Part I
Introduction

To understand Financial Trend Analysis encompasses an understanding of one of the most challenging responsibilities facing local governments, and cities across the entire country are more aware now than ever before of how necessary it is to achieve a quality level of fiscal health to be sustainable over the long term. Governments can utilize analytical skills and financial indicators to perform assessments of the organization’s fiscal health. This type of assessment we are able to gain some insight on an organization & determine what symptoms might be contributing to its fiscal distress. It also provides information on what additional testing and analysis needs to be done in order to get a more accurate picture of the organization’s fiscal problems. Problems can then be treated in the most effective way to achieve the level of fiscal health that needed in order to serve its citizens.

City Officials
Chelsea City Council

Juanita Champion jchampion@cityofchelsea.com David Ingram dingram@cityofchelsea.com Alison Moore Nichols alisonnichols@cityofchelsea.com Tony Picklesimer tpicklesimer@cityofchelsea.com Dale Neuendorf dneuendorf@cityofchelsea.com Part II Chelsea Financial Overview & Indicators
Part A Community Indicators

A-1 Population
The Government, incorporated in 1996, is located in Shelby County in north central
Alabama. In the year 1996, its population was estimated at 906 and has grown to 2,949 today, making it a 6th fastest growing city in the state based on population. Along with this continued population growth, the City comprises approximately 47.79 square miles.
In addition to natural growth within the City limits, the Government also has the power by state statute to extend its corporate limits by annexation, which is done periodically when considered appropriate by the City Council.