ACFR - FY2021 FINAL 5-13-22 USE THIS ONE - Flipbook - Page 33
The Statement of Activities shows how the government’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 time 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 (e.g., uncollected taxes and earned but
unused vacation leave). Both government-wide financial statements distinguish functions of the City that are
principally supported by taxes and intergovernmental revenues (government activities) from other operations
intended to recover all or a significant portion of their costs through user charges in business-type activities.
The governmental activities of the City include:
1. General Government
2. Public Safety
3. Physical Environment
4. Transportation (Streets & Highways)
5. Culture and Recreation
The business-type activities of the City include the Water and Sewer Utility Fund. Solid waste is franchised to
an independent contractor.
The government-wide financial statements do not include any component units which would be reported
separately. The City does, however, have three blended component units. These are represented as part of
the audited financial statements of the City. The units include the Fire and Police retirement funds and the City
of Eustis Community Redevelopment Trust Fund, also known as the Community Redevelopment Area (CRA),
including Downtown and East Eustis.
Fund financial statements – The fund financial statements provide a more detailed look at the City’s most
significant activities. A fund is a grouping of related accounts used to maintain control over resources that have
been segregated for specific activities or objectives. Like other state and local governments, the City uses fund
accounting to ensure and demonstrate compliance with finance-related legal requirements.
All funds of the City can be divided into three categories:
1. Governmental Funds
2. Proprietary Funds
3. Fiduciary Funds
Governmental Funds – Governmental funds account for those functions reported as governmental activities in
the government-wide financial statements. Most of the City’s essential services are accounted for in
governmental funds. However, unlike the government-wide financial statements, governmental fund financial
statements focus on near-term inflows and outflows of spendable resources and the balance of spendable
resources available at the end of the fiscal year. Such information may help evaluate a government’s nearterm financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial statements,
it is helpful 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. The governmental fund
balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances
provide a reconciliation to facilitate this comparison between governmental funds and governmental activities.
The City maintains twelve individual governmental funds. Information is presented separately in the
governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and
changes in fund balances for the General Fund, four special revenue funds, and one capital projects fund,
considered major funds. Data from the other six funds are combined into a single, aggregated presentation.
Individual fund data for each non-major governmental fund is provided by combining statements elsewhere in
this report.
The City adopts an annual appropriated budget for its General Fund, special revenue funds, and capital
projects fund. The Annual report has provided a budgetary comparison statement to demonstrate compliance
with this budget.
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