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                                                                           City of Muskegon
                                                                      Internal Service Funds

                                                COMBINING STATEMENT OF FUND NET ASSETS

                                                                           December 31, 2003



                                                                                                                                                     Public
                                                     Engineering                                                    General                        Service                      Combined
                                                        Services                     Equipment                    Insurance                        Building                       Totals
ASSETS
Current assets
   Cash and cash equivalents                      $              86,869
                                                                                  $           936,872
                                                                                                              $          902,877
                                                                                                                                             $           124,264
                                                                                                                                                                              $    2,050,882
                                                                                                                                                                                   
   Accounts receivable                                              3,469
                                                                                                   3,517
                                                                                                                          120,247
                                                                                                                                                                      -                127,233
                                                                                                                                                                                        
   Inventories                                                              -                    10,404
                                                                                                                                      -                               -                  10,404
                                                                                                                                                                                             
   Prepaid items                                                    1,191
                                                                                                 25,129
                                                                                                                                      -                       1,511
                                                                                                                                                                                         27,831
                                                                                                                                                                                             
Total current assets                                              91,529
                                                                                               975,922
                                                                                                                       1,023,124
                                                                                                                                                          125,775
                                                                                                                                                                                    2,216,350
                                                                                                                                                                                   

Noncurrent assets
   Land, construction in progress and other
    assets not being depreciated                                            -                    43,410
                                                                                                                                      -                     65,000
                                                                                                                                                                                       108,410
                                                                                                                                                                                        
   Other capital assets, net of depreciation                        1,767
                                                                                            1,846,243
                                                                                                                                      -                   913,653
                                                                                                                                                                                    2,761,663
                                                                                                                                                                                   
Total noncurrent assets                                             1,767
                                                                                            1,889,653
                                                                                                                                      -                   978,653
                                                                                                                                                                                    2,870,073
                                                                                                                                                                                   

TOTAL ASSETS                                      $              93,296
                                                                                  $        2,865,575
                                                                                                              $       1,023,124
                                                                                                                                              $        1,104,428
                                                                                                                                                                              $    5,086,423
                                                                                                                                                                                   

LIABILITIES AND NET ASSETS
Current liabilities
   Accounts payable                               $                7,265
                                                                                  $             70,026
                                                                                                              $          218,475
                                                                                                                                             $             17,164
                                                                                                                                                                              $       312,930
                                                                                                                                                                                        
   Accrued payroll                                                  7,132
                                                                                                 10,672
                                                                                                                                 671
                                                                                                                                                              5,146
                                                                                                                                                                                         23,621
                                                                                                                                                                                             
   Compensated absences payable                                   29,909
                                                                                                 40,068
                                                                                                                              1,922
                                                                                                                                                            21,956
                                                                                                                                                                                         93,855
                                                                                                                                                                                             
Total current liabilities                                         44,306
                                                                                               120,766
                                                                                                                          221,068
                                                                                                                                                            44,266
                                                                                                                                                                                       430,406
                                                                                                                                                                                        

Net assets
   Invested in capital assets                                       1,767
                                                                                            1,889,653
                                                                                                                                      -                   978,653
                                                                                                                                                                                    2,870,073
                                                                                                                                                                                   
   Unrestricted                                                   47,223
                                                                                               855,156
                                                                                                                          802,056
                                                                                                                                                            81,509
                                                                                                                                                                                    1,785,944
                                                                                                                                                                                   
Total net assets                                                  48,990
                                                                                            2,744,809
                                                                                                                          802,056
                                                                                                                                                       1,060,162
                                                                                                                                                                                    4,656,017
                                                                                                                                                                                   

TOTAL LIABILITIES AND NET ASSETS                  $              93,296
                                                                                  $        2,865,575
                                                                                                              $       1,023,124
                                                                                                                                              $        1,104,428
                                                                                                                                                                              $    5,086,423