The city of Centerville had receipt and disbursement increases for the fiscal year ended June 30, 2013, according to an audit released recently by the Des Moines-based CPA firm of Faller, Kincheloe & Co. PLC.The audit reports when compared to the prior fiscal year, the city had an 11 percent increase in receipts and a seven percent increase in disbursements for the year ended June 30, 2013.
Centerville’s receipts totaled $7,708,372 and included $1,857,210 in property taxes, $200,916 in tax increment financing, $2,098,792 in charges for services, $906,137 in operating grants, contributions and restricted interest, $699,482 in capital gains, contributions and restricted interest, $550,702 in Local Option Sales Tax, $17,856 in unrestricted interest on investments, $1,025,902 in bond proceeds, $82,446 in hotel-motel tax and $268,929 in other general receipts.
Centerville’s disbursements totaled $6,428,291 and included $1,813,832 for public safety, $495,007 for public works, $412,876 for general government and $2,620,683 for business-type activities.
The audit states increases or decreases in net position over time “may serve as a useful indicator of whether the financial position of the City is improving or deteriorating.” Centerville had a 23.29 percent increase, or approximately $1,280,000 in fiscal year 2013 over the prior year in cash basis net assets.
The auditors looked at what Centerville has done to “enhance the appearance and function” of the city through infrastructure initiatives and street, storm water and sanitary sewer improvements. The auditors cautioned the city to find additional sources of funds.
“These and future improvements, while necessary, require the City to identify additional sources of funding other than cash reserves and general obligation debt to maintain consistency of future tax levies,” states the audit.
The auditors talked about what they say almost all Iowa municipalities are facing, including Centerville — “the rising cost of employee benefits has created a significant burden.” Centerville’s “required participation in the Municipal Fire and Police Retirement System continues to put significant financial burden on the City which is unlikely to change without major state legislative action.”