Atwater City Council
October 13, 2025

City of Atwater
Statement of Cash Flows
Proprietary Funds
For the year ended June 30, 2024
Governmental
Activities
Internal
Water Sewer Sanitation Totals Service Funds
CASH FLOWS FROM OPERATING ACTIVITIES:

Cash received from customers and users $ 8,978,890 $ 13,107,053 $ 4,760,258 $ 26,846,201 $ 6,210,884 Cash paid to suppliers for goods and services (5,278,133) (5,563,195) (5,333,871) (16,175,199) (5,695,094) Cash paid to employees for services (1,480,211) (755,264) - (2,235,475) (548,775) Net cash provided by (used in) operating activities 2,945,493 6,063,647 (573,613) 8,435,527 (32,985) CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:

Cash transfers in - - - - 300,000
Cash transfers out - (152,375) - (152,375) (100,000)
Subsidy from grants - - - - 3,743
Net cash provided by (used in)
noncapital financing activities - (152,375) - (152,375) 203,743

CASH FLOWS FROM CAPITAL AND RELATED FINANCING
ACTIVITIES:

Note principal payments (1,755,000) - - (1,755,000) -
Interest paid on capital debt (2,703,161) - - (2,703,161) - Purchase of capital assets (5,393,418) (941,600) (6,335,018) - (17,127) Net cash provided by (used in)
capital and related financing activities (5,393,418) (5,399,761) (10,793,179) - (17,127) CASH FLOWS FROM INVESTING ACTIVITIES:

Interest received 2,062,183 678,753 86,195 2,827,131 89,061 Net cash provided by (used in) investing activities 2,062,183 678,753 86,195 2,827,131 89,061 Net cash flows 1,342,639 (538,117) (487,418) 317,104 242,692 CASH AND INVESTMENTS - Beginning of year 31,002,476 19,481,230 2,986,873 53,470,579 3,291,609 CASH AND INVESTMENTS - End of year $ 30,464,359 $ 20,823,869 $ 2,499,455 $ 53,787,683 $ 3,534,301

RECONCILIATION OF OPERATING INCOME (LOSS) TO NET
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES:

Operating income (loss) $ 2,355,991 $ 2,332,834 $ (1,138,863) $ 3,549,962 (27,777) Adjustments to reconcile operating income (loss) to
net cash provided by (used in) operating activities:

Depreciation 2,981,827 269,772 14,053 3,265,652 91,489
(Increase) decrease in accounts receivable 497,112 470,519 294,105 1,261,736 (23,218) (Increase) decrease in prepaid expense - (698) - (698) 65,147 Increase (decrease) in accounts payable 267,809 (368,947) 257,092 155,954 (144,463) Increase (decrease) in accrued payroll 3,464 99 - 3,563 - Increase (decrease) in accrued liabilities (47,632) 167,517 - 119,885 285 Increase (decrease) in deposits payable - 52,102 - 52,102 - Increase (decrease) in compensated absences 28,233 (862) - 27,371 5,552 Net cash provided by (used in) operating activities $ 2,945,493 $ 6,063,647 $ (573,613) $ 8,435,527 $ (32,985) NONCASH TRANSACTIONS:

Amortization of bond premiums $ 205,009 - $ - $ - $ - $ Business-Type Activities - Enterprise Funds
See accompanying Notes to Basic Financial Statements.
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City of Atwater
Statement of Fiduciary Net Position
Fiduciary Funds
June 30, 2024
RDA
Successor Agency
Private Purpose
Trust Fund Custodial Funds
ASSETS
Current assets:

Cash and investments $ 599,250 $ 136,970
Interest receivable 6,239 966
Loans/notes receivable 1,740 -
Total current assets 607,229 137,936
Land 706,256
Property, plant and equipment 8,348,242 -
Less accumulated depreciation (6,898,870) -
Property, plant and equipment 2,155,628 -
Total assets 2,762,857 137,936

LIABILITIES
Current liabilities:

Accounts payable 75 -
Due to others - 2,074
Due within one year 979,000 -
Total current liabilities 979,075 2,074
Long-term liabilities:

Due after one year 1,005,000 -
Total long-term liabilities 1,005,000 -
Total liabilities 1,984,075 2,074

NET POSITION
Held in trust for dissolution of RDA 778,782 -
Held for the CFD Bond holders - 135,862
Total Net Position $ 778,782 $ 135,862
See accompanying Notes to Basic Financial Statements.
41

City of Atwater
Statement of Changes in Fiduciary Net Position
Fiduciary Funds
For the year ended June 30, 2024
RDA
Successor Agency
Private Purpose
Trust Fund Custodial Funds
ADDITIONS:

Property taxes $ 1,070,223 $ -
Investment income 37,008 4,462
Other additions 1,260,373 -
Total additions 2,367,604 4,462
DEDUCTIONS:

Depreciation expense 466,825 -
Urban redevelopment and housing 1,385,391 -
Interest expense 74,985 -
Total deductions 1,927,201 -
Change in net position 440,403 4,462
NET POSITION:

Beginning of year 338,379 131,400
End of year $ 778,782 $ 135,862
See accompanying Notes to Basic Financial Statements.
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NOTES TO BASIC

FINANCIAL STATEMENTS
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City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Atwater (City) was incorporated in 1922, under the laws and regulations of the State of California (State). The City operates under a City Council/Manager form of government and provides the following services: public safety (Police), highways and streets, solid waste, storm water utility, public improvements, planning and zoning, and general administration.

The financial statements of the City have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the standard-setting body for governmental accounting and financial reporting. On June 15, 1987, GASB issued a codification of the existing Governmental Accounting and Financial Reporting Standards which, along with subsequent GASB pronouncements (Statements and Interpretations), constitutes GAAP for governmental units. The City applies all GASB pronouncements to its activities.

A. Financial Reporting Entity
The City operates as a self-governing local government unit within the State. It has limited authority to levy taxes and has the authority to determine user fees for the services that it provides. The City’s main funding sources include sales taxes, other intergovernmental revenue from state and federal sources, user fees, and federal and state financial assistance.

The financial reporting entity consists of (a) the primary government, the City, (b) organizations for which the primary government is financially accountable, and (c) other organizations for which the primary government is not accountable, but for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity’s financial statements to be misleading or incomplete. Financial accountability is defined as the appointment of a voting majority of the component unit’s board, and either (a) the City has the ability to impose its will on the organization, or (b) there is a potential for the organization to provide a financial benefit to or impose a financial burden on the City.

The basic financial statements of the City include only the financial activities of the City. The City does not have component units.

B. Basis of Presentation
Government Wide Financial Statements
The statement of net position and statement of activities display information about the reporting government as a whole. They include all funds of the reporting entity except for fiduciary funds. The statements distinguish between governmental and business-type activities. Governmental activities generally are financed through taxes, intergovernmental revenues, and other nonexchange revenues.

Certain types of transactions reported as program revenues for the City are reported in three categories:
 Charges for services
 Operating grants and contributions
 Capital grants and contributions
45

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued B. Basis of Presentation, Continued
Certain eliminations have been made in regards to interfund activities, payables, and receivables. All internal balances in the Statement of Net Position have been eliminated except for those representing balances between the governmental activities and business-type activities, which are presented as internal balances and eliminated in the total primary government column. In the Statement of Activities, internal fund transactions have been eliminated; however those transactions between governmental and business-type activities have not been eliminated. The following interfund activities have been eliminated:
 Due to/from other funds
 Advances to/from other funds
 Transfer in/out
The City applies all applicable GASB pronouncements including all NCGA Statements and Interpretations currently in effect.

Governmental Fund Financial Statements
Governmental fund financial statements include a Balance Sheet and a Statement of Revenues, Expenditures and Changes in Fund Balances for all major governmental funds and non-major funds aggregated. An accompanying schedule is presented to reconcile and explain the differences in net position as presented in these statements to the net position presented in the government-wide financial statements. The City has presented all major funds that meet specific qualifications.

All governmental funds are accounted for on a spending or “current financial resources” measurement focus and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on the balance sheets. The Statement of Revenues, Expenditures and Changes in Fund Balances present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Under the modified accrual basis of accounting, revenues are recognized in the accounting period in which they become both measurable and available to finance expenditures of the current period.

In the fund financial statements, governmental funds are presented on the modified accrual basis of accounting. Under this modified accrual basis of accounting, revenues are recognized when “measurable and available.” Measurable means knowing or being able to reasonably estimate the amount. Available means the amount is collectible within the current period or soon enough thereafter to pay current liabilities. The City considers all revenues reported in the governmental funds to be available if the revenues are collected within 60 days after year end, with the exception of grant revenues and Transportation Development Act (TDA) revenues. Grant revenues are considered to be available if collected within 190 days and TDA revenues are considered to be available if collected within 90 days of the end of the current fiscal period. 46

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued B. Basis of Presentation, Continued
The City reports the following major governmental funds:
 General Fund – used for all activities except those legally or administratively required to be accounted for in other funds.
 Public Safety Transaction & Use Tax Special Revenue Fund – accounts for Measure H and Measure B, a voter approved sales tax measure, to provide enhanced public safety costs.

Proprietary Fund Financial Statements
Proprietary fund financial statements include a Statement of Net Position, a Statement of Revenues, Expenses and Change in Net Position, and a Statement of Cash Flows for all proprietary funds.

Proprietary funds are accounted for using the “economic resources” measurement focus and the accrual basis of accounting. Accordingly, all assets and liabilities (whether current or noncurrent) are included on the Statement of Net Position. The Statement of Revenues, Expenses and Changes in Net Position present increases (revenues) and decreases (expenses) in total net position.

Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability is incurred or economic asset used. Operating revenues in the fund are those revenues that are generated from the primary operations of the fund. All other revenues are reported as nonoperating revenues. Operating expenses are those expenses that are essential to the primary operations of the fund. All other expenses are reported as non-operating expenses. The City reports the following proprietary funds as major:
 Water Enterprise Fund – accounts for the operation and maintenance of the City’s water treatment and distribution system.
 Sewer Enterprise Fund – accounts for the operation and maintenance of the City’s wastewater treatment plant and collection facilities.
 Sanitation Enterprise Fund – accounts for all activities associates with the operation and maintenance of providing solid waste services.

Internal service fund balances and activities have been combined with governmental and business-type activities in the Government-Wide Financial Statements. These funds account for building maintenance, employee benefits, risk management and information technology.

Fiduciary Fund Financial Statements
Fiduciary fund financial statements consist of a Statement of Fiduciary Net Position and a Statement of Changes in Fiduciary Net Position. The City has one private-purpose trust fund. The private-purpose trust fund accounts for resources of all other trust arrangements in which principal and income benefit individuals, private organizations, or other governments (i.e. unclaimed property/escheat property).

Fiduciary funds are accounted for using the accrual basis of accounting. 47

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued B. Basis of Presentation, Continued
The funds of the financial reporting entity are described below:
 Successor Agency – Former Atwater Community Development Agency Fund - accounts for funds collected and disbursed for the dissolution of the former Atwater Development Agency related to Administration and Retirement of enforceable obligations.  Custodial Funds - account for assets held by the City in a purely custodial capacity and are not presented in the government-wide financial statements.

C. Cash Deposits and Investments
The City’s cash and cash equivalents are considered to be cash on hand, demand deposits, and shortterm investments with original maturities of three months or less from the date of acquisition.

The City pools cash and investments from all funds for the purpose of increasing income through investment activities. Highly liquid money market investments with maturities of one year or less at time of purchase are stated at amortized cost. All other investments are stated at fair value in accordance with GASB Statement No. 31, Accounting and Financial Reporting for Certain Investments and for External Investment Pools. Market value is used as fair value for those securities for which market quotations are readily available.

In accordance with GASB Statement No. 40, Deposit, and Investment Disclosures (Amendment of GASB No. 3), certain disclosure requirements for Deposits and Investment Risks were made in the following areas:
 Interest Rate Risk
 Credit Risk
o Overall
o Custodial Credit Risk
o Concentrations of Credit Risk
In addition, other disclosures are specified including use of certain methods to present deposits and investments, highly sensitive investments, credit quality at year-end, and other disclosures.

D. Interfund Receivables and Payables
During the course of operations, numerous transactions occur between individual funds that may result in amounts owed between funds. Those related to goods and services type transactions are classified as “due to and from other funds.” Long-term interfund loans (noncurrent portion) are reported as “advances from and to other funds.” Interfund receivables and payables between funds within governmental activities are eliminated in the Statement of Net position. See Note 7 for details of interfund transactions, including receivables and payables at year-end.

E. Receivables
In the government-wide statements, receivables consist of all revenues earned at year-end and not yet received. Major receivable balances for the governmental activities include property taxes, sales and use taxes, utility user taxes, intergovernmental subventions, interest earnings, and expense reimbursements. 48

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued E. Receivables, Continued
In the fund financial statements, material receivables in governmental funds include revenue accruals such as property tax, sales tax, utility user tax, and intergovernmental subventions since they are usually both measurable and available. Non-exchange transactions collectible but not available, such as property tax, are deferred in the fund financial statements in accordance with the modified accrual basis, but not deferred in the government-wide financial statements in accordance with the accrual basis.

Interest and investment earnings are recorded when earned only if paid within 60 days since they would be considered both measurable and available. The loans receivable are recorded in the fund statements, but are deferred to indicate they do not represent current financial resources. The loans are recognized when advanced in the government-wide statements. The City’s experience is that all accounts receivable are collectible; therefore an allowance for doubtful accounts is unnecessary.

F. Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. In the governmental fund financial statements, prepaid items are offset with a reservation of fund balance for long-term assets to indicate they do not constitute current resources available for appropriation.

G. Capital Assets
The City's assets are capitalized at historical cost or estimated historical cost, if actual is unavailable, except for donated Capital Assets which are recorded at their estimated fair value at the date of donation. Policy has set the capitalization threshold for reporting at $5,000 acquisitions value for noninfrastructure capital assets and $25,000 for infrastructure capital assets.

Public domain (infrastructure) capital assets include roads, bridges, curbs and gutters, streets, sidewalks, drainage systems, and lighting systems.

The accounting treatment of property, plant and equipment (capital assets) depends on whether the assets are used in governmental fund operations or proprietary fund operations and whether they are reported in the government-wide or fund financial statements.

Depreciation of all exhaustible capital assets is recorded as an allocated expense in the Statement of Activities, with accumulated depreciation reflected in the Statement of Net position. Depreciation is provided over the assets’ estimated useful lives using the straight-line method of depreciation. No depreciation is recorded in the year of acquisition or in the year of disposition.

The range of estimated useful lives by type of asset is as follows:

Buildings and improvements 5-40 years Landscaping 30 years Roadway improvements 40 years Signage 25 years
Sidewalks, curbs, and gutters 40 years Leasehold improvements 5 years Storm drain pipes/structures 40 years Machinery and equipment 3-5 years Traffic signal devices 5-40 years Vehicles 3 years
49

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued H. Compensated Absences
Employees accrue vacation, sick, holiday, and compensatory time off benefits. City employees have vested interests in the amount of accrued time off, with the exception of sick time, and are paid on termination. Also, annually an employee may elect to be compensated for 40 to 120 hours of unused annual leave depending upon their length of service. All vacation pay is accrued when incurred in the government-wide and proprietary financial statements. A liability for these amounts is reported in the governmental funds only if they have matured, for example, as a result of employee resignations or retirements and is currently payable. The City had no employee resignations or retirements for which compensated absences should be accrued in governmental funds at year-end. The general fund is typically used to liquidate compensated absences.

I. Deferred Outflows/Inflows of Resources
In addition to assets, the statement of net position or balance sheet will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net assets that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/ expenditure) until then.

In addition to liabilities, the statement of net position or balance sheet will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time.

J. Pensions
For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the Local Government of Example's California Public Employees' Retirement System (CaIPERS) plans (Plans) and additions to/deductions from the Plans' fiduciary net position have been determined on the same basis as they are reported by CaIPERS. 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.

K. Other Postemployment Benefits (OPEB)
For purposes of measuring the net OPEB liability, deferred outflows of resources and deferred inflows of resources related to OPEB, and OPEB expense, information about the fiduciary net position of the City’s plan (OPEB Plan) and additions to/deductions from the OPEB Plan’s fiduciary net position have been determined on the same basis. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms. Investments are reported at fair value. Generally accepted accounting principles require that the reported results must pertain to liability and asset information within certain defined timeframes. For this report, the following timeframes are used:

Valuation Date June 30, 2023
Measurement Date June 30, 2023
Measurement Period July 1, 2022 to June 30, 2023
50

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued L. Net Position and Fund Balance
Government-Wide Statements
Equity is classified as net position and is displayed in three components:
a. Net investment in capital assets – consists of capital assets, including restricted capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, mortgages, notes, or other borrowings that are attributable to the acquisition, construction, or improvement of those assets.
b. Restricted net position – consists of net position with constraints placed on the use by external groups such as creditors, grantors, contributors, or bylaws or regulations of other governments or law through constitutional provisions or enabling legislation. c. Unrestricted net position – all other net position that do not meet the definition of “restricted” or “net investment in capital assets.”
Fund Financial Statements
Governmental fund equity is classified as fund balance. Fund balance is classified as nonspendable, restricted, committed, assigned, or unassigned. Proprietary fund equity is classified the same as in the government-wide statements. The classifications for governmental funds are defined as follows for the City:

Nonspendable Fund Balance –
 Assets that will never convert to cash (prepaid items, inventory).  Assets that will not convert to cash soon enough to affect the current period (long-term notes or loans receivable).
 Resources that must be maintained intact pursuant to legal or contractual requirements (the principal of an endowment).

Restricted Fund Balance –
 Resources that are subject to externally enforceable legal restrictions imposed by parties altogether outside the government (creditors, grantors, contributors and other governments).  Resources that are subject to limitations imposed by law through constitutional provisions or enabling legislation (e.g. Gas Tax).

Committed Fund Balance –
 Self-imposed limitations set in place prior to the end of the period (encumbrances, economic contingencies and uncertainties).
 Limitation at the highest level of decision-making (Council) that requires formal action at the same level to remove.
 Council resolution is required to be taken to establish, modify or rescind a fund balance commitment
51

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued L. Net Position and Fund Balance, Continued
Assigned Fund Balance –
 Amounts in excess of nonspendable, restricted and committed fund balance in funds other than the general fund automatically are reported as assigned fund balance.  Assigned amounts for a specific purpose are as authorized by the City’s City Treasurer through its fund balance policy.

Unassigned Fund Balance –
 Residual net resources
 Total fund balance in the general fund in excess of nonspendable, restricted, committed, and assigned fund balance (surplus).
 Excess of nonspendable, restricted, and committed fund balance over total fund balance (deficit).

M. Revenues, Expenditures, and Expenses
Property Tax
Property taxes in the State of California are administered for all local agencies at the county level and consist of secured, unsecured, and utility tax rolls. The following is a summary of major policies and practices relating to property taxes.

Property Valuations – are established by the Assessor of the County of Merced (County) for the secured and unsecured property tax rolls; the utility property tax rolls are valued by the State Board of Equalization. Under the provisions of Article XIIIA of the State Constitution (Proposition 13 adopted by voters on June 6, 2078) properties are assessed at 100% of full value. From this base of assessment, subsequent annual increases in valuation are limited to a maximum of 2%. However, increases to full value are allowed for property improvements or upon change in ownership.

Personal property is excluded from these limitations, and is subject to annual reappraisal.

Tax Levies – are limited to 1% of full value which results in a tax rate of $1.00 per $100 assessed valuation, under the provisions of Proposition 13. Tax rates for voter-approved indebtedness are excluded from this limitation.

Tax Levy Dates – are attached annually on January 1 proceeding the fiscal year for which the taxes are levied. The fiscal year begins July 1 and ends June 30 of the following year. Taxes are levied on both real and unsecured personal property as it exists at that time. Liens against real estate, as well as the tax on personal property, are not relieved by subsequent renewal or change in ownership.

Tax Collections – are the responsibility of the County Tax Collector. Taxes and assessments on secured and utility rolls which constitute a lien against the property, may be paid in two installments: The first is due on November 1 of the fiscal year and is delinquent if not paid by December 10; and the second is due on March 1 of the fiscal year and is delinquent if not paid by April 10. Unsecured personal property taxes do not constitute a lien against real property unless the taxes become delinquent. Payment must be made in one installment, which is delinquent if not paid by August 31 of the fiscal year. Significant penalties are imposed by the County for late payments. 52

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued M. Revenues, Expenditures, and Expenses, Continued
The County levies, bills, and collects property taxes and special assessments for the City. Property taxes levied are recorded as revenue when received, in the fiscal year of levy, due to the adoption of the “alternate method of property tax distribution”, known as the Teeter Plan, by the City and the County.

The Teeter Plan authorizes the Auditor/Controller of the County to allocate 100% of the secured property taxes billed, but not yet paid. The County remits tax monies to the City in three installments as follows:
50 percent remitted in December
45 percent remitted in April
5 percent remitted in June
N. Budgetary Accounting
The City Council establishes budgets for the General Fund and all Special Revenue Funds, except for certain Special Revenue Funds for which expenditures are controlled by grant funding or by assessments received. Budgetary control is legally maintained at the fund level for these funds.

Department heads submit budget requests to the City Manager. The City Manager prepares an estimate of revenues and prepares recommendations for the next year’s budget. The preliminary budget may or may not be amended by the City Council and is adopted by resolution by the City Council on or before June 30 in accordance with the municipal code.

The City Council may amend the budget by motion during the fiscal year. Only the Council can authorize transfers between funds and approve inter-fund loans. The City Manager is authorized to transfer budgeted amounts within a fund without formal council action or approval. The City Manager is authorized to increase expenditures in relation to revenues in funds receiving assigned revenues without approval by the City Council.

Expenditures may not legally exceed appropriations at the fund level, which is the legal level of control.

Supplemental appropriations, which increase appropriations, may be made during the fiscal year. There were no material supplemental appropriations made for the fiscal year ended June 30, 2024. Budget information is presented for the General and budgeted Special Revenue Funds in the fund financial statements. The budget information is presented on a basis consistent with generally accepted accounting principles. Appropriations, except open project appropriations, and unexpended grant appropriations, lapse at the end of each fiscal year.

O. 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 reported amounts of assets, liabilities, revenues and expenses. Actual results could differ from those estimates.
53

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued P. New Accounting Pronouncements
In 2024, the City adopted new accounting standards in order to conform to the following Governmental Accounting Standards Board Statements:
 GASB Statement No. 100, Accounting Changes and Error Corrections – an amendments of GASB Statement No. 62. This main purpose of this Statement is to strengthen accounting and financial reporting standards with respect to accounting changes and corrections of errors.

The statement provides detailed descriptions (1) changes in accounting principles; (2) changes in accounting estimates; (3) changes in reporting entity. Those changes need to disclose the nature and reasons in the financial statements to ensure the better transparency and consistency in financial reporting.

2. CASH AND INVESTMENTS
Cash, cash equivalents, and investments are reported in the accompanying basic financial statements as follows:

Governmental Business-Type Fiduciary
Activities Activities Funds Total
Cash and investments $ 49,957,284 $ 52,656,941 $ 736,220 $ 103,350,445 Restricted cash and investments - 1,130,742 - 1,130,742 Total cash and investments $ 49,957,284 $ 53,787,683 $ 736,220 $ 104,481,187 Government-Wide Statement
of Net Position
54

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

2. CASH AND INVESTMENTS, Continued
Summary of Cash and Investments
At June 30, 2024, the City’s pooled cash and investments consist of the following:

Deposits
The carrying amount of the City’s cash deposit was $13,377,856 at June 30, 2024.

Bank balances before reconciling items were a positive amount of $13,284,293 at June 30, 2024. The City’s cash deposit was fully insured up to $250,000 by the Federal Deposit Insurance Corporation. The remaining amount was collateralized with securities held by the pledging financial institutions in the City’s name.

The California Government Code (Code) Section 53652 requires California banks and savings and loan associations to secure the City’s cash deposits by pledging securities as collateral. The Code states that collateral pledged in this manner shall have the effect of perfecting a security interest in such collateral superior to those of a general creditor. Thus, collateral for cash deposits is considered to be held in the City's name.

The market value of pledged securities must equal at least 110% of the City’s cash deposits. California law also allows institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150% of the City’s total cash deposits.

Cash on hand $ 550
Deposits with financial institutions 13,377,856
Total cash on hand and deposits 13,378,406
Local Agency Investment Funds (LAIF) 65,171,135
CSJVRMA Investment Pool 1,187,118
Government bonds 9,150,983
Corporate bonds 5,055,498
Asset-backed securities 949,050
Suprational obligation 964,422
Agency CMBS 1,606,254
Commercial Paper 121,849
Money Market Fund 83,395
Agency Obligation 5,167,903
Total investments 89,457,607
Total City Treasury 102,836,013
Cash and investments held by fiscal agents 1,130,742
Restricted for PARS pension Trust 514,432
Total cash and investments $ 104,481,187
55

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

2. CASH AND INVESTMENTS, Continued
Investments
California statutes authorize cities to invest idle or surplus funds in a variety of credit instruments as provided for in the California Government Code, Section 53600, Chapter 4 – Financial Affairs. The table below identifies the investment types that are authorized for the City by the California Government Code (or the City’s investment policy, where more restrictive) that address interest rate risk, credit risk, and concentration of credit risk. The table does not address investments of debt proceeds held by bond trustees that are governed by the provisions of debt agreements of the City, rather than the general provisions of the California Government Code of the City’s investment policy. During the year ended June 30, 2024, the City’s permissible investments included the following instruments:

Investment of debt proceeds held by bond trustees are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City’s investment policy.

The table below identifies the investment types that are authorized for investments held by bond trustees. The table also identifies certain provisions of these debt agreements that address interest rate risk, credit risk, and concentration of credit risk.

Maximum
Maximum Minimum Credit Maximum % Investment
Authorized Investment Type Maturity Quality of Portfolio in One Issuer Bankers Acceptances 180 days A-1, P-1 30% 5%
Certificates of Deposits 2 years N/A N/A $500,000 per entity Negotiable Certificates of Deposit 2 years A 30% $1m per institution Commercial Paper 270 days A-1 25% 10%
State of California Local Agency
Investment Fund (State Pool) N/A N/A N/A N/A
Medium Term Notes 5 years A N/A 5%
Money Market Funds N/A Aaa 20% 10%
U.S. Treasury Securities 5 years N/A N/A N/A
U.S. Government Agency Issues 5 years A 30% 5%
U.S. Government Agency Sponsored
Enterprise Securities 5 years N/A N/A N/A
Repurchase Agreements 1 year N/A 10% 10%
Mortgage pass-through and
asset backed securities 5 years AA 20% 5%
Supranational Obligations 5 years AA 30% 10%
56

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

2. CASH AND INVESTMENTS, Continued
Investments, Continued
The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by Code Section 16429 under the oversight of the Treasurer of the State of California. The City’s investments with LAIF at June 30, 2024, include a portion of the pool funds invested in Structured Notes and Asset-Backed Securities. These investments include the following:

Structured Notes – are debt securities (other than asset-backed securities) whose cash flow characteristics (coupon rate, redemption amount, or stated maturity) depend upon one or more indices and/or have embedded forwards or options.

Asset-Backed Securities – the bulk of which are mortgage-backed securities, entitle their purchasers to receive a share of the cash flows from a pool of assets such as principal and interest repayments from a pool of mortgages (such as Collateralized Mortgage Obligations) or credit card receivables.

As of June 30, 2024, the City had $65,171,135 invested in LAIF, which had invested 3.00% of the pool investment funds in Structured Notes and Asset-Backed Securities as compared to 2.78% in the previous year. The LAIF fair value factor of 0.996316042 was used to calculate the fair value of the investments in LAIF.

Risk Disclosures
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. One of the ways that the City manages its exposure to interest rate risk is by purchasing a combination of shorter term and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations.
12 Months 13 to 36 More than
Investment Type Total or less Months 36 Months
Government bonds $ 9,150,983 $ 3,960,857 $ 1,955,802 $ 3,234,324 Corporate bonds 5,055,498 1,162,319 2,601,970 1,291,209 Asset-backed securities 949,050 201,639 687,900 59,511
Suprational obligation 964,422 - 613,150 351,272
Agency CMBS 1,606,254 791,377 147,165 667,712
Commercial Paper 121,849 121,849 - -
Money Market Fund 83,395 83,395 - -
Agency Obligation 5,167,903 2,466,599 2,146,975 554,329 Subtotal 23,099,354 8,788,035 8,152,962 6,158,357
Joint investment pools:

Local Agency Investment Fund 65,171,135 65,171,135 - -
CSJVRMA Investment Pool 1,187,118 1,187,118 - -
Total $ 89,457,607 $ 75,146,288 $ 8,152,962 $ 6,158,357 Investment Maturities (in Months)
57

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

2. CASH AND INVESTMENTS, Continued
Risk Disclosures, Continued
Credit risk – 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. Presented below is the actual rating at June 30, 2024 for each investment type:

Concentration of credit risk – The City’s investment policy does not allow for an investment in any one issuer that is in excess of five percent of the government’s total investments. The investments made by the City Treasurer are limited to those allowable under State statutes as incorporated into the City’s Investment Policy, which is accepted annually by the City Council. There were no concentrations in any one issuer for the year.

Custodial credit risk – investments. For investments, this is the risk that, in the event of the failure of the counterparty, the City will not be able to recover the value of its investments or collateral securities that are in the possession of an outside counterparty. For the investments maintained by the City, no security was uninsured or unregistered or held by a brokerage firm which is also the counterparty for the security.

Investment Total A3 A2 A1 Aa2 Aaa P-1
Government bonds $ 9,150,983 - - - - $ 6,764,586 $ 2,386,397 Corporate bonds 5,055,498 261,532 1,566,670 2,674,658 552,638 - - Asset-backed securities 547,677 - - - - 547,677 -
Suprational obligation 964,422 - - - - 964,422 -
Agency CMBS 1,606,254 - - - - 1,606,254 -
Commercial Paper 121,849 - - - - - 121,849
Money Market Fund 83,395 - - - - 83,395 -
Agency Obligation 5,167,903 - - - - 5,167,903 -
Subtotal $ 22,697,981 $ 261,532 $ 1,566,670 $ 2,674,658 $ 552,638 $ 15,134,237 $ 2,508,246 Not Rated:

Joint Investment Pool:

Local Agency Investment Fund $ 65,171,135
CSJVRMA Investment Pool 1,187,118
Asset-backed securities 401,373
Total Investments $ 89,457,607
Total Cash and Investments $ 89,457,607
Rating as of June 30, 2024
58

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

2. CASH AND INVESTMENTS, Continued
Fair Value Hierarchy
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 fair value of the assets. Level 1 inputs are quoted prices in an active market for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 inputs are significant unobservable inputs.

The following is a summary of the fair value hierarchy of the fair value of investments of the City as of June 30, 2024:

Investment Type Fair Value Level 1 Level 2 Level 3
Government bonds $ 9,150,983 $ - $ 9,150,983 $ -
Corporate bonds 5,055,498 - 5,055,498 -
Asset-backed securities 949,050 949,050
Suprational obligation 964,422 - 964,422 -
Agency CMBS 1,606,254 - 1,606,254 -
Commercial Paper 121,849 - 121,849 -
Agency Obligation 5,167,903 - 5,167,903 -
Total investments subject to fair value 23,015,959 $ - $ 23,015,959 $ - Investments not subject to levelling:

Money Market Funds 83,395
CSJVRMA Investment Pool 1,187,118
California Local Agency Investment Fund 65,171,135
Total Investments $ 89,457,607
Fair Value Measurement Using
59

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

3. CAPITAL ASSETS
Governmental capital asset activity for the year ended June 30, 2024, was as follows:

Depreciation expense for capital assets was charged to functions as follows:

Balance at Restated balance Balance
July 1, 2023 Adjustments at July 1, 2023 Additions Transfers June 30, 2024 Governmental activities
Nondepreciable assets:

Land $ 299,384 $ - $ 299,384 $ - $ - $ 299,384
Construction in Progress 9,112,226 - 9,112,226 2,097,487 (4,789,262) 6,420,451 Total nondepreciable assets 9,411,610 - 9,411,610 2,097,487 (4,789,262) 6,719,835 Depreciable assets:

Buildings and improvements 9,218,339 8,073,196 17,291,535 - 868,845 18,160,380 Infrastructure 1,214,625 - 1,214,625 - - 1,214,625
Roads 52,378,765 (8,073,196) 44,305,569 1,786,099 3,920,417 50,012,085 Equipment 11,335,755 11,335,755 980,600 - 12,316,355
Total depreciable assets 74,147,484 - 74,147,484 2,766,699 4,789,262 81,703,445 Total 83,559,094 - 83,559,094 4,864,186 - 88,423,280
Accumulated depreciation:

Buildings and improvements (5,006,636) (5,675,565) (10,682,201) (438,800) - (11,121,001) Infrastructure (629,106) (362,337) (991,443) (9,994) - (1,001,437) Roads (45,731,928) 6,037,902 (39,694,026) (559,402) - (40,253,428) Equipment (7,310,923) (7,310,923) (709,577) - (8,020,500) Total accumulated depreciation (58,678,592) - (58,678,592) (1,717,773) - (60,396,365) Net depreciable assets 15,468,892 - 15,468,892 1,048,926 4,789,262 21,307,080 Amortizable assets:

Right of use - lease asset 249,376 - 249,376 - - 249,376 Accumulated amortization (143,430) - (143,430) (64,000) - (207,430) Net amortizable assets 105,946 - 105,946 (64,000) - 41,946 Total net capital assets $ 24,986,448 $ - $ 24,986,448 $ 3,082,413 $ - $ 28,068,861 General government $ 700,070
Public safety 458,305
Highways and streets 559,398
Total $ 1,717,773
60

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

3. CAPITAL ASSETS, Continued
Business-type capital asset activity for the year ended June 30, 2024, was as follows:

Depreciation expense for capital assets was charged to functions as follows:

4. LONG-TERM LIABILITIES
The following is a summary of changes in long-term liabilities for governmental activities for the year ended June 30, 2024:

Balance Restated balance Balance
July 1, 2023 Adjustments at July 1, 2024 Additions Deletions Transfers June 30, 2024 Business-type activities
Nondepreciable assets:

Land $ 1,064,902 $ - $ 1,064,902 $ - $ - $ - $ 1,064,902 Construction in Progress 32,177,643 - 32,177,643 5,886,038 - (26,454,826) 11,608,855 Total nondepreciable assets 33,242,545 - 33,242,545 5,886,038 - (26,454,826) 12,673,757 Depreciable assets:

Buildings and improvements 113,068,526 216,672 113,285,198 - - 26,454,826 139,740,024 Equipment 11,770,535 (216,672) 11,553,863 455,360 (31,974) - 11,977,249 Total depreciable assets 124,839,061 - 124,839,061 455,360 (31,974) 26,454,826 151,717,273 Total 158,081,606 - 158,081,606 6,341,398 (31,974) - 164,391,030 Accumulated depreciation:

Buildings and improvements (47,251,683) - (47,251,683) (2,913,649) - - (50,165,332) Equipment (9,316,399) - (9,316,399) (352,003) 25,594 - (9,642,808) Total accumulated depreciation (56,568,082) - (56,568,082) (3,265,652) 25,594 - (59,808,140) Net depreciable assets 68,270,979 - 68,270,979 (2,810,292) (6,380) 26,454,826 91,909,133 Total net capital assets $ 101,513,524 $ - $ 101,513,524 $ 3,075,746 $ (6,380) $ - $ 104,582,890 Water $ 269,772
Sewer 2,981,827
Sanitation 14,053
$ 3,265,652
Balance Balance Due Within
July 1, 2023 Additions Retirements June 30, 2024 One Year Governmental Activities:

Lease liability $ 118,985 $ - $ (70,619) $ 48,366 $ 45,570 Lease-purchase financing 397,024 - (212,621) 184,403 109,317 Total governmental activities $ 516,009 $ - $ (283,240) $ 232,769 $ 154,887 61

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

4. LONG-TERM LIABILITIES, Continued
The following is a summary of changes in long-term liabilities for business-type activities for the year ended June 30, 2024:

Governmental Activities:

Lease-Purchase financing:

The City of Atwater has entered into two separate lease agreements as lessee for financing the acquisition of eight patrol vehicles valued at $204,276 and ladder fire truck valued at $783,751. The interest rates on the leases are 1.98% and 2.65%, respectively. The patrol vehicles have a 5-year estimated useful life and the ladder truck has a 15-year estimated useful life. Title reverts to the City after payment of the minimum lease payments, and, therefore, have been recorded at the present value of future minimum lease payments. City paid off the Ladder fire truck lease purchase liability in FY 2024.

In 2019, City of Atwater entered into agreement with Sun Ridge systems for lease RMIS system and US Bank equipment finance for purchase of radios. The table below shows the lease-Purchase liability related to radios, fire truck and RMIS system.

Balance Balance Due Within
July 1, 2023 Additions Retirements June 30, 2024 One Year Business-type Activities
2017A Wastewater Revenue
Refunding Bonds $ 50,180,000 $ - $ (1,065,000) $ 49,115,000 $ 1,115,000 Unamortized bond premium 4,429,015 - (201,320) 4,227,695 - 2018A Wastewater Revenue
Refunding Bonds 13,210,000 - (690,000) 12,520,000 715,000 Unamortized bond premium 55,330 - (3,689) 51,641 -
Total governmental activities $ 67,874,345 $ - $ (1,960,009) $ 65,914,336 $ 1,830,000 Year Ending
June 30, Principal Interest
2025 $ 71,774 $ 7,177
Total $ 71,774 $ 7,177
62

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

4. LONG-TERM LIABILITIES, Continued
In fiscal year 2021, the City of Atwater entered into a lease agreement as lessee for financing the acquisition of police bodycam equipment. The remaining liability as of June 30, 2024 amounted to $112,629. The bodycams have 5-year estimated useful life.

Lease liabilities
Pursuant to the GASB 87, the City has following lease liabilities:

In fiscal year 2021, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2053-23C8PN) valued at $45,349. As of June 30, 2024, the value of the lease liability is $10,851. The vehicle has 4-year estimated useful life. The City is required to make monthly payment of $944. The net value of the right to use the asset as of June 30, 2024 of $9,645 is included in the intangible assets on the capital assets activities table found in Note 3 above.

In fiscal year 2020, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2045-239MBF) valued at $46,033. The vehicle has 4-year estimated useful life.

As of June 30, 2024, City has paid off the lease liability. Right to use asset as of June 30, 2024 is fully amortized and is included in the intangible assets on the capital assets activities table found in Note 3 above.

In fiscal year 2020, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2047-23C8Q4) valued at $25,785.. The vehicle has 4-year estimated useful life.

As of June 30, 2024, City has paid off the lease liability. As of June 30, 2024 Right to use the asset is fully amortized and is included in the intangible assets on the capital assets activities table found in Note 3 above.

Year Ending
June 30, Principal Interest
2025 $ 37,543 $ -
2026 37,543 -
2027 37,543 -
Total $ 112,629 $ -
Year Ending
June 30, Principal Interest
2025 $ 10,851 $ 485
Total $ 10,851 $ 485
63

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

4. LONG-TERM LIABILITIES, Continued
Lease liabilities, Continued
In fiscal year 2020, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2048-23C8Q3) valued at $25,785. The vehicle has 4-year estimated useful life. As of June 30, 2024, City has paid off the lease liability. As of June 30, 2024, Right to use the asset is fully amortized and is included in the intangible assets on the capital assets activities table found in Note 3 above.

In fiscal year 2021, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2056-239MBD) valued at $36,406. As of June 30, 2024, the value of the lease liability is $2,722. The vehicle has 4-year estimated useful life. The City is required to make monthly payment of $919. The net value of the right to use the asset as of June 30, 2024 of $1,813 is included in the intangible assets on the capital assets activities table found in Note 3 above.

In fiscal year 2022, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2051-23XZTS) valued at $36,778. As of June 30, 2024, the value of the lease liability is $11,534. The vehicle has 4-year estimated useful life. The City is required to make monthly payment of $931. The net value of the right to use the asset as of June 30, 2024 of $10,172 is included in the intangible assets on the capital assets activities table found in Note 3 above.

Year Ending
June 30, Principal Interest
2025 $ 2,722 $ 35
Total $ 2,722 $ 35
Year Ending
June 30, Principal Interest
2025 $ 10,608 $ 35
2026 926 6
Total $ 11,534 $ 41
64

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

4. LONG-TERM LIABILITIES, Continued
Lease liabilities, Continued
In fiscal year 2022, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2052-23XZTV) valued at $36,778. As of June 30, 2024, the value of the lease liability is $11,603. The vehicle has 4-year estimated useful life. The City is required to make monthly payment of $936. The net value of the right to use the asset as of June 30, 2024 of $10,161 is included in the intangible assets on the capital assets activities table found in Note 3 above.

In fiscal year 2022, the City of Atwater entered into a lease agreement as lessee with Enterprise for one police vehicle (Vehicle #2050-252ZQB) valued at $36,778. As of June 30, 2024, the value of the lease liability is $11,656. The vehicle has 4-year estimated useful life. The City is required to make monthly payment of $940. The net value of the right to use the asset as of June 30, 2024 of $10,151 is included in the intangible assets on the capital assets activities table found in Note 3 above.

Business-type Activities
2017A Wastewater Revenue Refunding Bonds (Sewer)
In August 2017, the City issued the 2017A Wastewater Revenue Refunding Bonds in the amount of $56,600,000 to defease the 2008 Wastewater Revenue Refunding Bonds and the 2010 Wastewater Revenue Bonds by placing funds in separate escrow accounts to prepay the obligations. Each payment includes interest at an annual rate between 3.125% to 5.000%. Interest on the bonds is payable on May 1 and November 1 of each year. Principal of the bonds is payable on May 1 of each year beginning May 1, 2018. The bonds fully mature on May 1, 2045. An original issue premium of $5,619,924 and an underwriting discount of $509,400 was included in the sales of the bonds.

Year Ending
June 30, Principal Interest
2025 $ 10,673 $ 570
2026 930 7
Total $ 11,603 $ 577
Year Ending
June 30, Principal Interest
2025 $ 10,716 $ 572
2026 940 7
Total $ 11,656 $ 579
65

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

4. LONG-TERM LIABILITIES, Continued
2017A Wastewater Revenue Refunding Bonds (Sewer), Continued The annual debt service requirements for the 2017A Bonds are as follow:
2018A Wastewater Revenue Refunding Bonds (Sewer)
In April 2019, the City issued the 2019A Wastewater Revenue Refunding Bonds in the amount of $16,255,000 to defease the 2011 Wastewater Revenue Bonds by placing funds in an escrow account to prepay the obligation. Each payment includes interest at an annual rate between 2.75% to 4.00%. Interest on the bonds is payable on May 1 and November 1 of each year. Principal of the bonds is payable on May 1 of each year beginning May 1, 2019, Interest payments began on November 1, 2019. The bonds fully mature on May 1, 2038. An original issue premium of $2,064,063 and an underwriting discount of $146,295 was included in the sales of the bonds.

The annual debt service requirements for the 2018A Bonds are as follow:

Year Ending
June 30,
Principal Interest
2025 $ 1,115,000 $ 2,191,838
2026 1,175,000 2,136,086
2027 1,230,000 2,077,336
2028 1,295,000 2,015,838
2029 1,365,000 1,951,088
2030-2034 7,815,000 8,756,438
2035-2039 10,850,000 7,048,850
2040-2044 19,770,000 3,523,000
2045 4,500,000 157,500
Total $ 49,115,000 $ 29,857,974
Refunding Bonds
2017A Wastewater Revenue
Year Ending
June 30,
Principal Interest
2025 $ 715,000 $ 426,369
2026 740,000 397,769
2027 775,000 368,168
2028 795,000 346,856
2029 820,000 323,006
2030-2034 4,495,000 1,211,863
2035-2038 4,180,000 385,019
Total $ 12,520,000 $ 3,459,050
2018A Wastewater Revenue
Refunding Bonds
66

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

5. COMPENSATED ABSENCES
The City’s compensated absences payable activity for the year ended June 30, 2024 was as follows:

6. NET POSITION/ FUND BALANCES
Net position
Restricted balances are for the same purposes as fund balance restrictions because external restriction requirements are the same. See descriptions of the restrictions below.

Balance Balance Due Within
July 1, 2023 Additions Deletions June 30, 2024 One Year Governmental Activities:

Compensated absences payable $ 667,401 $ 52,829 $ - $ 720,230 $ 60,530 Business-Type Activities:

Compensated absences payable 134,781 27,371 - 162,152 14,215 $ 802,182 $ 80,200 $ - $ 882,382 $ 74,745
Governmental Businesss-type
Activities Activities Total
Net investment in capital assets $ 27,836,092 $ 38,668,554 $ 66,504,646 Restricted 26,722,990 1,130,742 27,853,732
Unrestricted (deficit) (21,944,515) 51,966,319 30,021,804 Total $ 32,614,567 $ 91,765,615 $ 124,380,182
67

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

6. NET POSITION/ FUND BALANCES, Continued
Fund Balance
Nonspendable and Restricted fund balance consisted of the following at June 30, 2024:

The following describe the purpose of each nonspendable, restricted, and committed category used by the City:

Nonspendable
 Prepaid items - used to segregate that portion of fund balance to indicate that prepaid amounts do not represent available, spendable resources even though they are components of assets.  Investment in land held for resale – includes properties held for the purpose of redevelopment either through resale or conversion to public use, which do not represent available, spendable resources even though they are components of assets.

Nonspendable:

Prepaid items $ 35,334
Investment in land held for resale 159,364
Total Nonspendable $ 194,698
Restricted:

Governmental Funds:

Public Safety Transaction & Use Special Revenue $ 3,073,196 Measure V Special Revenue 6,028,505
Gas Tax 156,320
Facility Impact Fee 6,708,191
HOME Investment Partnership 534,666
Neighborhood Stabilization 229,201
Pension 115 Trust 514,432
Narcotics Program 2,152
Applegate Exchange 800,346
Regional Transportation Program 2,710,408
PLHA-Perm Local Housing Alloc 158,593
ARPA Fund 157,523
Maintenance District Funds 1,512,547
Total Restricted $ 26,722,990
Assigned:

Performance Bond $ 116,118
Total Assigned $ 116,118
68

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

6. NET POSITION/ FUND BALANCES, Continued
Restricted
 Gas Tax – represents amounts restricted for street maintenance purposes as defined in Sections 2105, 2106, 2107 and 2107.5 of the Streets and Highway Code.  Facility Impact Fee – represents amounts restricted to capital projects through AB1600.  HOME Investment Partnership Program – represents amounts restricted for the City’s HOME revolving loan program as this program is supported by specific grants requiring the restriction.  Neighborhood Stabilization – represents restricted amounts received from Federal Grants for neighborhood revitalization programs.

Deficit fund balances consisted of the following:

The above deficit fund balances have occurred due to the spending of funds prior to the receipt of revenues (cost reimbursements). The fund balances will be restored in the near future as revenues are received.

7. INTERFUND TRANSACTIONS
Transfers are used to (1) move revenues from the fund that statute or budget requires to collect them to the fund that statute or budget requires to expend them, and (2) use unrestricted revenues collected in the general fund to finance various programs accounted for in other funds in accordance with budgetary authorizations.

Transfers consisted of the following at June 30, 2024:

As of
June 30, 2024
Nonmajor Capital Project Funds:

General Capital Projects $ (34,838)
Maintenance District Funds:

Northwood Village (245)
Woodview Garland (20)
Total Governmental Funds $ (35,103)
Nonmajor Internal
General Governmental Service
Transfers Out Fund Funds Funds Total
General Fund $ - $ 567,193 $ 300,000 $ 867,193
Nonmajor Governmental Funds 50,000 - - 50,000
Water Fund 152,375 - - 152,375
Internal Service Fund - 100,000 - 100,000
Total $ 202,375 $ 667,193 $ 300,000 $ 1,169,568
Transfers In
69

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

7. INTERFUND TRANSACTIONS, Continued
The $50,000 transfer from Nonmajor Governmental Funds to General Fund was for Administration of the Low to Moderate Income Housing Fund. The remaining $152,375 Water Fund Transfer to General Fund was to fund hydrant maintenance paid from General Fund. The transfers from the General Fund to Nonmajor Governmental funds are for the contributions to the Gas Tax Fund for road maintenance and general benefit contribution to the Maintenance Districts The transfers from the General Fund to Nonmajor Proprietary Funds are for the contributions to the Internal Service Fund for Building/Equipment Replacement and unfunded OPEB Liabilities.

8. RISK MANAGEMENT
The City participates with other public entities in a joint venture under a joint powers agreement which establishes the Central San Joaquin Valley Risk Management Authority (CSJVRMA). The relationship between the City and CSJVRMA is such that CSJVRMA is not a component unit of the City for financial reporting purposes. The City is covered for the first $1,000,000 of each general liability claim and $500,000 of each worker’s compensation claim through the CSJVRMA. The City has the right to receive dividends or the obligation to pay assessments based on a formula which, among other expenses, charges the City’s account for liability losses under $50,000 and worker’s compensation losses under $100,000. The CSJVRMA participates in an excess pool which provides worker’s compensation coverage from $500,000 to $4,500,000 and purchases excess insurance above the $5,000,000 to the statutory limit.

The CSJVRMA is a consortium of fifty-four (54) cities in San Joaquin Valley, California. It was established under the provisions of California Government Code Section 6500 et. seq. The CSJVRMA is governed by a Board of Directors, which meets 3-4 times per year, consisting of one member appointed by each member city. The day-to-day business is handled by a management group employed by the CSJVRMA.

At the termination of the joint venture agreement and after all claims has been settled, any excess or deficit will be divided among the cities in proportion to the aggregate amount of contribution made by each. The financial position results of operations of CSJVRMA are as follows for June 30, 2024, the most recent available:

Total assets $ 179,635,612
Total liabilites 144,400,470
Total equities 35,235,142
Total revenues 95,596,916
Total expenses 94,324,180
Revenues over (under) expenses 1,272,736
70

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

9. PUBLIC EMPLOYEES’ RETIREMENT SYSTEM
General Information about the Pension Plans
Plan Descriptions - All qualified permanent and probationary employees are eligible to participate in the City's separate Safety (police and fire) and Miscellaneous (all other) Employee Pension Plans, costsharing multiple employer defined benefit pension plans administered by the California Public Employees' Retirement System (CaIPERS). Benefit provisions under the Plans are established by State statute and City resolution. CalPERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.

Benefits Provided - CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries.

Benefits are based on years of credited service, equal to one year of full time employment. Members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after 10 years of service. The death benefit is one of the following: the Basic Death Benefit, the 2057 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost of living adjustments for each plan are applied as specified by the Public Employees' Retirement Law.

Benefits Provided
The Plans' provisions and benefits in effect at June 30, 2024, are summarized as follows:

Miscellaneous Miscellaneous
PEPRA Classic Miscellaneous - Tier 2
Prior to Prior to Prior to
Hire date January 1, 2013 January 1, 2013 January 1, 2013 Benefit vesting schedule 5 years of service 5 years of service 5 years of service Benefit payments monthly for life monthly for life monthly for life Retirement age 62 55-60 60
Monthly benefits, as a % of eligible compensation 2.00% 2.00%-3.00% 2.00% Required employee contribution rates 6.75% 8.00% 7%
Required employer contribution rates 7.68% 17.96% 10.10% Safety - Classic Safety - PEPRA
Prior to Prior to
Hire date January 1, 2013 January 1, 2013
Benefit vesting schedule 5 years of service 5 years of service Benefit payments monthly for life monthly for life
Retirement age 50 57
Monthly benefits, as a % of eligible compensation 3.00% 2.70% Required employee contribution rates 9.00% 13.75%
Required employer contribution rates 28.30% 13.54%
71

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

9. PUBLIC EMPLOYEES’ RETIREMENT SYSTEM, Continued
Contributions -Section 20814(c) of the California Public Employees' Retirement Law requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. Funding contributions for both Plans are determined annually on an actuarial basis as of June 30 by CaIPERS. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The City is required to contribute the difference between the actuarially determined rate and the contribution rate of employees.

For the year ended June 30, 2024, the contributions recognized as part of pension expense for each Plan were as follows:

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions As of June 30, 2024, the City reported net pension liabilities for its proportionate shares of the net pension liability of each Plan as follows:

The City's net pension liability for each Plan is measured as the proportionate share of the net pension liability. The net pension liability of each of the Plans is measured as of June 30, 2023, and the total pension liability for each Plan used to calculate the net pension liability was determined by an actuarial valuation as of June 30, 2023 rolled forward to June 30, 2022 using standard update procedures. The City's proportion of the net pension liability was based on a projection of the City's long-term share of contributions to the pension plans relative to the projected contributions of all participating employers, actuarially determined. The City’s proportionate share of the net pension liability for each Plan as of June 30, 2023 and 2022 was as follows:

Miscellaneous Safety
Contributions - employer $ 1,946,726 $ 1,427,392
Proportionate Share
of Net Pension Liability
Miscellaneous $ 14,133,528
Safety 15,076,535
Total Net Pension Liability $ 29,210,063
Proportion - June 30, 2022 0.24936%
Proportion - June 30, 2023 0.23414%
Change - Increase (Decrease) (0.01522%)
72

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

9. PUBLIC EMPLOYEES’ RETIREMENT SYSTEM, Continued
Pension Liabilities, Pension Expenses, and Deferred Outflows/Inflows of Resources Related to Pensions, Continued
For the year ended June 30, 2024, the City recognized pension expense of $3,533,547. At June 30, 2024, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:
$3,374,118 reported as deferred outflows of resources related to contributions subsequent to the measurement date that will be recognized as a reduction of the net pension liability in the year ended June 30, 2025. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Actuarial Assumptions -The total pension liabilities in the June 30, 2023 actuarial valuations were determined using the following actuarial assumptions:

Deferred Outflows Deferred Inflows
of Resources of Resources
Change in Assumptions $ 1,733,192 $ -
Differences between actual and expected experience 1,828,913 206,764 Differences between projected and actual investment 4,351,565 - Differences between employers contributions and
proportionate share of contributions
760,613 -
Change in employer's proportion - 2,683,552
Pension contributions made subsequent to measurement date 3,374,118 - Total $ 12,048,401 $ 2,890,316
Year Ended
June 30,
2025 $ 1,371,076
2026 987,458
2027 3,302,182
2028 123,251
Actuarial Assumptions
Actuarial cost method Entry-age normal cost method
Actuarial assumptions
Discount rate 6.90%
Inflation 2.30%
Salary increases Varies by category, entry age, and service Mortality Rate Table Derived using CalPERS’ Membership Data for all Funds.

Contract COLA up to 2.3% until purchasing power protection Post-retirement benefit increase Protection Allowance Floor on Purchasing Power applies 73

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

9. PUBLIC EMPLOYEES’ RETIREMENT SYSTEM, Continued
Pension Liabilities, Pension Expenses, and Deferred Outflows/Inflows of Resources Related to Pensions, Continued
The mortality table was developed based on CalPERS-specific data. The rate incorporates Generational mortality improvements to capture ongoing mortality improvement using 80% of Scale MP 2020 published by society of Actuaries. For more details, please refer to the 2021experience study report that can be found on the CalPERS website.

Discount Rate – The discount rate used to measure the total pension liability as of the measurement date of June 30, 2023 for the Plan was 6.90%. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will be made at statutorily required rates, actuarially determined. Based on those assumptions, the Plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on plan investments was applied to all periods of projected benefit payments to determine the total pension liability. A detailed report testing these projections can be obtained from the CalPERS website.

In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. Projected returns for all asset classes are estimated and, combined with risk estimates, are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return.

The table below reflects the long-term expected real rate of return by asset class. The rate of return was calculated using the capital market assumptions applied to determine the discount rate and asset allocation. These rates of return are net of administrative expenses.

Assumed
Asset
Asset Class (1) Allocation Real Return
1,2
Global equity - cap-weighted 30.00% 4.45
Global equity non-cap-weighted 12.00 3.84
Private equity 13.00 7.28
Treasury 5.00 0.27
Mortgage-backed Securities 5.00 0.50
Investment Grade Corporates 10.00 1.56
High Yield 5.00 2.27
Emerging Market Debt 5.00 2.48
Private Debt 5.00 3.57
Real assets 15.00 3.21
Leverage (5.00) (0.59)
Total 100%
(1) Figures are based on thee 2021 Asset Liability Management study. (2) An expected inflation of 2.30% used for this period. 74

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

9. PUBLIC EMPLOYEES’ RETIREMENT SYSTEM, Continued
Pension Liabilities, Pension Expenses, and Deferred Outflows/Inflows of Resources Related to Pensions, Continued
Sensitivity of the Proportionate Share of the Net Pension Liability to Changes in the Discount Rate - The following presents the City's proportionate share of the net pension liability for each Plan, calculated using the discount rate for each Plan, as well as what the City's proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage point lower or 1- percentage point higher than the current rate:

Payable to the Pension Plan
At June 30, 2024 the City no outstanding amount of contributions to the pension plan required for the year ended June 30, 2024.

Pension Plan Fiduciary Net Position
Detailed information about each pension plan's fiduciary net position is available in the separately issued CalPERS financial reports.

10. OTHER POSTEMPLOYMENT BENEFITS
Plan Description
The City of Atwater Retired Employees Healthcare Plan is a single-employer defined benefit healthcare plan administered by CalPERS. The City provides medical benefits to eligible retirees, their spouses and dependents. To earn this benefit, employees must have reached the age of fifty with five years of service to the City. The City provides coverage for surviving family members of an enrollee who dies while covered under the plan. Coverage for the enrolled family members then continues until any one of a specific set of circumstances occurs. The Retiree Health Plan does not issue a financial report.

Funding Policy
The contribution requirements of plan members and the City are established and may be amended by the City Council. The required contribution is based on projected pay-as-you-go financing requirements. For fiscal year 2025, the City contributed $822,226 to the plan, the entire amount for current premiums. The City pays the full benefit cost of health care coverage premiums for retired members receiving benefits. The City does not pay for dental and vision insurance premiums for retiree.

Those retirees wishing to be covered by dental and vision insurance benefits must pay 100% of the cost for the retirees and their dependents.
1% Decrease Current Discount Rate 1% Increase
(5.90%) (6.90%) (7.90%)
Net Pension Liability as of June 30, 2024
Net Pension Liability (Asset) $ 41,913,935 $ 29,210,063 $ 18,791,265 Total $ 41,913,935 $ 29,210,063 $ 18,791,265
75

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

10. OTHER POSTEMPLOYMENT BENEFITS, Continued
At June 30, 2024, the following employees were covered by the benefit terms:

City Contribution to the Plan
The Plan and its contribution requirements are established by Memoranda of Understanding with the applicable employee bargaining units and may be amended by agreements between the City and the bargaining units. The annual contribution is based on the actuarially determined contribution. For the fiscal year ended June 30, 2024, the City’s cash contributions were $646,975 cash benefit payments.

Net OPEB Liability
The City’s net OPEB liability was measured as of June 30, 2023, and the total OPEB liability used to calculate the net OPEB liability was determined by an actuarial valuation dated June 30, 2022 that was rolled forward to determine the June 30, 2023 total OPEB liability, based on the following actuarial methods and assumptions:

Active employees 96
Inactive employees or beneficiaries currently receiving benefits 68 Inactive employees entitled to, but not yet receiving benefits 28 Total number of participants 192
Actuarial Valuation Date June 30, 2023
Contribution Policy City plans to contribute $50,000 or more into the trust every year, pay benefit payments outside of the trust, and not seek reimbursements Discount Rate 3.56% at June 30, 2023

3.54% at June 30, 2022
Current trust assets plus expected City contributions and expected trust earnings projected to be less than future hires' Service Costs General Inflation 2.50% per annum
Mortality, Retirement, CalPERS 2000-2019 experience study Disability, Termination
Salary Increases Aggregate - 2.75% annually
Merit - Table from CalPERS 2000-2019 Experience Study
Medical Trend 7.90% - 3.45%
Participation at Retirement Active & surviving spouse:

Participating & Waived:
- Percentage of premium - 100%
- PEMHCA minimum - 60%
Retirees & surviving spouse:

Participating - 100%
Waived > 65 - 0 %
Actuarial Assumptions:
76

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

10. OTHER POSTEMPLOYMENT BENEFITS, Continued
Net OPEB Liability, Continued
The long-term expected rate of return on OPEB plan investments was determined using a building block method in which expected future real rates of return (expected returns, net of OPEB 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 arithmetic real rates of return for each major asset class are summarized in the following table:

Discount Rate
The discount rate used to measure the total OPEB liability was 3.65 percent. The projection of cash flows used to determine the discount rate assumed that Authority contributions will be made at rates equal to the actuarially determined contribution rates. Based on those assumptions, the OPEB plan’s fiduciary net position was projected to be available to make all projected OPEB payments for current active and inactive employees and beneficiaries. Therefore, the long-term expected rate of return on OPEB plan investments was applied to all periods of projected benefit payments to determine the total OPEB liability.

Changes in the OPEB Liability
The changes in the net OPEB liability for the Plan are as follows:

Target Allocation Expected Real
PARS- Balanced Rate of Return
Asset Class
Component Global Equity 60% 4.56%
Fixed Income 35% 0.78%
Cash 5% (0.05%)
100%
Total OPEB Fiduciary Net OPEB
Liability Net Position Liability
Balance at 6/30/2023 $ 20,161,295 $ 244,667 $ 19,916,628 (6/30/22 measurement date)
Changes for the year
Service Cost 566,446 - 566,446
Interest 721,815 - 721,815
Difference between actual
and expected experience 306,204 - 306,204
Assumption changes 479,774 - 479,774
Contributions - employer - 777,122 (777,122)
Contributions - employee - - -
Net investment income - 23,047 (23,047)
Benefit payments (674,989) (674,989) -
Administrative expenses - (2,763) 2,763
Net Changes 1,399,250 122,417 1,276,833
Balance at 6/30/2024 $ 21,560,545 $ 367,084 21,193,461
(6/30/23 measurement date)
77

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

10. OTHER POSTEMPLOYMENT BENEFITS, Continued
Sensitivity of the Net OPEB Liability to Changes in the Discount Rate The discount rate used for the fiscal year end 2023 is 3.65%. The following presents the net OPEB liability of the City if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2022:

Sensitivity of the Net OPEB Liability to Changes in the Health Care Cost Trend Rates The following presents the net OPEB liability of the City if it were calculated using health care cost trend rates that are one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2023 (Healthcare Cost Trend Rate was assumed to start at 7.90% in 2026 and grade down to 3.45% for years 2076 and thereafter):

Recognition of Deferred Outflows and Deferred Inflows of Resources Gains and losses related to changes in total OPEB liability and fiduciary net position are recognized in OPEB expense systematically over time. Amounts are first recognized in OPEB expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred inflows of resources related to OPEB and are to be recognized in future OPEB expense. The recognition period differs depending on the source of the gain or loss:
1% Decrease Current Rate 1% Increase
Change in Discount Rate 2.65% 3.65% 4.65%
Net OPEB Liability $ 24,606,128 $ 21,193,461 $ 18,452,603 Change in Healthcare Cost Trend Rate 1% Decrease Current Trend 1% Increase Net OPEB Liability $ 18,282,976 $ 21,193,461 $ 24,846,237 Net difference between projected and 5 years
actual earnings on OPEB plan
investment
All other amounts Expected average remaining service
lifetime (EARSL) (7.8 Years at June 30, 2023)
78

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

10. OTHER POSTEMPLOYMENT BENEFITS, Continued
OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB For the fiscal year ended June 30, 2022, the City recognized OPEB expense of $836,861. As of fiscal year ended June 30, 2024, the City reported deferred outflows of resources related to OPEB from the following sources:

The $822,226 reported as deferred outflows of resources related to contributions subsequent to the June 30, 2023 measurement date will be recognized as a reduction of the net OPEB liability during the fiscal year ending June 30, 202. Other amounts reported as deferred outflows of resources related to OPEB will be recognized as expense as follows:

11. SUCCESSOR AGENCY TRUST FOR ASSETS OF FORMER REDEVELPMENT AGENCY On December 29, 2011, the California Supreme Court upheld Assembly Bill 1X 26 (“the Bill”) that provides for the dissolution of all redevelopment agencies in the State of California. This action impacted the reporting entity of the City of Atwater that previously had reported a redevelopment agency within the reporting entity of the City as a blended component unit.

The Bill provides that upon dissolution of a redevelopment agency, either the city or another unit of local government will agree to serve as the “successor agency” to hold the assets until they are distributed to other units of state and local government. On January 12, 2015, the City Council elected to become the Successor Agency for the former redevelopment agency in accordance with the Bill as part of City resolution number 112-10.

Deferred Deferred
Outflows of Inflows of
Resources Resources
Differences between expected and actual experience $ 263,077 $ 1,787,025 Changes in assumptions 2,205,527 3,466,748
Net difference between projected and actual
earnings on plan investments 11,152 -
Employer contributions made subsequent to the
measurement date 822,226 -
Total $ 3,301,982 $ 5,253,773
Deferred
Fiscal Year Outflow/(Inflow)
Ended June 30, of Resources
2025 $ (1,121,637)
2026 (269,298)
2027 (731,660)
2028 (663,503)
2029 (109,691)
Thereafter 121,772
79

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

11. SUCCESSOR AGENCY TRUST FOR ASSETS OF FORMER REDEVELPMENT AGENCY, Continued
After enactment of the law on June 28, 2011, redevelopment agencies in the State of California cannot enter into new projects, obligations or commitments. Subject to the control of a newly established oversight board, remaining assets can only be used to pay enforceable obligations in existence at the date of dissolution (including the completion of any unfinished projects that were subject to legally enforceable contractual commitments).

In future fiscal years, successor agencies will only be allocated revenue in the amount that is necessary to pay the estimated annual installment payments on enforceable obligations of the former redevelopment agency until all enforceable obligations of the prior redevelopment agency have been paid in full and all assets have been liquidated.

The Bill directs the State Controller of the State of California to review the propriety of any transfers of assets between redevelopment agencies and other public bodies that occurred after January 1, 2011. If the public body that received such transfers is not contractually committed to a third party for the expenditure or encumbrance of those assets, the State Controller is required to order the available assets to be transferred to the public body designated as the successor agency by the Bill.

Management believes, in consultation with legal counsel, that the obligations of the former redevelopment agency due to the City are valid enforceable obligations payable by the successor agency trust under the requirements of the Bill. The City’s position on this issue is not a position of settled law and there is considerable legal uncertainty regarding this issue. It is reasonably possible that a legal determination may be made at a later date by an appropriate judicial authority that would resolve this issue unfavorably to the City. After the date of dissolution, the assets and activities of the dissolved redevelopment agency are reported in a fiduciary fund (private-purpose trust fund) in the financial statements of the City.

Long-term Liabilities
The following is a summary of changes in long-term liabilities for the year ended June 30, 2024:

Balance Balance Due Within
July 1, 2023 Additions Retirements June 30, 2024 One Year Trust Activities
Refunding Bonds $ 2,940,000 $ - $ (956,000) $ 1,984,000 $ 979,000 Total trust fund debt $ 2,940,000 $ - $ (956,000) $ 1,984,000 $ 979,000 80

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

11. SUCCESSOR AGENCY TRUST FOR ASSETS OF FORMER REDEVELPMENT AGENCY, Continued
2017 Tax Allocation Refunding Bonds – Series A and B
In September 2017, the Successor Agency to the Atwater Redevelopment Agency issued $7,524,000 Tax Allocation Refunding Bonds, Series A, in the amount of $5,999,000 and Series B in the amount of $1,525,000. The were used to defease all of the outstanding 2098 A Bonds and the 2007, Series A and B Bonds. The final maturity date on the bonds is June 2026.

Future debt service for Fiduciary Activities at June 30, 2024, is as follows:

12. COMMITMENTS AND CONTINGENCIES
Litigation
The City is involved in litigation incurred in the normal course of conducting City business. Although the outcome of these lawsuits is not presently determinable, in the opinion of the City’s counsel, the resolution of these matters will not have a material adverse effect on the financial condition of the City.

Grants and Allocations
Amounts received or receivable from grant agencies are subject to audit and adjustment by grantor agencies, principally the federal and state government. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of expenditures that may be disallowed by the grantor cannot be determined at this time, although the City expects such amounts, if any, to be immaterial.

Trichloro propane (TCP) Contamination, Settlement and Remediation Efforts The City of Atwater was awarded a $63 million dollar jury award in 2019 after suing Shell Oil Company and DOW Chemical for marketing and selling a pesticide fumigant used in agricultural applications that contained TCP and over the years infiltrated the groundwater system, thereby contaminating the City’s domestic water system wells.

The City’s net settlement was $43 million after legal costs. The City Council of the City of Atwater adopted Resolution No. 3130-20 on January 13, 2020, committing the proceeds of the TCP settlement towards the remediation of TCP from the City’s water system. Under the Resolution the funds will be utilized towards long-term well-head treatment, closure and/or abandonment of existing well sites, and the drilling of new wells.

Year Ending
June 30,
Principal Interest
2025 $ 979,000 $ 51,188
2026 1,005,000 25,928
Total $ 1,984,000 $ 77,116
Tax Allocation Refunding Bonds
2017 Series A & B
81

City of Atwater
Notes to Basic Financial Statements
For the year ended June 30, 2024

12. COMMITMENTS AND CONTINGENCIES, Continued
The City completed the 1, 2, 3 -TCP Central Treatment Plant in 2021. The City oversees the operations and maintenance of the TCP Central Treatment plant and performs testing as required utilizing the TCP Settlement Funds.

Currently the annual cost of maintenance is approximately $1,000,000 based upon once-a-month testing requirements and filter replacements. The cost of testing can fluctuate depending upon levels of TCP present in the monthly samples. Should the levels of TCP increase, more frequent testing would be required, therefore resulting in higher costs.

13. DEFERRED COMPENSATION PLAN
The City has two 457 Deferred Compensation Plans implemented. In October, 1999, the City established a 457(b) Deferred Compensation Plan with Mission Square Retirement (ICMA) to provide retirement income and other deferred benefits to the Employee of the Employer and the Employees’ Beneficiaries in accordance with the provisions of Section 457 of the IRC, Sections 1.457-4 through 1.457-10.

Approximately 101 employees were eligible to participate in this plan. In calendar year 2024, the employees were able to contribute to the plan up to a maximum of $23,000. The City did not match or provide any employer paid contributions to the plan during fiscal year 2024.

Effective January 2015, the City established another 457(b) Deferred Compensation Plan with Orion Portfolio Solutions. Approximately 101 employees were eligible to participate in this plan. In calendar year 2024, the employees were able to contribute to the plan up to a maximum $23,000. The City did not match or provide any employer paid contributions to the plan during fiscal year 2024.

14. CHANGES IN REPORTING ENTITY
City reported the following changes in reporting entity as a result of change in major funds this year.

June 30, 2023, as
previously Changes in major June 30, 2023,
reported fund as restated
Governmental Funds:

Major Governmental Funds
ARPA fund $ 375,750 $ (37,570) $ -
Nonmajor Governmental Funds 20,934,131 37,570 20,971,701 82

REQUIRED

SUPPLEMENTARY INFORMATION
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85

City of Atwater
Required Supplementary Information
For the year ended June 30, 2024
Schedule of the City's Proportionate Share of the Net Pension Liability and Related Ratios - Last 10 Years
Fiscal year 2024 2023 2022 2021 2020
Measurement date 6/30/2023 6/30/2022 6/30/2021 6/30/2020 6/30/2019 Proportion share of the net pension
liability / (asset) 0.23414% 0.24936% 0.34025% 0.25529% 0.26482% Proportionate share of the net pension
liability / (asset) $ 28,802,661 29,210,063 $ 18,401,458 $ 27,776,819 $ 27,135,766 $ Covered payroll 5,228,523 5,904,114 4,635,875 4,869,106 4,301,273 Proportionate share of the net pension
liability / (asset) as a percentage of its
covered-employee payroll 20.21% 18.15% 25.19% 17.53% 15.85% Proportionate share of the fiduciary
net position as a percentage of the
City's net pension liability 76.21% 76.68% 88.29% 75.10% 75.26% Notes to Schedule
The CalPERS discount rate was increased from 7.5% to 7.65% in fiscal year 2016, decreased from 7.65% to 7.15% in fiscal year 2018, and then decreased from 7.15% to 6.9% in fiscal year 2023.

The CalPERS mortality assumptions were adjusted in fiscal year 2019. 86

City of Atwater
Required Supplementary Information
For the year ended June 30, 2024
Schedule of the City's Proportionate Share of the Net Pension Liability and Related Ratios - Last 10 Years (Continued)
Fiscal year 2019 2018 2017 2016
Measurement date 6/30/2018 6/30/2017 6/30/2016 6/30/2015 Proportion share of the net pension
liability / (asset) 0.27549% 0.27768% 0.29319% 0.32718% Proportionate share of the net
pension liability / (asset) $ 26,546,855 $ 27,538,451 $ 25,370,399 $ 22,457,323 Covered payroll 4,352,437 4,645,102 4,635,102 4,635,102 Proportionate share of the net
pension liability / (asset) as a
percentage of its covered-employee
payroll 16.40% 16.87% 18.27% 20.64%
Proportionate share of the fiduciary
net position as a percentage of the
City's net pension liability 75.26% 73.31% 74.06% 78.40% 87

City of Atwater
Required Supplementary Information
For the year ended June 30, 2024
Schedule of Pension Contributions - Last 10 Years
Fiscal year 2024 2023 2022 2021 2020
Actuarially determined contribution $ 3,273,604 3,374,118 $ 3,715,339 $ 3,689,231 $ 3,671,000 $ Contributions in relation to actuarially
deemed contributions (3,273,604) (3,374,118) (3,715,339) (3,689,231) (3,671,000) Contribution deficiency (excess) $ - - $ - $ - $ - $
Covered payroll $ 5,904,114 7,065,729 $ 5,228,523 $ 4,635,875 $ 4,869,106 $ Contributions as a percentage of covered
payroll 47.75% 55.45% 71.06% 79.58% 75.39%
Notes to Schedule
Methods and assumptions used to defermine contribution rates:

Valuation date (for contractually required
contribution): 6/30/2021 6/30/2020 6/30/2019 6/30/2018 6/30/2017 Actuarial cost method: Entry Age Entry Age Entry Age Entry Age Entry Age Amortization method: (1) (1) (1) (1) (1)
Assets valuation method: Market Value Market Value Market Value Market Value Market Value Inflation: 2.30% 2.50% 2.50% 2.50% 2.63%
Salary increases: (2) (2) (2) (2) (2)
Investment rate of return: 6.900% 7.000% 7.000% 7.000% 7.250% Retirement age: (3) (3) (3) (3) (3)
Mortality: (4) (4) (4) (4) (4)
(1) Varies by date established and source. May be level dollar or level % of pay and may include direct rate smoothing (2) Depending on age, service and type of employment
(3) 50 for all plan, with the exception of 52 for Miscellaneous PEPRA 2%@62 (4) Mortality assumptions are based on mortality rates resulting from the CalPER's most recent experience study adopted by the CalPER's Board.
88

City of Atwater
Required Supplementary Information
For the year ended June 30, 2024
Schedule of Pension Contributions - Last 10 Years (Continued) Fiscal year 2019 2018 2017 2016
Actuarially determined contribution $ 2,892,846 3,103,630 $ 2,734,672 $ 1,645,317 $ Contributions in relation to actuarially deemed
contributions (2,892,846) (3,103,630) (2,734,672) (1,645,317) Contribution deficiency (excess) $ - - $ - $ - $
Covered payroll $ 4,352,437 4,301,273 $ 4,645,102 $ 4,635,102 $ Contributions as a percentage of covered payroll 72.16% 66.46% 58.87% 35.50% Valuation date (for contractually required
contribution): 6/30/2016 6/30/2015 6/30/2014 6/30/2013
Actuarial cost method: Entry Age Entry Age Entry Age Entry Age Amortization method: (1) (1) (1) (1)
Assets valuation method: Market Value Market Value Market Value Market Value Inflation: 2.75% 2.75% 2.75% 2.75%
Salary increases: (2) (2) (2) (2)
Investment rate of return: 7.375% 7.500% 7.500% 7.500%
Retirement age: (3) (3) (3) (3)
Salary increases: (4) (4) (4) (4)
89

City of Atwater
Required Supplementary Information
For the year ended June 30, 2024

OTHER POST-EMPLOYMENT BENEFITS PLAN SCHEDULES
OPEB Plan, an Agent Multiple-Employer Defined Benefit Plan Schedule of Changes in the Net OPEB Liability and Related Ratios - Last 10 Years* For the Measurement Period Ended: 6/30/2023 6/30/2022 6/30/2021 6/30/2020 6/30/2019 6/30/2018 6/30/2017 Total OPEB Liability
Service cost $ 830,650 566,446 $ 1,052,679 737,612 $ 986,349 $ 1,028,487 $ 1,200,000 $ Interest 531,096 721,815 552,930 678,894 949,529 872,785 746,000 Assumption changes (4,628,232) 479,774 (495,797) 4,517,566 1,230,191 (1,089,852) (2,981,000) Differences between expected and
actual experience 306,204 - (674,772) - (7,433,570) - - Benefit payments (658,695) (674,989) (630,738) (622,521) (622,296) (604,000) (627,000) Net change in the total OPEB liability 1,399,250 (3,925,181) (195,698) 5,311,551 (4,889,797) 207,420 (1,662,000) Total OPEB liability - beginning 20,161,295 24,086,476 24,282,174 18,970,623 23,653,000 25,315,000 Total OPEB liabilty - ending (a) $ 21,560,545 $ 20,161,295 24,086,476 $ 24,282,174 $ (4,889,797) $ 23,860,420 $ 23,653,000 Plan Fiduciary Net Position
Contributions - employer $ 710,265 777,122 $ 732,277 $ 724,186 $ - $ $ - $ - Net investment income 23,047 (31,120) 26,549 76 - - -
Administrative expense (2,126) (2,763) (1,821) (1,665) - - - Benefit payments (658,695) (674,989) (630,738) (622,521) - - - Net change in the total OPEB liability 122,417 18,324 126,267 100,076 - - - Plan fidcuiary net position - beginning 244,667 226,343 100,076 - - - - Plan fidcuiary net position - ending (b) $ 367,084 $ 244,667 $ 226,343 $ 100,076 $ - $ - $ - Net OPEB liability - ending (a) - (b) 21,193,461 $ $ 19,916,628 $ 23,860,133 $ 24,182,098 $ (4,889,797) $ 23,860,420 $ 23,653,000 Plan fiduciary net position as a
percentage
percentage of the total OPEB liability 1.70% 1.21% 0.94% 0.41% 0.00% 0.00% 0.00% Covered employee payroll $ 7,055,218 7,061,135 $ 5,925,878 $ 4,869,106 $ N/A N/A N/A Net OPEB liability as a percentage of
covered employee payroll 300.1% 282.3% 402.64% 496.64% N/A N/A N/A *Fiscal year 2017 was the 1st year of implementation.
90

City of Atwater
Required Supplementary Information
For the year ended June 30, 2024

OTHER POST-EMPLOYMENT BENEFITS PLAN SCHEDULES
Schedule of OPEB Contributions - Last 10 Years*
Fiscal Year Ended: 6/30/2024 6/30/2023 6/30/2022 6/30/2021 Actuarially determined contribution $ 777,122 822,226 $ 710,265 $ 732,277 $ Contributions in relation to the actuarially
determined contribution (822,226) (777,122) (710,265) (732,277) Contribution deficiency (excess) - $ $ - $ - $ -
Covered - employee payroll $ 7,487,307 $ 7,061,135 $ 7,055,218 $ 5,925,878 Contribution as a percentage
of covered-employee payroll 11% 11% 10% 12%
Notes:

Actuarial Assumptions:

Actuarial Valuation Date June 30, 2023
Contribution Policy
Discount Rate 3.65% at June 30, 2023
Long-term Expected Rate of Return on Assets 5.54% for 2021/22 General Inflation 2.5% annually
Mortality, Retirement, Disability, Termination CalPERS 2000-2019 Experience Study Salary Increases Aggregate - 2.75% annually
Merit - Table from CalPERS 2000-2019 Experience Study
Medical Trend 7.90% -5.65%
Participation at Retirement Active & surviving spouse:

Participating & Waived:
- Percentage of premium 100%
- PEMHCA minimum - 60%
Retirees & surviving spouse:

Participating - 100%
Waived < 65 - 20% at 65
Waived > 65 - 0%
City plans to contribute $50,000 into the trust
every year after June 30, 2021, pay benefit
payments outside of the trust, and not seek
reimbursements.
*fiscal year 2021 is the first year that the City has actuarially determined contribution 91

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92

SUPPLEMENTARY INFORMATION
93

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94

City of Atwater
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
Special Total Nonmajor
Revenue Performance Governmental
Funds General Bond Funds
ASSETS
Cash and investments 26,335,728 $ (18,779) $ 226,233 $ 26,543,182 $ Receivables:

Taxes 17,049 - - 17,049
Interest 183,018 - 1,621 184,639
Intergovernmental 968,979 - - 968,979
Other receivable 114,882 115,012 - 229,894
Prepaid items 321 - - 321
Investment in land held for resale 159,364 - - 159,364
Total assets $ 96,233 27,779,341 $ 227,854 $ 28,103,428 $

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES
Liabilities:

Accounts payable 621,407 $ 131,071 $ - $ 752,478 $
Accrued liabilities 21,812 - - 21,812
Deposits payable - - 111,666 111,666
Other liabilities 46,204 - - 46,204
Unearned revenue 2,582,856 - - 2,582,856
Total liabilities 131,071 3,272,279 111,666 3,515,016
Deferred Inflows of Resources
Unavailable revenues 697,848 - - 697,848
Total deferred inflows of resources - 697,848 - 697,848 Fund Balances:

Nonspendable
Prepaid items 321 - - 321
Investment in land held for resale 159,364 - - 159,364
Restricted 23,649,794 - - 23,649,794
Assigned - - 116,188 116,188
Unassigned (265) (34,838) - (35,103)
Total fund balances (34,838) 23,809,214 116,188 23,890,564 Total liabilities, deferred inflows of resources
and fund balances $ 96,233 27,779,341 $ 227,854 $ 28,103,428 $ Capital Projects Funds
95

City of Atwater
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Nonmajor Governmental Funds
For the year ended June 30, 2024
Special Total Nonmajor
Revenue Performance Governmental
Funds General Bond Funds
REVENUES:

Taxes and assessments 2,010,591 $ - $ - $ 2,010,591 $
Intergovernmental 4,993,656 814,192 5,807,848 -
Use of money and property 903,493 - 7,484 910,977
Charges for services 105,813 - 105,813 -
Other revenues 124,639 - 124,639 -
Total revenues 8,138,192 814,192 7,484 8,959,868
EXPENDITURES:

Current:

General government 627,239 - 627,239 -
Public safety 16,582 - - 16,582
Highways and streets 1,273,856 - 1,273,856 -
Urban redevelopment and housing 1,025,385 - 1,025,385 - Capital outlay 3,339,332 455,804 3,795,136 -
Total expenditures 6,282,394 455,804 6,738,198 -

REVENUES OVER (UNDER)
EXPENDITURES 1,855,798 358,388 7,484 2,221,670
OTHER FINANCING SOURCES (USES):

Proceeds from sale of capital assets 80,000 - - 80,000
Transfers in 667,193 - 667,193 -
Transfers out (50,000) - (50,000) -
Total other financing sources (uses) 697,193 - 697,193 - Net change in fund balances 2,552,991 358,388 7,484 2,918,863 FUND BALANCES:

Beginning of year, as previously stated 21,218,653 (393,226) 108,704 20,934,131 Restatement - change in reporting entity 37,570 - - 37,570 Beginning of year, as restated 21,256,223 (393,226) 108,704 20,971,701 End of year $ 23,809,214 $ (34,838) $ 116,188 $ 23,890,564 Capital Projects Funds
96

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97

City of Atwater
Combining Balance Sheet
Nonmajor Special Revenue Funds
June 30, 2024
Measure V
Special
Revenue Fund
Police
Grants
Gas
Tax
Local
Transportation
ASSETS
Cash and investments 5,832,783 $ 101,881 $ 192,589 $ 595,148 $ Receivables:

Taxes - - - -
Interest 42,033 - - 4,282
Intergovernmental 381,438 - - -
Other receivable - - 114,382 -
Prepaid items - - 321 -
Investment in land held for resale - - - -
Total assets $ 101,881 6,256,254 $ 307,292 $ 599,430 $

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES
Liabilities:

Accounts payable 16,982 $ - $ 99,462 $ 10,580 $
Accrued liabilities - - 9,322 -
Other liabilities - - -
Unearned revenue - - - -
Total liabilities - 16,982 108,784 10,580
Deferred Inflows of Resources
Unavailable revenues 210,767 - 41,867 -
Total deferred inflows of resources - 210,767 41,867 -
Fund Balances:

Nonspendable
Prepaid items - - 321 -
Investment in land held for resale - - - -
Restricted 6,028,505 101,881 156,320 588,850
Unassigned - - - -
Total fund balances 6,028,505 101,881 156,641 588,850
Total liabilities, deferred inflows of resources
and fund balances $ 6,256,254 $ 101,881 $ 307,292 $ 599,430 Special Revenue Funds
98

Facility
Impact
Fee
CDBG
Program
Income
HOME
Investment
Partnership
Program
Housing
Authority
Narcotics
Program
$ 301,819 6,554,953 $ 530,863 $ 1,238,968 $ 2,137 $
- - - - -
2,194 47,370 3,803 8,728 15
- 142,798 - - -
500 - - - -
- - - - -
- - - 159,364 -
$ 304,513 6,745,121 $ 534,666 $ 1,407,060 $ 2,152 $
$ - 36,930 $ - $ - $ - $
- - - - -
- - - - -
- - - - -
- 36,930 - - -
471 - - - -
471 - - - -
- - - - -
- - 159,364 - -
6,708,191 304,042 534,666 1,247,696 2,152
- - - - -
6,708,191 304,042 534,666 1,407,060 2,152
$ 6,745,121 $ 304,513 $ 534,666 $ 1,407,060 $ 2,152
Special Revenue Funds
99

City of Atwater
Combining Balance Sheet
Nonmajor Special Revenue Funds
June 30, 2024
Neighborhood
Stabilization
Applegate
Exchange
Regional
Surface
Transportation
Program
Pension Rate
Stablization
115 Trust
ASSETS
Cash and investments 227,571 $ 794,653 $ 2,700,874 $ 514,432 $ Receivables:

Taxes - - - -
Interest 1,630 5,693 19,349 -
Intergovernmental - - 444,743 -
Other receivable - - - -
Prepaid items - - - -
Investment in land held for resale - - - -
Total assets $ 800,346 229,201 $ 3,164,966 $ 514,432 $

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES
Liabilities:

Accounts payable - $ - $ 9,815 $ - $
Accrued liabilities - - - -
Other liabilities - - - -
Unearned revenue - - - -
Total liabilities - - 9,815 -
Deferred Inflows of Resources
Unavailable revenues - - 444,743 -
Total deferred inflows of resources - - 444,743 -
Fund Balances:

Nonspendable
Prepaid items - - - -
Investment in land held for resale - - - -
Restricted 229,201 800,346 2,710,408 514,432
Unassigned - - - -
Total fund balances 229,201 800,346 2,710,408 514,432
Total liabilities, deferred inflows of resources
and fund balances $ 229,201 $ 800,346 $ 3,164,966 $ 514,432 Special Revenue Funds
100

General
Plan Update
Fund
PLHA-Perm
Local Housing
Allocation
Fund
Maintenance
District
Funds
ARPA
Grant
Fund
Total
Nonmajor
Special
Revenue
Funds
$ 158,216 1,898,666 $ 1,530,633 $ 3,159,542 $ 26,335,728 $ - - 17,049 - 17,049
377 13,963 9,916 23,665 183,018
- - - - 968,979
- - - - 114,882
- - - - 321
- - - - 159,364
$ 158,593 1,912,629 $ 1,557,598 $ 3,183,207 $ 27,779,341 $ $ - 18,188 $ 32,826 $ 396,624 $ 621,407 $
- - 12,490 - 21,812
- - - 46,204 46,204
- - - 2,582,856 2,582,856
- 18,188 45,316 3,025,684 3,272,279
- - - - 697,848
- - - - 697,848
- - - - 321
- - - 159,364 -
1,894,441 158,593 1,512,547 157,523 23,649,794
- - (265) - (265)
1,894,441 158,593 1,512,282 157,523 23,809,214
$ 1,912,629 $ 158,593 $ 1,557,598 $ 3,183,207 $ 27,779,341 Special Revenue Funds
101

City of Atwater
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Nonmajor Special Revenue Funds
For the year ended June 30, 2024
Measure V
Special
Revenue
Police
Grants
Gas
Tax
Local
Transportation
REVENUES:

Taxes and assessments 1,064,767 $ $ - $ - $ 1,277
Intergovernmental - 106,927 840,952 377,505
Use of money and property 187,695 819 (451) 18,751
Charges for services - 105,813 - -
Other revenues - - 5,304 -
Total revenues 107,746 1,252,462 951,618 397,533
EXPENDITURES:

Current:

General government - - - -
Public safety 14,784 - - -
Highways and streets - - 1,273,856 -
Urban redevelopment and housing - - - -
Capital outlay 94,398 137,536 52,920 238,043
Total expenditures 109,182 137,536 1,326,776 238,043

REVENUES OVER (UNDER)
EXPENDITURES 1,114,926 (1,436) (375,158) 159,490
OTHER FINANCING SOURCES (USES):

Proceeds from sale of capital assets - - - -
Transfers in - 481,500 - -
Transfers out - - - -
Total other financing sources (uses) - 481,500 - -
Net change in fund balances 1,114,926 (1,436) 106,342 159,490 FUND BALANCES:

Beginning of year, as previously stated 4,913,579 103,317 50,299 429,360 Restatement - change in reporting entity - - - -
Beginning of year, as restated 4,913,579 103,317 50,299 429,360 End of year $ 6,028,505 $ 101,881 $ 156,641 $ 588,850
Special Revenue Funds
102

Facility
Impact
Fee
CDBG
Program
Income
HOME
Investment
Partnership
Program
Housing
Authority
Narcotics
Program
$ - 43,913 $ - $ - $ - $
948,096 - - - -
224,080 9,968 17,557 40,071 71
- - - - -
829 42,900 - 1,000 -
1,216,918 52,868 17,557 41,071 71
1,078 8,270 - - -
- - - - -
- - - - -
- - - 1,988 -
594,040 - - - -
595,118 8,270 - 1,988 -
621,800 44,598 17,557 39,083 71
- - 80,000 - -
- - - - -
- - (50,000) - -
- - 30,000 - -
621,800 44,598 17,557 69,083 71
6,086,391 259,444 517,109 1,337,977 2,081
- - - - -
6,086,391 259,444 517,109 1,337,977 2,081
$ 6,708,191 $ 304,042 $ 534,666 $ 1,407,060 $ 2,152
Special Revenue Funds
103

City of Atwater
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Nonmajor Special Revenue Funds
For the year ended June 30, 2024
Neighborhood
Stabilization
Applegate
Exchange
Regional Surface
Transportation
Program
Pension Rate
Stablization
115 Trust
REVENUES:

Taxes and assessments - $ - $ - $ - $
Intergovernmental - - 437,727 -
Use of money and property 26,283 7,525 89,072 47,348
Charges for services - - - -
Other revenues - - - -
Total revenues 7,525 26,283 526,799 47,348
EXPENDITURES:

Current:

General government - - - -
Public safety - - - -
Highways and streets - - - -
Urban redevelopment and housing - - - -
Capital outlay - - 397,682 -
Total expenditures - - 397,682 -

REVENUES OVER (UNDER)
EXPENDITURES 7,525 26,283 129,117 47,348
OTHER FINANCING SOURCES (USES):

Proceeds from sale of capital assets - - - -
Transfers in - - 100,000 -
Transfers out - - - -
Total other financing sources (uses) - - - 100,000
Net change in fund balances 26,283 7,525 129,117 147,348 FUND BALANCES:

Beginning of year, as previously stated 774,063 221,676 2,581,291 367,084 Restatement - change in reporting entity - - - -
Beginning of year, as restated 774,063 221,676 2,581,291 367,084 End of year $ 800,346 229,201 $ 2,710,408 $ 514,432 $
Special Revenue Funds
104

General
Plan Update
Fund
PLHA-Perm
Local Housing
Allocation
Fund
Maintenance
District
Funds
ARPA
Grant
Fund
Total Nonmajor
Special Revenue
Funds
$ - - $ 900,634 $ - $ 2,010,591 $
158,209 160,000 - 1,964,240 4,993,656
384 68,007 46,360 119,953 903,493
- - - - 105,813
- 74,606 - - 124,639
158,593 302,613 946,994 2,084,193 8,138,192
- 478,364 - 139,527 627,239
- - 1,798 - 16,582
- - - - 1,273,856
- - 1,023,397 - 1,025,385
- - - 1,824,713 3,339,332
- 478,364 1,025,195 1,964,240 6,282,394
158,593 (175,751) (78,201) 119,953 1,855,798
- - - - 80,000
- - 85,693 - 667,193
- - - - (50,000)
- 85,693 - - 697,193
(175,751) 158,593 7,492 119,953 2,552,991
2,070,192 1,504,790 - - 21,218,653
- - 37,570 - 37,570
2,070,192 1,504,790 - 37,570 21,256,223
$ 1,894,441 $ 158,593 $ 1,512,282 $ 157,523 $ 23,809,214 Special Revenue Funds
105

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Measure V Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments 861,382 $ $ 861,382 $ 1,064,767 $ 203,385 Use of money and property 12,000 12,000 187,695 175,695 Charges for services 2,289,162 2,289,162 - (2,289,162)
Total revenues 3,162,544 3,162,544 1,252,462 (1,910,082) EXPENDITURES:

Current:

Capital outlay:

General capital outlay 5,657,607 5,657,607 137,536 5,520,071 Total expenditures 5,657,607 5,657,607 137,536 5,520,071

REVENUES OVER (UNDER)
EXPENDITURES (2,495,063) (2,495,063) 1,114,926 3,609,989 OTHER FINANCING SOURCES (USES):

Net change in fund balances $ (2,495,063) $ (2,495,063) 1,114,926 $ 3,609,989 FUND BALANCES:

Beginning of year 4,913,579
End of year $ 6,028,505
Budget Amounts
106

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Police Grants Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Charges for services $ 88,137 88,137 $ 106,927 $ 18,790 $ Fines, forfeitures and assessments - - 819 819
Total revenues 88,137 88,137 107,746 19,609
EXPENDITURES:

Public safety 34,784 34,784 14,784 20,000
Capital outlay:

General capital outlay 73,353 73,353 94,398 (21,045)
Total expenditures 108,137 108,137 109,182 (1,045)
Net change in fund balances $ (20,000) (20,000) $ (1,436) 18,564 $ FUND BALANCES:

Beginning of year 103,317
End of year $ 101,881
Budget Amounts
107

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Gas Tax Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Charges for services $ 833,547 833,547 $ 840,952 $ 7,405 $ Fines, forfeitures and assessments - - (451) (451)
Use of money and property 115,494 115,494 105,813 (9,681) Miscellaneous - - 5,304 5,304
Total revenues 949,041 949,041 951,618 2,577
EXPENDITURES:

Current:

Public works 1,420,989 1,420,989 1,273,856 147,133
Capital outlay:

General capital outlay 60,000 60,000 52,920 7,080
Total expenditures 1,481,189 1,481,189 1,326,776 154,413

REVENUES OVER (UNDER)
EXPENDITURES (532,148) (532,148) (375,158) 156,990
OTHER FINANCING SOURCES (USES):

Transfers in 481,500 481,500 481,500 -
Total other financing sources (uses) 481,500 481,500 481,500 - Net change in fund balances $ (50,648) (50,648) $ 106,342 156,990 $ FUND BALANCES:

Beginning of year 50,299
End of year $ 156,641
Budget Amounts
108

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Local Transportation Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes - $ - $ 1,277 $ 1,277 $
Charges for services 230,370 230,370 377,505 147,135
Fines, forfeitures and assessments 500 500 18,751 18,251 Total revenues 230,870 230,870 397,533 166,663
EXPENDITURES:

Current:

Capital outlay:

General capital outlay 814,850 814,850 238,043 576,807
Total expenditures 814,850 814,850 238,043 576,807
Net change in fund balances $ (583,980) (583,980) $ 159,490 743,470 $ FUND BALANCES:

Beginning of year 429,360
End of year $ 588,850
Budget Amounts
109

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Facility Impact Fee Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes - $ - $ 43,913 $ 43,913 $
Charges for services 888,900 888,900 948,096 59,196
Fines, forfeitures and assessments 12,500 12,500 224,080 211,580 Miscellaneous - - 829 829
Total revenues 901,400 901,400 1,216,918 315,518
EXPENDITURES:

Current:

General government 170 170 1,078 (908)
Capital outlay:

General capital outlay 3,818,780 3,818,780 594,040 3,224,740 Total expenditures 3,818,950 3,818,950 595,118 3,223,832 Net change in fund balances $ (2,917,550) (2,917,550) $ 621,800 3,539,350 $ FUND BALANCES:

Beginning of year 6,086,391
End of year $ 6,708,191
Budget Amounts
110

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual CDBG Program Income Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Fines, forfeitures and assessments $ 500 500 $ 9,968 $ 9,468 $ Miscellaneous - - 42,900 42,900
Total revenues 500 500 52,868 52,368
General government 240,741 240,741 8,270 232,471
Total expenditures 240,741 240,741 8,270 232,471
Net change in fund balances $ (240,241) (240,241) $ 44,598 284,839 $ FUND BALANCES:

Beginning of year 259,444
End of year $ 304,042
Budget Amounts
111

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Home Investment Partnership Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Fines, forfeitures and assessments $ 1,000 1,000 $ 17,557 $ 16,557 $ Total revenues 700,993 700,993 17,557 (683,436)
Net change in fund balances $ 1,000 1,000 $ 17,557 16,557 $ FUND BALANCES:

Beginning of year 517,109
End of year $ 534,666
Budget Amounts
112

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Housing Authority Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Fines, forfeitures and assessments $ 3,000 3,000 $ 40,071 $ 37,071 $ Miscellaneous 15,125 15,125 1,000 (14,125)
Total revenues 18,125 18,125 41,071 22,946
EXPENDITURES:

Current:

Community development 20,000 20,000 1,988 18,012
Total expenditures 20,000 20,000 1,988 18,012

REVENUES OVER (UNDER)
EXPENDITURES (1,875) (1,875) 39,083 40,958
OTHER FINANCING SOURCES (USES):

Proceeds from sale of capital assets 160,000 160,000 80,000 (80,000) Transfers out (50,000) (50,000) (50,000) (100,000)
Total other financing sources (uses) 110,000 110,000 30,000 (180,000) Net change in fund balances $ 108,125 108,125 $ 69,083 (139,042) $ FUND BALANCES:

Beginning of year 1,337,977
End of year $ 1,407,060
Budget Amounts
113

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Narcotics Program Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Fines, forfeitures and assessments $ - - $ 71 $ 71 $
Total revenues - - 71 71
Net change in fund balances $ - - $ 71 71 $
FUND BALANCES:

Beginning of year 2,081
End of year $ 2,152
Budget Amounts
114

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Neighborhood Stablization Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Fines, forfeitures and assessments $ - - $ 7,525 $ 7,525 $ Total revenues - - 7,525 7,525
Net change in fund balances $ - - $ 7,525 7,525 $
FUND BALANCES:

Beginning of year 221,676
End of year $ 229,201
Budget Amounts
115

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Applegate Interchange Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Fines, forfeitures and assessments $ - - $ 26,283 $ 26,283 $ Total revenues - - 26,283 26,283
Net change in fund balances $ - - $ 26,283 26,283 $
FUND BALANCES:

Beginning of year 774,063
End of year $ 800,346
Budget Amounts
116

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Regional Surface Transportation Program
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Charges for services $ 437,727 437,727 $ 437,727 $ - $
Fines, forfeitures and assessments 5,000 5,000 89,072 84,072 Total revenues 442,727 442,727 526,799 84,072
EXPENDITURES:

Capital outlay:

General capital outlay 2,857,418 2,857,418 397,682 2,459,736 Total expenditures 2,857,418 2,857,418 397,682 2,459,736 Net change in fund balances $ (2,414,691) (2,414,691) $ 129,117 2,543,808 $ FUND BALANCES:

Beginning of year 2,581,291
End of year $ 2,710,408
Budget Amounts
117

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Pension Rate Stablization 115 Trust Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Fines, forfeitures and assessments $ 5,000 5,000 $ - $ (5,000) $ Use of money and property - - 47,348 47,348
Total revenues 5,000 5,000 47,348 42,348
OTHER FINANCING SOURCES (USES):

Transfers in 100,000 100,000 100,000 -
Total other financing sources (uses) 100,000 100,000 100,000 - Net change in fund balances $ 105,000 105,000 $ 147,348 42,348 $ FUND BALANCES:

Beginning of year 367,084
End of year $ 514,432
Budget Amounts
118

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual General Plan Update Grant Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Intergovernmental $ 160,000 160,000 $ 160,000 $ - $
Use of money and property - - 68,007 68,007
Other revenues 150,000 150,000 74,606 (75,394)
Total revenues 310,000 310,000 302,613 (7,387)
EXPENDITURES:

Current:

General government 3,100,000 3,100,000 478,364 2,621,636 Total expenditures 3,100,000 3,100,000 478,364 2,621,636

REVENUES OVER (UNDER)
EXPENDITURES (2,790,000) (2,790,000) (175,751) 2,614,249 OTHER FINANCING SOURCES (USES):

Transfers in 900,000 900,000 - (900,000)
Total other financing sources (uses) 900,000 900,000 - (900,000) Net change in fund balances $ (1,890,000) (1,890,000) $ (175,751) 1,714,249 $ FUND BALANCES:

Beginning of year 2,070,192
End of year $ 1,894,441
Budget Amounts
119

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual PLHA-Perm Local Housing Allocation Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Intergovernmental $ 949,257 949,257 $ $ 158,209 $ (791,048) Use of money and property - - 384 384
Total revenues 949,257 949,257 158,593 (790,664)
OTHER FINANCING SOURCES (USES):

Net change in fund balances $ 949,257 $ 949,257 158,593 $ (790,664) FUND BALANCES:

Beginning of year -
End of year $ 158,593
Budget Amounts
See accompanying Notes to Basic Financial Statements.
120

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual ARPA Grant
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Intergovernmental $ - - $ 1,964,240 $ 1,964,240 $
Use of money and property - - 119,953 119,953
Total revenues - - 2,084,193 2,084,193
EXPENDITURES:

Current:

General government 138,471 138,471 139,527 (1,056)
Capital outlay 4,625,977 4,625,977 1,824,713 2,801,264
Total expenditures 4,764,448 4,764,448 1,964,240 2,800,208

REVENUES OVER (UNDER)
EXPENDITURES (4,764,448) (4,764,448) 119,953 4,884,401
OTHER FINANCING SOURCES (USES):

Net change in fund balances $ (4,764,448) (4,764,448) $ 119,953 4,884,401 $ FUND BALANCES:

Beginning of year, as previously stated -
Restatement - change in reporting entity 37,570
Beginning of year, as restated 37,570
End of year $ 157,523
Budget Amounts
121

City of Atwater
Combining Balance Sheet
Maintenance District Special Revenue Funds
June 30, 2024
Northwood
Village
Orchard Parks
Estates
Wildwood
Estates
Woodview
Garland
ASSETS
Cash and investments - $ 94,364 $ 23,408 $ - $
Receivables:

Taxes 117 238 73 -
Interest - 669 135 -
Total assets $ 95,271 117 $ 23,616 $ - $

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES
Liabilities:

Accounts payable 362 $ 170 $ 47 $ 20 $
Accrued liabilities - - - -
Total liabilities 170 362 47 20
Fund Balances:

Nonspendable
Restricted 95,101 23,569
Unassigned (245) - - (20)
Total fund balances 95,101 (245) 23,569 (20)
Total liabilities, deferred inflows of
resources and fund balances $ 95,271 117 $ 23,616 $ - $ Special Revenue Funds
122

Shaffer Lakes
West Woodhaven
Sierra
Parks
Shaffer Lakes
East
Price
Annexation
Sandlewood
Square
$ 15,947 26,692 $ - $ 121,904 $ 9,855 $ 19,509 $
- 129 370 417 1,370 326
114 188 - 847 43 134
$ 16,061 27,009 $ 370 $ 123,168 $ 11,268 $ 19,969 $
$ 24 67 $ 33 $ 272 $ 10,144 $ 804 $
- - - - - -
24 67 33 272 10,144 804
16,037 26,942 337 122,896 1,124 19,165
- - - - - -
16,037 26,942 337 122,896 1,124 19,165
$ 16,061 27,009 $ 370 $ 123,168 $ 11,268 $ 19,969 $
Special Revenue Funds
123

City of Atwater
Combining Balance Sheet
Maintenance District Special Revenue Funds
June 30, 2024
Pajaro
Dunes
Redwood
Estates
Cottage
Gardens
Airport
Business
Park
ASSETS
Cash and investments 42,248 $ 64,747 $ 24,406 $ 15,876 $ Receivables:

Taxes 36 252 - 432
Interest 303 460 176 88
Total assets $ 65,459 42,587 $ 24,582 $ 16,396 $

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES
Liabilities:

Accounts payable 501 $ 484 $ 337 $ 766 $
Accrued liabilities - - - -
Total liabilities 484 501 337 766
Fund Balances:

Nonspendable
Restricted 42,086 64,975 24,245 15,630
Unassigned - - - -
Total fund balances 64,975 42,086 24,245 15,630
Total liabilities, deferred inflows of
resources and fund balances $ 65,459 42,587 $ 24,582 $ 16,396 $ Special Revenue Funds
124

Silva
Ranch
Mello
Ranch
Camelia
Estates
Juniper
Meadows
Camelia
Meadows
Stone
Creek
$ 75,142 56,380 $ 19,942 $ 19,255 $ 39,320 $ 145,331 $
66 86 - 3 511 181
514 397 142 121 280 1,022
$ 75,722 56,863 $ 20,084 $ 19,379 $ 40,111 $ 146,534 $
$ 1,949 1,050 $ 148 $ 351 $ 728 $ 2,385 $
- - - - - -
1,949 1,050 148 351 728 2,385
73,773 55,813 19,936 19,028 39,383 144,149
- - - - - -
73,773 55,813 19,936 19,028 39,383 144,149
$ 75,722 56,863 $ 20,084 $ 19,379 $ 40,111 $ 146,534 $
Special Revenue Funds
125

City of Atwater
Combining Balance Sheet
Maintenance District Special Revenue Funds
June 30, 2024
America
West
Bell
Crossing
Atwater
South
Beluga
Court
ASSETS
Cash and investments 56,482 $ 2,734 $ 91,211 $ 7,008 $
Receivables:

Taxes - 168 382 304
Interest 404 6 604 50
Total assets $ 2,908 56,886 $ 92,197 $ 7,362 $

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES
Liabilities:

Accounts payable 323 $ 1,249 $ 3,133 $ - $
Accrued liabilities - - - -
Total liabilities 1,249 323 3,133 -
Fund Balances:

Nonspendable
Restricted 56,563 1,659 89,064 7,362
Unassigned - - - -
Total fund balances 1,659 56,563 89,064 7,362
Total liabilities, deferred inflows of
resources and fund balances $ 2,908 56,886 $ 92,197 $ 7,362 $ Special Revenue Funds
126

Mello
Ranch 2
Meadow
View Aspenwood
Applegate
Ranch Reserve CFD District
$ 89,677 188,948 $ 101,793 $ 27,621 $ 13,416 $ 93,984 $ 359 352 955 20 - 9,899
609 1,328 723 174 96 -
$ 90,645 190,628 $ 103,471 $ 27,815 $ 13,512 $ 103,883 $ $ 1,933 2,579 $ 1,312 $ 1,651 $ 3 $ - $
- - - - - 12,490
1,933 2,579 1,312 1,651 3 12,490
88,712 188,049 102,159 26,164 13,509 91,393
- - - - - -
88,712 188,049 102,159 26,164 13,509 91,393
$ 90,645 190,628 $ 103,471 $ 27,815 $ 13,512 $ 103,883 $ Special Revenue Funds
127

City of Atwater
Combining Balance Sheet
Maintenance District Special Revenue Funds
June 30, 2024
Simon
Annexation
Lighting
District
Simon
Annexation
Landscape
District
Juniper
Meadows 2
Lighting
District
ASSETS
Cash and investments 15,106 $ 6,414 $ 21,913 $ 1,530,633 $ Receivables:

Taxes - - 3 17,049
Interest 103 46 140 9,916
Total assets $ 6,460 15,209 $ 22,056 $ 1,557,598 $

LIABILITIES, DEFERRED INFLOWS OF

RESOURCES AND FUND BALANCES
Liabilities:

Accounts payable - $ - $ 1 $ 32,826 $
Accrued liabilities - - - 12,490
Total liabilities - - 1 45,316
Fund Balances:

Nonspendable
Restricted 15,209 6,460 22,055 1,512,547
Unassigned - - - (265)
Total fund balances 6,460 15,209 22,055 1,512,282
Total liabilities, deferred inflows of
resources and fund balances $ 6,460 15,209 $ 22,056 $ 1,557,598 $ Total
Maintenance
District Special
Revenue Funds
Special Revenue Funds
128

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129

City of Atwater
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Maintenance District Special Revenue Funds
For the year ended June 30, 2024
Northwood
Village
Orchard Parks
Estates
Wildwood
Estates
Woodview
Garland
REVENUES:

Taxes and assessments 4,552 $ 5,064 $ 3,505 $ 392 $
Use of money and property 3,083 - 560 -
Total revenues 8,147 4,552 4,065 392
EXPENDITURES:

Current:

Public safety - - - -
Urban redevelopment and housing 5,320 11,234 1,571 886
Total expenditures 5,320 11,234 1,571 886

REVENUES OVER (UNDER)
EXPENDITURES 2,827 (6,682) 2,494 (494)
OTHER FINANCING SOURCES (USES):

Transfers in 350 6,675 5,688 472
Total other financing sources (uses) 350 6,675 5,688 472 Net change in fund balances 3,177 (7) 8,182 (22)
FUND BALANCES:

Beginning of year 91,924 (238) 15,387 2
End of year $ 95,101 (245) $ 23,569 $ (20) $
Special Revenue Funds
130

Shaffer Lakes
West Woodhaven
Sierra
Parks
Shaffer Lakes
East
Price
Annexation
Sandlewood
Square
$ - 2,292 $ 2,027 $ 14,257 $ 55,790 $ 7,097 $
533 864 - 3,859 218 608
533 3,156 2,027 18,116 56,008 7,705
- - - - - -
1,334 2,323 1,099 9,609 109,452 9,510
1,334 2,323 1,099 9,609 109,452 9,510
(801) 833 928 8,507 (53,444) (1,805)
279 280 2,293 1,460 42,755 3,190
279 280 2,293 1,460 42,755 3,190
(522) 1,113 3,221 9,967 (10,689) 1,385
16,559 25,829 (2,884) 112,929 11,813 17,780
$ 16,037 26,942 $ 337 $ 122,896 $ 1,124 $ 19,165 $
Special Revenue Funds
131

City of Atwater
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Maintenance District Special Revenue Funds
For the year ended June 30, 2024
Pajaro
Dunes
Redwood
Estates
Cottage
Gardens
Airport
Business
Park
REVENUES:

Taxes and assessments 3,454 $ 5,599 $ 404 $ 5,407 $
Use of money and property 1,406 2,118 837 385
Total revenues 4,860 7,717 1,241 5,792
EXPENDITURES:

Current:

Public safety - - - -
Urban redevelopment and housing 5,645 7,770 2,744 7,518 Total expenditures 5,645 7,770 2,744 7,518

REVENUES OVER (UNDER)
EXPENDITURES (785) (53) (1,503) (1,726)
OTHER FINANCING SOURCES (USES):

Transfers in 610 1,906 268 3,369
Total other financing sources (uses) 610 1,906 268 3,369 Net change in fund balances (175) 1,853 (1,235) 1,643
FUND BALANCES:

Beginning of year 42,261 63,122 25,480 13,987
End of year $ 42,086 $ 64,975 $ 24,245 $ 15,630
Special Revenue Funds
132

Silva
Ranch
Mello
Ranch
Camelia
Estates
Juniper
Meadows
Camelia
Meadows
Stone
Creek
$ 13,089 6,348 $ - $ 2,897 $ 5,213 $ 12,084 $
2,386 1,863 666 530 1,299 4,769
15,475 8,211 666 3,427 6,512 16,853
- - - - - -
19,072 12,782 1,755 2,539 5,717 22,513
19,072 12,782 1,755 2,539 5,717 22,513
(3,597) (4,571) (1,089) 888 795 (5,660)
1,016 526 312 2,840 396 912
1,016 526 312 2,840 396 912
(2,581) (4,045) (777) 3,728 1,191 (4,748)
76,354 59,858 20,713 15,300 38,192 148,897
$ 73,773 55,813 $ 19,936 $ 19,028 $ 39,383 $ 144,149 $
Special Revenue Funds
133

City of Atwater
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Maintenance District Special Revenue Funds
For the year ended June 30, 2024
America
West
Bell
Crossing
Atwater
South
Beluga
Court
REVENUES:

Taxes and assessments - $ 13,693 $ 25,732 $ 709 $
Use of money and property 20 1,878 2,744 227
Total revenues 13,713 1,878 28,476 936
EXPENDITURES:

Current:

Public safety - - - -
Urban redevelopment and housing 15,866 2,731 25,852 111 Total expenditures 15,866 2,731 25,852 111

REVENUES OVER (UNDER)
EXPENDITURES (2,153) (853) 2,624 825
OTHER FINANCING SOURCES (USES):

Transfers in 1,338 433 1,399 17
Total other financing sources (uses) 1,338 433 1,399 17 Net change in fund balances (815) (420) 4,023 842
FUND BALANCES:

Beginning of year 2,474 56,983 85,041 6,520
End of year $ 1,659 56,563 $ 89,064 $ 7,362 $
Special Revenue Funds
134

Mello
Ranch 2
Meadow
View Aspenwood
Applegate
Ranch Reserve CFD District
$ 16,920 14,260 $ 3,846 $ 11,180 $ - $ 662,481 $
2,790 6,155 3,373 782 441 677
19,710 20,415 7,219 11,962 441 663,158
- - - - - 1,798
16,373 21,422 9,570 10,651 162 679,982
16,373 21,422 9,570 10,651 162 681,780
3,337 (1,007) (2,351) 1,311 279 (18,622)
808 1,106 505 565 127 -
808 1,106 505 565 127 -
4,145 99 (1,846) 1,876 406 (18,622)
84,567 187,950 104,005 24,288 13,103 110,015
$ 88,712 188,049 $ 102,159 $ 26,164 $ 13,509 $ 91,393 $ Special Revenue Funds
135

City of Atwater
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Maintenance District Special Revenue Funds
For the year ended June 30, 2024
Simon
Annexation
Lighting
District
Simon
Annexation
Landscape
District
Juniper
Meadows 2
Lighting
District
REVENUES:

Taxes and assessments $ - $ - $ 2,342 $ 900,634
Use of money and property 469 212 608 46,360
Total revenues 469 212 2,950 946,994
EXPENDITURES:

Current:

Public safety - - - 1,798
Urban redevelopment and housing 33 31 1,023,397 220
Total expenditures 33 31 1,025,195 220

REVENUES OVER (UNDER)
EXPENDITURES 436 181 2,730 (78,201)
OTHER FINANCING SOURCES (USES):

Transfers in 1,045 4 2,749 85,693
Total other financing sources (uses) 1,045 4 2,749 85,693 Net change in fund balances 1,481 185 5,479 7,492
FUND BALANCES:

Beginning of year 13,728 6,275 16,576 1,504,790
End of year $ 15,209 $ 6,460 $ 22,055 $ 1,512,282
Total
Maintenance
District Special
Revenue Funds
Special Revenue Funds
136

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Northwood Village - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 4,552 $ 4,552 $
Total revenues - - 4,552 4,552
EXPENDITURES:

Current:

Urban redevelopment and housing - - 11,234 (11,234)
Total expenditures - - 11,234 (11,234)

REVENUES OVER (UNDER)
EXPENDITURES - - (6,682) (6,682)
OTHER FINANCING SOURCES (USES):

Transfers in - - 6,675 6,675
Total other financing sources (uses) - - 6,675 6,675
Net change in fund balances $ - - $ (7) (7) $
FUND BALANCES:

Beginning of year (238)
End of year $ (245)
Budget Amounts
137

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Orchard Pakrs Estates - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 5,064 $ 5,064 $
Use of money and property - - 3,083 3,083
Total revenues - - 8,147 8,147
EXPENDITURES:

Current:

Urban redevelopment and housing - - 5,320 (5,320)
Total expenditures - - 5,320 (5,320)

REVENUES OVER (UNDER)
EXPENDITURES - - 2,827 2,827
OTHER FINANCING SOURCES (USES):

Transfers in - - 350 350
Total other financing sources (uses) - - 350 350
Net change in fund balances $ - - $ 3,177 3,177 $
FUND BALANCES:

Beginning of year 91,924
End of year $ 95,101
Budget Amounts
138

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Wildwood Estates - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 3,505 $ 3,505 $
Use of money and property - - 560 560
Total revenues - - 4,065 4,065
EXPENDITURES:

Current:

Urban redevelopment and housing - - 1,571 (1,571)
Total expenditures - - 1,571 (1,571)

REVENUES OVER (UNDER)
EXPENDITURES - - 2,494 2,494
OTHER FINANCING SOURCES (USES):

Transfers in - - 5,688 5,688
Total other financing sources (uses) - - 5,688 5,688
Net change in fund balances $ - - $ 8,182 8,182 $
FUND BALANCES:

Beginning of year 15,387
End of year $ 23,569
Budget Amounts
139

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Woodview Garland - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 392 $ 392 $
Total revenues - - 392 392
EXPENDITURES:

Current:

Urban redevelopment and housing - - 886 (886)
Total expenditures - - 886 (886)

REVENUES OVER (UNDER)
EXPENDITURES - - (494) (494)
OTHER FINANCING SOURCES (USES):

Transfers in - - 472 472
Total other financing sources (uses) - - 472 472
Net change in fund balances $ - - $ (22) (22) $
FUND BALANCES:

Beginning of year 2
End of year $ (20)
Budget Amounts
140

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Shaffer Lake West - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 2,292 $ 2,292 $
Use of money and property - - 864 864
Total revenues - - 3,156 3,156
EXPENDITURES:

Current:

Urban redevelopment and housing - - 2,323 (2,323)
Total expenditures - - 2,323 (2,323)

REVENUES OVER (UNDER)
EXPENDITURES - - 833 833
OTHER FINANCING SOURCES (USES):

Transfers in - - 280 280
Total other financing sources (uses) - - 280 280
Net change in fund balances $ - - $ 1,113 1,113 $
FUND BALANCES:

Beginning of year 25,829
End of year $ 26,942
Budget Amounts
141

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Woodhaven - Maintenance District Special Revenue Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property $ - - $ 533 $ 533 $
Total revenues - - 533 533
EXPENDITURES:

Current:

Urban redevelopment and housing - - 1,334 (1,334)
Total expenditures - - 1,334 (1,334)

REVENUES OVER (UNDER)
EXPENDITURES - - (801) (801)
OTHER FINANCING SOURCES (USES):

Transfers in - - 279 279
Total other financing sources (uses) - - 279 279
Net change in fund balances $ - - $ (522) (522) $
FUND BALANCES:

Beginning of year 16,559
End of year $ 16,037
Budget Amounts
142

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Sierra Parks - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 2,027 $ 2,027 $
Total revenues - - 2,027 2,027
EXPENDITURES:

Current:

Urban redevelopment and housing - - 1,099 (1,099)
Total expenditures - - 1,099 (1,099)

REVENUES OVER (UNDER)
EXPENDITURES - - 928 928
OTHER FINANCING SOURCES (USES):

Transfers in - - 2,293 2,293
Total other financing sources (uses) - - 2,293 2,293
Net change in fund balances $ - - $ 3,221 3,221 $
FUND BALANCES:

Beginning of year (2,884)
End of year $ 337
Budget Amounts
143

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Shaffer Lakes East - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 14,257 $ 14,257 $
Use of money and property - - 3,859 3,859
Total revenues - - 18,116 18,116
EXPENDITURES:

Current:

Urban redevelopment and housing - - 9,609 (9,609)
Total expenditures - - 9,609 (9,609)

REVENUES OVER (UNDER)
EXPENDITURES - - 8,507 8,507
OTHER FINANCING SOURCES (USES):

Transfers in - - 1,460 1,460
Total other financing sources (uses) - - 1,460 1,460
Net change in fund balances $ - - $ 9,967 9,967 $
FUND BALANCES:

Beginning of year 112,929
End of year $ 122,896
Budget Amounts
144

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Price Annexation - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 55,790 $ 55,790 $
Use of money and property - - 218 218
Total revenues - - 56,008 56,008
EXPENDITURES:

Current:

Urban redevelopment and housing - - 109,452 (109,452)
Total expenditures - - 109,452 (109,452)

REVENUES OVER (UNDER)
EXPENDITURES - - (53,444) (53,444)
OTHER FINANCING SOURCES (USES):

Transfers in - - 42,755 42,755
Total other financing sources (uses) - - 42,755 42,755
Net change in fund balances $ - - $ (10,689) (10,689) $ FUND BALANCES:

Beginning of year 11,813
End of year $ 1,124
Budget Amounts
145

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Sandlewood Square - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 7,097 $ 7,097 $
Use of money and property - - 608 608
Total revenues - - 7,705 7,705
EXPENDITURES:

Current:

Urban redevelopment and housing - - 9,510 (9,510)
Total expenditures - - 9,510 (9,510)

REVENUES OVER (UNDER)
EXPENDITURES - - (1,805) (1,805)
OTHER FINANCING SOURCES (USES):

Transfers in - - 3,190 3,190
Total other financing sources (uses) - - 3,190 3,190
Net change in fund balances $ - - $ 1,385 1,385 $
FUND BALANCES:

Beginning of year 17,780
End of year $ 19,165
Budget Amounts
146

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Pajaro Dunes - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes - $ - $ 3,454 $ 3,454 $
Fines, forfeitures and assessments - - 1,406 1,406
Total revenues - - 4,860 4,860
EXPENDITURES:

Current:

Urban redevelopment and housing - - 5,645 (5,645)
Total expenditures - - 5,645 (5,645)

REVENUES OVER (UNDER)
EXPENDITURES - - (785) (785)
OTHER FINANCING SOURCES (USES):

Transfers in - - 610 610
Total other financing sources (uses) - - 610 610
Net change in fund balances $ - - $ (175) (175) $
FUND BALANCES:

Beginning of year 42,261
End of year $ 42,086
Budget Amounts
147

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Redwood Estates - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 5,599 $ 5,599 $
Use of money and property - - 2,118 2,118
Total revenues - - 7,717 7,717
EXPENDITURES:

Current:

Urban redevelopment and housing - - 7,770 (7,770)
Total expenditures - - 7,770 (7,770)

REVENUES OVER (UNDER)
EXPENDITURES - - (53) (53)
OTHER FINANCING SOURCES (USES):

Transfers in - - 1,906 1,906
Total other financing sources (uses) - - 1,906 1,906
Net change in fund balances $ - - $ 1,853 1,853 $
FUND BALANCES:

Beginning of year 63,122
End of year $ 64,975
Budget Amounts
148

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Cottage Gardens - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 404 $ 404 $
Use of money and property - - 837 837
Total revenues - - 1,241 1,241
EXPENDITURES:

Current:

Urban redevelopment and housing - - 2,744 (2,744)
Total expenditures - - 2,744 (2,744)

REVENUES OVER (UNDER)
EXPENDITURES - - (1,503) (1,503)
OTHER FINANCING SOURCES (USES):

Transfers in - - 268 268
Total other financing sources (uses) - - 268 268
Net change in fund balances $ - - $ (1,235) (1,235) $
FUND BALANCES:

Beginning of year 25,480
End of year $ 24,245
Budget Amounts
149

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Airport Business Park - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 5,407 $ 5,407 $
Use of money and property - - 385 385
Total revenues - - 5,792 5,792
EXPENDITURES:

Current:

Urban redevelopment and housing - - 7,518 (7,518)
Total expenditures - - 7,518 (7,518)

REVENUES OVER (UNDER)
EXPENDITURES - - (1,726) (1,726)
OTHER FINANCING SOURCES (USES):

Transfers in - - 3,369 3,369
Total other financing sources (uses) - - 3,369 3,369
Net change in fund balances $ - - $ 1,643 1,643 $
FUND BALANCES:

Beginning of year 13,987
End of year $ 15,630
Budget Amounts
150

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Silva Ranch - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 6,348 $ 6,348 $
Use of money and property - - 1,863 1,863
Total revenues - - 8,211 8,211
EXPENDITURES:

Current:

Urban redevelopment and housing - - 12,782 (12,782)
Total expenditures - - 12,782 (12,782)

REVENUES OVER (UNDER)
EXPENDITURES - - (4,571) (4,571)
OTHER FINANCING SOURCES (USES):

Transfers in - - 526 526
Total other financing sources (uses) - - 526 526
Net change in fund balances $ - - $ (4,045) (4,045) $
FUND BALANCES:

Beginning of year 59,858
End of year $ 55,813
Budget Amounts
151

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Mello Ranch - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 13,089 $ 13,089 $
Use of money and property - - 2,386 2,386
Total revenues - - 15,475 15,475
EXPENDITURES:

Current:

Urban redevelopment and housing - - 19,072 (19,072)
Total expenditures - - 19,072 (19,072)

REVENUES OVER (UNDER)
EXPENDITURES - - (3,597) (3,597)
OTHER FINANCING SOURCES (USES):

Transfers in - - 1,016 1,016
Total other financing sources (uses) - - 1,016 1,016
Net change in fund balances $ - - $ (2,581) (2,581) $
FUND BALANCES:

Beginning of year 76,354
End of year $ 73,773
Budget Amounts
152

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Camelia Estates - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property $ - - $ 666 $ 666 $
Total revenues - - 666 666
EXPENDITURES:

Current:

Urban redevelopment and housing - - 1,755 (1,755)
Total expenditures - - 1,755 (1,755)

REVENUES OVER (UNDER)
EXPENDITURES - - (1,089) (1,089)
OTHER FINANCING SOURCES (USES):

Transfers in - - 312 312
Total other financing sources (uses) - - 312 312
Net change in fund balances $ - - $ (777) (777) $
FUND BALANCES:

Beginning of year 20,713
End of year $ 19,936
Budget Amounts
153

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Juniper Meadows - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 2,897 $ 2,897 $
Use of money and property - - 530 530
Total revenues - - 3,427 3,427
EXPENDITURES:

Current:

Urban redevelopment and housing - - 2,539 (2,539)
Total expenditures - - 2,539 (2,539)

REVENUES OVER (UNDER)
EXPENDITURES - - 888 888
OTHER FINANCING SOURCES (USES):

Transfers in - - 2,840 2,840
Total other financing sources (uses) - - 2,840 2,840
Net change in fund balances $ - - $ 3,728 3,728 $
FUND BALANCES:

Beginning of year 15,300
End of year $ 19,028
Budget Amounts
154

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Camelia Meadows - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 5,213 $ 5,213 $
Use of money and property - - 1,299 1,299
Total revenues - - 6,512 6,512
EXPENDITURES:

Current:

Urban redevelopment and housing - - 5,717 (5,717)
Total expenditures - - 5,717 (5,717)

REVENUES OVER (UNDER)
EXPENDITURES - - 795 795
OTHER FINANCING SOURCES (USES):

Transfers in - - 396 396
Total other financing sources (uses) - - 396 396
Net change in fund balances $ - - $ 1,191 1,191 $
FUND BALANCES:

Beginning of year 38,192
End of year $ 39,383
Budget Amounts
155

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Stone Creek - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 12,084 $ 12,084 $
Use of money and property - - 4,769 4,769
Total revenues - - 16,853 16,853
EXPENDITURES:

Current:

Urban redevelopment and housing - - 22,513 (22,513)
Total expenditures - - 22,513 (22,513)

REVENUES OVER (UNDER)
EXPENDITURES - - (5,660) (5,660)
OTHER FINANCING SOURCES (USES):

Transfers in - - 912 912
Total other financing sources (uses) - - 912 912
Net change in fund balances $ - - $ (4,748) (4,748) $
FUND BALANCES:

Beginning of year 148,897
End of year $ 144,149
Budget Amounts
156

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual America West - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property $ - - $ 1,878 $ 1,878 $
Total revenues - - 1,878 1,878
EXPENDITURES:

Current:

Urban redevelopment and housing - - 2,731 (2,731)
Total expenditures - - 2,731 (2,731)

REVENUES OVER (UNDER)
EXPENDITURES - - (853) (853)
OTHER FINANCING SOURCES (USES):

Transfers in - - 433 433
Total other financing sources (uses) - - 433 433
Net change in fund balances $ - - $ (420) (420) $
FUND BALANCES:

Beginning of year 56,983
End of year $ 56,563
Budget Amounts
157

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Bell Crossing - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 13,693 $ 13,693 $
Use of money and property - - 20 20
Total revenues - - 13,713 13,713
EXPENDITURES:

Current:

Urban redevelopment and housing - - 15,866 (15,866)
Total expenditures - - 15,866 (15,866)

REVENUES OVER (UNDER)
EXPENDITURES - - (2,153) (2,153)
OTHER FINANCING SOURCES (USES):

Transfers in - - 1,338 1,338
Total other financing sources (uses) - - 1,338 1,338
Net change in fund balances $ - - $ (815) (815) $
FUND BALANCES:

Beginning of year 2,474
End of year $ 1,659
Budget Amounts
158

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Atwater South - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 25,732 $ 25,732 $
Use of money and property - - 2,744 2,744
Total revenues - - 28,476 28,476
EXPENDITURES:

Current:

Urban redevelopment and housing - - 25,852 (25,852)
Total expenditures - - 25,852 (25,852)

REVENUES OVER (UNDER)
EXPENDITURES - - 2,624 2,624
OTHER FINANCING SOURCES (USES):

Transfers in - - 1,399 1,399
Total other financing sources (uses) - - 1,399 1,399
Net change in fund balances $ - - $ 4,023 4,023 $
FUND BALANCES:

Beginning of year 85,041
End of year $ 89,064
Budget Amounts
159

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Beluga Court - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 709 $ 709 $
Use of money and property - - 227 227
Total revenues - - 936 936
EXPENDITURES:

Current:

Urban redevelopment and housing - - 111 (111)
Total expenditures - - 111 (111)

REVENUES OVER (UNDER)
EXPENDITURES - - 825 825
OTHER FINANCING SOURCES (USES):

Transfers in - - 17 17
Total other financing sources (uses) - - 17 17
Net change in fund balances $ - - $ 842 842 $
FUND BALANCES:

Beginning of year 6,520
End of year $ 7,362
Budget Amounts
160

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Mello Ranch 2 - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 14,260 $ 14,260 $
Use of money and property - - 6,155 6,155
Total revenues - - 20,415 20,415
EXPENDITURES:

Current:

Urban redevelopment and housing - - 21,422 (21,422)
Total expenditures - - 21,422 (21,422)

REVENUES OVER (UNDER)
EXPENDITURES - - (1,007) (1,007)
OTHER FINANCING SOURCES (USES):

Transfers in - - 1,106 1,106
Total other financing sources (uses) - - 1,106 1,106
Net change in fund balances $ - - $ 99 99 $
FUND BALANCES:

Beginning of year 187,950
End of year $ 188,049
Budget Amounts
161

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Meadow View - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 16,920 $ 16,920 $
Use of money and property - - 2,790 2,790
Total revenues - - 19,710 19,710
EXPENDITURES:

Current:

Urban redevelopment and housing - - 16,373 (16,373)
Total expenditures - - 16,373 (16,373)

REVENUES OVER (UNDER)
EXPENDITURES - - 3,337 3,337
OTHER FINANCING SOURCES (USES):

Transfers in - - 808 808
Total other financing sources (uses) - - 808 808
Net change in fund balances $ - - $ 4,145 4,145 $
FUND BALANCES:

Beginning of year 84,567
End of year $ 88,712
Budget Amounts
162

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Aspenwood - Maintenance District Special Revenue Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 3,846 $ 3,846 $
Use of money and property - - 3,373 3,373
Total revenues - - 7,219 7,219
EXPENDITURES:

Current:

Urban redevelopment and housing - - 9,570 (9,570)
Total expenditures - - 9,570 (9,570)

REVENUES OVER (UNDER)
EXPENDITURES - - (2,351) (2,351)
OTHER FINANCING SOURCES (USES):

Transfers in - - 505 505
Total other financing sources (uses) - - 505 505
Net change in fund balances $ - - $ (1,846) (1,846) $
FUND BALANCES:

Beginning of year 104,005
End of year $ 102,159
Budget Amounts
163

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Applegate Ranch - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 11,180 $ 11,180 $
Use of money and property - - 782 782
Total revenues - - 11,962 11,962
EXPENDITURES:

Current:

Urban redevelopment and housing - - 10,651 (10,651)
Total expenditures - - 10,651 (10,651)

REVENUES OVER (UNDER)
EXPENDITURES - - 1,311 1,311
OTHER FINANCING SOURCES (USES):

Transfers in - - 565 565
Total other financing sources (uses) - - 565 565
Net change in fund balances $ - - $ 1,876 1,876 $
FUND BALANCES:

Beginning of year 24,288
End of year $ 26,164
Budget Amounts
164

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Reserve - Maintenance District Special Revenue Fund
For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property $ - - $ 441 $ 441 $
Total revenues - - 441 441
EXPENDITURES:

Current:

Urban redevelopment and housing - - 162 (162)
Total expenditures - - 162 (162)

REVENUES OVER (UNDER)
EXPENDITURES - - 279 279
OTHER FINANCING SOURCES (USES):

Transfers in - - 127 127
Total other financing sources (uses) - - 127 127
Net change in fund balances $ - - $ 406 406 $
FUND BALANCES:

Beginning of year 13,103
End of year $ 13,509
Budget Amounts
165

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual CFD Districts - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 662,481 $ 662,481 $
Use of money and property - - 677 677
Total revenues - - 663,158 663,158
EXPENDITURES:

Current:

Public safety - - 1,798 (1,798)
Urban redevelopment and housing 732,328 732,328 679,982 52,346 Total expenditures 732,328 732,328 681,780 50,548

REVENUES OVER (UNDER)
EXPENDITURES (732,328) (732,328) (18,622) 713,706
OTHER FINANCING SOURCES (USES):

Net change in fund balances $ (732,328) (732,328) $ (18,622) 713,706 $ FUND BALANCES:

Beginning of year 110,015
End of year $ 91,393
Budget Amounts
166

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Simon Annexation Lighting District - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property $ - - $ 469 $ 469 $
Total revenues - - 469 469
EXPENDITURES:

Current:

Urban redevelopment and housing - - 33 (33)
Total expenditures - - 33 (33)

REVENUES OVER (UNDER)
EXPENDITURES - - 436 436
OTHER FINANCING SOURCES (USES):

Transfers in - - 1,045 1,045
Total other financing sources (uses) - - 1,045 1,045
Net change in fund balances $ - - $ 1,481 1,481 $
FUND BALANCES:

Beginning of year 13,728
End of year $ 15,209
Budget Amounts
167

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Simon Annexation Landscaping District - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Use of money and property $ - - $ 212 $ 212 $
Total revenues - - 212 212
EXPENDITURES:

Current:

Urban redevelopment and housing - - 31 (31)
Total expenditures - - 31 (31)

REVENUES OVER (UNDER)
EXPENDITURES - - 181 181
OTHER FINANCING SOURCES (USES):

Transfers in - - 4 4
Total other financing sources (uses) - - 4 4
Net change in fund balances $ - - $ 185 185 $
FUND BALANCES:

Beginning of year 6,275
End of year $ 6,460
Budget Amounts
168

City of Atwater
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual Juniper Meadows 2 Lighting District - Maintenance District Special Revenue Fund For the year ended June 30, 2024
Variance with
Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes and assessments - $ - $ 2,342 $ 2,342 $
Use of money and property - - 608 608
Total revenues - - 2,950 2,950
EXPENDITURES:

Current:

Urban redevelopment and housing - - 220 (220)
Total expenditures - - 220 (220)

REVENUES OVER (UNDER)
EXPENDITURES - - 2,730 2,730
OTHER FINANCING SOURCES (USES):

Transfers in - - 2,749 2,749
Total other financing sources (uses) - - 2,749 2,749
Net change in fund balances $ - - $ 5,479 5,479 $
FUND BALANCES:

Beginning of year 16,576
End of year $ 22,055
Budget Amounts
169

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170

City of Atwater
Combining Statement of Net Position
Internal Service Funds
June 30, 2024
Building Employee Risk Information
Maintenance Benefits Management Technology Totals
ASSETS
Current Assets:

Cash and investments 1,193,081 $ 798,020$ 883,902$ 659,298$ $ 3,534,301 Receivables:

Interest 6,882 5,345 4,176 4,087 20,490
Other 30,147 3,458 - - 33,605
Prepaid expenses 5,920 - - 11,292 17,212
Total current assets 1,230,110 812,743 888,078 674,677 3,605,608 Noncurrent:

Capital assets:

Depreciable 2,059,984 - 103,094 601,348 2,764,426
Less accumulated depreciation (1,388,981) - (44,947) (586,224) (2,020,152) Net capital assets 671,003 - 58,147 15,124 744,274
Total noncurrent assets 671,003 - 58,147 15,124 744,274 Total assets 1,901,113 812,743 946,225 689,801 4,349,882

LIABILITIES
Current liabilities:

Accounts payable 261,423 22,224 1,539 679 285,865
Accrued payroll 7,691 - - 2,084 9,775
Compensated absences - current 3,926 - - 381 4,307
Total current liabilities 273,040 22,224 1,539 3,144 299,947 Noncurrent liabilities:

Compensated absences 19,921 - - 2,954 22,875
Total noncurrent liabilities 19,921 - - 2,954 22,875
Total liabilities 292,961 22,224 1,539 6,098 322,822

NET POSITION
Net investment in capital assets 671,003 - 58,147 15,124 744,274 Unrestricted 937,149 790,519 886,539 668,579 3,282,786
Total net position $ 1,608,152 790,519$ 944,686$ 683,703$ $ 4,027,060 171

City of Atwater
Combining Statement of Revenues, Expenses and Changes in Net Position Internal Service Funds
For the year ended June 30, 2024
Building Employee Risk Information
Maintenance Benefits Management Technology Totals
OPERATING REVENUES:

Interdepartmental charges $ 767,380$ 2,015,060 $ 1,925,111 799,865$ 5,507,416$ Other operating revenue 35,935 61,952 563,652 - 661,539 Total operating revenues 2,050,995 829,332 2,488,763 799,865 6,168,955 OPERATING EXPENSES:

Salaries and benefits 354,757 100,000 99,855 - 554,612
Contractual services 395,605 5,250 87,144 172,909 660,908 Materials and supplies 114,697 - - - 114,697
Repairs and maintenance 896,439 - - - 896,439
Utilities 172,496 - - - 172,496
Insurance 881,705 - 2,497,947 - 3,379,652
Other operating costs - - 6,125 320,314 326,439
Depreciation 79,374 - 3,143 8,972 91,489
Total operating expenses 2,013,368 986,955 2,594,359 602,050 6,196,732 Operating income (loss) 37,627 (157,623) (105,596) 197,815 (27,777) NONOPERATING REVENUES (EXPENSES):

Intergovernmental revenues (expenses) 3,743 - - - 3,743 Interest revenue 25,363 25,840 20,412 17,446 89,061
Total nonoperating revenues (expenses) 29,106 25,840 20,412 17,446 92,804 Income before contributions and transfers 66,733 (131,783) (85,184) 215,261 65,027 CONTRIBUTIONS AND TRANSFERS:

Transfers in 100,000 200,000 - - 300,000
Transfers out (100,000) - - - (100,000)
Total contributions and transfers 100,000 100,000 - - 200,000 Change in net position 166,733 (31,783) (85,184) 215,261 265,027 NET POSITION:

Beginning of year 1,441,419 822,302 1,029,870 468,442 3,762,033 End of year $ 1,608,152 790,519$ $ 944,686 683,703$ 4,027,060$ 172

City of Atwater
Statement of Cash Flows
Internal Service Funds
For the year ended June 30, 2024
Building Employee Risk Information
Maintenance Benefits Management Technology Totals
CASH FLOWS FROM OPERATING ACTIVITIES:

Cash received from customers and users $ 2,032,605 $ 826,918 $ 2,488,169 $ 863,192 $ 6,210,884 Cash paid to suppliers for goods and services (902,909) (1,389,861) (2,874,072) (528,252) (5,695,094) Cash paid to employees for services (100,000) (351,023) - (97,752) (548,775) Net cash provided by (used in) operating activities (175,991) 291,721 (385,903) 237,188 (32,985)

CASH FLOWS FROM NONCAPITAL FINANCING
ACTIVITIES:

Cash transfers in 200,000 100,000 - - 300,000
Cash transfers out - (100,000) - (100,000)
Subsidy from grants 3,743 - - 3,743 -
Net cash provided by (used in)
noncapital financing activities 100,000 103,743 - - 203,743

CASH FLOWS FROM CAPITAL AND RELATED FINANCING
ACTIVITIES:

Purchase of capital assets - (17,127) - - (17,127)
Net cash provided by (used in)
capital and related financing activities - (17,127) - - (17,127) CASH FLOWS FROM INVESTING ACTIVITIES:

Interest received 25,840 25,363 20,412 17,446 89,061
Net cash provided by (used in) investing activities 25,840 25,363 20,412 17,446 89,061 Net cash flows (50,151) 403,700 (365,491) 254,634 242,692 CASH AND INVESTMENTS - Beginning of year 848,171 789,381 1,249,393 404,664 3,291,609 CASH AND INVESTMENTS - End of year $ 1,193,081 $ 798,020 $ 883,902 $ 659,298 $ 3,534,301

RECONCILIATION OF OPERATING INCOME (LOSS) TO
NET
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES:

Operating income (loss) $ (157,623) 37,627 $ (105,596) $ 197,815 $ (27,777) $ Adjustments to reconcile operating income (loss) to
net cash provided by (used in) operating activities:

Depreciation - 79,374 3,143 8,972 91,489
(Increase) decrease in accounts receivable (1,919) (18,390) (594) (2,315) (23,218) (Increase) decrease in prepaid expense (495) - - 65,642 65,147 Increase (decrease) in accounts payable (15,954) 189,376 (282,856) (35,029) (144,463) Increase (decrease) in accrued payroll - 192 - 93 285
Increase (decrease) in compensated absences 3,542 - 2,010 - 5,552 Net cash provided by (used in) operating activities $ (175,991) 291,721 $ (385,903) $ 237,188 $ (32,985) $ 173

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174

City of Atwater
Combining Statement of Fiduciary Net Position
Custodial Funds
June 30, 2024
Section 125 Community Total
Section 125 Dependent Facility District Custodial
Medical Care No.1 Funds
ASSETS
Cash and investments held for others, restricted $ 2,074 $ 134,896 - $ $ 136,970 Interest receivables - - 966 966
Total assets 2,074 135,862 - 137,936

LIABILITIES
Other Liabilities 2,074 - - 2,074
Total liabilities 2,074 - - 2,074

NET POSITION
Restricted for
Bondholders - 135,862 - 135,862
Total net position $ - $ 135,862 - $ $ 135,862
175

City of Atwater
Combining Statement of Changes in Fiduciary Net Position Custodial Funds
For the year ended June 30, 2024
Section 125 Community Total
Section 125 Dependent Facility District Custodial
Medical Care No.1 Funds

ADDITIONS
Interest income $ - - $ 4,462 $ $ 4,462
Total additions - - 4,462 4,462
Changes in net position - - 4,462 4,462

NET POSITION
Beginning of the year - - 131,400 131,400
End of year - $ - $ 135,862 $ 135,862 $
176

City of Atwater
Schedule of Debt Service Coverage
June 30, 2024 and 2023
2024 2023
Service charges $ 12,095,786 $ 11,841,868
Connection fees 66,659 69,154
Total service charges 12,162,445 11,911,022
Investment income 599,678 311,490
Other income 16,247 53,658
Total miscellaneous revenue 615,925 365,148
Total Revenue 12,778,370 12,276,170
Personnel costs 1,511,909 1,441,015
Supplies (1) 157,010 156,415
Professional Services (2) 1,101,140 1,043,963
Wastewater Treatment Plant Mgmt. Service (3) 2,609,926 2,373,761 Other Charges (1), (4) 354,498 495,485
Total Operations and Maintenance 5,734,483 5,510,639
Net Revenue Available For Debt Service $ 7,043,887 $ 6,765,531 Debt service:
2017A Wastewater Revenue Refunding Bonds $ 3,310,088 $ 3,316,088 2018A Wastewater Revenue Refunding Bonds 1,141,369 1,140,369 Total debt service $ 4,451,457 $ 4,456,457
Net Revenue After Debt Service
Calculated coverage 1.58 1.52
Meets covenant restrictions Yes Yes
Notes:
(1) Includes Entries for Both Sewer Enterprise Fund and Wastewater Treatment Plant. Capital Expenses are funded by transfers from the Sewer Enterprise Capital Fund
(2) Includes Communications, Utilities, Memberships, Subscriptions, Travel, Conference, Meetings, Training, Rents, Leases and Miscellaneous (3) Paid to Private Operator
(4) Includes Equipment, Streets, Water, Parks and Building Maintenance The City has covenanted in the Installment Sale Agreement, to the extent permitted by law, to fix, prescribe and collect rates and charges for the Wastewater System, respectively, which will be at least sufficient to yield "Net Revenues" equal to 120% of debt service (including the Installment Payments and debt service on other Parity Debt) coming due and payable during such Fiscal Year.
177

City of
Atwater
Atwater, California
Independent Accountants’ Report on
Agreed-Upon Procedures Applied to
Appropriations Limit Schedule
For the year ended June 30, 2025

INDEPENDENT ACCOUNTANTS’ REPORT
To the Honorable Mayor and City Council
of the City of Atwater
Atwater, California
We have performed the procedures enumerated below on the accompanying Appropriations Limit Schedule of the City of Atwater (City) for the fiscal year ended June 30, 2025. The City’s management is responsible for the accompanying Appropriations Limit Schedule.

The City has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose of the requirements of Section 1.5 of Article XIII-B of the California Constitution. Additionally, the League of California Cities (as presented in the publication entitled Agreed-upon Procedures Applied to the Appropriations Limitation Prescribed by Article XIII-B of the California Constitution) has agreed to and acknowledged that the procedures performed are appropriate for their purposes. This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes.

The procedures performed and our findings are described below:

1. We obtained the completed worksheets used by the City to calculate its appropriations limit for the fiscal year ended June 30, 2025, and determined that the limit and annual calculation factors were adopted by resolution of City Council. We also determined that the population and inflation options were selected by a recorded vote of City Council.

Finding: No exceptions were noted as a result of our procedures.

2. For the accompanying Appropriations Limit Schedule, we added the prior year’s limit to the total adjustments, and agreed the resulting amount to the current year’s limit.

Finding: No exceptions were noted as a result of our procedures.

3. We agreed the current year information presented in the accompanying Appropriations Limit Schedule to corresponding information in worksheets used by the City.

Finding: No exceptions were noted as a result of our procedures.

4. We agreed the prior year appropriations limit presented in the accompanying Appropriations Limit Schedule to the prior year appropriations limit adopted by the City Council during the prior year.

Finding: No exceptions were noted as a result of our procedures.

To the Honorable Mayor and Members of City Council
of the City of Atwater
Atwater, California
We were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the AICPA. We were not engaged to and did not conduct an examination or review, the objective of which would be the expression of an opinion or conclusion, respectively, on the accompanying Appropriation Limit Schedule. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.

We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement.

This report is intended solely for the information and use of the City Council and management of the City and is not intended to be and should not be used by anyone other than these specified parties. However, this report is a matter of public record, and its distribution is not limited.

Badawi & Associates, CPAs
Emeryville, California
September 24, 2025
2

City of Atwater
Appropriations Limit Schedule
For the year ended June 30, 2025
Amount Source
A. Appropriations limit for the year ended June 30, 2024 60,571,092 $ Prior year schedule B. Calculation factors:

1. Population increase 1.0002 State Department of Finance

2. Inflation increase (deflation decrease) 1.0362 State Department of Finance

3. Total adjustment factor 1.0364 B1 * B2
C. Annual adjustment increase (decrease) 2,204,787 [(B3-1)*A)] D. Other adjustments:

Loss responsibility (-) - N/A
Transfers to private (-) - N/A
Transfers to fees (-) - N/A
Assumed responsibility (+) - N/A
E. Total adjustments 2,204,787 (C+D)
F. Appropriations limit for the year ended June 30, 2025 62,775,879 $ (A+E) 3

City of Atwater
Notes to Appropriations Limit Schedule
For the year ended June 30, 2025

1. PURPOSE OF LIMITED PROCEDURES REVIEW
Under Article XIIIB of the California Constitution (the Gann Spending Limitation Initiative), California governmental agencies are restricted as to the amount of annual appropriations from proceeds of taxes.

Effective for years beginning on or after July 1, 1990, under Section 1.5 of Article XIIIB, the annual calculation of the appropriations limit is subject to this agreed upon procedures engagement.

2. METHOD OF CALCULATION
Under Section 10.5 of Article XIIIB, for fiscal years beginning on or after July 1990, the appropriations limit is required to be calculated based on the limit for the fiscal year 1986-1987, adjusted for the inflation and population factors discussed in Notes 3 and 4 below.

3. INFLATION FACTORS
A California governmental agency may use as its inflation factor either the annual percentage change in the 4th quarter per capita personal income (which percentage is supplied by the State Department of Finance), or the percentage change in the local assessment roll from the preceding year due to the change of local nonresidential construction. The factor adopted by the City of Atwater for the fiscal year 2024-2025 represents the change in per capita income in the State of California.

4. POPULATION FACTORS
A California governmental agency may use as its population factor either the annual percentage change of the jurisdiction’s own population, or the annual percentage change in population in the County where the jurisdiction is located. The factor adopted by the City of Atwater for fiscal year 2024-2025 represents the population change in the County.

5. OTHER ADJUSTMENTS
A California government agency may be required to adjust its appropriations limit when certain events occur, such as the transfer of responsibility for municipal services to, or from, another government agency or private entity. The City had no such adjustments for the fiscal year ended June 30, 2025. 4

CITY COUNCIL

AGENDA REPORT

MEETING
DATE:

October 13, 2025
TO: Mayor and City Council
FROM:

PREPARED
BY:

SUBJECT: Fire Department Quarterly Update (CAL Fire Battalion Chief Randol)

RECOMMENDED COUNCIL ACTION
I. BACKGROUND/ANALYSIS:

Required section for all staff reports.

The Background section provides a brief history of the issue/requested action. Detailed supporting documents may be included as attachments.

This section highlights staff’s reasons for proposing the recommended Council action over other potential solutions discussed in the Alternatives portion of the Council Agenda Report.

II. FISCAL IMPACTS:

Required section for all staff reports, except for informational items.

State whether or not the item has been reviewed by the Finance Director.

The Fiscal Impacts portion of the Council agenda report should provide an assessment of fiscal impacts, both long and short term, of the proposed Council action. The assessment should include details pertaining to the proposed funding source(s), i.e. fund, department, and account number as contained in the budget.

III. LEGAL REVIEW:

Required section for all staff reports that include an agreement, ordinance, resolution.

Not required for informational items or items that do not require legal review.

State whether or not the item has been reviewed by the City Attorney.

CITY COUNCIL
Mike Nelson, Mayor
Danny Ambriz Brian Raymond
John Cale Kalisa Rochester

Agenda Report - Fire Department Quarterly Update (CAL Fire Battalion Chief Randol) Page 2

IV. EXISTING POLICY:

Not required for all staff reports but should be included in most reports. Not required for informational items.

The Existing Policy section outlines current City policy/procedure pertaining to the agenda item. The report should cite specific code sections or policy documents that will be changed as a result of the proposed Council action.

This section will also include a description of how the item relates to the Strategic Plan.

As we currently do not have a strategic plan, a description of relevance may be skipped until a proper plan is adopted.

V. ALTERNATIVES:

Not required for all staff reports but should be included in most reports where the Council should be considering options, or discussion of options already investigated.

If there are Policy options for consideration, the discussion should be specific and detailed.

VI. INTERDEPARTMENTAL COORDINATION:

Optional section. When not using a section remove it. Make sure to check numbering of the Sections.

For projects that cross Departments should be listed.

VII. PUBLIC PARTICIPATION:

Optional section. Make sure to check numbering of the Sections.

The Public Participation section highlights workshops, mailings, meetings and other public involvement in the project. This would also include public stakeholders, other interested parties, and their respective positions.

VIII. ENVIRONMENTAL REVIEW:

Required section for all reports.

This project/item is exempt under the provisions of the California Environmental Quality Control Act.

The Environmental Review component of the Council Agenda Report provides a short synopsis of the environmental review and determination for the project. Supporting environmental documents should be included as attachments if applicable.

IX. STEPS FOLLOWING APPROVAL:

Required section for all reports, except for informational items.

Agenda Report - Fire Department Quarterly Update (CAL Fire Battalion Chief Randol) Page 3

The Steps Following Approval portion of the report should list subsequent steps for project implementation following Council approval. This description should be short and simple.

Prepared by:Name, Title (if prepared by section in beginning is not used and a staff support person did the research and prepared the report.) Attachments:

CITY COUNCIL

AGENDA REPORT

MEETING
DATE:

October 13, 2025
TO: Mayor and City Council
FROM:

PREPARED
BY:

SUBJECT: Police Department Quarterly Update (Police Chief McEachin)

RECOMMENDED COUNCIL ACTION
I. BACKGROUND/ANALYSIS:

Required section for all staff reports.

The Background section provides a brief history of the issue/requested action. Detailed supporting documents may be included as attachments.

This section highlights staff’s reasons for proposing the recommended Council action over other potential solutions discussed in the Alternatives portion of the Council Agenda Report.

II. FISCAL IMPACTS:

Required section for all staff reports, except for informational items.

State whether or not the item has been reviewed by the Finance Director.

The Fiscal Impacts portion of the Council agenda report should provide an assessment of fiscal impacts, both long and short term, of the proposed Council action. The assessment should include details pertaining to the proposed funding source(s), i.e. fund, department, and account number as contained in the budget.

III. LEGAL REVIEW:

Required section for all staff reports that include an agreement, ordinance, resolution.

Not required for informational items or items that do not require legal review.

State whether or not the item has been reviewed by the City Attorney.

CITY COUNCIL
Mike Nelson, Mayor
Danny Ambriz Brian Raymond
John Cale Kalisa Rochester

Agenda Report - Police Department Quarterly Update (Police Chief McEachin) Page 2

IV. EXISTING POLICY:

Not required for all staff reports but should be included in most reports. Not required for informational items.

The Existing Policy section outlines current City policy/procedure pertaining to the agenda item. The report should cite specific code sections or policy documents that will be changed as a result of the proposed Council action.

This section will also include a description of how the item relates to the Strategic Plan.

As we currently do not have a strategic plan, a description of relevance may be skipped until a proper plan is adopted.

V. ALTERNATIVES:

Not required for all staff reports but should be included in most reports where the Council should be considering options, or discussion of options already investigated.

If there are Policy options for consideration, the discussion should be specific and detailed.

VI. INTERDEPARTMENTAL COORDINATION:

Optional section. When not using a section remove it. Make sure to check numbering of the Sections.

For projects that cross Departments should be listed.

VII. PUBLIC PARTICIPATION:

Optional section. Make sure to check numbering of the Sections.

The Public Participation section highlights workshops, mailings, meetings and other public involvement in the project. This would also include public stakeholders, other interested parties, and their respective positions.

VIII. ENVIRONMENTAL REVIEW:

Required section for all reports.

This project/item is exempt under the provisions of the California Environmental Quality Control Act.

The Environmental Review component of the Council Agenda Report provides a short synopsis of the environmental review and determination for the project. Supporting environmental documents should be included as attachments if applicable.

IX. STEPS FOLLOWING APPROVAL:

Required section for all reports, except for informational items.

Agenda Report - Police Department Quarterly Update (Police Chief McEachin) Page 3

The Steps Following Approval portion of the report should list subsequent steps for project implementation following Council approval. This description should be short and simple.

Prepared by:Name, Title (if prepared by section in beginning is not used and a staff support person did the research and prepared the report.) Attachments:

CITY COUNCIL

AGENDA REPORT

MEETING
DATE:

October 13, 2025
TO: Mayor and City Council
FROM:

PREPARED
BY:

SUBJECT: Code Enforcement Annual Update (Code Enforcement Manager Garcia)

RECOMMENDED COUNCIL ACTION
Receive a presentation from staff on the City's Code enforcement program.

I. BACKGROUND/ANALYSIS:

Receive a presentation from staff on the City's Code enforcement program.

II. FISCAL IMPACTS:

None
III. LEGAL REVIEW:

N/A
IV. EXISTING POLICY:

N/A
V. ALTERNATIVES:

None
VI. INTERDEPARTMENTAL COORDINATION:

N/A
VII. PUBLIC PARTICIPATION:

Optional section. Make sure to check numbering of the Sections.

The Public Participation section highlights workshops, mailings, meetings and other

CITY COUNCIL
Mike Nelson, Mayor
Danny Ambriz Brian Raymond
John Cale Kalisa Rochester

Agenda Report - Code Enforcement Annual Update (Code Enforcement Manager Garcia) Page 2

public involvement in the project. This would also include public stakeholders, other interested parties, and their respective positions.

VIII. ENVIRONMENTAL REVIEW:

N/A
IX. STEPS FOLLOWING APPROVAL:

N/A
Prepared by: Daniel Garcia, Code Enforcement Manager
Attachments: