Comprehensive Annual Financial Report (CAFR) - Johnson City

CITY OF JOHNSON CITY, TENNESSEERECONCILIATION OF THE.BALANCE SHEET OF GOVERNMENTAL FUNDSTO THE STATEMENT OF NET ASSETS· June 30, 2011Amounts reported for governmental activities in the statement of net assets are different because:Total Fund Balances ofGovemmental FundsCapital assets used in governmental activities are not fmancial resources and, therefore, arenot reported in the funds.Prepaids are expensed when disbursed and are not recognized based upon economic benefit orrecorded as assets iri the governmental funds.Bond issue costs are expensed when disbursed in the governmental funds and are amortizedover the life of the bonds in the governmental activities.$ 54,822,067266,452,010112,9981,453,147Property tax assessments are reported as revenue in the government-wide statements in theperiod in which an enforceable legal claim arises against property owners. In governmentalfunds, these assessments are not available to fmance current period expenditures and arereported as deferred revenue at the fund level.1,471,209Other revenues which are earned but not available to fmance current period expenditures andare reported as deferred revenue at the fund level.299,227OPEB and termination benefits represent liabilities of the City that are not recorded at thefund level.Compensated absences are not considered due and payable in governmental funds until anemployee has terminated service. Therefore, these amounts are presented as restricted fundbalance.Accrued interest on the notes and bonds payable represents a liability ofthe City that isgenerally not recorded at the fund level.(847,689)(2,349,771)(1,307,222)Long-term liabilities, including bonds payable and accrued interest, are not due and payable inthe current period and, therefore, are not reported in the governmental funds.(140,881 ,943)Internal service funds are used by management to charge the costs of fleet maintenance andemployee insurance to individual funds. The assets and liabilities of the internal service fundsare included in governmental activities in the statement of net assets.8,538,596Net Assets of Governmental Activities $ 187,762,629The notes to the financial statements are an integral part of this statement.19