• The City issued $118.1 million in general obligation bonds to refund remaining general obligation public
improvement and housing bonds which will reduce gross future debt service payments by $14.8
million over the next fifteen years
• The City issued $49.9 million in revenue bonds to refund remaining water and sewer revenue bond
obligations which will reduce gross future debt service payments by $6.5 million over the next ten
• The City drew down $2.5 million from the PNC Bank drawdown program to fund various capital
projects at the Convention Center Complex
• The City of Raleigh maintained its AAA/Aaa general obligation bond rating from all three major rating agencies.
OVERVIEW OF THE FINANCIAL STATEMENTS
The City’s basic financial statements consist of two sections: introductory and financial. As Figure A-1 shows,
the financial section has three components – management’s discussion and analysis (this section), the basic
financial statements and required supplementary information. The basic financial statements include two kinds of
statements that present different views of the City:
• The first two statements are government-wide financial statements that provide both long-term and short-
term information about the City’s overall financial status.
• The remaining statements are fund financial statements that focus on individual parts of the City government,
reporting the City’s operations in more detail than the government-wide statements, as follows:
• The governmental funds statements tell how general government services such as public safety and
public works, for example, were financed in the short-term as well as what remains for future spending.
• Proprietary fund statements offer short and long-term financial information about the activities
the government operates as a business, including the water and sewer enterprise, the convention
and performing arts complex and the operations of mass transit, stormwater management, parking
facilities and solid waste services. Internal service funds are also presented within this section.
• Fiduciary fund statements provide information about the financial relationships—for example, the
retirement plan for the City’s employees—in which the City acts solely as a trustee or agent for the
benefit of others to whom the resources in question belong.
City of Raleigh
Management’s Discussion and Analysis
Notes To The
Components of the Financial Section