Fontana City Council
July 25, 2023

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

Taxes $ 93,331,550 $ 96,048,931 $ 108,183,439 $ 12,134,508 Licenses and permits 6,715,900 7,235,900 7,218,687 (17,213) Intergovernmental 1,390,500 6,533,473 2,780,614 (3,752,859) Charges for services 13,374,070 13,598,012 15,407,066 1,809,054 Fines and forfeitures 465,500 616,000 696,245 80,245
Investment earnings (loss) 3,420,540 3,420,540 (1,966,368) (5,386,908) Contribution from other governments 400,300 400,300 400,300 - Other revenue 3,820,830 4,364,190 3,132,185 (1,232,005) Total revenues 122,919,190 132,217,346 135,852,168 3,634,822 Expenditures:

Current:

General government:

City council and commissions 1,229,100 1,331,244 1,194,130 137,114 City administration 2,953,200 8,557,767 5,628,870 2,928,897 Management services 3,184,230 3,689,556 3,373,760 315,796 Information technology 8,811,410 15,280,919 8,691,404 6,589,515 Human resources 10,630,580 12,538,253 9,160,752 3,377,501 Public safety:

Police 68,526,230 71,860,905 70,200,864 1,660,041
Public works 13,895,200 14,895,079 14,807,433 87,646
Community development 6,408,560 7,752,621 6,997,587 755,034 Community services 13,295,340 13,513,081 11,414,027 2,099,054 Engineering 3,837,470 4,525,396 3,925,533 599,863
Debt Service:

Principal - 276,120 2,474 273,646
Interest - - 192 (192)
Total expenditures 132,771,320 154,220,941 135,397,026 18,823,915 Excess (deficit) of
revenues over expenditures (9,852,130) (22,003,595) 455,142 22,458,737 Other Financing Sources (Uses):

Transfers in 31,292,270 33,248,654 15,945,288 (17,303,366) Transfers out (20,982,390) (26,959,304) (9,555,877) 17,403,427 Leases - - 108,141 108,141
Sale of capital assets 1,500 1,500 52,830 51,330
Total other financing sources (uses) 6,290,850 6,550,382 259,532 10,311,380 Net change in fund balances 459,250 (15,712,745) 22,718,269 7,005,524 Fund balances - beginning 117,055,912 117,055,912 117,055,912 - Fund balances - ending 117,515,162 $ 101,343,167 $ 124,061,436 $ 22,718,269 $ See accompanying notes to financial statements
Budget Amounts

CITY OF FONTANA
General Fund
Year Ended June 30, 2022
Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual 27 574
Exhibit G

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

Taxes $ 49,440,000 $ 49,440,000 $ 50,763,828 $ 1,323,828 Licenses and permits 890,000 890,000 940,074 50,074
Investment earnings 109,000 109,000 (1,155,615) (1,264,615) Other revenue - - 2,000 2,000
Total revenues 50,439,000 50,439,000 50,550,287 111,287 Expenditures:

Public safety:

Fire 39,613,458 39,226,670 39,440,940 (214,270)
Debt Service:

Interest - 439,375 439,375 -
Total expenditures 39,613,458 39,666,045 39,880,315 (214,270) Excess (deficit) of
revenues over expenditures 10,825,542 10,772,955 10,669,972 (102,983) Other Financing Sources (Uses):

Transfers in 1,284,100 11,774,100 11,774,100 -
Transfers out (12,136,800) (5,187,800) (6,986,800) 6,949,000 Total other financing sources (uses) (362,700) (5,702,700) 6,949,000 6,586,300 Net change in fund balances 5,122,842 10,410,255 17,256,272 6,846,017 Fund balances - beginning 21,207,511 21,207,511 21,207,511 - Fund balances - ending $ 26,330,353 $ 31,617,766 $ 38,463,783 $ 6,846,017

CITY OF FONTANA
Fire Protection District - Special Revenue
Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Year Ended June 30, 2022
Budget Amounts
See accompanying notes to financial statements
28 575
Exhibit G

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

Investment earnings (loss) 399,000 $ 399,000 $ $ (812,973)$ (413,973) Other revenue 196,000 196,000 127,958 (68,042)
Total revenues 595,000 595,000 (881,015) (286,015)
Expenditures:

Current:

General government:

Management services 321,710 4,569,546 536,475 4,033,071 Total expenditures 321,710 4,569,546 536,475 4,033,071
Excess (deficit) of
revenues over expenditures 273,290 (822,490) (3,974,546) 3,152,056 Other Financing Sources (Uses):

Transfers out (47,600) (47,600) (56,600) -
Total other financing sources (uses) (47,600) (47,600) (56,600) - Net change in fund balances 216,690 (870,090) (4,022,146) 3,152,056 Fund balances - beginning, as restated 87,030,035 87,030,035 87,030,035 - Fund balances - ending $ 87,246,725 $ 83,007,889 $ 86,159,945 $ 3,152,056 Budget Amounts
See accompanying notes to financial statements

CITY OF FONTANA
Housing Authority Low/Mod Housing Fund - Special Revenue Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Year Ended June 30, 2022
29 576
Exhibit G

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

Intergovernmental $ - $ 257,551$ (49,999,562)$ 50,257,113 Investment earnings - - 98,202 98,202
Total revenues - 50,257,113 355,753 (49,901,360)
Expenditures:

Current:

General government:

Management services - 34,876,721 250,351 34,626,370
Police - 3,000,000 - 3,000,000
Public works - 12,334,892 - 12,334,892
Engineering - 45,500 7,200 38,300
Total expenditures - 50,257,113 257,551 49,999,562
Excess (deficit) of
revenues over expenditures - - 98,202 98,202
Fund balances - beginning 17,198 17,198 17,198 -
Fund balances - ending $ 17,198 $ 17,198 $ 115,400 $ 98,202 See accompanying notes to financial statements

CITY OF FONTANA
Economic Stimulus - Special Revenue
Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Year Ended June 30, 2022
Budget Amounts
30 577
Exhibit H
Governmental
Activities
Non-Major Internal Service
Enterprise Fund - Fund -
Sewer Water Fleet
Operations Operations Totals Operations
Assets:

Current Assets:

Cash and investments $ 23,520,005 685,298 24,205,303 12,157,626 Accounts receivables 1,429,132 - 1,429,132 109,977
Interest receivable 49,142 1,541 50,683 24,855
Loans receivable 2,980,990 1,219,947 4,200,937 -
Loans to Successor Agency 3,305,829 - 3,305,829 -
Allowance for doubtful accounts (3,305,829) - (3,305,829) - Due from other governments 12,903 - 12,903 -
Inventories 52,372 - 52,372 102,036
Total current assets 28,044,544 1,906,786 29,951,330 12,394,494 Noncurrent Assets:

Capital assets, not being depreciated 477,105 - 477,105 806,121 Capital assets, net of depreciation 58,847,219 - 58,847,219 7,606,230 Total noncurrent assets 59,324,324 - 59,324,324 8,412,351 Total assets 87,368,868 1,906,786 89,275,654 20,806,845 Deferred Outflows of Resources:

Deferred outflows of resources - pension related 678,954 - 678,954 - Deferred outflows of resources - OPEB related 435,467 - 435,467 - Total deferred outflows of resources 1,114,421 - 1,114,421 - Liabilities:

Current Liabilities:

Accounts payable 3,610,686 - 3,610,686 1,002,907
Deposits payable 792,169 - 792,169 -
Interest payable 35,224 - 35,224 -
Compensated absences payable - current 241,713 - 241,713 - Loans payable - current 878,670 - 878,670 -
Total current liabilities 5,558,462 - 5,558,462 1,002,907 Noncurrent Liabilities:

Loans payable 4,842,202 - 4,842,202 -
Net pension liability 2,674,376 - 2,674,376 -
Net OPEB liability 2,325,151 - 2,325,151 -
Total noncurrent liabilities 9,841,729 - 9,841,729 -
Total liabilities 15,400,191 - 15,400,191 1,002,907
Deferred Inflows of Resources:

Deferred inflows of resources - pension related 1,517,726 - 1,517,726 - Deferred inflows of resources - OPEB related 326,796 - 326,796 - Total deferred inflows of resources 1,844,522 - 1,844,522 - Net Position:

Net investment in capital assets 53,603,452 - 53,603,452 8,412,351 Unrestricted 17,635,124 1,906,786 19,541,910 11,391,587 Total net position 71,238,576$ 1,906,786$ 73,145,362$ 19,803,938$ Reconciliation of Net Position to the Statement of Net Position Net Position per Statement of Net Position - Proprietary Funds 73,145,362 1,750,465
Net position per Statement of Net Position $ 74,895,827 See accompanying notes to financial statements
June 30, 2022

CITY OF FONTANA
Business-type Activities
Enterprise Funds
Statement of Net Position
Proprietary Funds
Accumulated adjustment to reflect the consolidation of internal service fund activities related to enterprise funds
31 578
Exhibit I
Governmental
Activities
Non-Major Internal Service
Enterprise Fund - Fund -
Sewer Water Fleet
Operations Operations Totals Operations
Operating Revenues:

Charges for services $ 26,737,162 - 26,737,162 8,216,785 Total revenues 26,737,162 - 26,737,162 8,216,785
Operating Expenses:

Personnel costs 2,047,819 - 2,047,819 1,019,355
Operating costs 1,315,478 - 1,315,478 2,227,710
Contractual 18,345,329 - 18,345,329 1,213,789
Depreciation 2,832,985 - 2,832,985 1,782,888
Total operating expenses 24,541,611 - 24,541,611 6,243,742 Operating income (loss) 2,195,551 - 2,195,551 1,973,043 Non-Operating Revenues (Expenses):

Investment earnings (727,446) (21,348) (748,794) (378,212) Interest payments (112,532) - (112,532) -
Other revenue (expenses) (176,562) - (176,562) 36,178
Gain (loss) on sale of capital assets - - - 366,146
Total non-operating revenues (expenses) (1,016,540) (21,348) (1,037,888) 24,112 Income (loss) before contributions
and transfers 1,179,011 (21,348) 1,157,663 1,997,155
Capital contributions - connection fees 336,864 - 336,864 - Transfers in 502,240 - 502,240 329,680
Transfers out (3,451,440) - (3,451,440) (209,150)
Change in net position (1,433,325) (21,348) (1,454,673) 2,117,685 Net Position:

Beginning of fiscal year 72,671,901 1,928,134 74,600,035 17,686,253 Net position at end of year 71,238,576$ 1,906,786 73,145,362 19,803,938 Reconciliation of Changes in Net Position to the Statement of Activities:
(1,454,673)
Adjustment to reflect the consolidation of internal service activities related to enterprise funds 82,007 Changes in Net Position of Business-Type Activities per Statement of Activities $ (1,372,666) Changes in Net Position, per the Statement of Revenues, Expenses and Changes in Fund Net Position - Proprietary Funds
See accompanying notes to financial statements

CITY OF FONTANA
Statement of Revenues, Expenses and Changes in Fund Net Position Proprietary Funds
Year Ended June 30, 2022
Business-type Activities
Enterprise Funds
32 579
Exhibit J
Governmental
Activities
Non-Major Internal Service
Enterprise Fund - Fund -
Sewer Water Fleet
Operations Operations Totals Operations
Cash Flow from Operating Activities:

Cash received from customers 26,668,274 $ - 26,668,274 8,150,276 Cash payments to suppliers of goods and services (18,262,551) - (18,262,551) (2,586,740) Cash payments to employees for services (3,128,112) - (3,128,112) (1,019,355) Net cash provided by (used for) operating activities 5,277,611 - 5,277,611 4,544,181 Cash Flows from Noncapital Financing Activities:

Transfers received 502,240 (16,538) 485,702 396,680
Transfers paid (2,949,200) - (2,949,200) (209,150)
Net cash provided by (used for) noncapital financing activities (2,446,960) (16,538) (2,463,498) 187,530 Cash Flows from Capital and Related Financing Activities:

Payments for debt service - principal payments (863,155) - (863,155) - Payments for debt service - interest payments (121,665) - (121,665) - Capital contributions 336,864 - 336,864 -
Acquisition and construction of capital assets (40,285) - (40,285) (2,025,252) Net cash provided by (used for) capital and related financing activities (688,241) - (688,241) (2,025,252) Cash Flows from Investing Activities:

Investment earnings (461,322) 57,644 (403,678) (393,219) Net cash provided by investing activities (461,322) 57,644 (403,678) (393,219) Net increase (decrease) in cash and cash equivalents 1,681,088 41,106 1,722,194 2,313,240 Cash and cash equivalents - beginning of year 21,838,917 644,192 22,483,109 9,844,386 Cash and cash equivalents - end of year $ 23,520,005 685,298 24,205,303 12,157,626 Reconciliation of Operating Income to Net Cash Provided by (Used for) Operating Activities:

Operating Income (Loss) 2,195,551 $ - 2,195,551 1,973,043 Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities:

Depreciation 2,832,985 - 2,832,985 1,782,888
Other revenue (expenses) (176,562) - (176,562) 36,178
Changes in Assets and Liabilities:

Accounts receivable (42,319) - (42,319) (102,687)
Due from other governments 149,993 - 149,993 -
Inventories (7,393) - (7,393) 106,813
Deferred outflows - pension related 291,186 - 291,186 - Deferred outflows - OPEB related (102,481) - (102,481) - Accounts payable 1,386,375 - 1,386,375 747,946
Deposits payable 19,274 - 19,274 -
Accrued compensated absences (103,736) - (103,736) -
Deferred inflows - pension related 1,495,647 - 1,495,647 - Deferred inflows - OPEB related 216,173 - 216,173 -
Net pension liability (2,772,378) - (2,772,378) -
Net OPEB liability (104,704) - (104,704) -
Net cash provided by (used for) operating activities 5,277,611 $ - 5,277,611 4,544,181 There were no non-cash investing, capital or financing activities for the year ended June 30, 2022.

See accompanying notes to financial statements

CITY OF FONTANA
Statement of Cash Flows
Proprietary Funds
Year Ended June 30, 2022
Business-type Activities
Enterprise Funds
33 580
Exhibit K
Private Purpose
Trust Fund
Custodial Successor Agency
Funds of the Former RDA
Assets:

Cash and investments $ 11,181,839 509,841
Receivables (net):

Assessments 554,452 -
Interest - 1,141,911
Loans receivable - 2,537,912
Allowance for doubtful accounts - (1,971,279)
Restricted assets:

Cash and investments 21,956,169 19,022,971
Total assets 33,692,460 21,241,356
Liabilities:

Interest payable - 2,232,722
Due to other governments 33,680 -
Long-term liabilities:

Due in one year - 15,944,833
Due in more than one year - 434,638,316
Total liabilities 33,680 452,815,871
Net Position:

Held for other organizations 6,694,734 -
Restricted for debt service 26,964,046 (431,574,515)
Total Net Position $ 33,658,780 $ (431,574,515)
See accompanying notes to financial statements

CITY OF FONTANA
Statement of Fiduciary Net Position
Fiduciary Funds
June 30, 2022
34 581
Exhibit L
Private Purpose
Trust Fund
Custodial Successor Agency
Funds of the Former RDA
Additions:

Contributions from property owners $ 13,965,074 $ 35,445,029 Interest and change in fair value of investments 1,853 (35,755) Other revenue 17,008,654 654,691
Total additions 30,975,581 36,063,965
Deductions:

Contractual services - 431,547
Administrative expense 758,517 6,000
Interest expense 5,028,894 17,467,023
Contributions to other governments - 400,300
Principal payments 25,126,729 -
Total deductions 30,914,140 18,304,870
Changes in net position 61,441 17,759,095
Net Position (deficit) - Beginning of the Year 33,597,339 (449,333,610) Net Position - End of the Year $ 33,658,780 $ (431,574,515)

CITY OF FONTANA
Statement of Changes in Fiduciary Net Position
Fiduciary Funds
Year Ended June 30, 2022
See accompanying notes to financial statements
35 582

CITY OF FONTANA
Notes to the Financial Statements
Note 1. Organization and Summary of Significant Accounting Policies a. Description of the Reporting Entity
The City of Fontana was incorporated on June 25, 1952, under the laws of the State of California and enjoys all the rights and privileges applicable to a General Law City. It is governed by an elected five-member board. As required by generally accepted accounting principles, these financial statements present the City of Fontana (the primary government) and its component units. The City operates under a Council-Manager form of government, and currently provides a wide variety of services to its citizens, including police, public services, community development, general administrative and other services.

The inclusion of an organization within the scope of the reporting entity of the City of Fontana is based on the provisions of GASB Statement No. 14 and amended with GASB Statement No. 61. The blended component units discussed below, although legally separate entities, are in substance part of the government operation and so data from these component units has been combined herein. The following criteria were used in the determination of the blended component unit:

1. The members of the City Council also act as the governing body of the Fontana Industrial Development Authority, the Fontana Public Financing Authority, the Fontana Housing Authority (Housing Authority), the Fontana Community Foundation, the Fontana Fire Protection District (Fire District) and the Fontana Public Facilities Financing Authority.

2. The Fontana Industrial Development Authority, the Fontana Public Financing Authority, the Fontana Housing Authority, the Fontana Community Foundation, the Fontana Fire Protection District and the Fontana Public Facilities Financing Authority are managed by employees of the City. A portion of the City’s general overhead costs is allocated to the Fire District and the Housing Authority.

3. The City, the Fontana Industrial Development Authority, the Fontana Public Financing Authority, the Housing Authority, the Fontana Community Foundation, the Fire District and the Fontana Public Facilities Financing Authority are financially interdependent. They provide financial benefit/burden to the City.

Blended Component Units:

The Fontana Industrial Development Authority was established February 3, 1981, pursuant to Government Code Section 91500 of the State of California for the purpose of encouraging and financing industrial development within areas of the City of Fontana. There was no activity for the year being reported therefore the Fontana Industrial Development Authority is not presented in this report.

The Fontana Public Financing Authority was established on May 2, 1989, pursuant to Government Code Section 6500 of the State of California (Joint Exercise of Powers). Its purpose is to assist in the financing of capital improvements and working capital requirements of the City, the Former Redevelopment Agency and any other eligible local agencies. Separate financial statements are not available for the Authority.
36 583

CITY OF FONTANA
Notes to the Financial Statements
The Fontana Housing Authority was established May 3, 1994, pursuant to Government Code Section 34240 of the State of California for the purpose of rehabilitating and increasing the low- and moderate-income housing stock in the City of Fontana. Separate financials statements are not available for the Authority.

The Fontana Community Foundation was established on April 27, 2005, pursuant to Section 501(c)(3) of the Internal Revenue Code of 1986 for the purpose of aiding and assisting in the implementation, improvement and maintenance of public services that preserve and promote the health and welfare and education of local citizenry of the City of Fontana. Separate financials statements are not available for the Foundation.

The Fontana Fire Protection District was established on July 1, 2008 pursuant to the State of California Health and Safety Code Section 13800 for the purpose of providing fire suppression, emergency medical, fire prevention and education services within the city limits and the unincorporated area within the District’s Sphere of Influence. Separate financials statements are not available for the District.

The Fontana Public Facilities Financing Authority was established on September 9, 2014, pursuant to Government Code Section 6500 of the State of California (Joint Exercise of Powers). Its purpose is to assist in the financing of capital improvements and working capital requirements of the City, the Fontana Fire Protection District and any other eligible local agencies. Separate financial statements are not available for the Authority.
b. Government-Wide and Fund Financial Statements
The government-wide financial statements include a statement of net position and a statement of activities. These statements present summaries of governmental and business-type activities for the City accompanied by a total column. Fiduciary activities of the City are not included in these statements. For the most part, the effect of interfund activities has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support.

The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues.

Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues.

Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even though the latter are excluded from the government-wide financial statements. Major individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial statements.
37 584

CITY OF FONTANA
Notes to the Financial Statements
c. Measurement Focus, Basis of Accounting and Financial Statement Presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met.

Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the City considers revenues to be available if they are collected within 60 days of the end of the current fiscal period or 180 days for certain intergovernmental revenues. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due.

The City’s fiduciary funds consist of custodial funds and a private purpose trust fund. Custodial funds account for assets held by the City for other governments or individuals. Fiduciary funds are accounted for using the economic resources measurement focus and the accrual basis of accounting. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred.

Property taxes, franchise taxes, licenses, and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenue of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the City.

The City reports the following major governmental funds:

The General Fund is the general operating fund of the City. It is used to account for all financial resources except those required to be accounted for in another fund.

The Fire Protection District Special Revenue Fund accounts for revenues received as part of property taxes, permits, and fees, that are to be used for fire suppression, emergency medical, fire prevention and education services incurred by the District within the City’s Sphere of Influence.

The Housing Authority Special Revenue Fund accounts for the assets and activities transferred from the Former Fontana Redevelopment Agency that will be monies to be used to increase and improve the community's supply of low and moderate income housing.

The Economic Stimulus Fund accounts for federal funds received due to COVID-19 to assist in the economic recovery of the City.

The Capital Reinvestment Fund accounts for discretionary infrastructure projects. 38 585

CITY OF FONTANA
Notes to the Financial Statements
The Future Capital Projects Fund accounts for capital improvement reimbursements from the San Bernardino County Transportation Authority (SBCTA) that is used for general infrastructure improvements throughout the City.

The Sewer Expansion Fund accounts for revenues received from development impact fees which, in turn, are reported to the Inland Empire Utilities Agency (IEUA) for capital expansion.

The Community Facilities Districts Funds account for activities related to the maintenance of City landscaped areas.

The Traffic Mitigation Capital Project Fund accounts for the revenues received from development impact fees which, in turn, are expended for traffic studies, planning and construction of traffic flow improvements.

The City reports the following major proprietary fund:

The Sewer Operations Fund is used to account for the operation of the City’s sewer utility system, a self-supporting activity which renders services on a user charge basis to residences and businesses located in the City.

Additionally, the City reports the following fund types:

Governmental Fund Types
Special Revenue Funds – to account for the proceeds of specific revenue resources (other than major capital projects) that are legally restricted to expenditures for specific purposes.

Debt Service Funds – to account for the accumulation of resources for, and the payment of, long-term debt obligation principal, interest and related costs.

Capital Project Funds – to account for financial resources to be used for the acquisition or construction of major capital facilities.

Proprietary Fund Types
Enterprise Funds – to account for operations that are financed and operated in a manner similar to private business enterprises, where the intent of the City Council is that the costs (including depreciation) of providing goods and services to the general public on a continuing basis be financed or recovered primarily through user charges. 39 586

CITY OF FONTANA
Notes to the Financial Statements
Internal Service Fund – to account for financial transactions related to replacement of City-owned vehicles and equipment. These services are provided to other departments or agencies of the City, on a cost reimbursement basis.

Fiduciary Fund Types
Custodial Funds – to account for assets held by the City for other governments or individuals. These funds include debt service transactions on Community Facilities Districts bonds for which the City is not obligated.

Private Purpose Trust Fund - accounts for the assets and liabilities of the former redevelopment agency and is allocated revenue to pay estimated installment payments of enforceable obligations until obligations of the former redevelopment agency are paid in full and assets have been liquidated.

As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are charges between the City’s sewer function and various other functions of the City. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned.

Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the enterprise funds and the internal service fund are charges to customers for sales and services. Operating expenses for enterprise funds and internal service fund include the costs of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses.

When both restricted and unrestricted resources are available for use, it is the City’s policy to use restricted resources first, then unrestricted resources as they are needed.
d. Assets, Liabilities and Net Position or Fund Balance Deposits and Investments
The City’s cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments with original maturities of three months or less from the date of acquisition.

Investments for the City are reported at fair value. The City’s policy is generally to hold investments until maturity or until fair value equal or exceed cost. The State Treasurer’s Investment Pool operates in accordance with appropriate State laws and regulations. The reported value of the pool is the same as the fair value of the pool shares. 40 587

CITY OF FONTANA
Notes to the Financial Statements
Fair Value Measurements
Certain assets and liabilities are required to be reported at fair value. The fair value framework provides a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of fair value hierarchy are described as follows:

Level 1 - Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets.

Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly and fair value is determined through the use of models or other valuation methodologies including:
 Quoted prices for similar assets or liabilities in active markets;  Quoted prices for identical or similar assets or liabilities in markets that are inactive;  Inputs other than quoted prices that are observable for the asset or liability;  Inputs that are derived principally from or corroborated by observable market data by correlation or other means.

Level 3 - Inputs to the valuation methodology are unobservable and significant to the fair value measurement. These unobservable inputs reflect the City’s own assumptions about the inputs market participants would use in pricing the asset or liability (including assumptions about risk).

These unobservable inputs are developed based on the best information available in the circumstances and may include the City’s own data.

Receivables and Payables
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either “due to/from other funds” (current portion of interfund loans) or “advances to/from other funds” (the non-current portion of interfund loans). All other outstanding balances between funds are reported as “due to/from other funds.” Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as “internal balances”.

Advances between funds, as reported in the fund financial statements, are offset by a non-spendable fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources.

The City has elected, by ordinance, that the duties of assessing and collecting property taxes be performed by the San Bernardino County Assessor and Tax Collector, respectively. Tax levies cover the period from July 1 to June 30 of each year. All tax liens attach annually on January 1 preceding the fiscal year for which the taxes are levied. Taxes are levied on both real and personal property as of January 1. Secured property taxes are levied against real property and are due and payable in two equal installments. The first installment is due on November 1 and becomes delinquent if not paid by December 10. The second installment is due on February 1 and becomes delinquent if not paid by April 10.

Unsecured personal property taxes are due on July 1 each year and become delinquent if not paid by August 31. 41 588

CITY OF FONTANA
Notes to the Financial Statements
Functional Classifications
Expenditures of the Governmental funds are classified by function. Functional classifications are defined as follows:

General Government includes legislative activities which have a primary objective of providing legal and policy guidelines for the City. Also included in this classification are those activities which provide management or support services across more than one functional area.

Public Safety includes those activities which involve the protection of people and property.

Public Works includes those activities which involve the maintenance and improvement of City streets, roads and park department development and maintenance.

Community Development includes those activities which enhance the general quality of life and for protective inspections except those related to fire.

Community Services includes those activities which provide all cultural and recreational programs and facilities.

Engineering includes those activities which provide specialized skills and knowledge in support of the operation of government.

Inventories, Prepaids and Land Held for Resale
All inventories are valued at cost using the first-in, first-out (FIFO) method. Inventories consist of expendable supplies held for consumption.

Inventory costs are recorded as expenditures when used.

The General Fund inventory is accounted for using the consumption method and is offset by a reservation of fund balance in the fund-level statements, which indicates that it does not constitute “available spendable resources.” Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaids in both the government-wide and fund financial statements.

Land purchased for resale is capitalized as inventory at acquisition cost or net realizable value, if lower.

Leases
For the year ended June 30, 2022, the financial statements include the adoption of GASB Statement No. 87, Leases. The primary objective of this statement is to enhance the relevance and consistency of information about governments' leasing activities. This statement establishes a single model for lease accounting based on the principle that leases are financings of the right to use an underlying asset. Under this statement, a lessee is required to recognize a lease liability and an intangible right-to-use lease asset, and a lessor is required to recognize a lease receivable and a deferred inflow of resources. For additional information, refer to the disclosures in Footnote 4. 42 589

CITY OF FONTANA
Notes to the Financial Statements
Key estimates and judgments include how the City determines the discount rate it uses to discount the expected lease receipts to present value, lease term and lease receipts.

The City used the estimated incremental borrowing rate as the discount rate for leases. The lease term includes the noncancellable period of the lease. Lease receipts included the measurement of the lease receivable is composed of fixed payments from the lessee.

The City monitors changes in circumstances that would require a remeasurement of its leases and will remeasure the lease receivable and deferred inflows of resources if certain changes occur that are expected to significantly affect the amount of the lease receivable.

Restricted Assets
Restricted assets represent unexpended bond proceeds, interest earnings thereon and reserve amounts of certificates of participation, tax allocation bonds, and special assessment bonds. Under the related resolutions and indentures, the remaining proceeds are restricted for the use of future construction of improvements to the respective projects, for debt service or for reserve requirements. The majority of these assets are held by trustees and fiscal agents.

Capital Assets
Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, sidewalks, and similar items), are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost of more than $5,000 ($50,000 for intangibles and $100,000 for infrastructure) and an estimated useful life in excess of two years. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at acquisition value at the date of donation.

In accordance with GASB 34, the City has reported general infrastructure assets acquired in prior and current years. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during the construction phase of capital assets of business-type activities is included as part of the capitalized value of the assets constructed.

Property, plant and equipment of the primary government is depreciated using the straight-line method over the following estimated useful lives:

Asset Years
Buildings and improvements 40-55 years
Machinery and equipment 3-20 years
Vehicles 5-20 years
Infrastructure 20-30 years
Right to use asset 5 years
43 590

CITY OF FONTANA
Notes to the Financial Statements
Deferred Outflows/Inflows of Resources
In addition to assets, the statement of net position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, are transactions that represent a consumption of net assets that applies to a future period(s) and are not considered assets. The government has two items that qualify for reporting in this category, deferred outflows related to pensions and OPEB.

In addition to liabilities, the statement of net position will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net assets that applies to a future period(s) and are not considered to be liabilities. The government has four items that qualify for reporting in this category:

1. Unavailable revenue is reported only in the governmental funds balance sheet. The governmental funds report unavailable revenues for revenues that are measurable but are not collected within 60 days of the end of the current fiscal period or 180 days for certain intergovernmental revenues. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available.

2. Pension related deferred inflows, is reported only on the Statement of Net Position. The government reports deferred inflows of resources related to pensions arising from certain changes in the collective net pension liability.

3. OPEB related deferred inflows, is reported only on the Statement of Net Position. The government reports deferred inflows of resources related to pensions arising from certain changes in the collective OPEB liability.

4. Lease related deferred inflows, is reported on the governmental balance sheet and the Statement of Net Position. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available.

Compensated Absences
It is the City’s policy to permit employees to accumulate earned but unused personal leave which includes both vacation and sick pay benefits. All personal leave is accrued when incurred in the government-wide, proprietary, and fiduciary fund financial statements. The General Fund and the Sewer Operations Fund are typically used to liquidate these obligations. A liability for these amounts is reported in governmental funds only if they have matured, for example, as a result of employee resignations and retirements.

Long-Term Obligations
In the government-wide financial statements, and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net position. 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. 44 591

CITY OF FONTANA
Notes to the Financial Statements
In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financial sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures.

The City is subject to a legal bonded indebtedness limit of 15 percent of the assessed value of all real and personal property in the City, excluding any bonded indebtedness of the Successor Agency. At June 30, 2022, the City had bonded indebtedness of $53,015,000 against its debt limit of $3,603,855,162, which is 1.47 percent of the total limit.

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

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

Valuation Date (VD) June 30, 2020
Measurement Date (MD) June 30, 2021
Measurement Period (MP) July 1, 2020 to June 30, 2021
Other Postemployment Benefits (OPEB)
For purposes of measuring the total OPEB liability, deferred outflows of resources and deferred inflows of resources related to OPEB, and OPEB expense, information about the OPEB plan (OPEB Plan), and additions to/deductions from the OPEB Plan have been determined by an independent actuary. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms.

Generally accepted accounting principles require that the reported results must pertain to liability information within certain defined timeframes.

For this report, the following timeframes are used:

Valuation Date (VD) June 30, 2021
Measurement Date (MD) June 30, 2021
Measurement Period (MP) July 1, 2020 to June 30, 2021
45 592

CITY OF FONTANA
Notes to the Financial Statements
Net position flow assumption
Sometimes the government will fund outlays for a particular purpose from both restricted (e.g., restricted bond or grant proceeds) and unrestricted resources. In order to calculate the amounts to report as restricted – net position and unrestricted – net position in the government-wide and proprietary fund financial statements, a flow assumption must be made about the order in which the resources are considered to be applied. It is the government’s policy to consider restricted – net position to have been depleted before unrestricted – net position is applied.

Fund balance flow assumptions
Sometimes the government will fund outlays for a particular purpose from both restricted and unrestricted resources (the total of committed, assigned, and unassigned fund balance). In order to calculate the amounts to report as restricted, committed, assigned, and unassigned fund balance in the governmental fund financial statements a flow assumption must be made about the order in which the resources are considered to be applied. It is the government’s policy to consider restricted fund balance to have been depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance. Unassigned fund balance is applied last. e. Reconciliation of Government-Wide and Fund Financial Statements Explanation of Certain Differences Between the Governmental Fund Balance Sheet and the Government-Wide Statement of Net Position The governmental fund balance sheet includes a reconciliation between fund balance of governmental funds and net position of governmental activities as reported in the government-wide statement of net position. One element of that reconciliation explains that “long-term liabilities, including net pension liability, are not due and payable in the current period and, therefore, is not recognized in the funds.” The detail of this $278,868,020 long-term liabilities difference is as follows:
$ 53,015,000
Loan payables 2,851,815
20,654,000
Compensated absences 11,099,392
Lease liability 106,709
Other post employment benefits liability 66,533,882
Net pension liability 118,172,369
6,434,853
funds to arrive at net position of governmental activities $ 278,868,020 Net adjustment to reduce fund balances of governmental
Lease revenue bonds payable
Claims and judgments
Bond premium to be amortized
46 593

CITY OF FONTANA
Notes to the Financial Statements
Explanation of Certain Differences Between the Governmental Fund Statement of Revenues, Expenditures, and Changes in Fund Balances and the Government-Wide Statement of Activities The governmental fund statement of revenues, expenditures, and changes in fund balances includes a reconciliation between net changes in fund balances – total governmental funds and changes in net position of governmental activities as reported in the government-wide statement of activities. One element of that reconciliation states that “the issuance of long-term debt provides current financial resources to governmental funds, but the issuing debt increases long-term liabilities in the statement of net position.” Repayment of bond principal is an expenditure in governmental funds, but the repayment reduces long-term liabilities in the statement of net position.” The detail of this $20,262,306 difference are as follows:

Another element of that reconciliation states that “some expenses reported in the statement of activities do not require the use of current financial resources and therefore are not reported as expenditures in governmental funds.” The details of this $7,535,125 are as follows:

Note 2. Stewardship, Compliance and Accountability
Budgetary Information
Annual budgets for governmental funds are adopted on a basis consistent with generally accepted accounting principles (GAAP).

Issuance of Lease Revenue Bonds 23,125,000$
(1,302,474)
(5,089,012)
sub-total (6,391,486)
Net change in premium 3,528,792
$ 20,262,306
Debt issued or incurred:

Payment to bond escrow agent
Net adjustment to increase net changes in fund balances of governmental funds to arrive at changes in net position of governmental activities
Principal repayments:

Lease revenue bonds
6,670,965
Compensated absences 779,160
Accrued interest 85,000
$ 7,535,125
of governmental funds to arrive at changes in net position of governmental activities
Claims and judgments
Net adjustment to increase net changes in fund balances 47 594

CITY OF FONTANA
Notes to the Financial Statements
The City uses the following procedures in establishing the budgetary data reflected in the financial statements. After January 1, department heads prepare estimates for required appropriations for the fiscal year commencing the following July 1. The proposed budget includes estimated expenditures and forecasted revenues for the fiscal year. The data is presented to the City Manager for review. Prior to June 1, the City Manager submits to the City Council a proposed operating budget for the upcoming fiscal year. The operating budget includes a summary of the proposed expenditures and financial resources of the City, as well as historical data for the preceding five fiscal periods. Public meetings are conducted at the civic center to obtain taxpayer comments. The City Council adopts the budget by June 30 through passage of an adopting resolution.

Budgets were legally adopted for the General, special revenue, debt service and all capital project funds during the fiscal year ended June 30, 2022. This appropriated budget covers substantially all City expenditures. All appropriated amounts shown are as originally adopted or as amended by the City Council. During the year, supplementary appropriations in the Governmental Funds were approved in the amount of $276,996,290. Additionally, amounts representing projects that were not completed were unappropriated at the end of the year, and reappropriated in the following year. Unexpended appropriations lapse at the year end.

The legal level of control is at the department level. Department heads are authorized to transfer budgeted amounts within their departments, within the same funds, with the approval of the City Manager. Transfers of appropriations between departments and between funds may be made only by authority of the City Council. Formal budgetary integration is employed as a management control device during the fiscal year for all governmental funds.

Encumbrance accounting is employed in governmental funds. Encumbrances (e.g., purchase orders, contracts) outstanding at year end do not constitute expenditures or liabilities because the commitments will be reappropriated and honored during the subsequent year. There were excess expenditures over appropriations in certain funds at the department level. However, this did not result in a negative fund balance of the individual funds because of the expenditure savings from other departments in the fund and/or adequate revenues or sources in the fund to offset expenditures. Excess of expenditures over appropriations in the individual major funds at the department level are as follows:

All funds with expenditures exceeding appropriations are reviewed by the City as part of its regular quarterly budget report to ensure that adequate revenues and/or other sources are available to cover these expenditures. In the event that revenues and other sources are not sufficient to fund the following year’s planned expenditures, the budget for the following fiscal year may be adjusted to ensure that there are no fund balance deficits in any funds. Excess of expenditures over appropriations at the fund level for the fiscal year ending June 30, 2022 are as follows:

Expenditures Appropriations Excess
Fire Protection District
Public safety
Fire 39,440,940$ 39,226,670$ 214,270$
Expenditures Appropriations Excess
Special Revenue Funds
Fire Protection District Grants 66,239$ -$ 66,239$
Capital Project Funds
Community Facilities District 22,503,037 21,611,912 891,125 San Sevaine Flood Control 96,862 95,413 1,449
48 595

CITY OF FONTANA
Notes to the Financial Statements
A budgetary comparison schedule not presented for the Down Payment Assistance and TDA special revenue funds as it did not have a legally adopted annual budget. Budgetary schedules for all other governmental funds are presented in the fund financial statements or the combining and individual fund statements and schedules.

Deficit Fund Balance
As of June 30, 2022, the following funds had deficit fund balances:

These deficit fund balances will be addressed through future year revenues and transfers.

Note 3. Cash and Investments
The City follows the practice of pooling cash and investments of all funds except for restricted funds generally held by outside custodians and funds in its employees’ deferred compensation plans. Each fund’s portion of total cash and investments is summarized by fund type in the combined balance sheet as equity in pooled cash and investments. Amounts in the City’s deferred compensation plan are no longer reported on the City’s balance sheet as they are held in trust.

Interest income earned on pooled cash and investments is allocated to those funds which are required by law, local ordinance, administrative action or agreements to receive interest. Such allocation is made annually, at a minimum, based on the weighted average cash balances in each fund receiving interest. Interest income from cash and investments, which are restricted, is credited directly to the related fund.

Special Revenue Funds:

Grants 722,092$
TDA 8,977
Housing and Community Development Block Grant 49,356
Federal Law Enforcement Block Grant 58,124
Community Services Reimbursements 153,297
ASES ELO-P 201,755
Permanent Local Housing Allocation 339,768
Fiduciary Funds:

Successor Agency 431,572,003
49 596

CITY OF FONTANA
Notes to the Financial Statements
Investments and Interest Receivable – Restricted
Restricted assets represent unexpended financing proceeds, interest earnings thereon and reserved amounts of certificates of participation, tax allocation bonds, and special assessment bonds. Under the related resolutions and indentures, the remaining proceeds are restricted for the use of future construction or improvement to the respective projects, for debt service or for reserve requirements. The majority of these assets are held by trustees and fiscal agents.

Authorized Investments
Under the provisions of the City’s investment policy and in accordance with Section 53601 of the California Government Code, the City may invest in the following types of investments:

State Treasurer’s Local Agency Investment Fund (LAIF) Mortgage Pass-Through Securities (FHLMC or FNMA only) Corporate Obligations (medium-term notes and bonds) Commercial Paper U.S. Government Securities Certificates of Deposit
Mutual Funds Negotiable Certificates of Deposit
Bankers’ Acceptances Investment Contracts
It is the City’s policy not to invest in Small Business Administration Obligations (SBAs), Repurchase Agreements, Reverse Repurchase Agreements, or Financial Futures and Financial Option Contracts even though such investments are authorized under the California Government Code. All investments present at June 30, 2022 and during the fiscal year conform to the City’s investment policy.

Local Agency Investment Fund (LAIF)
The LAIF is a special fund of the California State Treasury, secured by the full faith and credit of the State of California, through which local governments may pool investments. Each city may invest up to $75,000,000 in LAIF for each entity. Investments in LAIF are highly liquid as deposits can be converted to cash within twenty-four (24) hours without loss of interest earned to such date.

Restricted Assets
Cash and Cash with
Investments Fiscal Agent Total
Governmental activities 440,652,514$ 92,562,793$ 533,215,307$ Business-type activities 24,205,303 - 24,205,303
Fiduciary funds 11,691,680 40,979,140 52,670,820
$ 133,541,933$ 610,091,430$ 476,549,497
50 597

CITY OF FONTANA
Notes to the Financial Statements
LAIF is overseen by the Local Agency Investment Advisory Board, which consists of five members, in accordance with State statute. The State Treasurer’s Office audits the fund annually. The fair value of the position in the State pool is the same as the value of the pool shares.

Deposits
At June 30, 2022, the carrying amount of the City’s deposits was $111,163,573 and the bank balance was $112,848,115. The $1,684,542 difference represents outstanding checks and other reconciling items.

The California Government Code requires California banks and savings and loan associations to secure an Entity’s deposits by pledging government securities with a value of 110% of an Entity’s deposits. California law also allows financial institutions to secure Entity deposits by pledging first trust deed mortgage notes having a value of 150% of an Entity’s total deposits. The City Treasurer may waive the collateral requirement for deposits which are fully insured up to $250,000 by the FDIC. The collateral for deposits in federal and state-chartered banks is held in safekeeping by an authorized Agent of Depository recognized by the State of California Department of Banking. The collateral for deposits with savings and loan associations is generally held in safekeeping by the Federal Home Loan Bank in San Francisco, California, as an Agent of Depository. These securities are physically held in an undivided pool for all California public agency depositors. Under Government Code Section 53655, the placement of securities by a bank or savings and loan association with an “Agent of Depository” has the effect of perfecting the security interest in the name of the local governmental agency. Accordingly, all collateral held by California Agents of Depository are considered to be held for, and in the name of, the local government agency.

Credit Risk
The City’s investment policy limits investments in medium term notes (MTNs) and federal securities to those in a rating category of “A” or its equivalent or better by Moody’s or Standard and Poor’s rating service. As of June 30, 2022, the City’s investment in medium term notes, federal securities and money market funds consisted of the following:

As of June 30, 2022, the City’s investment in external investment pools were unrated.

Custodial Credit Risk
The custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty to a transaction, a government will not be able to recover the value of investment or collateral securities that are in the possession of an outside party. The City does not have a policy for custodial credit risk associated with deposits or investments.

Moody's Moody's
Federal Securities Rating Money Market Funds Rating
Federal Home Loan Bank Note Aaa US Bank Aaa
Federal Home Loan Mortgage Corporation Aaa First American Treasury Aaa Federal National Mortgage Association Aaa Wells Fargo Treasury Plus Aaa 51 598

CITY OF FONTANA
Notes to the Financial Statements
Concentration of Credit Risk
The City’s investment policy imposes restrictions for certain types of investments with any one issuer.

With respect to concentration risk, as of June 30, 2022, the City is in compliance with the restrictions of the investment policy.

Investments guaranteed by the U.S. Government and investments in mutual funds and external investment pools are excluded from this requirement.

Interest Rate Risk
The City’s investment policy limits investment maturity as a means of managing its exposure to fair value losses arising from increasing interest rates. The City’s investment policy states that at least 10% of the City’s portfolio shall mature in one year or less. The only exception to this maturity limit shall be the investment of the gross proceeds of tax-exempt bonds. The City has elected to use the segmented time distribution method of disclosure for its interest rate risk.

As of June 30, 2022, the City had the following investments and maturities:
6 months 6 months 1 to 3 3 to 5 Fair
or less to 1 year years years Value
U.S Government Securities -$ -$ 5,337,315$ 0 $ 6,239,307$ 901,992 Corporate Obligations - 1,565,428 82,997,281 4,926,119 89,488,828 State Investment Pool 77,464,878 - - - 77,464,878
Treasury Notes - - 141,046,643 - 141,046,643
Municipal Bonds 444,559 146,447 74,725 - 665,731
Asset-Backed Securities - - 6,575,877 24,258,502 30,834,379 Certificates of Deposit 7,584,854 1,497,912 - - 9,082,766 Money Market Mutual Funds 101,601,292 - - - 101,601,292 $ 187,095,583 $ 3,209,787 $ 236,031,841 $ 30,086,613 $ 456,423,824 Investment Maturities
State Investment Pool (LAIF) $75 million /account
U.S. Government Securities 100%
Bankers Acceptances 40%
Commercial Paper 10%
Negotiable Certificates of Deposit 30%
Corporate Obligations 30%
Mutual Funds 10%
Mortgage Pass-Through Securities 20%
Certificates of Deposits 100%
Percentage of Pool
Investment Type Allowed
52 599

CITY OF FONTANA
Notes to the Financial Statements
Fair Value Measurement
The City categorizes its fair value investments within the fair value hierarchy established by generally accepted accounting principles. The City has the following recurring fair value measurements as of June 30, 2022:

Note 4. Leases
The City is a lessor in a noncancellable leases for use of City property for cell towers. The leases range from 5 years are required to make fixed monthly payments per month. The leases interest rates range from .31% to 1.70%. The City is a lessor in a 55-year noncancellable lease for an apartment unit complex with fixed monthly rent payments starting at $1,667 per month with annual increase of 2%. The City recognized $127,490 in lease revenue and $11,115 in interest revenue during the current fiscal year related to these agreements. As of June 30, 2022, the lease receivable is $17,689,158 and deferred inflows of resources is $17,254,696.

The City is a lessee in a noncancellable lease for the City’s use of vehicles. For further information on the City’s lease liability see Footnote 8.

Investments Measured at Fair Value
Level 1 Level 2 Level 3 Total Fair Value
U.S Government Securities $ - $ 6,239,307 $ - $ 6,239,307 Corporate Obligations - 89,488,828 - 89,488,828
Treasury Notes 141,046,643 - - 141,046,643
Municipal Bonds - 665,731 - 665,731
Asset-Backed Securities - 30,834,379 - 30,834,379
Certificates of Deposit - 9,082,766 - 9,082,766
Total investments measured at fair value $ 141,046,643 $ 136,311,011 $ - 277,357,654 Investments Not Reported in Fair Value Hierarchy
Money Market Mutual Funds $ 101,601,292
State Investment Pool (LAIF) 77,464,878
Total investments not reported in fair value hierarchy 179,066,170 Total investments held $ 456,423,824
Fair Value Hierarchy
Net Asset Value
53 600

CITY OF FONTANA
Notes to the Financial Statements
Note 5. Receivables
Receivables as of June 30, 2022, for the City’s individual major funds and non-major, proprietary major and non-major, and fiduciary funds in the aggregate, including the applicable allowances for uncollectible accounts, are as follows:

Note: The allowance for doubtful accounts for non-major governmental funds is equal to 100% of the delinquent special assessments receivable at June 30, 2022.

Due to the uncollectability of the loans to the Successor Agency, an allowance for doubtful accounts has been recorded at June 30, 2022 for the loans that are pending approval by the State Department of Finance as enforceable obligations. An allowance has been recorded for these loans in the amount $3,305,829 in Sewer Operations funds. This allowance will remain in place until the State Department of Finance makes further determinations regarding the probability of collection on the loan balances. Several loans have been approved by the State Department of Finance; thus an allowance has not been recorded for the loans in the amounts of $24,978,218 in the General Fund.

Community Nonmajor
Fire Protection Housing Capital Future Capital Sewer Facilities Traffic Governmental General District Authority Reinvestment Projects Expansion Districts Mitigation Funds $ 28,755$ -$ 3,940$ -$ 17,934$ -$ 566$ 102,434$ 3,610,035 - - - - - - - 862,452 -
49,223 3,559,813 - 19,668 - 65 86,217 1,180,715 177,025 - 71,819,475 71,128 - - - - 10,691,029 -
- - - - - - - - 24,978,218
$ 77,978$ 75,379,288$ 75,068$ 19,668$ 17,934$ 65$ 86,783$ 12,836,630$ 28,765,278 - - - - - - - 151,265 207,433
$ 77,978$ 75,379,288$ 75,068$ 19,668$ 17,934$ 65$ 86,783$ 12,685,365$ 28,557,845 Loans to Successor Agency
Less allowance for
doubtful accounts
Accounts
Assessments
Interest
Loans
Special Revenue Capital Projects
Nonmajor Internal
Sewer Proprietary Service Fiduciary
Operations Funds Funds Funds Total
$ -$ 109,977$ -$ 5,302,773$ 1,429,132
- - 554,452 1,416,904 -
1,541 24,855 1,141,911 6,290,175 49,142
1,219,947 - 2,537,912 89,320,481 2,980,990
- - - 28,284,047 3,305,829
$ 1,221,488$ 134,832$ 4,234,275$ 130,614,380$ 7,765,093 - - 1,971,279 5,635,806 3,305,829
$ 1,221,488$ 134,832$ 2,262,996$ 124,978,574$ 4,459,264 Less allowance for
doubtful accounts
Accounts
Assessments
Interest
Loans
Loans to Successor Agency
54 601

CITY OF FONTANA
Notes to the Financial Statements
Note 6. Capital Assets
Capital asset activity for the year ended June 30, 2022, was as follows:

Beginning
Balance Balance
June 30, 2021 Transfers Increases Decreases June 30, 2022 Governmental activities:

Capital assets, not being depreciated
Land 156,533,210$ -$ 4,844,074$ (15,000)$ 161,362,284$
Construction in progress 33,693,678 (14,887,149) 33,576,430 - 52,382,959 Easements 4,996,141 - - - 4,996,141
Total capital assets, not being depreciated 195,223,029 (14,887,149) 38,420,504 (15,000) 218,741,384 Capital assets, being depreciated
Buildings and improvements 298,156,101 14,843,716 3,414,166 - 316,413,983 Machinery and equipment 26,543,936 - 346,379 - 26,890,315 Vehicles 34,062,359 43,433 3,992,104 (1,346,295) 36,751,601 Right to use assets 108,141 - - - 108,141
Infrastructure 860,897,019 - - - 860,897,019
Intangibles 5,384,870 - - - 5,384,870
14,887,149 7,752,649 (1,346,295) 1,246,445,929 1,225,152,426 Less accumulated depreciation for:

Buildings and improvements (142,161,885) - (11,961,561) - (154,123,446) Machinery and equipment (21,158,420) - (1,484,371) - (22,642,791) Vehicles (21,565,379) - (2,480,337) 1,262,442 (22,783,274) Right to use assets - - (1,825) - (1,825)
Infrastructure (526,327,126) - (21,272,455) - (547,599,581) Intangibles (2,383,391) - (72,284) - (2,455,675)
- (37,272,833) 1,262,442 (749,606,592) (713,596,201)
Total capital assets, being depreciated, net 511,556,225 14,887,149 (29,520,184) (83,853) 496,839,337 Governmental activities capital assets, net 706,779,254$ -$ 8,900,320$ (98,853)$ 715,580,721$ 55 602

CITY OF FONTANA
Notes to the Financial Statements
Depreciation expense was charged to functions/programs of the primary government as follows:

Beginning
Balance Balance
June 30, 2021 Transfers Increases Decreases June 30, 2022 Business-type activities:

Capital assets, not being depreciated
Construction in progress 436,820$ -$ 40,285$ -$ 477,105$ Total capital assets, not being depreciated 436,820 - 40,285 - 477,105 Capital assets, being depreciated
Buildings and improvements 1,798,150 - - - 1,798,150
Machinery and equipment 603,611 - - - 603,611
Infrastructure 116,035,868 - - - 116,035,868
Intangibles 64,698 - - - 64,698
- - - 118,502,327 118,502,327
Less accumulated depreciation for:

Buildings and improvements (645,903) - (46,244) - (692,147) Machinery and equipment (592,933) - (4,039) - (596,972) Infrastructure (55,518,589) - (2,782,702) - (58,301,291) Intangibles (64,698) - - - (64,698)
- (2,832,985) - (59,655,108) (56,822,123)
Total capital assets, being depreciated, net 61,680,204 - (2,832,985) - 58,847,219 Business-type activities capital assets, net 62,117,024$ -$ (2,792,700)$ -$ 59,324,324$ Governmental activities:

General government 3,321,940$ Business-type activities:

Public safety 3,009,303 Sewer Operations $ 2,832,985
Public works 6,986,095
Community development 1,284,657
Community services 906,060
Engineering 19,981,890
Total Depreciation charged to functions 35,489,945
Charged to Internal Service Fund 1,782,888
Total Governmental Activities $ 37,272,833
56 603

CITY OF FONTANA
Notes to the Financial Statements
The following material construction commitments existed at June 30, 2022:

Note 7. Interfund Receivables, Payables and Transfers
The composition of interfund balances as of June 30, 2022, is as follows:

Due to/from other funds:

The amounts due to the General Fund are the result of negative cash balances at the end of the year.

Project Name Contract Amount
Expenditures
to date as of
June 30, 2022
Remaining
Commitments
South Fontana Sports Park 11,808,890$ 5,102,667$ 6,706,223$ Fire Station No. 81 8,218,007 738,979 7,479,028
Foothill: Hemlock-Almeria Arterial 1,847,098 321,694 1,525,404 Valley Blvd at Almond Ave TS 1,092,802 590,083 502,719
Valley Blvd at Oleander Ave TS 1,211,588 698,878 512,710 Receivable Fund Payable Fund Amount
General Fund Major Governmental Funds
Community Facilities Districts 7,471,787
Non-major Governmental Funds
Traffic Congestion Relief 572,235
Permanent Local Housing Allocation 321,498
TDA 1,913
Fontana Fire District Grants 66,239
Federal Law Enforcement Block Grant 94,492
Housing and Community Development Block Grant 1,032,316 Community Services Reimbursements 926,280
ASES ELO-P 201,758
Community Facilities Districts General Fund 1,177
Total 10,689,695$
57 604

CITY OF FONTANA
Notes to the Financial Statements
Advances to/from other funds:

The advances from Future Capital Projects to the Capital Improvements fund are representative of a cooperative agreement entered into with the City of Ontario for the Etiwanda Avenue and Slover Avenue / Airport Drive Intersection Project. The City has agreed to pay for the City of Ontario’s DIF share of the project. The City of Ontario will reimburse the City three years after the project construction has been accepted.

The advances from Future Capital Projects to the Storm Drain fund are representative of the cost of the Duncan Storm Drain / I-15 Freeway to Citrus Avenue project. The City is expected to be reimbursed a portion of the costs from developer, Lewis Homes.

The advances from Future Capital Projects to the Traffic Mitigation fund are representative of cooperative agreements entered into with San Bernardino Associated Governments (SANBAG) for various transportation projects throughout the City. SANBAG will repay the amounts owed to the Measure I 2010-2040 fund over a thirty-year period, as Measure I funds are collected. As part of the cooperative agreement, the City was required to fund a certain percentage of each project with Development Impact Fees (DIF) collected in the Traffic Mitigation fund. In order to complete these projects now rather than over a thirty-year period, various funds advanced the SANBAG share and DIF share of each project.

There is no repayment schedule for these advances as the amounts will be repaid as collections are received.

Receivable Fund Payable Fund Amount
Future Capital Projects Capital Improvements 1,717,369$ Storm Drain 2,295,000
Traffic Mitigation 26,691,542
Total 30,703,911$
58 605

CITY OF FONTANA
Notes to the Financial Statements
Interfund transfers:

Interfund transfers primarily consist of allocation of administrative costs, transfer of funding to capital project funds, and transfer of funding to general debt service fund.

Fire Nonmajor
Protection Capital Sewer Governmental Sewer Internal
General District Reinvestment Expansion Funds Operations Service Fund Total Transfer out:

General -$ 278,000$ 6,201,797$ 2,628$ 2,743,772$ -$ 329,680$ 9,555,877$ Fire Protection District 3,686,800 - - - 1,501,000 - - 5,187,800 Housing Authority 47,600 - - - - - - 47,600
Capital Reinvestment 283,529 - - - - - - 283,529
Future Capital Improvements 453,400 - - - - - - 453,400 Sewer Expansion 260,815 - - - - - - 260,815
Traffic Mitigation 181,500 - - - - - - 181,500
Nonmajor Governmental Funds 7,873,294 11,496,100 - - 14,177,279 - - 33,546,673 Sewer Operations 2,949,200 - - - - 502,240 - 3,451,440
Internal Service Fund 209,150 - - - - - - 209,150
$ 11,774,100$ 6,201,797$ 2,628$ 18,422,051$ 502,240$ 329,680$ 53,177,784$ 15,945,288 Transfers In:
59 606

CITY OF FONTANA
Notes to the Financial Statements
Principal Interest Total
2023 1,280,000$ 1,333,550$ 2,613,550$
2024 1,345,000 1,267,925 2,612,925
2025 1,410,000 1,199,050 2,609,050
2026 1,480,000 1,126,800 2,606,800
2027 1,555,000 1,050,925 2,605,925
2028-2032 8,980,000 4,019,125 12,999,125
2033-2037 11,300,000 1,685,350 12,985,350
2038 2,540,000 50,800 2,590,800
Totals 29,890,000$ 11,733,525$ 41,623,525$
2014 Lease Revenue Bonds
Note 8. Long-Term Debt
Long-term debt activity for the year ended June 30, 2022, was as follows:

Lease Revenue Bonds
2014 Lease Revenue Bonds

In November 2014, the Fontana Public Facilities Financing Authority issued $37,675,000 of Lease Revenue Bonds. The proceeds of the issue were used to refinance 2007 Lease Revenue Bonds with an outstanding balance of $29,890,000. The bonds pay interest semiannually at rates ranging from 3.875% to 5.00% and mature from September 2015 through September 2037. Principal and interest payments are made from the lease income for certain real property and the improvements thereon.

Beginning Ending Amounts Amounts
Balance Balance Due Within Due in More
June 30, 2021 Additions Retirements June 30, 2022 One Year Than One Year Governmental Activities:

Lease Revenue Bonds $ 36,185,000 $ 23,125,000 $ 6,295,000 $ 53,015,000 $ 1,760,000 $ 51,255,000 Claims and judgments 13,983,035 9,104,329 2,433,364 20,654,000 3,686,139 16,967,861 Compensated absences 10,320,232 7,961,288 7,182,128 11,099,392 7,182,128 3,917,264 Loan payable - SANBAG 3,259,217 - 407,402 2,851,815 407,402 2,444,413 Lease liability - 108,534 1,825 106,709 22,945 83,764
Total Long-Term Debt - City 63,747,484$ 40,299,151$ 16,319,719$ 87,726,916$ 13,058,614$ 74,668,302$ Total Governmental Activity Long-Term Debt 63,747,484$ 40,299,151$ 16,319,719$ 87,726,916$ 13,058,614$ 74,668,302$ Unamortized bond premium 6,434,853 6,434,853
$ 94,161,769 $ 81,103,155
Business-Type Activities:

Compensated absences 345,449$ 175,419$ 279,155$ 241,713$ 241,713$ -$ Loans payable 6,584,027 - 863,155 5,720,872 878,670 4,842,202 Total Business-Type Activity Long-Term Debt 6,929,476$ 175,419$ 1,142,310$ 5,962,585$ 1,120,383$ 4,842,202$ 60 607

CITY OF FONTANA
Notes to the Financial Statements
Principal Interest Total
2023 480,000$ 901,875$ 1,381,875$
2024 485,000 905,800 1,390,800
2025 505,000 886,400 1,391,400
2026 525,000 866,200 1,391,200
2027 545,000 845,200 1,390,200
2028-2032 3,065,000 3,881,400 6,946,400
2033-2037 3,720,000 3,218,400 6,938,400
2038-2042 4,535,000 2,411,800 6,946,800
2043-2047 4,330,000 1,497,600 5,827,600
2048 4,935,000 607,600 5,542,600
Totals 23,125,000$ 16,022,275$ 39,147,275$
2021 Lease Revenue Bonds
2021 Lease Revenue Bonds

In November 2021, the Fontana Public Facilities Financing Authority issued $23,125,000 of Lease Revenue Bonds. The proceeds of the issue were used to refinance 2010 Lease Revenue Bonds with an outstanding balance of $5,075,000, finance the acquisition, construction and installation of certain public capital improvements and pay the costs of issuing the Lease Revenue bonds Series 2021A Bonds. The bonds pay interest semi-annually at rates of 4.00% and mature from November 2022 through November 2048. Principal and interest payments are made from the lease income for certain real property and the improvements thereon.

SANBAG Loan Payable
The City entered into an agreement with San Bernardino Associated Governments “SANBAG” for the I-15 Duncan Canyon Interchange Project.

Under the agreements, SANBAG contributed $12.0 million of State Proposition 1B Corridor Mobility Improvement funds to the project. A portion of the SANBAG funding public share to the project needs to be paid back, totaling $4,074,021. The City has seven years to pay back the amount without interest. The outstanding balance as of June 30, 2022 is $2,851,815.

Fiscal Year
Ending Principal Interest Total
2023 $ 407,402 $ - $ 407,402
2024 407,402 - 407,402
2025 407,402 - 407,402
2026 407,402 - 407,402
2027 407,402 - 407,402
2028-2029 814,805 - 814,805
Totals $ 2,851,815 $ - $ 2,851,815

SANDBAG
61 608

CITY OF FONTANA
Notes to the Financial Statements
Principal Interest Total
2023 22,945$ 1,567$ 24,512$
2024 22,945 1,226 24,171
2025 22,945 879 23,824
2026 22,945 525 23,470
2027 14,929 165 15,094
Totals 106,709$ 4,362$ 111,071$
Lease Liability
Lease Liability
The City is a lessee in a noncancellable lease for the City’s use of vehicles. The lease terms are in 5 year terms. The leases are required to make a fixed monthly payments ranging between $682 - $752 per month. The City recognized $1,825 in principal lease payments and $104 in interest paid during the current fiscal year related to these agreements. As of June 30, 2022, the lease liability is $106,709.

Future principal and interest payments on the lease liability is as follows:

San Bernardino Trunk Sewer Loans
In March 2007, the City received approval from the State of California Water Resources Control Board for the San Bernardino Trunk Sewer Project. The Project was being funded by the State Revolving Fund on a reimbursement basis for construction costs incurred in relation to the project. The project was done in three phases, with each of the three phases being funded by a separate loan from the State Revolving Fund.

The loans will be repaid in twenty annual installments, payments commenced in the fiscal year ended June 30, 2009.

Fiscal Year
Ending Principal Interest Principal Interest Principal Interest Principal Interest Total 2023 450,317$ 51,923$ 186,485$ 26,692$ 241,868$ 27,533$ 878,670$ 106,148$ 984,818$ 2024 458,583 43,658 189,627 23,547 246,253 23,148 894,463 90,353 984,816 2025 466,999 35,241 192,827 20,350 250,718 18,683 910,544 74,274 984,818 2026 475,571 26,670 196,078 17,098 255,264 14,138 926,913 57,906 984,819 2027 484,300 17,941 199,385 13,792 259,892 9,510 943,577 41,243 984,820 2028 - 2029 493,187 9,053 408,913 17,441 264,605 4,798 1,166,705 31,292 1,197,997 Totals 2,828,957$ 184,486$ 1,373,315$ 118,920$ 1,518,600$ 97,810$ 5,720,872$ 401,216$ 6,122,088$ San Bernardino Trunk Sewer - State Revolving Fund Loans Trunk Sewer Phase Lift Station Phase Force Main Phase Combined Loans 62 609

CITY OF FONTANA
Notes to the Financial Statements
Mello-Roos Community Facilities Districts
Between 1988 and 2022, eighteen Community Facilities Districts have issued Special Tax Bonds. The bonds are authorized pursuant to the Mello-Roos Community Facilities Act of 1982 and are secured by and payable solely from the revenues of an annual special assessment tax levied against land within the Districts. The bonds are not backed by the full faith and credit or taxing power of the City and do not constitute indebtedness of the City. The City is not liable for the bonds, but acts as an agent for the bondholders in collecting the assessments from property owners, forwarding the collections to bondholders and initiating foreclosure proceedings if necessary.

The transactions occurring as a result of the City acting in an agent capacity are being accounted for in an agency fund. As the bonds are financing the construction and installation of certain public improvements, the transactions relating to the construction of the improvements are being accounted for in capital project funds. The bonds are not reflected as an indebtedness of the City at June 30, 2022.

Special Tax Bonds Date of Issue
Original Issue
Amount
Outstanding
Amount at June
30, 2022
CFD # 7 (County Club Estates) July 2005 3,985,000$ 1,445,000$ CFD # 11 (Heritage West End) November 2011 8,800,000 2,995,000 CFD # 12 (Sierra Lakes) July 2005 26,920,000 9,950,000
CFD # 22 (Sierra Hills South) June 2014 31,260,000 23,235,000 CFD # 31 (Citrus Heights North) July 2018 18,485,000 16,290,000 CFD # 31 (Citrus Heights North) October 2021 8,025,000 8,025,000 CFD # 37 (Montelago) September 2005 4,590,000 2,135,000 CFD # 70 (Avellino) July 2013 2,750,000 1,975,000
CFD # 71 (Sierra Crest) July 2016 5,915,000 5,170,000
CFD #74B (Citrus/Summit) June 2019 4,045,000 3,885,000
CFD # 80 (Bella Strada) August 2017 11,125,000 10,295,000 CFD # 81 (Gabriella) March 2018 7,180,000 6,740,000
CFD #86 (Etiwanda Ridge) February 2020 5,025,000 4,820,000 CFD #85 (The Meadows) October 2020 22,460,000 22,090,000 CFD #88 (Sierra Crest II) October 2020 6,510,000 6,510,000 CFD #89 (Belrose) November 2020 5,725,000 5,540,000
CFD #90 (Summit @ Rosena I) June 2021 22,260,000 22,260,000 CFD #87 (El Paseo) July 2021 5,325,000 5,325,000
CFD #95 (Summit @ Rosena 2) May 2022 9,305,000 9,305,000 Total Special Tax Bonds $ 209,690,000 $ 167,990,000
63 610

CITY OF FONTANA
Notes to the Financial Statements
Note 9. Risk Management
The City established risk management programs for workers’ compensation in 1978-79 and for general liability in 1983-84, which are accounted for in the City’s General Fund. The programs are supported by contributions from the other principal City funds and intra-fund transfers.

Effective with an excess coverage insurance policy on July 1, 1992, the workers’ compensation program provides for self-insurance up to a maximum of $1,000,000 per incident. The claims which exceed the limit are insured up to a maximum per incident of $45,000,000.

Under the City’s excess insurance policy for general liability, all claims incurred after October 1, 1992, are self-insured up to a maximum of $1,000,000 per incident. The claims which exceed the limit are insured up to maximum per incident of $25,000,000. The City is self-insured for general liability claims incurred prior to October 1, 1992.

There have been no significant changes in insurance coverage in the last four years. The amount of settlements has not exceeded the amount of insurance coverage for each of the past four fiscal years.

Liabilities under the City’s self-insurance programs are accrued and charged to expenses when claims are reasonably determinable and when the existence of the City’s liability is probable. The accrued liabilities for general liability include an estimate of incurred but not reported claims.

The following is a summary of the changes in the claims liability over the past two fiscal years:

There are several other legal actions pending against the City which management considers incidental to normal operations. These actions are not covered by insurance. All liabilities to be accrued are included in the claims and judgments amount stated above.

Note 10. Litigation
The City of Fontana has been named as a defendant in numerous lawsuits and claims arising in the course of operations. In the aggregate, these claims seek monetary damages in significant amounts. To the extent the outcome of such litigation has been determined to result in probable financial loss to the City, such loss has been accrued in the accompanying financial statements.

Claims payable, June 30, 2020 $ 14,868,907
Claims incurred (including IBNRs) 3,033,796
Claims paid/dismissed (3,919,668)
Claims payable, June 30, 2021 $ 13,983,035
Claims incurred (including IBNRs) 10,590,633
Claims paid/dismissed (3,919,668)
Claims payable, June 30, 2022 $ 20,654,000
64 611

CITY OF FONTANA
Notes to the Financial Statements
Note 11. Jointly Governed Organization
I.R.N.E.T.

The City of Fontana is a member of Inland Regional Narcotics Enforcement Team (I.R.N.E.T.), a joint powers authority of the police departments of 10 cities in San Bernardino and Riverside Counties, and participating county, federal and state law enforcement agencies. The organization was formed September 18, 1989, with the mission to promote coordinated law enforcement efforts and to address emerging criminal justice issues, mainly in the areas of drug trafficking and money laundering. The executive council consists of police chiefs of the cities and resident agents in charge of the federal and state law enforcement agencies. All financial decisions were made by the executive council. The members received monetary distributions from the asset seizures based on their respective contribution to the effort. Financial information for I.R.N.E.T. is not available.

Note 12. Other Post-Employment Benefits Liability
Plan Description
In addition to the pension benefits described in Note 12, the City provides post-retirement health care benefits (OPEB Plan) in accordance with City Council approval to all employees who retire from the City on or after reaching age 50 or over with at least five years of PERS-credited service. The post-retirement health care benefits are provided to eligible retirees by the City, as a single-employer plan. Additional requirements are set forth in the individual contracts for executive positions or in the Memorandum of Understanding (MOUs) for the five bargaining units operating within the City. The amount the City provides on the behalf of retirees is dictated in the contracts or MOUs.

Employees Covered
As of the June 30, 2021 measurement date, the following current and former employees were covered by the benefit terms under the OPEB Plan:

Contributions
The required contribution is based on projected pay-as-you-go financing requirements. For the fiscal year ending June 30, 2022, the City’s cash contributions were $2,593,965 in the form of current premiums, which is funded through the General Fund, and the estimated implied subsidy was $753,456 resulting in total payments of $3,114,653.

Active employees 577
Inactive employees or beneficiaries currently receiving benefits 239 Inactive employees entitled to, but not yet receiving benefits 0 Total 816
65 612

CITY OF FONTANA
Notes to the Financial Statements
OPEB Liability
The City’s OPEB liability was measured as of June 30, 2021 and was determined by an actuarial valuation dated June 30, 2021, based on the following actuarial methods and assumptions:

Discount Rate
The discount rate used to measure the total OPEB liability was 2.19 percent. The discount rate is the average, rounded to 5 basis points, of the range of 3-20 year municipal bond rate indices: S&P Municipal Bond 20 Year High Grade Rate Index, Bond Buyer 20-Bond GO index, Fidelity GO AA 20 Year Bond Index. Sensitivity analysis showing a 1% increase and decrease in the discount rate is also provided.

Changes in the OPEB Liability
The changes in the OPEB liability for the OPEB Plan are as follows:

Actuarial Cost Method: Entry Age Normal
Actuarial Assumptions:

Discount Rate 2.19%
Inflation 2.50%
Salary Increases 2.80% per annum, in aggregate
Mortality Rate Derived using CalPERS’ Membership Data
for all funds
Pre-Retirement Turnover Derived using CalPERS’ Membership Data for all funds
Healthcare Trend Rate
Based on 2021 Getzen model that reflects
actual premium increases from 2021 to 2022
followed by 5.75% non-Medicare/ 5.4%
Medicare, gradually increasing to an ulitmate
rate of 4.04% in 2075.
66 613

CITY OF FONTANA
Notes to the Financial Statements
Sensitivity of the Total OPEB Liability to Changes in the Discount Rate The following presents the OPEB liability of the City if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2021:

Sensitivity of the Total OPEB Liability to Changes in the Health Care Cost Trend Rates The following presents the net OPEB liability of the City if it were calculated using health care cost trend rates that are one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2021:

Total OPEB
Liability
Balance at June 30, 2021
(Measurement Date June 30, 2021) $ 71,376,998
Changes recognized for the measurement period:

Service cost 1,973,739
Interest 1,909,977
Differences between expected and actual experience (7,638,248) Changes of assumptions 4,351,220
Benefit payments (3,114,653)
Net Changes (2,517,965)
Balance at June 30, 2022
(Measurement Date June 30, 2021) $ 68,859,033
Increase (Decrease)
1% Decrease
(1.19%)
Current Discount
Rate (2.19%)
1% Increase
(3.19%)
OPEB Liability $79,748,711 68,859,033$ $60,130,303
1% Decrease
(4.75% decreasing
to 3.04%)
Current Healthcare
Cost Trend Rates
(5.75% decreasing to

4.04%)
1% Increase
(6.75% decreasing
to 5.04%)
OPEB Liability $59,983,743 68,859,033$ $79,803,585
67 614

CITY OF FONTANA
Notes to the Financial Statements
OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB For the fiscal year ended June 30, 2022, the City recognized OPEB expense of $3,928,925. As of fiscal year ended June 30, 2022, the City reported deferred outflows of resources related to OPEB from the following sources:

The $2,856,591 reported as deferred outflows of resources related to contributions subsequent to the June 30, 2021 measurement date will be recognized as a reduction of the net OPEB liability during the fiscal year ending June 30, 2023.

Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as OPEB expense as follows:

Note 13. Pensions
Plan Description
All qualified permanent and probationary employees are eligible to participate in the Local Government’s separate Safety (police and fire) and Miscellaneous (all other) Plans, an agent multiple-employer defined benefit pension plan administered by the California Public Employees’ Retirement System (CalPERS). A full description of the pension plan regarding number of employees covered, benefit provisions, assumptions Deferred Outflows Deferred Inflows
of Resources of Resources
OPEB contributions subsequent to measurement date 2,856,591$ -$ Changes of assumptions 10,039,710 -
Differences between expected and actual experience - 9,678,046 Total 12,896,301$ 9,678,046$
Measurement
period Ended
June 30:

Deferred
Outflows/(Inflows)
of Resources
2022 $ 45,209
2023 45,209
2024 45,209
2025 45,209
2026 45,209
Thereafter 135,619
68 615

CITY OF FONTANA
Notes to the Financial Statements
(for funding, but not accounting purposes), and membership information are listed in the Plan’s June 30, 2020 Annual Actuarial Valuation Report (funding valuation). Details of the benefits provided can be obtained in Appendix B of the actuarial valuation report. This report and CalPERS’ audited financial statements are publicly available reports that can be obtained at CalPERS’ website.

Benefits Provided
CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service, equal to one year of full time employment. The Plans’ provisions and benefits in effect at June 30, 2022, are summarized as follows:

Employees Covered
As of the June 30, 2021 measurement date, the following employees were covered by the benefit terms for each Plan:

Contribution Description
Section 20814(c) of the California Public Employees’ Retirement Law (PERL) requires that the employer contribution rates for all public employers are determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. The total plan Tier I Tier II Tier III
Prior to On or after After Prior to On or after
Hire Date Hire Date July 1, 2011 July 1, 2011 January 1, 2013 July 1, 2011 July 1, 2011 Benefit formula Benefit Formula 3% @ 50 3% @ 55 2.7% @ 57 2.5% @ 55 2% @ 62 Final Average Compensation Period Final Average Compensation Period Highest 1-year salary Final 3-year average Final 3-year average Highest 1-year salary Final 3-year average Benefit vesting schedule Benefit Vesting Schedule 5 yrs credited service 5 yrs credited service 5 yrs credited service 5 yrs credited service 5 yrs credited service Benefit payments Benefit Payments Monthly Monthly Monthly Monthly Monthly Retirement age Retirement Age 50 and above 50 and above 50 and above 55 and above 55 and above Monthly benefit basis Monthly Benefit Basis Benefit factor, years of service and final
compensation
Benefit factor, years of
service and final
compensation
Benefit factor, years of
service and final
compensation
Benefit factor, years of
service and final
compensation
Benefit factor, years of
service and final
compensation
Safety Miscellaneous
Safety Miscellaneous
192 496
68 962
Active employees 183 515
Total 443 1,973
Inactive employees or beneficiaries
currently receiving benefits
Inactive employees entitled to but
not yet receiving benefits
69 616

CITY OF FONTANA
Notes to the Financial Statements
contributions are determined through CalPERS’ annual actuarial valuation process. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The employer is required to contribute the difference between the actuarially determined rate and the contribution rate of employees.

Employer contribution rates may change if plan contracts are amended. Payments made by the employer to satisfy contribution requirements that are identified by the pension plan terms as plan member contribution requirements are classified as plan member contributions; payments made by the employer are paid from the General Fund of the City.

Actuarial Methods and Assumptions used to determine Total Pension Liability The June 30, 2020 valuation was rolled forward to determine the June 30, 2021 total pension liability, based on the following actuarial methods and assumptions:

Actuarial Cost Method Entry Age Normal in accordance with the requirements of GASB Statement No. 68
Actuarial Assumptions
Discount Rate 7.15%
Inflation 2.50%
Salary Increases Varies by Entry Age and Service
Mortality Rate Table1
Post Retirement Benefit Increase
Derived using CalPERS’ Membership Data for all funds
The lesser of contract COLA or 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 Post-retirement mortality rates include 15 years of projected mortality improvement using 90% of Scale MP-2016 published by the Society of Actuaries. For more details on this table, please refer to the CalPERS Experience Study and Review of Actuarial Assumptions report from December 2017. The Experience Study report may be accessed on the CalPERS website at www.calpers.ca.gov under Forms and Publications.

Change of Assumptions
There were no changes of 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 rates, actuarially determined. Based on those assumptions, the Plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on plan investments was applied to all periods of projected benefit payments to determine the total pension liability. 70 617

CITY OF FONTANA
Notes to the Financial Statements
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 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 table below reflects long-term expected real rate of return by asset class. The rate of return was calculated using the capital market assumptions applied to determine the discount rate and asset allocation. The target allocation shown was adopted by the Board effective on July 1, 2017.

Asset Class 1 New Strategic
Allocation
Real Return
Years 1 – 102
Real Return
Years 11+3
Public Equity 50.0% 4.8% 5.98%
Global Fixed Income 28.0 1.00 2.62
Inflation Sensitive 0.0 0.77 1.81
Private Equity 8.0 6.30 7.23
Real Estate 13.0 3.75 4.93
Liquidity 1.0 0.00 (0.92)
1 In the System’s ACFR, Fixed Income is included in Global Debt Securities; Liquidity is included in Short-term Investments; Inflation Assets are included in both Global Equity Securities and Global Debt Securities.
2An expected inflation of 2.0% used for this period.
3An expected inflation of 2.92% used for this period.

Pension Plan Fiduciary Net Position
The plan fiduciary net position (assets) disclosed in the GASB report may differ from the plan assets reported in the actuarial valuation report due to several reasons. First, CalPERS must keep Reserves for Deficiencies and Fiduciary Self Insurance. These amounts are excluded for rate setting purposes in the actuarial valuation report while required to be included for GASB reporting purposes. In addition, differences may result from early CAFR closing and final reconciled reserves.
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CITY OF FONTANA
Notes to the Financial Statements
Detailed information about each pension plan’s fiduciary net position is available in the separately issued CalPERS financial reports. These reports are publicly available reports that can be obtained at https://www.calpers.ca.gov/page/investments/about-investment-office/investment-financialreports.

Liability, Expense and Deferred Outflows/Inflows
The components of the net pension liability at June 30, 2022 are as follows:

Pension expense
At June 30, 2022, the City recognized pension expense for CalPERs of $10,337,507.

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

Total Pension Liability $561,439,944
Plan's Fiduciary Net Position 440,593,199
Net Pension Liability $120,846,745
Plan Fiduciary Net Position as a
Percentage of Total Pension Liability 78.48%
Deferred Outflows of
Resources
Deferred Inflows of
Resources
Pension contributions subsequent to measurement date $ 21,252,597 $ - Differences between Expected and Actual Experience 9,084,476 (625,571) Changes of Assumptions 2,079,385 (127,276)
Net Difference between Projected and Actual Earnings
on Pension Plan Investments - (41,038,211)
Total $ 32,416,458 $ (41,791,058)
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CITY OF FONTANA
Notes to the Financial Statements
Changes in Net Pension Liability
The following table shows the changes in net pension liability recognized over the measurement period for the Safety plan:

Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability
(a) (b) (c) = (a) - (b)
Balance at: 6/30/2020 (VD) $301,863,631 $187,544,710 $114,318,921 Changes Recognized for the Measurement Period:

Service Cost 6,559,973 6,559,973
Interest on the Total Pension Liability 21,409,558 21,409,558 Changes of Benefit Terms - -
Differences between Expected and Actual Experience 1,072,506 1,072,506 Changes of Assumptions - -
Net Plan to Plan Resource Movement - -
Contributions from the Employer 11,820,068 (11,820,068) Contributions from Employees 2,877,842 (2,877,842)
Net Investment Income 43,154,767 (43,154,767)
Benefit Payments, including Refunds of Employee Contributions (13,563,503) (13,563,503) - Administrative Expense (187,346) 187,346
Other Miscellaneous Income/(Expense) -
Net Changes during 2020-21 15,478,534 44,101,828 (28,623,294) Balance at: 6/30/2021 (MD) $317,342,165 $231,646,538 $85,695,627 Increase (Decrease)
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CITY OF FONTANA
Notes to the Financial Statements
The following table shows the changes in net pension liability recognized over the measurement period for the Miscellaneous plan:

Sensitivity of the Net Pension Liability to Changes in the Discount Rate The following presents the net pension liability of the Plan as of the Measurement Date, calculated using the discount rate of 7.15 percent, as well as what the net pension liability would be if it were calculated using a discount rate that is 1 percentage-point lower (6.15 percent) or 1 percentagepoint higher (8.15 percent) than the current rate:

Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability
(a) (b) (c) = (a) - (b)
Balance at: 6/30/2020 (VD) $233,650,124 $170,754,585 $62,895,539 Changes Recognized for the Measurement Period:

Service Cost 4,943,305 4,943,305
Interest on the Total Pension Liability 16,462,337 16,462,337 Changes of Benefit Terms - -
Differences between Expected and Actual Experience (800,611) (800,611) Changes of Assumptions - -
Net Plan to Plan Resource Movement - -
Contributions from the Employer 7,329,666 (7,329,666)
Contributions from Employees 2,383,713 (2,383,713)
Net Investment Income 38,806,647 (38,806,647)
Benefit Payments, including Refunds of Employee Contributions (10,157,377) (10,157,377) - Administrative Expense (170,573) 170,573
Other Miscellaneous Income/(Expense) -
Net Changes during 2020-21 10,447,654 38,192,076 (27,744,422) Balance at: 6/30/2021 (MD) $244,097,778 $208,946,661 $35,151,117 Increase (Decrease)
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CITY OF FONTANA
Notes to the Financial Statements
Discount Rate – 1%
(6.15%)
Current Discount Rate
(7.15%)
Discount Rate + 1%
(8.15%)
Plan’s Net Pension Liability
Safety $131,487,888 $85,695,627 $48,328,256
Plan’s Net Pension Liability
Misc. $69,915,339 $35,151,117 $6,716,911
Amortization of Deferred Outflows and Deferred Inflows of Resources Under GASB 68, 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 inflows and deferred outflows to be recognized in future pension expense.

The amortization period differs depending on the source of the gain or loss:

Difference between projected and actual earnings 5 year straight-line amortization

All other amounts Straight-line amortization 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).

The EARSL for the Safety Plan for the measurement period ending June 30, 2021 was 5.1 years, which was obtained by dividing the total service years of 2,267 (the sum of remaining service lifetimes of the active employees) by 443 (the total number of participants). Inactive employees and retirees have remaining service lifetimes equal to 0. Total future service is based on the members’ probability of decrementing due to an event other than receiving a cash refund.

The EARSL for the Miscellaneous Plan for the measurement period ending June 30, 2021 was 3.2 years, which was obtained by dividing the total service years of 6,236 (the sum of remaining service lifetimes of the active employees) by 1,973 (the total number of participants). Inactive employees and retirees have remaining service lifetimes equal to 0. Total future service is based on the members’ probability of decrementing due to an event other than receiving a cash refund.
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CITY OF FONTANA
Notes to the Financial Statements
Pension Expense and Deferred Outflows and Deferred Inflows of Resources Related to Pensions For the measurement period ending June 30, 2021 (the measurement date), the City of Fontana recognized a pension expense of $8,870,152 for the Safety Plan.

As of June 30, 2022, the City of Fontana reports other amounts for the Safety Plan as deferred outflow and deferred inflow of resources related to pensions as follows:

Employer contributions of $7,920,425 were made after the measurement date of the net pension liability but before the end of the fiscal year; these contributions are reported as deferred outflows of resources and will be recognized as a reduction of the net pension liability in the fiscal year ended June 30, 2023.

Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Deferred Outflows of
Resources
Deferred Inflows of
Resources
Pension contributions subsequent to
measurement date $ 7,920,425 $ -
Differences between Expected and Actual
Experience 8,080,954 (75,151)
Changes of Assumptions 2,079,385 (127,276)
Net Difference between Projected and
Actual Earnings on Pension Plan
Investments
- (21,640,151)
Total $ 18,080,764 $ (21,842,578)
Measurement period
Ended June 30:

Deferred
Outflows/(Inflows) of
Resources
2022 $ (797,310)
2023 (2,415,801)
2024 (3,229,584)
2025 (5,260,575)
2026 21,031
Thereafter -
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CITY OF FONTANA
Notes to the Financial Statements
For the measurement period ending June 30, 2021 (the measurement date), the City of Fontana recognized a pension expense of $1,557,355 for the Miscellaneous Plan.

As of June 30, 2022, the City of Fontana reports other amounts for the Miscellaneous Plan as deferred outflow and deferred inflow of resources related to pensions as follows:

Employer contributions of $13,332,172, were made after the measurement date of the net pension liability but before the end of the fiscal year; these contributions are reported as deferred outflows of resources and will be recognized as a reduction of the net pension liability in the year ended June 30, 2023.

Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Deferred Outflows of
Resources
Deferred Inflows of
Resources
Pension contributions subsequent to
measurement date $ 13,332,172 $ -
Differences between Expected and Actual
Experience 1,003,522 (550,420)
Changes of Assumptions - -
Net Difference between Projected and
Actual Earnings on Pension Plan
Investments
- (19,398,059)
Total $ 14,335,694 $ (19,948,479)
Measurement period
Ended June 30:

Deferred
Outflows/(Inflows) of
Resources
2022 $ (4,223,393)
2023 (4,682,987)
2024 (4,710,841)
2025 (5,327,736)
2026 -
Thereafter -
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CITY OF FONTANA
Notes to the Financial Statements
Subsequent Events
On July 12, 2021, CalPERS reported a preliminary 21.3% net return on investments for fiscal year 2020-21. Based on the thresholds specified in CalPERS Funding Risk Mitigation policy, the excess return of 14.3% prescribes a reduction in investment volatility that corresponds to a reduction in the discount rate used for funding purposes of 0.20%, from 7.00% to 6.80%. Since CalPERS was in the final stages of the four-year Asset Liability Management (ALM) cycle, the board elected to defer any changes to the asset allocation until the ALM process concluded, and the board could make its final decision on the asset allocation in November 2021.

On November 17, 2021, the board adopted a new strategic asset allocation. The new asset allocation along with the new capital market assumptions, economic assumptions and administrative expense assumption support a discount rate of 6.90% (net of investment expense but without a reduction for administrative expense) for financial reporting purposes. This includes a reduction in the price inflation assumption from

2.50% to 2.30% as recommended in the November 2021 CalPERS Experience Study and Review of Actuarial Assumptions. This study also recommended modification to retirement rates, termination rates, mortality rates and rates of salary increases that were adopted by the board.

These new assumptions will be reflected in the GASB 68 accounting valuation reports for the June 30, 2022, measurement date.

Note 14. Public Agency Retirement Services
For some City employees (regular-part-time employees) that do not qualify for inclusion in the CalPERS pension plans administered by the City, the City offers an alternative plan, the Public Agency Retirement Services Alternate Retirement System Plan (PARS ARS). Employees are enrolled, on a voluntary basis, in this defined contribution plan; the plan requires a minimum contribution of 7.5% of the employee wages and are paid by the employees only. There is no annual expense to the City for this benefit.

Note 15. Classification of Fund Balances
In the fund financial statements, government funds report the following fund balance classification:

Nonspendable include amounts that cannot be spent because they are either (a) not in spendable form or (b) legally or contractually required to be maintained intact.

Restricted include amounts that are constrained on the use of resources by either (a) external creditors, grantors, contributors, or laws of regulations of other governments or (b) by law through constitutional provisions or enabling legislation.

Committed include amounts that can only be used for specific purposes pursuant to constraints imposed by formal action of the government’s highest authority, City Council. The formal action that is required to be taken to establish, modify, or rescind a fund balance commitment is resolution.

Assigned include amounts that are constrained by the government’s intent to be used for specific purposes but are neither restricted nor committed. The Chief Finance Officer is authorized to assign amounts to a specific purpose, which was established by the governing body in Administrative Policy # 20-32.
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CITY OF FONTANA
Notes to the Financial Statements
Fire Future Community Other
Protection Housing Economic Capital Capital Sewer Facilities Traffic Governmental General District Authority Stimulus Reinvestment Projects Expansion Districts Mitigation Funds Totals Fund balances:

Nonspendable
Deposits $ 7,877 $ - $ - $ - $ - $ - $ - $ - $ - $ 11,323 $ 19,200 Inventories 375,878 - - - - - - - - 868,948 1,244,826
Land held for resale - - - - 5,650,178 4,379,694 - - - - 10,029,872 Loan receivables - - - - - - - - - 2,855,937 2,855,937
Restricted
Community facilities districts - - - - - - - 30,257,097 - 36,300,553 66,557,650 Community services - - - - - - - - - 66,491 66,491
Debt service reserve - - - - - - - - - 15,368 15,368
Government-access channel 1,510,351 - - - - - - - - - 1,510,351 Housing & community development - - 86,159,945 115,400 - - - - 15,444,197 4,204,856 105,924,398 Lighting and landscaping - - - - - - - - - 4,559,516 4,559,516 Municipal Services Impact - - - - - - - - - 21,722,426 21,722,426 Public safety - 38,463,783 - - - - - - - 6,308,710 44,772,493 Transportation - - - - - - - - - 23,568,892 23,568,892
Solid waste mitigation - - - - - - - - - 3,340,516 3,340,516 Committed
PERS reserve 10,886,393 - - - - - - - - - 10,886,393
Assigned
Capital projects 786,174 - - - 9,493,884 38,291,805 363,217 - - 104,408,453 153,343,533 Equipment replacement 6,797,649 - - - - - - - - - 6,797,649 Retiree benefits 26,360,583 - - - - - - - - - 26,360,583 Unassigned - - - - - - - - (1,599,859) 75,736,672 77,336,531 Total fund balances $ 124,061,436 $ 38,463,783 $ 86,159,945 $ 115,400 $ 15,144,062 $ 42,671,499 $ 363,217 $ 30,257,097 $ 15,444,197 $ 206,632,130 $ 559,312,766 Special Revenue Capital Project
Unassigned include the residual amounts that have not been restricted, committed, or assigned to specific purposes.

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. In governmental funds other than the 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.

An individual governmental fund could include nonspendable resources and amounts that are restricted or unrestricted (committed, assigned, or unassigned) or any combination of those classifications. Restricted amounts are to be considered spent when an expenditure is incurred for purposes for which both restricted and unrestricted fund balance is available and committed, assigned, then unassigned amounts are considered to have been spent when an expenditure is incurred for purposes for which amounts in any of those unrestricted fund balance classifications can be used.

The details of the fund balances as of June 30, 2022 are presented below:

Adequate reserve levels are a necessary component of the City’s overall financial management strategy and to provide for the orderly provision of services to the citizens of the City of Fontana. Those necessary components are as follows:
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CITY OF FONTANA
Notes to the Financial Statements
 Economic uncertainties, local disasters and other hardships or downturns in the local economy  Contingencies for unforeseen operating or capital needs The balance of these components as of June 30, 2022, is $25,974,586 and is included in the unassigned fund balance in the General Fund.

Note 16: Fontana Fire Protection District
The Fontana Fire Protection District (the District) was formed on July 1, 2008 pursuant to the State of California Health and Safety Code commencing with Section 13800, for the purpose of providing fire protection services. The District is a component unit of the City of Fontana; the City of Fontana has oversight responsibility of the District determined by criteria such as financial interdependency, selection of governing authority and designation of management, budget control, ability to significantly influence operations, etc.

The accounts of the District have been included within the scope of the basic financial statement of the City because the City Council has financial accountability over the operations of the District. The following information is relative only to the District as a component unit, which is an integral part of the total reporting entity.

The District reports the following governmental funds:

The Fire Protection District Special Revenue Fund accounts for the cost of fire suppression, emergency medical, fire prevention and education services incurred by the District within the City’s Sphere of Influence.

The Fire Protection District CFD Special Revenue Fund accounts for the special taxes levied on property developed after January 2, 2001 to finance fire protection and suppression services within the Community Facilities District.

The Fire Protection District Capital Project Fund accounts for the money expended on capital improvements and equipment replacement for the District.
a. Cash and investments
As of June 30, 2022, the District reported $46,935,406 as cash and investments.

The District’s funds are pooled with the City of Fontana’s cash and investments in order to generate optimum interest income. Each fund’s share of the pooled cash account is separately accounted for, and investment income is allocated to all participating funds based on the relationship of their average daily cash balances to the total of the pooled cash and investments. Information regarding the authorized types of deposits and investments, the type of risks (i.e. credit, interest rate, custodial, etc.) and other disclosures associated with the City’s pooled cash and investment is included in Note 3. 80 627

CITY OF FONTANA
Notes to the Financial Statements
b. Capital Assets
An analysis of capital assets as of June 30, 2022, follows:

Depreciation expense was charged to functions/programs of the primary government as follows:

Governmental Activities:

Public safety – fire protection $ 1,293,258
c. Long-Term Debt
The District does not have any outstanding debt as of June 30, 2022.

Balance Balance
June 30, 2021 Increases Decreases June 30, 2022
Capital assets, not being depreciated
$ 1,122,000 $ - $ - $ 1,122,000
1,122,000 - - 1,122,000
Capital assets, being depreciated
16,404,903 8,500 - 16,413,403
2,265,956 274,253 - 2,540,209
Vehicles 11,782,729 557,393 - 12,340,122
Infrastructure 1,012,418 - - 1,012,418
840,146 - 32,306,152 31,466,006
Less accumulated depreciation for:
(4,223,814) (468,507) - (4,692,321)
(1,181,102) (221,050) - (1,402,152)
(7,340,256) (569,878) - (7,910,134)
(238,782) (33,823) - (272,605)
(12,983,954) (1,293,258) - (14,277,212)
18,482,052 (453,112) - 18,028,940
Total Capital assets, net $ (453,112)$ -$ 19,150,940$ 19,604,052 Buildings and improvements
Machinery and equipment
Vehicles
Infrastructure
Total capital assets, being depreciated, net
Land
Total capital assets, not being depreciated
Buildings and improvements
Machinery and equipment
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CITY OF FONTANA
Notes to the Financial Statements
d. Fund Balance
The district reports fund balances in accordance with the classifications consistent with the City, see Note 15 for more information on the types and descriptions of the fund balance classifications. The details of the fund balances as of June 30, 2022 are presented below:
e. Fire Protection Services Agreement
The District entered into a fire protection services agreement with the San Bernardino County Fire Protection District (County) effective July 1, 2018 for a period of twenty (20) years. The agreement calls for the County to provide to the District fire prevention, fire investigation, fire suppression, advance life support services, ambulance transportation service, hazardous materials, and rescue services.

The District paid $37,436,425 to the County for these services during the fiscal year ending June 30, 2022. The County also provides various administrative duties including billing and collecting of advanced life support and ambulance transportation fees for the District.

The District leased its real property, furniture and fixtures, and fire apparatus and equipment to the County for one dollar for the life of the contract. The agreement calls for the County to maintain insurance for workers compensation, comprehensive general and automobile.

The details of the contract expenses for the fiscal year ending June 30, 2022 are as follows:

Fire Fire Fire
Protection Protection Protection
District District CFD District Totals
Fund balances:

Restricted
Public safety $ 38,463,783 $ 4,328,880 $ - $ 42,792,663 Assigned
Equipment replacement - - 24,808,764 24,808,764
Total fund balances $ 38,463,783 $ 4,328,880 $ 24,808,764 $ 67,601,427 Special Revenue Capital Project
Salaries and benefits $ 30,695,113
Services and supplies 3,508,675
Station expenses 1,280,860
Fire Prevention services 329,827
County contract management fee 1,622,250
Total contract expenses $ 37,436,725
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CITY OF FONTANA
Notes to the Financial Statements
Note 17. Successor Agency Trust for Assets of Former Redevelopment Agency On December 29, 2011, the California Supreme Court upheld Assembly Bill 1X 26 (“the Bill”) that provided for the dissolution of all redevelopment agencies in the State of California. This action impacted the reporting entity of the City of Fontana that previously had reported a redevelopment agency within the reporting entity of the City as a blended component unit. In accordance with the timeline set forth in the Bill (as modified by the California Supreme Court on December 29, 2011) all redevelopment agencies in the State of California were dissolved and ceased to operate as a legal entity as of February 1, 2012.

The Bill provides that upon dissolution of a redevelopment agency, either the city or another unit of local government will agree to serve as the “successor agency” to hold the assets until they are distributed to other units of state and local government. On January 10, 2012, the City Council elected to become the Successor Agency for the former redevelopment agency in accordance with the Bill as part of City resolution number 2012- 001.

After enactment of the law, which occurred on June 28, 2011, redevelopment agencies in the State of California cannot enter into new projects, obligations or commitments. Subject to the control of a newly established oversight board, remaining assets can only be used to pay enforceable obligations in existence at the date of dissolution (including the completion of any unfinished projects that were subject to legally enforceable contractual commitments).

In future fiscal years, successor agencies will only be allocated revenue in the amount that is necessary to pay the estimated annual installment payments on enforceable obligations of the former redevelopment agency until all enforceable obligations of the prior redevelopment agency have been paid in full and all assets have been liquidated.

The Bill directs the State Controller of the State of California to review the propriety of any transfers of assets between redevelopment agencies and other public bodies that occurred after January 1, 2011. If the public body that received such transfers is not contractually committed to a third party for the expenditure or encumbrance of those assets, the State Controller is required to order the available assets to be transferred to the public body designated as the successor agency by the Bill. This review was completed October 2014 and identified $7,124,646 in unallowable transfers. The City has contended all unallowable transfers however the State Controller upholds its initial finding and has instructed the City to return the assets to the Successor Agency in a timely manner. As of June 30, 2022, the assets have not yet been returned to the State Controller.

Management believes, in consultation with legal counsel, that the obligations of the former redevelopment agency due to the City are valid enforceable obligations payable by the successor agency trust under the requirements of the Bill. The City’s position on this issue is not a position of settled law and there is considerable legal uncertainty regarding this issue. It is reasonably possible that a legal determination may be made at a later date by an appropriate judicial authority that would resolve this issue unfavorably to the City.

As of June 30, 2022, there is one obligation that has been denied by the State Department of Finance that is currently being contested through the California court system. The Jurupa Hills Owner Participation Agreement (OPA) has been disallowed due to insufficient documentation to support the outstanding obligation, inability to ever repay the entire debt and the opinion that the agreement appears contrary to public policy. In July 2016, the Courts ruled in favor of the Successor Agency; the State Department of Finance has filed an appeal to the ruling. 83 630

CITY OF FONTANA
Notes to the Financial Statements
After the date of dissolution, the assets and activities of the dissolved redevelopment agency are reported in a fiduciary fund (private-purpose trust fund) in the financial statements of the City.
a. Cash and investments
Cash and investments reported in the accompanying financial statements consisted of the following:

b. Loans Receivable
Loans receivable reported in the accompanying financial statements consist of the following:

1. A loan was issued for the Oleander Storm Drain on March 2003 in the amount of $850,429. The balance of the loan at June 30, 2022 was $850,429. The purpose of the loan was to assist the developer with infrastructure improvements. There is no set repayment schedule for this loan.

2. A loan was issued for the Chaffey College in February 2005 in the amount of $4,000,000. The balance of the loan at June 30, 2022 was $1,620,000. The purpose of the loan was to assist with the costs of expanding the campus located within the City of Fontana. This loan is scheduled to be repaid over a term of 30 years.

3. Various loans were issued for the San Gabriel Valley Water Company in 1988-1989 in the amount of $330,756. The balance at the loan at June 30, 2022 was $67,483. The loan represents the reimbursement of costs incurred by the Agency for construction of water infrastructure. This loan is scheduled to be repaid over a forty-year period.

Cash and investments pooled with the City 509,841$
Cash and investments with fiscal agent 19,022,971
$ 19,532,812
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CITY OF FONTANA
Notes to the Financial Statements
c. Long-Term Debt
A description of long-term debt outstanding (excluding defeased debt) of the Successor Agency as of June 30, 2022, follows:

Tax Allocation Bonds
The Former Fontana Redevelopment Agency has issued the following Tax Allocation Bonds which are special obligations of the Successor Agency secured by pledged property tax revenues. The bonds are not a debt of the City and are not payable out of any funds or properties other than those of the Successor Agency.
2017 Tax Allocation Refunding Bonds
$208,125,000 of 2017 Tax Allocation Refunding Bonds were issued in November 2017. The bonds pay interest semi-annually at rates ranging from 1.50% to 3.00% and mature from October 2018 to October 2036. The proceeds were used to refinance various tax allocation bonds previously issued by the Former Redevelopment Agency of the City of Fontana.

Amounts Amounts
Balance Balance Due Within Due in More
Fiduciary Activities: June 30, 2021 Additions Retirements June 30, 2022 One Year Than One Year Tax Allocation Bonds and Notes:
2017 Tax Allocation Refunding Bonds $ 172,540,000 $ - $ 11,300,000 $ 161,240,000 $ 11,240,000 $ 150,000,000 2018 Tax Allocation Refunding Bonds 25,710,000 - 3,160,000 22,550,000 3,315,000 19,235,000 Other Redevelopment Agency:

Advances from City 29,514,822 - 1,230,775 28,284,047 1,389,833 26,894,214 Owner participation agreements 206,957,226 423,148 - 207,380,374 - 207,380,374 Total Redevelopment Agency $ 434,722,048 $ 423,148 $ 15,690,775 $ 419,454,421 $ 15,944,833 $ 403,509,588 Unamortized bond premium 31,126,203 31,126,203
$ 434,635,791$ 450,580,624
Principal Interest Total
2023 11,240,000$ 7,533,525$ 18,773,525$
2024 11,770,000 6,979,725 18,749,725
2025 12,275,000 6,399,006 18,674,006
2026 12,755,000 5,793,138 18,548,138
2027 13,380,000 5,158,500 18,538,500
2028-2032 72,345,000 14,721,525 87,066,525
2033-2037 27,475,000 2,291,800 29,766,800
Totals 161,240,000$ 48,877,219$ 210,117,219$
2017 Tax Allocation Refunding Bonds
85 632

CITY OF FONTANA
Notes to the Financial Statements
2018 Tax Allocation Refunding Bonds
$31,580,000 of 2018 Tax Allocation Refunding Bonds were issued in July 2018. The bonds mature October 1, 2027, with an interest yield of 5.00 percent. The proceeds from the bonds will be used to refinance various tax allocation bonds previously issued by the Former Redevelopment Agency of the City of Fontana for the Jurupa Hills Project Area. The refinancing resulted in a difference between the reacquisition price and the net carrying amount of the old debt of $13.6 million.

The details of those issues are as follows:

The Successor Agency completed the refinancing to reduce its total debt service payments over the next 10 years by $14.0 million and to obtain an economic gain (difference between the present value of the old and new debt service payments of $6.5 million.

Long-Term Payables to the City of Fontana
The advances between the City and the Former Redevelopment Agency include the following:

1. A loan between the Agency and the City which resulted from the amendment to the 1991 Junior Lien Tax Allocation Bonds.

2. Advances between the City and the Agency for administrative and other costs.

Principal Interest Total
2023 3,315,000$ 1,044,625$ 4,359,625$
2024 3,480,000 874,750 4,354,750
2025 3,655,000 696,375 4,351,375
2026 3,840,000 509,000 4,349,000
2027 4,030,000 312,250 4,342,250
2028 4,230,000 105,750 4,335,750
Totals 22,550,000$ 3,542,750$ 26,092,750$
2018 Tax Allocation Refunding Bonds
$ 1997 Series A Tax Allocation Bonds (Jurupa Hills) 38,800,000 1999 Series A Tax Allocation Bonds (Jurupa Hills) 6,375,000 $ 45,175,000
86 633

CITY OF FONTANA
Notes to the Financial Statements
Payable Under Jurupa Hills Owner Participation Agreement The Agency has entered into an owner participation agreement (OPA) with Ten-Ninety, Ltd., a private land development partnership (the Participating Owner), relating to the Jurupa Hills Project Area. The OPA requires, among other things, the reimbursement by the Agency to the Participating Owner of costs incurred for certain infrastructure and other improvements. Costs advanced, which accrue interest at 15.5%, are reimbursed from, and limited to: (i) the tax increment revenue generated in the Southridge Village portion of the Jurupa Hills Project Area and (ii) certain fees and assessments collected from benefited property owners.

In January 1992, the City, Agency and Participating Owner entered into two agreements in further implementation of the development of Southridge Village; a Facilitation Agreement and an Amendment No. 3 to OPA and Composite OPA. On March 31, 1992, a judgment was entered by the San Bernardino County Superior Court validating the provisions of these two agreements and declaring them to be legally binding upon the parties.

The Facilitation Agreement provides for specific allocations of costs and responsibilities between the City and Participating Owner with respect to certain public works items and for the discharge of the Participating Owner’s obligations and responsibilities with respect to the infrastructure items for Phase I, II and III of Southridge Village.

Amendment No. 3 to OPA includes acknowledgment that the Participating Owner has completed its infrastructure obligations relating to the development of Southridge Village and provides for certain payments by the Participating Owner to the Agency and City, in order to mitigate certain negative fiscal impacts imposed by the development and continued existence of Southridge Village. As described in the agreements, the payments to the City and Agency will be in amounts equal to 35% of the residual tax increments and 50% of the assessments and other reimbursements to be paid to the Participating Owner as reimbursement for public infrastructure improvements installed by the Participating Owner.

The balance at June 30, 2022 does not include $767,554,448 of accumulated unpaid interest that is subject to the same limitations of reimbursement from tax increment revenue, fees and assessments as is the case for costs of construction advanced. The total reimbursement costs of the project are $206,342,956. This obligation has been disallowed by the State Department of Finance due to insufficient documentation to support the outstanding obligation, inability to ever repay the entire debt and the opinion that the agreement appears contrary to public policy.

This determination is currently being challenged in the California court system by the Successor Agency. A hearing was held in July 2016, in which the courts ruled in favor of the Successor Agency.

Pledged Revenue
The Successor Agency pledged, as security for bonds issued, either directly or through the Financing Authority, a portion of tax increment revenue (including Low and Moderate Income Housing set-aside and pass through allocations) that it receives. The bonds issued were to provide financing for various capital projects, accomplish Low and Moderate Income Housing projects and to defease previously issued bonds. Assembly Bill 1X 26 provided that upon dissolution of the Redevelopment Agency, property taxes allocated to redevelopment agencies no longer are deemed tax increment but rather property tax revenues and will be allocated first to successor agencies to make payments on the indebtedness incurred by the dissolved redevelopment agency. Total principal and interest remaining on the debt is $283,116,777 with annual debt service requirements as indicated above. For the current year, the total property tax revenue recognized by the Successor Agency for the payment of indebtedness incurred by the dissolved redevelopment agency was $35,445,029 and the debt service obligation on the bonds was $28,021,777. 87 634

CITY OF FONTANA
Notes to the Financial Statements
d. Insurance
The Successor Agency is covered under the City of Fontana’s insurance policies. Therefore, the limitation and self-insured retentions applicable to the City also apply to the Successor Agency. Additional information as to coverage and self-insured retentions can be found in Note 8. e. Commitments and Contingencies
At June 30, 2022, the Successor Agency was involved as a defendant in several lawsuits arising out of the ordinary conduct of its affairs. It is the opinion of management that settlements of these lawsuits, including losses for claims that are incurred but not reported, if any, will not have a material effect on the financial position of the Successor Agency.

Note 18. Tax Abatement
The City occasionally enters into Operating Covenant Agreements (OCA) with local businesses as a mechanism to promote economic development in the City, retain business and create jobs. The City currently has one OCA in which the City is granting a portion of sales tax revenues generated back to the retailer as an incentive to continue operating their business in the City.

The OCA was entered into in December 2015 and has an initial term of 20 years. The City has agreed to share (50%-50%) the sales tax generated each quarter that exceeds the agreed upon base amount.

Note 19. Prior Period Adjustment
During the year ended June 30, 2022, the City made prior period adjustments as follows:

Governmental Housing Capital Other
Activities Authority Reinvestment Governmental
Net position at July 1, 2021, as previously reported 985,584,603$ 87,708,994$ 19,823,764$ 196,624,004$ Prior period adjustments:

To correct prior year unavailable revenue (678,959) (678,959) - - To correct loan receivable balance 71,128 - 71,128 -
To establish the TDA fund (9,198) - - (9,198)
Net position at July 1, 2021, as restated 984,967,574$ 87,030,035$ 19,894,892$ 196,614,806$ 88 635
Measurement Period 2021 2020 2019 2018 2017 2016 2015 2014

TOTAL PENSION LIABILITY
Service Cost 6,559,973$ 6,574,765$ 6,391,012$ 6,252,517$ 6,181,410$ 5,464,647$ 5,255,619$ 5,261,265$ Interest 21,409,558 20,347,932 18,942,663 17,568,272 16,583,112 15,674,983 14,718,880 13,833,230 Changes of Benefit Terms - - - - - - - -
Difference between Expected and Actual Experience 1,072,506 6,367,568 6,274,697 1,250,890 (544,846) 773,988 463,048 - Changes of Assumptions - - - (445,464) 15,075,525 - (3,940,129) - Benefit Payments, Including Refunds of Employee Contributions (13,563,503) (12,716,297) (11,561,706) (10,323,275) (9,330,793) (8,666,808) (8,043,006) (7,265,033) Net Change in Total Pension Liability 15,478,534 20,573,968 20,046,666 14,302,940 27,964,408 13,246,810 8,454,412 11,829,462 Total Pension Liability – Beginning 301,863,631 281,289,663 261,242,997 246,940,057 218,975,649 205,728,839 197,274,427 185,444,965 Total Pension Liability – Ending (a) 317,342,165$ 301,863,631$ 281,289,663$ 261,242,997$ 246,940,057$ 218,975,649$ 205,728,839$ 197,274,427$

PLAN FIDUCIARY NET POSITION
Contributions – Employer 11,820,068 10,500,692 9,196,355 8,215,736 7,706,792 6,985,270 6,756,772 6,213,039 Contributions – Employee 2,877,842 2,720,062 2,639,928 2,577,060 2,509,352 2,505,888 2,177,122 1,764,545 Net Investment Income 43,154,767 8,990,686 11,157,517 13,214,512 15,449,532 710,225 2,956,715 19,674,310 Benefit Payments, Including Refunds of Employee Contributions (13,563,503) (12,716,297) (11,561,706) (10,323,275) (9,330,793) (8,666,808) (8,043,006) (7,265,033) Other Changes in Net Fiduciary Position (187,346) (251,361) (118,778) (696,076) (203,553) (83,139) (153,538) - Net Change in Fiduciary Net Position 44,101,828 9,243,782 11,313,316 12,987,957 16,131,330 1,451,436 3,694,065 20,386,861 Plan Fiduciary Net Position – Beginning 187,544,710 178,300,928 166,987,612 153,999,655 137,868,325 136,416,889 132,722,824 112,335,963 Plan Fiduciary Net Position – Ending (b) 231,646,538 187,544,710 178,300,928 166,987,612 153,999,655 137,868,325 136,416,889 132,722,824 Plan Net Pension Liability – Ending (a) - (b) 85,695,627$ 114,318,921$ 102,988,735$ 94,255,385$ 92,940,402$ 81,107,324$ 69,311,950$ 64,551,603$ Plan Fiduciary Net Position as a Percentage of the Total Pension Liability 73.00% 62.13% 63.39% 63.92% 62.36% 62.96% 66.31% 67.28% Covered Payroll 23,795,599 23,158,734 22,436,218 21,782,736 21,411,929 21,176,697 20,121,052 19,360,681 Plan Net Pension Liability as a Percentage of Covered Payroll 360.13% 493.63% 459.03% 432.71% 434.06% 383.00% 344.47% 333.42% Notes to Schedule:

GASB 68 was implemented in FY 2014-15, therefore only eight years of information is being presented.

CITY OF FONTANA
Changes of Assumptions: In 2019, 2020 and 2021, there were no changes. In 2018, demographic assumptions and inflation rate were changed in accordance with the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes to 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.

Safety Plan
Schedule of Changes in Net Pension Liability and Related Ratios During the Measurement Period Benefit Changes: The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary. 89 636
Measurement Period 2021 2020 2019 2018 2017 2016 2015 2014

TOTAL PENSION LIABILITY
Service Cost 4,943,305$ 5,099,318$ 5,057,352$ 4,814,030$ 4,788,249$ 4,194,877$ 4,254,965$ 4,004,767$ Interest 16,462,337 15,725,500 14,869,142 13,725,324 13,067,481 12,382,291 11,767,900 11,147,316 Changes of Benefit Terms - - - - - - - -
Difference between Expected and Actual Experience (800,611) 629,230 5,210,993 (556,946) (1,186,594) (1,811,514) (1,027,499) - Changes of Assumptions - - - (972,809) 11,708,939 - (3,097,256) - Benefit Payments, Including Refunds of Employee Contributions (10,157,377) (9,124,186) (8,075,186) (7,673,900) (6,602,614) (6,385,882) (5,914,227) (5,994,855) Net Change in Total Pension Liability 10,447,654 12,329,862 17,062,301 9,335,699 21,775,461 8,379,772 5,983,883 9,157,228 Total Pension Liability – Beginning 233,650,124 221,320,262 204,257,961 194,922,262 173,146,801 164,767,029 158,783,146 149,625,918 Total Pension Liability – Ending (a) 244,097,778$ 233,650,124$ 221,320,262$ 204,257,961$ 194,922,262$ 173,146,801$ 164,767,029$ 158,783,146$

PLAN FIDUCIARY NET POSITION
Net Plan to Plan Resource Movement - - - (354) 13,206 - - - Contributions – Employer 7,329,666 6,606,745 5,841,667 5,081,435 4,478,806 4,452,429 3,868,104 3,657,678 Contributions – Employee 2,383,713 2,313,683 2,369,932 2,238,093 2,148,688 2,157,198 2,068,784 2,016,250 Net Investment Income 38,806,647 8,280,112 10,133,426 12,059,314 14,325,541 622,155 2,781,662 18,466,862 Benefit Payments, Including Refunds of Employee Contributions (10,157,377) (9,124,186) (8,075,186) (7,673,900) (6,602,614) (6,385,882) (5,914,227) (5,994,855) Other Changes in Net Fiduciary Position (170,573) (229,660) (108,649) (640,045) (188,255) (77,240) (142,590) - Net Change in Fiduciary Net Position 38,192,076 7,846,694 10,161,190 11,064,543 14,175,372 768,660 2,661,733 18,145,935 Plan Fiduciary Net Position – Beginning 170,754,585 162,907,891 152,746,701 141,682,158 127,506,786 126,738,126 124,076,393 105,930,458 Plan Fiduciary Net Position – Ending (b) 208,946,661 170,754,585 162,907,891 152,746,701 141,682,158 127,506,786 126,738,126 124,076,393 Plan Net Pension Liability – Ending (a) - (b) 35,151,117$ 62,895,539$ 58,412,371$ 51,511,260$ 53,240,104$ 45,640,015$ 38,028,903$ 34,706,753$ Plan Fiduciary Net Position as a Percentage of the Total Pension Liability 85.60% 73.08% 73.61% 74.78% 72.69% 73.64% 76.92% 78.14% Covered Payroll 32,584,261 31,712,176 30,080,386 29,204,258 28,947,762 28,347,600 28,221,562 25,050,147 Plan Net Pension Liability as a Percentage of Covered Payroll 107.88% 198.33% 194.19% 176.38% 183.92% 161.00% 134.75% 138.55% Notes to Schedule:

GASB 68 was implemented in FY 2014-15, therefore only eight years of information is being presented.

Changes of Assumptions: In 2019, 2020 and 2021, there were no changes. In 2018, demographic assumptions and inflation rate were changed in accordance with the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes to 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.

CITY OF FONTANA
Miscellaneous Plan
Schedule of Changes in Net Pension Liability and Related Ratios During the Measurement Period Benefit Changes: The figures above generally include any liability impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary. 90 637
Fiscal Year 2021-22 2020-21 2019-20 2018-19 2017-18 2016-17 2015-16 2014-15 2013-14 Actuarially Determined Contribution $ 13,332,172 $ 11,820,068 $ 10,500,692 $ 9,196,355 $ 8,215,736 $ 7,706,792 $ 6,985,270 $ 6,756,772 $ 6,213,039 Contributions in Relation to the
Actuarially Determined Contribution (13,332,172) (11,820,068) (10,500,692) (9,132,884) (8,215,736) (7,706,792) (6,985,270) (6,756,772) (6,213,039) Contribution Deficiency (Excess) $ - $ - $ - $ - $ - $ - $ - $ - $ - Covered Payroll $ 24,976,011 $ 23,795,599 $ 23,158,734 $ 22,436,218 $ 21,782,736 $ 21,411,929 $ 21,176,697 $ 20,121,052 $ 19,360,681 Contributions as a Percentage of
Covered Payroll 53.38% 49.67% 45.34% 40.99% 37.72% 35.99% 32.99% 33.58% 32.09% Notes to Schedule:

Actuarial Cost Method Entry Age Normal
Amortization Method/Period For details, see June 30, 2018 Funding Valuation Report Asset Valuation Method Actuarial Value of Assets. For details, see June 30, 2018 Funding Valuation Report.

Inflation 2.50%
Salary Increases Varies by Entry Age and Service
Payroll Growth 2.75%
Investment Rate of Return 7.00% Net of Pension Plan Investment Expenses, including Inflation.

Retirement Age
Mortality

CITY OF FONTANA
Schedule of Plan Contributions
Safety Plan
The probabilities of mortality are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015. Preretirement and Post-retirement mortality rates include 15 years of projected mortality using 90% of Scale MP-2016 published by the Society of Actuaries.

The probabilities of Retirement are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015.

GASB 68 was implemented in FY 2014-15, therefore only the eight most recent years of information is being presented.

The actuarial methods and assumptions used to set the actuarially determined contributions for Fiscal Year 2021-22 were from the June 30, 2019 public agency valuations. 91 638
Fiscal Year 2021-22 2020-21 2019-20 2018-19 2017-18 2016-17 2015-16 2014-15 2013-14 Actuarially Determined Contribution $ 7,920,425 $ 7,329,666 $ 6,606,745 $ 5,841,667 $ 5,081,435 $ 4,478,806 $ 4,452,429 $ 3,868,104 $ 3,657,678 Contributions in Relation to the
Actuarially Determined Contribution (7,920,425) (7,329,666) (6,606,745) (5,841,667) (5,081,435) (4,478,806) (4,452,429) (3,868,104) (3,657,678) Contribution Deficiency (Excess) $ - $ - $ - $ - $ - $ - $ - $ - $ - Covered Payroll $ 31,672,556 $ 32,584,261 $ 31,712,176 $ 30,080,386 $ 29,204,258 $ 28,947,762 $ 28,347,600 $ 28,221,562 $ 25,050,147 Contributions as a Percentage of
Covered Payroll 25.01% 22.49% 20.83% 19.42% 17.40% 15.47% 15.71% 13.71% 14.60% Notes to Schedule:

Actuarial Cost Method
Amortization Method/Period For details, see June 30, 2018 Funding Valuation Report Asset Valuation Method Actuarial Value of Assets. For details, see June 30, 2018 Funding Valuation Report.

Inflation 2.50%
Salary Increases Varies by Entry Age and Service
Payroll Growth 2.75%
Investment Rate of Return 7.00% Net of Pension Plan Investment Expenses, including Inflation.

Retirement Age
Mortality
GASB 68 was implemented in FY 2014-15, therefore only the eight most recent years of information is being presented.

The probabilities of Retirement are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015.

The probabilities of mortality are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015. Pre-retirement and Post-retirement mortality rates include 15 years of projected mortality using 90% of Scale MP-2016 published by the Society of Actuaries.

Entry Age Normal

CITY OF FONTANA
Miscellaneous Plan
Schedule of Plan Contributions
The actuarial methods and assumptions used to set the actuarially determined contributions for Fiscal Year 2020-21 were from the June 30, 2020 public agency valuations. 92 639
Measurement Period 2021 2020 2019 2018 2017

TOTAL OPEB LIABILITY
Service cost 1,973,739$ 1,406,780$ 1,114,136$ 1,109,799$ 1,073,307$ Interest on the total OPEB liability 1,909,977 2,328,825 2,442,178 2,377,354 2,345,864 Actual and expected experience difference (7,638,248) (3,610,614) (1,274,244) - - Changes in assumptions 4,351,220 7,714,949 (3,295,758) (1,014,856) - Changes in benefit terms - - - - -
Benefit payments (3,114,653) (2,784,909) (2,653,423) (2,591,180) (2,467,790) Net change in total OPEB liability 5,055,031 (3,667,111) (118,883) 951,381 (2,517,965) Total OPEB liability - beginning 66,321,967 71,376,998 69,989,078 70,107,961 69,156,580 Total OPEB liability - ending (a) $ 71,376,998$ 68,859,033 66,321,967$ 69,989,078$ 70,107,961$ Covered-employee payroll $ 54,870,910$ 52,516,604$ 50,986,994$ 50,359,691$ 50,801,314 Net OPEB liability as a percentage of covered-employee payroll 135.55% 130.08% 126.29% 137.27% 139.21% Notes to Schedule:

Historical information is required only for measurement periods for which GASB 75 is applicable.

Future years' information will be displayed up to 10 years as information becomes available.

CITY OF FONTANA
Schedule of Changes in Total OPEB Liability and Related Ratios for the Measurement Periods Ended June 30,
93 640
Non-Major Governmental Funds
Special Revenue Funds
Special Revenue funds are used to account for specific revenues that are legally restricted to expenditures for particular purposes.

Gas Tax - To account for receipts and expenditures of money apportioned by the State and Highway Code §'s 2103, 2105, 2106, 2107 and 2107.5. Gas Tax moneys can only be used to construct and maintain streets and highways.

Traffic Congestion Relief – To account for the receipt of voter-approved (Measure I) tax revenue relating to the relief of traffic congestion through maintenance and upkeep of streets and highways.

Traffic Safety - To account for fines collected on vehicle code infractions and the use of expenditures for traffic safety purposes.

Prop 1B – To account for the receipts and expenditures of money allocated by the Highway Safety, Traffic Reduction, Air Quality and Port Security Bond Act of 2006, Local Street and Roads Improvement Allocation. Prop 1B moneys can only be used on street improvement projects.

Municipal Services Fiscal Impact - To account for moneys paid by developers of new development projects to mitigate their negative impact on the City's services and General Fund.

Solid Waste Mitigation - To account for moneys paid by the County of San Bernardino to mitigate the use of city infrastructure for refuse disposed at the landfill just outside of city limits.

Road Maintenance and Rehabilitation – the account for receipts and expenditures of money apportioned by the State under the Road Repair and Accountability Act of 2017 for road maintenance and rehabilitation projects for cities and counties.

Home Program - To account for the activity of improving the supply of high-quality multifamily properties which are also available to low income households at affordable rent levels.

Crime Prevention Seizure - To account for the receipt of 1% of Federal seizures from illegal narcotic activities, and the expenditure of such assets to fund crime prevention programs such as DARE.

State Seizure - To account for the receipt of seized assets from illegal narcotic activities obtained through cooperation with State agencies and the expenditure of such assets for local law enforcement purposes.

Federal Seizure - To account for the receipt of seized assets from illegal narcotic activities obtained through cooperation with Federal agencies and the expenditure of such assets for local law enforcement purposes. 94 641
Non-Major Governmental Funds
Special Revenue Funds (continued)
Grants - To account for miscellaneous Federal, State and County grants requiring segregated fund accounting.

TDA/ Article 3 – To account for bicycle and pedestrian projects. SBCTA oversees the disbursement of 2% of the Local Transportation Funds (LTF) made available to counties and cities for facilities geared towards the exclusive used of pedestrians and bicyclists.

Housing and Community Development Block Grant - To account for the receipts and expenditures of the City's entitlements under Federal Community Development Block Grant (CDBG) programs of the US Department of Housing and Urban Development (HUD).

Federal Law Enforcement Block Grant - To account for Federal block grant funds used to enhance policing services.

AB 3229 State COPS Program - To account for State grant funds used to enhance policing services.

Office of Traffic Safety - To account for a State grant, matched with local funding, to augment abandoned vehicle towing.

Air Quality Management District - To account for receipts from the South Coast Air Quality Management District used for the purpose of reducing air pollution from motor vehicles.

Down Payment Assistance – To track receipts and expenditures for the HUD first time homebuyer assistance program.

Community Services Reimbursements - To account for after school programs funded through Proposition 49.

ASES ELO-P – To account for funding pertaining to afterschool and summer school enrichment programs for kindergarten (which may include transitional kindergarten) through sixth grade as described in California Education Code (EC) Section 46120.

Fontana Community Foundation- To account for costs associated with the Fontana Community Foundation, a separate legal entity governed by Section 501(c)(3) of the Internal Revenue Code of 1986 for the purpose of aiding and assisting in the implementation, improvement and maintenance of public services that preserve and promote the health and welfare and education of local citizenry of the City of Fontana.

Housing Authority AB 1486 – To account for receipts and expenditures of surplus land disposition proceeds as required for affordable housing under AB-1486.

Permanent Local Housing Allocation – To account for receipts and expenditures of the State Permanent Local Housing Allocation fund that must be used for housing-related projects and programs that assist unmet housing needs in the City.

Fire Protection District CFD- To account for special taxes levied on property developed after January 2, 2001 to finance fire protection and suppression services within the Community Facilities District.

Fire Protection District Grants - to account for Federal, State, and County grants requiring segregated fund accounting.

Landscape Maintenance Districts - To account for special benefit assessments levied on property owners for landscape maintenance in various zones throughout the City.
95 642
Non-Major Governmental Funds
Special Revenue Funds (continued)
Lighting District #3 - Hunter's Ridge - To account for special assessments imposed on property owners in the Hunter's Ridge area to pay for street lighting.

Community Facilities Districts - To account for special taxes levied on property owners in the development for landscape maintenance, parks and street lighting in the City’s numerous special assessments districts.

Debt Service Funds
Debt Service funds are used to account for the accumulation of resources and the payment of general obligation bond principal and interest from governmental resources, and special assessment bond principal and interest from special assessment levies, when the government is obligated in some manner for the payment.

General Debt Service – To account for debt service payments on general City obligations.

Capital Project Funds
The Capital Project funds are used to account for the acquisition and construction of major capital facilities other than those financed by proprietary funds.

Storm Drain - To account for receipts from drainage fees imposed on developers, for the construction of storm drainage facilities within the City limits.

San Sevaine Flood Control - To account for flood control fees collected for the construction of flood control improvements in the San Sevaine Area.

Upper Etiwanda Flood Control- To account for flood control fees collected for the construction of flood control improvements.

Park Development- To account for receipts and expenditures from park development fees for new parks and renovation of existing parks.

Landscape Improvements - To account for landscaping improvement fees used to improve landscaping Citywide.

Library Capital Improvement - To account for developer impact fees used for the construction of library facilities.

Police Facility- To account for development impact fees to fund capital improvements of police facilities and equipment.

Capital Improvements- To account for moneys expended on miscellaneous capital improvements. 96 643
Non-Major Governmental Funds
Capital Project Funds (continued)
General Government Improvement - To account for developer impact fees used for the capital construction of City facilities.

Underground Utilities - To account for developer fees used for offsetting the cost of relocating electrical and cable lines underground to enhance the appearance and the safety of the community.

Fire Assessment - To account for revenues from special tax assessments and for expenditures relating to fire prevention and protection.

Affordable Housing Trust - to account inclusionary housing and affordable housing developer impact fees to be used to construct, rehabilitate or subsidize affordable housing that complies with the Affordable Housing Trust Fund regulations.

Fire Protection District - To account for moneys expended on capital improvements and equipment replacement for the Fontana Fire Protection District.

Fontana Housing Authority- To account for costs associated with the Housing Authority, a separate legal entity governed by California State Housing Authority law. The Housing Authority uses funds from the Fontana Redevelopment Agency's Low and Moderate Income Housing Fund and Federal Department of Housing and Urban Development Program Grants to actively improve and develop quality neighborhoods and housing opportunities throughout the City of Fontana.
97 644

CITY OF FONTANA
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2022
Schedule 1

Road
Traffic Municipal Solid Maintenance Crime
Congestion Traffic Prop Services Waste And Home Prevention Gas Tax Relief Safety 1B Fiscal Impact Mitigation Rehabilitation Program Seizure Assets:

Cash and investments 1,188,009$ 19,918,992$ 23,294$ 134,372$ 21,673,924$ 3,372,318$ 893,450$ 825,337$ 64,992$ Receivables:

Accounts - 1,198 592 - - - - - -
Assessments - - - - - - - - -
Interest 3,171 43,446 19 306 48,502 6,259 3,569 534,680 116 Loans - - - - - - - 6,737,858 -
Allowance for doubtful accounts - - - - - - - - -
Leases - - - - - - - - -
Deposits - - - - - - - - -
Due from other funds - - - - - - - - -
Due from other governments 868,525 2,102,386 15,085 - - 1,072,449 730,417 7,853 - Inventories 114,299 - 754,649 - - - - - -
Restricted assets:

Cash and investments with fiscal agent - 29,504 - - - - - - - Total Assets 2,174,004$ 22,095,526$ 793,639$ 134,678$ 21,722,426$ 4,451,026$ 1,627,436$ 8,105,728$ 65,108$ Liabilities, Deferred Inflows and Fund Balances:

Liabilities:

Accounts payable 77,381$ 884,745$ -$ -$ -$ 38,061$ 355,127$ 2,903$ -$ Retentions payable - 78,394 - - - - - - -
Due to other funds - 572,235 - - - - - - -
Due to other governments - - - - - - - 7,272,538 -
Unearned revenue - - - - - - - 10,412 -
Advances from other funds - - - - - - - - -
Total Liabilities 77,381 1,535,374 - - - 38,061 355,127 7,285,853 - Deferred inflows of resources:

Unavailable revenue - 1,650,010 - - - 1,072,449 - - -
Leases - - - - - - - - -
Total deferred inflows of resources - 1,650,010 - - - 1,072,449 - - - Fund balances:

Nonspendable 114,299 - 754,649 - - - - - -
Restricted 1,982,324 18,910,142 38,990 134,678 21,722,426 3,340,516 1,272,309 819,875 65,108 Assigned - - - - - - - - -
Unassigned - - - - - - - - -
Total fund balances 2,096,623 18,910,142 793,639 134,678 21,722,426 3,340,516 1,272,309 819,875 65,108 Total liabilities, deferred inflows of
resources and fund balances 2,174,004$ 22,095,526$ 793,639$ 134,678$ 21,722,426$ 4,451,026$ 1,627,436$ 8,105,728$ 65,108$ Special Revenue
98 645

CITY OF FONTANA
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2022
Assets:

Cash and investments
Receivables:

Accounts
Assessments
Interest
Loans
Allowance for doubtful accounts
Leases
Deposits
Due from other funds
Due from other governments
Inventories
Restricted assets:

Cash and investments with fiscal agent
Total Assets
Liabilities, Deferred Inflows and Fund Balances:

Liabilities:

Accounts payable
Retentions payable
Due to other funds
Due to other governments
Unearned revenue
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenue
Leases
Total deferred inflows of resources
Fund balances:

Nonspendable
Restricted
Assigned
Unassigned
Total fund balances
Total liabilities, deferred inflows of
resources and fund balances
Schedule 1

Housing and Federal
Community Law AB 3229 Air Quality Down
State Federal Development Enforcement State COPS Office of Management Payment Seizure Seizures Grants TDA Block Grant Block Grant Program Traffic Safety District Assistance $ 3,153,667$ 1,276,218$ -$ 645$ -$ 868,364$ 2,411,104$ 1,267,380$ 11,291$ 549,610 - - - 676 - - 91,970 - - -
- - - - - - - - - -
9,058 - - - - - 4,982 2,687 - 958
- - - 1,097,234 - - - - - -
- - - - - - - - - -
- - - - - - - - - -
10,499 - - - - - 824 - - -
- - - - - - - - - -
- 841,798 8,977 1,308,734 100,356 - - 70,366 - -
- - - - - - - - - -
- - - - - - - - - -
$ 3,173,224$ 2,118,016$ 8,977$ 2,407,289$ 100,356$ 868,364$ 2,508,880$ 1,340,433$ 11,291$ 550,568 $ 111,332$ 74,966$ 7,064$ 167,954$ 5,862$ 20,904$ 8,960$ 628$ -$ 1,196 - - - - - - - - - -
- - 1,913 1,032,316 94,492 - - - - -
- - - 1,097,234 - - - - - -
- 2,043,051 - 809 - 742,708 - - - -
- - - - - - - - - -
111,332 2,118,017 8,977 2,298,313 100,354 763,612 8,960 628 - 1,196 - 722,091 8,977 158,332 58,126 - - 70,366 - -
- - - - - - - - - -
- 722,091 8,977 158,332 58,126 - - 70,366 - -
10,499 - - - - - 824 - - -
3,051,393 66,490 - - - 104,752 2,499,096 1,269,439 11,291 549,372 - - - - - - - - - -
- (788,582) (8,977) (49,356) (58,124) - - - - -
3,061,892 (722,092) (8,977) (49,356) (58,124) 104,752 2,499,920 1,269,439 11,291 549,372 $ 3,173,224$ 2,118,016$ 8,977$ 2,407,289$ 100,356$ 868,364$ 2,508,880$ 1,340,433$ 11,291$ 550,568 Special Revenue
99 646

CITY OF FONTANA
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2022
Assets:

Cash and investments
Receivables:

Accounts
Assessments
Interest
Loans
Allowance for doubtful accounts
Leases
Deposits
Due from other funds
Due from other governments
Inventories
Restricted assets:

Cash and investments with fiscal agent
Total Assets
Liabilities, Deferred Inflows and Fund Balances:

Liabilities:

Accounts payable
Retentions payable
Due to other funds
Due to other governments
Unearned revenue
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenue
Leases
Total deferred inflows of resources
Fund balances:

Nonspendable
Restricted
Assigned
Unassigned
Total fund balances
Total liabilities, deferred inflows of
resources and fund balances
Schedule 1

Fire Fire Lighting
Community Fontana Housing Permanent Local Protection Protection Landscape District #3 Community Services ASES Community Authority Housing District District Maintenance Hunter's Facilities Reimbursements ELO-P Foundation AB 1486 Allocation CFD Grants Districts Ridge Districts $ -$ 484,293$ 3,366,015$ -$ 4,319,110$ -$ 5,326,238$ 33,840$ 31,726,150$ - - - - - - - - - 90 -
- - - - - - 87,700 (66) 770,890 -
- 906 7,675 - 9,770 - 11,795 106 71,215 -
- - - - - - - - - -
- - - - - - (38,813) (146) (112,306) -
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - 1,177 -
201,761 - - - - 66,239 - - 36,275 1,599,661
- - - - - - - - - -
- - - - - - - - - -
$ 201,761$ 485,199$ 3,373,690$ -$ 4,328,880$ 66,239$ 5,386,920$ 33,734$ 32,493,491$ 1,599,661 $ -$ -$ -$ 18,270$ -$ -$ 861,138$ -$ 1,007,017$ 590,765 - - - - - - - - - -
201,758 - - 321,498 - 66,239 - - - 926,280
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
201,758 - - 339,768 - 66,239 861,138 - 1,007,017 1,517,045 201,758 - - - - - - - - 235,913
- - - - - - - - - -
201,758 - - - - - - - - 235,913
- - - - - - - - - -
- 485,199 3,373,690 - 4,328,880 - 4,525,782 33,734 31,486,474 - - - - - - - - - - -
(201,755) - - (339,768) - - - - - (153,297)
(201,755) 485,199 3,373,690 (339,768) 4,328,880 - 4,525,782 33,734 31,486,474 (153,297) $ 201,761$ 485,199$ 3,373,690$ -$ 4,328,880$ 66,239$ 5,386,920$ 33,734$ 32,493,491$ 1,599,661 Special Revenue
100
647

CITY OF FONTANA
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2022
Assets:

Cash and investments
Receivables:

Accounts
Assessments
Interest
Loans
Allowance for doubtful accounts
Leases
Deposits
Due from other funds
Due from other governments
Inventories
Restricted assets:

Cash and investments with fiscal agent
Total Assets
Liabilities, Deferred Inflows and Fund Balances:

Liabilities:

Accounts payable
Retentions payable
Due to other funds
Due to other governments
Unearned revenue
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenue
Leases
Total deferred inflows of resources
Fund balances:

Nonspendable
Restricted
Assigned
Unassigned
Total fund balances
Total liabilities, deferred inflows of
resources and fund balances
Schedule 1

Debt Service
Upper
San Sevaine Etiwanda Library
General Storm Flood Flood Control Park Landscape Capital Police Capital Debt Service Drain Control Development Development Improvements Improvement Facility Improvements $ 20,514,988$ 1,402,853$ 45,453$ 18,454,912$ 5,942,576$ 1,256,274$ 3,703,188$ 14,565,946$ 11,416 - - - - - - - - -
- - - - - - - - 3,928
41,681 2,275 104 15,243 12,550 2,566 8,185 59,455 22
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - 2
$ 20,556,669$ 1,405,128$ 45,557$ 18,470,155$ 5,955,126$ 1,258,840$ 3,711,373$ 14,625,401$ 15,368 $ 8,122$ 1,473$ -$ 211,228$ 54,357$ 79,000$ 115,744$ 463,367$ - - - - 63,893 - - 13,187 52,688 -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
2,295,000 - - - - - - 1,717,369 -
2,303,122 1,473 - 275,121 54,357 79,000 128,931 2,233,424 - - - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - 15,368
18,253,547 1,403,655 45,557 18,195,034 5,900,769 1,179,840 3,582,442 12,391,977 - - - - - - - - - -
18,253,547 1,403,655 45,557 18,195,034 5,900,769 1,179,840 3,582,442 12,391,977 15,368 $ 20,556,669$ 1,405,128$ 45,557$ 18,470,155$ 5,955,126$ 1,258,840$ 3,711,373$ 14,625,401$ 15,368 Capital Projects
101
648

CITY OF FONTANA
Combining Balance Sheet
Non-Major Governmental Funds
June 30, 2022
Assets:

Cash and investments
Receivables:

Accounts
Assessments
Interest
Loans
Allowance for doubtful accounts
Leases
Deposits
Due from other funds
Due from other governments
Inventories
Restricted assets:

Cash and investments with fiscal agent
Total Assets
Liabilities, Deferred Inflows and Fund Balances:

Liabilities:

Accounts payable
Retentions payable
Due to other funds
Due to other governments
Unearned revenue
Advances from other funds
Total Liabilities
Deferred inflows of resources:

Unavailable revenue
Leases
Total deferred inflows of resources
Fund balances:

Nonspendable
Restricted
Assigned
Unassigned
Total fund balances
Total liabilities, deferred inflows of
resources and fund balances
Schedule 1

Total
General Affordable Fire Fontana Other
Government Underground Fire Housing Protection Housing Governmental Improvement Utilities Assessment Trust District Authority Funds $ 289,773$ 664,824$ 4,448,868$ 4,384,573$ 1,118,160$ 191,648,713$ 11,956,296 - - - - 8,500 103,026 -
- - - - - 862,452 -
661 1,503 85,318 31,239 134,986 1,180,715 25,707
- - 1,000,000 - 1,855,937 10,691,029 -
- - - - - (151,265) -
- - - - 6,812,602 6,812,602 -
- - - - - 11,323 -
- - - - - 1,177 -
- - - - - 9,030,882 -
- - - - - 868,948 -
- - 31,898 22,003,675 - 22,065,079 -
$ 290,434$ 666,327$ 5,566,084$ 26,419,487$ 9,930,185$ 243,124,681$ 11,982,003 $ -$ -$ 19,601$ 1,512,286$ 35,162$ 6,734,613$ -
- - - 98,437 - 306,599 -
- - - - - 3,216,731 -
- - - - - 8,369,772 -
- - - - - 2,796,980 -
- - - - - 4,012,369 -
- - 19,601 1,610,723 35,162 25,437,064 -
- - 76,165 - 137,973 4,392,160 -
- - - - 6,663,327 6,663,327 -
- - 76,165 - 6,801,300 11,055,487 -
- - 1,000,000 - 1,855,937 3,736,208 -
- - - - - 100,087,328 -
290,434 666,327 4,470,318 24,808,764 1,237,786 104,408,453 11,982,003 - - - - - (1,599,859) -
290,434 666,327 5,470,318 24,808,764 3,093,723 206,632,130 11,982,003 $ 290,434$ 666,327$ 5,566,084$ 26,419,487$ 9,930,185$ 243,124,681$ 11,982,003 Capital Projects
102
649

CITY OF FONTANA
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
For the Year Ended June 30, 2022
Schedule 2

Road
Traffic Municipal Solid Maintenance Crime
Congestion Traffic Prop Services Waste And Home Prevention Gas Tax Relief Safety 1B Fiscal Impact Mitigation Rehabilitation Program Seizure Revenues:

Taxes -$ -$ -$ -$ -$ -$ -$ -$ -$
Licenses and permits - - - - - - - - -
Intergovernmental 5,001,645 4,743,778 - - - - 4,288,133 73,324 33,925 Charges for services - - - - 1,703,627 2,788,261 - - -
Fines and forfeitures - - 79,154 - - - - - -
Special assessments - - - - - - - - -
Investment earnings (37,670) (615,562) (695) (4,185) (674,449) (104,071) (29,391) - (434) Other revenue - - 3,539 - - - - - -
Total revenues 4,963,975 4,128,216 81,998 (4,185) 1,029,178 2,684,190 4,258,742 73,324 33,491 Expenditures:

Current:

General government:

City administration - - - - - - - - -
Management services - - - - - - - 68,057 -
Information technology - - - - - - - - -
Human resources - - - - - - - - -
Public safety:

Police - - - - - - - - 19,310
Fire - - - - - - - - -
Public works 3,468,947 - - - - 2,022,012 4,263,895 - -
Community development - - - - - - - - -
Community services - - - - - 42,904 - - -
Engineering - 4,485,114 49,751 - - - - - -
Debt service:

Principal - - - - - - - - -
Interest - - - - - - - - -
Issuance costs - - - - - - - - -
Payment to refunded bond escrow agent - - - - - - - - - Total expenditures 3,468,947 4,485,114 49,751 - - 2,064,916 4,263,895 68,057 19,310 Excess (deficiency) of revenues
over (under) expenditures 1,495,028 (356,898) 32,247 (4,185) 619,274 1,029,178 (5,153) 14,181 5,267 Other Financing Sources (Uses):

Transfers in - - - - - - - - -
Transfers out (576,500) (99,900) - - (859,000) (449,100) - - - - - - - - - - - -
Premium (discount) on bonds issued - - - - - - - - -
Total other financing sources (uses) (576,500) (99,900) - - (859,000) (449,100) - - - Net change in fund balances 918,528 (456,798) 32,247 (4,185) 170,178 170,174 (5,153) 5,267 14,181 Fund Balances:

Beginning of fiscal year, as restated (deficit) 1,178,095 19,366,940 761,392 138,863 21,552,248 3,170,342 1,277,462 814,608 50,927 Net change in fund balances 918,528 (456,798) 32,247 (4,185) 170,178 170,174 (5,153) 5,267 14,181 End of fiscal year (deficit) 2,096,623$ 18,910,142$ 793,639$ 134,678$ 21,722,426$ 3,340,516$ 1,272,309$ 819,875$ 65,108$ Special Revenue
Proceeds of refunding bonds
103
650

CITY OF FONTANA
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Debt service:

Principal
Interest
Issuance costs
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund Balances:

Beginning of fiscal year, as restated (deficit)
Net change in fund balances
End of fiscal year (deficit)
Proceeds of refunding bonds
Schedule 2

Housing and Federal
Community Law AB 3229 Air Quality Down
State Federal Development Enforcement State COPS Office of Management Payment Seizure Seizure Grants TDA Block Grant Block Grant Program Traffic Safety District Assistance $ -$ -$ -$ -$ -$ -$ 542,130$ -$ -$ -
- - - - - - - - - -
154,318 2,344,331 83,523 4,082,483 185,122 357,817 - 206,124 - 192,244 - - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
(99,244) - - 51,146 462 - (74,747) (39,285) - (7,461)
19,372 - - - - - - - - -
74,446 2,344,331 83,523 4,133,629 185,584 357,817 467,383 166,839 - 184,783 - 153,088 - - - - - - - -
- - - 3,611,823 - - - 2,000 - -
- - - - - - - - - -
- - - - - - - 4,806 - -
1,859,320 614,446 - 279,637 205,697 357,817 87,398 - - 17,928 - - - - - - - - - -
- 76,870 7,064 - - - - - - -
- 89,182 - - - - - - - -
- - - - - - - - - -
- 640,041 7,860 - - - - 209,607 - -
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
1,859,320 1,573,627 14,924 3,891,460 205,697 357,817 87,398 216,413 - 17,928 166,855 (1,784,874) 68,599 242,169 770,704 (20,113) 379,985 - (49,574) - - 100,520 - - - - - - - -
- - - (91,800) - - - (16,100) - -
- - - - - - - - - -
- - - - - - - - - -
- 100,520 - (91,800) - - - (16,100) - -
(1,784,874) 871,224 68,599 150,369 (20,113) - 379,985 (65,674) - 166,855 4,846,766 (1,593,316) (77,576) (199,725) (38,011) 104,752 2,119,935 1,335,113 11,291 382,517 166,855 (1,784,874) 871,224 68,599 150,369 (20,113) - 379,985 (65,674) - $ 3,061,892$ (722,092)$ (8,977)$ (49,356)$ (58,124)$ 104,752$ 2,499,920$ 1,269,439$ 11,291$ 549,372 Special Revenue
104
651

CITY OF FONTANA
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Debt service:

Principal
Interest
Issuance costs
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund Balances:

Beginning of fiscal year, as restated (deficit)
Net change in fund balances
End of fiscal year (deficit)
Proceeds of refunding bonds
Schedule 2

Fire Fire Lighting
Community Fontana Housing Permanent Local Protection Protection Landscape District #3 Community Services ASES Community Authority Housing District District Maintenance Hunter's Facilities Reimbursements ELO-P Foundation AB 1486 Allocation CFD Grants Districts Ridge Districts $ -$ -$ -$ -$ -$ -$ 6,689$ 13$ 21,249$ -
- - - - 284,426 - - - - -
- - - - - 66,239 - - 370,000 3,786,091
- - - - - - - - 111,639 -
- - - - - - - - - -
- - - - - - 4,253,582 34,614 14,093,835 -
- (15,041) (104,829) - (134,444) - (165,080) (1,083) (986,721) - - 405,000 - - - - - - - -
- 389,959 (104,829) - 149,982 66,239 4,095,191 33,544 13,610,002 3,786,091 - 42,868 - 177,850 - - - - - -
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
- - - - 260,213 64,875 - - - -
- - - - - - 5,869,209 34,609 9,979,400 -
- - - - - - - - - -
184,546 - - - - - - - - 3,193,997
- - - - - 1,364 - - - -
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
- - - - - - - - - -
184,546 42,868 - 177,850 260,213 66,239 5,869,209 34,609 9,979,400 3,193,997 592,094 (184,546) 347,091 (177,850) (110,231) (104,829) - (1,065) (1,774,018) 3,630,602 - - - - - - 594,090 - 445,440 -
(17,209) - - - (900) - (547,400) (2,800) (5,491,100) (386,915) - - - - - - - - - -
- - - - - - - - - -
(17,209) - - - (900) - 46,690 (2,800) (5,045,660) (386,915) (201,755) 347,091 (104,829) (177,850) (111,131) - (1,727,328) (3,865) (1,415,058) 205,179 - 138,108 3,478,519 (161,918) 4,440,011 - 6,253,110 37,599 32,901,532 (358,476) 205,179 (201,755) 347,091 (104,829) (177,850) (111,131) - (1,727,328) (3,865) (1,415,058) $ (201,755)$ 485,199$ 3,373,690$ (339,768)$ 4,328,880$ -$ 4,525,782$ 33,734$ 31,486,474$ (153,297) Special Revenue
105
652

CITY OF FONTANA
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Debt service:

Principal
Interest
Issuance costs
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund Balances:

Beginning of fiscal year, as restated (deficit)
Net change in fund balances
End of fiscal year (deficit)
Proceeds of refunding bonds
Schedule 2

Debt Service
Upper
San Sevaine Etiwanda Library
General Storm Flood Flood Control Park Landscape Capital Police Capital Debt Service Drain Control Development Development Improvements Improvement Facility Improvements $ -$ -$ -$ -$ -$ -$ -$ -$ -
4,373,222 977,357 - 2,299,536 - 285,160 640,651 - -
- - - - - - - - 39,894
- - - - 658,150 - - - -
- - - - - - - - -
- - - - - - - - 7,856
(634,878) (42,875) (1,416) (553,613) (184,480) (38,944) (115,173) (475,361) (339) - - - - - - - 5,908,518 -
3,738,344 934,482 (1,416) 1,745,923 473,670 246,216 525,478 5,433,157 47,411 - - - - - - - - -
- - - - - - - - 2,970
3,208 - - - - - - - -
- - - - - - - - -
- - - - - - 521,396 - -
- - - - - - - - -
- - - 212,631 - 87,070 - 148,254 -
- - - - - - - - -
- - - - - - - - -
1,201,672 96,862 - 1,239,587 108,393 - - 4,266,323 -
- - - - - - - - 1,300,000
- - - - - - - - 1,607,799
- - - - - - - - -
- - - - - - - - 5,089,012
1,204,880 96,862 - 1,452,218 108,393 87,070 521,396 4,414,577 7,999,781 (7,952,370) 837,620 2,533,464 (1,416) 365,277 159,146 4,082 1,018,580 293,705 - - - 13,000,000 - - - - 2,781,001
(123,000) (13,400) - (219,300) (46,900) - (4,600) (13,675,900) - 644,467 - - - - - - - -
- - - - - - - - 3,920,250
(123,000) (13,400) - 12,780,700 (46,900) - (4,600) (13,675,900) 7,345,718 2,410,464 824,220 (1,416) 13,074,405 318,377 159,146 (518) (12,657,320) (606,652) 15,843,083 579,435 46,973 5,120,629 5,582,392 1,020,694 3,582,960 25,049,297 622,020 (606,652) 2,410,464 824,220 (1,416) 13,074,405 318,377 159,146 (518) (12,657,320) $ 18,253,547$ 1,403,655$ 45,557$ 18,195,034$ 5,900,769$ 1,179,840$ 3,582,442$ 12,391,977$ 15,368 Capital Projects
106
653

CITY OF FONTANA
Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Debt service:

Principal
Interest
Issuance costs
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund Balances:

Beginning of fiscal year, as restated (deficit)
Net change in fund balances
End of fiscal year (deficit)
Proceeds of refunding bonds
Schedule 2

Total
General Affordable Fire Fontana Other
Government Underground Fire Housing Protection Housing Governmental Improvement Utilities Assessment Trust District Authority Funds $ -$ -$ -$ -$ -$ 570,081$ -
- 340,822 1,437,307 - - 10,638,481 -
- - - - - 26,008,991 -
- - - - - 6,287,394 1,025,717
- - - - - 79,154 -
- - - - - 18,389,887 -
(9,025) (20,713) (137,525) (154,100) 7,391 (5,775,075) (371,240) - - 60,057 - 174,371 6,570,857 -
(9,025) 320,109 1,359,839 (154,100) 181,762 62,769,770 654,477 - - - - - 373,806 -
- - - - 418,340 4,103,190 -
- - - - - 3,208 -
- - - - - 4,806 -
- - - - - 3,962,949 -
- - - 1,408,331 - 1,733,419 -
- - 1,546,090 - - 27,716,051 -
- - - - - 89,182 -
- - - - - 3,421,447 -
- - - 2,484,031 - 14,790,605 -
- - - - - 1,300,000 -
- - - - - 1,607,799 -
- - - 477,600 - 477,600 -
- - - - - 5,089,012 -
- - 1,546,090 4,369,962 418,340 64,673,074 -
654,477 (9,025) 320,109 (4,524,062) (236,578) (186,251) (1,903,304) - - - 1,501,000 - 18,422,051 -
- (291,749) - (10,532,900) (100,200) (33,546,673) -
- - - - 22,480,533 - 23,125,000
- - - - - 3,920,250 -
- (291,749) - 13,448,633 (100,200) 11,920,628 -
(9,025) 28,360 (186,251) 8,924,571 (336,778) 10,017,324 654,477 299,459 637,967 5,656,569 15,884,193 3,430,501 196,614,806 11,327,526 654,477 (9,025) 28,360 (186,251) 8,924,571 (336,778) 10,017,324 $ 290,434$ 666,327$ 5,470,318$ 24,808,764$ 3,093,723$ 206,632,130$ 11,982,003 Capital Projects
107
654

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Schedule 3

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

Taxes - $ - $ - $ - $ - $ - $ - $ - $
Licenses and permits - - - - - - - -
Intergovernmental 4,899,550 4,899,550 5,001,645 102,095 3,686,630 22,409,538 4,743,778 (17,665,760) Charges for services - - - - - - - -
Fines and forfeitures - - - - - - - -
Special assessments - - - - - - - -
Investment earnings 2,650 2,650 (40,320) (37,670) 159,000 159,000 (774,562) (615,562) Contribution from property owners - - - - - - - -
Other revenue - - - - - - - -
Total revenues 4,902,200 4,902,200 4,963,975 61,775 3,845,630 22,568,538 4,128,216 (18,440,322) Expenditures:

Current:

General government:

City administration - - - - - - - -
Management services - - - - - - - -
Information Technology - - - - - - - -
Human resources - - - - - - - -
Public safety:

Police - - - - - - - -
Fire - - - - - - - -
Public works 3,730,430 3,767,925 3,468,947 298,978 - - - - Community development - - - - - - - -
Community services - - - - - - - -
Engineering - - - - 2,565,110 38,147,413 4,485,114 33,662,299 Capital outlay - - - - - - - -
Debt service:

Principal - - - - - - - -
Interest - - - - - - - -
Payment to refunded bond escrow agent - - - - - - - -
Total expenditures 3,730,430 3,767,925 3,468,947 298,978 2,565,110 38,147,413 4,485,114 33,662,299 Excess (deficiency) of revenues
over (under) expenditures 1,134,275 1,495,028 360,753 1,280,520 1,171,770 (356,898) (15,578,875) 15,221,977 Other Financing Sources (Uses):

Transfers in - - - - - - - -
Transfers out (576,500) (576,500) (576,500) - (99,900) (99,900) (99,900) - Bond proceeds - - - - - - - -
- - - - - - - -
Premium (discount) on bonds issued - - - - - - - -
Total other financing sources (uses) (576,500) (576,500) (576,500) - (99,900) (99,900) (99,900) - Net change in fund balances 595,270 557,775 918,528 360,753 1,180,620 (456,798) (15,678,775) 15,221,977 Fund balances - beginning 1,178,095 1,178,095 1,178,095 - 19,366,940 19,366,940 19,366,940 - Fund balances - ending $ 1,773,365 $ 1,735,870 $ 2,096,623 $ 360,753 $ 20,547,560 $ 3,688,165 $ 18,910,142 $ 15,221,977 Proceeds of refunding bonds
Special Revenue
Gas Tax Traffic Congestion Relief
108
655

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
- - - - - - - -
46,000 79,154 33,154 - - - - 30,000
- - - - - - - -
750 750 (1,445) (695) 1,200 1,200 (5,385) (4,185)
- - - - - - - -
1,500 3,539 2,039 - - - - 1,500
48,250 81,998 33,748 1,200 1,200 32,250 (5,385) (4,185) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
62,648 49,751 12,897 - - - - 59,520
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
62,648 49,751 12,897 - - - - 59,520
(14,398) (27,270) 46,645 1,200 1,200 32,247 (5,385) (4,185) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
(14,398) (27,270) 46,645 1,200 1,200 32,247 (5,385) (4,185) 761,392 761,392 - 138,863 138,863 138,863 - 761,392
$ 734,122 $ 746,994 $ 793,639 $ 46,645 $ 140,063 $ 140,063 $ 134,678 $ (5,385) Traffic Safety Prop 1B
Special Revenue
109
656

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
1,183,500 1,703,627 520,127 3,000,000 3,000,000 2,788,261 1,183,500 (211,739) - - - - - - - -
- - - - - - - -
169,000 169,000 (843,449) (674,449) 29,400 29,400 (133,471) (104,071) - - - - - - - -
- - - - - - - -
1,352,500 1,029,178 1,352,500 (323,322) 3,029,400 2,684,190 3,029,400 (345,210) - - - - - - - -
- - - - - - - -
- - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - 2,550,330 3,928,129 2,022,012 1,906,117
- - - - - - - -
- - - 46,480 46,480 42,904 3,576 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - 2,596,810 3,974,609 2,064,916 1,909,693 -
1,352,500 1,029,178 1,352,500 (323,322) 432,590 (945,209) 1,564,483 619,274 - - - - - - - -
(859,000) (859,000) (859,000) - (449,100) (449,100) (449,100) - - - - - - - - -
- - - - - - - -
- - - - - - - -
(859,000) (859,000) (859,000) - (449,100) (449,100) (449,100) - 493,500 170,178 493,500 (16,510) (1,394,309) (323,322) 1,564,483 170,174 21,552,248 21,552,248 - 3,170,342 3,170,342 3,170,342 - 21,552,248 $ 22,045,748 $ 22,045,748 $ 21,722,426 $ (323,322) $ 3,153,832 $ 1,776,033 $ 3,340,516 $ 1,564,483 Municipal Services Fiscal Impact
Special Revenue
Solid Waste Mitigation
110
657

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
4,075,170 4,288,133 212,963 796,660 4,941,189 73,324 4,145,000 (4,867,865) - - - - - - - -
- - - - - - - -
- - - - - - - -
10,800 10,800 (40,191) (29,391) - - - -
- - - - - - - -
- - - - - - - -
4,085,970 4,258,742 172,772 796,660 4,941,189 73,324 4,155,800 (4,867,865) - - - 654,000 4,796,564 - 4,796,564 -
- - - 136,900 67,500 68,057 - (557)
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
4,145,000 5,291,943 4,263,895 1,028,048 - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
5,291,943 4,263,895 1,028,048 790,900 4,864,064 68,057 4,796,007 4,145,000 10,800 (5,153) (1,205,973) 5,760 77,125 5,267 1,200,820 (71,858) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
10,800 (5,153) (1,205,973) 5,760 77,125 5,267 1,200,820 (71,858) 1,277,462 1,277,462 - 814,608 814,608 814,608 - 1,277,462 $ 1,288,262 $ 71,489 $ 1,272,309 $ 1,200,820 $ 820,368 $ 891,733 $ 819,875 $ (71,858) Road Maintenance and Rehabilitation Home Program
Special Revenue
111
658

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
7,500 33,925 26,425 70,000 70,000 192,244 122,244 7,500 - - - - - - - -
- - - - - - - -
- - - - - - - -
1,000 1,000 (1,434) (434) 5,600 5,600 (13,061) (7,461)
- - - - - - - -
- - - - - - - -
8,500 33,491 24,991 75,600 75,600 184,783 109,183 8,500 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
34,600 37,269 19,310 17,959 52,790 52,790 17,928 34,862 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
37,269 19,310 17,959 52,790 52,790 17,928 34,862 34,600 (28,769) (26,100) 42,950 22,810 22,810 166,855 144,045 14,181 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
(28,769) (26,100) 42,950 22,810 22,810 166,855 144,045 14,181 50,927 50,927 - 382,517 382,517 382,517 - 50,927
$ 24,827 $ 22,158 $ 65,108 $ 42,950 $ 405,327 $ 405,327 $ 549,372 $ 144,045 Crime Prevention Seizure
Special Revenue
State Seizures
112
659

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
1,500,000 154,318 1,500,000 (1,345,682) 13,939,850 2,344,331 475,360 (11,595,519) - - - - - - - -
- - - - - - - -
- - - - - - - -
55,000 55,000 (154,244) (99,244) - - - -
- - - - - - - -
19,900 19,372 19,900 (528) 948,647 - - (948,647)
1,574,900 74,446 1,574,900 (1,500,454) 14,888,497 2,344,331 475,360 (12,544,166) - - - - 210,551 153,088 57,463 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
2,099,290 3,146,040 1,859,320 1,286,720 275,520 878,466 614,446 264,020 - - - - - - - -
- - - - 75,360 147,475 76,870 70,605
- - - - 1,022,135 89,182 932,953 -
- - - - 330,962 - 330,962 -
- - - - 7,474,316 640,041 6,834,275 -
- - - - - - - -
- - - - 3,226,608 - 3,226,608 -
- - - - - - - -
- - - - - - - -
3,146,040 1,859,320 1,286,720 350,880 13,290,513 1,573,627 11,716,886 2,099,290 (1,571,140) (1,784,874) (213,734) (524,390) 1,597,984 770,704 124,480 (827,280) - - - 100,520 100,520 100,520 - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - 100,520 100,520 100,520 - -
(1,571,140) (1,784,874) (213,734) (524,390) 1,698,504 871,224 225,000 (827,280) 4,846,766 4,846,766 - 4,846,766 (1,593,316) (1,593,316) (1,593,316) - $ 4,322,376 $ 3,275,626 $ 3,061,892 $ (213,734) $ (1,368,316) $ 105,188 $ (722,092) $ (827,280) Special Revenue
Federal Seizures Grants
113
660

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
9,468,455 4,082,483 2,329,030 (5,385,972) 297,118 185,122 208,330 (111,996) - - - - - - - -
- - - - - - - -
- - - - - - - -
- 51,146 51,146 - - 462 462 -
- - - - - - - -
- - - - - - - -
9,468,455 4,133,629 2,329,030 (5,334,826) 297,118 185,584 208,330 (111,534) - - - - - - - -
7,870,454 3,611,823 4,258,631 - - - - 2,052,200
- - - - - - - -
- - - - - - - -
267,770 272,407 279,637 (7,230) 208,330 259,569 205,697 53,872 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
8,142,861 3,891,460 4,251,401 208,330 259,569 205,697 53,872 2,319,970 1,325,594 242,169 9,060 (1,083,425) 37,549 - (57,662) (20,113) - - - - - - - -
(91,800) (91,800) (91,800) - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
(91,800) (91,800) (91,800) - - - - -
(82,740) 150,369 1,233,794 (1,083,425) 37,549 - (57,662) (20,113) (199,725) (199,725) (199,725) - (38,011) (38,011) (38,011) - $ (282,465) $ 1,034,069 $ (49,356) $ (1,083,425) $ (38,011) $ (462) $ (58,124) $ (57,662) Special Revenue
Housing and Community Development Block Grant Federal Law Enforcement Block Grant 114
661

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ 360,000 $ 360,000 $ 542,130 $ 182,130 $ - - - - - - - - -
393,292 357,817 380,000 (35,475) - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - 14,500 14,500 - (89,247) (74,747)
- - - - - - - -
- - - - - - - -
393,292 357,817 380,000 (35,475) 374,500 467,383 92,883 374,500 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
-
404,430 485,533 357,817 127,716 199,500 304,193 87,398 216,795 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
485,533 357,817 127,716 199,500 304,193 87,398 216,795 404,430 (92,241) (24,430) 92,241 175,000 70,307 379,985 309,678 - - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
(92,241) (24,430) 92,241 175,000 70,307 379,985 309,678 - 104,752 104,752 - 2,119,935 2,119,935 2,119,935 - 104,752 $ 80,322 $ 12,511 $ 104,752 $ 92,241 $ 2,294,935 $ 2,190,242 $ 2,499,920 $ 309,678 Special Revenue
AB 3229 State COPS Program Office of Traffic Safety
115
662

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
300,000 206,124 300,000 (93,876) - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
10,500 10,500 (49,785) (39,285) - - - -
- - - - - - - -
- - - - - - - -
310,500 166,839 310,500 (143,661) - - - -
- - - - - - - -
11,000 2,000 9,000 - - - - -
- - - - - - - -
16,000 4,806 11,194 - - - - 16,000
- - - - - - - -
- - - - - - - -
- 160,502 - 160,502 - - - -
- - - - - - - -
- - - - - - - -
1,029,385 209,607 819,778 - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
1,216,887 216,413 1,000,474 - - - - 16,000
294,500 (49,574) (906,387) - - - - 856,813
- - - - - - - -
(16,100) (16,100) (16,100) - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
(16,100) (16,100) (16,100) - - - - -
278,400 (65,674) (922,487) - - - - 856,813
1,335,113 1,335,113 - 11,291 11,291 11,291 - 1,335,113
$ 1,613,513 $ 412,626 $ 1,269,439 $ 856,813 $ 11,291 $ 11,291 $ 11,291 $ - Air Quality Management District
Special Revenue
Down Payment Assistance
116
663

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
5,693,458 3,786,091 3,854,890 (1,907,367) 4,495,120 - - (4,495,120) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
5,693,458 3,786,091 3,854,890 (1,907,367) 4,495,120 - - (4,495,120) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
5,370,358 3,193,997 2,176,361 - 4,495,120 184,546 4,310,574 3,531,790 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
5,370,358 3,193,997 2,176,361 - 4,495,120 184,546 4,310,574 3,531,790 323,100 592,094 268,994 - - 323,100 (184,546) (184,546) - - - - - - - -
(323,100) (323,100) (386,915) (63,815) - - (17,209) (17,209) - - - - - - - -
- - - - - - - -
- - - - - - - -
(323,100) (386,915) (63,815) (323,100) - - (17,209) (17,209) - 205,179 205,179 - - - (201,755) (201,755)
(358,476) (358,476) (358,476) - - - - -
$ (358,476) $ (358,476) $ (153,297) $ 205,179 $ - $ - $ (201,755) $ (201,755) Community Services Reimbursements ASES ELO-P
Special Revenue
117
664

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
1,200 1,200 (16,241) (15,041) - - (104,829) (104,829)
- - - - - - - -
295,000 405,000 110,000 - - - - -
296,200 389,959 93,759 - - 1,200 (104,829) (104,829)
43,250 42,868 382 - - - - 500
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
43,250 42,868 382 - - - - 500
252,950 347,091 94,141 - - 700 (104,829) (104,829)
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
252,950 347,091 94,141 - - 700 (104,829) (104,829)
138,108 138,108 - 3,478,519 3,478,519 3,478,519 - 138,108 $ 138,808 $ 391,058 $ 485,199 $ 94,141 $ 3,478,519 $ 3,478,519 $ 3,373,690 $ (104,829) Special Revenue
Fontana Community Foundation Housing Authority AB 1486
118
665

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - 285,000 285,000 284,426 - (574)
2,388,353 - 195,000 (2,388,353) - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - 35,000 35,000 - (169,444) (134,444)
- - - - - - - -
- - - - - - - -
2,388,353 - 195,000 (2,388,353) 320,000 149,982 320,000 (170,018) 243,985 177,850 66,135 - - - - 195,000
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - 255,000 524,347 260,213 264,134
- - - - - - - -
- - - - - - - -
18,463 - 18,463 - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
262,448 177,850 84,598 255,000 524,347 260,213 264,134 195,000 2,125,905 - (2,303,755) (177,850) 65,000 (110,231) (204,347) 94,116 - - - - - - - -
- - - - (900) (900) (900) -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - (900) (900) (900) -
2,125,905 - (2,303,755) (177,850) 64,100 (111,131) (205,247) 94,116 (161,918) (161,918) (161,918) 4,440,011 4,440,011 4,440,011 - - $ (161,918) $ 1,963,987 $ (339,768) $ (2,303,755) $ 4,504,111 $ 4,234,764 $ 4,328,880 $ 94,116 Special Revenue
Permanent Local Housing Allocation Fire Protection District CFD 119
666

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ 3,250 $ 3,250 $ 6,689 $ 3,439 $ -
- - - - - - - -
- 66,239 66,239 - - - - -
- - - - - - - -
- - - - - - - -
- - - 4,199,100 4,199,100 4,253,582 54,482 -
- - - 57,400 57,400 - (222,480) (165,080)
- - - - - - - -
- - - - - - - -
- 66,239 66,239 4,259,750 4,259,750 4,095,191 - (164,559) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - 64,875 (64,875) - - - -
- - - - 4,719,140 6,193,649 5,869,209 324,440
- - - - - - - -
- - - - 2,200 - 2,200 -
- 1,364 - (1,364) - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- 66,239 - (66,239) 6,195,849 5,869,209 326,640 4,719,140 - - - - (1,936,099) (1,774,018) (459,390) 162,081
- - - 628,390 950,390 594,090 - (356,300)
- - - - (547,400) (547,400) (547,400) -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - 80,990 402,990 46,690 - (356,300)
- - - - (1,533,109) (1,727,328) (194,219) (378,400)
- - - 6,253,110 6,253,110 6,253,110 - -
$ - $ - $ - $ - $ 5,874,710 $ 4,720,001 $ 4,525,782 $ (194,219) Special Revenue
Fire Protection District Grants Landscape Maintenance Districts 120
667

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ 50 $ 13 $ 50 $ (37) $ 15,200 $ 21,249 $ 6,049 $ 15,200 - - - - - - - -
- - - - 370,000 370,000 - -
- - - - - 111,639 111,639 -
- - - - - - - -
34,000 34,614 614 13,715,450 13,936,660 14,093,835 157,175 34,000 300 300 (1,383) (1,083) 273,700 273,700 (1,260,421) (986,721) - - - - - - - -
- - - - - - - -
34,350 33,544 34,350 (806) 14,595,560 13,610,002 14,004,350 (985,558) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
32,000 34,610 34,609 1 9,931,550 11,487,920 9,979,400 1,508,520 - - - - - - - -
- - - 14,550 17,470 - 17,470 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
34,610 34,609 1 9,946,100 11,505,390 9,979,400 1,525,990 32,000 2,350 (1,065) (805) (260) 3,090,170 3,630,602 540,432 4,058,250 - - - 445,440 445,440 445,440 - -
(2,800) (2,800) (2,800) - (4,841,300) (4,841,300) (5,491,100) (649,800) - - - - - - - -
- - - - - - - -
- - - - - - - -
(2,800) (2,800) (2,800) - (4,395,860) (5,045,660) (649,800) (4,395,860) (3,060) (3,865) (805) (337,610) (1,305,690) (1,415,058) (109,368) (450) 37,599 37,599 - 32,901,532 32,901,532 32,901,532 - 37,599 $ 37,149 $ 34,539 $ 33,734 $ (805) $ 32,563,922 $ 31,595,842 $ 31,486,474 $ (109,368) Lighting District #3 Hunter's Ridge Community Facilities Districts Special Revenue
121
668

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Information Technology
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Premium (discount) on bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Proceeds of refunding bonds
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
189,300 39,894 189,300 (149,406) - - - -
- - - - - - - -
- - - - - - - -
7,800 7,856 56 - - - - 7,800
- - (339) (339) 37,000 37,000 (348,993) (311,993)
- - - - - 61,820 61,820 -
- - - - - - - -
197,100 47,411 197,100 (149,689) 37,000 37,000 (287,173) (250,173) - - - - - - - -
20,000 2,970 17,030 - 50 381 20,000 (331)
- - - 4,154,336 4,555,364 - (401,028)
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - 2,300,000 8,183,410 6,018,724 2,164,686
- - - - - - - -
- - - - - - - -
- - - - 418,747 1,400 417,347 -
- - - - - - - -
6,389,012 1,300,000 5,089,012 - - - - 1,300,000
1,816,720 1,607,799 208,921 - - - - 1,816,720
- 5,089,012 - (5,089,012) - - - -
8,225,732 7,999,781 225,951 2,300,000 12,756,543 10,575,869 2,180,674 3,136,720 (8,028,632) (7,952,370) (2,939,620) 76,262 (12,719,543) (10,826,042) (2,263,000) 1,893,501 2,947,040 2,781,001 166,039 2,300,000 6,200,000 6,201,797 1,797 2,947,040 - - - - (137,000) (137,000) (283,529) (146,529)
- - - - - - - -
- 644,467 644,467 - - - - -
- 3,920,251 3,920,250 (1) - - - -
7,511,758 7,345,718 166,038 2,163,000 6,063,000 6,075,212 12,212 2,947,040 7,420 (606,652) (516,874) 242,300 (6,656,543) (4,750,830) (100,000) 1,905,713 622,020 622,020 - 19,894,892 19,894,892 19,894,892 - 622,020 $ 629,440 $ 105,146 $ 15,368 $ 242,300 $ 19,794,892 $ 13,238,349 $ 15,144,062 $ 1,905,713 Capital Reinvestment
Capital Projects
General Debt Service
Debt Service
122
669

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Schedule 3

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

Taxes - $ - $ - $ - $ - $ - $ - $ - $
Licenses and permits - - - - - - - -
Intergovernmental - - - - - - - -
Charges for services - - - - - - - -
Fines and forfeitures - - - - - - - -
Special assessments - - - - - - - -
Investment earnings 79,000 79,000 (554,361) (475,361) 180,000 180,000 (420,539) (240,539) Contribution from property owners - - - - - - - -
Other revenue - 3,050,656 5,908,518 2,857,862 - - - -
Total revenues 79,000 3,129,656 5,433,157 2,303,501 180,000 180,000 (420,539) (240,539) Expenditures:

Current:

General government:

City administration - - - - - - - -
Management services - - - - - - - -
Technology services - - - - - - - -
Human resources - - - - - - - -
Public safety:

Police - - - - - - - -
Fire - - - - - - - -
Public works 500,000 606,627 148,256 458,371 - 1,728,413 1,595,098 133,315 Community development - - - - - - - -
Community services - 14,154 - 14,154 - - - -
Engineering 2,067,420 11,832,353 4,266,323 7,566,030 - 530,800 - 530,800 Capital outlay - - - - - - - -
Debt service:

Principal - - - - - - - -
Interest - - - - - - - -
Payment to refunded bond escrow agent - - - - - - - -
Total expenditures 2,567,420 12,453,134 4,414,579 8,038,555 - 2,259,213 1,595,098 664,115 Excess (deficiency) of revenues
over (under) expenditures (9,323,478) (2,488,420) 10,342,056 180,000 1,018,578 (1,835,637) (2,079,213) 243,576 Other Financing Sources (Uses):

Transfers in - - - - - - - -
Transfers out (675,900) (13,675,900) (13,000,000) (453,400) (453,400) (453,400) (353,900) - Bond proceeds - - - - - - - -
Bond proceeds on refunding - - - - - - - -
Premium on refunding bonds issued - - - - - - - -
Total other financing sources (uses) (675,900) (13,675,900) (13,000,000) (453,400) (453,400) (453,400) (353,900) - Net change in fund balances (9,999,378) (12,657,322) (2,657,944) (273,400) (2,532,613) (2,289,037) (2,842,320) 243,576 Fund balances - beginning 25,049,297 25,049,297 25,049,297 - 44,960,536 44,960,536 44,960,536 - Fund balances - ending $ 22,206,977 $ 15,049,919 $ 12,391,975 $ (2,657,944) $ 44,687,136 $ 42,427,923 $ 42,671,499 $ 243,576 Capital Improvements Future Capital Projects
Capital Projects
123
670

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
4,350,000 - 2,500,000 (4,350,000) - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
120,000 120,000 (646,718) (526,718) 100 35,425 35,325 100 - - - - - - - -
- - - - 62,556 - - (62,556)
4,470,000 2,620,000 (4,996,718) (526,718) 62,656 35,425 100 (27,231) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
12,075,000 - 12,075,000 - 899,056 4,634,322 12,075,000 (3,735,266) - - - - - - - -
- - - - - - - -
- - - 4,584,010 20,712,856 17,868,715 2,844,141 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
12,075,000 - 12,075,000 4,584,010 21,611,912 22,503,037 12,075,000 (891,125) (7,605,000) (526,718) (7,078,282) (4,583,910) (21,549,256) (22,467,612) (9,455,000) 863,894 - 2,628 2,628 - - - - -
(120,000) (260,815) (140,815) (120,000) - - - -
- - - - 30,728,576 21,704,957 - (9,023,619)
- - - - - (21,959,379) 21,959,379 -
- - - - 4,527,108 - - (4,527,108)
(120,000) (258,187) (138,187) (120,000) 8,769,197 21,704,957 12,935,760 - (7,725,000) (784,905) (6,940,095) (4,583,910) (12,780,059) (762,655) (9,575,000) 13,799,654 1,148,122 1,148,122 - 31,019,752 31,019,752 31,019,752 - 1,148,122 $ (8,426,878) $ (6,576,878) $ 363,217 $ (6,940,095) $ 26,435,842 $ 18,239,693 $ 30,257,097 $ 13,799,654 Sewer Expansion Community Facilities Districts
Capital Projects
124
671

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - 2,847,000 2,847,000 4,373,222 1,526,222 -
485,860 612,115 126,255 - - - - 67,000
7,312,420 9,443,829 2,131,409 - - - - 4,905,000
- - - - - - - -
- - - - - - - -
219,000 219,000 (1,528,715) (1,309,715) 144,000 144,000 (778,878) (634,878) - - - - - - - -
- - - - - - - -
8,017,280 8,746,229 728,949 2,991,000 2,991,000 3,738,344 747,344 5,191,000 - - - - - - - -
- - - - - - - -
- - - - 62 3,207 - (3,145)
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
16,957,910 817,447 16,140,463 118,660 7,387,211 1,201,672 6,185,539 12,620 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
16,957,910 817,447 16,140,463 118,660 7,387,273 1,204,879 6,182,394 12,620 5,178,380 (8,940,630) 16,869,412 2,872,340 7,928,782 (4,396,273) 6,929,738 2,533,465 - - - - - - - -
- (181,500) (181,500) - (123,000) (123,000) (123,000) - - - - - - - - -
- - - - - - - -
- - - - - - - -
- (181,500) (181,500) - (123,000) (123,000) (123,000) - 5,178,380 (9,122,130) 16,869,412 2,749,340 7,747,282 (4,519,273) 6,929,738 2,410,465 7,696,915 7,696,915 - 15,843,080 15,843,080 15,843,080 - 7,696,915 $ 12,875,295 $ (1,425,215) $ 15,444,197 $ 16,869,412 $ 18,592,420 $ 11,323,807 $ 18,253,545 $ 6,929,738 Traffic Mitigation Storm Drain
Capital Projects
125
672

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
552,000 977,357 425,357 - - - - 470,000
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
5,700 5,700 (48,575) (42,875) 400 400 (1,816) (1,416)
- - - - - - - -
- - - - - - - -
557,700 934,482 376,782 400 400 475,700 (1,816) (1,416) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
95,413 96,862 95,290 (1,449) - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
95,413 96,862 95,290 (1,449) - - - -
462,287 837,620 375,333 400 400 380,410 (1,816) (1,416) - - - - - - - -
(13,400) (13,400) (13,400) - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
(13,400) (13,400) (13,400) - - - - -
448,887 824,220 375,333 400 400 367,010 (1,816) (1,416) 579,435 579,435 - 46,973 46,973 46,973 - 579,435
$ 946,445 $ 1,028,322 $ 1,403,655 $ 375,333 $ 47,373 $ 47,373 $ 45,557 $ (1,816) San Sevaine Flood Control Upper Etiwanda Flood Control
Capital Projects
126
673

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
1,800,000 2,299,536 499,536 - - - - 1,800,000
- - - - - - - -
- - - 600,000 600,000 658,150 58,150 -
- - - - - - - -
- - - - - - - -
57,000 57,000 (610,613) (553,613) 49,800 49,800 (234,280) (184,480) - - - - - - - -
- - - - - - - -
1,857,000 1,745,923 1,857,000 (111,077) 649,800 473,670 649,800 (176,130) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
281,466 212,631 68,835 - - - - 273,880
- - - - - - - -
1,208 - 1,208 - - - - -
2,788,673 1,239,587 1,549,086 3,110 4,726,869 108,393 4,618,476 7,740 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
3,071,347 1,452,218 1,619,129 3,110 4,726,869 108,393 4,618,476 281,620 1,575,380 (1,214,347) 1,508,052 646,690 293,705 (4,077,069) 4,442,346 365,277 - 13,000,000 13,000,000 - - - - -
(219,300) (219,300) (219,300) - (46,900) (46,900) (46,900) - - - - - - - - -
- - - - - - - -
- - - - - - - -
(219,300) (219,300) 13,000,000 12,780,700 (46,900) (46,900) (46,900) - 1,356,080 (1,433,647) 14,508,052 599,790 13,074,405 (4,123,969) 4,442,346 318,377 5,120,629 5,120,629 - 5,582,393 5,582,393 5,582,393 - 5,120,629 $ 6,476,709 $ 3,686,982 $ 18,195,034 $ 14,508,052 $ 6,182,183 $ 1,458,424 $ 5,900,770 $ 4,442,346 Park Development Landscape Improvements
Capital Projects
127
674

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
400,000 285,160 400,000 (114,840) 650,000 640,651 650,000 (9,349) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
3,500 3,500 (42,444) (38,944) 23,500 23,500 (138,673) (115,173) - - - - - - - -
- - - - - - - -
403,500 246,216 403,500 (157,284) 673,500 525,478 673,500 (148,022) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - 1,329,263 521,396 807,867 -
- - - - - - - -
300,000 87,070 212,930 - - - - -
- - - - - - - -
- - - - 25,000 - 25,000 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
300,000 87,070 212,930 - 1,354,263 521,396 832,867 -
103,500 159,146 55,646 673,500 403,500 (680,763) 684,845 4,082 - - - - - - - -
- - - - (4,600) (4,600) (4,600) -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - (4,600) (4,600) (4,600) -
103,500 159,146 55,646 668,900 403,500 (518) (685,363) 684,845 1,020,694 1,020,694 - 3,582,959 3,582,959 3,582,959 - 1,020,694 $ 1,424,194 $ 1,124,194 $ 1,179,840 $ 55,646 $ 4,251,859 $ 2,897,596 $ 3,582,441 $ 684,845 Library Capital Improvement Police Facility
Capital Projects
128
675

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
1,000,000 1,025,717 25,717 100,000 100,000 - 1,000,000 (100,000) - - - - - - - -
- - - - - - - -
84,000 84,000 (455,240) (371,240) 2,200 2,200 (11,225) (9,025) - - - - - - - -
- - - - - - - -
1,084,000 654,477 1,084,000 (429,523) 102,200 102,200 (111,225) (9,025) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
1,017,764 - 1,017,764 - - - - -
- - - - - - - -
1,017,764 - 1,017,764 - - - - -
66,236 654,477 588,241 102,200 102,200 1,084,000 (111,225) (9,025) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
66,236 654,477 588,241 102,200 102,200 1,084,000 (111,225) (9,025) 11,327,526 11,327,526 - 299,459 299,459 299,459 - 11,327,526 $ 12,411,526 $ 11,393,762 $ 11,982,003 $ 588,241 $ 401,659 $ 401,659 $ 290,434 $ (111,225) General Government Improvement Underground Utilities
Capital Projects
129
676

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
150,000 340,822 190,822 805,000 1,355,000 1,437,307 82,307 150,000 - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
6,300 6,300 (27,013) (20,713) 33,000 33,000 (170,525) (137,525) - - - - - - - -
- - - - - 60,057 60,057 -
156,300 320,109 163,809 838,000 1,388,000 1,359,839 156,300 (28,161) - - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - 500 2,518,430 1,546,090 972,340 -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
423,922 - 423,922 - - - - -
- - - - - - - -
423,922 - 423,922 500 2,518,430 1,546,090 972,340 -
156,300 (267,622) 587,731 837,500 320,109 (186,251) (1,130,430) 944,179 - - - - - - - -
(321,370) (291,749) (321,370) - - - - 29,621
- - - - - - - -
- - - - - - - -
- - - - - - - -
(321,370) (291,749) (321,370) - - - - 29,621
(588,992) (165,070) 617,352 837,500 28,360 (186,251) (1,130,430) 944,179 637,968 637,968 - 5,656,569 5,656,569 5,656,569 - 637,968 $ 472,898 $ 48,976 $ 666,328 $ 617,352 $ 6,494,069 $ 4,526,139 $ 5,470,318 $ 944,179 Fire Assessment Affordable Housing Trust
Capital Projects
130
677

CITY OF FONTANA
Budgetary Comparison Schedules
Governmental Funds
For the Year Ended June 30, 2022
Revenues:

Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Special assessments
Investment earnings
Contribution from property owners
Other revenue
Total revenues
Expenditures:

Current:

General government:

City administration
Management services
Technology services
Human resources
Public safety:

Police
Fire
Public works
Community development
Community services
Engineering
Capital outlay
Debt service:

Principal
Interest
Payment to refunded bond escrow agent
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Bond proceeds
Bond proceeds on refunding
Premium on refunding bonds issued
Total other financing sources (uses)
Net change in fund balances
Fund balances - beginning
Fund balances - ending
Schedule 3

Variance with Variance with
Original Final Actual Final Budget Original Final Actual Final Budget Budget Budget Amounts Positive (Negative) Budget Budget Amounts Positive (Negative) $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
51,000 51,000 (205,100) (154,100) 73,000 7,391 73,000 (65,609) - - - - - - - -
- - - 10,050 10,050 53 - (9,997)
51,000 51,000 (205,100) (154,100) 83,050 7,444 83,050 (75,606) - - - - - - - -
- - - 242,950 842,950 418,339 424,611 -
- - - - - - - -
- - - - - - - -
12,845 - 12,845 - - - - -
3,414,700 1,408,331 2,006,369 - - - - 1,726,500
13,805 - 13,805 - - - - -
- - - - - - - -
- - - - - - - -
31,803,266 2,484,031 29,319,235 - - - - 5,570,000
- - - - - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
35,244,616 3,892,362 31,352,254 242,950 842,950 418,339 424,611 7,296,500 (35,193,616) (4,046,462) (7,245,500) 31,147,154 (759,900) (410,895) (159,900) 349,005 8,450,000 1,501,000 3,300,000 (6,949,000) - - - -
(10,532,900) (10,532,900) (42,900) - (100,200) (100,200) (93,500) - - (477,600) (480,533) - - - - 2,933
22,480,533 22,480,533 - - - - - -
- - - - - - - -
19,917,100 12,971,033 3,257,100 (93,500) (100,200) (100,200) (6,946,067) - (15,276,516) (3,988,400) 24,201,087 8,924,571 (860,100) (511,095) (253,400) 349,005 15,884,193 15,884,193 - 3,430,500 3,430,500 3,430,500 - 15,884,193 $ 11,895,793 $ 607,677 $ 24,808,764 $ 24,201,087 $ 3,177,100 $ 2,570,400 $ 2,919,405 $ 349,005 Fire Protection District Fontana Housing Authority
Capital Projects
131
678
Fiduciary Funds
–
– –
– –
– –
–
– –
132
679
Fiduciary Funds
– –
– –
– –
– –
– –
– –
– –
Community Facilities District #90 – Summit at Rosena – To account for Rosena CFD special taxes received and the payment of debt related to bonds issued.

Community Facilities District #87 – El Paseo – To account for El Paseo CFD special taxes received and the payment of debt related to bonds issued.

Community Facilities District #95 – Summit at Rosena II – To account for Rosena II CFD special taxes received and the payment of debt related to bonds issued.

Community Facilities District #106 – Mountainview – To account for Mountainview CFD special taxes received and the payment of debt related to bonds issued.
133
680
Schedule 5

CFD #2 CFD #3 CFD #4 CFD #7 CFD #11 CFD #12 CFD #22 CFD #31 CFD #37 CFD #70 Heritage Hunter's Ridge Walnut Village Country Club Heritage West End Sierra Lakes Sierra Hills South Citrus Heights North Montelago Avellino Assets
Cash and investments $ 9,990 $ 6,355 $ - $ 117,449 $ 164,780 $ 446,391 $ 1,035,524 $ 661,614 $ 109,046 $ 46,297 Cash and investments with fiscal agent - - - 358,660 758,182 1,968,005 4,059,764 3,423,056 390,490 228,971 Assessments receivable 67,148 - 393 9,466 4,221 (13,989) 121,069 45,654 10,763 (329) Total Assets 77,138 6,355 393 485,575 927,183 2,400,407 5,216,357 4,130,324 510,299 274,939 Liabilities
Accounts payable - - - - - - - - - -
Total Liabilities - - - - - - - - - -
Net Position
Held for other organizations - - - - - - - - - -
Held in trust for other purposes 77,138 6,355 393 485,575 927,183 2,400,407 5,216,357 4,130,324 510,299 274,939 Total net position $ 77,138 $ 6,355 $ 393 $ 485,575 $ 927,183 $ 2,400,407 $ 5,216,357 $ 4,130,324 $ 510,299 $ 274,939 CFD #71 CFD #74B CFD #80 CFD #81 CFD #85 CFD #86 CFD #87 CFD #88 CFD #89 CFD #90 Sierra Crest Citrus Summit Bella Strada Gabriella The Meadows Etiwanda Ridge El Paseo Sierra Crest II Belrose Summit at Rosena Assets
Cash and investments $ 162,718 $ 92,802 $ 370,625 $ 133,734 $ 571,593 $ 77,781 $ 32,933 $ 103,034 $ 183,237 $ 94,210 Cash and investments with fiscal agent 582,761 476,373 1,594,878 807,986 2,100,026 521,684 505,395 669,098 602,403 1,957,997 Assessments receivable 4,186 16,175 7,514 5,050 53,125 9,719 15,533 3,191 9,836 147,945 Total Assets 749,665 585,350 1,973,017 946,770 2,724,744 609,184 553,861 775,323 795,476 2,200,152 Liabilities
Accounts payable - 33,680 - - - - - - - -
Total Liabilities - 33,680 - - - - - - - -
Net Position
Held for other organizations - - - - - - - - - -
Held in trust for other purposes 749,665 551,670 1,973,017 946,770 2,724,744 609,184 553,861 775,323 795,476 2,200,152 Total net position 749,665$ 551,670$ 1,973,017$ 946,770$ 2,724,744$ 609,184$ 553,861$ 775,323$ 795,476$ 2,200,152$ CFD #95 CFD #106 Trust Total All
Summit at Rosena II Mountainview Deposits Custodial Funds Assets
Cash and investments $ - $ 66,992 $ 6,694,734 $ 11,181,839 Cash and investments with fiscal agent 950,440 - - 21,956,169 Assessments receivable 37,782 - - 554,452
Total Assets 988,222 66,992 6,694,734 33,692,460
Liabilities
Accounts payable - - - 33,680
Total Liabilities - - - 33,680
Net Position
Held for other organizations - - 6,694,734 6,694,734
Restricted for debt service 988,222 66,992 - 26,964,046 Total net position 988,222$ 66,992$ 6,694,734$ 33,658,780$

CITY OF FONTANA
Combining Statement of Fiduciary Net Position
Custodial Funds
June 30, 2022
134
681
Schedule 6

CFD #2 CFD #3 CFD #4 CFD #7 CFD #11 CFD #12 CFD #22 CFD #31 CFD #37 Heritage Hunter's Ridge Walnut Village Country Club Heritage West End Sierra Lakes Sierra Hills South Citrus Heights North Montelago Additions:

Contributions from property owners 3,578$ -$ -$ 257,500$ 533,179$ 1,470,838$ 2,724,421$ 1,764,485$ 237,782$ Interest and change in fair value of investments - - - 59 165 385 188 146 80 Other revenue - - - 253,409 438,173 1,181,354 - 893,021 310,698 Total additions 3,578 - - 510,968 971,517 2,652,577 2,724,609 2,657,652 548,560 Deductions:

Contractual services - - - - - - - - -
Administrative expense - - - - - - - - -
Interest expense - - - 34,038 70,549 234,378 1,195,500 828,922 50,291 Principal payments - - - 572,978 2,124,122 4,240,063 1,350,000 785,000 963,464 Total deductions - - - 607,016 2,194,671 4,474,441 2,545,500 1,613,922 1,013,755 Change in net position 3,578 - - (96,048) (1,223,154) (1,821,864) 179,109 1,043,730 (465,195) Net position at beginning of year 6,355 393 581,623 2,150,337 4,222,271 5,037,248 3,086,594 975,494 73,560 Net position at end of year $ 77,138 $ 6,355 $ 393 $ 485,575 $ 927,183 $ 2,400,407 $ 5,216,357 $ 4,130,324 $ 510,299 CFD #70 CFD #71 CFD #74B CFD #80 CFD #81 CFD #85 CFD #86 CFD #87 CFD #88 Avellino Sierra Crest Citrus Summit Bella Strada Gabriella The Meadows Etiwanda Ridge El Paseo Sierra Crest II Additions:

Contributions from other governments 164,769$ 360,766$ 360,726$ 803,500$ 481,740$ 1,428,513$ 343,385$ 339,074$ 468,724$ Interest and change in fair value of investments 43 432 11 (155) 45 40 8 75 9 Other revenue 157,591 - - - 316,950 -
Total additions 322,403 361,198 360,737 803,345 481,785 1,428,553 343,393 656,099 468,733 Deductions:

Contractual services - - - - - - - - -
Administrative expense - - - - - - - 128,936 -
Interest expense 46,228 155,219 163,125 443,306 267,769 878,250 176,544 - 260,400 Contributions to other governments 495,791 155,000 80,000 255,000 150,000 550,000 105,000 82,506 - Total deductions 542,019 310,219 243,125 698,306 417,769 1,428,250 281,544 211,442 260,400 Change in net position (219,616) 50,979 117,612 105,039 64,016 303 61,849 444,657 208,333 Net position at beginning of year 698,686 434,058 1,867,978 882,754 2,724,441 547,335 109,204 566,990 494,555 Net position at end of year $ 274,939 $ 749,665 $ 551,670 $ 1,973,017 $ 946,770 $ 2,724,744 $ 609,184 $ 553,861 $ 775,323 CFD #89 CFD #90 CFD #95 CFD #106 Trust Total All
Belrose Summit at Rosena Summit at Rosena II Mountainview Deposits Custodial Funds Additions:

Contributions from other governments 406,731$ 1,333,106$ 415,265$ 66,992$ -$ 13,965,074$ Interest and change in fair value of investments 23 298 1 - - 1,853 Other revenue - - 950,439 - 12,507,019 17,008,654
Total additions 406,754 1,333,404 1,365,705 66,992 12,507,019 30,975,581 Deductions:

Contractual services - - - - - -
Administrative expense 30,743 598,838 - - - 758,517
Interest expense 224,375 - - - - 5,028,894
Contributions to other governments 185,000 - 377,483 - 12,655,322 25,126,729 Total deductions 440,118 598,838 377,483 - 12,655,322 30,914,140 Change in net position (33,364) 734,566 988,222 66,992 (148,303) 61,441 Net position at beginning of year 1,465,586 - - 6,843,037 33,597,339 828,840 Net position at end of year $ 795,476 $ 2,200,152 $ 988,222 $ 66,992 $ 6,694,734 $ 33,658,780

CITY OF FONTANA
Combining Statement of Changes in Fiduciary Net Position Custodial Funds
Year Ended June 30, 2022
135
682
136
683
Contents
FinancialTrends
RevenueCapacity
DebtCapacity
DemographicandEconomicInformation
OperatingInformation
CITYOFFONTANA
STATISTICALSECTION
This part of the City of Fontana's Comprehensive Annual Financial Report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary informationsaysaboutfinancialtrends,revenuecapacity,debtcapacity,demographics,andoperatinginformation.

These schedules contain trend information to help the reader understand how the City's financialperformanceandwell-beinghavechangedovertime.

Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensiveannualfinancialreportsfortherelevantyear.

These schedules contain information to help the reader assess the factors affecting the City's abilitytogenerateitspropertyandsalestax.

These schedules present information to help the reader assess the affordability of the City's currentlevelofoutstandingdebtandtheCity'sabilitytoissueadditionaldebtinthefuture.

These schedules offer demographic and economic indicators to help the reader understand the environment within which the City's financial activities take place and to help make comparisonsovertimeandwithothergovernments.

These schedules contain information about the City's operations and resources to help the reader understand how the City's financial information relates to the services the City provides andtheactivitiesitperforms.

Page
138
144
148
152
154
137
137
684
2022 2021 2020 2019 2018
Governmental Activities
Net investment in capital assets 675,178,954 $ 638,864,552 $ 689,365,068 $ 701,530,830 $ 720,068,559 $ Restricted 272,038,102 253,988,209 244,761,778 245,587,568 232,841,328 Unrestricted 63,341,636 92,731,842 (7,238,288) (13,423,646) (26,155,824) Total governmental activities net position 1,010,558,692 985,584,603 926,888,558 933,694,752 926,754,063 Business-type activities
Net investment in capital assets 53,603,455 $ 55,532,997 $ 57,530,519 $ 59,255,628 $ 61,076,764 $ Unrestricted 21,292,372 20,735,496 20,771,902 23,039,788 21,347,594 Total business-type activities net position 74,895,827 76,268,493 78,302,421 82,295,416 82,424,358 Primary Government
Net investment in capital assets 728,782,409 694,397,549 746,895,587 760,786,458 781,145,323 Restricted 272,038,102 253,988,209 244,761,778 245,587,568 232,841,328 Unrestricted 84,634,008 113,467,338 13,533,614 9,616,142 (4,808,230) Total primary government net position 1,085,454,519 1,061,853,096 1,005,190,979 1,015,990,168 1,009,178,421 2017 2016 2015 2014 2013
Governmental Activities
Net investment in capital assets 735,790,188 $ 755,220,959 $ 691,627,257 $ 703,125,448 $ 676,166,540 $ Restricted 227,128,252 226,420,563 204,759,026 196,764,945 201,817,790 Unrestricted 9,377,716 2,951,934 (13,247,617) 93,002,321 71,378,200 Total governmental activities net position 972,296,156 984,593,456 883,138,666 992,892,714 949,362,530 Business-type activities
Net investment in capital assets 61,798,043 $ 63,050,134 $ 65,035,187 $ 62,610,261 $ 63,626,343 $ Unrestricted 22,291,772 23,458,142 23,099,758 27,641,399 28,233,609 Total business-type activities net position 84,089,815 86,508,276 88,134,945 90,251,660 91,859,952 Primary Government
Net investment in capital assets 797,588,231 818,271,093 756,662,444 765,735,709 739,792,883 Restricted 227,128,252 226,420,563 204,759,026 196,764,945 201,817,790 Unrestricted 31,669,488 26,410,076 9,852,141 120,643,720 99,611,809 Total primary government net position 1,056,385,971 1,071,101,732 971,273,611 1,083,144,374 1,041,222,482 Fiscal Year

CITY OF FONTANA
Fiscal Year
(accrual basis of accounting)
Last Ten Fiscal Years

NET POSITION BY COMPONENT
138
685
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Expenses
General government 40,459,365 $ 41,709,051 $ 41,457,059 $ 33,660,288 $ 28,739,683 $ 45,299,507 $ 29,336,758 $ 24,737,274 $ 23,587,937 $ 22,932,400 $ Public safety 111,899,427 111,355,247 102,004,716 96,951,615 93,262,299 84,299,901 77,928,071 76,501,195 70,609,139 65,336,580 Public works 49,008,197 50,077,996 53,058,256 46,895,115 47,117,801 40,234,605 37,524,666 69,996,558 71,174,441 72,603,025 Community development 5,492,363 38,018,696 5,691,710 5,781,517 9,933,299 10,454,373 9,037,714 3,882,448 3,724,782 27,999,771 Community services 13,344,407 13,155,951 15,553,958 17,458,437 17,272,167 15,370,237 14,762,425 13,474,939 12,928,629 13,072,787 Engineering 37,814,087 23,998,951 32,262,876 31,262,387 30,951,213 27,878,438 21,667,220 14,859,417 20,006,242 5,815,197 Interest on long-term debt 2,132,558 1,860,542 2,001,629 1,981,911 2,608,411 2,392,153 2,153,414 3,105,404 2,866,029 2,974,691 Total governmental activities expenses 260,150,404 280,176,434 252,030,204 233,991,270 229,884,873 225,929,214 192,410,268 206,557,235 204,897,199 210,734,451 Business-type activities:

Sewer 24,541,611 24,980,302 26,759,827 22,026,753 22,261,294 20,786,533 18,837,548 18,010,757 16,987,089 15,577,783 Water - - 12,200 19,520 1,390 6,032 44,104 54,805 134,351 550,544 Interest on long-term debt 112,532
Total business-type activities 24,654,143 24,980,302 26,772,027 22,046,273 22,262,684 20,792,565 18,881,652 18,065,562 17,121,440 16,128,327 Total primary government expenses $ 284,804,547 $ 305,156,736 $ 278,802,231 $ 256,037,543 $ 252,147,557 $ 246,721,779 $ 211,291,920 $ 224,622,797 $ 222,018,639 $ 226,862,778 Program Revenues
Charges for Services:

General government 7,581,528$ 8,017,410$ 7,614,444$ 8,358,160$ 12,022,779$ 7,139,390$ 6,864,125$ 7,801,644$ 7,304,751$ 6,176,107$ Public safety 1,999,022 2,475,633 4,458,763 6,379,838 6,280,045 6,190,785 6,314,166 9,987,259 4,916,477 12,868,006 Public works 22,934,465 22,578,897 23,543,756 19,315,359 19,351,719 19,257,044 19,504,058 18,706,068 16,194,872 20,454,574 Community development 25,431,821 21,693,037 15,716,301 20,590,089 17,949,656 16,883,104 25,591,414 12,694,452 7,586,953 8,805,067 Community services 3,181,475 1,054,151 2,042,342 3,588,342 3,282,570 3,265,356 7,679,413 6,401,350 5,988,585 7,351,146 Engineering 12,201,965 7,186,627 4,409,240 7,048,521 7,231,866 7,012,662 11,340,644 5,153,433 2,726,083 3,950,637 Operating contributions and grants 20,860,568 46,511,190 24,472,892 17,437,665 14,720,871 12,213,450 4,920,888 5,388,077 13,246,859 23,263,276 Capital contributions and grants 27,263,569 68,781,955 12,457,455 14,409,776 28,415,558 26,539,731 13,763,600 17,231,877 61,605,282 795,729 Total governmental activities program revenues 121,454,413 178,298,900 94,715,193 97,127,750 109,255,064 98,501,522 95,978,308 83,364,160 119,569,862 83,664,542 Business-type activities:

Charges for Services:

Sewer 26,819,169 25,358,711 24,922,787 23,116,983 21,703,872 19,539,503 18,248,953 17,131,593 15,548,412 14,805,929 Capital contributions and grants 336,864 198,621 108,539 803,148 724,564 1,166,163 651,860 3,486,994 1,069,865 448,472 Total business-type activities program revenues 27,156,033 25,557,332 25,031,326 23,920,131 22,428,436 20,705,666 18,900,813 20,618,587 16,618,277 15,254,401 Total primary government program revenues $ 148,610,446 $ 203,856,232 $ 119,746,519 $ 121,047,881 $ 131,683,500 $ 119,207,188 $ 114,879,121 $ 103,982,747 $ 136,188,139 $ 98,918,943 Net (expense)/revenue:

Governmental activities (101,877,534) (157,315,011) (136,863,520) (120,629,809) (127,427,692) (96,431,960) (123,193,075) (85,327,337) (127,069,909) (138,695,991) Business-type activities 2,501,890 577,030 (1,740,701) 165,752 1,873,858 (86,899) 2,553,025 19,161 (873,926) (503,163) Total primary government net expense $ (136,194,101) $ (101,300,504) $ (159,055,712) $ (134,989,662) $ (120,464,057) $ (127,514,591) $ (96,412,799) $ (120,640,050) $ (85,830,500) $ (127,943,835) Governmental activities:

CITY OF FONTANA

CHANGES IN NET POSITION
Last Ten Fiscal Years
(accrual basis of accounting)
Governmental activities:

Fiscal Year
139
686
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
General Revenues and Other Changes in Net Position
Governmental Activities:

Taxes:

Property taxes 84,070,144$ 76,703,234$ 73,705,908$ 65,123,274$ 54,647,011$ 52,097,345$ 48,537,350$ 47,772,343$ 46,049,227$ 48,062,073$ Sales taxes 56,726,526 51,408,188 42,958,630 44,564,309 38,663,576 37,844,293 38,442,282 34,219,832 31,440,752 29,160,503 Franchise taxes 9,749,087 8,670,092 8,400,846 7,603,283 7,190,939 6,680,065 7,042,887 7,428,364 6,276,563 5,882,003 Business license taxes 7,583,660 6,676,592 6,280,132 6,419,287 5,898,298 5,714,262 5,215,605 4,982,546 4,642,711 4,808,167 Transient occupancy taxes 1,374,182 1,132,091 960,057 1,085,305 1,009,734 961,122 962,089 715,570 704,132 587,452 Motor vehicle in-lieu 459,175 156,222 167,850 101,761 112,007 94,030 82,436 82,854 85,263 102,472 Investment earnings (10,525,380) 11,543,571 13,862,698 5,209,144 5,645,106 8,151,890 7,362,672 8,368,054 3,169,063 4,007,555 Other 11,900,515 9,175,913 3,747,676 2,378,892 5,045,968 3,670,692 3,718,814 6,136,697 5,739,599 8,791,729 Gain/(Loss) on sale of capital assets - - - - - - - (557,702) - (836,248) Extraordinary gain/(loss) on dissolution of redevelopment agency - - - - - - - - - - Transfers 2,949,200 2,643,692 2,744,147 2,665,400 1,891,022 2,262,500 2,109,800 1,815,690 1,723,160 2,309,000 Total governmental activities 164,287,109 160,573,579 150,508,817 143,804,209 119,667,699 114,969,415 114,263,153 109,958,866 105,029,461 102,036,214 Business-type activities:

Investment earnings (748,794) 491,853 662,600 59,813 91,915 309,412 250,299 452,288 18,927 (305,420) Other (176,562) - - - - - - - - 13,807
Extraordinary gain/(loss) on dissolution of redevelopment agency - - - - - - - - - - Transfers (2,643,692) (2,744,147) (2,665,400) (1,891,022) (2,262,500) (2,109,800) (1,815,690) (1,723,160) (2,309,000) (2,949,200) Total business-type activities (2,610,958) (2,252,294) (2,002,800) (1,831,209) (2,170,585) (1,800,388) (1,565,391) (1,270,872) (2,614,420) (3,874,556) Total primary government $ 160,412,553 $ 157,962,621 $148,256,523 $ 141,801,409 $ 117,836,490 $ 112,798,830 $ 112,462,765 $108,393,475 $103,758,589 $ 99,421,794 Change in Net Position
Governmental activities 25,591,118 58,696,045 (6,806,194) 6,940,689 (12,458,277) (962,110) 17,831,193 (13,234,209) 19,702,124 (25,033,695) Business-type activities (2,033,928) (3,992,995) (128,942) (1,665,457) (2,257,484) (1,781,227) (1,372,666) 987,634 (3,488,346) (1,774,035) Total primary government $ 24,218,452 $ 56,662,117 $ (10,799,189) $ 6,811,747 $ (2,627,567) $ (14,715,761) $ 16,049,966 $ (12,246,575) $ 17,928,089 $ (28,522,041)

CITY OF FONTANA

CHANGES IN NET POSITION
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year
140
687
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
General Fund:

Nonspendable 383,755$ 322,558$ 396,090$ 393,718$ 464,839$ 395,907$ 429,023$ 386,436$ 203,890$ 219,415$ Restricted 1,510,351 1,510,351 1,341,403 1,236,229 1,151,682 1,071,523 1,087,820 1,158,751 890,753 3,309,252 Committed 10,886,393 6,038,085 5,700,690 6,167,070 5,207,240 5,414,716 4,726,998 2,669,111 3,190,424 3,823,671 Assigned 33,944,406 33,944,406 27,473,651 26,455,278 25,141,842 24,446,674 34,514,464 21,789,340 19,511,605 17,544,997 Unassigned 77,336,531 75,240,512 63,564,012 60,465,811 55,080,691 54,121,364 46,558,441 54,561,190 55,180,619 21,000,677 Total $ 124,061,436 $ 117,055,912 $ 98,475,846 $ 94,718,106 $ 87,046,294 $ 85,450,184 $ 87,316,746 $ 80,564,828 $ 78,977,291 $ 45,898,012 All Other Governmental Funds, other than General Fund:

Nonspendable 13,766,080$ 12,607,667$ 12,538,114$ 3,019,097$ 948,101$ 5,715,188$ 5,399,718$ 106,500$ 55,263,626$ 144,832,484$ Restricted 270,527,750 250,955,642 213,552,839 207,168,717 194,769,129 188,197,328 187,496,268 182,582,223 179,623,689 62,146,373 Committed - - - - - - - - - 17,507,842
Assigned 152,557,359 148,248,879 110,069,155 124,981,347 125,032,314 120,713,623 107,535,831 94,339,773 35,217,888 41,817,140 Unassigned (1,605,563) (1,550,470) (5,614,358) (13,245,428) (17,891,929) (24,005,611) (31,658,357) (28,160,897) (36,250,997) (1,599,859) Total Other Governmental Funds $ 435,251,330 $ 410,206,625 $ 334,609,638 $ 329,554,803 $ 307,504,116 $ 296,734,210 $ 276,426,206 $ 245,370,139 $ 241,944,306 $ 230,052,842 Fiscal Year
(modified accrual basis of accounting)
Last Ten Fiscal Years

FUND BALANCES - GOVERNMENTAL FUNDS

CITY OF FONTANA
141
688
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Revenues:

Taxes 159,517,348 $ 144,690,732 $ 132,341,375 $ 124,795,458 $ 107,409,558 $ 103,297,087 $ 100,200,213 $ 95,118,655 $ 89,113,385 $ 88,500,198 $ Licenses and permits 18,797,242 14,284,661 9,547,162 12,402,513 10,713,155 12,811,481 18,626,256 9,457,615 4,014,081 6,312,758 Intergovernmental 29,659,271 39,222,825 32,980,850 24,566,107 19,884,450 20,108,576 20,328,373 26,033,423 31,222,032 43,049,724 Charges for services 31,138,289 25,991,512 22,778,927 28,474,357 27,447,010 19,659,882 26,783,977 16,345,500 10,622,985 10,880,185 Fines and forfeitures 775,399 1,683,660 3,735,492 3,812,587 3,515,710 4,021,872 4,472,790 4,780,288 3,114,133 3,989,423 Special assessments 18,389,887 18,320,914 18,136,360 17,040,757 16,758,987 16,270,692 16,040,403 15,760,431 15,531,166 15,324,914 Investment earnings (11,566,369) 4,361,840 11,322,972 13,662,906 5,203,257 5,623,634 8,110,868 7,351,178 8,292,701 3,212,107 Contribution from property owners 21,704,957 59,507,176 5,194,646 4,480,225 18,695,684 14,728,436 - - 2,308,611 - Other revenue 10,295,120 27,660,909 4,983,802 3,897,361 11,027,048 8,280,834 8,528,720 10,034,327 10,125,947 12,486,725 Total Revenues 278,711,144 335,724,229 241,021,586 233,132,271 220,654,859 204,802,494 203,091,600 184,881,417 174,345,041 183,756,034 Expenditures:

General government 37,876,497 41,481,736 35,212,913 30,213,300 29,643,233 28,048,281 22,040,327 23,930,630 20,404,087 18,767,425 Public safety 115,338,172 105,542,219 97,778,504 92,004,052 87,292,864 82,284,307 77,542,546 76,649,056 69,930,455 64,854,844 Public works 54,771,628 45,845,634 60,858,909 38,512,671 37,799,200 31,924,593 29,236,066 33,682,886 32,721,384 30,082,698 Community development 7,086,769 4,597,019 4,260,620 4,324,744 4,597,292 5,390,496 4,048,697 3,928,595 3,720,967 5,748,414 Community services 14,835,474 10,832,457 13,648,401 15,348,654 15,439,409 14,443,168 14,190,508 13,619,422 12,915,801 13,115,209 Engineering 37,410,900 44,424,084 20,205,163 9,852,337 13,129,486 10,612,177 5,180,562 14,928,557 20,009,693 5,838,832 Capital outlay - - - 12,422,973 20,640,164 11,990,495 18,772,727 14,692,362 9,802,816 33,636,349 Debt service:

Principal 1,302,474 1,230,000 1,165,000 1,105,000 1,055,000 1,015,000 2,025,000 2,450,000 2,335,000 2,215,000 Interest 2,047,366 1,881,529 2,021,463 2,000,711 2,622,940 2,405,916 2,687,661 1,670,241 2,902,744 3,009,441 Payments on refunded bonds - prior 5,089,012 - - - - - - 3,924,816 - - Debt issuance cost 477,600 - - - - 624,562 - -
Total Expenditures 276,235,892 255,834,678 235,150,973 205,784,442 212,219,588 188,114,433 175,724,094 190,101,127 174,742,947 177,268,212 Excess of revenues
over (under) expenditures 2,475,252 $ 79,889,551 $ 5,870,613 $ 27,347,829 $ 8,435,271 $ 16,688,061 $ 27,367,506 $ $ (397,906)$ (5,219,710) $ 6,487,822

CITY OF FONTANA

CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
142
689
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Other financing sources (uses)
Transfers in 52,345,864 $ 44,655,190 $ 28,172,553 $ 26,675,264 $ 31,648,373 $ 29,113,977 $ 26,797,538 $ 26,579,617 $ 23,890,997 $ 18,754,401 $ Transfers out (42,078,498) (25,905,096) (24,545,777) (29,963,316) (27,373,831) (24,785,743) (24,919,027) (22,304,337) (16,445,401) (49,517,194) Long-term debt issued 23,125,000 - - - - - - 37,675,000 3,873,854 - Premium on bonds issued 3,920,250 - - - - - - 3,429,057 - - Sale of capital assets 209,774 11,710,810 674,505 245,183 3,855 13,235 3,184,220 7,011 11,458 4,277 Capital lease 108,141 - - - - - - - - -
Payment to refunded bond escrow agent - - - - - - - - (40,526,666) - Total other financing sources (uses) 30,191,835 $ 14,287,502 $ 2,941,962 $ 2,374,670 $ 1,688,912 $ 1,753,381 $ 5,196,015 $ 2,244,992 $ 5,471,972 $ 2,313,277 $ Extraordinary gain/(loss) on dissolution
of redevelopment agency - - - - - - - - - -
Net change in fund balances 32,667,087 94,177,053 8,812,575 29,722,499 10,124,183 18,441,442 32,563,521 (2,974,718) 5,074,066 8,801,099 Debt service as a percentage of noncapital 1.2% 1.2% 1.4% 1.6% 1.9% 1.9% 3.0% 2.3% 3.2% 3.6% expenditures
(modified accrual basis of accounting)
Last Ten Fiscal Years

CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS

CITY OF FONTANA
143
690
Total
Total Taxable Direct
Fiscal Residential Commercial Industrial Less: Assessed Tax Year Property Property Property Other Exemptions Value Rate 2022 $ 15,528,346 $ 1,795,936 $ 4,793,734 $ 3,155,412 $ 1,247,727 $ 24,025,701 0.2229% 2021 14,609,093 1,702,974 4,221,433 3,176,113 1,206,069 22,503,544 0.2229% 2020 13,789,451 1,653,449 3,865,352 3,035,990 1,184,156 21,160,086 0.2228% 2019 13,105,716 1,512,467 3,269,699 2,909,966 1,131,418 19,666,430 0.2226% 2018 12,119,011 1,424,642 2,495,301 2,790,019 1,107,737 17,721,236 0.2225% 2017 11,467,647 1,367,110 2,337,790 2,728,389 1,081,775 16,819,161 0.2222% 2016 10,881,178 1,330,490 2,154,179 2,682,921 1,066,662 15,982,106 0.2231% 2015 10,323,555 1,293,464 2,065,027 2,588,295 1,045,876 15,224,465 0.2231% 2014 9,438,839 1,246,930 1,832,288 2,094,367 623,824 13,988,600 0.2230% 2013 9,014,234 1,231,169 1,805,027 2,112,519 566,672 13,596,277 0.7072% Source: San Bernardino County Auditor/Controller
Notes: In 1978, the voters of the State of California passed Proposition 13 which limited taxes to a total maximum rate of 1%, based upon the assessed value of the property being taxed. Each year, the assessed value of property may be increased by an "inflation factor" (limited to a maximum of 2%). With few exceptions, property is only reassessed as a result of new construction activity or at the time it is sold to a new owner. At that point, the property is reassessed based upon the added value of the construction or at the purchase price (market value) or economic value of the property. The assessed valuation data shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitations described above. (in thousands of dollars)
Last Ten Fiscal Years

ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY

CITY OF FONTANA
144
691
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Direct Rates:

City basic rate 0.032$ 0.032$ 0.032$ 0.032$ 0.032$ 0.032$ 0.032$ 0.032$ 0.032$ 0.032$ Fontana Unified School District 0.273 0.273 0.273 0.273 0.273 0.273 0.273 0.273 0.273 0.273 Education Revenue Augmentation Fund 0.222 0.222 0.222 0.222 0.222 0.222 0.222 0.222 0.222 0.222 Fontana Fire Protection District 0.186 0.186 0.186 0.186 0.186 0.186 0.186 0.186 0.186 0.186 County of San Bernardino 0.147 0.147 0.147 0.147 0.147 0.147 0.147 0.147 0.147 0.147 Chaffey Community College 0.043 0.043 0.043 0.043 0.043 0.043 0.043 0.043 0.043 0.043 Inland Empire Utilities Agency- 1969 Annex 0.029 0.029 0.029 0.029 0.029 0.029 0.029 0.029 0.029 0.029 Flood Control 0.026 0.026 0.026 0.026 0.026 0.026 0.026 0.026 0.026 0.026 Others 0.043 0.043 0.043 0.043 0.043 0.043 0.043 0.043 0.043 0.043 Basic Levy (1) 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 Overlapping Rates (2)
Chaffey Community College 0.0177 0.0111 0.0241 0.0153 0.0088 0.0116 0.0113 0.0109 0.0157 0.0111 Chaffey High School 0.0371 0.0352 0.0375 0.0402 0.0279 0.0319 0.0409 0.0294 0.0371 0.0101 Colton Unified School 0.1081 0.1031 0.1016 0.1116 0.0939 0.1454 0.1169 0.0973 0.1187 0.1488 Etiwanda Elementary Bond 0.0233 0.0283 0.0034 0.0286 0.0169 - - - - - Fontana Unified School District 0.0520 0.0671 0.0420 0.0890 0.1113 0.1117 0.1145 0.1384 0.1516 0.1501 Metropolitan Water Agency - Original 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 Rialto Unified School 0.0829 0.0805 0.0848 0.0771 0.0957 0.0992 0.1194 0.0655 0.0704 0.0736 San Bernardino Community College 0.0534 0.0651 0.0562 0.0407 0.0376 0.0350 0.0403 0.0393 0.0419 0.0459 San Bernardino Valley Muni Water 0.1300 0.1425 0.1425 0.1525 0.1525 0.1625 0.1625 0.1625 0.1625 0.1625 Total Tax Rate 1.5080 1.5364 1.4956 1.5585 1.5481 1.6008 1.6093 1.5468 1.6014 1.6056 City Share of 1% levy per Prop 13 (3) 0.21785 0.21785 0.21785 0.21785 0.21785 0.21785 0.21785 0.21785 0.21785 0.21785 Total Direct Rate (4) 0.2229 0.2228 0.2226 0.2225 0.2222 0.2231 0.2231 0.2230 0.7072 0.2229 Source: San Bernardino County Assessor 2012/13 - 2021/22 Tax Rate Table (1) In 1978, California voters passed Proposition 13 which set the property tax rate at a 1.00% fixed amount. This 1.00% is shared by all taxing agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of any voter approved bonds. (4) Total Direct Rate is the weighted average of all individual direct rates for the City of Fontana. (3) City's share of 1% Levy is based on the City's share of the general fund tax rate area with the largest net taxable value within the city. (2) Overlapping rates are those of local and county governments that apply to property owners within the City. Not all overlapping rates apply to all city property owners.

CITY OF FONTANA

DIRECT AND OVERLAPPING PROPERTY TAX RATES
(Rate per $100 of assessed value)
Last Ten Fiscal Years
Fiscal Year
145
692
Percentage Percentage
of Total City of Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Tax Payer Value Rank Value Value Rank Value
Duke Realty LP 190,372,678$ 1 0.79% -$ - -
GLC Fontana LLC 168,685,357 2 0.70% - -
San Gabriel Valley Water Company 144,589,954 3 0.60% 137,881,343 1 1.01% Vintage Park East LLC 135,437,610 4 0.56% 116,715,998 2 0.86% Target Corporation 129,474,525 5 0.54% 90,690,950 4 0.67% Northwestern Mutual Life Insurance Co 110,338,280 6 0.46% - - - Fairfield Potomac Club LLC 109,687,838 7 0.46% - - -
10824 Production Owner LLC 105,633,138 8 0.44% - - -
Citrus Avenue LLC 99,271,641 9 0.41% - - -
DCT Jurupa Ranch LLC 99,192,276 10 0.41% - - -
RRP Falcon Ridge Town Center LP - - - 103,970,937 3 0.76% Intex Properties - - - 75,426,368 5 0.55%
North Fontana Investment Company - - - 61,268,736 6 0.45% UST-CB Partners LP - - - 58,607,715 7 0.43%
10681 Production Avenue LLC - - - 58,063,954 8 0.43%
Ameeron International Corporation - - - 57,178,789 9 0.42% John Hancock Life Insurance Co - - - 55,500,000 10 0.41% $ 1,292,683,297 5.38% $ 815,304,790 6.00%
Source: San Bernardino County Assessor 2021/22 and 2012/13 Combined Tax Rolls 2022 2013

CITY OF FONTANA

PRINCIPAL PROPERTY TAXPAYERS
Current Year and Nine Years Ago
146
693
Fiscal Year Taxes Levied Collections
Ended for the Percentage in Subsequent Percentage
June 30 Fiscal Year Amount of Levy Years(1) Amount of Levy 2022 177,815,170$ 154,626,525$ 86.96% N/A 188,891,255$ 106.23% 2021 165,790,631 163,224,145 98.45% N/A 172,050,509 103.78% 2020 155,079,893 150,276,972 96.90% N/A 160,025,650 103.19% 2019 143,242,302 139,912,871 97.68% N/A 154,079,402 107.57% 2018 127,484,458 123,578,925 96.94% N/A 135,747,922 106.48% 2017 120,165,247 116,284,658 96.77% N/A 125,264,871 104.24% 2016 114,393,058 110,245,843 96.37% N/A 116,422,050 101.77% 2015 108,804,010 100,541,313 92.41% N/A 115,888,404 106.51% 2014 99,428,467 96,197,340 96.75% N/A 100,966,890 101.55% 2013 96,706,177 103,568,113 107.10% N/A 95,130,535 98.37% Notes: The amounts presented include City property taxes and Redevelopment Agency tax increment. This schedule also includes amounts collected by the City and Redevelopment Agency that were passed-through to other agencies.

Source: San Bernardino Auditor-Controller's Office

CITY OF FONTANA

PROPERTY TAX LEVIES AND COLLECTIONS
Last Ten Fiscal Years
(2) Due to the dissolution of the former redevelopment agency, the property taxes collected in the former project areas are no longer remitted to the agencies. Assembly Bill 1X26 provides that revenues will only be allocated to make payments on the indebtedness; all remaining collections will be distributed to the other taxing entities based on the tax sharing formula. (1) Data provided by the San Bernardino County Assessor's Office for collection of prior year taxes does not segregate the information by fiscal year. Therefore, the City is not able to provide this information in the above schedule.

Fiscal Year of the Levy
Collected within the
Total Collections to Date
147
694
General Total Governmental Business-type Total Percentage Fiscal Personal Obligation Net General Activities Activities Primary of Personal Per Year Population(1) Income(2) Bonds Bonded Debt Term Loan Term Loan Government Income Capita 2022 212,809 -$ 59,449,893$ 59,449,893$ 2,851,815$ 5,720,869$ 68,022,577$ - 279 2021 213,944 5,432,476,000 38,780,145 38,780,145 3,259,217 6,584,027 48,623,389 0.90% 181 2020 213,000 5,061,439,000 40,122,668 40,122,668 4,074,021 7,355,897 51,552,586 1.02% 188 2019 212,078 4,775,796,000 41,400,191 41,400,191 3,873,854 8,264,879 53,538,924 1.12% 195 2018 212,000 4,444,518,000 42,617,714 42,617,714 3,873,854 9,083,112 55,574,680 1.25% 201 2017 212,786 4,159,001,000 43,785,237 43,785,237 3,873,854 9,886,898 57,545,989 1.38% 206 2016 209,895 4,013,591,000 44,912,760 44,912,760 3,873,854 10,676,491 59,463,105 1.48% 214 2015 204,312 3,963,623,000 47,050,283 47,050,283 3,873,854 11,452,143 62,376,280 1.57% 230 2014 202,013 3,834,409,000 53,062,593 53,062,593 3,873,854 12,214,101 69,150,548 1.80% 263 2013 202,177 3,766,153,000 55,427,203 55,427,203 - 12,962,605 68,389,808 1.82% 274 Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements.

Personal Income amounts for the most recent fiscal year are not available at the issuance of this report. (1) Source: California State Department of Finance
(2) Source: US Census Bureau, most recent American Community Survey

CITY OF FONTANA

RATIO OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years
General Bonded Debt
148
695
Ratio of Net Net
Total Lease Total Bonded Debt Bonded
Fiscal Assessed Revenue Net General to Assessed Debt per Year Population(1) Valuation(2) Bonds Bonded Debt Valuation Capita 2022 212,809 24,025,701,078$ (3) $ 59,449,893$ 0.25% 279$ 59,449,893 2021 213,944 22,503,543,501 (3) 38,780,145 0.17% 181 38,780,145 2020 213,000 21,160,085,508 (3) 40,122,668 0.19% 188 40,122,668 2019 212,078 19,666,430,280 (3) 41,400,191 0.21% 195 41,400,191 2018 212,000 17,721,235,967 (3) 42,617,714 0.24% 201 42,617,714 2017 212,786 16,819,161,359 (3) 43,785,237 0.26% 206 43,785,237 2016 209,895 15,982,106,642 (3) 44,912,760 0.28% 214 44,912,760 2015 204,312 15,224,465,093 (3) 47,050,283 0.31% 230 47,050,283 2014 202,013 13,988,600,102 (3) 53,062,593 0.38% 263 53,062,593 2013 202,177 13,596,277,647 (3) 55,427,203 0.41% 274 55,427,203 (1) Source: State Department of Finance
(2) Assessed value has been used because the actual value of taxable property is not readily available in the State of California.

CITY OF FONTANA

RATIO OF GENERAL BONDED DEBT OUTSTANDING
Last Ten Fiscal Years
General Bonded
Debt
(3) Due to the dissolution of the redevelopment agency on January 31, 2012, total assessed value for the City is no longer reduced by the incremental value of the redevelopment project areas.

Note: General bonded debt is debt payable with governmental fund resources and general obligation bonds recorded in enterprise funds
149
696
City Assessed Valuation $ 24,025,701,078
Percentage Total Debt Net Bonded
Applicable(1) 6/30/22 Debt
OVERLAPPING TAX AND ASSESSMENT DEBT:

Metropolitan Water District 0.577% $ 20,175,000 $ 116,410 Chaffey Community College District 15.516% 302,930,000 47,002,619 San Bernardino Community College District 3.514% 730,017,126 25,652,802 Chaffey Joint Union High School District 7.362% 513,636,737 37,813,937 Colton Joint Unified School District 17.409% 189,142,661 32,927,846 Fontana Unified School District 77.801% 269,259,841 209,486,849 Rialto Unified School District 6.982% 93,496,428 6,527,921 Etiwanda School District 29.342% 87,096,760 25,555,931
Colton Joint Unified School District Community Facilities District #3 100.000% 5,130,000 5,130,000 Etiwanda School District Community Facilities District #4 100.000% 1,270,000 1,270,000 Etiwanda School District Community Facilities District #7 74.583% 7,145,000 5,328,955 Etiwanda School District Community Facilities District #8 35.493% 3,960,000 1,405,523 Etiwanda School District Community Facilities District #9 30.332% 6,770,000 2,053,476 Etiwanda School District Community Facilities District #2001-1 100.000% 2,525,000 2,525,000 Etiwanda School District Community Facilities District #2004-1 100.000% 17,705,000 17,705,000 City of Fontana Community Facilities Districts 100.000% 167,990,000 167,990,000 California Statewide Community Facilities District ADNo. 2020-3 100.000% 840,000 840,000 TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT $ 2,419,089,553 $ 589,332,269 DIRECT AND OVERLAPPING GENERAL FUND OBLIGATION DEBT:

San Bernardino County General Fund Obligations 9.025% 188,035,000 16,970,159 San Bernardino County Pension Obligations 9.025% 119,835,000 10,815,109 San Bernardino County Flood Control District General Fund Obligations 9.025% 44,780,000 4,041,395 Chaffey Community College District General Fund Obligations 15.516% 27,675,000 4,294,053 Fontana Unified School District Certificates of Participation 77.801% 20,515,000 15,960,875 Rialto Unified School District Certificates of Participation 6.982% 9,976,091 696,531 Cucamonga School District Certificates of Participation 5.091% 3,426,000 174,418 City of Fontana General Fund Obligations 100.000% 59,449,893 59,449,893 TOTAL GROSS DIRECT AND OVERLAPPING GENERAL FUND OBLIGATION DEBT $ 473,691,984 $ 112,402,433 TOTAL OVERLAPPING DEBT $ 2,892,781,537 642,284,809
CITY DIRECT DEBT 62,301,708
TOTAL DIRECT AND OVERLAPPING DEBT $ 704,586,517
Notes:

Source: California Municipal Statistics, Inc.

CITY OF FONTANA

DIRECT AND OVERLAPPING BONDED DEBT
June 30, 2022
(1) For debt repaid with property taxes, the percentage of overlapping debt applicable is estimated using taxable assessed property values. Applicable percentages were estimated by determining the portion of another governmental unit's taxable assessed value that is within the city's boundaries and dividing it by each unit's total taxable assessed value.

Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. This process recognizes that, when considering the City's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government. 150
697
2022 2021 2020 2019 2018
Total assessed value of all real and personal property 24,025,701,078$ (2) $ 22,503,543,501 (2) $ 21,160,085,508 (2) $ 19,666,430,280 (2) $ 17,721,235,967 (2) Debt limit percentage (1) 15% 15% 15% 15% 15%
Total debt limit 3,603,855,162 3,375,531,525 3,174,012,826 2,949,964,542 2,658,185,395 Amount of debt applicable to debt limit 53,015,000 36,185,000 37,415,000 38,580,000 39,685,000 Legal debt margin 3,550,840,162 3,339,346,525 3,136,597,826 2,911,384,542 2,618,500,395 Total net debt applicable to the limit
as a percentage of debt limit 1.47% 1.07% 1.18% 1.49% 1.61% 2017 2016 2015 2014 2013
Total assessed value of all real and personal property 16,819,161,359$ (2) $ 15,982,106,642 (2) $ 15,224,465,093 (2) $ 13,988,600,102 (2) $ 13,596,277,647 Debt limit percentage (1) 15% 15% 15% 15% 15%
Total debt limit 2,522,874,204 2,397,315,996 2,283,669,764 2,098,290,015 2,039,441,647 Amount of debt applicable to debt limit 40,740,000 41,755,000 43,780,000 52,490,000 54,825,000 Legal debt margin 2,482,134,204 2,355,560,996 2,239,889,764 2,045,800,015 1,984,616,647 Total net debt applicable to the limit
as a percentage of debt limit 1.61% 1.74% 1.92% 2.50% 2.69% (1) State of California Government Code §43605.

Source: San Bernardino County Tax Assessor's Office
(2) Due to the dissolution of the redevelopment agency on January 31, 2012, total assessed value for the City is no longer reduced by the incremental value of the redevelopment project areas.

Fiscal Year

CITY OF FONTANA

LEGAL DEBT MARGIN INFORMATION
Last Ten Fiscal Years
Fiscal Year
151
698
Personal Per
Income Capita
Calendar (thousands Personal Unemployment
Year Population(1) of dollars)(2) Income Rate(3)
2022 212,809 3.4%
2021 213,944 25,392 4.9% 5,432,476
2020 213,000 23,763 10.1% 5,061,439
2019 212,078 22,519 3.1% 4,775,796
2018 212,000 20,965 3.6% 4,444,518
2017 212,786 19,545 5.5% 4,159,001
2016 209,895 19,122 6.2% 4,013,591
2015 204,312 19,400 7.0% 3,963,623
2014 202,013 18,981 8.7% 3,834,409
2013 202,177 18,628 8.7% 3,766,153
2012 200,974 18,510 10.0% 3,720,029
Sources: (1) State Department of Finance
(2) US Census Bureau, most recent American Community Society (3) State of California Employment Development Department

CITY OF FONTANA

DEMOGRAPHIC AND ECONOMIC STATISTICS
Last Ten Calendar Years
152
699
Percentage Percentage
Number of of Total City Number of of Total City
Employer Employees Rank Employment Employees Rank Employment Kaiser Permanente 7,642 1 7.48% 4,800 2 7.74%
Fontana Unified School District 6,665 2 6.53% 4,915 1 7.93% Amazon.Com Services LLC 3,145 3 3.08% -
Target Stores T 553 1,788 4 1.75% -
Kaiser Foundations Hospitals 1,783 5 1.75%
St Bernardine Medical Center 1,775 6 1.74%
Walmart #6060 DC Drop Yard 1,034 7 1.01%
City of Fontana (includes part-time employees) 992 8 0.97% 1,103 3 1.78% Walmart D C #6060 973 9 0.95%
Saia Motor Freight Line LLC 402 10 0.39%
Swift Transportation Co., Inc. - - 980 4 1.58%
Target (Dayton/Houston) - - 666 5 1.07%
Schneider National Carriers, Inc. - - 578 6 0.93%
Walmart - - 330 7 0.53%
Reddaway Inc. - - 320 8 0.52%
Syncreen Technology USA LLC - - 281 9 0.45%
Firth Rixson Machininbg Center - - 277 10 0.45%
26,199 25.66% 14,250 22.99%
Note: "Total Employment" as used above represents the total employment of all employers located within City limits. 4915

0.0793
61979.82346
Source: City of Fontana, Business License.

CITY OF FONTANA

PRINCIPAL EMPLOYERS
Current Year and Nine Years Ago
2022 2013
153
700
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Function/Program
General Government
Administrative Services 1 5 5 5 5 5 5 5 5 5
City Council 7 7 7 7 7 7 7 7 7 7
City Administration 11 11 10 10 9 9 8 8 8 6
Human Resources 11 9 9 9 9 8 8 8 7 6
Information Services 26 26 26 25 24 24 23 23 23 23
Management Services 27 23 22 22 22 22 23 23 23 21
Police
Officers 217 203 202 199 194 194 194 190 195 197
Civilians 95 107 102 102 99 96 94 93 93 94
Development Services 20 4 5 5 5 5 4 5 4 4
Community Development 36 32 32 31 31 29 29 29 29 29
Engineering 36 36 34 34 30 29 29 29 31 32
Public Works 95 96 96 95 94 94 93 93 93 93
Community Services 50 46 46 46 46 46 46 44 44 43
Total 632 605 596 590 575 568 563 557 562 560
Notes: A full-time employee is scheduled to work 2,080 hours per year (including leave time).

Source: City of Fontana, Office of Management & Budget
Last Ten Fiscal Years

FULL-TIME CITY GOVERNMENT EMPLOYEES BY FUNCTION

CITY OF FONTANA
Full-time Equivalent Employees as of June 30,
154
701
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Function/Program
General Government
Completed recruitment for full time position 55 50 52 47 50 55 41 37 48 48 New maintenance CFD's/ Annexations formed 3 6 9 9 2 5 7 7 3 1 Police
Arrests per sworn position 27 32 36 46 44 48 49.56 54 48 38 Computer Aided Dispatch Entries per Dispatcher 6,169 5,875 5,999 5,109 5,187 5,172 5,157 4,933 4,798 4,798 Number of traffic collision reports processed 2,565 2,700 2,697 3,198 3,316 3,403 3,191 2,576 2,458 2,458 Building and Code Compliance
Building permits issued 3,000 3,000 3,665 3,529 5,565 5,100 3,400 2,800 2,800 2,500 Building inspections performed 20,000 20,000 12,870 19,858 28,560 33,000 25,000 18,000 18,000 15,000 Public Works
Miles of pavement rehabilitation 25 30 33 33 33 33 25 15 25 25 Graffiti Hotline calls completed 4,000 4,200 3,117 3,117 4,268 4,268 5,297 4,040 3,746 6,716 Potholes filled 4,000 5,500 3,951 7,051 8,122 8,122 17,000 11,000 17,000 17,000 Community Services
Total Number of Recreation Program Participants 738,806 510,469 1,064,659 1,900,464 1,734,000 1,799,532 1,764,532 1,729,933 1,647,555 1,863,031 Sources: Various City departments
2022/23 Budget Books
Fiscal Year

CITY OF FONTANA

OPERATING INDICATORS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
155
702
2022 2021 2020 2019 2018 2017 2016 2015 2014 2013
Function/Program
Police
Stations 1 1 1 1 1 1 1 1 1 1
Contact stations 2 2 2 2 2 2 2 2 2 2
Engineering
Traffic signals 209 207 206 200 195 191 189 186 180 173 Public Works
Lane miles of streets 1,751 1,751 1,751 1,751 1,751 1,751 1,532 1,512 1,525 1,481 Sanitary sewers (miles) 478 469 463 438 425 425 424 422 422 422 Community Services
Parks 48 47 47 46 44 44 43 43 40 40
Playgrounds 44 42 42 41 39 39 38 38 35 35
Recreation Centers 14 14 14 10 10 10 9 9 9 9
Sources: Various City departments
Fiscal Year

CITY OF FONTANA

CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
156
703
Year of incorporation: 1952 Transportation:

Air: Ontario International Airport
Form of Government: Council - Manager
Bus: Omnitrans County Bus Service
Area in square miles: 42.4
Highways:

Miles of streets: 628 Interstate 10
Interstate 15
Sanitary sewers: 409 miles Interstate 210
State Highway 66
Storm drains: 162 miles
Streetscapes: 548 acres Rail:

Metrolink (Commuter)
Parks: 630 acres Burlington Northern/Santa Fe
Union Pacific
Bicycle trails: 10.4 miles
Police protection:

City of Fontana
Number of stations 3
Number of personnel:

Sworn 217
Non-sworn 95
City employees (full time): 632
Fire protection:

County of San Bernardino
Number of stations 7
Number of personnel 118
Source: City of Fontana Departments
2022/23 Budget Book

CITY OF FONTANA

MISCELLANEOUS STATISTICAL INFORMATION
June 30, 2022
Water service:

Cucamonga County Water District
San Gabriel Valley Water Co.

West San Bernardino County Water District
Sewer service:

Inland Empire Utilities Agency
City of Fontana
City of Rialto
Education:

Elementary Schools 30
Middle Schools 7
High Schools 5
Continuation High Schools 2
Online Learning 2
Adult School 1
157
704

CITY OF FONTANA
Single Audit Report on
Federal Awards
Year Ended June 30, 2022
705

CITY OF FONTANA
Single Audit Report on Federal Awards
Year ended June 30, 2022

TABLE OF CONTENTS
Page
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 1 Report on Compliance for Each Major Federal Program, Report on Internal Control over Compliance and Report on the Schedule of Expenditures of Federal Awards Required by the Uniform Guidance 3
Schedule of Expenditures of Federal Awards 6
Notes to the Schedule of Expenditures of Federal Awards 7 Schedule of Findings and Questioned Costs 9
Summary Schedule of Prior Audit Findings 13
706
1 City Council
City of Fontana
Fontana, California
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
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Fontana (the “City”) as of and for the year ended June 30, 2022, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements, and have issued our report thereon dated July 13, 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 the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented or detected and corrected on a timely basis. A significant deficiency is a deficiency or 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 the 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 and therefore, material weaknesses or significant deficiencies may exist that were not identified. However, as described in the accompanying schedule of schedule of findings and questioned costs we identified certain deficiencies as items 2022-001 through 2022-002 that we consider to be material weaknesses.
707
2 City of Fontana
City Council
Page Two
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 statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instance of noncompliance or other matters that are required to be reported under Government Auditing Standards, in the Schedule of Findings and Questioned Costs.

City of Fontana’s Response to Findings
Government Auditing Standards requires the auditor to perform limited procedures on the City’s response to the findings identified in our engagement and described in the accompanying schedule of findings and questioned costs. The City’s response was not subjected to the other auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on the response.

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.

Irvine, California
July 13, 2023
708
3 City Council
City of Fontana
Fontana, California
Report on Compliance for Each Major Federal Program; Report on Internal Control Over Compliance; and Report on the Schedule of Expenditures of Federal Awards Required by the Uniform Guidance
Independent Auditors’ Report
Opinion on Each Major Federal Program
We have audited the City of Fontana (City) compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on each of City’s major federal programs for the year ended June 30, 2022.

City’s major federal programs are identified in the summary of auditor’s results section of the accompanying schedule of findings and questioned costs.

In our opinion, City complied, in all material respects, with the compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2022.

Basis for Opinion on Each Major Federal Program
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 Government Auditing Standards issued by the Comptroller General of the United States (Government Auditing Standards); and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Our responsibilities under those standards and the Uniform Guidance are further described in the Auditor’s Responsibilities for the Audit of Compliance section of our report.

We are required to be independent of the City 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 on compliance for each major federal program. Our audit does not provide a legal determination of City’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 City’s federal programs. 709
4 City of Fontana
City Council
Page Two
Auditor’s 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 City’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 Uniform Guidance will always detect material noncompliance when it exists. The risk of not detecting 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 City’s compliance with the requirements of each major federal program as a whole.

In performing an audit in accordance with GAAS, Government Auditing Standards, and the Uniform Guidance, 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 City’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 City’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 Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of City’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.

Report on Internal Control Over Compliance
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 with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program 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 710
5 City of Fontana
City Council
Page Three
over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.

Our consideration of internal control over compliance was for the limited purpose described in the Auditor’s Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance. We did identify a deficiency in internal control over compliance, as described in the schedule of findings and questioned costs as 2022-003, that we consider to be a material weakness.

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 City’s response to the internal control over compliance findings identified in our audit described in the accompanying schedule of findings and questioned costs. The City’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.

Report on Schedule of Expenditures of Federal Awards Required by Uniform Guidance
We have audited the financial statements of the City as of and for the year ended June 30, 2022, and have issued our report thereon dated July 13, 2023, which contained an unmodified opinion on those financial statements. Our audit was conducted for the purpose of forming an opinion on the financial statements as a whole. The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by the Uniform Guidance and is not a required part of the 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 financial statements.

The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the schedule of expenditure of federal awards is fairly stated in all material respects in relation to the financial statements as a whole.

Irvine, California
July 13, 2023
711
Federal
Domestic Program Amount
Assistance Identification Program Provided to
Number Number Expenditures Subrecipients
U.S. Department of Housing and Urban Development
Direct Assistance:

Community Development Block Grant/Entitlement Grants Cluster 14.218 B-22-MC-06-0565 $ 1,549,764 - B-20-MW-06-0565 873,372 -
B-11-MN-06-0507 140,587 -
Subtotal Community Development Block Grant/Entitlement Grants Cluster 2,563,723 - Emergency Solutions Grant 14.231 E-21-MC-06-0565 186,823 168,336

14.231 E-20-MW-06-0565 1,232,709 663,421
Subtotal Emergency Solutions Grant 1,419,532 831,757
HOME Investment Partnerships Program 14.239 M-21-MC-06-0548 66,853 - Total U.S. Department of Housing and Urban Development 4,050,108 831,757 U.S. Department of Justice
Direct Assistance:

Equitable Sharing Program 16.922 n/a 1,859,322 -
Total U.S. Department of Justice 1,859,322 -
U.S. Department of Transportation
Passed through the State of California, Office of Traffic Safety:

State and Community Highway Safety Cluster 20.600 PT21134 155,383 - PT22171 206,269 -
Subtotal Highway Safety Cluster 361,652 -
Passed through the California Department of Parks and Recreation Recreational Trails Program 20.219 RT-36-012 105,238 -
Subtotal Highway Planning & Construction Cluster 105,238 - Total U.S. Department of Transportation 466,890 -
U.S. Department of Treasury
Direct Assistance:

Coronavirus State and Local Fiscal Recovery Funds 21.027 n/a 257,551 - Total U.S. Department of Treasury 257,551 -
U.S. Department of Justice
Direct Assistance:

Public Safety Partnership and Community Policing Grants (COPS Grant) 16.710 Grant13025283 205,698 - Total U.S. Department of Agriculture 205,698 -
Total Federal Expenditures $ 6,839,569 831,757
n/a - not available
Federal Grantor/Pass-Through Grantor Program Title

CITY OF FONTANA
Schedule of Expenditures of Federal Awards
For the Fiscal Year ended June 30, 2022
See accompanying notes to the schedule of expenditures of federal awards 6 712
7 CITY OF FONTANA
Notes to the Schedule of Expenditures of Federal Awards Year Ended June 30, 2022
(1) Summary of Significant Accounting Policies Applicable to the Schedule of Expenditures of Federal Awards
(a) Scope of Presentation
The accompanying schedule presents only the expenditures incurred by the City that are reimbursable by agencies providing federal assistance. For the purposes of this schedule, federal financial assistance includes both federal financial assistance received directly from a federal agency, as well as federal funds received indirectly from a non-federal agency or other organization. Only the portion of program expenditures reimbursable with such federal funds are reported in the accompanying schedule. Program expenditures in excess of the maximum federal reimbursement authorized or the portion of the program expenditures that were funded with state, local or other non-federal funds are excluded from the accompanying schedule. The City did not use the 10% de minimis indirect cost rate covered in section 200.414 of the Uniform Guidance. (b) Basis of Accounting
The expenditures included in the accompanying schedule were reported on the accrual basis of accounting. Under the accrual basis of accounting, expenditures are recognized when incurred. Expenditures reported include any property or equipment acquisitions incurred under the federal program. 713
8 CITY OF FONTANA
Schedule of Findings and Questioned Costs
Year ended June 30, 2022
Section I - Summary of Auditors’ Results
Financial Statements

1. Type of auditors’ report issued on whether the
financial statements audited were prepared in
accordance with GAAP: Unmodified

2. Internal control over financial reporting:
a. Material weakness(es) identified? 2022-001
2022-002
b. Significant deficiency(ies) identified? None reported

3. Noncompliance material to the financial
statements noted? None reported
Federal Awards

1. Internal control over major programs:
a. Material weakness(es) identified? 2022-003
b. Significant deficiency(ies) identified? None reported

2. Type of auditors’ report issued on
compliance for major programs: Unmodified

3. Any audit findings disclosed that are
required to be reported in accordance
with 2 CFR 200.516 (a)? No

4. Identification of major programs:

CFDA Number Name of Federal Program or Cluster

16.922 Equitable Sharing Program

14.231 Emergency Solutions Grant

5. Dollar threshold used to distinguish
between Type A and Type B programs: $750,000

6. Auditee qualified as a low risk auditee? No
714
9 CITY OF FONTANA
Schedule of Findings and Questioned Costs
Year ended June 30, 2022
Section II - Financial Statement Findings
2022-001 Journal Entries and Delays in Financial Reporting Certain audit schedules were received after the start of the audit, resulting in delays and journal entries provided to the auditor after the scheduled timing of the audit. As a result of audit procedures and the City’s review of financial information for the fiscal year ended June 30, 2022, there was one material audit adjustment, prior period adjustments and delays in financial reporting. The auditing standards acknowledge that material audit entries and prior period adjustments represent a deficiency in internal controls.

Recommendation
An important element of controls over financial reporting is for management to identify adjustments necessary for financial statements to be fairly stated. Whenever possible, adjustments should be reflected in the accounting records prior to the start of the audit. In addition, we recommend the City establish a well-defined process for its annual financial reporting.

Management’s Response Regarding Corrective Action Taken or Planned Management acknowledges the importance of making any adjustment, material and/or immaterial, prior to the start of the audit. The City’s fiscal year-end closing process for June 30, 2022, was significantly delayed and was directly related to the delay of the June 30,2021 audit and staff vacancies. During fiscal year 2022-23, the Accounting Department has filled 3 additional accountant level (or above) positions which will allow the city to meet closing entries, perform a more thorough review of transactions, and mitigate/minimize errors. Any adjustments that occur during the audit process will be communicated to the auditors.
715
10 CITY OF FONTANA
Schedule of Findings and Questioned Costs
Year ended June 30, 2022
Section II - Financial Statement Findings
2022-002 Capital Assets
A significant amount of time was spent by the City after the start of the audit to update the year end capital asset records and reconcile those updated records to the general ledger. To ensure a timely completion of these significant transactions at year end, the City should perform and update reconciliations throughout the year which would ease the effort needed at year end. In addition, there were several adjustments recorded by the City during the course of the audit that affected this area and resulted in updates to the accounting schedules.

Recommendation
We recommend that the City consider performing quarterly updates of its capital assets listings to ease the burden at year end. Instead of having to perform a full year’s worth of updates, the effort needed at year end would be reduced due to the periodic reconciliations performed during the year. This would also help identify errors in a timely manner and give the City an opportunity to correct them prior to the start of the audit.

In addition, the preparer of the capital asset schedule relies on external department notification of sales, disposals and acquisition of capital assets. The City should develop controls to mitigate the reliance on notification when such transactions have occurred.

Management’s Response Regarding Corrective Action Taken or Planned Management recognizes the importance of recording transactions involving capital assets accurately and timely. To avoid adjustments and misstatement to the capital asset schedule, the Finance department will be performing quarterly reconciliations of Capital Asset related schedules and transactions. The Accounting Division has implemented a new process for capturing all capital expenditures including quarterly meetings with Engineers and project managers, quarterly reconciliations of ledgers, and the reading of all council meeting minutes to ensure timely recordation. During fiscal year 2022-23, the Accounting Department has filled 3 additional accountant level (or above) positions which will allow the city to meet closing entries, perform a more thorough review of transactions, and mitigate/minimize errors. 716
11 CITY OF FONTANA
Schedule of Findings and Questioned Costs
Year ended June 30, 2022
Section III - Federal Award Findings and Questioned Costs (2022-003) Procurement Process
Federal Agency: Department of Justice
CFDA Cluster Nos.: 16.922
Federal Program Cluster: Equitable Sharing Program
Compliance Requirement: Procurement, Suspension, and Debarment – Noncompetitive Procurement (Sole Source Designation), Competition – Formal Procurement Methods
Type of Finding: Material Weakness
Questioned Costs: $0
Criteria: 2 CFR 200.318 General Procurement Standards, 2 CFR 200.319 Competition, 2 CFR 200.320 Methods of Procurement to be Followed. (1) All procurement transactions for the acquisition of services required under federal award must be conducted in a manner providing full and open competition in compliance with the standards of section 200.319 and 200.320. Additionally, in compliance with the standards of section 200.320 (c) (2) Noncompetitive procurement, there are specific circumstances in which noncompetitive procurement can be used.

Condition: In 2 of 4 sample selections of vendor purchases, the City was not able to provide evidence of properly following the procurement policy for federal awards. In 1 of the 2 failed instances, the City inappropriately designated a vendor as sole source. In 1 of the 2 failed instances, the City was unable to produce documentation for the simplified acquisition threshold related to small purchases to show procurement by sealed bids and competitive proposals.

Cause: Failure to follow Federal procurement regulations.

Effect: Procurement support was unavailable to demonstrate the procurement policy was followed for a vendor and an inappropriate use of sole source designation for a vendor.

Recommendation: We recommend the City adhere to Federal procurement policies for federal awards to ensure proper procurement standards are followed and adhere to allowable sole source designations.
717
12 CITY OF FONTANA
Schedule of Findings and Questioned Costs
Year ended June 30, 2022
Management’s Response Regarding Corrective Action Taken or Planned Management agrees that all procurement transactions for the acquisitions of services required must be conducted in a manner providing full and open competition, must have supporting documentation of the process, and must follow federal procurement requirements. In December 2022, the purchasing department updated the City’s purchasing policy to strengthen the language related to Federal procurement guidelines and trained all external departments. Additionally, all procurement requests now include a field that requires the funding source to be identified. The purchasing department has also contracted a consultant that will further assist in strengthening and creating efficiencies all procurement processes. 718
13 CITY OF FONTANA
Summary Schedule of Prior Audit Findings
Year ended June 30, 2022
Section IV – Summary of Prior Audit Findings and Current Status The following is the status of prior audit findings for the year ended June 30, 2021:
(2021-001) Journal Entries Detected During the Audit
This finding has been repeated as item 2022-001
(2021-002) Reconciliation of Investments
This finding has been resolved
(2021-003) Capital Assets
This finding has been repeated as item 2022-002
(2021-004) Payroll
This finding has been resolved
(2021-005) Employee Timecards
This finding has been resolved
719
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-2363 Agenda Date: 7/25/2023
Agenda #: AM. Category: Consent Calendar
FROM:

Finance
SUBJECT:

Fiscal Year 2022-23 Fourth Quarter Budget Status Report RECOMMENDATION:

Approve Fourth Quarter Budget Status Report
COUNCIL GOALS:
· Operate in a businesslike manner by ensuring that the public debate is based on accurate information.
· Operate in a businesslike manner by correcting problems immediately. · Practice sound fiscal management by producing timely and accurate financial information. · Practice sound fiscal management by living within our means while investing in the future. · Practice sound fiscal management by fully funding liabilities and reserves. · Practice sound fiscal management by developing long-term funding and debt management plans.
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by maintaining and improving the city's existing infrastructure.
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by providing for the development of new infrastructure.
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by utilizing Measure-I Funds wisely.

DISCUSSION:

The City’s budget is an important policy document, serving as the annual financial plan that identifies the spending priorities for the organization. Quarterly budget status reports are developed and presented to the City Council to provide the most current information on the financial activities of the City upon which to base decisions. Additionally, quarterly reports assist City departments in communicating their financial operations throughout the fiscal year including any program changes and significant impacts to their annual budgets, as well as gauging the City’s budget plan as compared to actual revenue and expenditures. This report includes requested departmental budget adjustments and preliminary year-to-date actuals through Quarter 4 of Fiscal Year 2022-23, covering the period through June 30, 2023.

The current citywide Fiscal Year 2022-23 budget is comprised of a total of 194 funds including the City of Fontana Page 1 of 5 Printed on 7/20/2023
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File #: 21-2363 Agenda Date: 7/25/2023
Agenda #: AM. Category: Consent Calendar
The current citywide Fiscal Year 2022-23 budget is comprised of a total of 194 funds including the General Fund, Other General Funds (10 funds), Special Revenue Funds (130 funds), Enterprise Funds (4 funds), Capital Project Funds (36 funds), a Debt Service Fund, an Internal Service Fund, and Other Agency Funds (11 funds). The current total citywide Fiscal Year 2022-23 budget (excluding other agency funds) includes total uses (expenditures and transfers out) for all City funds of $354.7 million and total sources (revenues and transfers in) of $326.7 million. The Recommended Budget includes an increase in total sources of $13.7 million for a total of $340.4 million and an increase in total uses of $4.7 million for a total of $359.5 million. 2022-23 Budget
All City Fund
Proposed
Current Revisions Recommended
Revenues $ 282,253,995 $ 11,870,800 $ 294,124,795
Transfers In $ 44,450,950 $ 1,803,906 $ 46,254,856
Total Sources $ 326,704,945 $ 13,674,706 $ 340,379,652
Expenditures $ (310,259,004) $ (2,389,085) $ (312,648,089) Transfers Out $ (44,450,950) $ (2,356,913) $ (46,807,863) Total Uses $ (354,709,954) $ (4,745,998) $ (359,455,952) Results from Operations $ (28,005,008) $ 8,928,708 $ (19,076,300)

GENERAL FUND
The current Fiscal Year 2022-23 General Fund Operating Budget includes total uses of $157.6 million and total sources of $150.0 million. The Recommended Budget includes a decrease in total sources of $143,610 for a total of $150.2 million and a decrease in total uses of $2.9 million for a total of $154.6 million. 2022-23 Budget
General Fund (Fund 101)
Proposed
Current Revisions Recommended
Revenues $ 138,405,339 $ 153,610 $ 138,558,949
Transfers In $ 11,613,510 $ - $ 11,613,510
Total Sources $ 150,018,849 $ 153,610 $ 150,172,459
Expenditures $ (131,373,977) $ 2,931,440 $ (128,442,537) Transfers Out $ (26,186,330) $ - $ (26,186,330)
Total Uses $ (157,560,307) $ 2,931,440 $ (154,628,867)
Results from Operations $ (7,541,458) $ 3,085,050 $ (4,456,408) City of Fontana Page 2 of 5 Printed on 7/20/2023
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File #: 21-2363 Agenda Date: 7/25/2023
Agenda #: AM. Category: Consent Calendar
Notable Changes - a decrease in various operating accounts of $2.9 million primarily due to an increase in Intrafund Transfer Salaries transfers to appropriately record expenses in Fund #302 ARPA Budget for various projects including premium pay and to support government employment.

Fund Balance Analysis
The recommended 2022-23 ending fund balance of $45.9 million reflects an increase of $3.1 million. Included in the fund balance are total operating reserves of $32.4 million which consists of Contingencies of $22.9 million (which reflects 18% of recurring annual expenditures) and an Economic Uncertainty Reserve of $9.5 million (which reflects 8% of adopted revenues).

The recommended ending fund balance reserves and designations are revised as follows:
· Unappropriated - increase in the unappropriated fund balance of $3.1 million for a total of $3.3 million due to the requested one-time use of fund balance as described above. 2022-23 Budget
General Fund Balance
Proposed
Current Revisions Recommended
Reserved $ 375,878 $ - $ 375,878
Designated
Economic Uncertainty $ 9,469,586 $ - $ 9,469,586
PERS Rate Stability $ 9,828,469 $ - $ 9,828,469
Contingencies $ 22,941,910 $ - $ 22,941,910
Unappropriated $ 226,483 $ 3,085,050 $ 3,311,533
Ending Fund Balance $ 42,842,326 $ 3,085,050 $ 45,927,376

OTHER GENERAL FUNDS
Other General Funds includes a total of 10 funds which are funded by the General Fund for services that support the City’s general operations. The most notable funds include City Technology, Facility Maintenance, Self-Insurance, Retiree Medical Benefits, and General Fund Operating Projects.

The current 2022-23 Other General Funds Operating Budget includes total uses of $25.7 million and total sources of $25.8 million. The Recommended Budget includes an increase in total sources of $306,000 for a total of $26.1 million and an increase in total uses of $306,578 for a total of $26.0 million.
2022-23 Budget
Other General Funds
Proposed
Current Revisions Recommended
Revenues $ 9,429,440 $ - $ 9,429,440
Transfers In $ 16,343,380 $ 306,070 $ 16,649,450
Total Sources $ 25,772,820 $ 306,070 $ 26,078,890
City of Fontana Page 3 of 5 Printed on 7/20/2023
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File #: 21-2363 Agenda Date: 7/25/2023
Agenda #: AM. Category: Consent Calendar
Proposed
Current Revisions Recommended
Revenues $ 9,429,440 $ - $ 9,429,440
Transfers In $ 16,343,380 $ 306,070 $ 16,649,450
Total Sources $ 25,772,820 $ 306,070 $ 26,078,890
Expenditures $ (22,577,630) $ (306,578) $ (22,884,208)
Transfers Out $ (3,150,000) $ - $ (3,150,000)
Total Uses $ (25,727,630) $ (306,578) $ (26,034,208)
Results from Operations $ 45,190 $ (508) $ 44,682
Notable Changes - increase in appropriations and operating transfers in of $306,070 in the City Technology fund for the 311 project.

OTHER CITY FUNDS
Other City Funds includes a total of 172 funds which include Special Revenue Funds, Debt Service Funds, Capital Project Funds, Enterprise Funds, and Internal Service Funds.

The current 2022-23 Other City Funds Operating Budget includes total uses of $171.4 million and total sources of $150.9 million. The Recommended Budget includes an increase in total sources of $13.2 million for a total of $164.1 million and an increase in total uses of $7.4 million for a total of $178.5 million.
2022-23 Budget
Other City Funds
Proposed
Current Revisions Recommended
Revenues $ 134,419,216 $ 11,717,190 $ 146,136,406
Transfers In $ 16,494,060 $ 1,497,836 $ 17,991,896
Total Sources $ 150,913,276 $ 13,215,026 $ 164,128,303
Expenditures $ (156,307,397) $ (5,013,947) $ (161,321,344) Transfers Out $ (15,114,620) $ (2,356,913) $ (17,471,533) Total Uses $ (171,422,017) $ (7,370,860) $ (178,792,877) Results from Operations $ (20,508,740) $ 5,844,166 $ (14,664,574) Notable Changes
· Special Revenue Funds - increase in fund balance of $4.7 million primarily due to:
o Federal Asset Seizure (Fund 223) - increase in revenues of $4.8 million to reflect City of Fontana Page 4 of 5 Printed on 7/20/2023
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File #: 21-2363 Agenda Date: 7/25/2023
Agenda #: AM. Category: Consent Calendar
o Federal Asset Seizure (Fund 223) - increase in revenues of $4.8 million to reflect actual Federal Asset Seizure revenue received
o Grants (Fund 301) - decrease in appropriations and revenue of $3.1 million to move the budgets for Jack Bulik Park, Veterans Park, the Center Stage Theater Renovation, and the Cypress-Knopf Facility Improvements projects to Fund 304 ARPA-County.
o ARPA County (Fund 304) - increase in appropriations and revenue of $3.1 million to move the budgets for Jack Bulik Park, Veterans Park, the Center Stage Theater Renovation, and the Cypress-Knopf Facility Improvements projects from Fund 301 Grants.
· Debt Service Funds - increase in fund balance of $166,450 primarily due to:
o Increase in revenues of $166,450 to match LRB21 to current budget · Capital Project Funds - increase in fund balance of $931,163 primarily due to:
o CFD #90 Summit @ Rosena PH I (Fund 668) - increase in appropriations of $1.1 million to record bond proceeds in CFD #90
o CFD #106 Mountain View (Fund 671) - increase in appropriations of $2.1 million, increase in revenues of $6.6 million, and increase in operating transfers-out of $2.4 million for a net fund balance impact of $2.2 million to record bond proceeds in CFD #106

ORGANIZATIONAL CHANGES
There are no organizational changes listed in the 2022-23 Fourth Quarter Budget Status Report.

FISCAL IMPACT:

The fiscal impact associated with this item is summarized below and details are provided in the Fourth Quarter Budget Status Report.

Sources
Inc/(Dec)
Uses
(Inc)/Dec
Fund Bal Impact
Icr/(Dec)
General Fund $ 153,610 $ 2,931,440 $ 3,085,050
Other General Funds $ 306,070 $ (306,578) $ (508)
Other City Funds $ 13,215,026 $ (7,370,860) $ 5,844,166 Total $ 13,674,706 $ (4,745,998) $ 8,928,708
The General Fund projected ending fund balance reflects a net decrease of $3.1 million to a total increase of $45.9 million because the net impact of the recommended budget adjustments MOTION:

Approve staff recommendation.

City of Fontana Page 5 of 5 Printed on 7/20/2023
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Fourth Quarter Budget Status Report
Fiscal Year 2022/2023
*Compared to same period prior fiscal year
Quick Look Indicators Fourth Quarter* See Page
Revenues 8
Expenditures 9
Fund Balance 10
City of
Fontana