Belmont City Council
November 25, 2025

City Council Charles Armstrong School - 1405 Solana - 11-25 CC Staff Report – Charles Armstrong School Project Introduction

STAFF REPORT
Meeting Date: November 25, 2025
Agency: City of Belmont
Staff Contact: Jeremy Ruiz, Assistant Planner, (650) 637-2994, [email protected] Agenda Title: Charles Armstrong School – Project Introduction Agenda Action: For Information Only
Recommendation
Receive a presentation regarding the Charles Armstrong School Development Review Project. No action is required.

Strategic Focus Area
Economic Development and Housing
Background
The Charles Armstrong School is located at 1405 Solana Drive (Assessor’s Parcel Number 045-122-190) and zoned PD – Planned Development. The school has filed a Development Review application to construct several new buildings in two phases for their campus. Phase I would consist of an approximately 11,900-square-foot Academic Wing (two buildings with a connecting roof and a small stand-alone building), and Phase II centers on an approximate 11,100-square-foot Athletic Building. A Phase III for the project would involve renovations to existing spaces.

The purpose of tonight’s presentation is to:
• Facilitate a project introduction and provide information regarding the proposed project scope; • Identify the applicable entitlements that are requested in conjunction with the proposed project scope; and,
• Accept comments and answer questions about the project from the City Council, and the public.

No action is requested of the City Council as part of this presentation for the project.

Tonight’s information will become part of the project’s public record. Next steps will include:

1. Preparation of the project entitlements , and associated Ordinance and Resolution for review and recommendation by the Planning Commission at a future Public Hearing, and,

2. City Council Public Hearing review of the Planning Commission recommendations, project entitlements, and associated PD Amendment Ordinance and Resolutions.

The Planning Commission facilitated a similar project introduction at their November 4th meeting. The Commission heard presentations from City staff, the applicant, and received comments on the project from the public.
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City Council Charles Armstrong School - 1405 Solana - 11-25 CC Staff Report – Charles Armstrong School Project Introduction Analysis
Since 1988, the school has fostered its mission to be one of three special education, private schools tailored to help dyslexic students within the San Francisco Bay area. Due to growing demand, the school is seeking to expand its facilities to better support its current student population and faculty needs, modernize existing facilities for the future, and increase their student capacity.

Site/School History
• 1950s: The McDougal School was constructed in the mid-1950's as a K-6 public school with a 450-student population.
• July 1982: The City Council approved a Conditional Use Permit to convert the McDougal School Site from a public school to a non-school designation.
• May 1984: The City Council approved a City-initiated Rezoning and General Plan Amendment for the facility. The zoning was changed from SC – Service Commercial to PD - Planned Development and the general plan land use designation was changed from P - Public Facility to IInstitution. • August 1984: The Planning Commission approved a Conditional Use Permit to operate a private school on land previously used for a public school. The school is certified by the State of California as a non-public special education school. Upon review of an application to add modular classrooms, the city became aware that the original Use Permit had been issued without approval of a Conceptual Development Plan.
• July 1987: The Charles Armstrong School requests approval of a Conceptual Development Plan (CDP), Conditional Use Permit and Design Review. A Resolution approving the Conditional Use Permit, Detailed Development Plan (DDP), and Design Review to allow classroom additions were approved on September 15, 1987.
• January through April 1988: The City Council adopted an Ordinance approving the CDP for the school and amended the zoning ordinance and zoning map to eliminate the agricultural development standards for the school and established the CDP within the PD zoning designation.

The Planning Commission also approves a revised Detailed Development Plan (DDP), associated conditions of approval, and procedure/criteria for increasing the student enrollment cap for the school. The established enrollment cap as part of the 1988 City Council & Planning Commission entitlement actions was a maximum of 220 students.
• November 2002: The Planning Commission adopted a Conditional Use Permit (CUP) Resolution allowing the school to increase the enrollment cap from 220 to 260 students. The approved enrollment cap increase did not involve any increase in permissible floor area for the campus. • 2003-2005 – The school requests approval of a Conceptual Development Plan (CDP) Amendment to allow for enhanced school activities, and construction of approximately 15,600 square feet of additional building floor area for the campus. After significant public review/hearings by both the Planning Commission & City Council, the proposal is disapproved in Spring 2005.

Since 2002, no significant additions, changes to the number of students, or changes to the approved Conditional Use Permit (CUP) for the school have occurred. While small (i.e. landscaping or playground equipment enhancement) projects have occurred at the site since 2002, no approvals have been granted to permit any building additions or increased student enrollment. 467

City Council Charles Armstrong School - 1405 Solana - 11-25 CC Staff Report – Charles Armstrong School Project Introduction Project Scope
As noted earlier, the current proposal plans for construction in two phases. Phase I proposes an approximately 11,900-square-foot Academic Wing (two buildings with a connecting roof and a small stand-alone building), and Phase II consists of an approximate 11,100-square-foot Athletic Building.

Additional site improvements would include a new landscaped plaza connecting the buildings, stormwater management systems, utility infrastructure, and slope stabilization.

The proposed project would also increase the school’s enrollment capacity cap from 260 to 290 students.

The average daily attendance is approximately 230-240 students. The school is allowed to operate on Monday through Friday from 7AM to 9PM. As part of their operations amendment request, they seek a 1-hour extension of their weekday access to 10PM, and weekend access limited to 9AM to 6PM, except for a handful of weekend special events. At the proposed 290-student level, the school expects to add 11 new faculty roles. Administrative and support staff levels are expected to remain unchanged.

Required Project Entitlements
The project requires the following approvals:
• Planned Development (PD) Amendment – Required by zoning to address proposed changes to buildings and operational standards.
• Conceptual Development Plan (CDP) & Detailed Development Plan (DDP) Amendments – required as the project proposes new buildings and to exceed current student population limits which deviate from the approved 1988 Conceptual Development Plan & Detailed Development Plan, and the 2002 Conditional Use Permit.
• Conditional Use Permit – Required to modify the student population limit and operational standards.
• Design Review – Required as new buildings are being proposed on the site. • Tree Permit – Required as approximately 44 protected trees are being removed for the development of the proposed buildings.
• Grading Permit – Required as the combined volume of material excavated and filled will exceed fifty (50) cubic yards and the grading will disturb an area of more than two thousand (2,000) square feet.

Public Hearings
The project is tentatively scheduled for review at the following Planning Commission/City Council Public Hearings:
• January 6, 2026 – Planning Commission Hearing to review and provide recommendations to City Council on the project entitlements, Ordinance and Resolution. • January 27, 2026 – City Council Public Hearing to review the Planning Commission recommendations, project entitlements, and Ordinance and Resolution (Introduction & 1st Reading) for the proposed project.
• February 10, 2026 – City Council Meeting (2nd Reading of Ordinance and Resolution) regarding the proposed project.

Neighborhood Outreach
The Charles Armstrong School facilitated a Neighborhood Night Out stop as part of that August 5th 468

City Council Charles Armstrong School - 1405 Solana - 11-25 CC Staff Report – Charles Armstrong School Project Introduction community-wide event. The school also recently conducted a Neighborhood Outreach meeting at the campus on October 16th. At that meeting the school provided an overview of the project and facilitated community comments and feedback; the meeting was well attended. As noted earlier, the Planning Commission held a November 4th Study Session which served as another neighborhood outreach opportunity for the project.

Alternatives

1. Provide additional feedback as appropriate regarding the Charles Armstrong School Development Review Project.

Attachments

1. Staff Presentation

2. 500-Foot Radius Map of School/Project Site
Fiscal Impact
☒ No Fiscal Impact At this time, there is no direct fiscal impact regarding the recommended action. Future actions as the project progresses will be identified with fiscal impact as appropriate.
☐ Funding Source Confirmed:

Source: Purpose: Public Outreach:

Staff Discretionary Action Other*

*E-Notification of agendas and courtesy letter/public meeting notice mailed to all properties within a 300-foot radius of the school property for the November 25, 2025 City Council meeting 469
500 FOOT RADIUS MAP
1405 SOLANA DRIVE,

BELMONT
0 80 160 240 320 400 480 US Feet
1526 1522
Escondido Way
1512
1516
·"'
1230
NOTE: This is neither a plat nor a survey. It is furnished merely as a convenience to aid in locating the land indicated hereon with reference to streets and other land. No liability is assumed by reason of any reliance hereon. 1160
1210
1220
1512
1508
Legend
- Street Surfaces
[ Parcels
- Focus Property
Parcels within 300 feet
Parcels within 500 feet
1150
1200
1206
1520
1516
oesvio Way
1504 1508 1512
1301
470
1405 Solana Drive – Charles Armstrong School
Project Introduction
City Council
November 25, 2025
471
Presentation Goals
• Facilitate a project introduction and scope.
• Identify applicable entitlements that are requested in conjunction with the proposed project.
• Accept comments and answer questions about the project from the City Council, and the public (as appropriate given the current stage of review for the project).
• No action is requested at this stage of the project review process. • Planning Commission facilitated a similar project introduction item (and format) at their November 4th Meeting.
472
Historical Background - Synopsis
• 1950s – The McDougal School was constructed.
• July 1982 – McDougal School Site converted from a public school to a non-school designation. • May 1984 – Area rezoned from SC – Service Commercial to I – Institutional. • August 1984 – Conditional Use Permit established to operate a private, special education school on the former McDougal school site.
• July 1987 – The school received approval of a Conceptual Development Plan (CDP), Conditional Use Permit and Design Review. A Resolution approving the Conditional Use Permit, Detailed Development Plan (DDP), and Design Review to allow modular classroom additions which were installed later that year.
• January through April 1988 – Modified approvals for the CDP for the school occurred. The Planning Commission also approves a revised Detailed Development Plan (DDP), associated conditions of approval, and procedure/criteria for increasing the student enrollment cap for the school.
• November 2002 – School receives approval of a Conditional Use Permit (CUP) to allow the school to increase the enrollment cap from 220 to 260 students. The approved enrollment cap increase did not involve any increase in permissible floor area for the campus. • 2003 through 2005 – A proposed CDP Amendment to allow for enhanced school activities, and construction of approximately 15,600 square feet of additional building floor area for the campus was reviewed and disapproved. 473
Project Description: Part 1
The school has filed a Development Review
application to construct several new
buildings in two phases for their campus:
• Phase I: 11,900 sq. ft. Academic Wing
• Phase II: 11,100 sq. ft.

Athletic/Community Building
• Additional site improvements
• Landscaped Plaza
• Stormwater Management Systems
• Slope Stabilization
• Utility Infrastructure
• Phase III: Renovations to existing spaces
Proposed new
buildings
474
Project Description: Part 2
Proposed Operational Changes
• Increase enrollment cap from
260 to 290 students
• Average daily attendance is
currently 230-240 students
• Hours of Operations
extended by 1 hour [7 AM to
10 PM on weekdays] and
certain Weekend Access
• Increase Faculty Staff by
approximately 11 new members
• Admin & Support staff levels
expected to remain
475
Entitlements
• Planned Development (PD) Amendment – which focuses on Conceptual Development Plan (CDP) & Detailed Development Plan (DDP) Amendments to address:
• New construction and Operational Standards
• Increase the permitted Floor Area for the campus
• Increase the current Enrollment cap
• These requests differ from the approved 1988 Conceptual Development Plan & Detailed Development Plan, and the 2002 Conditional Use Permit. • Conditional Use Permit (is connected to the DDP) – to modify the student population cap and address operational standards.
• Design Review – for the new buildings proposed on the site. • Tree Permit – to address approximately 44 protected trees being removed in conjunction with development of the proposed buildings. Significant quantities of replacement trees are proposed to moderate the tree removal permit request. • Grading Permit – to address the combined volume of material excavated and filled that will exceed fifty (50) cubic yards, and grading which will disturb an area of more than two thousand (2,000) square feet.
476
Site Plan
• Phase I • Music Room: 6,364 SF • Multipurpose: 4,237 SF • 2 Classrooms • Art & Maker Space: 1,292 SF• Science Lab • 4 Classrooms
• Phase II • Gymnasium: 7,973 SF • Kitchen: 3,153 SF • Phase III • Renovations to existing spaces
477
Landscape Plan Concept
478
Tentative Future Public Hearing Schedule
• January 6, 2026 – Planning Commission Hearing
• Review and provide recommendations to the City Council on the project entitlements, Ordinance and Resolution.
• January 27, 2026 – City Council Public Hearing
• Review Planning Commission recommendations, project entitlements, and Ordinance and Resolution (Introduction & 1st Reading) for the proposed project.
• February 10, 2026 – City Council Meeting
• Should the project receive City Council Approvals on 1/27/26, Second Reading of Project Ordinance and Resolution would occur on this date. 479
Thank you!
belmont.gov
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Report from Audit Committee and Measure I Committee for FY 2024-25

STAFF REPORT
Meeting Date: November 25, 2025
Agency: City of Belmont
Staff Contact: Grace Castaneda, Finance Director, (650) 595-7436 Afshin Oskoui, City Manager, (650) 595-7410
Agenda Title: Report from Audit Committee and Measure I Committee for FY 2024-25 Agenda Action: Other
Recommendation
1) The Audit Committee recommends the City Council receive the financial reports and recommendations of the City’s independent auditor for the fiscal year ended June 30, 2025; and 2) Receive Annual Measure I Advisory Committee Report for the fiscal year ended June 30, 2025.

Strategic Focus Area
Fiscal and Organizational Sustainability
Background
Audit Committee
The Audit Committee, comprised of Vice Mayor Pang-Maganaris, who serves as the Chair, and Council Member Jordan, provides independent review and oversight of the City of Belmont’s financial reporting processes, internal controls, and independent auditors. By effectively carrying out its functions and responsibilities, the Audit Committee helps to ensure that staff properly develops and adheres to a sound system of internal controls, that procedures are in place to objectively assess management’s practices, and that the independent auditors, through their own review, objectively assess the City’s financial reporting practices. In fulfilling these duties, the Audit Committee met this calendar year on June 9th and November 13th.

For the fiscal year ended June 30, 2025, the reports include:
 Annual Comprehensive Financial Report (ACFR)
 Memorandum on Internal Control and Required Communications  Measure A Funds Report on Compliance
 Measure I Fund Financial Statements
 Measure W Funds Report on Compliance
 Agreed Upon Procedures Report on Compliance with Proposition 111 (City)  Agreed Upon Procedures Report on Compliance with Proposition 111 (BFPD) 481

Report from Audit Committee and Measure I Committee for FY 2024-25 Measure I Advisory Committee
Measure I, the one-half cent transaction and use tax, is a locally-controlled funding source that was approved by Belmont voters in November 2016 and became effective beginning on April 1, 2017.

Measure I was passed as a general tax, and therefore the funds may be used for any valid governmental purpose. However, based on input received through community meetings and numerous surveys, the City Council has continued to direct that Measure I fund be utilized towards streets and storm drains infrastructure improvements.

Measure I provides that, by no later than December 31st of each year, the City’s independent auditor shall complete a report to verify that the taxes levied under Measure I have been properly applied, exempted, collected, and remitted in accordance with the law for the prior fiscal year.

The Belmont City Code establishes the duties of the Measure I Advisory Committee (“the Committee”), which are to monitor and report on how the tax levied by Measure I has been spent, to review the annual audit prepared by the City’s independent auditor related to the prior fiscal year’s collection and expenditure of Measure I funds, and to transmit a report annually regarding the accuracy of the auditor’s findings. To preserve the integrity and independence of the advisory process, the Committee members shall not have a role in determining the use of revenue generated by Measure I.

The Committee understands that its role is to review and evaluate Measure I annual reports and the general scope of the associated audit work, and to give reasonable assurance that the Measure I funds are being properly spent and reported on.

Analysis
Audit Committee
From an oversight standpoint, the Audit Committee has been able to provide an independent review of the City’s financial reporting processes and internal controls and finds that the City is in good financial health and is maintaining control over budgeted activities. For the fiscal year ended June 30, 2025, the City’s general funds, which include the General Fund and Measure I Fund, ended with a $38.0 million fund balance, of which $31.6 million is classified as “unassigned” and is therefore available for expenditures at the City’s discretion. As of June 30, 2025, the General Fund balance met both the target 33% of operating expenditure budget, or $8.8 million, reserve requirements.

In an effort to make the financial statements clearer and more understandable to readers, the ACFR includes a Letter of Transmittal and a Management Discussion and Analysis section that summarize and highlight the City’s financial results. They are intended to be read in conjunction with the accompanying Basic Financial Statements in the ACFR.

The ACFR has been audited by an independent, certified, and licensed auditor. On November 13th, the Audit Committee received the auditor’s opinion, annual financial reports, and Memorandum on Internal Control (MOIC). At this meeting, the auditor discussed the City’s financial results with the Audit Committee, along with City management. The Audit Committee determined that the reports and related information were fairly presented, to the extent such a determination can be made solely on the basis of 482

Report from Audit Committee and Measure I Committee for FY 2024-25 such conversations. The Audit Committee also determined the reports were comprehensive and adequately disclosed the financial position and results of operations for the City.

In addition, the Audit Committee formally received the MOIC from the City’s independent auditor. A MOIC consists of notes to material weaknesses, significant deficiencies, and other matters that include new Government Accounting Standards Board (GASB) pronouncements that could impact financial reporting and operations taking effect in the next few years and opportunities for strengthening internal controls and operating efficiency.

As prescribed by policy, the Audit Committee at its meeting on November 13th directed the Chair to transmit this report to the City Council. By doing so, the Committee is recommending that that the financial reports and recommendations of the auditor are made public. Furthermore, in performing this function, the Audit Committee has discharged its duties and met its responsibilities.

As for discharging its other responsibilities, the Audit Committee makes the following comments:

1. The Audit Committee has reviewed its provision of funding. No changes are proposed.

2. The Audit Committee has considered and determined there is no need to retain a financial expert to assist in fulfilling its responsibilities.

3. The Audit Committee has reviewed updates to the best practices, which have been added to the City’s financial policies.

With respect to the reports, the Audit Committee would like to draw attention to the following:
 The Independent Auditors have issued an unmodified opinion, which is the highest level of assurance possible.

The City of Belmont has a long history of being a best practice city and, as such, incorporates Best Practices and Advisories issued annually by the Government Finance Officers Association (GFOA) into its Financial Policies. GFOA Best Practices and Advisories are written as a guide, identifying specific policies and procedures contributing to improved government management. They aim to promote and facilitate positive change rather than to codify current accepted practices.

Periodically, the Best Practices and Advisories will include new or modified recommended practices that apply to the City. The Audit Committee recognizes the importance of Best Practices and Advisories in the design, operation, and administration of the City’s internal control system in discharging its fiduciary duty and, similarly to the reports discussed previously, recommends City Council receive the updates to the Financial Policies. Staff would also like to draw attention to the annual budget document, which includes a Financial Policies section. It serves as a central reference point to the most important of the City’s policies, which are critical to the continued financial health of our local government.

The Audit Committee wishes to express its appreciation to the City’s management, and in particular, the Finance Department staff, for the information they have provided for the Committee to compile this report. 483

Report from Audit Committee and Measure I Committee for FY 2024-25 Measure I Advisory Committee
For fiscal year ended June 30, 2025, the Measure I financial statements have been audited by the City's independent auditor who issued a report on the financial statements and a report on Measure I compliance.

The financial statements and the auditor's reports are attached, and hard copies have been provided to the Council under separate cover.

During the fiscal year, the City recognized revenues totaling $2,261,306 in Measure I transactions and use tax, and $147,073 in interest earnings, for a total of $2,408,379 in revenues. For street improvements, $3,132,267 was expended, and $141,072 was expended for storm drain improvements, leaving a fund balance as of June 30, 2025, at $3,599,388 for project expenditures.

The Committee met on November 13th and, based on the Committee’s review of information made available by City staff, including the Measure I financial statements and the audit opinions of the independent auditor, gained reasonable assurance that the Measure I funds are being properly spent and reported on. The Committee directed the Chair to transmit this report through the City Manager’s Office and, by doing so, has discharged its duties and met its responsibilities for the year ended June 30, 2025, as required by the Belmont City Code.

The Committee noted that they continue to review supplemental materials provided by the Public Works Department regarding the nature of ongoing and planned improvements to streets and the storm drainage system.

The Committee wishes to express its appreciation to the City’s management, the staff members of the Finance and Public Works Departments, for the information they have provided for the Committee to compile this report.

By:

Patrick Kong
Measure I Advisory Committee Vice Chair
Alternatives

1. Take no action.

2. Refer to staff with direction.

Attachments
A. ACFR, including Transmittal Letter
B. Memorandum on Internal Control
C. Required Communications
D. Financial Policy Updates Memorandum
E. Measure I Fund Financial Statements
On file and available on the City’s website:

1. Measure A Funds Report on Compliance
484

Report from Audit Committee and Measure I Committee for FY 2024-25

2. Measure W Funds Report on Compliance

3. Agreed Upon Procedures Report on Compliance with Proposition 111 (City) (on file and available in the Finance Department)

4. Agreed Upon Procedures Report on Compliance with Proposition 111 (BFPD) (on file and available in the Finance Department)
Fiscal Impact
☒ No Fiscal Impact
Receipt of the financial reports and recommendations of the City’s independent auditor for the fiscal year ended June 30, 2025 has no direct fiscal impact.
☐ Funding Source Confirmed:

Source: Purpose: Public Outreach:

Other* Statutory/Contractual Requirement Posting of Agenda *Audit Committee and Measure I Advisory Committee
485

MEMORANDUM
TO: Audit Committee
FROM: Grace Castaneda, Finance Director
SUBJECT: City of Belmont Financial Policies
DATE: November 13, 2025
The City of Belmont has a long history of being a best practice city and, as such, incorporates Best Practices and Advisories issued annually by the Government Finance Officers Association (GFOA) and from other sources. GFOA Best Practices and Advisories are written as a guide, identifying specific policies and procedures contributing to improved government management. They aim to promote and facilitate positive change rather than to codify current accepted practices. These policies are used by staff to identify enhanced techniques and provide information about effective strategies when these topics arise. They are not prescriptive but are formative.

As part of the City’s annual update, the GFOA Best Practices and Advisories include new or modified recommended practices as they apply to the City. These Best Practices and Advisories can be referenced at www.gfoa.org/best-practices.

Staff would also like to draw the Audit Committee’s attention to the annual budget document, which includes a Financial Policies section (www.belmont.gov/budget). It serves as a central reference point to the most important of the City’s policies, which are critical to the continued financial health of our local government.

By receiving and accepting this report, the Audit Committee recognizes the importance of best practices in the design, operation, and administration of the City’s internal control system, and in doing so, discharges its fiduciary duties and responsibilities. It is recommended that the Audit Committee direct the Chair to transmit this action to the City Council as part of its annual report on the audit to City Council. By doing so, the Committee is recommending that the financial policies be accepted by City Council.

Feel free to contact me, should you have any questions. 486
City of Belmont, California
Measure I Fund
Financial Statements
For the Year Ended June 30, 2025
487
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488

CITY OF BELMONT
Measure I Fund
Financial Statements
For the Fiscal Year Ended June 30, 2025
Table of Contents
Page
Independent Auditor’s Report ................................................................................................................ 1 Financial Statements:

Balance Sheet .................................................................................................................................. 4

Statement of Revenues, Expenditures and Changes in Fund Balance .............................................. 5

Notes to Financial Statements .......................................................................................................... 7 Independent Auditor’s Report on Internal Control Over Financial Reporting and on Measure I Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ............... 9 Statistical Section:

Revenues and Project Expenditures ............................................................................................... 11 489
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INDEPENDENT AUDITOR'S REPORT
The Honorable Mayor and Members of the City Council
City of Belmont, California
Report on the Audit of the Financial Statements
Opinion
We have audited the accompanying financial statements of the Measure I Fund (Fund) of the City of Belmont, California (City), as of and for the year ended June 30, 2025, and the related notes to the financial statements.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Fund as of June 30, 2025, and the change in financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinion
We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirement relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Fund’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. 1 491

Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with generally accepted auditing standards and Government Auditing Standards, we:
• Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed.
• Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
• Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Fund’s ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.

Emphasis of a Matter
The financial statements referred to above present only the Fund and are not intended to present fairly the financial positions of the City or the results of its operations in accordance with accounting principles generally accepted in the United States of America.

2 492

Other Information
Management is responsible for the other information included in the annual report. The other information comprises the Statistical Section listed in the Table of Contents, but does not include the basic financial statements and our auditor’s report thereon. Our opinion on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon.

In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exits, we are required to describe it in our report.

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated November 7, 2025, on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to solely describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.

Pleasant Hill, California
November 7, 2025
3 493
Assets:

Cash and investments $3,191,724
Due from the State of California 407,664
Total Assets $3,599,388
Fund Balance:

Committed for Infrastructure $3,599,388
Total Liabilities and Fund Balance $3,599,388
See accompanying notes to financial statements

MEASURE I FUND

CITY OF BELMONT

BALANCE SHEET
JUNE 30, 2025
4 494

MEASURE I FUND

CITY OF BELMONT

EXPENDITURES AND CHANGES IN FUND BALANCE
FOR THE YEAR ENDED JUNE 30, 2025
Revenues:

Measure I Sales Tax $2,257,406
1661 Ralston Slurry Seal Reimbursement 3,900
Interest Earnings 147,073
Total Revenues 2,408,379
Expenditures:

Measure I Projects:

Street Improvements 3,132,267
Storm Drain Improvements 141,072
Total Expenditures 3,273,339
Net Change in Fund Balance (864,960)
Fund Balance - July 1, 2024 4,464,348
Fund Balance - June 30, 2025 $3,599,388
See accompanying notes to financial statements

STATEMENT OF REVENUES,
5 495
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496

CITY OF BELMONT, CALIFORNIA

MEASURE I FUND

NOTES TO FINANCIAL STATEMENTS
For the Fiscal Year Ended June 30, 2025
NOTE 1 – BACKGROUND
The Belmont Streets and Services Measure (Measure I) was approved by the voters in November 2016, with 55 percent of the vote. The collection of the half cent general sales tax started in the first week of April 2017. The stated objective of the City Council for Measure I is to pay for the City’s infrastructure for the next 30 years. The City of Belmont administers the program and distributes the funds.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Reporting Entity – All transactions of the Measure I Program of the City of Belmont, California (City), are reported as a part of the General Fund in the basic financial statements of the City.

The Measure I Fund is used to account for the City’s share of revenues earned and expenditures incurred pursuant to the Belmont Streets and City Services Measure. The accompanying financial statements include Measure I Funds only and are not intended to fairly present the financial position, results of operations and cash flows of the City in conformity with accounting principles generally accepted in the United States of America.

Basis of Accounting – The accompanying financial statements are prepared on the modified accrual basis of accounting. Revenues are generally recorded when measurable and available, and expenditures are recorded when the related liabilities are incurred.

The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental funds are accounted for using a “current financial resources” measurement focus, wherein only current assets and current liabilities generally are included on the balance sheets. Operating statements of governmental funds present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets.

Description of Funds – The accounts are maintained on the basis of fund accounting. A fund is a separate accounting entity with a self-balancing set of accounts. The City uses a subfund of the General Fund to account for the proceeds of specific revenues (other than for capital projects) that are legally restricted to be expended for specified purposes.

Use of Estimates – Management uses estimates and assumptions in preparing the financial statements. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates. 7 497

CITY OF BELMONT, CALIFORNIA

MEASURE I FUND

NOTES TO FINANCIAL STATEMENTS
For the Fiscal Year Ended June 30, 2025
NOTE 3 – CASH AND INVESTMENTS
Cash and investments are maintained on a pooled basis with those of other funds of the City.

Pooled cash and investments consist of money market funds investing in such obligations and the State Treasurer’s investment pool (Local Agency Investment Fund). All investments are stated at fair value. Pooled investment earnings are allocated based on the average cash and investment balances of the various funds and related entities of the City.

See the City’s Annual Comprehensive Financial Report for disclosures related to cash and investments and the related custodial risk categorization. The Annual Comprehensive Financial Report may be obtained from the City of Belmont, 1 Twin Pines Lane, Belmont, CA, 94002. 8 498
INDEPENDENT AUDITOR’S REPORT ON

INTERNAL CONTROL OVER FINANCIAL REPORTING

AND ON MEASURE I COMPLIANCE AND OTHER MATTERS BASED ON AN

AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE

WITH GOVERNMENT AUDITING STANDARDS
To the Honorable Members of the City Council
City of Belmont, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the Measure I Fund (Fund) of the City of Belmont, California, as of and for the year ended June 30, 2025, and have issued our report thereon dated November 7, 2025.

Report on Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the Fund’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that have not been identified. 9 499
Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the Fund’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. Our procedures included tests of compliance with the applicable provisions of Section 23-114, Annual Audit, of Chapter 23 of the Belmont City Code (Ordinance No, 2016-1109). However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards.

We have also issued a separate Memorandum on Internal Control dated November 7, 2025, which is an integral part of our audit and should be read in conjunction with this report.

Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing based on the requirements specified in Section 23-114, Annual Audit, of Chapter 23 of the Belmont City Code (Ordinance No, 2016-1109), and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

This report is intended solely for the information and use of management, City Council, others within the City, and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties; however, this restriction is not intended to limit the distribution of this report, which is a matter of public record.

Pleasant Hill, California
November 7, 2025
10 500

CITY OF BELMONT

MEASURE I FUND

REVENUES AND PROJECT EXPENDITURES
Last Ten Fiscal Years*
Fiscal Year Ended June 30,
2017* 2018 2019 2020 2021 2022 2023 2024 2025
Revenues:

Measure I Sales Tax $251,095 $1,681,041 $1,874,155 $1,614,275 $2,179,340 $2,275,183 $2,358,043 $2,346,324 $2,257,406 Reimbursement 3,900
Interest Earnings 89 10,194 31,712 35,707 8,318 7,361 74,159 144,140 147,073 Total Revenues $251,184 $1,691,235 $1,905,867 $1,649,982 $2,187,658 $2,282,544 $2,432,202 $2,490,464 $2,408,379 Fiscal Year Ended June 30,
2017* 2018 2019 2020 2021 2022 2023 2024 2025
Actual Actual Actual Actual Actual Actual Actual Actual Budget Actual Expenditures:

Projects:

Street Improvements $0 $56,440 $881,593 $1,058,939 $523,150 $1,674,062 $1,129,467 $1,917,090 $7,894,759 $3,132,267 Storm Drain Improvements 0 0 0 434,613 14,638 35,325 304,519 45,997 141,072 141,072 Transfer to Measure A Projects 0 0 0 958,744 0 0 0 0 0 0 Transfer to Infrastructure Projects 0 0 0 0 01,385,864 0 0 0 0 State of California District Tax 0 000000000
Administrative Fee 0 6,64700000000
Total Expenditures $0 $63,087 $881,593 $2,452,296 $537,788 $3,095,251 $1,433,986 $1,963,087 $8,035,831 $3,273,339 Fund Balance $251,184 $1,879,332 $2,903,606 $2,101,292 $3,751,162 $2,938,455 $3,936,671 $4,464,348 $3,599,388 *Measure I was effective April 1, 2017.
$251
$1,681
$1,874
$1,614
$2,179 $2,275 $2,358 $2,346 $2,257
$0 $10 $32 $36 $8 $7 $74 $144 $151 $0 $56
$882
$2,018
$523
$3,060
$1,129
$1,917
$3,132
$0 $0 $0
$435
$15 $35
$305
$46 $141 $0 $7 $0 $0 $0 $0 $0 $0 $0
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
2017 2018 2019 2020 2021 2022 2023 2024 2025
Thousands
Fiscal Year
Revenues and Expenditures
Sales Tax Interest Earnings and Other Street Improvements Storm Drain Improvements State Administrative Fees $251
$1,879
$2,904
$2,101
$3,751
$2,938
$3,937
$4,464
$3,599
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
$5,000
2017 2018 2019 2020 2021 2022 2023 2024 2025
Thousands
Fiscal Year
Fund Balance
Fund Balance
11 501
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Annual Comprehensive Financial Report
For Fiscal Year Ended
June 30, 2025
DEPARTMENT INFORMATION 107 FUND INFORMATION 183
City of Belmont, California

ANNUAL COMPREHENSIVE

FINANCIAL
REPORT
503

CI TY O F
To enrich the quality of life
for our community with the
services provided for a safe,
fulfilling and vibrant life.

We are celebrated for enhancing:
• Distinctive community character
• Easy mobility
• Natural beauty
• Thriving culture
• Thriving economy
www.belmont.gov
Mission
Vision
504

CITY OF BELMONT, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30, 2025
Prepared by

FINANCE DEPARTMENT
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Introductory
Section
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508

CITY OF BELMONT
Annual Comprehensive Financial Report
For the Year Ended June 30, 2025
Table of Contents Page
INTRODUCTORY SECTION:

Table of Contents ..................................................................................................................................................... i Letter of Transmittal .............................................................................................................................................. vii Organizational Chart and Principal Officials ............................................................................................... viii Certificate of Achievement for Excellence in Financial Reporting ........................................................................ xv FINANCIAL SECTION:

Independent Auditor’s Report ............................................................................................................................... 1 Management’s Discussion and Analysis ................................................................................................................ 5 Basic Financial Statements:

Government Wide Financial Statements:

Statement of Net Position .................................................................................................................... 22 Statement of Activities ......................................................................................................................... 23 Fund Financial Statements:

Governmental Funds:

Balance Sheet ................................................................................................................................... 26 Reconciliation of the Governmental Funds – Balance Sheet with the Statement of Net Position ............................................................................................................. 27 Statement of Revenues, Expenditures, and Changes in Fund Balances ........................................... 28 Reconciliation of the Net Change in Fund Balances – Total Governmental Funds with the Statements of Activities ....................................................................................... 29 Statement of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual:

General Fund ................................................................................................................................. 30 Belmont Fire Protection District Special Revenue Fund ............................................................... 31 Development Services Special Revenue Fund .............................................................................. 32 Affordable Housing Special Revenue Fund ................................................................................... 33 i
509

CITY OF BELMONT
Annual Comprehensive Financial Report
For the Year Ended June 30, 2025
Table of Contents Page
FINANCIAL SECTION (Continued):

Proprietary Funds:

Statement of Net Position ................................................................................................................ 36 Statement of Revenues, Expenses and Changes in Fund Net Position ............................................ 37 Statement of Cash Flows .................................................................................................................. 38 Fiduciary Funds:

Statement of Fiduciary Net Position ................................................................................................. 40 Statement of Changes in Net Position .............................................................................................. 41 Notes to Basic Financial Statements ........................................................................................................... 43 Required Supplementary Information:

Cost Sharing Multiple-Employer Defined Benefit Pension Plan – Last 10 Years:

Schedule of Proportionate Share of the Net Pension Liability City Safety Plan and City Miscellaneous Plan ............................................................................... 102 Schedule of Contributions – City Safety Plan and City Miscellaneous Plan .................................... 104 City Other Post Employment Benefits – Schedule of Changes in the City’s Net OPEB Liability and Related Ratios ................................................................................................................ 106 City Other Post Employment Benefits – Schedule of Contributions ......................................................... 107 District Other Post Employment Benefits – Schedule of Changes in the Belmont Fire Protection District’s Net OPEB Liability and Related Ratios ................................................................................. 108 District Other Post Employment Benefits – Schedule of Contributions ................................................... 109 ii
510

CITY OF BELMONT
Annual Comprehensive Financial Report
For the Year Ended June 30, 2025
Table of Contents Page
FINANCIAL SECTION (Continued):

Supplemental Information:

General Fund:

Combining Schedule of Revenues, Expenditures and Changes In Fund Balances ....................................................................................................................... 113 Combining Schedule of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual ........................................................................................ 114 Non-major Governmental Funds:

Combining Balance Sheet .............................................................................................................. 120 Combining Statement of Revenues, Expenditures and Changes In Fund Balances ....................................................................................................................... 126 Combining Schedule of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual ...................................................................................... 132 Non-Major Enterprise Funds:

Combining Statement of Net Position ........................................................................................... 142 Combining Statement of Revenues, Expenses and Changes in Fund Net Position ....................... 143 Combining Statement of Cash Flows ............................................................................................. 144 Internal Service Funds:

Combining Statement of Net Position ........................................................................................... 146 Combining Statement of Revenues, Expenses and Changes in Fund Net Position ....................... 147 Combining Statement of Cash Flows ............................................................................................. 148 iii
511

CITY OF BELMONT
Annual Comprehensive Financial Report
For the Year Ended June 30, 2025
Table of Contents Page
STATISTICAL SECTION:

Financial Trends:

Net Position by Component – Last Ten Fiscal Years .............................................................................. 153 Changes in Net Position – Last Ten Fiscal Years ..................................................................................... 154 Fund Balances of Governmental Funds – Last Ten Fiscal Years ............................................................. 158 Changes in Fund Balance of Governmental Funds – Last Ten Fiscal Years ............................................ 160 Revenue Capacity:

Assessed Value of Taxable Property – Last Ten Fiscal Years .................................................................. 162 Direct and Overlapping Property Tax Rates – Last Ten Fiscal Years ...................................................... 163 Principal Property Tax Payers – Current Year and Nine Years Ago ........................................................ 164 Property Tax Levies and Collections – Last Ten Fiscal Years .................................................................. 165 Debt Capacity:

Ratio of Outstanding Debt by Type – Last Ten Fiscal Years ................................................................... 166 Computation of Direct and Overlapping Debt ....................................................................................... 167 Computation of Legal Bonded Debt Margin .......................................................................................... 168 Bond Coverage:

Continuing Disclosure
2016 Sewer Revenue and Sewer Refunding Revenue Bonds
(2001 and 2006 Sewer Revenue Bonds) and 2019 Sewer Revenue Bonds – Last Ten Fiscal Years ................................................................................................................. 169 2018 and 2022 Sewer Treatment Facility Revenue Bonds – Last Ten Fiscal Years ........................... 170 Successor Agency (Including Former Redevelopment Agency Bonds) – Last Ten Fiscal Years ......... 171 Sewer System Summary Statement of Historical Revenue and Expenditures .................................. 172 Ten Largest Users of the Sewer System ............................................................................................ 173 iv
512

CITY OF BELMONT
Annual Comprehensive Financial Report
For the Year Ended June 30, 2025
Table of Contents Page
STATISTICAL SECTION: (Continued)
Number of Sewer Service Users ....................................................................................................... 173 Sewer Service Revenues by Class of User ......................................................................................... 173 Schedule of Budgeted and Projected Sewer Treatment Facility Charges and Associated Debt Service ....................................................................................................... 174 Community Facilities District No. 2000-1 Continuing Disclosures .................................................... 175 Demographic and Economic Information:

Demographic and Economic Statistics – Last Ten Fiscal Years ............................................................... 176 Principal Employers – Current Year and Ten Years Ago ......................................................................... 177 Operating Information:

Full-Time Equivalent City Government Employees by Function – Last Ten Fiscal Years ......................................................................................................................... 178 Operating Indicators by Function/Program – Last Ten Fiscal Years ....................................................... 180 Capital Asset Statistics by Function/Program – Last Ten Fiscal Years .................................................... 182 Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards .............................................................................................................. 185 v
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vii
Message from the Finance Director
November 7, 2025
To the Members of the City Council and Citizens of the City of Belmont, California:

We are pleased to present the City of Belmont’s Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2025. The format and content of this ACFR complies with the principles and standards of accounting and financial reporting adopted by the Governmental Accounting Standards Board (GASB), and contains all information needed for readers to gain an understanding of the City’s financial activities.

Responsibility for both the accuracy of the data, and completeness and fairness of the presentation, including all disclosures, rests with the management of the City.

The City’s financial statements have been audited by Maze & Associates, a firm of licensed certified public accountants. The goal of the audit is to obtain reasonable assurance that the financial statements are free of material misstatement. The audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditors concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified opinion on the City’s basic financial statements as of and for the year ended June 30, 2025. The independent auditors’ report is presented as the first component of the financial section of this report.

The following pages in this transmittal are intended to summarize and highlight the City’s financial results for the fiscal year ended June 30, 2025, and complement the Management’s Discussion & Analysis (MD&A) and basic financial statements.

The MD&A, which provides a more comprehensive look at the City’s financial results, includes a narrative introduction, overview, and analysis. Readers are encouraged to read the MD&A, which can be found immediately following the independent auditor’s report in the financial section of the ACFR, along with accompanying basic financial statements.

The preparation of this ACFR was made possible by the dedicated service of the entire staff of the Finance Department. The dedication and cooperation of staff in all City departments in the administration of financial policies throughout the year is also appreciated. We also acknowledge the thorough and professional manner in which our independent auditors, Maze & Associates, conducted their audit.

Respectfully submitted,
Grace Castaneda
Finance Director
One Twin Pines Lane | Belmont, CA 94002 | 650-595-7408 | belmont.gov 515
viii
About City of Belmont
The City of Belmont, incorporated in 1926, is located on the San Francisco Peninsula, midway between San Francisco and San Jose.

The City of Belmont operates under the council-manager form of government. Policy-making and legislative authority are vested in a governing council consisting of the mayor and four other members. The City Council is responsible, amongst other things, for passing ordinances, adopting the budget, appointing commissions, and hiring both the City Manager and City Attorney. The City Manager is responsible for carrying out the policies and ordinances of the Council, for overseeing day-to-day operations of the City, and for appointing the heads of the various departments.

The City provides a full range of services including police and fire protection; sanitation services; construction and maintenance of highways, streets, and infrastructure; community development; parks; recreational activities; and general government activities.

Organizational Chart and Principal Officials
516
ix
General Fund Results
Governmental Fund Results
$17.1
$21.0
$30.5
$35.5 $38.0
FY 2021 FY 2022 FY 2023 FY 2024 FY 2025
General Fund Balance Trends
(in millions)*

63.5%

6.1%

3.2%

19.0%

8.2%
Revenues
Taxes
License and Permit
Intergovnmental
Charges for
current services
Other

11.0%

42.7%

3.5%

10.8%

13.8%

18.2%
Expenditures
General
Government
Public Safety
Highways & Streets
Culture &
Recreation
Urban
Redevelopment
Other
The City continues to build on prior year successes of
stabilizing operations and restoring its General Fund
balance.

Fiscal year (FY) 2024-25 actual revenue exceeded the final budget amount by $0.5 million to $35.0 million. Tax
revenues were $25.9 million, including $2.3 million of
Measure I revenue.

FY 2024-25 operating expenditures were managed and
below the final budget by $1.3 million primarily due
vacancy savings through unfilled positions.

The total General Fund balance experienced an uptick to $38.0 million, an increase of $2.5 million from the prior year. It was primarily due to an increase in property tax revenue resulting from an approximately 6.3% increase in taxable assessed property values for the year.

Looking forward, the FY 2025-26 adopted budget in the
General Fund, excluding Measure I, is $34.3 million
including $5.5 million transfer out to support other funds.

The adopted budget projects a reserve balance of $32.5
million. This meets the target reserve policy set by City Council, which is 33% of total General Fund (excluding
Measure I) operating expenditure budget.
*includes Measure I
517
x
Enterprise Fund Results
Budget Process and Control
The City’s budget is based upon the principle of cost centers (i.e., fund, departments, and service area) and all funds are annually appropriated. Each department submits annual expenditure plans and revenue estimates to the City Council for approval.

Budgetary control is established at each individual fund. The City Manager is authorized to transfer appropriation between any departments. Any revisions which increase the total appropriations of any fund must be approved by the City Council. Unencumbered operating appropriations lapse at year end, while capital improvement appropriations are carried over to subsequent years until projects are completed.

Long-Term Obligations
At the end of FY 2024-25, the City had a total of $68.7 million in long-term obligations. The existing long-term obligations do not address deferred capital maintenance and retirement obligations, which are discussed in greater detail below.

Cash Management
Cash temporarily idle during the year was invested with the State Treasurer’s Local Agency Investment Fund (LAIF).

Risk Management
Since 2004, the City has purchased primary workers’ compensation insurance with no deductible. All claims from that date are covered 100% by the carrier. Prior to 2004, the City maintained a self-insurance program for workers’ compensation. The City also purchases commercial insurance against general liability and pollution with a self-insured retention at $250,000.

Internal Control
Management is responsible for the completeness and reliability of the information contained in this report, based upon a comprehensive framework of internal control. Because the cost of internal controls should not $49.5 $56.0 $62.9 $72.7 $82.2
FY 2021 FY 2022 FY 2023 FY 2024 FY 2025
Enterprise Fund Net Position
(in millions)
FY 2024-25 operating revenues of $21.1 million
were 2.3%, or $0.5 million, lowerthan last year.

It was primarily due to a decrease in the
collection of sewer connection fees compared
to prior year.

FY 2024-25 operating expenses were $12.6
million, a $0.4 million increase compared to
last year mainly due to operational and
inflationary cost increases.

Looking forward, the FY 2025-26 adopted
budget includes $17.4 million for operations
and $6.1 million in sewer system capital
improvements.
518
xi
exceed anticipated benefits, the objective is to provide reasonable, rather than absolute, assurance that the financial statements are free of any material misstatement.

Long-Term Financial Planning & Major Initiatives
The City has long been fiscally responsible with a focus on long-term sustainability. It provides an extended financial projection as part of the budget process, allowing the City to be proactive in seeking both short-term and long-term budget solutions.

The City Council annually performs a review of the City’s strategic plan, including priorities and policy modifications. This year’s collaborative and productive discussions to address Belmont’s critical issues generated five Strategic Focus Areas to build on the City’s continued momentum and success. A unified vision for the future uses the following City Council focus areas as its roadmap for action over the next 3-5 years, as highlighted below.

Public Safety
Infrastructure and Mobility Economic Development & Housing Fiscal & Organizational Stability
Quality of Life
• • • Strategic Focus Areas • • •
519
xii
Major initiatives under these five Strategic Focus Areas include:
• Maintaining service levels and addressing succession planning. • Enhancing funding to support afterschool and senior enrichment programs and events. • Addressing affordable housing projects and major development projects review, including comprehensive Harbor Industrial Area annexation analysis. • Enhancing funding for street improvements.
• Supporting public safety via investments in investigative technology and Mobile Command Center. • Supporting and delivering diversity, equity, and inclusion programs, including training and cultural events.

Capital and Retirement Obligations
The chart below summarizes the City’s capital and retirement obligations as of June 30, 2025. (000's)
Synethic Turf Lease Sewer Collection Bonds Sewer Treatment Bonds Pensions OPEB 520
xiii
Facts and Statistics
2025 Population
28,206

FTE Employees
City – 144.75

Area

4.61 Sq. Miles
Parks & Recreation
Recreation Class Participants: 87,420 
Developed Parks: 15
Acres of Open Space: 317.00
Acres of Developed Parks: 59.8 
Permit Center
Permits Issued: 1,312 
Inspections Performed: 9,018 
Public Safety
Police
Calls for Service – 19,025 
Parking Violations – 958 
Physical Arrests – 436 
Traffic Violations – 821 
Fire
Calls for Service – 2,729 
Plan Checks – 237 
Annual Fire Inspections – 420 
Public Works
Sewer
Miles of Sewer – 85
Sewer Connections – 7,693
Storm Drains
Miles of Storm Drains – 27
Storm Drain Inlets – 1,500
Streets
Miles of Streets – 70
Streetlights – 1,465
Traffic Signals – 18
521
xiv
Contact Us:

Finance Director
Finance Department
Belmont City Hall
One Twin Pines Lane, Suite 320
Belmont, CA 94002
Phone (650) 595-7433
[email protected]
Request for Information
This financial report is designed to provide a general overview of the City of Belmont’s finances for all those interested.

Questions concerning any information provided in this report should be addressed to the Finance Director or for additional information regarding the City’s financial activities, including past award winning Annual Comprehensive Financial Reports, transparency efforts and best practices please visit the City at www.belmont.gov.
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Financial
Section
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INDEPENDENT AUDITOR’S REPORT
To the Honorable Members of the City Council
City of Belmont, California
Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Belmont, California (City), as of and for the year ended June 30, 2025, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the Table of Contents.

In our opinion, based on our audit and report of the other auditors, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City as of June 30, 2025, and the respective changes in financial position and, where applicable, cash flows thereof and the respective budgetary comparisons listed in the Table of Contents as part of the basic financial statements for the year then ended in accordance with accounting principles generally accepted in the United States of America.

We did not audit the financial statements of San Mateo Consolidated Fire Department (SMC Fire) as of and for the year ended June 30, 2025, related to the calculation of the Investment in Joint Venture. The Investment in this Joint Venture represents 2%, 3% and 0%, respectively, of the assets, net position and revenues of the governmental activities. The financial statements of SMC Fire were audited by other auditors whose report has been furnished to us, and our opinion, insofar as it relates to the calculation of the Investment in Joint Venture, is based solely on the report of the other auditors.

Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirement relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. 1 527
Responsibility of Management for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.

Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with generally accepted auditing standards and Government Auditing Standards, we:
• Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed.
• Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
• Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
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Change in Accounting Principle
Management adopted the provisions of Governmental Accounting Standards Board Statement No. 101, Compensated Absences, which became effective during the year ended June 30, 2025 and required the restatement of net position as discussed in Note 9G to the financial statements.

The change in accounting principle does not constitute a modification to our opinions.

Emphasis of a Matter
Management restated the beginning balance of unavailable revenue that should have been recognized in the Statement of Activities during the year ended June 30, 2024. The restatements is discussed in Note 9G to the financial statements.

The emphasis of this matter does not constitute a modification to our opinions.

Required Supplementary Information
Accounting principles generally accepted in the United States of America require that Management’s Discussion and Analysis and other Required Supplementary Information as listed in the Table of Contents be presented to supplement the basic financial statements. Such information is the responsibility of management, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The accompanying Supplementary Information, as listed in the Table of Contents, is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the Supplementary Information is fairly stated, in all material respects, in relation to the basic financial statements as a whole.
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Other Information
Management is responsible for the other information included in the annual report. The other information comprises the Introductory Section and Statistical Section listed in the Table of Contents, but does not include the basic financial statements and our auditor’s report thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon.

In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exits, we are required to describe it in our report.

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated November 7, 2025 on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.

Pleasant Hill, California
November 7, 2025
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CITY OF BELMONT
MANAGEMENT’S DISCUSSION AND ANALYSIS
Management of the City of Belmont offers this narrative overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2025, to make the financial statements clearer and more understandable. We encourage readers to consider the information presented here in conjunction with the additional information furnished in our letter of transmittal.

FINANCIAL HIGHLIGHTS
• The City’s total assets increased by $19.8 million to $376.3 million, of which $223.8 million represented governmental assets and $152.5 million represented business-type assets. • The City’s total liabilities decreased by $7.3 million to $133.5 million, of which $61.8 million were governmental liabilities and $71.7 million were business-type liabilities. • The City’s total net position increased by $23.8 million (10.4%) from the prior year. On June 30, 2025, net position totaled $251.9 million, comprised of $169.7 million for governmental activities and $82.2 million for business-type activities. Of the $251.9 million net position, $67.9 million is unrestricted which can be used to meet the City’s ongoing obligations. • City-wide revenues were $97.9 million, of which $73.6 million were generated by governmental activities and $24.3 million were generated by business-type activities. • City-wide expenses were $76.7 million, of which $60.7 million were incurred by governmental activities and $16.0 million were incurred by business-type activities. • Governmental Fund balances increased by $7.5 million (8.1%) to $100.1 million. Of this amount, $31.6 million, or 31.6%, was unassigned fund balance and available for spending at the City’s discretion.
• Governmental Fund revenues were $72.7 million, a decrease of $0.5 million (-0.7%) from prior fiscal year.
• Governmental Fund expenditures increased by $6.3 million (10.3%) to $68.1 million, from prior year.
• Enterprise Fund net position increased by $9.5 million (13.1%) to $82.2 million. Of this amount, $47.5 million (57.8%) was unrestricted net position and available for spending at the City’s discretion.
• Enterprise Fund operating revenues were $21.1 million, a decrease of $0.5 million (-2.3%) compared to $21.6 million in the prior year.
• Enterprise Fund operating expenses were $12.6 million, an increase of $0.4 million (3.2%) compared to the prior fiscal year.
• Net pension liability decreased by $1.7 million (-3.4%) from prior year to $47.3 million. The decrease was primarily due to favorable returns on CalPERS investments as of the measurement date on June 30, 2024.
• The City has implemented GASB 101, Compensated Absences, effective for the fiscal year ended June 30, 2025. The implementation requires the restatement of balances of compensated absences as of July 1, 2024.
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OVERVIEW OF THE FINANCIAL STATEMENTS
The Annual Comprehensive Financial Report is composed of the following:

1. Introductory section, which includes the Transmittal Letter and general information,

2. Management’s Discussion and Analysis (this part),

3. Basic Financial Statements, which include the Government-wide and the Fund financial statements along with the Notes to these financial statements,

4. Required and Other Supplemental Information, and

5. Statistical information.

The Basic Financial Statements
The Basic Financial Statements consist of the Government-wide Financial Statements and the Fund Financial Statements. These two sets of financial statements provide two different views of the City’s financial activities and financial position—long-term and short-term.

The Government-wide Financial Statements provide a longer-term view of the City’s activities as a whole and consist of the Statement of Net Position and the Statement of Activities. The Statement of Net Position provides information about the financial position of the City as a whole, including all its capital assets and long-term liabilities on the full accrual basis, similar to that used by corporations. The Statement of Activities provides information about all of the City’s revenues and expenses, also on the full accrual basis, with the emphasis on measuring net revenues or expenses of each of the City’s programs. The Statement of Activities explains in detail the change in Net Position for the year.

The Fund Financial Statements report the City’s operations in more detail than the City-wide statement and focus primarily on the short-term activities of the City’s General Fund and other Major Funds. The Fund Financial Statements measure only current revenues and expenditures, current assets, liabilities, and fund balances; they exclude capital assets, long-term debt, and other long-term amounts.

Major Funds account for the major financial activities of the City and are presented individually, while the activities of Non-major Funds are presented in summary, with subordinate schedules presenting the detail for each of these other funds. Major Funds are explained below.

The Government-wide Financial Statements
The Government-wide Financial Statements provide a broad view of the City’s finances in a manner like private-sector businesses and consist of the Statement of Net Position and the Statement of Activities.

The Statement of Net Position provides information about the financial position of the City as a whole, including its capital assets plus deferred outflow of resources and long-term liabilities plus deferred inflow of resources, with the difference reported as net position. Over time, increase or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating.
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The Statement of Activities presentsinformation on all City’s revenues and expenses with the emphasis on measuring net revenues or expenses of each of the City’s programs. The statement explains in detail how the City’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., loans receivable, and earned but unused compensated leaves).

The City’s basic services are considered governmental activities, including general government, public safety, highways and streets, culture and recreation, urban development, and miscellaneous. These services are supported by taxes, intergovernmental revenues, and program revenues, such as user fees and charges. The City’s governmental activities also include the activities of two separate legal entities:
the Belmont Fire Protection District and the Belmont Joint Powers Financing Authority. The City is financially accountable for these entities.

The City’s enterprise activities are reported as Business-type activities, including sewer, storm drainage, and solid waste. Unlike governmental services, these activities are supported by charges paid by users based on the amount of service they use and are intended to recover all costs.

Fund Financial Statements
A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City of Belmont, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All funds at the City of Belmont can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds.

The Fund financial statements provide detailed information about each of the City’s significant funds, called Major Funds. Each Major Fund is presented individually with all Non-major Funds summarized and presented in a single column. Subordinate schedules present the detail of these non-major funds.

Major Funds present the major activities of the City for the year. The General Fund is always a Major Fund, and other funds may change from year to year because of changes in the pattern of the City’s activities.

The City has four Major Governmental Funds in fiscal year 2024-25 in addition to the General Fund, which is discussed in the Analysis of Major Governmental Funds section.

Comparisons of Budget and Actual financial information are presented for the General Fund and other Major governmental funds.

Governmental funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government’s near-term financing requirements.
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Governmental fund financial statements are prepared on the modified accrual basis, which means they measure only current financial resources and uses. Capital assets and other long-lived assets, along with long-term liabilities, are presented only in the government-wide financial statements.

The focus of governmental funds is narrower than that of government-wide financial statements, so it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the City’s near-term financing decisions.

Because governmental fund financial statements do not encompass the long-term focus of the government-wide statements, additional information is provided that reconciles the governmental fund financial statements to the government-wide statements explaining the relationship (or differences) between them.

Proprietary funds. The City maintains two different types of proprietary funds, enterprise funds and internal service funds. Enterprise funds are used to report the same functions presented as businesstype activities in the government-wide financial statements. The City uses enterprise funds to account for its sewer, storm drain, and solid waste activities. Internal service funds are an accounting device used to accumulate and allocate costs internally among the City’s various functions. The City uses internal service funds to account for its workers compensation, liability, vision, benefit prefunding, fleet and equipment, facilities management, and other such services. Because these services predominantly benefit governmental rather than business-type functions, they have been included within governmental activities in the government-wide financial statements.

Proprietary fund financial statements provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for Sewer, Storm Drainage, and Solid Waste activities. Internal service funds are combined into a single, aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report.

Fiduciary funds. The City acts as an agent on behalf of outside parties, holding funds collected, and disbursing them as directed or required. The City’s fiduciary activities are reported in the separate Statement of Fiduciary Net Position and Statement of Changes in Net Position. These activities are excluded from the City’s other financial statements because the City cannot use these assets to finance its own operations.

Notes to the Financial Statements
The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found following the fund financial statements in this report.

Other Information
Information concerning the City’s pension and other post-employment benefits can be found in Required Supplementary Information Section. The combining statements and schedules in connection 8 534
with General Fund, non-major Governmental Funds, and Internal Service Funds can be found in the Supplemental information section of this report.

GOVERNMENT-WIDE FINANCIAL ANALYSIS
Governmental Activities
Tables 1 and 2 present the net position and changes in net position of the City’s governmental activities on June 30, 2024, and June 30, 2025.

Table 1
Governmental Activities Net Position on June 30
(in thousands)
2025 2024*
Current and other assets $134,872 $124,922
Capital assets 88,975 86,384
Total assets 223,847 211,306
Deferred outflows related to pension 13,430 17,761
Deferred outflows related to OPEB 3,029 3,570
Total deferred outflows 16,459 21,331
Current and other liabilities 5,885 8,809
Long-term obligations outstanding 55,928 57,859
Total liabilities 61,813 66,668
Deferred inflows related to leases 6,419 6,955
Deferred inflows related to pension 1,628 2,261
Deferred inflows related to OPEB 773 1,325
Total deferred inflows 8,820 10,541
Net position:

Net investment in capital assets 86,077 83,035
Restricted 63,121 50,594
Unrestricted 20,475 21,799
Total net position $169,673 $158,928*
* Restated for the correction to the prior year unearned revenue, but not restated for the implementation of GASB Statement 101 discussed in Note 9G. 9 535
Table 2
Changes in Governmental Activities Net Position
for the year ended June 30
(in thousands)
2025 2024
Revenues
Program revenues:

Charges for services $19,965 $18,937
Operating grants and contributions 3,513 3,646
Capital grants and contributions 987 4,032
Total program revenues 24,465 26,615
General revenues:

Taxes:

Property taxes 27,929 26,680
Sales taxes 6,431 6,452
Transient occupancy taxes 4,092 4,283
Franchise taxes 1,648 1,583
Motor vehicle in lieu 3,638 2,868
Investment earnings and Other 5,395 5,218
Transfers (1,170)
Total general revenues & transfers 47,963 47,084
Total revenues and transfers 72,428 73,699
Expenses
General government 9,944 7,896
Public safety 30,069 29,969
Highways and streets 3,429 4,561
Culture and recreation 7,214 6,971
Urban redevelopment 10,006 7,669
Interest on long-term debt 71 84
Total expenses 60,733 57,150
Change in net position 11,695 16,549
Net position-Beginning 157,978* 142,379
Net position-Ending $169,673 $158,928*
* 2024 restated for the correction to the prior year unearned revenue, but July 1, 2024 balance not restated for the implementation of GASB Statement 101 discussed in Note 9G. 10 536
Net Position
At the close of FY 2024-25, the governmental activities’ total assets and deferred outflows of resources exceeded total liabilities and deferred inflows of resources by $169.7 million, a 7.4% increase from the prior year.

The largest portion, approximately $86.1 million, or 50.7%, of the City’s net position represents its investment in infrastructure and other capital assets (e.g., land, buildings, machinery, equipment, and infrastructure), net of amounts borrowed to finance that investment. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending.

Although the City's investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources since the capital assets themselves cannot be liquidated for these liabilities.

An additional portion of the City’s governmental net position of $63.1 million, or 38.8%, represents resources that are subject to external restrictions and may only be used to construct specified capital projects, debt service, or special revenue programs. The restrictions on these funds were placed by outsiders and cannot be changed by the City.

The remaining $20.5 million, or 12.1%, of net position is unrestricted. Unrestricted net position can, when positive, be used to finance day-to-day operations without constraints established by debt covenants or other legal requirements or restrictions.

Changes in Net Position
The Statement of Activities provides information about all the City’s revenues and all its expenses, with the emphasis on measuring net revenues or expenses of each of the City’s programs. The Statement of Activities explains in detail the change in Net Position for the year. At the close of FY 2024-25, the City’s governmental activities net position increased by $11.7 million.

Governmental activities revenue decreased by $1.3 million to $72.4 million. Program revenues such as charges for services, operating grants and contributions, and capital grants and contributions are generated from or restricted to each activity. Total program revenues decreased by $2.2 million (-8.1%) to $24.5 million compared to prior year primarily due to a decrease in capital grants and contributions received. General revenues increased by $0.9 million (1.9%), compared to prior year. Tax revenues for the year increase primarily due to increased property taxes revenue, which grew as a result of approximately 6.3% increase in taxable property values.

The governmental activities expenses were $60.7 million, an increase of $3.6 million from the prior year primarily due to an increase in general government activities and urban redevelopment expenditures, which includes a loss of $1.6 million on the sale of LINC-Hill Street property to support a 100% affordable housing project.
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The following charts display the City’s governmental activities revenues by source, as well as expenses and program revenues for fiscal year 2024-25.

27.6%

4.9%

1.4%

55.4%

5.0%

5.8%
Revenues by Source
Governmental Activities
Charges for services Operating grants and contributions Capital grants and contributions Taxes
Motor vehicle in lieu Investment earnings and Other
$0
$5,000
$10,000
$15,000
$20,000
$25,000
$30,000
$35,000
General
government
Public safety Highways and
streets
Culture and
recreation
Urban
redevelopment
Expenses and Program Revenues
Governmental Activities
(in thousands)
Program Revenues Expenses
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Business-Type Activities
The City’s business-type activities include sewer collection, sewer connection fees, sewer treatment, storm drainage, and solid waste. Tables 3 and 4 present the net position and changes in net position of the City’s business-type activities on June 30, 2024 and June 30, 2025.

Table 3
Business-Type Net Position on June 30
(in thousands)
2025 2024
Current and other assets $116,498 $112,054
Capital assets 36,002 33,124
Total assets 152,500 145,178
Deferred outflows related to pension 1,312 1,675
Deferred outflows related to OPEB 300 321
Total deferred outflows 1,612 1,996
Current and other liabilities 3,610 3,435
Long-term debt outstanding 68,113 70,727
Total liabilities 71,723 74,162
Deferred inflows related to pension 133 235
Deferred inflows related to OPEB 77 119
Total deferred inflows 210 354
Net position:

Net investment in capital assets 2,476 288
Restricted 32,238 28,834
Unrestricted 47,465 43,535
Total net position $82,179 $72,657
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Table 4
Business-Type Activities
Changes in Net Position for the year ended June 30
(in Thousands)
2025 2024
Revenues
Program Revenues:

Charges for Services $21,070 $21,581
Operating Grants and Contributions - 103
Total program revenues 21,070 21,684
General Revenues:

Investment earnings and Other 3,302 2,873
Transfers 1,170 396
Total general revenues and Transfers 4,472 3,269
Expenses
Sewer Collections 10,939 12,546
Sewer Treatment 2,292 *
Storm Drainage 2,272 2,114
Solid Waste 517 550
Total expenses 16,020 15,210
Change in net position 9,522 9,743
Net position-Beginning 72,657 62,914
Net position-Ending $82,179 $72,657
*Sewer Treatment activities were separated out as its own fund from Sewer Collections beginning fiscal year 2024-25.

Net Position
At the close of the fiscal year, the net position of business-type activities was $82.2 million, an increase of $9.5 million (13.1%) from the prior fiscal year. $2.5 million or 3.0% of net position was invested in capital assets, net of related debt, $32.2 million or 39.2% is restricted for sewer treatment facility activities, and $47.5 million or 57.8% are unrestricted and available for the operations of the proprietary funds.
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Changes in Net Position
Total program revenues of business-type activities were $21.1 million in fiscal year 2024-25, a decrease of $0.5 million over the prior year primarily due to a decrease in sewer connection fee collections. Total expenses were $16.0 million, an increase of $0.8 million over the prior year primarily due to operational and inflationary cost increases.

GOVERNMENTAL FUNDS FINANCIAL ANAYLSIS
Table 5 below summarizes the Governmental Funds’ balances.

Table 5
Financial Highlights at Fund Level for the year ended June 30 (in thousands)
2025 2024
Total assets $114,183 $106,126
Total liabilities 3,143 6,547
Deferred Inflows 10,919 6,954
Total fund balances 100,121 92,624
Total revenues 72,658 73,225
Total expenditures 68,051 61,710
Total other financing sources (uses) 2,889 1,956
As of June 30, 2025, the City’s Governmental Funds reported combined ending fund balances of $100.1 million, an increase of $7.5 million, or 8.1%, from the prior year, primarily due to an increase in Belmont Fire Protection District’s fund balance. In comparison with the prior year, revenues decreased by $0.5 million to $72.7 million, and expenditures increased by $6.3 million to $68.1 million primarily due to an increase in activity of capital improvement projects.

Analysis of Major Governmental Funds
General Fund
As the principal operating fund of the City, the General Fund, by definition, is a Major Governmental Fund. The General Fund accounted for 48.1% of total governmental revenues and 37.8% of total expenditures. City basic services are accounted for in the General Fund, including public safety, general government, culture and recreation, and community development.

At the end of the current fiscal year, the total fund balance of General Fund increased by $2.5 million to $38.0 million, representing a 7.2% increase over the prior year. The fund balance is classified as follows: $1.4 million non-spendable, $5.0 million restricted, including $3.6 million restricted for Measure I infrastructure, and $31.6 million unassigned. The unassigned fund balance of $31.6 million represents 83.1% of the total fund balance. Since the unassigned fund balance represents available 15 541
liquid resources for spending at the City’s discretion, it may be useful to compare the unassigned fund balance to total fund expenditures. The City’s unassigned fund balance represents 122.8%, or equates to approximately 448 days, of total General Fund expenditures (excluding transfers out) for the year.

The City’s General Fund revenues totaled $35.0 million, an increase of $0.5 million, or 1.4%, compared to the prior year. This increase was mainly due to a $1.1 million increase in property tax revenues primarily due to approximately 6.3% increase in taxable assessed property values.

General Fund expenditures increased by $1.5 million, or 6.2%, to $25.7 million. This is primarily due to $1.0 million increase in general government expenditures through filling of vacancies and contracted salary increases, as well as a $0.5 million increase in culture and recreation expenditures due to higher costs in increased water rates and more activities in tree trimming during the fiscal year.

General Fund Budgetary Highlights
The fiscal year 2024-25 adopted budget for General Fund expenditures amounted to $26.6 million, excluding $8.3 million transfers out. The final budget amount was $27.1 million. General Fund revenues budget was adopted at $32.7 million, and the final budget amount was $34.4 million.

Overall expenditures were $1.3 million less than the final budget, mainly due to vacancy savings through unfilled positions. Overall revenues were more than the final budget by $0.5 million, mainly due to earnings generated from the use of money and property.

Belmont Fire Protection District Fund
The Belmont Fire Protection District Fund (the District) accounts for resources received by a special district, shown as a blended component unit, from the citizens of Belmont and the unincorporated Harbor Industrial Area to finance fire protection and suppression services. Since mid-January 2019, fire protection, fire prevention and emergency response services are provided to Belmont community by the San Mateo Consolidated Fire Department (SMC Fire) Joint Powers Authority (JPA).

As of June 30, 2025, the fund balance increased $5.6 million over the prior year to $31.5 million. Overall revenues increased by $0.8 million to $19.3 million. An increase of $0.8 million in tax revenues was primarily due to increased property tax revenue resulting from an approximately 6.3% increase in taxable assessed property values. Overall expenditures increased by $0.8 million over the prior year to $13.5 million, mainly due to the increase in member agency contributions for contracted fire services.

The District has a $14.8 million reserve set aside for replacing facilities.

Development Services Fund
The Development Services Fund is used to account for the Permit Center and Development Regulation Programs. This fund provides financial data for staff to track and determine if development fees are covering the direct and indirect cost of providing these services. State law allows for full recovery of these costs.
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As of June 30, 2025, the fund balance increased $0.8 million over the prior year to $2.8 million. Overall revenues increased by $0.9 million to $7.6 million, primarily due to an increase in development fees collected. Overall expenditures increased by $0.6 million over the prior year to $6.8 million mainly due to operational and inflationary cost increases.

Affordable Housing Fund
The Affordable Housing Fund is used to account for all housing operations of the City in its capacity as the Housing Successor Agency to the former Belmont Redevelopment Agency. Activities include asset property management, rental operations, and long range housing planning.

As of June 30, 2025, the fund balance decreased $2.0 million over the prior year to $4.0 million.

Overall revenue decreased by $0.2 million to $0.3 million. The decrease is mainly due to reduction in interest earned from investment of money and no grants received in fiscal year 2025. Overall expenditures decreased by $2.6 million to $1.3 million. The reduction is mainly due to a one-time $3.5 million loan to a 100% affordable housing project ROEM Housing in the prior fiscal year 2023-24, offset by a $1.0 million loan to LINC-Hill Street, LP, for a multi-family rental housing project in the current fiscal year.

Capital Improvement Projects Fund
The Capital Improvement Projects Fund is used to account for funding and expenditures for capital projects, with funding from various City funds, including Enterprise Funds, as well as other sources such as grant funding, contributions from other agencies, and other miscellaneous donations and contributions. Annually, this fund transfers construction-in-progress and completed projects back to Enterprise Funds as applicable.

As of June 30, 2025, the fund balance decreased $0.6 million over the prior year to $2.7 million.

Overall revenue including transfers from other funds as funding sources for capital projects was $11.1 million, an increase of $1.6 million over prior year. Total expenditures amounted to $11.7 million, an increase of $5.4 million compared to the prior year primarily due to increased activities in capital improvement projects.

Analysis of the Enterprise Funds
Sewer Collections
Compared to the prior year, operating revenues decreased $1.0 million to $15.7 million. This was primarily due to the separation of sewer connection fees as its own enterprise fund.

Operating expenses increased by $0.5 million to $9.7 million. Net position totaled $46.7 million, an increase of $6.4 million from the prior year. Of this amount, $46.5 million was unrestricted. The remaining net position was $0.2 million in net investment in capital assets, due to the recording of the current net book value of the capital assets, less the outstanding balance of debt issued to finance these assets.
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Sewer Treatment
Compared to the prior year, operating revenues were relatively unchanged at $3.1 million and operating expenses decreased $0.2 million to $0.1 million. Net position totaled $30.3 million, a $1.5 million increase compared to prior year, all of which is restricted for sewer treatment facility activities.

Sewer Connection Fees
This is a new enterprise fund for fiscal year 2024-25, that was combined with Sewer Collections in previous years. This fund is used to account for capacity-related costs to upsizing of the sewer collection system. As of June 30, 2025 operating revenue for the fund was $0.4 million. Net position totaled $1.9 million, all of which is restricted for sewer connection activities.

Storm Drainage Fund
This fund is used to account for the maintenance of the storm drain system and other activities related to the mandated National Pollution Discharge Elimination System (NPDES).

Storm drainage fund operating revenues, which consist primarily of NPDES storm drain charges and street sweeping charges, were relatively unchanged at $1.2 million. Operating expenses increased by $0.2 million to $2.3 million compared to prior year mainly due to operational and inflationary cost increases. Net position totaled $0.9 million, with $2.3 million invested in capital assets and a negative $1.4 million in unrestricted net position due to the recording of the net pension and OPEB liabilities and related deferred outflows/inflows of resources.

Solid Waste Fund
Compared to the prior year, both operating revenues and operating expenses were relatively flat at $0.6 million and $0.5 million, respectively. Net position was $2.4 million, which is unrestricted as to use.
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CAPITAL ASSETS
Table 6 presents the City’s capital assets on June 30, 2024 and June 30, 2025. Additional information can be found in Note 7 to the financial statements.

Table 6
Capital Assets on June 30
(in thousands)
2025 2024
Governmental Activities
Land $13,010 $13,010
Construction in progress 5,623 3,817
Buildings 36,973 37,986
Improvements other than buildings 5,603 5,603
Streets and infrastructure 84,799 80,259
Machinery and equipment 7,879 7,626
Vehicles 5,563 5,173
Subscription assets 687 774
Less accumulated depreciation (71,162) (67,864)
Totals $88,975 $86,384
Business-Type Activities
Land $15 $15
Construction in progress 3,956 634
Improvements other than buildings 59,921 58,250
Machinery and equipment 327 327
Less accumulated depreciation (28,217) (26,101)
Totals $36,002 $33,124
19 545

DEBT ADMINISTRATION
Table 7 summarizes the City’s long-term obligations on June 30, 2024 and June 30, 2025. Additional information on the City’s long-term debt can be found in Note 8 and Note 13 of the financial statement.

Table 7
Long Term Obligations on June 30
(in thousands)
2025 2024
Governmental Activities Debt:

Capital Lease:
2019 Synthetic Turf Installation project, 2%, due 2029 $2,847 $3,443 Subscription Based IT Arrangements 454 308
Subtotal Governmental Activities Debt 3,301 3,751
Business-type Activities Debt – Sewer Enterprise Funds:

Long-Term Bonds Payable:
2016 Sewer Refunding Revenue Bonds, 2%-5% due 2035 6,091 6,722 2016 Sewer Revenue Bonds, 2%-5% due 2046 15,299 15,423
2018 Sewer Treatment Revenue Bonds, 5% due 2048 21,732 22,252 2019 Sewer Collection Bonds, 5% due 2049 19,232 19,689
2022 Sewer Revenue Bonds, 2.15%, due 2033 3,017 3,742
Subtotal Business-type Activities Debt 65,371 67,829
Total Long-Term Obligations $68,672 $71,580
On June 30, 2025, the City had total long-term obligations outstanding at $68.7 million, excluding compensated absences, pension and OPEB liabilities. The reduction in debt over the prior year was mainly due to scheduled retirements that were made. A majority of the outstanding long-term debt is composed of bonds secured by specified revenue sources, e.g., sewer charges.

ECONOMIC OUTLOOK AND MAJOR INITIATIVES
The economy of the City and its major initiatives for the coming year are discussed in detail in the accompanying Transmittal Letter.

CONTACTING THE CITY’S FINANCIAL MANAGEMENT
This Annual Comprehensive Financial Report is intended to provide citizens, taxpayers, investors, and creditors with a general overview of the City’s finances. Questions about this Report should be directed to the Finance Department at One Twin Pines Lane, Suite 320, Belmont, CA 94002. Additional information about the City’s operations and activities can be obtained from the website at www.belmont.gov.
20 546

STATEMENT OF NET POSITION AND

STATEMENT OF ACTIVITIES
The Statement of Net Position and the Statement of Activities summarize the City’s financial activities and financial position. They are prepared on the same basis as is used by most businesses, which means they include all the City’s assets and deferred outflows of resources and all its liabilities and deferred inflows of resources, as well as all its revenues and expenses. This is known as the full accrual basis—the effect of all the City’s transactions is taken into account, regardless of whether or when cash changes hands, but all material internal transactions between City funds have been eliminated.

The City’s Governmental Activities include the activities of its General Fund, along with all its Special Revenue and Capital Projects Funds. Since the City’s Internal Service Funds service these funds, their activities are consolidated with Governmental Activities, after eliminating inter-fund transactions and balances. The City’s Business-type Activities include all its Enterprise Fund activities.

The Statement of Activities reports increases and decreases in the City’s net position. It is also prepared on the full accrual basis, which means it includes all the City’s revenues and all its expenses, regardless of when cash changes hands. This differs from the “modified accrual” basis used in the Fund financial statements, which reflect only current assets, current liabilities, current deferred outflows/inflows of resources, available revenues and measurable expenditures.

The format of the Statement of Activities presents the City’s expenses first, listed by program, and follows these with the expenses of its business-type activities. Program revenues—that is, revenues which are generated directly by these programs—are then deducted from program expenses to arrive at the net expense of each governmental and business-type program. The City’s general revenues are then listed in the Governmental Activities or Business-type Activities column, as appropriate, and the Change in Net Position is computed and reconciled with the Statement of Net Position.

Both these Statements include the financial activities of the City, the Belmont Fire Protection District and the Belmont Joint Powers Financing Authority, which are legally separate but are component units of the City because they are controlled by the City, which is financially accountable for the activities of these entities.

These financial statements along with the fund financial statements and footnotes are called Basic Financial Statements.
21 547

CITY OF BELMONT

STATEMENT OF NET POSITION
JUNE 30, 2025
Governmental Business-Type
Activities Activities Total
ASSETS
Cash and investments (Note 3) $109,035,314 $61,788,092 $170,823,406 Cash and investments with fiscal agent (Note 3) 6,921,122 6,921,122 Receivables:

Accounts 1,374,360 417,842 1,792,202
Interest 1,679,240 1,679,240
Due from other governmental agencies 2,363,804 112,723 2,476,527 Notes receivable (Note 5) 7,552,815 7,552,815
Leases (Note 10) 7,112,052 7,112,052
Prepaids and other assets 460,139 460,139
Internal balances (Note 4C) 418,344 (418,344)
Land held for resale (Note 6) 628,748 628,748
Investment in SVCW - Joint Venture (Note 15A) 47,676,561 47,676,561 Investment in SMC Fire - Joint Venture (Note 15A) 4,246,794 4,246,794 Capital assets (Note 7)
Land and construction in progress 18,633,595 3,970,659 22,604,254 Depreciable assets, net 70,341,745 32,031,291 102,373,036 Total Assets 223,846,950 152,499,946 376,346,896

DEFERRED OUTFLOWS OF RESOURCES
Related to pensions (Note 11) 13,430,589 1,311,862 14,742,451 Related to OPEB (Note 12) 3,028,912 299,928 3,328,840
Total Deferred Outflows of Resources 16,459,501 1,611,790 18,071,291

LIABILITIES
Accounts payable and other liabilities 1,940,595 1,143,013 3,083,608 Deposits 1,384,320 1,384,320
Compensated absences (Note 1H)
Due within one year 1,687,672 257,232 1,944,904
Due in more than one year 2,125,583 120,559 2,246,142
Long-term debt (Note 8)
Due within one year 609,489 2,210,000 2,819,489
Due in more than one year 2,237,019 63,160,435 65,397,454 Subscription liabilities (Note 13)
Due within one year 178,991 178,991
Due in more than one year 275,546 275,546
Net Pension Liability (Note 11)
Due in more than one year 43,182,612 4,077,406 47,260,018 Net OPEB Liability (Note 12)
Due in more than one year 7,618,961 754,443 8,373,404
Claims payable (Note 14)
Due within one year 84,124 84,124
Due in more than one year 488,130 488,130
Total Liabilities 61,813,042 71,723,088 133,536,130

DEFERRED INFLOWS OF RESOURCES
Related to leases (Note 10) 6,419,134 6,419,134
Related to pensions (Note 11) 1,628,128 133,254 1,761,382 Related to OPEB (Note 12) 773,058 76,550 849,608
Total Deferred Inflows of Resources 8,820,320 209,804 9,030,124 NET POSITION (Note 9)
Net investment in capital assets 86,076,589 2,476,077 88,552,666 Restricted for:

Capital projects 19,972,389 19,972,389
Special revenue programs:

Belmont Fire Protection District 20,182,340 20,182,340
Public safety 166,414 166,414
Recreation 609,244 609,244
Senior Activities 104,768 104,768
Library Maintenance & Operations 210,635 210,635
City Trees 230,412 230,412
Street Improvements and Maintenance 2,785,609 2,785,609 Street Improvements - Measures A, W and Grants 5,827,999 5,827,999 Traffic Mitigation 511,278 511,278
Athletic Field Maintenance 446,054 446,054
Affordable Housing Successor Agency 8,533,613 8,533,613 Housing Inclusionary 3,540,725 3,540,725
Sewer Treatment Facility Charge 32,237,961 32,237,961
Total Restricted Net Position 63,121,480 32,237,961 95,359,441 Unrestricted 20,475,020 47,464,806 67,939,826
Total Net Position $169,673,089 $82,178,844 $251,851,933 See accompanying notes to financial statements
22 548

CITY OF BELMONT

STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2025
Net (Expense) Revenue and
Program Revenues Changes in Net Position
Operating Capital
Charges for Grants and Grants and Governmental Business-type Functions/Programs Expenses Services Contributions Contributions Activities Activities Total Governmental Activities:

General government $9,943,846 $6,721,617 $17,250 $986,933 ($2,218,046) ($2,218,046) Public safety 30,069,345 432,191 367,117 (29,270,037) (29,270,037) Highways and streets 3,428,876 1,086,707 3,032,831 690,662 690,662 Culture and recreation 7,213,669 4,146,501 95,625 (2,971,543) (2,971,543) Urban redevelopment 10,006,297 7,578,577 (2,427,720) (2,427,720) Interest on long-term debt 71,271 (71,271) (71,271)
Total Governmental Activities 60,733,304 19,965,593 3,512,823 986,933 (36,267,955) (36,267,955) Business-type Activities:

Sewer Collections 10,939,033 15,656,630 $4,717,597 4,717,597 Sewer Treatment 2,291,884 3,148,980 857,096 857,096
Sewer Connection Fees 449,658 449,658 449,658
Storm Drainage 2,272,084 1,169,948 (1,102,136) (1,102,136) Solid Waste 517,159 644,235 127,076 127,076
Total Business-type Activities 16,020,160 21,069,451 5,049,291 5,049,291 Total $76,753,464 $41,035,044 $3,512,823 $986,933 (36,267,955) 5,049,291 (31,218,664) General revenues:

Taxes:

Property taxes 27,928,782 27,928,782
Sales taxes 6,431,619 6,431,619
Transient occupancy taxes 4,091,807 4,091,807
Franchise 1,647,673 1,647,673
Motor vehicle in lieu, unrestricted 3,637,752 3,637,752 Investment earnings and rentals 5,377,833 2,930,091 8,307,924 Miscellaneous 17,855 371,933 389,788
Transfers (1,170,425) 1,170,425
Total General Revenues and Transfers 47,962,896 4,472,449 52,435,345 Change in Net Position 11,694,941 9,521,740 21,216,681
Net Position-Beginning, as previously reported 155,428,433 72,657,104 228,085,537 Adjustments to Beginning Net Position (Note 9G):

Restatement of unavailable revenue 3,500,000 3,500,000
Change in accounting principle - compensated absences (950,285) (950,285) Net Position-Beginning, as adjusted 157,978,148 72,657,104 230,635,252 Net Position-Ending $169,673,089 $82,178,844 $251,851,933 See accompanying notes to financial statements
23 549
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550

FUND FINANCIAL STATEMENTS
Fund Financial Statements are presented by individual major funds, while non-major funds are combined in a single column. Major funds are defined generally as having significant activities or balances in the current year.

MAJOR GOVERNMENTAL FUNDS
The funds described below were determined to be Major Funds by the City. Individual non-major funds may be found in the Supplemental section.

GENERAL FUND
The General Fund is used to account for all revenues and expenditures necessary to carry out basic governmental activities of the City that are not accounted for through other funds. For the City, the General Fund includes such activities as police protection, parks operations and maintenance, and legal and administrative services. The General Fund also accounts for Measure I, a half cent local district tax approved in 2016 that will expire in 30 years. This general tax funding source provides for street and road and storm drain repair.

BELMONT FIRE PROTECTION DISTRICT SPECIAL REVENUE FUND
This fund is used to account for property taxes received and expended by the District on providing fire protection services to the City of Belmont and the unincorporated Harbor Industrial Area.

DEVELOPMENT SERVICES
The fund is used to account for the Permit Center and Development Regulation Programs. This fund makes it possible for staff to track and determine if development fees are covering the direct and indirect cost of providing these services. State law allows for full recovery of these costs.

AFFORDABLE HOUSING
The account for all housing operations of the City of Belmont in its capacity as the Housing Successor Agency to the former Belmont Redevelopment Agency. Activities include asset property management, rental operations, and long range housing planning.

CAPITAL IMPROVEMENT PROJECTS
This fund is used to account for funding and expenditures for capital projects, with funding from various City funds, including Enterprise Funds, as well as other sources such as grant funding, contributions from other agencies, and other miscellaneous donations and contributions. Annually, this fund transfers construction-in-progress and completed projects back to Enterprise Funds, as applicable. 25 551

CITY OF BELMONT

GOVERNMENTAL FUNDS

BALANCE SHEET
JUNE 30, 2025
Belmont (Previously
Fire Nonmajor) Capital Non-Major Total
Protection Development Affordable Improvement Governmental Governmental General District Services Housing Projects Funds Funds
ASSETS
Cash and investments (Note 3) $34,155,104 $31,197,605 $2,361,028 $3,157,926 $3,240,885 $18,570,925 $92,683,473 Receivables:

Accounts 378,907 810,180 2,189 54,915 115,263 1,361,454 Interest 1,679,240 1,679,240
Due from other governmental agencies 1,453,943 305,492 310,971 235,987 2,306,393 Notes (Note 5) 5,115,337 2,437,478 7,552,815
Leases (Note 10) 7,112,052 7,112,052
Due from other funds (Note 4B) 418,344 418,344
Prepaids and other assets 391,262 49,550 440,812
Land held for resale (Note 6) 298,748 330,000 628,748
Total Assets $45,887,600 $31,503,097 $3,171,208 $8,605,452 $3,606,771 $21,409,203 $114,183,331

LIABILITIES
Accounts payable and other liabilities $140,202 $615 $356,815 $470 $901,569 $359,481 $1,759,152 Deposits 1,312,951 71,369 1,384,320
Total Liabilities 1,453,153 615 356,815 71,839 901,569 359,481 3,143,472

DEFERRED INFLOWS OF RESOURCES
Unavailable revenue 4,500,000 4,500,000
Related to leases (Note 10) 6,419,134 6,419,134
Total Deferred Inflows of Resources 6,419,134 4,500,000 10,919,134 FUND BALANCES (Note 9)
Nonspendable 1,382,928 49,550 1,432,478
Restricted 5,029,901 31,502,482 4,033,613 2,705,202 17,141,948 60,413,146 Committed for:

Measure I Infrastructure
Special Revenue Programs 2,814,393 839,860 3,654,253
Assigned 3,018,364 3,018,364
Unassigned 31,602,484 31,602,484
Total Fund Balances 38,015,313 31,502,482 2,814,393 4,033,613 2,705,202 21,049,722 100,120,725 Total Liabilities, Deferred Inflows of
Resources and Fund Balances $45,887,600 $31,503,097 $3,171,208 $8,605,452 $3,606,771 $21,409,203 $114,183,331 See accompanying notes to financial statements
26 552

CITY OF BELMONT
Reconciliation of the

GOVERNMENTAL FUNDS -- BALANCE SHEET
with the

STATEMENT OF NET POSITION
JUNE 30, 2025
Total fund balances reported on the governmental funds balance sheet $100,120,725 Amounts reported for Governmental Activities in the Statement of Net Position are different from those reported in the Governmental Funds above because of the following:

CAPITAL ASSETS
Capital assets used in Governmental Activities are not current assets or financial resources and therefore are not reported in the Governmental Funds. 88,975,340

ALLOCATION OF INTERNAL SERVICE FUND NET POSITION
Internal service funds are not governmental funds. However, they are used by management to charge the costs of certain activities, such as insurance and central services and maintenance to individual governmental funds. The net current assets of the Internal Service Funds are therefore included in Governmental Activities in the following line items in the Statement of Net Position.

Cash and investments 16,351,841
Accounts receivable 12,906
Due from other governments 57,411
Prepaids and other assets 19,327
Accounts payable and other liabilities (181,443)
Claims payable (572,254)
Compensated absences (310,095)
Subscription liabilities (454,537)

ACCRUAL OF NONCURRENT REVENUES AND EXPENSES
Revenues which are deferred on the Fund Balance Sheets because they are not available currently are taken into revenue in the Statement of Activities 4,500,000

DEFERRED INFLOWS AND OUTFLOWS
The deferred outflows below are not currents assets or financial resources; and the deferred inflows are not due and payable in the current period and therefore are not reported in the Governmental Funds.

Deferred outflows related to pensions 13,430,589
Deferred outflows related to OPEB 3,028,912
Deferred inflows related to pensions (1,628,128)
Deferred inflows related to OPEB (773,058)

LONG-TERM ASSETS AND LIABILITIES
The assets and liabilities below are not due and payable in the current period and therefore are not reported in the Funds:

Investment in JPA Equity 4,246,794
Long-term debt (2,846,508)
Net OPEB liability (7,618,961)
Compensated absences (3,503,160)
Net pension liability (43,182,612)
NET POSITION OF GOVERNMENTAL ACTIVITIES $169,673,089
See accompanying notes to financial statements
27 553

CITY OF BELMONT

GOVERNMENTAL FUNDS

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2025
(Previously
Belmont Fire Nonmajor) Capital Non-Major Total
Protection Development Affordable Improvement Governmental Governmental General District Services Housing Projects Funds Funds

REVENUES
Taxes $25,886,955 $17,806,332 $2,455,855 $46,149,142
Licenses and permits 1,163,956 $3,254,670 3,180 4,421,806 Fines and forfeitures 112,389 112,389
Use of money and property 2,831,237 1,413,546 96,188 $339,448 $160,226 749,921 5,590,566 Intergovernmental 229,933 28,733 986,933 1,095,005 2,340,604 Charges for current services 4,584,005 4,238,030 5,002,393 13,824,428 Miscellaneous 148,633 6,186 13,488 51,129 219,436
Total Revenues 34,957,108 19,254,797 7,602,376 339,448 1,147,159 9,357,483 72,658,371

EXPENDITURES
Current:

General government 7,496,905 7,496,905
Public safety 15,443,152 13,500,501 108,896 29,052,549
Highways and streets 2,365,460 2,365,460
Culture and recreation 2,795,516 4,531,943 7,327,459
Urban redevelopment 6,807,670 1,339,227 1,243,258 9,390,155 Capital outlay 11,677,777 72,925 11,750,702
Debt service:

Principal 596,729 596,729
Interest and fiscal charges 71,271 71,271
Total Expenditures 25,735,573 13,500,501 6,807,670 1,339,227 11,677,777 8,990,482 68,051,230

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 9,221,535 5,754,296 794,706 (999,779) (10,530,618) 367,001 4,607,141

OTHER FINANCING SOURCES (USES)
Transfers in (Note 4A) 52,609 9,996,008 2,900,000 12,948,617 Transfers (out) (Note 4A) (6,673,339) (186,228) (52,609) (2,124,221) (9,036,397) Loss from sale of land held
for redevelopment (Note 6) (1,023,041) (1,023,041)
Total Other Financing Sources (Uses) (6,673,339) (133,619) (1,023,041) 9,943,399 775,779 2,889,179 NET CHANGE IN FUND BALANCES 2,548,196 5,620,677 794,706 (2,022,820) (587,219) 1,142,780 7,496,320 FUND BALANCES - as previously reported 35,467,117 25,881,805 2,019,687 3,292,421 25,963,375 92,624,405 ADJUSTMENT - change from nonmajor fund
to major fund 6,056,433 (6,056,433)

BEGINNING FUND BALANCES -
as adjusted 35,467,117 25,881,805 2,019,687 6,056,433 3,292,421 19,906,942 92,624,405 ENDING FUND BALANCES $38,015,313 $31,502,482 $2,814,393 $4,033,613 $2,705,202 $21,049,722 $100,120,725 See accompanying notes to financial statements
28 554

CITY OF BELMONT
Reconciliation of the

NET CHANGE IN FUND BALANCES - TOTAL GOVERNMENTAL FUNDS
with the

STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2025
The schedule below reconciles the Net Changes in Fund Balances reported on the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balance, which measures only changes in current assets and current liabilities on the modified accrual basis, with the Change in Net Position of Governmental Activities reported in the Statement of Activities, which is prepared on the full accrual basis.

NET CHANGE IN FUND BALANCES - TOTAL GOVERNMENTAL FUNDS $7,496,320 Amounts reported for governmental activities in the Statement of Activities are different because of the following:

CAPITAL ASSETS TRANSACTIONS
Governmental Funds report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is capitalized and allocated over their estimated useful lives and reported as depreciation expense.

The capital outlay and departmental expenditures are therefore added back to fund balance 11,339,035 Capital expenses transferred to Business-Type Activities (4,993,238) Retirements of capital assets is deducted from fund balance (610,834) Depreciation expense is deducted from the fund balance
(Depreciation expense is net of internal service fund depreciation of $969,688 which has already been allocated to serviced funds) (3,282,938)

LONG TERM DEBT PROCEEDS AND PAYMENTS
Bond proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the Statement of Net Position.

Repayment of bond principal is an expenditure in the governmental funds, but in the Statement of Net Position the repayment reduces long-term liabilities.

Repayment of debt principal is added back to fund balance 596,729

ACCRUAL OF NON-CURRENT ITEMS
The amounts below included in the Statement of Activities do not provide or (require) the use of current financial resources and therefore are not reported as revenue or expenditures in governmental funds (net change):

Investment in SMC Fire - Joint Venture (273,386)
Unavailable revenue 1,000,000
Compensated absences 94,063
Pension expense (2,157,306)
OPEB expense 602,271

ALLOCATION OF INTERNAL SERVICE FUND ACTIVITY
Internal Service Funds are used by management to charge the costs of certain activities, such as equipment acquisition, maintenance, and insurance to individual funds.

The portion of the net revenue (expense) of these Internal Service Funds arising out of their transactions with governmental funds is reported with governmental activities, because they service those activities.

Change in Net Position - All Internal Service Funds 1,884,225 CHANGE IN NET POSITION OF GOVERNMENTAL ACTIVITIES $11,694,941 See accompanying notes to financial statements
29 555

CITY OF BELMONT

GENERAL FUND

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025
Variance with
Budgeted Amounts Final Budget
Positive
Original Final Actual Amounts (Negative)
REVENUES:

Taxes $24,511,519 $26,019,590 $25,886,955 ($132,635)
Licenses and permits 1,215,275 1,215,275 1,163,956 (51,319) Fines and forfeitures 144,237 144,237 112,389 (31,848)
Use of money and property 2,080,592 2,259,350 2,831,237 571,887 Intergovernmental 143,737 143,737 229,933 86,196
Charges for current services 4,639,148 4,639,148 4,584,005 (55,143) Miscellaneous 148,633 148,633
Total Revenues 32,734,508 34,421,337 34,957,108 535,771 EXPENDITURES:

Current:

General government 7,773,209 8,060,296 7,496,905 563,391 Public safety 15,984,409 16,086,409 15,443,152 643,257
Culture and recreation 2,820,602 2,910,602 2,795,516 115,086 Total Expenditures 26,578,220 27,057,307 25,735,573 1,321,734

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 6,156,288 7,364,030 9,221,535 1,857,505

OTHER FINANCING SOURCES (USES)
Transfers in (Note 4A) 1,204,633 1,204,633 (1,204,633)
Transfers out (Note 4A) (8,306,708) (12,985,831) (6,673,339) 6,312,492 Total Other Financing Sources (Uses) (7,102,075) (11,781,198) (6,673,339) 5,107,859 NET CHANGE IN FUND BALANCE ($945,787) ($4,417,168) 2,548,196 $6,965,364 BEGINNING FUND BALANCE 35,467,117
ENDING FUND BALANCE $38,015,313
See accompanying notes to financial statements
30 556

CITY OF BELMONT

BELMONT FIRE PROTECTION DISTRICT SPECIAL REVENUE FUND

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025
Variance with
Budgeted Amounts Final Budget
Positive
Original Final Actual (Negative)
REVENUES:

Taxes $17,898,362 $17,950,362 $17,806,332 ($144,030)
Use of money and property 734,750 1,019,750 1,413,546 393,796 Intergovernmental 51,277 51,277 28,733 (22,544)
Miscellaneous 6,186 6,186
Total Revenues 18,684,389 19,021,389 19,254,797 233,408 EXPENDITURES:

Current:

Public safety 13,545,524 13,580,524 13,500,501 80,023
Total Expenditures 13,545,524 13,580,524 13,500,501 80,023 Excess (Deficiency) of Revenues 5,138,865 5,440,865 5,754,296 313,431 Over (Under) Expenditures
Other Financing Sources (Uses)
Transfers in (Note 4A) 52,609 52,609
Transfers out (Note 4A) (70,000) (806,600) (186,228) 620,372 Total Other Financing Sources (Uses) (70,000) (806,600) (133,619) 672,981 NET CHANGE IN FUND BALANCE $5,068,865 $4,634,265 5,620,677 $986,412 BEGINNING FUND BALANCE 25,881,805
ENDING FUND BALANCE $31,502,482
See accompanying notes to financial statements
31 557

CITY OF BELMONT

DEVELOPMENT SERVICES SPECIAL REVENUE FUND

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025
Variance with
Budgeted Amounts Final Budget
Positive
Original Final Actual Amounts (Negative)
REVENUES:

Licenses and permits $2,385,000 $2,385,000 $3,254,670 $869,670 Use of money and property 94,140 94,140 96,188 2,048
Charges for current services 3,403,500 3,403,500 4,238,030 834,530 Miscellaneous 300 300 13,488 13,188
Total Revenues 5,882,940 5,882,940 7,602,376 1,719,436
EXPENDITURES:

Current:

Urban redevelopment 6,970,292 7,201,166 6,807,670 393,496 Total Expenditures 6,970,292 7,201,166 6,807,670 393,496

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (1,087,352) (1,318,226) 794,706 2,112,932

OTHER FINANCING SOURCES (USES)
Transfers in (Note 4A) 1,000,000 1,000,000 (1,000,000)
Total Other Financing Sources (Uses) 1,000,000 1,000,000 (1,000,000) NET CHANGE IN FUND BALANCE ($87,352) ($318,226) 794,706 $1,112,932 BEGINNING FUND BALANCE 2,019,687
ENDING FUND BALANCE $2,814,393
See accompanying notes to financial statements
32 558

CITY OF BELMONT

AFFORDABLE HOUSING SPECIAL REVENUE FUND

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025
Variance with
Budgeted Amounts Final Budget
Positive
Original Final Actual Amounts (Negative)
REVENUES:

Use of money and property $226,828 $226,828 $339,448 $112,620 Total Revenues 226,828 226,828 339,448 112,620
EXPENDITURES:

Current:

Urban redevelopment 1,451,567 1,573,916 1,339,227 234,689 Total Expenditures 1,451,567 1,573,916 1,339,227 234,689

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (1,224,739) (1,347,088) (999,779) 347,309

OTHER FINANCING SOURCES (USES)
Loss from sale of land held for
redevelopment (Note 6) (1,023,041) (1,023,041)
Total Other Financing Sources (Uses) (1,023,041) (1,023,041) NET CHANGE IN FUND BALANCE ($1,224,739) ($1,347,088) (2,022,820) ($675,732) BEGINNING FUND BALANCE 6,056,433
ENDING FUND BALANCE $4,033,613
See accompanying notes to financial statements
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560

PROPRIETARY FUNDS
Proprietary funds account for City operations financed and operated in a manner similar to a private business enterprise. The intent of the City is that the cost of providing goods and services be financed primarily through user charges.

The City has identified the funds below as major proprietary funds in fiscal year 2025.

SEWER COLLECTIONS FUND
To account for sanitary sewer services provided to the citizens of Belmont. All activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operations, maintenance, capital improvement, and billing and collections.

SEWER TREATMENT FUND
To account for capital improvements made to the Silicon Valley Clean Water Authority treatment plant and related capital improvements. Revenue for the improvements comes from the sewer treatment facility charge paid by users connected to the sanitary system. 35 561

CITY OF BELMONT

PROPRIETARY FUNDS

STATEMENT OF NET POSITION
JUNE 30, 2025
Governmental
Non-Major ActivitiesSewer Sewer Enterprise Internal Service Collections Treatment Funds Totals Funds
ASSETS
Current Assets:

Cash and investments (Note 3) $52,822,277 $4,306,482 $4,659,333 $61,788,092 $16,351,841 Cash and investments with fiscal agent (Note 3) 3,472,679 3,448,443 6,921,122 Accounts receivable 357,487 50,880 9,475 417,842 12,906 Prepaids and other assets 19,327
Due from other governmental agencies 112,723 112,723 57,411 Total Current Assets 56,652,443 7,805,805 4,781,531 69,239,779 16,441,485 Noncurrent Assets:

Investment in SVCW joint venture (Note 15) 47,676,561 47,676,561 Capital assets (Note 7):

Land and construction in progress 3,922,950 47,709 3,970,659 Depreciable assets, net 29,752,633 2,278,658 32,031,291 2,041,050 Total Noncurrent Assets 33,675,583 47,676,561 2,326,367 83,678,511 2,041,050 Total Assets 90,328,026 55,482,366 7,107,898 152,918,290 18,482,535

DEFERRED OUTFLOWS
Related to pension (Note 11B) 799,190 512,672 1,311,862 Related to OPEB (Note 12) 181,089 118,839 299,928
Total Deferred Outflows 980,279 631,511 1,611,790

LIABILITIES
Current Liabilities:

Accounts payable and other liabilities 700,069 429,216 13,728 1,143,013 181,443 Due to other funds (Note 4B) 418,344 418,344
Claims payable (Note 14) 84,124
Long-term debt (Note 8) 1,035,000 1,175,000 2,210,000
Compensated absences (Note 1H) 153,347 103,885 257,232 161,063 Subscription liabilities (Note 13) 178,991
Total Current Liabilities 1,888,416 1,604,216 535,957 4,028,589 605,621 Noncurrent Liabilities:

Claims payable (Note 14) 488,130
Compensated absences (Note 1H) 74,678 45,881 120,559 149,032 Long-term debt (Note 8) 39,586,626 23,573,809 63,160,435 Subscription liabilities (Note 13) 275,546
Net pension liability (Note 11) 2,483,966 1,593,440 4,077,406 Net OPEB liability (Note 12) 455,513 298,930 754,443
Total Noncurrent Liabilities 42,600,783 23,573,809 1,938,251 68,112,843 912,708 Total Liabilities 44,489,199 25,178,025 2,474,208 72,141,432 1,518,329

DEFERRED INFLOWS
Related to pension (Note 11B) 81,179 52,075 133,254
Related to OPEB (Note 12) 46,219 30,331 76,550
Total Deferred Inflows 127,398 82,406 209,804
NET POSITION (Note 9)
Net investment in capital assets 149,710 2,326,367 2,476,077 1,586,513 Restricted for treatment facility 30,304,341 1,933,620 32,237,961 Unrestricted 46,541,998 922,808 47,464,806 15,377,693
Total Net Position $46,691,708 $30,304,341 $5,182,795 $82,178,844 $16,964,206 See accompanying notes to financial statements
Business-type Activities-Enterprise Funds
36 562

CITY OF BELMONT

PROPRIETARY FUNDS

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION
FOR THE YEAR ENDED JUNE 30, 2025
(Previously Governmental
Major) Non-Major ActivitiesSewer Sewer Storm Enterprise Internal Service Collections Treatment Drainage Funds Totals Funds

OPERATING REVENUES
Charges for current services
Sewer service charges $15,529,099 $3,148,980 $18,678,079 Sewer connection fees $449,658 449,658
NPDES storm drain charges 519,512 519,512
Street sweeping 594,679 594,679
Garbage franchise fee 644,235 644,235
Interdepartmental charges 127,531 55,757 183,288 $10,855,694 Insurance claims, change in claims payable 27,958
Total Operating Revenues 15,656,630 3,148,980 2,263,841 21,069,451 10,883,652

OPERATING EXPENSES
Personnel services 2,201,780 1,369,991 3,571,771
Services and supplies 5,610,262 146,936 1,177,613 6,934,811 Insurance premiums 1,374,175
Professional and legal 2,081,679
Operating costs 4,692,466
Pension and other post employment benefits 1,267,943
Insurance claims 148,777
Depreciation 1,874,151 241,639 2,115,790 969,688
Total Operating Expenses 9,686,193 146,936 2,789,243 12,622,372 10,534,728 Operating Income (Loss) 5,970,437 3,002,044 (525,402) 8,447,079 348,924

NONOPERATING REVENUES (EXPENSES)
Interest 2,535,199 373,173 21,719 2,930,091 940,299
Interest expense (1,252,840) (927,631) (2,180,471)
Loss from investment in SVCW - Joint Venture (Note 15A) (1,217,317) (1,217,317) Gain from sale of capital assets 6,485
Intergovernmental and miscellaneous 18,586 240,000 113,347 371,933 677,924 Total Nonoperating Revenues (Expenses) 1,300,945 (1,531,775) 135,066 (95,764) 1,624,708 Income (Loss) Before Transfers 7,271,382 1,470,269 (390,336) 8,351,315 1,973,632 Capital asset transfers (Note 7A) 4,993,238 4,993,238
Transfers in (Note 4A) 3,570,315 3,570,315
Transfers (out) (Note 4A) (5,879,620) (1,513,508) (7,393,128) (89,407) Net transfers (886,382) 2,056,807 1,170,425 (89,407)
Change in net position 6,385,000 1,470,269 1,666,471 9,521,740 1,884,225 BEGINNING NET POSITION, as previously reported 40,306,708 28,834,072 $1,406,351 2,109,973 72,657,104 15,079,981

ADJUSTMENT
Change from major fund to nonmajor fund (1,406,351) 1,406,351 BEGINNING NET POSITION, AS ADJUSTED 40,306,708 28,834,072 3,516,324 72,657,104 15,079,981 ENDING NET POSITION $46,691,708 $30,304,341 $5,182,795 $82,178,844 $16,964,206 See accompanying notes to financial statements
Business-type Activities-Enterprise Funds
37 563

CITY OF BELMONT

PROPRIETARY FUNDS

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED JUNE 30, 2025
Business-type Activities-Enterprise Funds Governmental
Non-Major ActivitiesSewer Sewer Enterprise Internal Service Collections Treatment Funds Totals Funds

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers $15,424,009 $3,411,277 $2,204,528 $21,039,814 Other receipts 18,586 240,000 113,347 371,933
Interdepartmental charges 127,531 55,757 183,288 $11,473,072 Payments to suppliers (5,512,249) (146,936) (1,410,107) (7,069,292) (5,432,430) Payments to employees (2,029,029) (1,278,783) (3,307,812) (3,811,078) Claims paid (21,787)
Cash Flows from Operating Activities 8,028,848 3,504,341 (315,258) 11,217,931 2,207,777

CASH FLOWS FROM NONCAPITAL

FINANCING ACTIVITIES
Interfund receipts 3,988,659 3,988,659
Interfund payments (5,879,620) (1,513,508) (7,393,128) (89,407) Cash Flows from Noncapital Financing Activities (5,879,620) 2,475,151 (3,404,469) (89,407)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Proceeds from sale of capital assets 6,485
Acquisition of capital assets (643,049)
Capital contributions to SVCW (2,493,929) (2,493,929)
Principal payments on capital debt (990,000) (1,140,000) (2,130,000) (319,600) Interest paid (1,570,237) (1,048,284) (83,566) (2,702,087) Cash Flows from Capital and Related Financing Activities (2,560,237) (4,682,213) (83,566) (7,326,016) (956,164)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest and rents 2,535,199 373,173 105,285 3,013,657 940,299 Cash Flows from Capital and Related Investing Activities 2,535,199 373,173 105,285 3,013,657 940,299 Net Cash Flows 2,124,190 (804,699) 2,181,612 3,501,103 2,102,505 Cash and investments at beginning of period 54,170,766 8,559,624 2,477,721 65,208,111 14,249,336 Cash and investments at end of period $56,294,956 $7,754,925 $4,659,333 $68,709,214 $16,351,841 Reconciliation of Operating Income (Loss) to Cash Flows from Operating Activities:

Operating income (loss) $5,970,437 $3,002,044 ($525,402) $8,447,079 $348,924 Adjustments to reconcile operating income (loss) to cash flows from operating activities:

Depreciation 1,874,151 241,639 2,115,790 969,688
Miscellaneous 18,586 240,000 113,347 371,933 677,924
Change in assets, deferred outflows and liabilities:

Receivables, net (105,090) 262,297 (3,556) 153,651 (62,975) Investment in SVCW joint venture
Accounts payable 98,013 (232,494) (134,481) 82,018
Claims payable 99,032
Deferred outflows 223,856 160,158 384,014
Deferred inflows (87,178) (56,844) (144,022)
Net pension liability (31,901) (80,403) (112,304)
Net OPEB liability (838) 17,066 16,228
Compensated absences 68,812 51,231 120,043 93,166
Cash Flows from Operating Activities $8,028,848 $3,504,341 ($315,258) $11,217,931 $2,207,777 Non-cash transactions
Amortization of Bond Premiums $222,730 $105,513 $328,243 Loss from investment in SVCW - Joint Venture (Note 15A) (1,217,317) (1,217,317) Capital assets transferred from governmental activities 4,993,238 4,993,238 Subscription Assets $465,644
Subscription Liabilities (465,644)
Retirement of Capital Assets 553,087
$5,215,968 ($1,111,804) $4,104,164 $553,087
See accompanying notes to financial statements
38 564

FIDUCIARY FUNDS
Custodial Funds report resources, not in a trust, that are held by the City for other parties outside of the City’s reporting entity. The Library Community Facilities District Custodial Fund accounts for payment of interest and principal on debt service of the District for the construction, maintenance and operations of the Library building.
39 565

CITY OF BELMONT

FIDUCIARY FUND

STATEMENT OF FIDUCIARY NET POSITION
JUNE 30, 2025
Custodial
Fund
Library
Community
Facilities
District
ASSETS
Cash and investments (Note 3) $333,900
Cash and investments with fiscal agent (Note 3) 133
Due from other governmental agencies 11,505
Total Assets 345,538
NET POSITION:

Restricted for:

Bondholders 345,538
Total Net Position $345,538
See accompanying notes to financial statements
40 566

CITY OF BELMONT

FIDUCIARY FUND

STATEMENT OF CHANGES IN NET POSITION
FOR THE YEAR ENDED JUNE 30, 2025
Custodial
Fund
Library
Community
Facilities
District
Additions:

Special assessments $696,286
Use of money and property 11,221
Total Additions 707,507
Deductions:

Payments to bondholders 682,162
Total Deductions 682,162
Change in net position 25,345
Beginning Net Position 320,193
Ending Net Position $345,538
See accompanying notes to financial statements
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568

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Belmont (City) was incorporated as a general law city in 1926. The City operates under the Council-Manager form of government and is governed by a five member council elected by the City’s voters. The City provides the following services: public safety (police and fire), highways and streets, sewer, storm drainage, solid waste, recreation, public improvements, planning and zoning, building inspections, general administration services, and economic development.

The financial statements and accounting policies of the City conform with generally accepted accounting principles applicable to governments in the United States of America. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. Significant accounting policies are summarized below.

A. Reporting Entity
The financial statements of the City of Belmont include the financial activities of the City, the Belmont Fire Protection District (District) and the Belmont Joint Powers Financing Authority (Authority). All of these entities are controlled by and dependent on the City and their financial activities have been aggregated and merged (termed “blended”) with those of the City in the accompanying financial statements.

The Belmont Fire Protection District, established in 1928, is a special district created under the general laws of California to provide fire protection services to City residents. The District is controlled by the City and has the same governing board as the City, which also performs all accounting and administrative functions for the District. The financial activities of the District have been included in these financial statements in the Belmont Fire Protection District Special Revenue Fund. The District does not issue separate financial statements.

The Belmont Joint Powers Financing Authority is a separate government entity whose purpose is to assist with the financing certain public capital facilities for the City through the issuance of bonds or other forms of debt. The Authority is controlled by the City and has the same governing body as the City, which also performs all accounting and administrative functions for the Authority. The Authority does not issue separate financial statements.

B. Major Funds
The City’s major governmental and enterprise funds are identified and presented separately in the fund financial statements. All other funds, called non-major funds, are combined and reported in a single column, regardless of their fund-type.

Major funds are defined as funds that have either assets and deferred outflows, liabilities and deferred inflows, revenues, or expenditures/expenses equal to ten percent of their fund-type total and five percent of the grand total. The General Fund is always a major fund. The City may also select other funds it believes should be presented as major funds.

The City reported the following major governmental funds in the accompanying financial statements:
43 569

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) General Fund – The General Fund is used to account for all revenues and expenditures necessary to carry out basic governmental activities of the City that are not accounted for through other funds. For the City, the General Fund includes such activities as police protection, parks operations and maintenance, and legal and administrative services. The General Fund also accounts for Measure I, a half cent local district tax approved in 2016 that will expire in 30 years. This general tax funding source provides for street and road and storm drain repair.

Belmont Fire Protection District Special Revenue Fund – To account for property taxes received and expended by the District on providing fire protection services to the City of Belmont and the unincorporated Harbor Industrial Area.

Development Services – To account for the Permit Center and Development Regulation Programs. This fund makes it possible for staff to track and determine if development fees are covering the direct and indirect cost of providing these services. State law allows for full recovery of these costs.

Affordable Housing - The account for all housing operations of the City of Belmont in its capacity as the Housing Successor Agency to the former Belmont Redevelopment Agency. Activities include asset property management, rental operations, and long range housing planning.

Capital Improvement Projects – To account for funding and expenditures for capital projects, with funding from various City funds, including Enterprise funds, as well as other sources such as grant funding, contributions from other agencies, and other miscellaneous donations and contributions. Annually, this fund transfers construction-in-progress and completed projects back to Enterprise Funds as applicable.

The City reported the following enterprise funds as major funds in the accompanying financial statements:

Sewer Collections Fund – To account for certain sanitary sewer services provided to the citizens of Belmont. Activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operations, maintenance, capital improvement, and billing and collections.

Sewer Treatment Fund – To account for capital improvements made to the Silicon Valley Clean Water Authority treatment plant and related capital improvements. Revenue for the improvements comes from the sewer treatment facility charge paid by users connected to the sanitary system.
44 570

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) The City also reports the following fund types:

Internal Service Funds
The funds account for workers’ compensation, general liability, vision, benefit prefunding, fleet and equipment management, and facilities management; all of which are provided to other departments on a cost-reimbursement basis.

Fiduciary Funds
Trust Funds and Custodial Funds are used to account for assets held by the City as an agent or trustee for individuals, private organizations, and other governments. The City has one custodial fund: the Library Community Facilities District Fund, a fund reporting cash and investments for the District. The financial activities of the fund are excluded from the Government-wide financial statements, and are presented in a separate Fiduciary Fund financial statement.

C. Basis of Accounting
The government-wide, proprietary fund and fiduciary fund financial statements are reported using the economic resources measurement focus and the full accrual basis of accounting.

Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place.

Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized when measurable and available. The City considers all revenues reported in the governmental funds to be available if the revenues are collected within sixty days after year-end. Expenditures are recorded when the related fund liability is incurred, except for principal and interest on general long-term debt, lease liabilities, claims and judgments, and compensated absences, which are recognized as expenditures to the extent they have matured. Governmental capital asset acquisitions, including entering into contracts giving the City the right to use leased assets and right to use subscription assets, are reported as expenditures in governmental funds. Proceeds of governmental long-term debt and financing through leases are reported as other financing sources.

Those revenues susceptible to accrual are property, sales and use, transient occupancy, franchise and gas taxes, business license taxes, intergovernmental revenues, grants, parking fines and interest revenue. Other fines, licenses and permits, and charges for services are not susceptible to accrual because they are not measurable until collected.

Non-exchange transactions, in which the City gives or receives value without directly, receiving or giving equal value in exchange, include taxes, grants, entitlements, and donations. On the accrual basis, revenue from taxes is recognized in the fiscal year for which the taxes are levied or assessed. Revenue from grants, entitlements, and donations is recognized in the fiscal year in which all eligibility requirements have been satisfied. 45 571

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Certain indirect costs are included in program expenses reported for individual functions and activities.

D. Basis of Presentation
The City’s Basic Financial Statements are prepared in conformity with accounting principles generally accepted in the United States of America. The Government Accounting Standards Board is the acknowledged standard setting body for establishing accounting and financial reporting standards followed by governmental entities in the U.S.A.

These Standards require that the financial statements described below be presented.

Government-wide Statements: The Statement of Net Position and the Statement of Activities display information about the primary government (the City) and its component units. These statements include the financial activities of the overall City government, except for fiduciary activities. Eliminations have been made to minimize the double counting of internal activities.

These statements distinguish between the governmental and business-type activities of the City.

Governmental activities generally are financed through taxes, intergovernmental revenues, and other nonexchange transactions. Business-type activities are financed in whole or in part by fees charged to external parties.

The Statement of Activities presents a comparison between direct expenses and program revenues for each segment of the business-type activities of the City and for each function of the City’s governmental activities. Direct expenses are those that are specifically associated with a program or function and, therefore, are clearly identifiable to a particular function. Program revenues include (a) charges paid by the recipients of goods or services offered by the programs, (b) grants and contributions that are restricted to meeting the operational needs of a particular program and (c) fees, grants and contributions that are restricted to financing the acquisition or construction of capital assets. Revenues that are not classified as program revenues, including all taxes, are presented as general revenues.

As a general rule the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are payments-in-lieu of taxes where the amounts are reasonably equivalent in value to the interfund services provided and other charges between the government’s proprietary funds and various other functions of the City.

Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned.

Fund Financial Statements: The fund financial statements provide information about the City's funds, including fiduciary funds and blended component units. Separate statements for each fund category—governmental, proprietary, and fiduciary—are presented. The emphasis of fund financial statements is on major individual governmental and enterprise funds, each of which is displayed in a separate column. All remaining governmental and enterprise funds are aggregated and reported as nonmajor funds.
46 572

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Proprietary fund operating revenues, such as charges for services, result from exchange transactions associated with the principal activity of the fund. Exchange transactions are those in which each party receives and gives up essentially equal values. Nonoperating revenues, such as subsidies and investment earnings, result from nonexchange transactions or ancillary activities.

E. Revenue Recognition for Enterprise Funds
Sewer and Storm Drain user fee revenues are placed on the county tax rolls. The County bills customers annually and requires payment prior to year-end. Solid waste revenue is remitted by Recology San Mateo County as part of garbage services. At year-end there were no material uncollected sewer, storm drain, or solid waste user fees.

F. Property Tax
San Mateo County assesses properties, and it bills, collects, and distributes property taxes to the City. The County remits the entire amount levied and handles all delinquencies, retaining interest, and penalties. Secured and unsecured property taxes are levied on January 1 of the preceding fiscal year.

Secured property tax is due in two installments, on November 1 and February 1, and becomes a lien on those dates. It becomes delinquent on December 10 and April 10, respectively.

Unsecured property tax is due on July 1 and becomes delinquent on August 31. Collection of delinquent accounts is the responsibility of the County, which retains all penalties.

The term “unsecured” refers to taxes on personal property other than real estate, land, and buildings. These taxes are secured by liens on the property being taxed. Property tax revenues are recognized by the City in the fiscal year they are assessed provided they become available as defined above, generally within sixty days.

G. Capital Assets
All capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available, except for intangible right to use lease assets, the measurement of which is discussed in Note 10, and intangible right to use subscription assets, the measurement of which is discussed in Note 13. Contributed capital assets are valued at their estimated acquisition value on the date contributed.

The City has recorded all its public domain (infrastructure) capital assets, which include roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting systems.

Capital assets with limited useful lives and the right to use leased assets are depreciated over their estimated useful lives. The purpose of depreciation is to spread the cost of capital assets equitably among all users over the life of these assets. The amount charged to depreciation expense each year represents that year’s pro rata share of the cost of capital assets. 47 573

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Depreciation is provided using the straight line method which means the cost of the asset is divided by its expected useful life in years and the result is charged to expense each year until the asset is fully depreciated. The City has assigned the useful lives listed below to capital assets:

Building and Building Improvements 40 years
Improvements Other than Buildings 25-75 years
Streets and Infrastructure 25-100 years
Machinery and Equipment 5-10 years
Vehicles 5-10 years
Non-infrastructure and infrastructure assets with historical costs exceeding $5,000 and $25,000 respectively are capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed.

H. Compensated Absences
Compensated absences comprise unpaid vacation and the vested portion of sick leave, which are accrued as earned, as well as an estimate of the sick leave earned as of the end of the fiscal year and expected to be used. Employee bargaining unit agreements specify the vested portion of unused sick leave, which accumulates and is paid at time of termination of City employment. The City’s liability for compensated absences is recorded in various Governmental funds and Proprietary funds as appropriate. The liability for compensated absences is determined annually.

For all governmental funds, amounts expected to be paid due to terminations are recorded as fund liabilities; the long term portion is recorded in the Statement of Net Position.

The changes of the compensated absences were as follows:

Business-Type Activities
Governmental Sewer Storm Solid
Activities Collections Drainage Waste Total
Summary of Activity:

Beginning Balance, as restated (A) $3,901,843 $209,821 $88,819 $40,595 $4,241,078 Net changes (88,588) 18,204 19,834 518 (50,032)
Ending Balance $3,813,255 $228,025 $108,653 $41,113 $4,191,046 Financial Statement
Presentation:

Due within One Year $1,687,672 $153,347 $80,752 $23,133 $1,944,904 Due in More than One Year 2,125,583 74,678 27,901 17,980 2,246,142 Total Ending Balance $3,813,255 $228,025 $108,653 $41,113 $4,191,046 (A) See discussion of restatement in Note 9G.

Compensated absences are liquidated by the fund that has recorded the liability. The long-term portion of governmental activities compensated absences is liquidated primarily by the General Fund.
48 574

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) I. Fair Value Hierarchy
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The fair value hierarchy categorizes the inputs to valuation techniques used to measure fair value into three levels based on the extent to which inputs used in measuring fair value are observable in the market.

Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2 inputs are inputs – other than quoted prices included within level 1 – that are observable for an asset or liability, either directly or indirectly.

Level 3 inputs are unobservable inputs for an asset or liability.

If the fair value of an asset or liability is measured using inputs from more than one level of the fair value hierarchy, the measurement is considered to be based on the lowest priority level input that is significant to the entire measurement.

J. 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.

K. Estimates and Assumptions
The preparation of financial statements in conformity with generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, deferred outflows/inflows of resources and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
49 575

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) L. New and Renamed Funds
The Sewer Connection Fees Enterprise Fund was established during the year ended June 30, 2025.

The activity in the Fund had previously been reported in the Sewer Collections Enterprise Fund.

The Street Improvements Special Revenue Fund was renamed to the Measure A Street Improvements Special Revenue Fund.

The Housing Mitigation Fees Special Revenue Fund was renamed to the Inclusionary Housing Special Revenue Fund.

The Senior Donations Special Revenue Fund was renamed to the Parks and Recreation Donations Special Revenue Fund.

The Comcast Capital Projects Fund was renamed to the PEG Capital Projects Fund.

NOTE 2 – BUDGETS AND BUDGETARY ACCOUNTING
The City Manager submits to the City Council a proposed annual operating budget for the ensuing fiscal year. The operating budget includes proposed expenditures and the means of financing them and is subjected to public hearings where comments are obtained for consideration. The Council adopts the budget through passage of a budget resolution at which time the proposed expenditures become appropriations. The budget is effective the following July 1 and may be amended by subsequent resolutions. Budgets are adopted for all Governmental Funds, however the Capital Improvement Projects Capital Projects Fund is budgeted on a project length basis and therefore is not comparable on an annual basis. The City Manager is authorized to transfer appropriations between any departments; however, any revisions, which increase the total appropriations of any fund, must be approved by the Council.

Transfers not included in the original budget must be approved by the Finance Director. Where not contractually committed, expenditures may not exceed appropriations at the fund level.

Unencumbered operating appropriations lapse at year end, while capital improvement appropriations are carried over to subsequent years until projects are completed. Supplemental appropriations adopted by the Council are included in the budget versus actual statements.

Formal budgetary integration is employed as a management control device. Encumbrance accounting is employed as an extension of formal budgetary integration in all funds. Under encumbrance accounting, purchase orders, contracts and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation.
50 576

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 2 – BUDGETS AND BUDGETARY ACCOUNTING (Continued)
Encumbrances outstanding at year end do not constitute expenditures or liabilities and are reappropriated in the following year budget. Budget amounts include appropriations, which are formally integrated into the City’s accounting records for all funds. Budgets are adopted on a basis consistent with generally accepted accounting principles (GAAP) for all funds.

Encumbrances outstanding by fund as of June 30, 2025 were as follows:

General Fund $2,391,184
Development Services
Special Revenue Fund 773,901
Affordable Housing
Special Revenue Fund 34,267
Capital Improvement Projects
Capital Projects Fund 8,611,523
1,697,215
$13,508,090
Major Governmental Funds:

Total Encumbrances
Non-Major Governmental Funds
Expenditures in Excess of Appropriations - The following funds incurred expenditures in excess of appropriations. Sufficient resources were available within each fund to finance these excesses:

Fund
Expenditures in
Excess of
Appropriations
Non-Major Governmental Funds:

Supplemental Law Enforcement Services Special Revenue Fund $4,786 Athletic Field Maintenance Special Revenue Fund 11,296
Infrastructure Capital Project Fund 3,362
51 577

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 3 – CASH AND INVESTMENTS
The City pools cash from all sources and all funds except Cash and Investments held by Trustees so that it can be invested consistent with the principles of safety and liquidity, while individual funds can make expenditures at any time.

A. Policies
California Law requires banks and savings and loan institutions to pledge government securities with a market value of 110% of the City’s cash on deposit, or first trust deed mortgage notes with a market value of 150% of the deposit, as collateral for these deposits. Under California Law this collateral is held in a separate investment pool by another institution in the City’s name and places the City ahead of general creditors of the institution.

The City invests in individual investments and in investment pools. Individual investments are evidenced by specific identifiable securities instruments, or by an electronic entry registering the owner in the records of the institution issuing the security, called the book entry system. In order to increase security, the City employs the Trust Department of a bank as the custodian of certain City managed investments, regardless of their form.

The City’s investments are carried at fair value, as required by generally accepted accounting principles. The City adjusts the carrying value of its investments to reflect their fair value at each fiscal year end, and it includes the effects of these adjustments in income for that fiscal year.

B. Classification
Cash and investments are classified in the financial statements as shown below, based on whether or not their use is restricted under the terms of City debt instruments or Agency agreements.

Cash and investments as of June 30, 2025 consist of the following:

Statement of Net Position
Cash and investments $170,823,406
Cash and investments with fiscal agent 6,921,122
Fiduciary Funds
Cash and investments 333,900
Cash and investments with fiscal agent 133
Total Cash and Investments $178,078,561
Cash and Investments Available for Operations is used in preparing proprietary fund statements of cash flows because these assets are highly liquid and are expended to liquidate liabilities arising during the year.

As of June 30, 2025, the City holds $3,623,074 in unexpended proceeds from the Sewer Revenue Bonds, Series 2019, which were included in Cash and Investments, but recorded in the Sewer Collections Enterprise Fund. The restricted funds are to be spent on project costs as defined in the underlying indenture.
52 578

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 3 – CASH AND INVESTMENTS (Continued)
C. Investments Authorized by the California Government Code and the City’s Investment Policy The City’s Investment Policy and the California Government Code allow the City to invest in the investment types included in the following schedule, provided the credit ratings of the issuers are acceptable to the City, and approved percentages and maturities are not exceeded. The table below also identifies certain provisions of the California Government Code, or the City’s Investment Policy where the City’s Investment Policy is more restrictive.

Authorized Investment Type
Maximum
Maturity
Minimum Credit
Quality
Maximum % of
Portfolio
Maximum
Investment In One
Issuer
Local Agency Municipal Bonds 5 years None None None
U.S. Treasury Obligations 5 years None None None
State of California and Other State
Obligations 5 years None None None
CA Local Agency Obligations 5 years None None None
U.S. Agency or U.S. GovernmentSponsored Enterprise Obligations 5 years None None None Bankers Acceptances 180 days None 40% 30%
Commercial Paper (pooled) 270 days A1 / P1 40% (C)
Commercial Paper (non-pooled) 270 days A1 / P1 40% (C)
Commercial Paper (non-pooled) 270 days A1 / P1 25% (C)
Negotiable Certificates of Deposit 5 years None 30% None Non-Negotiable Certificates of Deposit 5 years None None None Placement Service Deposits 5 years None 50% (A) None
Placement Service Certificates of
Deposit 5 years None 50% (A) None
Repurchase Agreements 1 year None None None
Reverse Repurchase Agreements and
Securities Lending Agreements 92 days None
20% of base value
of portfolio None
Medium Term Corporate Notes 5 years A 30% (C)
Mutual Funds N/A
Top rating
category 20% 10%
Money Market Mutual Funds N/A
Top rating
category 20% None
Collateralized Bank Deposits 5 years None None None
Mortgage Pass-Through and AssetBacked Securities 5 years AA 20% None County Pooled Investment Funds N/A None None None
Joint Powers Authority Pool N/A None None None
California Local Agency Investment
Fund N/A None None $75M per account
Voluntary Investment Program Fund N/A None None None
Supranational Obligations (B) 5 years AA 30% None
Public Bank Obligations 5 years None None None
(A) 50% maximum % of portfolio is for deposits and certificates of deposit combined. (B) Only those obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development (IBRD), International Finance Corporation (IFC), and Inter-American Development Bank (IADB) (C) 10% maximum of the outstanding commercial paper and medium term notes of any single issuer. 53 579

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 3 – CASH AND INVESTMENTS (Continued)
D. Investments Authorized by Debt Agreements
The City must maintain required amounts of cash and investments with trustees or fiscal agents under the terms of certain debt issues. These funds are unexpended bond proceeds or are pledged reserves to be used if the City fails to meet its obligations under these debt issues. The California Government Code requires these funds to be invested in accordance with City resolutions, bond indentures or State statutes. These bond indentures did not disclose limitations for maximum percentage of portfolio and investment in one issuer. The table below identifies the investment types that are authorized for investments held by fiscal agents. The table also identifies certain provisions of these debt agreements:

Authorized Investment Type Maximum Maturity Minimum Credit Quality Local Agency Municipal Bonds N/A Two highest rating categories U.S. Treasury Obligations N/A N/A
State of California Obligations N/A A2/A
CA Local Agency Obligations N/A N/A
U.S. Agency Securities (A) N/A N/A
Bankers Acceptances 1 year A1
Commercial Paper 270 days A-1 +
Short-Term Certificates of Deposit 1 year A-1+
Repurchase Agreements 30 days A, AMoney Market Mutual Funds N/A AA-M Collateralized Bank Deposits N/A N/A
California Local Agency Investment Fund N/A N/A
Unsecured CD's, deposit accounts, time
deposits, bankers acceptances 365 Days A-1+
Special Revenue Bonds N/A AAPrefunded Municipal Obligations N/A AAA FDIC insured deposit N/A N/A
Investment Agreements N/A AAPre Refunded Municipal Obligations N/A Two highest rating categories Cash N/A N/A
(A) Securities issued by agencies of the federal government such as the Federal Farm Credit Bank (FFCB), the Federal Home Loan Bank (FHLB), the Federal National Mortgage Association (FNMA), Export-Import Bank, Farm Credit System Financial Assistance Corporation, Farmers Home Administration, General Services Administration, United States Maritime Administration, Small Business Administration, Government National Mortgage Association (GNMA), United States Department of Housing & Urban Development (PHA's), the Federal Home Loan Mortgage Corporation (FHLMC) and Federal Housing Administration debentures.

The 2019 Sewer Revenue Bonds also allow investment in Federal Housing Administration debentures.
54 580

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 3 – CASH AND INVESTMENTS (Continued)
E. Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of the City’s investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates.

Information about the sensitivity of the fair values of the City’s investments (including investments held by bond trustees) to market interest rate fluctuations is provided by the following table that shows the distribution of the City’s investments by maturity or earliest call date:
12 Months
Investment Type or less Total
California Local Agency Investment Fund $152,431,402 $152,431,402 Held by Trustees:

Money Market Mutual Funds 1,229,369 1,229,369
U.S. Treasury Bills 5,691,888 5,691,888
Total Investments $159,352,659 159,352,659
Cash in banks and on hand 18,725,902
Total Cash and Investments $178,078,561
F. Local Agency Investment Fund
The City is a participant in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California.

The City reports its investment in LAIF at the amortized costs provided by LAIF, which is the same as the value of the pool share. The balance available for withdrawal is based on the accounting records maintained by LAIF, which are recorded on an amortized cost basis. Each regular LAIF account is permitted to have up to 15 transactions per month, with a minimum transaction amount of $5,000, a maximum transaction amount of $75 million and at least 24 hours advance notice for withdrawals of $10 million or more. Bond proceeds accounts are subject to a one-time deposit with no cap and are set up with a monthly draw down schedule. Included in LAIF’s investment portfolio are collateralized mortgage obligations, mortgage-backed securities, other asset-backed securities, loans to certain state funds, and floating rate securities issued by federal agencies, government-sponsored enterprises, United States Treasury Notes and Bills, and corporations. At June 30, 2025, these investments matured in an average of 248 days.

G. 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.
55 581

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 3 – CASH AND INVESTMENTS (Continued)
The following is a summary of the fair value hierarchy of the City’s investments as of June 30, 2025:

Investment Type Level 1
Exempt or
Amortized Cost Total
California Local Agency Investment Fund $152,431,402 $152,431,402 Held by Trustees:

Money Market Mutual Funds 1,229,369 1,229,369
U.S. Treasury Bills $5,691,888 5,691,888
Total Investments $5,691,888 $153,660,771 $159,352,659
U.S. Treasury Notes totaling $5,691,888 classified in Level 1 of the fair value hierarchy are valued using quoted prices in an active market for identical assets. Matrix pricing is used to value securities based on the securities’ relationship to benchmark quoted prices. These prices are obtained from various pricing sources by the custodian bank. As an external investment pool, the Local Agency Investment Fund is exempt from the fair value hierarchy.

H. 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. The actual ratings as of June 30, 2025 are provided by Standard and Poor’s except as noted.

Total
Investment Type AAAm Investments
Money Market Mutual Funds $1,229,369 $1,229,369
Not rated:

California Local Agency Investment Fund 152,431,402
Exempt from rating requirement:

U.S. Treasury Bills 5,691,888
Total investments $159,352,659
56 582

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 4 – INTERFUND TRANSACTIONS
A. Transfers Between Funds
The purpose of the majority of transfers is to provide annual subsidiary to the transit fund, which has made an expenditure on behalf of another fund. Less often, a transfer may be made to open or close a fund.

Transfers between funds during the fiscal year ended June 30, 2025 were as follows:

Amount
Fund Receiving Transfer Fund Making Transfer Transferred Special Revenue Fund
Belmont Fire Protection District Capital Improvement Projects Capital Project Fund $52,609 (a) Capital Projects Fund
Capital Improvement Projects General Fund (b) & (c) 3,273,339 Belmont Fire Protection District Special Revenue Fund 186,228 (b) Non-Major Governmental Funds 2,124,221 (b)
Sewer Collections Enterprise Fund 2,809,305 (b)
Sewer Connection Fees Enterprise Fund 1,420,724 (b)
Storm Drainage Enterprise Fund 92,784 (b)
Fleet and Equipment Management Internal Service Fund 38,101 (b) Facilities Management Internal Service Fund 51,306 (b)
Non-Major Governmental Funds
Recreation Special Revenue Fund General Fund 1,400,000 (c) Street Maintenance Special Revenue Fund General Fund 1,500,000 (c) Non-Major Enterprise Funds
Storm Drainage General Fund 500,000 (b)
Sewer Collections Enterprise Fund 92,785 (b)
Sewer Connection Fees Sewer Collections Enterprise Fund 2,977,530 (d) $6,470,315
The purposes of the transfers are set forth below:
(a) To return unspent capital projects funding
(b) Transfer to fund capital projects
(c) To fund operations and achieve targeted fund balances. (d) To establish the Sewer Connection Fees Fund
B. Current Interfund Balances
Current interfund balances arise in the normal course of business and are expected to be repaid shortly after at the end of the fiscal year. The Storm Drainage Enterprise Fund owed the General Fund $418,344 as of June 30, 2025.
57 583

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 4 – INTERFUND TRANSACTIONS (Continued)
C. Internal Balances
Internal balances are presented in the Entity-wide financial statements only. They represent the net interfund receivables and payables remaining after the elimination of all such balances within governmental and business-type activities.

NOTE 5 – NOTES RECEIVABLE
These notes are summarized below:

Project Amount
Mid-Peninsula Horizons, Inc. $248,594
Home Buyer Assistance Program 228,250
Firehouse Square 2,437,478
Belmont Family Apartments 3,631,178
Hill Street Affordable Housing 1,007,315
Total notes receivable $7,552,815
The former Belmont Redevelopment Agency (Agency) entered into the loan programs below to improve the quality of housing and to increase the availability of affordable housing. With the dissolution of the former Redevelopment Agency, the City elected to become the successor to the former Agency’s housing activities and as a result assumed the loans receivable as of February 1, 2012.

On September 30, 1992 the former Agency made a loan to Mid-Peninsula Horizons, Inc., a nonprofit corporation, to assist in financing an affordable housing project. The Agency loan is secured by a second deed of trust. The loan bears interest at one percent per annum and is due along with interest in 2039 or the date the project is no longer subject to a related regulatory agreement with HUD, whichever is later.

In fiscal year 1999, the former Agency began providing financial assistance for first time home buyers through the Home Buyer Assistance Program. Loans provide down payment assistance to qualified home buyers in Belmont. Loans are long-term low interest loans for down payments on the purchase of single-family residences, town homes, or condominiums. Loans are secured by a deed of trust.
58 584

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 5 – NOTES RECEIVABLE (Continued)
On October 22, 2019 the City approved Development Agreements with MP Firehouse Square Associates, L.P., and Belmont Firehouse Square LLC for the construction of a new four-story, mixed-use residential/commercial building consisting of 65 affordable rental apartment units, a manager's unit, amenity space, a community room, and 3,748 square feet of retail and commercial space; and a 15-unit market rate for sale townhome component. The project site is located on City-owned property at 1300 El Camino Real and 875 O'Neill Avenue that was to be sold to the developer for $2,616,150. The City had committed to loan the Developer up to $5,598,000, comprised of the Predevelopment Component ($316,000), the Construction Component ($2,000,000) and the Construction Contingency Amount ($2,598,000). On July 14, 2020, the City amended the terms of the Development Agreements to instead ground lease the property to the Developer for a period of seventy (70) years at the rate of one dollar ($1.00) per year, paid annually, and reduce the project funding to a predevelopment loan of up to $1,000,000, a construction loan of up to $1,150,000, and a grant of $1,000,000. Total potential costs to the City will not exceed $5,648,000. During the year ended June 30, 2020, the developer drew down $1,000,000 of the predevelopment loan, and during the year ended June 30, 2021, the developer drew down the construction loan of $1,150,000 and the grant of $1,000,000.

The loans bear simple interest at three percent per annum and is payable from residual receipts as defined in the Agreement and is due upon the earliest of the transfer of the project or the developer’s interest in the property in a manner that is not approved by the City, the occurrence of a Developer event of default, or 70 years from the date of the promissory note or August 2090.

The balance of the loans as of June 30, 2025, including accrued interest, was $2,437,478.

In August 2021, the City and Belmont Firehouse Square, LLC entered into an amended and restated Development Agreement that includes selling property for its appraised value of $4,800,000 for phase 2 of the project, which includes the 15-unit market rate for sale townhomes.

In June 2022, the Agreement was assigned to Belmont Firehouse Square Property, LLC. On June 30, 2022 the City and Belmont Firehouse Square Property, LLC, closed the sale of phase 2 of the Firehouse Square project. Per the Amended and Restated Development Agreement, the developer paid the City $1,000,000 at close of escrow; the balance of the sales price of $3,800,000 was funded by a loan from the City's affordable housing funds. The loan is secured by a promissory note and deed of trust on the property. Prior to or concurrently with the sale of each townhome unit in the project, the Developer is required to pay the City in cash an amount equal to the then outstanding indebtedness under the Promissory Note divided by the number of unsold townhome units existing immediately prior to the sale of such townhome unit, which will be credited to the outstanding balance of the loan. The loan bore compound interest at four percent per month and was payable no later than December 31, 2024. The loan was repaid during the year ended June 30, 2025.
59 585

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 5 – NOTES RECEIVABLE (Continued)
On April 13, 2023, the City approved a Disposition, Development and Loan Agreement with LINCHill Street, L.P., for the construction of Hill Street Affordable Housing, which will consist of approximately thirty-seven units of multi-family rental housing, of which eighteen units will be restricted to occupancy by very low-income households. The City committed to sell property to the developer for the project for $1.00 and loan up to $1 million. The loan will be secured by a promissory note and deed of trust on the property and will bear simple annual interest of three percent. The loan is repayable from residual receipts as defined in the agreement and the loan will be due on the earliest of the transfer of the project or the Developer’s interest in the Property other than a transfer permitted or approved by the City, the occurrence of a Developer event of default under the loan agreement or associated regulatory agreement, or fifty-seven years from the date of the Promissory Note. The land was sold to the developer on April 3, 2025, and the balance of the loan as of June 30, 2025, including accrued interest, was $1,007,315.

In April 2024, the City approved development agreements with Belmont Family Apartments, LP (Developer) for the construction of a 125-unit multi-family affordable housing development, spanning 1.46 acres located at 800-803 Belmont Avenue. The City committed to loan the Developer up to $3,500,000 to finance the acquisition and development of the property. The loan is secured by a promissory note and deed of trust on the property and bear simple annual interest of three percent. The loan is repayable from residual receipts as defined in the loan agreement and the loan will be due on the earliest of the transfer of the project or the Developer’s interest in the development other than a transfer permitted or approved by the City, the occurrence of a Developer event of default under the loan agreement, or fifty-five years from the date of the Promissory Note (April 1, 2024). The balance of the loan as of June 30, 2025, including accrued interest, was $3,631,178.

NOTE 6 – LAND HELD FOR RESALE
The City purchased parcels of land as part of efforts to develop or redevelop properties. Land held for resale is carried in the financial statements at the lower of cost or estimated net realizable value.

With the dissolution of the Redevelopment Agency in fiscal year 2012, the City elected to assume housing activities as the Housing Successor, and the land held for resale was transferred to the Affordable Housing Special Revenue Fund on February 1, 2012.

During the year ended June 30, 2025, the City sold property in the Affordable Housing Special Revenue Fund with a carrying value of $1,023,042 to a developer for $1, as discussed in Note 5 above, which resulted in the loss from sale of land held for redevelopment reflected in the governmental funds statement of revenues, expenditures and changes in fund balance. 60 586

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 7 – CAPITAL ASSETS
A. Capital Asset Additions and Retirements
Capital assets at June 30 comprise:

Balance Balance
June 30, 2024 Additions Retirements Transfers June 30, 2025 Governmental Activities
Capital assets not being depreciated:

Land $13,010,328 $13,010,328
Construction in progress 3,817,058 $3,062,627 ($1,256,418) 5,623,267 Total capital assets not being depreciated 16,827,386 3,062,627 (1,256,418) 18,633,595 Capital assets being depreciated:

Buildings and building improvements 37,986,357 ($1,013,378) 36,972,979 Improvements other than buildings 5,603,220 5,603,220
Streets and infrastructure 80,259,470 3,283,168 1,256,418 84,799,056 Machinery and equipment 7,625,611 253,070 7,878,681
Vehicles 5,172,814 389,981 5,562,795
Subscription assets 774,112 465,644 (553,087) 686,669
Total capital assets being depreciated 137,421,584 4,391,863 (1,566,465) 1,256,418 141,503,400 Less accumulated depreciation for:

Buildings and building improvements 20,605,035 897,125 (402,544) 21,099,616 Improvements other than buildings 2,638,466 245,400 2,883,866 Streets and infrastructure 32,815,950 2,090,884 34,906,834 Machinery and equipment 6,969,057 340,397 7,309,454
Vehicles 4,368,342 337,435 4,705,777
Subscription assets 467,810 341,385 (553,087) 256,108
Total accumulated depreciation 67,864,660 4,252,626 (955,631) 71,161,655 Net depreciable assets 69,556,924 139,237 (610,834) 1,256,418 70,341,745 Governmental activities capital assets, net $86,384,310 $3,201,864 ($610,834) $88,975,340 61 587

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 7 – CAPITAL ASSETS (Continued)
Beginning July 1, 2023, the City created a Capital Improvements Projects Capital Projects Fund to receive all capital-related funding from all City funds, including Enterprise Funds. This fund is used to manage and pay all capital-related costs for the City’s capital improvement plan. At year-end, any construction in progress and capitalized asset balances are transferred to the appropriate Enterprise Funds. The table above shows balances net of Business-Type Activities (the amounts transferred to Enterprise Funds). At June 30, 2025, the Governmental Activities transferred $3,388,354 of construction in progress, and $1,604,884 in capitalized improvements, for total of $4,993,238, to the Sewer Collections Enterprise Fund.

Balance Balance
June 30, 2024 Additions Transfers June 30, 2025
Business-type activities
Capital assets not being depreciated:

Land $14,793 $14,793
Construction in progress 634,353 $3,388,354 ($66,841) 3,955,866 Total capital assets not being depreciated 649,146 3,388,354 (66,841) 3,970,659 Capital assets being depreciated:

Improvements other than buildings 58,249,763 1,604,884 66,841 59,921,488 Machinery and equipment 326,766 326,766
Total capital assets being depreciated 58,576,529 1,604,884 66,841 60,248,254 Less accumulated depreciation
Improvements other than buildings 25,779,076 2,113,819 27,892,895 Machinery and equipment 322,097 1,971 324,068
Total accumulated depreciation 26,101,173 2,115,790 28,216,963 Net depreciable assets 32,475,356 (510,906) 66,841 32,031,291 Business-type activities capital assets, net $33,124,502 $2,877,448 $36,001,950 Additions in the table above reflect the $4,993,238 transferred from Governmental Activities.

B. Capital Asset Contributions
Some capital assets may be acquired using federal and State grant funds, or they may be contributed by developers or other governments. These contributions are required to be accounted for as revenues at the time the capital assets are acquired. 62 588

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 7 – CAPITAL ASSETS (Continued)
C. Depreciation Allocation
Depreciation expense is charged to functions and programs based on their usage of the related assets. The amounts allocated to each function or program are as follows:

Governmental Activities
General Government $1,103,157
Public Safety 88,895
Highways and Streets 1,767,881
Culture and Recreation 323,005
Depreciation Charges to Internal Service Funds 969,688
Total Governmental Activities $4,252,626
Business-Type Activities
Sewer Collections $1,874,151
Storm Drainage 241,639
Total Business-Type Activities $2,115,790
NOTE 8 – LONG TERM DEBT
The City generally incurs long-term debt to finance projects or purchase assets, which will have useful lives equal to or greater than the related debt.

This debt will be repaid only out of governmental funds but is not accounted for in these funds because this debt does not require an appropriation or expenditure in this accounting period.

Proprietary Fund (Enterprise) long-term debt is accounted for in the proprietary funds, which will repay the debt because these funds are accounted for on the full-accrual basis in a similar manner to commercial operations.

The City’s debt issues and transactions are summarized below and discussed in detail thereafter. 63 589

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 8 – LONG TERM DEBT (Continued)
A. Current Year Transactions and Balances
Balance as of June 30, 2025
Balance Balance Due Within Due Beyond
June 30, 2024 Retirements June 30, 2025 One Year One Year

GOVERNMENTAL ACTIVITIES DEBT
Lease Financing
2019 San Mateo County
2%, due 2029 $3,443,237 $596,729 $2,846,508 $609,489 $2,237,019 Total Governmental Activities Debt 3,443,237 596,729 2,846,508 609,489 2,237,019

BUSINESS-TYPE ACTIVITIES DEBT
Bonds:
2016 Sewer Revenue Refunding Bonds

2.00%-5.00%, due serially to 2035 6,205,000 555,000 5,650,000 580,000 5,070,000 Premium 517,438 76,657 440,781 440,781
2016 Sewer Revenue Bonds

2.00%-5.00%, due serially to 2046 15,395,000 120,000 15,275,000 125,000 15,150,000 Premium 28,054 4,158 23,896 23,896
2018 Sewer Treatment Revenue Bonds
5%, due serially to 2048 19,720,000 415,000 19,305,000 435,000 18,870,000 Premium 2,532,322 105,513 2,426,809 2,426,809
2019 Sewer Revenue Bonds
5%, due serially to 2049 16,070,000 315,000 15,755,000 330,000 15,425,000 Premium 3,618,864 141,915 3,476,949 3,476,949
Subtotal Bonds 64,086,678 1,733,243 62,353,435 1,470,000 60,883,435 Direct Placement:

2.15%, due serially to 2033 3,742,000 725,000 3,017,000 740,000 2,277,000 Total Business-Type Activities Debt 67,828,678 2,458,243 65,370,435 2,210,000 63,160,435 Total Long-Term Obligations $71,271,915 $3,054,972 $68,216,943 $2,819,489 $65,397,454 2022 Sewer Treatment Revenue
Refunding Obligations
B. 2019 San Mateo County Lease Agreement
On December 18, 2019, the City entered into Lease and Sublease Agreements with the County of San Mateo under which the City leased the Belmont Sports Complex & Conference Center to the County for which the County made a one-time up-front lease payment to the City in the amount of $6,000,000. Simultaneously, the City will sublease back from the County with annual rental payments over a lease term of 10 years, at a fixed interest rate of 2% per year. The Sublease is secured by the Belmont Sports Complex and the funds are to be used for turf replacement. The Sublease is repayable in semi-annual payments of $334,000 beginning April 15, 2020 through December 15, 2029. While the pledge of repayment is from the General Fund, repayment will be made from Planned Park (Quimby/Park In Lieu) and Park Impact Fees. To terminate the Sublease after having fully paid all installment payments through and including the year seven payment, the City may make a one-time, lumpsum payment to the County of $1,926,013.
64 590

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 8 – LONG TERM DEBT (Continued)
C. Summary of Sewer Debt Issues
On October 1, 2018, the Authority issued $21,385,000 in Sewer Treatment Facility Revenue Bonds, Series 2018. Proceeds will be used to finance certain improvements to the Silicon Valley Clean Water’s sewer treatment facility. Interest is due semiannually on February 1 and August 1 and principal is due annually on August 1 and is payable on parity with the 2009A bonds solely from Sewer Treatment Facility Revenues. Interest on the Bonds commenced August 1, 2019.

The bond covenants contain events of default that require the revenue of the City to be applied by the Trustee as specified in the terms of the agreement if any of the following conditions occur: default on debt service payments; the failure of the City to observe or perform the conditions, covenants, or agreement terms of the debt; or bankruptcy filing by the City. There were no such events during the fiscal year ending June 30, 2025.

On April 29, 2022, the Authority issued $6,408,000 principal amount of 2022 Sewer Treatment Facilities Revenue Refunding Obligations. Proceeds from the Installment Purchase Agreement were used to refund the Sewer Treatment Facility Revenue Bonds, Series 2009A. Interest is due semiannually on February 1 and August 1 and principal is due annual on August 1 and is payable solely from Sewer Treatment Facility Revenues. The Agreement is on parity with the Series 2018 Bonds. Principal and interest payments on the Agreement commence on August 1, 2022 and continue through 2033. The Agreement contains events of default that allow the Authority to declare all principal and accrued interest to be immediately due and payable if any of the following conditions occur: default on debt service payments; failure of the City to observe or perform the conditions, covenants or agreement terms of the Agreement; or bankruptcy filing by the City. There were no such events during the fiscal year ending June 30, 2025. The 2009A Bonds were called on May 27, 2022.

The pledge of future Sewer Treatment Facility charges ends upon repayment of $36,313,164 in remaining debt service on the 2018 Bonds and 2022 Obligations which is scheduled to occur in 2048. For fiscal year 2025, Sewer Treatment Facility Revenues amounted to $3,762,153 and debt service was $2,188,284.

On March 2016, the Authority issued $9,945,000 in Sewer Revenue Refunding Bonds, Series 2016 and $16,120,000 in Sewer Revenue Bonds, Series 2016 with interest rates ranging from

3.0% to 5.0% and 2.0% to 5.0% respectively. The $11,094,848 in net proceeds (including a $1,149,848 premium and after payment of $104,670 in underwriting fees and other issuance costs) of the Sewer Revenue Refunding Bonds, Series 2016, were used to refund $10,830,000 of outstanding 2001 and 2006 Series Sewer Revenue Bonds which had interest rates ranging from

4.375% to 5.00% and 4.00% to 4.375% respectively. The net proceeds of $15,182,357 from the Sewer Revenue Bonds, Series 2016 (including a $62,357 premium and after payment of $169,662 in underwriting fees and other issuance costs) have been used to finance improvements to the City’s sewer system.
65 591

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 8 – LONG TERM DEBT (Continued)
The 2016 Revenue Bonds are general obligations of the City, payable solely from System Revenues and all amounts on deposit in the System Revenue Fund collected by the City of Belmont. The bond covenants contain events of default that require the revenue of the City to be applied by the Trustee as specified in the terms of the agreement if the following condition occurs: default on debt service payments. There were no such events during the fiscal year ending June 30, 2025.

On November 20, 2019, the Authority issued $17,095,000 principal amount of Sewer Revenue Bonds, Series 2019. Proceeds will be used to finance certain improvements to the sewer collection, conveyance and treatment system of the City. Interest is due semiannually on February 1 and August 1, commencing February 1, 2020 and principal is due annually on August

1. The Bonds are payable on parity with the 2016 bonds, solely from System Revenues and all amounts on deposit in the System Revenue Fund collected by the City. The Bonds are structured with a par optional redemption date of August 1, 2029. The bond covenants contain events of default that require the revenue of the City to be applied by the Trustee as specified in the terms of the agreement if the following condition occurs: default on debt service payments.

There were no such events during the fiscal year ending June 30, 2025.

The pledge of future Sewer Collections Fund Revenues ends upon repayment of $56,430,893 in remaining debt service on the 2016 Sewer Revenue Refunding Bonds, 2016 Sewer Revenue Bonds and 2019 Sewer Revenue Bonds, which is scheduled to occur in 2049. For fiscal year 2025, Sewer Fund Revenues, excluding sewer treatment facility revenue, including operating revenues, but not connection charges or non-operating interest earnings, amounted to $15,529,099 and operating costs including operating expenses, but not interest, depreciation or amortization amounted to $7,793,456. Net revenues available for debt service amounted to $7,735,643 and debt service was $2,486,195.

D. Debt Service Requirements
Annual debt service requirements are shown below for all long-term debt with specified repayment terms:

Business-Type Activities
For the Year Ending Lease Financing Bonds Direct Placement June 30 Principal Interest Principal Interest Principal Interest 2026 $609,489 $58,511 $1,470,000 $2,399,946 $740,000 $56,911 2027 622,522 45,478 1,545,000 2,324,572 757,000 40,818
2028 635,757 32,243 1,625,000 2,257,021 304,000 29,412
2029 649,427 18,573 1,675,000 2,198,146 314,000 22,769
2030 329,313 4,686 1,735,000 2,136,364 176,000 17,502
2031 - 2035 9,845,000 9,483,230 726,000 31,627
2036 - 2040 12,090,000 7,214,515
2041 - 2045 14,850,000 4,365,054
2046 - 2050 11,150,000 1,164,170
Total $2,846,508 $159,491 $55,985,000 $33,543,018 $3,017,000 $199,039 Governmental Activities
66 592

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 8 – LONG TERM DEBT (Continued)
E. Special Assessment Debt With No City Commitment
On February 4, 2004, the Community Facilities District No. 2000-1 issued Special Tax Bonds, Series 2004A for $8,650,000 to finance the construction, maintenance and building operations of a new library. The City has no legal or moral liability with respect to the payment of this debt, which is secured by proceeds of an annual special tax levy received by the District. Therefore, this debt is not included in the long-term debt of the City. As of June 30, 2025, the outstanding balance was $3,190,000.

Pursuant to the terms of the underlying indenture for the Special Tax Bonds, the Trustee holds a Surety Bond issued by AMBAC Assurance Corporation as a debt service reserve for the Bonds.

During fiscal 2010-11, AMBAC declared bankruptcy. As of the date of this report, the Trustee had not requested, and the District had not obtained, a replacement surety bond.

F. Defeased Bonds
On August 19, 2014, the Successor Agency issued the $7,375,000 Series 2014A Senior Tax Allocation Refunding Bonds to facilitate a current refunding of the outstanding 1999A Bonds; and the $3,050,000 Series 2014AB Subordinate Tax Allocation Refunding Bonds to facilitate a current refunding of both outstanding 1999B Bonds and 1996 Housing Set-Aside Bonds.

In December 2021, the Successor Agency received a one-time lump sum allocation of property taxes from San Mateo County in the amount of $3,856,881, which the Successor Agency used along with cash on hand and available debt service fund totaling $598,684 to advance refund $4,100,000 of the outstanding 2014AB Bonds, which were to mature in fiscal year 2030. In January 2022, the Successor Agency deposited $4,455,565 in an irrevocable trust with an escrow agent to provide funds for the future debt service payments on the refunded bonds until they can be called in August 2024. As a result, the 2014AB Bonds are considered defeased and the liability for those bonds has been removed from the statement of net position. The defeasance was undertaken to terminate the Successor Agency’s enforceable financial obligations, expedite dissolution of the Successor Agency, and generate tax savings and benefit for local taxing entities and resulted in a savings to the Redevelopment Property Tax Trust Fund of $719,564. The final payment on the 2014AB Bonds was made in August 2024 and the bonds were fully redeemed as of June 30, 2025. 67 593

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 9 – NET POSITION AND FUND BALANCES
Net Position is measured on the full accrual basis while Fund Balance is measured on the modified accrual basis.

A. Net Position
Net Position is the excess of all the City’s assets and deferred outflows, if any, over all its liabilities and deferred inflows, if any, regardless of fund. Net Position is divided into three captions. These captions apply only to Net Position, which is determined only at the Government-wide level, and are described below.

Net Investment in Capital Assets describes the portion of Net Position which is represented by the current net book value of the City’s capital assets, less the outstanding balance of any debt issued to finance these assets.

Restricted describes the portion of Net Position which is restricted as to use by the terms and conditions of agreements with outside parties, governmental regulations, laws, or other restrictions which the City cannot unilaterally alter. These principally include developer fees received for use on capital projects, debt service requirements, and redevelopment funds restricted to low and moderate income housing purposes.

Unrestricted describes the portion of Net Position which is not restricted to use.

B. Fund Balances
Governmental fund balances represent the net current assets of each fund. Net current assets generally represent a fund’s cash and receivables, less its liabilities.

The City’s fund balances are classified in accordance with generally accepted accounting principles which require the City to classify its fund balances based on spending constraints imposed on the use of resources. For programs with multiple funding sources, the City prioritizes and expends funds in the following order: Restricted, Committed, Assigned, and Unassigned. Each category in the following hierarchy is ranked according to the degree of spending constraint:

Nonspendables represents balances set aside to indicate items do not represent available, spendable resources even though they are a component of assets. Fund balances required to be maintained intact, such as Permanent Funds, and assets not expected to be converted to cash, such as prepaids, notes receivable, and land held for resale are included. However, if proceeds realized from the sale or collection of nonspendable assets are restricted, committed or assigned, then Nonspendable amounts are required to be presented as a component of the applicable category.
68 594

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 9 – NET POSITION AND FUND BALANCES (Continued)
Restricted fund balances have external restrictions imposed by creditors, grantors, contributors, laws, regulations, or enabling legislation which requires the resources to be used only for a specific purpose. Nonspendable amounts subject to restrictions are included along with spendable resources.

Committed fund balances have constraints imposed by resolution of the City Council which may be altered only by resolution of the City Council. Nonspendable amounts subject to council commitments are included along with spendable resources.

Assigned fund balances are amounts constrained by the City’s intent to be used for a specific purpose, but are neither restricted nor committed. Intent is expressed by the City Council or its designee and may be changed at the discretion of the City Council or its designee. This category includes encumbrances; Nonspendables, when it is the City’s intent to use proceeds or collections for a specific purpose, and residual fund balances, if any, of Special Revenue, Capital Projects and Debt Service Funds which have not been restricted or committed. Through a Council Resolution, the City Council has designated the City Manager to determine the amount of assigned fund balances.

Unassigned fund balance represents residual amounts that have not been restricted, committed, or assigned. This includes the residual general fund balance and residual fund deficits, if any, of other governmental funds.
69 595

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 9 – NET POSITION AND FUND BALANCES (Continued)
Detailed classifications of the City’s fund balances, as of June 30, 2025, are below:

Belmont
Fire Capital Non-Major
General Protection Development Affordable Improvement Governmental Fund Balance Classifications Fund District Services Housing Projects Funds Total Nonspendables:

Items not in spendable form:

Leases $692,918 $692,918
Prepaids 391,262 $49,550 440,812
Land held for resale 298,748 298,748
Total Nonspendable Fund Balances 1,382,928 49,550 1,432,478 Restricted for:

Qualified Capital Outlay 5,029,901 $10,368,540 15,398,441 Transportation and
Street Maintenance $9,124,886 9,124,886
Belmont Fire Protection District 21,133,942 21,133,942
Special Revenue Programs:

Recreation 609,244 609,244
Library Maintenance & Operations 210,635 210,635
City Trees 230,412 230,412
Athletic Field Maintenance 446,054 446,054
Senior Donations 104,768 104,768
Public Art 437,770 437,770
Affordable Housing $4,033,613 3,540,725 7,574,338
Public Safety 166,414 166,414
Capital Projects $2,705,202 1,929,823 4,635,025
Special Assessment District 341,217 341,217
Total Restricted Fund Balances 5,029,901 31,502,482 2,705,202 17,141,948 60,413,146 Committed to:

Special Revenue Programs:

Development Services $2,814,393 2,814,393
General Plan Maintenance 804,797 804,797
Public Safety 35,063 35,063
Total Committed Fund Balances 2,814,393 839,860 3,654,253 Assigned to:

Capital Projects 3,018,364 3,018,364
Total Assigned Fund Balances 3,018,364 3,018,364
Unassigned 31,602,484 31,602,484
Total Unassigned Fund Balances 31,602,484 31,602,484
Total Fund Balances $38,015,313 $31,502,482 $2,814,393 $4,033,613 $2,705,202 $21,049,722 $100,120,725 C. Minimum Fund Balance Policies
The City Council has established a policy with adoption of the annual budget that the General Fund balance should be maintained at a target of 33% of operating expenditures. In addition, the City Council has established a $250,000 Contingency appropriation which may be used to pay for an emergency or an uncertain occurrence. The use of contingency funds requires City Council approval. As of June 30, 2025, the City is in compliance with its minimum fund balance policies.
70 596

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 9 – NET POSITION AND FUND BALANCES (Continued)
D. Net Position and Fund Balance Restricted for Qualified Capital Outlay The City established Reserves for Qualified Capital Outlay in the General Fund and in the Belmont Fire Protection District Special Revenue Fund and transferred $3,963,435 and $4,176,059, respectively, into the reserve amounts from fiscal year 2025 necessary to ensure compliance with State Gann Limit provisions. These funds are to be used solely to pay for Gann Limit excludable capital expenditures. To qualify, they must be for assets with a value greater than $100,000 and a useful life of at least 10 years.

During fiscal year ended June 30, 2025, qualified capital expenditures of $3,273,339 and $133,619 were incurred by the City and District, respectively, leaving remaining restricted balances of $5,029,901 and $10,368,540 at year-end. The balance in the General Fund includes a restriction on the Measure I fund balance of $3,599,388 and General Fund balance of $1,430,513.

E. Belmont Fire Protection District
The District established a $14,750,000 reserve of fund balance for the future replacement of a fire station. The reservation is included in the Belmont Fire Protection District Special Revenue Fund’s restricted fund balance.

F. Net Investment In Capital Assets
The balances related to Net Investment in Capital Assets are comprised of the following as of June 30, 2025:

Governmental Business-Type
Activities Activities Total
Capital Assets, Net of Accumulated Depreciation $88,975,340 $36,001,950 $124,977,290 Less Capital Debt (3,301,045) (40,621,626) (43,922,671) Plus Unspent Bond Proceeds 402,294 7,095,753 7,498,047
Net Investment in Capital Assets $86,076,589 $2,476,077 $88,552,666 71 597

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 9 – NET POSITION AND FUND BALANCES (Continued)
G. Restatement of Net Position
Adjustments to and restatements of beginning balances during fiscal year 2025 related to changes to or within the financial reporting entity, changes in accounting principles and an error correction resulted in adjustments to and restatements of beginning net position, as follows:

Change to or
within the Change in
Financial Accounting Error
June 30, 2024 Reporting Entity Principle Correction
As Previously (Non-Major Fund (Compensated (Unavailable June 30, 2024 Reported to Major Fund) Absences) Revenue) As Adjusted
Government-Wide
Governmental Activities $155,428,433 ($950,285) $3,500,000 $157,978,148 Business-Type Activities 72,657,104 72,657,104
Total Primary Government $228,085,537 ($950,285) $3,500,000 $230,635,252 Governmental Funds
Major Funds:

General Fund $35,467,117 $35,467,117
Belmont Fire Protection District 25,881,805 25,881,805
Development Services 2,019,687 2,019,687
Affordable Housing $6,056,433 6,056,433
Capital Improvement Projects 3,292,421 3,292,421
Nonmajor Funds 25,963,375 (6,056,433) 19,906,942
Total Governmental Funds $92,624,405 $92,624,405
Proprietary Funds
Major Funds:

Sewer Collections $40,306,708 $40,306,708
Sewer Treatment 28,834,072 28,834,072
Storm Drainage 1,406,351 ($1,406,351)
Nonmajor Funds 2,109,973 1,406,351 3,516,324
Total Proprietary Funds $72,657,104 $72,657,104
Change in Accounting Principle – GASB 101 – The provisions of GASB Statement No. 101, Compensated Absences, were effective for the fiscal year ended June 30, 2025, and implementation requires the restatement of the balances of compensated absences as of July 1, 2024.

Error Correction – Unavailable Revenue - During fiscal year 2025, the City discovered that unavailable revenue in the amount of $3.5 million had been reported as unearned revenue in the Statement of Net Position as of June 30, 2024. The correction to recognize the elimination of the unearned revenue and a corresponding reduction in expenses has been recorded as a restatement of net position as of July 1, 2024 in the Statement of Activities. 72 598

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 10 – LEASES
A. Policies
A lease is defined as a contract that conveys control of the right to use another entity’s nonfinancial asset (the underlying asset) as specified in the contract for a period of time in an exchange or exchange-like transaction. Examples of nonfinancial assets include buildings, land, vehicles, and equipment. The City recognizes lease receivable or liabilities with an initial, individual value of $100,000 or more, based on the future lease payments remaining at the start of the lease.

Lessee – The City does not have any noncancellable leases of nonfinancial assets as of June 30, 2025, other than the financed purchase discussed in Note 8. If there were such leases outstanding, the City would recognize a lease liability and an intangible right-to-use lease asset (lease asset) in the government-wide financial statements.

At the commencement of a lease, the City initially measures the lease liability at the present value of payments expected to be made during the lease term. Subsequently, the lease liability is reduced by the principal portion of lease payments made. The lease asset is initially measured as the initial amount of the lease liability, adjusted for lease payments made at or before the lease commencement date, plus certain initial direct costs. Subsequently, the lease asset is amortized on a straight-line basis over its useful life.

Key estimates and judgments related to leases include how the City determines (1) the discount rate it uses to discount the expected lease payments to present value, (2) lease term, and (3) lease payments as follows:
• The City uses the interest rate charged by the lessor as the discount rate. When the interest rate charged by the lessor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate for leases. • The lease term includes the noncancellable period of the lease. • Lease payments included in the measurement of the lease liability are composed of fixed payments and purchase option price that the City is reasonably certain to exercise.

The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure the lease asset and liability if certain changes occur that are expected to significantly affect the amount of the lease liability.

Lease assets are reported with other capital assets and lease liabilities are reported with longterm debt on the statement of net position.

Lessor – The City is a lessor for noncancellable leases of buildings and facilities. The City recognizes a lease receivable and a deferred inflow of resources in the government-wide and fund financial statements.
73 599

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 10 – LEASES (Continued)
At the commencement of a lease, the City initially measures the lease receivable at the present value of payments expected to be received during the lease term. Subsequently, the lease receivable is reduced by the principal portion of lease payments received. The deferred inflow of resources is initially measured as the initial amount of the lease receivable, adjusted for lease payments received at or before the lease commencement date. Subsequently, the deferred inflow of resources is recognized as revenue over the life of the lease term.

Key estimates and judgments include how the City determines (1) the discount rate it uses to discount the expected lease receipts to present value, (2) lease term, and (3) lease receipts as follows:
• The City uses its estimated incremental borrowing rate as the discount rate for leases. • The lease term includes the noncancellable period of the lease. • Lease receipts included in the measurement of the lease receivable is composed of fixed payments from the lessee.

The City monitors changes in circumstances that would require a remeasurement of its lease, and will remeasure the lease receivable and deferred inflows of resources if certain changes occur that are expected to significantly affect the amount of the lease receivable.

B. Leases Receivable
The balances related to leases receivable and deferred inflows of resources as of June 30, 2025 were:

Lease Deferred Inflows
Receivable of Resources
Governmental Activities
Leases Receivable (Lessor)
1070 Sixth Avenue Rentals $185,946 $166,850
Facilities Rentals 574,959 506,137
Billboard Lease 4,758,808 4,235,377
Airspace Lease 1,592,339 1,510,770
Total governmental activities leases receivable $7,112,052 $6,419,134 74 600

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 10 – LEASES (Continued)
The City’s leases receivable and transactions are summarized below and discussed in detail thereafter.

Balance Balance
June 30, 2024 Retirements June 30, 2025
Governmental Activities
Leases Receivable (Lessor)
1070 Sixth Avenue Rentals $266,975 $81,029 $185,946
Facilities Rentals 725,501 150,542 574,959
Billboard Lease 4,831,678 72,870 4,758,808
Airspace Lease 1,680,591 88,252 1,592,339
Total governmental activities leases receivable $7,504,745 $392,693 $7,112,052 1070 Sixth Avenue Rentals – The City leases office space attached to City Hall to third parties.

During the year ended June 30, 2025, of the three office space leases, the City had two leases that were subject to being recorded as leases receivable under generally accepted accounting principles. The original lease terms were just over five years each and as of June 30, 2025, the two leases had two years remaining. The leases can be renewed for one additional five year term upon written notice of the tenant. The City recognized $80,087 in lease revenue and $5,500 in interest revenue during the current fiscal year related to these leases. Also, the City has deferred inflows of resources associated with these leases that will be recognized as revenue over the lease term.

Facilities Rentals – The City leases various facilities to third parties. During the year ended June 30, 2025, the City had three leases, with original lease terms ranging from ten to thirty years and as of June 30, 2025, the leases had 2 to 7 years remaining. The City recognized $154,340 in lease revenue and $19,721 in interest revenue during the current fiscal year related to these leases. Also, the City has deferred inflows of resources associated with these leases that will be recognized as revenue over the lease term.

Billboard Lease – The City leases billboard space to a third party. The original term of the lease was thirty years and as of June 30, 2025, the lease had 22 years remaining. The rent is based on a minimum annual guaranteed payment, paid on a monthly basis, which increases 3% per year.

In addition, the City receives a percentage rent if that amount exceeds the minimum annual guaranteed payment. The City recognized $194,730 in lease revenue and $143,972 in interest revenue during the current fiscal year related to this lease. Also, the City has deferred inflows of resources associated with this lease that will be recognized as revenue over the lease term.

Airspace Lease – The City leases airspace to a third party. The original term of the lease was twenty years, but the most recent amendment in October 2019 extended the lease term for ten years, with two five year options. As of June 30, 2025, the City determined that the remaining lease term is sixteen years. The City recognized $106,019 in lease revenue and $49,211 in interest revenue during the current fiscal year related to this lease. Also, the City has deferred inflows of resources associated with this lease that will be recognized as revenue over the lease term.
75 601

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 11 – PENSION PLAN
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 Plan and additions to/deductions from the Plan fiduciary net position have been determined on the same basis as they are reported by the CalPERS Financial Office. For this purpose, benefit payments (including refunds of employee contributions) are recognized when currently due and payable in accordance with the benefit terms. Investments are reported at fair value.

A. General Information about the Pension Plan
Plan Description – All qualified employees are eligible to participate in the City’s separate Safety (Police and Fire) and Miscellaneous (all other) Employee Pension Rate Plans. The City’s Miscellaneous and Safety Rate Plans are part of the public agency cost-sharing multipleemployer defined benefit pension plan (PERF C), which is administered by the California Public Employees’ Retirement System (CalPERS). PERF C consists of a miscellaneous pool and a safety pool (also referred to as “risk pools”), which are comprised of individual employer miscellaneous and safety rate plans, respectively. Individual employers may sponsor more than one miscellaneous and safety rate plan. The employer participates in one cost-sharing multipleemployer defined benefit pension plan, regardless of the number of rate plans the employer sponsors. The City sponsors six rate plans and the District sponsors three rate plans as follows:
• City Miscellaneous (Tier 1)
• City Miscellaneous (Tier 2)
• City Miscellaneous (Tier 3)
• City Safety (Tier 1)
• City Safety (Tier 2)
• City Safety (Tier 3)
• District Safety (Tier 1)
• District Safety (Tier 2)
• District Safety (Tier 3)
The Plan is administered by the California Public Employees’ Retirement System (CalPERS).

Benefit provisions under the Plan are established by State statute and City resolution. CalPERS issues publicly available reports that include a full description of the pension plan regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website (www.calpers.ca.gov.)
With the transfer of the District’s personnel to the San Mateo Consolidated Fire Department Joint Powers Authority in January 2019 discussed in Note 15A, the District’s Safety Plan is closed to new entrants.
76 602

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 11 – PENSION PLAN (Continued)
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 1959 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.

The Plan’s provisions and benefits in effect at June 30, 2025 are summarized as follows:

Tier 1 Tier 2 Tier 3
Hire date
Prior to
August 1, 2012 (1)
On or after
August 1, 2012 (1)
On or after
January 1, 2013
Benefit formula 2% @ 55 2% @ 55 2% @ 62
Benefit vesting schedule 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life Final Average Compensation Period One Year Three Year Three Year Retirement age 50 - 67 50 - 67 52 - 67
Monthly benefits, as a % of eligible compensation 1.426% to 2.418% 1.426% to 2.418% 1.0% to 2.5% Required employee contribution rates 7.0% 7.0% 8.0%
Required employer contribution rates (normal cost) 12.81% 12.17% 7.94% Tier 1 Tier 2 Tier 3
Hire date
Prior to
October 1, 2011
On or after
October 1, 2011
On or after
January 1, 2013
Benefit formula 3% @ 50 3% @ 55 2.7% @ 57
Benefit vesting schedule 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life Final Average Compensation Period One Year Three Year Three Year Retirement age 50 50 - 55 50 - 57
Monthly benefits, as a % of eligible compensation 3.0% 2.4% to 3.0% 2.0% to 2.7% Required employee contribution rates 9.0% 9.0% 13.75%
Required employer contribution rates (normal cost) 27.32% 23.00% 13.76% District Safety Rate Plans
Tier 1 Tier 2 Tier 3
Hire date
Prior to January 1,
2012
On or after
January 1, 2012
On or after
January 1, 2013
Benefit formula 3% @ 55 2% @ 50 2.7% @ 57
Benefit vesting schedule 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life Final Average Compensation Period Three Year Three Year Three Year Retirement age 50 - 55 50 - 55 50 - 57
Monthly benefits, as a % of eligible compensation 2.4% to 3.0% 2.0% to 2.7% 2.0% to 2.7% Required employee contribution rates 0.0% 0.0% 0.0%
Required employer contribution rates (normal cost) 0.0% 0.0% 0.0% City Safety Rate Plans
City Miscellaneous Rate Plans
(1) For unrepresented employees, the hire date that determines the level of benefits is December 28, 2012. 77 603

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 11 – PENSION PLAN (Continued)
Beginning in fiscal year 2016, CalPERS collects employer contributions for the Plan as a percentage of payroll for the normal cost portion as noted in the rates above and as a dollar amount for contributions toward the unfunded liability. The dollar amounts are billed on a monthly basis or may be paid in a lump sum at a discount. The City’s and District’s required contributions for the unfunded liability were $3,755,278 and $364,088, respectively, in fiscal year 2025, which were made under the lump sum option.

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 the Plan are determined annually on an actuarial basis as of June 30 by CalPERS. 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. Employer contribution rates may change if plan contracts are amended. Payments made by the employer to satisfy contribution requirements that are identified by the pension plan terms as plan member contribution requirements are classified as plan member contributions.

For the year ended June 30, 2025, the contributions recognized as part of pension expense for the Plan were as follows:

Safety Miscellaneous Total
Contributions - employer $2,926,730 $3,505,644 $6,432,374 During fiscal year 2025, the City made additional contributions to reduce the unfunded liability balances in the Safety and Miscellaneous rate plans in the amounts of $114,518 and $123,250, respectively, which are Included in the contribution amounts above.

B. Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions
As of June 30, 2025, the City reported the collective net pension liabilities for its proportionate shares of the net pension liability of the Plan as follows:

Share of Net
Pension Liability
Safety Rate Plans $22,245,259
Miscellaneous Rate Plans 25,014,759
Total Net Pension Liability $47,260,018
78 604

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 11 – PENSION PLAN (Continued)
Pension liabilities are liquidated by the fund that has recorded the liability. The long-term portion of governmental activities net pension liabilities is liquidated primarily by the General Fund and the Belmont Fire Protection District Special Revenue Fund.

The City’s net pension liability for the Plan is measured as the proportionate share of the net pension liability. The net pension liability of the Plan is measured as of June 30, 2024, and the total pension liability for the Plan used to calculate the net pension liability was determined by an actuarial valuation as of June 30, 2023, rolled forward to June 30, 2024 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 plan relative to the projected contributions of all participating employers, actuarially determined. The City’s proportionate share of the net pension liability for the Plan as of June 30, 2023 and 2024 was as follows:

Safety Miscellaneous
Proportion - June 30, 2023 0.31% 0.51%
Proportion - June 30, 2024 0.31% 0.52%
Change - Increase (Decrease) 0.00% 0.01%
For the year ended June 30, 2025, the City recognized pension expense of $8,738,928. On June 30, 2025, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Deferred Outflows Deferred Inflows
of Resources of Resources
Pension contributions subsequent to measurement date $6,432,374 Differences between actual and expected experience 3,978,166 ($143,416) Changes in assumptions 1,191,008
Net differences between projected and actual earnings on plan investments 2,515,303
Change in proportion and differences between actual
contributions and proportionate share of
contributions 625,600 (1,617,966)
Total $14,742,451 ($1,761,382)
$6,432,374 reported as deferred outflows of resources related to contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ended June 30, 2026. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense (credits) as follows:

Year Ended Annual
June 30 Amortization
2026 $2,056,040
2027 5,492,411
2028 ($138,365)
2029 ($861,391)
Total $6,548,695
79 605

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 11 – PENSION PLAN (Continued)
Actuarial Assumptions – For the measurement period ended June 30, 2024, the total pension liability was determined by rolling forward the June 30, 2023 total pension liability. The June 30, 2023 total pension liability was based on the following actuarial methods and assumptions:

Valuation Date June 30, 2023
Measurement Date June 30, 2024
Actuarial Cost Method Entry-Age Normal Cost Method
Actuarial Assumptions:

Discount Rate 6.90%
Inflation 2.30%
Salary Increases Varies by entry age and service
Mortality Derived using CalPERS’ membership data for all funds (1) Post Retirement Benefit Increase
(1) The mortality table used was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2021 CalPERS Experience Study for the period from 2001 to 2019. Pre-retirement and Postretirement mortality rates include generational mortality improvement using 80% of Scale MP-2020 published by the Society of Actuaries. For more details on this table, please refer to the CalPERS Experience Study and Review of Actuarial Assumptions report from November 2021 that can be found on the CalPERS website.

The lesser of contract COLA or 2.30% until Purchasing Power Protection Allowance floor on purchasing power applies, 2.30% thereafter
The underlying mortality assumptions and all other actuarial assumptions used in the June 30, 2023 valuation were based on the results of a November 2021 actuarial experience study for the period 2001 to 2019. Further details of the Experience Study can be found on the CalPERS website.

Discount Rate – The discount rate used to measure the total pension liability for the Plan was

6.90%. The projection of cash flows used to determine the discount rate for the Plan assumed that contributions from all plan members in the Public Employees Retirement Fund (PERF) 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.

The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.

In determining the long-term expected rate of return, CalPERS took into account both shortterm and long-term market return expectations. Using historical returns of all the funds’ asset classes, expected compound returns were calculated over the next 20 years using a buildingblock approach. The expected rate of return was then adjusted to account for assumed administrative expenses of 10 basis points.
80 606

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 11 – PENSION PLAN (Continued)
The expected real rates of return by asset class are as follows:

Asset Class (a)
Assumed
Asset
Allocation
Real Return
Years (a), (b)
Global Equity - Cap-weighted 30% 4.54%
Global Equity - Non-Cap-weighted 12% 3.84%
Private Equity 13% 7.28%
Treasury 5% 0.27%
Mortgage-backed Securities 5% 0.50%
Investment Grade Corporates 10% 1.56%
High Yield 5% 2.27%
Emerging Market Debt 5% 2.48%
Private Debt 5% 3.57%
Real Assets 15% 3.21%
Leverage -5% -0.59%
Total 100%
(b) Figures are based on the 2021 Asset Liability Management Study. (a) An expected inflation of 2.30% used for this period.

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 the Plan, calculated using the discount rate for the 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:

Discount Rate
1% Decrease Current 1% Increase

5.90% 6.90% 7.90%
Safety $34,341,410 $22,245,259 $12,352,308
Miscellaneous 38,290,171 25,014,759 14,087,140
Total $72,631,581 $47,260,018 $26,439,448
81 607

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS
A. General Information about the City’s Other Post Employment Benefit (OPEB) Plans By resolution and through agreements with its labor units, the City and District provide certain health care benefits for retired employees (spouse and dependents are not included) under thirdparty insurance plans (Retiree Health Care Benefits Plans). The City and District participate in the CalPERS health care plan, which is governed under the California Public Employees Health and Medical Care Act (PEMCHA). During fiscal year 2008, the City Council and, during fiscal year 2012, the District passed resolutions to participate in the California Employers Retirees Benefit Trust (CERBT), an irrevocable trust established to fund OPEB. CERBT is an agent multiple-employer defined benefit other postemployment benefits plan administrated by CalPERS, and is managed by an appointed board not under the control of the City Council or Fire Board of Directors. CERBT consists of participating employers of the State of California and public agencies. Individual employers may establish more than one plan.

The CERBT was established by Chapter 331 of the 1988 California Statutes, and employers elect to participate in the CERBT to pre-fund health, dental, and other non-pension postemployment benefits for their retirees and survivors. The CERBT has pooled administrative and investment functions, while separate employer accounts are maintained to prefund and pay for health care or other postemployment benefits in accordance with the terms of the participating employers’ plans. There are three CalPERS Board approved investment strategies for employers to choose from depending on their expected levels of return and volatility. Benefit provisions are established by participating employers.

The CERBT Trusts are not considered a component unit by the City or District and have been excluded from these financial statements. Separately issued financial statements for CERBT may be obtained from CALPERS at P.O. Box 942709, Sacramento, CA 94229-2709. 82 608

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
A summary of eligibility and retiree contribution requirements for the City and District Plans are shown below by bargaining unit:

Eligibility Service or Disability Retirement from the City - Age and service requirements:

AFSCME
- 50 & 10 hired before 7/1/1985 and retired before 7/1/2001 - 50 & 12 retired after 7/1/2001 and retired before 8/1/2012 - 50 & 12 hired after 8/1/2012 or who retire due to disability BPOA
- 50 & 12 retired before 7/1/2001
- 50 & 12 retired on or after 7/1/2001 and hired before 10/11/2011 - 50 & 12 hired on or after 10/11/2011
MMCEA
- 50 & 12 retired before 7/1/2001
- 50 & 12 retired on or after 7/1/2001 and hired before 10/1/2012 - 50 & 12 hired on or after 10/1/2012 or who retire due to disability Unrepresented
- 50 & 12 retired before 7/1/2001
- 50 & 12 retired on or after 7/1/2001 and hired before 1/1/2013 - 50 & 12 hired on or after 1/1/2013 or who retire due to disability Service or Disability Retirement from District
- 50 & 5
Transitioning to District from BSCFD
- 50 & 15 including service with BSCFD or South County Fire Authority, provided that 5 years must be with the District; or effective 10/1/2012, employees with 25 years of service (including any time served with SCFA or BSCFD) may retire after 3 years.

Benefit Service Retirement:
- Retire before 7/1/2001 - Region 1 premium for retiree selected plan - Retire on or after 7/1/2001 and hired prior to 10/11/2011 (BPOA), 10/1/2012 (MMCEA), 8/1/2012 (AFCME), 1/1/2013 (Unrepresented) - Receive a benefit which, when added to the CalPERS Minimum Employer Contribution, brings the total up to the lesser of the Region 1 single premium rate for the medical plan selected by the retiree and the Region 1 Kaiser single rate.
- Hired on or after 10/11/2011 (BPOA), 10/1/2012 (MMCEA), 8/1/2012 (AFCME), 1/1/2013 (Unrepresented)- Public Employees' Medical Hospital Care Act (PEMHCA) minimum only.

Disability Retirement:
- Miscellaneous Group - Same benefit as service retirement or PEMHCA minimum if eligibility requirement not met. - BPOA - same benefit as service retirement but without the age or service requirement.

Retirement from District:
- PEHMCA minimum, subject to "unequal method"
Transitioning to District from BSCFD (or on active eligible list until 10/1/12):
- Receive a benefit which, when added to the CalPERS Minimum Employer Contribution, brings the total up to the lesser of the Region 1 single premium rate for the medical plan selected by the retiree and the Region 1 Kaiser single rate.

Surviving Spouse
Continuation
City:
- Public Employees Medical Hospital Care Act (PEMHCA) minimum only.

District:
- Based on CalPERS retirement election
- PEMHCA Minimum
- Unequal Method
Public Employees'
Medical Hospital Care
Act (PEMHCA)
minimum
CalPERS minimum employer contribution:

YEAR PEMHCA Minimum
2025 $158
2026+ Increase medical care component of CPI
83 609

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
In accordance with the City and District budgets, the Actuarially Determined Contribution (ADC) is to be funded throughout the year as a percentage of payroll. For the year ended June 30, 2025, the City’s contributions to the Plan were $1,246,277, and the District’s Contributions to the Plan were $206,456.

Employees Covered by Benefit Terms – Membership in the Plans consisted of the following at the June 30, 2024 measurement date:

City
Inactive employees or beneficiaries currently receiving benefits 111 Inactive employees entitled to but not yet receiving benefits 29 Active employees 132
Total 272
District
Inactive employees or beneficiaries currently receiving benefits 8 Inactive employees entitled to but not yet receiving benefits 14 Active employees 0
Total 22
As of June 30, 2025, there were approximately 132 active City eligible participants, 111 eligible City retirees or surviving spouses, exclusive of living spouses and dependents, receiving benefits, and 29 retirees that were eligible, but not enrolled in the Plan benefits. For the District, as of June 30, 2025 there were no active District eligible participants and there were 8 eligible District retirees or surviving spouses, exclusive of living spouses and dependents, receiving benefits and 14 retirees that were eligible, but not enrolled in the Plan benefits.

OPEB Liabilities, OPEB Expenses and Deferred Outflows/Inflows of Resources Related to OPEB – For purposes of measuring the net OPEB liabilities, 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 and District’s OPEB Plans and additions to/deductions from the OPEB Plans’ fiduciary net position have been determined on the same basis as they are reported by CERBT. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms. Investments are reported at fair value. 84 610

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
B. Net OPEB Liability
Actuarial Methods and Assumptions – The City and District net OPEB liabilities were measured as of June 30, 2024 and the total OPEB liability used to calculate the net OPEB liability was determined by an actuarial valuation dated June 30, 2023, rolled forward to June 30, 2024, based on the following actuarial methods and assumptions:

City
Valuation Date June 30, 2023
Measurement Date June 30, 2024
Actuarial Cost Method Entry Age Normal level percent of pay Actuarial Assumptions:

Discount Rate 6.25%
Inflation 2.50%
Salary Increases 2.75%
Mortality Rates Same as CalPERS (1)
Healthcare Cost Trend Rates Pre-Medicare: 7.90% for 2026, and trending down to

3.45% in 2076 and beyond.

Medicare (Non-Kaiser): 6.90% in 2026, trending down
to 3.45% in 2076 and beyond.

Medicare (Kaiser): 5.65% in 2026, trending down to

3.45% in 2076 and beyond.

PEMHCA: 3.50% of retiree premium
District
Valuation Date June 30, 2023
Measurement Date June 30, 2024
Actuarial Cost Method Entry Age Normal level percent of pay Actuarial Assumptions:

Discount Rate 5.25%
Inflation 2.50%
Salary Increases No active District employees
Mortality Rates Same as CalPERS (1)
Healthcare Cost Trend Rates Pre-Medicare: 8.50% for 2025, and trending down to

3.45% in 2076 and beyond.

Medicare (Non-Kaiser): 7.50% in 2025, trending down
to 3.45% in 2076 and beyond.

Medicare (Kaiser): 6.25% in 2025, trending down to

3.45% in 2076 and beyond.

PEMHCA: 3.50% of retiree premium
(1) The mortality table used was developed based on CalPERS’ specific data. The table includes 15 years of mortality improvements using Society of Actuaries Mortality Improvement Scale MP 2021. For more details on this table, please refer to the CalPERS 2000-2019 experience study report available on the CalPERS website.
85 611

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
The long-term expected rate of return on OPEB plan investments was determined using a buildingblock method in which best-estimate ranges of 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:

City
Asset Class Target Allocation
Long-term expected real
rate of return
Global Equity 49.0% 4.56%
Fixed Income 23.0% 1.56%
TIPS 5.0% -0.08%
Commodities 3.0% 1.22%
REITs 20.0% 4.06%
Total 100.0%
Assumed Long-Term Rate of Inflation 2.50%
Expected Long-Term Net Rate of Return 6.25%
District
Asset Class Target Allocation
Long-term expected real
rate of return
Global Equity 23.0% 4.56%
Fixed Income 51.0% 1.56%
TIPS 9.0% -0.08%
Commodities 3.0% 1.22%
REITs 14.0% 4.06%
Total 100.0%
Assumed Long-Term Rate of Inflation 2.50%
Expected Long-Term Net Rate of Return 5.25%
Discount Rate – The discount rate used to measure the total OPEB liability was 6.25% for the City and 5.25% for the District. The projection of cash flows used to determine the discount rate assumed that City and District contributions will be made at rates equal to the actuarially determined contribution rates. Based on those assumptions, the OPEB plans’ fiduciary net position were each 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.
86 612

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
C. Changes in Net OPEB Liability
The changes in the net OPEB liability for each plan follows:

City Increase (Decrease)
Total OPEB
Liability
Plan Fiduciary
Net Position
Net OPEB
Liability
(Asset)
Balance at Report Date June 30, 2024 $17,145,130 $8,803,132 $8,341,998 Changes for the year:

Service Cost 297,152 297,152
Interest on the Total OPEB Liability 1,061,452 1,061,452 Differences between Expected and Actual
Experience
Changes of Assumptions
Contributions
Employer - Department's contribution 766,890 (766,890)
Employer - implicit subsidy 154,106 (154,106)
Employee
Net Investment Income 966,155 (966,155)
Benefit payments, including Refunds of
Employee Contributions (764,006) (764,006)
Implicit Rate Subsidy Fulfilled (154,106) (154,106)
Administrative Expense (5,753) 5,753
Other Changes
Net changes 440,492 963,286 (522,794)
Balance at June 30, 2025 $17,585,622 $9,766,418 $7,819,204 District Increase (Decrease)
Total OPEB
Liability
Plan Fiduciary
Net Position
Net OPEB
Liability
(Asset)
Balance at June 30, 2024 $2,809,165 $2,203,097 $606,068 Changes for the year:

Service Cost 58,147 58,147
Interest on the Total OPEB Liability 147,402 147,402
Differences between Expected and Actual
Experience
Changes of Assumptions
Contributions
Employer - Department's contribution 89,717 (89,717)
Employer - implicit subsidy 29,979 (29,979)
Employee
Net Investment Income 138,803 (138,803)
Benefit payments, including Refunds of
Employee Contributions (89,339) (89,339)
Implicit Rate Subsidy Fulfilled (29,979) (29,979)
Administrative Expense (1,082) 1,082
Other Changes
Net changes 86,231 138,099 (51,868)
Balance at June 30, 2025 $2,895,396 $2,341,196 $554,200 June 30, 2025 Total, Both Plans $20,481,018 $12,107,614 $8,373,404 87 613

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
Detailed information about the OPEB plans’ fiduciary net position is available in the separately issued CalPERS Annual Comprehensive Financial Report that may be obtained from CalPERS website.

OPEB liabilities are liquidated by the fund that has recorded the liability. The long-term portion of governmental activities net OPEB liabilities is liquidated primarily by the General Fund and the Belmont Fire Protection District Special Revenue Fund.

D. Sensitivity of the Net OPEB Liability to Changes in the Discount Rate and Healthcare Cost Trend Rates
The following presents the net OPEB liability of the City and District, as well as what the City's or District’s net OPEB 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 discount rate:

City Discount Rate
1% Decrease 5.25%
Net OPEB Liability (Asset) $9,833,246
Current Discount Rate 6.25%
Net OPEB Liability (Asset) $7,819,204
1% Increase 7.25%
Net OPEB Liability (Asset) $6,120,029
District Discount Rate
1% Decrease 4.25%
Net OPEB Liability (Asset) $897,037
Current Discount Rate 5.25%
Net OPEB Liability (Asset) $554,200
1% Increase 6.25%
Net OPEB Liability (Asset) $269,821
88 614

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
The following presents the net OPEB liability of the City and District, as well as what the City's and District’s net OPEB liability would be if it were calculated using healthcare cost trend rates that are 1-percentage-point lower or 1-percentage-point higher than the current healthcare cost trend rates:

City
Healthcare
Trend Rate
1% Decrease 7.9% Decreasing to 2.45%
Net OPEB Liability (Asset) $5,965,939
Trend Rate 8.9% Decreasing to 3.45%
Net OPEB Liability (Asset) $7,819,204
1% Increase 9.9% Decreasing to 4.45%
Net OPEB Liability (Asset) $10,024,934
District
Healthcare
Trend Rate
1% Decrease 7.5% Decreasing to 2.45%
Net OPEB Liability (Asset) $139,657
Trend Rate 8.5% Decreasing to 3.45%
Net OPEB Liability (Asset) $554,200
1% Increase 9.5% Decreasing to 4.45%
Net OPEB Liability (Asset) $1,062,738
89 615

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
E. OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB For the year ended June 30, 2025, the City and District recognized OPEB expense of $737,144 and $107,986, respectively, for total OPEB expense of $845,130. At June 30, 2025, the City and District reported deferred outflows and inflows of resources related to OPEB from the following sources:

Deferred Outflows Deferred Inflows
City of Resources of Resources
Employer contributions subsequent to measurement date $1,246,277 Differences between actual and expected experience 879,422 ($711,300) Changes of assumptions 786,007 (122,798)
Net differences between projected and actual earnings on OPEB plan investments 101,699
Total $3,013,405 ($834,098)
Deferred Outflows Deferred Inflows
District of Resources of Resources
Employer contributions subsequent to measurement date $206,456 Differences between actual and expected experience
Changes of assumptions ($15,510)
Net differences between projected and actual earnings on OPEB plan investments 108,979
Total $315,435 ($15,510)
Grand Total, Both Plans $3,328,840 ($849,608)
$1,452,733 reported as deferred outflows of resources related to contributions subsequent to the measurement date will be recognized as a reduction of the OPEB liability in the year ended June 30, 2026. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized as part of OPEB expense as follows:

Fiscal Year Annual Amortization
Ended June 30 City District
2026 ($39,347) $5,208
2027 427,791 88,475
2028 117,146 6,996
2029 257,223 (7,210)
2030 170,217
Thereafter
Total $933,030 $93,469
90 616

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
F. Deferred Compensation Plans
City employees may defer a portion of their compensation under a City sponsored Deferred Compensation Plan created in accordance with Internal Revenue Code Section 457. Under the Plan, participants are not taxed on the deferred portion of their compensation until distributed to them; distributions may be made only at termination, retirement, and death or in an emergency as defined by the Plan.

The Plan is part of the public agency agent multiple-employer defined contribution plans that are administered by Mission Square Retirement (formerly ICMA RC). Benefit provisions under the Plan are established by City resolution.

The City has no liability for any losses incurred by the Plan and does not participate in any gains, but does have the duty of due care that would be required of an ordinary prudent investor. The City has a contract with Mission Square to manage and invest the assets of the Plan. The administrator pools the assets of the Plan with those of other participants and does not make separate investments for the City. The assets in the Plan are the sole property of the participants or their beneficiaries. Since the assets held under the Plan are not the City’s property and are not subject to claims by general creditors of the City, they have been excluded from these financial statements. The Plan requires investments to be stated at fair market value and it requires all gains and losses on Plan investments to accrue directly to participant accounts.

A summary of eligibility and employer contribution requirements for the City’s Plan are shown below by bargaining unit:

AFSCME
All employees:
-1.3% of base salary plus $150.00 per month.

Employees hired before October 1, 2012 receive additional deferred compensation contributions as follows:
- Employees that waive the City's medical insurance receive $150.07 per month for plan year 2022 - Employees that continue to waive coverage as of January 1, 2023 receive an additional $150.07 per month (for a total of $300.14).
- Employees that later elect to be covered by the City's medical insurance no longer receive the additional deferred compensation contributions.

Employees hired on or after October 1, 2012 receive additional deferred compensation contributions as follows:
- Employees that waive the City's medical insurance may elect to receive $389.94 per month 91 617

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 12 – OTHER POST EMPLOYMENT BENEFITS (Continued)
BPOA
Police Records Specialist I and II, Community Service Officer and Police Dispatcher:
- $100.00 per month.

Employees hired before October 11, 2011 receive additional deferred compensation contributions as follows:
- Employees that waive the City's medical insurance receive $192.38 per month for plan year 2022 - Employees that change coverage status (i.e., waiver to coverage, coverage to waiver, or increase/decrease in level of coverage) are treated as an employee hired after October 11, 2011. -Employees who previously waived coverage, but elected coverage due to a qualifying life event occurring in plan year 2021 shall be permitted on a one-time basis to waive coverage on or before June 1, 2022 as part of a qualifying life event occurring before that date and receive the $192.38 in deferred compensation as if the employee had waived coverage as of January 1, 2022 for plan year 2022. - Employees that later elect to be covered by the City's medical insurance no longer receive the additional deferred compensation contributions.

The City’s required contributions for the year ended June 30, 2025 totaled $462,684.

The District previously sponsored two public agency agent multiple-employer defined contribution Deferred Compensation Plans. Since the District does not have any active employees, it no longer makes contributions to the Plans.

NOTE 13 – SUBSCRIPTION-BASED INFORMATION TECHNOLOGY ARRANGEMENTS (SBITAs) A SBITA is a contract that conveys control of the right to use another party’s (a SBITA vendor’s) IT software, alone or in combination with tangible capital assets (the underlying IT assets), as specified in the contract for a period of time in an exchange or exchange-like transaction. The City recognizes subscription assets and liabilities with an initial, individual value of $100,000 or more, based on the up front or future subscription payments remaining at the start of the agreement.

At the commencement of a SBITA, the City initially measures the subscription liability at the present value of payments expected to be made during the contract term. Subsequently, the subscription liability is reduced by the principal portion of payments made. The subscription asset is initially measured as the initial amount of the subscription liability, adjusted for payments made at or before the SBITA commencement date, plus certain initial direct costs. Subsequently, the subscription asset is amortized on a straight-line basis over shorter of the subscription term or the useful life of the underlying IT assets.

Key estimates and judgments related to SBITAs include how the City determines (1) the discount rate it uses to discount the expected subscription payments to present value, (2) subscription term, and (3) subscription payments as follows:
• The City uses the interest rate charged by the IT vendor as the discount rate. When the interest rate charged by the IT vendor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate for subscription liabilities. 92 618

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 13 – SUBSCRIPTION-BASED INFORMATION TECHNOLOGY ARRANGEMENTS (SBITAs) (Continued) • The subscription term includes the noncancellable period of the subscription. • Subscription payments included in the measurement of the subscription liability are composed of fixed payments and purchase option price that the City is reasonably certain to exercise.

The City monitors changes in circumstances that would require a remeasurement of its subscription and will remeasure the subscription asset and liability if certain changes occur that are expected to significantly affect the amount of the subscription liability.

Subscription assets are reported with other capital assets and subscription liabilities are reported as long-term debt on the statement of net position.

A summary of governmental activities SBITA transactions for the fiscal year ended June 30, 2025, are as follows:

Balance Balance Due Within
June 30, 2024 Additions Retirements June 30, 2025 One Year Governmental Activities
Subscription Liabilities
Software One - Office 365 $95,835 $95,835
Granicus - Communications Cloud 64,809 64,809
Central Square - Community Development 147,849 70,491 $77,358 $77,358 ESRI - GIS Software $117,210 40,900 76,310 $37,268
Granicus - Services Cloud 348,434 47,565 300,869 64,365 Total Subscription Liabilities $308,493 $465,644 $319,600 $454,537 $178,991 In July 2022, the City entered into a three-year SBITA for the use of Microsoft Office 365. An initial subscription liability was recorded in the amount of $287,552. The final payment was made during the year ended June 30, 2025. The City was required to make annual principal and interest payments of $97,944. The software had a three-year estimated useful life. The value of the rightto-use asset as of the end of the current fiscal year was $287,552 and had accumulated amortization of $287,552.

In July 2022, the City entered into a three-year SBITA for the use of the Granicus Communications Cloud software. An initial subscription liability was recorded in the amount of $189,305. The final payment was made during the year ended June 30, 2025. The City was required to make an annual principal and interest payments from $63,080 to $66,234. The software had a three-year estimated useful life. The value of the right-to-use asset as of the end of the current fiscal year was $189,305 and had accumulated amortization of $189,305.

In October 2023, the City entered into a three-year SBITA for the use of the Central Square Technologies community development software. An initial subscription liability was recorded in the amount of $221,025. As of June 30, 2025, the balance of the subscription liability was $77,358.

The City is required to make annual principal and interest payments from $73,176 to $80,677. The software has a three-year estimated useful life. The value of the right-to-use asset as of the end of the current fiscal year was $221,025 and had accumulated amortization of $147,351. 93 619

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 13 – SUBSCRIPTION-BASED INFORMATION TECHNOLOGY ARRANGEMENTS (SBITAs) (Continued) In July 2024, the City entered into a three-year SBITA for the use of GIS software. An initial subscription liability was recorded in the amount of $117,210 during the current fiscal year. As of June 30, 2025, the balance of the subscription liability was $76,310. The City is required to make annual principal and interest payments of $40,900. The software has a three-year estimated useful life. The value of the right-to-use asset as of the end of the current fiscal year was $117,210 and had accumulated amortization of $39,070.

In July 2024, the City entered into a three-year SBITA for the use of the Granicus Service Cloud software. An initial subscription liability was recorded in the amount of $348,434. As of June 30, 2025, the balance of the subscription liability was $300,869. The City is required to make annual principal and interest payments from $47,564 to $90,601. The software has a three-year estimated useful life. The value of the right-to-use asset as of the end of the current fiscal year was $348,434 and had accumulated amortization of $69,687.

The future principal and interest subscription liability payments as of June 30, 2025, were as follows:

For the Year
Ended June 30 Principal Interest Total
2026 $178,991 $20,851 $199,842
2027 110,294 12,785 123,079
2028 78,652 7,635 86,287
2029 86,600 4,001 90,601
Totals $454,537 $45,272 $499,809
NOTE 14 – RISK MANAGEMENT
The City is exposed to various risks of loss related to theft of, damage to, and destruction of assets; general liability; errors and omissions; injuries to employees; natural disasters; and inverse condemnation.

The City is a member of Public Risk Innovation, Solutions and Management (PRISM) (formerly the California State Association of Counties Excess Insurance Authority (CSAC EIA)) for general liability, worker’s compensation and other coverage. PRISM is a public entity risk pool of cities and counties within California. Loss contingency reserves established by the PRISM are funded by contributions from member agencies. The City pays an annual contribution to the PRISM, which includes its pro-rata share of excess insurance premiums, charges for pooled risk, claims adjusting and legal costs, and administrative and other costs to operate the risk pool. The City paid contributions of $1,337,077 for the year ended June 30, 2025. PRISM provides insurance through the pool up to a certain level, beyond which group purchased commercial excess insurance is obtained. PRISM is currently fully funded. No provision has been made on these financial statements for liabilities related to possible additional assessments.

Audited financial statements for PRISM are available from PRISM, 75 Iron Point Circle, Suite 200, Folsom, CA 95630.
94 620

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 14 – RISK MANAGEMENT (Continued)
A. Liability Coverage
PRISM provides general liability coverage up to $25,000,000 per occurrence above the City’s $250,000 self-insured retention. The City has auto physical damage commercial coverage through PRISM of $4,648,497 above the City’s deductible of $1,000 or $5,000, depending on the size of the vehicle, and commercial property coverage at the replacement value of the property with a limit of $200,000,000 above the City’s deductible of $25,000. The City also purchases dual pollution insurance policies through both PRISM and Alliant’s property insurance program (APIP) with program aggregates of $50,000,000 and $25,000,000 and per named insured aggregate limits of $10,000,000 and $2,000,000, respectively.

B. Workers Compensation Coverage
Effective December 1, 2004 the City purchased insurance for workers compensation through PRISM with coverage up to statutory limits after the City’s self-insured retention of zero. This policy also covered the District as of October 1, 2011, until the San Mateo Consolidated Fire Department discussed in Note 15A commenced operations on January 13, 2019. Prior to those dates, the City purchased commercial insurance for workers compensation coverage up to statutory limits that had deductibles ranging from $100,000 to $275,000.

C. Liability for Uninsured Claims
The City provides for the uninsured portion of claims and judgments in the Workers’ Compensation and General Liability Internal Service Funds. Claims and judgments, including a provision for claims incurred but not reported, are recorded when a loss is deemed probable of assertion and the amount of the loss is reasonably determinable. As discussed, above, the City has coverage for such claims, but it has retained the risk for the deductible or uninsured portion of these claims.

For the fiscal years ended June 30, 2025, 2024 and 2023 the amount of settlements did not exceed insurance coverage.
95 621

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 14 – RISK MANAGEMENT (Continued)
The City’s liability for uninsured claims is limited to workers’ compensation and general liability claims, as discussed above, and was estimated by management based on prior year’s claims experience as follows:
2025 2024
Balance, July 1 $473,222 $190,972
Net change in claims liabilities 120,819 581,345
Claims paid (21,787) (299,095)
Balance, June 30 $572,254 $473,222
Due in one year $84,124 $110,418
Due in more than one year 488,130 362,804
Total Claims Balance, June 30 $572,254 $473,222
NOTE 15 – JOINT VENTURES
The City participates in the joint ventures discussed below through formally organized and separate entities established under the Joint Exercise of Powers Act of the State of California. As separate legal entities, these entities exercise full powers and authorities within the scope of the related Joint Powers Agreements including the preparation of annual budgets, accountability for all funds, the power to make and execute contracts and the right to sue and be sued. Each joint venture is governed by a board consisting of representatives from member municipalities. Each board controls the operations of the respective joint venture, including selection of management and approval of operating budgets, independent of any influence by member municipalities beyond their representation on that board. Obligations and liabilities for certain of these joint ventures are not the City’s responsibility and the City generally does not have an equity interest in the assets of each joint venture except upon dissolution of the joint venture. 96 622

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 15 – JOINT VENTURES (Continued)
A. Equity Interests
The City has recorded its equity interest in the following joint ventures:

Silicon Valley Clean Water Joint Powers Authority (SVCW), formerly known as the South Bayside System Authority, was formed in 1975 between the Cities of San Carlos, Belmont and Redwood City and the West Bay Sanitary District to operate a wastewater treatment facility. The cost of operating and maintaining the facility is divided in proportion to the volume of sewage entering from each member entity, based on three-year averages and updated annually. SVCW applies the JPA-defined formula to allocate annual budgeted operating costs to the four member entities and the City’s proportionate share was 9.78% for fiscal year 2025 and is projected to be 9.60% in fiscal year 2026. The City’s share of debt service of SVCW is allocated to the member entities according to the Joint Power Authority Agreement-defined percentage of ownership, as well as member’s participation in each debt issuance. As SVCW continues to fund capital construction projects, debt service payments will peak in fiscal year 2029-30, once significant projects are complete, and all necessary debt is secured. The City’s actual and projected share of debt service costs range from $840,053 in fiscal year 2025 to $2.49 million in fiscal year 2035. The City’s proportionate share of operating and maintaining the facility and debt service, during the year ended, June 30, 2025 was $3,505,044.

In addition, during fiscal year 2009, the SVCW and its members authorized the commencement of a major renovation and replacement project to its infrastructure wastewater facility. In conjunction with that project, the City is obligated to fund its share of project costs. The City’s share of project costs is 9.45%, based on the percentages for each member entity defined in the Joint Power Authority Agreement, which are based on each member’s dry weather capacity owned and its allocated share of future dry weather capacity.

The City has an equity interest in the net assets of SVCW, which has been recorded as Investment in SVCW in the Sewer Enterprise Funds based on the latest audited financial statements of SVCW as of June 30, 2024, plus the additional capital contribution made during the year ended June 30, 2025. The loss from investment in SVCW was $1,217,317 for the year ended June 30, 2025, and the investment was comprised of the following:

Sewer
Treatment
Balance June 30, 2024 $46,399,949
Change in investment (1,217,317)
Additional capital contribution 2,493,929
Balance June 30, 2025 $47,676,561
Financial statements may be obtained by mailing a request to the Silicon Valley Clean Water, 1400 Radio Road, Redwood City, CA 94065.
97 623

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 15 – JOINT VENTURES (Continued)
San Mateo Consolidated Fire Department (SMC Fire) Joint Powers Authority (JPA) was established on November 22, 2017 by the City of San Mateo, the City of Belmont/Belmont Fire Protection District and the City of Foster City/Estero Municipal Improvement District to provide integrated and comprehensive fire protection, fire prevention, and emergency response services to all three communities serving a population of over 164,000. SMC Fire commenced operations on January 13, 2019. Thereafter, certain costs, including the annual employer contribution associated with the unfunded CalPERS pension liability remain with Belmont. Effective January 13, 2019, Belmont’s financial contributions to SMC Fire are accounted for annually as an investment in equity interest in its government-wide financial statements.

SMC Fire is governed under the terms of the JPA Agreement by a Board of Directors consisting of one voting representative and one alternate who are elected members from the governing boards of the three JPA Member Agencies. Each member agency has the following weighted vote: City of San Mateo (60%), Belmont (20%) and City of Foster City (20%). The City’s contributions to SMC Fire in fiscal year 2025 to fund capital outlay and operations totaled $9,582,555. The City has an equity interest in the net assets of SMC Fire, which has been recorded as an Investment in SMC Fire in the governmental activities based on the latest audited financial statements of SMC Fire as of June 30, 2024, plus the capital contributions made during the year ended June 30, 2025, and the investment is comprised of the following:

Governmental
Activities
Balance June 30, 2024 $4,520,180
Change in investment (273,386)
Additional capital contribution
Balance June 30, 2025 $4,246,794
Audited financial statements are available from City of San Mateo, 330 West 20th Avenue, San Mateo, CA 94403.

B. Other Jointly Governed Organizations
The City also participates in the following jointly governed organizations under which it is obligated to fund annual operating costs, but there is no ongoing equity interest in the net assets of the organizations:

City/County Association of Governments of San Mateo County (C/CAG) was formed in 1990 between the various cities in San Mateo County to prepare, adopt, monitor and enforce state mandated plans for the management of traffic congestion, integrated solid waste, airport land use, hazardous waste and county-wide housing element. The City’s contribution to C/CAG was $82,329 for the year ended June 30, 2025. Financial statements may be obtained by mailing a request to the City of San Carlos, 666 Elm Street, San Carlos, CA 94070. 98 624

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 15 – JOINT VENTURES (Continued)
Peninsula Traffic Congestion Relief Agency was formed by the cities of San Mateo County and San Mateo County to attempt to mitigate traffic congestion. The Agency is funded through a Countywide sales tax levied for transportation systems improvements.

Belmont-San Carlos Fire Department was formed in 1979 between the City of San Carlos and Belmont Fire Protection District on an equal basis to provide more efficient fire protection services. Any assets used by the Department but owned by the member agencies prior to the creation of the Department remain the property of the members.

On September 30, 2011, the Department terminated providing services to the Members. As a result, the Department’s employees were laid off, its capital assets were distributed to the Members and certain lease obligations were assumed by the Members. Subsequent to that date, the Department operates in an inactive mode, collecting Member contributions to fund legacy costs, such as pension and retiree medical obligations and claims payable, remaining after service termination. As required under the Agreement, these legacy costs are funded through contributions from Members according to the average of annual funding formulas used to determine Member contributions. The City’s contribution was roughly $4.68 million for the year ended June 30, 2025.

The Department had a negative net position balance of $25,533,511 million per its audited financial statements as of June 30, 2025. Belmont's share of this balance was 47.1% or approximately $12.03 million. The negative position is due to unfunded liabilities of the Department.

South Bayside Waste Management Authority (SBWMA) is a joint powers agreement formed on October 13, 1999. Members of the South Bayside Waste Management Authority currently include the cities of Atherton, Belmont, Burlingame, East Palo Alto, Foster City, Hillsborough, Menlo Park, Redwood City, San Carlos, San Mateo, as well as the West Bay Sanitary District and the County of San Mateo. The Members are required by AB939 to reduce, recycle and reuse solid waste generated within their respective jurisdictions and to provide source reduction, recycling and composting activities. The South Bayside Waste Management Authority’s purpose is to assist its members in meeting these requirements.

NOTE 16 – COMMITMENTS AND CONTINGENT LIABILITIES
A. Litigation
The City is subject to litigation arising in the normal course of business. In the opinion of the City Attorney there is no pending litigation, which is likely to have a material adverse effect on the financial position of the City.
99 625

CITY OF BELMONT

NOTES TO BASIC FINANCIAL STATEMENTS
For the Year Ended June 30, 2025
NOTE 16 – COMMITMENTS AND CONTINGENT LIABILITIES (Continued) B. Grant Programs
The City participates in Federal, State and local grant programs. These programs have been audited by the City’s independent accountants in accordance with the provisions of the Federal Single Audit Act as amended and applicable State requirements. No cost disallowances were proposed as a result of these audits; however, these programs are still subject to further examination by the grantors and the amount, if any, of expenditures which may be disallowed by the granting agencies cannot be determined at this time. The City expects such amounts, if any, to be immaterial.

C. San Mateo County Animal Shelter
Since 1951 cities in San Mateo County have contracted with the County to manage animal control field and sheltering services. The current shelter has been determined to be inadequate to meet current animal sheltering services. In May 2014, all the municipalities signed an agreement, effective September 9, 2014, to share in the construction costs for a new animal control center by repaying the County through a 30-year, interest free lease agreement in the amount of $20.2 million. The certificate of occupancy for the shelter was issued in May 2020 and the final costs of construction totaled $25.7 million. The City’s share of annual lease payment is based on a methodology of three year average of shelter use and percentage of population. Payment on the lease commenced on July 1, 2020 and the City paid $28,969 for the year ended June 30, 2025.

The cities and the County entered into a new animal care and control, shelter services, and animal licensing agreement effective July 1, 2021 for 5 years ending on June 30, 2026, under which the annual shared contractor and administrative costs total $6.9 million and the annual license fees are expected to be approximately $190 thousand. The City’s share of the costs is 2.58%, or $180 thousand per year for the contractor and administrator costs, plus actual license fees of approximately $5 thousand per year. Payments under the agreement totaled $162,036 for the year ended June 30, 2025.
100
626

REQUIRED SUPPLEMENTARY INFORMATION
627
City of Belmont
Cost Sharing Multiple-Employer Defined Benefit Pension Plan Last 10 Years

SCHEDULE OF PROPORTIONATE SHARE OF THE NET PENSION LIABILITY Safety Rate Plan
Measurement Date - June 30, 2015 2016 2017 2018 2019
Plan's proportion of the Net Pension Liability
(Asset) 0.20% 0.31% 0.31% 0.31% 0.31%
Plan's proportion share of the Net Pension
Liability (Asset) $13,427,040 $16,249,057 $18,263,828 $18,172,487 $19,293,513 Plan's Covered Payroll $3,842,764 $4,758,030 $4,919,474 $5,180,593 $4,397,264 Plan's Proportionate Share of the Net Pension
Liability/(Asset) as a Percentage of its Covered
Payroll 349% 342% 371% 351% 439%
Miscellaneous Rate Plan
Measurement Date - June 30, 2015 2016 2017 2018 2019
Plan's proportion of the Net Pension Liability
(Asset) 0.48% 0.48% 0.48% 0.48% 0.50%
Plan's proportion share of the Net Pension
Liability (Asset) $13,198,544 $16,585,515 $19,048,251 $18,686,649 $20,209,752 Plan's Covered Payroll $8,858,005 $9,854,986 $10,289,053 $10,592,598 $10,632,569 Plan's Proportionate Share of the Net Pension
Liability/(Asset) as a Percentage of its Covered
Payroll 149% 168% 185% 176% 190%
Plan Totals
Measurement Date - June 30, 2015 2016 2017 2018 2019
Plan's proportion of the Net Pension Liability
(Asset) 0.68% 0.79% 0.79% 0.79% 0.81%
Plan's proportion share of the Net Pension
Liability (Asset) $26,625,584 $32,834,572 $37,312,079 $36,859,136 $39,503,265 Plan's Covered Payroll $12,700,769 $14,613,016 $15,208,527 $15,773,191 $15,029,833 Plan's Proportionate Share of the Net Pension
Liability/(Asset) as a Percentage of its Covered
Payroll 209.64% 224.69% 245.34% 233.68% 262.83%
Plan’s Fiduciary Net Position as a Percentage of
the Total Pension Liability 78.40% 74.06% 73.31% 75.26% 75.26% 102
628
City of Belmont
Cost Sharing Multiple-Employer Defined Benefit Pension Plan Last 10 Years

SCHEDULE OF PROPORTIONATE SHARE OF THE NET PENSION LIABILITY Safety Rate Plan
Measurement Date - June 30, 2020 2021 2022 2023 2024
Plan's proportion of the Net Pension Liability
(Asset) 0.30% 0.34% 0.32% 0.31% 0.31%
Plan's proportion share of the Net Pension
Liability (Asset) $20,251,178 $11,813,386 $22,083,670 $23,397,013 $22,245,259 Plan's Covered Payroll $4,078,548 $4,078,548 $4,035,453 $4,317,810 $4,453,971 Plan's Proportionate Share of the Net Pension
Liability/(Asset) as a Percentage of its Covered
Payroll 497% 290% 547% 542% 499%
Miscellaneous Rate Plan
Measurement Date - June 30, 2020 2021 2022 2023 2024
Plan's proportion of the Net Pension Liability
(Asset) 0.50% 0.66% 0.51% 0.51% 0.52%
Plan's proportion share of the Net Pension
Liability (Asset) $21,245,410 $12,449,103 $24,063,134 $25,515,891 $25,014,759 Plan's Covered Payroll $9,489,183 $9,890,731 $9,621,685 $9,318,728 $11,111,032 Plan's Proportionate Share of the Net Pension
Liability/(Asset) as a Percentage of its Covered
Payroll 224% 126% 250% 274% 225%
Plan Totals
Measurement Date - June 30, 2020 2021 2022 2023 2024
Plan's proportion of the Net Pension Liability
(Asset) 0.80% 1.00% 0.83% 0.82% 0.83%
Plan's proportion share of the Net Pension
Liability (Asset) $41,496,588 $24,262,489 $46,146,804 $48,912,904 $47,260,018 Plan's Covered Payroll $13,567,731 $14,051,612 $13,657,138 $13,636,538 $15,565,003 Plan's Proportionate Share of the Net Pension
Liability/(Asset) as a Percentage of its Covered
Payroll 305.85% 172.67% 337.90% 358.69% 303.63%
Plan’s Fiduciary Net Position as a Percentage of
the Total Pension Liability 75.10% 88.29% 76.68% 76.21% 78.08% 103
629
City of Belmont
Cost Sharing Multiple-Employer Defined Benefit Pension Plan Last 10 Years

SCHEDULE OF CONTRIBUTIONS
Safety Rate Plan
Fiscal Year Ended June 30, 2016 2017 2018 2019 2020
Actuarially determined contribution $2,287,426 $2,058,664 $2,263,676 $2,293,736 $2,660,652 Contributions in relation to the actuarially
determined contributions (2,287,426) (2,058,664) (2,263,676) (2,293,736) (2,660,652) Contribution deficiency (excess) $0 $0 $0 $0 $0
Covered payroll $4,758,030 $4,919,474 $5,180,593 $4,397,264 $4,078,548 Contributions as a percentage of
covered payroll 48.08% 41.85% 43.70% 52.16% 65.24%
Miscellaneous Rate Plan
Fiscal Year Ended June 30, 2016 2017 2018 2019 2020
Actuarially determined contribution $1,903,476 $1,523,004 $1,663,314 $1,921,271 $2,633,458 Contributions in relation to the actuarially
determined contributions (1,903,476) (1,523,004) (1,663,314) (1,921,271) (2,633,458) Contribution deficiency (excess) $0 $0 $0 $0 $0
Covered payroll $9,854,986 $10,289,053 $10,592,598 $10,632,569 $9,489,183 Contributions as a percentage of
covered payroll 19.31% 14.80% 15.70% 18.07% 27.75%
Plan Totals
Fiscal Year Ended June 30, 2016 2017 2018 2019 2020
Actuarially determined contribution $4,190,902 $3,581,668 $3,926,990 $4,215,007 $5,294,110 Contributions in relation to the actuarially
determined contributions (4,190,902) (3,581,668) (3,926,990) (4,215,007) (5,294,110) Contribution deficiency (excess) $0 $0 $0 $0 $0
Covered payroll $14,613,016 $15,208,527 $15,773,191 $15,029,833 $13,567,731 Contributions as a percentage of
covered payroll 28.68% 23.55% 24.90% 28.04% 39.02%
104
630
City of Belmont
Cost Sharing Multiple-Employer Defined Benefit Pension Plan Last 10 Years

SCHEDULE OF CONTRIBUTIONS
Safety Rate Plan
Fiscal Year Ended June 30, 2021 2022 2023 2024 2025
Actuarially determined contribution $2,700,413 $2,752,531 $2,806,216 $2,207,230 $2,812,212 Contributions in relation to the actuarially
determined contributions (2,700,413) (2,752,531) (2,926,740) (2,349,364) (2,926,730) Contribution deficiency (excess) $0 $0 ($120,524) ($142,134) ($114,518) Covered payroll $4,160,881 $4,035,453 $4,317,810 $4,453,971 $4,519,919 Contributions as a percentage of
covered payroll 64.90% 68.21% 67.78% 52.75% 64.75%
Miscellaneous Rate Plan
Fiscal Year Ended June 30, 2021 2022 2023 2024 2025
Actuarially determined contribution $2,799,829 $2,825,996 $2,822,733 $2,969,958 $3,381,894 Contributions in relation to the actuarially
determined contributions (2,799,829) (2,825,996) (2,977,193) (3,127,399) (3,505,644) Contribution deficiency (excess) $0 $0 ($154,460) ($157,441) ($123,750) Covered payroll $9,890,731 $9,621,685 $9,318,728 $11,111,032 $12,640,759 Contributions as a percentage of
covered payroll 28.31% 29.37% 31.95% 28.15% 27.73%
Plan Totals
Fiscal Year Ended June 30, 2021 2022 2023 2024 2025
Actuarially determined contribution $5,500,242 $5,578,527 $5,628,949 $5,177,188 $6,194,106 Contributions in relation to the actuarially
determined contributions (5,500,242) (5,578,527) (5,903,933) (5,476,763) (6,432,374) Contribution deficiency (excess) $0 $0 ($274,984) ($299,575) ($238,268) Covered payroll $14,051,612 $13,657,138 $13,636,538 $15,565,003 $17,160,678 Contributions as a percentage of
covered payroll 39.14% 40.85% 43.29% 35.19% 37.48%
105
631
City of Belmont
Schedule of Changes in the City's Net OPEB Liability and Related Ratios Agent Multiple Employer Defined Benefit OPEB Plan
For the measurement year ending June 30
Last 10 Years*
2017 2018 2019 2020 2021
$370,743 $381,865 $375,298 $336,270 $346,358
1,013,089 1,022,229 1,101,266 974,383 1,012,016
- (2,333,966) - - (1,009,642)
- (430,465) 1,023,392 - (304,718)
- - - - -
(592,208) (608,758) (669,829) (581,052) (629,633)
(218,910) (234,234) (234,234) (152,749) (162,997)
572,714 130,637 (738,073) 576,852 (748,616)
14,500,658 15,073,372 15,204,009 14,465,936 15,042,788
$15,073,372 $15,204,009 $14,465,936 $15,042,788 $14,294,172 $920,754 $880,232 $940,286 $909,577 $876,080
218,910 234,234 234,234 152,749 162,997
465,943 401,898 370,618 258,178 1,964,480
(592,208) (608,758) (669,829) (581,052) (629,633)
(218,910) (234,234) (234,234) (152,749) (162,997)
(2,373) (2,813) (1,269) (5,308) (4,676)
792,116 670,559 639,806 581,395 2,206,251
4,417,282 5,209,398 5,879,957 6,519,763 7,101,158
$5,209,398 $5,879,957 $6,519,763 $7,101,158 $9,307,409
$9,863,974 $9,324,052 $7,946,173 $7,941,630 $4,986,763

34.56% 38.67% 45.07% 47.21% 65.11%
$13,696,266 $14,265,327 $14,953,325 $15,418,025 $15,860,488

72.02% 65.36% 53.14% 51.51% 31.44%
2022 2023 2024
$273,028 $280,536 $297,152
884,652 904,218 1,061,452
- 1,270,276 -
- 942,533 -
- - -
(673,399) (710,015) (764,006)
(152,139) (168,732) (154,106)
332,142 2,518,816 440,492
14,294,172 14,626,314 17,145,130
$14,626,314 $17,145,130 $17,585,622
$907,627 $712,727 $766,890
152,139 168,732 154,106
(1,262,499) 530,858 966,155
(673,399) (710,015) (764,006)
(152,139) (168,732) (154,106)
(4,461) (5,115) (5,753)
(1,032,732) 528,455 963,286
9,307,409 8,274,677 8,803,132
$8,274,677 8,803,132 9,766,418
$6,351,637 $8,341,998 $7,819,204

56.57% 51.34% 55.54%
$15,413,540 $17,165,922 $18,302,929

41.21% 48.60% 42.72%
Measurement Date - June 30,
Total OPEB Liability
Service Cost
Interest on the total OPEB Liability
Actual and expected experience difference
Changes in assumptions
Changes in benefit terms
Benefit Payments
Implicit rate subsidy fulfilled
Net change in total OPEB liability
Total OPEB liability - beginning
Total OPEB liability - ending (a)
Plan fiduciary net position
Contributions - employer-City's contribution
Contributions - employer-implicit subsidy
Net investment income
Benefit payments
Implicit rate subsidy fulfilled
Administrative expense
Net change in plan fiduciary net position
Plan fiduciary net position - beginning
Plan fiduciary net position - ending (b)
Net OPEB liability - ending (a)-(b)
Plan fiduciary net position as a percentage of the
total OPEB liability
Covered-Employee Payroll
Net OPEB liability as percentage of coveredemployee payroll Measurement Date - June 30,
Total OPEB Liability
Service Cost
Interest on the total OPEB Liability
Actual and expected experience difference
Changes in assumptions
Changes in benefit terms
Benefit Payments
Implicit rate subsidy fulfilled
Net change in total OPEB liability
Total OPEB liability - beginning
Total OPEB liability - ending (a)
Plan fiduciary net position
Contributions - employer-City's contribution
Contributions - employer-implicit subsidy
Net investment income
Benefit payments
Implicit rate subsidy fulfilled
Administrative expense
Net change in plan fiduciary net position
Plan fiduciary net position - beginning
Plan fiduciary net position - ending (b)
Net OPEB liability - ending (a)-(b)
Plan fiduciary net position as a percentage of the
total OPEB liability
Covered-Employee Payroll
Net OPEB liability as percentage of coveredemployee payroll Notes to Schedule:
*The City adopted GASB 75 during the fiscal year
ended June 30, 2018.
106
632
City of Belmont
For the fiscal year ending June 30
Last 10 Years*

SCHEDULE OF CONTRIBUTIONS
Agent Multiple Employer Defined Benefit OPEB Plan
Fiscal Year Ending June 30, 2018 2019 2020 2021 2022
Actuarially determined contribution $1,153,043 $1,229,277 $1,018,423 $1,039,077 $1,061,419 Contributions in relation to the actuarially
determined contributions (1,174,520) (1,139,664) (1,062,326) (1,039,077) (1,059,766) Contribution deficiency (excess) $13,379 $54,757 ($43,903) $0 $1,653 Covered-employee payroll $14,265,327 $14,953,325 $15,418,025 $15,860,488 $15,413,540 Contributions as a percentage of coveredemployee payroll 8.0% 7.9% 6.9% 6.6% 6.9% Notes to Schedule
Valuation date: 7/1/2017 7/1/2017 7/1/2019 7/1/2019 7/1/2019 Fiscal Year Ending June 30, 2023 2024 2025
Actuarially determined contribution $708,498 $722,305 $1,130,910 Contributions in relation to the actuarially
determined contributions (920,996) (881,459) (1,246,277) Contribution deficiency (excess) ($172,961) ($198,691) ($115,367) Covered-employee payroll $17,165,922 $18,302,929 $19,117,848 Contributions as a percentage of coveredemployee payroll 5.1% 5.0% 6.5% Notes to Schedule
Valuation date: 7/1/2021 7/1/2021 7/1/2023
Methods and assumptions used to determine contribution rates:

Actuarial Cost Method Entry age normal, level percent of pay Amortization Method Closed period, level percent of pay Amortization Period 12 years
Inflation 2.5% for 2018 and 2019; 2.75% for 2020, 2021 and 2022; 2.5% for 2023, 2024, and 2025 Assumed Payroll Growth 3.0% for 2018; 2.75% for 2019; 3.0% for 2020 and 2021; 2.75% for 2022, 2023, 2024, and 2025 Healthcare trend rates 6.50%, trending down to 3.84% for 2018

7.0%, trending down to 3.84% for 2019

6.3%, trending down to 4.0% for 2020, 2021 and 2022
Medicare (Non-Kaiser) - 5.65%, trending down to 3.75% for 2023, 2024, and 2025 Medicare (Kaiser) - 4.60%, trending down to 3.75% for 2023, 2024, and 2025 Rate of return on assets 7.0% for 2018; 7.28% for 2019; 6.75% for 2020, 2021 and 2022; 6.25% for 2023, 2024, and 2025 Mortality rate CalPERS Rates
Retirement Rates CalPERS Rates
* Fiscal year 2018 was the first year of implementation. 107
633
City of Belmont
Schedule of Changes in the Belmont Fire Protection District's Net OPEB Liability and Related Ratios
Agent Multiple Employer Defined Benefit OPEB Plan
For the measurement year ending June 30
Last 10 Years*
Measurement Date - June 30, 2017 2018 2019 2020 2021
Total OPEB Liability
Service Cost $135,523 $139,589 $140,544 $0 $0
Interest on the total OPEB Liability 123,123 132,415 152,041 87,946 87,950 Actual and expected experience difference - - (956,257) - 781,678 Changes in assumptions - (45,680) 98,289 - 167,346
Changes in benefit terms - - - - -
Benefit Payments (60,100) (39,972) (43,125) (63,553) (68,772) Implicit rate subsidy fulfilled (32,332) (34,595) (34,595) (18,011) (25,449) Net change in total OPEB liability 166,214 151,757 (643,103) 6,382 942,753 Total OPEB liability - beginning 1,668,817 1,835,031 1,986,788 1,343,685 1,350,067 Total OPEB liability - ending (a) $1,835,031 $1,986,788 $1,343,685 $1,350,067 $2,292,820 Plan fiduciary net position
Contributions - employer-District's contribution $338,844 $179,326 $139,141 $363 $0 Contributions - employer-implicit subsidy 32,332 34,595 34,595 18,011 - Net investment income 90,364 114,253 113,037 75,366 550,861 Investment Gains on Expected Return 27,956 - - - -
Benefit payments (60,100) (43,125) (63, (39,972) 553) (68,772) Implicit rate subsidy fulfilled (32,332) (34,595) (34,595) (18,011) (25,449) Administrative expense (608) (839) (385) (1,311) (1,066) Net change in plan fiduciary net position 396,456 252,768 208,668 10,865 455,574 Plan fiduciary net position - beginning 1,124,652 1,521,108 1,773,876 1,982,544 1,993,409 Plan fiduciary net position - ending (b) $1,521,108 $1,773,876 $1,982,544 $1,993,409 $2,448,983 Net OPEB liability - ending (a)-(b) $313,923 $212,912 ($638,859) ($643,342) ($156,163) Plan fiduciary net position as a percentage of the total OPEB liability 82.89% 89.28% 147.55% 147.65% 106.81%
Covered-employee payroll $4,177,634 $4,249,486 $2,979,220 $217,500 $0 Net OPEB liability as percentage of covered-employee payroll 7.51% 5.01% -21.44% -295.79% n/a Measurement Date - June 30, 2022 2023 2024
Total OPEB Liability
Service Cost $55,838 $57,374 $58,147
Interest on the total OPEB Liability 120,973 125,390 147,402 Actual and expected experience difference - 80,977 -
Changes in assumptions - 264,245 -
Changes in benefit terms - - -
Benefit Payments (64,138) (68,626) (89,339)
Implicit rate subsidy fulfilled (24,649) (31,039) (29,979) Net change in total OPEB liability 88,024 428,321 86,231 Total OPEB liability - beginning 2,292,820 2,380,844 2,809,165 Total OPEB liability - ending (a) $2,380,844 $2,809,165 $2,895,396 Plan fiduciary net position
Contributions - employer-District's contribution 64,436 69,020 89,717 Contributions - employer-implicit subsidy 24,649 31,039 29,979 Net investment income (278,843) 34,194 138,803
Investment Gains on Expected Return - - -
Benefit payments (64,138) (68,626) (89,339)
Implicit rate subsidy fulfilled (24,649) (31,039) (29,979) Administrative expense (919) (1,010) (1,082)
Net change in plan fiduciary net position (279,464) 33,578 138,099 Plan fiduciary net position - beginning 2,448,983 2,169,519 2,203,097 Plan fiduciary net position - ending (b) $2,169,519 $2,203,097 $2,341,196 Net OPEB liability - ending (a)-(b) $211,325 $606,068 $554,200 Plan fiduciary net position as a percentage of the total OPEB liability 91.12% 78.43% 80.86%
Covered-employee payroll $0 $0 $0
Net OPEB liability as percentage of covered-employee payroll n/a n/a n/a Notes to Schedule:
* Fiscal year 2018 was the first year of implementation. 108
634
City of Belmont
Belmont Fire Protection District
For the fiscal year ending June 30
Last 10 Years*

SCHEDULE OF CONTRIBUTIONS
Agent Multiple Employer Defined Benefit OPEB Plan
Fiscal Year Ending 2018 2019 2020 2021 2022
Actuarially determined contribution $185,827 $165,429 $0 $0 $0 Contributions in relation to the actuarially
determined contributions (371,176) (213,921) (18,374) - (89,085) Contribution deficiency (excess) ($185,349) ($48,492) ($18,374) - ($89,085) Covered-employee payroll $4,249,486 $2,979,220 $217,500 $0 $0 Contributions as a percentage of covered
payroll 8.73% 7.18% 8.45% N/A N/A
Notes to Schedule
Valuation date: 7/1/2017 7/1/2017 7/1/2019 7/1/2019 7/1/2019 Fiscal Year Ending 2023 2024 2025
Actuarially determined contribution $59,137 $60,821 $120,671 Contributions in relation to the actuarially
determined contributions (100,059) (119,696) (206,456)
Contribution deficiency (excess) ($40,922) ($58,875) ($85,785) Covered-employee payroll $0 $0 $0
Contributions as a percentage of covered
payroll N/A N/A N/A
Notes to Schedule
Valuation date: 7/1/2021 7/1/2021 7/1/2023
Methods and assumptions used to determine contribution rates:

Actuarial cost method Entry age normal, level percent of pay Amortization method Closed period, level percent of pay Amortization period 15 years
Inflation 2.5% for 2018 and 2019; 2.75% for 2020, 2021 and 2022; 2.5% for 2023, 2024, and 2025 Assumed Payroll Growth 3.0% for 2018; 2.75% for 2019; 3.0% for 2020 and 2021; 0% for 2022, 2023, 2024, and 2025 Healthcare trend rates 6.50%, trending down to 3.84% for 2018

7.0%, trending down to 3.84% for 2019

6.3%, trending down to 4.0% for 2020, 2021 and 2022
Medicare (Non-Kaiser) - 7.50%, trending down to 3.45% for 2023, 2024, and 2025 Medicare (Kaiser) - 6.25%, trending down to 3.45% for 2023, 2024, and 2025 Rate of return on assets
Mortality rate CalPERS Rates
Retirement Rates CalPERS Rates
* Fiscal year 2018 was the first year of implementation.

7.0% for 2018; 7.28% for 2019; 6.75% for 2020, 2021 and 2022; 5.25% for 2023, 2024, and 2025 109
635
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636

SUPPLEMENTAL INFORMATION
637
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638

CITY OF BELMONT

GENERAL FUND

COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2025
Total
General
General Measure I Fund

REVENUES
Taxes $23,629,549 $2,257,406 $25,886,955
Licenses and permits 1,163,956 1,163,956
Fines and forfeitures 112,389 112,389
Use of money and property 2,684,164 147,073 2,831,237
Intergovernmental 229,933 229,933
Charges for current services 4,584,005 4,584,005
Miscellaneous 144,733 3,900 148,633
Total Revenues 32,548,729 2,408,379 34,957,108

EXPENDITURES
Current:

General government 7,496,905 7,496,905
Public safety 15,443,152 15,443,152
Culture and recreation 2,795,516 2,795,516
Total Expenditures 25,735,573 25,735,573

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 6,813,156 2,408,379 9,221,535

OTHER FINANCING SOURCES (USES)
Transfers (out) (3,400,000) (3,273,339) (6,673,339)
Total Other Financing Sources (Uses) (3,400,000) (3,273,339) (6,673,339) NET CHANGE IN FUND BALANCES 3,413,156 (864,960) 2,548,196 BEGINNING FUND BALANCES 31,002,769 4,464,348 35,467,117 ENDING FUND BALANCES $34,415,925 $3,599,388 $38,015,313 113
639

CITY OF BELMONT

GENERAL FUND

COMBINING SCHEDULE OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025
General
Variance with
Budgeted Amounts Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES:

Taxes $22,176,181 $23,743,620 $23,629,549 ($114,071)
Licenses and permits 1,215,275 1,215,275 1,163,956 (51,319) Fines and forfeitures 144,237 144,237 112,389 (31,848)
Use of money and property 1,942,412 2,121,170 2,684,164 562,994 Intergovernmental 143,737 143,737 229,933 86,196
Charges for current services 4,639,148 4,639,148 4,584,005 (55,143) Miscellaneous 144,733 144,733
Total Revenues 30,260,990 32,007,187 32,548,729 541,542 EXPENDITURES:

Current:

General government 7,773,209 8,060,296 7,496,905 563,391 Public safety 15,984,409 16,086,409 15,443,152 643,257
Culture and recreation 2,820,602 2,910,602 2,795,516 115,086 Total Expenditures 26,578,220 27,057,307 25,735,573 1,321,734

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 3,682,770 4,949,880 6,813,156 1,863,276

OTHER FINANCING SOURCES USES
Transfers in 1,204,633 1,204,633 (1,204,633)
Transfers out (4,700,000) (4,950,000) (3,400,000) 1,550,000 Total Other Financing Sources (Uses) (3,495,367) (3,745,367) (3,400,000) 345,367 NET CHANGE IN FUND BALANCE $187,403 $1,204,513 3,413,156 $2,208,643 BEGINNING FUND BALANCE 31,002,769
ENDING FUND BALANCE $34,415,925
114
640
Measure I Total General Fund
Variance with Variance with
Budgeted Amounts Final Budget Budgeted Amounts Final Budget Actual Positive Actual Positive
Original Final Amounts (Negative) Original Final Amounts (Negative) $2,335,338 $2,275,970 $2,257,406 ($18,564) $24,511,519 $26,019,590 $25,886,955 ($132,635) 1,215,275 1,215,275 1,163,956 (51,319)
144,237 144,237 112,389 (31,848)
138,180 138,180 147,073 8,893 2,080,592 2,259,350 2,831,237 571,887 143,737 143,737 229,933 86,196
4,639,148 4,639,148 4,584,005 (55,143)
3,900 3,900 148,633 148,633
2,473,518 2,414,150 2,408,379 (5,771) 32,734,508 34,421,337 34,957,108 535,771 7,773,209 8,060,296 7,496,905 563,391
15,984,409 16,086,409 15,443,152 643,257
2,820,602 2,910,602 2,795,516 115,086
26,578,220 27,057,307 25,735,573 1,321,734
2,473,518 2,414,150 2,408,379 (5,771) 6,156,288 7,364,030 9,221,535 1,857,505 1,204,633 1,204,633 (1,204,633)
(3,606,708) (8,035,831) (3,273,339) 4,762,492 (8,306,708) (12,985,831) (6,673,339) 6,312,492 (3,606,708) (8,035,831) (3,273,339) 4,762,492 (7,102,075) (11,781,198) (6,673,339) 5,107,859 ($1,133,190) ($5,621,681) (864,960) $4,756,721 ($945,787) ($4,417,168) 2,548,196 $6,965,364 4,464,348 35,467,117
$3,599,388 $38,015,313
115
641
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642

NON-MAJOR GOVERNMENTAL FUNDS

SPECIAL REVENUE FUNDS
Recreation – To account for certain recreation programs where a large portion of the expenditures are financed by user fees.

Library Maintenance and Operations – To account for funds restricted for the maintenance and operations of the library, which is financed by parcel tax and special tax revenue.

City Trees – To account for the removal of trees required for the development of property, which is financed by user fees.

General Plan Maintenance – To account for activities related to the General Plan Update which are financed by user fees.

Supplemental Law Enforcement Services – To account for resources received from the State of California to be spent on front line law enforcement needs.

Public Safety – To account for grants and donations committed to the Police Department’s activities.

Street Maintenance – To account for gas tax resources restricted for expenditure on streets.

Measure A Street Improvements – To account for the City’s portion of the special half cent sales tax (Measure A) receipts restricted for street expenditures and other street related grants.

Measure W – To account for the City’s portion of the special half cent sales tax (Measure W) receipts restricted for street expenditures.

Athletic Field Maintenance – To account for athletic field maintenance and operations, which are financed by player registration fees.

Inclusionary Housing – To account for residential mitigation fees collected from new development activity, including the residential housing in-lieu fee and the commercial linkage fee. These housing mitigation fees are intended to be used to lessen the burdens created by new residential and non-residential development on the need for affordable housing.

Road Maintenance and Rehabilitation Account Fund (RMRA) – To account for gas tax resources restricted for expenditure on basic road maintenance, rehabilitation, and critical safety projects on the local streets and roads system. Senate Bill (SB) 1, the Road Repair and Accountability Act of 2017 provides funding for local streets and roads over the next 10 years.

Parks and Recreation Donations – To account for donations from the community to be used for parks and recreation services and programming.
117
643
NON-MAJOR GOVERNMENTAL FUNDS (Continued)
Public Art – To account for the private development fee paid in lieu of incorporating art elements in the development to provide funds for art installations on City property.

Traffic Mitigation – To account for transportation impact fees. Traffic Impact Fee revenues will be used to mitigate the impacts of new development by requiring new development to contribute to future transportation system investments in the City based on maintaining the existing proportionate level of investment in the City’s transportation infrastructure.

CAPITAL PROJECTS FUNDS
General Facilities – To account for the construction and maintenance of improvements to general-use City facilities.

Infrastructure – To account for expenditures associated with the City infrastructure, including streets, retaining walls, bridges, culverts, and waterways.

PEG – To account for the purchase and installation of hardware within City Hall to broadcast events to Pen TV, our Public Education Government Channel.

Planned Park – To account for the acquisition and improvement of parks, playgrounds, and recreation facilities.

Special Assessment District – To account for maintenance and improvement costs within City’s Special Assessment District boundaries. Resources represent funds remaining after the retirement of Special Assessment Debt.

Open Space – To account for the accumulation of resources for the acquisition, preservation, and improvements of open space.

Park Impact Fees – The Park Impact Fee Fund is to account for park impact fees, interest earned thereon and their expenditure, pursuant to the Mitigation Fee Act, needed to ensure that the City can construct park and recreation facilities and improvements needed for the population growth created by new development consistent with the policies of the City of Belmont General Plan. 118
644
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645

CITY OF BELMONT

NON-MAJOR GOVERNMENTAL FUNDS

COMBINING BALANCE SHEET
JUNE 30, 2025

SPECIAL REVENUE FUNDS
Library
Maintenance
and City General Plan
Recreation Operations Trees Maintenance
ASSETS
Cash and investments $689,892 $214,666 $230,412 $995,831 Receivables:

Accounts 28,799
Due from other
governmental agencies 7,318
Notes
Prepaids and other assets 49,550
Total Assets $718,691 $221,984 $230,412 $1,045,381

LIABILITIES
Accounts payable and other liabilities $109,447 $11,349 $191,034 Total Liabilities 109,447 11,349 191,034

FUND BALANCES
Nonspendable 49,550
Restricted 609,244 210,635 230,412
Committed 804,797
Assigned
Total Fund Balances 609,244 210,635 230,412 854,347
Total Liabilities, Deferred Inflows
of Resources and Fund Balances $718,691 $221,984 $230,412 $1,045,381 120
646

SPECIAL REVENUE FUNDS
Supplemental
Law Measure A
Enforcement Public Street Street Athletic Field
Services Safety Maintenance Improvements Measure W Maintenance $166,414 $35,063 $1,907,433 $3,133,957 $2,548,550 $460,499 16,687 69,777
88,626 75,715
$166,414 $35,063 $2,012,746 $3,209,672 $2,618,327 $460,499 $25,000 $14,445
25,000 14,445
$166,414 1,987,746 $3,209,672 $2,618,327 446,054
$35,063
166,414 35,063 1,987,746 3,209,672 2,618,327 446,054
$166,414 $35,063 $2,012,746 $3,209,672 $2,618,327 $460,499 (Continued)
121
647

SPECIAL REVENUE FUNDS
Road Maintenance Parks and
Inclusionary and Rehabilitation Recreation Public
Housing Account (SB1) Donations Art
ASSETS
Cash and investments $1,103,247 $733,535 $109,612 $437,770 Receivables:

Accounts
Due from other
governmental agencies 64,328
Notes 2,437,478
Prepaids and other assets
Total Assets $3,540,725 $797,863 $109,612 $437,770

LIABILITIES
Accounts payable and other liabilities $4,844
Total Liabilities 4,844

FUND BALANCES
Nonspendable
Restricted $3,540,725 $797,863 104,768 $437,770
Committed
Assigned
Total Fund Balances 3,540,725 797,863 104,768 437,770
Total Liabilities, Deferred Inflows
of Resources and Fund Balances $3,540,725 $797,863 $109,612 $437,770

COMBINING BALANCE SHEET

CITY OF BELMONT

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2025
122
648
Special
Revenue
Funds CAPITAL PROJECTS FUNDS
Traffic General Planned
Mitigation Facilities Infrastructure PEG Park
$511,278 $581,178 $2,386,092 $364,118 $482,489
$511,278 $581,178 $2,386,092 $364,118 $482,489
$3,362
3,362
$511,278 $364,118 $482,489
$581,178 2,382,730
511,278 581,178 2,382,730 364,118 482,489
$511,278 $581,178 $2,386,092 $364,118 $482,489
(Continued)
123
649

CITY OF BELMONT

NON-MAJOR GOVERNMENTAL FUNDS

COMBINING BALANCE SHEET
JUNE 30, 2025

CAPITAL PROJECTS FUNDS
Total
Special Nonmajor
Assessment Open Park Governmental
District Space Impact Fees Funds
ASSETS
Cash and investments $341,217 $54,456 $1,083,216 $18,570,925 Receivables:

Accounts 115,263
Due from other
governmental agencies 235,987
Notes 2,437,478
Prepaids and other assets 49,550
Total Assets $341,217 $54,456 $1,083,216 $21,409,203

LIABILITIES
Accounts payable and other liabilities $359,481
Total Liabilities 359,481

FUND BALANCES
Nonspendable 49,550
Restricted $341,217 $1,083,216 17,141,948
Committed 839,860
Assigned $54,456 3,018,364
Total Fund Balances 341,217 54,456 1,083,216 21,049,722 Total Liabilities, Deferred Inflows
of Resources and Fund Balances $341,217 $54,456 $1,083,216 $21,409,203 124
650
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651

CITY OF BELMONT

NON-MAJOR GOVERNMENTAL FUNDS

COMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2025

SPECIAL REVENUE FUNDS
Library
Maintenance
and City General Plan
Recreation Operations Trees Maintenance

REVENUES
Taxes $312,824
Licenses and permits
Use of money and property ($194) 28,366 $10,041 $53,957 Intergovernmental $75,045 2,149
Charges for current services 2,607,771 10,718 551,999
Miscellaneous 26,530
Total Revenues 2,709,152 343,339 20,759 605,956

EXPENDITURES
Current:

Public safety
Highways and streets
Culture and recreation 3,897,268 432,079 42,656
Urban redevelopment 1,243,258
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total Expenditures 3,897,268 432,079 42,656 1,243,258

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (1,188,116) (88,740) (21,897) (637,302)

OTHER FINANCING SOURCES (USES)
Transfers in 1,400,000
Transfers (out) (477,757)
Total Other Financing
Sources (Uses) 1,400,000 (477,757)
NET CHANGE IN FUND BALANCES 211,884 (566,497) (21,897) (637,302)

BEGINNING FUND BALANCES,
AS PREVIOUSLY REPORTED 397,360 777,132 252,309 1,491,649

ADJUSTMENT
Change from nonmajor fund to major fund
BEGINNING FUND BALANCES, AS ADJUSTED 397,360 777,132 252,309 1,491,649 ENDING FUND BALANCES $609,244 $210,635 $230,412 $854,347 126
652

SPECIAL REVENUE FUNDS
Supplemental
Law Measure A
Enforcement Public Street Street Athletic Field
Services Safety Maintenance Improvements Measure W Maintenance $797,982 $932,949 $412,100
3,180
$4,821 $1,477 51,089 124,949 97,698 $17,201
194,663 41,398
627,695 192,987
3,323 300 11,470
199,484 4,800 1,477,066 1,113,946 509,798 210,188
103,896 5,000
2,354,518
155,096
69,563
103,896 5,000 2,354,518 69,563 155,096
95,588 (200) (877,452) 1,044,383 509,798 55,092
1,500,000
(769,921) (186,369)
1,500,000 (769,921) (186,369)
95,588 (200) 622,548 274,462 323,429 55,092
70,826 35,263 1,365,198 2,935,210 2,294,898 390,962
70,826 35,263 1,365,198 2,935,210 2,294,898 390,962
$166,414 $35,063 $1,987,746 $3,209,672 $2,618,327 $446,054 (Continued)
127
653

CITY OF BELMONT

NON-MAJOR GOVERNMENTAL FUNDS

COMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2025

SPECIAL REVENUE FUNDS
(Previously
Nonmajor) Road Maintenance Parks and
Affordable Inclusionary and Rehabilitation Recreation Public Housing Housing Account (SB1) Donations Art

REVENUES
Taxes
Licenses and permits
Use of money and property $106,007 $21,243 $4,116 $17,535 Intergovernmental 764,551
Charges for current services 180,503
Miscellaneous 9,506
Total Revenues 286,510 785,794 13,622 17,535

EXPENDITURES
Current:

Public safety
Highways and streets
Culture and recreation 4,844
Urban redevelopment
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total Expenditures 4,844

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 286,510 785,794 8,778 17,535

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers (out) (485,641)
Total Other Financing
Sources (Uses) (485,641)
NET CHANGE IN FUND BALANCES 286,510 300,153 8,778 17,535

BEGINNING FUND BALANCES,
AS PREVIOUSLY REPORTED $6,056,433 3,254,215 497,710 95,990 420,235

ADJUSTMENT
Change from nonmajor fund to major fund (6,056,433)
BEGINNING FUND BALANCES - as adjusted 3,254,215 497,710 95,990 420,235 ENDING FUND BALANCES $3,540,725 $797,863 $104,768 $437,770 128
654
Special
Revenue
Funds CAPITAL PROJECTS FUNDS
Traffic General Planned
Mitigation Facilities Infrastructure PEG Park
$7,894 $24,733 $96,274 $35,086
$17,199
402,964 35,393
410,858 24,733 96,274 17,199 70,479
6,880 4,062
3,362
596,729
71,271
6,880 3,362 672,062
410,858 17,853 92,912 17,199 (601,583)
(58,139) (73,766) (344)
(58,139) (73,766) (344)
410,858 (40,286) 92,912 (56,567) (601,927)
100,420 621,464 2,289,818 420,685 1,084,416
100,420 621,464 2,289,818 420,685 1,084,416
$511,278 $581,178 $2,382,730 $364,118 $482,489
(Continued)
129
655

CITY OF BELMONT

NON-MAJOR GOVERNMENTAL FUNDS

COMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2025

CAPITAL PROJECTS FUNDS
Total
Special Nonmajor
Assessment Open Park Governmental
District Space Impact Fees Funds

REVENUES
Taxes $2,455,855
Licenses and permits 3,180
Use of money and property $13,667 $3,490 $30,471 749,921 Intergovernmental 1,095,005
Charges for current services 392,363 5,002,393
Miscellaneous 51,129
Total Revenues 13,667 3,490 422,834 9,357,483

EXPENDITURES
Current:

Public safety 108,896
Highways and streets 2,365,460
Culture and recreation 4,531,943
Urban redevelopment 1,243,258
Capital outlay 72,925
Debt service:

Principal 596,729
Interest and fiscal charges 71,271
Total Expenditures 8,990,482

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 13,667 3,490 422,834 367,001

OTHER FINANCING SOURCES (USES)
Transfers in 2,900,000
Transfers (out) (52,609) (19,675) (2,124,221)
Total Other Financing
Sources (Uses) (52,609) (19,675) 775,779
NET CHANGE IN FUND BALANCES 13,667 (49,119) 403,159 1,142,780

BEGINNING FUND BALANCES,
AS PREVIOUSLY REPORTED 327,550 103,575 680,057 25,963,375

ADJUSTMENT
Change from nonmajor fund to major fund (6,056,433)
BEGINNING FUND BALANCES, AS ADJUSTED 327,550 103,575 680,057 19,906,942 ENDING FUND BALANCES $341,217 $54,456 $1,083,216 $21,049,722 130
656
This Page Left Intentionally Blank
657

CITY OF BELMONT

BUDGETED NON-MAJOR FUNDS

COMBINING SCHEDULE OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025

SPECIAL REVENUE FUNDS

LIBRARY MAINTENANCE

RECREATION AND OPERATIONS
Variance Variance
Positive Positive
Budget Actual (Negative) Budget Actual (Negative)

REVENUES
Taxes $312,802 $312,824 $22
Licenses and permits
Use of money and property ($194) ($194) 28,850 28,366 (484) Intergovernmental $61,000 75,045 14,045 2,149 2,149
Charges for current services 2,164,300 2,607,771 443,471 Miscellaneous 12,000 26,530 14,530
Total Revenues 2,237,300 2,709,152 471,852 341,652 343,339 1,687

EXPENDITURES
Current
Public safety
Highways and streets
Culture and recreation 4,085,100 3,897,268 187,832 472,458 432,079 40,379 Urban redevelopment
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total Expenditures 4,085,100 3,897,268 187,832 472,458 432,079 40,379

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (1,847,800) (1,188,116) 659,684 (130,806) (88,740) 42,066

OTHER FINANCING SOURCES (USES)
Transfers in 1,750,000 1,400,000 (350,000)
Transfers (out) (500,000) (477,757) 22,243
Total Other Financing Sources (Uses) 1,750,000 1,400,000 (350,000) (500,000) (477,757) 22,243 NET CHANGE IN FUND BALANCES ($97,800) 211,884 $309,684 ($630,806) (566,497) $64,309 BEGINNING FUND BALANCES 397,360 777,132
ENDING FUND BALANCES $609,244 $210,635
132
658

SPECIAL REVENUE FUNDS

SUPPLEMENTAL LAW

CITY TREES GENERAL PLAN MAINTENANCE ENFORCEMENT SERVICES Variance Variance Variance
Positive Positive Positive
Budget Actual (Negative) Budget Actual (Negative) Budget Actual (Negative) $10,290 $10,041 ($249) $53,430 $53,957 $527 $2,560 $4,821 $2,261 172,271 194,663 22,392
10,000 10,718 718 450,000 551,999 101,999
20,290 20,759 469 503,430 605,956 102,526 174,831 199,484 24,653 99,110 103,896 (4,786)
76,280 42,656 33,624
1,420,649 1,243,258 177,391
76,280 42,656 33,624 1,420,649 1,243,258 177,391 99,110 103,896 (4,786) (55,990) (21,897) 34,093 (917,219) (637,302) 279,917 75,721 95,588 19,867 (60,000) 60,000
(60,000) 60,000
($115,990) (21,897) $94,093 ($917,219) (637,302) $279,917 $75,721 95,588 $19,867 252,309 1,491,649 70,826
$230,412 $854,347 $166,414
(Continued)
133
659

CITY OF BELMONT

BUDGETED NON-MAJOR FUNDS

COMBINING SCHEDULE OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025

SPECIAL REVENUE FUNDS

PUBLIC SAFETY STREET MAINTENANCE
Variance Variance
Positive Positive
Budget Actual (Negative) Budget Actual (Negative)

REVENUES
Taxes $803,169 $797,982 ($5,187)
Licenses and permits
Use of money and property $1,170 $1,477 $307 51,089 51,089 Intergovernmental
Charges for current services 375,563 627,695 252,132
Miscellaneous 3,323 3,323 300 300
Total Revenues 1,170 4,800 3,630 1,178,732 1,477,066 298,334

EXPENDITURES
Current
Public safety 9,000 5,000 4,000
Highways and streets 2,598,760 2,354,518 244,242
Culture and recreation
Urban redevelopment
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total Expenditures 9,000 5,000 4,000 2,598,760 2,354,518 244,242

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (7,830) (200) 7,630 (1,420,028) (877,452) 542,576

OTHER FINANCING SOURCES (USES)
Transfers in 1,500,000 1,500,000
Transfers (out)
Total Other Financing Sources (Uses) 1,500,000 1,500,000 NET CHANGE IN FUND BALANCES ($7,830) (200) $7,630 $79,972 622,548 $542,576 BEGINNING FUND BALANCES 35,263 1,365,198
ENDING FUND BALANCES $35,063 $1,987,746
134
660

SPECIAL REVENUE FUNDS

MEASURE A STREET IMPROVEMENTS MEASURE W ATHLETIC FIELD MAINTENANCE Variance Variance Variance
Positive Positive Positive
Budget Actual (Negative) Budget Actual (Negative) Budget Actual (Negative) $938,257 $932,949 ($5,308) $417,933 $412,100 ($5,833)
3,180 3,180
87,720 124,949 37,229 71,840 97,698 25,858 $14,530 $17,201 $2,671 108,000 41,398 (66,602)
150,000 192,987 42,987
11,470 11,470
1,133,977 1,113,946 (20,031) 489,773 509,798 20,025 164,530 210,188 45,658 143,800 155,096 (11,296)
69,563 69,563
69,563 69,563 143,800 155,096 (11,296)
1,064,414 1,044,383 (20,031) 489,773 509,798 20,025 20,730 55,092 34,362 (3,361,315) (769,921) 2,591,394 (3,018,000) (186,369) 2,831,631 (210,000) 210,000 (3,361,315) (769,921) 2,591,394 (3,018,000) (186,369) 2,831,631 (210,000) 210,000 ($2,296,901) 274,462 $2,571,363 ($2,528,227) 323,429 $2,851,656 ($189,270) 55,092 $244,362 2,935,210 2,294,898 390,962
$3,209,672 $2,618,327 $446,054
(Continued)
135
661

CITY OF BELMONT

BUDGETED NON-MAJOR FUNDS

COMBINING SCHEDULE OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025

SPECIAL REVENUE FUNDS

ROAD MAINTENANCE AND
INCLUSIONARY HOUSING REHABILITATION ACCOUNT (SB1)
Variance Variance
Positive Positive
Budget Actual (Negative) Budget Actual (Negative)

REVENUES
Taxes
Licenses and permits
Use of money and property $12,640 $106,007 $93,367 $31,190 $21,243 ($9,947) Intergovernmental 737,936 764,551 26,615
Charges for current services 180,503 180,503
Miscellaneous
Total Revenues 193,143 286,510 93,367 769,126 785,794 16,668

EXPENDITURES
Current
Public safety
Highways and streets
Culture and recreation
Urban redevelopment
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total Expenditures

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 193,143 286,510 93,367 769,126 785,794 16,668

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers (out) (1,674,069) (485,641) 1,188,428
Total Other Financing Sources (Uses) (1,674,069) (485,641) 1,188,428 NET CHANGE IN FUND BALANCES $193,143 286,510 $93,367 ($904,943) 300,153 $1,205,096 BEGINNING FUND BALANCES 3,254,215 497,710
ENDING FUND BALANCES $3,540,725 $797,863
136
662

SPECIAL REVENUE FUNDS

PARKS AND RECREATION

PUBLIC ART
Variance Variance Variance
Positive Positive Positive
Budget Actual (Negative) Budget Actual (Negative) Budget Actual (Negative) $3,530 $4,116 $586 $15,440 $17,535 $2,095 $3,690 $7,894 $4,204 6,081 (6,081) 153,379 402,964 249,585
7,000 9,506 2,506
10,530 13,622 3,092 21,521 17,535 (3,986) 157,069 410,858 253,789 9,500 4,844 4,656
9,500 4,844 4,656
1,030 8,778 7,748 21,521 17,535 (3,986) 157,069 410,858 253,789 (10,000) 10,000
(10,000) 10,000
$1,030 8,778 $7,748 $11,521 17,535 $6,014 $157,069 410,858 $253,789 95,990 420,235 100,420
$104,768 $437,770 $511,278
(Continued)

DONATIONS TRAFFIC MITIGATION
137
663

CITY OF BELMONT

BUDGETED NON-MAJOR FUNDS

COMBINING SCHEDULE OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025

CAPITAL PROJECT FUNDS

GENERAL FACILITIES INFRASTRUCTURE
Variance Variance
Positive Positive
Budget Actual (Negative) Budget Actual (Negative)

REVENUES
Taxes
Licenses and permits
Use of money and property $27,870 $24,733 ($3,137) $87,590 $96,274 $8,684 Intergovernmental
Charges for current services
Miscellaneous
Total Revenues 27,870 24,733 (3,137) 87,590 96,274 8,684

EXPENDITURES
Current
Public safety
Highways and streets 7,076 6,880 196
Culture and recreation
Urban redevelopment
Capital outlay 3,362 (3,362)
Debt service:

Principal
Interest and fiscal charges
Total Expenditures 7,076 6,880 196 3,362 (3,362)

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 20,794 17,853 (2,941) 87,590 92,912 5,322

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers (out) (586,234) (58,139) 528,095 (3,263,019) 3,263,019 Total Other Financing Sources (Uses) (586,234) (58,139) 528,095 (3,263,019) 3,263,019 NET CHANGE IN FUND BALANCES ($565,440) (40,286) $525,154 ($3,175,429) 92,912 $3,268,341 BEGINNING FUND BALANCES 621,464 2,289,818
ENDING FUND BALANCES $581,178 $2,382,730
138
664

CAPITAL PROJECT FUNDS

PLANNED PARK SPECIAL ASSESSMENT DISTRICT
Variance Variance Variance
Positive Positive Positive
Budget Actual (Negative) Budget Actual (Negative) Budget Actual (Negative) $58,060 $35,086 ($22,974) $12,030 $13,667 $1,637
$15,450 $17,199 $1,749
35,393 35,393
15,450 17,199 1,749 58,060 70,479 12,419 12,030 13,667 1,637 4,062 4,062
596,730 596,729 1
71,271 71,271
672,063 672,062 1
15,450 17,199 1,749 (614,003) (601,583) 12,420 12,030 13,667 1,637 33,299 (33,299)
(120,000) (73,766) 46,234 (27,799) (344) 27,455
(120,000) (73,766) 46,234 5,500 (344) (5,844)
($104,550) (56,567) $47,983 ($608,503) (601,927) $6,576 $12,030 13,667 $1,637 420,685 1,084,416 327,550
$364,118 $482,489 $341,217
(Continued)
PEG
139
665

CITY OF BELMONT

BUDGETED NON-MAJOR FUNDS

COMBINING SCHEDULE OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2025

CAPITAL PROJECT FUNDS
Variance Variance
Positive Positive
Budget Actual (Negative) Budget Actual (Negative)

REVENUES
Taxes
Licenses and permits
Use of money and property $3,710 $3,490 ($220) $24,750 $30,471 $5,721 Intergovernmental
Charges for current services 19,484 392,363 372,879
Miscellaneous
Total Revenues 3,710 3,490 (220) 44,234 422,834 378,600

EXPENDITURES
Current
Public safety
Highways and streets
Culture and recreation
Urban redevelopment
Capital outlay
Debt service:

Principal
Interest and fiscal charges
Total Expenditures

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 3,710 3,490 (220) 44,234 422,834 378,600

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers (out) (51,299) (52,609) (1,310) (663,000) (19,675) 643,325 Total Other Financing Sources (Uses) (51,299) (52,609) (1,310) (663,000) (19,675) 643,325 NET CHANGE IN FUND BALANCES ($47,589) (49,119) ($1,530) ($618,766) 403,159 $1,021,925 BEGINNING FUND BALANCES 103,575 680,057
ENDING FUND BALANCES $54,456 $1,083,216

OPEN SPACE PARK IMPACT FEES
140
666

NON-MAJOR ENTERPRISE FUNDS
Storm Drainage Fund – To account for the maintenance of the storm drain system, street sweeping and other activities related to the mandated National Pollution Discharge Elimination System (NPDES).

Funding comes from customers connected to the City’s sewer system, due to extensive infiltration and intrusion to the City’s sewer system, street sweeping charges, and NPDES charges.

Solid Waste Fund – To account for operating costs associated with administering the solid waste franchise.

Sewer Connection Fees – To account for capacity-related costs to upsizing of the sewer collections system.
141
667

CITY OF BELMONT

NON-MAJOR ENTERPRISE FUNDS

COMBINING STATEMENT OF NET POSITION
JUNE 30, 2025
Sewer Total
Storm Solid Connection Non-Major
Drainage Waste Fees Enterprise Funds
ASSETS
Current Assets:

Cash and investments $2,725,713 $1,933,620 $4,659,333
Accounts receivable $9,475 9,475
Due from other governmental agencies 58,449 54,274 112,723 Total Current Assets 67,924 2,779,987 1,933,620 4,781,531 Total Current Assets 67,924 2,779,987 1,933,620 4,781,531 Noncurrent Assets:

Capital assets:

Land and construction in progress 47,709 47,709
Depreciable assets, net 2,278,658 2,278,658
Total Noncurrent Assets 2,326,367 2,326,367
Total Assets 2,394,291 2,779,987 1,933,620 7,107,898

DEFERRED OUTFLOWS
Related to pension 376,657 136,015 512,672
Related to OPEB 86,216 32,623 118,839
Total Deferred Outflows 462,873 168,638 631,511

LIABILITIES
Current Liabilities:

Accounts payable and other liabilities 3,379 10,349 13,728 Due to other funds 418,344 418,344
Compensated absences 80,752 23,133 103,885
Total Current Liabilities 502,475 33,482 535,957
Noncurrent Liabilities:

Compensated absences 27,901 17,980 45,881
Net pension liability 1,170,691 422,749 1,593,440
Net OPEB liability 216,871 82,059 298,930
Total Noncurrent Liabilities 1,415,463 522,788 1,938,251 Total Liabilities 1,917,938 556,270 2,474,208

DEFERRED INFLOWS
Related to pension 38,259 13,816 52,075
Related to OPEB 22,005 8,326 30,331
Total Deferred Inflows 60,264 22,142 82,406
NET POSITION (Note 9)
Net investment in capital assets 2,326,367 2,326,367
Restricted for treatment facility 1,933,620 1,933,620
Unrestricted (1,447,405) 2,370,213 922,808
Total Net Position $878,962 $2,370,213 $1,933,620 $5,182,795 142
668

CITY OF BELMONT

NON-MAJOR ENTERPRISE FUNDS

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION
FOR THE YEAR ENDED JUNE 30, 2025
(Previously
Major) Sewer Total
Storm Solid Connection Non-Major
Drainage Waste Fees Enterprise Funds

OPERATING REVENUES
Charges for current services
Sewer connection fees $449,658 $449,658
NPDES storm drain charges $519,512 519,512
Street sweeping 594,679 594,679
Garbage franchise fee $644,235 644,235
Interdepartmental charges 55,757 55,757
Total Operating Revenues 1,169,948 644,235 449,658 2,263,841

OPERATING EXPENSES
Personnel services 1,057,844 312,147 1,369,991
Services and supplies 972,601 205,012 1,177,613
Depreciation 241,639 241,639
Total Operating Expenses 2,272,084 517,159 2,789,243
Operating Income (Loss) (1,102,136) 127,076 449,658 (525,402)

NONOPERATING REVENUES (EXPENSES)
Interest (10,722) 105,285 (72,844) 21,719
Interest expense
Intergovernmental and miscellaneous 85,468 27,879 113,347 Total Nonoperating Revenues (Expenses) 74,746 133,164 (72,844) 135,066 Income (Loss) Before Transfers (1,027,390) 260,240 376,814 (390,336) Transfers in 592,785 2,977,530 3,570,315
Transfers (out) (92,784) (1,420,724) (1,513,508)
Net transfers 500,001 1,556,806 2,056,807
Change in net position (527,389) 260,240 1,933,620 1,666,471 BEGINNING NET POSITION - as previously reported 2,109,973 2,109,973 ADJUSTMENT - change from major fund to
nonmajor fund 1,406,351 1,406,351
BEGINNING NET POSITION - as adjusted 1,406,351 2,109,973 3,516,324 ENDING NET POSITION $878,962 $2,370,213 $1,933,620 $5,182,795 143
669

CITY OF BELMONT

NON-MAJOR ENTERPRISE FUNDS

COMBINING STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED JUNE 30, 2025
Sewer Total
Storm Solid Connection Non-Major
Drainage Waste Fees Enterprise Funds

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers $1,111,388 $643,482 $449,658 $2,204,528 Other receipts 85,468 27,879 113,347
Interdepartmental charges 55,757 55,757
Payments to suppliers (1,215,289) (194,818) (1,410,107) Payments to employees (951,832) (326,951) (1,278,783)
Cash Flows from Operating Activities (914,508) 149,592 449,658 (315,258)

CASH FLOWS FROM NONCAPITAL

FINANCING ACTIVITIES
Interfund receipts 1,011,129 2,977,530 3,988,659
Interfund payments (92,784) (1,420,724) (1,513,508)
Cash Flows from Noncapital Financing Activities 918,345 1,556,806 2,475,151

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Interest paid (10,722) (72,844) (83,566)
Cash Flows from Capital and Related Financing Activities (10,722) (72,844) (83,566)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest and rents 105,285 105,285
Cash Flows from Capital and Related Investing Activities 105,285 105,285 Net Cash Flows (6,885) 254,877 1,933,620 2,181,612
Cash and investments at beginning of period 6,885 2,470,836 2,477,721 Cash and investments at end of period $2,725,713 $1,933,620 $4,659,333 Reconciliation of Operating Income (Loss) to Cash Flows from Operating Activities:

Operating income (loss) (1,102,136) $127,076 $449,658 ($525,402) Adjustments to reconcile operating income (loss) to cash flows from operating activities:

Depreciation 241,639 241,639
Miscellaneous 85,468 27,879 113,347
Change in assets, deferred outflows and liabilities:

Receivables, net ($2,803) (753) (3,556)
Accounts payable (242,688) 10,194 (232,494)
Deferred outflows 94,493 65,665 160,158
Deferred inflows (37,974) (18,870) (56,844)
Net pension liability (5,592) (74,811) (80,403)
Net OPEB liability 16,434 632 17,066
Compensated absences 38,651 12,580 51,231
Cash Flows from Operating Activities ($914,508) $149,592 $449,658 ($315,258) 144
670

INTERNAL SERVICE FUNDS
Internal Service Funds are used to finance and account for special activities and services performed by a designated department for other departments in the City on a cost reimbursement basis.

The concept of major funds does not extend to internal service funds because they do not do business with outside parties. For the Statement of Activities, the net revenues or expenses of each internal service fund be eliminated by netting them against the operations of the other City departments, which generated them. The remaining balance sheet items are consolidated with these same funds in the Statement of Net Position.

However, internal service funds are still presented separately in the Fund financial statements, including the funds below.

Workers’ Compensation – To account for the City’s workers’ compensation insurance program.

Liability Insurance – To account for coverage on the City’s and District’s general and automobile liability.

Benefit Prefunding – To account for certain accrued employee benefits.

Fleet and Equipment Management – To account for the interdepartmental services provided by the Fleet Management division and Information Technology division.

Facilities Management – To account for the interdepartmental services provided by the Facilities Management Division.
145
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CITY OF BELMONT

INTERNAL SERVICE FUNDS

COMBINING STATEMENT OF NET POSITION
JUNE 30, 2025
Fleet and
Workers' Liability Benefit Equipment Facilities
Compensation Insurance Prefunding Management Management Total ASSETS
Current Assets:

Cash and investments $2,446,530 $3,331,154 $1,627,481 $8,151,716 $794,960 $16,351,841 Accounts receivable 933 11,973 12,906
Due from other governmental agencies 57,411 57,411
Prepaids and other assets 19,327 19,327
Total Current Assets 2,446,530 3,331,154 1,627,481 8,171,976 864,344 16,441,485 Noncurrent Assets:

Depreciable capital assets, net 1,753,943 287,107 2,041,050 Total Assets 2,446,530 3,331,154 1,627,481 9,925,919 1,151,451 18,482,535

LIABILITIES
Current Liabilities:

Accounts payable 6,081 26,359 60,213 88,790 181,443
Claims payable 12,037 72,087 84,124
Compensated absences 118,651 42,412 161,063
Subscription liabilities 178,991 178,991
Total Current Liabilities 18,118 98,446 357,855 131,202 605,621 Noncurrent Liabilities:

Claims payable 488,130 488,130
Compensated absences 53,685 95,347 149,032
Subscription liabilities 275,546 275,546
Total Noncurrent Liabilities 488,130 329,231 95,347 912,708 Total Liabilities 506,248 98,446 687,086 226,549 1,518,329

NET POSITION
Net investment in capital assets 1,299,406 287,107 1,586,513 Unrestricted 1,940,282 3,232,708 1,627,481 7,939,427 637,795 15,377,693 Total Net Position $1,940,282 $3,232,708 $1,627,481 $9,238,833 $924,902 $16,964,206 146
672

CITY OF BELMONT

INTERNAL SERVICE FUNDS

COMBINING STATEMENT OF REVENUES, EXPENSES AND

CHANGES IN FUND NET POSITION
FOR THE YEAR ENDED JUNE 30, 2025
Fleet and
Workers' Liability Benefit Equipment Facilities
Compensation Insurance Prefunding Management Management Total

OPERATING REVENUES
Interdepartmental charges for services $858,795 $800,004 $1,439,177 $5,052,390 $2,705,328 $10,855,694 Insurance claims, change in claims payable 27,958 27,958 Total Operating Revenues 858,795 827,962 1,439,177 5,052,390 2,705,328 10,883,652

OPERATING EXPENSES
Insurance premiums 728,476 645,699 1,374,175
Professional and legal 30,948 422,149 87,623 1,228,548 312,411 2,081,679 Operating costs 336,744 2,134,654 2,221,068 4,692,466
Pension and other post employment benefits 1,267,943 1,267,943 Insurance claims 142,433 6,344 148,777
Depreciation 950,938 18,750 969,688
Total Operating Expenses 901,857 1,074,192 1,692,310 4,314,140 2,552,229 10,534,728 Operating Income (Loss) (43,062) (246,230) (253,133) 738,250 153,099 348,924

NONOPERATING REVENUES (EXPENSES)
Gain from sale of capital assets 6,485 6,485
Use of money and property 90,078 139,338 57,985 291,488 361,410 940,299 Intergovernmental and miscellaneous 56,757 15,798 509,572 135 95,662 677,924 Total Nonoperating Revenues (Expenses) 146,835 155,136 567,557 298,108 457,072 1,624,708 Income (Loss) Before Transfers 103,773 (91,094) 314,424 1,036,358 610,171 1,973,632 Transfers (out) (38,101) (51,306) (89,407)
Net transfers (38,101) (51,306) (89,407)
Change in Net Position 103,773 (91,094) 314,424 998,257 558,865 1,884,225 BEGINNING NET POSITION 1,836,509 3,323,802 1,313,057 8,240,576 366,037 15,079,981 ENDING NET POSITION $1,940,282 $3,232,708 $1,627,481 $9,238,833 $924,902 $16,964,206 147
673

CITY OF BELMONT

INTERNAL SERVICE FUNDS

COMBINING STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED JUNE 30, 2025
Fleet and
Workers' Liability Benefit Equipment Facilities
Compensation Insurance Prefunding Management Management Total

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from other funds $915,552 $815,802 $1,948,749 $5,052,525 $2,740,444 $11,473,072 Payments to vendors (753,343) (1,062,619) (424,367) (1,599,782) (1,592,319) (5,432,430) Payment to or on behalf of employees (1,268,364) (1,717,332) (825,382) (3,811,078) Settlements received
Claims paid (15,443) (6,344) (21,787)
Cash Flows from Operating Activities 146,766 (253,161) 256,018 1,735,411 322,743 2,207,777

CASH FLOWS FROM NONCAPITAL

FINANCING ACTIVITIES
Interfund payments (38,101) (51,306) (89,407)
Cash Flows from Noncapital
Financing Activities (38,101) (51,306) (89,407)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Acquisition of capital assets (643,050) 1 (643,049)
Proceeds from sale of capital assets 6,485 6,485
Principal payments on subscription liability (319,600) (319,600) Cash Flows from Capital and Related
Financing Activities (956,165) 1 (956,164)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest and rents 90,078 139,338 57,985 291,488 361,410 940,299 Cash Flows from Investing Activities 90,078 139,338 57,985 291,488 361,410 940,299 Net Cash Flows 236,844 (113,823) 314,003 1,032,633 632,848 2,102,505 Cash and investments at beginning of period 2,209,686 3,444,977 1,313,478 7,119,083 162,112 14,249,336 Cash and investments at end of period $2,446,530 $3,331,154 $1,627,481 $8,151,716 $794,960 $16,351,841 Reconciliation of operating income (loss) to
net cash flows from operating activities:

Operating income (loss) ($43,062) ($246,230) ($253,133) $738,250 $153,099 $348,924 Adjustments to reconcile operating income (loss) to
net cash flows from operating activities:

Depreciation 950,938 18,750 969,688
Miscellaneous revenues 56,757 15,798 509,572 135 95,662 677,924 Change in assets and liabilities:

Accounts receivables (60,546) (60,546)
Prepaids and other net assets (2,429) (2,429)
Accounts payable 6,081 5,229 (421) 8,883 62,246 82,018
Claims payable 126,990 (27,958) 99,032
Compensated absences 39,634 53,532 93,166
Cash Flows from Operating Activities $146,766 ($253,161) $256,018 $1,735,411 $322,743 $2,207,777 Noncash Transactions
Subscription Assets $465,644 $465,644
Subscription Liabilities ($465,644) ($465,644)
Retirement of capital assets $553,087 $553,087
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Statistical
Section
675
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676

STATISTICAL SECTION
This part of the City’s Annual Comprehensive Financial Report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City’s overall financial health. In contrast to the financial section, the statistical section information is not subject to independent audit.

Financial Trends
These schedules contain trend information to help the reader understand how the City’s financial performance and wellbeing have changed over time:

1. Net Position by Component

2. Changes in Net Position

3. Fund Balances of Governmental Funds

4. Changes in Fund Balance of Governmental Funds
Revenue Capacity
These schedules contain information to help the reader assess the City’s most significant local revenue source, the property tax:

1. Assessed Value of Taxable Property

2. Direct and Overlapping Property Tax Rates

3. Principal Property Taxpayers

4. Property Tax Levies and Collections
Debt Capacity
These schedules present information to help the reader assess the affordability of the City’s current levels of outstanding debt and the City’s ability to issue additional debt in the future:

1. Ratio of Outstanding Debt by Type

2. Computation of Direct and Overlapping Debt

3. Computation of Legal Bonded Debt Margin

4. Bonded Debt Pledged Revenue Coverage:
a. 2016 Sewer Revenue and Sewer Refunding Revenue Bonds and 2019 Sewer Revenue Bonds – Last Ten Fiscal Years
b. 2018 Sewer Treatment Facility Revenue Bonds and 2022 Sewer Treatment Facility Obligations
c. Former Redevelopment Agency Bonds

5. Continuing Disclosure Requirements:
a. Sewer System Summary Statement of Historical Revenue and Expenditures b. Ten Largest Users of the Sewer System
c. Number of Sewer Service Users
d. Sewer Service Revenues by Class of User
e. Schedule of Budgeted and Projected Sewer Treatment Facility Charges and Associated Debt Service
f. Community Facilities District No. 2000-1
151
677
STATISTICAL SECTION (Continued)
Demographic and Economic Information
These schedules offer demographic and economic indicators to help the reader understand the environment within which the City’s financial activities take place:

1. Demographic and Economic Statistics

2. Principal Employers
Operating Information
These schedules contain service and infrastructure data to help the reader understand how the information in the City’s financial report relates to the services the City provides and the activities it performs:

1. Full-Time Equivalent City Government Employees by Function

2. Operating Indicators by Function/Program

3. Capital Asset Statistics by Function/Program
Sources
Unless otherwise noted, the information in these schedules is derived from the Annual Comprehensive Financial Reports for the relevant year.
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CITY OF BELMONT

NET POSITION BY COMPONENT
Last Ten Fiscal Years
(accrual basis of accounting)
As of June 30,
2016 2017 2018 2019 2020
Governmental activities
Net investment in capital assets $67,139,553 $69,831,130 $67,969,307 $69,521,925 $74,539,932 Restricted 6,904,177 11,714,283 24,061,436 24,039,737 26,494,396 Unrestricted (9,680,086) (188,113) (12,213,657) (a) (4,098,068) (6,415,098) Total governmental activities $64,363,644 $81,357,300 $79,817,086 $89,463,594 $94,619,230 Business-type activities
Net investment in capital assets $16,739,430 $6,439,038 $5,536,183 $3,453,035 $4,445,755 Restricted 9,143,559 14,957,819 17,728,929 20,219,035 22,464,351 Unrestricted 8,602,110 9,913,265 (a) 13,315,730 16,112,774 Total business-type activities $25,882,989 $29,998,967 $33,178,377 $36,987,800 $43,022,880 Primary government
Net investment in capital assets $83,878,983 $76,270,168 $73,505,490 $72,974,960 $78,985,687 Restricted 16,047,736 26,672,102 41,790,365 44,258,772 48,958,747 Unrestricted (9,680,086) 8,413,997 (2,300,392) (a) 9,217,662 9,697,676 Total primary government $90,246,633 $111,356,267 $112,995,463 $126,451,394 $137,642,110 2021 2022 2023 2024 2025
Governmental activities
Net investment in capital assets $74,700,385 $80,638,254 $79,747,471 $83,034,874 $86,076,589 Restricted 29,925,106 31,881,783 36,023,415 54,093,711 (b) 63,121,480 Unrestricted (4,130,669) 3,477,732 (7,231,599) 21,799,848 20,475,020 Total governmental activities $100,494,822 $115,997,769 $108,539,287 $158,928,433 $169,673,089 Business-type activities
Net investment in capital assets $3,971,403 $1,163,216 $7,176,591 $287,849 $2,476,077 Restricted 24,300,968 25,991,829 25,991,829 28,834,072 32,237,961 Unrestricted 21,229,648 28,806,567 43,535,183 47,464,806 Total business-type activities $49,502,019 $55,961,612 $33,168,420 $72,657,104 $82,178,844 Primary government
Net investment in capital assets $78,671,788 $81,801,470 $86,924,062 $83,322,723 $88,552,666 Restricted 54,226,074 57,873,612 62,015,244 82,927,783 95,359,441 Unrestricted 17,098,979 32,284,299 (7,231,599) 65,335,031 67,939,826 Total primary government $149,996,841 $171,959,381 $141,707,707 $231,585,537 $251,851,933 (a) Fiscal year 2018 was the first year of implementation of GASB 75. (b) Restated in fiscal year 2025 to correct the treatment of unavailable revenue related to a loan receivable. (50,000)
0 50,000
100,000
150,000
200,000
250,000
300,000
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
T
h
o
u
s
a
n
d
s
Net investment in capital assets Restricted Unrestricted 153
679
Fiscal Year Ended June 30,
2016 2017 2018 2019
Expenses
Governmental Activities:

General government $5,439,850 $5,671,719 $6,598,992 $5,621,928 Public safety 19,906,577 21,282,999 23,461,443 21,608,132 Highways and streets 2,998,364 2,785,012 3,182,025 2,845,390 Culture and recreation 4,729,514 4,759,282 5,344,942 5,754,393 Urban redevelopment 3,436,088 3,223,265 3,447,979 3,274,118 Interest on long term debt 16,708 5,592 3,169 644
Total Governmental Activities Expenses 36,527,101 37,727,869 42,038,550 39,104,605 Business-Type Activities:

Sewer Collection 8,251,781 8,251,781 9,087,660 11,292,920 Sewer Treatment 403,386 403,386 517,015 1,121,846
Sewer Connection Fees
Storm Drainage 1,603,968 1,603,968 1,566,875 1,893,199
Solid Waste 283,045 283,045 338,756 284,968
Total Business-Type Activities Expenses 10,542,180 10,542,180 11,510,306 14,592,933 Total Primary Government Expenses $47,069,281 $48,270,049 $53,548,856 $53,697,538 Program Revenues
Governmental Activities:

Charges for Services:

General Government $5,780,785 $8,184,093 $6,868,959 $6,142,052 Public Safety 998,958 1,113,555 1,425,037 1,250,205
Highways and streets 464,902 498,637 490,979 504,891
Culture and recreation 2,629,840 5,997,226 3,250,607 3,589,282 Urban redevelopment 3,860,509 4,701,066 3,692,543 4,104,255 Operating Grants and Contributions 1,861,488 1,767,235 2,175,529 2,196,042 Capital Grants and Contributions 2,746,475 596,190 1,262,562 107,597 Total Government Activities
Program Revenues 18,342,957 22,858,002 19,166,216 17,894,324 Business-Type Activities:

Charges for Services:

Sewer Collection 9,623,230 10,974,015 10,451,746 11,131,538 Sewer Treatment 3,124,223 3,087,872 3,225,639 3,178,480 Sewer Connection Fees
Storm drainage 903,147 875,926 886,380 922,892
Solid Waste 443,408 429,212 428,446 457,015
Operating Grants and Contributions 37,862 23,408 15,650 Capital Grants and Contributions 1,708,952
Total Business-Type Activities
Program Revenue 14,094,008 15,404,887 15,015,619 17,414,527 Total Primary Government
Program Revenues $32,436,965 $38,262,889 $34,181,835 $35,308,851 Net (Expense)/Revenue
Governmental Activities ($18,184,144) ($14,869,867) ($22,872,334) ($21,210,281) Business-Type Activities 2,018,171 4,862,707 3,505,313 2,821,594 Total Primary Government Net Expense ($16,165,973) ($10,007,160) ($19,367,021) ($18,388,687) * Restated in 2024 to correct the treatment of unavailable revenue related to a loan receivable.

CITY OF BELMONT

CHANGES IN NET POSITION
Last Ten Fiscal Years
(Accrual Basis of Accounting)
154
680
Fiscal Year Ended June 30,
2020 2021 2022 2023 2024 2025
$8,461,468 $8,168,398 $7,642,172 $4,744,236 $7,896,080 $9,943,846 24,687,962 25,705,962 24,908,569 25,349,206 29,969,262 30,069,345 2,768,906 2,563,851 2,936,535 4,155,398 4,561,468 3,428,876 6,727,967 5,707,179 6,218,434 5,073,656 6,970,771 7,213,669 4,504,187 5,678,182 5,520,422 5,704,749 7,668,966 * 10,006,297 41,615 119,690 107,965 95,990 83,977 71,271
47,192,105 47,943,262 47,334,097 45,123,235 57,150,524 60,733,304 10,066,509 10,760,135 10,634,189 10,491,755 10,507,770 10,939,033 1,376,670 1,370,917 1,437,779 1,908,406 2,037,820 2,291,884 2,119,817 2,056,207 2,190,249 1,717,872 2,113,909 2,272,084 343,075 452,750 502,470 533,852 550,348 517,159
13,906,071 14,640,009 14,764,687 14,651,885 15,209,847 16,020,160 $61,098,176 $62,583,271 $62,098,784 $59,775,120 $72,360,371 $76,753,464 $6,577,974 $8,880,620 $6,161,208 $6,690,833 $7,596,615 $6,721,617 404,688 413,536 370,671 382,813 433,440 432,191
808,673 1,220,787 868,986 623,278 595,756 1,086,707
2,948,206 2,966,339 4,942,718 3,989,155 3,456,619 4,146,501 4,212,747 4,227,537 5,023,122 4,522,634 6,854,360 7,578,577 3,511,589 3,456,820 5,895,499 7,198,319 3,645,448 3,512,823 944,285 1,227,833 1,868,526 1,389,555 4,032,095 986,933 19,408,162 22,393,472 25,130,730 24,796,587 26,614,333 24,465,349 12,711,450 16,273,536 16,360,163 15,330,295 16,684,309 15,656,630 3,196,757 3,181,962 3,142,679 3,142,057 3,147,629 3,148,980 449,658
969,136 968,969 1,024,532 1,076,079 1,149,248 1,169,948 482,843 489,560 623,030 554,730 599,960 644,235
98,099 58,914 34,146 102,552
17,458,285 20,914,027 21,209,318 20,137,307 21,683,698 21,069,451 $36,866,447 $43,307,499 $46,340,048 $44,933,894 $48,298,031 $45,534,800 ($27,783,943) ($25,549,790) ($22,203,367) ($20,326,648) ($30,536,191) ($36,267,955) 3,552,214 6,274,018 6,444,631 5,485,422 6,473,851 5,049,291 ($24,231,729) ($19,275,772) ($15,758,736) ($14,841,226) ($24,062,340) ($31,218,664) 155
681

CITY OF BELMONT

CHANGES IN NET POSITION
(continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
Fiscal Year Ended June 30,
2016 2017 2018 2019
General Revenues and Other Changes
in Net Position
Governmental Activities:

Taxes:

Property taxes $14,132,122 $15,527,210 $16,894,686 $18,038,474 Incremental property tax
Sales taxes 3,613,991 3,882,588 5,134,206 5,543,213
Other taxes 3,957,259 3,927,717 4,039,400 4,916,495
Motor vehicle in lieu 2,436,212 2,619,042 2,786,304 2,987,318 Investment earnings and rentals 540,269 588,798 981,525 1,713,215 Miscellaneous/Gain on sale 6,263 3,663 89,454 238,833
Gain on sale of capital assets
Loss on disposal of capital assets
Equity in gains/(losses) of joint ventures (2,580,759)
Transfers (437,270)
Extraordinary items
Total Government Activities 24,248,846 26,549,018 29,925,575 30,856,789 Business-Type Activities:

Investment earnings 77,370 104,041 489,367 975,602
Miscellaneous 57,142 118 36,854 12,227
Transfers 437,270
Total Business-Type Activities 571,782 104,159 526,221 987,829 Total Primary Government $24,820,628 $26,653,177 $30,451,796 $31,844,618 Change in Net Position
Governmental Activities $6,064,702 $11,679,151 $7,053,241 $9,646,508 Business-Type Activities 2,589,953 4,966,866 4,031,534 3,809,423 Total Primary Government $8,654,655 $16,646,017 $11,084,775 $13,455,931 156
682
Fiscal Year Ended June 30,
2020 2021 2022 2023 2024 2025
$19,236,918 $20,132,097 $20,468,903 $25,203,194 $26,680,829 $27,928,782 5,128,787 5,969,774 6,602,318 6,691,999 6,452,130 6,431,619 5,177,005 2,693,563 3,905,904 5,294,944 5,866,953 5,739,480 3,076,967 1,943,403 2,833,129 4,683,087 2,867,799 3,637,752 1,680,176 280,325 (166,620) 1,937,786 5,415,938 5,377,833 7,550 727 12,680 197,129 197,691 17,855
4,050,000 2,148,468
405,493 551,157
(1,367,824) (395,601) (1,170,425)
32,939,579 31,425,382 37,706,314 46,707,764 47,085,739 47,962,896 1,115,042 126,076 (53,021) 1,275,157 2,587,536 2,930,091 79,045 67,983 192,071 285,854 371,933
1,367,824 395,601 1,170,425
2,482,866 205,121 14,962 1,467,228 3,268,991 4,472,449
$35,422,445 $31,630,503 $37,721,276 $48,174,992 $50,354,730 $52,435,345 $5,155,636 $5,875,592 $15,502,947 $26,381,116 $16,549,548 $11,694,941 6,035,080 6,479,139 6,459,593 6,952,650 9,742,842 9,521,740 $11,190,716 $12,354,731 $21,962,540 $33,333,766 $26,292,390 $21,216,681 157
683

CITY OF BELMONT

FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
Fiscal Year Ended June 30,
2016 2017 2018 2019 2020
General Fund
Nonspendable $627,500 $641,355 $641,115 $641,273
Restricted 251,184 1,879,332
Committed 2,903,606 2,101,292
Assigned $1,507,974
Unassigned 7,540,974 10,500,188 10,683,682 14,204,643 12,995,874 Total General Fund $9,048,948 $11,378,872 $13,204,369 $17,749,364 $15,738,439 All Other Governmental Funds
Restricted $13,099,725 $19,239,022 $23,400,819
Committed (140,892) 936,200 784,403 $23,504,778 $30,017,035 Assigned 2,111,572 2,289,075 4,116,485 658,745 443,069
Unassigned 3,602,036 4,070,714
Total all other governmental funds $15,070,405 $22,464,297 $28,301,707 $27,765,559 $34,530,818 Fiscal Year Ended June 30,
2021 2022 2023 2024 2025
General Fund
Nonspendable $639,099 $376,537 $674,455 $748,984 $1,382,928 Restricted 4,869,244 2,178,855 5,029,901
Committed 3,751,162 2,938,455 2,285,493
Assigned
Unassigned 12,759,010 17,636,404 24,978,496 30,253,785 31,602,484 Total General Fund $17,149,271 $20,951,396 $30,522,195 $35,467,117 $38,015,313 (a) All Other Governmental Funds
Nonspendable $1,736,353 $1,879,873 $49,550
Restricted $29,119,357 30,977,682 $42,245,964 48,715,959 55,383,245 Committed 1,190,051 2,422,303 3,159,153 3,546,599 3,654,253 Assigned 3,335,478 3,698,561 3,225,895 3,014,857 3,018,364 Total all other governmental funds $33,644,886 $38,834,899 $48,631,012 $57,157,288 $62,105,412 (a) (a) The change in total fund balance for the General Fund and other governmental funds is explained in Management's Discussion and Analysis.
($20,000)
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Thousands
Nonspendable Restricted Committed Assigned Unassigned
158
684
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685

CITY OF BELMONT

CHANGES IN FUND BALANCE OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
2016 2017 2018 2019
Revenues
Taxes $22,462,269 $24,901,868 $27,919,446 $30,101,322
Licenses and permits 2,085,424 2,800,954 2,317,393 2,026,047 Fines and forfeitures 234,582 168,763 216,183 164,265
Use of money and property 599,818 759,981 1,228,596 1,947,782 Intergovernmental 5,496,855 4,819,712 4,975,667 5,611,404 Charges for current services 8,574,373 14,587,389 9,890,785 10,296,325 Miscellaneous 1,387,317 937,673 2,069,817 609,958
Total Revenues 40,840,638 48,976,340 48,617,887 50,757,103 Expenditures
Current:

General government 4,300,780 4,955,053 5,151,403 5,563,535 Public safety 19,872,825 21,056,427 22,788,288 25,312,692 Highways and streets 1,814,166 1,909,799 1,935,535 2,115,327 Culture and recreation 4,525,998 5,038,819 5,274,846 5,766,923 Urban redevelopment 3,442,355 3,495,988 3,358,362 3,362,011 Capital outlay 3,390,421 3,828,413 1,382,112 5,316,611
Debt service:

Principal 55,316 57,641 60,064 30,972
Interest and fiscal charges 16,708 5,592 3,169 644
Total Expenditures 37,418,569 40,347,732 39,953,779 47,468,715 Excess (deficiency) of revenues over
(under) expenditures 3,422,069 8,628,608 8,664,108 3,288,388 Other Financing Sources (Uses)
Transfers in 1,984,813 1,697,887 5,931,220 2,671,111
Transfers (out) (4,869,841) (1,834,158) (6,932,421) (1,963,685) Gain (loss) from sale of capital assets
Proceeds from sale of capital assets 686,750 8,000 13,033 Proceeds of debt issuance
Total other financing sources (uses) (2,198,278) (128,271) (1,001,201) 720,459 Net Change in fund balances $1,223,791 $8,500,337 $7,662,907 $4,008,847 Debt service as a percentage of
noncapital expenditures 1.4% 0.2% 0.2% 0.1%
Fiscal Year Ended June 30,
160
686
2020 2021 2022 2023 2024 2025
$32,173,339 $33,671,449 $35,877,026 $44,533,834 $44,253,416 $46,149,142 2,156,235 3,421,169 3,412,657 3,549,928 4,528,013 4,421,806 160,211 170,105 156,422 139,859 158,740 112,389
2,070,593 1,021,749 292,841 2,221,374 5,728,868 5,590,566 6,106,124 1,677,393 6,006,905 6,141,065 5,687,724 2,340,604 10,012,330 12,337,351 12,481,949 11,023,716 12,695,707 13,824,428 236,306 1,411,931 297,432 445,528 172,701 219,436
52,915,138 53,711,147 58,525,232 68,055,304 73,225,169 72,658,371 6,251,896 6,894,135 5,750,762 5,735,226 6,526,423 7,496,905 24,684,871 25,665,084 25,760,691 27,048,944 28,212,132 29,052,549 2,312,159 2,361,710 2,001,625 2,232,006 2,502,394 2,365,460 5,897,618 5,414,402 5,358,664 5,647,578 6,378,648 7,327,459 4,400,315 5,491,628 5,219,975 6,255,312 11,095,267 9,390,155 8,912,121 6,569,459 7,558,546 4,041,326 6,327,068 11,750,702 292,385 548,310 560,035 572,010 584,023 596,729
41,615 119,690 107,965 95,990 83,977 71,271
52,792,980 53,064,418 52,318,263 51,628,392 61,709,932 68,051,230 122,158 646,729 6,206,969 16,426,912 11,515,237 4,607,141 4,740,278 2,355,020 6,252,414 3,861,938 8,805,706 12,948,617 (6,108,102) (2,476,849) (7,517,245) (3,861,938) (6,849,745) (9,036,397) 4,050,000 2,940,000 (1,023,041)
6,000,000
4,632,176 (121,829) 2,785,169 2,940,000 1,955,961 2,889,179 $4,754,334 $524,900 $8,992,138 $19,366,912 $13,471,198 $7,496,320

0.1% 1.4% 1.5% 1.4% 1.2% 1.2%
Fiscal Year Ended June 30,
161
687
1 Fiscal Year Secured Property (a) Unsecured Property Total Assessed to Increased Total Ended Assessed Estimated Assessed Estimated Assessed Estimated Estimated From Direct June 30 Value Actual Value Value Actual Value Value (b) Actual Value (b) Actual Value Prior Year Tax Rate (c) 2016 $5,648,901,772 $5,648,901,772 $63,091,530 $63,091,530 $5,711,993,302 $5,711,993,302 100% 8.28% 1% 2017 6,077,587,115 6,077,587,115 57,759,601 57,759,601 6,135,346,716 6,135,346,716 100% 7.41% 1% 2018 6,477,809,867 6,477,809,867 56,079,812 56,079,812 6,533,889,679 6,533,889,679 100% 6.50% 1% 2019 6,951,922,956 6,951,922,956 62,126,944 62,126,944 7,014,049,900 7,014,049,900 100% 7.35% 1% 2020 7,453,883,672 7,453,883,672 87,805,614 87,805,614 7,541,689,286 7,541,689,286 100% 7.52% 1% 2021 7,946,879,729 7,946,879,729 85,078,190 85,078,190 8,031,957,919 8,031,957,919 100% 6.50% 1% 2022 8,281,898,247 8,281,898,247 93,084,659 93,084,659 8,374,982,906 8,374,982,906 100% 4.27% 1% 2023 9,028,158,925 9,028,158,925 85,529,004 85,529,004 9,113,687,929 9,113,687,929 100% 8.82% 1% 2024 9,550,802,070 9,550,802,070 75,405,106 75,405,106 9,626,207,176 9,626,207,176 100% 5.62% 1% 2025 10,153,262,400 10,153,262,400 74,632,093 74,632,093 10,227,894,493 10,227,894,493 100% 6.25% 1% SOURCES: SAN MATEO COUNTY CONTROLLER
(a) Secured Property includes State Board Roll
(b) The State Constitution requires property to be assessed at one hundred percent of the most recent purchase price, plus an increment of no more than two percent annually, plus any local over-rides. These values are considered to be full market values. (c) California cities do not set their own direct tax rate. The state constitution establishes the rate at 1% and allocates a portion of that amount, by an annual calculation, to all the taxing entities within a tax rate area.

The City of Belmont encompasses more than 15 tax rate areas.

CITY OF BELMONT

ASSESSED VALUE OF TAXABLE PROPERTY
Last Ten Fiscal Years
$20
$220
$420
$620
$820
$1,020
$1,220
$1,420
$1,620
$1,820
$2,020
$2,220
$2,420
$2,620
$2,820
$3,020
$3,220
$3,420
$3,620
$3,820
$4,020
$4,220
$4,420
$4,620
$4,820
$5,020
$5,220
$5,420
$5,620
$5,820
$6,020
$6,220
$6,420
$6,620
2016 2017 2018
Millions
Secured Property Unsecured Property
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
$9,000
$10,000
$11,000
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Millions
Secured Property Unsecured Property
162
688

CITY OF BELMONT

DIRECT AND OVERLAPPING PROPERTY TAX RATES
Last Ten Fiscal Years
Fiscal City of School
Year Belmont Districts Total
2016 1.0000 0.1046 1.1046
2017 1.0000 0.0944 1.0944
2018 1.0000 0.0948 1.0948
2019 1.0000 0.0854 1.0854
2020 1.0000 0.0852 1.0852
2021 1.0000 0.0771 1.0771
2022 1.0000 0.0759 1.0759
2023 1.0000 0.0632 1.0632
2024 1.0000 0.1018 1.1018
2025 1.0000 0.0965 1.0965
Source: San Mateo County Controller - Rates are per $100 of assessed value.

0.0000

0.2000

0.4000

0.6000

0.8000

1.0000

1.2000

1.4000

1.6000
2016
2017
2018
Per Hundred $
City of Belmont School Districts
General Rates
0 0.2

0.4 0.6

0.8 1

1.2 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Per Hundred $
City School General
163
689

CITY OF BELMONT

PRINCIPAL PROPERTY TAXPAYERS
Current Year and Ten Years Ago
2024-25 2015-16
Percentage Percentage
of Total City of Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value Value Rank Value
Artisan Crossing LLC $132,473,854 1 1.30%
PMI Belmont II LLC 127,714,052 2 1.26%
601 Clipper Operating LLC 99,954,729 3 0.98%
CP VII 815 Belmont LLC 97,229,600 4 0.96%
1 Shoreway Owner LLC 93,896,100 5 0.92%
B9 Island Parkway LLC 76,235,412 6 0.75%
Catania Limited Partnership 57,362,802 7 0.56%
Belmont Hotels LLC 54,343,831 8 0.54%
Nikon Precision Inc. 41,797,858 9 0.41% $41,763,924 2 0.74% Safeway Inc. 39,868,372 10 0.39%
Bit Holdings 600 Clipper LP 61,096,802 1 1.08%
Carlmont Woods II LLC 35,534,459 3 0.63%
Oracle Corporation 33,697,159 4 0.60%
Prime Old County LP 30,890,745 5 0.55%
SSL Landlord LLC 27,590,715 6 0.49%
Grand Prix Belmont LLC 24,401,468 7 0.43%
CP IV Davey Glen LLC 24,308,682 8 0.43%
ECI Two Belmont LLC 22,590,735 9 0.40%
SRE California-3 LLC 17,572,270 10 0.31%
Subtotal $820,876,610 8.08% $319,446,959 5.66%
Total Net Assessed Valuation:

Fiscal Year 2024-25 $10,153,262,400
Fiscal Year 2015-16 $5,648,901,772
Source: County of San Mateo Assessor's Office Fiscal Year Combined Secured Tax Rolls via HdL Companies 164
690

CITY OF BELMONT

PROPERTY TAX LEVIES AND COLLECTIONS
Last Ten Fiscal Years
Percent
of Total
Current Percent Total Tax
Fiscal Total Tax of Levy Tax Collections
Year Tax Levy (1) Collections (2) Collected (a) Collections to Tax Levy 2016 $3,455,413 $3,409,309 98.67% $3,409,309 98.67%
2017 3,706,404 3,672,355 99.08% 3,672,355 99.08%
2018 3,928,687 3,909,998 99.52% 3,909,998 99.52%
2019 4,174,608 4,169,363 99.87% 4,169,363 99.87%
2020 4,450,637 4,437,632 99.71% 4,437,632 99.71%
2021 4,695,353 4,641,802 98.86% 4,641,802 98.86%
2022 4,900,439 5,211,925 (b) 106.36% (b) 5,211,925 106.36% 2023 6,751,183 6,729,238 99.67% 6,729,238 99.67%
2024 7,134,020 7,135,598 100.02% 7,135,598 100.02%
2025 7,580,496 7,521,978 99.23% 7,521,978 99.23%
Source: (1) San Mateo County Controller.
(2) City of Belmont General Ledger
Note: Current tax collections beginning in 1993 have been reduced by a mandatory tax reallocation imposed by the State of California.
(a) During fiscal year 1995, the County began providing the City 100% of its tax levy under an agreement which allows the County to keep all interest and delinquency charges collected.
(b) Includes $345,855 received for Belmont RDA dissolution that was not in tax levy. $500
$1,000
$1,500
$2,000
$2,500
$3,000
2016 2017 2018
Thousands
Tax Levied Total Tax Collections
$2,500
$2,750
$3,000
$3,250
$3,500
$3,750
$4,000
$4,250
$4,500
$4,750
$5,000
$5,250
$5,500
$5,750
$6,000
$6,250
$6,500
$6,750
$7,000
$7,250
$7,500
$7,750
$8,000
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Thousands
Tax Levied Total Tax Collections
165
691

CITY OF BELMONT

RATIO OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years
Governmental Activities
Fiscal Subscription
Year Notes Leases Liabilities Total
2016 $147,677 $147,677
2017 91,036 91,036
2018 30,972 30,972
2019 0 0
2020 5,707,615 5,707,615
2021 5,159,305 5,159,305
2022 4,599,270 4,599,270
2023 $4,027,260 $352,474 4,379,734
2024 3,443,237 308,493 3,751,730
2025 2,846,508 454,537 3,301,045
Business-Type Activities
Sewer Total Percentage
Fiscal Revenue and Primary of Assessed Per
Year Obligation Bonds Total Government Valuation (a) Capita (a) 2016 $33,920,000 $33,920,000 $34,067,677 0.60% $1,233.98 2017 34,376,186 34,376,186 34,467,222 0.56% 1,260.55
2018 33,615,381 33,615,381 33,646,353 0.51% 1,228.51
2019 57,279,454 57,279,454 57,279,454 0.82% 2,107.88
2020 77,449,650 77,449,650 83,157,265 1.10% 3,118.12
2021 75,851,407 75,851,407 81,010,712 1.01% 2,936.55
2022 71,166,164 71,166,164 75,765,434 0.90% 2,785.19
2023 70,837,921 70,837,921 75,217,655 0.83% 2,807.36
2024 67,828,677 67,828,677 71,580,407 0.74% 2,657.92
2025 65,370,435 65,370,435 68,671,480 0.67% 2,434.64
Note : Debt amounts include premiums, discounts, or other amortization amounts.

Sources: City of Belmont
State of California, Department of Finance (population) U.S. Department of commerce, Bureau of the Census (income) (a) (Demographic Statistics) for assessed value and population data. $0
$10
$20
$30
$40
$50
$60
$70
$80
$90
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Millions
Governmental Activities Business-Type Activities
166
692

CITY OF BELMONT

COMPUTATION OF DIRECT AND OVERLAPPING DEBT
June 30, 2025
2024-25 Assessed Valuation $10,227,894,493
City's Share
Total Debt of Debt
DIRECT AND OVERLAPPING TAX AND ASSESSMENT DEBT June 30, 2025 % Applicable (1) June 30, 2025 City of Belmont $3,301,045 100.000% $3,301,045
Total Direct Debt $3,301,045 $3,301,045
San Mateo Community College District $655,171,697 3.152% $20,651,012 Sequoia Union High School District 449,512,000 7.360% 33,084,083 Belmont-Redwood Shores School District 124,104,335 50.461% 62,624,288 Belmont-Redwood Shores School District
Belmont School Facilities Improvement District 38,785,685 81.930% 31,777,112 Belmont-Redwood Shores School District
Redwood Shores School Facilities Improvement District 14,630,000 7.717% 1,128,997 Midpeninsula Regional Open Space District 114,920,000 0.031% 35,625 City of Belmont Community Facilities District No. 2000-1 3,190,000 100.000% 3,190,000 Total Overlapping Debt 1,400,313,717 152,491,117
TOTAL DIRECT AND OVERLAPPING TAX AND ASSESSMENT DEBT $1,403,614,762 $155,792,162 OVERLAPPING GENERAL FUND DEBT:

San Mateo County General Fund Obligations $530,970,772 3.152% $16,736,199 San Mateo County Board of Education Certificates of Participation 5,330,000 3.152% 168,002 Belmont-Redwood Shores School District General Fund Obligations 4,494,140 50.461% 2,267,788 Midpeninsula Regional Open Space District General Fund Obligations 74,065,600 0.031% 22,960 San Mateo County Mosquito and Vector Control District General Fund Obligations 3,185,295 3.152% 100,400 TOTAL OVERLAPPING GENERAL FUND DEBT $618,045,807 $19,295,349 COMBINED TOTAL DEBT $175,087,511 (2)
(1) The percentage of overlapping debt applicable to the City is estimated using taxable assessed property value. Applicable percentages were estimated by determining the porting of the overlapping district's assessed value that is within the boundaries of the City divided by the district's total taxable assessed value.
(2) Excludes tax and revenue anticipation notes, enterprise revenue, and mortgage revenue bonds.

RATIOS TO 2024-25 ASSESSED VALUATION:

Direct Debt 0.03%
Combined Direct Debt 1.71%
Total Net Direct and Overlapping Tax and Assessment Debt 1.52% 167
693

CITY OF BELMONT

COMPUTATION OF LEGAL BONDED DEBT MARGIN
June 30, 2025
ASSESSED VALUATION:

Secured property assessed value, net of
exempt real property $10,227,894,493
BONDED DEBT LIMIT (3.75% OF ASSESSED VALUE) (a) $383,546,043 AMOUNT OF DEBT SUBJECT TO LIMIT:

Total Bonded Debt $0
Less Tax Allocation Bonds and Sales Tax Revenue
Bonds, Certificate of Participation not subject to limit $0 Amount of debt subject to limit $0
LEGAL BONDED DEBT MARGIN $383,546,043
Total net debt
Total Net Debt Legal applicable to the limit
Fiscal Debt Applicable to Debt as a percentage
Year Limit Limit Margin of debt limit
2016 $214,199,749 $214,199,749
2017 230,075,502 230,075,502
2018 246,378,145 246,378,145
2019 264,366,934 264,366,934
2020 284,140,706 284,140,706
2021 302,531,239 302,531,239
2022 315,395,096 315,395,096
2023 343,075,522 343,075,522
2024 362,282,144 362,282,144
2025 383,546,043 383,546,043
NOTE:
(a) California Government Code, Section 43605 sets the debt limit at 15%. The Code section was enacted prior to the change in basing assessed value to full market value when it was previously 25% of market value. Thus, the limit shown as 3.75% is one-fourth the limit to account for the adjustment of showing assessed valuation at full cash value. Limits presented from prior years have been adjusted for this methodology. 168
694

CITY OF BELMONT
HISTORIC OPERATING RESULTS – DEBT SERVICE AND COVERAGE RATIOS 2016 SEWER REVENUE AND SEWER REFUNDING REVENUE BONDS (2001 AND 2006 SEWER REVENUE BONDS), AND 2019 SEWER REVENUE BONDS
Last Ten Fiscal Years
Debt Service Requirements
Operating & Net
Fiscal System Maintenance System
Year (1) Revenues (2) Expenditures (3) Revenues Principal Interest Total Coverage 2016 $9,101,597 $6,013,171 $3,088,426 $405,000 $736,145 $1,141,145 2.71 2017 9,470,233 6,577,227 2,893,006 485,000 762,279 1,247,279 2.32 2018 10,311,885 7,287,562 3,024,323 505,000 876,271 1,381,271 2.19 2019 10,850,538 8,473,802 2,376,736 520,000 860,896 1,380,896 1.72 2020 12,468,348 6,486,172 5,982,176 540,000 1,113,827 1,653,827 3.62 2021 12,572,930 7,257,702 5,315,228 735,000 1,662,471 2,397,471 2.22 2022 13,995,360 7,115,757 6,879,603 865,000 1,625,446 2,490,446 2.76 2023 14,822,694 6,719,728 8,102,966 900,000 1,587,371 2,487,371 3.26 2024 14,998,231 7,398,356 7,599,875 940,000 1,544,446 2,484,446 3.06 2025 15,529,099 7,812,042 7,717,057 990,000 1,496,155 2,486,155 3.10 Notes:
(1) Beginning in 2016, only sewer collection fund activities included. (2) Beginning in 2016, includes sewer service charges and all other income, excluding interest earned, income on joint ventures, connection fees and other income pursuant to Installment Purchase Agreement dated March 1, 2016.
(3) Beginning in 2016, includes reasonable and necessary costs for maintaining and operating sewer system, excluding parity debt, capital improvements, depreciation and other costs pursuant to Installment Purchase Agreement dated March 1, 2016
Source: City of Belmont Annual Financial Statements

0.00 0.50

1.00 1.50

2.00 2.50

3.00 3.50

4.00 4.50

5.00 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Coverage
169
695

CITY OF BELMONT

REVENUE BOND COVERAGE
2018 SEWER TREATMENT FACILITY REVENUE BONDS AND
2022 SEWER TREATMENT FACILITY OBLIGATIONS (2009A SEWER REVENUE BONDS) Last Ten Fiscal Years
Sewer Debt Service Requirements
Treatment Net Revenue
Fiscal Facility Available for
Year Gross Revenue Expenses Debt Service Principal Interest Total Coverage 2016 $3,124,790 $83,594 $3,041,196 $165,000 $335,257 $500,257 6.08 2017 3,093,423 75,282 3,018,141 170,000 330,232 500,232 6.03 2018 3,288,125 18,489 3,269,636 175,000 325,057 500,057 6.54 2019 3,611,952 77,591 3,534,361 180,000 319,732 499,732 7.07 2020 3,621,986 90,354 3,534,361 385,000 1,497,313 1,882,313 1.88 2021 3,207,534 126,823 3,080,711 535,000 1,329,209 1,864,209 1.65 2022 3,128,640 125,473 3,003,167 555,000 1,329,209 1,884,209 1.59 2023 3,307,130 894,849 2,412,281 1,695,000 1,105,029 2,800,029 0.86 2024 3,481,339 363,564 3,117,775 1,741,000 1,105,029 2,846,029 1.10 2025 3,762,153 146,936 3,615,217 1,140,000 1,048,285 2,188,285 1.65 Notes: Debt service on the 2018 bonds did not begin until August 2019.

The 2022 Obligations refunded the 2009A Bonds and debt service on the 2022 Obligations did not begin until August 2022.

Source: City of Belmont Annual Financial Statements

0.00 1.00

2.00 3.00

4.00 5.00

6.00 7.00

8.00 9.00
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Coverage
170
696

CITY OF BELMONT

BONDED DEBT PLEDGED REVENUE COVERAGE

SUCCESSOR AGENCY (INCLUDING FORMER REDEVELOPMENT AGENCY BONDS) Last Ten Fiscal Years
Debt Service Requirements
Fiscal Tax
Year Revenue (a) Principal Interest Total Coverage
2016 $1,865,275 $1,125,000 $347,079 $1,472,079 1.27
2017 1,498,633 1,160,000 307,056 1,467,056 1.02
2018 992,433 1,050,000 268,552 1,318,552 0.75
2019 966,582 695,000 238,235 933,235 1.04
2020 956,855 720,000 213,518 933,518 1.02
2021 966,457 740,000 188,015 928,015 1.04
2022 3,922,881 740,000 (a) 188,015 (a) 928,015 4.23
2023 (b)
2024 (b)
2025 (b)
Notes:
(a) Tax Increment Revenues are no longer allocated to Redevelopment Agencies, effective January 31, 2012.

Effective February 1, 2012, the Successor Agency had assumed all obligations of the Redevelopment Agency. Pursuant to law, the Successor Agency receives Real Property Tax Trust Funds Allocations to finance its activities including debt service on obligations of the former Redevelopment Agency. (b) The Bonds were defeased during fiscal year 2022.

Source: City of Belmont Annual Financial Statements
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
T
h
o
u
s
a
n
d
s
Tax Revenue Debt Service Payment
171
697

CITY OF BELMONT

SEWER SYSTEM

SUMMARY STATEMENT OF HISTORICAL

REVENUE AND EXPENDITURES
Last Ten Fiscal Years
Fiscal Year Ended June 30,
Notes 2016 2017 2018 2019 2020

REVENUES
Charges for services $9,092,502 $9,413,671 $10,311,885 $10,850,538 $12,468,348 Connection charges (1) 428,116 1,503,782 60,125 49,272 60,124 Miscellaneous revenues (charges) 9,095 118 1,708,958 0
Interest revenue (1) 75,252 90,353 388,306 481,193 632,309 Joint venture interest (1) (2,265,589) (240,494) (228,686) (585,866) (652,586) Total Revenues 7,339,376 10,767,430 10,531,630 12,504,095 12,508,195

EXPENSES
Personnel services 1,232,220 1,589,589 2,047,229 1,785,140 1,233,263 Supplies, materials and services 4,780,951 4,987,638 5,240,333 6,688,662 5,252,909 Sewer treatment services
Interest expense (1) 1,059,926 719,883 771,944 780,887 1,385,791 Total Expenses 7,073,097 7,297,110 8,059,506 9,254,689 7,871,963 Net Operating Transfers In (Out) (1),(2) (1,285,187) (824,580) (1,312,423) 0 (325,000) NET REVENUES ($1,018,908) $2,645,740 $1,159,701 $3,249,406 $4,311,232 Less adjustments $0 $190,822 $1,864,622 $836,288 $1,670,944

AMOUNTS AVAILABLE FOR
DEBT SERVICE ($1,018,908) $2,836,562 $3,024,323 $4,085,694 $5,982,176 Fiscal Year Ended June 30,
2021 2022 2023 2024 2025

REVENUES
Charges for services $12,572,930 $13,995,360 $14,822,694 $14,998,231 $15,529,099 Connection charges (1) 3,603,551 2,255,284 180,373 1,539,176 0 Miscellaneous revenues (charges) 125 0 9,128 83,132 18,586 Interest revenue (1) 86,058 (45,649) 1,051,575 2,169,189 2,535,199 Joint venture interest (1) (677,611) (723,609) (717,644) 0 0 Total Revenues 15,585,053 15,481,386 15,346,126 18,789,728 18,082,884

EXPENSES
Personnel services 1,478,448 1,709,147 1,238,959 1,932,236 2,201,780 Supplies, materials and services 5,779,254 5,406,610 5,480,769 5,466,120 5,610,262 Sewer treatment services
Interest expense (1) 1,424,429 1,387,174 1,348,454 1,302,132 1,252,840 Total Expenses 8,682,131 8,502,931 8,068,182 8,700,488 9,064,882 Net Operating Transfers In (Out) (1),(2) (8,334) (98,948) (32,851) 395,600 (886,382) NET REVENUES $6,894,588 $6,879,507 $7,245,093 $10,484,840 $8,131,620 Less adjustments (1), (2) ($1,579,235) $96 $867,001 ($2,801,833) ($395,977)

AMOUNTS AVAILABLE FOR
DEBT SERVICE $5,315,353 $6,879,603 $8,112,094 $7,683,007 $7,735,643 Notes:
(1) Not included in System Revenues under the Installment Purchase Agreement, beginning March 1, 2016. (2) Includes transfers for storm drain improvements that mitigate infiltration and intrusion into the sewage system.

Source: City of Belmont
172
698

CITY OF BELMONT

TEN LARGEST USERS OF THE SEWER SYSTEM
Fiscal Year
2024-25
User Type Revenues*
Prime Old County LP 040-271-380 Multifamily Residential $294,298 PMI Belmont II LLC Various Multifamily Residential 235,587 McLellan Estate Co 040-290-320 Multifamily Residential 211,362 The McLellan Company 040-246-300 Multifamily Residential 167,079 Timberlane Apartments Partnership LP 045-373-150 Multifamily Residential 125,561 Crestview South Apartments LLC 040-261-370 Multifamily Residential 119,641 Catania Limited Partnership Various Multifamily Residential 116,000 Continentals Belmont Partnership 045-372-130 Shopping Center 109,057 Carlmont Heights LLC 045-030-240 Multifamily Residential 107,460 Carlmont Village Shopping Center Various Shopping Center 93,534 * Includes Base and Flow Charges
Source: City of Belmont
Required per 2016 Sewer Revenue Bonds Continuing Disclosure.

NUMBER OF SEWER SERVICE USERS
User Type 2016 2017 2018 2019 2020
All Users 8,239 8,240 8,240 8,248 8,253
2021 2022 2023 2024 2025
All Users 8,342 8,345 8,340 8,341 8,342
(1) Decline due to a change from a flat rate to a metered rate system.

SEWER SERVICE REVENUES BY CLASS OF USER
June 30, 2025
User Class Revenue Percent
Single Family & Multiple Family Residential $13,689,524 88.11% Commercial/Institutional 1,847,326 11.89%
Total Revenue $15,536,850 100.00%
Source: nbsgov.com
173
699

CITY OF BELMONT

SCHEDULE OF BUDGETED & PROJECTED

SEWER TREATMENT FACILITY CHARGES

AND ASSOCIATED DEBT SERVICE
Fiscal Year 2020-21 2021-22 2022-23 2023-24 2024-25
Sewer Treatment Facility Charges Revenue (A) $3,181,962 $3,142,679 $3,142,057 $3,147,630 $3,148,980 Debt Service Series 2009A Bonds (B) (505,436) (508,836) Debt Service 2022 Sewer Treatment Facility Obligations (1,409,904) (1,440,923) (797,659) Debt Service Series 2018 Bonds (1,390,750) (1,388,375) (1,390,125) (1,390,875) (1,390,625) Surplus, after debt service 1,285,776 1,245,468 342,028 315,833 960,696 Debt Service Coverage Ratio 167.809% 165.647% 112.215% 111.153% 143.902% Fiscal Year 2025-26 2026-27 2027-28 2028-29 2029-30
Sewer Treatment Facility Charges Revenue (A) $3,211,960 $3,276,199 $3,341,723 $3,408,557 $3,515,534 Debt Service 2022 Sewer Treatment Facility Obligations (796,911) (797,818) (333,412) (336,769) (336,769) Debt Service Series 2018 Bonds (1,389,375) (1,387,125) (1,388,750) (1,384,250) (1,384,250) Surplus, after debt service 1,025,675 1,091,256 1,619,561 1,687,539 1,794,515 Debt Service Coverage Ratio 146.914% 149.944% 194.042% 198.055% 204.270% (A) Not including amounts on deposit in the Rate Stabilization Fund.

If such amounts were added to revenues, debt service coverage would be higher than shown. (B) Series 2009A Bonds were refunded in May 2022.

Collection of charge began in 2011-12.

Required per 2009 and 2018 Sewer Treatment Facility Revenue Bonds Continuing Disclosure.

Source: nbsgov.com
174
700
COMMUNITY FACILITIES DISTRICT NO. 2000-1 OF THE CITY OF BELMONT

CONTINUING DISCLOSURES
June 30, 2025
Bond Principal Outstanding - August 30, 2025 $2,730,000 Balance Outstanding by Fund - August 1, 2025
Reserve Fund $1
(surety bond w/
Ambac no value)
Maximum Debt Service Coverage
Year Ending August 1, Net Taxes Bond Debt Service
Debt Service
Coverage
2004 $855,013.15 $328,750.00 2.60
2005 840,459.85 650,000.00 1.29
2006 848,544.45 645,000.00 1.32
2007 856,703.50 642,200.00 1.33
2008 864,937.60 640,300.00 1.35
2009 873,247.39 640,400.00 1.36
2010 881,633.49 640,425.00 1.38
2011 890,096.52 639,925.00 1.39
2012 898,637.11 643,900.00 1.40
2013 907,255.90 642,088.00 1.41
2014 915,953.53 644,163.00 1.42
2015 924,730.64 644,788.00 1.43
2016 864,667.73 639,550.00 1.35
2017 870,121.20 643,738.00 1.35
2018 878,822.41 641,775.00 1.37
2019 866,272.46 638,950.00 1.36
2020 860,531.00 640,262.50 1.34
2021 869,462.47 640,425.00 1.36
2022 873,830.66 644,437.50 1.36
2023 882,568.97 642,012.50 1.37
2024 891,394.66 643,437.50 1.39
2025 900,308.61 643,425.00 1.40
2026 909,311.70 641,975.00 1.42
2027 918,404.82 644,087.50 1.43
2028 927,588.87 644,475.00 1.44
2029 936,864.76 643,137.50 1.46
2030 946,233.41 645,075.00 1.47
Total $23,953,596.86 $17,038,702.00 1.41
Special Tax Levy Delinquency Rate - June 30, 2025 0.34% (a) None
Owner Land Use Special Tax Total Special Tax
None N/A N/A N/A
Changes to Tax Rate and Method of Apportionment None
None
CDIAC To be filed by October 30
(a) Provided by NBS - Delinquency Summary Report
Special Tax Delinquency in Excess of 5% of Total Levy
Supplemental California Debt and Investment Advisory
Commission Reporting
Status of Foreclosure Actions on Special Tax Levy in Excess of $10,000 175
701

CITY OF BELMONT

DEMOGRAPHIC AND ECONOMIC STATISTICS
Last Ten Fiscal Years
San Mateo City
Fiscal City Assessed County Population
Year Population Valuation Population % of County
2016 27,608 $5,648,901,772 765,895 3.60%
2017 27,343 6,077,587,115 770,256 3.55%
2018 27,388 6,477,809,867 774,155 3.54%
2019 27,174 6,951,922,956 774,485 3.51%
2020 26,669 7,453,883,672 773,244 3.45%
2021 27,587 7,946,879,729 751,596 3.67%
2022 27,203 8,281,898,247 744,662 3.65%
2023 26,793 9,028,158,925 737,644 3.63%
2024 26,931 9,550,802,070 737,644 3.65%
2025 28,206 10,153,262,400 748,337 3.77%
2022-2023 (a) 2021-2022 2017-2021 2016-2020
Per Capita Income: $98,505 $95,748 $86,444 $79,061
Unemployment Rate: 2024-25 2023-24 2022-23 2021-22
Male: 4.00% * 4.00% 4.80% 4.20%
Female: 3.70% * 3.80% 5.00% 2.10%
Total Personal Income: $207,609 $185,944 $178,125 $160,046 (a) The most recent information available is from 2023. * Data only available for California, July 2025
Source: California State Department of Finance
County of San Mateo Controller's Office
www.census.gov
www.usa.com

3.00%

3.20%

3.40%

3.60%

3.80%

4.00%
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
City Population as a % of County Population
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
$7.00
$8.00
$9.00
$10.00
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Billions
Assessed Valuation
176
702
Number of Number of
Employer Employees Employer Employees
RING CENTRAL, INC. 460 ORACLE AMERICA, INC. 519
VOLKSWAGEN GRP OF AMERICA ERL 275 RINGCENTRAL, INC. 311 BELMONT HEALTHCARE CENTER 201 SAFEWAY STORE 180
AUTOBAHN MOTORS 166 AUTOBAHN MOTORS 140
SAFEWAY STORE #1138 113 NIKON PRECISION INC. 133
CARLMONT GARDENS NURSING CENTER 96 AUCTION.COM LLC 112
IVY PARK AT BELMONT 78 SILVERADO SR LIVING BELMONT HILLS 100 WOODMONT REAL ESTATE SERVICES 71 CARLMONT GARDENS NURSING CENTER 100 PLANET GRANITE BELMONT LLC 68 LUNARDI'S MARKET 74
DAL PORTO WOODWORKS 50 JAMES ELECTRONICS/LTD 69
Note: Excludes exempt entities, such as financial institutions, governments and non-profits.

Data not available for ranking or total employment.

Source: City of Belmont Finance, Business License (via Hdl Companies) Fiscal 2024-2025 Fiscal 2015-2016

CITY OF BELMONT

PRINCIPAL EMPLOYERS
Current Year and Ten Years Ago
177
703

CITY OF BELMONT

FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION Last Ten Fiscal Years
Fiscal Year Ended June 30,
Function 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 General government 31.00 33.50 34.00 34.00 33.42 33.00 36.50 40.50 41.50 41.50 Public safety 45.00 45.00 45.00 45.00 44.00 44.00 44.00 44.00 45.00 45.00 Highways and streets 27.00 30.00 30.00 33.00 33.00 33.00 33.00 33.00 33.00 33.00 Culture and recreation 22.85 23.30 24.30 24.30 24.30 24.30 23.80 24.00 24.75 25.25 Total 125.85 131.80 133.30 136.30 134.72 134.30 137.30 141.50 144.25 144.75 Source: City of Belmont Budget

0.00 20.00

40.00 60.00

80.00 100.00
120.00
140.00
160.00
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
FTE's
General government Public safety
Highways and streets Culture and recreation
178
704
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705
2016 2017 2018 2019
Function/Program
Public safety:

Belmont Fire Department (established October 1, 2011) (1) Fire calls for service 2,225 2,459 2,294 2,354
Annual Fire Inspections 850 451 647 466
New Business License Inspections 52 83 53 49
Plan Checks 92 131 183 157
Police:

Police calls for service 29,981 29,039 26,715 24,947
Law violations: (2)
Part I crimes 493 474 498 513
Physical arrests (adult and juvenile) 470 383 336 373
Traffic violations 2,177 2,449 2,373 1,644
Parking violations 3,078 2,461 2,428 2,350
Public works
Street resurfacing (miles) 0 0 0 7
Culture and recreation:

Community Services:

Recreation class participants 40,150 43,580 44,910 44,947 Sewer
Sewer Connections 7,671 7,673 7,678 7,682
Average daily treatment (millions of gallons) - City only 1.80 1.80 1.80 1.80 Average daily treatment (millions of gallons) - Total SVCW 15.75 15.75 15.75 15.75 Treatment capacity - SVCW (millions of gallons) 29.00 29.00 29.00 29.00 Storm drain inlets 1,500 1,500 1,500 1,500
Sewer main blockages 2 4 2 2
Source: City of Belmont
Notes:
(1) Fire services provided through Belmont-San Carlos Fire Department through September 30, 2011. (2) Belmont PD switched to the FBI and California DOJ required NIBRS crime reporting as of June 2021.

N/A denotes information not available.

Fiscal Year Ended June 30

CITY OF BELMONT

OPERATING INDICATORS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
180
706
2020 2021 2022 2023 2024 2025
2,249 2,455 2,510 2,719 2,831 2,729
249 403 340 561 340 420
38 7 29 28 14 7
36 209 171 163 280 237
25,347 25,559 20,858 21,765 20,197 19,025
558 556 506 476 508 500
358 459 504 551 555 436
1,580 989 1,150 1,505 1,366 821
2,037 1,935 1,574 1,969 2,115 958
232117
34,230 18,075 52,714 92,280 103,009 87,420
7,687 7,689 7,690 7,691 7,691 7,693

1.80 1.80 1.80 1.80 1.80 1.80

15.75 15.75 15.75 15.75 15.75 15.75

29.00 29.00 29.00 29.00 29.00 29.00
1,500 1,500 1,500 1,500 1,500 1,500
222112
Fiscal Year Ended June 30
181
707
2016 2017 2018 2019
Function/Program
General Government:

Administration Buildings 2222
Public safety:

Fire stations (1) 2222
Police stations 1111
Public works
Miles of streets 70 70 70 70
Street lights 1,465 1,465 1,465 1,465
Traffic Signals 17 17 17 18
Culture and recreation:

Community services:

City parks:

Number of developed parks 14 14 15 15
Acres of developed parks 60.40 60.40 61.40 61.40
Number of undeveloped parks 3332
Acres of undeveloped parks 29.16 29.16 29.16 28.16
Acres of open space 287.58 287.58 287.58 287.58
Community Buildings 19 19 19 19
Library:

City Library (2) 1111
Water (Provided by Mid-Peninsula Water District)
Sewer
Miles of sanitary sewers 85.00 85.00 85.00 85.00
Storm Drains (miles) 27.00 27.00 27.00 27.00
Number of treatment plants (3) 1111
Notes:
(1) Provided through the Belmont-San Carlos Fire Department through September 30, 2011.

Belmont Fire Department established October 1, 2011 provided services through January 12, 2019.

San Mateo Consolidated Fire Department established January 13, 2019. (2) The Library is property of the City of Belmont and operated by San Mateo County. (3) Provided through the Silicon Valley Clean Water Authority N/A denotes information not available.

Source: City of Belmont

CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM

CITY OF BELMONT
Last Ten Fiscal Years
Fiscal Year Ended June 30
182
708
2020 2021 2022 2023 2024 2025
22222 2
22222 2
11111 1
70 70 70 70 70 70
1,465 1,465 1,465 1,465 1,465 1,465
18 18 18 18 18 18
15 15 15 15 15 15

61.40 61.40 61.40 61.40 61.40 59.80
22222 2

28.16 28.16 28.16 6.30 6.30 6.10
287.58 287.58 287.58 317.00 317.00 312.90
19 19 19 19 19 19
11111 1

85.00 85.00 85.00 85.00 85.00 83.40

27.00 27.00 27.00 27.00 27.00 27.00
11111 1
Fiscal Year Ended June 30
183
709
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710
INDEPENDENT AUDITOR’S REPORT ON

INTERNAL CONTROL OVER FINANCIAL REPORTING

AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN

AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE

WITH GOVERNMENT AUDITING STANDARDS
To the Honorable Members of the City of Council
City of Belmont, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the basic financial statements of the City of Belmont, California, as of and for the year ended June 30, 2025, and have issued our report thereon dated November 7, 2025. Our report includes a reference to other auditors who audited the financial statements of the San Mateo Consolidated Fire Department (SMC Fire) as of and for the year ended June 30, 2024, related to the calculation of the Investment in Joint Venture, as described in our report on the City’s financial statements.

Report on Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) as a basis for designing the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control.

Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the City’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that have not been identified. 185
711
Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards.

We have also issued a separate Memorandum on Internal Control dated November 7, 2025, which is an integral part of our audit and should be read in conjunction with this report.

Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the result of that testing, and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Pleasant Hill, California
November 7, 2025
186
712

CITY OF BELMONT

MEMORANDUM ON INTERNAL CONTROL
FOR THE YEAR ENDED JUNE 30, 2025
713
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714

CITY OF BELMONT

MEMORANDUM ON INTERNAL CONTROL
For the Year Ended June 30, 2025
Table of Contents
Page
Memorandum on Internal Control .................................................................................................................. 1 Schedule of Other Matters .................................................................................................................... 3 715
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716

MEMORANDUM ON INTERNAL CONTROL
To the City Council of
the City of Belmont, California
We have audited the basic financial statements of the City of Belmont for the year ended June 30, 2025, and have issued our report thereon dated November 7, 2025. Our opinions on the basic financial statements and this report, insofar as they relate to the Investment in Joint Venture of the San Mateo Consolidated Fire Department (SMC Fire), are based solely on the report of other auditors. In planning and performing our audit of the basic financial statements of the City as of and for the year ended June 30, 2025, in accordance with auditing standards generally accepted in the United States of America, we considered the City’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the City’s financial statements will not be prevented, or detected and corrected, on a timely basis.

Our consideration of internal control was for the limited purpose described in the first paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses. In addition, because of inherent limitations in internal control, including the possibility of management override of controls, misstatements due to error or fraud may occur and not be detected by such controls. Given these limitations during our audit, we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

Included in the Schedule of Other Matters are recommendations not meeting the above definitions that we believe are opportunities for strengthening internal controls and operating efficiency.

This communication is intended solely for the information and use of management, City Council, others within the organization, and agencies and pass-through entities requiring compliance with Government Auditing Standards, and is not intended to be and should not be used by anyone other than these specified parties.

Pleasant Hill, California
November 7, 2025
1 717
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718

MEMORANDUM ON INTERNAL CONTROL

SCHEDULE OF OTHER MATTERS
2025-01 Periodic Review of the General Ledger System Access Roles Employee access to the various modules of the General Ledger system must be monitored periodically to ensure that the access of each individual is appropriate according to their specific job duties. This is especially important when employee access is provided to a new module or if job duties change.

We reviewed the general ledger system access report as of March 31, 2025 and noted the following:
• One employee had access to the HR Manager, HR Generalist and PA Timesheet Clerk, but the employee is not involved with payroll function.

We understand the employee used to serve as the backup person for the Human Resources functions, but the roles had not been removed. We did note the roles had been removed as of September 2025.
• One employee involved with payroll processing had access to the Accounting Manager, Finance Operations and AP Clerk roles. However, the Accounting Manager role is not needed after training and the Finance Operations role provides for the approval of Accounts Payable transactions. Payroll and accounts payable processors should not have access to the Accounting Manager or Finance Operations roles and accounts payable processors should not also be able to approve accounts payable transactions.

We understand the Accounting Manager role had been added during training to work on Accounts Payable and not removed after training was complete. We did note the Accounting Manager and Finance Operations roles had been removed as of September 2025.

If City staff does not review the system access to ensure access is appropriate for current job duties and between modules, inappropriate access to system modules or approval of transactions could go undetected.

A designated managerial staff should review the system access periodically to ensure that access to the various system modules is authorized and appropriate. The review could be accomplished by cycling through critical staff users and through critical modules periodically throughout the fiscal year. In addition, system access should be reviewed any time employees change job positions to ensure proper segregation of duties and associated access is maintained at all times.

Management’s Response:

The Accounting Manager will review the system at least twice a year, and as new users are added or change job positions, to ensure that access to the various system modules is authorized and appropriate.

3 719

MEMORANDUM ON INTERNAL CONTROL

SCHEDULE OF OTHER MATTERS

NEW GASB PRONOUNCEMENTS OR PRONOUNCEMENTS NOT YET EFFECTIVE The following comment represents new pronouncements taking affect in the next few years. We cite them here to keep you informed of developments:

EFFECTIVE FISCAL YEAR 2025/26:

GASB 103 – Financial Reporting Model Improvements
The objective of this Statement is to improve key components of the financial reporting model to enhance its effectiveness in providing information that is essential for decision making and assessing a government’s accountability. This Statement also addresses certain application issues.

Management’s Discussion and Analysis
This Statement continues the requirement that the basic financial statements be preceded by management’s discussion and analysis (MD&A), which is presented as required supplementary information (RSI). MD&A provides an objective and easily readable analysis of the government’s financial activities based on currently known facts, decisions, or conditions and presents comparisons between the current year and the prior year. This Statement requires that the information presented in MD&A be limited to the related topics discussed in five sections: (1) Overview of the Financial Statements, (2) Financial Summary, (3) Detailed Analyses, (4) Significant Capital Asset and Long-Term Financing Activity, and (5) Currently Known Facts, Decisions, or Conditions. Furthermore, this Statement stresses that the detailed analyses should explain why balances and results of operations changed rather than simply presenting the amounts or percentages by which they changed. This Statement emphasizes that the analysis provided in MD&A should avoid unnecessary duplication by not repeating explanations that may be relevant to multiple sections and that “boilerplate” discussions should be avoided by presenting only the most relevant information, focused on the primary government. In addition, this Statement continues the requirement that information included in MD&A distinguish between that of the primary government and its discretely presented component units.

Unusual or Infrequent Items
This Statement describes unusual or infrequent items as transactions and other events that are either unusual in nature or infrequent in occurrence. Furthermore, governments are required to display the inflows and outflows related to each unusual or infrequent item separately as the last presented flow(s) of resources prior to the net change in resource flows in the government-wide, governmental fund, and proprietary fund statements of resource flows.

Presentation of the Proprietary Fund Statement of Revenues, Expenses, and Changes in Fund Net Position
This Statement requires that the proprietary fund statement of revenues, expenses, and changes in fund net position continue to distinguish between operating and nonoperating revenues and expenses.

Operating revenues and expenses are defined as revenues and expenses other than nonoperating revenues and expenses. Nonoperating revenues and expenses are defined as (1) subsidies received and provided, (2) contributions to permanent and term endowments, (3) revenues and expenses related to financing, (4) resources from the disposal of capital assets and inventory, and (5) investment income and expenses.
4 720

MEMORANDUM ON INTERNAL CONTROL

SCHEDULE OF OTHER MATTERS
GASB 103 – Financial Reporting Model Improvements (Continued) In addition to the subtotals currently required in a proprietary fund statement of revenues, expenses, and changes in fund net position, this Statement requires that a subtotal for operating income (loss) and noncapital subsidies be presented before reporting other nonoperating revenues and expenses.

Subsidies are defined as (1) resources received from another party or fund (a) for which the proprietary fund does not provide goods and services to the other party or fund and (b) that directly or indirectly keep the proprietary fund’s current or future fees and charges lower than they would be otherwise, (2) resources provided to another party or fund (a) for which the other party or fund does not provide goods and services to the proprietary fund and (b) that are recoverable through the proprietary fund’s current or future pricing policies, and (3) all other transfers.

Budgetary Comparison Information
This Statement requires governments to present budgetary comparison information using a single method of communication—RSI. Governments also are required to present (1) variances between original and final budget amounts and (2) variances between final budget and actual amounts. An explanation of significant variances is required to be presented in notes to RSI.

How the Changes in This Statement Will Improve Financial Reporting The requirements for MD&A will improve the quality of the analysis of changes from the prior year, which will enhance the relevance of that information. They also will provide clarity regarding what information should be presented in MD&A.

The requirements for the separate presentation of unusual or infrequent items will provide clarity regarding which items should be reported separately from other inflows and outflows of resources.

The definitions of operating revenues and expenses and of nonoperating revenues and expenses will replace accounting policies that vary from government to government, thereby improving comparability. The addition of a subtotal for operating income (loss) and noncapital subsidies will improve the relevance of information provided in the proprietary fund statement of revenues, expenses, and changes in fund net position.

The requirement for presentation of major component unit information will improve comparability.

The requirement that budgetary comparison information be presented as RSI will improve comparability, and the inclusion of the specified variances and the explanations of significant variances will provide more useful information for making decisions and assessing accountability.

5 721

MEMORANDUM ON INTERNAL CONTROL

SCHEDULE OF OTHER MATTERS
EFFECTIVE FISCAL YEAR 2026/27:

GASB 104 – Disclosure of Certain Capital Assets
State and local governments are required to provide detailed information about capital assets in notes to financial statements. GASB Statement No. 34, Basic Financial Statements—and Management’s Discussion and Analysis—for State and Local Governments, requires certain information regarding capital assets to be presented by major class. The objective of this Statement is to provide users of government financial statements with essential information about certain types of capital assets.

This Statement requires certain types of capital assets to be disclosed separately in the capital assets note disclosures required by Statement 34. Lease assets recognized in accordance with GASB Statement No. 87, Leases, and intangible right-to-use assets recognized in accordance with GASB Statement No. 94, Public-Private and Public-Public Partnerships and Availability Payment Arrangements, should be disclosed separately by major class of underlying asset in the capital assets note disclosures.

Subscription assets recognized in accordance with GASB Statement No. 96, Subscription-Based Information Technology Arrangements, also should be separately disclosed. In addition, this Statement requires intangible assets other than those three types to be disclosed separately by major class.

This Statement also requires additional disclosures for capital assets held for sale. A capital asset is a capital asset held for sale if (a) the government has decided to pursue the sale of the capital asset and (b) it is probable that the sale will be finalized within one year of the financial statement date.

Governments should consider relevant factors to evaluate the likelihood of the capital asset being sold within the established time frame. This Statement requires that capital assets held for sale be evaluated each reporting period. Governments should disclose (1) the ending balance of capital assets held for sale, with separate disclosure for historical cost and accumulated depreciation by major class of asset, and (2) the carrying amount of debt for which the capital assets held for sale are pledged as collateral for each major class of asset.

How the Changes in This Statement Will Improve Financial Reporting The requirements of this Statement will improve financial reporting by providing users of financial statements with essential information about certain types of capital assets in order to make informed decisions and assess accountability. Additionally, the disclosure requirements will im-prove consistency and comparability between governments.
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CITY OF BELMONT

REQUIRED COMMUNICATIONS
FOR THE YEAR ENDED JUNE 30, 2025
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CITY OF BELMONT

REQUIRED COMMUNICATIONS
For the Year Ended June 30, 2025
Table of Contents
Page
Required Communications ........................................................................................................................ 1 Significant Audit Matters ..................................................................................................................... 1 Qualitative Aspects of Accounting Practices ................................................................................... 1 Difficulties Encountered in Performing the Audit .......................................................................... 4 Corrected and Uncorrected Misstatements .................................................................................. 4 Disagreements with Management ................................................................................................. 4 Management Representations ........................................................................................................ 4 Management Consultations with Other Independent Accountants ............................................. 4 Other Audit Findings or Issues ......................................................................................................... 5 Other Matters ...................................................................................................................................... 5 725
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REQUIRED COMMUNICATIONS
To the City Council of
the City of Belmont, California
We have audited the basic financial statements of the City of Belmont, California, for the year ended June 30, 2025. We did not audit the financial statements of the San Mateo Consolidated Fire Department (SMC Fire) as of and for the year ended June 30, 2024, related to the calculation of the Investment in Joint Venture, which represents 2%, 3%, and 0%, respectively, of the total assets, net position and revenues of the governmental activities. The financial statements of SMC Fire were audited by other auditors, whose report thereon has been furnished to us, and our opinion, insofar as it relates to the amounts included for this entity, is based solely on the report of the other auditors.

Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards and Government Auditing Standards and Uniform Guidance, as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our email correspondence to the Audit Committee on September 22, 2025. Professional standards also require that we communicate to you the following information related to our audit:

Significant Audit Matters
Qualitative Aspects of Accounting Practices
Accounting Policies – Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the financial statements. No new accounting policies were adopted and the application of existing policies was not changed during the year, except the following Governmental Accounting Standards Board (GASB) pronouncement became effective:

GASB 101 – Compensated Absences
The objective of this Statement is to better meet the information needs of financial statement users by updating the recognition and measurement guidance for compensated absences. That objective is achieved by aligning the recognition and measurement guidance under a unified model and by amending certain previously required disclosures. 1 727
This Statement requires that liabilities for compensated absences be recognized for (1) leave that has not been used and (2) leave that has been used but not yet paid in cash or settled through noncash means. A liability should be recognized for leave that has not been used if (a) the leave is attributable to services already rendered, (b) the leave accumulates, and (c) the leave is more likely than not to be used for time off or otherwise paid in cash or settled through noncash means. Leave is attributable to services already rendered when an employee has performed the services required to earn the leave. Leave that accumulates is carried forward from the reporting period in which it is earned to a future reporting period during which it may be used for time off or otherwise paid or settled. In estimating the leave that is more likely than not to be used or otherwise paid or settled, a government should consider relevant factors such as employment policies related to compensated absences and historical information about the use or payment of compensated absences. However, leave that is more likely than not to be settled through conversion to defined benefit postemployment benefits should not be included in a liability for compensated absences.

This Statement requires that a liability for certain types of compensated absences—including parental leave, military leave, and jury duty leave—not be recognized until the leave commences. This Statement also requires that a liability for specific types of compensated absences not be recognized until the leave is used.

This Statement also establishes guidance for measuring a liability for leave that has not been used, generally using an employee’s pay rate as of the date of the financial statements. A liability for leave that has been used but not yet paid or settled should be measured at the amount of the cash payment or noncash settlement to be made. Certain salary-related payments that are directly and incrementally associated with payments for leave also should be included in the measurement of the liabilities.

The pronouncement became effective, and as disclosed in Note 9G to the financial statements required a prior period restatement for the cumulative effect on the financial statements.

The following pronouncement became effective, but did not have a material effect on the financial statements:

GASB 102 – Certain Risk Disclosures
Unusual Transactions, Controversial or Emerging Areas – We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.

Accounting Estimates – Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the City’s financial statements were:

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Estimated Net Pension Liabilities and Pension-Related Deferred Outflows and Inflows of Resources: Management’s estimate of the net pension liabilities and deferred outflows/inflows of resources are disclosed in Note 11 to the financial statements and are based on accounting valuations determined by the California Public Employees Retirement System, which are based on the experience of the City. We evaluated the key factors and assumptions used to develop the estimates and determined that they are reasonable in relation to the basic financial statements taken as a whole.

Estimated Net OPEB Liabilities and OPEB–Related Deferred Outflows and Inflows of Resources:

Management’s estimate of the net OPEB liabilities and deferred outflows/inflows of resources are disclosed in Note 12 to the financial statements and are based on actuarial studies determined by a consultant, which are based on the experience of the City. We evaluated the key factors and assumptions used to develop the estimate and determined that it is reasonable in relation to the basic financial statements taken as a whole.

Estimated Fair Value of Investments: As of June 30, 2025, the City held approximately $178.1 million of cash and investments as measured by fair value as disclosed in Note 3 to the financial statements. Fair value is essentially market pricing in effect as of June 30, 2025. These fair values are not required to be adjusted for changes in general market conditions occurring subsequent to June 30, 2025.

Estimated Investments in Joint Ventures: Management’s estimate of the investments in joint ventures is disclosed in Note 15A to the financial statements and is based on the audited financial statements of the two entities for the prior year fiscal year. We evaluated the key factors and assumptions used to develop the investment in joint venture in determining that it is reasonable in relation to the financial statements taken as a whole.

Estimate of Depreciation: Management’s estimate of the depreciation is based on useful lives determined by management. These lives have been determined by management based on the expected useful life of assets as disclosed in Note 1G to the financial statements. We evaluated the key factors and assumptions used to develop the depreciation estimate and determined that it is reasonable in relation to the basic financial statements taken as a whole.

Estimate of Compensated Absences: Accrued compensated absences which are comprised of accrued vacation, accrued sick leave, holiday, and certain other compensating time is estimated using accumulated unpaid leave hours and hourly pay rates in effect at the end of the fiscal year as disclosed in Note 1H to the financial statements. We evaluated the key factors and assumptions used to develop the accrued compensated absences and determined that it is reasonable in relation to the basic financial statements taken as a whole.

Estimated Subscription Assets and Subscription Liabilities: Management’s estimate of subscription assets and subscription liabilities are based on the agreement term, including any assumptions related to whether extensions may be exercised, and the discount rate used in the net present value calculation is based on the estimated borrowing rate at the measurement date as disclosed in Note 13. We evaluated the key factors and assumptions used to develop the subscription assets and subscription liability estimates and determined that they are reasonable in relation to the basic financial statements taken as a whole.

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Estimated Claims Liabilities: Management’s estimate of the claims liabilities payable is disclosed in Note 14 to the financial statements and is based on estimates determined by a third party administrator, which are based on the claims experience of the City. We evaluated the key factors and assumptions used to develop the estimate and determined that it is reasonable in relation to the basic financial statements taken as a whole.

Disclosures – The financial statement disclosures are neutral, consistent, and clear.

Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.

Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. Management has corrected all such misstatements. In addition, none of the misstatements detected as a result of audit procedures and corrected by management were material, either individually or in the aggregate, to each opinion unit’s financial statements taken as a whole, except the adjustment to record the accrual of accounts payable in the amount of $256,757 in the Capital Improvement Projects Capital Projects Fund, and the adjustment to record the capitalization of the fiscal year 2025 capital contribution to Silicon Valley Clean Water Authority in the amount of $2,493,929 in the Sewer Treatment Enterprise Fund.

Professional standards require us to accumulate all known and likely uncorrected misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. We have no such misstatements to report to the City Council.

Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor’s report. We are pleased to report that no such disagreements arose during the course of our audit.

Management Representations
We have requested certain representations from management that are included in a management representation letter dated November 7, 2025.

Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the City’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.

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Other Audit Findings or Issues
We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Other Matters
We applied certain limited procedures to the required supplementary information that accompanies and supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the required supplementary information and do not express an opinion or provide any assurance on the required supplementary information.

We were engaged to report on the supplementary information that accompanies the financial statements, but is not required supplementary information. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves.

We were not engaged to report on the Introductory and Statistical Sections included as part of the Annual Comprehensive Financial Report, but are not required supplementary information. We did not audit or perform other procedures on this other information, and we do not express an opinion or provide any assurance on them.
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This information is intended solely for the use of City Council and management and is not intended to be, and should not be, used by anyone other than these specified parties.

Pleasant Hill, California
November 7, 2025
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