2024 Annual Comprehensive Financial Report

CITY OF SHAKOPEE

MANAGEMENT’S DISCUSSION AND ANALYSIS December 31, 2024

Business-Type Activities

Business-type activities increased the City’s net position by $6.7 million. The increase in net position was primarily the result from increased investment income and developer contributed capital in 2024. Contributions totaled approximately $6.2 million, related to sewer and storm water infrastructure in various developments throughout the city. The sewer and storm water activities will continue to experience ongoing expenses as capital investment is required to maintain and reconstruct the City’s utilities. In addition, new development will also require investment of the City.

Expenses and Program Revenues – Business-Type Activities

$- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 $9,000,000

Program Revenues Expenses

Sewer

Storm

Refuse

Revenues by Source – Business-Type Activities

Operating Grants and Contributions

Other Income 6%

1% Capital Grants and Contributions 42%

Charges for Services 51%

23