27. Prevailing Wages.
(a) Consultant shall comply with all prevailing wage requirements, including California Labor Code section 1770, et seq., and any Federal or local laws or ordinances, that may be applicable to the work to be performed pursuant to this Agreement. (b) Any subcontract entered into as a result of this Agreement, if for more than $25,000 for public works, shall contain all the provisions of this Paragraph 26. (c) When prevailing wages may apply to the services described in the Scope of Work, transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial Relations (DIR) as outlined in the applicable Prevailing Wage Determination found on the DIR website.
28. Equipment, Supplies or Consultant Services Purchases. (a) Prior authorization in writing by TAMC's Project Manager shall be required before Consultant enters into any unbudgeted purchase order, or subcontract exceeding Five Thousand Dollars ($5,000) for supplies, equipment, or unbudgeted Consultant services. Consultant shall provide an evaluation of desirability of incurring such costs. (b) For purchase of any items, service or consulting work not covered in Consultant's Cost Proposal and exceeding Five Thousand Dollars ($5,000), prior authorization is required by TAMC's Project Manager; three competitive quotations must be submitted with the request, or the absence of bidding must be adequately justified. (c) Any equipment purchased as a result of this Agreement is subject to the following:
i. Consultant shall maintain an inventory of all nonexpendable property.
Nonexpendable property is defined as having a useful life of at least two years and an acquisition cost of Five Thousand Dollars ($5,000) or more. If the purchased equipment needs replacement and is sold or traded in, TAMC shall receive a proper refund or credit for such equipment at the conclusion of the Agreement, or if the Agreement is terminated, Consultant may either keep the equipment and credit TAMC in an amount equal to its fair market value, or sell such equipment at the best price obtainable at a public or private sale, in accordance with established TAMC procedures for such sales and then credit TAMC in an amount equal to that sales price. If Consultant elects to keep the equipment, fair market value shall be determined at Consultant's expense, on the basis of a competent independent appraisal of such equipment. Appraisals shall be obtained from and appraiser mutually acceptable to TAMC and RFP Pvmt Mgmt Prog Update 2022 Draft 2022 0112.docx
Consultant; if it is determined to sell the equipment, the terms and conditions of such sale must be approved in advance by TAMC.
ii. Consultant acknowledges that, if federal funds are used in this Agreement, 49 CFR, Part 1201 requires a credit to Federal funds when participating equipment with a fair market value greater than Five Thousand Dollars ($5,000) is credited to the project for which this Agreement was entered into. (d) Consultant shall include these provisions into any subcontract in excess of Twenty- Five Thousand Dollars ($25,000).
29. Conflict of Interest.
(a) Consultant shall disclose any financial, business, or other relationship with TAMC that may have an impact upon the outcome of this Agreement, or any ensuing TAMC construction project. Consultant shall also list current clients who may have a financial interest in the outcome of this Agreement, or any ensuing TAMC construction project, which will follow.
(b) Consultant hereby certifies that it does not now have, nor shall it acquire any financial or business interest that would conflict with the performance of services under this Agreement.
(c) Any subcontract in excess of $25,000 entered into as a result of this Agreement, shall contain all of the provisions of this Article.
30. Governing Laws. This Agreement shall be construed and enforced according to the laws of the State of California, and the parties hereby agree that the County of Monterey shall be the proper venue for any dispute arising hereunder.
31. Construction of Agreement. The parties agree that each party has fully participated in the review and revision of this Agreement and that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement or any exhibit or amendment. To that end, it is understood and agreed that this Agreement has been arrived at through negotiation, and that neither party is to be deemed the party which prepared this Agreement within the meaning of Civil Code Section 1654. Section and paragraph headings appearing herein are for convenience only and shall not be sued to interpret the terms of this Agreement.
32. Waiver. Any waiver of any term or condition hereof must be in writing. No such waiver shall be construed as a waiver of any other term or condition herein.
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33. Successors and Assigns. This Agreement and all rights, privileges, duties and obligations hereunder, to the extent assignable or delegable, shall be binding upon and inure to the benefit of the parties and their respective successors, permitted assigns and heirs.
34. Time is of the Essence. The parties mutually acknowledge and agree that time is of the essence with respect to every provision hereof in which time is an element. No extension of time for performance of any obligation or act shall be deemed an extension of time for performance of any other obligation or act, nor shall any such extension create a precedent for any further or future extension.
35. Contract Administrators. Consultant's designated principal responsible for administering Consultant's work under this Agreement shall be listed in Exhibit A; TAMC's designated administrator of this Agreement shall be Todd A. Muck, Executive Director: TAMC's Project Manager under this Agreement shall be Laurie Williamson, and TAMC's Finance Officer shall be Dave Delfino.
36. Notices. Notices required under this Agreement shall be delivered personally or by electronic facsimile, e-mail, or by first class or certified mail with postage prepaid. Notice shall be deemed effective upon personal delivery, facsimile transmission, or email-receipt, or on the third day after deposit with the U.S. Postal Service. Consultant shall give TAMC prompt notice of any change of address. Unless otherwise changed according to these notice provisions, notices shall be addressed as follows:
To TAMC: Todd A. Muck To Consultant:
Executive Director
55-B Plaza Circle
Salinas, CA 93901
Tel: 831-775-0903 Tel:
Fax: 831-775-0897 Fax:
Email: [email protected] Email:
37. Non-exclusive Agreement. This Agreement is non-exclusive and both parties reserve the right to contract with other entities for the same or similar services.
38. Execution of Agreement. Any individual executing this Agreement on behalf of an entity represents and warrants that he or she has the requisite authority to enter into this Agreement on behalf of such entity and to bind the entity to the terms and conditions hereof. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement.
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39. Debarment and Suspension Certification.
(a) Consultant's signature affixed below shall constitute a certification under penalty of perjury under the laws of the State of California that the Consultant has complied with Title 2 CFR, Part 180, "OMB Guidelines to Agencies on Government-wide Debarment and Suspension (non-procurement)," which certifies that Consultant or any person associated with Consultant in the capacity of owner, partner, director, officer, or manager, is not currently under suspension, debarment, voluntary exclusion, or determination of ineligibility by any federal agency; has not been suspended, debarred, voluntarily excluded, or determined ineligible by an federal agency within the past three (3) years; does not have a proposed debarment pending; and has not been indicted, convicted, or had a civil judgment rendered against it by a court of competent jurisdiction in any matter involving fraud or official misconduct within the past three (3) years. Any exceptions to this certification must be disclosed to the TAMC.
(b) Exceptions will not necessarily result in denial of recommendation for award but will be considered in determining Consultant responsibility. Disclosures must indicate to whom exceptions apply, initiating agency, and dates of action. (c) Exceptions to the Federal Government Excluded Parties List System maintained by the General Services Administration are to be determined by the Federal Highway Administration.
40. Rebates, Kickbacks or Other Unlawful Consideration Prohibited. Consultant warrants that this Agreement was not obtained or secured through rebates, kickbacks or other unlawful consideration, either promised or paid to any TAMC employee. TAMC shall have the right, in its sole and absolute discretion to do any of the following for breach or violation of this warranty: to terminate the Agreement without liability; to pay for the value of the work actually performed; or to deduct from the compensation to be paid under this Agreement (or otherwise recover) the full amount of any such rebate, kickback or unlawful consideration.
41. Prohibition of Expending Local Agency, State or Federal Funds for Lobbying. (a) Consultant certifies to the best of his, her or its knowledge and belief that:
No State, Federal or local agency appropriated funds have been paid, or will be paid, by or on behalf of Consultant to any person for influencing or attempting to influence an officer or employee of any state or federal agency; a member of the State Legislature or United States Congress; an officer or employee of the State Legislature or United States Congress; or any employee RFP Pmt Mgmt Prog Update 2022 Draft 2022 0112.docx
of a Member of the Legislature or Congress, in connection with the awarding of any State or Federal contract; in connection with the making of any State or Federal grant; in connection with the making of any State or Federal loan; in connection with the entering into of any cooperative agreement, and in connection with the extension, continuation, renewal, amendment, or modification of any State or Federal contract, grant, loan or cooperative agreement.
ii. If any funds other than Federal appropriated funds have been paid, or will be paid, to any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress; or an employee of a Member of Congress, in connection with this contract, grant, loan or cooperative agreement, then Consultant shall complete and submit a Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. (b) This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Consultant acknowledges that any person who fails to file the required certification shall be subject to a civil penalty of not less than Ten Thousand Dollars ($10,000) and not more than One Hundred Thousand Dollars ($100,000) for such failure.
(c) By signing this Agreement, Consultant also agrees that Consultant will require that the language of this certification will be included in all lower-tier subcontracts which exceed One Hundred Thousand Dollars ($100,000), and that all recipients of such subcontracts shall certify and disclose accordingly.
42. Exhibits. The following Exhibits are attached hereto and incorporated by reference:
Exhibit A - Scope of Work and Schedule
Exhibit B - Budget
Exhibit C - Invoice Cover Sheet Format
Exhibit D - ADA Best Practices for Documents and Outreach
43. Entire Agreement. This document, including all exhibits hereto, constitutes the entire agreement between the parties, and supersedes any and all prior written or oral negotiations and representations between the parties concerning all matters relating to the subject of this Agreement.
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IN WITNESS WHEREOF, TAMC and Consultant execute this agreement as follows:
TAMC [CONSULTANT]
By: By:
Todd A. Muck Name:
Executive Director Title:
Dated: Dated:
By:
Name:
Title:
Dated:
INSTRUCTIONS: If Consultant is a corporation (including limited liability and nonprofit corporations), the full legal name of the corporation shall be set forth together with the signatures of two specified officers. If Consultant is a partnership, the name of the partnership shall be set forth together with the signature of a partner with authority to execute this Agreement on behalf of the partnership. If Consultant is contracting in an individual capacity, the individual shall set forth the name of his or her business, if any, and shall personally sign the Agreement.
************** ********
Approved as to form:
TAMC Counsel
Dated:
For TAMC internal use:
Work Element number to be used for the contract: _
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EXHIBIT A: Scope of Work and Schedule
Project Title:
Consultant Project Manager:
Scope of Work
(by task, including Deliverables)
Project Schedule
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EXHIBIT B: Budget
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EXHIBIT C: Invoice Cover Page Format
[Project Title]
[Consultant Firm Name]
Invoice #
Invoice Date
Invoice Period
Task Task Previously Current Remaining % billed% Task Work performed Task Name Budget
# billed invoice Funds to-date Complete this period
1 2
3 4
TOTAL
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Exhibit D: ADA Best Practices for Documents and Outreach The following are best practices that TAMC commits to complying with, and asks that all final and public draft documents comply, as they align with best practices for web-content accessibility:
Public Outreach Guidance
• Offer alternative ways to engage in outreach for the hard-of-hearing and the blind • Example: Have Talk-to-Text capacity available to engage with the hard of hearing • Ensure public meeting rooms are set up in a way that is wheelchair accessible • Ensure an alternative to a podium or stage is available in the event an individual cannot participate that way
• Have at least one wireless microphone available to help ensure public comments are projected in the meeting
• Develop public workshop handouts in font size 14 (minimum) • Handouts could include a project summary sheet, survey, comment card, etc.
Developing ADA Accessible Documents
• Use Calibri, Helvetica, or Arial Font Type
• Ensure final document content is at least font size 12 (minimum) • Utilize proper features in Microsoft Word, including, but not limited to:
• Alt Text for Images and Tables
• "Styles" Feature to add emphasis or titles
• Built in "Spacing" feature
• Indicate at the bottom of a Final Document's Title Page, an ADA Notice stating:
• ADA Notice: For individuals with sensory disabilities, this document is available in alternate formats. For information call (831) 775-0903 or email [email protected].
Web Content Accessibility Guidelines
The Web Content Accessibility Guidance (WCAG) was integrated into Section 508 of the American with Disabilities Act in January 2018 as the industry standard in accessibility.
Guidance and Success Criteria from the WCAG are organized into the following four principles:
1. Perceivable
Provide text alternatives for non-text content.
Provide captions and other alternatives for multimedia.
Create content that can be presented in different ways, including by assistive technologies, without losing meaning.
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• Make it easier for users to see and hear content.
2. Operable
Make all functionality available from a keyboard.
Give users enough time to read and use content.
Do not use content that causes seizures.
Help users navigate and find content.
3. Understandable
Make text readable and understandable.
Make content appear and operate in predictable ways
Help users avoid and correct mistakes.
4. Robust
Maximize compatibility with current and future user tools A few key aspects that relate to content to be posted onto the TAMC website include:
Integrating alternative text for images and maps
• Using distinguishable colors and design techniques that are comprehensible for the color- blind
For a complete list of WAG's Guidance, see: https://www.w3.org/TR/WCAG20/ If Consultant or subconsultant needs clarification on an ADA best practices, please contact [email protected].
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CITY OF DEL REY OAKS
OF DEL REL
Staff Report
INCORPORATED 1959
DATE: March 22, 2022
TO: Honorable Mayor and City Council
FROM: John Guertin, City Manager
SUBJECT: Audited Financial Statements for fiscal year ended June 30, 2021 CEQA: Envirotinenta Quality At (CE 4) suce ne serion 537 as tis an organizational activity of the City that will not result in direct or indirect physical changes in the environment.
Recommendation
The Finance Committee recommends that the Council receive the audited financial statements for the fiscal year ended June 30, 2021.
Background
The City's financial statements were audited by Chavan & Associates, LLP. The audit of the financial statements is an annual requirement.
Summary & Discussion
Auditor's Opinion
The auditors, Chavan & Associates, stated on page 2 of the Auditor's Annual Financial Report ("Report") (Attachment 1), that the financial statements in the Report "present fairly, in all material respects" the City's financial position and results of operations for the fiscal year ended June 30, 2021. The audit includes a report on internal controls beginning on page 54 of the Report. The report noted no findings.
The Report contains information about the City's finances in accordance with Governmental Accounting Standards. A summary of the City's finances can be found in the section titled "Management Discussion and Analysis" beginning at page 5 of the Report. Staff will highlight some of the most important numbers in the financial statements in this Staff Report.
Statement of Net Position of $19,090,318, page 11
The Statement of Net Position shows a total Net Position of $19,090,318. Readers of the financial statements should keep in mind that the Statement of Net Position treats the City as if it was a business using full accrual accounting. This statement therefore takes into account all assets, including those that cannot be sold or used by anyone else, and all the liabilities, including those that will be paid in the distant future. It then divides the Net Position (assets and deferred outflows, minus liabilities and deferred inflows) into five major categories. "Net invested in capital assets" is the total of all fixed assets less any debt on those assets. Restricted for land held for resale represents funds that cannot be used for budget purposes. The Net Position of $18.967.995 shows that the City's finances are in a positive position.
Positive Change in Net Position of $122,323, page 12
The Statement of Activities, like the Statement of Net Position, is prepared on a full accrual basis, like a business. It includes depreciation, interest expense accruals, and net gains on sale of property which are not typically reported in Government Funds Statements.
Balance Sheet - Unassigned unappropriated fund balance of $268,554 in the General Fund, page 13 The Balance Sheet is prepared on a modified accrual basis, which is how the City budgets. It considers only current assets (assets that can be readily converted to cash) and current liabilities (liabilities that will be paid within the next year). It shows the General Fund with an "Unassigned Unappropriated" fund balance of $268,554. This represents funds available to spend at June 30, 2021 that have not been appropriated for a specific purpose. In addition to this amount the City has $1,652,182 in monies set-aside for economic uncertainties.
All other funds reported have restrictions as to what the monies can be spent on as shown on the Balance Sheet.
Statement of Revenues, Expenditures, and Changes in Fund Balances of $83,008, page 15 The Statement of Revenues, Expenditures and Changes in Fund Balance is prepared on the same basis as the budget. It shows excess revenues over expenditures in the General Fund of $49,850.
Note 5 - Long-Term Debt $2,227,092, page 31
The Federal Group debt totals $1,489,074 which is not due and payable until sales or development takes place on the former Fort Ord land. It is expected that any development or sales should cover this debt.
Auditor's Report on Internal Controls
As part of the audit, the auditor issued an Independent Auditor's Report on Internal Control over Financial Reporting, which states on page 56 of the Report that there are no findings.
Fiscal Impacts
This item has no fiscal impact. It reports the results of the 2020-21 fiscal year's operations.
Recommended Action
Receive the audited financial statements for the fiscal year ended June 30, 2021.
ATTACHMENTS:
1. Annual Financial Report for the fiscal year ended June 30, 2021 Respectfully Submitted,
John Guertin
City Manager
City of Del Rey Oaks
Annual Financial Report
June 30, 2021
Chavan & Associates, LLP
Certified Public Accountants
15105 Concord Circle, Ste. 130
Morgan Hill, CA 95037
Page Intentionally Left Blank
City of Del Rey Oaks
Annual Financial Report
For the year ended June 30, 2021
TABLE OF CONTENTS
FINANCIAL SECTION
Independent Auditor's Report..
Management's Discussion and Analysis (Required Supplementary Information) Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net Position.. . 11
Statement of Activities. 12
Fund Financial Statements
Governmental Funds:
Balance Sheet.... 13
Reconciliation of the Governmental Funds Balance Sheet
to the Government-Wide Statement of Net Position. .. 14 Statement of Revenues, Expenditures and Changes in Fund Balances. 15 Reconciliation of the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances to the Government-Wide Statement of Activities ......... .. 16
Notes to the Basic Financial Statements. ..17
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual (GAAP Basis) - General Fund ...
Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual (GAAP Basis) - Measure X Special Revenue Fund . 43 Schedule of Pension Plan Contributions........ . 44
Schedule of Proportionate Share of Net Pension Liabilities .. 45 Schedule of Changes in Total OPEB Liability... 46
Notes to the Required Supplementary Information 47
SUPPLEMENTARY INFORMATION
Combining Statements - Nonmajor funds:
Combining Balance Sheet - Nonmajor Governmental Funds.... 49 Combining Schedule of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds... 51
OTHER INDEPENDENT AUDITOR'S REPORT
Independent Auditor's Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of the Financial Statements Performed in Accordance with Government Auditing Standards 54
FINDINGS AND RESPONSES
Schedule of Findings and Responses........ . 56
Page Intentionally Left Blank
LACORORATED (NES
FINANCIAL SECTION
Chavan and Associates, lIp
Certified Public Accountants
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and Members of the
City Council of the City of Del Rey Oaks
Del Rey Oaks, California
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the City of Del Rey Oaks (the "City"), as of and for the year ended June 30, 2021, and the related notes to the financial statements, which collectively comprise City's basic financial statements as listed in the table of contents.
Management's Responsibility for the Financial Statements The City's management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the City's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Page | 1 15105 Concord Circle, Ste. 130, Morgan Hill, CA 95037 Tel: 408-217-8749 • E-Fax: 408-872-4159
[email protected] • www.cnallp.com
Chavan and Associates, IIp
Certified Public Accountants
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and the aggregate remaining fund information of the City, as of June 30, 2021, and the respective changes in financial position and for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Other Matters
Required Supplementary Information
changes in total OPEB liability, as listed in the table of contents, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City's basic financial statements. The combining and individual nonmajor fund financial statements are presented for purposes of additional analysis and are not a required part of the basic financial statements.
The combining and individual nonmajor fund financial statements are the responsibility of management and were derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the combining and individual nonmajor fund financial statements are fairly stated, in all material respects, in relation to the basic financial statements as a whole.
Page | 2 15105 Concord Circle, Ste. 130, Morgan Hill, CA 95037 Tel: 408-217-8749 • E-Fax: 408-872-4159
[email protected] • www.cnallp.com
Chavan and Associates, lIp
Certified Public Accountants
Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated March 10, 2022 on our consideration of the City's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integra part of an audit performed in accordance with Government Auditing Standards in considering the City's internal control over financial reporting and compliance.
C&A UP
March 10, 2022
Morgan Hill, California
Page | 3 15105 Concord Circle, Ste. 130, Morgan Hill, CA 95037 Tel: 408-217-8749 • E-Fax: 408-872-4159
[email protected] • www.cnallp.com
MANAGEMENT'S DISCUSSION
AND ANALYSIS
City of Del Rey Oaks Management's Discussion and Analysis
INTRODUCTION
The discussion and analysis of the City of Del Rey Oaks' (the City) financial performance provides an overview and analysis of the City's financial activities for the fiscal year ended June 30, 2021. It should be read in conjunction with the accompanying basic financial statements.
FINANCIAL HIGHLIGHTS
• On a government-wide basis the assets and deferred outflows of the City exceeded its liabilities and deferred inflows at the close of the year ended June 30, 2021 by $18.97 million. However, $1.59 million is a net investment in capital assets, restricted net position of $19.11 million, leaving an unrestricted deficit net position of $1.62 million.
• The City's total net position increased by $122,323 from current year operations. • The City's governmental funds reported combined ending fund balance of $21.03 million. The net change in fund balances was an increase of $83,008.
• The General Fund reported a fund balance of $11.18 million. The net change was an increase of $49,850.
OVERVIEW OF THE FINANCIAL STATEMENTS
The discussion and analysis serves as an introduction to the City's financial statements. The City's Financial statements are comprised of three components: 1) government-wide financial statements; 2) fund financial statements; and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves.
Government-wide Financial Statements - The government-wide financial statements are designed to provide readers with a broad overview of the City's finances, in a manner similar to a private-sector The Statement of Net Position presents information on all of the City's assets and liabilities, with the difference between the two reported as net position. Over time, increases and decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating.
The statement of net position combines and consolidates governmental funds' current financial resources (short-term spendable resources) with capital assets and long-term obligations. Other nonfinancial factors should also be taken into consideration, such as changes in the City's property tax base, the condition of the City's infrastructure (i.e. roads, drainage improvements, storm and sewer lines, etc.) and redevelopment projects, to assess the overall health or financial condition of the City.
The Statement of Activities presents information showing how the City's net position changed during the most recent fiscal year. All of the current year's revenues and expenses are taken into account regardless of when cash is received or paid. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes).
The government-wide financial statements include all the governmental activities of the City. The governmental activities of the City include public safety, streets, parks, planning, community development and general administration. The City does not operate any business-type activities.
Fund Financial Statements - A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The fund financial statements provide detail information about the most significant funds, not the City as a whole. The City, like other local 5 City of Del Rey Oaks Management's Discussion and Analysis governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the City's funds are governmental fund types. Fund financial statements report essentially the same functions as those reported in the government-wide financial statements. However, unlike the government-wide financial statements, fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year.
Because the focus of the governmental fund is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented in the government-wide financial statements. Both the governmental fund Balance Sheet and the governmental fund Statement of Revenues, Expenditures and Changes in Fund Balances provide a reconciliation to facilitate the comparison between the governmental fund and government-wide The City maintains five individual governmental funds. Information is presented in the Balance Sheet and the Statement of Revenues, Expenditures and Changes in Fund Balances for the General Fund and the nonmajor governmental funds.
Notes to Basic Financial Statements - The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. 6 City of Del Rey Oaks Management's Discussion and Analysis
GOVERNMENT-WIDE FINANCIAL ANALYSIS
As noted earlier, net position may serve over time as a useful indicator of the City's financial position. The City's net position increased by $122,323 in fiscal year 2021 from fiscal year 2020. The City's net investment in assets of $1.28 million is used to provide services to citizens; consequently, these assets are not available for future spending, leaving the City with a deficit for operating purposes.
Summary of Net Position
As of June 30
Increase
2021 2020 (Decrease)
Assets
Current and other assets $ 21,403,828 $ 21,087,445. $ 316,383 Capital assets 2,332,998 2,089,279 243,719
Total Assets $ 23,736,826 $ 23,176,724 $ 560,102
Deferred Outflows of Resources $ 441,269 $ 384,060 57,209 Liabilities
Current and other liabilities $ 377,267 $ 143,685 $ 233,582 Noncurrent liabilities 4,502,300 4,256,386 245,914
Total Liabilities $ 4,879,567 $ 4,400,071 $ 479,496
Deferred Inflows of Resources $ 208,210 $ 192,718 $ 15,492 Net Position
Net investment in capital assets $ 1,594,980 $ 1,284,344 310,636 Restricted 19,113,651 19,039,139 74,512
Unrestricted (1,618,313) (1,355,488) (262,825)
Total Net Position $ 19,090,318 $ 18,967,995 $ 122,323
• Current assets and capital assets increased by $560,102, while current and noncurrent liabilities also increased by $479,496.
Increases in capital assets were mainly due to vehicle and equipment purchases, as well as a slurry seal project.
Increases in noncurrent liabilities were mainly the result of GASB 68 and GASB 75 adjustments to the city's pension and OPEB plans.
7 City of Del Rey Oaks Management's Discussion and Analysis GOVERNMENT-WIDE FINANCIAL ANALYSIS (continued)
Statement of Activities
As of June 30
Increase
Functions/Programs 2021 2020 (Decrease)
Revenue:
Program Revenues:
Charges for services $ 1,216,346 $ 1,343,856 $ (127,510) Operating grants and contributions 229,252 361,583 (132,331) Capital grants and contributions 72,495 9,682,439 (9,609,944) General Revenues:
Property tax 717,621 660,282 57,339
Sales tax 491,759 376,614 115,145
Transaction tax 689,351 808,102 (118,751)
Franchise tax 169,716 163,594 6,122
Business license tax 250,352 213,602 36,750
Other taxes 264,245 651,721 (387,476)
Investment earnings 60,567 36,675 23,892
Other revenue 20,147 14,769 5,378
Total Revenue 4,181,851 14,313,237 (10,131,386)
Expenses:
General government 1,183,067 1,314,429 (131,362)
Public safety 2,386,032 2,629,147 (243,115)
Public works 294,575 172,593 121,982
Community development 79,619 78,017 1,602
Parks 43,918 92,286 (48,368)
Interest on long-term debt 70,502 85,427 (14,925)
Total Expenses 4,057,713 4,371,899 (314,186)
Special and Extraordinary Items:
Special item - gain/loss on disposal of capital assets (1,815) 168,838 (170,653) Special item - release of obligation due to FORA 4,465,100 (4,465,100) Total Special and Extraordinary Items (1,815) 4,633,938 (4,635,753) Change in Net Position 122,323 14,575,276 (14,452,953)
Net Position, Beginning of Year 18,967,995 4,392,719 14,575,276 Net Position, End of Year $ 19,090,318 $ 18,967,995 $ 122,323 • The decrease in capital grants and contributions is mainly due to contributions received from FORA in 2020.
• The decrease in transaction tax is due to the effects of pandemics. • The decrease in other taxes is due to the effects of the pandemic on cannabis taxes. 8 City of Del Rey Oaks Management's Discussion and Analysis
CAPITAL ASSETS AND DEBT ADMINISTRATION
Capital Assets - The City's investment in capital assets as of June 30, 2021, amounted to $2.33 million (net of accumulated depreciation). This amount included land, buildings, improvements, furniture, equipment, and vehicles.
Debt Administration - At fiscal year end, the City had $2.23 million in debt. Additions to debt were due to compounding interest from the Federal Group International loan, while deletions were due to principal payments on the TAMC Measure X loan and capital lease.
FINANCIAL ANALYSIS OF THE GOVERNMENTAL FUNDS
The focus of the City's governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City's financing requirements.
At the end of the current fiscal year, the City's governmental funds reported a total fund balance of $21.03 million. During the current fiscal year, the fund balance of the City's total governmental funds increased $83,008.
FUND BUDGETARY HIGHLIGHTS
General Fund - The original budgeted general fund revenues increased $687 thousand. General Fund estimated budgeted revenues exceeded the actuals by $351 thousand. The original budgeted general fund expenditures increased by $100 thousand. Actual expenditures were $111 thousand more than final budgeted expenditures.
ECONOMIC FACTORS AND NEXT YEAR'S BUDGET
Fiscal year 2020-21 has felt the impact of the COVID-19 pandemic. Due to reductions in Sales tax and cannabis excise taxes, the City took steps to reduce its expenditures and has managed to maintain a balanced budget. As the City and the State come out of the pandemic, the City is seeing a slight increase in sales tax. Cannabis tax is expected to remain low due to the pandemic and the large number of competing dispensaries in the area. The City is expecting to maintain a balanced budget.
REQUESTS FOR INFORMATION
This financial report is designed to provide a general overview of the City's finances for all those with an interest. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the City of Del Rey Oaks, 650 Canyon Del Rey Road, Del Rey Oaks, California 93940.
9 REY
O
PACORPORATD 1N9SR
BASIC FINANCIAL STATEMENTS
10 City of Del Ray Oaks
Statement of Net Position
June 30, 2021
ASSETS
Current Assets:
Cash and investments $ 3,473,806
Restricted cash and investments 8,685,795
Receivables:
Taxes 314,348
Other receivables 25,206
Land held for resale 8,904,673
Total Current Assets 21,403,828
Noncurrent Assets:
Capital Assets:
Nondepreciable 549,500
Depreciable, net of accumulated depreciation 1,783,498
Total Capital Assets - Net 2,332,998
Total Assets $ 23,736,826
DEFERRED OUTFLOWS OF RESOURCES
OPE Adjustments $ 120,096
Pension Adjustments 321,173
Total Deferred Outflows of Resources $ 441,269
LIABILITIES
Current Liabilities:
Accounts payable $ 328,683
Payroll related liabilities 23,440
Prepaid business licenses 8,255
Prepaid developer deposits • 9,063
Long-term debt - due within one year 7,826
Total Current Liabilities 377,267
Noncurrent Liabilities:
Long-term debt - due in more than one year 2,219,266
Compensated absences 102,059
Net pension liability 1,683,831
Total OPEB liability 497,144
Total Noncurrent Liabilities 4,502,300
Total Liabilities $ 4,879,567
DEFERRED INFLOWS OF RESOURCES
Pension Adjustments $ 208,210
Total Deferred Inflows of Resources $ 208,210
NET POSITION
Net investment in capital assets $ 1,594,980
Restricted for land held for resale 8,904,673
Restricted for pension 351,751
Restricted for streets and roads 7,520,025
Restricted for habitat management 775,204
Restricted for capital projects 1,561,998
Unrestricted (1,618,313)
Total Net Position $ 19,090,318
The accompanying notes are an integral part of these financial statements. 11 City of Del Ray Oaks
Statement of Activities
For the Fiscal Year Ended June 30, 2021
Program Revenues
Net (Expense)
Operating Capital Revenue and
Charges for Grants and Grants and Change in Net
Functions/Programs Expenses Services Contributions Contributions Total Position General government $1,183,067 360,909 $ - $ 72,495 $ 433,404 $ (749,663) Public safety 2,386,032 727,887 185,251 913,138 (1,472,894) Public works 294,575 89,864 44,001 133,865 (160,710)
Community development 79,619 24,289 24,289 (55,330)
Parks 43,918 13,398 : 13,398 (30,520)
Interest and fiscal charges 70,502 (70,502)
Total $4,057,713 $ 1,216,346 229.252 72,495 $ 1,518,093 (2,539,620) General Revenues and Special Item:
Taxes:
Property taxes 717,621
Sales tax 491,759
Transaction tax 689,351
Franchise tax 169,716
Business license tax 250,352
Other taxes 264,245
Investment earnings 60,567
Other revenues 20,147
Special item:
Gain (loss) on disposal of capital assets (1,815)
Total General Revenues and Special Items 2,661,943
Change in Net Position 122,323
Net Position - Beginning of Year 18,967,995
Net Position - End of Year $ 19,090,318
The accompanying notes are an integral part of these financial statements.
City of Del Ray Oaks
Balance Sheet
Governmental Funds
June 30, 2021
Nonmajor Total
General SBR Construction Governmental Governmental
Fund Fund Funds Funds
ASSETS
Cash and investments 1,950,484 $ - $ 2,579,490 $ 4,529,974 Restricted cash and investments 360,814 7,268,813 - 7,629,627 Receivables:
Taxes 305,424 8,924 314,348
Other receivables : 25,206
25,206 -
Land held for resale 8,904,673 8,904,673
Total assets $ 11,546,601 7,268,813 3 2588,414 $ 21,403,828 $
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable $ 328,683 $ $ - $ 328,683
Payroll related liabilities 23,440 : 23,440
Prepaid business licenses 8,255 8,255
Prepaid developer deposits 9,063 - 9,063
Total liabilities 369,441 369,441
Fund Balances:
Restricted:
Land held for resale 8,904,673 8,904,673
Pension 351,751 : 351,751
Streets and roads 251,212 7,520,025
Habitat management : 775,204 775,204
Capital projects : 1,561,998 1,561,998
Unassigned:
Economic uncertainties 1,652,182 1,652,182
Unappropriated 268,554
Total fund balances 11,177,160 7,268,813 2,588,414 21,034,387 Total liabilities and fund balances $ 11,546,601 7,268,813 2,588,414 $ 21,403,828 The accompanying notes are an integral part of these financial statements. 13 City of Del Ray Oaks
Reconciliation of the Governmental Funds Balance Sheet
to the Government-Wide Statement of Net Position
June 30, 2021
Total Fund Balances - Total Governmental Funds $ 21,034,387 Amounts reported for governmental activities in the statement of net position were different because:
Capital assets used in governmental activities were not current financial resources.
Therefore, they were not reported in the governmental funds balance sheet. The capital assets were adjusted as follows:
Capital assets $ 3,250,228
Less: accumulated depreciation (917,230)
Total Capital Assets 2,332,998
Contributions made to pension plans will not be included in the calculation of the City's net pension liability of the plan year included in this report and have been deferred and reported as deferred outflows of resources.
OPEB adjustments:
Difference between actual and expected experience 49,012 Change in assumptions 67,652
Contribution subsequent to measurement date 3,432
Pension adjustments:
Net change in assumptions (7,323)
Net difference between expected and actual experience 118,842 Net difference between projected and actual investment earnings 40,192 Net differences between employer's contributions and proportionate share of contributions (164,625) Net change in employer's proportion (1,320)
Contribution subsequent to measurement date 127,197
Long-term obligations were not due and payable in the current period. Therefore, they were not reported in the governmental funds balance sheet. The long-term liabilities were adjusted as follows:
Long-term debt $ (2,227,092)
Compensated absences (102,059)
Net pension liability (1,683,831)
Total OPEB liability (497,144)
Total Long-Term Obligations (4,510,126)
Net Position of Governmental Activities $ 19,090,318
The accompanying notes are an integral part of these financial statements.
City of Del Ray Oaks
Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds
For the Fiscal Year Ended June 30, 2021
Nonmajor Total
General SBR Construction Governmental Governmental
Fund Fund Funds Funds
REVENUES -
Taxes:
Property taxes $ 717,621 $ $ $ 717,621
Sales tax 409,995 31,764 491,759
Transaction tax 665,778 665,778
Franchise tax 169,716 169,716
Business license tax 250,352 250,352
Other taxes 257,990 29,828 287,818
Licenses and permits 97,322 97,322
Fines, forfeits and penalties 2,208 : 2,208
Charges for current services 1,049,906 1,049,906
Intergovernmental revenues 207,746 94,001 301,747
Interest, rents and concessions 127,477 127,477
Other revenues 20,147 20,147
Total Revenues 3,976,258 - 205,593 4,181,851
EXPENDITURES
Current:
General government 1,109,653 : 1,109,653
Public safety 2,248,165 2,248,165
Public works 187,594 31,625 219,219
Community development 78,969 650 79,619
Parks 28,126 - 28,126
Capital outlay 310,922 12,734 323,656
Debt service
Principal 7,619 59,298 66,917
Interest and fiscal charges 5,360 18,128 23,488
Total Expenditures 3,976,408 122,435 4,098,843
Excess (Deficiency) of Revenues over Expenditures (150) - 83,158 83,008
OTHER FINANCING SOURCES (USES)
Transfers in 50,000 50,000
Transfers out (50,000) (50,000)
Total Other Financing Sources (Uses) 50,000 (50,000)
Net Change in Fund Balances 49,850 - 33,158 83,008
Fund Balances Beginning 11,127,310 1,268,813 2,555,256 20,951,379 Fund Balances Ending $ 11,177,160 $ 7,268,813 $ 2,588,414 $ 21,034,387 The accompanying notes are an integral part of these financial statements.
City of Del Ray Oaks
Reconciliation of the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances to the Government-Wide Statement of Activities For the Fiscal Year Ended June 30, 2021
Net Change in Fund Balances - Total Governmental Funds $ 83,008 Amounts reported for governmental activities in the statement of activities and changes in net position were different because:
Governmental funds report capital outlay as expenditures. However, in the government-wide statement of activities and changes in net position, the cost of those assets was allocated over their estimated useful lives as depreciation expense.
Capital outlay 389,119
Depreciation expense (143,585)
Gain (loss) on disposal of capital assets (1,815)
Long-term compensated absences and claims payables were reported in the government-wide statement of activities, but they did not require the use of current financial resources and were not reported as expenditures in governmental funds. (9,835) In governmental funds, actual contributions to pension plans are reported as expenditures in the year incurred. However, in the government-wide statement of activities, only the current year pension expense as note in the plans' valuation reports is reported as an expense, as adjusted for deferred inflows and outflows of resources. (149,349)
In govermental funds, actual contributions to the OPEB plan is reported as expenditures in the year incurred.
However, in the government-wide statement of activities, only the current year OPEB expense as noted in the plan's valuation reports is reported as an expense, as adjusted for deferred inflows and outflows of resources. (65,122) The governmental funds report debt proceeds as an other financing source, while repayment of debt principal is reported as an expenditure. The net effect of these differences in the treatment of long-term debt and related items is as follows:
Repayment of debt principal 66,917
Interest expense on long-term debt was reported in the government-wide statement of activities and changes in net position, but it did not require the use of current financial resources. Therefore, interest expense was not reported as expenditures in governmental funds. The following amount represented the net change in compound interest from current year to prior year. (47,015) Change in Net Position of Governmental Activities $ 122,323 The accompanying notes are an integral part of these financial statements. 16 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The basic financial statements of the City of Del Rey Oaks, California, (the City) have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to governmental agencies.
The Governmental Accounting Standards Boards (GASB) is the accepted standard setting body for establishing governmental accounting and financial reporting principles. The more significant of the City's accounting policies are described below.
A. Financial Reporting Entity
The City of Del Rey Oaks, California was incorporated as a general law city on September 3, 1953. The City operates under a city council-manager form of government and provides a wide range of municipal services.
As required by GAAP, these basic financial statements present the City and its component units, entities for which the City is considered to be financially accountable. The City Council acts as the governing board.
In addition, the City staff performs all administrative and accounting functions for these entities and these entities provide their services entirely to the City. Blended component units, although legally separate entities are, in substance, part of the City's operations and data from these units are combined with data of the City. Discretely presented component units, on the other hand, are reported in a separate column in the government-wide financial statements to emphasize their legal separateness from the City. The City had no component units as of June 30, 2021.
The City applies all applicable GASB pronouncements for certain accounting and financial reporting guidance. In December of 2010, GASB issued GASBS No. 62, Codification of Accounting and Financial Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements. This statement incorporates pronouncements issued on or before November 30, 1989 into GASB authoritative literature. This includes pronouncements by the Financial Accounting Standards Board (FASB), Accounting Principles Board Opinions (APB), and the Accounting Research Bulletins of the American Institute of Certified Public Accountants' (AICPA) Committee on Accounting Procedure, unless those pronouncements conflict with or contradict with GASB pronouncements.
B. Basis of Accounting and Measurement Focus
The accounts of the City are organized on the basis of funds, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, révenues, and expenditures or expenses, as appropriate. 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 City's government-wide financial statements include a Statement of Net Position and a Statement of Activities and Changes in Net Position. These statements present a summary of the governmental activities for the City. Fiduciary activities of the City are not included in these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The City did not have any business-type activities during the year.
17 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
These statements are presented on an "economic resources" measurement focus and the accrual basis of accounting. Accordingly, all of the City's assets, deferred outflows of resources, liabilities, deferred inflows of resources (including capital assets, as well as infrastructure assets, and long-term liabilities), 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. The Statement of Activities demonstrates the degree to which the direct expenses of a given function or segment is offset by program revenues. Direct expenses are those clearly identifiable with a specific function or segment. In conformity with the City's indirect cost allocation plan, certain indirect costs are included in the program expense reported for individual functions and activities.
Certain types of transactions are reported as program revenues for the City in three categories:
• Charges for services
• Operating grants and contributions
• Capital grants and contributions
Certain eliminations have been made as prescribed by GASB Statement No. 34 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/Transfers out
Governmental Fund Financial Statements
Governmental fund financial statements include a Balance Sheet and a Statement of Revenues, Expenditures and Changes in Fund Balances for all major governmental funds and non-major funds aggregated. Al companying schedule is presented to reconcile and explain the differences in net position as presented i these statements to the net position presented in the government-wide financial statements. The City has presented all major funds that met the applicable criteria.
All governmental funds are accounted for on a spending or "current financial resources" measurement focus and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on the balance sheets. The Statement of Revenues, Expenditures and Changes in Fund Balances present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets.
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. Accordingly, revenues are recorded when received in cash, except that revenues subject to accrual (up to 90 days after year-end) are recognized when due. The primary revenue sources, which have been treated as susceptible to accrual by the City, are property tax, sales tax, intergovernmental revenues, other taxes, interest revenue, rental revenue and certain charges for services. Fines, forfeitures, and licenses and permits are not susceptible to accrual because they are usually not measurable until received in cash. Expenditures are recorded in the accounting period in which the related fund liability is incurred.
Unearned revenues arise when potential revenues do not meet both the "measurable" and "available" criteria for recognition in the current period. Unearned revenues also arise when the government receives resources before it has a legal claim to them, as when grant monies are received prior to incurring qualifying 18 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
expenditures. In subsequent periods when both revenue recognition criteria are met or when the government has a legal claim to the resources, the unearned revenue is removed from the combined balance sheet and revenue is recognized.
Major individual governmental funds are reported as separate columns in the fund financial statements.
The following funds are major funds:
General Fund - The General Fund is the general operating fund of the City. It accounts for the City's primary services (Public Safety, Public Works, Park, etc.) and is the primary operating unit of the City.
SBR Construction Fund - This capital project fund was established to account for the financial resources received as a result of the dissolution of FORA to be used for the completion of construction services for the South Boundary Roadway project that were initiated by FORA.
The following funds are nonmajor funds:
Gas Tax Fund - This special revenue fund was established to account for the financial resources required to be used on street/road projects.
SB 1 Fund - This special revenue fund was established to account for the financial resources received for transportation purposes.
Measure X Fund - This special revenue fund was established to account for the financial resources received as part of the Measure X retail transactions and use tax. The funds are to be used to fund transportation safety and mobility projects in Monterey County.
CARES Act Fund - This special revenue fund was established to account for the financial resources received from the Federal Coronavirus Aid, Relief, and Economic Security Act through the Department of Finance.
The funds are to be used to respond to or mitigate COVID-19.
Fora Habitat Management Fund - This special revenue fund was established to account for the financial resources received as a result of the dissolution of FORA to be used maintenance and management of properties that were previously under the purview of FORA.
SBR Engineering Fund - This capital project fund was established to account for the financial resources received as a result of the dissolution of FORA to be used for the completion of engineering services for the South Boundary Roadway that were initiated by FORA.
SBR/GJM Intersection Fund - This capital project fund was established to account for the financial resources received as a result of the dissolution of FORA to be used for the completion of an intersection construction project that was initiated by FORA.
C. Cash, Cash Equivalents and Investments
The City pools its cash and investments of all funds. Interest earned as a result of pooling is distributed to the appropriate funds utilizing a formula based on the average daily balance of cash of each fund. The City's cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments 19 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
with original maturity of three months or less from the date of acquisition. Cash and cash equivalents are combined with investments and displayed as Cash and Investments.
Deposit and Investment Risk Disclosures - In accordance with GASB Statement No. 40, Deposit and Investment Disclosures (Amendment of GASB Statement No. 3), certain disclosure requirements, if applicable, for Deposits and Investment Risks in the following areas:
• Interest Rate Risk
• Credit Risk
Overall
• Custodial Credit Risk
Concentrations of Credit Risk
• Foreign Currency Risk
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.
The City participates in an investment pool managed by the State of California titled Local Agency Investment Fund (LAIF). Under Federal Law, the State of California cannot declare bankruptcy; therefore, deposits in the LAIF shall not be subject to either of the following: (a) transfer or loan pursuant to Government Code Section 16310, 16312, or 16313, or (b) impoundment or seizure by any state official or state agency.
Investments are recorded at fair value in accordance with GASB Statement No. 72, Fair Value Measurement and Application. Accordingly, the change in fair value of investments is recognized as an increase or decrease to investment assets and investment income.
The following is a summary of the definition of fair value:
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction. In determining this amount, three valuation techniques are available:
• Market approach - This approach uses prices generated for identical or similar assets or liabilities. The most common example is an investment in a public security traded in an active exchange such as the • Cost approach - This technique determines the amount required to replace the current asset. This approach may be ideal for valuing donations of capital assets or historical treasures. • Income approach - This approach converts future amounts (such as cash flows) into a current discounted amount.
Each of these valuation techniques requires inputs to calculate a fair value. Observable inputs have been maximized in fair value measures, and unobservable inputs have been minimized.
D. Interfund Receivables and Payables
Items classified as interfund receivables/payables are referred to as "advances to/advances from other funds" or as "due to/from other funds". Due to/from other funds include short-term lending/borrowing transactions between funds. This classification also includes the current portion of an advance to or from another fund. Advances to/advances from other funds represents non-current portions of any long-term 20 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
lending/borrowing transactions between funds. This amount will be equally offset by a reserve of fund balance which indicates that it does not represent available financial resources and therefore, is not available for appropriation.
E. Receivables
Billed, but unpaid, services provided to individuals or non-governmental entities are recorded as accounts receivable. Revenues earned but not collected by year-end are accrued. No allowance for uncollectible accounts receivable has been provided as management has determined that uncollectible accounts have historically been immaterial and the direct write-off method does not result in a material difference from the allowance method.
F. Assets Held for Sale
Property that has been classified as held for sale have met the following criteria:
Management has committed to a plan to sell the asset;
: An active program to locate a buyer and other actions required to complete the plan of sale have been initiated;
The sale of the property or asset within one year is probable and will qualify for accounting purposes as a sale;
The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and
• Actions required to complete the plan of sale indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn.
G. Capital Assets
Capital outlays are recorded as expenditures of the General, Special Revenue, and Capital Projects Funds and as assets in the Government-Wide Financial Statements to the extent the City's capitalization threshold is met.
Capital assets, which include property, facilities, equipment, and infrastructure purchased or acquired are carried at historical cost or estimated historical cost. Contributed fixed assets are recorded at estimated fair market value at the time received. Infrastructure fixed assets consisting of roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting systems have been capitalized on a prospective basis, from July 1, 2003. Prior to July 1, 2003, infrastructure assets were not capitalized. Capital assets are defined by the City as assets with an initial, individual cost of more than $5,000 for equipment, $25,000 for facilities and improvements, $150,000 for infrastructure, all land, and an estimated useful life in excess of one year.
The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. Improvements are capitalized and depreciated over the remaining useful lives of the related fixed assets, as applicable.
Interest is capitalized on the construction or acquisition of major assets using debt proceeds. The amount of interest to be capitalized is calculated by offsetting interest expense incurred from the date of the borrowing until completion of the project with interest earned on invested proceeds over the same period.
No interest was capitalized during the year ended June 30, 2021. 21 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Property, facilities, equipment, and infrastructure are depreciated using the straight-line method over the following estimated useful lives:
Buildings 40 Years
aprovement 5-20 Years
5-10 Years
ehicle 8 Years
Furniture and Fixtures 10 Years
Infrastructure 20-50 Years
H. Deferred Outflows/Deferred Inflows
In addition to assets, the Statement of Net Position includes a separate section for deferred outflow of resources. This separate financial statement element, deferred outflow of resources, represents a consumption of net position that applies to a future period(s), and as such will not be recognized as an outflow of resources (expenses/expenditure) until then. The City has recognized deferred outflows of resources related to the recognition of the net pension liability and OPEB liability reported in the Statement of Net Position.
In addition to liabilities, the Statement of Net Position reports a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position that applies to a future period(s) and as such, will not be recognized as an inflow of resources (revenue) until that time. The City has recognized deferred inflows of resources related to the recognition of the pension liability and OPEB liability reported in the Statement of Net Position.
I. Interest Payable
In the government-wide financial statements, interest payable of long-term debt is recognized as an incurred liability for governmental fund types. The City has not allocated the interest on long-term debt to departments.
In the fund financial statements, governmental fund types do not recognize the interest payable when the liability is incurred. Interest on long-term debt is recorded in the fund statements when payment is made.
J. Deferred Compensation Plan
City employees may defer a portion of their compensation under a City sponsored deferred compensation plan created in accordance with Internal Revenue Code Section 457. Under this plan, participants are not taxed on the deferred portion of their compensation until distributed to them; distributions may be made only at termination, retirement, and death or in an emergency as defined by the Plan, Member contributions for the fiscal year ending June 30, 2021 totaled $11,400.
The laws governing deferred compensation plan assets require plan assets to be held by a Trust for the exclusive benefit of plan participants and their beneficiaries. Since the assets held under these plans are not the City's property and are not subject to City control, they have been excluded from these financial statements.
22 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
K. Compensated Absences
Compensated absences comprise of unpaid vacation, which are accrued as earned. Unused vacation may be accumulated up to 160 hours and is paid at the time of termination from City employment. The liability for compensated absence is determined annually. The long-term portion is recorded in the Statement of Net Position and represents a reconciling item between the fund and government-wide presentations. The following is a summary of the changes in compensated absences for the fiscal year ended June 30, 2021:
Due Within
Description June 30, 2020 Earned Taken June 30, 2021 One Year Government Activities 92,224 9,835 $ 102,059 $ 31,290
L. Long-Term Liabilities
In the government-wide financial statements, long-term liabilities are reported as liabilities in the applicable governmental activities. Bond premiums and discounts are deferred and amortized over the life of the bonds using the straight-line method. Bonds payable are reported net of the applicable bond premium or discount.
Debt issuance costs are expensed in year incurred.
In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financial sources. Premiums received on debt issuance are reported as other financing sources while discounts on debt issuance reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures.
M. Fund Balances
In accordance with Government Accounting Standards Board 54, Fund Balance Reporting and Governmental Fund Type Definitions, the City classifies governmental fund balances as follows:
Nonspendable
Nonspensable fund balance are amounts that cannot be spent because they are either (a) not in spendable form, such as long term receivables or (b) legally or contractually required to be maintained intact, such as a trust that must be retained in perpetuity.
Restricted
Restricted fund balance are restricted when constrains placed on the use of resources are either (a) externally imposed by creditors, grantors, contributors, or laws or regulations of other governments or (b) imposed by law through constitutional provisions or enabling legislation.
Committed fund balance are constrained for specific purposes that are internally imposed by the government through formal action of the highest level of decision-making authority and does not lapse at year-end. Committed fund balances are imposed by the City Council.
Assigned
Assigned fund balance are intended to be used for specific purposes that are neither considered restricted or committed. Fund balance may be assigned by the City Manager. 23 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Unassigned
The Unassigned Fund Balance category represents fund balance which may be held for specific types of uses or stabilization purposes, but is not yet directed to be used for a specific purpose.
The detail of amounts reported for each of the above defined fund balance categories is reported in the governmental funds balance sheet.
Flow Assumption /Spending Order Policy
When expenditures are incurred for purposes for which both restricted and unrestricted fund balance is available, the City considers restricted funds to be spent first. When expenditures are incurred for which committed, assigned, or unassigned fund balances are available, the City considers amounts to be spent first out of committed funds, then assigned funds, and finally unassigned funds, as needed, unless the City Council has directed otherwise.
N. Net Position
In the government-wide financial statements, net position is classified in the following categories:
Net Investment in Capital Assets
This amount consists of capital assets net of accumulated depreciation and reduced by outstanding debt that attributed to the acquisition, construction, or improvement of the assets. In addition, deferred outflows of resources and deferred inflows of resources that are attributable to the acquisition, construction, or improvement of those assets or related debt also are included in the net investment in capital assets component of net position.
Restricted Net Position
This amount is restricted by external creditors, grantors, contributors, or laws or regulations of other governments.
Unrestricted Net Position
This amount is all net position that does not meet the definition of "net investment in capital assets" or "restricted net position."
The detail of amounts reported for each of the above defined net position categories is reported in the government-wide Statement of Net Position.
Use of Restricted/Unrestricted Net Position
When an expense is incurred for purposes for which both restricted and unrestricted net position are available, the City's policy is to apply restricted net position first.
O. Property Taxes
County tax assessments include secured and unsecured property taxes. "Unsecured" refers to taxes on personal property. These tax assessments are secured by liens on the property being taxed.
Monterey County is responsible for the assessment, collection and apportionment of property taxes for all taxing jurisdictions. Property taxes are levied in equal installments on November 1 and February 1. They become delinquent on December 10 and April 10, respectively. The lien date is January 1 of each year. 24 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Property taxes are accounted for in the General Fund. Property tax revenues are recognized when they become measurable and available to finance current liabilities. The City considers property taxes as available if they are collected within 90 days after year end. Property tax on the unsecured roll are due or the January 1 lien date and become delinquent if unpaid on August 31. However, unsecured property taxes are not susceptible to year end accrual.
The City is permitted by Article XIIIA of the State of California Constitution (known as Proposition 13) to levy a maximum tax of $1.00 per $100 of full cash value.
P. Unearned Revenue
Unearned revenue arises when assets (such as cash) are received before revenue recognition criteria have been satisfied. Grants and entitlements received before eligibility requirements (such as qualified expenditures) are met are recorded as liabilities from unearned revenue.
2. Unavailable Revenue
In the governmental fund financial statements, receivables associated with non-exchange transactions that will not be collected within the availability period have been recorded as deferred inflows as unavailable revenue.
R. Use of Estimates
The preparation of basic financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.
S. Benefit Plans
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 City's California Public Employees' Retirement System (CalPERS) plan (the Plan) and additions to/deductions from the Plan's fiduciary net position have been determined on the same basis as they are reported by CaPERS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value.
GASB Statement No. 68, Accounting and Financial Reporting for Pensions - an amendment of GASB Statement No. 27 (GASB Statement No. 68) requires that the reported results pertain to liability and asset information within certain defined timeframes. For this report, the following timeframes were used:
Valuation Date (VD) .. .. June 30, 2019
Measurement Date (MD) June 30, 2020
Measurement Period (MP) June 30, 2019 to June 30, 2020
Other Postemployment Benefits Other Than Pensions (OPEB) For purposes of measuring the total OPEB liability, deferred outflows of resources and deferred inflows of resources, and OPEB expense, information about the City's Retiree Benefits Plan (the Plan) and additions to/deductions are based on when they are due and payable in accordance with the benefit terms for the 25 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
measurement period included in the OPE plan's actuarial reports.
Valuation Date (VD) .. ... June 30, 2019
Measurement Date (MD) June 30, 2020
Measurement Period (MP) ... June 30, 2019 to June 30, 2020 T. Implementation of New Accounting Pronouncements
GASB Statement No. 84, "Fiduciary Activities. " Issued in January 2017, this statement establishes criteria postemployment benefits as fiduciary and did not report any activities as custodial funds.
U. Upcoming New Accounting Pronouncements
The City is currently analyzing its accounting practices to determine the potential impact on the financial statements of the following recent GASB Statements:
GASB Statement No. 87, "Leases. " Issued in June 2017, this statement establishes standards of accounting and financial reporting for leases by lessees and lessors. It provides guidance on accounting treatment of lease assets, lease liability, short-term leases, certain regulated leases, measurement for leases other than short-term leases and contracts that transfer ownership, subleases, lease-leaseback transactions, intra-entity leases, and leases between related parties. The statement will be effective beginning fiscal year 2022.
GASB Statement No. 91, "Conduit Debt Obligations. " Issued in May 2019, this statement provides a single method of reporting conduit debt obligations by issuers and eliminates diversity in practice associated with (1) commitments extended by issuers, (2) arrangements associated with conduit debt obligations, and (3) related note disclosures. The statement will be effective beginning fiscal year 2023.
GASB Statement No. 92, "Omnibus 2020. " Issued in January 2020, this statement was issued for clarity and consistency by addressing practice issues identified from the implementation and application of certain GASB statements. The statement will be effective beginning fiscal year 2022.
GASB Statement No. 93, "Replacement of Interbank Offered Rates. " Issued in March 2020, this statement is to address accounting and financial reporting implications that result from the replacement of an interbank offered rate (IBOR) such as the London Interbank Offered Rate (LIBOR). As a result of global reference rate reform, LIBOR is expected to cease to exist in its current form at the end of 2021. The statement will be effective beginning fiscal year 2022.
GASB Statement No. 94, "Public-Private and Public-Public Partnerships and Availability Payment Arrangements. " Issued in March 2020, this statement is to improve financial reporting by establishing the definitions of public-private and public-public partnership arrangements (PPPs) and available payment arrangement (APAs) and providing uniform guidance on accounting and financial reporting for transactions that meet those definitions. The statement will be effective beginning fiscal year 2023.
GASB Statement No. 96, "Subscription-Based Information Technology Arrangements. " Issued in May 2020, the statement provides guidance on the accounting and financial reporting for subscription based information technology arrangements (SBITAs) for governments by (1) defining a SBITA, (2) establishing 26 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
that a SBITA results in a right-to-use subscription asset-an intangible asset-and a corresponding subscription liability, (3) providing the capitalization criteria for outlays other than subscription payments, including implementation costs of a SBITA, and (4) requiring note disclosures regarding a SBITA. The statement will be effective beginning fiscal year 2023.
GASB Statement No. 97, "Certain Component Unit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans-an amendment of GASB Statements No. 14 and No. 84, and a supersession of GASB Statement No. 32. " Issued in June 2020, the statement will result in more consistent financial reporting of defined contribution pension plans, defined contribution OPEB plans, and other employee benefit plans (e.g., certain Section 457 plans), while mitigating the costs associated with reporting those plans. The statement will be effective beginning fiscal year 2022.
NOTE 2 - CASH AND INVESTMENTS
As of June 30, 2021, cash and investments were reported in the financial statements as follows:
Total
Statement of Net Position Cash and
Unrestricted Restricted Investments
Cash in bank $ 427,927 $ 9,063 $ 436,990
Cash with fiscal agent - 8,676,732 8,676,732
Local Agency Investment Fund 3,045,879 3.045,879
Total cash and investments $ 3,473,806 $ 8,685,795 $ 12,159,601 A. Cash Deposits
The California Government Code requires California banks and savings and loan associations to secure the City's cash deposits by pledging securities as collateral. This Code states that collateral pledged in this manner shall have the effect of perfecting a security interest, and places the City ahead of general creditors of the institution.
The market value of pledged securities must equal at least 110 percent of the City's cash deposits. California law also allows institutions to secure City deposits by pledging first trust deed mortgage notes that have a value of 150 percent of the City's total cash deposits. The City has waived the collateral requirements for cash deposits which are fully insured to $250,000 by the Federal Deposits Insurance Corporation (FDIC).
The bank balances before reconciling items totaled $504,610 at June 30, 2021 and were different from carrying amounts due to deposits in transit and outstanding checks. As of June 30, 2021, the City's cash balances exceeded insurance by $254,610 but were collateralized as discussed above.
B. Restricted Cash with Fiscal Agent
For the year ended June 30, 2021, the City had a balance of $351,751 in a Public Agency Retirement Services (PARS) Pension Rate Stabilization Program (PRSP) 115 irrevocable trust for pensions.
Participating agencies maintain oversight of investment management and control over the risk tolerance level. Assets in the plan can be accessed to offset unexpected rate increases or be used as a rainy-day fund related to their pension plan (CalPERS). These assets are not dedicated to providing plan benefits to plan participants and are not directly used to pay benefits until such time as the City transfers the funds from the 27 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
PARS trust to the pension plan (CalPERS). The trust restricts the use of the assets to be used solely for pension related expenses. Amounts held in Trust for FORA Dissolution Administration and Successor Agency obligations are also reported as restricted cash and investments.
C. Fair Value Measurements
GASB 72 established a hierarchy of inputs to the valuation techniques. This hierarchy has three levels. • Level 1 inputs are quoted prices in active markets for identical assets or liabilities. • Level 2 inputs are quoted market prices for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other than quoted prices that are not observable.
• Level 3 inputs are unobservable inputs, such as a property valuation or an appraisal.
The City has the following recurring fair value measurements as of June 30, 2021:
• California Local Agency Investment Fund (LAIF) of $3,045,879; valued using Level 2 inputs.
D. Investment Policies
City Investment Policy
The City has an investment policy, which is in accordance with the California Government Code, the following investments are authorized:
Maximum Maximum
Maximum Total of Investment in
Authorized Investment Type Maturity (1) Portfolio Anyone Issuer Local Agency Bonds 5 years None None
U.S. Treasury Obligations 5 years None None
U.S. Agency Securities 5 years None None
Banker's Acceptances 180 days 40% 30%
Commercial Paper 270 days 25% 10%
Negotiable Certificates of Deposit 5 years 30% None
Repurchase Agreements 1 year 20% None
Reverse Repurchase Agreements 92 days 20% None
Medium-Term Notes 5 years 30% None
Mutual Funds N/A 20% 10%
Money Market Mutual Funds N/A 20% 10%
Mortgage Pass-Through Securities 2 years 20% None
County Pooled Investment Funds 1 year 20% None
Local Agency Investment Fund (LAIF) N/A None None
JPA Pools (other investment pools) N/A None None
28 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
E. External Investment Pool
The City's investments with LAIF at June 30, 2021, include a portion of the pool funds invested in Structured Notes and Asset-Backed Securities. These investments include the following:
Structured Notes
These are debt securities (other than asset-backed securities) whose cash flow characteristics (coupon rate, redemption amount, or stated maturity) depend upon one or more indices and/or that have embedded forwards or options.
Asset-Backed Securities
The bulk of asset-backed securities are mortgage-backed securities, entitle their purchasers to receive a share of the cash flows from a pool of assets such as principal and interest repayments from a pool of mortgages (such as CMO's) or credit card receivables.
LAIF is overseen by the Local Agency Investment Advisory Board, which consists of five members, in accordance with State statute. The approved investments policy is listed on the LAIF website, located at http://www.treasurer.ca.gov/pmia-laif/laif/index.asp.
F. Risk Disclosures
Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the term of an investment's maturity, the greater the sensitivity to changes in market interest rates. It is the City's practice to manage its exposure to interest rate risk is by purchasing a combination of shorter and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for City's operations.
Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of n investment. This is measured by the assignment of a rating by a nationally recognized statistical ratin rganization. As of June 30, 2021, the City's investments were in compliance with the ratings required b the City's investment policy, indenture agreements and Government Code.
Concentrations of Credit Risk
The investment policy of the City contains no limitations on the amount that can be invested in any one issuer beyond that stipulated by the California Government Code. As of June 30, 2021, the City had no investments in any one issuer (other than U.S. Treasury securities, mutual funds and external investment pools) that represented 5% or more of the total City investments.
Custodial Credit Risk
For an investment, custodial credit risk is the risk that, in the event of the failure of the counterparty, the City will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. The California Government Code does not contain legal or policy requirements that would limit the exposure to custodial credit risk for investments. With respect to investments, custodial credit risk generally applies only to direct investments in marketable securities. Custodial credit risk does 'not apply to a local government's indirect investment in securities through the use of mutual funds or government investment pools (such as LAIF).
29 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
NOTE 3 - INTERFUND TRANSACTIONS
A. Transfers In/Out
With Council approval resources may be transferred from one fund to another. Transfers routinely reimburse funds that have made an expenditure on behalf of another fund. Transfers may also be made to pay for capital projects or capital outlays, lease or debt service payments, and operating expenses. The City transferred $50,000 from the General Fund to the CARES Act Fund during the fiscal year ended June 30, 2021.
B. Interfund Receivables and Payables
The timing of when cash is received and paid can result in a negative cash balance in a fund as of fiscal NOTE 4 - CAPITAL ASSETS
Capital assets consisted of the following as of June 30, 2021:
Balance Deletions/ Balance
June 30, 2020 Additions Adjustments June 30, 2021
Non-depreciable:
Land $ 549,500 $ $ 549,500
Total Non-Depreciable 549,500 549,500
Depreciable:
Buildings and Improvements 638,486 52,952 691,438
Furniture, Equipment, and Vehicles 650,247 208,368 (66,724) 791,891 Structure and Improvements 1,089,600 127,799 1,217,399
Total Depreciable 2,378,333 389,119 (66,724) 2,700,728
Less Accumulated Depreciation for:
Buildings and Improvements (402,562) (15,692) (418,254) Furniture, Equipment, and Vehicles (368,492) (73,413) 64,909 (376,996) Structure and Improvements (67,500) (54,480) (121,980)
Total Accumulated Depreciation (838,554) (143,585) 64,909 (917,230) Total Depreciable Capital Asset - Net 1,539,779 245,534 (1,815) 1,783,498 Total Capital Assets - Net $ 2,089,279 $ 245.534 $ (1,815) $ 2,332,998 During fiscal year ended June 30, 2019, the City reclassified $8,904,673 in land to "held for resale" as the City is in the process of selling the land, which the City originally received as part of an Economic Development Conveyance through the Fort Ord Reuse Authority (FORA). The land remained classified as held for sale as of June 30, 2021.
30 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Depreciation expense was charged to the functions of the government as follows:
General Government $ 10,452
Police Department 55,820
Parks 10,496
Public Works 66,817
Total depreciation expense $ 143,585
NOTE 5 - LONG-TERM LIABILITIES
The City's long-term liabilities consisted of the following as of June 30, 2021:
Balance Balance Due Within
Description June 30, 2020 Additions Retirements June 30, 2021 One Year Capital Leases:
Software $ 40,222 $ - $ 7,619 $ 32,603 $ 7,826
Subtotal leases 40,222 7,619 32,603 7,826
Loans payable:
Federal Group International, LLC 1,200,000 1,200,000
Federal Group International, LLC
Compound Interest 242,059 47,015 289,074
TAMC Measure X Loan 764,713 59.208 705,415
Subtotal loans payable 2,206,772 47,015 59,298 2,194,489 Total $ 2,246.994 $ 47,015 $ 66.917 $ 2,227,092 $ 7,826 The following is a summary of the City's long-term debt as of June 30, 2021:
Records Management Software Capital Lease
The City entered into a software and service agreement with Sun Ridge System, Inc. to receive computer software and services from Sun Ridge System, Inc. The lease qualifies as a capital leases for accounting pate of the inception of ave lease. the principal aresent vast par fens om the lease are 8,713 sat theM interest rate of 2.721%.
As of June 30, 2021, the annual debt service requirements on the Records Management Software Capital Lease are as follows:
Year Ending June 30, Principal Interest Total
2022 7,826 887 8,713
2023 8,039 674 8,713
2024 8,258 455 8,713
2025 8,480 231 8,711
Total $ 32,603 $ 2,247 $ 34,850
31 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Federal Group International, LLC Loan Payable
The City has a promissory note with Federal Group International, LLC in the amount of $1,200,000, $700,000 of the note is the City's obligation to pay for funds loaned by Federal/JER Associates I, LLC to the former Redevelopment Agency of the City of Del Rey Oaks, the remaining $500,000 of the note evidences the City's obligation to pay the holder as settlement of claims between the City and Bellmont Rock Holdings, LIC. Interest is accrued at 5% per annum on the $700,000 beginning June 1, 2014, until the entire outstanding loan amount, plus interest, is paid in full. Payments on the note, once they commence, shall be for a five-year period, however if the note is not paid in full at the end of the five-year term it shall automatically renew, once, for an additional five-year term. No payment shall be due under this loan until commencement of construction on the Fort Ord property and are based on an increase of 50% of City revenue associated with the development of the entire property. The full balance of the loan, including accrued interest, totaling $1,442,049 will come due in the fiscal year ending June 30, 2021.
TAMC Measure X Loan Payable
In December 2018, the City entered into an agreement with the Transportation Agency for Monterey County (TAMC) for the purpose of receiving advance funding for the Del Rey Oaks Slurry Seal (the project). As of June 30, 2021, the TAMC had advanced $817,659 to the City. The loan is payable from Measure X revenue, which can only be estimated year to year, so no amortization schedule has been established at this time. An interest rate of 2.5% is fixed until such time as the Monterey County Pool Quarterly Rate rises above 2.0%, at which point the interest rate will be variable, tied to the Monterey County Pool Quarterly Rate plus 50 basis points, only becoming fixed again at 2.5% when the Monterey County Pool Quarterly Rate drops below 2.0%. The outstanding balance on the loan at June 30, 2021, was $705,415.
NOTE 6 - RISK MANAGEMENT
The City is exposed to various risks of loss related to torts, thefts, damage to, or destruction of assets; errors and omissions; injuries to workers; and natural disasters. These risks are covered by a combination of commercial insurance purchased from independent third parties and participation in the Monterey Bay Area Self Insurance Authority (MBASIA), which is a public entity risk pool. There have not been any significant reductions in insurance coverage as compared to the previous year. Settled claims from these risks have not exceeded commercial coverage for the past three fiscal years.
MBASIA was formed under a joint powers agreement (JPA) pursuant to California Government Code Section 6500 et seg. effective July 1, 1982. MBASIA is administered by a Board of Directors consisting of with the amount of predicted losses and shares surpluses and deficits proportionate to their participation in the JPA.
Financial statements for the Authority may be obtained from www.mbasia.org.
NOTE 7 - CALPERS PENSION PLAN
General Information about the Pension Plans
Plan Description - All qualified permanent and probationary employees are eligible to participate in the City's Miscellaneous and Safety Employee Pension Plans (the Plans); cost-sharing multiple employer 32 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
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 and beneficiaries. Benefits are based on years of credited service, equal to one year of full-time employment. Members with five years of total service are eligible to retire at age 55 with statutorily reduced benefits. All members are eligible for non-industrial disability benefits after 10 years of service. The death benefit is the Optional Settlement 2W Death Benefit. The cost-of-living adjustments for the Plan are applied as specified by the Public Employees' Retirement Law.
The Plans' provisions and benefits in effect at June 30, 2021, are summarized as follows:
Miscellaneous Safety
Tier 1 PEPRA Police Police - PEPRA
Benefit formula 2% @ 60 2% @62 2.0% @55 2.0% @57
Benefit vesting schedule 5 Years 5 Years 5 Years 5 Years Benefit payments Monthly for Life Monthly for Life Monthly for Life Monthly for Life Retirement age 60 62 55 57
Monthly benefits as a
% of cligible compensation 2.00% 2.00% 3.00% 2-2.70%
Required employee contribution rates 7.000% 6.750% 7.000% 10.000% Required employer contribution rates 8.794% 7.732% 14.810% 11.114% Employees Covered - At June 30, 2021 (fiscal year), June 30, 2019 (the valuation date), the following employees were covered by the benefit terms for the Plans:
_Miscellaneous Safety
Active 4 11
Transferred
Separated 2
Retired 6 15
Total 15 28
Contributions - Section 20814(c) of the California Public Employees' Retirement Law requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. Funding contributions for the Plans are determined annually on an actuarial basis as of June 30 by CalPERS. The actuarially determined rates are the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The City is required to contribute the difference between the actuarially determined rate and the contribution rate of employees. For the year ended June 30, 2021, the City's contributions were $16,607 and $110,590 for miscellaneous and safety, respectively.
33 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions Asify a 20l 021, the Cily reported et pensio libies for is proportionate shares of the net pension Proportionate Share
of Net Pension
Liability/(Asset)
Miscellaneous 450,973
Safety 1,232,857
Total $ 1,683,831
The City's net pension liability for the Plans is measured as the proportionate share of the net pension liability. The net pension liability of the Plans are measured as of June 30, 2020, and the total pension liability for the Plans used to calculate the net pension liability was determined by an actuarial valuation as of June 30, 2019 using standard update procedures. The City's proportion of the net pension liability was based on a projection of the City's long-term share of contributions to the pension plans relative to the projected contributions of all participating employers, actuarially determined. The City's proportionate share of the net pension liability for the Plans as of June 30, 2020 and 2021 was as follows:
Miscellaneous Safety Combined Plans
Proportion - June 30, 2020 0.01011% 0.01889% 0.01546%
Proportion - June 30, 2021 0.01069% 0.01850% 0.01548%
Change - Increase/(Decrease) 0.00058% -0.00039% 0.00002% For the year ended June 30, 2021, the City recognized pension expense of $276,547 for the plans.
At June 30, 2021, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:
Deferred Deferred
Outflows of Inflows of
Resources Resources
Changes of Assumptions $ $ 7,323
Differences between Expected and Actual Experience 118,842 Differences between Projected and Actual Investment Earnings 40,192 Differences between Employer's Contributions and
Proportionate Share of Contributions 3,518 168,143
Change in Employer's Proportion 31,424 32,744
Pension Contributions Made Subsequent to Measurement Date 127,197 Total $ 321,173 $ 208,210
The City reported $127,197 as deferred outflows of resources related to contributions subsequent to the measurement date that will be recognized as a reduction of the net pension liability in the year ended June 30, 2022.
34 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:
Fiscal Year Deferred Outflows/(Inflows)of Resources
Ending June 30: Miscellaneous Safety Total
2022 $ (5,922) $ (28,301) $ (34,223)
2023 685 (9,428) (8,742)
2024 4,223 4,656 8,879
2025 6,426 13,426 19,852
2026 -
:
Thereafter
Total $ 5,412 $ (19,647) $ (14,234)
Actuarial Assumptions - The total pension liabilities in the June 30, 2019 actuarial valuations were determined using the following actuarial assumptions:
Valuation Date June 30, 2019
Measurement Date June 30, 2020
Actuarial Cost Method Entry-Age Normal Cost Method
Actuarial Assumptions:
Discount Rate 7.15%
Inflation 2.50%
Payroll Growth 2.75%
Projected Salary Increase (1)
Investment Rate of Return 7.15% (2)
Mortality (3)
(1) Varies by entry age and service
(2) Net of pension plan investment expenses, including inflation (3) Derived using CalPERS' membership data for all funds Discount Rate - The discount rate used to measure the total pension liability was 7.15 percent for each Plan. To determine whether the municipal bond rate should be used in the calculation of a discount rate for each plan, CaPERS 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 will be applied to all plans in the Public Employees Retirement Fund (PERF). The stress test results are presented in a detailed report that can be obtained from the CalPERS' website.
The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.
In determining the long-term expected rate of return, CalPERS took into account both short-term and long- term market return expectations as well as the expected pension fund cash flows. Using historical returns 35 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
of all the funds' asset classes, expected compound 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 rounded 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 adjusted to account for assumed administrative expenses.
The table below reflects the 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 rates of return are net of administrative expenses.
Assumed Asset Real Return Real Return
Asset Class (a) Allocation Years 1 - 10(b) Years 11+ (c) Global Equity 50.00% 4.80% 5.98%
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% 4.93%
Liquidity 1.00% 0.00% -0.92%
Total 100.00%
(a) In the System's ACFR, Fixed Income is included in Global Debt Securities; Liquidity is included in Short-term Investments; Inflation Assets are included in both Global Equity Securities and Global Debt Securities. (b) An expected inflation of 2.0% used for this period. (c) An expected inflation of 2.92% used for this period. point higher than the current rate:
Miscellaneous Safety
1% Decrease 6.15% 6.15%
Net Pension Liability $ 728,944 1,870,293
Current 7.15% 7.15%
Net Pension Liability $ 450,973 1,232,857
1% Increase 8.15% 8.15%
Net Pension Liability $ 221,295 709,781
Pension Plan Fiduciary Net Position - Detailed information about each pension plan's fiduciary net position is available in the separately issued CaPERS financial reports. 36 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
NOTE 8 - OTHER POSTEMPLOYMENT BENEFITS PLAN
Plan Description - The City of Del Rey Oaks has contracted with the Public Employees Retirement System amended by action of the City Council on passing a resolution.
Benefits Provided - The City contributes toward post-retirement benefits for employees who retire after age 50 with at least 5 years of service. The City will pay the minimum CaPERS PEMHCA contribution.
Thymenshare made for as long as 02 rends employee a d pepeted te is liaise further in future years.
Employees Covered by Benefit Terms - At June 30, 2019 (the valuation date), the benefit terms covered the following employees:
Active employees 15
Inactive employees 2
Total employees
Contributions - The City makes contributions based on an actuarially determined rate and are approved by the authority of the City's Council. Total contributions to the OPEB plan during the year were $3,432.
Total benefit payments included in the measurement period were $1,668. The actuarially determined contribution for the measurement period was $74,765. The City's contributions were 0.13% of covered employee payroll during the measurement period June 30, 2019 (reporting period June 30, 2021) Employees are not required to contribute to the plan. There have been no assets accumulated in a trust to provide for the benefits of this plan.
Actuarial Assumptions
Valuation Date: June 30, 2019
Measurement Date: June 30, 2020
Actuarial Cost Method: Entry-Age Normal Cost Method
Amortization Period: 9.8 years
Actuarial Assumptions:
Discount Rate 2.21%
Inflation 2.75%
Salary Increases 3.25%
Healthcare Trend Rate 4.00%
Mortality 2017 CaPERS OPEB Assumptions Model for
miscellaneous
Retirement 2017 CaPERS OPEB Assumptions Model for
miscellaneous public employees with 2.0% at
55 retirement.
37 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Discount Rate - The discount rate was based on the Bond Buyer 20-bond General Obligation Index.
Changes in the Total OPEB Liability - The following summarizes the changes in the total OPEB liability during the year ended June 30, 2021, for the measurement date of June 30, 2019:
Plan Net OPEB
Fiscal Year Ended June 30, 2021 Total OPEB Fiduciary Liability (Measurement Date June 30, 2020) Liability Net Position (Asset) Balance at June 30,2020 $ 340,535. $ $ 340,535
Service cost 49,908 49,908
Interest in Total OPEB Liability 11,770 11,770
Balance of changes in assumptions 103,454 ....... 103,454 Benefit payments (8,523) (8,523)
Net changes 156,609 156,609
Balance at June 30, 2021 497.144 $ $ 497,144
Covered Employee Payroll $ 1,308,070
Total OPEB Liability as a % of Covered Employee Payroll 38.01% Plan Fid. Net Position as a % of Total OPEB Liability 0.00% Service Cost as a % of Covered Employee Payroll 3.82%
Net OPEB Liability as a % of Covered Employee Payroll 38.01% The City's plan is nonfunded, meaning there have not been assets placed into an irrevocable trust, therefore the plan fiduciary net position is zero.
Deferred Inflows and Outflows of Resources - At June 30, 2021, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources:
Deferred Deferred
Outflows of Inflows of
Resources Resources
Difference between actual and expected experience 49,012 Change in assumptions 67,652
OPEB contribution subsequent to measurement date 3,432
Totals 120,096 $
Of the total amount reported as deferred outflows of resources related to OPEB, $3,432 resulting from City contributions subsequent to the measurement date and before the end of the fiscal year will be included as a reduction of the total OPEB liability in the year ended June 30, 2022. 38 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Other amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows:
Year Ended June 30,
2022 13,731
2023 13,731
2024 13,731
2025 13,729
2026 13,731
Thereafter 48,011
Total $ 116,664
OPEB Expense - The following summarizes the OPEB expense by source during the year ended June 30, 2021, for the measurement date of June 30, 2019:
Service cost 49,908
11,770
Difference between actual and expected experience 7,315 Change in assumptions 6,416
OPEB Expense $ 75,409
The following summarizes changes in the total OPEB liability as reconciled to OPEB expense during the year ended June 30, 2021, for the measurement date of June 30, 2019:
Total OPEB liability ending $ 497,144
(340,535)
Change in total OPEB liability 156,609
Changes in deferred outflows (85,079)
Changes in deferred inflows (4,644)
Employer contributions and implict subsidy 8,523
$ 75,409
Sensitivity to Changes in the Municipal Bond Rate - The total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using a municipal bond rate (used to determine the discount rate) that is one percentage point lower or one percentage point higher, is as follows:
Municipal Bond Rate
(1% Decrease ) 2.21% (1% Increase )
Total OPEB Liability 607,689 $ 497,144 $ 413,899
39 City of Del Rey Oaks
Notes to the Basic Financial Statements
For the Fiscal Year Ended June 30, 2021
Sensitivity to Changes in the Healthcare Cost Trend Rates - The total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using healthcare cost trend rates that are one percentage point lower or one percentage point higher than current healthcare cost trend rates, is as follows:
Trend Rate
(1% Decrease ) 4.00% (1% Increase )
Total OPEB Liability $ 412,042 $ 497,144 $ 608,358
NOTE 9 - COMMITMENTS AND CONTINGENCIES
A. Lawsuits
The City is presently involved in certain matters of litigation that have arisen in the normal course of conducting City business. City management believes, based upon consultation with the City Attorney, that these cases, in the aggregate, are not expected to result in a material adverse financial impact on the City.
Additionally, City management believes that the City's insurance programs are sufficient to cover any potential losses should an unfavorable outcome materialize.
B. Federal and State Grant Programs
The City participates in Federal and State grant programs. These programs are audited by the City's independent accountants if required by and in accordance with the provisions of the Federal Single Audit ict Amendments of 1996 and applicable State requirements. For Federal programs, the City did not reac he level of qualifying expenditures during the current fiscal year that would require a single audi Expenditures which may be disallowed, if any, by the granting agencies, cannot be determined at this time.
The City expects such amounts, if any, to be immaterial.
NOTE 10 - INTERGOVERNMENTAL AGREEMENTS
The City has an agreement with the City of Seaside for fire protection and related services to be provided y Seaside pursuant to Government Code Section 55632. The annual fee for these services for fiscal yea nding June 30, 2021 was $208,550. Either party may cancel the agreement with at least 90 days writte notice.
The City has an agreement, effective as of October 2018, with the Monterey Peninsula Airport District (Airport), a Special District, for the City to provide law enforcement services to the Airport pursuant to Government Code Sections 54981 and 55632. The City received $774,306, a portion of the annual fee of $1,097,408, from the Airport for the initial year, then each subsequent year the fee will be increased by
2.5% per year or 50% of known cost increases, subject to the annual true up of costs to account for actual costs incurred by the City.
NOTE 11 - SUBSEQUENT EVENTS
Management has evaluated all subsequent events from the statement of financial position date of June 30, 2021, through the date the financial statements were available to be issued, March 10, 2022. Beginning in March 2020, the United States economy began suffering adverse effects from the COVID 19 Virus Crisis ("CV19 Crisis"). While the future impact of the CV19 Crisis cannot be reasonably estimated, management believes the District has sufficient reserves to withstand the potential negative impact CV19 may have on the economy and will continue to monitor the District's operating budget to account for CV19 declines. 40 CITY N
I CGRPORATED AND
REQUIRED SUPPLEMENTARY INFORMATION
41 City of Del Ray Oaks
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual (GAAP Basis)
General Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Budgeted Amounts Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes:
Property taxes $ 633,450 $ 681,950 $ 717,621 $ 35,671
Other taxes 1,690,650 2,047,850 1,753,831 (294,019)
Licenses and permits 57,700 82,150 97,322 15,172
Reimbursements 900 900 2,503 1,603
Fines, forfeits and penalties 12,000 5,000 2,208 (2,792) Grants 129,000 225,000 207,746 (17,254)
Current services 992,300 1,185,536 1,059,422 (126,114)
Parks and recreation 40,000 70,000 66,910 (3,090)
Other 84,000 29,000 68,695 39,695
Total Revenues 3,640,000 4,327,386 3.976,258 (351,128)
EXPENDITURES
Payroll and benefits 2,256,689 2,627,421 2,297,767 329,654 Office and Supplies 127,370 234,520 119,294 115,226
Utility and services 158,710 164,520 125,858 38,662
Other services 56,120 33,700 38,902 (5,202)
Outside services 470,330 538,860 916,706 (377,846)
Auto ops 80,050 97,030 40,568 56,462
Police and fire 217,720 217,720 219,615 (1,895)
Streets and storm water 251,810 (39,990) 151,432 (191,422) Capital improvement 130,000 (25,000) 53,287 (78,287)
Debt service
Principal 16,500 16,500 7,619 8,881
In rest and penal charges 5,360 5,360
3,765,299 3,865,281 3,976,408 111,127
Excess (Deficiency) of Revenues over Expenditures (125,299) 462,105 (150) (462,255)
OTHER FINANCING SOURCES (USES)
Transfers in 50,000 50,000
Transfers out :
Total Other Financing Sources (Uses) 50,000 50,000
Net Change in Fund Balances $ (125,299) $ 512,105 49,850 $ (462,255) Fund Balances - Beginning of Year 11,127,310
Fund Balances Ending $ 11,177,160
The City employs budget control by object codes and by individual appropriation accounts. Budgets are prepared on the modified accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America as prescribed by the Governmental Accounting Standards Board. The budgets are revised during the year by the City Council to provide for revised priorities. Expenditures cannot legally exceed appropriations by major object code. The originally adopted and final revised budgets for the General Fund are presented as Required Supplementary Information. The basis of budgeting is the same as GAAP. The expenditures noted above in excess of appropriations were covered by fund balance, appropriations available in other categories, or revenues in excess of budget. 42 City of Del Ray Oaks
Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual (GAAP Basis)
SBR Construction Capital Projects Fund
For the Fiscal Year Ended June 30, 2021
Variance with
Budgeted Amounts Final Budget
Actual Positive
Original Final Amounts (Negative)
REVENUES
Intergovernmental revenues $ $ $ $
Total Revenues - - -
EXPENDITURES
Total Expenditures
Excess (Deficiency) of Revenues over Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances $ $ - $
Fund Balances - Beginning of Year 7,268,813
Fund Balances Ending $ 7,268,813
The City employs budget control by object codes and by individual appropriation accounts. Budgets are prepared on the modifie accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America as prescribec categories, or revenues in excess of budget.
43 City of Del Rey Oaks
Schedule of Pension Plan Contributions
For the Fiscal Year Ended June 30, 2021
Miscellaneous Plan
Plan Measurement Date 2014 2015 2016 2017 2018 2019 2020 Fiscal Year Ended 2015 2016 2017 2018 2019 2020
Contractually Required Contributions S 33,822 $ 44,939 $ 37,901 $ 34,721 $ 23,757 $ 25,884 $ 16,607 Contributions in Relation to Contractually
Required Contributions 33,822 44.939. 37901 34.721 23,751 25,884 16,607 Contribution Deficiency (Excess)
Covered Payroll $ 368,033 $ 374,374 $ 296,535 S297,685 $ 434,368 S 322,853 $ 385,980 Contributions as a % of Covered Payroll 9.19% 12.00% 12.78% 11.66% 5.47% 8.02% 4.30% Safety Plan
Plan Measurement Date 2014 2015 2016 2017 2018 2019 2020 Fiscal Year Ended 2015 2016 2017 2018 2019 2020 2021
Contractually Required Contributions $ 121,758 $ 185,949 $ 162,246 $ 149,453 $ 79.875 $ 75,687 $ 110,590 Contributions in Relation to Contractually
Required Contributions 121.758 185949 162246 149453 79375 73687 110.590 Contribution Deficiency (Excess)
Covered Payroll $ 483,025 $ 500,535 $ 426,293 $ 301,916 $ 803,799 S 464,127 $ 964,824 Contributions as a % of Covered Payroll 25.21% 37.15% 38.06% 49.50% 9.94% 16.31% 11.46% Notes to Schedule:
Valuation Date: June 30, 2019
Assumptions Used: Entry Age Method used for Actuarial Cost Method Level Percentage of Payroll and Direct Rate Smoothing
3.8 Years Remaining Amortization Period
Inflation Assumed at 2.5%
Investment Rate of Returns set at 7.15%
CaPERS mortality table based on CalPERS' experience and include 15 years of projected ongoing mortality improvement using 90 percent of Scale MP 2016 published by the Society of Actuaries.
Fiscal year 2015 was the first year of implementation, therefore only seven years are shown.
The CalPERS discount rate was increased from 7.5% to 7.65% in fiscal year 2016 and then decreased from 7.65% to 7.15% in fiscal year 2018.
The CalPERS mortality assumptions was adjusted in fiscal year 2019. 44 City of Del Rey Oaks
Schedule of Proportionate Share of Net Pension Liabilities For the Fiscal Year Ended June 30, 2021
Miscellaneous and Safety Plan
Plan Measurement Date 2014 2015 2016 2017 2018 2019 2020 Fiscal Year Ended 2015 2016 2017 2018 2019 2020 2021
Proportion of Net Pension
Liability (Safety and Misc) 0.02058% 0.01585% 0.01592% 0.01564% 0.01561% 0.01546% 0.01548% Proportion of Net Pension
Liability (Misc Plan Only) 0.00966% 0.00744% 0.00858% 0.00928% 0.00953% 0.01011% 0.01069% Proportionate Share of
Net Pension Liability $ 1,280,369 $ 1,088,059 $ 1,377,408 $ 1,551,296 $ 1,504,158 $ 1,584,252 $ 1,683,831 Covered Payroll 853,661 851,058 $ 874,909 $ 722,828 599,601 $ 1,238,167 $ 786,980 Proportionate Share of NPL
as a % of Covered Payroll 149.99% 127.85% 157.43% 214.61% 250.86% 127.95% 213.96% Plan's Fiduciary Net Position
as a % of the TPL 79.31% 76.30% 75.12% 75.25% 75.63% 75.80% 75.17% Fiscal year 2015 was the first year of implementation, therefore only seven years are shown.
The CaPERS discount rate was increased from 7.5% to 7.65% in fiscal year 2016 and then decreased from 7.65% to 7.15% in fiscal year 2018.
The CaPERS mortality assumptions was adjusted in fiscal year 2019. 45 City of Del Rey Oaks
Schedule of Changes in Total OPEB Liability
For the Fiscal Year Ended June 30, 2021
Fiscal Year Ended 2018 2019 2020 2021
Total OPEB liability
Service cost $ 9,840 $ 8,537 $ 8,242 $ 49,908
Interest 7,961 9,288 9,987 11,770
Differences between expected and actual experience - 63,643 Changes of assumptions (33,928) (12049) 4,378 103454
Benefit payments (770) (6,774) (7,542) (8,523)
Net change in Total OPEB Liability (16,897) (998) 78,708 156,609 Total OPEB Liability - beginning 279,722 262,825 261,827 340,535 Total OPEB Liability - ending 262,825 $ 261,827 $ 340,535 $ 497,144 Plan fiduciary net position
Net change in plan fiduciary net position $ $ - $ - $
:
Plan fiduciary net position - beginning -
Plan fiduciary net position - ending $ - $ - $ - $ -
Net OPEB liability (asset) $ 262,825 261,827 340,535 497,144 Plan fiduciary net position as a
percentage of the total OPEB liability 0.00% 0.00% 0.00% 0.00% Covered Employee Payroll $ 977,093 $ 953,262 $ 1,080,538 $ 1,308,070 Net OPEB liability as a percentage
of covered employee payroll 26.90% 27.47% 31.52% 38.01% Total OPEB liability as a percentage
of covered employee payroll 26.90% 27.47% 31.52% 38.01% Other Notes
GASB 75 requires a schedule of contributions for the last ten fiscal years, or for as many years as are available if less than ten years are available. GASB 75 was adopted as of June 30, 2018.
There were not changes in benefit terms.
The discount rate was decrease from 3.87% to 3.50% in fiscal year 2020, and down to 2.21% in 2021.
The salary increases increased from 3.00% to 3.25% in fiscal year 2020.
The mortality rates were updated to the 2017 CaPERS OPEB Assumptions model. 46 City of Del Rey Oaks
Notes to the Required Supplementary Information
For the Fiscal Year Ended June 30, 2021
NOTE 1 - BUDGETARY DATA
The City Council adopts an annual legal budget for the General Fund and the SBR Special Revenue Fund.
All appropriations lapse at fiscal year end and then are rebudgeted for the coming fiscal year. Encumbrance accounting is not used. The budgets are prepared on the modified accrual basis of accounting, which is consistent with generally accepted accounting principles.
A mid-year budget review is performed and the budget is amended by passage of a resolution. Additional appropriations or interfund transfers not included in the amended budget resolution must be approved by the City Council.
47 SUPPLEMENTARY INFORMATION
City of Del Ray Oaks
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2021
Special Revenue Funds
FORA Habitat
Gas Tax SB 1 Measure X CARES Act Management
Fund Fund Fund Fund Fund
ASSETS
Cash and investments 47,564 $ 98,753 $ 95,971 $ - $ 775,204 Receivables:
Taxes - 4,586 4,338 - •
Total assets 47,564 103,339 $ 100,309 $ - $ 775,204
FUND BALANCES
Restricted:
Streets and roads 47,564 103,339 100,309 $ - $
Habitat management - - 775,204
Capital projects -
Total fund balances $ 17,564 = 103339 I 100,300 3: $ 775,204 49 City of Del Ray Oaks
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2021
Capital Project Funds
Total
SBR SBR/GJM Nonmajor
Engineering Intersection Govemmental
Fund Fund Funds
ASSETS
Cash and investments $ 505,830 $ 1,056,168 $ 2,579,490
Receivables:
Taxes 8,924
Total assets 505,830 $ 1,056,168 $2,588,414
FUND BALANCES
Restricted:
Streets and roads $ - $ 251,212
Habitat management 775,204
Capital projects 505,830 1,056,168 1,561,998
Total fund balances 505,830 $ 1,056,168 $ 2,588,414
50 City of Del Ray Oaks
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances Nonmajor Governmental Funds
For the Fiscal Year Ended June 30, 2021
Special Revenue Funds
FORA Habitat
Gas Tax SB 1 Measure X CARES Act Management
Fund Fund Fund
REVENUES
Taxes:
Sales tax $ : $ $ 81,764 $ - $
Other taxes 29,828
Intergovermental revenues 44,001 : 50,000
Total Revenues 44,001 29,828 81,764 50,000 -
EXPENDITURES
Current:
Public works 31,625
Community development : :
Capital outlay -
Debt service
Principal : - 59,298 -
Interest and fiscal charges 18,128
Total Expenditures 31,625 77,426 - 650
Excess (Deficiency) of Revenues over
Expenditures 12,376 29,828 4,338 50,000 (650)
OTHER FINANCING SOURCES (USES)
Transfers in - -
Transfers out - (50,000) -
Total Other Financing Sources (Uses) (50,000)
Net Change in Fund Balances 12,376 29,828 4,338 (650)
Fund Balances Beginning 35,188 73,511 95,971 775,854
Prior Period Adjustments - see note 12
Fund Balances - Beginning of Year, as Adjuste 35,188 73,511 95,971 775,854 Fund Balances Ending $ 47,564 $ 103,339 $ 100,309 $ $ 775,204 51 City of Del Ray Oaks
Combining Schedule of Revenues, Expenditures and Changes in Fund Balances Nonmajor Governmental Funds
For the Fiscal Year Ended June 30, 2021
Capital Projects Funds
Total
SBR SBR/GJM Nonmajor
Engineering Intersection Governmental
Fund Fund Funds
REVENUES
Taxes:
Sales tax $ $ $ 81,764
Other taxes 29,828
Intergovernmental revenues 94,001
Total Revenues - 205,593
EXPENDITURES
Current:
Public works - 31,625
Community development : 650
Capital outlay 12,734 12,734
Debt service
Principal : 59,298
Interest and fiscal charges 18,128
Total Expenditures 12,734 122,435
Excess (Deficiency) of Revenues over
Expenditures (12,734) - 83,158
OTHER FINANCING SOURCES (USES)
Transfers in
: :
Transfers out (50,000)
Total Other Financing Sources (Uses) - (50,000)
Net Change in Fund Balances (12,734) 33,158
Fund Balances Beginning 518,564 1,056,168 2,555,256
Prior Period Adjustments - see note 12
Fund Balances - Beginning of Year, as Adjuste 518,564 1,056,168 2,555,256 Fund Balances Ending $ 505,830 $ 1,056,168 $ 2,588,414
52 OTHER INDEPENDENT
AUDITOR'S REPORT
53 Chavan and Associates, lIp
Certified Public Accountants
INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL
REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT
OF THE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS
To the Honorable Mayor and Members of the
City Council of the City of Del Rey Oaks
Del Rey Oaks, California
year ended June 30, 2021, and the related notes to the financial statements, which collectively comprise City's basic financial statements, and have issued our report thereon dated March 10, 2022.
Internal Control over Financial Reporting
In planning and performing our audit of the financial statements, we considered City's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of City's internal control. Accordingly, we do not express an opinion on the effectiveness of City's internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the City's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over financial reporting that might be material weaknesses or significant deficiencies. Given these limitations. during our audit we did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether 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 determination of financial statement amounts. 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.
15105 Concord Circle, Ste. 130, Morgan Hill, CA 95037
Tel: 408-217-8749 - E-Fax: 408-872-4159
54 [email protected] • www.cnallp.com
Chavan and Associates, lIp
Certified Public Accountants
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.
C&A UP
March 10, 2022
Morgan Hill, California
15105 Concord Circle, Ste. 130, Morgan Hill, CA 95037
Tel: 408-217-8749 • F-Fax: 408-872-4159
55 [email protected] • www.cnallp.com
City of Del Rey Oaks
Schedule of Findings and Responses
For the Fiscal Year Ended June 30, 2021
Current Year Findings:
None Noted
Status of Prior Year Findings:
None Noted
56 OF DEL RED
CITY OF DEL REY OAKS
650 CANYON DEL REY RD. O DEL REY OAKS, CALIFORNIA 93940 PHONE (831) 394-8511 O FAX (831) 394-6421
ICOAPORATED 195
Date: March 22, 2022
TO: Honorable Mayor and City Council Members
FROM: John Guertin, City Manager
SUBJECT: Mid-Year Budget Review and Amendment for Fiscal Year 2021-2022 CEQA: This action does not constitute a "project" as defined by the California Environmental Quality Act (CEQA) guidelines section 15378 as it is an organizational activity of the City that will not result in direct or indirect physical changes in the environment.
Recommendation
The Finance Committee reviewed this item and recommends approval of the mid-year budget adjustments.
Background
We are pleased to present the Mid-Year Budget Adjustments for Fiscal Year 2021-22. The mid- year budget uses actual revenues and expenditures through February 28, 2022 and incorporates staff's revised estimates for revenue and expenditures for the remainder of the fiscal year.
Summary & Discussion
The impact of the mid-year budget adjustments is summarized as follows for the General Fund:
Mid-Year
Original Budget Revised Budget Adjustments
100-General Fund
¡Estimated Revenues 4,573,529.00j
'Appropriations 2168050000 4,186,790.00 10727900
Transfers Out to Prop 68 Grant Fund (35,400.00) (35,400.00)| ! Surplus (Deticit) 272,590.00 351,339.00 78,749.00
The proposed Mid-Year budget adjustments result in General Fund estimated revenues increasing $407,479, while appropriations are requested to increase $328,730. This results in a net increase of $78,749 to the original estimated operating surplus of $272,590 bringing the estimated surplus for the year to $351,339. The detail of the changes is explained in the following sections.
Estimated Revenue Increase of $407.479
The table below shows the revenue account adjustments that create the $407,479 increase in estimated revenues. All revenue accounts are shown on the attachment. 100 - General Fund 2021-2022 2021 - 2022 2021 - 2022 2021 - 2022 % of Budget Budget
Original Budgot! Used Revised Budget: Adjustments Reason Re aNon Department Specific
P/T-Secured 41110 507,000.00 59.11% 510,000.00 3,000.00 PIT-Unsecured 41120 18,000.00 124.94% 22,000.00: 4,000.00 P/T-Unitary Tax 41150 8,400.00 58.41% 8,500.00: 100.00:
P/T-Supplemental Roll (SB813) 41160 9,800.00 53.30%: 10,000.00 200.00 Sales Tax 42210 395,000.00 94.20% 490,000.00 95,000.00 Projection based on actuals thru Feb & HdL Projections Sales Tax- Add On 42220 837,000.00 77.50% 900,000.00 63,000.00, Projection based on actuals thru Feb & HdL Projections Cannabis Tax 42222 300,000.00 41.08% 200,000.00 (100,000.00) Reduced sales and delinguencies Transient Occupancy Tax 42230 35,000.00 142.55% 75,000.00 40,000.00 Increased rentals Building Permits 43320 35,000.00 82.60% 40,000.00 5,000.00 Increased activity Cop Monies 47240 100,000.00 127.95% 161.000.00 61,000.00 Supplemental funding AMBAG REAP Grant - Housing 47241 0.00%' 57,179.00 57,1790 Remainder or 885000 Grant as of 6/3021 Element
CD LEAP Grant - Housing Element: 47242 0.00% 65,000.00 65,000.00 Remainder of $65,000 Grant as of 6/30/21 Prop 172 47750 15,000.00 136.56% 25,000.00 10,000.00 Additional funding Police Reports 48210 2,000.00 18.75%: 1,000.00 (1,000.00) Police Services 48211 5,000.00 783.00% 48,000.00 43,000.00 Special events are retuming Rental - Park 48910 1,000.00 305.00% 3,100.00 2,100.00
Resttuton 48960 10,800.00 654.81% 70,700.00 59.900.00 full res ituion received Total Rovenue 407,478.00
The largest revenue increase is in sales tax due to a bigger than anticipated rebound of the economy after the pandemic due to pent-up demand. This increase is expected to be a one-time increase with sales tax leveling off next fiscal year. The $61,000 increase in COP monies is due to the formula the State uses for this funding. The City is guaranteed $100,000 with a surplus amount based on State calculations. The surplus amount has been received. All these increases are offset by a $100,000 reduction in cannabis tax, which is due to a deferral provided to one of the dispensaries/manufacturers. In addition, sales have decreased in local dispensaries.
The increases of $57,179 and $65,000 in the REAP and LEAP grants are for two grants obtained for the housing element. These are the amounts not yet received from the $130,000 in grants as of June 30, 2021. This revenue is offset by an appropriation to pay for the housing element.
General Fund Appropriation Increase of $328,730
The net increase in appropriations by department is summarized as follows:
Department Adjustment
City Council 1,000.00
City Clerk 11,030.00
City Manger 4,600.001
Audit-Treaurer 400000
• Legal
Planning & Bidg 114,600.00
Police 175,400.00:
Fire Dept. 13,700.00
Public Works 6,400.00'
Parks (2,000.00)
328,730.00
The detail of all the above adjustments is included as an attachment. This staff report summarizes the major changes.
The police department increase is primarily due to an increase of $144,800 in compensation for the hire of a frozen officer position and for Overtime and Reserve Officer's pay. This increase is the result of two officers being out on administrative leave for an extended period of time, impacts of COVID on staffing, and the return of special events which require additional overtime staffing which is reimbursed by the promoters. The increased costs are partially offset by revenue reimbursement for special events increasing by $43,000 for this year due to these events.
The fire department increase of $13,700 is due to the increase in the cost of the fire services contract that was communicated to the City after adoption of the FY 2021-22 budget.
The Planning Department increase of $114,600 is due to an appropriation of $64,600 to cover the remainder of the $130,000 grant-funded contract for the preparation of the Housing Element as of June 30, 2021; $30,000 for the Economic Development services contract; and increased building inspection and plan check services due to an increase in building permits and plan checks.
All the above department increases include $32,500 spread throughout all the departments for increased workers compensation and liability insurance premiums. The original budget estimate was provided by MBASIA in January 2021. By the time the final premiums were developed (after adoption of the budget) they had increased.
SBR (South Boundary Road) Engineering Fund Appropriation The SBR Engineering Fund, shown on the attached document, shows a mid-year budget adjustment of $505,830 in appropriations. This is the amount of funding available for the Whitson Engineering contract as of June 30, 2021. The funds were transferred by FORA to the City along with the obligation for the engineering contract.
Fiscal Impacts
The increases in estimated revenues and appropriations will result in the Estimated General Fund operating surplus for the fiscal year increasing by $78,749 to $351,339. If the surplus should materialize staff recommends the following uses for the operating surplus:
• $150,000 for Section 115 trust to fund the CaPERS Net Pension Obligation • $201,339 set aside to begin paying down long-term debt Recommended Action
Receive the Mid-Year Budget Review and approve the Budget Amendment.
ATTACHMENTS:
Mid-Year Budget Amendment for FY 2021-2022
Respectfully submitted,
John Guertin
City Manager
100 - General Fund 2021-2022 2021 - 2022 2021 - 2022 2021 - 2022 2021-2022 Original % of Budget Revised Budget
Actual Budget Used Budget Adjustments
--
Revenue
Non Department Specific
P/T-Secured 299,708.97 507,000.00 59.11% 510,000.00 3,000.00 P/T-Unsecured 22,489.37 18,000.00 124.94% 22,000.00 4,000.00 P/T-Prior Secured 3,450.98 6,000.00 57.52% 6,000.00
Prior Unsecured 100.00 0.00% 100.00
P/T-Unitary Tax 4,906.72 8,400.00 58.41% 8,500.00
P/T-Supplemental Roll 5,223.38 9,800.00 53.30% 10,000.00 Property Tax - VIf 85,856.00 166,000.00 51.72% 166,000.00 P/T-Int/Penal 166.19 1,000.00 16.62% 1,000.00
Sales Tax 372,079.90 395,000.00 94.20% 490,000.00 95,000.00 Sales Tax - Add On 648,662.20 837,000.00 77.50% 900,000.00 63,000.00 Cannabis Tax 123,230.00 300,000.00 41.08% 200,000.00 (100,000.00) Transient Occupancy Tax 49,893.53 35,000.00 142.55% 75,000.00 40,000.00 Property Transfer Tax 9,200.00 0.00% 9,200.00 -
Sewer Impact 15,000.00 0.00% 15,000.00 -
Business Licenses 145,769.23 215,000.00 67.80% 215,000.00 - Gas Franchises 5,800.00 0.00% 5,800.00 -
Electric Franchises 18,500.00 0.00% 18,500.00 -
Garbage Franchises 75,957.04 100,000.00 75.96% 100,000.00 - Cable Tv Franchises 20,791.80 26,000.00 79.97% 26,000.00 - Water Franchises 22,000.00 0.00% 22,000.00 -
Sb1186 Disability Access 554.00 1,000.00 55.40% 1,000.00 - SB1473 Evironmental 51.00 100.00 51.00% 100.00
Building Permits 28,908.93 35,000.00 82.60% 40,000.00 5,000.00 Cannabis Business Permit 30,000.00 30,000.00 100.00% 30,000.00 - Plan Check Fees 10,989.50 17,000.00 64.64% 17,000.00 -
Street Opening Permits Fees 2,700.00 5,000.00 54.00% 5,000.00 - Plumbing Permits 1,250.00 1,600.00 78.13% 1,600.00 -
Electrical Permits 750.00 1,600.00 46.88% 1,600.00 -
Other Licenses/Permits 1,000.00 0.00% 1,000.00 -
Fines & Forfeitures - 200.00 0.00% 200.00
Vehicle Code Fines 3,099.44 5,000.00 61.99% 5,000.00
Interest Earned 4,462.74 20,000.00 22.31% 20,000.00
Rental - Garden Ctr 27,000.00 36,000.00 75.00% 36,000.00 - Rental - Airport RV 23,200.00 35,000.00 66.29% 35,000.00 Rental - PW BIdg 7,000.00 12,000.00 58.33% 12,000.00
HOPTR 324.50 1,200.00 27.04% 1,200.00
Vehicle License Collection 605.00 0.00%
Cop Monies 127,951.53 100,000.00 127.95% 161,000.00
AMBAG REAP Grant - 8,462.00 - 0.00% 57,179.00 57,179.00 Housing Element
HCD LEAP Grant - Housing 24,079.75 15,000.00 0.00% 65,000.00 65,000.00 Prop 172 20,483.63 136.56% 25,000.00 10,000.00
Grants - Wellness 7,500.00 7,500.00 100.00% 7,500.00
Police Grants Other 2,500.00 5,000.00 50.00% 5,000.00
POST Reimbursements - 0.00%
Police Reports 375.00 2,000.00 18.75% 1.000.00
Police Services 39,150.00 5,000.00 783.00% 48,000.00 43,000.00 Public Events 5,000.00 0.00% 5,000.00
Use Permits 14,34.00 20,000.00 73.17% 20,000.00
Maps/Publications 100.00 6.30% 100.00
Property Inspections 5,250.00 4,500.00 116.67% 4,500.00 100 - General Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Original % of Budget Revised Budget
Actual Budget Used Budget Adjustments
Miscellaneous Services 5,409.39 10,000.00 54.09% 10,000.00 Donation - Other Non-Pd 1,500.00 0.00%
Rental - Park 3,050.00 1,000.00 305.00% 33,100.00 2,100.00 Miscellaneous Refunds 412.04 0.00%
Restitution 70,719.72 10,800.00 654.81% 70,700.00 5050000 Police 0.00%
Airport Police Services 689,517.69 1,083,650.00 63.63% 1,083,650.00 Total Revenue 3,020,081.47 4,166,050.00 72.49% 4,573,529.00 407.473.00 3,020,081.47
Expense
Council
Payroll
Council Member Stipend 5.000.00 7.500.00 66.67% 9,000.00 1,500.00 Dental Exp - City Council - 0.00%
Medicare 72.49 110.00 65.90% 110.00 :
Dental Expense 4,179.75 7,000.00 59.71% 7,000.00
Member/Dues/Contributions 5,107.12 2,000.00 255.36% 2,000.00 (1.500000 Ad/Promotion City Oncl - 1,500.00 0.00%
Strategic Planning 5,960.10 11,000.00 54.18% 12,000.00
Election Cost - 0.00% 33000.0 2000
Travel Expenses 315.82 3,000.00 10.53%
City Clerk
Payroll 87,156.68 141,100.00 61.77% 141,100.00
Temp Payroll 3,667.92 25,000.00 14.67% 25,000.00 :
Overtime - 5,000.00 0.00% 5,000.00
PERS UAL 32,973.00 34,200.00 96.41% 34,200.00
PERS Retirement 6,741.54 11,700.00 57.62% 11,700.00
Medicare 1,248.81 2,100.00 59.47% 2,100.00
Social Security 431.40
Employer FUTA 115.35 : :
Dental Expense 2,522.55 3,500.00 72.07% 3,500.00
Health Insurance 34,102.59 43,500.00 78.40% 43,500.00
Health Insurance Retiree 441.00 -
Vision Ins 165.10 500.00 33.02% 500.00
Workers Comp 11,312.09 8,400.00 134.67% 11,400.00
Wellness Program 458.84 1,000.00 45.88% 1,000.00 300000 Reimbursements - Exp - 10,870.00
Materials/Supply 11,437.77 105.22% 16,300.00 5,430.00
Office Supplies 6,188.91 11,200.00 55.26% 11,200.00
Repair/Maintenance :
- 7.880.00
Telephone 4,589.06 7.880.00 59.75%
-
Internet 310.57
3200.00 320000
Website Design & 179.88 5.62%
Postage / Shipping 2,049.47 2,400.00 85.39% 2,400.00
Liability/Prop Non-Dpt 13,160.27 10,600.00 124.15% 13,200.00 2,600.00 Contract Services - IT 5,475.89 5,000.00 109.52% 5,000.00 Contract Services -Finance :
-
40,000.00 27.53% 40,000.00
Contract Services - HR 11,013.72 -
Organic Waste Regs - 12,000.00 0.00% 12,000.00 -
Municipal Code Service 495.00 10,000.00 4.95% 10,000.00 - Records Retention Services 2,450.00 5,000.00 49.00% 5,000.00 Member/Dues/Contributions 914.00 1,000.00 91.40% 1,000.00 - 100 - General Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Original % of Budget Revised Budget
Actual Budget Used Budget Adjustments
Misc Expenses
Furniture, Equipment & :
City Manager
Payroll 117,952.06 180,000.00 65.53% 180,000.00
PERS UAL 575.50 600.00 95.92% 600.00 :
PERS Retirement 8,752.03 13,700.00 63.88% 13,700.00 -
Medicare 1,704.39 2,700.00 63.13% 2,700.00 -
Employer FUTA 84.00 -
Dental Expense 1,263.19 1,600.00 78.95% 1.000.00
Health Insurance 20,095.54 21,800.00 92.18% 21,800.00 - Vision Ins 151.42 500.00 30.28% 500.00
Workers Comp 11,873.21 9,400.00 126.31% 11,900.00 2.500.00 Wellness Program 89.74 500.00 17.95% 500.00
Deferred Compensation 12,000.00 0.00% 12,000.00
Admin Leave 4.711.35 67.31% :
7,000.00 7,000.00
Auto Allowance 2,475.00 5,400.00 45.83% 5,400.00
Office Supplies 1,370.39 1,530.00 89.57% 1,530.00
Liability/Prop Non-Dpt 13,850.24 11,800.00 117.37% 13,900.00 2,100.00 Contract Services - HR - -
Member/Dues/Contributions 3,381.95 3,500.00 96.63% 3,500.00 Books and Periodicals : 300.00 0.00% 300.00
Travel Expenses 8,000.00 0.00% 8,000.00
Audit/Treasurer
ADP Payroll Fees 4,694.30 3,500.00 134.12% 7,100.00 3,600.00 Bank Service Charges 461.80 1,000.00 46.18% 1,000.00
Accounting Software 3,593.26 3,200.00 112.29% 3,600.00 100.00 Contractual Services - Audit 12,763.72 35,000.00 36.47% 35,000.00 Contract Services - MIP - :
Contract Services - 82,231.75 180,000.00 45.68% 180,000.00 Legal
Contract Services - Legal 95,962.96 225,000.00 42.65% 225,000.00 Legal Advert 829.50 1,500.00 55.30% 1,500.00 :
Planning & Building Regulation
Contract Services - Plannin 16,686.75 80,000.00 20.86% 42,800.00 (37,200.00) Contract Services - Housin 16,905.00 64,600.00 64,600.00 Contract Services - Building 30,453.33 : 52,200.00 52,200.00 Inspection Services
Contract Services - 2,718.17 5,000.00 5,000.00
Engineering Services
Contract Services - 20,878.75 30,000.00 30,000.00
Member/Dues/Contributions 1,363.60 3000
Travel Expenses 0.00% 33000.00 :
S.M.I.P.
Sb 1473 : : :
Government Buildings
Materials/Supply
Repair/Maintenance 12018.02 20,000.00 60.09% 20,000.00
Utilities/Pge -
Contract Services - Planning 210000 2000
Janitorial Fund 1,312.50 62.50% :
Non-Departmental
Materials/Supply 992.20 6,120.00 16.21% 6,120.00
Telephone 1,120.00 0.00% 1,120.00 :
100 - General Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Original % of Budget Revised Budget
Actual Budget Used Budget Adjustments
Liability/Prop Non-Dpt 14,802.50
Member/Dues/Contributions 19,835.16 13,000.00 152.58% 13,000.00 Misc Expenses 109.90 1,000.00 10.99% 1,000.00
S.M.I.P. 66.09 200.00 33.05% 200.00
Sb 1473 26.40 100.00 26.40% 100.00 :
Police
Payroll 548,288.66 934,800.00 58.65% 825,000.00 (109,800.00) Overtime 86,221.06 70,000.00 123.17% 129,300.00 59,300.00 Reserves Payroll 73,560.00 70,000.00 105.09% 110,300.00 40,300.00 PERS UAL 91,169.00 94,400.00 96.58% 94,400.00
PERS Retirement 57,698.77 117,600.00 49.06% 117,600.00
PERS 457 Expense 22,300.00 36,000.00 61.94% 36,000.00
Medicare 14,318.00 13,500.00 106.06% 13,500.00
Social Security 872.11
Employer FUTA 532.97 :
Dental Expense 14,962.87 21,100.00 70.91% 21,100.00
Health Insurance 160,412.38 261,800.00 61.27% 261,800.00 700.00 Health Insurance - Retiree 441.00 700.00
Vision Ins 1,964.92 3,200.00 61.40% 3,200.00
Workers Comp 123,447.26 118,700.00 104.00% 123,500.00 4,300.00 Wellness Program 1,717.03 5,000.00 34.34% 5,000.00 :
Uniform Allowance 7,000.00 10,000.00 70.00% 10,000.00
Admin Leave 99,656.70 - 149,500.00 149,500.00
Materials/Supply 13,251.98 45,000.00 29.45% 45,000.00
Ammunition 1,254.73 4,000.00 31.37% 4,000.00 :
Office Supplies 2,093.58 3,000.00 69.79% 3,000.00
Special Supply Police 7,614.90 - 9300000
PD Safety Equip Lease - 28,915.23 20,700.00 139.69% 30,000.00 PD Safety Equip Lease -
Auto Ops - Supplies / Equip 271.03 2,500.00 10.84% 2,500.00 :
Auto Ops - Fuel 15,244.91 26,000.00 58.63% 26,000.00
Bank Service Charges -
Repair/Maintenance 7,663.92 14,000.00 54.74% 14.000.00
Telephone 10,899.29 14,000.00 77.85% 14,000.00
Internet 1,951.36 - -
Postage / Shipping 149.85 500.00 29.97% 500.00
Training Police 109.55% 10,000.00 :
10,955.32
Equipment Maint 10.00000
-
Records Management 3,400.00 3.400.00
Software-Annual Maint
Liability/Prop Non-Dpt 80,953.73 66,200.00 122.29% 81,000.00 14,800.00 Contract Services - IT 5,824.25 5,000.00 116.49% 6,000.00 1,000.00 Contract Services -
Contract Services - Legal :
Contract Services - HR 3,000.00 0.00% 3,000.00
Contract Services - PM 2.000.00
Janitorial Fund 637.50 31.88% 2,000.00
Radio Dispatch Police 60,926.00 85,000.00 71.68% 85,000.00 Auto Repair/Maintenance 4,246.39 14,000.00 30.33% 14,000.00 Animal Regulation Fire 160.00 500.00 32.00% 500.00
Fund Jail & Prisoner 200.00 0.00% 200.00
Acjis System Police 7,000.00 9,000.00 2.000.00
4,360.34 62.29%
100 - General Fund 2021 - 2022 2021-2022 2021 - 2022 2021 - 2022 2021 - 2022 Original % of Budget Revised Budget
Actual Budget Used Budget
102.00 Adjustments.
Personnel Recruit & Pre- 3,000.00 3.40% 3,000.00
Employment
Member/Dues/Contributions 3,020.95 3,000.00 100.70% 3,100.00 100.00 Books and Periodicals 778.00 900.00 86.44% 900.00
Travel Expenses 6,757.21 12,000.00 56.31% 12,000.00 :
Fire/Animal Control
Fire Seaside 53,660.25 201,000.00 26.70% 214,700.00 13,700.00 Public Works/Streets
Payroll 51,129.14 75,900.00 67.36% 75,900.00
Overtime - 3,000.00 0.00% 3,000.00 :
PERS UAL 575.50 600.00 95.92% 600.00
PERS Retirement 3,651.85 5,800.00 62.96% 5,800.00
Medicare 744.16 1,100.00 67.65% 1,100.00
Employer FUTA 40.25
Dental Expense 1,185.14 1.800.00 65.84% 1.800.00
Health Insurance 15,458.12 21,800.00 70.91% 21,800.00
Vision Ins 132.08 300.00 44.03% 300.00 18000
Workers Comp 5,061.44 3,500.00 144.61% 5,100.00
Wellness Program 524.59 500.00 104.92% 500.00
Materials/Supply 8,079.29 16,500.00 48.97% 16,500.00
Office Supplies 82.91 1,530.00 5.42% 1,530.00
Auto Ops - Supplies / Equip 1,120.66 2,500.00 44.83% 2,500.00 Auto Ops - Fuel 3,153.22 4,000.00 78.83% 4,000.00
Repair/Maintenance 25,263.97 41,000.00 61.62% 41,000.00 200000 Gabilan Crew 5,000.00 3,000.00 166.67% 5,000.00
Utilities/Pge 7,083.20 12,000.00 59.03% 12,000.00
Utilities/Water 2,148.75 2,500.00 85.95% 3,200.00 700.00 Telephone - -
Liability/Prop Non-Dpt 5,419.19 4,400.00 123.16% 5,500.00 1.10000 Auto Repair/Maintenance 5,401.83 6,000.00 90.03% 7,000.00 Member/Dues/Contributions - 10000Đ
Storm Water Project - Phase 20,375.31 23,000.00 88.59% 23,000.00 Parks/Recreation
PERS Retirement - 2,000.00 0.00% (2,000.00)
Health Insurance - 16,500.00 16500 00
Materials/Supply 174.77 1.06%
Auto Ops - Fuel -
Repair/Maintenance 3,499.84 25,000.00 14.00% 25,000.00
Utilities/Pge
Utilities/Water 2,166.10 2,00.00 108.31% 2,00000
Street Slurry
Capital Improvements - - - -
Solar City Hall
Capital Improvements
Total Expense 2,580,999.12 3,858,060.00 66.90% 4,186,790.00 328,730.00 Net Income Before Other Financing 439,082.35 307,990.00 142.56% 386,739.00 78,749.00 Sources/Uses
Non Department Specific
Transfers In - Corona Virus - - 0.00% - -
Relief Fund
Transfer In/Out
100 - General Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021-2022 2021 - 2022 Original % of Budget Revised Budget
Actual Budget Used Budget Adjustments
Transfers Out - Prop 68 - (35,400.00) 0.00% (35,400.00) - Total Other Financing Sources (35,400.00) (35,400.00) - 0.00%
and Uses
Net Income After Other Financing 439,082.35 272,590.00 212.53% 351,339.00 78,749.00 Sources and Uses
210 - Gas Tax 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Actual Original % of Budget Revised Revisions
Revenue
Non Department Specific
Gas Tax 2103 8,306.11 12,000.00 69.22% 12,000.00
Gas Tax 2105 5,595.27 8,800.00 63.58% 8,800.00 :
Gas Tax 2106 5,231.21 8,400.00 62.28% 8,400.00
Gas Tax 2107 6,213.47 11,200.00 55.48% 11,200.00
Gas Tax 2107.5 1,000.00 1,000.00 100.00% 1,000.00
Total Revenue 26,346.06 _ 41,400.00 63.64% 41.400.00
Expense
Public Works/Streets
Street Sweeping 101.01 10,000.00 0.00% 10,000.00
Utilities/Pge
Street Lighting 8,176.42 15.000.00 54.51% 15.000.00
Total Expense 8,277.43 25,000.00 33.11% 25,000.00
Net Income Before Other 18,068.63 16,400.00 16,400.00
Financing Sources/Uses
As of 02/27/2022
2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021-2022 211 - SB1 Fund Actual Original Budget Used Revised Budget Revisions Revenue
Non Department Specific
SB 1 Funds 22.362.23. 33.890.00 65.98% 33.890.00
Total Revenue 22,362.23_ 33.890.00 65.98% 33.890.00
Expense
Planning & Building Regulation
Contract Services - Habitat - - 0.00% - -
Management Plan
Portola/Work Walkway
Street Improvements 34,675.00 35,000.00 99.07% 35,000.00 - Street Curb Replacement
Street Improvements 20.000.00 0.00% 20.000.00
Total Expense :
34,675.00 55,000.00 63.05% 55,000.00
Net Income Before Other (12,312.77) _ (21,110.00) (21,110.00) Financing Sources/Uses
100 - General Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Original % of Budget Revised Budget
Actual Budget Used Budget Adjustments
As of 02/27/2022
2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 212 - Measure X Fund Actual Original Budget Used Revised Budget Revisions Revenue
Non Department Specific
Measure X 76,000.00 0.00% 76.000.00
Total Revenue 76.000.00 0.00% 76,000.00
Expense
Debt Service - Measure X
Principal - Measure X Loan 76,000.00 0.00% 76,000.00
Interest - Measure X 0.00%
Total Expense 76,000.00 0.00% 76,000.00
Net Income Before Other -
Financing Sources/Uses
As of 02/27/2022
2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 213- Corona Virus Kellet Fund Actual Original Budget Used Revised Budget Revisions Revenue
Non Department Specific
CARES Act 0.00%
Total Revenue 0.00%
Net Income Before Other Financing - - 0.00% - -
Sources/Uses
Transfer In/Out
Transfers Out - General 0.00%
- Total Other Financing : 0.00%
Sources and Uses
Net Income After Other Financing 0.00%
Sources and Uses
As of 02/27/2022
2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021-2022 221 - FORA Habitat % of Budget
Management Fund Actual _Original Budget Used Revised Budget Revisions •
Total Revenue =. 0.00%
Expense
Planning & Building Regulation
Habitat Management 11,622.00 73,300.00 15.86% 73,300.00 Total Expense 11,622.00 73,300.00 15.86% 73,300.00 :
100 - General Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Original % of Budget Revised Budget
Budget Adjustments
Net Income Before Other (11,622.00) (73,300.00) (73,300.00) Financing Sources/Uses
As of 02/27/2022
223 - ARPA Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Actual Original Budget Used Revised Budget Revisions
Revenue
Non Department Specific
ARPA Grant 197.836.00 0.00%
Total Revenue 197,836.00 0.00%
Net Income Before Other 197.836.00 0.00% =
Financing Sources/Uses
As of 02/27/2022
311 - Prop 68 Grant Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021-2022 Actual Original Budget Used Revised Budget Revisions
Revenue
Non Department Specific
Prop 68 Grant - 141.600.00 0.00% 141.600.00
Total Revenue 141,600.00 0.00% 141,600.00 :
Expense
Park Improvements
Park Improvements - 177.000.00 0.00% 177.000.00
Total Expense 177.000.00 0.00% 177.000.00
Net Income Before Other Financing - (35,400.00) 0.00% (35,400.00) - Sources/Uses
Non Department Specific
Transfers In - 35.400.00 0.00% 35,400.00
Total Other Financing 35,400.00 0.00% 35,400.00
Sources and Uses
Net Income After Other Financing 0.00%
Sources and Uses
As of 02/27/2022
321 - SBR Engineering Fund 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 2021 - 2022 Actual Original Budget Used Revised Budget Revisions
Kevenue 0.00 0.00 0.00
Expense
SBR Engineering
Contract Services - 0.00% 505,830.00 505,830.00
- Total Expense : 0.00% 505,830.00 505.830.00
Net Income Before Other 0.00% (505,830.00) (505,830,00) Financing Sources/Uses
100 - General Fund 2021 - 2022 2021-2022 2021 - 2022 2021 - 2022 2021 - 2022 Original % of Budget Revised Budget
Actual Budget Used Budget Adjustments
OR DEL REY
Office of the Mayor
CANYON DEL REY RD. • DEL REY OAKS, CALIFORNIA 93940
INCTORPORATED INE PHONE 831.394.8511 • CELL 831.521.9335 [email protected]
Mayor Kerr Activity Report
March 2022
These notes contain items since the last post date, which is generally the Wed or Thursday prior to the city council meeting. I also include scheduled meeting between each month's post date and the actual city council meeting. Those meetings will be expanded upon the next month.
Stormwater Capture Discussions
Feb 17 - Jeff Condit, Program Manager, Monterey Regional Stormwater Management Program.
March 10 - Paul Sciuto, General Manager of Monterey One Water.
Ongoing conversations are happening about the idea of creating temporary stormwater collection location(s) either behind Safeway (as identified in the Stormwater Resource Plan) or on the 17 acres at the corner of Gen Jim and 218. These could serve as retention ponds, utilizing surges during water events, to hold water until it could naturally percolate into the groundwater aquifer. The aquifer located below Del Rey Oaks is the Seaside Basin, which is adjudicated, although has vast opportunity for storage.
Del Rey Oaks Council Meeting
Feb 22 - The council had a very quick meeting to review suggested upgrades that would be funded from a portion of the American Rescue Plan Act (ARPA) funds. These upgrades consist of technology enjoyed by larger cities for years. I am thrilled we will be getting agenda management system, document management system and council chamber technology upgrades. These tools bring more efficiency and transparency while helping staff accomplish tasks in significantly less time.
Transportation Agency for Monterey County
Feb 23 - Our regular monthly meeting. Please see notes in Correspondence.
Tour of DRO Former Ft. Ord Property
Feb 25 - City Manager Guertin, Public Works Director Fucci, Councilperson Shirley and I got a police escorted tour (thank you Sargent Perez) of our Former Ft. Ord property. There are several roads and trails behind the wired fences, and we got out of our vehicles to walk a bit here and there. I was hoping to get a concept of the area, but the first thing | noticed was how large the area is. At one point on top 1 November 2021 Mayor's Report Pg. 2
of a hill, we could see the Oaks condominiums. They looked much further away than I had anticipated.
There is still evidence from Ft. Ord activities, such as an area containing large sections of left over concrete. It was very disheartening to see the various homeless encampments, some very sophisticated, that have been both built and left. Unfortunately I had another meeting and could only stay for an hour and a half. There is much more to see.
Del Rey Oaks Parks & Rec Committee
March 2 - The committee received an update from resident Ryan Sanchez, who has been focusing on helping the city upgrade the basketball court. With a basketball background, his passion and connections have resulted in donations of over $20k! We also received an update from Ron on all of the various pieces coming together. We are hoping the playground equipment will arrive the end of March/early April. We worked to finalize the Parks Usage Survey and discussed timing. Other information discussed included:
• SDRO's upcoming Work Memorial Park invasive species clean up day on May 10 from 1 - 3. • Update on Parks parking lot to be ground down versus slurry seal as redoing curbs. • Possible art project for the white box on the corner of Angelus and Rosita. • Tennis court update - FORTAG would reorient and build a new tennis court.
Monterey County Mayors Association
March 4 - We had Jason Rhine the Assistant Director of Legislative Affairs for the League of California Cities come to discuss the schedule and upcoming legislation for which we should be aware. One item in particular is a revisiting of Prop 47, the Safe Neighborhoods and Schools Act, which reclassified some theft and drug offenses from felonies to misdemeanors. This has resulted in an increase in small crimes, as the limit for a misdemeanor was $450 which went up to $950 with the passage of Prop 47. We will be keeping an eye on proposed revisions. There was also discussion that we will be seeing the highest number of resignations this year, meaning in 2028 the entire legislature will be entirely new. Lastly, we had extended an invite to mayors in St Cruz and San Benito counties. I am so pleased that Mayor Bruner of St Cruz, Mayor Lind of Scotts Valley and Mayor Jordan of San Juan Bautista joined us.
Sustainable Del Rey Oaks
March 10 - Conversation included the DRO Wetland Delineation Study (which highlights areas throughout our city where wetlands exists) SDRO to be honored with an Earth Day Resolution by the Board of Supervisors on April 19 and planning for upcoming events:
• April 10 from 1 - 3 - Work Memorial Invasive Plant removal. Marina Mayor Bruce Delgado will be joining us to help pull out the invasive French broom along the haul road. Join us! • April 23 from 10 - 1 - Earth Day Celebration at the Butterfly Garden. Not all of the details are together yet, but there will be activities, and representatives from local organizations with local resources to create more sustainable practices.
November 2021 Mayor's Report Pg. 3
Del Rey Oaks Finance Committee
March 11 - Our annual audit has been delayed this year due to COVID, so it was good to finally see it.
The auditors declared that the city has no areas for concern, which means our systems are working! There was a surplus for fiscal year 21/22 of approximately $250k; for which we will discuss usage at a later date. Ideas always focus on paying off the $1.4 long term debt due to the lawsuit from the previous attempt to develop Ft. Ord, but also working to ensure the city is as resilient as possible. We also discussed proposed mid-year adjustments. Every year there are slight nuances as the fiscal year progresses. There is nothing too surprising, but our cannabis income is decreasing, while our sales tax has increased. We are still on track for a surplus this year, hopefully! The results of our meeting will be discussed and voted on during the March council meeting.
Monterey Peninsula Housing Coalition
March 12 - The focus of our meetings are water for housing, particularly affordable housing. We discussed rental registries as a means to support those that rent in our area, MBEP's upcoming workshops for community members to understand the Housing Element cycle, and the upcoming regional presentations at the BoS meeting.
Board of Supervisor's First Water Discussion - A Century of Water in Northern Monterey County March 15 - This a much-needed regional focus on water issues. Presentations were offered by the Salinas Valley Basin Groundwater Sustainability Agency, Marina Coast Water District, Monterey County Water Resources Agency and Monterey One Water. It was the beginning of hopefully a more transparent discussion, so we can ensure a more just and consistent water source for all of the county.
One very important point I learned, is north county agriculture uses approximately 200,000 acre feet a year. To give you a context of the size, our entire city, including homes and businesses, use approximately 100 acre feet a year, and all Cal Am ratepayers use 10,000 acre feet year. I look forward to the next discussion which will be on June 21.
After posting but prior to meeting. More details next month.
March 16 - SDRO Steering Committee
March 17 - 20 - Attending 2022 Yosemite Policymakers Conference hosted by Civicwell, which was formerly Local Government Commission.
March 21 - Training for distributing meals with Meals on Wheels.
Kim Shirley's Council Report
for Tuesday, March 22, 2022
A few announcements:
• Sustainable Del Rey Oaks Invasive Plant (French Broom) Eradication Event in Work Memorial Park April 10th from 1-3pm
• League of Women Voters Reviews Measure B (Initiative on our June 7th Ballot) April 13th at noon
• Sustainable Del Rey Oaks will be presented with the Earth Day Resolution from the Board of Supervisors, April 19th
• Sustainable Del Rey Oaks presents an Earth Day celebration in the Butterfly Garden April 23rd from 10am-1pm- Please join us!
Friday, February, 18th- Monterey Regional Waste Management District- At this regular board meeting, we welcomed new board member Mayor Bill Peake from Pacific Grove and our new Director of Finance and Administration Helen Rodriguez. We passed several items on the consent agenda and then received staff reports from finance and the TAC, which is working on the organic waste composting program. Happy to note that the finance report continues being positive for the District. For the TAC update, we learned about the CalRecycle Local Assistance Grant Program that was applied for in the name of all of the local jurisdictions. We received the minimum of $20,000 for our small city, which will be combined with other jurisdictions and then spent on four main projects.
1. A portion of the cost for jurisdictions' required procurement of compost.
2. An edible food recovery app to connect sources of recoverable food to organizations that feed people.
3. Capacity planning and expansion of edible food recovery organizations
4. Technical assistance for large commercial or multi-family generators After some additional communications by the general manager and the board, we went into a fairly lengthy closed session.
Tuesday, February, 22nd- City Council Meeting- Easiest council meeting ever! After a few explanations on a couple of the consent items, we passed them all and then moved on to our new business which was to consider spending some of our initial American Rescue Plan Act (ARPA) funds. Recommended was a new agenda management system and document management system which will greatly increase efficiency by lowering staff time and increasing accessibility for all. Also recommended were technology upgrades in the council chambers which will prepare us for our eventual move to hybrid meetings. With this item, City Manager Guertin talked about the costs and vast benefits of these purchases for both city staff and our residents. This agenda item was unanimously passed, then we moved on to the City Manager Report where we said goodbye to Randy, who's leaving the area for a warmer climate. I'm grateful for all the work he did for the city while he was here, especially with the upgrades to our city website. His knowledge of technology was very useful and we'll continue to reap the benefits of the changes he made within city hall. Thank you, Randy! Wednesday, February 23rd- AdHoc Rebranding Committee meeting for MRWMD- Talk about pressure! First have really enjoyed being a part of the adhoc rebranding committee for the Monterey Regional Waste Management District, but this meeting was where our responsibility came to light. After our work last year, Boots Road Group brought their ideas back to staff and continued to work with them on a new logo, name, and slogan for our District. This meeting was the culmination of that work with the ultimate presentation of two, very similar logos, with a new name, and slogan. I really am proud of the work that was done and now Carrie Theis, Carmel City Council Member and myself will discuss which logo we will move forward, which also includes a slight difference in name and then the slogan. I must say, it's a bit nerve racking knowing that we're making such a big decision, but that's our job and I'm so grateful for the opportunity.
Friday, February 25th- Tour of Fort Ord with City Manager Guertin and Ron Fucci- Grateful that our public works director Ron Fucci, city manager John Guertin, and police sergeant Bryan Perez, took the Mayor and I on a tour of some of our land in Fort Ord. It was a sobering tour as we drove around to see the various homeless encampments that we currently have on this land.
Unhoused people are cutting wires either through the Seaside portion of Fort Ord or coming in off of Gen. Jim or South Boundary into our land and creating trails that lead back to beautiful spaces, generally under large groups of oak trees. Once there, they're creating spaces littered with debris of all sorts, often indicating drug activity, but also including construction that includes beds, showers, and latrines. It's shocking the amount of material that they've hauled to these spots and to me, seemed like such an indication of illness in our community in terms of addiction (drug use seems to be the common thread). All of it left me with a heavy heart for those who are afflicted but also for the potential dangers our community faces if a fire were to start in Fort Ord because of their activity. I have no immediate answers, but it's something we need to continue to monitor and think about as we talk about this land.
Tuesday, March 1st- Solid Waste and Recycling Roundtable through League of California Cities- These roundtables are always interesting because it gives an opportunity to hear what's happening in other jurisdictions across the state. It's also good to get some idea of the bills that are being discussed at the state level. In terms of single use plastic, it sounds like we'll either have some legislation that addresses this issue or there may be a ballot initiative in November that takes on this issue through increased taxes and increased recycling. Looking at another Bottle Bill always comes up and the real question was how to return redemption centers across the state, which seems to be an issue almost everywhere. As usual, most of the hour was taken up talking about SB 1383 and the organic waste composting legislation. The biggest take away for me was how lucky we are with the collaboration of our Technical Advisory Committee made of MRWMD, jurisdictions, and haulers. It's incredible how they have been able to facilitate ordinances, outreach, education, and a solid plan for the roll out of this legislation. We are light years ahead of many other areas and I'm thankful for their collaboration and planning, as we ALL benefit with this effort. There is still much work to do, but I know we're in good hands with their work.
Wednesday, March 2nd- MRWMD Finance Committee mtg- At this meeting, I was able to present to the other board members and staff the logo, name, and slogan that we're moving forward from the ad hoc rebranding committee. It was received well! Now we'll move it to the full board later this month. We also received an update on strategic planning, which is moving forward with potentially a board work session coming in the next month or so and finalized documents in May. We also received an update on the microgrid and renewable energy projects with M1W. It will be tricky as our two agencies work together to hire a project lead, but I'm really happy with the collaboration. A grant from the EPA has also been received for a wet anaerobic digester and there's potential for a CalRecycle grant, too. Speaking of grants, the District was also "approved, given the money is available in the next fiscal year" for a $3M grant to work towards a covered compost system. Lastly, we reviewed the budget assumptions for 2023 and it's projected to continue to look good!
Wednesday, March 9th- AMBAG- Besides the consent agenda items, there were a few announcements, one included their webinar on March 29th for the 6th cycle of the Housing Element that all jurisdictions will be working on this year. City staff and elected officials are encouraged to attend. We had two large informational items that were presented. The first was the Draft Monterey Bay Region Overall Work Program and Budget FY 2022-23. This is a document that is used as a project management tool by the staff for all the projects at AMBAG.
It's required in order to receive state and federal funds for all AMBAG work programs and activities. The second item was reviewing the draft EIR summary of Comments for the 2045 Metropolitan Transportation Plan/Sustainable Community Strategies document. This document is scheduled to be adopted by the Board in June.
Thursday, March 10th- Sustainable Del Rey Oaks mtg- In this meeting we made announcements that there are food scrap pails still available in City Hall (first come, first served). We learned that there were 90 participants in the water workshops that were presented by CalAm and the Monterey Peninsula Water Management District last month. A great success! The announcement was also made that SDRO will be receiving an Earth Day Resolution from the Board of Supervisors on April 19th. Our first item was discussing the Wetland Delineation Reports and discussing our removal event in Work Memorial for the terribly invasive and damaging "french broom" plant on April 10th from 1-3pm. All are welcome to join us in our efforts to improve our wetland habitat! We also discussed the upcoming ballot initiative in June, and then spent the rest of our meeting talking about our Earth Day event that we're planning for April 23rd from 10am-1pm. Hope to see you all there!
Friday, March 11th- City Finance Meeting- This was a very informative meeting as Roberto, our finance consultant, reviewed our audit from FY 2020-2021. I appreciated his thorough review of the important sections and the most important was that the City came out clean with no additional findings. I'm grateful that City staff and our finance consultants have worked so hard to fix our systems so that they are more transparent and aligned with a more typical accounting system. We also did a mid-year budget review and if things go as expected, we should have a surplus at the end of FY 2021-2022 which city manager Guertin has suggested be applied to our CalPers pension obligation as well as starting to pay off our long-term debt. I certainly agreed with this decision and look forward to discussing with the council this surplus (along with last year's!).
Saturday, March 12th- Monterey Peninsula Housing Coalition- This was our monthly meeting with representatives from Monterey Bay Economic Partnership (MBEP) and interested people from local jurisdictions, MPUSD school district, and county staff to talk about affordable housing. Some of the topics covered included tenant protections, the upcoming Housing Element, and housing for educators. We also learned about a Board of Supervisors update on a homelessness summit that will be given on March 22nd.
Monterey One Water
Providing Cooperative Water Solutions
Councilmember Donaldson Notes:
Pure Water Monterey
• Total PWM water recharged to date about 5,800 AF ( ~ 1.9 billion gallons delivered).
Source Waters (includes Blanco Drain, Reclamation Ditch & Salinas Stormwater elements) Reclamation Ditch PS and Blanco Drain PS are operational. • Salinas Stormwater Phase 1A & 1B facilities are available for use.
Advanced Water Purification Facility
• AWPF is fully operational.
Water Conveyanice Pipeline & Blackhorse Reservoir
• The pipeline & reservoir are conveying purified water full-time to the injection facilities.
Injection Wells Facilities Phase 3
All injection wells in service; nominal injection rate is up a bit to 320 AF per month. • PWM permitting activities with the State Division of Drinking Water and the RWQCB continue with a follow-up extrinsic tracer study.
warehouse on February I**.
• By February 8th, the DIW-3 backwash pump installation will begin, allowing the related above-grade mechanical, instrumentation, controls and SCADA equipment to be commissioned.
• The Injection Wells Phase 3 schedule shows DIW-3 approaching full-capacity injection by mid-March 2022.
Expanded Pure Water Monterey
• Expanded PWM permitting and final design continues for both construction bid packages, AWPF expansion and Injection Wells Phase 4 (with DIW-5 & DIW-6). • Expanded PWM construction is forecasted to start in early September 2022, with substantial completion of the new water supply facilities by the end of 2023. • MIW and MPWMD staff continue to work with City of Seaside staff on the final property easement acquisition process for all the PWM injection well field facilities. • The board approved the current Chair, Mary Ann Carbone and the Vice-Chair, Tom Moore to serve another term.
• The board interviewed two legal firms to replace Rob Wellington who has served as legal counsel for MIW for over 50 years. Final selection will be made at a future date.
• Linda Grier is departing and was acknowledged for her 8 years of service on the M1W board representing the Boronda County Sanitation District
MST HIGHLIGHTS
Board of Directors Meeting
March 14, 2022
APPROVED REMOTE TELECONFERENCE MEETINGS
The Monterey-Salinas Transit (MST) Board approved resolution 2022-24 proclaiming a state of emergency and authorizing remote teleconference meetings in accordance with the Brown Act.
RECOGNIZED MARCH EMPLOYEE OF THE MONTH
heSt Assa, as the March 2d Epiye 02-25 Month or his outstanding, contribution to MST and to the entire community.
RECEIVED MST FY 2021 ANNUAL COMPREHENSIVE FINANCIAL REPORT The MST Board received MST's audited FY 2021 Annual Comprehensive Financial Report.
APPROVED PURCHASE OF SIX HYBRID VEHICLES
The MST Board authorized the General Manager/CEO to purchase six (6) Toyota RAV4 hybrid vehicles from Freeway Toyota in an amount not to exceed $186,000.
APPROVED PURCHASE OF THREE CHARGEPOINT CHARGERS
The MST Board authorized the General Manager/CEO to purchase up to three (3) Chargepoint Chargers directly from ChargePoint, Inc. in an amount not to exceed $168,537.
RE-APPOINTED MEMBERS AND APPOINTED NEW MEMBER TO MEASURE Q
OVERSIGHT COMMITTEE
The MST Board re-appointed members Juan Pablo Lopez and Sharlene Hughes to the Measure Q Oversight Committee for a term of three (3) years beginning March 26, 2022 and appointed Christine Winge as a representative of the unincorporated area of Monterey County for a term of three (3) years beginning March 26, 2022.
RECEIVED COVID-19 INCIDENT RESPONSE AND RECOVERY PLANNING UPDATE
The MST Board received a report from the General Manager/CEO on activities related to COVID-19 pandemic incident response and recovery planning.
RECEIVED MID-YEAR BUDET REPORT AND YEAR END FORCAST
The MST Board received MST's Mid-Year Budget Report and Year End Forecast for FY 2021/22.
NEXT MST BOARD MEETING
The next regular MST Board meeting will be held on April 11, 2022.
TRANSPORTATION AGENCY FOR MONTEREY COUNTY
www.tamcmonterey.org
HIGHLIGHTS
February 23, 2022
OTAME
PLAN • FUND • BUILD
TAMC Hosts Unmet Transit Needs Public Hearing
The Transportation Agency Board of Directors held a public hearing to receive comments to identify unmet transit needs in Monterey County.
In its role as the Transportation Development Act fund administrator, the Agency holds this hearing annually to seek public input to identify unmet transit needs in Monterey County. The unmet needs process is associated with the Local Transportation Fund, which is one of two designated funding sources for public transit created by the California Transportation Development Act.
The Agency solicits public input on unmet transit needs and places comments into the following categories:
1. Transit service improvement requests that would improve an existing service.
2. Transit service expansion requests that extend a transit route beyond its current limits and fill a gap in service.
3. Capital improvement projects that would enhance existing public transit facilities.
The Transportation Agency's deadline for accepting public comments and questionnaires for the consideration as part of the annual unmet transit needs process is April 30, 2022. Comments can be submitted at:
https://www.tamcmonterey.org/unmet-transit-needs.
Staff will present the final list of comments to the TAMC Board, prior to allocating Local Transportation Funds in June.
Transportation Agency for Monterey County
• 55-B Plaza Circ/e • Salinas, California 93901-2902
(831) 775-0903 FAX (831) 775-0897 • E-mail: [email protected] www.tamcmonterey.org
Call for Projects for New Local Access Funds Administrator Program The Transportation Agency Board of Directors approved a call for projects for the Local Access Fund Administrator Program. The Local Access Fund is a new program that incentivizes the expansion and availability of on-demand transportation service for people with disabilities and is requesting approval of the Call for Projects for this program.
The program is a result of Senate Bill 1376, which directed the California Public Utilities Commission to establish a program relating to the accessibility of Transportation Network Company services for persons with disabilities, including wheelchair users who need a wheelchair accessible vehicle (WAV).
TAMC received a total allocation of $98,419, of which $83,656 will be used to fund the Access Providers through this call for projects. There is a limit of 15% for administration of the program. Funding for this program is available for use from July 1, 2022, to June 30, 2023. More information can be found here:
https://www.tamcmonterey.org/local-access-for-all-program.
Caltrans Announces Clean California Beautification Projects in Monterey County Caltrans District 5 announced that four beautification projects will occur in Monterey thanks to a grant from Clean California. The projects slated for 2022-2023 are:
• The Castroville Neighborhood Pedestrian Enhancement project along State Route 156 is an opportunity to enhance a pedestrian and bike overcrossing with artistic elements and aesthetic treatments that highlight community heritage and add shade trees and decorative fencing along an adjacent Class 1 bike path. • The Castroville Historic Downtown Landmark Restoration project along State Route 183 will restore the beloved and popular historic "Artichoke Center of the World" arched landmark sign.
• The Salinas-Alisal Vibrancy Neighborhood Beautification project along US 101 will beautify three blighted undercrossing structures, and the adjacent infrastructure and roadside landscapes. Some of the improvements include new painting, murals, lighting, and artistic and aesthetic elements reflective of the community.
• The King City Highway Beautification and Pedestrian Enhancements project along US 101 and Canal Street will add landscaping and other aesthetic improvements in the highway corridor and enhance key pedestrian undercrossings.
Transportation Agency for Monterey County
• 55-B Plaza Circle • Salinas, Califomia 93901-2902
(831) 775-0903 FAX (831) 775-0897 • E-mail: [email protected] www.tamcmonterey.org
Karen Minami
From: Rick Johnson < [email protected]>
Sent: Wednesday, March 16, 2022 3:32 PM
To: Karen Minami
Subject: VIAC Report
CAUTION: This email is from outside the City of Del Rey Oaks. Do NOT click LINKS or open ATTACHMENTS unless you are sure it is safe.
Preview attachment SB-949 LOS VIAC 2022.docx
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SB-949 LOS VIAC 2022.docx
558 KB
Rick Johnon
Del Rey Oaks VIAC Representative
The Monterey County Veterans Issues Advisory Committee (VIAC) continues to meet in-person and via Zoom. Because VIAC is only one component of the many veteran groups in our area, a very substantive report by Del Rey Oaks Planning Commissioner Louise Goetzelt is also gratefully included, and goes into greater detail from each of the four different veterans organizations she attends and participates with. The names of those organizations are included in her report.
VIAC met on February 24th at the Veterans Transition Center: During the meeting, VIAC approved two letters of support.
SB949 seeking to amend Section 1453, and repeal Section 1452, of the Military and Veterans Code. On a motion by the Del Rey Oaks representative, it was unanimously approved by the VIAC Committee. Approval of this bill by the state legislature would bring the Military and Veterans Code up to date regarding the Central Coast Veteran Cemetery. SB 949 was introduced by Senator John Laird.
The second letter of support to gain VIAC approval was brought to VIAC by the representative from the City of Marina.
This letter supports the William James Arts/Veterans Program, in order to apply for the Creative Forces Community Engagement Grant during the next available grant cycle.
Central Coast Veterans Cemetery (CCVC) : The next meeting of the Citizens Advisory Committee will be on March 10, 2022, to discuss the proposed donor wall at the cemetery. (Please note, on March 10th there was no update by the Office of the State Architect at this meeting; Consequently, no new meeting date has been scheduled pending notification by the State Architect that they, do in fact, have information and input for the process) On a happier note:
Also Note: All staff positions at the cemetery have finally been filled.
Member Municipalities:
The City of Monterey received a request from Jason Cameron of the Monterey Veterans Administrative Office to support legislation to establish a ninth Veterans' Home in Monterey County. The letter will be considered at the March 15 City Council Meeting.
1 The City of Del Rey Oaks included a letter from their VIAC representative in the last issue of the City's ACORN publication. Jonathan Brown from MVAO noted this letter has initiated a number of referrals to the MVAO office from veterans and their families who were unaware of the benefits they might be entitled to receive. Other municipalities discussed how they will follow suit and strive to communicate with veterans that may be unaware of possible benefits for their service to the nation.
The City of Seaside Mayor lan Oglesby reported Seaside is looking into the MOU for the Northern Endowment Fund Parcel adjacent to the cemetery. There will be more information regarding plans for the parcel at the next VIAC meeting.
Military and Veterans Affairs Office is working with all municipalities within Monterey County, as well as neighboring counties' city councils to support legislation to establish a ninth Veterans Home in Monterey County. Letters of support from San Luis Obispo, Santa Clara, Santa Cruz and San Mateo Counties have been received.
The Monterey County Budget Committee approved an increase to Stand Down Funding for additional funding of $50,000. If approved by Monterey County Supervisors at their March 8th meeting, it will take the funding to $100,000! (Please Note, the $50,000 increase was approved on March 8'h).
VA-DOD Clinic Pharmacy: The quest for a pharmacy at the Clinic has been discussed at the federal level and the MVAO continues to engage with federal representatives. Congressman Panetta is setting up meetings and engaging in dialogue with VA leadership and staff to support the addition of a pharmacy in order to support the many veterans who depend on the clinic.
Again, thank you to Del Rey Oaks City Planning Commissioner Louise Goetzelt for her thorough, and all- encompassing, report from all the veterans organizations that works diligently with. Please read her report for in- depth information.
Louise Goetzel's Report
Over the past month I have attended the meetings of four (4) different organizations/groups supporting retirees, military, and veterans.
These were:
The United Veterans Council of Monterey County (UVC) (23 Feb) The Veterans Issues Advisory Committee (to the Monterey County Board of Supervisors) (VIAC) (24 Feb) The Ft Ord Area Retired Soldiers Council (3 Mar)
The Monterey County Military and Veterans Affairs Advisory Commission (M&VAAC) (9 Mar) (Meets bi-monthly) I'm attaching minutes from previous VIAC and M&VAAC meetings that have quite a bit of information about what these groups do, and reports they receive.
Much of the information is discussed by all four groups, so I will try to consolidate below.
Veterans Transition Center: Currently has 100 veterans in their programs. They are working to get homeless veterans into hotels and other housing. (See prior minutes for up-dates on their housing construction programs.) Veterans Standdown: Monterey Fairgrounds in Jun, will be over three days, but not offer overnight accommodations. Looking at setting up transportation from throughout Monterey and neighboring counties. The Monterey Board of Supervisors have approved an additional $50K, for a total of $100K towards the cost. Will be seeking 2 volunteers to help with set up, on the days of service, as well as help with tear-down. Need donations of men's clothing, especially jeans, boots, and the like.
Monterey County Veteran of the Year: Nominations are due 30 Jun 2022. Nomination forms are available on both the UVC website (https://UVC-MC.com) and Facebook page, and the Monterey County Military and Veterans Affairs Office website https://www.co.monterey.ca.us/government/departments-i-z/military-veterans#mva).
Veteran of the Year dinner: date/location TBD, pending coordination with Black Horse & Bayonet.
The UVC itself sponsors two additional awards to be given out at the dinner: The Sam Farr award for an exceptional non- veteran person, and the Jack Stewart Award for an exceptional organization (commercial or non-profit), who support the local veterans community. Those nominations are due to the UVC by 27 Sep.
CA Central Coast Veterans Cemetery (CCCVC): all grounds and administrative positions are now fully staffed.
Seaside is looking at updating the zoning of the "Endowment parcel" as well as an MOU for the adjacent parcel.
Central Coast Veterans Cemetery Foundation (CCCF): Is working on trying to get a place for the "Drill SGT Statue" currently outside the closed Ft Ord Chapel. The foundation has submitted plans for the CCCVC donor wall to CalVet, which has accepted them for review.
Heroes Open Golf Tournament (Fund raising for CCCF): date is pending; working with Black Horse& Bayonet, who are going under new ownership. As they are planning on closing one course at a time for renovations, this may be difficult...also looking into potential other locations (cost is an issue).
Commissary: Focusing on essentials for "deals" and low prices. Demos are coming back; a side-walk sale will be held 20 - 22 May. Check commissary.com for up-dates and news.
AAFES: Updates and "expansion" are coming. The Ord PX will get a $4 - $4.5M one, expending back into areas that made up the "old" footprint, moving the 4-seasons into the main store. But first, there will be a $1.2M upgrade to the exchange at Ft Hunter Liggett (FHL). AAFES will be setting up several self-service/self-check out "micro-markets." Currently one is planned for the old "Express" store at the POM gas station and one at FHL.
VA-DoD Clinic: Still requiring masking. Pharmacy: This has been addressed at the federal level by a number of organizations, such as the DAV/VFW during recent rounds of visits in DC, to 42 of the Representatives and the two senators from CA. Congressman Panetta's office has set up meetings with VA leadership, including some Q&A sessions with senior staff.
Legislative: In addition to the VA Pharmacy, the others issues supported, and letter writing campaigns initiated are a veterans home in Monterey County (being supported by five neighboring counties' boards of supervisors, and multiple cities), AB 1623 - Waiving of CA income tax on military retirement pay and SBP payments (for those 60 and older), and SB 949 - updating the legislation that created the CCCVC, and also eliminates the requirement for local matching funds (to make the CCCVC on par with other state veterans cemeteries with annual state budget line item funding). (I sent the MoCOMOAA board draft letters of support concerning these items.) The California Association of County Veterans Service Officers (CACVSO) has added support of a Monterey County Veterans Home to their legislative agenda.
The M&VAAC will be forming an "advisory committee" to steer and advocate for the veteran's home. Due to timing, legislation could not be submitted this year. The matter has been addressed with CalVet with somewhat lukewarm reception (in light of the reception to recent recommendation to close the veteran's home in Barstow); however, there was some warming once the size of the veteran's community in Monterey and five surrounding counties was brought to their attention (see flyer). (Even Kings County has expressed support.) Cal Vet also indicated that the state would cover 3 35% of the cost and with the remaining 65% coming from federal funding, which is likely to be available, though the funding cycle would take 2 - 4 years).
County of Monterey Military & Veterans Affairs Office: Please take a look at Page 7 of the attached VIAC Agenda 022422 to note the great work that office did in 2021 supporting our veterans, and the resulting funds that now flow into our community, as well as the college tuition fees waived (leaving more $$$ to flow into our community).
Respectfully submitted
Lou
Louise I. H. Goetzelt
CW5 (Ret.), US Army, MP
County of Monterey
Military & Veterans Affairs Office
MONTHLY MEETING
Military & Veterans Affairs Office (MVAO)
VETERANS ISSUES ADVISORY COMMITTEE (VIAC)
January 27, 2022, Thursday, at 3:00 p.m.
This meeting may be accessed remotely using the following Zoom link:
https://montereycty.zoom.us/j/96012763390?pwd=bmNVc0tYNHBZZVpqQjNXWmV1Z1Rldz09 AGENDA
1. CALL TO ORDER/ESTABLISHMENT OF QUORUM
2. PLEDGE OF ALLEGIANCE
3. ACKNOWLEDGEMENTS, ANNOUNCEMENTS, AND CORRESPONDENCE
4. PUBLIC COMMENT PERIOD
Members of the public wishing to address the Committee on matters within its jurisdiction, but not on this agenda, may do so and will not receive Committee action.
5. APPROVAL OF MEETING MINUTES (from January 27, 2022)
6. BUSINESS ITEMS INFORMATION/ACTION
Business items are for Committee discussion, debate, direction to staff, and/or action. Comments from the public are not to exceed 3 minutes or as otherwise determined by the Chair. a. AB 361
i. Consider Resolution pursuant to AB 361 in order for the Committee to continue meeting remotely, that the COVID-19 pandemic state of emergenc leclared by Governor Newsom is still in effect; the Committee. has reconsidered the circumstances of the state of emergency; and the Monterey County Health Officer continues to recommend social distancing measures for a meeting of the legislative bodies
. Communications - Request for Letters of Suppor
. Creative Forces Community Engagement Grant
Wesley Haye
ii. Senate Bill 949 - California Central Coast State Veterans Cemetery Jonathan Brown
c. Affordable Housing
i. VTC - General Updates:
VTC
d. Central Coast Veterans Cemetery Status Report
i. CCCVC Status Report:
CalVet, Erica Chaney
e. Fundraising Status
i. Updates:
County of Monterey
Military & Veterans Affairs Office SIT HIS CHA
CCVCF, Candy Ingram / Rich Garza
ii. Donor Wall
CCVCF, Candy Ingram / Rich Garza
f. Ord Military Community
i. General Update
g. VA-DOD Clinic
i. General Update
ii. Pharmacy Update
MVAO, Jack Murphy
h. Municipalities
i. General Update
i. Military & Veterans Affairs Office
i. Cal-Vet Veterans Home Proposal
MVAO, Jason Cameron
il. Monthly Report:
MVAO, Jason Cameron
j. Service Recognition: James Bogan
7. ITEMS FROM MEMBERS
Receive communication from Committee members as it pertains to future agenda items.
8. ADJOURNMENT
County of Monterey
Military & Veterans Affairs Office AIRINS OFTE
Veterans Issues Advisory Committee of Monterey County
RESOLUTION OF THE VETERANS ISSUES ADVISORY COMMITTEE OF MONTEREY FINDING THAT THE COVID-19 PANDEMIC STATE OF EMERGENCY DECLARED BY
GOVERNOR NEWSOM IS STILL IN EFFECT, HAS BEEN RECONSIDERED BY THE
COMMITTEE AND THE MONTEREY COUNTY HEALTH OFFICER CONTINUES TO
RECOMMEND SOCIAL DISTANCING MEASURES FOR MEETINGS OF LEGISLATIVE BODIES
WHEREAS, on March 4, 2020, Governor Newsom issued a Proclamation of State of Emergency in response to the COVID-19 pandemic; and
WHEREAS, the proclaimed state of emergency remains in effect; and WHEREAS, on March 17, 2020, Governor Newsom issued Executive Order N-29-20 that suspended the teleconferencing rules set forth in the California Open Meeting law, Government Code section 54950 et seq. (the "Brown Act"), provided certain requirements were met and followed; and
WHEREAS, on June 11, 2021, Governor Newsom issued Executive Order N-08-21 that clarified the suspension of the teleconferencing rules set forth in the Brown Act, and further provided that those provisions would remain suspended through September 30, 2021; and
WHEREAS, on September 16, 2021, Governor Newsom signed AB 361, which took effect immediately. AB 361 provides that a legislative body subject to the Brown Act may continue to meet using teleconferencing in accordance with the teleconference requirements of AB 361 instead of following the normal teleconferencing rules in the Brown Act, provided that the legislative body is meeting during the proclaimed state of emergency and the legislative body determines that meeting in person would present imminent risks to the health or safety of attendees; and
WHEREAS, AB 361 further requires that every thirty (30) days after holding a first meeting via teleconference pursuant to AB 361, the legislative body reconsider the circumstances of the state of emergency and make certain findings in order to continue to meet via teleconference in accordance with the teleconference requirements of AB 361; and WHEREAS, on September 20, 2021, Governor Newsom issued Executive Order N- 15-21 that clarified that requirements related to public meetings of local legislațive bodies set forth in Executive Order N-08-21 would continue to govern through September 30, 2021, so long as notice of the public meeting is provided and the public has opportunity to observe and participate in the meeting as set forth in in AB 361; and A COUNTY County of Monterey
Military & Veterans Affairs Office WILIES OF TE
WHEREAS, on September 22, 2021, the Monterey County Health Officer recommended social distancing measures for meetings of legislative bodies; and WHEREAS, California Department of Public Health ("CDPH") and the federal Centers for Disease Control and Prevention ("CDC") caution that the Delta variant of COVID-19, Resolution re: AB 361 currently the dominant strain of COVID-19 in the country, is more transmissible than prior variants of the virus, may cause more severe illness, and that even fully vaccinated individuals can spread the virus to others resulting in rapid and alarming rates of COVID-19 cases and hospitalizations
(https://www.cdc.gov/coronavirus/2019-ncov/variants/delta-variant.html); and WHEREAS, other variants of COVID-19 exist, and it is unknown at this time whether other variants may result in a new surge in COVID-19 cases; and WHEREAS, the CDC has established a "Community Transmission" metric with four tiers designed to reflect a community's COVID-19 case rate and percent positivity; and WHEREAS, due to the seriousness of the current pandemic situation, the CDPH has required that all unvaccinated persons wear facial coverings indoors, and the CDC and CDPH recommend that all persons, regardless of vaccination status, wear facial coverings indoors; and
WHEREAS, due to the seriousness of the current pandemic situation in the County of Monterey, the Monterey County Board of Supervisors adopted an indoor mask requirement for all persons regardless of vaccination status if certain criteria are met; and WHEREAS, the Veterans Issues Advisory Committee of Monterey County ('Committee") is a "legislative body" as defined by Government Code section 54952 of the Brown Act; and
WHEREAS, the Committee has been meeting via teleconference during the state of emergency in accordance with Executive Orders N-29-20 and N-08-21, including providing the opportunity for public observation and participation in Committee meetings; and WHEREAS, the Committee has an important governmental interest in protecting the health, safety and welfare of those who participate in meetings of the Committee; and WHEREAS, the Committee desires to continue to have the opportunity to meet via teleconference due to the imminent risks to the health and safety of attendees, with intent to periodically review this determination as required by AB 361; and WHEREAS, this resolution is intended to enable the Committee to meet via County of Monterey
Military & Veterans Affairs Office SATES OTHE
teleconference during its February 24, 2022 meeting with such determination to be reconsidered thereafter in accordance with AB 361.
NOW, THEREFORE, BE IT RESOLVED, by the Veterans Issues Advisory Committee of Monterey County as follows:
1. The recitals set forth above are true and correct.
2. The COVID-19 pandemic state of emergency declared by Governor Newsom is still in effect.
3. VIAC has reconsidered the circumstances of the state of emergency. Resolution re:
AB 361
4. VIAC finds that the Monterey County Health Officer continues to recommend social distancing measures for meetings of the legislative bodies.
5. No later than thirty (30) days after VIAC holds its February 24th, 2022 meeting via teleconference pursuant to this resolution, the staff is directed to put an item on the Committee's agenda to reconsider the circumstances of the state of emergency and consider making the findings required by AB 361 in order to continue meeting via teleconference under its provisions.
County of Monterey
Military & Veterans Affairs Office WHALES OFTE
MILITARY & VETERANS AFFAIRS OFFICE
TARY VETER
MONTHLY ACTIVITY REPORT
AIRS OFTE January 2022
3 Outreach Events 818 312
24 Phone Calls Vet Rep Appointments
New Contacts
228 Unique Veterans 13 College
470 Claims Actions Fee Waivers
139 Compensation Awards $47,694
New Disability Compensation Awards
LED $328,402
VETERAN
Retroactive Payments
VA DISABILITY
$69,499 PAY
Recurring Monthly Payments
Customer Satisfaction Survey
96% Very Satisfied!
www.mvao.org Serving those who served (831) 647-7613
COUNTY
County of Monterey HALT VIEWER
LIAROLINE Military & Veterans Affairs Office
SATES ONLY
Meeting Minutes
Military & Veterans Affairs Office (MVAO)
VETERANS ISSUES ADVISORY COMMITTEE (VIAC)
January 27, 2022, Thursday, at 3:00 p.m.
1. CALL TO Committee Members Present:
ORDER/ESTABLISHMENT OF UVC - James Bogan
UVC - Bob Lockwood
• Call to Order: Vice-chair, MVAAC - Sid Williams
Dan Presser MVAAC - Vice-chair, Dan Press
• Roll Call to Establish City of Seaside - Chair, Mayor lan Oglesby Quorum: Jonathan Brown City of Monterey - Nat Rojanasathira Veterans Families - Walan Chang
Ft. Ord Retiree Council - Louise Goetzelt
Ex Officio Members Present:
Congressional Office - 20th District - Ben Uslar
State Senate Office - 17th District - Justin Tran
State Senate Office - 12* District - Marisa Herndez
State Assembly Office - 29" District - Erica Parker
State Assembly office - 30* District - Dominic Dursa
Central Coast Veterans Cemetery Foundation - Candy Ingram Central Coast Veterans Cemetery Foundation - Rich Garza VTC - Kurt Schake
Military & Veterans Affairs Office (MVAO) - Jack Murphy Military & Veterans Affairs Office (MVAO) - Jonathan Brown
2. PLEDGE OF ALLEGIANCE Led by: Rick Johnson
3. ACKNOWLEDGEMENTS, • Dominic Dursa reported that Assemblymember Rivas will be ANNOUNCEMENTS, AND signing on to AB 1623, Personal income taxes: exclusion:
CORRESPONDENCE uniformed services retirement pay: survivor benefit plan payments, as a co-author.
4. PUBLIC COMMENT PERIOD None
5. APPROVAL OF MEETING • December 16, 2021
MINUTES (from October 28, 2021, • Motion: Sid Williams, with noted corrections & November 18, 2021) Second: Louise Goetzelt
Roll Call Vote:
• 5- Ayes
• 1 - Abstain
O- Nay
o Motion carries with noted
corrections
January 20, 2022
Motion: Sid Williams
Second: Walan Chang
• Roll Call vote:
: 1- Abstain 5 - Ayes
• 0 - Nay
• Motion carries
6. BUSINESS ITEMS INFORMATION/ACTION
a. AB 361
i. Consider resolution presented Motion: Nat Rojanasathira on AB 361 • Second: Louise Geotzelt
• Roll Call Vote: Unanimous - Ayes
• Motion Carries
b. Communication:
i. Request for Letter of Support This item was tabled in Mr. Hayes absents • Wesley Haye
c. Affordable Housing
i. VTC - General updates • VTC has 101 veterans utilizing their housing of which there are • Kurt Schake reported 7 different programs.
They began a kitchen training program for their long-term offender recovering reentry residents in partnership with Meals on Wheels.
• They are also in talks with the state of Colorado to expand their operation there on a small scale to see if VT's program can be transmitted to other states.
Both major housing projects, Lightfighter Village, and the north • end of the old VA clinic will break ground this year. • Today was the annual point in time count for all homeless in America. The full report should be out in April. The last report was three years ago and reported Monterey County as having 172 homeless veterans. The hope is to see that number
decrease in this year's report.
d. Central Coast Veterans Cemetery Status Report
i. Updates CCCVC has hired a new Groundskeeper.
• Erica Chaney reported : There Is still a Leads Groundskeeper position open. Interviews for that position were conducted and Erica is waiting to hear back from HR on their process.
• With the increase of staff they have been able to catch up on many of the outstanding items and they have opened their schedule to include three burial services a week.
e. Fundraising Status
i. General Updates: • For fundraising CCCVCF has decided while reestablishing contact • Rich Garza reported with donors for the wall to also get a sense of what those individuals and organizations would like to see the Foundation focus on and they are working with Cal-Vet to see where the Foundation can support them at CCVC.
• Regarding the donor wall, the plan was recently submitted at a Monuments and Memorials Committee meeting and was
accepted. The next step is to have the plans reviewed by Sacramento and Cal-Vet has 30 days to respond. And, the next Monuments and Memorials meeting is scheduled for March. f. Ord Military Community
i. General Update Major Londers has retired and Colonel Chung is in his terminal • Jack Murphy reported leave time period, so there will be new senior leadership at the Garrison soon.
g. VA-DoD Clinic
i. General Update • The DAV Van program is still on hold. All other operations are • James Bogan running as usual.
reported
ii. Pharmacy Update • Recent meetings with Congressman Panetta's Military Legislative • Jack Murphy reported Assistant in D.C. have led to a tentative meeting with members of the federal VA next week to discuss the communities
concerns about not having a pharmacy at the Gourley Clinic. h. Military and Veterans Affairs Office
i. Report MVAO has made a formal request to the County Budget • Jack Murphy reported Committee to increase the funding available for the Stand Down by an additional $50,000 for a potential total of $100,000. And, they are in discussions with VTC about the contact details now. • Regarding pursuing a Veteran Home in Monterey County, they recently had a brief meeting with Cal-Vet Secretary
Vito Imbasciani to discuss MVAO's and the County's efforts on the matter.
Please see MVAO monthly report attached.
i. Election of Officers
/i. General Updates Opened nominations for Chair for the ensuing year, 2022 • Chair Oglesby • Sid Williams nominates lan Oglesby
• No other nominates are received
• Roll Call Vote:
• Unanimous Ayes - lan Oglesby is elected
Chair for 2022
• Chair Oglesby Opened nominations for Vice-chair for the ensuing year, 2022 • James Bogan nominates Dan Presser
• No other nominates are received
Roll Call Vote:
• Unanimous Ayes - Dan Presser is elected Vice-
chair for 2022
Chair Oglesby Closed elections.
7. ITEMS FROM MEMBERS
Receive communication from Committee members as it pertains to future agenda items • James Bogan • Mr. Bogan announced that he is stepping down from volunteering on the committee to focus on his health.
• Sid Williams added that as a UVC appointment to VIAC
and that UVC will choose a replacement at its next
meeting and will supply staff with those minutes for the record.
• Mr. Bogan also reported that Monterey Bay Vets will be sponsoring it's 36" annual Fishing Derby on May 21st.
8. ADJOURNMENT: Chair, Mayor lan Oglesby
MILITARY & VETERANS AFFAIRS OFFICE
MONTHLY ACTIVITY REPORT
WAILS OFFICE October 2021
6 Outreach Events 719 279
142
Phone Calls Vet Rep Appointments
New Contacts
224 Unique Veterans 7 College Fee
468 Claims Actions Waivers
156 Compensation Awards $37,356
New Disability Compensation Awards
$160,978 ED
VETERAN
Retroactive Payments
VA DISABILITY
PAY $40,844
Recurring Monthly Payments
Customer Satisfaction Survey
80% Satisfied or Better
www.mvao.org Serving those who served (831) 647-7613
MILITARY & VETERANS AFFAIRS OFFICE
ETERA
MONTHLY ACTIVITY REPORT
HAIRS OF LOO November 2021
7 Outreach Events 667 335
314
Phone Calls Vet Rep Appointments
New Contacts
251 Unique Veterans 10 College
513 Claims Actions Fee Waivers
176 Compensation Awards $49,560
New Disability Compensation Awards
$271,319 VETERAN
Retroactive Payments
VA DISABILITY
PAY $55,745
Recurring Monthly Payments
Customer Satisfaction Survey
93% Very Satisfied
www.mvao.org Serving those who served (831) 647-7613
Monterey County
MILITARY & VETERANS AFFAIRS ADVISORY
COMMISSION
Sid Williams, Chairperson
1200 AGUAJITO ROAD, SUITE 003
MONTEREY, CA 93940
TEL: (831) 647-7613
FAX: (831) 647-7618
AGENDA
Monterey County
Military & Veterans Affairs Advisory Commission
Veterans Transition Center
220 12th St., Marina, CA
or
by Zoom
https://monterevcty.zoom.us/j/99723124497
Wednesday - March 09, 2022
3:00 PM
Call Meeting to Order
Pledge of Allegiance
Public Comment (Three minutes per person) for items not on today's agenda. NOTE: If public comment pertains to an agenda item, speakers will be given the opportunity to make their comments when that agenda item occurs.
Approval of Minutes: (Jan. 12", 2022/ Feb. 3rd, 2022/ Feb. 10th, 2022/ March 3rd, 2022) Report from the Chair: (5 minutes)
Committee Reports:
Veteran Home Update (5 minutes) (Supervisor Alejo/ MVAO - Jason Cameron) Veteran of the Year Program Report: (5 minutes) (John Gay) • Legislation Update (Military and Veterans Affairs Office) • State Legislation Report (5 minutes) (Sen. Laird representative, Justin Tran) • Federal Legislation Report (5 minutes) Congressman Panetta representative, Xochitl Guerrero)
Military & Veterans Affairs Report (5 minutes) (Jason Cameron) Central Coast Veterans Cemetery Update (5 minutes)
• VA Clinic (5 minutes)
Unfinished Business:
New Business:
Request for Letter of Support - SB 949
• (MVAO - Jonathan Brown)
Commission Members Comments:
Adjournment:
Next Meeting: 3/31, 3pm - AB-361 - Zoom
4/28, TBD - AB-361-Zoom
MILITARY & VETERANS AFFAIRS OFFICE
MONTHLY ACTIVITY REPORT
WEATES OFTE February 2022
10 Outreach Events 712 318
187
Phone Calls Vet Rep Appointments
New Contacts
241 Unique Veterans Homeless Veteran's
Stand Down
498 Claims Actions Funding
154 Compensation Awards $100,000
New Disability Compensation Awards
© VETERAN $318,629
Retroactive Payments
VA DISABILITY
$56,498 PAY
Recurring Monthly Payments
Customer Satisfaction Survey
94% Satisfied or Better!
www.mvao.org Serving those who served (831) 647-7613
Monterey County
MILITARY & VETERANS AFFAIRS ADVISORY COMMISSION COUNTY
Sid Williams, Chairperson
1200 AGUAJITO ROAD, SUITE 003
MONTEREY, CA 93940
TEL: 831) 647-7613
FAX: (831) 647-7618 NOW
Meeting: 01/12/2022
Call Meeting to Order: Chair Williams
Roll Call by Jack Murphy from MVAO, Quorum Voting members present:
Established District 4 - Gary Kreeger
District 5 - Phillip Butler
BoS - James Bogan
Bos - Mary Estrada
Bos - John Gay
BoS - Dan Presser
BoS - Sid Williams
Representing County Supervisor
1st District Supervisor, Luis Alejo
In attendance:
Representative from Congressman Panetta's
office, Ben Uslar
Representative from Assemblymember Rivas'
office, Dominic Dursa
Representative from 15* District Supervisor, Luis
Alejo's office: Javier Gomez
Military and Veterans Affairs Office
- Jason Cameron
Jack Murphy
: Jonathan Brown
Pledge of Allegiance Led by, John Gay
Public Comment None
Approval of the Minutes • November 10, 2021
• Motion by, John Gay
• Second by, Mary Estrada
Ayes, unanimous
• Minutes approved
• December 8, 2021.
• Motion by, Mary Estrada
• Second by, John Gay
Ayes, unanimous
• Minutes approved
• January 4*h, 2021
Mins. 1/12/22
Pg. 1
, Motion by, John Gay
, Second by, Dan Presser
• Ayes, unanimous
• Minutes approved
Report from the Chair:
Chair Williams Reported: • The first planning meeting for the 2022 Veteran Stand Down, scheduled for June, will
be Saturday, January 22nd at VTC at 10 am.
Committee Reports
Central Coast Veterans Cemetery Update • There will be a Monuments and Memorials • James Bogan reported:
meetin the donor walad the placement of the
Drill Sergeant Statue.
Veteran of the Year Program Report: • Bayonet Black Horse, where the event is • Chair Williams reported: normally held, has had a change of management and the details of the event are in the works.
• The same is true for the Heroes' Golf
Tournament.
State Legislation Report: • Provided updates on:
• Dominic Dursa The State Budget proposal
A new Assembly Bill by
Assemblymember Rivas to eliminate the
state tax on military retirement pension.
• The current timelines for legislation
Federal Legislation Report: The Congressman's office hired a new Military • Ben Uslar reported: Legislative Assistant, Taylor Fairless. • Relayed that the DC legislation staff is planning
for the upcoming National Defense
Authorization Act.
And they continue to work on the PROVIDE Act,
Vets ETA Act, the Veterans Treatment Court Act,
and the Veteran Equal Access Act.
VA Clinic: • The clinic is administering booster shots. • James Bogan reported
Military & Veterans Affairs Report: • MVAO has a meeting with the new Military Cameron reported: egislative Assistant for Congressman Panetta riday, the 7th to continue the discussion on th
Mins. 1/12/22
Pg. 2
potential for adding a fully functioning pharmacy
at the MG Gourley Clinic.
• With support from Supervisors Alejo and Root-
Askew to establish a Cal-Vet Veterans Home, the
initiative has been added to the County's
legislative priorities.
• Regarding the Stand Down
• Stand Down events are usually a 3-day
event held every other year, on even
years.
In 2020 the event was canceled due to
COVID-19.
• In 2021 there was a one-day event to
make up for the canceled 2020 Stand
Down.
Due to the make-up event, funding from
MVAO supplied by the County is
currently half of what it normally is.
* Usually, MVAO supplies
$100,000
$50,000 was utilized for the
2021 event.
• $50,000 is currently available for
the 2022 event, which is being
planned as its normal 3-day
event.
• As a result, MVAO has started the
process to get on the Budget Committee
to request a one-time additional
$50,000 to be able to bring funding back
to $100,000.
Regarding the Coastal Office
• There has been an offer to buy the
building from the developer that is
developing the area around it.
• He has expressed MVAO's desire to
utiliże that building for veterans services
back to the County Administrative
Office, but the process is on-going and
he will report more as it develops.
Regarding Assemblymember Ramos' bill
• He has passed along that information to
Assemblymembers Stone and Rivas,
Senators Laird and Caballero, as well the
Board of Supervisors asking for their
support. He will follow up with a request
for letters of support from those offices
Mins. 1/12/22
Pg. 3
as well as the California Association of
County Veteran's Service Officers.
• Presented the MVAO bi-monthly report for
November and December, please see attached.
Unfinished Business:
The Drill Sergeant Statue: • There has been a survey on the UVC website for • Chair Williams reported approximately a month to gather more information as to where the veteran community
would like to see the Statue moved. From that
survey, there is currently a tie between VTC and
MVAO's new prospective office, the Coastal
Building at 40% each and 20% for CCCVC.
• At the last UVC meeting the item was discussed
and it was decided that they would like to see
the Statue moved to CCCVC and it should be
brought up at the next Cal-Vet Monuments and
Memorials Meeting.
He reminded the Committee that at this time no
one entity has the authority for a final say on the
matter, and opened it up to the committee for a
show of hands as to where they would like to
see it moved.
The count from the voting members:
3 for CCCVC
• 2 for the Coastal Building
• 1 for VTC
New Business:
Election of Officers • Opened election by asking for nominations Chair • Dan Presser, nominated Sid
• Jonathan Brown Williams
• Williams accepts
• No other nominations were
received
Motion to consider appointing Sid
Williams as Chair uncontested
• John Gay
• Second, Dan Presser
Election of Officers • Opened election by asking for nominations • Vice-Chair • Chair Williams, nominated John
• Jonathan Brown Gay
• Gay accepts
• No other nominations were
received
Motion to consider appointing John Gay
as Vice-chair uncontested
• James Bogan
Second, Chair Williams
Mins. 1/12/22
Pg. 4
AB-361 Summarized the requirements of AB-361
• Chair Williams emphasizing the requirement to meet every 30 days.
• The Commission decided to hold the next
meeting to consider AB-361 on 2/3 at 3 pm.
Commission Members Comments:
• Supervisor Alejo Commented that at the next regular meeting he would like to give an update on the status
of the Veteran Home.
• He will be attending The National Association
f Counties meeting in Washington D.C. o
abruary 14th - 16t
• James Bogan Thanked Supervisor Alejo for his dedication to the Commission
Adjournment: Williams
Mins. 1/12/22
Pg. 5
HARD A VILE CAL-VET VETERAN HOMES
INFORMATION
LIAIRS
Currently, there are extended wait times to access Veterans Homes for much-needed services. If Veterans are unable to access Veteran Home services timely, they will have to seek other options, potentially out of the State of California or even risk becoming homeless. • CalVet has eight (8) Veterans • Services range from • Age requirements are Homes that offer affordable independent living programs waived for disabled and long-term care to Veterans with minimal support to 24/7 homeless veterans needing who are age 55+, eligible skilled nursing and dementia long term care. spouses and domestic partners care for veterans with
are eligible to apply for significant clinical needs.
admission.
Largest Veteran population in the U.S. - over 1.8 million • 21,000 in Monterey County plus thousands of active and CALOVET reserve military members,
• 57,000 in Santa Clara County
• 10,000 in Santa Cruz County
• 17,800 in San Luis Obispo County
• 2,500 in San Benito County
• 108,000 collectively.
Veteran Home Types of care Possible Wait Time Distance from Monterey (Approx. Miles)
Yountville DOM / RCFE / ICF / SNF / SNF-MC 5+ Years 164 Barstow DOM / ICF / SNF 3.5 Years 344
Chula Vista DOM / RCFE / SNF 2 years 441
Lancaster RCFE Open 290
Ventura RCFE Open 265
West LA RCFE / SNF / SNF-MC 2 years 307
Fresno RCFE / SNF / SNF-MC 5 years 145
Redding RCFE / SNF / SNF-MC 6 years 336
Veteran Displacement
200 (+)
15.6%
50(-)
101-200 41.7%
20.8%
As of August 2019 37% of all
VA Compensation and Pension waitlisted disabled Veterans 50-100 Benefits utilization on the rise!! are considered by the VA to be
15.8% in 2011 v. 27.8% in 2019 between
21.9%
Distance in miles! $8,354,915,491 in FY 2019 70% - 100% disabled We're asking to add a ninth (9th) Veteran Home in beautiful Monterey County to address the needs of our nation's heroes living in California by drastically reducing wait times, providing close proximity to VA health care and serveral other veteran services, while keeping our veterans from possibly becoming homeless. 840th REGULAR MEETING
OF THE
BOARD OF TRUSTEES
• Black Bear Diner
2450 N. Fremont St.
Monterey, CA.
93940
March 8, 2022 ~AGENDA~ 12:00 P.M. Noon
926 EastBlanco Road
Salinas, CA 93901
We strive to host inclusive, accessible meetings that enable all individuals, including individuals with disabilities, 831) 422-6438 p to engage fully. To request an accommodation or for inquiries about accessibility, please contact the District. (831) 422-33371
Office Hours:
Monday - Friday CALL TO ORDER:
8 a.m. - 4:30 p.m.
Jeff Cecilio 2. ROLL CALI, - ESTABLISHMENT OF QUORUM:
Board Chair
County at Large
PUBLIC INPUT: (Limited to 3 minutes)
Don Cranford
Vice Chair
County at Large
Nancy Amadeo
Secretary The consent calendar includes routine items than can be approved with a single motion ana City of Marina Cale me or separate onside mutes may reques that any item be puited from the Consen Jason Campbell
Trustee
City of Seaside
4. CONSENT CALENDAR:
Ray Coopersmith
Trustee
County at Large A. APPROVAL OF THE MINUTES: January 11, 2022 B. PAYROLL WARRANTS: January 2022 $64,426.54
Mary Ann Carbone C. COMMERICAL WARRANTS: January 2022 $235,250.71 Trustee
Cityof Sand City D. PAYROLL WARRANTS: February 2022 $68,635.44 E. COMMERICAL WARRANTS: February 2022 $36,023.04
Louise Goetzelt F. UMPQUA BANK: December 2021 $2,873.37 Trustee
CityofDel Rey Oaks G. UMPQUA BANK: January 2022 $4,638.20 H. TIME DISTRIBUTION: January 2022
Jim Tashiro TIME DISTRIBUTION: February 2022
I.
Trustee
City of Salinas J. BALANCE SHEET: January 2022
K. BALANCE SHEET: February 2022
Diane de Lorimier
L. SCHEDULE OF EXPENDITURES: January 2022
Trustee
City of Monterey M. SCHEDULE OF EXPENDITURES: February 2022 BUSINESS ITEMS:
A. Consideration and approval of the annual audit for FY20-21 presented by Jarrod Penner from Bianchi Kasavan and Pope
RESOLUTION OF THE BOARD OF TRUSTEES
OF THE
MONTEREY COUNTY MOSQUITO ABATMENT DISTRICT
ESTABLISHING NUISANCE ABATEMENT PROCEDURES
C. Consideration and approval of Civil Penalty Schedule (for Resolution 2122-04)
D. Consideration and approval of one advertising option from The California Rodeo
MONTHLY OPERATIONS REPORT: Ken Klemme, District Manager TRUSTEE COMMENTS:
Adjournment to: April 12, 2022 at 12:00 noon
DRAFT MINUTES OF THE 838t* REGULAR
MEETING OF THE BOARD OF TRUSTEES OF THE
MONTEREY COUNTY MOSQUITO ABATEMENT DISTRICT
January 11, 2022
A meeting of the Board of Trustees of the Monterey County Mosquito Abatement District was held on January 11, 2022, at the District Office in Salinas, California.
MEMBERS PRESENT: STAFF PRESENT:
Jason Campbell, City of Seaside Ken Klemme, District Manager Mary Ann Carbone, City of Sand City Mona Sloan, Administrative Assistant Ray Coopersmith, County of Monterey
Diane de Lorimier, City of Monterey
Louise Goetzelt, City of Del Rey Oaks
Jim Tashiro, City of Salinas
MEMBERS ABSENT:
Jeff Cecilio, Chair, County of Monterey
Don Cranford, Vice Chair, County of Monterey
Nancy Amadeo, Secretary, City of Marina
1. CALL TO ORDER:
Trustee Diane de Lorimier called the 838th Regular Meeting to order at 12:02 PM
2. ROLL CALL:
Administrative Assistant Mona Sloan called roll; it was determined that a quorum was present
3. PUBLIC COMMENTS:
NONE
4. CONSENT CALENDAR:
A. APPROVAL OF THE MINUTES: November 9, 2021
B. PAYROLL WARRANTS: November 2021 $75,626.36
C. PAYROLL WARRANTS: December 2021 $70,721.56
COMMERCIAL WARRANTS: November 2021 $92,459.89
E. COMMERCIAL WARRANTS: December 2021 $680,793.68
F. UMPQUA BANK: October 2021 $2,943.63
G. UMPQUA BANK: November 2021 $2,092.19
H. TIME DISTRIBUTION: November 2021
I. TIME DISTRIBUTION: December 2021
4. CONSENT CALENDAR: cont.
J. BALANCE SHEET: November 2021
K. BALANCE SHEET: December 2021
L. SCHEDULE OF EXPENDITURES: November 2021
M. SCHEDULE OF EXPENDITURES: December 2021
With no further inquiries, Trustee Tashiro moved to approve the consent calendar as presented, Trustee Carbone seconded; the motion passed unanimously.
5. BUSINESS ITEMS:
A. Election Slate for Fiscal Years 2022-2024 per policy number 4040.30.
Following discussion to retain the existing officers in their current positions; Jeff Cecilio Board Chair, Don Cranford Vice Chair and Nancy Amadeo as Board Secretary
Trustee Tashiro moved to approve the decision as presented, Trustee Carbone seconded; the motion passed unanimously.
Consideration and Approval of Central Coast Sign and Design quote to add signage to new building.
Manger Klemme presented the Board with various signage preferences and costs. He will ask for sample colors before approving selections.
Without further inquiries, Trustee Goetzelt moved to approve CCSD quote as presented, Trustee Carbone seconded; the motion passed unanimously.
C. Consideration and Approval of Aerial Services quote to provide drone treatment support during busy season.
Manager Klemme relayed background information to the Board regarding the District's experience and relationship with Aerial Services.
Without further inquiries, Trustee Goetzelt moved to approve the Aerial Services quote as presented, Trustee Tashiro seconded; the motion passed unanimously.
D. Discussion Dick Shanahan's analysis of abatement powers.
General discussion was held regarding the District's abatement power and responsibility to enforce property owners to clean up their own mosquito sources. After discussion Manager Klemme said he would draft a policy for the next Board meeting.
Approval of change to Policy Number 2350 Seasonal Mosquito Tech Maning Kiaome intre the bared of reces tretrementsand his preference Without further inquiries, Trustee Goetzelt moved to approve the Aerial Services quote as presented, Trustee Campbell seconded; the motion passed unanimously.
MONTHLY OPERATIONS REPORT: Ken Klemme, District Manager/Biologist Manager Klemme updated the Board on the progress of the new facility, including PG & E delays. He also apprised them of the status of the annual Mosquito & Vector Control conference in that it will be in person in Sacramento February 7th through the 10th. Due to conflicting dates, the next regularly scheduled Board meeting will be held on February 15th.
IRUSTEE COMMENTS:
Trustee Goetzelt discussed an article in the Monterey County Herald regarding mosquito fish.
ADJOURNMENT:
With no further inquiries, Trustee de Lorimier adjourned the meeting at 12:42 To the next regularly scheduled meeting on Tuesday February 15th at noon.
Jeff Cecilio Board Chair
ATTEST:
Nancy Amadeo, Secretary
Del Rey Oaks City Council's Representative
to the
Monterey County Mosquito Abatement District (MCMAD)
Report: Mar 2022
The MCMAD met at Noon on Mar 9, 2022. (See Agenda)
The meeting was held at the Black Bear Diner in Monterey...since the new building at 926 E.
Blanco Road in Salinas, was still awaiting the certificate of occupancy. The final fire inspection was scheduled for Mar 9 and the final city inspection was scheduled for Mar 10 - 11.
Significant impact on the delay of completion was due to the lack of PG&E responsiveness. A claim for the additional costs incurred (i.e., generators as well as having to extend the lease at the old location) has been filed with PG&E.
In addition to regular business matters, the board:
Received a PowerPoint presentation on and approved the annual audit for 2020-2021, which had adverse findings.
Approved Resolution 2122-04, establishing nuisance abatement procedures as well as the civil penalty schedule for this resolution.
Approved an advertising option from The California Rodeo, to have the logo and a brief statement put on their "print-at-home" tickets, as well as banners at events.
District Manager Report:
The fish tanks at the new facility are up and running.
Most of the furniture is in place.
The district used contracted arial services (Leading Edge Associates), to treat all the sloughs.
They used drones, which were highly efficient, more so than helicopters. The drones apply granules, rather than having to mist, resulting in very even coverage. Working with the company also allowed district employees some training for using the district's own (smaller) drones.
The next meeting is scheduled for Noon on Apr 12, 2022. At this time this meeting is set to be held at the new offices at 926 E. Blanco Road, Salinas, CA 93901. These meetings are open to the public.