Attachment 1 - ACFR for FY Ended June 30, 2022.pdf — Chula Vista City Council, March 7, 2023

Annual Comprehensive
Financial Report
June 30, 2022FISCAL YEAR ENDED

Annual Comprehensive
Financial Report
For The Fiscal Year Ended
June 30, 2022

Compiled under the direction of
Sarah Schoen
Director of Finance/Treasurer

State of California

Mayor
Mary Casillas Salas

City Council

Stephen Padilla
Andrea Cardenas
Jill Galvez
John McCann

City Manager
Maria Kachadoorian

(As of June 30, 2022)

CITY OF CHULA VISTA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

TABLE OF CONTENTS

Page
Number
INTRODUCTORY SECTION (Unaudited)

Letter of Transmittal ............................................................................................................................................. i List of City Officials ............................................................................................................................................ v Organizational Chart ............................................................................................................................................ vi Certificate of Achievement for Excellence in Financial Reporting .................................................................... vii

FINANCIAL SECTION

Independent Auditors’ Report ......................................................................................................................... 1

Management’s Discussion and Analysis (Required Supplementary Information) ...................................... 5

Basic Financial Statements:

Government-Wide Financial Statements:

Statement of Net Position ............................................................................................................................ 29 Statement o f Activities ................................................................................................................................ 30

Fund Financial Statements:

Governmental Fund Financial Statements:

Balance Sheet ............................................... ........................................................................................ 36 Reconciliation of the Balance Sheet of Governmental Funds t o t h e S t a t e m e n t o f N e t P o sition .................................................................................................... 39 Statement of Revenues, Expenditures and Changes in Fund Balances .................................................... .................................................................................... 40 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the
Statement o f Activities .................................................................................................................. 43

Proprietary Fund Financial Statements:

Statement of Net Position ..................................................................................................................... 46 Statement of Revenues, Expenses and Changes in Fund Net Positi on ................................................. 48 Statement of Cash Flows ..................................... ................................................................................ 50

Fiduciary Fund Financial Statements:

Statement of Fiduc iary Net Position ..................................................................................................... 54 Statement of Changes in Fiduciary Net Position .................................................................................. 55

Notes to Basic Financial Statements ............................................................................................................ 59

Required Supplementary Information:

Budgetary Comparison Schedule by Department - General Fund .............................................................. 115 Budgetary Comparison Schedule - Sundry Grants Special Revenue Fund ................................................ 116 Budgetary Comparison Schedule - Housing Successor Agency Special Revenue Fund ............................ 117 Schedule of Changes in Net Pension Liability and Related Ratios - Miscellaneous .................................. 118 Schedule of Changes in Net Pension Liability and Related Ratios - Safety ............................................... 120 Schedule of Plan Contributions ............................................................................................... ................... 122
Schedule of Changes in the Total OPEB Liability and Related Ratios ..................................................... 123

Notes to Required Supplementary Information ................................................................................................. 124

CITY OF CHULA VISTA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

TABLE OF CONTENTS (CONTINUED)

Page
Number
FINANCIAL SECTION (Continued)

Supplementary Information:

Non-Major Governmental Funds:

Combining Balance Sheet ...................................... ............................................................................. 128 Combining Statement of Revenues, Expenditures and Changes in F und Balances ............................ 134

Budgetary Comparison Schedule by Expense Category:

General Fund ................................................. ...................................................................................... 140 Sundry Grants Special Revenue Fund ................................................................................................. 142 Housing Successor Agency Special Revenue Fund ............................................................................ 144

Schedule of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual:

Transportation Gas Taxe s Special Revenue Fund ............................................................................... 146 Parking Meter Speci al Revenue Fund ................................................................................................. 147 Traffic Safety Special Revenue Fund .................................................................................................. 148 Storm Drain Special Revenue Fund .................................................................................................... 149 Town Center I Special Revenue Fund ................................................................................................. 150 Open Space Districts Special Revenue Fund ...................................................................................... 151 Housing Programs Special Revenue Fund .......................................................................................... 152 Housing Authority Special Revenue Fund .......................................................................................... 153 Transportation Sales Tax Special Revenue Fund ................................................................................ 154 Mobile Park Fee Special Revenue Fund.............................................................................................. 155 Public Education and Government Fee Special Revenue Fund .......................................................... 156 Utility Tax Settlement Special Revenue .............................................................................................. 157 V2 Pub Benefit Contribution Special Revenue Fund .......................................................................... 158 Special Revenue Endowments Special Revenue Fund ........................................................................ 159 Developer Contributions Special Revenue Fund ................................................................................. 160 Donations Special Revenue Fund ........................................................................................................ 161 Park Acquisition Development Capital Project Fund .......................................................................... 162 Residential Construction tax Capital Project Fund .............................................................................. 163 Development Impact Capital Project Fund ....................... .................................................................. 164 Other Transportation Program Capital Project Fund ........................................................................... 165 Capital Projects Fund .......................................................................................................................... 166 Notes Payable Debt Service Fund ....................................................................................................... 167 Lease Payable Debt Service Fund ....................................................................................................... 168 City Debt Service Fund ....................................................................................................................... 169 Public Financing Authority Debt Service Fund .................................................................................. 170 Municipal Financing Authority Debt Service Fund ............................................................................ 171

Non-Major Proprietary Funds:

Combining Statement of Net Position ................................................................................................. 173 Combining Statement of Revenues, Expenses and Changes in Net P osition ...................................... 174 Combining Statement of Cash Flows .................................................................................................. 175

Internal Service Funds:

Combining Statement of Net Position ................................................................................................. 177 Combining Statement of Revenues, Expenses and Changes in Net P osition ...................................... 178 Combining Statement of Cash Flows .................................................................................................. 179

CITY OF CHULA VISTA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

TABLE OF CONTENTS (CONTINUED)

Page
Number
FINANCIAL SECTION (Continued)

Fiduciary Funds:

Combining Statement of Net Po sition – All Custodial Funds ............................................................. 180 Combining Statement of Changes in Fiduciary Net Position – All Custodial Funds .......................... 181

STATISTICAL SECTION

Net Position by Component - Last Ten Fiscal Years .................................................................................. 185 Changes in Net Position - Last Ten Fiscal Years .............. ......................................................................... 186 Fund Balances, Governmental Funds – Last Ten Fiscal Years .... .............................................................. 187 Changes in Fund Balances, Governmental Funds – Last Ten Years .......................................................... 188 Assessed Value and Estimated A ctual Value of Taxable 189 .................................................................... 189 Direct and Overlapping Property Tax Rates - Last Ten Fiscal Ye ars ......................................................... 190 Principal Property Taxpayers - Current Year and Nine Years Ago ............................................................ 191 Property Tax Levies and Collections - Last Ten Fiscal Years .. .................................................................. 192 Ratios of Outstanding Debt by T ype - Last Ten Fiscal Years .................................................................... 193 Ratios of General Bonded Debt O utstanding - Last Ten Fiscal Years ....................................................... 194 Direct and Over Lapping Bonded Debt .......................... ............................................................................ 195 Legal Debt Margin Information - Last Ten Fiscal Years ........ ................................................................... 196 Pledged-Revenue Coverage - Last Ten Fiscal Years ............. ..................................................................... 197 Demographic and Economic Statis tics - Last Ten Calendar Years ............................................................ 198 Principal Employers - Current Year and Nine Years Ago ........ .................................................................. 199 Full-time and Part-time City Employees by Function - Last Ten Fiscal years ........................................... 200 Operating Indicators by Function/Program - Last Ten Fiscal Years .......................................................... 201 Capital Asset Statistics by Function/Program - Last Ten Fiscal Years ...................................................... 202

Independent Auditors’ Report on Internal Control Over Financial Reporting And on Compliance and Other Matt ers Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ....................... 203

'FCSVBSZ

Honorable Mayor, Councilmembers, and Citizens of Chula Vista Chula Vista City Hall
Chula Vista, CA 91910
The audited Annual Comprehensive Financial Report (ACFR) of the City of Chula Vista for the fiscal year ended June 30, 2022 is hereby submitted to you. The City compiles and prepares the annual financial report to provide interested parties with reliable information concerning the financial condition and results of operations for the City.

The basic financial statements are audited by an independent certified public accounting firm. The purpose of the audit is to ensure that the financial statements present fairly, in all material respects, the financial position and the results of operations of the City. Responsibility for both the accuracy of the information and the completeness and fairness of the presentation, including all disclosures, rests with City management. The financial statements have been prepared in accordance with generally accepted accounting principles. This means that the statements have been prepared using guidelines that would allow the user to make a meaningful comparison to the financial statements of other similar entities. All disclosures necessary to enable the reader to gain an understanding of the City of Chula Vista's activities have been included.

Generally accepted accounting principles require that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City of Chula Vista’s MD&A can be found immediately following the report of the independent auditors.

The City of Chula Vista is required to undergo an annual single audit in conformity with the provisions of the Revised Single Audit Act of 1996 and the United States Office of Management and Budget's Uniform Guidance. Information related to this single audit, including a schedule of expenditures of federal awards, along with the independent auditors’ reports on internal controls and compliance with applicable laws, can be found in a separately issued single audit report.

The ACFR for the City of Chula Vista includes the activities of the primary government (City of Chula Vista) along with several "component units." A component unit is a legally separate entity for which the elected officials of the primary government are financially accountable. Component units, although they are legally separate entities, are in substance part of the primary government's operations and therefore included for financial reporting purposes. The component units included within the City of Chula Vista's financial statements are the Chula Vista Industrial Development Authority, Chula Vista Public Financing i
Authority, Chula Vista Municipal Financing Authority, Chula Vista Housing Authority, Chula Vista Bayfront Facilities Financing Authority, and Bayfront Project Special Tax Financing District.

Profile of the Government
The City of Chula Vista is located in San Diego County with its western border adjacent to San Diego Bay, 8 miles south of Downtown San Diego and 7 miles north of the Mexican border. The City encompasses approximately 52 square miles.

Chula Vista was incorporated in 1911, and functions under a City Charter with a Council/Manager form of government. The City is governed by a four-member Council and a Mayor, who serves four-year overlapping terms, and, in addition to the City Attorney, is elected on a citywide basis. The City Council appoints the City Manager and the City Clerk. Municipal services provided include police, fire, parks and recreation, libraries, planning & building, housing programs, street and drainage construction and maintenance, and sewer services.

Local Economy and Prospects for the Future
Chula Vista residents enjoy all the benefits of a major city along with small town friendliness, affordable housing, and near perfect weather. The most recent data available from San Diego Association of Governments (SANDAG) estimates that the median household income in Chula Vista is $72,673.

The City of Chula Vista, with an estimated population of 277,220, per the US Census is the second largest community in San Diego County. SANDAG projects that the City of Chula Vista will reach a population of approximately 330,255 by the year 2050. SANDAG’s 2050 Growth Forecast indicates that the South County sub region will continue to host a substantial amount of the region’s projected growth over the next three decades, primarily through new development in the eastern portion of the City.

In fiscal year 2022, the City of Chula Vista and the Port of San Diego successfully secured $275 million in public bond funding for construction on the Chula Vista bayfront, enabling the flagship Gaylord Pacific Resort and Convention Center project to break ground. The developed Chula Vista bayfront is expected to have an enormous impact on the City and the San Diego region, attracting visitors from throughout the State of California and beyond. The developed bayfront will raise the City’s quality of life, with new parks and coastal access, and amenities for all to enjoy. The construction project is anticipated to create 3,580 jobs and once open is expected to have an economic impact of half-a-billion dollars each year and produce 4,000 permanent jobs.

Long-Term Financial Planning
The City updated the General Fund Long-Term Financial Plan (LTFP) for fiscal year 2023 through 2032 as part of its annual budget development process. The forecast analyzed revenue and expenditure estimates and assumptions over a 10-year period to assess the City’s ability to maintain current or expand service levels based on projected growth, preserve the City’s long-term fiscal health by aligning operating revenues and costs, and to strategically increase the City’s reserve funds to meet the City’s reserve policy thresholds. The goal of the financial forecast is to match the availability of revenues against expenditures over time and update budgetary and financial plans accordingly. In summary, the Long-Term Financial ii
Plan provides an in-depth analysis of the City’s fiscal condition to aide in proactive financial decision making and to serve as a planning tool to bring a long-term perspective to the budget development process.

The forecast anticipated moderate revenue growth from fiscal year 2023 to fiscal year 2027. Starting in fiscal year 2028, revenues are anticipated to decrease due to the scheduled conclusion of a citizen approved sales tax measure. Starting in fiscal year 2029, revenues are anticipated to resume moderate growth through fiscal year 2032. The forecast anticipated expenditure growth to outpace revenue growth beginning in fiscal year 2024, primarily due to expenses related to assumed wage inflation, healthcare, and two anticipated new fire stations. Also reflected in the expenditure forecast is the positive fiscal impact from the issuance of $350 million in pension obligation bonds (POBs) that were issued at historically low interest rates in fiscal year 2021. The majority of these pension cost savings are being set aside through fiscal year 2031 in an Internal Revenue Code Section 115 pension and bond call trust fund which will help mitigate future increases from pension and other post‐employment benefits costs, or provide the City the opportunity to pay off the bonds earlier.

The Government Finance Officers Association (GFOA) recognizes the importance of combining the forecasting of revenues and expenditures into a single financial forecast. The GFOA also recommends that a government should have a financial planning process that assesses long-term financial implications of current and proposed policies, programs, and assumptions that develop appropriate strategies to achieve its goals.

Internal Controls
The City has developed and put into place systems of internal controls over various accounting and transaction processing functions. Management of the City is responsible for establishing and maintaining the internal control structure. This structure is designed to ensure that the assets of the City are protected from loss, theft, or misuse. These controls are also in place to ensure that adequate accounting information is compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles. The internal control structure is designed to provide reasonable, but not absolute, assurance that these objectives are met. The idea of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of cost and benefits requires estimates and judgments by management.

Budgetary Controls
The City currently adopts a single-year operating and capital budget. The provisions of these budgets are directly posted into the City's general ledger accounting system to help ensure compliance with the appropriations made by the City Council.

Activities of the City’s Governmental Funds (general fund, special revenue funds, debt service funds, and capital project funds) are adopted in the operating budget. Budgetary control (which is the policy that actual expenditures may not exceed appropriations) is at the expenditure category level within each fund.

Any budget modification which would result in an appropriation increase requires City Council approval.

The City Manager and Finance Director are jointly authorized to transfer appropriations up to $15,000 within a departmental budget. Any appropriation transfers between departments or greater than $15,000 require City Council approval. Amounts appropriated for each year in the operating budget lapse at the iii
end of each fiscal year, unless carried forward through the encumbrance process. The City Council also adopts amounts in the operating budget for the proprietary and internal service funds to provide a level of fiscal control.

Independent Audit
Each year the City has an audit performed by an independent certified public accounting firm. This year the audit was performed by the firm of Lance, Soll, and Lunghard, LLP. The auditors also conducted a "single audit" designed to meet the requirements of the federal Revised Single Audit Act of 1996 and the related U.S. Office of Management and Budget's Uniform Guidance. The auditor’s report on the basic financial statements can be found in the financial section of this report.

The auditor’s report on internal controls over financial reporting and compliance with applicable laws and regulations can be found in a separately issued report at the conclusion of this document.

Awards
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Chula Vista for its ACFR for the year ended June 30, 2021. This was the 22
th consecutive year that the City has received this
prestigious award. In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized ACFR. This report must satisfy both generally accepted accounting principles and applicable legal requirements.

A Certificate of Achievement is valid for a period of one year only. We believe that our current ACFR continues to meet the Certificate of Achievement Program's requirements, and we are again submitting it to GFOA to determine its eligibility for another certificate.

Acknowledgments
The preparation of this ACFR could not have been accomplished without the efficient and dedicated services of the entire finance staff throughout the fiscal year. We would like to thank all those individuals who assisted and contributed to the preparation of this report. Acknowledgement must also be given to the Mayor and City Council, along with the City Manager, for their continued interest in planning and conducting the operations of the City of Chula Vista in a responsible and progressive manner.

Respectfully submitted,
Sarah Schoen
Director of Finance/Treasurer
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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, 2021
Executive Director/CEO
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203 N. Brea Blvd., Suite 203
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4 CITY OF CHULA VISTA
MANAGEMENT’S DISCUSSION AND ANALYSIS

The City of Chula Vista (City) offers readers this narrative overview and analysis of the City’s financial activities for the fiscal year ended June 30, 2022. It should be read in conjunction with the accompanying letter of transmittal beginning on page i and the accompanying basic financial statements.

FINANCIAL HIGHLIGHTS

The following outlines financial highlights for the year:

1. At June 30, 2022 the assets and deferred outflows of the City exceeded its liabilities and deferred inflows by $1,720.7 million (net position). Total net position consisted of net investment in capital assets of $1,463.4 million, restricted net position of $218.8 million, and unrestricted net position of $38.5 million.

2. Total unrestricted net position for governmental activities has increased by $25.7 million from the prior fiscal year, a change of 20.9%, whereas unrestricted net position for business-type activities was $28.8 million higher than the previous year, a 26.8% increase.

3. The City’s total net position increased by $130.0 million or 8.2% in fiscal year 2022. The net position for governmental activities increased by a net $94.7 million or 8.1%, while the net position for business-type activities increased by $35.3 million or 8.3%.

4. The City’s governmental funds reported combined ending fund balances of $359.5 million, an increase of $41.3 million, or 13.0%.

5. Total citywide liabilities decreased by $341.6 million or 33.9%. Liabilities for governmental activities decreased by $293.8 million or 32.4% and business-type activities decreased by $47.8 million or 48.4%.

6. The City’s total long-term debt obligations for governmental activities had a net decrease of $7.3 million or 1.5%.

OVERVIEW OF FINANCIAL STATEMENTS

This discussion and analysis provided here is intended to serve as an introduction 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 basic financial statements.

This report also contains required supplementary information (RSI) as well as other supplemental financial information intended to furnish additional detail to support the basic financial statements themselves.
5 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 business. They are comprised of the Statement of Net Position and the 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 indicator of whether the financial position of the City is improving or deteriorating. This statement 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 timing of the related cash flows. Thus, revenues and expenses are reported in this statement, for some items, that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave).

The government-wide financial statements 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 significant portion of their costs through user fees and charges to external customers for goods and services.

The business-type activities of the City include Sewer Fund, Sewer Development Impact Fees, Development Services Fund, Chula Vista Elite Athlete Training Center, Bayfront Trolley Station, Transit Fund, Chula Vista Muni Golf Course, Transport Enterprise, and Living Coast Discovery Center.

Discretely Presented Component Units – The City of Chula Vista has no discretely presented component units to report upon.

Fund Financial Statements and Major Component Unit Financial Statements

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

The fund financial statements provide detailed information about each of the City’s most significant funds, called Major Funds. The concept of Major Funds, and the determination of which are major funds, was established by GASB Statement No. 34 and replaces the concept of 6 combining like funds and presenting them in total. Instead, each Major Fund 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 information may be useful in evaluating a government’s near-term financial capacity.

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

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

As of fiscal year 2022, the City maintains numerous governmental funds within the adopted budget and its financial system. However, for financial reporting, the funds are summarized as follows for presentation purposes:

Each major fund is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balance. Information for the City’s remaining governmental 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 report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its Sewer, Sewer Development Impact Fees, Development Services, Chula Vista Elite Athlete Training Center, Bayfront Trolley Station, Transit, Chula Vista Muni Golf Course, Transport Enterprise, and Living Coast Discovery Center. Internal service funds are used Fund Category Major Funds
Non-Major
Funds Total
General Fund 1 0 1
Special Revenue 2 16 18
Capital Project 1 9 10
Debt Service 2 3 5
Permanent 0 0 0
Total Presented 6 28 34
7 to accumulate and allocate costs internally among the City’s various functions. The City uses internal service funds to account for its fleet management, technology replacement, 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 government-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 statements for business-type activities 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. Fiduciary 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 Basic Financial Statements

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

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 budget. Required supplementary information also includes trend data for the City’s pension plans and other postemployment benefits.

Other supplementary information, including combining statements for nonmajor governmental funds, nonmajor proprietary funds, internal service funds, and all custodial 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.

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. As of June 30, 2022, the City’s total net position (governmental and business-type activities) was $1,720.7 million, a net increase of $130.0 million or 8.2% from the prior fiscal year.

The City’s governmental activities increased by $94.7 million and business-type activities increased by $35.3 million. The following Summary of Net Position table shows the components that make up the City’s net position at June 30, 2022 and 2021. 8 Summary of Net Position
Fiscal Year Ended June 30

As the Summary of Net Position table illustrates, fiscal year 2022 total amount of $1,463.4 million is reported as net investment in capital assets, which represents capital assets (e.g. land, streets, sewers, buildings, improvements, equipment, right-to-use lease assets, and work in progress), less any related debt used to acquire those capital assets that are still outstanding. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City’s investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate this debt.

A portion of the City’s fiscal year 2022 net position is restricted, $218.8 million and represents resources that are subject to external restrictions on how they may be used. Restricted net position increased $21.5 million from the prior year and is mainly related to capital projects and pension.

Unrestricted net position represents the portion of net position that can be used to finance daily operations without constraints established by debt covenants, enabling legislation, or other legal requirements. Fiscal year 2022 unrestricted net position of $38.5 million is comprised of negative $97.6 million for governmental activities offset by positive $136.1 million for business-type activities. Unrestricted net position increased by $54.5 million from the prior fiscal year.

At the end of the fiscal year, the City was able to report positive balances for all categories of net position for its business-type activities, however, both the total primary government as well as the governmental activities columns show a negative unrestricted net position, which was a result of net pension, OPEB liabilities and implementation of GASB Statement No. 87 Leases.

2022 2021 2022 2021 2022 2021
Current Assets 491,605,672$ 429,939,347$ 183,374,011$ 164,339,587$ 674,979,683$ 594,278,934$ Non-Current Assets 178,621,179 23,738,212 12,476,689 (3,528,268) 191,097,868 20,209,944 Capital Assets 1,281,546,729 1,251,471,456 324,363,653 321,060,921 1,605,910,382 1,572,532,377 Total Assets 1,951,773,580 1,705,149,015 520,214,353 481,872,240 2,471,987,933 2,187,021,255 Deferred outflow of resources 27,287,658 372,492,780 1,998,246 41,901,555 29,285,904 414,394,335 Total Deferred Outflows 27,287,658 372,492,780 1,998,246 41,901,555 29,285,904 414,394,335 Current Liabilities 114,543,305 55,107,750 17,773,993 12,971,432 132,317,298 68,079,182 Non-Current Liabilities 499,340,761 852,540,821 33,218,169 85,803,878 532,558,930 938,344,699 Total Liabilities 613,884,066 907,648,571 50,992,162 98,775,310 664,876,228 1,006,423,881 Deferred inflows of resources 104,682,399 4,213,867 10,966,035 19,832 115,648,434 4,233,699 Total Deferred Inflows 104,682,399 4,213,867 10,966,035 19,832 115,648,434 4,233,699 Net Position
Net Investment in Capital Assets 1,139,225,615 1,092,307,720 324,179,036 317,133,368 1,463,404,651 1,409,441,088 Restricted 218,852,340 196,782,954 - 565,547 218,852,340 197,348,501 Unrestricted (97,583,182) (123,311,317) 136,075,366 107,279,738 38,492,184 (16,031,579) Total Net Position 1,260,494,773$ 1,165,779,357$ 460,254,402$ 424,978,653$ 1,720,749,175$ 1,590,758,010$ Governmental Activ ities Business-Type Activ ities Total 9 Changes in Net Position

The statement of net position provides a snapshot at a given point in time of the assets, liabilities, and deferred inflows and outflows of resources of the City. The other citywide statement provided is the Statement of Activities. This statement provides the readers 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.

Summary of Changes in Net Position
Fiscal Year Ended June 30

Further analysis is provided within the governmental and business-type activities in the following sections.
2022 2021 2022 2021 2022 2021
Revenues:

Program Revenues:

Charges for Services 54,088,129$ 44,606,846$ 84,025,377$ 53,304,108$ 138,113,506$ 97,910,954$ Operating Grants & Contributions 47,300,700 25,787,760 185,587 47,300,700 25,973,347 Capital Grants & Contributions 58,796,673 59,987,995 2,672,900 58,796,673 62,660,895 General Revenues:

Property Taxes 69,565,097 66,864,796 69,565,097 66,864,796 Transient Occupancy Taxes 7,418,924 5,270,799 7,418,924 5,270,799 Sales Taxes 102,428,825 92,895,930 102,428,825 92,895,930 Franchise Taxes 13,852,030 13,130,357 13,852,030 13,130,357 Business License Taxes 1,979,843 1,680,475 1,979,843 1,680,475 Utility User Taxes 3,731,224 3,915,862 3,731,224 3,915,862 Residential Construction Taxes 12,481,058 11,554,226 12,481,058 11,554,226 Property Transfer Taxes 2,208,125 1,685,405 2,208,125 1,685,405 Investment Earnings (Losses) (6,855,109) 4,836,055 (3,650,561) 1,175,687 (10,505,670) 6,011,742 Miscellaneous 21,755,785 13,635,554 16,545,269 7,245,994 38,301,054 20,881,548 Gain (Loss) Disposal of Capital Assets 192,543 105,741 47,609 11,425 240,152 117,166 Total Revenues 388,943,847 345,957,801 96,967,694 64,595,701 485,911,541 410,553,502 Expenses:

General Government 57,993,429 18,121,564 57,993,429 18,121,564 Public Safety 111,173,472 131,262,122 111,173,472 131,262,122 Community Development 45,701,258 8,555,836 45,701,258 8,555,836 Public Works 58,402,021 68,218,192 58,402,021 68,218,192 Parks and Recreation 13,542,362 40,789,923 13,542,362 40,789,923 Library 2,954,806 4,505,740 2,954,806 4,505,740 Interest on Long-Term Debt 15,631,745 8,857,969 15,631,745 8,857,969 Sewer Fund 33,398,914 39,808,699 33,398,914 39,808,699 Sewer DIFs 305,619 438,680 305,619 438,680 Development Services Fund 8,233,072 10,165,866 8,233,072 10,165,866 CV Elite Athlete Training Ctr 575,339 585,009 575,339 585,009 Bayfront Trolley Station 19 19 - Transit 8,500 8,461 8,500 8,461 Chula vista Muni Golf course 2,982,489 2,982,489 - Transport Fund 12,006,347 3,634,677 12,006,347 3,634,677 Living Coast Discovery Ctr 118,750 101,112 118,750 101,112 Total Expenses 305,399,093 280,311,346 57,629,049 54,742,504 363,028,142 335,053,850 Increase/(Decrease) in Net Position
Before Transfers 83,544,754 65,646,455 39,338,645 9,853,197 122,883,399 75,499,652 Transfers 7,527,863 4,664,733 (7,527,863) (4,664,733) - - Change in Net Position 91,072,617 70,311,188 31,810,782 5,188,464 122,883,399 75,499,652 Net Position, Beginning of Year 1,165,779,357 1,094,652,799 424,978,653 419,790,189 1,590,758,010 1,514,442,988 Restatements 3,642,799 815,370 3,464,967 7,107,766 815,370 Net Position, Beginning of Year - Restated 1,169,422,156 1,095,468,169 428,443,620 419,790,189 1,597,865,776 1,515,258,358 Net Position, End of Year 1,260,494,773$ 1,165,779,357$ 460,254,402$ 424,978,653$ 1,720,749,175$ 1,590,758,010$ Governmental Activities Business-Type Activities Total
10 Governmental Activities

The City’s governmental activities net position increased by $94.7 million or 8.1%, which partially offsets the City’s negative unrestricted net position due to pension and OPEB related, and the implementation of GASB Statement No. 87 Leases. The chart below compares the cost of services by function for the City’s governmental activities along with the program revenues used to cover those costs.

Total program revenues from governmental activities were $160.2 million in fiscal year 2022, an increase of $29.8 million or 22.9% from the previous year. Program revenues are derived directly from the program 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 City’s general revenues. A discussion of the different Program Revenue categories and its components follows.

Charges for Services for governmental activities had a net increase of $9.5 million or 21.3% from the previous fiscal year mainly due to reduced chargeable activities in community development of $5.0 million and increased chargeable activities in general government of $3.1 million and public works of $9.9 million. Changes by function in comparison to the prior fiscal year are summarized in the table below.

Charges for Services
Fiscal Year Ended June 30

Function 2022 2021
Increase
(Decrease)
General Government 6,763,379$ 3,685,466$ 3,077,913$ Public Safety 7,752,570 6,912,095 840,475 Community Development 5,836,312 10,780,843 (4,944,531) Public Works 30,823,899 20,949,678 9,874,221 Parks and Recreation 2,101,823 1,576,819 525,004 Library 810,146 701,945 108,201 Total Charges for Services 54,088,129$ 44,606,846$ 9,481,283$ 11 Operating Grants and Contributions for governmental activities had a net increase of $21.5 million from the previous fiscal year mainly due to increased federal contributions to the Emergency Rental Assistance Program (ERAP) and the federal contribution from the CARES Act ended in fiscal year 2022. Changes by function in comparison to the prior fiscal year are summarized in the table below.

Operating Grants and Contributions
Fiscal Year Ended June 30

Capital Grants and Contributions for governmental activities had a net decrease of $1.2 million from the previous fiscal year primarily due to a decrease in community development of $1.6 million. Changes by function in comparison to the prior fiscal year are summarized in the table below.

Capital Grants and Contribution
Fiscal Year Ended June 30

General Revenues are all other revenues not categorized as program revenues, such as property taxes, sales taxes and investment earnings. Total general revenues from governmental activities were $228.6 million in fiscal year 2022. The largest source of general revenues received during the year for governmental activities was taxes for a total of $213.7 million, which included amounts from Property Taxes for $69.6 million, Sales Taxes for $102.4 million, and Franchise Taxes for $13.9 million. All taxes combined increased a total of $16.7 million in comparison to the prior fiscal year.

The City’s General Revenues increased overall by $13.1 million when compared to the prior fiscal year. While most of the revenue categories increased moderately from last year, there were Function 2022 2021
Increase
(Decrease)
General Government 3,846,872$ 769,931$ 3,076,941$ Public Safety 7,675,911 17,739,649 (10,063,738) Community Development 35,697,807 7,190,803 28,507,004 Public Works - 2,045 (2,045) Library 80,110 85,332 (5,222) Total Operating Grants
and Contributions 47,300,700$ 25,787,760$ 21,512,940$ Function 2022 2021
Increase
(Decrease)
General Government 1,158,711$ 335,904$ 822,807$ Public Safety 47,226 35,937 11,289 Community Development 21,153,573 22,787,107 (1,633,534) Public Works 34,833,053 35,558,946 (725,893) Library 1,604,110 1,270,101 334,009
Total Capital Grants
and Contributions 58,796,673$ 59,987,995$ (1,191,322)$ 12 significant increases in the collection of sales taxes primarily due to increased consumer confidence and online sales, and Transient Occupancy taxes driven by pent-up travel demand after the COVID-19 pandemic travel restrictions. There were significant investment losses primarily due to the recognition of $11.6 million unrealized loss due to the change in the fair value of investments at June 30, 2022 and $1.3 million in trustee investment losses for the Section 115 Trust Fund. The significant changes in comparison to the prior fiscal year are identified in the table below.

General Revenues
Fiscal Year Ended June 30

Total governmental activity type expenses were $305.4 million in fiscal year 2022. The largest expenses were incurred for General Government, Public Safety, Community Development, and Public Works. These four activities combined account for 89.5% of all general activity expenses.

These expenses do not include capital outlays, which are reflected in the City’s capital assets.

Revenue Type 2022 2021
Increase
(Decrease)
Property Taxes 69,565,097$ 66,864,796$ 2,700,301$ Transient Occupancy Taxes 7,418,924 5,270,799 2,148,125 Sales Taxes 102,428,825 92,895,930 9,532,895 Franchise Taxes 13,852,030 13,130,357 721,673 Business License Taxes 1,979,843 1,680,475 299,368 Utility Users Tax 3,731,224 3,915,862 (184,638) Residential Construction Taxes 12,481,058 11,554,226 926,832 Property Transfer Tax 2,208,125 1,685,405 522,720 Investment Earnings (Losses) (6,855,109) 4,836,055 (11,691,164) Miscellaneous 21,755,785 13,635,554 8,120,231 Total General Revenues 228,565,802$ 215,469,459$ 13,096,343$ 13 Business-Type Activities

Net position for business-type activities was $460.3 million, an increase of $35.3 million or 8.3% from the prior fiscal year.

Total revenues for the business-type activities were $97.0 million, an increase of $32.4 million or

50.1% from the prior fiscal year. Total program revenues for business-type activities were $84.0 million, an increase of $27.9 million or 49.6% from prior fiscal year. The program revenues composed primarily of sewer service charges for $49.1 million, development fees for $10.8 million, golf course fees for $3.3 million, and transport enterprise fees for $20.0 million.

The program revenue increase is primarily a result of the sewer rate increase, and transport enterprise activities in operation for the full year comparing to prior fiscal year, when it began its operation in the last quarter of fiscal year 2021.

Total expenses for the business-type activities were $57.6 million, an increase of $2.9 million or

5.3% from the prior fiscal year. The total expenses were mainly related to sewer activities for $33.4 million, development services activities for $8.2 million, golf course activities for $3.0 million, and transport enterprise activities for $12.0 million. The net increase of $2.9 million is primarily related to increases in golf course activities of $3.0 million, decreases in sewer and development services activities for a total of $8.3 million, and increases in transport enterprise activities of $8.4 million resulting from a full year of operations in fiscal year 2022.

FUND LEVEL FINANCIAL ANALYSIS

As noted earlier, the City uses fund accounting to ensure and demonstrate 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 resources that are legally, or otherwise, restricted for specific purposes.

The following is a discussion of the significant changes for the 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 account for the general operations of the City. It is used to account for all financial resources, except those required to be accounted for in another fund. The General Fund is always reported as a major fund. For fiscal year 2022, the General Fund reported $230.0 million in revenues and $204.8 million in expenditures. This resulted in revenues over expenditures in the amount of $25.2 million. After accounting for net other financing uses of $7.3 million, the fund balance for the General Fund increased by $21.5 million for the fiscal year.

Fiscal year 2022 total revenues had a net increase of $13.6 million or 6.3% from the prior fiscal year primarily due to increases in taxes of $22.6 million and charges for services of $9.5 million 14 along with decreases in intergovernmental of $6.2 million, contributions of $2.3 million, use of money and property of $3.1 million, and miscellaneous revenues of $7.1 million.

Fiscal year 2022 expenditures decreased by $4.4 million or 2.1% in comparison to the prior fiscal year with increases in general government of $12.7 million and parks & recreation of $1.3 million, along with decreases in public safety of $13.0 million, community development of $3.2 million, and capital outlay of $2.4 million, which was a result of decreased activity across various capital improvement projects funded with Measure P sales tax.

Total fund balance as of June 30, 2022, was $140.6 million, composed of $168.1 million in assets offset with $18.9 million in liabilities and $8.7 million in deferred inflows of resources related to unavailable revenues and leases. Total fund balance included $12.1 million of nonspendable amounts, which represents the portion of fund balance that is not available for appropriation.

Restricted fund balance totaled $9.5 million, which is restricted for pension related expenditures.

Committed fund balance totaled $11.7 million, including $9.1 million committed for economic contingency and $2.6 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 binding unless removed in the same manner. Assigned fund balance, totaling $79.6 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 $27.7 million, represents the portion of fund balance that is available for appropriation for any purpose.

Sundry Grants Fund – The Sundry Grants fund is to account for various federal, state and local grants, such as: Supplemental Law Enforcement Services, California Library Services Act, Public Library Act, asset seizure, local law enforcement block grants, California Recreation grants, Public Safety grants, ARRA grants, federal library 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, Community Development Block grants and American Rescue Plan Act funding.

The Sundry Grants fund had total revenues of $50.5 million and expenditures of $51.5 million, resulting in revenues under expenditures in the amount of $1.0 million. Revenues were $27.7 million or 121.5% more in comparison to the prior fiscal year mainly due to the increased activities in the Emergency Rental Assistance Program (ERAP). The Sundry Grants fund balance decreased by $5.2 million for the fiscal year, after accounting for net other financing uses of $4.2 million.

Total fund balance as of June 30, 2022, was $3.6 million, composed primarily of restricted fund balance, except for the amount classified as nonspendable related to prepaid costs.

Housing Successor Agency Fund – The California legislature voted to end redevelopment agencies on January 31, 2012. This fund was created on February 1, 2012, as a result of the dissolution process and was formerly known as the Low- and Moderate-Income Housing Fund.

The City opted to become the Successor Agency to the Redevelopment Agency and to the Low- and Moderate-Housing Successor.

15 For fiscal year 2022, this fund had total negative revenues of $0.04 million composed primarily of unrealized investment losses, property rentals and loan repayments from affordable housing projects. Total fund balance as of June 30, 2022, was $13.1 million, a decrease of $0.05 million from the prior fiscal 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 $17.5 million attributable to building permit fees for new development. Expenditures totaled $2.3 million, of which, $1.4 million were capital expenditures on Telegraph Canyon Drainage, Traffic Signal and Transportation Development projects.

Total fund balance for the year increased by $9.9 million or 15.9% from prior fiscal year. At June 30, 2022, fund balance in the amount of $72.3 million was presented as restricted fund balance for various capital projects related to 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 services to the residents of Chula Vista. Resources for the fund come primarily from sewer service charges paid for by users of the system. For fiscal year 2022, operating revenues totaled $54.9 million, an increase of $12.4 million or 29.3% from the prior fiscal year. Part of that increase included $6.0 million donated assets from developers. Operating expenses totaled $33.4 million for the fiscal year, with the most significant cost related to the wastewater treatment by the City of San Diego in the amount of $25.1 million. In addition, non-operating expenses netted to $3.5 million, which included unrealized investment losses of $3.3 million.

After accounting for all revenues and expenses, both operating and non-operating, and transfers and restatements, net position of the fund increased by $17.0 million from prior fiscal year, totaling $280.6 million as of June 30, 2022. Of total net position, $124.4 million is designated for sewer system infrastructures, such as pump stations, sewer lines and other related equipment, therefore, not available to fund the day-to-day operations of the sewer system. Current assets totaled $147.9 million, comprised of $136.6 million in cash and investments, and $11.3 million in receivables. Total liabilities at the end of the fiscal year were $12.4 million, of which $1.3 million were considered current liabilities, with the remainder non-current liabilities primarily related to other post-employment benefits (OPEB) and the Pension Obligation Bonds. The fund had $10.2 million of bonded debt. In addition, the fund reported deferred outflows of resources in the amount of $0.7 million and deferred inflows of resources for $4.2 million related to pension and OPEB costs.

16 Sewer Development Impact Fee Fund – This fund was established as a depository for sewer 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 sewer facilities as a result of City growth.

Operating revenues totaled $0.9 million for the fiscal year. Operating expenses totaled $4,095 for the year, comprised mainly of depreciation expense. In addition, non-operating revenues and expenses totaled $0.4 million, which were the interest expense and unrealized investment losses for the year.

Net position of the fund was a negative $13.2 million primarily due to an interfund loan and was comprised of $5.1 million in assets and $18.3 million in liabilities (including the interfund loan from the Sewer Fund). Please reference Note 6 of the basic 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 City as required for the entitlement and/or improvement of property. The services provided encompass most development activities, including land use entitlements; public infrastructure, open space, and landscape planning; public infrastructure construction, grading and building permits.

Operating revenues totaled $21.5 million and were primarily comprised of permits and fees.

Operating expenses totaled $8.0 million for the year, mostly comprised of personnel service costs.

Total non-operating revenues and expenses was $0.4 million comprised of interest expense and unrealized investment losses. The sum of all transfers reflects funding to and from other funds for subsidies and overhead expenses.

Net position of the fund was negative $12.5 million for the fiscal year primarily due to liabilities related to pensions. Current and noncurrent assets totaled $26.1 million for the fiscal year. Current liabilities were $14.8 million and noncurrent liabilities were $18.2 million primarily consisting of liabilities related to pension costs and OPEB. In addition, the fund also reported deferred outflows of resources in the amount of $0.9 million and deferred inflows of resources for $6.7 million related to pensions and OPEB.

Chula Vista Elite Athlete Training Center (CVEATC) Fund – This fund was established to account for the CVEATC’s activities in partnership with Elite Athlete 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 the land and facilities held for the Chula Vista Elite Athlete Training Center in the net amount of $195.7 million. Current liabilities totaled $0.6 million. Net position of the fund was $195.2 million primarily due to the facility contribution from the US Olympic Committee in January 2017.

17 GENERAL FUND BUDGETARY HIGHLIGHTS

The final amended general fund budget totaled $280.1 million including $36.0 million in budget amendments to the originally adopted budget, $14.1 million carried forward for capital improvements and encumbrances of $36.2 million, which will fund contractual obligations and outstanding purchase orders. The budget amendments occurred because of: staffing and organizational changes within various City departments; start of the Chula Vista Bayfront project; American Rescue Plan Act spending plan changes; modification of spending specific to Measure A, the City’s half cent sales tax which funds public safety staffing, and Measure P, the City’s half cent sales tax which funds infrastructure repair or replacement over the next several years; federal grant and other grant appropriations; adoption of labor agreements; transfers out to other funds; and new supplies and services appropriations approved subsequent to budget adoption. The General Fund’s budget amendments of $36.0 million are summarized as follows:

Council Resolution Budget Amendments Expenditure
2021-157 Personnel Appropriation $ 60,280
2021-172 American Rescue Plan Appropriation 4,943,034
2021-207 Personnel Appropriation (Measure A) 542,672
2021-209 Federal Grant Appropriation 15,917
2021-219 Grant Match Appropriation 400,000
2021-236 Personnel Appropriation 79,310
2021-243 IAFF (non-safety)/WCE MOU Appropriation 50,159 2021-232 First Quarter Budget Adjustments 640,108
2021-245 Personnel Appropriation 43,096
2022-029 Personnel Appropriation 315,945
2022-039 MMPR MOU Appropriation 151,756
2022-054 Personnel Appropriation 13,524
2022-057 Second Quarter Budget Adjustments 5,641,116
2022-081 Personnel Appropriation 116,800
2022-088 Vehicle Appropriation (Measure A) 320,376
2022-105 Third Quarter Budget Adjustments 2,338,830
2022-107 Bayfront Contribution 1,800,000
2022-134 Donation Appropriation (Parks & Recreation) 250 2022-085 ARPA Allocation Transfer (200,000)
2022-236 FY2022 Year-End Budget Adjustments 18,749,614
TOTAL GENERAL FUND BUDGET AMENDMENTS $ 36,022,787

Revenues – Overall budgeted revenues were $249.5 million, and actuals were $250.1 million resulting in revenues exceeding budget by $0.6 million. The significant General Fund revenue variances were the following:

 The Taxes revenue category exceeded budget by a total of $11.1 million. This is primarily due to Sales Tax revenues exceeding budget by $6.3 million, as a result of population growth, increased consumer confidence, and online sales. The City is receiving more revenues due to the Supreme Court decision in the South Dakota vs Wayfair, Inc. case, and 18 recent legislative changes by the California State increasing the collection of sales and use taxes from out-of-state businesses doing business within the state. Transient Occupancy Taxes revenues also exceeded budget by a total of $2.1 million, driven by pent-up travel demand after the COVID-19 pandemic travel restrictions.

 Intergovernmental revenues were below budget by a total of $1.5 million. Reimbursement from Other Agencies for the City Jail was below budget by $0.7 million due to the termination of the U.S. Marshalls Service contract for intergovernmental detention services.

 Use of Money and Property revenues were below budget by a total of $4.6 million, primarily due to recognition of a $5.0 million decrease in the fair value of investments and $1.3 million in trustee investment losses for the Section 115 Trust Fund.

 Miscellaneous revenues were above budget by a total of $1.5 million. A settlement for damaged property was received for $0.6 million greater than budgeted. Additionally, Fire Department staff time reimbursements increased by $0.2 million due to an increase in special events. Non-Departmental revenues increased by $0.2 million based on various insurance payments, Bayfront Project related reimbursements

 Transfers In were $5.1 million below budget, largely due to a delay in American Rescue Plan Act Fund project expenditures for Non-Departmental, Police and Fire Departments.

Expenditures – Overall budgeted expenditures were $280.1 million, and actuals were $231.5 million, resulting in under budget expenditures of $48.6 million. The significant General Fund expenditure variances were the following:

 Capital outlay expenditures were below budget by a total of $37.6 million, which is due to the timing of capital outlay expenditures for multi-year capital projects.

 General Fund expenditures were below budget by a total of $8.8 million. The Police Department was under budget by $1.3 million, Fire Department was under budget by $1.4 million, and the Finance Department was under budget by $0.5 million, all primarily from reduced expenditures in the personnel, and supplies and services categories. The Development Services Department was under budget by $3.5 million, primarily due to the timing of receipt of the California State Cashflow loan funds of $3.4 million for the Chula Vista Housing Authority to fund the City’s Emergency Rental Assistance Program. The Economic Development Department was under budget by $0.7 million as projects under the American Rescue Plan Act Spending Plan have experienced delays.

 Transfers Out were below budget by a total of $2.2 million. Modifications to scheduled transfers out for the 2021 Pension Obligation Bonds, Section 115 Trust and Bayfront Project allocations were made during the fiscal year. Additionally, staff time reimbursements which are processed via transfers are based on actual costs and may vary.

19 CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets

The City’s investment in capital assets for its governmental and business-type activities as of June 30, 2022, amounts to $1,605.9 million, net of accumulated depreciation of $754.3 million. This investment in capital assets includes land, buildings, improvements, machinery and equipment, infrastructure, right-to-use leased assets, and construction in progress. Infrastructure 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 $33.4 million, net of accumulated depreciation. Additional information on the City’s capital assets can be found in Note 7 of the basic financial statements.

Debt Administration

Long Term Debt - At June 30, 2022, the City had $497.6 million in debt outstanding compared to $517.6 million last year. An adjustment of ($0.8) million to the beginning balance of $517.6 million due to the GASB 87 Lease implementation, brought the beginning balance to $516.8 million, a net decrease of $19.2 million. This was primarily due to bond payable deletions in the amount of $16.1 million, a $6.5 million deletion for pension related debt, and an ERAP Loan addition in the amount of $3.4 million. Most of the debt is in the form of pension obligation bonds of $343.5 million, lease revenue bonds of $63.1 million, and certificates of participation of $63.2 million. The remainder of the outstanding long-term debt is in the form of CDBG Section 108 loan, unamortized bond premium, notes payable, and financed purchases. Leases identified under the new GASB 87 Lease implementation were removed from the long-term debt Note 8 and reclassified as GASB 87 Leases under Note 12. The city has no outstanding general obligation debt.

As of June 30, 2021, the City received an AA long-term rating for 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 basic financial statements.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET

Property Assessed Valuation and Tax

According to the County of San Diego Assessors’ Office, the City’s total property assessed valuation (both secured and unsecured) for 2022 was $35,200.2 million. This was an increase of $1,421.9 million, or 4.21% over the 2021 property assessed valuation. It should be noted that assessed value was set as of January 1 each year. Actual current secured property tax revenues for fiscal year 2022 totaled $37.9 million, which is $1.9 million more than collected in the prior year. 20 Building Activity

The valuation of all building and related permits totaled $492.8 million for fiscal year 2022. This is approximately 2.9% more than the valuation of $478.8 million for these permit categories in the prior fiscal year.

Building Permit Valuation
Fiscal Year Ended June 30

The issuance of building permits is a result of several different 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 timeline, and whether the developers have all the necessary approvals in place to move forward with construction.

Local Economy

Over two years have passed since the onset of the COVID-19 pandemic which led to global health and economic crises that continue to impact supply chains, prices, and employment today. Through recovery funds from the CARES and American Rescue Plan Acts, and other localized efforts, cities have demonstrated their resiliency and fiscal leadership in responding to COVID-19 and a myriad of challenges such as affordable housing and infrastructure. While heavily impacted industries like trade and tourism are rebounding, uncertainties remain in regard to higher labor, materials, and energy costs. Persistent, broad inflationary pressures as well as geopolitical factors like the Russia- Ukraine conflict and COVID-19 shutdowns in China also contribute more uncertainty to our globalized economy overall.

According to the U.S. Bureau of Labor Statistics, the seasonally unadjusted unemployment rate in San Diego County was 3.2% in June 2022, which is lower than the 7.0% rate recorded one year ago in June 2021. The regional unemployment rate for June 2022 remained lower than the California state’s rate of 4.2%, and the national unemployment rate of 3.6%. The City’s unemployment rate also decreased from the prior year, 3.7% in June 2022 in comparison to 8.1% in June 2021.

The consumer price index for the greater San Diego area showed an increase of 6.6% for the calendar year 2021, which is higher than the 1.5% rate for calendar year 2020. 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 2021 increased at an annual rate of

4.1%, whereas the second half of the year showed a rate increase of 6.3%, resulting in the overall Permit Category 2022 2021 Change $ Change %
Residential 248,217,310$ 328,455,056$ (80,237,746)$ -24.4% Non-Residential 133,873,850 60,216,359 73,657,492 122.3% Additions & Alterations 110,453,571 89,823,253 20,630,318 23.0% Demolitions 205,890 259,932 (54,043) -20.8% Total 492,750,621$ 478,754,600$ 13,996,021$ 2.9%
21 total rate for the year of 5.2%. For the first half of calendar year 2022, the rate increased at a higher annual rate of 8.1%.

In June 2022, the region’s housing market reported 3,039 existing single-family homes sold. On average, single-family homes in the region were on the market for 20 days in June 2022, a decrease of 4 days of market time in comparison to June 2021.

The median price for the region in June 2022 was $987,225, an increase of 12.8% compared to one year ago, when the median price was $780,000.

The table below presents the City’s five zip codes median listing price for single-family homes comparing data for June 2022 and June 2021. The information was obtained from Zillow Inc, a company that tracks and analyzes real estate markets.

Data for June 2022 Compared to June 2021

Fiscal Year 2023 Budget

The City ended the fiscal year 2022 with an unassigned fund balance of $27.7 million and a committed fund balance of $11.7 million, including $9.1 million for an Economic Contingency Reserve and $2.6 million for a Catastrophic Events Contingency Reserve within the General Fund.

Assigned fund balance included $29.1 million related to capital projects funded by Measure P sales tax as well as $40.1 million related to Measure A sales tax.

In May 2022, the Chula Vista City Council adopted the fiscal year 2023 budget which provides $533.7 million in appropriations to fund all City activities. The General Fund budget total is $248.9 million. The City continues to adopt a one-year budget.

Zip Code Locale 2022 2021
Percent
Change
91910 North 744,067$ 637,263$ 16.8%
91911 South 801,169 671,255 19.4%
91913 Eastlake 884,824 728,186 21.5%
91914 Northeast 846,481 698,827 21.1%
91915 Southeast 1,117,590 894,534 24.9%
Single-Family Home Median Price
22 The City’s property tax values continue to recover from the late 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 2023 is 8.14% higher when compared to fiscal year 2022 total assessed values. Management budgeted anticipated property tax revenue growth of 3.7% over the prior year’s adopted budget.

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, investors 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, 2022
Governmental Business-Type
Activities Activities Total
ASSETS
Cash and investments 391,049,859$ 159,768,373 $ 550,818,232$ Restricted assets:

Cash and investments 11,433,827 - 11,433,827
Cash with fiscal agent 9,736,167 - 9,736,167
Receivables:

Accounts 3,723,802 22,810,811 26,534,613
Taxes 25,505,014 - 25,505,014
Accrued interest 1,643,594 627,815 2,271,409
Deferred loans 59,654,201 - 59,654,201
Leases 58,320 - 58,320
Due from other governments 9,279,539 9,544 9,289,083
Advances to Successor Agency of Chula Vista RDA 9,095,666 - 9,095,666 Internal balances 2,918,563 (2,918,563) -
Inventories - 82,756 82,756
Prepaid costs 749,663 76,922 826,585
Net pension asset 145,378,636 15,395,252 160,773,888
Capital assets not being depreciated 594,706,565 191,305,807 786,012,372 Capital assets, net of depreciation 686,840,164 133,057,846 819,898,010 Total Assets 1,951,773,580 520,216,563 2,471,990,143

DEFERRED OUTFLOWS OF RESOURCES
Pension related 16,725,578 898,391 17,623,969
OPEB related 6,960,659 1,099,855 8,060,514
Deferred charge on refunding 3,601,421 - 3,601,421
Total Deferred Outflows of Resources 27,287,658 1,998,246 29,285,904

LIABILITIES
Accounts payable 13,745,034 1,517,145 15,262,179
Accrued liabilities 7,571,067 696,951 8,268,018
Retention payable 1,065,198 103,368 1,168,566
Accrued interest payable 1,853,681 62,848 1,916,529
Deposits payable 3,574,443 13,255,887 16,830,330
Unearned revenue 54,005,880 20,157 54,026,037
Noncurrent liabilities:

Due within one year:

Bonds, notes, leases, and financed purchases 22,227,779 1,626,979 23,854,758 Compensated absences 6,500,223 492,868 6,993,091
Claims and judgments 4,000,000 - 4,000,000
Due in more than one year:

Total OPEB liability 23,704,567 3,745,565 27,450,132
Bonds, notes, leases, and financed purchases 445,504,116 29,120,757 474,624,873 Compensated absences 2,899,671 351,847 3,251,518
Claims and judgments 27,232,407 - 27,232,407
Total Liabilities 613,884,066 50,994,372 664,878,438

DEFERRED INFLOWS OF RESOURCES
Leases related 58,320 - 58,320
Pension related 102,009,167 10,552,851 112,562,018
OPEB related 2,614,912 413,184 3,028,096
Total Deferred Inflows of Resources 104,682,399 10,966,035 115,648 ,434

NET POSITION
Net investment in capital assets 1,139,225,615 324,179,036 1,463,404,651 Restricted for:

Community development projects 43,373,631 - 43,373,631
Public safety 2,482,640 - 2,482,640
Parks and recreation 43,441,533 - 43,441,533
Capital projects 120,514,681 - 120,514,681
Debt service 11,355,558 - 11,355,558
Library 188,367 - 188,367
Pension 9,465,060 - 9,465,060
Unrestricted (109,552,312) 136,075,366 26,523,054
Total Net Position 1,260,494,773$ 460,254,402 $ 1,720,749,175 $ 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, 2022
Operating Capital Total
Charges for Contributions Contributions Program
Expenses Services and Grants and Grants Revenues
FUNCTIONS/PROGRAMS:

Primary Government:

Governmental Activities:

General government 57,993,429$ 6,763,379$ 3,846,872$ 1,158,711$ 11,768,962$ Public safety 111,173,472 7,752,570 7,675,911 47,226 15,475,707 Community development 45,701,258 5,836,312 35,697,807 21,153,573 62,687,692 Public works 58,402,021 30,823,899 - 34,833,053 65,656,952 Parks and recreation 13,542,362 2,101,823 - - 2,101,823 Library 2,954,806 810,146 80,110 1,604,110 2,494,366
Interest on long-term debt 15,631,745 - - - -
Total Governmental Activities 305,399,093 54,088,129 47,300,700 58, 796,673 160,185,502 Business-Type Activities:

Sewer Fund 33,398,914 49,050,723 - - 49,050,723
Sewer Development Impact Fees 305,619 886,029 - - 886,029 Development Services Fund 8,233,072 10,807,052 - - 10,807,052 CV Elite Athlete Training Ctr 575,339 - - - -
Bayfront Trolley Station 19 - - - -
Transit Fund 8,500 - - - -
Chula Vista Muni Golf Course 2,982,489 3,300,593 - - 3,300,593 Transport Enterprise 12,006,347 19,980,980 - - 19,980,980 Living Coast Discovery Center 118,750 - - - -
Total Business-Type Activities 57,629,049 84,025,377 - - 84,025,377 Total Primary Government 363,028,142$ 138,113,506$ 47,300,700$ 58,796,673$ 244,210,879$

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 losses
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
(46,224,467)$ - $ (46,224,467)$ (95,697,765) - (95,697,765)
16,986,434 - 16,986,434
7,254,931 - 7,254,931
(11,440,539) - (11,440,539)
(460,440) - (460,440)
(15,631,745) - (15,631,745)
(145,213,591) - (145,213,591)
- 15,651,809 15,651,809
- 580,410 580,410
- 2,573,980 2,573,980
- (575,339) (575,339)
- (19) (19)
- (8,500) (8,500)
- 318,104 318,104
- 7,974,633 7,974,633
- (118,750) (118,750)
- 26,396,328 26,396,328
(145,213,591) 26,396,328 (118,817,263)
69,565,097 - 69,565,097
7,418,924 - 7,418,924
102,428,825 - 102,428,825
13,852,030 - 13,852,030
1,979,843 - 1,979,843
3,731,224 - 3,731,224
12,481,058 - 12,481,058
2,208,125 - 2,208,125
(6,855,109) (3,650,561) (10,505,670)
21,755,785 16,545,269 38,301,054
192,543 47,609 240,152
7,527,863 (7,527,863) -
236,286,208 5,414,454 241,700,662
91,072,617 31,810,782 122,883,399
1,165,779,357 424,978,653 1,590,758,010
3,642,799 3,464,967 7,107,766
1,169,422,156 428,443,620 1,597,865,776
1,260,494,773$ 460,254,402 $ 1,720,749,175 $
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, 2022
Capital
Projects Fund
General
ASSETS
Cash and investments 113,936,855$ 56,921,986 $ 11, 654,432$ 72,864,916$ Receivables:

Accounts 3,268,313 - - 13,661
Taxes 23,868,691 151,427 - -
Accrued interest 520,066 231,260 48,980 303,920
Deferred loans (net of allowance for uncollectibles) - 23,771,509 25,289,606 3,491,559 Leases 58,320 - - -
Due from other governments 1,403,736 6,840,666 - -
Due from other funds 2,345,480 - - -
Prepaid costs 242,509 20,249 - -
Advances to other funds 2,783,149 - - -
Advances to Successor Agency of Chula Vista RDA 9,095,666 - - - Restricted assets:

Cash and investments 10,583,115 - 850,712 -
Cash and investments with fiscal agents --- -
Total Assets 168,105,900$ 87,937,097 $ 37, 843,730$ 76, 674,056$

LIABILITIES, DEFERRED INFLOWS

OF RESOURCES, AND FUND BALANCE
Liabilities:

Accounts payable 8,675,633$ 1,922,342$ 295$ 122,068$ Retentions payable 824,982 30,208 - 5,464
Accrued liabilities 7,235,580 251,608 - -
Deposits payable 2,151,535 - - -
Due to other funds --- -
Unearned revenues - 53,988,298 - -
Total Liabilities 18,887,730 56,192,456 295 127,532
Deferred Inflows of Resources:

Unavailable revenues 8,591,836 28,194,060 24,774,640 4,217,095 Related to leases 58,320 - - -
Total Deferred Inflows of Resources 8,650,156 28,194,060 24,774,64 0 4,217,095 Fund Balances:

Nonspendable:

Prepaid costs 242,509 20,249 - -
Advances to Successor Agency of Chula Vista RDA 9,095,666 - - - Advances to other funds 2,783,149 - - -
Restricted:

Community development projects - 2,343,966 13,068,795 - Public safety - 997,999 - -
Parks and recreation --- -
Capital projects --- 72,329,429
Debt service --- -
Library - 188,367 - -
Pensions 9,465,060 - - -
Committed:

Economic contingency 9,094,482 - - -
Catastrophic events contingency 2,637,362 - - -
Assigned:

General government 2,116,497 - - -
Public safety 520,675 - - -
Parks and recreation 307,322 - - -
Public works 452,233 - - -
Community development 3,426,935 - - -
Capital projects 31,969,184 - - -
Public liability 118,877 - - -
Measure A Sales Tax 40,179,817 - - -
Other 475,875 - - -
Unassigned (deficit) 27,682,371 - - -
Total Fund Balances 140,568,014 3,550,581 13,068,795 72,329,429 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 168,105,900$ 87,937,097$ 37,843,730$ 76,674,056$ 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, 2022
ASSETS
Cash and investments
Receivables:

Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Leases
Due from other governments
Due from other funds
Prepaid costs
Advances to other funds
Advances to Successor Agency of Chula Vista RDA
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
Related to leases
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable:

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

Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Library
Pensions
Committed:

Economic contingency
Catastrophic events contingency
Assigned:

General government
Public safety
Parks and recreation
Public works
Community development
Capital projects
Public liability
Measure A Sales Tax
Other
Unassigned (deficit)
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Other Total
Governmental Governmental
Funds Funds
-$ 8,883$ 123,621,463$ 379,008,535$ - - 401,853 3,683,827
- - 1,484,896 25,505,014
11,517 38 523,261 1,639,042
- - 7,101,527 59,654,201
--- 58,320
- - 1,035,137 9,279,539
--- 2,345,480
- - 484,087 746,845
--- 2,783,149
--- 9,095,666
--- 11,433,827
5,872,223 83 3,863,861 9,736,167
5,883,740$ 9,004$ 138,516,085$ 514,969,612$ -$ 10,270$ 2, 470,750$ 13,201,358$ - - 204,544 1,065,198
- - 39,965 7,527,153
- - 1,422,908 3,574,443
- - 1,808,638 1,808,638
- - 17,582 54,005,880
- 10,270 5,964,387 81,182,670
- - 8,500,763 74,278,394
--- 58,320
- - 8,500,763 74,336,714
- - 484,087 746,845
--- 9,095,666
--- 2,783,149
- - 26,960,870 42,373,631
- - 1,484,641 2,482,640
- - 43,441,533 43,441,533
- - 48,185,252 120,514,681
5,883,740 - 5,471,818 11,355,558
--- 188,367
--- 9,465,060
--- 9,094,482
--- 2,637,362
--- 2,116,497
--- 520,675
--- 307,322
--- 452,233
--- 3,426,935
--- 31,969,184
--- 118,877
--- 40,179,817
--- 475,875
- (1,266) (1,977,266) 25,703,839
5,883,740 (1,266) 124,050,935 359,450,228
5,883,740$ 9,004$ 138,516,085$ 514,969,612$ Debt Service Funds
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, 2022
Amounts reported for governmental activities in the statement of net position are different because:

Total fund balances - governmental funds 359,450,228$
1,281,100,889
Deferred outflows - pension related 16,627,397$
Deferred outflows - OPEB related 6,892,767
Deferred inflows - pension related (100,855,899)
Deferred inflows - OPEB related (2,589,407)
Total deferred outflows and inflows related to postemployment benefits (79,925,142) 217,974,561
10,013,912
Bonds payable (126,340,000)
Private placement notes (8,995,027)
Pension-related debt (314,711,438)
Financed purchases (4,800,982)
Leases (694,262)
Compensated absences (9,308,809)
Claims (31,232,407)
Net OPEB liability (23,473,359)
Accrued interest payable on long-term debt (1,850,359)
Total long-term liabilities (521,406,643)
Deferred amount on refunding 3,601,421
Premium on bonds payable (10,314,453)
Total premiums, discounts, and deferred items (6,713,032) Net Position of Governmental Activities 1,260,494,773$
Capital assets used in governmental activities (less internal service fund allocations) 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. (Note 2A).

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 of 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, 2022
Capital
Projects Fund
General
Revenues:

Taxes 201,184,068$ - $ - $ -$ Licenses and permits 1,962,967 - - -
Intergovernmental 2,512,219 48,999,427 - -
Charges for services 16,247,055 1,771,326 - 601,571
Use of money and property (investment losses) (958,477) (1,185,432) (176,312) (2,299,088) Fines and forfeitures 1,040,182 - - -
Developer participation 1,497,608 - - 19,152,074
Miscellaneous 6,490,615 922,697 138,420 -
Total Revenues (net losses) 229,976,237 50,508,018 (37,892) 17,454,557 Expenditures:

Current:

General government 41,072,642 1,699,529 - -
Public safety 100,999,524 8,006,698 - -
Community development 3,730,499 40,387,079 7,227 664,786 Parks and recreation 11,596,166 - - -
Public works 20,503,508 - - -
Library 3,090,928 24,935 - -
Capital outlay 22,477,039 1,369,964 - 1,415,734
Debt service:

Principal retirement 1,129,627 - - 65,488
Interest and fiscal charges 145,696 - - 158,522
Total Expenditures 204,745,629 51,488,205 7,227 2,304,530 Excess (Deficiency) Revenues over Expenditures 25,230,608 (980,18 7) (45,119) 15,150,027 Other Financing Sources (Uses):

Transfers in 16,696,969 467,456 - -
Transfers out (28,397,242) (4,683,394) (6,269) (5,217,860) Leases 916,009 - - -
Issuance of debt 3,426,935 - - -
Total Other Financing Sources (Uses) (7,357,329) (4,215,938) (6,269) (5,217,860) Net Change in Fund Balances 17,873,279 (5,196,125) (51,388) 9,932,167 Fund Balances - Beginning 119,104,252 8,746,706 13,120,183 62,397,262 Restatements 3,590,483 - - -
Fund Balances - Beginning, as Restated 122,694,735 8,746,706 13,120,183 62,397,262 Fund Balances (Deficit) - Ending 140,568,014$ 3,550,581$ 13,068,795$ 72,329,429$ 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, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property (investment losses)
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues (net losses)
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) Revenues over Expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Leases
Issuance of debt
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances - Beginning
Restatements
Fund Balances - Beginning, as Restated
Fund Balances (Deficit) - Ending
Other Total
Governmental Governmental
Funds Funds
-$ -$ 432,425$ 201,616,493$ --- 1,962,967
- - 16,297,620 67,809,266
- - 19,839,903 38,459,855
543,864 1,045 (2,766,617) (6,841,017)
- - 532,121 1,572,303
- - 5,333,475 25,983,157
- 314,851 3,160,689 11,027,272
543,864 315,896 42,829,616 341,590,296
12,000 22,270 13,865,180 56,671,621
- - 34,446 109,040,668
- - 981,067 45,770,658
--- 11,596,166
- - 14,446,064 34,949,572
--- 3,115,863
- - 5,579,991 30,842,728
4,045,000 7,790,000 7,161,089 20,191,204
2,762,395 3,150,088 9,409,754 15,626,455
6,819,395 10,962,358 51,477,591 327,804,935
(6,275,531) (10,646,462) (8,647,975) 13,785,361
6,821,313 10,645,196 16,844,632 51,475,566
- - (5,810,468) (44,115,233)
--- 916,009
- - 12,194,805 15,621,740
6,821,313 10,645,196 23,228,969 23,898,082
545,782 (1,266) 14,580,994 37,683,443
5,337,958 - 109,417,625 318,123,986
- - 52,316 3,642,799
5,337,958 - 109,469,941 321,766,785
5,883,740$ (1,266)$ 124,050,935$ 359,450,228$ Public Financing
Authority
Municipal
Financing
Authority
Debt Service Funds
The notes to financial statements are an integral part of this statement. 41

42 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, 2022
Amounts reported for governmental activities in the statement of activities are different because:

Net change in fund balances - total governmental funds 37,683,443$ (2,507,616)
95,271
Donation of capital assets 33,576,438$
Loss on disposal of capital assets (1,120,190)
32,456,248
Notes issued (3,426,935)
Leases issued (212,936)
Pension-related debt (9,234,848)
Principal paid on leases 278,118
Principal paid on bonds payable 11,835,000
Principal paid on pension-related debt 5,959,472
Principal paid on private placement notes 1,047,915
Principal paid on financed purchases 844,465
7,090,251
2,673,209
Accrued interest on long-term debt (1,133,582)
Amortization of bond premiums and discounts 1,486,615
Amortization of deferred amounts on refunding (324,009) Compensated absences and claims 585,711
Changes in pension liabilities and related deferred outflows and inflows of resources 14,172,291 Changes in OPEB liabilities and related deferred outflows and inflows of resources (1,205,215) 13,581,811
Change in Net Position of Governmental Activities 91,072,617$ 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. (Note 2B).

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. 43

44 PROPRIETARY FUND FINANCIAL

STATEMENTS
45 CITY OF CHULA VISTA

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2022
ASSETS
Current Assets:

Cash and investments 136,647,837$ 4,920,649 $ 16,247,989 $ -$ Cash with fiscal agent 23 - 37 -
Receivables:

Accounts 10,697,501 - 10,294 99,074
Accrued interest 570,978 20,392 29,078 -
Due from other governments 9,387 - 157 -
Prepaid costs 15,326 - 56,637 -
Inventories --- -
Total Current Assets 147,941,052 4,941,041 16,344,192 99,074 Noncurrent Assets:

Advances to other funds 18,302,927 - - -
Net pension asset 5,911,376 - 9,483,876 -
Capital assets:

Land --- 180,677,144
Construction in progress 10,007,828 22,176 - -
Buildings and structures --- 17,027,588
Machinery and equipment 8,937,438 - 216,708 -
Infrastructure 257,824,561 121,387 - -
Right-to-use leased asset 5,350 - 224,226 -
Less accumulated depreciation/amortization (152,394,296) (21,276) (180,290) (2,024,580) Total Noncurrent Assets 148,595,184 122,287 9,744,520 195,680,152 Total Assets 296,536,236 5,063,328 26,088,712 195,779,226

DEFERRED OUTFLOWS OF RESOURCES
Pension deferrals 344,959 - 553,432 -
OPEB deferrals 325,883 - 420,932 -
Total Deferred Outflows of Resources 670,842 - 974,364 -

LIABILITIES
Current Liabilities:

Accounts payable 517,852 - 467,861 32,470
Accrued liabilities 161,179 - 246,262 -
Accrued interest 18,069 - 29,636 -
Compensated absences 228,859 - 264,009 -
Retention payable 103,368 - 43,664 -
Unearned revenues 20,159 - - -
Deposits payable - - 13,255,887 -
Due to other funds --- 536,664
Bonds, notes, and leases 263,068 - 469,873 -
Total Current Liabilities 1,312,554 - 14,777,192 569,134 Noncurrent Liabilities:

Accrued compensated absences 36,016 - 291,332 -
Advances from other funds - 18,302,927 - -
Bonds, notes, and leases 9,940,008 - 16,444,498 -
Net OPEB liability 1,109,797 - 1,433,488 -
Total Noncurrent Liabilities 11,085,821 18,302,927 18,169,318 - Total Liabilities 12,398,375 18,302,927 32,946,510 569,134

DEFERRED INFLOWS OF RESOURCES
Pension deferrals 4,052,020 - 6,500,831 -
OPEB deferrals 122,425 - 158,132 -
Total Deferred Inflows of Resources 4,174,445 - 6,658,963 -

NET POSITION
Net investment in capital assets 124,378,990 122,287 77,918 195,680,152 Unrestricted 156,255,268 (13,361,886) (12,620,315) (470,060) Total Net Position 280,634,258$ (13,239,599) $ (12,542,397) $ 195,210,092 $ Sewer
Development
Impact Fees
Development
Services Fund Sewer Fund
CV Elite Athlete
Training Ctr
Business-Type Activities - Enterprise Funds
The notes to financial statements are an integral part of this statement. 46 CITY OF CHULA VISTA

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2022
ASSETS
Current Assets:

Cash and investments
Cash with fiscal agent
Receivables:

Accounts
Accrued interest
Due from other governments
Prepaid costs
Inventories
Total Current Assets
Noncurrent Assets:

Advances to other funds
Net pension asset
Capital assets:

Land
Construction in progress
Buildings and structures
Machinery and equipment
Infrastructure
Right-to-use leased asset
Less accumulated depreciation/amortization
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
Unearned revenues
Deposits payable
Due to other funds
Bonds, notes, and leases
Total Current Liabilities
Noncurrent Liabilities:

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

DEFERRED INFLOWS OF RESOURCES
Pension deferrals
OPEB deferrals
Total Deferred Inflows of Resources

NET POSITION
Net investment in capital assets
Unrestricted
Total Net Position
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. (Note 2C) Net Position of Business-Type Activities
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
1,187,814 $ 159,004,289$ 12,041,324 $
764,024 764,084 -
12,003,942 22,810,811 39,975
7,367 627,815 4,648
- 9,544 -
4,959 76,922 2,818
82,756 82,756 -
14,050,862 183,376,221 12,088,765
- 18,302,927 -
- 15,395,252 1,682,469
598,659 181,275,803 -
- 10,030,004 -
727,553 17,755,141 -
4,545,936 13,700,082 5,583,602
- 257,945,948 -
- 229,576 -
(1,952,459) (156,572,901) (5,137,762)
3,919,689 358,061,832 2,128,309
17,970,551 541,438,053 14,217,074
- 898,391 98,181
353,040 1,099,855 67,892
353,040 1,998,246 166,073
455,296 1,473,479 543,676
289,510 696,951 44,010
15,143 62,848 3,322
- 492,868 62,085
- 147,032 -
- 20,159 -
- 13,255,887 -
178 536,842 -
894,038 1,626,979 48,024
1,654,165 18,313,045 701,117
24,499 351,847 29,000
2,783,149 21,086,076 -
2,736,251 29,120,757 1,827,709
1,202,280 3,745,565 231,208
6,746,179 54,304,245 2,087,917
8,400,344 72,617,290 2,789,034
- 10,552,851 1,153,268
132,627 413,184 25,505
132,627 10,966,035 1,178,773
3,919,689 324,179,036 445,840
5,870,931 135,673,938 9,969,500
9,790,620$ 459,852,974 10,415,340$
401,428
460,254,402$
Business-Type Activities -
Enterprise Funds
The notes to financial statements are an integral part of this statement. 47 CITY OF CHULA VISTA

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

PROPRIETARY FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

OPERATING REVENUES
Sales and service charges 49,050,723$ 886,029$ 10,807,052$ -$ Interdepartmental charges --- -
Other 5,827,057 - 10,646,588 71,624
Total Operating Revenues 54,877,780 886,029 21,453,640 71,624

OPERATING EXPENSES
Administration and general 27,201,720 1,054 7,906,192 238,193 Depreciation/amortization expense 6,179,091 3,041 98,879 337,146 Total Operating Expenses 33,380,811 4,095 8,005,071 575,339 Operating Income (Loss) 21,496,969 881,934 13,448,569 (503,715)

NONOPERATING REVENUES (EXPENSES)
Loss on investments (3,330,402) (133,575) (132,881) (8,469) Interest expense (207,360) (301,524) (300,019) -
Gain on disposal of capital assets 47,609 - - -
Total Nonoperating Revenues (Expenses) (3,490,153) (435,099) (432,900) (8,469) Income (Loss) Before Transfers 18,006,816 446,835 13,015,669 (512,184) Transfers in 99,392 - 661,343 120,679
Transfers out (3,525,809) (2,740) (2,389,955) (31,280)
Change in Net Position 14,580,399 444,095 11,287,057 (422,785) NET POSITION - BEGINNING 263,665,618 (13,683,694) (23,829,454) 195,632,877 Restatements 2,388,241 - - -
Net Position - Beginning, as Restated 266,053,859 (13,683,694) (23,829,454) 195,632,877 NET POSITION - ENDING 280,634,258$ (13,239,599)$ (12,542,397)$ 195,210,092$ Business-Type Activities - Enterprise Funds
Sewer Fund
Sewer
Development
Impact Fees
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 REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

PROPRIETARY FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

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

OPERATING EXPENSES
Administration and general
Depreciation/amortization expense
Total Operating Expenses
Operating Income (Loss)

NONOPERATING REVENUES (EXPENSES)
Loss on investments
Interest expense
Gain on disposal of capital assets
Total Nonoperating Revenues (Expenses)
Income (Loss) Before Transfers
Transfers in
Transfers out
Change in Net Position

NET POSITION - BEGINNING
Restatements
Net Position - Beginning, as Restated

NET POSITION - ENDING
Adjustment for the net effect of the current year activity between the internal service funds and the enterprise funds
Change in Net Position of Business-Type Activities
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
23,281,573$ 84,025,377$ -$
-- 9,302,170
- 16,545,269 566,854
23,281,573 100,570,646 9,869,024
14,097,928 49,445,087 7,171,294
925,215 7,543,372 74,909
15,023,143 56,988,459 7,246,203
8,258,430 43,582,187 2,622,821
(45,234) (3,650,561) (14,093)
(92,962) (901,865) (34,317)
- 47,609 192,543
(138,196) (4,504,817) 144,133
8,120,234 39,077,370 2,766,954
433,750 1,315,164 257,982
(2,893,243) (8,843,027) (90,452)
5,660,741 31,549,507 2,934,484
3,053,153 7,480,856
1,076,726 -
4,129,879 7,480,856
9,790,620$ 10,415,340$
261,275
31,810,782$
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, 2022

CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers and users 52,171,925$ 886,029$ 23,592,637$ 66,149$ Cash received from interfund service provided --- -
Cash received from (paid to) suppliers for goods and services (22,885,154) 11,308 288,582 (229,099) Cash paid to employees for services (5,673,663) (18,149) (9,986,294) - Cash received from (payments to) others 2,388,241 - - - Net Cash Provided by (Used for)
Operating Activities 26,001,349 879,188 13,894,925 (162,950)

CASH FLOWS FROM NON-CAPITAL

FINANCING ACTIVITIES
Principal payments on pension bonds (3,038,830) - (8,603,996) - Cash transfers in 99,392 - 661,343 120,679
Cash received from interfund borrowings --- 82,020
Cash transfers out (3,525,809) (2,740) (2,389,955) (31,280) Interest paid on interfund borrowings - (301,524) - -
Repayment of interfund borrowings (301,523) 301,524 - - Interest paid on pension bonds (281,267) (447,724)
Net Cash Provided by (Used for)
Non-Capital Financing Activities (7,048,037) (2,740) (10,780,332) 171,419

CASH FLOWS FROM CAPITAL

AND RELATED FINANCING ACTIVITIES
Proceeds from sales of capital assets 47,609 - - -
Acquisition and construction of capital assets (9,687,471) (7,737) (255,354) - Principal paid on capital debt --- -
Interest paid on capital debt --- -
Net Cash Used for
Capital and Related Financing Activities (9,639,862) (7,737) (255, 354) -

CASH FLOWS FROM INVESTING ACTIVITIES
Investment loss (3,901,378) (153,967) (161,959) (8,469) Net Cash Used for
Investing Activities (3,901,378) (153,967) (161,959) (8,469) Net Increase in Cash and Cash Equivalents 5,412,072 714,744 2,697, 280 - Cash and Cash Equivalents - July 1 131,235,788 4,205,905 13,550,746 - Cash and Cash Equivalents - June 30 136,647,860$ 4,920,649$ 16,248,026$ -$ Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments 136,647,837$ 4, 920,649$ 16,247,989$ -$ Cash with fiscal agent 23 - 37 -
Total Cash and Cash Equivalents reported
on the Statement of Net Position 136,647,860$ 4,920,649$ 16,248,026$ -$ Sewer
Development
Impact Fees
Business-Type Activities - Enterprise Funds
Development
Services Fund
CV Elite Athlete
Training Ctr Sewer Fund
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, 2022

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

CASH FLOWS FROM NON-CAPITAL

FINANCING ACTIVITIES
Principal payments on pension bonds
Cash transfers in
Cash received from interfund borrowings
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
Acquisition and construction of capital assets
Principal paid on capital debt
Interest paid on capital debt
Net Cash Used for
Capital and Related Financing Activities

CASH FLOWS FROM INVESTING ACTIVITIES
Investment loss
Net Cash Used for
Investing Activities
Net Increase 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
17,534,703$ 94,251,443$ -$
-- 9,865,444
(5,017,266) (27,831,629) (5,954,185)
(7,856,650) (23,534,756) (1,424,197)
339,170 2,727,411 -
4,999,957 45,612,469 2,487,062
- (11,642,826) (920,291)
433,750 1,315,164 257,982
178 82,198 -
(2,893,243) (8,843,027) (90,452)
- (301,524) -
(446,244) (446,243) -
- (728,991) (48,076)
(2,905,559) (20,565,249) (800,837)
- 47,609 192,543
- (9,950,562) (203,900)
(862,811) (862,811) -
(119,057) (119,057) -
(981,868) (10,884,821) (11,357)
(52,602) (4,278,375) (18,741)
(52,602) (4,278,375) (18,741)
1,059,928 9,884,024 1,656,127
891,910 149,884,349 10,385,197
1,951,838$ 159,768,373$ 12, 041,324$
1,187,814$ 159,004,289$ 12,041,324$
764,024 764,084 -
1,951,838$ 159,768,373$ 12, 041,324$
Business-Type Activities -
Enterprise Funds
The notes to financial statements are an integral part of this statement. 51 CITY OF CHULA VISTA

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2022
Sewer
Development
Impact Fees
Business-Type Activities - Enterprise Funds
Development
Services Fund
CV Elite Athlete
Training Ctr Sewer Fund
Reconciliation of Operating Income (Loss) to Net
Cash Provided by (Used for) Operating Activities:

Operating income (loss) 21,496,969$ 881,934$ 13,448,569$ (503,715)$ Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:

Depreciation/Amortization 6,179,091 3,041 98,879 337,146 Restatement of beginning net position 2,388,241 - - -
(Increase) decrease in accounts receivable (2,726,014) - 6,233 (5,474) (Increase) decrease in prepaid costs 5,036 - 45,624 -
(Increase) decrease in deferred outflows from pensions 13,745,536 - 26,614,570 - (Increase) decrease in deferred outflows from OPEB (45,276) - (58,481) - Increase (decrease) in accounts payable 86,941 (5,787) 230,096 9,093 Increase (decrease) in retentions payable (6,846) - 12,862 - Increase (decrease) in accrued liabilities (20,072) - 10,072 - Increase (decrease) in deposits payable 20,159 - 2,132,765 - Increase (decrease) in compensated absences 15,057 - 6,716 - Increase (decrease) decrease in net pension liability (19,308,168) - (35,302,793) - Increase (decrease) in net OPEB liability 3,025 - 3,907 - Increase (decrease) in deferred inflows from OPEB 122,425 - 158,132 - Increase (decrease) in deferred inflows from pensions 4,045,245 - 6,487,774 - Total Adjustments 4,504,380 (2,746) 446,356 340,765
Net Cash Provided by (Used for)
Operating Activities 26,001,349$ 879,188$ 13,894,925$ ( 162,950)$ Non-Cash Investing, Capital, and Financing Activities:

Donated capital assets 6,001,175$ - $ - $ - $ Unrealized gain/(loss) on investments (5,213,744) (186,239) (209,9 66) (8,469) Unrealized gain/(loss) on investments 2,388,241 - - -
Gain on disposition of capital assets ----
The notes to financial statements are an integral part of this statement. 52 CITY OF CHULA VISTA

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2022
Reconciliation of Operating Income (Loss) to Net
Cash Provided by (Used for) Operating Activities:

Operating income (loss)
Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:

Depreciation/Amortization
Restatement of beginning net position
(Increase) decrease in accounts receivable
(Increase) decrease in prepaid costs
(Increase) decrease in deferred outflows from pensions
(Increase) decrease in deferred outflows from OPEB
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) decrease in net pension liability
Increase (decrease) in net OPEB liability
Increase (decrease) in deferred inflows from OPEB
Increase (decrease) in deferred inflows from pensions
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
Unrealized gain/(loss) on investments
Gain on disposition of capital assets
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
Business-Type Activities -
Enterprise Funds
8,258,430$ 43,582,187$ 2,622,821$
925,215 7,543,372 74,909
181,183 2,569,424 -
(5,746,870) (8,472,125) 1,484
(87,715) (37,055) (3,580)
- 40,360,106 2,877,576
(353,040) (456,797) (21,124)
363,813 684,156 166,348
- 6,016 -
99,535 89,535 2,265
- 2,152,924 -
24,499 46,272 38,959
- (54,610,961) (4,496,692)
1,202,280 1,209,212 46,746
132,627 413,184 25,505
- 10,533,019 1,151,845
(3,258,473) 2,030,282 (135,759)
4,999,957$ 45,612,469$ 2, 487,062$
-$ 6 ,001,175$ - $
(57,907) (5,676,325) -
- 2,388,241 -
- - 192,543
The notes to financial statements are an integral part of this statement. 53 CITY OF CHULA VISTA

STATEMENT OF FIDUCIARY NET POSITION

FIDUCIARY FUNDS
JUNE 30, 2022
Custodial
Funds
ASSETS
Cash and cash equivalents 3,610,443$ 8,311,072$ Cash and cash equivalents held with fiscal agents - 81,215,177 Receivables:

Accounts - 878,216
Taxes - 75,160
Notes and loans 121,769 47,202,668
Accrued interest 16,178 34,627
Advances to other funds - 47,202,668
Capital assets, not being depreciated 5,600,080 27,796,396 Capital assets, net of accumulated depreciation 798,132 - Total Assets 10,146,602 212,715,984

DEFERRED OUTFLOWS OF RESOURCES
Deferred charge on refunding 1,168,774 -
Total Deferred Outflows of Resources 1, 168,774 -

LIABILITIES
Accounts payable 100 104,368
Accrued interest 224,213 2,075,372
Due to other governments 55,141 -
Advances from the City of Chula Vista 9,107,753 -
Unearned revenues 121,769 -
Long-term liabilities:

Due in one year 1,920,000 -
Due in more than one year 22,291,459 94,405,336
Total Liabilities 33,720,435 96,585,076

DEFERRED INFLOWS OF RESOURCES
Related to loans - 47,202,668
Total Deferred Inflows of Resources - 47,202,668

NET POSITION
Restricted:

Individuals, organizations, and other governments (22,405,059) 68,928,240 Total Net Position (22,405,059)$ 68,928,240 $
Private-Purpose
Trust Fund
Successor Agency
of the Former
Chula Vista RDA
The notes to financial statements are an integral part of this statement. 54 CITY OF CHULA VISTA

STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

FIDUCIARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

ADDITIONS
Investment Earnings:

Net decrease in fair value of investments (161,868)$ (34,363)$ Interest, dividends, and other 47,383 43,723
Total Investment Earnings (114,485) 9,360
Net Investment Gain (Loss) (114,485) 9,360
Taxes 3,541,006 -
Contributions from other governments - 46,405,267
Special assessments - 15,063,900
Miscellaneous - 1,500
Total Additions 3,426,521 61,480,027

DEDUCTIONS
Administrative expenses 242,954 168,826
Contractual services 158,877 3,814,314
Debt service and fiscal agent charges 779,595 15,742,993 Depreciation expense 47,722 -
Payments to other organizations - 6,900,292
Total Deductions 1,229,148 26,626,425
Net Increase in Fiduciary Net Position 2,197,373 34,853,602 NET POSITION - BEGINNING (24,602,432) (100,683,276)
Restatements - 134,757,914
Net Position - Beginning, as restated (24,602,432) 34,074,638 NET POSITION - ENDING (22,405,059)$ 68,928,240 $
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. 55

56 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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 ................................................................. 59

2 Reconciliation of Government-Wide and Fund Financial Statements ............................................................... 70

3 Stewardship, Compliance, and Accountability .................................................................................................. 71

4 Cash and Investments ....................................................................................................................................... 72

5 Receivables ....................................................................................................................................................... 77

6 Interfund Balances and Transactions ................................................................................................................ 81

7 Capital Assets ................................................................................................................................................... 84

8 Long-Term Liabilities ....................................................................................................................................... 86

9 Unearned Revenue ............................................................................................................................................ 95

10 Compensated Absences .................................................................................................................................. 96

11 Self-Insurance Accrued Liabilities ................................................................................................................. 96

12 Leases .............................................................................................................................................................. 97

13 Pension Plans .................................................................................................................................................. 99

14 Post Retirement Health Benefits ................................................................................................................... 106

15 Commitments and Contingencies ................................................................................................................. 110

16 Restatements of Fund Balance and Net Position ........................................................................................... 111

17 Change in Accounting Estimate .................................................................................................................... 112

57

58 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
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 S tate 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 Unit
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 59 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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

A. Reporting Entity (Continued)

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

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 Municipal Financing Authority is comprised of the consenting me mbers of the City Council. The Municipal 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 o f 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 Unit

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 t he component units’ respective Boards of Directors, and thereby being able to significantly influence an d 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; additional ly, the assets of these component units are not derived from the City’s provision of goods or services 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 the Chula Vista Bayfront Master Plan area.

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

The Bayfront District was created as a joint community facilities agreement between 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.
60 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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 also 60 days.

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. 61 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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, American Rescue Plan Act funding, 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, 2012, 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.

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 Management, 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, 62 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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.
63 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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 i s 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 loss on investments amounted to $22,836,960 for the fiscal year ended June 30, 2022.

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 t ed 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.
64 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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.

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.

65 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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

I. Compensated Absences (Continued)

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 repor ted results must pertain to liability information within certain defined timeframes. For this report, the following timeframes are used:

Valuation Date June 30, 2021
Measurement Date June 30, 2022
Measurement Period July 1, 2021, to June 30, 2022

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. 66 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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 assets that applies to future periods and will not be recog nized as an outflow of resources (expense/ expenditure) until then. The City has four items that 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. The fourth item is related to leases and represents the cumulative impact of GASB 87 implementation.

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 assets that applies to future periods and so will not be re cognized as an inflow of resources (revenue) until that time. The City has three types of deferred inflows of reso urces, 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. The third item is related to leases and represents the cumulative impact of GASB 87 implementation.

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 60 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 record
ed as revenue until collected.

No allowance for doubtful accounts was considered necessary.

O. Public Facilities Financing

Interest 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. 67 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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.
68 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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 unrestri cted 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.
69 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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

T. Changes in Accounting Principles and New GASB Pronouncements

During the year ended June 30, 2022, the City adopted the follo wing accounting standard issued by the Governmental Accounting Standards Board (GASB):

GASB Statement No. 87 Leases enhances usefulness and comparabil ity of financial statements among governments requiring lessees and lessors to report leases usin g a single model. This statement requires recognition of certain lease assets and liabilities for leases that were previously classified as operating leases and recognizes inflows or outflows of resources based on the paymen t provisions of the lease contracts. Under GASB Statement No. 87, a lessee is required to recognize a leas e liability and an intangible right-to-use lease asset, and a lessor is required to recognize a lease receivable and deferred inflow of resources.

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

A. Explanation of Certain Differences Between th e Governmental Fund 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 $217,974,561 are as follows:

Long-term receivables 59,654,201$
Net pension asset 143,696,167
Development impact fees 4,217,095
Miscellaneous revenues 10,407,098
Total other long-term assets 217,974,561$

B. Explanation of Certain Differences Between the Gover nmental Fund 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 ($2,507,616) difference are as follows:

Capital outlay $ 30,687,723
Loss on disposals 1,120,190
Depreciation expense (34,315,529)
Total other long-term assets $ (2,507,616)
70 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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

C. Explanation of Certain Differences Between the Pr oprietary 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 $401,428 difference are as follows:

Internal receivable representing charges in excess of cost to b usiness-type activities - prior years 140,153 $
Internal receivable representing charges in excess of cost to b usiness-type activities - current year 261,275
Net adjustment to increase net position - total enterprise fund s to arrive at net position - business-type activities 401,428$

Note 3 – Stewardship, Compliance, and Accountability

A. Deficit Fund Equity

At June 30, 2022, 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 $13,239,599 and $12,542,397, respectively.

The reason for the deficit in the Sewer Development Impact Fees Fund is the long-term advance payable in the amount of $18,302,927 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 advanc e. 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 2021 fiscal year, with an outstanding balance in the amount of $16,914,371 as of June 30, 2022. The deficit is expected to be eliminated in future years as the rev enue is recognized as a reduction to net pension liability.

At June 30, 2022, the following non-major funds had deficit fund equity:

Fund Type Funds Deficit
Special Revenue Transportation Sales Tax 497,724$
Special Revenue Traffic Safety 2,038
Capital Projects Residential Construction Tax 826,536
Capital Projects Bicycle Facility 4,460
Capital Projects Other Transportation Program Fund 646,508 Proprietary Living Coast Discovery Center 798

Transportation Sales Tax – The Transportation Sales Tax Fund had an accumulated deficit of $497,724 due to the timing of the receipt of the City’s allocation of SANDAG’s ½ cent sales tax levy compared to disbursements.

The City expects to eliminate this deficit through future revenues.

Traffic Safety – T h e T r a f f i c S a f e t y F u n d h a d an accumulated deficit of $2,038 a s a r e s u l t o f f a i r m a r k e t o n investment losses and interfund transfer to the General Fund to cover administrative expenditures. The deficit is expected to be eliminated through future revenues.
71 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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

A. Deficit Fund Equity (Continued)

Residential Construction Tax – The Residential Construction Tax Fund had an accumulated def icit of $826,536 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.

Other Transportation Program – The Other Transportation Program Fund had an accumulated deficit of $646,508 due to non-reimbursable expenditures that were incurred. The City does not expect to eliminate the deficit.

Living Coast Discovery Center – The proprietary Living Coast Discovery Center Fund had an accumulated deficit of $798 due to the fair market value loss on investments incurr ed in the current year. This deficit is expected to be eliminated through future revenues.

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, 2022.

Fiduciary Funds
Governmental Business-Type Statement of Net
Activities Activities Subtotal Position Total
Cash and investments 391,049,859 $ 159,768,373$ 550,818,232$ 11,921,515$ 562,739,747$ Restricted cash and investments:

Held by City 11,433,827 - 11, 433,827 - 11, 433,827 Held by fiscal agents 9,736,167 - 9,736,167 81,215,177 90,951,344 Total restricted cash and investments 21,169,994 - 21, 169,994 81,215,177 102,385,171 Total cash and investments 412,219,853$ 159,768,373$ 571,988,226$ 93,136,692$ 665,124,918$ Government-Wide Statement of Net Positio n

Cash, cash equivalents and investments consisted of the following at June 30, 2022:

Petty Cash 9,939$
Deposits with financial institutions 72,818,242
Investments 501,314,733
Investments held by fiscal agents 90,982,004
Total cash and investments 665,124,918$

A. Deposits

The carrying amount of the City’s cash deposits were $72,818,24 2 at June 30, 2022. Bank balances before reconciling items were $72,260,392 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. 72 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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, 2022, the City had the following investments and maturities:

Investment Type Fair Value 1 year or fewer 1 - 2 years 2 - 3 years 3 - 4 years 4 - 5 years LAIF 11,654,020$ 11,654,020$ -$ -$ -$ -$ Time deposits 310,000 310,000 - - - - San Diego County Investm ent Fund 22,599,218 22,599,218 - - - - United States Treasuries 16,758,030 7,480,905 9,277,125 - - - Federal agency bonds 178,187,139 16,373,226 44,769,034 64,537,938 46,366,124 6,140,817 Municipal bonds 66,832,495 9,716,911 18,123,023 15,167,830 23,824,731 - Supranationals 17,847,880 4,996,650 - 5, 800,020 3,436,090 3,615,120 Asset-backed securities 3,162,456 - - 3, 162,456 - - Medium-term corporate notes 142,637,599 40,638,754 43,949,767 41,052,698 13,830,380 3,166,000 Certificates of deposit 27,634,847 7,159,305 9,490,155 10,985,387 - - Placement service deposits 4,225,989 4,225,989 - - - - Money market funds 9,465,060 9,465,060 - - - - Held by bond trustee:

Mutual funds 84,263,473 84,263,473 - - - - LAIF 6,718,531 6,718,531 - - - - Total 592,296,737$ 225,602,042$ 125,609,104$ 140,706,329$ 87,457,325$ 12,921,937$ 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.

73 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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 I nv estment T ype
Maximum
Maturi ty
Maximum
Percentage of
Portfolio
Maximum
Inv estment in
One Issuer
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
74 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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, 2022, the City’s pooled cash and investments had the following maturities:

Maturi ty
Percentage of
Inves tment
Less than one year 38.1%
1 - 2 years 21.2%
2 - 3 years 23.8%
3 - 4 years 14.8%
4 - 5 years 2.1%

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:

Standard &
Investm ent Type Fair V alue Moody's Poor's
LAIF 18,372,551 $ Not rated Not rated
Time deposits 310,000 Not rated Not rated
San Diego County Investm ent Fund 22,599,218 Not rated Not rated United States Treasuries 16,758,030 Exempt Exempt Federal agency bonds 178,187,139 Exempt Exempt
Municipal bonds 66,832,495 A1 to Aa1 A to AA+
Supranationals 17,847,880 Aaa AAA
Asset-backed securities 3,162,456 Aaa AAA
Medium -term corporate notes 142,637,599 A3 to Aaa BBB+ to AAA Certificates of deposit 27,634,847 Not rated Not rated Placement service deposits 4,225,989 Not rated Not rated Money m arket funds 9,465,060 Not rated Not rated Mutual funds 84,263,473 Not rated Not rated
Total 592,296,737 $

75 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 4 – Cash and Investments (Continued)

C. Risks Disclosures (Continued)

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.

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, 2022, 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, 2022, the City had $18,372,551 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, 2022, by multiplying its 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, 2022. 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, 2022:

Investment Type Totals Level 1 Level 2 Uncategorized
LAIF 11,654,020$ -$ -$ 11,654,020$ Time deposits 310,000 - 310,000 - San Diego County Investment Fund 22,599,218 - - 22,599,218 United States Treasuries 16,758,030 16,758,030 - - Federal agency bonds 178,187,139 - 178,187,139 - Municipal bonds 66,832,495 - 66,832,495 - Supranationals 17,847,880 - 17,847,880 - Asset-backed securities 3,162,456 - 3,162,456 - Medium-term corporate notes 142,637,599 - 142,637,599 - Certificates of deposit 27,634,847 - 27,634,847 - Placement service deposits 4,225,989 - - 4,225,989 Money market funds 9,465,060 - - 9,465,060 Held by bond trustee:

Mutual funds 84,263,473 - - 84,263,473 LAIF 6,718,531 - - 6,718,531 Total 592,296,737$ 16,758,030$ 436,612,416$ 138,926,291$

76 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

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, 2022, the City had the following taxes receivable:

Governmental Fiduciary
Activities Funds Total
Sales Tax 17,778,395 $ - $ 17,778,395$ Property Tax 548,073 - 548,073 Highway Users Tax 1,484,896 - 1,484,896 Franchise Fee Tax 3,547,464 - 3,547,464 Special Assessments - 75,160 75,160 Other Taxes 2,146,186 - 2,146,186 Total 25,505,014$ 75,160$ 25,580,174$

B. Loans Receivable

At June 30, 2022, the City had the following loans receivable, including principal and accrued interest:

Principal Interest Total
South Bay Community Services (Trolley Trestle, M uncey M anor, CNV I, CNII, NCV II) $ 2,022,483 $ 2,3 10,780 $ 4,333,263 Cordova and Trolley Terrace Apartments (Cordova Trolley, LP) 2,672,511 317,699 2,990,210 St. Regis Park (Chelsea Investment Corp) 1,232,822 87,270 1,320,092 Chula Vista Rehabilitation CHIP Loans 774,979 86,736 861,715 Park Village Apts (Civic Center Barrio Housing Corporation) 120,600 - 120,600 Los Vecinos (Wakeland Housing and Development Corporation) 5,680,000 4,073,732 9,753,732 Brisa del Mar (Main Plaza, LP) 1,800,000 739,440 2,539,440 Seniors on Broadway (MAAC Project) 3,511,194 1,701,143 5,212,337 The Landings II (Chelsea Investment Corp) 8,326,310 1,891,211 10,217,521 First Time Home Buyers Program 3,098,095 201,737 3,299,832 NSP Rental Housing Program 1,000,000 252,877 1,252,877 Lofts on Landis 2,000,000 4 88,486 2,488,486 Duetta Apartments (F Street Family CIC, LP) 2,068,000 387,384 2,455,384 Volta Senior Apartments (G Street Seniors CIC, LP) 932,000 171,698 1,1 03,698 Anita Street Apartments (Wakeland- Anita LP) 5,195,165 180,621 5,375,786 Deferred development impact fees 5,965,425 363,803 6,329,228 46,399,584$ 13,254,617$ 59,654,201$ Governmental Activities

77 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

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 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, 2022, the outstanding balance of the loan was $4,333,2 63, which included an interest accrual of $2,310,780.

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, 2022, the outstanding balance of the loan was $2,990,210, which included an interest accrual of $317,699.

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, 2022, the outstanding balance of the loan was $1,320,092, which included an interest accrual of $87,270.

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. The rate terms vary from 0 to 5% deferred interest loans to forgivable loans for mobile homeowners. Loan repayments are re-deposited into the program cash accounts and are redistributed as future loans. At June 30, 2022, the outstanding balance of the loan was $861,715, which included an interest accrual of $86,736.

78 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

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 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, 2033. At June 30, 2022, the outstanding balance of the loan was $120,600 with no accrued interest outstanding.

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, 2022, the outstanding balance of the loan was $9,753,732, which included an interest accrual of $4,073,732.

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 payable o n the date that is 55 years from the date of the City’s issuance of the Certificate of Completion, which is in 2 061. At June 30, 2022, the outstanding balance of the loan was $2,539,440 which included an interest accrual of $739,440.

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, 2 022, the outstanding balance of the loan was $5,212,337, which included an interest accrual of $1,701,143.

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, 2022, the outstanding balanc e of the loan was $10,217,521, which included an interest accrual of $1,891,211.

79 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

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 repayments are re-deposited into the program and are redistributed as future loans. At June 30, 2022, the outstanding balance of the loan was $3,299,832, which included an interest accrual of $201,737.

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, 2022, the outstanding balance of the loan was $1,252,877, which included an interest accrual of $252,877.

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, 2022, the outstanding balance of the loan was $2,488,4 86, which included an interest accrual of $488,486.

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, 2022, the outstanding balance of the loans were $2,455,384, which included an interest accrual of $387,384.

80 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 5 – Receivables (Continued)

B. Loans Receivable (Continued)

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 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, 2022, the outstanding balance of the loans were $1,103,698, which included an interest accrual of $171,698.

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, 2022, the outstanding balance of the loans were $5,375,786, which includes an interest accrual of $180,621.

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 deve lopment in preparation for the new Bayfront project, as well as land in the portion of the City between Int erstate 5 and Interstate 805, including the Palomar Gateway and Urban Core Specific Planning Areas and the Auto Par k located East of the Interstate 805. As the Rate and Method of Apportionment defines, developers can defer their Development Impact Fees up to ten years or as otherwise defined in the CFD documents. Upon issuance of the Certificate 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, 2022, the outstanding balance of the loans were $6,329,228 which includes interest accrual $363,803.

Note 6 – Interfund Balances and Transactions

Due to/Due from other funds

At June 30, 2022, interfund receivables and payables were as follows:

Due from Other
Funds
CV Elite Athlete
Training Center
Nonm ajor
G overnm ental
Funds
Nonm ajor
Enterprise Funds Total
G eneral Fund 536,664$ 1,808,638 $ 178 $ 2,345,480$

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.

81 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 6 – Interfund Balances and Transactions (Continued)

Long-Term Advances

At June 30, 2022, balances were as follows:

Sewer Other
Development Enterprise
Impact Fees Funds Total
Advances to Other Funds:

General -$ 2,783,149$ 2,783,149$ Sewer Fund 18,302,927 - 18,302,927 Total 18,302,927$ 2,783,149$ 21,086,076$
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 $18,302,927 at June 30, 2022, of which all $18,302,927 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 $2,783,149 at June 30, 2022.

82 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 6 – Interfund Balances and Transactions (Continued)

Transfers In/Out

Interfund transfers for the year ended June 30, 2022, were as follows:

Public Municipal Other
Financing Financing Governmental
Transfers Out General Sundry Grants Authority Authority Funds General - $ 467,456$ 2,490,922 $ 9,109,647 $ 15,200,077 $ Sundry Grants 2,713,977 - - - 1,613,275 Housing Successor Agency 6,269 - - - - Development Impact Funds 18,728 - 3,663,583 1,535,549 - Other Governmental Funds 5,070,535 - 666,808 - - Sewer Fund 3,511,070 - - - - Sewer Development Impact Fee 2,740 - - - - Development Services Fund 2,389,955 - - - - CV Elite Athlete Training Ctr - - - - 31,280 Other Enterprise Funds 2,893,243 - - - - Internal Service Funds 90,452 - - - - Total 16,696,969 $ 467,456 $ 6,821,313 $ 10,645,196 $ 16,844,632 $ CV Elite Other
Development Athlete Enterprise Internal
Transfers Out Sewer Fund Services Fund Training Ctr Funds Service Fu nds Total General - $ 448,729$ 120,679 $ 327,750 $ 231,982 $ 28,397,242 $ Sundry Grants 99,392 124,750 - 106,000 26,000 4,683,394 Housing Successor Agency - - - - - 6,269 Development Impact Funds - - - - - 5,217,860 Other Governmental Funds - 73,125 - - - 5,810,468 Sewer Fund - 14,739 - - - 3,525,809 Sewer Development Impact Fee - - - - - 2,740 Development Services Fund - - - - - 2,389,955 CV Elite Athlete Training Ctr - - - - - 31,280 Other Enterprise Funds - - - - - 2,893,243 Internal Service Funds - - - - - 90,452 Total 99,392$ 661,343$ 120,679$ 433,750$ 257,982$ 53,048,712$ Transfers In

General Fund – Operating support to the General Fund for City staff services and equipment. Total amount of support was $16,696,969.

Sundry Grants Fund – Transferring the matching contribution to the federal grants in the amount of $467,456.

Public Financing Authority – Funding debt service funds for repayment of various long-term obligations amounted to 6,821,313.

Municipal Financing Authority – Funding debt service fund for repayment of long-term obligation amounted to $10,645,196.

Other Governmental Funds – Transfer from General Fund in the amount of $15,200,077 for va rious 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 Fund in the amount of $1,613,275.

Sewer Fund – Transfer from Sundry Grants Fund in the amount of $99,392 for operating support.

83 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 6 – Interfund Balances and Transactions (Continued)

Development Services Fund – Operating support to the Development Services Fund for service ; $448,729 support from the General Fund and $124,750, $73,125, and $14,739 from Sundry Grants Fund, Other Governmental Funds and the Sewer Fund, respectively.

Chula Vista Elite Athlete Training Center – Support from General Fund: $120,679 for telecom site license fee.

Other Enterprise Funds – Operating support to the Other Enterprise Funds for services p rovided; $327,750 and $106,000 support from the General Fund and Sundry Grants Fund, respectively.

Internal Service Funds – Operating support to the internal service funds for services provided; $231,982 and $26,000 support from the General Fund and Other Governmental Funds, respectively.

Note 7 – Capital Assets

A. Government-Wide Financial Statements

Summary of changes in capital assets for governmental activities for the year ended June 30, 2022, are as follows:

Balance Prior Period CIP Balance
July 1, 2021 Adjustments Additions Deletions Transfers June 30, 2022 Capital assets, not being depreciated:

Land 437,045,968$ (598,660)$ -$ -$ -$ 436,447,308$ Construction in progress 142,429,165 - 21,917,642 (1,095,544) (4,992,006) 158,259,257 Total capital assets, not being depreciated 579,475,133 (598,660) 21,917,642 (1,095,544) (4,992,006) 594,706,565 Capital assets, being depreciated:

Buildings 231,295,091 (132,286) - - - 231,162,805 Improvements other than buildings 145,708,851 (442,779) - - - 145,266,072 Machinery and equipment 53,242,866 (1,625,688) 6,657,850 (2,706,827) - 55,568,201 Infrastructure 808,891,150 - 37,712,935 - 4,992,006 851,596,091 Right to Use Equipment - 923,381 49,000 - - 972,381 Subtotal 1,239,137,958 (1,277,372) 44,419,785 (2,706,827) 4,992,006 1,284,565,550 Less accumulated depreciation
Buildings (73,013,757) 119,156 (4,540,590) - - (77,435,191) Improvements other than buildings (62,591,128) 398,832 (2,976,514) - - (65,168,810) Right to Use Equipment - - (237,898) - - (237,898) Machinery and equipment (34,531,250) 608,120 (5,100,721) 2,680,309 - (36,343,542) Infrastructure (397,005,230) - (21,534,715) - - (418,539,945) Subtotal (567,141,365) 1,126,108 (34,390,438) 2,680,309 - (597,725,386) Total capital assets, being depreciated 671,996,593 (151,264) 10,029,347 (26,518) 4,992,006 686,840,164 T otal governmental activities 1,251,471,726$ (749,924)$ 31,946,989$ (1,122,062)$ -$ 1,281,546,729$

Depreciation expense was charged to functions/programs as follows:

G eneral governm ent 84,602$
Public safety 4,205,761
Public works 27,584,144
Com m unity developm ent 68,508
Parks and recreation 2,361,680
Library 10,834
Internal service 74,909
34,390,438$

84 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 7 – Capital Assets (Continued)

A. Government-Wide Financial Statements (Continued)

Summary of changes in capital assets for business-type activities for the year ended June 30, 2022, are as follows:

Balance Prior Period CIP Balance
July 1, 2021 Adjustm ents Additions Deletions Transfers June 30, 2022 Capi tal as s ets , not bei ng de pr ec i ated:

Land 180,677,144$ 598,659$ -$ -$ -$ 181,275,803$ Construction in progress 8,777,688 - 2,040,114 - (787,798) 10,030,004 Total capi tal as s e ts , not be i ng de pr ec i ated189,454,832 598,659 2,040,114 - (787,798) 191,305,807 Capi tal as s ets , bei ng depreci ated:

Buildings and Structures 17,027,588 132,286 - - - 17,159,874 Im provm ents other than buildings - 442,779 152,488 - - 595,267 Right to Use Equipm ent - 229,576 - - - 229,576 Machinery and equipm ent 12,377,390 (17,244) 1,803,685 (463,749) - 13,700,082 Infrastructure 251,156,974 - 6,001,176 - 787,798 257,945,948 Subtotal 280,561,952 787,397 7,957,349 (463,749) 787,798 289,630,747 Less accumulated depreciation
Buildings and Structures (1,687,434) (119,156) (339,817) - - (2,146,407) Im provm ents other than buildings - (405,740) (28,843) - - (434,583) Right to Use Equipment - - (58,731) - - (58,731) Machinery and equipm ent (6,677,257) (12,519) (1,674,438) 463,749 - (7,900,465) Infrastructure (140,591,172) - (5,441,543) - - (146,032,715) Subtotal (148,955,863) (537,415) (7,543,372) 463,749 - (156,572,901) Total cap ital assets, b eing d ep reciated 131,606,089 249,982 413,977 - 787,798 133,057,846 Total gov ernmental activ ities 321,060,921$ 848,641$ 2,454,091$ -$ -$ 324,363,653$

Depreciation/amortization expense for business-type activities for the year ended June 30, 2022, are as follows:

CV Elite Training Center 337,146$
Sewer 6,179,091
Sewer Development Impact Fees 3,041
Developm ent Services 98,879
Transport Enterprise 868,428
Golf course 48,326
Transit 8,461
7,543,372$

B. Fiduciary Funds Financial Statements

Summary of changes in capital assets for fiduciary funds for the year ended June 30, 2022, are as follows:

Balance CIP Balance
July 1, 2021 Additions Deletions Transfers June 30, 2022 Capital assets, not b eing dep reciated:

Land 5,600,080$ -$ -$ -$ 5,600,080$ Construction in progress - 27,796,396 - - 27,796,396 Total capital assets, not b eing dep reciated 5,600,080 27,796,396 - - 33,396,476 Capi tal as s ets , bei ng depreci ated:

Buildings 2,386,218 - - - 2,386,218 Subtotal 2,386,218 - - - 2,386,218 Less accumulated depreciation
Buildings (1,540,364) (47,722) - - (1,588,086) Subtotal (1,540,364) (47,722) - - (1,588,086) Total capi tal as s ets , bei ng depreci ated845,854 (47,722) - - 798,132 Total gov ernmental activ ities 6,445,934$ 27,748,674$ -$ -$ 34,194,608$

Depreciation expense for fiduciar y funds for the year ended Jun e 30, 2022, was $47,722 being reported in private-purpose trust funds.
85 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities

A summary of changes in long-term debt for the year ended June 30, 2022, is as follows:

Balance Balance Amount
Beginning of End Due Within
Year Adjustments Additions Deletions of Year One Year
Governmental Activities:

Bonds payable
Certificates of participation 67,250,000$ -$ -$ 4,045,000$ 63,205,000$ 4,250,000$ Lease revenue bonds 70,925,000 - - 7,790,000 63,135,000 7,860,000 Premium 11,801,065 - - 1,486,612 10,314,453 - Total bonds payable 149,976,065 - - 13,321,612 136,654,453 12,110,000 Priv ate placement notes 6,616,007 - 3,426,935 1,047,915 8,995,027 897,036 Pension-related debt 311,272,126 11,310,036 - 5,994,991 316,587,171 8,105,450 Financed purchases 6,497,094 (851,647) - 844,465 4,800,982 876,134 Total Gov ernmental Activ ities 474,361,292$ 10,458,389$ 3,426,935$ 21,208,983$ 467,037,633$ 21,988,620$ Business-Type Activities:

Pension-related debt 38,752,874$ (11,310,036)$ -$ 510,009$ 26,932,829$ 689,550$ Financed purchases 4,500,499 (7,399) - 862,810 3,630,290 894,038 Total Business-Type Activities 43,253,373$ (11,317,435)$ -$ 1,372,819$ 30,563,119$ 1,583,588$

Governmental Activities

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 Certi ficates 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, 2022, the outstanding balance is $31,635,000.

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, 2022, the outstanding balance is $22,970,000.

86 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities (Continued)

A. Certificates of Participation (Continued)

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, 2022, the outstanding balance is $8,600,000.

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 Refundin g 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, 2022, the outstanding balance is $17,560,000.

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, 2022, the outstanding balance is $32,800,000.

87 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities (Continued)

B. Lease Revenue Bonds (Continued)

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, 2022, the outstanding balance is $12,005,000.

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 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 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, 2022, the outstanding balance is $770,000.

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, 2022, the outstanding balance is $4,410,000.

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, 2022, the outstanding balance is $494,332.

88 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities (Continued)

C. Private Placement Notes (Continued)

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, 2022, the outstanding balance is $663,761.

Department of Housing and Community Development Emergency Rental Assistance Program (ERAP) Loan

On May 24, 2022, the City entered into a 0% interest “cashflow loan/note” agreement with the Department of Housing and Community Development for an ERAP loan in the amoun t of $8,567,338 for eligible rent and utilities assistance payments for rent arrears, utility arrears , and local administrative expenses, as defined in the U.S Treasury’s guidance. The loan is to be administered in three tranches, of which the City received tranche one in the amount of $3,426,934 as of June 30, 2022, which represents the amount outstanding at that date.

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, 2022, the outstanding balance is $343,520,000. 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, after a reallocation from business-type activities of $11,310,036, at June 30, 2022, is $316,587,171.

E. Financed Purchases

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, 2022, the outstanding balance is $1,010,648.

JP Morgan Equipment Financed Purchase Agreement

In August 2016, the City entered into a financed purchase agreement with JP Morgan Chase Bank, N.A. for the acquisition of one Pierce Fire Engine. The agreement term is ten years and the agreement amount of $1,229,470 is to be paid in annual installments beginning in August 2017. As of June 30, 2022, the outstanding balance is $647,396.

Motorola Solutions CAD Equipment Financed Purchase Agreement

In July 2017, the City entered into a financed purchase agreement with Motorola Solutions, Inc. for the acquisition of a PSA System. The agreement term is ten years and the agree ment amount of $1,351,409 is to be paid in annual installments beginning in July 2018. As of June 30, 2022, the outstanding balance is $774,547.

89 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities (Continued)

E. Financed Purchases (Continued)

JP Morgan Equipment Financed Purchase Agreement

In October 2019, the City entered into a financed purchase agreement with JP Morgan Chase Bank, N.A. for the acquisition of one Pierce Fire Engine. The agreement term is ten years and the agreement amount of $720,786 is to be paid in annual installments beginning in October 2019. As of June 30, 2022, the outstanding balance is $531,221.

Banc of America Equipment Financed Purchase Agreement

In July 2020, the City entered into a financed purchase agreement with Banc of America Public Capital Corp. for the acquisition of two Pierce Arro w pumpers. The agreement ter m is 5 years and the agreement amount of $2,273,805 is to be paid in annual installments beginning on July 30, 2021. As of June 30, 2022, the outstanding balance is $1,837,170.

90 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Governmental Activities (Continued)

F. Debt Service to Maturity

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

Year Ending
June 30, Principal Interest Total Principal Interest Total 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 5,025,000 1,716,794 6,741,794 9,185,000 1,205,839 10,390,839 2028-2032 28,570,000 5,239,975 33,809,975 10,005,000 3,310,901 13,315,901 2033-2037 11,340,000 606,666 11,946,666 2,990,000 1,930,633 4,920,633 2038-2042 - - - 2, 755,000 1,424,331 4,179,331 2043-2047 - - - 3, 590,000 765,225 4,355,225 2048-2052 - - - 1, 710,000 73,958 1,783,958 Total 63,205,000$ 16,555,486$ 79,760,486$ 63,135,000$ 17,534,498$ 80,669,498$ Year Ending
June 30, Principal Interest Total Principal Interest Total 2023 897,036$ 151,666$ 1,048,702$ 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 864,939 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 659,000 50,896 709,896 9,715,000 7,479,879 17,194,879 2028-2032 4,843,409 42,347 4,885,756 54,155,000 35,185,603 89,340,603 2033-2037 - - - 77, 270,000 29,075,826 106,345,826 2038-2042 - - - 97, 580,000 18,164,548 115,744,548 2043-2047 - - - 68, 310,000 3,961,084 72,271,084 2048-2052 - - - - - - Total 8,995,027$ 538,809$ 9,533,836$ 343,520,000$ 124,383,931$ 467,903,931$ Year Ending
June 30, Principal Interest Total Principal Interest Total 2023 876,134$ 114,875$ 991,009$ 22,678,170$ 13,280,070$ 35,958,240$ 2024 897,156 96,994 994,150 23,242,541 12,622,622 35,865,163 2025 918,869 78,501 997,370 24,003,808 11,975,406 35,979,214 2026 941,297 59,373 1,000,670 24,861,555 11,249,864 36,111,419 2027 493,608 40,759 534,367 25,077,608 10,494,167 35,571,775 2028-2032 673,918 53,695 727,613 98,247,327 43,832,521 142,079,848 2033-2037 - - - 91, 600,000 31,613,125 123,213,125 2038-2042 - - - 100,335,000 19,588,879 119,923,879 2043-2047 - - - 71, 900,000 4,726,309 76,626,309 2048-2052 - - - 1, 710,000 73,958 1,783,958 Total 4,800,982$ 444,197$ 5,245,179$ 483,656,009$ 159,456,921$ 643,112,930$ Certificates of Participation Lease Revenue Bonds
Private Placement Notes Pension-Related Debt*
Financed Purchase Agreements Total Future Debt Service

*Pension-Related Debt amounts contain both governmental activities and business-type activities totals.

91 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Business-Type Activities

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, 2022, the outstanding balance is $343,520,000. 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-ty pe activities, after a reallocation to governmental activities of $11,310,036, at June 30, 2022, is $26,932,829. Refer to the debt service requirements to maturity for this bond on the previous page.

B. Financed Purchase Agreements

Banc of America Equipment Financed Purchase Agreement

In July 2020, the City entered into a financed purchase agreement with Banc of America Public Capital Corp. for the acquisition of a Medix Ambulance, and various equipment associated with the ambulance The financing term is 5 years and the payment amount of $4,493,100 is to be paid in annual installments beginning on July 30, 2021.

As of June 30, 2022, the outstanding balance is $3,630,290.

C. Debt Service to Maturity

Year Ending
June 30, Principal Interest Total
2023 894,038 $ 34,074 $ 928,112 $
2024 903,001 25,111 928,112
2025 912,053 16,059 928,112
2026 921,198 6,915 928,113 Total 3,630,290$ 82,159 $ 3,712,449 $
Financed Purchase Agreements

Fiduciary Funds Long-Term Debt

A. Tax Allocation Bonds

Balance Balance Amount
Beginning End Due Within
of Year Additions Deletions of Year One Year
Priv ate Purpose Trust Funds
Bonds payable
Tax Allocation Refunding Bonds 22,770,000$ -$ 1,840,000$ 20,930,000$ 1,920,000$ Premium 3,515,849 - 234,390 3,281,459 - Total Private Purpose Trust Funds 26,285,849$ -$ 2,074,390$ 24,211,459$ 1,920,000$

92 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Fiduciary Funds Long-Term Debt (Continued)

A. Tax Allocation Bonds (Continued)

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, 2022, the outstanding balance is $20,930,000.

The annual debt service requirements for the 2016 Tax Allocatio n Refunding Bonds outstanding at June 30, 2022, are as follows:

Year Ending
June 30, Principal Interest Total
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 2027 1,520,000 555,600 2,075,600 2028-2032 5,370,000 1,902,250 7,272,250 2033-2037 5,895,000 605,000 6,500,000 Total 20,930,000$ 6,074,150$ 27,004,150$
93 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Fiduciary Funds Long-Term Debt (Continued)

A. Tax Allocation Bonds (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 e arly retirement of the Bonds, whichever comes first. Tax revenues consist of Redevelopment Property Tax Trust Fund distributions 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 unles s the payment of such amounts has been subordinated to payment of debt services on the Bonds. Redevelo pment Property Tax Trust Fund distributions earned in fiscal year 2022 was $3,541,006 and total debt service of all Tax Allocation Bonds paid was $2,788,600.

The Bonds required 75% of net distributions. In future years, a nnual principal 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, 2022, the special assessment debts recorded in custodial funds outstanding are as follows:

Original Outstanding
Amount June 30, 2022
Special Tax Rev enue Refunding Bonds, Series 2013 72,100,000$ 50,595,000$ Special Tax Rev enue Refunding Bonds, Series 2015A 30,460,000 25,300,000 Rev enue Refunding Bonds, Series 2015B 43,695,000 30,465,000 CVBFFA Rev enue Bonds Series 2022A 37,202,668 37,202,668 CVBFFA Rev enue Bonds Series 2022B 10,000,000 10,000,000 CFD 16-1 1A1 12,280,000 12,165,000
CFD 16-1 1A2 11,255,000 11,255,000
Bond Premium 10,389,831 8,453,267
Total 227,382,499$ 185,435,935$

94 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 8 – Long-Term Liabilities (Continued)

Fiduciary Funds Long-Term Debt (Continued)

C. Multi-Family Housing Bonds – Non-City Obligations

Bonds issued to finance public improvement and/or affordable multifamily housing projects are liabilities of the developers and are secured by liens against the assessed property. 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 fol lowing obligations are included in the accompanying basic financial statements. At June 30, 2022, the multi-family housing bonds outstanding are as follows:

Original Outstanding
Amount June 30, 2022
2007 A Oxford Terrace Apartments 2,276,000 $ 1,555,000 $ 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 5,461,680 2013 A Congregational Tower 20,540,000 18,807,682 2016 A-1 Duetta Apts Homes 18,675,000 7,615,213 2016 A-3 Duetta Apts Homes junior 725,000 725,000 2016 B-1 Volta Apts Homes 20,925,000 9,683,543 2016 B-3 Volga Apts Homes Junior 775,000 375,000 2010 A-1 Landings II Senior 11,786,233 9,679,906 2019 A Cordov a and Trolley Apartments 6,450,000 3,877,443 2019 Series B-1 St. Regis Park Apartmenrs 13,300,000 13,045,627 2019 Series B-4 Sub St. Regis Park Apartmenrs 6,800,000 6,800,000 2020 Series A Otay Ranch Apartments 5,354,124 20,483,531 2021 Series A-3 Columbia Apartments 2,600,000 2,600,000 2021 Series A-1 Columbia Apartments 13,316,443 13,316,443 Total 180,495,800$ 154,329,068$

Note 9 – Unearned Revenue

At June 30, 2022, unearned revenue was reported in the amount of $54,005,880 in governmental activities and related to grant program funding received but not expended for allowable costs as of June 30, 2022.

95 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 10 – Compensated Absences

The City’s liability for vested and unpaid compensated absences (accrued vacation) has been accrued and amounts to $10,244,609 at June 30, 2022. 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, Develop ment Services Fund, and Other Enterprise Funds. The table and schedule below describe the dollar amount of compensated absences allocated to the different activities and funds, the percentage of liquidation applicable to those funds or activities, and the changes in compensated absences for the year.

Percentage of
Balance Liquidation
Governmental Activities
General Fund 9,308,809 $ 90.9%
Fleet Management internal service fund 91,085 0.9% Subtotal - Governmental Activities 9,399,894
Business-Type Activities
Sewer Fund 264,875 2.6%
Development Services Fund 555,341 5.4%
Other Enterprise Funds 24,499 0.2%
Subtotal - Business-Type Activities 844,715
Total Compensated Absences 10,244,609 $ 100.0%

Balance Balance Amount
Beginning End Due Within
of Year Additions Deletions of Year One Year
Governmental Activites
Compensated Absences 10,171,386$ 6,262,232$ 7,033,724$ 9,399,894$ 6,500,223$ Business-Type Activities
Compensated Absences 798,443 522,936 476,664 844,715 492,868 Grand Total 10,969,829$ 6,785,168$ 7,510,388$ 10,244,609$ 6,993,091$

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, in compliance with its workers ’ compensation obligations, has a self-insurance workers’ compensation program. To administer City’s workers’ compensation program, the City requires a qualified workers’ compensation claims man agement service company (common ly called "Third Party Administrators" or "TPA") to supervise and administer the workers’ compensation claims made upon the City'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, 2023.

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, 2022, 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.
96 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 11 – Self-Insurance Accrued Liabilities (Continued)

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:

Year Ended
June 30,
Beginning
Balance
Claims and
Changes in
Estimates Claims Payments Ending Balance
2020 24,237,293$ 4,472,938 $ (4,024,895) $ 24,685,336 $ 2021 24,685,336 11,304,276 (4,981,945) 31,007,667 2022 31,007,667 4,790,376 (4,565,636) 31,232,407

The City determines that $4,000,000 of the $31,232,407 to be short term. The liabilities for claims and judgments are typically liquidated from the General Fund.

Note 12 – Leases

A. Lease Receivable and Deferred Inflows of Resources

430 F Street Lease

On July 1, 2021, the City entered into a 24-month lease as Less or for the use of office space on 430 F Street. An initial lease receivable was recorded in the amount of $116,640. As of June 30, 2022, the value of the lease receivable is $58,3 20. The lessee is required to m ake monthly fixed payments of $4,860. The lease has an interest rate of 0.0000%. The office space estimated use f u l l i f e w a s 2 4 m o n t h s a s o f t h e c o n t r a c t commencement. The value of the deferred inflow of resources as of June 30, 2022 was $58,320, and the City recognized lease revenue of $58, 320 during the fiscal year. The lessee has 2 extension options, each for 180 months.

B. Lease Payable

PNC Equipment Lease

On July 1, 2021, the City entered into a 53-month lease as Lessee for the use of two 2016 Pierce Arrow XT Triple Combination Pumper apparatuses. An initial lease liability was recorded in the amount of $706,653. As of June 30, 2022, the value of the lease liability is $576,640. The City is required to make annual fixed payments of $152,189. The lease has an interest rate of 3.2000%. The appara tuses estimated useful life was 84 months as of the contract commencement. The value of the right-to-use asset as of June 30, 2022 of $706,653 with accumulated amortization of $100,950 is included with right-of-use leased equipment in Note 7A table for the governmental activities. The City has the option to purchase the apparatuses for $579,897.

Mail Folding Machine Lease

On July 1, 2021, the City entered into a 18-month lease as Less ee for the use of a Mail Folding Machine. An initial lease liability was recorded in the amount of $10,700. As of June 30, 2022, the value of the lease liability is $3,782. The City is required to make quarterly fixed payment s of $1,786. The lease has an interest rate of

0.2630%. The machine estimated useful life was 24 months as of the contract commencement. The value of the right-to-use asset as of June 30, 2022 of $10,700 with accumula ted amortization of $5,350 is included with right-of-use leased equipment in Note 7A table for the governme ntal activities and business-type activities for 50% each. The City has the option to purchase the machine for $1 (one dollar). 97 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 12 – Leases (Continued)

B. Lease Payable (Continued)

Forensic Technology – IBIS Subscription Lease PD

On December 21, 2021, the City e ntered into a 12-month lease as Lessee for the use of IBIS Subscription. An initial lease liability was recorded in the amount of $49,000. As of June 30, 2022, the value of the lease liability is $0. The City is required to make annual fixed payments of $49,000. The lease has an interest rate of 0.3320%.

The subscription estimated useful life was 12 months as of the contract commencement. The value of the right to use asset as of June 30, 2022 of $49,000.00 with accumulated am ortization of $28,583 is included with right-to-use leased equipment in Note 7A table for the governmental activities. The City has one extension option for 84 months.

Key Government Financial Inc. – NIC Lease

On July 1, 2021, the City entered into a 29-month lease as Lessee for the use of IT networking equipment, software and licensing package. An initial lease liability was recorded in the amount of $47,442. As of June 30, 2022, the value of the lease liability is $25,257. The City is required to make annual fixed payments of $25,382. The lease has an interest rate of 6.7500%. The leased IT package estimate d useful life was 24 months as of the contract commencement. The value of the right-to-use asset as of June 30, 2022 of $47,442 with accumulated amortization of $23,721 is included with right-to-use leased equipment in No te 7A table for the governmental activities. The City has the option to purchase the package for $1 (one dollar).

Dell MDC Lease

On July 1, 2021, the City entered into a 27-month lease as Less ee for the use of Dell Latitude 5420 computers.

An initial lease liability was recorded in the amount of $163,9 36. As of June 30, 2022, the value of the lease liability is $90,475. The City is required to make annual fixed payments of $82,389. The lease has an interest rate of 0.5140%. The computers estimated useful life was 24 months as of the contract commencement. The value of the right-to-use asset as of June 30, 2022 of $163,936 with accumulated amortization of $81,968 is included with right-to-use leased equipment in Note 7A table for the governmental activities. The City has the option to purchase the computers for $1 (one dollar).

Velosimo Inc. Software Integration Platform Lease

On July 1, 2021, the City entered into a 52-month lease as Less ee for the use of Velosimo Software Integration Platform. An initial lease liability was recorded in the amount of $224,226. As of June 30, 2022, the value of the lease liability is $182,726. The City is required to make annua l fixed payments of $41,500. Additionally, there are annual other reasonably certain payments of $12,000. The lease has an interest rate of 0.0000%. The software integration platform estimated useful life was 60 months as of the contract commencement. The value of the right-to-use asset as of June 30, 2022 of $224,226 with accumul ated amortization of $44 ,845 is included with right-to-use leased equipment in Note 7A table for the business-type activities. The City has 4 extension options, each for 12 months.

The following is a summary of changes in leases of the City for the year ended June 30, 2022:

Additions Deletions
923,381$ 49,000$ 278,119$ 694,262$ 239,159$ Additions Deletions
229,576$ -$ 44,959$ 184,617$ 43,391 $ Beginning Balance Ending Balance
Due in
One Year
Governmental Activities
Business-Type Activities
Beginning Balance Ending Balance
Due in
One Year

98 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 12 – Leases (Continued)

B. Lease Payable (Continued)

Future principal and interest requirements to maturity for the combined capital lease liability as of June 30, 2022 are as follows:

Year ending
June 30, Principal Interest Total Payments
2023 239,159$ -$ 239,159$ 2024 138,466 - 138,466 2025 142,897 - 142,897 2026 121,653 - 121,653 2027 52,087 - 52,087 Total 694,262$ -$ 694,262$ Year ending
June 30, Principal Interest Total Payments
2023 43,391$ -$ 43,391$ 2024 56,820 - 56,820 2025 84,406 - 84,406 2026 - - - 2027 - - - Total 184,617$ -$ 184,617$ Future Principal and Interest Requirements
Governmental Activities
Business-Type Activities

Note 13 – 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.

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 ye ars 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.

99 CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 13 – Pension Plans (Continued)

A. California Public Employees’ Retirement Plans (Continued)

The Plan’s provisions and benefits in effect at June 30, 2022, 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
eligible 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%

*Closed to new entrants

100

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 13 – Pension Plans (Continued)

A. California Public Employees’ Retirement 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%

Employees Covered

At June 30, 2022, the following employees were covered by the benefit terms of the plans:

Miscellaneous Plan
Inactive employees or beneficiaries currently receiving benefit s8 9 4 Inactive employees entitled to but not yet receiving benefits 709 Active em ployees 618
Total 2,221
Safety Plan
Inactive employees or beneficiaries currently receiving benefit s3 8 8 Inactive employees entitled to but not yet receiving benefits 122 Active em ployees 364
Total 874

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. $205,182,523 and $183,166,596 of contributions for the Miscella neous and Safety Plan respectively, were recognized as a reduction to the net pension liability for fiscal year ending June 30, 2022.

101

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 13 – Pension Plans (Continued)

A. California Public Employees’ Retirement Plans (Continued)

Actuarial Methods and Assumptions Used to Determine Total Pension Liability

The June 30, 2020, valuation was rolled forward to determine the June 30, 2021, total pension liability, based on the following actuarial methods and assumptions:

Actuarial Cost Method Entry Age Normal in accordance with the requirements of GASB 68 Actuarial Assumptions
Discount Rate 7.15%
Inflation 2.50%
Salary Increases Varies by Entry Age and Service
Mortality Rate Table
1 Derived using CalPERS' membership data for all funds
Post Retirement Benefit Increase
1 The mortality table was developed based on CalPERS-specific data. The probabilities of mortality are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015. Pre-retirement and post-retirement mortality rates include 15 years of projected mortality improvement using 90% of Scale MP-2016 published by the Society of Actuaries. For more details on this table, please refer to the CalPERS Experience Study and Rev iew of Actuarial Assumptions report from December 2017 that can be found on the CalPERS website.

The lesser of contract COLA or 2.50% until Purchasing Power Protection Allowance floor on purchasing power applies, 2.50% thereafter

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 nomin al 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
As s et Real Return Real Return
Asset Class
1 Allocation Y ears 1-10
2 Y ears 11+
3 Global 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 Income is included in G lobal Debt Securities; Liquidity is included in Short-term Investments; Inflation As s ets are included in Global Equity Securities and G lobal Debt Securities.
2 An expected inflation rate of 2.00% is used for this period. 3 An expected inflation rate of 2.92% is used for this period. 102

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 13 – Pension Plans (Continued)

A. California Public Employees’ Retirement 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.

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 amounts Straight-line amortization over the ex pected average remaining service lifetime (EARSL) of all members that are provided with benefits (active, inactive, and retired) at the beginning of the m easurem ent period. (2.6 years for Miscellaneous and 5.3 years for Safety)

103

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 13 – Pension Plans (Continued)

A. California Public Employees’ Retirement 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 Position Liability
(a) (b) (c) = (a) - (b)
Miscellaneous Plan:

Balance at: 06/30/2020 594,619,949$ 406,018,917$ 188,601,032$ (Valuation Date)
Changes Recognized for the
Measurement Period:

Service Cost 9,145,103 - 9,145,103 Interest on Total Pension Liability 41,542,929 - 41,542,929 Differences Between Expected and
Actual Experience (3,234,587) - (3,234,587) Contributions - Employer - 205,182,523 (205,182,523) Contributions - Employees - 3,856,589 (3,856,589) Net Investment Income - 106,512,033 (106,512,033) Benefit Payments, Including Refunds of
Employee Contributions (29,875,845) (29,875,845) - Administrative Expense - (405,588) 405,588 Net Changes During 2020-21 17,577,600 285,269,712 (267,692,112) Balance at: 06/30/2021 612,197,549 691,288,629 (79,091,080) (Measurement Date)
Safety Plan:

Balance at: 06/30/2020 569,995,185 406,631,023 163,364,162 (Valuation Date)
Changes Recognized for the
Measurement Period:

Service Cost 13,253,770 - 13,253,770 Interest on Total Pension Liability 39,881,546 - 39,881,546 Differences Between Expected and
Actual Experience (6,175,468) - (6,175,468) Contributions - Employer - 183,166,596 (183,166,596) Contributions - Employees - 4,884,978 (4,884,978) Net Investment Income - 104,361,444 (104,361,444) Benefit Payments, Including Refunds of
Employee Contributions (25,325,483) (25,325,483) - Administrative Expense - (406,200) 406,200 Net Changes During 2020-21 21,634,365 266,681,335 (245,046,970) Balance at: 06/30/2021 591,629,550 673,312,358 (81,682,808) (Measurement Date)
Total - All Plans 1,203,827,099$ 1,364,600,987$ (160,773,888)$ 104

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 13 – Pension Plans (Continued)

A. California Public Employees’ Retirement 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 (1,114,621)$ (79,091,080)$ (143,818,601)$ Safety Plan 1,142,182 (81,682,808) (149,470,822) TOTAL 27,561$ (160,773,888)$ (293,289,423)$

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, 2022, the City recognized pension r evenue of $4,524,017 and incurred pension expense of $2,119,647 for the Miscellaneous and Safety Plans, respectively. At June 30, 2022, the City 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 3,590,926$ -$ Differences Between Ex pected and Actual Ex perience 664,434 1,990,515 Net Difference Between Projected and Actual Earnings on Pension Plan Investm ents - 52,223,368 Subtotal - Miscellaneous Plan 4,255,360 54,213,883 Safety Plan
Contributions Subsequent to Measurem ent Date 11,120,663 - Changes of Assum ptions - 352,090 Differences Between Ex pected and Actual Ex perience 1,887,946 7,298,590 Net Difference Between Projected and Actual Earnings on Pension Plan Investm ents - 50,697,545 Subtotal - Safety Plan 13,008,609 58,348,225 Total - All Plans 17,263,969$ 112,562,108$
105

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 13 – Pension Plans (Continued)

A. California Public Employees’ Retirement Plans (Continued)

The $3,950,926 and $11,120,663 for the Miscellaneous and Safety 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, 2023. Other amounts reported as deferred outflows or deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Fiscal Years
Ending June 30, Miscellaneous Safety Total
2023 (13,790,581)$ (14,108,892) $ (27,899,473) $
2024 (12,943,270) (12,858,378) (25,801,648)
2025 (12,588,606) (14,079,942) (26,668,548)
2026 (14,226,992) (15,063,514) (29,290,506)
2027 - (349,553) (349,553) 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, 2022, the City’s total hourly payroll (for eligible PARS members) and covered payroll was $2,758,481. The City made employer contributions of $103,44 3 (3.75% of current covered payroll), and employees contributed $103,443 (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 $20,500 (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, 2022, the balance in the plan was $113,202,058.

Note 14 – 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.

106

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 14 – Post Retirement Health Benefits (Continued)

A. Defined Benefit Other-Post Employment Benefits Plan (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 blended 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, 2021 (the census date), the benefit terms covered the following employees:

Active 444
Inactive employees or beneficiaries currently receiving benefits 367 Inactive employees entitled to, but not yet receiving benefits - 811

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 come due.

Contribution Rate: Benefits due
Reporting period contributions: $1,293,716 (includes implicit su bsidy credit)

Total OPEB Liability

The City's total OPEB liability was valued as of June 30, 2021 and was used to calculate the total OPEB liability measured as of June 30, 2022.

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 6/30/2022
Discount Rate 3.69%
Inflation 9.25%
Health Cost Trend Rates
Pre-Medicare 7.00%
Medicare 4.80%
Salary Increases 2.75% **
Mortality Rates Based on CalPERS tables.
** Additional merit-based increases based on CalPERS
merit salary increase tables.
107

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 14 – Post Retirement Health Benefits (Continued)

A. Defined Benefit Other-Post Employment Benefits Plan (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 3.69%. 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, 2021 26,787,344 $
Changes recognized over the measurement period:

Service Cost 1,647,777
Interest 533,534
Differences between actual and expected experience 2,804,304 Changes of assumptions (3,029,111)
Implicit rate subsidy fulfilled (1,293,716)
Net Changes 662,788
Balance at June 30, 2022 27,450,132$

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 calculated 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

2.69% 3.69% 4.69%
Total OPEB Liability 29,246,271$ 27,450,132 $ 25,739,115 $ Increase (Decrease) 1,796,139 (1,711,017)
% Change 6.5% -6.2%

108

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 14 – Post Retirement Health Benefits (Continued)

A. Defined Benefit Other-Post Employment Benefits Plan (Continued)

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

For the report year ended June 30, 2022, the City recognized an OPEB expense of $3,715,657. 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 5,929,056$ -$
Differences Between Expected and Actual Experience 2,131,458 (3,028,096) Total 8,060,514$ (3,028,096)$

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

Fiscal Years
Ending June 30,
Deferred
Outflows/(Inflows)
of Resources
2023 1,534,346$
2024 1,531,624
2025 1,499,859
2026 644,047
2027 46,893
Remaining (224,351)

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 the average of the expected remaining service lives of all employees that are provided with benefits through the OPEB plan (active employees and inactive employees), beginning in the curr ent period. The expected avera ge 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 H ealth Plan (PEHP). This plan is administered through a third-party administrator. PEHP is a tax-exempt Voluntary Employee’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 mandatory eligible employee contr ibutions. Depending on the bargaining unit and its respective plan agreements, these mandatory contributions can be unused vacation and/or compensatory time off due to the employee at t he time of retirement. At June 30, 2022, the balance of the assets held by the trustee for this plan was $1,231,276.

109

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 15 – 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
Bike Lane Improv Broadway Ph I Bike Lanes on Broadway 3,5 68,000$ 3,018,636 $ 549,364 $ Traffic Sig Sys-Fiber Network 3,200,000 1,751,218 1,448,782 Major Pav ement Rehab FY17/18 Bonita Rd & Allen School Lane 3,010,780 2,622,890 387,890 Loma Verde Quatic and Rec Ph I 12,812,639 8,329,869 4,482,770

Encumbrances

At June 30, 2022, there were encumbrances of $30,233,178 in the General Fund, $6,482,579 in the Sundry Grants Fund, $10,620 in the Housing Successor Agency, $1,298,162 in the Development Impact Fee Fund, $3,079,840 in the Sewer Fund, $635,301 in the Development Services Fund, and $4,420,181 in the non-major funds.

City Loan to Successor Agency

The General Fund has loaned a cumulative amount of $9,095,666 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 expenditures and possible future debt issuance.

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. 110

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 16 – Restatements of Fund Balance and Net Position

A. Statement of Activities

For the fiscal year ended June 30, 2022, the Government-Wide St atement of Activities reported the following adjustments to beginning net position:

Governmental Business-Type
Activities Activities Total
Beginning Net Position, as Originally Reported 1,165,779,357$ 424,978,653 $ 1,590,758,010 $ Restatements:

General Fund
1 3,590,483 - 3,590,483 Other Governmental Funds
2 52,316 - 52,316 Sewer Fund
3 - 2,388,241 2,388,241 Other Enterprise Funds
4 - 1,076,726 1,076,726 Total Restatements 3,642,799 3,464,967 7,107,766 Beginning Net Position, as Restated 1,169,422,156 $ 428,443,620 $ 1,597,865,776 $ Government-Wide Statements

1. The restatement to the General Fund of $3,590,483 was a combination of a $3,758,498 increase to properly reflect previously set aside contributions to the C hula Vista Bayfront Facilities Financing Authority that was offset by a decrease of $168,015 due to a liability that was included in fund balance.

2. The $52,316 restatement to the Storm Drain Fund is due to manag ement review of an external billing system in anticipation of transferring billing into the existing ERP system. Upon review, receivables were identified that had been omitted from the prior year’s financial statements.

3. The $2,388,241 restatement to the Sewer Fund was due to managem ent review of an external billing system in anticipation of transferring billing into the existing ERP system. Upon review, receivables were identified that had been omitted from the prior year’s financial statements.

4. The $1,076,726 restatement to Other Enterprise Funds was primarily due to the movement of golf course capital assets previously reported as part of government al activities to the Chula Vista Muni Golf nonmajor fund in the amount of $625,674. The remainin g restatement was to reflect the activity performed by the Operator of the Golf Course that was omitted from the prior year’s financial statements.

B. Statement of Changes in Fiduciary Net Position

For the fiscal year ended June 30, 2022, the City restated the beginning net position of the Custodial Funds by $134,757,914. This prior period adjustment w as made to correct the implementation of GASB Statement No. 84, done during the prior year. Interpretation of GASB Statement No. 84, was ambiguous regarding the treatment of conduit debts for which the City ope rates as the custodian of the collections for and payments of those debts through the Custodial Funds. Further cl arifications received from the GASB Board subsequent to the issuance of the prior year’s financial statem ents resulted in the removal of the conduit debts from the Custodial Funds. The amount of restatement related to GASB Statement No. 84 is $138,516,412. In addition, the City restated the beginning net position of the C ustodial Funds in the amount of ($3,758,498) to properly reflect contributions to the Bayfront Financing Authority in previous years.

111

CITY OF CHULA VISTA

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

Note 17 – Change in Accounting Estimate

The Annual Comprehensive Financi al Report (ACFR) for Fiscal Yea r Ended June 30, 2021, utilized the GASB 68 allocation as the basis for allocating the liability associated with the 2021 Taxable Pension Obligation Bonds (POB).

Using this method, the governmental activities portion of the POB was $311,272,128. Upon subsequent review, it was determined that this methodology over-allocated the liability t o the City’s Proprietary Funds due to the use of the ACFR functional categories. The City has evaluated the methodologies for allocating the POB liability and has revised its allocation of the liability. The revised methodology is bas ed on the average of Fisca l Years 2019-2021 actual Normal Cost in the City’s payroll system, as a proxy for covered payroll. This revision results in a more representative allocation of the liability between the governmental activities and business-type activities. This change increases the governmental activities POB liability by $11,310,035 to $322,58 2,162 and a decrease to the business-type activities POB liability by $11,310,035 to $27,442,838 as of July 1, 2021.

112

REQUIRED SUPPLEMENTARY

INFORMATION
113

114

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE

GENERAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1, as restated 121,819,781$ 121,819,781 $ 121,819,781 $ -$ Resources (Inflows):

Taxes 177,453,697 190,081,449 201,184,068 11,102,619
Licenses and permits 1,780,159 1,780,159 1,962,967 182,808 Intergovernmental 3,963,699 3,969,762 2,512,219 (1,457,543) Charges for services 15,843,051 16,960,789 16,247,055 (713,734) Use of money and property 3,312,678 3,598,078 (958,477) (4,556,555) Fines and forfeitures 1,015,830 1,078,926 1,040,182 (38,744) Developer participation 1,582,377 1,806,844 1,497,608 (309,236) Miscellaneous 2,144,461 5,009,007 6,490,615 1,481,608
Transfers in 16,125,352 21,813,377 16,696,969 (5,116,408) Issuance of debt - 3,426,935 3,426,935 -
Amounts Available for Appropriations 345,041,085 371,345,107 371,9 19,922 574,815 Charges to Appropriations (Outflow):

Current:

General government:

City council 1,499,960 1,481,489 1,239,361 242,128
City clerk 1,207,668 1,433,791 1,426,232 7,559
City attorney 3,047,072 2,752,403 2,705,856 46,547
Administration 2,380,888 2,372,820 2,342,895 29,925
Information technology 3,469,962 3,659,848 3,527,993 131,855 Human resources 2,738,889 3,030,024 2,970,539 59,485
Finance 5,442,742 6,916,782 6,457,505 459,277
Non-departmental 6,999,867 20,480,767 20,272,760 208,007 Board and commissions 58,536 162,485 129,501 32,984
Public safety:

Police 62,258,613 60,597,958 59,268,544 1,329,414
Fire 36,868,490 40,374,621 38,987,178 1,387,443
Animal care facility 2,702,673 2,854,049 2,743,802 110,247 Community development:

Economic development 1,507,328 1,974,345 1,297,836 676,509 Development services 2,526,466 5,950,696 2,432,663 3,518,033 Parks and recreation 10,706,984 11,929,038 11,596,166 332,872 Public works:

Public works 11,620,605 11,761,378 11,689,164 72,214
Engineering 8,806,377 8,941,115 8,814,344 126,771
Library 3,485,140 3,281,981 3,090,928 191,053
Capital outlay 33,252,858 58,170,677 21,561,030 36,609,647 Debt service:

Principal retirement 7,331,901 1,146,901 1,129,627 17,274 Interest and fiscal charges 2,096,253 147,003 145,696 1,307 Transfers out 20,225,703 30,638,693 28,397,242 2,241,451 Total Charges to Appropriations 230,234,975 280,058,864 232,226,86 2 47,832,002 Budgetary Fund Balance, June 30 114,806,110$ 91,286,243$ 139,693,060 48,406,817$ Reconciliation of Budgetary Comparison Schedule to Statement of Revenues, Expenditures, and Changes in Fund Balance
Flexible Spending Account (FSA) Fund Balance, June 30 874,954 Fund Balance of General Fund, June 30 140,568,014$
The notes to required supplementary information are an integral part of this schedule. 115

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE

SUNDRY GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 8,746,706$ 8,746,706 $ 8,746,706 $ -$ Resources (Inflows):

Intergovernmental 12,471,511 80,074,411 48,999,427 (31,074,984) Charges for services 1,558,729 1,558,729 1,771,326 212,597 Use of money and property (investment loss) 113,000 113,000 (1,185,432) (1,298,432) Miscellaneous 212,059 212,059 922,697 710,638
Transfers in 63,959 628,765 467,456 (161,309)
Amounts Available for Appropriations 23,165,964 91,333,670 59,722,180 (31,611,490) Charges to Appropriations (Outflow):

Current:

General government:

Finance - 4,995,482 1,699,529 3,295,953
Public safety:

Police 8,737,741 10,074,622 7,375,837 2,698,785
Fire 177,138 627,024 610,633 16,391
Animal care facility - 61,120 20,228 40,892
Community development:

Economic development 2,821,145 6,314,560 2,058,547 4,256,013 Development services 2,573,749 51,091,660 38,328,532 12,763,128 Public works:

Public works - 1,600,000 - 1,600,000
Library - 66,337 24,935 41,402
Capital outlay 1,589,640 26,304,909 1,369,964 24,934,945 Transfers out 2,895,699 16,546,856 4,683,394 11,863,462 Total Charges to Appropriations 18,795,112 117,682,570 56,171,599 61,510,971 Budgetary Fund Balance, June 30 4,370,852$ (26,348,900)$ 3,550,581$ 29,899,481$ The notes to required supplementary information are an integral part of this schedule. 116

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

HOUSING SUCCESSOR AGENCY
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property 215,000$ 215,000 $ (176,312) $ (391,312)$ Other revenues 249,000 255,000 138,420 (116,580)
Total Revenues 464,000 470,000 (37,892) (507,892)
Expenditures:

Current:

City administration 72,669 2,072,401 7,227 2,065,174
Total Expenditures 72,669 2,072,401 7,227 2,065,174
Excess (Deficiency) of Revenues
Over (Under) Expenditures 391,331 (1,602,401) (45,119) 1,557,282 Other Financing Sources (Uses):

Transfers out (2,000,000) (6,269) (6,269) -
Total Other Financing Sources (Uses) (2,000,000) (6,269) (6,269) - Net Change in Fund Balances (1,608,669)$ (1,608,670)$ (51,388) 1,557,282$ Fund Balances - Beginning 13,120,183
Fund Balances - Ending 13,068,795$
The notes to required supplementary information are an integral part of this schedule. 117

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 2017 2018
Measurement Date 6/30/2014 6/30/2015 6/30/2016 6/30/2017

TOTAL PENSION LIABILITY
Service Cost 8,696,183$ 8,570,421$ 8,451,918$ 9,370,865$ Interest 32,359,841 34, 103,210 35, 618,575 36,639,997 Difference Between expected and Actual Experience - 925,960 (2, 524,995) (6,331,454) Changes in Assumptions - (8, 500,698) - 30,693,812 Benefit Payments, Including Refunds of employee Contributions (18,639,387) (19, 539,333) (21, 022,078) (23,072,106) Net Change in Total Pension Liability 22,416,637 15, 559,560 20, 523,420 47,301,114 Total Pension Liability - Beginning 436,436,153 458,852,790 474,412,350 494,935,770 Total Pension Liability - Ending (a) 458,852,790 474,412,350 494,935,770 542,236,884

PLAN FIDUCIARY NET POSITION
Contribution - Employer 9,134,182 13,499,144 12,461,946 13,663,149 Contribution - Employee 4,555,300 3,679,749 3,764,641 3,536,418 Plan to Plan Resource Movement - 5,268 - - Net Investment Income 48,303,496 7, 195,063 1, 747,676 36,763,992 Benefit Payments, Including Refunds of Employee Contributions (18,639,387) (19, 539,333) (21, 022,078) (23,072,106) Administrative Expense - ( 368,694) ( 199,512) (478,539) Other Miscellaneous Income/(Expense) - - - - Net Change in Fiduciary Net Position 43,353,591 4, 471,197 (3, 247,327) 30,412,914 Plan Fiduciary Net Position - Beginning 279,540,671 322,894,262 327,365,459 324,118,132 Plan Fiduciary Net Position - Ending (b) 322,894,262 327,365,459 324,118,132 354,531,046 Plan Net Pension Liability/(Assets) - Ending (a) - (b) 135,958,528$ 147,046,891$ 170,817,638$ 187,705,838$

70.37% 69.00% 65.49% 65.38%
Covered Payroll 42,760,249$ 44,135,521$ 45,990,463$ 44,435,640$ 317.96% 333.17% 371.42% 422.42%
Notes to Schedule of Changes in Net Pension Liability and Relat ed Ratios:

Plan Fiduciary Net Position as a Percentage of the Total Pension Liability Plan Net Pension Liability/(Asset) as a Percentage of Covered Payroll 1 Fiscal Year 2015 was the first year of implementation; therefore, only eight years are shown.

Changes of Assumptions: None in 2021 or 2022. 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.

Benefit Changes: The figures above do not include any liability impact that may have resulted from plan changes which occurred after the June 30, 2020 valuation date. This applies for voluntary benefit changes as well as any offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes).

The notes to required supplementary information are an integral part of this schedule. 118
2019 2020 2021 2022
6/30/2018 6/30/2019 6/30/2020 6/30/2021
9,048,165$ 8,696,267$ 8,953,165$ 9,145,103$ 37,305,907 38,721,727 40,325,600 41,542,929 (8,223,685) (413,302) 2,562,816 (3,234,587) (4,314,060) - - - (24,924,595) (27,001,672) (28,353,268) (29,875,845) 8,891,732 20,003,020 23,488,313 17,577,600 542,236,884 551,128,616 571,131,636 594,619,949 551,128,616 571,131,636 594,619,949 612,197,549 14,479,069 16,244,599 18,211,675 205,182,523 3,603,297 3,592,996 3,800,444 3,856,589 (874) - - - 30,032,849 24,600,973 19,625,933 106,512,033 (24,924,595) (27,001,672) (28,353,268) (29,875,845) (552,457) (268,407) (554,440) (405,588) (1,049,125) 874 - - 21,588,164 17,169,363 12,730,344 285,269,712 354,531,046 376,119,210 393,288,573 406,018,917 376,119,210 393,288,573 406,018,917 691,288,629 175,009,406$ 177,843,063$ 188,601,032$ (79,091,080)$

68.25% 68.86% 68.28% 112.92%
44,578,340$ 45,798,549$ 47,627,626$ 48,617,605$ 392.59% 388.32% 395.99% -162.68%
The notes to required supplementary information are an integral part of this schedule. 119

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 2017 2018
Measurement Date 6/30/2014 6/30/2015 6/30/2016 6/30/2017

TOTAL PENSION LIABILITY
Service Cost 10,220,233$ 9,646,806 $ 9,971,492 $ 11,594,959$ Interest 28,334,465 29,979,452 31,658,073 33,213,616 Difference Between expected and Actual Experience - 460,215 768,421 (1,210,352) Changes in Assumptions - (7,813,969) - 29,393,364 Benefit Payments, Including Refunds of employee Contributions (15,869,862) (17,767,853) (19,460,670) (20,397,814) Net Change in Total Pension Liability 22,684,836 14,504,651 22,937,316 52,593,773 Total Pension Liability - Beginning 380,617,699 403,302,535 417,807,186 440,744,502 Total Pension Liability - Ending (a) 403,302,535 417,807,186 440,744,502 493,338,275

PLAN FIDUCIARY NET POSITION
Contribution - Employer 11,684,174 7,555,357 10,971,712 11,670,017 Contribution - Employee 3,157,921 3,230,989 3,420,273 3,620,014 Plan to Plan Resource Movement 47,649,285 6,999,744 1,664,170 35,554,749 Net Investment Income (15,869,862) (17,767,853) (19,460,670) (20,397,814) Benefit Payments, Including Refunds of Employee Contributions - (359,830) (194,899) (466,842) Administrative Expense - - - - Other Miscellaneous Income/(Expense) - - - - Net Change in Fiduciary Net Position 46,621,518 (341,593) (3,599,414) 29,980,124 Plan Fiduciary Net Position - Beginning 273,515,399 320,136,917 319,795,324 316,195,910 Plan Fiduciary Net Position - Ending (b) 320,136,917 319,795,324 316,195,910 346,176,034 Plan Net Pension Liability/(Assets) - Ending (a) - (b) 83,165,618$ 98,011,862 $ 124,548,592 $ 147,162,241$

79.38% 76.54% 71.74% 70.17%
Covered Payroll 34,243,101$ 34,117,846 $ 37,174,663 $ 37,817,316$ 242.87% 287.27% 335.04% 389.14%
Notes to Schedule of Changes in Net Pension Liability and Related Ratios:
1 Fiscal Year 2015 was the first year of implementation; therefore, only eight 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 Changes of Assumptions: None in 2020 or 2021. In 2019, demographic assumptions and inf lation 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 redu ced 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 discoun t rate.

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).

The notes to required supplementary information are an integral part of this schedule. 120
2019 2020 2021 2022
6/30/2018 6/30/2019 6/30/2020 6/30/2021
12,044,725$ 12,267,031$ 12,575,630$ 13,253,770$ 34,751,830 36,853,969 38,422,153 39,881,546 (307,813) 4,868,911 (3,779,764) (6,175,468) (2,112,530) - - - (21,801,437) (22,950,693) (24,175,102) (25,325,483) 22,574,775 31,039,218 23,042,917 21,634,365 493,338,275 515,913,050 546,952,268 569,995,185 515,913,050 546,952,268 569,995,185 591,629,550 13,529,290 15,445,861 17,861,917 183,166,596 3,804,814 3,966,723 4,257,612 4,884,978 29,258,121 24,248,349 19,386,578 - (21,801,437) (22,950,693) (24,175,102) 104,361,444 (539,438) (263,613) (549,592) (25,325,483) (858) - - (406,200) (1,024,401) 858 - - 23,226,091 20,447,485 16,781,413 266,681,335 346,176,034 369,402,125 389,849,610 406,631,023 369,402,125 389,849,610 406,631,023 673,312,358 146,510,925$ 157,102,658$ 163,364,162$ (81,682,808)$

71.60% 71.28% 71.34% 113.81%
39,384,099$ 40,374,060$ 37,732,745$ 39,655,225$ 372.01% 389.12% 432.95% -205.98%
The notes to required supplementary information are an integral part of this schedule. 121

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% 2022 3,590,926 3,590,926 - 55,375,215 6.48%
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% 2022 11,120,663 11,120,663 - 47,183,733 23.57%
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. 122

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 2022

TOTAL OPEB LIABILITY
Service cost 825,786$ 819,100$ 921,271$ 1,468,936 $ 1,647,777$ Interest on the total OPEB liability 495,822 549,699 516,371 636,356 533,534 Difference between expected and actual experience 4,128 - 5,786,481 - 2,804,304 Change of assumptions 183,361 504,190 2,640,687 751,555 (3,029,111) Implicit rate subsidy fulfilled (536,155) (634,315) (724,009) (1,148,517) (1,293,716) Net change in total OPEB liability 972,942 1,238,674 9,140,801 1,708,330 662,788 Total OPEB Liability - Beginning 13,726,597 14,699,539 15,938,213 25,079,014 26,787,344 Total OPEB Liability - Ending 14,699,539$ 15,938,213$ 25,079,014$ 26,787,344$ 27,450,132$ Plan fiduciary net position as a percentage of the total OPEB liability 2 0.00% 0.00% 0.00% 0.00% 0.00% Covered-employee payroll 53,738,469$ 55,216,277 $ 56,734,725$ 58,294,930$ 42,628,588$ Total OPEB liability as a percentage of covered-employee payroll 27.35% 28.87% 44.20% 45.95% 64.39% 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 forwhich 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.

The notes to required supplementary information are an integral part of this schedule. 123
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126

SUPPLEMENTARY INFORMATION
127

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2022
ASSETS
Cash and investments 17,186,374$ 1,439,106 $- $ 2,202,264$ 233,301$ Receivables:

Accounts - 20,407 1,627 152,070 -
Taxes 1,484,896 - - - -
Accrued interest 73,827 6,184 1,081 9,300 844
Deferred loans (net of allowance for uncollectibles) - - - - - Due from other governments ---- -
Prepaid costs ---- -
Restricted assets:

Cash and investments with fiscal agents - - - - -
Total Assets 18,745,097$ 1,465,697$ 2,708$ 2,363,634$ 234,145$

LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:

Liabilities:

Accounts payable 50,015$ 143,057$ 2,981$ 18,211$ -$
Retentions payable 3,574 - - - -
Accrued liabilities 9,266 - - - -
Deposits payable ---- -
Due to other funds - - 1,765 - -
Unearned revenues - - - - -
Total Liabilities 62,855 143,057 4,746 18,211 -
Deferred Inflows of Resources:

Unavailable revenues - - - 2,226 -
Total Deferred Inflows of Resources - - - 2,226 -
Fund Balances:

Nonspendable:

Prepaid costs ---- -
Restricted:

Community development projects 18,682,242 - - - -
Public safety - 1,322,640 - - -
Parks and recreation - - - - -
Capital projects - - - 2,343,197 234,145
Debt service ---- -
Unassigned (deficit) - - (2,038) - -
Total Fund Balances (Deficit) 18,682,242 1,322,640 (2,038) 2,343,19 7 234,145 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 18,745,097$ 1,465,697$ 2,708$ 2,363,634$ 234,145$ Special Revenue Funds
Transportation
Gas Taxes Parking Meter Traffic Safety Storm Drain Town Center I 128

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2022
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 (deficit)
Total Fund Balances (Deficit)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
46,168,627$ 156,257$ 5,945,001$ -$ 269,281$ 80,953 - 32,368 - 12
---- -
196,637 - 25,005 - -
- 417,541 3,846,315 - -
- 20,007 - 182,099 -
11,284 - - - -
---- -
46,457,501$ 593,805$ 9,848,689$ 182,099$ 269,293$ 1,870,752$ 315 $ 47,768 $ 141,946$ 2,799$ 169,497 - - 24,434 -
- - 30,603 96 -
---- -
- - - 331,248 -
---- 17,582
2,040,249 315 78,371 497,724 20,381
- 437,548 3,877,016 182,099 12
- 437,548 3,877,016 182,099 12
11,284 - - - -
- 155,942 5,893,302 - -
---- -
---- 248,900
44,405,968 - - - -
---- -
- - - (497,724) -
44,417,252 155,942 5,893,302 (497,724) 248,900
46,457,501$ 593,805$ 9,848,689$ 182,099$ 269,293$ Special Revenue Funds
Mobile Park Fee
Open Space
Districts
Housing
Programs
Housing
Authority
Transportation
Sales Tax
129

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2022
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 (deficit)
Total Fund Balances (Deficit)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
877,521$ 101,101$ 378,374$ 1,466,249$ 918,000$ 160,934$ 114,416 - - - - -
----- -
- 425 1,590 6,173 - -
----- -
485,140 - - - - -
----- -
----- -
1,477,077$ 101,526$ 379,964$ 1, 472,422$ 918,000$ 160,934$ 60,517$ -$ - $ 44,563$ -$ -$ - - - 4,951 - -
----- -
- - - 1,422,908 - -
----- -
----- -
60,517 - - 1,472,422 - -
485,140 - - - - -
485,140 - - - - -
----- -
931,420 - 379,964 - 918,000 -
----- 160,934
----- -
- 101,526 - - - -
----- -
----- -
931,420 101,526 379,964 - 918,000 160,934
1,477,077$ 101,526$ 379,964$ 1, 472,422$ 918,000$ 160,934$ Developer
Contributions Donations
Special Revenue Funds
Special Revenue
Endowments
Utility Tax
Settlement
Public Education
and Govt Fee
V2 Pub Benefit
Contribution
130

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2022
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 (deficit)
Total Fund Balances (Deficit)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
43,370,112$ -$ 959 $ - $ 54$ 1,095,759$ ----- -
----- -
182,302 - 4 - - 4,603
2,837,671 - - - - -
----- -
----- -
----- -
46,390,085$ -$ 963$ -$ 54$ 1,100,362$ -$ -$ - $ - $ -$ -$ ----- -
----- -
----- -
- 826,536 - 4,460 - -
----- -
- 826,536 - 4,460 - -
3,197,452 - - - - -
3,197,452 - - - - -
----- -
----- -
- - 963 - - -
43,192,633 - - - - -
---- 5 4 1,100,362
----- -
- (826,536) - (4,460) - -
43,192,633 (826,536) 963 (4,460) 54 1,100,362
46,390,085$ -$ 963$ -$ 54$ 1,100,362$ Capital Projects Funds
Highway Safety Bicycle Facility
Industrial
Development
Authority
Assessment
District
Improvement
Park Acquisition
Development
Residential
Construction Tax
131

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2022
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 (deficit)
Total Fund Balances (Deficit)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
104$ -$ 1,513,724$ 632 $ 40,127$ 97,602$ ----- -
----- -
- - 15,074 - - 212
----- -
- 347,891 - - - -
- - - 472,803 - -
- - 3,863,164 697 - -
104$ 347,891$ 5, 391,962$ 474,132$ 40,127 $ 97,814 $ -$ 30,500$ 57,326 $ - $ - $ -$ - - 2,088 - - -
----- -
----- -
- 644,629 - - - -
----- -
- 675,129 59,414 - - -
- 319,270 - - - -
- 319,270 - - - -
- - - 472,803 - -
----- -
104 - - - - -
----- -
----- -
- - 5,332,548 1,329 40,127 97,814
- (646,508) - - - -
104 (646,508) 5,332,548 474,132 40,127 97,814
104$ 347,891$ 5, 391,962$ 474,132$ 40,127 $ 97,814 $ Debt Service Funds
Lease Payable Notes Payable
Transportation
Partnership
City Debt
Service
Other
Transportation
Program
Capital Projects Funds
Capital Projects
Fund
132

CITY OF CHULA VISTA

COMBINING BALANCE SHEET

NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2022
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 (deficit)
Total Fund Balances (Deficit)
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Total
Governmental
Funds
123,621,463$
401,853
1,484,896
523,261
7,101,527
1,035,137
484,087
3,863,861
138,516,085$
2,470,750$
204,544
39,965
1,422,908
1,808,638
17,582
5,964,387
8,500,763
8,500,763
484,087
26,960,870
1,484,641
43,441,533
48,185,252
5,471,818
(1,977,266)
124,050,935
138,516,085$
133

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

REVENUES
Taxes -$- $- $- $ -$
Intergovernmental 12,048,633 - - - -
Charges for services - - - 624,691 75,076
Use of money and property (investment loss) (431,783) 370,934 (10,540) (56,870) (5,454) Fines and forfeitures - 267,274 264,647 200 -
Developer participation ---- -
Miscellaneous ---- -
Total Revenues 11,616,850 638,208 254,107 568,021 69,622

EXPENDITURES
Current:

General government - 651,605 - - -
Public safety - - 34,446 - -
Community development ---- -
Public works 239,411 - - 151,996 44
Capital outlay 1,660,694 59,047 - - -
Debt service:

Principal retirement ---- -
Interest and fiscal charges ---- -
Total Expenditures 1,900,105 710,652 34,446 151,996 44
Excess (Deficiency) Revenues over Expenditures 9,716,745 (72,444) 219,661 416,025 69,578

OTHER FINANCING SOURCES (USES)
Transfers in 4,000 - 124,557 - -
Transfers out (4,092,971) (961) (399,140) - -
Issuance of debt ---- -
Total Other Financing Sources (Uses) (4,088,971) (961) (274,583) - - Net Change in Fund Balances 5,627,774 (73,405) (54,922) 416,025 69,578 Fund Balances (Deficit) - Beginning 13,054,468 1,396,045 52,884 1,874,856 164,567 Restatements - - - 52,316 -
Fund Balance (Deficit) - Beginning, as Restated 13,054,468 1,396,045 52,884 1,927,172 164,567 Fund Balances (Deficit) - Ending 18,682,242 $ 1,322,640 $ (2,038) $ 2,343,197 $ 234,145 $ Town Center I Storm Drain
Special Revenue Funds
Transportation
Gas Taxes Parking Meter Traffic Safety
134

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

REVENUES
Taxes
Intergovernmental
Charges for services
Use of money and property (investment loss)
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) Revenues over Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Issuance of debt
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances (Deficit) - Beginning
Restatements
Fund Balance (Deficit) - Beginning, as Restated
Fund Balances (Deficit) - Ending
(CONTINUED)
-$ - $ - $ - $ -$ - - - 3,921,799 -
19,080,180 - 59,956 - -
(1,295,764) - (173,907) 12,675 -
---- -
---- -
262,550 33,310 1,173,399 - 32,180
18,046,966 33,310 1,059,448 3,934,474 32,180
---- -
---- -
- 20,007 920,752 - 30,888
13,965,973 - - - -
- - - 2,839,348 -
---- -
---- -
13,965,973 20,007 920,752 2,839,348 30,888
4,080,993 13,303 138,696 1,095,126 1,292
281,034 - 15,000 - -
(258,531) - (368,934) - -
---- -
22,503 - (353,934) - -
4,103,496 13,303 (215,238) 1,095,126 1,292
40,313,756 142,639 6,108,540 (1,592,850) 247,608
---- -
40,313,756 142,639 6,108,540 (1,592,850) 247,608
44,417,252$ 155,942$ 5,893,302$ (497,724)$ 248,900$ Mobile Park Fee
Transportation
Sales Tax
Open Space
Districts
Housing
Programs
Housing
Authority
Special Revenue Funds
135

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

REVENUES
Taxes
Intergovernmental
Charges for services
Use of money and property (investment loss)
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) Revenues over Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Issuance of debt
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances (Deficit) - Beginning
Restatements
Fund Balance (Deficit) - Beginning, as Restated
Fund Balances (Deficit) - Ending
-$ - $ - $ - $ - $ -$ ----- -
----- -
- (2,788) (10,438) - - -
----- -
- - - - 1,000,000 -
463,961 - - - - 160,934
463,961 (2,788) (10,438) - 1,000,000 160,934
995,254 22 82 - 82,000 -
----- -
----- -
----- -
53,351 - - - - -
----- -
----- -
1,048,605 22 82 - 82,000 -
(584,644) (2,810) (10,520) - 918,000 160,934
----- -
----- -
----- -
------
(584,644) (2,810) (10,520) - 918,000 160,934
1,516,064 104,336 390,484 - - -
----- -
1,516,064 104,336 390,484 - - -
931,420$ 101,526$ 379,964$ - $ 918,000$ 160,934$ Special Revenue Funds
Public Education
and Govt Fee
Special Revenue
Endowments
Developer
Contributions Donations
V2 Pub Benefit
Contribution
Utility Tax
Settlement
136

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

REVENUES
Taxes
Intergovernmental
Charges for services
Use of money and property (investment loss)
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) Revenues over Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Issuance of debt
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances (Deficit) - Beginning
Restatements
Fund Balance (Deficit) - Beginning, as Restated
Fund Balances (Deficit) - Ending
(CONTINUED)
-$ 432,425$ - $ - $ - $ -$ ----- -
----- -
(1,147,222) (8,548) (15) - - (30,108)
----- -
4,333,475 - - - - -
----- -
3,186,253 423,877 (15) - - (30,108)
----- 239
----- -
9,420 - - - - -
----- -
----- -
----- -
154,422 - - - - -
163,842 - - - - 239
3,022,411 423,877 (15) - - (30,347)
----- -
(21,814) (666,809) - - - -
----- -
(21,814) (666,809) ----
3,000,597 (242,932) (15) - - (30,347)
40,192,036 (583,604) 978 (4,460) 54 1,130,709
----- -
40,192,036 (583,604) 978 (4,460) 54 1,130,709
43,192,633$ (826,536)$ 963 $ (4,460)$ 54 $ 1,100,362$ Capital Projects Funds
Park Acquisition
Development
Industrial
Development
Authority Bicycle Facility
Residential
Construction Tax Highway Safety
Assessment
District
Improvement
137

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

REVENUES
Taxes
Intergovernmental
Charges for services
Use of money and property (investment loss)
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) Revenues over Expenditures

OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Issuance of debt
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances (Deficit) - Beginning
Restatements
Fund Balance (Deficit) - Beginning, as Restated
Fund Balances (Deficit) - Ending
-$ - $ - $ - $ - $ -$ - 327,188 - - - -
----- -
- - 25,505 700 - (2,994)
----- -
----- -
- - 1,015,924 - - 18,431
- 327,188 1,041,429 700 - 15,437
- - - 12,135,957 - 21
----- -
----- -
- - 88,640 - - -
- 570,830 396,721 - - -
- - - 5,959,472 933,537 268,080
- - - 9,025,190 195,853 34,289
- 570,830 485,361 27,120,619 1,129,390 302,390
- (243,642) 556,068 (27,119,919) (1,129,390) (286,953)
- - 91,496 14,918,334 1,129,390 280,821
- - (1,308) - - -
- - - 12,194,805 - -
- - 90,188 27,113,139 1,129,390 280,821
- (243,642) 646,256 (6,780) - (6,132)
104 (402,866) 4,686,292 480,912 40,127 103,946
----- -
104 (402,866) 4,686,292 480,912 40,127 103,946
104$ (646,508)$ 5, 332,548$ 474,132$ 40,127 $ 97,814$ Capital Projects Funds
City Debt Service
Transportation
Partnership
Debt Service Funds
Notes Payable
Other
Transportation
Program Lease Payable
Capital Projects
Fund
138

CITY OF CHULA VISTA

COMBINING STATEMENT OF REVENUES,

EXPENDITURES, AND CHANGES IN FUND BALANCES

NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2022

REVENUES
Taxes
Intergovernmental
Charges for services
Use of money and property (investment loss)
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) Revenues over Expenditures

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY

GENERAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Personnel Supplies and Other
Services Services Utilities Expenses
Current:

City council 1,209,089$ 29,584$ 688$ -$
City clerk 914,923 510,858 451 -
City attorney 2,493,717 211,281 858 -
Administration 2,220,898 121,378 619 -
Information technology 2,324,984 1,199,532 3,477 -
Human resources 2,609,008 359,747 1,784 -
Finance 3,448,461 1,495,585 1,743 1,511,716
Non-departmental 132,683 4,773,959 248,051 15,118,067
Board and commissions - 129,501 - -
Police 53,616,029 3,117,186 684,472 736,825
Fire 34,836,070 1,860,079 287,293 513,137
Animal care facilities 2,279,976 357,775 54,856 5,592
Economic development 1,215,160 81,267 1,409 -
Development services 2,207,032 189,043 1,612 22,727
Parks and recreation 6,898,182 1,217,860 3,026,709 118,204 Public works 7,776,860 2,539,271 755,882 53,182
Engineering 7,017,191 345,116 1,190,366 70,300
Library 2,412,327 240,542 234,441 200,438
Capital outlay --- -
Debt service:

Principal retirement - - - 1,129,627
Interest and fiscal charges - - - 145,696
Transfers out --- -
Total Expenditures 133,612,590$ 18,779,564$ 6,494,711$ 19,625,511$ 140
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$- $ 1,239,361$ 1,481,489$ 242,128$
- - - 1,426,232 1,433,791 7,559
- - - 2,705,856 2,752,403 46,547
- - - 2,342,895 2,372,820 29,925
- - - 3,527,993 3,659,848 131,855
- - - 2,970,539 3,030,024 59,485
- - - 6,457,505 6,916,782 459,277
- - - 20,272,760 20,480,767 208,007
- - - 129,501 162,485 32,984
- 1,114,032 - 59,268,544 60,597,958 1,329,414
- 1,490,599 - 38,987,178 40,374,621 1,387,443
- 45,603 - 2,743,802 2,854,049 110,247
- - - 1,297,836 1,974,345 676,509
- 12,249 - 2,432,663 5,950,696 3,518,033
- 335,211 - 11,596,166 11,929,038 332,872
- 563,969 - 11,689,164 11,761,378 72,214
- 191,371 - 8,814,344 8,941,115 126,771
- 3,180 - 3,090,928 3,281,981 191,053
21,561,030 - - 21,561,030 58,170,677 36,609,647
- - - 1,129,627 1,146,901 17,274
- - - 145,696 147,003 1,307
- - 28,397,242 28,397,242 30,638,693 2,241,451
21,561,030$ 3,756,214 $ 28,397,242$ 232,226,862$ 280,058,864$ 47,832,002 $ 141

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY

SUNDRY GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Personnel Supplies and Other
Services Services Utilities Expenses
Current:

Finance 916,000$ -$ -$ 783,529$ Police 6,117,126 914,608 - 344,103
Fire 295,727 270,237 - 44,669
Animal care facilities - 20,228 - -
Economic development 681,805 962,926 7,379 391,892
Development services - 6,506 688 38,321,338
Public works - - - -
Library 12,487 12,448 - -
Capital outlay --- -
Transfers out --- -
Total Expenditures 8,023,145$ 2,186,953$ 8,067$ 39,885,531$ 142
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ - $ - $ 1, 699,529$ 4, 995,482$ 3,295,953$ - - - 7,375,837 10,074,622 2,698,785
- - - 610,633 627,024 16,391
- - - 20,228 61,120 40,892
- 14,545 - 2,058,547 6,314,560 4,256,013
- - - 38,328,532 51,091,660 12,763,128
- - - - 1,600,000 1,600,000
- - - 24,935 66,337 41,402
1,369,964 - - 1,369,964 26,304,909 24,934,945
- - 4,683,394 4,683,394 16,546,856 11,863,462
1,369,964$ 14,545 $ 4, 683,394$ 56, 171,599$ 117, 682,570$ 61,510,971 $ 143

CITY OF CHULA VISTA

BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY

HOUSING SUCCESSOR AGENCY
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Personnel Supplies and Other
Services Services Utilities Expenses
Current:

Development services -$ 1,190$ -$ 6,037$ Transfers out --- -
Total Expenditures -$ 1,190$ -$ 6,037$ 144
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$ - $ 7,227$ 2, 072,401$ 2,065,174$ - - 6,269 6,269 6,269 -
-$ -$ 6,269$ 13,496$ 2,078,670$ 2,065,174$ 145

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

TRANSPORTATION GAS TAXES
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental 12,094,824$ 12,094,824 $ 12,048,633 $ (46,191)$ Use of money and property (investment loss) - - (431,783) (431,783) Total Revenues 12,094,824 12,094,824 11,616,850 (477,974) Expenditures:

Current:

Public works 259,656 250,100 239,411 10,689
Capital outlay - 18,033,565 1,660,694 16,372,871
Total Expenditures 259,656 18,283,665 1,900,105 16,383,560 Excess (Deficiency) Revenues over Expenditures 11,835,168 (6,188, 841) 9,716,745 15,905,586 Other Financing Sources (Uses):

Transfers in - 3,348 4,000 652
Transfers out (12,158,255) (4,431,938) (4,092,971) 338,967 Total Other Financing Sources (Uses) (12,158,255) (4,428,590) (4,088,971) 339,619 Net Change in Fund Balances (323,087)$ (10,617,431)$ 5,627,774 16,245,205$ Fund Balances - Beginning 13,054,468
Fund Balances - Ending 18,682,242$
146

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Licenses and permits 25,000$ 25,000 $ - $ (25,000)$ Use of money and property 365,000 365,000 370,934 5,934 Fines and forfeitures 200,000 205,649 267,274 61,625
Total Revenues 590,000 595,649 638,208 42,559
Expenditures:

Current:

General government 572,270 644,925 651,605 (6,680)
Capital outlay - 99,354 59,047 40,307
Total Expenditures 572,270 744,279 710,652 33,627
Excess (Deficiency) of Revenues
Over (Under) Expenditures 17,730 (148,630) (72,444) 76,186 Other Financing Sources (Uses):

Transfers out (961) (961) (961) -
Total Other Financing Sources (Uses) (961) (961) (961) - Net Change in Fund Balances 16,769$ (149,591)$ (73,405) 76,186$ Fund Balances - Beginning 1,396,045
Fund Balances - Ending 1,322,640$
147

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property (investment loss) -$ - $ (10,540)$ (10,540)$ Fines and forfeitures 437,640 437,640 264,647 (172,993) Total Revenues 437,640 437,640 254,107 (183,533)
Expenditures:

Current:

Public safety 138,500 169,161 34,446 134,715
Total Expenditures 138,500 169,161 34,446 134,715
Deficiency of Revenues over Expenditures 299,140 268,479 219,661 (48,818) Other Financing Sources (Uses):

Transfers in - - 124,557 124,557
Transfers out (399,140) (399,140) (399,140) -
Total Other Financing Sources (Uses) (399,140) (399,140) (274,583) 124,557 Net Change in Fund Balances (100,000)$ (130,661)$ (54,922) 75,739$ Fund Balances - Beginning 52,884
Fund Balances - Ending (2,038)$
148

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 585,000$ 585,000$ 624,691$ 39,691$ Use of money and property (investment loss) - - (56,870) (56,870) Fines and forfeitures 5,000 5,000 200 (4,800)
Total Revenues 590,000 590,000 568,021 (21,979)
Expenditures:

Current:

Public works 348,940 498,015 151,996 346,019
Total Expenditures 348,940 498,015 151,996 346,019
Net Change in Fund Balances 241,060$ 91,985$ 416,025 324,040$ Fund Balances - Beginning, Originally Reported 1,874,856 Restatements 52,316
Fund Balances - Beginning, as Restated 1,927,172
Fund Balances - Ending 2,343,197$
149

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services -$ - $ 75,076$ 75,076$ Use of money and property (investment loss) - - (5,454) (5,454) Total Revenues - - 69,622 69,622
Expenditures:

Current:

Public works -- 4 4 (44)
Capital outlay - 10,120 - 10,120
Total Expenditures - 10,120 44 10,076
Net Change in Fund Balances -$ (10,120)$ 69,578 79,698$ Fund Balances - Beginning 164,567
Fund Balances - Ending 234,145$
150

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 18,629,351$ 18,818,287 $ 19,080,180 $ 261,893$ Use of money and property (investment loss) - 2,971 (1,295,764) (1,298,735) Other revenues - 35,039 262,550 227,511
Total Revenues 18,629,351 18,856,297 18,046,966 (809,331) Expenditures:

Current:

Public works 17,634,126 18,215,757 13,965,973 4,249,784 Capital outlay - 400 - 400
Total Expenditures 17,634,126 18,216,157 13,965,973 4,250,184 Excess Revenues over Expenditures 995,225 640,140 4,080,993 3,440,853 Other Financing Sources (Uses):

Transfers in 486,716 486,716 281,034 (205,682)
Transfers out (249,914) (258,531) (258,531) -
Total Other Financing Sources (Uses) 236,802 228,185 22,503 (205,682) Net Change in Fund Balances 1,232,027$ 868,325$ 4,103,496 3,235,171$ Fund Balances - Beginning 40,313,756
Fund Balances - Ending 44,417,252$
151

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental 100,000$ 100,000$ - $ (100,000)$ Other revenues - - 33,310 33,310
Total Revenues 100,000 100,000 33,310 (66,690)
Expenditures:

Current:

City administration 100,000 938,124 20,007 918,117
Total Expenditures 100,000 938,124 20,007 918,117
Net Change in Fund Balances -$ (838,124)$ 13,303 851,427$ Fund Balances - Beginning 142,639
Fund Balances - Ending 155,942$
152

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services -$ - $ 59,956$ 59,956$ Use of money and property (investment loss) - - (173,907) (173,907) Other revenues 795,323 795,323 1,173,399 378,076
Total Revenues 795,323 795,323 1,059,448 264,125
Expenditures:

Current:

City administration 1,847,268 1,812,630 920,752 891,878 Total Expenditures 1,847,268 1,812,630 920,752 891,878
Excess (Deficiency) Revenues over Expenditures (1,051,945) (1,017 ,307) 138,696 1,156,003 Other Financing Sources (Uses):

Transfers in - 6,696 15,000 8,304
Transfers out (2,500) (368,948) (368,934) 14
Total Other Financing Sources (Uses) (2,500) (362,252) (353,934) 8,318 Net Change in Fund Balances (1,054,445)$ (1,379,559)$ (215,238) 1,164,321$ Fund Balances - Beginning 6,108,540
Fund Balances - Ending 5,893,302$
153

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental 6,673,500$ 6,673,500 $ 3,921,799$ (2,751,701)$ Use of money and property - - 12,675 12,675
Total Revenues 6,673,500 6,673,500 3,934,474 (2,739,026) Expenditures:

Capital outlay 7,204,500 15,039,638 2,839,348 12,200,290 Total Expenditures 7,204,500 15,039,638 2,839,348 12,200,290 Net Change in Fund Balances (531,000)$ (8,366,138)$ 1,095,126 9,461,264$ Fund Balances (Deficit) - Beginning (1,592,850)
Fund Balances (Deficit) - Ending (497,724)$
154

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Other revenues 65,000$ 65,000 $ 32,180 $ (32,820)$ Total Revenues 65,000 65,000 32,180 (32,820)
Expenditures:

Current:

Community development 65,000 66,453 30,888 35,565
Total Expenditures 65,000 66,453 30,888 35,565
Net Change in Fund Balances -$ (1,453)$ 1,292 2,745$ Fund Balances - Beginning 247,608
Fund Balances - Ending 248,900$
155

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental -$ 480,000$ - $ (480,000)$ Other revenues 540,000 540,000 463,961 (76,039)
Total Revenues 540,000 1,020,000 463,961 (556,039)
Expenditures:

Current:

General government 270,000 1,455,014 995,254 459,760
Capital outlay 270,000 37,220 53,351 (16,131)
Total Expenditures 540,000 1,492,234 1,048,605 443,629
Net Change in Fund Balances -$ (472,234)$ (584,644) (112,410)$ Fund Balances - Beginning 1,516,064
Fund Balances - Ending 931,420$
156

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

UTILITY TAX SETTLEMENT
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ 22$ (2,788)$ (2,810)$ Total Revenues - 22 (2,788) (2,810)
Expenditures:

Current:

General government - 22 22 -
Total Expenditures - 22 22 -
Net Change in Fund Balances -$ -$ (2,810) (2,810)$ Fund Balances - Beginning 104,336
Fund Balances - Ending 101,526$
157

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL V2 PUB BENEFIT CONTRIBUTION
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ 82$ (10,438)$ (10,520)$ Total Revenues - 82 (10,438) (10,520)
Expenditures:

Current:

General government - 82 82 -
Total Expenditures - 82 82 -
Net Change in Fund Balances -$ -$ (10,520) (10,520)$ Fund Balances - Beginning 390,484
Fund Balances - Ending 379,964$
158

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Expenditures:

Current:

City administration 70,921$ 208,977$ -$ 208,977$ Total Expenditures 70,921 208,977 - 208,977
Excess (Deficiency) of Revenues
Over (Under) Expenditures (70,921) (208,977) - 208,977
Other Financing Sources (Uses):

Transfers out - (921) - 921
Total Other Financing Sources (Uses) - (921) - 921
Net Change in Fund Balances (70,921)$ (209,898)$ - 209,898$ Fund Balances - Beginning -
Fund Balances - Ending -$
159

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

DEVELOPER CONTRIBUTIONS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Developer participation -$ 93,025$ 1,000,000 $ 906,975$ Total Revenues - 93,025 1,000,000 906,975
Expenditures:

Current:

General government - 1,000,000 82,000 918,000
Total Expenditures - 1,000,000 82,000 918,000
Net Change in Fund Balances -$ (906,975)$ 918,000 1,824,975$ Fund Balances - Beginning -
Fund Balances - Ending 918,000$
160

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

DONATIONS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Other revenues -$ 160,934$ 160,934$ -$ Total Revenues - 160,934 160,934 -
Expenditures:

Current:

Public safety - 160,934 - 160,934
Total Expenditures - 160,934 - 160,934
Net Change in Fund Balances -$ -$ 160,934 160,934$ Fund Balances - Beginning -
Fund Balances - Ending 160,934$
161

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property (investment loss) 200,000$ 200,000 $ (1,147,222) $ (1,347,222)$ Developer participation 350,000 350,000 4,333,475 3,983,475 Total Revenues 550,000 550,000 3,186,253 2,636,253
Expenditures:

Current:

City administration 250,000 610,000 9,420 600,580
Capital outlay 867,706 1,390,060 - 1,390,060
Debt service:

Interest and fiscal charges - 200,000 154,422 45,578
Total Expenditures 1,117,706 2,200,060 163,842 2,036,218 Excess (Deficiency) Revenues over Expenditures (567,706) (1,650,0 60) 3,022,411 4,672,471 Other Financing Sources (Uses):

Transfers in 50,000 50,000 - (50,000)
Transfers out (111,149) (71,814) (21,814) 50,000
Total Other Financing Sources (Uses) (61,149) (21,814) (21,814) - Net Change in Fund Balances (628,855)$ (1,671,874)$ 3,000,597 4,672,471$ Fund Balances - Beginning 40,192,036
Fund Balances - Ending 43,192,633$
162

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Taxes 325,505$ 325,505 $ 432,425 $ 106,920$ Use of money and property (investment loss) - - (8,548) (8,548) Total Revenues 325,505 325,505 423,877 98,372
Excess Revenues over Expenditures 325,505 325,505 423,877 98,372 Other Financing Uses:

Transfers out (667,095) (667,095) (666,809) 286
Total Other Financing Sources (Uses) (667,095) (667,095) (666,809) 286 Net Change in Fund Balances (341,590)$ (341,590)$ (242,932) 98,658$ Fund Balances - Beginning (583,604)
Fund Balances - Ending (826,536)$
163

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Charges for services 250,000$ 250,000$ 601,571$ 351,571$ Use of money and property (investment loss) 180,000 180,000 (2,299,088) (2,479,088) Developer participation 13,672,000 13,672,000 19,152,074 5,480,074 Total Revenues 14,102,000 14,102,000 17,454,557 3,352,557 Expenditures:

Current:

City administration 7,617,785 1,562,840 664,786 898,054 Capital outlay 275,057 10,600,080 1,415,734 9,184,346
Debt service:

Principal retirement 51,000 126,488 65,488 61,000
Interest and fiscal charges 126,488 398,995 158,522 240,473 Total Expenditures 8,070,330 12,688,403 2,304,530 10,383,873 Excess (Deficiency) of Revenues
Over (Under) Expenditures 6,031,670 1,413,597 15,150,027 13,736,430 Other Financing Uses:

Transfers out (176,250) (5,218,847) (5,217,860) 987
Total Other Financing Sources (Uses) (176,250) (5,218,847) (5,217, 860) 987 Net Change in Fund Balances 5,855,420$ (3,805,250)$ 9,932,167 13,737,417$ Fund Balances - Beginning 62,397,262
Fund Balances - Ending 72,329,429$
164

CITY OF CHULA VISTA

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

OTHER TRANSPORTATION PROGRAM
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Intergovernmental 227,500$ 847,210 $ 327,188 $ (520,022)$ Total Revenues 227,500 847,210 327,188 (520,022)
Expenditures:

Capital outlay 227,500 5,686,488 570,830 5,115,658
Total Expenditures 227,500 5,686,488 570,830 5,115,658
Net Change in Fund Balances -$ (4,839,278)$ (243,642) 4,595,636$ Fund Balances - Beginning (402,866)
Fund Balances - Ending (646,508)$
165

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ - $ 25,505$ 25,505$ Other revenues - 2,484,000 1,015,924 (1,468,076)
Total Revenues - 2,484,000 1,041,429 (1,442,571)
Expenditures:

Current:

Public works - 230,752 88,640 142,112
Capital outlay - 20,512,455 396,721 20,115,734
Total Expenditures - 20,743,207 485,361 20,257,846
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (18,259,207) 556,068 18,815,275 Other Financing Sources (Uses):

Transfers in - 10,441,683 91,496 (10,350,187)
Transfers out (1,308) (1,308) (1,308) -
Total Other Financing Sources (Uses) (1,308) 10,440,375 90,188 (10, 350,187) Net Change in Fund Balances (1,308)$ (7,818,832)$ 646,256 8,465,088$ Fund Balances - Beginning 4,686,292
Fund Balances - Ending 5,332,548$
166

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, 2022
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 31,745 940,555 933,537 7,018
Interest and fiscal charges 1,104,649 195,839 195,853 (14) Total Expenditures 1,136,394 1,136,394 1,129,390 7,004
Deficiency Revenues over Expenditures (878,394) (878,394) (1,129,3 90) (250,996) Other Financing Sources:

Transfers in 1,136,393 1,136,393 1,129,390 (7,003)
Total Other Financing Sources 1,136,393 1,136,393 1,129,390 (7,003) Net Change in Fund Balances 257,999$ 257,999 $ - (257,999) $ Fund Balances - Beginning 40,127
Fund Balances - Ending 40,127$
167

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property (loss on investments) -$ -$ (2,994)$ (2,994)$ Other revenues 18,300 18,300 18,431 131
Total Revenues 18,300 18,300 15,437 (2,863)
Expenditures:

Current:

General government - - 21 (21)
Debt service:

Principal retirement 56,529 465,622 268,080 197,542
Interest and fiscal charges 490,242 81,979 34,289 47,690 Total Expenditures 546,771 547,601 302,390 245,211
Deficiency Revenues over Expenditures (528,471) (529,301) (286,953) 242,348 Other Financing Sources:

Transfers in 284,071 284,071 280,821 (3,250)
Total Other Financing Sources 284,071 284,071 280,821 (3,250) Net Change in Fund Balances (244,400)$ (245,230)$ (6,132) 239,098$ Fund Balances - Beginning 103,946
Fund Balances - Ending 97,814$
168

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ -$ 700$ 700$
Total Revenues - - 700 700
Expenditures:

Current:

General government - 10,833,455 12,135,957 (1,302,502) Debt service:

Principal retirement - 6, 505,000 5,959,472 545,528 Interest and fiscal charges 16,287,164 9,782,164 9,025,190 756,974 Total Expenditures 16,287,164 27,120,619 27,120,619 - Deficiency Revenues over Expenditures (16,287,164) (27,120,619) (27,119,919) 700 Other Financing Sources:

Transfers in 16,287,164 16,287,164 14,918,334 (1,368,830) Proceeds from issuance of debt - 10,833,455 12,194,805 1,361,350 Total Other Financing Sources 16,287,164 27,120,619 27,113,139 (7,480) Net Change in Fund Balances -$ -$ (6,780) (6,780)$
Fund Balances - Beginning 480,912
Restatements -
Fund Balances - Beginning, as Restated 480,912
Fund Balances - Ending 474,132$
169

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ -$ 543,864$ 543,864$ Total Revenues - - 543,864 543,864
Expenditures:

Current:

General government 955,688 21,278 12,000 9,278
Debt service:

Principal retirement 10,002 4,045,002 4,045,000 2
Interest and fiscal charges 5,856,711 2,762,397 2,762,395 2 Total Expenditures 6,822,401 6,828,677 6,819,395 9,282
Deficiency of Revenues over Expenditures (6,822,401) (6,828,677) ( 6,275,531) 553,146 Other Financing Sources:

Transfers in 6,822,401 6,822,401 6,821,313 (1,088)
Total Other Financing Sources 6,822,401 6,822,401 6,821,313 (1,088) Net Change in Fund Balances -$ (6,276)$ 545,782 552,058$ Fund Balances - Beginning 5,337,958
Fund Balances - Ending 5,883,740$
170

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, 2022
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:

Use of money and property -$ -$ 1,045$ 1,045$ Other revenues 315,200 286,968 314,851 27,883
Total Revenues 315,200 286,968 315,896 28,928
Expenditures:

Current:

General government 494,849 25,969 22,270 3,699
Debt service:

Principal retirement 414 7,790,000 7,790,000 -
Interest and fiscal charges 2,320,576 3,150,088 3,150,088 - Total Expenditures 2,815,839 10,966,057 10,962,358 3,699 Deficiency of Revenues over Expenditures (2,500,639) (10,679,089) (10,646,462) 32,627 Other Financing Sources (Uses):

Transfers in 2,500,639 10,675,089 10,645,196 (29,893)
Total Other Financing Sources (Uses) 2,500,639 10,675,089 10,645,1 96 (29,893) Net Change in Fund Balances -$ (4,000)$ (1,266) 2,734$ Fund Balances - Beginning -
Fund Balances - Ending (1,266)$
171

172

CITY OF CHULA VISTA

COMBINING STATEMENT OF NET POSITION

NON-MAJOR PROPRIETARY FUNDS
JUNE 30, 2022
Totals
ASSETS
Current Assets:

Cash and investments 88,391$ 86,886$ 166,963$ 845,574$ -$ 1,187,814$ Cash with fiscal agent - - 749,208 14,816 - 764,024
Receivables:

Accounts receivable - - 354 12,003,588 - 12,003,942
Accrued interest 371 377 - 6,619 - 7,367
Prepaid costs - - 4,959 - - 4,959
Inventories - - 82,756 - - 82,756
Total Current Assets 88,762 87,263 1,004,240 12,870,597 - 14,050,862 Noncurrent Assets:

Capital assets:

Land - - 598,659 - - 598,659
Buildings and structures - - 727,553 - - 727,553
Machinery and equipment - 42,304 117,382 4,386,250 - 4,545,936 Less accumulated depreciation - (28,957) (596,377) (1,327,125) - (1,952,459) Total Noncurrent Assets - 13,347 847,217 3,059,125 - 3,919,689 Total Assets 88,762 100,610 1,851,457 15,929,722 - 17,970,551 Deferred Outflows of Resources:

OPEB related - - - 353,040 - 353,040
Total Deferred Outflows of Resources - - - 353,040 - 353,040

LIABILITIES
Current Liabilities:

Accounts payable - - 157,987 296,689 620 455,296
Accrued liabilities - - 37,260 252,250 - 289,510
Accrued interest - - - 15,143 - 15,143
Due to other funds -- -- 1 78 178
Bonds, notes, and leases - - - 894,038 - 894,038
Total Current Liabilities - - 195,247 1,458,120 798 1,654,165 Noncurrent:

Advances from other funds - - - 2,783,149 - 2,783,149
Accrued compensated absences - - 24,499 - - 24,499
Net OPEB liability - - - 1,202,280 - 1,202,280
Bonds, notes, and leases - - - 2,736,251 - 2,736,251
Total Noncurrent Liabilities - - 24,499 6,721,680 - 6,746,179 Total Liabilities - - 219,746 8,179,800 798 8,400,344
Deferred Inflows of Resources:

OPEB related - - - 132,627 - 132,627
Total Deferred Inflows of Resources - - - 132,627 - 132,627

NET POSITION (DEFICIT)
Net investment in capital assets - 13,347 847,217 3,059,125 - 3,919,689 Unrestricted (deficit) 88,762 87,263 784,494 4,911,210 (798) 5,870,931 Total Net Position (Deficit) 88,762$ 100,610$ 1,631,711$ 7,970,335$ (798)$ 9,790,620$ Living Coast
Discovery Center
Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista Muni
Golf Course
Transport
Enterprise
173

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, 2022
Totals

OPERATING REVENUES
Sales and service charges -$ - $ 3, 300,593$ 19,980,980$ - $ 23,281,573$ Total Operating Revenues - - 3,300,593 19,980,980 - 23,281,573

OPERATING EXPENSES
Administration and general 19 39 2,934,163 11,044,957 118,750 14,097,928 Depreciation expense - 8,461 48,326 868,428 - 925,215
Total Operating Expenses 19 8,500 2,982,489 11,913,385 118,750 15,023,143 Operating Income (Loss) (19) (8,500) 318,104 8,067,595 (118,750) 8,258,430

NONOPERATING REVENUES (EXPENSES)
Loss on investments (2,438) (6,315) - (35,683) (798) (45,234) Interest expense - - - (92,962) - (92,962)
Total Nonoperating Revenues (Expenses) (2,438) (6,315) - (128,645) (798) (138,196) Income (Loss) Before Transfers (2,457) (14,815) 318,104 7,938,950 (119,548) 8,120,234 Transfers in - - 209,000 106,000 118,750 433,750
Transfers out - - - (2,893,243) - (2,893,243)
Change in Net Position (2,457) (14,815) 527,104 5,151,707 (798) 5,660,741 NET POSITION - BEGINNING 91,219 115,425 27,881 2,818,628 - 3,053,153 Restatements - - 1,076,726 - - 1,076,726
Beginning of Fiscal Year, as Restated 91,219 115,425 1,104,607 2,818,628 - 4,129,879 NET POSITION (DEFICIT) - ENDING 88,762$ 100,610$ 1,631,711$ 7,970,335$ (798)$ 9,790,620$ Living Coast
Discovery Center
Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista
Muni Golf Course
Transport
Enterprise
174

CITY OF CHULA VISTA

COMBINING STATEMENT OF CASH FLOWS

NON-MAJOR PROPRIETARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Totals
Cash Flows from Operating Activities:

Cash received from customers and users -$ - $ 3,300,239$ 14,234,464$ - $ 17,534,703$ Cash paid to suppliers for goods and services (19) (39) (87,715) (4,800,424) (129,069) (5,017,266) Cash paid to employees for services - - (2,872,404) (4,984,246) - (7,856,650) Cash received from (payments to) others - - 339,170 - - 339,170 Net Cash Provided by (Used for)
Operating Activities (19) (39) 679,290 4,449,794 (129,069) 4,999,957 Cash Flows from Non-Capital
Financing Activities:

Cash received from interfund borrowings ---- 1 78 178
Cash transfers in - - 209,000 106,000 118,750 433,750
Cash transfers out - - - (2,893,243) - (2,893,243)
Repayment made to other funds - - - (446,244) - (446,244) Net Cash Provided by (Used for)
Non-Capital Financing Activities - - 209,000 (3,233,487) 118,928 (2,905,559) Cash Flows from Capital
and Related Financing Activities:

Principal paid on capital debt - - - (862,811) - (862,811) Interest paid on capital debt - - - (119,057) - (119,057) Net Cash Used for
Capital and Related Financing Activities - - - (981,868) - (981,868) Cash Flows from Investing Activities:

Investment loss (2,809) (6,693) - (42,302) (798) (52,602) Net Cash Used for
Investing Activities (2,809) (6,693) - (42,302) (798) (52,602) Net Increase (Decrease)
in Cash and Cash Equivalents (2,828) (6,732) 888,290 192,137 (10,939) 1,059,928 Cash and Cash Equivalents - July 1 91,219 93,618 27,881 668,253 10,939 891,910 Cash and Cash Equivalents - June 30 88,391$ 86,886$ 916,171$ 860,390$ -$ 1,951,838$ Reconciliation of Operating Income (Loss) to Net
Cash Provided by (Used for) Operating Activities:

Operating income (loss) (19)$ (8,500)$ 318,104$ 8, 067,595$ (118,750)$ 8,258,430$ Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:

Depreciation - 8,461 48,326 868,428 - 925,215
Restatement of beginning net position - - 181,183 - - 181,183 Increase in accounts receivable - - (354) (5,746,516) - (5,746,870) Increase in prepaid expense and inventories - - (87,715) - - (87,715) Increase in deferred outflows from OPEB - - - (353,040) - (353,040) Increase (decrease) in accounts payable - - 157,987 216,145 (10,319) 363,813 Increase in accrued liabilities - - 37,260 62,275 - 99,535 Increase in compensated absences - - 24,499 - - 24,499
Increase in net OPEB liability - - - 1,202,280 - 1,202,280 Increase in deferred inflows from OPEB - - - 132,627 - 132,627 Total Adjustments - 8,461 361,186 (3,617,801) (10,319) (3,258,473) Net Cash Provided by (Used for)
Operating Activities (19)$ (39)$ 679,290$ 4, 449,794$ (129,069)$ 4, 999,957$ Non-Cash Investing, Capital,
and Financing Activities:

Unrealized gain/(loss) on investments (3,464)$ (8,389)$ -$ (46,054)$ -$ (57,907)$ Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista
Muni Golf Course
Living Coast
Discovery Center
Transport
Enterprise
175

176

CITY OF CHULA VISTA

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
JUNE 30, 2022
Totals
Assets:

Current Assets:

Cash and investments 3,302,050$ 2,650$ 8,736,624$ 12,041,324$ Receivables:

Accounts receivable 39,975 - - 39,975
Accrued interest 4,648 - - 4,648
Prepaid costs 2,818 - - 2,818
Total Current Assets 3,349,491 2,650 8,736,624 12,088,765 Noncurrent Assets:

Net pension asset 1,682,469 - - 1,682,469
Capital assets:

Machinery and equipment 5,583,602 - - 5,583,602
Less accumulated depreciation (5,137,762) - - (5,137,762) Total Noncurrent Assets 2,128,309 - - 2,128,309
Total Assets 5,477,800 2,650 8,736,624 14,217,074
Deferred Outflows of Resources:

Pension deferrals 98,181 - - 98,181
OPEB deferrals 67,892 - - 67,892
Total Deferred Outflows of Resources 166,073 - - 166,073 Liabilities:

Current Liabilities:

Accounts payable 502,926 - 40,750 543,676
Accrued liabilities 44,010 - - 44,010
Accrued interest 3,322 - - 3,322
Accrued compensated absences 62,085 - - 62,085
Bonds, notes, and leases 48,024 - - 48,024
Total Current Liabilities 660,367 - 40,750 701,117
Noncurrent Liabilities:

Accrued compensated absences 29,000 - - 29,000
Total other post-employment benefits liability 231,208 - - 231,208 Bonds, notes, and leases 1,827,709 - - 1,827,709
Total Noncurrent Liabilities 2,087,917 - - 2,087,917
Total Liabilities 2,748,284 - 40,750 2,789,034
Deferred Inflows of Resources:

Pension deferrals 1,153,268 - - 1,153,268
OPEB deferrals 25,505 - - 25,505
Total Deferred Inflows of Resources 1,178,773 - - 1,178,773 Net Position:

Invested in capital assets 445,840 - - 445,840
Unrestricted 1,270,976 2,650 8,695,874 9,969,500
Total Net Position 1,716,816$ 2,650 $ 8,695,874$ 10,415,340$ Fleet
Management
Technology
Replacement
Workers
Compensation
Governmental Activities - Internal Service Funds
177

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, 2022
Totals
Operating Revenues:

Interdepartmental charges 4,622,447$ - $ 4,679,723$ 9,302,170$ Other 398,580 - 168,274 566,854
Total Operating Revenues 5,021,027 - 4,847,997 9,869,024 Operating Expenses:

Administration and general 3,419,404 - 3,751,890 7,171,294 Depreciation expense 74,909 - - 74,909
Total Operating Expenses 3,494,313 - 3,751,890 7,246,203 Operating income 1,526,714 - 1,096,107 2,622,821
Nonoperating Revenues (Expenses):

Loss on investments (14,093) - - (14,093)
Interest expense (34,317) - - (34,317)
Gain on disposal of capital assets 192,543 - - 192,543
Total Nonoperating Revenues (Expenses) 144,133 - - 144,133 Income Before Transfers 1,670,847 - 1,096,107 2,766,954 Transfers in 257,982 - - 257,982
Transfers out (90,452) - - (90,452)
Change in Net Position 1,838,377 - 1,096,107 2,934,484
Net Position - Beginning (121,561) 2,650 7,599,767 7,480,856 Net Position - Ending 1,716,816$ 2,650$ 8,695,874$ 10,415,340$ Fleet
Management
Technology
Replacement
Workers
Compensation
Governmental Activities - Internal Service Funds
178

CITY OF CHULA VISTA

COMBINING STATEMENT OF CASH FLOWS

INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Totals
Cash Flows from Operating Activities:

Cash received from interfund service provided 5,017,447$ - $ 4,847,997$ 9,865,444$ Cash paid to suppliers for goods and services (2,157,918) - (3,796,267) (5,954,185) Cash paid to employees for services (1,424,197) - - (1,424,197) Net Cash Provided by
Operating Activities 1,435,332 - 1,051,730 2,487,062
Cash Flows from Non-Capital
Financing Activities:

Repayment of pension bonds (920,291) - - (920,291)
Cash transfers in 257,982 - - 257,982
Cash transfers out (90,452) - - (90,452)
Interest paid on pension bonds (48,076) - - (48,076)
Net Cash Used for
Non-Capital Financing Activities (800,837) - - (800,837) Cash Flows from Capital
and Related Financing Activities:

Proceeds from sales of capital assets 192,543 - - 192,543 Acquisition and construction of capital assets (203,900) - - (203,900) Net Cash Used for
Capital and Related Financing Activities (11,357) - - (11,357) Cash Flows from Investing Activities:

Interest payments (18,741) - - (18,741)
# Net Cash Used for
Investing Activities (18,741) - - (18,741)
Net Increase in Cash
and Cash Equivalents 604,397 - 1,051,730 1,656,127
Cash and Cash Equivalents - July 1 2,697,653 2,650 7,684,894 10,385 ,197 Cash and Cash Equivalents - June 30 3,302,050$ 2,650$ 8,736,624$ 12,041,324$ Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments 3,302,050$ 2,650 $ 8,736,624$ 12,041,324 $ Total Cash and Cash Equivalents reported
on the Statement of Net Position 3,302,050$ 2,650$ 8,736,624$ 12,041,324$ Reconciliation of Operating Income to Net
Cash Provided by Operating Activities:

Operating income 1,526,714$ - $ 1,096,107$ 2,622,821 $ Adjustments to Reconcile Operating Income
to Net Cash Provided by Operating Activities:

Depreciation 74,909 - - 74,909
(Increase) decrease in accounts receivable 1,484 - - 1,484 (Increase) decrease in prepaid costs (3,580) - - (3,580) (Increase) decrease in deferred outflows from pensions 2,877,576 -- 2,877,576 (Increase) decrease in deferred outflows from OPEB (21,124) - - (21,124) Increase (decrease) in accounts payable 210,725 - (44,377) 166,348 Increase (decrease) in accrued liabilities 2,265 - - 2,265 Increase (decrease) in compensated absences 38,959 - - 38,959 Increase (decrease) in net pension liability (4,496,692) - - (4,496,692) Increase (decrease) in total OPEB liability 46,746 - - 46,746 Increase (decrease) in total OPEB inflows 25,505 - - 25,505 Increase (decrease) in total pension inflows 1,151,845 - - 1,151,845 Total Adjustments (91,382) - (44,377) (135,759)
Net Cash Provided by
Operating Activities 1,435,332$ -$ 1,051,730$ 2,487,062$ Non-Cash Investing, Capital, and Financing Activities:

No non-cash Investing, Capital and Financing Activities.

Gain on disposition of capital assets 192,543 $ - $ - $ 192,543$ Governmental Activities - Internal Service Funds
Fleet
Management
Technology
Replacement
Workers
Compensation
179

CITY OF CHULA VISTA

COMBINING STATEMENT OF FIDUCIARY NET POSITION

CUSTODIAL FUNDS
JUNE 30, 2022
ASSETS
Cash and cash equivalents 8,150,205$ 160,867 $ - $ 8,311,072$ Cash and cash equivalents held with fiscal agents 35,335,789 - 45,879,388 81,215,177 Receivables:

Accounts 171,184 - 707,032 878,216
Taxes - 75,160 - 75,160
Accrued interest 34,183 444 - 34,627
Long-term loans - - 47,202,668 47,202,668
Advances to other funds - 47,202,668 - 47,202,668
Capital assets, not being depreciated - - 27,796,396 27,796,396 Total Assets 43,691,361 47,439,139 121,585,484 212,715,984

LIABILITIES
Accounts payable 22,643 263 81,462 104,368
Accrued interest 2,073,637 1,735 - 2,075,372
Long-term liabilities:

Bonds payable - - 47,202,668 47,202,668
Loans payable - 47,202,668 - 47,202,668
Total Liabilities 2,096,280 47,204,666 47,284,130 96,585,076

DEFERRED INFLOWS OF RESOURCES
Related to loans - - 47,202,668 47,202,668
Total Deferred Inflows of Resources - - 47,202,668 47,202,668

NET POSITION (DEFICIT)
Restricted:

Individuals, organizations, and other governments 41,595,081 234,473 27,098,686 68,928,240 Total Net Position (Deficit) 41,595,081$ 234,473$ 27,098,686$ 68,928,240$ Bayfront Special
Tax District
CV Bayfront
Facilities
Financing
Authority Total
Special
Assessment
Districts
180

CITY OF CHULA VISTA

COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

CUSTODIAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022

ADDITIONS
Investment Earnings:

Net decrease in fair value of investments (29,133)$ (5,230)$ -$ (34,363)$ Interest, dividends, and other - 5,264 38,459 43,723
Net Investment Earnings (29,133) 34 38,459 9,360
Special assessments 14,454,796 609,104 - 15,063,900
Contributions from other governments - - 46,405,267 46,405,267 Miscellaneous 1,500 - - 1,500
Total Additions 14,427,163 609,138 46,443,726 61,480,027

DEDUCTIONS
Administrative expenses 1,841 286 166,699 168,826
Contractual services 328,692 587,660 2,897,962 3,814,314 Debt service and fiscal agent charges 6,361,171 1,735 9,380,087 15,742,993 Payments to other organizations - - 6,900,292 6,900,292 Total Deductions 6,691,704 589,681 19,345,040 26,626,425 Net Increase in Fiduciary Net Position 7,735,459 19,457 27,098,686 34,853,602 NET POSITION - BEGINNING (104,656,790) 215,016 3,758,498 (100,683,276) Restatements 138,516,412 - (3,758,498) 134,757,914
Net Position - Beginning, as restated 33,859,622 215,016 - 34,074,638 NET POSITION - ENDING 41,595,081$ 234,473$ 27,098,686$ 68,928,240$ Special
Assessment
Districts
Bayfront Special
Tax District
CV Bayfront
Facilities
Financing
Authority Total
181

182
This part of the City of Chula Vista's annual comprehensive financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the city's overall financial health.

Page No.

Financial Trends 185-188
These schedules contain information to help the reader understand how the city's financial performance and well-being have changed over time.

Revenue Capacity 189-192
These schedules contain information to help the reader assess the factors affecting the city's ability to generate its property and sales taxes.

Debt Capacity 193-196
These schedules present information to help the reader assess the affordability of the city's current levels of outstanding debt and the city's ability to issue additional debt in the future.

Demographic and Economic Information 197-199
These schedules offer demographic and economic indicators to help the reader understand the environment within which the city's financial activities take place and to help make comparisons over time and with other governments.

Operating Information 200-202
These schedules contain information about the city's operations and resources to help the reader understand how the city's financial information relates to the services the city provides and the activities it performs.

CITY OF CHULA VISTA
Statistical Section
06/30
Table of Contents
183

184
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Governmental activities:

Net investment in capital assets 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 $ 1,139,225,615$ Restricted 21,888,309 107,106,257 129,460,665 125,439,323 128,114,370 143,958,910 167,223,184 181,367,432 196,782,954 218,852,340 Unrestricted 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) (97,583,182) Total governmental activities net position 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 1,260,494,773 Business-type activities:

Net
investment in capital assets 134,661,254 136,513,268 134,368,634 135,989,851 331,199,513 327,687,650 322,072,495 317,722,714 317,133,368 324,179,036 Restricted - 5,141,430 2,803,451 2,593,403 - - - 565,547 - Unrestricted 93,401,745 97,393,640 71,945,411 67,970,476 72,366,978 78,539,054 90,839,632 102,067,475 107,279,738 136,075,366 Total business-type activities net position 228,062,999 233,906,908 211,455,475 206,763,778 406,159,894 406,226,704 412,912,127 419,790,189 424,978,653 460,254,402 Primary government:

Net investment in capital assets 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 1,463,404,651 Restricted 21,888,309 107,106,257 134,602,095 128,242,774 130,707,773 143,958,910 167,223,184 181,367,432 197,348,501 218,852,340 Unrestricted 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) 38,492,184 Total primary government net position 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$ 1,720,749,175$ Net Position by Component

CITY OF CHULA VISTA
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year
185

2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Expenses:

Governmental activities:

General government 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 $ 57,993,429$ Public safety 77,821,520 74,896,803 81,002,999 87,749,418 94,716,683 106,802,130 111,269,341 125,991,666 131,262,122 111,173,472 Community Development - - - 1,974,046 1,552,750 18,617,269 11,153,109 11,768,626 8,555,836 45,701,258 Community Services - - 12,837 5,632 14,990 - - - - - Public works 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 58,402,021 Parks and recreation 5,865,192 6,118,351 6,441,907 6,834,240 6,875,635 9,553,392 14,633,191 16,592,077 40,789,923 13,542,362 Library 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 2,954,806 Transit 14,560 - - - - - - - - - Interest on long-term debt 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 15,631,745 Total governmental activities expenses 197,574,642 181,093,900 197,289,445 200,109,672 217,113,131 245,738,328 230,290,633 263,537,069 280,311,346 305,399,093 Business-type activities:

Transit 6,997,488 6,875,214 4,807,985 86,512 39,594 13,008 160,797 13,923 8,461 8,500 Bayfront Trolley Station 92,843 61,823 59,863 - - 27 - - - 19 Transport Enterprise - - - - - - - - 3,634,677 12,006,347 Sewer funds 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 33,398,914 Sewer DIFs 122,927 129,279 120,197 1,146,838 8,305 34,547 495,865 510,789 438,680 305,619 Development Services Fund 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 8,233,072 Chula Vista Mini Golf Course 27,092 - - - - 2,982,489 CV Elite Athlete Training Ctr 449,028 676,260 595,579 691,256 585,009 575,339 Living Coast Discovery Center - - - - - - - 95,405 101,112 118,750 Total business-type activities expenses 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 57,629,049 Total primary government expenses 241,278,924 220,319,524 239,889,056 232,319,513 256,472,679 292,002,945 279,114,204 313,016,568 335,053,850 363,028,142 Program revenues:

Governmental activities:

Charges for services:

General government 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 6,763,379 Public safety 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 7,752,570 Community Development - - 297,866 730,197 771,603 17,920,527 4,701,195 46,290,223 10,780,843 5,836,312 Public works 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 30,823,899 Parks and recreation 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 2,101,823 Library 1,666,765 1,078,592 1,302,869 1,943,416 1,575,837 872,352 877,744 653,790 701,945 810,146 Operating contributions and grants 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 47,300,700 Capital contributions and grants 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 58,796,673 Total governmental activities
program revenues 93,618,712 87,210,243 95,596,605 85,368,760 95,853,087 107,617,600 89,886,194 124,603,708 130,382,601 160,185,502 Business-type activities:

Charges for services:

Transit Fund 2,841,619 2,672,231 1,503,262 - - - - - - - Sewer Fund 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 49,050,723 Sewer DIFs 645,015 268,092 166,333 239,143 111,907 1,201,669 1,265,579 834,494 594,707 886,029 Development Services Fund 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 10,807,052 Chula Vista Muni Golf Course - - - - - - - - - 3,300,593 Transport Enterprise - - - - - - - - - 19,980,980 Operating grants and contributions 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 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 84,025,377 Total primary government
program revenues 141,866,501 133,480,079 144,914,027 128,237,097 139,545,961 157,391,402 144,845,802 179,481,666 186,545,196 244,210,879 Net revenues (expenses):

Governmental activities (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) (145,213,591) Business-type activities 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 26,396,328 Total net revenues (expenses) (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) (118,817,263) General revenues and other changes in net assets:

Governmental activities:

Taxes:

Property taxes 45,146,022 45,266,172 47,485,292 50,136,856 53,248,196 56,512,850 59,841,972 62,905,983 66,864,796 69,565,097 Sales tax 28,627,785 29,171,174 41,883,924 33,317,380 36,469,033 57,541,043 73,187,780 78,964,672 92,895,930 102,428,825 Other taxes 18,966,240 32,145,209 23,225,498 24,463,262 24,101,777 32,496,156 35,204,174 35,247,893 38,175,933 41,671,204 Investment income 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 (6,855,109) Other general revenues 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 12,696,745 21,755,785 Gain on Sale of Capital Asset - - - - - - 102,283 - 105,741 192,543 Transfers 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 7,527,863 Total governmental activities 99,825,127 112,764,601 133,608,657 118,320,885 122,640,428 169,048,916 198,882,604 209,431,526 220,239,933 236,286,208 Business-type activities:

Investment income 261,354 1,505,052 657,343 1,357,938 322,527 1,155,739 4,575,679 5,450,627 1,175,687 (3,650,561) Miscellaneous 349,909 845,650 2,789,595 524,616 198,847,750 414,696 252,213 380,617 7,245,994 16,545,269 Gain on Sale of Capital Asset - - - - 115,703 - 60,770 1,313 11,425 47,609 Transfers (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) (7,527,863) Total business-type activities (3,250,154) (1,200,302) (401,808) (917,001) 195,105,202 (2,600,267) 549,386 1,479,603 3,768,373 5,414,454 Total primary government 96,574,973 111,564,299 133,206,849 117,403,884 317,745,630 166,448,649 199,431,990 210,911,129 224,008,306 241,700,662 Changes in net position
Governmental activities (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 91,072,617 Business-type activities 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 31,810,782 Total primary government (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$ 122,883,399$

CITY OF CHULA VISTA
Last Ten Fiscal Years
Changes in Net Position
Fiscal Year
186
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
General fund:

Nonspendable 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$ 12,121,324 $ Restricted 750,951 - - - - - - - 1, 042,970 9, 465,060 Committed 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 11, 731,844 Assigned 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 79, 567,415 Unassigned 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 27,682,371 Total general fund 27,969,175 32,958,909 36,122,026 37,392,657 41,848,965 108,203,516 118,874,437 112,524,177 119,104,252 140,568,014 All other governmental funds:

Nonspendable 29,774,472 $ 23,537,524 $ - $ 5 ,834,630$ 5,460 $ 3,459 $ 4,277 $ 189,587$ 519,258$ 504,336$ Restricted 91,152,341 107,106,257 129,464,688 125,439,323 128,114,370 143,915,260 167,241,347 181,367,432 195,739,984 214,859,098 Committed 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 5,883,740 Assigned - - - 1, 459,891 - 10,891 64,202 122,922 - - Unassigned (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) (2,364,960) Total all other governmental funds 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$ 218,882,214$ (modified accrual basis of accounting)
Last Ten Fiscal Years
Fund Balances of Governmental Funds

CITY OF CHULA VISTA
Fiscal Year
187
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Revenues:

Taxes 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$ 201,616,493$ Licenses and permits 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 1,962,967 Fines and forfeitures 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 1,572,303 Investment income (loss) 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 (6,841,017) Developer fees 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 25,983,157 Intergovernmental 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 67,809,266 Charges for services 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 38,459,855 Contriubutions - - - - - 11,176,064 15,244,658 11,984,032 7,679,652 - Other 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 11,027,272 Total revenues 189,116,025 188,373,405 191,180,654 194,742,456 210,754,626 253,583,545 276,689,250 278,097,537 305,865,095 341,590,296 Expenditures
Current:

General government 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 56,671,621 Public safety 73,177,912 76,457,979 80,235,099 83,637,644 87,731,136 95,424,528 101,580,642 114,661,942 286,042,703 109,040,668 Public works 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 34,949,572 Community Development - - - 1,974,046 2,030,654 17,601,341 10,860,838 10,951,941 19,453,357 45,770,658 Parks and recreation 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 11,596,166 Library 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 3,115,863 Capital outlay 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 31,055,664 Debt service:

Principal retirement 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 20,191,204 Interest and fiscal charges 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 15,626,455 Payment to refunded bond escrow agent - - - 422,751 2,673,892 - - - - - Total expenditures 186,928,589 231,333,880 189,715,875 227,321,380 210,233,985 243,950,074 250,063,050 272,673,514 600,167,380 328,017,871 Excess (deficiency) of
revenues over (under)
expenditures 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) 13,572,425 Other financing sources (uses):

Transfers in 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 51,475,566 Transfers out (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) (44,115,233) Proceeds from long-term debt 3,963,104 2,174,204 2,121,500 578,224 377,487 - - - - 3,426,935 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 - - - Leases - - - - - 1,285,053 759,697 1,023,800 - 13,323,750 Total other financing sources (uses) 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 24,111,018 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 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$ 37,683,443$ Debt service as a percentage of
noncapital expenditures 6.9% 30.3% 6.9% 20.3% 6.0% 10.0% 10.0% 9.3% 3.6% 10.8% (modified accrual basis of accounting)
Last Ten Fiscal Years
Changes in Fund Balances of Governmental Funds

CITY OF CHULA VISTA
Fiscal Year
188
Fiscal Year Taxable Total
Ended Less: Assessed Direct Tax
June 30, Secured Unsecured Exemptions Value ¹ Rate
2013 21,173,362,084$ 565,751,305 $ (796,316,481) $ 20,942,796,908$ 0.1438% 2014 21,922,151,025 555,819,631 (831,701,747) 21,646,268,909 0.1438% 2015 23,413,030,465 542,342,957 (864,933,069) 23,090,440,353 0.1438% 2016 24,754,131,895 549,312,047 (847,445,301) 24,455,998,641 0.1438% 2017 26,210,551,258 543,505,450 (977,982,199) 25,776,074,509 0.1438% 2018 27,801,823,181 559,678,820 (1,009,910,410) 27,351,591,591 0.1438% 2019 29,390,231,110 592,221,286 (1,118,567,598) 28,863,884,798 0.1438% 2020 31,185,048,225 602,642,833 (1,191,602,603) 30,596,088,455 0.1437% 2021 33,136,962,193 641,452,322 (1,374,268,953) 32,404,145,562 0.1438% 2022 34,629,964,921 570,315,343 (1,606,360,066) 33,593,920,198 0.1438% 1 Includes redevelopment incremental valuation.

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
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 value of the property 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 sold to a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold. The assessed 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. 189
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
City Direct Rates:

City basic rate 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1437 0.1438 0.1438 Overlapping Rates:

Chula Vista Elementary School District Bonds 0.0253 0.0463 0.0475 0.0430 0.0432 0.0359 0.0392 0.0374 0.0646 0.0628 Sweetwater Union High School District Bonds 0.0586 0.0582 0.0541 0.0517 0.0516 0.0516 0.0528 0.0516 0.0488 0.0461 Southwestern Community College Bonds 0.0375 0.0368 0.0358 0.0396 0.0386 0.0498 0.0467 0.0448 0.0279 0.0485 MWD D/S Remainder of SDCWA 15019999 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 County of San Diego** 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 Total Overlapping Rates 1.1249 1.1448 1.1409 1.1378 1.1369 1.1408 1.1422 1.1373 1.1448 1.1609 **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 Note:

In 1978, California voters passed Proposition 13 which sets the property tax rate at a 1.00% fixed amount. This 1.00% is shared by all taxing agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of school bonds and other debt service. Overlapping rates may vary by tax rate area. The data listed in this table is representative of tax rate area 001001.

0.14375071
-

0.00376946
-

1.00000000

CITY OF CHULA VISTA
Direct and Overlapping Property Tax Rates
(Rate per $100 of Assessed Value)
Last Ten Fiscal Years

0.29103670

0.15920355
Fiscal Year

0.00483027

0.00019695

0.00039390

0.14676995

0.18823068

0.05072194

0.00757296

0.00190859

0.00161434
190
Percent of Percent of
Total City Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value Value Rank Value
John Hancock Life Insurance Co 157,468,792$ 1 0.47% Rohr Inc. 147,707,818 2 0.44% 181,597,655$ 1 0.87% GGP Otay Ranch LP 140,428,548 3 0.42% 118,496,741 4 0.57% R-12 A LLC 132,857,878 4 0.40%
Chula Vista Apartments LLC 131,464,456 5 0.39%
Regulo Place Apartments Invest 122,850,382 6 0.37% 92,893,489 5 0.44% Homefed Otay Land II LLC 112,815,211 7 0.34%
Village of Escaya Apartments LLC 111,611,390 8 0.33% Brisa Acquisitions LLC 102,375,300 9 0.30%
NM Pulse LLC 101,981,944 10 0.30%
JPB Development 131,242,850 2 0.63%
Equity Residential 118,922,698 3 0.57%
Bre Properties Inc. 85,724,074 6 0.41%
Corky Mcmillin Homes 74,138,192 7 0.35%
Chula Vista Center LLC 74,126,926 8 0.35%
Camden USA Inc 64,164,161 9 0.31%
Essel LP 51,942,960 10 0.25%
Total 1,261,561,719$ 3.76% 993,249,746$ 4.75%
Sources: MuniServices, LLC, an Avenu Insights & Analytics Company 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
2022 2013
191
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 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% 2022 39,703,800 39,278,153 98.93% 158,717 39,436,870 99.33% 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
192
Fiscal Year Pension Certificates Total Pension Total Total Percentage Debt Ended Obligation of Capital Financed Governmental Obligation Capital Fi nanced Bus-Type Primary of Personal Per June 30, Bonds Loans Participation Leases 2 Purchases 2 Activities Bonds Leases 2 Purchases 2
Activities Government Income 1 Capita 1
2013 -$ 13,902,784$ 128,375,000$ 279,913$ -$ 142,557,697$ -$ - $ - $ -$ 142,557,697$ 1.17% 556$ 2014 - 16,319,311 121,650,000 2,047,312 - 140,016,623 - - - - 140,016,623 1.09% 538 2015 - 15,455,642 117,590,000 2,393,674 - 135,439,316 - - - - 135,439,316 0.99% 516 2016 - 16,205,773 111,195,000 2,467,714 - 129,868,487 - - - - 129,868,487 0.97% 492 2017 - 42,581,074 81,610,000 3,279,703 - 127,470,777 - - - - 127,470,777 0.88% 478 2018 - 117,927,392 78,260,000 5,125,643 - 201,313,035 - - - - 201,313,035 1.46% 750 2019 - 108,811,346 74,770,000 5,243,991 - 188,825,337 - - - - 188,825,337 1.29% 696 2020 - 99,253,322 71,110,000 5,188,939 - 175,552,261 - 10,858 - 10,858 175,563,119 1.13% 642 2021 311,272,126 89,342,072 67,250,000 6,497,094 - 474,361,292 38,752,874 4,500,499 - 43,253,373 517,614,665 2.85% 1,728 2022* 316,587,171 82,444,480 63,205,000 - 4, 800,982 467,037,633 26,932,829 - 3,630,290 30,563,119 497,600,752 n/a ** n/a ** 1 These ratios are calculated using personal income and population for the prior calendar year. 2 GASB Statement No. 87, Leases implementation in FY2022. ** SANDAG's estimates for FY2022 are not available.

Note: Details regarding the City's outstanding debt can be found in the notes to basic financial statements.

Source: San Diego Association of Governments (SANDAG)
City Finance Department
* The Pension Obligation Bonds balance was reallocated between Governmental Activities and Business-Type Activities due to changes in accounting estimates.

Governmental Activities Business-Type Activities

CITY OF CHULA VISTA
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
193
Fiscal Year Pension Percent of
Ended Obligation Assessed Per
June 30, Bonds Total Value 1
Capita
2013 -$ -$ 0.00% -$ 2014 - - 0.00% - 2015 - - 0.00% - 2016 - - 0.00% - 2017 - - 0.00% - 2018 - - 0.00% - 2019 - - 0.00% - 2020 - - 0.00% - 2021 350,025,000 350,025,000 1.08% 1,275 2022 343,520,000 343,520,000 1.02% n/a * 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.
* Per Capita estimate from SANDAG for FY2022 is not available.

Source: San Diego Association of Governments (SANDAG)
City Finance Department

CITY OF CHULA VISTA
Ratio of General Bonded Debt Outstanding
Last Ten Fiscal Years
Outstanding General Bonded Debt
194
2021-22 Assessed Valuation: $33,593,920,198
Total Debt City's Share of Debt
OVERLAPPING TAX AND ASSESSMENT DEBT: 6/30/2022 % Applicable (1) 6/30/2022 Metropolitan Water District 20,175,000$ 0.989% 199,531$ Otay Municipal Water District, I.D. No. 27 720,000 99.996% 719,971 Southwestern Community College District 777,649,345 51.004% 396,632,272 Sweetwater Union High School District 376,281,149 60.518% 227,717,826 Chula Vista City School District 125,545,285 87.823% 110,257,636 Chula Vista City School District Schools Facilities Improvement District No. 1 77,730,000 80.065% 62,234,525 National School District 36,641,000 3.207% 1,175,077 City of Chula Vista Community Facilities Districts 126,885,000 100.000% 126,885,000 Sweetwater Union High School District Community Facilities District No. 1 14,103,580 100.000% 14,103,580 Sweetwater Union High School District Community Facilities District No. 2 83,472 100.000% 83,472 Sweetwater Union High School District Community Facilities District No. 3 4,491,837 100.000% 4,491,837 Sweetwater Union High School District Community Facilities District No. 4 2,384,169 100.000% 2,384,169 Sweetwater Union High School District Community Facilities District No. 5 1,189,476 68.799% 818,348 Sweetwater Union High School District Community Facilities District No. 6 5,227,434 100.000% 5,227,434 Sweetwater Union High School District Community Facilities District No. 10 3,338,880 21.811% 728,243 Sweetwater Union High School District Community Facilities District No. 11 3,479,739 100.000% 3,479,739 Sweetwater Union High School District Community Facilities District No. 12 1,570,317 100.000% 1,570,317 Sweetwater Union High School District Community Facilities District No. 13 2,008,545 100.000% 2,008,545 Sweetwater Union High School District Community Facilities District No. 14 3,724,938 100.000% 3,724,938 Sweetwater Union High School District Community Facilities District No. 15 2,180,706 100.000% 2,180,706 Sweetwater Union High School District Community Facilities District No. 16 2,326,782 100.000% 2,326,782 Sweetwater Union High School District Community Facilities District No. 17 3,589,296 100.000% 3,589,296 Sweetwater Union High School District Community Facilities District No. 18 83,472 100.000% 83,472 City of Chula Vista 1915 Act Bonds 2,870,000 100.000% 2,870,000 California Statewide Communities Development Authority 1915 Act Bonds 434,027 100.000% 434,027 TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT 975,926,743$
DIRECT AND OVERLAPPING GENERAL FUND DEBT:

San Diego County General Fund Obligations 245,340,000$ 5.542% 13,596,743$ San Diego County Pension Obligation Bonds 340,825,000 5.542% 18,888,522 San Diego County Superintendent of Schools Obligations 7,780,000 5.542% 431,168 Southwestern Community College District Certificates of Participation 375,000 51.004% 191,265 Sweetwater Union High School District General Fund Obligations 29,140,000 60.518% 17,634,945 Chula Vista City School District Certificates of Participation 192,105,000 87.823% 168,712,374 City of Chula Vista General Fund Obligations 150,450,462 100.000% 150,450,462 (2) City of Chula Vista Pension Obligation Bonds 316,587,171 100.000% 316,587,171 TOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT 686,492,650$ OVERLAPPING TAX INCREMENT DEBT (Successor Agency): 20,930,000$ 99.664% 20,859,675 $ TOTAL DIRECT DEBT 467,037,633$
TOTAL OVERLAPPING DEBT 1,216,241,435
COMBINED TOTAL DEBT 1,683,279,068$ (3)
(1)
(2)
(3)
Ratios to 2021-22 Assessed Valuation:

Total Overlapping Tax and Assessment Debt 2.91%
Total Direct Debt ($467,037,633) 1.39%
Combined Total Debt 5.01%
Ratios to Redevelopment Successor Agency Incremental Valuation ($1,918,065,814):

Total Overlapping Tax Increment Debt 1.09%

Sources: California Municipal Statistics, Inc.

City Finance Department
Excludes tax and revenue anticipation notes, enterprise revenue and mortgage revenue. Qualified Zone Academy Bonds are included based on principal due at maturity.

CITY OF CHULA VISTA
Direct and Overlapping Debt
June 30, 2022
The percentage of 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.

Includes Certificates of Participation, Loans, Leases, and Financed Purchases. 195
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Assessed valuation 20,942,797 $ 21,646,269 $ 23,090,440 $ 24,455,999 $ 25,776,075 $ 27,351,592 $ 28,863,885 $ 30,596,088 $ 32,404,146 $ 33,593,920 $ Conversion percentage 25% 25% 25% 25% 25% 25% 25% 25% 25% 25% Adjusted assessed valuation 5,235,699 5,411,567 5,772,610 6,114,000 6,444,019 6,837,898 7,215,971 7,649,022 8,101,036 8,398,480 Debt limit percentage 15% 15% 15% 15% 15% 15% 15% 15% 15% 15% Debt limit 785,355 811,735 865,892 917,100 966,603 1,025,685 1,082,396 1,147,353 1,215,155 1,259,772 Total net debt applicable to limit:

Pension obligation bonds - - - - - - - - 350,025 343,520 Legal debt margin 785,355 $ 811,735$ 865,892$ 917,100$ 966,603$ 1,025,685$ 1,082,396$ 1,147,353$ 865,130$ 916,252$ 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% 28.8% 27.3% Note:

Sources: City Finance Department
County of San Diego Property Tax Services
Last Ten Fiscal Years
Legal Debt Margin Information

CITY OF CHULA VISTA
Fiscal Year
The Government Code of the State of California provides for a legal debt limit of 15% of gross assessed valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value.

Effective with the 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.
(Dollars in Thousands)
196
Note:

Source: City Finance Department
The City does not have debt in the last ten fiscal years with this requirement.

Details regarding the City's outstanding debt can be found in the notes to basic financial statements.

CITY OF CHULA VISTA
Pledged-Revenue Coverage
Last Ten Fiscal Years
197
% of S.D. % Change Avg. % High % Bachelor's Personal Per Capita Total County from Previous Median Household School Degree or % Below Un employment 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 2013 256,417 8.0% 2.1% 33.0 3.27 79.0% 25.6% 15.6% 9.90% 12,137,121 $ 47,334 $ 2014 260,177 8.0% 1.5% 32.9 3.29 80.4% 27.8% 12.8% 8.20% 12,819,059 49,271 2015 262,484 8.0% 0.9% 33.0 3.30 82.3% 29.8% 10.6% 6.60% 13,615,626 51,872 2016 264,046 8.0% 0.6% 33.0 3.30 80.1% 27.4% 10.5% 5.2% 13,358,859 50,593 2017 266,427 8.1% 0.9% 33.1 3.30 80.9% 28.1% 11.5% 4.4% 14,432,090 54,169 2018 268,588 8.1% 0.8% 33.1 3.29 85.5% 27.4% 8.4% 3.7% 13,834,485 51,508 2019 271,362 8.1% 1.0% 33.1 3.27 83.2% 29.2% 8.7% 3.60% 14,606,180 53,825 2020 273,384 8.2% 0.7% 33.1 3.25 83.8% 29.2% 9.5% 10.70% 15,598,460 57,057 2021 274,449 8.3% 0.4% 32.9 3.23 82.6% 33.0% 8.9% 7.5% 16,658,152 60,482 2022 * n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a
Source:
y, , p p p p ,
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." ² SANDAG Estimates, Vintage 2021 (2011-2021)
³ American Community Survey (ACS) 1-Year Estimates, Tables B15003 (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." Personal Income and PCPI for 2021 were estimated using the prior year's growth rate.
* SANDAG estimates for FY2022 are not available.

Note: 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 PCPI from BEA. Personal Income is the product of PCPI and Total Population. Dollar values are inflation-adjusted to 2021 dollars. ¹ California Department of Finance, "January Population and Housing Estimates"

CITY OF CHULA VISTA
Demographic and Economic Statistics
Last Ten Calendar Years
Educational Attainment
Data compiled by SANDAG Service Bureau using the following sources:
198
Percent of Percent of
Number of Total Number of Total
Employer Employees Rank Employment Employees Rank Employment Sweetwater Union High School District 3,796 1 5.73% 4,076 1 7.52% Chula Vista Elementary School District 3,668 2 5.53% 2,788 2 5.24% Sharp Chula Vista Medical Center 2,648 3 3.99% 1,736 4 3.34% Southwestern Community College 1,624 4 2.45% 1,562 5 3.30% Wal-Mart 1,524 5 2.30% 1,242 6 2.38% City of Chula Vista 1,308 6 1.97% 1,124 8 2.13% Rohr Inc./Goodrich Aerospace 1,307 7 1.97% 2,469 3 4.17% Scripps Mercy Hospital Chula Vista 1,073 8 1.62% 1,139 7 2.13% Costco Wholesale 707 9 1.07% 534 10 1.03% Transdev Services 602 10 0.91%
Target Corporation 664 9 0.91%

Note:
"Total Employment" as used above represents the total employment of all employers located within City Limits. Per Employment Development Department's CY2021 Quarter 4 average, this amounts to 66,286 employees in current FY.

Sources: State Employment Development Department
City Finance Department
Sweetwater Union High School District
Chula Vista Elementary School District
Southwestern Community College

CITY OF CHULA VISTA
Principal Employers
Current Year and Nine Years Ago
2022 2013
199
Function 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 General Government 282 312 288 205 210 198 160 160 172 165 Public Safety 432 425 469 470 474 492 527 554 620 642 Public Works/Engr 164 161 161 241 228 228 184 180 189 185 Parks and Recreation 115 130 161 176 153 158 229 69 137 192 Library 82 77 88 70 77 73 74 24 39 53 Development Services 49 49 49 57 55 58 73 71 69 71 Total 1,124 1,154 1,216 1,219 1,197 1,207 1,247 1,058 1,226 1,308 Source: City Finance Department
Last Ten Fiscal Years
by Function
Full-time and Part-time City Employees

CITY OF CHULA VISTA
Fiscal Year
200
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Police:

Citizen-initiated calls for service 66,319 65,645 64,486 67,512 65,672 65,643 64,066 66,470 65,537 66,882 Fire:

Number of emergency calls 12,950 14,787 18,328 19,612 19,612 21,397 21,803 22,843 24,794 30,895 Inspections 2,390 2,262 4,209 4,207 4,207 3,907 3,862 4,029 6,071 7,776 Public works:

Street resurfacing/maintenance 1 121,428 38,087 61,640 39,338 61,640 16,178 14,734 61,640 32,923 35,859 (square feet)
Parks and recreation: 3
Number of recreation classes 2,572 2,456 2,388 3,859 3,124 2,658 3,552 2,008 575 2,303 Number of facility rentals 1,915 1,781 1,921 1,573 1,482 688 771 1,100 121 525 Library:

Circulation 992,005 954,071 839,616 706,594 706,594 637,119 539,762 500,195 115,005 502,326 Attendance 2 832,975 822,895 803,535 857,475 857,475 958,117 1,635,849 961,848 162,300 958,723 Sewer:

New connections 968 553 210 2,211 211 502 1,456 1,628 425 107 Average daily sewage treatment 15.7 15.5 15.5 15.4 15.4 15.2 15.9 16.6 16.1 16.8 (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 FY2021, offered limited number of classes and rentals in between.

Source: City of Chula Vista
Last Ten Fiscal Years
by Function
Operating Indicators

CITY OF CHULA VISTA
Fiscal Year
201
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Police:

Stations 1 1 1 1 1 1 1 1 1 1 Fire:

Fire stations 9 9 9 9 9 9 9 10 10 10 Public works:

Streets (miles) 429.5 433.9 433.9 433.9 433.9 434.2 434.2 445.2 445.2 445.2 Streetlights ³ 9,069 9,069 9,069 9,144 9,282 9,539 9,787 9,818 9,828 9,921 Traffic signals ³ 273 273 273 275 275 282 288 294 301 303 Parks and recreation:

Parks (acreage) 1 530.7 527.7 557.2 557.2 708.0 660.0 660.0 704.0 716.9 722.0 Recreation facilities 11 11 11 11 11 11 11 11 11 11 Library:

Libraries 3 3 3 3 3 3 3 3 3 3 Sewer:

Sewer pipes (miles) ² 505.0 511.3 514.3 514.6 514.6 514.6 514.6 516.8 517.0 522.4 Storm drains (miles) ² 249.0 255.2 263.2 266.2 269.6 272.4 273.8 280.6 282.5 307.1 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 in FY2018. 3 Updated Public Works: Streetlights and Traffic Signals per GASB 34 in FY2020.

Source: City of Chula Vista
Last Ten Fiscal Years
by Function
Capital Asset Statistics

CITY OF CHULA VISTA
Fiscal Year
202

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Chula Vista City CouncilMarch 7, 2023

Chula Vista City Council
March 7, 2023