Finance and Personnel Committee

Agenda Finance and Personnel Committee **Monona Community Center** 1011 Nichols Road Monday, October 5, 2026 6:45 PM This meeting may be viewed LIVE on YouTube. Notice of Electronic Meeting Option An electronic videoconferencing/teleconferencing option is available for this meeting. As such, it is possible that some or all members of, and a possible quorum, may be in attendance via electronic means and not physically present. The public may attend in person at the location stated above or via Zoom at https://us02web.zoom.us/j/83543836780. To attend via telephone conference, call 1-312-626-6799 and enter Meeting ID: 835 4383 6780. Please mute your phone/microphone when not speaking to ensure the best possible audio quality. 1. Call to Order 2. Roll Call 3. Approval of Minutes A. September 8, 2026 4. Appearances 5. Unfinished Business 6. New Business A. Consideration of Resolution 26-9-2917 Accepting the 2025 Financial Audit Report. B. Consideration of Renew Monona Loan Program Request for Shawn Marie Klett, 1106 Birch Haven Circle. C. Consideration of Resolution 26-10-____ Approving a Grant Agreement with Dane County for a Community Development Block Grant (CDBG) PRO Housing Grant D. Acceptance of General Fund Accounts Payable Checks Dated September 4–30, 2026. (Documentation of invoices paid is available in the City Clerk’s office.) 7. Staff Updates 8. Adjournment Public Appearances Anyone wishing to speak before the Finance and Personnel Committee can do so in person or via Zoom during the Appearances section of the agenda. There is no need to preregister, but please inform the City Clerk of your intention to speak when you arrive or log in. Comments are limited to three (3) minutes per person. Written Comments Page 1 of 220 You can send written comments on agenda items by utilizing the City Council Contact Form. Link to form: https://www.mymonona.com/FormCenter/Contact-and-Community-Input-Forms- 3/City-Council-Contact-Form-106 Accommodations for Disabled Individuals Upon reasonable notice, the City of Monona will accommodate the needs of disabled individuals through auxiliary aids or services. For additional information or to request this service, contact the City Clerk at 608-222-2525, FAX: 608-222-9225, or through the City Police Department TDD telephone number 608-441-0399. Note: The public is notified that any final action taken at a previous meeting may be reconsidered pursuant to the City of Monona ordinances. A suspension of the rules may allow for final action to be taken on an item of New Business. It is possible that members of and a possible quorum of members of other governmental bodies of the municipality may be in attendance at the above-stated meeting to gather information about or speak on a subject over which they have decision-making responsibility. No action will be taken by any governmental body at the above-stated meeting other than the governmental body specifically referred to above in this notice. Per §18-14 of the Monona Code of Ordinances, the Finance and Personnel Committee has the following functions and powers: 1. To review the audit procedures of the City and to supervise implementation of recommendations made by the City's auditors. 2. To investigate various options for borrowing funds for capital and outlay expenditures. 3. To recommend appropriate depositories for City funds. 4. To review claims against the City, whether budgeted or unbudgeted. 5. To review the City's accounting procedures. 6. At its option, to review all ordinances and resolutions having a fiscal impact on the City. 7. To receive and review the executive budget from the Mayor and City Administrator and to receive comments from the public and advisory boards, commissions and committees on the contents of the budget, and to propose a legislative budget to the Council. 8. To review recommendations for revenue generation by the City, including investment of City funds. 9. To review all franchises granted by the City. 10. To review any intergovernmental contracts entered into by the City. (11) To review all personnel matters, including establishment of wage and salary schedules for management and unclassified employees. Such matters as may be under the exclusive jurisdiction of the Police and Fire Commission are excluded from this review. (12) To review all labor contracts and labor relations policies of the City. Page 2 of 220 Monona Finance and Personnel Committee Minutes September 8, 2026 Call to Order The regular meeting of the Monona Finance and Personnel Committee was called to order by Mayor Nancy Moore at 6:45 PM. Roll Call Present: Mayor Nancy Moore, Alderperson Doug Wood, and Alderperson Patrick DePula Absent: None Also Present: Administrator Neil Stechschulte, Finance Director Marc Houtakker, and City Clerk Christina Kahl Approval of Minutes 3.A. August 17, 2026 Motion by Alder Wood, seconded by Alder DePula to approve the August 17, 2026 meeting minutes. Motion Passed. Appearances There were no Appearances. Unfinished Business There was no Unfinished Business. New Business 6.A. Monthly Financial Report. Director Houtakker reviewed the report, which was provided in the meeting packet. 6.B. Acceptance of General Fund Accounts Payable Checks Dated August 14– September 3, 2026. (Documentation of invoices paid is available in the City Clerk’s office.) Director Houtakker reviewed some of the invoices. A report was provided in the meeting packet. Motion by Alder DePula, seconded by Alder Wood to accept the accounts payable checks dated August 14–September 3, 2026. Motion Passed. Staff Updates DRAFT Page 3 of 220 There were no staff updates. Adjournment Motion by Alder DePula, seconded by Alder Wood to adjourn the meeting. Motion Passed (7:01 PM). DRAFT Page 4 of 220 Resolution No. 26-9-2917 Monona Common Council ACCEPTING THE 2025 FINANCIAL AUDIT REPORT WHEREAS, per Monona Code of Ordinances §63-13, a firm of certified public accountants is employed each year by the City to conduct a detailed audit of the City's financial transactions and its books, and to assist the City Administrator in the management of the City's financial affairs, including the City's public utilities. The 2025 audit has been completed by CliftonLarsonAllen, LLP; and, WHEREAS, the audit includes a separate review of the financial records and a statement of opinion on the financial reports together with a management letter detailing improvements that can be made in the financial administration of the City, the City Water Utility, the City Sewer Utility and the City Stormwater Utility. WHEREAS, a summary presentation of the audit results was made to the City Council on September 8, 2026, and copies of the completed audit report were transmitted to the Mayor and Council members and will also be placed on file in the Monona Library and with the City Clerk. NOW, THEREFORE, BE IT RESOLVED, that the Common Council of the City of Monona, Dane County, Wisconsin, hereby accepts the 2025 Financial Audit Report as prepared by CliftonLarsonAllen, LLP. Adopted this ________ day of ______________________________, 2026. BY ORDER OF THE CITY COUNCIL CITY OF MONONA, WISCONSIN __________________________ ______________ Nancy W. Moore Mayor ATTEST: __________________________ ______________ Christina M. Kahl City Clerk Council Action: Date Introduced: 9-8-26 Date Approved: _____ Page 5 of 220 COLLABORATORS | COACHES | ADVOCATES | MENTORS FRIENDS | VOLUNTEERS | REGULARS | DINERS | VISITORS | CPAs | CONSULTANTS | WEALTH ADVISORS | NEIGHBORS COLLABORATORS | COACHES | ADVOCATES | MENTORS | CONNOISSEURS | CUSTOMERS | TEACHERS | PATRONS | FRIENDS | VOLUNTEERS | REGULARS CPAS | CONSULTANTS Right there with you CLAconnect.com CITY OF MONONA, WISCONSIN FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION YEAR ENDED DECEMBER 31, 2025 Page 6 of 220 CITY OF MONONA, WISCONSIN TABLE OF CONTENTS YEAR ENDED DECEMBER 31, 2025 INDEPENDENT AUDITORS’ REPORT 1 MANAGEMENT’S DISCUSSION AND ANALYSIS 5 BASIC FINANCIAL STATEMENTS GOVERNMENT-WIDE FINANCIAL STATEMENTS STATEMENT OF NET POSITION 15 STATEMENT OF ACTIVITIES 16 FUND FINANCIAL STATEMENTS BALANCE SHEET — GOVERNMENTAL FUNDS 18 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES — GOVERNMENTAL FUNDS 20 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES — BUDGET AND ACTUAL — GENERAL FUND 22 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES — BUDGET AND ACTUAL — COMMUNITY RECREATION SPECIAL REVENUE FUND 23 STATEMENT OF NET POSITION — PROPRIETARY FUNDS 24 STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION — PROPRIETARY FUNDS 26 STATEMENT OF CASH FLOWS — PROPRIETARY FUNDS 27 STATEMENT OF NET POSITION — FIDUCIARY FUND 29 STATEMENT OF CHANGES IN NET POSITION — FIDUCIARY FUND 30 NOTES TO BASIC FINANCIAL STATEMENTS 31 REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY (ASSET) — WISCONSIN RETIREMENT SYSTEM 77 SCHEDULE OF CONTRIBUTIONS — WISCONSIN RETIREMENT SYSTEM 77 SCHEDULE OF PROPORTIONATE SHARE OF NET OPEB LIABILITY (ASSET) — LOCAL RETIREE LIFE INSURANCE FUND 78 SCHEDULE OF CONTRIBUTIONS — LOCAL RETIREE LIFE INSURANCE FUND 78 NOTES TO REQUIRED SUPPLEMENTARY INFORMATION 79 SUPPLEMENTARY INFORMATION GENERAL FUND DETAILED COMPARISON OF BUDGETED AND ACTUAL REVENUES AND OTHER FINANCING SOURCES 82 Page 7 of 220 CITY OF MONONA, WISCONSIN TABLE OF CONTENTS YEAR ENDED DECEMBER 31, 2025 DETAILED COMPARISON OF BUDGETED AND ACTUAL EXPENDITURES AND OTHER FINANCING SOURCES 84 COMBINING BALANCE SHEET — NONMAJOR GOVERNMENTAL FUNDS 85 COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES — NONMAJOR GOVERNMENTAL FUNDS 90 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — GENERAL DEBT SERVICE FUND 95 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — GENERAL CAPITAL PROJECTS FUND 96 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — LIBRARY SPECIAL REVENUE FUND 97 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — CATV SPECIAL REVENUE FUND 98 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — SOLID WASTE SPECIAL REVENUE FUND 99 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — AMBULANCE SPECIAL REVENUE FUND 100 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — COMMUNITY DEVELOPMENT AUTHORITY SPECIAL REVENUE FUND 101 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 4 CAPITAL PROJECTS FUND 102 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 5 CAPITAL PROJECTS FUND 103 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 6 CAPITAL PROJECTS FUND 104 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 7 CAPITAL PROJECTS FUND 105 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 8 CAPITAL PROJECTS FUND 106 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 9 CAPITAL PROJECTS FUND 107 Page 8 of 220 CITY OF MONONA, WISCONSIN TABLE OF CONTENTS YEAR ENDED DECEMBER 31, 2025 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 10 CAPITAL PROJECT FUND 108 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 11 CAPITAL PROJECT FUND 109 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 12 CAPITAL PROJECT FUND 110 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 13 CAPITAL PROJECT FUND 111 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 14 CAPITAL PROJECT FUND 112 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 15 CAPITAL PROJECT FUND 113 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 16 CAPITAL PROJECT FUND 114 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL — TIF NO. 17 CAPITAL PROJECT FUND 115 SCHEDULE OF WATER UTILITY OPERATING REVENUES AND EXPENSES 116 SCHEDULE OF SEWER UTILITY OPERATING REVENUES AND EXPENSES 117 SCHEDULE OF STORMWATER UTILITY OPERATING REVENUES AND EXPENSES 118 ADDITIONAL INDEPENDENT AUDITORS’ REPORT FOR BASIC FINANCIAL STATEMENTS INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS 120 Page 9 of 220 CLA (CliftonLarsonAllen LLP) is an independent network member of CLA Global. See CLAglobal.com/disclaimer.  CliftonLarsonAllen LLP  CLAconnect.com  (1) INDEPENDENT AUDITORS’ REPORT City Council City of Monona, Wisconsin Report on the Audit of the Financial Statements Opinions We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Monona, Wisconsin (the City), as of and for the year ended December 31, 2025, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents. In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City, as of December 31, 2025, and the respective changes in financial position, and, where applicable, cash flows thereof and the budgetary comparison for the General Fund and the budgetary comparison for the Community Recreation Service Fund for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditors’ Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. Page 10 of 220 City Council City of Monona, Wisconsin (2) Auditors’ Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with GAAS and Government Auditing Standards, we:  Exercise professional judgment and maintain professional skepticism throughout the audit.  Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.  Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed.  Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.  Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit. Page 11 of 220 City Council City of Monona, Wisconsin (3) Required Supplementary Information Accounting principles generally accepted in the United States of America require that management’s discussion and analysis and the schedules relating to pensions and other postemployment benefits be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with GAAS, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The financial information listed in the table of contents as supplementary information is presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the identify supplementary information is fairly stated, in all material respects, in relation to the basic financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated September 17, 2026, on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance. CliftonLarsonAllen LLP Green Bay, Wisconsin September 17, 2026 Page 12 of 220 (4) MANAGEMENT’S DISCUSSION AND ANALYSIS Page 13 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (5) As management of the City of Monona, Wisconsin, we offer readers of the City’s basic financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended December 31, 2025. Financial Highlights  The City’s assets and deferred outflows of resources exceeded its liabilities and deferred inflows of resources as of December 31, 2025 by $34.8 million (net position). Total net position includes all infrastructure of the government unit.  The City’s total net position increased by $5 million.  As of December 31, 2025, the City’s governmental activities reported combined ending fund balances of $11.5 million, an increase of $4.4 million in comparison with the prior year.  As of December 31, 2025, unassigned fund balance for the general fund was $3.2 million or approximately 39.1% of total general fund expenditures. The general fund balance increased $1.1 million during 2025. Overview of the Basic Financial Statements This discussion and analysis is intended to serve as an introduction to the City’s basic financial statements. The City’s basic financial statements are comprised of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the basic financial statements. This report also contains other supplementary information and required supplementary information in addition to the basic financial statements themselves. Government-wide financial statements. The government-wide financial statements are designed to provide readers with a broad overview of the City’s finances, in a manner similar to a private-sector business. The statement of net position presents information on all of the City’s assets, liabilities and deferred outflows and inflows of resources with the difference reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. The statement of activities presents information showing how the City’s net position changed during the most recent year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows . Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., earned but unused vacation leave). Both of the government-wide financial statements distinguish functions of the City that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges ( business-type activities). The governmental activities of the City include general government, public safety, public works, health and human services, culture and recreation, and conservation and development. The business-type activities of the City include the City’s water, sewer, and stormwater utilities and the mass transit operation. The government-wide financial statements can be found on pages 15 - 17 of this report. Fund financial statements. A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into three categories: governmental funds, proprietary funds and fiduciary funds. Page 14 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (6) Governmental funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating the City’s near-term financing requirements. It is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the City’s near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains 29 individual governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures and changes in fund balances for the general fund, general debt service fund, general capital project fund, and community recreation service fund, all of which are considered to be major funds. Data from the other 25 governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report. The City adopts an annual appropriated budget for its general, certain special revenue, debt service and capital project funds. As part of the basic governmental fund financial statements, budgetary comparison statements have been provided for the general fund and community recreation service fund to demonstrate compliance with the budget. The basic governmental fund financial statements can be found on pages 18 - 22 of this report. Proprietary funds. The City uses only enterprise funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its water, sewer and stormwater utilities and its mass transit operations. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separat e information for the water, sewer and stormwater utility operations which are considered to be major funds of the City. The basic proprietary fund financial statements can be found on pages 23 - 28 of this report. Notes to the basic financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the basic financial statements can be found on pages 31 - 75 of this report. Other information. Detailed budgetary comparison of the City’s general fund is reported as supplementary information. Budgetary comparison of other funds adopting a budget follows the combining statements referred to earlier in connection with nonmajor governmental funds presented immediately following required supplementary information. Page 15 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (7) Government-Wide Financial Analysis Net position. As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. City of Monona, Wisconsin's N et Position Governmental Business-Type Activities Activities Total 2025 2024 2025 2024 2025 2024 Current and other assets $30,415,489 32,617,116$ $9,067,566 7,971,750 $ 39,483,055 $ 40,588,866 Capital assets 55,764,041 55,300,706 27,204,863 25,857,415 82,968,904 81,158,121 Total Assets 86,179,530 87,917,822 36,272,429 33,829,165 122,451,959 121,746,987 Deferred outflow s of resources 3,936,752 5,261,028 273,165 381,538 4,209,917 5,642,566 Long-term liabilities outstanding 56,304,080 62,875,835 12,313,652 10,495,255 68,617,732 73,371,090 Other liabilities 1,309,962 1,428,505 602,506 558,416 1,912,468 1,986,921 Total Liabilities 57,614,042 64,304,340 12,916,158 11,053,671 70,530,200 75,358,011 Deferred inflow s of resources 21,035,028 21,838,570 278,232 364,128 21,313,260 22,202,698 Net Position (Deficit) Net investment in capital assets 16,360,800 10,639,905 15,562,687 15,505,577 31,923,487 26,145,482 Restricted 3,187,506 6,129,145 1,040,208 1,828,114 4,227,714 7,957,259 Unrestricted (8,081,094) (9,733,110) 6,748,309 5,459,213 (1,332,785) (4,273,897) Total Net Position (Deficit) 11,467,212$ 7,035,940 $ 23,351,204 $ 22,792,904 $ 34,818,416 $ 29,828,844 $ By far the largest portion of the City’s net position reflects its net investment in capital assets (e.g. land, buildings, machinery and equipment, infrastructure, etc.) used to acquire those assets that are still outstanding. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although, the City’s net investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. An additional portion of the City’s net position represents resources that are subject to external restrictions on how they may be used. Page 16 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (8) Change in net position. Governmental activities increased the City’s net position by $4.8 million and the business-type activities increased net position by $0.6 million. A summary of the City’s change in net position follows: 2025 2024 2025 2024 2025 2024 Revenues: Program revenues: Charges for services 3,586,541 $ 2,799,563 $ 4,709,649 $ 4,500,196 $ 8,296,190 $ 7,299,759 $ Operating grants and contributions 1,469,559 1,613,410 318,551 179,745 1,788,110 1,793,155 Capital grants and contributions 53,132 32,162 - - 53,132 32,162 General revenues: Taxes 16,888,243 14,395,208 128,700 127,920 17,016,943 14,523,128 Grants and contributions not restricted to specific programs 1,217,932 1,359,523 - - 1,217,932 1,359,523 Other 1,516,456 1,578,569 146,925 184,804 1,663,381 1,763,373 Total revenues 24,731,863 21,778,435 5,303,825 4,992,665 30,035,688 26,771,100 Expenses: General government 2,592,075 2,595,884 - - 2,592,075 2,595,884 Public safety 6,009,560 5,061,755 - - 6,009,560 5,061,755 Public w orks 3,042,177 2,705,541 - - 3,042,177 2,705,541 Culture and recreation 4,596,425 3,884,852 - - 4,596,425 3,884,852 Conservation and development 2,241,070 2,613,867 - - 2,241,070 2,613,867 Interest on long-term debt 2,107,252 1,958,955 - - 2,107,252 1,958,955 Water - - 1,386,071 1,272,885 1,386,071 1,272,885 Sew er - - 1,852,251 1,821,213 1,852,251 1,821,213 Stormw ater - - 795,599 760,762 795,599 760,762 Mass transit - - 423,636 298,461 423,636 298,461 Total Expenses 20,588,559 18,820,854 4,457,557 4,153,321 25,046,116 22,974,175 Changes in net position before transfers 4,143,304 2,957,581 846,268 839,344 4,989,572 3,796,925 Transfers 287,968 285,570 (287,968) (285,570) - - Change in net position 4,431,272 3,243,151 558,300 553,774 4,989,572 3,796,925 Net position - January 1 7,035,940 3,673,594 22,792,904 22,221,999 29,828,844 25,895,593 Change in accounting principle - 119,195 - 17,131 - 136,326 Net position - January 1, as restated 7,035,940 3,792,789 22,792,904 22,239,130 29,828,844 26,031,919 Net position - December 31 11,467,212 $ 7,035,940 $ 23,351,204 $ 22,792,904 $ 34,818,416 $ 29,828,844 $ City of Monona, Wisconsin's Change in Net Position Governmental Business-Type Activities Activities Total A summary of key changes follows: Governmental Activities:  Total revenues increased from 2024 to 2025.  Total expenses increased from 2024 to 2025. Business-Type Activities:  Total revenues increased from 2024 to 2025.  Total expenses increased from 2024 to 2025. Page 17 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (9) Page 18 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (10) Page 19 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (11) Financial Analysis of the City’s Funds As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental funds. The focus of the City’s governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City’s financing requirements. In particular, unassigned fund balance may serve as a useful measure of the City’s net resources available for spending at the end of the fiscal year. As of December 31, 2025, the City’s governmental funds reported combined ending fund balances of $9.7 million, a decrease of $2.5 million in comparison with the prior year. The general fund is the chief operating fund of the City. At the end of the current year, unassigned fund balance of the general fund was $3,165,056 while total fund balance was $3,428,116. As a measure of the general fund’s liquidity, it may be useful to compare both unassigned fund balance and total fund balance to total fund expenditures. Unassigned fund balance represents 39.1% of total general fund expenditures, while total fund balance represents 42.4% of that same amount. The fund balance of the City’s general fund increased by $1,063,356 during the current year. The general debt service fund is used to retire long-term debt related to governmental activities and annually levies sufficient taxes to retire all obligations. The ending fund balance was $1,200,176, a decrease of $2,203,232 from the prior year. The General Capital Projects capital projects fund is used to finance project plan expenditures of the city. The ending fund balance was $2,230,336, a decrease of $700,521 from the prior year. Proprietary funds. The City’s proprietary funds provide the same type of information found in the City’s government- wide financial statements, but in more detail. Total net position of the City’s water utility at the end of the year amounted to $13,188,374 with $6,768,965 net investment in capital assets, $664,908 restricted for debt retirement, and $5,754,501 as unrestricted. The fund experienced an increase in net position of $398,172 from operations. Total net position of the City’s sewer utility at the end of the year amounted to $4,706,064 with $3,152,936 net investment in capital assets, $375,300 restricted for debt retirement, and $1,177,828 as unrestricted. The fund experienced an increase in net position of $9,274 from operations. Total net position of the City’s stormwater utility at the end of the year amounted to $5,368,915 with $5,640,786 net investment in capital assets and ($271,871) as unrestricted. The fund experienced an increase in net position of $181,249 from operations. Total net position of the City’s mass transit utility at the end of the year amounted to $87,851 with $87,851 as unrestricted. The fund experienced a decrease in net position of $30,395 from operations. Other factors concerning the finances of these funds have already been addressed in the discussion of the City’s business-type activities. General Fund Budgetary Highlights During the year, actual revenues were higher than budgeted revenues by $540,242. Actual expenditures were lower than budgeted expenditures by $261,585. Community Recreation Service Fund Budgetary Highlights During the year, actual revenues were higher than budgeted revenues by $108,953. Actual expenditures were higher than budgeted expenditures by $101,412. Page 20 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (12) Capital Asset and Debt Administration Capital assets. The City’s net investment in capital assets for its governmental and business-type activities as of December 31, 2025 amounts to $31.9 million (net of accumulated depreciation). This investment in capital assets includes land, land improvements, buildings, machinery and equipment, vehicles, public domain infrastructure (highways and bridges), and construction in progress. Major capital assets acquired or constructed during the year include: Governmental Activities  City Hall Garage Smart Board Panel $9,466  City Hall Telephone System $13,356  City Hall Computers $21,743  City Hall Video Server $5,124  Police Add Ons to F250 $21,066  Police Chevy Blazer $98,322  Police Dispatch Computer $2,250  Police Ballistic Helmets and Shields $14,623  Police Portable Radios $17,059  EMS Heart Monitor $39,695  EMS Defibrillators $15,786  Fire Chief Truck $78,000  EMS Ambulance $226,673  Fire Protective Clothing $13,412  Fire Radio Replacement $23,457  Public Works Garage Roof $582,643  Public Works Garage Air Compressor $30,012  Public Works Garage Mechanic Truck $77,266  Public Works Garage Boom Truck $221,756  Public Works Garage Security Camera $3,675  Public Works Garage Residential Street Lighting $113,710  Public Works Garage Rapid Flash $30,008  Library Children’s Room Remodel $50,000  Library Computers $6,032  Library Water Softener $1,395  Community Center Senior Center Remodel $328,076  Community Center Senior Center Reception Desk $2,960  Community Center Senior Center Refrigerator $2,422  Community Center Compressor $21,286  Parks Techumseh Bridge Wall $83,563  Parks Schluter Beach Camera $2,836  Parks Electric Vehicle Charger $29,901  Parks Winnquha Park Walking Path $465,160  Kelly Place Bike Path $140,574 Business-Type Activities  Water Pump Rebuild $44,702  Water Hydrants $9,121  Water Meters $4,015  Storm Reach 64 Structure $1,823,142  Sewer Midmoor Lift Station $730,193  Sewer Winq Lift Station $554,363 Page 21 of 220 City of Monona, Wisconsin MANAGEMENT’S DISCUSSION AND ANALYSIS DECEMBER 31, 2025 (13) City of Monona, Wisconsin's Capital Assets Governmental Activities Business-Type Activities Total 2025 2024 2025 2024 2025 2024 Land 14,987,873 $ 14,987,873 $ 91,431 $ 91,431 $ 15,079,304$ 15,079,304 $ Buildings and Improvements 18,999,736 17,933,227 504,356 536,669 19,504,092 18,469,896 Land Improvements 507,670 42,510 - - 507,670 42,510 Machinery and equipment 13,682,996 12,837,799 3,786,474 3,006,296 17,469,470 15,844,095 Infrastructure 39,024,612 38,884,038 35,537,003 33,611,835 74,561,615 72,495,873 Construction in progress 1,325,300 1,559,169 202,056 1,298,735 1,527,356 2,857,904 Less: A ccumulated depreciation (32,764,146) (30,943,910) (12,916,457) (12,687,551) (45,680,603) (43,631,461) Total 55,764,041 $ 55,300,706 $ 27,204,863 $ 25,857,415 $ 82,968,904 $ 81,158,121 $ Long-term debt. At the end of the current fiscal year, the City had total bonded debt outstanding of $65,040,000. Of this amount, $53,530,888 comprises debt backed by the full faith and credit of the government and $11,509,112 is backed by the revenues of the water and sewer utility or tax increments. City of Monona, Wisconsin's Outstanding Debt General Obligation Debt, Revenue Bonds and Bond Anticipation Notes Governmental Activities Business-Type Activities Total 2025 2024 2025 2024 2025 2024 General Obligation Debt Bonds 18,230,888 $ 16,830,888 $ 634,112 $ 704,112 $ 18,865,000$ 17,535,000 $ Notes 25,510,000 27,210,000 3,500,000 2,930,000 29,010,000 30,140,000 Total General Obligation Debt 43,740,888 44,040,888 4,134,112 3,634,112 47,875,000 47,675,000 Revenue bonds and bond anticipation notes 9,790,000 16,315,000 7,375,000 6,525,000 17,165,000 22,840,000 Total 53,530,888 $ 60,355,888 $ 11,509,112 $ 10,159,112 $ 65,040,000 $ 70,515,000 $ The City’s total debt decreased by $5,475,000. State statutes limit the amount of general obligation debt the City may issue to 5% of its total equalized valuation. The current debt limitation for the City is $113,519,820, which is in excess of the City’s $47,875,000 in outstanding general obligation debt. Economic Factors and Next Year’s Budgets and Rates  It is intended that City of Monona will maintain a minimum unreserved fund balance of 20-35% of general fund budgeted expenditures. All of these factors were considered in preparing the City’s budget for the 2025 year. Contacting the City’s Financial Management This financial report is designed to provide a general overview of the City’s finances for all those with an interest in the City’s finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Finance Director, 5211 Schluter Road, Monona, WI 53716. Page 22 of 220 (14) BASIC FINANCIAL STATEMENTS Page 23 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF NET POSITION DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (15) Governmental Business-Type Activities Activities Totals ASSETS Cash and Investments 16,698,420$ 7,237,922$ 23,936,342$ Receivables: Taxes and Special Charges 9,790,301 77,515 9,867,816 Delinquent Taxes 53,060 - 53,060 Accounts, Net 595,845 452,546 1,048,391 Special Assessments 102,000 1,409 103,409 Loans 748,510 - 748,510 Leases 2,226,999 - 2,226,999 Internal Balances (9,646) 9,646 - Due from Other Governments - 55,100 55,100 Inventories and Prepaid Items - 14,848 14,848 Investment in CVMIC 210,000 - 210,000 Restricted Assets: Cash and Investments - 1,218,580 1,218,580 Capital Assets, Nondepreciable 16,313,173 293,487 16,606,660 Capital Assets, Depreciable 39,450,868 26,911,376 66,362,244 Total Assets 86,179,530 36,272,429 122,451,959 DEFERRED OUTFLOWS OF RESOURCES Loss on Advance Refunding 32,863 - 32,863 Pension Related Amounts 3,835,952 267,905 4,103,857 Other Postemployment Related Amounts 67,937 5,260 73,197 Total Deferred Outflows of Resources 3,936,752 273,165 4,209,917 LIABILITIES Accounts Payable 529,054 400,484 929,538 Accrued and Other Current Liabilities 310,388 11,202 321,590 Due to Other Governments 2,538 - 2,538 Accrued Interest Payable 351,100 112,368 463,468 Special Deposits 3,368 - 3,368 Unearned Revenues 113,514 78,452 191,966 Long-Term Obligations: Due Within One Year 6,500,421 1,329,740 7,830,161 Due in More Than One Year 48,943,669 10,922,100 59,865,769 Other Postemployment Benefits 213,935 16,560 230,495 Net Pension Liability 646,055 45,252 691,307 Total Liabilities 57,614,042 12,916,158 70,530,200 DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year 16,716,797 132,561 16,849,358 Special Assessments 28,649 - 28,649 Leases Receivable 2,226,999 - 2,226,999 Pension Related Amounts 1,899,260 133,029 2,032,289 Other Postemployment Related Amounts 163,323 12,642 175,965 Total Deferred Inflows of Resources 21,035,028 278,232 21,313,260 NET POSITION Net Investment in Capital Assets 16,360,800 15,562,687 31,923,487 Restricted: RENEW Monona Affordable Housing 1,448,975 - 1,448,975 Tax Incremental Districts 889,455 - 889,455 Debt Service 849,076 1,040,208 1,889,284 Unrestricted (8,081,094) 6,748,309 (1,332,785) Total Net Position 11,467,212$ 23,351,204$ 34,818,416$ Page 24 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF ACTIVITIES YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (16) Program Revenues Operating Capital Grants Charges for Grants and and Functions/Programs Expenses Services Contributions Contributions GOVERNMENTAL ACTIVITIES General Government 2,592,075$ 6,901$ -$ -$ Public Safety 6,009,560 1,478,273 188,250 - Public Works 3,042,177 975 825,822 53,132 Culture and Recreation 4,596,425 2,100,392 433,387 - Conservation and Development 2,241,070 - 22,100 - Interest and Fiscal Charges 2,107,252 - - - Total Governmental Activities 20,588,559 3,586,541 1,469,559 53,132 BUSINESS-TYPE ACTIVITIES Water Utility 1,386,071 1,989,947 - - Sewer Utility 1,852,251 1,796,927 - - Stormwater Utility 795,599 921,685 55,100 - Mass Transit 423,636 1,090 263,451 - Total Business-Type Activities 4,457,557 4,709,649 318,551 - Total 25,046,116$ 8,296,190$ 1,788,110$ 53,132$ GENERAL REVENUES AND TRANSFERS Taxes: Property Taxes Tax Increments Other Taxes Federal and State Grants and Other Contributions not Restricted to Specific Functions Interest and Investment Earnings Miscellaneous Transfers Total General Revenues and Transfers CHANGE IN NET POSITION Net Position - January 1 NET POSITION - DECEMBER 31 Page 25 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF ACTIVITIES (CONTINUED) YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (17) Net (Expense) Revenue and Changes in Net Position Governmental Business-Type Activities Activities (2,585,174)$ -$ (2,585,174)$ (4,343,037) - (4,343,037) (2,162,248) - (2,162,248) (2,062,646) - (2,062,646) (2,218,970) - (2,218,970) (2,107,252) - (2,107,252) (15,479,327) - (15,479,327) - 603,876 603,876 - (55,324) (55,324) - 181,186 181,186 - (159,095) (159,095) - 570,643 570,643 (15,479,327) 570,643 (14,908,684) 11,916,141 128,700 12,044,841 4,322,408 - 4,322,408 649,694 - 649,694 1,217,932 - 1,217,932 1,012,674 146,925 1,159,599 503,782 - 503,782 287,968 (287,968) - 19,910,599 (12,343) 19,898,256 4,431,272 558,300 4,989,572 7,035,940 22,792,904 29,828,844 11,467,212$ 23,351,204$ 34,818,416$ Totals Page 26 of 220 CITY OF MONONA, WISCONSIN BALANCE SHEET GOVERNMENTAL FUNDS DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (18) General General Community Nonmajor Debt Capital Recreation Governmental General Service Projects Service Funds ASSETS Cash and Investments 5,799,909$ 2,722,525$ 2,482,589$ 374,898$ 5,318,499$ 16,698,420$ Receivables: Taxes and Special Charges 3,358,140 2,146,496 - 464,575 3,821,090 9,790,301 Delinquent Taxes 53,060 - - - - 53,060 Accounts, Net 101,125 - - - 494,720 595,845 Special Assessments 71,378 30,622 - - - 102,000 Loans - - - - 748,510 748,510 Leases 2,226,999 - - - - 2,226,999 Due from Other Funds 158,274 - - - - 158,274 Investment in CVMIC 210,000 - - - - 210,000 Total Assets 11,978,885$ 4,899,643$ 2,482,589$ 839,473$ 10,382,819$ 30,583,409$ LIABILITIES, DEFERRED INFLOWS OF RESOURCES, AND FUND BALANCES LIABILITIES Accounts Payable 200,344$ -$ 252,253$ 29,807$ 46,650$ 529,054$ Accrued and Other Current Liabilities 280,855 - - 15,175 14,358 310,388 Due to Other Funds 9,646 - - - 158,274 167,920 Due to Other Governments 2,538 - - - - 2,538 Special Deposits - - - - 3,368 3,368 Unearned Revenues 113,514 - - - - 113,514 Total Liabilities 606,897 - 252,253 44,982 222,650 1,126,782 DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year 5,716,873 3,670,818 - 794,491 6,534,615 16,716,797 Loans Receivable - - - - 748,510 748,510 Leases Receivable 2,226,999 - - - - 2,226,999 Special Assessments - 28,649 - - - 28,649 Total Deferred Inflows of Resources 7,943,872 3,699,467 - 794,491 7,283,125 19,720,955 FUND BALANCES Nonspendable 263,060 - - - - 263,060 Restricted - 1,200,176 2,230,336 - 1,589,920 5,020,432 Committed - - - - 970,671 970,671 Assigned - - - - 773,613 773,613 Unassigned 3,165,056 - - - (457,160) 2,707,896 Total Fund Balances 3,428,116 1,200,176 2,230,336 - 2,877,044 9,735,672 Total Liabilities, Deferred Inflows of Resources, and Fund Balances 11,978,885$ 4,899,643$ 2,482,589$ 839,473$ 10,382,819$ 30,583,409$ Totals Page 27 of 220 CITY OF MONONA, WISCONSIN BALANCE SHEET RECONCILIATION TO THE STATEMENT OF NET POSITION DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (19) RECONCILIATION TO THE STATEMENT OF NET POSITION Total fund balances as shown on previous page 9,735,672$ Amounts reported for governmental activities in the Statement of Net Position are different because: Capital assets used in governmental activities are not current financial resources and therefore are not reported in the funds. 55,764,041 Other long-term assets are not available to pay current period expenditures and therefore are deferred in the funds. 748,510 Some deferred outflows and inflows of resources reflect changes in long-term liabilities and are not reported in the funds. Loss on Advance Refunding 32,863 Deferred Outflows Related to Pensions 3,835,952 Deferred Inflows Related to Pensions (1,899,260) Deferred Outflows Related to Other Postemployment Benefits 67,937 Deferred Inflows Related to Other Postemployment Benefits (163,323) Long-term liabilities are not due and payable in the current period and, therefore, are not reported in the funds. Bonds and Notes Payable (53,530,888) Premium on Debt (1,127,519) Compensated Absences (785,683) Net Pension Liability (646,055) Other Postemployment Benefit (213,935) Accrued Interest on Long-Term Obligations (351,100) Net position of governmental activities as reported on the Statement of Net Position 11,467,212$ Page 28 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (20) General General Community Nonmajor Debt Capital Recreation Governmental General Service Projects Service Funds REVENUES Taxes 5,855,996$ 3,670,818$ -$ 791,557$ 6,815,312$ 17,133,683$ Special Assessments - 7,162 - - - 7,162 Intergovernmental 1,885,223 - 83,467 3,586 262,169 2,234,445 Licenses and Permits 429,862 - - - 76,215 506,077 Fines and Forfeits 140,601 - - - - 140,601 Public Charges for Services 54,303 - - 1,771,266 906,508 2,732,077 Miscellaneous 974,295 353,626 21,200 - 747,228 2,096,349 Total Revenues 9,340,280 4,031,606 104,667 2,566,409 8,807,432 24,850,394 EXPENDITURES Current: General Government 1,659,813 - - - 828,702 2,488,515 Public Safety 4,693,554 - - - 854,488 5,548,042 Public Works 933,128 - 859,076 - 455,967 2,248,171 Culture and Recreation 506,077 - 53,371 2,558,868 1,479,845 4,598,161 Conservation and Development 294,364 - - - 365,763 660,127 Debt Service: Principal - 9,937,000 - - 4,283,000 14,220,000 Interest and Fiscal Charges - 1,114,315 - - 1,277,790 2,392,105 Capital Outlay - - 2,117,044 - 1,240,000 3,357,044 Total Expenditures 8,086,936 11,051,315 3,029,491 2,558,868 10,785,555 35,512,165 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 1,253,344 (7,019,709) (2,924,824) 7,541 (1,978,123) (10,661,771) OTHER FINANCING SOURCES (USES) Long-Term Debt Issued - 3,640,000 2,200,000 - 1,555,000 7,395,000 Premium on Debt Issued - 522,477 - - - 522,477 Transfers In 494,012 654,000 24,303 - 712,104 1,884,419 Transfers Out (684,000) - - (7,541) (904,910) (1,596,451) Total Other Financing Sources (Uses) (189,988) 4,816,477 2,224,303 (7,541) 1,362,194 8,205,445 NET CHANGE IN FUND BALANCES 1,063,356 (2,203,232) (700,521) - (615,929) (2,456,326) Fund Balances - January 1 2,364,760 3,403,408 2,930,857 - 3,492,973 12,191,998 FUND BALANCES - DECEMBER 31 3,428,116$ 1,200,176$ 2,230,336$ -$ 2,877,044$ 9,735,672$ Totals Page 29 of 220 CITY OF MONONA, WISCONSIN RECONCILIATION TO THE STATEMENT OF ACTIVITIES YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (21) RECONCILIATION TO THE STATEMENT OF ACTIVITIES Net change in fund balances as shown on previous page (2,456,326)$ Amounts reported for governmental activities in the Statement of Activities are different because: Governmental funds report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. Capital Assets Reported as Capital Outlay in Governmental Fund Statements 2,559,438 Depreciation Expense Reported in the Statement of Activities (2,096,103) Governmental funds do not present revenues that are not available to pay current obligations. In contrast, such revenues are reported in the Statement of Activities when earned. 37,908 Debt issued provides current financial resources to governmental funds, but issuing debt increases long-term liabilities in the Statement of Net Position. Repayment of bond principal is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the Statement of Net Position. Long-Term Debt Issued (7,395,000) Premium on Debt Issued (522,477) Principal Repaid 14,220,000 Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore are not reported as expenditures in the governmental funds: Accrued Interest on Long-Term Debt 18,277 Amortization of Premiums, Discounts and Loss on Advance Refunding 266,576 Compensated Absences 16,421 Net Pension Liability (77,373) Deferred Outflows of Resources Related to Pensions (1,271,310) Deferred Inflows of Resources Related to Pensions 1,144,466 Other Postemployment Benefits 47,177 Deferred Outflows of Resources Related to Other Postemployment Benefits (36,535) Deferred Inflows of Resources Related to Other Postemployment Benefits (23,867) Change in net position of governmental activities as reported in the Statement of Activities 4,431,272$ Page 30 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES BUDGET AND ACTUAL — GENERAL FUND YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (22) Variance Final Budget - Budget Positive Original Final Actual (Negative) REVENUES Taxes 5,884,455$ 5,862,205$ 5,855,996$ (6,209)$ Intergovernmental 1,873,276 1,873,276 1,885,223 11,947 Licenses and Permits 309,057 309,057 429,862 120,805 Fines and Forfeits 161,000 161,000 140,601 (20,399) Public Charges for Services 65,500 65,500 54,303 (11,197) Miscellaneous 529,000 529,000 974,295 445,295 Total Revenues 8,822,288 8,800,038 9,340,280 540,242 EXPENDITURES Current: General Government 1,686,433 1,686,433 1,659,813 26,620 Public Safety 4,896,897 4,896,897 4,693,554 203,343 Public Works 974,499 974,499 933,128 41,371 Culture and Recreation 509,953 509,953 506,077 3,876 Conservation and Development 280,739 280,739 294,364 (13,625) Total Expenditures 8,348,521 8,348,521 8,086,936 261,585 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 473,767 451,517 1,253,344 801,827 OTHER FINANCING SOURCES (USES) Transfers In 499,064 499,064 494,012 (5,052) Transfers Out (1,572,831) (1,550,581) (684,000) 866,581 Total Other Financing Sources (Uses) (1,073,767) (1,051,517) (189,988) 861,529 NET CHANGE IN FUND BALANCE (600,000) (600,000) 1,063,356 1,663,356 Fund Balance - January 1 2,364,760 2,364,760 2,364,760 - FUND BALANCE - DECEMBER 31 1,764,760$ 1,764,760$ 3,428,116$ 1,663,356$ Page 31 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES BUDGET AND ACTUAL — COMMUNITY RECREATION SPECIAL REVENUE FUND YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (23) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 791,556$ 791,556$ 791,557$ 1$ Intergovernmental 5,600 5,600 3,586 (2,014) Public Charges for Services 1,660,300 1,660,300 1,771,266 110,966 Total Revenues 2,457,456 2,457,456 2,566,409 108,953 EXPENDITURES Current: Culture and Recreation 2,457,456 2,457,456 2,558,868 (101,412) EXCESS OF REVENUES UNDER EXPENDITURES - - 7,541 7,541 OTHER FINANCING USES Transfers Out - - (7,541) (7,541) NET CHANGE IN FUND BALANCE - - - - Fund Balance - January 1 - - - - FUND BALANCE - DECEMBER 31 -$ -$ -$ -$ Page 32 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF NET POSITION PROPRIETARY FUNDS DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (24) Nonmajor Water Sewer Stormwater Mass Utility Utility Utility Transit ASSETS Current Assets: Cash and Investments 5,654,960$ 1,241,582$ 107,414$ 233,966$ 7,237,922$ Receivables: Taxes and Special Charges - - - 77,515 77,515 Customer Accounts 178,329 187,401 86,816 - 452,546 Special Assessments - - 1,409 - 1,409 Other - - 55,100 - 55,100 Due from Other Funds 3,424 3,600 2,622 - 9,646 Inventories and Prepaid Items 14,848 - - - 14,848 Total Current Assets 5,851,561 1,432,583 253,361 311,481 7,848,986 Noncurrent Assets: Restricted Assets: Cash and Investments 781,670 436,910 - - 1,218,580 Capital Assets: Nondepreciable 199,469 85,278 8,740 - 293,487 Depreciable 12,151,903 6,134,000 8,625,473 - 26,911,376 Total Capital Assets 12,351,372 6,219,278 8,634,213 - 27,204,863 Total Assets 18,984,603 8,088,771 8,887,574 311,481 36,272,429 DEFERRED OUTFLOWS OF RESOURCES Pension Related Amounts 131,492 61,660 72,063 2,690 267,905 Other Postemployment Related Amounts 2,665 1,190 1,357 48 5,260 Total Deferred Outflows of Resources 134,157 62,850 73,420 2,738 273,165 Totals Page 33 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF NET POSITION PROPRIETARY FUNDS (CONTINUED) DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (25) Nonmajor Water Sewer Stormwater Mass Utility Utility Utility Transit LIABILITIES Current Liabilities: Accounts Payable 16,705$ 290,980$ 1,036$ 91,763$ 400,484$ Accrued and Other Current Liabilities 10,192 948 62 - 11,202 Accrued Interest Payable 39,131 24,846 48,391 - 112,368 Unearned Revenue - - 78,452 - 78,452 Current Portion of Long-Term Debt 125,000 31,000 545,000 - 701,000 Compensated Absences 13,244 4,165 6,331 - 23,740 Payable from Restricted Assets: Current Portion of Revenue Bonds 425,000 180,000 - - 605,000 Total Current Liabilities 629,272 531,939 679,272 91,763 1,932,246 Long-Term Obligations, Less Current Portion: General Obligation Debt 896,734 361,049 2,843,871 - 4,101,654 Revenue Bonds 4,274,000 2,496,000 - - 6,770,000 Compensated Absences 28,144 8,850 13,452 - 50,446 Net Pension Liability 22,194 10,435 12,171 452 45,252 Other Postemployment Benefits 8,391 3,747 4,272 150 16,560 Total Long-Term Liabilities 5,229,463 2,880,081 2,873,766 602 10,983,912 Total Liabilities 5,858,735 3,412,020 3,553,038 92,365 12,916,158 DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year - - - 132,561 132,561 Pension Related Amounts 65,245 30,676 35,780 1,328 133,029 Other Postemployment Related Amounts 6,406 2,861 3,261 114 12,642 Total Deferred Inflows of Resources 71,651 33,537 39,041 134,003 278,232 NET POSITION Net Investment in Capital Assets 6,768,965 3,152,936 5,640,786 - 15,562,687 Restricted for: Debt Service 664,908 375,300 - - 1,040,208 Unrestricted 5,754,501 1,177,828 (271,871) 87,851 6,748,309 Total Net Position 13,188,374$ 4,706,064$ 5,368,915$ 87,851$ 23,351,204$ Totals Page 34 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION PROPRIETARY FUNDS YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (26) Nonmajor Water Sewer Stormwater Mass Utility Utility Utility Transit OPERATING REVENUES Charges for Services 1,962,761$ 1,793,407$ 920,063$ 1,090$ 4,677,321$ Other 27,186 3,520 1,622 - 32,328 Total Operating Revenues 1,989,947 1,796,927 921,685 1,090 4,709,649 OPERATING EXPENSES Operation and Maintenance 791,157 1,480,021 411,684 423,636 3,106,498 Depreciation 389,561 196,392 274,735 - 860,688 Taxes 16,143 39,059 - - 55,202 Total Operating Expenses 1,196,861 1,715,472 686,419 423,636 4,022,388 OPERATING INCOME (LOSS) 793,086 81,455 235,266 (422,546) 687,261 NONOPERATING REVENUES (EXPENSES) General Property Taxes - - - 128,700 128,700 Interest Income 82,264 64,598 63 - 146,925 Nonoperating Grants and Donations - - - 263,451 263,451 Interest and Fiscal Charges (189,210) (136,779) (109,180) - (435,169) Total Nonoperating Revenues (Expenses) (106,946) (72,181) (109,117) 392,151 103,907 INCOME (LOSS) BEFORE TRANSFERS AND CONTRIBUTIONS 686,140 9,274 126,149 (30,395) 791,168 Capital Contributions - - 55,100 - 55,100 Transfers Out (287,968) - - - (287,968) CHANGE IN NET POSITION 398,172 9,274 181,249 (30,395) 558,300 Net Position - January 1 12,790,202 4,696,790 5,187,666 118,246 22,792,904 NET POSITION - DECEMBER 31 13,188,374$ 4,706,064$ 5,368,915$ 87,851$ 23,351,204$ Totals Page 35 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF CASH FLOWS PROPRIETARY FUNDS YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (27) Nonmajor Water Sewer Stormwater Mass Utility Utility Utility Transit CASH FLOWS FROM OPERATING ACTIVITIES Cash Received from Customers 1,987,303$ 1,772,563$ 922,488$ 1,090$ 4,683,444$ Cash Paid for Employee Wages and Benefits (439,134) (211,142) (246,584) (7,900) (904,760) Cash Paid to Suppliers (344,815) (1,330,650) (162,307) (389,179) (2,226,951) Net Cash Provided (Used) by Operating Activities 1,203,354 230,771 513,597 (395,989) 1,551,733 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES General Property Taxes - - - 149,340 149,340 Grant Subsidy and Donations - - - 263,451 263,451 Special Assessments Received - - 704 - 704 Due to/from Other Funds 4,363 4,478 1,896 - 10,737 Transfer Out (287,968) - - - (287,968) Net Cash Provided (Used) by Noncapital Financing Activities (283,605) 4,478 2,600 412,791 136,264 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition of Capital Assets (156,496) (283,598) (1,768,043) - (2,208,137) Issuance of Long-Term Debt 3,035,000 1,415,000 950,000 - 5,400,000 Principal Paid on Long-Term Debt (1,941,000) (1,659,000) (450,000) - (4,050,000) Interest Paid on Long-Term Debt (217,372) (166,969) (110,066) - (494,407) Debt Premium 329,564 156,948 60,590 - 547,102 Net Cash Used by Capital and Related Financing Activities 1,049,696 (537,619) (1,317,519) - (805,442) CASH FLOWS FROM INVESTING ACTIVITIES Interest Received 82,264 64,598 63 - 146,925 CHANGE IN CASH AND CASH EQUIVALENTS 2,051,709 (237,772) (801,259) 16,802 1,029,480 Cash and Cash Equivalents - January 1 4,384,921 1,916,263 908,673 217,164 7,427,021 CASH AND CASH EQUIVALENTS - DECEMBER 31 6,436,630$ 1,678,491$ 107,414$ 233,966$ 8,456,501$ Totals Page 36 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF CASH FLOWS PROPRIETARY FUNDS (CONTINUED) YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (28) Nonmajor Water Sewer Stormwater Mass Utility Utility Utility Transit RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES Operating Income (Loss) 793,086$ 81,455$ 235,266$ (422,546)$ 687,261$ Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities: Depreciation 389,561 196,392 274,735 - 860,688 Depreciation Charged to Sewer Utility 25,558 (25,558) - - - Change in Liability (Asset) and Deferred Outflows and Inflows of Resources Related to Pension: Pension Asset/Liability 1,507 800 1,015 123 3,445 Deferred Outflows of Resources 52,952 23,725 27,794 423 104,894 Deferred Inflows of Resources (45,479) (20,893) (23,928) (434) (90,734) Related to Other Postemployment Benefits: Other Postemployment Benefits Liability (2,761) (1,126) (1,384) (11) (5,282) Deferred Outflows of Resources 1,797 760 906 16 3,479 Deferred Inflows of Resources 450 259 240 28 977 (Increase) Decrease in Assets: Accounts Receivables (2,644) (24,364) (12,447) - (39,455) Increase (Decrease) in Liabilities: Accounts Payable (11,457) 1,318 263 26,412 16,536 Accrued and Other Current Liabilities 2,862 486 (1,092) - 2,256 Unearned Revenues - - 13,250 - 13,250 Compensated Absences (2,078) (2,483) (1,021) - (5,582) Net Cash Provided (Used) by Operating Activities 1,203,354$ 230,771$ 513,597$ (395,989)$ 1,551,733$ RECONCILIATION OF CASH AND CASH EQUIVALENTS TO THE STATEMENT OF NET POSITION Cash and Investments in Current Assets 5,654,960$ 1,241,582$ 107,414$ 233,966$ 7,237,922$ Cash and Investments in Restricted Assets 781,670 436,910 - - 1,218,580 Total Cash and Cash Equivalents 6,436,630$ 1,678,492$ 107,414$ 233,966$ 8,456,502$ NONCASH CAPITAL AND RELATED FINANCING ACTIVITIES Capital assets contributed by customers/developers -$ -$ 55,100$ - 55,100$ Totals Page 37 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF NET POSITION FIDUCIARY FUND DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (29) ASSETS Cash and Investments 11,175,622$ Receivables: Taxes 15,737,115 Total Assets 26,912,737 DEFERRED INFLOWS Property Taxes Levied for Subsequent Year 26,912,737 NET POSITION Restricted -$ Page 38 of 220 CITY OF MONONA, WISCONSIN STATEMENT OF CHANGES IN NET POSITION FIDUCIARY FUND YEAR ENDED DECEMBER 31, 2025 See accompanying Notes to Basic Financial Statements. (30) ADDITIONS Taxes, Special Charges, and Assessments Collected 23,574,268$ DEDUCTIONS Payments to Other Taxing Districts 23,574,268 Net Position - January 1 - NET POSITION - DECEMBER 31 -$ Page 39 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (31) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The basic financial statements of the City of Monona, Wisconsin (the City), have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) as applied to government units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The significant accounting principles and policies utilized by the City are described below: A. Reporting Entity This report includes all of the funds of the City. The reporting entity for the City consists of (a) the primary government, (b) organizations for which the primary government is financially accountable, and (c) other organizations for which the nature and significance of their relationship with the primary government are such that their exclusion would cause the reporting entity’s financial statements to be misleading or incomplete. The primary government is financially accountable if it appoints a voting majority of the organization’s governing body and (1) it is able to impose its will on organization or (2) there is a potential for the organization to provide specific financial benefits to or burdens on the primary government. The primary government may be financially accountable if an organization is fiscally dependent on the primary government. A legally separate, tax exempt organization should be reported as a component unit of a reporting entity if all of the following criteria are met: (1) the economic resources received or held by the separate organization are entirely or almost entirely for the direct benefit of the primary government, its component units, or its constituents; (2) the primary government is entitled to, or has the ability to otherwise access, a majority of the economic resources received or held by the separate organization; (3) the economic resources received or held by an individual organization that the specific primary government, or its component units, is entitled to, or has the ability to otherwise access, are significant to that primary government. The following component unit is included in the City’s financial reporting entity. Blended Component Units The City has created a Community Development Authority under Section 66.4325 of the Wisconsin Statutes to plan out community development programs and activities approved by the Mayor and City Council. The Community Development Authority is funded primarily by transfers from the City and is accounted for as a special revenue fund. In addition, the Community Development Authority and City of Monona created Renew Monona through the State of Wisconsin Tax Incremental District extension for low-income housing. The purpose is to offer low interest loans to those purchasing or residing in a home in the City to make substantial improvements. Page 40 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (32) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) B. Government-Wide and Fund Financial Statements The government-wide financial statements (i.e., the statement of net position and the statement of activities) report information on all of the nonfiduciary activities of the City. Governmental activities, which are primarily supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for services. The statement of activities demonstrates the degree to which the direct expenses of a given function are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds and proprietary funds. Governmental funds include general, special revenue, debt service and capital projects funds. Proprietary funds include enterprise funds. The City reports no internal service funds. Major individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial statements. The City reports the following major governmental funds: General Fund This is the City’s primary operating fund. It accounts for all financial resources of the general government, except those accounted for in another fund. General Debt Service Fund This fund accounts for the resources accumulated and payments made for principal and interest on long-term general obligation debt of governmental funds. General Capital Projects This fund accounts for the acquisition or construction of major capital facilities and other project plan expenditures related to General Capital Projects Community Recreation Service This fund accounts for the community programs and services provided to the City and other activities related to community recreation. The City reports the following major enterprise funds: Water Utility Fund This fund accounts for the provision of water services to City residents, public authorities, and business entities. Page 41 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (33) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) B. Government-Wide and Fund Financial Statements (Continued) Sewer Utility Fund This fund accounts for the provision of sewer collection and treatment services to City residents, public authorities, and business entities. Sewer treatment services are provided per agreement with Madison Metropolitan Sewerage District. Stormwater Utility Fund This fund accounts for the provision of stormwater management services to properties within the City. The City reports the following nonmajor governmental and enterprise funds: Special Revenue funds account for the proceeds of specific revenue sources (other than major capital projects) that are legally restricted to expenditures for specific purposes.  Library  CATV  Solid Waste  Ambulance  Community Development Authority  Donations  Family and Medical Leave Act  Renew Monona  Room Tax Debts Service funds account for the resources accumulated and payments made for principal and interest on long-term debt.  Library Expansion Debt Service Capital Projects funds account for the acquisition or construction of major capital facilities other than those financed by proprietary fund types.  Park Land Projects  TIF District No. 4  TIF District No. 5  TIF District No. 6  TIF District No. 7  TIF District No. 8  TIF District No. 9  TIF District No. 10  TIF District No. 11 Page 42 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (34) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) B. Government-Wide and Fund Financial Statements (Continued) Stormwater Utility Fund (Continued)  TIF District No. 12  TIF District No. 13  TIF District No. 14  TIF District No. 15  TIF District No. 16  TIF District No. 17 Enterprise funds may be used to report any activity for which a fee is charged to external uses for goods or services, and must be used for activities which meet certain debt or cost recovery criteria.  Mass Transit Additionally, the City reports the following fiduciary fund:  Custodial Fund accounts for property taxes and specials collected on behalf of other governments. C. Measurement Focus and Basis of Accounting The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenues as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the City considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to lease liabilities, compensated absences and claims and judgments, are recorded only when payment is due. Page 43 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (35) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) C. Measurement Focus and Basis of Accounting (Continued) Revenues susceptible to accrual include intergovernmental grants, intergovernmental charges for services, public charges for services and interest. Other revenues such as licenses and permits, fines and forfeits and miscellaneous revenues are recognized when received in cash or when measurable and available. As a general rule the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are charges between the City’s water, sewer, and stormwater utility functions and various other functions of the City. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the City’s proprietary funds are charges to customers for services. Operating expenses for proprietary funds include the costs of services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. When both restricted and unrestricted resources are available for use, it is the City’s policy to use restricted resources first, then unrestricted resources, as they are needed. D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance 1. Cash and Investments Cash and investments are combined in the financial statements. Cash deposits consist of demand and time deposits with financial institutions and are carried at cost. Investments are stated at fair value. Fair value is the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date. For purposes of the statement of cash flows, all cash deposits and highly liquid investments (including restricted assets) with a maturity of three months or less from date of acquisition are considered to be cash equivalents. Page 44 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (36) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance (Continued) 2. Property Taxes and Special Charges Receivable Property taxes and special charges consist of taxes on real estate and personal property and user charges assessed against City properties. They are levied during December of the prior year and become an enforceable lien on property the following January 1. Property taxes are payable in various options depending on the type and amount. Personal property taxes and special charges are payable on or before January 31 in full. Real estate taxes are payable in full by January 31 or in two equal installments on or before January 31 and July 31. Real estate taxes not paid by January 31 are purchased by the County as part of the February tax settlement. Delinquent personal property taxes remain the collection responsibility of the City. Special charges not paid by January 31 are held in trust by the County and remitted to the City, including interest, when collected by the County. 3. Accounts Receivable Accounts receivable have been shown net of allowance for uncollectable accounts of $373,141 in the Ambulance Fund. 4. Interfund Receivables and Payables During the course of operations, numerous transactions occur between individual funds for goods provided or services rendered. These receivables and payables are classified as “due from other funds” and “due to other funds” in the fund financial statements. The amount reported on the statement of net position for internal balances represents the residual balance outstanding between the governmental and business-type activities. 5. Inventories Inventories are recorded at cost, which approximates market, using the first-in, first- out method. Inventories consist of expendable supplies held for consumption. The cost is recorded as an expenditure at the time individual inventory items are expensed in the periods benefited. Inventories of governmental funds in the fund financial statements are classified as nonspendable fund balance to indicate that they do not represent spendable available financial resources. Page 45 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (37) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance (Continued) 6. Prepaid Items Payments made to vendors that will benefit periods beyond the end of the current fiscal year are recorded as prepaid items and are expensed during the periods benefited. Prepaid items of governmental funds in the fund financial statements are classified as nonspendable fund balance to indicate that they do not represent spendable available financial resources. 7. Capital Assets Capital assets, which include property, plant, equipment, and infrastructure assets, are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost of at least $1,000 for property, plant and equipment and $250,000 for infrastructure assets and an estimated useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated acquisition value at the date of donation. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. Capital assets of the City are depreciated using the straight-line method over the following estimated useful lives: Governmental Business-Type Activities Activities Assets Land improvements 10-50 20-100 Buildings and improvements 20-50 33-84 Machinery and equipment 3-50 7-40 Infrastructure 40-50 0 Years 8. Compensated Absences The liability for compensated absences reported in the government-wide and proprietary fund statements consists of leave that has been used that is attributable to services already rendered, accumulates and is more likely than not to be use for time off or otherwise paid in cash or settled through noncash means. The liability also includes amounts for leave that has been used for time off but has not yet been paid in cash or settled through noncash means and certain other types of leave. Page 46 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (38) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance (Continued) 9. Deferred Outflows/Inflows of Resources Deferred outflows of resources are a consumption of net position by the government that is applicable to a future reporting period. Deferred inflows of resources are an acquisition of net position by the government that is applicable to a future reporting period. The recognition of those outflows and inflows as expenses or expenditures and revenues are deferred until the future periods to which the outflows and inflows are applicable. Governmental funds may report deferred inflows of resources for unavailable revenues. The City reports unavailable revenues for special assessments. These inflows are recognized as revenues in the government-wide financial statements. 10. Long-Term Obligations In the government-wide financial statements, and proprietary funds in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund statement of net position. Bond premiums and discounts are deferred and amortized over the life of the bonds. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are expensed as incurred. In the fund financial statements, governmental funds recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. Page 47 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (39) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance (Continued) 11. Leases The City is a lessor for space usage. Lessor The City determines if an arrangement is a lease at inception. Leases are included in lease receivables and deferred inflows of resources in the statement of net position and fund financial statements. Lease receivables represent the City’s claim to receive lease payments over the lease term, as specified in the contract, in an exchange or exchange-like transaction. Lease receivables are recognized at commencement date based on the present value of expected lease payments over the lease term. Interest revenue is recognized ratably over the contract term. Deferred inflows of resources related to leases are recognized at the commencement date based on the initial measurement of the lease receivable, plus any payments received from the lessee at or before the commencement of the lease term that relate to future periods, less any lease incentives paid to, or on behalf of, the lessee at or before the commencement of the lease term. The deferred inflows related to leases are recognized as lease revenue in a systematic and rational manner over the lease term. Amounts to be received under residual value guarantees that are not fixed in substance are recognized as a receivable and an inflow of resources if (a) a guarantee payment is required and (b) the amount can be reasonably estimated. Amounts received for the exercise price of a purchase option or penalty for lease termination are recognized as a receivable and an inflow of resources when those options are exercised. The City recognizes payments received for short-term leases with a lease term of 12 months or less, including options to extend, as revenue as the payments are received. These leases are not included as lease receivables or deferred inflows on the statements of net position and fund financial statements. The individual lease contracts do not provide information about the discount rate implicit in the lease. Therefore, the City has elected to use their incremental borrowing rate to calculate the present value of expected lease payments. Page 48 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (40) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance (Continued) 11. Leases Lessor (Continued) The City accounts for contracts containing both lease and nonlease components as separate contracts when possible. In cases where the contract does not provide separate price information for lease and nonlease components, and it is impractical to estimate the price of such components, the City treats the components as a single lease unit. 12. Pensions Wisconsin Retirement System The fiduciary net position of the Wisconsin Retirement System (WRS) has been determined using the flow of economic resources measurement focus and accrual basis of accounting. This includes for purposes of measuring the following:  Net Pension Liability (Asset),  Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions,  Pension Expense (Revenue). Information about the fiduciary net position of the WRS and additions to/deductions from WRS’ fiduciary net position have been determined on the same basis as they are reported by the WRS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value. Defined Contribution Pension Plan The City contributes to the Service Award Program (SAP), a defined contribution pension plan, for its volunteer firefighters, first responders and emergency medical technicians. SAP is administered by Penflex, Inc. and UBS Financial Services, Inc. The City determines annually the amount it will contribute on behalf of each individual in the program. Participants are fully vested to receive a service award once he or she attains 15 years of service for a municipality and paid a service award upon reaching age of 60. A participant who has discontinued providing eligible service after performing a minimum 10 years of service shall be partially vested and may elect to receive a partial service award at any time after reaching age 53. Nonvested accounts are forfeited if the individual ceases to perform creditable service for a period of 12 months or more and distributed equally among all other open accounts sponsored by the participating municipality at the time of the forfeiture. Page 49 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (41) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance (Continued) 12. Pensions (Continued) Wisconsin Retirement System (Continued) Defined Contribution Pension Plan (Continued) For the year ended December 31, 2025, the City contributed $12,477 to the plan, and the City recognized pension expense of $12,477. 13. Other Postemployment Benefits Other Than Pensions (OPEB) The fiduciary net position of the Local Retiree Life insurance Fund (LRLIF) has been determined using the flow of economic resources measurement focus and accrual basis of accounting. This includes for purposes of measuring the following:  Net OPEB Liability (Asset),  Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB,  OPEB Expense (Revenue). Information about the fiduciary net position of the LRLIF and additions to/deductions from LRLIF’s fiduciary net position have been determined on the same basis as they are reported by the LRLIF. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value. 14. Fund Equity Governmental Fund Financial Statements Fund balance of governmental funds is reported in various categories based on the nature of any limitations requiring the use of resources for specific purposes. The following classifications describe the relative strength of the spending constraints placed on the purposes for which resources can be used:  Nonspendable Fund Balance. Amounts that are not in spendable form (such as inventory, prepaid items, or long-term receivables) or are legally or contractually required to remain intact.  Restricted Fund Balance. Amounts that are constrained for specific purposes by external parties (such as grantor or bondholders), through constitutional provisions, or by enabling legislation. Page 50 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (42) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) D. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position or Fund Balance (Continued) 14. Fund Equity (Continued) Governmental Fund Financial Statements (Continued)  Committed Fund Balance. Amounts that are constrained for specific purposes by action of the City Council. These constraints can only be removed or changed by the City Council using the same action that was used to create them.  Assigned Fund Balance. Amounts that are constrained for specific purposes by action of the City management. The City Council has not authorized any positions to assign fund balance. Residual amounts in any governmental fund, other than the General Fund, are also reported as assigned.  Unassigned Fund Balance. Amounts that are available for any purpose. Positive unassigned amounts are only reported in the General Fund. The City has not adopted a fund balance spend-down policy regarding the order in which fund balance will be utilized. When a policy does not specify the spend-down policy, GASB Statement No. 54 indicates that restricted funds would be spent first, followed by committed funds, and then assigned funds. Unassigned funds would be spent last. Government-Wide and Proprietary Fund Statements Equity is classified as net position and displayed in three components:  Net Investment in Capital Assets. Amount of capital assets, net of accumulated depreciation, and capital related deferred outflows of resources less outstanding balances of any bonds, mortgages, notes, or other borrowings that are attributable to the acquisition, construction, or improvement of those assets and any capital related deferred inflows of resources.  Restricted Net Position. Amount of net position that is subject to restrictions that are imposed by 1) external groups, such as creditors, grantors, contributors or laws or regulations of other governments or 2) law through constitutional provisions or enabling legislation.  Unrestricted Net Position. Net position that is neither classified as restricted nor as net investment in capital assets. Page 51 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (43) NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) E. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. F. Accounting Changes Change in Fund Presentation from NonMajor to Major The Community Recreation Service Fund previously did not meet the criteria to be report as a major governmental fund. However, effective January 1, 2025, the fund now meets the criteria to be reported as a major fund and is reported as such for the fiscal year ended December 31, 2025. There is no effect of this change to or within the financial reporting entity as the fund has a fund balance of zero as of January 1, 2025. NOTE 2 STEWARDSHIP AND COMPLIANCE A. Budgets and Budgetary Accounting The City follows these procedures in establishing the budgetary data reflected in the basic financial statements: 1. During October, City management submits to the City Council a proposed operating budget for the calendar year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them. After submission to the governing body, public hearings are held to obtain taxpayer comments. Following the public hearings, the proposed budget, including authorized additions and deletions, is legally enacted by City Council action. 2. Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America for governmental funds. Budget is defined as the originally approved budget plus or minus approved amendments. Individual amendments throughout the year were not material in relation to the original budget. Budget appropriations not expended during the year are closed to fund balance unless authorized by the governing body to be forwarded into the succeeding year’s budget. 3. During the year, formal budgetary integration is employed as a management control device for the governmental funds adopting a budget. 4. Expenditures may not exceed appropriations provided in budget accounts maintained for each activity or department of the City. Amendments to the budget during the year require initial approval by management and are subsequently authorized by the City Council. Page 52 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (44) NOTE 2 STEWARDSHIP AND COMPLIANCE (CONTINUED) A. Budgets and Budgetary Accounting (Continued) 5. Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of resources are recorded in order to reserve that portion of the applicable appropriation, is utilized in the general and special revenue funds. Encumbrances outstanding at year-end are reported as reservations of fund balance and do not constitute expenditures or liabilities because the commitments will be honored during the subsequent year. B. Excess of Expenditures Over Budget Appropriations General Fund expenditures exceeded budget by $181,965 for the fiscal year ended December 31, 2025. The City exceeded budgeted expenditures in the Community Recreation Service Fund by $101,412. The following expenditure accounts of the governmental funds had actual expenditures in excess of budget appropriations for the year ended December 31, 2025 as follows: Excess Funds Expenditures General Fund: General Government: Judicial 1,419$ Finance's Office 1,861 Assessment of Property 53,500 Illegal Taxes, Refunds, and Others 72,577 Public Safety: Inspection 24,764 Public Works: Street Maintenance and Construction 1,653 Conservation and Development Planning 26,191 General Debt Service Fund: Principal 5,900,000 Interest and Fiscal Charges 204,614 Community Recreation Special Revenue Fund: Culture and Recreation 101,412 CATV Special Revenue Fund: Culture and Recreation 10,217 Ambulance Special Revenue Fund: Public Safety 41,041 Page 53 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (45) NOTE 2 STEWARDSHIP AND COMPLIANCE (CONTINUED) B. Excess of Expenditures Over Budget Appropriations (Continued) Excess Funds Expenditures TIF No. 4 Capital Projects Fund: Conservation and Development 4,499$ TIF No. 5 Capital Projects Fund: Conservation and Development 5,000 TIF No. 6 Capital Projects Fund: General Government 4,751 Conservation and Development 44,035 Interest and Fiscal Charges 156,363 Capital Outlay 1,240,000 TIF No. 7 Capital Projects Fund: General Government 14,248 Conservation and Development 42,162 Interest and Fiscal Charges 29,879 TIF No. 8 Capital Projects Fund Conservation and Development 5,075 Principal 1,500,000 Interest and Fiscal Charges 68,668 TIF No. 9 Capital Projects Fund: Conservation and Development 42,183 Principal 271,260 Interest and Fiscal Charges 651,740 TIF No. 10 Capital Projects Fund: Conservation and Development 28,536 TIF No. 11 Capital Projects Fund: Conservation and Development 7,172 TIF No. 12 Capital Projects Fund: Conservation and Development 34,559 TIF No. 13 Capital Projects Fund: Conservation and Development 5,005 TIF No. 14 Capital Projects Fund: Conservation and Development 225 TIF No. 15 Capital Projects Fund: Conservation and Development 38,385 TIF No. 16 Capital Projects Fund: Conservation and Development 488 TIF No. 17 Capital Projects Fund: Conservation and Development 188 The above excess expenditures were funded using favorable revenue variances and available fund balance in the governmental funds. Page 54 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (46) NOTE 2 STEWARDSHIP AND COMPLIANCE (CONTINUED) C. Deficit Fund Equity The following funds had deficit fund balance or net position as of December 31, 2025: Deficit Fund Funds Balance Capital Project Fund: Tax Incremental District No. 9 214,143$ Tax Incremental District No. 10 51,524 Tax Incremental District No. 11 17,930 Tax Incremental District No. 12 45,149 Tax Incremental District No. 13 15,445 Tax Incremental District No. 14 9,978 Tax Incremental District No. 15 82,140 Tax Incremental District No. 16 10,688 Tax Incremental District No. 17 10,163 The City anticipates funding the above deficits from future revenues of the funds. D. Property Tax Levy Limit Wisconsin state statutes provide for a limit on the property tax levies for all Wisconsin cities, villages, towns, and counties. For the 2025 and 2026 budget years, Wisconsin Statutes limit the increase in the maximum allowable tax levy to the change in the City’s January 1 equalized value as a result of net new construction. The actual limit for the City for the 2025 budget was (0.45)%. The actual limit for the City for the 2026 budget was 1.36%. Debt service for debt authorized after July 1, 2005 is exempt from the levy limit. In addition, Wisconsin Statutes allow the limit to be adjusted for the increase in debt service authorized prior to July 1, 2005 and in certain other situations. Page 55 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (47) NOTE 3 DETAILED NOTES ON ALL FUNDS A. Cash and Investments The City maintains various cash and investment accounts, including pooled funds that are available for use by all funds. Each fund’s portion of these accounts is displayed on the financial statements as “Cash and Investments”. Invested cash consists of deposits and investments that are restricted by Wisconsin Statutes to the following: Time deposits; repurchase agreements; securities issued by federal, state and local governmental entities; statutorily authorized commercial paper and corporate securities; and the Wisconsin local government investment pool. The carrying amount of the City’s cash and investments totaled $36,330,544 on December 31, 2025 as summarized below: Petty Cash and Cash on Hand 2,320$ Deposits with Financial Institutions 35,298,290 Investments Wisconsin Local Government Investment Pool 674,265 Money Market Funds 355,669 Total 36,330,544$ Reconciliation to the basic financial statements: Government-Wide Statement of Net Position Cash and Investments 23,936,342$ Restricted Cash and Investments 1,218,580 Fiduciary Fund Statement of Net Position Agency Funds 11,175,622 Total 36,330,544$ Fair Value Measurements The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant observable inputs; Level 3 inputs are significant unobservable inputs. The City currently has no investments that are subject to the fair value measurements. Page 56 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (48) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) A. Cash and Investments (Continued) Custodial Credit Risk Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g., broker-dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. Wisconsin Statutes require repurchase agreements to be fully collateralized by bonds or securities issued or guaranteed by the federal government or its instrumentalities. The City does not have an additional custodial credit policy. Deposits with financial institutions within the State of Wisconsin are insured by the Federal Deposit Insurance Corporation (FDIC) in the amount of $250,000 for the combined amount of all time and savings deposits and $250,000 for interest-bearing and noninterest-bearing demand deposits per official custodian per insured depository institution. Deposits with financial institutions located outside the State of Wisconsin are insured by the FDIC in the amount of $250,000 for the combined amount of all deposit accounts per official custodian per depository institution. Also, the State of Wisconsin has a State Guarantee Fund which provides a maximum of $1,000,000 per public depository above the amount provided by an agency of the U.S. Government. However, due to the relatively small size of the State Guarantee Fund in relation to the Fund’s total coverage, total recovery of insured losses may not be available. This coverage has been considered in determining custodial credit risk. As of December 31, 2025, none of the City’s deposits with financial institutions were in excess of federal and state depository insurance limits. No amounts were collateralized. Credit Risk Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Wisconsin Statutes limit investment in securities to the top two ratings assigned by nationally recognized statistical rating organizations. Presented below is the actual rating as of the year-end for each investment type. Exempt from Not Investment Type Amount Disclosure AAA Aa Rated Money Market Funds 355,669$ -$ -$ -$ 355,669$ Wisconsin Local Government Investment Pool 674,265 - - - 674,265 Totals 1,029,934$ -$ -$ -$ 1,029,934$ Page 57 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (49) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) A. Cash and Investments (Continued) Concentration of Credit Risk The investment policy of the City contains no limitations on the amount that can be invested in any one issuer. At December 31, 2025, the City had no investments in any one issuer (other than U.S. Treasury securities, mutual funds, and external investment pools) that represent 5% or more of total City investments. Interest Rate Risk Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. The City does not have a formal investment policy that limits investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates. Information about the sensitivity of the fair values of the City’s investments to market interest rate fluctuations is provided by the following table that shows the distribution of the City’s investments by maturity: 12 Months 13 to 24 25 to 60 More Than Investment Type Amount or Less Months Months 60 Months Money Market Funds 355,669$ 355,669$ -$ -$ -$ Wisconsin Local Government Investment Pool 674,265 674,265 - - - Totals 1,029,934$ 1,029,934$ -$ -$ -$ Remaining Maturity (in Months) Wisconsin Local Government Investment Pool The City has investments in the Wisconsin Local Government Investment Pool of $674,265 at year-end. The LGIP is part of the State Investment Fund (SIF), and is managed by the State of Wisconsin Investment Board. The SIF is not registered with the Securities and Exchange Commission, but operates under the statutory authority of Wisconsin Chapter 25. The SIF reports the fair value of its underlying assets annually. Participants in the LGIP have the right to withdraw their funds in total on one day’s notice. At December 31, 2025, the fair value of the City’s share of the LGIP’s assets was substantially equal to the carrying value. Page 58 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (50) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) B. Restricted Assets Restricted assets on December 31, 2025 totaled $1,218,580 and consisted of cash and investments held for the following purposes: Funds Amount Purpose Enterprise Funds: Water Utility: Bond Reserve 563,148$ Financial resources set aside to make up potential future deficiencies related general obligation debt service maturities Bond Redemption 218,522 Financial resources accumulated for debt service payments over the next 12 months Total Water Utility 781,670 Sewer Utility: Bond Reserve 290,385 Financial resources set aside to make up potential future deficiencies in the bond redemption account Bond Redemption 96,525 Financial resources accumulated for debt service payments over the next 12 months Depreciation 50,000 Financial resources set aside for plant renewals and replacement or to make up potential short-falls in the redemption account Total Sewer Utility 436,910 Total 1,218,580$ Page 59 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (51) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) C. Capital Assets Capital asset activity for the year ended December 31, 2025 was as follows: Beginning Ending Balance Increases Decreases Balance Governmental Activities: Capital Assets, Nondepreciable: Land 14,987,873 $ - $ - $ 14,987,873$ Construction in Progress 1,559,169 1,466,549 1,700,418 1,325,300 Total Capital Assets, Nondepreciable 16,547,042 1,466,549 1,700,418 16,313,173 Capital Assets, Depreciable: Land Improvements 42,510 465,160 - 507,670 Buildings and Improvements 17,933,227 1,075,034 8,525 18,999,736 Machinery and Equipment 12,837,799 1,112,539 267,342 13,682,996 Infrastructure 38,884,038 140,574 - 39,024,612 Subtotals 69,697,574 2,793,307 275,867 72,215,014 Less Accumulated Depreciation for: Land Improvements 14,480 1,273 - 15,753 Buildings and Improvements 7,352,311 428,978 8,525 7,772,764 Machinery and Equipment 9,169,111 849,512 267,342 9,751,281 Infrastructure 14,408,008 816,340 - 15,224,348 Subtotals 30,943,910 2,096,103 275,867 32,764,146 Total Capital Assets, Depreciable, Net 38,753,664 697,204 - 39,450,868 Governmental Activities Capital Assets, Net 55,300,706$ 2,163,753 $ 1,700,418 $ 55,764,041 Less: Capital Related Debt 38,680,090 Less: Debt Premium 756,014 Add: Deferred Charge on Refunding (32,863) Net Investment in Capital Assets 16,360,800$ Business-Type Activities: Capital Assets, Nondepreciable: Land 91,431 $ - $ - $ 91,431$ Construction in Progress 1,298,735 2,132,920 3,229,599 202,056 Total Capital Assets, Nondepreciable 1,390,166 2,132,920 3,229,599 293,487 Capital Assets, Depreciable: Buildings and Improvements 536,669 - 32,313 504,356 Machinery and Equipment 3,006,296 1,329,257 549,079 3,786,474 Infrastructure 33,611,835 1,975,558 50,390 35,537,003 Subtotals 37,154,800 3,304,815 631,782 39,827,833 Less Accumulated Depreciation for: Buildings and Improvements 6,179,126 16,015 32,313 6,162,828 Machinery and Equipment 2,742,691 161,125 549,079 2,354,737 Infrastructure 3,765,741 683,548 50,390 4,398,899 Subtotals 12,687,558 860,688 631,782 12,916,464 Total Capital Assets, Depreciable, Net 24,467,242 2,444,127 - 26,911,369 Business-Type Activities Capital Assets, Net 25,857,408$ 4,577,047 $ 3,229,599 $ 27,204,856 Less: Capital Related Debt 10,973,627 Less: Debt Premium 668,542 Net Investment in Capital Assets 15,562,687$ Page 60 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (52) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) C. Capital Assets (Continued) Depreciation expense was charged to functions of the City as follows: Governmental Activities: General Government 148,887$ Public Safety 954,957 Public Works 454,634 Culture and Recreation 537,625 Total Depreciation Expense - Governmental Activities 2,096,103$ Business-Type Activities: Water Utility 389,561$ Sewer Utility 196,392 Stormwater Utility 274,735 Total Depreciation Expense - Business-Type Activities 860,688$ D. Lease Receivable The City, acting as lessor, leases land and space for cell towers under long-term noncancelable lease agreements. The leases expire at various dates through 2029 and provide renewal options up to eight years. Governmental Activities Tower lease. Yearly payments ranging from $61,361 to $134,449 including interest at 4%, due dates ranging from 2025-2045. Tower lease. Monthly payments ranging from $5,778 to $6,500 including interest at 4%, due dates ranging from 2025-2029. Tower lease. Monthly payments of $2,378 including interest at 4%, due dates from 2025-2029. Tower lease. Yearly payments ranging from $61,361 to $63,815 including interest at 4%, due dates ranging from 2025-2026. For the year ended, December 31, 2025, the City recognized $203,725 and $91,373 in lease revenue and interest revenue, respectively, pursuant to these contracts. Page 61 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (53) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) D. Lease Receivable (Continued) Total future minimum lease payments to be received under lease agreements are as follows: Year Ending December 31, Principal Interest Total 2026 160,103$ 85,245$ 245,348$ 2027 107,364 80,092 187,456 2028 118,032 75,579 193,611 2029 115,440 70,672 186,112 2030 28,647 68,082 96,729 2031 - 2035 223,882 317,355 541,237 2036 - 2040 395,476 256,096 651,572 2041 - 2045 630,228 154,480 784,708 2046 - 2050 109,011 79,051 188,062 2051 - 2055 166,228 51,788 218,016 2056 - 2060 172,588 13,182 185,769 Total 2,226,999$ 1,251,622$ 3,478,621$ Governmental Activities E. Interfund Receivable, Payables, and Transfers Interfund receivables and payables between individual funds of the City, as reported in the fund financial statements, as of December 31, 2025 are detailed below: Interfund Interfund Receivables Payables Temporary Cash Advances to Finance Operating Cash Deficits: Governmental Funds: General 158,274$ -$ CATV - 6,156 Tax Incremental District No. 10 - 46,583 Tax Incremental District No. 11 - 3,171 Tax Incremental District No. 12 - 3,489 Tax Incremental District No. 14 - 2,260 Tax Incremental District No. 15 - 76,423 Tax Incremental District No. 16 - 10,688 Tax Incremental District No. 17 - 9,504 Subtotal 158,274 158,274 Utilities on Tax Roll: General - 9,646 Water Utility 3,424 - Sewer Utility 3,600 - Stormwater Utility 2,622 - Subtotal 9,646 9,646 Totals 167,920$ 167,920$ Page 62 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (54) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) E. Interfund Receivable, Payables, and Transfers (Continued) Interfund transfers for the year ended December 31, 2025 were as follows: Transfer Transfer Fund In Out General 503,658$ 684,000$ Community Development Authority 30,000 - Library - 15,500 CATV - 3,178 Community Recreation Service - 7,541 Ambulance - 26,303 Room Tax - 177,825 General Debt Service 654,000 - Capital Projects 24,303 - TIF District No. 5 623,046 - TIF District No. 6 - 623,046 TIF District No. 8 - 59,058 TIF District No. 9 59,058 - Water Utility - 291,392 Sewer Utility - 3,600 Stormwater Utility - 2,622 Total 1,894,065$ 1,894,065$ Interfund transfers were made for the following purposes: Tax Equivalent Payment Made by Water Utility to General Fund 291,392$ Tax Equivalent Payment Made by Sewer Utility to General Fund 3,600 Tax Equivalent Payment Made by Stormwater Utility to General Fund 2,622 Data Processing and Insurance Fees from Library to General Fund 15,500 Data Processing and Billing Fees from Ambulance to General Fund 26,303 Set Up of New Tourism Fund and the Transfer Out for the Amount the City is to Use 177,825 Contribution for Expenses from CATV to General Fund 3,178 To Fund Capital Projects 682,104 For Debt Service Payments 654,000 Close out Community Recreation Service Fund 7,541 Contribution to CDA from General Fund 30,000 Transfers - Fund Statements 1,894,065 Less: Eliminating Transfers Within Governmental Funds (1,606,097) Transfers - Government-Wide Statements 287,968$ Page 63 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (55) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) F. Long-Term Obligations The following is a summary of changes in long-term obligations of the City for the year ended December 31, 2025: Beginning Balance Ending Due Within (Restated) Issued Retired Balance One Year Governmental Activities: General Obligation Debt Bonds 16,830,888$ 5,195,000$ 3,795,000$ 18,230,888$ 2,060,000$ Notes 27,210,000 2,200,000 3,900,000 25,510,000 3,799,000 Total General Obligation Debt 44,040,888 7,395,000 7,695,000 43,740,888 5,859,000 Revenue Bonds 10,215,000 - 425,000 9,790,000 445,000 Bond Anticipation Notes 6,100,000 - 6,100,000 - - Debt Premium 888,049 522,477 283,007 1,127,519 - Compensated Absences 802,104 - 16,421 785,683 196,421 Governmental Activities Long-Term Obligations 62,046,041$ 7,917,477$ 14,519,428$ 55,444,090$ 6,500,421$ Business-Type Activities: General Obligation Debt Bonds 704,112$ -$ 70,000$ 634,112$ 70,000$ Notes 2,930,000 1,100,000 530,000 3,500,000 631,000 Total General Obligation Debt 3,634,112 1,100,000 600,000 4,134,112 701,000 Revenue Bonds 3,625,000 4,300,000 550,000 7,375,000 605,000 Bond Anticipation Notes 2,900,000 - 2,900,000 - - Debt Premium 192,726 547,102 71,286 668,542 - Compensated Absences 79,767 - 5,581 74,186 23,740 Business-Type Activities Long-Term Obligations 10,431,605$ 5,947,102$ 4,126,867$ 12,251,840$ 1,329,740$ Total interest paid during the year on long-term debt totaled $2,467,652. Page 64 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (56) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) F. Long-Term Obligations (Continued) General Obligation Debt General obligation debt currently outstanding is detailed as follows: Date of Final Interest Original Balance Issue Maturity Rates Indebtedness 12/31/25 General Obligation Notes 03/08/17 10/01/26 2.00 - 3.00% 3,080,000$ 900,000$ General Obligation Bonds 03/08/17 06/01/27 2.00 - 3.00% 3,525,000 1,100,000 General Obligation Notes 04/03/18 10/01/27 3.00 - 4.00% 2,800,000 1,825,000 General Obligation Notes 04/01/19 10/01/28 1.73 - 2.33% 6,000,000 3,600,000 General Obligation Bonds 09/23/20 04/01/30 0.40 - 1.45% 4,725,000 2,550,000 General Obligation Notes 03/03/20 10/01/29 1.50 - 3.00% 5,690,000 3,200,000 General Obligation Notes 05/18/21 10/01/30 2.00 - 3.00% 3,260,000 2,700,000 General Obligation Bonds 04/29/22 10/01/35 2.65 - 4.35% 3,405,000 2,835,000 General Obligation Bonds 10/04/22 10/01/34 4.00% 2,485,000 1,885,000 General Obligation Notes 04/29/22 04/01/32 3.00 - 4.00% 6,000,000 5,300,000 General Obligation Notes 04/04/23 04/01/32 5.00% 2,870,000 2,550,000 General Obligation Bonds 12/05/23 12/01/35 5.10 - 5.55% 6,720,000 5,300,000 General Obligations Notes 04/01/24 10/01/33 4.00% 3,400,000 3,200,000 General Obligations Notes 12/30/24 12/01/34 5.00% 2,515,000 2,435,000 General Obligations Notes 05/05/25 10/01/34 5.00% 3,300,000 3,300,000 General Obligations Notes 12/01/25 12/01/34 5.00% 3,640,000 3,640,000 General Obligations Notes 12/01/25 12/01/34 4.05 - 4.45% 1,555,000 1,555,000 Total Outstanding General Obligation Debt 47,875,000$ Annual principal and interest maturities of the outstanding general obligation debt of $47,875,000 on December 31, 2025 are detailed below: Year Ending December 31, Principal Interest Principal Interest Principal Interest 2026 5,859,000$ 1,701,056$ 701,000$ 168,005$ 6,560,000$ 1,869,061$ 2027 5,767,000 1,457,653 613,000 121,194 6,380,000 1,578,847 2028 5,912,000 1,260,707 623,000 100,079 6,535,000 1,360,786 2029 5,643,695 1,034,579 706,305 76,474 6,350,000 1,111,053 2030 6,768,000 831,085 552,000 53,672 7,320,000 884,757 2031 - 2035 11,756,193 1,555,995 938,807 87,327 12,695,000 1,643,322 2036 - 2040 1,170,000 396,250 - - 1,170,000 396,250 2041 - 2043 865,000 87,750 - - 865,000 87,750 Total 43,740,888$ 8,325,075$ 4,134,112$ 606,751$ 47,875,000$ 8,931,826$ Governmental Activities Business-Type Activities Totals Page 65 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (57) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) F. Long-Term Obligations (Continued) Legal Margin for New Debt The City’s legal margin for creation of additional general obligation debt on December 31, 2025 was $65,644,820 as follows: Equalized Valuation of the City 2,270,396,400$ Statutory Limitation Percentage (x) 5% General Obligation Debt Limitation, per Section 67.03 of the Wisconsin Statutes 113,519,820 Total Outstanding General Obligation Debt Applicable to Debt Limitation 47,875,000 Legal Margin for New Debt 65,644,820$ Revenue Bonds Revenue bonds outstanding on December 31, 2025 totaled $17,165,000 and were comprised of the following issues: Date of Final Interest Original Balance Issue Maturity Rates Indebtedness 12/31/25 Water and Sewer Revenue Bonds 05/05/16 08/01/27 2.00 - 2.25% 2,890,000$ 2,676,000$ Water and Sewer Revenue Bonds 06/02/20 08/01/34 1.50 - 3.00% 2,890,000 4,699,000 Taxable Tax Increment Revenue Bonds 02/01/22 12/01/41 4.05 - 4.88% 11,180,000 9,790,000 Total Outstanding Revenue Bonds 17,165,000$ Page 66 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (58) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) F. Long-Term Obligations (Continued) Revenue Bonds (Continued) Annual principal and interest maturities of the outstanding revenue bonds of $17,165,000 on December 31, 2025 are detailed below: Year Ending December 31, Principal Interest Principal Interest Principal Interest 2026 445,000$ 448,744$ 605,000$ 213,408$ 1,050,000$ 662,152$ 2027 450,000 430,721 600,000 271,013 1,050,000 701,734 2028 475,000 412,496 500,000 257,075 975,000 669,571 2029 500,000 393,259 500,000 238,325 1,000,000 631,584 2030 525,000 373,009 525,000 220,825 1,050,000 593,834 2031 - 2035 2,920,000 1,517,810 2,595,000 823,925 5,515,000 2,341,735 2036 - 2040 3,645,000 753,716 2,050,000 256,250 5,695,000 1,009,966 2041 830,000 40,504 - - 830,000 40,504 Total 9,790,000$ 4,370,258$ 7,375,000$ 2,280,821$ 17,165,000$ 6,651,079$ Business-Type Activities TotalsGovernmental Activities There are various requirements associated with each of the City’s bond issuers. It has been determined that the City is in compliance with all significant bond issue requirements. The water and sewer utility enterprise funds have pledged future water and sewer customer revenues, net of specified operating expenses, to repay the revenue bonds through 2041. Proceeds from the bonds provided the financing for the construction or acquisition of capital assets used by the utilities. A summary of net customer revenues and remaining principal and interest due on revenue bonds follows: Water Sewer Utility Utility Net Customer Revenues: Operating Revenues 1,989,947$ 1,796,927$ Other Income 82,264 64,598 Total Revenues 2,072,211 1,861,525 Less: Operating Expenses, Less Depreciation 807,300 1,519,080 Net Customer Revenues 1,264,911$ 342,445$ Debt Service: Principal 375,000$ 175,000$ Interest 48,690 32,260 Total Debt Service 423,690$ 207,260$ Remaining Principal and Interest 6,258,714$ 3,397,107$ Page 67 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (59) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) G. Pension Plan 1. Plan Description The WRS is a cost-sharing, multiple-employer defined benefit pension plan. WRS benefits and other plan provisions are established by Chapter 40 of the Wisconsin Statutes. Benefit terms may only be modified by the legislature. The retirement system is administered by the Wisconsin Department of Employee Trust Funds (ETF). The system provides coverage to all eligible State of Wisconsin, local government and other public employees. All employees, initially employed by a participating WRS employer on or after July 1, 2011, and expected to work at least 1200 hours a year (880 hours for teachers and school district educational support employees) and expected to be employed for at least one year from employee’s date of hire are eligible to participate in the WRS. ETF issues a standalone Annual Comprehensive Financial Report, which can be found at http://etf.wi.gov/reports-and-studies/financial-reports-and-statements. Additionally, ETF issued a standalone Wisconsin Retirement System Financial Report, which can also be found using the link above. Vesting For employees beginning participation on or after January 1, 1990, and no longer actively employed on or after April 24, 1998, creditable service in each of five years is required for eligibility for a retirement annuity. Participants employed prior to 1990 and on or after April 24, 1998, and prior to July 1, 2011, are immediately vested. Participants who initially became WRS eligible on or after July 1, 2011, must have five years of creditable service to be vested. Benefits Provided Employees who retire at or after age 65 (54 for protective occupations and 62 for elected officials and e xecutive service retirement plan participants if hired on or before December 31, 2016), if hired on or before December 31, 2016 are entitled to a retirement benefit based on a formula factor, their final average earnings, and creditable service. Final average earnings is the average of the participant’s three highest earnings periods. Creditable service includes current service and prior service for which a participant received earnings and made contributions as required. Creditable service also includes creditable military service. The retirement benefit will be calculated as a money purchase benefit based on the employee’s contributions plus matching employer’s contributions, with interest, if that benefit is higher than the formula benefit. Page 68 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (60) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) G. Pension Plan (Continued) 1. Plan Description Vested participants may retire at or after age 55 (50 for protective occupations) and receive an actuarially-reduced benefit. Participants terminating covered employment prior to eligibility for an annuity may either receive employee-required contributions plus interest as a separation benefit or leave contributions on deposit and defer application until eligible to receive a retirement benefit. The WRS also provides death and disability benefits for employees. 2. Postretirement Adjustments The Employee Trust Funds Board may periodically adjust annuity payments from the retirement system based on annual investment performance in accordance with s. 40.27, Wis. Stat. An increase (or decrease) in annuity payments may result when investment gains (losses), together with other actuarial experience factors, create a surplus (shortfall) in the reserves, as determined by the system’s consulting actuary. Annuity increases are not based on cost of living or other similar factors. For Core annuities, decreases may be applied only to previously granted increases. By law, Core annuities cannot be reduced to an amount below the original, guaranteed amount (the “floor”) set at retirement. The Core and Variable annuity adjustments granted during recent years are as follows: Core Fund Variable Fund Year Adjustment (%) Adjustment (%) 2015 2.9 2 2016 0.5 (5) 2017 2.0 4 2018 2.4 17.0 2019 0.0 (10.0) 2020 1.7 21.0 2021 5.1 13.0 2022 7.4 15 2023 1.6 (21.0) 2024 3.6 15.0 Page 69 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (61) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) G. Pension Plan (Continued) 3. Contributions Required contributions are determined by an annual actuarial valuation in accordance with Chapter 40 of the Wisconsin Statutes. The employee required contribution is one-half of the actuarially determined contribution rate for general category employees, including teachers, and executives and elected officials. Starting on January 1, 2016, the executives and elected officials category was merged into the general employee category. Required contributions for protective employees are the same rate as general employees. Employers are required to contribute the remained of the actuarially determined contribution rate. The employer may not pay the employee required contribution unless provided for by an existing collective bargaining agreement. During the year ending December 31, 2025, the WRS recognized $701,378 in contributions from the City. Contribution rates for the reporting period are: Employee Category Employee Employer General (Including Teachers, Executives and Elected Officials) 6.95 % 6.95 % Protective with Social Security 6.95 % 14.95 % Protective without Social Security 6.95 % 18.95 % 4. Pension Assets Liabilities, Pension Expense (Revenue), and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions At December 31, 2025, the City reported an liability of $691,305 for its proportionate share of the net pension liability. The net pension liability was measured as of December 31, 2024, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of December 31, 2023 rolled forward to December 31, 2024. No material changes in assumptions or benefit terms occurred between the actuarial valuation date and the measurement date. The City’s proportion of the net pension liability was based on the City’s share of contributions to the pension plan relative to the contributions of all participating employers. At December 31, 2024, the City’s proportion was 0.04207157%, which was an increase of 0.00101105% from its proportion measured as of December 31, 2023. For the year ended December 31, 2025, the City recognized pension expense of $924,030. Page 70 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (62) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) G. Pension Plan (Continued) 4. Pension Assets Liabilities, Pension Expense (Revenue), and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions (Continued) At December 31, 2025, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences Between Expected and Actual Experience 2,146,882$ 2,017,396 $ Net Differences Between Projected and Actual Earnings on Pension Plan Investments 1,050,475 - Changes in Assumptions 205,124 - Changes in Proportion and Differences Between Employer Contributions and Proportionate Share of Contributions - 14,893 Employer Contributions Subsequent to the Measurement Date 701,376 - Total 4,103,857 $ 2,032,289 $ $701,376 reported as deferred outflows related to pension resulting from the City’s contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability (asset) in the year ended December 31, 2026. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pension will be recognized in pension expense as follows: Year Ending December 31, Expense 2026 410,471 $ 2027 1,429,374 2028 (357,835) 2029 (111,818) Total 1,370,192 $ Page 71 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (63) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) G. Pension Plan (Continued) 5. Actuarial Assumptions The total pension liability in the actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the measurement: Actuarial Valuation Date: December 31, 2023 Measurement Date of Net Pension Liability (Asset): December 31, 2024 January 1, 2021 - December 31, 2023 Experience Study: Published November 19, 2024 Actuarial Cost Method: Entry Age Normal Asset Valuation Method: Fair Value Long-Term Expected Rate of Return: 6.8% Discount Rate: 6.8% Salary Increases: Wage Inflation 3.0% Seniority/Merit 0.1% - 5.7% Mortality 2020 WRS Experience Mortality Table Postretirement Adjustments* 1.7%  No postretirement adjustment is guaranteed. Actual adjustments are based on recognized investment return, actuarial experience and other factors. 1.7% is the assumed annual adjustment based on the investment return assumption and the postretirement discount rate. Includes the impact of known Market Recognition Account deferred gains/losses on the liability for dividend payments. Page 72 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (64) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) G. Pension Plan (Continued) 5. Actuarial Assumptions (Continued) Actuarial assumptions are based upon an experience study conducted in 2024 that covered a three-year period from January 1, 2021 to December 31, 2023. Based on this experience study, actuarial assumptions used to measure the total pension liability changed from the prior year, including seniority (merit) and separation rates. The total pension liability for December 31, 2024 is based upon a roll-forward of the liability calculated from the December 31, 2023 actuarial valuation. Long-Term Expected Return on Plan Assets. The long-term expected rate of return on pension plan investments was determined using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. The target allocation and best estimates of geometric real rates of return for each major asset class are summarized in the following table: Long-Term Long-Term Expected Expected Real Current Asset Nominal Rate Rate of Allocation % of Return % Return % Core Fund Asset Class Public Equity 38 % 7.0 % 4.3 % Public Fixed Income 27 % 6.1 3.4 Inflation Sensitive 20 % 9.5 6.7 Real Estate 19 % 4.8 2.1 Private Equity/Debt 8 % 6.5 3.8 Leverage (12)% 3.7 1.1 Total Core Fund 100 % 7.5 % 4.8 % Variable Fund Asset U.S. Equities 70 % 6.5 % 3.8 % International Equities 30 % 7.4 4.7 Total Variable Fund 100 % 6.9 % 4.2% New England Pension Consultants Long-Term U.S. CPI (Inflation) Forecast: 2.6% Asset allocations are managed within established ranges, target percentages may differ from actual monthly allocations. The investment policy used for the Core Fund involves reducing equity exposure by leveraging lower- volatility assets, such as fixed income securities. Currently, an asset allocation target of 12% policy leverage is used, subject to an allowable range of up to 20%. Page 73 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (65) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) G. Pension Plan (Continued) 5. Actuarial Assumptions (Continued) Single Discount Rate. A single discount rate of 6.8% was used to measure the total pension liability, for the current and prior year. The discount rate is based on the expected rate of return on pension plan investments of 6.8% and a municipal bond rate of 4.08% (Source: “20-Bond GO Index” is the Bond Buyer Index, general obligation, 20 years to maturity, mixed quality as of December 31, 2024. In describing this index, the Bond Buyer notes that the bonds’ average quality is roughly equivalent to Moody’s investors Service’s Aa2 rating and Standard and Poor’s Corp.’s AA). Because of the unique structure of WRS, the 6.8% expected rate of return implies that a dividend of approximately 1.7% will always be paid after reflecting known changes in the Market Recognition Account. For purposes of the single discount rate, it was assumed that the dividend would always be paid. The projection of cash flows used to determine this single discount rate assumed that plan member contributions will be made at the current contribution rate and that employer contributions will be made at rates equal to the difference between actuarially determined contribution rates and the member rate. Based on these assumptions, the pension plan’s fiduciary net position was projected to be available to make all projected future benefit payments (including expected dividends) of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. Sensitivity of the City’s Proportionate Share of the Net Pension Asset to Changes in the Discount Rate. The following presents the City’s proportionate share of the net pension asset calculated using the discount rate of 6.8%, as well as what the City’s proportionate share of the net pension asset would be if it were calculated using a discount rate that is 1-percentage-point lower (5.8%) or 1-percentage-point higher (7.8%) than the current rate: 1% Decrease to Current 1% Increase to Discount Rate Discount Rate Discount Rate (5.8%) (6.8%) (7.8%) City's Proportionate Share of the Net Pension Liability (Asset) 6,485,349$ 691,307$ (3,425,196)$ 6. Payables to the Pension Plan The City reported a payable of $100,528 for the outstanding amount of contributions to the pension plan for the year ended December 31, 2025. Page 74 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (66) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) H. Other Postemployment Benefits Local Retiree Life Insurance Fund (LRLIF) Plan Description The LRLIF is a multiple-employer, defined benefit other postemployment benefit (OPEB) plan. LRLIF benefits and other plan provisions are established by Chapter 40 of the Wisconsin Statutes. The Wisconsin Department of Employee Trust Funds (ETF) and the Group Insurance Board have statutory authority for program administration and oversight. The plan provides post employment life insurance benefits for all eligible employees. OPEB Plan Fiduciary Net Position ETF issues a standalone Annual Comprehensive Financial Report, which can be found at https://etf.wi.gov/about-etf/reports-and-studies/financial-reports-and-statements. Additionally, ETF issued a standalone Retiree Life Insurance Financial Report, which can also be found using the link above. Benefits Provided The LRLIF plan provides fully paid up life insurance benefits for post-age 64 retired members and pre-65 retirees who pay for their coverage. Contributions The Group Insurance Board approves contribution rates annually, based on recommendations from the insurance carrier. Recommended rates are based on an annual valuation, taking into consideration an estimate of the present value of future benefits and the present value of future contributions. A portion of employer contributions made during a member’s working lifetime funds a postretirement benefit. Employers are required to pay the following contributions based on member contributions for active members to provide them with Basic Coverage after age 65. There are no employer contributions required for pre-age 65 annuitant coverage. If a member retires prior to age 65, they must continue paying the member premiums until age 65 in order to be eligible for the benefit after age 65. Contribution rates as of December 31, 2025 are: Coverage Type Employer Contribution 50% Postretirement Coverage 40% of Member Contribution 25% Postretirement Coverage 20% of Member Contribution Page 75 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (67) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) H. Other Postemployment Benefits (Continued) Local Retiree Life Insurance Fund (Continued) Contributions (Continued) Member contributions are based upon nine age bands through age 69 and an additional eight age bands for those age 70 and over. Participating members must pay monthly contribution rates per $1,000 of coverage until the age of 65 (age 70 if active). The Member contribution rates in effect for the year ended December 31, 2024 are listed below: Attained Age Basic Supplemental Under 30 0.05 0.05 30 - 34 0.06 0.06 35 - 39 0.07 0.07 40 - 44 0.08 0.08 45 - 49 0.12 0.12 50 - 54 0.22 0.22 55 - 59 0.39 0.39 60 - 64 0.49 0.49 65 - 69 0.57 0.57 * Disabled members under age 70 receive a waiver-of-premium benefit. Life Insurance Member Contribution Rates For the Year Ended December 31, 2024 During the year ended December 31, 2025, the LRLIF recognized $1,445 in contributions from the employer. OPEB Liabilities, OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB At December 31, 2025, the City reported a liability of $230,495 for its proportionate share of the net OPEB liability. The net OPEB liability was measured as of December 31, 2024, and the total OPEB liability used to calculate the net OPEB liability was determined by an actuarial valuation as of January 1, 2024 rolled forward to December 31, 2024. No material changes in assumptions or benefits terms occurred between the actuarial valuation date and the measurement date. The City’s proportion of the net OPEB liability was based on the City’s share of contributions to the OPEB plan relative to the contributions of all participating employers. At December 31, 2024, the City’s proportion was 0.05891600%, which was a decrease of 0.00258700% from its proportion measured as of December 31, 2023. For the year ended December 31, 2025, the City recognized OPEB expense of $13,637. Page 76 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (68) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) H. Other Postemployment Benefits (Continued) OPEB Liabilities, OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB (Continued) At December 31, 2025, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences Between Expected and Actual Experience - $ 23,980$ Net Differences Between Projected and Actual Earnings on OPEB Plan Investments 3,165 - Changes in Assumptions 56,557 129,280 Changes in Proportion and Differences Between Employer Contributions and Proportionate Share of Contributions 13,475 22,705 Total 73,197 $ 175,965 $ Year Ending December 31, Expense 2026 (6,953) $ 2027 (21,568) 2028 (30,577) 2029 (25,950) 2030 (8,148) Thereafter (9,572) Total (102,768) $ Actuarial Assumptions . The total OPEB liability in the actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified: Actuarial Valuation Date: January 1, 2024 Measurement Date of Net OPEB Liability (Asset): December 31, 2024 January 1, 2021 - December 31, 2023 Experience Study: Published November 19, 2024 Actuarial Cost Method: Entry Age Normal 20 Year Tax-Exempt Municipal Bond Yield: * 4.08% Long-Term Expected ate of Return: 4.25% Discount Rate: 4.09% Salary Increases: Wage Inflation 3.00% Seniority/Merit 0.1% - 5.7% Mortality: 2020 WRS Experience Mortality Table * Based on the Bond Buyers GO 20-Bond Municipal Index Page 77 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (69) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) H. Other Postemployment Benefits (Continued) OPEB Liabilities, OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB (Continued) Actuarial assumptions are based upon an experience study conducted in 2024 that covered a three-year period from January 1, 2021 to December 31, 2023. The total OPEB liability for December 31, 2024 is based upon a roll-forward of the liability calculated from the January 1, 2024 actuarial valuation. Long-Term Expected Return on Plan Assets. The long-term expected rate of return is determined by adding expected inflation to expected long-term real returns and reflecting expected volatility and correlation. Investments for the LRLIF are held with Securian, the insurance carrier. Interest is calculated and credited to the LRLIF based on the rate of return for a segment of the insurance carriers’ general fund, specifically 10-year A-Bonds (as a proxy, and not tied to any specific investments). The overall aggregate interest rate is calculated using a tiered approach based on the year the funds were originally invested and the rate of return for that year. Investment interest is credited based on the aggregate rate of return and assets are not adjusted to fair market value. Furthermore, the insurance carrier guarantees the principal amounts of the reserves, including all interest previously credited thereto. Long-Term Expected Geometric Target Real Rate Asset Class Index Allocation of Return % U.S. Intermediate Credit Bonds Bloomberg US Interim Credit 40.0 % 2.41 % U.S. Mortgages Bloomberg US MBS 60.0 2.71 Inflation 2.30 Long-Term Expected Rate of Return 4.25 Page 78 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (70) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) H. Other Postemployment Benefits (Continued) OPEB Liabilities, OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB (Continued) Single Discount Rate. A single discount rate of 4.09% was used to measure the total OPEB liability for the current year, as opposed to a discount rate of 3.32% for the prior year. The change in the discount rate was primarily caused by the increase in the municipal bond rate from 3.26% as of December 31, 2023 to 4.08% as of December 31, 2024. The Plan’s fiduciary net position was projected to be insufficient to make all projected future benefit payments of current active and inactive members. Therefore, the discount rate for calculating the Total OPEB Liability is equal to the single equivalent rate that results in the same actuarial present value as the long-term expected rate of return applied to benefit payments, to the extent that the plan’s fiduciary net position is projected to be sufficient to make projected benefit payments, and the municipal bond rate applied to benefit payment to the extent that the plan’s fiduciary net position is projected to be insufficient. The plan’s fiduciary net position was projected to be available to make projected future benefit payments of current plan members through December 31, 2037. The projection of cash flows used to determine the single discount rate assumed that employer contributions will be made according to the current employer contribution schedule and that contributions are made by plan members retiring prior to age 65. Sensitivity of the City’s Proportionate Share of Net OPEB Liability (Asset) to Changes in the Discount Rate. The following presents the City’s proportionate share of the net OPEB liability (asset) calculated using the discount rate of 4.09%, as well as what the City’s proportionate share of the net OPEB liability (asset) would be if it were calculated using a discount rate that is 1-percentage-point lower (3.09%) or 1-percentage-point higher (5.09%) than the current rate: 1% Decrease to Current 1% Increase to Discount Rate Discount Rate Discount Rate (3.09%) (4.09%) (5.09%) City's Proportionate Share of the Net OPEB Liability 308,088$ 230,495$ 170,702$ Payable to the OPEB Plan The City reported a payable of $-0- for the outstanding amount of contribution to the Plan required for the year ended December 31, 2025. Page 79 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (71) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) I. DEFERRED COMPENSATION The City offers its employees a deferred compensation plans, created in accordance with the Internal Revenue Code Section 457. The plan administered through Mission Square is available to all City employees. This plan permits eligible participants to defer a portion of their salary until future years. The deferred compensation is not available to employees until termination, retirement, death, or unforeseeable emergency. The deferred compensation plan assets are placed in trust for the sole benefit of employees and beneficiaries participating in the Plan and, therefore, are not recorded on these financial statements. The City makes no employer contribution to either of these plans. J. Fund Equity Nonspendable Fund Balance In the fund financial statements, portions of the governmental fund balances are amounts that cannot be spent because they are either 1) not in spendable form or 2) legally or contractually required to be maintained intact. At December 31, 2025, general fund nonspendable fund balance was as follows: General Fund: Nonspendable: Delinquent Taxes 53,060$ Investment in CVMIC 210,000 Total General Fund Nonspendable Fund Balance 263,060$ Restricted Fund Balance In the fund financial statements, portions of governmental fund balances are not available for appropriation or are legally restricted for use for a specific purpose. At December 31, 2025, fund balance was restricted as follows: Debt Service Fund: Restricted for: Debt Service 1,200,176$ Special Revenue Fund: Renew Monona - Affordable Housing 700,465 Capital Projects Funds: Restricted for: Tax Incremental District Project Plan 889,455 General Capital Projects 2,230,336 Total Restricted Fund Balance 5,020,432$ Page 80 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (72) NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED) J. Fund Equity (Continued) Committed Fund Balance In the fund financial statements, portions of government fund balances are committed by City Council action. At December 31, 2025, fund balance was committed as follows: Special Revenue Funds: Committed for: Library 85,498$ CATV 35,248 Solid Waste 6,993 Ambulance 330,871 Community Development Authority 552 Family and Medical Leave Act 57,019 Room Tax - Capital Expenditures 454,490 Total Committed Fund Balance 970,671$ Assigned Fund Balance Portions of governmental fund balances have been assigned to represent tentative management plans that are subject to change. At December 31, 2025, fund balance was assigned as follows: Special Revenue Funds: Donations 222,569$ Capital Projects Funds: Park Land Projects 551,044 Total 773,613$ NOTE 4 OTHER INFORMATION A. Tax Incremental Financing Districts The City has established separate capital projects funds for Tax Incremental District (TID) No. 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, and 17 which were created by the City in accordance with Section 66.1105 of the Wisconsin Statutes. At the time the District was created, the property tax base within the District was “frozen” and increment taxes resulting from increases to the property tax base are used to finance District improvements, including principal and interest on long-term debt issued by the City to finance such improvements. The Statutes allow eligible project costs to be incurred up to five years prior to the maximum termination date. The City’s Districts are still eligible to incur project costs. Since creation of the above Districts, the City has provided various financing sources to the TID. The foregoing amounts are not recorded as liabilities in the TID capital project fund but can be recovered by the City from any future excess tax increment revenues. Page 81 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (73) NOTE 4 OTHER INFORMATION (CONTINUED) A. Tax Incremental Financing Districts (Continued) As of December 31, 2025, the City can recover $28,079,535 from future excess tax increment revenues of the following: Recoverable Costs TIF No. 4 594,284$ TIF No. 5 5,266,722 TIF No. 6 1,727,500 TIF No. 7 1,082,039 TIF No. 8 1,708,027 TIF No. 9 17,577,918 TIF No. 10 51,525 TIF No. 11 15,315 TIF No. 12 36,142 TIF No. 13 15,445 TIF No. 14 9,978 TIF No. 15 82,140 TIF No. 16 10,688 TIF No. 17 10,163 Total 28,187,886$ The intent of the City is to recover the above amounts from future TID surplus funds, if any, prior to termination of the respective Districts. Unless terminated by the City prior thereto, each TID has a statutory termination year as follows: Termination Year TIF No. 4 2031 TIF No. 5 2034 TIF No. 6 2037 TIF No. 7 2042 TIF No. 8 2042 TIF No. 9 2042 TIF No. 10 2045 TIF No. 11 2046 TIF No. 12 2039 TIF No. 13 2042 TIF No. 14 2045 TIF No. 15 2046 TIF No. 16 2042 TIF No. 17 2046 Page 82 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (74) NOTE 4 OTHER INFORMATION (CONTINUED) B. Risk Management The City is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; and natural disasters for which the government carries commercial insurance. The City completes an annual review of its insurance coverage to ensure adequate coverage. A description of the County’s risk management programs is presented below: Property and Liability Insurance The WMIC is an intergovernmental cooperation commission created by contract under Section 66.30 of the Wisconsin Statues. It was created in August 1987 for the purpose of facilitating the organization, establishment and capitalization of the CVMIC, and has numerous cities and cities as members. The CVMIC is a municipal mutual insurance company established on September 19, 1987 under Section 611.23 of the Wisconsin Statues. The CVMIC provides liability insurance coverage to the cities and cities which make up the membership of the WMIC. The CVMIC is self-insured up to a maximum of $2,000,000 of each insurance risk. Losses paid by CVMIC plus administrative expense will be recovered through premiums to the participating pool of municipalities. The City’s share of such losses is approximately .36%. Claims paid during the year were not material. Management of each organization consists of a board of directors or officers comprised of representatives elected by each of three classes of participants based on population. The City does not exercise any control over the activities of the agencies beyond the election of the officers and board. Financial statements of WMIC and CVMIC are available from: Cities and City Mutual Insurance Company, 1250 South Sunnyslope Road, Suite 105, Brookfield, WI 53005. The initial investment in WMIC is refundable upon withdrawal from the commission and has been reported at the original amount of $210,000 on the general fund balance sheet as a restricted asset with corresponding nonspendable fund balance. The City pays an annual premium to the mutual for its general liability insurance, which provides coverage up to $5,000,000 per occurrence, less the City’s retained liability. The City’s retained liability is limited to $25,000 per occurrence and an annual aggregate limit of $100,000. Payments to WMIC for current year insurance coverage are reflected in the general operating statements of the various funds. Claims payable and claims incurred but not report (IBNR) is not material. Page 83 of 220 CITY OF MONONA, WISCONSIN NOTES TO BASIC FINANCIAL STATEMENTS DECEMBER 31, 2025 (75) NOTE 4 OTHER INFORMATION (CONTINUED) B. Risk Management (Continued) Property and Liability Insurance (Continued) The City has also purchased commercial insurance policies for various risks of loss related to torts; theft, damage or destruction of assets; errors or omissions; injuries to employees; or acts of God. Payments of premiums for these policies are recorded as expenditures or expenses in various funds of the City. For each of the City’s risk categories, there have been no significant reductions in insurance coverage in comparison to the prior year. Also, the amount of insurance settlements for each of the City’s risk categories has not exceeded insurance coverage for each of the past three fiscal years. Upon dissolution, the City would be entitled to a lump sum payment from CVMIC that may vary significantly from the amount of its deposit referred to above, based on the then financial condition of CVMIC. C. Contingencies From time to time, the City is party to other various pending claims and legal proceedings. Although the outcome of such matters cannot be forecast with certainty, it is the opinion of management and the legal counsel that the likelihood is remote that any such claims or proceedings will have a material adverse effect on the City’s financial position or results of operations. D. Subsequent Events On March 16, 2026, the City issued $3,150,000 in General Obligation Promissory Notes, Series 2026A. Principal of the bonds will be payable annual starting 2028 through 2035 at an interest rate of 5%. Page 84 of 220 (76) REQUIRED SUPPLEMENTARY INFORMATION Page 85 of 220 CITY OF MONONA, WISCONSIN SCHEDULE OF PROPORTIONATE SHARE OF NET PENSION LIABILITY (ASSET) WISCONSIN RETIREMENT SYSTEM LAST TEN MEASUREMENT PERIODS See accompanying Notes to Required Supplementary Information. (77) Proportionate Share of the Net Plan Fiduciary Proportionate Pension Liability Net Position as a Proportion of Share of the (Asset) as a Percentage of the Measurement the Net Pension Net Pension Covered Percentage of Total Pension Period Ending Liability (Asset) Liability (Asset) Payroll Covered Payroll Liability (Asset) 12/31/15 0.03454939% 561,421$ 4,065,746$ 13.81 98.20 12/31/16 0.03503932% 288,808 4,282,070 6.74 99.12 12/31/17 0.03656393% (1,085,626) 4,483,495 24.21 102.93 12/31/18 0.03786559% 1,347,139 4,540,712 29.67 96.45 12/31/19 0.03920413% (1,264,120) 4,906,455 25.76 102.96 12/31/20 0.03980397% (2,485,016) 5,014,947 49.55 105.26 12/31/21 0.04010175% (3,232,274) 5,010,257 64.51 106.02 12/31/22 0.04064142% 2,153,062 5,307,386 40.57 95.72 12/31/23 0.04106052% 610,489 5,538,035 11.02 98.85 12/31/24 0.04207157% 691,307 5,986,080 11.55 98.79 SCHEDULE OF CONTRIBUTIONS WISCONSIN RETIREMENT SYSTEM LAST TEN FISCAL YEARS Contributions in Relation to the Contributions Contractually Contractually Contribution as a Percentage Fiscal Required Required Deficiency Covered of Covered Year Ending Contributions Contributions (Excess) Payroll Payroll 12/31/16 343,986$ 343,986$ -$ 4,282,070$ 8.03 12/31/17 391,321 391,321 - 4,483,495 8.73 12/31/18 396,839 396,839 - 4,540,712 8.74 12/31/19 421,148 421,148 - 4,906,455 8.58 12/31/20 459,038 459,038 - 5,014,947 9.15 12/31/21 460,375 460,375 - 5,010,257 9.19 12/31/22 480,018 480,018 - 5,307,387 9.04 12/31/23 552,162 552,162 - 5,538,036 9.97 12/31/24 623,889 623,889 - 5,986,080 10.42 12/31/25 701,378 701,378 - 6,679,170 10.50 Page 86 of 220 CITY OF MONONA, WISCONSIN SCHEDULE OF PROPORTIONATE SHARE OF NET OPEB LIABILITY (ASSET) LOCAL RETIREE LIFE INSURANCE FUND LAST TEN MEASUREMENT PERIODS See accompanying Notes to Required Supplementary Information. (78) Proportionate Share of the Net OPEB Liability Plan Fiduciary Proportionate (Asset) as a Net Position as a Proportion of Share of the Covered - Percentage of Percentage of the Measurement the Net OPEB Net OPEB Employee Covered-Employee Total OPEB Period Ending Liability (Asset) Liability (Asset) Payroll Payroll Liability (Asset) 12/31/17 0.05340000% 160,658$ 2,245,623$ 7.15 % 44.81 % 12/31/18 0.05415200% 139,731 3,669,000 3.81 48.69 12/31/19 0.06398300% 272,452 4,112,000 6.63 37.58 12/31/20 0.06516600% 358,460 4,313,000 8.31 31.36 12/31/21 0.05859500% 346,319 5,010,257 6.91 29.57 12/31/22 0.06129400% 233,520 4,346,000 5.37 38.81 12/31/23 0.06150300% 282,954 4,718,000 6.00 39.81 12/31/24 0.05891600% 230,495 4,726,000 4.88 37.20 SCHEDULE OF CONTRIBUTIONS LOCAL RETIREE LIFE INSURANCE FUND LAST TEN FISCAL YEARS Contributions in Relation to the Contributions Contractually Contractually Contribution as a Percentage of Fiscal Required Required Deficiency Covered-Employee Covered-Employee Year Ending Contributions Contributions (Excess) Payroll Payroll 12/31/18 1,014$ 1,014$ -$ 3,669,000$ 0.03 % 12/31/19 1,043 1,043 - 4,112,000 0.03 12/13/20 1,174 1,174 - 4,313,000 0.03 12/31/21 1,377 1,377 - 5,010,257 0.03 12/31/22 1,235 1,235 - 4,274,000 0.03 12/31/23 1,261 1,261 - 4,300,000 0.03 12/31/24 1,253 1,253 - 5,986,080 0.02 12/31/25 1,445 1,445 - 6,679,170 0.02 Page 87 of 220 CITY OF MONONA, WISCONSIN NOTES TO REQUIRED SUPPLEMENTARY INFORMATION DECEMBER 31, 2025 (79) NOTE 1 WISCONSIN RETIREMENT SYSTEM Changes of Benefit Terms: There were no changes of benefit terms for any participating employer in the WRS. Changes of Assumptions: Based on a three-year experience study conducted in 2024 covering January 1, 2021 through December 31, 2023, the ETF Board adopted assumption changes that were used to measure the total pension liability beginning with the year ended December 31, 2024, including the following:  Raising the seniority/merit inflation rate from 0.1%-5.6% to 0.1%-5.7% Based on a three-year experience study conducted in 2021 covering January 1, 2018 through December 31, 2020, the EFT Board adopted assumption changes that were used to measure the total pension liability beginning with the year-end December 31, 2021 including the following:  Lowering the long-term expected rate of return from 7.0% to 6.8%  Lowering the discount rate from 7.0 to 6.8%  Lowering the price inflation rate from 2.5% to 2.4%  Lowering the postretirement adjustments from 1.9% to 1.7%  Mortality assumptions were changed to reflect updated trends by transitioning form the Wisconsin 2018 Mortality Table to the 2020 WRS Experience Mortality Table. Based on a three-year experience study conducted in 2018 covering January 1, 2015 through December 31, 2017, the EFT Board adopted assumption changes that were used to measure the total pension liability beginning with the year-end December 31, 2018 including the following:  Lowering the long-term expected rate of return from 7.2% to 7.0%  Lowering the discount rate from 7.2% to 7.0%  Lowering the wage inflation rate from 3.2% to 3.0%  Lowering the price inflation rate from 2.7% to 2.5%  Lowering the postretirement adjustments from 2.1% to 1.9%  Mortality assumptions were changed to reflect updated trends by transitioning form the Wisconsin 2018 Mortality Table to the 2020 WRS Experience Mortality Table. Page 88 of 220 CITY OF MONONA, WISCONSIN NOTES TO REQUIRED SUPPLEMENTARY INFORMATION DECEMBER 31, 2025 (80) NOTE 2 LOCAL RETIREE LIFE INSURANCE FUND (LRLIF) Changes of Benefit Terms: There were no changes of benefit terms for any participating employer in LRLIF. Changes in Assumptions: The State of Wisconsin Employee Trust Fund Board adopted economic and demographic assumption changes based on a three year experience study performed for the Wisconsin Retirement System. These assumptions are used in the actuarial valuations of OPEB liabilities (assets) for the retiree life insurance programs and are summarized below. The assumption changes that were used to measure the December 31, 2021 total OPEB liabilities, including the following:  Lowering the prince inflation rate from 2.5% to 2.4%  Mortality assumptions were changed to reflect update trends by transitioning from the Wisconsin 2018 Mortality Table to the 2020 WRS Experience Mortality Table. The assumption changes that were used to measure the December 31, 2018 total OPEB liabilities, including the following:  Lowering the long-term expected rate of return from 5.00% to 4.25%  Lowering the wage inflation rate from 3.2% to 3.0%  Lowering the price inflation rate from 2.7% to 2.5%  Mortality assumptions were changed to reflect update trends by transitioning from the Wisconsin 2018 Mortality Table to the 2020 WRS Experience Mortality Table. The City is required to present the last 10 fiscal years of data; however, accounting standards allow the presentation of as many years as are available until 10 fiscal years are presented. Page 89 of 220 (81) SUPPLEMENTARY INFORMATION Page 90 of 220 CITY OF MONONA, WISCONSIN GENERAL FUND DETAILED COMPARISON OF BUDGETED AND ACTUAL REVENUES AND OTHER FINANCING SOURCES YEAR ENDED DECEMBER 31, 2025 (82) Variance Final Budget - Budget Positive Original Final Actual (Negative) Taxes: General Property 5,821,300$ 5,799,050$ 5,799,052$ 2$ Sales Tax Discount 130 130 205 75 Taxes from Exempt Entities 63,000 63,000 56,739 (6,261) Interest on Taxes 25 25 - (25) Total Taxes 5,884,455 5,862,205 5,855,996 (6,209) Intergovernmental: State: State Shared Taxes 516,936 516,936 516,676 (260) Fire Insurance Dues 70,000 70,000 79,243 9,243 Tax Exempt Computer Aid 425,882 425,882 425,882 - Transportation 740,458 740,458 738,085 (2,373) Public Safety Aid 25,000 25,000 3,946 (21,054) Other - - 22,000 22,000 Charges for Services: School Liaison Officer 95,000 95,000 99,391 4,391 Total Intergovernmental 1,873,276 1,873,276 1,885,223 11,947 Licenses and Permits: Licenses: Liquor and Malt Beverage 20,000 20,000 19,125 (875) Operators, Cigarette and Other Licenses 35,650 35,650 30,638 (5,012) Dog and Cat 4,730 4,730 3,575 (1,155) Miscellaneous 6,000 6,000 7,352 1,352 Permits: Building 115,000 115,000 190,426 75,426 Electrical 30,000 30,000 45,479 15,479 Plumbing 25,000 25,000 41,259 16,259 HVAC 20,000 20,000 38,487 18,487 Zoning 5,000 5,000 7,740 2,740 Underground Tank 577 577 - (577) Other Miscellaneous 47,100 47,100 45,781 (1,319) Total Licenses and Permits 309,057 309,057 429,862 120,805 Fines and Forfeits: Court Fines and Penalties 150,000 150,000 123,757 (26,243) Parking Violations 11,000 11,000 16,844 5,844 Total Fines and Forfeits 161,000 161,000 140,601 (20,399) Page 91 of 220 CITY OF MONONA, WISCONSIN GENERAL FUND DETAILED COMPARISON OF BUDGETED AND ACTUAL REVENUES AND OTHER FINANCING SOURCES (CONTINUED) YEAR ENDED DECEMBER 31, 2025 (83) Variance Final Budget - Budget Positive Original Final Actual (Negative) Public Charges for Services: General Government Fees 6,500$ 6,500$ 6,901$ 401$ Law Enforcement Fees 500 500 523 23 Fire Protection Fees 22,000 22,000 12,566 (9,434) Weights and Measures 2,500 2,500 4,766 2,266 Park Shelter Rentals 34,000 34,000 29,547 (4,453) Total Public Charges for Services 65,500 65,500 54,303 (11,197) Miscellaneous: Interest on Investments 150,000 150,000 506,885 356,885 Insurance Recoveries and Dividends 43,000 43,000 89,670 46,670 Donations 15,000 15,000 - (15,000) Rent of City Property 309,000 309,000 342,124 33,124 Sale of City Property 8,000 8,000 28,550 20,550 Other 4,000 4,000 7,066 3,066 Total Miscellaneous 529,000 529,000 974,295 445,295 Total Revenues 8,822,288$ 8,800,038$ 9,340,280$ 540,242$ Other Financing Sources - Transfers: Transfers In: Special Revenue Funds: Library 15,500$ 15,500$ 15,500$ -$ Ambulance 2,000 2,000 2,000 - Tourism 178,386 178,386 177,825 (561) CATV 3,178 3,178 3,178 - Community Service Recreation - - 7,541 7,541 Enterprise Fund: Payment in Lieu of Tax 438,219 438,219 426,288 (11,931) Total Other Financing Sources 637,283$ 637,283$ 632,332$ (4,951)$ Page 92 of 220 CITY OF MONONA, WISCONSIN GENERAL FUND DETAILED COMPARISON OF BUDGETED AND ACTUAL EXPENDITURES AND OTHER FINANCING SOURCES YEAR ENDED DECEMBER 31, 2025 (84) Variance Final Budget - Budget Positive Original Final Actual (Negative) General Government: Legislative 38,753$ 38,753$ 31,352$ 7,401$ Judicial 148,465 148,465 149,884 (1,419) Legal 173,800 173,800 158,779 15,021 Executive Office 199,433 199,433 198,330 1,103 Clerk's Office 150,178 150,178 128,612 21,566 Finance's Office 149,901 149,901 151,762 (1,861) Personnel 50,583 50,583 24,582 26,001 Elections 16,946 16,946 11,643 5,303 Data Processing 262,955 262,955 223,571 39,384 Assessment of Property 103,000 103,000 156,500 (53,500) General Building and Plant 256,238 256,238 239,759 16,479 Illegal Taxes, Refunds, and Others 20,000 20,000 92,577 (72,577) Insurance and Bonds 254,400 254,400 230,782 23,618 Contingencies 888,831 866,581 - 866,581 Total General Government 2,713,483 2,691,233 1,798,133 893,100 Public Safety: Police Department 3,261,337 3,261,337 3,064,104 197,233 Fire Department 858,813 858,813 846,060 12,753 Inspection 150,656 150,656 175,420 (24,764) Emergency Government 626,091 626,091 607,970 18,121 Total Public Safety 4,896,897 4,896,897 4,693,554 203,343 Public Works: Engineering 126,381 126,381 124,684 1,697 Highway and Street Administration 81,009 81,009 77,716 3,293 Shop, Machinery, and Buildings 229,438 229,438 198,358 31,080 Street Maintenance and Construction 436,871 436,871 438,524 (1,653) Street Lighting 100,800 100,800 93,846 6,954 Total Public Works 974,499 974,499 933,128 41,371 Culture and Recreation: Parks - General 509,953 509,953 506,077 3,876 Conservation and Development: Forestry 127,131 127,131 114,565 12,566 Planning 153,608 153,608 179,799 (26,191) Total Conservation and Development 280,739 280,739 294,364 (13,625) Total Expenditures 9,375,571$ 9,353,321$ 8,225,256$ 1,128,065$ Other Financing Uses: Transfers Out: Special Revenue Funds Community Development Authority 30,000$ 30,000$ 30,000$ -$ Debt Service Fund 654,000 654,000 654,000 - Total Other Financing Uses 684,000$ 684,000$ 684,000$ -$ Page 93 of 220 CITY OF MONONA, WISCONSIN COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS DECEMBER 31, 2025 (85) Community Solid Development Library CATV Waste Ambulance Authority Donations ASSETS Cash and Investments 528,304$ 48,495$ 196,079$ 105,202$ 552$ 233,702$ Receivables: Taxes and Special Charges 594,293 68,289 266,265 150,231 - - Accounts, Net - 44,207 - 342,806 - - Loans - - - - - - Total Assets 1,122,597$ 160,991$ 462,344$ 598,239$ 552$ 233,702$ LIABILITIES, DEFERRED INFLOWS OF RESOURCES, AND FUND BALANCES LIABILITIES Accounts Payable 14,124$ 344$ -$ 5,202$ -$ 7,765$ Accrued and Other Current Liabilities 6,649 2,459 - 5,250 - - Due to Other Funds - 6,156 - - - - Special Deposits - - - - - 3,368 Total Liabilities 20,773 8,959 - 10,452 - 11,133 DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year 1,016,326 116,784 455,351 256,916 - - Loans Receivable - - - - - - Total Deferred Inflows of Resources 1,016,326 116,784 455,351 256,916 - - FUND BALANCES Restricted - - - - - - Committed 85,498 35,248 6,993 330,871 r 552 - Assigned - - - - - 222,569 Unassigned - - - - - - Total Fund Balances 85,498 35,248 6,993 330,871 552 222,569 Total Liabilities, Deferred Inflows of Resources, and Fund Balances 1,122,597$ 160,991$ 462,344$ 598,239$ 552$ 233,702$ Special Revenue Page 94 of 220 CITY OF MONONA, WISCONSIN COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) DECEMBER 31, 2025 (86) Total Family and Special Tax Medical Renew Room Revenue Park Land Incremental Leave Act Monona Tax Funds Projects District No. 4 ASSETS Cash and Investments 57,019$ 700,465$ 345,283$ 2,215,101$ 551,044$ 1,187,721$ Receivables: Taxes and Special Charges - - - 1,079,078 - 608,333 Accounts, Net - - 109,207 496,220 - - Loans - 748,510 - 748,510 - - Total Assets 57,019$ 1,448,975$ 454,490$ 4,538,909$ 551,044$ 1,796,054$ LIABILITIES, DEFERRED INFLOWS OF RESOURCES, AND FUND BALANCES LIABILITIES Accounts Payable -$ -$ -$ 27,435$ -$ -$ Accrued and Other Current Liabilities - - - 14,358 - - Due to Other Funds - - - 6,156 - - Special Deposits - - - 3,368 - - Total Liabilities - - - 51,317 - - DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year - - - 1,845,377 - 1,040,338 Loans Receivable - 748,510 - 748,510 - - Total Deferred Inflows of Resources - 748,510 - 2,593,887 - 1,040,338 FUND BALANCES Restricted - 700,465 - 700,465 - 755,716 Committed 57,019 - 454,490 970,671 - - Assigned - - - 222,569 551,044 - Unassigned - - - - - - Total Fund Balances 57,019 700,465 454,490 1,893,705 551,044 755,716 Total Liabilities, Deferred Inflows of Resources, and Fund Balances 57,019$ 1,448,975$ 454,490$ 4,538,909$ 551,044$ 1,796,054$ Special Revenue (Continued) Capital Projects Page 95 of 220 CITY OF MONONA, WISCONSIN COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) DECEMBER 31, 2025 (87) Tax Tax Tax Tax Tax Incremental Incremental Incremental Incremental Incremental District No. 5 District No. 6 District No. 7 District No. 8 District No. 9 ASSETS Cash and Investments 206,488$ 376,970$ 207,425$ 225,506$ 345,544$ Receivables: Taxes and Special Charges 243,907 527,179 150,468 317,549 770,385 Accounts, Net - (1,500) - - - Loans - - - - - Total Assets 450,395$ 902,649$ 357,893$ 543,055$ 1,115,929$ LIABILITIES, DEFERRED INFLOWS OF RESOURCES, AND FUND BALANCES LIABILITIES Accounts Payable -$ 1,097$ 110$ -$ 12,602$ Accrued and Other Current Liabilities - - - - - Due to Other Funds - - - - - Special Deposits - - - - - Total Liabilities - 1,097 110 - 12,602 DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year 417,117 901,552 257,322 543,055 1,317,470 Loans Receivable - - - - - Total Deferred Inflows of Resources 417,117 901,552 257,322 543,055 1,317,470 FUND BALANCES Restricted 33,278 - 100,461 - - Committed - - - - - Assigned - - - - - Unassigned - - - - (214,143) Total Fund Balances 33,278 - 100,461 - (214,143) Total Liabilities, Deferred Inflows of Resources, and Fund Balances 450,395$ 902,649$ 357,893$ 543,055$ 1,115,929$ Capital Project (Continued) Page 96 of 220 CITY OF MONONA, WISCONSIN COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) DECEMBER 31, 2025 (88) Tax Tax Tax Tax Tax Incremental Incremental Incremental Incremental Incremental District No. 10 District No. 11 District No. 12 District No. 13 District No. 14 ASSETS Cash and Investments -$ -$ -$ 2,700$ -$ Receivables: Taxes and Special Charges 2,904 20,784 58,665 25,552 10,869 Accounts, Net - - - - - Loans - - - - - Total Assets 2,904$ 20,784$ 58,665$ 28,252$ 10,869$ LIABILITIES, DEFERRED INFLOWS OF RESOURCES, AND FUND BALANCES LIABILITIES Accounts Payable 2,878$ -$ -$ -$ -$ Accrued and Other Current Liabilities - - - - - Due to Other Funds 46,583 3,171 3,489 - 2,260 Special Deposits - - - - - Total Liabilities 49,461 3,171 3,489 - 2,260 DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year 4,967 35,543 100,325 43,697 18,587 Loans Receivable - - - - - Total Deferred Inflows of Resources 4,967 35,543 100,325 43,697 18,587 FUND BALANCES Restricted - - - - - Committed - - - - - Assigned - - - - - Unassigned (51,524) (17,930) (45,149) (15,445) (9,978) Total Fund Balances (51,524) (17,930) (45,149) (15,445) (9,978) Total Liabilities, Deferred Inflows of Resources, and Fund Balances 2,904$ 20,784$ 58,665$ 28,252$ 10,869$ Capital Project (Continued) Page 97 of 220 CITY OF MONONA, WISCONSIN COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) DECEMBER 31, 2025 (89) Total Tax Tax Tax Capital Incremental Incremental Incremental Projects District No. 15 District No. 16 District No. 17 Funds ASSETS Cash and Investments -$ -$ -$ 3,103,398$ 5,318,499$ Receivables: Taxes and Special Charges 4,490 - 927 2,742,012 3,821,090 Accounts, Net - - - (1,500) 494,720 Loans - - - - 748,510 Total Assets 4,490$ -$ 927$ 5,843,910$ 10,382,819$ LIABILITIES, DEFERRED INFLOWS OF RESOURCES, AND FUND BALANCES LIABILITIES Accounts Payable 2,528$ -$ -$ 19,215$ 46,650$ Accrued and Other Current Liabilities - - - - 14,358 Due to Other Funds 76,423 10,688 9,504 152,118 158,274 Special Deposits - - - - 3,368 Total Liabilities 78,951 10,688 9,504 171,333 222,650 DEFERRED INFLOWS OF RESOURCES Property Taxes Levied for Subsequent Year 7,679 - 1,586 4,689,238 6,534,615 Loans Receivable - - - - 748,510 Total Deferred Inflows of Resources 7,679 - 1,586 4,689,238 7,283,125 FUND BALANCES Restricted - - - 889,455 1,589,920 Committed - - - - 970,671 Assigned - - - 551,044 773,613 Unassigned (82,140) (10,688) (10,163) (457,160) (457,160) Total Fund Balances (82,140) (10,688) (10,163) 983,339 2,877,044 Total Liabilities, Deferred Inflows of Resources, and Fund Balances 4,490$ -$ 927$ 5,843,910$ 10,382,819$ Capital Project (Continued) Totals Page 98 of 220 CITY OF MONONA, WISCONSIN COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS YEAR ENDED DECEMBER 31, 2025 (90) Community Solid Development Library CATV Waste Ambulance Authority Donations REVENUES Taxes 966,479$ 113,166$ 456,006$ 249,094$ -$ -$ Intergovernmental 181,995 24,401 30,628 19,612 - - Licenses and Permits - 76,215 - - - - Public Charges for Services 15,378 - 975 890,155 - - Miscellaneous - 111,234 - - 259 130,666 Total Revenues 1,163,852 325,016 487,609 1,158,861 259 130,666 EXPENDITURES Current: General Government - - - - - - Public Safety - - - 853,135 - 1,353 Public Works - - 455,967 - - - Culture and Recreation 1,119,884 257,485 - - - 102,476 Conservation and Development - 56,404 - - 20,335 - Debt Service: Principal - - - - - - Interest and Fiscal Charges - - - - - - Capital Outlay - - - - - - Total Expenditures 1,119,884 313,889 455,967 853,135 20,335 103,829 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 43,968 11,127 31,642 305,726 (20,076) 26,837 OTHER FINANCING SOURCES (USES) Long-Term Debt Issued - - - - - - Transfers In - - - - 30,000 - Transfers Out (15,500) (3,178) - (26,303) - - Total Other Financing Sources (Uses) (15,500) (3,178) - (26,303) 30,000 - NET CHANGE IN FUND BALANCES 28,468 7,949 31,642 279,423 9,924 26,837 Fund Balances - January 1 57,030 27,299 (24,649) 51,448 (9,372) 195,732 FUND BALANCES - DECEMBER 31 85,498$ 35,248$ 6,993$ 330,871$ 552$ 222,569$ Special Revenue Page 99 of 220 CITY OF MONONA, WISCONSIN COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) YEAR ENDED DECEMBER 31, 2025 (91) Total Family and Special Tax Medical Renew Room Revenue Park Land Incremental Leave Act Monona Tax Funds Projects District No. 4 REVENUES Taxes -$ -$ 592,750$ 2,377,495$ -$ 982,542$ Intergovernmental - - - 256,636 - 524 Licenses and Permits - - - 76,215 - - Public Charges for Services - - - 906,508 - - Miscellaneous - 98,024 - 340,183 245,141 46,393 Total Revenues - 98,024 592,750 3,957,037 245,141 1,029,459 EXPENDITURES Current: General Government - 146,981 662,722 809,703 - - Public Safety - - - 854,488 - - Public Works - - - 455,967 - - Culture and Recreation - - - 1,479,845 - - Conservation and Development - 2,144 - 78,883 - 4,649 Debt Service: Principal - - - - - 600,000 Interest and Fiscal Charges - - - - - 44,413 Capital Outlay - - - - - - Total Expenditures - 149,125 662,722 3,678,886 - 649,062 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES - (51,101) (69,972) 278,151 245,141 380,397 OTHER FINANCING SOURCES (USES) Long-Term Debt Issued - - - - - - Transfers In - - - 30,000 - - Transfers Out - - (177,825) (222,806) - - Total Other Financing Sources (Uses) - - (177,825) (192,806) - - NET CHANGE IN FUND BALANCES - (51,101) (247,797) 85,345 245,141 380,397 Fund Balances - January 1 57,019 751,566 702,287 1,808,360 305,903 375,319 FUND BALANCES - DECEMBER 31 57,019$ 700,465$ 454,490$ 1,893,705$ 551,044$ 755,716$ Special Revenue (Continued) Capital Projects Page 100 of 220 CITY OF MONONA, WISCONSIN COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) YEAR ENDED DECEMBER 31, 2025 (92) Tax Tax Tax Tax Tax Incremental Incremental Incremental Incremental Incremental District No. 5 District No. 6 District No. 7 District No. 8 District No. 9 REVENUES Taxes 511,882$ 789,220$ 261,652$ 552,096$ 1,340,425$ Intergovernmental 207 2,360 2,442 - - Licenses and Permits - - - - - Public Charges for Services - - - - - Miscellaneous 5,703 42,728 11,179 18,376 37,525 Total Revenues 517,792 834,308 275,273 570,472 1,377,950 EXPENDITURES Current: General Government - 4,751 14,248 - - Public Safety - - - - - Public Works - - - - - Culture and Recreation - - - - - Conservation and Development 5,150 44,185 42,312 5,225 70,801 Debt Service: Principal 670,000 100,000 80,000 1,910,000 923,000 Interest and Fiscal Charges 312,243 62,326 55,879 151,189 651,740 Capital Outlay - 1,240,000 - - - Total Expenditures 987,393 1,451,262 192,439 2,066,414 1,645,541 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (469,601) (616,954) 82,834 (1,495,942) (267,591) OTHER FINANCING SOURCES (USES) Long-Term Debt Issued - - - 1,555,000 - Transfers In 623,046 - - - 59,058 Transfers Out - (623,046) - (59,058) - Total Other Financing Sources (Uses) 623,046 (623,046) - 1,495,942 59,058 NET CHANGE IN FUND BALANCES 153,445 (1,240,000) 82,834 - (208,533) Fund Balances - January 1 (120,167) 1,240,000 17,627 - (5,610) FUND BALANCES - DECEMBER 31 33,278$ -$ 100,461$ -$ (214,143)$ Capital Project (Continued) Page 101 of 220 CITY OF MONONA, WISCONSIN COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) YEAR ENDED DECEMBER 31, 2025 (93) Tax Tax Tax Tax Tax Incremental Incremental Incremental Incremental Incremental District No. 10 District No. 11 District No. 12 District No. 13 District No. 14 REVENUES Taxes -$ -$ -$ -$ -$ Intergovernmental - - - - - Licenses and Permits - - - - - Public Charges for Services - - - - - Miscellaneous - - - - - Total Revenues - - - - - EXPENDITURES Current: General Government - - - - - Public Safety - - - - - Public Works - - - - - Culture and Recreation - - - - - Conservation and Development 28,536 7,172 34,559 5,005 225 Debt Service: Principal - - - - - Interest and Fiscal Charges - - - - - Capital Outlay - - - - - Total Expenditures 28,536 7,172 34,559 5,005 225 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (28,536) (7,172) (34,559) (5,005) (225) OTHER FINANCING SOURCES (USES) Long-Term Debt Issued - - - - - Transfers In - - - - - Transfers Out - - - - - Total Other Financing Sources (Uses) - - - - - NET CHANGE IN FUND BALANCES (28,536) (7,172) (34,559) (5,005) (225) Fund Balances - January 1 (22,988) (10,758) (10,590) (10,440) (9,753) FUND BALANCES - DECEMBER 31 (51,524)$ (17,930)$ (45,149)$ (15,445)$ (9,978)$ Capital Project (Continued) Page 102 of 220 CITY OF MONONA, WISCONSIN COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS (CONTINUED) YEAR ENDED DECEMBER 31, 2025 (94) Total Tax Tax Tax Capital Incremental Incremental Incremental Projects District No. 15 District No. 16 District No. 17 Funds REVENUES Taxes -$ -$ -$ 4,437,817$ 6,815,312$ Intergovernmental - - - 5,533 262,169 Licenses and Permits - - - - 76,215 Public Charges for Services - - - - 906,508 Miscellaneous - - - 407,045 747,228 Total Revenues - - - 4,850,395 8,807,432 EXPENDITURES Current: General Government - - - 18,999 828,702 Public Safety - - - - 854,488 Public Works - - - - 455,967 Culture and Recreation - - - - 1,479,845 Conservation and Development 38,385 488 188 286,880 365,763 Debt Service: Principal - - - 4,283,000 4,283,000 Interest and Fiscal Charges - - - 1,277,790 1,277,790 Capital Outlay - - - 1,240,000 1,240,000 Total Expenditures 38,385 488 188 7,106,669 10,785,555 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (38,385) (488) (188) (2,256,274) (1,978,123) OTHER FINANCING SOURCES (USES) Long-Term Debt Issued - - - 1,555,000 1,555,000 Transfers In - - - 682,104 712,104 Transfers Out - - - (682,104) (904,910) Total Other Financing Sources (Uses) - - - 1,555,000 1,362,194 NET CHANGE IN FUND BALANCES (38,385) (488) (188) (701,274) (615,929) Fund Balances - January 1 (43,755) (10,200) (9,975) 1,684,613 3,492,973 FUND BALANCES - DECEMBER 31 (82,140)$ (10,688)$ (10,163)$ 983,339$ 2,877,044$ Totals Capital Project (Continued) Page 103 of 220 CITY OF MONONA, WISCONSIN GENERAL DEBT SERVICE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (95) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 3,670,818$ 3,670,818$ 3,670,818$ -$ Special Assessments 10,000 10,000 7,162 (2,838) Miscellaneous 12,500 12,500 353,626 341,126 Total Revenues 3,693,318 3,693,318 4,031,606 338,288 EXPENDITURES Debt Service: Principal 4,037,000 4,037,000 9,937,000 (5,900,000) Interest and Fiscal Charges 909,701 909,701 1,114,315 (204,614) Total Expenditures 4,946,701 4,946,701 11,051,315 (6,104,614) EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (1,253,383) (1,253,383) (7,019,709) (5,766,326) OTHER FINANCING SOURCES Long-Term Debt Issued - - 3,640,000 3,640,000 Premium on Debt Issued - - 522,477 522,477 Transfers In 1,253,383 1,253,383 654,000 (599,383) Total Other Financing Sources 1,253,383 1,253,383 4,816,477 3,563,094 NET CHANGE IN FUND BALANCES - - (2,203,232) (2,203,232) Fund Balance - January 1 3,403,408 3,403,408 3,403,408 - FUND BALANCE - DECEMBER 31 3,403,408$ 3,403,408$ 1,200,176$ (2,203,232)$ Page 104 of 220 CITY OF MONONA, WISCONSIN GENERAL CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (96) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Intergovernmental 28,000$ 28,000$ 83,467$ 55,467$ Miscellaneous 25,000 25,000 21,200 (3,800) Total Revenues 53,000 53,000 104,667 51,667 EXPENDITURES Current: Public Works 1,232,615 1,232,615 859,076 373,539 Culture and Recreation 83,749 633,749 53,371 580,378 Capital Outlay 6,029,766 6,029,766 2,117,044 3,912,722 Total Expenditures 7,346,130 7,896,130 3,029,491 4,866,639 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (7,293,130) (7,843,130) (2,924,824) 4,918,306 OTHER FINANCING SOURCES Long-Term Debt Issued - - 2,200,000 2,200,000 Transfers In 75,000 575,000 24,303 (550,697) Total Other Financing Sources 75,000 575,000 2,224,303 1,649,303 NET CHANGE IN FUND BALANCE (7,218,130) (7,268,130) (700,521) 6,567,609 Fund Balance - January 1 2,930,857 2,930,857 2,930,857 - FUND BALANCE - DECEMBER 31 (4,287,273)$ (4,337,273)$ 2,230,336$ 6,567,609$ Page 105 of 220 CITY OF MONONA, WISCONSIN LIBRARY SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (97) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes (944,229)$ (92,179)$ 966,479$ 1,058,658$ Intergovernmental 178,762 178,762 181,995 3,233 Public Charges for Services 16,000 16,000 15,378 (622) Total Revenues (749,467) 102,583 1,163,852 1,061,269 EXPENDITURES Current: Culture and Recreation 1,123,491 1,145,741 1,119,884 25,857 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (1,872,958) (1,043,158) 43,968 1,087,126 OTHER FINANCING USES Transfers Out (15,500) (15,500) (15,500) - NET CHANGE IN FUND BALANCE (1,888,458) (1,058,658) 28,468 1,087,126 Fund Balance - January 1 57,030 57,030 57,030 - FUND BALANCE - DECEMBER 31 (1,831,428)$ (1,001,628)$ 85,498$ 1,087,126$ Page 106 of 220 CITY OF MONONA, WISCONSIN CATV SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (98) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 113,166$ 113,166$ 113,166$ -$ Intergovernmental 24,401 24,401 24,401 - Licenses and Permits 88,000 88,000 76,215 (11,785) Miscellaneous 88,879 88,879 111,234 22,355 Total Revenues 314,446 314,446 325,016 10,570 EXPENDITURES Current: Culture and Recreation 247,268 247,268 257,485 (10,217) Conservation and Development 64,000 64,000 56,404 7,596 Total Expenditures 311,268 311,268 313,889 (2,621) EXCESS OF REVENUES OVER EXPENDITURES 3,178 3,178 11,127 7,949 OTHER FINANCING USES Transfers Out (3,178) (3,178) (3,178) - NET CHANGE IN FUND BALANCE - - 7,949 7,949 Fund Balance - January 1 27,299 27,299 27,299 - FUND BALANCE - DECEMBER 31 27,299$ 27,299$ 35,248$ 7,949$ Page 107 of 220 CITY OF MONONA, WISCONSIN SOLID WASTE SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (99) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 456,006$ 456,006$ 456,006$ -$ Intergovernmental 30,649 30,649 30,628 (21) Public Charges for Services 500 500 975 475 Total Revenues 487,155 487,155 487,609 454 EXPENDITURES Current: Public Works 487,155 487,155 455,967 31,188 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES - - 31,642 31,642 Fund Balance - January 1 (24,649) (24,649) (24,649) - FUND BALANCE - DECEMBER 31 (24,649)$ (24,649)$ 6,993$ 31,642$ Page 108 of 220 CITY OF MONONA, WISCONSIN AMBULANCE SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (100) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 249,094$ 249,094$ 249,094$ -$ Intergovernmental - - 19,612 19,612 Public Charges for Services 565,000 565,000 890,155 325,155 Total Revenues 814,094 814,094 1,158,861 344,767 EXPENDITURES Current: Public Safety 812,094 812,094 853,135 (41,041) EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 2,000 2,000 305,726 303,726 OTHER FINANCING USES Transfers Out (27,000) (27,000) (26,303) 697 NET CHANGE IN FUND BALANCE (25,000) (25,000) 279,423 304,423 Fund Balance - January 1 51,448 51,448 51,448 - FUND BALANCE - DECEMBER 31 26,448$ 26,448$ 330,871$ 304,423$ Page 109 of 220 CITY OF MONONA, WISCONSIN COMMUNITY DEVELOPMENT AUTHORITY SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (101) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Miscellaneous 100$ 100$ 259$ 159$ EXPENDITURES Conservation and Development 44,486 44,486 20,335 24,151 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (44,386) (44,386) (20,076) 24,310 OTHER FINANCING SOURCES Transfers In 44,386 44,386 30,000 (14,386) NET CHANGE IN FUND BALANCE - - 9,924 9,924 Fund Balance - January 1 (9,372) (9,372) (9,372) - FUND BALANCE - DECEMBER 31 (9,372)$ (9,372)$ 552$ 9,924$ Page 110 of 220 CITY OF MONONA, WISCONSIN TIF NO. 4 CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (102) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 967,173$ 967,173$ 982,542$ 15,369$ Intergovernmental 535 535 524 (11) Miscellaneous - - 46,393 46,393 Total Revenues 967,708 967,708 1,029,459 61,751 EXPENDITURES Current: Conservation and Development 150 150 4,649 (4,499) Debt Service: Principal 600,000 600,000 600,000 - Interest and Fiscal Charges 44,413 44,413 44,413 - Total Expenditures 644,563 644,563 649,062 (4,499) NET CHANGE IN FUND BALANCE 323,145 323,145 380,397 57,252 Fund Balance - January 1 375,319 375,319 375,319 - FUND BALANCE - DECEMBER 31 698,464$ 698,464$ 755,716$ 57,252$ Page 111 of 220 CITY OF MONONA, WISCONSIN TIF NO. 5 CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (103) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 498,395$ 498,395$ 511,882$ 13,487$ Intergovernmental 207 207 207 - Miscellaneous - - 5,703 5,703 Total Revenues 498,602 498,602 517,792 19,190 EXPENDITURES Current: Conservation and Development 150 150 5,150 (5,000) Debt Service: Principal 670,000 670,000 670,000 - Interest and Fiscal Charges 312,242 312,242 312,243 (1) Total Expenditures 982,392 982,392 987,393 (5,001) EXCESS OF REVENUES UNDER EXPENDITURES (483,790) (483,790) (469,601) 14,189 OTHER FINANCING SOURCES Transfers In 668,125 668,125 623,046 (45,079) NET CHANGE IN FUND BALANCE 184,335 184,335 153,445 (30,890) Fund Balance - January 1 (120,167) (120,167) (120,167) - FUND BALANCE - DECEMBER 31 64,168$ 64,168$ 33,278$ (30,890)$ Page 112 of 220 CITY OF MONONA, WISCONSIN TIF NO. 6 CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (104) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 771,877$ 771,877$ 789,220$ 17,343$ Intergovernmental 2,361 2,361 2,360 (1) Miscellaneous - - 42,728 42,728 Total Revenues 774,238 774,238 834,308 60,070 EXPENDITURES Current: General Government - - 4,751 (4,751) Conservation and Development 150 150 44,185 (44,035) Debt Service: Principal 200,000 200,000 100,000 100,000 Interest and Fiscal Charges (94,037) (94,037) 62,326 (156,363) Capital Outlay - - 1,240,000 (1,240,000) Total Expenditures 106,113 106,113 1,451,262 (1,345,149) EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 668,125 668,125 (616,954) (1,285,079) OTHER FINANCING USES Transfers Out (668,125) (668,125) (623,046) 45,079 Total Other Financing Sources (Uses) (668,125) (668,125) (623,046) 45,079 NET CHANGE IN FUND BALANCE - - (1,240,000) (1,240,000) Fund Balance - January 1 1,240,000 1,240,000 1,240,000 - FUND BALANCE - DECEMBER 31 1,240,000$ 1,240,000$ -$ (1,240,000)$ Page 113 of 220 CITY OF MONONA, WISCONSIN TIF NO. 7 CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (105) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 259,156$ 259,156$ 261,652$ 2,496$ Intergovernmental 2,442 2,442 2,442 - Miscellaneous - - 11,179 11,179 Total Revenues 261,598 261,598 275,273 13,675 EXPENDITURES Current: General Government - - 14,248 (14,248) Conservation and Development 150 150 42,312 (42,162) Debt Service Principal 200,000 200,000 80,000 120,000 Interest and Fiscal Charges 26,000 26,000 55,879 (29,879) Total Expenditures 226,150 226,150 192,439 33,711 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 35,448 35,448 82,834 47,386 Fund Balance - January 1 17,627 17,627 17,627 - FUND BALANCE - DECEMBER 31 53,075$ 53,075$ 100,461$ 47,386$ Page 114 of 220 CITY OF MONONA, WISCONSIN TIF NO. 8 CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (106) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 552,073$ 552,073$ 552,096$ 23$ Miscellaneous - - 18,376 18,376 Total Revenues 552,073 552,073 570,472 18,399 EXPENDITURES Current: Conservation and Development 150 150 5,225 (5,075) Debt Service: Principal 410,000 410,000 1,910,000 (1,500,000) Interest and Fiscal Charges 82,521 82,521 151,189 (68,668) Total Expenditures 492,671 492,671 2,066,414 (1,573,743) EXCESS OF REVENUES OVER EXPENDITURES 59,402 59,402 (1,495,942) (1,555,344) OTHER FINANCING USES Transfers Out (59,402) (59,402) (59,058) 344 NET CHANGE IN FUND BALANCE - - - - Fund Balance - January 1 - - - - FUND BALANCE - DECEMBER 31 -$ -$ -$ -$ Page 115 of 220 CITY OF MONONA, WISCONSIN TIF NO. 9 CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (107) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) REVENUES Taxes 1,323,405$ 1,323,405$ 1,340,425$ 17,020$ Miscellaneous - - 37,525 37,525 Total Revenues 1,323,405 1,323,405 1,377,950 54,545 EXPENDITURES Current: Conservation and Development 28,618 28,618 70,801 (42,183) Debt Service: Principal 651,740 651,740 923,000 (271,260) Interest and Fiscal Charges - - 651,740 (651,740) Total Expenditures 680,358 680,358 1,645,541 (965,183) EXCESS OF REVENUES UNDER EXPENDITURES 643,047 643,047 (267,591) (910,638) OTHER FINANCING SOURCES Transfers In 279,964 279,964 59,058 (220,906) NET CHANGE IN FUND BALANCE 923,011 923,011 (208,533) (1,131,544) Fund Balance - January 1 (5,610) (5,610) (5,610) - FUND BALANCE - DECEMBER 31 917,401$ 917,401$ (214,143)$ (1,131,544)$ Page 116 of 220 CITY OF MONONA, WISCONSIN TIF NO. 10 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (108) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 28,536$ (28,536)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (28,536) (28,536) NET CHANGE IN FUND BALANCE - - (28,536) (28,536) Fund Balance - January 1 (22,988) (22,988) (22,988) - FUND BALANCE - DECEMBER 31 (22,988)$ (22,988)$ (51,524)$ (28,536)$ Page 117 of 220 CITY OF MONONA, WISCONSIN TIF NO. 11 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (109) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 7,172$ (7,172)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (7,172) (7,172) NET CHANGE IN FUND BALANCE - - (7,172) (7,172) Fund Balance - January 1 (10,758) (10,758) (10,758) - FUND BALANCE - DECEMBER 31 (10,758)$ (10,758)$ (17,930)$ (7,172)$ Page 118 of 220 CITY OF MONONA, WISCONSIN TIF NO. 12 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (110) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 34,559$ (34,559)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (34,559) (34,559) NET CHANGE IN FUND BALANCE - - (34,559) (34,559) Fund Balance - January 1 (10,590) (10,590) (10,590) - FUND BALANCE - DECEMBER 31 (10,590)$ (10,590)$ (45,149)$ (34,559)$ Page 119 of 220 CITY OF MONONA, WISCONSIN TIF NO. 13 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (111) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 5,005$ (5,005)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (5,005) (5,005) NET CHANGE IN FUND BALANCE - - (5,005) (5,005) Fund Balance - January 1 (10,440) (10,440) (10,440) - FUND BALANCE - DECEMBER 31 (10,440)$ (10,440)$ (15,445)$ (5,005)$ Page 120 of 220 CITY OF MONONA, WISCONSIN TIF NO. 14 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (112) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 225$ (225)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (225) (225) NET CHANGE IN FUND BALANCE - - (225) (225) Fund Balance - January 1 (9,753) (9,753) (9,753) - FUND BALANCE - DECEMBER 31 (9,753)$ (9,753)$ (9,978)$ (225)$ Page 121 of 220 CITY OF MONONA, WISCONSIN TIF NO. 15 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (113) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 38,385$ (38,385)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (38,385) (38,385) NET CHANGE IN FUND BALANCE - - (38,385) (38,385) Fund Balance - January 1 (43,755) (43,755) (43,755) - FUND BALANCE - DECEMBER 31 (43,755)$ (43,755)$ (82,140)$ (38,385)$ Page 122 of 220 CITY OF MONONA, WISCONSIN TIF NO. 16 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (114) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 488$ (488)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (488) (488) NET CHANGE IN FUND BALANCE - - (488) (488) Fund Balance - January 1 (10,200) (10,200) (10,200) - FUND BALANCE - DECEMBER 31 (10,200)$ (10,200)$ (10,688)$ (488)$ Page 123 of 220 CITY OF MONONA, WISCONSIN TIF NO. 17 CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE — BUDGET AND ACTUAL YEAR ENDED DECEMBER 31, 2025 (115) Variance with Final Budget - Budgeted Amounts Positive Original Final Actual (Negative) EXPENDITURES Current: Conservation and Development -$ -$ 188$ (188)$ EXCESS OF REVENUES UNDER EXPENDITURES - - (188) (188) NET CHANGE IN FUND BALANCE - - (188) (188) Fund Balance - January 1 (9,975) (9,975) (9,975) - FUND BALANCE - DECEMBER 31 (9,975)$ (9,975)$ (10,163)$ (188)$ Page 124 of 220 CITY OF MONONA, WISCONSIN SCHEDULE OF WATER UTILITY OPERATING REVENUES AND EXPENSES YEAR ENDED DECEMBER 31, 2025 (116) OPERATING REVENUES Charges for Services: Residential 796,604$ Multi-Family 129,474 Commercial 286,004 Public Authority 20,821 Private Fire Protection 88,633 Public Fire Protection 641,225 Total Charges for Services 1,962,761 Other Revenues: Forfeited Discounts 3,744 Other Water Revenues 23,442 Total Other Revenues 27,186 Total Operating Revenues 1,989,947 OPERATING EXPENSES Pumping: Operation Labor 44,522 Fuel or Power Purchased for Pumping 116,156 Operation Supplies and Expenses 3,696 Maintenance of Pumping Plant 6,556 Total Pumping 170,930 Water Treatment: Operation Labor 3,701 Chemicals 12,497 Maintenance of Water Treatment Plant 1,134 Total Water Treatment 17,332 Transmission and Distribution: Maintenance of Distribution Reservoirs and Standpipes 22,078 Maintenance of Mains 51,336 Maintenance of Services 81,873 Maintenance of Meters 16,713 Maintenance of Hydrants 16,153 Maintenance of Other Plant 1,149 Total Transmission and Distribution 189,302 Customer Accounts: Accounting and Collecting Labor 14,375 Supplies and Expenses 7,239 Total Customer Accounts 21,614 Administrative and General: Administrative and General Salaries 163,242 Office Supplies and Expenses 6,000 Outside Services Employed 15,674 Property Insurance 27,100 Employee Pensions and Benefits 121,013 Miscellaneous General Expenses 23,295 Transportation Expenses 35,655 Total Administrative and General 391,979 Depreciation 389,561 Taxes 16,143 Total Operating Expenses 1,196,861 Operating Income 793,086$ Page 125 of 220 CITY OF MONONA, WISCONSIN SCHEDULE OF SEWER UTILITY OPERATING REVENUES AND EXPENSES YEAR ENDED DECEMBER 31, 2025 (117) OPERATING REVENUES Charges for Services: Residential 1,164,547$ Commercial 601,721 Public Authority 27,139 Total Charges for Services 1,793,407 Other Revenues: Forfeited Discounts 3,520 Total Operating Revenues 1,796,927 OPERATING EXPENSES Operation: Supervision and Labor 9,247 Power and Fuel for Pumping 9,272 Treatment Charges 1,083,799 Other Chemicals 2,415 Other Operating Supplies 14,585 Total Operation 1,119,318 Collection System 99,413 Customer Accounts: Accounting and Collecting 14,375 Administrative and General: Salaries and Wages 116,794 Office Supplies and Expenses 12,745 Outside Services Employed 26,500 Insurance Expenses 9,750 Employees Pensions and Benefits 50,929 Miscellaneous General Expenses 19,697 Rents 10,500 Total Administrative and General 246,915 Depreciation 196,392 Taxes 39,059 Total Operating Expenses 1,715,472 Operating Income 81,455$ Page 126 of 220 CITY OF MONONA, WISCONSIN SCHEDULE OF STORMWATER UTILITY OPERATING REVENUES AND EXPENSES YEAR ENDED DECEMBER 31, 2025 (118) OPERATING REVENUES Charges for Services 920,063$ Forfeited Discounts 1,622 Total Operating Revenues 921,685 OPERATING EXPENSES Plant Operation and Maintenance: Operation and Maintenance 109,855 Fuels and Additives 3,851 Salaries and Wages 173,305 Permits 5,832 Outside Services Employed 34,893 Employees Pensions and Benefits 76,198 Utilities 7,750 Total Operation 411,684 Depreciation 274,735 Total Operating Expenses 686,419 Operating Income 235,266$ Page 127 of 220 (119) ADDITIONAL INDEPENDENT AUDITORS’ REPORT FOR BASIC FINANCIAL STATEMENTS Page 128 of 220 CLA (CliftonLarsonAllen LLP) is an independent network member of CLA Global. See CLAglobal.com/disclaimer.  CliftonLarsonAllen LLP  CLAconnect.com  (120) INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Mayor and City Council City of Monona, Wisconsin We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of City of Monona, Wisconsin (the City), as of and for the year ended December 31, 2025, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements, and have issued our report thereon dated September 17, 2026. Report on Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified. Page 129 of 220 Mayor and City Council City of Monona, Wisconsin (121) Report on Compliance and Other Matters As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of This Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. CliftonLarsonAllen LLP Green Bay, Wisconsin September 17, 2026 Page 130 of 220 CLA (CliftonLarsonAllen LLP) is a network member of CLA Global. See CLAglobal.com/disclaimer. Securities and investment advisory services are offered through CliftonLarsonAllen Wealth Advisors, LLC, an SEC-registered investment advisor, member FINRA/SIPC. Page 131 of 220 1 RENEW MONONA LOAN PROGRAM STAFF REPORT CITY OF MONONA CASE NO. 2026-4 Project: Request for Renew Monona Loan Funds Project Address: 1106 Birch Haven Circle Applicant: Shawn Marie Klett Proposal Summary: Shawn Marie Klett (the “Applicant”) owns the property at 1106 Birch Haven Circle (the “Property”), and has submitted a Renew Monona Loan application requesting $75,000.00 from the Major Home Rehab category (the “Application”) to conduct the following improvements to the existing residence (the “Project”):  Complete the construction of a new single-family home on the Property. Current condition includes a foundation which was completed before the previous project was paused. Per the Application, the proposed total cost of improvements is $525,000.00 with the loan request of $75,000.00. The Applicant provided cost estimates for the work, which are included as Attachment 4 in the meeting packet. Staff Review of Eligibility Criteria: Criteria Criteria Met Notes 1 Property is owner-occupied Yes The Applicant purchased the Property in 2021. 2 Assessed Property Value Yes Total Assessed Value (TAV) of $331,500.00 as of 01/01/2025. 3 Assessed Property Value less than or equal to 120% of Median Assessed Value Yes TAV of $331,500.00 is less than the 120% of the median assessed value of residential properties of $563,400.00 as of 01/01/2025. Foundation only. 4 Applicant to maintain at residence for at least 2 Years after Project Yes The Applicant indicated that they will remain at the residence for at least 2 years after the improvements are completed. 5 Proposed Improvements are to Primary Structure Yes The proposed improvements are to the main structure. 6 Proposed improvements are eligible uses of Program Loan Funds For discussion The applicant applied for the Major Home Rehab program, which includes the “addition of or significant improvement to living space”. Please note that program materials state that “tear-downs” are not eligible uses of program funds. The CDA may choose to consider the existing nature of the foundation and the unusual circumstances that exist in this case. The requested loan Page 132 of 220 2 amount is the maximum loan amount for the program. 7 Proposed improvements will increase the assessed value of the home. Yes The proposed single-family home will increase assessed value. 8 Proposed improvements will improve the attractiveness of the home and the neighborhood to potential future home buyers. Yes The completion of the construction with a functional family home will enhance the Property, and appeal to future home buyers. 9 Applicant is in good financial standing and gives the City of Monona permission to contact their mortgage provider to confirm. Yes The applicant has a primary mortgage with Summit Credit Union. The Applicant gave Staff permission to contact their lender. Financing the Project: The Applicant has indicated that they plan to use a combination of funds from their retirement account and their divorce settlement to finance their portion of the Project ($450,000.00+), assuming that the City approves the full 50% loan amount. Assuming the requested loan amount is approved, work is scheduled to begin shortly after approval. If the loan were not to be approved, it would cause financial hardship to the Applicant who would need to apply for a higher interest loan for this portion or possibly delay the Project. Recommendation: Staff recommends CDA review and discussion of the application materials, eligibility requirements, and to make a recommendation on what, if any, loan amount should be provided for this Project. Performance Criteria Staff Comments A Proposed improvements are well chosen, are an appropriate use of loan funds, and fulfill an obvious need for the housing structure. The proposal aligns with the Renew Monona loan program description to rejuvenate existing and aging housing stock to make it more attractive to buyers. B Improvements are long-lasting and will enhance the quality of the home for years to come. The project scope is well thought out, and will be constructed to a high quality. The Project will complete the construction of a new single-family home providing an updated residence on the Property. C Proposed improvements will increase the energy efficiency of the home. The Project includes two zone duct system, enhanced insulation levels in exterior walls, energy efficient windows and doors and plans to use energy efficient lighting throughout the house. D The home where proposed improvements will occur is in an area in need of improvements or is in an identified preference area. This may include accessibility improvements or additions allowing the applicant to age in place. The former structure was demolished, with the proposed Project to include an upgraded new single-family home in approximately the same location. Page 133 of 220 3 Attachments:  Attachment 1 – The Applicant’s Renew Monona Application Form  Attachment 2 – Map of 1106 Birch Haven Circle (from Dane County GIS)  Attachment 3 – Parcel Records for 1106 Birch Haven Circle. (from Dane County Property Information)  Attachment 4 – Submitted Project Estimates from OZ Builders. Page 134 of 220 Attachment 1 Page 135 of 220 Attachment 1 Page 136 of 220 Attachment 1 Page 137 of 220 Attachment 1 Page 138 of 220 Attachment 1 Page 139 of 220 Birch Haven Cir Birch Haven Cir Bi rch Ha ven Ci r Nis his hin Trl NE Birch Ha ven Pa rk Nish ishin Trl N E 1106 Birch Haven Circle Sources: Esri, TomTom, Garmin, FAO, NOAA, USGS, © OpenStreetMap contributors, and the GIS User Community Parcels 9/14/2026, 4:43:57 PM 0 100 20050 ft 0 30 6015 m 1:1,080 Attachment 2 Page 140 of 220 Attachment 3 Page 141 of 220 OZ Builders 4284 Hawk Trail DeForest WI, 53532 Nick (920) 210-2721 Jeff (262) 385-1039 July 30, 2026 Shawn Klett 304 Panther Trail Monona, WI 53716 Shawn, OZ Builders appreciates the chance to bid on your work. Our goal is to serve you in a helpful and beneficial manner; we provide this through open, honest communication and quality workmanship. Attached is the total estimated cost of building your new home per the submitted plans. Please give us a call and set up a time to review the specifications and go over the contract if you have any questions. If you do not have any questions and would like to accept this document, please sign, and date the last page. Sincerely yours, Nick Zander and Jeff Olbinski, Owners OZ Builders Attachment Attachment 4 Page 142 of 220 Proposal OZ Builders (“Contractor”), whose address being 4284 Hawk Trail, DeForest, WI 53532 submits the following proposal to Shawn Klett (“Owner”), whose address 304 Panther Trail, Monona, WI 53716. In consideration of the contract price and subject to the following conditions and terms, Contractor proposes to perform the work required by the contract documents on the building site located at 1106 Birch Haven Circle, Monona, WI 53716. We hereby submit estimates and specifications for the following: Project Permits  All building permits to be pulled by Contractor ($5,000 allowance) Electrical  See Larson Electric estimate o Includes $2,000 for additional requests and upgrades Plumbing  See RHD Plumbing estimate o Includes lower level rough in option, re-circulating line option, additional sump pump and $2,000 fixture upgrade allowance Septic  City sewer lateral connection included. Well  City water lateral connection included. Well pump system  NA HVAC  See Four Seasons Heating and Cooling estimate o Includes air conditioning, dual zones, Wi-Fi thermostats, air cleaner and $2,500 gas piping allowance Insulation  See Rockweiler Insulation estimate o Includes sound batting for all bedrooms, bathrooms and laundry room perimeters, sound batting for first floor ceiling, spray foam in basement and first floor box sills Attachment 4 Page 143 of 220 Roofing  50 Year Owens Corning Duration shingles – Boley Remodeling - $6,600  Step, chimney and sewer vent flashing where necessary  Drip cap  Seamless gutters, down spouts and extensions – Boley Remodeling - $2,000 Exterior:  See Rick’s Siding estimate o LP Smart Side – Color TBD Flooring/Tiled Shower/Tiled Backsplash:  See Floor 360 estimate Trim Carpentry  Trim carpentry by OZ Builders o Installation of cabinetry and hardware. Cabinet shelving placement by Owners o Installation of countertops (excluding stone – by suppliers) o Installation of bathroom mirrors, towel holders, TP holders, etc. o Installation of interior doors, door handles, door stops, base, casing, jams, railings, hand rails, exterior trim, mantle, closet shelving o Installation of decking and railings o Trim materials – See Bliffert summary Concrete  Helical piers, footings, pads, foundation walls and basement floor are already poured. o $20,000 allowance o Tear down and pour last remaining section of foundation wall o Remove interior foundation walls, grind flat o Front stoop, sidewalk, 4” garage floor and driveway Excavation  Most of the excavation and partial backfill has been completed. $4,500 allowance included Rough Framing  All rough framing materials provided per plan – See Bliffert summary and Bliffert doors  Windows provided by Owner, installation by Contractor  Framing to be complete by Primetime Construction – See Primetime Construction estimate. Drywall  See Hare Plastering and Drywall estimate Cabinetry & Countertops  See Coyle Carpet One estimate – Final selections TBD Attachment 4 Page 144 of 220 Allowances/Miscellaneous  Landscaping $8,000  Gas fireplace $7,000  Mantle, fireplace stone or tile $2,500  Exterior stone and install $2,500  Surveying and house staking $0  Building permits and zoning $5,000  Light fixtures $3,500  Garage doors, openers, keyless entry $3,000  Front yard post lamp $0  Shower door $700  Painting supplies $1,500  Natural gas hookup $300  Electric hookup $0  Temp Power $475  Dumpster service $2,600  Porta potty service $900  Erosion control $300  Appliances $7,000  Mailbox $0  Bathroom mirrors and hangers $750 Total Contract Price: $531,341 Pricing All prices are estimates. Owner to pay actual cost as shown by receipts provided by Contractor All pricing estimates will try to be honored but due to market fluctuations, material increases and unknowns pricing is subject to change. Allowances Owner agrees to pay for the allowance items and agrees that the amounts shown for the allowance items are estimated allowances. Allowances are subject to adjustment upon completion of the particular work involved. If the cost of any allowance items exceeds its allowance, Owner shall promptly pay the difference to the Contractor. If the cost of the allowance items is less than the total allowance, Owner shall receive a credit for the difference. Change Orders Except as specifically provided herein, the contract price and the contract documents may be changed only by written change order. The extra cost or credit to Owner from a change order shall be determined by mutual agreement. Slight deviations from the contract documents shall not require authorizations by written change order. Attachment 4 Page 145 of 220 Obligations of Contractor Contractor shall: 1. Provide and pay for all labor, materials and equipment, tools, construction equipment and transportation and other facilities necessary for the completion of the work. 2. Pay all sales and use taxes and shall obtain, at Owners expense, the building permit, and inspections necessary for the completion of the work. 3. Comply with all laws, ordinances, regulations, and lawful orders of any state or local agency or authority which shall be applicable to the performance of the work. Building Site Owner warrants that they have a good and marketable title to the building site. Owner agrees to furnish the contractor a copy of all restrictions, right of way, covenants and easements affecting the building site. Lien Notice As required by the Wisconsin Construction Lien Law, contractor hereby notifies owner that persons or companies furnishing labor or materials for the construction on owner’s land may have lien rights on owner’s land and building if not paid. Those entitled to lien rights, in addition to the above-signed, are those who contract directly with the owner or give the owners notice within 60 days after they first furnish labor or materials for the construction. Accordingly, owner probably will receive notices from those who furnish labor or material for the construction and should give a copy of each notice to their mortgage lender, if any. Builder agrees to cooperate with the owner and their lender to see that all potential lien claimants are duly paid. Commencement of work on this contract constitutes acceptance. All work to be completed in a workmanlike manner according to standard practices. Any alteration from the above specification involving extra cost will only be made upon written orders and will become extra charges over and above the estimate. All agreements as to materials and fixtures, deliveries and installation contingent upon strikes, accidents, or delays beyond our control. Owner to carry liability and casualty insurance. Supervision of Work Owner agrees not to interfere with the direction and supervision of the work. Owner, upon reasonable notice, may inspect the work. Such an inspection, however, shall not unreasonably interfere with the performance of the work. Utilities Owner agrees to supply and pay for all water, heat, utilities, and services necessary for the performance of the work. Draws/Payments Payment/Draw requests will be made on a as needed basis (typically monthly) by the Contractor. Timely sign-off by the Owners is requested. Attachment 4 Page 146 of 220 Insurance Contractor shall keep in effect a contractor’s liability insurance policy covering the building site. Owner shall purchase and keep in effect a comprehensive general liability insurance policy covering the building site and providing coverage against loss of use of property due to fire or other casualties. Owner shall purchase and keep in effect property insurance with extended coverage upon both existing structures located on the building site and the work to the full insurable value thereof. This insurance shall include the interest of the owner, contractor, and any subcontractors in the work and shall insure against the perils of fire and extended coverage shall include “all risk” insurance for physical loss or damage because of theft, vandalism, and malicious mischief. Contractor shall not be liable to Owner, and Owner waives any and all claims, actions, causes of action, or demands Owner now has or may hereafter have against Contractor, for losses, damages or injuries cause by adverse weather conditions, acts of God, accident, fire or other casualty, riot, civil commotion, theft, vandalism, war, acts or omissions of Owner, or from any cause beyond the reasonable control of Contractor. Owner’s Right to Cancel Owner may cancel this agreement by mailing a written notice to Contractor at the address set forth above before midnight of the third business day after Owner signed this agreement. If Owner wishes, Owner may use this page as that notice by writing “I hereby cancel” and adding Owner’s name and address. A duplicate of this page is provided by Contractor for Owner’s records. Acceptance of Proposal Upon acceptance, this proposal shall constitute an agreement between Contactor and Owner for the performance of work for the total contracted price and subject to the foregoing terms and conditions. Customer Signature Date OZ Builders Signature Date 7/30/26 08/26/2026 Attachment 4 Page 147 of 220 Cost Specifications 5,000$ Building permit allowance - Includes Monona impact fees, permits, applications, review and sanitary fees NA Driveway permit NA Drafting/Design - OZ Builders -$ Survey - Paulson & Associates 2,600$ Disposal - Royal Container Service - 4 dumpsters at $650 each 900$ Porta potty - Strander's Sanitary 300$ Alliant Energy gas hookup allowance (65' free afterwards (6.7+.9 per foot) 475$ Alliant Energy electric hookup and temp service allowance (100' free $5.80 per foot) 300$ Silt fence - Flores Contractors - Zoning dependent 4,500$ Excavating - Fuller Excavating - Includes fill/stone allowance 20,000$ Concrete - Rutland Concrete, Includes partial wall, stoop, garage, driveway, and sidewalk 4,695$ Zander Solutions - Includes sealed sump basket, radon system with fan, finish water proofing and apply insulcrete 65,000$ Rough framing, roof trusses, exterior doors, clad garage door frame, exposed lower level perimeter framing - Bliffert Lumber 19,000$ Interior doors, hardware, trim and shelving - Bliffert Lumber 32,953$ Drywall - Hare Plastering and Drywall. Drywall and finish all finished spaces, includes painting ceilings and closets flat white. Hang and fire tape garage ceiling and common walls. 34,005$ HVAC - Four Seasons Heating and Cooling - HVAC system including air conditioning, dual zoning, Wi-Fi thermostats, air cleaner and gas piping allowance. 27,130$ Plumbing - RHD Plumbing - Includes lower level bath rough, re-circulating line, one additional sump pump and $2,000 of upgrades 39,000$ Rough framing labor - Primetime Construction, includes $2,200 to frame deck 51,713$ LP Smart Siding materials and labor - Rick's Siding 24,000$ Finish carpentry labor - OZ Builders 35,925$ Electric - Larson Electric. Includes $2,000 of upgrades 3,500$ Light fixture allowance 14,185$ Insulation - Rockweiler Insulation - R-50 attic insulation. Includes sound batting for all bedrooms, bathrooms and laundry room perimeters, sound batting for first floor ceiling, spray foam in basement and first floor box sills, Includes R-19 basement perimeter walls. 6,600$ Roofing - Boley Remodeling - Owens Corning 50 year dimensions shingles 2,000$ Seamless gutters - Boley Remodeling 1,000$ Decorative stone on front of house (Allowance) - United Brick and Fireplace or Madison Block and Stone 1,500$ Decorative stone install (Allowance) 8,000$ Landscaping allowance - Lakeside Landscaping 16,400$ Cabinets - Coyle Carpet One - Includes laundry room cubbies 10,900$ Quartz, laminate, and cultured marble tops - Coyle Carpet One 14,254$ Flooring - Carpet, LVP, LVT - Floor 360 1,200$ Tile backsplash - Floor 360 (Allowance) 5,856$ Tile shower - Floor 360 700$ Shower door allowance 3,000$ Garage door allowance- Seltzner Door Service - 18x8 recessed panel door with openers, 2 remotes and keyless entry 4,800$ Putty nail holes, caulking of trim 7,000$ Appliance allowance 750$ Bathroom mirrors & hardware allowance -$ Mailbox allowance n/a 7,000$ Fireplace allowance 2,500$ Mantle & fireplace stone and install allowance 1,500$ Painting 3,200$ Decking/railing labor -$ Septic - n/a -$ Well - n/a -$ Well pump & pressure tank - n/a 10,000$ Buffer, cleaning, various supplies and unknowns 493,341$ Subtotal 38,000$ General Contractor Fee 531,341$ Total Contract Attachment 4 Page 148 of 220 Resolution No. 26-10-_____ Monona Common Council APPROVAL OF A GRANT AGREEMENT WITH DANE COUNTY FOR A COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PRO Housing Grant WHEREAS, the City of Monona is currently in the process of updating its Comprehensive Plan and anticipates completion and adoption of the plan in Spring of 2027; and WHEREAS, the City of Monona anticipates recommendations for implementation of the plan to include significant updates to the City’s zoning and land division ordinances; and, WHEREAS, the City of Monona will be contracting consulting professionals to assist with these recommended updates to these ordinances which are anticipated to be completed and adopted by the end of 2027; and WHEREAS, the City of Monona submitted a grant application to the Dane County CDBG Commission in May 2026 for $51,000 of CDBG funds to assist with the costs of updating these ordinances; and WHEREAS, the grant requires a local match requirement of $61,000; and NOW, THEREFORE, BE IT RESOLVED, that the Monona City Council hereby authorizes the Mayor to execute the grant agreement with Dane County subject to a final review by the City Attorney, and approves a budget amendment of up to $61,000 in general fund balance and/or Tax Incremental Financing funds as recommended by the Finance Director at the time of payment for the appropriate consulting services. Adopted this ___ day of October, 2026. BY ORDER OF THE CITY COUNCIL CITY OF MONONA, WISCONSIN Nancy W. Moore Mayor ATTEST: Christina M. Kahl City Clerk Approval Requested By: City Administrator Council Action: Date Introduced: 10-05-26 Date Approved: Page 149 of 220 Exhibit A – CDBG PRO Housing Zoning Project – Exhibit A Project Milestones and Completion Schedule City of Monona Payments are contingent upon satisfactory progress and completion of applicable milestones and deliverables. Dane County reserves the right to withhold or delay payment if required milestones or deliverables are not completed or if compliance requirements are not satisfied. Milestone Deliverable Responsible Party Estimated Completion Date Consultant Selected Executed consultant agreement City of Monona Comprehensive Plan Adopted Final adopted Comprehensive Plan City of Monona Spring 2027 Zoning and Land Division Code Review Completed Zoning and Land Division Code Review Report identifying existing requirements and barriers to housing development Consultant June 30, 2027 Development Standards and Review Procedures Evaluated Written recommendations addressing development standards, design guidelines, approval procedures, development-related fees, and other identified barriers Consultant July 31, 2027 Zoning and Land Division Code Recommendations Completed Written recommendations for proposed changes to the zoning and land division code Consultant August 31, 2027 Draft Zoning and Land Division Code Completed Draft zoning and land division code amendments Consultant September 30, 2027 Plan Commission Review Completed Plan Commission recommendation to the Common Council Plan Commission October 31, 2027 Public Hearing Completed Public hearing notice and record of the public hearing City of Monona November 30, 2027 Zoning and Land Division Code Adopted Final adopted zoning and land division code amendments Common Council December 31, 2027 Page 150 of 220 1 DRAFT - COUNTY OF DANE Community Development Block Grant (CDBG) PRO Housing Agreement Project Name: CDBG PRO Housing – Zoning - City of Monona CDBG Block Grant Number: B-24-PH-55-0002 Grantee: Dane County Subrecipient: City of Monona Subrecipient’s Address: 5211 Schluter Road, Monona, WI 53716 Unique Entity Identification No.: CFDA: 14.023 Agreement No. Agreement Begin Date: September 11, 2026 Agreement Expiration Date: July 31, 2030 Authority RES: 2026-RESXXX Maximum Cost: $51,000.00 Purchase Order No: Number of Pages: XX Corporation Counsel Approval: THIS AGREEMENT is made and entered into by and between the Dane County (hereafter referred to as “County”), whose address is 1819 Aberg Avenue, Madison, WI 5370 4 and City of Monona. (hereafter, “SUBRECIPIENT”). This Agreement is effective as of the date it is signed by all parties. RECITALS: WHEREAS COUNTY has applied for and received Community Development Block Grant (hereinafter called “CDBG”) Funds, from the United States Department of Housing and Urban Development (hereinafter called “HUD”) as provided by the Housing and Community Development Act of 1974, as amended; and WHEREAS, t he CDBG PRO Housing funds awarded to the COUNTY are provided pursuant to the Consolidated Appropriations Act, 2024 and the Consolidated Appropriations Act, 2023 (collectively, the “Appropriations Acts”), and are administered by HUD under its CDBG authority; and WHEREAS, such funds are made available through the Pathways to Removing Obstacles to Housing (“PRO Housing”) program under HUD’s CDBG framework; and WHEREAS it is the intent of this Agreement that all services performed pursuant to this Agreement w ill be performed within COUNTY in accordance with applicable CDBG and PRO Housing requirements; SUBRECIPIENT being either one such municipality or a nonprofit organization providing services within COUNTY; and WHEREAS SUBRECIPIENT has heretofore agreed with COUNTY to participate with COUNTY in activities funded under the FY 2024 Pathways to Removing Obstacles to Housing (“PRO Housing”) Notice of Funding Opportunity (“NOFO”) and to carry out eligible activities consistent with the COUNTY’s approved application and award; and WHEREAS COUNTY has considered and approved the application of SUBRECIPIENT and hereby agrees to distribute a portion of its CDBG PRO Housing funds to the SUBRECIPIENT, in an amount and under the Page 151 of 220 2 terms and conditions set forth herein, con sistent with the COUNTY’s award and approved activities under the PRO Housing Notice of Funding Opportunity (“NOFO”); and the PRO Housing Action Plan. WHEREAS COUNTY and SUBRECIPIENT enter into this Agreement pursuant to their respective powers to enter into such Agreements, as those powers are defined in the State of Wisconsin Constitution and applicable statutes. AGREEMENT NOW, THEREFORE , in consideration of the above premises and the mutual covenants of the parties hereinafter set forth, the receipt and sufficiency of which is acknowledged by each party for itself, COUNTY and SUBRECIPIENT do agree as follows: 1. TERM The term of this Agreement shall commence as of the Agreement Begin Date and shall end as of the Agreement Expiration Date, both of which are set forth on page one (1) hereof. SUBRECIPIENT shall complete its service obligations under this Agreement not later than the Agreement Expiration Date. COUNTY shall not be liable for any services performed by SUBRECIPIENT other than during the term of this Agreement. COUNTY shall never pay more than the Maximum Cost as state d above for all services. 2. DEFINITIONS For the purposes of this Agreement, the following terms have the respective meanings as set forth below: A. “Agreement” means this Agreement between SUBRECIPIENT and COUNTY, together with any future amendments, modifications, or alterations thereto. B. “Funds” means Federal CDBG PRO Housing dollars provided to the SUBRECIPIENT under this Agreement. C. “Household” means all persons who occupy a housing unit. The occupants may be a single family, one person living alone, two or more families living together , or any other group of related or unrelated persons who share a housing unit. D. “HUD” means the United States Department of Housing and Urban Development. E. “Income” means annual income as defined under the Section 8 Housing Assistance Payments program at 24 CFR § 5.601, et seq. F. “LMA” means labor market area as that term is defined by HUD 24 CFR § 570.210. G. “LMI Household” means a household having an income equal to or less than eighty percent (80%) of the county median income, as determined by HUD, on an annual basis. H. “LMI Person” means a member of a family that has an income equal to or below eighty percent (80%) of the county median income, as determined by HUD, on an annual basis. I. “PROJECT” means the use to which the SUBRECIPIENT will apply the proceeds of the grant made under this Agreement as specifically described in Schedule A. Page 152 of 220 3 3. SERVICES A. SUBRECIPIENT agrees to provide the services detailed in the bid specifications, if any; the request for proposals ( hereinafter “ RFP”) and SU BRECIPIENT's response thereto, if any; and on the attached Schedule A, which is fully incorporated herein by reference. In the event of a conflict between or among the bid specifications, the RFP or responses thereto, or the terms of Schedule A or any of them, it is a greed that the terms of Schedule A, to the extent of any conflict, are controlling. B. SUBRECIPIENT shall furnish the services contained in and comply with the performance and productivity requirements contained in the Schedule A and “ Program Summary” docume nt, if attached hereto. C. SUBRECIPIENT agrees to cooperate with departments, agencies, employees, and officers of COUNTY and HUD in providing the services described herein. D. SUBRECIPIENT agrees to secure at SUBRECIPIENT’S own expense all personnel necessar y to carry out SUBRECIPIENT’S obligations under this Agreement. Such personnel shall not be deemed to be employees of COUNTY. SUBRECIPIENT shall ensure SUBRECIPIENT’S personnel are instructed that they will not have any contractual relationship with COUN TY. COUNTY shall not participate in or have any authority over any aspect of SUBRECIPIENT’S personnel policies and practices, and shall not be liable for actions arising from such policies and practices. E. SUBRECIPIENT warrants that it has complied with al l necessary requirements to do business in the State of Wisconsin, and that the persons executing this Agreement on its behalf are authorized to do so. F. SUBRECIPIENT shall notify COUNTY immediately, in writing, of any change in its registered agent, his or her address, and/or SUBRECIPIENT’S legal status. For a partnership, the term “registered agent” shall mean a general partner. G. SUBRECIPIENT understands that with respect to the completion of the Project funded hereby time is of the essence. The remainder of this page is blank. Page 153 of 220 4 SECTION A (Non-Discrimination) 4. NON-DISCRIMINATION A. During the term of this Agreement, SUBRECIPIENT agrees not to discriminate on the basis of age, race, ethnicity, religion, color, gender, disability, marital status, sexual orientation, national origin, cultural differences, ancestry, physical appearance, arrest record or conviction record, military participation or membership in the national guard, state defense force or any other reserve component of the military force of the United States, or political beliefs against any persons, whether a recipient of services (actual or potential) or an employee or applicant for employment. Such equal opportunity shall include but not be limited to the following: employment, upgrading, demotion, transfer, recruitment, advertising, layoff, termination, selection for t raining including apprenticeship, rates of pay, and any other form of compensation of level of service(s). B. SUBRECIPIENT agrees to post in conspicuous places, available to all employees, service recipients, and applicants for employment and services, not ices setting forth the provisions of paragraph A., above. The listing of prohibited bases for discrimination shall not be construed to amend in any fashion state or federal law setting forth additional bases, and exceptions shall be permitted only to the extent allowable in state or federal law. C. SUBRECIPIENT agrees to comply with Title VI of the Civil Rights Act of 1964 (P.L. 88 -352) and which provide that no person shall be excluded from participation, denied the benefits, or subjected to discrimination on the basis of race, color, or national or igin under any program or activity receiving federal financial assistance. D. SUBRECIPIENT agrees to comply with section 109 of the Housing and Community Development Act of 1974 which provides that no person shall, on the grounds of race, color, national or igin sex, age or handicap be excluded from participation in, denied benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with funds made available under the Act. E. SUBRECIPIENT agrees to incorporate the for egoing requirements in all bids and subcontracts solicited and/or awarded under this contract. F. SUBRECIPIENT agrees and authorizes COUNTY’s CDBG Office and HUD to conduct on -site reviews, examine personnel and employment records and conduct any other proce dures or practices to assure compliance with these provisions. 5. AFFIRMATIVE ACTION A. If SUBRECIPIENT has twenty (20) or more employees and receives $20,000 in annual contracts with COUNTY, SUBRECIPIENT shall file an Affirmative Action Plan with the Dane County Contract Compliance Officer in accord with Chapter 19 of the Dane County Code of Ordinances. Such plan must be filed within fifteen (15) days of the effective date of this Agreement and failure to do so by said date shall constitute grounds for immediate termination of this Agreement by COUNTY. B. SUBRECIPIENT shall also, during the term of this Agreement, provide copies of all announcements of employment opportunities to COUNTY’s Contract Compliance office and shall report annually the number of persons, by race, ethnicity, gender, and disability status, who apply for employment and, similarly classified, the number hired and the number rejected. C. SUBRECIPIENT agrees to furnish all information and reports required by COUNTY’s Contract Compliance O fficer as the same relate to affirmative action and nondiscrimination, which may Page 154 of 220 5 include any books, records, or accounts deemed appropriate to determine c