The Bright Side
As stated in the city’s 2018 audit “The statement of net position presents information on all city assets, liabilities and deferred outflows and inflow of resources with the difference reported as net.”
Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the city is increasing or decreasing.” The city’s current net position, decreasing from $66.5 million to $54 million in 3 years, is on an unsustainable trend. Of the $54 million in capital assets, 74.9% are capital assets needed to run the city (buildings, infrastructure, equipment, land, etc.) and another 7.4% is restricted use capital. That leaves less than $10 million redeemable assets to pay obligations to citizens and creditors. This $4 million a year decrease in the city’s net position reveals the city’s downhill financial slide. It’s not only the trend but what is at the end of the slide that is of concern. The city apparently did not wish to make this trend made public, and that likely explains why the 2016 and 2017 totals were not placed on the city’s website, as earlier audits had been. This does not mean the city is in any financial bind or in financial trouble. With the city’s debt being very low at $4,365,000, the city could legally borrow $60 million or more if it needed it, but it does mean that the city’s spending priorities are on an unsustainable path, along with the raising of more revenue. It is much better to advertise and fix these trends now than face some dire consequences later on.
Speedo Condos strikes again!
The former mayor, Lake Geneva fire and police commissioner, as well as developer of good ideas, has suggested the possibility of having Maxwell Street Days continue throughout the warmer months, possibly April through October. It could be called Lake Geneva Outdoor Days and would be held once a month. It’s a really great and social way to draw people to Lake Geneva and help the downtown area thrive year around. Maxwell Street Days are undeniably profitable for the businesses, and outdoor events and sales are almost always a big draw for patrons, so why not? The idea was not received enthusiastically by all BID members, though, but many in the room deemed it an idea worth looking into.