Desert Hot Springs City Council
June 20, 2023

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
49 Note 1 – Summary of Significant Accounting Policies (Continued) C. Cash, Cash Equivalents and Investments
The City pools its available cash for investment purposes. The City’s cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments 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.

Certain disclosure requirements for Deposits and Investment Risks were made in the following areas:
 Interest Rate Risk
 Credit Risk
 Overall
 Custodial Credit Risk
 Concentrations of Credit Risk
In addition, other disclosures are specified, including use of certain methods to present deposits and investments, highly sensitive investments, credit quality at year-end, and other disclosures.

Highly liquid market investments with maturities of one year or less at time of purchase are stated at amortized cost. All other investments are stated at fair value.

D. Cash and Investments with Fiscal Agents
Certain restricted cash and investments are held by fiscal agents for the redemption of bonded debt and for acquisition and construction of capital projects.

E. Fair Value Measurement
Investments, unless otherwise specified, recorded at fair value in the financial statements, are categorized based upon the level of judgment associated with the inputs used to measure their fair value.

The three levels of the fair value measurement hierarchy are described below:
 Level 1 – Inputs are unadjusted, quoted prices for identical assets and liabilities in active markets at the measurement date.
 Level 2 – Inputs, other than quoted prices included in Level 1, that are observable for the assets and liabilities through corroboration with market data at the measurement date.  Level 3 – Unobservable inputs that reflect management’s best estimate of what market participants would use in pricing the assets and liabilities at the measurement date.

F. Prepaid Items
Certain payments to vendors applicable to future accounting periods are recorded as prepaid items. Prepaid items do not reflect current appropriable resources and, thus, an equivalent portion of fund balance is nonspendable.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
50 Note 1 – Summary of Significant Accounting Policies (Continued) G. Interfund Transactions
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as “due from/to other funds” (i.e., current portion of interfund loans) and are eliminated in the government-wide financial statements as “interfund balances.” H. Property Held for Resale
Property held for resale is carried at the lower of cost or net realized value, but not greater than the estimated net realizable value.

I. Capital Assets
Capital assets are valued at historical cost or estimated historical cost if actual historical cost was not available.

Donated capital assets are valued at their acquisition value on the date donated. City policy has set the capitalization threshold for reporting capital assets at $5,000 (including infrastructure assets). Depreciation is recorded on a straight-line basis over estimated useful lives of the assets as follows:

Building and improvements 30 years
Vehicles, machinery and equipment 3-10 years
Infrastructure 20 years
The City defines infrastructure as the basic physical assets that allow the City to function. The assets include the streets, parks and recreation, lands and improvement system, storm water conveyance system, and buildings combined with the site amenities, such as parking and landscaped areas used by the City in the conduct of its business. Each major infrastructure system can be divided into subsystems. For example, the street system can be subdivided into pavement, curb and gutters, sidewalks, medians, streetlights, traffic control devices (signs, signals and pavement markings), landscaping and land.

These subsystems were not delineated in the basic financial statements. The appropriate operating department maintains information regarding the subsystems.

J. Interest Payable
In the government-wide financial statements, interest payable on long-term debt is recognized, as the liability is incurred, for governmental activities. In the fund financial statements, only proprietary fund and private-purpose trust fund types recognize the interest payable when the liability is incurred.

K. Unearned Revenue
Unearned revenue is reported for transactions for which revenue has not yet been earned. Typical transactions recorded as unearned revenues are prepaid charges for services or advance grant with eligibility requirement.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
51 Note 1 – Summary of Significant Accounting Policies (Continued) L. Compensated Absences
Permanent City employees earn vacation and sick leave hours per pay period with rates depending on their length of employment. Upon separation from employment, the employees are paid for any unused vacation leave accrual balance. The City allows employees to accrue up to a maximum of 300 hours of vacation leave. There is no maximum on the number of sick leave hours that can be accrued. The compensated absences at June 30 is accrued when incurred in the government-wide financial statements. Compensated absences are primarily liquidated by the General Fund.

M. Pension
For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the plans and additions to/deductions from the plans’ fiduciary net position have been determined on the same basis as they are reported by the plans. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with benefit terms. Investments are reported at fair value.

The following timeframes are used for pension reporting:

Valuation Date June 30, 2020
Measurement Date June 30, 2021
Measurement Period July 1, 2020 to June 30, 2021
Gains and losses related to changes in total pension liability and fiduciary net position are recognized in pension expense systematically over time. The first amortized amounts are recognized in pension expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred inflows of resources related to pensions and are to be recognized in future pension expense. The amortization period differs depending on the source of the gain or loss. The difference between projected and actual earnings is amortized straight-line over 5 years. All other amounts are amortized straight-line over the average expected remaining service lives of all members that are provided with benefits (active, inactive, and retired) as of the beginning of the measurement period.

N. Deferred Outflows/Inflows of Resources
The Statement of Net Position and Balance Sheet report separate sections for deferred outflows of resources, and deferred inflows of resources, when applicable.

Deferred Outflows of Resources represent a consumption of net position that apply to future periods.

Deferred Inflows of Resources represent an acquisition of net position that apply to future periods.

O. Long-Term Debt
In the government-wide financial statements, long-term debt and other long-term obligations are reported as liabilities in the appropriate activities. Bond premiums and discounts are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are expensed when incurred.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
52 Note 1 – Summary of Significant Accounting Policies (Continued) O. Long-Term Debt (Continued)
In the fund financial statements, with the exception of advances from other funds, the governmental fund financial statements do not present long-term liabilities. Consequently, long term debt is shown as a reconciling item in the reconciliation of the governmental funds balance sheet to the government-wide statement of net position.

P. Claims and Judgments
When it is probable that a claim or judgment liability has been incurred at year-end, and the amount of the loss can be reasonably estimated, the City records the estimated loss, net of any insurance coverage. The City is selfinsured and has insurance coverage in excess of the self-insured amounts as a member of the Public Entity Risk Management Authority (“PERMA”).

Q. Property Taxes
Property taxes are levied on July 1 and are payable in two installments: November 1 and February 1 of each year.

Property taxes become delinquent on December 10 and April 10, for the first and second installments, respectively. The lien date is January 1. The County of Riverside, California (“County”) bills and collects property taxes and remits them to the City according to a payment schedule established by the County.

Property tax revenue is recognized in the fiscal year for which the taxes have been levied, provided the taxes are received within 60 days after the end of the fiscal year. Property taxes received after this date are not considered available as a resource that can be used to finance the current year operations of the City and, therefore, are not recorded as revenue until collected. No allowance for doubtful accounts was considered necessary.

R. Net Position
In the government-wide financial statements and proprietary fund financial statements, net position is classified as follows:

Net Investment in Capital Assets – This component of net position consists of capital assets, net of accumulated depreciation, reduced by the outstanding balances of debt that are attributable to the acquisition, construction, or improvement of those assets, net of unspent debt proceeds, and the capital debt related deferred outflows and inflows of resources.

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

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

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
53 Note 1 – Summary of Significant Accounting Policies (Continued) S. Fund Balances
In the governmental fund financial statements, fund balances are classified as follows:

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

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

Committed – Committed fund balances encompass the portion of net fund resources, the use of which is constrained by limitations that the government imposes upon itself at its highest level of decision making, normally the governing body, and that remain binding unless removed in the same manner. The City Council is considered the highest authority for the City. Adoption of a resolution by the City Council is required to commit resources or to rescind the commitment.

Assigned – Assigned fund balances encompass the portion of net fund resources reflecting the government’s intended use of resources. Assignment of resources can be done by the highest level of decision making or by a committee or official designated for that purpose. The City Council has authorized the City Manager or designee for that purpose.

Unassigned – This amount is for any portion of the fund balances that do not fall into one of the above categories. The General Fund is the only fund that reports a positive unassigned fund balance amount. In other governmental funds, it is not appropriate to report a positive unassigned fund balance amount. However, in governmental funds other than General Fund, if expenditures incurred for specific purposes exceed the amounts that are restricted, committed or assigned to those purposes, it may be necessary to report a negative unassigned fund balance in that fund.

T. Spending Policy
Government-Wide Financial Statements and the Proprietary Fund Financial Statements When expenses are incurred for purposes for which both restricted and unrestricted components of net position are available, the City’s policy is to apply the restricted component of net position first, then the unrestricted component of net position as needed.

Governmental Fund Financial Statements
When expenditures are incurred for purposes for which both restricted and unrestricted fund balances are available, the City’s policy is to apply restricted fund balances first, then unrestricted fund balances as needed.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
54 Note 1 – Summary of Significant Accounting Policies (Continued) T. Spending Policy (Continued)
Governmental Fund Financial Statements (Continued)
When expenditures are incurred for purposes where only unrestricted fund balances are available, the City uses the unrestricted resources in the following order, except for instances wherein an ordinance specifies the fund balance:
 Committed
 Assigned
 Unassigned
U. Use of Estimates
The preparation of the basic financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.

V. Implementation of New GASB Pronouncements
In June 2017, GASB issued Statement No. 87, Leases (GASB Statement No. 87), to better meet the information needs of financial statement users by improving accounting and financial reporting for leases by governments. This statement increases the usefulness of governments’ financial statements by requiring recognition of certain lease assets and liabilities for leases that previously were classified as operating leases and recognized as inflows of resources or outflows of resources based on the payment provisions of the contract. GASB Statement No. 87 also establishes a single model for lease accounting based on the foundational principle that leases are financings of the right to use an underlying asset. The effective date of GASB Statement No. 87 (as amended by GASB Statement No. 95) is for fiscal years beginning after June 15, 2021. The implementation GASB Statement No. 87 has no impact on the City’s financials for the fiscal year ended June 30, 2022.

GASB Statement No. 92 – In January 2020, GASB issued Statement No. 92, Omnibus 2020. The primary objectives of this Statement are to enhance comparability in accounting and financial reporting and to improve consistency of authoritative literature by addressing practice issues that have been identified during implementation and application of certain GASB Statements. Implementation of this Statement did not have a significant effect on the City’s financial statements for the fiscal year ended June 30, 2022.

Note 2 – Cash and Investments
The following is a summary of pooled cash and investments, including cash and investments with fiscal agents at June 30, 2022:

Government-Wide
Statement
of Net Position Fiduciary Fund
Governmental Statement of
Activities Net Position Total
Cash and investments 29,037,015 $ 6,952,906 $ 35,989,921 $ Cash and investments with fiscal agents 17,279,157 2,184,145 19,463,302 Total cash and investments 46,316,172 $ 9,137,051 $ 55,453,223 $ Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
55 Note 2 – Cash and Investments (Continued)
Cash and investments consisted of the following at June 30, 2022:

Cash and Investments:

Petty cash 8,000 $
Demand deposits 22,489,222
Restricted cash 470,430
Investments 32,485,571
Total cash and investments 55,453,223 $
A. Demand Deposits
The carrying amounts of the City’s demand deposits were $22,489,222 at June 30, 2022. Bank balances at that date were $24,226,609, the total amount of which was collateralized or insured with securities held by the pledging financial institutions in the City’s name as discussed below. The difference between the carrying amount and bank balances represents outstanding checks, deposits in transit, and other reconciling items.

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 in such collateral superior to those of a general creditor. Thus, collateral for cash deposits is considered to be held in the City's name.

The market value of pledged securities must equal at least 110% of the City's cash deposits. California law also allows institutions to secure City’s deposits by pledging first trust deed mortgage notes having a value of 150% of the City’s total cash deposits. The City may waive collateral requirements for cash deposits, which are fully insured up to $250,000 by the Federal Deposit Insurance Corporation (“FDIC”).

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

B. Investments
Investments Authorized by the City’s Investment Policy
The City annually adopts an investment policy to provide guidelines for the deposit and investment of public monies. The investment policy was consistent with the terms and provisions of California Government Code Section 53600 et seq.

Maximum Maximum Percentage Maximum Investment
Authorized Investment Type Maturity * of Portfolio * in One Issuer * United States Treasury Notes 5 years 80% N/A
U.S. Sponsored Enterprise Securities 5 years 80% N/A
Bankers' Acceptances 180 days 40% 30%
Commercial paper 270 days 25% 10%
Negotiable Certificates of deposit 5 years 30% N/A
Local Agency Investment Fund ("LAIF") N/A No Limit $50 million Medium-term notes 5 years 30% N/A
Money Market Mutual Funds N/A 20% 10%
N/A - Not Applicable
* Excluding amounts held by bond trustees that are not subject to California Government Code restrictions.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
56 Note 2 – Cash and Investments (Continued)
B. Investments (Continued)
Investments Authorized by Debt Agreement
Investments of debt proceeds held by bond trustee are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City’s investment policy. Authorized investments held by bond trustee are the same as those authorized by the City’s investment policy identified above.

C. Fair Value Measurement
At June 30, 2022, investments are reported at fair value. The following table presents the fair value measurement of investments on a recurring basis and the levels within the fair value hierarchy in which the fair value measurements fall at June 30, 2022:

Investment Type Value
Observable Inputs
(Level 1)
Significant Other
Observable Inputs
(Level 2)
Investments subject to fair value measurements:

Negotiable certificates of deposits 1,768,097 $ - $ 1,768,097 $ U.S. Treasury notes 1,565,161 1,565,161 -
U.S. government sponsored entrprise 1,862,313 - 1,862,313 Corporate notes and asset back securities 1,249,659 - 1,249,659 Foreign notes 216,673 - 216,673
Investments held with fiscal agents:

U.S. Treasury notes 2,482,199 2,482,199 -
U.S. government agency bonds 495,129 - 495,129
Total investments subject to fair value measurements 9,639,231 4,047,360 $ 5,591,871 $ Investments measured at amortized cost:

LAIF 6,287,079
Money market funds 88,463
Investments held with fiscal agents:

Money market funds 16,470,798
Total investments 32,485,571 $
Fair Value Measurement
Level 2 investments are valued based on institutional bond quotes or matrix pricing.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
57 Note 2 – Cash and Investments (Continued)
D. Risk Disclosures
Interest Rate Risk
As a means of limiting its exposure to fair value losses arising from rising interest rates, the City’s investment policy provides that, final maturities of securities cannot exceed five years. Specific maturities of investments depend on liquidity needs. At June 30, 2022, the City’s investments had the following maturities:

Investment Type Amount Less than 1 1 to 2 2 to 3 3 to 4 4 to 5 Local Agency Investment Fund (LAIF) 6,287,079 $ 6,287,079 $ - $ - $ - $ - $ Negotiable Certificates of deposits 1,768,097 45,121 438,107 764,959 222,328 297,582 Money market funds 88,463 88,463 - - - -
US Treasury notes 1,565,161 268,993 244,458 738,028 313,682 - U.S. government sponsored entrprise 1,862,313 765,481 631,363 373,626 91,843 - Corporate notes and asset back securities 1,249,659 399,518 234,845 393,570 134,056 87,670 Foreign notes 216,673 - 88,307 128,366 - -
Investments held with fiscal agents:

US Treasury notes 2,482,199 410,898 2,071,301 - - -
Money market mutual funds 16,470,798 16,470,798
US government agency bonds 495,129 - - - 249,810 245,319 Total $ 24,736,351 32,485,571 $ 3,708,381 $ 2,398,549 $ 1,011,719 $ 630,571 $ Investment Maturities (in Years)
Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. To be eligible to receive City money, a bank, savings association, federal association, or federally insured industrial loan company shall have received an overall rating of not less than "satisfactory" in its most recent evaluation by the appropriate federal financial supervisory agency of its record of meeting the credit needs of California's communities, including low-and-moderate income neighborhoods.

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

Percentage of
Investments
Minimum Legal with Credit
Investment Type Fair Value Credit Rating Credit Rating Rate Risk Local Agency Investment Fund (LAIF) 6,287,079 $ None Not Rated 48.22% Negotiable Certificates of deposits 1,768,097 None A1 13.56% Money market funds 88,463 Aaa Aaa 0.68%
US Treasury notes 1,565,161 None Aaa 12.01%
U.S. government sponsored enterprise 1,862,313 None Aaa 14.28% Corporate notes and asset back securities 1,249,659 AA Aaa/Aa/A 9.59% Foreign notes 216,673 AA Aaa 1.66%
Investments held with fiscal agents:

US Treasury notes 2,482,199 N/A Aaa N/A
Money market mutual funds 16,470,798 N/A Aaa N/A
US government agency bonds 495,129 N/A Aaa N/A
Total 32,485,571 $
Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
58 Note 2 – Cash and Investments (Continued)
D. Risk Disclosures (Continued)
Custodial Credit Risk
Custodial credit risk is the risk that, in the event of the failure of the counter party (e.g. broker-dealer) to a transaction, 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 and the City’s investment policy do 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 investments in securities through these of mutual funds or government investment pools (such as LAIF).

E. Investments in Local Agency Investment Fund
The City is a participant in LAIF, which is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The City’s investments with LAIF at June 30, 2022, included a portion of the pool funds invested in Structured Notes and Asset-Backed Securities:

Structured Notes: 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: Generally, mortgage-backed securities that 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 (for example, Collateralized Mortgage Obligations) or credit card receivables.

As of June 30, 2022, the City had $6,287,079 invested in LAIF, which had invested 1.88% of the pool investment funds in Structured Notes and Asset-Backed Securities. LAIF determines fair value on its investment portfolio based on market quotations for those securities where market quotations are readily available and based on amortized cost or best estimate for those securities where market value is not readily available. The City valued its investments in LAIF as of June 30, 2022 at amortized cost, which approximates fair value.

Note 3 – Notes Receivable
Notes receivable, which amounted to $3,374,172, is reported in the Housing Authority Special Revenue Fund as follows:

Housing Rehabilitation Loan Program 424,172 $
Owner Participation and Loan Agreement:

Low Income Housing Project 500,000
Low and Moderate Income Housing Units 750,000
Multifamily Residential Housing 1,700,000
Total $ 3,374,172
Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
59 Note 3 – Notes Receivable (Continued)
The former Redevelopment Agency of the City of Desert Hot Springs (“Redevelopment Agency”) operated a housing rehabilitation loan program, which provides loans to borrowers who meet certain qualifications for the purpose of rehabilitating their homes. The loans are secured by a deed of trust and are normally repaid when the home changes ownership. The outstanding balance of the loan at June 30, 2022 was $424,172.

On June 7, 2006, the former Redevelopment Agency entered into an Owner Participation and Loan Agreement in the amount of $500,000 with a developer to provide funding for development of 34 low-income housing units. On October 6, 2009, the former Redevelopment Agency entered into another Owner Participation and Loan Agreement for $750,000 with a developer to provide funding for development of 60 low to moderate income housing units. On March 16, 2010, the former Redevelopment Agency entered into the third Owner Participation and Grant Agreement in the amount of $1,700,000 with a developer to provide funding for development of a 62-unit multifamily residential housing project. The term of these agreements is 55 years.

Note 4 – Interfund Transactions
A. Due From/To Other Funds
At June 30, 2022, the City had the following short-term interfund receivable/payable:

Due to Other Funds General Fund Debt Service Fund Total Nonmajor Governmental Funds 486,678 $ 328,526 $ 815,204 $ Due from Other Funds
The interfund balances resulted from temporary reclassifications made at June 30, 2022 to cover cash shortfalls.

B. Transfers In/Out
For the year ended June 30, 2022, the City had the following transfers in/out which arise in the normal course of operations:

Public Safety Debt Nonmajor
General Special Revenue Service Governmental
Transfers Out Fund Fund Fund Funds Total
General Fund - $ 8,304,341 $ 414,357 $ 1,313,485 $ 10,032,183 $ American Recovery Act Special Revenue Fund 18,988 1,891,245 - 13,563 1,923,796 Debt Service Fund - - - 520,199 520,199
Nonmajor Governmental Funds 100,000 161,287 323,338 - 584,625 Total $ 10,356,873 118,988 $ 737,695 $ 1,847,247 $ 13,060,803 $ Transfers In
The transfer of $8,304,341 from General Fund to the Public Safety Special Revenue Fund was to fund public safety expenditures during the year in which there were insufficient revenues to cover. The transfers of $414,357 to the Debt Service Fund was to fund debt service payments. The transfers of $1,313,485 from General Fund to the Nonmajor Governmental Funds were budgeted transfers to provide funding for the expenditures of Citywide Lighting and Maintenance District and Cabot’s Museum.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
60 Note 4 – Interfund Transactions (Continued)
B. Transfers In/Out (Continued)
The transfer from American Act Special Revenue Fund to the General Fund of $18,998 and to the Nonmajor Governmental Funds of $13,563 was for COVID Pay. The transfer of $1,891,245 to the Public Safety Special Revenue Fund was to fun the Public Safety premium pay and start up cost of building the community facility for Police Department.

The transfer of $520,199 from Debt Service Fund to Nonmajor Governmental Funds was to cover cost for capital projects.

The transfer of $100,000 from the Nonmajor Governmental Funds to the General Fund was a payment for the City Council adopted interfund loan agreement with the General Fund for the reimbursement of expenses related to the construction of the new City Hall.

The transfers of $161,287 from the Nonmajor Governmental Funds to the Public Safety Special Revenue Fund relates to assistance in funding public safety expenditures.

The transfers of $323,338 from the Nonmajor Government Funds to the Debt Service Fund was to fund debt service payments.

Note 5 – Capital Assets
A summary of changes in the capital assets for the governmental activities for the year ended June 30, 2022 is as follows:

Balance Balance
July 1, 2021 Additions Deletions Transfers June 30, 2022 Nondepreciable assets:

Land 2,767,307 $ 146,642 $ - $ 44,145 $ 2,958,094 $
Construction in progress 4,290,691 3,560,439 - (155,700) 7,695,430 Total nondepreciable assets 7,057,998 3,707,081 - (111,555) 10,653,524 Depreciable assets:

Building and improvements 44,963,492 18,291 - - 44,981,783 Machinery and equipment 13,856,407 646,578 (32,562) - 14,470,423 Vehicles 3,325,481 827,094 (287,460) - 3,865,115
Infrastructure 43,872,217 41,301 - 111,555 44,025,073
Total capital assets, being depreciated 106,017,597 1,533,264 (320,022) 111,555 107,342,394 Less accumulated depreciation:

Building and improvements (13,227,345) (1,059,612) 666 - (14,286,291) Machinery and equipment (8,851,603) (745,083) 32,562 - (9,564,124) Vehicles (2,422,847) (466,664) 285,060 - (2,604,451)
Infrastructure (21,775,897) (2,003,326) - - (23,779,223) Total accumulated depreciation (46,277,692) (4,274,685) 318,288 - (50,234,089) Total depreciable assets, net 59,739,905 (2,741,421) (1,734) 111,555 57,108,305 Governmental activities capital assets, net $ 965,660 66,797,903 $ (1,734) $ - $ 67,761,829 $ Governmental Activities
Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
61 Note 5 – Capital Assets (Continued)
Depreciation expense was charged to functions/programs of governmental activities for the year ended June 30, 2022 as follows:

General government 2,635,148 $
Public safety 272,348
Public works 596,196
Culture and leisure 540,728
Internal service fund 230,265
Total depreciation expense $ 4,274,685
Note 6 – Long-Term Liabilities
A. Governmental Activities
A summary of changes in long-term liabilities for governmental activities for the year ended June 30, 2022 is as follows:

Balance Balance Due within Due in more
July 1, 2021 Additions Deletions June 30, 2022 One Year than One Year 2020 Certificates of Participation 5,040,000 $ - $ (200,000) $ 4,840,000 $ 200,000 $ 4,640,000 $ Lease Revenue Bonds Series 2017A 13,565,000 - (90,000) 13,475,000 255,000 13,220,000 Taxable Lease Revenue Bonds
Series 2017A-T 275,000 - (215,000) 60,000 60,000 -
Lease Revenue Bonds Series 2018 6,575,000 - (125,000) 6,450,000 130,000 6,320,000 Lease Revenue Bonds Series 2021A - 14,835,000 (580,000) 14,255,000 320,000 13,935,000 Taxable Lease Revenue Bonds
Series 2021A-T - 1,135,000 - 1,135,000 - 1,135,000
Subtotal 25,455,000 15,970,000 (1,210,000) 40,215,000 965,000 39,250,000 Add/(less) deferred amounts:

Bond discount - 2017A-T (285) - 171 (114) (114) -
Bond premium - 2017A 155,127 - (6,205) 148,922 6,205 142,717 Bond premium - 2018 267,912 - (10,220) 257,692 10,220 247,472 Bond premium - 2021A - 239,042 (5,324) 233,718 8,030 225,688 Total bonds payable 25,877,754 16,209,042 (1,231,578) 40,855,218 989,341 39,865,877 Santander finance purchase - 708,663 (140,042) 568,621 159,583 409,038 Claims and judgments payable 781,579 76,419 (276,618) 581,380 331,161 250,219 Compensated absences 1,167,931 977,799 (1,015,012) 1,130,718 339,215 791,503 Pension-related debt 1,525,390 96,820 (330,361) 1,291,849 339,446 952,403 Total $ 18,068,743 29,352,654 $ (2,993,611) $ 44,427,786 $ 2,158,746 $ 42,269,040 $ Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
62 Note 6 – Long-Term Liabilities (Continued)
A. Governmental Activities (Continued)
California Communities Transportation Revenue (Installment Sale) Certificates of Participation, Series 2020 (T.R.I.P. – Total Road Improvement Program) – Original Issue $5,310,000 In October 2020, the City entered into a trust agreement with the California Statewide Communities Development Authority (the “Authority”), and issued the Certificates of Participation, Series 2020 (the “2020 Certificates”) in the amount of $5,310,000. The purpose of the Certificates was to: 1) defeased the 2012A Certificates, and 2) pay the costs incurred in connection with the execution, sale, and delivery of the Certificates. The City makes installment sale payments to the Authority, which are payable from Gas Tax revenues and Measure A receipts.

The aggregate difference in debt service as result of the refinancing was $1,699,086 and economic gain on the refinancing was $873,318. The outstanding balance of the defeased 2012A Certificates at June 30, 2022 was $4,680,000.

The 2020 Certificates accrue interest at rates between 0.435% and 3.238%, payable semiannually on June 1 and December 1, and mature through June 1, 2042.

At June 30, 2022, the outstanding balance of the 2020 Certificates was $4,840,000. The annual debt service requirements on the 2020 Certificates are as follows:

Year Ending June 30, Principal Interest Total
2023 200,000 $ 119,168 $ 319,168 $
2024 200,000 117,766 317,766
2025 205,000 115,844 320,844
2026 210,000 113,668 323,668
2027 210,000 110,724 320,724
2028-2032 1,110,000 492,813 1,602,813
2033-2037 1,250,000 351,240 1,601,240
2038-2042 1,455,000 144,253 1,599,253
Total $ 1,565,476 4,840,000 $ 6,405,476 $
Lease Revenue Bonds, Series 2017A and the Taxable Lease Revenue Bonds, Series 2017A-T In March 2017, the Desert Hot Springs Public Financing Authority (the “Authority”) issued the Lease Revenue Bonds, Series 2017A (the “Tax-Exempt Bonds”) and the Taxable Lease Revenue Bonds, Series 2017A-T (the “Taxable Bonds” in amount of $13,895,000 and $1,105,000, respectively. The purpose of the bonds is to (i) current refund the Certificates of Participation (Interim Cash Flow Financing) and Judgment Obligation Bonds, (ii) finance a new City Hall, (iii) make a deposit into a debt service reserve fund and (iv) pay the costs of issuing the Bonds. The aggregate difference in debt service as result of refinancing were $477,856 for the Tax Exemption Bonds and $222,211 for the Taxable Bonds, and economic gain on the refinancing were $963,667 and $43,838, respectively.

The Bonds accrue interest at rates between 2.000% and 3.750%, payable semiannually on March 1 and September 1, commencing September 1, 2017 and the principals are due annually on March 1.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
63 Note 6 – Long-Term Liabilities (Continued)
A. Governmental Activities (Continued)
Lease Revenue Bonds, Series 2017A and the Taxable Lease Revenue Bonds, Series 2017A-T (Continued) The Tax-Exempt Bonds maturing on or before March 1, 2027 are not subject to optional redemption prior to their stated maturity. The Tax-Exempt Bonds maturing on or after March 1, 2028 are subject to redemption, as a whole or in part at a redemption price equal to 100% of the principal amount of Tax-Exempt Bonds to be redeemed, together with accrued interest thereon to the date fixed for redemption, without premium. The Taxable Bonds are not subject to optional redemption prior to their stated maturity.

At June 30, 2022, the outstanding balance of the Tax-Exempt Bonds and the Taxable Bonds were $13,475,000 and $60,000, respectively. The annual debt service requirements on the Bonds are as follows:

Year Ending June 30, Principal Interest Principal Interest Principal Interest 2023 255,000 $ 545,256 $ 60,000 $ 1,875 $ 315,000 $ 547,131 $ 2024 330,000 533,781 - - 330,000 533,781
2025 345,000 518,931 - - 345,000 518,931
2026 360,000 503,406 - - 360,000 503,406
2027 375,000 487,206 - - 375,000 487,206
2028-2032 2,175,000 2,146,100 - - 2,175,000 2,146,100
2033-2037 2,625,000 1,702,944 - - 2,625,000 1,702,944
2038-2042 3,165,000 1,158,600 - - 3,165,000 1,158,600
2043-2047 3,845,000 473,600 - - 3,845,000 473,600
Total 13,475,000 $ 8,069,825 $ 60,000 $ 1,875 $ 13,535,000 $ 8,071,700 $ Tax Exempt Bonds Taxable Bonds Total
Lease Revenue Bonds, Series 2018
In October 2018 the Authority issued the Lease Revenue Bonds, Series 2018 (the “2018 bonds”) in the amount of $6,850,000. The purpose of the bonds is to (i) finance a portion of the New City Hall being constructed by the City (ii) make a deposit into a debt service reserve fund for the Bonds, and (iii) pay the costs of issuing the bonds.

The bonds accrue interest at rates between 3.0% and 5.0%, payable semiannually on March 1 and September 1, commencing March 1, 2019. Principals are due annually commencing March 1, 2019 through March 1, 2048.

At June 30, 2022, the outstanding balance of the 2018 bonds were $6,450,000. The annual debt service requirements on the 2018 bonds are as follows:

Year Ending June 30, Principal Interest Total
2023 130,000 $ 283,106 $ 413,106 $
2024 140,000 276,606 416,606
2025 145,000 269,606 414,606
2026 150,000 262,356 412,356
2027 160,000 254,856 414,856
2028-2032 925,000 1,146,781 2,071,781
2033-2037 1,170,000 900,313 2,070,313
2038-2042 1,455,000 614,000 2,069,000
2043-2047 1,775,000 299,000 2,074,000
2048 400,000 16,000 416,000
Total $ 4,322,625 6,450,000 $ 10,772,625 $
Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
64 Note 6 – Long-Term Liabilities (Continued)
A. Governmental Activities (Continued)
Lease Revenue Bonds, Series 2021A and the Taxable Lease Revenue Bonds, Series 2021A-T In August 2021, the Desert Hot Springs Public Financing Authority (the “Authority”) issued the Lease Revenue Bonds, Series 2021A (the “Tax-Exempt Bonds”) and the Taxable Lease Revenue Bonds, Series 2021A-T (the “Taxable Bonds” in amount of $14,835,000 and $1,135,000, respectively. The purpose of the bonds is to (i) finance the acquisition and construction of a new police facility and fire station and, as to the taxable bonds, to provide funds for capital improvement projects within the City, (ii) make a deposit into a debt service reserve fund and (iii) pay the costs of issuing the Bonds. The aggregate difference in debt service as result of refinancing were $477,856 for the Tax Exemption Bonds and $222,211 for the Taxable Bonds, and economic gain on the refinancing were $963,667 and $43,838, respectively.

The bonds accrue interest at rates between 3.0% and 4.0%, payable annually on March 1, commencing March 1, 2022. Principal payments for the Tax-Exempt Bonds and the Taxable Bonds due annually on March 1, commencing March 1, 2022 and March 1, 2024 through March 1, 2051 and March 1, 2033, respectively.

The Tax-Exempt Bonds maturing on or before March 1, 2031 are not subject to optional redemption prior to their stated maturity. The Tax-Exempt Bonds maturing on or after March 1, 2032 are subject to redemption, as a whole or in part at a redemption price equal to 100% of the principal amount of Tax-Exempt Bonds to be redeemed, together with accrued interest thereon to the date fixed for redemption, without premium. The Taxable Bonds maturing on or after March 1, 2023 are subject to redemption, as a whole or in part at a redemption price equal to 100% of the principal amount of Taxable Bonds to be redeemed, together with accrued interest thereon to the date fixed for redemption, without premium.

At June 30, 2022, the outstanding balance of the Tax-Exempt Bonds and the Taxable Bonds were $14,255,000 and $1,135,000, respectively. The annual debt service requirements on the Bonds are as follows:

Year Ending June 30, Principal Interest Principal Interest Principal Interest 2023 320,000 $ 435,113 $ - $ 39,725 $ 320,000 $ 474,838 $ 2024 235,000 425,513 95,000 39,725 330,000 465,238
2025 240,000 416,113 100,000 36,400 340,000 452,513
2026 250,000 406,513 105,000 32,900 355,000 439,413
2027 265,000 396,513 105,000 29,225 370,000 425,738
2028-2032 1,465,000 1,816,563 600,000 87,500 2,065,000 1,904,063 2033-2037 2,355,000 1,479,513 130,000 4,550 2,485,000 1,484,063 2038-2042 2,875,000 1,089,719 - - 2,875,000 1,089,719
2043-2047 3,285,000 683,788 - - 3,285,000 683,788
2048-2051 2,965,000 206,800 - - 2,965,000 206,800
Total 14,255,000 $ 7,356,144 $ 1,135,000 $ 270,025 $ 15,390,000 $ 7,626,169 $ Tax Exempt Bonds Taxable Bonds Total
Santander Purchase Financing Agreement
On February 10, 2021, the City entered into a purchase financing agreement with Lease Servicing Center, Inc. dba NCL Government Capital for the Police Department vehicles. Interest on the vehicles is 2.73% monthly for a period of 4 years commencing on August 30, 2021.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
65 Note 6 – Long-Term Liabilities (Continued)
A. Governmental Activities (Continued)
Santander Purchase Financing Agreement (Continued)
In the event of default, the lender may, at its option, exercise any of one or more of the following remedies: (1) by written notice to the City, declare all amounts then due under the lease, (2) by written notice require the City to promptly return the equipment to the lender at the City’s expense, (3) exercise any other right, remedy or privilege which may be available to it under applicable laws of the State of California.

At June 30, 2022, the outstanding balance of the purchase financing agreement were $568,621. The annual debt service requirements on the purchase financing agreement are as follows:

Year Ending June 30, Principal Interest Total
2023 $159,583 $12,423 172,006 $
2024 178,700 8,942 187,642
2025 183,640 4,002 187,642
2026 46,698 213 46,911
Total $ 25,580 568,621 $ 594,201 $
Claims and Judgments Payable
The claims and judgments payable at June 30, 2022 was in the amount of $581,380. The Risk Management Internal Service Fund has been used to liquidate the liability for claims and judgments payable. See Note 8 for details.

Compensated Absences
The City’s liability for vested and unpaid compensated absences (accrued vacation and sick pay) in the governmental activities was in the amount of $1,130,718 at June 30, 2022. The General Fund has been used to liquidate the majority of the liability for compensated absences.

Pension-Related Debt
As of June 30, 2003, the California Public Employees’ Retirement System (“CalPERS”) implemented a risk pool for the City’s multiple-employer public employee defined benefit pension plan. The City’s Miscellaneous and Safety Plans converted from agent multiple-employer plans to cost-sharing multiple employer plans. In addition to the actuarially determined contributions (see Note 9), the City is also required to make annual payments on a Side Fund, which was created when the City entered the risk pool to account for the difference between the funded status of the pool and the funded status of the City’s plans. The responsibility for funding the Side Fund is specific to the City and is not shared by all employers in the risk pool.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
66 Note 6 – Long-Term Liabilities (Continued)
A. Governmental Activities (Continued)
Pension-Related Debt (Continued)
The annual payments on the Side Fund represent principal and interest payments on the pension-related debt, which are included in the retirement expenditures in the City’s various functions.

The amount of pension-related debt outstanding at June 30, 2022 totaled $1,291,849, including $114,997 for the Miscellaneous Plan and $1,176,852 for the Safety Plan. The future payment requirements are as follows:

Year Ending June 30, Miscellaneous Safety Total
2023 114,997 $ 224,449 $ 339,446 $
2024 - 228,313 228,313
2025 - 234,592 234,592
2026 - 241,043 241,043
2027 - 248,455 248,455
$ 1,176,852 114,997 $ 1,291,849 $
B. Fiduciary Activities
A summary of changes in long-term liabilities for the fiduciary fund for the year ended June 30, 2022 is as follows:

Balance Balance Due within Due in more
July 1, 2021 Additions Deletions June 30, 2022 One Year than One Year 2008 Tax Allocation Bonds A-1 5,755,000 $ - $ (1,790,000) $ 3,965,000 $ 1,915,000 $ 2,050,000 $ 2017 Tax Allocation Refunding Bonds 18,115,000 - (800,000) 17,315,000 840,000 16,475,000 Subtotal 23,870,000 - (2,590,000) 21,280,000 2,755,000 18,525,000 Add/(less) deferred amounts:

Bond discount - 2008 TAB A-1 (128,693) - 58,765 (69,928) (58,765) (11,163) Bond premium - 2017 Tax
Allocation Refunding Bonds 1,750,312 - (96,360) 1,653,952 96,360 1,557,592 Total bonds payable $ - 25,491,619 $ (2,627,595) $ 22,864,024 $ 2,792,595 $ 20,071,429 $ Tax Allocation Bonds Series 2008A-1 (Taxable) – Original Issue $19,965,000 In April 2008, the former Redevelopment Agency issued Tax Allocation Bonds, Series 2008A-1 (Taxable) (the “Series 2008A-1 Bonds”) in the amount of $19,965,000. The purpose of the Series 2008A-1 Bonds was to: 1) provide funds to finance redevelopment activities including, without limitation, the acquisition of property for the benefit of the Merged Project Area, 2) to fund the reserve account, and 3) to pay certain costs of issuance of the Series 2008A-1 Bonds.

The Series 2008A-1 Bonds are 7% term bonds due September 1, 2023, with interest payable semiannually on September 1 and March 1 of each year. The 2008A-1 Bonds are subject to optional redemption, on any date prior to their maturity, in whole or in part, with maturities to be designated by the Successor Agency, at a redemption price equal to 100 percent of the principal amount of such 2008A-1 Bonds plus the Make-Whole Premium, if any, plus the accrued interest, if any, thereon to the redemption date.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
67 Note 6 – Long-Term Liabilities (Continued)
B. Fiduciary Activities (Continued)
Tax Allocation Bonds Series 2008A-1 (Taxable) – Original Issue $19,965,000 (Continued) The Series 2008A-1 Bonds maturing on September 1, 2023 are also subject to redemption prior to their stated maturity, in part, pro rata, from sinking account installments deposited in the sinking account on September 1 of each year commencing September 1, 2009, at the principal amount thereof and interest accrued thereon to the date fixed for redemption, without premium.

The Series 2008A-1 Bonds agreement requires the Successor Agency to pledge its annual tax revenues in an amount equal to at least 135% of the annual debt service requirement each fiscal year, through final maturity of the Series 2008A-1 Bonds on September 1, 2023 or early retirement of the Series 2008A-1 Bonds, whichever occurs first. Revenues received by the Successor Agency from the RPTTF have been pledged for the payment of principal and interest on these bonds. Principal and interest paid for the current year amounted to $2,131,300 and total net revenue reported by the Successor Agency was $3,738,432. The ratio of net revenues to the debt service payments due during the year ended June 30, 2022 was 1.75 (175%).

The outstanding balance of the Series 2008A-1 Bonds at June 30, 2022 totaled to $3,965,000. The annual debt service requirements on the Series 2008A-1 Bonds are as follows:

Year Ending June 30, Principal Interest Total
2023 1,915,000 $ 210,525 $ 2,125,525 $
2024 2,050,000 71,750 2,121,750
Total $ 282,275 3,965,000 $ 4,247,275 $
Tax Allocation Refunding Bonds, Series 2017 – Original Issue $20,020,000 In May 2017, the Successor Agency issued 2017 Subordinate Tax Allocation Refunding Bonds in the amount of $20,020,000. The purpose of the bonds was to current refund 2006 Tax Allocation Refunding Bonds, 2008 Tax Allocation Bonds A-2, and 2009 Tax Allocation Bonds, and to fund the reserve account by purchasing the reserve policy and to pay the costs of issuing the 2017 Bonds. The aggregate difference in debt service as result of the refinancing were $7,728,181 and economic gain on the refinancing were $3,736,520. The 2017 Bonds are secured by a pledge of, security interest in and lien on all of the Tax, including all of the Tax Revenues in the Redevelopment Obligation Retirement Fund.

The Bonds accrue interest at rates between 2.000% and 5.000%, payable semiannually on March 1 and September 1, commencing September 1, 2017 and the principals are due annually on September 1. The 2017 Bonds are subject to optional redemption and mandatory sinking account redemption prior to maturity.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
68 Note 6 – Long-Term Liabilities (Continued)
B. Fiduciary Activities (Continued)
Tax Allocation Refunding Bonds, Series 2017 – Original Issue $20,020,000 (Continued) The outstanding balance of the 2017 Bonds at June 30, 2022 was $17,315,000. The annual debt service requirements on these bonds are as follows:

Year Ending June 30, Principal Interest Total
2023 840,000 $ 733,113 $ 1,573,113 $
2024 880,000 690,112 1,570,112
2025 925,000 644,988 1,569,988
2026 970,000 607,312 1,577,312
2027 1,000,000 567,763 1,567,763
2028-2032 5,815,000 2,015,438 7,830,438
2033-2037 4,945,000 718,269 5,663,269
2038-2040 1,940,000 77,688 2,017,688
Total $ 6,054,681 17,315,000 $ 23,369,681 $
Note 7 – Non-City Obligation Debt
The City of Desert Hot Springs Community Facilities District No. 2006-1 (the “District”) issued Improvement Area 1 Special Tax Bonds, Series 2008A on October 16, 2008 in the amount of $2,600,000. The bond proceeds, in conjunction with special tax collections, will be used to finance certain public facilities and fees within the City necessary for the development of property within Improvement Area 1 of the District. The bonds do not constitute a debt or liability of the City as they are secured by the special tax revenues levied by the District on real property within the boundaries of the Improvement Area 1. In August 2010, the District issued $2,285,000 Improvement Area 1 Special Tax Refunding Bonds, Series 2010 and redeemed the Improvement Area 1 Special Tax Bonds, Series 2008A. In February 2020 the District issued the Area 1 Special Tax Refunding Bonds, Series 2020 and redeemed the Series 2010 bonds. The outstanding balance for the Improvement Area 1 Special Tax Refunding Bonds, Series 2020, at June 30, 2022 was $1,855,797.

Note 8 – Risk Management
A. Coverage
The City retains a level of risk for both general liability and workers’ compensation. The insurance coverage in excess of the self-insured amount is provided by the Public Entity Risk Management Authority (“PERMA”), a public entity risk pool consisting of cities and other public agencies in Southern California established under the provisions of California Government Code Section 65000 et seq. Costs are shared amongst the members based upon deposit premium contributions. PERMA publishes its own annual financial reports, which can be obtained from PERMA at 72-811 Highway 111 #1014, Palm Desert, CA 92260.

General Liability
The City is self-insured for the first $10,000 on each general liability claim against the City. The City pays an annual premium to PERMA for its excess general liability insurance coverage of $50,000,000, including errors and omissions and auto liability.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
69 Note 8 – Risk Management (Continued)
A. Coverage (Continued)
Workers’ Compensation and Employers’ Liability
The City is self-insured for the first $50,000 of each occurrence. The insurance coverage in excess of the selfinsured amount is provided by PERMA. As a member of PERMA, all participating members share any losses in excess of the City’s self-insured amount up to statutory limits for workers’ compensation and $5,000,000 per accident for employers’ liability.

Other Coverage
The City also has coverage for other risks of loss, including property insurance, auto physical damage insurance, crime coverage and employment practices liability. The City’s property insurance has a $100,000,000 limit of coverage, including $2,500,000 for flood, with a $5,000 deductible per occurrence, except for $100,000 for flood.

The City’s auto physical damage insurance has a $100,000,000 limit of coverage, with a $5,000 deductible for all vehicles, except for $10,000 for fire trucks valued over $200,000. The City’s crime coverage has limits of coverage of $5,000,000 with a $2,500 deductible. The City’s cyber liability has a $2,000,000 limit of coverage, including $250,000 for privacy notification costs, with a $50,000 deductible per claim. The City is self-insured for the first $25,000 of each occurrence for employment practices liability, with excess insurance coverage up to a $1,000,000 limit.

B. Claims Activity
Claims expenses and liabilities are reported when it is probable that a loss has occurred and the amount of that loss can be reasonably estimated. At June 30, 2022, the amount of these liabilities was $581,380 and was the City’s best estimate based on available information.

A summary of the changes in claims liabilities for the past three fiscal years is as follows:

Year Claims Claims Incurred Year
Ended Payable during the Claims Ended
June 30, July 1 Fiscal Year Payments June 30
2020 230,843 $ 436,106 $ (114,252) $ 552,697 $
2021 552,697 423,770 (194,888) 781,579
2022 781,579 76,419 (276,618) 581,380
C. Adequacy of Protection
During the past three fiscal (claims) years, none of the above programs of protection have had settlements or judgments that exceeded pooled or insured coverage. There have been no significant reductions in pooled or insured liability coverage from coverage in the prior year.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
70 Note 9 – Defined Benefit Pension Plan
A. General Information about the Pension Plan
Plan Description
The City contributes to CalPERS, a cost-sharing multiple-employer defined benefit pension plan, for its miscellaneous and safety employees. CalPERS provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. CalPERS acts as a common investment and administrative agent for participating public entities within the State of California. Benefit provisions and all other requirements are established by State statute and City ordinance. Copies of CalPERS’ annual financial report may be obtained from its website at https://www.calpers.ca.gov/page/forms-publications.

Employees Covered by Benefit Terms
At valuation date of June 30, 2020, the following employees were covered by the benefit terms:
1st Tier 2nd Tier PEPRA 1st Tier 2nd Tier PEPRA
Active employees 12 7 36 5 3 18
Transferred and terminated employees 2 24 8 23 4 7
Separated 33 3 12 10 - 8
Retired Employees and Beneficiaries 55 1 1 66 1 3
Total 13 124 57 104 8 36
Miscellaneous Plans Safety Police Plans
Benefit Provided
CalPERS provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. A classic CalPERS member becomes eligible for Service Retirement upon attainment of age 55 with at least 5 years of credited service. Public Employee Pension Reform Act (PEPRA) miscellaneous members become eligible for service retirement upon attainment of age 62 with at least 5 years of service. The service retirement benefit is a monthly allowance equal to the product of the benefit factor, years of service, and final compensation.

Following are the benefit provisions for each plan:
 Miscellaneous First Tier: 2.0% or 2.7% (at age 55) of the highest paid consecutive 12 months’ compensation
 Miscellaneous Second Tier: 2.0% (at age 60) of the highest paid consecutive 36 months’ compensation  Miscellaneous PEPRA: 2.0% (at age 62) of the highest paid consecutive 36 months’ compensation  Safety Police First Tier: 3.0% (at age 50) of the highest paid consecutive 12 months’ compensation  Safety Police Second Tier: 3.0% (at age 55) of the highest paid consecutive 36 months’ compensation  Safety PEPRA: 2.7% (at age 57) of the highest paid consecutive 36 months’ compensation Participant is eligible for non-industrial disability retirement if becomes disabled and has at least 5 years of credited service. There is no special age requirement. The standard non-industrial disability retirement benefit is a monthly allowance equal to 1.8% of final compensation, multiplied by service. Industrial disability benefits are not offered to miscellaneous employees.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
71 Note 9 – Defined Benefit Pension Plan (Continued)
A. General Information about the Pension Plan (Continued) Benefit Provided (Continued)
An employee's beneficiary may receive the basic death benefit if the employee dies while actively employed. The employee must be actively employed with the City to be eligible for this benefit. An employee's survivor who is eligible for any other pre-retirement death benefit may choose to receive that death benefit instead of this basic death benefit. The basic death benefit is a lump sum in the amount of the employee's accumulated contributions, where interest is currently credited at 7.5% per year, plus a lump sum in the amount of one month's salary for each completed year of current service, up to a maximum of six months' salary. For purposes of this benefit, one month's salary is defined as the member's average monthly full-time rate of compensation during the 12 months preceding death.

Upon the death of a retiree, a one-time lump sum payment of $500 will be made to the retiree's designated survivor(s), or to the retiree's estate.

Benefit terms provide for annual cost-of-living adjustments to each employee’s retirement allowance. Beginning the second calendar year after the year of retirement, retirement and survivor allowances will be annually adjusted on a compound basis by 2%.

Contributions
Section 20814(c) of the California Public Employees’ Retirement Law (“PERL”) requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. The total plan contributions are determined through CalPERS’ annual actuarial valuation process. The Public agency cost-sharing plans covered by the miscellaneous risk pools, the Plan’s actuarially determined rate is based on the estimated amount necessary to pay the Plan’s allocated share of the risk pool’s costs of benefits earned by employees during the year, and any unfunded accrued liability. The employer is required to contribute the difference between the actuarially determined rate and the contribution rate of employees. For the measurement period ended June 30, 2021, the contribution rates were as follows:

Active Employee Employer
Contribution Rate Contribution Rate
Miscellaneous First Tier 8.000% 14.194%
Miscellaneous Second Tier 7.000% 8.794%
Miscellaneous PEPRA 6.750% 7.732%
Safety Police First Tier 9.000% 27.008%
Safety Police Second Tier 9.000% 24.112%
Safety Police PEPRA 14.250% 14.876%
Plans
B. Pension Liabilities, Pension Expenses, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions
Actuarial Methods and Assumptions Used to Determine Total Pension Liability For the measurement period ended June 30, 2021 (the measurement date), the total pension liability was determined by rolling forward the June 30, 2020 total pension liability. The June 30, 2021 total pension liability was based on the following actuarial methods and assumptions:

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
72 Note 9 – Defined Benefit Pension Plan (Continued)
B. Pension Liabilities, Pension Expenses, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions (Continued)
Actuarial Methods and Assumptions Used to Determine Total Pension Liability (Continued) Actuarial Cost Method
Actuarial Assumptions:

Discount Rate 7.15%
Inflation 2.50%
Salary Increases
Mortality Rate Table1
Post Retirement Benefit Increase
Entry Age Normal
Varies by Entry Age and Service
Derived using CalPERS’ Membership Data for all Funds.

Contract COLA up to 2.50% until Purchasing Power Protection Allowance Floor on Purchasing Power applies, 2.50% thereafter 1 The mortality table used was developed based on CalPERS’ specific data. The probabilities of mortality are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015. Pre-retirement and Postretirement mortality rates include 15 years of projected mortality improvement using 90% of Scale MP-2016 published by the Society of Actuaries. For more details on this tables please refer to the CalPERS experience study and Review of Actuarial Assumption report from December 2017 that can be found on the CalPERS website.

Change of Assumption
In 2021, there were no changes in assumptions.

Discount Rate
The discount rate used to measure the total pension liability was 7.15 percent. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will be made at statutorily required rated, actuarially determined. Based on those assumptions, the Plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on plan investments was applied to all period of projected benefit payments to determine the total pension liability.

Long-term Expected Rate of Return
The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.

In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Using historical returns of all of the funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the long-term (11+ years) using a building-block approach. Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the rounded single equivalent expected 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 equal to the single equivalent rate calculated above and adjusted to account for assumed administrative expenses. The expected real rates of return by asset class are as followed:

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
73 Note 9 – Defined Benefit Pension Plan (Continued)
B. Pension Liabilities, Pension Expenses, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions (Continued)
Long-term Expected Rate of Return Continued)
Assumed Asset Real Return Real Return
Asset Class1 Allocation Years 1-102 Years 11+3
Global Equity 50.00% 4.80% 5.98%
Global Fixed Income 28.00% 1.00% 2.62%
Inflation Sensitive 0.00% 0.77% 1.81%
Private Equity 8.00% 6.30% 7.23%
Real Estate 13.00% 3.75% 4.93%
Liquidity 1.00% 0.00% -0.92%
1 In the CalPERS'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. 2 An expected inflation of 2.00% used for this period.
3 An expected inflation of 2.92% used for this period.

Sensitivity of the City’s Proportionate Share of the Net Pension Liability to Changes in the Discount Rate The following presents the City’s proportionate share of the net pension liability of the Plan as of the measurement date, calculated using the discount rate of 7.15%, as well as what the City’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1 percentage-point lower (6.15%) or 1 percentage-point higher (8.15%) than the current rate:

Discount Rate Current Discount Discount Rate
- 1% (6.15%) Rate (7.15%) + 1% (8.15%)
$ 1,881,356 4,034,131 $ 101,688 $
Safety Plan 10,599,797 $ 5,747,900 $ 1,762,666 $
Plan's Net Pension Liability/(Asset)
Miscellaneous Plan
Pension Plan Fiduciary Net Position
Detail information about the plan’s fiduciary net position is available in the separately issued CalPERS financial report and can be obtained from CalPERS’ website under Forms and Publications.

Proportionate Share of Net Pension Liability and Pension Expense The following table shows the plan’s proportionate share of the risk pool collective net pension liability over the measurement period:

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
74 Note 9 – Defined Benefit Pension Plan (Continued)
B. Pension Liabilities, Pension Expenses, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions (Continued)
Proportionate Share of Net Pension Liability and Pension Expense (Continued) Plan Total
Pension
Plan Fiduciary
Net Net Pension
Liability Position Liability/(Asset)
Miscellaneous Plan
Balance at: 6/30/20 (Valuation date) 14,769,294 $ 11,081,170 $ 3,688,124 $ Balance at: 6/30/21 (Measurement date) 16,305,084 14,423,728 1,881,356 Net Changes during 2020-2021 1,535,790 3,342,558 (1,806,768) Increase (Decrease)
Plan Total
Pension
Plan Fiduciary
Net Net Pension
Liability Position Liability/(Asset)
Safety Plan
Balance at: 6/30/20 (Valuation date) 33,947,059 $ 24,371,589 $ 9,575,470 $ Balance at: 6/30/21 (Measurement date) 36,044,471 30,296,571 5,747,900 Net Changes during 2020-2021 2,097,412 5,924,982 (3,827,570) Increase (Decrease)
The following is the approach established by the plan actuary to allocate the net pension liability and pension expense to the individual employers within the risk pool. (1) In determining a cost-sharing plan’s proportionate share, total amounts of liabilities and assets are first calculated for the risk pool as a whole on the valuation date (June 30, 2020). The risk pool’s fiduciary net position (“FNP”) subtracted from its total pension liability (“TPL”) determines the net pension liability (“NPL”) at the valuation date.
(2) Using standard actuarial roll forward methods, the risk pool TPL is then computed at the measurement date (June 30, 2021). Risk pool FNP at the measurement date is then subtracted from this number to compute the NPL for the risk pool at the measurement date. For purposes of FNP in this step and any later reference thereto, the risk pool’s FNP at the measurement date denotes the aggregate risk pool’s FNP at June 30, 2021 less the sum of all additional side fund (or unfunded liability) contributions made by all employers during the measurement period (2020-2021).
(3) The individual plan’s TPL, FNP and NPL are also calculated at the valuation date. TPL is allocated based on the rate plan’s share of the actuarial accrued liability. FNP is allocated based on the rate plan’s share of the market value assets.
(4) Two ratios are created by dividing the plan’s individual TPL and FNP as of the valuation date from (3) by the amounts in step (1), the risk pool’s total TPL and FNP, respectively.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
75 Note 9 – Defined Benefit Pension Plan (Continued)
B. Pension Liabilities, Pension Expenses, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions (Continued)
Proportionate Share of Net Pension Liability and Pension Expense (Continued) (5) The plan’s TPL as of the Measurement Date is equal to the risk pool TPL generated in (2) multiplied by the TPL ratio generated in (4). The plan’s FNP as of the Measurement Date is equal to the FNP generated in (2) multiplied by the FNP ratio generated in (4) plus any additional side fund (or unfunded liability) contributions made by the employer on behalf of the plan during the measurement period. (6) The plan’s NPL at the Measurement Date is the difference between the TPL and FNP calculated in (5).

Deferred outflows of resources, deferred inflows of resources, and pension expense is allocate based on the City’s share of net pension liability at the measurement date.

The City’s proportionate share of the net pension liability was as follows:

Miscellaneous Safety
June 30, 2020 0.03390% 0.08801%
June 30, 2021 0.03479% 0.10628%
Change - (Decrease) 0.00089% 0.01827%
Plans
For the year ended June 30, 2022, the City recognized pension expense in the amounts of $505,470 and $1,253,223 for the miscellaneous and safety plans, respectively.

The amortization period differs depending on the source of the gain or loss for the miscellaneous and safety plans, respectively. The difference between projected and actual earnings is amortized over 5-years straight line.

All other amounts are amortized straight-line over the average expected remaining service lives of all members that are provided with benefits (active, inactive and retired) as of the beginning of the measurement period.

The expected average remaining service lifetime (“EARSL”) is calculated by dividing the total future service years by the total number of plan participants (active, inactive, and retired) in the risk pool. The EARSL for risk pool for the 2020-2021 measurement period is 3.7 years, which was obtained by dividing the total service years of 561,622 (the sum of remaining service lifetimes of the active employees) by 150,648 (the total number of participants: active, inactive, and retired).

At June 30, 2022, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
76 Note 9 – Defined Benefit Pension Plan (Continued)
B. Pension Liabilities, Pension Expenses, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions (Continued)
Proportionate Share of Net Pension Liability and Pension Expense (Continued) Deferred Deferred Deferred Deferred Deferred Deferred
outflows of inflows of outflows of inflows of outflows of inflows of Resources Resources Resources Resources Resources Resources Pension contribution made after
measurement date 793,811 $ - $ 1,348,612 $ - $ 2,142,423 $ - $ Difference between expected and actual
experience 210,973 - 1,106,404 - 1,317,377 -
Difference between projected and actual
earning on pension plan investments - (1,642,319) - (3,854,414) - (5,496,733) Adjustment due to differences in
proportions 126,406 - 106,055 - 232,461 -
Difference between City contributions
and proportionate share of
contributions 163,019 - - (355,057) 163,019 (355,057)
Total $ (1,642,319) 1,294,209 $ 2,561,071 $ (4,209,471) $ 3,855,280 $ (5,851,790) $ Miscellaneous Plan Safety Plan Total
Deferred outflows of resources related to pensions resulting from the City’s contributions made subsequent to the measurement date will be recognized as a reduction of the collective net pension liability in the year ending June 30, 2022. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows:

Miscellaneous Safety
2023 (88,575) $ (496,150) $
2024 (258,588) (614,980)
2025 (340,905) (825,202)
2025 (453,853) (1,060,680)
$ (2,997,012) (1,141,921) $
Year Ending Deferred Outflows/ (Inflows) of
June 30,
Note 10 – Jointly Governed Organization
Eastern Riverside County Interoperable Communications Authority The City is a member of the Eastern Riverside County Interoperable Communications Authority (“ERICA”), a Joint Powers Authority, created to establish and operate a consolidated communications system which provides emergency call receiving and dispatching services. Other members of ERICA include the Cities of Beaumont, Cathedral City, Indio, and Palm Springs. The members, including the City, are responsible for funding the operations of ERICA through annual assessments. The annual assessments are based on percentages calculated for each member. The City contributed $118,497 during the year ended June 30, 2022. The audited financial statements of ERICA can be obtained at 100 Civic Center Mall, Indio, CA 92201.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
77 Note 10 – Jointly Governed Organization (Continued)
Eastern Riverside County Interoperable Communications Authority (Continued) On April 10, 2009, ERICA and three member agencies, including Indio, Palm Springs, and the City, entered into a reimbursement agreement relating to a municipal financing purchase agreement with Motorola, Inc., in the aggregate principal amount of $5,557,603. The agreement obligates the three member agencies to pay 33.3% of the annual financing payments, as set forth in the municipal lease purchase agreement with Motorola, Inc. ERICA also entered into a reimbursement agreement with all member agencies, which obligates each member agency to pay 20% of the annual financing payments for a master logging recorder, in the aggregate principal amount of $202,489. The City made payments of $134,334 and $4,059 for the Motorola and Master Logging Recorder respectively during the year ended June 30, 2022.

The following represents the City’s obligation for future lease payments:

Year Ending June 30,
Motorola Lease
Reimbursement
Master Logging
Recorder
Reimbursement
Lease
Reimbursement
2023 134,334 $ 4,059 $ 138,393 $
2024 134,334 4,059 138,393
$ 8,118 268,668 $ 276,786 $
Note 11 – Classification of Fund Balances
The City Council adopted resolution No. 2015-050 to commit 25% of cannabis tax revenue for emergency reserve.

The funds can only be used when the City is unable to pay for its general obligations within the next 60 days and that such condition jeopardizes the health, safety, or well-being of the residents of the City.

On August 21, 2018 the City Council approved the Comprehensive Financial Management Policies which included a Reserve for Natural or Fiscal Emergencies. The designated reserve is 15% of General Fund budgeted operational appropriations with the purpose of providing funding for natural or fiscal emergencies.

The assigned fund balance totaling $1,779,705 is being held in the General Fund to fund the operations of the City for the fiscal year ending 2022-2023. Assigned fund balances encompass the portion of the net fund resources reflecting the government’s intended use of resources. Assignment of resources can be done by the highest level of decision making or by a committee or official designated for the purpose. The City Council has authorized the City Manager or designee for that purpose.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
78 Note 11 – Classification of Fund Balances (Continued) At June 30, 2022, fund balances are classified as follows:

American Debt Nonmajor
General Public Recovery Service Governmental
Fund Safety Act Fund Funds Total
Nonspendable:

Prepaid items 62,312 $ - $ - $ - $ - $ 62,312 $
Total nonspendable - 62,312 - - - 62,312
Restricted:

Furbee settlement 455,254 - - - - 455,254
Housing and economic
development - - - - 4,943,914 4,943,914
Public safety - 230,827 - - 114,752 345,579
Public works/projects - - - - 3,803,399 3,803,399
Culture and leisure - - - - 1,098,975 1,098,975
Debt service - - - 19,640,675 - 19,640,675
Lighting/Landscaping/
Drainage - - - - 1,190,600 1,190,600
Assessment District 91-1 - - - - 123,214 123,214
Assessment District 92-1 - - - - 14,772 14,772
Assessment District 93-2 - - - - 10,457 10,457
Total restricted 230,827 455,254 - 19,640,675 11,300,083 31,626,839 Committed:

Emergency Reserve 5,077,587 - - - - 5,077,587
Reserve for capital use 1,523,509 - - - - 1,523,509
Natural or Fiscal
Emergency Reserve 4,570,528 - - - - 4,570,528
Art in public place - - - - 375,991 375,991
Cabot's Museum - - - - 59,189 59,189
Total committed - 11,171,624 - - 435,180 11,606,804
Assigned:

Operations 1,779,705 - - - - 1,779,705
Cannabis control - - - - 244 244
Total assigned - 1,779,705 - - 244 1,779,949
Unassigned: - - (18,583) - (263,976) (282,559)
Total $ 230,827 13,468,895 $ (18,583) $ 19,640,675 $ 11,471,531 $ 44,793,345 $ Major Funds
Speacial Revenue Funds
Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
79 Note 12 – Net Investment in Capital Assets
The net investment in capital assets for governmental activities is calculation as follows:

Governmental
Activities
Total capital assets, net 67,761,829 $
Unspent capital debt proceed 15,008,307
Deferred loss on refunding debt 353,133
Capital related debt (41,423,839)
Net investment in capital assets 41,699,430 $
Note 13 – Contingencies and Commitments
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, except for the lawsuit described below. 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 were audited in accordance with the provisions of the Uniform Guidance and applicable State requirements. No cost disallowance is expected as a result of these audits; however, these programs are subject to further examination by the grantors. 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 14 – Individual Fund Disclosure
Fund with deficit fund balances at June 30, 2022 are as follows:

Deficit
Special Gas Tax Special Revenue Fund (159,235) $
Air Quality Control Special Revenue Fund (2,862)
County Service Area 152 Special Revenue Fund (101,879)
American Recovery Act Special Revenue Fund (18,583)
The City plans to eliminate the deficit fund balances with future grant revenues.

Item Number: 10.

City of Desert Hot Springs
Notes to the Basic Financial Statements (Continued)
For the Year Ended June 30, 2022
80 Note 14 – Individual Fund Disclosure (Continued)
The following funds exceeded appropriation amounts for the year ended June 30, 2022.

Expenditures
in Excess of
Expenditures Appropriations Appropriations
City Debt Service Fund 2,526,433 $ 2,399,517 $ (126,916) $ Special Gas Tax Special Revenue Fund 578,834 573,060 (5,774) Air Quality Control Special Revenue Fund 68,195 64,000 (4,195) Capital Improvement Fund Capital Projects Fund 1,278,651 1,235,796 (42,855) Item Number: 10.

REQUIRED SUPPLEMENTARY

INFORMATION (UNAUDITED)
81 Item Number: 10.

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82 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Taxes 18,673,169 $ 19,003,169 $ 18,536,089 $ (467,080) $ Permits and fees 2,440,000 2,990,000 2,648,905 (341,095) Intergovernmental 227,000 227,000 33,443 (193,557)
Licenses 180,000 180,000 226,993 46,993
Interest 50,100 50,100 (298,549) (348,649)
Miscellaneous 563,860 563,860 487,982 (75,878)
Total revenues 23,014,129 22,134,129 21,634,863 (1,379,266) EXPENDITURES:

Current:

General government 7,288,207 7,590,608 6,279,923 1,310,685 Public safety 562,088 456,789 427,547 29,242
Public works 787,655 1,042,671 938,028 104,643
Economic development 2,555,536 2,862,349 2,369,622 492,727 Culture and leisure 1,042,705 1,166,898 1,187,709 (20,811) Total expenditures 13,119,315 12,236,191 11,202,829 1,916,486 REVENUES OVER (UNDER) EXPENDITURES 9,894,814 9,897,938 10,432,034 537,220 OTHER FINANCING SOURCES (USES):

Transfers in 100,000 118,988 118,988 -
Transfers out (2,039,899) (1,828,218) (10,032,183) (8,203,965) Total other financing sources (uses) (1,709,230) (1,939,899) (9,913,195) (8,203,965) Net changes in fund balance $ 8,185,584 7,958,039 $ 518,839 (7,666,745) $ FUND BALANCE:

Beginning of year 12,950,056
End of year $ 13,468,895
Budget Amounts
City of Desert Hot Springs
Required Supplementary Information (Unaudited)
Budgetary Comparison Schedules
For the Year Ended June 30, 2022
General Fund
83 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Taxes 5,526,627 $ 5,571,627 $ 5,317,718 $ (253,909) $
Permits and fees 375,500 375,500 405,964 30,464
Intergovernmental 152,341 152,341 75,296 (77,045)
Licenses 12,000 12,000 15,475 3,475
Miscellaneous 380,000 300,000 25,667 405,667
Total revenues 6,491,468 6,366,468 6,220,120 (271,348)
EXPENDITURES:

Current:

Public safety 15,751,803 16,121,725 15,107,847 1,013,878 Capital outlay 1,565,732 1,483,555 157,923 1,407,809
Total expenditures 17,687,457 17,235,358 16,515,656 1,171,801 REVENUES OVER (UNDER) EXPENDITURES (11,195,989) (10,868,890) (10,295,536) 900,453 OTHER FINANCING SOURCES (USES):

Transfers in 150,200 2,041,444 10,356,873 8,315,429
Transfers out (193,348) (193,348) - 193,348
Total other financing sources (uses) 1,848,096 (43,148) 10,356,873 8,508,777 Net changes in fund balance $ (9,347,893) (10,912,038) $ 61,337 9,409,230 $ FUND BALANCE:

Beginning of year 169,490
End of year $ 230,827
Budget Amounts
City of Desert Hot Springs
Required Supplementary Information (Unaudited)
Budgetary Comparison Schedules (Continued)
For the Year Ended June 30, 2022
Public Safety Special Revenue Fund
84 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental - $ 3,454,116 $ 1,923,796 $ (1,530,320) $ Investment earning (loss) - - (18,583) (18,583)
Total revenues 3,454,116 - 1,905,213 (1,548,903)
OTHER FINANCING (USES):

Transfers out (1,923,794) - (1,923,796) (2)
Total other financing (uses) (1,923,794) - (1,923,796) (2) NET CHANGE IN FUND BALANCE $ 1,530,322 - $ (18,583) (1,548,905) $ FUND BALANCE:

Beginning of year -
End of year $ (18,583)
City of Desert Hot Springs
Budgetary Comparison Schedules (Continued)
American Recovery Act Special Revenue Fund
For the Year Ended June 30, 2022
Budget Amounts
Required Supplementary Information (Unaudited)
85 Item Number: 10.

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86 Item Number: 10.

The City adopts an annual budget prepared on the modified accrual basis for all of its governmental funds. Budgets are developed in accordance with U.S. GAAP. The City Council approves each year’s budget, submitted by the City Manager, prior to the beginning of the new fiscal year. Public hearings are conducted prior to its adoption by the City Council. Budgeted amounts transferred between accounts are approved by the Administrative Services Director. Budgeted amounts transferred between departments are approved by the City Manager. Supplemental appropriations, where required during the period, are approved by the City Council. The level of budgetary control (that is, the level at which expenditures cannot legally exceed the appropriated amount) is established at the fund level. At fiscal year-end, all unencumbered operating budget appropriations lapse, with the exception of continuing appropriations. All adopted budgets are presented for the year ended June 30, 2022. In fiscal year 2021-2022, no budget was adopted for the Department of Cannabis Control Special Revenue Fund, Assessment District 92-1 Capital Projects Fund, and Assessment District 93-2 Capital Projects Fund.

On June 1, 2021, the City Council approved and adopted the budget for fiscal year 2021-2022.

B. Continuing Appropriations
At fiscal year-end, all unencumbered appropriations lapse, however, certain unexpended capital funds are carried over into the next fiscal year’s budget.

C. Encumbrances
Encumbrances are estimations of costs related to unperformed contracts for goods and services. These commitments are recorded for budgetary control purposes in the General, special revenue, and similar governmental funds.

Encumbrances outstanding at year-end represent the estimated amount of the expenditure ultimately to result if unperformed contracts in-process at year-end are completed. They do not constitute expenditures or estimated liabilities.

A. General Budget Policies
City of Desert Hot Springs
Required Supplementary Information (Unaudited)
Notes to the Budgetary Comparison Schedules
For the Year Ended June 30, 2022
Budgetary Information
87 Item Number: 10.

June 30, 2021 June 30, 2020 June 30, 2019
City's Proportion of the Net Pension Liability 0.034787% 0.033897% 0.033941% City's Proportionate Share of the Net Pension Liability 1,881,356 $ 3,688,124 $ 3,477,949 $ City's Covered Payroll 4,127,066 $ 3,761,101 $ 2,959,267 $ City's Proportionate Share of the Net Pension Liability as a Percentage of the Covered Payroll 45.59% 98.06% 117.53% Plan's Proportionate Share of the Fiduciary Net Position as a Percentage of the Total Pension Liability 88.46% 75.03% 74.42% June 30, 2021 June 30, 2020 June 30, 2019
City's Proportion of the Net Pension Liability 0.106280% 0.088006% 0.086341% City's Proportionate Share of the Net Pension Liability 5,747,900 $ 9,575,470 $ 8,847,411 $ City's Covered Payroll 2,680,518 $ 2,589,732 $ 2,336,427 $ City's Proportionate Share of the Net Pension Liability as a Percentage of the Covered Payroll 214.43% 369.75% 378.67% Plan's Proportionate Share of the Fiduciary Net Position as a Percentage of the Total Pension Liability 100.84% 71.79% 72.27% 1 Historical information is presented only for measurement periods for which GASB 68 is implemented.

California Public Employees' Retirement System ("CalPERS") Miscellaneous Plan California Public Employees' Retirement System ("CalPERS") Safety Plan Last Ten Fiscal Years
City of Desert Hot Springs
Required Supplementary Information (Unaudited)
Schedule of the City's Proportionate Share of the Net Pension Liabilities and Related Ratios For the Year Ended June 30, 2022
88 Item Number: 10.

June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 20141 City's Proportion of the Net Pension Liability 0.033931% 0.034925% 0.034970% 0.037816% 0.035817% City's Proportionate Share of the Net Pension Liability 3,269,715 $ 3,401,088 $ 3,025,986 $ 2,595,635 $ 2,228,699 $ City's Covered Payroll 2,388,548 $ 2,120,646 $ 1,539,232 $ 1,377,634 $ 1,617,185 $ City's Proportionate Share of the Net Pension Liability as a Percentage of the Covered Payroll 136.89% 160.38% 196.59% 188.41% 137.81% Plan's Proportionate Share of the Fiduciary Net Position as a Percentage of the Total Pension Liability 73.33% 69.89% 70.33% 73.82% 76.24% June 30, 2018 June 30, 2017 June 30, 2016 June 30, 2015 June 30, 20141 City's Proportion of the Net Pension Liability 0.086051% 0.083719% 0.084890% 0.090361% 0.090082% City's Proportionate Share of the Net Pension Liability 8,292,081 $ 8,302,607 $ 7,345,645 $ 6,202,312 $ 5,642,660 $ City's Covered Payroll 2,107,816 $ 1,834,204 $ 1,749,649 $ 1,523,928 $ 1,772,829 $ City's Proportionate Share of the Net Pension Liability as a Percentage of the Covered Payroll 393.40% 452.65% 419.84% 407.00% 318.29% Plan's Proportionate Share of the Fiduciary Net Position as a Percentage of the Total Pension Liability 72.00% 69.58% 69.57% 73.79% 73.76% Last Ten Fiscal Years
California Public Employees' Retirement System ("CalPERS") Miscellaneous Plan California Public Employees' Retirement System ("CalPERS") Safety Plan 1 Historical information is presented only for measurement periods for which GASB 68 is implemented.

City of Desert Hot Springs
Required Supplementary Information (Unaudited)
Schedule of the City's Proportionate Share of the Net Pension Liabilities and Related Ratios (Continued) For the Year Ended June 30, 2022
89 Item Number: 10.

Fiscal year 2021-221 2020-211 2019-201 2018-19
Actuarially Determined Contribution 793,811 $ 692,622 $ 611,957 $ 496,387 $ (692,622) (793,811) (611,957) (496,387)
Contribution Deficiency (Excess) - $ - $ - $ - $
Covered Payroll2
$ 4,127,066 4,240,560 $ 3,761,101 $ 2,959,267 $

18.72% 16.78% 16.27% 16.77%
Fiscal year 2021-221 2020-211 2019-201 2018-19
Actuarially Determined Contribution 1,348,612 $ 1,269,835 $ 1,093,535 $ 911,294 $ (1,269,835) (1,348,612) (1,093,535) (911,294)
Contribution Deficiency (Excess) - $ - $ - $ - $
Covered Payroll2 $ 2,680,518 2,754,232 $ 2,589,732 $ 2,336,427 $

48.97% 47.37% 42.23% 39.00%
City of Desert Hot Springs
Required Supplementary Information (Unaudited)
Schedule of the City's Contributions - Pensions
For the Year Ended June 30, 2022
Last Ten Fiscal Years
California Public Employees' Retirement System ("CalPERS") Miscellaneous Plan Contribution in Relation to the Actuarially
Determined Contribution
Contributions as a Percentage of Covered Payroll
California Public Employees' Retirement System ("CalPERS") Safety Plan Changes of Assumptions: In 2021, 2020, and 2019, no change in assumptions. In 2018, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate. In 2017, the accounting discount rate reduced from 7.65 percent to 7.15 percent. In 2016, there were no changes. In 2015, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense.) In 2014, amounts reported were based on the 7.5 percent discount rate.

Contribution in Relation to the Actuarially
Determined Contribution
Contributions as a Percentage of Covered Payroll
1 Historical information is presented only for measurement periods for which GASB 68 is implemented since 2013-14. 2 Includes one year’s payroll growth using 2.75 percent payroll assumption for fiscal year 2020-21.

Notes to Schedule
90 Item Number: 10.

Fiscal year 2017-18 2016-17 2015-16 2014-15 2013-14
Actuarially Determined Contribution 423,598 $ 355,494 $ 313,565 $ 217,165 $ 310,127 $ (355,494) (423,598) (313,565) (217,165) (310,127)
Contribution Deficiency (Excess) - $ - $ - $ - $ - $
Covered Payroll $ 2,120,646 2,388,548 $ 1,539,232 $ 1,377,634 $ 1,617,185 $

17.73% 16.76% 20.37% 15.76% 19.18%
Fiscal year 2017-18 2016-17 2015-16 2014-15 2013-14
Actuarially Determined Contribution 769,408 $ 688,645 $ 639,246 $ 380,758 $ 765,202 $ (688,645) (769,408) (639,246) (380,758) (765,202)
Contribution Deficiency (Excess) - $ - $ - $ - $ - $
Covered Payroll $ 1,834,204 2,107,816 $ 1,749,649 $ 1,523,928 $ 1,772,829 $

36.50% 37.54% 36.54% 24.99% 43.16%
California Public Employees' Retirement System ("CalPERS") Miscellaneous Plan California Public Employees' Retirement System ("CalPERS") Safety Plan Changes of Assumptions: In 2021, 2020, and 2019, no change in assumptions. In 2018, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in the discount rate. In 2017, the accounting discount rate reduced from 7.65 percent to 7.15 percent. In 2016, there were no changes. In 2015, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense.) In 2014, amounts reported were based on the 7.5 percent discount rate. 1 Historical information is presented only for measurement periods for which GASB 68 is implemented since 2013-14.

Notes to Schedule
Contributions as a Percentage of Covered Payroll
Contributions as a Percentage of Covered Payroll
Contribution in Relation to the Actuarially
Determined Contribution
Contribution in Relation to the Actuarially
Determined Contribution
2 Includes one year’s payroll growth using 2.75 percent payroll assumption for fiscal year 2020-21.

Last Ten Fiscal Years
City of Desert Hot Springs
Required Supplementary Information (Unaudited)
Schedule of the City's Contributions - Pensions (Continued) For the Year Ended June 30, 2022
91 Item Number: 10.

This page intentionally left blank.
92 Item Number: 10.

SUPPLEMENTARY INFORMATION
93 Item Number: 10.

This page intentionally left blank.
94 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Taxes 1,200,000 $ 1,400,000 $ 1,378,897 $ (21,103) $
Investment earning (loss) (18,000) (18,000) (8,051) (26,051) Total revenues 1,382,000 1,182,000 1,352,846 (29,154)
EXPENDITURES:

Current:

General government 13,000 13,000 13,500 (500)
Debt service:

Principal retirement 630,000 630,000 1,210,000 (580,000) Interest and fiscal charges 1,657,362 1,756,517 453,584 1,302,933 Total expenditures 2,399,517 2,300,362 2,526,433 (126,916) REVENUES OVER (UNDER) EXPENDITURES (1,017,517) (1,118,362) (1,173,587) (156,070) OTHER FINANCING SOURCES (USES):

Issuance of long-term debt 15,970,000 - 15,970,000 -
Issuance premium 239,042 - 239,042 -
Transfers in 1,027,300 1,427,300 737,695 (289,605)
Transfers out (1,212,822) - (520,199) 692,623
Total other financing sources (uses) 16,023,520 1,427,300 16,426,538 403,018 NET CHANGES IN FUND BALANCE $ 15,006,003 308,938 $ 15,252,951 246,948 $ FUND BALANCE:

Beginning of year 4,387,724
End of year $ 19,640,675
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual City Debt Service Fund
For the Year Ended June 30, 2022
Budgeted Amounts
95 Item Number: 10.

SPECIAL REVENUE FUNDS:

County Service Area 152 (CSA-152) Special Revenue Fund - To account for funding received through the collection of property tax collected on parcels within the assessment district. Expenditures relate to the EPA requirements for storm water monitoring and the protection of the underground water for all cities in the County of Riverside.

Cabot's Museum Special Revenue Fund - To account for various fees and operational costs associated with a museum that was gifted to the City.

Drainage Assessment District Special Revenue Fund - To account for taxes assessed on property owners within the drainage assessment districts for the maintenance of the drainage systems.

NONMAJOR

GOVERNMENTAL FUNDS
Municipal Lighting / Landscaping Assessment District Special Revenue Fund - To account for street lighting activity and landscaping maintenance. Financing is provided by special assessments taxes against all parcels of real property within the City and landscape assessment district. Expenditures provide for street and palm tree lights citywide, maintenance of park buildings and equipment, and maintenance of all city parkland as designated.

SB1 Road Maintenance and Rehabilitation Special Revenue Fund - To account for revenue received from the State under the Road Repair and Accountability Act of 2017. The funding is used for street maintenance and rehabilitation needs.

Measure A Special Revenue Fund - To account for one-half cent sales tax collected in Riverside County and distributed to local agencies. Funds are restricted and can only be used for street maintenance and the construction of new streets.

Air Quality Control Special Revenue Fund - To account for resources designated by South Coast Air Quality Management District through the collection of motor vehicle registration fees in accordance with the California Assembly Bill 2766 (AB2766). These funds can be used for equipment, street sweeping and purchase of vehicles as related to the reduction of air pollution.

Art in Public Places Special Revenue Fund - To account for development fees paid in lieu of acquisition and installation of approved artworks in a development with expenditures restricted to acquisition, installation, maintenance and repair or artworks at approved sites.

Quimby Act Special Revenue Fund - To account for the accumulation of developer fees received under the provision of the Quimby Act for park development and improvements.

Special Gas Tax Special Revenue Fund - To account for street maintenance activity. The source of funds is the State gasoline tax and related sales tax under the Streets and Highways Code of the State of California. Expenditures are restricted to construction, improvement and maintenance of public streets. 96 Item Number: 10.

SPECIAL REVENUE FUNDS (Continued):

CAPITAL PROJECTS FUNDS:

Capital Improvement Capital Projects Fund - To account for and report expenditures related to various capital projects identified in the City's 5-year CIP plan.

NONMAJOR

GOVERNMENTAL FUNDS (CONTINUED)
Supplemental Law Enforcement Service (SLESF) Special Revenue Fund - To account for funds received in connection with the Citizens Option for Public Safety Program (COPS), which supplements expenditures for "front line municipal police services."
Assessment District 93-2 Capital Projects Fund - To account for improvements to the Assessment District 93-2, which are financed from bond proceeds. Debt service payments are paid from special assessed revenues.

Abandoned Vehicle Abatement Special Revenue Fund - To account for a portion of DMV registration fees that the City receives from the Riverside County Abandoned Vehicle Abatement Service Authority as reimbursement to the City for costs incurred for the administration, removal, and abatement of nuisance vehicles within city limits.

Assessment District 91-1 Capital Projects Fund - To account for improvements to the Assessment District 91-1, which are financed from bond proceeds. Debt service payments are paid from special assessed revenues.

Assessment District 92-1 Capital Projects Fund - To account for improvements to the Assessment District 92-1, which are financed from bond proceeds. Debt service payments are paid from special assessed revenues.

Community Development Block Grant (CDBG) Special Revenue Fund - To account for resources that are restricted for a wide variety of unique community development needs.

Capital Improvement Deposits Special Revenue Fund - To account for accumulated resources to be used to purchase the protection equipment and facilities, traffic signals, and parks. Financing is provided through a development fee on all new commercial and residential construction.

Department of Cannabis Control Special Revenue Fund - To account for State grant funds to help cannabis facilities fulfill the obligations to transition from State provisional cannabis permits to permanent cannabis permits.

Housing Authority Special Revenue Fund - To account for and report funds set aside for development and improvements of the City’s housing activity and operations. 97 Item Number: 10.

Municipal
Lighting /
SB1 Road Landscaping
Special Maintenance Assessment
Gas Tax and Rehabilitation District Measure A
ASSETS
Cash and investments 19,749 $ 873,910 $ 876,106 $ 491,153 $ Accounts receivable - - -
Interest receivable - 315 268 173
Notes receivable - - - -
Due from other governments 61,296 58,855 90,660 172,294 Property held for resale - - - -
Total assets $ 933,080 81,045 $ 967,034 $ 663,620 $

LIABILITIES,

DEFERRED INFLOWS OF RESOURCES,

AND FUND BALANCES
Liabilities:

Accounts payable 20,682 $ 23,938 $ 156,077 $ 23,777 $
Due to other funds 219,598 - 152,444 -
Deposits - - - -
Unearned revenue - - - -
Total liabilities 23,938 240,280 308,521 23,777
Unavailable revenue - - 62,942 55,785
Fund Balances:

Restricted - 909,142 595,571 584,058
Committed - - - -
Assigned - - - -
Unassigned (deficit) (159,235) - - -
Total fund balances 909,142 (159,235) 595,571 584,058
Total liabilities, deferred inflows
of resources, and fund balances $ 933,080 81,045 $ 967,034 $ 663,620 $ (Continued)
Deferred Inflows of Resources:

Special Revenue
June 30, 2022
City of Desert Hot Springs
Nonmajor Governmental Funds
Combining Balance Sheet
98 Item Number: 10.

Art in Drainage
Air Quality Public Quimby Assessment
Control Places Act District
ASSETS
Cash and investments 18,243 $ 375,852 $ 1,234,347 $ 572,308 $ Accounts receivable - - -
Interest receivable - 139 408 232
Notes receivable - - - -
Due from other governments 9,895 - - 36,930
Property held for resale - - - -
Total assets $ 375,991 28,138 $ 1,234,755 $ 609,470 $

LIABILITIES,

DEFERRED INFLOWS OF RESOURCES,

AND FUND BALANCES
Liabilities:

Accounts payable 18,243 $ - $ 135,780 $ 14,440 $
Due to other funds 12,757 - - -
Deposits - - - -
Unearned revenue - - - -
Total liabilities - 31,000 135,780 14,440
Unavailable revenue - - - -
Fund Balances:

Restricted - - 1,098,975 595,030
Committed - 375,991 - -
Assigned - - - -
Unassigned (deficit) (2,862) - - -
Total fund balances 375,991 (2,862) 1,098,975 595,030
Total liabilities, deferred inflows
of resources, and fund balances $ 375,991 28,138 $ 1,234,755 $ 609,470 $ (Continued)
Deferred Inflows of Resources:

Special Revenue
June 30, 2022
City of Desert Hot Springs
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
99 Item Number: 10.

Supplemental
Law
County Enforcement Abandoned
Service Cabot's Service Vehicle
Area 152 Museum Fund Abatement
ASSETS
Cash and investments 4,333 $ 64,462 $ - $ 109,625 $
Accounts receivable 127,426 - - -
Interest receivable - - 19 40
Notes receivable - - - -
Due from other governments - - - 41,910
Property held for resale - - - -
Total assets $ 64,462 131,759 $ 19 $ 151,575 $

LIABILITIES,

DEFERRED INFLOWS OF RESOURCES,

AND FUND BALANCES
Liabilities:

Accounts payable 4,333 $ 5,273 $ - $ 1,260 $
Due to other funds 101,879 - - -
Deposits - - - -
Unearned revenue - - - -
Total liabilities 5,273 106,212 - 1,260
Unavailable revenue 127,426 - - 35,582
Fund Balances:

Restricted - - 19 114,733
Committed - 59,189 - -
Assigned - - - -
Unassigned (deficit) (101,879) - - -
Total fund balances 59,189 (101,879) 19 114,733
Total liabilities, deferred inflows
of resources, and fund balances $ 64,462 131,759 $ 19 $ 151,575 $ (Continued)
Deferred Inflows of Resources:

Special Revenue
June 30, 2022
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
City of Desert Hot Springs
100 Item Number: 10.

Community Capital Department of
Development Improvement Cannabis Housing
Block Grant Deposits Control Authority
ASSETS
Cash and investments 6,495 $ 2,163,205 $ 657,613 $ 1,484,101 $ Accounts receivable - - - -
Interest receivable - 865 244 552
Notes receivable - - - 3,374,172
Due from other governments - - - -
Property held for resale - - - 85,090
Total assets $ 2,164,070 6,495 $ 657,857 $ 4,943,915 $

LIABILITIES,

DEFERRED INFLOWS OF RESOURCES,

AND FUND BALANCES
Liabilities:

Accounts payable - $ 52,041 $ - $ - $
Due to other funds - - - -
Deposits - - - -
Unearned revenue - - 657,613 -
Total liabilities 52,041 - 657,613 -
Unavailable revenue - - - -
Fund Balances:

Restricted 6,495 2,112,029 - 4,943,915
Committed - - - -
Assigned - - 244 -
Unassigned (deficit) - - - -
Total fund balances 2,112,029 6,495 244 4,943,915
Total liabilities, deferred inflows
of resources, and fund balances $ 2,164,070 6,495 $ 657,857 $ 4,943,915 $ (Continued)
Deferred Inflows of Resources:

Nonmajor Governmental Funds
Special Revenue
June 30, 2022
City of Desert Hot Springs
Combining Balance Sheet (Continued)
101 Item Number: 10.

Capital Assessment Assessment Assessment
Improvement District District District
Fund 91-1 92-1 93-2
ASSETS
Cash and investments 1,019,305 $ 123,168 $ 14,767 $ 10,453 $ Accounts receivable 818,482 - - -
Interest receivable - 46 5 4
Notes receivable - - - -
Due from other governments - - - -
Property held for resale - - - -
Total assets $ 123,214 1,837,787 $ 14,772 $ 10,457 $

LIABILITIES,

DEFERRED INFLOWS OF RESOURCES,

AND FUND BALANCES
Liabilities:

Accounts payable 81,118 $ - $ - $ - $
Due to other funds 328,526 - - -
Deposits 217,988 - - -
Unearned revenue 200,000 - - -
Total liabilities - 827,632 - -
Unavailable revenue 818,482 - - -
Fund Balances:

Restricted 191,673 123,214 14,772 10,457
Committed - - - -
Assigned - - - -
Unassigned (deficit) - - - -
Total fund balances 123,214 191,673 14,772 10,457
Total liabilities, deferred inflows
of resources, and fund balances $ 123,214 1,837,787 $ 14,772 $ 10,457 $ (Continued)
Deferred Inflows of Resources:

June 30, 2022
Capital Projects
City of Desert Hot Springs
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
102 Item Number: 10.

Total
Nonmajor
Governmental
Funds
ASSETS
Cash and investments $ 10,119,195
Accounts receivable 945,908
Interest receivable 3,310
Notes receivable 3,374,172
Due from other governments 471,840
Property held for resale 85,090
Total assets $ 14,999,515

LIABILITIES,

DEFERRED INFLOWS OF RESOURCES,

AND FUND BALANCES
Liabilities:

Accounts payable $ 536,962
Due to other funds 815,204
Deposits 217,988
Unearned revenue 857,613
Total liabilities 2,427,767
Unavailable revenue 1,100,217
Fund Balances:

Restricted 11,300,083
Committed 435,180
Assigned 244
Unassigned (deficit) (263,976)
Total fund balances 11,471,531
Total liabilities, deferred inflows
of resources, and fund balances $ 14,999,515
(Concluded)
City of Desert Hot Springs
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
June 30, 2022
Deferred Inflows of Resources:
103 Item Number: 10.

Municipal
Lighting /
SB1 Road Landscaping
Special Maintenance Assessment
Gas Tax and Rehabilitation District Measure A
REVENUES:

Taxes $ - - $ 877,666 $ - $
Permits and fees - - - -
Intergovernmental 611,066 - 644,201 624,150
Investment earning (loss) 744 643 - 358
Miscellaneous - - - -
Total revenues 611,810 644,201 878,309 624,508
EXPENDITURES:

Current:

Public safety - - - -
Public works - 578,834 2,000,621 -
Economic development - - - -
Culture and leisure - - - -
Capital outlay - 366,285 - 189,193
Total expenditures 366,285 578,834 2,000,621 189,193

REVENUES OVER (UNDER)
EXPENDITURES 245,525 65,367 (1,122,312) 435,315
OTHER FINANCING SOURCES (USES):

Transfers in 5,425 - 1,184,623 -
Transfers out (161,669) - - (161,669)
Total other financing sources (uses) - (156,244) 1,184,623 (161,669) NET CHANGES IN FUND BALANCES 245,525 (90,877) 62,311 273,646 FUND BALANCES (DEFICIT):

Beginning of year 663,617 (68,358) 533,260 310,412
End of year $ 909,142 (159,235) $ 595,571 $ 584,058 $
(Continued)
Special Revenue
City of Desert Hot Springs
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds
For the Year Ended June 30, 2022
104 Item Number: 10.

Art in Drainage
Air Quality Public Quimby Assessment
Control Places Act District
REVENUES:

Taxes $ - 38,430 $ - $ 230,633 $
Permits and fees 221,905 - 905,754 -
Intergovernmental - - - -
Investment earning (loss) 289 12 1,015 559
Miscellaneous - - - -
Total revenues 222,194 38,442 906,769 231,192
EXPENDITURES:

Current:

Public safety - - - -
Public works - 68,195 - 235,430
Economic development - - - -
Culture and leisure - - - -
Capital outlay - 1,300 612,515 -
Total expenditures 1,300 68,195 612,515 235,430

REVENUES OVER (UNDER)
EXPENDITURES 220,894 (29,753) 294,254 (4,238)
OTHER FINANCING SOURCES (USES):

Transfers in - - - -
Transfers out - - - -
Total other financing sources (uses) - - - -
NET CHANGES IN FUND BALANCES 220,894 (29,753) 294,254 (4,238) FUND BALANCES (DEFICIT):

Beginning of year 155,097 26,891 804,721 599,268
End of year $ 375,991 (2,862) $ 1,098,975 $ 595,030 $
(Continued)
Special Revenue
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Nonmajor Governmental Funds
For the Year Ended June 30, 2022
City of Desert Hot Springs
105 Item Number: 10.

Supplemental
Law
County Enforcement Abandoned
Service Cabot's Service Vehicle
Area 152 Museum Fund Abatement
REVENUES:

Taxes $ - - $ - $ - $
Permits and fees - - - -
Intergovernmental - - 161,284 114,801
Investment earning (loss) - 1 19 77
Miscellaneous - - - -
Total revenues - 1 161,303 114,878
EXPENDITURES:

Current:

Public safety - - - 23,329
Public works - 127,426 - -
Economic development - - - -
Culture and leisure 114,446 - - -
Capital outlay - - - -
Total expenditures 114,446 127,426 - 23,329

REVENUES OVER (UNDER)
EXPENDITURES (114,446) (127,425) 161,303 91,549
OTHER FINANCING SOURCES (USES):

Transfers in - 137,000 - -
Transfers out - - (161,287) -
Total other financing sources (uses) 137,000 - (161,287) - NET CHANGES IN FUND BALANCES 22,554 (127,425) 16 91,549 FUND BALANCES (DEFICIT):

Beginning of year 36,635 25,546 3 23,184
End of year $ 59,189 (101,879) $ 19 $ 114,733 $
(Continued)
City of Desert Hot Springs
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Nonmajor Governmental Funds
For the Year Ended June 30, 2022
Special Revenue
106 Item Number: 10.

Community Capital Department of
Development Improvement Cannabis Housing
Block Grant Deposits Control Authority
REVENUES:

Taxes $ - - $ - $ - $
Permits and fees 1,740,665 - - -
Intergovernmental - 34,382 - 736,628
Investment earning (loss) 2,118 - 244 1,218
Miscellaneous - - - 24,000
Total revenues 1,742,783 34,382 244 761,846
EXPENDITURES:

Current:

Public safety - 69,128 - -
Public works - - - -
Economic development - - - 317,026
Culture and leisure - - - -
Capital outlay - 1,209,523 - -
Total expenditures 1,278,651 - - 317,026

REVENUES OVER (UNDER)
EXPENDITURES 464,132 34,382 244 444,820
OTHER FINANCING SOURCES (USES):

Transfers in - - - -
Transfers out - (100,000) - -
Total other financing sources (uses) (100,000) - - -
NET CHANGES IN FUND BALANCES 364,132 34,382 244 444,820 FUND BALANCES (DEFICIT):

Beginning of year 1,747,897 (27,887) - 4,499,095
End of year $ 2,112,029 6,495 $ 244 $ 4,943,915 $
(Continued)
City of Desert Hot Springs
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Nonmajor Governmental Funds
For the Year Ended June 30, 2022
Special Revenue
107 Item Number: 10.

Capital Assessment Assessment Assessment
Improvement District District District
Fund 91-1 92-1 93-2
REVENUES:

Taxes $ - - $ - $ - $
Permits and fees - - - -
Intergovernmental - 265,858 - -
Investment earning (loss) 112 - 5 4
Miscellaneous - - - -
Total revenues 112 265,858 5 4
EXPENDITURES:

Current:

Public safety - - - -
Public works - - - -
Economic development - - - -
Culture and leisure - - - -
Capital outlay 710,423 - - -
Total expenditures - 710,423 - -

REVENUES OVER (UNDER)
EXPENDITURES 112 (444,565) 5 4
OTHER FINANCING SOURCES (USES):

Transfers in 520,199 - - -
Transfers out - - - -
Total other financing sources (uses) - 520,199 - -
NET CHANGES IN FUND BALANCES 112 75,634 5 4
FUND BALANCES (DEFICIT):

Beginning of year 123,102 116,039 14,767 10,453
End of year $ 123,214 191,673 $ 14,772 $ 10,457 $
(Continued)
City of Desert Hot Springs
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Nonmajor Governmental Funds
For the Year Ended June 30, 2022
Capital Projects
108 Item Number: 10.

Total
Nonmajor
Governmental
Funds
REVENUES:

Taxes $ 1,146,729
Permits and fees 2,868,324
Intergovernmental 3,192,370
Investment earning (loss) 7,418
Miscellaneous 24,000
Total revenues 7,238,841
EXPENDITURES:

Current:

Public safety 92,457
Public works 3,010,506
Economic development 317,026
Culture and leisure 114,446
Capital outlay 3,089,239
Total expenditures 6,623,674

REVENUES OVER (UNDER)
EXPENDITURES 615,167
OTHER FINANCING SOURCES (USES):

Transfers in 1,847,247
Transfers out (584,625)
Total other financing sources (uses) 1,262,622
NET CHANGES IN FUND BALANCES 1,877,789
FUND BALANCES (DEFICIT):

Beginning of year 9,593,742
End of year $ 11,471,531
(Concluded)
City of Desert Hot Springs
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Nonmajor Governmental Funds
For the Year Ended June 30, 2022
109 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 753,571 $ 753,571 $ 644,201 $ (109,370) $ Total revenues 753,571 753,571 644,201 (109,370)
EXPENDITURES:

Current:

Public works 573,060 546,532 578,834 (5,774)
Total expenditures 573,060 546,532 578,834 (5,774)
REVENUES OVER (UNDER) EXPENDITURES 180,511 207,039 65,367 (115,144) OTHER FINANCING SOURCES (USES):

Transfers in 5,425 - 5,425 -
Transfers out (161,669) (161,669) (161,669) -
Total other financing (uses) (156,244) (161,669) (156,244) - NET CHANGE IN FUND BALANCE $ 24,267 45,370 $ (90,877) (115,144) $ FUND BALANCE (DEFICIT):

Beginning of year (68,358)
End of year $ (159,235)
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Special Gas Tax Special Revenue Fund
For the Year Ended June 30, 2022
110 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 571,702 $ 571,702 $ 611,066 $ 39,364 $ Interest 1,000 1,000 744 (256)
Total revenues 572,702 572,702 611,810 39,108
EXPENDITURES:

Current:

Public works 396,149 310,861 366,285 29,864
Total expenditures 396,149 310,861 366,285 29,864
NET CHANGE IN FUND BALANCE $ 176,553 261,841 $ 245,525 68,972 $ FUND BALANCE:

Beginning of year 663,617
End of year $ 909,142
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) SB1 Road Maintenance and Rehabilitation Special Revenue Fund For the Year Ended June 30, 2022
Budget Amounts
111 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Taxes 894,110 $ 894,110 $ 877,666 $ (16,444) $
Interest 2,800 2,800 643 (2,157)
Total revenues 896,910 896,910 878,309 (18,601)
EXPENDITURES:

Current:

Public works 2,105,036 1,942,751 2,000,621 104,415
Capital outlay 34,172 - - 34,172
Total expenditures 2,139,208 1,942,751 2,000,621 138,587 REVENUES OVER (UNDER) EXPENDITURES (1,242,298) (1,045,841) (1,122,312) 119,986 OTHER FINANCING SOURCES:

Transfers in 995,394 798,937 1,184,623 189,229
Total other financing sources 995,394 798,937 1,184,623 189,229 NET CHANGE IN FUND BALANCE $ (246,904) (246,904) $ 62,311 309,215 $ FUND BALANCE:

Beginning of year 533,260
End of year $ 595,571
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Municipal Lighting / Landscaping Assessment District Special Revenue Fund For the Year Ended June 30, 2022
112 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 510,000 $ 510,000 $ 624,150 $ 114,150 $ Interest 400 400 358 (42)
Total revenues 510,400 510,400 624,508 114,108
EXPENDITURES:

Capital outlay 210,889 210,889 189,193 21,696
Total expenditures 210,889 210,889 189,193 21,696
REVENUES OVER (UNDER) EXPENDITURES 299,511 299,511 435,315 135,804 OTHER FINANCING (USES):

Transfers out (161,669) (161,669) (161,669) -
Total other financing (uses) (161,669) (161,669) (161,669) - NET CHANGE IN FUND BALANCE $ 137,842 137,842 $ 273,646 135,804 $ FUND BALANCE:

Beginning of year 310,412
End of year $ 584,058
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Measure A Special Revenue Fund
For the Year Ended June 30, 2022
113 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Taxes 38,900 $ 38,900 $ 38,430 $ (470) $
Interest 100 100 12 (88)
Total revenues 39,000 39,000 38,442 (558)
EXPENDITURES:

Current:

Public works 64,000 64,000 68,195 (4,195)
Total expenditures 64,000 64,000 68,195 (4,195)
NET CHANGE IN FUND BALANCE $ (25,000) (25,000) $ (29,753) (4,753) $ FUND BALANCE (DEFICIT):

Beginning of year 26,891
End of year $ (2,862)
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Air Quality Control Special Revenue Fund
For the Year Ended June 30, 2022
114 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Permits and fees 50,000 $ 50,000 $ 221,905 $ 171,905 $
Interest 100 100 289 189
Total revenues 50,100 50,100 222,194 172,094
EXPENDITURES:

Capital outlay 50,000 50,000 1,300 48,700
Total expenditures 50,000 50,000 1,300 48,700
NET CHANGE IN FUND BALANCE $ 100 100 $ 220,894 220,794 $ FUND BALANCE:

Beginning of year 155,097
End of year $ 375,991
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Art in Public Places Special Revenue Fund
For the Year Ended June 30, 2022
115 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Permits and fees 100,000 $ 780,000 $ 905,754 $ 125,754 $ Interest 500 500 1,015 515
Total revenues 780,500 100,500 906,769 126,269
EXPENDITURES:

Capital outlay 676,098 32,652 612,515 63,583
Total expenditures 676,098 32,652 612,515 63,583
NET CHANGE IN FUND BALANCE $ 104,402 67,848 $ 294,254 189,852 $ FUND BALANCE:

Beginning of year 804,721
End of year $ 1,098,975
Budgeted Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Quimby Act Special Revenue Fund
For the Year Ended June 30, 2022
116 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Taxes 212,184 $ 212,184 $ 230,633 $ 18,449 $
Interest 1,900 1,900 559 (1,341)
Total revenues 214,084 214,084 231,192 17,108
EXPENDITURES:

Current:

Public works 568,417 568,417 235,430 332,987
Total expenditures 568,417 568,417 235,430 332,987
NET CHANGE IN FUND BALANCE $ (354,333) (354,333) $ (4,238) 350,095 $ FUND BALANCE:

Beginning of year 599,268
End of year $ 595,030
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Drainage Assessment District Special Revenue Fund
For the Year Ended June 30, 2022
117 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 144,690 $ 144,690 $ - $ (144,690) $
Interest 100 100 1 (99)
Total revenues 144,790 144,790 1 (144,789)
EXPENDITURES:

Current:

Public works 144,790 159,790 127,426 32,364
Total expenditures 159,790 144,790 127,426 32,364
NET CHANGE IN FUND BALANCE $ (15,000) - $ (127,425) (112,425) $ FUND BALANCE (DEFICIT):

Beginning of year 25,546
End of year $ (101,879)
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) County Service Area 152 (CSA-152) Special Revenue Fund
For the Year Ended June 30, 2022
118 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
EXPENDITURES:

Current:

Culture and leisure $ 136,500 136,500 $ 114,446 $ 22,054 $ Total expenditures 136,500 136,500 114,446 22,054
OTHER FINANCING SOURCES:

Transfers in 137,000 137,000 137,000 -
Total other financing sources 137,000 137,000 137,000 - NET CHANGE IN FUND BALANCE $ 500 500 $ 22,554 22,054 $
FUND BALANCE: ,
Beginning of year 36,635
End of year $ 59,189
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Cabot's Museum Special Revenue Fund
For the Year Ended June 30, 2022
Budget Amounts
119 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 150,000 $ 150,000 $ 161,284 $ 11,284 $ Interest 200 200 19 (181)
Total revenues 150,200 150,200 161,303 11,103
OTHER FINANCING (USES):

Transfers out (150,200) (150,200) (161,287) (11,087)
Total other financing (uses) (150,200) (150,200) (161,287) (11,087) NET CHANGE IN FUND BALANCE $ - - $ 16 16 $
FUND BALANCE:

Beginning of year 3
End of year $ 19
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Supplemental Law Enforcement Service (SLESF) Special Revenue Fund For the Year Ended June 30, 2022
Budget Amounts
120 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 40,000 $ 40,000 $ 114,801 $ 74,801 $
Interest 100 100 77 (23)
Total revenues 40,100 40,100 114,878 74,778
EXPENDITURES:

Current:

Public safety 77,500 77,500 23,329 54,171
Total expenditures 77,500 77,500 23,329 54,171
NET CHANGE IN FUND BALANCE $ (37,400) (37,400) $ 91,549 128,949 $ FUND BALANCE:

Beginning of year 23,184
End of year $ 114,733
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Abandoned Vehicle Abatement Special Revenue Fund
For the Year Ended June 30, 2022
Budget Amounts
121 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 290,000 $ 290,000 $ 34,382 $ (255,618) $ Total revenues 290,000 290,000 34,382 (255,618)
EXPENDITURES:

Capital outlay 290,000 290,000 - 290,000
Total expenditures 290,000 290,000 - 290,000
NET CHANGE IN FUND BALANCE $ - - $ 34,382 34,382 $
FUND BALANCE (DEFICIT):

Beginning of year (27,887)
End of year $ 6,495
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Community Development Block Grant Special Revenue Fund
For the Year Ended June 30, 2022
Budget Amounts
122 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Permits and fees 545,000 $ 743,975 $ 1,740,665 $ 996,690 $ Interest 2,950 2,950 2,118 (832)
Total revenues 746,925 547,950 1,742,783 995,858
EXPENDITURES:

Current:

Public safety 10,000 - 69,128 (59,128)
Capital outlay 891,912 1,225,796 16,273 1,209,523
Total expenditures 1,235,796 891,912 1,278,651 (42,855) REVENUES OVER (UNDER) EXPENDITURES (488,871) (343,962) 464,132 953,003 OTHER FINANCING (USES):

Transfers out (100,000) (100,000) (100,000) -
Total other financing (uses) (100,000) (100,000) (100,000) - NET CHANGE IN FUND BALANCE $ (588,871) (443,962) $ 364,132 953,003 $ FUND BALANCE:

Beginning of year 1,747,897
End of year $ 2,112,029
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Capital Improvement Deposits Special Revenue Fund
For the Year Ended June 30, 2022
123 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 736,628 $ 736,628 $ 736,628 $ - $
Interest 1,000 1,000 1,218 218
Miscellaneous - - 24,000 24,000
Total revenues 737,628 737,628 761,846 24,218
EXPENDITURES:

Current:

Economic development 533,207 533,207 317,026 216,181
Total expenditures 533,207 533,207 317,026 216,181
REVENUES OVER (UNDER) EXPENDITURES 204,421 204,421 444,820 240,399 NET CHANGE IN FUND BALANCE $ 204,421 204,421 $ 444,820 240,399 $ FUND BALANCE:

Beginning of year 4,499,095
End of year $ 4,943,915
Budget Amounts
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) For the Year Ended June 30, 2022
Housing Authority Special Revenue Fund
124 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Intergovernmental 1,403,273 $ 1,403,273 $ 265,858 $ (1,137,415) $ Total revenues 1,403,273 1,403,273 265,858 (1,137,415)
EXPENDITURES:

Capital outlay 2,516,725 1,303,903 710,423 1,806,302
Total expenditures 2,516,725 1,303,903 710,423 1,806,302 NET CHANGE IN FUND BALANCE $ (1,113,452) 99,370 $ (444,565) 668,887 $ FUND BALANCE (DEFICIT):

Beginning of year 116,039
End of year $ (328,526)
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Capital Improvement Capital Projects Fund
For the Year Ended June 30, 2022
Budget Amounts
125 Item Number: 10.

Actual Variance with
Original Final Amounts Final Budget
REVENUES:

Interest 200 $ 200 $ 112 $ (88) $
Total revenues 200 200 112 (88)
NET CHANGE IN FUND BALANCE $ 200 200 $ 112 (88) $
FUND BALANCE:

Beginning of year 123,102
End of year $ 123,214
City of Desert Hot Springs
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Continued) Assessment District 91-1 Capital Projects Fund
For the Year Ended June 30, 2022
Budget Amounts
126 Item Number: 10.

INTERNAL SERVICE FUNDS
The Internal Service Fund accounts for financing of goods and services provided by one department to other departments of the City on a cost-reimbursement basis.

Risk Management Fund - To account for payment of the City's different types of insurance for general liability, workers' compensation, property, automobile, and earthquake coverage.

Equipment Replacement Fund - To account for equipment purchases. 127 Item Number: 10.

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128 Item Number: 10.

Risk Equipment
Management Replacement Total
ASSETS
Current assets:

Cash and investments 565,746 $ 27,996 $ 593,742 $
Total current assets 565,746 27,996 593,742
Capital assets:

Depreciable, net 685,863 685,863 -
Total capital assets - 685,863 685,863
Total assets 713,859 565,746 1,279,605

LIABILITIES
Current liabilities:

Accounts payable 3,479 - 3,479
Claims payable - due within one year 331,161 - 331,161
Financing purchase payable - due within one year - 159,583 159,583 Total current liabilities 334,640 159,583 494,223
Noncurrent liabilities:

Claims payable - due in more than one year 250,219 - 250,219 Financing purchase payable - due in more than one year - 409,038 409,038 Total noncurrent liabilities 409,038 250,219 659,257
Total liabilities 568,621 584,859 1,153,480

NET POSITION
Net investment in capital assets - 117,242 117,242
Unrestricted (deficit) (19,113) 27,996 8,883
Total net position (deficit) $ 145,238 (19,113) $ 126,125 $ City of Desert Hot Springs
Combining Statement of Net Position
Internal Service Funds
June 30, 2022
129 Item Number: 10.

Risk Equipment
Management Replacement Total
OPERATING REVENUES:

Charges for services - $ $ 193,348 193,348 $
Insurance recovery 8,088 8,088 -
Total operating revenues 193,348 8,088 201,436
OPERATING EXPENSES:

Insurance and claims 27,201 27,201 -
Depreciation - 230,265 230,265
Total operating expenses 27,201 257,466 230,265
OPERATING INCOME (LOSS) (36,917) (19,113) (56,030)
NONOPERATING EXPENSES:

Gain on sale of property - 15,285 15,285
Interest expenses - (16,327) (16,327)
Total nonoperating expenses (1,042) - (1,042)
Changes in net position (37,959) (19,113) (57,072)
NET POSITION:

Beginning of year - 183,197 183,197
End of year $ 145,238 (19,113) $ 126,125 $
City of Desert Hot Springs
Combining Statement of Revenues, Expenses, and Changes in Net Position Internal Service Funds
For the Year Ended June 30, 2022
130 Item Number: 10.

Risk Equipment
Management Replacement Total
CASH FLOWS FROM OPERATING ACTIVITIES:

Receipts from claims recoveries 8,088 $ - $ 8,088 $
Receipts from use departments - 193,348 193,348
Payments for insurance claims (230,993) - (230,993)
Net cash provided by (used in) operating activities 193,348 (222,905) (29,557) CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:

Acquisition of capital assets - (36,696) (36,696)
Principal paid on purchasing finance - (140,042) (140,042) Interest paid on purchasing finance - (16,327) (16,327) Proceeds from sale of assets - 15,285 15,285
Net cash (used in) capital and related financing activities (177,780) - (177,780) Net increase (decrease) in cash and cash equivalents 15,568 (222,905) (207,337) CASH AND CASH EQUIVALENTS:

Beginning of year 788,651 12,428 801,079
End of year $ 27,996 565,746 $ 593,742 $

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

Operating (loss) (19,113) $ (36,917) $ (56,030) $
Adjustments to reconcile operating income (loss) to
net cash provided by (used in) operating activities:

Depreciation 230,265 - 230,265
(Increase) decrease in accounts receivable - - -
Increase (decrease) in accounts payable (3,593) - (3,593) Increase (decrease) in claims payable (200,199) - (200,199) Total adjustments (203,792) 230,265 26,473
Net cash provided by (used in) operating activities $ 193,348 (222,905) $ (29,557) $ NONCASH ITEM FROM CAPITAL AND RELATED FINANCING ACTIVITIES:

Issuance of purchasing financing payable - $ 708,663 $ 708,663 $ Assets purchased through purchasing finance - $ (708,663) $ (708,663) $ City of Desert Hot Springs
Combining Statement of Cash Flows
Internal Service Funds
For the Year Ended June 30, 2022
131 Item Number: 10.

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132 Item Number: 10.

Gang Task Force Fund - this fund was established to account for all revenues and expenses received from various agencies supporting the Gang Task Force. The City is only working with the task force to manage their funding for a period of time. The asset are accumulated for the benefit of he Gang Task Force and the Gang Task Force is not part of the City.

Community Facilities District Skyborne Fund - this fund was established to account for payments of principal and interest for the Community Facilities District municipal bonds related to the Skyborne area of the City.

CUSTODIAL FUNDS
Community Facilities District Fund - these funds are established to account for special tax funding that allows for the financing of the installation, operation and maintenance of public improvements. There are a total of 31 zones.

Community Services Fund - this fund was established to account for the Transportation Uniform Mitigation Fee & Multiple Species Habitat Conservation Plan pass-through deposits for permits. The City holding funds for permits per developer agreements and for cash payments in lieu of bonds for permit work and the deposits are returned to the developers upon issuance of the permits.
133 Item Number: 10.

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134 Item Number: 10.

Community
Community Facilities Community
Services District Facilities Gang Task
Fund Skyborne Fund District Fund Force Fund Total
ASSETS
Cash and investments 1,024,595 $ 499,338 $ 1,421,424 $ 92,320 $ 3,037,677 $ Cash with fiscal agent - 109,036 - - 109,036
Accounts receivable - 2,641 108,811 - 111,452
Interest receivable - 192 534 34 760
Total assets 611,207 1,024,595 1,530,769 92,354 3,258,925

LIABILITIES
Accounts payable 27,802 $ 3,563 $ 1,850 $ - $ 33,215 $
Deposits payable 1,012,242 112,892 23,873 - 1,149,007
Total liabilities 116,455 1,040,044 25,723 - 1,182,222

NET POSITION (DEFICIT)
Restricted for:

Individuals, organization and
other governments (15,449) $ 494,752 $ 1,505,046 $ 92,354 $ 2,076,703 $ City of Desert Hot Springs
Combining Statement of Fiduciary Net Position
Custodial Funds
June 30, 2022
135 Item Number: 10.

Community
Community Facilities Community
Services District Facilities Gang Task
Fund Skyborne Fund District Fund Force Fund Total
ADDITIONS:

Assessment revenue collected - $ 199,590 $ 519,251 $ - $ 718,841 $ Use of money and property (15,449) - 1,132 90 (14,227)
Total additions 199,590 (15,449) 520,383 90 704,614
DEDUCTIONS:

Interest expenses - 64,076 - - 64,076
Payment of special assessment
district expenses - 109,914 34,543 - 144,457
Payment of other organization
expense - - - 17,126 17,126
Total deductions 173,990 - 34,543 17,126 225,659
Change in net position 25,600 (15,449) 485,840 (17,036) 478,955 NET POSITION:

Beginning of year - 469,152 1,019,206 109,390 1,597,748 End of year $ 494,752 (15,449) $ 1,505,046 $ 92,354 $ 2,076,703 $ City of Desert Hot Springs
Combining Statement of Changes in Fiduciary Net Position Custodial Funds
For the Year Ended June 30, 2022
136 Item Number: 10.

200 E. Sandpointe Avenue, Suite 600
Santa Ana, California 92707

REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE

AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN

ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Independent Auditors’ Report
To the Honorable Mayor and Members of the City Council
of the City of Desert Hot Springs
Desert Hot Springs, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (“Government Auditing Standards”), the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the City of Desert Hot Springs, California (the “City”), as of and for the year ended June 30, 2022, and the related notes to the basic financial statements, which collectively comprise the City’s basic financial statements, and have issued our report thereon dated June 8, 2023.

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

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the 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 was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that have not been identified.

Item Number: 10.

To the Honorable Mayor and Members of the City Council
of the City of Desert Hot Springs
Desert Hot Springs, California

138
Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

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 entity’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 entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Santa Ana, California
June 8, 2023
Item Number: 10.

Desert Hot Springs Housing Authority
Desert Hot Springs, California
Compliance as the Housing Successor and
Independent Auditors’ Report
For the Year Ended June 30, 2022
Item Number: 10.

Desert Hot Springs Housing Authority
Table of Contents
Page
Independent Auditors’ Report:

Report on Compliance as the Housing Successor; Report on Internal Control Over Compliance; and Report on the Schedule of Excess Surplus ........................................................ 1 Schedule of Excess Surplus ........................................................................................................................................ 4 Schedule of Findings and Responses ......................................................................................................................... 5 Item Number: 10.

200 E. Sandpointe Avenue, Suite 600
Santa Ana, California 92707
REPORT ON COMPLIANCE AS THE HOUSING SUCCESSOR; REPORT ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON THE SCHEDULE OF EXCESS SURPLUS Independent Auditors’ Report
To the Board of Directors
of the Desert Hot Springs Housing Authority
Desert Hot Springs, California
Report on Compliance as the Housing Successor
Opinion on Compliance
We have audited the Desert Hot Springs Housing Authority’s (the “Housing Authority”), a component unit of the City of Desert Hot Springs, California (the “City”), compliance with the type of compliance requirements described in the California Health and Safety Code sections applicable to the former Redevelopment Agency’s Housing Successor (the “Housing Successor”) for the year ended June 30, 2022.

In our opinion, the Housing Authority complied, in all material respects, with the compliance requirements referred to above that are applicable to Housing Authority for the year ended June 30, 2022.

Basis for Opinion
We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America (“GAAS”); the standards applicable to financial audits contained in the Government Auditing Standards issued by the Comptroller General of the United States (“Government Auditing Standards”); and California Health and Safety Code sections applicable to the Housing Successor (the “Healthy and Safety Codes”). Our responsibilities under those standards and the Health and Safety Codes are further described in the Auditors’ Responsibilities for the Audit of Compliance section of our report.

We are required to be independent of the Housing Authority and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Our audit does not provide a legal of the Housing Successor's compliance with the compliance requirements referred to above.

Responsibilities of Management for Compliance
Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to the Housing Authority's government programs.

Item Number: 10.

To the Board of Directors
of the Desert Hot Springs Housing Authority
Desert Hot Springs, California

2 Auditors’ Responsibilities for the Audit of Compliance Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on the Housing Authority’s compliance based on our audit. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS, Government Auditing Standards, and the Health and Safety Codes will always detect material noncompliance when it exists. The risk of not material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about the Housing Authority's compliance with the requirements of the government program as a whole.

In performing an audit in accordance with GAAS, Government Auditing Standards, and the Health and Safety Codes, we:
 Exercise professional judgment and maintain professional skepticism throughout the audit.  Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the Housing Authority's compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances.  Obtain an understanding of the Housing Authority's internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Health and Safety Codes, but not for the purpose of expressing an opinion on the effectiveness of the Housing Authority's internal control over compliance. Accordingly, no such opinion is expressed.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit.

Other Matters
The results of our auditing procedures disclosed instances of noncompliance which are required to be reported in accordance with the Health and Safety Codes and which are described in the accompanying schedule of findings and responses as item 2022-001. Our opinion is not modified with respect to this matter.

Government Auditing Standards requires the auditor to perform limited procedures on the Housing Authority’s response to the noncompliance findings identified in our compliance audit described in the accompanying schedule of findings and responses. The Housing Authority’s response was not subjected to other auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response.

Report on Internal Control Over Compliance
Our consideration of internal control over compliance was for the limited purpose described in the “Auditors’ Responsibilities for the Audit of Compliance” section above and was not designed to identify all deficiencies in internal control over compliance that might be deficiencies, significant deficiencies, or material weaknesses in internal control over compliance and therefore, material weaknesses or significant deficiencies may exist that were not identified. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, as discussed below, we did identify certain deficiencies in internal control of compliance that we consider to be significant deficiencies.

Item Number: 10.

To the Board of Directors
of the Desert Hot Springs Housing Authority
Desert Hot Springs, California

3 A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies in internal control over compliance, such that there is a reasonable possibility that a material noncompliance with a compliance requirement will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. We consider the deficiencies in internal control over compliance described in the accompanying schedule of findings and responses as item 2022-001 to be a significant deficiency.

Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed.

Government Auditing Standards requires the auditor to perform limited procedures on the Housing Authority’s responses to the internal control over compliance findings identified in our compliance audit described in the accompany schedule of findings and responses. The Housing Authority’s response was not subjected to the other auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response.

The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Health and Safety Codes.

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

Report on the Schedule of Excess Surplus
We have audited the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the City of Desert Hot Springs, California as of and for the year ended June 30, 2022, and the related notes to the basic financial statements, which collectively comprise the City’s basic financial statements. We issued our report thereon dated June 8, 2023, which contained unmodified opinions on those financial statements. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements. The accompanying the Schedule of Excess Surplus is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain other 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 GAAS. In our opinion, the Schedule of Excess Surplus is fairly stated in all material respects in relation to the basic financial statements as a whole.

Santa Ana, California
June 8, 2023
Item Number: 10.

Desert Hot Springs Housing Authority
Schedule of Excess Surplus
For the Year Ended June 30, 2022
4 Opening fund balance 4,499,095 $
Less: notes receivables (3,389,172)
Less: land held for resale (85,090)
Available housing funds 1,024,833
Limitation (greater of $1,000,000 or four years deposits) Aggregate amount deposited for last four years:
2020-2021 727,722
2019-2020 381,574
2018-2019 58,299
2017-2018 21,495
Total $ 1,189,090
Greater amount 1,189,090
Computed Excess Surplus $ (164,257)
Low and Moderate
Housing Funds
July 1, 2021
Item Number: 10.

Desert Hot Springs Housing Authority
Schedule of Findings and Responses
For the Year Ended June 30, 2022
5 Finding 2021-001 – Internal Control Over Compliance and Compliance with Reporting Requirement Criteria:

Each jurisdiction is required to create an annual report on the status and progress in implementing the housing element of its general plan using forms and definitions adopted by the California Department of Housing and Community Development (“HCD”). The report must be must be submitted to HCD and the Governor’s Office of Planning and Research on or before April 1 of each year.

Condition:

During our audit we noted the annual housing element progress report for calendar year 2021 was submitted to HCD on July 8, 2022, which is after the due date of April 1, 2022.

Cause:

New hiring of key personnel in charge of submitting the Housing Authority report occurred during the time the report was to be submitted. The new personnel were unaware of the report due date.

Effect or Potential Effect:

Late submission of the annual housing element progress report to HCD.

Recommendation:

We recommended the Housing Authority develop policies and procedures to ensure timely submission of the annual housing element progress report to HCD.

View of Responsible Officials:

There were key staffing changes during the time of the preparation of the annual housing element progress report to the effect that the report was submitted late for 2022. The new Community Development Director has created an automatic reminder to begin working on the report starting January of every year so that the City meets the April 1st deadline. A reminder will be sent to the responsible staff members starting in January with monthly updates on the reports progress to the City Manager so that the report is ready to be brought before the City Council on the first meeting of March.

Status:

Finding carried over from prior year.

Item Number: 10.

City of Desert Hot Springs
Desert Hot Springs, California
Independent Accountants’ Report on
Applying Agreed-Upon Procedures to
Utility User Tax
For the Year Ended June 30, 2022
Item Number: 10.

Item Number: 10.

200 E. Sandpointe Avenue, Suite 600
Santa Ana, California 92707
INDEPENDENT ACCOUNTANTS’ REPORT ON

APPLYING AGREED-UPON PROCEDURES
To the Honorable Mayor and Members of City Council
of the City of Desert Hot Springs
Desert Hot Springs, California
We have performed the procedures enumerated below on User Utility Tax (“UUT”) of the City of Desert Hot Springs, California (the “City”) for the year ended June 30, 2022. The City’s management is responsible for User Utility Tax.

The City has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose, which is to fulfill the requirement of the City’s Municipal Code Chapter 3.28 with respect to the accounting records of the UUT of the City and the service providers within the City that collect UUT (the “Service Providers”). This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes.

The procedures and associated findings are as follows:

1. Recalculated 64.29% and 35.71% of the UUT are deposited in Public Safety Fund and Debt Service Fund, respectively, and reconciled the Schedule of UUT to the general ledger for the year ended June 30, 2022.

Results: See Exhibit A for recalculation of taxes remitted. Variance of $80 was noted between recalculation and trial balance.

2. Selected one Service Provider from each category of services provided and 4 months per Service Provider and performed procedures below:

Category of Services
a. Telecommunications services user tax (3.28.020)
b. Electricity services user tax (3.28.030)
c. Water and Sewer services user tax (3.28.040)
d. Gas services user tax (3.28.050)
e. Video services user tax (3.28.060)
Procedures Performed:
a. Obtained from the City the UUT returns/remittance advices submitted by the Service Providers. b. Compared the tax return obtained from the City to the Schedule of UUT prepared by the City and the cash receipt record.
c. Identified the accuracy of the calculation for UUT remitted by performing recalculation. d. Verified whether the returns and tax were timely submitted and calculate late fees owed, if any.

Results: See Exhibit B for the results of the recalculation of UUT for the Service Providers selected for each category. See Exhibit C for the results of submission. Exceptions noted on the recalculation of UUT and submission test.

Item Number: 10.

To the Honorable Mayor and Members of City Council
of the City of Desert Hot Springs
Desert Hot Springs, California

2 3. Scanned the general ledger detail for Public Safety Fund and Debt Service Fund for expenditures incurred other than public safety or debt service purposes.

Results: No exceptions were noted as a result of the procedures.

We were engaged by the City of to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the American Institute of Certified Public Accountants. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on User Utility Tax. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.

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

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

Santa Ana, California
May 18, 2023
Item Number: 10.

City of Desert Hot Springs
Agreed Upon Procedures Applied to Utility User Tax
Exhibit A – Tax Revenue Recalculation
For the Year Ended June 30, 2022
3 Category UUT Revenue
Electric 2,194,075 $
Gas 323,877
Telecommunications 279,774
Video 250,893
Water and Sewer 818,928
Total 3,867,547 $
Recalculation
Amount Reported in
Trial Balance Variance
Public Safety Fund - 64.29% $ 2,488,571 2,486,446 $ (2,125) $ Debt Service Fund - 35.71% 1,378,896 1,381,101 2,205 $
$ 3,867,467 3,867,547 $ 80 $
Item Number: 10.

City of Desert Hot Springs
Agreed Upon Procedures Applied to Utility User Tax
Exhibit B – Service Provider UUT Recalculation
For the Year Ended June 30, 2022
4 Recalculated Reported
Tax Exemption Taxable UUT UUT per
Month Ended Gross Revenue Claimed UUT Revenue @ 7% Tax Return Difference July 30, 2021 $ - 30,671 $ 30,671 $ 2,147 $ 2,147 $ - $ October 31, 2021 - 29,483 29,483 2,064 2,064 -
March 31, 2022 - 32,131 32,131 2,249 2,249 -
May 31, 2022 - 29,974 29,974 2,098 2,098 -
July 30, 2021 $ - 11,200 $ 11,200 $ 784 $ 784 $ - $
October 31, 2021 - 10,998 10,998 770 770 -
March 31, 2022 - 8,745 8,745 612 612 -
May 31, 2022 - 10,919 10,919 764 764 -
July 30, 2021 $ - 669,368 $ 669,368 $ 46,856 $ 46,856 $ - $ October 31, 2021 - 788,901 788,901 55,223 55,223 -
March 31, 2022 - 446,186 446,186 31,233 31,686 A
May 31, 2022 - 494,098 494,098 34,587 34,587 -
July 30, 2021 $ - 824 $ 824 $ 58 $ 58 $ - $
October 31, 2021 - 1,159 1,159 81 81 -
March 31, 2022 - 1,087 1,087 76 76 -
May 31, 2022 - 942 942 66 66 -
July 30, 2021 $ - 276,158 $ 276,158 $ 19,331 $ 19,331 $ - $ October 31, 2021 - 285,828 285,828 20,008 20,008 -
March 31, 2022 - 270,119 270,119 18,908 18,908 -
May 31, 2022 - 283,354 283,354 19,835 19,835 -
Gas Service Provider
Tiger Natural Gas, Inc.

Video Service Provider
Spectrum Pacific West, LLC
Telecommunication Service Provider
New Cingular Wireless PCS LLC/ AT&T Mobility
Electricity Service Provider
Constellation New Energy, Inc.

Water and Sewer Service Provider
Mission Springs Water District
A. The Mission Springs Water District paid an extra $453 for a permit in March 2022. The total utility user tax for the month of March, calculated based on the gross revenue, was $31,233. Not an exception.

Item Number: 10.

5 City of Desert Hot Springs
Agreed Upon Procedures Applied to Utility User Tax
Exhibit C – Submission
For the Year Ended June 30, 2022
Delinquent Delinquent Delinquent
Tax Return Tax Return Penalty Penalty Penalty
Month Due Date Filing Date Receipt Date On Time 15% (B) Paid Payable July 30, 2021 August 31, 2021 August 12, 2021 August 23, 2021 Yes $ - - $ - $ October 31, 2021 November 30, 2021 November 12, 2021 November 22, 2021 Yes - - - March 31, 2022 April 30, 2022 April 14, 2022 April 25, 2022 Yes - - - May 31, 2022 June 30, 2022 June 15, 2022 June 22, 2022 Yes - - - July 30, 2021 August 31, 2021 August 11, 2021 August 17, 2021 Yes $ - - $ - $ October 31, 2021 November 30, 2021 November 10, 2021 November 15, 2021 Yes - - - March 31, 2022 April 30, 2022 April 12, 2022 April 20, 2022 Yes - - - May 31, 2022 June 30, 2022 June 13, 2022 June 20, 2022 Yes - - - July 30, 2021 August 31, 2021 September 30, 2021 October 4, 2021 C $ - 7,028 $ 7,028 $ October 31, 2021 November 30, 2021 December 9, 2021 December 30, 2021 C - 8,283 8,283 March 31, 2022 April 30, 2022 May 9, 2022 June 12, 2022 C - 4,685 4,685 May 31, 2022 June 30, 2022 July 8, 2022 August 2, 2022 C - 5,188 5,188 July 30, 2021 August 31, 2021 August 11, 2021 August 17, 2021 Yes $ - - $ - $ October 31, 2021 November 30, 2021 November 10, 2021 November 18, 2021 Yes - - - March 31, 2022 April 30, 2022 April 13, 2022 April 19, 2022 Yes - - - May 31, 2022 June 30, 2022 June 8, 2022 June 13, 2022 Yes - - - July 30, 2021 August 31, 2021 August 12, 2021 August 26, 2021 Yes $ - - $ - $ October 31, 2021 November 30, 2021 November 10, 2021 November 22, 2021 Yes - - - March 31, 2022 April 30, 2022 April 12, 2022 April 25, 2022 Yes - - - May 31, 2022 June 30, 2022 June 8, 2022 June 22, 2022 Yes - - - Gas Service Provider
Tiger Natural Gas, Inc.

Video Service Provider
Spectrum Pacific West, LLC
Telecommunication Service Provider
New Cingular Wireless PCS LLC/ AT&T Mobility
Electricity Service Provider
Constellation New Energy, Inc.

Water and Sewer Service Provider
Mission Springs Water District
B. Municipal Code Section 3.28.070 Delinquency-Interest-Penalty C. Delinquent penalty was not submitted when the tax return and tax remittance were past due.

Item Number: 10.

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Item Number: 10.

SR-23-159
City of Desert Hot Springs
City Council

AGENDA ITEM REPORT
To:

Date: June 20, 2023
Department: Administrative Services
Prepared by: Geoffrey Buchheim, Administrative Services Director Subject: City of Desert Hot Springs Two Year Budget for All Funds and Capital Improvement Projects for Fiscal Year 2023-2024 and Fiscal Year 2024-2025 and Gann Appropriations Limit for FY2023-2024
RECOMMENDATION:
1) Receive Staff Presentation of the City of Desert Hot Springs Two Year Budget for All Funds and Capital Improvement Projects for Fiscal Year 2023-2024 and Fiscal Year 2024-2025; 2) Entertain questions from City Council; and
3) Adopt a Resolution of the City Council of the City of Desert Hot Springs Approving the Two-Year Budget for All Funds for FY 2023-2024 and Fiscal Year 2024-2025 and the Fiscal Year 2023-2024 Appropriations Limit.

BACKGROUND:

On June 6, 2023, the City Council reviewed the two-year operating and capital improvement budgets for FY 2023-2024 and FY 2024-2025, a synopsis of which is presented within the body of this staff report. During the meeting, the City Council posed questions and provided its recommendations for the budget and staff is presenting the Two-Year Budget for approval. The most significant changes from the draft budget presented on June 6, 2023, are as follows:

Additions FY23-24 Budget Change FY24-25 Budget Change
Lighting & Landscaping
Maintenance District No.2 Funds $793,854 $799,398
Drainage Assessment District No.
1 Funds $666,016 $668,458
Community Facilities District
2010-1 Funds $875,096 $875,096
Public Facilities Improvement
Projects $14,631,637 $0
Line C-1 Storm Drain Project $258,000 $3,440,000
Purchase of new Fire Quint for
Station 98 $2,000,000 $0
Cannabis Compliance Contract $52,400 $52,400
Total $19,277,003 $5,835,352
Item Number: 11.

SR-23-159
Only the increase for the cannabis compliance consultant contract affected the Consolidated General Fund, which amounted to $52,000. That amount was offset by reductions in travel and training and GIS contract services. For FY 2023-2024, the Consolidated General Fund has an operating surplus of $35,602. For FY2024-2025, the Consolidated General Fund is estimated to have a surplus of $12,392.

The following is an overview of the recommended Two-Year Budget, focusing primarily on the Consolidated General Fund along with a brief overview of all other funds.

DISCUSSION:

Consolidated General Fund
The Consolidated General Fund consists of three funds used to account for virtually all required services funded predominantly with discretionary revenue sources:
•General Fund (Fund 001)
•Health & Wellness Fund (Fund 211)
•Public Safety Fund (Fund 245)
Although the City’s General Fund accounts for all receipts of discretionary revenues, it is notable that both the Health & Wellness Fund and Public Safety Fund receive a majority of annual funding (as a transfer from the General Fund) to arrive at a balanced fund budget. As such, sustainment of programs and services accounted for in the Health & Wellness and Public Safety Funds require General Fund support on an ongoing basis. The City’s Citywide Lighting & Landscaping Maintenance Special Revenue Fund also receives a majority of its annual funding from the General Fund which supports the repair and maintenance of the City’s parks, medians, right-of-ways, and street lighting. However, it is not considered a part of the Consolidated Fund and will be discussed in the Special Revenue Funds section of this report. Aggregate revenues and expenditures anticipated for each of the three funds over the next two years are noted below:

Fiscal Year 2023-2024
Fund Revenues Expenditures
Transfer In/(Out of
General Fund)
001 – General
Fund $ 25,783,802 $ 10,761,380* ($ 14,949,820)
211 – Health &
Wellness Fund $ 151,500 $ 1,697,858 $ 1,536,358
245 – Public Safety
Fund $ 7,195,666 $ 18,770,071 $ 11,547,405
Total: $ 34,667,326 $ 34,631,724
Annual Surplus / or (Deficit): $ 35,602
Fiscal Year 2024-2025
Fund Revenues Expenditures
Transfer In/(Out) of
General Fund
001 – General
Fund $26,235,449 $11,165,575* ($ 15,047,482)
211 – Health &
Wellness Fund $ 152,007 $ 1,624,340 $ 1,462,333
Item Number: 11.

SR-23-159
Fund Revenues Expenditures
Transfer In/(Out) of
General Fund
245 – Public Safety
Fund $ 7,314,403 $ 19,103,468 $ 11,789,065
Total: $ 35,164,192 $ 35,151,799
Annual Surplus / or (Deficit): $ 12,392
* - Expenditure amount does not include outgoing transfers

Overview of Consolidated General Fund Budgets
General Fund
It is anticipated that the General Fund will receive $25,783,802 in revenues during FY 2023-2024 and $26,235,449 during FY 2024-2025.

The General Fund revenue sources for both years include the following:

Item Number: 11.

SR-23-159
The sources of General Fund revenues are shown in the charts above and account for all General Fund sources anticipated to be received in both fiscal years. • Property taxes are anticipated to increase by 8% in FY 2023-2024 and by 3% FY 2022-2023, as assessed values have risen because of the recent growth in sales and developments. This growth leads to higher assessment values and increased property transfer tax and supplemental property tax revenue. FY2024-2025 has a more modest increase as real estate activity has slowed down in the last few months.
• Transient Occupancy Taxes are anticipated to increase by 11% for the 2023-2024 Fiscal Year due to increase travel over the last 2 years. FY 2022-2023 has a more modest increase of 2% as that increase in travel is forecasted to level off.
• Cannabis Cultivation Tax revenues are estimated to decrease by over 19% for FY 2023-2024 as the development of new cultivation facilities has decreased and some existing facilities have closed down or reduced cultivation square footage. In the following year, the tax revenue has remained the same pending the Council’s decision on cultivation taxes on July 5, 2023.

It is anticipated that the General Fund will incur $14,163,795 in expenditures (including Transfers Out) during FY 2023-2024 and $14,423,992 (including Transfers Out) during FY 2024-2025. Expenditure activity by department is shown in the chart below:

Item Number: 11.

SR-23-159
Significant activity in General Fund department budgets during the coming budget cycle are referenced below:

City Council - Continuation of contractual costs for debris removal (trash abatement) and CVAG Homeless Program.

City Manager - Continuation of special events including the City’s 60th anniversary.

City Attorney - Increase in contract services for anticipated legal costs.

Finance - Continuation in contract services for cannabis facilities financial audits and services for possible Section 218 election.

Human Resources - Increase in costs for working scholars and to resume program training for City staff.

Non-Departmental - Increase of over $400,000 in Transfers Out to other funds to cover growing expenses in the Health & Wellness, Cabot’s Museum, City-wide Landscape Maintenance District funds.

Building & Safety - Continuation of Building Plan Check contract services, which are covered by development revenues.

Economic Development - Continuation of costs for marketing and promotional materials.

Health & Wellness Fund
It is anticipated that the Health & Wellness Fund will receive $1,687,858 in FY 2023-2024 and $1,614,340 in FY 2024-2025 of revenues and incur $1,697,858 in FY 2023-2024 and $1,624,340 in FY 2024-2025 of expenditures.

Item Number: 11.

SR-23-159
Revenue sources in the Health & Wellness Fund are limited to the following (FY 2023-2024 / FY 2024- 2025):
• Reimbursed of shared costs - $38,500/$39,007
• Swimming fees - $113,000/$113,000
• Transfer in from the General Fund - $1,536,358/$1,462,333 (which is an increase of over $500,000 from the previous year).

These amounts are used to fund the City’s Furbee Aquatic Center, DHS Recreation, Borrego Health Center and Community Health & Wellness Center programs as well as providing maintenance to the Health & Wellness Center building and grounds. The increase in the transfer from the General Fund is due to increased recreation programs and a one-time expenditure to replace the equipment in the gym.

Public Safety Fund
It is anticipated that the Public Safety Fund will receive $7,195,666 in revenue for FY 2023-2024 and $7,314,403 in revenue for FY 2024-2025. It will incur $18,770,071 in expenditures for FY 2023-2024 and $19,103,468 in expenditures for FY 2024-2025.

Major sources of revenue received in the Public Safety Fund are as follows (FY 2023-2024/FY 2024- 2025):
• Public Safety Parcel Tax - $2,865,000/$2,949,450
• Utility Users Tax - $2,900,000/$2,985,500
• Proposition 172 Sales Tax - $278,566/$285,423
• Grants - $208,000/$148,000
The above revenue sources account for approximately 87% of all Public Safety Fund revenues, the balance of which are generated through fines, citations and other police-related fees. The largest source of revenue is the Utility Users Tax.

Sources generated by the Public Safety Fund, in addition to the required General Fund transfer, provide for the following key services (FY 2023-2024/FY 2024-2025 budgeted expenditures):
• Police Patrol & Field ($10,958,488/$10,407,218)
• Code Compliance ($1,977,908/$1,990,409)
• Animal Control ($896,299/$937,557)
• Dispatch Services ($1,824,757/$1,892,894)
• Fire Services ($3,112,620/$3,875,391)
Significant changes in the Public Safety Fund expenditure budget from FY 2022-2023 to the following 2-year budget year include:

Patrol & Field - There is a decrease in costs due to the discontinuation of the ERICA communications systems.

Item Number: 11.

SR-23-159
Code Compliance - Contract services have increased due to increase short-term vacation rental regulations.

Fire Services - Fire Service contractual costs are expected to increase due to the ramping up of additional staffing (include EMT services). The ramp up of staff addresses current critical service demands. The staffing increase also prepares the City for manning the new fire station when the construction is completed.

Consolidated General Fund Fund Balance
As shown in the chart below, the Consolidated General Fund will have an estimated fund balance of over $10.7 million at 6/30/2024 and over $10.7 million at 6/30/2025.

Item Number: 11.

SR-23-159
This forecast reflects management’s best estimates on the projected revenues and expenditures using a conservative estimation approach. The FY2022-2023 Estimated Ending Fund Balance is based on the use of reserves to fund a temporary cut in the cannabis cultivation tax, which will reduce the City’s revenues by $1.1 million, and to increase appropriations by $1.8 million for demolition and abatement expenses. While the FY2023-2024 FY2024-2025 Two-Year Budget contains a reduction in cannabis tax revenues due to less anticipated cultivation space, it does not include an estimation of any additional cannabis tax reductions that will decided by the Council at its meeting on July 5th. This budget does include anticipated costs for adding the animal sanctuary but it does not include any one-time costs to assist Animal Samaritans in opening and operating the animal hospital. This budget does not include any costs associated with a future unhoused assistance program to be decided by Council at a later date. Once those decisions are made, this budget will need to be re-evaluated to include those additional expenses. In order to fund the above additions, the City will need to either use fund reserves or make expenditure cuts in current programs.

Fiduciary Funds
These funds are used to account for resources held for the benefit of other parties outside the government. Desert Hot Springs has budgeted a total of (8) Fiduciary Funds as stated below in the Draft Budget:

FY 2023-2024
Description of Fund Revenues Expenditures
DHS Successor Agency
Fund (911) $4,450,414 $4,450,414
Community Facility District –
Skyborne Fund (421)
$191,000 $176,366
Community Facility District
Funds
$366,037 $875,096
FY 2024-2025
Description of Fund Revenues Expenditures
DHS Successor Agency
Fund (911) $1,824,988 $1,824,988
Community Facility District –
Skyborne Fund (421)
$191,000 $176,514
Community Facility District
Funds
$366,037 $875,096
The Desert Hot Springs Successor Agency formerly the Redevelopment Agency accounts for debt service payments on Successor Agency Bonds and administration costs for the Agency up to a maximum total of $250,000 per year. All revenue and expenditures are approved through the Recognized Obligation Payment Schedule annually by the Desert Hot Springs Successor Agency, Oversight Board and the Department of Finance. The reduction in the budget for FY24-25 is due to the Series 2008 Tax Allocation Bond being paid off by June 30, 2024.

Item Number: 11.

SR-23-159
The Community Facility District Skyborne Agency Bond Fund accounts for principal and interest payments on the 2006-1 Bonds, property tax administration, trustee administration costs and county fees.

Community Facility District 2010-1 is a special taxing district that allows for the financing of the installation, operation and maintenance of public improvements. Community Facility District 2010-1 was created to ensure that each new development continues to pay for their fair share of costs for lighting, building maintenance, property tax administration fees, and City and County overhead fees as the community builds out. The City practice is to budget higher expenditures than revenues in case an emergency repair is needed. This is only done for those Community Facility District Fund that has ample fund balance to cover the emergency expenditure.

Special Revenue Funds
Special Revenue Fund(s) are created to account for proceeds of specific revenue sources (other than trusts for individuals, private organizations, or other governments or for major capital projects) that are legally restricted to expenditures for specified purposes. In this two-year draft budget cycle there are a total of (48) Special Revenue Funds.

FY 2023-2024
Description of Fund Revenues Expenditures
SB1 Road Fund (142) $700,000 $192,840
Gas Tax Fund (140) $766,000 $765,645
Citywide Lighting and
Maintenance District Fund (501)
$1,673,432 $1,673,432
Lighting and Maintenance District
Funds (502-520) 19 total
$338,601 $793,854
Drainage Assessment District
Funds (552-569) 18 total
$224,255 $666,016
Measure “A” Fund (127) $630,000 919,829
Air Quality Control Fund (160) $38,500 $35,000
Art in Public Places Fund (110) $94,070 $78,141
County Service Area Fund (250) $177,890 $177,890
Cabot’s Museum Fund (270) $137,000 $136,747
American Recovery Act Fund
(230)
$0 $2,000,000
Abandoned Vehicle Abatement
Fund (233)
$51,050 $51,050
Emergency Preparedness Fund
(246)
$30,000 $30,000
CDBG Grant Fund (145) $837,935 $837,935
Housing Authority Fund (700) $503,552 $150,983
FY 2024-2025
Description of Fund Revenues Expenditures
SB1 Road Fund (142) $700,000 $930,000
Gas Tax Fund (140) $774,000 773,645
Item Number: 11.

SR-23-159
Citywide Lighting and
Maintenance District Fund (501)
$1,649,034 $1,649,034
Lighting and Maintenance District
Funds (502-520) 19 total
$338,601 $799,398
Drainage Assessment District
Funds (552-569) 18 total
$225,255 $668,458
Measure “A” Fund (127) $630,000 $714,500
Air Quality Control Fund (160) $38,500 $35,730
Art in Public Places Fund (110) $94,070 $78,141
County Service Area Fund (250) $177,890 $177,890
Cabot’s Museum Fund (270) $139,000 $138,247
American Recovery Act Fund
(230)
$0 $0
Abandoned Vehicle Abatement
Fund (233)
$51,050 $51,050
Emergency Preparedness Fund
(246)
$30,000 $30,000
CDBG Grant Fund (145) $0 $0
Housing Authority Fund (700) $0 $150,983
The SB1 Fund (142) – This funding allocation comes from the state for assistance to cities and counties to improve local streets and roads. Funding will be dedicated to road repairs, maintenance, and rehabilitation throughout the City. It can also be designated for expanding the City’s growing network of pedestrian and cycling routes.

The Gas Tax Fund (140) – Revenues from the gas tax deposited into the Highway Users Tax Account (HUTA) in the Transportation Tax Fund are apportioned by the SCO to cities and counties. The apportionment is based on the City’s population, vehicle registration and maintained mileage. The City is required to expend gas tax revenues for street and road purposes (in compliance with state Safety and Health Codes) and to be accountable for the efficient and transparent use of the apportioned funds.

The funding received and expended is audited by the State Controller’s Office each year, with the completion of the annual street report prepared by the City.

Citywide Lighting and Maintenance District Fund (501) – Funding is received through the County tax roll for assessments to all property owners in the City to provide funding for street lighting, park repairs and maintenance, park building repairs and maintenance, median landscaping, etc. A transfer from the General Fund makes up the difference between the annual assessment and annual costs for this fund. For FY 2023-2024 the transfer from the General Fund will be $1,113,432 and $1,089,034 for FY24-25.

Lighting and Maintenance District Funds (502–520) - As residential development was built, the City required that each individual development set up a separate Lighting Maintenance District. To date there have been a total of 19 Lighting Maintenance Districts approved. The property owners in each district pay an annual assessment and that funding is used to pay for all maintenance costs for each individual district. The City practice is to budget higher expenditures than revenues in case an emergency repair is needed. This is only done for those funds that have ample fund balance to cover the emergency expenditure.

Item Number: 11.

SR-23-159
Drainage Assessment District Funds (552-569) - Drainage Assessment Districts were also required by the City to be established for each residential development ensuring that the property owners would pay assessments each year to cover the costs associated with the maintenance of the Drainage Assessment District. The City practice is to budget higher expenditures than revenues in case an emergency repair is needed. This is only done for those funds that have ample fund balance to cover the emergency expenditure.

Measure “A” Fund (127) - In 1998 the voters of Riverside County approved a half-cent sales tax for transportation funding to respond to the growing congestion by completing a list of transportation projects to address the problem. The funds collected go back to three districts: Western Riverside County, the Coachella Valley and Pal Verde, in proportion to what they contribute. Measure A Funding has been extended to continue to fund transportation improvements through 2039. A portion of the funding collected from RCTC funds a portion of the debt service for the Trip Bond through a transfer out to Fund (141), street maintenance and rehab through the collection of ½ cent sales tax distributed from the County. Each year this Fund is audited by County.

Air Quality Control Fund (160) - The City receives funding from Air Quality Management District (funding from a portion of the vehicle registration fee, to provide funds for air districts to meet responsibilities mandated under the California Clean Air Act. The City’s share of funding is used to reduce air pollution through regional street sweeping.

Art in Public Places Fund (110) – This fund is supplied by a City established fee to promote the public interest and general welfare, through the acquisition and installation of public art.

The County Service Area 152 Fund (250) – The National Pollutant Discharge Elimination System program addresses water pollution by regulating point sources that discharge pollutants to underground water tables. The City receives funding from NPDES which is used primarily for street sweeping and water inspections or any other type of expense to further reduce pollution to the underground water tables.

Cabot’s Museum Fund (270) – This fund was created to account for the operational and maintenance costs associated with the historical museum, which was donated to the City by Portia Yara. The Hopiinspired building is hand-made and created from reclaimed materials found throughout the Coachella Valley. The Consolidated General Fund transfers money to this fund. A total of $137,000 is budgeted for FY2023-2024 and $139,000 for FY2024-2025.

American Recovery Act Fund (230) – This fund is a pass-thru from the Federal Government for coronavirus relief funds. The City received $6,908,232 in funding to be used for coronavirus relief programs and loss of revenue due to COVID-19. For FY 2023-2024, the City will be using $2 million in matching grant funds for Hacienda Avenue improvements.

Abandoned Vehicle Abatement Fund (233) – This fund receives Department of Motor Vehicle registration fees from the County to cover operational costs associated and incurred through the abandoned vehicle process within the City limits (on a reimbursement basis).

Emergency Preparedness Fund (246) – This fund accounts for ambulance fines collected by the County which are then paid to the City. Funds can be used by the Fire Department to purchase supplies and equipment for responding to emergency calls.

Item Number: 11.

SR-23-159
Community Development Block Grants Fund (145) – The City applies for this grant annually to fund various capital improvement throughout the City. The grantor reviews and approves projects that use CDBG funds.

Housing Authority Fund (700) – This fund accounts for funds set aside for developments and improvements of the City’s housing activity and operations. It is currently being funded by repayment of the SERAF loan through the Successor Agency. This fund helps provide for services such as a firsttime home buyers program for residents.

Capital Project Funds and Uses
Capital Project funds are created to account for the financial resources used for acquisition of capital facilities or for the construction of major capital facilities.

FY 2023-2024
Description of fund Revenues Expenditures
Capital Improvement Project
Fund (210) $14,683,632 $14,683,632
Public Facilities Improvement
Fund (222)
$14,631,637 $14,631,637
Development Impact Fees Fund
(101-108 & 111) total of (9)
separate funds
$1,605,000 $1,867,159
2012 Trip bond Capital Fund
(141)
$322,168 $317,766
Assessment District Funds
(391)
$0 $123,000
FY 2024-2025
Description of fund Revenues Expenditures
Capital Improvement Project
Fund (210) $6,511,980 $6,511,980
Development Impact Fees Fund
(101-108) total of (8) separate
funds
$1,605,000 $1,816,200
2012 Trip bond Capital Fund
(141)
$322,168 $320,844
Assessment District Funds
(391)
$0 $123,000
The Capital Improvement Fund (210) – This fund accounts for all amounts collected through various funding sources to cover costs associated with approved Capital Improvement Projects. There are several projects scheduled for the next fiscal year. Detailed information on each project can be referenced in the Three-Year Capital Improvement Plan. -Year Budget, the projects include construction of Fire Station 98, construction of the Police Annex building, improvements to Fire Station 37, and improvements to the current Police Department building and site.

Item Number: 11.

SR-23-159
Public Facilities Improvement Fund (222) – This fund is for the construction or significant improvements to public facilities. The costs are covered by bond proceeds transferred from the City Debt Service Fund. For this 2
Development Impact Fee Funds (101-108) – Based on a legally required Nexus Report, this fund keeps track of fees collected from developers to address the increasing demands their development(s) have on various City infrastructures. Several projects that are identified in the Three-Year Capital Improvement Plan will use portions of the funds collected over the next two years. 2012 Trip Bond Capital Fund (141) – Currently, all the bond proceeds approved for various road rehabilitation projects have been expended. The expenditures captured in this fund will cover debt service payments and administration fees at the trustee level.

Assessment District (391) - The funding in these districts represent the balance of the reserves on hand at the maturity of the bonds in 2011. The funding has been moved into a Capital Improvement Fund from a debt service fund.

Debt Service Fund
The Debt Service Fund (401) accounts for the long-term debt service payments of the City’s 2017 Desert Hot Springs Tax Allocation Refunding Bond, the Series 2018 Lease Revenue Bonds, and the Series 2021 Lease Revenue Bonds. The other expenses in this fund relate to annual interest, principal payments, trustee fees, and administration costs budgeted at $2,080,625 for FY 2023-2024 and $2,078,050 for FY 2024-2025.

Internal Service Funds
The Internal Service Fund accounts for the financing of goods and services provided between City departments on a cost/reimbursement basis.

FY2023-2024
Description of fund Revenues Expenditures
Risk Management Funds (600 &
610) $425,000 $425,000
Equipment Replacement Fund
(615)
$253,348 $513,348
FY2024-2025
Description of fund Revenues Expenditures
Risk Management Funds (600 &
610) $425,000 $425,000
Equipment Replacement Fund
(615)
$253,348 $513,348
Risk Management Funds (600 and 610) account for workers compensation insurance costs, general liability, and other property costs associated with the City’s staffing, public facilities, vehicles, equipment, furniture, and fixtures. The costs paid from internal service funds are charged appropriately to the various departments.

Item Number: 11.

SR-23-159
Equipment Replacement Fund (615) is used to account for the purchase of capital assets for the City, specifically lease payments for Police Department and Public Works vehicles. The deficit of revenues over expenditures is due to depreciation expense which is a non-cash item.

FISCAL IMPACT:

Consolidated General Fund revenues are projected to be $34,667,326 and the expenses and transfers are projected to be $34,631,724 for the Fiscal Year 2023-2024. For FY 2024-2025, Consolidated General Fund revenues are projected to be $35,165,192 and expenditures are projected to be $35,151,799.

Other City revenues total $31,334,419 and expenses total $51,923,505 for Fiscal Year 2023-2024 and $19,124,006 in revenues and $20,961,695 in expenditure for FY2024-2025.

ATTACHMENTS:
1) Budget Resolution for FY 2023-2024 and FY 2024-2025
2) FY23-24 FY24-25 Two-Year Budget Detail
3) FY23-24 FY24-25 Consolidated General Fund Budget Summary 4) FY23-24 FY24-25 Restricted Funds Summary
5) 3 Year Capital Improvement Program FY23-24 to FY25-26 6) 2023-2024 Appropriations (GANN) Limit
Item Number: 11.

RESOLUTION NO. 2023 - ___

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DESERT
HOT SPRINGS APPROVING THE FISCAL YEAR 2023-2024 and
FISCAL YEAR 2024-2025 CONSOLIDATED GENERAL FUND
OPERATING, CAPITAL IMPROVEMENT PLAN AND OTHER FUNDS’
BUDGETS AND FISCAL YEAR 2023-2024 APPROPRIATIONS LIMIT
WHEREAS, the City Council reviews the City’s General Fund cash flow; and WHEREAS, the City Council to approve the Capital Improvement Plan for one year and as more funding becomes available new capital projects will be funded; and WHEREAS, the City Manager has the full authority to execute any and all documents related to the Fiscal Year 2023-2024 and Fiscal Year 2024-2025 operating budgets and capital improvement budgets; and
WHEREAS, the City Manager may delegate authority to implement this resolution to the Administrative Services Director.

NOW, THEREFORE BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL, AS FOLLOWS:

Section 1. The City Council of Desert Hot Springs approves the Fiscal Year 2023-2024 proposed budget and the Fiscal Year 2024-2025 proposed budget.

Section 2. The City Council of Desert Hot Springs approves the Fiscal Year 2023-2024 Gann Appropriations Limits.

Section 3. Upon publication, a copy of the budget document will be made available for public review at City Hall and posted on the City’s webpage.

PASSED AND ADOPTED by the City Council of the City of Desert Hot Springs at a regular meeting of the City Council duly held on the 20th day of June 2023, by the following vote:

AYES:

NAYS:

ABSENT:

ABSTAIN:

Item Number: 11.

ATTEST: APPROVED:

Jerryl Soriano, CMC, City Clerk Scott Matas, Mayor
APPROVED AS TO FORM:

Jennifer A. Mizrahi, City Attorney
Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
General Fund
Revenues
100-3101-00-00-0000 PROPERTY TAX - SECURED 950,427 1,064,781 1,284,030 1,304,419 100-3102-00-00-0000 PROPERTY TAX - UNSECURED 42,408 42,758 34,423 46,350 100-3104-00-00-0000 PROPERTY TAX - SUPPLEMENTAL 21,840 22,000 23,000 24,000 100-3105-00-00-0000 PROPERTY TRANSFER TAX 276,173 200,000 150,000 150,000 100-3106-00-00-0000 PASS THROUGH INCREMENT REVENUE 623,581 810,000 950,000 950,000 100-3111-00-00-0000 TRANSIENT OCCUPANCY TAXES 3,779,227 3,540,539 3,950,000 4,067,000 100-3112-00-00-0000 SPECIAL REVENUE - DISPENSARIES 2,131,761 2,145,786 2,200,000 2,200,000 100-3115-00-00-0000 SALES & USE TAX 2,545,228 2,499,429 2,404,126 2,452,207 100-3117-00-00-0000 SPECIAL REVENUE - CULTIVATORS 3,177,728 6,014,563 4,835,687 4,835,687 100-3118-00-00-0000 RECYCLING FRANCHISE FEES 225,643 255,830 275,000 283,250 100-3119-00-00-0000 FRANCHISE FEES 1,915,615 2,051,284 2,300,000 2,400,000 100-3123-00-00-0000 TRIPLE FLIP VLF 2,717,490 3,113,312 3,479,313 3,560,588 100-3125-00-00-0000 TOWING FRANCHISE FEES 43,450 70,000 70,000 70,000 100-3201-00-00-0000 BUSINESS LICENSES 226,993 230,000 250,000 257,500 100-3211-00-00-0000 BUILDING PERMIT 1,071,632 832,415 950,000 950,000 100-3212-00-00-0000 PLANNING FEES 353,870 304,466 375,000 386,250 100-3213-00-00-0000 BUILDING PLAN CHECK FEES 530,722 797,863 735,000 800,000 100-3214-00-00-0000 ENVIRONMENTAL PLAN CHECK FEES 18,001 45,000 20,000 21,000 100-3215-00-00-0000 VACATION RENTAL CERTIFICATE FEE 36,800 341,000 100,000 100,000 100-3216-00-00-0000 TECHNOLOGY SURCHARGE FEE 30,610 30,000 30,000 31,000 100-3221-00-00-0000 ENCROACHMENT PERMIT 0 5,000 0 0
100-3222-00-00-0000 GRADING PERMIT 0 5,000 0 0
100-3223-00-00-0000 ENGINEERING FEES 492,785 681,143 500,000 500,000 100-3225-00-00-0000 GENERAL PLAN MAINT SURCHARGE 30,553 55,000 31,000 31,000 100-3309-00-00-0000 ABANDONED RESIDENTIAL PROPERTY 370 1,000 500 500 100-3317-00-00-0000 MASSAGE PERMIT 1,400 1,000 10,000 10,000 100-3401-00-00-0000 INVESTMENT EARNINGS -122,501 50,000 100,000 100,000 100-3420-00-00-0000 RENTAL INCOME FEES 1,125 15,000 2,500 2,500 100-3520-00-00-0000 MOTOR VEHICLE IN LIEU 34,757 22,000 35,000 35,000 100-3551-00-00-0000 GRANTS 33,443 205,000 113,141 113,141 Itemization FY2024 FY2025
SB2 Funding 63,141 63,141
LEAP Grant 50,000 50,000
113,141 113,141
100-3723-00-00-0000 ADMINISTRATIVE COSTS REIMBURSEMENTS 290,921 375,000 363,032 339,702 100-3729-00-00-0000 ADMINISTRATIVE FEES 45,533 50,000 50,000 50,000 100-3795-00-00-0000 MISCELLANEOUS REVENUE 45,498 100,000 50,000 50,000 100-3999-00-00-0000 TRANSFERS IN 118,988 100,000 100,000 100,000 100-3724-30-30-0000 REIMBURSEMENTS 0 0 13,050 14,355
Revenues Total 21,692,071 26,076,169 25,783,802 26,235,449 City Council
100-4101-41-11-0000 SALARIES-ELECTEDS/APPOINTED 112,294 113,601 113,601 113,601 100-4140-41-11-0000 EMPLOYEE BENEFITS 63,661 75,042 75,042 75,042 100-4150-41-11-0000 PERS RETIREMENT 5,034 6,441 6,211 6,211 100-4160-41-11-0000 TAXES 7,929 5,394 5,394 5,394
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
100-4170-41-11-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 13,761 10,139 10,139 10,139 100-4235-41-11-0000 DUES AND SUBSCRIPTIONS 203,957 182,100 193,949 193,949 Itemization FY2024 FY2025
AIR MUSEUM GALA 5,000 5,000
ALAN SEAMAN BUS PASS PROGRAM 3,000 3,000
BIG HEART AWARDS SPONSORSHIP 2,300 2,300
COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS ANNUAL DUES 22,094 22,094 FOOD NOW GOLF TOURNAMENT 500 500
LEAGUE OF CALIFORNIA CITIES ANNUAL DUES 13,949 13,949
ONE FUTURE COACHELLA VALLEY 25,000 25,000
OTHER SUBSCRIPTIONS 12,707 12,707
REGIONAL HOMELESSNESS FUNDING - CVAG 100,000 100,000
SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS ANNUAL DUES 3,749 3,749 MARINE CORPS LUNCHEON 400 400
POLICE OFFICER-PUBLIC SAFETY LUNCHEON 1,250 1,250
SENIOR INSPIRATION AWARDS 4,000 4,000
193,949 193,949
100-4247-41-11-0000 SPECIAL EVENTS 23,040 50,000 0 0
100-4320-41-11-0000 CONTRACT SERVICES 265,039 414,265 379,178 379,178 Itemization FY2024 FY2025
CITY COUNCIL MEETINGS VIDEO SERVICES 12,000 12,000
DEBRIS ABATEMENT PROGRAM 206,915 206,915
LOBBYING SERVICES - SDA 72,000 72,000
LOBBYING SERVICES - CRUZ STRATEGIES 48,000 48,000
GREATER COACHELLA VALLEY CHAMBER OF COMMERCE/STATE OF THE CITY 40,263 40,263 379,178 379,178
100-4230-41-11-0001 TRAVEL AND TRAINING Scott Matas 667 5,000 3,750 3,750 100-4230-41-11-0002 TRAVEL AND TRAINING Russell Betts 836 5,000 3,750 3,750 100-4230-41-11-0003 TRAVEL AND TRAINING Jan Pye 580 5,000 3,750 3,750 100-4230-41-11-0004 TRAVEL AND TRAINING Gary Gardner 997 5,000 3,750 3,750 100-4230-41-11-0008 TRAVEL AND TRAINING Roger Nunez 2,806 5,000 3,750 3,750 City Council Totals 700,601 881,981 802,264 802,264
City Manager
100-4100-41-12-0000 SALARIES 925,831 1,054,020 1,025,482 1,025,482 100-4105-41-12-0000 OVERTIME / ON-CALL 1,167 300 2,000 2,000 100-4110-41-12-0000 COMP TIME BUYOUT 8,892 5,000 0 0
100-4115-41-12-0000 ANNUAL LEAVE BUYOUT 42,661 39,700 40,000 40,000 100-4140-41-12-0000 EMPLOYEE BENEFITS 135,365 180,434 134,289 134,289 100-4150-41-12-0000 PERS RETIREMENT 75,969 92,955 98,335 98,335 100-4160-41-12-0000 TAXES 65,688 64,504 64,959 64,959
100-4170-41-12-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 108,984 138,338 144,234 144,234 100-4210-41-12-0000 ADVERTISING 0 0 60,000 60,000
100-4215-41-12-0000 PRINTING 1,434 3,000 1,500 1,500
100-4220-41-12-0000 OFFICE SUPPLIES 3,185 10,000 4,500 4,500 100-4230-41-12-0000 TRAVEL AND TRAINING 14,718 39,350 21,375 21,375 Itemization FY2024 FY2025
LEAGUE OF CALIFORNIA CITIES - RIVERSIDE COUNTY DIVISION MEETINGS 750 750

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
LEAGUE OF CALIFORNIA CITIES CONFERENCE 2,250 2,250
LEAGUE OF CALIFORNIA CITIES - CITY MANAGER CONFERENCE 3,375 3,375 OTHER TRAININGS AND TRAVEL 15,000 15,000
21,375 21,375
100-4235-41-12-0000 DUES AND SUBSCRIPTIONS 6,940 15,296 15,280 15,280 Itemization FY2024 FY2025
CALIFORNIA CITY MANAGERS FOUNDATION 800 800
DESERT HOT SPRINGS PRIDE FESTIVAL SPONSORSHIP 5,000 5,000 DESERT SUN SUBSCRIPTION 180 180
FOOD NOW CHILI COOKOFF 5,000 5,000
LEAGUE OF CALIFORNIA CITIES - RIVERSIDE COUNTY DIVISION ANNUAL DUES 100 100 OTHER DUES AND SUBSCRIPTIONS 4,200 4,200
15,280 15,280
100-4247-41-12-0000 SPECIAL EVENTS 47,013 80,000 190,000 190,000 Itemization FY2024
VETERANS DAY 5,000 5,000
HOLIDAY PARADE AND TREE LIGHTING 75,000 75,000
OTHER EVENTS - 60TH ANNIVERSARY, FOOD TRUCK FRIDAYS, DIA DE LOS MUERTOS, MEMORIAL DAY, 4TH OF JULY 110,000 110,000 190,000 190,000
100-4251-41-12-0000 UNIFORMS 8,750 13,000 10,000 10,000 100-4255-41-12-0000 FUEL 472 2,500 1,500 1,500
100-4260-41-12-0000 REPAIR & MAINTENANCE-VEHICLE 603 1,000 1,000 1,000 100-4266-41-12-0000 SUPPLIES & MAINTENANCE 14,548 38,000 24,800 24,800 100-4320-41-12-0000 CONTRACT SERVICES 46,611 115,540 289,160 289,160 Itemization FY2024 FY2025
BILLBOARDS 14,160 14,160
MARKETING AND PROMOTIONAL MATERIALS 50,000 50,000
SENIOR CENTER CONTRACT 225,000 225,000
289,160 289,160
100-5030-41-12-0000 EQUIPMENT 0 13,245 0 0
Total City Manager 1,508,831 1,906,182 2,128,413 2,128,413 City Clerk
100-4100-41-13-0000 SALARIES 169,932 203,582 203,584 203,584 100-4115-41-13-0000 ANNUAL LEAVE BUYOUT 9,988 7,400 8,000 8,000 100-4140-41-13-0000 EMPLOYEE BENEFITS 18,200 36,570 44,935 44,935 100-4150-41-13-0000 PERS RETIREMENT 20,383 24,370 27,920 27,920 100-4160-41-13-0000 TAXES 13,735 15,508 15,508 15,508
100-4170-41-13-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 23,959 29,151 29,151 29,151 100-4210-41-13-0000 ADVERTISING 25,395 30,000 30,000 30,000 100-4230-41-13-0000 TRAVEL AND TRAINING 647 8,000 6,250 10,500 Itemization FY2024 FY2025
Technical Training for Clerks (TTC) - Series 400 1,500 1,500 New Law and Election Seminar 1,375 1,500
City Clerks Association of California Annual Conference 1,500 1,500 Planning Commissioners Academy 0 4,500

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Cal Cities Annual Conference 1,875 1,500
6,250 10,500
100-4235-41-13-0000 DUES AND SUBSCRIPTIONS 59 515 750 750 Itemization FY2024 FY2025
City Clerks Association of California Membership Dues (City Clerk) 200 200 City Clerks Association of California Membership Dues (Deputy City Clerk) 200 200 International Institute of Municipal Clerks Membership Dues 350 350 750 750
100-4250-41-13-0000 UNIFORM ALLOWANCE 0 0 1,275 1,275
Itemization FY2024 FY2025
City Clerk and Deputy City Clerk 275 275
Planning Commission 500 500
Public Safety Commission 500 500
1,275 1,275
100-4266-41-13-0000 SUPPLIES & MAINTENANCE 0 0 2,200 2,200 Itemization FY2024 FY2025
Meals for Planning Commission 1,200 1,200
Meals for Public Safety Commission 1,000 1,000
2,200 2,200
100-4320-41-13-0000 CONTRACT SERVICES 100,353 102,000 134,800 104,800 Itemization FY2024 FY2025
Municipal Code Codification 7,000 7,000
Netfile Form 700 and Campaign Financial Services 5,000 5,000 Offsite Records Storage 5,000 5,000
NextRequest (PRA Portal) 7,800 7,800
CItywide LMD Prop 218 Election 90,000 0
Records Management (Scanning) 20,000 20,000
Records Management Consultant (Retention Schedule and Records Assessment) 0 10,000 General Municipal Election - November 2024 0 50,000
134,800 104,800
Total City Clerk 382,651 457,096 504,374 478,624
City Attorney
100-4315-41-14-0000 LEGAL 979,417 1,000,000 1,000,000 1,100,000 Finance
100-4100-41-15-0000 SALARIES 452,959 619,172 615,246 615,246 100-4105-41-15-0000 OVERTIME / ON-CALL 4,703 7,000 3,000 3,000 100-4110-41-15-0000 COMP TIME BUYOUT 1,753 2,600 2,000 2,000 100-4115-41-15-0000 ANNUAL LEAVE BUYOUT 41,180 8,000 10,000 0 100-4140-41-15-0000 EMPLOYEE BENEFITS 64,439 101,217 116,597 126,597 100-4150-41-15-0000 PERS RETIREMENT 44,828 59,607 62,105 62,105 100-4160-41-15-0000 TAXES 37,789 46,917 46,617 46,617
100-4170-41-15-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 61,680 79,037 88,472 88,472 100-4215-41-15-0000 PRINTING 394 550 400 400
100-4230-41-15-0000 TRAVEL AND TRAINING 2,272 5,500 3,000 3,000 100-4235-41-15-0000 DUES AND SUBSCRIPTIONS 610 700 700 700

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
100-4266-41-15-0000 SUPPLIES & MAINTENANCE 355 500 400 400 100-4284-41-15-0000 FEES & PERMITS 0 500 0 0
100-4320-41-15-0000 CONTRACT SERVICES 279,738 392,558 387,213 387,716 Itemization FY2024 FY2025
Audit Services 66,713 68,716
Property Tax Services - HDL 12,000 12,000
Sales Tax Consultant - HDL 12,000 12,000
Cannabis Audits - HDL 30,000 30,000
Urban Futures - Debt Disclosure Reporting 20,000 20,000 Payroll Processing Services - ADP 29,000 29,000
Streets Report - State Controller's Office 3,000 3,000
Thales Consulting - State Controller's Report 5,000 5,000 Grant Writer - Evans Brooks 50,000 50,000
Lew Edwards 121,500 150,000
Franchise Studies - Solid waste, recycling, towing - DTA 30,000 0 Debtbook - GASB 96 Implementation 8,000 8,000
387,213 387,716
Finance Total 992,700 1,323,858 1,335,749 1,336,252
Human Resources
100-4100-41-16-0000 SALARIES 113,426 176,910 209,606 209,606 100-4105-41-16-0000 OVERTIME / ON-CALL 21 0 0 0
100-4115-41-16-0000 ANNUAL LEAVE BUYOUT 19,744 2,000 2,000 3,500 100-4140-41-16-0000 EMPLOYEE BENEFITS 39,844 43,992 31,780 31,780 100-4150-41-16-0000 PERS RETIREMENT 7,942 16,258 19,402 19,402 100-4160-41-16-0000 TAXES 9,843 15,064 16,035 16,035
100-4170-41-16-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 24,328 40,500 30,141 30,141 100-4210-41-16-0000 ADVERTISING 3,514 6,500 3,600 3,600 100-4215-41-16-0000 PRINTING 127 400 200 200
100-4220-41-16-0000 OFFICE SUPPLIES 0 0 1,350 1,350
100-4225-41-16-0000 POSTAGE 31 0 50 50
100-4230-41-16-0000 TRAVEL AND TRAINING 2,606 6,200 1,950 1,950 100-4235-41-16-0000 DUES AND SUBSCRIPTIONS 12,479 7,200 7,200 7,200 100-4240-41-16-0000 EDUCATION 27,231 78,000 40,000 40,000 Itemization FY2024 FY2025
Working Scholars 40,000 40,000
100-4266-41-16-0000 SUPPLIES & MAINTENANCE 718 5,500 2,800 2,800 Itemization FY2024 FY2025
Training Refreshments 1,000 1,000
Employee Recognitions 500 500
Risk and Safety items 1,300 1,300
2,800 2,800
100-4320-41-16-0000 CONTRACT SERVICES 126,445 20,850 43,100 18,100 Itemization FY2024 FY2025
Affordable Care Act Services 4,800 4,800
Pre-Employment Physicals 4,000 4,000
First Aid Injuries (Company Nurse) 1,000 1,000

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Fingerprint Processing 800 800
Language Testing and Translation Services 500 500
Flex Plan Compliance Services 1,000 1,000
Reporting Compliance Services 6,000 6,000
Recruiting Services 25,000 0
43,100 18,100
Total Human Resources 388,299 419,374 409,213 385,713
Information Technology
100-4100-41-17-0000 SALARIES 178,400 275,453 291,818 291,818 100-4105-41-17-0000 OVERTIME / ON-CALL 22,146 15,000 20,000 20,000 100-4110-41-17-0000 COMP TIME BUYOUT 0 500 0 0
100-4115-41-17-0000 ANNUAL LEAVE BUYOUT 6,608 5,000 6,000 6,000 100-4140-41-17-0000 EMPLOYEE BENEFITS 39,456 52,378 61,867 61,867 100-4150-41-17-0000 PERS RETIREMENT 20,999 29,727 32,657 32,657 100-4160-41-17-0000 TAXES 15,534 21,771 22,258 22,258
100-4170-41-17-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 22,976 40,924 41,839 41,839 100-4200-41-17-0000 UTILITIES 87,654 110,000 117,700 115,200 Itemization FY2024 FY2025
CABLE SERVICE 14,000 15,000
INTERNET SERVICE 19,000 20,000
MOBILE COMMUNICATION SERVICE 42,000 36,000
PHONE SERVICE 28,000 29,000
PEG CHANNEL 14,700 15,200
117,700 115,200
100-4230-41-17-0000 TRAVEL AND TRAINING 0 1,500 1,500 1,500 100-4235-41-17-0000 DUES AND SUBSCRIPTIONS 228,573 296,700 320,650 325,700 Itemization FY2024 FY2025
FINANCE SOFTWARE MAINTENANCE & SUPPORT 65,000 65,000
AGENDA MANAGEMENT SOFTWARE MAINTENANCE & SUPPORT 20,000 21,000 CD SOFTWARE MAINTENANCE & SUPPORT 60,000 61,000
ONLINE EMAIL AND OFFICE SOFTWARE SERVICE 65,000 65,000
SPAM FILTER SUBSCRIPTION 6,500 7,000
REMOTE ACCESS 2,000 2,000
ESIGNATURE SUBSCRIPTION SERVICE 4,000 5,000
AGENDA WEBSITE SECURITY & HOSTING (SIRE) 1,500 1,500
CLOUD BACKUP SERVICE & STORAGE 5,000 5,000
CONFERENCE CALL SERVICE 1,000 1,000
PERIMITER SECURITY SERVICE & SUPPORT 4,500 4,500
VIDEO CONFERENCE SERVICE 4,000 4,000
LASERFICHE STORAGE 20,000 21,000
GIS SUBSCRIPTION 6,000 6,000
SIMPLIFILE 450 500
LOBBY CENTRAL SOFTWARE 1,100 1,100
ANTIVIRUS SOFTWARE UPDATES SUBSCRIPTION 4,000 4,500
MOBILE DEVICE MGMT 3,000 3,000
MILESTONE 600 600
911 ROUTING LOCATOR 1,200 1,200
PROUDCITY 8,000 8,000

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
MYCIVIC APP 7,800 7,800
RENTALSCAPE 30,000 30,000
320,650 325,700
100-4255-41-17-0000 FUEL 262 3,000 Fuel 3,000 3,000
100-4260-41-17-0000 REPAIR & MAINTENANCE-VEHICLE 364 1,000 1,000 1,000 100-4266-41-17-0000 SUPPLIES & MAINTENANCE 110,711 55,700 32,000 32,000 Itemization FY2024 FY2025
MISCELLANEOUS SYSTEM UPGRADES/REPLACEMENTS 12,000 12,000 PERIPHERALS REPLACEMENTS & UPGRADES 12,000 12,000
MISCELLANEOUS CABLES, CASES, SUPPLIES 8,000 8,000
32,000 32,000
100-4320-41-17-0000 CONTRACT SERVICES 12,048 154,500 128,500 129,000 Itemization FY2024 FY2025
100-4320-41-17-0000 INFRASTRUCTURE CONTINGENCY 10,000 10,000 100-4320-41-17-0000 PHONE SYSTEM SUPPORT & MAINTENANCE 11,500 12,000 100-4320-41-17-0000 Backup & Disaster Recovery as a Service (BaaS & DRaaS) 35,000 35,000 100-4320-41-17-0000 GIS CONSULTING 72,000 72,000
128,500 129,000
Total Information Technology 745,731 1,063,153 1,080,789 1,083,839 Non-Departmental
100-4100-41-19-0000 SALARIES 0 -1,146,922 -1,179,258 -950,226 100-4155-41-19-0000 PERS UNFUNDED LIABILITY - MISCELLANEOUS 357,032 401,698 272,271 266,000 100-4170-41-19-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 0 56,280 0 0 100-4220-41-19-0000 OFFICE SUPPLIES 4,590 9,000 3,600 3,600 100-4225-41-19-0000 POSTAGE 5,361 7,000 5,400 5,400
100-4266-41-19-0000 SUPPLIES & MAINTENANCE 9,885 23,000 8,800 8,800 100-4280-41-19-0000 CLAIMS EXPENSE 1,847 30,000 5,000 5,000 100-4320-41-19-0000 CONTRACT SERVICES 2,350 90,500 2,500 2,500 100-4995-41-19-0000 MARIJUANA RESERVE 1,327,372 150,000 0 0 100-4999-41-19-0000 TRANSFERS OUT 2,730,687 3,210,389 3,402,415 3,258,417 Itemization FY2024 FY2025
Cabot's Museum Fund 137,000 139,000
Debt Service Fund 555,625 508,050
Health & Wellness Fund 1,536,358 1,462,333
City-wide LMD Fund 1,113,432 1,089,034
Equipment Replacement Fund 60,000 60,000
3,402,415 3,258,417
Total Non-Departmental 4,439,124 2,830,945 2,520,728 2,599,491 Public Works
100-4100-41-41-0000 SALARIES 149,555 312,079 258,258 258,258 100-4105-41-41-0000 OVERTIME / ON-CALL 4,755 3,000 3,000 3,000 100-4110-41-41-0000 COMP TIME BUYOUT 4,959 7,000 5,000 5,000 100-4115-41-41-0000 ANNUAL LEAVE BUYOUT 7,243 15,000 7,000 7,000 100-4140-41-41-0000 EMPLOYEE BENEFITS 55,505 69,900 73,430 73,430 100-4150-41-41-0000 PERS RETIREMENT 13,837 13,024 18,765 18,765 100-4160-41-41-0000 TAXES 18,042 23,659 19,677 19,677
100-4170-41-41-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 34,772 44,473 36,988 36,988

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
100-4215-41-41-0000 PRINTING 254 1,000 1,200 1,200
100-4220-41-41-0000 OFFICE SUPPLIES 5,722 10,000 3,600 3,600 100-4230-41-41-0000 TRAVEL AND TRAINING 945 9,300 7,500 7,500 100-4235-41-41-0000 DUES AND SUBSCRIPTIONS 269 443 290 290 100-4250-41-41-0000 UNIFORM ALLOWANCE 413 413 1,013 1,013 100-4251-41-41-0000 UNIFORMS 0 500 4,000 4,000
100-4255-41-41-0000 FUEL 2,200 2,000 2,000 2,000
100-4260-41-41-0000 REPAIR & MAINTENANCE-VEHICLE 16,973 22,064 20,800 20,800 Itemization FY2024 FY2025
Auto Batteries 500 500
Safety Lighting 2,500 2,500
Service Calls and Tire Replacements 15,000 15,000
Supplies 1,500 1,500
Smog Tests 300 300
Vehicle Glass Repairs 1,000 1,000
20,800 20,800
100-4266-41-41-0000 SUPPLIES & MAINTENANCE 332,370 70,133 97,200 97,200 100-4266-41-41-0000 SUPPLIES & MAINTENANCE Citywide Extra Services 34,600 34,600 Itemization FY2024 FY2025
Materials - Sand, Asphalt 5,000 5,000
Radio Monthly Airtime 3,000 3,000
Road Barricades 4,000 4,000
Signs 34,600 34,600
Uniforms/PPE 1,000 1,000
Vandalism Repairs 10,000 10,000
Work Tools 5,000 5,000
62,600 62,600
100-4288-41-41-0000 PROGRAM EXPENSE 75,147 75,147 75,147 75,147 100-4320-41-41-0000 CONTRACT SERVICES 216,011 133,426 124,300 129,313 Itemization FY2024 FY2025
Asset Management Annual Software Subscription 17,550 19,903 Concrete Repairs 15,000 15,000
EV Charging Station Monitoring Renewal 650 700
General Repairs 50,000 50,000
Heavy Equipment Services 7,000 7,000
Waste Generator Management Software 26,100 28,710
Welding Repairs 8,000 8,000
124,300 129,313
Total Public Works 938,972 812,561 759,168 764,181
Public Buildings
100-4200-41-42-0000 UTILITIES 129,979 110,000 122,574 122,574 Itemization FY2024 FY2025
Alarm Monitoring Services 2,574 2,574
General utilities 120,000 120,000
122,574 122,574
100-4255-41-42-0000 FUEL 0 1,000 0 0

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
100-4266-41-42-0000 SUPPLIES & MAINTENANCE 67,373 155,980 83,790 78,380 Itemization FY2024 FY2025
Alarm/Security Camera Repairs Time, Labor, Materials Outside of Contract 3,000 3,000 Appliance Repairs 1,500 1,500
Backflow Repairs 2,000 2,000
Bingo Machine (Senior Center) 7,000 0
Building Sign Repairs 3,000 3,000
Building Supplies 13,000 13,000
Digital Key Tags 1,000 1,000
Fire Extinguisher Maintenance 2,000 2,200
First Aid Supplies 5,000 5,000
Flags 2,000 2,000
Gate/Garage Door Repairs 4,000 4,000
Glass Repairs 1,000 1,000
HVAC Time, Labor, Materials Outside of Contract 2,500 2,500 Pest Control Extra Services 5,000 5,000
Restroom Supplies 22,690 24,180
Roof Repairs 3,000 3,000
Shop Towel Service 1,000 1,000
Signs 3,500 3,500
Palm Tree Trimming 1,400 1,500
Fridge (mini) for Tower at Little League (for water for umpires) 200 0 83,790 78,380
100-4284-41-42-0000 FEES & PERMITS 3,155 4,700 4,700 4,700 Itemization FY2024 FY2025
Air Quality Management District (AQMD) 2,000 2,000
Health Department Permits 2,700 2,700
4,700 4,700
100-4320-41-42-0000 CONTRACT SERVICES 395,948 559,732 422,572 429,000 Itemization FY2024 FY2025
Air Conditioning Maintenance Services 40,520 40,520
Building Repairs 15,000 15,000
Concrete Repairs 20,000 20,000
Electrical Repairs 20,000 20,000
Garage Door Repairs 6,000 6,000
Generator Maintenance 11,600 11,600
Ice Machine Repairs 1,000 1,000
Janitorial Services 63,572 70,000
Keys 15,000 15,000
Landscape Services 500 500
Pest Control Services 4,680 4,680
Plumbing Services 10,000 10,000
Security Camera Maintenance (City Hall Main Facility and Non City Hall Main Facilities)) 14,700 14,700 Extra Services 200,000 200,000
422,572 429,000
100-4288-41-42-2000 PROGRAM EXPENSE Trails Conservancy 0 128,000 0 0

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Total Public Buildings 596,455 959,412 633,636 634,654
Building & Safety
100-4100-41-61-0000 SALARIES 360,573 456,449 413,040 413,040 100-4105-41-61-0000 OVERTIME / ON-CALL 2,127 2,000 2,000 2,000 100-4115-41-61-0000 ANNUAL LEAVE BUYOUT 2,093 10,000 0 0 100-4140-41-61-0000 EMPLOYEE BENEFITS 76,528 109,507 111,362 111,362 100-4150-41-61-0000 PERS RETIREMENT 28,734 39,119 31,525 31,525 100-4160-41-61-0000 TAXES 27,257 37,558 31,352 31,352
100-4170-41-61-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 62,049 71,110 59,271 59,271 100-4215-41-61-0000 PRINTING 963 1,500 1,000 1,000
100-4220-41-61-0000 OFFICE SUPPLIES 3,762 5,000 4,950 4,950 100-4230-41-61-0000 TRAVEL AND TRAINING 10,955 7,000 7,500 7,500 Itemization FY2024 FY2025
Building Officials Leadership Academy 1,875 1,875
California Building Officials Training 3,225 3,225
California Certified Accessibility Specialists Training 525 525 International Code Council Testing Training 1,125 1,125 Permit Technician Training 750 750
7,500 7,500
100-4235-41-61-0000 DUES AND SUBSCRIPTIONS 2,799 1,300 1,300 1,300 Itemization FY2024 FY2025
California Building Officials 1,000 1,000
International Code Council 300 300
1,300 1,300
100-4250-41-61-0000 UNIFORM ALLOWANCE 700 825 825 825
100-4255-41-61-0000 FUEL 4,696 3,500 3,500 3,500
100-4260-41-61-0000 REPAIR & MAINTENANCE-VEHICLE 3,234 4,700 4,700 4,700 100-4266-41-61-0000 SUPPLIES & MAINTENANCE 2,939 4,200 2,800 2,800 Itemization FY2024 FY2025
Tools 800 800
Books and Materials 2,000 2,000
2,800 2,800
100-4320-41-61-0000 CONTRACT SERVICES 518,668 401,000 25,000 25,000 Itemization FY2024 FY2025
Update of ADU Plans to 2022 CBC 25,000 0
Building Contract Services 0 25,000
25,000 25,000
100-4321-41-61-0000 PASS-THRU CONTRACT SERVICES 0 0 Pass-through Building Plan Check Services 550,000 600,000 Itemization FY2024 FY2025
Scott Fazekas and Associates 350,000 400,000
Willdan Engineering 200,000 200,000
550,000 600,000
Total Building & Safety 1,108,077 1,154,768 1,250,126 1,300,126 Planning
100-4100-41-62-0000 SALARIES 306,471 246,083 197,002 197,002

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
100-4101-41-62-0000 SALARIES-ELECTEDS/APPOINTED 2,150 7,200 0 0 100-4105-41-62-0000 OVERTIME / ON-CALL 1,099 2,000 0 0
100-4115-41-62-0000 ANNUAL LEAVE BUYOUT 8,617 4,500 0 0 100-4140-41-62-0000 EMPLOYEE BENEFITS 75,129 51,817 38,406 38,406 100-4150-41-62-0000 PERS RETIREMENT 21,721 21,873 14,691 14,691 100-4160-41-62-0000 TAXES 23,773 21,810 14,891 14,891
100-4170-41-62-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 45,953 41,077 28,329 28,329 100-4215-41-62-0000 PRINTING 1,135 2,000 1,500 1,500
100-4220-41-62-0000 OFFICE SUPPLIES 1,011 4,546 3,600 3,600 100-4230-41-62-0000 TRAVEL AND TRAINING 6,933 17,000 5,250 5,250 Itemization FY2024 FY2025
American Planning Association Training 3,750 3,750
One day Trainings 1,500 1,500
5,250 5,250
100-4235-41-62-0000 DUES AND SUBSCRIPTIONS 3,473 5,500 5,500 5,500 Itemization FY2024 FY2025
American Planning Association Membership 2,500 2,500
Local Agency Formation Commission Fees 3,000 3,000
5,500 5,500
100-4250-41-62-0000 UNIFORM ALLOWANCE 0 258 0 0
100-4266-41-62-0000 SUPPLIES & MAINTENANCE 51 1,000 3,400 800 Itemization FY2024 FY2025
Department Laptop 2,600 0
Books and Materials 800 800
3,400 800
100-4320-41-62-0000 CONTRACT SERVICES 96,323 296,000 Planning and Environmental Services for City Projects 100,000 150,000 Itemization FY2024 FY2025
Planning and Environmental Services 100,000 150,000
100-4321-41-62-0000 PASS-THRU CONTRACT SERVICES 0 0 Pass-through Environmental Services for Private Development 100,000 100,000 Itemization FY2024 FY2025
Environmental Plan Checks 50,000 50,000
Zoning Update 50,000 50,000
100,000 100,000
Total Planning 593,839 722,664 512,569 559,969
Engineering
100-4100-41-63-0000 SALARIES 87,710 156,348 215,981 215,981 100-4115-41-63-0000 ANNUAL LEAVE BUYOUT 12,864 2,000 0 0 100-4140-41-63-0000 EMPLOYEE BENEFITS 29,360 69,170 57,474 57,474 100-4150-41-63-0000 PERS RETIREMENT 6,377 16,009 16,424 16,424 100-4160-41-63-0000 TAXES 7,564 16,135 16,490 16,490
100-4170-41-63-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 23,591 30,330 30,996 30,996 100-4215-41-63-0000 PRINTING 1,105 0 800 800
100-4220-41-63-0000 OFFICE SUPPLIES 0 0 1,350 1,350
100-4230-41-63-0000 TRAVEL AND TRAINING 0 5,750 6,225 5,925

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Itemization FY2024 FY2025
APWA Inspection Certification 600 300
General 375 375
Training 5,250 5,250
6,225 5,925
100-4235-41-63-0000 DUES AND SUBSCRIPTIONS 0 500 647 647 Itemization FY2024 FY2025
APWA Dues 287 287
PE License 360 360
647 647
100-4250-41-63-0000 UNIFORM ALLOWANCE 0 275 275 275
100-4251-41-63-0000 UNIFORMS 0 0 600 600
100-4266-41-63-0000 SUPPLIES & MAINTENANCE 1,995 500 150 150 Itemization FY2024 FY2025
Reprographic Services 100 100
Simplifile Recording Submission Fees 50 50
150 150
100-4284-41-63-0000 FEES & PERMITS 27 100 0 0
100-4320-41-63-0000 CONTRACT SERVICES 215,476 368,382 143,000 188,000 Itemization FY2024 FY2025
Engineering Analysis 8,000 8,000
Engineering Consulting Services 115,000 115,000
Engineering Design Support as needed 0 45,000
Pavement Management Plan Update 0 20,000
Speed Survey 20,000 0
143,000 188,000
Total Engineering 386,069 665,498 490,413 535,113
Economic Development
100-4100-41-64-0000 SALARIES 0 174,832 224,832 224,832
100-4140-41-64-0000 EMPLOYEE BENEFITS 0 44,117 52,576 52,576 100-4150-41-64-0000 PERS RETIREMENT 0 16,453 16,648 16,648 100-4160-41-64-0000 TAXES 0 16,039 16,039 16,039
100-4170-41-64-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 0 21,171 31,171 31,171 100-4210-41-64-0000 ADVERTISING 129,751 220,500 89,160 89,160 Itemization FY2024 FY2025
Billboard 14,160 14,160
Feel Good Festival 10,000 10,000
Additional tourism related events 15,000 15,000
Tourism and economic development marketing 50,000 50,000 89,160 89,160
100-4215-41-64-0000 PRINTING 302 9,500 6,000 6,000
100-4220-41-64-0000 OFFICE SUPPLIES 0 2,500 500 500
100-4230-41-64-0000 TRAVEL AND TRAINING 34,508 40,250 45,450 45,450 Itemization FY2024 FY2025
ICSC 37,000 37,000

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
City/Nation/Place 2,000 2,000
Cal Travel 2,600 2,600
Visit California 2,650 2,650
CALED 1,200 1,200
45,450 45,450
100-4235-41-64-0000 DUES AND SUBSCRIPTIONS 16,450 18,755 23,175 23,175 Itemization FY2024 FY2025
CALED membership 570 570
Cal Travel membership 1,000 1,000
The Desert Sun subcription 170 170
Visit Greater Palm Springs Champions of Hospitality Awards 1,200 1,200 Restaurant Week 1,000 1,000
Riverside County Economic forum 1,000 1,000
Air CRE membership - web hosting of listing of available properties 3,900 3,900 Coachella Valley Economic Partnership 10,000 10,000
Coachella Valley Economic Partnership Summit 3,000 3,000 Commercial Real Estate Membership 210 210
International Council of Shopping Centers membership 1,125 1,125 23,175 23,175
100-4320-41-64-0000 CONTRACT SERVICES 137,265 240,120 230,800 209,800 Itemization FY2024 FY2025
Marketing and promotional materials 20,000 20,000
Visit Greater Palm Springs 35,000 35,000
JNS Next marketing agency 50,000 50,000
Kosmont consulting services 40,000 40,000
Placer AI - GPS economic development tool 24,000 24,000 Pulse - Customer Relations Management system 800 800
Brian Applegarth cannabis consultation services 30,000 30,000 NBC Palm Springs - Desert Hot Springs focus series 15,000 0 Brooke Beare - on air hosting of NBC series 6,000 0
Brooke Beare - press releases 10,000 10,000
230,800 209,800
Total Economic Development 318,276 804,237 736,351 715,351 Total General Fund Expenditures 14,079,042 15,001,730 14,163,795 14,423,992 Revenues over Expenditures 7,613,029 11,074,439 11,620,007 11,811,457 Fire Facilities Development Impact Fee Fund
Revenues
101-3220-00-00-0000 FIRE PROTECTION FEE 91,495 64,000 75,000 75,000 101-3401-00-00-0000 INVESTMENT EARNINGS 597 1,000 0 0
Total Revenues 92,092 65,000 75,000 75,000
Expenditures
101-4320-50-72-0000 CONTRACT SERVICES 5,450 0 0
101-5020-50-72-0000 CONSTRUCTION 96,331 0 0 0
101-5030-50-72-0000 EQUIPMENT 96,804 30,000 75,000 75,000 Total Expenditures 198,585 30,000 75,000 75,000
Revenues over Expenditures -106,493 35,000 0 0
Parks Development Impact Fee Fund

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Revenues
102-3224-00-00-0000 PARK FEES 139,806 175,000 150,000 150,000 102-3401-00-00-0000 INVESTMENT EARNINGS 112 150 0 0
Total Revenues 139,918 175,150 150,000 150,000
Expenditures
102-5020-50-73-4000 CONSTRUCTION Corp Yard Park CBDG 2018-19 0 0 0 300,000 102-5005-50-73-4006 ADMINISTRATION Mission Springs Park Upgrades 1,020 0 0 0 102-5020-50-73-4006 CONSTRUCTION Mission Springs Park Upgrades 12,750 0 0 0 102-5005-50-73-4015 ADMINISTRATION Wardman Park & Tedesco Park Restrooms 0 0 3,370 0 102-5020-50-73-4015 CONSTRUCTION Wardman Park & Tedesco Park Restrooms 0 0 42,120 0 102-5010-50-73-4017 DESIGN Tedesco Park Office 0 2,234 0 0 102-5005-50-73-4018 ADMINISTRATION Modular Storage @ Mission Springs Park 0 7,886 0 0 102-5020-50-73-4018 CONSTRUCTION Modular Storage @ Mission Springs Park 0 98,565 0 0 Total Expenditures 13,770 108,685 45,490 300,000
Revenues over Expenditures 126,148 66,465 104,510 -150,000 Streets/Bridges/Traffic Signals Development Impact Fee Fund Revenues
103-3231-00-00-0000 STREETS/TRAFFIC SIGNALS/BRIDGES 646,416 550,000 300,000 300,000 103-3401-00-00-0000 INVESTMENT EARNINGS 372 100 0 0
Total Revenues 646,788 550,100 300,000 300,000
Expenditures
103-5005-50-71-3001 ADMINISTRATION Palm Dr Improvements/ I-10 - Camino Aventura 0 2,719 28,000 0 103-5010-50-71-3001 DESIGN Palm Dr Improvements/ I-10 - Camino Aventura 0 33,980 0 0 103-5020-50-71-3001 CONSTRUCTION Palm Dr Improvements/ I-10 - Camino Aventura 0 0 350,000 0 103-5005-50-71-3014 ADMINISTRATION 8th Street Sidewalk - SB 821 0 0 24,800 0 103-5020-50-71-3014 CONSTRUCTION 8th Street Sidewalk - SB 821 0 0 310,000 0 103-5005-50-71-3024 ADMINISTRATION Cabot & Two Bunch Palm Trail Paving 0 8,325 0 0 103-5020-50-71-3024 CONSTRUCTION Cabot & Two Bunch Palm Trail Paving 0 104,053 0 0 103-5005-50-72-3023 ADMINISTRATION Hacienda Avenue Improvements (Spa Zone) 728 0 29,334 0 103-5010-50-72-3023 DESIGN Hacienda Avenue Improvements (Spa Zone) 9,100 9,100 366,680 0 103-5005-50-72-3025 ADMINISTRATION North Indian Canyon Widening Project 9,060 20,664 0 0 103-5020-50-72-3025 CONSTRUCTION North Indian Canyon Widening Project 113,246 129,147 0 0 103-5005-50-72-3026 ADMINISTRATION Golden Eagle Way Traffic Signal Modification 0 12,067 0 0 103-5020-50-72-3026 CONSTRUCTION Golden Eagle Way Traffic Signal Modification 0 150,830 0 0 103-5005-50-72-3029 ADMINISTRATION Indian Canyon Bridge 0 0 0 24,000 103-5020-50-72-3029 CONSTRUCTION Indian Canyon Bridge 0 0 0 300,000 103-5005-50-72-3030 ADMINISTRATION Two Bunch Palms/Park Signal 0 0 8,000 0 103-5010-50-72-3030 DESIGN Two Bunch Palms/Park Signal 0 0 100,000 0 Total Expenditures 132,134 470,885 1,216,814 324,000
Revenues over Expenditures 514,654 79,215 -916,814 -24,000 General Facilities Development Impact Fee Fund
Revenues
104-3228-00-00-0000 GENERAL FACILITIES FEES 149,761 110,000 100,000 100,000 104-3401-00-00-0000 INVESTMENT EARNINGS 115 100 0 0
Total Revenues 149,876 110,100 100,000 100,000
Expenditures
104-4999-50-72-0000 TRANSFERS OUT 50,000 50,000 50,000 50,000 104-5010-50-72-7001 DESIGN Finance Building Expansion 0 2,261 0 0 Total Expenditures 50,000 52,261 50,000 50,000

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Revenues over Expenditures 99,876 57,839 50,000 50,000
Law Enforcement Development Impact Fee Funds
Revenues
105-3226-00-00-0000 LAW ENFORCEMENT FACILITIES 100,653 188,000 50,000 50,000 105-3401-00-00-0000 INVESTMENT EARNINGS 211 500 0 0
Total Revenues 100,864 188,500 50,000 50,000
Expenditures
105-4320-50-72-0000 CONTRACT SERVICES 69,128 0 0 0
105-5010-50-72-0000 DESIGN 56,899 0 0 0
105-5020-50-72-0000 CONSTRUCTION 601,284 0 0 0
105-5030-50-72-0000 EQUIPMENT 0 30,000 50,000 50,000
105-5035-50-72-0000 VEHICLES 70,427 0 0 0
Total Expenditures 797,738 30,000 50,000 50,000
Revenues over Expenditures -696,874 158,500 0 0
Community Center Development Impact Fee Fund
Revenues
106-3230-00-00-0000 COMMUNITY CENTER FEES 289,651 175,000 100,000 100,000 106-3401-00-00-0000 INVESTMENT EARNINGS 467 2,260 0 0
Total Revenues 290,118 177,260 100,000 100,000
Expenditures
106-4999-50-72-0000 TRANSFERS OUT 50,000 50,000 50,000 50,000 106-5020-50-72-0000 CONSTRUCTION 0 85,000 0 0
Total Expenditures 50,000 135,000 50,000 50,000
Revenues over Expenditures 240,118 42,260 50,000 50,000 Aquatic Center Development Impact Fee Fund
Revenues
107-3227-00-00-0000 AQUATIC CENTER FEES 42,824 32,000 30,000 30,000 107-3401-00-00-0000 INVESTMENT EARNINGS 98 500 0 0
Total Revenues 42,922 32,500 30,000 30,000
Storm Drainage Development Impact Fee Fund
Revenues
108-3229-00-00-0000 STORM DRAINAGE IMPROVEMENT 280,059 220,000 200,000 200,000 108-3401-00-00-0000 INVESTMENT EARNINGS 147 1,100 0 0
Total Revenues 280,206 221,100 200,000 200,000
Expenditures
108-5005-50-71-6004 ADMINISTRATION 12th Street Concrete Wash 0 3,720 0 0 108-5020-50-71-6004 CONSTRUCTION 12th Street Concrete Wash 0 46,500 0 0 108-4320-50-72-0000 CONTRACT SERVICES 8th Street Storm Drain 0 46,500 0 0 108-5005-50-72-0000 ADMINISTRATION 8th Street Storm Drain 10,000 0 0 0 108-5020-50-72-0000 CONSTRUCTION 8th Street Storm Drain 125,000 0 0 0 108-5005-50-72-3028 ADMINISTRATION Two Bunch Palms/Dillon Road Bridge 0 0 10,800 0 108-5010-50-72-3028 DESIGN Two Bunch Palms/Dillon Road Bridge 0 0 135,000 0 108-5005-50-72-3029 ADMINISTRATION Indian Canyon Bridge 0 0 10,800 40,000 108-5010-50-72-3029 DESIGN Indian Canyon Bridge 0 0 180,000 0 108-5020-50-72-3029 CONSTRUCTION Indian Canyon Bridge 0 0 0 500,000 108-5005-50-72-6001 ADMINISTRATION Update Master Drainage Plan 0 0 4,315 4,000 108-5000-50-76-6001 PRELIMINARY STUDY Update Master Drainage Plan 1,320 0 0 0 108-5005-50-72-6001 ADMINISTRATION Update Master Drainage Plan 106 3,221 0 0 108-5010-50-72-6001 DESIGN Update Master Drainage Plan 0 40,261 53,940 50,000

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
108-5005-50-72-6002 ADMINISTRATION Morongo Basin Environmental 0 2,400 0 0 108-5010-50-72-6002 DESIGN Morongo Basin Environmental 0 30,000 0 0 Total Expenditures 136,426 172,602 394,855 594,000
Revenues over Expenditures 143,780 48,498 -194,855 -394,000 Art in Public Places Fund
Revenues
110-3232-30-30-0000 ART IN PUBLIC PLACES 221,905 75,000 80,000 80,000 110-3401-30-30-0000 INVESTMENT EARNINGS 289 1,500 0 0
110-3551-30-30-0000 GRANTS 0 0 14,070 14,070
Total Revenues 222,194 76,500 94,070 94,070
Expenditures
110-4247-41-64-0000 SPECIAL EVENTS 0 0 28,141 28,141
110-4320-50-72-0000 CONTRACT SERVICES 0 150,000 0 0
110-5020-50-72-0000 CONSTRUCTION 1,300 150,000 50,000 50,000 Total Expenditures 1,300 150,000 78,141 78,141
Revenues over Expenditures 220,894 -73,500 15,929 15,929 Quimby Fees Fund
Revenues
111-3233-00-00-0000 QUIMBY FEES 905,753 600,000 600,000 600,000 111-3401-00-00-0000 INVESTMENT EARNINGS 1,015 4,500 0 0 Total Revenues 906,768 604,500 600,000 600,000
Expenditures
111-5005-50-73-0000 ADMINISTRATION 16,567 0 0 0
111-5010-50-73-0000 DESIGN 207,091 0 0 0
111-5005-50-73-4000 ADMINISTRATION Corp Yard Park CBDG 2018-19 0 13,012 0 0 111-5010-50-73-4000 DESIGN Corp Yard Park CBDG 2018-19 0 162,609 0 0 111-5020-50-73-4000 CONSTRUCTION Corp Yard Park CBDG 2018-19 0 0 0 300,000 111-5005-50-73-4002 ADMINISTRATION Reflection Park Rehab 0 3,200 0 43,200 111-5010-50-73-4002 DESIGN Reflection Park Rehab 0 40,000 0 0 111-5005-50-73-4006 ADMINISTRATION Mission Springs Trash Enclosure 978 722 0 0 111-5020-50-73-4006 CONSTRUCTION Mission Springs Trash Enclosure 12,225 9,027 0 0 111-5005-50-73-4008 ADMINISTRATION Reflectioon Park Upgrades 1,910 0 0 0 111-5020-50-73-4008 CONSTRUCTION Reflectioon Park Upgrades 23,875 0 0 0 111-5005-50-73-4009 ADMINISTRATION Rotary Dog Park Improvements 10,862 0 0 0 111-5020-50-73-4009 CONSTRUCTION Rotary Dog Park Improvements 135,780 0 0 0 111-5005-50-73-4010 ADMINISTRATION Tedesco Park Upgrades 10,770 26,640 0 0 111-5020-50-73-4010 CONSTRUCTION Tedesco Park Upgrades 134,622 333,000 0 0 111-5005-50-73-4011 ADMINISTRATION Veterans Park Upgrades 1,360 0 0 0 111-5010-50-43-4011 DESIGN Veterans Park Upgrades 17,000 0 0 0 111-5005-50-73-4012 ADMINISTRATION Wardman Park Upgrades 2,924 0 0 0 111-5020-50-73-4012 CONSTRUCTION Wardman Park Upgrades 36,550 0 0 0 Total Expenditures 612,514 588,210 0 343,200
Revenues over Expenditures 294,254 16,290 600,000 256,800 Measure A Fund
Revenues
127-3401-00-00-0000 INVESTMENT EARNINGS 358 2,200 0 0
127-3540-00-00-0000 MEASURE 'A' REVENUE 679,935 515,000 630,000 630,000 Total Revenues 680,293 517,200 630,000 630,000
Expenditures

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
127-4999-43-71-0000 TRANSFERS OUT 161,669 161,084 161,084 161,084 127-5005-50-71-0000 ADMINISTRATION 9,550 0 0 0
127-5010-50-71-0000 DESIGN 11,873
127-5020-50-71-0000 CONSTRUCTION 107,587 0 0 0
127-5005-50-71-3001 ADMINISTRATION Palm Dr Improvements/ I-10 - Camino Aventura 0 2,091 31,840 0 127-5010-50-71-3001 DESIGN Palm Dr Improvements/ I-10 - Camino Aventura 0 26,133 0 0 127-5020-50-71-3001 CONSTRUCTION Palm Dr Improvements/ I-10 - Camino Aventura 0 0 398,000 0 127-5005-50-71-3002 ADMINISTRATION CV Link DHS Extension Project 0 0 2,000 2,000 127-5010-50-71-3002 DESIGN CV Link DHS Extension Project 0 0 25,000 25,000 127-5005-50-71-3003 ADMINISTRATION ATP 4 Hacienda Ave West 0 3,798 640 0 127-5010-50-71-3003 DESIGN ATP 4 Hacienda Ave West 0 47,469 8,000 0 127-5005-50-71-3008 ADMINISTRATION Palm Dr/I-10 Interchange Share 0 8 0 0 127-5020-50-71-3008 CONSTRUCTION Palm Dr/I-10 Interchange Share 0 100 0 0 127-5005-50-71-3009 ADMINISTRATION West Drive - Driveway Approach 2,556 0 0 0 127-5020-50-71-3009 CONSTRUCTION West Drive - Driveway Approach 31,947 0 0 0 127-5005-50-71-3013 ADMINISTRATION City-wide Annual Slurry 0 20,925 8,000 4,000 127-5020-50-71-3013 CONSTRUCTION City-wide Annual Slurry 0 261,551 100,000 50,000 127-5005-50-71-3014 ADMINISTRATION 8th Street Sidewalk - SB 821 0 2,654 0 0 127-5010-50-71-3014 DESIGN 8th Street Sidewalk - SB 821 0 33,170 0 0 127-5005-50-71-3015 ADMINISTRATION Sidewalk, Road & Shoulder Repair 495 6,400 6,400 4,800 127-5020-50-71-3015 CONSTRUCTION Sidewalk, Road & Shoulder Repair 6,182 80,000 80,000 60,000 127-5005-50-71-3016 ADMINISTRATION Citywide Annual Striping 0 0 4,000 4,000 127-5020-50-71-3016 CONSTRUCTION Citywide Annual Striping 0 0 20,000 20,000 127-5005-50-71-3017 ADMINISTRATION Pierson Slurry and Restriping 0 4,000 0 0 127-5020-50-71-3017 CONSTRUCTION Pierson Slurry and Restriping 0 50,000 0 0 127-5005-50-71-3019 ADMINISTRATION HSIP Cycle 9-1 Dillion-Pierson 1,408 4,045 4,975 0 127-5010-50-71-3019 DESIGN HSIP Cycle 9-1 Dillion-Pierson 17,595 0 12,190 0 127-5020-50-71-3019 CONSTRUCTION HSIP Cycle 9-1 Dillion-Pierson 0 50,559 50,000 0 127-5005-50-71-3021 ADMINISTRATION HSIP Cycle 9-3 Palm & 8th Street 0 8,713 0 0 127-5020-50-71-3021 CONSTRUCTION HSIP Cycle 9-3 Palm & 8th Street 0 108,904 0 0 127-5005-50-71-3027 ADMINISTRATION HSIP Cycle 11 Safety Improvements 0 0 570 4,416 127-5010-50-71-3027 DESIGN HSIP Cycle 11 Safety Improvements 0 0 7,130 0 127-5020-50-71-3027 CONSTRUCTION HSIP Cycle 11 Safety Improvements 0 0 0 55,200 127-5005-50-71-3031 ADMINISTRATION Pierson Blvd Resurfacing - LM to Indian 0 0 0 24,000 127-5020-50-71-3031 CONSTRUCTION Pierson Blvd Resurfacing - LM to Indian 0 0 0 300,000 127-5000-50-71-9000 PRELIMINARY STUDY Local Roadway Safety Plan 0 4,630 0 0 127-5005-50-71-9000 ADMINISTRATION Local Roadway Safety Plan 0 371 0 0 Total Expenditures 350,862 876,605 919,829 714,500
Revenues over Expenditures 329,431 -359,405 -289,829 -84,500 SLESA Fund
Revenues
130-3401-00-00-0000 INVESTMENT EARNINGS 19 200 100 100
130-3551-00-00-0000 GRANTS 161,285 150,000 150,000 150,000 Total Revenues 161,304 150,200 150,100 150,100
130-4999-42-23-0000 TRANSFERS OUT 161,287 150,200 150,100 150,100 Revenues over Expenditures 17 0 0 0
Gas Tax Fund

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Revenues
140-3530-00-00-0000 STATE GAS TAX 2107 180,810 214,270 180,000 185,000 140-3531-00-00-0000 STATE GAS TAX 2107.5 5,425 6,000 0 0 140-3532-00-00-0000 STATE GAS TAX 2106 98,803 106,525 100,000 103,000 140-3533-00-00-0000 STATE GAS TAX 2105 153,224 168,375 155,000 159,000 140-3534-00-00-0000 STATE GAS TAX 2103 211,365 258,401 215,000 221,450 Total Revenues 649,627 753,571 650,000 668,450
Expenditures
140-4100-43-71-0000 SALARIES 202,799 222,218 187,833 187,833 140-4105-43-71-0000 OVERTIME / ON-CALL 5,158 5,000 0 0
140-4110-43-71-0000 COMP TIME BUYOUT 19,282 17,500 0 0
140-4115-43-71-0000 ANNUAL LEAVE BUYOUT 5,588 4,000 0 0 140-4140-43-71-0000 EMPLOYEE BENEFITS 37,051 35,290 43,415 43,415 140-4150-43-71-0000 PERS RETIREMENT 21,163 16,211 24,535 24,535 140-4155-43-71-0000 PERS UNFUNDED LIABILITY - MISCELLANEOUS 3,000 3,000 0 0 140-4160-43-71-0000 TAXES 17,591 16,940 14,310 14,310
140-4170-43-71-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 24,574 31,843 26,899 26,899 140-4200-43-71-0000 UTILITIES 163,273 155,000 165,000 165,000 140-4250-43-71-0000 UNIFORM ALLOWANCE 550 550 550 550
140-4255-43-71-0000 FUEL 16,021 16,000 0 0
140-4260-43-71-0000 REPAIR & MAINTENANCE-VEHICLE 4,568 8,150 6,700 6,700 Itemization FY2024 FY2025
Auto Parts 3,000 3,000
Car Washes 1,200 1,200
Safety Lighting 2,500 2,500
6,700 6,700
140-4266-43-71-0000 SUPPLIES & MAINTENANCE 29,559 7,500 71,500 75,500 Itemization FY2024 FY2025
Fuel Pump Supplies 500 500
Materials 11,500 11,500
Road Barricades 4,000 4,000
Street Signs and Hardware 37,500 37,500
Supplies 14,000 16,000
Traffic Signal Supplies 4,000 6,000
71,500 75,500
140-4320-43-71-0000 CONTRACT SERVICES 28,656 100,500 63,820 67,820 Itemization FY2024 FY2025
Fuel Pump Maintenance 5,500 5,500
Traffic Signal Maintenance 58,320 62,320
63,820 67,820
140-4999-43-71-0000 TRANSFERS OUT 161,669 161,084 161,084 161,084 Total Expenditures 740,502 800,786 765,645 773,645
Revenues over Expenditures -90,875 -47,215 -115,645 -105,195 2020 Street Bond Fund
Revenues
141-3401-00-00-0000 INVESTMENT EARNINGS 20,528 2,000 0 0

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
141-3999-00-00-0000 TRANSFERS IN 323,338 322,168 322,168 322,168 Total Revenues 343,866 324,168 322,168 322,168
Expenditures
141-4285-60-15-0000 ADMINISTRATIVE FEES 8,500 3,000 0 0 141-4320-60-15-0000 CONTRACT SERVICES 0 2,500 0 0
141-4700-60-81-0000 PRINCIPAL 200,000 200,000 200,000 205,000 141-4705-60-82-0000 INTEREST EXPENSE 120,338 119,168 117,766 115,844 Total Expenditures 328,838 324,668 317,766 320,844
Revenues over Expenditures 15,028 -500 4,402 1,324
SB1 Road Maintenance & Rehab Fund
Revenues
142-3401-00-00-0000 INVESTMENT EARNINGS 744 1,000 0 0
142-3536-00-00-0000 SB1 RMRA 611,067 571,702 700,000 700,000 Total Revenues 611,811 572,702 700,000 700,000
Expenditures
142-4320-50-71-0000 CONTRACT SERVICES 147,060 0 0 0
142-5010-50-71-0000 DESIGN 94,939 0 0 0
142-5020-50-71-3000 CONSTRUCTION Palm Dr Improvements/Pierson-Mission Lakes 0 267,694 0 0 142-5010-50-71-3003 DESIGN ATP 4 Hacienda Ave West 0 39,840 0 0 142-5010-50-71-3003 DESIGN ATP 4 Hacienda Ave West 0 0 94,940 0 142-5020-50-71-3010 CONSTRUCTION Street Restriping 23,938 0 0 0 142-5020-50-71-3011 CONSTRUCTION Mission Lakes & West Dr Shoulder 56,000 0 0 0 142-5020-50-41-3012 CONSTRUCTION Panorama Speed Humps 22,500 0 0 0 142-5020-50-71-3013 CONSTRUCTION City-wide Annual Slurry 0 45,565 0 0 142-5020-50-71-3016 CONSTRUCTION Citywide Annual Striping 0 14,435 0 0 142-5020-50-71-3018 CONSTRUCTION Campanero, Descanso, Aventura 0 46,999 0 0 142-5020-50-71-3019 CONSTRUCTION HSIP Cycle 9-1 Dillion-Pierson 0 0 67,900 0 142-5020-50-71-3022 CONSTRUCTION Mountain View Resurfacing 0 577,800 0 0 142-5020-50-71-3031 CONSTRUCTION Pierson Blvd Resurfacing - LM to Indian 0 0 0 900,000 142-5020-50-71-4010 CONSTRUCTION Tedesco Park Street Upgrades 21,850 0 0 0 Total Expenditures 366,287 992,333 162,840 900,000
Revenues over Expenditures 245,524 -419,631 537,160 -200,000 Community Development Block Grant Fund
Revenues
145-3551-30-30-0000 GRANTS 290,000
145-3551-30-30-4002 GRANTS Reflection Park Rehab 0 291,000 291,000 0 145-3551-30-30-4015 GRANTS Wardman Park & Tedesco Park Restrooms 0 546,935 546,935 0 Total Revenues 290,000 837,935 837,935 0
Expenditures
145-5010-44-51-0000 DESIGN 0 0 0 0
145-5020-44-51-4002 CONSTRUCTION Reflection Park Rehab 0 291,000 291,000 0 145-5020-44-51-4015 CONSTRUCTION Wardman Park & Tedesco Park Restrooms 0 546,935 546,935 0 Total Expenditures 0 837,935 837,935 0
Revenues over Expenditures 290,000 0 0 0
AB2766 Air Quality Fund
Revenues
160-3401-00-00-0000 INVESTMENT EARNINGS 12 100 0 0
160-3525-00-00-0000 AB2766 REVENUE 38,430 38,900 38,500 38,500 Total Revenues 38,442 39,000 38,500 38,500

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Expenditures
160-4288-43-49-0000 PROGRAM EXPENSE 28,823 29,175 25,000 25,000 160-4320-43-49-0000 CONTRACT SERVICES 39,373 9,825 10,000 10,730 Total Expenditures 68,196 39,000 35,000 35,730
Revenues over Expenditures -29,754 0 3,500 2,770
Dept of Cannabis Compliance Fund
Revenues
165-3401-30-30-0000 INVESTMENT EARNINGS 244 2,412 0 0
165-3551-30-30-0000 GRANTS 657,613 0 0 0
Total Revenues 657,857 2,412 0 0
Expenditures
165-4320-41-12-0000 CONTRACT SERVICES 0 0 650,000 0
Revenues over Expenditures 657,857 2,412 -650,000 0
General Capital Improvement Fund
Revenues
210-3551-00-00-0000 GRANTS 265,859 278,502 0 0
210-3999-00-00-0000 TRANSFERS IN 0 164,021 0 0
210-3551-30-30-3000 GRANTS Palm Dr Improvements/Pierson-Mission Lakes 0 4,030,906 0 0 210-3551-30-30-3001 GRANTS Palm Dr Improvements/ I-10 - Camino Aventura 0 78,398 9,303,398 0 210-3551-30-30-3002 GRANTS CV Link DHS Extension Project 0 283,074 81,000 75,000 210-3551-30-30-3003 GRANTS ATP 4 Hacienda Ave West 0 0 1,848,000 0 210-3551-30-30-3004 GRANTS Changeable Message Signs - CVAG 0 650,000 0 0 210-3551-30-30-3014 GRANTS 8th Street Sidewalk - SB 821 0 300,000 340,000 0 210-3551-30-30-3019 GRANTS HSIP Cycle 9-1 Dillion-Pierson 0 206,300 289,064 0 210-3551-30-30-3021 GRANTS HSIP Cycle 9-3 Palm & 8th Street 0 159,570 0 0 210-3551-30-30-3027 GRANTS HSIP Cycle 11 Safety Improvements 0 0 64,170 496,980 210-3551-30-30-4000 GRANTS CLEAN GRANT 0 0 2,500,000 2,500,000 210-3551-30-30-6003 GRANTS Line C-1 Storm Drain 0 350,343 258,000 3,440,000 210-3551-30-30-9000 GRANTS Local Roadway Safety Plan 0 42,000 0 0 Total Revenues 265,859 6,543,114 14,683,632 6,511,980
Expenditures
210-5020-50-71-0000 CONSTRUCTION 113,127 0 0 0
210-5020-50-71-3000 CONSTRUCTION Palm Dr Improvements/Pierson-Mission Lakes 0 3,700,000 0 0 210-5020-50-71-3100 CONSTRUCTION Palm Dr Improvements/Pierson-Mission Lakes - SB821 0 330,906 0 0 210-5010-50-71-3001 DESIGN Palm Dr Improvements/ I-10 - Camino Aventura 0 112,378 78,398 0 210-5020-50-71-3001 CONSTRUCTION Palm Dr Improvements/ I-10 - Camino Aventura 0 0 9,225,000 0 210-5010-50-71-3002 DESIGN CV Link DHS Extension Project 0 283,074 81,000 75,000 210-5020-50-71-3003 CONSTRUCTION ATP 4 Hacienda Ave West 0 0 1,848,000 0 210-5020-50-71-3004 CONSTRUCTION Changeable Message Signs - CVAG 0 650,000 0 0 210-5020-50-71-3014 CONSTRUCTION 8th Street Sidewalk - SB 821 0 300,000 340,000 0 210-5020-50-71-3019 CONSTRUCTION HSIP Cycle 9-1 Dillion-Pierson 0 206,300 289,064 0 210-5020-50-71-3021 CONSTRUCTION HSIP Cycle 9-3 Palm & 8th Street 0 159,570 0 0 210-5010-50-71-3027 DESIGN HSIP Cycle 11 Safety Improvements 0 0 64,170 0 210-5020-50-71-3027 CONSTRUCTION HSIP Cycle 11 Safety Improvements 0 0 0 496,980 210-5010-50-72-6003 DESIGN Line C-1 Storm Drain 0 369,657 258,000 0 210-5020-50-72-6003 CONSTRUCTION Line C-1 Storm Drain 0 0 0 3,440,000 210-5020-50-73-4000 CONSTRUCTION Corp Yard Park CBDG 2018-19 0 0 2,500,000 2,500,000 210-5020-50-73-4013 CONSTRUCTION Musco Lighting - Wardman Park 0 260,497 0 0

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
210-5020-50-73-4014 CONSTRUCTION Musco Lighting - Mission Springs Park 0 439,503 0 0 Total Expenditures 113,127 6,811,885 14,683,632 6,511,980 Revenues over Expenditures 152,732 -268,771 0 0
Health & Wellness Fund
Revenues
211-3420-30-30-0000 RENTAL INCOME FEES 15,500 15,000 0 0 211-3724-30-30-0000 REIMBURSEMENTS 39,405 33,860 38,500 39,007 211-3764-30-30-0000 LITTLE LEAGUE REVENUE 50,000 60,000 20,000 20,000 211-3765-30-30-0000 SWIMMING FEES 7,106 7,000 8,000 8,000 211-3766-30-30-0000 RECREATION CENTER FEES 75,056 125,000 85,000 85,000 211-3999-30-30-0000 TRANSFERS IN 1,002,845 1,141,741 1,536,358 1,462,333 Total Revenues 1,189,912 1,382,601 1,687,858 1,614,340
Expenditures
Aquatic Center
211-4100-44-53-0000 SALARIES 39,874 49,744 33,000 33,000 211-4105-44-53-0000 OVERTIME / ON-CALL 19 0 100 100
211-4140-44-53-0000 EMPLOYEE BENEFITS 0 0 95 95
211-4160-44-53-0000 TAXES 3,052 3,806 2,525 2,525
211-4170-44-53-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 0 868 4,745 4,745 211-4200-44-53-0000 UTILITIES 103,057 82,000 117,432 120,955 Itemization FY2024 FY2025
Alarm Monitoring Services 429 429
General Utilities 117,003 120,526
117,432 120,955
211-4220-44-53-0000 OFFICE SUPPLIES 0 0 450 450
211-4230-44-53-0000 TRAVEL AND TRAINING 0 1,500 1,125 1,125 211-4251-44-53-0000 UNIFORMS 763 1,500 0 0
211-4266-44-53-0000 SUPPLIES & MAINTENANCE 38,402 46,000 24,030 24,130 Itemization FY2024 FY2025
First Aid Supplies 1,000 1,000
Lifeguard Uniforms and Supplies 1,000 1,000
Other Supplies 6,400 6,400
Pool Repairs-Extra Services 8,430 8,430
Restroom Supplies 2,000 2,000
Palm Tree Trimming 5,200 5,300
24,030 24,130
211-4284-44-53-0000 FEES & PERMITS 406 550 550 550
211-4320-44-53-0000 CONTRACT SERVICES 185,667 193,270 196,700 213,420 Itemization FY2024 FY2025
Deck Repairs 10,000 10,000
Janitorial Services 6,500 8,000
Landscape Services 2,000 2,000
Pool Maintenance 152,200 167,420
Plumbing Services 1,000 1,000
Swim Lessons 15,000 15,000
Other Services 10,000 10,000
196,700 213,420

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Total Aquatic Center 371,240 379,238 380,752 401,095
Recreation Center
211-4100-44-54-0000 SALARIES 349,826 361,055 577,216 577,216 211-4105-44-54-0000 OVERTIME / ON-CALL 155 0 500 500
211-4115-44-54-0000 ANNUAL LEAVE BUYOUT 318 0 500 500
211-4140-44-54-0000 EMPLOYEE BENEFITS 89,020 115,516 104,931 104,931 211-4150-44-54-0000 PERS RETIREMENT 25,895 30,430 40,935 40,935 211-4160-44-54-0000 TAXES 26,563 31,446 44,091 44,091
211-4170-44-54-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 33,543 59,110 82,879 82,879 211-4215-44-54-0000 PRINTING 0 500 0 0
211-4230-44-54-0000 TRAVEL AND TRAINING 0 0 1,500 1,875 211-4251-44-54-0000 UNIFORMS 0 1,500 1,875 1,500
211-4255-44-54-0000 FUEL 6,219 2,500 6,000 6,000
211-4260-44-54-0000 REPAIR & MAINTENANCE-VEHICLE 0 0 1,000 1,000 211-4266-44-54-0000 SUPPLIES & MAINTENANCE 18,028 28,312 36,960 36,260 Itemization FY2024 FY2025
Copier-Valley Office Equipment 1,000 1,000
Equipment Repairs 5,000 5,000
First Aid Supplies 500 500
Other Supplies 1,000 1,000
Programming/Activity Supplies 1,500 1,500
Public Works as Needed 5,380 5,380
Restroom Supplies 6,500 6,500
School Supplies 7,690 7,690
Snacks 7,690 7,690
Water Cooler (bottleless) 700 0
36,960 36,260
211-4284-44-54-0000 FEES & PERMITS 1,235 1,210 1,210 1,210 211-4293-44-54-0000 PROGRAM EXPENSES-LITTLE LEAGUE 16,948 70,000 75,000 75,000 211-4294-44-54-0000 PROGRAM EXPENSE-BASKETBALL 0 0 2,500 2,500 211-4320-44-54-0000 CONTRACT SERVICES 1,382 80,122 90,951 98,017 Itemization FY2024 FY2025
Instructor Fees 2,500 2,500
Janitorial Services 69,651 76,617
Plumbing Services 2,500 2,500
Public Works Repairs 10,000 10,000
Recreation Management Software Annual Subscription 6,300 6,400 90,951 98,017
Total Recreation Center 569,132 781,701 1,068,049 1,074,415 Health Center
211-4200-44-55-0000 UTILITIES 32,592 29,000 33,471 33,471 Itemization FY2024 FY2025
Alarm Monitoring Services 305 305
Fire Alarm Monitoring Services 166 166
General Utilities 33,000 33,000
33,471 33,471

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
211-4266-44-55-0000 SUPPLIES & MAINTENANCE 483 0 0 0
211-4320-44-55-0000 CONTRACT SERVICES 5,813 5,270 5,379 5,536 Itemization FY2024 FY2025
Fire Extinguisher Inspections 162 162
Landscaping Services 5,217 5,374
5,379 5,536
Total Health Center 38,888 34,270 38,850 39,007
Health & Wellness Building
211-4200-44-56-0000 UTILITIES 72,595 60,000 65,949 65,949 Itemization FY2024 FY2025
Alarm Monitoring Services 609 609
Fire Alarm Monitoring Services 340 340
General Utilities 65,000 65,000
65,949 65,949
211-4220-44-56-0000 OFFICE SUPPLIES 0 0 900 900
211-4260-44-56-0000 REPAIR & MAINTENANCE-VEHICLE 950 951 211-4266-44-56-0000 SUPPLIES & MAINTENANCE 44,010 40,014 17,532 16,832 Itemization FY2024 FY2025
Air Conditioning Supplies 3,000 3,000
Equipment Maintenance (Fitness Center/Studios) 1,400 1,400 Plumbing Supplies 3,000 3,000
Public Works Repairs as Needed 3,432 3,432
Restroom Supplies (Fitness Center/Studios) 5,000 5,000
Supplies (Fitness Center/Studios) 1,000 1,000
Water Cooler (bottleless) 700 0
17,532 16,832
211-4275-44-56-0000 INSURANCE PREMIUMS 0 9,000 0 0
211-4320-44-56-0000 CONTRACT SERVICES 90,911 95,676 25,826 26,142 Itemization FY2024 FY2025
Air Conditioning Serivces 9,300 9,300
Fire Extinguisher Inspection 323 323
Landscape Services 10,523 10,839
Pest Control Services 1,920 1,920
Plumbing Services 3,500 3,500
Security Camera Maintenance 260 260
25,826 26,142
211-5030-44-56-0000 EQUIPMENT 0 0 100,000 0
Total Health & Wellness Building 208,466 205,641 210,207 109,823 Total Expenditures 1,187,726 1,400,850 1,697,858 1,624,340 Revenues over Expenditures 2,186 -18,249 -10,000 -10,000 Public Facilities Capital Improvement Fund
Revenues
222-3999-30-30-0000 TRANSFERS IN 520,199 0 14,631,637 0 Expenditures

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
222-4320-50-42-7000 CONTRACT SERVICES Carl May Center Improvements 0 7,513 0 0 222-5020-50-42-7000 CONSTRUCTION Carl May Center Improvements 0 239,519 0 0 222-4320-50-42-8002 CONTRACT SERVICES PD Building & Site Improvement 13,121 58,968 26,053 0 222-5015-50-42-8002 ENGINEERING PD Building & Site Improvement 0 45,740 12,074 0 222-5020-50-42-8002 CONSTRUCTION PD Building & Site Improvement 1,423 759,267 551,973 0 222-5025-50-42-8002 FURNITURE & FIXTURES PD Building & Site Improvement 0 166,555 0 0 222-5030-50-42-8002 EQUIPMENT PD Building & Site Improvement 1,794 223,535 148,280 0 222-4320-50-42-8003 CONTRACT SERVICES PD Annex Building Construction 14,621 43,932 61,053 0 222-5010-50-42-8003 DESIGN PD Annex Building Construction 215,024 168,500 0 0 222-5015-50-42-8003 ENGINEERING PD Annex Building Construction 0 368,505 115,385 0 222-5020-50-42-8003 CONSTRUCTION PD Annex Building Construction 0 5,231,733 5,903,621 0 222-5025-50-42-8003 FURNITURE & FIXTURES PD Annex Building Construction 0 168,500 155,402 0 222-5030-50-42-8003 EQUIPMENT PD Annex Building Construction 3,387 0 0 0 222-4320-50-42-8004 CONTRACT SERVICES Fire Station 98 Construction 3,500 11,000 27,053 0 222-5010-50-42-8004 DESIGN Fire Station 98 Construction 211,286 250,846 0 0 222-5015-50-42-8004 ENGINEERING Fire Station 98 Construction 0 449,327 120,683 0 222-5020-50-42-8004 CONSTRUCTION Fire Station 98 Construction 0 6,149,465 6,345,965 0 222-5030-50-42-8004 EQUIPMENT Fire Station 98 Construction 0 108,200 108,200 0 222-4320-50-42-8005 CONTRACT SERVICES Fire Station 37 Building & Site Improvements 14,621 22,329 15,000 0 222-5010-50-42-8005 DESIGN Fire Station 37 Building & Site Improvements 116,725 58,166 0 0 222-5015-50-42-8005 ENGINEERING Fire Station 37 Building & Site Improvements 0 174,890 54,713 0 222-5020-50-42-8005 CONSTRUCTION Fire Station 37 Building & Site Improvements 0 809,690 869,690 0 222-5030-50-42-8005 EQUIPMENT Fire Station 37 Building & Site Improvements 1,794 119,161 116,492 0 Total Expenditures 597,296 15,635,341 14,631,637 0
Revenues over Expenditures -77,097 -15,635,341 0 0
American Recovery Act Funds
Revenues
230-3401-30-30-0000 INVESTMENT EARNINGS 137 12,189 0 0
230-3551-30-30-0000 GRANTS 3,454,116 3,454,116 0 0
Total Revenues 3,454,253 3,466,305 0 0
Expenditures
230-4288-41-19-0000 PROGRAM EXPENSE 0 300,000 285,000 0 230-4401-41-19-0000 INVESTMENT LOSS 18,720 0
230-4999-41-19-0000 TRANSFERS OUT 1,923,796 0 0 0
230-5002-41-19-0000 LAND ACQUISITION 0 575,000
230-5020-50-71-3003 CONSTRUCTION ATP 4 Hacienda Ave West 0 0 2,000,000 0 230-5035-41-19-0000 VEHICLES QUINT for Fire Station 98 0 0 2,000,000 0 Total Expenditures 1,942,516 875,000 4,285,000 0
Revenues over Expenditures 1,511,737 2,591,305 -4,285,000 0 Abandoned Vehicle Abatement Fund
Revenues
233-3310-00-00-0000 ABANDONED VEHICLE ABATEMENTS 114,802 40,000 51,050 51,050 233-3401-30-30-0000 INVESTMENT EARNINGS 77 100 0 0
Total Revenues 114,879 40,100 51,050 51,050
Expenditures
233-4200-42-23-0000 UTILITIES 0 500 550 550
233-4251-42-23-0000 UNIFORMS 0 1,000 1,000 1,000
233-4255-42-23-0000 FUEL 562 1,000 1,000 1,000
233-4260-42-23-0000 REPAIR & MAINTENANCE-VEHICLE 0 2,500 2,500 2,500

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
233-4288-42-23-0000 PROGRAM EXPENSE 514 0 10,000 10,000 233-4320-42-23-0000 CONTRACT SERVICES 22,253 35,000 35,000 35,000 233-4215-42-24-0000 PRINTING 0 0 500 500
233-4220-42-24-0000 OFFICE SUPPLIES 0 0 500 500
Total Expenditures 23,329 40,000 51,050 51,050
Revenues over Expenditures 91,550 100 0 0
Public Safety Fund
Revenues
245-3113-00-00-0000 PARCEL TAX FOR PUBLIC SAFETY 2,627,162 3,047,676 2,865,000 2,949,450 245-3116-00-00-0000 POLICE FEES 2,733 2,500 3,000 3,000 245-3120-00-00-0000 SALES TAX PROP 172 - 1/2 CENT PS 201,985 221,618 278,566 285,423 245-3121-00-00-0000 LIVE SCAN FEES 800 1,000 1,000 1,000 245-3202-00-00-0000 ANIMAL LICENSES 15,475 16,000 16,000 17,000 245-3203-00-00-0000 ANIMAL IMPOUND FEES 3,651 6,000 3,500 3,500 245-3204-00-00-0000 ANIMAL CITATIONS 2,730 500 5,000 5,000 245-3205-00-00-0000 UTILITY USERS TAX 2,488,571 2,745,959 2,900,000 2,985,500 245-3301-00-00-0000 SUPERIOR COURT TRAFFIC FINES 30,784 31,000 31,000 31,930 245-3302-00-00-0000 CRIMINAL CODE FINES 2,427 2,500 2,500 2,500 245-3303-00-00-0000 PARKING CITATIONS 22,578 25,000 23,000 23,000 245-3304-00-00-0000 DUI CITATIONS 3,738 20,000 4,000 4,000 245-3305-00-00-0000 VEHICLE IMPOUND FEES 26,670 30,000 40,000 40,000 245-3306-00-00-0000 FALSE ALARM CALL FEES 1,080 1,500 1,100 1,100 245-3307-00-00-0000 ALARM PERMIT FEES 999 1,000 1,000 1,000 245-3308-00-00-0000 ADMINISTRATIVE CITATIONS 305,030 250,000 350,000 350,000 245-3311-00-00-0000 TRAFFIC CITATION SIGN-OFF FEES 2,745 5,000 3,000 3,000 245-3551-00-00-0000 GRANTS 27,171 226,094 0 0
245-3716-30-30-0000 DONATIONS - ANIMAL CONTROL 3,439 4,000 0 0 245-3724-00-00-0000 REIMBURSEMENTS 1,822 25,000 5,000 5,000 245-3725-00-00-0000 SCHOOL RESOURCE OFFICER REIMBURSEMENT 44,894 120,000 120,000 120,000 245-3726-00-00-0000 INSURANCE RECOVERIES 270,559 160,000 100,000 100,000 245-3727-00-00-0000 POST REIMBURSEMENT 17,571 5,000 20,000 20,000 245-3733-00-00-0000 PRCSAT REIMBURSEMENT 14,327 50,000 15,000 15,000 245-3795-00-00-0000 MISCELLANEOUS REVENUE 53,057 50,000 50,000 50,000 245-3999-00-00-0000 TRANSFERS IN 2,002,532 150,200 150,000 150,000 245-3551-30-30-8007 GRANTS JAG FY 2021 0 18,717 0 0
245-3551-30-30-8008 GRANTS OTS PT22017 Grant 48,125 10,003 0 0 245-3551-30-30-8009 GRANTS FY 21 SHSP 0 83,694 0 0
245-3551-30-30-8010 GRANTS OTS PT23101 Grant 0 97,347 0 0 245-3551-30-30-8011 GRANTS NATIONAL OPIOID SETTLEMENT GRANT 0 29,675 0 0 245-3551-30-30-8013 GRANTS STATE HOMELAND SECURITY GRANT FY22 0 0 60,000 0 245-3551-30-30-8014 GRANTS OTS GRANT FY23-24 0 0 130,000 0 245-3551-30-30-8015 GRANTS OTS GRANT FY24-25 0 0 0 130,000 245-3551-30-30-8016 GRANTS 2022 JUSTICE ASSISTANCE GRANT 0 0 18,000 0 245-3551-30-30-8017 GRANTS 2023 JUSTICE ASSISTANCE GRANT 0 0 0 18,000 Total Revenues 8,222,655 7,436,983 7,195,666 7,314,403
Expenditures
Patrol & Field
245-4100-42-23-0000 SALARIES 3,986,804 4,455,377 4,517,219 4,517,219 245-4101-42-23-0000 SALARIES-ELECTEDS/APPOINTED 2,700 5,400 2,700 2,700

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
245-4105-42-23-0000 OVERTIME / ON-CALL 465,214 450,000 550,000 550,000 245-4110-42-23-0000 COMP TIME BUYOUT 556,379 500,000 300,000 300,000 245-4115-42-23-0000 ANNUAL LEAVE BUYOUT 98,099 26,000 100,000 100,000 245-4120-42-23-0000 PART-TIME 48,638 70,752 53,825 53,825 245-4140-42-23-0000 EMPLOYEE BENEFITS 463,571 686,898 687,898 687,898 245-4150-42-23-0000 PERS RETIREMENT 573,017 735,528 691,539 691,539 245-4156-42-23-0000 PERS UNFUNDED LIABILITY - SAFETY 823,244 918,395 883,288 886,000 245-4160-42-23-0000 TAXES 348,536 338,349 330,832 330,832 245-4170-42-23-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 539,024 655,063 649,576 649,576 245-4200-42-23-0000 UTILITIES 116,635 143,187 141,616 141,616 Itemization FY2024 FY2025
AIRCARDS 21,000 21,000
ALARM MONITORING 1,716 1,716
ELECTRICITY 36,000 36,000
FIRE ALARM MONITORING 500 500
INTERNET SERVICE 22,000 22,000
MOBILE COMMUNICATIONS SERVICE 24,000 24,000
T1 LINE 6,300 6,300
WATER 24,000 24,000
CABLE SERVICES 5,000 5,000
YUBIKEY TOKENS 1,100 1,100
141,616 141,616
245-4210-42-23-0000 ADVERTISING 100 2,000 2,000 2,000
245-4215-42-23-0000 PRINTING 2,526 10,000 10,000 10,000 245-4220-42-23-0000 OFFICE SUPPLIES 13,817 19,000 15,300 15,300 245-4225-42-23-0000 POSTAGE 8,847 9,000 9,000 9,000
245-4230-42-23-0000 TRAVEL AND TRAINING 75,307 61,000 45,750 45,750 Itemization FY2024 FY2025
CALIFORNIA PEACE OFFICERS ASSOCIATION 1,200 1,200
CALIFORNIA STATE UNIVERSITY LONG BEACH 1,000 1,000
EVENTS 1,100 1,100
LAW ENFORCEMENT CRISIS MANAGEMENT TRAINING 4,000 4,000
LAW ENFORCEMENT TEAM BUILDING AND LEADERSHIP 1,500 1,500 LAW ENFORCEMENT TITLE 15 TRAINING 3,000 3,000
LODGING 7,000 7,000
NATIONAL TRAINING CONCEPTS 1,500 1,500
PERISHABLE SKILLS 9,000 9,000
PER DIEM 2,000 2,000
POLICE RECORDS MANAGEMENT 1,000 1,000
RIVERSIDE COMMUNITY COLLEGE DISTRICT 450 450
RIVERSIDE COUNTY SHERIFFS DEPARTMENT 5,000 5,000
SAN BERNARDINO COUNTY SHERIFFS DEPARTMENT 3,000 3,000
SHERMAN BLOCK SUPERVISORY INSTITUTE 5,000 5,000
45,750 45,750
245-4235-42-23-0000 DUES AND SUBSCRIPTIONS 14,962 17,000 16,700 16,700 Itemization FY2024 FY2025
ASSOCIATION OF RIVERSIDE COUNTY CHIEFS OF POLICE 236 236

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
CALIFORNIA ASSOCIATION OF PROPERTY AND EVIDENCE 50 50
CALIFORNIA PEACE OFFICERS ASSOCIATION 1,350 1,350
CALIFORNIA PEACE OFFICERS LEGAL SOURCEBOOK 840 840
CALIFORNIA POLICE CHIEFS ASSOCIATION 980 980
CELLULAR ENGINEERING SOFTWARE 2,495 2,495
FIREARMS RANGE MEMBERSHIP 2,200 2,200
INTERNATIONAL ASSOCIATION CHIEFS OF POLICE 799 799
LAW ENFORCEMENT DATA SOLUTIONS 2,600 2,600
OTHER MEMBERSHIPS 980 980
PUBLIC SAFETY SOFTWARE GROUP 770 770
RIVERSIDE COUNTY LAW ENFORCEMENT ADMINISTRATORS ASSOCIATION 200 200 SOUTHERN CALIFORNIA FORCE INSTRUCTORS ASSOCIATION 300 300 TRANSUNION 1,300 1,300
TWO FACTOR AUTHENTICATION 1,600 1,600
16,700 16,700
245-4250-42-23-0000 UNIFORM ALLOWANCE 50,825 69,400 68,025 68,025 245-4251-42-23-0000 UNIFORMS 10,670 20,000 20,000 20,000 245-4255-42-23-0000 FUEL 162,324 105,000 105,000 105,000 245-4260-42-23-0000 REPAIR & MAINTENANCE-VEHICLE 143,022 130,000 130,000 130,000 245-4266-42-23-0000 SUPPLIES & MAINTENANCE 196,174 241,500 194,960 204,800 Itemization FY2024 FY2025
AED PAD REPLACEMENTS 0 5,300
AMMUNITION 5,500 7,250
BODY WORN CAMERAS 30,500 30,500
BULLET PROOF VESTS 6,000 8,000
COPIER SERVICE 6,500 6,500
CRIME SCENE INVESTIGATION CAMERAS 400 400
CRIME SCENE INVESTIGATION SUPPLIES 500 500
EMERGENCY BLANKETS 650 650
FIREARMS 0 1,000
FIRE EXTINGUISHER REPAIRS 1,000 1,000
FIRST AID KIT 1,300 1,300
IN CAR CAMERAS 34,500 34,500
JANITORIAL SUPPLIES 2,000 2,000
KEYS AND LOCKS 500 500
LESS LETHAL 1,100 1,000
NITRILE GLOVES 2,110 2,000
GAS MASKS AND FILTERS 800 800
HELMETS 600 600
OFFICER SMALL EQUIPMENT 1,000 1,000
PEST CONTROL SERVICES 1,200 1,200
RADAR CALIBRATION AND REPAIR 1,300 1,300
RADIO BATTERIES 600 600
RADIO CHARGERS 800 800
REMOTE SPEAKERS AND EARPIECES 300 300
REPLACEMENT FLAGS 300 300
TASERS 24,000 24,000
TRAFFIC ACCIDENT SUPPLIES AND EQUIPMENT 500 500

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
TWO WAY RADIOS 6,000 6,000
FLOCK CAMERAS 65,000 65,000
194,960 204,800
245-4284-42-23-0000 FEES & PERMITS 1,167 1,100 1,200 1,200 245-4288-42-23-0000 PROGRAM EXPENSE 40,670 30,802 0 0
245-4315-42-23-0000 LEGAL 0 0 20,000 20,000
245-4320-42-23-0000 CONTRACT SERVICES 2,316,602 1,055,006 959,660 480,838 Itemization FY2024 FY2025
ADVANCED AUTHENTICATION SERVER 1,500 1,500
AGENCY TRACKING PROGRAM 3,000 3,000
ALCOHOL, BLOOD, AND DRUG ANALYSIS 26,000 26,000
BACKGROUND INVESTIGATIONS 15,000 15,000
BLOOD DRAW STANDBY FEES 15,000 15,000
BODY CAMERA EVIDENCE STORAGE 7,776 7,776
CALIFORNIA LAW ENFORCEMENT TELECOMMUNICATION SYSTEM LINE 9,003 9,003 CARPET CLEANING 1,500 1,500
COUNTY OF RIVERSIDE JAIL ACCESS SERVICES 15,000 15,000
CRIME SCENE CLEANUP 15,000 15,000
ALLIANCE MAINTENANCE AND SUPPORT 16,821 16,821
DRONE SOFTWARE 500 500
EAST POST-RELEASE ACCOUNTABILITY AND COMPLIANCE TEAM 2,000 2,000 EASTERN RIVERSIDE COUNTY INTEROPERABLE COMMUNICATIONS AUTHORITY 353,822 0 E-CITATION SOFTWARE 1,900 1,900
ELECTRICAL SERVICES 3,000 3,000
EMPLOYEE PSYCHOLOGICAL EXAMS 4,000 4,000
FINGERPRINTING SERVICES 3,000 3,000
FIRST AID 10,000 10,000
GENERATOR SERVICES 7,600 7,600
GRAFFITI REMOVAL 90,000 90,000
IN VEHICLE CAMERA SOFTWARE 4,000 4,000
JAIL INSPECTIONS 1,400 1,400
JANITORIAL SERVICES 23,688 23,688
K9 INSURANCE 700 700
MEDICAL AND YOUTH EXAMS 25,000 25,000
NETWORK MONITORING 1,500 1,500
OFFICER MEDICAL AND PHYSICAL EXAMS 10,000 10,000
OTHER SERVICES 10,000 10,000
PARKING CITATION PROCESSING 6,000 6,000
PLUMBING SERVICES 5,000 5,000
POLICE DEPARTMENT COUNSELING SERVICES 10,000 10,000
POLICE DEPARTMENT DATABASE 2,450 2,450
POLICE DEPARTMENT INVESTIGATIONS 15,000 15,000
POLICE OFFICERS ASSOCIATION CONSULTING SERVICES 1,000 1,000 POLIGRAPHER 6,000 6,000
PREPARATION OF STATE MANDATED COSTS REIMBURSEMENTS 3,800 3,800 PROPERTY AND EVIDENCE SOFTWARE 8,400 8,400
PROPERTY TAX ADMINISTRATION 18,000 18,000
RECERTIFY RADAR AND LIDAR 2,200 2,200

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
RECORDS MANAGEMENT SOFTWARE 1,800 1,800
EMPLOYEE RECRUITMENT 125,000 0
RIPA SOFTWARE 6,800 6,800
RIVERSIDE SHERIFF CALIFORNIA IDENTIFICATION SOFTWARE 30,000 30,000 SHREDDING SERVICES 1,700 1,700
TRAINING SOFTWARE 3,500 3,500
VEHICLE AND HAND HELD RADIO SERVICES 5,000 5,000
WELLNESS APP 6,900 6,900
WETIP 1,200 1,200
FTO SOFTWARE 3,200 3,200
DETECTIVE OPERATIONS 16,000 16,000
SCHEDULING SOFTWARE 3,000 3,000
959,660 480,838
245-4999-42-23-0000 TRANSFERS OUT 193,348 193,348 193,348 193,348 245-5030-42-23-0000 EQUIPMENT 498,387 0 0 0
245-5035-42-23-0000 VEHICLES 84,547 271,000 0 0
245-4288-42-23-8007 PROGRAM EXPENSE JAG FY 2021 0 18,737 0 0 245-4288-42-23-8008 PROGRAM EXPENSE OTS PT22017 Grant 6,439 598 0 0 245-4288-42-23-8009 PROGRAM EXPENSE FY 21 SHSP 0 83,694 0 0 245-4288-42-23-8010 PROGRAM EXPENSE OTS PT23101 Grant 0 97,347 0 0 245-4288-42-23-8011 PROGRAM EXPENSE NATIONAL OPIOID SETTLEMENT GRANT 0 0 22,786 22,786 245-4288-42-23-8012 PROGRAM EXPENSE OFFICER WELLNESS GRANT 0 0 25,000 0 245-4288-42-23-8013 PROGRAM EXPENSE STATE HOMELAND SECURITY GRANT FY22 0 0 60,000 0 245-4288-42-23-8014 PROGRAM EXPENSE OTS GRANT FY23-24 0 0 133,265 0 245-4288-42-23-8015 PROGRAM EXPENSE OTS GRANT FY24-25 0 0 0 133,265 245-4288-42-23-8016 PROGRAM EXPENSE 2022 JUSTICE ASSISTANCE GRANT 0 0 18,000 0 245-4288-42-23-8017 PROGRAM EXPENSE 2023 JUSTICE ASSISTANCE GRANT 0 0 0 18,000 Total Patrol & Field 11,841,595 11,420,481 10,958,488 10,407,218 Code Compliance
245-4100-42-24-0000 SALARIES 425,029 575,122 570,224 570,224 245-4105-42-24-0000 OVERTIME / ON-CALL 35,024 42,000 50,000 50,000 245-4110-42-24-0000 COMP TIME BUYOUT 0 1,000 3,000 3,000 245-4115-42-24-0000 ANNUAL LEAVE BUYOUT 2,124 15,700 10,000 10,000 245-4140-42-24-0000 EMPLOYEE BENEFITS 117,170 150,290 172,406 172,406 245-4150-42-24-0000 PERS RETIREMENT 29,954 43,652 45,488 45,488 245-4160-42-24-0000 TAXES 34,088 43,997 43,622 43,622
245-4170-42-24-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 51,482 72,703 81,998 81,998 245-4200-42-24-0000 UTILITIES 0 0 20,000 20,000
245-4215-42-24-0000 PRINTING 1,725 5,900 6,000 6,000
245-4220-42-24-0000 OFFICE SUPPLIES 4,111 6,500 5,580 5,580 Itemization FY2024 FY2025
AMAZON 2,000 2,000
STAPLES 2,380 2,380
ID CARD SUPPLIES 1,200 1,200
5,580 5,580
245-4225-42-24-0000 POSTAGE 0 2,000 4,500 4,500
245-4230-42-24-0000 TRAVEL AND TRAINING 4,338 12,500 11,250 11,250

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
Itemization FY2024 FY2025
CALIFORNIA ASSOC OF CODE ENFORCEMENT OFFICERS CONFERENCES 3,500 3,500 PC 832 TRAINING 500 500
PER DIEM 1,250 1,250
LODGING/TRAVEL/AIRFARE 3,000 3,000
CONTINUING EDUCATION - CODE OFFICERS 3,000 3,000
11,250 11,250
245-4235-42-24-0000 DUES AND SUBSCRIPTIONS 680 1,000 2,500 0 245-4250-42-24-0000 UNIFORM ALLOWANCE 1,000 3,500 1,100 1,100 245-4251-42-24-0000 UNIFORMS 2,794 6,500 6,000 6,000
Itemization FY2024 FY2025
CONTRACT OFFICER UNIFORM EXPENSE - Limited to embroidered polos, and a hat. 1,000 1,000 NEW OFFICER UNIFORM OUTFITTING (INCLUDES INITIAL BOOT PURCHASE OC SPRAY, BELT, HATS, JACKET 1,300 1,300 ANNUAL ISSUED UNIFORM EXPENSE - EXISTING OFFICER (DOES NOT INCLUDE BOOT ALLOWANCE 3,700 3,700 6,000 6,000
245-4255-42-24-0000 FUEL 9,536 14,000 19,999 35,000
Itemization FY2024 FY2025
NATURAL GAS 5,000 20,000
FUEL 14,999 15,000
19,999 35,000
245-4260-42-24-0000 REPAIR & MAINTENANCE-VEHICLE 3,720 34,000 10,000 10,000 Itemization FY2024 FY2025
PALM SPRINGS MOTORS 1,500 1,500
PALM SPRINGS HYUNDAI 1,500 1,500
PARKHOUSE TIRES 7,000 7,000
10,000 10,000
245-4266-42-24-0000 SUPPLIES & MAINTENANCE 17,021 17,825 4,000 4,000 Itemization FY2024 FY2025
SAFETY EQUIPMENT / PPE LATEX GLOVES/ MASKS 800 800
DEPARTMENTAL HOSTED EVENTS 900 900
FIRE EXTINGUISHER MAINTENANCE (CODE VEHICLES) 300 300
FIRST AID KITS (CODE OFFICER VEHICLES) 1,000 1,000
VEHICLE OUTFITTING / ERGONOMICS/WORKSTATIONS 1,000 1,000 4,000 4,000
245-4319-42-24-0000 CANNABIS COMPLIANCE CONTRACT SERVICES 165,600 165,600 218,000 218,000 245-4320-42-24-0000 CONTRACT SERVICES 235,978 2,861,877 692,240 692,240 Itemization FY2024 FY2025
WILLDAN VACATION RENTAL OFFICERS 110,000 110,000
CONTRACT CODE OFFICERS (NON-AVA) 58,240 58,240
WILLDAN CODE COMPLIANCE OFFICERS 340,000 340,000
ABATEMENT SERVICES 60,000 60,000
ASBESTOS ABATEMENT AND TESTING 2,000 2,000
CITATION PROCESSING SERVICES 9,000 9,000
DEMOLITION SERVICES 100,000 100,000

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
LITIGATION GUARANTEE SERVICES 6,000 6,000
PROPERTY TAX ADMINISTRATION 7,000 7,000
692,240 692,240
245-4322-42-24-0000 ABATEMENT EXPENSE 0 60,000 0 0
Total Code Compliance 1,141,374 4,135,666 1,977,908 1,990,409 Animal Control
245-4100-42-26-0000 SALARIES 198,748 167,958 315,139 356,398 245-4105-42-26-0000 OVERTIME / ON-CALL 36,082 25,000 25,000 25,000 245-4110-42-26-0000 COMP TIME BUYOUT 0 2,000 0 0
245-4115-42-26-0000 ANNUAL LEAVE BUYOUT 0 7,000 7,000 7,000 245-4140-42-26-0000 EMPLOYEE BENEFITS 38,607 29,461 96,891 96,891 245-4150-42-26-0000 PERS RETIREMENT 15,017 21,118 26,088 26,088 245-4160-42-26-0000 TAXES 18,052 17,499 24,108 24,108
245-4170-42-26-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 35,632 38,532 45,317 45,317 245-4200-42-26-0000 UTILITIES 0 0 12,000 12,000
245-4215-42-26-0000 PRINTING 138 2,000 1,000 1,000
245-4220-42-26-0000 OFFICE SUPPLIES 505 1,200 1,080 1,080 245-4230-42-26-0000 TRAVEL AND TRAINING 525 2,700 2,025 2,025 Itemization FY2024 FY2025
ANIMAL CARE CONFERENCE 425 425
COUNTY OF RIVERSIDE 400 400
LODGING 600 600
PER DEIM 300 300
WESTERN ASSOCIATION OF VETERINARIANS CONFERENCE 300 300 2,025 2,025
245-4235-42-26-0000 DUES AND SUBSCRIPTIONS 100 600 600 600 Itemization FY2024 FY2025
CALIFORNIA ANIMAL WELFARE ASSOCIATION 100 100
STATE HUMANE ASSOCIATION OF CALIFORNIA 500 500
600 600
245-4250-42-26-0000 UNIFORM ALLOWANCE 6,125 5,900 8,951 8,950 245-4251-42-26-0000 UNIFORMS 1,674 5,400 3,000 3,000
245-4255-42-26-0000 FUEL 9,070 7,000 6,000 6,000
245-4260-42-26-0000 REPAIR & MAINTENANCE-VEHICLE 5,899 10,100 5,500 5,500 245-4266-42-26-0000 SUPPLIES & MAINTENANCE 32,457 64,500 75,000 75,000 Itemization FY2024 FY2025
BUILDING MAINTENANCE 3,000 3,000
FIRE EXTINGUISHER MAINTENANCE 600 600
FIRST AID KIT 1,200 1,200
JANITORIAL SUPPLIES 2,100 2,100
KENNEL CLEANING SUPPLIES 13,000 13,000
MICROCHIPS 2,800 2,800
MISCELLANEOUS PET SUPPLIES 5,000 5,000
PEST CONTROL MAINTENANCE 600 600
SAFETY EQUIPMENT 500 500
SHELTER FOOD 40,000 40,000
VACCINES 3,000 3,000

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
TWO WAY RADIOS 2,200 2,200
BULLET PROOF VESTS 1,000 1,000
75,000 75,000
245-4320-42-26-0000 CONTRACT SERVICES 113,975 219,329 241,600 241,600 Itemization FY2024 FY2025
ALARM MONITORING SERVICES 600 600
BACKGROUND INVESTIGATIONS 3,000 3,000
CITATION PROCESSING SERVICES 2,400 2,400
CLEANING SERVICES 3,000 3,000
CREMATION SERVICES 9,000 9,000
ELECTRICAL SERVICES 1,500 1,500
EMERGENCY VETERINARIAN SERVICES 10,000 10,000
OFFICER FIRST AID 2,000 2,000
OTHER SERVICES 2,000 2,000
PET ADOPTIONS 15,000 15,000
PHYSICALS 2,000 2,000
POLIGRAPHER 6,000 6,000
PLUMBING SERVICES 1,500 1,500
SATELLITE SERVICES 600 600
SHELTERING SERVICES 36,000 36,000
SPAY AND NEUTER CLINIC 9,000 9,000
ANIMAL CONTROL TEMP SERVICES 110,000 110,000
VETERINARIAN SERVICES 25,000 25,000
VOUCHER PROGRAM 3,000 3,000
241,600 241,600
245-5035-42-26-0000 VEHICLES 14,773 0 0 0
Total Animal Control 527,379 627,298 896,299 937,557
Dispatch Center
245-4100-42-29-0000 SALARIES 85,583 804,793 927,860 927,860 245-4105-42-29-0000 OVERTIME / ON-CALL 0 80,000 75,000 75,000 245-4140-42-29-0000 EMPLOYEE BENEFITS 10,598 267,352 192,404 192,404 245-4150-42-29-0000 PERS RETIREMENT 7,152 80,660 75,192 75,192 245-4160-42-29-0000 TAXES 6,331 75,908 70,981 70,981
245-4170-42-29-0000 WORKERS COMP/GENERAL LIABILITY INSURANCE 63,523 142,687 133,426 133,426 245-4200-42-29-0000 UTILITIES 0 16,000 41,000 41,000
Itemization FY2024 FY2025
INTERNET SERVICES 8,000 8,000
ETHERNET 33,000 33,000
41,000 41,000
245-4215-42-29-0000 PRINTING 0 1,000 1,000 1,000
245-4220-42-29-0000 OFFICE SUPPLIES 0 7,000 4,500 4,500 245-4230-42-29-0000 TRAVEL AND TRAINING 1,604 8,000 6,000 6,000 Itemization FY2024 FY2025
RIVERSIDE SHERIFFS DEPARTMENT 2,500 2,500
LODGING 1,000 1,000
PER DIEM 1,500 1,500

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
WEBINARS 1,000 1,000
6,000 6,000
245-4235-42-29-0000 DUES AND SUBSCRIPTIONS 0 2,000 1,000 1,000 245-4250-42-29-0000 UNIFORM ALLOWANCE 0 0 1,800 1,800
245-4251-42-29-0000 UNIFORMS 2,045 8,000 8,000 8,000
245-4266-42-29-0000 SUPPLIES & MAINTENANCE 207 24,000 11,200 11,200 Itemization FY2024 FY2025
COPIER SERVICE 3,000 3,000
JANITORIAL SUPPLIES 1,500 1,500
OTHER ITEMS/SMALL EQUIPMENT 3,700 3,700
HEADSETS 3,000 3,000
11,200 11,200
245-4320-42-29-0000 CONTRACT SERVICES 61,082 419,154 275,393 343,530 Itemization FY2024 FY2025
OTHER SERVICES 10,000 10,000
BACKGROUNG INVESTIGATIONS/CONSULTANT 7,500 7,500
EMPLOYEE PHYSICALS 3,500 3,500
PSYCHOLOGICAL EXAMS 3,600 3,600
PSEC 197,407 263,209
MOTOROLA SERVICES 46,686 49,021
LANGUAGE SERVICES 2,000 2,000
POLIGRAPHER 2,700 2,700
JANITORIAL SERVICES 2,000 2,000
275,393 343,530
245-5020-42-29-0000 CONSTRUCTION 184,906 10,362 0 0
245-5030-42-29-0000 EQUIPMENT 724,516 106,647 0 0
Total Dispatch Center 1,147,547 2,053,562 1,824,757 1,892,894 Fire Services
245-4200-42-31-0000 UTILITIES 41,052 37,000 42,000 42,000 245-4215-42-31-0000 PRINTING 0 200 0 0
245-4255-42-31-0000 FUEL 381 1,000 500 500
245-4260-42-31-0000 REPAIR & MAINTENANCE-VEHICLE 1,578 1,500 0 0 245-4266-42-31-0000 SUPPLIES & MAINTENANCE 79,893 70,000 23,900 25,100 Itemization FY2024 FY2025
Air Conditioning Services/Supplies 1,000 1,500
Appliance Replacement and Repairs 2,000 2,500
Backflow Repairs 1,500 1,500
Fire Extinguisher Maintenance/Repairs 2,500 2,500
Garage Door Repairs 6,000 6,000
General Supplies 4,500 4,500
Landscape Extra Services 2,000 2,000
Plymovent Repairs 1,500 1,500
Rescue Equipment Services 1,500 1,500
Palm Tree Trimming 1,400 1,600
23,900 25,100

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
245-4284-42-31-0000 FEES & PERMITS 1,081 1,000 0 0
245-4292-42-31-0000 CPR PROGRAM 0 1,000 0 0
245-4320-42-31-0000 CONTRACT SERVICES 1,733,766 2,068,090 3,046,220 3,807,791 Itemization FY2024 FY2025
Electrical Repairs 5,000 5,000
Generator Maintenance 10,100 10,100
Ice Machine Repairs 2,000 2,000
Janitorial Services 9,100 10,100
Landscape Services 13,950 14,400
Pest Control Services 5,100 5,100
Plumbing Services 3,000 3,000
Fire Services 2,370,008 2,512,208
Fire Services - New Medic Squad 627,962 1,245,883
3,046,220 3,807,791
Total Fire Services 1,857,751 2,179,790 3,112,620 3,875,391 Total Expenditures 16,515,646 20,416,796 18,770,071 19,103,468 Revenues over Expenditures -8,292,991 -12,979,813 -11,574,405 -11,789,065 Emergency Preparedness Fund
Revenues
246-3122-00-00-0000 AMBULANCE FINES 0 30,000 30,000 30,000 246-3401-00-00-0000 INVESTMENT EARNINGS 53 100 0 0
Total Revenues 53 30,100 30,000 30,000
Expenditures
246-4288-42-31-0000 PROGRAM EXPENSE 0 45,100 30,000 30,000 Revenues over Expenditures 53 -15,000 0 0
County Service Area 152 Fund
Revenues
250-3401-00-00-0000 INVESTMENT EARNINGS 1 100 0 0
250-3724-00-00-0000 REIMBURSEMENTS 127,426 144,690 177,890 187,390 Total Revenues 127,427 144,790 177,890 187,390
Expenditures
250-4320-43-63-0000 CONTRACT SERVICES 127,426 144,790 177,890 187,390 Itemization FY2024 FY2025
Citywide Catch Basin Clean-Up 50,000 50,500
Property Tax Administration 2,000 2,000
NPDES Regional Permit 20,000 21,000
NPDES State Permit 10,000 11,000
Street Sweeping 95,890 102,890
177,890 187,390
Total Expenditures 127,426 144,790 177,890 187,390
Revenues over Expenditures 1 0 0 0
Cabot's Museum Fund
Revenues
270-3999-00-00-0000 TRANSFERS IN 137,000 137,183 137,000 139,000 Expenditures
270-4200-44-51-0000 UTILITIES 17,548 25,000 21,287 21,287 Itemization FY2024 FY2025
General Utilities 20,000 20,000
Alarm Monitoring Services 1,287 1,287

Item Number: 11.

Account String Account Name Project 2021-2022 Actual 2022-2023 Budget 2023-2024
Proposed
2024-2025
Proposed
City of Desert Hot Springs
FY2023-2024 FY2024-2025 Two Year Budget Detail
June 20, 2023
21,287 21,287
270-4210-44-51-0000 ADVERTISING 30,000 30,000 30,000 30,000 270-4220-44-51-0000 OFFICE SUPPLIES 0 500 500 500
270-4266-44-51-0000 SUPPLIES & MAINTENANCE 3,357 12,500 8,500 8,500 Itemization FY2024 FY2025
Copiers - Valley Office Equipment 500 500
Landscape Extra Services 3,000 3,000
Repairs 1,000 1,000
Restroom Supplies 4,000 4,000
8,500 8,500
270-4275-44-51-0000 INSURANCE PREMIUMS 5,926 7,000 6,500 6,500 270-4320-44-51-0000 CONTRACT SERVICES 57,615 62,183 69,960 71,460 Itemization FY2024 FY2025
Museum Operations 30,000 30,000
Janitorial Services 9,100 10,100
Landscape Services 19,200 19,700
Pest Control Services 2,400 2,400
Retention Basin Services 4,000 4,000
Public Works Repairs as needed 5,000 5,000
Security Camera Maintenance 260 260
69,960 71,460
Total Expenditures 114,446 137,183 136,747 138,247
Revenue over Expenditures 22,554 0 253 753
AD #91-1 Capital Projects Fund
Revenues
391-3401-00-00-0000 INVESTMENT EARNINGS 111 200 0 0
Expenditures
391-4266-43-47-0000 SUPPLIES & MAINTENANCE 0 124,000 123,000 123,000 Revenue over Expenditures 111 -123,800 -123,000 -123,000 Debt Service Fund
Revenues
401-3205-00-00-0000 UTILITY USERS TAX 1,378,896 1,755,000 1,500,000 1,545,000 401-3401-00-00-0000 INVESTMENT EARNINGS 22,465 20,000 25,000 25,000 401-3990-30-30-0000 BOND PROCEEDS 15,970,000
401-3991-30-30-0000 BOND ORIGINAL ISSUE PREMIUM 239,042 401-3999-00-00-0000 TRANSFERS IN 414,357 747,820 555,625 508,050 Total Revenues 18,024,760 2,522,820 2,080,625 2,078,050 Expenditures
401-4285-60-15-0000 ADMINISTRATIVE FEES 5,000 7,500 5,000 5,000 401-4320-60-15-0000 CONTRACT SERVICES 0 2,500 0 0
401-4401-60-15-0000 INVESTMENT LOSS 69,045 37,500 0 0
401-4999-60-15-0000 TRANSFERS OUT 520,199 0 14,631,637 0 401-4720-60-15-0000 COST OF ISSUANCE 162,187 0
401-4725-60-15-0000 UNDERWRITER'S DISCOUNT 123,768 0
401-4700-60-81-0000 PRINCIPAL 1,010,000 445,000 800,000 830,000 Itemization FY2024 FY2025
Series 2017 Lease Revenue Bonds 330,000 345,000