Concord City Council
January 28, 2025

1 COUNCIL MEMBERS
Carlyn S. Obringer, Mayor
Laura M. Nakamura, Vice Mayor
Dominic D. Aliano
Pablo Benavente
Laura M. Hoffmeister
Civic Center
1950 Parkside Drive
Concord, CA 94519
www.cityofconcord.org
Regular Meeting of the
Concord City Council/City
Council Sitting as the
Local Reuse Authority
Tuesday
January 28, 2025
6:00 p.m. - Open Session Council Chamber
1950 Parkside Drive
and/or various
telephonic/electronic
locations
*IMPORTANT NOTICE ABOUT PUBLIC COMMENTS AND MEETING PARTICIPATION* Members of the public are invited to attend and participate at: Council Chamber, 1950 Parkside Drive, Concord, CA.

Please note the following change to the City’s public comment procedures: Unless a Councilmember is participating in the meeting remotely pursuant to AB 2449, remote public comment will not be accepted. Public comment may be provided in-person or via email, as set forth below. Members of the public desiring to provide comments as a part of the meeting are encouraged to either submit written comments by 3:00 p.m. prior to the meeting or to attend the meeting in person.

HOW TO PARTICIPATE
The public is invited to participate in the City Council meeting using any of the following methods:

1. IN PERSON:
a.Members of the public can provide in-person comments in the Council Chamber.

Members of the public are encouraged, but not required, to fill out a speaker card. The Council Chamber will have seating available for members of the public to attend in person up to full seating capacity.

Amended Agenda
Changes Reflected in Green
Highlight – Time of Meeting
updated from 6:30 p.m. to
6:00 p.m.
2 2. REMOTE: Remote public comment will not be accepted, except when a Councilmember participates remotely pursuant to AB 2449. At the time of the posting of this agenda, Councilmember Nakamura has notified the City Clerk’s Office that they intend to participate remotely pursuant to AB 2449, and therefore remote public comment will be accepted at the meeting. If, after publication of this agenda and before the meeting begins, any other councilmember determines that they will need to participate remotely due to just cause or emergency circumstances under AB 2449, their remote participation will be announced at the outset of the meeting in connection with the Roll Call item. If a Councilmember participates in the meeting remotely pursuant to AB 2449, the public may participate and provide public comment remotely, as follows:
a. Zoom:
https://cityofconcord.zoom.us/j/81293001932?pwd=2bT4hAEfCw9sfCnQ_YRS8dztp9cahg.dZlgC vCBu2S40kxn or Zoom Webinar ID: 812 9300 1932 and Passcode: 957670. b.Zoom Phone Numbers. Dial Toll Free: (669) 900-6833 or (346) 348-7799 or (253) 215- 8782.
c.During the meeting, each period for public comment will be announced, and participants may use the “Raise Hand” feature on Zoom to request to speak. If calling in via Zoom use *9 to raise and lower your hand. The meeting host will call on you, by name, and promote you to panelist in the webinar so you can be seen via your camera. Please enable your microphone when it is your turn to speak. In order to ensure the orderly administration of the meeting using this method, providing your name is encouraged, but is not required. (If you need instructions on how to use this feature, please contact the City Clerk by 3:00 p.m. of the meeting date at [email protected]).

3. EMAIL:
a.Public comments can also be submitted via email to [email protected]. Please note that emailed comments will not be read aloud by staff. Any public comments received up until 3:00 p.m. of the meeting date will be:

1. distributed to the Council before the meeting,

2. posted online for public inspection at
https://stream.ci.concord.ca.us/OnBaseAgendaOnline/Meetings/Search, and

3. inserted into the meeting record.
b.As emails containing public meeting comments are part of the official record, note that personal contact information may be published if it is included with your email.

4. TO WATCH OR LISTEN ONLY:
a.Watch on TV on Comcast Channel 28, Astound/Wave Channels 29 and 1026, and AT&T U-verse Channel 99
b.Watch the TV broadcast through the City’s website by following THIS LINK c.Watch Live Streaming of the meeting by following THIS LINK d.Join the Zoom webinar by following THIS LINK
3 5. INTERPRETATION OR WRITTEN TRANSLATION:

OPEN SESSION

1. OPENING
Roll Call – Announcements/Consideration and Approval of Requests by Councilmembers to Participate Remote Pursuant to AB 2449.

Pledge of Allegiance – Councilmember Aliano

2. PUBLIC COMMENT PERIOD
This is a 15-minute Public Comment Period for items within the City Council’s subject matter jurisdiction that are not on this agenda. Each speaker will be limited to approximately three minutes.

State law prohibits the City Council from acting at this meeting on any matter raised during the Public Comment Period. Please see “How to Submit Public Comments” above.

3. PRESENTATIONS
a. Proclamation – recognizing Floyd Roseberry for his years of service to the City of Concord. Presentation by Mayor Obringer.
b. Presentation – by Jamie Elmasu, Director, Community Health Improvement, John Muir Health, providing 2025 updates. Introduction by Mayor Obringer c. Presentation – by Walter Eichinger, Chair, Todos Santos Business Association, on the Downtown Safety and Cleanliness Downtown Pilot Program funded by one-time ARPA funds. Introduction by Marie Suvansin, Economic Development Manager.

1. To access interpretation or written translation during the meeting, please scan the QR Code or click this link:

Para accesar a la traducción durante la reunion, por favor escanee el Código QR o haga clic en el enlace:
https://attend.wordly.ai/join/SYMQ-8840

2. Choose Language and Click Attend
Seleccione su lenguaje y haga clic en asistir

3. Use a headset on your phone for audio or read the transcript on your device.

Use sus auriculares para escuchar el audio o leer la transcipción en el dispositivo.
4 d. Presentation – update from BCUS Acquisitions LLC (Brookfield Properties) on the Concord Community Reuse Project at the former Concord Naval Weapons Station. Introduction by Guy Bjerke, Director of Economic Development and Base Reuse.

4. CITY COUNCIL CONSENT CALENDAR
The public is entitled to address the City Council on items appearing on the Consent Calendar before or during the City Council’s consideration of the Consent Calendar. Adoption of the Consent Calendar may be made by one motion of the City Council, provided that any Councilmember, individual or organization may request removal of an item from the Consent Calendar for separate consideration.

If a request for removal of an item from the Consent Calendar has been received, the Mayor may defer action on the particular item and place the same on the regular agenda for consideration in any order s/he deems appropriate. Please see “How to Submit Public Comments” above. a. Considering – approval of an agreement with Contra Costa County Health Services to provide a three-member team working fulltime in Concord to provide Coordinated Outreach Referral and Engagement (CORE) services for three years within the City of Concord in a not-to-exceed amount of $1,277,706 ($397,594 for FY2023-24, $427,912 for FY2024-25, and $452,200 for FY2025-26), and authorizing the City Manager to execute the Agreement in a form acceptable to the City Attorney. (Measure V and PLHA Grant Funding) Recommended by the City Manager.

CEQA: Not a project/exempt pursuant to Public Resources Code Section 21065, CEQA Guidelines Section 15060(c)(2), 15061(b)(3), 15273, and/or 15378.
b. Considering – acceptance of the Annual Comprehensive Financial Report with the Independent Auditors' Report and Required Communications Letter for the fiscal year ending June 30, 2024. Recommended by the Acting Director of Finance.
c. Considering – approval of the third amendment to the Professional Services Agreement, Agreement No. 3328, for financial, accounting, and administrative services with Robert Half International, Inc. in the amount of $241,000 for a not-to-exceed amount of $361,000 for the term of this agreement, and authorizing the City Manager to execute the agreement in a form acceptable to the City Attorney. (General Fund) Recommended by the Acting Director of Finance.
d. Considering – the recommendation to reappoint Tijuk Fong Kurniadi to continue to serve as Concord's Representative on the Central Contra Costa Transit Authority Advisory Committee (County Connection) for a four-year term ending December 31, 2028. Recommended by the Mayor. 5 5. CITY COUNCIL CONSIDERATION ITEMS
The public is entitled to address the City Council on items appearing on the agenda before or during the City Council’s consideration of that item. Each speaker will be limited to approximately three minutes. Please see “How to Submit Public Comments” above. a. Considering – the adoption of an agreement with Strategic Economics to create a new Economic Development Strategic Plan for a total not-to-exceed amount of $107,750 (base contract of $97,935 and inclusion of an approximately 10% contingency). Report by Marie Suvansin, Economic Development Manager.

CEQA: Not a project/exempt per CEQA Guidelines Sections 15060(c), 15061(b), 15262, 15273, 15378, and/or Public Resources Code Section 21065.
b. Considering – staff’s proposed work program to establish regulations addressing sidewalk vending. Report by Meredith Rupp, Principal Planner.

CEQA: Not a project/exempt pursuant to CEQA Guidelines Sections 15060(c), 15061(b)(3) and 15378, and/or Public Resources Code Section 21065.

6. CORRESPONDENCE
Correspondence received at the City Council meeting will be listed here on the Annotated Agenda.

7. REPORTS AND ANNOUNCEMENTS
Closed Session Announcements
City Manager or Staff Reports
Council Reports
a. Announcing – the Mayor’s appointment of two Councilmembers to serve on a Council Ad Hoc Committee to advise the City Manager on efforts to pursue State and Federal grants and other funding opportunities. Report by Mayor Obringer.

CEQA: Not a project/exempt pursuant to Public Resources Code Section 21065, CEQA Guidelines Sections 15060(c), 15061(b)(3), 15262, 15273, and/or 15378
6 8. ADJOURNMENT
Next Meeting: Regular Meeting
Date: 2/4/2025 6:30 PM

NOTICE TO THE PUBLIC
There is a 90-day limit for the filing of a challenge in the Superior Court to certain City administrative decisions and orders which require a hearing by law, the receipt of evidence, and the exercise of discretion. The 90-day limit begins on the date the decision is final (Code of Civil Procedure §1094.6). Further, if you challenge an action taken by the City Council in court, you may be limited by California law to raising only those issues you or someone else raised in the hearing or in a written correspondence delivered to the City Council prior to or at the hearing.

In accordance with the Americans with Disabilities Act and California Law, it is the policy of the City of Concord to offer its public programs, services and meetings in a manner that is readily accessible to everyone, including those with disabilities. If you are disabled and require a copy of a public hearing notice, or an agenda and/or agenda packet in an appropriate alternative format; or if you require other accommodation, please contact the ADA Coordinator Tianjun Cao at (925) 671-3243 or [email protected], at least 24 hours in advance of the meeting. Advance notification within this guideline will enable the City to make reasonable arrangements to ensure accessibility.
proprietary and confidential
Community Health
Improvement Overview
Jamie Elmasu, MPH
Director, Community Health Improvement
1 3.b

proprietary and confidential
Our
Community
Commitment
2

proprietary and confidential
Who Encompasses Our Community?
3 Our
Community
Immigrant
&
Refugees
Uninsured
people
Elders
Children
Non-
English
Speakers
Undocu-
mented
Low-
income
Un-
housed

proprietary and confidential 4

proprietary and confidential
2022 Community Health Needs
Assessment
Priority Areas for 2023, 2024 & 2025 Funding
5 • Healthcare Access & Delivery
• Behavioral Health
• Housing & Homelessness
Structural Racism, addressed by providing:

proprietary and confidential
2023, 2024 & 2025
Community Health Improvement Programming
6

proprietary and confidential
2023-2025 Grantees
7 Healthcare Access &
Delivery
• Contra Costa Health
Services Oral Health
Program
• Independent Living
Resources
• Inspiring Communities
• Junior Achievement of
Northern California
• Malta Clinic
• Meals on Wheels of Diablo
Region
• Monument Impact
• Operation Access
• St. Vincent de Paul
• The Rotary Club of Alamo
Behavioral Health
• Center for Human
Development
• Family Justice Center
• Fred Finch Youth and Family
Services
• Meals on Wheels of Diablo
Region
• Mental Health Connections
(formerly Putnam Clubhouse)
• Monument Crisis Center
• Monument Impact
• NAMI of Contra Costa
• One Day at a Time
• Planting Justice
• RYSE Center
• Village Community
Resource Center
• Women's Cancer Resource
Center
Housing & Homelessness
Prevention
• Alameda County
Community Food Bank
• Food Bank of Contra
Costa and Solano
• Goodness Village
• Healthy and Active Before
Five
• Hope Solutions
• Philip Dorn Respite
Center, CCC Housing &
Homeless Services
• Shelter, Inc.
• Support4Recovery
• Trinity Center
• White Pony Express

proprietary and confidential
Our Program Reach
8

proprietary and confidential
Funding Opportunities

1. Community Support Committee
• For one-time events or fundraisers
• Applications accepted year- round
• Funding range: $1,000-$10,000
• Applications received via online form:
https://www.johnmuirhealth.com/about-john-muir-health/community- commitment/community-support-requests.html

2. Community Health Improvement Partnerships &
Programming
• For sustained programming
• 3- year funding approach
• Funding range: $20,000-$400,000 annually
• Application cycle for 2026, 2027 & 2028 opens October 2025 • Applications by invite only
9 2023-2025:

JMH provided
$3.5m
funding per
year

proprietary and confidential
Highlighted Programming
in Concord
10

proprietary and confidential
School-Based Services
• Uninsured rates are among the
highest in the region
• Cambridge and Meadow Homes
Elementary Schools are low-
income Title I schools
• Mt. Diablo Unified School District
does not have school nurses at
every school
• Emergency Department diversion
strategy
11 Access to Healthcare

proprietary and confidential
• Operating since 2001
• Providing free medical services to any uninsured person • Partnerships with John Muir Health Family Medicine Residency Program, Community Health Improvement, Contra Costa County Healthcare for the Homeless
• Medi-Cal Enrollment Specialists onsite
• Parked in Concord every Wednesday!
12

proprietary and confidential
Mobile Dental Clinic Collaborative
13 Photo from our Mobile Dental Clinic debut celebration highlighting our partners:

La Clínica de la Raza, Lifelong Medical Care, Contra Costa Oral Health Program

proprietary and confidential
Community-Based
Interventions
• Since 2015, JMH has
supported Monument
Impact’s Mentes Positivas
en
Acción program
• Trained over 100 mental
health promotores,
reaching thousands of
individuals
• Anxiety, stress, depression
reduction
14 Mental Health
See our full Mental Health Resource Guide:
https://www.johnmuirhealth.com/about-john-muir-health/community- commitment/our-programs/mental-health-resources.html

proprietary and confidential
Young Healers High School Program
• In partnership with Junior Achievement of
Northern California, JMH offers learning
opportunities for high school students
interested in exploring healthcare careers.
• Onsite internships offered twice annually.
• Young Healers Workshops.
• “I Belong” Scholarships.
• In partnership with Mt. Diablo Unified
School District for over two decades.
15 Workforce of the Future
For student opportunities:
https://www.johnmuirhealth.com/about-john-muir-health/community- commitment/our-programs/student-programs.html

proprietary and confidential
Programs Funded in Concord 2023-2025 (full list)
Healthcare Access & Delivery
•Mobile Health Clinic – providing free medical care to uninsured - park in Concord Wednesdays @ Monument Impact
•Mobile Dental Clinic in partnership with La Clínica de la Raza & Contra Costa Health Services Oral Health Program – park at MDUSD elementary schools
•RotaCare Concord – primary care clinic, where JMH provides in-kind vehicle driver •Community School Nurse – direct service at Cambridge and Meadow Homes Elementary •Independent Living Resources for Medical Equipment Loan Program •Operation Access – providing outpatient surgical services for uninsured •Specialty Care Program – providing inpatient specialty clinical services for uninsured •Every Woman Counts Program – providing breast cancer services for uninsured Behavioral Health
•Center for Human Development for Beyond Violence & Restorative Justice programs •Family Justice Centers of Contra Costa for Beyond Violence & general program support •Fred Finch Youth and Family Services mental health services with Center for Human Development •Meals on Wheels of Diablo Region programming to reduce social isolation in older adults •Mental Health Connections (formerly Putnam Clubhouse)
•Monument Crisis Center Senior Moments Program
•Monument Impact Mentes Positivas en Accion community mental health program •NAMI of Contra Costa mental health support services
Housing & Homelessness Prevention
•Hope Solutions providing affordable housing and support services •Philip Dorn Respite Center, CCC Housing & Homeless Services •Shelter, Inc. providing affordable housing and emergency homelessness prevention funds •Support4Recovery Housing Grants for Sober Living in Pueblo del Sol Food
•Food Bank of Contra Costa and Solano
•White Pony Express
Workforce of the Future
•Young Healers in partnership with Young Junior Achievement of Northern California •Mt. Diablo Unified School District
–high school student internships, workshops & volunteer opportunities •“I Belong” Scholarship
•JMH representation on Mt. Diablo Business Education Alliance •JMH Hosts Annual Campus to Commerce Event
JMH supports
26 programs
in Concord
Serving over
3,000
individuals

proprietary and confidential
2024 Events Sponsored in Concord (full list)
17 Partner Organization Event Name
Monument Crisis Center The Heartfelt Gala
Bay Area Crisis Nursery Crab feed and auction
Mental Health Connections Annual Gala
Food Bank of Contra Costa and Solano Nourish Gala
SHELTER, Inc. Swing for SHELTER
NAMI Contra Costa Annual Crab Feed Fundraiser
La Concordia Wellness Center 4th anniversary Gala
Child Abuse Prevention Council 16th Annual Benefit Auction and Luncheon Mt. Diablo Education Foundation 2024 Bocce Tournament
Monument Crisis Center Community Awareness Event
Diablo Japanese American Club Japanese American Obon Festival Concord Communities Alliance Juneteenth Celebration
Bike Concord / Bike East Bay The Bike Tent at
Todos Santos Farmer's Market
Todos Santos Arts Association Concord's 4th of July Celebration Monument Impact Stronger Together Gala
Community Youth Center CYC Golf Challenge
We Care Services for Children We Care's Annual Gala
Rainbow Community Center Pride in the Plaza
STAND! for Families Free of Violence Rebuilding Lives event Monument Crisis Center Annual benefit gala
Bay Area Crisis Nursery Crab Feed and Auction
PFLAG Clayton-Concord Pride Prom 2024
In 2024, JMH
sponsored 22
events in
Concord

proprietary and confidential
Resources
18

proprietary and confidential
CHNA & Implementation Strategy Reports
19 Reports Available:
https://www.johnmuirhealth.com/about-john-muir-health/community-commitment.html

proprietary and confidential 20

Downtown
Welcome & Cleanliness
Program
May 2023 – Jan 2025

3.c

TSBA Business District Page 2 of 17
Early in 2023, TSBA identified key
concerns and needs for the downtown

Concord Downtown
Welcome & Cleanliness Program Goals
• Preserve and enhance the vitality of our
historic downtown Concord
• Enhance partnerships with City Council, City
Staff, Public Works, Concord PD, Visit Concord,
Concord Chamber, and other agencies.
• Improve the security, safety, cleanliness, and
perception of our downtown
• Create private partnerships for future funding

TSBA Concord Downtown
Welcome & Cleanliness Program
• February 2023 Grant of $508,490
• Federal ARPA Grant $458,490
• Brenden-Mann Foundation Grant $50,000
• Daily Downtown Security Officer 1230-900 pm
• Daily Day-Porter Service 800am-400pm
• As-needed Pressure Washing in high traffic areas
• All 3 began operations in mid-2023

What has been successful?

• Canasta Kitchen
• Concord Mini Mart
• Bridges Salon
• Cinnaholic
• I Love Teriyaki
• Pizza Guys
• Bombay Trading
• Dimension Nails
• Fix that Mac
• Teaspoon
• Baskins Robbins
• Burger House
• BK Myabi
• Milano
• Deluxe Nails
• Sourdough
• Molli
• And more

TSBA Day-Porter Services
May 2023 – Jan 2025
610 Shifts
4880 Hours
587 FULL TRASH BAGS

TSBA Welcome & Cleanliness
Program
• Pressure Washing Service
• 22 service visits
• Over 200 hours of pressure
washing
• Chase area
• Grant St
• Peets area
• Starbucks area
• Adobe Street
• Salvio Street

What has not been successful?

No movement on securing a broad
based private funding program

What TSBA is asking for?

Funding to continue the Security Services
• Current funding for officer ends May 11.
• Monthly Cost: $12,644
• TSBA contributes $1000 per month
• Seeking Funding for: $11,644 per month

TSBA says Thank You!
TSBA sincerely appreciates the incredible
cooperation and support from City Council, City
Staff, Public Works and Engineering, and Concord
PD over the entire Welcome Program.

CNWS December Virtual Open House
Post Summary Report
January 2025

3.d

2 The purpose of the virtual open house was
for attendees to:

Have an accessible opportunity to join a CNWS event
from their home or a remote location
Engage with the CNWS Project Team, receive updates
on current progress, and learn about the CNWS
development process
Provide feedback on future CNWS engagements by
responding to interactive polls during the event
regarding:
• Preferred days/times for future CNWS engagements
• Priority project topics of interest for upcoming
topic-specific workshops
Ask questions about the CNWS project and receive
live answers from our project team during a Q&A session December 12 Virtual Open House Overview
The virtual open house was hosted on December
12, 2024, from 6:30 – 7:30 p.m. on Zoom.

Community members attended the first Virtual Open House for the Concord Naval Weapons Station (CNWS) project.

CNWS Virtual Open House
Development Process Updates

4 Entitlement/EDC Conveyance Process
2024 2025 2026 2027 2028 2029 2030
Infrastructure/
Land
Planning/
Technical
Studies
Economic
Development
Conveyance
(EDC), Navy
Land Transfer
Specific Plan,
Environmental
Impact Report
(EIR)
Brookfield
Community
Engagement
Technical Studies
MOA Negotiations
MOA
Approval
City Council
Approvals and
NOD filed
Consultant Drafts
Specific Plan with
LRA, Brookfield
Admin Draft
Specific Plan
Finalize
Specific
Plan
Hire EIR
Consultant
Admin Draft EIR and
public review
EDC
Application
Submittal
Term sheet
negotiation
First Navy
Land Transfer
Response to Comments/Final EIR
LRA Term
Sheet
Approval
City Council Approvals and NOD filed
LRA Issues NOP
Brookfield Project Open Houses/Workshops/Updates to the City Council Hiring of
Specific Plan
Consultant
Infrastructure
Planning/Phasing
Refinement
Schedule subject to change and approvals.

5 Entitlement/EDC Conveyance Process (Continued)
2024 2025 2026 2027 2028 2029 2030
Disposition
and
Development
Agreement
(DDA),
Development
Agreement
(DA)
Resource
Agency
Permitting
Final
Mapping/
Horizontal Site
Development
Commences/
Habitat
Mitigation
US Fish and Wildlife, CA Fish and Wildlife, Army Corps, RWQCB permitting City Council
Approvals
Final Permits
Issued
Negotiation
of DA/DDA
Finalize
DA/
DDA
Final Map Design
and Processing
Drafting of
DA/DDA
Site Improvements/
Habitat Mitigation
Schedule subject to change and approvals.

6 Virtual Open House Participants:

Feedback Summary
74 PARTICIPANTS JOINED
43 QUESTIONS WERE ASKED
25 QUESTIONS WERE ANSWERED
the Virtual Open House
on December 12, 2024.
from our participants
during the Q&A
Portion.
live from our presenters
during the Q&A
Portion. *
*Brookfield has prepared responses to questions we were unable to get to during the meeting and they were posted to our webpage on 1/28.

Questions asked during the Virtual Open House focused topics, including:

Housing types, affordable housing
Land transfer with the Navy
Traffic and transportation infrastructure
improvements
Natural gas, solar and infrastructure plans
Project Labor Agreement and local
job creation
Creek flooding mitigation and restoration
Connection to Thurgood Marshall Regional
Park (Home of the Port Chicago 50)
We have posted
the
full presentation
and recording of
the meeting on
our webpage

7 Virtual Open House Participants:

Polls Response
Preferred days/times for future CNWS engagements.

Responses indicated:

Weekdays are preferred for CNWS engagements, Saturday
is the preferred weekend option
6:00 – 8:00 p.m. and 5:00 – 7:00 p.m. are preferred times for upcoming CNWS engagements
Project topics of interest for upcoming
CNWS Topic-Specific Workshops.

Responses indicated:

Affordable housingPublic benefits
Site connectivity
and traffic
Participants were asked to complete two interactive polls during the virtual event.

Job creation

CNWS Engagement Year In Review 2024
Community Events
• 274 Total attendees across all 3 events
 120 Attendees from Open House 1, 6/15
 80 Attendees from Topic Specific Workshop 1,
9/17
 74 Attendees from Virtual Open House, 12/12
Community & Stakeholder Engagement
• 90 Total engagement meetings
 11 Individual meetings
 64 Organization meetings
 15 State, county, city meetings
City Council Updates
• 5 Meetings (3/19, 6/25, 8/26, 10/8, 11/14)
Webpage Metrics
• ConcordBPproject.com launched May 22, 2024
• 2.2K unique users visited the webpage in 2024
• Webpage was viewed 3.7K times
Eblasts
• 11 Total eblasts distributed
• 483 Email subscribers
8

We look forward to continuing to connect with the Concord community in 2025. • In 2025, our team will:
o Continue coordinating with project partners
o Participate in meetings with stakeholders
o Cultivate informal opportunities to engage with the
community
o Host workshops based on available information and
project progress
o Continue to share project updates and progress
through our monthly Eblasts and
concordbpproject.com
2025 Community Engagement
9 Brookfield’s June Open House

We’d love to hear from you!
Email:
[email protected]
Website:
concordbpproject.com
Thank you for your time!
The Future is Bright.

Concord Naval Weapons
Station (CNWS) Project
Phone:
925-430-7378

Staff Report
Date: January 28, 2025
To: City Council
From: Valerie J. Barone, City Manager
Subject: Considering approval of an agreement with Contra Costa County Health Services to provide a three-member team
working fulltime in Concord to provide Coordinated Outreach Referral and Engagement (CORE) services for three years within the City of Concord in a not-to-exceed amount of $1,277,706 ($397,594 for FY2023-24, $427,912 for FY2024-25, and $452,200 for FY2025-26), and authorizing the City Manager to execute the Agreement in a form acceptable to the City Attorney (Measure V and PLHA Grant Funding)
CEQA: Not a project/exempt pursuant to Public Resources Code Section 21065, CEQA Guidelines Section 15060(c)(2), 15061(b)(3), 15273, and/or 15378.

Report in Brief
The City has been contracting with the County to provide Coordinated Outreach Referral and Engagement (CORE) services in Concord since 2017. Initially, the City partnered with Walnut Creek and funded the half time services of a two-member CORE team in each of those communities. In January of 2021, the City of Concord transitioned to a full time two-member team working solely in Concord. In November of 2021, the City added a third member to the CORE team, a Care Coordinator, to provide case management to unsheltered clients, in addition to the work of the CORE outreach team members. CORE is a County program that works to locate, engage, stabilize, and house individuals that are unsheltered. CORE acts as the entry point into County services and housing.

Recommended Action
Approve an agreement with Contra Costa County Health Services to provide a three- member team working full time in Concord to provide Coordinated Outreach Referral and Engagement (CORE) services for three years within the City of Concord in a not-to-

4.a4.a4.a4.a4.a4.a

City Council Agenda Report
Agenda Item No. 4.a
January 28, 2025
exceed contract amount of $1,277,706 ($397,594 for FY2023-24, $427,912 for FY2024- 25, and $452,200 for FY2025-26), and authorize the City Manager to execute the Agreement in a form acceptable to the City Attorney.

Background
CORE was established by the County to engage and stabilize homeless individuals living outside through consistent outreach to facilitate and/or deliver health and basic services and secure housing. CORE teams act as an entry point into the Contra Costa County Coordinated Entry System for unsheltered persons and families. CORE teams do not provide a crisis response. If in crisis, 911 should be called. Anyone can call 211 to notify CORE of an unsheltered individual who could benefit from CORE services.

Because CORE at a county-wide level operates with a limited budget, the City of Concord has been funding extra and directed to Concord CORE services since 2017.

In 2017 the City of Concord partnered with the neighboring City of Walnut Creek and funded one full-time, two-member, CORE team to work half-time in each of our communities. After Concord’s Community Conversation on Homelessness and Mental Health, which occurred on August 12, 2020, the Council began discussing increasing the City’s use of a CORE team from half-time to full-time and in January 2021, did so.

The CORE program is funded from Measure V revenue, which is consistent with how Measure V was described to voters when it was on the ballot. In November of 2021, the Council approved adding a third member to the Concord CORE team to provide social work services and case management support to Concord’s unsheltered population and began paying for this third member through its Permanent Local Housing Allocation (PLHA) grant.

The City has been operating with a three-member, fulltime CORE team ever since. The CORE team working in Concord has the following stats for the last full year of service and this year’s partial year of service. (See Attachment 2 for more detail) • July 1, 2023 - June 30 2024: The team engaged in 3,338 contacts, of which 843 were unduplicated. Ninety-four (94) individuals were transitioned from the streets to shelter. Fifty-three (53) individuals were transitioned from the streets into permanent housing. The Concord Care Coordinator position worked with 475 individuals.
• July 1, 2024 - November 30, 2024: The team engaged in 1,028 contacts, of which 366 were unduplicated. Twenty-five (25) individuals were transitioned from the streets into shelter. Twenty-eight (28) individuals were transitioned from the streets into permanent housing. The Concord Care Coordinator worked with 283 individuals.

CORE is not the City’s only support to the unsheltered population. The City funds other programs annually through CDBG grants and operates a Rapid Rehousing Program through a PLHA grant and is investing one-time funding of $5 million into other supports

City Council Agenda Report
Agenda Item No. 4.a
January 28, 2025
for the homeless population, as an outcome to its work on its Homeless Strategic Plan. (See Attachment 3 and 4 for more detail). This includes funding by the City of $25,500 annually ($12,500 in Community Development Block Grant (CDBG) funds and $13,000 in Concord/Pleasant Hill Health Care District funds) to support the Countywide CORE Evening team, which also provides services in Concord during the hours the Concord dedicated team is not working.

Analysis
Within Contra Costa County generally and Concord specifically, the unsheltered population receives services and support from the County and other non-profit service providers. The City of Concord does not provide social services directly. The County’s system relies on CORE employees to move people into services and housing.

Consequently, as a means of supporting the unsheltered population to access services, the City funds the CORE program. The CORE team is in regular communication with both the City’s Community Services and Housing staff and the City’s Community Impact Unit in our Police Department.

The City failed to enter a timely contract extension with the County for last fiscal year— and the County continued to provide the services in good faith. Consequently, this staff report presents a three-year contract to Council for approval, which will cover last fiscal year, this fiscal year and next fiscal year.

Environmental Determination
This activity does not constitute a “project” and/or is exempt from environmental review pursuant to Public Resources Code Section 21065, California Environmental Quality Act (CEQA) Guidelines Sections 15060(c)(2), and/or 15378 because there is no potential that it will result in a direct or reasonably foreseeable indirect physical change in the environment, and/or 15273 because it involves government funding/fiscal activities.

Even if the activity does comprise a project for CEQA analysis, it falls within the “common sense” CEQA exemption set forth in CEQA Guidelines Section 15061(b)(3), excluding projects where “it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.” No unusual circumstances exist and none of the exceptions under CEQA Guidelines Section 15300.2 apply. Individual projects will undergo CEQA analysis as necessary.

Financial Impact
The agreement establishes a not-to-exceed contract amount of $1,277,706 ($397,594 for FY2023-24, $427,912 for FY2024-25, and $452,200 for FY2025-26). Funds for last fiscal year and this fiscal year are available within the approved budget from a combination of Measure V funding and funding from the City’s PLHA grant. Funds for next fiscal year have not yet been budgeted but will be budgeted in next year’s operating budget. Specifically, the contract will be funded as shown in the table below.

City Council Agenda Report
Agenda Item No. 4.a
January 28, 2025
Measure V Funding PLHA Grant
Funding
Total Funding
Fiscal Year 2023-24 $275,594 $122,000 $ 397,594
Fiscal Year 2024-25 $297,912 $130,000 $ 427,912
Fiscal Year 2025-26 $352,200 $100,000 $ 452,200
TOTAL FUNDING $925,706 $352,000 $1,277,706
If Council does not approve funds in next year’s budget for Fiscal Year 2025-26 to support this agreement, the County would cease to provide CORE services to Concord.

Measure V is an appropriate funding source to support the CORE program as support to the unsheltered was one of the services shared with voters when the Measure was on the ballot. The PLHA grant has included financial support of the Care Coordinator position since we added the position to our contract with the County and it remains eligible for funding under the program.

Public Contact
The City Council Agenda was posted. County Health was sent a copy of the report and will be present at the January 28 City Council meeting.

Attachments

1. Agreement with Contra Costa Health Services

2. City of Concord CORE Report from Contra Costa Health

3. Concord Homeless Outreach Fact Sheet

4. Table on Concord’s One-Time Funding to Implement the Homeless Strategic Plan

AGREEMENT FOR PROFESSIONAL SERVICES
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THIS AGREEMENT ("Agreement") is entered into on January 28, 2025 between the City of Concord, a California municipal corporation, ("CITY") and Contra Costa County, on behalf of its Health Services Department’s Health Housing and Homeless Services Division, 2400 Bisso Lane, Suite D 2nd Floor, Concord, CA 94520 (“CONSULTANT”).

THE PARTIES ENTER THIS AGREEMENT based upon the following facts, understandings and intentions:

Whereas, the CITY and CONSULTANT entered into Agreement No. 5606, dated August 1, 2017 for CONSULTANT to provide a homeless outreach program dubbed CORE (Coordinated Outreach, Referral, and Engagement) to the CITY, as amended by the First Amendment to Agreement (CCA-5606-A) dated March 1, 2019 to amend terms and compensation, the Second Amendment (CCA- 5606-B) dated July 1, 2019 to extend the term, the Third Amendment (CCA-5606-C) to extend the term, the Fourth Amendment (CCA-5606-D) to extend the term, the Fifth Amendment (CCA-5606-E) to amend the scope of services and compensation, and the Sixth Amendment (CCA-5606-F) to extend the term, and
Whereas, the Parties seek to have CONSULTANT continue to provide these services.

The CITY desires to contract with CONSULTANT to provide the professional services described in Section 2 of this Agreement, upon the terms and conditions hereinafter set forth.

NOW, THEREFORE, IN CONSIDERATION of the mutual covenants and promises of the parties herein contained, the parties hereto agree as follows:

1. TERM. This Agreement shall commence on July 1, 2023 and expire June 30, 2026, to cover services performed from July 1, 2023 through June 30, 2026.

2. SCOPE OF SERVICES. Subject to such policy direction and approvals provided by the CITY's Authorized Representative, CONSULTANT shall perform the services described in detail in Exhibit A, Scope of Services. CITY retains all rights of approval and discretion with respect to the projects and undertakings contemplated by this Agreement.

3. PAYMENT. The compensation to be paid to CONSULTANT including payment for professional services and reimbursable expenses, shall be at the rate and schedules in detail in Exhibit A. However, in no event shall the amount CITY pays CONSULTANT exceed three hundred ninety- Attachment 1

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seven thousand five hundred ninety-four dollars ($397,594) for the fiscal year 2023-2024, four hundred twenty-seven thousand, nine hundred twelve dollars ($427,912) for the fiscal year 2024-2025, and four hundred fifty-two thousand two hundred dollars ($452,200) for fiscal year 2025-2026. Any Amendment to this Agreement that includes an increase to this compensation amount shall be made in accordance with Section 5 below.

CONSULTANT may submit quarterly statements for services rendered; all statements shall include adequate documentation demonstrating work performed during the billing period. It is intended that CITY review such statement and pay CONSULTANT for services rendered within forty-five (45) days of receipt of a statement that meets all requirements of this Agreement. Payment by CITY shall not be deemed a waiver of unsatisfactory work, even if such defects were known to the CITY at the time of payment.

4. AUTHORIZED REPRESENTATIVES. Authorized representatives shall represent CITY and CONSULTANT in all matters pertaining to the services to be ordered by CITY or rendered by CONSULTANT under this Agreement except where approval for the CITY is specifically required by the City Council. The CITY’s authorized representative is Mindy Gentry, Community Development Director. The CONSULTANT’s authorized representative is Christy Saxton, Contra Costa Health Services, Health Housing and Homeless Services Director.

5. AMENDMENT TO AGREEMENT. This Agreement may be amended in writing, subject to approval by both parties. If additional services are requested by CITY other than as described in the above Scope of Services, this Agreement may be amended, modified, or changed by the parties subject to mutual consent and in accordance with the CITY’s Municipal Code by execution of an Amendment by authorized representatives of both parties setting forth the additional scope of services to be performed, the performance time schedule, and the compensation for such services.

CONSULTANT’s failure to secure CITY’s written authorization for additional compensation or changes to the Scope of Services shall constitute a waiver of any and all right to adjustment in the price or time due, whether by way of compensation, restitution, quantum meruit, or similar relief.

6. INDEPENDENT CONTRACTOR. Both parties understand and acknowledge that CONSULTANT, its officers, agents, employees, volunteers and subcontractors are and shall at all times

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remain as to the CITY wholly independent contractors. Neither the CITY nor any of its officers, officials, agents, employees or volunteers shall have any control over the manner by which the CONSULTANT performs this Agreement and shall only dictate the results of the performance.

CONSULTANT shall not represent that CONSULTANT or its officers, agents, employees, volunteers or subcontractors are agents or employees of the CITY, and CONSULTANT shall have no authority, express or implied, to act on behalf of the CITY in any capacity whatsoever as an agent, and shall have no authority, express or implied, to bind the CITY to any obligation whatsoever, unless otherwise provided in this Agreement.

As an independent contractor, CONSULTANT shall not be eligible for any benefits, which the City may provide to its employees and all persons, if any, hired by CONSULTANT shall be employees or subcontractors of CONSULTANT and shall not be construed as employees or agents of the CITY in any respect. CONSULTANT shall receive no premium or enhanced pay for work normally understood as overtime, i.e., hours that exceed forty (40) hours per work week, or work performed during non- standard business hours, such as in the evenings or on weekends. CONSULTANT shall not receive a premium or enhanced pay for work performed on a recognized holiday. CONSULTANT shall not receive paid time off for days not worked, whether it be in the form of sick leave, administrative leave, or for any other form of absence. CONSULTANT shall pay all taxes, assessments and premiums under the federal Social Security Act, any applicable unemployment insurance contributions, Workers Compensation insurance premiums, sales taxes, use taxes, personal property taxes, or other taxes or assessments now or hereafter in effect and payable by reason of or in connection with the services to be performed by CONSULTANT.

7. STANDARD OF PERFORMANCE. CONSULTANT represents and warrants to CITY that CONSULTANT is skilled and able to provide such services described in the Scope of Services and that such services shall be performed in an expeditious manner, and with the degree of skill and care that is required by current, good, and sound procedures and practices. CONSULTANT further agrees that the services shall be in conformance with generally accepted professional standards prevailing at the time work is performed.

8. PERFORMANCE BY CONSULTANT. CONSULTANT shall not employ other

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consultants, subconsultants, experts, or contractors without the prior written approval of the CITY.

Notwithstanding the foregoing, CITY shall not be obligated or liable for payment hereunder to any party other than the CONSULTANT. CONSULTANT hereby designates the CONSULTANT’S representative as the person primarily responsible for the day-to-day performance of CONSULTANT'S work under this Agreement. CONSULTANT shall not change the CONSULTANT’S representative without the prior written consent of the CITY. Unless otherwise expressly agreed by the CITY, CONSULTANT'S representative shall remain responsible for the quality and timeliness of performance of the services, notwithstanding any permitted or approved delegation hereunder.

9. OWNERSHIP AND MAINTENANCE OF DOCUMENTS. All documents furnished by CONSULTANT pursuant to this Agreement are instruments of CONSULTANT’s services in respect to this project. They are not intended nor are represented to be suitable for reuse by others except CITY on extensions of this project or on any other project. Any reuse without specific written verification and adoption by CONSULTANT for the specific purposes intended will be at user’s sole risk and without liability or legal exposure and expenses to CONSULTANT, including attorney’s fees arising out of such unauthorized reuse.

CONSULTANT’s records, documents, calculations, and all other instruments of service pertaining to actual project shall be given to CITY at the completion of the project. The CITY reserves the right to specify the file format that electronic document deliverables are presented to the CITY.

10. INDEMNIFICATION.

CONSULTANT agrees to defend, indemnify and hold harmless the CITY (including its officers, officials, agents, employees and volunteers) from and against all claims, demands, actions, losses, damages, injuries, and liability (including all attorney’s fees and other litigation expenses) arising out of the CONSULTANT’s performance under the terms of this Agreement. This indemnification obligation on CONSULTANT’s part shall not apply to the demands, actions, losses, damages, injuries, and liability arising out of the sole negligence or willful misconduct on the part of the CITY.

11. INSURANCE. CONSULTANT agrees to have and maintain the policies set forth in Exhibit B entitled “INSURANCE REQUIREMENTS,” which is attached hereto and incorporated

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herein. All policies, endorsements, certificates, and/or binders shall be subject to approval by the City Attorney as to form and content and shall be provided no later than thirty (30) calendar days following the execution of this Agreement by both parties. These requirements are subject to amendment or waiver only if so approved in writing by the CITY. A lapse in any required insurance coverage during this Agreement shall be a breach of this Agreement. The insurance contemplated under this provision shall remain in full force and effect during the term of this Agreement.

12. TIME OF PERFORMANCE. The time of performance of the services under this Agreement is of the essence, and all time deadlines identified in this Agreement or Scope of Services shall be strictly construed.

13. SUSPENSION OF WORK. CITY may, at any time, by written notice, suspend further performance by CONSULTANT. All suspensions shall extend the time schedule for performance in a mutually satisfactory manner, and CONSULTANT shall be paid for services performed and reimbursable expenses incurred prior to the suspension date. During the period of suspension, CONSULTANT shall not receive any payment for services, or expenses, except for reasonable administration expenses, incurred by CONSULTANT by reason of such suspension.

14. TERMINATION. CITY may terminate this Agreement for any reason upon ten (10) days written notice to the other party. CITY may terminate the Agreement upon five (5) days written notice if CONSULTANT breaches this Agreement. In the event of any termination, CONSULTANT shall promptly deliver to the CITY any and all finished and unfinished reports or other written, recorded, photographic, or visual materials, documents, data, and other deliverables (“Work Materials”) prepared for the CITY prior to the effective date of such termination, all of which shall become CITY’s sole property. After receipt of the Work Materials, CITY will pay CONSULTANT for the services satisfactorily performed as of the effective date of the termination.

15. COMPLIANCE WITH CIVIL RIGHTS. During the performance of this contract, CONSULTANT agrees as follows:

A. Equal Employment Opportunity. In connection with the execution of this Agreement, CONSULTANT shall not discriminate against any employee or applicant for employment on the basis of any protected class pursuant to California law. Such actions shall include, but not be

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limited to, the following: employment, promotion, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rate of pay or other forms of compensation; and selection for training including apprenticeship.

B. Nondiscrimination Civil Rights Act of 1964. CONSULTANT will comply with all federal regulations relative to nondiscrimination in federally assisted programs.

C. Solicitations for Subcontractors including Procurement of Materials and Equipment. In all solicitation, either by competitive bidding or negotiations, made by CONSULTANT for work to be performed under a subcontract including procurement of materials or leases of equipment, each potential subcontractor, supplier or lessor shall be notified by CONSULTANT of CONSULTANT’S obligation under this Agreement and the regulations relative to nondiscrimination on the basis of any protected class pursuant to California law.

16. CONFLICT OF INTEREST.

A. CONSULTANT covenants and represents that neither it, nor any officer or principal of its firm, has, or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of CITY or which would in any way hinder CONSULTANT’s performance of services under this Agreement. CONSULTANT further covenants that in the performance of the Agreement, no person having any such interest shall be employed by it as an officer, official, agent, employee or subcontractor without the express written consent of the CITY. CONSULTANT agrees to at all times avoid conflicts of interest, or the appearance of any conflicts of interest, with the interests of the CITY in the performance of this Agreement.

B. CONSULTANT is not a designated employee within the meaning of the Political Reform Act because CONSULTANT:
(1) Will conduct research and arrive at conclusions with respect to its rendition of information, advice, recommendation or counsel independent of the control and direction of the CITY or of any CITY official, other than normal contract monitoring; and (2) Possesses no authority with respect to any CITY decision beyond the rendition of information, advice, recommendation or counsel. (2 Cal. Code Regs. § 18700(a)(2).)

17. COMPLIANCE WITH LAWS. CONSULTANT shall comply with all applicable

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Federal, State of California, and local laws, rules, and regulations and shall obtain all applicable licenses, including a business license with the City of Concord, and permits for the conduct of its business and the performance of the services.

18. CHOICE OF LAW. This Agreement shall be construed and interpreted in accordance with the laws of the State of California, excluding any choice of law rules which may direct the application of the laws of another jurisdiction. In the event that suit shall be brought by either party hereunder, the parties agree that trial of such action shall be held exclusively in a state court in the County of Contra Costa, California.

19. NON-WAIVER. The waiver by either party of any breach of any term, covenant, or condition contained in the Agreement, or any default in their performance of any obligations under the Agreement shall not be deemed to be a waiver of any other breach or default of the same or any other term, covenant, condition, or obligation, nor shall any waiver of any incident of breach of default constitute a continuing waiver of same.

20. ENFORCEABILITY; INTERPRETATION. In the event that any of the provisions or portions of application of any of the provisions of the Agreement are held to be illegal or invalid by a court of competent jurisdiction, CITY and CONSULTANT shall negotiate an equitable adjustment in the provisions of the Agreement with a view toward affecting the purpose of the Agreement. The illegality or invalidity of any of the provisions or portions of application of any of the provisions of the Agreement shall not affect the legality or enforceability of the remaining provisions or portions of application of any of the provisions of the Agreement. This Agreement shall be interpreted as though it was a product of a joint drafting effort and no provisions shall be interpreted against a party on the ground that said party was solely or primarily responsible for drafting the language to be interpreted.

21. INTEGRATION. All exhibits identified in this Agreement are attached hereto and incorporated herein by reference. The Agreement contains the entire agreement and understanding between the parties as to the subject matter of this Agreement. It merges and supersedes all prior or contemporaneous agreements, commitments, representation, writings, and discussions between CONSULTANT and CITY, whether oral or written.

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22. SUCCESSORS AND ASSIGNS: NO THIRD PARTY BENEFICIARIES; NO JOINT VENTURE. CITY and CONSULTANT respectively, bind themselves, their successors, assigns, and legal representatives to the terms and obligations of this Agreement. CONSULTANT shall not assign or transfer any interest in the Agreement without the CITY's prior written consent, which consent shall be in the CITY’s sole discretion. Any attempted assignment or transfer in breach of this provision shall be void. This Agreement is not intended and shall not be construed to create any third party benefit. This Agreement is not intended and shall not be construed to create a joint venture or partnership between the parties. CONSULTANT, its officers, employees and agents shall not have any power to bind or commit the CITY to any decision.

23. FINANCIAL RECORDS. Records of CONSULTANT’s direct labor costs, payroll costs, and reimbursable expenses pertaining to this project covered by this Agreement will be kept on a generally recognized accounting basis and made available to CITY if and when required.

24. NOTICES. All notices required hereunder shall be in writing and mailed postage prepaid by certified or registered mail, return receipt requested, or by personal delivery to the CITY's address as shown below, or such other places as CITY or CONSULTANT may, from time to time, respectively, designate in a written notice given to the other. Notice shall be deemed received three (3) days after the date of the mailing thereof or upon personal delivery.

To CITY: Mindy Gentry
Community Development Director
City of Concord
1950 Parkside Drive
Concord, CA 94519-2578
Phone: (925) 671-3369
Email: [email protected]
To CONSULTANT: Christy Saxton,
Contra Costa County Housing and Ho
Contra Costa County
2400 Bisso Lane Suite D 2nd Floor
Concord, CA94520
Phone: (925)608-6701
Email: [email protected]

25. NON-LIABILITY. No member of the CITY and no other officer, official, agent, employee or volunteer of the CITY shall be personally liable to CONSULTANT or otherwise in the

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event of any default or breach of the CITY, or for any amount which may become due to CONSULTANT or any successor in interest, or for any obligations directly or indirectly incurred under the terms of this Agreement.

26. EXECUTION . Each individual or entity executing this Agreement on behalf of Applicant represents and warrants that he or she or it is duly authorized to execute and deliver this Agreement on behalf of Applicant and that such execution is binding upon Applicant.

This Agreement may be executed in several counterparts, each of which shall constitute one and the same instrument and shall become binding upon the parties when at least one copy hereof shall have been signed by both parties hereto. In approving this Agreement, it shall not be necessary to produce or account for more than one such counterpart.

IN WITNESS WHEREOF, the parties have executed this Agreement in one (1) or more copies as of the date and year first written above.

CONSULTANT CITY OF CONCORD, a Municipal
Corporation
By:_________________________________ By:______________________________ Name: Christy Saxton Name: Valerie J. Barone
Title: Contra Costa County Housing and Ho Title City Manager Address: 2400 Bisso Lane Suite D 2nd Floor Address: 1950 Parkside Drive Concord,CA 94520 Concord, CA 94519
Telephone: (925)608-6701 Telephone: (925) 671-3150
Email: [email protected]
APPROVED AS TO FORM: ATTEST:

Susanne Meyer Brown Joelle Fockler, MMC
City Attorney City Clerk

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FINANCE DIRECTOR'S CERTIFICATION:

Concord, California
Date:

I HEREBY CERTIFY THAT ADEQUATE FUNDS EXIST OR WILL BE RECEIVED

DURING THE CURRENT FISCAL YEAR TO PAY THE ANTICIPATED
EXPENSES TO BE INCURRED PURSUANT TO THIS CONTRACT.

THE SUM OF $397,594 for Fiscal Year 2023-24, $427,912 for Fiscal Year 2024-25, and $452,200 for Fiscal Year 2025-26. Account Code .

Finance Director's Signature

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EXHIBIT A
During the term of the Agreement, the CONSULTANT will staff a three-person CORE team, including two Program Outreach Specialists and one Care Coordinator.

The CORE team members will perform the following:

1. Conducting routine patrols of strategic areas within the CITY’s limit on foot and by vehicle, with locations coordinated with the City.

2. Performing special assessments relating to CORE Goals and Objectives, such as homeless counts, Project Homeless Connect, and community presentations.

3. Observing and reporting health and safety risks encountered in the field and determining the need to summon police, fire, or other emergency personnel.

4. Providing Service Impact Reports to the CITY at monthly intervals. Such reports will include data on the number of persons contacted, the CITY of origin of persons contacted, repeated contacts, services provided, successful placements of unsheltered individuals including into temporary and permanent housing.

5. Responding to calls for outreach and engagement from the CITY.

6. Providing to the CITY an annual minimum of 2,080 hours of outreach service (after observance of holidays).

7. Maintaining a base work schedule consisting of five days a week, with the CORE Team present in Concord at least eight hours each workday.

8. Meeting monthly with members of the CITY police department’s Community Impact Team.

9. Maintaining regular telephone communication with the CITY police department to include notification of CORE team entry and exit in the CITY, and reporting of observed criminal conduct.

10. Team members wearing of clothing or a uniform that clearly identifies the wearer as “CORE” or “Homeless Outreach.”

11. The 3-member CORE Team will accomplish the following:
a. Conduct targeted mobile and street outreach throughout Concord for the purposes of engaging individuals experiencing homelessness with behavioral health needs and linking them to services and assisting them to move out of homelessness. b. Build trust with, and assess the needs of, unsheltered individuals encountered during outreach efforts.
c. Complete comprehensive assessments that are inclusive of medical needs, psychosocial assessment, safety assessment, substance use disorder assessment, housing needs, and all other relevant areas of concern.
d. Distribute basic need supplies including but not limited to food, hygiene supplies, blankets, and socks.
e. Administer intake questionnaires, assessments and other forms of tracking documentation as needed; track data for reporting, maintain case notes, and appropriate records and files.

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f. Provide direct crisis counseling and problem identification. Accompany participants to appointments and other services as useful and necessary. g. Support participants as they navigate the criminal justice and court systems. Advocate for participants by interacting with judges, court mental health staff, public defenders, etc.
h. Determine if individuals are connected to relevant services; if not, collaborate with community partners including health clinics, public health, public assistance, psychiatry, mental health, etc. to ensure individuals are connected to eligible services. i. Assist individuals with completing applications for services, transporting to shelters, services and other appointments as needed.
j. Collaborate with Coordinated Entry programs and other relevant services to place homeless individuals in housing and enroll them into services. k. Provide a “warm hand-off” when individuals are connected to long-term services and providers.
l. Maintain and interact in a culturally sensitive, respectful, and professional demeanor. m. Attend and participate in weekly case conferences as part of the county-wide CORE outreach program.
n. Attend community meetings with other service providers to share program information and coordinate services.
o. Work collaboratively with City staff on challenges and opportunities appropriate for the CORE team to work on.

12. The Case Coordinator will provide short-term, clinical case management services with the goal of linking individuals served to healthy and stable housing and will be responsible for a caseload of up to 25 participants at any one time.

Fiscal Year 2023-24 Fiscal Year 2024-25 Fiscal Year 2024-25 Fully Loaded
Personnel Costs $319,083 $335,022 $357,102
Includes:
1 Care Coordinator
2 Program Outreach Specialists

0.38 direct support from other CORE staff
Direct Operating
Costs $53,990 $53,990 $53,990
Indirect County
Administrative Costs $24,521 $38,900 $41,108
TOTAL COSTS $397,594 $427,912 $452,200
Total Costs over the 3-Years: $1,277,706

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EXHIBIT “B”
CONSULTANT shall procure and maintain for the duration of the contract insurance against claims from injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by CONSULTANT, their agents, representatives, employees or subcontractors.

MINIMUM SCOPE OF INSURANCE.

Coverage shall be at least as broad as:

1. Commercial General Liability Policy: CONSULTANT shall maintain during the term of this Agreement a commercial general liability insurance policy providing coverage of at least one million ($1,000,000) combined single limit per occurrence or two million ($2,000,000) aggregate limit for bodily injury, personal injury and property damage. The coverage shall contain no special limitations on the scope or protection afforded to CITY, its officers, officials, agents, employees, or volunteers. CONSULTANT’s insurance coverage shall be primary insurance with respect to CITY, its officers, officials, agents, employees, and volunteers. Any insurance, risk pooling arrangement, or self-insurance maintained by CITY, its officers, officials, agents, employees, or volunteers shall be in excess of CONSULTANT’s insurance and shall not contribute with it.

2. Automobile Liability Coverage. CONSULTANT shall maintain automobile liability insurance covering all vehicles used in the performance of this Agreement providing a one million dollar ($1,000,000) combined single limit per occurrence for bodily injury, personal injury, and property damage.

3. Professional Liability Coverage (Errors and Omissions). CONSULTANT shall maintain professional liability insurance with coverage for all negligent errors, acts or omissions committed by CONSULTANT, its agents and employees in the performance of this Agreement. The amount of this insurance shall be not less than one million dollars ($1,000,000) on a claims made annual aggregate basis or a combined single limit per occurrence basis.

4. Workers Compensation: CONSULTANT covenants that it will insure itself against liability for Workers' Compensation pursuant to the provisions of California Labor Code §3700, et seq.

CONSULTANT shall, at all times, upon demand of the CITY, furnish proof that Workers' Compensation Insurance is being maintained by it in force and effect in accordance with the California Labor Code. The insurer shall also agree to waive all rights of subrogation against the CITY, its officers, officials, agents, employees and volunteers for losses arising from work performed under this Agreement. This provision shall not apply upon written verification by CONSULTANT that CONSULTANT has no employees.

10/2022 14
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
If CONSULTANT maintains broader coverage and/or higher limits than the minimums shown above, the CITY requires and shall be entitled to the broader coverage and/or higher limits maintained by CONSULTANT. A lapse in any required insurance coverage during this Agreement shall be a breach of this Agreement.

The policies are to contain, or be endorsed to contain the following provisions:

1. Additional Insured. CITY, its officers, officials, agents, employees, and volunteers are to be covered as an additional insured as respects: Liability arising out of activities performed by or on behalf of CONSULTANT and operations of CONSULTANT, premises owned, occupied, or used by CONSULTANT. The coverage shall contain no special limitations on the scope or protection afforded to CITY, its officers, officials, agents, employees, or volunteers.

Except for worker's compensation and professional liability insurance, the policies mentioned in this subsection shall name CITY as an additional insured and provide for notice of cancellation to CITY. CONSULTANT shall also provide timely and prompt notice to CITY if CONSULTANT receives any notice of cancellation or nonrenewal from its insurer.

2. Primary Coverage. CONSULTANT'S insurance coverage shall be primary insurance with respect to CITY, its officers, officials, agents, employees, and volunteers. Any insurance, risk pooling arrangement, or self-insurance maintained by CITY, its officers, officials, agents, employees, or volunteers shall be in excess of CONSULTANT'S insurance and shall not contribute with it.

3. Reporting Provisions. Any failure to comply with the reporting provisions of the policy shall not affect the coverage provided to the CITY, its officers, officials, agents, employees, or volunteers.

4. Verification of Coverage. CONSULTANT shall furnish CITY with certificates of insurance and the original endorsements effecting coverage required by this Agreement. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The aforementioned policies shall be issued by an insurance carrier having a rating of Best A-7 or better which is satisfactory to the City Attorney and shall be delivered to CITY at the time of the execution of this Agreement or before work commences. Such policies and certificates shall be in a form approved by the City Attorney. CITY reserves the right to require complete certified copies of all required insurance policies at any time.

5. Inclusion in Subcontracts. To the extent any of the services required of CONSULTANT under this Agreement are subcontracted to a third party, CONSULTANT shall include all of the provisions of this Section in all such subcontracts as obligations of the subcontractor.

1 City of Concord CORE Report
Concord City Data

7.1.23 - 6.30.2024 7.1.24 - 11.30.2024
Total Number of Contacts by full
team
3,338 Total Number of Contacts by full
team
1,028
Total Number of Unduplicated
Clients
843 Total Number of Unduplicated
Clients
366
Transitioned from the streets to
shelter (CORE Only)
94 Transitioned from the streets to
shelter (CORE Only)
25 Transitioned from streets to Perm
Housing
53 Transitioned from streets to Perm
Housing
28 Total number of Contacts made by
the Concord Care Coordinator
475 Total number of Contacts made by
the Concord Care Coordinator
283
Data Takeaways
In FY 23/24, the Concord contracted CORE team provided services to 843 unique (unduplicated) individuals and made 3,338 contacts. Additionally, CORE provided 19,309 unique services to those experiencing homelessness within the city limits, ranging from health care coordination to warming center placement, including 1,676 housing navigation services to 174 individuals. Housing navigation includes support with shelter placement, housing applications, finding units to rent, as well as providing support with obtaining ID/live documents. Finally, the Concord Care Coordinator made 475 contacts to 178 individuals in FY 23/24, which included 6,465 services. Due to staff turnover, there was a lapse in Care Coordinator services to unhoused individuals in Concord from April through mid-May 2024.

In FY 24/25, from July 1, 2024, through November 30, 2024, the Concord CORE team has provided services to 366 unique (unduplicated) individuals and made 1,028 contacts. CORE has provided 9,420 unique services to those experiencing homelessness within the city limits, including 1,063 housing navigation services and 1,204 warming center placements. At this point in the fiscal year, CORE is on track to exceed the number of clients served, as well as number of clients exited to permanent housing compared to last year. Additionally, during this reporting period, 86% of those who exited to permanent housing by the Concord CORE team have maintained their housing and not returned to homelessness.

Attachment 2

2 During this reporting period, the Concord Care Coordinator has been prioritizing higher acuity individuals on their caseload and providing them the necessary services to support them in their housing journey. To date, the Concord CORE team Care Coordinator has made 283 contacts and provided 2,840 services to 83 unique (unduplicated) individuals, exceeding service delivery from last year by 31.8%. The Care Coordinator position is an integral part of the team and enables CORE to provide more intensive case management services to those with complex health and behavioral health needs.

Impact of CORE in Concord
The city of Concord provides funding to two distinct CORE teams annually – $12.5 thousand in CDBG dollars to the Countywide CORE Evening team and approximately $400 thousand in City general fund to the Concord City team.

The CORE Mobile Outreach team in Concord offers numerous benefits, not only for individuals experiencing homelessness but for the community at large. By meeting people where they are—on the streets, in parks, or in shelters—CORE provides immediate support, connecting individuals to vital services such as medical care, mental health resources, and housing assistance. This approach humanizes the issue of unsheltered homelessness, breaking down barriers and building trust within a vulnerable population.

CORE Mobile Outreach teams provide housing focused street outreach and serve as a connection to supportive services, such as benefits, employment, County mental health services, Health Care for the Homeless, and other agencies to support access to systems of care to obtain housing. The Concord CORE team also works in conjunction with other County-wide CORE teams, ensuring the delivery of crucial services to those with specialized needs, including individuals who are medically fragile and/or high acuity, homeless youth and families, and the re-entry population. CORE Mobile Outreach teams can also help to divert unhoused people from the criminal justice system, reducing the risk of incarceration due to survival behaviors.

Benefits of a Care Coordinator
CORE Care Coordinators are a tremendous asset to any CORE Outreach team. Like CORE Outreach Specialists, Care Coordinators also may have a high frequency of clients and provide light-touch services such as transportation, emergency supplies, and referrals to drop-in centers and other resources; but Care Coordinators differentiate in that they hold a caseload of individuals with complex needs and have a list of these prioritized individuals whom they follow-up with on a para-clinical level. Care Coordinators participate in bi-weekly Case Conferences with a Mental Health Clinical Specialist for consultation around these clients; and have a close partnership with the Healthcare for the Homeless staff operating Mobile Health Clinics. Care Coordinators also take the time to follow-up with these individuals at least on a weekly basis to support their goal acquisition towards stabilizing their physical or mental health, keeping housing appointments, or

3 going the extra mile to support them accepting and entering treatment programs for substance or alcohol use.

CORE Outreach Team Success Story
The Concord CORE Outreach Team has been supporting a client in Concord since 2017, who faced numerous challenges, including the loss of their children due to their inability to provide for them and experiences of domestic violence. The client also lost emotional support animals during their homelessness, adding to their distress. Despite these hardships, the CORE team consistently provided support over the years.

After years of trust building and engagement, in 2023, the client began accepting more services from the CORE team, achieving key milestones like obtaining a state ID, social security card, and birth certificate. The team connected them to Healthcare for the Homeless and helped them become more medically compliant. Due to ongoing support, the client was selected for a Permanent Supportive Housing (PSH) opportunity through Contra Costa County's Coordinated Entry System. The CORE team assisted with long applications, document gathering, and transportation. On November 13, 2024, the client moved into their own private apartment, overwhelmed with emotion, marking the first time since 2017 they were off the streets and in a safe, permanent home.

CORE Care Coordinator Success Story
In 2018, the Concord CORE Outreach Team began working with a client near Monument Blvd., who faced significant barriers to housing due to mental health and substance abuse issues, along with numerous physical health problems from chronic homelessness. The client lived in constant fear, never staying in one place, and endured theft and multiple property abatements. Over the years, outreach efforts were unsuccessful until 2023, when the CORE Care Coordinator started working with the client. Through consistent engagement and relationship-building, the Care Coordinator helped the client regain trust and begin considering housing options. By providing housing focused street outreach services, they assisted with obtaining personal documents, resolving issues with Medi-Cal and Medicare, and connecting the client to medical care for the first time in years.

In October 2024, after six years of homelessness, the client finally requested a shelter bed. The Care Coordinator, who had patiently offered shelter options without judgment, immediately informed the client when a bed opened, and they eagerly gathered their belongings and was transported to the shelter. Since then, the client has maintained regular contact with the Care Coordinator, working with a shelter case manager, attending appointments, and exploring housing options. The client even adopted an emotional support animal, which has helped them face new challenges. This progress is a testament to the unwavering support and compassion provided by the CORE Care Coordinator, who helped the client move off the streets and begin a new chapter in their life.

Point in Time Count
What We’re Doing
$1.2 Million
Responding to the Needs of
Our Unhoused Residents

ORGANIZATION SERVICE
Contra Costa Crisis Center 211 Call Line (information & resources) Contra Costa Homeless Services CORE Outreach Team
Food Bank of Contra Costa and Solano Food Distribution Program Hope Solutions Rapid Rehousing Program
Monument Crisis Center Safety Net Services/CARE Capable Center RotaCare Mobile Health Clinic
STAND! For Families Free of Violence Domestic Violence Emergency Response/Emergency Shelter Trinity Center Day Center
Winter Nights Family Shelter Shelter
City Council has allocated an additional $5.4 million to address homelessness in Concord. A Homeless Strategic Plan was accepted in February 2024 and provides guidance for City efforts and investments.

Strategies outlined in the Homeless Strategic Plan are anticipated to be implemented in late 2024.

Homelessness is an issue that affects people in every community throughout California and the nation. The City of Concord partners with Contra Costa County and local non-profit organizations to provide assistance to its unhoused residents. 2,843 485 people were in
Central County
173 people were in Concord
(a 28% decrease over 2023)
Among all unhoused adults:

Each year, Contra Costa’s Homeless Continuum of Care, with the help of community volunteers, conducts a comprehensive point-in-time count of families and individuals experiencing homelessness.

Unhoused individuals in Contra Costa County counted on a single night in January 2024 mental health
condition
substance use
issue
chronic health
condition veterans
61% 59% 49% 5%
2,644 adults
199 children
City funding dedicated to partner
organizations in FY 24-25
Dentists on Wheels Mobile Dental Clinic
Attachment 3

Concord, Pittsburg and Richmond are currently the only three cities in the County with full-service homeless shelters.

This three-person team works 40 hours per week in the City of Concord, interacting with unsheltered individuals on the street, making referrals to supportive services and providing transportation to overnight shelters. The team delivers case management to ensure individuals experiencing homelessness are connected to the resources they need. - 60 shelter beds in Concord
- Showers, laundry and meals
available to all in need
Concord PD has a four-officer unit designated to address quality of life issues, including: criminal activity, nuisance issues, and homelessness. The Community Impact Unit (CIU) works directly with the CORE Team to provide resources and assistance to the unhoused.

Homelessness is an ongoing challenge at the local and national level, and it is important to acknowledge homelessness is not a crime. Reports of homeless encampments on public property are directed to the Police Department’s Community Impact Unit to coordinate a response with CORE. The Police Department evaluates health and public safety considerations utilizing state guidance and existing law to determine the need for abatement. Unsheltered persons living in encampments are offered services through CORE, and encampments that have unsafe or unsanitary conditions are then cleared. Encampments on County or Caltrans property must be addressed by those agencies. 911
Call if someone poses an immediate
risk to him/herself or others
Concord Connect
Mobile App
07-26-2024 v1
Full-Service Shelter
CORE - Coordinated Outreach, Referral & Engagement
Police Department Community Impact Unit
A3 Mental and Behavior Health Response
A3 is Contra Costa County’s innovative approach to assure that Anyone, Anywhere, Anytime has access to mental and behavioral health support during a crisis. The A3 Miles Hall Crisis Call Center operates daily 24 hours a day. Anyone with a mental or behavioral health emergency (or their family member or law enforcement official) can call 1-844-844-5544 and be connected to a mental health clinician who will provide care over the phone or send a mobile care team. cchealth.org/A3
Encampment Abatement
Concord’s Housing Division
The City’s Housing Division includes 5 full-time employees to keep the community informed regarding available housing assistance, projects, and federal, state and local legislation. The Division also oversees the Community Grants program, which provides funds to local community organizations to provide safety net services to the City’s most at-risk residents.

What You Can Do 211
Call if someone needs
services through CORE911
Concord Connect
To report an encampment,
use the City’s mobile app.
211 is a countywide call center
and the County’s main entry
point to its system for assisting
the unhoused. It is a 24/7
hotline run by the nonprofit
Contra Costa Crisis Center.
www.cityofconcord.org/homelessservices

Attachment 4

One-Time Funding to Implement the Homeless Strategic Plan

The Concord City Council on Oct. 22 approved the allocation of $5 million to six local organizations for the implementation of the strategies contained in the Homeless Strategic Plan that the Council adopted in February 2024.

The City is in the process of distributing $5 million of one-time, non-recurring funding to the following organizations. These organizations will offer a combination of temporary housing and comprehensive support services to help individuals transition out of homelessness.

Additionally, they will deliver field-based services to people in their current sheltering locations, addressing essential needs such as medical care, substance abuse treatment, food and hygiene, and workforce development. The ultimate goal of implementing the strategies listed below is to support individuals with successfully exiting homelessness and achieving permanent housing.

Organization Strategy One-time Funding
Caminar Rapid Rehousing $1,580,000
GROW Concord Mobile Resource Unit $1,705,000
Hope Solutions Permanent Motel
Supportive Housing
$760,000
NAMI Contra Costa Mobile Resource Unit $200,000
Northern California
Family Center
Scattered Site Interim
Housing
$25,000
Veterans Accession House Scattered Site Interim
Housing
$730,000
TOTAL $5,000,000

From: Barone, Valerie <[email protected]> Sent: Tuesday, January 28, 2025 10:24 AM
To: [email protected]
Cc: Ortega, Jennifer <[email protected]> Subject: FW: Concord CORE Team Services
Importance: High

Mike,

My responses are below each of your questions.

Valerie

Valerie Barone, City Manager (she/her/hers)
City of Concord | Website: www.cityofconcord.org
( (925) 671-3150 | * [email protected]
1950 Parkside Drive, MS/01, Concord, CA 94519

Subscribe to our City News e-newsletter to stay informed about what's happening in your community!

From: [email protected] <[email protected]>
Sent: Tuesday, January 28, 2025 7:56 AM
To: Barone, Valerie <[email protected]>
Subject: Concord CORE Team Services

Hi Valerie,

Quick question on the agenda item tonight…

1. If Concord is seeing a decrease in homelessness per the Point in Time count, why is a 3- person team needed? Especially given the other investments towards homeless.

The County is the single largest provider of homeless services in the region and within Concord. Entry into the County homeless service system requires coordination with CORE and having access to a CORE team solely responsible to Concord’s unsheltered population facilitates this and likely is a major reason for our drop in the number of homeless in last year’s point in time count. We have invested in CORE for the last 8 years. For three years it has included the third Benched Correspondence
Agenda Item No. 4.a
January 28, 2025

member, who is a Care Coordinator. This position manages the cases of individuals with high needs, who are harder to help. They are more vulnerable and often the individuals that the City receives the most community complaints on. This third position allows the County to be more effective assisting these individuals, helping to transition them into services and housing.

2. Concord has seen a major drop in homelessness, why not wait until the new Point in Time Count is completed to see where the city stands and if the program are working?

The Point in Time Count is just one way of measuring our homeless population. We are pleased with the reduction demonstrated in last year’s count. But as you can see from the numbers of CORE contacts in the staff report, the demands on our CORE team remain quite high.

Homelessness remains a huge challenge in the Bay Area and around the state. Over the last several years, Concord residents have expressed their desire to see the City invest in solutions to this challenge, and that's exactly what we are doing through CORE and through our investments in several other partners who provide resources and services to the unsheltered.

3. I am not quite sure how the county could continue in “good fair” to provide services to the city did not pay for. Wouldn’t that be at a detriment to the rest of the county who would have used CORE resources? What was the arrangement here? Was promises made and was this done in public?

I’m not confident I understand this question. I believe you are asking why the County continued to provide the services for the year that a contract was not in place? If that is your question, this is my response:

The City was focused on completing the Homeless Strategic Plan last year, and the County was a strong partner to our team as we worked on that Plan. The City staff assigned to completing the CORE contract was focused on the Plan and renewal of the CORE contract ended up delayed. Given the strong relationship between the City and County, and the County’s direct involvement in strategic plan development and understanding of Concord’s efforts and goals around homelessness, they continued to provide the services for the year, even though a contract was not in place. In this case, it was two governmental agencies working together on a common goal.

Valerie

Mike Burkholder
(925) 998-4730
https://contracosta.news/
https://www.facebook.com/contracostacountynews
https://www.instagram.com/contracostanews/

From: Natalie Oleas <[email protected]>
Sent: Tuesday, January 28, 2025 11:17 AM
To: Robinson, Monique <[email protected]>; Obringer, Carlyn <[email protected]>
Subject: Letter of Support for Downtown Concord Security

Hi Monique,

Please see the attached letter of support for the downtown Concord security program.

Best,
Natalie

--
Natalie Oleas, J.D.

Regional Director of Administration
Contra Costa & Solano Family Justice Center
[email protected]
(925) 521-6366

Solanofamilyjustice.org

cocofamilyjustice.org
so
West:
256 24th Street
Richmond CA 94804
(510) 974-7200
Central:
2151 Salvio Street, Ste 201
Concord, CA 94520
(925) 521-6366
East:
3501 Lone Tree Way
Antioch, CA 94509
(925) 281-0970
Solano:
604 Empire Street
Fairfield, CA 94533
(707) 784-7635
South:
319 Diablo Road #103
Danville, CA 94526
(925) 486-0100
January 27, 2025

Re: City of Concord Downtown Security Guard Program

To Whom It May Concern:

The Contra Costa Family Justice Alliance (d/b/a Contra Costa Family Justice Center) is a one- stop center for families affected by domestic violence, sexual assault, elder abuse, child abuse, and human trafficking. Our Centers are community hubs for education and comprehensive integrated services for victims of interpersonal violence. Our Concord Center has been located in downtown Todos Santos Plaza building for ten years.

Prior to the Downtown Security Guard Program, our Concord staff noticed an increase in the number of people sleeping in the park, in the fountain area of the Salvio Pacheco building, and that more tents had been set up in the parking garage located at 2051 Salvio Street. A few female members of our staff also have had to report instances of being followed and yelled at in the parking garages.

Since the implementation of the Downtown Security Guard Program, we have seen a decrease in the number of unhoused individuals sleeping in the plaza and in the Salvio Pacheco building’s fountain area. Both garages on Salvio no longer have tents or cars that appear to have been parked there for long periods of time. Hopefully, the ambassadors working in the program have been able to connect unhoused individuals to CORE and other county supportive resources.

We would recommend the program be extended as it has had a positive impact in Concord’s downtown area.

Regards,

Natalie Oleas, J.D.

Regional Director of Administration
Contra Costa Family Justice Center

From: Jamee Longacre <[email protected]>
Sent: Tuesday, January 28, 2025 2:54 PM
To: City Clerk <[email protected]>
Cc: Jamee Longacre <[email protected]>
Subject: Public Comment - January 28, 2025 City Council Meeting - 4a Measure V/CORE Funding

Good evening Concord City Council -

I am writing in enthusiastic favor for Item 4a on tonight's Consent Calendar.

We need to help all of those that are within our City limits.

CORE is an essential service and we should do all that we can to provide health and safety to everyone.

I hope that the whole Council approves this consent item with no issues!

-Jamee Longacre
Concord Resident and Voter

Staff Report
Date: January 28, 2025
To: City Council
From: Valerie J. Barone, City Manager
Prepared by: Suzanne McDonald, Acting Finance Director
[email protected]
(925) 671-3136
Subject: Considering acceptance of the Annual Comprehensive Financial Report with the Independent Auditors' Report and Required Communications Letter for the fiscal year ending June 30, 2024.

Report in Brief
The Annual Comprehensive Financial Report (ACFR) with the independent auditors’ report for the year ending June 30, 2024, and the Required Communications Letter has been completed. The auditors expressed an opinion that the City's financial statements for Fiscal Year 2023-2024 are fairly stated in conformity with accounting principles generally accepted in the United States. This is the most favorable conclusion and is commonly known as an "unqualified" or "clean" opinion.

Recommended Action
Accept the Annual Comprehensive Financial Report with Independent Auditors' Report for the fiscal year ending June 30, 2024, along with the Required Communications Letter for fiscal year ending June 30, 2024.

Background
The financial statements of the City of Concord are subject to an annual independent audit, performed by Maze & Associates Accountancy Corporation. The audit is a comprehensive review of the financial records of the City and the internal control procedures in place which safeguard the City's assets. The audit also looks at the City's compliance with generally accepted accounting principles, with the various requirements of the Governmental Accounting Standards Board (GASB) and with standards developed by the Government Financial Officers Association (GFOA). The

4.b4.b4.b

City Council Agenda Report
Agenda Item No. 4.b
January 28, 2025
Independent Auditor's Report is included in the ACFR (Attachment 1). The auditor is required to communicate areas of deficiency in the City’s internal control over financial reporting. The Required Communications Letter (Attachment 2) is the report in which this communication occurs and is also provided in a standardized format.

Analysis
The Independent Auditor's Report indicates that the financial statements present fairly both the financial position of the City as of June 30, 2024, and the financial activity for the year then ended. This opinion is considered "clean" or "unqualified," which means that the financial records reflect appropriately the financial activity of Fiscal Year 2023- 2024. This is the most favorable conclusion the City can receive.

The ACFR includes a wealth of financial information about the City of Concord, along with the City’s Mission Statement, Vision, Organizational Values, Corporate Goals, organizational structure and statistical information pertaining to the City. Each year the ACFR is submitted to the GFOA to be considered for its Excellence in Financial Reporting award program. A copy of the award for fiscal year 2022-2023 is included in this ACFR, and we anticipate that the city will be successful in attaining the award in fiscal year 2023-2024.

The Financial Section of the ACFR reflects the actual audited financial statements of the City of Concord. This section is developed in conformance with the guidelines established by GASB and includes the Management Discussion and Analysis, Government-Wide Financial Statements and Fund Financial Statements as required under Government Accounting Standards Statement 34. The Financial Section also includes the Notes to the Basic Financial Statements, which describe the various policies and methods used to manage the finances of the City.

The General Fund balance increased $1.6 million from the previous year. The fund balance change was primarily due to interest earnings from cash balances and property tax revenue coming in stronger than expected.

On June 30, 2024, the Unassigned General Fund balance was 40% of General fund expenditures. This includes a $10.5 million fiscal stability fund the Council approved during FY2023 to help stabilize future budgets. The City is relying on this stabilization fund to balance its budget this year and will do so in future years as well. For financial reporting purposes, the balance must be shown as “unassigned” fund balance. This is a different calculation from the “available” fund balance discussed in the Budget document. The General Fund Reserve Balances will be discussed in more detail during the FY2023-2024 mid-cycle budget review, currently scheduled to be presented to City Council in February 2025.

City Council Agenda Report
Agenda Item No. 4.b
January 28, 2025
GASB frequently releases new accounting and financial reporting standards which may have a significant impact on the Financial Section of the ACFR. For fiscal year 2023- 2024, the city was not impacted by new accounting standards. All new and upcoming standards are disclosed in Note 1 to the financial statements.

The Statistical Section of the ACFR includes tables, graphs and other historical information regarding the overall financial health of the City of Concord. While the Statistical Section is not audited, the information included is useful in helping readers understand the finances of the city.

To include the City’s full disclosure in one document, the final section of the ACFR reflects additional information necessary to continue compliance with the bond covenants for previous bond issues which are still outstanding. While not required to be a part of the ACFR, the information contained in this section is subject to disclosure requirements. Staff believes that including this section completes a concise financial package for the public.

The Required Communications Letter (Attachment 2) includes: discussion of accounting policies; disagreements with management or difficulties encountered during the audit; corrected and uncorrected misstatements; and other audit findings or issues. For the current year under audit, the auditors did not encounter any disagreements with management or difficulties encountered during the audit. The auditors did note that two account balances were misstated and required adjusting during the audit. These adjustments were made, and the correct balances are reflected in the ACFR.

Additionally, staff took necessary steps so that the misstatements would not reoccur in future years.

Financial Impact
There is no fiscal impact.

Public Contact
The City Council Agenda was posted.

Attachments

1. Annual Comprehensive Financial Report with Independent Auditors’ Report for fiscal year ending June 30, 2024

2. Required Communications Letter for fiscal year ending June 30, 2024

Annual Comprehensive
Financial Report
Fiscal Year Ending June 30, 2024
City of Concord ● California
Attachment 1

CITY OF CONCORD, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
Fiscal Year Ended June 30, 2024
Prepared by
The Finance Department
Karan Reid
Director of Finance

This Page Left Intentionally Blank

CITY OF CONCORD JUNE 30, 2024
Page
Table of Contents ........................................................................................................................................... i Mission Vision & Values Statement ............................................................................................................. v Corporate Goals .......................................................................................................................................... vii Organizational Values .................................................................................................................................. ix INTRODUCTORY SECTION:

Letter of Transmittal .................................................................................................................................. xiii Principal Officers ...................................................................................................................................... xxii Organization Chart ................................................................................................................................... xxiii GFOA Certificate of Achievement for Excellence in Financial Reporting ............................................. xxiv FINANCIAL SECTION:

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

Government-wide Financial Statements:

Statement of
Net Position ..................................................................................................................... 25 Statement of
Activities ......................................................................................................................... 26 Fund Financial Statements:

Major Governmental Funds:

Balance Sheet – Governmental Funds ........................................................................................... 30 Reconciliation of the Governmental Funds – Balance Sheet to the Statement of
Net Position ........................................................................................................ 31 Statement of Revenues, Expenditures and Changes in Fund Balances ......................................... 32 Reconciliation of the Net Change in Fund Balances – Total Governmental Funds to the Statement of Activities .................................................................................................. 33 Statement of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual General Fund ........................................................................................................................... 34 Concord Housing Special Revenue Fund ................................................................................ 35 ARPA Special Revenue Fund ................................................................................................. 36 Proprietary Funds:

Statement of Net Position – Proprietary Funds .............................................................................. 38 Statement of Revenues, Expenses and Changes in Fund Net Position .......................................... 39 Statement of Cash Flows – Proprietary Funds ............................................................................... 40 Fiduciary Funds:

Statements of Fiduciary Net Position ............................................................................................ 42 Statement of Changes in
Fiduciary Net Position ........................................................................... 43 i

CITY OF CONCORD JUNE 30, 2024
Page
FINANCIAL SECTION (CONTINUED):

Notes to the Basic Financial Statements:

Note 1 – Summary of Significant Accounting Policies ................................................................. 46 Note 2 – Budgets and Budgetary Accounting ................................................................................ 55 Note 3 – Cash and Investments ...................................................................................................... 56 Note 4 – Interfund Transactions .................................................................................................... 64 Note 5 – Loans and Notes Receivables .......................................................................................... 66 Note 6 – Capital Assets ....................................................................................................... ........... 69
Note 7 – Long-Term Debt .............................................................................................................. 71 Note 8 – Fund Balances ................................................................................................................. 74 Note 9 – Stewardship, Compliance and Accountability ................................................................ 75 Note 10 – City of Concord Retirement System Plan ..................................................................... 75 Note 11 – City of Concord Early Retirement Plans ....................................................................... 79 Note 12 – Pension Plan .................................................................................................................. 81 Note 13 – Other Post-Employment Health Care Benefits ............................................................. 88 Note 14 – Deferred Compensation Plans ....................................................................................... 92 Note 15 – Leases ............................................................................................................................ 92 Note 16 – Subscription-Based Information Technology Arrangements (SBITAs) ....................... 95 Note 17 – Risk Management and Insurance .................................................................................. 97 Note 18 – Commitments and Contingencies .................................................................................. 99 Note 19 – Redevelopment Successor Agency Activities ............................................................. 100 REQUIRED SUPPLEMENTARY INFORMATION:

Schedule of Changes in the Net Pension/OPEB Liability and Related Ratios - Last Ten Years:

Miscellane ous Plan ...................................................................................................................... 106 Safety Plan .................................................................................................................. ................. 108
City of Concord Retirement System ........................................................................................... 110 Other Post Employment Benefit Plan .......................................................................................... 112 Schedule of Contributions – Last Ten Years:

Miscellane ous Plan ...................................................................................................................... 113 Safety Plan ................................................................................................................................... 114 City of Concord Retirement System ........................................................................................... 115 Other Post Employment Benefit Plan .......................................................................................... 116 SUPPLEMENTARY INFORMATION:

COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND SCHEDULES GENERAL FUND:

Combining Schedule of Revenues, Expenditures and Changes in Fund Balances ................................... 119 Combining Schedule of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual ........................................................................................................................120 NON MAJOR GOVERNMENTAL FUNDS:

Combining Balance Sheet ..........................................................................................................................128 Combining Statement of Revenues, Expenditures and Changes in Fund Balances .................................. 132 Combining Schedule of Revenues, Expenditu
res and Changes in Fund Balances –
Budget and Actual ........................................................................................................................136 ii

CITY OF CONCORD JUNE 30, 2024
Page
SUPPLEMENTARY INFORMATION (CONTINUED):

INTERNAL SERVICE FUNDS:

Combining Statement of Net Position ...................................................................................................... 146 Combining Statement of Revenues, Expenses and Changes in Fund Net Position .................................. 148 Combining Statements of Cash Flows ....................................................................................................... 150 CUSTODIAL FUNDS:

Combining Statement of Net Position ...................................................................................................... 154 Combining Statement of Changes in Fiduciary Net Position ................................................................... 155 STATISTICAL SECTION:

STATISTICAL TABLES AND OTHER SCHEDULES (UNAUDITED)
Table 1 – Net Position by Component ...................................................................................................... 161 Table 2 – Changes in Net Position ............................................................................................................ 162 Table 3 – Fund Balances of Governmental Funds .................................................................................... 164 Table 4 – Change in Fund Balances of Governmental Funds ................................................................... 166

Table 5 – Assessed and Estimated Actual Value of Taxable Property ..................................................... 168 Table 6 – Property Tax Rates, Direct and Overlapping Governments ...................................................... 169 Table 7 – Principal Property Taxpayers .................................................................................................... 170 Table 8 – Property Tax Levies and Collections ........................................................................................ 171 Table 9 – Taxable Sales by Category ........................................................................................................ 172 Table 10 – Sales Tax Rates ....................................................................................................................... 173 Table 11 – Top 25 Sales Tax Producers ................................................................................................... 174 Table 12 – Ratios of Outstanding Debt by Type ...................................................................................... 175 Table 13 – Direct and Overlapping Debt .................................................................................................. 176 Table 14 – Computation of Legal Bonded Debt Margin .......................................................................... 177 Table 15 – Sewer Revenue Bonds Coverage ............................................................................................ 178 Table 16 – Bonded Debt Pledged Revenue Coverage, 2004 (Refunded), and Tax Allocation Refunding Bonds Series 2014 ................................................................... 179 Table 17 – Demographic and Economic Statistics ................................................................................... 180 Table 18 – Principal Employers ................................................................................................................ 181 Table 19 – Full-Time Equivalent (FTE) City Government Employees By Function ............................... 182 Table 20 – Operating Indicators by Function/Program ............................................................................. 183 Table 21 – Capital Asset Statistics by Function/Program ......................................................................... 184 iii

CITY OF CONCORD JUNE 30, 2024
MUNICIPAL DEBT CONTINUING DISCLOSURE:

Municipal Debt Continuing Disclosure – See Rule 15c2-12(b)(5) City of Concord Joint Powers Financing Authority
Wastewater Revenue Refunding Bonds Series 2012
2018 Wastewater Revenue Refunding Bonds
Table 1 – Ten Largest Users of the Wastewater System ....................................................... 187 Table 2 – Sewer Rates for Fiscal Year 2023-24 .................................................................... 188 Successor Agency of the Former Redevelopm
ent Agency of the City of Concord
(Contra Costa County, California) Tax Allocation Refunding Bonds Series 2014 Table 3 – Assessed Valuation by Category of Use ............................................................... 189 Table 4 – Historic Tax Revenues .......................................................................................... 190 Table 5 – Top 10 Taxpayers for Project Area ....................................................................... 191 Table 6 – Assessed Value Appeals for Project Area ............................................................. 192 Table 7 – Projection of Tax Revenues for Debt Service ....................................................... 193 Map .......................................................................................................................................................... 194 iv

Mission Statement for the Organization
Our mission is to join with our community to make Concord a city of the highest quality.

We do this by providing responsive, cost-effective, and innovative local government services.

Our Vision for the Future
• We will be a customer based, performance driven, results oriented organization, focused on finding the answer, solving the problem, and achieving positive outcomes.
• We will partner with the Concord community to maximize resources, deliver high quality services, and be recognized as setting the standard for excellence. • We will be trustworthy guardians of the public's resources. • We will make Concord a premier business location.
• We will collaborate to provide "seamless" services that benefit both our external and internal customers, streamlining our work processes and removing barriers wherever they arise.
• We will accept the challenge of change and be committed to continually enhancing the safety, environment, quality of life, and economic vitality of our community. • We will constantly look for new and better ways to deliver services. We will seek to be innovative, take reasonable risks, learn from our mistakes and always strive for excellence.
• We will welcome diversity in our community and our work place. • We will conduct our work in an atmosphere of trust, respect and courtesy with open doors and open communication for our customers and each other. • We will provide ethical, dynamic and effective leadership, establish clear direction and priorities, and model the mission and values in support of our common Vision. • We will be accountable for our performance and our organization's success, and be recognized for our achievements.
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Corporate Goals
Goal 1 Continue to make Concord a desirable place to live, work, and raise a family.

Goal 2 Be responsive to the needs of Concord
citizens, maintain a high
level of customer satisfaction, and provide quality public information and outreach.

Goal 3 Promote and improve Concord as a premier location for existing, expanding, and new businesses.

Goal 4 Ensure a balanced budget for a ten-year planning period with adequate replacement funds for buildings and equipment.

Goal 5 Preserve and enhance the livability of Concord's residential neighborhoods with opportunities for a broad range of housing options.

Goal 6 Offer an array of recreation, leisure, and cultural events and programs to meet the needs of citizens of all ages, with an emphasis on the well-being of youth.

Goal 7 Maintain a safe and efficient traffic circulation system.

Goal 8 Have Concord be among the safest cities of comparable size in California and have citizens feel safe in their homes, places of work, and throughout the City.

Goal 9 Maintain City parks, recreation facilities, streets, buildings, and other infrastructure to meet high standards of condition and appearance.

Goal 10 Guide Concord's development according to the General Plan and manage physical resources based on sound environmental
principles.
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Organizational Values
Integrity and Trust - We say what we mean and mean what we say. We honor our word and keep our commitments. We are worthy of the public's and each other's trust.

Commitment to Service - We put our customers first. We respond to our internal customers and treat them with the same courtesy and respect as our external customers. We facilitate, enable, and problem-solve.

Partnerships - We place a high value on building partnerships with members of our community to assure we understand their needs and continue to deliver the services they desire in the most effective manner possible.

Innovation and Continuous Improvement - We strive for excellence in the quality and productivity of our work. We create a work environment in which we look for new solutions and experiment with innovative ways to do things - even if they don't always work the first time. We recognize the need to be dynamic in meeting the community's changing needs. Each and every employee is given the opportunity to develop and grow.

Performance Accountability - We set measurable performance goals which support the priorities of the City and our individual work groups. We are given the necessary authority, training and resources to enable us to achieve these goals. Performance reviews are conducted in a timely and effective manner. Employee advancement and other incentives are based on performance. We are proud of the professionalism, competency and dedication that exist throughout the organization.

Long Range Planning - We conduct long range strategic and financial planning to maximize service delivery and build the economic stability of the City. We practice sound fiscal management to protect the public's resources.

Team Work - We respect each other as individuals, and we take the time and effort to show it. Although certain positions have more decision-making authority, we treat all members of the organization with the same consideration for their ideas and concerns.

We really listen to, and give each other honest feedback. We recognize partnerships among work groups and employees as essential to effectively maximizing resources and delivering high quality services.

Individual Worth and Diversity - We recognize and appreciate the uniqueness of each individual. We value the contribution made and the synergy created by different experiences and perspectives. We are committed to treating each and every person within the organization and the larger community with respect and dignity. ix

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INTRODUCTORY SECTION

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December 20, 2024
Honorable Mayor, City Council and
Members of the Concord Community:

The City of Concord follows the best management practice of publishing a complete set of financial statements presented in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) and audited in accordance with generally accepted auditing standards by a firm of licensed certified public accountants within six months of the close of the fiscal year. This report is prepared by the City of Concord’s Finance Department in accordance with Municipal Code, Title 2, Section 15.030. Pursuant to the requirements, we hereby issue the Annual Comprehensive Financial Report (ACFR) of the City for the fiscal year ended June 30, 2024.

The ACFR consists of management’s representations concerning the finances of the City and its blended component units. Responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures, rests with management of the City. To provide a reasonable basis for making those representations, management of the City has established a comprehensive internal control framework that is designed to both protect the government’s assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the City’s financial statement in conformity with U.S. GAAP. This first note in the Notes to the Financial Statements provides a detailed explanation of the City’s significant accounting policies. Because the cost of internal controls should not outweigh their benefits, the City’s comprehensive framework of internal controls has been designed to provide reasonable assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects.

Maze & Associates Accountancy Corporation, a firm of licensed certified public accountants, has audited the City’s financial statements. The goal of the independent audit is to provide reasonable assurance that the financial statements of the city and its blended component units for the fiscal year ended June 30, 2024, are free of material misstatement. The audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditors concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified opinion on the City’s basic financial statements as of and for the year ended June 30, 2024. The independent auditors’ report is presented in the first component of the financial section of this report.

City of Concord
Finance Department
1950 Parkside Drive MS/06
Concord, CA 94519-2578
Fax (925) 671-3353
Telephone (925) 671-3192
xiii

The analysis of the financial condition and the results of operations are in the Management's Discussion and Analysis (MD&A) immediately follows the independent auditor's report. The MD&A complements this letter of transmittal and should be read in conjunction with it.

The City of Concord is required to undergo an annual single audit in conformity with the provisions of the Single Audit Act Amendments of 1996 and the U.S. Office of Management and Budget's Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (2 CFR 200). Information related to this single audit, including a schedule of federal expenditures of federal awards, the independent auditor's report on internal control and compliance with applicable laws and regulations are included in a separately issued single audit report.

The Report
The ACFR is presented in three sections:
 The Introduction section includes this letter of transmittal, City Council introduction, the City’s organizational chart, and GFOA certificate of achievement.
 The Financial section includes the report of the independent auditors; Management’s Discussion and Analysis (MD&A); the basic financial statements, including the government-wide financial statements; and the accompanying notes to the financial statements. The Financial Section also includes the fund financial statements including the governmental funds financial statement, the proprietary funds financial statement, the fiduciary funds financial statements, and the combining individual funds financial statement for the non-major governmental funds and the internal service funds. Required supplementary information other than the MD&A is also included in the Financial Section.  The Statistical section includes selected financial and demographic information, presented on a multi-year basis.

The ACFR includes all funds of the City and the City’s component units, which are legally separate organizations for which the City is financially accountable or whose relationship with the City is of a nature and significance that would cause the City’s financial statements to be incomplete were it not included. These include the Concord Public Financing Authority (the Authority), the City of Concord Retirement System, and the Concord/ Pleasant Hill Health Care District.

The Concord Redevelopment Agency (RDA) was dissolved on February 1, 2012, and was replaced by the Redevelopment Successor Agency (SA). The SA is not a component unit of the City and is instead a separate legal entity overseen by the County Oversight Board and the State Department of Finance. The City’s role in the SA is fiduciary in nature. The SA is reported as a private-purpose trust fund, a fiduciary fund type. Additional information about the dissolution of the RDA is included in the notes to the financial statements.

City Profile
Located 29 miles east of San Francisco, Concord is the largest city in Contra Costa County with a population of 121,513. The City covers 31.13 square miles and provides a full range of services including: police protection, recreational activities, community and economic xiv

development, street improvements and maintenance services, parks maintenance, sewer, and general administrative and support services. In addition, the City oversees management of the Toyota Pavilion at Concord, Diablo Creek Golf Course, and Camp Concord in South Lake Tahoe, California.

Concord is a General Law city formed under the State legislative process and structured under provisions of the California constitution. Concord’s governing body, the City Council, is comprised of five elected members, who serve by district, each for four-year terms. City voters also elect a City Treasurer who serves a four-year term.

Every year, the Council selects one of its members to serve as Mayor and one to serve as Vice Mayor.

Concord is operated under the Council-Manager form of government. The Council hires the City Manager, who is then responsible for all management functions of the City, including the development of the budget, delivery of services, hiring of personnel and implementation of capital projects. The City Council also directly hires the City Attorney who serves as the City's primary legal advisor.

Concord is the job center of Contra Costa County and is the County's strongest retail location.

Concord offers the amenities that many businesses require for success. In Concord, business- friendly government policies, outstanding Class A office space values, numerous industrial parks and excellent transportation options combine with favorable home prices, an educated workforce and a dynamic retail environment to create ideal conditions for businesses to locate and expand. These qualities make Concord a premier business location.

The City Council's commitment to families and to the community fosters a high quality of life with attractive residential neighborhoods, and abundant recreational and entertainment opportunities for all ages. Concord, the city where "Families Come First," is a community of friendly neighborhoods with an excellent park system, convenient shopping, large preserves of open space, and an exciting downtown, which features Todos Santos Plaza as the focal point.

Concord's housing mix offers residents to live where they work and play. An extensive transportation system, including easy freeway access, two rapid rail transit stations (Bay Area Rapid Transit (BART)), bus services and a regional airport operated by Contra Costa County, makes Concord's location convenient to San Francisco and other Bay area cities. xv

Economic Condition and Outlook
The City of Concord’s diverse economy is supported by approximately 3 million square feet of Class A office space, 6.8 million square feet of industrial space, and four regional shopping centers, along with a variety of other commercial spaces, making Concord the largest employment center within Contra Costa County.

Concord boasts a suburban feel with urban amenities and entertainment, including community events like Farmers’ Markets, live music venues, outdoor recreation and restaurants serving styles of cuisines from all across the world.

Concord provides affordability and accessibility to the rest of the Bay Area. Concord commercial lease rates are on average 50-60% lower than other Bay Area cities, and the City’s housing market is between 40-85% lower costs than the Santa Clara County, San Francisco County, Alameda County, and San Mateo County markets.

Many sectors of Concord’s economy are showing improvement. Median home prices, transient occupancy taxes, and restaurant and hotel sales tax revenue all increased over the prior year.

Concord’s industrial space is attractive due to its central location in the Bay Area and access to a strong workforce. As of September 2024, Concord’s retail vacancy rate is 5.0% and industrial vacancy rate is 1.7%. Office space is the one sector showing higher vacancy rates, its vacancy rate is currently 26.3%, compared to 24.0% this time last year. Sales tax revenue showed a decline in growth over the prior year, with a 3% decline over the previous year.

At Council’s direction, the City began implementing a fiscal stability plan in 2018 to start addressing the City’s unfunded maintenance needs. The City had previously implemented fiscal stability measures to address the revenue declines of the Great Recession, which began in 2007, and again in 2020 due to the COVID-19 pandemic. The City addressed both recessions by significantly reducing staff and cutting all non-essential spending. Those reductions allowed the City to remain fiscally solvent during both of those recessions.

A major step toward achieving long-term fiscal sustainability for the City occurred with two voter approved local transaction and use tax measures. Originally approved by voters in 2010 and extended in 2014, the City’s local transactions and use tax, Measure Q, has been a vital, locally controlled, revenue source supporting day-to-day City operations. Measure Q was a voter approved half-cent transactions and use tax that was scheduled to sunset in March 2025.

During its tenure, Measure Q provided $113 million to support General Fund programs and $9 million to General Fund stability reserves.

On November 3, 2020, voters approved a one-cent transaction and use tax, Measure V, to replace Measure Q. Measure V stays in place until ended by voters. Collections from Measure V began April 1, 2021, ensuring that the City can maintain essential City services and begin addressing the City’s remaining fiscal challenges. Council has prioritized continuing to use the original ½ cent to support operations and has been dedicating the remaining ½ cent towards infrastructure maintenance and other Council and community priorities. The tables below provide an overview of the use the Measure V funds through the end of FY 2023-24. xvi

Table 1: Annual Measure V Use Tax and Other Receipts and Uses As of June 30, 2024 (Dollars in Millions)
Sales tax revenue (Measure V Transactions & Use Tax and the City’s Bradley Burns Sales Tax) remains the largest General Fund revenue source and provides for 38 percent of general municipal services such as public safety, street maintenance, and parks and recreation programs. Sales tax revenue has incurred a 3 percent decline from the prior year, going from $74.8 million in FY 2022-23 to $72.5 million during FY2023/24.

Property tax revenue represents the second most significant General Fund revenue source making up 14 percent of total General Fund revenues. Property taxes increased $1 million over fiscal year 2022-2023. The City’s net taxable assessed value increased 6.0% in fiscal year 2023-24, comparable to the countywide increase of 5.9%. Initial property tax assessment for FY2024-25 show property tax increasing, but at a slower rate.

The City’s unemployment rate was 4.4% in June 2024 compared to 3.7% in the previous year.

This is similar to the County’s rate of 4.7% in June 2024 (vs. 4.1% in June 2023). The region’s unemployment rates are lower than the State rate of 5.3%.

Significant Community Events and Accomplishments
Examples of significant accomplishments for the fiscal year ended June 30, 2024 include the following:

Helen Putnam Award for Creative Concord Arts Program:

The City of Concord was
honored October 17, 2024 with the prestigious Helen Putnam Award for Excellence in the category of Economic Development through the Arts for its Creative Concord public arts program. The program included mural installations, live canvas paintings, live music, and sculptures. Since its inception, the program has brought together more than 100 organizations, businesses, and advocates to collaborate and help make Creative Concord thrive. The program has also given back in many forms, including paid opportunities for dozens of local artists and talent, donating artworks to local nonprofit organizations, monetary donations to charities through the sale of artworks. Creative Concord is made possible through a collaboration among the city, art-centric agency Local Edition Creative, and the tourism bureau Visit Concord.

Homelessness Strategic Plan: The Concord City Council adopted a Homeless Strategic Plan in February 2024 and subsequently approved the allocation of $5 million in one-time revenues Measure V Receipts
General Fund
Programs &
Reserves
Measure V
Fund Balance
Fiscal Year 2020-21 Activity (April 1 through June 30) $7.437 $2.549 $4.888 Fiscal Year 2021-22 $32.971 $32.416 $0.555
Fiscal Year 2022-23 $34.358 $34.883 ($0.525)
Fiscal Year 2023-24 $35.121 $34.174 $0.947
Total Available Fund Balance $109.887 $104.022 $5.865
xvii

to six local organizations for the implementation of the strategies contained in the Homeless Strategic Plan. Specifically, the one-time, non-recurring funding will go to organizations that offer a combination of temporary housing and comprehensive support services to help individuals transition out of homelessness.

Rent Stabilization and Eviction Protections: In a continued effort to protect Concord tenants, the Concord City Council adopted an amended Residential Tenant Protection Program that went into effect on April 19, 2024. The Ordinance amends the Concord Municipal Code to increase "just cause" eviction protections, expands the City's rent registry, and establishes a rent stabilization program. The goal of the new regulations is to stabilize the tenant community and minimize displacement of residents, while also allowing rental property owners to make a fair return on their investments.

Major Road Construction Projects: A variety of roadway projects were started and completed between the Spring and Fall of 2024. These projects were made possible by the Measure V use and transaction tax revenue approved by voters in November 2020. Projects included fiber installation, pavement rehabilitation, and sewer/paving related projects. In addition, thirteen residential neighborhoods underwent pavement maintenance.

Former Concord Naval Weapons Station Reuse Project: Work toward developing the former Concord Naval Weapons Station continues. During FY2023-24, City staff negotiated the Exclusive Agreement to Negotiate with BCUS Acquisitions LLC (Brookfield). Staff organized a term sheet study session on the conceptual land-use plan and community outreach efforts.

Staff started elements of the Specific Planning process for the project, including infrastructure, resource permitting, remediation monitoring, and base management discussions.

New Business Attraction: Economic Development staff provided technical assistance to property owners and brokers as they attract new tenants and provided direct site selection support to property businesses. During FY 2023-24, City staff provided permitting or site selection support to the following business: NVision, Lagree Studio, Chick-fil-A, Urban Air, J Crew Outlet, Creativa Colores, and Hampton Inn.

New Outdoor Fitness Area: A new outdoor fitness area was constructed in Concord’s Willow Pass Park. The 2,000-square-foot space features a variety of KOMPAN brand equipment including magnetic “bells” for weightlifting, two stationary bikes with touch screens (control the tension using an app on your phone!), suspension trainers, a multi-purpose net, step/jump box platforms, and more. Each piece has a QR code, which links to information on how to use that particular station.

Police Department Hosted Events:

In August 2023, the City hosted the first Concord Police Youth Camp event. In collaboration with the Family Justice Center, 17 children were selected to spend the weekend with Police Personnel at Camp Concord located in Lake Tahoe.

In conjunction with New Hope Church and Street Smarts Diablo, the Police Department hosted the 3rd annual Bike Rodeo, featuring free helmets and fittings, bicycle safety courses, and bicycle tune-ups.

In December, the Police Department hosted the annual Shop with a Cop event where 10 deserving children were provided gift cards to shop with a cop. They were also given gift cards for their family holiday meal.

The Police Department also hosted the annual Stuff a Cruiser event. The police officers collect gifts donated by the community for the local Monumental Toy Drive. xviii

Budgetary Control
The City maintains budgetary controls through the City Council’s adoption of an annual budget and by maintaining an encumbrance accounting system. Expenditures for City operations and other purposes identified in the annual budget cannot legally exceed the budgeted amounts approved by the City Council.

The Concord Municipal Code requires the City Manager to present the Annual Operating Budget to the City Council for approval. In June 2023, the City Council adopted a biennial budget encompassing Fiscal Years 2023-24 and 2024-25. The City Council has adopted a number of Policies & Procedures, including Budget and Fiscal Policies; Budget Preparation; and Budget Appropriation and Transfer Controls, which provide direction in the development of the Annual Operating Budget. The City Manager has also authorized several Administrative Directives, which further clarify budget policies, processes and related controls.

Ultimate budgetary control resides at the fund level; however, the City has adopted a number of budgetary appropriation and transfer procedures to provide strong internal controls while encouraging improved accountability and administrative responsiveness. All budgetary transfers require Director of Finance review and approval. All transfers of appropriations affecting Personnel Services (wages & benefits) require Director of Human Resources and City Manager review and approval. Additionally, all transfers between funds and between departments require City Manager or City Council review and approval.

All capital project appropriation transfers require City Manager approval. Transfers in excess of $75,000 require City Council approval. The City Council’s approval is required for new appropriations with the exception of money received for specific purposes (e.g. Developer Contributions) where the appropriation and revenue received are of equal value. Special revenue budget appropriations based on funds provided by grants, donations or contributions require City Manager and City Council approval.

The City also uses encumbrance accounting as another technique for accomplishing budgetary control. An encumbrance is a commitment of a future expenditure earmarked for a particular purpose that reduces the amount of budgetary authority available for general spending. At the end of the fiscal year, encumbered appropriations are carried forward and become part of the following year’s budget while appropriations that have not been encumbered lapse.

The City continues to meet its responsibility for sound financial management as demonstrated by the statements and schedules included in the financial section of this report.

Internal Controls
In developing and enhancing the City's accounting system, significant consideration is given to the adequacy of the City's system of internal accounting controls. Internal controls are designed to provide reasonable assurance regarding the safeguarding of assets against the loss from unauthorized use or disposition, and the reliability of financial records for preparing financial statements and maintaining accountability for assets. The concept of reasonable assurance recognizes that the cost of control should not exceed the benefits likely to be derived, and that the evaluation of costs and benefits requires estimates and judgments by management.
xix

Budget and Fiscal Policies: Long Range Financial Forecasting The City of Concord has utilized a Ten-Year Financial Forecast Program since 1995. The Ten- Year Financial Forecast Program requires that the City Manager biennially present balanced ten-year financial forecasts for all major funds. Beginning with 2018, the City developed a long- range forecast for the General Fund that projects out twenty years, in order to provide a longer- term view of the City’s fiscal condition and incorporates both the operating and capital needs in the community. All other funds still present balanced ten-year forecasts. These funds include Special Revenue Funds, Capital Improvement Funds, and Proprietary Funds including the Post-Employment Benefits Funds. In addition, the Twenty-Year Financial Forecast for the General Fund is updated annually. The Twenty-Year Financial Forecast includes all projected sources of revenue and all projected expenditures including salaries, benefits, materials, services and capital improvement projects. Each budget cycle, all forecasts are revisited, and assumptions are evaluated and updated.

Reserve Policy
To address financial uncertainties, the City maintains various General Fund reserves and contingency funds that, when combined, total not less than 17% of the General Fund’s operating expenditures, with a Council adopted goal of 30%. The reserve and contingency funds include: the General Fund Operating Contingency Reserve fund; the Benefit Reserve fund; the Capital Maintenance Reserve fund; the Economic Contingency Reserve fund; the Unforecasted Reserve fund; and the Fiscal Stability Reserve fund. The total combined General Fund reserve balance for these funds is $47.8 million or 40% of General Fund Operating Expenditures.

Awards
The Government Finance Officers Association (GFOA) of the United States and Canada awarded its Certificate of Achievement for Excellence in Financial Reporting to the City for its ACFR for the fiscal year ended June 30, 2023. This was the thirtieth-first consecutive year that the City of Concord has been recognized for excellence in financial reporting. To qualify for the Certificate of Achievement, the governmental entity must publish an easily readable and efficiently organized ACFR, the content of which conform to program standards. Such report must satisfy accounting principles generally accepted in the United States of America, as well as all applicable legal requirements.

The Certificate of Achievement is valid for only one year. The City believes this ACFR continues to conform to the Certificate of Achievement Program requirements and will be submitting it to GFOA for consideration of the annual award.

Acknowledgments
The preparation of this ACFR could not have been accomplished without the professional, efficient and dedicated services of the highly qualified staff of the Finance Department, in particular Suzanne McDonald, Jonathan Palmer, George Villa, and Blake Muller.

In addition, staff in all City departments should be recognized for responding so positively to the requests for detailed information that accompanies each annual audit. The City also xx

recognizes the contributions and positive working relationship with Maze & Associates Accountancy Corporation.

Finally, we wish to express our deep appreciation to the Mayor, City Council and the City Manager for their unfailing support for maintaining the highest standards of professionalism in the financial management of the City of Concord.

Respectfully submitted,
Karan Reid
Director of Finance
xxi

PRINCIPAL OFFICERS
(June 30, 2024)
Elected Officials
Executive Team
Edi Birsan
Mayor
Laura M. Hoffmeister
Councilmember
Patti Barsotti
City Treasurer
Valerie Barone
City Manager
Susanne Brown
City Attorney
Kevin Marstall
Director of Community
Development
Guy Bjerke
Director of Economic
Development and
Base Reuse
Karan Reid
Director of Finance
Jasmin Loi
Director of
Human Resources
Greg Taylor
Director of
Information Technology
Steve Voorhies
Director of

Recreation Services
Mark Bustillos
Chief of Police
William Tarbox
Director of

Public Works
Justin Ezell
Assistant City
Manager
Laura Nakamura
Councilmember
Carlyn Obringer
Vice Mayor
Dominic Aliano
Councilmember
xxii

The People of the City of Concord
Community
Development
Affordable Housing
Programs
Building
Engineering
Multi-Family Rent al
Inspections
Planning
Transportation
Board of Appeals
Design Review Board
Planning Commission
Econo mic Development
& Base Reuse
Conveyance Strategies
Base Management
Economic Development
Programs
Financial Feasibility
Fiscal Sustainability
Public Outreach
Redevelopment
Successor Agency
Reuse Planning
Police
Field Operations
Internal Operati ons
Investigations
Professional Standards
Volunteer Emergency
Services
Administration
Finance
Budget & Financial
Planning
City Treasury
Disbursements
Financial Analysis &
Reporting
Purchasing & Materials
Management
Revenue Generation
Lease Management
Public Works
Citywide Streetlight
Assessment Dist rict &
Traffic Signals
Facility Maintenance &
Custodial Services
Fleet Management
Graffit i Removal
Landscape & Lighting
Assessment Districts
Parks Services
Sewer Enterprise
Street Maintenance ,
Signs & Markings
Street Sweeping
Traffic Operations
Information
Technology
City Boundaries
Parcel O wnership
Land Management
Geospat ial Analytics
GIS Data Layers
Street Addressing
Help Desktop Support
Web Sit es
Client-side Security
Technology Training
Enterprise
Applications & Data
Bases
Application & Data Base
Security
Project Management
Office (PMO)
Network Services
Telephone Services
Voice Mail Services
Radio/Wireless
Communications
Network Security
Office of the
City Manager
City Clerk /
Administrative
Services
City Council Support
Community Relations
Document Imaging /
Records Management
Measure V Oversight
Committee
Parks &
Recreation
Aquatics
Camp Concord
Facility Operations &
Programs
Golf Course Enterprise
Agreements
Pavilion Management &
Operat ions Agreement
Senior & Special
Recreation Services
Adult Sports & Events
Youth & Teen Programs
Commission on Aging
Concord Pavilion
Community Outreach
Committee
Parks, Recreation &
Open Space
Commission
City Council
Mayor and Four Council Members
Appointive Advisory Boards ,
Committees or Commissions
City Treasurer
Deposits
Investments
City Attorney
City Manager
Claims Processing
Legal Council to City Council, Commissions, Committees, City Management, City Departments and City Staff
Litigation and Liability Defens e
Municipal Code Violation Prosecution
Ordinances, Resolutions, Contracts
The City of Concord has a City Council/City Manger form of government. Five Council Members and the City Treasurer are elected. The Council appoints the City Manager and the City Attorney. The City Manager appoints the City Clerk and department heads and hires employees to carry out program services. The City Council appoints qualified citizens from the community to serve on advisory boards and commissions.

Assistant City Manager
Human
Resources
Employee Services
Benefits Administration
Classificat ion &
Compensation
Employee Relations
Labor Relations
Organizational Training
& Development
Recruitment & Selection
Safety & Workers
Compensation
xxiii

Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Concord
California
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2023
Executive Director/CEO
xxiv

FINANCIAL SECTION

This Page Left Intentionally Blank

INDEPENDENT AUDITOR’S REPORT
To the Honorable Mayor and Members of the City Council
City of Concord, California
Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Concord, California,
as of and for the year ended June 30, 2024, and th e related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the Table of Contents.

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, th e business-type activities, each major fund, and the aggregate remaining fund information of the City as of June 30, 2024, and the respective changes in financial position and, where applicable, cash flows thereof and the respective budgetary comparisons listed in the Table of Contents as part of the basic financial statements for the year then ende d in accordance with accounting principles generally accepted in the United States of America.

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

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

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

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

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

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
2

Required Supplementary Information

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

Supplementary Information

Our audit was conducted for th e purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The accompanying Supplementary Information, as listed in the Table of Contents, is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedur es in accordance with auditing standards generally accepted in the United States of America. In our opinion, the Supplementary Information is fairly stated, in all material respects, in relation to the basic financial statements as a whole.

Other Information

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

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

3

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued ou r report dated December 20, 2024, on our consideration of the City’s internal cont rol over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters.

The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.

Pleasant Hill, California
December 20, 2024

4

CITY OF CONCORD JUNE 30, 2024
MANAGEMENT’S DISCUSSION AND ANALYSIS
The City of Concord issues its financial statement s in the format prescribed by generally accepted accounting principles. The Managem ent’s Discussion and Analysis provides an overview of the City’s financial activities for the fiscal year , which should be read in conjunction with the accompanying Transmittal Letter and Basic Financial Statements.

FISCAL 2024 FINANCIAL HIGHLIGHTS
Financial highlights of the year include the following:

Government-Wide
• The City’s total net position was up $21 million, from $652 million on June 30, 2023 to $673 million at June 30, 2024. Of this total, $563 mi llion was governmental activities net position and $110 million was business-type activities net position. • Government-wide governmental revenues in cluded program revenues of $52 million and general revenues of $145 million for a total of $197 million, a increase of $1 million from the prior year’s total.
• Total government-wide governmental activities expenses were $186 million, up $13 million from the prior year.
• Government-wide business-type activities re venues were $51 million while expenses were $42 million.

Fund Level
• Governmental Fund balances decreased $12 million in fiscal 2024 to $240 million. • Governmental Fund revenues increased $2 million in fiscal 2024 to $193 million. • Governmental Fund expenditures increased to $205 million in fiscal 2024, up $9 million from the prior year.
• General Fund revenues of $152 million in fiscal 2024 reflected an increase of $4 million from the prior year.
• General Fund expenditures of $121 million re flected an increase of $1 million when compared to the prior year.
• General Fund fund balance of $70 million at J une 30, 2024 was $5 million more than June 30, 2023.

OVERVIEW OF THE ANNUAL COMPREHENSIVE FINANCIAL REPORT
This Annual Comprehensive Financial Report is in five parts:

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

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

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

4. Supplemental Information for the General Fund, Non-Major Governmental Funds and Internal Service Funds; and

5. Statistical information and other schedules.
5

CITY OF CONCORD JUNE 30, 2024

THE BASIC FINANCIAL STATEMENTS
The Basic Financial Statements comprise the Government-Wide Financial Statements and the Fund Financial Statements; these two sets of financial statements provide two different views of the City’s financial activities and financial position.

The Government-Wide Financial Statements provide a longer-term view of the City’s activities as a whole, and comprise the Statement of Net Position and the Statement of Activities. The Statement of Net Position provides information about the financial position of the City as a whole, including all its capital assets and long-term liabilities on the full accrual basis, similar to that used by corporations.

The Statement of Activities provides information about all the City’s revenues and all its expenses, also on the full accrual basis, with the emphasis on measuring net revenues or expenses for each of the City’s programs. The Statement of Activities explains in detail the change in net position for the year.

All of the City’s activities are grouped into Governmental Activities and Business-Type Activities, as explained below. All the amounts in the Statement of Net Position and the Statement of Activities are separated into Governmental Activities and Business-Type Activities in order to provide a summary of these two activities of the City as a whole.

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

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

The fiduciary statements provide financial information about the activities of the Concord Retirement System Pension Trust Fund, the Custodial Funds and the Redevelopment Successor Agency (SA), for which the City acts solely as agent.

The Government-Wide Financial Statements
The Statement of Net Position and the Statemen t of Activities present information about the following:
• Governmental Activities - All of the City’s basic services are considered Governmental Activities, including General Government; Public Safety; Public Works; Economic Development and Base Reuse; Community Development; and Recreation Services. These services are supported by general City revenues such as taxes, and by specific program revenues such as developer fees.

The City’s Governmental Activities include the activities of two separate legal entities: the Concord Pleasant Hill Health Care District a nd the City of Concord Joint Powers Financing Authority. The City is financially accountable for these entities. • Business-Type Activities - The City’s two enterprise activities, the sewer and the golf course, are reported here. Unlike governmental services, these services are supported by charges paid by users based on the amount of the service they use.

Government-Wide Financial Statements are prepar ed on the accrual basis, which means they measure the flow of all economic resources of the City as a whole. 6

CITY OF CONCORD JUNE 30, 2024
Fund Financial Statements
The Fund Financial Statements provide detailed information about each of the City’s most significant funds, called Major Funds. Each Major Fund is pr esented individually, with all Non-Major Funds summarized and presented in a single column. Subo rdinate schedules present the detail of these Non-Major Funds. Major Funds present the major activities of the City for the year and may change from year to year because of changes in the pattern of City’s activities.

Major funds for the City are the General Fund, Concord Housing Fund, ARPA (American Rescue Plan Act) Special Revenue Fund, General Projects Fund, the 2021 COP Projects Fund, and the Sewer Enterprise Fund.

Fund Financial Statements include Governmental, Proprietary, and Fiduciary Funds as discussed below.

Governmental Fund Financial Statements are prepared on the modified accrual basis, which means they measure only current financial resources and uses. Capital assets and other long-lived assets, along with long-term liabilities, are not presented in the Governmental Fund Financial Statements.

Proprietary Fund Financial Statements are prepar
ed on the full accrual basis, and include all their
assets, liabilities, and deferred outflows of resources, current and long-term.

Since the City’s Internal Service Funds provide goods and services only to the City’s Governmental and Business-Type Activities, their activities are r eported only in total at the Fund level. Internal Service Funds may not be Major Funds because thei r revenues are derived from other City funds.

These revenues are eliminated in the Government-Wide Financial Statements and any related profits or losses are returned to the Activities that created them, along with any residual net position of the Internal Service Funds.

Comparisons of Budget and Act ual financial information are presented for the General Fund, Concord Housing Fund, ARPA Fund, Special Revenue Funds and Debt Service Funds.

Fiduciary Fund Statements
The City’s fiduciary fund activities are reported in the separate Statement of Fiduciary Net Position and Statement of Changes in Fiduciary Net Position . Fiduciary funds include the City of Concord Retirement System Pension Trust Fund, the Successor Agency Private Purpose Trust Fund (SAPPTF) and the Custodial Funds. These activiti es are excluded from the City’s other financial statements because the City cannot use these assets to finance its own operations. 7

CITY OF CONCORD JUNE 30, 2024

FINANCIAL ACTIVITIES OF THE CITY AS A WHOLE
The analyses presented below focus on the net position (Table 1) and changes in net position (Table 2) of the City as a whole. The information summarizes the Citywide Statement of Net Position and Statement of Activities stated more fully in the Financial Section of this report.

Table 1: Citywide Net Position
As of June 30, 2024 and 2023 (Dollars in Millions)
Governm ental Business-Ty pe Total
Activities Activities
2024 2023 2024 2023 2024 2023
Cash and Investments $309.2 $319.2 $87.9 $78.1 $397.1 $397.3 Other Assets 84.3 92.6 0.7 1.0 85.0 93.6
Current and Other Assets 393.5 411.8 88.6 79.1 482.1 490.9 Capital Assets, net of depreciation 571.2 549.9 62.0 61.1 633.2 611.0 Total Assets 964.7 961.7 150.6 140.2 1,115.3 1,101.9
Deferred Outflows of Resources 66.7 71.4 0.0 0.0 66.7 71.4 Current and Other Liabilities 41.8 53.5 32.2 29.7 74.0 83.2 Noncurrent Liabilities 415.0 414.2 7.9 9.4 422.9 423.6
Total Liabilities 456.8 467.7 40.1 39.1 496.9 506.8
Deferred Inflows of Resources 12.1 14.6 0.4 0.4 12.5 15.0 Net Position:

Net Investment in Capital Assets 535.9 541.8 52.9 50.9 588.8 592.7 Restricted 103.2 83.1 103.2 83.1
Unrestricted (76.6) (74.1) 57.2 49.8 (19.4) (24.3)
Total Net Position $562.5 $550.8 $110.1 $100.7 $672.6 $651.5 8

CITY OF CONCORD JUNE 30, 2024
Table 2: Citywide Changes in Net Position
For the Years Ended June 30, 2024 and 2023 (Dollars in Millions) The analyses below focus on the net position and changes in net position of the City's Governmental Activities (Table 3, 4 and 5) and Business-Type Activities (Table 6 and 7) presented in the Citywide Statement of Net position and Statement of Activities that follow.

Governmental Business-Type Total
Activities Activities
2024 2023 2024 2023 2024 2023

EXPENSES
General Government $47.0 $52.8 $47.0 $52.8
Public Safety 83.5 73.2 83.5 73.2
Public Works 22.2 16.9 22.2 16.9
Economic Development and Base Reuse 3.7 3.4 3.7 3.4
Community Development 16.6 14.6 16.6 14.6
Recreation Services 9.1 8.2 9.1 8.2
Interest on Long-Term Debt 3.4 3.5 3.4 3.5
Sewer $40.2 $37.1 40.2 37.1
Golf Course 1.8 1.8 1.8 1.8
Total Expenses 185.5 172.6 42.0 38.9 227.5 211.5

REVENUES
Program Revenues:

Charges for Services 17.5 21.9 48.5 45.9 66.0 67.8
Operating Grants and Contributions 18.5 12.9 18.5 12.9
Capital Grants and Contributions 16.4 21.0 16.4 21.0
Total Program Revenues 52.4 55.8 48.5 45.9 100.9 101.7
General Revenues:

Taxes:

Property Taxes 27.5 26.5 27.5 26.5
Sales Taxes 39.4 41.0 39.4 41.0
Sales Taxes - Transaction Use Tax 33.1 33.8 33.1 33.8
Other Taxes 16.9 16.1 16.9 16.1
Motor Vehicle in Lieu 15.0 14.2 15.0 14.2
Investment Earnings 12.9 8.4 2.9 1.4 15.8 9.8
Transfers, Net 0.1 (0.1) 0.0 0.0
Total General Revenues 144.8 140.1 2.9 1.3 147.7 141.4
Total Revenues 197.2 195.9 51.4 47.2 248.6 243.1
Change in Net Position 11.7 23.3 9.4 8.3 21.1 31.6
Beginning Net Position 550.8 527.5 100.7 92.4 651.5 619.9 Ending Net Position $562.5 $550.8 $110.1 $100.7 $672.6 $651.5 9

CITY OF CONCORD JUNE 30, 2024

Governmental Activities
Table 3: Governmental Net Position
As of June 30, 2024 and 2023 (Dollars in Millions)
The City’s net position from Governmental Activities increased $11.7 million to $562.5 million in 2024.

The increase in Governmental Net position is due primarily to the increase in the City’s Capital Assets. • Capital Assets increased $21.3 million. $53 million of Capital Assets were added in 2024, which included $39.4 million of streets and $9.1 million of traffic signals. These additions were partially offset by $31.7 million in depreciation.
• Other Assets decreased by $8.3 million, from $92.6 million to $84.3 million. This was due to the accrual of an $8.2 million insurance reimbursement in the prior year, affecting the Accounts Receivable balance
• Current and other liabilities decreased by $ 11.7 million, The City spent $11.6 million in American Rescue Plan Act (ARPA) funds duri ng fiscal year 2024, reducing the unearned revenue liability associated with the ARPA fund.
• Net investment in capital assets decreased by $5.9 million. • Restricted net position increased $20.1 million from the prior fiscal year. The increase is mainly attributable to increase in Funds restricted for Capital Projects. • Unrestricted net position reflects the res ources that can be used to finance day-to-day operations. Unrestricted net position decreased $2 .5 million from the prior fiscal year to negative $76.6 million on June 30, 2024.
2024 2023
Current and other assets $393.5 $411.8
Capital Assets, net of depreciation 571.2 549.9
Total Assets 964.7 961.7
Deferred Outflows of Resources 66.7 71.4
Current and other liabilities 41.8 53.5
Noncurrent Liabilities 415.0 414.2
Total Liabilities 456.8 467.7
Deferred Inflows of Resources 12.1 14.6
Net Position:

Net investment in Capital Assets 535.9 541.8
Restricted 103.2 83.1
Unrestricted (76.6) (74.1)
Total Net Position $562.5 $550.8
Governmental
Activities
10

CITY OF CONCORD JUNE 30, 2024

Governmental Activities - Sources of Revenues
For the Year Ended June 30, 2024 (see Table 4)
As the Sources of Revenues Chart above shows, 37%, or $72.5 million, of the City’s fiscal 2024 governmental activities revenue came from sales taxes; 14%, or $27.5 million, came from property taxes; 9%, or $17.5 million, came from charges for services; 9%, or $16.9 million, came from other taxes; 8%, or $16.4 million, came from capital grants; and 8%, or $15.0 million, came from motor vehicle in lieu. The remaining 15% came prim arily from two sources – operating grants and contributions, and investment earnings.

Property
Taxes, $27.5M,
14%
Sales Taxes,
$72.5M, 37%
Charges for
Services,
$17.5M, 9%
Capital Grants,
$16.4M, 8%
Other Taxes,
$16.9M, 9%
Motor Vehicle
in Lieu, $15.0M,
8%
Operating
Grants &
Contributions,
$18.5M, 9%
Investment
Earnings,
$12.9M, 6%
11

CITY OF CONCORD JUNE 30, 2024

Governmental Activities - Functional Expenses
For the Year Ended June 30, 2024 (see Table 4)
The Functional Expenses Chart above includes only current year expenses, which are discussed in detail below.

Public Safety accounted for $83.5 million or 45% of expenses, while General Government accounted for $47.0 million or 25% of expenses, followed by Public Works, which accounted for $22.2 million or 12% of expenses. The remaining 18% was sp read among Community Development, Recreation Services, Economic Development and Base Reuse, and Interest Expense.

The expenses reflected above do not include capital outlay, which is added to the City’s capital assets on the Government-Wide Financial Statement s. In 2024, the City capitalized $53.0 million dollars in infrastructure and equipment. The details of the changes in capital assets are discussed in Note 6.

The Statement of Activities presents program revenues and expenses and general revenues in detail. These are elements in the Changes in Go vernmental Net Position, which is summarized below:

Public Safety,
$83.5M, 45%Public Works,
$22.2M, 12%
Community
Development,
$16.6M, 9%
Economic
Development
and Base
Reuse, $3.7M,
2%
General
Government,
$47.0M, 25%
Recreation
Services,
$9.1M, 5% Interest on
Long Term
Debt, $3.4M,
2%
12

CITY OF CONCORD JUNE 30, 2024

Table 4: Changes in Governmental Net Position
For the Years Ended June 30, 2024 and 2023 (Dollars in Millions) Total governmental expenses were $185.5 million in fiscal year 2024, reflecting a $12.9 million increase from the prior year. This increase is due to additional spending on roads and related infrastructure needs, supported through the 2021 COPS debt proceeds and Measure V Project spending. Overall, an additional $9 million in 2021 COP proceeds and $6 million in Measure V Projects funds were spent to fund CIP projects.

Total governmental revenues increased $1.3 millio n to $197.2 million in fiscal 2024. Investment earnings increased $4.5 million due to an increase in interest rates and the fair value adjustment, which was offset by a reduction in Sales and Use Taxes of $2.3 million. 2024 2023

EXPENSES
General Government $47.0 $52.8
Public Safety 83.5 73.2
Public Works 22.2 16.9
Economic Development and Base Reuse 3.7 3.4
Community Development 16.6 14.6
Recreation Services 9.1 8.2
Interest on Long-Term Debt 3.4 3.5
Total Expenses 185.5 172.6

REVENUES
Program Revenues:

Charges for Services 17.5 21.9
Operating Grants and Contributions 18.5 12.9
Capital Grants and Contributions 16.4 21.0
Total Program Revenues 52.4 55.8
General Revenues:

Taxes:

Property Taxes 27.5 26.5
Sales Taxes 39.4 41.0
Sales Taxes - Transaction Use Tax 33.1 33.8
Other Taxes 16.9 16.1
Motor Vehicle in Lieu 15.0 14.2
Investment Earnings 12.9 8.4
Transfers, Net 0.0 0.1
Total General Revenues 144.8 140.1
Total Revenues 197.2 195.9
Change in Net Position $11.7 $23.3
Governmental
Activities
13

CITY OF CONCORD JUNE 30, 2024

Governmental Activities
Table 5 presents the net expense of each of the Ci ty’s programs. Net expense is defined as total program cost offset by revenues generated by those specific activities. Overall, the City’s net expense increased $16.2 million compared to the prior year. The biggest contributor to the increase in net program expense is the increase in pension costs. Interest on the total pension liability outweighed the employee contributions and projec ted earnings for the CalPERS pension plan, creating an increase in pension costs for both the safety and miscellaneous plans.

Table 5: Governmental Activities Net Program Expense
As of June 30, 2024 and 2023 (Dollars in Millions)
Business-Type Activities
The net position of Business-Type Activities increased to $110.1 million in fiscal 2024, up $9.4 million from $100.7 million from the prior year. Sewer expenditures increased by $3.1 million primarily due to an increase in the annual payment made to Central Contra Costa Sanitary District for sewer treatment services. Sewer revenue increased by $2.4 million as sewer fees were increased to help fund future capital improvement projects.
2024 2023
General Government ($41.4) ($48.6)
Public Safety (80.6) (70.4)
Public Works (0.2) 4.4
Economic Development and Base Reuse (3.6) (3.3)
Community Development 0.0 8.2
Recreation Services (3.9) (3.7)
Interest on Long-Term Debt (3.4) (3.5)
Total ($133.1) ($116.9)
Net (Expense) Revenue
from Services
14

CITY OF CONCORD JUNE 30, 2024

Table 6: Business-Type Activities Net Position
As of June 30, 2024 and 2023 (Dollars in Millions)
Table 7: Changes in Business-Type Activities Net Position As of June 30, 2024 and 2023 (Dollars in Millions)
The Sewer Fund generated service fee revenues of $46.0 million in fiscal 2024, reflecting a $2.3 million increase over the prior year. Operating expenses increased by $3.1 million, to $39.9 million.

Investment income increased $1.5 million during t he year. As a result of the various changes, the Sewer Fund ended with a $8.7 million operating gain, which was $1.1 million more than the results of prior year operations. The Golf Course Fund realized a $0.8 million gain in fiscal year 2024.

Activities
2024 2023
Current and Other Assets $88.6 $79.1
Capital Assets, net of depreciation 62.0 61.1
Total Assets 150.6 140.2
Deferred Outflows of Resources 0.0 0.0
Current and Other Liabilities 32.2 29.7
Long-Term Debt Outstanding 7.9 9.4
Total Liabilities 40.1 39.1
Deferred Inflows of Resources 0.4 0.4
Net Position:

Net investment in Capital Assets 52.9 50.9
Unrestricted 57.2 49.8
Total Net Position $110.1 $100.7
Business-Type
Business-Type
Activities
2024 2023
Net Revenues/(Expense) from Business-Type Activities:

Sewer Fund $5.9 $6.6
Golf Course Fund 0.6 0.4
General Revenues:

Investment Earnings 2.9 1.4
Other 0.0 (0.1)
Total Changes in Net Position $9.4 $8.3
15

CITY OF CONCORD JUNE 30, 2024

THE CITY’S FUND FINANCIAL STATEMENTS
Governmental Funds
At June 30, 2024, the City’s governmental funds reported combined fund balances of $240.2 million, a $12.2 million decrease when compared with last year’s combined fund balance of $252.4 million.

General Fund fund balance increased $4.8 million. Other funds experiencing increases were the General Projects fund ($2.8 million), the Concor d Housing fund ($0.7 million) and the ARPA fund ($0.4 million). These gains were offset by a $20. 4 million decrease in the 2021 COP Projects fund balance. The Other Governmental Funds also noticed a decrease $0.5 million.

Changes in the major
funds are discussed in more detail later in this report.

Governmental fund revenues increased $2.1 million th is year to $193 million from $190.9 million in the prior year. Notable changes from prior ye ar include: General Fund revenues increased $4.3 million, due mostly to a $4.2 million increase in revenue from interest; ARPA revenues increased $4.1 million, due to the recognition of revenue to offset the additional current year ARPA expenditures targeted towards city safety and improvement projects; General Projects fund revenues decreased $4.3 million because grant activity decreas ed from prior year; interest earnings in the 2021 COP Project Fund increased $1.0 million; and Other Governmental fund revenues decreased $2.8 million due to a decline in OSIP fees and Parkland fees collected in the current year.

Governmental expenditures increased $8.6 million this year to $205.2 million from $196.6 million in the prior year. This change is due to the changes noted in the following funds: Concord Housing Fund decreased by $11.1 million due to developer loans issued during the prior year for two housing projects that did not repeat in the current year; ARPA expenditures increased by $4.1 million due to increased spending on safety and improvement projects; 2021 COP Projects fund increased by $9.0 million; General Projects fund decreased by $7.2 million as spending shifted to the ARPA and the 2021 COP Projects Funds; and Other Governmental expenditures increased by $13.2 million as spending increased on CIP projects within the Measure V Projects fund and the Gas Tax funds.

Other Financing Sources (Uses) are comprised of transfers among the various funds in the City.

During fiscal year 2024, the General Fund transfe rred out $18.7 million to fund capital projects.

Additional information regarding these transfers can be found in Note 4.

Proprietary Funds
Enterprise fund net position increased to $110.1 mi llion in fiscal 2024, up $9.4 million from $100.7 million in the prior year. Enterprise operating revenues were $48.5 million this year, up $2.6 million from $45.9 million in the prior year. Enterprise Fund operating expenses were $41.6 million in fiscal 2024, up $3.1 million from last year. The net position increase is due to two factors: an increase in sewer service rates and an increase in investment income. The additional revenue will be used to fund capital projects.

Internal service fund net position increased to $60 million in fiscal 2024, up $2 million from the net position of $58 million at the end of the prior year. This increase is due largely in part to an increase of $2.5 million in net position in the Workers’ Compensation Fund and an increase of $0.7 million in the Risk Management Fund, offset by a $1.8 million decline in the net position of the Building Maintenance Fund.

16

CITY OF CONCORD JUNE 30, 2024

ANALYSES OF MAJOR GOVERNMENTAL FUNDS
General Fund
General Fund revenues totaled $151.7 million, reflecting an increase of $4.3 million, or 3%, over the prior fiscal year. Use of Money and Property increased $4.2 million due to increasing interest rates.

Sales tax revenue experienced a decline of $2.3 mill ion in the current year. This was offset by an increase in property tax revenue of $0.9 million and small increases in charges for services, transient occupancy taxes, and franchise fees. General F und operating expenditures increased $0.7 million primarily due to a reduction of $4.4 million in City ’s contribution to the City of Concord Retirement System plan offset by a $5.9 million increase in personnel costs.

Table 8: Changes in General Fund
As of June 30, 2024 and 2023 (Dollars in Millions)
2024 2023

REVENUES
Taxes:

Property Taxes $23.2 $22.3
Sales Taxes 39.4 41.0
Sales Taxes - Transaction Use Tax 33.1 33.8
Other Taxes 16.8 15.7
Motor Vehicle In Lieu, Unrestricted 15.0 14.2
Licenses and Permits 2.2 2.7
Intergovernmental 1.8 1.7
Charges for Services 6.7 7.6
Use of Money and Property 7.5 3.3
Miscellaneous Revenues 6.0 5.1
Total Revenues 151.7 147.4

EXPENDITURES
General Government 18.3 22.8
Public Safety 74.0 69.1
Public Works 10.0 10.9
Economic Development and Base Reuse 1.0 1.1
Community Development 9.9 9.3
Recreation Services 7.3 6.8
Principal & Interest on Long-Term Debt 0.6 0.4
Total Expenditures 121.1 120.4
Excess (Deficiency)
of Revenues Over Expenditures 30.6 27.0

OTHER FINANCING SOURCES (USES)
Transfers In 1.3 0.2
Transfers Out (27.2) (23.7)
Total Other Financing Sources (Uses) (25.9) (23.5)
Net Change in Fund Balance 4.7 3.5
Fund Balance at Beginning of Year 65.4 61.9
Ending Fund Balance $70.1 $65.4
General Fund
Revenues and Expenditures
17

CITY OF CONCORD JUNE 30, 2024

At June 30, 2024, the General Fund fund balance totaled $70.1 million compared to $65.4 million in the prior year. The increase of $4.7 million in f und balance was primarily due to interest revenue outperforming prior year results.

Fiscal year 2024 had transfers out of $27.2 million, which mainly supported construction projects from the Measure V revenue. Details of the City’s transfers can be found in Note 4. This year’s ending fund balance consisted of $12.5 million categorized as non-spendable from advances to other funds, $1.9 million as restricted for Public Safety from the state’s Citizens’ Option for Public Safety (COPS) program, $4.7 million in assigned funds for various purposes, and $51.1 million as unassigned. Refer to Note 8 for more information regarding the fund balance details.

Concord Housing Fund
The Concord Housing Fund accounts for the activities related to the assets assumed by the City of Concord as the Housing Successor to the housing activities of the former Redevelopment Agency.

The total fund balance as of June 30, 2024, was $4.4 million, an increase of $0.7 million over prior year. After issuing $11.1 million in new loans in t he prior year, the fund issued no new loans in the current year. That, along with only a $0.2 million decrease in revenue from prior year, caused the increase in Fund Balance.

ARPA
This fund accounts for Coronavirus State and Local Fiscal Recovery Funds received as part of the American Rescue Plan Act of 2023. Revenue is recognized as expenditures are realized, thus both revenues and expenditures increased by $4.1 million
in the current year. The remaining balance of
$670 thousand has to be spent or obligated by December 31, 2024.

General Projects Fund
This fund tracks capital project costs funded by General Fund money or that are reimbursable from other external sources. The fund’s revenues were $4.7 million in fiscal 2024, a decrease of $4.3 million from fiscal 2023. Prior year revenues were abnormally large as the City received large reimbursements after finishing two major grant projects. This year the grant reimbursement revenue returned to normal levels. Fund expenditures we re $10 million in fiscal 2024 compared to $17.2 million in fiscal 2023. This decrease
was also due to the two large projects that were finished in prior year. The fund balance increased by $2.8 millio n to $0.3 million primarily due to a $6.1 million decrease in capital outlay.
2021 COP Projects
This fund tracks proceeds from the issuance of the 2021 Capital Improvement Project Certificates of Participation to be used to finance the cost of various capital projects and to prepay the 2015 Lease Revenue Financing Agreement. The fund expenditures were $24.1 million in fiscal 2024, an increase of $9 million from prior year, which was the result of prioritized spending on infrastructure projects.

See Note 7 for more information on this debt issuance.

Other Governmental Funds
These funds are not presented separately in the
Basic Financial Statements but are individually
presented as non-major governmental funds in the Supplementary Information section. 18

CITY OF CONCORD JUNE 30, 2024

ANALYSES OF MAJOR ENTERPRISE FUND
Sewer Fund
Net position of the Sewer Fund at fiscal year-end was $105.3 million, an increase of $8.7 million from the prior year. Net investment in capital assets was $51.6 million and unrestricted net position was $53.7 million at June 30, 2024. As mentioned previous ly, this increase in the net position is mainly due to an increase interest revenue and an increase in sewer rates, which will be used to fund capital projects.

CAPITAL ASSETS
Generally accepted accounting principles require the City to record all its capital assets, including infrastructure, in its financial statements. Infrastructure includes roads, bridges, signals, storm drains and other similar assets.

In accordance with generally accepted accounting pr inciples, in fiscal 2002, the City recorded the cost of all its infrastructure assets and computed the amount of accumulated depreciation for these assets based on their original acqu isition dates. At the end of fiscal 2024, the cost of infrastructure and other capital assets recorded on the City’s financial statements was as shown in Table 9 below:
19

CITY OF CONCORD JUNE 30, 2024

Table 9: Capital Assets
For the Years Ended June 30, 2024 and 2023 (Dollars in Millions) The principal additions to governmental capital assets in fiscal 2024 were in the streets asset group, which included $39.4 million for pavement rehabilit ation projects and rehabilitation of numerous streets throughout the City. Business-Type Activities experienced an increase of $5.4 million in construction in progress, due to sewer projects still in progress as of June 30, 2024. The City depreciates all its capital assets over their estimated useful lives, as required by generally accepted accounting principles. The purpose of depreciation is to spread the cost of a capital asset over the years of its useful life so that an allocable portion of the cost of the asset is borne by all users. Further detail on capital assets, current year additions, construction in progress and depreciation can be found in Note 6.

DEBT ADMINISTRATION
The City made all scheduled debt service payments. Ea ch of the City’s debt issues is discussed in detail in Note 7 to the Financial Statements. As of June 30, 2024, the City’s debt was comprised of the following issues:

Balance at Balance at
6/30/2024 6/30/2023
Governmental Activities
Land $26.4 $26.4
Construction in Progress 14.0 16.9
Ground Improvements 28.1 23.8
Buildings and Improvements 81.9 81.7
Right to Use Leased Buildings and Improvements 0.0 0.1
Right to Use Lease Equipment 0.6 0.6
Right to Use Subscription Asset 1.9 1.8
Machinery and Equipment 26.7 25.4
Vehicles 15.6 14.9
Streets 555.3 515.9
Sidewalks 62.8 62.7
Storm Drains/Catch Basins 444.8 444.8
Street Lights 5.9 5.9
Traffic Signals 45.8 36.8
Less: Accumulated Depreciation (738.6) (707.8)
Governmental Activities Capital Assets, Net $571.2 $549.9 Business-Type Activities
Land $0.4 $0.4
Construction in Progress 29.5 24.2
Buildings and Improvements 8.7 8.7
Machinery and Equipment 0.5 0.5
Sewer Lines 219.8 219.8
Less: Accumulated Depreciation (196.9) (192.5)
Business-Type Activities Capital Assets, Net $62.0 $61.1 20

CITY OF CONCORD JUNE 30, 2024

Table 10: Outstanding Debt
As of June 30, 2024 and 2023 (Dollars in Millions)
Total Governmental Activities debt decreased by $6.0 million due to principal payments made during the year. Business-Type Activities Debt decreased slightly over prior year because of the scheduled pay down of outstanding debt.

ECONOMIC OUTLOOK AND MAJOR INITIATIVES
The economy of the City and its major initiatives for fiscal year 2023/2024 are discussed in detail in the accompanying Transmittal Letter.

CONTACTING THE CITY’S FINANCIAL MANAGEMENT
This Annual Comprehensive Financial Report is int ended to provide citizens, taxpayers, investors, and creditors with a general overview of the City’s finances. Questions about this report should be directed to the Finance Department, at 1950 Parkside Drive, Concord, CA 94519-2578. 6/30/2024 6/30/2023 Net Change
Governmental Activities Debt:
2021 Certificates of Participation
2-4%, due 4/1/41 $97.4 $101.4 ($4.0)
Plus premium on bonds 13.0 13.8 (0.8)
Lease Purchase Agreement

2.78%, due 12/01/26 2.3 3.1 (0.8)
Capital Lease:

Motorola Lease Agreement, due 11/15/26 1.1 1.5 (0.4)
Total Governmental Activities Debt $113.8 $119.8 ($6.0) Business-Type Activities Debt:

Enterprise Long Term Debt:
2012 - Wastewater Revenue Refunding Bonds,

1.50-4.00%, due 2/1/29 $3.5 $4.1 ($0.6)
2018 - Wastewater Revenue Refunding Bonds,

1.25-3.24%, due 2/1/32 5.6 6.2 (0.6)
Total Business-Type Activities Debt $9.1 $10.3 ($1.2)
21

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CITY OF CONCORD JUNE 30, 2024

BASIC FINANCIAL STATEMENTS

CITY OF CONCORD JUNE 30, 2024

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

The Statement of Net Position reports the difference betw een the City's total assets and deferred outflows of resources and the City's total liabilities and deferred inflows of resources, including all the City's capital assets and all its long-term debt. The Statement of Net Position summarizes the financial position of all the City's Governmental Activities in a single column, and the financial position of all the City's Business-Type Activities in a single column; these columns are foll owed by a Total column that presents the financial position of the entire City.

The City's Governmental Activities include the activitie s of its General Fund, along with all its Special Revenue, Capital Projects and Debt Service Funds. Si nce the City's Internal Service Funds service these Funds, their activities are consolidated with Govern mental Activities, after eliminating inter-fund transactions and balances. The City's Business-Type Activities include all its Enterprise Fund activities.

The Statement of Activities reports increases and decreases in the City's Net Position. It is also prepared on the full accrual basis, which means it includes all th e City's revenues and all its expenses, regardless of when cash changes hands. This di ffers from the “modified accrual” ba sis used in the Fund financial statements, which reflect only current assets, curre nt liabilities, available revenues and measurable expenditures.

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

Both these Statements include the financial activities of the City, Concord/Pleasant Hill Health Care District and the City of Concord Joint Powers Financing Aut hority, which are legally separate but are component units of the City because they are controlled by the City, which is financially accountable for the component units' activities.
24

CITY OF CONCORD

STATEMENT OF NET POSITION
JUNE 30, 2024
Governmental Business-T ype
Activities Activities Total
ASSETS
Cash and Investments (Note 3) 224,833,110$ 87,881,585$ 312,714,695$ Cash with Fiscal Agents (Note 3) 84,436,807 1,136 84,437,943 Receivables (Net of Allowances for Uncollectibles):

Accounts 8,465,647 250,082 8,715,729 Due from Other Governments 21,448,530 - 21,448,530 Interest 7,822,596 563,691 8,386,287 Loans and Notes (Note 5) 36,052,293 - 36,052,293 Leases Receivable (Note 15) 9,829,038 402,405 10,231,443 Internal Balances (Note 4) 551,774 (551,774) - Capital Assets (Note 6):

Nondepreciable Capital Assets 40,332,875 29,963,528 70,296,403 Depreciable Capital Assets, Net of Accumulated Depreciation 530,887,625 32,091,105 562,978,730 Total Assets 964,660,295 150,601,758 1,115,262,053

DEFERRED OUTFLOWS OF RESOURCES
Deferred Outflows Related to Pension - CalPERS (Note 12) 58,009,021 - 58,009,021 Deferred Outflows Related to Pension - CCRS (Note 10) 343,919 - 343,919 Deferred Outflows Related to OPEB - (Note 13) 8,318,997 - 8,318,997 Total Deferred Outflows of Resources 66,671,937 - 66,671,937

LIABILITIES
Accounts, Deposits and Contracts Payable 11,943,435 30,571,055 42,514,490 Accrued Liabilities 4,007,855 49,067 4,056,922 Interest Payable 993,083 136,330 1,129,413 Refundable Deposits 8,596,544 - 8,596,544
Unearned Revenue 3,500,868 4,170 3,505,038 Compensated Absences (Note 7):

Due in Less Than One Year 3,749,393 89,482 3,838,875 Due in More Than One Year 2,763,850 136,007 2,899,857 Claims Payable (Note 17):

Due in Less Than One Year 3,181,645 - 3,181,645 Due in More Than One Year 14,180,404 - 14,180,404 Long-Term Debt (Note 7):

Due in Less Than One Year 5,431,854 1,195,000 6,626,854 Due in More Than One Year 108,387,978 7,925,125 116,313,103 Leases Payable (Note 15):

Due in Less Than One Year 157,252 157,252
Due in More Than One Year 162,295 - 162,295
Subscription Liability (Note 16):

Due in Less Than One Year 252,542 - 252,542
Due in More Than One Year 260,641 - 260,641
Net OPEB Liability, Due in More Than One Year (Note 13) 28,143,820 - 28,143,820 Net Pension Liability CCRS, Due in More Than One Year (Note 10) 16,192,524 - 16,192,524 Net Pension Liability CalPERS, Due in More Than One Year (Note 12) 244,853,748 - 244,853,748 Total Liabilities 456,759,731 40,106,236 496,865,967

DEFERRED INFLOWS OF RESOURCES
Deferred Inflows Related to Leases (Note 15) 9,590,682 392,474 9,983,156 Deferred Inflows Related to Pension - CalPERS (Note 12) 11,284 - 11,284 Deferred Inflows Related to OPEB (Note 13) 2,448,892 - 2,448,892 Total Deferred Inflows of Resources 12,050,858 392,474 12,443,332 NET POSITION (Note 1)
Net Investment in Capital Assets 535,954,953 52,934,508 588,889,461 Restricted for:

Streets/Transportation 8,950,810 - 8,950,810 Housing and Community Services 4,935,589 - 4,935,589 Other Special Revenue Programs 9,252,432 - 9,252,432 Capital Projects 27,391,369 - 27,391,369
Debt Service 40,444 - 40,444
Community Development Projects 52,589,906 - 52,589,906 Total Restricted Net Position 103,160,550 - 103,160,550 Unrestricted Net Position (76,593,860) 57,168,540 (19,425,320) Total Net Position 562,521,643$ 110,103,048$ 672,624,691$ See accompanying notes to basic financial statements
25

CITY OF CONCORD

STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2024
Program Revenues
Operating Capital
Charges for Grants and Grants and
Functions/Programs Expenses Services Contributions Contributions Governmental Activities:

General Government 47,030,092$ 3,494,169$ 2,149,578$ -$ Public Safety 83,444,438 1,224,079 1,608,292 - Public Works 22,191,147 931,669 11,707,193 9,409,049 Economic Development and Base Reuse 3,719,883 15,782 110,300 - Community Development 16,603,954 7,207,018 2,333,322 7,027,402 Recreation Services 9,119,025 4,666,002 556,342 - Interest on Long-Term Debt 3,389,685 - - - Total Governmental Activities 185,498,224 17,538,719 18,465,027 16,436,451 Business-type Activities:

Sewer 40,166,092 46,083,285 - -
Golf Course 1,768,855 2,400,026 - - Total Business-type Activities 41,934,947 48,483,311 - - Total 227,433,171$ 66,022,030$ 18,465,027$ 16,436,451$ General Revenues:

Taxes:

Property taxes
Sales taxes
Sales taxes - Transaction Use Tax
Transient Occupancy Taxes
Business License Taxes
Franchise Fees
Motor Vehicle In Lieu, Unrestricted
Investment Earnings
Total General Revenues and Transfers
Change in Net Position
Net Position - Beginning
Net Position - Ending
See accompanying notes to basic financial statements
26

Governmental Business-t ype
Activities Activities Total
(41,386,345)$ (41,386,345)$
(80,612,067) (80,612,067)
(143,236) (143,236)
(3,593,801) (3,593,801)
(36,212) (36,212)
(3,896,681) (3,896,681)
(3,389,685) (3,389,685)
(133,058,027) (133,058,027)
- 5,917,193$ 5,917,193
- 631,171 631,171
- 6,548,364 6,548,364
(133,058,027) 6,548,364 (126,509,663)
27,476,825 - 27,476,825
39,397,924 - 39,397,924
33,090,982 - 33,090,982
2,457,149 - 2,457,149
4,184,939 - 4,184,939
10,373,409 - 10,373,409
14,968,077 - 14,968,077
12,877,892 2,884,200 15,762,092
144,827,197 2,884,200 147,711,397
11,769,170 9,432,564 21,201,734
550,752,473 100,670,484 651,422,957
562,521,643$ 110,103,048$ 672,624,691$
Net (Expense) Revenue and
Changes in Net Position
27

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CITY OF CONCORD JUNE 30, 2024

FUND FINANCIAL STATEMENTS
Major funds are defined generally as having significant activities or balances in the current year.

MAJOR GOVERNMENTAL FUNDS
The funds described below were determined to be Major Funds by the City in fiscal year 2024. Individual non- major governmental funds are aggregated and titled “Other Governmental Funds”.

General Fund – The General Fund is the general operating fund of the City and accounts for all revenues and expenditures used to finance the traditional services associated with a municipal government which are not accounted for in the other funds. In Concord, these services include general government, public safety, public works, economic development, community development, and parks and recreation services.

Concord Housing – The Concord Housing Special Revenue Fund accounts for the activities related to the assets assumed by the City of Concord as the Hous ing Successor to the housing activities of the former Redevelopment Agency of the City of Concord.

ARPA – The ARPA Special Revenue Fund accounts for federal Coronavirus State and Local Fiscal Recovery Funds received as part of the American Rescue Plan.

General Projects Fund – This capital projects fund accounts for all general capital improvement projects not funded from proprietary funds.
2021 COP Projects Fund – This capital projects fund accounts for the projects that will be funded with the proceeds from the issuance of the 2021 Certificates of Participation Bonds. 29

CITY OF CONCORD

GOVERNMENTAL FUNDS

BALANCE SHEET
JUNE 30, 2024
Other Total
Concord General 2021 COP Governmental Governmental
General Housing ARPA Projects Projects Funds Funds
ASSETS:

Cash and Investments (Note 3) 57,036,054$ 2,579,849$ $1,690,435 17,036,584$ -$ 84,877,987$ 163,220,909$ Cash with Fiscal Agents (Note 3) - - - - 84,125,001 311,806 84,436,807 Receivables (Net of Allowances for Uncollectible):

Accounts 4,920,514 66,089 - - - 106,021 5,092,624 Due from Other Governments 12,905,664 - - 6,924,816 - 1,618,050 21,448,530 Interest 127,600 6,572,797 - - 947,722 174,477 7,822,596 Due from Other Funds (Note 4) 7,259,060 - - - - - 7,259,060 Loans and Notes (Note 5) - 34,156,160 - - - 1,896,133 36,052,293 Leases Receivable (Note 15) 9,829,038 - - - - - 9,829,038 Advances to Other Funds (Note 4) 12,234,631 1,770,060 - - - - 14,004,691 Total Assets 104,312,561$ 45,144,955$ 1,690,435$ 23,961,400$ 85,072,723$ 88,984,474$ 349,166,548$ LIABILITIES:

Accounts, Deposits and Contracts Payable 9,361,157$ -$ 51,673$ 287,463$ 1,287,064$ 952,406$ 11,939,763$ Accrued Liabilities 2,873,171 12,898 - - - 76,299 2,962,368 Refundable Deposits 8,596,544 - - - - - 8,596,544 Unearned Revenue 520,055 - 670,617 2,069,178 - 241,018 3,500,868 Due to Other Funds (Note 4) - - - - 4,398,644 - 4,398,644 Advances from Other Funds (Note 4) 3,222,703 - - 14,610,983 - - 17,833,686 Total Liabilities 24,573,630 12,898 722,290 16,967,624 5,685,708 1,269,723 49,231,873 DEFERRED INFLOWS OF RESOURCES:

Related to Leases (Note 15) 9,590,682 - - - - - 9,590,682 Unavailable Revenue - 40,728,957 - 6,728,962 - 2,731,428 50,189,347 Total Deferred Inflows of Resources 9,590,682 40,728,957 - 6,728,962 - 2,731,428 59,780,029 FUND BALANCES:

Fund Balances (Note 8):

Nonspendable 12,472,987 - - - - - 12,472,987 Restricted 1,905,754 4,403,100 - 264,814 79,387,015 46,388,742 132,349,425 Assigned 4,654,825 - 968,145 - - 38,595,338 44,218,308 Unassigned 51,114,683 - - - - (757) 51,113,926 Total Fund Balances 70,148,249 4,403,100 968,145 264,814 79,387,015 84,983,323 240,154,646 Total Liabilities, Deferred Inflows of
Resources and Fund Balances 104,312,561$ 45,144,955$ 1,690,435$ 23,961,400$ 85,072,723$ 88,984,474$ 349,166,548$ See accompanying notes to basic financial statements
30

CITY OF CONCORD

RECONCILIATION OF THE GOVERNMENTAL

FUNDS BALANCE SHEET TO THE

STATEMENT OF NET POSITION
JUNE 30, 2024
TOTAL FUND BALANCES -- TOTAL GOVERNMENTAL FUNDS 240,154,646$ Amounts reported for Governmental Activities in the Statement of Net Position are different from those reported in the Governmental Funds above because of the following:

CAPITAL ASSETS
Capital assets used in governmental activities are not financial resources an, therefore, are not reported in the funds. 552,610,214

ALLOCATION OF INTERNAL SERVICE FUND NET POSITION
Internal service funds are not governmental funds. However, they are used by management to charge the costs of certain activities, such as insurance and central services and maintenance, to individual governmental funds. The net position and liabilities of the internal service funds are therefore included in governmental activities in the statement of net position. 59,985,751

ACCRUAL OF NON-CURRENT REVENUES AND EXPENSES
Unavailable revenue which are deferred inflows of resources in the Governmental Funds because they are not available currently are taken into revenue in the Statement of Activities. 50,189,347

DEFERRED OUTFLOWS AND INFLOWS OF RESOURCES RELATED TO PENSION The deferred accounts below are related to the net pension liability and are not due and payable in the current period and therefore are not reported in the Funds:

Deferred outflows of resources related to pension - CCRS 343,919 Deferred outflows of resources related to pension - CalPERS 58,009,021 Deferred outflows resources related to OPEB 8,318,997
Deferred inflows of resources related to pension - CalPERS (11,284) Deferred inflows of resources related to OPEB (2,448,892)

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

Long-Term Debt (112,689,110)
Lease Payable (319,547)
SBITA Payable (513,183)
Interest Payable (971,742)
Net Pension Liability CCRS (16,192,524)
Net Pension Liability CalPERS (244,853,748)
Net OPEB Liability (28,143,820)
Accrued Liabilities (946,402)
NET POSITION OF GOVERNMENTAL ACTIVITIES 562,521,643$
See accompanying notes to basic financial statements
31

CITY OF CONCORD

GOVERNMENTAL FUNDS

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2024
Other Total
Concord General 2021 COP Governmental Governmental
General Housing ARPA Projects Projects Funds Funds

REVENUES
Taxes:

Property 23,235,860$ -$ -$ -$ -$ 4,240,965$ 27,476,825$ Sales Tax:

Sales Tax 39,397,924 - - - - - 39,397,924
Sales Tax - Transaction Use Tax 33,090,982 - - - - - 33,090,982 Transient Occupancy 2,457,149 - - - - - 2,457,149 Franchise Fees 10,059,486 - - - - 313,923 10,373,409 Business License 4,184,939 - - - - - 4,184,939 Motor Vehicle In Lieu, Unrestricted 14,968,077 - - - - - 14,968,077 Licenses and Permits 2,196,042 - - - - 557,029 2,753,071 Intergovernmental 1,824,934 - 11,617,711 3,403,255 - 11,640,664 28,486,564 Charges for Services 6,745,083 - - - - 972,293 7,717,376 Fines, Forfeitures and Penalties 346,878 - - - - 91,704 438,582 Recreation Services 3,593,415 - - - - - 3,593,415 Use of Money and Property 7,491,575 287,639 384,777 167,500 3,684,570 1,984,075 14,000,136 Special Assessment Collections 8,064 - - - - - 8,064
Other 2,118,303 401,545 - 1,119,587 - 428,295 4,067,730 Total Revenues 151,718,711 689,184 12,002,488 4,690,342 3,684,570 20,228,948 193,014,243

EXPENDITURES
Current:

General Government 18,259,897 - 2,474,779 43,695 - 209,113 20,987,484 Public Safety 74,044,574 - - 447,566 - 220,593 74,712,733 Public Works 9,968,164 - 5,133,257 290,381 - 6,008,943 21,400,745 Economic Development and Base Reuse 1,042,200 - 1,473,220 1,215,911 - - 3,731,331 Community Development 9,942,861 295,170 308,132 653,144 109,695 5,051,814 16,360,816 Recreation Services 7,275,961 - 90,770 96,225 - 1,480 7,464,436 Capital outlay - - 2,137,553 6,837,787 23,991,878 18,237,955 51,205,173 Debt Service:

Principal 2,558 - - 397,061 - 4,850,000 5,249,619 Interest and Fiscal Charges 535,789 - - 39,439 - 3,558,302 4,133,530 Total Expenditures 121,072,004 295,170 11,617,711 10,021,209 24,101,573 38,138,200 205,245,867

EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 30,646,707 394,014 384,777 (5,330,867) (20,417,003) (17,909,252) (12,231,624)

OTHER FINANCING SOURCES (USES)
Transfers in (Note 4) 1,324,314 334,957 - 8,248,243 - 19,353,486 29,261,000 Transfers (Out) (Note 4) (27,184,655) - - (147,743) - (1,958,986) (29,291,384) Total Other Financing Sources (Uses) (25,860,341) 334,957 - 8,100,500 - 17,394,500 (30,384) NET CHANGES IN FUND BALANCES 4,786,366 728,971 384,777 2,769,633 (20,417,003) (514,752) (12,262,008)

FUND BALANCES
AT BEGINNING OF YEAR 65,361,883 3,674,129 583,368 (2,504,819) 99,804,018 85,498,075 252,416,654

FUND BALANCES
AT END OF YEAR 70,148,249$ 4,403,100$ 968,145$ 264,814$ 79,387,015$ 84,983,323$ 240,154,646$ See accompanying notes to basic financial statements
32

CITY OF CONCORD

RECONCILIATION OF THE

NET CHANGE IN FUND BALANCES - TOTAL GOVERNMENTAL FUNDS
TO THE

STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2024
The schedule below reconciles the Net Changes in Fund Balances reported on the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balance, which measures only changes in current assets and current liabilities on the modified accrual basis, with the Change in Net Position of Governmental Activities reported in the Statement of Activities, which is prepared on the full accrual basis.

NET CHANGE IN FUND BALANCES - TOTAL GOVERNMENTAL FUNDS (12,262,008)$ Amounts reported for governmental activities in the Statement of Activities are different because of the following:

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

Capitalized expenditures are therefore added back to fund balance 51,650,291 Depreciation expense is deducted from the fund balance (27,517,219) (Depreciation expense is net of internal service fund depreciation of $4,195,488 which has already been allocated to the internal service funds.) Contribution of assets to Internal Service Funds are deducted from fund balance (277,418)

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

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

Repayment of debt principal 4,850,000
Repayment of lease principal 154,924
Repayment of SBITA principal 244,695
Amortization of bond premium 764,359

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

Pension expense CCRS 1,022,949
Pension expense CalPERS (13,459,605)
OPEB expense 2,459,237
Deferred inflow of resources - Unavailable revenues 3,023,765 Interest Payable 48,870
Accrued liabilities (946,402)

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

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

Change in Net Position - All Internal Service Funds, less contributions from Governmental Funds 2,012,732
CHANGE IN NET POSITION OF GOVERNMENTAL ACTIVITIES 11,769,170$ See accompanying notes to basic financial statements
33 Page 65 of 234

CITY OF CONCORD

GENERAL FUND

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2024
Variance with
Budgeted Amounts Final Budget
Positive
Original Final Actual Amounts (Negative)
REVENUES:

Taxes:

Property 22,461,000$ 22,461,000$ 23,235,860$ 774,860$ Sales Tax:

Sales Tax 40,946,000 40,946,000 39,397,924 (1,548,076) Sales Tax - Transaction Use Tax 32,200,000 32,200,000 33,090,982 890,982 Transient Occupancy 2,500,000 2,500,000 2,457,149 (42,851) Franchises 8,564,400 8,564,400 10,059,486 1,495,086 Business License 3,789,300 3,789,300 4,184,939 395,639 Motor Vehicle In Lieu, Unrestricted 14,500,000 14,500,000 14,968,077 468,077 Licenses and Permits 2,188,820 2,188,820 2,196,042 7,222 Intergovernmental 1,550,000 1,550,000 1,824,934 274,934 Charges for Services 6,693,951 6,693,951 6,745,083 51,132 Fines, Forfeitures and Penalties 322,500 322,500 346,878 24,378 Recreation Services 3,129,958 3,129,958 3,593,415 463,457 Use of Money and Property 2,728,945 2,728,945 7,491,575 4,762,630 Special Assessment Collections 7,800 7,800 8,064 264
Other 1,292,800 1,292,800 2,118,303 825,503 Total Revenues 142,875,474 142,875,474 151,718,711 8,843,237 EXPENDITURES:

Current:

General Government:

Council 537,069 538,472 409,334 129,138 Manager 3,727,097 3,846,748 3,778,306 68,442 Attorney 2,130,578 2,258,857 2,164,551 94,306 Human Resources 2,849,463 2,885,417 2,822,717 62,700 Finance 10,730,294 9,996,035 9,084,989 911,046 Total General Government 19,974,501 19,525,529 18,259,897 1,265,632 Public Safety 73,307,954 71,915,700 74,044,574 (2,128,874) Public Works 14,368,032 11,831,994 9,968,164 1,863,830 Economic Development and Base Reuse 1,184,933 1,269,635 1,042,200 227,435 Community Development 11,806,500 12,260,123 9,942,861 2,317,262 Recreation Services 7,352,524 7,619,039 7,275,961 343,078 Capital Outlay - 1,326,253 - 1,326,253
Debt Service:

Principal - - 2,558 (2,558)
Interest and Fiscal Charges 412,600 412,600 535,789 (123,189) Total Expenditures 128,407,044 126,160,873 121,072,004 5,088,869

EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 14,468,430 16,714,601 30,646,707 13,932,106

OTHER FINANCING SOURCES (USES)
Transfers In 182,609 1,182,609 1,324,314 141,705 Transfers (out) (16,177,404) (27,208,184) (27,184,655) 23,529 Total Other Financing Sources (Uses) (15,994,795) (26,025,575) (25,860,341) 165,234 NET CHANGE IN FUND BALANCE (1,526,365)$ (9,310,974)$ 4,786,366 14,097,340$ FUND BALANCE AT BEGINNING OF YEAR 65,361,883
FUND BALANCE AT END OF YEAR 70,148,249$
See accompanying notes to basic financial statements
34

CITY OF CONCORD

CONCORD HOUSING SPECIAL REVENUE FUND

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2024
Variance with
Budgeted Amounts Final Budget
Positive
Original Final Actual Amounts (Negative)
REVENUES:

Use of Money and Property 323,686$ 323,686$ 287,639$ (36,047)$ Other Revenue - - 401,545 401,545
Total Revenues 323,686 323,686 689,184 365,498 EXPENDITURES:

Current:

Community and Economic Development 302,665 336,912 295,170 41,742 Total Expenditures 302,665 336,912 295,170 41,742

EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 21,021 (13,226) 394,014 407,240

OTHER FINANCING SOURCES (USES)
Transfers in 359,414 359,414 334,957 (24,457) NET CHANGE IN FUND BALANCE 380,435$ 346,188$ 728,971 382,783$ FUND BALANCE AT BEGINNING OF YEAR 3,674,129
FUND BALANCE AT END OF YEAR 4,403,100$
See accompanying notes to basic financial statements
35

CITY OF CONCORD

ARPA SPECIAL REVENUE FUND

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE YEAR ENDED JUNE 30, 2024
Variance with
Budgeted Amounts Final Budget
Positive
Original Final Actual Amounts (Negative)
REVENUES:

Intergovernmental -$ -$ 11,617,711$ 11,617,711$
Use of Money and Property 258,193 258,193 384,777 126,584 Total Revenues 258,193 258,193 12,002,488 11,744,295 EXPENDITURES:

Current:

General Government - 2,096,203 2,474,779 (378,576) Public Works - 4,649,964 5,133,257 (483,293)
Economic Development and Base Reuse - - 1,473,220 (1,473,220) Community Development - - 308,132 (308,132)
Recreation Services - - 90,770 (90,770)
Capital Outlay - 6,613,010 2,137,553 4,475,457
Total Expenditures - 13,359,177 11,617,711 1,741,466 NET CHANGE IN FUND BALANCE 258,193$ (13,100,984)$ 384,777 13,485,761$ FUND BALANCE AT BEGINNING OF YEAR 583,368
FUND BALANCE AT END OF YEAR 968,145$
See accompanying notes to basic financial statements
36

CITY OF CONCORD JUNE 30, 2024

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

The concept of major funds extends to Proprietary Funds. Generally accepted accounting principles do not provide for the disclosure of budget vs. actual comp arisons regarding proprietary funds. The City reports the Sewer Enterprise Fund as a major fund:

Sewer Fund. To account for activities associated with sewage transmission and treatment.

The City reports the Golf Course Fund as a non-major fund.

Golf Course Fund. To account for activities associated with the development, operation and maintenance of the Diablo Creek Golf Course.
37

CITY OF CONCORD

PROPRIETARY FUNDS

STATEMENT OF NET POSITION
JUNE 30, 2024
Business-type Activities-Enterprise Funds Governmental
Non-Major Activities-
Enterprise/ Internal Service
Sewer Golf Course Total Funds
ASSETS:

Current Assets:

Cash and Investments (Note 3) 83,666,477$ 4,215,108$ 87,881,585$ 61,612,201$ Cash with Fiscal Agents (Note 3) 1,136 - 1,136 -
Accounts Receivable 176,459 73,623 250,082 3,373,023 Interest Receivable 563,075 616 563,691 - Total Current Assets 84,407,147 4,289,347 88,696,494 64,985,224 Non-Current Assets:

Advances to Other Funds (Note 4) 221,874 - 221,874 4,380,769 Lease Receivable (Note 15) - 402,405 402,405 - Capital Assets (Note 6):

Land 334,838 60,344 395,182 - Construction In Progress 29,568,346 - 29,568,346 1,290,557 Buildings and Improvements 2,832,944 5,876,042 8,708,986 48,497,148 Machinery and Equipment 394,316 136,177 530,493 42,338,617 Sewer Collection System 219,772,435 - 219,772,435 - Intangible Asset - - - 882,178
Less: Accumulated Depreciation (192,149,336) (4,771,473) (196,920,809) (74,398,214) Net Capital Assets 60,753,543 1,301,090 62,054,633 18,610,286 Total Non-Current Assets 60,975,417 1,703,495 62,678,912 22,991,055 Total Assets 145,382,564 5,992,842 151,375,406 87,976,279 LIABILITIES:

Current Liabilities (Payable from Current Assets):

Accounts and Contracts Payable 30,566,589 4,466 30,571,055 3,672 Accrued Liabilities 48,368 699 49,067 99,085
Due to Other Funds (Note 4) - - - 2,860,416
Interest Payable 136,308 22 136,330 21,341 Unearned revenue - 4,170 4,170 -
Compensated Absences Payable (Note 7) 89,482 - 89,482 3,749,393 Capital Lease Payable (Note 7) - - - 366,854
Revenue Refunding Bonds (Note 7) 1,195,000 - 1,195,000 - Claims Payable (Note 17) - - - 3,181,645
Total current liabilities 32,035,747 9,357 32,045,104 10,282,406 Noncurrent Liabilities:

Compensated Absences Payable (Note 7) 136,007 - 136,007 2,763,850 Advance from Other Funds (Note 4) - 773,648 773,648 -
Long-Term Debt
Due in More Than One Year (Note 7) 7,925,125 - 7,925,125 763,868 Claims Payable
Due in More Than One Year (Note 17) - - - 14,180,404 Total Noncurrent Liabilities 8,061,132 773,648 8,834,780 17,708,122 Total Liabilities 40,096,879 783,005 40,879,884 27,990,528

DEFERRED INFLOWS OF RESOURCES
Deferred Inflows Related to Leases (Note 15) - 392,474 392,474 - NET POSITION:

Net Investment in Capital Assets 51,633,418 1,301,090 52,934,508 17,479,564 Unrestricted 53,652,267 3,516,273 57,168,540 42,506,187 Total Net Position 105,285,685$ 4,817,363$ 110,103,048$ 59,985,751$ See accompanying notes to basic financial statements
38 Page 70 of 234

CITY OF CONCORD

PROPRIETARY FUNDS

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION
FOR THE YEAR ENDED JUNE 30, 2024
Business-type Activities-Enterprise Funds Governmental
Non-Major Activities-
Enterprise/ Internal Service
Sewer Golf Course Totals Funds

OPERATING REVENUES
Service Fees 46,009,112$ -$ 46,009,112 $ -$ Charges for Services - - - 29,486,737
Golf Course Fees and Charges - 2,301,622 2,301,622 - Other 74,173 98,404 172,577 3,989,155 Total Operating Revenues 46,083,285 2,400,026 48,483,311 33,475,892

OPERATING EXPENSES
Operating and Maintenance 35,472,673 1,630,226 37,102,899 27,264,212 Cost of Sales and Services - - - 74,539
Depreciation (Note 6) 4,407,644 138,629 4,546,273 4,195,488 Claims and Judgments - - - 2,485,075
Total Operating Expenses 39,880,317 1,768,855 41,649,172 34,019,314 Operating Income (Loss) 6,202,968 631,171 6,834,139 (543,422)

NON-OPERATING REVENUES (EXPENSES)
Investment Income 2,738,244 145,956 2,884,200 2,205,788 Interest Expense (285,775) - (285,775) (69,384) Gain (Loss) on Sale of Capital Assets - - - 111,948
Total Non-Operating Revenues (Expenses) 2,452,469 145,956 2,598,425 2,248,352 Income (Loss) Before Contributions and Transfers 8,655,437 777,127 9,432,564 1,704,930 Capital Contributions - - - 277,418
Transfers In (Note 4) - - - 248,000
Transfers Out (Note 4) - - - (217,616)
Net Contributions and Transfers - - - 307,802
Changes in Net Position 8,655,437 777,127 9,432,564 2,012,732 Total Net Position - Beginning 96,630,248 4,040,236 100,670,484 57,973,019 Total Net Position - Ending 105,285,685$ 4,817,363$ 110,103,048$ 59,985,751$ See accompanying notes to basic financial statements
39

CITY OF CONCORD

PROPRIETARY FUNDS

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED JUNE 30, 2024
Business-type Activities-Enterprise Funds Governmental
Non-Major Activities-
Enterprise/ Internal Service
Sewer Golf Course Totals Funds

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from Customers 46,106,133$ 2,491,342$ 48,597,475$ 35,814,498$ Payments to Suppliers (30,402,778) (1,584,424) (31,987,202) (16,227,679) Payments to Employees (2,854,325) (45,271) (2,899,596) (5,134,602) Claims Paid - - - (2,166,043)
Net Cash Provided by (Used for) Operating Activities 12,849,030 861,647 13,710,677 12,286,174

CASH FLOWS FROM NON-CAPITAL

FINANCING ACTIVITIES
Borrowings of Advances From/(To) Other Funds 626,539 - 626,539 (3,426,909) Transfers In - - - 248,000
Transfers (Out) - - - (217,616)
Net Cash Provided by (Used for)
Non-Capital Financing Activities 626,539 - 626,539 (3,396,525)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Acquisition and Construction of Capital Assets (5,404,506) (1) (5,404,507) (1,391,850) Proceeds from Sale of Capital Assets - - - 111,948
Principal Paid on Subscription Liability - - - (371,129) Principal Paid on Debt (1,145,000) - (1,145,000) (357,155) Interest and Fiscal Charges Paid (373,361) - (373,361) (79,642) Net Cash Provided by (Used for) Capital and Related
Financing Activities (6,922,867) (1) (6,922,868) (2,087,828)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest Received (Paid) 2,256,992 146,009 2,403,001 2,205,788 Net Cash Provided by (Used for) Investing Activities 2,256,992 146,009 2,403,001 2,205,788 Net Increase (Decrease) in Cash and Cash Equivalents 8,809,694 1,007,655 9,817,349 9,007,609 Cash and Cash Equivalents at Beginning of Period 74,857,919 3,207,453 78,065,372 52,604,592 Cash and Cash Equivalents at End of Period 83,667,613$ 4,215,108$ 87,882,721$ 61,612,201$ Reconciliation of Operating Income (Loss) to Net Cash Provided by (Used for) Operating Activities:

Operating Income (Loss) 6,202,968$ 631,171$ 6,834,139$ (543,422)$ Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided by (Used for) Operating Activities:

Depreciation 4,407,644 138,629 4,546,273 4,195,488 Change in assets and liabilities:

Receivables, Net 22,848 90,087 112,935 7,857,956
Accounts payable and other accrued expenses 2,140,657 283 2,140,940 (18,220) Accrued Liabilities 29,726 248 29,974 51,646
Unearned Revenue - 4,170 4,170 -
Compensated Absences 45,187 - 45,187 423,694
Leases-related activity - (2,941) (2,941) -
Self Insurance Claims Payable - - - 319,032
Net Cash Provided by (Used for) Operating Activities 12,849,030$ 861,647$ 13,710,677$ 12,286,174$ NONCASH TRANSACTIONS:

Contributions of Capital Assets, Net -$ -$ -$ 277,418$
See accompanying notes to basic financial statements
40

CITY OF CONCORD JUNE 30, 2024

FIDUCIARY FUNDS
Trust funds are used to account for assets held by the City as a trustee agent for individuals, private organizations, and other governments.

Custodial Funds account for assets held by the City in a custodial capac ity for individuals or other parties
outside of the City’s reporting entity.

The financial activities of these funds are excluded from the City-wide financial statement, but are presented in separate Fiduciary Fund financial statements.
41

CITY OF CONCORD

FIDUCIARY FUNDS

STATEMENTS OF FIDUCIARY NET POSITION
JUNE 30, 2024
City of Concord Successor
Retirement Agency
System Private
Pension Purpose Custodial
Trust Trust Fund Funds
ASSETS:

Cash and Investments (Note 3)
U.S. Treasury Notes 3,273,636$ -$ -$
U.S. Government Agencies Obligations 5,649,249 - -
Medium-Term Corporate Notes 5,131,186 - -
Municipal Bonds 172,462 - -
Foreign Bonds 246,405 - -
Mutual Funds 14,894,236 - -
Pooled Investments 2,560,573 1,501,692 139,194 Cash with Fiscal Agents (Note 3) - 16,165 -
Total Cash and Investments 31,927,747 1,517,857 139,194 Receivables (Net of Allowances for Uncollectibles):

Accounts - 80,219 -
Interest on Loan Receivable (Note 19) - 465,750 -
Loan Receivable (Note 19) - 230,003 -
Total Assets 31,927,747 2,293,829 139,194 LIABILITIES:

Accounts Payable and Due to Others - - 139,194
Interest Payable - 42,000 -
Long-Term Debt (Note 19):

Due in One Year - 3,014,361 -
Total Liabilities - 3,056,361 139,194
NET POSITION:

Net Position Restricted for Pension
Benefits and Held in Trust for Other Purposes 31,927,747 (762,532) - Total Net Position (Deficit) 31,927,747$ (762,532)$ -$ See accompanying notes to basic financial statements
42

CITY OF CONCORD

STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
FOR THE YEAR ENDED JUNE 30, 2024
City of Concord Successor
Retirement Agency
System Private-Purpose
Pension Purpose Custodial
Trust Trust Fund Funds

ADDITIONS
Employer Contributions 2,372,000$ -$ -$
Property Taxes, Net of Pass Through Payments - 3,419,891 - Intergovernmental revenue - - 1,000,000
Net Investment Income:

Investment Income 2,846,226 69,443 - Investment Management Fees (165,860) - -
Total Additions 5,052,366 3,489,334 1,000,000

DEDUCTIONS
Retirement and Other Benefits 5,106,588 - -
Economic Development and Base Reuse - 448,876 -
Community Planning and Economic Development - 2,808 1,000,000 Interest Expense - 326,266 -
Total Deductions 5,106,588 777,950 1,000,000 NET CHANGES IN NET POSITION (54,222) 2,711,384 - Net Position (Deficit) Held in Trust, Beginning of Year 31,981,969 (3,473,916) - Net Position (Deficit) Held in Trust, End of Year 31,927,747$ (762,532)$ -$ See accompanying notes to basic financial statements
43

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CITY OF CONCORD JUNE 30, 2024

NOTES TO THE BASIC FINANCIAL STATEMENTS

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Concord (City) was incorporated in 1905 and operates under the Council-Manager form of government. The City provides the following servi ces: public safety (police services and building inspection), streets and roads, sewer collection, recreation services, public improvements, planning and zoning, economic development and general administration services.

The financial statements and accounting policies of the City of Concord conform with generally accepted accounting principles applicable to governments. The Governmental Accounting Standard Board (GASB) is the accepted standard-setting body for establishi ng governmental accounting and financial reporting principles. The following is a summary of the more significant policies:

Reporting Entity
The accompanying basic financial statements present the financial activity of the City, which is the primary government presented, along with the financial ac tivities of its component units, which are entities for which the City is financially accountable. Although they are separate legal entities, blended component units are in substance part of the City's operations (i.e. the City has operatio nal responsibility for the component unit) or a financial benefit / burden relationship exist, and are reported as an integral part of the City's financial statements.

The City's component units which are described below are all blended.

The City of Concord Joint Powers Financing Authority is a joint powers authority organized by the City of Concord and the former Concord Redevelopment Agency under the laws of the State of California. The Authority was organized to provide financial assistance to the City by financing real and personal properties and improvements for the benefit of the residents of the City and surrounding areas. Administrative and related normal business expenses incurred in the day- to-day operations of the Authority are provided by the City. Such expenses are insignificant to the Authority's operations. The Authority obtains financing for City and the former Agency sponsored projects using leases signed by the City or former Agency as collateral. The amounts of the leases are calculated to provide sufficient resources to repay the debt incurred to finance the projects.

The Concord/Pleasant Hill Health Care District is a local health care district organized under Local Hospital District Law, as set forth in the Health and Safety Code of the State of California and is governed by the City's Council. City staff provides management assistance to the District.

The City of Concord Retirement System is governed by the City's Retirement System Ordinance, Article II, Chapter 8 of the City of Concord Municipal C ode, and is used to account for contributions and investment income restricted to pay retirement and death benefits of genera l and police employees. The Plan's benefit provisions are frozen and retirement and death benefit payments are restricted to eligible employees who retired or left the City of Concord eligible for a pension prior to June 28, 1999. Contribution provisions are established by the City Council. Elig ibility, actuarial interest rates, administration and certain other tasks are the responsibility of the Retirement Board established by the above ordinance.

Financial statements for the City of Concord Joint Powers Financing Authority and the Concord/Pleasant Hill Health Care District can be obtained from the City of Concord, 1950 Parkside Drive, Concord, California 94519. The City of Concord Retirement System does not issue separate financial statements. 46

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Basis of Presentation
The City's basic financial statements are prepared in conformity with accounting principles generally accepted in the United States of America. The Government Accounting Standards Board is the acknowledged standard setting body for establishing accounting and financial reporting standards followed by governmental entities in the United States of America.

Government-wide Statements: The Statement of Net Position and th e Statement of Activities display information about the primary government (the City) and its component units. These statements include the financial activities of the overall City government, exce pt for fiduciary activities. Eliminations have been made to minimize the double counting of internal activities. These statements distinguish between the governmental and business-type activities of the City. Governmental activ ities generally are financed through taxes, intergovernmental revenues, and other non-exchange tran sactions. Business-type activities are financed in whole or in part by fees charged to external parties.

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

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

Proprietary fund operating revenues, such as charges for services , result from exchange transactions associated with the principal activit y of the fund. Exchange transactio ns are those in which each party receives and gives up essentially equal values. Operating expenses result from the cost of providing those services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. Nonoperating revenues, such as subsidies and investment earnings, result from non-exchange transactions or ancillary activities.

Major Funds
The City's major governmental and enterprise funds ar e identified and presented separately in the fund financial statements. All other governmental and ente rprise funds, called non-major funds, are combined and reported in single columns.

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

General Fund – The General Fund is the general operating fund of the City and accounts for all revenues and expenditures used to finance the traditional services associated with a municipal government which are not accounted for in the other funds. In Concord, these services include general government, public safety, public works, economic development, community development, and parks and recreation services. 47

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Major Funds (Continued)
Concord Housing Fund – The Concord Housing special revenue f und accounts for the activities related to the assets assumed by the City of Concord as the Housing Successor to the housing activities of the former Redevelopment Agency of the City of Concord.

ARPA Fund – The ARPA Special Revenue Fund accounts for federal Coronavirus State and Local Fiscal Recovery Funds received as part of the American Rescue Plan Act (ARPA).

General Projects Fund – This capital projects fund accounts for all general capital improvement projects not funded from proprietary funds.
2021 COP Projects Fund – This capital projects fund accounts for the projects that will be funded with the proceeds from the issuance of the 2021 Certificates of Participation Bonds.

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

Sewer Fund – To account for activities associated with sewage collection, transmission and treatment.

The City also reports the following fund types:

Internal Service Funds – These funds account for workers' compensation costs, non-reimbursable portion of insurance claims, post-employment health care benefits, City facilities' maintenance expenses, maintenance and replacement costs of City licensed vehicles, motorized equipment, technology equipment and office equipment and funding for compensated abse nces balances; all of wh ich are provided to other departments on a cost-reimbursement basis.

Fiduciary Funds – Fiduciary Funds account for assets held by the City as trustee agent for other governmental units, private organizations or individuals. The City of Concord Retirement System (CCRS) Pension Trust Fund accounts for accumulation of resources to be used for retirement annuity payments at appropriate amounts and times in the future. The Successor Agency to the Redevelopment Agency of the City of Concord is reported in a Private Purpose Trust Fund that is used to account for the activities of the Successor Agency. The Custodial Funds account for charges collected by the government on behalf of other governments or third parties. The financial activitie s of these funds are excluded from the City-wide financial statement, but are presented in separate Fiduciary Fund financial statements.

Basis of Accounting
The government-wide, proprietary, and fiduciary fund financial statements are reported using the economic resources measurement focus and the full accrual basis of accounting. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place.

Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized when measurable and available.

The City considers all revenues reported in the gove rnmental funds to be available if the revenues are collected within sixty days after year-end, except for sales tax reve nue which has a 90 day period of availability. General capital asset acquisitions, including entering into contracts giving the City the right to use leased assets, are reported as expenditures in governmental funds. Proceeds of long-term debt and financing through leases are reported as other financing sources. 48

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Basis of Accounting (Continued)
Non-exchange transactions, in which the City gives or receives value without directly receiving or giving equal value in exchange, include property taxes, sales tax, grants entitlements, and donations. On an accrual basis, revenue from property taxes is recognized in the fiscal year for which the taxes are levied. Revenue from grants, entitlements, and donations are recognized in the fiscal year in which all eligibility requirements have been satisfied.

Other revenues susceptible to accrual include intergovernmental revenues, interest and charges for services.

Grant revenues are recognized in the fiscal year in which all eligibility requirements are met. Under the terms of grant agreements, the City may fund certain programs with a combination of cost-reimbursement grants, categorical block grants, and general revenues. Thus, both restricted and unrestricted Net Position may be available to finance program expenditures. The City's policy is to first apply restricted grant resources to such programs, followed by general revenues if necessary.

Expenditures are generally recognized under the modified accrual basis of accounting when the related fund liability is incurred. Exceptions to this general rule include accumulated unpaid vacation, sick pay and other employee amounts which are recognized as expenditures to the extent they have matured, and principal and interest on general long-term debt, including lease liabilities, which is recogni zed when due. Financial resources usually are appropriated in other funds for transfer to a debt service fund in the period in which maturing debt principal and interest must be paid. Such amounts thus are not current liabilities of the debt service fund, as their settlement will not require expenditure of existing fund assets.

Inventory and Prepaid Items
Inventories are valued at cost (on the first-in, first- out basis). Inventories of the General Fund consist of expendable supplies held for consumpt ion. The cost is recorded as an expenditure in the General Fund at the time individual inventory items are consumed. Reported General Fund inventories are equally offset by amounts included in Nonspendable Fund Balance whic h indicates that they do not constitute available spendable resources even though they are a component of net position.

Certain payments to vendors reflect costs applicable to future fiscal years and are recorded as prepaid items in both government-wide and fund financial statements. Prepaid items in governmental funds are equally offset by amounts included in Nonspendable Fund Ba lance which indicates that they do not constitute available spendable resources even though they are a component of net position.

Property Taxes and Special Assessment Revenue
The County of Contra Costa levies, bills and collect s property taxes for the City; the County remits the entire amount levied and handles all delinquencies, retaining interest and penalties. Secured and unsecured property taxes are levied on January 1 of the preceding fiscal year.

Secured property tax is due in two installments, on November 1 and February 1, and becomes a lien on those dates. It becomes delinquent on December 10 a nd April 10, respectively. Unsecured property tax is due on July 1 and becomes delinquent on August 31.
49

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Sales Tax
Since 1956 the Bradley Burns Uniform Local Sales and Use Tax Law has imposed a tax (Bradley Burns tax) on the retail sale of merchandise or goods within the State of California. In order to provide for uniform administration, reporting, sales and use tax rates and, collection of local sales and use taxes, the State collects the Bradley Burns tax on beha lf of cities and counties, and distributes the revenue to those local governments. On September 27, 1956, the City adopted Ordinance No. 354 to contract with the State of California to provide for the collection and administration of City’s sales and use taxes under the Bradley- Burns Uniform Local Sales and Use Tax Law.

Compensated Absences
In governmental funds, Compensate d Absences (unpaid vacation and sick leave) are recorded as expenditures in the year paid, as it is the City's policy to liquidate any unpaid vacation or sick leave at June 30 from future resources rather than currently avai lable expendable resources. The City's liability for Compensated Absences is determined annually. For al l governmental funds, amounts expected to be paid out for permanent liquidation are recorded as fund liabi lities; the long term portion is recorded in the Statement of Net Position.

Compensated Absences are included in accrued liabilities. Compensate d Absences are liquidated by the fund that has recorded the liability. The long-term portion of governmental activities compensated absences is liquidated primarily by the General Fund. Compensated Absences are accounted for by Proprietary funds as expenditures in the year earned. The changes in Compensated Absences of governmental and business- type activities are summarized in Note 7.

Capital Assets
All capital assets are valued at historical cost or estim ated historical cost if act ual historical cost is not available, except for intangible right to use leased assets and subscription assets, the measurement of which is discussed in Notes 15 and 16 below. Contributed ca pital assets are valued at their acquisition value on the date contributed. The City's policy is to capita lize all assets with costs exceeding certain minimum thresholds and with useful lives exceeding two years.

The City has recorded all its public domain (infrastructure) capital asse ts, which include roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting systems in the government-wide financial statements.

All capital assets with limited useful lives are depreciated over their estimated useful lives. The purpose of depreciation is to spread the cost of capital assets equitably among all users over the life of these assets.

The amount charged to depreciation expense each year repr esents that year's pro rata share of the cost of capital assets.
50

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Capital Assets (Continued)
Depreciation of capital assets in service is provided using the straight line method which means the cost of the asset is divided by its expected useful life in year s and the result is charged to expense each year until the asset is fully depreciated. The City has assigned the useful lives and capitalization thresholds listed below to capital assets.

Capitalization
Useful Lives Threshold
Ground improvements 33 Years 100,000$
Buildings and improvements 33 Years 100,000
Right-to-use leased buildings and improvements 2 Years 7,500 Right-to-use subscription assets 2 to 5 years 100,000
Machinery and equipment 10 Years 7,500
Vehicles 5 Years 7,500
Streets 30 Years 100,000
Sidewalks 50 Years 100,000
Storm drains/catch basins 100 Years 100,000
Traffic signals 30 Years 100,000
Sewer lines 50 Years 100,000
Major outlays for capital assets and improvements are capitalized as projects are constructed.

Deferred Outflows/Inflows of Resources
In addition to assets, the Statement of Net Position and Statement of Fiduciary Net Position may report a separate section for deferred outflows of resources. Th is separate financial statement element represents a consumption of net assets that applies to a future period(s) and so will not be recognized as an expense/expenditure until then.

In addition to liabilities, the statements of net position and the balance sheets reports a separate section for deferred inflows of resources. This separate financia l statement element represen ts an acquisition of net assets that applies to a future period(s) and so w
ill not be recognized as revenue until that time. The
governmental funds have one item, which arises on ly under a modified accrual basis of accounting that qualifies for reporting in this category. Accordingly, the item, unavailable revenue, is reported only in the governmental funds balance sheet. The governm ental funds report unavailable revenues from intergovernmental revenue and deferred inflows of resources related to leases. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available. 51

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Net Position and Fund Balances
Net Position is measured on the full accrual basis, while Fund Balance is measured on the modified accrual basis.

Net Position is the excess of all the City's assets and deferred outflows of resources over all its liabilities and deferred inflows of resources. Net Position is divided into three captions, and is described below:

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

Restricted describes the portion of Net Position which are re stricted as to use by the terms and conditions of agreements with outside parties, governmental re gulations, laws, or other restrictions which the City cannot unilaterally alter. These principally include developer fees received for use on capital projects, debt service requirements.

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

The City's fund balances are classified based on spending constraints imposed on the use of resources. For programs with multiple funding sour ces, the City prioritizes and expe nds funds in the following order:

Restricted, Committed, Assigned, and Unassigned. Each category in the following hierarchy is ranked according to the degree of spending constraint:

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

Restricted fund balances have external restrictions impose d by creditors, grantors, contributors, laws, regulations, or enabling legislation which requires th e resources to be used only for a specific purpose.

Encumbrances and nonspendable amounts subject to restrictions are included along with spendable resources.

Committed fund balances have constraints imposed by City Council resolution which may be altered only by resolution of the City Council. This category may include encumbrances.

Assigned fund balances are amounts constrained by the City's intent to be used for a specific purpose, but are neither restricted nor committed. Intent is expre ssed by the City Council or its designee and may be changed at the discretion of the City Council or its designee. City policy and procedure No. 168 delegates the authority to assign to the City Manager. This ca tegory may include encumbra nces and residual fund balances, if any, of Special Revenue, Capital Projects and Debt Service Funds have not been restricted or committed.

Unassigned fund balance represents residual amounts that have not been restricted, committed, or assigned.

This includes the residual general fund balance and re sidual fund deficits, if any, of other governmental funds. The general fund is the only fund that reports a positive unassigned fund balance amount. 52

CITY OF CONCORD JUNE 30, 2024

NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Minimum Fund Balance Policy

To address financial uncertainties, the City maintains various General Fund reserves and contingency funds that, when combined, total not le ss than 17 percent of the General Fund’s operating expenditures. The reserve and contingency funds include: the General Fund Operating Contingency Reserve fund; the Benefit Reserve fund; the Capital Maintenance Reserve fund; the Economic Contingency Reserve fund; and the Unforecasted Reserve fund. The total combined unassigned fund balance for these funds was $47.8 million or 40% percent of General Fund Operating Expenditu res. These funds, along with the Pavilion Fund, SLEFS Fund, Community Court Fund, and Forfeited De posit Fund are included within the financial statements as the “General Fund”. Including these additional funds, and the Pavilion Fund, the total combined unassigned fund balance was $51,114,683.

Use of Estimates

The preparation of financial statements in confor mity with generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at th e date of the financial statements and the reported amounts of revenues and expenses duri ng the reporting period. Actual results could differ from those estimates.

Pensions

For purposes of measuring the net pension liability and deferred inflows/outflows of resources related to pensions, and pensions expense, information about the fiduciary net position of the miscellaneous plan and the safety plan of the City of Concord, an ag ent multiple-employer defined benefit pension plan participating in the California Public Employees’ Retirement System (CalPERS) plan and Concord Retirement System (CCRS) plan and additions to/deductions from the plans’ fiduciary net position have been determined on the same basis as they are reporte d by CalPERS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value.

Other Postemployment Benefits (OPEB)

For purposes of measuring the net OPEB liability and deferred inflows/outflows of resources related to OPEB, and OPEB expense, information about the fiduciar y net position of the OPEB plans of the City of Concord, an agent multiple-employer defined benefit pension plan partic ipating in the California Public Employees’ Retirement System (CalPERS) plan and additions to/deductions from the plans’ fiduciary net position have been determined on the same basis as they are reported by CalPERS. For this purpose, benefit payments (including refunds of employee contri butions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value.

Fair Value Measurement

The City categorizes the fair value measuremen ts of its investments based on the hierarchy established by generally accepted accounting principles . The fair value hierarchy, which has three levels, is based on the valuation inputs used to measure an asset’s fair value: Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; Level 3 inputs are significant unobservable inputs.

53

CITY OF CONCORD JUNE 30, 2024
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) New Fund
The Custodial Fund was established during fiscal year 2023-2024 to account for assets held on behalf of other agencies and entities for other purposes.

New Effective Accounting Pronouncements
GASB Statement No. 100 – In June 2022, GASB issued GASB Statement No. 100, Accounting Changes and Error Corrections – an amendment of GASB Statement No. 62 . The requirements of this Statement are effective for fiscal years ending after June 15, 2023. GASB Statement No. 100 did not have an effect on the fiscal year 2024 financial statements.

Future Accounting Pronouncements
The Governmental Accounting Standards Board (GASB) releases new accounting and financial reporting standards which may have a signifi cant impact on the City's financia l reporting process. Future new standards which may impact the City, include the following:

GASB Statement No. 101 – In June 2022, GASB issued GASB Statement No. 101, Compensated Absences. The objective of this Statement is to better meet the information needs of financial statement users by updating the recognition and measurement guidance for compensated absences. That objective is achieved by aligning the recognition and measurem ent guidance under a unified model and by amending certain previously required disclosures. The requireme nts of this Statement are effective for fiscal years beginning after December 15, 2023, and all reporting periods thereafter. The City has not determined the effect of this Statement.

GASB Statement No. 102 – In December 2023, GASB issued GASB Statement No. 102, - Certain Risk Disclosures. The objective of this Statement is to provide users of government financial statements with essential information about risks related to a government’s vulnerabilities due to certain concentrations or constraints. The requirements of this Statement are effective for fiscal years beginning after June 15, 2024, and all reporting periods thereafter. The City has not determined the effect of this Statement.

GASB Statement No. 103 – In April 2024, GASB issued GASB Statement No. 103, Financial Reporting Model Improvements . The objective of this Statement is to improve key components of the financial reporting model to enhance its effectiveness in providing information that is essential for decision making and assessing a government’s accountability. The requir ements of this Statement are effective for fiscal years beginning after June 15, 2025, and all reporting periods thereafter. The City has not determined the effect of this Statement.

GASB Statement No. 104 – In September 2024, GASB issu ed GASB Statement No. 104, Disclosure of Certain Capital Assets. The objective of this Statement is to provide users of government financial statements with essential information about certain types of capital assets. The requirements of this Statement are effective for fiscal years beginning after June 15, 2025, an d all reporting periods thereafter. The City has not determined the effect of this Statement. 54

CITY OF CONCORD JUNE 30, 2024
NOTE 2 – BUDGETS AND BUDGETARY ACCOUNTING
The City follows these procedures in establishing the budgetary data reflected in the financial statements:

1. The City Manager submits to the City Council proposed biennial operating budget by June. The operating budget includes proposed expenditures and the means of financing them.

2. Public hearings are conducted to obtain taxpayer comments.

3. The budget is legally enacted through passage of separate resolutions for the City.

4. The City Manager is authorized to transfer budgeted amounts from one program, department or account to another within the same fund. All transfers of appropriations affecting Personnel Service type accounts require the Director of Human Resources and City Manager approval. Expenditures may not legally exceed budgeted appropriations at the fund level without City Council approval.

5. The City is required to adopt a biennial operating budget on or before June 30 for all funds on a basis consistent with generally accepted accounti ng principles. From the effective date of the budget, the amounts stated therein as proposed ex penditures become appropriations to the various funds. The City Council may amend the budget during the fiscal year.

6. All governmental fund type annual operating budgets are adopted on a basis consistent with generally accepted accounting principles, except for capital outlay expenditures for Special Revenue Funds which are budgeted on a project time frame rather than on an annual basis, in conjunction with #7 below.

7. The City also adopts budgets for its Capital Projec ts, which are based on the project life rather than a fiscal year. Therefore, capital project budgets ma y span several fiscal years. Project appropriations transfers of $75,000 or more require City Council approval.

Encumbrances
Encumbrance accounting is employed as an extension of formal budgetary integration in the governmental funds. Under encumbrance accounting, purchase orders, contracts and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation.

Appropriation Lapses
Unexpended appropriations lapse at year end unless budgeted on a project basis.

NOTE 3 – CASH AND INVESTMENTS
The City's dependence on property tax receipts, which are received semi-annually, requires it to maintain significant cash reserves to finance operations during the remainder of the year. The City pools cash from all sources and all funds except Cash with Fiscal Agents so that it can be safely invested at maximum yields.

Individual funds are able to make expenditures at any time during the year.

Policies
All investments are carried at fair value and as a general rule investment income is allocated among funds on the basis of average monthly cash and investment ba lances in these funds. Interest income on certain investments is allocated based on the source of the investment and legal requirements which apply.

California Law requires banks and savings and loan in stitutions to pledge government securities with a market value of 110 percent of the City's cash on deposit, or first trust deed mortgage notes with a market value of 150 percent of the deposit, as collateral for these deposits. Under California Law this collateral is held in a separate investment pool by another institution in the City's name and places the City ahead of general creditors of the institution.
55

CITY OF CONCORD JUNE 30, 2024
NOTE 3 – CASH AND INVESTMENTS (CONTINUED)
Policies (Continued)
Cash and investments are used in preparing proprietary fund statements of cash flows because these assets are highly liquid and are expended to liquidate liabilities arising during the year.

Classification
Cash and investments are classified in the financial statements as shown below at June 30, 2024:

Internal
Governmental Enterprise Service Fiduciary
Funds Funds Funds Funds Total
Cash and investments 163,220,909$ 87,881,585$ 61,612,201$ 33,568,633$ 346,283,328$ Cash with fiscal agents 84,436,807 1,136 16,165 84,454,108 Total cash and investm ents 247,657,716$ 87,882,721$ 61,612,201$ 33,584,798$ 430,737,436$ Investments Authorized by the California Government Code and the City's Investment Policy The City of Concord operates its investment activities under the prudent man rule. This affords the City a broad spectrum of investment opportunities as long as the investment is deemed prudent and is allowable under current statutes of the State of California. The Ci ty is authorized to invest in the following types of instruments, and the table also identifies certain provisions of the California Government Code, or the City's investment policy where it is more restrictive:

Minim um Max im um Max im um
Max im um Credit Percentage Investm ent
Authorized Investm ent Type Maturity Quality* of Portfolio in One Issuer U.S. Treasury Bills, Bonds and Notes 5 years None None None Federal Agency or United States 5 years None None None
G overnm ent Sponsored Obligations**
State Obligations - CA & Others 5 years A 30% None
Bankers' Acceptances 180 days A 30% None
Commercial Paper 270 days A/A-1 25% 10%***
Negotiable Certificates of Deposit 5 years A 30% None
Medium -Term Corporate Notes 5 years A 30% None***
Money Market Mutual Funds N/A Top rating 20% No Lim it
California Local Agency Investm ent Fund (LAIF) N/A None $75 million per
account
$75 m illion per
account
Tim e Certificates of Deposit 5 years Satisfactory None 10% Supranationals 5 years AA 30% None
Shares of Beneficial Interest Issued by a Joint
Powers Authority (local governm ent investm ent Pursuant to G overnm ent pool such as CAMP) N/A Code Section 6509.7 None None
* At tim e of purchase
**Federal agency securitized securities (including, but not lim ited to, m ortgage-backed securities, collateralized m ortgage obligations and commercial mortgage backed securities) are not permitted. *** Total value invested in any one issuer m ay not ex ceed 5% of the outstanding com m ercial paper and the m edium term notes of any single is suer.

Under the City's Investment Policy, investments not described above are ineligible investments. In addition, the City may not invest any funds in inverse floaters, range notes, or interest only strips that are derived from a pool of mortgages in accordance with the California Government Code. 56

CITY OF CONCORD JUNE 30, 2024
NOTE 3 – CASH AND INVESTMENTS (CONTINUED)
Investments Authorized by Debt Agreements
The City must maintain required amounts of cash and investments with trus tees or fiscal agents under the terms of certain debt issues. These funds are unexpended bond proceeds or are pledged reserves to be used if the City fails to meet its obli gations under these debt issues. The California Government Code requires these funds to be invested in accordance with City resolutions, bond indentures or State statutes. The table below identifies the investment types that are authori zed for investments held by fiscal agents. The table also identifies certain provisions of these debt agreements:

Mi ni m um
Maximum Credit
Authorized Investment Type Maturity Quality
Federal Agency Securities 5 years Top rating category
State of California Local Agency Investment Fund None None Commercial Paper 270 days Top rating category
Negotiable Certificates of Deposit 180 days Top rating category Bank Deposits None FDIC Insured
U.S. Government Treasury Obligations None None
State/Local Obligations None Top rating category
Federal Securities None Top rating categ ory
Corporate Notes None Top rating categ ory
Repurchase Agreements 1 year Top rating category
Money Market Mutual Funds None Top rating category
Investment Agreements None Top rating category
Contra Costa County Investment Pool None None
Retirement System Authorized Investments
The System's investment policy authorizes the System to invest in financial instruments in three broad investment categories: equity, fixed income, and real estate. These fina ncial instruments can include, but are not limited to, corporate bonds, commercial paper, U.S. government securities, common and preferred stock, real estate investment trusts, and mutual funds. Fixed income investments may include bonds and commercial paper in order to provide added flexibility in managing the fixed income portfolio.

The asset allocation ranges for the system are as follows:

Target M ix M inimum M aximum
Large/Medium Cap Domestic Equity 30% 20% 45%
International Equity 7.5% 2% 15%
Small Cap Equity 7.5% 2% 15%
Domestic Real Estate 0% 0% 10%
Domestic Fixed Income 50% 40% 60%
Cash 5% 0% 20%
Allocation Ranges
57

CITY OF CONCORD JUNE 30, 2024
NOTE 3 – CASH AND INVESTMENTS (CONTINUED)
Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Normally, the longer the maturity of an investment the greater the sensitivity of its fair value to changes in market interest rates. One of the ways the City manages its exposure to interest rate risk is by purchasing a combination of shorter term and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturi ng or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations.

Information about the sensitivity of the fair values of the City's and Retirement System's investments (including investments held by bond trustees) to mark et interest rate fluctuations is provided by the following tables that show the distribution of the Ci ty's and Retirement System’s investments by maturity or earliest call date:

City and Fiscal Agents
Rem aining Maturity (in Months)
12 Months or 13 to 24 25 to 36 37 to 60
Less Months Months Months Total
Inves tment Type:

U.S. Treasury Notes $ - $ 302,263 $ 10,920,782 $ 28,842,435 $ 4 0,065,480 U.S. Government Agencies Obligations 385,322 1,487,757 - - 1,873,079 Medium-Term Corporate Notes 6,624,514 1,278,995 2,882,574 4,757,329 15,543,412 Negotiable Certificates of Deposit - 1,707,046 - - 1,707,046 Municipal Bonds 974,734 1,239,511 239,162 - 2,453,407
LAIF 144,251,958 - - - 144,251,958 CAMP 156,894,556 - - - 156,894,556 CalTrust 23,851,553 - - - 23,851,553 Money Market Mutual Funds 374,157 - - - 374,157 Total $ 333,356,794 $ 6,015,572 $ 14, 042,518 $ 33,599,764 387,014,648 Cas h depos i ts wi th bank s and on hand 11,795,041
Total Cash and Investments $ 398,809,689
Retirement System Pension Trust Fund
Rem aining Maturity (in Months)
12 Months or 13 to 24 25 to 36 37 or More
Less Months Months Months Total
Inves tment Type:

U.S. Treasury Notes -$ $ 1,305,863 -$ $ 1,967,773 $ 3,273,636 U.S. G overnm ent Agencies Obligations 937 - - 5,648,312 5,649,249 Medium-Term Corporate Notes 214,683 87,477 702,809 4,126,217 5,131,186 Municipal Bonds - - - 172,46 2 172,462 Foreign Bonds - - - 246,40 5 246,405 Total $ 215,620 $ 1,393,340 $ 702,809 $ 12,161,169 14,472,938 Non-Maturing Investments:

Pooled Cash and Accrued Incom e 2,560,573 Mutual Funds 14,894,236
Total Cash and Investm ents $ 31,927,747
58

CITY OF CONCORD JUNE 30, 2024
NOTE 3 – CASH AND INVESTMENTS (CONTINUED)
The City and the Retirement System are participants in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The City reports its investment in LAIF at the fair value amount provided by LAIF, which is the same as the value of the pool share. The balance is available for withdrawal on demand and is based on the accounting records maintained by LAIF, which are record ed on an amortized cost basis. Included in LAIF's investment portfolio are collateralized mort gage obligations, mortgage-backed securities, other asset-backed securities, loans to certain state funds, and floating rate securities issued by federal agencies, government-sponsored enterprises, United States Treasury Notes and Bills, and corporations. On June 30, 2024, these investments matured in an average of 217 days.

The City is a participant in the Short-Term Fund and the Medium-Term Fund of the Investment Trust of California (CalTRUST), a joint powers authority and public agency established by its members under the provisions of Section 6509.7 of the California Government Code. Members and participants are limited to California public agencies. CalTRUST is governed by a Board of Trustees of seven Trustees, at least seventy-five percent of whom are from the participat ing agencies. The City reports its investment in CalTRUST at the fair value amount provided by CalT RUST, which is the same as the value of the pool shares. The balance is available for withdrawal on demand, and is based on the accounting records maintained by CalTRUST. Included in CalTRUST’s investment portfolio are: United States Treasury Notes, Bills, Bonds or Certificates of Indebtedness; registered state warrants or treasury notes or bonds; California local agency bonds, notes, warrants or ot her indebtedness; federal agency or United States government sponsored enterprise obligations; ba nkers acceptances; commercial paper; negotiable certificates of deposit; repurchase agreements; medi um-term notes; money market mutual funds; notes, bonds or other obligation secured by a first priority security interest in securities authorized under Government Code Section 53651; and mortgage passthrough securities, collateralized mortgage obligations, and other asset – backed securities.

CalTRUST’s Short-Term Fund has a target portfolio duration of 0 to 2 years and the Medium-Term Fund has a target portfolio duration of 1 to 3 years. On June 30, 2024, these investments in each Fund matured in an average of 321 days and 2.15 years, respectivel y. The investment in CalTRUST is valued based on the fair value factor provided by the CalTRUST, which is calculated as the average cost to net asset value per share of the Short-Term Fund or the Medium-Term Fund. At June 30, 2024, the fair value approximated the City’s cost.

The City, as a CAMP shareholder, may withdraw all or any portion of the funds in each CAMP account at any time by redeeming shares. The CAMP Declaration of Trust permits the CAMP trustee to suspend the right of withdrawal from CAMP or to postpone the date of payment of redemption proceeds if the New York Stock Exchange is closed other than for custom ary weekend and holiday closings, if trading on the New York Stock Exchange is restricted, or if, in th e opinion of the CAMP trus tees, an emergency exists such that disposal of the CAMP poo l securities or determination of its net asset value is not reasonably practicable. If the right of withdrawal is suspended, the City may either with draw its request for that withdrawal or receive payment based on the net asse t value of the CAMP pool next determined after termination of the suspension of the right of withdrawal. At June 30, 2024, the fair value approximated the City’s cost. At June 30, 2024, these investments have an average maturity of 38 days. 59

CITY OF CONCORD JUNE 30, 2024
NOTE 3 – CASH AND INVESTMENTS (CONTINUED)
Credit Risk
Credit risk is the risk that an issuer of an invest ment will not fulfill its obligat ion to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Presented below is the actual rating as of June 30, 2024 for each investment type as provided by Standard & Poor's and Moody's for the City's investments and for the Retirement System’s investments.

City and Fiscal Agents
Investm ent Type AAA / AAAm AA+ / AA / AA- Aaf/Aa-f A+ / A / A- BBB+ Total U.S. G overnm ent Agencies Obligations -$ 1,873,079$ -$ -$ -$ 1,873,079 $ Medium-Term Corporate Notes - 5,963,169 - 8,853,831 726,412 15,543,412 Municipal Bonds 171,689 1,462,828 - - - 1,634,517 Negotiable Certificates of Deposit - 853,027 - 854,019 - 1,707,046 CAMP 156,894,556 - - - - 156,894,556 CalTrus t - - 23,851,553 - - 23,851,553 Money Market Mutual Funds 374,157 - - - - 374,157 Totals 157,440,402$ 10,152,103$ 23,851,553$ 9,707,850$ 726,412$ 201,878,320 Exempt from credit rating disclosure:

U.S. Treasury Notes 40,065,480
Not rated:

Municipal Bonds 818,890
(1)
LAIF 144,251,958
Cash deposits with banks and on hand 11,795,041
Total Investm ents 398,809,689$
(1) Credit ratings listed above are based on ratings provided by Standard & Poor's (S&P). Municipal Bonds listed as "Not Rated" abo ve have no rating per S&P, although they are rated as "Aa2" per Moody's and "AA" per Fitch.

Retirement System Pension Trust Fund
Investm ent Type AAA/AAAm AA+/AA/AA- A+/A/A- BBB+/BBB/BBB- Total U.S. G overnment Agencies Obligations -$ 5,649,249$ -$ -$ 5,649,249$ Medium -Term Corporate Notes 707,724 250,786 1,442,903 1,905,801 4,307,214 Municipal Bonds - 80,418 - - 80,418 Foreign Bonds - - 107,488 138,917 246,405
Totals 707,724$ 5,980,453$ 1,550,391$ 2,044,718$ 10,283,286 Exempt from credit rating disclosure:

U.S. Treasury Notes 3,273,636
Not rated:

Medium -Term Corporate Notes 823,972
(1)
Municipal Bonds 92,044
(1)
Pooled Cash and Accrued Income 2,560,573
Mutual Funds 14,894,236
Total Investm ents 31,927,747$
(1) Credit ratings listed above are based on ratings provided by Standard & Poor's (S&P). Medium-Term Corporate Notes and Munici pal Bonds listed as "Not Rated" above have no rating per S& P, although are rated as "A aa" and "Baa3" per Moody's. 60

CITY OF CONCORD JUNE 30, 2024
NOTE 3 – CASH AND INVESTMENTS (CONTINUED)
Concentration of Credit Risk
Investments in the securities of any individual issuer, other than U. S. Treasury securities, that represent 5 percent or more of total Retirement Trust Fund investments are as follows at June 30, 2023:

Retirement System Pension Trust Fund
Fund Issuer Type of Investments Amount
Pension Trust Fund Federal Home Loan Mort gage Corporation U.S. Government A gencies 3,271,786$ Federal National Mortgage Association U.S. Government A gencies 2,377,463 Custodial Credit Risk
The custodial credit risk for deposits is the risk that the City will not be able to recover deposits or will not be able to recover collateral securities that are in possession of an outsid e party. This risk is mitigated in that the City’s bank deposits are insured by Fe deral Depository Insurance Corporation (FDIC). The California Government Code and the City’s investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits or investments, other than the following provision for deposits and securities lending transactions: The California Government Code requires that a financial institution secure deposits made by state or local government unit by pledging securities in an undivided collateral pool held by depository regulated under state law. The market value of the pledged securities in the collateral pool must equal at least 110 percent of the total amount deposited by the public agencies. As of June 30, 2024, the City’s balance in the financial institutions was $15,617,668 of that amount, $250,000 was covered by FDIC insurance, and $15,367,668 was covered by collateral held in the pledging bank’s trust department.

Fair Value Measurements
The City and the City’s Retirement Trust categorize th eir 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. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 meas urements) and the lowest
priority to unobservable inputs (L evel 3 measurements). The three leve ls of the fair value hierarchy are described as follows:

Level 1 — Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that the City has the ability to access.

Level 2 — Inputs to the valu ation methodology include:
• Quoted prices for similar assets or liabilities in active markets; • Quoted prices for identical or similar assets or liabilities in inactive markets; • Inputs other than quoted prices that are observable for the asset or liability; • Inputs that are derived principall y from or corroborated by observable market data by correlation or other means.
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