Cypress City Council
January 23, 2023

CITY OF CYPRESS
Required Supplementary Information, Continued
For the Fiscal Year Ended June 30, 2022
(2) California Public Employees’ Retirement System (CalPERS) (Continued) City of Cypress Safety Plan (Continued)

SCHEDULE OF CONTRIBUTIONS
Last Ten Fiscal Years*
*Historical information is required only for measurement periods for which GASB 68 is applicable. The fiscal year ended June 30, 2015 was the first year of implementation.
2022 2021 2020 2019 2018 2017 2016 2015
$ 3,558,957 $ 3,130,711 $ 2,821,054 $ 2,546,099 $ 2,222,915 $ 1,967,405 $ 1,807,579 $ 1,503,960 (3,558,957) (3,130,711) (2,821,054) (2,546,099) (2,222,915) (1,967,405) (1,807,579) (1,503,960) $ - $ - $ - $ - $ - $ - $ - $ -
$ 6,228,738 $ 5,651,021 $ 5,590,681 $ 5,953,364 $ 5,823,413 $ 5,539,232 $ 5,634,190 $ 5,200,954

57.14% 55.40% 50.46% 42.77% 38.17% 35.52% 32.08% 28.92% Contribution deficiency (excess)
Covered Payroll
Contractually required contribution
(actuarially determined)
Contributions in relation to the actuarially
determined contributions
Contributions as a percentage of covered
payroll
125

CITY OF CYPRESS
Required Supplementary Information, Continued
For the Fiscal Year Ended June 30, 2022
(2) California Public Employees’ Retirement System (CalPERS) (Continued) City of Cypress Safety Plan (Continued)
SCHEDULE OF CONTRIBUTIONS (Continued)
Last Ten Fiscal Years*
*Historical information is required only for measurement periods for which GASB 68 is applicable. The fiscal year ended June 30, 2015 was the first year of implementation.

Notes to Schedule:

Valuation Date June 30, 2019 June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 2014 June 30, 2013 June 30, 2012 Methods and Assumptions Used to Determine Contribution Rates:

Actuarial cost method Entry age Entry age Entry age Entry age Entry age Entry age Entry age Entry age Amortization method (1) (1) (1) (1) (1) (1) (1) (1)
Asset valuation method Fair Value Fair Value Fair Value Fair Value Fair Value Fair Value Fair Value 15-Year Smoothed Market
Inflation 2.50% 2.50% 2.75% 2.75% 2.75% 2.75% 2.75% 2.75% Salary increases (2) (2) (2) (2) (2) (2) (2) (2)
Investment rate of return 7.15% (3) 7.15% (3) 7.375% (3) 7.375% (3) 7.50% (3) 7.50% (3) 7.50% (3) 7.50% (3) Retirement age (4) (4) (4) (4) (4) (4) (4) (4)
Mortality (5) (5) (5) (5) (5) (5) (5) (5)
(1) Level percentage of payroll, closed
(2) Depending on age, service, and type of employment
(3) Net of pension plan investment expense, including inflation (4) 50 (3.0% at 50); 50 - 57 (2.7% at 57)
(5) Mortality assumption are based on mortality rates resuting from the most recent CalPERS Experience Study adopted by the CalPERS Board. 126

CITY OF CYPRESS
Required Supplementary Information
For the Fiscal Year Ended June 30, 2022
(3) Terminated Orange County Employees Retirement System Plan (OCERS) Schedule of Proportionate Share of the Net Pension Liability Last Ten Fiscal Years (1)
Notes to Schedule:
(1) The Cypress Recreation and Park District (District) withdrew from OCERS in October 2000. At that time, OCERS did not have a policy addressing how the District’s liability would be funded, nor was a liability recognized by the District. The District and OCERS entered into a Withdrawing Employer and Continuing Contribution Agreement on October 15, 2018, therefore fiscal year 2018- 19 is the first year reporting the OCERS pension liability. 2022 2021 2020 2019
-0.00500% 0.00400% 0.00500% 0.00700%
$ (103,379) $ 185,117 $ 262,415 $ 408,781
$ - $ - $ - $ -
n/a n/a n/a n/a
102.18% 96.03% 94.23% 90.81%
n/a n/a n/a n/a
Plan's proportion of the net pension
liability
Plan's proportionate share of the net
pension liability/(asset)
Plan's Covered Payroll
Plan's proportionate share of the net
pension liability as a percentage of
covered payroll
Plan's proportionate share of the
fiduciary net position as a percentage
of the Plan's total pension liability
Plan's proportionate share of
aggregate employer contributions
127

CITY OF CYPRESS
Required Supplementary Information, Continued
For the Fiscal Year Ended June 30, 2022
(3) Terminated Orange County Employees Retirement System Plan (OCERS) (Continued)
Schedule of Plan Contributions
Last Ten Fiscal Years (1)
Methods and Assumptions Used to Determine Contribution Rates:

In accordance with the Withdrawing Employer and Continuing Contribution Agreement between the Cypress Recreation and Park District (District) and OCERS, OCERS will recalculate the District’s unfunded accrued actuarial liability commencing December 31, 2020, and every three years thereafter. Based on this recalculation, the District shall satisfy any new obligation required within three years of the recalculation date. The next UAAL payment is due on or before December 31, 2023.

In determining the net pension liability, the valuation value of assets (VVA) as of December 31, 2019 is rolled forward to December 31, 2020 for the actual contributions, benefit payments and return on the VVA during 2020. The VVA is then marked to the Plan’s Fiduciary Net Position as of December 31, 2020. The total pension liability is obtained from internal valuation results by rolling forward the total pension liability from December 31, 2019.
2022 2021 2020 2019
$ - $ - $ - $ 739,966
- - - (739,966)
$ - $ - $ - $ -
$ - $ - $ - $ -
n/a n/a n/a n/a
Valuation Date 12/31/2019 12/31/2018 12/31/2017 12/31/2016 Contribution deficiency (excess)
Covered Payroll
Contractually required contribution (actuarially
determined)
Contributions in relation to the actuarially
determined contributions
Contributions as a percentage of covered
128

CITY OF CYPRESS
Required Supplementary Information, Continued
For the Fiscal Year Ended June 30, 2022
(4) Post-Employment Health Care Benefits
Schedule of Changes in the Total OPEB Liability and Related Ratios for the Measurement Period Ended June 30
Last Ten Fiscal Years (1)
Notes to Schedule:

Benefit Changes: None
Changes in Assumptions: The discount rate, which is based on the Bond Buyer 20-year bond General Obligation Index, changed as follows for the fiscal year ended:

June 30, 2022 – increased from 2.16% to 3.54%
June 30, 2021 – decreased from 2.20% to 2.16%
June 30, 2020 – decreased from 3.50% to 2.20%
June 30, 2021 – decreased from 3.90% to 3.50%
(1) Historical information is required only for measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation. Future years’ information will be displayed up to 10 years as information becomes available.

GASB 75 also requires the presentation of a 10-year schedule of contributions if an actuarially determined contribution is calculated. The City’s plan is not funded by an OPEB trust; therefore, an actuarially determined contribution is not calculated nor presented here.
2022 2021 2020 2019 2018
Total OPEB Liability:

Service cost $ 411,807 $ 382,033 $ 370,906 $ 293,425 $ 304,903 Interest on the total OPEB liability 227,512 232,699 232,807 330,023 306,496 Actual and expected experience difference 2,850 428,577 (155,120) 63,400 10,351 Changes in assumptions (1,671,292) (593,595) 1,491,035 447,917 (324,881) Changes in benefit terms - - - -
Benefit payments, including implicit subsidy (562,914) (460,068) (394,969) (397,959) (329,123) Net Change in Total OPEB Liability (1,592,037) (10,354) 1,544,659 736,806 (32,254) Total OPEB Liability - Beginning of Year 10,607,104 10,617,458 9,072,799 8,335,993 8,368,247 Total OPEB Liability - End of Year (a) $ 9,015,067 $ 10,607,104 $ 10,617,458 $ 9,072,799 $ 8,335,993 Plan fiduciary net position as a percentage of the
Total OPEB liability 0.00% 0.00% 0.00% 0.00% 0.00%
Covered-employee payroll $ 14,464,271 $ 13,846,871 $ 14,180,802 $ 14,518,971 $ 14,482,504 Total OPEB liability as percentage of
covered- employee payroll 62.33% 76.60% 74.87% 62.49% 57.56% 129
Supplemental Schedules
130

CITY OF CYPRESS
Budgetary Comparison Schedules for Other Major Governmental Fund June 30, 2022
Budgetary comparison schedules are presented as part of the basic financial statements for the General Fund and all Major Special Revenue Funds as provided for by GASB 34.

The budgetary comparison schedules for the remaining Major Fund is presented to aid in additional analysis and is not a required part of the basic financial statements. The other Major Fund is as follows:

City Capital Projects – To account for construction of major transportation infrastructure and public facilities.
131
Final BudgetPositive
Original Actual (Negative)
REVENUES:

From use of property $ 350,000 $ 350,000 $ 373,338 $ 23,338 From other agencies 224,000 449,000 225,000 (224,000)
TOTAL REVENUES 574,000 799,000 598,338 (200,662)

EXPENDITURES:

Current:

Public works 2,024,000 2,204,002 1,083,215 1,120,787
Capital outlay 1,785,000 6,386,391 3,958,855 2,427,536
TOTAL EXPENDITURES 3,809,000 8,590,393 5,042,070 3,548,323

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (3,235,000) (7,791,393) (4,443,732) 3,347,661 OTHER FINANCING SOURCES:

Transfers in 3,419,000 8,817,011 8,186,370 (630,641)

TOTAL OTHER
FINANCING SOURCES 3,419,000 8,817,011 8,186,370 (630,641) NET CHANGE IN FUND BALANCE $ 184,000 $ 1,025,618 3,742,638 $ 2,717,020 FUND BALANCE - BEGINNING OF YEAR 86,985,509
FUND BALANCE - END OF YEAR $ 90,728,147
Budgeted Amounts
Final
Variance with

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCE - BUDGET AND ACTUAL

CITY CAPITAL PROJECTS FUND
For the fiscal year ended June 30, 2022
132

CITY OF CYPRESS
Nonmajor Governmental Funds
June 30, 2022
The combining statements for Nonmajor Governmental Funds represent a consolidation of the information for specific funds contained in the Supplementary Financial Statements.

These statements, along with the budgetary comparison schedules, summarize the financial information contained in the other Special Revenue Funds.

Special Revenue Fund Descriptions
Special Revenue Funds are used to account for taxes and other revenues required to be set aside in accordance with law or administrative regulation for a specific purpose. A brief description of each of the City’s Special Revenue Funds follows:

Local Drainage – To account for developer receipts and expenditures for master planned drainage projects.

Stanton Channel Maintenance District – To account for a special assessment for maintenance of the Stanton Channel landscaped berm in the business park.

Lighting District – To account for property taxes assessed specifically for expenditures for city street lights, traffic signal maintenance and construction.

CATV PEG Grant - To account for monies received from the City’s cable franchise transfer agreement that are restricted to use for costs associated with the City’s video PEG access services.

AB 2766 – To account for receipts and expenditures of money funded under AB 2766 legislation for emission reduction.

Traffic Safety – To account for receipts of vehicle code violation fines and expenditures for traffic safety.

Supplemental Law Enforcement – To account for receipts and expenditures of money funded under AB 3229 legislation for law enforcement.

Narcotics Asset Seizure – To account for funds seized by the Police Department during narcotic investigations and allocated to the City.

Low and Moderate Housing Assets – To account for housing assets transferred to the City upon the dissolution of the Redevelopment Agency on February 1, 2012. 133
Channel
Local Maintenance
Drainage District
ASSETS
Cash and investments $ 1,048,693 $ 170,448 $ 5,556,519 $ 684,346 Receivables:

Taxes - - 18,223 -
Interest 1,609 - 9,411 -
Notes, net of allowance - - - -
Accounts - - 5,700 19,389
Land Held for Resale - - - -
TOTAL ASSETS $ 1,050,302 $ 170,448 $ 5,589,853 $ 703,735

LIABILITIES AND FUND BALANCES

LIABILITIES:

Accounts payable and other accrued liabilities $ - $ 4,439 $ 187,298 $ - Due to other funds - - - -
Advances to other funds - - - -

TOTAL LIABILITIES - 4,439 187,298 -

DEFERRED INFLOWS OF RESOURCES:

Unavailable revenue - - 1,491 -

TOTAL DEFERRED INFLOWS
OF RESOURCES - - 1,491 -
FUND BALANCE:

Restricted 1,050,302 166,009 5,401,064 703,735
Unassigned - - - -
TOTAL FUND BALANCES 1,050,302 166,009 5,401,064 703,735

TOTAL LIABILITIES
AND FUND BALANCES $ 1,050,302 $ 170,448 $ 5,589,853 $ 703,735

COMBINING BALANCE SHEET

CITY OF CYPRESS
Lighting
District
June 30, 2022

NONMAJOR GOVERNMENTAL FUNDS
CATV
Stanton
Peg Grant
Special Revenue Funds
134
Traffic
AB 2766 Safety
$ - $ - $ 8,599 $ 1,073,540 $ 57,050 $ 8,599,195
- - - - - 18,223
- - 78 2,405 128 13,631
- - - - 72,828 72,828
15,962 5,989 - 144 214 47,398
- - - - 1,421,708 1,421,708
$ 15,962 $ 5,989 $ 8,677 $ 1,076,089 $ 1,551,928 $ 10,172,983 $ - $ - $ 8,677 $ 34,262 $ 5,531 $ 240,207
15,962 5,989 - - - 21,951
163,885 - - - - 163,885
179,847 5,989 8,677 34,262 5,531 426,043
- - - - - 1,491
- - - - - 1,491
- - - 1,041,827 1,546,397 9,909,334
(163,885) - - - - (163,885)
(163,885) - - 1,041,827 1,546,397 9,745,449
$ 15,962 $ 5,989 $ 8,677 $ 1,076,089 $ 1,551,928 $ 10,172,983 Enforcement
Total
Funds
Governmental
Moderate
Housing
Assets
Nonmajor
Seizure
Low &
Special Revenue Funds (Continued)
Narcotics
Asset
Supplemental
Law
135
REVENUES:

Taxes $ - $ - $ 1,425,207 $ 75,610
Fines and forfeitures - - - -
From use of property 4,116 - 25,429 -
From other agencies - - 5,241 -
Charges for services 214,616 88,826 - -
Other revenue - - 17,040 -
TOTAL REVENUES 218,732 88,826 1,472,917 75,610

EXPENDITURES:

Current:

Community development - - - -
Public safety - - - -
Public works - 82,412 1,064,185 -
Capital outlay - - 207,548 -
TOTAL EXPENDITURES - 82,412 1,271,733 -

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 218,732 6,414 201,184 75,610

OTHER FINANCING USES:

Transfers out - (12,362) (528,060) -
TOTAL OTHER FINANCING USES - (12,362) (528,060) -

NET CHANGE IN FUND BALANCES 218,732 (5,948) (326,876) 75,610

FUND BALANCE - BEGINNING OF YEAR 831,570 171,957 5,727,940 628,125 FUND BALANCES - END OF YEAR $ 1,050,302 $ 166,009 $ 5,401,064 $ 703,735

CITY OF CYPRESS

COMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
For the fiscal year ended June 30, 2022
Special Revenue Funds
District
Lighting CATV
District Peg Grant
Channel
Drainage
Local Maintenance
Stanton
136
$ - $ - $ - $ - $ - $ 1,500,817
- 83,255 - - - 83,255
- - 191 5,109 15,990 50,835
62,419 - 161,285 - - 228,945
- - - - - 303,442
- - - 332,468 6,375 355,883
62,419 83,255 161,476 337,577 22,365 2,523,177
- - - - 60,300 60,300
- - 161,476 30,899 - 192,375
- - - - - 1,146,597
- - - - - 207,548
- - 161,476 30,899 60,300 1,606,820
62,419 83,255 - 306,678 (37,935) 916,357
- (83,255) - (498,772) - (1,122,449)
- (83,255) - (498,772) - (1,122,449)
62,419 - - (192,094) (37,935) (206,092)
(226,304) - - 1,233,921 1,584,332 9,951,541
$ (163,885) $ - $ - $ 1,041,827 $ 1,546,397 $ 9,745,449 Seizure Funds
Asset Governmental
AB 2766 Safety
Law Housing
Assets
Traffic
Moderate
Enforcement
Special Revenue Funds (Continued)
Supplemental
Low &
Nonmajor
Total
Narcotics
137
REVENUES:

From use of property $ 1,500 $ 1,500 $ 4,116 $ 2,616
Charges for services 5,000 5,000 214,616 209,616
TOTAL REVENUES $ 6,500 $ 6,500 218,732 $ 212,232

FUND BALANCE - BEGINNING OF YEAR 831,570
FUND BALANCE - END OF YEAR $ 1,050,302
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

LOCAL DRAINAGE SPECIAL REVENUE FUND
Budgeted Amounts Positive
Final BudgetVariance with
Original Final Actual (Negative)
138
REVENUES:

Charges for services $ 87,000 $ 87,000 $ 88,826 $ 1,826 TOTAL REVENUES 87,000 87,000 88,826 1,826

EXPENDITURES:

Current:

Public works 77,477 92,777 82,412 10,365
TOTAL EXPENDITURES 77,477 92,777 82,412 10,365

EXCESS OF REVENUES
OVER EXPENDITURES 9,523 (5,777) 6,414 12,191

OTHER FINANCING USES:

Transfers out (11,622) (11,622) (12,362) (740)

TOTAL OTHER
FINANCING USES (11,622) (11,622) (12,362) (740)

EXCESS (DEFICIENCY) OF REVENUES

OVER EXPENDITURES
AND OTHER FINANCING USES $ (2,099) $ (17,399) (5,948) $ 11,451

FUND BALANCE - BEGINNING OF YEAR 171,957
FUND BALANCE - END OF YEAR $ 166,009
Original Final Actual (Negative)
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

STANTON CHANNEL MAINTENANCE DISTRICT SPECIAL REVENUE FUND Budgeted Amounts Positive
Final BudgetVariance with
139
REVENUES:

Taxes $ 1,303,010 $ 1,303,010 $ 1,425,207 $ 122,197
From use of property 25,000 25,000 25,429 429
From other agencies 5,820 5,820 5,241 (579)
Other revenue 10,000 10,000 17,040 7,040
TOTAL REVENUES 1,343,830 1,343,830 1,472,917 129,087

EXPENDITURES:

Current:

Public works 974,327 1,161,978 1,064,185 97,793
Capital outlay 610,000 945,836 207,548 738,288
TOTAL EXPENDITURES 1,584,327 2,107,814 1,271,733 836,081

EXCESS OF REVENUES
OVER EXPENDITURES (240,497) (763,984) 201,184 965,168

OTHER FINANCING USES:

Transfers out (207,650) (581,255) (528,060) 53,195

TOTAL OTHER
FINANCING USES (207,650) (581,255) (528,060) 53,195

EXCESS (DEFICIENCY) OF REVENUES

OVER EXPENDITURES
AND OTHER FINANCING USES $ (448,147) $ (1,345,239) (326,876) $ 1,018,363

FUND BALANCE - BEGINNING OF YEAR 5,727,940
FUND BALANCE - END OF YEAR $ 5,401,064
Final BudgetVariance with
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

LIGHTING DISTRICT SPECIAL REVENUE FUND
Original Final Actual (Negative)
Budgeted Amounts Positive
140
REVENUES:

Taxes $ 80,000 $ 80,000 $ 75,610 $ (4,390)
TOTAL REVENUES 80,000 80,000 75,610 (4,390)

OTHER FINANCING USES:

Transfers out (43,000) (43,000) - 43,000

TOTAL OTHER
FINANCING USES (43,000) (43,000) - 43,000

EXCESS (DEFICIENCY) OF REVENUES
AND OTHER FINANCING USES $ 37,000 $ 37,000 75,610 $ 38,610

FUND BALANCE - BEGINNING OF YEAR 628,125
FUND BALANCE - END OF YEAR $ 703,735
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

CABLE TV PEG GRANT SPECIAL REVENUE FUND
Budgeted Amounts Positive
Final BudgetVariance with
Original Final Actual (Negative)
141
REVENUES:

From other agencies $ 63,000 $ 63,000 $ 62,419 $ (581)
TOTAL REVENUES 63,000 63,000 62,419 (581)

OTHER FINANCING USES:

Transfers out (63,000) (63,000) - 63,000

TOTAL OTHER
FINANCING USES (63,000) (63,000) - 63,000

EXCESS (DEFICIENCY) OF REVENUES
OVER OTHER FINANCING USES $ - $ - 62,419 $ 62,419

FUND BALANCE - BEGINNING OF YEAR (226,304)
FUND BALANCE - END OF YEAR $ (163,885)
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL
AB 2766 SPECIAL REVENUE FUND
Budgeted Amounts Positive
Final BudgetVariance with
Original Final Actual (Negative)
142
REVENUES:

Fines and forfeitures $ 120,000 $ 120,000 $ 83,255 $ (36,745) TOTAL REVENUES 120,000 120,000 83,255 (36,745)

OTHER FINANCING USES:

Transfers out (120,000) (120,000) (83,255) 36,745

TOTAL OTHER
FINANCING USES (120,000) (120,000) (83,255) 36,745

EXCESS (DEFICIENCY) OF REVENUES
AND OTHER FINANCING USES $ - $ - - $ -

FUND BALANCE - BEGINNING OF YEAR -
FUND BALANCE - END OF YEAR $ -
Final BudgetVariance with
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

TRAFFIC SAFETY SPECIAL REVENUE FUND
Original Final Actual (Negative)
Budgeted Amounts Positive
143
REVENUES:

From use of property $ 100 $ 100 $ 191 $ 91
From other agencies 129,096 161,377 161,285 (92)
TOTAL REVENUES 129,196 161,477 161,476 (1)

EXPENDITURES:

Current:

Public safety 129,196 161,477 161,476 1
TOTAL EXPENDITURES 129,196 161,477 161,476 1

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES $ - $ - - $ -

FUND BALANCE - BEGINNING OF YEAR -
FUND BALANCE - END OF YEAR $ -
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

SUPPLEMENTAL LAW ENFORCEMENT SPECIAL REVENUE FUND
Budgeted Amounts Positive
Final BudgetVariance with
Original Final Actual (Negative)
144
REVENUES:

From use of property $ 1,500 $ 1,500 $ 5,109 $ 3,609
Other revenue 10,000 10,000 332,468 322,468
TOTAL REVENUES 11,500 11,500 337,577 326,077

EXPENDITURES:

Current:

Public safety 65,632 68,732 30,899 37,833
TOTAL EXPENDITURES 65,632 68,732 30,899 37,833

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (54,132) (57,232) 306,678 363,910

OTHER FINANCING USES:

Transfers out (498,772) - (498,772) -

TOTAL OTHER
FINANCING USES (498,772) - (498,772) -

EXCESS (DEFICIENCY) OF REVENUES

OVER EXPENDITURES
AND OTHER FINANCING USES $ (54,132) $ (556,004) (192,094) $ 363,910

FUND BALANCE - BEGINNING OF YEAR 1,233,921
FUND BALANCE - END OF YEAR $ 1,041,827
Final BudgetVariance with
For the fiscal year ended June 30, 2022

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

NARCOTICS ASSET SEIZURE SPECIAL REVENUE FUND
Original Final Actual (Negative)
Budgeted Amounts Positive
145

CITY OF CYPRESS

SCHEDULE OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCE - BUDGET AND ACTUAL

LOW AND MODERATE HOUSING ASSETS SPECIAL REVENUE FUND
Final BudgetPositive
Original Actual (Negative)
REVENUES:

From use of property $ 1,500 $ 1,500 $ 15,990 $ 14,490
Other revenue 6,480 6,480 6,375 (105)
TOTAL REVENUES 7,980 7,980 22,365 14,385

EXPENDITURES:

Current:

Community Development 28,037 60,337 60,300 (37)
TOTAL EXPENDITURES 28,037 60,337 60,300 (37)

EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES $ (20,057) $ (52,357) (37,935) $ 14,422

FUND BALANCE - BEGINNING OF YEAR 1,584,332
FUND BALANCE - END OF YEAR $ 1,546,397
Variance with
Budgeted Amounts
Final
For the fiscal year ended June 30, 2022
146

CITY OF CYPRESS
Internal Service Funds
June 30, 2022
The Internal Service Funds are used to finance and account for goods and services provided by one City department to other City departments on a cost-reimbursement basis, including depreciation.

Central Services – To account for the costs of the strategic technology plan, building maintenance, vehicle and equipment maintenance, print production, and accumulated equipment replacement funds.

Recreation District Central Services – To account for the costs of building maintenance, vehicle and equipment maintenance, and accumulated equipment replacement funds for the Recreation District.

Employees’ Benefit – To account for employee fringe benefits.

Liability Insurance – To account for the cost of the City’s public liability/risk management program.

Workers’ Compensation Insurance – To account for the cost of the City’s workers’ compensation insurance program.
147
Recreation
District
Central Central
Services Services
ASSETS
CURRENT ASSETS:

Cash and investments $ 20,711,730 $ 702,711
Restricted cash and investments - -
Receivables:

Interest - -
Accounts 1,663 -
Prepaid items 41,742 -
Inventory 4,898 -
TOTAL CURRENT ASSETS 20,760,033 702,711
NON-CURRENT ASSETS:

Net pension asset - -
Equipment (Net) 2,942,225 284,235
TOTAL NON-CURRENT ASSETS 2,942,225 284,235
TOTAL ASSETS 23,702,258 986,946

DEFERRED OUTFLOWS OF RESOURCES
Deferred amount from pension plans - -
Deferred amount from OPEB - -
Deferred amount from OCERS - -

TOTAL DEFERRED OUTFLOWS OF RESOURCES - -

LIABILITIES
CURRENT LIABILITIES:

Accounts payable and other accrued liabilities 188,988 - Claims payable - -
Compensated absences - -
TOTAL CURRENT LIABILITIES 188,988 -
LONG-TERM LIABILITIES:

Claims payable - -
Retirees' health payable - -
Compensated absences - -
Net pension liability - -

TOTAL LONG-TERM LIABILITIES - -
TOTAL LIABILITIES 188,988 -

DEFERRED INFLOWS OF RESOURCES
Deferred amount from pension plans - -
Deferred amount from OPEB - -
Deferred amount from OCERS - -

TOTAL DEFERRED INFLOWS OF RESOURCES - -
NET POSITION:

Invested in capital assets 2,942,225 284,235
Restricted:

Pension trust - -
Unrestricted 20,571,045 702,711
TOTAL NET POSITION $ 23,513,270 $ 986,946

CITY OF CYPRESS

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
June 30, 2021
148
Employees' Liability Workers'
Benefit Insurance Compensation Total
$ 5,359,215 $ 3,166,812 $ 2,389,987 $ 32,330,455
20,198,541 - - 20,198,541
7,953 - - 7,953
671,185 - 2,496 675,344
8,011 - - 49,753
- - - 4,898
26,244,905 3,166,812 2,392,483 53,266,944
103,379 - - 103,379
- - - 3,226,460
103,379 - - 3,329,839
26,348,284 3,166,812 2,392,483 56,596,783
12,006,762 - - 12,006,762
1,253,299 - - 1,253,299
970,860 - - 970,860
14,230,921 - - 14,230,921
275,537 - 3,282 467,807
- 49,000 573,600 622,600
601,300 - - 601,300
876,837 49,000 576,882 1,691,707
- 147,094 1,720,721 1,867,815
9,015,067 - - 9,015,067
1,803,907 - - 1,803,907
32,737,065 - - 32,737,065
43,556,039 147,094 1,720,721 45,423,854
44,432,876 196,094 2,297,603 47,115,561
26,391,420 - - 26,391,420
2,061,388 - - 2,061,388
511,244 - - 511,244
28,964,052 - - 28,964,052
- - - 3,226,460
20,198,541 - - 20,198,541
(53,016,264) 2,970,718 94,880 (28,676,910)
$ (32,817,723) $ 2,970,718 $ 94,880 $ (5,251,909)
149
Recreation
District
Central Central
Services Services
OPERATING REVENUES:

From other agencies $ - $ 29,965
Charges for services 3,746,595 29,020
Other revenue 21,914 -
TOTAL OPERATING REVENUES 3,768,509 58,985

OPERATING EXPENSES:

Personnel services 1,126,849 -
Contractual services 338,910 11,645
Supplies and other services 1,167,415 -
Claim payments and changes in estimates - -
Depreciation 711,303 48,679
TOTAL OPERATING EXPENSES 3,344,477 60,324

OPERATING INCOME (LOSS) 424,032 (1,339)

NON-OPERATING REVENUES (EXPENSES):

Interest income (loss) - -
Gain (loss) on disposal of equipment (5,130) (859)
TOTAL NON-OPERATING REVENUES (EXPENSES) (5,130) (859)

INCOME (LOSS) BEFORE TRANSFERS 418,902 (2,198)

TRANSFERS:

Transfers in 24,959 10,234
TOTAL TRANSFERS 24,959 10,234
CHANGE IN NET POSITION 443,861 8,036
NET POSITION - BEGINNING OF YEAR 23,069,409 978,910
NET POSITION - END OF YEAR $ 23,513,270 $ 986,946

CITY OF CYPRESS

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN NET POSITION

INTERNAL SERVICE FUNDS
For the fiscal year ended June 30, 2022
150
Employees' Liability Workers'
Benefit Insurance Compensation
$ - $ - $ $ 29,965 -
12,859,335 586,000 727,732 17,948,682
- 460,812 11,328 494,054
12,859,335 1,046,812 739,060 18,472,701
- - 21,397 1,148,246
12,463,454 - 177,336 12,991,345
3,952,390 489,721 172,429 5,781,955
- - 897,538 897,538
- - - 759,982
16,415,844 489,721 1,268,700 21,579,066
(3,556,509) 557,091 (529,640) (3,106,365)
(2,197,632) - (2,197,632) -
- - - (5,989)
(2,197,632) - (2,203,621) -
(5,754,141) 557,091 (529,640) (5,309,986)
4,650,000 - 4,685,193 -
4,650,000 - 4,685,193 -
(1,104,141) 557,091 (529,640) (624,793)
(31,713,582) 2,413,627 624,520 (4,627,116)
$ (32,817,723) $ 2,970,718 $ 94,880 $ (5,251,909)
Total
151
Recreation
District
Central Central
Services Services
CASH FLOWS FROM OPERATING ACTIVITIES:

Cash received from users $ 3,869,171 $ 58,985
Cash payments to suppliers for goods and services (1,488,620) (102,833) Cash payments to employees (1,119,785) -

NET CASH PROVIDED BY
OPERATING ACTIVITIES 1,260,766 (43,848)
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:

Transfers in 24,959 10,234

NET CASH PROVIDED BY NONCAPITAL
FINANCING ACTIVITIES 24,959 10,234
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:

Proceeds from disposal of capital assets 13,848 -
Acquisition of capital assets (358,561) (49,262)

NET CASH (USED) BY CAPITAL AND
RELATED FINANCING ACTIVITIES (344,713) (49,262)
CASH FLOWS FROM INVESTING ACTIVITIES:

Interest on investments - -

NET CASH PROVIDED BY INVESTING ACTIVITIES - -

INCREASE IN CASH AND
CASH EQUIVALENTS 941,012 (82,876)
CASH AND INVESTMENTS - BEGINNING OF YEAR 19,770,718 785,587 CASH AND INVESTMENTS - END OF YEAR $ 20,711,730 $ 702,711

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

Operating income (loss) $ 424,032 $ (1,339)
Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities:

Depreciation 711,303 48,679
Changes in assets and liabilities:

Accounts receivable decreased (increased) 96,223 4,257
Prepaid items decreased (increased) (20,211) -
Inventory decreased (increased) (3,201) -
Deferred outflows decreased (increased) - -
Accounts payable and other accrued liabilities increased (decreased) 52,620 (95,445) Insurance claims payable increased (decreased) - -
Accrued retirees' health payable increased (decreased) - - Accrued leave payable increased (decreased) - -
Accrued pension liability increased (decreased) - -
Deferred inflows increased (decreased) - -
TOTAL ADJUSTMENTS 836,734 (42,509)
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES $ 1,260,766 $ (43,848) NON-CASH CAPITAL ACTIVITIES:

Gain/(loss) on disposition of capital assets $ (5,130) $ (859)

CITY OF CYPRESS

COMBINING STATEMENT OF CASH FLOWS

INTERNAL SERVICE FUNDS
For the fiscal year ended June 30, 2022
152
Employees' Liability Workers'
Benefit Insurance Compensation
$ 12,739,756 $ 662,926 $ 740,378 $ 18,071,216
(13,758,850) (518,738) (664,048) (16,533,089)
- - (21,255) (1,141,040)
(1,019,094) 144,188 55,075 397,087
4,650,000 - - 4,685,193
4,650,000 - - 4,685,193
- - - 13,848
- - - (407,823)
- - - (393,975)
(2,197,632) - - (2,197,632)
(2,197,632) - - (2,197,632)
1,433,274 144,188 55,075 2,490,673
24,124,482 3,022,624 2,334,912 50,038,323
$ 25,557,756 $ 3,166,812 $ 2,389,987 $ 52,528,996
$ (3,556,509) $ 557,091 $ (529,640) $ (3,106,365)
- - - 759,982
(120,547) - 1,318 (18,749)
967 - - (19,244)
- - - (3,201)
930,080 - - 930,080
(398,512) (9,473) (9,114) (459,924)
- (403,430) 592,511 189,081
(1,592,037) - - (1,592,037)
109,947 - - 109,947
(20,638,565) - - (20,638,565)
24,246,082 - - 24,246,082
2,537,415 (412,903) 584,715 3,503,452
$ (1,019,094) $ 144,188 $ 55,075 $ 397,087
$ - $ - $ - $ (5,989)
Total
153

CITY OF CYPRESS
Fiduciary Funds
June 30, 2022
The Fiduciary Funds are used to report assets held in a trustee or custodial capacity for others and therefore cannot be used to support the City’s own programs.

Custodial Funds – To account for assets that are held in a custodial relationship. The City’s custodial funds include cash held with fiscal agents for non-city debt obligations, and amounts held on behalf of the West Cities Communication Center Joint Powers Authority.
154

ASSETS
Cash and cash equivalents $ 20,001 $ 3,596,141 $ 3,616,142 Restricted cash and investments 160,125 1,668 161,793
Interest receivable 30 5,736 5,766
Accounts receivable - 46,670 46,670
Prepaid items - 20,866 20,866

TOTAL ASSETS 180,156 3,671,081 3,851,237

LIABILITIES
Current liabilities
Accounts payable and other accrued liabilities - 177,737 177,737 Unearned revenue - 37,383 37,383
Bonds payable 170,000 - 170,000
Accrued leave payable - 68,216 68,216
Noncurrent liabilities
Accrued leave payable - 204,646 204,646
Retirees' health payable - 611,017 611,017
Due to other governments - 1,114,616 1,114,616
TOTAL LIABILITIES 170,000 2,213,615 2,383,615

NET POSITION
Restricted for:

Assessment district improvements 10,156 - 10,156
Member agencies - 1,457,466 1,457,466

TOTAL NET POSITION $ 10,156 $ 1,457,466 $ 1,467,622
Professional Police
Center Communications

CITY OF CYPRESS

COMBINING STATEMENT OF FIDUCIARY NET POSITION

CUSTODIAL FUNDS
June 30, 2022
Business and West Cities
Center Joint
Powers Authority
Total
District Funds
Assessment Custodial
155
Total
Custodial
Funds
ADDITIONS:

Member contributions $ - $ 2,885,055 $ 2,885,055
Investment income 182 15,597 15,779
Other revenue - 149,266 149,266
TOTAL ADDITIONS 182 3,049,918 3,050,100
DEDUCTIONS:

Dispatch services 2,435,520 - 2,435,520
Debt service 14,392 - 14,392
Other expenses 5,580 - 5,580
TOTAL DEDUCTIONS 19,972 2,435,520 2,455,492
CHANGE IN NET POSITION (19,790) 614,398 594,608
NET POSITION - BEGINNING OF YEAR 29,946 843,068 873,014 NET POSITION - END OF YEAR $ 10,156 $ 1,457,466 $ 1,467,622 Center
Assessment
District
West Cities
Police
Communications
Center Joint
Powers Authority

CITY OF CYPRESS

COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

CUSTODIAL FUNDS
For the fiscal year ended June 30, 2022
Business and
Professional
156
Statistical Section
157

CITY OF CYPRESS
Statistical Section
Year ended June 30, 2022
Table of Contents
This part of the City of Cypress’ annual comprehensive report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City’s overall financial health.

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

Schedule 1 - Net Position by Component 159
Schedule 2 - Changes in Net Position 161
Schedule 3 - Fund Balances – Governmental Funds 163
Schedule 4 - Changes in Fund Balances – Governmental Funds 165 Revenue Capacity
These schedules contain information to help the reader assess the City’s property tax.

Schedule 5 - Assessed Value and Estimated Actual Value of Taxable Property 167 Schedule 6 - Direct and Overlapping Property Tax Rates 168 Schedule 7 - Principal Property Tax Payers 169
Schedule 8 - Property Tax Levies and Collections 170
Debt Capacity
These schedules present information to help the reader assess the affordability of the City’s current levels of outstanding debt and the City’s ability to issue additional debt in the future.

Schedule 9 - Ratios of Outstanding Debt by Types 171
Schedule 10 - Direct and Overlapping Governmental Activities Debt 172 Schedule 11 - Legal Debt Margin Information 173
Demographic and Economic Information
These schedules offer demographic and economic indicators to help the reader understand the environment within which the City’s financial activities take place.

Schedule 12 - Demographic and Economic Statistics 175
Schedule 13 - Principal Employers 176
Operating Information
These schedules contain services and infrastructure data to help the reader understand how the information in the City’s financial report relates to the services the City provides and the activities it performs.

Schedule 14 - Full-time Equivalent City Government Employees by Function/Program 177 Schedule 15 - Operating Indicators by Function/Program 178 Schedule 16 - Capital Assets Statistics by Function/Program 179 Sources: Unless otherwise noted, the information in these schedules was derived from the City’s comprehensive annual financial reports for the relevant year.

Note: The City of Cypress did not have General Bonded Debt Outstanding or Pledged Revenue during the Fiscal Year Ended June 30, 2022.
158
2022 2021 2020 2019

GOVERNMENTAL ACTIVITIES
Invested in capital assets $ 172,804,367 $ 166,272,625 $ 160,408,903 $ 162,147,445 Restricted for:

Debt service - - - -
Specific projects and programs 40,650,390 37,532,553 43,597,947 39,458,651 Total restricted 40,650,390 37,532,553 43,597,947 39,458,651 Unrestricted 95,515,524 88,119,499 85,931,038 82,530,908 Total governmental activities net position $ 308,970,281 $ 291,924,677 $ 289,937,888 $ 284,137,004

BUSINESS-TYPE ACTIVITIES
Invested in capital assets $ 18,876,495 $ 19,322,767 $ 19,672,894 $ 19,764,241 Restricted for:

Specific projects and programs 6,638,371 5,253,793 3,871,515 2,820,977 Total business-type activities net position $ 25,514,866 $ 24,576,560 $ 23,544,409 $ 22,585,218

TOTAL GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES
Invested in capital assets $ 191,680,862 $ 185,595,392 $ 180,081,797 $ 181,911,686 Restricted for:

Debt service - - - -
Specific projects and programs 47,288,761 42,786,346 47,469,462 42,279,628 Total restricted 47,288,761 42,786,346 47,469,462 42,279,628 Unrestricted 95,515,524 88,119,499 85,931,038 82,530,908 Total governmental and business-type activities net position $ 334,485,147 $ 316,501,237 $ 313,482,297 $ 306,722,222 Notes: 1) Restricted net position amounts related to land held for resale in Governmental Activities have been reclassified to unrestricted net position as of June 30, 2013 to more properly reflect how the proceeds may be used by the City.

CITY OF CYPRESS
Fiscal Year
Schedule 1

LAST TEN FISCAL YEARS

NET POSITION BY COMPONENT
159
2018 2017 2016 2015 2014 2013
$ 162,818,741 $ 161,714,951 $ 153,270,346 $ 154,805,926 $ 154,957,177 $ 154,793,254 522,200 979,010 420,185 400,000 380,000 360,000
36,012,698 25,872,294 26,169,565 24,651,239 24,407,720 23,839,841 36,534,898 26,851,304 26,589,750 25,051,239 24,787,720 24,199,841 75,803,724 89,651,389 107,623,380 101,970,622 111,781,610 110,120,627 $ 275,157,363 $ 278,217,644 $ 287,483,476 $ 281,827,787 $ 291,526,507 $ 289,113,722 $ 20,004,444 $ 19,788,397 $ 18,245,712 $ 15,801,861 $ 14,516,549 $ 13,330,876 1,463,331 524,701 930,903 2,281,112 2,174,616 1,864,593 $ 21,467,775 $ 20,313,098 $ 19,176,615 $ 18,082,973 $ 16,691,165 $ 15,195,469 $ 182,823,185 $ 181,503,348 $ 171,516,058 $ 170,607,787 $ 169,473,726 $ 168,124,130 522,200 979,010 420,185 400,000 380,000 360,000
37,476,029 26,396,995 27,100,468 26,932,351 26,582,336 25,704,434 37,998,229 27,376,005 27,520,653 27,332,351 26,962,336 26,064,434 75,803,724 89,651,389 107,623,380 101,970,622 111,781,610 110,120,627 $ 296,625,138 $ 298,530,742 $ 306,660,091 $ 299,910,760 $ 308,217,672 $ 304,309,191 160
2022 2021 2020 2019
EXPENSES - GOVERNMENTAL ACTIVITIES:

General government $ 5,477,433 $ 6,295,641 $ 6,082,701 $ 4,683,324 Community development 2,333,245 2,100,332 1,915,912 2,200,508 Public safety 19,494,326 19,428,392 19,357,512 17,423,654 Public works 12,737,505 13,865,043 11,597,788 10,800,313 Recreation 5,583,107 5,303,581 5,003,445 5,042,590
Interest on long-term debt - - - 1,300
Total government activities expenses 45,625,616 46,992,989 43,957,358 40,151,689 PROGRAM REVENUES - GOVERNMENTAL ACTIVITIES:

Charges for services:

General government 420,799 498,954 154,716 388,378
Community development 1,985,828 1,557,209 899,680 1,156,997 Public safety 277,816 406,077 268,225 324,497
Public works 873,072 770,403 741,487 740,542
Recreation 6,947,677 487,138 573,479 1,727,459
Operating grants and contributions 16,061,186 3,862,387 5,998,794 3,728,589 Capital grants and contributions 1,638,108 1,869,583 1,488,480 1,299,265 Total governmental activities program revenues 28,204,486 9,451,751 10,124,861 9,365,727 NET (EXPENSE/REVENUE) - GOVERNMENTAL ACTIVITIES (17,421,130) (37,541,238) (33,832,497) (30,785,962) GENERAL REVENUES AND OTHER CHANGES IN NET POSITION - GOVERNMENTAL ACTIVITIES:

Taxes
Property taxes, levied for general purpose 6,530,911 6,261,310 6,273,159 5,703,464 Property taxes, levied for recreation purposes 6,222,354 5,958,450 5,958,511 5,435,431 Property taxes, levied for lighting purposes 1,425,207 1,363,781 1,358,550 1,240,367 Property taxes, backfill of vehicle license fees 5,322,016 5,136,804 4,942,234 4,708,074 Sales tax 13,292,177 11,249,720 11,969,246 12,616,015
Transient occupancy tax 2,602,233 1,648,030 2,185,978 2,761,917 Franchise tax 1,801,173 1,753,459 1,727,101 1,686,218
Other taxes 1,965,665 1,820,366 1,742,289 1,750,241
Total taxes 39,161,736 35,191,920 36,157,068 35,901,727 Investment earnings (4,733,571) 2,245,090 3,423,255 3,806,673 Contributed capital - - - -
Miscellaneous 38,569 37,845 53,058 57,203
Total governmental activities 34,466,734 37,474,855 39,633,381 39,765,603 SPECIAL ITEMS:

Market value adjustment - land held for resale - - - -
Gain on sale of land held for resale - 2,053,172 - -
Total special items - 2,053,172 - -
EXTRAORDINARY ITEMS:

Gain on approval of repayment agreement - - - -
Loss on disallowance of interest on advance to former
Redevelopment Agency - - - -
Loss on re-entered loan settlement agreement - - - -
Total extraordinary items - - - -
CHANGE IN NET POSITION - GOVERNMENTAL ACTIVITIES $ 17,045,604 $ 1,986,789 $ 5,800,884 $ 8,979,641 EXPENSES - BUSINESS-TYPE ACTIVITIES:

Sewer $ 902,389 $ 888,283 $ 871,750 $ 897,761
Total business-type activities expenses 902,389 888,283 871,750 897,761 PROGRAM REVENUES - BUSINESS-TYPE ACTIVITIES:

Charges for services 1,779,495 1,861,974 1,733,202 1,721,787 Operating grants and contributions 35 37 39 98,050
Capital grants and contributions - - - -
Total business-type activities program revenues 1,779,530 1,862,011 1,733,241 1,819,837 NET (EXPENSE/REVENUE) - BUSINESS-TYPE ACTIVITIES 877,141 973,728 861,491 922,076 GENERAL REVENUES AND OTHER CHANGES IN NET POSITION - BUSINESS TYPE ACTIVITIES:

Taxes
Property taxes, levied for sewer purposes 32,508 30,499 30,076 29,978 Total taxes 32,508 30,499 30,076 29,978
Investment earnings 26,215 25,145 66,013 162,156
Miscellaneous 2,442 2,779 1,611 3,233
Total business-type activities 61,165 58,423 97,700 195,367 CHANGE IN NET POSITION - BUSINESS-TYPE ACTIVITIES $ 938,306 $ 1,032,151 $ 959,191 $ 1,117,443 CHANGE IN NET POSITION - TOTAL PRIMARY GOVERNMENT $ 17,983,910 $ 3,018,940 $ 6,760,075 $ 10,097,084

CITY OF CYPRESS
Fiscal Year
Schedule 2

LAST TEN FISCAL YEARS

CHANGES IN NET POSITION
161
2018 2017 2016 2015 2014 2013
$ 4,634,173 $ 4,688,064 $ 4,186,025 $ 3,762,129 $ 4,037,449 $ 3,844,511 2,545,902 2,092,444 2,045,322 1,792,626 1,717,272 1,658,699 17,185,826 15,793,707 14,193,759 13,823,314 14,119,456 14,079,824 13,608,594 11,949,123 11,467,198 11,818,556 11,971,891 11,554,300 5,296,640 5,077,877 4,659,025 4,675,847 4,857,577 4,664,614 25,145 48,597 70,731 89,610 107,166 123,439
43,296,280 39,649,812 36,622,060 35,962,082 36,810,811 35,925,387 477,787 517,051 247,368 155,590 98,802 46,683
1,125,447 957,395 1,038,354 767,379 663,525 604,456
221,319 217,567 190,861 229,721 223,771 284,904
723,444 773,597 820,048 854,062 832,916 836,641
1,509,692 1,489,518 1,499,750 1,160,898 1,389,596 1,303,395 3,625,304 4,550,919 4,474,668 3,549,872 3,648,027 3,822,397 1,029,329 1,462,551 693,977 856,247 1,315,906 1,071,101 8,712,322 9,968,598 8,965,026 7,573,769 8,172,543 7,969,577 (34,583,958) (29,681,214) (27,657,034) (28,388,313) (28,638,268) (27,955,810) 5,373,717 4,838,954 4,634,994 4,735,392 4,589,439 4,847,103 5,133,137 4,598,132 4,420,347 4,450,954 4,224,593 4,778,959 1,173,368 1,055,329 1,015,521 1,013,028 962,631 1,086,568 4,429,211 4,241,925 4,061,360 3,835,515 3,678,802 3,560,389 11,141,720 11,346,462 12,435,166 11,891,754 11,846,002 10,827,664 2,836,842 2,711,306 2,558,974 2,209,939 1,980,228 1,926,322 1,660,665 1,607,621 1,728,236 1,724,232 1,650,481 1,629,706 1,728,281 1,745,849 1,647,782 1,678,288 1,617,097 1,656,695 33,476,941 32,145,578 32,502,380 31,539,102 30,549,273 30,313,406 1,281,234 694,455 748,457 344,668 439,186 218,964
1,460,026 - - - - -
55,078 69,209 61,886 65,861 62,594 348,499
36,273,279 32,909,242 33,312,723 31,949,631 31,051,053 30,880,869 - - - (6,308,460) - -
- - - - - -
- - - (6,308,460) - -
- - - 25,323,775 - -
- - - - - (1,196,000)
- (12,493,860) - - - -
- (12,493,860) - 25,323,775 - (1,196,000)
$ 1,689,321 $ (9,265,832) $ 5,655,689 $ 22,576,633 $ 2,412,785 $ 1,729,059 $ 795,737 $ 706,843 $ 757,503 $ 724,257 $ 740,444 $ 704,109 795,737 706,843 757,503 724,257 740,444 704,109
1,829,427 1,768,183 1,714,658 2,025,759 2,197,154 2,131,506 43 46 66,716 46,387 55 55
- - - - 4,990 3,055
1,829,470 1,768,229 1,781,374 2,072,146 2,202,199 2,134,616 1,033,733 1,061,386 1,023,871 1,347,889 1,461,755 1,430,507 30,885 24,060 27,651 14,232 10,879 73,185
30,885 24,060 27,651 14,232 10,879 73,185
84,346 48,316 34,865 26,886 23,062 26,980
5,713 2,721 7,255 2,801
120,944 75,097 69,771 43,919 33,941 100,165
$ 1,154,677 $ 1,136,483 $ 1,093,642 $ 1,391,808 $ 1,495,696 $ 1,530,672 $ 2,843,998 $ (8,129,349) $ 6,749,331 $ 23,968,441 $ 3,908,481 $ 3,259,731 162
2022 2021 2020 2019

GENERAL FUND
Nonspendable $ 270,596 $ 400,475 $ 4,106 $ 8,105
Restricted 28,944 28,944 140,521 51,035
Committed 8,862,296 8,277,669 7,752,199 7,399,045
Assigned 21,212,203 15,425,574 14,086,964 13,827,127
Unassigned 1,043,486 1,060,000 1,060,000 1,060,000
Total General Fund $ 31,417,525 $ 25,192,662 $ 23,043,790 $ 22,345,312

ALL OTHER GOVERNMENTAL FUNDS
Nonspendable $ - $ 5,915,695 $ 3,242 $ 28,946
Restricted 20,316,479 19,174,097 27,679,541 27,277,048
Committed 11,600,177 12,824,144 11,600,900 9,332,740
Assigned 81,327,970 70,479,670 74,307,742 70,811,712
Unassigned (163,885) (226,304) (290,643) -
Total all other Governmental Funds $ 113,080,741 $ 108,167,302 $ 113,300,782 $ 107,450,446 Notes: 1) Nonspendable fund balance amounts related to land held for resale in All Other Governmental Funds have been reclassified to assigned fund balance as of June 30, 2013 to more properly reflect how the proceeds may be used by the City.

Fiscal Year

CITY OF CYPRESS

FUND BALANCES - GOVERNMENTAL FUNDS

LAST TEN FISCAL YEARS
Schedule 3
163
2018 2017 2016 2015 2014 2013
$ 54,299 $ 57,474 $ 8,759 $ 6,411 $ 9,387 $ 14,359
73,252 73,252 73,252 73,252 73,252 73,252
7,152,556 6,982,083 6,885,909 6,520,344 6,299,394 6,075,680 8,018,278 11,199,276 11,766,464 13,078,088 11,116,273 8,011,729 860,000 921,728 289,297 170,783 121,919 115,976
$ 16,158,385 $ 19,233,813 $ 19,023,681 $ 19,848,878 $ 17,620,225 $ 14,290,996 $ 26,013 $ 71,608 $ 59,660 $ 56,300 $ 11,233 $ 10,602
26,328,454 26,466,768 27,039,278 25,513,795 24,960,766 24,331,702 10,568,404 9,174,885 17,680,891 9,437,504 11,908,872 14,378,531 67,828,083 62,830,965 71,429,444 76,745,521 55,006,639 54,988,809 - - - - - -
$ 104,750,954 $ 98,544,226 $ 116,209,273 $ 111,753,120 $ 91,887,510 $ 93,709,644 164
2022 2021 2020 2019
REVENUES:

Taxes
Property tax $ 19,500,488 $ 18,720,344 $ 18,532,454 $ 17,087,338 Sales tax 13,292,177 11,579,445 12,252,711 12,332,551
Transient occupancy tax 2,602,233 1,648,030 2,185,978 2,761,917 Franchise tax 1,876,783 1,829,542 1,806,177 1,766,326
Other taxes 2,348,252 2,167,293 2,063,126 2,095,035
Licenses and permits 1,326,104 884,938 628,630 806,907
Fines and forfeitures 250,414 345,986 277,716 390,365
From use of property (2,256,444) 88,710 3,511,171 3,890,564 From other agencies 16,312,535 4,103,799 5,300,369 3,878,871 Charges for services 11,079,347 4,051,764 3,293,571 4,317,800 Other revenues 746,421 811,084 652,143 673,986
Total Revenues 67,078,310 46,230,935 50,504,046 50,001,660 EXPENDITURES:

General government 4,833,262 5,485,769 5,206,978 4,131,110 Community development 2,159,679 1,892,213 1,714,979 2,056,311 Public safety 17,939,338 17,401,215 17,225,985 16,174,228 Public works 9,262,250 10,056,426 7,732,879 7,394,724
Recreation 4,532,507 4,181,884 3,951,650 4,158,366
Capital outlay 12,527,779 11,805,601 4,495,945 4,251,602 Debt service
Principal retired - - - 475,000
Interest and charges - - - 13,175
Total expenditures 51,254,815 50,823,108 40,328,416 38,654,516 Excess of revenues over (under) expenditures 15,823,495 (4,592,173) 10,175,630 11,347,144 OTHER FINANCING SOURCES (USES):

Transfers in 21,115,221 7,692,812 8,335,896 6,468,442
Transfers out (25,800,414) (8,138,419) (11,962,712) (8,929,167) Total other financing sources (uses) (4,685,193) (445,607) (3,626,816) (2,460,725) Net change in fund balances before extraordinary items 11,138,302 (5,037,780) 6,548,814 8,886,419 SPECIAL ITEMS:

Market value adjustment - land held for resale - - - -
Gain on sale of land held for resale - 2,053,172 - -
Total special items - 2,053,172 - -
EXTRAORDINARY ITEMS:

Gain on approval of repayment agreement - - - -
Loss on disallowance of interest on advance
to former Redevelopment Agency - - - -
Loss on re-entered loan settlement agreement - - - -
Total extraordinary items - - - -
Net change in fund balances $ 11,138,302 $ (2,984,608) $ 6,548,814 $ 8,886,419 Debt service as a percentage of noncapital expenditures 0.0% 0.0% 0.0% 1.4% Schedule 4
Fiscal Year

CITY OF CYPRESS

CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS

LAST TEN FISCAL YEARS
165
2018 2017 2016 2015 2014 2013
$ 16,109,436 $ 14,734,339 $ 14,132,221 $ 14,034,888 $ 13,455,467 $ 15,485,431 11,141,720 11,451,407 12,540,112 11,681,865 11,846,003 10,827,665 2,836,842 2,711,306 2,558,974 2,209,939 1,980,228 1,926,322 1,740,802 1,665,820 1,774,268 1,770,259 1,693,524 1,671,897 2,052,850 2,061,297 1,957,223 1,986,873 1,909,589 1,899,759 675,894 700,437 700,510 455,781 381,992 380,256
275,909 289,271 239,845 254,997 270,593 336,389
1,660,035 1,027,004 1,044,996 594,030 659,310 478,573
3,856,558 3,113,673 3,021,416 3,178,481 3,886,307 3,438,718 4,700,201 4,397,340 4,376,424 3,963,964 4,244,710 4,125,461 701,596 1,585,339 1,401,191 788,618 695,557 1,226,084
45,751,843 43,737,233 43,747,180 40,919,695 41,023,280 41,796,555 4,037,765 4,380,176 4,147,614 3,555,118 3,802,168 3,570,736 2,351,459 2,070,995 2,160,255 1,772,835 1,776,411 1,646,044 15,762,018 15,508,454 14,861,961 13,905,373 14,073,067 13,868,047 10,081,750 9,541,509 9,630,040 9,625,309 9,789,620 9,183,658 4,498,225 4,612,076 4,450,788 4,305,974 4,452,120 4,206,914 2,275,198 11,813,186 2,295,678 4,386,607 5,079,667 2,328,613 445,000 420,000 400,000 380,000 360,000 340,000
36,826 59,622 80,131 98,350 115,266 130,749
39,488,241 48,406,018 38,026,467 38,029,566 39,448,319 35,274,761 6,263,602 (4,668,785) 5,720,713 2,890,129 1,574,961 6,521,794 9,020,684 8,189,632 7,466,801 7,991,193 5,725,391 25,579,555 (12,152,986) (8,481,902) (9,556,558) (8,098,884) (5,793,257) (25,622,970) (3,132,302) (292,270) (2,089,757) (107,691) (67,866) (43,415) 3,131,300 (4,961,055) 3,630,956 2,782,438 1,507,095 6,478,379 - - - (6,308,460) - -
- - - - - -
- - - - - -
- - - 25,323,775 - -
- - - - - (1,196,000)
- (12,493,860) - - - -
- (12,493,860) - 25,323,775 - (1,196,000)
$ 3,131,300 $ (17,454,915) $ 3,630,956 $ 28,106,213 $ 1,507,095 $ 5,282,379

1.3% 1.3% 1.3% 1.4% 1.4% 1.4%
166
Fiscal Year Total Taxable Total
Ended Public Unsecured Assessed Direct Tax
June 30, Secured * Utility * Valuation * Value * Rate
2022 $ 8,136,669 $ 2,268 $ 331,045 $ 8,469,982 1.0000
2021 $ 7,872,105 $ 2,268 $ 300,844 $ 8,175,217 1.0000
2020 $ 7,516,002 $ 2,268 $ 347,290 $ 7,865,560 1.0000
2019 $ 7,181,037 $ 2,268 $ 309,590 $ 7,492,895 1.0000
2018 $ 6,755,533 $ 595 $ 292,957 $ 7,049,085 1.0000
2017 $ 6,452,310 $ 792 $ 297,917 $ 6,751,019 1.0000
2016 $ 6,180,488 $ 792 $ 282,370 $ 6,463,650 1.0000
2015 $ 5,831,344 $ 1,371 $ 271,503 $ 6,104,218 1.0000
2014 $ 5,581,655 $ 1,371 $ 271,782 $ 5,854,808 1.0000
2013 $ 5,389,098 $ 1,371 $ 275,885 $ 5,666,354 1.0000
Source: Orange County Assessor's Office
Note: In 1978, the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based on the assessed value of the property being taxes. Each year, the assessed value of propety may be increased by an inflation factor (up to 2%). However, property is re-assessed to its current value when a change of ownership occurs. Other factors that may cause re-assessment include new construction, tenant improvements and appeals of value by the owner.

The assessed value data shown above represents the only data currently available with respect to the actual market value of taxable property and are subject to the limitations described above. * Amount in Thousands

CITY OF CYPRESS

ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY Schedule 5

LAST TEN FISCAL YEARS
167
Fiscal Year General
Ended Basic Obligation Total School Water
June 30, Rate Debt Service Direct Districts District
2022 1.0000 - 1.0000 0.0973 0.0035
2021 1.0000 - 1.0000 0.1049 0.0035
2020 1.0000 - 1.0000 0.0933 0.0035
2019 1.0000 - 1.0000 0.1002 0.0035
2018 1.0000 - 1.0000 0.0822 0.0035
2017 1.0000 - 1.0000 0.0950 0.0035
2016 1.0000 - 1.0000 0.1045 0.0035
2015 1.0000 - 1.0000 0.0642 0.0035
2014 1.0000 - 1.0000 0.0700 0.0035
2013 1.0000 - 1.0000 0.0731 0.0035
Source: Orange County Assessor's Office
Note: The City's basic property tax rate may only be increased by a majority vote of the City's residents. Rates for debt service are set based on each year's requirements. * Overlapping rates are those of local and county governments that apply to property owners within the City of Cypress. Not all overlapping rates apply to all Cypress property owners.

City Direct Rates Overlapping Rates *

CITY OF CYPRESS

DIRECT AND OVERLAPPING PROPERTY TAX RATES
Schedule 6

LAST TEN FISCAL YEARS
168
Percentage Percentage
of Total City of Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value Value Rank Value
Warland Investments Ltd $ 249,034,536 1 2.95% 226,236,088 $ 1 4.04% Katella Holder Street LLC 96,600,000 2 1.14% -- --
Cypress Corporate Center 82,649,350 3 0.98% 70,588,202 3 1.26% G & IX Cypress Campus LP 78,699,634 4 0.93% -- --
Duke Realty LP 72,205,058 5 0.85% -- --
Inland American Cypress Katella 51,540,683 6 0.61% 35,052,842 7 0.63% Yamaha Motor Corp USA Inc 37,662,284 7 0.45% 35,275,313 6 0.63% Los Alamitos Racecourse 36,452,108 8 0.43% 37,881,292 5 0.68% IHP Los Alamitos Owner LLC 35,033,806 9 0.41% -- --
Cadigan Peppertree LLC 34,531,082 10 0.41% -- --
Mitsubishi Motor Sales -- -- 94,179,352 2 1.68%
RREEF America REIT -- -- 60,667,415 4 1.08%
CRP-2 Holdings Cypress -- -- 31,824,000 8 0.57%
UHC of California -- -- 29,686,552 9 0.53%
USA Build LLC -- -- 25,642,800 10 0.46%
Total $ 774,408,541 9.16% $ 647,033,856 11.56%
Source: California Municipal Statistics, Inc. and Orange County Assessor's Office

CITY OF CYPRESS

PRINCIPAL PROPERTY TAX PAYERS
Schedule 7
2022 2013

CURRENT YEAR AND NINE YEARS AGO
169
Fiscal Year Taxes Levied Delinquent
Ended for the Percentage Tax Percentage
June 30, Fiscal Year Amount of Levy Collections Amount of Levy 2022 $ 23,758,834 $ 23,586,865 99.28% 134,014$ $ 23,720,879 99.84% 2021 $ 22,876,805 $ 22,743,440 99.42% 174,530$ $ 22,917,970 100.18% 2020 $ 21,444,968 $ 21,202,595 98.87% 90,515$ $ 21,293,110 99.29% 2019 $ 20,072,714 $ 19,889,386 99.09% 137,711$ $ 20,027,097 99.77% 2018 $ 18,670,282 $ 18,516,004 99.17% 89,692$ $ 18,605,696 99.65% 2017 $ 17,883,255 $ 17,742,578 99.21% 100,982$ $ 17,843,560 99.78% 2016 $ 17,146,468 $ 16,994,275 99.11% 144,980$ $ 17,139,255 99.96% 2015 $ 16,102,137 $ 15,896,810 98.72% 159,324$ $ 16,056,134 99.71% 2014 $ 15,425,028 $ 15,239,350 98.80% 299,068$ $ 15,538,418 100.74% 2013 $ 14,687,798 $ 14,475,122 98.55% 202,617$ $ 14,677,739 99.93% Source: County of Orange Auditor-Controller
Notes: Includes General, Special Revenue and Debt Service Funds.

These amounts consist of "prior year" taxes (excluding penalties and interest) remitted in the subsequent fiscal year from Fiscal Year 2004-05 forward; the Orange County Auditor Controller's Office aggregates these payments and does not provide detail on allocations to particular years. Penalties and interest were not recorded separately prior to Fiscal Year 2004-05.

CITY OF CYPRESS

PROPERTY TAX LEVIES AND COLLECTIONS
Fiscal Year of the Levy
Collected within the
Total Collections to Date
Schedule 8

LAST TEN FISCAL YEARS
170
Fiscal Year Lease Percentage
Ended Revenue of Personal Per
June 30, Bonds Income * Capita **
2022 -$ 0.00% -$
2021 -$ 0.00% -$
2020 -$ 0.00% -$
2019 -$ 0.00% -$
2018 $ 475,000 0.03% $ 10
2017 $ 920,000 0.06% $ 19
2016 $ 1,340,000 0.08% $ 27
2015 $ 1,740,000 0.11% $ 36
2014 $ 2,120,000 0.14% $ 43
2013 $ 2,480,000 0.16% $ 51
Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statement.
* See Schedule 12 for personal income.
** See Schedule 12 for population data.

Schedule 9

RATIOS OF OUTSTANDING DEBT BY TYPE

CITY OF CYPRESS
Governmental Activities

LAST TEN FISCAL YEARS
171
Estimated Sharing of
Debt Percentage Overlapping
Direct and Overlapping Tax and Assessment Debt: Outstanding Applicable (1) Debt Metropolitan Water District $ 20,175,000 0.249% $ 50,236 North Orange County Joint Community College District 209,339,039 5.614% 11,752,294 Garden Grove Unified School District 532,420,000 3.571% 19,012,718 Los Alamitos USD School Facilities Improvement District No. 1 197,835,227 2.331% 4,611,539 Anaheim Union High School District 256,268,955 13.625% 34,916,645 Centralia School District 38,387,336 2.423% 930,125
Cypress School District 35,162,739 85.569% 30,088,404
Savanna School District 39,432,464 12.881% 5,079,296
City of Cypress 1915 Act Bonds 170,000 100.000% 170,000 Total Direct and Overlapping Tax and Assessment Debt $ 106,611,257 Direct and Overlapping General Fund Debt:

Orange County General Fund Obligations $ 376,780,000 1.243% $ 4,683,375 Orange County Pension Obligation Bonds 521,784,000 1.243% 6,485,775 Orange County Board of Education General Fund Obligations 11,620,000 1.243% 144,437 North O.C. Regional Occupational Program Certificates of Part. 8,200,000 5.026% 412,132 Anaheim Union High School District Certificates of Participation 30,670,000 13.625% 4,178,788 Los Alamitos Unified School District Certificates of Participation 34,632,040 2.096% 725,888 Cypress School District Certificates of Participation 3,922,000 85.569% 3,356,016 City of Cypress 100.000% - -
Total Gross Direct and Overlapping Tax and Assessment Debt $ 19,986,411 Overlapping Tax Increment Debt (Successor Agency): $ 790,000 7.242% 57,212 Total Direct Debt $ -
Total Overlapping Debt $ 126,654,880
Combined Total Debt $ 126,654,880 (2)
Source: California Municipal Statistics, Inc.
(1) The percentage of overlapping debt applicable to the City is estmated using taxable assessed property value. Applicable percentages were estimated by determining the portion of the overlapping District's assessed value that is within the boundaries of the City divided by the District's total taxable assessed value. (2) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations. Qualified Zone Academy Bonds are included based on principal due at maturity.

CITY OF CYPRESS

DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
Schedule 10
172
2022 2021 2020 2019
LEGAL DEBT MARGIN CALCULATION:

Assessed valuation $ 8,469,982 $ 8,175,217 $ 7,865,560 $ 7,492,895 Conversion percentage 25% 25% 25% 25%
Adjusted assessed valuation $ 2,117,496 $ 2,043,804 $ 1,966,390 $ 1,873,224 Debt limit percentage 15% 15% 15% 15%
Debt limit 317,624 306,571 294,959 280,984
Total Net Debt Applicable to Limit - - - -
Legal debt margin $ 317,624 $ 306,571 $ 294,959 $ 280,984 Total Net Debt Applicable to Limit 0.00% 0.00% 0.00% 0.00% as a percentage of Debt Limit
Note: The Government Code of the State of Califonia provides for a legal debt limit of 15 percent of gross assessed valuation. However, this provision was enacted when assess valuation was based upon 25 percent of market value. Effective with the 1981-82 fiscal year, each parcel is now assessed at 100 percent of market value (as of the most recent change in ownership for that parcel). The computations shown above reflect a conversion of assessed valuation data for each fiscal year from the current full valuation perspective to the 25 percent level that was in effect at the time the legal debt margin was enacted.

Fiscal Year

CITY OF CYPRESS

LEGAL DEBT MARGIN INFORMATION
Schedule 11
(In thousands)
173
2018 2017 2016 2015 2014 2013
$ 7,049,085 $ 6,751,019 $ 6,463,650 $ 6,104,218 $ 5,854,808 $ 5,666,354 25% 25% 25% 25% 25% 25%
$ 1,762,271 $ 1,687,755 $ 1,615,913 $ 1,526,055 $ 1,463,702 $ 1,416,589 15% 15% 15% 15% 15% 15%
264,341 253,163 242,387 228,908 219,555 212,488
- - - - - -
$ 264,341 $ 253,163 $ 242,387 $ 228,908 $ 219,555 $ 212,488

0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
174
Personal Per
Fiscal Year Income Capita
Ended (thousands Personal Median School Unemployment
June 30, Population of dollars) Income Age Enrollment ** Rate 2022 49,810 $ 2,308,023 46,337$ 41.8 * 3,414 2.4%
2021 48,531 $ 1,957,777 40,341$ 41.8 * 3,540 9.5%
2020 49,272 $ 1,841,471 37,374$ 41.7 * 3,813 15.4%
2019 49,833 $ 1,790,699 35,934$ 41.7 * 3,923 2.4%
2018 49,978 $ 1,713,796 34,291$ 41.9 * 3,957 3.4%
2017 49,655 $ 1,645,120 33,131$ 41.7 * 3,969 2.4%
2016 49,535 $ 1,642,473 33,019$ 41.1 * 3,942 3.0%
2015 48,874 $ 1,568,904 32,101$ 40.6 * 3,990 3.8%
2014 48,886 $ 1,553,597 31,780$ 40.4 * 3,916 5.3%
2013 48,547 $ 1,562,340 32,182$ 39.9 * 3,879 6.0%
Source: MuniServices, LLC/an Avenu Insights & Analytics Company, California Dept of Finance, U.S. Census Bureau, California Department of Education, and Employment Development Department * Amount is estimated based on latest available information. ** Includes Cypress Elementary enrollment only. Cypress residents enrolled in middle and high schools are enrolled through the Anaheim Union High School District and the enrollment breakdown by individual city is not available.

CITY OF CYPRESS

DEMOGRAPHIC AND ECONOMIC STATISTICS
Schedule 12

LAST TEN FISCAL YEARS
175
Percentage Percentage
of Total City of Total City
Employer Employees Rank Employment Employees Rank Employment Amazon 1,300 1 5.28% -- --
Siemens Corporation 839 2 3.41% 375 4 1.35%
Cypress School District 607 3 2.47% -- --
UnitedHealth Group 458 4 1.86% 2,234 1 8.06%
Cypress College 457 5 1.86% 874 2 3.16%
Costco - Cypress 392 6 1.59% 275 8 0.99%
Yamaha Motors Corporation 310 7 1.26% 318 6 1.15%
Hybrid Apparel 306 8 1.24% -- --
Safran Cabin (frmly C&D Zodiac) 301 9 1.22% -- --
Christie Digital Systs USA 296 10 1.20% 409 3 1.48%
Vans -- -- 357 5 1.29%
Mitsubishi Motor Sales -- -- 275 7 0.99%
Manhattan Beachwear -- -- 235 9 0.85%
Siemens Industries -- -- 234 10 0.84%
Total 5,266 21.39% 5,586 20.16%
Source: MuniServices, LLC/an Avenu Insights & Analytics Company, City Planning Department and State of California Employment Development Department
2013

CITY OF CYPRESS

PRINCIPAL EMPLOYERS

CURRENT YEAR AND NINE YEARS AGO
Schedule 13
2022
176
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
General Government
Administrative 5.3 5.3 5.3 5.3 5.3 6.0 6.0 6.0 8.9 8.9
Finance 14.3 14.3 14.3 14.3 14.3 15.0 15.0 15.0 13.0 13.0 Community Development 6.5 5.5 5.5 5.5 6.5 7.5 7.5 8.0 8.0 9.0 Police
Officers 58.0 58.0 58.0 57.0 57.0 57.0 57.0 57.0 55.0 55.0 Civilians 23.8 23.8 22.8 22.8 22.8 23.4 24.4 24.4 23.9 23.4 Public Works
Engineering 9.0 9.0 9.0 8.5 10.5 10.1 10.1 10.0 10.0 10.0 Maintenance 19.5 19.5 20.1 20.1 26.4 27.0 27.0 28.6 27.7 30.7 Parks and Recreation 29.6 28.8 29.2 30.0 28.2 28.4 28.4 28.8 28.8 28.8 Total 166.0 164.2 164.2 163.5 171.0 174.4 175.4 177.8 175.3 178.8 Source: City of Cypress adopted budget.

Schedule 14
Fiscal Years as of June 30
Function/Program

CITY OF CYPRESS

FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES

BY FUNCTION/PROGRAM

LAST TEN FISCAL YEARS
177
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Police
Physical arrests 1,505 778 834 1,232 1,091 1,130 856 856 913 1,237 Parking violations 4,485 8,675 4,436 6,264 5,287 3,660 4,587 4,818 3,752 5,999 Traffic violations 2,099 2,368 2,353 3,754 4,260 3,290 2,878 1,830 2,626 3,445 Public Works - Maintenance
Potholes repaired 259 235 108 59 13 109 53 56 72 213
Parks and Recreation
Athletic field permits issued 2,486 2,698 4,812 6,783 7,197 8,383 7,975 8,786 9,175 10,541 Class participants 6,991 3,738 6,370 13,319 13,823 10,739 12,110 11,796 13,233 13,308 Facility rentals 1,277 10 653 895 1,127 1,225 1,334 1,255 1,460 1,559 Source: Various City Departments
Function/Program

CITY OF CYPRESS

OPERATING INDICATORS BY FUNCTION/PROGRAM

LAST TEN FISCAL YEARS
Schedule 15
Fiscal Years as of June 30
178
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Police
Stations 1 1 1 1 1 1 1 1 1 1
Patrol units 18 19 19 19 19 19 19 19 19 19
Public Works - Maintenance
Streets (miles) 111 111 111 111 111 111 111 111 111 111 Streetlights 302 302 302 302 302 303 303 303 303 303
Traffic signals 61 61 61 61 61 60 60 57 57 57
Parks and Recreation
Acreage 95 95 95 95 95 87 84 84 84 84
Playgrounds 20 19 19 19 19 19 18 18 18 18
Baseball/softball diamonds 9 9 9 9 8 8 8 8 8 8
Soccer/football fields 4 2 2 1 1 1 1 1 1 1
Pickleball fields 8 6 - - - - - - - -
Community centers 1 1 1 1 1 1 1 1 1 1
Senior centers 1 1 1 1 1 1 1 1 1 1
Source: Various City Departments
Function/Program

CITY OF CYPRESS

CAPITAL ASSETS STATISTICS BY FUNCTION/PROGRAM

LAST TEN FISCAL YEARS
Schedule 16
Fiscal Years as of June 30
179
Lance, Soll & Lunghard, LLP 203N. BreaBlvd.,Suite 203 Brea,CA92821 Phone: 714.672.0022 INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL

OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE

WITH GOVERNMENT AUDITING STANDARDS
To the Honorable Mayor and Members of the City Council
City of Cypress, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Cypress, California (the “City”), as of and for the year ended June 30, 2022, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements, and have issued our report thereon dated December 21, 2022.

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

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

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified.

Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.
180
To the Honorable Mayor and Members of the City Council
City of Cypress, California
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Brea, California
December 21, 2022
181
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 11.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 01/23/2023
SUBJECT: Receive and File the Report on the City's Appropriations Limit for the Fiscal Year Ended June 30, 2022

RECOMMENDATION
Receive and file the attached Independent Accountants’ Report on Agreed-Upon Procedures Applied to the City's Appropriations Limit Worksheet for the Fiscal Year ended June 30, 2022.

DISCUSSION
All governments in California are required to have specific review procedures performed by independent accountants on the annual appropriation limit. Attached is a copy of the Independent Accountants’ Report of Agreed-Upon Procedures Applied to the Appropriations Limit Worksheet for the fiscal year ended June 30, 2022, prepared by the City's independent accountants, Lance, Soll and Lunghard LLP (LSL). LSL did not note any exceptions during the course of performing the agreed-upon procedures.

Under Article XIIIB of the California Constitution, appropriations limitations are based on the City's 1978-79 actual appropriations adjusted annually by a formula utilizing the percentage growth in California Per Capita Income and either the growth in the City's or the County's population.

The City used the population growth in the County of Orange to calculate the FY 2021-22 appropriation limitation of $89,018,615. The total appropriations subject to the limitation for FY 2021-22 were $28,483,247, which was $60,535,368 (68%) below the calculated appropriation limit.

BUDGET IMPACT
The review of the appropriation limit is included in the overall cost of the City’s annual audit and sufficient amounts are included in the budget to pay for the audit.

LEGAL REVIEW
None required.

APPROVED BY:  Peter Grant, City Manager
Attachments
Independent Accountants' Report on the City's Appropriation Limit

Lance, Soll & Lunghard, LLP 203N.BreaBlvd.,Suite 203 Brea,CA92821 Phone: 714.672.0022 INDEPENDENT ACCOUNTANTS’ REPORT ON AGREED-UPON

PROCEDURES APPLIED TO APPROPRIATIONS LIMIT WORKSHEETS
To the Honorable Mayor and Members of the City Council
City of Cypress, California
We have performed the procedures enumerated below on the accompanying Appropriations Limit Worksheet No. 6 (or other alternative computation) of the City of Cypress, California, for the year ended June 30, 2022. These procedures are the responsibility of the City, which were agreed to by the City of Cypress and the League of California Cities (as presented in the publication entitled Agreed-Upon Procedures Applied to the Appropriations Limitation Prescribed by Article XIII-B of the California Constitution), were performed solely to assist the City of Cypress in meeting the requirements of Section 1.5 of Article XIII-B of the California Constitution. The City of Cypress' management is responsible for the Appropriations Limit Worksheet No. 6 (or other alternative computation).

The City has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose of recomputing the Appropriations Limit Worksheet No. 6 (or other alternative computation). This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes.

The procedures performed and our findings were as follows:

1. We obtained the completed Worksheets No. 1 through No. 7 (or other alternative computations) and compared the limit and annual adjustment factors included in those worksheets to the limit and annual adjustment factors that were adopted by resolution of the City Council. We also compared the population and inflation options included in the aforementioned worksheets to those that were selected by a recorded vote of the City Council.

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

2. For the accompanying Appropriations Limit Worksheet No. 6, we multiplied line A, last year's limit, by line D, ratio of change and compared the resulting amount to line E, this year's limit.

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

3. We compared the current year information presented in the accompanying Appropriations Limit Worksheet No. 6 to the other worksheets described in No. 1 above.

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

4. We compared the prior year appropriations limit presented in the accompanying Appropriations Limit Worksheet No. 6 to the prior year appropriations limit adopted by the City Council for the prior year.

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

To the Honorable Mayor and Members of the City Council
City of Cypress, California
We were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the AICPA. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on the accompanying Appropriations Limit Worksheet No. 6 (or other alternative computation). Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.

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

This report is intended solely for the information of the City Council and management of the City of Cypress and is not intended to be, and should not be, used by anyone other than these specified parties.

Brea, California
May 9, 2022

CITY OF CYPRESS
2021-2022

APPROPRIATIONS LIMIT CALCULATION
A. 2020-2021 APPROPRIATIONS LIMIT: $ 84,907,506
B. 2021-2022 CHANGE IN CALIFORNIA PER
CAPITA PERSONAL INCOME: 5.73%
C. 2021-2022 CHANGE IN POPULATION: -0.84%
D. RATIO OF CHANGE (1.0573 X 0.9916): x 1.04841868
E. 2021-2022 APPROPRIATIONS LIMIT: $ 89,018,615
($ 84,907,506 X 1.04841868)
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 12.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 01/23/2023
SUBJECT: Receive and File the Independent Accountants’ Report on the Cypress Recreation and Park District’s Appropriations Limit for the Fiscal Year Ended June 30, 2022

RECOMMENDATION
Receive and file the attached Independent Accountants’ Report on Agreed-Upon Procedures Applied to the Appropriations Limit Worksheet for the Fiscal Year ended June 30, 2022.

DISCUSSION
All governments within California are required to have specific review procedures performed by independent accountants on the calculated annual appropriation limit. Attached is a copy of the Independent Accountants’ Report of Agreed-Upon Procedures Applied to the Cypress Recreation and Park District’s (District’s) Appropriations Limit Worksheet for the fiscal year ended June 30, 2022, prepared by the District's independent accountants, Lance, Soll and Lunghard LLP (LSL). LSL did not note any exceptions during the course of performing the agreed-upon procedures.

Under Article XIIIB of the California Constitution, appropriations limitations are based on the District's 1978-79 actual appropriations adjusted annually by a formula utilizing the percentage growth in California Per Capita Income and either the growth in the City's or the County's population.

The District used the population growth in the County of Orange to calculate the FY 2021-22 appropriation limitation of $9,904,744. The total appropriations subject to the limitation for FY 2021-22 were $6,278,816, which was $3,625,928 (36.6%) below the calculated appropriation limit.

BUDGET IMPACT
The review of the appropriations limit is included in the overall cost of the District’s annual audit and sufficient amounts are available in the budget to pay for the audit.

LEGAL REVIEW
None required.

APPROVED BY:  Peter Grant, City Manager
Attachments
Independent Accountants' Report on the District's Appropriation Limit

Lance, Soll & Lunghard, LLP 203N.BreaBlvd.,Suite 203 Brea,CA92821 Phone: 714.672.0022 INDEPENDENT ACCOUNTANTS’ REPORT ON AGREED-UPON

PROCEDURES APPLIED TO APPROPRIATIONS LIMIT WORKSHEETS
To the Board of Directors
Cypress Recreation and Park District
City of Cypress, California
We have performed the procedures enumerated below on the accompanying Appropriations Limit Worksheet No. 6 (or other alternative computation) of the Cypress Recreation and Park District, for the year ended June 30, 2022. These procedures are the responsibility of the Cypress Recreation and Park District, which were agreed to by the Cypress Recreation and Park District and the League of California Cities (as presented in the publication entitled Agreed-Upon Procedures Applied to the Appropriations Limitation Prescribed by Article XIII-B of the California Constitution), were performed solely to assist the Cypress Recreation and Park District in meeting the requirements of Section 1.5 of Article XIII-B of the California Constitution. The Cypress Recreation and Park District's management is responsible for the Appropriations Limit Worksheet No. 6 (or other alternative computation).

The Cypress Recreation and Park District has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose of recomputing the Appropriations Limit Worksheet No. 6 (or other alternative computation). This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes.

The procedures performed and our findings were as follows:

1. We obtained the completed Worksheets No. 1 through No. 7 (or other alternative computations) and compared the limit and annual adjustment factors included in those worksheets to the limit and annual adjustment factors that were adopted by resolution of the City Council of the City of Cypress, Ex Officio Governing Board of Directors of the Cypress Recreation and Park District. We also compared the population and inflation options included in the aforementioned worksheets to those that were selected by a recorded vote of the Board of Directors.

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

2. For the accompanying Appropriations Limit Worksheet No. 6, we multiplied line A, last year's limit, by line D, ratio of change and compared the resulting amount to line E, this year's limit.

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

3. We compared the current year information presented in the accompanying Appropriations Limit Worksheet No. 6 to the other worksheets described in No. 1 above.

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

To the Board of Directors
Cypress Recreation and Park District
City of Cypress, California

4. We compared the prior year appropriations limit presented in the accompanying Appropriations Limit Worksheet No. 6 to the prior year appropriations limit adopted by the City Council of the City of Cypress, Ex Officio Governing Board of Directors of the Cypress Recreation and Park District for the prior year.

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

We were engaged by the Cypress Recreation and Park District to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the AICPA. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on the accompanying Appropriations Limit Worksheet No. 6 (or other alternative computation). Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.

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

This report is intended solely for the information of the Board of Directors and management of the Cypress Recreation and Park District and is not intended to be, and should not be, used by anyone other than these specified parties.

Brea, California
May 9, 2022

CYPRESS RECREATION AND PARK DISTRICT
2021-2022

APPROPRIATIONS LIMIT CALCULATION
A. 2020-2021 APPROPRIATIONS LIMIT: $ 9,447,317
B. 2021-2022 CHANGE IN CALIFORNIA PER
CAPITA PERSONAL INCOME: 5.73%
C. 2021-2022 CHANGE IN POPULATION: -0.84%
D. RATIO OF CHANGE (1.0573 X 0.9916): x 1.04841868
E. 2021-2022 APPROPRIATIONS LIMIT: $ 9,904,744
($9,447,317 X 1.04841868)
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 13.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 01/23/2023
SUBJECT: Receive and File the Cypress Recreation and Park District’s Financial Statements and Auditors' Report for the Fiscal Year Ended June 30, 2022

RECOMMENDATION
Receive and file the District's Basic Financial Statements and Independent Auditors' Report for the Fiscal Year Ended June 30, 2022.

DISCUSSION
The Director of Finance is required to annually submit a complete set of financial statements for the Cypress Recreation and Park District (District) to the Board of Directors. The State also requires the District undergo an annual financial audit. Attached is the District’s Basic Financial Statements and Independent Auditors' Report for the Fiscal Year ended June 30, 2022. The report has been prepared, and an audit opinion issued, by the firm of Lance, Soll and Lunghard LLP (LSL). The District has received an unqualified, or “clean”, opinion from LSL for the audit period.

The report presents the activity of the District for the fiscal year. In accordance with the requirements of the Governmental Accounting Standards Board, the report presents a Management’s Discussion and Analysis (MD&A) and the basic financial statements for the District. The basic financial statements contain two types of statements: 1) the government-wide financial statements, and 2) the fund financial statements. The government-wide financial statements present the District’s information on a full accrual basis which attempts to provide a long-term view of the District’s financial position. The fund financial statements are presented on a modified accrual basis which focuses on a short-term view of the District’s current and available financial resources. When both sets of financial statements are reviewed in conjunction with the notes to the basic financial statements, a complete picture of the District’s financial condition is developed for the reader of the report.

BUDGET IMPACT
The cost of the audit includes the preparation of the financial statements and sufficient The cost of the audit includes the preparation of the financial statements and sufficient amounts are included in the District's budget to pay for these services.

LEGAL REVIEW
None required.

APPROVED BY:  Peter Grant, City Manager
Attachments
Cypress Recreation and Park District Basic Financial Statements and Independent Auditors' Report
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THIS PAGE INTENTIONALLY LEFT BLANK

CYPRESS RECREATION AND PARK DISTRICT
BASIC FINANCIAL STATEMENTS AND INDEPENDENT AUDITORS’ REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2022

TABLE OF CONTENTS
Page
Number
INDEPENDENT AUDITORS’ REPORT ........................................................................................... 1 MANAGEMENT’S DISCUSSION AND ANALYSIS ......................................................................... 5

BASIC FINANCIAL STATEMENTS
Government-Wide Financial Statements:

Statement of Net Position ................................................................................................... 12 Statement of Activities ........................................................................................................ 13 Fund Financial Statements:

Balance Sheet - Governmental Fund ................................................................................. 18 Reconciliation of the Governmental Fund Balance Sheet
to the Statement of Net Position ......................................................................................... 19 Statement of Revenues, Expenditures and Changes in Fund Balance - Governmental Fund ............................................................................................ 20 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balance of the Governmental Fund to the Statement of Activities ........................................................................................................ 21 Statement of Net Position – Proprietary Funds .................................................................. 24 Statement of Revenues, Expenses and Changes in
Net Position – Proprietary Funds ........................................................................................ 25 Statement of Cash Flows – Proprietary Funds ................................................................... 26 Notes to Basic Financial Statements ....................................................................................... 29

CYPRESS RECREATION AND PARK DISTRICT
BASIC FINANCIAL STATEMENTS AND INDEPENDENT AUDITORS’ REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2022

TABLE OF CONTENTS
Page
Number

REQUIRED SUPPLEMENTARY INFORMATION
Schedule of proportionate Share of the Net Pension Liability – Defined Benefit Pension Plan ............................................................................................... 59 Schedule of Changes in Net Pension Liability and Related Ratios – Defined Benefit Pension Plan .............................................................................................. 60 Schedule of Contributions – Defined Benefit Pension Plan .................................................... 62 Schedule of Proportionate Share of the Net Pension Liability – OCERS - Defined Benefit Pension Plan ............................................................................. 64 Schedule of Contributions – OCERS - Defined Benefit Pension Plan .................................... 65 Schedule of Changes in the Total OPEB Liability and Related Ratios ................................... 66 Budgetary Comparison Schedule – General Fund .................................................................. 67 Notes to Required Supplementary Information ....................................................................... 68

COMBINING FUND STATEMENTS
Combining Statement of Net Position – Internal Service Funds ............................................. 70 Combining Statement of Revenues, Expenditures and Changes in Net Position – Internal Service Funds ................................................................................. 71 Combining Statement of Cash Flows – Internal Service Funds .............................................. 72 Independent Auditors’ Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ............................................ 73

Lance, Soll & Lunghard, LLP 203N. BreaBlvd.,Suite 203 Brea,CA92821 Phone: 714.672.0022 ,1'(3(1'(17$8',7256¶5(3257
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Other Reporting Responsibilities
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11 CYPRESS RECREATION AND PARK DISTRICT

STATEMENT OF NET POSITION
Government
Governmental
Activities
Assets
Current Assets:

Cash and cash equivalents $ 15,770,616
Receivables:

Accounts 79,067
Taxes 79,568
Accrued interest 27,843
Prepaid costs 27,635
Inventories 159
Net pension asset 103,379
Total Current Assets 16,088,267
Noncurrent Assets:

Capital assets:

Non-depreciable assets 23,576,380
Depreciable assets, net 13,646,886
Total Capital Assets 37,223,266
Total Assets 53,311,533
Deferred Outflows of Resources
Deferred amounts from pension plans 1,545,417
Deferred amounts from OPEB 75,971
Total Deferred Outflows of Resources 1,621,388
Liabilities
Current Liabilities:

Accounts payable and accrued liabilities 919,127
Unearned revenue 220,028
Accrued leave payable 30,000
Deposits payable 16,900
Total Current Liabilities 1,186,055
Noncurrent Liabilities:

Notes payable to the City of Cypress 6,365,260
Accrued leave payable 90,130
Total OPEB liability 542,648
Net pension liability 1,783,019
Total Noncurrent Liabilities 8,781,057
Total Liabilities 9,967,112
Deferred Inflows of Resources
Deferred amounts from pension plans 2,254,582
Deferred amounts from OPEB 124,954
Total Deferred Inflows of Resources 2,379,536
Net Position
Net investment in capital assets 30,858,006
Restricted 119,028
Unrestricted 11,609,239
Total Net Position $ 42,586,273
JUNE 30, 2022
Primary
See Notes to Financial Statements.
12 CYPRESS RECREATION AND PARK DISTRICT

STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Net (Expenses)
Revenue and
Changes in Net
Position
Operating
Charges for Grants and Governmental
Functions/Programs Expenses Services Contributions Activities Primary government:

Governmental activities:

Recreation $ 6,247,796 $ 6,831,409 $ 53,076 $ 636,689
Total governmental activities $ 6,247,796 $ 6,831,409 $ 53,076 636,689 Property taxes 6,222,355
Investment income 190,760
Other revenue 27,105
Total general revenues 6,440,220
Change in net position 7,076,909
Net position at beginning of year 35,509,364
Net position at end of year $ 42,586,273
Program Revenues
General revenues:

See Notes to Financial Statements.
13 THIS PAGE INTENTIONALLY LEFT BLANK
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Governmental Fund Financial Statements
Proprietary Fund Financial Statements
15 THIS PAGE INTENTIONALLY LEFT BLANK
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17 CYPRESS RECREATION AND PARK DISTRICT

BALANCE SHEET

GOVERNMENTAL FUND
JUNE 30, 2022
General Fund
Assets
Cash and cash equivalents $ 13,769,670
Receivables:

Accounts 20,327
Taxes 79,568
Interest 27,843
Prepaid costs 26,758
Inventories 159
Total Assets $ 13,924,325
Liabilities and Fund Balance
Liabilities
Accounts payable and accrued liabilities $ 915,620
Unearned revenues 220,028
Deposits payable 16,900
Total Liabilities 1,152,548
Fund Balance
Nonspendable 26,917
Restricted 119,028
Committed 3,220,210
Assigned 9,281,371
Unassigned 124,251
Total Fund Balance 12,771,777
Total Liabilities and Fund Balance $ 13,924,325
See Notes to Financial Statements.
18 CYPRESS RECREATION AND PARK DISTRICT

RECONCILIATION OF THE GOVERNMENTAL FUND BALANCE SHEET

TO THE STATEMENT OF NET POSITION
JUNE 30, 2022
Fund balance - total governmental fund $ 12,771,777
Amounts reported for governmental activities in the statement of net position are different because:

Capital assets used in governmental funds are not current financial resources and therefore are not reported in the Governmenal Fund Balance Sheet. This amount does not inlcude the internal service funds amounts of $284,237:

Non-depreciable $ 23,576,380
Depreciable, net 13,362,649 36,939,029
Internal service funds are used by management to charge the costs of certain activities to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the Government-Wide Statement of Net Position. (759,273)
Long-term liabilities are not due and payable in the current period, and therefore not reported in the Governmental Fund Balance Sheet Notes payable to the City of Cypress (6,365,260)
Net Position of Governmental Activities $ 42,586,273
See Notes to Financial Statements.
19 CYPRESS RECREATION AND PARK DISTRICT

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

GOVERNMENTAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
General Fund
Revenues
Taxes $ 6,222,355
From other agencies 53,076
Charges for services 6,831,409
From use of property 190,760
Other revenue 27,105
Total Revenues 13,324,705
Expenditures
Current:

Parks and recreation 4,532,508
Contribution to City for infrastucture set-aside 919,757 Capital outlay 7,648,236
Debt service (See Note 13) 6,319,214
Total Expenditures 19,419,715
Excess (Deficiency) of Revenues
Over Expenditures (6,095,010)
Other Financing Uses
Issuance of Notes Payable (See Note 13) 6,839,779
Transfers out (160,234)
Total Other Financing Uses 6,679,545
Net Change in Fund Balance 584,535
Fund Balance - Beginning of Year 12,187,242
Fund Balance - End of Year $ 12,771,777
See Notes to Financial Statements.
20 CYPRESS RECREATION AND PARK DISTRICT

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES TO FUND BALANCE OF THE GOVERNMENTAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Net change in fund balance - total governmental fund $ 584,535 Amounts reported for governmental activities in the Statement of Activities are different because:

Governmental funds report capital outlays as expenditures. However, in the Statement of Activities, the costs of those assets is allocated over their estimated useful lives as depreciation expense. This is the amount by which capital outlays exceeded depreciation in the current period.

Capital outlay 7,648,236
Depreciation expense on capital assets is reported in the Government-Wide Statement of Activities, but it does not require the use of current finacial resources. Therefore, (686,339) depreciation expense is not reported as expenditures in the Governmental Fund. This amount does not include the depreciation expense for internal service funds in the amount of $48,679.

Internal service funds are used by management to charge the costs of certain activities such as insurance and fleet management, to individual funds. The change in net position of the internal service fund is reported with governmental activities. 51,042 Debt proceeds provide current financial resources to governmental funds, but issuing debt increases longǦterm liabilities in the Statement of Net Position, Payment of Notes Payable 6,319,214
Issuance of Notes Payable (6,839,779) (520,565)
Change in Net Position of Governmental Activities $ 7,076,909 See Notes to Financial Statements.
21 THIS PAGE INTENTIONALLY LEFT BLANK
22 35235,(7$5<)81'),1$1&,$/67$7(0(176
23 CYPRESS RECREATION AND PARK DISTRICT

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2022
Governmental
ActivitiesInternal
Service Funds
Assets
Current:

Cash and cash equivalents $ 2,000,946
Other receivables
Accounts 58,740
Prepaid costs 877
Net pension asset 103,379
Total Current Assets 2,163,942
Noncurrent:

Capital assets - net of accumulated depreciation 284,237 Total Noncurrent Assets 284,237
Total Assets 2,448,179
Deferred amounts from pension plans 1,545,417
Deferred amounts from OPEB 75,971
Total Deferred Outflows of Resources 1,621,388
Liabilities:

Current:

Accounts payable 3,507
Accrued compensated absences 30,000
Total Current Liabilities 33,507
Noncurrent:

Accrued compensated absences 90,130
Total OPEB liability 542,648
Net pension liability 1,783,019
Total Noncurrent Liabilities 2,415,797
Total Liabilities 2,449,304
Deferred Inflows of Resources:

Deferred amounts from pension plans 2,254,582
Deferred amounts from OPEB 124,954
Total Deferred Inflows of Resources 2,379,536
Net Position:

Net investment in capital assets 284,237
Unrestricted (1,043,510)
Total Net Position $ (759,273)
24 CYPRESS RECREATION AND PARK DISTRICT

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN NET POSITION

PROPRIETARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Governmental
ActivitiesInternal
Service Funds
Operating Revenues:

Charges for services $ 949,688
Total Operating Revenues 949,688
Operating Expenses:

Contractual services 785,650
Supplies and other services 253,657
Depreciation expense 48,679
Total Operating Expenses 1,087,986
Operating Income (Loss) (138,298)
Nonoperating Revenues (Expenses):

Intergovernmental 29,965
Gain (loss) on disposal of capital assets (859)
Total Nonoperating
Revenues (Expenses) 29,106
Income Before Transfers (109,192)
Transfers in 160,234
Changes in Net Position 51,042
Net Position:

Beginning of Year (810,315)
End of Fiscal Year $ (759,273)
25 CYPRESS RECREATION AND PARK DISTRICT

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
JUNE 30, 2022
Governmental
ActivitiesInternal
Service Funds
Cash Flows from Operating Activities:

Receipts from user departments $ 928,954
Payments to suppliers for goods and services (1,004,749) Net Cash Provided (Used) by Operating Activities (75,795) Cash Flows from Non-Capital
Financing Activities:

Cash transfers in 160,234
Intergovernmental 29,965
Net Cash Provided (Used) by
Non-Capital Financing Activities 190,199
Cash Flows from Capital
and Related Financing Activities:

Acquisition and construction of capital assets (49,261) Cash and Cash Equivalents at Beginning of Year 1,935,803 Cash and Cash Equivalents at End of Year $ 2,000,946
Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:

Operating income (loss) $ (138,298)
Adjustments to Reconcile Operating Income (loss)
Net Cash Provided (used) by Operating Activities:

Depreciation 48,679
(Increase) decrease in accounts receivable (20,416)
(Increase) decrease in prepaid expense 3,938
(Increase) decrease in deferred outflows amounts from OPEB 28,062 (Increase) decrease in deferred outflows amounts from pension plans 783,980 Increase (decrease) in accounts payable and accrued liabilities (145,722) Increase (decrease) in accrued leave payable (1,109)
Increase (decrease) in total OPEB liability (132,008)
Increase (decrease) in deferred inflows amounts from OPEB 77,970 Increase (decrease) in net pension liability (1,591,186) Increase (decrease) in deferred inflows amounts from pension plans 1,010,315 Total Adjustments 62,503
Net Cash Provided (Used) by
Operating Activities $ (75,795)
Non-Cash Investing, Capital, and Financing Activities:

Gain/(Loss) on disposition of capital assets $ (859)
Capital asset acquisitions in accounts payable -
26 127(672%$6,&),1$1&,$/67$7(0(176
27 THIS PAGE INTENTIONALLY LEFT BLANK
28 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies
a. Description of Reporting Entity
The Cypress Recreation and Park District (the "District") was formed in 1949 to provide park and recreational facilities for the area now known as the Cities of Cypress and La Palma and adjacent unincorporated areas plus small portions of the adjacent Cities of Los Alamitos, Buena Park and Anaheim. The District was under the control of the Orange County Board of Supervisors until 1971, when the Cities of Cypress and La Palma withdrew from the District. On June 29, 1971, the District was reestablished as a subsidiary district of the City of Cypress ("City"), effective July 1, 1971.

The Cypress Recreation and Community Services Foundation (the “Foundation”) was created in 2019 to support and enhance safe, attractive, and high quality recreation facilities, programs, and services in the City of Cypress. The Foundation is organized and operates under section 501(c)(3) of the Internal Revenue Code as a charitable organization. The members of the Cypress City Council act as the Board of Directors for the Foundation. The Foundation is managed by employees of the City and operates under the District, and the Foundation’s financial activities are included in the District’s basic financial statements. The City, District and Foundation all have a fiscal year-end of June 30.

The Governmental Accounting Standards Board ("GASB") defines the reporting entity as the primary government and those component units for which the primary government is, or has the potential to be, financially accountable. Financial accountability is defined as appointment of a voting majority of the component unit's Board and either (a) the primary government has the ability to impose its will or (b) the possibility that the component unit will provide a financial benefit to or impose a financial burden on the primary government.

Since the City Council of the City also serves as the Board of Directors of the District, the City, in effect, has the ability to influence and control operations. Therefore, the City has oversight responsibility for the District. Accordingly, in applying the criteria of GASB, the financial statements of the District are included in the City's Annual Comprehensive Financial Report. The District has the same fiscal year as the City. The Annual Comprehensive Financial Report of the City can be obtained from the Finance Department of the City.
b. Measurement Focus, Basis of Accounting and Basis of Presentation The accounts of the District are organized on the basis of funds, each of which is considered a separate accounting entity with its own self-balancing accounts that comprise its assets, deferred outflows of resources, liabilities, deferred inflows of resources, fund equity, revenues and expenditures or expenses. These funds are established for the purpose of carrying out specific activities or certain objectives in accordance with specific regulations, restrictions or limitations. Governmental resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled.

Government-Wide Financial Statements
The District's Government-Wide Financial Statements include a Statement of Net Position and a Statement of Activities. These statements present summaries of Governmental Activities for the District. Fiduciary Activities of the District are not included in these statements.
29 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies (Continued) The government-wide financial statements are presented on an "economic resources" measurement focus and the accrual basis of accounting. Accordingly, all of the District's assets, deferred outflows of resources, capital assets, long-term liabilities, and deferred inflows of resources, are included in the accompanying Statement of Net Position. The Statement of Activities presents changes in net position. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred.

Certain types of transactions reported as program revenues for the District are reported in two categories:

Charges for services
Operating grants and contributions
Certain eliminations have been made in regards to interfund activities, payables and receivables. All internal balances in the Statement of Net Position have been eliminated.

The following interfund activities have been eliminated:

Transfers in/out
Governmental Fund Financial Statements
Governmental fund financial statements include a Balance Sheet and a Statement of Revenues, Expenditures and Changes in Fund Balance. An accompanying schedule is presented to reconcile and explain the differences in fund balance as presented in these statements to the net position presented in the Government-Wide Financial Statements.

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

Revenues are recorded when received in cash, except that revenues subject to accrual (generally 60 days after year-end) are recognized when due. The primary revenue sources, which have been treated as susceptible to accrual by the District, are property taxes, grant revenues and earnings on investments. Expenditures are recorded in the accounting period in which the related liability is incurred.

The reconciliations of the Fund Financial Statements to the Government-Wide Financial Statements are provided to explain the differences created by the integrated approach of GASB Statement No. 34.

Proprietary Fund Financial Statements
Internal service funds are used to account for the financing of goods or services provided by one department of the District to other departments or agencies of the District on a cost-reimbursement basis. The District uses internal service funds for employees' benefits and central services (which includes print shop, information systems, phone and equipment maintenance, building and grounds maintenance, fleet maintenance, and for accumulating and expending monies for capital equipment acquisition and replacement). 30 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies (Continued) Proprietary funds are accounted for using the "economic resources" measurement focus and use the accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred. All proprietary funds are accounted for on a cost of services or "capital maintenance" measurement focus. This means that all assets, deferred outflows of resources, all liabilities, and deferred inflows of resources (whether current or noncurrent) associated with their activity are included on the statement of net position. Proprietary fund type operating statements present increases (revenues) and decreases (expenses) in net position.

Proprietary funds distinguish operating revenues and expenses from nonoperating items.

Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations.

The principal operating revenues of the internal service funds are charges to departments in the governmental funds of the District for services. Operating expenses for the internal service funds include the cost of services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses.

The District's internal service funds are presented in the proprietary fund financial statements. Because the principal users of the internal services are the District's governmental activities, the financial statements of the internal service funds are consolidated into the governmental column, within the recreation function, when presented in the government-wide financial statements.
c. New Accounting Pronouncements
GASB Current-
Year Standards
 GASB Statement No. 87, Leases
 GASB Statement No. 89, Accounting for Interest Cost Incurred before the End of a Construction Period.
 GASB Statement No. 97, Certain Component Unit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans.

Pending Accounting Pronouncements
GASB has issued the following statements which may impact the District’s financial reporting requirements in the future:
 GASB Statement No. 91, Conduit Debt Obligations
 GASB Statement No. 94, Public-Private and Public-Public Partnerships and Availability Payment Arrangement.
 GASB Statement No. 96, Subscription-Based Information Technology Arrangements.

Fiscal year 2024:
 GASB Statement No. 99, Omnibus 2022.
31 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies (Continued)  GASB Statement No. 100, Accounting Changes and Error Corrections.

Fiscal year 2025:
 GASB Statement No. 101, Compensated Absences
d. Capital Assets
Capital assets, which include land, machinery and equipment (vehicles, computers, etc.), and buildings and improvements, are reported in the Government-Wide Financial Statements. Capital assets are defined by the District as all land and buildings, vehicles, computers, and equipment with an initial individual cost of more than $1,000; and improvements with costs of more than $10,000 with a useful life of greater than one year.

Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated or annexed capital assets are recorded at estimated market value at the date of donation or annexation.

The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets lives are not capitalized. Depreciation is recorded in the Government-Wide Financial Statements on a straight-line basis over the estimated useful life of the assets as follows:

Building and improvements 10 to 40 years
Vehicles, computers, and equipment 3 to 10 years
e. Cash, Cash Equivalents, and Investments
The District's cash and investments are pooled with the City to maximize the yield.

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

Investments are reported in the accompanying balance sheet at fair value which is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Investments that are not traded on a market, such as investments in external pools, are valued based on the stated fair value represented by the external pool.

The City participates in an investment pool managed by the State of California titled Local Agency Investment Fund (LAIF), which has invested a portion of the pooled funds in Structured Notes and Asset-Backed Securities. The investment in LAIF is carried at fair value based on the value of each participating dollar as provided by LAIF.

For purposes of the statement of cash flows, all pooled cash and investments in the proprietary fund type are considered to be short-term and, accordingly, are classified as cash and cash equivalents.
32 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies (Continued) Certain disclosure requirements, if applicable, for Deposits and Investment Risks are provided in the following areas:
> Interest Rate Risk
> Credit Risk
- Overall
- Custodial Credit Risk
- Concentrations of Credit Risk
> Foreign Currency Risk
> Fair Value Measurements
In addition, other disclosures are specified including use of certain methods to present deposits and investments, highly sensitive investments, credit quality at year-end, and other disclosures.
f. Deferred Outflows/Inflows of Resources
In addition to assets, the Statement of Net Position and the Governmental Fund Balance Sheet will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net assets that applies to future periods and so will not be recognized as an outflow of resources (expense/ expenditure) until then. The District has the following items that qualify for reporting in this category:

Deferred outflow related to pensions or other post-employment benefits (OPEB) equal to employer contributions made after the measurement date, which are recognized as a reduction to the net pension liability or total OPEB liability, respectfully.

Deferred outflow related to pensions or OPEB are amortized over a closed period equal to the average of the expected remaining services lives of all employees that are provided with the pension and OPEB plans, except for deferred outflows relating to the net difference between projected and actual earnings on plan investments, which is amortized straight line over 5 years.

In addition to liabilities, the statement of net position and governmental fund balance sheet will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets that applies to future periods and will not be recognized as an inflow of resources (revenue) until that time. The District reported two items in this category.

The first item is a deferred inflow related to pensions. For CalPERS pensions, the deferred inflow is the result of differences in expected and actual experience, changes in actuarial assumptions, adjustments due to changes in proportions, and differences between employer’s contributions, the proportionate share of contributions, and differences between projected and actual earnings. The changes in projected and actual investment earnings are recognized over five years, beginning with the year in which they occur. The remaining items are amortized over a closed period equal to the average of the expected remaining service lives of all employees that are provided with pensions. For CalPERS pensions, the remaining service life as determined for the June 30, 2021 measurement date is 3.7 years. 33 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies (Continued) The deferred inflow related to the OCERS pension plan is the net difference between projected and actual earnings on pension plan investments, which will be recognized over a period of five years, beginning with the year in which they occur.

The second item is a deferred inflow related to other postemployment benefits. The deferred inflow is the result of changes in actuarial assumptions. This amount is amortized over a closed period equal to the average expected remaining active and inactive service lives as of the December 31, 2021 measurement date, which is 8.4 years. g. Net Position Flow Assumption
Sometimes the District will fund outlays for a particular purpose from both restricted (e.g., restricted grant proceeds or developer fees) and unrestricted resources. In order to calculate the amounts to report as restricted - net position and unrestricted - net position in the government-wide and proprietary fund financial statements, a flow assumption must be made about the order in which the resources are considered to be applied.

It is the District's practice to consider restricted - net position to have been depleted before unrestricted - net position is applied (if eligible).
h. Encumbrances
Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary integration in the General Fund.

Since unexpended and encumbered appropriations of the governmental funds automatically lapse at the end of the fiscal year, they are not included in reported expenditures and the authorization for expenditure must be re-established through inclusion in the subsequent year's appropriation.
i. Net Position
In the Government-Wide Financial Statements, net position may be classified in the following categories:

Net Investment in Capital Assets - This amount consists of capital assets net of accumulated depreciation.

Restricted Net Position - This amount is restricted by external creditors, grantors, contributors, laws or regulations of other governments.

Unrestricted Net Position - This amount is all net position that does not meet the definition of "investment in capital assets" or "restricted net position" as defined above. 34 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies (Continued) j. Fund Balances
In the Governmental Fund Financial Statements, fund balances are classified in the following categories:

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

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

Committed - Committed fund balances encompass the portion of net fund resources, the use of which is constrained by limitations that the government imposes upon itself at its highest level of decision making, normally the governing body through council resolutions, etc., and that remain binding unless removed in the same manner. The Board of Directors, comprised of the Cypress City Council members, is considered the highest authority for the District.

Assigned - Assigned fund balances encompass the portion of net fund resources reflecting the government's intended use of resources. Assignment of resources can be done by the highest level of decision making or by a committee or official designated for that purpose.

The City Council has authorized the Director of Finance for that purpose.

Unassigned - This category is for any balances that have no restrictions placed upon them. k. Spending Policy
Governmental Fund Financial Statements
When expenditures are incurred for purposes for which all restricted, committed, assigned, and unassigned fund balances are available, the District's policy is to apply in the following order, except for instances wherein an ordinance specifies the fund balance:
> Nonspendable
> Restricted
> Committed
> Assigned
> Unassigned
l. Pensions
For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the District's participation in the City's California Public Employees' Retirement System ("CalPERS") Miscellaneous plans ("Plans") 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 35 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Summary of Significant Accounting Policies (Continued) contributions) are recognized when due and payable in accordance with the benefit terms.

Investments are reported at fair value.

GASB 68 requires that the reported results must pertain to liability and asset information within certain defined timeframes. For this report, the following time frames are used:

Valuation Date: June 30, 2020
Measurement Date: June 30, 2021
Measurement Period: July 1, 2020 to June 30, 2021
m. Other Post-Employment Benefits (OPEB)
For purposes of measuring the total OPEB liability, deferred outflows of resources and deferred inflows of resources related to OPEB, and the OPEB expense have been determined by an independent actuary. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms.

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

Valuation Date June 30, 2021
Measurement Date June 30, 2022
Measurement Period July 1, 2021 to June 30, 2022
n. Use of Estimates
The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities. In addition, estimates affect the reported amount of expenses. Actual results could differ from these estimates and assumptions.

Note 2: Cash and Cash Equivalents
The District's cash and investments are pooled with the City. The District does not own specifically identifiable securities in the City's pool. Investment income earned on pooled cash and investments is allocated quarterly to the various funds based on the average cash balance in each fund. At June 30, 2022, the cash and investments balance of the District was as follows:

GovernmentWide Statement
of Net Position
Governmental Activities
Cash and cash equivalents 15,770,616 $
$ 15,770,616
36 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 2: Cash and Cash Equivalents (Continued)
Authorized Investments
Under provision of the City's annually adopted investment policy, and in accordance with Section 53601 of the California Government Code, the City may deposit and invest in the following:

Authorized Investment Type
Maximum
Maturity
Maximum
Percentage of
Portfolio
Maximum
Investment in
One Issuer
United States Treasury Bills and Notes 5 years None N/A Federal Agency Issues 5 years None None
Certificates of Deposit (or Time Deposits)
placed with commercial banks and/or
savings and loan companies 1 year 25% N/A
Bankers' Acceptances 180 days 25% 10%
Negotiable Certificates of Deposit 5 years 25% 10%
Commercial Paper 270 days 25% 10%
Local Agency Investment Fund None $75 million* N/A
Investment Trust of California (CalTRUST) None $50 million* N/A Money Market Mutual Funds None 20% 10%
Medium-term Notes 5 years 25% 10%
* Limit is per entity.

N/A - Not Applicable
Deposits and Risks
The California Government Code requires California banks and savings and loans associations to secure a City's deposit by pledging government securities with a value of 110% of a City's deposits, or by pledging first trust deed mortgage notes having a total value of 150% of the City's total deposits.

Interest Rate Risk - As a means of limiting its exposure to fair value losses arising from rising interest rates, the City's investment policy provides that final maturities of securities cannot exceed five years. At June 30, 2022, approximately 100% of the City's entire pooled cash and cash equivalents had a maturity of less than one year with an average life of the portfolio being slightly more than 3 days.

Credit Risk - State law limits investments in commercial paper and corporate bonds to the top two ratings issued by nationally recognized statistical rating organizations (NRSROs). It is the City's practice to limit its investments in these investment types to the top rating issued by NRSROs, including raters Standard & Poor's and Moody's Investors Service. The California Local Agency Investment Fund ("LAIF") is not rated, but has a separate investment policy governed by Government Code Sections 16480-16481.2 that provides credit standards for its investments.
37 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 2: Cash and Cash Equivalents (Continued)
External Investment Pool
The City is a voluntary participant in LAIF, which is an external investment pool regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California through which local governments may pool investments. The City and the District each may invest up to $75,000,000 in the fund. Investments in LAIF are considered highly liquid, as deposits can be converted to cash within 24 hours without loss of interest.

LAIF determines fair value on its investment portfolio based on market quotations for those securities where market quotations are readily available, and on amortized cost or best estimate for those securities where market value is not readily available.

The City values its investments in LAIF at a fair market value provided by LAIF. At June 30, 2022, the factor used was 0.987125414. The City's investment with LAIF includes a portion of pool funds invested in structured notes and asset-backed securities. At June 30, 2022, the City invested in LAIF, which had invested 1.88% of the pool's funds in structured notes and asset-backed securities.

The City also participates in 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 comprised of experienced local agency finance professionals, members of the governing body, or officers or personnel of public agency CalTrust members. TheCity reports its investment in CalTrust at the fair value amount provided by CalTrust, which is the same as the value of the pool shares. There is no legal minimum or maximum investment in CalTrust, however, the City has set a policy limit of $50,000,000.

Fair Value Measurements
The District categorizes its fair value measurement within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the relative inputs used to measure the fair value of the investments. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).

The District's investment in the City investment pool is not subject to the fair value hierarchy. 38 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 3: Capital Assets
The following is a summary of capital assets for governmental activities for the year ended June 30, 2022:

Balance at
June 30, 2021 Additions Deletions
Transfers of
CIP
Balance at
June 30, 2022
Capital assets, not being depreciated:

Land 9,201,564 $ - $ - $ - $ 9,201,564 $
Construction in progress 8,439,749 7,648,236 - (1, 14,374,816 713,169) Total Capital Assets Not
being Depreciated 17,641,313 7,648,236 - (1, 23,576,380 713,169) Capital assets, being depreciated:

Buildings and improvements 23,068,346 - - 1, 24,781,515 713,169 Internal Service - Equipment 737,921 49,261 33,810 - 753,372 Total Capital Assets,
being Depreciated 23,806,267 49,261 33,810 1, 25,534,887 713,169 Less accumulated depreciation for:

Buildings and improvements 10,732,527 686,339 - - 11,418,866 Internal Service - Equipment 453,407 48,679 32,951 - 469,135 Total Accumulated
Depreciation 11,185,934 735,018 32,951 - 11,888,001
Total Capital Assets,
Being Depreciated, Net 12,620,333 (685, 859 757) 1, 13,646,886 713,169 Capital Assets, Net 30,261,646 $ 6,962,479 $ 859 $ - $ 37,223,266 $ Depreciation expense for capital assets for the year ended June 30, 2022, is comprised of the following:

Governmental funds $ 686,339
Internal service funds 48,679
Total depreciation expense $ 735,018
Depreciation expense of $686,339 is allocated to recreation activities on the statement of activities.

Note 4: Property Taxes
Property taxes include assessments on both secured and unsecured property. Secured property taxes attach as an enforceable lien on property as of January 1. Taxes are levied on July 1 and are payable in two installments on December 10 and April 10. The County of Orange (the "County") bills and collects the property taxes and remits them to the District in installments during the year. District property tax revenues are recognized when levied to the extent that they result in current receivables, defined as being received within 60 days after year-end.

The County is permitted by State Law (Proposition 13) to levy taxes at 1% of full market value (at time of purchase) and can increase the property tax rate no more than 2% per year. The District receives a share of this basic levy proportionate to what it received in the 1976 to 1978 period, adjusted by state mandated transfers to the Educational Revenue Augmentation Fund in fiscal years 1992-93 and 1993-94.
39 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 5: Accrued Leave Payable
The Employees' Benefits Internal Service Fund pays accrued leave for all permanent employees. The accrued leave payable represents the estimated liability for all vacation, compensatory time, and 50% of the sick leave, as noted below, for all employees of the reporting entity. The Employees' Benefits Fund is reimbursed through payroll charges to other funds based on benefits earned during the fiscal year.

Accrued leave payable at June 30, 2022, consisted of $30,000 in short-term and $90,130 in long-term liabilities.

Permanent employees may accumulate sick leave with no limitation as to the number of hours of accumulation. However, the accumulation of vacation leave is generally limited to two times their annual accrual. Employees who are terminated for any reason are paid for 100% of their accumulated vacation pay. Employees, terminated for any reason, with 5 years or more of service and having 60 days or more of accumulated sick leave (equal to 480 hours) will be paid for 50% of their accumulated sick leave. Employees, terminated for any reason, with 5 years or more of service and having between 240 hours and 480 hours will be paid for 50% of their accumulated leave for their hours only in excess of 240 hours. All other terminated employees will not be paid for their accumulated sick leave.

Note 6: Interfund Transactions
Transfers In Transfers Out Amount
Internal Service Funds General Fund $ 160,234
The transfer to the Internal Service Fund provides resources for the initial purchase of capital outlay items in the Central Services Fund and for future pensions costs in the Employees’ Benefit Internal Service Fund.

Note 7: Net Position and Fund Balance
Government-Wide Financial Statements
At June 30, 2022, classifications of net position were as follows:

Net investment in capital assets $ 30,858,006
Restricted net position:

Open Space 1,697
Senior Center Enhancements 30,077
Youth League renovations 67,596
Facility & Service Enhancements 19,658
Total restricted net position 119,028
Unrestricted net position 11,609,239
Total Net Position $ 42,586,273
Restricted for Open Space – These restrictions represent funds received from developers for open space use.

Restricted for Senior Center Enhancements – These restrictions represent funds required for the use of improvements to the City Senior Center.
40 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 7: Net Position and Fund Balance (Continued)
Restricted for Youth League Renovations – This restriction represents amounts required to be used for future renovations of youth league facilities.

Restricted for Facility & Service Enhancements – This restriction represents funds donated to the Cypress Recreation and Community Services Foundation to support and enhance safe, attractive, and high quality recreation facilities, programs, and services within the City.

Fund Financial Statements
Classifications of fund balances are based largely upon the extent to which a government is bound to observe constraints imposed upon the use of the resources reported in governmental funds. The governmental fund statements fund balances are summarized as follows:

General
Fund
Nonspendable
Prepaid items 26,758 $
Inventory 159
Total nonspendable 26,917
Restricted
Open space 1,697
Senior center enhancements 30,077
Youth League renovations 67,596
Facility & Service Enhancements 19,658
Total restricted 119,028
Committed
Future capital improvements 2,200,000
Arnold Cypress Park rehabilitation 969,970
Other Park Improvements 50,240
Total restricted 3,220,210
Assigned
OCERS retirement (unfunded) 150,000
Cash flow 2,000,000
Art in public places 5,928
Infrastructure/Amenities 6,125,443
Contingency 1,000,000
Total assigned 9,281,371
Unassigned 124,251
Total Fund Balances 12,771,777 $
Net Investment in Capital Assets
Net Position invested in capital assets as of June 30, 2022 is as follows:

Total capital assets, net of depreciation $ 37,223,266
Less: capital related debt (6,365,260)
Total net investment in capital assets $ 30,858,006
41 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans
As of June 30, 2022, the District had the following net pension liabilities and related deferred inflows and outflows of resources:

Net Deferred Deferred
Pension Outflows Inflows
Liability/(Asset) of Resources of Resources
CalPERS Miscellaneous Plan $ 1,783,019 $ 574,557 $ 1,743,338 Orange County Employees Retirement System Plan (OCERS) (103,379) 970,860 511,244 Total $ 1,679,640 $ 1,545,417 $ 2,254,582
CalPERS
a. General Information about the Pension Plans
Plan Descriptions
The District participates in the City's Miscellaneous Employee Defined Benefit Pension Plans (the "Miscellaneous Plans") and the District's share of the net pension liability is reported as a cost-sharing plan in these financial statements.

All qualified permanent and probationary employees are eligible to participate in the City's 2% at 55 (Tier I) and 2% at 62 (PEPRA) Miscellaneous Employee Pension Plans, cost-sharing multiple employer defined benefit pension plans administered by the California Public Employees' Retirement System (CalPERS). Benefit provisions under the Plans are established by State statute and City resolution. CalPERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.

Benefits Provided
CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees or beneficiaries. Benefits are based on years of credited service, equal to one year of full-time employment. Members with five years of total service are eligible to retire at age 50 to 62 with statutorily reduced benefits. All members are eligible for nonindustrial disability benefits after 5 years of service. The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost of living adjustments for each plan are applied as specified by the Public Employees' Retirement Law.

The Miscellaneous Plans' provisions and benefits in effect at the June 30, 2022, reporting date, are summarized as follows:

Prior to On or After
Hire date January 1, 2013 January 1, 2013
Benefit formula 2.0% at 55 2.0% at 62
Benefit vesting schedule 5 years of service 5 years of service Benefit payments monthly for life monthly for life
Retirement age 50 - 63 52 - 67
Monthly benefits, as a % of eligible compensation 1.426% to 2.418% 1.000% - 2.500% Required employee contribution rates 6.910% 7.250%
Required employer contribution rates 11.180% 9.590%
Employer payment of unfunded liability $ 1,864,295 $ 7,153 Miscellaneous
42 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
Contributions
Section 20814(c) of the California Public Employees’ Retirement Law (PERL) requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate.

The total plan contributions are determined through CalPERS’ annual actuarial valuation process. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The employer is required to contribute the difference between the actuarially determined rate and the contribution rate of employees. Employer contribution rates may change if plan contracts are amended. b. Actuarial Methods and Assumptions Used to Determine Total Pension Liability For the measurement period ended June 30, 2021 (the measurement date), the total pension liability was determined by rolling forward the June 30, 2020 total pension liability.

The June 30, 2021 total pension liabilities were based on the following actuarial methods and assumptions:

Valuation date June 30, 2020
Measurement date June 30, 2021
Actuarial cost method Entry age normal
Actuarial assumptions:

Discount rate 7.15%
Inflation 2.50%
Payroll Growth 3.00%
Projected Salary Increase
Investment Rate of Return
Mortality rate table *
Varies by Entry Age and Service

7.15 Net of Pension Plan Investment and Administrative
Expenses; includes Inflation
Derived using CalPERS' membership data
for all funds
*The mortality table used was developed based on CalPERS-specific data. The table includes 15 years of mortality improvements using the Society of Actuaries Scale 90% of scale MP 2016. For more details on this table, please refer to the December 2017 experience study report (based on CalPERS demographic data from 1997 to 2015) that can be found on the CalPERS website.
c. Discount Rate
The discount rate used to measure the total pension liability was 7.15 percent. To determine whether the municipal bond rate should be used in the calculation of a discount rate for each plan, CalPERS stress tested plans that would most likely result in a discount rate that would be different from the actuarially assumed discount rate. Based on the testing, none of the tested plans run out of assets. Therefore, the current

7.15 percent discount rate is adequate, and the use of the municipal bond rate calculation is not necessary. The long-term expected discount rate of 7.15 percent is applied to all plans in the Public Employees Retirement Fund. The stress test results are presented in a detailed report called “GASB Crossover Testing Report” that can be obtained at CalPERS’ website under the GASB 68 section.
43 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
The long-term expected rate of return on pension plan investments was determined using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.

In determining the long-term expected rate of return, staff took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Such cash flows were developed assuming that both members and employers will make their required contributions on time and as scheduled in all future years. Using historical returns of all the funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the long-term (11-60 years) using a building-block approach. Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the single equivalent expected return that arrived at the same present value of benefits for cash flows as the one calculated using both short-term and long-term returns. The expected rate of return was then set equivalent to the single equivalent rate calculated above and rounded down to the nearest one quarter of one percent.

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

Asset Class
New Strategic
Allocation
Real Return
Years 1 - 10 (1)
Real Return
Years 11+ (2)
Global Equity 50.00% 4.80% 5.98%
Global Fixed Income 28.00% 1.00% 2.62%
Inflation Sensitive 0.00% 0.77% 1.81%
Private Equity 8.00% 6.30% 7.23%
Real Estate 13.00% 3.75% 4.96%
Liquidity 1.00% 0.00% -0.92%
(1) An expected inflation of 2.00% used for this period. (2) An expected inflation of 2.92% used for this period. d. Change of Assumptions
No changes of assumptions were noted.
e. Changes in the Net Pension Liability
The District is a portion of the City’s Miscellaneous Plan. See the City of Cypress Cost-Sharing Employer Miscellaneous Plan for changes in the net pension liability. 44 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
f. Sensitivity of the Net Pension Liability to Changes in the Discount Rate The following presents the net pension liability for the Plan as of the measurement date, calculated using the discount rate of 7.15 percent, as well as what the net pension liability would be if it were calculated using a discount rate that is 1 percentage-point lower (6.15 percent) or 1 percentage-point higher (8.15 percent) than the current rate:

Miscellaneous
1% Decrease 6.15%
Net Pension Liability 3, $ 426,205
Current Discount Rate 7.15%
Net Pension Liability 1, $ 783,019
1% Increase 8.15%
Net Pension Liability $ 424,621
g. Deferred Outflows and Deferred Inflows of Resources Related to Pensions For year ended June 30, 2022, the District incurred a pension expense of $638,546.

As of June 30, 2022, the following were the reported deferred outflows of resources and deferred inflows of resources related to pensions:

Deferred Deferred
Outflows Inflows
of Resources of Resources
Pension contributions subsequent to measurement date $ 329,495 $ - Differences between actual and expected experience 199,946 - District's proportionate share of contributions - (176,563) Net differences between projected and actual (1, - 556,480) Differences in Proportions 45,116 (10,295)
Total $ 574,557 $ (1,743,338)
The amount reported as deferred outflows of resources related to contributions subsequent to the measurement date, $329,495, will be recognized as a reduction of the net pension liability in the fiscal year ending June 30, 2023. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Year Ending
June 30, Amount
2023 $ (349,285)
2024 (350,382)
2025 (368,479)
2026 (430,130)
$ (1,498,276)
45 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
Terminated Orange County Employees Retirement System Defined Benefit Pension Plan (OCERS)
a. General Information about the Pension Plans
Plan Description: The Cypress Recreation and Park District (District) participated in the Orange County Employees’ Retirement System (OCERS), a cost-sharing multiple-employer defined benefit pension plan, for employees’ service prior to October 12, 2000.

OCERS was established in 1945, under the provisions of the County Employees Retirement Law of 1937. OCERS is governed by a ten-member Board of Retirement comprised of nine voting members and one alternate member. Board membership consists of four members appointed by the County of Orange Board of Supervisors and five members elected by the members of the pension system – two by the general members, two by the safety members (one voting and one alternate), and one by the retired members. The County of Orange Treasurer-Tax Collector, who is elected by the voters registered in the County, serves as an ex-officio member. The OCERS Board of Retirement is responsible for establishing policies governing the administration of the retirement plan, making disability determinations, assuring benefit payments, establishing investment policies, and monitoring execution of its policies.

OCERS issues a publicly available financial report that includes financial statements and required supplementary information for the cost-sharing plans administered by OCERS.

The report can be obtained online at www.ocers.org, or from its executive office at 2223 Wellington Avenue, Santa Ana, California 92701.

Benefits Provided: OCERS provides retirement, disability, and death benefits to safety and general members. Safety membership includes those members serving in active law enforcement, fire suppression, and probation officers. General membership applies to all other occupations, including all eligible District employees. Plan retirement benefits are tiered based upon date of OCERS membership. Members employed prior to September 21, 1979 are designated as Tier I members and will have their highest one-year average salary used to determine their retirement allowance. Tier II members, hired on or after September 21, 1979 will have their highest three-year average salary used to determine their retirement allowance. Member rate groups are determined by the employer, bargaining unit, and benefit plan. The benefit plan represents the benefits formula and tier that will be used in calculating a retirement benefit.

Employees Covered: The plan was closed to new members as of October 12, 2000. After that date, all existing and new District employees were enrolled in the CalPERS Miscellaneous Plan. At December 31, 2021, the following employees were covered by the benefit terms of the OCERS Plan:

Retired members or beneficiaries currently receiving benefits 22 Vested terminated members entitled to, but not yet receiving benefits 5 Active members -
27 46

CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
Contributions: The participating entities in OCERS share proportionately in all risks and costs, including benefit costs. The District’s discontinuance of the OCERS plan precludes the District from sharing the risks and costs of the plan in the same manner as actively participating entities, but the District remains liable for its share of pension liabilities. To ensure the District pays its fair share of the costs associated with its eligible employees, OCERS and the District entered into a Withdrawing Employer and Continuing Contribution Agreement (Agreement) on October 15, 2018.

Per the terms of the Agreement, the District paid OCERS $740,000 on October 16, 2018 to satisfy the estimated net pension liability as of December 31, 2016 and interest accrued on that liability through October 16, 2018. Beginning December 31, 2020 and at least every three years thereafter, OCERS will recalculate the then current unfunded actuarial accrued liability attributable to the District. For purposes of the recalculation, the District’s employees are treated as a closed group and the District’s assets and liabilities will be segregated from the remaining assets of the retirement system. Based on the recalculation, in the event there is any new pension liability, the District shall satisfy the obligation to OCERS within three years following the effective date of the recalculation, including accrued interest. If the recalculation determines there is a surplus attributable to the District, it shall remain with OCERS as a credit against future pension liabilities. b. Pension Liabilities, Pension Expenses, and Deferred Outflows/Inflows of Resources As of December 31, 2020, the District reported a net pension asset for the OCERS plan of $103,379. The net pension liability/(asset) was measured as of December 31, 2020, and 2019. The Plan’s Fiduciary Net Position (plan assets) was valued as of the measurement date while the Total Pension Liability (TPL) was determined based upon rolling forward the TPL from actuarial valuations as of December 31, 2021 and 2020, respectively.

The District’s net pension liability as of December 31, 2020 and 2021 was as follows:

OCERS
Net pension liability - December 31, 2020 185,117 $
Change - Increase (Decrease) $ (288,496)
Net pension asset - December 31, 2021 (103,379)
Actuarial Assumptions: The actuarial valuation was determined using the following actuarial assumptions:

Valuation Date December 31, 2020
Measurement Date December 31, 2021, rolled forward on an actuarial basis Actuarial Experience Study Three-year period ended December 31, 2019 and dated August 6, 2020.

Actuarial Cost Method Entry age normal
Actuarial Assumptions:

Inflation 2.75%
Salary increases General: 4.25% to 12.25%, varies by service, including inflation
Investment rate of return 7.00%, net of pension plan investment expense, including inflation.

Discount Rate 7.00%
47 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
Mortality Assumptions: The underlying mortality assumptions used in the actuarial valuation were based on the results of the actuarial experience study for the period January 1, 2017 through December 31, 2019 using the Pub-2010 General Health Retiree Amount-Weighted Above Median Table, projected generationally with the two-dimensional MP-2019 projections scale, with age adjustments, and adjusted separately for healthy and disabled members.

Discount Rate: The discount rate used to measure the TPL was 7.00% as of December 31, 2020 and 2019. The projection of cash flows used to determine the discount rate assumed plan member contributions will be made at the current contribution rate and employer contributions will be made at rates equal to the actuarially determined contribution rates. For this purpose, only employer contributions intended to fund benefits for current plan members and their beneficiaries are included. Projected employer contributions that are intended to fund the service costs for future plan members and their beneficiaries, as well as projected contributions from future plan members, are not included. Based on those assumptions, the Plan’s Fiduciary Net Position was projected to be available to make all projected future benefit payments for current plan members.

Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the TPL as of both December 31, 2020 and 2019.

Long-Term Expected Rate of Return: The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of inflation) are developed for each major asset class. These returns are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage, adding expected inflation and subtracting expected investment expenses and a risk margin. The target allocation and projected arithmetic real rates of return for each major asset class, after deducting inflation but before deducting investment expenses are shown in the following table. This information was used in the derivation of the long-term expected investment rate of return assumption for the December 31, 2020 and 2019 actuarial valuations. This information will change every three years based on the actuarial experience study.
48 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
Long-Term Expected
Target Arithmetic Real
Asset Class Allocation Rate of Return
Large Cap Equity 23.10% 5.43%
Small Cap Equity 1.90% 6.21%
International Developed Equity 13.00% 6.67%
Emerging Markets Equity 9.00% 8.58%
Core Bonds 9.00% 1.10%
High Yield Bonds 1.50% 2.91%
TIPS 2.00% 0.65%
Emerging Market Debt 2.00% 3.25%
Corporate Credit 1.00% 0.53%
Long Duration Fixed Income 2.50% 1.44%
Real Estate 3.01% 4.42%
Private Equity 13.00% 9.41%
Value Added Real Estate 3.01% 7.42%
Opportunistic Real Estate 0.98% 10.18%
Energy 2.00% 9.68%
Infrastructure (Core Private 1.50% 5.08%
Infrastructure (Non-Core Private) 1.50% 8.92%
CTA - Trend Following 2.50% 2.38%
Global Macro 2.50% 2.13%
Private Credit 2.50% 5.47%
Alternative Risk Premia 2.50% 2.50%
Total 100.00%
Sensitivity of the Net Pension Liability to Changes in the Discount Rate: The following presents the net pension liability of the OCERS plan, as well as what the net pension liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate:

Discount Rate
1% Decrease Current Rate 1% Increase

6.00% 7.00% 8.00%
$ ( 1,261,728 $ (1,216, 103,379) $ 068)
Net Pension Liability
Pension Plan Fiduciary Net Position: Detailed information about the pension plan’s fiduciary net position is available in the separately-issued OCERS financial reports. 49 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 8: Pension Plans (Continued)
c. Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions For the year ended June 30, 2022, the District recognized pension expense of ($105,942) in the OCERS Plan. At June 30, 2022, the District reported deferred outflows and deferred inflows of resources related to pensions as follows:

Deferred Outflows
of Resources
Deferred Inflows
of Resources
Differences between expected and actual experiences 947,260 $ - $ Changes of assumptions 23,600 (9,779)
Total $ (511,244) 970,860 $
Net difference between projected and actual earnings on plan investments - (501,465)
The amounts reported as deferred inflows, net of the remaining deferred outflows, will be recognized as pension expense as follows:

Year Ending
June 30, Amount
2023 681,559
2024 (116,015)
2025 (68,323)
2026 (45,355)
Thereafter 7,750
459,616$
d. Payable to the Pension Plan
At June 30, 2022, the City had no outstanding contributions to the pension plan required for the year ended June 30, 2022.

Note 9: Retirees’ Health Benefits
a. General Information about the OPEB Plan
Plan Description - The District provides medical benefits to eligible retirees through the CalPERS healthcare program (PEMHCA) as a part of the City's plan. The District pays the PEMHCA minimum amount ($146 per month in 2021 and $149 per month in 2022) for all eligible retirees who choose to continue with their coverage through PEMHCA. All eligible employees become participants in PEMHCA on their date of hire. A portion of the liability attributable to the District, based on the percent of payroll of District employees, has been recorded on the financial statements of the District.

All District employees are members of the City's Retiree Health Savings Plan (the "RHS") in which the District contributes monthly amounts on behalf of the employee to an account in the employee's name. These monthly contributions are $75 per month or $185 per month for full-time employees based on employee association.
50 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 9: Retirees’ Health Benefits (Continued)
As of June 30, 2022, the date of the most recent actuarial valuation, the District's plan has 12 active employees.

PEMHCA
Minimum RHS
Active Employees 13 13
Eligible Retiress - Enrolled 4 N/A
Eligible Retiress - Not Enrolled 0 N/A
Funding Policy - The contribution for PEMHCA are established and amended by CalPERS.

The District pays the monthly contribution for all employees and retirees. The contribution requirements for the supplemental post-employment health care plan are established and amended by the District. The required contribution is based on projected pay-as-you-go financing requirements. The contribution requirements for the RHS are established and amended by the District. The required contribution is based on pay-as-you-go financing requirements. The payments of the benefits are recognized as expenditures when the payments are made.
b. Total OPEB Liability
The District's Total OPEB Liability of $542,648 was based on an actuarial valuation as of June 30, 2022, a measurement date of June 30, 2022, and a discount rate of 3.54%. c. Actuarial Assumptions
The total OPEB liability was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified:

Actuarial Cost Method Entry Age, Level Percent of Pay
Amortization Valuation 20-year amortization (as a level percent of pay) Asset Valuation Method Market value
Inflation 2.50%
Payroll Growth 2.75%, average, including inflation
Discount rate
As of 6/30/22: 3.54%, net of investment expense, including inflation Healthcare cost-trend rates 4.00%
Retirement Age The District offers the same plans to its retirees as to its active employees, with the general exception that upon
reaching age 65 and becoming eligible for Medicare, the retiree must join one of the Medicare Supplement coverages offered under PEMHCA.
d. Discount Rate
GASB 75 requires a discount rate that reflects the following:
a) The long-term expected rate of return on OPEB plan investments – to the extent that the OPEB plan’s fiduciary net position (if any) is projected to be sufficient to make projected benefit payments and assets are expected to be invested using a strategy to achieve that return;
51 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 9: Retirees’ Health Benefits (Continued)
b) A yield or index rate for 20-year, tax-exempt general obligation municipal bonds with an average rating of AA/Aa or higher – to the extent that the conditions in (a) are not met. e. Changes in the Total OPEB Liability
The changes in the Total OPEB liability for the Plan are as follows:

Total OPEB
Liability
Balance at June 30, 2021* 642,966 $
Changes recognized for the measurement period:

Service Cost 24,962
Interest 13,791
Difference between expected and actual experience (14,251) Changes of assumptions (101,308)
Benefit payments, including implicit subsidy (23,512)
Net Changes (100,318)
Balance at June 30, 2022 542,648 $
*Due to the City’s actuary, the allocation for the District’s portion is changed each year. As a result of the new assumptions used in the current year valuation, the District’s liability was broken out from the city’s liability. In previous years, the District received a straight

7.5% allocation. Under the new assumptions, the beginning OPEB liability was changed to $642,966 from $674,656 or a $31,690 adjustment on the valuation report. f. Sensitivity of the Total OPEB Liability to Changes in the Discount Rate The following presents the net OPEB liability, as well as what the net OPEB liability would be if it were calculated using a discount rate that is 1-percentage point lower (1.16 percent) or 1-percentage-point higher (3.16 percent) than the current discount rate:

Discount Rate - 1%
(2.54%)
Current Discount Rate
(3.54%)
Discount Rate +1%
(4.54%)
Total OPEB Liability $ 614,341 $ 542,648 $ 493,082
g. Sensitivity of the Total OPEB Liability to Changes in the Health Care Cost Trend Rates
The following presents the total OPEB liability of the District if it were calculated using health care cost trend rates that are one percentage point lower (4.0% grading down to

3.0%) or one percentage point higher (4.0% grading up to 5.0%) than the current healthcare cost trend rates:
1% Decrease
Current Healthcare
Cost Trent Rates 1% Increase
(3.00%) (4.00%) (5.00%)
Total OPEB Liability 472,605 $ 542,648 $ 625,429 $
52 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 9: Retirees’ Health Benefits (Continued)
h. OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB For the fiscal year ended June 30, 2022, the District recognized OPEB expense/(revenue) of ($25,976). As of fiscal year ended June 30, 2022, the District reported deferred outflows of resources related to OPEB from the following sources:

Deferred Outflows
of Resources
Deferred Inflows
of Resources
Changes of assumptions 54,582 120,253
Total $ 124,954 75,971 $
Difference between expected and actual experiences 21,389 $ 4,701 $ Amounts reported as deferred outflows and deferred inflows of resources will be recognized in OPEB expense as follows:

Year ended
June 30:

Deferred Outflows of
Resources
Deferred Inflows of
Resources
Total Net
Amount
2023 23,348 $ (21,131) $ 2,217 $
2024 23,257 (18,282) 4,975
2025 18,760 (17,911) 849
2026 3,113 (16,344) (13,231)
2027 3,113 (16,344) (13,231)
Thereafter 4,380 (34,942) (30,562)
Total $ 75,971 $ (124,954) $ (48,983)
Note 10: Commitments and Contingencies
The District is a defendant in certain other legal actions arising in the normal course of operations. In the opinion of management and legal counsel, any liability resulting from these actions will not result in a material adverse effect on the District's financial position.

As of June 30, 2022, in the opinion of District management, there were no additional outstanding matters that would have a significant effect on the financial position of the funds of the District.

Note 11: Risk Management
At June 30, 2022, the District was covered under the City's Risk Management program. The City was self-insured for workers' compensation and general liability. The self-insured portion for workers' compensation and general liability is limited to the first $300,000 and $150,000 respectively, of liability per occurrence. Coverage in excess of these amounts is maintained in layers to a maximum of $42,000,000 for general liability and the statutory limit for workers compensation (of which $3,000,000 per occurrence is for each employee accident or disease) through the California Insurance Pool Authority (CIPA).

CIPA is a consortium of 13 cities in Southern California, established to pool resources, share risks, purchase excess insurance and to share costs for professional risk management and claims administration. Member agencies make payments based on underwriting estimates. 53 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 11: Risk Management (Continued)
Each agency may be assessed the difference between funds available and the $42,000,000 annual aggregate in proportion to their annual premiums.

The Governing Board is comprised of one member from each City and is responsible for the selection of management and for the budgeting and financial management of CIPA. No determination has been made as to each participant's proportionate share of the fund equity as of June 30, 2022. Upon termination of CIPA, and after settlement of all claims, any excess or deficit will be divided among the cities in proportion to the amount of their contributions.

Note 12: Deficit Net Position
The Employees' Benefits Internal Service Funds had a deficit of $1,746,221 as of June 30, 2022, due to the net pension liability associated with the District’s CalPERS pension plan and the retirees’ health liability (see further details at Note 9). The District has made all required annual contributions toward this long-term liability, and the City has committed to set-aside additional monies in the form of a trust to reduce or offset the liability. It is expected the deficit will be eliminated over the next several years as required payments to CalPERS increase.

Note 13: Long-term notes payable from the City of Cypress The District entered into two promissory notes with the City of Cypress to borrow up to $13.7 million for the design and construction of Lexington Park. Note repayment will use eligible park development fee revenues, with the majority of revenues available for repayment expected to be associated with the development of the Los Alamitos Race Course. The promissory notes provide that the District will pay annual interest to the City at the rate earned by the California Local Agency Investment Fund (LAIF).

The first note, to pay for preliminary design of the park, was issued on January 28, 2019 for a maximum amount of $900,000 with a due date of June 30, 2024. A total of $426,409 was loaned to the District for preliminary design costs and the note was repaid in full on February 14, 2022 using available park development receipts.

The second note, to pay for final design and construction costs, was issued on February 8, 2021 for a maximum amount of $12,800,000 with a due date of June 30, 2025. The initial repayment terms of the note is approximately five years, with the understanding the note will be renewed and repayment deferred until sufficient park development receipts are available.

Through June 30, 2022, a total of $12,258,065 has been loaned to the District for final design and construction costs. Two repayments against the note, totaling $5,892,805, were made to the City during the fiscal year ended June 30, 2022, using available park development fees received during the year. The outstanding balance on the note totaled $6,365,260 at June 30, 2022.

Balance at Balance at
June 30, 2021 Additions Deletions June 30, 2022
Preliminary Design 426,409 $ -$ $ 426,409 -$
Construction 5,418,286 6,839,779 5,892,805 6,365,260
Total: $ 5,844,695 $ 6,839,779 $ 6,319,214 $ 6,365,260

54 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2022
Note 13: Long-term notes payable from the City of Cypress (Continued) All interest has been paid through June 30, 2022. Additional proceeds not to exceed $1,441,935, which represents the remaining authorized limit on the note for final design and construction, are expected in the coming year. Future repayments will be determined based on the availability of park development revenues.

Note 14: Subsequent Events
Management has evaluated subsequent events through December 21, 2022, the date the financial statements were available for issuance. No events were identified that would require recognition or disclosure in the financial statements.
55 THIS PAGE INTENTIONALLY LEFT BLANK
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FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Variance with
Final BudgetBudget Amounts Positive
Original Final Actual (Negative)
Budgetary Fund Balance, July 1 $ 12,187,242 12,187,242 $ 12,187,242 $ $ - Revenues:

Taxes 6,192,000 6,192,000 6,222,355 30,355
From other agencies 72,000 72,000 53,076 (18,924)
Charges for services 862,255 862,255 6,831,409 5,969,154 Investment and rental income 370,410 370,410 190,760 (179,650) Other revenue - - 27,105 27,105
Total Revenues 7,496,665 8,603,554 13,324,705 4,721,151 Expenditures:

Current:

Recreation 5,610,468 5,658,651 4,532,508 1,126,143
Contribution to City for infrastructure 1,044,000 1,044,000 919,757 124,243 Capital outlay 3,612,500 11,595,372 7,648,236 3,947,136 Debt service (See Note 13) - - 6,319,214 (6,319,214)
Total Expenditures: 10,266,968 18,298,023 19,419,715 5,197,522 Excess of Revenues Over
(Under) Expenditures (2,770,303) (9,694,469) (6,095,010) 3,599,459 Other Financing Uses:

Issuance of Notes Payable (See Note 13) - - 6,839,779 6,839,779 Transfers out (255,718) (265,718) (160,234) 105,484
Total Other
Financing Uses (255,718) (265,718) 6,679,545 6,945,263
Net Change in
Fund Balance (3,026,021) (9,960,187) 584,535 10,544,722 Budgetary Fund Balance, June 30 $ 9,161,221 $ 2,227,055 $ 12,771,777 $ 10,544,722

BUDGETARY COMPARISON SCHEDULE

GENERAL FUND
See Notes to Required Supplementary Information.
67 CYPRESS RECREATION AND PARK DISTRICT

NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
FOR THE YEAR ENDED JUNE 30, 2022
Note 1: Budgets and Budgetary Accounting
Annual budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America for all governmental funds. The District follows the City procedures in establishing the budgetary data reflected in the financial statements: After January 1, department heads prepare estimates for required appropriations for the fiscal year commencing on the following July 1. The proposed budget includes estimated expenditures and forecasted revenues for the fiscal year. The data is presented to the City Manager for review. Prior to June 1, the City Manager submits to the City Council (acting as the ex-officio Board of Directors of the District) a proposed operating budget for the fiscal year commencing on the following July 1. The operating budget includes a summary of the proposed expenditures and financial resources of the District, as well as historical data for the preceding two fiscal periods. Prior year operating appropriations lapse unless they are re-appropriated through City Council approval. Encumbered appropriations from the previous year are not included in the adopted budget for the current year. Prior to July 1, the budget is legally enacted through passage of an adopting resolution.

The City Manager is authorized to transfer budgeted amounts within a department or activity and capital outlay may be transferred between accounts within a department. Transfers of appropriations between departments or activities and funds, and additional appropriations of fund balances, may be made only if authorized by the Board of Directors. Formal budgetary integration is employed as a management control device during the fiscal year for governmental fund types. The District maintains legally adopted budgets for all governmental funds. The budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America. Budgeted amounts presented are as originally adopted or as amended (if applicable) by the Board of Directors.

Note 2: Pension Required Supplementary Information
The pension liability is 13.46% of the City of Cypress Agent-Multiple Employer Plan. The schedule of change to the net pension liability and related ratios can be obtained in the comprehensive annual financial report of the City of Cypress. The Cypress Recreation and Park District has provided the contribution schedules which the District was actuarially required to contribute.

Note 3: Other Post-Employment Benefits Required Supplementary Information The other post-employment benefits obligation is combined with the benefits of the City of Cypress.
68 ,17(51$/6(59,&()81'6
69 CYPRESS RECREATION AND PARK DISTRICT

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
JUNE 30, 2022
Totals
Assets
Current Assets
Cash and cash equivalents $ 702,711 $ 1,298,235 $ 2,000,946 Other receivables
Accounts - 58,740 58,740
Prepaid costs - 877 877
Net pension asset - 103,379 103,379
Total Current Assets 702,711 1,461,231 2,163,942
Noncurrent Assets
Capital assets:

Depreciable, net 284,237 - 284,237
Total Noncurrent Assets 284,237 - 284,237
Total Assets 986,948 1,461,231 2,448,179
Deferred Outflows of Resources
Deferred amounts from pension plans - 1,545,417 1,545,417 Deferred amounts from OPEB - 75,971 75,971
Total Deferred Outflows of Resources - 1,621,388 1,621,388 Liabilities
Current Liabilities
Accounts payable and accrued liabilities - 3,507 3,507
Accrued compensated absences - 30,000 30,000
Total Current Liabilities - 33,507 33,507
Noncurrent Liabilities
Accrued compensated absences - 90,130 90,130
Total OPEB liability - 542,648 542,648
Net pension liability - 1,783,019 1,783,019
Total Noncurrent Liabilities - 2,415,797 2,415,797
Total Liabilities - 2,449,304 2,449,304
Deferred Inflows of Resources
Deferred amounts from pension plans - 2,254,582 2,254,582 Deferred amounts from OPEB - 124,954 124,954
Total Deferred Inflows of Resources - 2,379,536 2,379,536 Net Position
Net investment in capital assets 284,237 - 284,237
Unrestricted 702,711 (1,746,221) (1,043,510)
Total Net Position $ 986,948 $ (1,746,221) $ (759,273)
Central
Services
Employees'
Benefit
70 CYPRESS RECREATION AND PARK DISTRICT

COMBINING STATEMENT OF

REVENUES, EXPENSES AND CHANGES IN NET POSITION

INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2022
Totals
Operating Revenues
Charges for services $ 29,020 $ 920,668 $ 949,688
Total Operating Revenues 29,020 920,668 949,688
Operating Expenses
Contractual services 11,645 774,005 785,650
Supplies and other services - 253,657 253,657
Depreciation expense 48,679 - 48,679
Total Operating Expenses 60,324 1,027,662 1,087,986
Operating Income (31,304) (106,994) (138,298)
Nonoperating Revenues (Expenses)
Intergovernmental 29,965 - 29,965
Gain (loss) on disposal of capital assets (859) - (859) Total Nonoperating
Revenues (Expenses) 29,106 - 29,106
Income Before Transfers (2,198) (106,994) (109,192)
Transfers in 10,234 150,000 160,234
Changes in Net Position 8,036 43,006 51,042
Net Position at Beginning of Year 978,912 (1,789,227) (810,315) Net Position at End of Year $ 986,948 $ (1,746,221) $ (759,273) Central
Services
Employees'
Benefit
71 CYPRESS RECREATION AND PARK DISTRICT

COMBINING STATEMENT OF CASH FLOWS

INTERNAL SERVICE FUNDS
JUNE 30, 2022
Totals
Cash Flows from Operating Activities:

Receipts from user departments $ 899,934 29,020 $ $ 928,954 Payments to suppliers for goods and services (102,834) (901,915) (1,004,749) Net Cash Provided (Used) by Operating Activities (73,814) (1,981) (75,795) Cash Flows from Noncapital
Financing Activities:

Transfers in 10,234 150,000 160,234
Intergovernmental 29,965 - 29,965
Net Cash Provided (Used) by
Non-Capital Financing Activities 40,199 150,000 190,199 Cash Flows from Capital
and Related Financing Activities:

Acquisition of capital assets (49,261) - (49,261)
Net Cash Provided (Used) by
Capital and Related Financing Activities (49,261) - (49,261) Net Increase (Decrease) in Cash
and Cash Equivalents (82,876) 148,019 65,143
Cash and Cash Equivalents - Beginning of Year 785,587 1,150,216 1,935,803 Cash and Cash Equivalents - End of year $ 702,711 $ 1,298,235 $ 2,000,946 Reconciliation of Operating Income to Net Cash
Provided by Operating Activities:

Operating income (loss) $ (31,304) $ (106,994) $ (138,298) Adjustments to Reconcile Operating Income (loss)
Net Cash Provided (used) by Operating Activities:

Depreciation 48,679 - 48,679
(Increase) decrease in other receivables - (20,416) (20,416) (Increase) decrease in prepaid expense 4,256 (318) 3,938 (Increase) decrease in deferred outflows amounts from retiree health benefits - 28,062 28,062 (Increase) decrease in deferred outflows amounts from pension plans - 783,980 783,980 Increase (decrease) in accounts payable and acrrued liabilities (95,445) (50,277) (145,722) Increase (decrease) in accrued leave payable - (1,109) (1,109) Increase (decrease) in total retiree health benefits - (132,008) (132,008) Increase (decrease) in deferred inflows amounts from retiree health benefits - 77,970 77,970 Increase (decrease) in net pension liability - (1,591,186) (1,591,186) Increase (decrease) in deferred inflows amounts from pension plans - 1,010,315 1,010,315 Total Adjustments (42,510) 105,013 62,503
Net Cash Provided (Used) by Operating Activities $ (73,814) $ (1,981) $ (75,795) Non-Cash Investing, Capital, and Financing Activities:

Gain/(Loss) on disposition of capital assets (859) $ $ - $ (859) Central
Services
Employees'
Benefit
72 Lance, Soll & Lunghard, LLP 203N. BreaBlvd.,Suite 203 Brea,CA92821 Phone: 714.672.0022 INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL

OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE

WITH GOVERNMENT AUDITING STANDARDS
To the Board of Directors
Cypress Recreation and Park District
Cypress, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the major fund, and the aggregate remaining fund information of the Cypress Recreation and Park District (the District), as of and for the year ended June 30, 2022, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements, and have issued our report thereon dated December 21, 2022.

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

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

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified.

Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the District’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

To the Board of Directors
Cypress Recreation and Park District
Cypress, California
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the District’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the District’s internal control and compliance.

Accordingly, this communication is not suitable for any other purpose.

Brea, California
December 21, 2022
74 CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 14.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 01/23/2023
SUBJECT: Receive and File the Audit Letter to the City Council for the Fiscal Year Ended June 30, 2022

RECOMMENDATION
Receive and file the audit letter from Lance, Soll and Lunghard LLP to the City Council for the Fiscal Year ended June 30, 2022.

SUMMARY
The City's auditors have completed the annual audit and the results of the audit were favorable. In addition to receiving a "clean" audit opinion, the auditors did not encounter any items of concern which need to be reported to the City Council or management.

DISCUSSION
Audit Letter
Auditing standards require auditors to issue an audit letter to communicate any significant findings, disagreements with management, and difficulties performing the audit. This audit letter must be issued to the City Council even if no problems are identified.

The attached audit letter was issued by Lance, Soll and Lunghard LLP (LSL) in conjunction with its audit work performed on the City, including the Cypress Recreation and Park District, for the fiscal year ended June 30, 2022. Accompanying the audit letter is the City’s management representation letter which summarizes management’s responsibilities for providing the information necessary to conduct the audit and prepare the financial statements. LSL did not encounter any significant issues or other matters that need to be communicated to the City Council or management.

Audit Report on Internal Control Matters
Auditing standards also provide guidance to the auditors regarding how internal control-related matters should be communicated to management and the City Council.

During the annual audit, the auditors review and observe the City’s internal controls and During the annual audit, the auditors review and observe the City’s internal controls and operations to determine if there are any deficiencies. If any internal control related matters are noted, an audit report detailing these noted deficiencies must be provided to the City Council.

No deficiencies in the internal control structure, or any other matters deemed to be reportable to the governing board and management, were identified by LSL during the course of their audit. Therefore, no audit report was required to be issued for the fiscal year ended June 30, 2022.

BUDGET IMPACT
The audit letter and audit report on internal control matters (if required) are included as part of the cost of the annual audit and sufficient amounts have been included in the budget to pay for the audit.

LEGAL REVIEW
None required.

APPROVED BY:  Peter Grant, City Manager
Attachments
Audit Letter for the FYE June 30, 2022
Management Representation Letter for the FYE June 30, 2022

Lance, Soll & Lunghard, LLP 203N. BreaBlvd.,Suite 203 Brea,CA92821 Phone: 714.672.0022 December 21, 2022
To the Honorable Mayor and Members of the City Council
City of Cypress, California
We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Cypress, California (the City) for the year ended June 30, 2022. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance, as well as certain information related to the planned scope and timing of our audit.

We have communicated such information in our letter to you dated December 21, 2022. Professional standards also require that we communicate to you the following information related to our audit.

Significant Audit Matters
Qualitative Aspects of Significant Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the financial statements. The City adopted new accounting guidance, GASB Statement No. 87, Leases during the fiscal year 2021-2022. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.

Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the City’s financial statements (were):

Management’s estimates of its net pension liability and total other post-employment benefits (OPEB) liability are based on actuarial valuation specialist assumptions. We evaluated the key factors and assumptions used to develop the net pension liability and total OPEB liability in determining that they are reasonable in relation to the financial statements taken as a whole.

The financial statement disclosures are neutral, consistent, and clear.

Significant or Unusual Transactions
Management is responsible for the policies and practices used to account for significant or unusual transactions. No significant unusual transactions have occurred during fiscal year 2021-2022.

Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.

To the Honorable Mayor and Members of the City Council
City of Cypress, California
Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. We are pleased to report that no such misstatements were identified during the course of our audit.

Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor’s report. We are pleased to report that no such disagreements arose during the course of our audit.

Management Representations
We have requested certain representations from management that are included in the management representation letter dated December 21, 2022.

Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the City’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.

Other Audit Findings or Issues
We generally discuss a variety of matters, including the significant events or transactions that occurred during the year, business conditions affecting the City and business plans and strategies that may affect the risks of material misstatements, the application of accounting principles and auditing standards, with management each year prior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Other Matters
We applied certain limited procedures to the management’s discussion and analysis, the budgetary comparison schedules for the General Fund and major special revenue funds, and the required pension and other post-employment benefits schedules, as listed in the Annual Comprehensive Financial Report’s table of contents, which are required supplementary information (RSI) that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.

We were engaged to report on introductory and statistical sections, which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves.

To the Honorable Mayor and Members of the City Council
City of Cypress, California
We were not engaged to report on introductory and statistical sections, which accompany the financial statements but are not RSI. Such information has not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we do not express an opinion or provide any assurance on it.

The following new Governmental Accounting Standards Board (GASB) pronouncements were effective for fiscal year 2021-2022 audit:

GASB Statement No. 87, Leases.

GASB Statement No. 89, Accounting for Interest Cost Incurred before the End of a Construction Period.

GASB Statement No. 97, Certain Component Unit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans.

The following GASB pronouncements are effective in the following fiscal years’ audits and should be reviewed for proper implementation by management:

Fiscal year 2023
GASB Statement No. 91, Conduit Debt Obligations.

GASB Statement No. 94, Public-Private and Public-Public Partnerships and Availability Payment Arrangement.

GASB Statement No. 96, Subscription-Based Information Technology Arrangements.

Fiscal year 2024
GASB Statement No. 99, Omnibus 2022.

GASB Statement No. 100, Accounting Changes and Error Corrections.

Fiscal year 2025
GASB Statement No. 101, Compensated Absences.

Restriction on Use
This information is intended solely for the use of City Council and management of City of Cypress and is not intended to be, and should not be, used by anyone other than these specified parties.

Very truly yours,
Brea, California

CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 15.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 01/23/2023
SUBJECT: Receive and File the Audit Letter to the District Board for the Fiscal Year Ended June 30, 2022

RECOMMENDATION
Receive and file the Audit Letter from Lance, Soll and Lunghard LLP to the Cypress Recreation and Park District Board of Directors for the Fiscal Year ended June 30, 2022.

SUMMARY
The District's auditors have completed the annual audit and the results of the audit were favorable. In addition to receiving a "clean" audit opinion, the auditors did not encounter any items of concern which need to be reported to the Board of Directors or management.

DISCUSSION
Audit Letter
Auditing standards require auditors to issue an audit letter to communicate any significant findings, disagreements with management, and difficulties performing the audit. This audit letter is issued to the Board of Directors even if no problems are identified.

The attached audit letter was issued by Lance, Soll and Lunghard LLP (LSL) in conjunction with its audit work performed on the Cypress Recreation and Park District for the fiscal year ended June 30, 2022. Accompanying the audit letter is the District’s management representation letter which summarizes management’s responsibilities for providing the information necessary to conduct the audit and prepare the financial statements. LSL did not encounter any significant issues or other matters that need to be communicated to the Board of Directors or management.

Audit Report on Internal Control Matters
Auditing standards also provide guidance to the auditors regarding how internal control-related matters should be communicated to management and the Board of Directors.

During the annual audit, the auditors review and observe the District’s internal controls and During the annual audit, the auditors review and observe the District’s internal controls and operations to determine if there are any deficiencies. If any internal control related matters are noted, an audit report detailing these noted deficiencies would be provided to the Board of Directors.

No deficiencies in the internal control structure, or any other matters deemed to be reportable to the governing board and management, were identified by LSL during the course of their audit. Therefore, no audit report was required to be issued for the fiscal year ended June 30, 2022.

BUDGET IMPACT
The audit letter and audit report on internal control matters (if required) are included as part of the cost of the annual audit and sufficient amounts have been included in the District's budget to pay for the audit.

LEGAL REVIEW
None required.

APPROVED BY:  Peter Grant, City Manager
Attachments
CRPD Audit Letter for the FYE June 30, 2022
CRPD Management Representation Letter for the FYE June 30, 2022

Lance, Soll & Lunghard, LLP 203N. BreaBlvd.,Suite 203 Brea,CA92821 Phone: 714.672.0022 December 21, 2022
To the Board of Directors
Cypress Recreation and Park District
Cypress, California
We have audited the financial statements of the governmental activities, the major fund, and the aggregate remaining fund information of the Cypress Recreation and Park District (the District) for the year ended June 30, 2022. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards and Government Auditing Standards and the State Controller's Minimum Audit Standards for California Special Districts, as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our letter to you dated December 21, 2022. Professional standards also require that we communicate to you the following information related to our audit.

Significant Audit Matters
Qualitative Aspects of Significant Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the District are described in notes to the financial statements. No new accounting policies were adopted and the application of existing policies was not changed during fiscal year 2021-2022. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.

Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimate(s) affecting the City’s financial statements was (were):

Management’s estimates of its net pension liability and total other post-employment benefits (OPEB) liability are based on actuarial valuation specialist assumptions. We evaluated the key factors and assumptions used to develop the net pension liability, (net) OPEB liability in determining that they are reasonable in relation to the financial statements taken as a whole.

The financial statement disclosures are neutral, consistent, and clear.

Significant or Unusual Transactions
Management is responsible for the policies and practices used to account for significant or unusual transactions. No significant unusual transactions have occurred during fiscal year 2021-2022.

To the Board of Directors
Cypress Recreation and Park District
Cypress, California
Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.

Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. We are pleased to report that no such misstatements were identified during the course of our audit.

Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor’s report. We are pleased to report that no such disagreements arose during the course of our audit.

Management Representations
We have requested certain representations from management that are included in the management representation letter dated December 21, 2022.

Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the District’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.

Other Audit Findings or Issues
We generally discuss a variety of matters, including the significant events or transactions that occurred during the year, business conditions affecting the District and business plans and strategies that may affect the risks of material misstatements, the application of accounting principles and auditing standards, with management each year prior to retention as the District’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Other Matters
We applied certain limited procedures to management’s discussion and analysis, the budgetary comparison schedule for the General Fund and the required pension and other post-employment benefits schedules, which are required supplementary information (RSI) that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.

To the Board of Directors
Cypress Recreation and Park District
Cypress, California
We were engaged to report on combining statements which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves.

The following new Governmental Accounting Standards Board (GASB) pronouncements were effective for fiscal year 2021-2022 audit:

GASB Statement No. 87, Leases.

GASB Statement No. 89, Accounting for Interest Cost Incurred before the End of a Construction Period.

GASB Statement No. 97, Certain Component Unit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans.

The following GASB pronouncements are effective in the following fiscal years’ audits and should be reviewed for proper implementation by management:

Fiscal year 2023
GASB Statement No. 91, Conduit Debt Obligations.

GASB Statement No. 94, Public-Private and Public-Public Partnerships and Availability Payment Arrangement.

GASB Statement No. 96, Subscription-Based Information Technology Arrangements.

Fiscal year 2024
GASB Statement No. 99, Omnibus 2022.

GASB Statement No. 100, Accounting Changes and Error Corrections.

Fiscal year 2025
GASB Statement No. 101, Compensated Absences.

Restriction on Use
This information is intended solely for the use of the Board of Directors and management of District and is not intended to be, and should not be, used by anyone other than these specified parties.

Very truly yours,
Brea, California

CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 16.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 01/23/2023
SUBJECT: Receive and File the Investment Report for the Month Ended December 31, 2022

RECOMMENDATION
Receive and file the attached investment reports.

DISCUSSION
California Government Code Section 53607 and Cypress Municipal Code Section 2-18(f) requires the submission of a monthly investment report to the City Council. As of December 31, 2022, the City had $188.7 million (current market value) in cash and investments and the interest return (yield) on the public funds investments was 2.17%. As required by the Government Code, all investments are in conformity with the City's investment policy and sufficient cash flows are available to meet the next six months of estimated expenditures.

The attached Summary of Cash and Investments presents the investments held by the City of Cypress as of December 31, 2022. The Investment Reports consist of the following five summaries:

1. Summary of Cash and Investments - Provides the total portfolio of the City.

Changes in Cash and Investments - Provides a two-month cash flow analysis by fund type. These separate fund types allow for restricted monies to be segregated and tracked separately. The total ending amount agrees to the current market value shown in the Summary of Cash and Investments.

2. Investments at Market Value by Maturity Date - Provides a list of investments by maturity date, and an indication of the liquidity (ability to turn into cash) of the investments. The California Government Code restricts the type of investments eligible for public funds. The City’s Investment Policy further defines permitted investments.

These restrictions in investment types and the terms of allowable investments result in limited yields on City investments.

3. Interfund Investments - Shows the amount of loans between City funds. There is a loan outstanding from the Infrastructure Reserve Fund to the Cypress Recreation and Park District General Fund related to the construction of Lexington Park.

4. 5. Summary of Cash and Investments Held In Trust - Shows the investments held in trust Summary of Cash and Investments Held In Trust - Shows the investments held in trust by the Public Agency Retirement Services (PARS) for offsetting unfunded pension liabilities. The pension trust amounts can only be used for future pension obligations.

The legal restrictions on the allowable investment types are less restrictive than those in the City's portfolio, which provides the potential for higher yields to be earned on investments held in the pension trust.

5. As mentioned previously, the City had $188.7 million (current market value) in cash and investments at December 31, 2022. The investments included Federal Agencies and US Treasuries Debt ($37.5 million and $8.8 million, respectively) and Investment Pools ($133.9). The City's bank accounts held $8.5 million on December 31, 2022.

The majority of the investment portfolio is with the State Investment Pool (Local Agency Investment Fund or LAIF) in which the State’s investment experts provide a diversified investment pool for local agencies to invest. By using the combined size of the participating cities and agencies, the State Pool can provide better yield, liquidity and investment knowledge than otherwise would be available to a single entity. The City has also invested in CalTRUST, which is a joint powers authority (JPA) investment pool option for public agencies.

The amount of cash in the City’s checking accounts fluctuates based on the maturity of investments, daily cash receipts, and when vendors and employees are paid. The daily balances maintained in the checking accounts provide credits which offset monthly bank charges. In addition to the Federal Depository Insurance Corporation (FDIC) which insures the first $250,000, excess checking deposits are secured by banks, government, or mortgage securities valued between 110% and 150% of the deposits.

BUDGET IMPACT
None.

LEGAL REVIEW
None required.

APPROVED BY:  Peter Grant, City Manager
Attachments
Investment Report for the Month Ended December 31, 2022 Summary of Cash and Investments
As of December 31, 2022
Type Description
Investment
Date Maturity Date
Interest
Rate Carrying Value
Current Market
Value (2)
(1) Ckg General Operating Account Bank of the West 1/1/2023 - $ 8,454,318.02 $ 8,454,318.02 Pool Local Agency Investment Fund State Treasurer 1/1/2023 2.007 58,000,000.00 56,884,135.80 Pool Local Agency Investment Fund State Treasurer 1/1/2023 2.007 57,000,000.00 55,903,374.83 Pool CalTRUST Short Term Fund CSAC Finance 1/1/2023 3.120 1,094.99 1,094.99 Pool CalTRUST Medium Term Fund CSAC Finance 1/1/2023 2.520 21,134,451.31 21,134,451.31 FFCB Federal Farm Credit Bank Bank of the West 10/27/2022 10/17/2024 4.620 5,000,000.00 4,977,450.00 FFCB Federal Farm Credit Bank Bank of the West 3/22/2021 3/17/2025 0.700 4,000,000.00 3,677,080.00 FHLB Federal Home Loan Bank Bank of the West 5/27/2021 2/27/2025 0.660 3,000,000.00 2,754,510.00 FHLB Federal Home Loan Bank Bank of the West 4/28/2022 4/19/2024 2.150 3,000,000.00 2,927,010.00 FHLB Federal Home Loan Bank Bank of the West 5/9/2022 11/9/2023 1.750 5,000,000.00 4,915,150.00 FHLB Federal Home Loan Bank Bank of the West 5/16/2022 2/16/2024 2.650 4,500,000.00 4,380,615.00 FHLMC Freddie Mac Bank of the West 7/28/2022 12/30/2024 3.350 4,000,000.00 3,916,440.00 FHLMC Freddie Mac Bank of the West 9/21/2022 3/31/2025 4.320 5,000,000.00 4,952,350.00 FHLMC Freddie Mac Bank of the West 9/30/2022 9/30/2025 4.750 5,000,000.00 4,969,500.00 TSY US Treasury Bill Bank of the West 4/28/2022 6/30/2023 1.375 4,984,385.95 4,921,093.75 TSY US Treasury Bill Bank of the West 7/28/2022 2/15/2024 2.750 3,987,896.83 3,914,360.00 Ckg Worker's Comp Account Bank of the West 1/1/2023 - 50,000.00 50,000.00 Ckg Liability Account California Bank & Trust 1/1/2023 - 8,500.00 8,500.00

$ 192,120,647.10 $ 188,741,433.70
Average Weighted Yield to Maturity: 2.17%
Average Weighted Days to Maturity: 148.09
(1) Negative cash balance (if any) shown due to checks being issued at month end, transfer to cover checks not made until early in the following month. (2) Current market value of securities with maturities in excess of 12 months (if any) are provided by third-party safekeeping agents.

I certify that this report reflects all Government Agency pooled investments and is in conformity with the Investment Policy of the City of Cypress. A copy of this Investment Policy is available at the Office of the Finance Director.

The Investment Program herein shown provides sufficient cash flow liquidity to meet six months estimated expenditures.

Signed: ________________________________
Finance Director
City of Cypress
Bank/Agent
10/31/2022 +RECEIPTS (DISBURSEMENTS) 11/30/2022 +RECEIPTS (DISBURSEMENTS) 12/31/2022

GENERAL
111/114 GENERAL FUND/GENERAL FUND-GRANTS $ 24,139,457 $ 3,166,538 $ (2,659,150) $ 24,646,845 $ 5,562,089 $ (3,903,170) $ 26,305,764

SPECIAL REVENUE
115 PANDEMIC RELIEF 6,276 - - 6,276 - - 6,276
212 CRPD-GENERAL FUND 12,325,221 868,860 (402,934) 12,791,147 2,830,784 (735,424) 14,886,507 213 CRPD-PARK DEVELOPMENT 1,434,213 - - 1,434,213 - - 1,434,213 221 TRAFFIC SAFETY 25,411 4,979 - 30,390 - (11,979) 18,411 230 STREETS 6,868,779 409,919 (48,552) 7,230,146 196,838 (88,981) 7,338,003 251 LIGHTING DISTRICT #2 5,197,242 179,141 (84,586) 5,291,797 631,972 (85,715) 5,838,054 261 STORM DRAIN 1,470,203 37,462 (23,507) 1,484,158 34,327 (82,384) 1,436,101 262 PLANNED LOCAL DRAINAGE FACILITY 1,053,675 - - 1,053,675 - - 1,053,675 271 CORP CNTR MAINT DISTRICT #1 146,878 - (5,969) 140,909 39,853 (3,968) 176,794 280 ASSET SEIZURE 1,132,516 47,512 (6,465) 1,173,563 58,984 (8,360) 1,224,187 291 CABLE TV FRANCHISE AGREEMENT 705,125 17,583 - 722,708 - - 722,708 301 SUPPLEMENTAL LAW ENFORCEMENT 40,298 28,148 (10,780) 57,666 22,578 (11,367) 68,877 321 SEWER FUND 7,047,421 148,525 (333,972) 6,861,974 219,010 (64,757) 7,016,227 471 LOW AND MODERATE HSG ASSET 39,191 1,000 (5,342) 34,849 955 (5,440) 30,364

CAPITAL PROJECTS
415 CITY CAPITAL PROJECTS 18,290,903 - (56,278) 18,234,625 50,000 (63,913) 18,220,712 416 INFRASTRUCTURE RESERVE 67,893,858 - (10,710) 67,883,148 - - 67,883,148

TRUST AND AGENCY
462 SUCCESSOR AGENCY TO RDA 666,094 - - 666,094 2,529 (668,624) (0) 600 TRUST AND AGENCY 1,417,020 28,346 (94,490) 1,350,876 51,901 (23,069) 1,379,708 611 BUSINESS ASSESSMENT DISTRICT 5,799 - - 5,799 - - 5,799 612 CFD #1 ASSESSMENT DISTRICT 153,575 - - 153,575 - - 153,575 620 REC & COMM SERVICES FOUNDATION 23,227 500 (815) 22,912 160 (1,901) 21,171

INTERNAL SERVICE
710 CENTRAL SERVICES 3,579,652 222,199 (206,329) 3,595,522 226,162 (196,120) 3,625,564 720 CAPITAL REPLACEMENT 15,535,323 64,858 (28,729) 15,571,452 64,858 (4,534) 15,631,776 730 TECHNOLOGY IMPROVEMENT 2,289,081 - - 2,289,081 - - 2,289,081 750 EMPLOYEE BENEFITS 2,143,151 1,201,658 (706,817) 2,637,992 1,798,750 (1,740,844) 2,695,898 760 LIABILITY SELF INSURANCE 2,913,536 51,128 (400) 2,964,264 51,128 - 3,015,392 770 WORKERS COMP SELF INSURANCE 2,251,574 56,638 (90,769) 2,217,443 98,130 (78,012) 2,237,561 OTHER
811/812 WESTCOMM JPA 4,578,658 70,142 (310,976) 4,337,824 105,365 (417,301) 4,025,888 $ 6,605,136 183,373,357 $ (5,087,570) $ 184,890,923 $ 12,063,093 $ (8,212,582) $ 188,741,434 $ City of Cypress
Changes in Cash/Investments
City of Cypress

INVESTMENTS AT MARKET VALUE BY MATURITY DATE
As of December 31, 2022
1 day 181 days 1 year 2 years 3 years 4 years
to to to to to to
Investments 180 days 1 year 2 years 3 years 4 years 5 years 5+ years Totals Percent CASH $ - 8,512,818 $ - $ - $ - $ - $ - $ 8,512,818 $ 4.51% FFCB - - 4,977,450 3,677,080 - - - 8,654,530 4.59%
FHLB 4,915,150 - 7,307,625 2,754,510 - - - 14,977,285 7.94% FREDDIE MAC - - 3,916,440 9,921,850 - - - 13,838,290 7.33% JPA POOL 21,135,546 - - - - - - 21,135,546 11.20%
STATE POOL 112,787,511 - - - - - - 112,787,511 59.76%
TSY 4,921,094 3,914,360 - - - - - 8,835,454 4.68%
Totals $ 9,836,244 142,435,875 $ 20,115,875 $ 16,353,440 $ - $ - $ - $ 188,741,434 $ 100.00% Percent 75.47% 5.21% 10.66% 8.66% 0.00% 0.00% 0.00% 100.00% Note
Issue Maturity Interest Authorized Principal
Note No. To From Date Date Rate Amount Outstanding
2 CRPD City 02/08/21 06/30/25 LAIF 12,800,000 $ 6,375,970 $ Total Interfund Investments 6,375,970 $
up to $12.8 million for the construction of Lexington Park. Repayment by the Cypress Recreation and Park District will be made from future park development fees. Advances to date total $12,268,775, and two payments totaling $5,892,805 were made against the note in 2022.

CITY OF CYPRESS

INTERFUND INVESTMENTS
As of December 31, 2022
Note Outstanding
The City Infrastructure Reserve Fund issued a promissory note to the Cypress Recreation and Park District General Fund to pay Fund Type Issuer
Maturity
Date
One Year
Return * Cost Amount
Current Market
Value
PARS Public Agencies Post-Employment Benefits Trust
Trustee: Public Agency Retirement Services (PARS)
Section 115 Trust Pension Trust Various Open -13.68% 18,790,000.00 $ 20,033,379.92 $ Total $ 18,790,000.00 $ 20,033,379.92
* 12-month period ending with the current month.

City of Cypress
Summary of Cash and Investments Held In Trust
As of December 31, 2022
CITY OF CYPRESS
CITY COUNCIL REPORT
City Council Regular 17.

FROM: Matt Burton, Director of Finance and Administrative Services DATE: 01/23/2023
SUBJECT: Approve Register of Warrants, Transfers, and Wires Issued for the Period of December 24, 2022 through January 6, 2023

RECOMMENDATION
Approve the attached payment register summarized below for the period of December 24, 2022 through January 6, 2023:

Electronic Funds Transfers 12468 through 12517
Warrants 61452 through 61508
Payroll Transfers W1492

DISCUSSION
Payments to vendors for goods and services received and/or rendered are initiated and approved by the requesting department in accordance with proper purchasing guidelines.

Processing of these payments occurs centrally in the City's Finance Department with payments issued bi-weekly. A register listing of these payments is then presented to the City Council for approval. This register also includes any Electronic Funds Transfers (EFT), outgoing payroll transfers or wires issued since the previous register was presented to the City Council. Voided Payments (if any) are also identified.

All payments are processed on the City's financial management software system. This system generates a payment batch register, sorted by warrant number (or EFT/Wire number), and presents the invoice amount and a description of the payment issued.

BUDGET IMPACT
Total warrants, transfers, and wires issued (net of any voided payments) during the period of December 24, 2022 through January 6, 2023 are $1,415,428.16.

LEGAL REVIEW
None required.

APPROVED BY:  Peter Grant, City Manager
Attachments
Payment Register for the Period 12-24-22 through 01-06-23 EFT/ Warrant
Number Vendor Payment Amount Description Invoice Invoice Amount 12468 2170 - US BANK $ 323.25
2022 Employee Service Awards(2) 11/22 2873 12/12/22 $ 323.25 12469 2170 - US BANK $ 315.04
2022 Employee Service Awards(4) 11/22 2873(A) 12/12/22 $ 315.04 12470 2170 - US BANK $ 193.93
2022 Employee Service Awards(2) 11/23 2873(B) 12/12/22 $ 193.93 12471 2170 - US BANK $ 53.86
2022 Employee Service Awards(1) 11/23 2873(C) 12/12/22 $ 53.86 12472 2170 - US BANK $ 236.71
2022 Employee Service Awards(2) 11/23 2873(D) 12/12/22 $ 236.71 12473 2170 - US BANK $ 161.57
2022 Employee Service Awards(1) 11/23 2873(E) 12/12/22 $ 161.57 12474 2170 - US BANK $ 140.07
2022 Employee Service Awards(1) 11/26 2873(F) 12/12/22 $ 140.07 12475 2170 - US BANK $ 172.39
2022 Employee Service Awards(1) 11/26 2873(G) 12/12/22 $ 172.39 12476 2170 - US BANK $ 430.99
2022 Employee Service Awards(1) 11/30 2873(H) 12/12/22 $ 430.99 12477 2170 - US BANK $ 68.64
2022 Employee Service Awards(1) 12/1 2873(I) 12/12/22 $ 68.64 12478 2170 - US BANK $ 118.47
2022 Employee Service Awards(1) 12/2 2873(J) 12/12/22 $ 118.47 12479 2170 - US BANK $ 250.00
Dues/OC Human Resources Consortium/HR 2023 2873(K) 12/12/22 $ 250.00 12480 120801 - ICMA RETIREMENT TRUST - RHS $ 10,908.75
Monthly Retiree Health Savings 12/22 12/22 $ 10,908.75
12481 116005 - PERS/PUBLIC EMPLOYEES RETIREMENT SYS $ - Void/Med Insurance/City & Dist 1/23 17029891 $ -
12482 116005 - PERS/PUBLIC EMPLOYEES RETIREMENT SYS $ 14,867.31 Med Insurance/West Comm 1/23 17030001 $ 14,867.31
12483 2170 - US BANK $ 183.13
W2 Tax Forms/Envlps(300)/1099 Tax Forms(200)/Envlps(300) 12/12 3071 12/12/22 $ 183.13 12484 2170 - US BANK $ 485.00
Reg/Government Finance Officers Assoc Conference/DM 5/21-5/24 3071(A) 12/12/22 $ 485.00 12485 116005 - PERS/PUBLIC EMPLOYEES RETIREMENT SYS $ 154,216.65 Med Insurance/City & Dist 1/23 Reissue 12/22/22 $ 154,216.65 12486 145 - AUSTIN, CHERYL $ 56.52
W/C Retiree Health Care Benefits 1/23 1/23 $ 56.52
12487 128744 - AYRES, RICHARD $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12488 102038 - BALDWIN, DARRELL $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12489 102087 - BISH, EDWARD $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
City of Cypress
Payment Register
12/24/22-01/06/23

EFT/ Warrant
Number Vendor Payment Amount Description Invoice Invoice Amount City of Cypress
Payment Register
12/24/22-01/06/23
12490 100101 - BRUCE, THOMAS M $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12491 129695 - COTE, ROBERT $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12492 128938 - COX, RODNEY $ 56.87
Retiree Health Care Benefits 1/23 1/23 $ 56.87
12493 104003 - ESSEX, CLARE $ 433.92
Retiree Health Care Benefits 1/23 1/23 $ 433.92
12494 128044 - FORNISS, DANIEL $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12495 129816 - FOSTER, SCOTT $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12496 112129 - HERNANDEZ, ALEX $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12497 100667 - LASSALLE, ISMAEL $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12498 123656 - MANUEL, DEAN $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12499 129700 - MCSHANE, CHRIS $ 232.96
Retiree Health Care Benefits 1/23 1/23 $ 232.96
12500 128832 - MORALES, PAULO $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12501 122 - MORROW, RICHARD L $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12502 129608 - OLSON, JAMES $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12503 128784 - RAMSEY, KENNETH $ 125.00
Retiree Health Care Benefits 1/23 1/23 $ 125.00
12504 119027 - RAMSEY, STEVE $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12505 196 - SOIFER, DAVID $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12506 180 - SWIFT, JEFF $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12507 1024 - VALLEY VISTA SERVICES, INC $ 221,883.23
Waste Disposal Fee 11/22 11/22 $ 221,883.23
12508 127 - VENESKI, PATRICK $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12509 105121 - VIGIL, FELIX $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12510 129666 - WALQUIST, BRIAN $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12511 40 - WARLAND INVESTMENTS COMPANY $ 37,500.00
Development Assistance 1/23 1/23 $ 37,500.00

EFT/ Warrant
Number Vendor Payment Amount Description Invoice Invoice Amount City of Cypress
Payment Register
12/24/22-01/06/23
12512 122756 - WINTERSOLE, MICHAEL $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12513 112204 - WONG, JEFFREY $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12514 342 - WU, ALEX $ 300.00
Retiree Health Care Benefits 1/23 1/23 $ 300.00
12515 1480 - ARCO BUSINESS SOLUTIONS $ 15,011.86
Fuel/Police 12/3-1/2 NP63609856(B) $ 15,011.86
12516 1480 - ARCO BUSINESS SOLUTIONS $ 1,983.74
Fuel/Maint 12/3-1/2 NP63609856(A) $ 1,983.74
12517 1480 - ARCO BUSINESS SOLUTIONS $ 24.77
Fuel/Engineering 12/3-1/2 NP63609856 $ 24.77
61452 122455 - ALL AMERICAN SIGN CO, INC $ 75.69
Update Banner(1)/Holiday Sing 12/6 53287 $ 75.69
61453 110860 - AT&T $ 2,549.61
Cell Svc/Maint 12/22 12/22(C) $ 51.05
Cell Svc/PD 12/22 12/22(A) $ 231.52
Maint Wireless Aircard 12/22 12/22(D) $ 86.46
PD Svc/Mobile Data 12/22 12/22(E) $ 2,094.12
Svc/Planning iPads 12/22 12/22(B) $ 86.46
61454 110860 - AT&T $ 26.65
9391033696-PD Phone Svc 12/22 12/22(F) $ 26.65
61455 235 - AYSO REGION 154 CYPRESS $ 11,787.45
Reimb/Replacement/Light Pole Lamps(64)/Lexington Jr High 10/23 Reimb 1/6/23 $ 11,787.45 61456 282 - BADGE FRAME, INC $ 2,040.78
PD Military Veteran Plaque(1)/Distinguished Svc Plaque(1) 11/22 40271 $ 2,040.78 61457 2143 - BUCHALTER, A PROFESSIONAL CORPORATION $ 39,071.76 Lit Svc/CVRA Challenge 10/22 1171939 $ 17,013.50
Lit Svc/CVRA Challenge 11/22 1177563 $ 22,058.26
61458 111328 - CALIFORNIA BUILDING STANDARDS COMMISSION $ 356.40 Building Standards 10/1/22-12/31/22 10/22-12/22 $ 356.40 61459 2118 - CASC ENGINEERING AND CONSULTING, INC $ 14,632.00 Consult/Modernization & Integration/Business Park 11/22 0047861 $ 14,632.00 61460 2171 - CENTENO, TIFFINY $ 24.00
Meals/Patrol Rifle Course 12/22-12/23 Reimb 1/6/23 $ 24.00 61461 2090 - CHARTER COMMUNICATIONS HOLDINGS LLC SPECTRUM $ 2,943.84 Svc/Internet Access 12/15-1/14 12/15/22-1/14/23 $ 1,564.96 W/C CAD/RMS Ethernet Connection 12/4-1/3 0026082120522 $ 1,378.88 61462 2035 - COMMUNICATIONS LAB BARRIOS & ASSOCIATES, LLC $ 6,600.00 Final/Svc/Voter Outreach 11/22 2212-311 $ 2,200.00
Svc/Voter Outreach 10/22 2211-280 $ 2,200.00
Svc/Voter Outreach 9/22 2210-272 $ 2,200.00
61463 115003 - COUNTY OF ORANGE $ 4,261.50
Parking Violations 11/22 11/22 $ 4,261.50

EFT/ Warrant
Number Vendor Payment Amount Description Invoice Invoice Amount City of Cypress
Payment Register
12/24/22-01/06/23
61464 115003 - COUNTY OF ORANGE $ 1,104.51
PD Svc/OC Automated Telecommunications System 12/22 SH64225 $ 1,104.51 61465 1820 - CURBELO, EDWARD $ 170.00
Reimb/Institute of Criminal Investigation 11/28-12/9 Reimb 1/6/23 $ 170.00 61466 116854 - DATA TICKET INC-MSB $ 932.63
Parking Citation Processing 11/22 145518 $ 932.63
61467 104010 - DEPT OF CONSERVATION-STATE OF CALIFORNIA $ 1,384.94 Strong Motion 10/1/22-12/31/22 10/22-12/22 $ 1,384.94
61468 108921 - DEPT OF HOUSING-DIVISION OF CODES & STANDARDS $ 735.00 Fee/Cypress Mobile Home Park 2023 2023(A) $ 735.00
61469 109280 - DIAL PRINTING-HMS INDUSTRIES INC $ 2,963.13 Svc/Print/Parking Violation Ticket Books(10K Sets) 12/27 21782 $ 2,963.13 61470 1158 - DIRECTV $ 175.99
W/C Svc/Satellite TV 12/25-1/24 006762204X221226 $ 175.99 61471 693 - DUNN RIGHT ELECTRICAL-KEVIN DUNN $ 940.00
Install/Electrical Conduit Whips(4)/Engineering Remodel 12/20 5766 $ 940.00 61472 1115 - FRONTIER $ 147.80
7148996947 - Phone Svc/Sewers 12/22 12/22(A) $ 57.28
W/C Phone Svc/5624931036 12/22 12/22(B) $ 90.52
61473 1506 - GODOY, SERGIO $ 92.00
Reimb/Advanced Search Warrants 11/15-11/16 Reimb 1/6/23 $ 92.00 61474 119018 - GOLDEN STATE WATER COMPANY $ 14,886.13
Svc/Athletic Fields 12/22 12/22(A) $ 72.40
Svc/Parks Landscaping 12/22 12/22(D) $ 3,148.22
Svc/Parkway Maint 12/22 12/22(E) $ 11,151.91
Svc/Sr Center 12/22 12/22(C) $ 75.02
Svc/Stanton Channel Berm 12/22 12/22(B) $ 207.06
Svc/Storm Drain 12/22 12/22 $ 231.52
61475 2179 - IGM TECHNOLOGY CORP $ 9,750.00
Svc/Electronic Budgeting/Initial Payment 12/22 1269 $ 9,750.00 61476 2023 - KELLEY, JORDAN $ 108.00
Meals/Basic Traffic Collision Investigation 9/12-9/16 Reimb(A) 1/6/23 $ 60.00 Meals/Radar & Laser Operator 12/6-12/9 Reimb 1/6/23 $ 48.00 61477 112017 - LOS ALTOS TROPHY CAL-LINE INVESTMENTS $ 26.18 Name Badges(2)/Council Reorganization 12/21 91451 $ 26.18 61478 933 - LSA ASSOCIATES, INC $ 2,940.50
Consult/Enviro Document & Tech Analysis/Goodman Center 11/22 185998 $ 2,880.50 Consult/Mitigated Negative Declaration/Business Park 11/22 185997 $ 60.00 61479 111271 - MAR-CO EQUIPMENT CO $ 2,296.86
Gutter Brooms(5)/Sweeper 12/8 190264 $ 892.76
Hydraulic Broom Motor(1)/Sweeper 12/13 190335 $ 871.10
Replace/Backup Camera/Sweeper Unit #138 190217 $ 533.00 61480 914 - MCSHANE, CHRISTOPHER $ 120.00
Meals/Basic SWAT 12/6-12/17 Reimb 1/6/23 $ 120.00

EFT/ Warrant
Number Vendor Payment Amount Description Invoice Invoice Amount City of Cypress
Payment Register
12/24/22-01/06/23
61481 129159 - ORANGE COUNTY FIRE AUTHORITY/FINANCIAL SVC $ 100.00 Fee/False Alarm/Community Center 11/4 S0476899 $ 100.00 61482 1910 - PHOTO INK SCOTT C. PARK $ 650.00
Svc/Photograph/Incoming Council Members(2) 12/19 12-19-22 $ 650.00 61483 1310 - PRESTI, CAMERON $ 120.00
Meals/Basic SWAT 12/6-12/17 Reimb 1/6/23 $ 120.00
61484 1598 - RBL INC PLUMBING $ 775.10
Replaced/Plumbing Air Diaphragm/PD Jail 11/22 544 $ 775.10 61485 1391 - REED, SEBASTIAN $ 152.00
Reimb/Advanced Search Warrants 11/15-11/16 Reimb 1/6/23 $ 152.00 61486 111301 - S.C. YAMAMOTO, INC $ 29,254.39
Svc/Landscape/Citywide 11/22 142690 $ 14,820.00
Svc/Landscape/Right of Way & Berm 11/22 1420690 $ 14,434.39 61487 1975 - SAFELITE FULFILLMENT INC $ 95.00
Repair/Windshield/Unit #648 05074-298819 $ 95.00
61488 119016 - SO CAL EDISON $ 3,195.24
700003851853 Svc/Parkways 9/22-11/22 9/22-11/22 $ 332.79 700134894611 - Svc/Traffic Signal 12/22 12/22(A) $ 23.00 700564248438 Svc/Traffic Signals 11/22 11/22(D) $ 2,839.45 61489 119017 - SO CAL GAS CO $ 4,548.08
00840909006 Svc/Comm Center 12/22 12/22(F) $ 1,707.21
08131074000 Svc/Storm Drain 12/22 12/22(B) $ 16.42
08610884002 Svc/Arnold Cypress Park 12/22 12/22(G) $ 44.63 12600890003 Svc/Maint Yard 12/22 12/22(E) $ 405.42
13230923008 Svc/Storm Drain 12/22 12/22(H) $ 17.02
14011061398 Svc/Storm Drain 12/22 12/22(A) $ 29.05
16111070716 Svc/Storm Drain 12/22 12/22(C) $ 20.62
18690942000 Svc/Sr Center 12/22 12/22(D) $ 289.34
19530910009 Svc/City Hall 12/22 12/22(I) $ 2,018.37
61490 1279 - SOUTHERN CALIFORNIA SHREDDING, INC $ 60.00 PD Svc/Shredding 12/19 214860 $ 60.00
61491 108964 - STAPLES CREDIT PLAN-WEST COMM $ 43.35
W/C File Folders(50)/Tissues(6 Bxs)/File Fasteners(100) 12/6 3185464231 $ 43.35 61492 1988 - SWAIN, COLE $ 60.00
Meals/Advanced Arrest & Control 12/19-12/23 Reimb 1/6/23 $ 60.00 61493 588 - THE COUNSELING TEAM INTERNATIONAL $ 300.00
PD Svc/Psych Eval(1) 12/12 84468 $ 300.00
61494 2067 - THE ORIGINAL GOODIE'S UNIFORM $ 2,613.59
PD Nameplates/BReyes(2)/NTicorat(2) 6062(B) $ 52.70
PD Safety Gear & Uniform/Trainee BReyes 6062 $ 214.28
PD Safety Gear & Uniform/Trainee NTicorat 6062(A) $ 37.92 PD Uniform/Trainee BReyes 6061 $ 980.73
PD Uniform/Trainee NTicorat 6095 $ 975.27
PD Uniform/Trainee NTicorat 6097 $ 352.69

EFT/ Warrant
Number Vendor Payment Amount Description Invoice Invoice Amount City of Cypress
Payment Register
12/24/22-01/06/23
61495 129595 - VERIZON WIRELESS - CA $ 76.33
Cell Svc/Rec 12/22 12/22 $ 76.33
61496 2166 - WAIT, STUART A $ 14,512.80
Svc/Refinish Hardwood Floors/Comm Center & Sr Center 12/31 20221229-1 $ 14,512.80 61497 2012 - WILLDAN ENGINEERING $ 7,490.00
Svc/Code Enforcement/AE 10/10-10/28 00227841 $ 1,540.00 Svc/Code Enforcement/GW 11/1-11/29 00227842 $ 5,600.00
Svc/Neighborhood Preservation/Code Enforcement 10/22 00227718R $ 350.00 61498 1974 - YUNEX LLC $ 25,436.29
Replace/Street Light(1)/Knockdown/Katella & Knott 9/21 5610282260 $ 6,212.84 Replace/Street Light(1)/Knockdown/Walker & Vonnie Lane 9/21 5610282164 $ 6,608.70 Replace/Street Lights(2)/Knockdown/Katella & Walker 9/18 5610282265 $ 12,425.68 Svc/Street Light Survey 11/22 5610282670 $ 189.07
61499 0 - CAMPOS, ABELINO $ 40.00
Refund/Citation #CP467711 Rfd 1/6/23 $ 40.00
61500 0 - CASWELL, ROBERT ARTHUR $ 40.00
Refund/Citation #CP421823 Rfd 1/6/23 $ 40.00
61501 0 - FAJARDO, ANDREW $ 500.00
Refund/Recycling Deposit/5177 Cumberland Dr Rfd 1/6/23 $ 500.00 61502 0 - FAJARDO, ANDREW $ 500.00
Refund/Recycling Deposit/5952 Marion Ave Rfd 1/6/23 $ 500.00 61503 0 - JIN, XIANZHE $ 150.00
Refund/Facility Deposit/Contract #6470 Rfd 1/6/23 $ 150.00 61504 0 - MILLER, MATT $ 500.00
Refund/Recycling Deposit/9899 Graham St Rfd 1/6/23 $ 500.00 61505 0 - NGUYEN, TUDUNG $ 300.00
Refund/Facility Deposit/Contract #6225 Rfd 1/6/23 $ 300.00 61506 0 - PARK, EUN YOUNG $ 300.00
Refund/Facility Deposit/Contract #6616 Rfd 1/6/23 $ 300.00 61507 0 - SOMES, JANE M DUET $ 61.50
Refund/Citation #CP467619 Rfd 1/6/23 $ 61.50
61508 0 - SOSA, MIGUEL $ 150.00
Refund/Facility Deposit/Contract #6627 Rfd 1/6/23 $ 150.00 Total EFTs $ 467,034.63 $ 467,034.63
Total Warrants 215,167.02 215,167.02
Transfer to Payroll (W1492) 733,226.51 Payroll 12/09/22-12/23/22 733,226.51 Grand Totals $ 1,415,428.16 $ 1,415,428.16