2008 Financial Year in Review

    The city of Presque Isle’s Financial Statements for the year ended December 31, 2008 are nearly finished, so I thought it was time to give you a short overview of the City’s finances for the year.     City revenues for the year 2008 totaled $24.6 million.
• $12 million, approximately half, came from you the citizens in the form of taxes — $10.5 million in property taxes and $1.5 million in excise taxes.
• $8.3 million came from the federal, state, and local governments. The largest amount came from the Federal Aviation Administration, $5.3 million for improvements to the airport runways; $2.9 million came from the state in the form of revenue sharing, tax reimbursements and grants, and $131,000 came from surrounding communities for the operation of the secured landfill.
• The remaining $4 million was earned by the city; $1.4 million from the airport, $762,000 from the secured landfill $537,000 in industrial rentals, $280,000 from The Forum, $108,000 from Rec and Parks, $716,000 in miscellaneous revenues and $271,000 in interest earned.
    Total City expenses were $26.9 million, broken down as follows:
• $10.8 million was used to cover the operating costs of the City including $2.9 million for general government, $2.25 million for public safety, $2 million for public works, $1.6 million for the airport, and $1.4 million to run The Forum, the library and the Recreation and Parks Department.
• $5.6 million was used to improve the airports runways.
• $5 million was MSAD 1’s share of the tax assessment.
• $2.2 million was spent for Capital Expenditure Projects including $1.5 million for work on the secured landfill expansion project, $425,000 for street repair, and $320,000 to purchase land for the proposed new Community Center.
• County taxes account for $555,000.
• Of the remaining $2.7 million: $920,000 is the cost of operating the secured landfill, $412,000 was spent for improvements to the indoor pool, $350,000 was used to purchase a compactor at the landfill, $150,000 was for improvements to buildings in the Industrial Park, and $135,000 went to improvements at The Forum.
    That leaves a $2.3 million shortfall between revenues and expenditures: $930,000 for long-term capital improvements was funded by long-term bank loans; $900,000 for the construction on the landfill expansion was funded by an interim bank loan; and $356,000 was funded from Surplus.
    The city of Presque Isle remains financially sound. We will be receiving audited financial statements from our auditors by June 30. At that time they will be available at the Finance Department at City Hall to anyone who is interested in reviewing them. The Financial Statements will also be posted on the city’s Web site.
    As an aside, the Finance Department has received the Certificate of Achievement for Excellence in Financial Reporting from the Government Finance Officers Association. This is the ninth consecutive year that the department has received this award.
    Pat Webb is Finance Director for the city of Presque Isle. She can be reached at 764-2519 or via e-mail at pwebb@presqueisleme.us.