Chula Vista City Council
February 15, 2022

CALIFORNIA
Annual
Comprehensive
Financial Report
June 30, 2021

FISCAL YEAR ENDED




















$QQXDO&RPSUHKHQVLYH
) L Q D Q F L D O  5 H S R U W 

 For The Fiscal Year Ended
J u n e 3 0 , 2 0 2 1








&RPSLOHGXQGHUWKHGLUHFWLRQRI
6DUDK6FKRHQ
Director of Finance/Treasurer











State of California


























Mayor
0DU\&DVLOODV6DODV
City Council

6WHSKHQ3DGLOOD
$QGUHD&DUGHQDV
-LOO*DOYH]
-RKQ0F&DQQ


City Manager
0DULD.DFKDGRRULDQ









&,7<2)&+8/$9,67$
$118$/&2035(+(16,9(),1$1&,$/5(3257
)257+(),6&$/<($5(1'('-81(

7$%/(2)&217(176
 
 3DJH
 1XPEHU
,1752'8&725<6(&7,21
8QDXGLWHG


/HWWHURI7UDQVPLWWDOL 3ULQFLSDO2IILFLDOVY 2UJDQL]DWLRQDO&KDUWYL &HUWLILFDWHRI$FKLHYHPHQWIRU([FHOOHQFHLQ)LQDQFLDO5HSRUWLQJYLL 
),1$1&,$/6(&7,21

,QGHSHQGHQW$XGLWRUV¶5HSRUW 
0DQDJHPHQW¶V'LVFXVVLRQDQG$QDO\VLV
5HTXLUHG6XSSOHPHQWDU\,QIRUPDWLRQ


%DVLF)LQDQFLDO6WDWHPHQWV


*RYHUQPHQW:LGH)LQDQFLDO6WDWHPHQWV

6WDWHPHQWRI1HW3RVLWLRQ 
 6WDWHPHQWRI$FWLYLWLHVDQG&KDQJHVLQ1HW3RVLWLRQ  
)XQG)LQDQFLDO6WDWHPHQWV

 *RYHUQPHQWDO)XQG)LQDQFLDO6WDWHPHQWV

  %DODQFH6KHHW    5HFRQFLOLDWLRQRIWKH%DODQFH6KHHWRI*RYHUQPHQWDO)XQGV W R  W K H  6 W D W H P H Q W  R I  1 H W  3 R VLWLRQ 
 6WDWHPHQWRI5HYHQXHV([SHQGLWXUHVDQG&KDQJHVLQ)XQG   %DODQFHV   5HFRQFLOLDWLRQRIWKH6WDWHPHQWRI5H YHQXHV([SHQGLWXUHVDQG   &KDQJHVLQ)XQG%DODQFHVRI*RYHUQPHQWDO)XQGVWRWKH   6WDWHPHQWRI$ FWLYLWLHV 
3URSULHWDU\)XQG)LQDQFLDO6WDWHPHQWV

 6WDWHPHQWRI 1HW3RVLWLRQ  6WDWHPHQWRI5HYHQXHV([SHQVHVDQG&KDQJHVLQ)XQG1HW3RVLWL RQ  6WDWHPHQWRI&DVK)ORZV  
)LGXFLDU\)XQG)LQDQFLDO6WDWHPHQWV

 6WDWHPHQWRI)LGXFLDU\1HW3RVLWLRQ   6WDWHPHQWRI&KDQJHVLQ)LGXFLDU\1HW3RVLWLRQ  
 1RWHVWR%DVLF)LQDQFLDO6WDWHPHQWV 
&,7<2)&+8/$9,67$
$118$/&2035(+(16,9(),1$1&,$/5(3257
)257+(),6&$/<($5(1'('-81(

7$%/(2)&217(176
&217,18('


 
 3DJH
 1XPEHU
),1$1&,$/6(&7,21
&RQWLQXHG


5HTXLUHG6XSSOHPHQWDU\,QIRUPDWLRQ


%XGJHWDU\&RPSDULVRQ6FKHGXOHE\'HSDUWPHQW*HQHUDO)XQG 
%XGJHWDU\&RPSDULVRQ6FKHGXOH6XQGU\*UDQWV6SHFLDO5HYHQXH)XQG %XGJHWDU\&RPSDULVRQ6FKHGXOH+RXVLQJ6XFFHVVRU$JHQF\6SHFLDO5HYHQXH)XQG 6FKHGXOHRI&KDQJHVLQ1HW3HQVLRQ/LDELOLW\DQG5HODWHG5DWLRV0LVFHOODQHRXV 6FKHGXOHRI&KDQJHVLQ1HW3HQVLRQ/LDELOLW\DQG5HODWHG5DWLRV6DIHW\ 6FKHGXOHRI3ODQ&RQWULEXWLRQV 6FKHGXOHRI&KDQJHVLQWKH7RWDO23(%/LDELOLW\DQG5HODWHG5DWLRV 
1RWHVWR5HTXLUHG6XSSOHPHQWDU\,QIRUPDWLRQ 
6XSSOHPHQWDU\,QIRUPDWLRQ


1RQ0DMRU*RYHUQPHQWDO)XQGV

 &RPELQLQJ%DODQFH6KHHW   &RPELQLQJ6WDWHPHQWRI5HYHQXHV ([SHQGLWXUHVDQG&KDQJHVLQ)XQG%DODQFHV 
%XGJHWDU\&RPSDULVRQ6FKHGXOHE\([SHQVH&DWHJRU\

 *HQHUDO)XQG  6XQGU\*UDQWV6SHFLDO5HYHQXH)XQG +RXVLQJ6XFFHVVRU$JHQF\6SHFLDO5HYHQXH)XQG 
6FKHGXOHRI5HYHQXHV([SHQGLWXUHVDQG&KDQJHVLQ)XQG%DODQFHV±%XGJHWDQG$FWXDO 
 7UDQVSRUWDWLRQ*UDQWV6SHFLDO5HYHQXH)XQG  3DUNLQJ0HWHU6SHFLDO5HYHQXH)XQG  7UDIILF6DIHW\6SHFLDO5HYHQXH)XQG 6WRUP'UDLQ6SHFLDO5HYHQXH)XQG 7RZQ&HQWHU,6SHFLDO5HYHQXH)XQG 2SHQ6SDFH'LVWULFWV6SHFLDO5HYHQXH)XQG +RXVLQJ3URJUDPV6SHFLDO5HYHQXH)XQG +RXVLQJ$XWKRULW\6SHFLDO5HYHQXH)XQG 7UDQVSRUWDWLRQ6DOHV7D[6SHFLDO5HYHQXH)XQG 0RELOH3DUN)HH 
3XEOLF(GXFDWLRQDQG*RYHUQPHQW)HH6SHFLDO5HYHQXH)XQG 6SHFLDO5HYHQXH(QGRZPHQWV6SHFLDO5HYHQXH)XQG 3DUN$FTXLVLWLRQ'HYHORSPHQW&DSLWDO3URMHFW)XQG 5HVLGHQWLDO&RQVWUXFWLRQWD[&DSLWDO3URMHFW)XQG $VVHVVPHQW'LVWULFW,PSURYHPHQW&DSLWDO3URMHFW)XQG 'HYHORSPHQW,PSDFW&DSLWDO3URMHFW)XQG 2WKHU7UDQVSRUWDWLRQ3URJUDP&DSLWDO3URMHFW)XQG &DSLWDO3URMHFWV)XQG 1RWHV3D\DEOH'HEW6HUYLFH)XQG /HDVHV3D\DEOH'HEW6HUYLFH)XQG 
&LW\'HE
W6HUYLFH'HEW6HUYLFH)XQG 3XEOLF)LQDQFLQJ$XWKRULW\'HEW6HUYLFH)XQG 0XQLFLSDO)LQDQFLQJ$XWKRULW\'HEW6HUYLFH)XQG &,7<2)&+8/$9,67$
$118$/&2035(+(16,9(),1$1&,$/5(3257
)257+(),6&$/<($5(1'('-81(

7$%/(2)&217(176
&217,18('



3DJH
 1XPEHU
),1$1&,$/6(&7,21
&RQWLQXHG


1RQ0DMRU3URSULHWDU\)XQGV

 &RPELQLQJ6WDWHPHQWRI1HW3RVLWLRQ   &RPELQLQJ6WDWHPHQWRI5HYHQXHV ([SHQVHVDQG&KDQJHVLQ1HW3RVLWLRQ  &RPELQLQJ6WDWHPHQWRI&DVK)ORZV  
,QWHUQDO6HUYLFH)XQGV

 &RPELQLQJ6WDWHPHQWRI1HW3RVLWLRQ   &RPELQLQJ6WDWHPHQWRI5HYHQXHV ([SHQVHVDQG&KDQJHVLQ1HW3RVLWLRQ  &RPELQLQJ6WDWHPHQWRI&DVK)ORZV  
)LGXFLDU\)XQGV

 &RPELQLQJ6WDWHPHQWRI1HW3RVLWLRQ±$OO&XVWRGLDO)XQGV  
 &RPELQLQJ6WDWHPHQWRI&KDQJHV LQ)LGXFLDU\1HW3RVLWLRQ±$OO&XVWRGLDO)XQGV 
67$7,67,&$/6(&7,21

 1HW3RVLWLRQE\&RPSRQHQW/DVW7HQ)LVFDO<HDUV  &KDQJHVLQ1HW3RVLWLRQ/DVW7HQ)LVFDO<HDUV   )XQG%DODQFHV*RYHUQPHQWDO)XQGV±/DVW7HQ)LVFDO<HDUV   &KDQJHVLQ)XQG%DODQFHV*RYHUQPHQWDO)XQGV±/DVW7HQ<HDUV   $VVHVVHG9DOXHDQG(VWLPDWHG$FWXDO9DOXHRI7D[DEOH    'LUHFWDQG2YHUODSSLQJ 3URSHUW\7D[5DWHV/DVW7HQ)LVFDO<HDUV  3ULQFLSDO3URSHUW\7D[SD\HUV&XUUHQW<HDUDQG1LQH<HDUV$JR  
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
&DSLWDO$VVHW6WDWLVWLFVE\)XQFWLRQ3URJUDP/DVW7HQ)LVFDO<HDUV 

,QGHSHQGHQW$XGLWRUV¶5HSRUWRQ,QWHUQDO&RQWURO2YHU)LQDQFLDO5HSRUWLQJ  $QGRQ&RPSOLDQFHDQG2WKHU0 DWWHUV%DVHGRQDQ$XGLWRI)LQDQFLDO  6WDWHPHQWV3HUIRUPHGLQ$FFRUGDQFHZLWK Government Auditing Standards 

















'HFHPEHU


+RQRUDEOH0D\RU&RXQFLOPHPEHUVDQG&LWL]HQVRI&KXOD9LVWD &KXOD9LVWD&LW\+DOO
&KXOD9LVWD&$



7KHDXGLWHG$QQXDO&RPSUHKHQVLYH)LQDQFLDO5HSRUW
$&)5
RIWKH &LW\RI&KXOD9LVWDIRUWKHILVFDO
\HDUHQGHG-XQHLVKHUHE\VXEPLWWHGWR\RX7KH&LW\FRPSLOHVDQGSUHSDUHVWKHDQQXDOILQDQFLDO UHSRUWWRSURYLGHLQWHUHVWHGSDUWLHVZLWKUHOLDEOHLQIRUPDWLRQFRQFHUQLQJWKHILQDQFLDOFRQGLWLRQDQGUHVXOWV RIRSHUDWLRQVIRUWKH&LW\

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
KDYHEHHQLQFOXGHG

*HQHUDOO\ DFFHSWHG DFFRXQWLQJ SULQFLSOHV UHTXLUH WKDW PDQDJHPHQ W SURYLGH D QDUUDWLYH LQWURGXFWLRQ RYHUYLHZ DQG DQDO\VLV WR DFFRPSD Q\ WKH EDVLF ILQDQFLDO VWDWHPHQWV LQ WKH IRUP RI 0DQDJHPHQW¶V 'LVFXVVLRQDQG$QDO\VLV
0' $
7KLVOHWWHURIWUDQVPLWWDOLV GHVLJQHGWRFRPSOHPHQWWKH0' $DQG VKRXOG EH UHDG LQ FRQMXQFWLRQ ZLWK LW  7KH &LW\ RI &KXOD 9LVWD¶V 0' $ FDQ EH IRXQG LPPHGLDWHO\ IROORZLQJWKHUHSRUWRIWKHLQGHSHQGHQWDXGLWRUV

7KH&LW\RI&KXOD9LVWDLVUHTXLUHGWRXQGHUJRDQDQQXDOVLQJOH DXGLWLQFRQIRUPLW\ZLWKWKHSURYLVLRQV RI WKH 5HYLVHG 6LQJOH $XGLW $FW RI 

 DQG WKH 8QLWHG 6WDWHV 2IILFH RI 0DQDJHPHQW DQG %XGJHW V
8QLIRUP*XLGDQFH,QIRUPDWLRQUHODWHGWRWKLVVLQJOHDXGLWLQFOXGLQJDVFKHGXOHRIH[SHQGLWXUHVRIIHGHUDO DZDUGVDORQJZLWKWKHLQGHSHQGHQWDXGLWRUV¶UHSRUWVRQLQWHUQDOFRQWUROVDQGFRPSOLDQFHZLWKDSSOLFDEOH ODZVFDQEHIRXQGLQDVHSDUDWHO\LVVXHGVLQJOHDXGLWUHSRUW 
7KH$&)5IRUWKH&LW\RI&KXOD9LVWDLQFOXGHVWKHDFWLYLWLHVRIWKHSULPDU\JRYHUQPHQW &LW\RI&KXOD
9LVWD
DORQJZLWKVHYHUDOFRPSRQHQWXQLWV$FRPSRQHQWXQLWLVDOHJDOO\VHSDUDWHRUJDQL]DWLRQRUHQWLW\ IRUZKLFKWKHHOHFWHGRIILFLDOVRIWKHSULPDU\JRYHUQPHQWDUHI LQDQFLDOO\DFFRXQWDEOH&RPSRQHQWXQLWV DOWKRXJKWKH\DUHOHJDOO\VHSDUDWHHQWLWLHVDUHLQVXEVWDQFHS DUWRIWKHSULPDU\JRYHUQPHQW VRSHUDWLRQV
DQGWKHUHIRUHLQFOXGHGIRUILQDQFLDOUHSRUWLQJSXUSRVHV7KHFR PSRQHQWXQLWVLQFOXGHGZLWKLQWKH&LW\RI i

&KXOD9LVWD
VILQDQFLDOVWDWHPHQWVDUHWKH&KXOD9LVWD3XEOLF)LQDQFLQJ$XWKRULW\&KXOD9LVWD0XQLFLSDO )LQDQFLQJ$XWKRULW\&KXOD9LVWD,QGXVWULDO'HYHORSPHQW$XWKRULW\DQG&KXOD9LVWD+RXVLQJ$XWKRULW\ 
3URILOHRIWKH*RYHUQPHQW

7KH &LW\ RI &KXOD 9LVWD LV ORFDWHG LQ 6DQ 'LHJR &RXQW\ ZLWK LWV  ZHVWHUQ ERUGHU DGMDFHQW WR 6DQ'LHJR%D\PLOHVVRXWKRI'RZQWRZQ6DQ'LHJRDQGPLOHV QRUWKRIWKH0H[LFDQERUGHU7KH &LW\HQFRPSDVVHVDSSUR[LPDWHO\VTXDUHPLOHV

&KXOD9LVWDZDVLQFRUSRUDWHGLQ
DQGIXQFWLRQVXQGHUD&LW \&KDUWHUZLWKD&RXQFLO0DQDJHUIRUP RI JRYHUQPHQW  7KH &LW\ LV JRYHUQHG E\ D IRXUPHPEHU &RXQFLO DQG D 0D\RU ZKR VHUYHV IRXU\HDU RYHUODSSLQJWHUPVDQGLQDGGLWLRQWRWKH&LW\$WWRUQH\LVHOHFWHGRQDFLW\ZLGHEDVLV7KH&LW\&RXQFLO DSSRLQWVWKH&LW\0DQDJHUDQGWKH&LW\&OHUN0XQLFLSDOVHUYLFHVSURYLGHGLQFOXGHSROLFHILUHSDUNVDQG UHFUHDWLRQ OLEUDULHV SODQQLQJ  EXLOGLQJ KRXVLQJ SURJUDPV V WUHHW DQG GUDLQDJH FRQVWUXFWLRQ DQG PDLQWHQDQFHDQGVHZHUVHUYLFHV

/RFDO(FRQRP\DQG3URVSHFWVIRUWKH)XWXUH

&KXOD9LVWDUHVLGHQWVHQMR\DOOWKHEHQHILWVRIDPDMRUFLW\DORQJZLWKVPDOOWRZQIULHQGOLQHVVDIIRUGDEOH KRXVLQJ DQG QHDU SHUIHFW ZHDWKHU  7KH PRVW UHFHQW GDWD DYDLODEOH IURP 6DQ 'LHJR $VVRFLDWLRQ RI *RYHUQPHQWV
6$1'$*
HVWLPDWHVWKDWWKHPHGLDQKRXVHKROGLQFRPHLQ&KXOD9LVWDLV 
7KH&LW\RI&KXOD9LVWDZLWKDSRSXODWLRQRIDSSUR[LPDWHO\ SHUWKH86&HQVXVLVWKHVHFRQG ODUJHVWFRPPXQLW\LQ6DQ'LHJR&RXQW\6$1'$*SURMHFWVWKDWWK H&LW\RI&KXOD9LVWDZLOOUHDFKD SRSXODWLRQRIDSSUR[LPDWHO\E\WKH\HDU6$1'$*¶V*URZWK)RUHFDVWLQGLFDWHVWKDW WKH6RXWK&RXQW\VXEUHJLRQZLOOFRQWLQXHWRKRVWDVXEVWDQWLDODPRXQWRIWKHUHJLRQ¶VSURMHFWHGJURZWK RYHUWKHQH[WWKUHHGHFDGHVSULPDULO\WKURXJKQHZGHYHORSPHQWLQWKHHDVWHUQSRUWLRQRIWKH&LW\ 
/RQJ7HUP)LQDQFLDO3ODQQLQJ

7KH&LW\XSGDWHGWKH*HQHUDO)XQG/RQJ7HUP)LQDQFLDO3ODQ /7) 3
IRUILVFDO\HDUWKURXJK
DVSDUWRILWVDQQXDOEXGJHWGHYHORSPHQWSURFHVV7KHIRUHFDVWDQDO\]HGUHYHQXHDQGH[SHQGLWXUHHVWLPDWHV DQGDVVXPSWLRQVRYHUD\HDUSHULRGWRDVVHVVWKH&LW\¶VDELOLW\WRFRQWLQXHFXUUHQWVHUYLFHOHYHOVEDVHG RQSURMHFWHGJURZWKSUHVHUYHWKH&LW\¶VORQJWHUPILVFDOKHDOWKE\DOLJQLQJRSHUDWLQJUHYHQXHVDQGFRVWV DQGWRVORZO\UHEXLOGWKHRSHUDWLQJUHVHUYHV7KHJRDORIWKHILQDQFLDOIRUHFDVWLVWRPDWFKWKHDYDLODELOLW\ RI UHYHQXHV DJDLQVW H[SHQGLWXUHV RYHU WLPH DQG XSGDWH EXGJHWDU\ DQG ILQDQFLDO SODQV DFFRUGLQJO\  ,Q VXPPDU\WKH/RQJ7HUP)LQDQFLDO3ODQSURYLGHVDQLQGHSWKDQDO \VLVRIWKH&LW\¶VILVFDOFRQGLWLRQWR DLGHLQSURDFWLYHILQDQFLDOGHFLVLRQPDNLQJDQGWRVHUYHDVDSODQQLQJWRROWREULQJDORQJWHUPSHUVSHFWLYH WRWKHEXGJHWGHYHORSPHQWSURFHVV

7KHIRUHFDVWDQWLFLSDWHGPRGHUDWHUHYHQXHJURZWKIURPILVFDO\HDUWRILVFDO\HDU6WDUWLQJLQ ILVFDO\HDUUHYHQXHVDUHDQWLFLSDWHGWRGHFUHDVHGXHWRWKHVFKHGXOHGFRQFOXVLRQRIDFLWL]HQDSSURYHG VDOHV WD[ PHDVXUH 6WDUWLQJ LQ ILVFDO \HDU 
 UHYHQXHV DUH DQWLFLSDWHG WR UHVXPH PRGHUDWH JURZWK WKURXJK ILVFDO \HDU  7KH IRUHFDVW DQWLFLSDWHG H[SHQGLWXUH JURZWK WR RXWSDFH UHYHQXH JURZWK EHJLQQLQJLQILVFDO\HDUSULPDULO\GXHWRH[SHQVHVUHODWHGWRDVVXPHGZDJHLQIODWLRQKHDOWKFDUH DQGWZRDQWLFLSDWHGQHZILUHVWDWLRQV$OVRUHIOHFWHGLQWKHH[SHQGLWXUHIRUHFDVWLVWKHSRVLWLYHILVFDOLPSDFW ii

IURP WKH UHFHQW LVVXDQFH RI  PLOOLRQ LQ SHQVLRQ REOLJDWLRQ ERQGV 32%V
 WKDW ZHUH LVVXHG DW
KLVWRULFDOO\ORZLQWHUHVWUDWHV7KH&LW\¶V32%VDUHDQWLFLSDWH GWRUHVXOWLQSHQVLRQFRVWVDYLQJVFLW\ZLGH EHJLQQLQJ LQ ILVFDO \HDU  GXH WR WKH VLJQLILFDQW UHGXFWLRQRI WKH SHQVLRQ OLDELOLW\ NQRZQ DV WKH XQIXQGHGDFFUXHGOLDELOLW\
8$/
7KHPDMRULW\RIWKHVHSHQVLRQFRVWVDYLQJVDUHEHLQJVHWDVLGHWKURXJK ILVFDO\HDULQDQ,QWHUQDO5HYHQXH&RGH6HFWLRQSHQVLRQDQGERQGFDOOWUXVWIXQGZKLFKZLOOKHOS PLWLJDWHIXWXUHLQFUHDVHVIURPSH QVLRQDQGRWKHUSRVWဨHPSOR\PHQWEHQHILWVFRVWVRUSURYLGHWKH&LW\WKH RSSRUWXQLW\WRSD\RIIWKHERQGVHDUOLHU1RWDEO\WKH32%VZHUHLVVXHGZLWKD6WDQGDUGDQG3RRU¶V*OREDO 5DWLQJVH[WUHPHO\VWURQJµ$$¶FUHGLWUDWLQJ

7KH *RYHUQPHQW )LQDQFH 2IILFHUV $VVRFLDWLRQ
*)2$
 UHFRJQL]HV WKH LPSRUWDQFH RI FRPELQLQJ WKH
IRUHFDVWLQJRIUHYHQXHVDQGH[SHQGLWXUHVLQWRDVLQJOHILQDQFLD OIRUHFDVW7KH*)2$DOVRUHFRPPHQGV WKDWDJRYHUQPHQWVKRXOGKDYHDILQDQFLDOSODQQLQJSURFHVVWKDWDVVHVVHVORQJWHUPILQDQFLDOLPSOLFDWLRQV RIFXUUHQWDQGSURSRVHGSROLFLHVSURJUDPVDQGDVVXPSWLRQVWKDWGHYHORSDSSURSULDWHVWUDWHJLHVWRDFKLHYH LWVJRDOV

,QWHUQDO&RQWUROV

7KH &LW\ KDV GHYHORSHG DQG SXW LQWR SODFH V\VWHPV RI LQWHUQDO FRQWUROV RYHU YDULRXV DFFRXQWLQJ DQG WUDQVDFWLRQSURFHVVLQJIXQFWLRQV0DQDJHPHQWRIWKH&LW\LVUHVSRQVLEOHIRUHVWDEOLVKLQJDQGPDLQWDLQLQJ WKHLQWHUQDOFRQWUROVWUXFWXUH7KLVVWUXFWXUHLVGHVLJQHGWRH QVXUHWKDWWKHDVVHWVRIWKH&LW\DUHSURWHFWHG IURPORVVWKHIWRUPLVXVH7KHVHFRQWUROVDUHDOVRLQSODFHWRHQVXUHWKDWDGHTXDWHDFFRXQWLQJLQIRUPDWLRQ LV FRPSLOHG WR DOORZ IRU WKH SUHSDUDWLRQ RI ILQDQFLDO VWDWHPHQWV LQ FRQIRUPLW\ ZLWK JHQHUDOO\ DFFHSWHG DFFRXQWLQJSULQFLSOHV7KHLQWHUQDOFRQWUROVWUXFWXUHLVGHVLJQ HGWRSURYLGHUHDVRQDEOHEXWQRWDEVROXWH DVVXUDQFHWKDWWKHVHREMHFWLYHVDUHPHW7KHLGHDRIUHDVRQDEOH DVVXUDQFHUHFRJQL]HVWKDW 

WKHFRVWRI
DFRQWUROVKRXOGQRWH[FHHGWKHEHQHILWVOLNHO\WREHGHULYHG  DQG

WKHYDOXDWLRQRIFRVWDQGEHQHILWV
UHTXLUHVHVWLPDWHVDQGMXGJPHQWVE\PDQDJHPHQW

%XGJHWDU\&RQWUROV

7KH&LW\FXUUHQWO\DGRSWVDVLQJOH\HDURSHUDWLQJDQGFDSLWDOEXGJHW7KHSURYLVLRQVRIWKHVHEXGJHWVDUH GLUHFWO\ SRVWHG LQWR WKH &LW\
V JHQHUDO OHGJHU DFFRXQWLQJ V\VWHP WR KHOS HQVXUH FRPSOLDQFH ZLWK WKH DSSURSULDWLRQVPDGHE\WKH&LW\&RXQFLO

$FWLYLWLHVRIWKH&LW\¶V*RYHUQPHQWDO)XQGV
JHQHUDOIXQGVSHFLDOUHYHQXHIXQGVGHEWVHUYLFHIXQGVDQG FDSLWDOSURMHFWIXQGV
DUHDGRSWHGLQWKHRSHUDWLQJEXGJHW%XGJHWDU\FRQWURO ZKLFK LVWKHSROLF\WKDW
DFWXDOH[SHQGLWXUHVPD\QRWH[FHHGDSSURSULDWLRQV
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


iii
,QGHSHQGHQW$XGLW
(DFK\HDUWKH&LW\KDVDQDXGLWSHUIRUPHGE\DQLQGHSHQGHQWFHU WLILHGSXEOLFDFFRXQWLQJILUP7KLV\HDU WKHDXGLWZDVSHUIRUPHGE\WKHILUPRI/DQFH6ROODQG/XQJKDU G//37KHDXGLWRUVDOVRFRQGXFWHGD VLQJOHDXGLWGHVLJQHGWRPHHWWKHUHTXLUHPHQWVRIWKHIHGHUDO5HYLVHG6LQJOH$XGLW$FWRI

DQGWKH
UHODWHG862IILFHRI0DQDJHPHQWDQG%XGJHW
V8QLIRUP*XLGDQFH7KHDXGLWRU¶VUHSRUWRQWKHEDVLF ILQDQFLDOVWDWHPHQWVFDQEHIRXQGLQWKHILQDQFLDOVHFWLRQRIWKLVUHSRUW 7KHDXGLWRU¶VUHSRUWRQLQWHUQDOFRQWUROVRYHUILQDQFLDOUHSRUWLQJDQGFRPSOLDQFHZLWKDSSOLFDEOHODZVDQG UHJXODWLRQVFDQEHIRXQGLQDVHSDUDWHO\LVVXHGUHSRUW 
$ZDUGV

7KH *RYHUQPHQW )LQDQFH 2IILFHUV $VVRFLDWLRQ RI WKH 8QLWHG 6WDWHV DQG &DQDGD *)2$
 DZDUGHG D
&HUWLILFDWHRI$FKLHYHPHQWIRU([FHOOHQFHLQ)LQDQFLDO5HSRUWLQJWRWKH&LW\RI&KXOD9LVWDIRULWV$&)5 IRU WKH \HDU HQGHG -XQH    7KLV ZDV WKH  WK FRQVHFXWLYH \HDU WKDW WKH &LW\ KDV UHFHLYHG WKLV SUHVWLJLRXVDZDUG,QRUGHUWREHDZDUGHGD&HUWLILFDWHRI$FK LHYHPHQWDJRYHUQPHQWPXVWSXEOLVKDQ HDVLO\ UHDGDEOH DQG HIILFLHQWO\ RUJDQL]HG $&)5  7KLV UHSRUW PX VW VDWLVI\ ERWK JHQHUDOO\ DFFHSWHG DFFRXQWLQJSULQFLSOHVDQGDSSOLFDEOHOHJDOUHTXLUHPHQWV 
$&HUWLILFDWHRI$FKLHYHPHQWLVYDOLGIRUDSHULRGRIRQH\HDU RQO\:HEHOLHYHWKDWRXUFXUUHQW$&)5 FRQWLQXHVWRPHHWWKH&HUWLILFDWHRI$FKLHYHPHQW3URJUDP VUHTXLUHPHQWVDQGZHDUHDJDLQVXEPLWWLQJLW
WR*)2$WRGHWHUPLQHLWVHOLJLELOLW\IRUDQRWKHUFHUWLILFDWH 
$FNQRZOHGJPHQWV

7KH SUHSDUDWLRQ RI WKLV $&)5 FRXOG QRW KDYH EHHQ DFFRPSOLVKHG ZLWKRXW WKH HIILFLHQW DQG GHGLFDWHG VHUYLFHVRIWKHHQWLUHILQDQFHVWDIIWKURXJKRXWWKHILVFDO\HDU:HZRXOGOLNHWRWKDQNDOOWKRVHLQGLYLGXDOV ZKRDVVLVWHGDQGFRQWULEXWHGWRWKHSUHSDUDWLRQRIWKLVUHSRUW$FNQRZOHGJHPHQWPXVWDOVREHJLYHQWR WKH0D\RUDQG&LW\&RXQFLODORQJZLWKWKH&LW\0DQDJHUIRUWKHLUFRQWLQXHGLQWHUHVWLQSODQQLQJDQG FRQGXFWLQJWKHRSHUDWLRQVRIWKH&LW\RI&KXOD9LVWDLQDUHVSRQVLEOHDQGSURJUHVVLYHPDQQHU 
5HVSHFWIXOO\VXEPLWWHG




6DUDK6FKRHQ

'LUHFWRURI)LQDQFH7UHDVXUHU
6K 6 K
iv



&LW\RI&KXOD9LVWD
/LVWRI&LW\2IILFLDOV
$VRI'HFHPEHU




&LW\&RXQFLO


0DU\&DVLOODV6DODV 0D\RU
-RKQ0F&DQQ 'HSXW\0D\RU
$QGUHD&DUGHQDV &RXQFLOPHPEHU
-LOO*DOYH] &RXQFLOPHPEHU 6WHSKHQ3DGLOOD &RXQFLOPHPEHU 

$GPLQLVWUDWLRQ


0DULD.DFKDGRRULDQ& LW\0DQDJHU
.HOOH\%DFRQ 'HSXW\&LW\0DQDJHU
.HOO\%URXJKWRQ 'HSXW\&LW\0DQDJHU
(ULF&URFNHWW 'HSXW\&LW\0DQDJHU
*OHQ5*RRJLQV &LW\$WWRUQH\
.HUU\.%LJHORZ &LW\&OHUN



'HSDUWPHQW+HDGV


6DUDK6FKRHQ 'LUHFWRURI)LQDQFH7UHDVXUH U
7LIIDQ\$OOHQ 'LUHFWRURI'HYHORSPHQW6HUYLFHV
&RXUWQH\&KDVH 'LUHFWRURI+XPDQ5HVRXUFHV
(GZDUG&KHZ 'LUHFWRURI,QIRUPDWLRQ7HFKQRORJ\6HUYLFHV +DUU\0XQV )LUH&KLHI
0DWWKHZ/LWWOH 'LUHFWRURI3XEOLF:RUNV
5R[DQD.HQQHG\ &KLHIRI3ROLFH
7UDF\/DPE 'LUHFWRURI&RPPXQLW\6HUYLFHV
:LOOLDP9DOOH 'LUHFWRURI(Q JLQHHULQJ &DSLWDO3URMHFWV -RKQ6NHHO 'LUHFWRURI$QLPDO&DUH)DFLOLW \

v

”‰ƒ‹œƒ–‹‘ƒŽŠƒ”–


/d/
E^K&,h>s/^d

/dzddKZE
z
DzKZ
/dzKhE/>
/d/
Es/^KZz
KDD/^^/KE^
/d/
Es/^KZz
KZ^

/dzDE'
Z

/dz>
Z<


Whdz/dzDE'
Z


Whdz/dzDE'
Z


Whdz/dzDE'
Z

&/Z


WK>/

&/EE
 
s
>KWD
Ed
^
Zs/
^

KEKD/

s
>KWD
Ed
K&&/
K&
KDhE/d/KE^
,hDE
Z
^KhZ
^
Wh>/tKZ<^ /E&KZDd/KE
d
,EK>K'z
^
Zs/
^

E'/E

Z/E' E/D>Z

&/>/dz
KDDhE/dz
^
Zs/
^
vi
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Chula Vista
California
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2020
Executive Director/CEO
vii








203 N. Brea Blvd., Suite 203
Brea, CA 92821 Lance, Soll & Lunghard, LLP Phone: 714.672.0022 
,1'(3(1'(17$8',7256¶5(3257

7RWKH+RQRUDEOH0D\RUDQG0HPEHUVRIWKH&LW\&RXQFLO &LW\RI&KXOD9LVWD&DOLIRUQLD

5HSRUWRQWKH)LQDQFLDO6WDWHPHQWV

Opinions

:HKDYHDXGLWHGWKHDFFRPSDQ\LQJILQDQFLDOVWDWHPHQWVRIWKHJRYHUQPHQWDODFWLYLWLHVWKHEXVLQHVVW\SH DFWLYLWLHV HDFK PDMRU IXQG DQG WKH DJJUHJDWH UHPDLQLQJ IXQG LQIRUPDWLRQ RI WKH &LW\ RI &KXOD 9LVWD &DOLIRUQLD
WKH³&LW\´
DVRIDQGIRUWKH\HDUHQGHG-XQH DQGWKHUHODWHGQRWHVWRWKHILQDQFLDO VWDWHPHQWV ZKLFK FROOHFWLYHO\ FRPSULVH WKH &LW\¶V EDVLF ILQDQFLDO VWDWHPHQWV DV OLVWHG LQ WKH WDEOH RI FRQWHQWV

,Q RXU RSLQLRQ WKH ILQDQFLDO VWDWHPHQWV UHIHUUHG WR DERYH SUHV HQW IDLUO\ LQ DOO PDWHULDO UHVSHFWV WKH UHVSHFWLYHILQDQFLDOSRVLWLRQRIWKHJRYHUQPHQWDODFWLYLWLHVWKHEXVLQHVVW\SHDFWLYLWLHVHDFKPDMRUIXQG DQGWKHDJJUHJDWHUHPDLQLQJIXQGLQIRUPDWLRQRIWKH&LW\DVRI-XQHDQGWKHUHVSHFWLYHFKDQJHV LQILQDQFLDOSRVLWLRQDQGZKHUHDSSOLFDEOHFDVKIORZVWKHUHRI IRUWKH\HDUWKHQHQGHGLQDFFRUGDQFHZLWK DFFRXQWLQJSULQFLSOHVJHQHUDOO\DFFHSWHGLQWKH8QLWHG6WDWHVRI$PHULFD Basis for Opinions
:H FRQGXFWHG RXU DXGLW LQ DFFRUGDQFH ZLWK DXGLWLQJ VWDQGDUGV JHQHUDOO\ DFFHSWHG LQ WKH 8QLWHG 6WDWHV RI$PHULFD
*$$6
DQGWKHVWDQGDUGVDSSOLFDEOHWRILQDQFLDODXG LWVFRQWDLQHGLQ Government Auditing Standards LVVXHG E\ WKH &RPSWUROOHU *HQHUDO RI WKH 8QLWHG 6WDWHV 2XU UHVSRQVLELOLWLHV XQGHU WKRVH VWDQGDUGVDUHIXUWKHUGHVFULEHGLQWKH$XGLWRU¶V5HVSRQVLELOLWL HVIRUWKH$XGLWRIWKH)LQDQFLDO6WDWHPHQWV VHFWLRQ RI RXU UHSRUW  :H DUH UHTXLUHG WR EH LQGHSHQGHQW RI WKH &LW\ DQG WR PHHW RXU RWKHU HWKLFDO UHVSRQVLELOLWLHVLQDFFRUGDQFHZLWKWKHUHOHYDQWHWKLFDOUHTXLUHPHQWVUHODWLQJWRRXUDXGLWV:HEHOLHYHWKDW WKHDXGLWHYLGHQFHZHKDYHREWDLQHGLVVXIILFLHQWDQGDSSURSULDWHWRSURYLGHDEDVLVIRURXUDXGLWRSLQLRQ 
Responsibilities of Management for the Financial Statements 
0DQDJHPHQW LV UHVSRQVLEOH IRU WKH SUHSDUDWLRQ DQG IDLU SUHVHQWDWLRQ RI WKHVH ILQDQFLDO VWDWHPHQWV LQ DFFRUGDQFH ZLWK DFFRXQWLQJ SULQFLSOHV JHQHUDOO\ DFFHSWHG LQ WKH 8QLWHG 6WDWHV RI $PHULFD  DQG IRU WKH
GHVLJQ LPSOHPHQWDWLRQ DQG PDLQWHQDQFH RI LQWHUQDO FRQWURO UHO HYDQW WR WKH SUHSDUDWLRQ DQG IDLU SUHVHQWDWLRQRIILQDQFLDOVWDWHPHQWVWKDWDUHIUHHIURPPDWHULDOPLVVWDWHPHQWZKHWKHUGXHWRIUDXGRUHUURU 
,QSUHSDULQJWKHILQDQFLDOVWDWHPHQWVPDQDJHPHQWLVUHTXLUHGWRHYDOXDWHZKHWKHUWKHUHDUHFRQGLWLRQVRU HYHQWVFRQVLGHUHGLQWKHDJJUHJDWHWKDWUDLVHVXEVWDQWLDOGRXEWDERXWWKH&LW\¶VDELOLW\WRFRQWLQXHDVD JRLQJFRQFHUQIRUWZHOYHPRQWKVEH\RQGWKHGDWHRIWKHILQDQFLDOVWDWHPHQWV 
7RWKH+RQRUDEOH0D\RUDQG0HPEHUVRIWKH&LW\&RXQFLO &LW\RI&KXOD9LVWD&DOLIRUQLD

Auditor’s Responsibilities for the Audit of the Financial Statements 
2XUREMHFWLYHVDUHWRREWDLQUHDVRQDEOHDVVXUDQFHDERXWZKHWKHU WKHILQDQFLDOVWDWHPHQWVDVDZKROHDUH IUHHIURPPDWHULDOPLVVWDWHPHQWZKHWKHUGXHWRIUDXGRUHUURUDQGWRLVVXHDQDXGLWRU¶VUHSRUWWKDWLQFOXGHV RXURSLQLRQ5HDVRQDEOHDVVXUDQFHLVDKLJKOHYHORIDVVXUDQFHEXWLVQRWDEVROXWHDVVXUDQFHDQGWKHUHIRUH LV QRW D JXDUDQWHH WKDW DQ DXGLW FRQGXFWHG LQ DFFRUGDQFH ZLWK * $$6 DQG Government Auditing StandardsZLOODOZD\VGHWHFWDPDWHULDOPLVVWDWHPHQWZKHQLWH[LVWV7K HULVNRIQRWGHWHFWLQJDPDWHULDO PLVVWDWHPHQWUHVXOWLQJIURPIUDXGLVKLJKHUWKDQIRURQHUHVXOWLQJIURPHUURUDVIUDXGPD\LQYROYHFROOXVLRQ IRUJHU\ LQWHQWLRQDO RPLVVLRQV PLVUHSUHVHQWDWLRQV RU WKH RYHUULGH RI LQWHUQDO FRQWURO 0LVVWDWHPHQWV DUH FRQVLGHUHG PDWHULDO LI WKHUH LV D VXEVWDQWLDO OLNHOLKRRG WKDW LQGLYLGXDOO\ RU LQ WKH DJJUHJDWH WKH\ ZRXOG LQIOXHQFHWKHMXGJPHQWPDGHE\DUHDVRQDEOHXVHUEDVHGRQWKHILQDQFLDOVWDWHPHQWV 
,QSHUIRUPLQJDQDXGLWLQDFFRUGDQFHZLWK*$$6DQGGovernment Auditing StandardsZH 

x ([HUFLVHSURIHVVLRQDOMXGJPHQWDQGPDLQWDLQSURIHVVLRQDOVNHSW LFLVPWKURXJKRXWWKHDXGLW x ,GHQWLI\DQGDVVHVVWKHULVNVRIPDWHULDOPLVVWDWHPHQWRIWKH ILQDQFLDOVWDWHPHQWVZKHWKHUGXHWR IUDXGRUHUURUDQGGHVLJQDQGSHUIRUPDXGLWSURFHGXUHVUHVSRQVLYHWRWKRVHULVNV6XFKSURFHGXUHV LQFOXGHH[DPLQLQJRQDWHVWEDVLVHYLGHQFHUHJDUGLQJWKHDPRXQWVDQGGLVFORVXUHVLQWKHILQDQFLDO VWDWHPHQWV
x 2EWDLQDQXQGHUVWDQGLQJRILQWHUQDOFRQWUROUHOHYDQWWRWKHDXGLWLQRUGHUWRGHVLJQDXGLWSURFHGXUHV WKDWDUHDSSURSULDWHLQWKHFLUFXPVWDQFHVEXWQRWIRUWKHSXUS RVHRIH[SUHVVLQJDQRSLQLRQRQWKH HIIHFWLYHQHVVRIWKH&LW\¶VLQWHUQDOFRQWURO$FFRUGLQJO\QRVXFKRSLQLRQLVH[SUHVVHG x (YDOXDWH WKH DSSURSULDWHQHVV RI DFFRXQWLQJ SROLFLHV XVHG DQG WKH UHDVRQDEOHQHVV RI VLJQLILFDQW DFFRXQWLQJHVWLPDWHVPDGHE\PDQDJHPHQWDVZHOODVHYDOXDWHWK HRYHUDOOSUHVHQWDWLRQRIWKH ILQDQFLDOVWDWHPHQWV
x &RQFOXGHZKHWKHULQRXUMXGJPHQWWKHUHDUHFRQGLWLRQVRUHYH QWVFRQVLGHUHGLQWKHDJJUHJDWH WKDWUDLVHVXEVWDQWLDOGRXEWDERXWWKH&LW\¶VDELOLW\WRFRQWLQXHDVDJRLQJFRQFHUQIRUDUHDVRQDEOH SHULRGRIWLPH

:HDUHUHTXLUHGWRFRPPXQLFDWHZLWKWKRVHFKDUJHGZLWKJRYHUQDQFHUHJDUGLQJDPRQJRWKHUPDWWHUVWKH SODQQHGVFRSHDQGWLPLQJRIWKHDXGLWVLJQLILFDQWDXGLWILQGLQJVDQGFHUWDLQLQWHUQDOFRQWUROUHODWHGPDWWHUV WKDWZHLGHQWLILHGGXULQJWKHDXGLW
Other Reporting Responsibilities
Required Supplementary Information

$FFRXQWLQJ SULQFLSOHV JHQHUDOO\ DFFHSWHG LQ WKH 8QLWHG 6WDWHV RI $PHULFD UHTXLUH WKDW PDQDJHPHQW¶V GLVFXVVLRQDQGDQDO\VLV
WKHEXGJHWDU\FRPSDULVRQVFKHGXOHVIRU WKH*HQHUDO)XQGDQG6XQGU\*UDQWV DQG +RXVLQJ 6XFFHVVRU $JHQF\ PDMRU VSHFLDO UHYHQXH IXQGV  DQG WKH UHTXLUHG SHQVLRQ DQG RWKHU
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¶VUHVSRQVHVWRRXULQTXLULHV WKH EDVLF ILQDQFLDO VWDWHPHQWV DQG RWKHU NQRZOHGJH ZH REWDLQHG GXULQJ RXU DXGLW RI WKH EDVLF ILQDQFLDO VWDWHPHQWV:HGRQRWH[SUHVVDQRSLQLRQRUSURYLGHDQ\DVVXUDQFHRQWKHLQIRUPDWLRQEHFDXVHWKHOLPLWHG SURFHGXUHVGRQRWSURYLGHXVZLWKVXIILFLHQWHYLGHQFHWRH[SUHVVDQRSLQLRQRUSURYLGHDQ\DVVXUDQFH 2 
7RWKH+RQRUDEOH0D\RUDQG0HPEHUVRIWKH&LW\&RXQFLO &LW\RI&KXOD9LVWD&DOLIRUQLD

Supplementary Information

2XUDXGLWZDVFRQGXFWHGIRUWKHSXUSRVHRIIRUPLQJRSLQLRQVRQWKHILQDQFLDOVWDWHPHQWVWKDWFROOHFWLYHO\ FRPSULVHWKH&LW\¶VEDVLFILQDQFLDOVWDWHPHQWV7KHFRPELQLQJDQGLQGLYLGXDOIXQGILQDQFLDOVWDWHPHQWVDQG VFKHGXOHV
VXSSOHPHQWDU\ LQIRUPDWLRQ
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

Other Information
0DQDJHPHQWLVUHVSRQVLEOHIRUWKHRWKHULQIRUPDWLRQLQFOXGHGLQ WKHDQQXDOUHSRUW7KHRWKHULQIRUPDWLRQ FRPSULVHVWKHLQWURGXFWRU\VHFWLRQDQGVWDWLVWLFDOVHFWLRQEXWGRHVQRWLQFOXGHWKHEDVLFILQDQFLDOVWDWHPHQWV DQG RXU DXGLWRU¶V UHSRUW WKHUHRQ 2XU RSLQLRQV RQ WKH ILQDQFLDO VWDWHPHQWV GRHV QRW FRYHU WKH RWKHU LQIRUPDWLRQDQGZHGRQRWH[SUHVVDQRSLQLRQRUDQ\IRUPRIDV VXUDQFHWKHUHRQ,QFRQQHFWLRQZLWKRXU DXGLWRIWKHILQDQFLDOVWDWHPHQWVRXUUHVSRQVLELOLW\LVWRUHDGWKHRWKHULQIRUPDWLRQDQGFRQVLGHUZKHWKHUD PDWHULDO LQFRQVLVWHQF\ H[LVWV EHWZHHQ WKH RWKHU LQIRUPDWLRQ DQG WKH ILQDQFLDO VWDWHPHQWV RU WKH RWKHU LQIRUPDWLRQRWKHUZLVHDSSHDUVWREHPDWHULDOO\PLVVWDWHG,IE DVHGRQWKHZRUNSHUIRUPHGZHFRQFOXGH WKDWDQXQFRUUHFWHGPDWHULDOPLVVWDWHPHQWRIWKHRWKHULQIRUPDW LRQH[LVWVZHDUHUHTXLUHGWRGHVFULEHLWLQ RXUUHSRUW

2WKHU5HSRUWLQJ5HTXLUHGE\Government Auditing Standards 
,Q DFFRUGDQFH ZLWK Government Auditing Standards ,Z H K D Y H D O V R L V V X H G R X U U H S R U W G D W H G   'HFHPEHURQRXUFRQVLGHUDWLRQRIWKH&LW\¶VLQWHUQDOF RQWURORYHUILQDQFLDOUHSRUWLQJDQGRQRXU WHVWVRILWVFRPSOLDQFHZLWKFHUWDLQSURYLVLRQVRIODZVUHJXODWLRQVFRQWUDFWVDQGJUDQWDJUHHPHQWVDQG RWKHUPDWWHUV7KHSXUSRVHRIWKDWUHSRUWLVVROHO\WRGHVFULEHWKHVFRSHRIRXUWHVWLQJRILQWHUQDOFRQWURO RYHUILQDQFLDOUHSRUWLQJDQGFRPSOLDQFHDQGWKHUHVXOWVRIWKDWWHVWLQJDQGQRWWRSURYLGHDQRSLQLRQRQWKH HIIHFWLYHQHVVRIWKH&LW\¶VLQWHUQDOFRQWURORYHUILQDQFLDOUHSRUWLQJRURQFRPSOLDQFH7KDWUHSRUWLVDQLQWHJUDO SDUWRIDQDXGLWSHUIRUPHGLQDFFRUGDQFHZLWKGovernment Auditing StandardsLQFRQVLGHULQJWKH&LW\¶V LQWHUQDOFRQWURORYHUILQDQFLDOUHSRUWLQJDQGFRPSOLDQFH 
%UHD&DOLIRUQLD
'HFHPEHU

3 






4 CITY OF CHULA VISTA
MANAGEMENT’S DISCUSSION AND ANALYSIS

As management of the City of Chula Vista, we are presenting the readers of this annual financial report a narrative overview and an alysis of the financial activ ities of the City of Chula Vista for the fiscal year ended June 30, 2021 We encourage the readers of this document to consider the information presented here in conjunction with additional infor mation furnished in the letter of transmittal found in the introductory section of this annual report.

FINANCIAL HIGHLIGHTS

The following outlines financial highlights for the year:

1. At June 30, 2021, the assets and deferred outflows of the City exceeded its liabilities and deferred inflows by $1,590.8 million (net position). Total net position consisted of net investment in capital assets of $1,409.4 million, restricted ne t position of $197.3 million, and unrestricted net position of a negative $16.0 million.

2. Total unrestricted net position for governmental activities was $12.1 million higher than the prior fiscal year, an increase of 8.95%, whereas unrestricted n et position for business type activities, was $5.2 million higher than the previous year, a 5.11% increase.

3. The City’s total net position increased by $76.3 million in fis cal year 2021. The net position for governmental activities increased by a net $71.1 million, while the net position for business type activities increased by $5.2 million.

4. The City’s governmental funds reported combined ending fund balances of $318.1 million, an increase of $19.5 million, or 7%.

5. Total citywide liabilities increased by $410.3 million. Liabil ities for governmental activities increased by $352.7 million and business-type activities slightly increased by $57.6 million.

6. The City’s total long-term debt obligations for governmental ac tivities had a net increase of $298.8 million or 170.2% increase dur ing fiscal year 2021. The increase is primarily due to the pension obligation bonds i n the amount of $311.3 million in addition to the new capital leases in the amount of $2.3 million issued during the fiscal year.

7. In February 2021, the City issued approximately $350 million in pension obligation bonds (POBs). The proceeds from the issuance were used to significantly reduce the pension liability known as the unfunded accrued lia bility (UAL) resulting in pens ion cost savings of approximately $116 million. The majority of the pension cost savings are being set aside in an Internal Revenue Code Section 115 pension and bond call trust fund which will help mitigate future increases from pension a nd other post‐employment benefit s costs or provide the City the opportunity to pay off the bonds earlier.

5 OVERVIEW OF FINANCIAL STATEMENTS

This discussion and analysis is intended to serve as an introdu ction to the City’s basic financial statements. The City’s basic financial statements are comprised of three components:
1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements.

This report also contains required supplementary information (RSI) as well as other supplemental financial information.

Government-Wide Financial Statements

The government-wide financial statements are designed to provide readers with a broad overview of the City’s finances, in a manner similar to private-sector b usiness. They are comprised of the Statement of Net Position and Statement of Activities.

The Statement of Net Position presents information on all the City’s assets and deferred outflows, along with liabilities and deferred inflows, with the difference reported as net position. Over time, increases or decreases in net position may serve as a useful in dicator of whether the financial position of the City is improving or deteriorating. This statem ent combines and consolidates governmental funds’ current financial resources with capital assets and long-term obligations.

The Statement of Activities presents information showing how the government’s net position changed during the fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timin g of the related cash flows. Thus, revenues and expenses are reported in this statement for some i tems that will only result in cash flows in future fiscal periods (e.g. uncollected taxes and earned but unused vacation leave).

The government-wide financial st atements have separate sections for three different types of activities. These three types of activities are:

Governmental Activities - The activities in this section are mostly supported by taxes and charges for services. The governmental activities of the City include General Government, Public Safety, Community Development, Public Works, Parks and Recreation and Library.

Business-Type Activities – These functions normally are intended to recover all or a si gnificant portion of their costs through user fees and charges to external customers for goods and services.

The business-type activities of the City include the Sewer Fund , the Sewer Development Impact Fees, the Development Services F und, the Chula Vista Elite Athl ete Training Center Fund, the Transit Fund, the Transport Enterprise Fund, and the Living Coast Discovery Center Fund.

Discretely Presented Component Units - The City of Chula Vista ha s no discretely presented component units to report upon.

6 Fund Financial Statements and Major Component Unit Financial Statements

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

The fund financial statements pro vide detailed information abou t each of the City’s most significant funds, called Major Funds. The concept of Major Funds, and the determination of which are major funds, was established by GASB Statement 34 and repla ces the concept of combining like funds and presenting them in total. Instead, each Major Fu nd is presented individually, with all Non-major Funds summarized and presented in a single column.

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 inform ation may be useful in evaluating a government’s near-term financial capacity.

Because the focus of governmental funds is narrower than that o f the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governme ntal activities in the govern ment-wide financial statements.

By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental fund balance sheet a nd the governmental fund statement of revenues, expenditu res, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and gover nmental activities. These reconciliations are presented on the pages immediately followin g each governmental fund financial statement.

As of Fiscal Year 2020-21, the City maintains numerous governme ntal funds within the adopted budget and its financial system. However, for financial report ing, the funds are summarized as follows for presentation purposes:

Fund Category Major Funds Non‐Major Funds Total
General Fund 1 0 1
Special Revenue 2 14 16
Capital Project 1 9 10
Debt Service 3 2 5
Permanent 0 0 0
Total Presented 7 25 32
7 Each major fund is presented separately in the governmental fun d balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balance. Information for the City’s remaining govern mental funds is combined into a single, aggregated “Other Governmental Funds” column. Individual fund data for each of these non-major governmental funds is provided in the supplementary information portion of the report.

Proprietary Funds – The City maintains two different types of proprietary funds - enterprise funds and internal service funds. Enterprise funds are used to repor t the same functions presented as business-type activities in the government-wide financial state ments. The City uses enterprise funds to account for its sewer, de velopment services, transit, and Chula Vista Elite Athlete Training Center. Internal service funds are used to accumulate and allocate costs internally among the City’s various functions. Th e City uses internal service fu nds to account for its vehicle fleet, information systems, and workers’ compensation program. Because these services predominantly benefit governmental rather than business-type functions, they have been included within governmental activities in the governmental-wide financial statements.

Proprietary funds provide the same type of information as the g overnment-wide financial statements, only in more detail. Like the government-wide financial statements, proprietary fund financial statements use the accrual basis of accounting. There is no reconciliation needed between the government-wide financial stat ements for business-type acti vities and the proprietary fund financial statements.

Fiduciary Funds – Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiducia ry funds are not reflected in the government-wide financial statements because the resources of those funds are not available to support the City’s own programs.

Notes to the Financial Statements

The notes provide additional info rmation that is essential to a full understanding of the data provided in the government-wide and fund financial statements.

Required Supplementary Information

In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning the City’s budgetary results for the general fund and all major special revenue funds with an appropriated b udget. Required supplementary information also includes trend data for the City’s pension pla ns and other postemployment benefits.

Other supplementary information, including combining statements for nonmajor governmental funds, nonmajor proprietary funds , internal service funds, and all agency funds, are presented immediately following the required supplementary information. Budgetary comparison schedules are also included in this section for all nonmajor governmental funds with an appropriated budget.

8 GOVERNMENT-WIDE FINANCIAL ANALYSIS

Net Position

As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. For the City of Chula Vista, total net position (governmental and business- type activities) totaled $1,590.8 million at the close of the fiscal year ending June 30, 2021. This is a net increase of $76.3 million when compared to the prior year. There was an increase in the City’s governmental activities of $71.1 million and an increase in business-type activities of $5.2 million.

A summary schedule follows which shows the components that make up the City’s net position at June 30, 2021 and 2020.

City of Chula Vista
Net Position
Fiscal Year Ending June 30

As the table above illustrates, an amount of $1,409.4 million is reported as invested in capital assets (e.g. land, streets, sewers, buildings, improvements, eq uipment and work in progress), less any related debt used to acquire those assets that are still ou tstanding (“net investment in capital assets”). The City uses these capital assets to provide service s to citizens; con sequently, 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 used to liquidate these liabilities.

2021 2020 2021 2020 2021 2020
Current Assets 439,099,280$       365,985,272$       164,355,202$   141,705,632$   603,454,482$       507,690,904$ Non‐Current Assets 14,578,279            25,883,098            (3,543,883)         (271,207)             11,034,396            25,611,891 Capi tal  Assets 1,251,471,456      1,206,204,465       321,060,921       317,722,714       1,572,532,377      1,523,927,179 Total Assets 1,705,149,015      1,598,072,835       481,872,240       459,157,139       2,187,021,255      2,057,229,974 Deferred outflow of resources 372,492,780         59,792,161            41,901,555        2,977,605          414,394,335         62,769,766 Total Deferred Outflows 372,492,780         59,792,161            41,901,555        2,977,605          414,394,335         62,769,766 Current Liabilities 55,107,750            47,548,825            12,971,432        1,943,844           68,079,182            49,492,669 Non‐Current Liabilities 852,540,821         507,360,494         85,803,878        39,255,525        938,344,699         546,616,019 Total Liabilities 907,648,571         554,909,319         98,775,310        41,199,369        1,006,423,881      596,108,688 Deferred inflows of resources 4,213,867              8,302,878              19,832                1,145,186          4,233,699              9,448,064 Total Deferred Inflows 4,213,867              8,302,878              19,832                1,145,186          4,233,699              9,448,064 Net Posi ti on
Net Inves tment i n Capi tal  As s ets 1,092,307,720      1,048,711,594       317,133,368       317,722,714       1,409,441,088      1,366,434,308 Restricted 196,782,954         181,367,432         565,547              ‐                            197,348,501         181,367,432 Unrestricted (123,311,317)        (135,426,227)        107,279,738       102,067,475       (16,031,579)          (33,358,752) Total Net Position 1,165,779,357$   1,094,652,799 $   424,978,653 $   419,790,189 $   1,590,758,010$   1,514,442,988 $ Governmental Activities Business‐Type Activities Total
9 A portion of the City’s net position is restricted for governmental activities – $197.3 million or

12.4% – and represents resources that are subject to external restrictions on how they may be used.

Restricted net position increased $15.9 million from the prior year mainly due to revenues exceeding program costs for capital related projects, public safety, and community development programs.

Unrestricted net position represents the portion of net positio n that can be used to finance daily operations without constraints e stablished by debt covenants, e nabling legislation, or other legal requirements. The remaining bala nce of unrestricted net positi on – ($16.0) million or (1.01%) – is comprised of ($123.3) million for governmental activities offset by $107.3 million for business- type activities, an increase of $17.3 million from the prior year.

A t t h e e n d o f t h e f i s c a l y e a r , t h e C i t y w a s a b l e t o r e p o r t p o s itive balances for all categories of net position for its business-type activities, ho wever, both the total primary government as well as the governm ental activities column show a negative unrestricted net position as a result of net pension and total OPEB liabilities.

10 Changes in Net Position

The statement of net position provides a snapshot at a given point in time of the assets and liabilities of the City. The other citywide statement provided is the Statement of Activities and Changes in Net Position. This statement provides the reader with information regarding the revenues, expenses and changes in net position over the fiscal year. Generally, all changes to the City’s net position from one fiscal year to the next flow through the Statement of Activities.

City of Chula Vista
Summary of Changes in Net Position
Fiscal Year Ending June 30

2021 2020 2021 2020 2021 2020
Revenues:

Program Revenues:

Charges for Services 44,606,846$                     82,498,211$                   53,304,108$              54,844,065$             97,910,954$                    137,342,276$ Operating Grants & Contributions 25,787,760                       16,656,454                    185,587                     33,893                      25,973,347                     16,690,347 Capital Grants & Contributions 59,987,995                       25,449,043                    2,672,900                  ‐                                 62,660,895                     25,449,043 General Revenues:

Property Taxes 66,864,796                       62,905,983                    ‐                                  ‐                                 66,864,796                     62,905,983 Sales Taxes 92,895,930                       78,964,672                    ‐                                  ‐                                 92,895,930                     78,964,672 Franchise Taxes 13,130,357                       12,619,252                    ‐                                  ‐                                 13,130,357                     12,619,252 Utility User Taxes 3,915,862                         4,064,893                      ‐                                  ‐                                 3,915,862                       4,064,893 Business License Taxes 1,680,475                         1,531,921                      ‐                                  ‐                                 1,680,475                       1,531,921 Transient Occupancy Taxes 5,270,799                         4,522,127                      ‐                                  ‐                                 5,270,799                       4,522,127 Property Transfer Taxes 1,685,405                         1,398,348                      ‐                                  ‐                                 1,685,405                       1,398,348 Construction Taxes 11,554,226                       11,111,352                    ‐                                  ‐                                 11,554,226                     11,111,352 Investment Earnings 4,836,055                         14,062,136                    1,175,687                  5,450,627                6,011,742                       19,512,763 Miscellaneous 13,635,554                       13,897,888                    7,245,994                  380,617                    20,881,548                     14,278,505 Gain (Loss) Disposal of Capital Assets 105,741                             ‐                                       11,425                       1,313                        117,166                           1,313 Total
Revenues 345,957,801$                  329,682,280$                64,595,701$              60,710,515$             410,553,502$                 390,392,795$ Expenses:

General Government 18,121,564$                     33,033,583$                   ‐$                                 ‐$                                18,121,564$                    33,033,583$ Public Safety 131,262,122                     125,991,666                  ‐                                  ‐                                 131,262,122                   125,991,666 Community Development 8,555,836                         11,768,626                    ‐                                  ‐                                 8,555,836                       11,768,626 Public Works 68,218,192                       69,016,705                    ‐                                  ‐                                 68,218,192                     69,016,705 Parks and Recreation 40,789,923                       16,592,077                    ‐                                  ‐                                 40,789,923                     16,592,077 Library 4,505,740                         1,107,068                      ‐                                  ‐                                 4,505,740                       1,107,068 Interest on Long‐Term Debt 8,857,969                         6,027,344                      ‐                                  ‐                                 8,857,969                       6,027,344 Sewer Funds ‐                                          ‐                                       39,808,699               38,523,661              39,808,699                     38,523,661 Transit ‐                                          ‐                                       8,461                         13,923                      8,461                               13,923 Transport Fund ‐                                          ‐                                       3,634,677                  ‐                                 3,634,677                       ‐ Sewer DIFs ‐                                          ‐                                       438,680                     510,789                    438,680                           510,789 Development Services Fund ‐                                          ‐                                       10,165,866               9,644,465                10,165,866                     9,644,465 Living Coast Discovery Ctr ‐                                          ‐                                       101,112                     95,405                      101,112                           95,405 CV Elite Athlete Training Ctr ‐                                          ‐                                        585,009                     691,256                    585,009                           691,256 Total Expenses 280,311,346                     263,537,069                  54,742,504               49,479,499              335,053,850                   313,016,568 Increase/(Decrease) in Net Position Before
Transfers 65,646,455                       66,145,211                      9,853,197                    11,231,016                75,499,652                      77,376,227 Transfers 4,664,733                         4,352,954                      (4,664,733)                (4,352,954)               ‐                                        ‐ Change in Net Position 70,311,188                       70,498,165                    5,188,464                  6,878,062                75,499,652                     77,376,227 Net Position, Beginning of Year ‐ Restated 1,095,468,169                 1,024,154,634              419,790,189             412,912,127            1,515,258,358               1,437,066,761 Net Position, End of Year 1,165,779,357$               1,094,652,799$             424,978,653$            419,790,189$          1,590,758,010$              1,514,442,988$ Governmental Activities Business‐Type Activities Total

11 Further analysis is provided within the governmental and business-type activity sections below.

Governmental Activities

Governmental activities increased the City’s net position by $71.1 million, which partially offsets the City’s negative unrestricted net position due to pension an d OPEB related. The City received a total of $130.4 million in program revenues from governmental activities in fiscal year 2020-21, an increase of $5.8 million from the previous year. A comparis on of the cost of services by function for the City’s governmental activities is shown in the chart below, along with the program revenues used to cover the net expenses of the governmental activities.

Total program revenues from gov ernmental activities were $130.4 million in fiscal year 2020-21. Program revenues are derived directly from the progra m itself or from parties outside the reporting government’s taxpayers or citizenry. They reduce the net cost of the function to be financed from the government’s general revenues. A discussion of the different Program Revenue categories and its components follows.

General
Government Public Safety Community
Development Public Works Parks and
Recreation Library
Expenses $18,121,564 131,262,122 8,555,836 68,218,192 40,789,923 4,505,740 Total Program Revenues $4,791,301 24,687,681 40,758,753 56,510,669 1,576,819 2,057,378 $‐
$20
$40
$60
$80
$100
$120
$140Millions
Expenses and Program Revenues
Governmental Activities
12 Charges for Services had a net decrease of ($37.9) m illion for governmental activit ies when compared to the previous year mainly due to a change in account ing treatment for deferred loans related to community development in fiscal year 2020 that resul ted in a one-time catch up of revenue. Changes by service category in comparison to the prior fiscal year are summarized in the table below.

Charges for Services
As of June 30
Service Category 2021 2020
Increase/
(Decrease)
General Government 3,685,466$                   1,194,045$                   2,491,421$ Public Safety 6,912,095                     8,154,003                     (1,241,908) Community Development 10,780,843                   46,290,223                   (35,509,380) Public Works 20,949,678                   24,140,150                   (3,190,472) Parks and Recreation 1,576,819                     2,066,000                     (489,181) Library 701,945                         653,790                         48,155 Total Charges for Services 44,606,846$           82,498,211 $           (37,891,365)$

Operating Grants and Contributions for governmental activities had a net increase of $9.1 million from the previous fiscal year mainly due to federa l contributions from the CARES Act and the Emergency Rental Assistance Program. Changes by ser vice category in comparison to the prior fiscal year are summarized in the table below.

Operating Grants and Contributions
As of June 30
Service Category 2021 2020
Increase/
(Decrease)
General Government 769,931$                       977,472$                       (207,541)$ Public Safety 17,739,649                   15,284,038                   2,455,611 Community Development  7,190,803                     309,753                         6,881,050 Public Works 2,045                              3,800                              (1,755) Library 85,332                           81,391                           3,941 Total Operating Grants and
Contributions 25,787,760$           16,656,454$           9,131,306$

13 Capital Grants and Contributions for governmental activities had a net increase of $34.5 million from the previous fiscal year mainly due to an increase in donated capital assets related to various development projects throughout the City. Changes by service category in comparison to the prior fiscal year are summarized in the table below.

Capital Grants and Contribution
As of June 30
Service Category 2021 2020
Increase/
(Decrease)
General Government 335,904$                       155,857$                       180,047$ Public Safety 35,937                           14,835                           21,102 Community Development 22,787,107                   11,048,012                   11,739,095 Public Works 35,558,946                   13,190,030                   22,368,916 Library 1,270,101                     1,040,309                     229,792 Total Capital Grants and
Contributions 59,987,995 $           25,449,043 $           34,538,952 $

General Revenues are all other revenues not categorized as program revenues suc h as property taxes, sales taxes and investmen t earnings. Total general reven ues from governmental activities were $214.5 million in fiscal year 2020-21. The largest source of general revenues received during the year for governmental activities were taxes for a total of $197.0 million, which included amounts from Property Taxes for $66.9 million, Sales Taxes for $92.9 million, and Franchise Taxes for $13.1 million. All taxes combined increase d a total of $19.9 million in comparison to the prior year.

The City’s General Revenues increased overall by $10.4 million when compared to the prior fiscal year. While most of the revenue categories increased moderately f r o m l a s t y e a r , t h e r e w e r e significant increases in the collection of sales taxes and prop erty tax. There was a significan t decrease in investment earnings in fiscal year 2020-21. The significant changes in comparison to the prior year are identified in the table below.

General Revenues
As of June 30

2021 2020
Increase/
(Decrease)
Property Taxes 66,864,796$        62,905,983$        3,958,813$ Sales Taxes 92,895,930          78,964,672          13,931,258 Franchise Taxes 13,130,357          12,619,252          511,105 U t ilit y U se r T axe s 3,915,862            4,064,893            (149,031) Busine ss L ice nse  T axe s 1,680,475            1,531,921            148,554 Transient Occupancy Taxes 5,270,799            4,522,127            748,672 Property Transfer Taxes 1,685,405            1,398,348            287,057 Construction Taxes 11,554,226          11,111,352          442,874 Investment Earnings 4,836,055            14,062,136          (9,226,081) Miscellaneous 13,635,554          13,897,888          (262,334) Total General Revenues 215,469,459$     205,078,572$     10,390,887$ 14 The increase in property tax revenue can be attributed mainly t o an increase in total assessed property value combined with a s ignificant decrease county-wide in the total number of foreclosures in comparison to the prior year. The increase in sales tax revenue is largely attributable to the collection of sales taxes related to Measure A to fund staffing and services for public safety.

In addition, there was an increas e in the collection of taxes r elated to transportation as well as in the collection of general sales and use tax related to the economy turning around. Due to a drop in interest rate yields across the board from the recent economic downturn, cash from maturing investments was held in the County of San Diego Investment Pool rather than reinvested in the market. A combination of lower interest rates and a shrinking portfolio caused the annual interest earnings to decrease.

Total governmental activity type expenses were $280.3 million in fiscal year 2020-21. The largest expenses were incurred for Public Safety, Public Works and Park s and Recreation. These three activities combined account for 86% of all general activity exp enses. These expenses do not include capital outlays, which are reflected in the City’s capital assets.

Business Type Activities

Net position for business-type activities was $425.0 million, an increase of $5.2 million from the prior fiscal year. Overall, expenses for the business-type activities showed a $5.3 million increase over the prior fiscal year primari ly related to the new transpo rt program costs in relation to providing emergency services to the residents of Chula Vista. T otal program revenues for business-type activities were $56.2 million and are composed pr imarily of sewer service charges for $42.1 million and development fees for $10.6 million. Total expenses for the business-type activities were $54.7 million and were mainly for expenses rela ted to sewer activity for $39.8 million and for processing development permits and plans for $10.2 million.

General Government
6%
Public Safety
47%
Community
Development
3%
Public Works
24%
Parks and Recreation
15%
Library
2%
Interest on Long‐Term
Debt
3%
Governmental Expenses by Activity
15 FUND LEVEL FINANCIAL ANALYSIS

As noted earlier, the City uses fund accounting to ensure and d emonstrate compliance with finance-related legal requirements.

Governmental Funds

The City uses governmental fund accounting to ensure compliance with budgetary allocations and to maintain control over resour ces that are legally, or otherwi se, restricted for specific purposes.

The following is a discussion of the significant changes for th e City’s major funds as shown on the balance sheet for governmental funds in the basic financial statements.

General Fund – The General Fund is used to a ccount for the general operations of the City. It is used to account for all financial resources, except those requi red to be accounted for in another fund. The General Fund is always reported as a major fund. For the fiscal year, the General Fund reported $216.4 million in revenues and $209.2 million in expenditures. This resulted in revenues over expenditures in the amount of $7.2 million. After accounting for net other financing uses of $1.7 million, the fund balance for the General Fund increased by $5.5 million for the fiscal year.

Current expenditures decreased $12.3 million in comparison to the prior fiscal year with significant increases in general government and public safety. Additional positions for public safety were added this fiscal year funded with Measure A sales tax as well as increased overtime costs due to the deployment of strike teams re lated to fire containment and the overall response from public safety and general government to the COVID-19 pandemic. Capita l outlay decreased by $11.0 million from the prior year with decreased activity acros s various capital improvement projects funded with Measure P and Measure A sales tax and unsp ent bond proceeds. Revenues increased by $14.1 million from the prior year primarily due to increased sales tax from Measure A and Measure P, revenue sources from intergovernmental, and contributions.

Total fund balance at June 30, 2021 was $119.1 million, compose d of $136.7 million in assets offset with $10.7 million in liabilities and $6.9 million in de ferred inflows of resources related to unavailable revenues. Total fund balance included $12.6 million of nonspendable amounts, which represents the portion of fund balance that is not available fo r appropriation. Restricted fund balance totaled $1.0 million in cash restricted for employee fl exible spending account benefits.

Committed fund balance totaled $11.9 million, including $8.6 mi llion committed for economic contingency and $3.3 million committed for a catastrophic event contingency. This portion of fund balance includes amounts that can only be used for specific purposes pursuant to constraints imposed by formal action of the City Council and remains bindin g unless removed in the same manner. Assigned fund balance, totaling $65.3 million, represents the portion of fund balance that includes amounts that are constrained by the government’s intent to be used for specific purposes, but that are neither restricted nor committed. The City Council has delegated its authority to assign fund balance amounts to the City’s Director of Finance. The final component of total fund balance is unassigned fund balance. Unassigned fund balance totaling $28.3 million, represents the portion of fund balance that is available for appropriation for any purpose.

16 Sundry Grants Fund – The Sundry Grants fund is to account for miscellaneous grants s uch as:

Supplemental Law Enforcement Services, California Library Servi ces Act, Public Library Act, Asset Seizure, Local Law Enforcement Block Grants, federal libr ary grants, waste management and recycling, energy conservation, parks and recreation, social service grants, Gayle McCandliss memorial cultural arts, federal assistance, CDBG program income projects, HOME project, and Community Development Block grants.

The Sundry Grants fund had total revenues of $22.8 million and expenditures of $20.5 million, resulting in revenues over expenditures in the amount of $2.3 million. Revenues were $7.4 million more in comparison to the prior fiscal year mainly due to incre ased contributions. The Sundry Grants fund balance increased by $0.2 million for the fi scal year, after accounting for net other financing uses of ($2.1) m illion. Total fund balance at J une 30, 2021 was $8.7 million, composed primarily of restricted fund balance, except for the a mount classified as nonspendable related to prepaid costs.

Housing Successor Agency Fund – The California legislature voted to end redevelopment agencies on February 1, 2012. This fund was created as a result of the dissolution process and was formerly known as the Low and M oderate Income Housing Fund. The City opted to become the Successor Agency to the Redevelopment Agency and to the Low and Moderate Housing Successor.

For the year, this fund had total revenues of $2.3 million composed primarily of interest earnings, property rentals and loan repayments from afford able housing projects. Total fund balance as of June 30, 2021 was $13.1 million, an increase of $0.8 million fr om the prior year. Fund balance is composed of restricted fund balance.

Development Impact Fee Fund – This fund was established as a depository for various development impact fees (DIFs). The fees are levied against all new development in the City in order to pay for the construction or improvement of public facilities as a result of City growth.

Revenues for this fund totaled $13.1 million attr ibutable to bu ilding permit fees for new development. Expenditures totaled $2.9 million, composed prima rily of capital expenditures on Telegraph Canyon Drainage, Trans portation DIF, and the Western Transportation DIF, for a combined total of $2.2 million.

Total fund balance increased by $5.0 million for the year. At J une 30, 2021, fund balance in the amount of $62.4 million was presented as restricted fund balance related to various capital projects for public facilities due to new development.

Proprietary Funds

The City’s Sewer Fund is reported as a major fund on the Statement of Net Position for Proprietary Funds in the basic financial statements.

Sewer Fund– The Sewer fund is used to account for all activities related to providing sewer service to the residents of Chula Vista. Resources for the fund come primarily from sewer service charges paid for by users of the system. For the fiscal year, operating revenues totaled $42.5 million, a decrease of $2.5 million from the pr ior fiscal year. In additio n, non-operating revenues totaled 17 $1.0 million which included interest income. Operating expenses totaled $39.7 million for the fiscal year, with the most significant cost related to the wast ewater treatment by the City of San Diego in the amount of $30.0 million.

After accounting for all revenues and expenses, both operating and non-operating, net position of the fund increased by $3.1 million for the year, totaling $263. 7 million as of June 30, 2021. Of total net position, $120.9 million is designated for sewer syst em infrastructure such as pump stations, sewer lines and other re lated equipment and therefore not available to fund the day-to-day operations of the sewer system. Current assets total $139.2 million, comprised of cash and investments ($131.2 million) and accounts receivable ($8.0 million). Fund liabilities at the end of the fiscal year totaled $28.8 million, of which $1.2 million were considered current liabilities, with the remainder non-current li abilities primarily related to pension costs and other post- employment benefits (OPEB). The fund had $13.2 million of bonded debt. In addition, the fund reported deferred outflows of resources in the amount of $14.4 million and deferred inflows of resources for $6,775 related to pension and OPEB costs.

Sewer Development Impact Fee Fund – This fund was established as a depository for sewer development impact fees. The fees are levied against all new de velopment in the City in order to pay for the construction or improvement of public sewer facilities as a result of City growth.

Operating revenues totaled $0.6 million for the fiscal year. In addition, non-operating revenues and expenses netted together for a total of $0.4 million in exp enses over revenues mainly due to interest expense greater than interest income for the year. Operating expenses totaled $35,541 for the year, comprised mainly of administrative and general costs for operation.

Net position of the fund was a negative $13.7 million primarily due to an interfund loan and was comprised of $4.2 million in assets and $18.0 million in liabil ities (including th e interfund loan from the Sewer Fund). Please refe rence note 6 to the financial statements for additional information on the advances from other funds.

Development Services Fund – This fund accounts for revenues and expenses related to the processing of development plans and permits. The fund is comprised of three divisions, Planning, Building, and Engineering, which provide direct services to property owners, developers, and the C i t y a s r e q u i r e d f o r t h e e n t i t l ement and/or improvement of prop erty. The services provided encompass most development activities, including land use entit lements; public infrastructure, open space, and landscape planning; public infrastructure const ruction, grading and building permits.

Operating revenues totaled $10.7 million and were primarily comprised of permits and fees.

Operating expenses totaled $10.0 million for the year, mostly comprised of personnel service costs.

Nonoperating revenues and expenses were comprised of interest revenue. The sum of all transfers reflects funding to and from other funds for subsidies and overhead expenses.

Net position of the fund was negative $23.8 million for the fis cal year primarily due to liabilities related to pensions. Assets (both current and noncurrent) tota led $13.8 million for the year.

Current liabilities were $12.4 mil lion and noncurrent liabiliti es totaled $52.7 million primarily consisting of liabilities related to pension costs and OPEB. In addition, the fund also reported 18 deferred outflows of resources in the amount of $27.5 million a nd deferred inflows of resources for $13,057 related to pension costs and OPEB.

Chula Vista Elite Athlete Training Center (CVEATC) Fund – This fund was established to account for the CVEATC’s activitie s in partnership with Elite A thlete Services, the CVEATC operator.

Net position decreased by $0.4 million from the prior year mainly due to depreciation expense and administrative costs. This fund’s primary asset consists of th e land and facilities held for the Chula Vista Elite Athlete Training Center in the amount of $196.0 million. Current liabilities totaled $0.5 million. Net posit ion of the fund was $195.6 million primarily due to the facility contribution from the US Olympic Committee in January 2017.

GENERAL FUND BUDGETARY HIGHLIGHTS

The final amended general fund budget totaled $253,898,666 incl uding $17,814,497 in budget amendments to the originally adopted budget, $17,651,138 carrie d forward for capital improvements and encumbrances of $23,623,299 which will fund co ntractual obligations and outstanding purchase orders. Th e budget amendments occurred bec a u s e o f : m o d i f i c a t i o n o f spending specific to Measure A, the City’s half cent sales tax which will fund public safety staffing; Measure P, the City’s half cent sales tax which will fund infrastructure repair/replacement over the next several years; staffing and organizational change s within various City departments; transfers out to other funds; and new supplies and services appropriations approved subsequent to budget adoption; spending in response to COVID-19. The General Funds’ budget amendments of $17,814,497 are summarized as follows:

2020-189 FY2021 Ph 1 Budget Adjustments ($3,919,063)
2020-196 Appropriations (Measure A) $560,868
2020-206 Grant Appropriation (Animal Care Facility) $7,500 2020-274 First Quarter Budget Adjustments $2,334,710
2020-093 Economic Relief Appropriation (Econ) $200,000
2020-242 Appropriations (Measure A) $147,267
2021-040 Second Quarter Budget Adjustments $5,620,389
2020-235 Donation Appropriation (Parks & Recreation) $11,000 2021-041 CIP Appropriation (Engineering) $100,000
2020-043 Appropriations (Measure A) $128,985
2020-204 CARES Appropriations $2,428,564
2020-145 CARES Appropriations $2,669,121
2021-071 Third Quarter Budget Adjustments $1,025,770
2021-159 Grant Appropriation (Parks & Recreation) $13,000 2021-189 FY2021 Year-End Budget Adjustments $6,486,386
TOTAL GENERAL FUND BUDGET AMENDMENTS $17,814,497
19 Revenues - Overall budgeted revenues were $225,424,528 and actuals were $2 28,530,437 resulting in revenues exceeding budget by $2,925,909. The signi ficant General Fund revenue variances were the following:
 Taxes category revenue exceeded budget for a total of $3.2 mill ion. This is primarily due to Sales Tax revenues exceeded budget by $2.3 million because o f increase in sales tax revenues as a result of more online sales. The City is receivin g more revenues due to the Supreme Court decision in the South Dakota vs Wayfair, Inc. cas e, and recent legislative changes by the State increasing the collection of sales and use taxes from out state businesses doing business within the state.
 Intergovernmental revenues were below budget for a total of $1. 0 million. This includes Federal FEMA reimbursement revenues coming in below budget by $ 0.7 million related to COVID-19 related reimbursement s that were not received withi n the fiscal year.

Reimbursement from Other Agencies for the City Jail was below b udget by $0.7 million related to decrease inmate population related to the COVID-19 pandemic. Reimbursement from State Mandated Costs for prior year reimbursements exceeded budget by $0.3 million, and Federal CARES funds exceeded budget by $0.1 million.  Licenses and permits category revenues exceeded budget for a total of $0.3 million related to cannabis compliance inspection fees for newly established cannabis businesses to ensure compliance to the municipal code.
 Fines and forfeitures revenues were below budget for a total of $0.3 million. As a result of the COVID-19 pandemic Library fines was below budget by $0.1 mi llion due to library facility closures and waiving the collection of fines and penal ties. False Alarm Penalty revenues were below budget by $0.1 million due to less activity with more people working from their residences. Vehicles impound fees were below budget by $0.1 million because of less people driving.

Expenditures - Overall budgeted expenditures were $253,898,666 and actuals were $222,813,332 resulting in expenditures under budget by $31,085,334. The sign ificant General Fund revenue variances were the following:
 Capital outlay expenditures were below budget for a total of $26.3 million, which is due to the timing of capital outlay expenditures for multi-year capital projects.  General Fund expenditures were below budget for a total of $4.8 million. Reductions in expenditures were due in part t o fiscally prudent approach unde rtaken by City Departments. Departments limited non-essential spending an d personnel saving through the end of the fiscal year. The Police Department was under budget by $1.8 million, Fire Department was under budget by $1.4 million, and the Library Department was under budget by $0.6 million primarily from reduced expenditures in the personnel and supplies and services categories.

20 CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets

The City’s investment in capital assets for its governmental an d business type activities as of June 30, 2021, amounts to $1,572.5 million, net of accumulated depreciation of $716.1 million.

This investment in capital asse ts includes land, buildings, imp rovements, machinery and equipment, infrastructure and construction in progress. Infrast ructure assets are items that are normally immovable and of value only to the City such as roads, bridges, streets and sidewalks, drainage systems, lighting systems and similar items. The total change to the City’s investment in capital assets for the current fiscal year was an increase of $ 48.6 million, net of accumulated depreciation. Add itional information on the City’s capital assets can be found i n note 7 to the financial statements.

Debt Administration

Long Term Debt - At June 30, 2021, the City had $517.6 million in debt outstanding compared to $175.6 million last year, a net increase of $342.1 million or 194.8%, primarily due to the pension obligation bonds in the amount o f $350.0 million in addition to new capital leases in the amount of $6.8 million, offset by principal repayments of $14.7 millio n. Most of the debt is in the form of the pension obligation bonds, the Lease Revenue Bonds ($71.0 million), and Certificates of Participation ($67.3 million). The remainder of the outstanding long-term debt is in the form of a CDBG Section 108 Loan, unamortized bond premium, notes payable, and capital lease obligations.

The City has no outstanding general obligation debt.

As of June 30, 2021, the City received an AA long-term rating f or its 2021 Taxable Pension Obligation Bonds (POBs). At the same time, it was affirmed that the City maintains its AA- rating by Standard & Poor's for the Chula Vista Public Financing Authority Certificates of Participation and Chula Vista Municipal Financing Authority Lease Revenue Bonds, which represents a stable outlook. Additional information on the City's long-term debt obligations can be found in note 8 of the financial statements.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET

Assessed Valuation and Property Tax

According to the County of San D iego Assessors’ Office, the cit y’s total assessed valuation (both secured and unsecured) for the 2020-21 fiscal year was $33,778,347,204. This is an increase of $1,990,725,229, or 6.26% over the 2019-2020 assessed valuati on. It should be noted that assessed value was set as of January 1, 2021. Actual current secured property tax revenues for the 2020-21 fiscal year totaled $38.2 million, which is $2.1 millio n more than collected in the prior year.

Building Activity

The valuation of all building and related permits totaled $478.8 million for the 2020-21 fiscal year.

This is approximately 81.2% more than the valuation of $264.1 million for these permit categories in the prior fiscal year.
21 Building Permit Valuation 2021 2020 Change $ Change % Residential 328,455,056$ 140,054,504$ 188,400,552$ 134.5% Non-Residential 60,216,359 41,102,408 19,113,951 46.5% Additions & Alterations 89,823,253 82,946,811 6,876,442 8.3% Demolitions 259,932 39,814 220,119 552.9% Total 478,754,600$ 264,143,537$ 214,611,063$ 81.2% As of June 30

The issuance of building permits is a result of several differe nt factors, the largest of which are market based. Permits are not pulled unless there is sufficient demand in the market, or the builders are able to sell the homes for a sufficient price to cover costs and a profit margin. The other factor impacting the issuance of building permits is the development t imeline, and whether the developers have all the necessary approvals in place to move forward with construction.

Local Economy

The San Diego area economy had showed signs of continued improvement over the past few years as indicated with decreased unemployment. However, due to the COVID-19 pandemic beginning in March 2020 and the ensuing economic recession, the unemployment rate had a significant spike in prior year but decreased in fiscal year 2020-2021. Accordin g to the U.S. Bureau of Labor Statistics, the seasonally unadjusted unemployment rate in San Diego County was 7.0 percent rate in June 2021, which is lower than the 13.8 percent rate recorded one year ago in June 2020. The regional unemployment rate for J une 2021 remained slightly lower the state’s rate (7.6%) but slightly higher than the national unemployment rate (5.9%). Th e City’s unemployment rate also decreased from the prior year, 8.1 percent rate in June 2021 in comparison to 15.7 percent rate in June 2020.

The consumer price index for the greater San Diego area showed an increase of 1.6 percent for the calendar year 2020, which is lower than the 2.4 percent rate for calendar year 2019. Consumer price index information for the San Diego area is only released twice each year, June and December. The consumer price index for the first half of calendar year 2020 increased at an annual rate of 1.3 percent, whereas the second half of the year showed a rate increase of 1.7 percent, resulting in the overall total rate for the year of 1.5 percent . For the first half of calendar year 2021, the rate increased at a higher annual rate of 4.1.

In June 2021, the region’s housi ng market reported 1,947 existi ng single-family homes sold. On average, single family homes in the region were on the market for 24 days in June 2021, a decrease of 2 days of market time in comparison to June 2020.

The median price for the region in June 2021 was $780,000, an i ncrease of 18.2% compared to one year ago, when the median price was $660,000.

The table below presents the City’s five zip codes median listi ng price for single family homes comparing data for June 2021 and June 2020. The information wa s obtained from Zillow Inc, a company that tracks and analyzes real estate markets.

22 Data for June 2021 Compared to June 2020
Zip Code Locale 2021 2020 Percent Change
91910 North 687,349$      546,469$      25.8%
91911 South 647,398       509,584       27.0%
91913 Eastlake 748,695       599,937       24.8%
91914 NE 717,098       574,925       24.7%
91915 SE 900,900       731,483       23.2%
Median Price

Fiscal Year 2020-2021 Budget

The City ended the 2020-21 fiscal year with an unassigned fund balance of $25.7 million and a committed fund balance of $17.7 million, including $8.6 million for an Economic Contingency Reserve and $3.3 million for a Catastrophic Events Contingency Reserve within the General Fund.

Assigned fund balance included $14.0 million in Measure P bond proceeds and transaction and use taxes related to capital projects and $48.1 million is related to Measure A and Measure P sales tax.

In May 2021, the Chula Vista City Council adopted the fiscal year 2021-22 budget which provides $472.9 million in appropriations to fund all City activities. T he General Fund budget total is $218.1 million. The City continues to adopt a one-year budget.

The City’s property tax values continue to recover from the lat e 2000’s national mortgage crisis and recession. Based on information received from the San Diego County Assessor, Chula Vista’s projected change in total assessed value for fiscal year 2021-2 2 is 4.21% higher when compared to 2020-21 total assessed values. Management budgeted anticipat ed property tax revenue growth in 2021-22 at 3% greater than 2020-21 budgeted revenue.

REQUESTS FOR INFORMATION

This financial report is designed to provide a general overview of the City’s finances for all of its citizens, taxpayers, customers, i nvestors and creditors. Questions concerning any of the information provided in this report or requests for additional information should be addressed to the City of Chula Vista, Finance Department, 276 Fourth Avenue, Chula Vista, California 91910.

23 






24 BASIC FINANCIAL STATEMENTS
25 






26 GOVERNMENT-WIDE FINANCIAL

STATEMENTS
27 






28 CITY OF CHULA VISTA

STATEMENT OF NET POSITION
JUNE 30, 2021
Governmental Business-Type
Activities Activities Total
ASSETS
Cash and investments 333,017,146$ 149,868,734 $ 482,885,880$ Restricted assets:

Cash and investments 1,899,439 - 1,899,439
Cash with fiscal agent 9,134,957 15,615 9,150,572
Receivables:

Accounts 3,582,087 14,338,686 17,920,773
Taxes 22,786,785 - 22,786,785
Accrued interest 56,015 - 56,015
Deferred loans 58,867,790 - 58,867,790
Due from other governments 10,884,089 9,544 10,893,633
Due from Successor Agency of Chula Vista RDA 9,147,838 - 9,147,838 Internal balances 3,543,883 (3,543,883) -
Prepaid costs 757,530 122,623 880,153
Capital assets not being depreciated 579,475,133 189,454,832 768,929,965 Capital assets, net of depreciation 671,996,323 131,606,089 803,602,412 Total Assets 1,705,149,015 481,872,240 2,187,021,255

DEFERRED OUTFLOWS OF RESOURCES
Pension related 362,418,837 41,258,497 403,677,334
OPEB related 6,148,513 643,058 6,791,571
Deferred charge on refunding 3,925,430 - 3,925,430
Total Deferred Outflows of Resources 372,492,780 41,901,555 414,394,335

LIABILITIES
Accounts payable 12,338,055 820,127 13,158,182
Accrued liabilities 5,006,020 607,416 5,613,436
Retention payable 1,546,906 110,214 1,657,120
Accrued interest payable 3,603,968 310,553 3,914,521
Deposits payable 3,751,602 11,123,122 14,874,724
Unearned revenue 28,861,199 - 28,861,199
Noncurrent liabilities:

Due within one year:

Bonds, notes, and leases 19,719,894 1,586,582 21,306,476 Compensated absences 6,053,286 334,045 6,387,331
Claims and judgments 4,000,000 - 4,000,000
Due in more than one year:

Net pension liability 312,749,485 39,215,709 351,965,194 Total OPEB liability 24,250,991 2,536,353 26,787,344
Bonds, notes, and leases 454,641,398 41,666,791 496,308,189 Compensated absences 4,118,100 464,398 4,582,498
Claims and judgments 27,007,667 - 27,007,667
Total Liabilities 907,648,571 98,775,310 1,006,423,881

DEFERRED INFLOWS OF RESOURCES
Pension related 4,213,867 19,832 4,233,699
Total Deferred Inflows of Resources 4,213,867 19,832 4,233,699

NET POSITION
Net investment in capital assets 1,092,307,720 317,133,368 1,409,441,088 Restricted for:

Community development projects 37,758,734 - 37,758,734
Public safety 6,588,216 - 6,588,216
Parks and recreation 40,453,804 - 40,453,804
Capital projects 110,657,781 565,547 111,223,328
Debt service 144,073 - 144,073
Library 137,376 - 137,376
Flexible spending account 1,042,970 - 1,042,970
Unrestricted (deficit) (123,311,317) 107,279,738 (16,031,579) Total Net Position 1,165,779,357$ 424,978,653$ 1,590,758,010$ Primary Government
The notes to financial statements are an integral part of this statement. 29 CITY OF CHULA VISTA

STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Operating Capital Total
Charges for Contributions Contributions Program
Expenses Services and Grants and Grants Revenues
FUNCTIONS/PROGRAMS:

Primary Government:

Governmental Activities:

General government 18,121,564$ 3,685,466$ 769,931$ 335,904$ 4,791,301$ Public safety 131,262, 122 6,912,095 17,739,649 35,937 24,687,681 Community development 8,555,836 10,780,843 7,190,803 22,787,107 40,758,753 Public works 68,218,192 20,949,678 2,045 35,558,946 56,510,669 Parks and recreation 40,789,923 1,576,819 - - 1,576,819 Library 4,505,740 701,945 85,332 1,270,101 2,057,378
Interest on long-term debt 8,857,969 - - - -
Total Governmental Activities 280,311,346 44,606,846 25,787,760 59,987,995 130,382,601 Business-Type Activities:

Sewer Fund 39,808,699 42,091,953 13,504 2,672,900 44,778,357 Sewer Development Impact Fees 438,680 594,707 - - 594,707 Development Services Fund 10,165,866 10,617,448 165,605 - 10,783,053 CV Elite Athlete Training Ctr 585,009 - - - -
Transit Fund 8,461 - - - -
Transport Enterprise 3,634,677 - 6,478 - 6,478
Living Coast Discovery Center 101,112 - - - -
Total Business-Type Activities 54,742,504 53, 304,108 185,587 2,672, 900 56,162,595 Total Primary Government 335,053,850$ 97,910,954$ 25,973,347$ 62,660,895$ 186,545,196$

GENERAL REVENUES
Taxes:

Property taxes, levied for general purpose
Transient occupancy taxes
Sales taxes
Franchise taxes
Business licenses taxes
Utility users tax
Residential Construction tax
Property transfer tax
Investment earnings
Miscellaneous
Gain on sale of capital asset

TRANSFERS
Total General Revenues and Transfers
Change in Net Position

NET POSITION - BEGINNING
Restatement
Net Position - Beginning, as restated

NET POSITION - ENDING
Program Revenues
The notes to financial statements are an integral part of this statement. 30 Primary Government
Governmental Business-Type
Activities Activities Total
(13,330,263)$ -$ (13,330,263)$ (106,574,441) - (106,574,441)
32,202,917 - 32,202,917
(11,707,523) - (11,707,523)
(39,213,104) - (39,213,104)
(2,448,362) - (2,448,362)
(8,857,969) - (8,857,969)
(149,928,745) - (149,928,745)
- 4,969,658 4,969,658
- 156,027 156,027
- 617,187 617,187
- (585,009) (585,009)
- (8,461) (8,461)
- (3,628,199) (3,628,199)
- (101,112) (101,112)
- 1,420,091 1,420,091
(149,928,745) 1,420,091 (148,508,654)
66,864,796 - 66,864,796
5,270,799 - 5,270,799
92,895,930 - 92,895,930
13,130,357 - 13,130,357
1,680,475 - 1,680,475
3,915,862 - 3,915,862
11,554,226 - 11,554,226
1,685,405 - 1,685,405
4,836,055 1,175,687 6,011,742
13,635,554 7,245,994 20,881,548
105,741 11,425 117,166
4,664,733 (4,664,733) -
220,239,933 3,768,373 224,008,306
70,311,188 5,188,464 75,499,652
1,094,652,799 419,790,189 1,514,442,988
815,370 - 815,370
1,095,468,169 419,790,189 1,515,258,358
1,165,779,357$ 424,978,653 $ 1,590,758,010 $
Net (Expenses) Revenues and Changes in Net Position
The notes to financial statements are an integral part of this statement. 31 






32 FUND FINANCIAL STATEMENTS
33 






34 GOVERNMENTAL FUND FINANCIAL

STATEMENTS
35 CITY OF CHULA VISTA

BALANCE SHEET

GOVERNMENTAL FUNDS
JUNE 30, 2021
Capital
Projects Fund
General
ASSETS
Cash and investments 93,838,641$ 43,049,114 $ 11,717,869$ 63,061,590$ Receivables:

Accounts 3,227,455 - - 102,523
Taxes 21,528,528 160,699 - -
Accrued interest 12,116 17,811 - -
Deferred loans (net of allowance for uncollectibles) - 23,574,087 24,839,904 3,424,165 Due from other governments 1,383,622 6,533,907 - -
Due from other funds 3,135,258 - - -
Due from Successor Agency of Chula Vista RDA 9,095,666 - 52,172 - Prepaid costs 233,970 30,609 - -
Advances to other funds 3,229,393 - - -
Restricted assets:

Cash and investments 1,044,912 26,179 828,348 -
Cash and investments with fiscal agents 181 - - -
Total Assets 136,729,742$ 73,392,406 $ 37,438,293 $ 66,588,278 $

LIABILITIES, DEFERRED INFLOWS

OF RESOURCES, AND FUND BALANCE
Liabilities:

Accounts payable 3,122,411$ 3,846,156 $ 1,215 $ 165,532$ Retentions payable 904,639 31,326 - 17,379
Accrued liabilities 4,522,678 412,808 - -
Deposits payable 2,183,542 - - -
Due to other funds --- -
Unearned revenues - 28,840,035 - -
Total Liabilities 10,733,270 33,130,325 1,215 182,911
Deferred Inflows of Resources:

Unavailable revenues 6,892,220 31,515,375 24,316,895 4,008,105 Total Deferred Inflows of Resources 6,892,220 31,515,375 24,316,89 5 4,008,105 Fund Balances:

Nonspendable:

Prepaid costs 233,970 30,609 - -
Due from Successor Agency of Chula Vista RDA 9,095,666 - - - Advances to other funds 3,229,393 - - -
Restricted:

Community development projects - 3,426,356 13,120,183 - Public safety - 5,138,205 - -
Parks and recreation - 14,160 - -
Capital projects --- 62,397,262
Debt service --- -
Library - 137,376 - -
Flexible spending account 1,042,970 - - -
Committed:

Debt service --- -
Economic contingency 8,617,195 - - -
Catastrophic events contingency 3,287,109 - - -
Assigned:

General government 1, 434,943 - - -
Public safety 467,559 - - -
Parks and recreation 61,625 - - -
Public works 29,125 - - -
Community development 37,950 - - -
Capital projects 14,021,590 - - -
Library 419 - - -
Public liability 1,086,536 - - -
Measure P Sales Tax 19,538,721 - - -
Measure A Sales Tax 28,603,557 - - -
Unassigned 28,315,924 - - -
Total Fund Balances 119,104,252 8,746,706 13,120,183 62,397,262 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 136,729,742$ 73,392,406$ 37,438,293$ 66,588,278$ Special Revenue Funds
Sundry Grants
Housing
Successor Agency
Development
Impact Funds
The notes to financial statements are an integral part of this statement. 36 CITY OF CHULA VISTA

BALANCE SHEET

GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:

Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Due from other funds
Due from Successor Agency of Chula Vista RDA
Prepaid costs
Advances to other funds
Restricted assets:

Cash and investments
Cash and investments with fiscal agents
Total Assets

LIABILITIES, DEFERRED INFLOWS

OF RESOURCES, AND FUND BALANCE
Liabilities:

Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable:

Prepaid costs
Due from Successor Agency of Chula Vista RDA
Advances to other funds
Restricted:

Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Library
Flexible spending account
Committed:

Debt service
Economic contingency
Catastrophic events contingency
Assigned:

General government
Public safety
Parks and recreation
Public works
Community development
Capital projects
Library
Public liability
Measure P Sales Tax
Measure A Sales Tax
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Other Total
Governmental Governmental
Funds Funds
-$ 63$ 2,300$ 110,962,430$ 322,632,007$ - - - 215,714 3,545,692
- - - 1,097,558 22,786,785
- 9,274 - 16,814 56,015
- - - 7,029,634 58,867,790
- - - 2,966,560 10,884,089
---- 3,135,258
---- 9,147,838
474,598 - - 14,051 753,228
---- 3,229,393
---- 1,899,439
6,355 5,330,921 - 3,797,442 9,134,899
480,953$ 5,340,258 $ 2,300$ 126,100,203$ 446,072,433$ -$ 2,300$ 2,300 $ 4,820,813$ 11,960,727$ - - - 593,562 1,546,906
- - - 28,789 4,964,275
- - - 1,568,060 3,751,602
41 - - 2,680,574 2,680,615
- - - 21,164 28,861,199
41 2,300 2,300 9,712,962 53,765,324
- - - 7,450,528 74,183,123
- - - 7,450,528 74,183,123
474,598 - - 14,051 753,228
---- 9,095,666
---- 3,229,393
- - - 21,212,195 37,758,734
- - - 1,450,011 6,588,216
- - - 40,439,644 40,453,804
- - - 48,260,519 110,657,781
- - - 144,073 144,073
---- 137,376
---- 1,042,970
6,314 5,337,958 - - 5,344,272
---- 8,617,195
---- 3,287,109
---- 1,434,943
---- 467,559
---- 61,625
---- 29,125
---- 37,950
---- 14,021,590
---- 419
---- 1,086,536
---- 19,538,721
---- 28,603,557
- - - (2,583,780) 25,732,144
480,912 5,337,958 - 108,936,713 318,123,986
480,953$ 5,340,258 $ 2,300$ 126,100,203$ 446,072,433$ Debt Service Funds
City Debt Service
Public Financing
Authority
Municipal
Financing
Authority
The notes to financial statements are an integral part of this statement. 37 






38 CITY OF CHULA VISTA

RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS

TO THE STATEMENT OF NET POSITION
JUNE 30, 2021
Amounts reported for governmental activities in the statement of net position are different because:

Total fund balances - governmental funds 318,123,986$
1,251,152,257
Deferred outflows - pension related 359,443,080$
Deferred outflows - OPEB related 6,101,745
Deferred inflows - pension related (4,212,444)
Total deferred outflows and inflows related to postemployment benefits 361,332,381 74,183,123
7,340,703
Bonds payable (138,175,000)
Private placement notes (6,616,007)
Pension-related debt (308,476,102)
Leases (6,497,094)
Compensated absences (10,119,260)
Claims (31,007,667)
Net pension liability (309,935,262)
Total OPEB liability (24,066,529)
Accrued interest payable on long-term debt (3,584,537)
Total long-term liabilities (838,477,458)
Deferred amount on refunding 3,925,430
Premium on bonds payable (11,801,065)
Total premiums, discounts, and deferred items (7,875,635) Net Position of Governmental Activities 1,165,779,357$
Capital assets of $1,812,148,837, net of accumulated depreciation of $560,996,580, used in governmental activities are not financial resources and, therefore, are not reported in the funds.

Other long-term assets that are not available to pay for current period expenditures and, therefore, are either deferred or not reported in the funds.

Internal service funds are used by management to charge the cost of fleet management, technology replacement, and workers' compensation to individual funds. The assets, deferred outflows or resources, liabilities, and deferred inflows of resources of the internal service funds are included in governmental activities in the statement of net position.

Long-term liabilities that are not due and payable in the current period, and therefore, are not reported in the funds.

Governmental funds report the effect of premiums, discounts, and refundings and similar items when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities.

Differences between expected and actual experiences, assumption changes, net differences between projected and actual earnings, and contributions subsequent to the measurement date for the postretirement benefits (pension and OPEB) are recognized as deferred outflows of resources and deferred inflows of resources on the statement of net position.

The notes to financial statements are an integral part of this statement. 39 CITY OF CHULA VISTA

STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

GOVERNMENTAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Capital
Projects Fund
General
Revenues:

Taxes 178,559,883$ - $ - $ -$ Licenses and permits 1,985,050 - - -
Intergovernmental 8,675,075 13,557,162 - -
Charges for services 6,724,422 1,757,240 1,044 542,234
Use of money and property 2,183,702 869,587 942,135 (37,257) Fines and forfeitures 857,780 - - -
Contributions 2,299,163 5,380,489 - -
Developer participation 1,559,107 - - 12,610,844
Miscellaneous 14,502,841 1,235,665 1,334,234 -
Total Revenues 217,347,023 22,800,143 2,277,413 13,115,821 Expenditures:

Current:

General government 29,068,982 553,986 - -
Public safety 114,003,738 9,215,609 - -
Community development 6,914,497 9,205,929 1,517,437 656,741 Parks and recreation 10,279,207 - - -
Public works 21,076,291 - - -
Library 2,811,144 20,880 - -
Capital outlay 24,876,665 1,465,354 - 2,221,676
Debt service:

Principal retirement 763,233 - - 63,160
Interest and fiscal charges 134,388 - - -
Total Expenditures 209,928,145 20,461,758 1,517,437 2,941,577 Excess (Deficiency) of Revenues
Over (Under) Expenditures 7,418,878 2,338,385 759,976 10,174,244 Other Financing Sources (Uses):

Transfers in 11,942,223 104,436 - -
Transfers out (13,596,396) (2,242,078) - (5,214,073)
Proceeds from issuance of bonds --- -
Total Other Financing Sources (Uses) (1,654,173) (2,137,642) - (5,214,073) Net Change in Fund Balances 5,764,705 200,743 759,976 4,960,171 Fund Balances - Beginning 112,524,177 8,545,963 12,360,207 57,437,091 Restatements 815,370 - - -
Fund Balances - Beginning, as Restated 113,339,547 8,545,963 12,360,207 57,437,091 Fund Balances - Ending 119,104,252$ 8,746,706$ 13,120,183$ 62,397,262$ Development
Impact Funds
Housing
Successor Agency Sundry Grants
Special Revenue Funds
The notes to financial statements are an integral part of this statement. 40 CITY OF CHULA VISTA

STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

GOVERNMENTAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Contributions
Developer participation
Miscellaneous
Total Revenues
Expenditures:

Current:

General government
Public safety
Community development
Parks and recreation
Public works
Library
Capital outlay
Debt service:

Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Proceeds from issuance of bonds
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances - Beginning
Restatements
Fund Balances - Beginning, as Restated
Fund Balances - Ending
Other Total
Governmental Governmental
Funds Funds
-$ -$ - $ 7, 423,766$ 185,983,649$ - - - 20,873 2,005,923
- - - 15,041,883 37,274,120
- - - 21,968,150 30,993,090
- 21,169 - 856,719 4,836,055
- - - 488,712 1,346,492
---- 7,679,652
- - - 1,785,400 15,955,351
- - 318,146 2,399,877 19,790,763
- 21,169 318,146 49,985,380 305,865,095
51,090,168 20,301 74,776 1,053,319 81,861,532
162,784,730 - - 38,626 286,042,703
- - - 1,158,753 19,453,357
34,078,056 - - - 44,357,263
51,064,151 - - 14,877,614 87,018,056
7,877,694 - - - 10,709,718
- - - 20,945,192 49,508,887
- 3,860,000 7,400,000 1,168,155 13,254,548
1,100,352 2,957,894 3,505,457 263,225 7,961,316
307,995,151 6,838,195 10,980,233 39,504,884 600,167,380 (307,995,151) (6,817,026) (10,662,087) 10,480,496 (294,302,285) - 6,832,996 10,662,387 1,677,720 31,219,762
- - - (5,679,900) (26,732,447)
308,476,104 - - - 308,476,104
308,476,104 6,832,996 10,662,387 (4,002,180) 312,963,419 480,953 15,970 300 6,478,316 18,661,134
(41) 5,321,988 (300) 102,458,397 298,647,482
---- 815,370
(41) 5,321,988 (300) 102,458,397 299,462,852
480,912$ 5, 337,958$ -$ 108,936,713$ 318,123,986$ City Debt
Service
Public Financing
Authority
Municipal
Financing
Authority
Debt Service Funds
The notes to financial statements are an integral part of this statement. 41 CITY OF CHULA VISTA

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,

AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS

TO THE STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Amounts reported for governmental activities in the statement of activities are different because:

Net change in fund balances - total governmental funds 18,661,134$ 14,195,576
Proceeds from issuances of long-term receivables 6,634,642$ Development impact fees (3,827,212)
Miscellaneous revenues 8,299,238
11,106,668
Donation of capital assets 31,152,057
Issuance of pension-related debt (308,476,104)
Leases issued (2,273,805)
Principal paid on bonds payable 11,260,000
Principal paid on private placement notes 1,024,638
Principal paid on leases 965,650
(297,499,621)
1,184,382
Accrued interest on long-term debt (2,029,851)
Amortization of bond premiums and discounts 1,486,612
Amortization of deferred amounts on refunding (324,007) Compensated absences and claims (6,292,498)
Changes in pension liabilities and related deferred outflows and inflows of resources 300,990,593 Changes in OPEB liabilities and related deferred outflows and inflows of resources (2,319,857) 291,510,992
Change in Net Position of Governmental Activities 70,311,188$ Governmental funds report capital outlays as expenditures. However, in the statement of activites, the cost of these assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays exceeded depreciation expense in the current period.

Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds.

The net effect of various miscellaneous transactions involving capital assets (i.e., sales, trade-ins, and donations) is to increase net position.

Bond and other debt proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the Statement of Net Position. Repayment of bond and other debt principal is an expenditure in the governmental funds, but repayment reduces long-term liabilities in the Statement of Net Position. Also, governmental funds report the effect of premiums, discounts, and similar items when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities.

The internal service funds are used by management to charge the costs of fleet management, technology replacement, and workers' compensation to individual funds. The net revenue of certain activities of internal service funds is reported with governmental activities.

Some expenses reported in the statement of activities do not require the use of current financial resources and, therefore, are not reported as expenditures in the governmental funds.

The notes to financial statements are an integral part of this statement. 42 PROPRIETARY FUND FINANCIAL

STATEMENTS
43 CITY OF CHULA VISTA

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2021
ASSETS
Current Assets:

Cash and investments 131,235,515$ 4,205,905 $ 13,550,220 $ -$ Cash with fiscal agent 273 - 526 -
Accounts receivable 7,971,487 - 16,527 93,600
Due from other governments 9,387 - 157 -
Prepaid costs 20,362 - 102,261 -
Total Current Assets 139,237,024 4,205,905 13,669,691 93,600 Noncurrent Assets:

Advances to other funds 18,001,404 - - -
Capital assets:

Land --- 180,677,144
Construction in progress 8,763,248 14,440 - -
Buildings and structures --- 17,027,588
Machinery and equipment 7,763,255 - 185,581 -
Infrastructure 251,035,587 121,387 - -
Less accumulated depreciation (146,689,589) (18,235) (81,411) (1,687,434) Total Noncurrent Assets 138,873,905 117,592 104,170 196,017,298 Total Assets 278,110,929 4,323,497 13,773,861 196,110,898

DEFERRED OUTFLOWS OF RESOURCES
Pension deferrals 14,090,495 - 27,168,002 -
OPEB deferrals 280,607 - 362,451 -
Total Deferred Outflows of Resources 14,371,102 - 27,530,453 -

LIABILITIES
Current Liabilities:

Accounts payable 430,911 5,787 237,766 23,378
Accrued liabilities 181,251 - 236,190 -
Accrued interest 91,974 - 177,341 -
Compensated absences 173,017 - 161,028 -
Retention payable 110,214 - 30,802 -
Deposits payable - - 11,123,122 -
Due to other funds --- 454,643
Bonds, notes, and capital leases 249,528 - 474,243 -
Total Current Liabilities 1,236,895 5,787 12,440,492 478,021 Noncurrent Liabilities:

Accrued compensated absences 76,801 - 387,597 -
Advances from other funds - 18,001,404 - -
Bonds, notes, and capital leases 12,992,378 - 25,044,124 - Net pension liability 13,396,792 - 25,818,917 -
Total OPEB liability 1,106,772 - 1,429,581 -
Total Noncurrent Liabilities 27,572,743 18,001,404 52,680,219 - Total Liabilities 28,809,638 18,007,191 65,120,711 478,021

DEFERRED INFLOWS OF RESOURCES
Pension deferrals 6,775 - 13,057 -
Total Deferred Inflows of Resources 6,775 - 13,057 -

NET POSITION
Net investment in capital assets 120,872,501 117,592 104,170 196,017,298 Restricted for capital projects --- -
Unrestricted 142,793,117 (13,801,286) (23,933,624) (384,421) Total Net Position 263,665,618$ (13,683,694)$ (23,829,454)$ 195,632,877$ Adjustment to report the cumulative internal balance for the net effect of the activity between the internal service funds and the enterprise funds ove r time.

Net Position of Business-Type Activities
Business-Type Activities - Enterprise Funds
Sewer
Development
Impact Fees
Development
Services Fund Sewer Fund
CV Elite Athlete
Training Ctr
The notes to financial statements are an integral part of this statement. 44 CITY OF CHULA VISTA

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2021
ASSETS
Current Assets:

Cash and investments
Cash with fiscal agent
Accounts receivable
Due from other governments
Prepaid costs
Total Current Assets
Noncurrent Assets:

Advances to other funds
Capital assets:

Land
Construction in progress
Buildings and structures
Machinery and equipment
Infrastructure
Less accumulated depreciation
Total Noncurrent Assets
Total Assets

DEFERRED OUTFLOWS OF RESOURCES
Pension deferrals
OPEB deferrals
Total Deferred Outflows of Resources

LIABILITIES
Current Liabilities:

Accounts payable
Accrued liabilities
Accrued interest
Compensated absences
Retention payable
Deposits payable
Due to other funds
Bonds, notes, and capital leases
Total Current Liabilities
Noncurrent Liabilities:

Accrued compensated absences
Advances from other funds
Bonds, notes, and capital leases
Net pension liability
Total OPEB liability
Total Noncurrent Liabilities
Total Liabilities

DEFERRED INFLOWS OF RESOURCES
Pension deferrals
Total Deferred Inflows of Resources

NET POSITION
Net investment in capital assets
Restricted for capital projects
Unrestricted
Total Net Position
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
877,094 $ 149, 868,734$ 10,385,139 $
14,816 15,615 58
6,257,072 14,338,686 36,395
- 9,544 -
- 122,623 4,302
7,148,982 164,355,202 10,425,894
- 18,001,404 -
- 180,677,144 -
- 8,777,688 -
- 17,027,588 -
4,428,554 12,377,390 6,464,254
- 251,156,974 -
(479,194) (148,955,863) (6,145,055)
3,949,360 339,062,325 319,199
11,098,342 503,417,527 10,745,093
- 41,258,497 2,975,757
- 643,058 46,768
- 41,901,555 3,022,525
91,483 789,325 377,328
189,975 607,416 41,745
41,238 310,553 19,431
- 334,045 41,600
- 141,016 -
- 11,123,122 -
- 454,643 -
862,811 1,586,582 51,962
1,185,507 15,346,702 532,066
- 464,398 10,526
3,229,393 21,230,797 -
3,630,289 41,666,791 2,744,062
- 39,215,709 2,814,223
- 2,536,353 184,462
6,859,682 105,114,048 5,753,273
8,045,189 120,460,750 6,285,339
- 19,832 1,423
- 19,832 1,423
21,807 317,133,368 319,199
565,547 565,547 -
2,465,799 107,139,585 7,161,657
3,053,153$ 424,838,500 7,480,856$
140,153
424,978,653$
Business-Type Activities -
Enterprise Funds
The notes to financial sta tements are an integral part of this statement. 45 CITY OF CHULA VISTA

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

PROPRIETARY FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

OPERATING REVENUES
Sales and service charges 42,091,953$ 594,707$ 10,617,448$ -$ Interdepartmental charges --- -
Other 365,672 - 97,517 122,689
Total Operating Revenues 42,457,625 594,707 10,714,965 122,689

OPERATING EXPENSES
Administration and general 29,966,064 32,500 9,926,653 247,863 Source of supply 3,170,741 - - -
Depreciation expense 6,547,934 3,041 37,116 337,146
Total Operating Expenses 39,684,739 35,541 9,963,769 585,009 Operating Income (Loss) 2,772,886 559,166 751,196 (462,320)

NONOPERATING REVENUES (EXPENSES)
Intergovernmental 13,504 - 165,605 -
Interest revenue 1,095,026 8,164 96,096 (6,715)
Interest expense (139,182) (403,139) (268,367) -
Gain (loss) on disposal of capital assets 11,425 - - -
Total Nonoperating Revenues (Expenses) 980,773 (394,975) (6,666) (6,715) Income (Loss) Before Transfers and Capital Contributions 3,753,659 164,191 744,530 (469,035) Transfers in - - 538,892 117,406
Transfers out (3,280,695) - (1,923,650) (31,280)
Capital contributions 2,672,900 - - -
Changes in Net Position 3,145,864 164,191 (640,228) (382,909) NET POSITION - BEGINNING 260,519,754 (13,847,885) (23,189,226) 196,015,786 NET POSITION - ENDING 263,665,618$ (13,683,694)$ (23,829,454)$ 195,632,877$ Adjustment for the net effect of the current year activity between the internal service funds and the enterprise funds
Changes in Net Position of Business-Type Activities
CV Elite Athlete
Training Ctr
Business-Type Activities - Enterprise Funds
Sewer Fund
Sewer
Development
Impact Fees
Development
Services Fund
The notes to financial statements are an integral part of this statement. 46 CITY OF CHULA VISTA

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

PROPRIETARY FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

OPERATING REVENUES
Sales and service charges
Interdepartmental charges
Other
Total Operating Revenues

OPERATING EXPENSES
Administration and general
Source of supply
Depreciation expense
Total Operating Expenses
Operating Income (Loss)

NONOPERATING REVENUES (EXPENSES)
Intergovernmental
Interest revenue
Interest expense
Gain (loss) on disposal of capital assets
Total Nonoperating Revenues (Expenses)
Income (Loss) Before Transfers and Capital Contributions Transfers in
Transfers out
Capital contributions
Changes in Net Position

NET POSITION - BEGINNING

NET POSITION - ENDING
Adjustment for the net effect of the current year activity between the internal service funds and the enterprise funds
Changes in Net Position of Business-Type Activities
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
-$ 53, 304,108$ -$
-- 7,971,773
6,660,116 7,245,994 207,993
6,660,116 60,550,102 8,179,766
3,215,779 43,388,859 7,016,692
- 3,170,741 -
467,158 7,392,395 152,999
3,682,937 53,951,995 7,169,691
2,977,179 6,598,107 1,010,075
6,478 185,587 2,045
(16,884) 1,175,687 -
(61,313) (872,001) (29,405)
- 11,425 105,741
(71,719) 500,698 78,381
2,905,460 7,098,805 1,088,456
101,112 757,410 218,942
(186,518) (5,422,143) (41,524)
- 2,672,900 -
2,820,054 5,106,972 1,265,874
233,099 6,214,982
3,053,153$ 7,480,856 $
81,492
5,188,464$
Business-Type Activities -
Enterprise Funds
The notes to financial statements are an integral part of this statement. 47 CITY OF CHULA VISTA

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021

CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers and users 41,726,848$ 594,707$ 14,612,264$ 102,519$ Cash received from interfund service provided --- -
Cash paid to suppliers for goods and services (28,925,425) (12,186) (37,440) (306,705) Cash paid to employees for services (17,844,038) (18,149) (33,735,416) - Net Cash Provided by (Used for)
Operating Activities (5,042,615) 564,372 (19,160,592) (204,186)

CASH FLOWS FROM NON-CAPITAL

FINANCING ACTIVITIES
Proceeds from issuance of pension bonds 13,228,120 - 25,518,367 - Cash transfers in - - 538,892 117,406
Cash received from interfund borrowings 96,861 - - 124,775 Grant subsidies 18,546 - 184,913
Cash transfers out (3,280,695) - (1,923,650) (31,280)
Interest paid on interfund borrowings - (403,139) - -
Repayment of interfund borrowings - (96,861) - -
Interest paid on pension bonds (47,208) (91,026)
Net Cash Provided by (Used for)
Non-Capital Financing Activities 10,015,624 (500,000) 24,227,496 210,901

CASH FLOWS FROM CAPITAL

AND RELATED FINANCING ACTIVITIES
Proceeds from sales of capital assets 11,425 - - -
Proceeds from capital debt --- -
Acquisition and construction of capital assets (3,662,237) (9,215) - - Principal paid on capital debt (3,459) - - -
Interest paid on capital debt --- -
Net Cash Provided by (Used for)
Capital and Related Financing Activities (3,654,271) (9,215) - -

CASH FLOWS FROM INVESTING ACTIVITIES
Investment earnings 1,095,026 8,164 96,096 (6,715)
Net Cash Provided by (Used for)
Investing Activities 1,095,026 8,164 96,096 (6,715)
Net Increase (Decrease)
in Cash and Cash Equivalents 2,413,764 63,321 5,163,000 - CASH AND CASH EQUIVALENTS - JULY 1 128,822,024 4,142,584 8,387,746 - CASH AND CASH EQUIVALENTS - JUNE 30 131,235,788$ 4,205,905 $ 13,550,746 $ - $ Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments 131,235,515$ 4,205,905 $ 13,550,220 $ -$ Cash with fiscal agent 273 - 526 -
Total Cash and Cash Equivalents reported
on the Statement of Net Position 131,235,788 $ 4,205,905 $ 13,550,746 $ - $ Sewer Fund
Sewer
Development
Impact Fees
Business-Type Activities - Enterprise Funds
Development
Services Fund
CV Elite Athlete
Training Ctr
The notes to financial statements are an integral part of this statement. 48 CITY OF CHULA VISTA

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021

CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers and users
Cash received from interfund service provided
Cash paid to suppliers for goods and services
Cash paid to employees for services
Net Cash Provided by (Used for)
Operating Activities

CASH FLOWS FROM NON-CAPITAL

FINANCING ACTIVITIES
Proceeds from issuance of pension bonds
Cash transfers in
Cash received from interfund borrowings
Grant subsidies
Cash transfers out
Interest paid on interfund borrowings
Repayment of interfund borrowings
Interest paid on pension bonds
Net Cash Provided by (Used for)
Non-Capital Financing Activities

CASH FLOWS FROM CAPITAL

AND RELATED FINANCING ACTIVITIES
Proceeds from sales of capital assets
Proceeds from capital debt
Acquisition and construction of capital assets
Principal paid on capital debt
Interest paid on capital debt
Net Cash Provided by (Used for)
Capital and Related Financing Activities

CASH FLOWS FROM INVESTING ACTIVITIES
Investment earnings
Net Cash Provided by (Used for)
Investing Activities
Net Increase (Decrease)
in Cash and Cash Equivalents
CASH AND CASH EQUIVALENTS - JULY 1
CASH AND CASH EQUIVALENTS - JUNE 30
Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments
Cash with fiscal agent
Total Cash and Cash Equivalents reported
on the Statement of Net Position
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
403,044$ 57,439,382 $ -$
-- 8,202,571
(1,677,052) (30,958,808) (6,228,868)
(1,265,315) (52,862,918) (3,362,317)
(2,539,323) (26,382,344) (1,388,614)
- 38,746,487 2,796,024
101,112 757,410 218,942
3,229,393 3,451,029 -
6,478 209,937 2,045
(186,518) (5,422,143) (41,524)
- (403,139) -
- (96,861) -
(138,234) (9,974)
3,150,465 37,104,486 2,965,513
- 11,425 105,741
4,493,100 4,493,100 -
(4,386,250) (8,057,702) (72,357)
- (3,459) -
(20,075) (20,075) -
86,775 (3,576,711) 33,384
(16,884) 1,175,687 -
(16,884) 1,175,687 -
681,033 8,321,118 1,610,283
210,877 141,563,231 8,774,914
891,910$ 149, 884,349$ 10,385,197 $
877,094$ 149, 868,734$ 10,385,139$
14,816 15,615 58
891,910$ 149,884,349$ 10,385,197 $
Business-Type Activities -
Enterprise Funds
The notes to financial statements are an integral part of this statement. 49 CITY OF CHULA VISTA

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021
Sewer Fund
Sewer
Development
Impact Fees
Business-Type Activities - Enterprise Funds
Development
Services Fund
CV Elite Athlete
Training Ctr
Operating income (loss) 2,772,886$ 559,166 $ 751,196 $ (462,320)$ Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:

Depreciation 6,547,934 3,041 37,116 337,146
(Increase) decrease in accounts receivable (730,777) - (9,734) (20,170) (Increase) decrease in prepaid costs (2,804) - (102,261) - Increase (decrease) in accounts payable (285,037) 2,165 34,019 (58,842) Increase (decrease) in retentions payable 69,016 - 30,802 - Increase (decrease) in accrued liabilities 8,679 - 9,560 - Increase (decrease) in deposits payable - - 3,907,033 - Increase (decrease) in compensated absences (13,148) - (34,195) - Increase (decrease) in net pension liability (13,455,200) - (23,904,813) - Increase (decrease) in total OPEB liability 45,836 - 120,685 - Total Adjustments (7,815,501) 5,206 (19,911,788) 258,134 Net Cash Provided by (Used for)
Operating Activities (5,042,615)$ 564,372$ (19,160,592)$ (204,186)$ Non-Cash Investing, Capital, and Financing Activities:

Donated capital assets 2,672,900$ -$ -$ -$ Unrealized gain/(loss) on investments (1,722,940) (73,575) (3,723) (6,715) The notes to financial statements are an integral part of this statement. 50 CITY OF CHULA VISTA

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021
Operating income (loss)
Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:

Depreciation
(Increase) decrease in accounts receivable
(Increase) decrease in prepaid costs
Increase (decrease) in accounts payable
Increase (decrease) in retentions payable
Increase (decrease) in accrued liabilities
Increase (decrease) in deposits payable
Increase (decrease) in compensated absences
Increase (decrease) in net pension liability
Increase (decrease) in total OPEB liability
Total Adjustments
Net Cash Provided by (Used for)
Operating Activities
Non-Cash Investing, Capital, and Financing Activities:

Donated capital assets
Unrealized gain/(loss) on investments
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
Business-Type Activities -
Enterprise Funds
2,977,179$ 6,598,107 $ 1,010,075$
467,158 7,392,395 152,999
(6,257,072) (7,017,753) 22,805
- (105,065) (4,302)
83,437 (224,258) (12,051)
- 99,818 -
189,975 208,214 12,259
- 3,907,033 -
- (47,343) 512
- (37,360,013) (2,575,730)
- 166,521 4,819
(5,516,502) (32,980,451) (2,398,689)
(2,539,323)$ (26,382,344) $ (1,388,614) $ -$ 2,672,900$ - $
(21,980) (1,828,933) -
The notes to financial statements are an integral part of this statement. 51 CITY OF CHULA VISTA

STATEMENT OF FIDUCIARY NET POSITION

FIDUCIARY FUNDS
JUNE 30, 2021
Custodial
Funds
ASSETS
Cash and cash equivalents 3,142,919$ 12,375,642$ Cash and cash equivalents held with fiscal agents - 34,275,770 Accounts receivable 303,560 -
Taxes receivable - 72,886
Notes and loans receivable 121,769 -
Capital assets, not being depreciated 5,600,080 -
Capital assets, net of accumulated depreciation 845,856 - Total Assets 10,014,184 46,724,298

DEFERRED OUTFLOWS OF RESOURCES
Deferred charge on refunding 1,252,258 -
Total Deferred Outflows of Resources 1, 252,258 -

LIABILITIES
Accounts payable 2,550 26,747
Accrued liabilities 1,328 -
Accrued interest 242,311 2,123,391
Due to other governments 55,141 -
Due to the City of Chula Vista 9,159,926 -
Unearned revenues 121,769 -
Long-term liabilities:

Bonds payable - due in one year 1,840,000 6,400,000
Bonds payable - due in more than one year 24,445,849 138,857,436 Total Liabilities 35,868,874 147,407,574

NET POSITION
Restricted:

Individuals, organizations, and other governments (24,602,432) (100,683,276) Total Net Position (24,602,432)$ (100,683,276) $
Private-Purpose
Trust Fund
Successor Agency
of the Former
Chula Vista RDA
The notes to financial statements are an integral part of this statement. 52 CITY OF CHULA VISTA

STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

FIDUCIARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021

ADDITIONS
Investment Earnings:

Net increase (decrease) in fair value of investments (82,629)$ 1,924$ Interest, dividends, and other 57,472 235,761
Net Investment Earnings (25,157) 237,685
Taxes 2,722,849 -
Special assessments - 12,932,813
Miscellaneous - 1,775,267
Total Additions 2,697,692 14,945,765

DEDUCTIONS
Administrative expenses 236,085 412,951
Contractual services 222,217 12,548,090
Interest expense 852,485 8,450,367
Depreciation expense 47,724 -
Total Deductions 1,358,511 21,411,408
Net Increase (Decrease) in Fiduciary Net Position 1,339,181 (6,465,643) NET POSITION - BEGINNING (25,941,613) -
Restatements - (94,217,633)
Net Position - Beginning, as restated (25,941,613) (94,217,633) NET POSITION - ENDING (24,602,432)$ (100,683,276) $ Custodial Funds
Private-Purpose
Trust Fund
Successor Agency
of the Former
Chula Vista RDA
The notes to financial statements are an integral part of this statement. 53 






54 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021

N O T E D E S C R I P T I O N P A G E

1 Reporting Entity and Summary of Significant Accounting Policies ................................................................. 57

2 Reconciliation of Government-Wide and Fund Financial Statements ............................................................... 68

3 Stewardship, Compliance, and Accountability .................................................................................................. 69

4 Cash and Investments ....................................................................................................................................... 70

5 Receivables ....................................................................................................................................................... 75

6 Interfund Balances and Transactions ................................................................................................................ 79

7 Capital Assets ................................................................................................................................................... 81

8 Long-Term Liabilities ....................................................................................................................................... 83

9 Unearned Revenue ............................................................................................................................................ 93

10 Compensated Absences .................................................................................................................................. 93

11 Self-Insurance Accrued Liabilities ................................................................................................................. 94

12 Pension Plans .................................................................................................................................................. 94

13 Post Retirement Health Benefits ................................................................................................................... 101

14 Commitments and Contingencies ................................................................................................................. 105

55 






56 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies

The basic financial statements o f the City of Chula Vista, Cali fornia (the “City”) have been prepared in conformity with generally accepted accountin g principles of the United Sta tes of America (“U.S. GAAP”) as applied to governmental agencies. The Governmental Accounting Standards Bo ard (“GASB”) is the accepted standard setting body for establishing governmental accounting and financial reporting principles. The more significant of the City’s accounting policies are described below.

A. Reporting Entity

The City, incorporated in 1911, was recognized as a city in the State of California by election in 1949. The City operates under an elected Council and appointed City Manager fo rm of government and provides the following services as authorized by its charter: public safety, community services, engineering services, planning services, public works, general administrative services, and capital improvements.

The financial reporting entity consists of the primary government, the City, and its component units. Component units are legally separate entities for which the elected offic ials of the primary government are financially accountable. In addition, compone nt units can be other organiza tions for which the primary government is accountable, and their exclusion w ould cause the reporting enti ty’s financial statements to be misleading or incomplete.

Blended component units, although legally separate entities, ar e, in substance part of the primary government’s operation and so data from these units are combined with data o f the primary government. Discretely presented component units, on the other hand, are reported in a separate column in the combined f inancial statements to emphasize that they are legally separate from the primary government.

T h e C i t y C o u n c i l a c t s a s t h e g o v e r n i n g b o d y a n d i s a b l e t o i m p ose its will on the following organizations, establishing financial accountability and operational responsibility. As a result, these organizations are considered component units of the City and are included within the financial statements of the City using the blended method.

All component units have a June 30 year-end. The City has no discretely presented component units.

The Chula Vista Industrial Development Authority (the “Development Authority”)

The Development Authority was formed in February 1982 for the p urpose of promoting and developing commercial, industrial, and manufacturing enterprises and encouraging employment. The governing body of the Development Authority is comprised of the members of the City Council. The Development Authority’s financial data and transactions are included within the capital projects fund type. The City does not produce separate financial statements for the Development Authority.

The Chula Vista Public Financing Authority (the “Public Financing Authority”)

The Public Financing Authority was established by resolution, pursuant to the City Charter and Constitution of the State of California, as a public body, to serve the publ ic purposes of the City. The resolution was adopted on April 4, 1995. The Public Financing Authority was e stablished by a joint exercise of powers agreement between the City and t he Redevelopment Agency. The governing body of the Public Financing Authority is comprised of the consenting members of the City Co uncil. The Public Financing Authority is authorized to borrow money for the purpose of financing the acquisition of bonds, notes, and other obligations of, or for the purpose of making loans to the City and/or to refinance outstanding obligations of the City.

The Chula Vista Municipal Financing Authority (the “Municipal Financing Authority”)

The Municipal Financing Authority was established by resolution , pursuant to the City Charter and Constitution of the State of California, as a public body, to s erve the public purposes of the City. The resolution was adopted on June 11, 2013. The Municipal Financi ng Authority was established by a joint exercise of powers agreement be t w e e n t h e C i t y a n d t h e H o u s i n g Authority. The governing body of the 57 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

A. Reporting Entity (Continued)

The Chula Vista Public Financing Authority (the “Public Financing Authority”) (Continued)

Municipal Financing Authority is comprised of the consenting members of the City Council. The Municipal Financing Authority is authorized to borrow money for the purpo se of financing the acquisition of bonds, notes, and other obligations of, or for the purpose of making loans to the City and/or to refinance outstanding obligations of the City.

The Chula Vista Housing Authority (the “Housing Authority”)

The Housing Authority was created by the City of Chula Vista City Council (“City Council”) in March 1993 to centrally coordinate and administer the City’s programs for promoting balanced housing for families of all income levels. It was established pursuant to the State of California Health and Safety Code, Section 34200.

It is empowered to develop, finance and own low-income housing within the territorial limits of the City of Chula Vista. It uses a variety of local, state, and fed eral funding sources to administer and finance these programs. It is also the financing vehicle for the issuance of bonds for housing programs and services.

The Housing Authority’s financial data and transactions are inc luded within the special revenue fund type.

The City does not produce separate financial statements for the Housing Authority.

Fiduciary component units are legally separate entities for whi ch the City has a financial accountability for due to the City Council appointing the majority of the members of the component units’ respective Boards of Directors, and thereby being able to significantly influence and impose the City’s will on the component units’ activities. The assets of these component units are not held in a trust but are held for the benefit of organizations and other governments that are not part of the City; additionally, the assets of these component units are not derived from the City’s provision of goods or ser vices to them. The following entities are considered to be fiduciary component units and are reported as Custodial Funds:

The Chula Vista Bayfront Facilities Financing Authority (the “Bayfront Financing Authority”)

The Bayfront Financing Authority was created as a joint powers agreement between the City of Chula Vista, the County of San Diego, and the San Diego Unified Port District for the purpose of issuing tax exempt debt obligations to finance development of t he Chula Vista Bayfront Master Plan area.

The Bayfront Financing Authority does not issue separate financial statements.

The Bayfront Project Special Tax Financing District (the “Bayfront District”)

The Bayfront District was created as a joint powers agreement b etween the City of Chula Vista and the San Diego Unified Port District for the purpose of financing the acquisition or construction of certain public and private improvement and funding of certain services within the Chula Vista Bayfront Master Plan area.

The Bayfront District does not issue separate financial statements.

B. Basis of Accounting and Measurement Focus

The accounts of the City are organized on the basis of funds, e ach of which is considered a separate accounting entity. The operations of each fund are accounted for by providing a separate set of sel f-balancing accounts that comprise its assets, liabilities, fund equity, revenues and exp enditures, or expenses, as appropriate. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum number of funds is maintained in accordance with legal and managerial requirements.

58 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

B. Basis of Accounting and Measurement Focus (Continued)

Government - Wide Financial Statements

The City’s Government-Wide Finan cial Statements include a State ment of Net Position and a Statement of Activities. These statements present summaries of governmental and business-type activities for the City accompanied by a total column. Fiduciary activities of the City are not included in these statements.

These financial statements are presented on an “economic resources” measurement focus and the accrual basis of accounting. Accordingly, all the City’s assets and deferred out flows as well as liabilities and deferred inflows, with the difference reported as net position are presented in t he accompanying Statement of Net Position. Also presented in this statement are capital assets including infras tructure assets as well as long-term liabilities.

Statement of Activities presents changes in Net Position. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred.

Certain types of transactions are reported as program revenues for the City in three categories:

 Charges for services
 Operating grants and contributions
 Capital grants and contributions

Governmental Fund Financial Statements

Governmental Fund Financial Stat ements include a Balance Sheet and a Statement of Revenues, Expenditures and Changes in Fund Balances for all major governmental funds a nd aggregate non-major governmental funds.

An accompanying schedule is presented to reconcile and explain the differences in total fund balance as presented in these statements to the Net Position presented in the Govern ment-Wide Financial Statements. The City has presented all major funds that met the applicable criteria.

All governmental funds are accounted for on a spending, or "current financial resources" measurement focus and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on the Balance Sheet. The Statement of Revenues, Expenditures and Changes in Fund Balances presents increases (revenues and other financing sources) and decreases (expenditu res and other financing uses) to fund balances.

Under the modified accrual basis of accounting, revenues are recognized in the accounting period in which they become both measurable and available to finance expenditures of the current period.

Revenues become available when received in cash, except for rev enue which is subject to accrual and are recognized when due by the City. Generally, 60 days after year -end for primary revenue sources (i.e., property tax, sales tax, intergovernmental revenues, and other taxes). R evenue recognition for grants is up to one year.

Expenditures are recorded in the accounting period in which the related fund liability is incurred.

Unavailable revenues arise when potential revenues do not meet both the “measurable” and “available” criteria for recognition in the current period. Unearned revenues arise when the government receives cash before it has a legal claim to them, as when grant monies are received prior to incurring qualifying expenditures. In subsequent periods, when both revenue recognition criteria are met or when the government has a legal claim to the resources, unavailable and unearned revenue is removed from the Balance Sheet and recognized as revenue.

The Reconciliation of the Fund Financial Statements to the Government-Wide Financial Statements is provided to explain the differences created by the integrated approach of GASB Statement No. 34. 59 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

B. Basis of Accounting and Measurement Focus (Continued)

Governmental Fund Financial Statements (Continued)

The City reports the following major Governmental Funds:

General Fund – This is the primary operating fund of the City. It is used t o account for all revenues and expenditures that are not required to be accounted for in another fund.

Sundry Grants Special Revenue Fund – This fund consists of miscellaneous grants/revenues such as:

Supplemental law enforcement services, CBAG, California Library Services Act, asset seizure, local law enforcement block grants, California Recreation grants, Public Safety grants, ARRA grants, waste management and recycling, energy conservation, emergency shelte r program, HOME program, CDBG program income project, and Community Development Block grants.

Housing Successor Agency Special Revenue Fund – This fund was established pursuant to Health and Safety Code Section 34176(b)(2) and is used to fund Low- and Mo derate-Income Housing and related expenditures through the collection of property taxes. The Low- and Moderate-Income Housing Successor Fund was created due to the dissolution of the Chula Vista RDA. In accordance with Health and Safety Code Section 34176(b)(2), on February 1, 2013, all rights, powers, assets, liabilities, duties, and obligations of the L o w - a n d M o d e r a t e - I n c o m e H o u s i n g F u n d w e r e t r a n s f e r r e d t o t h e Low- and Moderate-Income Housing Successor Agency special revenue fund.

Development Impact Capital Projects Fund – This fund was established as a depository of various development impact fees. The fees are levied against all new development in the City in order to pay for the construction or improvement of public facilities as a result of City growth.

City Debt Service Debt Service Fund – This fund is used to account for the activities of the City’s bonds (not issued by the Public Financing Authority or Municipal Financing Authority), notes, and capital leases.

Public Financing Authority Debt Service Fund – This fund is used to account for financing the acquisition of bonds, notes and other obligations of, or for the purpose of making loans to the City and / or to refinance outstanding obligations of the City.

Municipal Financing Authority Debt Service Fund – This fund is used to account for the financing or refinancing activities for the acquisition, construction, and improvement of public capital improvements.

Proprietary Fund Financial Statements

Proprietary Fund Financial Statements include a Statement of Ne t Position, a Statement of Revenues, Expenses and Changes in Fund Net Position, and a Statement of Cash Flows for each major Proprietary Fund and aggregate non-major proprietary funds.

A separate column representing internal service funds is also p resented in these statem ents. However, internal service balances and activities have been combined with the gov ernmental activities in the Government-Wide Financial Statements. The City’s internal service funds include three individual funds which provide services directly to other City funds. These areas of service include Fl eet and Vehicle Maintenance, Information Technology Replacement, and Workers Compensation.

Proprietary funds are accounted for using the "economic resources" measurement focus and the accrual basis of accounting. Accordingly, all asse ts and liabilities (whether cu rrent or noncurrent) are included on the Statement of Net Position. The Statement of Revenues, Expenses and Changes i n Fund Net Position presents increases (revenues) and decreases (expenses) in total Net Position. Unde r the accrual basis of accounting, 60 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

B. Basis of Accounting and Measurement Focus (Continued)

Proprietary Fund Financial Statements (Continued)

revenues are recognized in the period in whic h they are earned while expense s are recognized in the period in which the liability is incurred. In these funds, receivables have been recorded as revenue and provisions have been made for uncollectible amounts.

Operating revenues in the proprietary funds are those revenues that are generated from the primary operations of the fund. All other revenues are reported as non-operating revenues. Operating expenses are those expenses that are essential to the primary operations of the fund. All other expenses are reported as non-operating expenses.

The City reports the following major proprietary funds:

Sewer Enterprise Fund – This fund consists of several sub-funds that are used to account for sewer activities:

The Sewer Income Fund is a depository for all monies collected to cover the cost of connecting properties to the City's public sewer system. All monies received may be used only for the acquisition, construction, reconstruction, maintenance, and operation of sanitation or sewerage facilities.

The Trunk Sewer Capital Reserve Fund is used to account for sewerage facility participation fee received from owner or person making application for a permit to develop or modify use of any residential, commercial, industrial, or other property, which increases the volume of flow into the City sewer system.

All monies received shall be used for the enlargement of sewer facilities of the City to enhance efficiency of utilization and/or adequacy of capacity and for planning and/or evaluating any future proposals for area wide sewage treatment and/or water reclamation systems or facilities.

The Sewer Service Revenue Fund is a depository for all monies collected from the monthly sewer service charge. Monies in this fund may be used for construction, maintenance, or operation of sewer.

The Sewer Facility Replacement Fund is a depository for a portion of the revenue derived from the monthly sewer service charge. Monies in this fund shall be used solely for the purpose of refurbishment and/or replacement of sewerage facilities including related eva luation, engineering, and utility modification costs.

Sewer Development Impact Fees Fund – This fund is a depository for sewer development impact fees (DIFs).

Development Services Fund – This fund is a depository for a portion of developer fees and other development related activities.

Chula Vista Elite Athlete Training Center (CVEATC) Fund – This fund is used to account for the CVEATC’s activities in partnership with the CVEATC operator Elite Athlete Services (EAS).

Fiduciary Fund Financial Statements

Fiduciary fund financial statements include a Statement of Net Position and a Statement of Changes in Fiduciary Net Position. The City’s fiduciary funds represent custodial funds and private purpose trust funds.

Fiduciary fund types are accounted for according to the nature of the fund. The City’s custodial funds are used to account for money and property held by the City as trustee or custodian. They are also used to account for various assessment districts for which the City acts as an agent for debt service activities. The City’s private purpose trust fund is a fiduciary fund type used by the City to report assets , liabilities, and activities of the Successor Agency to the Chula Vista Redevelopment Agency. Its results of operati ons are presented on the Statement of Changes of Fiduciary Net Position. Both types of fiduciary funds follow the economic resources basis of accounting similar to proprietary funds.
61 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

B. Basis of Accounting and Measurement Focus (Continued)

Fiduciary Fund Financial Statements (Continued)

The Successor Agency was created by the City of Chul a Vista City Council (City Council) in August 2012.

It was established pursuant to Assembly Bill x1 26. Its purpose is to expeditiously wind down the affairs of the dissolved RDA. The governing body of the Successor Agency is comprised of the members of the Oversight Board selected by the County of San Diego, City of Chula Vista, school, and special districts. The Successor Agency has been included in the accompanying basic fi nancial statements as a private purpose trust fund.

C. Encumbrances

Formal budgetary integration is employed as a management contro l device. Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary integration.

Encumbrances outstanding at year-end do not constitute U.S. GAAP basis expenditures or liabilities because the commitments will be honored during the subsequent year. Therefore, the City has assigned a portion of its fund balance for future encumbrances.

D. Cash, Cash Equivalents, and Investments

The City pools its available cash for investment purposes. The City considers pooled cash and investment amounts, with original maturities of three months or less, to be cash equivalents.

Highly liquid market investments with maturities of one year or less at time of purchase are stated at amortized cost. All other investments are stated at fair value. Market value is used as fair value for those securities for which market quotations are readily available. The City reported its investments at fair value and the unrealized gain on investments amounted to $5,925,993 for the fiscal year ended June 30, 2021.

The statement of cash flows requ ires presentation of “cash and cash equivalents”. For the purposes of the statement of cash flows, the City considers all proprietary fun d pooled cash and investments as “cash and cash equivalents”, as such funds are available to the various funds as needed.

Certain disclosure requirements, if applicable, for Deposits and Investment Risks in the following areas:

 Interest Rate Risk
 Credit Risk
o Overall
o Custodial Credit Risk
o Concentration of Credit Risk
 Foreign Currency Risk

In addition, other disclosures are specified including use of certain methods to present deposits and investments, highly sensitive investments, credit quality at year-end and other disclosures.

E. Inventories and Prepaid items

Inventories are valued on an average-cost basis which are adjus ted to annual physical counts or estimates under the
consumption method of accounting and are recorded in the internal service fund. Prepaid items are items the City has paid in advance and will receive future benefit from. They are recorded under the consumption method in the General Fund, Sundry Grants Special Revenue Fund, Public Financing Authority, Sewer Fund and Development Service Fund.
62 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

F. Restricted Assets

Fiscal agents acting on behalf of the City hold investment fund s arising from the proceeds of long-term debt issuances. The funds may be used for specific capital outlays or for the payment of certain bonds, certificate of participation or tax allocation bonds and have been invested only as permitted by specific State statutes or applicable City ordinance, resolution, or bond inde nture. In addition, the City restricts cash deposits from developers that are refundable.

G. Interfund Transactions

Activity between funds that are r epresentative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either “due to/from other funds” or “advances to/from other funds” (i.e., the current portion of interfund loans). Any residual balances outstanding between the governmental activities and business-type activities are reported in the Governmental-Wide Financial Statements as “internal balances.”

H. Capital Assets

Capital assets are valued at historical cost or estimated histo rical cost if actual historical cost was not available.

Donated capital assets are valued at their acquisition value on the date donated. City policy has set the capitalization threshold for reporting capital assets at $10,00 0 for equipment and $50,000 for infrastructure.

Depreciation is recorded on a straight-line basis over estimated useful lives of the assets as follows:

B u i l d i n g s 5 0 y e a r s
Improvements other than buildings 50 years
M a c h i n e r y a n d e q u i p m e n t 5 - 1 5 y e a r s I n f r a s t r u c t u r e 3 0 - 7 5 y e a r s

The City defines infrastructure as the basic physical assets that allow the City to function. The assets include:

 Street system
 Sewer system
 Site amenities such as parking and landscaped areas used by the City in the conduct of its business

Each major infrastructure system can be divided into subsystems . For example, the street system can be subdivided into pavement, curbs and gutters, sidewalks, medians , streetlights, landscaping, and land. These subsystems were not delineated in the basic financial statements. The appropriate operating department maintains information regarding the subsystems.

Interest accrued during capital assets construction, if any, is capitalized for the business-type funds as part of the asset cost.

For all infrastructure systems, the City elected to use the Basic Approach for infrastructure reporting.

I. Compensated Absences

Government-Wide Financial Statements

For governmental and business-type activities, compensated absences are recorded as expenses and liabilities as incurred.

63 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

I. Compensated Absences

Fund Financial Statements

In governmental funds, compensated absences are recorded as expenditures in the years paid, as it is the City’s policy to liquidate any unpaid compensated absences at June 30 from future resources, rather than currently available financial resources. The General Fund is typically us ed to liquidate compensated absences. In proprietary funds, compensated absences are expensed to the var ious funds in the period they are earned, and such fund’s share of the unpaid liability is recorded as a long-term liability of the fund.

J. Pensions

For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions, and pension expense, information about the fiduciary net positi on of the City’s California Public Employees’ Retirement System (CalPERS) plan (Plan) and additions to/deductions from the Plan’s fiduciary net position have been determined on the same basis as they are reported by CalPE RS. For this purpose, benefit payments (including refunds of employee contributions) are recognized wh en due and payable in accordance with the benefit terms. Investments are reported at fair value. The net pension liability is typically liquidated through the General Fund for the portion reported in governmental activities, and also through the respective enterprise fund in which it is allocated.

K. Other Post-Employment Benefits

For purposes of measuring the total OPEB liability, deferred ou tflows of resources and deferred inflows of resources related to OPEB, and OPEB expense have been determined by an independent actuary. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms. The total OPEB liability is typically liquidated through the General Fund for the portion reported in governmental activities, and also through the respective enterprise fund in which it is allocated.

Generally accepted accounting prin ciples require that the reported results must pertain to liability information within certain defined timeframes. For this report, the following timeframes are used:

Valuation Date June 30, 2019
Measurement Date June 30, 2021
Measurement Period July 1, 2020, to June 30, 2021

L. Long-Term Debt

Government-Wide Financial Statements

Long-term debt and other financial obligations are reported as liabilities in the appropriate funds. Bond premiums and discounts, as well as issuance costs relating to bond insur ance, are deferred, and amortized over the life of the bonds using the effective interest method. Bonds payable ar e reported net of the applicable premium or discount.

Fund Financial Statements

The fund financial statements do not present long-term debt but are shown in the Reconciliation of the Governmental Funds Balance Sheet to the Government-Wide Statement of Net Position. 64 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

M. Deferred Outflows/Inflows of Resources

In addition to assets, the financial statements 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 position that applies to a future period(s) and will not be recognized as an outflow of resources (expense/ expenditure) until then. The City has three items tha t qualify for reporting in this category, which are reported in the government-wide statement of net position.

One item is the deferred charge on refunding reported on the st atement of net position. A deferred charge on refunding results from the difference in the carrying value of refunded debt and its reacquisition price. This amount is deferred and amortized over the shorter of the life of the refunded or refunding debt. The second item is the deferred outflows related to pensions, which represents the City’s pension contributions made subsequent to the measurement date, change of assumptions, difference between expected and actual experience, and the net difference between projected and actual earnings on plan investments. The third item is related to OPEB, which represents the change of assumptions and difference between expected and actual experience.

In addition to liabilities, the financial statements 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 position that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The City has two types of deferred inflows of resources, one of which arises only under a modified accrual basis. Accordingly, the first item, unavailable revenue, is reported only in the governmental funds balance sheet. The governmental funds report unavailable revenues from two sources: taxes and grant receivables. These amounts are deferred and recognized as an inflow of resources i n the period that the amounts become available.

The second item is deferred inflows related to pensions and OPEB reported in the statement of net position. These inflows are the results of changes in assumptions and differenc es between expected and actual experiences, and the net difference between projected and actual earnings on plan investments which are deferred and amortized over the expected average remaining service lifetime.

N. Property Taxes

The County of San Diego, California (County) bills and collects property taxes and remits them to the City according to a payment schedule established by the County. The County’s tax calendar is from July 1 to June 30.

Property taxes attach as a lien on property on January 1. Taxes are levied on July 1, based on the assessed values as of the lien date, and are payable in two installments: November 1 and February 1 of each year. Property taxes become delinquent on December 10, and April 10, for the first and second installments, respectively.

The County is permitted by State law to levy taxes at 1% of ful l market value (at time of purchase) and can increase the property tax rate no more than 2% per year or the current CPI, whichever is less. The City receives a share of this basic tax levy proportionate to what it received during the years 1980-1981.

Property tax revenue is recognized in the fiscal year for which the taxes have been levied, provided the taxes are received within 90 days after the end of the fiscal year. Property taxes received after this date are not considered available as a resource that can be used to finance the current year operations of the City and, therefore, are not recorded as revenue until collected.

No allowance for doubtful accounts was considered necessary.

O. Public Facilities Financing

Int
erest costs incurred from the date of borrowing to the completion of the improvement project(s) are capitalized, net of interest earnings, on all proprietary fund assets acquired with tax-exempt debt. 65 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

P. Net Position

In governmental-wide and proprietary fund financial statements, Net Position are categorized as follows:

Net Investment in Capital Assets – This component of net position consists of capital assets, ne t of accumulated depreciation, reduced by the outstanding balances of debt that are attributable to the acquisition, construction, or improvement of those assets.

Restricted – This component of net position consists of restricted assets reduced by liabilities and deferred inflows of resources related to those assets.

Unrestricted – This component of net position is the amount of the assets, d eferred outflows of resources, liabilities, and deferred inflows of resources that are not inc luded in the determination of net investment in capital assets or the restricted component of net position.

When expenses are incurred for purposes for which both restrict ed and unrestricted Net Position are available, the City’s policy is to apply restricted Net Position first, then unrestricted Net Position as they are needed.

Q. Fund Balances

In governmental fund financial statements, fund balances are categorized as follows:

Nonspendable – Items that cannot be spent because they are not in spendable form, such as prepaid items and inventories, and items that are legally or contractually required to be maintained intact, such as principal of an endowment or revolving loan funds.

Restricted – Restricted fund balances encompass the portion of net fund re sources subject to externally enforceable legal restrictions. This includes externally imposed restrictions by creditors, such as through debt covenants, grantors, contributors, laws, or regulations of other governments, as well as restrictions imposed by law through constitutional provisions or enabling legislation.

Committed – Committed fund balances encompass the portion of net fund res ources, the use of which is constrained by limitations that the City imposes upon itself at its highest level of decision making, normally the governing body, and that remain binding unless removed in t he same manner. The City Council is considered the highest authority for the City that can, by adop tion of an ordinance prior to the end of the fiscal year, commit fund balan ce. Once adopted, the limitation imposed by the ordinance remains in place until a similar action is taken (the adoption of another ordinance) to remove or revise the limitation.

Assigned – Assigned fund balances encompass the portion of net fund resources reflecting the government’s intended use of resources. Assignment of resources can be done by the highest level of decision making or by a committee or official designated for that purpose. City Council has by resolution, authorized the Director of Finance to assign fund balances. City Council may also assign fund balance as it does when appropriating fund balance to cover a gap between estimated revenue and appro priations in the subsequent year’s appropriated budget. Unlik e commitments, assignments gen erally only exist temporarily. In other words, an additional action does not normally have to be taken for the removal of an assignment. Conversely, as discussed above, an additional action is essential to either remove or revise a commitment.

Unassigned – This amount is for any portion of the fund balances that do n ot fall into one of the above categories. This classification includes the residual fund balance for the General Fund. It also includes the negative residual balance for any other governmental fund that cannot be eliminated by offsetting assigned fund balance amounts.
66 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

Q. Fund Balances (Continued)

Sometimes the City will fund outlays for a particular purpose from both restricted and unrestricted resources (the total of committed, assigned, and unassigned fund balance) . In order to calculate the amounts to report as restricted, committed, assigned, and unassigned fund balance in the governmental fund financial statements a flow assumption must be made about the order in which the resources are considered to be applied. It is the City’s policy to consider restricted fund ba lance to have been depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is deplete d first, followed by assigned fund balance.

Unassigned fund balance is applied last.

R. Spending and Reserve Policy

Government-Wide Financial Statements and the Proprietary Fund Financial Statements

When an expense is incurred for purposes for which both restric ted and unrestricted Net Position are available, the City’s policy is to apply restricted Net Position first.

Governmental Fund Financial Statements

When expenditures are incurred for purposes where only unrestricted fund balances are available, the City uses the unrestricted resources in the following order: committed, assigned, and unassigned.

In November 2020, the City Council adopted a resolution adoptin g the Pension & OPEB (Other Pension Employment Benefits) Reserve Fund Policy, and amending the General Fund Reserve Policy to include the allocation methodology to the General Fund reserve categories: General Fund Operating Reserve, Economic Contingency Reserve, and Catastrophic Event Reserves.

 The General Fund Operating Reserv e represents unrestricted reso urces available for appropriation by the City Council to address extraordinary needs of an emergency nat ure of annual General Fund budgeted expenditures (excluding Measure A and P Sales taxes).
 The Economic Contingency Committe d Balance represents monies se t aside to mitigate service impacts during a significant downturn in the economy which impacts City revenues such as sales tax, property tax, business license tax, etc. funded at minimum of 5% of the Gener al Fund of annual General Fund budgeted expenditures (excluding Measure A and P Sales taxes).
 The Catastrophic Event Reserves are monies set aside to fund unanticipated expenditures related to a major disaster in the City and are associated with the City’s Disaste r Preparedness Program funded at 3% of the General Fund of annual General Fund budgeted expenditures (excluding Measure A and P Sales taxes).

The Pension & OPEB Reserve Fund Policy (PRF) established an Irr evocable Section 115 Trust where all PRF contributions will be made to cover the following: repayment of future CalPERS unfunded liabilities in part or whole; establishment of an OPEB reserve fund; to pay off any ou tstanding Pension Obligation Bonds; and any other unanticipated pension related costs or charges. Upon meeting the 15% General Fund Operating Reserves 75% of all future surplus funds shall be transferred to the PRF w h i l e t h e r e m a i n i n g 2 5 % i s a l l o c a t e d t o t h e Economic Contingency Reserves and Catastrophic Event reserves in accordance with the General Fund Reserve Policy. In the event all three General Fund reserve accounts are fully funded at the stated policy percentage, 100% of surplus funds will be transferred to the PRF until it reaches 15% of annual General Fund budgeted expenditures (excluding Measure A and P Sales taxes).

S. Use of Estimates

The preparation of basic financial statements in conformity wit h U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts and disclosures. Actual results could differ from these estimates and assumptions.
67 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)

T. Changes in Accounting Principles and New GASB Pronouncements

The City implemented Government Accounting Standards Board (GASB) Statement No. 84, Fiduciary Activities during fiscal year 2020-21. The requirements of this Statement will enhance consistency and comparability by (1) establishing specific criteria for identifying activities that should be reported as fiduciary activities and (2) clarifying whether and how business-type activities should report their fiduciary activities. Greater consistency and comparability enhance the value provided by the information reported in financial statements for assessing government accountability and stewardship. The change in accoun ting principle resulted in a prior period adjustment in the amount of ($94,217,633) being reported for the custodial funds in the Statement of Changes in Fiduciary Net Position; and a prior period adjustment in the amount of $815,370 being reported for governmental activities in the Statement of Activities and General Fund in t he Statement of Revenues, Expenditures, and Changes in Fund Balance, respectively.

The City early adopted GASB Statement No. 98, the Annual Comprehensive Financial Report, which establishes the term annual comprehensive financial report and its acronym ACFR. The new term and acronym replace instances of comprehensive annual financial report and its acronym in generally accepted accounting principles for state and local governments. This statement was developed in response to concerns raised by stakeholders that the common pronunciation of the acronym for comprehensive annua l financial report sounds like a profoundly objectionable racial slur. This Statement’s introduction of the new term is founded on a commitment to promoting inclusiveness.

Note 2 – Reconciliation of Government-Wide and Fund Financial Statements

A. Explanation of Certain Differences Between the Governmental Fun d Balance Sheet and the Government-Wide Statement of Net Position

The governmental fund balance sheet includes a reconciliation between fund balance – total governmental funds and net position – governmental activities as reported in the government-wide statement of net position. One element of that reconciliation explains that “other long-term assets that are not available to pay for current period expenditures and, therefore, are either labeled unavailable or not reported in the funds.” The details of this $74,183,123 are as follows:

Long-term receivables 58,867,790$
Developm ent im pact fees 583,940
Miscellaneous revenues 14,731,393
Total other long-term assets 74,183,123$

B. Explanation of Certain Differences Between the Governmental Fun d Statement of Revenues, Expenditures, and Changes in Fund Balances and the Government-Wide Statement of Activities

The governmental fund statement of revenues, expenditures, and changes in fund balances includes a reconciliation between net changes in fund balances – total governmental funds and change in net position of governmental activities as reported in the government-wide statement of activities. On e element of that reconciliation explains that “governmental funds report capital outlays as expenditures. However, in the statement of activities the cost of these assets is allocated over their estimated useful lives and r eported as depreciation expense in the current period.” The details of this $14,195,576 difference are as follows:

Capital outlay $ 47,066,276
Depreciation expense (32,870,700)
Total other long-term assets $ 14,195,576

68 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 2 – Reconciliation of Government-Wide and Fund Financial Statements (Continued)

C. Explanation of Certain Difference s Between the Proprietary Fund Statement of Net Position and the Government-Wide Statement of Net Position

The proprietary fund statement of net position includes a recon ciliation between net position – total enterprise funds and net position of business-type activities as reported in the government-wide statement of net position.

The description of the sole element of that reconciliation is “adjustment to report the cumulative internal balance for the net effect of the activity between the internal service funds and the enterprise funds over time.” The details of the $159,583 difference are as follows:

Internal receivable representing charges in ex cess of cost to business-type activities - prior years 58,661 $
Internal receivable representing charges in ex cess of cost to business-type activities - current year 81,492
Net adjustm ent to increase net position - total enterprise funds to arrive at net position - business-type activities 140,153 $

Note 3 – Stewardship, Compliance, and Accountability

A. Deficit Fund Equity

At June 30, 2021, the Sewer Development Impact Fees Fund and th e Development Services Fund, both major proprietary funds, reported deficits in net position in the amounts of $13,683,694 and $23,765,658, respectively.

The reason for the deficit in the Sewer Development Impact Fees Fund is the long-term advance payable in the amount of $18,001,404 to the General Fund discussed in Note 8. The deficit is expected to be eliminated in future years, as repayments to the General Fund are made on the advance. The reason for the deficit in the Development Services Fund is the allocation of the Fund’s share of the 2021 Pension Obligation Bonds issued during the fiscal year in the amount of $25,454,571. Due to timing differences be tween the measurement date of the CalPERS pension liability and the reporting date, the proceeds from the bond were not recognized as a reduction to the net pension liability for the Fund. The deficit is expected to be eliminated in the next fiscal year, as the proceeds from the Pension Obligation Bonds are recognized by CalPERS as a reduction to the net pension liability.

At June 30, 2021, the following non-major funds had deficit fund equity:

Fund Type Funds Deficit
Special Revenue Transportation Sales Tax 1,592,850$
Capital Projects Residential Construction Tax 583,604
Capital Projects Bicycle Facility 4,460
Capital Projects Other Transportation Program Fund 402,866

Transportation Sales Tax – The Transportation Sales Tax Fund had an accumulated deficit of $1,592,850 due to the timing of the collection of tax revenues compared to disbursements. The City expects to eliminate this deficit through future revenues.

Residential Construction Tax – The Residential Construction Tax Fund had an accumulated def icit of $583,604 due to non-reimbursable expenditures that were incurred. The City does not expect to eliminate the deficit.

Bicycle Facility – The Bicycle Facility Fund had an accumulated deficit of $4,4 60 due to non-reimbursable expenditures that were incurred. The City does not expect to eliminate the deficit. 69 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 3 – Stewardship, Compliance, and Accountability (Continued)

A. Deficit Fund Equity (Continued)

Other Transportation Program – The Other Transportation Program Fund had an accumulated deficit of $402,866 due to non-reimbursable expenditures that were incurred. The City does not expect to eliminate the deficit.

B. Violations of Legal or Contractual Provisions

Note 1 to Required Supplementary Information describes budgetar y violations that occurred for the fiscal year ended June 30, 2021.

Note 4 – Cash and Investments

The following is a summary of pooled cash and investments, incl uding cash and investments with fiscal agents at June 30, 2021.

Fiduciary Funds
Governmental
Activities
Business-Type
Activities Total
Statement of Net
Position Total
Cash and investments 333,017,146 $ 149,868,734 $ 482,885,880$ 15,518,561 $ 498,404,441 $ Restricted cash and investments:

Held by City 1,899,439 - 1, 899,439 - 1, 899,439 Held by fiscal agents 9,134,957 15,615 9,150,572 34,275,770 43,426,342 Total restricted cash and investments 11,034,396 15,615 11,050,011 34,275,770 45,325,781 Total cash and investments 344,051,542$ 149,884,349$ 493,935,891$ 49,794,331$ 543,730,222$ Government-Wide Statement of Net Position

Cash, cash equivalents and investments consisted of the following at June 30, 2021:

Petty cash 10,144$
Deposits with financial institution 32,141,721
Investments 468,152,015
Investm ents held by fiscal agents 43,426,342
Total cash and inv estments 543,730,222$

A. Deposits

The carrying amount of the City’s cash deposits were $32,141,72 1 at June 30, 2021. Bank balances before reconciling items were $31,582,036 at that date, the total amou nt of which was insured or collateralized with securities held by the pledging financial institutions in the City’s name as discussed below.

The California Government Code requires California banks and savings and loan associations to secure the City’s cash deposits by pledging securities as collateral. This Code s tates that collateral pledged in this manner shall have the effect of perfecting a security interest in such colla teral superior to those of a general creditor. Thus, collateral for cash deposits is considered to be held in the Ci ty's name. The market value of pledged securities must equal at least 110% of the City's cash deposits. California law also allows institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 1 50% of the City’s total cash deposits. The City may waive collateral requirement s for cash deposits, which are fully insured up to $250,000 by the Federal Deposit Insurance Corporation. The City, however, has not waived the collateralization requirements. 70 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 4 – Cash and Investments (Continued)

A. Deposits (Continued)

The City follows the practice of pooling cash and investments o f all funds, except for funds required to be held by fiscal agents under the provisions of bond indentures. Interest income earned on pooled cash and investments is allocated on an accounting peri od basis to the various funds based on the period-end cash and investment balances. Interest income from cash and investments with fiscal agents is credited directly to the related fund.

B. Investments

As of June 30, 2021, the City had the following investments and maturities:

Investment Type Fair V alue 1 year or few er 1 - 2 years 2 - 3 years 3 - 4 years 4 - 5 years LAIF 28,745,623 28,745,623$ -$ -$ -$ -$ Time Deposits 310,000 310,000 - - - - S an Diego County Investment Fund 192,486,121 192,486,121 - - - - Federal Agency Bonds 27,848,654 10,575,765 6,175,380 2,793,419 8,304,090 - Municipal Bonds 59,183,232 9,662,954 18,930,937 10,473,375 13,528,729 6,587,237 S upranationals 5,094,150 - 5,094,150 - - - Asset-Backed S ecurities 4,899,614 - 130,810 3,561,946 1,206,858 - Medium-Term Corporate Notes 99,659,857 24,644,128 48,114,090 22,831,640 4,069,999 - Certificates of Deposit 38,286,050 9,276,313 7,638,623 10,086,665 11,284,449 - Placement Service Deposits 4,145,563 4,145,563 - - - - Money Market Funds 7,493,151 7,493,151 - - - - Held by bond trustee:

Mutual Funds 43,426,342 - - - - - Total 511,578,357$ 287,339,618$ 86,083,990$ 49,747,045$ 38,394,125$ 6,587,237$ Investment Maturities

Investments Authorized by the California Government Code and the City’s Investment Policy

The table below identifies the in vestment types that are author ized for the City by the California Government Code (or the City’s investment policy, wh ere more restrictive). The table also identifies certain provisions of the California Government Code (or the Ci ty’s investment policy, where more restrictive) that address interest rate risk, credit risk, and concentration of credit risk. This table does not address investments of debt proceeds held by bond trustee that are governed by the provisions of debt agreements of the City, rather than the general provisions of the California Government Code or the City’s investment policy. 71 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 4 – Cash and Investments (Continued)

B. Investments (Continued)

Investments Authorized by the California Government Code and the City’s Investment Policy (Continued)

Authorized Inv estment Type
Maximum
Maturity
Maximum
Percentage of
Portfolio*
Maximum
Inves tment i n One
Is s uer
Bankers' Acceptance 180 days 40% 30%
Negotiable Certificates of Deposits 5 years 30% None
Commercial Paper 270 days 25% 10%
State and Local Agency Bond Issues 5 years None None
U.S. Treasury Obligations 5 years None None
U.S. Agency Securities 5 years None None
Repurchase Agreement 1 year None None
Reverse-Purchase Agreements 92 days 20% None
Medium-Term Corporate Notes 5 years 30% 10%
Time Certificates of Deposits 5 years None None
Money Market Funds N/A 20% 10%
San Diego County Treasurer's Pooled Money Fund N/A None None Local Agency Investment Fund (LAIF) N/A None $75 Million** Shares of Beneficial Interest issued by a JPA N/A None None Asset Backed Securities 5 years 20% None
Supranationals 5 years 30% None
Placement Service Deposits 5 years 30% None
* Ex cluding amounts held by bond trustee that are not subject t o California Government ** Maximum is $75 million per account

Investments Authorized by Debt Agreements

Investments of debt proceeds held by bond trustee are governed by provisions of the debt agreement rather than the general provisions of the California Government Code or the City’s investment policy. The table below identifies certain provisions of these debt agreements that address interest rate risk, credit risk, and concentration of credit risk.

Authorized Investment T ype
Maximum
Maturi ty
Maxi mum
Percentage of
Portfolio
Maximum
Inv estment in
One I ssuer
U.S Treasury Obligations None None None
Federal Home Loan Mortgage Corporation None None None
Farm Credit Banks None None None
Federal Home Loan Banks None None None
Federal National Mortgage Association None None None
S tudent Loan Marketing Association None None None
Financing Corporation None None None
Resolution Funding Corporation None None None
Certificates of Deposits, Time Deposits and Bankers' Acceptance 180 or 365 days None None Commercial Paper 270 days None None
Money Market Funds None None None
S tate Obligations None None None
Municipal Obligations None None None
Repurchase Agreements None None None
Investment Agreements None None None
Local Agency Investment Fund (LAIF) None None None
72 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 4 – Cash and Investments (Continued)

C. Risks Disclosures

Interest Rate Risk

As a means of limiting its exposure to fair value losses arising from rising interest rates, the City’s investment policy provides that final maturities of securities cannot exce ed five years. Specific maturities of investments depend on liquidity needs. At June 30, 2021, the City’s pooled cash and investments had the following maturities:

Maturity
Percentage of
Investment
Less than one year 61.4%
1 - 2 years 18.4%
2 - 3 years 10.6%
3 - 4 years 8.2%
4 - 5 years 1.4%

The weighted average maturity of the portfolio was 1.7 years.

Credit Risk

Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. To be eligible to receive City money, a bank, savings association, federal association, or federally insured industrial loan company shall have received an overall rating of not less than "satisfactory" in its most recent evaluation by the appropriate federal financial supervisory agency of its record of meeting the credit needs of California's communities, including low-and moderate-income neighborhoods.

The City’s investments are rated by the nationally recognized statistical rating organizations as follows:

Investm ent Type Fair V alue Moody's
Standard &
Poor's
LAIF 28,745,623$ Not Rated Not Rated
Time Deposits 310,000 Not Rated Not Rated San Diego County Investment Pool 192,486,121 Not Rated Not Rated Federal Agency Bonds 27,848,654 Exempt Exempt
Municipal Bonds 59,183,232 A1 to Aa1 A to AA+
Supranationals 5,094,150 Aaa AAA
Asset-Backed Securities 4,899,614 Aaa AAA
Medium-Term Corporate Notes 99,659,857 A3 to Aaa BBB+ to AAA Certificates of Deposit 38,286,050 Not Rated Not Rated Placement Service Deposits 4,145,563 Not Rated Not Rated Money Market Fund 7,493,151 Not Rated Not Rated Mutual Funds 43,426,342 Not Rated Not Rated
511,578,357$

Custodial Credit Risk

Custodial credit risk is the risk that, in the event of the failure of the counter party, the City will not be able to recover the value of its investments or collateral securities t hat are in the possession of an outside party. All securities, with the exception of LAIF and other pooled investm ents, are held by a third-party custodian (BNY Western Trust). BNY is a registered member of the Federal Reserve Bank.

73 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 4 – Cash and Investments (Continued)

C. Risks Disclosures (Continued)

Concentration of Credit Risk

The City’s investment policy contains limitations on the amount that can be invested in any one issuer, in accordance with the limitations stipulated by the California Go vernment Code. For the fiscal year ended June 30, 2021, the City had no investments in any one issuer that exceeded percentage of portfolio limitations set forth by either the City’s investment policy or the California Government Code.

D. Investments in Local Agency Investment

The City is a participant in LAIF which is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California.

As of June 30, 2021, the City had $28,745,623 invested in LAIF. LAIF determines fair value on its investment portfolio based on market quotations for those securities where market quotations are readily available and based on amortized cost or best estimate for those securities where market value is not readily available. The City valued its investments in LAIF as of June 30, 2021, by mult74iplying i ts account balance with LAIF times a fair value factor determined by LAIF. This fair value factor was determine d by dividing all LAIF participants’ total aggregate amortized cost by total aggregate fair value. The cre dit quality rating of LAIF is unrated as of June 30, 2021. There are no limitations or restrictions on participant withdrawals from LAIF.

E. 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 the fair value of the asset.

Level 1 inputs are quoted prices in active markets for identica l assets; Level 2 inputs are significant other observable inputs; Level 3 inputs are significant unobservable inputs. The City has the following recurring fair value measurements as of June 30, 2021:

Totals 1 2 Uncategorized
Local Agency Investment Fund (LAIF) 28,745,623$ -$ -$ 28, 745,623$ Time Deposits 310,000 - 310,000 - San Diego County Investment Pool 192,486,121 - - 192,486,121 Federal Agency Bonds 27,848,654 - 27, 848,654 - United States Treasury Notes - - - - Municipal Bonds 59,183,232 - 59, 183,232 - Supranationals 5,094,150 - 5, 094,150 - Asset-Backed Securities 4,899,614 - 4, 899,614 - Medium-Term Corporate Notes 99,659,857 - 99, 659,857 - Certificates of Deposit 38,286,050 - 38, 286,050 - Placement Service Deposits 4,145,563 - - 4, 145,563 Money Market Funds 7,493,151 - 7, 493,151 - Held by Fiscal Agent:

Cash & Money Market Mutual Funds 43,426,342 - - 43, 426,342 Total Investments 511,578,357$ -$ 242,774,708$ 268,803,649$ Level
Investment Type
74 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 4 – Cash and Investments (Continued)

E. Fair Value Hierarchy (Continued)

U.S. Treasury Notes classified in Level 1 of the fair value hie rarchy are valued using prices quoted in active markets for those securities. U.S. Agency Securities, Corporate Notes, Asset Backed Securities and Time Deposits classified in Level 2 of the fair value hierarchy are valued using institutional bond quotes or specified fair market value factors.

Note 5 – Receivables

A. Taxes Receivable

At June 30, 2021, the City had the following taxes receivable:

G overnm ental Fiduciary
Activities Funds Total
Sales Tax 16,414,576$ -$ 16,414,576$ Property Tax 522,375 - 522,375 Highway Users Tax 919,568 - 919,568 Franchise Fee Tax 2,965,711 - 2,965,711 Special Assessments 55,374 72,886 128,260 Other Taxes 1,909,181 - 1,909,181 Total 22,786,785$ 72,886$ 22,859,671$

B. Loans Receivable

At June 30, 2021, the City had the following loans receivable, including principal and accrued interest:

Principal Interest Total
South Bay Community Services (Trolley Trestle, Muncey Manor, CN V I, CNII, NCV II) $ 2,022,483 $ 2,2 16,755 $ 4,239,238 Cordova and Trolley Terrace Apartments (Cordova Trolley, LP) 2,672,511 226,384 2,898,895 St. Regis Park (Chelsea Investment Corp) 1,232,822 62,408 1,295,230 Chula Vista Rehabilitation CHIP Loans 807,705 82,238 889,943 Park Village Apts (Civic Center Barrio Housing Corporation) 128,642 - 128,642 Los Vecinos (Wakeland Housing and Development Corporation) 5,680,000 3,789,732 9,469,732 Brisa del Mar (Main Plaza, LP) 1,800,000 685,440 2,485,440 Seniors on Broadway (MAAC Project) 3,511,194 1,595,808 5,107,002 The Landings II (Chelsea Investment Corp) 8,464,731 1,736,418 10,201,149 First Time Home Buyers Program 3,432,711 138,619 3,571,330 NSP Rental Housing Program 1,000,000 256,008 1,256,008 Community Energy Retrofit Program 613 - 6 13 Lofts on Landis 2,000,000 4 28,486 2,428,486 Duetta Apartments (F Street Family CIC, LP) 2,068,000 325,344 2,393,344 Volta Senior Apartments (G Street Seniors CIC, LP) 932,000 143,738 1,0 75,738 Anita Street Apartments (Wakeland- Anita LP) 5,195,165 24,766 5,219,931 Deferred development impact fees 5,965,425 241,644 6,207,069 46,914,002$ 11,953,788$ 58,867,790$ Governmental Activities

South Bay Community Services

In 1998, the former Chula Vista Redevelopment Agency (RDA) and City of Chula Vista entered into several loan agreements with South Bay Community Services, a California non-profit public benefit corporation. Prior years’ loan was made to South Bay Commu nity Services for the purpose o f purchasing several properties throughout 75 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

South Bay Community Services (Continued)

the City of Chula Vista, including Concord Way (1-unit) and Tro lley Trestle (11-unit). These projects are to provide housing to very low-income families. Deeds of trust and assignments of rent secure the notes. Principal and interest are payable annually out of any and all residual r eceipts derived from the property and/or operation of the property. Interest accrues annually on the unpaid balanc e with rates ranging from 3% to 6%. At June 30, 2021, the outstanding balance of the loan was $4,239,2 38 which included an interest accrual of $2,216,755.

Cordova and Trolley Terrace Apartments- (Cordova Trolley, LP)

In January 2019, the Housing Authority and the Cordova Trolley, LP (Developer) entered into a loan agreement to refinance two scattered site rental housing developments at 1280 E J Street (40-unit) and 750 ADA Street (18-unit). The developer partially repaid the outstanding accr ued interest of the previous loan in the amount of $200,000 and carried forward the remaining balance of $2,672,51 1 as a new loan on the Project. The project provides affordable housing to very-low and low-income househol ds for an additional 55-years. The amended and restated promissory note is secured by a deed of trust and will accrue 3.15% interest compounding annually. Residual receipt payments (if any) will be applied towards the outstanding loan balance until the loan is paid in full. At June 30, 2021, the outstanding balance of the loan was $2,898,895, which included an interest accrual of $226,384.

St. Regis Park (Chelsea Investment Corporation)

In 2000, the former RDA entered into a loan agreement with Chelsea Investment Corporation for the acquisition and rehabilitation of the 119-unit multi-family housing project ( forme rly know n as Pea r T ree A part m ents) at 1025 Broadway. In June 2019, the developer repaid the outstanding principal balance of the previous loan in the amount of $1,387,152 and carried forward the accrued interest of $1,232,822 as a new loan amount. The project will remain affordable to very-low and low-income households for an additional 55-years. The amended and restated promissory note is secured by a deed of trust and will accrue 2.76% interest compounding annually.

Residual receipt payments (if any) will be applied towards the outstanding loan balance until the loan is paid in full. At June 30, 2021, the outstanding balance of the loan was $1,295,230 which included an interest accrual of $62,408

Chula Vista Rehabilitation CHIP Loans

The Chula Vista Rehabilitation Community Housing Improvement Program (CHIP) is under the direct control of the Housing Authority acting as the Successor Housing Entity fo r those loans that were funded using Low- and Moderate-Income Housing Funds. These loans provide funding to assist owner occupied or mobile homeowners with assistance to make health and safety repairs to their dwelling unit. CHIP loans funded by CDBG, or HOME funds are also managed by the Housing Authority. CHIP offers deferred and low interest rate home improvement loans to qualified borrowers residing within a target area. Th e rate terms vary from 0 to 5% deferred interest loans to forgivable loans for mobile homeowners. Loan repayme nts are re-deposited into the program cash accounts and are redistributed as future loans. At June 30, 2021, the outstanding balance of the loan was $889,943 which included an interest accrual of $82,238.

Park Village Apartments (Civic Center Barrio Housing Corporation)

In 1991, the former RDA entered in to a loan agreement with the Civic Center Barrio Housing Corporation, a California non-profit public benefit corporation. The loan was made for the purchase of land and the development of a 28 - unit low-income housing project. During 1992, the loan was assigned to Park Village Apartments Ltd., a California limited partnership in which Civic Center Barrio H ousing Corporation is the managing general partner. The loan is secured by a deed of trust on the property and assignment of rents. Principal and interest are 76 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

Park Village Apartments (Civic Center Barrio Housing Corporation) (Continued)

payable monthly. In 2009, an amendment to the loan was entered into changing the interest from 5% to 3% per annum on the unpaid principal balance of the note. It also requ ired monthly payments based on a 24-year amortization schedule with the entire balance paid by December 31, 2022. At June 30, 2021, the outstanding balance of the loan was $128,642.

Los Vecinos (Wakeland Housing and Development Corporation)

In 2008, the former RDA entered into a loan agreement with Wake land Housing and Development Corporation to assist the borrower in constructing 41 affordable multi-family rental housing units for occupancy by extremely low, very low, and low-income households. The loan amount of $ 5,680,000 was funded by the Low- and Moderate-Income Housing Fund. The loan bears an interest rate of 5% per annum. Principal and interest payments will be made on an annual basis out of a fund equal to 50% of the residual receipts for years 1-30 and 75% of the residual receipts for years 31-54, until 55 years from the date the improvements are placed in service, at which time, all principal and unpaid interest is due and pay able. The improvements were placed in service on February 7, 2008. At June 30, 2021, the outstanding balance of the loan was $9,469,732 which included an interest accrual of $3,789,732

Brisa del Mar (Main Plaza, LP)

In 2003, the former RDA and City entered into a loan agreement with Main Plaza, LP to assist in acquiring and improving certain real property for occupancy by very low, low, and moderate-income households. The loan bears an interest rate of 3% per annum. The loan is due and pay able on the date that is 55 years from the date of the City’s issuance of the Certificate of Completion, which is in 2061. At June 30, 2021, the outstanding balance of the loan was $2,485,440 which included an interest accrual of $685,440

Seniors on Broadway (MAAC Project)

The City entered into a loan agreement with Seniors on Broadway, Limited Partnership to assist in acquiring and improving certain real property for occupancy by very low, low, and moderate-income households. The loan bears an interest rate of 3% per annum. The loan is due and payable o n the date that is 55 years from the date of the City’s issuance of the Certificate of Completion. At June 30, 2 021, the outstanding balance of the loan was $5,107,002 which included an interest accrual of $1,595,808.

The Landings II (Chelsea Investment Corporation)

In July 2010, the former RDA and City entered into a loan agreement with Landings II, L.P. to assist the borrower in constructing 143 affordable multifamily rental housing units for occupancy by very low- and low-income households. The loan bears an interest rate of 3.6% per annum and requires monthly payments based on a 25-year amortization schedule. At June 30, 2021, the outstanding balance of the loan was $10,201,149 which included an interest accrual of $1,736,418.

First Time Home Buyers Program

The Chula Vista First-Time Homebuyer Program is under the direct control of the City and its Housing Authority.

The Programs is funded through U.S. Department of Housing and U rban Development HOME Investment Partnership Act and Neighborhood Stabilization Program funds. Cal Home funds from the State of California Department of Housing and Community Development are also used to fund loans. The Program is currently administered by Springboard CDFI, (formerly known as Community Housing Works Realty and Lending). The program offers low interest loans or equity share deferred gap financing loans to qualified borrowers. Loan 77 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

First Time Home Buyers Program (Continued)

repayments are re-deposited into the program and are redistributed as future loans. At June 30, 2021, the outstanding balance of the loan was $3,571,330 which included an interest accrual of $138,619.

NSP Rental Housing Program

The City entered into two separate loan agreements with San Diego Community Housing Corporation to acquire and rehabilitate rental housing for very low-income households. The loans are secured by promissory notes and a deed of trusts. The outstanding principal and interest amount of the loan will be repaid over fifty-five (55) years and shall accrue at the simple int erest rate of three (3%) perc ent per annum. Principal and interest are payable annually out of a fund equal to 50% of residual receipts derived from the property and/or operation of the property.

At June 30, 2021, the outstanding balance of the loan was $1,25 6,008 which included an interest accrual of $256,008.

Community Retrofit Program

The Chula Vista Community Energy Revolving Loan Fund (RLF) is u n d e r t h e d i r e c t c o n t r o l o f t h e City of Chula Vista and was cap italized through the American Re covery & Reinvestment Act. The RLF offers fully amortized low-interest rate home energy improvement loans to qualified borrowers residing within Chula Vista. The loans are secured by a deed of trust on the properties. Principal and interest are payable monthly.

Interest accrues annually on the unpaid principal balance of the notes. Loan repayments are re-deposited into the program cash accounts and are redistributed as future loans exc ept for loans funded by General fund. At June 30, 2021, the outstanding balance of the loans were $613.

Lofts on Landis

The City has adopted a Housing Element of the General Plan which sets forth the objective of providing balances and varied housing opportunities throughout the City to satisfy needs and desires of various age, income, and ethnic groups of the community. The Housing Authority found tha t the City’s financial participation in the development of the Landis Project will be a sound investment ba sed upon the Developer’ ability to effectively service the City’s housing needs and priorities expressed in th e housing Element and Consolidated plan. At June 30, 2021, the outstanding balance of the loan was $2,428,486 which included an interest accrual of $428,486.

Duetta Apartments (F Street Family CIC, LP)

In 2016, the City entered into a loan agreement with F Street Family CIC, LP to assist to assist in the construction and permanent financing of affordable multifamily apartments wi th 86 deed restricted units for occupancy by extremely low, very low- and lower-income households. Loans are in the principal amount of $800,000 from the City’s federal HOME funds, $372,660 from the City’s Balanced Communities In-Lieu funds, and $895,340 from Low- and Moderate-Income Housing Fund. The loan bears an interest rate of 3% simple interest per annum for a 55-year period. Payment of principal and interest is made on an annual basis out of a fund equal to 50% of the residual receipts. The outstanding principal and accrued inter est on the loan is to be repaid by December 31, 2072. Fund balance has been restricted in the Sun dry Grants Special Revenue Fund and in the Low- & Moderate-Income Housing Successor Special Revenue Fund. At June 30, 2021, the outstanding balance of the loans were $2,393,344 which included an interest accrual of $325,344.

Volta Senior Apartments (G Street Seniors CIC, LP)

In 2016, the City entered into a loan agreement with G Street Senior CIC, LP to assist to assist in the construction and permanent financing of affordable multifamily apartments wi th 122 deed restricted units for occupancy by 78 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

Volta Senior Apartments (G Street Seniors CIC, LP) (Continued)

extremely low, very low- and lower-income households. The loan amount of $932,000 was funded by the Low- and Moderate-Income Housing Fund. The loan bears an interest rate of 3% simple interest per annum for a 55-year period. Payment of principal and interest is made on an annual basis out of a fund equal to 50% of the residual receipts. The outstanding principal and accrued inter est on the loan is to be repaid by December 31, 2072. Fund balance has been restricted in the Low - & Moderate-Income Housing Successor Special Revenue Fund. At June 30, 2021, the outstanding balance of the loans were $1,075,738 which included an interest accrual of $143,738.

Anita Street Apartments (Wakeland- Anita LP)

In 2017 and 2018, the Housing Authority entered into amended loan agreements with Wakeland Anita LP to assist in the acquisition of land and pre-development of an affordable multifamily apartment development known as Anita Street Apartments with up to 72 possible deed restricted units for occupancy by extremely low, very low- and lower-income households. This loan supports the propor tionate share of costs for 30% and 45% AMI (area median income) units in the project. The total loan amou nt of $5,195,165 was made using low- and moderate-income housing funds. No interest accrues on the loan during the predevelopment phase of the Project.

Upon completion of the predevelopment phase, the loan bears an interest rate of 3% simple interest per annum for a 55-year period. At June 30, 2021, the outstanding balance of the loans were $5,219,931 which includes an interest accrual of $24,766.

Deferred development impact fees

The DIF Deferral Community Facilities District (CFD 17-I) was established to promote development in specified areas of the City known as “Western Chula Vista” by deferring specific development impact fees for projects that met the specific criteria outlined in the CFD formation documen ts. The primary area included within the CFD plan was land west of the I-5 freeway to spur on early developm ent in preparation for the new Bayfront project, as well as land in the portion of the City between Interstate 5 and Interstate 805, including the Palomar Gateway and Urban Core Specific Planning Areas and the Auto Park locate d East of the Interstate 805. As the Rate and Method of Apportionment defines, developers can defer their Dev elopment Impact Fees up to ten years or as otherwise defined in the CFD documents. Upon issuance of the C ertificate of Occupancy (COO), the city calculates interest on an annual basis, and it is included as part of the long-term receivable. At June 30, 2021, the outstanding balance of the loans were $6,207,069 which includes interest accrual $241,644.

Note 6 – Interfund Balances and Transactions

Due to/Due from other funds

At June 30, 2021, interfund receivables and payables were as follows:

CV Elite
Athlete
Due from Other
Funds
Training
Center
Ge n e ra l Fu n d 41$ 454,643 $ 2,680,574$ 3,135,258$ Due To Other Funds
Nonm ajor
G overnm ental
Funds Total
City Debt
Service

Current interfund balances arise in the normal course of operat ions to cover cash shortages and are expected to be repaid shortly after the end of the fiscal year.
79 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 6 – Interfund Balances and Transactions (Continued)

Long-Term Advances

At June 30, 2021, balances were as follows:

Sewer Other
Developm ent Enterprise
Im pact Fees Funds Total
Advances to Other Funds:

Ge n eral -$ 3,229,393$ 3,229,393$ Sewer Fund 18,001,404 - 18,001,404 Total 18,001,404$ 3,229,393$ 21,230,797$ Advances from Other Funds:

The City Council authorized and set terms for loans from the Trunk Sewer fund to Salt Creek for $16,598,381, to the Storm Drain fund for $744,612, and $803,331 from the Sewer Faci lity fund for capital improvement projects, via Resolution 2015-035. In accordance with Council Policy No. 220-06, approved via Resolution 2015-028, the financing costs shall be calculated using the City's pooled investment ea rning rate on a quarterly basis. The balance was $18,001,404 at June 30, 2021, of which all $18,001,404 is outstanding from the Sewer Fund to the Sewer Development Impact Fees Fund and the portion due from the Sewer Fund to the Storm Drain Fund has been paid in full.

The City Council authorized and set terms for loans from the Ge neral Fund to Transport Enterprise nonmajor enterprise fund for $4,881,710, via Resolution 2020-152. In accordance with Council Policy No. 220-06, the financing costs shall be calculated using the City's pooled investment ea rning rate on a quarterly basis. The balance was $3,229,393 at June 30, 2021.

Transfers In/Out

Interfund transfers for the year ended June 30, 2021, were as follows:

Public Municipal Other Developm ent CV E lite Other Internal Financing Financing G overnm ental Services Athlete Enterprise Service G eneral Sundry G rants Authority Authority Funds Fund Training Ctr. Funds Funds Total Transfers Out:

Ge n e ral -$ 86,436$ 2,492,977$ 9,118,964$ 1,011,830$ 448,729$ 117,406$ 101,112$ 218,942$ 13,596,396$ Sundry Grants 1,608,428 - - - 633,650 - - - - 2,242,078 Developm ent Im pact Funds - - 3,670,650 1,543,423 - - - - - 5,214,073 Other G overnm ental Funds 4,918,446 18,000 669,369 - 960 73,125 - - - 5,679,900 Sewer Fund 3,263,657 - - - - 17,038 - - - 3,280,695 Developm ent Services Fund 1,923,650 - - - - - - - - 1,923,650 CV Elite Athlete Training Ctr. - - - - 31,280 - - - - 31,280 Other Enterprise Funds 186,518 - - - - - - - - 186,518 Internal Service Funds 41,524 - - - - - - - - 41,524 Total 11,942,223$ 104,436$ 6,832,996$ 10,662,387$ 1,677,720$ 538,892$ 117,406$ 101,112$ 218,942$ 32,196,114$ Transfers In:

General Fund – Operating support to the General Fund for City staff services and equipment. Total amount of support was $11,942,223.

Sundry Grants Special Revenue Fund – Transferring the matching contribution to the federal grants in the amount of $104,436.

Public Financing Authority – Funding debt service funds for repayment of various long-term obligations amounted to $6,832,996.
80 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 6 – Interfund Balances and Transactions (Continued)

Municipal Financing Authority – Funding debt service fund for repayment of long-term obligation amounted to $10,662,387.

Non-major Governmental Funds – Transfer from General Fund in the amount of $1,011,830 for var ious debt obligations. Transfer from Chula Vista Elite Athlete Training Center to Eastlake Maintenance District in the amount of $31,280 for taxes related to City owned property. Various transfers between Sundry Grants Special Revenue fund and other nonmajor governmental funds in the amounts of $633,650 and $960 respectively.

Development Services Fund – Operating support to the Development Services Fund for service s provided; $538,892 support from the General Fund.

Chula Vista Elite Athlete Training Center – Support from General Fund: $117,406 for telecom site license fee.

Non-major Enterprise Funds – Operating support to the nonmajor enterprise funds for service s provided; $101,112 support from the General Fund.

Internal Service Funds – Operating support to the internal service funds for services provided; $218,942 support from the General Fund.

Note 7 – Capital Assets

A. Government-Wide Financial Statements

Summary of changes in capital assets for governmental activities for the year ended June 30, 2021, are as follows:

Balance CIP Balance
July 1, 2020 Additions Deletions Transfers June 30, 2021 Capital assets, not being depreciated:

Land 437,045,968$ - $ - $ - $ 437,045,968$ Construction in progress 125,818,271 42,946,923 - (26,336,029) 142,429,165 Total capital assets, not being depreciated 562,864,239 42,946,923 - (26,336,029) 579,475,133 Capital assets, being depreciated:

Buildings 212,221,823 - - 19,073,268 231,295,091 Improvem ents other than buildings 134,954,153 10,742,639 - 12,059 145,708,851 Machinery and equipment 50,893,836 4,191,710 (1,842,680) - 53,242,866 Infrastructure 781,231,030 20,409,418 - 7,250,702 808,891,150 Subtotal 1,179,300,842 35,343,767 (1,842,680) 26,336,029 1,239,137,958 Less accumulated depreciation
Buildings (68,851,962) (4,161,795) - - (73,013,757) Im provem ents other than buildings (59,802,960) (2,788,168) - - (62,591,128) Machinery and equipment (31,584,478) (4,789,722) 1,842,680 - (34,531,520) Infrastructure (375,721,216) (21,284,014) - - (397,005,230) Subtotal (535,960,616) (33,023,699) 1,842,680 - (567,141,635) Total capital assets, being depreciated 643,340,226 2,320,068 - 26,336,029 671,996,323 Total governmental activities 1,206,204,465$ 45,266,991$ -$ - $ 1,251,471,456$

81 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 7 – Capital Assets (Continued)

Depreciation expense was charged to functions/programs as follows:

G eneral governm ent 84,061$
Public safety 3,286,572
Public works 27,475,434
Com m unity Developm ent 30,424
Parks and recreation 1,983,375
Library 10,834
Internal service 152,999
33,023,699$

Summary of changes in capital assets for business-type activities for the year ended June 30, 2021, are as follows:

Balance CIP Balance
July 1, 2020 Additions Deletions Transfers June 30, 2021 Capital assets, not being depreciated:

Land 180,677,144$ -$ -$ -$ 180,677,144$ Construction in progress 5,740,812 3,036,876 - - 8,777,688 Total capital assets, not being depreciated 186,417,956 3,036,876 - - 189,454,832 Capital assets, being depreciated:

Buildings and structures 17,027,588 - - - 17,027,588 Machinery and equipment 7,396,408 5,020,826 (39,844) - 12,377,390 Infrastructure 248,484,074 2,672,900 - - 251,156,974 Subtotal 272,908,070 7,693,726 (39,844) - 280,561,952 Less accumulated depreciation
Buildings and structures (1,350,288) (337,146) - - (1,687,434) Machinery and equipment (5,343,207) (1,373,894) 39,844 - (6,677,257) Infrastructure (134,909,817) (5,681,355) - - (140,591,172) Subtotal (141,603,312) (7,392,395) 39,844 - (148,955,863) Total capital assets, being depreciated 131,304,758 301,331 - - 131,606,089 Total business-type activ ities 317,722,714$ 3,338,207$ -$ -$ 321,060,921$

Depreciation expense for business-type activities for the year ended June 30, 2021, are as follows:

CV Elite Training Center 337,146$
Sewer 6,547,934
Sewer Development Impact Fees 3,041
Developm ent Services 37,116
Transportation 458,697
Transit 8,461
7,392,395$

82 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 7 – Capital Assets (Continued)

B. Fiduciary Funds Financial Statements

Summary of changes in capital assets for fiduciary funds for the year ended June 30, 2021, are as follows:

Balance Balance
July 1, 2020 Additions Deletions June 30, 2021
Capital assets, not being depreciated:

Land 5,600,080$ - $ - $ 5,600,080$ T otal capital assets, not being depreciated 5,600,080 - - 5,600,080 Capital assets, being de pre ciated:

Buildings 2,386,218 - - 2,386,218 Subtotal 2,386,218 - - 2,386,218 Less accumulated depreciation
Buildings (1,492,638) (47,724) - (1,540,362) Subtotal (1,492,638) (47,724) - (1,540,362) Total capital assets, being de preciated 893,580 (47,724) - 845,856 T otal fiduciary activities 6,493,660$ (47,724)$ - $ 6,445,936$

Depreciation expense for fiduciary funds for the year ended June 30, 2021, was $47,724.

Note 8 – Long-Term Liabilities

A summary of changes in long-term debt for the year ended June 30, 2021, is as follows:

Balance Balance Amount
Beginning End Due Within
of Y ear Additions Deletions of Y ear One Y ear
G overnm ental Activites
Bonds payable
Certificates of Participation 71,110,000$ -$ 3,860,000$ 67,250,000$ 4,045,000$ Lease Revenue Bonds 78,325,000 - 7,400,000 70,925,000 7,790,000 Premium 13,287,677 - 1,486,612 11,801,065 - Total Bonds Payable 162,722,677 - 12,746,612 149,976,065 11,835,000 Private Placement Notes 7,640,645 - 1,024,638 6,616,007 1,048,581 Pension-Related Debt - 311,272,126 - 311,272,126 5,784,802 Leases 5,188,939 2,273,805 965,650 6,497,094 1,051,511 Total Governmental Activities 175,552,261$ 313,545,931$ 14,736,900$ 474,361,292$ 19,719,894$ B usi ness-type Acti vi ti es
Pension-Related Debt -$ 38,752,874$ -$ 38,752,874$ 720,198$ Leases 10,858 4,493,100 3,459 4,500,499 866,384 Total Business-type Activities 10,858$ 43,245,974$ 3,459$ 43,253,373$ 1,586,582$

83 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities Long-Term Debt

A. Certificates of Participation

2014 Refunding COP

In February 2014, the Chula Vista Public Financing Authority (Authority) issued $45,920,000 in 2014 Certificates of Participation to refinance the City’s outstanding 2002 Certificates of Participation (Police Facility Project), fund a reserve fund, and pay the costs incurred in connection with the execution and delivery of the Certificates.

The source of repayment of the certificates is the lease payments to be made by the City to the Authority. Should the City default under the Lease, the Trustee, as assignee of the Authority, may terminate the Lease and re-lease the Leased Premises or may retain the Lease and hold the City l iable for all Lease Payments thereunder on an annual basis. Under no circumstances will the Trustee have the right to accelerate Lease Payments. Interest is payable semiannually on April 1 and October 1 of each year, com mencing October 1, 2014. The certificates mature in 2032 and principal is payable on Octob er 1 each year, commencing October 1, 2014. As of June 30, 2021, the outstanding balance is $33,735,000.

2015 Refunding COP

In August 2015, the Chula Vista Public Financing Authority (Authority) issued $34,330,000 in 2015 Certificates of Participation to refinance the City’s outstanding 2004 Certificates of Participation (Civic Center Project Phase) and a portion of the 2006 Certif icates of Participation (Civic Center Project Phase II), fund a reserve fund, and pay the costs incurred in connection with the execution and delivery of the Certificates. The refunding resulted in a difference between the reacqui sition price and the net carryi ng amount of the old debt of $445,970, which is reported as a deferred outflow of resources in the accompanying financial statements and amortized over the remaining life of the refunded debt. The City completed the ref unding to reduce its total debt service payments by $4,384,723 and to obtain an economic gain (difference betwee n the present values of the old and new debt services payments) of $3,073,833. The source of repayment of th e certificates is the lease payments to be made by the City to the Authority. Should the City default under the Lease, the Trustee, as assignee of the Authority, may terminate the Lease and re-lease the Leased Premises or may retain the Lease and hold the City liable for all Lease Payments thereunder on an a nnual basis. Under no circumst ances will the Trustee have the right to accelerate Lease Payments. Interest is payable semi-annually on M a r c h 1 a n d S e p t e m b e r 1 o f e a c h y e a r , commencing March 1, 2016. The certificates mature in 2034 and principal is payable on March 1 each year, commencing October 1, 2015. As of June 30, 2021, the outstanding balance is $24,915,000.

2016 Refunding COP

In July 2016, the Chula Vista Public Financing Authority (Autho rity) issued $8,600,000 in 2016 Certificates of Participation (Certificates) to current refund all of the City’ s outstanding 2006 Certificates of Participation (Civic Center Project – Phase 2), to satisfy the reserve requirement with respect to the Certificates and to pay the costs of issuance of the Certificates. The refunding resulted i n a difference between th e reacquisition price and the net carrying amount of the old debt of $221,204, which is r eported as a deferred outflow of resources in the accompanying financial statements and amortized over the remain ing life of the refunded debt. The City completed the refunding to reduce its total debt service payments by $1,144,525 and to obtain an economic gain (difference between the present values of the old and new debt services payments) of $973,849. The source of repayment of the certificates is the lease payments to be made by the City to the Authority. Should the City default under the Lease, the Trustee, as assignee of the Authority, may terminate the Lease and re-lease the Leased Premises or may retain the Lease and hold the City liable for a ll Lease Payments thereunder on an annual basis.

Under no circumstances will the Trustee have the right to accel erate Lease Payments. Interest is payable semi-annually on March 1 and September 1 of each year, commenci ng March 1, 2017. The certificates mature in 2036 and principal is payable on March 1 each year, commenci ng March 1, 2027. As of June 30, 2021, the outstanding balance is $8,600,000.

84 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities Long-Term Debt (Continued)

B. Lease Revenue Bonds

2016 Lease Revenue Refunding Bonds

In July 2016, the Chula Vista Municipal Financing Authority (Au thority) issued $25,885,000 in 2016 Lease Revenue Refunding Bonds to refinance an existing lease by advance refunding the City’s outstanding 2010 Certificates of Participation (Capital Facilities Refunding Projects) and to pay the costs of issuance of the Bonds. The refunding resulted in a difference between the reacquisition price and the net carrying amount of the old debt of $4,898,948, which is reported as a deferred outflow of resources in the accompanying financial statements and amortized over the remaining life of the refunded debt. The City completed the refunding to reduce its total debt service payments by $2,167,047 and to obtain an economic gain (difference between the present values of the old and new debt services payments) of $2,293,798 . The source of repayment of the certificates is the lease payments to be made by the City to the Authority. Should the City default under the Lease Agreement, the Trustee, as assignee of the A uthority, may terminate the Lease Agreement and re-lease the Leased Property or may retain the Lease Agreement and hold the City liable for all Base Rental Payments thereunder on an annual basis. Under no circumstances will the Trustee have the right t o accelerate Base Rental Payments. Interest is payable semi-annually on November 1 and May 1 of each year, commencing November 1, 2016. The certificates mature in 2033 and principal is payable on May 1 each year, commencing May 1, 2017. As of June 30, 2021, the outstanding balance is $19,020,000.

2017 Lease Revenue Bonds

In June 2017, the Chula Vista Municipal Financing Authority (Au thority) issued $61,355,000 in 2017 Lease Revenue Bonds to finance infrastructure, facilities, and equipm ent and to pay the costs of the issuance of the Bonds. Should the City default under the Lease Agreement, the T rustee, as assignee of the Authority, may terminate the Lease Agreement and re-lease the Leased Property or may retain the Lease Agreement and hold the City liable for all Base Rental Payments thereunder on an annual basis. Under no circumstances will the Trustee have the right to accelerate Base Rental Payments. Interest is payable semi-annually on November 1 and May 1 of each year, commencing November 1, 2017. The bonds mature in 2027 and principal is payable on May 1 each year, commencing May 1, 2019. As of June 30, 2021, the outstanding balance is $38,985,000.

2017 Lease Revenue Bonds, Series A (New Clean Renewable Energy Bonds – Federally Taxable)

In December 2017, the Chula Vista Municipal Financing Authority (Authority) issued $12,045,000 in 2017 Lease Revenue Bonds, Series A (New Clean Renewable Energy Bonds – Federally Taxable), to finance photovoltaic energy systems at various City facilities, to capitalize interest on the Bonds and to pay the costs of issuance of the Bonds. Should the City default under the Lease Agreement, the Trustee, as assignee of the Authority, either may terminate the Lease Agreement and re-lease the Leased Property or may retain the Lease Agreement and hold the City liable for all Base Rental Payments thereunder on an annual basis. Under no circumstances will the Trustee have the right to accelerate Base Rental Payments. Interest is payable semi-annually on December 1 and June 1 of each year, commencing June 1, 2018. The bonds mature in 204 9 and principal is payable on December 1 each year, commencing December 1, 2021. As of June 30, 2021, the outstanding balance is $12,045,000.

85 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities Long-Term Debt (Continued)

2017 Lease Revenue Bonds, Series B (Tax-Exempt)

In December 2017, the Chula Vista Municipal Financing Authority (Authority) issued $1,085,000 in 2017 Lease Revenue Bonds, Series B (Tax-Exempt), to finance photovoltaic e nergy systems at various City facilities, to capitalize interest on the Bonds and to pay the costs of issuan ce of the Bonds. Should the City default under the Lease Agreement, the Trustee, as assignee of the Authority, eit her may terminate the Lease Agreement and re-lease the Leased Property or m ay retain the Lease Agreement and hold the City liable for all Base Rental Payments thereunder on an annual basis. Under no circumstances will the Trustee have the right to accelerate Base Rental Payments. Interest is payable semi-annually on Dece mber 1 and June 1 of each year, commencing June 1, 2018. The bonds mature in 2029 and principal is payabl e on December 1 each year, commencing December 1, 2019. As of June 30, 2021, the outstanding balance is $875,000.

C. Private Placement Notes

Section 108 Loan

In June 2008, the City entered into a Contract for Loan Guarantee Assistance with the U.S. Department of Housing and Urban Development (“HUD”) as part of the Section 108 Loan P rogram in the amount of $9,500,000. The Section 108 Loan is an “advance” of future CDBG entitlement funds and, as such, is repaid with a portion of the City’s annual entitlement. Proceeds of the loan will be used to fund multiple capital improvement projects. Debt service payments will be made with future CDBG entitlements for 20 years, with interest payments beginning with fiscal year 2009. On November 27, 2018, the City received notice from HUD regarding the opportunity to refinance the existing Section 108 Loan from an average of 5.19 % interest rate (2019 through 2028) to an estimated average of 3.23% interest rate (2019 through 2028). O n December 6, 2018, the City notified HUD of its election to redeem the current note. The City signed the ag reement for the refinancing on January 23, 2019.

No changes were made to the term of the loan. As of June 30, 2021, the outstanding balance is $4,926,000.

Taxable QECB Lease/Purchase Agreement

On December 31, 2012, the City entered into a lease purchase agreement with a private party to purchase certain energy conservation equipment. The lease/purchase agreement wou ld bridge the financial gap between the Municipal Street Listing Retrofit Project capital costs and the available rebates for energy conservation equipment. As of June 30, 2021, the outstanding balance is $688,951.

California Energy Commission Loans/SDG&E On-Bill Financing

On September 25, 2007, the City Council approved Resolution 200 7-241 authorizing the City’s participation in the California Energy Commission (“CEC”) and the SDG&E On-Bill Financing program. The loans would bridge the financial gap between energy conservation project capital c osts and the available rebates for energy conservation equipment. As of June 30, 2021, the outstanding balance is $1,001,056.

D. Pension-Related Debt

2021 Taxable Pension Obligation Bonds

In February 2021, the City issued $350,025,000 in 2021 Taxable Pension Obligation Bonds to finance the rolled forward Pension Liability as of June 30, 2019, as projected by CalPERS. Interest is payable semi-annually on December 1 and June 1 of each y ear, commencing December 1, 2021. The bonds mature in 2045 and principal is payable on December 1 each year, commencing June 1, 2022. As of June 30, 2021, the outstanding balance is $350,025,000. The Bonds are allo cated among the various funds o n the same basis as the City’s net pension liability. The portion of the Bonds attributable to governmental activities at June 30, 2021, is $311,272,126.

86 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities Long-Term Debt (Continued)

E. Leases

Solar Energy Financing

On July 23, 2013, the City Council approved Resolution 2013-149 authorizing the City to utilize a $2,121,500 Tax-Exempt Facility Lease Purchase Agreement with Banc of America, which would be repaid through the annual energy cost savings. As of June 30, 2021, the outstanding balance is $1,090,891.

PNC Equipment Lease

In November 2015, the City enter ed into a capital lease agreeme nt with PNC Equipment Finance for the acquisition of two Pierce Arrow XT Triple Combination Pumper/Fi re Engines. The lease term is ten years and the lease amount of $1,285,053 is to be paid in annual installm ents beginning November 2016. As of June 30, 2021, the outstanding balance is $693,019

JP Morgan Equipment Lease

In August 2016, the City entered into a capital lease agreement w i t h J P M o r g a n C h a s e B a n k , N . A . f o r t h e acquisition of one Pierce Fire Engine. The lease term is ten y ears and the lease amount of $1,229,470 is to be paid in annual installments beginning in August 2017. As of June 30, 2021, the outstanding balance is $768,815.

Motorola Solutions CAD Equipment Lease

In July 2017, the City entered into a capital lease agreement with Motorola Solutions, Inc. for the acquisition of a PSA System. The lease term is ten years and the lease amount of $1,351,409 is to be paid in annual installments beginning in July 2018. As of June 30, 2021, the outstanding balance is $915,225.

Mail Folding Machine Lease

In January 2018, the City entered into a capital lease agreemen t with Mail Finance, Inc. for the acquisition of a mail folding machine. The lease term is ten years and the leas e amount of $17,245 is to be paid in annual installments beginning in July 2018. As of June 30, 2021, the outstanding balance is $7,372.

JP Morgan Equipment Lease

In October 2019, the City entered into a capital lease agreemen t with JP Morgan Chase Bank, N.A. for the acquisition of one Pierce Fire Engine. The lease term is ten years and the lease amount of $720,786 is to be paid in annual installments beginning in October 2019. As of June 30, 2021, the outstanding balance is $596,709.

Dell MDC Lease

In January 2020, the City entered into a capital lease agreement with Dell Financial Services for the acquisition of computer equipment. The lease term is four years and the le ase amount of $303,014 is to be paid in annual installments beginning in January 2020. As of June 30, 2021, the outstanding balance is $151,258.

Banc of America Equipment Lease

In July 2020, the City entered into a capital lease agreement with Banc of America Public Capital Corp. for the acquisition of two Pierce Arrow pumpers. The lease term is 5 years and the lease amount of $2,273,805 is to be paid in annual installments beginning on July 30, 2021. As of June 30, 2021, the outstanding balance is $2,273,805.

87 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities Long-Term Debt (Continued)

F. Debt Service to Maturity

The debt service requirements to maturity for the long-term debts previously described are as follows:

Yea r En d in g
June 30, Principal Interest Total Principal Interest Total 2022 4,045,000$ 2,762,394 $ 6,807,394 $ 7,790,000 $ 3,150,087 $ 10,940,087 $ 2023 4,250,000 2,557,394 6,807,394 7,860,000 2,776,920 10,636,920 2024 4,475,000 2,341,894 6,816,894 7,935,000 2,401,049 10,336,049 2025 4,660,000 2,158,319 6,818,319 8,345,000 2,021,878 10,366,878 2026 4,885,000 1,934,444 6,819,444 8,760,000 1,623,764 10,383,764 2027-2031 27,410,000 6,364,475 33,774,475 17,975,000 4,042,092 22,017,092 2032-2036 17,525,000 1,198,960 18,723,960 3,735,000 2,058,114 5,793,114 2037-2041 - - - 2,615,000 1,532,494 4,147,494 2042-2046 - - - 3,405,000 914,133 4,319,133 2047-2051 - - - 2,505,000 164,053 2,669,053 Total 67,250,000$ 19,317,880$ 86,567,880$ 70,925,000$ 20,684,584$ 91,609,584$ Yea r En d in g
June 30, Principal Interest Total Principal Interest Total 2022 1,048,581$ 178,851$ 1,227,432$ 6,505,000$ 9,782,164$ 16,287,164$ 2023 896,844 151,566 1,048,410 8,795,000 7,679,215 16,474,215 2024 930,385 124,666 1,055,051 9,005,000 7,658,019 16,663,019 2025 86
4,939 96,420 961,359 9,215,000 7,620,288 16,835,288 2026 800,258 72,814 873,072 9,475,000 7,559,469 17,034,469 2027-2031 2,075,000 93,243 2,168,243 51,980,000 35,998,281 87,978,281 2032-2036 - - - 71,800,000 30,664,532 102,464,532 2037-2041 - - - 93,885,000 20,704,992 114,589,992 2042-2046 - - - 89,365,000 6,519,137 95,884,137 2047-2051 - - - - - - Total 6,616,007$ 717,560$ 7,333,567$ 350,025,000$ 134,186,097$ 484,211,097$ Yea r En d in g
June 30, Principal Interest Total Principal Interest Total 2022 1,051,511$ 174,586$ 1,226,097$ 20,440,092$ 16,048,082$ 36,488,174$ 2023 1,091,902 137,482 1,229,384 22,893,746 13,302,577 36,196,323 2024 1,035,623 110,717 1,146,340 23,381,008 12,636,345 36,017,353 2025 1,061,766 87,792 1,149,558 24,146,705 11,984,697 36,131,402 2026 1,088,767 64,092 1,152,859 25,009,025 11,254,583 36,263,608 2027-2031 1,167,525 94,454 1,261,979 100,607,525 46,592,545 147,200,070 2032-2036 - - - 93,060,000 33,921,606 126,981,606 2037-2041 - - - 96,500,000 22,237,486 118,737,486 2042-2046 - - - 92,770,000 7,433,270 100,203,270 2047-2051 - - - 2,505,000 164,053 2,669,053 Total 6,497,094$ 669,123$ 7,166,217$ 501,313,101$ 175,575,244$ 676,888,345$ Lease Revenue BondsCertificates of Participation
Private Placement Notes Pension-Related Debt
Leases Total Future Debt Service

88 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Business-type Activities Long-Term Debt

A. Pension-Related Debt

2021 Taxable Pension Obligation Bonds

In February 2021, the City issued $350,025,000 in 2021 Taxable Pension Obligation Bonds to finance the rolled forward Pension Liability as of June 30, 2019, as projected by CalPERS. Interest is payable semi-annually on December 1 and June 1 of each y ear, commencing December 1, 2021. The bonds mature in 2045 and principal is payable on December 1 each year, commencing June 1, 2022. As of June 30, 2021, the outstanding balance is $350,025,000. The Bonds are allo cated among the various funds o n the same basis as the City’s net pension liability. The portion of the Bonds attributable to business-type activities at June 30, 2021, is $38,752,874. Refer to the debt service requirements to maturity for this bond on the previous page.

B. Leases

Mail Folding Machine Lease

In January 2018, the City entered into a capital lease agreemen t with Mail Finance, Inc. for the acquisition of a mail folding machine. The lease term is ten years and the leas e amount of $17,245 is to be paid in annual installments beginning in July 2018. As of June 30, 2021, the outstanding balance is $7,399.

Banc of America Equipment Lease

In July 2020, the City entered into a capital lease agreement with Banc of America Public Capital Corp. for the acquisition of a Medix Ambulance, and various equipment associa ted with the ambulance The lease term is 5 years and the lease amount of $4,493,100 is to be paid in annual installments beginning on July 30, 2021. As of June 30, 2021, the outstanding balance is $4,493,100.

C. Debt Service to Maturity

Y ear Ending
June 30, Principal Interest Total
2022 866,384 $ 65,301 $ 931,685 $ 2023 897,864 34,074 931,938 2024 903,001 25,111 928,112 2025 912,053 16,059 928,112 2026 921,197 6,915 928,112 Total 4,500,499$ 147,460 $ 4,647,959 $ Leases'

89 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Fiduciary Funds Long-Term Debt

A. Tax Allocation Bonds

Balance Balance Amount
Beginning End Due Within
of Y ear Additions Deletions of Y ear One Y ear
Private Purpose Trust Funds
Bonds payable
Tax Allocation Refunding Bonds 24,540,000$ -$ 1, 770,000$ 22,770,000$ 1,840,000$ Premium 3,750,239 - 234,390 3,515,849 - Total Private Purpose Trust Funds 28,290,239$ -$ 2, 004,390$ 26,285,849$ 1,840,000$

2016 Tax Allocation Refunding Bonds

In July 2016, the Successor Agency to the Redevelopment Agency o f t h e C i t y o f C h u l a V i s t a (the Successor Agency) issued $29,315,000 in 2016 Tax Allocation Refunding Bonds to refinance the following obligations of the Former Agency:

 Bayfront/Town Centre Redevelopment Project 2006 Senior Tax Allo cation Refunding Bonds, Series A, currently outstanding in the principal amount of $8,770,000.  Bayfront/Town Centre Redevelopment Project 2006 Subordinate Tax Allocation Refunding Bonds, Series B, currently outstanding in the principal amount of $8,245,000; and  2008 Tax Allocation Refunding Bonds (Merged Redevelopment Proje ct), currently outstanding in the principal amount of $20,450,000.

The refunding resulted in a difference between the reacquisition price and the net carrying amount of the old debt of $1,669,678, which is reported as a deferred outflow of resources in the accompanying financial statements and amortized over the remaining life of the refunded debt. The City completed the refunding to reduce its total debt service payments by $9,561,410 and to obtain an economic gain (difference between the present values of the old and new debt services payments) of $4,617,835. In the event of default of the payment of the scheduled principal of or interest on the 2016 Insured Bonds when all or some becom es due, the Trustee on behalf of any owner of the 2016 Insured Bonds shall have a claim under the 2016 Insura nce Policy for such payments. The maturity of Insured Bonds shall not be accelerated without the consent of the 2016 Insurer. Interest is payable semi-annually on April 1 and October 1 of each year, commencing April 1, 2017. The certificates mature in 2037 and principal is payable on October 1 each year, commencing October 1, 2017. As of June 30, 2021, the outstanding balance is $22,770,000.

The annual debt service requirements for the 2016 Tax Allocatio n Refunding Bonds outstanding at June 30, 2021, are as follows:

Year Ending
June 30, Principal Interest Total
2022 1,840,000$ 948,600$ 2,788,600$
2023 1,920,000 873,400 2,793,400
2024 1,995,000 795,100 2,790,100
2025 2,075,000 713,700 2,788,700
2026 2,155,000 629,100 2,784,100
2026-2031 5,875,000 2,175,775 8,050,775
2031-2036 5,625,000 867,800 6,492,800
2036-2041 1,285,000 19,275 1,304,275
Total 22,770,000$ 7,022,750$ 29,792,750$
90 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Fiduciary Funds Long-Term Debt (Continued)

Pledged Revenues

The Successor Agency has pledged tax revenues to the repayment of the RDA’s debts transferred to it on February 1, 2012, through the final maturity of the Bonds, or early reti rement of the Bonds, whichever comes first. Tax revenues consist of Redevelopment Property Tax Trust Fund distr ibutions allocated to the RDA’s project areas pursuant to Section 33670 of the Redevelopment Law excluding that portion of such tax increment revenues required to be paid under tax-sharing agreements unless the pay ment of such amounts has been subordinated to payment of debt services on the Bonds. Redevelopment Property T ax Trust Fund distributions earned in fiscal year 2021 was $2,722,849 and total debt service of all Tax Allo cation Bonds paid was $2,790,800. The Bonds required 75% of net distributions. In future years, annual prin cipal and interest payments on the Tax Allocation Bonds are expected to require 75% of Redevelopment Property Tax Trust Fund distributions.

B. Special Assessment Debt – Non-City Obligations

Bonds issued to finance public improvement projects in certain assessment districts are liabilities of the property o w n e r s a n d a r e s e c u r e d b y l i e n s a g a i n s t t h e a s s e s s e d p r o p e r t i e s. The City acts as an agent for collection of principal and interest payments by the property owners and remittance of such monies to the bondholders. The City has no obligation or duty to pay any delinquency out of an y available funds of the City. Neither the faith, credit, nor the taxing power of the City is pledged to the paym ent of the bonds, however, the City accounts for the bonds and makes payments in a fiduciary cap acity. Therefore , following obligations are included in the accompanying basic fiduciary fund financial statements as part of the custodial funds. At June 30, 2021, the special assessment debts recorded in custodial funds outstanding are as follows:

Original Outstanding
Amount June 30, 2021
Special Tax Revenue Refunding Bonds, Series 2013 72,100,000$ 53,455,000 $ Special Tax Revenue Refunding Bonds, Series 2015A 30,460,000 26,275,000 Revenue Refunding Bonds, Series 2015B 43,695,000 32,965,000 CFD 16-1 1A1 12,280,000 12,230,000
CFD 16-1 1A2 11,255,000 11,255,000
Bond Premium 10,389,831 9,077,436
Total 180,179,831 $ 145,257,436 $

91 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 8 – Long-Term Liabilities (Continued)

Multi-Family Housing Bonds – Non-City Obligations

Bonds issued to finance public improvement and/or affordable mu ltifamily housing projects are liabilities of the developers and are secured by liens against the assessed proper ty. The City has no obligation or duty to pay any delinquency out of any available funds of the City. Neither the faith, credit, nor the taxing power of the City is pledged to the payment of the bonds. Therefore, none of the following obligations are included in the accompanying basic financial statements. At June 30, 2021, the multi-family housing bonds outstanding are as follows:

Original Outs tanding
Amount June 30, 2021
2007 A Oxford Terrace Apartments 2,276,000$ 1,595,000$ 2007 B Oxford Terrace Apartments 2,363,000 2,363,000 2006 A Teresina Apartment Projects 37,940,000 37,940,000 2007 C The Landing Apartment 16,670,000 5,518,171 2013 A Congregational Tower 20,540,000 19,110,368 2016 A-1 Duetta Apts Homes 18,675,000 7,741,063 2016 A-3 Duetta Apts Homes Junior 725,000 725,000 2016 B-1 Volta Apts Homes 20,925,000 9,843,574 2016 B-3 Volga Apts Homes Junior 775,000 575,000 2010 A-1 Landings II Senior 11,786,233 9,945,720 2005A Rancho Vista 1,715,000 -
2003A Rancho Vista 11,485,000 -
2019 A Cordova and Trolley Apartments 6,450,000 4,014,813 2019 Series B-1 St. Regis Park Apartments 13,300,000 13,216,445 2019 Series B-2 St. Regis Park Apartments 1,300,000 - 2019 Series B-3 St. Regis Park Apartments 4,400,000 - 2019 Series B-4 Sub St. Regis Park Apartments 6,800,000 6,800,000 2020 Series A Otay Ranch Apartments 5,354,124 5,354,124 Total 183,479,357$ 124,742,278$

92 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 9 – Unearned Revenue

At June 30, 2021, unearned revenue was reported in the amount of $28,861,199 and related to grant program funding received but not expended for allowable costs as of June 30, 2021.

Note 10 – Compensated Absences

The City’s liability for vested and unpaid compensated absences (accrued vacation) has been accrued and amounts to $10,969,829 at June 30, 2021. For the governmental activities c laims and judgments and compensated absences are generally liquidated by the general fund and the fleet manageme nt internal service fund. In business-type funds, the liabilities are typically liquidated by the Sewer Fund and the Development Services Fund. Refer to the schedule of changes in long-term liabilities at Note 8 for the changes in c ompensated absences during the year. The table below describes the dollar amount of compensated absences allocated to the different activities and funds, and the percentage of liquidation applicable to those funds or activities:

Percentage of
Balance Liquidation
Governmental Activities
General Fund 10,119,260 $ 92.2%
Fleet Managem ent internal service fund 52,126 0.5% Subtotal - Governmental Activities 10,171,386
Bus ines s -type Activities
Sewer Fund 249,818 2.3%
Developm ent Services Fund 548,625 5.0%
Subtotal - Business-type Activities 798,443
Total Compensated Absences 10,969,829 $ 100.0%

Balance Balance Amount
Beginning End Due Within
of Y ear Additions Deletions of Y ear One Y ear
G overnmental Activites
Compensated Absences 10,200,707$ 6,041,414$ 6,070,735$ 10,171,386$ 6,053,286$ B usiness-type Activities
Compensated Absences 845,786 305,852 353,195 798,443 334,045 Grand Total 11,046,493$ 6,347,266$ 6,423,930$ 10,969,829$ 6,387,331$ 93 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 11 – Self-Insurance Accrued Liabilities

California employers, including the cities, are required to provide for workers’ compensation when the employees are injured on the job and the City of Chula Vista, in compliance w ith its workers compensation obligations, has a self- insurance workers’ compensation program. To administer City of Chula Vista's workers’ compensation program. The City requires a qualified workers’ compensation claims management service company (commonly called "Third Party A d m i n i s t r a t o r s " o r " T P A " ) t o s u p e r v i s e a n d a d m i n i s t e r t h e w o r k ers’ compensation claims m a d e u p o n t h e C i t y ' s self-insurance program.

City Council of the City of Chula Vista authorized the City Manager to execute an Agreement with Intercare Holdings Insurance Services, Inc., to act as the Third-Party Administrat or for the City’s Workers’ Compensation Program, effective July 1, 2017. The term of this agreement began July 1, 2017, and ended on June 30, 2018, for completion of all Required Services. The Agreement may be extended for up to five (5) additional terms and has been extended through June 30, 2021.

The City is self-insured for the first $1,000,000 per occurrence for workers’ compensation liabilities. Excess workers’ compensation coverage is obtained through participation in the Public Risk Innovation, Solutions, and Management (PRISM), formerly known as CSAC - Excess Insurance Authority. As of June 30, 2021, the program that offers per occurrence coverage up to $5,000,000 through pooled resources a nd from $5,000,000 to statutory limits via group purchased excess insurance policies.

Only the probable amounts of loss as estimated by the City’s Ri sk Manager and Attorney, in cluding an estimate of incurred-but-not reported losses, have been recorded as liabili ties in the accompanying basic financial statements.

There were no reductions in insurance from the prior year and t here were no insurance settlements that exceeded coverage in each of the past three years.

The aggregate change in the balance of claims payable as recorded in the Governmental Activities were as follows:

Claims and
Beginning
Balance
Changes in
Es timates
Claims
Paym ents Ending Balance
2018-2019 22,880,705$ 5,663,568 $ (4,306,980) $ 24,237,293 $ 2019-2020 24,237,293 4,472,938 (4,024,895) 24,685,336 2020-2021 24,685,336 11,304,276 (4,981,945) 31,007,667

The City determines that $4,000,000 of the $31,007,667 to be short term. The liabilities for claims and judgments are typically liquidated from the General Fund.

Note 12 – Pension Plans

A. California Public Employees’ Retirement Plans

Plan Description

All qualified permanent and probationary employees are eligible to participate in the City’s Miscellaneous Plan or the City’s Safety Plan, both agent multiple employer defined benefit pension plans administered by the California Public Employees’ Retir ement System (CalPERS), which a c t s a s a c o m m o n i n v e s t m e n t a n d administrative agent for its participating member employers. Be nefit provisions under the Plans are established by State statute and City resolution. CalPERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.

94 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 12 – Pension Plans (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 (52 under PEPRA) 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 foll owing: the Basic Death Benefit, the 1957 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, 2021, are summarized as follows:

Miscellaneous Plan
Tier 1* Tier 2 PEPRA
Hire date
Prior to
April 22, 2011
New Member on or
after April 22, 2011, but
prior to January 1, 2013
New Member on or
after January 1,
2013
Benefit formula 3% @ 60 2% @ 60 2% @ 62
Benefit vesting schedule 5 years’ service 5 years’ service 5 years’ service Benefit payments monthly for life monthl y for life monthly for life Retirement age 50 50 52
Monthly benefits, as a % of
eli
gible compensation 2.0% to 3.0% 1.092% to 2.418% 1.0% to 2.5% Required employee contribution
rates 8.0% 7.0% 6.75%
Required employer contribution
rates 31.545% 31.545% 12.757%

Safety Fire Plan
Tier 1* Tier 2 PEPRA
Hire date
Prior to
April 22, 2011
New Member on or
after April 22, 2011,
but prior to January 1,
2013
New Member 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 Retirement age 50 50 50
Monthly benefits, as a % of eligible
compensation 3.00% 2.4% to 3.0% 2.0% to 2.7%
Required employee contribution
rates 9.0% 9.0% 12.25%
Required employer contribution
rates 35.570% 35.570% 24.095%
95 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 12 – Pension Plans (Continued)

Safety Police Plan
Tier 1* Tier 2 PEPRA
Hire date
Prior to
April 22, 2011
New Member on or
after April 22, 2011,
but prior to January 1,
2013
New Member 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 Retirement age 50 50 50
Monthly benefits, as a % of eligible
compensation 3.00% 2.4% to 3.0% 2.0% to 2.7%
Required employee contribution
rates 9.0% 9.0% 12.25%
Required employer contribution
rates 35.570% 35.570% 24.095%

*Closed to new entrants

Employees Covered

At June 30, 2021, the following employees were covered by the benefit terms of the plans:

Miscellaneous Plan
Inactive employees or beneficiaries currently receiving benefit s8 5 7 Inactive employees entitled to but not yet receiving benefits 70 1 Active em ployees 592
Total 2,150
Safety Plan
Inactive employees or beneficiaries currently receiving benefit s3 7 5 Inactive employees entitled to but not yet receiving benefits 11 9 Active em ployees 356
Total 850

Contribution Description

Section 20814(c) of the California Public Employees’ Retirement L a w ( P E R L ) r e q u i r e s t h a t t h e e m p l o y e r contribution rates for all public employers are determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. The tot al plan contributions are determined through CalPERS’ annual actuarial valuation process. 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 em ployer is required to contrib ute 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 contribut ion requirements that are identified by the pension plan terms as plan member contribution requirements are classified as plan member contributions. $18,211,675 and $17,861,917 of contributions for the Miscellane ous and Safety Plan respectively, were recognized as a reduction to the net pension liability for fiscal year ending June 30, 2021. 96 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 12 – Pension Plans (Continued)

Actuarial Methods and Assumptions Used to Determine Total Pension Liability

The June 30, 2019, valuation was rolled forward to determine the June 30, 2020, total pension liability, based on the following actuarial methods and assumptions:

Actuarial Cost Method Entry Age Normal in accordance with the requirem ents of G ASB 68 Actuarial As s umptions
Discount Rate 7.15%
Inflation 2.50%
Salary Increases V aries by Entry Age and Service
Mortality Rate Table
1 Derived using CalPERS' m em bership data for all funds Post Retirement Benefit Increase The lesser of contract COLA or 2.50% until Purchasing Power Protection Allowance floor on purchasing power applies, 2.50% thereafter 1 The mortality table was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2017 CalPERS Ex perience Study for the period from1997 to 2015. Pre-retirement and post-retirement mortality rates include 15 years of projected mortality im provem ent using 90% of Scale MP-2016 published by the Society of Actuaries. For m ore details on this table, please refer to the CalPERS Experience Study and Review of Actuarial Assum ptions report from Decem ber 2017 that can be found on the CalPERS website.

Long-term Expected Rate of Return

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 t ook into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Using historical returns of all of the funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the long-term (11+ years) using a building-block approach. Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the rounded single equivalent expected r eturn that arrived at the same present value of benefits for cash flows as the one calculated using both short- term and long-term returns. The expected rate of return was then set equal to the single equivalent rate calcula ted above and adjusted to account for assumed administrative expenses. The expected real rates of return by asset class are as followed:

Assum ed
Asset Real Return Real Return
Asset Class
1 Allocation Years 1-10
2 Years 11+
3 G lobal equity 50.0% 4.80% 5.98%
Fixed income 28.0% 1.00% 2.62%
Inflation assets 0.0% 0.77% 1.81%
Private equity 8.0% 6.30% 7.23%
Real assets 13.0% 3.75% 4.93%
Liquidity 1.0% 0.00% -0.92%
1 In CalPERS' ACFR, Fix ed Incom e is included in G lobal Debt Securities; Liquidity is included in Short-term Investm ents; Inflation Assets are included in Global Equity Securities and G lobal Debt Securities.
2 An ex pected inflation rate of 2.00% is used for this period. 3 An ex pected inflation rate of 2.92% is used for this period. 97 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 12 – Pension Plans (Continued)

Discount Rate

The discount rate used to measure the total pension liability w as 7.15%. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will b e 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 ben efit payments to determine the total pension liability.

Subsequent Events

On November 15, 2021, the CalPERS Board of Administration selected a new asset allocation mix that will guide the fund’s investment portfolio for the next for years, while a t the same time retaining the current target rate of return. The Board also approved adding 5 percent leverage to increase investment diversification. The new asset allocation takes effect July 1, 2022 and is expected to decreas e employer contribution rates from less than 1 percent to a decrease of more than 2 percent depending on the plan type. Employees in the PEPRA plans will likely see increases in their contribution rates. Contribution changes will take effect in fiscal year 2023-24.

Amortization of Deferred Outflows and Deferred Inflows of Resources

Under GASB 68, gains and losses related to changes in total pen sion liability and fiduciary net position are recognized in pension expense systematically over time. The fir st amortized amounts are recognized in pension expense for the year the gain or loss occurs. The remaining amo unts are categorized as deferred outflows and deferred inflows of resources related to pensions and are to be recognized in future pension expense. The amortization period differs depending on the source of the gain or loss:

Net Difference between projected 5-year straight-line amortizati on and actual earnings on pension
plan investm ents
All other am ounts Straight-line am ortization over the ex pected average rem aining service lifetim e (EARSL) of all m em bers that are provided with benefits (active, inactive, and retired) at the beginning of the measure men t period. (2.7 years for Miscellaneous and 4.9 years for Safety)

98 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 12 – Pension Plans (Continued)

Changes in the Net Pension Liability

The following table shows the changes in net pension liability recognized over the measurement period.

Total Pension Plan Fiduciary Net Pension
Liability Net Pos ition Liability
(a) (b) (c) = (a) - (b)
Miscellaneous Plan:

Balance at: 06/30/2019 571,131,636$ 393,288,573$ 177,843,063$ (V aluation Date)
Changes Recognized for the
Measurement Period:

Service Cost 8,953,165 - 8,953,165 Interest on Total Pension Liability 40,325,600 - 40, 325,600 Differences Between Ex pected and
Actual Experience 2,562,816 - 2,562,816 Contributions - Em ployer - 18,211,675 (18,211,675) Contributions - Em ployees - 3,800,444 (3,800,444) Net Investm ent Incom e - 19,625,933 (19,625,933) Benefit Paym ents, Including Refunds of
Employee Contributions (28,353,268) (28,353,268) - Adm inistrative Ex pense - (554,440) 554,440 Net Changes During 2019-20 23,488,313 12,730,344 10,757,969 Balance at: 06/30/2020 594,619,949 406,018,917 188,601,032 (Measurement Date
Safety Plan:

Balance at: 06/30/2019 546,952,268 389,849,610 157,102,658 (V aluation Date)
Changes Recognized for the
Measurement Period:

Service Cost 12,575,630 - 12, 575,630 Interest on Total Pension Liability 38,422,153 - 38, 422,153 Differences Between Ex pected and
Actual Experience (3,779,764) - (3, 779,764) Contributions - Em ployer - 17,861,917 (17,861,917) Contributions - Em ployees - 4,257,612 (4,257,612) Net Investm ent Incom e - 19,386,578 (19,386,578) Benefit Paym ents, Including Refunds of
Employee Contributions (24,175,102) (24,175,102) - Adm inistrative Ex pense - (549,592) 549,592 Net Changes During 2019-20 23,042,917 16,781,413 6,261,504 Balance at: 06/30/2020 569,995,185 406,631,023 163,364,162 (Measurement Date
Total - All Plans 1,164,615,134$ 812,649,940$ 351,965,194$

.
99 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 12 – Pension Plans (Continued)

Sensitivity of the Net Pension Liability to Changes in the Discount Rates

The following presents the net pension liability of the Plans as of the measurement date, calculated using the discount rate of 7.15 percent, as well as what the net pension liability would be if it were calculated using a discount rate that is 1 percentage-point lower (6.15 percent) or 1 percentage-point higher (8.15 percent) than the current rate:

Discount Rate - 1%
(6.15%)
Current Discount Rate
(7.15%)
Discount Rate +1%
(8.15%)
Miscellaneous Plan 265,211,579$ 188,601,032$ 125,085,885$ Safety Plan 244,123,634 163,364,162 97,347,167 TOTAL 509,335,213$ 351,965,194$ 222,433,052$

Pension Plan Fiduciary Net Position

Detailed information about the plans’ fiduciary net position is available in the separately issued CalPERS financial reports. See CalPERS website for additional information.

Pension Expense and Deferred Outflows and Deferred Inflows of Resources Related to Pensions

For the year ended June 30, 2021, the City incurred a pension e xpense of $18,941,794 and $28,141,162 for the Miscellaneous and Safety Plans, respectively, for a total pensi on expense of $47,082,956. At June 30, 2021, the City of Chula Vista has deferred outflows and deferred inflows of resources related to pensions as follows:

Deferred Outflows Deferred Inflows
of Resources of Resources
Miscellaneous Plan
Contributions Subsequent to Measurem ent Date 196,350,263$ -$ Differences Between Ex pected and Actual Ex perience 1,613,625 95,378 Net Difference Between Projected and Actual Earnings on Pension Plan Investm ents 2,917,876 -
Subtotal - Miscellaneous Plan 200,881,764 95,378 Safety Plan
Contributions Subsequent to Measurem ent Date 191,117,507 - Changes of Assum ptions 5,398,780 792,200 Differences Between Ex pected and Actual Ex perience 2,881,601 3,346,121 Net Difference Between Projected and Actual Earnings on Pension Plan Investm ents 3,397,682 -
Subtotal - Safety Plan 202,795,570 4,138,321
Total - All Plans 403,677,334$ 4,233,699$
100

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 12 – Pension Plans (Continued)

The $196,350,263 and $191,117,507 for the Miscellaneous and Saf ety Plan, respectively, reported as deferred outflows of resources related to contributions subsequent to th e measurement date will be recognized as a reduction of the net pension liability in the year ended June 30, 2021. Other amounts reported as deferred outflows or deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Fiscal Y ears
Ended June 30: Miscellaneous Safety Total
2022 (912,911)$ 3,396,409$ 2,483,498$
2023 1,680,483 954,623 2,635,106
2024 2,030,165 2,205,137 4,235,302
2025 1,638,386 983,573 2,621,959
Deferred Outflows/(Inflows) of Resources

B. Defined Contribution Pension Plan

The City provides pension plan benefits for all of its part-tim e hourly employees through a defined contribution plan (Public Agency Retirement Plan). In a defined contributio n plan, benefits depend solely on amounts contributed to the plan plus investment earnings. The plan is administered by Public Agency Retirement Services (PARS). All part-time employees a re eligible to participate fro m the date of employment. Federal legislation requires contributions of at least 7.5% to a retirement plan, a nd City Council resolved to match the employees’ contributions of 3.75%. The City’s contributions for each employee (and interest earned by the accounts) are fully vested immediately. The authority to establish or amend the plan’s provisions resides with City Council.

For the year ended June 30, 2021, the City’s total hourly payroll (for eligible PARS members) and covered payroll was $1,499,366. The City made employer contributions of $56,226 (3.75% of current covered payroll), and employees contributed $56,226 (3.75% of current covered payroll).

C. Deferred Compensation 457B Plan

The City offers to its employees an optional deferred compensation plan created in accordance with Section 457 of the Internal Revenue Code. This plan is available to substantially all employees and allows participants to defer a portion of their current income until future years, up to a maximum of $19,500 (in whole dollars) per calendar year, so as to shelter such funds and earnings from state and f ederal taxation until withdrawal. The deferred compensation is not available to participants until termination , retirement, death, or unforeseeable emergency.

This plan is administered through a third‐party administrator. The City does not perform the investing function and has no fiduciary accountability for the plan. Thus, plan assets and any related liability to plan participants have been excluded from the City’s financial statements. At Jun e 30, 2021, the balance in the plan was $126,836,716.

Note 13 – Post Retirement Health Benefits

A. Defined Benefit Other-Post Employment Benefits Plan

Plan Description

The City administers a single-employer defined-benefit post-employment healthcare plan (the Plan). Dependents are eligible to enroll, and benefits continue to surviving spouses.

101

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 13 – Post Retirement Health Benefits (Continued)

Benefits Provided

Pre-Medicare Miscellaneous employees hired before January 1, 20 11, and Safety employees hired before April 22, 2011, pay 100% of the pre-Medicare active/retiree ble nded rate. All other pre-Medicare employees pay 100% of the unblended (pure retiree) pre-Medicare premium. Medi care retirees pay 100% of the unblended (pure retiree) premium.

Employees Covered by Benefit Terms

At June 30, 2019 (the census date), the benefit terms covered the following employees:

Active 493
Inactive employees or beneficiaries currently receiving benefit s 228 Inactive employees entitled to, but not yet receiving benefits - 721

The information above does not reflect eligible retirees that are in the process of enrolling in the healthcare plan.

Contributions

The City pays benefits as they com e due.

Contribution Rate: Benefits due
Reporting period contributions: $1,148,517 (includes im plicit subsidy credit)

Total OPEB Liability

The City's total OPEB liability was valued as of June 30, 2019, and was used to calculate the total OPEB liability measured as of June 30, 2021.

Actuarial Assumptions

The total OPEB liability in the June 30, 2021, actuarial valuat ion was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified:

Measurement Date 6/30/2021
Discount Rate 1.92%
Inflation 5.50%
Health Cost Trend Rates
Pre-Medicare 6.00% *
Medicare 4.00% *
Salary Increases 2.75% **
Mortality Rates Based on CalPERS tables.
* Trending down to 4.04% over 54 years. Applies to
calendar years.
** Additional merit-based increases based on CalPERS
merit salary increase tables.
102

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 13 – Post Retirement Health Benefits (Continued)

 Projections of the sharing of benefit-related costs are based on an established pattern of practice.  Experience studies come from the CalPERS Pension Assumption Model, revised May 14, 2018.  Inactive employees (retirees) pay 100% of the cost of benefits.  There were no ad hoc post-employment benefit changes (including ad hoc COLAs) to the plan.

Discount Rate

The discount rate used to measure the total OPEB liability is 1 .92%. The City's OPEB Plan is an unfunded plan, therefore the discount rate was set to the rate of tax-exempt, high-quality 20-year municipal bonds, as of the valuation date.

Trust Assets

There are no assets accumulated in a trust that meets the criteria in paragraph 4 of GASB 75 to pay related benefits.

Changes in the Total OPEB Liability

The changes in the Total OPEB Liability for the Plan are as follows:

Increase (Decrease)
Total OPEB Liability
Balance at June 30, 2020 25,079,014 $
Changes recognized over the measurement period:

Service Cost 1,468,936
Interest 636,356
Differences between actual and ex pected ex perience -
C hanges of assum pti ons 751,555
Implicit rate s ubs idy fulfilled (1,148,517)
Net Changes 1,708,330
Balance at June 30, 2021 26,787,344$

Sensitivity of the Total OPEB Liability to Changes in the Discount Rate and Healthcare Cost Trend Rate

Sensitivity of the total OPEB liability to changes in the discount rate. The total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calcul ated using a discount rate that is one percentage point lower (0.92%) or one percentage point higher (2.92%) follows:

1% Decrease Discount Rate 1% Increase

0.92% 1.92% 2.92%
Total OPEB Liability 28,524,330$ 26,787,344$ 25,119,441$ Increase (Decrease) 1,736,986 (1,667,903)
% Change 6.5% -6.2%

103

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 13 – Post Retirement Health Benefits (Continued)

Sensitivity of the total OPEB liability to changes in the healt hcare cost trend rates. The healthcare trend for this valuation started at 6.50% and decreased to 4.04% over years. T he total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using healthcare cost trend rates that are one percentage point lower (5.50%) or one percentage point higher (7.50%) than current healthcare cost trend rates follows:

1% Decrease Discount Rate 1% Increase

5.50% 6.50% 7.50%
Total OPEB Liability 23,779,481$ 26,787,344$ 30,248,334$ Increase (Decrease) (3,007,863) 3,460,990
% Change -11.2% 12.9%

OPEB Expense and Deferred Outflows and Inflows of Resources Related to OPEB

For the report year ended June 30 , 2021, the City recognized an OPEB expense of $3,639,714. The City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources:

Deferred Outflows Deferred Inflows
of Resources of Resources
Changes of Assumptions 2,734,569 $ - $
Differences Between Expected and Actual Experience 4,057,002 - Total 6,791,571 $ - $

Amounts reported as deferred outflows or deferred inflows of resources related to OPEB will be recognized as OPEB expense as follows:

Fiscal Y ear
ended June 30:

Deferred
Outflows/(Inflows) of
Resources
2022 1,534,422$
2023 1,534,422
2024 1,531,700
2025 1,499,935
2026 644,123
Thereafter 46,969

The effects on the total OPEB liability of (1) changes of econo mic and demographic assumptions or of other inputs and (2) differences between expected and actual experience are required to be included in OPEB expense in a systematic and rational manner over a closed period equal to th e average of the expected remaining service lives of all employees that are provided w ith benefits through the OPEB plan (active employees and inactive employees), beginning in the current period. The expected average remaining service lives (EARSL) for the current period is

6.4 years.

B. Defined Contribution Other Post-Employment Benefits Plan

The City offers eligible retiring employees a Post-Employment Health Plan (PEHP). This plan is administered through a third-party administrator. PEHP is a tax-exempt Voluntary Emp loyee’s Beneficiary Association (“VEBA”) Trust, which provides employee benefits pursuant to IRC Code Section 501(c)(9). PEHP creates a defined contribution health reimbursement program that allows for money to be set aside to pay for future medical expenses. PEHP is funded with 104

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 13 – Post Retirement Health Benefits (Continued)

mandatory eligible employee contributions. Depending on the bar gaining unit and its respective plan agreements, these mandatory contributions can be unused vacation and/or compensatory time off due to the employee at the time of retirement. At June 30, 2021, the balance of the assets held by the trustee for this plan was $1,340,916.

Note 14 – Commitments and Contingencies

Litigation

The City is presently involved in certain matters of litigation that have risen in the normal course of conducting City business. City management believes, based upon consultation with the City Attorney, that these cases, in the aggregate, are not expected to result in a material adverse financial impact on the City. Additionally, City management believes that the City’s insurance programs are sufficient to cover any potential losses should an unfavorable outcome materialize.

Grants

The City participates in a number of federally assisted grant programs, including those from the U.S. Department of Housing and Urban Development, U.S. Department of Justice, U.S. Department of Treasury, U.S. Department of Transportation, and the U.S. Department of Education. Receipts from these grant programs are subject to audit to determine if the monies were expended in accordance with appropriate statues, grant terms and regulations. The City believes no significant liabilities will result on this audit.

Construction Commitments

Expenditures Remaining
Project Description PO Amount to Date Balance
Fire Stations Repair/Replace 16,954,600 $ 16,663,538 $ 291,062 $ Str Pavement Rehab Ph 2-Measure P 13,090,431 11,547,651 1,542,780 RMRA Major Pavem ent Rehab Ph/ Orange Park Parking Lot Im provem ent 3,743,808 3,417,819 325,989 Bike Lane Improv Broadway Ph I Bike Lanes on Broadway 3,5 68,000 3,018,636 549,364 Third Avenue Streetscape Imp Phase III 3,327,680 3,307,732 19,948 Traffic Sig Sys-Fiber Network 3,200,000 192,613 3,007,387 Major Pavement Rehab FY17/18 Bonita Rd & Allen School Lane 3,010,780 2,622,890 387,890 Major Pavement Rehab FY18/19 2,421,003 2,196,456 224,547 Parkside Dr Lift Statn Upgrds 1,432,270 1,431,699 571 Traffic Sig Mod at 5 Intersect 1,340,051 1,286,795 53,256 RMRA Major Pavement Rehab FY17/18 1,312,137 1,231,155 80,982 Pavement Minor Rehab FY19/20 1,165,000 1,161,936 3,064 Ped Countdown Inst&Signal Mod 1,112,474 1,110,142 2,332

Encumbrances

At June 30, 2021, there were encumbrances of $23,415,093 in the General Fund, $4,105,575 in the Sundry Grants Fund, $92 in the Housing Successor Agency, $814,791 in the Development Impact Fee Fund, $3,049,068 in the Sewer Fund, $829,774 in the Development Services Fund, and $23,006,624 in the non-major funds.

City Loan to Successor Agency

The General Fund has loaned a cumulative amount of $9,159,926 i ncluding interest to the Successor Agency for unreimbursed services rendered by City staff. It is anticipated that the Agency will repay this loan from Redevelopment Property Tax Trust Fund distributions. Currently, Redevelopment Property Tax Trust Fund distributions are used to pay for related debt service expendit ures and possible future debt issuance. As a result, the Successor Agency is uncertain if the amount will be repaid to the City’s General Fund. Accordingly, this contingent payable has not been reported in the accompanying basic financial statements. The Agency will record the contingent payable when payment is assured.
105

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021

Note 14 – Commitments and Contingencies (Continued)

Successor Agency – Long Range Property Management Plan

The City, acting as the Successor Agency to the Chula Vista Redevelopment Agency, prepared a Long-Range Property Management Plan (LRPMP) in compliance with AB 1484. The Success or Agency Oversight Board reviewed and approved the LRPMP on May 12, 2014 and submitted it to the Cali fornia Department of Finance for review on May 27, 2014. The Department of Finance approved the LRPMP in their July 15, 2014, determination letter. 106

REQUIRED SUPPLEMENTARY

INFORMATION
107







108

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE

GENERAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 112,524,177$ 112,524,177$ 112,524,177$ -$ Resources (Inflows):

Taxes 165,147,626 175,361,320 178,559,883 3,198,563 Licenses and permits 1,680,159 1, 680,159 1, 985,050 304,891 Intergovernmental 3,495,932 9, 645,073 8, 675,075 (969,998) Charges for services 8,113,343 6, 524,691 6, 724,422 199,731 Use of money and property 2,969,116 2, 174,943 2, 183,702 8,759 Fines and forfeitures 1,246,253 1, 146,253 857,780 (288,473) Contributions 2,768,003 2, 296,581 2, 299,163 2,582 Developer participation 1,817,377 1, 743,683 1, 559,107 (184,576) Miscellaneous 11,361,186 13, 517,051 13,564,032 46,981 Transfers in 11,283,257 11, 334,774 11,942,223 607,449 Amounts Available for Appropriations 322,406,429 337,948,705 340,874,614 2,925,909 Charges to Appropriations (Outflow):

Current:

General government:

City council 1,621,826 1,594,995 1,382,554 212,441 City clerk 1,023,234 989,920 1,012,949 (23,029) City attorney 3,329,460 3, 124,216 3, 034,627 89,589 Administration 2,565,311 2, 371,404 2, 356,049 15,355 Information technology 3,813,214 3, 506,594 3, 567,345 (60,751) Human resources 2,775,348 2, 915,983 2, 908,977 7,006 Finance 5,453,185 5, 523,218 5, 464,445 58,773 Non-departmental 4,030,955 8,141,738 8,610,208 (468,470) Board and commissions 133,911 124,568 20,619 103,949 Public safety:

Police 68,149,035 68, 257,843 66,501,994 1,755,849 Fire 41,765,559 46, 204,449 44,794,765 1,409,684 Animal care facility 2,834,731 2,803,714 2,706,979 96,735 Community development:

Economic development 1,929,793 3, 216,117 3, 232,484 (16,367) Development services 2,790,135 3, 898,430 3, 682,013 216,417 Parks and recreation 11,069,929 10, 561,268 10,279,207 282,061 Public works:

Public works 12,073,128 12, 369,717 11,964,723 404,994 Engineering 9,696,449 9,492,785 9,111,568 381,217 Library 4,013,586 3, 424,810 2, 811,144 613,666 Capital outlay 10,458,065 51, 205,519 24,876,665 26,328,854 Debt service:

Principal retirement 6,651,275 763,775 763,233 542 Interest and fiscal charges 2,382,463 136,724 134,388 2,336 Transfers out 5,158,066 13, 274,929 13,596,396 (321,467) Total Charges to Appropriations 203,718,658 253,902,716 222,813,332 31,089,384 Budgetary Fund Balance, June 30 118,687,771$ 84,045,989$ 118,061,282 34,015,293$ Reconciliation of Budgetary Comparison Schedule to Statement of Revenues, Expenditures, and Changes in Fund Balance
Fund 804 - Flexible Spending Account (FSA) Fund Balance, July 1 815,370 Unbudgeted Revenues
Fund 804 - FSA Contributions 938,809
Unbudgeted Expenditures
Fund 804 - FSA Disbursements (711,209)
Fund Balance of General Fund, June 30 119,104,252$
The notes to required supplementary information are an integral part of this schedule. 109

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE

SUNDRY GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 8,545,963$ 8,545,963 $ 8,545,963$ -$ Resources (Inflows):

Intergovernmental 14,479,872 24,618,641 13,557,162 (11,061,479) Charges for services 1,557,095 1,548,312 1, 757,240 208,928 Use of money and property 113,000 166,470 869,587 703,117 Contributions (64,832) 18,996,845 5,380,489 (13,616,356) Miscellaneous 202,059 392,667 1,235,665 842,998 Transfers in 115,305 133,305 104,436 (28,869) Amounts Available for Appropriations 24,948,462 54,402,203 31,450,542 (22,951,661) Charges to Appropriations (Outflow):

Current:

General government:

Finance - 1,459,251 553,986 905,265 Public safety:

Police 10,180,353 12,077,797 8,766,242 3,311,555 Fire 463,983 776,552 411,238 365,314 Animal care facility - 45,667 38,129 7,538 Community development:

Economic development 4,413,057 4,907,920 2, 335,288 2,572,632 Development services 3,631,682 32,754,195 6,870,641 25,883,554 Library - 95,966 20,880 75,086 Capital outlay 2,109,800 8,173,672 1, 465,354 6,708,318 Transfers out 1,619,801 1,704,801 2, 242,078 (537,277) Total Charges to Appropriations 22,418,676 61,995,821 22,703,836 39,291,985 Budgetary Fund Balance, June 30 2,529,786$ (7,593,618)$ 8,746,706$ 16,340,324$ The notes to required supplementary information are an integral part of this schedule. 110

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE

HOUSING SUCCESSOR AGENCY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 12,360,207$ 12, 360,207$ 12,360,207 $ -$ Resources (Inflows):

Use of money and property 215,000 215,000 942,135 727,135 Miscellaneous 255,000 255,000 1,334,234 1,079,234 Amounts Available for Appropriations 12,830,207 12,830,207 14,637,620 1,807,413 Charges to Appropriations (Outflow):

Current:

Community development:

Development services 2,072,400 2,072,400 1, 517,437 554,963 Total Charges to Appropriations 2,072,400 2,072,400 1, 517,437 554,963 Budgetary Fund Balance, June 30 10,757,807$ 10,757,807$ 13,120,183$ 2,362,376$ The notes to required supplementary information are an integral part of this schedule. 111

CITY OF CHULA VISTA

MISCELLANEOUS PLAN

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS 1
2015 2016
Measurement Date 6/30/2014 6/30/2015

TOTAL PENSION LIABILITY
Service Cost 8,696,183$ 8,570,421$
Interest 32,359,841 34,103,210
Difference Between expected and Actual Experience - 925,960 Changes in Assumptions - (8,500,698)
Benefit Payments, Including Refunds of employee Contributions (18,639,387) (19,539,333) Net Change in Total Pension Liability 22,416,637 15,559,560 Total Pension Liability - Beginning 436,436,153 458,852,790 Total Pension Liability - Ending (a) 458,852,790 474,412,350

PLAN FIDUCIARY NET POSITION
Contribution - Employer 9,134,182 13,499,144
Contribution - Employee 4,555,300 3,679,749
Plan to Plan Resource Movement - 5,268
Net Investment Income 48,303,496 7,195,063
Benefit Payments, Including Refunds of Employee Contributions (18,639,387) (19,539,333) Administrative Expense - (368,694)
Other Miscellaneous Income/(Expense) - -
Net Change in Fiduciary Net Position 43,353,591 4,471,197 Plan Fiduciary Net Position - Beginning 279,540,671 322,894,262 Plan Fiduciary Net Position - Ending (b) 322,894,262 327,365,459 Plan Net Pension Liability/(Assets) - Ending (a) - (b) 135,958,528$ 147,046,891$

70.37% 69.00%
Covered Payroll 42,760,249$ 44,135,521$
317.96% 333.17%
Notes to Schedule of Changes in Net Pension Liability and Related Ratios:

Plan Fiduciary Net Position as a Percentage of the Total Pension Liability Plan Net Pension Liability/(Asset) as a Percentage of Covered Payroll Benefit Changes: The figures above do not include any liability impact that may have resulted from plan changes which occurred after the June 30, 2019 valuation date. This applies for voluntary benefit changes as well as any offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes).

Changes of Assumptions: None in 2020 or 2021. In 2019, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate. In 2018, the discount rate was reduced from 7.65 percent to 7.15 percent. In 2017, there were no changes. In 2016, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense.) In 2015, amounts reported were based on the 7.5 percent discount rate.
1 Fiscal Year 2015 was the first year of implementation; therefore, only seven years are shown. 112
2017 2018 2019 2020 2021
6/30/2016 6/30/2017 6/30/2018 6/30/2019 6/30/2020
8,451,918$ 9,370,865$ 9,048,165 $ 8,696,267 $ 8,953,165$ 35,618,575 36,639,997 37,305,907 38,721,727 40,325,600
(2,524,995) (6,331,454) (8,223,685) (413,302) 2,562,816 - 30,693,812 (4,314,060) - -
(21,022,078) (23,072,106) (24,924,595) (27,001,672) (28,353,268) 20,523,420 47,301,114 8,891,732 20,003,020 23,488,313
474,412,350 494,935,770 542,236,884 551,128,616 571,131,636 494,935,770 542,236,884 551,128,616 571,131,636 594,619,949 12,461,946 13,663,149 14,479,069 16,244,599 18,211,675
3,764,641 3,536,418 3,603,297 3,592,996 3,800,444
- - (874) - -
1,747,676 36,763,992 30,032,849 24,600,973 19,625,933
(21,022,078) (23,072,106) (24,924,595) (27,001,672) (28,353,268) (199,512) (478,539) (552,457) (268,407) (554,440)
- - (1,049,125) 874 -
(3,247,327) 30,412,914 21,588,164 17,169,363 12,730,344 327,365,459 324,118,132 354,531,046 376,119,210 393,288,573 324,118,132 354,531,046 376,119,210 393,288,573 406,018,917 170,817,638$ 187,705,838 $ 175,009,406 $ 177,843,063 $ 188,601,032 $

65.49% 65.38% 68.25% 68.86% 68.28%
45,990,463$ 44,435,640$ 44,578,340 $ 45,798,549 $ 47,627,626 371.42% 422.42% 392.59% 388.32% 395.99%
113

CITY OF CHULA VISTA

SAFETY PLAN

SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
2015 2016
Measurement Date 6/30/2014 6/30/2015

TOTAL PENSION LIABILITY
Service Cost 10,220,233$ 9,646,806$
Interest 28,334,465 29,979,452
Difference Between expected and Actual Experience - 460,215 Changes in Assumptions - (7,813,969)
Benefit Payments, Including Refunds of employee Contributions (15,869,862) (17,767,853) Net Change in Total Pension Liability 22,684,836 14,504,651 Total Pension Liability - Beginning 380,617,699 403,302,535 Total Pension Liability - Ending (a) 403,302,535 417,807,186

PLAN FIDUCIARY NET POSITION
Contribution - Employer 11,684,174 7,555,357
Contribution - Employee 3,157,921 3,230,989
Plan to Plan Resource Movement 47,649,285 6,999,744
Net Investment Income (15,869,862) (17,767,853)
Benefit Payments, Including Refunds of Employee Contributions - (359,830) Administrative Expense - -
Other Miscellaneous Income/(Expense) - -
Net Change in Fiduciary Net Position 46,621,518 (341,593) Plan Fiduciary Net Position - Beginning 273,515,399 320,136,917 Plan Fiduciary Net Position - Ending (b) 320,136,917 319,795,324 Plan Net Pension Liability/(Assets) - Ending (a) - (b) 83,165,618$ 98,011,862$

79.38% 76.54%
Covered Payroll 34,243,101$ 34,117,846$
242.87% 287.27%
Notes to Schedule of Changes in Net Pension Liability and Related Ratios:
1 Fiscal Year 2015 was the first year of implementation; therefore, only seven years are shown.

Plan Fiduciary Net Position as a Percentage of the Total Pension Liability Plan Net Pension Liability/(Asset) as a Percentage of Covered Payroll Benefit Changes: The figures above do not include any liability impact that may have resulted from plan changes which occurred after the June 30, 2019 valuation date. This applies for voluntary benefit changes as well as any offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes).

Changes of Assumptions: None in 2020 or 2021. In 2019, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate. In 2018, the discount rate was reduced from 7.65 percent to 7.15 percent. In 2017, there were no changes. In 2016, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense.) In 2015, amounts reported were based on the 7.5 percent discount rate.
114
2017 2018 2019 2020 2021
6/30/2016 6/30/2017 6/30/2018 6/30/2019 6/30/2020
9,971,492$ 11,594,959$ 12,044,725 $ 12,267,031 $ 12,575,630$ 31,658,073 33,213,616 34,751,830 36,853,969 38,422,153
768,421 (1,210,352) (307,813) 4,868,911 (3,779,764)
- 29,393,364 (2,112,530) - -
(19,460,670) (20,397,814) (21,801,437) (22,950,693) (24,175,102) 22,937,316 52,593,773 22,574,775 31,039,218 23,042,917
417,807,186 440,744,502 493,338,275 515,913,050 546,952,268 440,744,502 493,338,275 515,913,050 546,952,268 569,995,185 10,971,712 11,670,017 13,529,290 15,445,861 17,861,917
3,420,273 3,620,014 3,804,814 3,966,723 4,257,612
1,664,170 35,554,749 29,258,121 24,248,349 19,386,578
(19,460,670) (20,397,814) (21,801,437) (22,950,693) (24,175,102) (194,899) (466,842) (539,438) (263,613) (549,592)
- - (858) - -
- - (1,024,401) 858 -
(3,599,414) 29,980,124 23,226,091 20,447,485 16,781,413 319,795,324 316,195,910 346,176,034 369,402,125 389,849,610 316,195,910 346,176,034 369,402,125 389,849,610 406,631,023 124,548,592$ 147,162,241 $ 146,510,925 $ 157,102,658 $ 163,364,162$

71.74% 70.17% 71.60% 71.28% 71.34%
37,174,663$ 37,817,316$ 39,384,099 $ 40,374,060 $ 37,732,745 335.04% 389.14% 372.01% 389.12% 432.95%
115

CITY OF CHULA VISTA

SCHEDULES OF PLAN CONTRIBUTIONS
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS 1
Fiscal Year Actuarially Actual Contribution Contribution Ending Determined Employer Deficiency Covered as a % of June 30, Contribution Contribution (Excess) Payroll Covered Payroll 2015 9,637,382$ 9,637,382$ -$ 44,135,521$ 21.84% 2016 10,214,678 10,214,678 - 45,990,463 22.21% 2017 10,864,203 10,864,203 - 44,435,640 24.45% 2018 10,942,584 10,942,584 - 44,578,340 24.55% 2019 12,333,078 12,333,078 - 45,798,549 26.93% 2020 10,890,567 10,890,567 - 47,627,626 22.87% 2021 10,904,285 196,350,263 (185,445,978) 48,617,605 403.87% Fiscal Year Actuarially Actual Contribution Contribution Ending Determined Employer Deficiency Covered as a % of June 30, Contribution Contribution (Excess) Payroll Covered Payroll 2015 12,553,815$ 12,553,815$ -$ 34,117,846$ 36.80% 2016 13,859,572 13,859,572 - 37,174,663 37.28% 2017 14,965,975 14,965,975 - 37,817,316 39.57% 2018 17,324,929 17,324,929 - 39,384,099 43.99% 2019 19,585,859 19,585,859 - 40,374,060 48.51% 2020 24,641,503 24,641,503 - 37,732,745 65.31% 2021 28,332,777 191,117,507 (162,784,730) 39,655,225 481.95% CalPERS Miscellaneous Employees Agent, Multiple-Employer Pension Plan:

CalPERS Safety Employees Agent, Multiple-Employer Pension Plan:
1 Historical information is required only for measurement for which GASB 68and GASB 75 is applicable. Fiscal year2015 was the first year of implementation for GASB 68, therefore only seven years are shown.

The notes to required supplementary information are an integral part of this schedule. 116

CITY OF CHULA VISTA

SCHEDULE OF CHANGES IN THE TOTAL OPEB LIABILITY AND RELATED RATIOS AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS 1
2018 2019 2020 2021

TOTAL OPEB LIABILITY
Service cost 825,786$ 819,100 $ 921,271$ 1,468,936$
Interest on the total OPEB liability 495,822 549,699 516,371 636,356 Difference between expected and actual experience 4,128 - 5,786,481 - Change of assumptions 183,361 504,190 2,640,687 751,555 Implicit rate subsidy fulfilled (536,155) (634,315) (724,009) (1,148,517) Net change in total OPEB liability 972,942 1,238,674 9,140,801 1,708,330 Total OPEB Liability - Beginning 13,726,597 14,699,539 15,938,213 25,079,014 Total OPEB Liability - Ending 14,699,539$ 15,938,213$ 25,079,014$ 26,787,344$ Plan fiduciary net position as a percentage of the total OPEB liability 2 0.00% 0.00% 0.00% 0.00% Covered-employee payroll 53,738,469$ 55,216,277 $ 56,734,725$ 58,294,930$ Total OPEB liability as a percentage of covered-employee payroll 27.35% 28.87% 44.20% 45.95% Notes to Schedule of Changes in the Total OPEB Liability and Related Ratios:
2 The plan is not funded through a qualifying trust; therefore, there is no fiduciary net position to offset the total OPEB liability. 1 Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation. Future years' information will be displayed up to 10 years as information becomes available. 117
&,7<2)&+8/$9,67$

127(6725(48,5('6833/(0(17$5<,1)250$7,21
)257+(<($5(1'('-81(


 %8'*(7$5<,1)250$7,21

$QDQQXDOEXGJHWLVDGRSWHGE\WKH&LW\&RXQFLOSULRUWRWKHIL UVWGD\RIWKHILVFDO\HDU7KHEXGJHW SURFHVVLQFOXGHVVXEPLWWDORIHDFKGHSDUWPHQW
VEXGJHWUHTXHVW IRUWKHQH[WILVFDO\HDUDGHWDLOHG UHYLHZRIHDFKGHSDUWPHQW
VSURSRVHGEXGJHWE\WKH&LW\0DQDJHU DQGDILQDO&LW\0DQDJHU UHFRPPHQGHGEXGJHWWUDQVPLWWHGWRWKH&LW\&RXQFLOIRULWVUHYL HZEHIRUHWKHUHTXLUHGGDWHRI DGRSWLRQ2QFHWUDQVPLWWHGWRWKH&LW\&RXQFLOWKHSURSRVHGEXGJHWLVPDGHDYDLODEOHIRUSXEOLF LQVSHFWLRQ$SXEOLFKHDULQJLVKHOGWRJLYHWKHSXEOLFWKHRSSRUWXQLW\WRFRPPHQWXSRQWKHSURSRVHG EXGJHW1RWLFHRIVXFKSXEOLFKHDULQJLVSXEOLVKHGLQDQHZVSDSHURIJHQHUDOFLUFXODWLRQ 
7KHDGRSWLRQRIWKHEXGJHWLVDFFRPSOLVKHGE\WKHDSSURYDORID%XGJHW5HVROXWLRQ7KHOHJDOOHYHO RIEXGJHWDU\FRQWUROLVDWWKHH[SHQGLWXUHIXQFWLRQOHYHO$Q\ EXGJHWPRGLILFDWLRQZKLFKZRXOG UHVXOWLQDQDSSURSULDWLRQLQFUHDVHUHTXLUHV&LW\&RXQFLODSSU RYDO7KH&LW\0DQDJHULVDXWKRUL]HG WRWUDQVIHUDSSURSULDWLRQVXSWR ZLWKLQDGHSDUWPHQWDO EXGJHW$Q\DSSURSULDWLRQWUDQVIHUV EHWZHHQGHSDUWPHQWVRUJUHDWHUWKDQUHTXLUH&LW\&RXQFLODSSURYDO 
5HSRUWHGEXGJHWILJXUHVDUHDVRULJLQDOO\DGRSWHGRUVXEVHTXHQWO\DPHQGHGSOXVSULRU\HDUFRQWLQXLQJ DSSURSULDWLRQV6XFKEXGJHWDPHQGPHQWVGXULQJWKH\HDULQFOXGL QJWKRVHUHODWHGWRVXSSOHPHQWDO DSSURSULDWLRQVGLGQRWFDXVHWKHVHUHSRUWHGEXGJHWDPRXQWVWR EHVLJQLILFDQWO\GLIIHUHQWWKDQWKH RULJLQDOO\DGRSWHGEXGJHWDPRXQWV$OODSSURSULDWLRQVZKLFKDUH QRWREOLJDWHGHQFXPEHUHGRU H[SHQGHGDWWKHHQGRIWKHILVFDO\HDUODSVHDQGEHFRPHDSDUWRIWKHXQUHVHUYHGIXQGEDODQFHZKLFK PD\EHDSSURSULDWHGIRUWKHQH[WILVFDO\HDU

$QDQQXDOEXGJHWIRUWKH\HDUHQGHG-XQHZDVDGRSWHGDQGDSSURYHGE\&LW\&RXQFLOIRU WKHJHQHUDOVSHFLDOUHYHQXHFDSLWDOSURMHFWDQGGHEWVHUYLFH IXQGVH[FHSWIRUWKH8WLOLW\7D[ 6HWWOHPHQWDQG93XE%HQHILW&RQWULEXWLRQVSHFLDOUHYHQXHIXQG VDQGWKH+LJKZD\6DIHW\ %LF\FOH)DFLOLW\7UDQVSRUWDWLRQ3DUWQHUVKLSDQG,QGXVWULDO'H YHORSPHQW$XWKRULW\FDSLWDOSURMHFW IXQGV7KHVHEXGJHWVDUHSUHSDUHGRQWKHPRGLILHGDFFUXDOEDVLVRIDFFRXQWLQJ 
([SHQGLWXUHV IRU WKH \HDU HQGHG -XQH   H[FHHGHG DSSURSULDWLRQV RI WKH *HQHUDO DQG 0DMRU6SHFLDO5HYHQXHDVIROORZV



 
 $SSURSULDWLRQV ([SHQGLWXUHV ([FHVV 
*HQHUDO)XQG
 
*HQHUDOJRYHUQPHQW 
  
7UDQVIHUVRXW  



 
 
6XQGU\*UDQWV
 
7UDQVIHUVRXW     
118
&,7<2)&+8/$9,67$

127(6725(48,5('6833/(0(17$5<,1)250$7,21
)257+(<($5(1'('-81(


 %8'*(7$5<,1)250$7,21
&RQWLQXHG


7KH*HQHUDO)XQGIRUILQDQFLDOUHSRUWLQJSXUSRVHVLQFOXGHVDQXQEXGJHWHG)XQG)XQG±)OH[LEOH 6SHQGLQJ$FFRXQW3ULRUWRWKHLPSOHPHQWDWLRQRI*$6%WKLV )XQGZDVUHSRUWHGDVDQ$JHQF\ )XQGDQGQRWLQFOXGHGZLWKLQWKHXPEUHOODRIWKH*HQHUDO)XQG 7KLV)XQGGRHVQRWTXDOLI\DVD VSHFLDOUHYHQXHIXQGRUDQ\RWKHUW\SHRIJRYHUQPHQWDORUSURSULHWDU\IXQGQRUGRHVLWTXDOLI\DVD ILGXFLDU\IXQGJLYHQWKHFULWHULDRI*$6%DVVXFKLWLVLQFOXGHGDVSDUWRIWKH*HQHUDO)XQG)RU EXGJHWDU\SXUSRVHV)XQGLVH[FOXGHGIURPWKHDPRXQWVLQWKHVFKHGXOHDVQREXGJHWLVDGRSWHG IRULWVDFWLYLWLHVDQGDUHFRQFLOLDWLRQRIWKH*HQHUDO)XQG%X GJHWDU\&RPSDULVRQ6FKHGXOHWRWKH 6WDWHPHQWRI5HYHQXHV([SHQGLWXUHVLVSUHVHQWHGVKRZLQJWKHXQEXGJHWHGDFWLYLWLHVLQ)XQG 
 $&78$5,$/$668037,21681'(5/<,1*7+(6&+('8/(2)3/$1 &2175,%87,216)250,6&(//$1(286$1'6$)(7<3(16,213/$16 7KHDFWXDULDOPHWKRGVDQGDVVXPSWLRQVXVHGWRVHWWKHDFWXDULDOO\GHWHUPLQHGFRQWULEXWLRQVIRUILVFDO\HDUHQGHG -XQHZHUHGHULYHGIURPWKH-XQHIXQGLQJYDOXDWLRQUHSRUW 
$FWXDULDO&RVW0HWKRG
(QWU \$JH1RUPDO
$PRUWL]DWLRQ0HWKRG3HULRG
)RUGHWDLOVVHHWKH-XQHIXQGLQJY DOXDWLRQUHSRUWDYDLODEOHDW &DO3(56
ZHEVLWH
$VVHW9DOXDWLRQ0HWKRG
0DUNHW9DOXHRI$VVHWV
,QIODWLRQ
SHUFHQ W
6DOD\,QFUHDVHV
9DULHVE\(QWU\$JHDQG6HUYLFH
3D\UROO*URZWK
SHUFHQ W
,QYHVWPHQW5DWHRI5HWXUQ
 SHUFHQWQHWRILQYHVWPHQWDQGDGPLQLVWUDWLYHH[SHQVH 5HWLUHPHQW$JH
7KH SUREDELOLWLHV RI UHWLUHPHQW DUH EDVHG RQ WKH  &DO 3(56 ([SHULHQFH6WXG\IRUWKHSHULRGRI

WR
0RUWDOLW\
7KH SUREDELOLWLHV RI PRUWDOLW\ DUH EDVHG RQ WKH  &DO3(56 ([SHULHQFH 6WXG\ IRU WKH SHULRG RI 

 WR 
3UHUHWLUHPHQW DQG SRVWUHWLUHPHQW PRUWDOLW\ UDWHV LQFOXGH  \HDUV RI SURMHFWHG PRUWDOLW\ LPSURYHPHQW XVLQJ 6FDOH %% SXEOLVKHGE\WKH6RFLHW\RI$FWXDULHV


119







120

SUPPLEMENTARY INFORMATION
121

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments 12,313,358$ 1, 529,071$ 8,351$ 1,814,995$ 164,567$ Receivables:

Accounts - 16,157 44,922 97,644 -
Taxes 919,568 - - - -
Accrued interest ---- -
Deferred loans (net of allowance for uncollectibles) - - - - - Due from other governments ---- -
Prepaid costs ---- -
Restricted assets:

Cash and investments with fiscal agents - - - - -
Total Assets 13,232,926$ 1,545,228$ 53,273$ 1,912,639$ 164,567$

LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:

Liabilities:

Accounts payable 117,624$ 149,183$ 389$ 28,318$ -$ Retentions payable 53,766 - - - -
Accrued liabilities 7,068 - - - -
Deposits payable ---- -
Due to other funds - - - - -
Unearned revenues - - - - -
Total Liabilities 178,458 149,183 389 28,318 -
Deferred Inflows of Resources:

Unavailable revenues - - - 9,465 -
Total Deferred Inflows of Resources - - - 9,465 -
Fund Balances:

Nonspendable:

Prepaid costs ---- -
Restricted:

Community development projects 13,054,468 - - - -
Public safety - 1,396,045 52,884 - -
Parks and recreation - - - - -
Capital projects - - - 1,874,856 164,567
Debt service ---- -
Unassigned ---- -
Total Fund Balances 13,054,468 1,396,045 52,884 1,874,856 164,567 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 13,232,926$ 1,545,228$ 53,273$ 1,912,639$ 164,567$ Special Revenue Funds
Transportation
Grants Parking Meter Traffic Safety Storm Drain Town Center I 122

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:

Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:

Cash and investments with fiscal agents
Total Assets

LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:

Liabilities:

Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable:

Prepaid costs
Restricted:

Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
42,108,860$ 117,660$ 6,086,712$ 318,299$ 271,579$ - - 56,979 - 12
55,375 - - - -
- - 10,207 - -
- 448,901 3,797,829 - -
- 25,536 - 751,157 -
14,051 - - - -
---- -
42,178,286$ 592,097$ 9,951,727$ 1,069,456$ 271,591$ 1,864,530$ 558 $ 1,437 $ 2,028,896$ 2,807$ - - - 479,199 -
- - 21,721 - -
---- -
---- -
---- 21,164
1,864,530 558 23,158 2,508,095 23,971
- 448,900 3,820,029 154,211 12
- 448,900 3,820,029 154,211 12
14,051 - - - -
- 142,639 6,108,540 - -
---- -
---- 247,608
40,299,705 - - - -
---- -
- - - (1,592,850) -
40,313,756 142,639 6,108,540 (1,592,850) 247,608
42,178,286$ 592,097$ 9,951,727$ 1,069,456$ 271,591$ Special Revenue Funds
Mobile Park Fee
Open Space
Districts
Housing
Programs
Housing
Authority
Transportation
Sales Tax
123

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:

Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:

Cash and investments with fiscal agents
Total Assets

LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:

Liabilities:

Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable:

Prepaid costs
Restricted:

Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Capital Projects
Fund
1,417,113$ 104,336$ 390,484$ 1,594,676$ 40,397,394$ ---- -
122,615 - - - -
---- -
---- 2,782,904
4,900 - - - -
---- -
---- -
1,544,628$ 104,336$ 390,484$ 1,594,676$ 43,180,298$ 23,664$ -$ -$ 26,616$ -$ ---- -
---- -
- - - 1,568,060 -
---- -
---- -
23,664 - - 1,594,676 -
4,900 - - - 2,988,262
4,900 - - - 2,988,262
---- -
1,516,064 - 390,484 - -
---- -
---- 40,192,036
- 104,336 - - -
---- -
---- -
1,516,064 104,336 390,484 - 40,192,036
1,544,628$ 104,336$ 390,484$ 1,594,676$ 43,180,298$ Special Revenue Funds
Special Revenue
Endowments
Utility Tax
Settlement
Public Education
and Govt Fee
V2 Pub Benefit
Contribution
Park Acquisition
Development
124

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:

Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:

Cash and investments with fiscal agents
Total Assets

LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:

Liabilities:

Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable:

Prepaid costs
Restricted:

Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
-$ 978$ -$ 54$ 1,130,709$ ---- -
---- -
---- -
---- -
---- -
---- -
---- -
-$ 978$ -$ 54$ 1,130,709$ -$ -$ -$ -$ -$ ---- -
---- -
---- -
583,604 - 4,460 - -
---- -
583,604 - 4,460 - -
---- -
---- -
---- -
---- -
- 978 - - -
---- -
--- 5 4 1,130,709
---- -
(583,604) - (4,460) - -
(583,604) 978 (4,460) 54 1,130,709
-$ 978$ -$ 54$ 1,130,709$ Capital Projects Funds
Highway Safety Bicycle Facility
Industrial
Development
Authority
Assessment
District
Improvement
Residential
Construction Tax
125

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:

Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:

Cash and investments with fiscal agents
Total Assets

LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:

Liabilities:

Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable:

Prepaid costs
Restricted:

Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
104$ - $ 1,049,057$ 40,127$ 103,946$ ---- -
---- -
- - 6,607 - -
---- -
- 2,184,967 - - -
---- -
- - 3,797,442 - -
104$ 2,184,967$ 4, 853,106$ 40,127$ 103,946$ -$ 419,696$ 157,095$ -$ -$ - 50,878 9,719 - -
---- -
---- -
- 2,092,510 - - -
---- -
- 2,563,084 166,814 - -
- 24,749 - - -
- 24,749 - - -
---- -
---- -
104 - - - -
---- -
- - 4,686,292 - -
- - - 40,127 103,946
- (402,866) - - -
104 (402,866) 4,686,292 40,127 103,946
104$ 2,184,967$ 4, 853,106$ 40,127$ 103,946$ Lease Payable
Debt Service Funds
Notes Payable
Transportation
Partnership Fund
Other
Transportation
Program Fund
Capital Projects Funds
Capital Projects
Fund
126

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:

Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:

Cash and investments with fiscal agents
Total Assets

LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:

Liabilities:

Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable:

Prepaid costs
Restricted:

Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Total
Governmental
Funds
110,962,430$
215,714
1,097,558
16,814
7,029,634
2,966,560
14,051
3,797,442
126,100,203$
4,820,813$
593,562
28,789
1,568,060
2,680,574
21,164
9,712,962
7,450,528
7,450,528
14,051
21,212,195
1,450,011
40,439,644
48,260,519
144,073
(2,583,780)
108,936,713
126,100,203$
127

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

REVENUES
Taxes -$ -$ -$ -$ -$ Licenses and permits - 20,873 - - -
Intergovernmental 11,016,325 - - - -
Charges for services - - - 593,941 8,050
Use of money and property 373,156 219,517 (3,733) 15,417 956 Fines and forfeitures - 142,067 345,745 900 -
Developer participation ---- -
Miscellaneous ---- -
Total Revenues 11,389,481 382,457 342,012 610,258 9,006

EXPENDITURES
Current:

General government - 516,159 - - -
Public safety - - 38,626 - -
Community development - - - - -
Public works 389,836 - - 172,940 -
Capital outlay 6,493,431 462 - - -
Debt service:

Principal retirement - - - - -
Interest and fiscal charges - - - - -
Total Expenditures 6,883,267 516,621 38,626 172,940 -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 4,506,214 (134,164) 303,386 437,318 9,006

OTHER FINANCING SOURCES (USES)
Transfers in
---- -
Transfers out (4,337,736) - (399,140) - -
Total Other Financing Sources (Uses) (4,337,736) - (399,140) - - Net Change in Fund Balances 168,478 (134,164) (95,754) 437,318 9,006 FUND BALANCE - BEGINNING 12,885,990 1,530,209 148,638 1,437,538 155,561 FUND BALANCE - ENDING 13,054,468$ 1,396,045$ 52,884$ 1,874,856$ 164,567$ Town Center I
Transportation
Grants Parking Meter Traffic Safety Storm Drain
Special Revenue Funds
128

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General government
Public safety
Community development
Public works
Capital outlay
Debt service:

Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances

FUND BALANCE - BEGINNING

FUND BALANCE - ENDING
(CONTINUED)
-$ -$ -$ 6,883,741$ -$ ---- -
- 27,988 36,387 613,178 -
18,384,791 - 2,981,368 - -
207,960 - 161,210 (3,642) -
---- -
---- -
6,040 15,000 1,467,530 - 28,356
18,598,791 42,988 4,646,495 7,493,277 28,356
---- -
---- -
- 25,535 961,241 - 32,259
14,313,895 - - - -
16,838 - - 9,915,127 -
---- -
---- -
14,330,733 25,535 961,241 9,915,127 32,259
4,268,058 17,453 3,685,254 (2,421,850) (3,903)
269,053 - - - -
- - (272,697) (960) -
269,053 - (272,697) (960) -
4,537,111 17,453 3,412,557 (2,422,810) (3,903)
35,776,645 125,186 2,695,983 829,960 251,511
40,313,756$ 142,639$ 6,108,540$ (1,592,850)$ 247,608$ Special Revenue Funds
Open Space
Districts
Housing
Programs
Housing
Authority
Transportation
Sales Tax Mobile Park Fee
129

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General government
Public safety
Community development
Public works
Capital outlay
Debt service:

Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances

FUND BALANCE - BEGINNING

FUND BALANCE - ENDING
Capital Projects
Fund
-$ -$ -$ -$ -$ ---- -
80,027 - - - -
---- -
- 513 1,913 (124,979) 14,586
---- -
---- 1,785,400
512,593 - - 2,057 -
592,620 513 1,913 (122,922) 1,799,986
518,339 - 336 - -
---- -
---- 139,718
---- -
4,424 - - - -
---- -
---- -
522,763 - 336 - 139,718
69,857 513 1,577 (122,922) 1,660,268
---- -
---- -
---- -
69,857 513 1,577 (122,922) 1,660,268
1,446,207 103,823 388,907 122,922 38,531,768
1,516,064$ 104,336$ 390,484$ - $ 40,192,036$ Special Revenue Funds
Park Acquisition
Development
V2 Pub Benefit
Contribution
Public Education
and Govt Fee
Utility Tax
Settlement
Special Revenue
Endowments
130

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General government
Public safety
Community development
Public works
Capital outlay
Debt service:

Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances

FUND BALANCE - BEGINNING

FUND BALANCE - ENDING
(CONTINUED)
540,025$ -$ -$ -$ -$ ---- -
---- -
---- -
(8,916) 18 - - 5,672
---- -
---- -
---- 2,738
531,109 18 - - 8,410
---- 18,485
---- -
---- -
---- -
---- -
---- -
---- -
---- 18,485
531,109 18 - - (10,075)
---- -
(669,367) - - - -
(669,367) - - - -
(138,258) 18 - - (10,075)
(445,346) 960 (4,460) 54 1,140,784
(583,604)$ 978 $ (4,460)$ 54$ 1,130,709$ Capital Projects Funds
Assessment
District
Improvement
Residential
Construction Tax Highway Safety Bicycle Facility
Industrial
Development
Authority
131

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General government
Public safety
Community development
Public works
Capital outlay
Debt service:

Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances

FUND BALANCE - BEGINNING

FUND BALANCE - ENDING
-$ - $ - $ - $ -$ ---- -
- 3,267,978 - - -
---- -
- - (3,492) - 563
---- -
---- -
- - 341,569 - 23,994
- 3,267,978 338,077 - 24,557
---- -
---- -
---- -
- - 943 - -
- 3,243,327 1,271,583 - -
- - - 905,925 262,230
- - - 217,187 46,038
- 3,243,327 1,272,526 1,123,112 308,268
- 24,651 (934,449) (1,123,112) (283,711)
- 960 - 1,123,721 283,986
---- -
- 960 - 1,123,721 283,986
- 25,611 (934,449) 609 275
104 (428,477) 5,620,741 39,518 103,671
104$ ( 402,866)$ 4, 686,292$ 40,127 $ 103,946$ Lease Payable Notes Payable
Other
Transportation
Program Fund
Capital Projects
Fund
Debt Service FundsCapital Projects Funds
Transportation
Partnership Fund
132

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021

REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues

EXPENDITURES
Current:

General government
Public safety
Community development
Public works
Capital outlay
Debt service:

Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances

FUND BALANCE - BEGINNING

FUND BALANCE - ENDING
Total
Governmental
Funds
7,423,766$
20,873
15,041,883
21,968,150
856,719
488,712
1,785,400
2,399,877
49,985,380
1,053,319
38,626
1,158,753
14,877,614
20,945,192
1,168,155
263,225
39,504,884
10,480,496
1,677,720
(5,679,900)
(4,002,180)
6,478,316
102,458,397
108,936,713$
133

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY

GENERAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Personnel Supplies and Other
Services Services Utilities Expenses
Current:

City council 1,366,233$ 15,773$ 548$ -$ City clerk 889,919 121,482 388 1,160
City attorney 2,780,262 253,272 1,093 -
Administration 2,124,499 230,981 569 -
Information technology 2,429,685 1,133,331 4,329 -
Human resources 2,480,429 426,567 1,981 -
Finance 3,388,083 1,317,670 1,525 757,167
Non-departmental 1,258,316 4,055,540 224,732 3,071,620
Board and commissions - 20,619 - -
Police 62,071,784 2,475,843 602,320 513,024
Fire 40,184,943 2,826,319 282,049 442,758
Animal care facilities 2,337,821 288,303 41,701 3,295
Economic development 1,711,037 79,824 490 1,441,133
Development services 2,352,760 147,109 1,556 1,168,853
Parks and recreation 6,377,832 846,457 2,765,029 27,783 Public works 8,496,572 2,262,182 675,378 58,240
Engineering 7,754,240 267,296 897,031 50,640
Library 2,390,767 268,726 149,301 361
Capital outlay --- -
Debt service:

Principal retirement - - - 6,648,233
Interest and fiscal charges - - - 2,377,888
Transfers out --- -
Total Expenditures 150,395,182$ 17,037,294$ 5,650,020$ 16,562,155$ 134
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$ - $ 1,382,554$ 1,594,995 $ 212,441$ - - - 1,012,949 989,920 (23,029)
- - - 3,034,627 3,124,216 89,589
- - - 2,356,049 2,371,404 15,355
- - - 3,567,345 3,506,594 (60,751)
- - - 2,908,977 2,915,983 7,006
- - - 5,464,445 5,523,218 58,773
- - - 8,610,208 8,141,738 (468,470)
- - - 20,619 124,568 103,949
- 839,023 - 66,501,994 68,257,843 1,755,849
- 1,058,696 - 44,794,765 46,204,449 1,409,684
- 35,859 - 2,706,979 2,803,714 96,735
- - - 3,232,484 3,216,117 (16,367)
- 11,735 - 3,682,013 3,898,430 216,417
- 262,106 - 10,279,207 10,561,268 282,061
- 472,351 - 11,964,723 12,369,717 404,994
- 142,361 - 9,111,568 9,492,785 381,217
- 1,989 - 2,811,144 3,424,810 613,666
24,876,665 - - 24,876,665 51,205,519 26,328,854
- - - 763,233 763,775 542
- - - 134,388 136,724 2,336
- - 5,467,896 13,596,396 13,274,929 (321,467)
24,876,665$ 2,824,120 $ 5,467,896 $ 222,813,332 $ 253,902,716 $ 31,089,384 $ 135

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY

SUNDRY GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Personnel Supplies and Other
Services Services Utilities Expenses
Current:

Finance -$ -$ -$ 553,986$ Police 6,658,170 1,780,622 - 326,695
Fire 279,574 103,666 - 28,752
Animal care facilities - 38,129 - -
Economic development 550,424 1,147,491 17,339 609,447
Development services - 15,086 912 6,854,641
Library 197 20,683 - -
Capital outlay --- -
Transfers out --- -
Total Expenditures 7,488,365$ 3,105,677$ 18,251$ 8,373,521$ 136
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$ - $ 553,986$ 1,459,251 $ 905,265$ - - 1,415,844 8,766,242 12,077,797 3,311,555
- - - 411,238 776,552 365,314
- - 192,858 38,129 45,667 7,538
- 10,588 633,650 2,335,288 4,907,920 2,572,632
- - - 6,870,641 32,754,195 25,883,554
- - - 20,880 95,966 75,086
1,465,353 - - 1,465,354 8,173,672 6,708,318
- - - 2,242,078 1,704,801 (537,277)
1,465,353$ 10,588 $ 2,242,352 $ 22,703,836 $ 61,995,821 $ 39,291,985 $ 137

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY

HOUSING SUCCESSOR AGENCY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Personnel Supplies and Other
Services Services Utilities Expenses
Current:

Development services -$ 148,586$ -$ 1,367,807$ Total Expenditures -$ 148,586$ -$ 1,367,807$ 138
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$ - $ 1, 517,437$ 2,072,400 $ 554,963$ -$ - $ - $ 1, 517,437$ 2,072,400 $ 554,963 $ 139

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TRANSPORTATION GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental 11,940,805$ 11,942,929$ 11,016,325$ (926,604)$ Use of money and property - - 373,156 373,156
Total Revenues 11,940,805 11,942,929 11,389,481 (553,448) Expenditures:

Current:

Public works 234,568 418,407 389,836 28,571
Capital outlay 8,092,505 17,111,996 6,493,431 10,618,565 Total Expenditures 8,327,073 17,530,403 6,883,267 10,647,136 Excess (Deficiency) of Revenues
Over (Under) Expenditures 3,613,732 (5,587,474) 4,506,214 10,093,688 Other Financing Sources (Uses):

Transfers out (4,343,236) (4,343,236) (4,337,736) 5,500 Total Other Financing Sources (Uses) (4,343,236) (4,343,236) (4,337,736) 5,500 Net Change in Fund Balances (729,504)$ (9,930,710)$ 168,478 10,099,188$ Fund Balances - Beginning 12,885,990
Fund Balances - Ending 13,054,468$
140

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

PARKING METER
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Licenses and permits 25,000$ 25,000 $ 20,873 $ (4,127)$ Use of money and property 365,000 365,000 219,517 (145,483) Fines and forfeitures 200,000 200,000 142,067 (57,933)
Total Revenues 590,000 590,000 382,457 (207,543)
Expenditures:

Current:

General government 572,270 652,216 516,159 136,057
Capital outlay - 99,816 462 99,354
Total Expenditures 572,270 752,032 516,621 235,411
Net Change in Fund Balances 17,730$ (162,032)$ (134,164) 27,868$ Fund Balances - Beginning 1,530,209
Fund Balances - Ending 1,396,045$
141

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TRAFFIC SAFETY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ - $ (3,733)$ (3,733)$ Fines and forfeitures 437,640 437,640 345,745 (91,895)
Total Revenues 437,640 437,640 342,012 (95,628)
Expenditures:

Current:

Public safety 138,500 174,910 38,626 136,284
Total Expenditures 138,500 174,910 38,626 136,284
Excess (Deficiency) of Revenues
Over (Under) Expenditures 299,140 262,730 303,386 40,656 Other Financing Sources (Uses):

Transfers out (399,140) (399,140) (399,140) -
Total Other Financing Sources (Uses) (399,140) (399,140) (399,140) - Net Change in Fund Balances (100,000)$ (136,410)$ (95,754) 40,656$ Fund Balances - Beginning 148,638
Fund Balances - Ending 52,884$
142

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

STORM DRAIN
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Licenses and permits 23,750$ 23,750 $ - $ (23,750)$ Charges for services 555,500 555,500 593,941 38,441
Use of money and property - - 15,417 15,417
Fines and forfeitures 5,000 5,000 900 (4,100)
Total Revenues 584,250 584,250 610,258 26,008
Expenditures:

Current:

Public works 348,940 498,014 172,940 325,074
Total Expenditures 348,940 498,014 172,940 325,074
Net Change in Fund Balances 235,310$ 86,236$ 437,318 351,082$ Fund Balances - Beginning 1,437,538
Fund Balances - Ending 1,874,856$
143

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TOWN CENTER I
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services -$ - $ 8,050$ 8,050$ Use of money and property - - 956 956
Total Revenues - - 9,006 9,006
Expenditures:

Capital outlay - 10,120 - 10,120
Total Expenditures - 10,120 - 10,120
Net Change in Fund Balances -$ (10,120)$ 9,006 19,126$ Fund Balances - Beginning 155,561
Fund Balances - Ending 164,567$
144

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

OPEN SPACE DISTRICTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 17,350,438$ 17,350,438 $ 18,384,791 $ 1,034,353$ Use of money and property - - 207,960 207,960
Other revenues - 4,684 6,040 1,356
Total Revenues 17,350,438 17,355,122 18,598,791 1,243,669 Expenditures:

Current:

Public works 17,784,087 18,534,962 14,313,895 4,221,067 Capital outlay 141,001 144,901 16,838 128,063
Total Expenditures 17,925,088 18,679,863 14,330,733 4,349,130 Excess (Deficiency) of Revenues
Over (Under) Expenditures (574,650) (1,324,741) 4,268,058 5,592,799 Other Financing Sources (Uses):

Transfers in 237,773 237,773 269,053 31,280
Transfers out --- -
Total Other Financing Sources (Uses) 237,773 237,773 269,053 31,280 Net Change in Fund Balances (336,877)$ (1,086,968)$ 4,537,111 5,624,079$ Fund Balances - Beginning 35,776,645
Fund Balances - Ending 40,313,756$
145

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

HOUSING PROGRAMS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental 140,194$ 140,194$ 27,988 $ (112,206)$ Other revenues - - 15,000 15,000
Total Revenues 140,194 140,194 42,988 (97,206)
Expenditures:

Current:

City administration 140,194 846,692 25,535 821,157
Total Expenditures 140,194 846,692 25,535 821,157
Net Change in Fund Balances -$ (706,498)$ 17,453 723,951$ Fund Balances - Beginning 125,186
Fund Balances - Ending 142,639$
146

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

HOUSING AUTHORITY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental -$ 28,817$ 36,387 $ 7,570$ Charges for services - - 2,981,368 2,981,368
Use of money and property - - 161,210 161,210
Other revenues 807,407 807,407 1,467,530 660,123
Total Revenues 807,407 836,224 4,646,495 3,810,271
Expenditures:

Current:

City administration 1,236,321 1,327,007 961,241 365,766 Total Expenditures 1,236,321 1,327,007 961,241 365,766
Excess (Deficiency) of Revenues
Over (Under) Expenditures (428,914) (490,783) 3,685,254 4,176,037 Other Financing Sources (Uses):

Transfers out (254,697) (272,697) (272,697) -
Total Other Financing Sources (Uses) (254,697) (272,697) (272,697) - Net Change in Fund Balances (683,611)$ (763,480)$ 3,412,557 4,176,037$ Fund Balances - Beginning 2,695,983
Fund Balances - Ending 6,108,540$
147

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TRANSPORTATION SALES TAX
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Taxes 6,379,500$ 6,379,500 $ 6,883,741 $ 504,241$ Intergovernmental - - 613,178 613,178
Use of money and property - - (3,642) (3,642)
Total Revenues 6,379,500 6,379,500 7,493,277 1,113,777
Expenditures:

Capital outlay 6,224,329 17,823,451 9,915,127 7,908,324 Total Expenditures 6,224,329 17,823,451 9,915,127 7,908,324 Excess (Deficiency) of Revenues
Over (Under) Expenditures 155,171 (11,443,951) (2,421,850) 9,022,101 Other Financing Sources (Uses):

Transfers out - (960) (960) -
Total Other Financing Sources (Uses) - (960) (960) -
Net Change in Fund Balances 155,171$ (11,444,911)$ (2,422,810) 9,022,101$ Fund Balances - Beginning 829,960
Fund Balances - Ending (1,592,850)$
148

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

MOBILE PARK FEE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Other revenues 65,000$ 65,000 $ 28,356 $ (36,644)$ Total Revenues 65,000 65,000 28,356 (36,644)
Expenditures:

Current:

Community development 65,000 66,763 32,259 34,504
Total Expenditures 65,000 66,763 32,259 34,504
Net Change in Fund Balances -$ (1,763)$ (3,903) (2,140)$ Fund Balances - Beginning 251,511
Fund Balances - Ending 247,608$
149

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

PUBLIC EDUCATION AND GOVT FEE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental -$ 140 $ 80,027 $ 79,887$ Other revenues 600,000 600,000 512,593 (87,407)
Total Revenues 600,000 600,140 592,620 (7,520)
Expenditures:

Current:

General government 300,000 635,287 518,339 116,948
Capital outlay 300,000 300,000 4,424 295,576
Total Expenditures 600,000 935,287 522,763 412,524
Net Change in Fund Balances -$ (335,147)$ 69,857 405,004$ Fund Balances - Beginning 1,446,207
Fund Balances - Ending 1,516,064$
150

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

SPECIAL REVENUE ENDOWMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ - $ ( 124,979)$ (124,979)$ Other revenues - - 2,057 2,057
Total Revenues - - (122,922) (122,922)
Expenditures:

Current:

City administration - 100,000 - 100,000
Capital outlay 70,000 - - -
Total Expenditures 70,000 100,000 - 100,000
Net Change in Fund Balances (70,000)$ (100,000)$ (122,922) (22,922)$ Fund Balances - Beginning 122,922
Fund Balances - Ending -$
151

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

PARK ACQUISITION DEVELOPMENT
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property 226,669$ 226,669 $ 14,586 $ (212,083)$ Developer participation 1,500,000 1,500,000 1,785,400 285,400 Total Revenues 1,726,669 1,726,669 1,799,986 73,317
Expenditures:

Current:

City administration 110,000 667,160 139,718 527,442
Capital outlay - 543,019 - 543,019
Debt service:

Interest and fiscal charges 226,669 226,669 - 226,669
Total Expenditures 336,669 1,436,848 139,718 1,297,130
Excess (Deficiency) of Revenues
Over (Under) Expenditures 1,390,000 289,821 1,660,268 1,370,447 Other Financing Sources (Uses):

Transfers in 50,000 50,000 - (50,000)
Transfers out (50,000) (50,000) - 50,000
Total Other Financing Sources (Uses) - - - -
Net Change in Fund Balances 1,390,000$ 289,821$ 1,660,268 1,370,447$ Fund Balances - Beginning 38,531,768
Fund Balances - Ending 40,192,036$
152

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

RESIDENTIAL CONSTRUCTION TAX
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Taxes 325,505$ 325,505 $ 540,025 $ 214,520$ Use of money and property - - (8,916) (8,916)
Total Revenues 325,505 325,505 531,109 205,604
Excess (Deficiency) of Revenues
Over (Under) Expenditures 325,505 325,505 531,109 205,604 Other Financing Sources (Uses):

Transfers out (669,353) (669,367) (669,367) -
Total Other Financing Sources (Uses) (669,353) (669,367) (669,367) - Net Change in Fund Balances (343,848)$ (343,862)$ (138,258) 205,604$ Fund Balances - Beginning (445,346)
Fund Balances - Ending (583,604)$
153

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

ASSESSMENT DISTRICT IMPROVEMENT
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ - $ 5,672$ 5,672$ Other revenues - - 2,738 2,738
Total Revenues - - 8,410 8,410
Expenditures:

Current:

General government - 18,485 18,485 -
Total Expenditures - 18,485 18,485 -
Net Change in Fund Balances -$ (18,485)$ (10,075) 8,410$ Fund Balances - Beginning 1,140,784
Fund Balances - Ending 1,130,709$
154

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

DEVELOPMENT IMPACT FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 390,000$ 390,000 $ 542,234 $ 152,234$ Use of money and property 186,085 186,085 (37,257) (223,342) Developer participation 15,156,600 15,156,600 12,610,844 (2,545,756) Total Revenues 15,732,685 15,732,685 13,115,821 (2,616,864) Expenditures:

Current:

City administration 997,000 1,010,720 656,741 353,979
Capital outlay 626,000 11,033,007 2,221,676 8,811,331
Debt service:

Principal retirement 61,000 61,000 63,160 (2,160)
Interest and fiscal charges 249,641 249,641 - 249,641
Total Expenditures 1,933,641 12,354,368 2,941,577 9,412,791 Excess (Deficiency) of Revenues
Over (Under) Expenditures 13,799,044 3,378,317 10,174,244 6,795,927 Other Financing Sources (Uses):

Transfers in 1,035,000 1,035,000 - (1,035,000)
Transfers out (6,249,888) (6,249,888) (5,214,073) 1,035,815 Total Other Financing Sources (Uses) (5,214,888) (5,214,888) (5,21 4,073) 815 Net Change in Fund Balances 8,584,156$ (1,836,571)$ 4,960,171 6,796,742$ Fund Balances - Beginning 57,437,091
Fund Balances - Ending 62,397,262$
155

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

OTHER TRANSPORTATION PROGRAM FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental -$ - $ 3,267,978$ 3,267,978$ Total Revenues - - 3,267,978 3,267,978
Expenditures:

Capital outlay - 8,192,077 3,243,327 4,948,750
Total Expenditures - 8,192,077 3,243,327 4,948,750
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (8,192,077) 24,651 8,216,728 Other Financing Sources (Uses):

Transfers in - 960 960 -
Total Other Financing Sources (Uses) - 960 960 -
Net Change in Fund Balances -$ (8 ,191,117)$ 25,611 8,216,728$ Fund Balances - Beginning (428,477)
Fund Balances - Ending (402,866)$
156

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

CAPITAL PROJECTS FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental -$ 450,000$ - $ (450,000)$ Use of money and property - - (3,492) (3,492)
Other revenues - 631,569 341,569 (290,000)
Total Revenues - 1,081,569 338,077 (743,492)
Expenditures:

Current:

Public works - 230,752 943 229,809
Capital outlay 202,052 9,788,226 1,271,583 8,516,643
Total Expenditures 202,052 10,018,978 1,272,526 8,746,452 Excess (Deficiency) of Revenues
Over (Under) Expenditures (202,052) (8,937,409) (934,449) 8,002,960 Other Financing Sources (Uses):

Transfers in - 233,628 - (233,628)
Total Other Financing Sources (Uses) - 233,628 - (233,628) Net Change in Fund Balances (202,052)$ (8,703,781)$ (934,449) 7,769,332$ Fund Balances - Beginning 5,620,741
Fund Balances - Ending 4,686,292$
157

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

NOTES PAYABLE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Other revenues 258,000$ 258,000$ -$ (258,000)$ Total Revenues 258,000 258,000 - (258,000)
Expenditures:

Debt service:

Principal retirement 905,756 912,756 905,925 6,831
Interest and fiscal charges 218,069 218,069 217,187 882 Total Expenditures 1,123,825 1,130,825 1,123,112 7,713
Excess (Deficiency) of Revenues
Over (Under) Expenditures (865,825) (872,825) (1,123,112) (250,287) Other Financing Sources (Uses):

Transfers in 1,123,824 1,130,824 1,123,721 (7,103)
Total Other Financing Sources (Uses) 1,123,824 1,130,824 1,123,721 (7,103) Net Change in Fund Balances 257,999$ 257,999 $ 609 (257,390) $ Fund Balances - Beginning 39,518
Fund Balances - Ending 40,127$
158

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

LEASE PAYABLE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ -$ 563$ 563$ Other revenues 23,930 23,930 23,994 64
Total Revenues 23,930 23,930 24,557 627
Expenditures:

Debt service:

Principal retirement 459,032 459,032 262,230 196,802
Interest and fiscal charges 93,639 93,639 46,038 47,601 Total Expenditures 552,671 552,671 308,268 244,403
Excess (Deficiency) of Revenues
Over (Under) Expenditures (528,741) (528,741) (283,711) 245,030 Other Financing Sources (Uses):

Transfers in 284,341 284,341 283,986 (355)
Total Other Financing Sources (Uses) 284,341 284,341 283,986 (355) Net Change in Fund Balances (244,400)$ (244,400)$ 275 244,675$ Fund Balances - Beginning 103,671
Fund Balances - Ending 103,946$
159

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

CITY DEBT SERVICE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Expenditures:

Current:

General government -$ 348,230,708$ 51,090,168$ 297,140,540$ Debt service:

Interest and fiscal charges - 1,787,082 1,100,352 686,730 Total Expenditures - 350,017,790 307,995,151 42,022,639 Excess (Deficiency) of Revenues
Over (Under) Expenditures - (350,017,790) (307,995,151) 42,022,639 Other Financing Sources (Uses):

Proceeds from issuance of debt - 350,025,000 308,476,104 (41,548,896) Total Other Financing Sources (Uses) - 350,025,000 308,476,104 (41, 548,896) Net Change in Fund Balances -$ 7,210$ 480,953 473,743$ Fund Balances - Beginning (41)
Fund Balances - Ending 480,912$
160

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

PUBLIC FINANCING AUTHORITY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ -$ 21,169$ 21,169$ Total Revenues - - 21,169 21,169
Expenditures:

Current:

General government 18,804 30,808 20,301 10,507
Debt service:

Principal retirement 3,860,002 3,860,000 3,860,000 -
Interest and fiscal charges 2,957,896 2,957,894 2,957,894 - Total Expenditures 6,836,702 6,848,702 6,838,195 10,507 Excess (Deficiency) of Revenues
Over (Under) Expenditures (6,836,702) (6,848,702) (6,817,026) 31,676 Other Financing Sources (Uses):

Transfers in 6,836,702 6,836,702 6,832,996 (3,706)
Total Other Financing Sources (Uses) 6,836,702 6,836,702 6,832,996 (3,706) Net Change in Fund Balances -$ (12,000)$ 15,970 27,970$ Fund Balances - Beginning 5,321,988
Fund Balances - Ending 5,337,958$
161

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

MUNICIPAL FINANCING AUTHORITY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Other revenues 315,485$ 315,485$ 318,146$ 2,661$ Total Revenues 315,485 315,485 318,146 2,661
Expenditures:

Current:

General government 11,901 79,376 74,776 4,600
Debt service:

Principal retirement 1,515,000 1,515,000 7,400,000 (5,885,000) Interest and fiscal charges 1,261,957 1,261,957 3,505,457 (2,243,50 0) Total Expenditures 2,788,858 2,856,333 10,980,233 (8,123,900) Excess (Deficiency) of Revenues
Over (Under) Expenditures (2,473,373) (2,540,848) (10,662,087) (8,121,239) Other Financing Sources (Uses):

Transfers in 2,473,373 2,532,185 10,662,387 8,130,202
Total Other Financing Sources (Uses) 2,473,373 2,532,185 10,662,38 7 8,130,202 Net Change in Fund Balances -$ (8,663)$ 300 8,963$ Fund Balances - Beginning (300)
Fund Balances - Ending -$
162

CITY OF CHULA VISTA

COMBINING STATEMENT OF NET POSITION

NON-MAJOR PROPRIETARY FUNDS
JUNE 30, 2021
Totals
ASSETS
Current Assets:

Cash and investments 91,219$ 93,618$ 27,881$ 653,437$ 10,939$ 877,094$ Cash with fiscal agent - - - 14,816 - 14,816
Accounts receivable - - - 6,257,072 - 6,257,072
Total Current Assets 91,219 93,618 27,881 6,925,325 10,939 7,148,982 Noncurrent Assets:

Capital assets:

Machinery and equipment - 42,304 - 4,386,250 - 4,428,554 Less accumulated depreciation - (20,497) - (458,697) - (479,194) Total Noncurrent Assets - 21,807 - 3,927,553 - 3,949,360 Total Assets 91,219 115,425 27,881 10,852,878 10,939 11,098,342

LIABILITIES
Current Liabilities:

Accounts payable - - - 80,544 10,939 91,483
Accrued liabilities - - - 189,975 - 189,975
Bonds, notes, and capital leases - - - 862,811 - 862,811 Total Current Liabilities - - - 1,174,568 10,939 1,185,507 Noncurrent:

Advances from other funds - - - 3,229,393 - 3,229,393
Bonds, notes, and capital leases - - - 3,630,289 - 3,630,289 Total Noncurrent Liabilities - - - 6,859,682 - 6,859,682 Total Liabilities - - - 8,034,250 10,939 8,045,189

NET POSITION
Net investment in capital assets - 21,807 - - - 21,807
Restricted for capital projects - - - 565,547 - 565,547 Unrestricted 91,219 93,618 27,881 2,253,081 - 2,465,799 Total Net Position 91,219$ 115,425$ 27,881 $ 2,818,628 $ - $ 3,053,153$ Living Coast
Discovery Center
Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista Muni
Golf Course Transport Enterprise
163

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

NON-MAJOR PROPRIETARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals

OPERATING REVENUES
Other -$ - $ 10,226$ 6,649,890 $ -$ 6,660,116$ Total Operating Revenues - - 10,226 6,649,890 - 6,660,116

OPERATING EXPENSES
Administration and general - - - 3,114,667 101,112 3,215,779 Depreciation expense - 8,461 - 458,697 - 467,158
Total Operating Expenses - 8,461 - 3,573,364 101,112 3,682,937 Operating Income (Loss) - (8,461) 10,226 3,076,526 (101,112) 2,977,179

NONOPERATING REVENUES (EXPENSES)
Intergovernmental - - - 6,478 - 6,478
Interest revenue 449 (788) - (16,545) - (16,884)
Interest expense - - - (61,313) - (61,313)
Total Nonoperating Revenues (Expenses) 449 (788) - (71,380) - (71,719) Income (Loss) Before Transfers 449 (9,249) 10,226 3,005,146 (101,112) 2,905,460 Transfers in - - - - 101,112 101,112
Transfers out - - - (186,518) - (186,518)
Changes in Net Position 449 (9,249) 10,226 2,818,628 - 2,820,054 NET POSITION - BEGINNING 90,770 124,674 17,655 - - 233,099 NET POSITION - ENDING 91,219$ 115,425$ 27,881$ 2,818,628$ -$ 3,053,153$ Living Coast
Discovery Center
Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista Muni
Golf Course
Transport
Enterprise
164

CITY OF CHULA VISTA

COMBINING STATEMENT OF CASH FLOWS

NON-MAJOR PROPRIETARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals
Cash Flows from Operating Activities:

Cash received from customers and users -$- $ 10,226 $ 392,818 $- $ 403,044$ Cash paid to suppliers for goods and services - - - (1,578,833) (98,219) (1,677,052) Cash paid to employees for services - - - (1,265,315) - (1,265,315) Net Cash Provided by (Used for)
Operating Activities - - 10,226 (2,451,330) (98,219) (2,539,323) Cash Flows from Non-Capital
Financing Activities:

Cash received from interfund borrowings - - 3,229,393 - 3,229,393 Grant subsidies - - - 6,478 - 6,478
Cash transfers in - - - - 101,112 101,112
Cash transfers out - - - (186,518) - (186,518)
Net Cash Provided by (Used for)
Non-Capital Financing Activities - - - 3,049,353 101,112 3,150,465 Cash Flows from Capital
and Related Financing Activities:

Proceeds from capital debt - - - 4,493,100 - 4,493,100
Acquisition and construction of capital assets - - - (4,386,250) - (4,386,250) Interest paid on capital debt - - (20,075) - (20,075)
Net Cash Provided by (Used for)
Capital and Related Financing Activities - - - 86,775 - 86,775 Cash Flows from Investing Activities:

Investment earnings 449 (788) - (16,545) - (16,884)
Net Cash Provided by (Used for)
Investing Activities 449 (788) - (16,545) - (16,884)
Net Increase (Decrease)
in Cash and Cash Equivalents 449 (788) 10,226 668,253 2,893 681,033 Cash and Cash Equivalents - July 1 90,770 94,406 17,655 - 8,046 210,877 Cash and Cash Equivalents - June 30 91,219$ 93,618 $ 27,881 $ 668,253 $ 10,939 $ 891,910$ Reconciliation of Operating Income (Loss) to Net
Cash Provided by (Used for) Operating Activities:

Operating income (loss) -$ (8,461) $ 10,226 $ 3,076,526 $ (101,112) $ 2,977,179$ Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:

Depreciation - 8,461 - 458,697 - 467,158
(Increase) decrease in accounts receivable - - - (6,257,072) - (6,257,072) Increase (decrease) in accounts payable - - - 80,544 2,893 83,437 Increase (decrease) in accrued liabilities - - - 189,975 - 189,975 Total Adjustments - 8,461 - (5,527,856) 2,893 (5,516,502) Net Cash Provided by (Used for)
Operating Activities -$- $ 10,226 $ (2,451,330)$ (98,219) $ (2,539,323) $ Non-Cash Investing, Capital,
and Financing Activities:

Unrealized gain/(loss) on investments (1,239) $ (4,193) $- $ (16,548)$- $ (21,980) $ Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista
Muni Golf Course
Living Coast
Discovery Center
Transport
Enterprise
165

CITY OF CHULA VISTA

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
JUNE 30, 2021
Totals
Assets:

Current Assets:

Cash and investments 2,697,595$ 2,650$ 7,684,894$ 10,385,139$ Cash with fiscal agent 58 - - 58
Accounts receivable 36,395 - - 36,395
Prepaid costs 4,302 - - 4,302
Total Current Assets 2,738,350 2,650 7,684,894 10,425,894 Noncurrent Assets:

Capital assets:

Machinery and equipment 6,464,254 - - 6,464,254
Less accumulated depreciation (6,145,055) - - (6,145,055) Total Noncurrent Assets 319,199 - - 319,199
Total Assets 3,057,549 2,650 7,684,894 10,745,093
Deferred Outflows of Resources:

Pension deferrals 2,975,757 - - 2,975,757
OPEB deferrals 46,768 - - 46,768
Total Deferred Outflows of Resources 3,022,525 - - 3,022,525 Liabilities:

Current Liabilities:

Accounts payable 292,201 - 85,127 377,328
Accrued liabilities 41,745 - - 41,745
Accrued compensated absences 41,600 - - 41,600
Bonds, notes, and capital leases 51,962 - - 51,962
Total Current Liabilities 446,939 - 85,127 532,066
Noncurrent Liabilities:

Accrued compensated absences 10,526 - - 10,526
Net pension liability 2,814,223 - - 2,814,223
Total other post-employment benefits liability 184,462 - - 184,462 Bonds, notes, and capital leases 2,744,062 - - 2,744,062 Total Noncurrent Liabilities 5,753,273 - - 5,753,273
Total Liabilities 6,200,212 - 85,127 6,285,339
Deferred Inflows of Resources:

Pension deferrals 1,423 - - 1,423
Total Deferred Inflows of Resources 1,423 - - 1,423
Net Position:

Invested in capital assets 319,199 - - 319,199
Unrestricted (440,760) 2,650 7,599,767 7,161,657
Total Net Position (121,561)$ 2,650 $ 7,599,767$ 7,480,856 $ Fleet
Management
Technology
Replacement
Workers
Compensation
Governmental Activities - Internal Service Funds
166

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals
Operating Revenues:

Interdepartmental charges 3,153,792$ - $ 4,817,981$ 7,971,773$ Other 86,391 - 121,602 207,993
Total Operating Revenues 3,240,183 - 4,939,583 8,179,766 Operating Expenses:

Administration and general 3,279,145 - 3,737,547 7,016,692 Depreciation expense 152,999 - - 152,999
Total Operating Expenses 3,432,144 - 3,737,547 7,169,691 Operating Income (Loss) (191,961) - 1,202,036 1,010,075 Nonoperating Revenues (Expenses):

Intergovernmental 2,045 - - 2,045
Interest expense (29,405) - - (29,405)
Gain (loss) on disposal of capital assets 105,741 - - 105,741 Total Nonoperating Revenues (Expenses) 78,381 - - 78,381 Income (Loss) Before Transfers (113,580) - 1,202,036 1,088,456 Transfers in 218,942 - - 218,942
Transfers out (41,524) - - (41,524)
Changes in Net Position 63,838 - 1,202,036 1,265,874
Net Position - Beginning (185,399) 2,650 6,397,731 6,214,982 Net Position - Ending (121,561)$ 2,650$ 7,599,767$ 7,480,856$ Fleet
Management
Technology
Replacement
Workers
Compensation
Governmental Activities - Internal Service Funds
167

CITY OF CHULA VISTA

COMBINING STATEMENT OF CASH FLOWS

INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals
Cash Flows from Operating Activities:

Cash received from interfund service provided 3,262,988$ - $ 4,939,583$ 8,202,571$ Cash paid to suppliers for goods and services (2,429,179) - (3,799,689) (6,228,868) Cash paid to employees for services (3,362,317) - - (3,362,317) Net Cash Provided by (Used for)
Operating Activities (2,528,508) - 1,139,894 (1,388,614) Cash Flows from Non-Capital
Financing Activities:

Proceeds from issuance of pension bonds 2,796,024 - - 2,796,024 Cash transfers in 218,942 - - 218,942
Grant subsidies 2,045 - - 2,045
Cash transfers out (41,524) - - (41,524)
Interest paid on pension bonds (9,974) - - (9,974)
Net Cash Provided by (Used for)
Non-Capital Financing Activities 2,965,513 - - 2,965,513 Cash Flows from Capital
and Related Financing Activities:

Proceeds from sales of capital assets 105,741 - - 105,741 Acquisition and construction of capital assets (72,357) - - (72,357) Net Cash Provided by (Used for)
Capital and Related Financing Activities 33,384 - - 33,384 Net Increase (Decrease)
in Cash and Cash Equivalents 470,389 - 1,139,894 1,610,283 Cash and Cash Equivalents - July 1 2,227,264 2,650 6,545,000 8,774, 914 Cash and Cash Equivalents - June 30 2,697,653$ 2,650 $ 7,684,894$ 10,385,197 $ Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments 2,697,595$ 2,650$ 7,684,894$ 10,385,139$ Cash with fiscal agent 58 - - 58
Total Cash and Cash Equivalents reported
on the Statement of Net Position 2,697,653$ 2,650$ 7,684,894$ 10,385,197$ Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:

Depreciation 152,999 - - 152,999
(Increase) decrease in accounts receivable 22,805 - - 22,805 (Increase) decrease in prepaid costs (4,302) (4,302)
(Increase) decrease in deferred outflows from pensions - - - - (Increase) decrease in deferred outflows from OPEB - - - - Increase (decrease) in due to other funds - - - -
Increase (decrease) in accounts payable 50,091 - (62,142) (12,051) Increase (decrease) in accrued liabilities 12,259 - - 12,259 Increase (decrease) in compensated absences 512 - - 512 Increase (decrease) in net pension liability (2,575,730) - - (2,575,730) Increase (decrease) in total OPEB liability 4,819 - - 4,819 Total Adjustments (2,336,547) - (62,142) (2,398,689)
Net Cash Provided by (Used for)
Operating Activities (2,528,508)$ -$ 1,139,894$ (1,388,614)$ Governmental Activities - Internal Service Funds
Fleet
Management
Technology
Replacement
Workers
Compensation
168

CITY OF CHULA VISTA

COMBINING STATEMENT OF FIDUCIARY NET POSITION

CUSTODIAL FUNDS
JUNE 30, 2021
ASSETS
Cash and cash equivalents 8,450,730$ 166,414 $ 3,758,498 $ 12,375,642$ Cash and cash equivalents held with fiscal agents 34,275,770 - - 34,275,770 Taxes receivable - 72,886 - 72,886
Total Assets 42,726,500 239,300 3,758,498 46,724,298

LIABILITIES
Accounts payable 2,463 24,284 - 26,747
Accrued interest 2,123,391 - - 2,123,391
Long-term liabilities:

Bonds payable - due in one year 6,400,000 - - 6,400,000 Bonds payable - due in more than one year 138,857,436 - - 138,857,436 Total Liabilities 147,383,290 24,284 - 147,407,574

NET POSITION
Restricted:

Individuals, organizations, and other governments (104,656,790) 215,016 3,758,498 (100,683,276) Total Net Position (104,656,790)$ 215,016 $ 3,758,498 $ (100,683,276)$ Bayfront Special
Tax District
CV Bayfront
Finance
Authority Total
Special
Assessment
District
169

CITY OF CHULA VISTA

COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

CUSTODIAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021

ADDITIONS
Investment Earnings:

Net increase (decrease) in fair value of investments -$ 1,924$ -$ 1,924$ Interest, dividends, and other 234,062 1,699 - 235,761
Net Investment Earnings 234,062 3,623 - 237,685
Special assessments 12,681,018 251,795 - 12,932,813
Miscellaneous - - 1,775,267 1,775,267
Total Additions 12,915,080 255,418 1,775,267 14,945,765

DEDUCTIONS
Administrative expenses 399,457 13,494 - 412,951
Contractual services 12,486,476 26,908 34,706 12,548,090 Interest expense 8,450,367 - - 8,450,367
Total Deductions 21,336,300 40,402 34,706 21,411,408
Net Increase (Decrease) in Fiduciary Net Position (8,421,220) 215,016 1,740,561 (6,465,643)

NET POSITION - BEGINNING --- -
Restatements (96,235,570) - 2,017,937 (94,217,633)
Net Position - Beginning, as restated (96,235,570) - 2,017,937 (94,217,633) NET POSITION - ENDING (104,656,790)$ 215,016$ 3,758,498$ (100,683,276)$ Special
Assessment
District
Bayfront Special
Tax District
CV Bayfront
Finance
Authority Total
170
3DJH1R
)LQDQFLDO7UHQGV 
dŚĞƐĞƐĐŚĞĚƵůĞƐĐŽŶƚĂŝŶŝŶĨŽƌŵĂƚŝŽŶƚŽŚĞůƉƚŚĞƌĞĂĚĞƌƵŶĚĞƌƐƚĂŶĚŚŽǁ ƚŚĞĐŝƚLJΖƐĨŝŶĂŶĐŝĂůƉĞƌĨŽƌŵĂŶĐĞĂŶĚǁĞůůͲďĞŝŶŐŚĂǀĞĐŚĂŶŐĞĚŽǀĞƌ ƚŝŵĞ͘
5HYHQXH&DSDFLW\ 
dŚĞƐĞƐĐŚĞĚƵůĞƐĐŽŶƚĂŝŶŝŶĨŽƌŵĂƚŝŽŶƚŽŚĞůƉƚŚĞƌĞĂĚĞƌĂƐƐĞƐƐƚŚĞĨĂĐƚŽƌƐ ĂĨĨĞĐƚŝŶŐƚŚĞĐŝƚLJΖƐĂďŝůŝƚLJƚŽŐĞŶĞƌĂƚĞŝƚƐƉƌŽƉĞƌƚLJĂŶĚƐĂůĞƐƚĂdžĞƐ͘ 'HEW&DSDFLW\ 
dŚĞƐĞƐĐŚĞĚƵůĞƐƉƌĞƐĞŶƚŝŶĨŽƌŵĂƚŝŽŶƚŽŚĞůƉƚŚĞƌĞĂĚĞƌĂƐƐĞƐƐƚŚĞ ĂĨĨŽƌĚĂďŝůŝƚLJŽĨƚŚĞĐŝƚLJΖƐĐƵƌƌĞŶƚůĞǀĞůƐŽĨŽƵƚƐƚĂŶĚŝŶŐĚĞďƚĂŶĚƚŚĞĐŝƚLJΖƐ ĂďŝůŝƚLJƚŽŝƐƐƵĞĂĚĚŝƚŝŽŶĂůĚĞďƚŝŶƚŚĞĨƵƚƵƌĞ͘
'HPRJUDSKLFDQG(FRQRPLF,QIRUPDWLRQ 
dŚĞƐĞƐĐŚĞĚƵůĞƐŽĨĨĞƌĚĞŵŽŐƌĂƉŚŝĐĂŶĚĞĐŽŶŽŵŝĐŝŶĚŝĐĂƚŽƌƐƚŽŚĞůƉƚŚĞ ƌĞĂĚĞƌƵŶĚĞƌƐƚĂŶĚƚŚĞĞŶǀŝƌŽŶŵĞŶƚǁŝƚŚŝŶǁŚŝĐŚƚŚĞĐŝƚLJΖƐĨŝŶĂŶĐŝĂů ĂĐƚŝǀŝƚŝĞƐƚĂŬĞƉůĂĐĞĂŶĚƚŽŚĞůƉŵĂŬĞĐŽŵƉĂƌŝƐŽŶƐŽǀĞƌƚŝŵĞĂŶĚǁŝƚŚ ŽƚŚĞƌŐŽǀĞƌŶŵĞŶƚƐ͘
2SHUDWLQJ,QIRUPDWLRQ 


dŚĞƐĞƐĐŚĞĚƵůĞƐĐŽŶƚĂŝŶŝŶĨŽƌŵĂƚŝŽŶĂďŽƵƚƚŚĞĐŝƚLJΖƐŽƉĞƌĂƚŝŽŶƐĂŶĚ ƌĞƐŽƵƌĐĞƐƚŽŚĞůƉƚŚĞƌĞĂĚĞƌƵŶĚĞƌƐƚĂŶĚŚŽǁƚŚĞĐŝƚLJΖƐĨŝŶĂŶĐŝĂů ŝŶĨŽƌŵĂƚŝŽŶƌĞůĂƚĞƐƚŽƚŚĞƐĞƌǀŝĐĞƐƚŚĞĐŝƚLJƉƌŽǀŝĚĞƐĂŶĚƚŚĞĂĐƚŝǀŝƚŝĞƐ ŝƚƉĞƌĨŽƌŵƐ͘
&,7<2)&+8/$9,67$
6WDWLVWLFDO6HFWLRQ

dŚŝƐ ƉĂƌƚ ŽĨ ƚŚĞ ŝƚLJ ŽĨ ŚƵůĂ sŝƐƚĂΖƐ ĐŽŵƉƌĞŚĞŶƐŝǀĞ ĂŶŶƵĂů ĨŝŶĂŶĐŝĂů ƌĞƉŽ ƌƚ ƉƌĞƐĞŶƚƐ ĚĞƚĂŝůĞĚ ŝŶĨŽƌŵĂƚŝŽŶ ĂƐ Ă ĐŽŶƚĞdžƚ ĨŽƌ ƵŶĚĞƌƐƚĂŶĚŝŶŐ ǁŚĂƚ ƚŚĞ ŝŶĨŽƌŵĂƚŝŽŶ ŝŶ ƚŚĞ ĨŝŶĂŶĐŝĂů ƐƚĂƚĞŵĞŶƚƐ͕ ŶŽƚĞ ĚŝƐĐůŽƐƵƌĞƐ͕ ĂŶĚ ƌĞƋƵŝƌĞĚ ƐƵƉƉůĞŵĞŶƚĂƌLJŝŶĨŽƌŵĂƚŝŽŶƐĂLJƐĂďŽƵƚƚŚĞĐŝƚLJΖƐŽǀĞƌĂůůĨŝŶĂŶĐŝĂůŚĞĂůƚŚ͘ 7DEOHRI&RQWHQWV
171







172
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Governmental activities:

Net investment in capital assets 655,182,727$ 626,476,481$ 649,314,016$ 643,174,160$ 672,940,012$ 1,031,902,782$ 963,595,553$ 997,561,287$ 1,048,711,594$ 1,092,307,720$ Restricted 22,929,585 21,888,309 107,106,257 129,460,665 125,439,323 128,114,370 143,958,910 167,223,184 181,367,432 196,782,954 Unrestricted 89,620,724 111,886,462 22,522,443 (245,432,296) (222,570,459) (222,843,737) (139,744,867) (139,394,302) (135,426,227) (123,311,317) Total governmental activities net position 767,733,036$ 760,251,252$ 778,942,716$ 527,202,529$ 575,808,876$ 937,173,415$ 967,809,596$ 1,025,390,169$ 1,094,652,799$ 1,165,779,357$ Business-type activities:

Net investment in capital assets 140,248,319 $ 134,661,254 $ 136,513,268 $ 134,368,634$ 135,989,851$ 331,199,513$ 327,687,650$ 322,072,495$ 317,722,714$ 317,133,368$ Restricted - - - 5,141,430 2,803,451 2,593,403 - - - 565,547 Unrestricted 86,521,327 93,401,745 97,393,640 71,945,411 67,970,476 72,366,978 78,539,054 90,839,632 102,067,475 107,279,738 Total business-type activities net position 226,769,646$ 228,062,999$ 233,906,908$ 211,455,475$ 206,763,778$ 406,159,894$ 406,226,704$ 412,912,127$ 419,790,189$ 424,978,653$ Primary government:

Net investment in capital assets 795,431,046 $ 761,137,735 $ 785,827,284 $ 777,542,794$ 808,929,863$ 1,363,102,295 $ 1,291,283,203$ 1,319,633,782$ 1,366,434,308$ 1,409,441,088$ Restricted 22,929,585 21,888,309 107,106,257 134,602,095 128,242,774 130,707,773 143,958,910 167,223,184 181,367,432 197,348,501 Unrestricted 176,142,051 205,288,207 119,916,083 (173,486,885) (154,599,983) (150,476,759) (61,205,813) (48,554,670) (33,358,752) (16,031,579) Total primary government net position 994,502,682$ 988,314,251$ 1,012,849,624$ 738,658,004$ 782,572,654$ 1,343,333,309$ 1,374,036,300$ 1,438,302,296$ 1,514,442,988$ 1,590,758,010$

CITY OF CHULA VISTA
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
173
201 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Expenses:

Governmental activities:

General government 22,508,977$ 33,652,891$ 25,386,867$ 36,693,953$ 25,564,824$ 35,375,230$ 29,311,449$ 27,922,521$ 33,033,582$ 18,121,564$ Public safety 75,931,086 77,821,520 74,896,803 81,002,999 87,749,418 94,716,683 106,802,130 111,269,341 125,991,666 131,262,122 Community Development - - - - 1,974,046 1,552,750 18,617,269 11,153,109 11,768,626 8,555,836 Community Services - - - 12,837 5,632 14,990 - - - -
Public works 76,458,061 69,297,402 63,312,155 62,454,130 67,910,401 68,885,918 72,192,449 57,563,725 69,016,706 68,218,192 Parks and recreation 7,310,312 5,865,192 6,118,351 6,441,907 6,834,2 40 6,875,635 9,553,392 14,633,191 16,592,077 40,789,923 Library 4,185,624 4,224,568 4,092,263 3,906,984 3,997,677 5,018,878 1,542,733 1,007,869 1,107,068 4,505,740 Transit 63,021 14,560 - - - - - - - -
Interest on long-term debt 8,904,275 6,698,509 7,287,461 6,776,635 6,073,434 4,673,047 7,718,906 6,740,877 6,027,344 8,857,969 Total governmental activities expenses 195,361,356 197,574,642 181,093,900 197,289,445 200,109,672 217,113,131 245,738,328 230,290,633 263,537,069 280,311,346 Business-type activities:

Transit 7,050,673 6,997,488 6,875,214 4,807,985 86,512 39,594 13,008 160,797 13,923 8,461 Bayfront Trolley Station 91,942 92,843 61,823 59,863 - - 27 - - - Tranport Enterprise - - - - - - - - - 3,634,677
Sewer funds 30,524,851 30,773,712 26,046,175 31,615,457 25,234,891 32,179,875 34,857,066 36,815,795 38,523,661 39,808,699 Sewer DIFs 129,351 122,927 129,279 120,197 1,146,838 8,305 34,547 495,865 510,789 438,680 Development Services Fund 4,730,599 5,717,312 6,113,133 5,996,109 5, 741,600 6,655,654 10,683,709 10,755,535 9,644,465 10,165,866 Chula Vista Mini Golf Course - - 27,092 - - - -
CV Elite Athlete Training Ctr - - 449,028 676,260 595,579 691,256 585,009 Living Coast Discovery Center - - - - - 95,405 101,112
Total business-type activities expenses 42,527,416 43,704,282 39,225,624 42,599,611 32,209,841 39,359,548 46,264,617 48,823,571 49,479,499 54,742,504 Total primary government expenses 237,888,772 241,278,924 220,319,524 239,889,056 232,319,513 256,472,679 292,002,945 279,114,204 313,016,568 335,053,850 Program revenues:

Governmental activities:

Charges for services:

General government 5, 955,849 5,795,838 8,767,069 7,623,676 6,468,756 12,317,921 8,562,792 5,004,895 1,194,045 3,685,466 Public safety 8,658,579 8,893,631 10,198,058 12,100,712 11,764,603 11,997,221 178,674 5,865,227 8,154,003 6,912,095 Community Development - - - 297,866 730,197 771,603 17,920,527 4,701,19 5 46,290,223 10,780,843 Public works 32,767,261 35,758,786 30,495,980 31,703,848 24,218,733 32,598,199 23,487,119 23,562,841 24,140,150 20,949,678 Parks and recreation 3,051,842 7,631,696 5,292,433 4,511,278 10,683, 649 8,221,019 1,490,236 2,134,964 2,066,000 1,576,819 Library 840,258 1,666,765 1,078,592 1,302,869 1,943,416 1,575,837 872,352 877,744 653,790 701,945 Operating contributions and grants 21,780,868 30,935,863 29,456,557 25,102,165 22,416,276 22,751,556 21,246,015 20,686,617 16,656,454 25,787,760 Capital contributions and grants 4,283,855 2,936,133 1,921,554 12,954,191 7,143,130 5,619,731 33,859,885 27,052,711 25,449,043 59,987,995 Total governmental activities
program revenues 77,338,512 93,618,712 87,210,243 95,596,605 85,368,760 95,853,087 107,617,600 89,886,194 124,603,708 130,382,601 Business-type activities:

Charges for services:

Transit Fund 2,671,538 2,841,619 2,672,231 1,503,262 - - - - - - Sewer Fund 32,571,135 35,011,268 33,190,660 36,054,603 35,775,374 36,289,930 37,870,947 44,213,351 44,740,438 42,091,953 Sewer DIFs 174,667 645,015 268,092 166,333 239,143 111,907 1,201,669 1,265,579 834,494 594,707 Development Services Fund 4,174,657 6,654,261 6,338,495 6,118,566 6, 546,936 7,291,037 10,596,287 9,317,298 9,269,133 10,617,448 Operating grants and contributions 3,524,426 3,095,626 3,800,358 5, 474,658 306,884 - 104,899 163,380 33,893 185,587 Capital grants and contributions - - - - - - - - - 2,672,900 Total business-type activities
program revenues 43,116,423 48,247,789 46,269,836 49,317,422 42,868,337 43,692,874 49,773,802 54,959,608 54,877,958 56,162,595 Total primary government
program revenues 120,454,935 141,866,501 133,480,079 144,914,027 128,237,097 139,545,961 157,391,402 144,845,802 179,481,666 186,545,196 Net revenues (expenses):

Governmental activities (118,022,844) (103,955,930) (93,883,657) (101,692,840) (114,740,912) (121,260,044) (138,120,728) (140,404,439) (138,933,361) (149,928,745) Business-type activities 589,007 4,543,507 7,044,212 6,717,811 10,658,496 4,333,326 3,509,185 6,136,037 5,398,459 1,420,091 Total net revenues (expenses) (117,433,837) (99,412,423) (86,839,445) (94,975,029) (104,082,416) (116,926,718) (134,611,543) (134,268,402) (133,534,902) (148,508,654) General revenues and other changes in net assets:

Governmental activities:

Taxes:

Property taxes 49,721,604 45,146,022 45,266,172 47,485,292 50,136,85 6 53,248,196 56,512,850 59,841,972 62,905,983 66,864,796 Sales tax 27,275,753 28,627,785 29,171,174 41,883,924 33,317,380 36,4 69,033 57,541,043 73,187,780 78,964,672 92,895,930 Other taxes 16,431,529 18,966,240 32,145,209 23,225,498 24,463,262 24 ,101,777 32,496,156 35,204,174 35,247,893 37,237,124 Investment income 3,615,266 866,861 1,944,988 4,216,186 6,233,144 2,954,403 5,652,663 12,243,685 14,062,136 4,836,055 Other general revenues 1,530,568 2,356,802 686,054 12,921,129 1,034,027 8,970 - - - - Miscellaneous - - - 27,882 336,661 1,677,271 12,675,502 13,963,434 13,897,888 13,635,554 Gain on Sale of Capital Asset - - - - 102,283 - 105,741 Transfers 4,195,190 3,861,417 3,551,004 3,848,746 2,799,555 4,180,778 4,170,702 4,339,276 4,352,954 4,664,733 Total general revenues and transfers 102,769,910 99,825,127 112,76 4,601 133,608,657 118,320,885 122,640,428 169,048,916 198,882,604 209,431,526 220,239,933 Extraordinary gain 28,677,153 - - - - - - - - -
Total governmental activities 131,447,063 99,825,127 112,764,601 133,608,657 118,320,885 122,640,428 169,048,916 198,882,604 209,431,526 220,239,933 Business-type activities:

Investment income 1,273,689 261,354 1,505,052 657,343 1,357,938 322,527 1,155,739 4,575,679 5,450,627 1,175,687 Miscellaneous 2,337,347 349,909 845,650 2,789,595 524,616 198,847,750 414,696 252,213 380,617 7,245,994 Gain on Sale of Capital Asset - - 115,703 - 60,770 1,313 11,425 Transfers (4,195,190) (3,861,417) (3,551,004) (3,848,746) (2,799,555) (4,180,778) (4,170,702) (4,339,276) (4,352,954) (4,664,733) Total business-type activities (584,154) (3,250,154) (1,200,302) (401,808) (917,001) 195,105,202 (2,600,267) 549,386 1,479,603 3,768,373 Total primary government 130,862,909 96,574,973 111,564,299 133,206,849 117,403,884 317,745,630 166,448,649 199,431,990 210,911,129 224,008,306 Changes in net position
Governmental activities 13,424,219 (4,130,803) 18,880,944 31,915,817 3,579,973 1,380,384 30,928,188 58,478,165 70,498,165 70,311,188 Business-type activities 4,853 1,293,353 5,843,910 6,316,003 9,741,495 199,438,528 908,918 6,685,423 6,878,062 5,188,464 Total primary government 13,429,072$ (2,837,450)$ 24,724,854$ 38,231,820$ 13,321,468$ 200,818,912$ 31,837,106$ 65,163,588$ 77,376,227$ 75,499,652$

CITY OF CHULA VISTA
Changes in Net Position
Last Ten Fiscal Years
174
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
General fund:

Nonspendable 8,799,026$ 7,481,079$ 7,424,812$ 7,419,002$ 1,527,055$ 7,363,413$ 7,676,350$ 7,578,086$ 9,290,599$ 12,559,029$ Restricted - 750,951 - - - - - - - 1,042,970
Committed 4,375,207 2,298,088 6,215,601 7,602,021 6,417,095 5,938,600 64,147,929 46,370,754 11,082,859 11,904,304 Assigned 2,895,545 6,648,922 4,807,244 4,688,124 4,315,568 8,526,339 11,866,874 41,546,738 66,514,060 65,282,025 Unassigned 11,969,280 10,790,135 14,511,252 16,412,879 25,132,939 20,020,613 24,512,363 23,378,859 25,636,659 28,315,924 Total general fund 28,039,058 27,969,175 32,958,909 36,122,026 37,392,657 41,848,965 108,203,516 118,874,437 112,524,177 119,104,252 All other governmental funds:

Nonspendable 30,763,746 29,774,472$ 23,537,524$ -$ 5,834,630$ 5,460$ 3,459$ 4,277$ 189,587$ 519,258$ Restricted 83,439,558 91,152,341 107,106,257 129,464,688 125,439,323 128,114,370 143,915,260 167,241,347 181,367,432 195,739,984 Committed 12,842,477 10,617,691 10,677,564 9,584,176 9,068,623 6,583, 603 6,303,075 5,219,729 5,321,988 5,344,272 Assigned - - - - 1,459,891 - 10,891 64,202 122,922 -
Unassigned (37,420,734) (37,277,498) (40,451,233) (37,216,118) (26,983,855) (19,394,021) (4,433) (2,147,643) (878,624) (2,583,780) Total all other governmental funds 89,625,047$ 94,267,006$ 100,870,112$ 101,832,746$ 114,818,612$ 115,309,412$ 150,228,252$ 170,381,912$ 186,123,305$ 199,019,734$ Committed fund balance totaled $46.3 million for specific purposes pursuant to contstraints imposed by formal action of the City Council and remains binding unless removed in the same manner in fiscal year 2019.

Sewer funds were converted to an enterprise fund in fiscal year 2008.

Fiscal Year

CITY OF CHULA VISTA
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
175
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Revenues:

Taxes 96,868,086$ 82,450,711 $ 106,825,885 $ 112,594,714 $ 110,452,962 $ 121,462,604 $ 139,296,422 $ 157,824,296 $ 166,215,250 $ 185,983,649$ Licenses and permits 1,253,806 1,436,828 1,355,342 1,322,254 1,328,020 1,290,968 1,601,980 2,367,165 1,834,236 2,005,923 Fines and forfeitures 2,065,246 1,639,781 1,685,268 2,280,880 1,942,656 1,805,508 2,035,823 2,218,235 1,670,628 1,346,492 Investment income 5,077,920 2,929,237 4,698,387 5,044,602 7,006,545 3,766,457 5,682,112 12,212,190 14,062,136 4,836,055 Developer fees 13,966,814 21,742,856 9,515,921 7,484,592 11,657,266 8,810,178 23,506,237 18,068,217 10,653,015 15,955,351 Intergovernmental 21,861,011 40,953,981 28,647,410 26,409,294 23,868,074 23,427,460 25,522,199 26,409,517 27,836,371 37,274,120 Charges for services 20,907,330 23,440,813 20,748,232 20,112,124 22,647,645 26,662,094 23,630,103 24,925,513 27,616,079 30,993,090 Contributions 11,176,064 15,244,658 11,984,032 7,679,652 Other 13,382,050 14,521,818 14,896,960 15,932,194 15,839,288 23,529,357 21,132,605 17,419,459 16,225,790 19,790,763 Total revenues 175,382,263 189,116,025 188,373,405 191,180,654 194,742,456 210,754,626 253,583,545 276,689,250 278,097,537 305,865,095 Expenditures
Current:

General government 23, 833,011 25,544,079 29,341,881 26,413,901 29,087,838 33,218,003 23,723,205 23,452,836 28,002,094 81,861,532 Public safety 71,917,414 73,177,912 76,457,979 80,235,099 83,637,644 87,731,136 95,424,528 101,580,642 114,661,942 286,042,703 Public works 47,911,105 48,416,477 40,894,934 41,459,698 49,775,141 45,135,590 37,856,917 29,974,482 33,284,800 87,018,056 Community Development 1,974,046 2,030,654 17,601,341 10,860,838 10,951,941 19,453,357 Parks and recreation 4,215,643 3,471,548 3,590,441 3,746,349 4,059,567 4,246,605 4,276,366 11,208,237 10,661,708 44,357,263 Library 3,672,661 3,241,660 3,810,004 3,625,949 3,969,307 4,721,120 3,943,063 3,948,154 3,580,413 10,709,718 Capital outlay 16,182,888 21,144,133 15,347,338 22,216,530 12,976,408 19,172,666 40,843,898 49,253,675 51,371,872 49,508,887 Debt service: --- - -
Principal retirement 8,423,156 5,113,992 54,040,855 5,340,205 34,980,737 6,110,055 11,898,280 11,760,783 12,810,263 13,254,548 Interest and fiscal charges 9,229,775 6,818,788 7,850,448 6,678,144 6,437,941 5,194,264 8,382,476 8,023,403 7,348,481 7,961,316 Bond issuance cost - - - - - - - - - -
Payment to refunded bond escrow agent - - - - 422,751 2,673,892 - - - - Total expenditures 185,385,653 186,928,589 231,333,880 189,715,875 227,321,380 210,233,985 243,950,074 250,063,050 272,673,514 600,167,380 Excess (deficiency) of
revenues over (under)
expenditures (10,003,390) 2,187,436 (42,960,475) 1,464,779 (32,578,924) 520,641 9,633,471 26,626,200 5,424,023 (294,302,285) Other financing sources (uses):

Transfers in 56,989,583 33,900,786 20,113,296 30,478,465 21,708,446 27,905,430 49,858,764 20,965,197 22,619,355 31,219,762 Transfers out (53,551,865) (32,638,610) (16,551,879) (27,503,760) (18,897,272) (25,949,256) (47,177,986) (16,625,921) (18,443,510) (26,732,447) Proceeds from long-term debt 42,286 3, 963,104 2,174,204 2,121,500 578,224 377,487 - - - - Proceeds from bond sale - - - 45, 920,000 - 34,330,000 34,485,000 - - 308,476,104 Payment to escrow agent trust - - - - - (7,135,000) (36,860,637) - - - Bond premium/(bond discount) - - - 3, 537,111 - 2,262,493 2,836,273 - - Capital Leases - - - - - - 1,285,053 759,697 1,023,800 - Proceeds from sale of capital assets 9,630,000 - - - - - - - - - Total other financing
sources (uses) 13,110,004 5,225,280 5,735,621 54,553,316 3,389,398 31,791,154 4,426,467 5,098,973 5,199,645 312,963,419 Extraordinary item:

Loss on dissolution of the Chula
Vista Redevelopment Agency - (3,191,040) - - - - - - - - Total extraordinary item - (3,191,040) - - - - - - - -
Net change in fund balances 3,106,614$ 4,221,676$ (37,224,854)$ 56,018,095$ (29,189,526)$ 32,311,795$ 14,059,938$ 31,725,173$ 10,623,668$ 18,661,134$ Debt service as a percentage of
noncapital expenditures 10.1% 6.9% 30.3% 6.9% 20.3% 6.0% 10.0% 10.0% 9 .3% 3.8%

CITY OF CHULA VISTA
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
Sewer funds were converted to an enterprise fund in fiscal year 2008. 176
Fiscal Year Taxable Taxable Total
Ended Less: Assessed Less: Assessed Direct Tax
June 30 Secured Unsecured Exemptions Value 2
Secured Unsecured Exemptions 3
Value Rate
2012 21,280,088,193 613,792,400 (739,917,158) 21,153,963,435 1,054,772,168 157,330,744 - 1,212,102,912 0.1438% 2013 21,173,362,084 565,751,305 (796,316,481) 20,942,796,908 1,045,060,350 97,973,502 - 1,143,033,852 0.1438% 2014 21,922,151,025 555,819,631 (831,701,747) 21,646,268,909 1,150,985,609 104,386,694 - 1,255,372,303 0.1438% 2015 23,413,030,465 542,342,957 (864,933,069) 23,090,440,353 1,142,294,084 101,995,779 - 1,244,289,863 0.1438% 2016 24,754,131,895 549,312,047 (847,445,301) 24,455,998,641 1,209,286,482 117,991,956 - 1,327,278,438 0.1438% 2017 26,210,551,258 543,505,450 (977,982,199) 25,776,074,509 1,246,659,237 107,794,167 - 1,354,453,404 0.1438% 2018 27,801,823,181 559,678,820 (1,009,910,410) 27,351,591,591 1,396,009,911 112,713,638 - 1,508,723,549 0.1438% 2019 29,390,231,110 592,221,286 (1,118,567,598) 28,863,884,798 1,554,756,256 125,692,898 - 1,680,449,154 0.1438% 2020 31,185,048,225 602,642,833 (1,191,602,603) 30,596,088,455 1,657,266,937 119,906,018 - 1,777,172,955 0.1437% 2021 33,136,962,193 641,452,322 (1,374,268,953) 32,404,145,562 1,758,437,255 131,005,792 - 1,889,443,047 0.1145% 1 Redevelopment Agency dissolved as of January 31, 2012. Successor Agency formed February 1, 2012. 2 Includes redevelopment incremental valuation.
3 Redevelopment Agency/Successor Agency exemptions are included in City exemption data as they are not reported separately.

Source: County of San Diego Property Tax Services
Valuation Report, Tax Rate by Tax Rate Area, ACAP 345B

CITY OF CHULA VISTA
Assessed Value and Estimated Actual Value of Taxable Property Last Ten Fiscal Years
City Redevelopment Agency/Successor Agency 1
NOTE:

In 1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based upon the assessed valueo ft h eproperty being taxed. Each year, the assessed value of property may be increased by an "inflation factor" (limited to a maximum increase of 2%). With few exceptions,property is only re-assessed at the time that it is soldto a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold. Theassessed valuation data shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitations described above.
177
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
City Direct Rates:

City basic rate 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1437 0.1438 Overlapping Rates:

Chula Vista Elementary School 0.0259 0.0253 0.0463 0.0475 0.043 0.0432 0.0359 0.0392 0.0374 0.06455 District Bonds
Sweetwater Union High School 0. 0608 0.0586 0.0582 0.0541 0.0517 0.0516 0.0516 0.0528 0.0516 0.0488 District Bonds
Southwestern Community 0.0331 0.0375 0.0368 0.0358 0.0396 0.0386 0.0498 0.0467 0.0448

0.02792
College Bonds
MWD D/S Remainder of 0.0037 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.00350 0.00350 0.00350 SDCWA 15019999
County of San Diego** 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.00000 1.00000 1.00000 Total Overlapping Rates 1.1235 1.1249 1.1448 1.1409 1.1378 1.1369 1.1408 1.14221 1.13734 1.14477 Breakdown of the County of San Diego 1.00 Rate:**
County General
Gen Elem Chula Vista
High Sweetwater Union
Southwestern Community College
County School Service
County School Service - Capital Outlay
Childrens Institutions Tuition
Regional Occupational Centers
Chula Vista Project (19/84601)
Chula Vista Project (19/84602)
Educational Revenue Augmentation Fund
Chula Vista City
South Bay Irrigation
CWA South Bay Irrigation
San Diego Unified Port
Total
Source: County of San Diego Property Tax Services and ACAP 345B

0.00000000

0.00376946

0.00000000

1.00000000

0.00483027

0.00019695

0.00039390

0.14676995

0.14375071

0.15920355

CITY OF CHULA VISTA
Direct and Overlapping Property Tax Rates
(Rate per $100 of assessed value)
Last Ten Fiscal Years

0.00161434

0.29103670

0.18823068

0.05072194

0.00757296

0.00190859
NOTE:

In 1978, California voters passed Proposition 13 which sets the property taxrate at a 1.00% fixed amount. This 1.00% is shared by alltaxing agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentageof assessed property values for the payment of school bonds and other debt service. Overlapping rates may vary by tax rate area. The data listed inthis 178
Percent of Percent of
Total City Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value Value Rank Value
Rohr Inc. 237,627,779$ 1 0.73% 181,306,637 $ 3 0.86% GGP Otay Ranch LP 210,616,574 2 0.65% 176,655,960 4 0.84% John Hancock Life Insurance Co 155,854,147 3 0.48% 0.00% Sharp Chula Vista Medical Center 125,129,976 4 0.39% 0.00% Regulo Place Apartments Invest 120,614,521 5 0.37% 100,505,618 6 0.48% Shea Homes Ltd Partnership 111,658,431 6 0.34% 70,332,644 8 0.33% Brisa Acquisitions LLC 101,325,569 7 0.31% 0.00%
NM Pulse LLC 100,936,246 8 0.31% 0.00%
Vista Pacific Villas LP 100,719,345 9 0.31% 0.00%
Equity Residential 92,882,242 10 0.29% 119,057,451 5 0.56% JPB Development - - 253,593,675 1 1.20%
San Diego Expressway Ltd - - 189,100,000 2 0.89%
Chula Vista Center LLC - - 72,673,458 7 0.34%
Camden USA Inc - - 62,974,684 9 0.30%
Corky Mcmillin Homes - - 56,546,264 10 0.27%
1,357,364,830$ 4.19% 1,282,746,391$ 6.07%
The amounts shown above include assessed value data for both the City and the Redevelopment Successor Agency.

Source: MuniServices, LLC
County of San Diego Property Tax Services PT Base Tab Taxable Assessed Value for FYE

CITY OF CHULA VISTA
Principal Property Tax Payers
Current Year and Nine Years Ago
2021 2012
179
Fiscal Taxes Levied Collections in
Year Ended for the Percent Subsequent Percent
June 30 Fiscal Year 1
Amount of Levy Years 2
Amount of Levy
2012 25,373,780$ 24,669,632 $ 97.22% (35,474) $ 24,634,158 $ 97.09% 2013 25,352,454 24,982,072 98.54% 117,973 25,100,045 99.00% 2014 26,063,753 25,758,225 98.83% 39,776 25,798,000 98.98% 2015 27,726,666 27,398,740 98.82% 36,404 27,435,143 98.95% 2016 29,083,269 28,800,156 99.03% 68,973 28,869,128 99.26% 2017 30,632,668 30,388,650 99.20% 49,984 30,438,634 99.37% 2018 32,518,946 32,206,343 99.04% 58,329 32,264,672 99.22% 2019 34,198,598 33,877,270 99.06% 6,562 33,883,832 99.08% 2020 36,202,585 35,677,358 98.55% 80,701 35,758,059 98.77% 2021 38,360,550 37,854,693 98.68% 211,814 38,066,507 99.23% 1 Levy amounts do not include supplemental taxes.
2 Collection amounts represent delinquencies collected for all prior years during the current tax year.

Total delinquent collections are reduced by any refunds processed from prior year tax collections.

Source: County of San Diego Property Tax Services ACAP234A 1% Collected within the
Fiscal Year of Levy Total Collections to Date

CITY OF CHULA VISTA
Property Tax Levies and Collections
Last Ten Fiscal Years
180
Fiscal Year Pension Tax Total Pension Total Total Percentage Debt Ended Obligation Allocation Certificates of Governmental Obligation Bus.-Type Primary of Personal Per June 30 Bonds Bonds Loans Participation Leases Activities Bonds Leases Activities Government Income 1 Capita 1 2012 - 43,005,000 19,673,344 132,290,000 - 194,968,344 - - - 194,968,344 1.73% 777 2013 - -2
14,182,697 128,375,000 - 142,557,697 - - - 142,557,697 1.24% 556 2014 - -2
18,366,623 121,650,000 - 140,016,623 - - - 140,016,623 1.15% 538 2015 - -2
17,849,316 117,590,000 - 135,439,316 - - - 135,439,316 1.04% 516 2016 - -2
18,673,487 111,195,000 - 129,868,487 - - - 129,868,487 1.02% 492 2017 - -2
21,445,777 106,025,000 - 127,470,777 - - - 127,470,777 0.93% 478 2018 - -2
123,053,035 78,260,000 - 201,313,035 - - - 201,313,035 1.49% 750 2019 - -2
114,055,336 74,770,000 - 188,825,336 - - - 188,825,336 1.42% 696 2020 - -2
99,253,322 71,110,000 5,188,939 175,552,261 - 10,858 10,858 175,563,119 1.34% 642 2021 311,272,126 -2
89,342,072 67,250,000 6,497,094 474,361,292 38,752,874 4,500,499 43,253,373 517,614,665 N/A 1,886 1 These ratios are calculated using personal income and population for the prior calendar year. 2 Tax Allocation Bonds transferred to Successor Agency and shown as fiduciary fund.

Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements.

CITY OF CHULA VISTA
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
Governmental Activities Business-Type Activities
181
Fiscal Year Pension Tax Percent of
Ended Obligation Allocation Assessed Per
June 30 Bonds Bonds Total Value 1
Capita
2012 - 43,005 43,005 0.20% 171
2013 - 41,985 41,985 0.20% 164
2014 - 40,920 40,920 0.19% 157
2015 - 39,230 39,230 0.17% 149
2016 - 37,465 37,465 0.15% 142
2017 - 29,315 29,315 0.11% 110
2018 - 27,930 27,930 0.10% 104
2019 - 26,265 26,265 0.09% 97
2020 - 28,290 28,290 0.09% 103
2021 350,025 26,286 376,311 1.16% 1,371
General bonded debt is debt payable with governmental fund resources and general obligation bonds recorded in enterprise funds.
1 Assessed value has been used because the actual value of taxable property is not readily available in the State of California.

CITY OF CHULA VISTA
Ratio of General Bonded Debt Outstanding
Last Ten Fiscal Years
(In Thousands, except Per Capita)
Outstanding General Bonded Debt
182
2020-21 Assessed Valuation: 32,404,145,562
Total Debt City's Share of
OVERLAPPING TAX AND ASSESSMENT DEBT: 6/30/21 % Applicable (1) Debt 06/30/21 Metropolitan Water District 26,830,000$ 0. 991% 265,885$ Otay Municipal Water District, I.D. No. 27 1,425,000 99.996 1,424,943 Southwestern Community College District 535,971,833 51.186 274,342,542 Sweetwater Union High School District 385,973,846 60.831 234,791,750 Chula Vista City School District 140,633,285 87.779 123,446,491 Chula Vista City School District Schools Facilities Improvement Dist 1 78,740,000 79.971 62,969,165 National School District 28,215,000 3.191 900,341
City of Chula Vista Community Facilities Districts 132,990,000 100. 132,990,000 16,475,708 100. 16,475,708
97,512 100. 97,512
5,247,365 100. 5,247,365
2,785,187 100. 2,785,187
1,389,546 68.799 955,994
6,106,689 100. 6,106,689
3,900,480 21.811 850,734
4,065,032 100. 4,065,032
1,834,445 100. 1,834,445
2,346,383 100. 2,346,383
4,351,473 100. 4,351,473
2,547,501 100. 2,547,501
2,718,147 100. 2,718,147
4,193,016 100. 4,193,016
97,512 100. 97,512
City of Chula Vista 1915 Act Bonds 3,165,000 100. 3,165,000 California Statewide Communities Development Authority 1915 Act Bonds 445,566 100. 445,566 TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT 889,414,381$
DIRECT AND OVERLAPPING GENERAL FUND DEBT:

San Diego County General Fund Obligations 211,585,000$ 5.533% 11,706,998 $ San Diego County Pension Obligation Bonds 400,125,000 5.533 22,138,916 San Diego County Superintendent of Schools Obligations 8,585,000 5.533 475,008 Southwestern Community College District Certificates of Participation 490,000 51.186 250,811 Sweetwater Union High School District General Fund Obligations 36,105,000 60.831 21,963,033 Chula Vista City School District Certificates of Participation 143,795,000 87.779 126,221,813 City of Chula Vista General Fund Obligations 162,302,140 100 162,302,140 (2) City of Chula Vista Pension Obligation Bonds 350,025,000 100 350,025,000 TOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT 695,083,719$ OVERLAPPING TAX INCREMENT DEBT (Successor Agency): 26,285,849$ 99. 643% 26,192,009$ TOTAL DIRECT DEBT 517,614,665$
TOTAL OVERLAPPING DEBT 1,098,362,969$
COMBINED TOTAL DEBT 1,615,977,634$ (3)
(1) The percentage of the overlapping debt applicable to the city is estimated using taxable assessed property value.

Applicable percentages were estimated by determining the portion 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) Includes Certificates of Participation, Lease Revenue Bonds, Loans, Notes and Capital Leases. (3) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations. Qualified Zone Academy Bonds are included based on principal due at maturity.

Ratios to 2020-21 Assessed Valuation:

Total Overlapping Tax and Assessment Debt………………………… 2.74% Total Direct Debt ($517,614,665)……………...…….…….….……. 1.58% Combined Total Debt…………....……...……………………………. 4.96%
Ratios to Redevelopment Successor Agency Incremental Valuation ($1,889,443,047):

Total Overlapping Tax Increment Debt………………………………. 1.20% Sweetwater Union High School District Community Facilities District No. 3

CITY OF CHULA VISTA
Direct and Overlapping Debt
June 30, 2021
Sweetwater Union High School District Community Facilities District No. 1 Sweetwater Union High School District Community Facilities District No. 2 Sweetwater Union High School District Community Facilities District No. 18 Sweetwater Union High School District Community Facilities District No. 4 Sweetwater Union High School District Community Facilities District No. 5 Sweetwater Union High School District Community Facilities District No. 6 Sweetwater Union High School District Community Facilities District No. 10 Sweetwater Union High School District Community Facilities District No. 11 Sweetwater Union High School District Community Facilities District No. 12 Sweetwater Union High School District Community Facilities District No. 13 Sweetwater Union High School District Community Facilities District No. 14 Sweetwater Union High School District Community Facilities District No. 15 Sweetwater Union High School District Community Facilities District No. 16 Sweetwater Union High School District Community Facilities District No. 17 183
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Assessed valuation 21,153,963,435$ 20,942,796,908$ 21,646,268,909$ 23,090,440,353$ 24,455,998,641$ 25,776,074,509$ 27,351,591,591$ 28,863,884,798$ 30,596,088,455$ 32,404,145,562$ Conversion percentage 25% 25% 25% 25% 25% 25% 25% 25% 25% 25% Adjusted assessed valuation 5,288,490,859 5,235,699,227 5,411,567,227 5,772,610,088 6,113,999,660 6,444,018,627 6,837,897,898 7,215,971,200 7,649,022,114 8,101,036,391 Debt limit percentage 15% 15% 15% 15% 15% 15% 15% 15% 15% 15% Debt limit 793,273,629 785,354,884 811,735,084 865,891,513 917,099,949 966,602,794 1,025,684,685 1,082,395,680 1,147,353,317 1,215,155,459 Total net debt applicable to limit:

Pension obligation bonds - - - - - - - - - 350,025,000
Legal debt margin 793,273,629$ 785,354,884$ 811,735,084$ 865,891,513$ 917,099,949$ 966,602,794$ 1,025,684,685$ 1,082,395,680$ 1,147,353,317$ 865,130,459$ Total debt applicable to the limit
as a percentage of debt limit 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 28.8% Source: City Finance Department
County of San Diego Property Tax Services

CITY OF CHULA VISTA
Legal Debt Margin Information
Last Ten Fiscal Years
Fiscal Year 2020
The Government Code of the State of California provides for a legal debt limit of 15% of gross assessed valuation. However, this provision was enactedwhen assessed valuation was based upon 25% of market value. Effective withthe 1981-82 fiscal year, each parcel is now assessed at 100% of market value (as of the most recent change in ownership for that parcel). The computations shown above reflect a conversion of assessed valuation data for each fiscal year from the current full valuation perspective to the 25% level that was in effect at the time that the legal debt margin was enacted by the State of California for local governments located within the state. 184
Fiscal Year
Ended Tax
June 30 Increment Principal Interest Coverage
2012 10,931,615 980,000 1,992,565 3.68 2013 3,949,717 1,020,000 1,948,865 1.33
2014 6,144,015 1,065,000 1,901,703 2.07
2015 5,648,052 1,690,000 1,840,378 1.60
2016 5,042,979 1,765,000 1,765,765 1.43
2017 3,589,342 0 849,680 4.22
2018 4,092,288 1,385,000 1,171,750 1.60
2019 2,774,802 1,665,000 1,132,925 0.99
2020 3,254,673 1,725,000 1,082,075 1.16
2021 2,442,862 1,770,000 1,020,800 0.88
Note: Details regarding the city's outstanding debt can be found in the notes to the financial statements.

Debt Service

CITY OF CHULA VISTA
Pledged-Revenue Coverage
Last Ten Fiscal Years
Tax Allocation Bonds
185
Pct. of S.D. Pct. Change Avg. % Bachelor's Per Capita
Total County from Previous Median Household % High School Degree or Pc t. Below Unemployment Personal Income Personal Year Population 1 Population 1 Year 1 Age 2 Size 1 Graduate 3 Higher 3 Poverty 3 Rate 4 (In Thousands) 5 Income 5 2012 251,029 7.9% 1.7% 33.1 3.26 81.3% 27.9% 11.9% 11.4% 11,262,284 44,880 2013 256,417 8.0% 2.1% 32.9 3.27 79.0% 25.6% 15.6% 9.8% 11,495,050 44,910 2014 260,177 8.0% 1.5% 32.7 3.29 80.4% 27.8% 12.8% 8.1% 12,197,555 46,981 2015 262,484 8.0% 0.9% 32.7 3.30 82.3% 29.8% 10.6% 6.5% 12,974,993 49,536 2016 264,046 8.0% 0.6% 32.6 3.30 80.1% 27.4% 10.5% 5.2% 12,713,366 48,289 2017 266,427 8.1% 0.9% 32.7 3.30 80.9% 28.1% 11.5% 4.4% 13,739,946 51,718 2018 268,588 8.1% 0.8% 32.7 3.29 85.5% 27.4% 8.4% 3.7% 13,534,227 50,424 2019 271,362 8.1% 1.0% 32.8 3.27 83.2% 29.2% 12.5% 3.5% 13,331,588 49,164 2020 273,384 8.2% 0.7% 32.9 3.25 n/a n/a n/a 10.4% 13,131,983 47,935 2021⁶ 274,449 8.3% 0.4% 33.0 3.23 n/a n/a n/a n/a n/a n/a

6. SANDAG Estimates for FY2021 not available until April 2022.

Notes: Year-to-year variation for Educational Attainment and Poverty are the result of both actual change and sampling error. Per Capita Personal Income (PCPI) is the share of the jurisdiction's Per Capita Income to the region's based on the ACS 1-Year Estimates, Table B19301, multiplied by the region's PCPIfrom BEA. Personal Income is the product of PCPI and Total Population. Dollar values are inflation-adjusted to 2019 dollars. Median Age for 2020 and Personal Income and PCPI for 2019 were estimated using the prior year's growth rate.

BEA Personal Income definition: "Personal income is the income received by, or on behalf of, all persons from all sources: from participation as laborers in production, from owning a home or business, from the ownership of financial assets, and from government and business in the form of transfers. It includes income from domestic sources as well as the rest of world. It does not include realized or unrealized capital gains or losses." Educational Attainment

CITY OF CHULA VISTA
Demographic and Economic Statistics
Last Ten Calendar Years
Source: Data compiled by SANDAG Service Bureau. 1 California Department of Finance, "January Population and Housing Estimates"; 2 SANDAG Estimates, Vintage 2019 (2010-2019), SANDAG Estimates, Vintage 2009 (2004-2009); 3 American Community Survey (ACS) 1-Year Estimates, TablesB15003 (Educational Attainment) and B17001 (Poverty); 4 California Employment Development Department (EDD), Local Area Unemployment Statistics (LAUS), Annual Average; 5 U.S. Bureau of Economic Analysis (BEA), Regional Economic Accounts "Local Area Personal Income Accounts," Table CA5N; ACS 1-Year Estimates, Table B19301; Bureau of Labor Statistics (BLS), retrieved from FRED, Chained Consumer Price Index (CPI), "Series CUUSA424SA0." *Data for median age personal income and per capita personal incomeare not available for 2020 and 2021, therefore these measures are estimated by applying the change observed between the previous two years and multiplying that by the data for the latest year available. 186
Percent of Percent of
Number of Total Number of Total
Employer Employees Employment Employees Employment
Sweetwater Union High School District 3,703 1 6.04% 3,911 1 7.52% Chula Vista Elementary School District 3,549 2 5.79% 2,727 2 5.24% Sharp Chula Vista Medical Center 2,580 3 4.21% 1,735 4 3.34% Southwestern Community College 1,450 4 2.36% 1,716 5 3.30% Rohr Inc./Goodrich Aerospace 1,345 5 2.19% 2,167 3 4.17% Wal-Mart 1,180 6 1.92% 1,239 6 2.38%
City of Chula Vista 1,149 7 1.87% 1,106 8 2.13%
Scripps Mercy Hospital Chula Vista 1,073 8 1.75% 1,109 7 2.13% Costco 815 9 1.33% 538 9 1.03%
Aquatica 610 10 0.99% - 0.00%
24 Hour Fitness - 0.00% 475 10 0.91%
"Total Employment" as used above represents the total employment of all employers located within City limits. Per EDD's Q4 average, this amounts to 61,318 employees.

Source: State Employment Development Department
City Finance Department
Sweetwater Union High School District
Chula Vista Elementary School District
Southwestern Community College
EDD

CITY OF CHULA VISTA
Principal Employers
Current Year and Nine Years Ago
2021 2012
187
Function 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 General Government 269 282 312 288 205 210 198 160 160 172 Public Safety 432 432 425 469 470 474 492 527 554 620
Public Works/Engr 159 164 161 161 241 228 228 184 180 189 Parks and Recreation 115 115 130 161 176 153 158 229 69 137 Library 76 82 77 88 70 77 73 74 24 39
Development Services 55 49 49 49 57 55 58 73 71 69
Total 1,106 1,124 1,154 1,216 1,219 1,197 1,207 1,247 1,058 1,226 Source: City Finance Department

CITY OF CHULA VISTA
Full-time and Part-time City Employees
by Function
Last Ten Fiscal Years
188
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Police:

Citizen-initiated calls for service 64,885 66,319 65,645 64,486 67,512 65,672 65,643 64,066 66,470 65,537 Fire:

Number of emergency calls 12,863 12,950 14,787 18,328 19,612 19,612 21,397 21,803 22,843 24,794 Inspections 2,205 2,390 2,262 4,209 4,207 4,207 3,907 3,862 4,029 6,071 Public works:

Street resurfacing/maintenance 1
55,398 121,428 38,087 61,640 39,338 61,640 16,178 14,734 61,640 32,923 (square feet)
Parks and recreation:³
Number of recreation classes 1,914 2,572 2,456 2,388 3,859 3,124 2,658 3,552 2,008 575 Number of facility rentals 2,028 1,915 1,781 1,921 1,573 1,482 688 771 1,100 121 Library:

Circulation 982,688 992,005 954,071 839,616 706,594 706,594 637,119 539,762 500,195 115,005 Attendance² 722,310 832,975 822,895 803,535 857,475 857,475 958,117 1,635,849 961,848 162,300 Sewer:

New connections 646 968 553 210 2211 211 502 1456 1628 425 Average daily sewage treatment 15.9 15.7 15.5 15.5 15.4 20.9 20.9 20.9 2 0.9 16.142 (millions of gallons)
1 Excludes filling of potholes and crack sealing.
2 Library closed from March 2020 to May 2021.
3 Parks and Recreation closed majority of FYE21, offered limited number of classes and rentals in between.

Note: Data is not available for the fiscal years marked as n/a.

Source: City of Chula Vista

CITY OF CHULA VISTA
Operating Indicators
by Function
Last Ten Fiscal Years
Fiscal Year
189
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Police:

Stations 011111111 1
Fire:

Fire stations 99999999 1 0 10
Public works:

Streets (miles) 429.5 429.5 433.9 433.9 433.9 433.9 434.2 434.2 445.2 445.2 Streetlights 9,066 9,069 9,069 9,069 9,144 9,282 9,539 9,787 9,818³ 9,828 Traffic signals 269 273 273 273 275 275 282 288 294³ 301 Parks and recreation:

Parks (acreage) 1
530.7 530.7 527.7 557.2 557.2 708 660 660 704.02 716.93 Recreation facilities 11 11 11 11 11 11 11 11 11 11
Library:

Libraries 333333333 3
Sewer:

Sewer pipes (miles) 505.0 505.0 511.3 514.315² 514.6 514.6 514.6 514.6 516.8 517.03 Storm drains (miles) 249.0 249.0 255.2 263.209 ² 266.2 269.6 272.4 273.8 280.6 282.46 Maximum daily treatment capacity 20.9 20.9 20.9 20.9 20.9 20.9 20.9 20. 9 20.9 20.9 (millions of gallons)
1 Includes community, neighborhood, special purpose, mini, urban, and privately maintained public parks within City Boundaries. 2 Updated Sewer: Sewer Pipes and Storm Drains (miles) per GASB 34 FY 2018 3 Updated Public Works: Streetlights and Traffical Signals per GASB 34 FY 2020 Source: City of Chula Vista

CITY OF CHULA VISTA
Capital Asset Statistics
by Function
Last Ten Fiscal Years
Fiscal Year
190

203 N. Brea Blvd., Suite 203
Brea, CA 92821 Lance, Soll & Lunghard, LLP Phone: 714.672.0022 

,1'(3(1'(17$8',7256¶5(325721,17(51$/&21752/
29(5),1$1&,$/5(3257,1*$1'21&203/,$1&($1'27+(50$77(56 %$6('21$1$8',72)),1$1&,$/67$7(0(1763(5)250(',1$&&25'$1&( :,7+GOVERNMENT AUDITING STANDARDS

7RWKH+RQRUDEOH0D\RUDQG0HPEHUVRIWKH&LW\&RXQFLO &LW\RI&KXOD9LVWD&DOLIRUQLD

:H KDYH DXGLWHG LQ DFFRUGDQFH ZLWK WKH DXGLWLQJ VWDQGDUGV JHQHUDOO\ DFFHSWHG LQ WKH 8QLWHG 6WDWHV RI$PHULFDDQGWKHVWDQGDUGVDSSOLFDEOHWRILQDQFLDODXGLWVFRQWDLQHGLQGovernment Auditing Standards LVVXHG E\ WKH &RPSWUROOHU *HQHUDO RI WKH 8QLWHG 6WDWHV WKH ILQDQFLDO VWDWHPHQWV RI WKH JRYHUQPHQWDO DFWLYLWLHVWKHEXVLQHVVW\SHDFWLYLWLHVHDFKPDMRUIXQGDQGWKHDJJUHJDWHUHPDLQLQJIXQGLQIRUPDWLRQRI WKH&LW\RI&KXOD9LVWD&DOLIRUQLD
WKH³&LW\´
DVRIDQGIRUWKH\HDUHQGHG-XQHDQGWKHUHODWHG QRWHV WR WKH ILQDQFLDO VWDWHPHQWV ZKLFK FROOHFWLYHO\ FRPSULVH WKH &LW\¶V EDVLF ILQDQFLDO VWDWHPHQWV DQG KDYHLVVXHGRXUUHSRUWWKHUHRQGDWHG'HFHPEHU 
,QWHUQDO&RQWURORYHU)LQDQFLDO5HSRUWLQJ

,QSODQQLQJDQGSHUIRUPLQJRXUDXGLWRIWKHILQDQFLDOVWDWHPHQW VZHFRQVLGHUHGWKH&LW\¶VLQWHUQDOFRQWURO RYHUILQDQFLDOUHSRUWLQJ
LQWHUQDOFRQWURO
DVDEDVLVIRUGHVL JQLQJDXGLWSURFHGXUHVWKDWDUHDSSURSULDWHLQ WKHFLUFXPVWDQFHVIRUWKHSXUSRVHRIH[SUHVVLQJRXURSLQLRQVRQ WKHILQDQFLDOVWDWHPHQWVEXWQRWIRUWKH SXUSRVHRIH[SUHVVLQJDQRSLQLRQRQWKHHIIHFWLYHQHVVRIWKH&LW\¶VLQWHUQDOFRQWURO$FFRUGLQJO\ZHGRQRW H[SUHVVDQRSLQLRQRQWKHHIIHFWLYHQHVVRIWKH&LW\¶VLQWHUQDOFRQWURO 
$deficiency in internal controlH[LVWVZKHQWKHGHVLJQRURSHUDWLRQRIDFRQWUROGRHVQRWDOORZPDQDJHPHQW RUHPSOR\HHVLQWKHQRUPDOFRXUVHRISHUIRUPLQJWKHLUDVVLJQHGIXQFWLRQVWRSUHYHQWRUGHWHFWDQGFRUUHFW PLVVWDWHPHQWVRQDWLPHO\EDVLV$material weaknessLVDGHILFLHQF\RUDFRPELQDWLRQRIGHILFLHQFLHVLQ LQWHUQDO FRQWURO VXFK WKDW WKHUH LV D UHDVRQDEOH SRVVLELOLW\ WKDW D PDWHULDO PLVVWDWHPHQW RI WKH HQWLW\¶V ILQDQFLDO VWDWHPHQWV ZLOO QRW EH SUHYHQWHG RU GHWHFWHG DQG FRUUHFWHG RQ D WLPHO\ EDVLV $ significant deficiency LVD GHILFLHQF\RU D FRPELQDWLRQ RI GHILFLHQFLHV LQ LQWHUQDOF R Q W U R O W K D W L V O H V V V H Y H U H W K D Q D  PDWHULDOZHDNQHVV\HWLPSRUWDQWHQRXJKWRPHULWDWWHQWLRQE\WKRVHFKDUJHGZLWKJRYHUQDQFH 
2XU FRQVLGHUDWLRQ RI LQWHUQDO FRQWURO ZDV IRU WKH OLPLWHG SXUSRVH GHVFULEHG LQ WKH ILUVW SDUDJUDSK RI WKLV VHFWLRQ DQG ZDV QRW GHVLJQHG WR LGHQWLI\ DOO GHILFLHQFLHV LQ LQ WHUQDO FRQWURO WKDW PLJKW EH PDWHULDO ZHDNQHVVHVRUVLJQLILFDQWGHILF LHQFLHV*LYHQWKHVHOLPLWDWLRQ VGXULQJRXUDXGLWZHGLGQRWLGHQWLI\DQ\ GHILFLHQFLHVLQLQWHUQDOFRQWUROWKDWZHFRQVLGHUWREHPDWHULDOZHDNQHVVHV+RZHYHUPDWHULDOZHDNQHVVHV PD\H[LVWWKDWKDYHQRWEHHQLGHQWLILHG

&RPSOLDQFHDQG2WKHU0DWWHUV

$V SDUW RI REWDLQLQJ UHDVRQDEOH DVVXUDQFH DERXW ZKHWKHU WKH &LW\¶V ILQDQFLDO VWDWHPHQWV DUH IUHH IURP PDWHULDOPLVVWDWHPHQWZHSHUIRUPHGWHVWVRILWVFRPSOLDQFHZLW KFHUWDLQSURYLVLRQVRIODZVUHJXODWLRQV FRQWUDFWVDQGJUDQWDJUHHPHQWVQRQFRPSOLDQFHZLWKZKLFKFRXOGKDYHDGLUHFWDQGPDWHULDOHIIHFWRQWKH ILQDQFLDO VWDWHPHQWV +RZHYHU SURYLGLQJ DQ RSLQLRQ RQ FRPSOLDQFH ZLWK WKRVH SURYLVLRQV ZDV QRW DQ REMHFWLYHRIRXUDXGLWDQGDFFRUGLQJO\ZHGRQRWH[SUHVVVXFKDQRSLQLRQ7KHUHVXOWVRIRXUWHVWVGLVFORVHG QR LQVWDQFHV RI QRQFRPSOLDQFH RU RWKHU PDWWHUV WKDW DUH UHTXLUHG WR EH UHSRUWHG XQGHU Government Auditing Standards

191

7RWKH+RQRUDEOH0D\RUDQG0HPEHUVRIWKH&LW\&RXQFLO &LW\RI&KXOD9LVWD&DOLIRUQLD


3XUSRVHRIWKLV5HSRUW

7KHSXUSRVHRIWKLVUHSRUWLVVROHO\WRGHVFULEHWKHVFRSHRIR XUWHVWLQJRILQWHUQDOFRQWURODQGFRPSOLDQFH DQGWKHUHVXOWVRIWKDWWHVWLQJDQGQRWWRSURYLGHDQRSLQLRQRQWKHHIIHFWLYHQHVVRIWKH&LW\¶VLQWHUQDOFRQWURO RU RQ FRPSOLDQFH 7KLV UHSRUW LV DQ LQWHJUDO SDUW RI DQ DXGLW S HUIRUPHG LQ DFFRUGDQFH ZLWK Government Auditing StandardsLQFRQVLGHULQJWKH&LW\¶VLQWHUQDOFRQWURODQGFRPSOLDQFH$FFRUGLQJO\ WKLVFRPPXQLFDWLRQLVQRWVXLWDEOHIRUDQ\RWKHUSXUSRVH 


%UHD&DOLIRUQLD
'HFHPEHU


192