Government-wide financial statements: Statement of net position 20

City of Coral Springs, Florida

Management’s Discussion and Analysis (Unaudited)

As management of the City of Coral Springs, Florida (the “City”), we offer readers of the City’s financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended September 30, 2021. Since the management’s discussion and analysis (“MD&A”) is designed to focus on the current year’s activities, resulting changes and current known facts, please read it in conjunction with the transmittal letter and the City’s financial statements.

Financial Highlights

• The assets and deferred outflows of the City exceeded its liabilities and deferred inflows at the close of fiscal year 2021 by approximately $223,700,000 (net position). Of this amount, approximately $29,600,000 (unrestricted net position) may be used to meet the City’s ongoing obligations to citizens and creditors. • The City’s total net position increased by approximately $2,450,000 or 1.1% in comparison to the prior year. The net increase was a result of a decrease in governmental activities of ($2,696,000) and an increase in the business-type activities of $5,146,000. The City’s net position increased as a result of this year’s operations. • At the end of the current fiscal year, fund balance for the General Fund was approximately $47,714,000 or 39.8% of total General Fund expenditures. Of this balance, $28,368,000 has been committed to the City’s stabilization fund, $2,416,000 has been assigned to the computer replacement program, $588,000 has been assigned to facilities replacement, $4,312,000 has been assigned to parks replacement, $4,613,000 has been assigned to subsequent years’ expenditures, $4,507,000 has been assigned to fund future capital projects, $968,000 is classified as nonspendable and $1,942,000 is classified as unassigned. • The City’s business-type activities reported total net position of approximately $67,446,000, which is a $5.1 million or 8.3% increase in comparison to the prior year net position. Approximately $21,329,000 or 31.6% is unrestricted and may be used to meet the City’s ongoing obligations to citizens and creditors. • The City’s total debt, before premiums, increased by approximately $12.1 million or 11.7%. This increase was due to the issuance of a $22.1 million Special Obligation Bond offset by current year principal payments.

Overview of the Financial Statements

This financial section of the annual comprehensive financial report consists of the following: independent auditor’s report, management’s discussion and analysis (this section), the basic financial statements, required supplementary information and a section that presents combining and individual fund statements and schedules. The basic financial statements include the following two kinds of statements that present different views of the City:

• Within the government-wide financial statements, there are two statements that provide both long-term and short-term information about the City’s overall financial status. • The fund financial statements focus on individual parts of the City government, reporting the City’s operations in more detail than the government-wide statements. o The Governmental Fund statements tell how general government services, such as public safety, were financed in the short-term, as well as what remains for future spending.