Garden Grove City Council
February 22, 2022

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

7. Governmental Business-t ype
Activities Activities
Police Protection 286,574$ -$
Traffic safety 895,791 -
Right of way 10,112,236 -
Drainage1 ,517,033 -
Community buildings 1,582,708 -
Municipal support 35,566 -
Water - 3 ,769,423
Sewage collection - 1,838,358
Golf course - 10 ,212
Housing Authority - 3 ,690
Internal service fund 1 ,783,782 -
Total 16,213,690 $ 5,621,683 $

8. a.

Beginning Balance Additions Reductions Ending Balance
Due Within One
Year
Governmental activities
Lease Revenue Bonds, Series 2015A 22,260,000$ -$ (490,000)$ 21,770,000$ 515,000$ Add: Premium 1,341,028 - (54,365) 1,286,663 54,367 Capital leases payable 229,928 - (115,966) 113,962 113,962 Governmental activities
long-term debt 23,830,956 - (660,331) 23,170,625 683,329 Other non-current liabilities:

Claims payable 41,532,158 7,264,239 (6,239,143) 42,557,254 7,517,241 Compensated absences 7,209,465 7,422,986 (6,518,404) 8,114,047 7,870,625 Governmental activities
long-term liabilities 72,572,579$ 14,687,225 $ (13,417,878)$ 73,841,926$ 16,071,195$ Business-type activities
Water Revenue COP 2015 3,805,000$ -$ (935,000)$ 2,870,000$ 955,000$ Water Revenue Bond 2010 10,630,000 - (10,630,000) - - Add: Premium/(Discount) 232,922 - (232,922) - - Water Revenue Bond 2020 - 23,220,000 - 23,220,000 - Add: Premium/(Discount) - 3,395,757 (75,461) 3,320,296 113,192 Sewer Revenue Refunding Bond 2017 13,755,000 - (590,000) 13,165,000 615,000 Add: Premium/(Discount) 1,153,260 - (72,457) 1,080,803 72,456 Willowick Golf Course Equipment Lease - 127,729 (19,115) 108,614 25,498 Other non-current liabilities:

Compensated absences 607,269 675,495 (536,752) 746,012 723,630 Business-type activities
lon
g-term liabilities 30,183,451$ 27,418,981 $ (13,091,707)$ 44,510,725$ 2,504,776$ Private-purpose trust fund
2016 Tax Allocation Bond 36,540,000$ -$ (1,900,000)$ 34,640,000$ 1,975,000$ Add: Premium/(Discount) 4,780,802 - (360,815) 4,419,987 360,815 2014 Tax Allocation Bond 23,945,000 - (2,795,000) 21,150,000 2,905,000 Add: Premium/(Discount) 2,920,618 - (315,742) 2,604,876 315,742 2008 Subordinate note 1,125,000 - (115,000) 1,010,000 120,000 Loan Payable to City 10,154,260 - (3,100,000) 7,054,260 - Private-purpose trust fund
long-term liabilities 79,465,680$ - $ (8,586,557)$ 70,879,123$ 5,676,557$ Capital Assets (continued)
Depreciation expense was charged to functions/programs of the primary government as follows:

Long-term Debt
Following is a summary of long-term debt transactions for the City for the year ended June 30, 2021:
63

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. b.
21,770,000$
Unamortized bond premium 1,286,663
Total lease revenue bonds 23,056,663$
924$
63,416
49,622
Total capital leases payable 113,962
Total Governmental Long Term Debt 23,170,625$
Long-term Debt
Governmental Long-term Debt at June 30, 2021 consisted of the Following:

Lease Revenue Bonds, Series 2015 A
On November 10, 2015, the Garden Grove Public Financing Authority issued $24,790,000 of Lease Revenue Bonds, Series 2015A. The Bonds were issued for the current refunding of $17,100,000 of outstanding Certificates of Participation Series A (2002 Financing Project) and to finance the acquisition/construction of a fire station, police building renovations and other public capital improvements. Principal payments on the Bonds are due annually on March 1 each year, ranging from $515,000 to $1,435,000, and continuing until March 1, 2045. Interest is payable semia nnually, beginning on March 1, 2016, with an interest rate ranging from

2.00% to 5.00% over the life of the Bonds. Such bonds are subject to Federal arbitrage regulations, however, no arbitrage liability is reported at June 30, 2021.

In December 2017, the City entered into a capital lease arrangement in the amount of $248,114 for a new telephone system. Annual payment of $49,623 is due through February 2022.

Ca
pital Leases Payable
In August 2016, the City renewed the capital lease arrangement in the amount of $18,487 for mail machines. The monthly payment for the first twelve months will be $506 and $713 there
after.

In June 2017, the City entered into a capital lease arrangement in the amount of $309,466 for copiers. The interest rate is 0.10% with a monthly payment of $5,320 through June 2022.
64

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. c.
2,870,000$
Total 2015 refunding revenue bonds 2,870,000$
Operating Revenue 42,245,543 $
Non-operating revenues 140,134
Gross revenue 42,385,677
(35,305,471)
Net revenues 7,080,206 $
Debt service requirement for next year:
$1,002,850 x 125% 1,253,563 $
Less: Expenses (excluding depreciation
amortization, interest and fiscal charges)
Long-term Debt (continued)
Proprietary long-term debt at June 30, 2021 consisted of the following items:
2015 Revenue Certificates of Participation - Water Utility Enterprise Fund
$8,150,000 Refunding Revenue Bonds, Series 2015 were issued on October 1, 2015, for the current refunding of the remaining outstanding balance of the previously issued $16,845,000 of the Refunding Certificate of Participation Series 2004. The refunding was undertaken to achieve debt service savings. Principal payments for 2015 Revenue certificates range from $930,000 to $985,000 and are due annually each December 15 through 2023. Interest is payable semi-annually on June 15 and December 15, at rates ranging from

1.0% to 5.0% over the life of the certificate. Such certificates are subject to Federal arbitrage regulations; however, no arbitrage liability is reported at June 30, 2021.
2015 Revenue Certificates of Participation - Water Utility Enterprise Fund - Debt Service Coverage
The Refunding Revenue Certificates of Participation were issued on October 1, 2015 for the current refunding of the 2004 Water Revenue Bond Refunding. The prior Refunding Revenue Certificates of Participation were issued on April 20, 2004 for prior refunding of the Water Revenue Bonds, Series 1993. These certificates of participation are to be secured and to be serviced from revenues derived by the ownership and operations of the water system including all connection charges and fees collected by the City through the fiscal year 2023. At June 30, 2021 total interest and principal remaining on the certificates is $2,955,600. The Utility covenants that rates and charges for the water service will be sufficient to yield net revenues equal to 125% of the debt service coming due and payable during the next succeeding bond year.

Revenue recognized during the year was $42.386 million against debt service payments of $1,002,850. The following analysis shows the test result for compliance with this covenant:
65

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. c.
23,220,000$
Unamortized bond premium 3,320,296
Total 2020 revenue bonds 26,540,296$
2020 Revenue Bonds - Water Utility Enterprise Fund - Debt Service Coverage
The Refunding Revenue Bonds were issued on October 22, 2020 for the current refunding of the 2010 Water Revenue Bond Refunding. The prior Refunding Revenue Certificates of
Participation were issued on April 20, 2004 for prior refunding of the Water Revenue Bonds, Series 1993. These bonds are to be secured and to be serviced from revenues derived by the ownership and operations of the water system including all connection charges and fees collected by the City through the fiscal year 2051. At June 30, 2021 total interest and principal remaining on the bonds is $35,582,138. The Utility covenants that rates and charges for the water service will be sufficient to yield net revenues equal to 125% of the debt service coming due and payable during the next succeeding bond year. Revenue recognized during the year was $42.386 million against debt service payments of $846,975. The following analysis shows the test result for compliance with this covenant:

Long-term Debt (continued)
Proprietary long-term debt at June 30, 2021 consisted of the following items:
(continued)
2020 Revenue Bonds - Water Utility Enterprise Fund
$23,220,000 Refunding Revenue Bonds, Series 2020 were issued on November 3, 2020, for the advance refunding of the remaining outstanding balance of the previously issued $16,625,000 Water Revenue Bonds, Series 2010. The refunding was undertaken to reduce the City's total debt service payments over the next 10 years by $2.7million. The net proceeds of $15.6 million will be used to finance the acquisition, expansion, construction, and improvement of certain additional water facilities of the water system of the City. Principal payments for 2020 Revenue Bonds range from $420,000 to $1,160,000 and are due annually each December 15 through fiscal year 2051. Interest is payable semi- annually on June 15 and December 15, at rates ranging from 3.0% to 4.0% over the life of the bonds. The refunding resulted in a net present value saving of $1.63 million, or 15.3% of the refunded bonds. Such certificates are subject to Federal arbitrage regulations; however, no arbitrage liability is reported at June 30, 2021.
66

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. c.

Operating Revenue 42,245,543$
Non-operating revenues 140,134
Gross revenue 42,385,677
(31,439,166)
Net revenues 10,946,511$
Debt service requirement for next year:
$846,975 x 125% 1,058,719$
13,165,000$
Unamortized bond premium 1,080,803
Total 2017 revenue refunding bond 14,245,803$
The certificates are secured and to be serviced from the total revenues for the fiscal year excluding any proceeds of taxes or assessments restricted by law and less the operations and maintenance costs excluding depreciation through the fiscal year 2036.

Long-term Debt (continued)
Proprietary long-term debt at June 30, 2021 consisted of the following items:
(continued)
On March 1, 2017, the Garden Grove Sanitary District issued $15,970,000 in bonds to provide funds to refinance the District’s obligations to the 2006 Sewer Revenue Certificate of Participation.

The Certificates were issued to finance the rehabilitation, replacement and improvement of the wastewater collection system of the Garden Grove Sanitation District. The 2017 Bonds are due in annual principal installments of $615,000 to $1,160,000 beginning June 15, 2017 through 2036. Interest rates range from 2.0% to

5.0% and is payable semiannually on June 15 and December 15.

The net proceeds of the bond issue were used to provide for the prepayment of the 2006 Certificates. The reacquisition price was less than the net carrying amount of the old debt by $206,922.

This amount is being reflected as a deferred inflow of resources and amortized over the life of the refunding debt.
2020 Revenue Bonds - Water Utility Enterprise Fund - Debt Service Coverage (continued)
2017 Refundin
g Sewer Revenue Bond – Sewage Collection
Less: Expenses (excluding depreciation
amortization, interest and fiscal charges)
67

C. DETAILED NOTES ON ALL FUNDS (continued)

8. c.

Operating Revenue 10,842,741$
Non-operating revenues 25,324
Gross revenue 10,868,065
(4,113,918)
Net revenues 6,754,147 $
Debt service requirement for next year:
$1,197,125 x 115% 1,376,694 $
108,614
Total Proprietary Long Term Debt 43,764,713$
Capital Leases Payable
In October 2020, Willowick Golf Management, LLC, through authorization from the City, entered into a capital lease arrangement in the amount of $127,729 for golf maintenance equipment. The monthly payment will be $2,136 for 60 months.

The Utility covenants that rates and charges for the sewer service will be sufficient to yield net revenues equal to 115% of the debt service coming due and payable during the next succeeding bond year. The following analysis shows the test result for compliance with this covenant:

Less: Expenses (excluding depreciation
amortization, interest and fiscal charges)
Long-term Debt (continued)
Proprietary long-term debt at June 30, 2021 consisted of the following items:
(continued)
2017 Refunding Sewer Revenue Bond – Sewage Collection
Enterprise fund - Debt Service Coverage
68

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. d.
34,640,000$
Unamortized bond premium 4,419,987
Total Tax Allocation Bond Issue of 2016 39,059,987$
Tax Allocation Bonds Issue of 2016
$42,000,000 Tax allocation bonds were issued on March 17, 2016.

The SRDA issued the “2016 Bonds” in the aggregate principal amount necessary to provide net proceeds of $42,000,000 to fund the Water Park Hotel pursuant to the first amended and restated disposition and development agreement dated April 13, 2010. The bonds are due in annual principal installments of $1,975,000 to $3,450,000. Interest on the bonds will be payable semiannually each April 1 and October 1, commencing October 1, 2016. The rates ranging from 1.0% to 5.0%. The “2016 Bonds” will be payable on a parity with the debt service on the 2014 Bonds to the extent set forth in the 2016 Bond Indenture. Such certificates are subject to federal arbitrage regulations. No arbitrage liability is reported at June 30, 2021.

Long-term Debt (continued)
Private-purpose trust activity long-term debt at June 30, 2021 consisted of the following items:
69

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. d.
21,150,000$
Unamortized bond premium 2,604,876
Total Tax Allocation Bond Issue of 2014 23,754,876$
1,010,000
On June 1, 2008, the former redevelopment agency for
Community Development entered into a note purchase agreement in the amount of $2,015,000, to refund a note issued to Katella Cottages LLC under a Disposition and Development Agreement dated May 11, 2004. The Note has an annual interest rate of 6% with principal payments due annually on October 1 through October 1, 2027. Principal payments range from $120,000 to $170,000. Upon the dissolution of the former redevelopment agency at February 1, 2012, the outstanding balance of the bonds was transferred to the Successor Agency.

Long-term Debt (continued)
Private-purpose trust activity long-term debt at June 30, 2021 consisted of the following items: (continued)
Tax Allocation Refunding Bonds Issue of 2014
$38,810,000 Tax allocation refunding bonds were issued on July 16, 2014. The bonds were issued for the purpose of refunding the Garden Grove Agency for Community Development’s previously issued $57,025,000 community project tax allocation refunding bonds, Series 2003. Proceeds of the Series 2014 bonds will also be used (i) to fund a debt service reserve fund for the 2014 Bonds and (ii) to pay costs incurred in connection with the issuance, sale, and delivery of the 2014 Bonds.

Principal payments ranging from $1,580,000 to $3,330,000 are due annually through the year 2029. Interest is due semi-annually on October 1 and April 1, at rates ranging from 1.0% to 5.0%.

Such bonds are subject to Federal arbitrage regulations; however, no liability is reported at June 30, 2021.

Subordinate Note
70

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. d.
7,054,260
Total Private Purpose Trust Funds Long Term Debt 70,879,123$ e.

Principal Interest Total
2022 515,000$ 992,700$ 1,507,700$ 2023 540 ,000 966 ,950 1 ,506,950 2024 565 ,000 939 ,950 1 ,504,950 2025 595 ,000 911 ,700 1 ,506,700 2026 625 ,000 881 ,950 1 ,506,950 2027-2031 3 ,630,000 3 ,908,500 7 ,538,500 2032-2036 4 ,495,000 3 ,040,400 7 ,535,400 2037-2041 5 ,465,000 2 ,066,800 7 ,531,800 2042-2045 5 ,340,000 683 ,750 6 ,023,750 Total 21,770,000$ 14,392,700 $ 36,162,700 $ Principal Interest Total
2022 113,962$ 672$ 114,634$ Year
Ending
Capital Leases Payable
The former redevelopment agency has five loans from the Low Income Housing Assets capital project fund, that were used to make the fiscal year 2005-06 ($621,376) mandated Educational Revenue Augmentation Fund payments and “Supplemental”
Education Revenue Augmentation Fund payments for the fiscal year 2009-10 ($7,906,610) and 2010-11 ($1,626,274). In
accordance with Assembly Bill X1 26, existing agreements between the City and the former redevelopment agency have previously been invalidated. In fiscal year 2017-18, the California Department of Finance changed its previous
determination and has now approved the repayment of the ERAF and SERAF loans ($13,254,260) as an enforceable obligation. At June 30, 2021 the Successor Agency has repaid $6,200,000 of the loan balance. The amount due to the City at June 30, 2021 is $7,054,260, which represents $7,054,260 of SERAF.

Long-term Debt (continued)
Private-purpose trust activity long-term debt at June 30, 2021 consisted of the following items: (continued)
Loan Pa
yable to City
The scheduled annual requirements to amortize all governmental long-term debt outstanding as of June 30, 2021 including interest payments are as follows:

Year
Ending
Lease Revenue Bonds 2015A
71

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. f.

Principal Interest Total
2022 955,000$ 47,850$ 1,002,850$ 2023 985 ,000 28 ,450 1 ,013,450 2024 930 ,000 9 ,300 939,300 Total 2,870,000$ 85,600 $ 2,955,600 $ Principal Interest Total
2022 -$ 846,975$ 846,975$ 2023 420 ,000 838 ,575 1 ,258,575 2024 890 ,000 812 ,375 1 ,702,375 2025 920 ,000 776 ,175 1 ,696,175 2026 960 ,000 738 ,575 1 ,698,575 2027-2031 5 ,390,000 3 ,073,875 8 ,463,875 2032-2036 2 ,725,000 2 ,266,450 4 ,991,450 2037-2041 3 ,260,000 1 ,715,625 4 ,975,625 2042-2046 3 ,970,000 994 ,825 4 ,964,825 2047-2051 4 ,685,000 298 ,688 4 ,983,688 Total 23,220,000$ 12,362,138 $ 35,582,138 $ Principal Interest Total
2022 615,000$ 582,125$ 1,197,125$ 2023 645 ,000 551 ,375 1 ,196,375 2024 680 ,000 519 ,125 1 ,199,125 2025 715 ,000 485 ,125 1 ,200,125 2026 750 ,000 449 ,375 1 ,199,375 2027-2031 4 ,350,000 1 ,646,125 5 ,996,125 2032-2036 5 ,410,000 586 ,550 5 ,996,550 Total 13,165,000$ 4,819,800 $ 17,984,800 $ Principal Interest Total
2022 25,498$ 136$ 25,634$ 2023 25 ,534 100 25 ,634 2024 25,570 64 25 ,634 2025 25,605 29 25 ,634 2026 6,407 1 6 ,408 Total 108,614$ 330 $ 108,944 $ Year Ending
June 30
Willowick Golf Course Equipment Capital Lease
Year Ending
June 30
2017 Sewer Refunding Revenue Bonds
Long-term Debt (continued)
The scheduled annual requirements to amortize all proprietary long-term debt outstanding as of June 30, 2021 including interest payments are as follows:

Year Ending
June 30
2015 Refunding Water Revenue Bonds
Year Ending
June 30
2020 Water Revenue Bonds
72

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

8. g.

Principal Interest Total
2022 1,975,000$ 1,536,750$ 3,511,750$
2023 2 ,055,000 1 ,445,875 3 ,500,875
2024 2 ,160,000 1 ,340,500 3 ,500,500
2025 2 ,265,000 1 ,229,875 3 ,494,875
2026 2 ,380,000 1 ,113,750 3 ,493,750
2027-2031 13 ,815,000 3 ,611,875 17 ,426,875 2032-2034 9 ,990,000 489 ,250 10,479,250 Total 34,640,000$ 10,767,875$ 45,407,875$
Principal Interest Total
2022 2,905,000$ 970,350$ 3,875,350$
2023 3 ,015,000 836 ,875 3,851,875
2024 3 ,170,000 682 ,250 3,852,250
2025 3 ,330,000 519 ,750 3,849,750
2026 1 ,955,000 387 ,625 2,342,625
2027-2030 6 ,775,000 652 ,375 7,427,375 Total 21,150,000$ 4,049,225 $ 25,199,225 $ Principal Interest Total
2022 120 ,000$ 57,000$ 177,000$
2023 130 ,000 49 ,500 179 ,500
2024 135 ,000 41 ,550 176 ,550
2025 145 ,000 33 ,150 178 ,150
2026 150 ,000 24 ,300 174 ,300
2027-2028 330 ,000 20 ,100 350 ,100 Total 1,010,000$ 225,600$ 1,235,600$
Year Ending
June 30
Subordinate Note 2008
Long-term Debt (continued)
The scheduled annual requirements to amortize all the Successor Agency lon g- term debt outstanding as of June 30, 2021 including interest payments are as follows:

Year Ending
June 30
Tax Allocation Refunding Bonds Issue of 2016
Year Ending
June 30
Tax Allocation Refunding Bonds Issue of 2014
73

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

9. Com pensated Absences
The City accounts for compensated absences (unpaid vacation, annual leave, unused holiday, compensated time off, and sick leave) in the Employee Benefit internal service fund and the enterprise funds. The balance for accrued compensated absences at June 30, 2021 is $8,860,059.

Vacation accrues for all employee groups at 10 hours per month after 1 year of service, 12 hours per month after 9 years, 14 hours per month after 14 years, 17.25 hours per month after 19 years, and 20.50 hours per month after 24 years. The maximum an employee may accumulate is an amount equivalent to two full calendar years of service. The maximum management may accumulate is an amount equivalent to two full calendar years of service plus 40 hours.

Sick leave is accumulated on the basis of eight hours for each month of service beginning from the date of hire for all employee groups other than police. Police employees accumulate on the basis of 10 hours for each month of service beginning from the date of hire. The City has adopted a policy for payment of unused sick leave benefits at time of retirement. Employees can be paid 50% for all unused hours up to 1,000, police employees 100% of up to 750 unused hours, and management employees 50% of all unused hours. Studies have indicated that only 14.96% of all accumulated sick leave is actually used by employees, therefore, the sick leave liability is estimated at 14.96% of the total accumulated benefit, or $2,160,938 at June 30, 2021. 74

C. DETAILED NOTES ON ALL FUNDS (continued)

9. Com pensated Absences (continued)
Governmental funds:

Beginning
Balance Additions Reductions
Ending
Balance
Due Within
One Year
5,776,137$ 6,007,386$ (5,677,252)$ 6,106,271$ 5,923,081$ Sick Leave 1,433,328 1,415,600 (841,152) 2,007,776 1,947,544 Total 7,209,465$ 7,422,986$ (6,518,404)$ 8,114,047$ 7,870,625 $ Enterprise funds:

Beginning
Balance Additions Reductions
Ending
Balance
Due Within
One Year
495,731$ 465,863 $ (368,744) $ 592,850 $ 575,063 $ Sick Leave 111,538 209,632 (168,008) 153,162 148,567 Total 607,269$ 675,495$ (536,752)$ 746,012$ 723,630$ Totals 7,816,734$ 8,098,481 $ (7,055,156) $ 8,860,059 $ 8,594,255 $ A calculated fringe benefit rate, which includes accrued compensated absences, workers’ compensation, retirement and medical benefits, is applied to all labor charges. The resulting funds are deposited into internal service funds and are set aside for corresponding liabilities, which are fully funded by sufficient cash and investment in that fund. Compensated absences are liquidated using the employee benefits internal service fund’s available net position.

Vacation, Annual
Leave, Benefits, and
Comp Time
Vacation, Annual
Leave, Benefits, and
75

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

10. Risk Mana gement
Worker's Compensation 2021 2020
Liability, July 1 34,780,527$ 35,928,000$
Cost and claims incurred 5,652,543 2,558,562
Claim payments (4,617,046) (3,706,035)
Liability, June 30 35,816,024$ 34,780,527$
Due within one year 4,992,810 $ 4,830,588 $
Due in more than one year 30,823,214 29,949,939
35,816,024$ 34,780,527$
Risk Management
Liability, July 1 6,751,631 $ 5,454,441 $
Cost and claims incurred 1,611,696 2,503,574 Claim payments (1,622,097) (1,206,384)
Liability, June 30 6,741,230$ 6,751,631$
Due within one year 2,524,431$ 2,551,251$
Due in more than one year 4,216,799 4,200,380 6,741,230$ 6,751,631$
The City utilizes a program to self-insure for workers’ compensation liability for the first $1 million, per occurrence, for injury or occupational illness to city employees pursuant to Workers’ Compensation Laws of the State of California. The City contracts with a third party who administers the program and acts as the representative of the City in claim hearings and litigation. Excess coverage is placed with a joint powers authority for losses from $1 million up to the statutory limit per occurrence. This self-insurance program is accounted for in the Workers’ Compensation internal service fund. There is an estimated liability of $35,816,024 for workers' claims outstanding including claims incurred but not reported on June 30, 2021, which has been included as liabilities in the Workers’ Compensation internal service fund.

The City also has a self-insured program for its tort and civil liabilities. The City is self- insured for the first $2 million per occurrence. Excess liability insurance is carried thereafter to $33 million per occurrence with commercial insurers. Claims administration and adjusting services are provided by contract with a third-party administrator specializing in public entity liability. Representation in matters of litigation is performed through the retaining of outside law firms and is supervised by the city attorney. This self- insurance program is accounted for in the Risk Management internal service fund.

The City estimates a general liability for claims outstanding, including claims incurred but not reported, on June 30, 2021, in the amount of $6,741,230 which has been included as liabilities in the Risk Mana
gement internal service fund.

The City is a defendant in various lawsuits. Attempts are made to settle these cases or proceed to trial as recommended by the attorney. The City believes that it has meritorious defenses to the allegations contained in the cases. However, the City has accrued and reserved reasonable amounts based on the actuarial analysis and attorney recommendations to cover the potential losses to the extent the exposures are deemed probable and estimable.

Settled claims have not exceeded any of the City’s coverage amounts in any of the last three fiscal years and there were no reductions in the City’s insurance coverage during the year ended June 30, 2021. Changes in the aggregate liability for claims for fiscal year ended June 30, 2021 and June 30, 2021 are as follows:
76

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

11. a.
•
•
•
•
Prohibits certain cash payment from being counted as compensation; and Increases retirement age for all new public employees.

Each employee contributes toward his or her retirement based upon the retirement formula. Under PEPRA, the mandated employee contribution rate is one half of the normal cost as determined annually by CalPERS for the City when the actuarial valuation of the plans are performed. Active PEPRA plan members in the Miscellaneous Plan of the City are required to contribute 6.75% of reportable earnings for a 2.0% at 62 retirement plan. Active PEPRA plan members in the Safety Plan of the City are required to contribute 12.75% of reportable earnings for a 2.7% at 57 retirement plan. Active "Classic" plan members in the Miscellaneous Plan of the City are required to contribute 8.00% of reportable earnings for a 2.5% at 55 retirement plan. Active "Classic" plan members in the Safety Plan of the City are required to contribute 9.00% of reportable earnings for a 3.0% at 50 retirement plan.

The required employer contribution rates for fiscal year ended June 30, 2021 under PEPRA are the same as the employer contribution rates for existing miscellaneous employees and public safety employees.

Public Em
ployees' Retirement System
General Information about the Pension Plans
Plan Description - The City of Garden Grove’s defined benefit pension plans, the Miscellaneous Plan of the City of Garden Grove and the Safety Plan of the City of Garden Grove, provide retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. The Miscellaneous Plan of the City of Garden Grove and the Safety Plan of the City of Garden Grove are part of the Public Agency portion of the California Public Employees Retirement System (CalPERS), an agent multiple-employer plan administered by CalPERS, which acts as a common investment and administrative agent for participating public employers within the State of California. A menu of benefit provisions as well as other requirements are established by State statutes within the Public Employees’ Retirement Law. The City selects optional benefit provisions from the benefit menu by contract with CalPERS and adopts those benefits through local ordinance. CalPERS issues a separate Annual Comprehensive Financial Report.

Copies of CalPERS’ annual financial report may be obtained from the CalPERS Executive Office
, 400 P Street, Sacramento, CA 95814.

On September 12, 2012, the California Governor signed the California Public Employees’ Pension Reform Act of 2013 (PEPRA) into law. PEPRA took effect January 1, 2013. Key components of the legislation are as follows:

Establishes PEPRA which applies to all public employers and public pension plans on and after January 1, 2013 (except specific exemptions); Establishes new retirement tiers/benefits for new public employees; 77

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

11. a.

Hire date
Prior to
January 1, 2013
On or after
January 1, 2013
Benefit formula 2.5% @ 55 2.0% @ 62
Benefit vesting schedule 5 years service 5 years service Benefit payments monthly for life monthl y for life
Retirement age 50-55 52 - 67
Monthly benefits, as a % of eligible
compensation 2.0% to 2.5% 1.0% to 2.5%
Required employee contribution rates 8.00% 6.00%
Required employer contribution rates 36.434% 36.434%
Hire date
Prior to
January 1, 2013
On or after
January 1, 2013
Benefit formula 3.0% @ 50 2.7% @ 57
Benefit vestin
g schedule 5 years service 5 years service
Benefit payments monthly for life monthl y for life
Retirement age5 0 50 - 57
Monthly benefits, as a % of eligible
compensation 3.00% 2.0% to 2.7%
Required employee contribution rates 9.00% 11.00%
Required employer contribution rates 65.348% 65.348%
Misc Safety
Inactive employees or beneficiaries
currently receiving benefits 668 487 Inactive employees entitled to but
not yet receiving benefits 476 104 Active employees 382 239
Total 1,526 830
Employees covered - At June 30, 2019 (actuarial valuation date), the following employees were covered by the benefit terms for each Plan:

Public Employees' Retirement System (continued)
General Information about the Pension Plans (continued) Benefits provided - CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service, equal to one year of full time employment. Members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after 10 years of service. The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost of living adjustments for each plan are applied as specified by the Public Employees’ Retirement Law.

The Plans’ provisions and benefits in effect at June 30, 2021, are summarized as follows:

Miscellaneous
Safety
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

11. a.
b. Net Pension Liabilit y
Actuarial Cost Method
Actuarial Assumptions
Discount Rate 7.15%
Inflation 2.50%
Salary Increase Varies by Entry Age and Service
Mortality Rate Table1 Derived using CalPERS' membership data for all funds 1 Post Retirement Benefit
Increase
Contract COLA up to 2.50% until Purchasing Power Protection Allowance. Floor on Purchasing Power applies, 2.50% thereafter 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 that can be found on the CalPERS website.

Entry Age Normal in accordance with the requirements of GASB 68 Public Employees' Retirement System (continued)
General Information about the Pension Plans (continued) Contributions - Section 20814(c) of the California Public Employees’ Retirement Law (PERL) requires that the employer contribution rates for all public employers 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 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.

Actuarial Methods and Assum
ptions Used to Determine Total
The June 30, 2019 valuation was rolled forward to determine the June 30, 2020 total pension liability, based on the following actuarial methods and assumptions:
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021

C. DETAILED NOTES ON ALL FUNDS (continued)

11. b. Net Pension Liabilit y (continued)
Long-term Expected Rate of Return
1 Current
Target
Real Return
Years 1 -10 2
Real Return
Years 11+ 3

50.00% 4.80% 5.98%

28.00% 1.00% 2.62%
- 0.77% 1.81%

8.00% 6.30% 7.23%

13.00% 3.75% 4.93%

1.00% - (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.
2 An expected inflation of 2.0% used for this period.
3 An expected inflation of 2.92% used for this period.

Discount Rate
The discount rate used to measure the total pension liability was 7.15%. 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.

Public Em
ployees' Retirement System (continued)
The expected real rates of return by asset class are as followed:

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

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

Inflation Assets
Private Equity
Real assets
Li
quidity
Fixed Income
Asset Class
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021

C. DETAILED NOTES ON ALL FUNDS (continued)

11. b. Net Pension Liabilit y (continued)
Subsequent Events
Amortization of Deferred Outflows and Deferred Inflows of Resources Net Difference between 5 year straight-line amortization projected and actual
earnings on investments
All other amounts
c.

The following table shows the balances related to pension at June 30, 2021:

Miscellaneous Safet y
Plan Plan Total
Net Pension Liability 102,646,028$ 206,737,133$ 309,383,161$ Deferred Outflows 14 ,176,155$ 22,194,834$ 36,370,989$ Deferred Inflows 1 ,043,834$ 1,029,520$ 2,073,354$ Pension Expense 14,739,295$ 31,394,528$ 46,133,823$ Changes in Net Pension Liability
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). Note that inactive employees and retirees have remaining service lifetimes equal to 0. Also note that total future service is based on the members’ probability of decrementing due to an event other than receiving a cash refund.

Public Em
ployees' Retirement System (continued)
The amortization period differs depending on the source of the gain or loss:

Straight-line amortization over the average expected
remaining service lifetime (EARLS) of all members that
are provided with benefits (active, inactive, and retired) as of the beginning of the measurement period
There were no subsequent events that would materially affect the results presented in this disclosure.

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 outflows and deferred inflows of resources related to pensions and are to be recognized in future pension expense.
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

11. Public Employees' Retirement System (continued)
c.

Total Pension
Liability (a)
Plan Fiduciary
Net Position
(b)
Net Pension
Liability/(Asset)
(c) = (a) - (b)
332,499,967$ 234,830,478$ 97,669,489$
Changes in the year:
5,053,242 - 5,053,242
liability 23,364,470 - 23,364,470 Changes of benefit terms 2,033,512 - 2,033,512 (1,623,742) - (1,623,742)
Contribution - employer - 10,190,871 (10,190,871) Contribution - employee - 2,282,163 (2,282,163) Net Investment income - 11,708,962 (11,708,962) (17,321,101) (17,321,101) -
Administrative expense - (331,053) 331,053 Net changes 11,506,381 6,529,842 4,976,539 Balance at June 30, 2020 344,006,348$ 241,360,320$ 102,646,028$ refunds of employee
contributions
Balance at June 30, 2019
Changes in Net Pension Liability (continued)
The following table shows the changes in the Net Pension Liability for each plan:

Miscellaneous Plan: Increase(Decrease)
Service cost
Interest on the total pension
Difference between actual and
expected experience
Benefit payments, including
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CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

11. Public Employees' Retirement System (continued)
c.

Safety Plan:

Total Pension
Liability
(a)
Plan Fiduciary
Net Position
(b)
Net Pension
Liability/(Asset)
(c) = (a) - (b)
Balance at June 30, 2019 $ 554,021,854 359,792,765$ 194,229,089$ Changes in the year:

Service cost 8,470,387 - 8,470,387 Interest on the total pension
liability 38,866,660 - 38,866,660 Changes of benefit terms 1,572,470 - 1,572,470 Difference between actual
and expected experience (691,163) - (691,163) Contribution - employer - 15,875,859 (15,875,859) Contribution - employee - 2,639,127 (2,639,127) Net Investment income - 17,702,544 (17,702,544) Benefit payments, including
refunds of employee
contributions (31,097,422) (31,097,422) -
Administrative Expense - (507,220) 507,220 Net changes 17,120,932 4,612,888 12,508,044 Balance at June 30, 2020 $ 571,142,786 364,405,653$ 206,737,133$ Changes in Net Pension Liability (continued)
Increase (Decrease)
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

11. Public Employees' Retirement System (continued)
c.

Miscellaneous Safety
1% Lower 6.15% 6.15%
Net Pension Liability 148,490,163$ 283,210,959$ Current Discount Rate 7.15% 7.15%
Net Pension Liability 102,646,028$ 206,737,133$ 1% Higher 8.15% 8.15%
Net Pension Liability 64,851,004$ 143,994,464$ d.

Deferred Outflows of
Resources
Deferred Inflows of
Resources
11,167,273$ - $
measurement date
Differences between expected
and actual experiences 1,049,678 (1,043,834) Net difference between projected and
actual earnings on pension plan
investments 1,959,204 -
Total 14,176,155$ (1,043,834)$
Miscellaneous Plan
Pension contributions subsequent to
Sensitivity of the Net Pension Liability to Changes in the Discount Rate – The following presents the net pension liability of each Plan, calculated using the discount rate for each Plan, as well as what the net pension liability would be if it were calculated using a discount rate that is 1 percentage-point lower or 1 percentage-point higher than the current rate:

The Net Pension Liabilities for the City’s pension plans have been primarily liquidated by funding from the General, Water, Sewage Collection and Housing Authority funds based on their proportionate personnel costs of the year.

Chan
ges in Net Pension Liability (continued)
Pension expenses and deferred outflows/inflows of resources related to pensions
For the year ended June 30, 2021, the City recognized pension expenses of $14,739,295 and $31,394,528 for Miscellaneous Plan and Safety Plan, respectively. At June 30, 2021, the City reported deferred outflows of resources and deferred inflows of resources related to
pensions from the following sources:

Pension Plan Fiduciary Net Position – Detailed information about each pension plan’s fiduciary net position is available in the separately issued CalPERS financial reports and can be obtained on the CalPERS website.
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

11. Pu blic Employees' Retirement System (continued)
d.

Deferred Outflows of
Resources
Deferred Inflows of
Resources
Pension contributions subsequent to
measurement date 17,489,949$ -$
Changes in assumptions - (370,168) Differences between expected
and actual experiences 1,769,811 (659,352) Net difference between projected and
actual earnings on pension plan
investments 2,935,074 -
Total 22,194,834$ (1,029,520)$
Miscellaneous Plan Safety Plan
Measurement Periods Ended June 30
Deferred
Outflow/(Inflows)
of Resources
Deferred
Outflow/(Inflows) of
Resources
2021 (426,527) $ (987,751) $
2022 204,346 1,412,948
2023 1,211,593 1,746,582
2024 975,636 1,503,586

12. Other Postemployment Benefits
a. Plan Descriptions
The City administers other post-employment benefit (OPEB) plan which is subject to changes based on the discretion of the Council:

PEMHCA: The City provides an agent multiple-employer defined benefit healthcare plan to retirees through the California Public Employee Retirement System (CalPERS) under the California Public Employees Medical and Hospital Care Act (PEMHCA), commonly referred to as PERS Health.

Pension expenses and deferred outflows/inflows of resources related to pensions (continued)
Safety Plan
The $11,167,273 and $17,489,949 reported as deferred outflows of resources related to contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the fiscal year ending June 30, 2022. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

12. Other Postemployment Benefits (continued)
b. Employees Covered
Number of
Participants
Inactive Employees Receiving Benefit Payments 298
-
Participating Active Employees 617
Total Number of Participants 915
c. Contributions
d. Actuarial Methods and Assumptions Used to Determine Total OPEB Liability The City’s total OPEB liability was determined by an actuarial valuation dated June 30, 2019, based on the following actuarial methods and assumptions:

ACTUARIAL METHODS AND ASSUMPTIONS:

ACTUARIAL COST METHOD: GASB 74/75 require use of the entry age actuarial cost method.

Entry age is based on the age at hire for eligible employees. The attribution period is determined as the difference between the expected retirement age and the age at hire. The APVPBP and present value of future service costs are determined on an employee by employee basis and then aggregated.

Employees are eligible for retiree health benefits if they retire from the City on or after age 50 (unless disabled) and are eligible to begin drawing a PERS pension. The benefits are available only to employees who retire from the City.

As of the June 30, 2019 actuarial valuation, the following current and former employees were covered by the City plan:

The contributions for the City’s other post-employment benefits are based on pay-as- you-go financing requirements.

The contribution requirements of plan members and the City are established and may be amended by the City Council. The City must agree to make a defined monthly payment towards the cost of each retiree’s coverage. The City’s contribution rates were $143 and $139 per month for each retiree for the calendar years ended 2021 and 2020, respectively.

For the fiscal year ended June 30, 2021, the City contributed $490,636 to the plan.

Inactive Employees Entitled to But Not Yet Receiving
Benefit Payments
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

12. Other Postemployment Benefits (continued)
d.

MORTALITY
Participant Type Mortality Tables
Police
Firefighters
Miscellaneous
Actuarial Methods and Assumptions Used to Determine Total OPEB Liability (continued)
2014 CalPERS Mortality for Active Safety Employees
2014 CalPERS Mortality for Active Safety Employees
2014 CalPERS Mortalit
y for Active Miscellaneous
Employees
To the extent that different benefit formulas apply to different employees of the same class, the service cost is based on the benefit plan applicable to the most recently hired employees (including future hires if a new benefit formula has been agreed to and communicated to employees). This greatly simplifies administration and accounting; as well as resulting in the correct service cost for new hires.

SUBSTANTIVE
PLAN: As required under GASB 74/75 the valuation is based on the substantive plan. The formulation of the substantive plan was based on a review of written plan documents as well as historical information provided by the City regarding practices with respect to employer and employee contribution and other relevant factors.

INFLATION
: 2.75% per year. Actuarial standards require using the same rate for OPEB that is used for pension.

PAYROLL INCREASE: 2.75% per year.

ECONOMIC ASSUMPTIONS:

INVESTMENT RETURN/DISCOUNT RATE: 2.2% per year net of expenses. This is based on the Bond Buyer 20 Bond Index. The interest assumption changed from 3.5% to

2.2%.

TREND: 4% per year. The long-term trend assumption is based on the conclusion that, while medical trend will continue to be cyclical, the average increase over time cannot continue to outstrip general inflation by a wide margin. Trend increases in excess of general inflation result in dramatic increases in unemployment, the number of uninsured and the number of underinsured. These effects are nearing a tipping point which will inevitably result in fundamental changes in health care finance and/or delivery which will bring increases in health care costs more closely in line with general inflation. We do not believe it is reasonable to project historical trend vs. inflation differences several decades into the future.

IMPLICIT
RATE SUBSIDY: GASB 74/75 require use of claims costs or age-adjusted premiums approximating claims costs to determine the plan's liability. Adjusting premiums for age creates an Implicit Subsidy and is reflected as part of the plan's liability. In addition, the common approach amongst actuaries in California is to include an implict subsidy as part of the liability and as such the City requested to have reflected age-adjusted premiums in the calculation of the actuarial values.

Implicit Subsidy is considered a benefit and should be included in OPEB valuation and its recognition will increase OPEB liability.
87

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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

12. Other Postemployment Benefits (continued)
d.

Future Retirees Post -65
General
Retiree liabilities are based on actual retiree premium plus an implicit rate subsidy of

81.6% of non-Medicare medical premium. Liabilities for active participants are based on the first year costs shown below, which include the implicit rate subsidy.

Subsequent years' costs are based on first year costs adjusted for trend and limited by any City contribution caps.
100% at 5 Years of Service
100% at 5 Years of Service
100% at 5 Years of Service
Police
Firefighters
Actuarial Methods and Assumptions Used to Determine Total OPEB Liability (continued)

RETIREMENT RATES
Employee Type
Police Officers 2009 CalPERS 3%@50 Rates for Sworn Police Employees or PEPRA rates, as appropriate
Retirement Rate Tables
2009 CalPERS 3%@50 Rates for Sworn Fire Employees or
PEPRA rates, as appropriate
2009 CalPERS 2.5%@55 Rates for Miscellaneous Employees
or PERPRA rates, as appropriate
Service Requirement Tables
General Employees
Firefighters

SERVICE REQUIREMENT
Employee Type

COSTS FOR RETIREE COVERAGE
Police Officers
Miscellaneous
Employees
$1,650
PEMHCA Minimum: $1,650
Implicit Subsidy: $12,708
$1,650
PEMHCA Minimum: $1,650
Implicit Subsidy: $10,040
$1,650
The participation rates per the actuarial report for all employee types for the group that is less than age 65 (Non-Medicare) and for the group that is more than age 65 (Medicare) is 70 percent.

Participant Type
Fire Fighters PEMHCA Minimum: $1,650
Implicit Subsidy: $13,239
Future Retirees Pre-65
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NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

12. Other Postemployment Benefits (continued)
e.
•
•
•
•
Deferred Outflows of
Resources
Deferred Inflows
of Resources
$ 490,636 $ -
29,124,891 (653,699)
Difference between expected and actual experience - (241,890) Total $ 29,615,527 $ (895,589) Measurement
Periods Ended
June 30
Deferred
Outflows/(Inflows) of
Resources
2021 $ 3,256,221
2022 3,256,221
2023 3,256,221
2024 3,256,221
2025 3,256,221
Thereafter 11,948,197
Investment gains and losses can be deferred five years.

Experience gains and losses can be deferred over the expected average remaining service lives (EARSL) of plan participants. In calculating the EARSL, terminated employees (primarily retirees) are considered to have working lifetime of zero. This often make the EARSL
, quite short.

Recognition of Deferred Outflows and Inflows of Resources Changes in the Total OPEB Liability (TOL) arising from certain sources are recognized on a deferred basis. Under GASB 74 & 75 OPEB expense includes service cost, interest cost, change in total OPEB liability due to plan changes; all adjusted for deferred inflows and outflows.

The TOL can arise in several ways - e.g., as a result of plan changes or changes in actuarial assumptions. TOL can also arise from actuarial gains and losses. Actuarial gains and losses result from differences between actuarial assumptions and the actual plan experience.

Under GASB 74 and 75, a portion of actuarial gain and losses can be deferred as follows:

Liability changes resulting from changes in economic and demographic assumptions are also deferred based on the average working lifetime.

The $490,636 reported as deferred outflows of resources related to contributions subsequent to the June 30, 2020 measurement date will be recognized as a reduction of the total OPEB liability during the fiscal year ending June 30, 2022.

OPEB Ex
pense a Deferred Outflow/Inflow of Resources to OPEB
Liability changes resulting from plan changes, for example, cannot be deferred.

For the fiscal year ended June 30, 2021, the City recognized OPEB expenses of $6,687,134. As of fiscal year ended June 30, 2021, the City reported deferred outflows of resources related to OPEB from the following sources:

OPEB contributions subsequent to measurement
Changes of assumptions
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CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

12. Other Postemployment Benefits (continued)
f.
g.

Increase (Decrease)
Total OPEB
Liability (TOL)
45,756,997$
Changes recognized for the measurement period:

Service Cost 1 ,831,165
Interest on TOL 1,596,249
Employer Contributions as Benefits (2,036,122)
Experience (Gains)/Losses (94,837)
Assumption Changes 8,191,623
Net Changes 9,488,078
Balance at June 30, 2020 55,245,075 $
h.

Discount Rate
1% Lower Valuation Discount
Rate
Discount Rate
1% Higher
OPEB Liability $62,315,770 $55,245,075 $48,683,170
The following presents the OPEB liability with a discount rate that is one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2020:

Balance at June 30, 2019
Total OPEB Liabilit
y
If actuarial assumptions are borne out by experience, the City will fully accrue retiree benefits by expensing an amount each year that equals the service cost. If no accruals had taken place in the past, there would be a shortfall of many years’ accruals, accumulated interest and forfeitures for terminated or deceased employees. This shortfall is called the Total OPEB Liability (TOL). The TOL is calculated as the APVPBP (Acturial Present Value of Projected Benefit Payments) minus the present value of future service costs.

Chan
ges in the OPEB Liability
The changes in the OPEB liability for the City are as follows:

Sensitivity of OPEB Liability to Changes in the Discount Rate Changes in Total OPEB Liability as of June 30,2020
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CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

12. Other Postem ployment Benefits (continued)
i.

Trend Rate 1% Valuation Trend Trend Rate 1%
OPEB Liability $49,401,307 $55,245,075 $62,336,555

13. Non-committal deb t
a.

14. Commitments and Contin gencies
a. Grants
b. Construction Commitments
Remaining
Spent-to-date Commitmen t
Street Improvements 7,875,401$ 1,379,129$
Storm Drain Improvements 222,607 36,984
Park Improvements 484,218 433,350
Water Improvements 3,875,496 369,143
Sewer Improvements 3,559,050 4,055,464
Total 16,016,772$ 6,274,070$
Sensitivity of OPEB Liability to Changes in the Trend Rate The following presents the OPEB liability of the City if it were calculated using healthcare cost trend rates that are one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2020:

Under the terms of federal, county and state grants, periodic audits are required and certain costs may be questioned as not appropriate expenditures under the terms of the grants. Such audits could lead to reimbursements to the grantor agencies. If some expenditures were disallowed, the City believes such disallowances, if any, would be immaterial.

Garden Grove Housing Authority Variable Rate Demand Multifamily Housing Revenue Bonds, Series A of 1990, for $12,000,000 were issued as an obligation of the Housing Authority. These bonds are not reflected in the City’s financial statements since the use and disposition of the bond proceeds are controlled by an outside trustee, rather than the City, and since neither the Housing Authority, nor the City, is, in any event, liable for the payment of the principal or interest on the bonds. The bonds were issued to provide funds for the cost of developing the Valley View Senior Village, a multifamily rental housing project in the City. These bonds were paid off on July 1, 2020.

The City has active construction projects as of June 30, 2021. City project commitments includes street improvements, storm drain improvements, traffic improvements, and park improvements. Proprietary fund project commitments include water main improvements, water reservoir rehabilitation projects and sewer main improvements. At fiscal year-end, the City’s construction project commitments with contractors are as follows:
91

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

14. Commitments and Contin gencies (continued)
c. Contract Commitment s

15. Joint Venture

16. Tax Abatements
In 2010, the Successor Agency entered into an agreement with Garden Grove MXD, LLC for the construction of the Great Wolf Lodge. The performance based assistance began in 2015-16 and is based on the Transient Occupancy Tax rate. If the Transient Occupancy Tax rate charged by the City impacts an agreed upon Transient Occupancy Tax rate differential with a neighboring City, an amount will be rebated to the developer equal to the total room revenue multiplied by that Transient Occupancy Tax differential. The amount of Transient Occupancy Tax rebated to Garden Grove MXD, LLC for the Fiscal Year 2020-21 is $66,072. This amount is an approved enforceable obligation of the Successor Agency, and will be paid via the State of California approved Recognized Obligation Payments Schedule.

The City entered into an agreement with the Orange County Fire Authority (OCFA) on April 9, 2019 for OCFA to provide fire and emergency medical services to the City starting on August 16, 2019. OCFA will lease specified apparatus at no cost and fire stations at $1 per year per station. Annually, the City will pay its share of OCFA’s vehicle replacement program. The City will also pay a monthly fee of $1,931,500 for the fire and emergency medical services. The monthly amount is subject to change on an annual basis and is due at the beginning of each month.

The City participates in the Anaheim-Garden Grove-Orange Fire Training Facility Authority, a joint powers authority created to finance fire training and dispatching facilities. The City Council of each city appoints one representative to the three-member Board of Directors. The City’s proportionate share is 22.0%. Because the City is not financially accountable, the training facility is not considered part of the City’s reporting entity. Separate financial statements are not issued.

The City of Garden Grove enters into various tax abatement agreements for the purpose of attracting and retaining businesses within the City. The Garden Grove Agency for Community Development also entered into three such agreements specific to hotel developments that are now the enforceable obligations of the Successor Agency pursuant to the 2011 Redevelo
pment Agency Dissolution Act.

In 2016, the City approved an Amended and Restated Operating Covenant Agreement with California Fuels and Lubricants for business retention purposes pursuant to Senate Bill 562. The Amended Agreement effective July 1, 2016 provides for economic development assistance in form of varying revenue sharing ratios of the amount of sales tax revenue generated in excess of $200,000 annually for a period of 20 years. For Fiscal Year 2020-21, California Fuels and Lubricants received assistance payments of $652,231. 92

CITY OF GARDEN GROVE

NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FISCAL YEAR ENDED JUNE 30, 2021
C. DETAILED NOTES ON ALL FUNDS (continued)

16. Tax Abatements (continued)
In 2017, the City entered into an agreement with Garden Grove Automotive, Inc (GGA) to acquire the site and continue to sell Kia automobiles. Subject to the contingency that GGA fulfills the covenants of the agreement and generate enough sales tax revenue during the fiscal year, the City has agreed to pay an amount equal to 35% of the sales tax revenue in excess of $150,000. The amount paid at June 30, 2021 was $86,599. 93

Required Supplemental
Information
Required
Supplemental
Information

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

Taxes 105,469,244 $ 105,469,244 $ 116,343,879 $ 10,874,635$ Licenses and permits 1,436,120 1,436,120 2,371,876 935,756 Fines, forfeits and penalties 1,873,606 1,873,606 2,120,682 247,076 Investment earnings 1,482,755 1,482,755 19,190 (1,463,565) Charges for current services 7,115,527 7,115,527 7,938,035 822,508 From other agencies 78,305 78,305 27,210,933 27,132,628 Other revenues 2,007,896 2,007,896 2,427,898 420,002 Total revenues 119,463,453 119,463,453 158,432,493 38,969,040 EXPENDITURES:

Current:

Fire 28,544,601 28,544,601 28,470,151 74,450 Police 67,615,858 67,758,452 65,733,881 2,024,571 Traffic safety 2,355,838 2,355,838 2,702,044 (346,206) Public right of way 5,897,254 5,897,254 4,741,813 1,155,441 Community buildings 3,635,676 3,635,676 3,163,726 471,950 Community services 4,493,146 4,493,146 3,867,459 625,687 Economic development 2,733,725 2,812,958 2,236,894 576,064 Parks and greenbelts 1,306,592 1,306,592 1,348,492 (41,900) Community planning and development 7,353,887 7,353,887 6,440,473 913,414 Municipal support 7,831,118 7,878,118 8,572,019 (693,901) Debt service:

Principal retirement 493,697 493,697 493,697 - Interest 1,111,907 1,111,907
1,111,907 -
Total expenditures 133,373,299 133,642,126 128,882,556 4,759,570 Excess (deficiency) of revenues
over (under) expenditures (13,909,846) (14,178,673) 29,549,937 43,728,610 OTHER FINANCING SOURCES (USES):

Transfers in 411,000 411,000 948,996 537,996 Transfers out - - (397,369) (397,369) Total other financing sources (uses) 411,000 411,000 551,627 140,627 Net change in fund balance (13,498,846) (13,767,673) 30,101,564 43,869,237 Fund balance, beginning of year 82,330,073 82,330,073 82,330,073 - Fund balance, end of year 68,831,227$ 68,562,400$ 112,431,637$ 43,869,237$

See accompanying note to required supplementary information.

CITY OF GARDEN GROVE

GENERAL FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
94

Measurement Period 2020 2019 2018

TOTAL PENSION LIABILITY
Service cost 5,053,242$ 5,475,558 $ 5,401,390 $ Interest on total pension liability 23,364,470 22,545,983 21,444,843 Changes of benefit terms 2,033,512 - - Changes of assumptions - - (1,737,101) Difference between expected and actual experience (1,623,742) 3,673,870 (4,057,535) Benefit payments, including refunds of employee contributions (17,321,101) (16,224,456) (14,088,814) Net change in total pension liability 11,506,381 15,470,955 6,962,783 Total pension liability - beginning 332,499,967 317,029,012 310,066,229 Total pension liability - ending (a) 344,006,348$ 332,499,967 $ 317,029,012 $

PLAN FIDUCIARY NET POSITION
Contribution - Employer 10,190,871 $ 9,162,242 $ 8,199,628 $ Contribution - Employee 2,282,163 2,158,717 2,429,785 Net investment income 11,708,962 14,721,760 17,695,861 Benefit payments, including refunds of employee contributions (17,321,101) (16,224,456) (14,088,814) Net Plan to Plan Resource Movement - (10,044) 36,458 Administrative Expense (331,053) (160,695) (330,147) Other Miscellaneous Income/(Expense) 1 - 522 (626,954) Net change in fiduciary net position 6,529,842 9,648,046 13,315,817 Plan fiduciary net position - beginning 2 234,830,478 225,182,432 211,866,615 Plan fiduciary net position - ending (b) 241,360,320$ 234,830,478 $ 225,182,432 $ Plan net pension liability - ending (a) - (b) 102,646,028$ 97,669,489 $ 91,846,580 $ Plan fiduciary net position as a percentage of the total pension liability 70.16% 70.63% 71.03% Covered payroll 3 28,436,925$ 30,347,270 $ 29,746,612 $ Plan net pension liability as a percentage of covered payroll 360.96% 321.84% 308.76% *Historical information is required only for measurement periods for which GASB 68 is applicable 1 2
3 Includes any beginning of year adjustment.

During Fiscal Year 2017-18, as a result of Governmental Accounting Standards Board Statement (GASB) No. 75, Accounting and Financial Reporting for Postemployment Benefit Plans other than Pensions (GASB 75), CalPERS reported its proportionate share of activity related to postemployment benefi ts for participation in the State of California's agent OPEB plan. Accordingl y, CalPERS recorded a one-time expense as a result of the adoption of GASB

75. Additionally, CalPERS employees participate in various State of California agent pension plans and during Fiscal Year 2017-18, CalPERS recorded a correction to previously reported financial statements to properly reflect its proportionate share of activity related to pensions in accordance w ith GASB Statement No. 68, Accounting and Financial Reporting for Pensions (GASB68).

AGENT MULTIPLE EMPLOYER DEFINED BENEFIT PENSION PLANS
THE LAST TEN FISCAL YEARS*
Miscellaneous

CITY OF GARDEN GROVE

REQUIRED SUPPLEMENTARY INFORMATION

SCHEDULE OF CHANGES IN THE NET PENSION LIABILITY AND RELATED RATIOS Includes one year's payroll growth using 2.75 percent payroll growth a ssumption for fiscal years ended June 30, 2018-19, 3.00 percent payroll growth assumption for fiscal years ended June 30, 2014-17.

Benefit Changes: The figures above include any liability impact th at may have resulted from voluntary benefit changes that occurred after the June 30, 2019 valuation. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the June 30, 2019 valuation date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.

Changes of Assumptions: None in 2019 or 2020. In 2018, demographic assumptions and inflation rate were changed in accordance to the CalPERS Experience Study and Review of Assumptions December 2017. There were no changes in the discount rate. In 2017, the discount rate was 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 administra tive 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.

Notes to Schedule of Changes in Net Pension Liability and Related Ratios:
95 Page 164 of 362
2017 2016 2015 2014
5,295,064$ 4,717,431 $ 4,505,053 $ 4,722,338 $ 20,965,466 20,513,676 19,499,703 18,697,528 - - - - 17,855,824 - (4,893,202) -
(5,244,453) 1,501,168 (1,007,886) -
(13,540,154) (12,581,087) (12,134,038) (11,490,804) 25,331,747 14,151,188 5,969,630 11,929,062 284,734,482 270,583,294 264,613,664 252,684,602 310,066,229$ 284,734,482 $ 270,583,294 $ 264,613,664 $ 7,579,342$ 6,646,792 $ 5,948,472 $ 5,101,581 $ 2,308,262 2,242,990 2,281,790 2,070,127 21,554,042 1,004,774 4,419,750 29,571,239 (13,540,154) (12,581,087) (12,134,038) (11,490,804) (64,848) (69,973) - - (286,986) (120,179) (221,880) - - - - - 17,549,658 (2,876,683) 294,094 25,252,143 194,316,867 197,193,550 196,899,456 171,647,313 211,866,525$ 194,316,867 $ 197,193,550 $ 196,899,456 $ 98,199,704$ 90,417,615 $ 73,389,744 $ 67,714,208 $

68.33% 68.24% 72.88% 74.41%
29,037,915$ 28,573,176$ 27,094,801$ 27,060,561$ 338.18% 316.44% 270.86% 250.23%
Miscellaneous
96

Measurement Period 2020 2019 2018

TOTAL PENSION LIABILITY
Service cost 8,470,387$ 9,117,082$ 8,706,648$ Interest on total pension liability 38,866,660 37,632,892 36,094,312 Changes of benefit terms 1,572,470 - - Changes of assumptions - - (2,221,006) Difference between expected and actual experience (691,163) 4,129,559 (961,074) Benefit payments, including refunds of employee contributions (31,097,422) (29,007,470) (26,226,816) Net change in total pension liability 17,120,932 21,872,063 15,392,064 Total pension liability - beginning 554,021,854 532,149,791 516,757,727 Total pension liability - ending (a) 571,142,786$ 554,021,854$ 532,149,791$

Contribution - Employer 15,875,859$ 15,698,349$ 14,147,727$ Contribution - Employee 2,639,127 2,644,271 2,873,704 Net investment income 17,702,544 22,658,615 27,492,574 Benefit payments, including refunds of employee contributions (31,097,422) (29,007,470) (26,226,816) Net Plan to Plan Resource Movement - 10,044 (37,788) Administrative Expense (507,220) (248,366) (516,231) Other Miscellaneous Income/(Expense) 1 - 808 (980,332) Net change in fiduciary net position 4,612,888 11,756,251 16,752,838 Plan fiduciary net position - beginning 2 359,792,765 348,036,514 331,283,676 Plan fiduciary net position - ending (b) 364,405,653$ 359,792,765 $ 348,036,514 $ Plan net pension liability - ending (a) - (b) 206,737,133$ 194,229,089 $ 184,113,277 $ Plan fiduciary net position as a percentage of the total pension liability 63.80% 64.94% 65.40% Covered payroll 3 27,964,303$ 29,663,516 $ 28,541,707 $ Plan net pension liability as a percentage of covered payroll 739.29% 654.77% 645.07% *Historical information is required only for measurement periods for which GASB 68 is applicable 1 2
3 Benefit Changes: The figures above include any liability impact that may have resulted from voluntary benefit changes that occurred after the June 30, 2019 valuation. Howe ver, offers of Two Years Additional Serv ice Credit (a.k.a. Go lden Handshakes) that occurred after the June 30, 2019 valuation date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.

Changes of Assumptions: None in 2019 or 2020. In 2018, demographic assumptions and inflat ion rate were changed in accordance to the CalPERS Experience Study and Review of Assumptions December 2017. There were no changes in the discount rate. In 2017, the discount rate was 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 fro m 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pensi on plan administra tive expense). In 2014, amounts repor ted were based on the 7.5 percent discount rate.

Safety
Includes any beginning of year adjustment.

Notes to Schedule of Changes in Net Pension Liability and Related Ratios:

During Fiscal Year 2017-18, as a result of Governmental Accounting Sta ndards Board Statement (GASB) No. 75, Accounting and Financial Reporting for Postemployment Benefit Plans Other than Pensions (GASB 75), CalPERS reported its proportionate share of activity related to postemployment benefits for participation in the State of California' s agent OPEB plan. Accordingly, CalPERS recorded a one-time expense as a result of the adoption of GASB 75.

Additionally, CalPERS employees participate in various State of California agent pension plans and during Fiscal Year 2017-18, CalPERS recorded a correction to previously reported financial statements to properly reflect its proportionate share of activity related to pensions in accordance w ith GASB Statement No. 68, Accounting and Financial Reporting for Pensions (GASB 68).

Includes one year's payroll growth using 2.75 percent payroll growth assumption for fiscal years ended June 30, 2018-19; 3.00 percent payroll growth assumption for fiscal years ended June 30, 2014-17.

CITY OF GARDEN GROVE

REQUIRED SUPPLEMENTARY INFORMATION

SCHEDULE OF CHANGES IN THE NET PENSION LIABILITY AND RELATED RATIOS

AGENT MULTIPLE EMPLOYER DEFINED BENEFIT PENSION PLANS
THE LAST TEN FISCAL YEARS*
97

2017 2016 2015 2014
8,648,153$ 7,378,575 $ 7,025,519 $ 7,433,857 $ 35,007,255 33,944,797 32,447,673 31,439,433 - - - - 29,556,856 - (4,660,010) -
(2,081,126) 2,203,036 (8,032,852) -
(24,371,140) (22,718,361) (21,846,674) (20,185,546) 46,759,998 20,808,047 4,933,656 18,687,744 469,997,729 449,189,682 444,256,026 425,568,282 516,757,727$ 469,997,729$ 449,189,682$ 444,256,026$ 13,302,274$ 11,468,654$ 10,155,643$ 9,427,732$ 2,823,680 2,915,098 2,611,738 2,439,710 33,837,324 1,532,436 6,960,883 47,553,580 (24,371,140) (22,718,361) (21,846,674) (20,185,546) - - - - (452,000) (190,840) (352,473) - - - - - 25,140,138 (6,993,013) (2,470,883) 39,235,476 306,143,539 313,136,552 315,607,435 276,371,959 331,283,677$ 306,143,539$ 313,136,552$ 315,607,435$ 185,474,050$ 163,854,190$ 136,053,130$ 128,648,591$

64.11% 65.14% 69.71% 71.04%
28,636,267$ 27,481,750$ 26,325,623$ 26,592,225$ 647.69% 596.23% 516.81% 483.78%
Safety
98

Schedule of Plan Contributions for the Fiscal Years Ended June 30 2021 2020 2019 2018
Actuarially determined contributions $ 11,167,273 $ 10,190,871 $ 9,153,245 $ 8,199,628 Contributions in relation to the
actuarially determined contributions (11,167,273) (10,190,871) (9,153,245) (8,199,628) Contribution deficiency (excess) $ - $ - $ - $ - Covered payroll $ 29,122,884 $ 28,436,925 $ 30,347,270 $ 29,746,612 Contributions as a percentage of
covered payroll 38.35% 35.84% 30.16% 27.56%
* Historical information is required only for measurement periods for which GASB 68 is applicable Notes to Schedule of Plan Contributions:

Valuation date:

Methods and assumptions used to determine contribution rates:

Actuarial cost method Entry age normal
Amortization method/period For details, s ee June 30, 2018 Funding Valuation Report.

Asset valuation method Fair value of assets. For details, see June 30, 2018 Funding Valuation Report.

Inflation
Salary Increases
Payroll growth
Investment rate of return
Retirement age
Mortality
Other information

CITY OF GARDEN GROVE
For changes to previous year's information, refer to past GASB 68 reports. 6/30/2018

2.50%
Varies by entry age and service

2.75%
Miscellaneous
The probabilities of retirement are based on the 2017 CalPERS Experience Study which are incorporated in the cu rrent valuation. The pre-retirement mortality non-industrial death rates vary by age and gender. Industrial death rates vary by age. The non-industrial death rates are used for all plans. The industrial death rates are used for safety plans. Miscellaneous plans usually have industrial death rates set to zero unless the agency has specifically contracted for industrial death benefi ts. The post-retirement mortality rates include 15 years of projected on-going mortality improvement using 90 percent of Scale MP 2016 published by the Society of Actuaries.

REQUIRED SUPPLEMENTARY INFORMATION

SCHEDULE OF CONTRIBUTIONS

AGENT MULTIPLE EMPLOYER DEFINED BENEFIT PENSION PLANS
THE LAST TEN FISCAL YEARS*
The probabilities of retirement are based on the 2017 CalPERS Experience Study which are incorporated in the current valuation.

7.00%, net of pension plan investment administrative expenses; includes inflation.
99

2017 2016 2015 2014
$ 7,579,342 $ 6,646,792 $ 5,948,472 $ 5,101,581 (7,579,342) (6,646,792) (5,948,472) (5,101,581) $- $ - $ - $ -
$ 29,037,915 $ 28,573,176 $ 27,094,801 $ 27,060,561

26.10% 23.26% 21.95% 18.85%
Miscellaneous
100

Schedule of Plan Contributions for the Fiscal Years Ended June 30 2021 2020 2019 2018
Actuarially determined contributions $ 17,489,949 $ 15,875,859 $ 15,691,168 $ 14,147,727 Contributions in relation to the
actuarially determined contributions (17,489,949) (15,875,859) (15,691,168) (14,147,727) Contribution deficiency (excess) $ - $ - $ - $ - Covered payroll $ 27,646,663 $ 27,964,303 $ 29,663,516 $ 28,541,707 Contributions as a percentage of
covered payroll 63.26% 56.77% 52.90% 49.57%
* Historical information is required only for measurement periods for which GASB 68 is applicable

Notes to Schedule:

Valuation date:

Methods and assumptions used to determine contribution rates:

Actuarial cost method Entry age normal
Amortization method/period For details, see June 30, 2018 Funding Valuation Report.

Asset valuation method
Inflation
Salary Increases
Payroll growth
Investment rate of return
Retirement age
Mortality
Other information

CITY OF GARDEN GROVE

REQUIRED SUPPLEMENTARY INFORMATION

SCHEDULE OF CONTRIBUTIONS

AGENT MULTIPLE EMPLOYER DEFINED BENEFIT PENSION PLANS
THE LAST TEN FISCAL YEARS*
For changes to previous year's information, refer to past GASB 68 reports. 6/30/2018

2.50%
Varies by entry age and service

2.75%
The probabilities of retirement are based on the 2017 CalPERS Experience Study which are incorporated in the current valuation. The pre-retirement mortality non- industrial death rates vary by age and gender. Industrial death rates vary by age.

The non-industrial death rates are used for all plans. The industrial death rates are used for safety plans. Miscellaneous plans usually have industrial death rates set to zero unless the agency has specifically contracted for industrial death benefits. The post-retirement mortality r ates include 15 years of projected on-going mortality improvement using 90 percent of Sca le MP 2016 published by the Society of Actuaries.

Safety
Fair value of assets. For details, see June 30, 2018 Funding Valuation Report.

7.00%, net of pension plan investment administrative expenses; includes inflation.

The probabilities of retirement are based on the 2017 CalPERS Experience Study which are incorporated in the current valuation.
101

2017 2016 2015 2014
$ 13,302,273 $ 11,468,654 $ 10,155,643 $ 9,427,732 (13,302,273) (11,468,654) (10,155,643) (9,427,732) $- $ - $ - $ - $ 28,636,267 $ 27,481,750 $ 26,325,623 $ 26,592,225

46.45% 41.73% 38.58% 35.45%
Safety
102

2020 2019 2018 2017

TOTAL OPEB LIABILITY
Service cost 1,831,165$ 627,266 $ 669,889 $ 651,960 $ Interest on Total OPEB Liability 1,596,249 695,181 695,599 610,096 Employer Contributions - (467,790) (420,642) - Expected Minus Actual Benefit Payments - 22,763 - - Experience (Gains)/Losses (94,837) (216,121) - - Changes in Assumptions 8,191,623 26,892,575 (922,346) - Benefit payments (2,036,122) - - (391,489) 9,488,078 27,553,874 22,500 870,567 45,756,997 18,203,123 18,180,623 17,310,056 55,245,075$ 45,756,997 $ 18,203,123 $ 18,180,623 $ Plan fiduciary net position as a percentage of the total OPEB liability 0.00% 0.00% 0.00% 0.00% 56,638,122 55,122,260 55,704,304 57,674,182 Net OPEB liability as a percentage of covered-employee payroll 97.54% 83.01% 32.68% 31.52% Notes to Schedule:

Net change in total OPEB liability
Total OPEB liability - beginning
Total OPEB liability - ending
Covered-employee payroll
*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.
** Liabilities reflect an impilcit rate subsidy for Pre-Medicare retirees. GASB 74 and 75 require use of claims costs or age-adjusted premiums approximating claims costs to determine the plan's liability. Adjusting premiums for age creates Implicit Subsidy and is reflected as part of the plan's liability.

Measurement Period

CITY OF GARDEN GROVE

REQUIRED SUPPLEMENTARY INFORMATION

SCHEDULE OF CHANGES IN THE TOTAL OPEB LIABILITY AND RELATED RATIOS for the Measurement Periods Ended June 30
THE LAST TEN FISCAL YEARS*
103

CITY OF GARDEN GROVE

NOTE TO REQUIRED SUPPLEMENTARY INFORMATION
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Under Article XIIIB of the California Constitution (the GANN Spendin g Limitation Initiative), the City is restricted as to the amount of annual appropriations, and if certain proceeds of taxes exceed allowed appropriations, the excess must be refunded to the taxpayers either through revised tax rates or revised fee schedules.

The City bud
get report is prepared unde r the direction of the City Mana ger in accordance with generally accepted accounting principles (GAAP) and the requirements of Municipal Code Section 2.08.150. Annual budgets are legally adopted for the general fund, special revenue funds, and capital projects funds. These funds are budgeted based on the modified accrual basis of accounting and include proposed expenditures and the means of financing them. The City Council approves the total budgeted appropriations and any amendments to total appropriations which may be required during the year. Revenues are budgeted by source, and expenditures are budgeted by program.

The le
gal level of budgetary control is considered to be at the fund level since mana gement can reassign resources within a fund without special approval from City Council. The City Manager is authorized to transfer budgeted amounts between departments within any fund; however, any revisions which alter the total appropriations of any fund must be approved by City Council.
104

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Other Supplemental
Information
Other
Supplemental
Information

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CITY OF GARDEN GROVE

SPECIAL REVENUE FUNDS
Public Safety Fund
Revenues received from the City's share of drug forfeit and seizure money, revenues received from the state under SB172, and various police grants are accounted for in this fund. These funds are used to help support the City's public safety operations.

State Gas Tax Fund
State gasoline taxes received by the City are acco unted for in this fund. Revenue received is used for street maintenance, construction, and/or right of way acquisition.

Developer Fees Fund
Traffic mitigation and developer fees used to alleviate traffic and sewer problems caused by new development, cultural art fees to be used for City cultural arts projects and programs, park fees which are to be used for park development, drainage fees which are to be used to alleviate City drainage problems are some of the fees that are accounted for in the fund.

Garden Grove Cable Fund
This fund represents a grant from a private cable corporation of 2% and its cable usage revenue.

Expenditures are for public, educational, and governmental access.

Street Lighting Fund
The purpose of this fund is to provide an accounting for the installation, operation, and maintenance of street lighting within the City. Revenues for this fund are received from property taxes collected by the County of Orange.

Park Maintenance
The purpose of this fund is to provide an accounting for the maintenance of parks within the City.

Revenues for this fund are received from property taxes collected by the County of Orange.

Main Street District Fund
This fund is used to account for the maintenance o f improvements on Main Street in downtown Garden Grove. Revenue for this fund are received from a property tax levy on the main street area.

Air Quality Improvement Fund
This fund is used to account for revenue received from the South Coast Air Quality Management District for the primary purpose of establishing a ride share program for City employees.

Other Grants and Contributions Fund
The City is the recipient of numerous other federal, state and county grants, plus contributions from other sources. These grants and contributions are accounted for in this fund. 105

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CITY OF GARDEN GROVE

SPECIAL REVENUE FUNDS (CONTINUED)
Garden Grove Tourism Improvement District
This fund is used to account for the tourism marketing efforts through the Anaheim/Orange County Visitors and Convention Bureau and other activities and improvements that promote tourism in the Garden Grove Tourism Improvement District area.

Street Rehabilitation Fund
This fund is used to account for revenues received and expenditures made for various street rehabilitation projects.

HOME Grant Special Revenue Fund
The HOME Grant special revenue fund is used to account for the revenues received and expenditures made for the housing assistance program, which is funded by the U.S. Department of Housing and Urban Development.

CAPITAL PROJECTS FUNDS
Major Fund:

Housing Successor Agency Fund
Capital projects for low and moderate income housing are accounted for in this fund.

Nonmajor Funds:

Housing Authority Assets Fund
Capital projects with the Civic Center area are accounted for in this fund.

Public Safety Fund
Capital projects with Public Safety are accounted for in this fund. 106

Public State Developer Garden Grove
Safety Gas Tax Fees Cable
ASSETS
Cash and investments 2,103,490$ 5,871,479$ 10,691,848$ 14,932$ Cash with fiscal agents - - - - Taxes receivable 156,561 590,522 - - Accounts receivable - 13,392 - 11,004 Interest receivable 9,070 24,722 46,099 - Deposits and prepaid items 234,708 - - 3,749 Intergovernmental receivable 162,734 - - - Notes receivable, net - - - - Total assets 2,666,563$ 6,500,115$ 10,737,947$ 29,685$

Liabilities:

Accounts payable 50,336$ 234,527$ 108,152$ 9,591$ Accrued liabilities - 201,450 31,071 4,707 Unearned revenue - - - - Due to other funds - 61,406 441 4,383 Total liabilities 50,336 497,383 139,664 18,681 Deferred Inflows of Resources:

Unavailable revenue - 274,633 - - Total deferred inflows - 274,633 - - Fund balances:

Non-Spendable:

Prepaid items 234,708 - - 3,749 Restricted:

Public safety 2,381,519 - - - Public right of way - 5,728,099 2,607,540 - Drainage -
- 128,954 -
Community planning and development - - 1,949,938 - - - 5,911,851 7,255 Unassigned - - - - Total fund balances 2,616,227 5,728,099 10,598,283 11,004 Total liabilities and fund balances 2,666,563$ 6,500,115$ 10,737,947$ 29,685$ Community services

LIABILITIES AND FUND BALANCES

CITY OF GARDEN GROVE

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Special Revenue Funds
107

Street Park Main Street Air Quality
Lighting Maintenance District Improvement
187,022$ 102,147$ 223,059$ 377,738$
- - - -
17,482 8,352 498 -
- - - -
806 440 962 1,629 - - - -
- - - 58,038 - - - -
205,310$ 110,939$ 224,519$ 437,405$
127,778$ 17,897$ 2,263$ 1,260$
2,833 4,848 - 1,469 - - - -
2,877 5,793 - 1,088 133,488 28,538 2,263 3,817 - - - -
- - - -
- - - -
- - - -
71,822 - 222,256 433,588 - - - -
- 82,401 -
-
- - - -
- - - -
71,822 82,401 222,256 433,588 205,310$ 110,939$ 224,519$ 437,405$
Special Revenue Funds
108

Other GG Tourism
Grants and Improvement Street
Contributions District Rehabilitation
ASSETS
Cash and investments 425,800$ 154,269$ 1,152,653$ Cash with fiscal agents - - - Taxes receivable - 160,074 - Accounts receivable 55,710 1,352 - Interest receivable 17,368 - 4,505 Deposits and prepaid items - - - Intergovernmental receivable 4,368,262 - 477,672 Notes receivable, net 3,086,804 - - Total assets 7,953,944$ 315,695$ 1,634,830$

Liabilities:

Accounts payable 753,594$ 182,755$ 344,886$ Accrued liabilities 122,280 - 126,319 Unearned revenue 155,492 - - Due to other funds 35,930 - 5,539 Total liabilities 1,067,296 182,755 476,744 Deferred Inflows of Resources:

Unavailable revenue 916,348 - - Total deferred inflows 916,348 - - Fund balances:

Non-Spendable:

Prepaid items - - - Restricted
Public safety 48,896 - - Public right of way 1,973,528 - 1,158,086 Drainage - - -
3,466,316 132,940 -
481,560 - -
Unassigned - - - Total fund balances 5,970,300 132,940
1,158,086
Total liabilities and fund balances 7,953,944$ 315,695$ 1,634,830$

CITY OF GARDEN GROVE
Special Revenue Funds

LIABILITIES AND FUND BALANCES
Community planning and development

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS (CONTINUED)
JUNE 30, 2021
Community services
109

Special Revenue
Fund Total
HOME Grant Housing Nonmajor
Special Revenue Successor Public Governmental
Fund Agency Safety Funds
-$ 698,636$ 69,962 $ 22,073,035$ - - 1,564,209 1,564,209 - - - 933,489 - 1,714 - 83,172 - 3,012 - 108,613 - - - 238,457 652,168 - - 5,718,874 17,170,677 1,849,235 - 22,106,716 17,822,845$ 2,552,597 $ 1,634,171 $ 52,826,565 $

61,265$ - $ - $ 1,894,304$ 2,214 - - 497,191 - - - 155,492 258,228 - - 375,685 321,707 - - 2,922,672 - - - 1,190,981 - - - 1,190,981 - - - 238,457 - - 1,634,171 4,064,586 - - - 12,194,919 - -
- 128,954
17,519,558 2,552,597 - 25,703,750 - - - 6,400,666 (18,420) - - (18,420) 17,501,138 2,552,597 1,634,171 48,712,912 17,822,845$ 2,552,597$ 1,634,171$ 52,826,565$ Capital Project Funds
110

Public State Developer Garden Grove
Safety Gas Tax Fees Cable
REVENUES:

Taxes 904,261$ - $ - $ - $ Licenses and permits - - 47,538 - Fines, forfeits and penalties 123,865 - - - Investment earnings (loss) 26,373 (11,633) 27,302 - Charges for current services - - 1,641,294 - From other agencies 559,933 6,784,428 - - Other revenues - 152,194 - 66,384 Total revenues 1,614,432 6,924,989 1,716,134 66,384 EXPENDITURES:

Current:

Fire - - - - Police 1,228,502 - - - Traffic safety - 345,772 41,562 - Public right of way - 6,514,289 49,187 - Community services - - 3,171 277,406 Economic development - - - - Parks and greenbelts - - 545,411 - Community planning and development - - 235,327 - Municipal support - - 3,353 - Total expenditures 1,228,502 6,860,061 878,011 277,406 Excess (deficiency) of revenues
over (under) expenditures 385,930 64,928
838,123 (211,022)
OTHER FINANCING SOURCES (USES):

Transfers in - - - 209,715 Transfers out - - - - Total other financing sources (uses) - - - 209,715 Net change in fund balances 385,930 64,928 838,123 (1,307) Fund balance (deficit), beginning of year 2,230,297 5,663,171 9,760,160 12,311 Fund balance (deficit), end of year 2,616,227$ 5,728,099$ 10,598,283$ 11,004$ Special Revenue Funds

CITY OF GARDEN GROVE

COMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
111

Street Park Main Street Air Quality
Lighting Maintenance District Improvement
- $ -$ -$ -$
- - - -
- - - -
(1,239) 1,455 270 653 1,356,413 707,117 26,667 -
- - - 228,252 1,512 - - -
1,356,686 708,572 26,937 228,905 - - - -
- - - -
1,492,942 - - -
- - 26,655 -
- - - -
- - - -
- 713,065 - -
- - - 4,782 19,114 - - 88,985 1,512,056 713,065 26,655 93,767 (155,370) (4,493) 282 135,138 174,590 13,064 - -
- - -
-
174,590 13,064 - -
19,220 8,571 282 135,138 52,602 73,830 221,974 298,450 71,822$ 82,401$ 222,256$ 433,588$ Special Revenue Funds
112

Other GG Tourism
Grants and Improvement Street
Contributions District Rehabilitation
REVENUES:

Taxes -$ 795,638$ - $
Licenses and permits - - - Fines, forfeits and penalties 614,273 - - Investment earnings (loss) 53,564 - (7,441) Charges for current services - - - From other agencies 9,051,424 - 2,863,835 Other revenues 20,600 - 62,827 Total revenues 9,739,861 795,638 2,919,221 EXPENDITURES:

Current:

Fire - - -
Police 1,070,047 - -
Traffic safety 411,558 - 2,901 Public right of way 3,396,388 - 2,815,133 Community services 680,816 - 10,303 Economic Development - 372,015 - Parks and greenbelts - - - Community planning and development 2,934,679 - - Municipal support - - - Total expenditures 8,493,488 372,015 2,828,337 Excess (deficiency) of revenues
over (under) expenditures 1,246,373 423,623 90,884 OTHER FINANCING SOURCES (USES):

Transfers in - - - Transfers out - (231,386) - Total other financing sources (uses) - (231,386) - Net change in fund balances 1,246,373 192,237 90,884 Fund balance (deficit), beginning of year 4,723,927 (59,297) 1,067,202 Fund balance (deficit), end of year 5,970,300$ 132,940$ 1,158,086$ CI

TY OF GARDEN GROVE

COMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS (CONTINUED)
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Special Revenue Funds
113

Special Revenue
Fund Total
Housing Nonmajor
Authority Public Governmental
HOME Grant Assets Safety Funds
-$ -$ -$ 1,699,899$ - - - 47,538 - - - 738,138 384,352 74,026 84 547,766 - - - 3,731,491 1,030,519 - - 20,518,391 - - - 303,517 1,414,871 74,026 84 27,586,740 - - - - - - - 2,298,549 - - - 2,294,735 - - - 12,801,652 - - - 971,696 - 346 - 372,361 - - - 1,258,476 745,983 - - 3,920,771 - - - 111,452 745,983 346 - 24,029,692 668,888 73,680 84 3,557,048 - - - 397,369 - - - (231,386) - - - 165,983 668,888 73,680 84 3,723,031 16,832,250 2,478,917 1,634,087 44,989,881 17,501,138$ 2,552,597$ 1,634,171$ 48,712,912$ Capital Project Funds
114

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

Taxes 675,000 $ 675,000 $ 904,261 $ 229,261 $ Licenses and permits 55,000 55,000 - (55,000) Fines, forfeits and penalties 38,000 38,000 123,865 85,865 Investment earnings 2,000 2,000 26,373 24,373 Charges for current services - - - - From other agencies 250,000 250,000 559,933 309,933 Other revenues - - - - Total revenues 1,020,000 1,020,000 1,614,432 594,432 EXPENDITURES:

Current:

Police 1,576,472 1,892,124 1,228,502 663,622 Total expenditures 1,576,472 1,892,124 1,228,502 663,622 Excess (deficiency) of revenues
over (under) expenditures (556,472) (872,124) 385,930 1,258,054 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (556,472) (872,124) 385,930 1,258,054 Fund balance, beginning of year 2,230,297 2,230,297 2,230,297 - Fund balance, end of year 1,673,825 $ 1,358,173 $ 2,616,227 $ 1,258,054 $

CITY OF GARDEN GROVE

PUBLIC SAFETY SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
115

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

Taxes - $ - $ - $ -$ Licenses and permits - - - - Fines, forfeits and penalties - - - - Investment earnings (loss) 72,000 72,000 (11,633) (83,633) Charges for current services - - - - From other agencies 7,134,732 7,134,732 6,784,428 (350,304) Other revenues - - 152,194 152,194 Total revenues 7,206,732 7,206,732 6,924,989 (281,743) EXPENDITURES:

Current:

Traffic safety 503,035 243,229 345,772 (102,543) Public right of way 10,747,261 11,007,067 6,514,289 4,492,778 Total expenditures 11,250,296 11,250,296 6,860,061 4,390,235 Excess (deficiency) of revenues
over (under) expenditures (4,043,564) (4,043,564) 64,928 4,108,492 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (4,043,564) (4,043,564) 64,928 4,108,492 Fund balance, beginning of year 5,663,171 5,663,171 5,663,171 - Fund balance, end of year 1,619,607$ 1,619,607$ 5,728,099$ 4,108,492$

CITY OF GARDEN GROVE

STATE GAS TAX SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
116

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

Taxes - $ - $ - $ - $ Licenses and permits 29,000 29,000 47,538 18,538 Fines, forfeits and penalties - - - - Investment earnings 42,000 42,000 27,302 (14,698) Charges for current services 319,000 319,000 1,641,294 1,322,294 From other agencies - - - - Other revenues - - - - Total revenues 390,000 390,000 1,716,134 1,326,134 EXPENDITURES:

Current:

Traffic safety 721,788 736,788 41,562 695,226 Public right of way 115,000 100,000 49,187 50,813 Community services 300,000 300,000 3,171 296,829 Parks and greenbelts 1,514,687 1,414,687 545,411 869,276 Community planning and development 731,119 831,119 235,327 595,792 Municipal support 3,528 3,528 3,353 175 Total expenditures 3,386,122 3,386,122 878,011 2,508,111 Excess (deficiency) of revenues
over (under) expenditures (2,996,122) (2,996,122) 838,123 3,834,245 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (2,996,122)
(2,996,122) 838,123 3,834,245
Fund balance, beginning of year 9,760,160 9,760,160 9,760,160 - Fund balance, end of year 6,764,038$ 6,764,038$ 10,598,283$ 3,834,245$

CITY OF GARDEN GROVE

DEVELOPER FEES SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
117

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

Other revenues 90,000$ 90,000$ 66,384$ (23,616)$ Total revenues 90,000 90,000 66,384 (23,616) EXPENDITURES:

Current:

Community services 487,565 487,565 277,406 210,159 Total expenditures 487,565 487,565 277,406 210,159 Excess (deficiency) of revenues
over (under) expenditures (397,565) (397,565) (211,022) 186,543 OTHER FINANCING SOURCES (USES):

Transfers in 209,715 209,715 209,715 - Transfers out - - - - Total other financing sources (uses) 209,715 209,715 209,715 - Net change in fund balance (187,850) (187,850) (1,307) 186,543 Fund balance, beginning of year 12,311 12,311 12,311 - Fund balance (deficit), end of year (175,539)$ (175,539)$ 11,004$ 186,543$

CITY OF GARDEN GROVE

GARDEN GROVE CABLE SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
118

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

Investment earnings - $ - $ (1,239)$ (1,239) $ Charges for current services 1,337,466 1,337,466 1,356,413 18,947 Other revenues - - 1,512 1,512 Total revenues 1,337,466 1,337,466 1,356,686 19,220 EXPENDITURES:

Current:

Traffic safety 1,313,965 1,313,965 1,492,942 (178,977) Municipal support 23,501 23,501 19,114 4,387 Total expenditures 1,337,466 1,337,466 1,512,056 (174,590) Excess (deficiency) of revenues
over (under) expenditures - - (155,370) (155,370) OTHER FINANCING SOURCES (USES):

Transfers in - - 174,590 174,590 Transfers out - - - - Total other financing sources (uses) - - 174,590 174,590 Net change in fund balance - - 19,220 19,220 Fund balance, beginning of year 52,602 52,602 52,602 - Fund balance, end of year 52,602 $ 52,602 $ 71,822 $ 19,220 $

CITY OF GARDEN GROVE

STREET LIGHTING SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
119

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

Investment earnings -$ -$ 1,455$ 1,455$ Charges for current services 706,740 706,740 707,117 377 Total revenues 706,740 706,740 708,572 1,832 EXPENDITURES:

Current:

Parks and greenbelts 700,000 700,000 713,065 (13,065) Total expenditures 700,000 700,000 713,065 (13,065) Excess (deficiency) of revenues
over (under) expenditures 6,740 6,740 (4,493) (11,233) OTHER FINANCING SOURCES (USES):

Transfers in - - 13,064 13,064 Transfers out - - - - Total other financing sources (uses) - - 13,064 13,064 Net change in fund balance 6,740 6,740 8,571 1,831 Fund balance, beginning of year 73,830 73,830 73,830 - Fund balance, end of year 80,570$ 80,570$ 82,401$ 1,831$

CITY OF GARDEN GROVE

PARK MAINTENANCE SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
120

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

Investment earnings -$ -$ 270$ 270$ Charges for current services 26,700 26,700 26,667 (33) Total revenues 26,700 26,700 26,937 237 EXPENDITURES:

Current:

Public right of way 143,140 143,140 26,655 116,485 Total expenditures 143,140 143,140 26,655 116,485 Excess (deficiency) of revenues
over (under) expenditures (116,440) (116,440) 282 116,722 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (116,440) (116,440) 282 116,722 Fund balance, beginning of year 221,974 221,974 221,974 - Fund balance, end of year 105,534$ 105,534$ 222,256$ 116,722$

CITY OF GARDEN GROVE

MAIN STREET DISTRICT SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
121

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

Investment earnings - $ - $ 653 $ 653 $ From other agencies 218,488 218,488 228,252 9,764 Total revenues 218,488 218,488 228,905 10,417 EXPENDITURES:

Current:

Community planning and development 163,870 163,870 4,782 159,088 Municipal support 258,437 258,437 88,985 169,452 Total expenditures 422,307 422,307 93,767 328,540 Excess (deficiency) of revenues
over (under) expenditures (203,819) (203,819) 135,138 338,957 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (203,819) (203,819) 135,138 338,957 Fund balance, beginning of year 298,450 298,450 298,450 - Fund balance, end of year 94,631 $ 94,631 $ 433,588 $ 338,957 $

CITY OF GARDEN GROVE

AIR QUALITY IMPROVEMENT SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
122

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

Fines, forfeits and penalties 700,000 $ 700,000 $ 614,273 $ (85,727) $ Investment earnings - - 53,564 53,564 From other agencies 5,216,428 5,216,428 9,051,424 3,834,996 Other revenues - - 20,600 20,600 Total revenues 5,916,428 5,916,428 9,739,861 3,823,433 EXPENDITURES:

Current:

Police 605,501 1,880,058 1,070,047 810,011 Traffic safety 573,330 573,330 411,558 161,772 Public right of way 5,544,524 5,994,524 3,396,388 2,598,136 Community services 515,547 540,547 680,816 (140,269) Community planning and development 4,582,385 9,311,054 2,934,679 6,376,375 Total expenditures 11,821,287 18,299,513 8,493,488 9,806,025 Excess (deficiency) of revenues
over (under) expenditures (5,904,859) (12,383,085) 1,246,373 13,629,458 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (5,904,859) (12,383,085) 1,246,373 13,629,458 Fund balance, beginning of year 4,723,927 4,723,927 4,723,927 - Fund balance (deficit), end of year (1,180,932) $ (7,659,158) $ 5,970,300 $ 13,629,458 $

CITY OF GARDEN GROVE

OTHER GRANTS AND CONTRIBUTIONS SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
123

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

Taxes 1,500,000 $ 1,500,000 $ 795,638 $ (704,362) $ Total revenues 1,500,000 1,500,000 795,638 (704,362) EXPENDITURES:

Current:

Economic development 1,089,000 1,089,000 372,015 716,985 Total expenditures 1,089,000 1,089,000 372,015 716,985 Excess (deficiency) of revenues
over (under) expenditures 411,000 411,000 423,623 12,623 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - (231,386) (231,386) Total other financing sources (uses) - - (231,386) (231,386) Net change in fund balance 411,000 411,000 192,237 (218,763) Fund balance (deficit), beginning of year (59,297) (59,297) (59,297) - Fund balance, end of year 351,703 $ 351,703 $ 132,940 $ (218,763) $

CITY OF GARDEN GROVE

GARDEN GROVE TOURISM IMPROVEMENT DISTRICT SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
124

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

Investment earnings (loss) - $ - $ (7,441)$ (7,441) $ From other agencies 2,385,000 2,385,000 2,863,835 478,835 Other revenues - - 62,827 62,827 Total revenues 2,385,000 2,385,000 2,919,221 534,221 EXPENDITURES:

Current:

Traffic safety 100,000 2,900 2,901 (1) Public right of way 2,238,668 2,733,768 2,815,133 (81,365) Community services 185,000 185,000 10,303 174,697 Total expenditures 2,523,668 2,921,668 2,828,337 93,331 Excess (deficiency) of revenues
over (under) expenditures (138,668) (536,668) 90,884 627,552 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (138,668) (536,668) 90,884 627,552 Fund balance, beginning of year 1,067,202 1,067,202 1,067,202 - Fund balance, end of year 928,534 $ 530,534 $ 1,158,086 $ 627,552 $

CITY OF GARDEN GROVE

STREET REHABILITATION SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
125

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

Investment earnings -$ -$ 384,352$ 384,352$ From other agencies 917,094 917,094 1,030,519 113,425 Total revenues 917,094 917,094 1,414,871 497,777 EXPENDITURES:

Current:

Community planning and development 3,755,028 3,755,028 745,983 3,009,045 Total expenditures 3,755,028 3,755,028 745,983 3,009,045 Excess (deficiency) of revenues
over (under) expenditures (2,837,934) (2,837,934) 668,888 3,506,822 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (2,837,934) (2,837,934) 668,888 3,506,822 Fund balance, beginning of year 16,832,250 16,832,250 16,832,250 - Fund balance, end of year 13,994,316$ 13,994,316$ 17,501,138$ 3,506,822$

CITY OF GARDEN GROVE

HOME GRANT SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
126

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

Investment earnings 110,120 $ 110,120 $ 225,656 $ 115,536 $ Other revenues - - 271,697 271,697 Total revenues 110,120 110,120 497,353 387,233 EXPENDITURES:

Current:

Community planning and development 361,652 361,652 226,393 135,259 Total expenditures 361,652 361,652 226,393 135,259 Excess (deficiency) of revenues
over (under) expenditures (251,532) (251,532) 270,960 522,492 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (251,532) (251,532) 270,960 522,492 Fund balance, beginning of year 20,491,921 20,491,921 20,491,921 - Fund balance, end of year 20,240,389 $ 20,240,389 $ 20,762,881 $ 522,492 $

CITY OF GARDEN GROVE

HOUSING SUCCESSOR AGENCY CAPITAL PROJECTS FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
127

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

Investment earnings -$ -$ 74,026$ 74,026$ Other revenues 37,000 37,000 - (37,000) Total revenues 37,000 37,000 74,026 37,026 EXPENDITURES:

Current:

Economic development 144,430 144,430 346 144,084 Total expenditures 144,430 144,430 346 144,084 Excess (deficiency) of revenues
over (under) expenditures (107,430) (107,430) 73,680 181,110 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (107,430) (107,430) 73,680 181,110 Fund balance, beginning of year 2,478,917 2,478,917 2,478,917 - Fund balance, end of year 2,371,487$ 2,371,487$ 2,552,597$ 181,110$

CITY OF GARDEN GROVE

HOUSING AUTHORITY ASSETS CAPITAL PROJECTS FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
128

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

Investment earnings -$ -$ 84$ 84$ Total revenues - - 84 84 EXPENDITURES:

Current:

Community buildings 1,550,000 1,550,000 - 1,550,000 Total expenditures 1,550,000 1,550,000 - 1,550,000 Excess (deficiency) of revenues
over (under) expenditures (1,550,000) (1,550,000) 84 1,550,084 OTHER FINANCING SOURCES (USES):

Transfers in - - - - Transfers out - - - - Total other financing sources (uses) - - - - Net change in fund balance (1,550,000) (1,550,000) 84 1,550,084 Fund balance, beginning of year 1,634,087 1,634,087 1,634,087 - Fund balance, end of year 84,087$ 84,087$ 1,634,171$ 1,550,084$

CITY OF GARDEN GROVE

PUBLIC SAFETY CAPITAL PROJECTS FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
129

CITY OF GARDEN GROVE

NONMAJOR ENTERPRISE FUNDS
Solid Waste Disposal Fund
The Solid Waste Disposal fund accounts for the operation of trash and solid waste collections and disposal services.

Golf Course Fund
The fund was established to account for operations of the Willowick Golf Course. 130

Solid Waste Golf Total Nonmajor
Disposal Course Enterprise Funds
ASSETS
Current Assets:

Cash and cash investments 11,583,245$ 546,407$ 12,129,652$ Taxes receivable 195,875 - 195,875 Accounts receivable 176,826 12,340 189,166 Interest receivable 49,942 899 50,841 Inventory - 7,671 7,671 Prepaid Items - 97,245 97,245 Total current assets 12,005,888 664,562 12,670,450 Noncurrent Assets:

Capital assets
Land - 3,132,711 3,132,711 Depreciable capital assets, net - 149,242 149,242 Total noncurrent assets - 3,281,953 3,281,953 Total assets 12,005,888 3,946,515 15,952,403

DEFERRED OUTFLOWS OF RESOURCES
OPEB related 226,648 - 226,648 Pension related 282,106 - 282,106 Total Deferred Outflows 508,754 - 508,754

LIABILITIES
Current Liabilities:

Accounts payable 72,301 169,818 242,119 Accrued liabilities 23,609 - 23,609 Refundable deposits 554,530 - 554,530 Due to other funds 21,750 - 21,750 Current portion of long term liabilities
Capital leases - 25,498 25,498 Total current liabilities 672,190 195,316 867,506 Noncurrent liabilities:

Capital leases - 83,116 83,116 Net pension liability 2,042,656 - 2,042,656 OPEB liabilitiy 422,796 - 422,796 Total noncurrent liabilities 2,465,452 83,116 2,548,568 Total liabilities 3,137,642 278,432 3,416,074

DEFERRED INFLOWS OF RESOURCES
OPEB related 6,854 - 6,854 Pension related 20,772 - 20,772 Total Deferred Inflows 27,626 - 27,626

NET POSITION
Net investment in capital assets - 3,173,339 3,322,581 Unrestricted 9,349,374 494,744 9,694,876 Total net position 9,349,374$ 3,668,083$ 13,017,457$

CITY OF GARDEN GROVE

COMBINING STATEMENT OF NET POSITION

NONMAJOR ENTERPRISE FUNDS
JUNE 30, 2021
131

Solid Waste Golf Total Nonmajor
Disposal Course Enterprise Funds

Operating revenues:

Charges for services -$ 1,836,535$ 1,836,535$ Solid waste disposal fees 2,620,353 - 2,620,353 Property assessments 495,569 - 495,569 Other 666,870 - 666,870 Total operating revenues 3,782,792 1,836,535 5,619,327

Operating expenses:

Salaries and benefits 1,267,800 - 1,267,800 Contractual services 1,132,600 - 1,132,600 Materials and supplies 7,081 - 7,081 Golf course operations - 1,578,407 1,578,407 Depreciation - 10,212 10,212 Total operating expenses 2,407,481 1,588,619 3,996,100

Operating income (loss) 1,375,311 247,916 1,623,227

Nonoperating revenues:

Investment income 55,757 5,475 61,232 Total nonoperating revenue 55,757 5,475 61,232 Change in net position 1,431,068 253,391 1,684,459 Total net position, beginning of year 7,918,306 3,414,692 11,332,998 Total net position, end of year 9,349,374$ 3,668,083$ 13,017,457$

CITY OF GARDEN GROVE

COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET POSITION

NONMAJOR ENTERPRISE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
132

Solid Waste Golf Total Nonmajor
Disposal Course Enterprise Funds

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 4,021,508$ 1,836,535$ 5,858,043$ Payments to suppliers (1,092,488) (1,518,445) (2,610,933) Payments to employees (880,255) - (880,255) Net cash provided (used) by operating
activities 2,048,765 318,090 2,366,855

CASH FLOWS FROM NON CAPITAL

FINANCING ACTIVITIES
Cash received from other funds 3,324 - 3,324 Net cash provided (used) by non capital
financing activities 3,324 - 3,324

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Purchases of capital assets - (31,725) (31,725) Payments on lease purchase agreement - (19,115) (19,115) Interest paid - (139) (139) Net cash (used) by capital and
related financing activities - (50,979) (50,979)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest earnings 153,285 3,200 156,485 Increase (decrease) in fair value of investments (109,652) 1,376 (108,276) Net cash provided by investing activities 43,633 4,576 48,209 Net increase (decrease) in cash and
cash equivalents 2,095,722 271,687 2,367,409 Cash and cash equivalents, beginning of year 9,487,523 274,720 9,762,243 Cash and cash equivalents, end of year 11,583,245$ 546,407$ 12,129,652$

Reconciliation of operating income (loss)
to net cash provided (used) by operating
activities:

Operating income (loss) 1,375,311$ 247,916$ 1,623,227$ Adjustments to reconcile operating
income (loss) to net cash provided (used)
by operating activities:

Depreciation expense - 10,212 10,212 Interest on capital debt - 139 139 Changes in assets and liabilities:
(Increase) decrease in taxes receivable (155,895) - (155,895) (Increase) decrease in accounts receivable 5,581 - 5,581 (Increase) decrease in inventory - 1,063 1,063 (Increase) decrease in prepaid expense - (45,832) (45,832) Increase (decrease) in accounts payable 47,193 136,615 183,808 Increase (decrease) in accrued liabilities (30,828) (32,023) (62,851) Increase (decrease) in refundable deposits 389,030 - 389,030
Increase (decrease) in OPEB liability and related
changes in deferred outflows and inflows of resources 35,450 - 35,450 Increase (decrease) in net pension liability and related changes in deferred outflows and inflows of resources 382,923 - 382,923 Total adjustments 673,454 70,174 743,628 Net cash provided (used) by operating
activities 2,048,765$ 318,090$ 2,366,855$ Non-cash capital and related financing activities
Issuance of capital lease 127,729$

CITY OF GARDEN GROVE

COMBINING STATEMENT OF CASH FLOWS

NONMAJOR ENTERPRISE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
133

CITY OF GARDEN GROVE

INTERNAL SERVICE FUNDS
Workers’ Compensation Fund
The City’s self-funded workers’ compensation program, which is accounted for in this fund, is financed by charges to all City departments based on number and classification of employees. Expenses include operating costs and all payments relating to injured employees.

Fleet Management Fund
The costs of operating and maintaining City owned vehicles and other gasoline-powered equipment are accounted for in this fund. The fund is financed by charges to the various City departments for actual cost plus a contributory sum for vehicles/equipment replacement. Actual costs include depreciation, maintenance and other factors necessary for the provision of the service.

Employee Benefits Fund
This fund encompasses all other employee benefits such as retirement contributions, health, dental, disability, life insurance, and sick leave, vacation, and other paid leaves. Revenues for this fund are derived from periodic char
ges to all departments based on the number of employees, length of service, and insurance coverage. Funds are used to pay actual expenses and to accrue existing liabilities.

Information Systems Fund
This fund encompasses the cost of operating and maintaining the City's computer system. The fund is financed by charges to the various City departments based on computer usage.

Warehouse Operations Fund
This fund is used to account for the provision of materials and supplies to the various City departments. Financing is provided by the user City departments by payment of costs of material and supplies plus an overhead charge.

Telephone System Fund
This fund accounts for the operation of the City’s telephone system. The financing comes from charges to the various City departments based on actual toll charges and the lease cost prorated on the number of instruments.

Risk Management Fund
This fund is used to account for the City’s self-insured liability program and for the purchase of various types of property and casualty insurance protection as required by the City. The funds are used to pay any liability losses, program operating costs, insurance premiums and insurance deductibles.

Revenues for this fund are generated from assessments made to all City departments for their pro-rata share of the total costs of the insurance administration program.

Communication Replacement Fund
This fund is used to account for both the operating and capital costs of the City’s communication system in relation to the county-wide 800MHZ backbone project. Funds are used to pay for the City’s backbone costs and the capital costs incurred to upgrade its communications equipment to integrate with the county-wide communications system. The financing comes from charges to the various City departments based on an allocation of actual costs. Actual costs include depreciation and maintenance. 134

Workers' Fleet Employee Information
Compensation Management Benefits Systems
ASSETS
Current Assets:

Cash and cash investments 39,830,008$ 39,898,284$ 16,672,978$ 6,406,626$ Accounts receivable, net - 7,468 44,118 - Interest receivable 171,508 172,026 72,879 27,623 Due from other funds 250,287 - 2,741,801 - Inventory - 54,731 - - Prepaid Items 140 138 - 88,432 Total current assets 40,251,943 40,132,647 19,531,776 6,522,681 Noncurrent Assets:

Intercity loans receivable - 2,002,530 - - Capital assets
Construction in progress - 561,575 - 16,401 Depreciable capital assets, net - 10,747,487 - 114,473 Total noncurrent assets - 13,311,592 - 130,874 Total assets 40,251,943 53,444,239 19,531,776 6,653,555

DEFERRED OUTFLOWS OF RESOURCES
OPEB related - 344,991 - 744,712 Pension related - 378,503 - 680,455 Total Deferred Outflows - 723,494 - 1,425,167

LIABILITIES
Current Liabilities:

Accounts payable - 59,750 1,202,223 50,974 Accrued liabilities 97,999 34,250 233,422 61,385 Interest payable - - - 19 Due to other funds 9,461 35,693 9,082 55,438 Current portion of long term liabilities
Capital leases - - - 63,416 Accrued compensated absences -
- 7,870,625 -
Claims payable 4,992,810 - - - Total current liabilities 5,100,270 129,693 9,315,352 231,232 Noncurrent liabilities:

Accrued compensated absences - - 243,422 - Claims payable 30,823,214 - - - Intercity loans payable - - - - Net pension liability - 2,740,649 - 4,927,009 OPEB liabilitiy - 643,531 - 1,389,184 Total noncurrent liabilities 30,823,214 3,384,180 243,422 6,316,193 Total liabilities 35,923,484 3,513,873 9,558,774 6,547,425

DEFERRED INFLOWS OF RESOURCES
OPEB related - 10,433 - 22,520 Pension related - 27,870 - 50,104 Total Deferred Inflows - 38,303 - 72,624

NET POSITION
Net investment in capital assets - 11,309,062 - 67,458 Unrestricted 4,328,459 39,306,495 9,973,002 1,391,215 Total net position 4,328,459$ 50,615,557$ 9,973,002$ 1,458,673$

CITY OF GARDEN GROVE

COMBINING STATEMENT OF NET POSITION

INTERNAL SERVICE FUNDS
JUNE 30, 2021
135

Warehouse Telephone Risk Communication
Operations System Management Replacement Total
581,770$ 1,830,787$ 11,694,463$ 1,173,245$ 118,088,161 - - - - 51,586 2,508 7,894 50,099 5,059 509,596 - - - - 2,992,088 375,104 - - - 429,835 30 7,528 4,794 - 101,062 959,412 1,846,209 11,749,356 1,178,304 122,172,328 - - 2,509,289 - 4,511,819 - - - - 577,976 - 62,028 - 1,904,573 12,828,561 - 62,028 2,509,289 1,904,573 17,918,356 959,412 1,908,237 14,258,645 3,082,877 140,090,684 - - - - 1,089,703 - - - - 1,058,958 - - - - 2,148,661 6,342 15,736 7,913 - 1,342,938 9,493 4,237 14,911 - 455,697 - - - -
19 9,895 3,998 14,009 - 137,576 - 49,623 - - 113,039 - - - - 7,870,625 - - 2,524,431 - 7,517,241 25,730 73,594 2,561,264 - 17,437,135 - - - - 243,422 - - 4,216,799 - 35,040,013 - - - 2,002,530 2,002,530 - - - - 7,667,658 - - - - 2,032,715 - - 4,216,799 2,002,530 46,986,338 25,730 73,594 6,778,063 2,002,530 64,423,473 - - - - 32,953 - - - - 77,974 - - - - 110,927 - 12,405 - 1,904,573 13,293,498 933,682 1,822,238 7,480,582 (824,226)
64,411,447
933,682$ 1,834,643$ 7,480,582$ 1,080,347$ 77,704,945$ 136

Workers' Fleet Employee Information
Compensation Management Benefits Systems

Operating revenues:

Charges for services 5,057,432$ 6,044,236$ 52,840,370$ 2,815,428$ Other 772 - - - Total operating revenues 5,058,204 6,044,236 52,840,370 2,815,428

Operating expenses:

Salaries and benefits 1,510,604 1,196,806 47,123,541 1,944,395 Contractual services 35,081 679,610 68,910 221,660 Liability claims 6,284,832 - 163,541 - Materials and supplies - 1,165,630 153,522 192,715 Depreciation - 1,320,443 - 99,813 Total operating expenses 7,830,517 4,362,489 47,509,514 2,458,583

Operating income (loss) (2,772,313) 1,681,747 5,330,856 356,845

Nonoperating revenues (expenses):

Investment income (703,234) 1,126,317 268,588 13,385 Gain (loss) on disposal of assets - 99,168 - (650,411) Interest expense - - - (1,173) Total nonoperating revenue
(expenses) (703,234) 1,225,485 268,588 (638,199) Income (loss) before
transfers and capital contributions (3,475,547) 2,907,232 5,599,444 (281,354) Capital contributions - 295,364 - - Transfers in - 47,132 - - Transfers out - - (717,610) - Change in net position (3,475,547) 3,249,728 4,881,834 (281,354)

Total net position, beginning of year 7,804,006 47,365,829 5,091,168 1,740,027
Total net position, end of year 4,328,459$ 50,615,557$ 9,973,002$ 1,458,673$

CITY OF GARDEN GROVE

COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET POSITION

INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
137

Warehouse Telephone Risk Communication
Operations System Management Replacement Total
339,635$ 343,709$ 1,555,680$ 600,000$ 69,596,490$ - - - - 772 339,635 343,709 1,555,680 600,000 69,597,262 323,306 154,562 566,603 - 52,819,817 32,553 196,610 451,261 352 1,686,037 - - 2,780,443 - 9,228,816 30,201 - 463 - 1,542,531 - 62,029 - 301,497 1,783,782 386,060 413,201 3,798,770 301,849 67,060,983

(46,425) (69,492) (2,243,090) 298,151 2,536,279

13,798 46,071 126,660 28,026 919,611 - - - - (551,243) - - - (27,965) (29,138) 13,798 46,071 126,660 61 339,230 (32,627) (23,421) (2,116,430) 298,212 2,875,509 - - - - 295,364 - - - - 47,132 - - -
- (717,610)
(32,627) (23,421) (2,116,430) 298,212 2,500,395 966,309 1,858,064 9,597,012 782,135 75,204,550 933,682$ 1,834,643$ 7,480,582$ 1,080,347$ 77,704,945$ 138

Workers' Fleet Employee Information
Compensation Management Benefits Systems

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from user departments 5,058,204$ 6,091,528$ 52,844,284$ 2,815,428$ Payments to suppliers (5,228,716) (2,056,860) - (476,850) Payments to employees (1,510,604) (1,263,121) (8,354,086) (2,139,831) Payments for employee benefits - - (39,088,335) - Net cash (used) provided by operating
activities (1,681,116) 2,771,547 5,401,863 198,747

CASH FLOWS FROM NON CAPITAL

FINANCING ACTIVITIES
Cash received from other funds 2,481,370 405,700 - 10,049 Cash paid to other funds - - (443,590) - Net cash (used) provided by non capital
financing activities 2,481,370 405,700 (443,590) 10,049

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Purchases of capital assets - (1,526,937) - (676,208) Proceeds from sale of capital assets - 160,564 - - Payments on lease purchase agreement - - - (62,645) Interest paid - - - (1,193) Net cash (used) by capital and
related financing activities - (1,366,373) - (740,046)

CASH FLOWS FROM INVESTING ACTIVITIES
Interest earnings 572,149 576,116 84,156 93,467 Increase (decrease) in fair value of investments (1,309,102) 378,175 111,553 (93,811) Net cash provided by investing activities (736,953) 954,291 195,709 (344) Net increase (decrease) in cash and
cash equivalents 63,301 2,765,165 5,153,982 (531,594) Cash and cash equivalents, beginning of year 39,766,707 37,133,119 11,518,996 6,938,220 Cash and cash equivalents, end of year 39,830,008$ 39,898,284$ 16,672,978$ 6,406,626$

Reconciliation of operating income (loss)
to net cash provided (used) by operating
activities:

Operating income (loss) (2,772,313)$ 1,681,747$ 5,330,856$ 356,845$ Adjustments to reconcile operating
income (income) to net cash (used) provided
by operating activities:

Depreciation expense - 1,320,443 - 99,813 Other nonoperating revenues (expenses) - 47,132 (717,610) - Changes in assets and liabilities:
(Increase) decrease in accounts receivable - 47,292 3,914 - (Increase) decrease in inventory - (15,799) - - (Increase) decrease in prepaid expense (140) 82,516 - 12,991 (Increase) decrease in deposits - - - 1,720 Increase (decrease) in accounts payable (450) (328,671) 523,984 (87,155) Increase (decrease) in compensated absences - - 297,315 - Increase (decrease) in accrued liabilities 56,290 3,202 (36,596) 9,969 Increase (decrease) in claims payable 1,035,497 - - - Increase (decrease) in OPEB liability and related
changes in deferred outflows and inflows of resources - 103,002 - 116,464 Increase (decrease) in net pension liability and related changes in deferred outflows and inflows of resources - (169,317) - (311,900) Total adjustments 1,091,197 1,089,800 71,007 (158,098) Net cash (used) provided by operating
activities (1,681,116)$ 2,771,547$ 5,401,863$ 198,747$

CITY OF GARDEN GROVE

COMBINING STATEMENT OF CASH FLOWS

INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
139

Warehouse Telephone Risk Communication
Operations System Management Replacement Total
339,635$ 343,709$ 1,555,680$ 600,000$ 69,648,468$ (14,160) (189,497) (3,239,115) (352) (11,205,550) (323,306) (154,562) (566,603) - (14,312,113) - - - - (39,088,335) 2,169 (350) (2,250,038) 599,648 5,042,470 1,374 502 46,038 - 2,945,033 - - - (400,506) (844,096) 1,374 502 46,038 (400,506) 2,100,937

- - - - (2,203,145) - - - - 160,564 - (49,623) - - (112,268) - - - (27,965) (29,158)

- (49,623) - (27,965) (2,184,007)

7,451 26,095 257,917 15,224 1,632,575 3,839 12,082 (135,440) 7,743 (1,024,961) 11,290 38,177 122,477 22,967 607,614 14,833 (11,294) (2,081,523) 194,144 5,567,014 566,937 1,842,081
13,775,986 979,101 112,521,147
581,770$ 1,830,787$ 11,694,463$ 1,173,245$ 118,088,161$

(46,425)$ (69,492)$ (2,243,090)$ 298,151$ 2,536,279$ - 62,029 - 301,497 1,783,782 - - - - (670,478) - - - - 51,206 41,907 - - - 26,108 (30) 1,255 13,613 - 110,205 - - - - 1,720 6,065 5,650 (11,267) - 108,156 - - - - 297,315 652 208 1,107 - 34,832 - - (10,401) - 1,025,096 - - - - 219,466 - - - - (481,217) 48,594 69,142 (6,948) 301,497 2,506,191 2,169$ (350)$ (2,250,038)$ 599,648$ 5,042,470$

140

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Statistical Section
Statistical
Section

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Financial Trends
Schedule I - Net Position by Component
Schedule II - Changes in Net Position
Schedule III - Balance of Governmental Funds
Schedule IV - Changes in Fund Balances of Governmental Funds Schedule V - General Government Major Tax Revenues by Source Revenue Capacity
Schedule VI - Assessed Value and Estimated Actual Value of Taxable Property Schedule VII - Property Tax Rates Direct and Overlapping Governments Schedule VIII - Principal Property Tax Payers
Schedule IX - Property Tax Levies and Collections
Debt Capacity
Schedule X - Ratios of Outstanding Debt by Type
Schedule XI - Ratios of General Bonded Debt Outstanding Schedule XII - Direct and Overlapping Bonds and Debt
Schedule XIII - Legal Debt Margin Information
Schedule XIV - Pledged-Revenue Coverage
Demographics and Economic Information
Schedule XV - Demographic and Economic Statistics
Schedule XVI - Principal Employers
Operating Information
Schedule XVII - Full-Time and Part-Time City Employees by Department Schedule XVIII - Operating Indicators by Function
Schedule XIX - Capital Assets Statistics by Function
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports for the relevant year.

The City implemented GASB 34 in FY 2002; the government-wide schedules include information beginning in that year.

The City implemented GASB 54 in FY 2011; the balance of governmental funds schedule include information beginning in that year.

The City implemented GASB 65 in FY 2013; as a result, effective FY 2013, the names of Schedule I and Schedule II are changed to "Net Position by Component" and "Changes in Net Position", respectively.

The City implemented GASB 68 in FY 2015; the government-wide schedules include information beginning in that year.

Provides service and infrastructure information to assist readers using the City's financial statement to understand how it relates to the services and activities performed by the City.

This part of the City of Garden Grove Comprehensive Annual Financial Report provides detailed information to better understand information presented within the Financial Statements, note
disclosures, and required supplementary information say about the City’s overall financial health.

Statistical Section
These schedules contain trend information to assist the reader understand and assess how the City’s financial position has changed over time.

These schedules contain information to help the reader assess the City’s most significant local revenue source, the property tax.

This information is intended to assist the user in understanding and assessing the affordability of the City's outstanding debt and the City's ability to issue additional debt.

This information assists the reader in understanding the socioeconomic environment within which the City's financial activities take place.
141

SCHEDULE I

CITY OF GARDEN GROVE

NET POSITION BY COMPONENT

LAST TEN FISCAL YEARS
(Accrual Basis of Accounting)
(In Thousands)
2012 2013 2014 2015
Governmental activities:

Net investment in
capital assets 643,306$ 643,095$ 644,220$ 642,786$ Restricted 29,975 22,114 22,150 17,848 Unrestricted 119,190 123,504 117,646 (83,857) Total governmental
activities net position 792,471$ 788,713$ 784,016$ 576,777$ Business-type activities:

Net investment in
capital assets 89,607$ 97,657$ 107,299$ 111,947$ Restricted - - - -
Unrestricted 36,861 39,457 44,291 29,703 Total business-type
activities net position 126,468$ 137,114$ 151,590$ 141,650$ Primary government:

Net investment in
capital assets 732,913$ 740,752$ 751,519$ 754,733$ Restricted 29,975 22,114 22,150 17,848 Unrestricted 156,051 162,961 161,937 (54,154) Total primary government
net position 918,939$ 925,827$ 935,606$ 718,427$ Source: Finance Department, City of Garden Grove
Fiscal Year
The City of Garden Grove implemented GASB 63 and GASB 65 for the fiscal year ended June 30, 2013, and GASB 68 for the fiscal year ended June 30, 2015. 142

Fiscal Year
2016 2017 2018 2019 2020 2021
641,661$ 631,964$ 622,932$ 621,163$ 619,138$ 617,316$ 21,967 24,613 65,456 69,820 72,470 75,669 (88,223) (86,633) (111,538) (104,976) (108,833) (94,620) 575,405$ 569,944$ 576,850$ 586,007$ 582,775$ 598,365$ 117,488$ 118,371$ 119,954$ 125,805$ 132,671$ 120,399$ - - - - - - 26,011 28,288 29,677 32,485 37,725 63,654 143,499$ 146,659$ 149,631$ 158,290$ 170,396$ 184,053$

759,149$ 750,335$ 742,886$ 746,968$ 751,809$ 737,715$ 21,967 24,613 65,456 69,820 72,470 75,669 (62,212) (58,345) (81,861) (72,491) (71,108) (30,966) 718,904$ 716,603$ 726,481$ 744,297$ 753,171$ 782,418$ 143

SCHEDULE II

CITY OF GARDEN GROVE

CHANGES IN NET POSITION

LAST TEN FISCAL YEARS
(Accrual Basis of Accounting)
(In Thousands)
2012 2013 2014 2015
Expenses:

Governmental activities:

Fire 19,497$ 20,273$ 20,876$ 21,939$
Police 44,751 45,467 49,289 50,837
Traffic safety 3,197 3,097 3,872 3,517 Public right of way 14,768 16,541 14,051 16,903 Drainage 1,417 1,426 1,284 1,445
Community buildings 4,961 4,596 4,504 4,973 Community services 4,430 4,452 4,679 4,797 Economic Development - - - 1,944 Parks and greenbelts 1,785 1,838 1,973 2,146 Community planning and development 10,945 7,938 8,491 7,837 Municipal support 6,443 6,344 7,112 7,609 Interest on long-term debt 3,783 1,815 1,305 862 Total governmental activities
expenses 115,977 113,787 117,436 124,809
Business-type activities:

Water 24,213 26,419 26,761 30,003
Sanitary District 7,672 8,641 7,092 8,128 Mobile home parks/RV park 565 - - - Housing authority 30,894 31,586 30,489 30,707 Golf course - - -
Total business-type activities expenses 63,344 66,646 64,342 68,838 Total primary government expenses 179,321 180,433 181,778 193,647 Program revenues:

Governmental activities:

Charges for services:

Fire 1,051 1,106 1,422 1,011
Police 3,321 3,486 3,169 3,019
Traffic safety 1,343 1,349 1,349 1,351 Public right of way 137 249 358 272 Drainage - - - - Community buildings - - - - Community services 856 851 859 986 Economic development - - - - Parks and greenbelts 1,346 1,319 1,282 1,264 Community planning and development 1,303 1,491 2,128 1,839 Municipal support 2,540 2,553 2,693 2,656 Operating grants and contributions 19,574 10,012 13,277 13,295 Capital grants and contributions 4,847 5,789 5,435 6,032 Total governmental activities program
revenues 36,318 28,205 31,972 31,725
Business-type activities:

Charges for services:

Water 34,318 33,738 35,186 33,145
Sanitary District 12,294 13,204 12,051 12,095 Mobile home parks 1 - - - Golf course - - - - Operating grants and contributions 30,662 30,582 30,656 30,726 Capital grants and contributions - - - - Total business-type activities program
revenues 77,275 77,524 77,893 75,966
Total primary government program
revenues 113,593 105,729 109,865 107,691
Net revenues (expenses):

Governmental activities (79,659) (85,582) (85,464) (93,084) Business-type activities 13,931 10,878 13,551 7,128 Total net revenues (expenses) (65,728)$ (74,704)$ (71,913)$ (85,956)$

Fiscal Year
144

2016 2017 2018 2019 2020 2021
20,700$ 23,934$ 27,428$ 27,053$ 32,910$ 29,810$ 47,309 53,783 64,245 62,965 76,176 78,689 3,001 4,425 5,088 5,214 5,734 5,947 16,917 18,456 18,952 19,108 17,499 18,389 1,453 1,438 1,561 1,464 1,396 1,547 4,691 4,998 5,096 4,552 4,802 4,958 4,606 5,184 5,677 5,684 6,268 5,250 2,333 4,271 3,099 3,235 2,950 2,595 1,957 1,861 5,628 2,367 2,190 2,161 5,633 6,989 9,590 8,235 9,352 10,521 6,151 8,434 8,721 10,812 9,914 9,360 1,962 1,212 1,133 1,049 1,112 1,083 116,713 134,985 156,218 151,738 170,303 170,310 26,982 31,109 35,410 34,062 37,937 36,220 8,095 8,709 9,671 9,554 9,509 8,984 - - - - - - 36,947 30,390 33,130 34,218 37,038 39,631 1,479 1,589
72,024 70,208 78,211 77,834 85,963 86,424 188,737 205,193 234,429 229,572 256,266 256,734 1,683 1,347 1,830 1,329 698 596 2,717 3,150 3,599 3,293 3,470 3,058 1,347 1,356 1,355 1,350 1,352 1,356 391 394 406 450 362 272 - - - - - - - 401 - 510 508 230 768 1,015 1,145 1,446 761 682 - 108 - - - - 1,226 1,265 834 678 776 754 2,320 2,031 3,605 4,360 3,275 4,252 3,109 3,555 3,730 3,646 3,256 3,456 15,819 14,868 14,771 21,660 22,125 49,746 3,569 497 2,329 3,739 3,036 1,906 32,949 29,987 33,604 42,461 39,619 66,308 29,158 32,130 35,595 36,966 38,575 42,246 12,339 12,939 12,837 14,002 14,413 13,959 - - - - - - - - - - 1,243 1,837 31,730 31,379 31,461 34,417 37,376 41,155 - - - - - - 73,227 76,448 79,893 85,385 91,607 99,197 106,176 106,435 113,497 127,846 131,226 165,505 (83,764) (104,998) (122,614) (109,277) (130,684) (104,002) 1,203 6,240 1,682 7,551 5,644 12,773 (82,561)$ (98,758)$ (120,932)$ (101,726)$ (125,040)$ (91,229)$ (Continued)
Fiscal Year
145

SCHEDULE II

CITY OF GARDEN GROVE
CHANGES IN NET POSITION (Continued)

LAST TEN FISCAL YEARS
(Accrual Basis of Accounting)
(In Thousands)
2012 2013 2014 2015
General revenues and other changes in net position:

Governmental activities:

Taxes:

Sales taxes 18,461$ 19,805$ 20,285$ 19,251$
Property taxes 43,920 35,145 35,286 36,972 Transient occupancy taxes 12,320 14,448 16,443 17,217 Other taxes 7,297 7,316 7,438 7,761 Motor vehicle taxes, levied
for general purposes 87 90 75 72 Investment income 760 1,757 1,945 2,005 Other general revenues 651 1,210 297 534 Gain/(Loss) on sale of capital assets (18,941) 1 - (1,002) 5 3 Transfers 20,373 3 - - (7) Capital Contribution - 2,309 4 - - Special Item - - - - Total governmental activities 84,928 82,080 80,767 83,808 Business-type activities:

Investment income 334 437 715 523 Gain/(Loss) on sale of capital assets - - 41 169 Other general revenues 95 - 169 29 Discontinued operations (2,918) 2 - - - Transfers (20,373) 3 - - 7 Total business-type activities (22,862) 437 925 728 Total primary government 62,066 82,517 81,692 84,536 Changes in net position
Governmental activities 5,269 (3,502) (4,697) (9,276) Business-type activities (8,931) 11,315 14,476 7,856 Total primary government (3,662)$ 7,813$ 9,779$ (1,420)$ 1 2
3 4
5 FY12-13: The $2.3 million capital contribution was related to the transfer of land from the Successor Agency Trust fund to the General fund.

FY13-14: The $1.0 million loss in governmental activities represents a one-time loss due to the
disposal of land.

Source: Finance Department, City of Garden Grove
The City of Garden Grove implemented GASB 63 and GASB 65 for the fiscal year ended June 30, 2013.

Fiscal Year
FY11-12: The $18.9 million loss in governmental activities represents a one-time loss as a result of the dissolution of Redevelopment Agency in 2012.

FY11-12: The $2.9 million loss in business-type activities represents a one-time loss due to the transfer of the remaining net position of RV Park enterprise fund to the Successor Agency Trust fund.

FY11-12: The $20.4 million was primarily related to the $19.6 million transfer from the Mobile Home Park enterprise fund to the General fund as a result of the discontinuance of operations of the Mobile Home Park fund.
146

2016 2017 2018 2019 2020 2021
22,052$ 21,793$ 20,737$ 24,612$ 43,122$ 49,305$ 40,574 42,113 47,033 49,356 50,765 55,004 20,897 25,121 25,983 26,285 18,277 7,136 8,214 8,314 8,660 8,350 8,010 5,866 71 79 93 85 139 128 3,344 1,337 1,870 7,666 9,067 1,739 7,270 488 622 766 1,672 233 2,774 - - - - - - 292 581 1,000 50 178 - - - - - - - - 30,058 - - - 105,196 99,537 135,637 118,120 131,102 119,589 428 142 410 1,917 2,658 253 59 - - - - - 159 182 208 191 204 810 - - - - - - - (292) (581) (1,000) (50) (178) 646 32 37 1,108 2,812 885 105,842 99,569 135,674 119,228 133,914 120,474 21,432 (5,461) 13,023 8,843 418 15,589 1,849 6,272 1,719 8,659 8,456 13,657 23,281$ 811$ 14,742 17,502 8,874$ 29,246$ Fiscal Year
147

SCHEDULE III

CITY OF GARDEN GROVE

BALANCE OF GOVERNMENTAL FUNDS

THE LAST TEN FISCAL YEARS
(Modified Accrual Basis of Accounting)
(In Thousands)
2012 2013 2014 2015
General fund:

Reserved -$ -$ -$ -$
Non-Spendable:

Agency reimbursement agreement - - - - COP reimbursement agreement - - - - Intercity loan 13,375 13,375 13,375 13,375 Land held for resale - - - - Prepaid items - - - - Deposits - - - - Restricted:

Public safety - - - - Public right of way - - - - Community services - - - - Community planning and development - - - - Municipal support - - - - Pension Trust - - - - Committed:

Post-Employment Benefits - - - - Community planning and development - - - - Stability reserve - - - - Assigned:

Post-Employment Benefits 1,000 1,000 1,000 1,000 Garden Grove tourism improvement 53 139 231 231 Property tax lawsuit 500 500 500 500 Building improvements 1,300 1,300 1,300 1,300 General Plan 113 132 223 273 Paramedic Tax - - - - Other purposes - - - - Unreserved - - - - Unassigned 18,444 16,016 16,217 16,330 Total general fund 34,785$ 32,462$ 32,846$ 33,009$ All other governmental funds:

Reserved -$ -$ -$ -$
Non-Spendable:

Intercity loan - - - - Land held for resale - - - - Prepaid items - - - - Deposits - - - - Restricted:

Fire - - - -
Police 2,680 2,793 2,814 1,754 Public right of way 11,783 8,433 3,665 5,358 Drainage 354 453 569 647 Community services 207 650 - 180 Community planning and development 12,185 12,200 12,695 10,385 Municipal support 229 242 304 - Committed:

Community planning and development - - - - Assigned:

Post-Employment Benefits - - - - Property tax lawsuit - - - - Building improvements - - - - Other purposes - - - - Unreserved, reported in:

Special revenue funds - - - - Debt service funds - - - - Capital projects funds - - - - Unassigned (3,055) (67) (551) (755) Total all other governmental funds 24,383$ 24,704$ 19,496$ 17,569$ Source: Finance Department, City of Garden Grove
The City of Garden Grove implemented GASB 54 for the fiscal year ended June 30, 2011.

Fiscal Year
148

2016 2017 2018 2019 2020 2021
-$ -$ -$ -$ -$ -$ - - - - - - - - - - - - 13,375 13,414 13,456 12,793 12,102 8,873 - - - - 2,300 2,300 13 10 17 21 40 90 - - - - - - - 103 84 90 90 90 - - - - - - - 161 166 177 177 177 - 7 2,764 3,469 4,039 4,039 - 15 35 57 57 48 - - - - 662 1,635 - - - - - - - - - - - - - - - - 22,500 22,500 1,000 1,000 1,000 1,000 1,000 1,000 314 404 - - - - 500 500 500 500 500 - 1,300 1,300 1,300 1,300 1,300 1,300 239 325 301 262 357 428 - - 617 - - - - - - - - - - - - - - - 18,331 22,629 29,428 47,448 37,206 69,951 35,072$ 39,868$ 49,668$ 67,117$ 82,330$ 112,431$ -$ -$ -$ -$ -$ -$ - - - - - - - - - - - 519 - - - - 195 238 - - - - - - - - - - - - 9,260 9,521 5,336 3,210 4,103 4,064 7,639 8,434 9,021 11,502 10,355 12,195 754 529 412 273 76 129 196 945 2,370 4,505 5,841 6,401 16,712 18,080 48,376 48,098 44,971 45,947 755 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - (4) 466 - (40) (59) (18) 35,312$ 37,975$ 65,515$ 67,548$ 65,482$ 69,475$ Fiscal Year
149

SCHEDULE IV

CITY OF GARDEN GROVE

CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS

LAST TEN FISCAL YEARS
(Modified Accrual Basis of Accounting)
(In Thousands)
2012 2013 2014
Revenues:

Taxes 82,531$ 77,231$ 80,010$
Licenses and permits 946 1,128 1,405 Fines, forfeitures and penalties 2,673 2,960 2,755 Investment earnings 1,560 1,800 1,780 Charges for current services 10,401 10,084 10,267 From other agencies 15,617 13,324 12,857 Other revenues 1,612 3,332 1,991
Total revenues 115,340 109,859 111,065
Expenditures
Current:

Fire 19,996 20,447 20,143
Police 45,558 45,478 47,027
Traffic safety 2,894 2,595 3,105
Public right of way 5,880 5,730 5,662 Drainage - - -
Community buildings 3,519 3,082 3,086 Community services 4,449 4,453 4,562 Economic development - - - Parks and greenbelts 1,883 1,927 2,019 Community planning and
development 10,871 7,761 8,156
Municipal support 8,805 6,797 7,215 Capital outlay 15,569 10,366 14,956
Debt service:

Principal retirement 4,434 1,939 2,036 Interest 3,226 1,383 1,280
Total expenditures 127,084 111,958 119,247
Excess (deficiency) of revenues
over (under) expenditures (11,744) (2,099) (8,182) Other financing sources (uses):

Transfers in 78,846 1,239 3,232
Transfers out (57,373) (1,139) (1,181)
Issuance of debt - - -
Proceeds of debt 1,856 - -
Gain/(Loss) on sale of capital
assets - - 1,307
Contribution to Housing
Authority - - -
Extraordinary Gain/(Loss) (98,139) - - Payment to bond escrow agent - - - Total other financing
sources (uses) (74,810) 100 3,358
Special Item
Net change in fund balances (86,554)$ (1,999)$ (4,824)$ Debt service as a percentage of
noncapital expenditures 6.9% 3.3% 3.2%
Source: Finance Department, City of Garden Grove
Fiscal Year
150

2015 2016 2017 2018 2019 2020 2021
81,823$ 92,268$ 98,042$ 103,090$ 114,078$ 119,853$ 118,044$ 1,139 1,554 1,687 2,005 2,645 2,647 2,419 2,629 2,222 2,622 3,134 2,850 3,157 2,859 1,546 1,285 1,275 1,846 4,344 6,402 793 9,528 9,943 10,041 11,945 15,122 11,180 11,670 15,945 15,991 11,640 12,047 13,599 17,884 47,729 2,079 11,071 3,847 4,193 3,940 4,386 3,003 114,689 134,334 129,154 138,260 156,578 165,509 186,517 21,672 23,195 23,707 25,067 24,483 27,975 28,470 49,389 51,942 53,168 56,128 56,282 64,770 68,032 3,102 2,959 4,215 3,925 4,282 4,471 4,997 6,886 7,515 7,257 7,197 7,107 7,155 17,543 - - - 66 - - - 3,408 3,317 3,185 3,421 3,007 2,781 3,164 4,793 5,470 4,852 4,687 4,855 5,333 4,839 1,944 2,333 2,757 3,099 3,212 2,950 2,609 2,247 2,217 1,939 2,325 2,300 2,057 2,607

7,359 7,229 6,497 7,982 7,124 8,130 10,588 7,600 8,012 7,903 7,626 9,353 8,467 8,684 9,032 7,371 6,754 10,938 13,635 14,021 - 1,937 2,097 3,342 573 580 495 494 1,199 939 1,184 1,087 1,064 1,137 1,112 120,568 124,596 126,760 134,121 137,284 149,742 153,139 (5,879) 9,738 2,394 4,139 19,294 15,767 33,378 7,761 11,783 1,396 2,826 1,403 4,380 1,346 (3,558) (11,683) (1,296) (1,253) (1,303) (7,357) (629) - 25,962 - - - - - - - - - - - - 22 1,735 4,965 - - 874 - - - - - - - - - - - - - - - - (17,462) - - - - - 4,225 10,335 5,065 1,573 100 (2,103) 717 30,029 -
(1,654)$ 20,073$ 7,459$ 35,741$ 19,394$ 13,664$ 34,095$

2.8% 2.6% 3.8% 1.3% 1.3% 1.2% 1.0%

Fiscal Year
151

Business Transient Motor
Fiscal Sales Property Franchise Operation Occupancy Vehicle Year Tax Tax Tax Tax Tax Tax Total
2012 18,461,031 19,519,146 2,540,297 4,756,384 12,319,744 86,882 57,683,484 2013 19,804,727 35,145,142 2,506,722 4,809,344 14,447,817 90,025 76,803,777 2014 20,285,111 35,286,424 2,483,878 4,953,958 16,442,817 74,506 79,526,694 2015 19,251,431 36,972,309 2,532,706 5,228,239 17,216,510 71,970 81,273,165

2016 22,051,778 40,574,176 2,577,292 5,636,389 20,897,283 70,518 91,807,436 2017 21,792,872 42,113,373 2,532,462 5,781,098 25,121,419 79,429 97,420,653 2018 20,736,558 47,032,917 2,408,395 6,251,994 25,982,696 92,789 102,505,349 2019 29,371,450 49,355,823 2,404,867 5,945,451 26,285,461 84,911 113,447,963 2020 43,122,113 50,764,849 2,414,897 5,595,421 18,277,467 138,627 120,313,374 2021 49,305,114 55,004,385 2,331,476 3,534,201 7,136,525 128,205 117,439,906 Source: Finance Department, City of Garden Grove

SCHEDULE V

CITY OF GAR

DEN GROVE

GENERAL GOVERNMENT MAJOR TAX REVENUES BY SOURCE

LAST TEN FISCAL YEARS
152

City Successor Agency
Fiscal Year Taxable Taxable Total
Ended Assessed Assessed Direct Tax
June 30 Secured Unsecured Value Secured 1 Unsecured 1 Value 1 Rate 2012 9,492,746 303,025 9,795,771 2,689,600 299,937 2,989,537 1.064% 2013 9,580,743 303,685 9,884,428 2,720,784 271,370 2,992,154 1.074% 2014 9,933,103 308,944 10,242,047 2,785,756 295,259 3,081,015 1.140% 2015 10,538,784 356,435 10,895,219 2,897,658 328,394 3,226,052 1.145% 2016 10,568,876 234,280 10,803,156 3,070,910 317,449 3,388,359 1.151% 2017 12,226,724 364,776 12,591,500 3,579,711 363,489 3,943,200 1.150% 2018 12,873,943 335,785 13,209,728 3,797,471 366,576 4,164,047 1.189% 2019 12,373,687 263,636 12,637,323 3,801,697 361,772 4,163,469 1.183% 2020 13,000,870 232,485 13,233,355 3,913,862 391,616 4,305,478 1.184% 2021 14,167,631 252,597 14,420,228 4,270,427 468,777 4,739,204 1.185% 1 The Redevelopment Agency was dissolved in February 2012.

The Successor Agency was created to close out the Redevelopment Agency.

Source: Orange County Assessor's Office/HdL Coren & Cone

NOTE:

In 1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based 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 increase of 2%). With few exceptions, property is only re-assessed at the time that it is sold to a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold. 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.

SCHEDULE VI

CITY OF GARDEN GROVE

ASSESSED VALUE AND ESTIMATED ACTUAL VALUES OF TAXABLE PROPERTY

LAST TEN FISCAL YEARS
(In Thousands)
153

Metropolitan Sanitation
Fiscal Basic City Water Orange and School
Year Levy Paramedic District County Water Services Other Total 2012 1.0000 0.06000 0.00370 - - - - 1.06370 2013 1.0000 0.07000 0.00350 - - - - 1.07350 2014 1.0000 0.07000 0.00350 - - 0.06602 - 1.13952 2015 1.0000 0.07000 0.00350 - - 0.07163 - 1.14513 2016 1.0000 0.07000 0.00350 - - 0.07748 - 1.15098 2017 1.0000 0.07000 0.00350 - - 0.07603 - 1.14953 2018 1.0000 0.08000 0.00350 - - 0.10599 - 1.18949 2019 1.0000 0.08000 0.00350 - - 0.09900 - 1.18250 2020 1.0000 0.08000 0.00350 - - 0.10022 - 1.18372 2021 1.0000 0.08000 0.00350 - - 0.10137 - 1.18487 Section 135.

Source: Orange County Tax Rates Book
Property tax in California is levied in accordance with Article 13A of the State Constitution at $1 per $100 county-wide assessed valuations plus other voter approved debt. Rates shown above are $100 of assessed valuation. The one percent is allocated pursuant to State law to the appropriate units of local government.

SCHEDULE VII

CITY OF GARDEN GROVE

PROPERTY TAX RATES

DIRECT AND OVERLAPPING GOVERNMENTS

LAST TEN FISCAL YEARS
Assessed values are expressed as 100% of "full value" as prescribed by California Revenue and Taxation Code 154

Percent of Percent of
Total City Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Value Value Value
GWGG LLC 256,394,726$ 1.33%
Investel Harbor Resorts LLC 142,058,665 0.74%
Landmark Hotel LLC 121,631,974 0.63%
Rexford Industrial Realty LP 77,236,603 0.40%
House Foods Holding USA INC 69,150,035 0.36%
SPS Technologies LLC 58,046,162 0.30%
New Age Brookhurst LLC 55,689,178 0.29%
Park Grove Fee Owner LLC 53,832,817 0.28%
Khanna Enterprises Limited 53,244,513 0.28%
Chatham Rigg LLC 51,168,493 0.27%
American Lodging 54,800,000 0.43%
Landmark Marriott Suites 96,860,894 0.76%
KPA Rigg 52,394,920 0.41%
Newage Garden Grove 41,442,933 0.27%
Car Noa GGT 35,146,857 0.32%
Ohi Resort Hotels 40,259,564 0.31%
Walton CWCA Garden Grove 53,972,579 0.42%
Swedlow Inc. 25,091,618 0.20%
MPT of Garden Grove Hospital 24,940,743 0.19%
CRP-2 Monarch 24,421,981 0.19%
938,453,166$ 4.88% 449,332,089$ 3.50%
Source: Hdl Coren & Cone The City of Garden Grove Top Ten Property Taxpayers

SCHEDULE VIII

CITY OF GA

RDEN GROVE

PRICIPAL PROPERTY TAX PAYERS

CURRENT YEAR AND TEN YEARS AGO
2021 2011
155

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City Percent Ratio of Ratio of
Tax of Total Tax Delinquent
Rate Total Current Current Delinquent Total Collections Outstanding Taxes Fiscal (Per Tax Tax Taxes Tax Tax to Total Delinquent to Total Year $100) Levied Collections Collected Collections Collections Tax Levy Taxes Tax Levy 2012 0.0030 17,792,829 16,539,285 93.0 277,560 16,816,846 94.5 333,343 1.9% 2013 0.0030 19,080,983 18,555,697 97.2 339,959 18,895,656 99.0 264,446 1.4% 2014 0.0030 20,112,895 19,256,287 95.7 281,184 19,537,471 97.1 231,857 1.2% 2015 0.0025 21,411,687 20,704,013 96.7 237,945 20,941,958 97.8 230,751 1.1% 2016 0.0025 22,611,366 21,721,987 96.1 213,997 21,935,984 97.0 517,198 2.3% 2017 0.0025 23,155,878 22,914,391 99.0 206,984 23,121,375 99.9 326,133 1.4% 2018 0.0025 26,376,092 25,752,153 97.6 174,164 25,926,316 98.3 134,739 0.5% 2019 0.0025 26,866,637 26,606,288 99.0 202,200 26,808,488 99.8 176,785 0.7% 2020 0.0025 28,019,537 27,164,413 96.9 567,147 27,731,560 99.0 248,420 0.9% 2021 0.0025 30,281,268 26,169,198 86.4 3,616,591 29,785,789 98.4 197,557 0.7% Source: Orange County Property Tax Ledger
Finance Department, City of Garden Grove

SCHEDULE IX

CITY OF GARDEN GROVE

PROPERTY TAX LEVIES AND COLLECTIONS

LAST TEN FISCAL YEARS
In implementing Article XIIIa of the State Constitution, the Revenue and Taxation Code provides for a single Basic Tax Rate Levy for County/City/School/Special Districts and other rates necessary to retire bonded and other indebtedness. 156

Fiscal Year Certificates Lease Tax Total
Ended of Participation Revenue RDA 2008 Allocation Capital Governmental June 30 2002 1 Bonds 2 Bonds 3
Bonds 4 Loans 5 6 Leases 7
Activities
2012 18,970,000 - - - 7,380,266 2,134,919 28,485,185 2013 18,410,000 - - - 6,345,613 1,371,910 26,127,523 2014 17,830,000 - - - 5,276,879 817,516 23,924,395 2015 17,210,000 - - - 4,128,913 812,176 22,151,089 2016 - 25,568,492 - - 2,895,399 546,422 29,010,313 2017 - 25,104,126 - - 69,826 622,676 25,796,628 2018 - 24,624,760 - - 23,732 589,293 25,237,785 2019 - 24,120,394 - - - 373,317 24,493,711 2020 - 23,601,028 - - - 229,928 23,830,956 2021 - 23,056,662 - - - 113,963 23,170,625 1 2
3 4
5 6
7 8
9 10
11 Source: Finance Department, City of Garden Grove
The City entered into various capital leases for energy retrofitting, mail machines, copiers, and telephones.

The City issued $16,625,000 Water Revenue Bond in 2010.

The City issued $21,845,000 Sewer COP in 2006; and refunded the 2006 Sewer COPs in 2017. 1993 COP was issued to finance acquisition of real property by the Garden Grove Housing Authority.

These ratios are calculated using personal income and population for the prior calendar year.

The City refunded the 2002 COP in 2015 with the 2015A Lease Revenue Bonds and upsized with additional issuance of approximately $8,500,000.

The former Redevelopment Agency entered into a subordinate note purchase agreement in the amount of $2,015,000 in June 2008 to refund a note issued to Katella Cottages. After dissolution, this liability is the responsibility of the State of California. Since dissolution in February 2012, the RDA 2008 Bonds (above) no longer report the Katella Cottages Loan.

The City refunded the $52,325,000 tax allocation bonds in 2003.

The former Redevelopment Agency borrowed $32,000,000 from Union Bank in 2008. After dissolution this liability is the responsibility of the State of California. Since dissolution in February 2012, Loans (above) no longer report the Union Bank loan.

The Housing Authority refunded the $9,010,000 HUD Section 108 loan, of which $7,660,000 borrowed from HUD in 2008 was paid off in fiscal year 2015-2016.

SCHEDULE X

CITY OF GARDEN GROVE

RATIOS OF OUTSTANDING DEBT BY TYPE

LAST TEN FISCAL YEARS
Governmental Activities
157

Water Sewer Total Total Percentage Debt
Revenue Revenue Certificates of Business-type Primary of Personal Per Bonds 8 COP 9 Participation 10
Activities Government Income 11 Capita 11
27,390,000 20,470,000 - 47,860,000 76,345,185 0.17% 442 26,826,738 20,298,745 - 47,125,483 73,253,006 0.16% 423 25,382,945 19,769,567 - 45,152,512 69,076,907 0.15% 397 23,884,150 19,220,388 - 43,104,538 65,255,627 0.13% 373 20,775,000 18,365,000 - 39,140,000 68,150,313 0.14% 384 19,571,107 16,740,627 - 36,311,734 62,108,362 0.12% 352 18,039,382 16,148,171 - 34,187,553 59,425,338 0.11% 336 16,381,152 15,535,716 - 31,916,868 56,410,579 0.10% 322 14,667,922 14,908,260 - 29,576,182 53,407,138 0.09% 306 29,697,566 14,406,843 - 44,104,409 67,275,034 0.11% 390 Business-type Activities
158

SCHEDULE XI

CITY OF GARDEN GROVE
Fiscal Year Lease Tax Percent of
Ended Certificates of Revenue Allocation Assessed Per
June 30 Participation Bonds Bonds Total Value 1 Capita
2012 18,970 - - 18,970 0.15% 110 2013 18,410 - - 18,410 0.14% 106 2014 17,830 - - 17,830 0.13% 102 2015 17,210 - - 17,210 0.12% 98 2016 - 25,568 - 25,568 0.18% 144 2017 - 25,104 - 25,104 0.15% 142 2018 - 24,625 - 24,625 0.14% 139 2019 - 24,120 - 24,120 0.14% 138 2020 - 23,601 - 23,601 0.13% 135 2021 - 23,057 - 23,057 0.12% 134

Source: Finance Department, City of Garden Grove
1 Assessed value has been used because the actual value of taxable property is not readily available in the State of California.

RATIOS OF GENERAL BONDED DEBT OUTSTANDING

LAST TEN FISCAL YEARS
(In Thousands, except Per Capita)
Outstanding General Bonded Debt
General bonded debt is debt payable with governmental fund resources and general obligation bonds recorded in enterprise funds (of which, the City has none).
159

SCHEDULE XII

CITY OF GARDEN GROVE
2020-21 Assessed Valuation: 18,531,828,327$
Total Debt City's Share of
OVERLAPPING TAX AND ASSESSMENT DEBT: 6/30/2021 % Applicable (1) Debt 6/30/21 Metropolitan Water District 26,830,000 0.567 152,126 Coast Community College District 886,289,825 6.241 55,313,348 North Orange County Joint Community College District 245,604,001 2.270 5,575,211 Rancho Santiago Community College District 215,876,119 6.459 13,943,439 Rancho Santiago Community College District School Facilities Improvement District 159,970,000 11.091 17,742,273 Garden Grove Unified School District 463,236,550 58.149 269,367,421 Orange Unified School District 177,865,000 1.197 2,129,044 Anaheim Union High School District 266,058,955 0.076 202,205 Huntington Beach Union High School District 174,584,998 1.295 2,260,876 Anaheim School District 265,326,416 0.094 249,407 Magnolia School District 20,183,305 0.220 44,403 Westminster School District 112,382,723 7.388 8,302,836 TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT 375,282,589
DIRECT AND OVERLAPPING GENERAL FUND DEBT:

Orange County General Fund Obligations 381,885,000 2.827 10,795,889 Orange County Pension Obligation Bonds 485,318,204 2.827 13,719,946 Orange County Board of Education General Fund Obligations 12,310,000 2.827 348,004 North Orange Regional Occupation Program Certificates of Participation 8,590,000 0.027 2,319 Coast Community College District General Fund Obligations 2,240,000 6.241 139,798 Coast Community College District Pension Obligation Bonds 2,280,000 6.241 142,295 Orange Unified School District Certificates of Participation 63,055,000 1.197 754,768 Orange Unified School District Benefit Obligations 21,191,594 1.197 253,663 Anaheim Union High School District Certificates of Participation 31,605,000 0.076 24,020 Huntington Beach Union High School District Certificates of Participation 61,411,090 1.295 795,274 Magnolia School District General Fund Obligations 13,490,397 0.220 29,679 Westminster School District Certificates of Participation 31,175,000 7.388 2,303,209 City of Garden Grove General Fund Obligations 21,770,000 100.000 21,770,000 TOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT 51,078,864 OVERLAPPING TAX INCREMENT DEBT (Successor Agencies): 59,350,000 2.172 - 100.000 56,855,386 TOTAL DIRECT DEBT 21,770,000
TOTAL OVERLAPPING DEBT 461,446,839
COMBINED TOTAL DEBT 483,216,839 (2)
(1) The percentage of overlapping debt applicable to the city is estimated using taxable assessed property value. Applicable percentages were estimated by determining the portion of the overlapping district's assessed value that is within the boundaries of the city divided by the district's total taxable assessed value. (2) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations. Qualified Zone Academy Bonds are included based on principal due at maturity.

Ratios to 2020-21 Assessed Valuation:

Total Overlapping Tax and Assessment Debt 2.03%
1 Total Direct Debt
21,770,000

0.12%
2 Combined Total Debt 2.61%
Ratios to Redevelopment Successor Agencies Incremental Valuation 4,169,628,220 Total Overlapping Tax Increment Debt 1.36%

AB:($500)

Source: California Municipal Statistics, Inc. / MuniServices, LLC

CITY OF GARDEN GROVE

DIRECT AND OVERLAPPING BONDS AND DEBT
JUNE 30, 2021
160

SCHEDULE XIII

CITY OF GARDEN GROVE

LEGAL DEBT MARGIN INFORMATION

LAST TEN FISCAL YEARS
Fiscal Year
2012 2013 1 2014 1 2015
Assessed valuation 9,795,771$ 9,884,428$ 10,242,047$ 10,895,219$ Conversion percentage 25% 25% 25% 25%
Adjusted assessed valuation 2,448,943 2,471,107 2,560,512 2,723,805 Debt limit percentage 15% 15% 15% 15%
Debt limit 367,341 370,666 384,077 408,571 Total net debt applicable to limit:

General obligation bonds - - - - Legal debt margin 367,341$ 370,666$ 384,077$ 408,571$ Total debt applicable to the limit
as a percentage of debt limit 0.0% 0.0% 0.0% 0.0%
1 Source: Finance Department, City of Garden Grove
Orange County Tax Assessor's Office
The Government Code of the State of California provides for a legal debt limit of 15% of gross assessed valuation.

However, this provision was enacted when assessed valuation was based upon 25% of market value. Effective with the 1981-82 fiscal year, each parcel is now assessed at 100% of market value (as of the most recent change in ownership for that parcel). The computations shown above reflect a conversion of assessed valuation data for each fiscal year from the current full valuation perspective to the 25% level that was in effect at the time that the legal debt margin was enacted by the State of California for local governments located within the state. 161

Fiscal Year
2016 2017 2018 2019 2020 2021
10,803,156$ 12,591,500$ 13,209,728$ 12,637,323$ 13,233,355$ 14,420,228$ 25% 25% 25% 25% 25% 25%
2,700,789 3,147,875 3,302,432 3,159,331 3,308,339 3,605,057 15% 15% 15% 15% 15% 15%
405,118 472,181 495,365 473,900 496,251 540,759 - - - - - - 405,118$ 472,181$ 495,365$ 473,900$ 496,251$ 540,759$

0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
162

Resources
Fiscal Gross Available for
Year Revenue Expenses 1 Debt Service Principal Interest Total Coverage 2012 34,492,870 21,413,634 13,079,236 1,280,000 1,383,464 2,663,464 4.91 2013 33,933,081 22,848,625 11,084,456 1,320,000 1,340,727 2,660,727 4.17 2014 35,721,417 22,876,255 12,845,162 1,375,000 1,286,725 2,661,725 4.83 2015 33,573,575 25,146,241 8,427,334 1,430,000 1,225,677 2,655,677 3.17 2016 29,519,804 25,781,906 3,737,898 1,490,000 1,165,202 2,655,202 1.41

2017 32,345,481 26,404,580 5,940,901 1,515,000 861,491 2,376,491 2.50 2018 35,946,867 30,301,866 5,645,001 1,570,000 817,465 2,387,465 2.36 2019 37,832,009 28,891,265 8,940,744 1,600,000 775,290 2,375,290 3.76 2020 39,490,046 31,574,927 7,915,119 1,655,000 724,740 2,379,740 3.33 2021 40,621,520 31,439,166 9,182,354 1,705,000 899,621 2,604,621 3.53 Source: Finance Department, City of Garden Grove
1 2
Debt Service Requirement

SCHEDULE XIV

CITY OF GARDEN GROVE

PLEDGED-REVENUE COVERAGE

LAST TEN FISCAL YEARS
Water Revenue Bonds
In FY 16/17 the City refunded 2006 Sewer COP with the issuance of the Garden Grove Sanity District, Revenue Refunding bonds, Series 2017.

The City entered into a sewer revenue bond agreement on April 1, 2006; the first year's interest was prorated from bond commencement. The debt amortization started in FY09-10 with an annual principal repayment on June 15.

Total operating expense less depreciation and amortization. 163

Resources
Fiscal Gross Available for
Year Revenue Expenses Debt Service Principal 2 Interest 2 Total Coverage 2012 9,293,119 3,555,210 5,737,909 475,000 987,341 1,462,341 3.92 2013 10,302,890 3,645,873 6,657,017 495,000 968,341 1,463,341 4.55 2014 10,361,393 3,264,411 7,096,982 515,000 948,541 1,463,541 4.85 2015 10,242,532 3,814,961 6,427,571 535,000 927,941 1,462,941 4.39 2016 10,521,214 3,880,996 6,640,218 560,000 906,541 1,466,541 4.53

2017 10,356,150 4,424,966 5,931,184 580,000 884,141 1,464,141 4.05 2018 10,641,504 5,009,287 5,632,217 520,000 676,575 1,196,575 4.71 2019 11,951,932 5,152,423 6,799,509 540,000 660,975 1,200,975 5.66 2020 12,673,629 4,993,491 7,680,138 555,000 639,375 1,194,375 6.43 2021 10,868,065 4,113,918 6,754,147 590,000 611,625 1,201,625 5.62 (Continued)
Sewer Revenue Bond
Debt Service Requirement
164

SCHEDULE XIV

CITY OF GARDEN GROVE
PLEDGED-REVENUE COVERAGE (Continued)

LAST TEN FISCAL YEARS
Fiscal Tax
Year Increment 1 Principal Interest Total Coverage
2012 7,198,257 1,945,000 2,402,238 4,347,238 1.66 2013 20,003,696 2,020,000 2,320,413 4,340,413 4.61 2014 20,205,156 2,105,000 2,232,756 4,337,756 4.66 2015 20,526,084 2,195,000 2,130,406 4,325,406 4.75 2016 15,837,862 2,360,000 1,526,300 3,886,300 4.08 2017 18,484,197 2,430,000 1,454,450 3,884,450 4.76 2018 17,693,119 2,505,000 1,380,425 3,885,425 4.55 2019 17,445,206 2,380,000 1,295,250 3,675,250 4.75 2020 18,868,786 2,685,000 1,193,950 3,878,950 4.86 2021 11,170,386 2,795,000 1,084,350 3,879,350 2.88 Source: Finance Department, City of Garden Grove

2014 Tax Allocation Refunding Bonds
Debt Service Requirement
1 Due to the dissolution of the Redevelopment Agency in February 2012, the Tax Increment i
s now deposited in the City of Garden Grove RPTTF project area. 165

SCHEDULE XIV

CITY OF GARDEN GROVE
PLEDGED-REVENUE COVERAGE (Continued)

LAST TEN FISCAL YEARS
Fiscal Tax
Year Increment 1 Principal Interest Total Coverage
2011 -
2012 -
2013 -
2014 -
2015 -
2016 -
2017 18,484,197 1,716,504 1,716,504 10.77
2018 17,693,119 1,652,250 1,652,250 10.71
2019 17,445,206 1,652,250 1,652,250 10.56
2020 18,868,786 1,652,250 1,652,250 11.42
2021 11,170,386 1,900,000 1,614,250 3,514,250 3.18 Source: Finance Department, City of Garden Grove

2016 Tax Allocation Bonds
Debt Service Requirement
1 Due to the dissolution of the Redevelopment Agency in February 2012, the Tax Increment i
s now deposited in the City of Garden Grove RPTTF project area. 166

Per
Personal Capita
Fiscal Income Personal Unemployment
Year Population (in thousands) Income Rate
2012 172,648 4,371,270 25,581 9.6%
2013 173,075 4,696,862 27,205 7.8%
2014 173,953 4,747,258 27,429 6.5%
2015 174,774 4,924,023 28,307 4.2%
2016 177,303 4,999,605 28,606 4.4%
2017 176,277 5,087,579 28,694 4.8%
2018 176,896 5,243,712 29,747 3.4%
2019 175,155 5,490,131 31,344 3.3%
2020 174,801 5,763,401 32,971 14.9%
2021 172,476 5,972,287 34,627 7.7%
Source: State Employment Development Department
California Department of Finance
Center for Demographic Research / Fullerton.edu / Ycharts.com

SCHEDULE XV

CITY OF GARDEN GROVE

DEMOGRAPHIC AND ECONOMIC STATISTICS

LAST TEN CALENDAR YEARS
167

SCHEDULE XVI

CITY OF GARDEN GROVE

PRINCIPAL EMPLOYERS

CURRENT YEAR AND TEN YEARS AGO
Percent of Percent of
Number of Total Number of Total
Employer Employees Employment Employees Employment
Great Wolf Lodge Southern California 700 0.82%
Air Industries Company 625 0.73% 465 0.63%
Garden Grove Hospital Medical Center 516 0.60%
Hyatt Regency Orange County 424 0.50% 350 0.47%
GKN Aerospace Transparency Systems Inc 409 0.48% 331 0.44% Safran Cabin Inc 350 0.41%
Costco #126 323 0.38%
Full Clip 310 0.36%
Walmart #4171 272 0.32%
Lutheran Social Services of Southern CA 250 0.29%
Saint Gobain Performance Plastics 363 0.49%
Prime Healthcare Services 516 0.69%
Driessen Aircraft Interior Systems 370 0.50%
Office Max Inc. 360 0.48%
Crystal Cathedral 290 0.39%
C&D Zodiac 286 0.38%
NBTY Acquisition, LLC 298 0.40%

Total employment as used above represents the total employment of all employers located within City limits.

Source: Business Tax Division, City of Garden Grove
2021 2011
168

Department 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 City Manager 9 9 9 9 10 29 29 30 35 33 Community Development 65 58 58 58 53 37 37 35 37 37 Community Services 159 156 157 151 147 146 153 157 116 106 Economic Development 13 - - - - - - - - - Finance 37 39 40 40 41 38 38 37 36 33 Fire 110 107 109 111 111 106 106 103 - * - Information Technology 20 20 19 19 19 20 20 20 20 18 Personnel 10 9 9 9 10 11 11 12 12 11 Police 302 275 268 273 272 289 293 263 282 281 Public Works 199 194 195 194 196 198 198 186 184 176 Total 924 867 864 864 859 874 885 843 722 695 Full time employees 676 621 623 633 632 640 641 642 560 538 Part time employees 248 246 241 231 227 234 244 201 162 157 Source: Budget Division, City of Garden Grove
* On August 16, 2019 Garden Grove Fire Department transitioned to the Orange County Fire Authority (OCFA).

SCHEDULE XVII

CITY OF GARDEN GROVE

FULL-TIME AND PART-TIME CITY EMPLOYEES

BY DEPARTMENT

LAST TEN FISCAL YEARS
169

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Police:

Arrests Report 6,651 6,774 6,423 6,478 5,468 6,358 7,476 6,112 5,436 4,439 Traffic citations issued 11,393 13,815 10,903 9,604 9,890 9,114 11,114 8,598 7,403 3,921 Fire:

Number of emergency calls 25,586 26,739 26,785 26,785 14,627 15,134 15,297 15,142 13,092 * 13,557 Public Right-of-Way:

Parking citations issued 24,590 24,571 25,919 28,017 25,500 27,127 33,797 34,508 28,430 45,931 Permits issued 314 406 501 605 546 482 566 563 560 700
Community Services:

Number of recreation classes 1,540 1,987 2,016 2,416 1,918 1,947 1,701 2,057 1,932 977 Housing vouchers 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337 2,337 Community Planning and Development
Building permits issued 2,036 2,427 2,808 2,041 2,259 2,233 3,066 3,986 3,954 4,723 Water:

Number of accounts 33,751 34,206 33,807 33,834 33,870 33,892 33,893 33,911 34,054 34,150 Average daily consumption 21,480 21,324 22,024 20,391 17,563 17,946 20,249 18,298 18,038 18,669 (thousands of gallons)
Solid Waste Disposal:

Number of accounts 33,424 33,886 34,136 33,658 33,968 33,966 33,786 33,700 33,542 33,213 Drainage:

Channels cleaned (miles) 5 5 5 5 5 5 5 5 5 5
Municipal Support:

Passports issued 1 624 673 507 247 N/A N/A N/A N/A N/A N/A Source: City of Garden Grove
1 Passport services discontinued as of July 1, 2015.
* On August 16, 2019 Garden Grove Fire Department transitioned to the Orange County Fire Authority (OCFA).

SCHEDULE XVIII

CITY OF GARDEN GROVE

OPERATING INDICATORS

BY FUNCTION

LAST TEN FISCAL YEARS
170

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Police:

Stations 1 1 1 1 1 1 1 1 1 1 Fire:

Fire stations 7 7 7 7 7 7 7 7 7 * 7 * Public Right-of-Way:

Streets (miles) 305 305 305 305 305 305 305 305 305 305 Community Services:

Parks 16 16 16 16 19 19 20 19 19 19 Park acreage 142 142 142 142 137 137 140 124 124 124 Community centers 2 2 2 2 2 2 2 9 9 9 Water:

Water mains (miles) 433 433 433 433 433 433 433 433 433 433 Number of connections 33,751 34,206 34,257 34,294 34,313 34,336 34,347 34,380 34,459 34,447 Sewage Collection:

Sanitary sewers (miles) 320 320 320 320 320 320 320 320 320 320 Drainage:

Storm drains (miles) 35 35 35 35 35 35 35 35 35 35 Source: City of Garden Grove

* On August 16, 2019 Garden Grove Fire Department transitioned to the Orange County Fire Authority (OCFA). However, the City retains the ownership of the Fire stations and OCFA leases for $1 per year for each facility.

SCHEDULE XIX

CITY OF GARDEN GROVE

CAPITAL ASSETS STATISTICS

BY FUNCTION

LAST TEN FISCAL YEARS
171

INDEPENDENT ACCOUNTANT’S REPORT

The Honorable Mayor and City Council
City of Garden Grove, California

We have performed the procedures enumerated below on the City of Garden Grove, California (City) appropriations limit worksheets for compliance with the requirements of Section 1.5 of Article XIIIB of the California Constitution for the year ended June 30, 2021.

The City is responsible for compliance with Section 1.5 of Article XIIIB of the California Constitution.

The City has agreed to and acknowledged that these procedures are appropriate to meet the intended purpose of evaluating compliance with the requirements of Section 1.5 of Article XIIIB of the California Constitution and the League of California Citi es publication entitled Article XIIIB Appropriations Limitation Uniform Guidelines for the year ended June 30, 2021. This report may not be suitable for any other purpose. The procedures performed may not address all the items of inte rest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes.

The procedures and the associated findings are as follows:

1. We obtained the worksheets referred to above and compared the limit and annual adjustment factors included in those worksheets to the limit and annual adjustment factors that were adopted by resolution of the City Council. We also compared the population and inflation options included in the aforementioned worksheets to those that were selected by a recorded vote.

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

2. We recalculated the mathematical computations reflected in the City’s worksheets.

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

3. We compared the current year information used to determin e the current year limit and agreed it to worksheets prepared by the City and to information provided by the State Department of Finance.

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

4. We compared the amount of the prior year appropriations limit presented in the worksheets to the amount adopted by the City Council for the prior year.

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

DavisFarr

CERTIFIED PUBLIC ACCOUNTANTS
Davis Farr LLP
18201 Von Karman Avenue I Suite 1100 I Irvine, CA 92612 Main: 949.474.2020 I Fax: 949.263.5520

The
Honorable Mayor and City Council
City of Garden Grove, California
Page Two

We
were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with standards established by the American Institute of Certified Public Accountants. We were not engaged to and did not conduct an examination or review, the objective of which would be the expression of an opinion or conclusion, respectively on the worksheets referred to above. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. No procedures have been performed with respect to the determination of the appropriation limit for the base year, as defined by the League publication entitled Article XIIIB Appropriations Limitation Uniform Guidelines.

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

This report is intended solely for the information and use of the Management of the City of Garden Grove, California and is not intended to be, and should not be, used by anyone other than the specified party.

Irvine, California
February 3, 2022

Independent Auditor’s Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of the Air Quality Improvement Special Revenue Fund Performed
in Accordance with Government Auditing Standard

The Honorable Mayor and City Council
City of Garden Grove, California

We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the City of Garden Grove, California (the City) including the Air Quality Improvement Special Revenue Fund (the Fund) of the City, as of and for the ye ar ended June 30, 2021, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements, and have issued our report thereon dated February 3, 2022.

Internal Control over Financial Reporting

In planning and performing our audit of the Fund’s financial statements, we considered the City’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of 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 st atements will not be prevented or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

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

Compliance and Other Matters

As part of obtaining reasonable assurance about whether the City’s Fund financial statements are free from material misstatement, we performed test s of its compliance with certain provisions of laws, regulations, contracts and grant agreements , noncompliance with which could have a direct and material effect on the determination of financial statement amounts. Such provisions include those provisions of laws and regulations identi fied in Assembly Bill 2766 Chapter 1705 [Health and Safety Code Sections 44220 through 44247] (the Guide). However, pro viding an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not

+ DavisFarr

CERTIFIED PUBLIC ACCOUNTANTS
Davis Farr LLP
18201 Von Karman Avenue I Suite 1100 I Irvine, CA 92612 Main: 949.474.2020 I Fax: 949.263.5520

expre
ss such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards and the Guide in considering the City’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Irvine
, California
Februar
y 3, 2022

REQUIRED AUDIT COMMUNICATIONS

To the Honorable City Council
The City of Garden Grove
Garden Grove, California

We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Garden Grove for the year ended June 30, 2021. Prof essional standards require that we provide you with information about our responsibilities under generally accepted auditing standards, Government Auditing Standards and the Uniform Guidance, as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our letter to you dated June 17, 2021.

Professional standards also require that we communicate to you the following information related to our audit.

Significant Audit Findings

Qualitative Aspects of Accounting Practices

Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City of Garden Grove are described in Note 1 to the financial statements. No new accounting policies were adopted, and the application of existing policies was not changed during 2021. We noted no transactions entered into by the City of Garden Grove during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.

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

Management’s estimate of amount recorded as claims and liabilities is based on management’s reliance on a third party claims administrator. We evaluated the key factors and assumptions used to develop the amounts by the third party claims administrator and determined that it is reasonable in relation to the financial statements taken as a whole.

Management’s estimate of transactions re lated to net pension and OPEB liabilities based on actuarial information. We evaluated the key factors and assumptions used to develop the amounts by the actuary and determined that it is reasonable in relation to the financial statements taken as a whole.

Management’s determination that certain notes receivable with third parties are fully collectible. We evaluated the key factors an d assumptions used to arrive at that determination and determined that it is reasonable in relation to the financial statements taken as a whole.

DavisFarr

CERTIFIED PUBLIC ACCOUNTANTS
Davis Farr LLP
18201 Von Karman Avenue I Suite 1100 I Irvine, CA 92612 Main: 949.474.2020 I Fax: 949.263.5520

Certain financial statement disclosures are particul arly sensitive because of their significance to financial statement users. The most sensitive disclosure affecting the financial statements was:

The disclosure of the Net Pension Liability in Note 7 and Note 8 to the financial statements.

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

Difficulties Encountered in Performing the Audit

We encountered no significant difficulties in dealing with management in performing and completing our audit.

Corrected and Uncorrected Misstatements

Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. Management has corrected all such misstatements, except for three. The three uncorrected misstatements are adjustments to 1) record an adjustment to a notes receivable balance that differs from the third party confirmation 2) adjustments to investment income based on the investment income allocation as a percentage of average cash and 3) record compensated absences in the Housing and Fleet funds. For these uncorrected misstatements, management has determined that the effect is immaterial both individually and, in the aggregate, to each effected opinion unit’s financial statements taken as a whole. There were no material misstatements detected as a result of audit procedures.

Disagreements with Management

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

Management Representations

We have requested certain representations from management that are included in the management representation letter dated February 3, 2022.

Management Consultations with Other Independent Accountants

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

Other Audit Findings or Issues

We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year pr ior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Other Ma
tters

We applied certain limited procedures to the management’s discussion and analysis, the schedule of changes in the net pension liability and related ratios and the schedule of contributions - miscellaneous, and safety plans, the schedule of changes in OPEB liability and related ratios, and budgetary comparison schedules , which are required supplementary information (RSI) that supplements the basic financial statements. Our pr ocedures consisted of inquiries of management regarding the methods of preparing the informatio n and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.

We were engaged to report on the combining and individual non-major fund financial statements and the budgetary comparison schedules, which accompany the financial statements but are not RSI.

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

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

Restriction on Use

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

Irvine, California
February 3, 2022

Agenda Item - 3.c.

City of Garden Grove

INTER-DEPARTMENT MEMORANDUM
To: Scott C. Stiles From: Teresa Pomeroy
Dept.: City Manager Dept.: City Clerk
Subject: Receive and file minutes
from the meeting held on
February 8, 2022. ( Action
Item)
Date: 2/22/2022
Attached are the minutes from the meeting held on February 8, 2022, recommended to be received and filed as submitted or amended.

ATTACHMENTS:

Description Upload Date Type File Name
Minutes 2/17/2022 Minutes cc-min_02_08_2022.pdf

-1- 2/8/22

MINUTES

GARDEN GROVE CITY COUNCIL

Regular Meeting

Tuesday, February 8, 2022

Community Meeting Center
11300 Stanford Avenue, Garden Grove, CA 92840

CONVENE CLOSED SESSION

AT 5:31 p.m., Mayor Jones convened closed session telephonically.

ROLL CALL PRESENT: (7) Council Members Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, Mayor Pro Tem D.

Nguyen, Mayor Jones

ABSENT: (0) Council Member O’Neill absent at Roll Call, but joined the meeting at 6:32 p.m.

ORAL COMMUNICATIONS

Speakers: None

CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54957.6(A): JERRY BRENEMAN VS. CITY OF GARDEN GROVE; WORKERS COMPENSATION APPEAL BOARD CASE NO.:

ADJ12795724

CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
PURSUANT TO GOVERNMENT CODE SECTION 54956.9(D)(1): SILVINO BRICENO ET AL VS. GARDEN GROVE, ET AL, OCSC CASE NO. 30-2021-01229854

ADJOURN CLOSED SESSION

At 5:56 p.m., Mayor Jones adjourned closed session.

CONVENE REGULAR MEETING

At 6:32 p.m., Mayor Jones convened the meeting telephonically with all Council Members present.

-2- 2/8/22

INVOCATION

PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA

ORAL COMMUNICATIONS

Speakers: Tom Raber, Brian Malley, Craig Durfey, Nicholas Dibs

RECESS

At 6:47 p.m., Mayor Jones recessed the meeting.

RECONVENE

At 6:49 p.m., Mayor Jones reconvened the meeting with all Council Members present.

ADOPTION OF A RESOLUTION MAKING SPECIFIED FINDINGS AND REAUTHORIZING

THE USE OF TELECONFERENCING FOR PUBLIC MEETINGS IN ACCORDANCE WITH AB 361 AND GOVERNMENT CODE 54953(E) (F: 127.4)

This matter was considered later in the meeting.

ADOPTION OF A PROCLAMATION CELEBRATING FEBRUARY AS BLACK HISTORY MONTH (F: 83.1)

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

February 2022 be proclaimed Black History Month in Garden Grove and all residents are encouraged to celebrate diversity and work together to create a world that is more just, peaceful, and prosperous for all.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

APPROVAL TO ENTER INTO A JOINT USE AGREEMENT WITH THE GARDEN GROVE UNIFIED SCHOOL DISTRICT FOR A 0.7 ACRE OPEN SPACE PORTION OF THE WOODBURY ELEMENTARY SCHOOL LOCATED AT 11362 WOODBURY ROAD FOR PUBLIC PARK USE (F: 55-GGUSD) (XR: 73.14)

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

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The Joint Use Agreement with the Garden Grove Unified School District for 0.7 acres of Woodbury Elementary School property located at 11362 Woodbury Road, be approved for a thirty year term and two optional five year extensions; and The City Manager be authorized to execute the agreement on behalf of the City, and make minor modifications as appropriate.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

APPROVAL OF AMENDMENT NO. 4 TO THE AGREEMENT WITH WM CURBSIDE, LLC, FOR ADMINISTERING THE CITY’S HOUSEHOLD HAZARDOUS WASTE PROGRAM (F: 55-WM CURBSIDE, LLC) (XR: 61.7)

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

Amendment No. 5, noting the typographical error listing the Amendment as No. 4, to the agreement with WM Curbside, LLC for administering the City’s Household Hazardous Waste Program, be approved; and

The City Manager be authorized to sign the amendment on behalf of the City, and to make minor modifications as appropriate.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

AWARD A CONTRACT TO DAVID VOLZ DESIGN FOR PROFESSIONAL LANDSCAPE

AND IRRIGATION DESIGN SERVICES ON CHAPMAN AVENUE FROM WILD GOOSE STREET TO SANTA CATALINA AVENUE (F: 55-DAVID VOLZ DESIGN)

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

A contract be awarded to David Volz Design, in the amount of $61,811, to provide professional landscape and irrigation services along Chapman Avenue from Wild Goose Street to Santa Catalina Avenue; and

The City Manager be authorized to execute the contract on behalf of the City, and to make any modifications as appropriate.

-4- 2/8/22

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

AUTHORIZE THE ISSUANCE OF A FIVE YEAR BLANKET PURCHASE ORDER WITH

TOWNER FILTRATION FOR TREATMENT AT CITY WELL SITES FOR REMOVAL OF

PER-AND POLYFLUOROALKYL SUBSTANCES

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

The Finance Director be authorized to issue a five year blanket purchase order with Towner Filtration allocating $225,000 annually for the purchase of water pre-filters at the new ion exchange treatment well sites.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

RECEIVE AND FILE MINUTES FROM THE MEETINGS HELD ON JANUARY 11, 2022, AND JANUARY 25, 2022 (F: Vault)

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

The minutes from the meetings held on January 11, 2022, and January 25, 2022, be received and filed.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

WARRANTS

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

Demands covered by Wire numbers 00000821 through 00000826, EFT numbers 00017069 through 00017085, and check numbers 00675312 through 00675387

-5- 2/8/22
inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures;

Demands covered by EFT numbers 00017086 through 00018062, and check numbers 00675388 through 00675591 inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures;

Demands covered by Wire numbers 00000832 through 00000835, EFT numbers 00018076 through 00018093, and check numbers 00675692 through 00675766 inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures;

Demands covered by Wire numbers 00000836 through 00000843, EFT numbers 00018094 through 00018118, and check numbers 00675767 through 00675918 inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures;

Demands covered by Wire numbers 00000836 through 00000843, EFT numbers 00018094 through 00018118, and check numbers 00675767 through 00675918 inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures;

Demands covered by Wire numbers 00000844 through 00000869, EFT numbers 00018119 through 00018125, and check numbers 00675919 through 00675987 inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures;

Demands covered by EFT numbers 0018126 through 00019098, and check numbers 00675988 through 00676192 inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures; and

Demands covered by Wire numbers 00000866 through 00000876, EFT numbers 00019099 through 00019108, and check numbers 00676193 through 00676234 inclusive as listed on this register and have been verified by the Finance Division as properly issued and bear all proper signatures; be received and filed.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

-6- 2/8/22

APPROVAL TO WAIVE FULL READING OF ORDINANCES LISTED

It was moved by Council Member Klopfenstein, seconded by Council Member Brietigam that:

Full reading of ordinance listed be waived.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

ADOPTION OF A RESOLUTION MAKING SPECIFIED FINDINGS AND REAUTHORIZING

THE USE OF TELECONFERENCING FOR PUBLIC MEETINGS IN ACCORDANCE WITH AB 361 AND GOVERNMENT CODE 54953(E) (F: 127.4)

Council Member Brietigam pulled this item to express his opposition to continue teleconference meetings. Following assent from Council Member Bui, Council Member Brietigam moved to pull this item from consideration, seconded by Council Member Bui.

Following further discussion and advice provided by City Attorney Sandoval that this action also affects all City Commissions and adopting the resolution does not preclude in-person meetings, it was moved by Council Member K. Nguyen, seconded by Mayor Jones that:

Resolution No. 9723-22 entitled: A Resolution of the City Council of the City of Garden Grove, California, making specified findings and re-authorizing the use of teleconferencing for meetings of the City Council, Commissions, Committees and Boards in accordance with Assembly Bill 361 and Government Code Section 54953(E), be adopted.

The motion carried by a 5-2 vote as follows:

Ayes: (5) O’Neill, Klopfenstein, K. Nguyen, D. Nguyen, Jones Noes: (2) Brietigam, Bui

SECOND PUBLIC HEARING REGARDING THE REDISTRICTING PROCESS POST 2020 CENSUS (F: 58.13)

This matter was introduced by Maria Stipe, Assistant City Manager, and David Ely, consultant with Compass Demographics. Mr. Ely provided a PowerPoint presentation, and stated that no maps have been submitted by the public; however, speakers at the community workshop did express the need for communities of interest, primarily the Asian and Latinx communities to be kept

-7- 2/8/22
together for the purpose of representation, by delineating district boundaries east and west along Garden Grove Boulevard as opposed to the current delineation of north and south affecting districts 5 and 6.

Following Mr. Ely’s presentation, Mayor Jones declared the public hearing open.

Speakers: Roberto Herrera, Brian Malley, Nicholas Dibs, Dorothy Nguyen

With no further testimony from the audience, Mayor Jones declared the public hearing closed.

Following City Council discussion, it was moved by Council Member Brietigam, seconded by Council Member O’Neill that:

The report on community participation and feedback related to the redistricting process post 2020 Census be received and filed.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

AWARD A CONTRACT TO ELECNOR BELCO ELECTRIC, INC., FOR THE CONSTRUCTION OF PROJECT NO. CP-1292000, TRAFFIC SIGNAL INSTALLATION AND MODIFICATIONS AT VARIOUS LOCATIONS FY 21-22 (F: 100.PROJ.CP-1292000)

Following staff introduction, it was moved by Council Member Klopfenstein, seconded by Council Member K. Nguyen that:

A contract be awarded to Elecnor Belco Electric, Inc., in the amount of $1,276,196, for construction of Project No. CP-1292000, Traffic Signal Installation and Modifications at Various Locations FY 21-22; and

The City Manager be authorized to sign the contract on behalf of the City, and to make minor modifications as appropriate.

The motion carried by a 7-0 vote as follows:

Ayes: (7) Brietigam, O’Neill, Bui, Klopfenstein, K. Nguyen, D. Nguyen, Jones
Noes: (0) None

-8- 2/8/22
SECOND READING AND ADOPTION OF ORDINANCE NO. 2930 (F: 50.2) (XR: 46.1C)

(As approved earlier in the meeting, it was moved by Council Member Klopfenstein, seconded by Council Member Brietigam, and approved by a 7-0 vote, that full reading of ordinances listed be waived.)

Following the reading of the title, it was moved by Council Member K. Nguyen, seconded by Council Member Brietigam that:

Ordinance No. 2930 entitled: An Ordinance of the City Council of the City of Garden adding Section 2.04.050 to Chapter 2.04 (City Council) of Title 2 (Administration and Personnel) of the Garden Grove Municipal Code adjusting and codifying the compensation of the City Council, be adopted.

The motion carried by a 5-2 vote as follows:

Ayes: (5) Brietigam, O’Neill, Klopfenstein, K. Nguyen, Jones Noes: (2) Bui, D. Nguyen

SECOND READING AND ADOPTION OF ORDINANCE NO. 2931 (F: 50.2) (XR: 46.1C)

Mayor Jones announced that he would be recusing himself from voting on this matter, and left the telephonic meeting at 7:37 p.m.

(As approved earlier in the meeting, it was moved by Council Member Klopfenstein, seconded by Council Member Brietigam, and approved by a 7-0 vote, that full reading of ordinances listed be waived.)

Following the reading of the title, it was moved by Council Member K. Nguyen, seconded by Council Member Brietigam that:

Ordinance No. 2931 entitled: An Ordinance of the City Council of the City of Garden adding Section 2.04.060 to Chapter 2.04 (City Council) of Title 2 (Administration and Personnel) of the Garden Grove Municipal Code establishing additional compensation for the City’s elected Mayor pursuant to Government Code Section 36516.1, be adopted.

The motion carried by a 4-2-1 vote as follows:

Ayes: (4) Brietigam, O’Neill, Klopfenstein, K. Nguyen
Noes: (2) Bui, D. Nguyen

Absent: (1) Jones

Mayor Jones returned to the meeting telephonically at 7:38 p.m.

-9- 2/8/22

MATTERS FROM THE MAYOR, CITY COUNCIL MEMBERS, AND CITY MANAGER

Council Member Brietigam complimented the recent Tet Parade celebrating the Lunar New Year of the Tiger and wished everyone a Happy Lunar New Year. He commented on the need for Code Enforcement supervisory staffing, as some areas of the City are looking bad.

Council Member O’Neill announced the Community Clean-Up event for Garden Grove residents to drop off bulky items on Saturday, February 19, 2022, between 9:00 a.m. to 11:00 a.m., noting that it has moved to the Skylark Elementary School parking lot near Magnolia Park.

Mayor Pro Tem D. Nguyen wished everyone a Happy Valentine Days coming up.

Council Member Bui expressed his gratitude for the support for the Tet Parade and commented on how well received the parade was with people coming from all over the County and beyond.

Council Member Klopfenstein expressed her appreciation for the Public Works and City staff on helping with the Community Clean-Up event held on Saturday at the Main Branch Library, noting that there were up to nine roll-out bins filled.

Council Member K. Nguyen highlighted the City’s Garden Grove Teen Action Collaborative in partnership with the Employment Development Department’s Youth Employment Opportunity Program for teens between the ages of 13-17 to attend a free career building workshop series through February 17, 2022. More information is available on the City’s website at ggcity.org/news/career-building-workshops.

City Attorney Sandoval noted the Workers Compensation Appeal Board Case was taken off calendar, and there was no reportable action taken for the remaining matter during closed session.

At 7:45 p.m., Mayor Jones adjourned the meeting. The next Regular City Council Meeting will be on Tuesday, February 22, 2022, at 5:30 p.m. at the Community Meeting Center, 11300 Stanford Avenue, Garden Grove, California.

Teresa Pomeroy
City Clerk

Agenda Item - 3.d.

City of Garden Grove

INTER-DEPARTMENT MEMORANDUM
To: Scott C. Stiles From: Patricia Song
Dept.: City Manager Dept.: Finance
Subject: Receive and file warrants.
(Action Item)
Date: 2/22/2022
Attached are the warrants recommended to be received and filed.

ATTACHMENTS:

Description Upload Date Type File Name
Warrants 2/16/2022 Warrants 22.01.13_PR_Register.pdf
Warrants 2/16/2022 Warrants 22.01.27_PR_Register.pdf
Warrants 2/16/2022 Warrants 22.02.10_PR_Register.pdf

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 1
EF - Payroll EFT
Check Vendor # Vendor Name Issue Date Check Amount
00001000 E03973 AVILA, VERONICA 01/13/2022 $2,138.51 00001001 E04755 BRIETIGAM III, GEORGE S 01/13/2022 $262.05 00001002 E04332 BUI, PHAT T 01/13/2022 $295.81 00001003 E01338 CARRENO, SHAUNA J 01/13/2022 $2,033.54 00001004 E02788 DAVIS, JEFFREY P 01/13/2022 $1,628.85 00001005 E00803 HADDAD, PAMELA M 01/13/2022 $2,077.57 00001006 E04750 HO, VY D 01/13/2022 $1,827.43 00001007 E04096 HUYNH, DANNY 01/13/2022 $4,323.31 00001008 E03612 JONES, STEVEN R 01/13/2022 $205.65 00001009 E04131 KIM, NOELLE N 01/13/2022 $2,498.00 00001010 E02612 KLOESS, VILMA C 01/13/2022 $2,597.04 00001011 E04536 KLOPFENSTEIN, STEPHANIE L 01/13/2022 $78.26 00001012 E01949 LE, IVY 01/13/2022 $2,163.52 00001013 E01280 LE, TAMMY 01/13/2022 $1,642.60 00001014 E04920 MENDIOLA, RACHEL 01/13/2022 $802.08 00001015 E05828 MIDDENDORF, LINDA 01/13/2022 $3,066.37 00001016 E02787 MORAN, MARIE L 01/13/2022 $2,645.29 00001017 E02539 NAVARRO, MARIA A 01/13/2022 $2,550.37 00001018 E04535 NGUYEN, DIEDRE THU HA 01/13/2022 $277.59 00001019 E04537 NGUYEN, KIM B 01/13/2022 $281.98 00001020 E03255 NGUYEN, PHUONG VIEN T 01/13/2022 $2,171.63 00001021 E02560 NGUYEN, QUANG 01/13/2022 $2,524.37 00001022 E01286 NGUYEN, TINA T 01/13/2022 $2,033.48 00001023 E04534 ONEILL, JOHN R 01/13/2022 $295.82 00001024 E04528 PARK, SHAWN S 01/13/2022 $2,564.55 00001025 E03541 PHI, THYANA T 01/13/2022 $2,768.49 00001026 E04443 POLLOCK, AMANDA M 01/13/2022 $1,862.93 00001027 E06945 POMEROY, TERESA L 01/13/2022 $3,645.41 00001028 E01964 PULIDO, ANA E 01/13/2022 $4,183.69 00001029 E01356 RAMOS, MARIA 01/13/2022 $2,449.79 00001030 E04387 STILES, SCOTT C 01/13/2022 $6,956.81 00001031 E00564 STIPE, MARIA A 01/13/2022 $7,200.93 00001032 E03715 THAI, KRISTY H 01/13/2022 $2,426.76 00001033 E02543 TO, TANYA L 01/13/2022 $1,503.12 Server Name: cognos.ggcity.org User Name: amyv

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 2
Check Vendor # Vendor Name Issue Date Check Amount
00001034 E01971 TRAN, CUONG K 01/13/2022 $1,992.97 00001035 E02056 TRUONG, ELAINE 01/13/2022 $1,729.35 00001036 E03983 VASQUEZ, LIZABETH C 01/13/2022 $2,295.61 00001037 E02562 VO, THANH-NGUYEN 01/13/2022 $1,630.16 00001038 E04527 YOO, MEENA 01/13/2022 $2,293.21 00001039 E04944 ANDERSON CAMBA, ASHLEIGH R 01/13/2022 $2,594.97 00001040 E04764 BRADLEY, JANNA K 01/13/2022 $2,766.24 00001041 E03766 CERDA, MARY C 01/13/2022 $2,133.31 00001042 E04673 HART, BRANDI M 01/13/2022 $404.69 00001043 E04363 KWAN, LIANE Y 01/13/2022 $3,459.82 00001044 E01985 LEE, JANY H 01/13/2022 $3,724.06 00001045 E03420 PROCTOR, SHERRILL A 01/13/2022 $2,409.07 00001046 E04726 RICHARDS, STEPHANIE E 01/13/2022 $2,004.30 00001047 E04417 STEPHENSON, CAITLYN M 01/13/2022 $2,329.31 00001048 E02115 STOVER, LAURA J 01/13/2022 $5,615.41 00001049 E04580 ATIN RAMOS, MARISA 01/13/2022 $1,359.56 00001050 E04445 BROWN, KAREN J 01/13/2022 $484.24 00001051 E03313 BUI, AI N 01/13/2022 $886.01 00001052 E03686 CHAVEZ, JAIME F 01/13/2022 $1,739.13 00001053 E03760 CHUNG, JANET J 01/13/2022 $7,844.09 00001054 E04957 CURTSEIT, MARIA 01/13/2022 $1,766.35 00001055 E03352 EIFERT, ANN C 01/13/2022 $3,607.90 00001056 E04960 FUKAZAWA, KEISUKE 01/13/2022 $1,964.48 00001057 E03134 GARCIA, SYLVIA 01/13/2022 $2,861.12 00001058 E04638 HARRIS, KAREN M 01/13/2022 $2,416.41 00001059 E03016 HERNANDEZ, GARY F 01/13/2022 $2,898.14 00001060 E04569 HOFFMAN, CORINNE L 01/13/2022 $2,426.29 00001061 E00057 MANALANSAN, NEAL M 01/13/2022 $1,892.51 00001062 E03768 MARVIN JR, EDWARD E 01/13/2022 $6,318.18 00001063 E01668 MAY, ROBERT W 01/13/2022 $1,620.06 00001064 E01393 MENDEZ, ANGELA M 01/13/2022 $2,087.50 00001065 E03628 MENDOZA, CHRISTI C 01/13/2022 $2,184.90 00001066 E04590 MUNOZ, HEIDY Y 01/13/2022 $11,887.76 00001067 E04958 NGO, TINA 01/13/2022 $2,738.86 00001068 E04838 NIGATU, SELAMAWIT 01/13/2022 $2,100.72 Server Name: cognos.ggcity.org User Name: amyv

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 3
Check Vendor # Vendor Name Issue Date Check Amount
00001069 E01362 PETERSON, JENNIFER L 01/13/2022 $2,065.55 00001070 E02429 PHAM, ANH 01/13/2022 $1,663.95 00001071 E03610 RAMIREZ, EVA 01/13/2022 $2,031.76 00001072 E04625 SANCHEZ, DANIEL J 01/13/2022 $1,662.15 00001073 E03539 SEGAWA, SANDRA E 01/13/2022 $3,665.31 00001074 E04780 SONG, YUAN 01/13/2022 $5,062.82 00001075 E04859 VO, MY TRA 01/13/2022 $6,930.25 00001076 E03433 WESTON, RETA J 01/13/2022 $1,051.02 00001077 E04674 WHITTAKER DEGEN, HELEN E 01/13/2022 $231.09 00001078 E04493 ANDREWS, STEVEN F 01/13/2022 $2,645.00 00001079 E00845 CHANG, TERENCE S 01/13/2022 $2,992.00 00001080 E03498 ESPINOZA, VERNA L 01/13/2022 $2,619.95 00001081 E04523 GALLO, CESAR 01/13/2022 $2,953.03 00001082 E04415 GOLD, ANNA L 01/13/2022 $2,031.33 00001083 E04713 HINGCO, ERNIE E 01/13/2022 $2,473.51 00001084 E02617 KLOESS, GEOFFREY A 01/13/2022 $3,759.74 00001085 E03571 MORAGRAAN, RACHOT 01/13/2022 $4,044.16 00001086 E01277 PROFFITT, NOEL J 01/13/2022 $3,063.79 00001087 E01901 RAO, ANAND V 01/13/2022 $5,055.96 00001088 E03384 SCHULZE, KATRENA J 01/13/2022 $2,806.81 00001089 E04395 SWANSON, MATTHEW T 01/13/2022 $1,780.31 00001090 E01674 VALENZUELA, ANTHONY 01/13/2022 $1,799.28 00001091 E00809 VICTORIA, ROD T 01/13/2022 $2,285.91 00001092 E03014 WILDER, CANDY G 01/13/2022 $2,122.37 00001093 E03509 WINSTON, TERREL KEITH 01/13/2022 $3,158.90 00001094 E03725 ABU HAMDIYYAH, AMEENAH 01/13/2022 $2,068.60 00001095 E02996 ASHLEIGH, JULIE A 01/13/2022 $2,017.76 00001096 E03161 AUSTIN, MICHAEL G 01/13/2022 $2,654.77 00001097 E00740 BLODGETT, GREG 01/13/2022 $12,075.22 00001098 E03808 CHENG, ALANA R 01/13/2022 $4,142.88 00001099 E03601 CHUNG, CHRISTOPHER 01/13/2022 $2,720.82 00001100 E03353 COVARRUBIAS, MONICA 01/13/2022 $3,573.45 00001101 E00128 CRAMER, RITA M 01/13/2022 $2,439.97 00001102 E04394 DAHLHEIMER, BRYSON T 01/13/2022 $2,275.44 00001103 E04879 DAKE, RYAN J 01/13/2022 $2,162.23 Server Name: cognos.ggcity.org User Name: amyv

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 4
Check Vendor # Vendor Name Issue Date Check Amount
00001104 E04578 DENT, DAVID A 01/13/2022 $4,473.95 00001105 E03697 GUERRERO, PAUL 01/13/2022 $2,776.68 00001106 E03600 HARTWIG, TODD C 01/13/2022 $2,768.34 00001107 E03531 HERNANDEZ, RALPH V 01/13/2022 $2,292.59 00001108 E03410 HODSON, AARON J 01/13/2022 $2,281.31 00001109 E04716 KASKLA, PRIIT J 01/13/2022 $2,085.22 00001110 E04442 KIM, LISA L 01/13/2022 $5,201.29 00001111 E03617 LEE, GRACE E 01/13/2022 $2,752.80 00001112 E04490 LY, HUONG Q 01/13/2022 $2,126.65 00001113 E03412 MARINO, LEE W 01/13/2022 $4,488.57 00001114 E04194 MARTINEZ, MARIA L 01/13/2022 $2,479.79 00001115 E02895 MOURE, SVETLANA 01/13/2022 $2,323.21 00001116 E04635 NGUYEN, PHU T 01/13/2022 $4,309.10 00001117 E02842 PARRA, MARIA C 01/13/2022 $3,182.29 00001118 E04894 REFUERZO JR., ORLINO CAMPOS 01/13/2022 $333.24 00001119 E03757 ROBBINS, ROY N 01/13/2022 $3,192.72 00001120 E04408 THRONE, TIMOTHY E 01/13/2022 $1,941.14 00001121 E04862 TRAN, JAKE P 01/13/2022 $435.13 00001122 E03643 ALVARADO, YOLANDA A 01/13/2022 $1,579.35 00001123 E04390 AMBRIZ, STEPHANIE 01/13/2022 $201.15 00001124 E04771 BAILOR, REBECCA J 01/13/2022 $320.68 00001125 E02658 CAMARENA, RACHEL M 01/13/2022 $4,298.85 00001126 E01588 CAMARENA, RENE 01/13/2022 $2,138.59 00001127 E01902 CASILLAS, VICTORIA M 01/13/2022 $1,916.16 00001128 E04611 CROSS, AMANDA D 01/13/2022 $1,909.74 00001129 E04546 CRUZ, GISELL L 01/13/2022 $289.42 00001130 E02956 CUMMINGS, KENNETH E 01/13/2022 $861.50 00001131 E04688 DELGADO CHAVEZ, MARLY 01/13/2022 $440.96 00001132 E04653 DIAZ, GABRIELA 01/13/2022 $355.44 00001133 E04791 DOWNS, KELDEN A 01/13/2022 $418.71 00001134 E04679 FREEMAN, MARK C 01/13/2022 $3,217.24 00001135 E04481 GARCIA, JARED D 01/13/2022 $165.94 00001136 E04253 GARCIA, VANESSA L 01/13/2022 $190.80 00001137 E03337 GODDARD, JENNIFER DANIELLE 01/13/2022 $2,743.95 00001138 E03877 GOMEZ, STEVEN E 01/13/2022 $827.57 Server Name: cognos.ggcity.org User Name: amyv

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 5
Check Vendor # Vendor Name Issue Date Check Amount
00001139 E00940 GRANT, JACOB R 01/13/2022 $2,058.90 00001140 E04967 HASHEMI, SETAREH 01/13/2022 $197.67 00001141 E03603 MA AE, ELAINE M 01/13/2022 $2,944.86 00001142 E01552 MEDINA, JESUS 01/13/2022 $1,868.38 00001143 E00455 MEDINA, JUAN 01/13/2022 $2,262.63 00001144 E04925 MENDOZA, JESSICA 01/13/2022 $322.46 00001145 E02808 MONTANCHEZ, JOHN A 01/13/2022 $5,267.95 00001146 E04173 NAKAISHI, KIRSTEN K 01/13/2022 $308.06 00001147 E04947 NGUYEN, ALEXANDER H 01/13/2022 $121.09 00001148 E04391 NICHOLAS, NOEL N 01/13/2022 $1,222.03 00001149 E04931 NODAL, NATALIE 01/13/2022 $96.88 00001150 E00785 OCADIZ HERNANDEZ, GABRIELA 01/13/2022 $3,183.69 00001151 E04965 ORDUNO, SAMANTHA 01/13/2022 $401.35 00001152 E03881 PANGAN, CHRISTIAN 01/13/2022 $44.27 00001153 E03361 PELAYO, JANET E 01/13/2022 $3,776.33 00001154 E04777 PHAN, EDOUARD T 01/13/2022 $83.04 00001155 E04463 PUAILOA, SHADY S 01/13/2022 $395.27 00001156 E02754 REYNOSO, SUGEIRY 01/13/2022 $2,411.88 00001157 E04966 RIOS, GRAYSON M 01/13/2022 $196.84 00001158 E03362 ROMERO, MARINA Y 01/13/2022 $1,981.48 00001159 E04684 ROSALES, MARIA D 01/13/2022 $303.60 00001160 E04620 SALDIVAR, DIANA 01/13/2022 $414.61 00001161 E01893 SAUCEDO, DANA MARIE 01/13/2022 $2,451.08 00001162 E00925 SCHLUMPBERGER, EMERON J 01/13/2022 $732.16 00001163 E04926 SERNA, SAMANTHA M 01/13/2022 $544.23 00001164 E04795 SIEVE, MYCHAELLA J 01/13/2022 $364.87 00001165 E04924 TU, KATHY 01/13/2022 $166.08 00001166 E01396 VALDIVIA, CLAUDIA 01/13/2022 $3,237.99 00001167 E00015 VAN SICKLE, JEFFREY 01/13/2022 $2,497.11 00001168 E04478 VENCES, JOSHUA 01/13/2022 $265.40 00001169 E03085 VICTORIA, PAUL E 01/13/2022 $1,582.91 00001170 E04609 VIRAMONTES, JACOB D 01/13/2022 $333.79 00001171 E04274 WILMES, DAVID M 01/13/2022 $195.31 00001172 E04734 ACOSTA, GIOVANNI 01/13/2022 $4,283.32 00001173 E03819 ALAMILLO, MARCOS R 01/13/2022 $4,281.06 Server Name: cognos.ggcity.org User Name: amyv

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 6
Check Vendor # Vendor Name Issue Date Check Amount
00001174 E03712 ALARCON, CLAUDIA 01/13/2022 $4,351.32 00001175 E03616 ALCARAZ, MARIA A 01/13/2022 $2,259.63 00001176 E00121 ALLISON, WILLIAM 01/13/2022 $6,200.11 00001177 E04873 ALVARADO, MADELINE M 01/13/2022 $1,706.72 00001178 E04080 ALVAREZ BROWN, RICHARD A 01/13/2022 $4,031.28 00001179 E03011 ANDERSON, BOBBY B 01/13/2022 $4,062.66 00001180 E01234 ARELLANO, PEDRO R 01/13/2022 $5,102.31 00001181 E04875 ARROYO, SANDRA M 01/13/2022 $2,594.40 00001182 E04497 ASHBAUGH, TIMOTHY R 01/13/2022 $3,761.77 00001183 E03397 ASHBY, PAUL W 01/13/2022 $5,730.06 00001184 E04719 ATWOOD, MARIA S 01/13/2022 $1,958.28 00001185 E04613 AVALOS JR, FRANCISCO 01/13/2022 $3,041.67 00001186 E01992 AVALOS, ALFREDO R 01/13/2022 $17,447.20 00001187 E01965 BACKOURIS, KRISTEN A 01/13/2022 $1,574.64 00001188 E04550 BAEK, SHARON S 01/13/2022 $2,081.09 00001189 E04778 BAKER, COLLIN E 01/13/2022 $3,295.07 00001190 E03005 BANKSON, JOHN F 01/13/2022 $4,675.09 00001191 E04645 BARRAZA, RENE 01/13/2022 $3,866.50 00001192 E04432 BEHZAD, JOSHUA K 01/13/2022 $3,599.02 00001193 E04951 BELLO, ANGELICA 01/13/2022 $601.52 00001194 E03006 BELTHIUS, LISA A 01/13/2022 $69.65 00001195 E04753 BERENGER, BEAU A 01/13/2022 $3,645.39 00001196 E03296 BERESFORD, EVAN S 01/13/2022 $4,699.20 00001197 E01604 BERLETH, RYAN S 01/13/2022 $2,526.77 00001198 E03443 BLUM, JAMES A 01/13/2022 $3,779.68 00001199 E04149 BOGUE, SUMMER A 01/13/2022 $2,186.98 00001200 E03363 BOWEN, GENA M 01/13/2022 $2,001.47 00001201 E04767 BOWMAN, TROY F 01/13/2022 $3,004.19 00001202 E04963 BOYENS III, ROBERT 01/13/2022 $3,797.04 00001203 E00946 BRAME, KAREN D 01/13/2022 $1,992.87 00001204 E04803 BRANTNER, BRITTANEE N 01/13/2022 $1,837.98 00001205 E03380 BROWN, JEFFREY A 01/13/2022 $5,628.44 00001206 E03968 BRUNICK, CARISSA L 01/13/2022 $2,802.31 00001207 E02031 BURILLO, RICHARD O 01/13/2022 $6,185.10 00001208 E03972 BUSTILLOS, RYAN V 01/13/2022 $4,717.97 Server Name: cognos.ggcity.org User Name: amyv

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 7
Check Vendor # Vendor Name Issue Date Check Amount
00001209 E03964 CAMARA, DANIEL A 01/13/2022 $3,817.82 00001210 E04074 CAMPOS, JESENIA 01/13/2022 $2,939.30 00001211 E03739 CAPPS, THOMAS A 01/13/2022 $4,496.65 00001212 E02372 CENTENO, JUAN C 01/13/2022 $5,413.94 00001213 E03607 CHANG, DAVID Y H 01/13/2022 $3,550.01 00001214 E04867 CHAPPELL, SHYLER R.D. 01/13/2022 $2,047.44 00001215 E03481 CHAURAN HAIRGROVE, TAMMY L 01/13/2022 $3,574.60 00001216 E04498 CHEATHAM, JEROME L 01/13/2022 $3,759.20 00001217 E03606 CHISM, KENNETH L 01/13/2022 $2,566.30 00001218 E01541 CHO, HAN J 01/13/2022 $6,369.34 00001219 E03423 CHOWDHURY, JACINTA F 01/13/2022 $2,140.96 00001220 E00003 CIBOSKY, COURTNEY P 01/13/2022 $3,128.37 00001221 E04539 CLASBY JR, BRIAN M 01/13/2022 $2,246.59 00001222 E04062 COOPMAN, AARON J 01/13/2022 $3,874.37 00001223 E04872 CORNETT, KRISTINA L 01/13/2022 $1,751.78 00001224 E04832 CORTEZ JR, DARRYL B 01/13/2022 $2,961.30 00001225 E04666 CORTEZ, JULIO C 01/13/2022 $3,245.34 00001226 E01875 COUGHRAN, ADAM B 01/13/2022 $0.00 00001227 E01796 COULTER, GARY L 01/13/2022 $3,791.51 00001228 E01364 DALTON, BRIAN D 01/13/2022 $4,673.51 00001229 E00126 DANIELEY III, CHARLIE 01/13/2022 $3,906.98 00001230 E01968 DARE, THOMAS R 01/13/2022 $9,056.49 00001231 E04503 DAVILA, ISAAC 01/13/2022 $3,290.34 00001232 E04431 DE ALMEIDA LOPES, NICHOLAS A 01/13/2022 $3,853.07 00001233 E04731 DE PADUA, TANNER C 01/13/2022 $2,537.56 00001234 E03691 DELGADO JR, JUAN L 01/13/2022 $4,685.73 00001235 E03395 DIX, JENNIFER A 01/13/2022 $2,556.79 00001236 E02313 DOSCHER, RONALD A 01/13/2022 $3,561.76 00001237 E04586 DOVEAS, CHRISTOPHER C 01/13/2022 $30.81 00001238 E04281 DRISCOLL, RUSSELL B 01/13/2022 $1,816.16 00001239 E04844 DUARTE, TAYLOR M 01/13/2022 $3,229.05 00001240 E04720 DUDLEY, BROC D 01/13/2022 $3,019.01 00001241 E03625 EARLE, CHRISTOPHER M 01/13/2022 $4,259.51 00001242 E02632 EDWARDS, DANIEL S 01/13/2022 $584.45 00001243 E03740 EL FARRA, AMIR A 01/13/2022 $5,487.19 Server Name: cognos.ggcity.org User Name: amyv

CITY OF GARDEN GROVE
GGFEFM001 Warrant Register
Check Dates Jan 13, 2022
Report Generated on Feb 10, 2022 8:25:16 AM Page 8
Check Vendor # Vendor Name Issue Date Check Amount
00001244 E03927 ELHAMI, MICHAEL K 01/13/2022 $4,631.50 00001245 E03933 ELIZONDO, BENJAMIN M 01/13/2022 $4,159.85 00001246 E04016 ELIZONDO, FLOR DE LIS 01/13/2022 $2,818.05 00001247 E01598 ELSOUSOU, HELENA 01/13/2022 $2,488.87 00001248 E02734 ESCALANTE, OTTO J 01/13/2022 $10,920.56 00001249 E04334 ESCOBEDO, JOSHUA N 01/13/2022 $3,836.18 00001250 E02724 ESTLOW, STEPHEN C 01/13/2022 $5,282.63 00001251 E04358 ESTRADA MONSANTO, MICHELLE N 01/13/2022 $3,973.71 00001252 E04748 FAJARDO, JESUS 01/13/2022 $4,175.99 00001253 E04303 FERREIRA JR, HECTOR 01/13/2022 $4,536.66 00001254 E01663 FERRIN, KORY C 01/13/2022 $4,719.99 00001255 E03976 FIGUEREDO, GEORGE R 01/13/2022 $5,500.90 00001256 E02838 FISCHER, JAMES D 01/13/2022 $835.62 00001257 E04774 FLINN, PATRICIA C 01/13/2022 $2,644.80 00001258 E02887 FOSTER, VICTORIA M 01/13/2022 $1,609.21 00001259 E04033 FRANCISCO, KATHERINE M 01/13/2022 $3,241.83 00001260 E02963 FRANKS, JAMES D 01/13/2022 $4,098.38 00001261 E04747 FRESENIUS, ROBERT D 01/13/2022 $3,024.24 00001262 E00903 FRUTOS, VERONICA 01/13/2022 $1,537.24 00001263 E03483 FULTON, JASON S 01/13/2022 $4,453.23 00001264 E04729 GARCIA, JOSEPH A 01/13/2022 $947.95 00001265 E03086 GARCIA, PETE 01/13/2022 $4,743.37 00001266 E03659 GARNER, AMANDA B 01/13/2022 $1,011.91 00001267 E02606 GEORGE, DAVID L 01/13/2022 $2,434.77 00001268 E04351 GERDIN, MICHAEL E 01/13/2022 $3,623.96 00001269 E04542 GIFFORD, ROBERT J 01/13/2022 $4,043.67 00001270 E01981 GILDEA, PATRICK E 01/13/2022 $4,968.87 00001271 E04658 GIRGENTI, BRIAN C 01/13/2022 $4,050.12 00001272 E04401 GLEASON, SEAN M 01/13/2022 $3,292.09 00001273 E04917 GOMEZ, JESUS 01/13/2022 $2,793.90 00001274 E04863 GONZALEZ JR, GONZALO 01/13/2022 $2,983.33 00001275 E04732 HADDEN, TRAVIS J 01/13/2022 $3,044.54 00001276 E04787 HALEY, KYLE N 01/13/2022 $2,423.38 00001277 E03527 HALLER, TROY 01/13/2022 $6,195.00 00001278 E03402 HEINE, STEVEN H 01/13/2022 $6,205.98 Server Name: cognos.ggcity.org User Name: amyv