with the
City totaled $122,775.
The net pension liability was measured as of June 30, 2024, and the total pension liability used to
calculate the net pension liability was determined by an actuarial valuation as of that date. The City’s
proportion of the net pension liability was based on the City’s contributions received by PERA during
the measurement period for employer payroll paid dates from July 1, 2023 through June 30, 2024,
relative to the total employer contributions received from all of PERA’s participating employers. The
City’s proportionate share was 0.1284% at the end of the measurement period and 0.1289% for the
beginning of the period.
City’s proportionate share of the net pension liability $4,748,064
State of Minnesota’s proportionate share of the net
pension liability associated with the City 122,775
Total $4,870,839
For the year ended December 31, 2024, the City recognized pension expense of $608,032 for its
proportionate share of the General Plan’s pension expense. In addition, the City recognized an
additional $3,292 as pension expense (and grant revenue) for its proportionate share of the State of
Minnesota’s contribution of $16 million to the General Employees Fund.
During the plan year ended June 30, 2024, the State of Minnesota contributed $170.1 million to the
General Employees Fund. The State of Minnesota is not included as a non-employer contributing
entity in the General Employees Plan pension allocation schedules for the $170.1 million in direct state
aid because this contribution was not considered to meet the definition of a special funding situation.
The City recognized $218,408 for the year ended December 31, 2024 as revenue and an offsetting
reduction of net pension liability for its proportionate share of the State of Minnesota’s on-behalf
contributions to the General Employees Fund.
At December 31, 2024, the City reported General Employees Fund deferred outflows of resources and
deferred inflows of resources related to pensions from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Differences between expected and
actual economic experience $446,381 $ -
Changes in actuarial assumptions 23,138 1,797,026
Net difference between projected and actual
earnings on pension plan investments - 1,385,352
Changes in proportion 211,226 26,333
Employer contributions
subsequent to the measurement date 432,974 -
Total $1,113,719 $3,208,711
70
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
The $432,974 reported as deferred outflows of resources related to pensions resulting from City
contributions subsequent to the measurement date will be recognized as a reduction of the net pension
liability in the year ended December 31, 2025. Other amounts reported as deferred outflows and
inflows of resources related to pensions will be recognized in pension expense as follows:
Year Ending Pension
December 31, Expense
2025 ($1,343,381)
2026 (230,174)
2027 (590,508)
2028 (363,903)
2029 -
Thereafter -
2. Police and Fire Fund Pension Costs
At December 31, 2024, the City reported a liability of $2,931,359 for its proportionate share of the
Police and Fire Fund’s net pension liability. The net pension liability was measured as of June 30,
2024 and the total pension liability used to calculate the net pension liability was determined by an
actuarial valuation as of that date. The City’s proportionate share of the net pension liability was based
on the City’s contributions received by PERA during the measurement period for employer payroll
paid dates from July 1, 2023 through June 30, 2024, relative to the total employer contributions
received from all of PERA’s participating employers. The City’s proportionate share was 0.2228% at
the end of the measurement period and 0.2185% for the beginning of the period.
The State of Minnesota contributed $37.4 million to the Police and Fire Fund during the plan fiscal
year ended June 30, 2024. The contribution consisted of $9 million in direct state aid that meets the
definition of a special funding situation, additional one-time direct state aid contribution of $19.4
million, and $9 million in supplemental state aid that does not meet the definition of a special funding
situation. Additionally, $9 million supplemental state aid was paid on October 1, 2024. Thereafter, by
October 1 of each year, the state will pay $9 million to the Police and Fire Fund until full funding is
reached or July 1, 2048, whichever is earlier. The $9 million in supplemental state aid will continue
until the fund is 90% funded, or until the State Patrol Plan (administered by the Minnesota State
Retirement System) is 90% funded, whichever occurs later. The State of Minnesota’s proportionate
share of the net pension liability associated with the City totaled $111,742.
City’s proportionate share of the net pension liability $2,931,359
State of Minnesota’s proportionate share of the net
pension liability associated with the City 111,742
Total $3,043,101
For the year ended December 31, 2024, the City recognized pension expense of $312,826 for its
proportionate share of the Police and Fire Plan’s pension expense. The City recognized an additional
$10,851 as pension expense (and grant revenue) for its proportionate share of the State of Minnesota’s
contribution of $9 million to the Police and Fire Fund special funding situation.
The State of Minnesota is not included as a non-employer contributing entity in the Police and Fire
Pension Plan pension allocation schedules for the $28.4 million in supplemental state aid, because this
contribution was not considered to meet the definition of a special funding situation. The City
recognized $63,279 for the year ended December 31, 2024 as revenue and an offsetting reduction of
net pension liability for its proportionate share of the State of Minnesota’s on-behalf contributions to
the Police and Fire Fund.
71
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
At December 31, 2024, the City reported Police and Fire Fund deferred outflows of resources and
deferred inflows of resources related to pensions from the following sources:
The $338,564 reported as deferred outflows of resources related to pensions resulting from City
contributions subsequent to the measurement date will be recognized as a reduction of the net pension
liability in the year ended December 31, 2025. Other amounts reported as deferred outflows and
inflows of resources related to pensions will be recognized in pension expense as follows:
The net pension liability will be liquidated by the general, water and sewer, golf course, motor vehicle,
and storm sewer funds.
E. ACTUARIAL ASSUMPTIONS
The total pension liability in the June 30, 2024 actuarial valuation was determined using the entry-age
normal actuarial cost method and the following actuarial assumptions:
Inflation 2.25% per year
Investment Rate of Return 7.00%
The long-term investment rate of return is based on a review of inflation and investment return assumptions
from a number of national investment consulting firms. The review provided a range of investment return
rates considered reasonable by the actuary. An investment return of 7.00% is within that range.
Benefit increases after retirement are assumed to be 1.25% for the General Plan and 1.00% for the Police
and Fire Plan.
Salary growth assumptions in the General Plan range in annual increments from 10.25% after one year of
service to 3.0% after 27 years of service. In the Police and Fire Plan, salary growth assumptions range in
annual increments from 11.75% after one year of service to 3.0% after 24 years of service.
Deferred Outflows Deferred Inflows
of Resources of Resources
Differences between expected and
actual economic experience $1,138,727 $ -
Changes in actuarial assumptions 3,201,555 4,314,902
Net difference between projected and actual
earnings on pension plan investments - 909,902
Changes in proportion 183,637 844,499
Employer contributions subsequent
to the measurement date 338,564 -
Total $4,862,483 $6,069,303
Year Ending Pension
December 31, Expense
2025 ($323,475)
2026 552,483
2027 (645,256)
2028 (1,225,815)
2029 96,679
Thereafter -
72
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Mortality rates for General Plan were based on the Pub-2010 General Employee Mortality Table. Mortality
rates for Police and Fire Plan were based on the Pub-2010 Public Safety Employee Mortality tables. The
tables are adjusted slightly to fit PERA’s experience.
Actuarial assumptions for General Plan are reviewed every four years. The General Plan was last reviewed
in 2022. The assumption changes were adopted by the board and became effective with the July 1, 2023
actuarial valuation. The Police and Fire Plan was reviewed in 2024. PERA anticipates the experience
study will be approved by the Legislative Commission on Pensions and Retirement and become effective
with the July 1, 2025 actuarial valuation.
The following changes in actuarial assumptions and plan provisions occurred in 2024:
General Employees Fund
Changes in Actuarial Assumptions:
Rates of merit and seniority were adjusted, resulting in slightly higher rates.
Assumed rates of retirement were adjusted as follows: increase the rate of assumed unreduced
retirements, slight adjustments to Rule of 90 retirement rates, and slight adjustments to early retirement
rates for Tier 1 and Tier 2 members.
Minor increase in assumed withdrawals for males and females.
Lower rates of disability.
Continued use of Pub-2010 general mortality table with slight rate adjustments as recommended in the
most recent experience study.
Minor changes to form of payment assumptions for male and female retirees.
Minor changes to assumptions made with respect to missing participant data.
Changes in Plan Provisions:
The workers’ compensation offset for disability benefits was eliminated. The actuarial equivalent
factors updated to reflect the changes in assumptions.
Police and Fire Fund
Changes in Plan Provisions:
The State contribution of $9.0 million per year will continue until the earlier of 1) both the Police &
Fire Plan and the State Patrol Retirement Fund attain 90 percent funded status for three consecutive
years (on an actuarial value of assets basis) or 2) July 1, 2048. The contribution was previously due to
expire after attaining a 90 percent funded status for one year.
The additional $9.0 million contribution will continue until the Police & Fire Plan is fully funded for a
minimum of three consecutive years on an actuarial value of assets basis, or July 1, 2048, whichever is
earlier. This contribution was previously due to expire upon attainment of fully funded status on an
actuarial value of assets basis for one year (or July 1, 2048 if earlier).
73
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
The State Board of Investment, which manages the investments of PERA, prepares an analysis of the
reasonableness on a regular basis of the long-term expected rate of return using a building-block method in
which best-estimate ranges of expected future rates of return are developed for each major asset class.
These ranges are combined to produce an expected long-term rate of return by weighting the expected
future rates of return by the target asset allocation percentages. The target allocation and best estimates of
geometric real rates of return for each major asset class are summarized in the following table:
F. DISCOUNT RATE
The discount rate used to measure the total pension liability in 2024 was 7.00%. The projection of cash
flows used to determine the discount rate assumed that contributions from plan members and employers
will be made at rates set in Minnesota Statutes. Based on these assumptions, the fiduciary net position of
the General Plan and Police and Fire Plan were projected to be available to make all projected future
benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan
investments was applied to all periods of projected benefit payments to determine the total pension liability.
G. PENSION LIABILITY SENSITIVITY
The following presents the City’s proportionate share of the net pension liability, calculated using the
discount rate disclosed in the preceding paragraph, as well as what the City’s proportionate share of the net
pension liability would be if it were calculated using a discount rate one percentage point lower (6.00%) or
one percentage point higher (8.00%) than the current discount rate:
1% Decrease in Current 1% Increase in
Discount Rate Discount Rate Discount Rate
Proportionate share of the
General Plan net pension liability $10,370,537 $4,748,064 $123,068
Proportionate share of the Police and
Fire Plan net pension liability $6,927,374 $2,931,359 ($350,205)
H. PENSION PLAN FIDUCIARY NET POSITION
Detailed information about each pension plan’s fiduciary net position is available in a separately-issued
PERA financial report that includes financial statements and required supplementary information. That
report may be obtained at www.mnpera.org.
Target Long-Term Expected
Asset Class Allocation Real Rate of Return
Domestic equity 33.5% 5.10%
International equity 16.5% 5.30%
Fixed income 25% 0.75%
Private markets 25% 5.90%
Total 100%
74
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
I. PENSION EXPENSE
Pension expense recognized by the City for the year ended December 31, 2024 is as follows:
Note 10 DEFINED BENEFIT PENSION PLAN – FIRE RELIEF ASSOCIATION
A. PLAN DESCRIPTION
Members of the Golden Valley Fire Department (the Department) are covered by a defined benefit pension
plan administered by the Golden Valley Fire Relief Association (the Association). As of December 31,
2023, the measurement date of the most recent actuarial valuation, the plan covered 46 active firefighters
and 6 vested terminated firefighters whose pension benefits are deferred. The plan is a single-employer
retirement plan and is established and administered in accordance with Minnesota Statutes, Chapter 353G.
B. BENEFITS PROVIDED
A firefighter who completes at least 20 years as an active member of the Department is entitled, after age
50, to a full service pension upon retirement.
The bylaws of the Association also provide for an early vested service pension for a retiring member who
has completed fewer than 20 years of service. The reduced pension, available to members with 10 years of
service, shall be equal to 60% of the pension as described by the bylaws. This percentage increases 4% per
year so that at 20 years of service, the full amount prescribed is paid. Members who retire with less than 20
years of service and have reached the age of 50 years, and have completed at least 10 years of active
membership, are entitled to a reduced service pension not to exceed the amount calculated by multiplying
the member’s service pension for the completed years of service times the applicable nonforfeitable
percentage of pension.
C. CONTRIBUTIONS
Minnesota Statutes, Chapters 424 and 424A authorize pension benefits for volunteer fire relief associations.
The plan is funded by fire state aid, investment earnings, and, if necessary, employer contributions as
specified in Minnesota Statutes and voluntary City contributions (if applicable). Required employer
contributions are calculated annually based on statutory provisions. The City’s statutorily-required
contributions to the plan for the year ended December 31, 2023 were $0. The City’s contributions were
equal to the required contributions as set by state statutes. The City made no voluntary contributions to the
plan. Furthermore, the firefighter has no obligation to contribute to the plan.
For the year ended December 31, 2024, the City recognized pension expense of ($24,581). The City also
recognized $238,796 as revenue for the state of Minnesota’s on-behalf contributions to the plan.
General Plan $611,324
Police and Fire Plan 323,677
Fire Relief (Note 10) (24,581)
Total $910,420
75
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
D. PENSION COSTS
At December 31, 2024, the City reported a net pension asset of $2,131,253 for the plan. The net pension
asset was measured as of December 31, 2023. The total pension liability used to calculate the net pension
asset in accordance with GASB Statement No. 68 was determined by applying an actuarial formula to
specific census data certified by the Department as of December 31, 2022.
The following table presents the changes in net pension asset during the year:
At December 31, 2024, the City reported deferred inflows of resources and deferred outflows of resources
related to pensions from the following sources:
Plan
Total Fiduciary Net
Pension Net Pension
Liability Position Asset
(a) (b) (b-a)
Beginning balance $3,815,049 $5,156,877 $1,341,828
Changes for the year:
Service cost 302,368 - (302,368)
Interest on total pension liability 237,984 - (237,984)
Actual experience (gains)/losses - - -
Projected investment earnings - - -
Changes in benefit level - - -
Contributions - employer - - -
Contributions - State of MN - 221,424 221,424
Asset gain/(loss) - 1,117,703 1,117,703
Benefit payouts (302,023) (302,023) -
Administrative fees - (9,350) (9,350)
Net changes 238,329 1,027,754 789,425
Ending balance $4,053,378 $6,184,631 $2,131,253
Deferred Outflows Deferred Inflows
of Resources of Resources
Difference between expected and $33,657 $404,768
actual liability
Changes in actuarial assumptions 83,089 6,415
Difference between projected and
actual investment earnings - 18,168
Contributions paid subsequent to the
measurement date 238,796 -
Total $355,542 $429,351
76
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Deferred outflows and inflows of resources totaling $238,796 related to pensions resulting from the City’s
contributions of state aid received and passed through to the plan subsequent to the measurement date will
be recognized in the year ending December 31, 2025. Other amounts reported as deferred outflows and
inflows of resources related to the plan will be recognized in pension expense as follows:
Year Ending Pension
December 31, Expense
2025 ($105,757)
2026 6,508
2027 122,912
2028 (210,553)
2029 (44,244)
Thereafter (81,471)
E. ACTUARIAL METHODS AND ASSUMPTIONS
The total pension liability was determined using the entry-age normal actuarial cost method and the
following actuarial assumptions:
Inflation rate 2.50%
Cost of living increases 0.00%
Investment rate of return 6.00%
There were no changes in actuarial assumptions during 2023.
The target allocation and best-estimates of geometric real rates of return for each major asset class are
summarized in the following table:
Target Long-term Expected
Asset Class Allocation Real Rate of Return
Domestic equity 63%4.10%
International equity 12%4.64%
Fixed income 18%1.05%
Real estate and alternatives 0%3.54%
Cash and equivalents 7%-0.45%
100%
F. DISCOUNT RATE
The discount rate used to measure the total pension liability was 6.00%. The projection of cash flows used
to determine the discount rate assumed that contributions to the plan will be made as specified in state
statutes. Based on that assumption and considering the funding ratio of the plan, the fiduciary net position
was projected to be available to make all projected future benefit payments of current active and inactive
members. Therefore, the long-term expected rate of return on pension plan investments was applied to all
periods of projected benefit payments to determine the total pension liability.
77
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
G. NET PENSION ASSET SENSITIVITY
The following presents the net pension asset for the plan, calculated using the discount rate of 6.00%, as
well as what the net pension asset would be if it were calculated using a discount rate 1 percent lower or 1
percent higher than the current discount rate:
1% Decrease in Current 1% Increase in
Discount Rate Discount Rate Discount Rate
Net pension asset $2,050,262 $2,131,253 $2,210,835
H. PENSION PLAN FIDUCIARY NET POSITION
The Association issues a publicly available financial report that includes financial statements and required
supplementary information. This report may be obtained at the Golden Valley City Hall.
Note 11 TAX INCREMENT FINANCING DISTRICTS AND TAX ABATEMENTS
The City is the administering authority for the following tax increment financing (TIF) districts:
The creation of TIF districts as authorized under Minnesota Statutes, Chapter 469.178, is a common economic
development vehicle used to spur economic development and redevelopment. In these districts, tax increment
revenue is generated on the incremental increase in value of the improved property above a base value established
on the date that the TIF district is created, which may be used to assist in financing the improvements to the property
within the TIF district.
North Wirth Highway 55 Cornerstone Winnetka/
Redevelopment West Creek Medicine Lake
District No. 1505 District No. 1506 District No. 1507 District No. 1508
Authorizing law M.S 469 M.S 469 M.S 469 M.S 469
Year established 2004 2013 2015 2015
First tax increment 2005 2017 2018 2018
Duration of district 25 years 15 years 25 years 25 years
Tax capacity - taxes payable 2023*
Original $6,650 $53,990 $8,870 $51,288
Current 44,560 603,920 44,858 758,695
Captured - retained $37,910 $549,930 $35,988 $707,407
G.O. tax increment bonds issued $ - $1,170,000 $ - $ -
Principal payments - 630,000 - -
Outstanding at December 31, 2024 $ - $540,000 $ - $ -
*2024 tax capacity information not yet available.
78
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
The City may enter into private development and redevelopment agreements to encourage the construction,
expansion, or improvement of new or existing properties and buildings or clean-up and redevelop blighted areas
within these areas. These agreements may in substance be tax abatements depending on their individual
circumstances. The City currently has two such agreements that would be considered a tax abatement under GASB
Statement No. 77.
In 2009, the City entered into a development agreement with a private developer for a property in the North Wirth
Redevelopment Tax Increment District. As part of this agreement, the City has agreed to reimburse the developer for
certain environmental remediation costs through a pay-as-you-go tax increment note. The 0% interest note provides
for the payment of principal equal to the developer’s costs. Payments on the note will be made at the lesser of the
scheduled note payments or the actual net tax increment received during the period specified in the agreement,
ending February 1, 2027. The note will be cancelled at the end of the agreement term, whether it has been fully
repaid or not. This note is not included in the City’s long-term debt, because repayment is required only to the extent
sufficient tax increments are received. The City’s position is that this is an obligation to assign future and uncertain
revenue sources and, as such, is not actual debt in-substance. The outstanding principal balance of this note as of
December 31, 2024 is $36,392, and tax increment revenue rebated was $24,239 for 2024.
In 2015, the City entered into a development agreement with a private developer for a property in the Highway 55
West Tax Increment District. As part of this agreement, the City has agreed to reimburse the developer for certain
environmental remediation costs through a pay-as-you-go tax increment note. The note provides for the payment of
principal equal to the developer’s costs, plus interest at 5.5%. Payments on the note will be made at the lesser of the
scheduled note payments or the actual net tax increment received during the period specified in the agreement,
ending February 1, 2037. The note will be cancelled at the end of the agreement term, whether it has been fully
repaid or not. This note is not included in the City’s long-term debt, because repayment is required only to the extent
sufficient tax increments are received. The City’s position is that this is an obligation to assign future and uncertain
revenue sources and, as such, is not actual debt in-substance. The outstanding principal balance of this note as of
December 31, 2024 is $1,273,609, and tax increment revenue rebated was $449,812 for 2024.
In 2015, the City entered into a development agreement with a private developer for a property in the Cornerstone
Creek Tax Increment District. As part of this agreement, the City has agreed to reimburse the developer for certain
environmental remediation costs through a pay-as-you-go tax increment note. The note provides for the payment of
principal equal to the developer’s costs, plus interest at 5.5%. Payments on the note will be made at the lesser of the
scheduled note payments or the actual net tax increment received during the period specified in the agreement,
ending February 1, 2044. The note will be cancelled at the end of the agreement term, whether it has been fully
repaid or not. This note is not included in the City’s long-term debt, because repayment is required only to the extent
sufficient tax increments are received. The City’s position is that this is an obligation to assign future and uncertain
revenue sources and, as such, is not actual debt in-substance. The outstanding principal balance of this note as of
December 31, 2024 is $633,881, and tax increment revenue rebated was $36,479 for 2024.
79
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 12 JOINT POWERS AGREEMENT
A.BASSETT CREEK WATER MANAGEMENT COMMISSION
The City is a member of a joint powers agreement, together with the cities of Medicine Lake, Plymouth,
Robbinsdale, Minneapolis, Minnetonka, New Hope, Crystal, and St. Louis Park, which establishes the
authority for the Bassett Creek Water Management Commission (the Commission). The Commission was
created to provide for the improvement and development of Bassett Creek as a storm sewer to channel
storm waters from member communities to the Mississippi River. Each member city is entitled to appoint
one representative to the Commission. The nine-member commission develops a budget for the year each
July 1. Each member city contributes funds to cover the budgeted costs of the operations based half on the
assessed valuation of all taxable property, and half on the total area each member city has within the
boundaries of the watershed. Any capital costs incurred by the Commission are apportioned to the members
based half on the real property valuation of each member city within the watershed, and half on the total
area of each member city within the boundaries of the watershed.
The following financial information is from the Commission’s audited financial statements for the year
ended January 31, 2025, which are available at Golden Valley City Hall:
Of the total revenue, $622,500 represented assessments to member cities. The City’s portion was $159,957,
or 25.7%, of total assessments paid by members.
B.JOINT WATER COMMISSION (JWC)
The City is a member of a joint powers agreement, together with the cities of Crystal and New Hope, which
established a JWC. The JWC was created in 1963 to provide for the creation and maintenance of a joint
water supply, storage, and distribution system through which water purchased from the City of Minneapolis
can be supplied to the population of the member cities.
Each member city is entitled to appoint one member to the JWC. Original construction costs were allocated
to the member cities based on percentages agreed upon in the joint powers agreement. All subsequent
operating and maintenance costs are apportioned to and paid by each member city on the basis of water
usage. Under the terms of the joint powers agreement, upon termination the accumulated assets of the JWC
shall be divided amongst the member cities in a manner to be determined and unanimously approved by the
member cities. Because the manner in which the JWC’s assets would be divided upon termination is not
specified, it is not practical for the City to determine its portion of JWC assets. Therefore, the City’s Water
and Sewer Utility Enterprise Fund does not record any amount as an equity investment or contributed
capital (for construction costs paid by other funds) related to the JWC.
Total assets $9,517,226
Total liabilities 617,824
Net position $8,899,402
Revenue $3,566,881
Expenses 2,320,629
Changes in net position $1,246,252
80
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
The following financial information is from the JWC’s audited financial statements for the year ended
December 31, 2024, which are available at Golden Valley City Hall:
Total assets $25,201,653
Total liabilities 1,042,302
Net position $24,159,351
Revenue $10,686,980
Expenses 8,957,492
Changes in net position $1,729,488
Of the total revenues, $8,417,451 represented assessments paid by member cities. Of the total member
assessments, $4,136,306, or 49.1%, was paid by the City.
During 2024, the JWC reimbursed the City $292,556 for project costs paid by the City for improvements to
an existing capital asset owned by the JWC.
Note 13 CONTINGENCIES AND COMMITMENTS
A. LEGAL CLAIMS
The City has the usual and customary type of miscellaneous legal claims pending at year-end. Although the
outcome of these lawsuits is not presently determinable, the City’s management believes that the City will
not incur any material monetary loss resulting from these claims. No loss has been recorded on the City’s
financial statements relating to these claims.
B. FEDERAL AND STATE RECEIVABLES
Amounts recorded or receivable from federal and state agencies are subject to agency audit and adjustment.
Any disallowed claims, including amounts already collected, may constitute a liability of the applicable
funds. The amount, if any, of claims which may be disallowed by the grantor agencies cannot be
determined at this time, although the City expects such amounts, if any, to be immaterial.
C. TAX INCREMENT DISTRICTS
The City’s tax increment districts are subject to review by the Office of the State Auditor. Any disallowed
claims or misuse of tax increments could become a liability of the applicable fund. Management has
indicated that they are not aware of any instances of noncompliance which would have a material effect on
the financial statements.
D. CONSTRUCTION COMMITMENTS
At December 31, 2024, the City is committed to various construction contracts for the improvement of City
property. The City’s remaining commitment under these contracts is approximately $5,830,000.
81
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 14 DEFICIT FUND BALANCES/NET POSITION
At December 31, 2024, the Lodging Tax special revenue fund reported a deficit fund balance of $3,825. The deficit
will be eliminated with future lodging tax collections.
At December 31, 2024, the Sentinel Tax Increment capital project fund reported a deficit fund balance of $586. The
deficit will be eliminated with future tax increment collections.
At December 31, 2024, the Payroll Benefits Internal Service Fund reported a deficit net position of $12,112,530.
The deficit is due to the fund reporting the City’s proportionate share of net pension liabilities related to two state-
wide, cost-sharing, multiple-employer defined benefit pension plans administered by the PERA, as described earlier
in these notes. This deficit will be eliminated through the future funding of these liabilities.
Note 15 RECENTLY ISSUED ACCOUNTING STANDARDS
The Governmental Accounting Standards Board (GASB) recently approved the following statements which were
not implemented for these financial statements:
Statement No. 102 Certain Risk Disclosures. The provisions of this Statement are effective for reporting
periods beginning after June 15, 2024.
Statement No. 103 Financial Reporting Model Improvements. The provisions of this Statement are effective
for fiscal years beginning after June 15, 2025.
Statement No. 104 Disclosure of Certain Capital Assets. The provisions of this Statement are effective for
fiscal years beginning after June 15, 2025.
The effect these standards may have on future financial statements is not determinable at this time.
Note 16 CORRECTION OF AN ERROR IN PREVIOUSLY ISSUED FINANCIAL STATEMENTS
During 2024, the City determined that $110,251 of expenditures related to a maintenance project were incurred
during 2023 but were not recorded until 2024. Therefore, fund balance/net position in the Capital Improvement
Fund and Governmental Activities were overstated as of December 31, 2023. The effect of correcting this error is
shown in the table below.
Additionally, it was determined the compensated absences liability did not include an accrual for termination
benefits. This caused compensated absences payable within the Payroll Benefits Internal Service Fund to be
understated by $318,214 as of December 31, 2023. The effect of correcting this error is reflected in the table below.
Governmental Capital Payroll
Activities Improvement Benefits
December 31, 2023, as previously reported $105,232,343 $1,452,158 ($12,245,028)
Error correction relating to:
Project expenditures (110,251)(110,251) -
Compensated absences (318,214) - (318,214)
December 31, 2023, as restated $104,803,878 $1,341,907 ($12,563,242)
Reporting Units Affected by
Restatement of Beginning Balance
82
CITY OF GOLDEN VALLEY, MINNESOTA
NOTES TO FINANCIAL STATEMENTS
December 31, 2024
Note 17 SUBSEQUENT EVENTS
On June 17, 2025, the City Council approved the $6.9 million purchase of property at 6100 Olson Memorial
Highway, which will become home to the new Public Works Facility. This investment in the City’s facilities will be
funded through local sales tax revenue, which was approved by voters in November 2023.
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84
REQUIRED SUPPLEMENTARY INFORMATION
85
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 10
BUDGETARY COMPARISON SCHEDULE - GENERAL FUND
For The Year Ended December 31, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
Revenue:
Property taxes $26,613,525 $26,613,525 $25,684,437 ($929,088)
Special assessments - - 11,219 11,219
Licenses and permits 1,603,955 1,603,955 3,429,390 1,825,435
Intergovernmental revenue 39,280 39,280 115,110 75,830
Charges for services 1,610,790 1,610,790 1,445,245 (165,545)
Fines and forfeits 76,640 76,640 140,190 63,550
Investment income 125,000 125,000 1,328,792 1,203,792
Other revenue 11,500 11,500 250,309 238,809
Total revenues 30,080,690 30,080,690 32,404,692 2,324,002
Expenditures:
Current:
General government:
City Council and Boards 314,920 314,920 351,516 (36,596)
City Manager 864,435 899,435 987,641 (88,206)
Administrative services 2,461,185 2,461,185 2,332,564 128,621
Finance 1,457,800 1,457,800 1,483,239 (25,439)
Legal services and City Clerk 775,795 850,795 952,971 (102,176)
Risk management 380,000 380,000 389,690 (9,690)
Total general government 6,254,135 6,364,135 6,497,621 (133,486)
Community development:
Administration 374,135 374,135 254,941 119,194
Planning 523,380 523,380 438,982 84,398
Inspections 1,015,405 1,015,405 1,018,545 (3,140)
Engineering 697,635 697,635 589,512 108,123
Total community development 2,610,555 2,610,555 2,301,980 308,575
Public safety:
Police 8,393,560 8,533,560 8,058,085 475,475
Fire 2,318,220 2,318,220 2,039,588 278,632
Total public safety 10,711,780 10,851,780 10,097,673 754,107
Public works:
Building operations 992,560 992,560 960,010 32,550
Street maintenance 2,893,675 2,893,675 2,666,024 227,651
Park maintenance 1,744,915 1,744,915 1,758,817 (13,902)
Total public works 5,631,150 5,631,150 5,384,851 246,299
Parks and recreation:
Administration 1,084,010 1,084,010 906,401 177,609
Recreation programs 444,060 444,060 299,076 144,984
Total parks and recreation 1,528,070 1,528,070 1,205,477 322,593
Total expenditures 26,735,690 26,985,690 25,487,602 1,498,088
Revenue over (under) expenditures 3,345,000 3,095,000 6,917,090 3,822,090
Other financing sources (uses):
Transfers in 30,000 30,000 251,457 221,457
Transfers out (3,375,000) (3,375,000) (3,375,000) -
Total other financing sources (uses)(3,345,000) (3,345,000) (3,123,543)221,457
Net change in fund balance $ - ($250,000) 3,793,547 $4,043,547
Fund balance - January 1 22,749,108
Fund balance - December 31 $26,542,655
Budgeted Amounts
See accompanying notes to the required supplementary information.
86
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 11
SCHEDULE OF CHANGES IN THE TOTAL OPEB LIABILITY AND RELATED RATIOS
For The Last Ten Years
Fiscal year ended December 31, 2024 2023 2022 2021 2020 2019 2018
Measurement date December 31, 2023 2022 2021 2020 2019 2018 2017
Total OPEB liability:
Service cost $136,421 $174,337 $161,504 $131,927 $110,996 $144,892 $133,055
Interest 109,822 64,505 41,206 48,057 84,722 72,136 71,708
Differences between expected and actual experience (392,789) 3,547 1,548,305 4,583 (620,986) - -
Changes in assumptions 124,108 (444,717) (396,763) 122,651 125,655 (101,648) 50,539
Benefit payments (181,959) (176,888) (182,035) (89,561) (81,242) (62,128) (72,237)
Net change in total OPEB liability (204,397) (379,216) 1,172,217 217,657 (380,855) 53,252 183,065
Total OPEB liability - beginning of year 2,666,223 3,045,439 1,873,222 1,655,565 2,036,420 1,983,168 1,800,103
Total OPEB liability - end of year $2,461,826 $2,666,223 $3,045,439 $1,873,222 $1,655,565 $2,036,420 $1,983,168
Covered-employee payroll $15,500,000 $14,700,000 $14,000,000 $10,100,000 $10,100,000 $10,100,000 $9,700,000
Total OPEB liability as a percentage
of covered-employee payroll 15.9% 18.1% 21.8% 18.5% 16.4% 20.2% 20.4%
There are no plan assets accumulated in a trust that meet the criteria in paragraph 4 of GASB Statement No. 75 to pay these benefits.
The schedule is provided prospectively beginning with the City's fiscal year ended December 31, 2018 and is intended to show a ten year trend.
Additional years will be added as they become available.
See accompanying notes to the required supplementary information.
87
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 12
SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY -
GENERAL EMPLOYEES RETIREMENT FUND
For The Last Ten Years
City's
State's Proportionate Plan
Proportionate Share of the Fiduciary
City's City's Share (Amount) Net Pension Net Position
Proportionate Proportionate of the Liability as a as a
Share Share (Amount) Net Pension Percentage of Percentage
Measurement Fiscal Year (Percentage) of of the Liability its Covered of the Total
Date Ending the Net Pension Net Pension Associated with Total Covered Payroll Pension
June 30 December 31 Liability Liability (a) the City (b) (a+b) Payroll (c) (a/c) Liability
2015 2015 0.1085% $5,623,033 $ - $5,623,033 $6,374,138 88.2% 78.2%
2016 2016 0.1072% 8,704,108 113,679 8,817,787 6,649,482 130.9% 68.9%
2017 2017 0.1107% 7,067,015 88,825 7,155,840 7,128,621 99.1% 75.9%
2018 2018 0.1088% 6,035,778 198,039 6,233,817 7,313,615 82.5% 79.5%
2019 2019 0.1132% 6,258,574 194,492 6,453,066 8,008,282 78.2% 80.2%
2020 2020 0.1148% 6,882,784 212,348 7,095,132 8,189,223 84.0% 79.1%
2021 2021 0.1176% 5,022,047 153,374 5,175,421 8,466,921 59.3% 87.0%
2022 2022 0.1262% 9,995,080 293,026 10,288,106 9,452,797 105.7% 76.7%
2023 2023 0.1289% 7,207,944 198,768 7,406,712 10,253,907 70.3% 83.1%
2024 2024 0.1284% 4,748,064 122,775 4,870,839 10,862,028 43.7% 89.1%
See accompanying notes to the required supplementary information.
88
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 13
SCHEDULE OF PENSION CONTRIBUTIONS - GENERAL EMPLOYEES RETIREMENT FUND
For The Last Ten Years
Statutorily Contributions in Contribution Contributions as a
Fiscal Year Required Relation to the Deficiency Covered Percentage of
Ending Contribution Statutorily Required (Excess)Payroll Covered
December 31 (a)Contribution (b) (a-b)(c)Payroll (b/c)
2015 $509,632 $509,632 $ - $6,795,097 7.50%
2016 507,606 507,606 - 6,768,463 7.50%
2017 522,131 522,131 - 6,961,749 7.50%
2018 580,703 580,703 - 7,742,669 7.50%
2019 611,979 611,979 - 8,159,717 7.50%
2020 621,390 621,390 - 8,285,192 7.50%
2021 665,363 665,363 - 8,871,502 7.50%
2022 743,653 743,653 - 9,915,373 7.50%
2023 806,132 806,132 - 10,748,431 7.50%
2024 831,274 831,274 - 11,084,737 7.50%
See accompanying notes to the required supplementary information.
89
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 14
SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY -
PUBLIC EMPLOYEES POLICE AND FIRE FUND
For The Last Ten Years
City's
State's Proportionate Plan
Proportionate Share of the Fiduciary
City's City's Amount Net Pension Net Position
Proportionate Proportionate of the Liability as a as a
Percentage Amount Net Pension Percentage of Percentage
Measurement Fiscal Year of the of the Liability its Covered of the Total
Date Ending Net Pension Net Pension Associated with Total Covered Payroll Pension
June 30 December 31 Liability Liability (a) the City (b) (a+b) Payroll (c) (a/c)Liability
2015 2015 0.3230% $3,670,036 $ - $3,670,036 $2,955,388 124.2%86.6%
2016 2016 0.3190% 12,802,028 - 12,802,028 3,072,358 416.7%63.9%
2017 2017 0.3190% 4,306,880 - 4,306,880 3,274,040 131.5%85.4%
2018 2018 0.3157% 3,365,037 - 3,365,037 3,327,398 101.1%88.8%
2019 2019 0.3331% 3,546,186 - 3,546,186 3,511,202 101.0%89.3%
2020 2020 0.3216% 4,239,033 99,871 4,338,904 3,627,488 116.9%87.2%
2021 2021 0.3083% 2,379,749 106,967 2,486,716 3,643,415 65.3%93.7%
2022 2022 0.2575% 11,205,382 489,606 11,694,988 3,128,100 358.2%70.5%
2023 2023 0.2185% 3,773,211 151,987 3,925,198 2,869,152 136.8%86.5%
2024 2024 0.2228% 2,931,359 111,742 3,043,101 3,085,391 98.6%90.2%
See accompanying notes to the required supplementary information.
90
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 15
SCHEDULE OF PENSION CONTRIBUTIONS - PUBLIC EMPLOYEES POLICE AND FIRE FUND
For The Last Ten Years
Statutorily Contributions in Contribution Contributions as a
Fiscal Year Required Relation to the Deficiency Covered Percentage of
Ending Contribution Statutorily Required (Excess)Payroll Covered
December 31 (a)Contribution (b) (a-b)(c)Payroll (b/c)
2015 $507,642 $507,642 $ - $3,133,590 16.20%
2016 506,383 506,383 - 3,125,427 16.20%
2017 519,363 519,363 - 3,205,941 16.20%
2018 550,962 550,962 - 3,400,997 16.20%
2019 609,750 609,750 - 3,597,346 16.95%
2020 644,673 644,673 - 3,642,224 17.70%
2021 607,647 607,647 - 3,433,032 17.70%
2022 532,121 532,121 - 3,006,333 17.70%
2023 505,929 505,929 - 2,858,356 17.70%
2024 628,260 628,260 - 3,549,489 17.70%
See accompanying notes to the required supplementary information.
91
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF CHANGES IN THE NET PENSION ASSET AND RELATED RATIOS -
GOLDEN VALLEY FIRE DEPARTMENT RELIEF ASSOCIATION
For The Last Ten Years
City fiscal year ended December 31, 2024 2023 2022 2021
Relief Association fiscal year ended December 31,
(measurement date) 2023 2022 2021 2020
Total pension liability:
Service cost $302,368 $255,272 $188,583 $183,925
Interest 237,984 237,579 183,308 198,850
Differences between expected and actual experience - (315,306) - (183,732)
Changes in assumptions - 40,078 - 38,609
Changes in benefit terms - 523,732 833,556 120,267
Benefit payments (302,023) (652,192) (222,200) (754,557)
Net change in total pension liability 238,329 89,163 983,247 (396,638)
Total pension liability - beginning 3,815,049 3,725,886 2,742,639 3,139,277
Total pension liability - ending (a)$4,053,378 $3,815,049 $3,725,886 $2,742,639
Plan fiduciary net position:
Contributions (state and local)$221,424 $211,529 $194,195 $187,368
Net investment income 1,117,703 (1,233,055) 1,038,155 893,892
Benefit payments (302,023) (652,192) (222,200) (754,557)
Administrative expense (9,350)(23,321)(17,935)(15,442)
Net change in plan fiduciary net position 1,027,754 (1,697,039) 992,215 311,261
Total plan fiduciary net position - beginning 5,156,877 6,853,916 5,861,701 5,550,440
Total plan fiduciary net position - ending (b)$6,184,631 $5,156,877 $6,853,916 $5,861,701
Net pension asset - ending (b) - (a)$2,131,253 $1,341,828 $3,128,030 $3,119,062
Plan fiduciary net position as a percentage of the
total pension liability 152.58% 135.17% 183.95% 213.72%
The Relief Association is comprised of paid on-call firefighters whose pay does not meet the definition of covered payroll.
See accompanying notes to the required supplementary information.
92
Statement 16
2020 2019 2018 2017 2016 2015
2019 2018 2017 2016 2015 2014
$171,251 $174,845 $165,540 $169,611 $162,663 $158,309
202,299 228,505 244,540 221,030 198,248 189,130
- (124,858) - 175,353 - -
- 60,574 24,168 - (44,179) -
120,568 78,567 - 69,254 - -
(361,231) (776,390) (328,180) (307,251) (110,208) (332,858)
132,887 (358,757) 106,068 327,997 206,524 14,581
3,006,390 3,365,147 3,259,079 2,931,082 2,724,558 2,709,977
$3,139,277 $3,006,390 $3,365,147 $3,259,079 $2,931,082 $2,724,558
$174,486 $169,606 $161,767 $153,252 $148,972 $143,581
1,092,687 (259,687) 849,121 414,106 (20,626) 335,884
(361,231) (776,390) (328,180) (307,251) (110,208) (332,858)
(16,518)(18,459)(12,778)(16,889)(15,827)(16,509)
889,424 (884,930) 669,930 243,218 2,311 130,098
4,661,016 5,545,946 4,876,016 4,632,798 4,630,487 4,500,389
$5,550,440 $4,661,016 $5,545,946 $4,876,016 $4,632,798 $4,630,487
$2,411,163 $1,654,626 $2,180,799 $1,616,937 $1,701,716 $1,905,929
176.81% 155.04% 164.81% 149.61% 158.06% 169.95%
See accompanying notes to the required supplementary information.
93
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION Statement 17
SCHEDULE OF CONTRIBUTIONS
GOLDEN VALLEY FIRE DEPARTMENT RELIEF ASSOCIATION
For The Last Ten Years
City Contributions
Statutorily Contribution
Fiscal Year Required Actual Deficiency
Ending Contributions Contributions (Excess)Non-employer
December 31 (a)(b)(a-b)2% State Aid
2015 $ - $ - $ - $148,972
2016 - - - 153,252
2017 - - - 161,767
2018 - - - 169,606
2019 - - - 174,486
2020 - - - 187,368
2021 - - - 194,195
2022 - - - 211,529
2023 - - - 219,424
2024 - - - 238,796
See accompanying notes to the required supplementary information.
94
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2024
Note A LEGAL COMPLIANCE – BUDGETS
The City’s budget is prepared on a modified accrual basis of accounting. The City has established budgetary control
at the division level. City management may transfer appropriations within divisions but needs City Council approval
before exceeding the budget at that level.
Note B PENSION INFORMATION
PERA – General Employees Retirement Fund
2024 Changes in Actuarial Assumptions:
The following changes in assumptions are effective with the July 1, 2024 valuation, as recommended in the
most recent experience study (dated June 29, 2023):
Rates of merit and seniority were adjusted, resulting in slightly higher rates.
Assumed rates of retirement were adjusted as follows: increase the rate of assumed unreduced
retirements, slight adjustments to Rule of 90 retirement rates, and slight adjustments to early retirement
rates for Tier 1 and Tier 2 members.
Minor increase in assumed withdrawals for males and females.
Lower rates of disability.
Continued use of Pub-2010 general mortality table with slight rate adjustments as recommended in the
most recent experience study.
Minor changes to form of payment assumptions for male and female retirees.
Minor changes to assumptions made with respect to missing participant data.
2024 Changes in Plan Provisions:
The workers’ compensation offset for disability benefits was eliminated. The actuarial equivalent
factors updated to reflect the changes in assumptions.
2023 Changes in Actuarial Assumptions:
The investment return assumption and single discount rate were changed from 6.50% to 7.00%.
2023 Changes in Plan Provisions:
An additional one-time direct state aid contribution of $170.1 million was contributed to the Plan on
October 1, 2023.
The vesting period of those hired after June 30, 2010, was changed from five years of allowable
service to three years of allowable service.
The benefit increase delay for early retirements on or after January 1, 2024, was eliminated.
A one-time, non-compounding benefit increase of 2.50% minus the actual 2024 adjustment will be
payable in a lump sum for calendar year 2024 by March 31, 2024.
2022 Changes in Actuarial Assumptions:
The mortality improvement scale was changed from Scale MP-2020 to Scale MP-2021.
2021 Changes in Actuarial Assumptions:
The investment return and single discount rates were changed from 7.50% to 6.50% for financial
reporting purposes.
The mortality improvement scale was changed from Scale MP-2019 to Scale MP-2020.
95
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2024
2020 Changes in Actuarial Assumptions:
The price inflation assumption was decreased from 2.50% to 2.25%.
The payroll growth assumption was decreased from 3.25% to 3.00%.
Assumed salary increase rates were decreased 0.25% and assumed rates of retirement were changed
resulting in more unreduced (normal) retirements and slightly fewer Rule of 90 and early retirements.
Assumed rates of termination and disability were also changed.
Base mortality tables were changed from RP-2014 tables to Pub-2010 tables, with adjustments.
The mortality improvement scale was changed from Scale MP-2018 to Scale MP-2019.
The spouse age difference was changed from two years older for females to one year older.
The assumed number of married male new retirees electing the 100% Joint & Survivor option changed
from 35% to 45%. The assumed number of married female new retirees electing the 100% Joint &
Survivor option changed from 15% to 30%. The corresponding number of married new retirees
electing the Life annuity option was adjusted accordingly.
2020 Changes in Plan Provisions:
Augmentation for current privatized members was reduced to 2.0% for the period July 1, 2020 through
December 31, 2023 and 0.0% after. Augmentation was eliminated for privatizations occurring after
June 30, 2020.
2019 Changes in Actuarial Assumptions:
The mortality projection scale was changed from MP-2017 to MP-2018.
2019 Changes in the Plan Provisions:
The employer supplemental contribution was changed prospectively, decreasing from $31.0 million to
$21.0 million per year. The State’s special funding contribution was changed prospectively, requiring
$16.0 million due per year through 2031.
2018 Changes in Actuarial Assumptions:
The mortality projection scale was changed from MP-2015 to MP-2017.
The assumed benefit increase was changed from 1.00% per year through 2044 and 2.50% per year
thereafter to 1.25% per year.
2017 Changes in Actuarial Assumptions:
The Combined Service Annuity (CSA) loads were changed from 0.8% for active members and 60%
for vested and non-vested deferred members. The revised CSA loads are now 0.0% for active member
liability, 15.0% for vested deferred member liability and 3.0% for non-vested deferred member
liability.
The assumed post-retirement benefit increase rate was changed from 1.0% per year for all years to
1.0% per year through 2044 and 2.5% per year thereafter.
2016 Changes in Actuarial Assumptions:
The assumed post-retirement benefit increase rate was changed from 1.0% per year through 2035 and
2.5% per year thereafter to 1.0% per year for all future years.
The assumed investment return was changed from 7.9% to 7.5%. The single discount rate was changed
from 7.9% to 7.5%.
Other assumptions were changed pursuant to the experience study dated June 30, 2015. The assumed
future salary increases, payroll growth, and inflation were decreased by 0.25% to 3.25% for payroll
growth and 2.50% for inflation.
96
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2024
PERA – Public Employees Police and Fire Fund
2024 Changes in Plan Provisions:
The State contribution of $9.0 million per year will continue until the earlier of 1) both the Police &
Fire Plan and the State Patrol Retirement Fund attain 90 percent funded status for three consecutive
years (on an actuarial value of assets basis) or 2) July 1, 2048. The contribution was previously due to
expire after attaining a 90 percent funded status for one year.
The additional $9.0 million contribution will continue until the Police & Fire Plan is fully funded for a
minimum of three consecutive years on an actuarial value of assets basis, or July 1, 2048, whichever is
earlier. This contribution was previously due to expire upon attainment of fully funded status on an
actuarial value of assets basis for one year (or July 1, 2048 if earlier).
2023 Changes in Actuarial Assumptions:
The investment return assumption was changed from 6.50% to 7.00%.
The single discount rate changed from 5.40% to 7.00%.
2023 Changes in Plan Provisions:
An additional one-time direct state aid contribution of $19.4 million was contributed to the Plan on
October 1, 2023.
Vesting requirement for new hires after June 30, 2014, was changed from a graded 20-year vesting
schedule to a graded 10-year vesting schedule, with 50% vesting after five years, increasing
incrementally to 100% after 10 years.
A one-time, non-compounding benefit increase of 3.00% will be payable in a lump sum for calendar
year 2024 by March 31, 2024.
Psychological treatment is required effective July 1, 2023, prior to approval for a duty disability
benefit for a psychological condition relating to the member’s occupation.
The total and permanent duty disability benefit was increased, effective July 1, 2023.
2022 Changes in Actuarial Assumptions:
The single discount rate changed from 6.50% to 5.4%.
The mortality improvement scale was changed from Scale MP-2020 to Scale MP-2021.
2021 Changes in Actuarial Assumptions:
The investment return and single discount rates were changed from 7.50% to 6.50% for financial
reporting purposes.
The inflation assumption was changed from 2.50% to 2.25%.
The payroll growth assumption was changed from 3.25% to 3.00%.
The base mortality tables for healthy annuitants, disabled annuitants and employees were changed
from RP-2014 tables to Pub-2010 Public Safety Mortality tables. The mortality improvement scale
was changed from MP-2019 to MN-2020.
Assumed salary increase and retirement rates were modified as recommended in the July 14, 2020
experience study. The changes result in a decrease in gross salary increase rates, slightly more
unreduced retirements and fewer assumed early retirements.
Assumed rates of withdrawal were changed from select and ultimate rates to service-based rates. The
changes result in more assumed terminations.
Assumed rates of disability were increased for ages 25-44 and decreased for ages over 49. Overall,
proposed rates result in more projected disabilities.
Assumed percent married for active female members was changed from 60% to 70%.
2020 Changes in Actuarial Assumptions:
The mortality projection scale was changed from MP-2018 to MP-2019.
97
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2024
2019 Changes in Actuarial Assumptions:
The mortality projection scale was changed from MP-2017 to MP-2018.
2018 Changes in Actuarial Assumptions:
The mortality projection scale was changed from MP-2016 to MP-2017.
2017 Changes in Actuarial Assumptions:
The single discount rate was changed from 5.6% to 7.5%.
Assumed salary increases were changed as recommended in the June 30, 2016 experience study. The
net effect is proposed rates that average 0.34% lower than the previous rates.
Assumed rates of retirement were changed, resulting in fewer retirements.
The Combined Service Annuity (CSA) load was 30% for vested and non-vested deferred members.
The CSA was changed to 33% for vested members and 2% for non-vested members.
The base mortality table for healthy annuitants was changed from the RP-2000 fully generational table
to the RP-2014 fully generational table (with a base year of 2006), with male rates adjusted by a factor
of 0.96. The mortality improvement scale was changed from Scale AA to Scale MP-2016. The base
mortality table for disabled annuitants was changed from the RP-2000 disabled mortality table to the
mortality tables assumed for healthy retirees.
Assumed termination rates were decreased to 3% for the first three years of service. Rates beyond the
select period of three years were adjusted, resulting in more expected terminations overall.
Assumed percentage of married female members was decreased from 65% to 60%.
Assumed age difference was changed from separate assumptions for male members (wives assumed to
be three years younger) and female members (husbands assumed to be four years older) to the
assumption that males are two years older than females.
The assumed percentage of female members electing Joint and Survivor annuities was increased.
The assumed post-retirement benefit increase rate was changed from 1.00% for all years to 1.00% per
year through 2064 and 2.50% thereafter.
2016 Changes in Actuarial Assumptions:
The assumed post-retirement benefit increase rate was changed from 1.0% per year through 2037 and
2.5% per year thereafter to 1.0% per year for all future years.
The assumed investment return was changed from 7.9% to 7.5%. The single discount rate changed
from 7.9% to 5.6%.
The assumed future salary increases, payroll growth, and inflation were decreased by 0.25% to 3.25%
for payroll growth and 2.50% for inflation.
Golden Valley Fire Department Relief Association
2024 Changes in Actuarial Assumptions and Plan Provisions:
None
2023 Changes in Actuarial Assumptions:
The expected investment return and discount rate decreased from 6.50% to 6.00%.
The mortality assumptions were updated from the rates used in the July 1, 2020 Minnesota PERA
PEPFF actuarial valuation to the ratios used in the July 1, 2022 Minnesota PERA PEPFF actuarial
valuation.
The inflation assumption increased from 2.25% to 2.50%.
Retirement assumptions were updated to reflect the change in the vesting schedule.
98
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2024
2023 Changes in Plan Provisions:
The plan benefit level increased $12,200 to $13,000 per year of service.
The vesting schedule was updated to reflect a bylaw change effective December 2022, reducing the
years of service required for full vesting from 20 to 10 years, and for partial vesting from 10 to 5 years.
2022 Changes in Plan Provisions:
The plan benefit level increased from $9,200 to $12,200 per year of service.
2021 Changes in Actuarial Assumptions:
The expected investment return and discount rate decreased from 6.75% to 6.50% to reflect updated
market assumptions.
The mortality assumptions were updated from the rates used in July 1, 2018 Minnesota PERA PEPFF
actuarial valuation to the ratios used in the July 1, 2020 Minnesota PERA PEPFF actuarial valuation.
The inflation assumption decreased from 2.50% to 2.25%.
2021 Changes in Plan Provisions:
The plan benefit level increased from $8,700 to $9,200 per year of service.
2020 Changes in Plan Provisions
The plan benefit level increased from $8,300 to $8,700 per year of service.
2019 Changes in Actuarial Assumptions:
The actuarial assumptions for the single discount rate decreased from 7.25% to 6.75%.
The inflation assumption was updated from 2.75% to 2.50%.
The mortality and withdrawal assumptions were updated to the rates used in the July 1, 2018
Minnesota PERA Minnesota Police and Fire Plan actuarial valuation.
2019 Changes in Plan Provisions:
The plan benefit level increased from $8,000 to $8,300 per year of service.
2018 Changes in Actuarial Assumptions:
The actuarial assumptions for the single discount rate decreased from 7.50% to 7.25%.
2017 Changes in Plan Provisions:
The plan benefit level increased from $7,500 to $8,000 per year of service.
2016 Changes in Actuarial Assumptions:
The actuarial assumptions for the single discount rate increased from 7.00% to 7.50%.
Other Post-Employment Benefit Plan
2024 Changes in Actuarial Assumptions:
The discount rate was changed from 4.05% to 3.77%
Future retiree and retiree spouse participation rates were updated based on analysis of past plan
experience.
Future medical plan blending was updated based on an analysis of medical plan election rates as of the
valuation date.
Medical per capita claims tables were updated based on recent experience and demographics
2023 Changes in Actuarial Assumptions:
The discount rate was changed from 2.06% to 4.05%.
99
CITY OF GOLDEN VALLEY, MINNESOTA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO RSI
December 31, 2024
2022 Changes in Actuarial Assumptions:
The discount rate was changed from 2.12% to 2.06%.
The general inflation rate was changed from 2.00% to 2.50%
The healthcare trend rates, claims rates, and withdrawal, retirement, mortality, disability, and salary
scale assumptions were updated for changes in recent studies and valuations.
Future retiree and retiree spouse participation rates were updated based on analysis of past plan
experience.
Future medical plan blending was updated based on an analysis of medical plan election rates as of the
valuation date.
2021 Changes in Actuarial Assumptions:
The actuarial assumptions for the single discount rate decreased from 2.74% to 2.12%.
2020 Changes in Actuarial Assumptions:
The actuarial assumptions for the single discount rate increased from 4.09% to 2.74%.
The healthcare cost trend rate, mortality tables and payroll growth rates were updated for changes in
recent experience studies and inflationary adjustment since the previous valuation.
2019 Changes in Actuarial Assumptions:
The actuarial assumptions for the single discount rate increased from 3.44% to 4.09%.
2018 Changes in Actuarial Assumptions:
The actuarial assumptions for the single discount rate decreased from 4.50% to 3.44%.
100
COMBINING AND INDIVIDUAL NONMAJOR
FUND FINANCIAL STATEMENTS AND SCHEDULES
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102
NONMAJOR GOVERNMENTAL FUNDS
103
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104
NONMAJOR FUND DESCRIPTIONS
SPECIAL REVENUE FUNDS
Community Services Commission – used to account for fundraising and pull-tab gambling
proceeds remitted to the City by various nonprofit organizations that run charitable gambling
operations within the City’s limits. The monies are committed to support organizations or
programs that address human service needs in the City.
Cemetery – used to account for monies received from cemetery plot sales. These funds are
restricted for maintenance of the City-owned cemetery.
DWI Enforcement – used to account for monies received from DWI-related fines and
forfeitures. These funds are restricted for DWI enforcement and education.
VOTF – used to account for grants and other funding restricted for the Violent Offenders
Task Force.
HRA General – used to account for the general activities of the City’s HRA, a blended
component unit.
Brookview Community Center – used to account for the revenues and expenditures of the
Brookview Community Center facility.
Lodging Tax – used to account for lodging taxes submitted by hotels and motels in the City
and the disbursement of those taxes.
Noah Joynes Youth Recreation – used to account for contributions to the City’s parks and
recreation department to provide assistance in supporting youth programs.
DEBT SERVICE FUNDS
Brookview Lease Revenue Bonds – used to account for accumulation of, resources for, and
payment of debt service on bonds sold to finance the construction of the Brookview
Community Center.
Douglas Drive Reconstruction Bonds – used to account for accumulation of, resources for,
and payment of debt service on bonds sold to finance the reconstruction of Douglas Drive.
Highway 55 West Bonds – used to account for accumulation of, resources for, and payment
of debt service on bonds sold to finance improvements on Highway 55 West.
105
CAPITAL PROJECT FUNDS
Building Fund – used to provide financing for major capital improvements made to the City’s
buildings.
Cable Improvement Fund – used to provide for the ongoing capital equipment needs
necessary to support cable television public access and local programming.
Park Capital Improvement Fund – used to provide financing for major improvements to the
City’s parks and open space areas.
Equipment Replacement Fund – used to provide financing for major vehicle and equipment
purchases for the City’s General Fund divisions.
HRA Capital Project Fund – used to account for the activity of the City’s HRA housing
program and the redevelopment activity in the City’s tax increment districts.
Tax Increment Financing District Funds (North Wirth No. 1505, Highway 55 West No. 1506,
Cornerstone Creek No. 1507, Winnetka/Medicine Lake No. 1508 and Sentinel No. 1509) –
TIF districts are used by the City to spur economic development and redevelopment.
Douglas Drive Improvement Fund – used to account for street improvements related to
Douglas Drive.
106
CITY OF GOLDEN VALLEY, MINNESOTA
COMBINING BALANCE SHEET Statement 18
NONMAJOR GOVERNMENTAL FUNDS
December 31, 2024
Special Revenue Debt Service Capital Projects Totals
Assets:
Cash and investments $1,480,378 $1,876,436 $13,709,393 $17,066,207
Accounts receivable 111,938 - - 111,938
Due from other governmental units - - 8,032 8,032
Special assessments receivable - 86,648 5,571 92,219
Total assets $1,592,316 $1,963,084 $13,722,996 $17,278,396
Liabilities:
Accounts payable $23,791 $ - $222,660 $246,451
Due to other governmental units 41,189 - 6,540 47,729
Due to other funds - - 261,639 261,639
Contracts payable - - 14,566 14,566
Deposits payable 161,041 - 8,686 169,727
Advances from other funds - - 695,000 695,000
Total liabilities 226,021 - 1,209,091 1,435,112
Deferred inflows of resources:
Unavailable revenue - special assessments - 86,648 5,571 92,219
Total deferred inflows of resources - 86,648 5,571 92,219
Fund balance:
Restricted 1,208,289 1,876,436 4,039,202 7,123,927
Committed 161,831 - - 161,831
Assigned - - 8,469,718 8,469,718
Unassigned (3,825) - (586)(4,411)
Total fund balance 1,366,295 1,876,436 12,508,334 15,751,065
Total liabilities, deferred inflows of
resources, and fund balances $1,592,316 $1,963,084 $13,722,996 $17,278,396
107
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108
CITY OF GOLDEN VALLEY, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 19
CHANGES IN FUND BALANCE
NONMAJOR GOVERNMENTAL FUNDS
For The Year Ended December 31, 2024
Special Revenue Debt Service Capital Projects Total
Revenue:
Property taxes $ - $1,193,822 $277,981 $1,471,803
Tax increments - - 1,577,062 1,577,062
Special assessments - 39,275 11,816 51,091
Franchise taxes - 369,213 - 369,213
Local taxes 171,932 - - 171,932
Intergovernmental revenue - - 156,004 156,004
Charges for services 529,973 - - 529,973
Investment income 58,005 33,091 502,800 593,896
Other revenue 64,393 - 65,630 130,023
Total revenues 824,303 1,635,401 2,591,293 5,050,997
Expenditures:
Current:
General government 61,316 - - 61,316
Community development 821 - 1,056,645 1,057,466
Public safety 1,050 - - 1,050
Parks and recreation 484,839 - - 484,839
Capital outlay 198,547 - 2,630,674 2,829,221
Debt service:
Principal - 1,215,000 - 1,215,000
Interest and fiscal charges - 584,182 39,305 623,487
Total expenditures 746,573 1,799,182 3,726,624 6,272,379
Revenue over (under) expenditures 77,730 (163,781) (1,135,331) (1,221,382)
Other financing sources (uses):
Sale of capital assets - - 162,165 162,165
Transfers in - 141,363 2,375,000 2,516,363
Transfers out - - (141,363)(141,363)
Total other financing sources (uses) - 141,363 2,395,802 2,537,165
Net change in fund balance 77,730 (22,418) 1,260,471 1,315,783
Fund balance - January 1 1,288,565 1,898,854 11,247,863 14,435,282
Fund balance - December 31 $1,366,295 $1,876,436 $12,508,334 $15,751,065
109
CITY OF GOLDEN VALLEY, MINNESOTA
SUBCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS
December 31, 2024
Community
Services DWI
Commission Cemetery Enforcement
Assets:
Cash and investments $157,315 $107,161 $30,937
Accounts receivable 6,463 - -
Total assets $163,778 $107,161 $30,937
Liabilities:
Accounts payable $1,947 $ - $ -
Due to other governments - - -
Deposits payable - - -
Total liabilities 1,947 - -
Fund balance:
Restricted - 107,161 30,937
Committed 161,831 - -
Unassigned - - -
Total fund balance 161,831 107,161 30,937
Total liabilities, deferred inflows of
resources, and fund balances $163,778 $107,161 $30,937
110
Statement 20
Brookview
Community Noah Joynes
VOTF HRA General Center Lodging Tax Youth Recreation Total
$160,572 $140,860 $837,874 $13,153 $32,506 $1,480,378
- - 97,241 8,113 121 111,938
$160,572 $140,860 $935,115 $21,266 $32,627 $1,592,316
$ - $ - $21,844 $ - $ - $23,791
- - 16,098 25,091 - 41,189
- 2,073 158,968 - - 161,041
- 2,073 196,910 25,091 - 226,021
160,572 138,787 738,205 - 32,627 1,208,289
- - - - - 161,831
- - - (3,825) - (3,825)
160,572 138,787 738,205 (3,825)32,627 1,366,295
$160,572 $140,860 $935,115 $21,266 $32,627 $1,592,316
111
CITY OF GOLDEN VALLEY, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR SPECIAL REVENUE FUNDS
For The Year Ended December 31, 2024
Community
Services DWI
Commission Cemetery Enforcement
Revenue:
Charges for services $ - $ - $ -
Investment income - 5,411 1,354
Other revenue:
Lodging taxes - - -
Lawful gambling proceeds 41,459 - -
Contributions 19,274 - -
Total revenues 60,733 5,411 1,354
Expenditures:
Current:
General government 61,316 - -
Community development - - -
Public safety - - 1,050
Parks and recreation - - -
Capital outlay - - -
Total expenditures 61,316 - 1,050
Revenue over (under) expenditures (583)5,411 304
Fund balance - January 1 162,414 101,750 30,633
Fund balance - December 31 $161,831 $107,161 $30,937
112
Statement 21
Brookview
Community Noah Joynes
VOTF HRA General Center Lodging Tax Youth Recreation Total
$ - $ - $529,973 $ - $ - $529,973
6,937 5,975 37,180 - 1,148 58,005
- - - 171,932 - 171,932
- - - - - 41,459
- - - - 3,660 22,934
6,937 5,975 567,153 171,932 4,808 824,303
- - - - - 61,316
- 821 - - - 821
- - - - - 1,050
- - 484,790 - 49 484,839
- - 39,867 158,680 - 198,547
- 821 524,657 158,680 49 746,573
6,937 5,154 42,496 13,252 4,759 77,730
153,635 133,633 695,709 (17,077)27,868 1,288,565
$160,572 $138,787 $738,205 ($3,825)$32,627 $1,366,295
113
CITY OF GOLDEN VALLEY, MINNESOTA
SUBCOMBINING BALANCE SHEET Statement 22
NONMAJOR DEBT SERVICE FUNDS
December 31, 2024
Brookview Douglas Drive
Lease Revenue Reconstruction Hwy 55 West
Bonds Bonds Bonds Total
Assets:
Cash and investments $1,491,416 $316,668 $68,352 $1,876,436
Special assessments receivable - - 86,648 86,648
Total assets $1,491,416 $316,668 $155,000 $1,963,084
Liabilities:
Accounts payable $ - $ - $ - $ -
Deferred inflows of resources:
Unavailable revenue - special assessments - - 86,648 86,648
Fund balance:
Restricted 1,491,416 316,668 68,352 1,876,436
Total liabilities, deferred inflows
of resources, and fund balances $1,491,416 $316,668 $155,000 $1,963,084
114
CITY OF GOLDEN VALLEY, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES,Statement 23
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR DEBT SERVICE FUNDS
For The Year Ended December 31, 2024
Brookview Douglas Drive
Lease Revenue Reconstruction Hwy 55 West
Bonds Bonds Bonds Total
Revenue:
Property taxes $1,193,822 $ - $ - $1,193,822
Special assessments - - 39,275 39,275
Franchise taxes - 369,213 - 369,213
Investment income 32,778 313 - 33,091
Total revenues 1,226,600 369,526 39,275 1,635,401
Expenditures:
Debt service:
Principal 765,000 250,000 200,000 1,215,000
Interest and fiscal charges 435,944 119,213 29,025 584,182
Total expenditures 1,200,944 369,213 229,025 1,799,182
Revenue over (under) expenditures 25,656 313 (189,750)(163,781)
Other financing sources (uses):
Transfers in - - 141,363 141,363
Net change in fund balance 25,656 313 (48,387)(22,418)
Fund balance - January 1 1,465,760 316,355 116,739 1,898,854
Fund balance - December 31 $1,491,416 $316,668 $68,352 $1,876,436
115
CITY OF GOLDEN VALLEY, MINNESOTA
SUBCOMBINING BALANCE SHEET
NONMAJOR CAPITAL PROJECT FUNDS
December 31, 2024
Cable Park Capital Equipment
Building Improvement Improvement Replacement
Assets:
Cash and investments $3,222,691 $216,403 $1,035,210 $4,037,752
Due from other governmental units - - - -
Special assessments receivable - - - -
Total assets $3,222,691 $216,403 $1,035,210 $4,037,752
Liabilities:
Accounts payable $152,045 $ - $33,458 $8,184
Due to other governmental units - - - -
Due to other funds - - - -
Contracts payable - 14,566 - -
Deposits payable - - - -
Advances from other funds - - - -
Total liabilities 152,045 14,566 33,458 8,184
Deferred inflows of resources:
Unavailable revenue - special assessments - - - -
Total deferred inflows of resources - - - -
Fund balance:
Restricted - - - -
Assigned 3,070,646 201,837 1,001,752 4,029,568
Unassigned - - - -
Total fund balance 3,070,646 201,837 1,001,752 4,029,568
Total liabilities, deferred inflows
of resources, and fund balances $3,222,691 $216,403 $1,035,210 $4,037,752
116
Statement 24
Cornerstone Winnetka /
HRA North Wirth Hwy 55 West Creek Medicine Lake Sentinel Douglas Drive
Capital Project Tax Increment Tax Increment Tax Increment Tax Increment Tax Increment Improvement Total
$348,459 $70,075 $966,430 $55,681 $2,645,758 $ - $1,110,934 $13,709,393
8,032 - - - - - - 8,032
-5,571 - - - - -5,571
$356,491 $75,646 $966,430 $55,681 $2,645,758 $ - $1,110,934 $13,722,996
$3,000 $ - $ - $ - $25,973 $ - $ - $222,660
-1,895 677 753 2,629 586 -6,540
- - - - 261,639 - - 261,639
- - - - - - - 14,566
-8,686 - - - - -8,686
- - - - 695,000 - - 695,000
3,000 10,581 677 753 985,241 586 - 1,209,091
-5,571 - - - - -5,571
-5,571 - - - - -5,571
353,491 59,494 965,753 54,928 1,660,517 -945,019 4,039,202
- - - - - - 165,915 8,469,718
- - - - -(586)-(586)
353,491 59,494 965,753 54,928 1,660,517 (586) 1,110,934 12,508,334
$356,491 $75,646 $966,430 $55,681 $2,645,758 $ - $1,110,934 $13,722,996
117
CITY OF GOLDEN VALLEY, MINNESOTA
SUBCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE
NONMAJOR CAPITAL PROJECT FUNDS
For The Year Ended December 31, 2024
Cable Park Capital Equipment
Building Improvement Improvement Replacement
Revenue:
Property taxes $ - $ - $ - $ -
Tax increments - - - -
Special assessments - - - -
Intergovernmental revenue 18,908 - - -
Investment income 125,773 8,236 33,825 144,065
Other revenue:
Contributions - - 10,223 -
Miscellaneous - 36,480 (2,635) 21,562
Total revenues 144,681 44,716 41,413 165,627
Expenditures:
Current:
Community development - - - -
Capital outlay 574,463 - 335,184 1,721,027
Debt service:
Interest and fiscal charges - - - -
Total expenditures 574,463 - 335,184 1,721,027
Revenue over (under) expenditures (429,782) 44,716 (293,771) (1,555,400)
Other financing sources (uses):
Sale of capital assets - - - 162,165
Transfers in 600,000 - 425,000 1,350,000
Transfers out - - - -
Total other financing sources (uses)600,000 - 425,000 1,512,165
Net change in fund balance 170,218 44,716 131,229 (43,235)
Fund balance - January 1 2,900,428 157,121 870,523 4,072,803
Fund balance - December 31 $3,070,646 $201,837 $1,001,752 $4,029,568
118
Statement 25
Cornerstone Winnetka /
HRA North Wirth Hwy 55 West Creek Medicine Lake Sentinel Douglas Drive
Capital Project Tax Increment Tax Increment Tax Increment Tax Increment Tax Increment Improvement Total
$277,981 $ - $ - $ - $ - $ - $ - $277,981
- 53,313 678,720 44,430 800,599 - - 1,577,062
- 11,816 - - - - - 11,816
137,096 - - - - - - 156,004
13,359 1,304 32,812 1,458 93,968 - 48,000 502,800
- - - - - - - 10,223
- - - - - - - 55,407
428,436 66,433 711,532 45,888 894,567 - 48,000 2,591,293
498,183 27,750 453,309 38,816 38,001 586 - 1,056,645
- - - - - - - 2,630,674
- - - - 39,305 - - 39,305
498,183 27,750 453,309 38,816 77,306 586 - 3,726,624
(69,747) 38,683 258,223 7,072 817,261 (586) 48,000 (1,135,331)
- - - - - - - 162,165
- - - - - - - 2,375,000
- - (141,363) - - - - (141,363)
- - (141,363) - - - - 2,395,802
(69,747) 38,683 116,860 7,072 817,261 (586) 48,000 1,260,471
423,238 20,811 848,893 47,856 843,256 - 1,062,934 11,247,863
$353,491 $59,494 $965,753 $54,928 $1,660,517 ($586) $1,110,934 $12,508,334
119
CITY OF GOLDEN VALLEY, MINNESOTA
SPECIAL REVENUE FUND - BROOKVIEW COMMUNITY CENTER Statement 26
SCHEDULE OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
For The Year Ended December 31, 2024
Variance with
Final Budget
Positive
Original Final Actual (Negative)
Revenue:
Charges for services $555,500 $555,500 $529,973 ($25,527)
Investment income - - 37,180 37,180
Total revenues 555,500 555,500 567,153 11,653
Expenditures:
Current:
Parks and recreation 498,270 498,270 484,790 13,480
Capital outlay 285,000 285,000 39,867 245,133
Total expenditures 783,270 783,270 524,657 258,613
Revenues over (under) expenditures ($227,770) ($227,770) 42,496 $270,266
Fund balance - January 1 695,709
Fund balance - December 31 $738,205
2024
Budgeted Amounts
120
INTERNAL SERVICE FUNDS
Workers’ Compensation Fund – used to account for the financing of the City’s workers’
compensation benefits.
Payroll Benefits Fund – used to account for the financing of the City’s employee benefits, such
as compensated absences, pension contributions, other post-employment benefits, and
termination pay.
Vehicle Maintenance Fund – used to account for the maintenance of motor vehicles of all
departments and related costs.
121
CITY OF GOLDEN VALLEY, MINNESOTA
COMBINING STATEMENT OF NET POSITION Statement 27
INTERNAL SERVICE FUNDS
December 31, 2024
Workers' Payroll Vehicle
Compensation Benefits Maintenance Total
Assets:
Current assets:
Cash and cash equivalents $4,038 $1,045,747 $1,008,961 $2,058,746
Accounts receivable - 9,234 - 9,234
Inventory - - 201,798 201,798
Total current assets 4,038 1,054,981 1,210,759 2,269,778
Noncurrent assets:
Net pension asset - fire relief - 2,131,253 - 2,131,253
Capital assets:
Machinery and equipment - - 193,341 193,341
Less accumulated depreciation - - (183,497) (183,497)
Capital assets, net - - 9,844 9,844
Total noncurrent assets - 2,131,253 9,844 2,141,097
Total assets 4,038 3,186,234 1,220,603 4,410,875
Deferred outflows of resources:
Related to pensions - PERA - 5,976,202 - 5,976,202
Related to pensions - fire relief - 355,542 - 355,542
Related to OPEB - 1,542,217 - 1,542,217
Total deferred outflows of resources - 7,873,961 - 7,873,961
Liabilities:
Current liabilities:
Accounts payable - 10,905 12,229 23,134
Salaries payable - 89 - 89
Due to other governmental units - - 111 111
Deposits payable - 23,415 - 23,415
Compensated absences payable - current - 1,481,253 - 1,481,253
Other post-employment benefits - current - 120,127 - 120,127
Total current liabilities - 1,635,789 12,340 1,648,129
Noncurrent liabilities:
Compensated absences payable - noncurrent - 456,794 - 456,794
Other post-employment benefits - noncurrent - 2,341,699 - 2,341,699
Net pension liability - PERA - 7,679,423 - 7,679,423
Total current liabilities - 10,477,916 - 10,477,916
Total liabilities - 12,113,705 12,340 12,126,045
Deferred inflows of resources:
Related to pensions - PERA - 9,278,014 - 9,278,014
Related to pensions - fire relief - 429,351 - 429,351
Related to OPEB - 1,351,655 - 1,351,655
Total deferred inflows of resources - 11,059,020 - 11,059,020
Net position:
Investment in capital assets - - 9,844 9,844
Restricted for pensions - fire relief - 2,131,253 - 2,131,253
Unrestricted 4,038 (14,243,783) 1,198,419 (13,041,326)
Total net position $4,038 ($12,112,530) $1,208,263 ($10,900,229)
122
CITY OF GOLDEN VALLEY, MINNESOTA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 28
CHANGES IN NET POSITION
INTERNAL SERVICE FUNDS
For The Year Ended December 31, 2024
Workers' Payroll Vehicle
Compensation Benefits Maintenance Total
Operating revenue:
Charges to other funds $945,000 $7,847,247 $810,438 $9,602,685
Payroll benefits charged to employees - 2,067,127 - 2,067,127
Total operating revenue 945,000 9,914,374 810,438 11,669,812
Operating expenses:
Workers’ compensation charges 947,431 - - 947,431
Payroll benefits charges - 10,114,564 - 10,114,564
Vehicle maintenance operations - - 509,076 509,076
Depreciation - - 2,587 2,587
Total operating expenses 947,431 10,114,564 511,663 11,573,658
Operating income (loss) (2,431) (200,190) 298,775 96,154
Nonoperating revenue:
Intergovernmental revenue - 583,811 - 583,811
Investment income - 67,091 37,961 105,052
Other income - - 15,618 15,618
Total nonoperating revenue - 650,902 53,579 704,481
Change in net position (2,431) 450,712 352,354 800,635
Net position - January 1, as previously reported 6,469 (12,245,028) 855,909 (11,382,650)
Error correction - (318,214) - (318,214)
Net position - January 1, as restated 6,469 (12,563,242) 855,909 (11,700,864)
Net position - December 31 $4,038 ($12,112,530) $1,208,263 ($10,900,229)
123
CITY OF GOLDEN VALLEY, MINNESOTA
COMBINING STATEMENT OF CASH FLOWS Statement 29
INTERNAL SERVICE FUNDS
For The Year Ended December 31, 2024
Workers' Payroll Vehicle
Compensation Benefits Maintenance Total
Cash flows from operating activities:
Receipts from customers and users $ - $7,847,247 $ - $7,847,247
Receipts from interfund services provided 945,000 2,062,332 810,438 3,817,770
Payments to suppliers/service providers (947,431) (7,816,833) (503,357) (9,267,621)
Payments to employees - (3,204,283) (83,930) (3,288,213)
Miscellaneous revenue - - 15,618 15,618
Net cash flows from operating activities (2,431) (1,111,537) 238,769 (875,199)
Cash flows from noncapital financing activities:
Intergovernmental revenue - 583,811 - 583,811
Cash flows from investing activities:
Interest received on investments - 67,091 37,961 105,052
Net increase (decrease) in cash and cash equivalents (2,431) (460,635) 276,730 (186,336)
Cash and cash equivalents - January 1 6,469 1,506,382 732,231 2,245,082
Cash and cash equivalents - December 31 $4,038 $1,045,747 $1,008,961 $2,058,746
Reconciliation of operating income (loss) to net
cash flows from operating activities:
Operating income (loss) (2,431) (200,190) 298,775 96,154
Adjustments to reconcile operating income (loss)
to net cash flows from operating activities:
Depreciation - - 2,587 2,587
Other income - - 15,618 15,618
Changes in assets, liabilities, deferred
outflows and deferred inflows:
Accounts receivable - (4,795) - (4,795)
Inventory - - (57,677) (57,677)
Net pension asset - fire relief - (789,425) - (789,425)
Deferred outflows of resources - 2,594,473 - 2,594,473
Accounts payable - 7,774 (20,537) (12,763)
Salaries payable - 89 - 89
Due to other governmental units - - 3 3
Deposits payable - 4,542 - 4,542
Compensated absences payable - 58,516 - 58,516
Other post-employment benefits - (204,397) - (204,397)
Net pension liability - PERA - (3,301,732) - (3,301,732)
Deferred inflows of resources - 723,608 - 723,608
Total adjustments - (911,347) (60,006) (971,353)
Net cash flows from operating activities ($2,431) ($1,111,537) $238,769 ($875,199)
Noncash investing, capital and financing activities: none
124
IV. STATISTICAL SECTION (UNAUDITED)
125
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126
Table
Number
Contents:
Financial Trends Tables 1 - 4
Revenue Capacity Tables 5 - 9
Debt Capacity Tables 10 - 14
Demographic and Economic Information Tables 15 - 16
Operating Indicators Tables 17 - 19
Source:
These schedules contain service and infrastructure data to help the reader understand how the
information in the City’s financial report relates to the services the City provides, and the activities it
performs.
STATISTICAL SECTION (UNAUDITED)
This part of the City of Golden Valley, Minnesota’s (the City) Annual Comprehensive Financial Report (ACFR) presents detailed
information as a context for understanding what the information in the financial statements, note disclosures, and required
supplementary information says about the City’s overall financial health.
These schedules contain trend information to help the reader understand how the City’s financial
performance and well-being have changed over time.
These schedules contain information to help the reader assess the City’s most significant revenue source,
including the property tax and utility revenue.
These schedules present information to help the reader assess the affordability of the City’s current levels
of outstanding debt and the City’s ability to issue additional debt in the future.
These schedules offer demographic and economic indicators to help the reader understand the
environment within which the City’s financial activities take place.
Unless otherwise noted, the information in these schedules is derived from the ACFR for the relevant year.
127
CITY OF GOLDEN VALLEY, MINNESOTA
NET POSITION BY COMPONENT
Last Ten Fiscal Years
(Accrual Basis of Accounting)
2015 2016 2017 2018
Governmental activities
Net investment in capital assets 24,816,606$ 23,527,470$ 24,239,358$ 27,973,471$
Restricted 17,942,353 18,567,757 21,342,170 24,401,665
Unrestricted 15,401,264 12,900,989 14,755,485 11,015,315
Total governmental activities net position 58,160,223$ 54,996,216$ 60,337,013$ 63,390,451$
Business-type activities
Net investment in capital assets 30,101,294$ 31,809,835$ 35,854,260$ 36,950,518$
Unrestricted 14,010,619 17,561,589 16,068,264 19,689,949
Total business-type activities net position 44,111,913$ 49,371,424$ 51,922,524$ 56,640,467$
Primary government
Net investment in capital assets 54,917,900$ 55,337,305$ 60,093,618$ 64,923,989$
Restricted 17,942,353 18,567,757 21,342,170 24,401,665
Unrestricted 29,411,883 30,462,578 30,823,749 30,705,264
Total primary government net position 102,272,136$ 104,367,640$ 112,259,537$ 120,030,918$
Note 1:
Note 2:
Fiscal Year
The City implemented GASB Statement No. 68 in 2015, resulting in a restatement of beginning net
position for the effects of implementing this standard. Net position for previous years has not been
The City implemented GASB Statement No. 75 in 2018, resulting in a restatement of beginning net
position for the effects of implementing this standard. Net position for previous years has not been
128
Table 1
2019 2020 2021 2022 2023 2024
30,178,374$ 28,994,273$ 32,036,524$ 33,605,654$ 43,773,412$ 45,837,583$
25,785,567 26,738,440 29,277,763 31,050,961 30,382,206 41,287,142
13,001,567 18,192,074 19,676,353 20,618,692 31,076,725 38,858,979
68,965,508$ 73,924,787$ 80,990,640$ 85,275,307$ 105,232,343$ 125,983,704$
39,110,394$ 40,380,232$ 40,749,737$ 45,675,680$ 56,948,218$ 58,888,785$
23,980,781 28,238,723 32,328,662 30,587,263 26,901,700 32,645,266
63,091,175$ 68,618,955$ 73,078,399$ 76,262,943$ 83,849,918$ 91,534,051$
69,288,768$ 69,374,505$ 72,786,261$ 79,281,334$ 100,721,630$ 104,726,368$
25,785,567 26,738,440 29,277,763 31,050,961 30,382,206 41,287,142
36,982,348 46,430,797 52,005,015 51,205,955 57,978,425 71,504,245
132,056,683$ 142,543,742$ 154,069,039$ 161,538,250$ 189,082,261$ 217,517,755$
Fiscal Year
129
CITY OF GOLDEN VALLEY, MINNESOTA
CHANGES IN NET POSITION
Last Ten Fiscal Years
(Accrual Basis of Accounting)
2015 2016 2017 2018
Expenses
Governmental activities
General government 11,327,689$ 4,182,777$ 3,260,989$ 3,633,644$
Public safety 6,907,661 8,213,351 8,128,614 7,979,009
Physical development 13,448,443 11,274,790 11,539,091 12,019,371
Public works - - - -
Parks and recreation 1,486,218 1,736,619 2,205,615 2,710,862
Interest and fiscal charges 2,066,076 2,172,554 2,321,780 1,947,173
Total governmental activities expenses 35,236,087 27,580,091 27,456,089 28,290,059
Business-type activities
Water and sewer 9,867,731 8,327,113 8,395,036 9,374,281
Storm sewer 1,795,260 1,685,494 2,526,607 1,861,392
Golf course 1,848,745 2,172,621 2,348,327 3,235,267
Motor vehicle licensing 349,019 401,363 405,407 399,060
Recycling 392,239 407,664 389,472 408,286
Total business-type activities expenses 14,252,994 12,994,255 14,064,849 15,278,286
Total primary government expenses 49,489,081$ 40,574,346$ 41,520,938$ 43,568,345$
Program revenues
Governmental activities
Charges for services
General government 263,205$ 223,237$ 238,339$ 267,543$
Public safety 1,985,746 2,155,832 3,460,736 2,132,083
Physical development 415,395 400,351 565,550 663,328
Public works - - - -
Parks and recreation 594,130 489,959 443,632 981,624
Operating grants and contributions 600,264 643,970 1,444,260 1,261,435
Capital grants and contributions 6,377,610 1,578,699 2,689,043 3,140,938
Total governmental activities program
revenues 10,236,350 5,492,048 8,841,560 8,446,951
Business-type activities
Charges for services
Water and sewer 8,266,107 8,814,629 9,574,647 10,482,578
Storm sewer 2,281,125 2,241,536 2,328,336 2,446,828
Golf course 2,071,141 2,106,472 2,059,405 2,956,984
Motor vehicle licensing 395,718 457,275 453,215 435,698
Recycling 331,630 378,934 389,894 391,131
Operating grants and contributions 209,831 167,557 966,871 395,134
Capital grants and contributions - 1,561,135 1,227,470 398,387
Total business-type activities program
revenues 13,555,552 15,727,538 16,999,838 17,506,740
Total primary government program revenues 23,791,902$ 21,219,586$ 25,841,398$ 25,953,691$
Fiscal Year
130
Table 2
Page 1 of 2
2019 2020 2021 2022 2023 2024
3,645,284$ 4,169,858$ 3,788,382$ 5,359,991$ 6,273,466$ 6,917,560$
8,611,294 8,870,757 8,089,691 8,919,678 9,032,209 10,353,899
2,102,527 2,157,872 1,903,327 3,014,245 3,965,397 3,824,374
9,226,210 9,716,950 10,477,892 11,003,765 11,820,506 11,822,897
2,470,334 2,033,540 2,067,373 2,764,425 2,393,395 2,251,520
1,907,064 1,697,077 1,587,120 1,608,289 1,569,310 1,605,853
27,962,713 28,646,054 27,913,785 32,670,393 35,054,283 36,776,103
8,863,414 9,211,358 9,643,763 10,222,237 10,438,423 10,170,643
2,331,381 2,217,110 1,968,509 2,270,408 2,576,983 2,393,852
3,163,981 2,741,444 3,185,361 4,096,568 4,347,256 4,100,220
410,430 462,777 443,418 573,795 558,036 529,412
477,286 504,119 526,822 1,059,807 1,090,053 1,153,549
15,246,492 15,136,808 15,767,873 18,222,815 19,010,751 18,347,676
43,209,205$ 43,782,862$ 43,681,658$ 50,893,208$ 54,065,034$ 55,123,779$
209,369$ 225,998$ 206,956$ 208,323$ 1,203,680$ 1,375,845$
537,505 355,245 295,902 253,437 280,663 365,537
1,621,151 1,230,765 1,504,988 1,734,969 2,972,396 3,105,787
348,830 410,814 315,753 366,854 853,368 1,071,845
920,139 273,995 353,199 774,513 1,169,176 835,283
724,609 617,891 888,261 871,950 1,977,073 1,192,846
2,791,326 733,444 3,478,561 3,698,737 9,813,055 3,992,296
7,152,929 3,848,152 7,043,620 7,908,783 18,269,411 11,939,439
10,022,356 10,621,632 11,203,708 11,802,888 13,132,137 11,792,975
2,480,095 2,559,800 2,592,294 2,775,129 2,954,818 2,880,560
3,205,252 2,914,216 3,927,131 4,376,050 4,904,061 4,846,267
477,523 256,748 317,229 418,035 448,001 533,983
408,058 439,160 501,335 1,040,416 1,087,857 1,054,507
188,765 66,990 34,261 388,508 166,562 1,326,537
2,795,362 1,605,931 - 215,747 1,027,160 -
19,577,411 18,464,477 18,575,958 21,016,773 23,720,596 22,434,829
26,730,340$ 22,312,629$ 25,619,578$ 28,925,556$ 41,990,007$ 34,374,268$
Fiscal Year
131
CITY OF GOLDEN VALLEY, MINNESOTA
CHANGES IN NET POSITION
Last Ten Fiscal Years
(Accrual Basis of Accounting)
2015 2016 2017 2018
Net (expense) revenue
Governmental activities (24,999,737)$ (22,088,043)$ (18,614,529)$ (19,843,108)$
Business-type activities (697,442) 2,733,283 2,934,989 2,228,454
Total primary government net expense (25,697,179)$ (19,354,760)$ (15,679,540)$ (17,614,654)$
General revenues and other changes in net position
Governmental activities
Property taxes 21,934,817$ 19,473,750$ 21,419,195$ 22,825,055$
Franchise taxes 1,028,368 402,017 687,773 836,780
Local taxes - - - -
Unrestricted grants and contributions - - - -
Other general revenues 372,590 347,543 291,837 264,266
Investment earnings (charges)221,237 313,888 522,746 788,823
Gain on sale of capital assets 18,337 56,838 3,775 80,997
Transfers 100,000 (1,670,000) 1,030,000 (1,149,855)
Total governmental activities 23,675,349 18,924,036 23,955,326 23,646,066
Business-type activities
Franchise taxes - 700,000 400,000 1,000,000
Investment earnings (charges)122,591 156,228 246,111 339,634
Gain on disposal of capital assets - - - -
Transfers (100,000) 1,670,000 (1,030,000) 1,149,855
Total business-type activities 22,591 2,526,228 (383,889) 2,489,489
Total primary government 23,697,940$ 21,450,264$ 23,571,437$ 26,135,555$
Changes in net position
Governmental activities (1,324,388)$ (3,164,007)$ 5,340,797$ 3,802,958$
Business-type activities (674,851) 5,259,511 2,551,100 4,717,943
Total primary government (1,999,239)$ 2,095,504$ 7,891,897$ 8,520,901$
Note:
Fiscal Year
The City reorganized its governmental activities functions in 2019, creating a separate public works function and
moving certain other departments between functions to better reflect the organization of city operations.
132
Table 2
Page 2 of 2
2019 2020 2021 2022 2023 2024
(20,809,784)$ (24,797,902)$ (20,870,165)$ (24,761,610)$ (16,784,872)$ (24,836,664)$
4,330,919 3,327,669 2,808,085 2,793,958 4,709,845 4,087,153
(16,478,865)$ (21,470,233)$ (18,062,080)$ (21,967,652)$ (12,075,027)$ (20,749,511)$
24,399,021$ 26,593,034$ 27,352,013$ 29,565,166$ 32,914,290$ 34,046,986$
719,131 750,959 772,266 796,783 963,209 768,897
- - - - - 7,560,759
- 1,693,378 16,398 239,785 113,750 816,800
165,936 122,994 80,706 114,781 - -
1,032,727 788,401 (204,549) (1,789,925) 2,669,882 3,465,267
101,526 11,876 121,369 89,687 54,705 132,781
(33,500) (203,461) (202,185) 30,000 26,072 (775,000)
26,384,841 29,757,181 27,936,018 29,046,277 36,741,908 46,016,490
1,500,000 1,500,000 1,500,000 1,500,000 1,319,569 1,500,000
586,289 496,650 (50,826) (1,079,414) 1,450,004 1,321,980
- - - - 133,629 -
33,500 203,461 202,185 (30,000) (26,072) 775,000
2,119,789 2,200,111 1,651,359 390,586 2,877,130 3,596,980
28,504,630$ 31,957,292$ 29,587,377$ 29,436,863$ 39,619,038$ 49,613,470$
5,575,057$ 4,959,279$ 7,065,853$ 4,284,667$ 19,957,036$ 21,179,826$
6,450,708 5,527,780 4,459,444 3,184,544 7,586,975 7,684,133
12,025,765$ 10,487,059$ 11,525,297$ 7,469,211$ 27,544,011$ 28,863,959$
Fiscal Year
133
CITY OF GOLDEN VALLEY, MINNESOTA
FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
2015 2016 2017 2018
General Fund
Nonspendable 7,617$ 18,822$ 3,610$ -$
Restricted - - - -
Committed - - - -
Assigned 2,000,000 2,000,000 2,000,000 2,045,000
Unassigned 8,719,447 8,954,274 10,400,239 11,014,502
Total General Fund 10,727,064$ 10,973,096$ 12,403,849$ 13,059,502$
All other governmental funds
Nonspendable 285$ -$ -$ -$
Restricted 33,222,298 44,457,090 32,513,969 26,311,344
Committed 202,270 208,846 213,524 213,624
Assigned 11,357,732 11,702,718 13,355,185 10,183,554
Unassigned, reported in
Capital project funds (41,288) (1,023,153) (1,066,647) (2,164,862)
Total all other governmental funds 44,741,297$ 55,345,501$ 45,016,031$ 34,543,660$
Fiscal Year
134
Table 3
2019 2020 2021 2022 2023 2024
14,029$ 23,010$ 26,653$ 8,976$ 17,127$ -$
- - - - 977,343 902,003
111,960 111,960 - - - -
3,350,000 4,350,000 2,269,499 2,612,910 2,612,910 2,612,910
11,676,100 13,192,079 13,258,756 14,711,433 19,141,728 23,027,742
15,152,089$ 17,677,049$ 15,554,908$ 17,333,319$ 22,749,108$ 26,542,655$
-$ -$ -$ 58,951$ -$ -$
21,568,499 22,904,513 22,970,466 24,286,876 29,161,319 38,748,959
212,939 127,269 161,790 169,113 162,414 161,831
9,910,623 11,513,179 13,215,884 12,363,189 12,737,149 20,568,352
(1,825,910) (1,271,708) (746,918) (28,978) (17,077) (4,411)
29,866,151$ 33,273,253$ 35,601,222$ 36,849,151$ 42,043,805$ 59,474,731$
Fiscal Year
135
CITY OF GOLDEN VALLEY, MINNESOTA
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
2015 2016 2017 2018
Revenues
Taxes 21,874,958$ 19,539,516$ 21,388,915$ 22,175,461$
Tax increments 23,439 24,727 20,920 646,505
Special assessments 1,060,839 806,891 1,106,697 1,050,049
Franchise taxes 1,028,368 402,017 687,773 836,780
Local taxes - - - -
Licenses and permits 1,626,113 1,859,208 3,141,910 1,778,321
Intergovernmental 4,717,848 1,554,964 2,181,104 3,032,083
Charges for services 1,607,143 1,544,898 1,577,194 2,070,277
Fines and forfeits 354,066 283,483 400,233 379,708
Investment income (charges) 209,866 302,230 503,416 752,246
Other revenue 879,395 727,904 679,913 883,449
Total revenues 33,382,035 27,045,838 31,688,075 33,604,879
Expenditures
General government 9,340,987 1,299,871 1,325,205 1,362,468
Administrative services 1,712,183 1,812,545 1,860,542 1,963,163
Casualty insurance 169,213 154,842 225,617 318,934
Public safety 6,116,997 6,563,064 6,937,709 7,048,837
Physical development 4,790,646 5,188,881 5,152,616 5,738,929
Public works - - - -
Parks and recreation 1,092,198 1,078,032 1,192,679 1,496,138
Capital outlay – not capitalized 3,943,954 1,262,482 1,501,845 2,025,000
Construction/acquisition of capital assets 8,312,307 10,192,081 22,281,092 11,046,962
Debt service
Principal retirement 9,320,000 4,960,000 4,905,000 5,715,000
Interest and fiscal charges 2,405,710 2,305,673 2,460,593 2,426,163
Total expenditures 47,204,195 34,817,471 47,842,898 39,141,594
Excess of revenues
over (under) expenditures (13,822,160) (7,771,633) (16,154,823) (5,536,715)
Other financing sources (uses)
Sale of capital assets 53,442 80,627 143,274 239,795
Bonds issued 2,670,000 25,130,000 5,330,000 2,950,000
Refunding bonds issued 6,600,000 - 4,100,000 -
Premiums on debt issues 164,926 1,026,242 537,832 31,117
Payments to refunded bond escrow agent (5,715,000) (6,945,000) (3,885,000) (6,345,000)
Transfers in 5,742,041 2,551,950 4,144,838 5,276,409
Transfers (out)(5,642,041) (3,221,950) (3,114,838) (6,432,324)
Total other financing sources (uses)3,873,368 18,621,869 7,256,106 (4,280,003)
Net change in fund balances (9,948,792)$ 10,850,236$ (8,898,717)$ (9,816,718)$
Debt service as a percentage of noncapital
expenditures 30.1%29.5%28.8%29.0%
Note: The City reorganized its governmental activities functions in 2019, creating a separate public works function and
moving certain other departments between functions to better reflect the organization of city operations.
Fiscal Year
136
Table 4
2019 2020 2021 2022 2023 2024
23,266,074$ 24,836,506$ 26,146,076$ 28,056,828$ 30,315,355$ 32,197,797$
1,106,201 1,491,663 1,465,148 1,513,965 1,585,702 1,577,062
1,057,652 592,614 774,362 901,054 879,711 1,452,922
719,131 750,959 772,266 796,783 963,209 768,897
- - - - - 7,560,759
1,705,864 1,350,417 1,595,716 1,842,234 3,264,091 3,429,390
1,760,103 2,366,086 821,731 1,666,421 4,725,164 10,071,817
2,160,237 1,210,902 1,433,460 1,891,525 2,463,342 2,834,132
260,565 148,672 127,096 81,852 101,924 140,190
978,546 747,355 (191,110) (1,678,328) 2,530,469 3,360,215
528,833 587,356 484,126 1,296,181 697,147 380,332
33,543,206 34,082,530 33,428,871 36,368,515 47,526,114 63,773,513
1,404,362 1,779,000 1,780,998 2,231,565 2,403,237 3,836,683
1,967,267 2,213,472 2,308,688 2,424,296 2,809,502 2,332,564
316,206 318,902 269,420 277,610 341,320 389,690
7,312,126 7,817,588 7,621,891 7,621,406 7,899,628 10,098,723
2,053,347 2,222,461 2,095,315 2,169,560 3,247,098 3,359,446
4,051,707 3,942,738 4,499,814 4,946,265 5,382,249 5,384,851
1,454,209 1,170,725 1,241,033 1,641,813 1,679,948 1,690,316
365,612 589,793 1,044,253 1,405,433 528,192 740,421
7,263,621 1,617,652 6,734,018 8,134,653 10,190,495 10,242,946
5,670,000 5,100,000 7,390,000 5,065,000 5,340,000 5,620,000
2,174,818 1,942,181 1,877,201 1,781,313 1,747,303 1,804,574
34,033,275 28,714,512 36,862,631 37,698,914 41,568,972 45,500,214
(490,069) 5,368,018 (3,433,760) (1,330,399) 5,957,142 18,273,299
200,217 147,736 263,333 192,330 369,350 162,165
1,770,000 - 3,420,000 3,895,000 3,955,000 3,230,000
- - - - - -
188,430 - 158,440 239,409 298,951 444,260
(4,220,000) - - - - -
2,757,128 3,357,604 6,427,360 2,805,000 3,835,225 3,767,820
(2,790,628) (2,941,296) (6,629,545) (2,775,000) (3,805,225) (4,542,820)
(2,094,853) 564,044 3,639,588 4,356,739 4,653,301 3,061,425
(2,584,922)$ 5,932,062$ 205,828$ 3,026,340$ 10,610,443$ 21,334,724$
29.3%26.0%30.8%23.2%22.6%21.1%
Fiscal Year
137
CITY OF GOLDEN VALLEY, MINNESOTA
GOVERNMENTAL ACTIVITIES TAX REVENUES BY SOURCE Table 5
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Ad Valorem
Fiscal Year Property Taxes Tax Increments Franchise Taxes Total
2015 21,911,378$ 23,439$ 1,028,368$ 22,963,185$
2016 19,449,023 24,727 402,017 19,875,767
2017 21,398,275 20,920 687,773 22,106,968
2018 22,178,550 646,505 836,780 23,661,835
2019 23,292,820 1,106,201 719,131 25,118,152
2020 25,101,371 1,491,663 750,959 27,343,993
2021 25,886,865 1,465,148 772,266 28,124,279
2022 28,051,201 1,513,965 796,783 30,361,949
2023 30,315,355 1,585,702 963,209 32,864,266
2024 32,197,797 1,571,187 768,896 34,537,880
138
CITY OF GOLDEN VALLEY, MINNESOTA
ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY Table 6
Last Ten Fiscal Years
Fiscal Total City Tax
Disparities Decrease From Applied Capacity Estimated Actual
Real Property Personal Property Contribution Tax Increments Tax Capacity Rate Applied Taxable Value
37,743,877$ 423,575$ (5,994,022)$ (20,214)$ 32,153,216$ 54.63 2,934,477,667$ 1.10 %
40,233,072 433,290 (5,880,892) (21,325) 34,764,145 54.45 3,097,563,064 1.12
42,748,968 472,938 (6,636,623) (21,692) 36,563,591 56.11 3,271,878,353 1.12
45,436,776 505,617 (6,748,649) (472,613) 38,721,131 55.15 3,523,108,955 1.10
49,442,493 525,094 (7,107,691) (834,500) 42,025,396 53.78 3,842,319,483 1.09
53,111,161 566,562 (7,678,701) (1,151,026) 44,847,996 53.40 4,136,243,370 1.08
55,644,963 604,764 (7,680,860) (1,184,458) 47,384,409 52.44 4,325,815,780 1.10
58,262,162 310,598 (8,480,624) (1,184,278) 48,907,858 54.31 4,540,229,944 1.08
64,745,272 361,559 (8,488,924) (1,318,130) 55,299,777 53.30 5,125,471,285 1.08
67,745,413 411,142 (8,590,301) (1,366,383) 58,199,871 54.05 5,347,484,808 1.09
(1)
Source:
Tax rates are expressed in terms of “net tax capacity.” A property’s tax capacity is determined by multiplyingits
taxable market value by a state determined class rate. Class rates vary by property type and change periodicallybased
on state legislation.
Hennepin County
2016
2015
2017
2018
2020
2019
2022
2023
2024
2021
AssessedTax Capacities (1)
Levy Collectible
in Fiscal Year Actual Value
Percentage of
Value as a
139
CITY OF GOLDEN VALLEY, MINNESOTA
PROPERTY TAX RATE (1)Table 7
DIRECT AND OVERLAPPING (2) GOVERNMENTS
Last Ten Fiscal Years
Total Direct
and
Hennepin ISD No. 281 Special Overlapping
General Levy Debt Levy City Total County Robbinsdale Districts Rates
40.46 14.17 54.63 46.40 33.22 10.56 144.81
39.72 14.73 54.45 45.36 33.83 10.43 144.07
39.08 17.03 56.11 44.09 31.61 10.20 142.01
42.87 12.28 55.15 42.81 31.96 8.98 138.90
42.22 11.56 53.78 41.86 29.91 9.42 134.97
41.85 11.55 53.40 41.08 26.45 9.07 130.00
40.83 11.61 52.44 38.21 25.53 8.75 124.93
43.35 10.96 54.31 38.54 26.50 9.17 128.52
42.88 10.42 53.30 34.81 24.12 7.93 120.16
43.70 10.35 54.05 34.55 24.25 7.61 120.45
Total Direct
and
Hennepin ISD No. 270 Special Overlapping
General Levy Debt Levy City Total County Hopkins Districts Rates
40.46 14.17 54.63 46.40 30.34 10.56 141.93
39.72 14.73 54.45 45.36 28.51 10.43 138.75
39.08 17.03 56.11 44.09 25.61 10.20 136.01
42.87 12.28 55.15 42.81 29.03 8.98 135.97
42.22 11.56 53.78 41.86 27.02 9.42 132.08
41.85 11.55 53.40 41.08 27.19 9.07 130.74
40.83 11.61 52.44 38.21 26.48 8.75 125.88
43.35 10.96 54.31 38.54 26.78 9.17 128.80
42.88 10.42 53.30 34.81 24.98 7.93 121.02
43.70 10.35 54.05 34.55 26.82 7.61 123.02
(1)
(2)
Source:Hennepin County
2020
For the City/ISD No. 270 – Hopkins
Direct Rates
Year
2018
2017
2016
2019
2015
Year
For the City/ISD No. 281 – Robbinsdale
Overlapping RatesDirect Rates
2024
2023
2023
2018
Overlapping rates are those of local and county governments that apply to property owners within the City. Not all overlapping
rates apply to all city property owners (e.g., the rates for special districts apply only to the proportion of the government’s
property owners whose property is located within the geographic boundaries of the special district).
2015
2016
2017
Overlapping Rates
2021
2021
2022
2022
2019
2020
Information reflects total tax rates levied by each entity. Tax rates are expressed in terms of “net tax capacity.” A property’s tax
capacity is determined by multiplying its taxable market value by a state determined class rate. Class rates vary by property type
and change periodically based on state legislation.
2024
140
CITY OF GOLDEN VALLEY, MINNESOTA
PRINCIPAL PROPERTY TAXPAYERS Table 8
Current Year and Nine Years Ago
Net Tax Net Tax
Capacity Rank Capacity Rank
General Mills, Inc.2,123,800 1 3.8 % 1,817,220 1 6.8 %
Allianz Life Insurance Company 1,721,650 2 3.1 1,281,430 2 4.8
Colonnade Ridge LLC 1,390,770 3 2.5 - - -
394 Associates LLC 1,040,363 4 1.9 - - -
SFI Ltd Partnership 823,863 5 1.5 - - -
ALTUS Golden Hills LLC 821,250 6 1.5 - - -
Liberty Xing Investment Partners 595,550 7 1.1 - - -
IRET Properties LP 561,713 8 1.0 - - -
PC Hello, LLC 559,150 9 1.0 - - -
North Wirth Associates 554,010 10 1.0 221,610 10 0.8
ND Properties Inc.- - - - - -
Golden Jack, LLC - - - 571,530 4 2.1
Menards, Incorporated - - - 495,750 5 1.9
Honeywell Incorporated - - - 274,750 7 1.0
TCA Real Estate, LLC - - - 240,210 8 0.9
The Luther Company, LLP - - - 229,330 9 0.9
DRA Advisors, LLC - - - 1,048,170 3 3.9
United Health Care - - - 402,130 6 1.5
Total 10,192,119$ 18.4 % 6,582,130$ 24.6 %
Source: Hennepin County
CapacityTaxpayerCapacity
Applied Tax
Percentage of
2024 2015
Percentage of
Applied Tax
141
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142
CITY OF GOLDEN VALLEY, MINNESOTA
PROPERTY TAX LEVIES AND COLLECTIONS (1)Table 9
Last Ten Fiscal Years
Total Tax Collections in
Levy for Subsequent
Fiscal Year (2) Amount (3)Years (4) Amount
18,546,364$ 18,391,561$ 99.2 % 146,941$ 18,538,502$ 100.0 %
19,603,886 19,511,104 99.5 92,782 19,603,886 100.0
21,314,250 21,246,826 99.7 67,424 21,314,250 100.0
22,365,161 22,297,307 99.7 55,775 22,353,082 100.0
23,539,855 23,439,259 99.6 91,227 23,530,486 100.0
25,073,550 24,783,738 98.8 276,551 25,060,289 100.0
26,153,341 25,964,849 99.3 164,778 26,129,627 99.9
28,098,031 28,000,109 99.7 62,657 28,062,766 99.9
31,087,048 30,820,148 99.1 (632,167) 30,187,981 97.1
33,122,430 32,155,984 97.1 %- 32,155,984 97.1 %
(1)
(2)
(3)
(4)
Collected Within the
Fiscal Year
of Levy
Percentage
Fiscal Year of the Levy
2020
2019
Total Collections to Date
2018
2016
of Levy
Ended
2017
2015
December 31,
Percentage
2021
Does not include tax increments levied and collected.
Total levy is net of current year cancellations and abatements.
Total tax levy and current tax collections include state paid tax credits.
Includes county adjustments for prior year over collections, cancellations, and abatements.
2022
2023
2024
143
CITY OF GOLDEN VALLEY, MINNESOTA
RATIOS OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years
Special Street Certificates Tax Tax Lease
Assessment Reconstruction of Abatement Increment State Aid Revenue
Bonds Bonds Indebtedness Bonds Bonds Street Bonds Bonds
64,860,000$ -$ 2,295,000$ 1,360,000$ -$ 1,760,000$ -$
55,455,000 5,630,000 2,350,000 1,015,000 – 1,640,000 17,410,000
55,340,000 5,630,000 2,400,000 670,000 1,170,000 1,520,000 17,410,000
48,175,000 5,405,000 1,620,000 330,000 1,170,000 1,395,000 16,935,000
42,205,000 5,180,000 820,000 – 1,155,000 1,265,000 16,285,000
38,800,000 4,950,000 280,000 – 1,035,000 1,130,000 15,615,000
36,300,000 4,715,000 – – 915,000 985,000 14,925,000
36,355,000 4,475,000 – – 790,000 835,000 14,215,000
36,230,000 4,230,000 – – 665,000 680,000 13,480,000
35,140,000 3,980,000 – – 540,000 520,000 12,715,000
(1)
Note:
Fiscal Year
2018
Governmental Activities
Details regarding the City’s outstanding debt can be found in the notes to basic financial statements.
See the Schedule of Demographic and Economic Statistics for personal income and population data.
2015
2016
2017
2019
2020
2021
2022
2023
2024
144
Table 10
Net Net
Premiums Utility Premiums Total Primary
(Discounts) Total Revenue Bonds (Discounts) Total Government Per Capita (1)
1,200,577$ 71,475,577$ 910,000$ -$ 910,000$ 72,385,577$ 5.25 %3,356$
2,043,531 85,543,531 2,580,000 41,745 2,621,745 88,165,276 6.27 4,090
2,352,017 86,492,017 2,580,000 39,688 2,619,688 89,111,705 6.11 4,117
2,084,966 77,114,966 2,580,000 37,631 2,617,631 79,732,597 5.20 3,695
2,068,449 68,978,449 2,580,000 35,574 2,615,574 71,594,023 4.22 3,152
1,876,422 63,686,422 2,460,000 33,517 2,493,517 66,179,939 3.83 2,935
1,800,991 59,640,991 2,340,000 31,460 2,371,460 62,012,451 3.21 2,777
1,849,847 58,519,847 2,215,000 29,403 2,244,403 60,764,250 3.23 2,758
1,945,637 57,230,637 2,090,000 27,346 2,117,346 59,347,983 2.96 2,661
2,160,192 55,055,192 1,960,000 25,289 1,985,289 57,040,481 2.65 2,557
Percentage
Income (1)
of Personal
Business-Type Activities
145
CITY OF GOLDEN VALLEY, MINNESOTA
RATIOS OF GENERAL BONDED DEBT OUTSTANDING Table 11
Last Ten Fiscal Years
Less Amounts
General Restricted for
Obligation Repaying
Bonds (1) Principal (2) Total Per Capita (4)
71,475,577$ 28,040,782$ 43,434,795$ 1.48 %2,014$
85,543,531 21,578,026 63,965,505 2.07 2,967
86,492,017 23,277,113 63,214,904 1.93 2,920
77,114,966 16,334,331 60,780,635 1.73 2,817
68,978,449 11,741,205 57,237,244 1.49 2,520
63,686,422 11,591,023 52,095,399 1.26 2,310
59,640,991 11,700,328 47,940,663 1.11 2,147
58,519,847 11,735,049 46,784,798 1.03 2,123
57,230,637 12,791,990 44,438,647 0.87 1,992
55,055,192 14,160,091 40,895,101 0.76 1,833
(1)
(2)
(3)
(4)
Note:
Taxable Value
Estimated Actual
Percentage of
2016
Fiscal Year
2015
of Property (3)
Details regarding the City’s outstanding debt can be found in the notes to basic financial statements.
Reported net of premiums and discounts. Does not include revenue bonds. Tax increment, special assessment, and tax
abatement bonds are included because property taxes will be levied to pay the debt service on these issues should the primary
sources fail to provide adequate revenue.
The amounts restricted for repaying principal include the amounts restricted in all debt service funds for future debt service.
We believe this is the most accurate and consistent representation of the resources restricted for debt service when crossover
refunding bond proceeds are being held in escrow, as those resources are not included in the governmental activities net
position restricted for debt service, due to conversion for full accrual accounting.
2017
2018
Population data can be found in the Schedule of Demographic and Economic Statistics.
See the Schedule of Assessed Value and Estimated Actual Value of Taxable Property for property value data.
2019
2020
2021
2024
2023
2022
146
CITY OF GOLDEN VALLEY, MINNESOTA
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT Table 12
Estimated
Debt Share of
Outstanding (1)Overlapping Debt
Direct debt
City of Golden Valley 54,335,000$ 100.00 % 54,335,000$
Overlapping debt
ISD No. 270, Hopkins 133,460,000 19.36 25,448,029
ISD No. 281, Robbinsdale 210,670,000 18.27 34,429,815
ISD No. 283, St. Louis Park 240,940,000 0.02 47,498
Hennepin County 1,530,570 2.26 26,951,347
Hennepin Suburban Park District 60,050,000 3.05 1,491,939
Hennepin Regional Railroad Authority 76,945,000 2.26 1,735,109
Metropolitan Council 1,558,153,207 1.02 414,221
Total overlapping debt 2,281,748,777$ 90,517,958
Total direct and overlapping debt 144,852,958$
Estimated
December 31, 2024
Percentage
Governmental Unit
Source:
Applicable (1)
Note:
(1) Special assessment, tax abatement, tax increment, lease revenue, and state-aid street bonds have been included in this table
because property taxes will be used to pay the debt on these issues should other revenue sources fail to provide adequate
amounts.
Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City. This schedule
estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses
of the City. This process recognizes that, when considering the City’s ability to issue and repay long-term debt, the entire
debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every
taxpayer is a resident and, therefore, responsible for repaying the debt of each overlapping government.
Hennepin County Taxpayer Services
147
CITY OF GOLDEN VALLEY, MINNESOTA
LEGAL DEBT MARGIN INFORMATION
Last Ten Fiscal Years
2015 2016 2017 2018
Debt limit 88,034,330$ 92,926,892$ 98,156,351$ 105,693,269$
Total net debt applicable to the limit 1,712,141 7,032,733 6,800,074 5,732,558
Legal debt margin 86,322,189$ 85,894,159$ 91,356,277$ 99,960,711$
Total net debt applicable to the limit
as a percentage of the debt limit 1.94% 7.57% 6.93% 5.42%
Note: Under state finance law, the City’s outstanding general obligation debt should not exceed 3 percent of
total market property value. By law, the general obligation debt subject to the limitation may be offset by
amounts set aside for repaying general obligation bonds.
Fiscal Year
148
Table 13
2019 2020 2021 2022 2023 2024
115,269,584$ 124,087,301$ 129,774,473$ 136,206,898$ 153,764,139$ 160,424,544$
4,630,783 4,385,269 4,417,473 4,181,943 3,913,645 3,663,332
110,638,801$ 119,702,032$ 125,357,000$ 132,024,955$ 149,850,494$ 156,761,212$
4.02% 3.53% 3.40% 3.07% 2.55%
Market value 5,347,484,808$
Debt limit (3% of market value)160,424,544
Total bonded debt 54,855,000$
Less
Debt not payable primarily from tax levies
Special assessment bonds 35,140,000
Tax increment bonds 540,000
State aid street bonds 520,000
Lease revenue bonds 12,715,000
Utility revenue bonds 1,960,000
Fund balances available for tax supported debt 316,668
Total net debt applicable to the limit 3,663,332
Legal debt margin 156,761,212$
Fiscal Year
Legal Debt Margin Calculation for Fiscal Year 2024
149
CITY OF GOLDEN VALLEY, MINNESOTA
PLEDGED REVENUE COVERAGE
Last Ten Fiscal Years
Less Operating Net Available
Gross Revenue Expenses Revenue Principal Interest
2,455,263$ 1,748,165$ 707,098$ 130,000$ 41,718$
2,406,073 1,567,226 838,847 910,000 (2)90,099
3,330,505 2,465,516 864,989 - 50,191
2,952,615 1,803,506 1,149,109 - 63,950
2,774,078 2,253,908 520,170 - 63,950
2,806,204 2,165,598 640,606 120,000 62,300
2,599,053 1,992,442 606,611 120,000 60,350
2,524,194 2,201,581 322,613 125,000 61,600
3,515,714 2,651,732 863,982 125,000 52,350
3,367,077 2,213,553 1,153,524 130,000 49,730
(1)
(2)
(3)
Note:
2019
Fiscal Year
Debt Service
2024
Details regarding the City’s outstanding debt can be found in the notes to basic financial statements. Gross revenue includes
investment earnings and intergovernmental grants. Operating expenses do not include interest.
Excludes principal refunded from the proceeds of refunding bond issues.
Revenue Bonds (1)
Utility revenue bonds, payable from the Storm Sewer Utility Fund.
In 2016, the City used available funds to exercise an early call provision and retire $775,000 of utility revenue bonds before
their stated maturity dates.
2018
2017
2016
2015
2020
2022
2023
2021
150
Table 14
Special
Assessment
Coverage Collections Principal (3) Interest Coverage
4.12 % 980,375$ 3,215,000$ 1,999,619$ 0.19 %
0.84 667,606 3,750,000 1,826,001 0.12
17.23 1,039,971 3,675,000 1,510,438 0.20
17.97 731,351 3,770,000 1,404,916 0.14
8.13 1,189,401 3,520,000 1,191,082 0.25
3.51 521,297 3,405,000 1,088,847 0.12
3.36 709,213 6,040,000 1,040,894 0.10
1.73 781,804 3,840,000 969,174 0.16
4.87 774,153 4,080,000 954,029 0.15
6.42 1,334,242 4,320,000 1,041,363 0.25
Special Assessment Bonds
Debt Service
151
CITY OF GOLDEN VALLEY, MINNESOTA
DEMOGRAPHIC AND ECONOMIC STATISTICS Table 15
Last Ten Fiscal Years
Per Capita
Personal Personal School
Population (1) Income (2) Income (3) Enrollment (4)
21,571 1,378,408,471$ 63,901$ 2,115 3.2 %
21,556 1,406,119,436 65,231 1,994 3.6
21,646 1,459,524,842 67,427 2,074 2.9
21,580 1,533,625,860 71,067 2,085 2.8
22,715 1,696,765,070 74,698 2,084 3.0
22,552 1,726,400,704 76,552 2,018 4.5
22,334 1,932,382,348 86,522 2,022 2.4
22,034 1,884,017,170 85,505 2,224 2.6
22,305 2,004,126,555 89,851 2,264 2.2
22,305 2,148,841,395 96,339 2,596 1.9
(1) Metropolitan Council – Regional Statistics and Data except for 2021 – City estimate.
(2)
(3)
(4)
(5)
Rate (5)
UnemploymentFiscal
Year
2015
Bureau of Economic Analysis, U.S. Department of Commerce – Hennepin County. The per capita personal income used is for
that of Hennepin County, in which the City resides, the smallest region applicable to the City that this information is
available.
Minnesota Department of Economic Security – Hennepin County.
School districts.-Call Districts
2023
2016
2017
This estimated personal income number is calculated by taking the per capita personal income of Hennepin County and
multiplying it by the City’s population. Also see note (3) regarding the per capita personal income figures.
2018
2019
2020
2021
2022
Sources:
2024
152
CITY OF GOLDEN VALLEY, MINNESOTA
PRINCIPAL EMPLOYERS Table 16
Current Year and Nine Years Ago
Employees Rank Employees Rank
General Mills, Inc. 3,100 1 9.02 % 5,500 1 15.7 %
Allianz Life Insurance Company 2,000 2 5.82 2,096 3 6.0
Honeywell Incorporated 2,000 3 5.82 1,350 5 3.8
Lubrication Technologies 750 4 - - - -
M.A. Mortenson 575 5 1.67 2,102 2 6.0
G.H. Tennant Company 466 6 1.36 813 6 2.3
Courage Center 400 7 1.16 600 7 1.7
Preferred One 300 8 0.87 360 9 1.0
Marsh & McLennan Agency 300 9 0.87 - - -
Breck School 250 10 0.73 420 8 1.2
OptumHealth - - - 1,700 4 4.8
Lupient Automobile Group - - - 325 10 0.9
Total 10,141 27.32 % 15,266 43.4 %
Source:
Percentage
2015
Percentage
2024
of Total City
Metropolitan Council – Regional Statistics and Data
Employer Employment Employment
of Total City
153
CITY OF GOLDEN VALLEY, MINNESOTA
FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION
Last Ten Fiscal Years
2015 2016 2017 2018
Function
General government 23.50 23.50 23.50 24.25
Public safety 47.25 47.25 47.50 47.50
Physical development 29.66 29.66 29.66 29.66
Public works – – – –
Parks and recreation 5.50 5.50 7.50 7.50
Water and sewer 12.34 12.34 12.34 12.34
Storm sewer 1.00 1.00 1.00 1.00
Golf course 7.00 7.00 8.50 8.50
Motor vehicle licensing 4.00 4.00 4.00 4.00
Total 130.25 130.25 134.00 134.75
Note:
Source: Various city departments
The City reorganized its governmental functions in 2019, creating a separate public works function and moving
certain other departments between functions to better reflect the organization of city operations.
Fiscal Year
154
Table 17
2019 2020 2021 2022 2023 2024
17.00 18.00 19.00 20.00 21.00 21.00
48.50 51.50 50.50 50.00 49.00 49.00
18.00 18.00 18.00 18.50 18.00 17.50
20.66 20.66 20.66 21.16 22.16 22.16
8.38 8.38 8.38 9.13 9.13 9.13
12.34 12.34 12.34 12.34 12.34 12.34
1.00 1.00 1.00 1.00 3.00 3.50
11.00 11.00 11.00 11.00 12.00 12.00
5.00 5.00 5.00 5.00 5.00 5.00
141.88 145.88 145.88 148.13 151.63 151.63
Fiscal Year
155
CITY OF GOLDEN VALLEY, MINNESOTA
OPERATING INDICATORS BY FUNCTION
Last Ten Fiscal Years
2015 2016 2017 2018
Function
1,025 1,027 817 906
33 20 29 41
Citations written 3,138 2,659 4,761 3,465
Fire
711 747 649 643
1.2 0.5 1.2 1.3
Water
New (removed) connections (1)9 46 37
Water main breaks 28 15 11 22
Average daily consumption
(thousands of gallons)2,156 2,106 2,171 2,275
Source: Various city departments
Police
Street resurfacing (miles)
Adult arrests
Juvenile arrests
Number of calls answered
Highways and streets
Fiscal Year
156
Table 18
2019 2020 2021 2022 2023 2024
681 461 244 111 223 216
51 28 4 7 3 7
2,180 1,251 708 529 882 1,559
734 724 651 1,432 2,278 –
1.6 – 1.3 3.8 4.4 4.6
5 – 8 (1) 20 10
14 28 36 30 23 16
1,849 1,860 2,119 1,955 2,079 1,863
Fiscal Year
157
CITY OF GOLDEN VALLEY, MINNESOTA
CAPITAL ASSET STATISTICS BY FUNCTION
Last Ten Fiscal Years
2015 2016 2017 2018
Function
Public safety
Police
Stations 1111
Patrol units 8888
Fire stations 3333
Highways and streets
Streets (miles) 144 144 144 144
Streetlights 1,840 1,840 1,836 1,813
Parks and recreation
Parks acreage 462 462 462 462
Parks and nature areas 30 30 30 30
Tennis court locations 9999
Community centers 2222
Water
Connections 7,149 7,148 7,157 7,203
Sewer
Connections 7,188 7,234 7,205 7,249
Source: Various city departments
Fiscal Year
158
Table 19
2019 2020 2021 2022 2023 2024
1 1 1 1 1 1
8 8 8 8 8 8
3 3 3 3 3 3
144 144 144 144 144 144
1,942 1,942 2,209 2,219 2,219 2,219
462 462 462 462 462 462
30 30 30 30 30 30
9 9 9 9 6 6
2 2 2 2 1 1
7,240 7,245 7,245 7,344 7,690 7,350
7,288 7,296 7,299 7,295 7,274 7,273
Fiscal Year
159
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160