2001 Comprehensive Annual Financial Report

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COIT rate increases. In 2002 aone-time adjustment of $2,315,375 for conservative distribution estimates in the early years of the tax was transferred. These countywide taxes are allocated net of homestead credits) between all taxing units within the county based on the proportionate amounts of property tax levy for each taxing unit. As mentioned earlier, the City is always looking far other sources of revenue that would reduce its reliance on property taxes. A viable source of revenue is from user fees andlor charges for services currently being performed. It is the City's desire to establish all user charges and fees at a level closely related to the full cast of providing the services while taking into consideration similar chargeslfees being levied by other public and private providers. The City recalculates, on an annual basis, the full costs of activities supported by user fees (including the Parks Department programs and EMS ambulance services among others} to identify the impact of inflation and other cost increases. It then revises user fees accordingly. As a result, overall charges for services and user fee revenues are anticipated to increase in line with annual operating and capital budgets. Revenue collected for licenses and permit fees decreased by $b1,449 (20.0%} due to an overall decrease in the number of licenses and permits issued. In addition, an overall citywide change in the fee structure was implemented in order to more accurately reflect the actual costs incurred to review, approve and issue various licenses and permits. Fines and forfeitures decreased by $118,578 (48.4%} as a direct result of the reduction in Cade Enforcement bond forfeitures (which were $43,172 lower in 2000 when compared to 1999}. As discussed earlier in the section highlighting the current year's financial accomplishments, the City's cash reserves continue to remain at a healthy level. These reserves, while strong, have not been able to overcome significantly lower interest rates. Investment income decreased in 2001 when compared to 2000. Donations received during 2001 were 27% higher than 2000 due to the amount and timing of funds received for the Palais Royale Restoration Project. The Morris Entertainment Board of Directors spearheaded a major fund-raising campaign to secure funds for the renovation of the Palais Royale Ballroom, which was started during 2000 and scheduled for completion at the end of 2002. The first installment of these pledges was received in2000, and it is anticipated that the City will continue to receive funds from thisfund-raising campaign over the next several years as the pledges are honored and payments are received from the donors. The change in sale of property was the result of a one time receipt the City recorded as revenue in 2400. The $3 million was for the sale and leaseback of one of its downtown packing garages to the South Bend Public Transportation Corporation (commonly known as Transpo}. General Government Ex enditures. The following schedule presents a summary of General Fund, Special Revenue Funds, Debt Service Funds and Capital Projects Funds expenditures for the fiscal year ended December 31, 2001 and the amount and percentage of increases and decreases in relation to prior year amounts. xxi