Live Oak City Council
February 2, 2022

LIVE OAK CITY COUNCIL AGENDA – FEBRUARY 2, 2022

The Council may take up any agenda item at any time, regardless of the order listed. Action may be taken on any item on this agenda. Materials related to an item on this Agenda submitted to the Council after distribution of the agenda packet are available for public inspection at City Hall, 9955 Live Oak Boulevard, Live Oak, during normal business hours.

Such documents are also available on the City of Live Oak’s website at www.liveoakcity.org, subject to staff’s availability to post the documents before the meeting.

In compliance with the Americans with Disabilities Act, the meeting room is wheelchair accessible and disabled parking is available. If you have a disability and need disability-related modifications or accommodations to participate in this meeting, please contact the City Clerk’s office at (530) 695-2112 x107. Requests must be made at least 24 hours in advance.

Pursuant to Governor Newsom’s Executive Orders N-25-20 and N-29-20, members of the Live Oak City Council or staff may participate in this meeting via a teleconference. In the interest of the maintaining appropriate social distancing, members of the public are encouraged to participate in the meeting in the following ways:
• Remote Viewing:
o Members of the public can view a livestream of the meeting online at https://liveoakca.granicus.com/ViewPublisher.php?view_id=1. o Members of the public can access the Zoom webinar as follows:
▪ Join by Electronic Device:
https://us02web.zoom.us/j/84208716750
▪ Join by Phone:
1-669-900-6833 or 1-833-548-0282 (Toll Free)
Webinar ID: 842 0871 6750

LIVE OAK

CITY COUNCIL

REGULAR MEETING AGENDA
FEBRUARY 2, 2022
6:00 PM

MEETING LOCATION

LIVE OAK COUNCIL CHAMBERS
9955 LIVE OAK BOULEVARD
LIVE OAK, CALIFORNIA 95953

MEMBERS OF THE COUNCIL

NANCY SANTANA, MAYOR

BOB WOTEN, VICE MAYOR

JERAMY CHAPDELAINE, COUNCILMEMBER

LAKHVIR GHAG, COUNCILMEMBER
J.R. THIARA, COUNCILMEMBER

AARON PALMER,

CITY MANAGER

NICOLE ROSSER,

CITY ATTORNEY
1 LIVE OAK CITY COUNCIL AGENDA – FEBRUARY 2, 2022

• Public Comment: Members of the public can submit general public comments, as well as comment on specific agenda items in the following ways:
o Public Attendance: Members of the public who attend in person may make comments from the Council Chamber podium.
o Live Remote Public Comment: Members of the public can submit a live remote public comment by:
▪ Joining the virtual Council meeting via the link below. When public comment is opened, raise your virtual hand and be called upon to speak for up to 3 minutes. https://us02web.zoom.us/j/84208716750
▪ Joining the virtual Council meeting by calling the phone number below. When public comment is opened, dial *9 to raise your hand and be called upon to speak for up to 3 minutes. 1-669-900-6833 or 1-833-548-0282 (Toll Free)
Webinar ID: 842 0871 6750
o Email Public Comment: Comments from the public on agenda items will be accepted until 1:00 pm on the date of the meeting, via email to the City Clerk at [email protected], and read into the record during public comment.
o eComment Feature: Public Comment will be accepted online between Thursday, January 27th through Wednesday, February 2nd at 1:00 pm through the eComment feature at:
https://liveoakca.granicus.com/ViewPublisher.php?view_id=1. 2 LIVE OAK CITY COUNCIL AGENDA – FEBRUARY 2, 2022

CALL TO ORDER

ROLL CALL

PLEDGE OF ALLEGIANCE AND INVOCATION

CORRECTIONS AND/OR CHANGES TO THE AGENDA BY CITY MANAGER ONLY

PRESENTATIONS AND RECOGNITIONS
A. Teen Dating Violence Awareness and Prevention Month

PUBLIC COMMENT
Any person wishing to address the City Council on general jurisdictional matters or consent calendar items may do so at this time. If you are commenting on an agenda item, your comments will be heard at the time that item is scheduled for discussion. The City Council adopted a time limit of three minutes per person. The Brown Act does not allow for Council discussion of items not on the agenda.

Councilmembers may only a) refer the matter to staff; b) ask for additional information; c) request a report back; or d) provide a limited factual response for items not listed on the agenda.

CONSENT ITEMS
Consent Calendar is passed by one motion with exceptions and separate votes as noted.

1. City Council Meeting Minutes
Recommendation: Approve the January 19, 2022 City Council Regular Meeting minutes. (Clarissa Menchaca, City Clerk)

2. Appointment to the Feather River Air Quality Management District Recommendation: Approve appointment of City of Yuba City Councilman Shon Harris as the Alternate Member to the Feather River Air Quality Management District as required by Health and Safety Code Section 40152(b).
(Aaron Palmer, City Manager)

BUSINESS ITEMS

3. Annual Audited Financial Statements – Year Ended June 30, 2021 Recommendation: Accept and file annual financial statements. (James Ramsey, Finance Director)

4. Findings to Hold Virtual City Council, Commission, Committee, Board, and Other City Bodies Meetings Under AB 361
Recommendation: Adopt resolution making findings and determinations under AB 361 for the continuation of virtual meetings and authorizing virtual City Council, Commission, Committee, Board, and other City meetings pursuant to AB 361.
(Nicole Rosser, City Attorney)

5. Ordinance Increasing City Council Compensation
Recommendation: Provide direction to staff.
(Nicole Rosser, City Attorney)

ITEMS REMOVED FROM THE CONSENT AGENDA FOR COUNCIL CONSIDERATION AND ACTION 3 LIVE OAK CITY COUNCIL AGENDA – FEBRUARY 2, 2022

UPDATES AND ANNOUNCEMENTS FROM THE CITY ATTORNEY AND CITY MANAGER

COUNCILMEMBER COMMENTS (WRITTEN ONLY)
A. Councilmember Chapdelaine’s Comments

CLOSED SESSION

6. Conference with Labor Negotiators Pursuant to California Government Code Section 54957.6:

Agency Designated Representatives: Aaron Palmer, City Manager Employee Organization: Confidential and Unrepresented Employees (If action is taken in closed session, it will be announced after the closed session).

7. Adoption of Possible Changes in Salary and Benefits for the Confidential and Unrepresented Employees

ADJOURNMENT
4 City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Teen Dating Violence Awareness and Prevention Month Contact Information: Magdalena Arroyo, Sexual Assault Project Director, Casa de Esperanza Attachments:

Letter
Proclamation
5 Live Oak City Council
425 Webster St.

Colusa, CA 95932
January 25, 2022
Dear Council Members,
February is National Teen Dating Violence Awareness and Prevention Month. This month provides an excellent opportunity for City of Live Oak to demonstrate its commitment to ending teen dating violence and support the numerous victims and survivors who are among us. One in three teens in the US is a victim of physical, emotional or sexual abuse from a dating partner.

These violent relationships have serious consequences for victims – putting them at higher risk for domestic violence, substance abuse, eating disorders, risky sexual behavior, suicide and adult re-victimization. Now is the time to educate and bring awareness to our communities about the seriousness and prevalence of teen dating violence and bring prevention to our society.

Casa de Esperanza would be honored if you would sponsor an official proclamation to recognize February as the City of Colusa’s Teen Dating Violence Awareness and Prevention Month. Your proclamation would lend official recognition to the important work of raising awareness about teen dating violence as well as emphasizing your personal commitment to ending this crime.

Attached is a sample proclamation to guide your office in composing a proclamation for our county.

If you or your staff have any questions about this request, the sample proclamation or National Teen Dating Violence Awareness and Prevention Month, please call us at (530) 674- 5400 or look into BreakTheCycle.org. We appreciate your support and thank you for your consideration of this vital issue.

Sincerely,
Magdalena Arroyo Martinez
She/Her/Ella
Sexual Assault
Casa de Esperanza
6 Teen Dating Violence Awareness and Prevention Month
February 2022
WHEREAS, females between the ages 16-24 are more vulnerable to intimate partner violence, experiencing abuse at a rate almost triple the national average; and WHEREAS, one in three adolescent girls in the United States is a victim of physical, emotional or verbal abuse from a dating partner, a figure that far exceeds victimization rates for other types of violence affecting youth; and
WHEREAS, high school students who experience physical violence in a dating relationship are more likely to use drugs and alcohol, are at greater risk of suicide and are much more likely to carry patterns of abuse into future relationships; and
WHEREAS, young people victimized by a dating partner are more likely to engage in risky sexual behavior and unhealthy dieting behaviors and the experience may disrupt normal development of self-esteem and body image; and
WHEREAS, nearly half of teens who experience dating violence report that incidents of abuse took place in a school building or on school grounds; and
WHEREAS, only 33% of teens who are in an abusive relationship ever tell anyone about the abuse, and 81% of parents surveyed either believe teen dating violence is not an issue or admit they do not know if it is one; and
WHEREAS, by providing young people with education about healthy relationships and relationship skills and by changing attitudes that support violence, we recognize that dating violence can be prevented; and WHEREAS, it is essential to raise community awareness and to provide training for teachers, counselors and school staff so that they may recognize when youth are exhibiting signs of dating violence; and WHEREAS, the establishment of Teen Dating Violence Awareness and Prevention Month will benefit young people, their families, schools and communities regardless of socioeconomic status, gender, sexual orientation or ethnicity; and
WHEREAS, everyone has the right to a safe and healthy relationship and to be free from abuse.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Live Oak, California do hereby proclaim February 2022, Teen Dating Violence Awareness and Prevention Month, throughout the City of Live Oak. We urge all residents to work toward ending teen dating violence by empowering young people to develop healthier relationships, assisting victims in accessing the information and supportive services they need, creating better and more resources for young people in need, instituting effective intervention and prevention policies in schools and engaging in discussions with family members and peers to promote awareness and prevention of the quiet epidemic of teen dating violence.

Dated this 2nd day of February, 2022.
_______________________________
Nancy Santana, Mayor
Bob Woten, Vice Mayor Lakhvir Ghag, Council Member

Jeramy Chapdelaine, Council Member J.R. Thiara, Council Member Proclamation
7 City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: City Council Meeting Minutes
Contact Information: Clarissa Menchaca, City Clerk
Recommendation: Approve the January 19, 2022 City Council Regular Meeting minutes.

Attachments:

Minutes
8 LIVE OAK CITY COUNCIL MINUTES – JANUARY 19, 2022

The Live Oak City Council conducted this meeting in accordance with Governor Newsom’s Executive Orders N25-20 and N-29-20.

CALL TO ORDER
Meeting called to order by Mayor Santana at Live Oak City Council Chambers, 9955 Live Oak Boulevard, Live Oak, CA at 6:09 pm.

ROLL CALL

Present: Councilmembers Thiara, Chapdelaine, Vice Mayor Woten, and Mayor Santana

Absent: Councilmember Ghag

PLEDGE OF ALLEGIANCE AND INVOCATION
Councilmember Chapdelaine led the Pledge of Allegiance. Councilmember Thiara delivered the invocation.

CORRECTIONS AND/OR CHANGES TO THE AGENDA BY CITY MANAGER ONLY There were no corrections and/or changes to the agenda.

PRESENTATIONS AND RECOGNITIONS
A. Holiday Lights Decorating Contest Winners
The Council recognized the following winners of the Holiday Lights Decorating Contest:
3rd place: 2559 Brianne Way
2nd place: 9623 Poplar Way
1st place: 3377 Richmond Court

PUBLIC COMMENT
The following member of the public addressed the Council: Cruz Mora.

LIVE OAK

CITY COUNCIL

MINUTES
JANUARY 19, 2022
6:00 PM
9 LIVE OAK CITY COUNCIL MINUTES – JANUARY 19, 2022

CONSENT ITEMS
Consent Calendar is passed by one motion with exceptions and separate votes as noted.

MOTION: APPROVE THE CONSENT AGENDA, WITH THE EXCEPTION OF ITEM 2 AND ITEM 3 WHICH WERE PULLED FOR FURTHER DISCUSSION.
(MOTION: WOTEN; SECOND: SANTANA)
VOTE: MOTION PASSED 4-1
AYES: COUNCILMEMBERS THIARA, CHAPDELAINE, VICE MAYOR WOTEN, AND MAYOR SANTANA ABSENT: COUNCILMEMBER GHAG

1. City Council Meeting Minutes
Clarissa Menchaca, City Clerk
Council action: January 5, 2022 City Council Regular Meeting minutes approved.

2. 2022 HOME Program Application Resolution
Alison Schmidt, Acting Chief Building Official
This item was removed from the Consent Agenda for further discussion at the request of Councilmember Thiara.

3. Emergency Repair of Screening Unit at Wastewater Treatment Plant Ron Walker, Public Works Director
This item was removed from the Consent Agenda for further discussion at the request of Councilmember Thiara.

BUSINESS ITEMS

4. 2022 Council Member Committee Assignments
Aaron Palmer, City Manager
Aaron Palmer, City Manager, provided a report for the Council.

Public Comment was opened and closed without any speakers.

MOTION: APPROVE THE 2022 COMMITTEE ASSIGNMENTS AS PRESENTED INCLUDING THE FOLLOWING CHANGES:

REGIONAL COMMITTEE ASSIGNMENTS:
 BI-COUNTY HOMELESS SERVICES PROGRAM: COUNCILMEMBER CHAPDELAINE APPOINTED AS ALTERNATE MEMBER, WITH A TERM ENDING JANUARY 2023.
 REGIONAL WASTE MANAGEMENT AUTHORITY: COUNCILMEMBER CHAPDELAINE APPOINTED AS ALTERNATE MEMBER.
10 LIVE OAK CITY COUNCIL MINUTES – JANUARY 19, 2022

 SUTTER ANIMAL SERVICES AUTHORITY: VICE MAYOR WOTEN APPOINTED AS SECOND

REGULAR MEMBER AND COUNCILMEMBER CHAPDELAINE APPOINTED AS ALTERNATE MEMBER, WITH TERMS ENDING JANUARY 2023.
 SUTTER BUTTE FLOOD CONTROL AGENCY: COUNCILMEMBER CHAPDELAINE APPOINTED AS ALTERNATE MEMBER.
(MOTION: WOTEN; SECOND: CHAPDELAINE)
VOTE: MOTION PASSED 3-1-1
AYES: COUNCILMEMBER CHAPDELAINE, VICE MAYOR WOTEN, MAYOR SANTANA NOES: COUNCILMEMBER THIARA
ABSENT: COUNCILMEMBER GHAG

5. Council Discussion and Possible Action to Adopt a Resolution Approving and Adopting the Final Draft Sutter Subbasin Groundwater Sustainability Plan and Authorizing Submittal of the Final Draft Plan to the Department of Water Resources
Scott Rolls, City Engineer
Scott Rolls, City Engineer, provided a report for the Council.

The following member of the public addressed the Council: Cruz Mora.

MOTION: ADOPT RESOLUTION APPROVING AND ADOPTING THE FINAL DRAFT SUTTER SUBBASIN

GROUNDWATER SUSTAINABILITY PLAN AND AUTHORIZING SUBMITTAL OF THE FINAL DRAFT PLAN TO THE DEPARTMENT OF WATER RESOURCES BY THE END OF THIS MONTH, JANUARY. (MOTION: WOTEN; SECOND: SANTANA)
VOTE: MOTION PASSED 4-1
AYES: COUNCILMEMBERS THIARA, CHAPDELAINE, VICE MAYOR WOTEN, AND MAYOR SANTANA ABSENT: COUNCILMEMBER GHAG
Reference Resolution No. 04-2022.
11 LIVE OAK CITY COUNCIL MINUTES – JANUARY 19, 2022

6. Council Discussion and Possible Action to Adopt a Resolution Authorizing the Designation of Certain Products, Brands or Services and the Waiver of the Competitive Bidding Requirements for the Purchase of Standardized Equipment for Use in the Live Oak Streetscape Project Scott Rolls, City Engineer
Scott Rolls, City Engineer, provided a report for the Council.

Public Comment was opened and closed without any speakers.

MOTION: ADOPT RESOLUTION AUTHORIZING THE DESIGNATION OF CERTAIN PRODUCTS, BRANDS OR SERVICES

AND THE WAIVER OF THE COMPETITIVE BIDDING REQUIREMENTS FOR THE PURCHASE OF STANDARDIZED EQUIPMENT FOR USE IN THE LIVE OAK STREETSCAPE PROJECT. (MOTION: CHAPDELAINE; SECOND: WOTEN)
VOTE: MOTION PASSED 4-1
AYES: COUNCILMEMBERS THIARA, CHAPDELAINE, VICE MAYOR WOTEN, AND MAYOR SANTANA ABSENT: COUNCILMEMBER GHAG
Reference Resolution No. 05-2022.

ITEMS REMOVED FROM THE CONSENT AGENDA FOR COUNCIL CONSIDERATION AND ACTION

2. 2022 HOME Program Application Resolution
Alison Schmidt, Acting Chief Building Official
Alison Schmidt, Acting Chief Building Official, addressed questions from the Council.

MOTION: ADOPT RESOLUTION AUTHORIZING THE SUBMITTAL OF AN APPLICATION FOR HOME GRANT FUNDS

FROM THE STATE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT AND THE EXECUTION OF AGREEMENTS AND DOCUMENTS NECESSARY TO PARTICIPATE IN THE HOME PROGRAM. (MOTION: WOTEN; SECOND: CHAPDELAINE)
VOTE: MOTION PASSED 4-1
AYES: COUNCILMEMBERS THIARA, CHAPDELAINE, VICE MAYOR WOTEN, AND MAYOR SANTANA ABSENT: COUNCILMEMBER GHAG
Reference Resolution No. 03-2022.

3. Emergency Repair of Screening Unit at Wastewater Treatment Plant Ron Walker, Public Works Director
Ron Walker, Public Works Director, addressed questions from the Council.

MOTION: ACCEPT MANUFACTURER’S QUOTE.
(MOTION: CHAPDELAINE; SECOND: WOTEN)
VOTE: MOTION PASSED 4-1
AYES: COUNCILMEMBERS THIARA, CHAPDELAINE, VICE MAYOR WOTEN, AND MAYOR SANTANA ABSENT: COUNCILMEMBER GHAG
12 LIVE OAK CITY COUNCIL MINUTES – JANUARY 19, 2022

UPDATES AND ANNOUNCEMENTS FROM THE CITY ATTORNEY AND CITY MANAGER Aaron Palmer, City Manager, highlighted the birth of City Clerk, Clarissa Menchaca’s daughter.

COUNCILMEMBER COMMENTS (WRITTEN ONLY)
There were no Councilmember comments.

CLOSED SESSION

7. Conference with Labor Negotiators Pursuant to California Government Code Section 54957.6:

Agency Designated Representatives: Aaron Palmer, City Manager Employee Organization: Confidential and Unrepresented Employees

ADJOURNMENT
Adjourned the meeting at 7:18 pm.

Nancy Santana, Mayor
ATTEST:

Clarissa Menchaca, City Clerk
13 City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Appointment to the Feather River Air Quality Management District Contact Information: Aaron Palmer, City Manager
Background: In accordance with the Agreement for Composition of the Feather River Air Quality Management District Board of Directors, the City of Yuba City City Council has made the following new appointment: Councilman Shon Harris Alternate. Pursuant to Health and Safety Code Section 40152(b), members and their composition shall be determined jointly by the counties and cities within the district. This appointment requires approval of the Live Oak City Council.

Recommendation: Approve the appointment of City of Yuba City Councilman Shon Harris as the Alternate Member to the Feather River Air Quality Management District as required by Health and Safety Code Section 40152(b).

Attachments:

Letter from FRAQMD
14 15
City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Annual Audited Financial Statements - Year Ended June 30, 2021 Contact Information: James Ramsey, Finance Director
Background: Each year the City of Live Oak issues an Annual Comprehensive Financial Report (ACFR) (attached), which was previously referred to as the Comprehensive Annual Financial Report (CAFR). The ACFR summarizes the financial transactions of a local government for the year in accordance with the generally accepted accounting standards as promulgated by the Governmental Accounting Standards Board (GASB).

The audit is required by the loan covenants on the water and sewer systems, as well as the as Title 2, Grants and Agreements, Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, of the Code of Federal Regulations (Single Audit).

The City has engaged a regional, independent certified public accountants (CPA) firm, Lance, Soll, and Lunghard, LLP (LSL) to perform the audit in accordance with generally accepted auditing standards and Government Auditing Standards. The audit was based out of LSL's Sacramento office.

LSL has issued an unmodified or "clean" opinion that was dated on December 10, 2021. The Single Audit is currently underway and is expected to be issued by March 31, 2022.

Financial Highlights
The City's net position as of June 30, 2021 was $85,936,436, which was a slight increase of $334,856 as compared to last fiscal year. The net position includes items such as capital assets ($64,995,978), net pension liability ($1,931,204), and other long-term obligations such as bonds, notes, capital leases, and compensated absences ($6,773,860).

The City's General Fund ended with a fund balance of $4,194,753, of which $1.6 million was unassigned and available for spending. $2.6 million is committed. The General Fund balance decreased by $267,652 due to expenditures greater than actual revenues received. Across all governmental funds, fund balance ended at $5,567,814, a decrease of $1.8 million. The 16 most significant decrease is recorded in the State Grants Fund, where the City has incurred expenditures for capital projects but has not received reimbursement.

The water fund's net position increased by $532,685 from $9,937,089 to $10,469,954 primarily as a result of capital contributions recorded in the fund. The sewer fund's net position decreased by $636,940 primarily due to operating expenditures (included depreciation), being greater than revenues.

Other Information
The ACFR was submitted to the Government's Finance Officers Association (GFOA) excellence in financial reporting award program.

Additionally, LSL has issued their board communication letter in accordance with the clarified auditing standards. The letter identified the net pension liability and net other-postemployment benefits (OPEB) asset as significant estimates. These estimates are determined by actuaries in accordance with their applicable standards. There was one uncorrected misstatement noted, that management has deemed immaterial to the financial statements. The resulting impact was an adjustment of $6,281.

Finally, LSL has identified two items that are required to be reported to the City Council in accordance with government auditing standards. The first item is a result an audit adjustment related to the accrual of an accounts payable in the Water Fund. The second item is a result of the City not meeting the rate covenants of the Certificates of Participation in the Water Fund.

Recommendation: Accept and file annual financial statements.

Attachments:

City of Live Oak Report on IC Final
City of Live Oak Audit Communication Letter Final
City of Live Oak ACFR Final
17 Lance, Soll & Lunghard, LLP 2151 River Plaza Dr., Suite 150 Sacramento ,CA95833 Phone: 916.503.9691 INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL

OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE

WITH GOVERNMENT AUDITING STANDARDS
To the Honorable Mayor and Members of the City Council
City of Live Oak, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Live Oak, California, (the City) as of and for the year 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 December 10, 2021.

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

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

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

Finding 2021-001 – Accounts Payable Accrual.
18 To the Honorable Mayor and Members of the City Council City of Live Oak, California
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed the following instances of noncompliance or other matters that are required to be reported under Government Auditing Standards, and which are described in the accompanying schedule of findings and questioned costs as item 2021-002.

City’s Response to Findings
The City’s response to the findings identified in our audit was not subjected to the auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on it.

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

Sacramento, California
December 10, 2021
19 To the Honorable Mayor and Members of the City Council City of Live Oak, California

SCHEDULE OF FINDINGS AND QUESTIONED COSTS
Accounts Payable Accrual
Reference Number: 2021-001
Evaluation of Finding:

Significant Deficiency
Condition:

During our test work of accounts payable, we noted two invoices which related to fiscal year 2020-2021 that were paid in fiscal year 2021-2022 but not properly recognized as a liability in the fiscal year Criteria:

Generally Accepted Accounting Principles require expenditures to be recorded in the period in which they are incurred
Cause of Condition:

During the review of accounts payable, City staff performed a review of the invoices based upon the invoice date, rather than the period of performance of the service.

Effect or Potential Effect of Condition:

The expenditures in the Water enterprise fund were understated at the financial statement date. The City has corrected the misstatement.

Recommendation:

We recommend the City perform a thorough review over accounts payable invoices based upon the period of work performed in addition to the invoice date.

Management’s Response and Corrective Action:

The City agrees with this recommendation and will more thoroughly inspect invoices for year-end accrual.

Revenue Coverage Requirement
Reference Number: 2021-002
Evaluation of Finding:

Noncompliance
Condition:

As of June 30, 2021, the City was not in compliance with the rate covenant for their 2005 Water Fund COPs. The target coverage ratio (the ratio) of operating revenues to operating expenses is 110% and the City had a ratio of 80%.

Criteria:

The City should have a coverage ratio of operating revenues to operating expenses equal to 110% or greater.

Cause of Condition:

This condition occurred because the elected City Council has declined to adjust the water rates.

Effect or Potential Effect of Condition:

Having the ratio under the target percentage is a potential violation of the COPs covenants and may indicate a disadvantage in securing additional debt financing for the water fund. 20 To the Honorable Mayor and Members of the City Council City of Live Oak, California
Recommendation:

We recommend that the City begin the Prop 218 initiative to increase water rates charged by the city.

Management’s Response and Corrective Action:

The City agrees with this recommendation and City staff will make recommendations to the City Council in early 2022 in pursuing water rate adjustments that are compliant with the loan covenants. 21 Lance, Soll & Lunghard, LLP 2151 River Plaza Dr., Suite 150 Sacramento ,CA95833 Phone: 916.503.9691 December 10, 2021
To the Honorable Mayor and Members of the City Council
City of Live Oak, 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 Live Oak, California (the City) for the year ended June 30, 2021. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards, Government Auditing Standards and the Uniform Guidance, as well as certain information related to the planned scope and timing of our audit.

We have communicated such information in our letter to you dated May 18, 2021. Professional standards also require that we communicate to you the following information related to our audit.

Significant Audit Findings and Other Issues
Qualitative Aspects of Significant Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in the notes to the financial statements. No new accounting policies were adopted and the application of existing policies was not changed during fiscal year 2020-2021. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.

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

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

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

Significant Unusual Transactions
Management is responsible for the policies and practices used to account for significant unusual transactions. No significant unusual transactions have occurred during fiscal year 2020-2021.

Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.
22 To the Honorable Mayor and Members of the City Council City of Live Oak, California
Corrected and Uncorrected Misstatement
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management.

These differences are described below. In addition, we detected misstatements as a result of audit procedures which were significant, and were subsequently corrected by management. The details of these misstatements are described in a separate letter dated December 10, 2021.

Unadjusted Audit Differences
Overstatement of revenue accrual for GAS tax 19,027 $
Understatement of revenue accrual for RMRA (12,746)
Cumulative effect (before effect of prior year differences) 6,28 1 Effect of unadjusted audit difference - prior year -
Cumulative effect (after effect of prior year differences) 6,281 $ Current Year Over
(Under) Revenues and
Expenditures/Expenses
and Changes in Fund
Balance/Equity
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.

Circumstances that Affect the Form and Content of the Auditor’s Report New auditing standards were implemented in fiscal year 2020-2021 related to Statement of Auditing Standards 134, Auditor Reporting and Amendments, Including Amendments Addressing Disclosures in the Audit of Financial Statements, through Statement of Auditing Standards 140, Supplementary Information in Relation to the Financial Statements as a Whole. These standards updated the form and content of the financial statement auditor’s report. The purpose of the change was to present an easier format for users to understand the results of the audit and management’s responsibilities.

Management Representations
We have requested certain representations from management that are included in the management representation letter dated December 10, 2021.

Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the City’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.
23 To the Honorable Mayor and Members of the City Council City of Live Oak, California
Other Audit Findings or Issues Discussed with Management We generally discuss a variety of matters, including the significant events or transactions that occurred during the year, business conditions affecting the City and business plans and strategies that may affect the risks of material misstatements, the application of accounting principles and auditing standards, with management each year prior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Other Matters
We applied certain limited procedures to the management’s discussion and analysis, the budgetary comparison schedules for the general fund, program income fund, and transportation fund, the schedule of proportionate share of the net pension liability, the schedule of plan contributions, the schedule of changes in the net OPEB asset and related ratios, and the schedule of OPEB plan contributions which are required supplementary information (RSI) that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.

We were engaged to report on the combining and individual nonmajor fund financial statements and 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 financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves.

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

The following new Governmental Accounting Standards Board (GASB) pronouncements were effective for fiscal year 2020-2021 audit:

GASB Statement No. 84, Fiduciary Activities.

GASB Statement No. 90, Majority Equity Interests - an Amendment of GASB Statement Nos. 14 and 61.

GASB Statement No. 98, The Annual Comprehensive Financial Report.

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

Fiscal year 2022
GASB Statement No. 87, Leases.

GASB Statement No. 89, Accounting for Interest Cost Incurred before the End of a Construction Period.
24 To the Honorable Mayor and Members of the City Council City of Live Oak, California
GASB Statement No. 97, Certain Component Unit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans.

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

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

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

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

Very truly yours,
Sacramento, California
25 /dzK&>/s
K<͕^dd
K&>/&KZE/
EEh> KDWZ
,
E^/s
&/EE/>Z
WKZd
&ŝƐĐĂůzĞĂƌ
ŶĚĞĚ:ƵŶĞϯϬ͕ϮϬϮ1
WZ
WZ
zd,
&/EE

WZdD
Ed
26 &,7<2)/,9(2$.&$/,)251,$
$118$/&2035(+(16,9(),1$1&,$/5(3257
),6&$/<($5(1'('-81(
35(3$5('%<7+(),1$1&('(3$570(17
27 THIS PAGE INTENTIONALLY LEFT BLANK
28 CITY OF LIVE OAK. CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2021

TABLE OF CONTENTS
Page
Number

INTRODUCTORY SECTION (UNAUDITED)
Transmittal Letter ..................................................................................................................................... i Organization Chart ................................................................................................................................. iv

FINANCIAL SECTION
INDEPENDENT AUDITORS’ REPORT .................................................................................................. 1 MANAGEMENT’S DISCUSSION AND ANALYSIS (Required Supplementary Information) ................. 5

BASIC FINANCIAL STATEMENTS
Government-Wide Financial Statements:

Statement of Net Position ........................................................................................................ 13 Statement of Activities .............................................................................................................. 14 Fund Financial Statements:

Balance Sheet – Governmental Funds .................................................................................... 16 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position .............................................................................................. 19 Statement of Revenues, Expenditures and Changes in
Fund Balances – Governmental Funds ................................................................................... 20 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to
the Statement of Activities........................................................................................................ 22 Statement of Net Position – Proprietary Funds ....................................................................... 23 Statement of Revenues, Expenses and Changes in Fund
Net Position – Proprietary Funds ............................................................................................. 24 Statement of Cash Flows – Proprietary Funds ........................................................................ 25 Statement of Fiduciary Net Position – Private Purpose Trust Fund ........................................ 26 Statement of Changes in Fiduciary Net Position – Private Purpose Trust Fund ..................... 27 Notes to Basic Financial Statements .............................................................................................. 29 29 CITY OF LIVE OAK, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2021

TABLE OF CONTENTS
Page
Number

FINANCIAL SECTION (CONTINUED)

REQUIRED SUPPLEMENTARY INFORMATION (UNAUDITED)
Budgetary Comparison Schedule by Department - General Fund ................................................. 64 Budgetary Comparison Schedule – Program Income .................................................................... 65 Budgetary Comparison Schedule – Transportation ....................................................................... 67 Schedule of Proportionate Share of Net Pension Liability ............................................................. 68 Schedule of Plan Contributions ...................................................................................................... 70 Schedule of Changes in the Net OPEB Asset and Related Ratios ................................................ 72 Schedule of OPEB Plan Contributions ........................................................................................... 73 Notes to Required Supplementary Information .............................................................................. 74

SUPPLEMENTARY INFORMATION
Nonmajor Governmental Funds:

Special Revenue Funds Narrative Summary ................................................................................. 75 Combining Balance Sheet .............................................................................................................. 78 Combining Statement of Revenues, Expenditures and Changes in Fund Balances ......................................................................................................................... 86 Budgetary Comparison Schedules
Streets and Roads ................................................................................................................... 94 COPS ....................................................................................................................................... 95 Sidewalk Improvement ............................................................................................................. 96 Street Lighting .......................................................................................................................... 97 Mello Roos CFD 92-1 ............................................................................................................... 98 Fire Benefit Assessment .......................................................................................................... 99 Mello Roos CFD 2004-1 Fire ................................................................................................. 100 Mello Roos CFD 2004-1 Police .............................................................................................. 101 Mello Roos CFD 2004-1 Animal Services .............................................................................. 102 Mello Roos CFD 2004-1 Street Lighting ................................................................................ 103 Mello Roos CFD 2004-1 Parks/Recreation/Pool ................................................................... 104 Mello Roos CFD 2004-1 Storm Drain .................................................................................... 105 Parks and Recreation Impact Fees ........................................................................................ 106 Community Center Impact Fees ............................................................................................ 107 Public Works Impact Fees .....................................................................................................108 General Government Impact Fees ......................................................................................... 109 Police Impact Fees ................................................................................................................. 110 Fire Impact Fees .................................................................................................................... 111 Signal Impact Fees ................................................................................................................ 112 30 CITY OF LIVE OAK, CALIFORNIA

ANNUAL COMPREHENSIVE FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2021

TABLE OF CONTENTS
Page
Number

FINANCIAL SECTION (CONTINUED)
Flood Control Impact Fees ..................................................................................................... 113 Storm Drain Connection Fees ................................................................................................ 114 13-CDBG-8933 Skate Park .................................................................................................... 115 Nonmajor Proprietary Funds:

Combining Statement of Net Position...........................................................................................116 Combining Statement of Revenues, Expenditures and Changes in Net Position ............................................................................................................................ 117 Combining Statement of Cash Flows ........................................................................................... 118

STATISTICAL SECTION (UNAUDITED)
Narrative Summary ............................................................................................................................. 119 Financial Trend Information:

Net Position by Component – Last Ten Fiscal Years ................................................................... 121 Changes in Net Position – Last Ten Fiscal years ......................................................................... 122 Fund Balances of Governmental Funds – Last Ten Fiscal Years ................................................ 124 Changes in Fund Balances of Governmental Funds – Last Ten Fiscal Years ............................ 125 Revenue Capacity Information:

Assessed Value and Actual Value of Taxable Property – Last Ten Fiscal Years ........................ 126 Property Tax Rates – All Overlapping Governments – Last Ten Fiscal Years ............................ 127 Principal Property Tax Payers – Current Year and Four Years Ago ............................................ 128 Property Tax Levies and Collections – Last Ten Fiscal Years ..................................................... 129 Debt Capacity Information:

Ratios of Outstanding Debt by Type – Last Ten Fiscal Years ..................................................... 130 Ratios of General Bonded Debt Outstanding – Last Ten Fiscal Years ........................................ 131 Direct and Overlapping Bonded Debt ...........................................................................................132 Computation of Legal Bonded Debt Margin ................................................................................. 133 Demographic and Economic Information:

Demographic and Economic Statistics – Last Ten Calendar Years ............................................. 134 Principal Employers – Current Year and Four Years Ago ............................................................ 135 Operating Information:

Full-Time and Part-Time City Government Employees – Last Ten Fiscal Years ......................... 136 Operating Indicators – Last Ten Fiscal Years .............................................................................. 137 Capital Asset Statistics – Last Ten Fiscal Years .......................................................................... 138 Sales Value History – Last Ten Years .......................................................................................... 139 31 THIS PAGE INTENTIONALLY LEFT BLANK
32 December 10, 2021
To the Honorable Mayor, City Council and Citizens of Live Oak:

ANNUAL COMPREHENSIVE FINANCIAL REPORT OF THE CITY OF LIVE OAK We are pleased to present the Annual Comprehensive Financial Report (ACFR) of the City of Live Oak for the fiscal year ended June 30, 2021. Although addressed to the City’s governing body and its citizens, the ACFR is intended also to provide relevant financial information to creditors, investors, and other interested parties. This transmittal letter provides a summary of City of Live Oak finances, services, achievements and economic prospects for readers without a technical background. Those wishing a more detailed discussion of the City’s financial results should refer to Management’s Discussion and Analysis (MD&A) contained in the Financial Section of the ACFR.

Management takes sole responsible for the accuracy of the information contained in this report, the adequacy of its disclosures, and the fairness of its presentation. To provide a reasonable basis for making this representation, the City has established a system of internal controls designed to protect City assets from loss, to identify and record transactions accurately, and to compile the information necessary to produce financial statements in conformity with generally accepted accounting principles.

The City contracted with Lance, Soll & Lunghard, CPAs, a firm of Certified Public Accountants licensed to practice in the State of California, to perform the annual independent audit. The goal of the audit is to obtain reasonable, but not absolute assurance that the financial statements are free of material misstatements and are fairly presented in conformity with the generally accepted accounting principles (GAAP). The City auditors have issued an unmodified opinion that the City’s financial statements for fiscal year ended June 30, 2021. This conclusion is the most favorable kind and is presented as the component of the financial section of this report.

REPORTING ENTITY
The City of Live Oak is a growing, rural community located on the Highway 99 corridor 60 miles north of Sacramento at the north end of Sutter County. Incorporated in 1947 and named for the oak forest that once dominated the landscape, Live Oak is rooted strongly in agriculture, surrounded on all sides by bountiful agriculture production including peaches, nuts, rice, and other crops. Live Oak has grown to a population of 9,300 residents and comprises of 3.1 square miles.

The City is a full-service general law city that operates under a Council-Manager form of government. The City’s five Council Members are elected at large and serve four year terms. The elections are staggered every two years, with three seats open in one election and two seats open in the next election. The Mayor and Vice-Mayor are elected by the City Council to serve one-year terms. The City Council appoints a City Manager to implement its policies and directives. All of the City departments operate under the supervision of the City Manager.

The City provides a full range of municipal services, including police and fire protection, street and park maintenance, community development, building inspection, code enforcement, recreation programs, finance, grants and general administration. The City also operates a municipal pool, water treatment plant and a new waste water treatment facility.

At one time a major hub for shipping produce, Live Oak is still linked to transportation with both the Union Pacific Railroad tracks and Highway 99 running north and south through the community. The world’s smallest mountain range, the Sutter Buttes, is seven miles west of the city providing magnificent views of this natural attraction. The Feather River flows quietly less than two miles to the east. i
33 The Live Oak City Council has responded to recent growth with significant policy accomplishments including adoption of a new 2030 General Plan, new zoning ordinance, building design guidelines, water/sewer/storm drain master plans and a streetscape design master plan for the Highway 99 corridor. Over 300 acres of highway frontage zoned for business growth was annexed in 2011. A state-of-the-art wastewater treatment plant was completed in 2012 ensuring adequate capacity for expected growth. The newly renovated Live Oak Depot, an icon of the community’s historic link to the railroad, anchors the downtown core. New renovated parks provide recreational opportunities for Live Oak residents. Live Oak is poised as one of the nicest rural communities in the northern Sacramento Valley.

ECONOMIC CONDITION AND OUTLOOK
Property taxes, sales taxes, general taxes and assessments received by the City's governmental funds had a slight increase in revenues over the prior years in spite of the COVID-19 pandemic. These modest increases have restored the City's core revenue base to what it was received in the peak year of FY 2007-08. Commercial expansion reaming stagnant in Live Oak and the surrounding area. The widening of Highway 99 is expected to lead to new commercial opportunities. In the past 12 months, the City has experienced the addition of 82 new single-family homes, with another 60 pending permits.

In recent years, the City has leveraged various grant sources in funding significant public improvements projects including the City's new soccer park, sheriff and fire station rehabilitation and recent expansion of its bike/pedestrian trail system. Such projects add to the existing community assets and provides for new facilities for the betterment of public services being delivered to the City's residents.

SIGNIFICANT EVENTS AND ACCOMPLISHMENTS
Highlights of activities and accomplishments for the fiscal year ended June 30, 2021 include the following:
 Continued construction of the Underground Utility project.  Continued construction of the Highway 99 widening.
 Nearing completion of the new municipal water well.
 Continued construction of the Pennington Road water main project.

FINANCIAL INFORMATION
The City’s management staff is responsible for establishing and maintaining internal controls that safeguard the assets of the government from loss, theft, or misuse and allow the compilation of adequate accounting data for the preparation of financial statements in conformity with Generally Accepted Accounting Principles (GAAP). Internal controls are designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that the cost of a control should not exceed its likely benefits and that the evaluation of costs and benefits is subject to management estimates and judgments.

Budgetary Controls
The City maintains budgetary controls to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Council. Activities of the majority of the funds are included in the annual appropriated budget. In administering the budget, the City Manager shall have the authority to provide each department with sufficient funding to meet its needs so long as a decision to vary from approved appropriations does not exceed, except in the case of emergencies, the total resources estimated to be available to the affected municipal fund at the time of the decision. If necessary, staff recommends budgetary changes during periodic financial status reports to the City Council.

The City continues to meet its responsibility for sound financial management as demonstrated by the statements and schedules included in the financial section of this report. ii
34 AWARD AND ACKNOWLEDGEMENTS
The City will applying for the Government Finance Officers Association of the United States and Canada (GFOA) Certificate for Excellence in Financial Reporting for its annual comprehensive financial report for the fiscal year ended June 30, 2021. This award recognizes the City’s conformance with the highest standards for preparation of state and local government financial reports.

In order to be awarded a Certificate of Achievement, the government must publish an easily readable and efficiently organized comprehensive annual financial report, whose contents conform to program standards. Such report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current comprehensive annual financial report continues to meet the Certificate of Achievement Program’s requirement and we are submitting it to the GFOA to determine its eligibility for another certificate.

The preparation of this ACFR represents the culmination of a concerted team effort by the entire staff of the Finance Department. Each member of the department has our sincere appreciation for the contributions made in the preparation of this report. In addition, staff in all City departments should be recognized for their timely and positive response to the requests for detailed information necessary to prepare the annual audit. The role of Lance, Soll & Lunghard, CPAs, should also be acknowledged as a significant contribution.

Finally, we wish to express our sincere appreciation to the Mayor and City Council for providing policy direction and a firm foundation of support in planning and conducting the financial operations of the City in a responsible and progressive manner.

Respectfully submitted,
James W Ramsey, CPA
Director of Finance (Consultant)
Respectfully submitted,
James W Ramsey CPA
iii
35 &,7<2)/,9(2$.25*$1,=$7,21$/&+$57

)LOOHG3RVLWLRQV

&,7<0$1$*(5
-LP*RRGZLQ
)LQDQFH'LUHFWRU&LW\
7UHDVXUHU


-DPHV5DPVH\
(LGH%DLOO\
3XEOLF:RUNV
'LUHFWRU


5RQ:DONHU
0DQDJHPHQW
$QDO\VW+5


-HVVLFD0DWD
3DUNVDQG5HFUHDWLRQ
'LUHFWRU


/XLV&LEULDQ
$FWLQJ&KLHI
%XLOGLQJ2IILFLDO
$OLVRQ6FKPLGW
&RPP'HYHORSPHQW
'LUHFWRU
&RQWUDFW&LW\3ODQQHU


.HYLQ9DOHQWH
5DQH\0DQDJHPHQW
0DQDJHPHQW$QDO\VW
*UDQWV


7RQ\0RQWHV
)DFLOLWLHVDQG
0DLQWHQDQFH
:RUNHUV
,,,,,,


+HFWRU6DQFKH]


7KRPDV6FRWW


$GULDQ$UULDJD


9DFDQW
3DUNV0DLQWHQDQFH
:RUNHU


'DQ6DQWRV


-RVH5DPLUH]


2]LHO$OYDUDGR
)LQDQFLDO$QDO\VW&


3DUYHHQ-RKO
6U$GPLQLVWUDWLYH
$VVLVWDQW±)LQDQFH


5XE\2UQHODV
&LW\(QJLQHHULQJ
&RQWUDFW
6FRWW5ROOV
5ROOV$QGHUVRQ5ROOV
3DUNV0DLQWHQDQFH
:RUNHU7HPS


-RVH&DQWDORQ


$OIUHGR*XWLHUUH]
5HFUHDWLRQ/HDGHU


6KDQWDO$OYDUH]


+XJK&DWEDJDQ
3ROLFH6HUYLFHV
&RQWUDFW
/W&UDLJ+XQJULJH
6XWWHU&RXQW\6KHULII
)LUH6HUYLFHV
&RQWUDFW
%DWWDOLRQ&KLHI
5LFKDUG(SSHUVRQ
6XWWHU&RXQW\)LUH
3DUNV 5HF
5HFUHDWLRQ6XSHUYLVRU


7RQ\$FRVWD
:DWHU4XDOLW\
&RQWURO2SHUDWRU


7RQ\:ULJKW


*UHJJ$OHFN


-RKQ%RQWUDJHU


9DFDQW
$GPLQLVWUDWLYH$LGH
7HPS


9DFDQW
0DQDJHPHQW$QDO\VW


%REEL3KDJXUD
$GPLQLVWUDWLYH
$VVLVWDQW±)LQDQFH


9LFWRULD*RQ]DOHV
&,7<&281&,/
/DNKYLU*KDJ
%RE:RWHQ
-57KLDUD
1DQF\6DQWDQD

&LW\&OHUN


&ODULVVD0HQFKDFD
&LW\0DQDJHU


$DURQ3DOPHU
&LW\$WWRUQH\


1LFROH5RVVHU
&RQWUDFW

6FKHGXOHG3DUW7LPH
iv
36 Lance, Soll & Lunghard, LLP 2151 River Plaza Dr., Suite 150 Sacramento ,CA95833 Phone: 916.503.9691 INDEPENDENT AUDITORS’ REPORT
To the Honorable Mayor and Members of the City Council
City of Live Oak, California
Report on the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of City of Live Oak, California, (the City) as of and for the year ended June 30, 2021, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents.

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Live Oak, California, as of June 30, 2021, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for twelve months beyond the date of the financial statements. 37 To the Honorable Mayor and Members of the City Council City of Live Oak, California
Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with the GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if, there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS and Government Auditing Standards, we:
 Exercise professional judgment and maintain professional skepticism throughout the audit.  Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
 Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed.  Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
 Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.

Other Reporting Responsibilities
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis, the budgetary comparison schedules for the general fund, program income fund, and transportation fund, the schedule of proportionate share of the net pension liability, the schedule of plan contributions, the schedule of changes in the net OPEB asset and related ratios, and the schedule of OPEB plan contributions, be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. 2 38
To the Honorable Mayor and Members of the City Council
City of Live Oak, California
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The combining and individual nonmajor fund financial statements, and budgetary schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements. The combining and individual nonmajor fund financial statements and schedules are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the combining and individual nonmajor fund financial statements and schedules are fairly stated, in all material respects in relation to the basic financial statements as a whole.

Other Information
Management is responsible for the other information included in the annual report. The other information comprises the introductory section and statistical section but does not include the basic financial statements and our auditor’s report thereon. Our opinions on the financial statements does not cover the other information, and we do not express an opinion or any form of assurance thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated December 10, 2021, on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.

Sacramento, California
December 10, 2021
3 39

THIS PAGE INTENTIONALLY LEFT BLANK
4 40
MANAGEMENT’S DISCUSSION AND ANALYSIS
The following discussion provides readers of the City of Live Oak, California’s (City) financial statements a narrative overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2021. This document should be read in conjunction with the accompanying Letter of Transmittal and basic financial statements, which follows this section.

FINANCIAL HIGHLIGHTS
The City’s assets and deferred outflows exceeded its liabilities and deferred inflows by $85,936,436 as of June 30, 2021, an increase of $334,856 from the prior year.

The City’s governmental funds reported a combined fund balance of $5,567,814, a decrease of $1,839,563 from the prior year.

General Fund revenues of $3,658,661 were $326,190 higher than the prior year.

General Fund expenditures of $3,926,313 represented an increase of $385,926 from the prior year.

OVERVIEW OF THE FINANCIAL STATEMENTS
This annual report consists of a series of financial statements, commonly referred to as the City’s Basic Financial Statements. Management’s Discussion and Analysis introduces these statements and includes two different views of the City’s financial activities and position: (1) Government-Wide Financial Statements provide information about the activities of the City as a whole and present a longer-term view of the City’s finances; (2) Fund Financial Statements provide detailed information about the individual functions of City government, telling how services were financed in the short-term as well as what remains for future spending.

Each set of statements presents the City’s finances in a distinct way. To assist the reader in understanding the differences between them, a brief discussion of each follows, including the relationship of these statements to each other and the significant differences in the information they provide.

Government-Wide Financial Statements
The government-wide financial statements provide a broad overview of City finances in a manner similar to private sector business. These statements separate the City’s activities into two areas:

Governmental Activities – these services are principally supported by taxes and intergovernmental revenues. Most of the City’s basic services are considered to be governmental activities including public safety, community development, public works, parks and recreation, and general administration.

Business-Type Activities – these services rely upon user fees and charges to help cover all or most of their costs. The City’s water and wastewater systems are reported here. Unlike governmental activities, these services are supported by charges supported by users based on the amount of the service they use.

The two statements can be generally described as follows:

The Statement of Net Position presents information on all the City’s assets, deferred outflows of resources, liabilities, and deferred inflows of resources, with the difference between them reported as net position.

Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating.

The Statement of Activities presents information showing how the City’s net position changed during the year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs regardless of the timing of related cash flows.
5 41
Notably, these statements differ from the fund financial statements in that they include all assets of the City (including infrastructure) and all liabilities (including long-term debt) and exclude certain interfund receivables, payables and other interfund activity. For additional reference, reconciliation between the two is provided on pages 19 and 22 of this report.

Fund Financial Statements
The fund financial statements provide detailed information about each of the City’s most significant funds – not the City as a whole. Management establishes funds to help control and manage money for purposes.

The City uses three types of funds: governmental, proprietary and fiduciary.

Governmental Funds – most of the City’s basic services are reported in governmental funds, which focus on how money flows into and out of those funds and the balances left at year-end that are available for spending. These funds are reported using modified accrual accounting, which measures cash and all other financial assets that can be converted to cash. The governmental fund statements provide a detailed shortterm view of the City’s general government operations and the basic services it provides. This information helps determine whether there are more or fewer financial resources that can be spent in the near future to finance the City’s programs. We describe the relationship between governmental activities (reported in the statement of net position and the statement of activities) and the governmental funds in reconciliation at the bottom of the fund financial statements.

Proprietary Funds – when the City charges customers for services it provides, whether outside customers or to other units of the City, these services are generally reported in proprietary funds. Proprietary funds provide the same type of information as shown in the government-wide financial statements (i.e., businesstype activities), only in more detail. The City uses enterprise funds to account for its water and sewer operations; in addition, the City uses enterprise funds to account for water and sewer connection fees.

Fiduciary Funds – the City is the trustee, or fiduciary, for certain funds held on behalf of external parties.

The City’s fiduciary activities are reported in a separate statement of fiduciary net position. These activities are excluded from the City’s other financial statements because the resources of the funds are not available to support the City’s own programs. The City is responsible for ensuring that the assets reported in these funds are used for the intended purposes.

NOTES TO BASIC FINANCIAL STATEMENTS
The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements.

REQUIRED SUPPLEMENTARY INFORMATION
In addition to the basic financial statements and accompanying notes, this report presents the following required supplementary information: budgetary comparisons for the City’s General Fund and major special revenue funds as well as a description of the City’s accounting policies with regard to the annual budget.

The City also reports certain schedules related to the net pension liability and net OPEB asset. 6 42

FINANCIAL ANALYSIS OF THE GOVERNMENT-WIDE STATEMENTS
The government-wide financial statements provide long-term and short-term information about the City’s overall financial conditions. This analysis addresses the financial statements of the City as a whole.

Following is a summary of net position:

Net position represents the difference between the City’s resources and its obligations. At June 30, 2021, the largest portion of the City’s total net position, 68 percent, reflects the net investment in capital assets.

This component of net position, which reflects the total amount of funds used to acquire those assets less any outstanding debt used for such acquisition, was $58.5 million at June 30, 2021. These capital assets are used by the City to provide services to the citizens.

Overall, the net position for the governmental and business-type activities of the City funds has improved due to both operating results and increase contributions from operating and capital grants.

Restricted net position of $5.0 million represents resources subject to external restrictions as to how they may be used. Unrestricted net position of $22.4 million represents amounts that may be used to meet the City’s ongoing obligations to its residents, businesses, customers, and creditors.

Governmental Business-Type Governmental Business-Type
Activities Activities Totals Activities Activities Totals Current and other assets $ 26,981,880 $ 6,274,142 $ 33,256,022 $ 26,887,053 $ 6,274,142 33,161,195$ Capital assets, net 29,518,958 35,477,020 64,995,978 28,535,349 35,477,020 64,012,369 Total assets 56,500,838 41,751,162 98,252,000 55,422,402 41,751,162 97,173,564 Deferred Outflows 285,059 304,274 589,333 294,631 618,160 912,791 Current and other liabilities 2,996,208 1,593,188 4,589,396 1,283,746 626,056 1,909,802 Non-current liabilties 1,310,601 6,951,133 8,261,734 1,410,136 7,091,360 8,501,496 Total liabilities 4,306,809 8,544,321 12,851,130 2,693,882 7,717,416 10,411,298 Deferred Inflows 32,792 20,975 53,767 76,566 74,483 151,049 Net Position
Net investment in capital assets 29,188,335 29,355,009 58,543,344 28,129,068 28,405,269 56,534,337 Restricted 3,691,906 1,306,135 4,998,041 3,896,038 815,915 4,711,953 Unrestricted 19,566,055 2,828,996 22,395,051 20,921,479 3,433,811 24,355,290 Total Net Position $ 52,446,296 $ 33,490,140 85,936,436$ $ 52,946,585 $ 32,654,995 85,601,580$ As of June 30, 2021 As of June 30, 2020
7 43
Following is a summary of changes in net position:

As of June 30, 2021 As of June 30, 2020
Governmental
Activities
Business-type
Activities Totals
Governmental
Activities
Business-type
Activities Totals
Revenues:

Program revenues:

Charges for services $ 858,171 $ 4,255,518 $ 5,113,689 $ 538,048 $ 3,473,906 $ 4,011,954 Operating grants and contributions 1,399,265 1,399,265 - 9,988,595 9,988,595 - Capital grants and contributions 38,118 38,118 - 28,210 28,210 - General revenues:

Property taxes 1,878,102 1,878,102 - 1,760,699 1,760,699 - Sales taxes 371,363 371,363 - 399,002 399,002 -
Franchise taxes 245,828 245,828 - 231,699 231,699 -
Other taxes 1,619,334 1,619,334 - 1,269,351 1,269,351 - Motor vehicle in lieu - unrestricted 429,421 429,421 - 337,283 337,283 - Use of money and property 84,839 4,126 88,965 238,755 71,114 309,869 Other miscellaneous 458,167 458,167 - 317,698 317,698 - Total revenues 7,382,608 4,259,644 11,642,252 15,109,340 3,545,020 18,654,360 Expenses:

General government 774,096 774,096 - 893,380 893,380 -
Public safety 2,328,780 2,328,780 - 2,313,013 2,313,013 - Community Development 537,626 537,626 - 4,815,355 4,815,355 - Culture and recreation 1,187,739 1,187,739 - 1,197,655 1,197,655 - Public ways and facilities 1,827,022 1,827,022 - 1,053,622 1,053,622 - Interest on long term debt 16,884 16,884 - 21,932 21,932 - Water 1, - 596,824 1,596,824 1, - 313,223 1,313,223
Sewer 3, - 038,425 3,038,425 2, - 855,811 2,855,811
Total expenses 6,672,147 4,635,249 11,307,396 10,294,957 4,169,034 14,463,991 Excess - before transfers 710,461 (375,605) 334,856 4,814,383 (624,014) 4,190,369 Transfers (1,210,750) 1,210,750 (1, - 417,165) 1,417,165 - Change in net position (500,289) 835,145 334,856 3,397,218 793,151 4,190,369 Net Position - Beginning 52,946,585 32,654,995 85,601,580 49,549,367 31,861,844 81,411,211 Net Position - Ending $ 52,446,296 $ 33,490,140 $ 85,936,436 $ 52,946,585 $ 32,654,995 $ 85,601,580 8 44
Governmental Activities:

The City’s governmental activities decreased the City’s net position by $500,289. Revenues, net of transfers, were $7.38 million which represented a decrease of $7.7 million or 51.1 percent, and expenses were
$6.67 million which represented a decrease of $3.62 million or 35.2 percent. Governmental activities highlights include the following:

Taxes provided $4.1 million or 67 percent of the total governmental activities revenue of the City.

This amount is an increase of $453,876 from the prior year. This is primarily a result of an increase in Other Taxes received. Other Taxes consisting of excise tax, impact fees, and Mello Roos increased by $349,983, while property taxes received increased by $117,403.

Charges for services, operating grants and capital grants provided $2.29 million or 31 percent of the total governmental-activities revenue of the City. This amount is a decrease of $8.26 million from the prior year and attributable to a decrease in grant funds received. In the prior fiscal year, the City received one-time grant revenues exceeding $5 million.

Business-Type Activities
Business-type activities increased the City’s net position by $835,145. Revenues were $5.47 million which represented an increase of $508,209 due to an increase in charges for services. Business-type activities highlights include the following:

Charges for services provided $4.26 million or 78 percent of the total business type activities revenue of the City. This is an increase of approximately 22.5 percent from the prior year due to increased consumption. Transfers between the governmental activities and business-type activities decreased by 14.6 percent as compared to prior year due to decreased completion of construction projects.

FINANCIAL ANALYSIS OF THE FUND STATEMENTS
The City uses fund accounting to assure and demonstrate compliance with finance-related legal requirements. The fund financial statements focus on individual parts of the City government, reporting the City’s operation in more detail than the government-wide statements. The City’s governmental funds provide information on near-term inflows, outflows and balances of spendable resources. The City’s governmental funds reported combined fund balances at June 30, 2021 of $5,567,814. The General Fund decreased by $267,652 and all other Governmental Funds decreased by $1,571,911. Within the governmental funds, the decrease in fund balance was attributable a project in the State Grant Fund for Well #7.

Analysis of Major Governmental Funds
General Fund
General Fund revenues totaled $3,658,661 in fiscal year 2020-21, an increase of $326,190 over last year.

The primary increases were in property taxes in the amount of $117,403, as well as an increase of $349,983 in other taxes. The increase in property taxes is due to elevated property values during the fiscal year.

General Fund expenditures totaled $3,926,313 in fiscal year 2020-21, an increase of $385,926 over last year. The primary increase was due to a capital project in the amount of $244,441.

At the end of fiscal year 2021, the fund balance for the City’s General Fund was $4,194,753 a decrease of $267,652 over last year. The fund balance in General Fund comprised of $29,319 in nonspendable fund balance, $2,605,435 committed fund balance and $1,559,999 unassigned fund balance. The nonspendable fund balanced increased by $18,660, the committed fund balance decreased by $1,957, while the unassigned fund balance decreased $284,355.
9 45
The following table summarizes the budget to actual results for the City's General Fund. Overall, the actual expenses for the year were slightly less than budgeted.

Original Budget Final Budget Actual Amounts
General Government $ 746,681 746,681 $ 667,086 $
Public safety 1,567,257 1,567,257 1,690,476
Public ways and facilities 20,350 20,350 37,089
Culture and recreation 861,071 874,571 782,999
Community development 266,333 266,333 330,227
Capital Outlay 9,000 1,556,000 273,012
Debt Service 148,962 148,962 145,424
$ 3,619,654 $ 5,180,154 $ 3,926,313
As of June 30, 2021
Program Income
Program income fund revenues totaled $33,235 in fiscal year 2020-21, a decrease of $19,407 due to less program activity. Program income expenditures totaled $123,773 a decrease of $213,474. At the end of fiscal year 2021 the Program income fund balance was $52,784 a decrease of $90,538. 16-HOME-11532
16-HOME-11532 fund revenues for fiscal year 2020-21 totaled $457,935, a decrease of $3.6 million. This is a result of receiving a large grant reimbursement in the prior year. Expenditures in the fund totaled $450,827, a decrease of $3.6 million. This is primarily due to the issuance of a loan to a developer for the development of affordable housing in the prior year. At the end of fiscal year 2021 fund balance was ($1,994), an increase of $7,108.

State Grants
The State Grant fund revenues for fiscal year 2020-21 were $35,652, an increase of $34,887 over the prior year. Current year expenditures totaled $1,192,787, an increase of $634,430 over the prior year. The increase in expenditures can be attributed to the construction of Well #7 that will be complete in FY2021-2022.

Transportation
The transportation fund revenues for fiscal year 2020-21 totaled $372,724, a decrease of $59,517 while the current year expenditures were $1,228,128, an increase of $1,217,863. The primary driver for the increase is related to the Highway 99/Underground Utility project that is ongoing.

Capital Improvement Project
The capital improvement fund accounts for major City capital improvement projects. The fund is budgeted on a project length basis and therefore is not comparable on an annual basis. There were revenues of $1,701 and transfers of $10,955 received in fiscal year 2021. Expenditures totaled $106,507 in fiscal year 2021.

Other Governmental Funds
These funds are presented in aggregate on the face of the fund financial statements and individually in the Supplementary Information.
10 46
Analysis of Major Enterprise Funds
Water
The water fund is financed and operated in a manner similar to that of a private business. Overall, operating revenues increased $60,463 compared to fiscal year 2019-20. In addition, operating expenses increased to $1,556,028 annually, up $264,058 over the prior year. As of June 30, 2021, the fund’s net position went from $9,937,089 in 2020 to $10,469,954 in 2021 representing an increase of $532,865. The fund's net investment in capital assets went up by $887,815 due to the transfer of infrastructure assets constructed by the governmental activities, offset by depreciation. The fund reported a deficit in unrestricted net position in the amount of ($647,792) at the close of fiscal year 2021. Due to the age of the water system infrastructure, significant investments will be required in future years to update water lines and equipment.

Sewer
The sewer fund is financed and operated in a manner similar to that of a private business. As of June 30, 2021, the fund’s net position totaled $21,265,051 of which $17,788,263 remains invested in capital assets net of related debt. The fund's unrestricted net position was $3,476,788 at the close of fiscal year 2021. Overall, operating revenues remained fairly constant at $2,378,415 with an increase of $50,116 over the prior year. Operating expenses totaled $2,961,331 for the year, an 8 percent increase of $208,563 over the prior year. Non-operating items did not significantly change from the previous year. Due to the age of the sewer system infrastructure, significant investments will be required in future years to update sewer lines and equipment.

CAPITAL ASSET AND DEBT ADMINISTRATION
The City records all of its capital assets including infrastructure. At the end of 2021, the City had invested $65 million in a broad range of capital assets, including park facilities, streets and roads improvements, and water well construction. Additional detailed information on the City’s capital assets is presented in Note 4 to the financial statements on pages 42 through 44.

The financial statements summarize the City's accounting policies regarding capital assets in Note 1 Section J of the note disclosures.

Following is a summary of capital assets:

Capital Assets
Balance at Balance at
June 30, 2021 June 30, 2020
Governmental Activities
Land 6,584,996 $ 6,584,996 $
Construction in progress 3,225,245 1, 393,398
Buildings and improvements 7,561,067 7, 561,067
Equipment 4,687,200 4, 556,617
Infrastructure 22,199,263 22, 199,263
Less: Accumulated depreciation (14,738,813) (13,759,992) Governmental Activities Capital Assets (net) 29,518,958 $ 28,535,349 $ Business-type Activities
Land 233,241 $ $ 233,241
Construction in progress 5,097,514 3, 347,105
Buildings and improvements 38,641 38,641
Equipment 1,597,191 1, 585,929
Infrastructure 49,259,827 48, 864,895
Less: Accumulated depreciation (20,749,394) (19,284,559) Business-type Activities Capital Assets (net) 35,477,020 $ 34,785,252 $ 11 47
At June 30, 2021, major construction in progress include the undergrounding of utility lines/highway 99 project in the governmental activities and the construction of Well #7 for the water fund.

Long-term Debt:

At June 30, 2020 and 2021 the City had $7 million and $6.6 million respectively in long-term debt outstanding. The City made all scheduled repayments on existing debt on time. Additional detailed information about the City’s total long-term liabilities is presented in Note 7 to the financial statements.

As of June 30, 2021, the City’s debt consisted of:

Governmental Activities Debt:
2012 City of Yuba City/County of Sutter joint facility animal shelter loan due 2023 $ 158,648 2018 Fire Engine Lease – 3.570% due 2025 330,623
Total Governmental Activities Debt 489,271
Business-type Activities Debt:
2003 USDA COP’s for Wastewater Treatment Plant Expansion – 4.25% due 7/2043 750,000 2006 USDA COP’s for Water Meter Project – 4.25% due 7/2044 960,000 2009 SWRCB State Revolving Fund Wastewater Plant – 1% 30Year Term 4,412,011 Total Business-type Activities Debt 6,122,011
Total Outstanding Debt $ 6,611,282

ECONOMIC FACTORS AND NEXT YEARS BUDGET
Assessed property values began increasing over the recent two years moving from $423 million in 2020 to $454 million in 2021. The City’s revenue base has slowly increased over the past several years and are now nearly at the same level as it was in FY 2008-2009.

The local economy continued to improve during the fiscal year, however the effects of the pandemic are still being felt. Due to the age of the infrastructure system for its water and sewer services, the City expects to continue making significant investments in the upgrading of those systems.

In September 2021, the City adopted a portion of its proposed FY 2021-22 budget as different funding sources and expenditures are evaluated. The City continues to maintain a conservative budget and had originally proposed a budget surplus. The General Fund portion of the proposed budget included approximately $3.6 million in expenditures, reflecting a decrease of 3.4% decrease from the FY 2020-21 adopted budget.

The City continued to review and update various fees in fiscal year 2020-21. The City’s development impact fees were updated in 2010-2011. Fee adjustments are necessary to ensure that the costs of providing services are matched closer to the fee revenues charged for providing these services.

CONTACTING THE CITY’S FINANCIAL MANAGEMENT
This financial report is designed to provide our citizens, taxpayers, customers, investors and creditors with a general overview of the City’s finances and to demonstrate the City’s accountability for the money it receives. If you have questions about this report or need additional financial information, contact the City Finance Department, 9955 Live Oak Blvd, Live Oak, California 95953, (530) 695-2112. 12 48

CITY OF LIVE OAK

STATEMENT OF NET POSITION
Governmental Business-Type
Activities Activities Total
Assets:

Current:

Cash and investments $ 7,033,506 $ 6,146,474 $ 13,179,980 Receivables:

Accounts, net 49,101 485,414 534,515
Notes and loans 18,346,276 - 18,346,276
Accrued interest 4,404 2,816 7,220
Internal balances 389,482 (389, 482) -
Prepaid costs 36,413 19,742 56,155
Due from other governments 1,023,910 580 1,024,490
Noncurrent:

Net OPEB asset 98,788 8,598 107,386
Capital assets not being depreciated 9,810,241 5,330,755 15,140,996 Capital assets, net of depreciation 19,708,717 30,146,265 49,854,982 Total Assets 56,500,838 41, 98,252,000 751,162
Deferred Outflows of Resources:

Deferred pension related items 303,234 265,121 568,355
Deferred OPEB related items 1,040 19,938 20,978
Total Deferred Outflows
of Resources 285,059 304,274 589,333
Liabilities:

Current:

Accounts payable 2,265,500 1,211,773 3,477,273
Retention payable 110,371 - 110,371
Due to other governments 7,723 - 7,723
Salaries and benefits payable 56,498 46,677 103,175
Accrued interest 4,918 36,338 41,256
Deposits payable 187,156 3,534 190,690
Unearned revenue 215,578 - 215,578
Compensated absences 17,223 35,014 52,237
Bonds, notes, and capital leases 131,241 259,852 391,093 Noncurrent:

Compensated absences 59,003 51,338 110,341
Bonds, notes, and capital leases 358,030 5,862,159 6,220,189 Net pension liability 8 1, 93,568 037,636 1,931,204
Total Liabilities 4,306,809 8,544,321 12,851,130
Deferred Inflows of Resources:

Deferred pension related items 20,451 28,434 48,885
Deferred OPEB related items 4,358 524 4,882
Total Deferred Inflows
of Resources 32,792 20,975 53,767
Net Position:

Net investment in capital assets 29,188,335 29,355,009 58,543,344 Restricted for:

Public safety 773,477 - 773,477
Public ways and facilities 2,370,371 - 2,370,371
Community development 203,355 - 203,355
Culture and recreation - 344,703 344,703
Capital projects 1, - 306,135 1,306,135
Unrestricted 19,566,055 2,828,996 22,395,051
Total Net Position $ 52,446,296 $ 33,490,140 $ 85,936,436 JUNE 30, 2021
Primary Government
See Notes to Financial Statements.
13 49

CITY OF LIVE OAK

STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2021
Operating Capital
Charges for Contributions Contributions
Expenses Services and Grants and Grants
Functions/Programs
Primary Government:

Governmental Activities:

General government $ 774,096 $ 392,632 $ - $ -
Public safety 2,328,780 4,781 46,285 -
Community development 537,626 981,839 - -
Culture and recreation 1,188,279 20,816 - -
Public ways and facilities 1,827,022 440,482 371,141 38,118 Interest on long-term debt 16,884 - - -
Total Governmental Activities 6,672,687 858,711 1,399,265 38,118 Business-Type Activities:

Water 1,596,824 940,189 - -
Sewer 3,038,425 2,378,415 - -
Water Connection 428,682 - - -
Sewer Connection 508,232 - - -
Total Business-Type Activities 4,635,249 4,255,518 - -
Total Primary Government $ 11,307,936 $ 5,114,229 $ 1,399,265 $ 38,118 General Revenues:

Taxes:

Property taxes, levied for general purpose
Sales taxes
Franchise taxes
Other taxes
Motor vehicle in lieu - unrestricted
Use of money and property
Other
Transfers
Total General Revenues
and Transfers
Change in Net Position
Net Position at Beginning of Year
Net Position at End of Year
Program Revenues
See Notes to Financial Statements.
14 50
Primary Government
Governmental Business-Type
Activities Activities Total
$ - (381,464) $ (381, $ 464)
- (2,277,714) (2, 277,714)
- 444,213 444,213
- (1,167,463) (1, 167,463)
- (977,281) (977, 281)
- (16,884) (16, 884)
- (4,376,593) (4, 376,593)
( - 656,635) (656,635)
( - 660,010) (660,010)
- 428,682 428,682
- 508,232 508,232
- (379,731) (379,731)
(4,376,593) (379,731) (4,756,324)
- 1,878,102 1, 878,102
- 371,363 371,363
- 245,828 245,828
- 1,619,334 1, 619,334
- 429,421 429,421
4,126 84,839 88,965
- 458,167 458,167
(1,210,750) 1,210,750 -
1, 3,876,304 5, 214,876 091,180
(500,289) 835,145 334,856
32, 52,946,585 85,601,580 654,995
$ 52,446,296 $ 33,490,140 $ 85,936,436
Net (Expenses) Revenues and Changes in Net
Position
See Notes to Financial Statements.
15 51

CITY OF LIVE OAK

BALANCE SHEET

GOVERNMENTAL FUNDS
JUNE 30, 2021
General
Assets:

Cash and investments $ 52,727 1,857,127 $ - $ $ 1,100,920 Receivables:

Accounts 48,561 - - -
Accrued interest 2,006 57 - 539
Notes and loans 105,908 12,681,167 - -
Due from other funds - 2,847,854 - -
Prepaid items - 29,319 1,909 -
Due from other governments - 142,857 - 371,141
Total Assets $ 5,033,632 $ 12,733,951 $ 1,909 $ 1,472,600 Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable $ 669,813 $ - $ 67,586 $ 1,186,529
Retention payable - - 110,371 -
Due to other governments 7,723 - - -
Salaries and benefits payable 51,011 - - -
Deposits payable 4,424 - - -
Due to other funds - - 965,570 -
Unearned revenues - - - -
Total Liabilities 732,971 1,143,527 - 1,186,529
Deferred Inflows of Resources:

Unavailable revenues - - - -
Deferred loan payments 105,908 12,681,167 - -
Total Deferred Inflows of Resources 105,908 12,681,167 - - Fund Balances:

Nonspendable - 29,319 1,909 -
Restricted 52,784 - - 286,071
Committed - 2,605,435 - -
Unassigned - 1,559,999 (1,143,527) -
Total Fund Balances 4,194,753 52,784 (1,141,618) 286,071 Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 5,033,632 $ 12,733,951 $ 1,909 $ 1,472,600 $ Transportation
State Grant
Fund
Program
Income
Special Revenue Funds
See Notes to Financial Statements.
16 52

CITY OF LIVE OAK

BALANCE SHEET

GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Accrued interest
Notes and loans
Due from other funds
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Retention payable
Due to other governments
Salaries and benefits payable
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Committed
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

Special
Revenue Funds
Capital Projects
Fund
Other Total
Governmental Governmental
Funds Funds
$ - $ - $ 4,022,732 $ 7,033,506
- - 540 49,101
- - 1,802 4,404
- 4,758,534 800,667 18,346,276
- - - 2,847,854
- - 5,185 36,413
- 337,072 172,840 1,023,910
$ 5,095,606 $ - $ 5,003,766 $ 29,341,464
$ 31,012 - $ 310,560 $ $ 2,265,500
- - - 110,371
- - - 7,723
- - 5,487 56,498
- - 182,732 187,156
293,139 339,066 860,597 2,458,372
- - 215,578 215,578
324,151 339,066 1,574,954 5,301,198
- - 126,176 126,176
4,758,534 - 800,667 18,346,276
4,758,534 - 926,843 18,472,452
- - 5,185 36,413
- 3,353,051 - 3,691,906
- - - 2,605,435
(324,151) (1,994) (856,267) (765,940)
(324,151) (1,994) 2,501,969 5,567,814
$ 5,095,606 $ - $ 5,003,766 $ 29,341,464
Capital
Improvement
16-HOME-11532 Project
See Notes to Financial Statements.
17 53

THIS PAGE INTENTIONALLY LEFT BLANK
18 54

CITY OF LIVE OAK

RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS

TO THE STATEMENT OF NET POSITION
JUNE 30, 2021
Fund balances of governmental funds $ 5,567,814
Amounts reported for governmental activities in the statement of net position are different because:

Capital assets net of depreciation are not included as financial resources in governmental fund activity 29,518,958
Long-term debt and compensated absences
that are not included in the governmental fund activity:

Bonds, notes, and capital leases $ (489,271)
Compensated absences (76,226) (565,497)
Accrued interest due on long-term debt is not reported in the governmental funds (4,918) Net OPEB asset is not included in the governmental funds 98,788 Deferred inflows related to OPEB are not included in the governmental funds (4,358) Deferred outflows related to OPEB are not included in the governmental funds 19,938 Revenues reported as unavailable revenue in the governmental funds do not provide current financial resources but are recognized in the statement of activities 126,176 Principal and interest on long-term notes and loans reported as unavailable revenue in the in the governmental funds and recognized in the statement of activities 18,346,276 Net pension liability is not included in the governmental funds (893 ,568) Deferred inflows related to pension related items are not included in the governmental funds (28,434)
Deferred outflows related to pension related items are not included in the governmental funds 265,121
Net Position of Governmental Activities $ 52,446,296
See Notes to Financial Statements.
19 55

General
Revenues:

Taxes and assessments $ 2,722,578 $ - $ - $ -
Licenses and permits - 377,745 - -
Fines and forfeitures - - - -
Use of money and property (3,717) 72,914 (765) 1,583
Intergovernmental 7,240 36,952 36,417 371,141
Charges for services - 35,379 - -
Other revenue - 442,805 - -
Total Revenues 3,658,661 33,235 35,652 372,724
Expenditures:

Current:

General government - 667,086 - -
Public safety 1,690,476 - - -
Public ways and facilities 37,089 1,192,787 - 4,161
Culture and recreation - 782,999 - -
Community development 123,773 330,227 - -
Capital outlay - 273,012 - 1,223,967
Debt service:

Principal 128,540 - - -
Interest 16,884 - - -
Total Expenditures 3,926,313 123,773 1,192,787 1,228,128 Excess (Deficiency) of Revenues
Over (Under) Expenditures (267,652) (90,538) (1,157,135) (855,404) Other Financing Sources (Uses):

Transfers in - - - -
Transfers out - - - (55,955)
Total Other Financing Sources
(Uses) - - - (55,955)
Net Change in Fund Balances (267,652) (90,538) (1,157,135) (911,359) Fund Balances, Beginning of Year 4,462,405 143,322 15,517 1,197,430 Fund Balances, End of Year $ 4,194,753 $ 52,784 $ (1,141,618) $ 286,071

CITY OF LIVE OAK

STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Special Revenue Fund
Program
Income
State Grant
Fund Transportation
See Notes to Financial Statements.
20 56
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Debt service:

Principal
Interest
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Transfers out
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

CITY OF LIVE OAK

STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021

Special
Revenue Fund
Capital Projects
Fund
Other Total
Governmental Governmental
Funds Funds
$ - $ 1,392,049 - $ $ 4,114,627
- - 36,630 414,375
- - 4,781 4,781
- - 14,824 84,839
- 1,701 468,790 922,241
- - 180,277 215,656
457,935 - 240,814 1,141,554
1,701 457,935 2,338,165 6,898,073
- - 98,181 765,267
- - 493,068 2,183,544
- - 367,316 1,601,353
- - 110,999 893,998
- 450,827 263,952 1,168,779
106,507 - 375,785 1,979,271
- - - 128,540
- - - 16,884
106,507 450,827 1,709,301 8,737,636
(104,806) 7,108 628,864 (1,839,563)
55,955 - 45,000 100,955
- (45,000) - (100,955)
10,955 - 45,000 -
(93,851) 7,108 673,864 (1,839,563)
(230,300) (9,102) 1,828,105 7,407,377
$ (324,151) (1,994) $ 2,501,969 $ 5,567,814 $
16-HOME-11532
Capital
Improvement
Project
See Notes to Financial Statements.
21 57

CITY OF LIVE OAK

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,

AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS

TO THE STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2021
Net changes in fund balances - total governmental funds $ (1,839,563) Amounts reported for governmental activities in the statement of activities are different because:

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

Capital outlay $ 1,962,430
Depreciation 983,609 (978,821)
Repayment of bond principal is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the statement of net position.

Principal repayments 128,540
Interest expense not recorded in the governmental fund statements because it did not require the use of current financial resources. 1,125
Compensated absences expenses reported in the statement of activities do not require the use of current financial resources and, therefore, are not reported as expenditures in governmental funds. 924
OPEB expenses reported in the statement of activities do not require the use of current financial resources, except for contributions, and therefore are not reported 4,083 as expenditures in the governmental funds.

Revenues reported as unavailable revenue in the governmental funds and recognized in the statement of activities. These amounts reflect interest accrued on long-term notes and loans receivables and grant reimbursements that were not received within the period of availability. 228,110
Pension expenses reported in the statement of activities do not require the use of current financial resources, except for contributions, and therefore are not reported as expenditures in the governmental funds. (7,117)
Change in Net Position of Governmental Activities $ (500,289) See Notes to Financial Statements.
22 58

CITY OF LIVE OAK

STATEMENT OF NET POSITION

PROPRIETARY FUNDS
JUNE 30, 2021
Other
Enterprise
Funds Totals
Assets:

Current:

Cash and investments $ 4,392,133 - $ $ 1,754,341 $ 6,146,474 Receivables:

Accounts, net 133,343 352,071 485,414 -
Accrued interest - 2,022 794 2,816
Prepaid costs 8,898 10,844 - 19,742
Due from other governments 150 430 - 580
Total Current Assets 142,391 4,757,500 1,755,135 6,655,026 Noncurrent:

Net OPEB asset 4,299 4,299 - 8,598
Capital assets not being depreciated 4,175,891 705,864 449,000 5,330,755 Capital assets, net of accumulated depreciation 7,901,855 22,244,410 - 30,146,265 Total Noncurrent Assets 12,082,045 22,954,573 449,000 35,485,618 Total Assets 12,224,436 27,712,073 2,204,135 42,140,644 Deferred Outflows of Resources:

Deferred pension related items 100,458 202,776 303,234 - Deferred OPEB related items 520 520 - 1,040
Total Deferred Outflows of Resources 100,978 - 203,296 304,274 Liabilities:

Current:

Accounts payable 80,764 682,009 449,000 1,211,773
Salaries and benefits payable 19,256 27,421 - 46,677
Accrued interest 20,400 15,938 - 36,338
Deposits payable 957 2,577 - 3,534
Due to other funds 389,482 - - 389,482
Compensated absences 13,709 21,305 - 35,014
Bonds and notes 40,000 219,852 - 259,852
Total Current Liabilities 564,568 449,000 969,102 1,982,670 Noncurrent:

Compensated absences 20,101 31,237 - 51,338
Bonds and notes 920,000 4,942,159 5,862,159 -
Net pension liability 343,754 - 693,882 1,037,636
Total Noncurrent Liabilities 1, 5,667,278 283,855 - 6,951,133 Total Liabilities 1,848,423 6,636,380 449,000 8,933,803 Deferred Inflows of Resources:

Deferred pension related items 13,676 6,775 - 20,451
Deferred OPEB related items 262 262 - 524
Total Deferred Inflows of Resources 7,037 13,938 - 20,975 Net Position:

Net investment in capital assets 11,117,746 17,788,263 449,000 29,355,009 Restricted for capital projects - - 1,306,135 1,306,135 Unrestricted 3,476,788 (647,792) - 2,828,996
Total Net Position $ 10,469,954 $ 21,265,051 $ 1,755,135 $ 33,490,140 Business-Type Activities - Enterprise Funds
Water Sewer
See Notes to Financial Statements.
23 59

CITY OF LIVE OAK

STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Other
Enterprise
Funds Totals
Operating Revenues:

Sales and service charges $ 940,189 $ 2,378,415 $ 936,914 $ 4,255,518 Total Operating Revenues 940,189 2,378,415 936,914 4,255,518 Operating Expenses:

Salaries and benefits 558,520 941,127 1,499,647 -
Administration 28,053 49,797 77,850 -
Power 198,257 197,068 395,325 -
Insurance 31,233 126,560 157,793 -
Supplies 53,607 - 53,607 -
Repair and extension 84,297 171,930 256,227 -
Professional services 166,681 279,136 445,817 -
Depreciation expense 362,935 1,101,900 1,464,835 -
Other expense 72,445 93,813 166,258 -
Total Operating Expenses 1,556,028 2,961,331 4,517,359 - Operating Income (Loss) (615,839) (582,916) 936,914 (261,841) Nonoperating Revenues (Expenses):

Interest revenue 1,820 - 2,306 4,126
Interest expense (40,796) (77,094) (117,890) -
Total Nonoperating
Revenues (Expenses) (40,796) (75, 2,306 274) (113,764)
Income (Loss) Before Transfers and (656,635) (658,190) 939,220 (375,605) Capital Contributions
Transfers in - 21,250 21,250 -
Transfers out (21,250) - (21,250) -
Capital contributions 1,210,750 - 1,210,750 -
Changes in Net Position 532,865 (636,940) 939,220 835,145 Net Position:

Beginning of Fiscal Year 21,901,991 9,937,089 815,915 32,654,995 End of Fiscal Year $ 10,469,954 $ 21,265,051 $ 1,755,135 $ 33,490,140 Business-Type Activities - Enterprise Funds
Water Sewer
See Notes to Financial Statements.
24 60

CITY OF LIVE OAK

STATEMENT OF CASH FLOWS

PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Other
Enterprise
Funds Totals
Cash Flows from Operating Activities:

Cash received from customers and users $ 2,296,719 872,748 $ $ 936,914 $ 4,106,381 Cash received from (paid to) suppliers for goods and services ( (595,686) - 304,452) (900,138) Cash (paid to) employees for services ( (561,444) - 958,935) (1,520,379) Net Cash Provided by Operating Activities (284,382) 1,033,332 936,914 1,685,864 Cash Flows from Non-Capital
Financing Activities:

Cash transfers out - (21,250) - (21,250)
Cash transfers in 21,250 - - 21,250
Cash borrowed and due to other funds - 387,278 - 387,278 Net Cash Provided (Used) by
Non-Capital Financing Activities 366,028 21,250 - 387,278 Cash Flows from Capital
and Related Financing Activities:

Acquisition and construction of capital assets ( - - 496,853) (496,853) Principal paid on capital debt ( (40,000) - 217,972) (257,972) Interest paid on capital debt (77,731) (41,646) - (119,377) Net Cash Used by
Capital and Related Financing Activities (81,646) ( - 792,556) (874,202) Cash Flows from Investing Activities:

Interest received 8,882 - 3,271 12,153
Net Increase in Cash
and Cash Equivalents - 270,908 940,185 1,211,093
Cash and Cash Equivalents at Beginning of Year 4,121,225 - 814,156 4,935,381 Cash and Cash Equivalents at End of Year $ 4,392,133 - $ $ 1,754,341 $ 6,146,474 Reconciliation of Operating Income to Net Cash
Provided (Used) by Operating Activities:

Operating income (loss) $ (615,839) $ (582,916) $ 936,914 $ (261,841) Adjustments to reconcile operating income (loss)
net cash provided by operating activities:

Depreciation 1,101,900 362,935 - 1,464,835
Changes in pension related items 17,959 11,384 - 29,343 Changes in OPEB related items (107) (107) - (214)
(Increase) decrease in accounts receivable (77,154) (28,598) - (105,752) (Increase) decrease in prepaid costs (5,291) (3,713) - (9,004) (Increase) decrease in due from other governments (150) (430) - (580) Increase (decrease) in accounts payable 569,776 14,697 - 584,473 Increase (decrease) in salaries and benefits payable 12,273 7,813 - 20,086 Increase (decrease) in deposits payable (4,542) (38,843) - (43,385) Increase (decrease) in compensated absences 1,864 6,039 - 7,903 Total Adjustments 331,457 1,616,248 - 1,947,705
Net Cash Provided (Used) by
Operating Activities $ (284,382) $ 1,033,332 $ 936,914 $ 1,685,864 Non-Cash Investing, Capital, and Financing Activities:

Non-cash contributed capital assets 1,210,750 $ - $ - $ 1,210,750 $ CIP items included in accounts payable - - 449,000 -
Business-Type Activities - Enterprise Funds
Water Sewer
See Notes to Financial Statements.
25 61

CITY OF LIVE OAK

STATEMENT OF FIDUCIARY NET POSITION

PRIVATE PURPOSE TRUST FUND

SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF LIVE OAK JUNE 30, 2021
Assets:

Cash and investments $ 29,376
Total Assets $ 29,376
Liabilities:

Due to other governments $ 29,376
Total Liabilities 29,376
Net Position:

Held in trust -
Total Net Position $ -
PrivatePurpose Trust
Fund
See Notes to Financial Statements.
26 62

CITY OF LIVE OAK

STATEMENT OF CHANGES IN FIDUCIARY NET POSITION

PRIVATE PURPOSE TRUST FUND

SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF LIVE OAK YEAR ENDED JUNE 30, 2021
Additions: $ -
Total Additions -
Deductions: -
Total Deductions -
Changes in Net Position -
Net Position - Beginning of the Year -
Net Position - End of the Year $ -
PrivatePurpose Trust
Fund
See Notes to Financial Statements.
27 63

THIS PAGE INTENTIONALLY LEFT BLANK
28 64

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies
a. Financial Reporting Entity
The City operates under a Council form of government and provides the following services:
public safety, highways and streets, health and sanitation, culture-recreation, public improvements, planning and zoning, general administrative services, and water and sewer.

Generally accepted accounting principles require government financial statements to include the primary government and its component units. Component units of a governmental entity are legally separate entities for which the primary government is considered to be financially accountable and for which the nature and significance of their relationship with the primary government are such that exclusion would cause the combined financial statements to be misleading. The primary government is considered to be financially accountable if it appoints a majority of an organization’s governing body and is able to impose its will on that organization or there is a potential for the organization to provide specific financial benefits to or impose specific financial burdens on the primary government.

Reporting for component units on the City’s financial statements can be blended or discretely presented. Blended component units are, although legally separate entities, in substance part of the City’s operations and, therefore, data from these units are combined with data of the primary government. Discretely presented component units, on the other hand, would be reported in a separate column in the government-wide financial statements to emphasize that they are legally separate from the government.

For financial reporting purposes, the City’s basic financial statements include all financial activities that are controlled by or are dependent upon actions taken by the City Council.

Separate financial statements for the City of Live Oak Public Improvement Corporation are not issued.

Blended Component Units
City of Live Oak Public Improvement Corporation (Corporation) The Corporation, established August 18, 1987, was formed to assist the City in the financing of real or personal property for the benefit of the City of Live Oak. The Corporation is the lessor for the City’s Farmers Home Administration Loan, the City’s 2004 Certificates of Participation, and the City’s 2003 Certificates of Participation and makes debt service payments on behalf of the City. The City Council is the governing body of the Corporation and because its financial and operational relationship with the City is closely integrated, the Corporation’s loans payable are reported in the governmental activities, certificates of participation in the water and sewer enterprise funds and certificates of participation in the sewer enterprise fund financial statements. 29 65

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) Joint Agencies
The City is a participant in Small Cities Organized Risk Effort (SCORE), the purpose of which is for member-cities to share in the administrative costs of providing liability and workers’ compensation insurance. SCORE is composed of 19 member-cities and is governed by a board of directors appointed by the member-cities. Complete financial information can be obtained from the SCORE offices in San Francisco, California. The City is not financially accountable for this organization and therefore it is not a component unit under Statement Nos. 14, 39 and 61 of the Governmental Accounting Standards Board.

The City is a participant in California Joint Powers Risk Management Authority (CJPRMA), the purpose of which is to provide excess coverage for its members.

The CJPRMA is governed by a board of directors representing its member-cities.

Complete financial information can be obtained from the claims administrator at 3201 Doolan Road, Suite 285, Livermore, California 94551. The City is not financially accountable for this organization and therefore it is not a component unit under Statement Nos. 14, 39 and 61 of the Governmental Accounting Standards Board. b. Basis of Presentation
The statement of net position and statement of activities display information on all of the nonfiduciary activities of the City and its blended component units. These statements include the financial activities of the overall government, except for fiduciary activities.

Eliminations have been made to minimize the double counting of internal activities. These statements distinguish between the governmental and business-type activities of the City.

Governmental activities, which are normally supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees charged to external parties.

The statement of activities presents a comparison between direct expenses and program revenues for each different identifiable activity of the City’s business-type activities and for each function of the City’s governmental activities. Direct expenses are those that are specifically associated with a program or function and; therefore, are clearly identifiable to a particular function. Program revenues include 1) charges paid by the recipients of goods and services offered by the program, 2) operating grants and contributions and 3) capital grants and contributions. Taxes and other items not properly included among program revenues are reported instead as general revenues.

The fund financial statements provide information about the City’s funds, including blended component units. Funds are organized into three major categories: governmental, proprietary and fiduciary. The emphasis is placed on major funds within the governmental and proprietary categories; each is displayed in a separate column. All remaining governmental and enterprise funds are separately aggregated and reported as nonmajor funds.
30 66

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) The City reports the following major governmental funds:
 The General fund is used to account for all revenues and expenditures necessary to carry out basic governmental activities of the City that are not accounted for through other funds. For the City, the General Fund includes such activities as public safety, community development, and recreation and culture services.  The Program Income fund is a special revenue fund used to account for revenues and expenditures related to HOME, CDBG and EDBG program income. Funding comes primarily from program income from federal grants.
 The State Grant fund is used to account for revenues and expenditures related to state grants.
 The Transportation fund is used to account for monies received through the Transportation Development Act (TDA) tax and Surface Transportation Development Program (STP).
 The 16-HOME-11532 fund is a special revenue fund used to account for HOME grant funds used for the Kristen Court Phase 2 project.
 The Capital Improvement Project fund is a capital projects fund used to account for revenues and expenditures for capital projects.

The City reports the following proprietary funds:
 The Water fund is an enterprise fund used to account for activity related to providing customers with water service and billing for services provided by the City.  The Sewer fund is an enterprise fund used to account for activity related to providing customers with sewer service and billing for services provided by the City.

The City reports the following additional fund types:
 The Private Purpose Trust fund accounts for property held under other trust arrangement under which principal and income benefit individuals, private organizations, or other governments. Private purpose trust funds include the Successor Agency to the Redevelopment Agency of the City of Live Oak. c. Basis of Accounting and Measurement Focus
The government-wide and proprietary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place. Nonexchange transactions, in which the City gives (or receives) value without directly receiving (or giving) equal value in exchange, include property and sales tax, grants, entitlements, and donations. Under the accrual basis, revenue from property taxes is recognized in the fiscal year for which the taxes are levied. Revenues from sales tax are recognized when the underlying transactions take place. Revenues from grants, entitlements, and donations are recognized in the fiscal year in which all eligibility requirements have been satisfied. 31 67

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized when measurable and available. Property and sales taxes, interest, certain state and federal grants and charges for services are considered susceptible to accrual and are recognized as revenue when their receipt occurs within sixty days after the end of the fiscal year. Expenditures are generally recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures as well as expenditures related to compensated absences, and claims and judgments are recorded only when payment is due. General capital assets acquisitions are reported as expenditures in the various functions of the governmental funds. Proceeds of governmental long-term debt and acquisitions under capital leases are reported as other financing sources.

Proprietary funds distinguish operating revenues and expenses from nonoperating items.

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

The principal operating revenues of the enterprise funds are charges to customers for sales and services. Operating expenses for enterprise funds include the cost of sales and services, administrative expenses, and depreciation of capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses.

Fiduciary funds include trust funds and custodial funds. The City’s private purpose trust fund is recorded using the economic resources measurement focus and the accrual basis of accounting.
d. Non-Current Governmental Assets/Liabilities
Non-current governmental assets and liabilities, such as capital assets and long-term liabilities, are reported in the governmental activities column in the government-wide statement of net position.
e. Cash and Cash Equivalents
For purposes of the accompanying Statement of Cash Flows, the City considers all highly liquid investments with an original maturity of three months or less and amounts held in the City’s investment pool to be cash and cash equivalents. f. Investments
The City pools cash and investments of all funds. Each fund’s share in this pool is displayed in the accompanying financial statements as cash and investments.

Investment transactions are recorded on the trade date. The fair value of investments is determined annually. Investments in nonparticipating interest-earning investment contracts are reported at cost; short term investments are reported at amortized cost, investments in Local Agency Investment Fund, an external pool, are reported at amortized cost which approximates fair value, and the fair value of all other investments are obtained by using quotations obtained from independent published sources or by the safekeeping institution.

The fair value represents the amount the City could reasonably expect to receive for an investment in a current sale between a willing buyer and seller. 32 68

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) Income from pooled investments is allocated to the individual funds based on the fund or participant’s average daily cash balance at quarter end in relation to the total pool investments. Income from non-pooled investments is recorded based on the specific investments held by the fund.
g. Receivables
Receivables for governmental activities consist mainly of accounts, interest, taxes, intergovernmental, and notes and loans. Management believes its receivables are fully collectible and, accordingly, no allowance for doubtful accounts is required.

Receivables for enterprise funds consist mainly of user fees and interest. Management records an allowance for doubtful accounts based on actual customer balances that the City Council has approved to be written off. At June 30, 2021, the allowance for doubtful accounts was $0.00.
h. Prepaid Items
Payments made for services that will benefit periods beyond June 30, 2021, are recorded as prepaid items under both the accrual and modified accrual basis of accounting. The cost of prepaid items is recorded as expenditures/expenses when consumed rather than when purchased. The City records both prepaid costs for expenditures/expenses paid for services that will benefit future periods and prepaid insurance for the net investment in a joint powers self-insurance agency.
i. Capital Assets
Capital assets, including public domain (infrastructure such as roads, bridges, sidewalks, sewer and similar items) are defined by the City as assets with a cost greater than $5,000 ($10,000 for enterprise funds) for assets other than infrastructure and $75,000 for infrastructure and an estimated useful life of more than two years. Capital assets are recorded at historical cost or estimated historical cost if actual historical cost is unavailable.

Contributed capital assets are recorded at their acquisition value at the date of donation.

Capital assets used in operations are depreciated or amortized using the straight-line method over the assets estimated useful life in the government-wide financial statements.

The range of estimated useful lives by type of asset is as follows:

Depreciable Asset Years
Equipment 3-25
Structures and improvements 5-50
Infrastructure 20-75
33 69

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) Maintenance and repairs are charged to operations when incurred. Betterments and major improvements which significantly increase values, change capacities or extend useful lives are capitalized. Upon sale or retirement of capital assets, the cost and related accumulated depreciation are removed from the respective accounts and any resulting gain or loss is included in the results of operations.
j. Property Tax
Sutter County assesses properties, bills, collects, and distributes property taxes to the City.

The County remits the entire amount levied and handles all delinquencies, retaining interest and penalties.

Property taxes are levied on a fiscal year (July 1 - June 30). The secured property tax assessments are due on November 1 and February 1 and become delinquent after December 10 and April 10, respectively. The unsecured property tax assessments are due on August 1 and become delinquent after August 31. Property taxes become a lien on the property effective January 1 of the preceding year.

The City recognizes property taxes when the individual installments are due, provided they are collected within 60 days after year-end.
k. Interfund Transactions
Interfund transactions are reflected as either loans, services provided or used, reimbursements or transfers.

Loans reported as receivables and payables are referred to as either “due to/from other funds” (i.e. the current portion of interfund loans) or “advances to/from other funds” (i.e., the noncurrent portion of interfund loans) as appropriate and are subject to elimination upon consolidation. Any residual balances outstanding between the governmental activities and the business-type activities are reported in the government-wide financial statements as “internal balances.” Advances between funds, as reported in the fund financial statements, are offset by a non-spendable fund balance account in applicable governmental funds to indicate that they are not in spendable form.

Services provided or used, deemed to be at market or near market rates, are treated as revenues and expenditures or expenses. These services provide information on the net cost of each government function and therefore are not eliminated in the process of preparing the government-wide statement of activities.

Reimbursements occur when the funds responsible for particular expenditures or expenses repay the funds that initially paid for them. Such reimbursements are reflected as expenditures or expenses in the reimbursing fund and reductions to expenditures or expenses in the reimbursed fund.

All other interfund transactions are treated as transfers. Transfers between funds are netted as part of the reconciliation to the government-wide presentation. 34 70

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) l. Unearned Revenue
Under the accrual and modified accrual basis of accounting, revenue may be recognized only when it is earned. When assets are recognized in connection with a transaction before the earnings process is complete, those assets are offset by a corresponding liability for unearned revenue.
m. Compensated Absences
Compensated absences comprise unused vacation leave, vested sick pay and certain compensated time off, which is paid at the date of termination from City employment. All compensated pay is accrued when incurred in the government-wide and proprietary fund financial statements. For all governmental funds, termination pay-outs expected to be paid out of current financial resources are recorded as fund liabilities. Compensated absences recorded within Governmental Activities are expected to be primarily liquidated by the General Fund as they become due. Amounts recorded within Business-type Activities are expected to be liquidated from the both the Water and Sewer funds, as appropriate. n. Pensions
For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the City’s California Public Employees’ Retirement System (CalPERS) plan (Plan) and additions to/deductions from the Plans’ fiduciary net position have been determined on the same basis as they are reported by CalPERS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value. o. Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net position that applies to a future period and so will not be recognized as an outflow of resources (expense/expenditure) until then. The government has two items which qualify for reporting in this category. These items relate to outflows from changes in the net pension liability and the net OPEB asset and are reportable on the Statement of Net Position.

In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position that applies to a future period and so will not be recognized as an inflow of resources (revenue) until that time. The government has three types of items which qualify for reporting in this category.

One item, unavailable revenue, is reported only in the governmental funds balance sheet.

The governmental funds report unavailable revenues for receivables that have not been received within the period of availability. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available. The second and third items relate to inflows from changes in the net pension liability and net OPEB asset and are reportable on the Statement of Net Position.
35 71

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) p. Estimates
The preparation of basic financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect certain reported amounts and disclosures.

Accordingly, actual results could differ from those estimates. q. Other Postemployment Benefits (OPEB)
For purposes of measuring the net OPEB asset, deferred outflows of resources and deferred inflows of resources related to OPEB, and OPEB expense, information about the fiduciary net position of the City’s plan (OPEB Plan), the assets of which are held by the California Employers' Retiree Benefit Trust (CERBT), and additions to/deductions from the OPEB Plan’s fiduciary net position have been determined by an independent actuary. For this purpose, benefit payments are recognized when currently due and payable in accordance with the benefit terms. Investments are reported at fair value. r. Net Position
Net position is the excess of all the City's assets and deferred outflows of resources over all its liabilities and deferred inflows of resources, regardless of fund. Net position is divided into three categories. These categories apply only to net position which is determined only for proprietary funds and at the government-wide level, and are described below:
 Net investment in capital assets - describes the portion of net position which is represented by the current net book value of the capital assets, less the outstanding balance of debt issued to finance these assets.  Restricted net position - amounts with constraints placed on their use that are either (a) externally imposed by creditors, grantors, contributors, or laws or regulations of other governments; or (b) imposed by law through constitutional provisions or enabling legislation. Restrictions may effectively be changed or lifted only with the consent of resource providers
 Unrestricted net position - all other net position that does not meet the definition of “restricted” or “net investment in capital assets.”
Net Position Restricted by Enabling Legislation
The government-wide Statement of Net Position reports $4,998,041 of restricted net position, of which $3,370,527 is restricted by enabling legislation.

Net Position Flow Assumption
When a government funds outlays for a particular purpose from both restricted and unrestricted resources, a flow assumption must be made about the order in which the resources are considered to be applied. When both restricted and unrestricted net position are available, it is considered that restricted resources are used first, followed by the unrestricted resources.
36 72

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) s. Fund Balance
As prescribed by GASB Statement No. 54, governmental funds report fund balance in classifications based primarily on the extent to which the City is bound to honor constraints on the specific purposes for which amounts in the funds can be spent. As of June 30, 2021, fund balance for governmental funds is made up of the following:
 Nonspendable fund balance - amounts that cannot be spent because they are either: (a) not in spendable form, or (b) legally or contractually required to be maintained intact. The “not in spendable form” criterion includes items that are not expected to be converted to cash, for example: inventories and prepaid amounts.  Restricted fund balance - amounts with constraints placed on their use that are either: (a) externally imposed by creditors, grantors, contributors, or laws or regulations of other governments; or (b) imposed by law through constitutional provisions or enabling legislation. Restrictions may effectively be changed or lifted only with the consent of resource providers.
 Committed fund balance - amounts that can only be used for the specific purposes determined by formal action of the City’s highest level of decision-making authority. The City Council is the highest level of decision-making authority for the City that can, by adoption of an ordinance commit fund balance. Once adopted, the limitation imposed remains in place until a similar action is taken to remove or revise the limitation. The underlying action that imposed the limitation needs to occur no later than the close of the reporting period.
 Assigned fund balance - amounts that are constrained by the City’s intent to be used for specific purposes. The intent can be established at either the highest level of decision-making, or by a body or an official designated for that purpose.  Unassigned fund balance - the residual classification for the City’s General fund that includes all amounts not contained in the other classifications. In other funds, the unassigned classification is used only if expenditures incurred for specific purposes exceed the amounts restricted, committed, or assigned to those purposes.

Fund Balance Flow Assumption
When a government funds outlays for a particular purpose from both restricted and unrestricted resources (the total of committed, assigned, and unassigned fund balance), a flow assumption must be made about the order in which the resources are considered to be applied. When both restricted and unrestricted fund balance are available, it is considered that restricted fund balance is depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance. Unassigned fund balance is applied last. 37 73

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 1: Summary of Significant Accounting Policies (Continued) t. New GASB Pronouncements
During the fiscal year ended June 30, 2021, the City implemented the following GASB standards:

GASB Statement No. 84 – Fiduciary Activities The requirements of this Statement will enhance consistency and comparability by (1) establishing specific criteria for identifying activities that should be reported as fiduciary activities and (2) clarifying whether and how business-type activities should report their fiduciary activities. Greater consistency and comparability enhances the value provided by the information reported in financial statements for assessing government accountability and stewardship. The result of implementing this standard resulted in the inclusion of financial information formerly reported as “agency funds” in prior years within the General Fund. The implementation had no effect on the City’s financial statements.

Note 2: Stewardship, Compliance and Accountability
a. Deficit Fund Balance/Net Position
The following non-major special revenue funds had a deficit fund balance:

The 14-HOME-9274 fund had a fund balance deficit of $3,945, which is expected to be eliminated in the future through grant reimbursements.

The Fire Benefit Assessment fund had a fund balance deficit of $19,490, which is expected to be eliminated in through future assessment revenues.

The Mello Roos CFD 2004-1 Street Lighting fund had a fund balance deficit of $29,676, which is expected to be eliminated in the future through special assessment revenues.

The 13-CDBG-8933 Skate Park fund had a fund balance deficit of $430,713, which is expected to be reimbursed by the City.

The 16-HOME-11380 fund had a fund balance deficit of $126,443, which is expected to be eliminated in the future through grant reimbursements.

The CDBG PI Waiver Water Main fund had a fund balance deficit of $246,000, which is expected to be eliminated in the future through grant reimbursements. 38 74

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 3: Cash and Investments
a. Financial Statement Presentation
As of June 30, 2021, the City’s cash and investments are reported in the financial statements as follows:

Governmental activities $ 7,033,506
Business-Type activities 6,146,474
Private Purpose Trust 29,376
Total Cash and Investments $ 13,209,356
As of June 30, 2021, the City’s cash and investments consisted of the following:

Cash:

Cash on hand 1,020 $
Deposits (less outstanding checks) 3,752,858
Total Cash 3,753,878
Investments:

Certificate of Deposit 31,000
LAIF 8,844,941
Money Market Funds 579,537
Total Investments 9,455,478
Total Cash and Investments 13,209,356 $
b. Cash
At year end, the carrying amount of the City’s cash deposits (including amount in checking accounts and money market accounts) was $3,752,858 and the bank balance was $4,396,614. The difference between the bank balance and the carrying amount represents outstanding checks and deposits in transit. In addition, the City had cash on hand of $1,020.

Custodial Credit Risk for Deposits - Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, the City will not be able to recover its deposits or collateral securities that are in the possession of an outside party. The City’s investment policy requires that deposits in banks must meet the requirements of the California Government Code. Under this code, deposits of more than $250,000 must be collateralized at 105 percent to 150 percent of the value of the deposit to guarantee the safety of the public funds. The first $250,000 of the City’s deposits are insured by the Federal Deposit Insurance Corporation (FDIC). Deposits more than the $250,000 insured amount are collateralized.
39 75

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 3: Cash and Investments (Continued)
c. Investments
Pursuant to Section 53646 of the Government Code, the City prepares an investment policy annually and presents it to the City Council for review and approval. The investment policy provides the basis for the management of a prudent, conservative investment program.

Funds are invested to provide the maximum security of principal with secondary emphasis on achieving the highest return, while meeting daily cash flow needs. All investments are made in accordance with the Government Code and, in general, the investment policy is more restrictive than state law.

Under the provisions of the City’s investment policy the City may invest or deposit in the following:

Authorized Investment Type
Maximum
Maturity
Minimum
Credit Quality
Maximum
Percentage of
Portfolio
U.S. Government Obligations 5 years None Unlimited
U.S. Government Agencies and Instrumentalities Securities 5 years None Unlimited Repurchase Agreements 1 year None Unlimited
Banker's Acceptances 180 days None 40%
Commercial Paper 270 days A 30%
Medium-Term Corporate Notes 5 years A 30%
Certificates of Deposit 5 years None Unlimited
Negotiable Certificates of Deposit 5 years AA 30%
Local Agency Investment Fund (LAIF) N/A None $75 million California Pooled Investment Authority N/A None Unlimited Money Market Mutual Funds N/A None 10%
Fair Value Measurements - The City measures and records its investments using fair value measurement guidelines established by generally accepted accounting principles. These guidelines recognize a three-tiered fair value hierarchy, as follows:

Level 1: Quoted prices for identical investments in active markets; Level 2: Observable inputs other than quoted market prices; and, Level 3: Unobservable inputs.

The City’s position in external investment pools is, in itself, regarded as a type of investment, and looking through to the underlying investments of the pool is not appropriate. Therefore, the City’s investment in external investment pools is not recognized in the three-tiered fair value hierarchy described above. 40 76

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 3: Cash and Investments (Continued)
At June 30, 2021, the City had the following recurring fair value measurements.

Investment Type Fair Value 1 2 3
Certificate of Deposit $ 31,000 $ 31,000 - $ $ -
Uncategorized
Money Market Mutual Funds 579,537
Local Agency Investment Funds (LAIF) 8,844,941
Total Investments Measured at Amortized Cost 9,424,478
Total Investments 9,455,478 $
Level
Interest Rate Risk - Interest rate risk is the risk of loss due to the fair value of an investment falling due to interest rates rising. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. To limit exposure to fair value losses resulting from increases in interest rates, the City’s investment policy limits investment maturities to a term appropriate to the need for funds so as to permit the City to meet all projected obligations. Any investments that mature more than five years from the date of purchase cannot occur without prior approval of the City Council.

At June 30, 2021, the City had the following investments all of which had a maturity of 5 years or less:

Maturities
Interest Fair
Rates 0-1 Year Value
Certificate of Deposit Variable 31,000 $ 31,000 $
Local Agency Investment Fund (LAIF) Variable 8,844,941 8,844,941 Money Market Funds Variable 579,537 579,537
Total Investments 9,455,478 $ 9,455,478 $
Investment Type
Credit Risk - Credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. The City’s investment policy sets specific parameters by type of investment to be met at the time of purchase. As of June 30, 2021, the City investments were all pooled with the State of California Local Agency Investment Fund which is not rated by a nationally recognized statistical rating organization.

Custodial Credit Risk - Custodial credit risk for investments is the risk that, in the event of the failure of a depository financial institution, the City will not be able to recover its deposits or collateral securities that are in the possession of an outside party. To mitigate the custodial credit risk the City’s investment policy requires that all of its managed investments be held in safekeeping by a third-party bank trust department. 41 77

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 3: Cash and Investments (Continued)
Concentration of Credit Risk - Concentration of credit risk is the risk of loss attributed to the magnitude of the City’s investment in a single issuer of securities. When investments are concentrated in one issuer, this concentration presents a heightened risk of potential loss. The City’s investment policy contains limitations on the amount that can be invested in any one issuer. As of June 30, 2021, the City investments were mostly pooled with the State of California Local Agency Investment Fund which holds a diversified portfolio of high-quality investments.
d. Investment in External Investment Pools
The City of Live Oak maintains an investment in the State of California Local Agency Investment Fund (LAIF), managed by the State Treasurer. This fund is not registered with the Securities and Exchange Commission as an investment company but is required to invest according to California State Code. The Local Investment Advisory Board (Board) has oversight responsibility for LAIF. The Board consists of five members as designated by State Statute. At June 30, 2021, the City’s investment in LAIF valued at amortized cost was $8,844,941 and is the same as the value of the pool shares. There are no restrictions on withdrawal of funds. The total amount invested by all public agencies in LAIF on that day was $179.1 billion.

Note 4: Capital Assets
Capital assets activity for the year ended June 30, 2021, was as follows:

Governmental Activities
Balance at CIP Balance at
June 30, 2020 Transfers Additions Retirements June 30, 2021 Capital assets not being depreciated
Land $ 6,584,996 $ - $ - $ 6,584,996 - $
Construction-in-progress 1,393,398 1,831,847 - 3,225,245 - Total capital assets not being
depreciated 7,978,394 1,831,847 - 9,810,241 -
Capital assets being depreciated
Buildings and improvements 7,561,067 - - 7,561,067 -
Equipment 4,556,617 130,583 - 4,687,200 -
Infrastructure 22,199,263 - - 22,199,263 -
Total capital assets being
depreciated 34,316,947 130,583 - 34,447,530 -
Less accumulated depreciation
Buildings and improvements (1,873,721) (218,567) - (2,092,288) - Equipment (3,169,261) (225,414) - (3,394,675) -
Infrastructure (8,717,010) (534,840) - (9,251,850) -
Total accumulated depreciation (13,759,992) (978,821) - (14,738,813) - Capital assets being depreciated, net 20,556,955 (848,238) - 19,708,717 - Governmental Activities
Capital Assets, net $ 28,535,349 $ 983,609 - $ $ 29,518,958 - $ 42 78

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 4: Capital Assets (Continued)
Business-Type Activities
Balance Balance
June 30, 2020 CIP Transfers Additions Retirements June 30, 2021 Capital assets, not being depreciated:

Land $ 233,241 $ - $ - $ - $ 233,241
Construction in progress 3,347,105 (406,194) 2,156,603 5,097,514 - Total capital assets, not being depreciated 3,580,346 (406,194) 2,156,603 5,330,755 - Capital assets, being depreciated:

Buildings and improvements 38,641 - - 38,641 -
Equipment 1,585,929 11,262 - 1,597,191 -
Infrastructure 48,864,895 394,932 - 49,259,827 -
Total capital assets, being depreciated 50,489,465 406,194 - 50,895,659 - Less accumulated depreciation for:

Buildings and improvements (38,641) - - (38,641) -
Equipment (1,385,034) - (37,613) (1,422,647) -
Infrastructure (17,860,884) (1,427,222) - (19,288,106) - Total accumulated depreciated (19,284,559) (1,464,835) - (20,749,394) - Total capital assets being depreciated, net 31,204,906 406,194 (1,464,835) 30,146,265 - Business-Type activities capital assets, net $ 34,785,252 $ 691,768 - $ $ 35,477,020 - $ Depreciation
Depreciation expense was charged to governmental functions as follows:

General government $ 10,733
Public safety 527,761
Community development 293,443
Culture and recreation 144,928
Public ways and facilities 1,956
Total Depreciation Expense - Governmental Functions $ 978,821 Depreciation expense was charged to business-type activities as follows:

Water $ 362,935
Sewer 1,101,900
Total Depreciation Expense - Business-Type Activities $ 1,464,835 43 79

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 4: Capital Assets (Continued)
Construction in Progress
Construction in progress for governmental activities and business-type activities relate primarily to work performed on the following projects:

Balance
Governmental Activities:

Parks and Recreation:

Rec Trail Segment 4 97,389 $
City Signs 113,911
Total Parks and Recreation 211,300
Streets & Roads:

Underground Utility 2,852,463
Pennington Road Project 161,482
Total Streets & Roads 3, 013,945
Total Governmental Activities 3,225,245 $
Business-type Activities:

Water Enterprise:

Well #7 4,143,184 $
Sewer Enterprise:

Underground Utility - Rule 20A 235,647
P St. Lift Station 269,683
Total Sewer Enterprise 505,330
Water Connections Enterprise:

Underground Utility - Rule 20A 449,000
Total Business-type Activities 5,097,514 $
Note 5: Interfund Transactions
Due To/From Other Funds
During the course of operations, transactions occur between funds to account for goods received or services rendered. These receivables and payables are classified as due from or due to other funds. In addition, when funds overdraw their share of pooled cash, the receivables and payables are also classified as due from or due to other funds The following are due to and due from balances as of June 30, 2021:

Due from other funds Due to other funds Amount
General Fund State Grant Fund $ 965,570
General Fund Other Governmental Funds 860,597
General Fund Capital Improvement Project 293,139
General Fund 16-HOME-11532 339,066
General Fund Water 389,482
$ 2,847,854
44 80

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 5: Interfund Transactions (Continued)
Transfers
Transfers are indicative of funding for capital projects, lease payments or debt service, subsidies of various City operations and re-allocations of special revenues. The following are the interfund transfers for fiscal year ended June 30, 2021:

Transfers In Transfer Out Amount
Sewer Fund Water Fund $ 21,250
Capital Improvement Project Transportation 55,955
Other Governmental Funds Capital Improvement Project 45,000 $ 122,205
Additionally, a transfer of construction in progress incurred during the fiscal year by governmental activities was made to business-type activities in the amount of $1,210,750.

Note 6: Loans Receivable
At June 30, 2021, the City had the following loans receivable, including principal and accrued interest:

Loan Type Principal Interest Total
CDBG Housing Rehab $ 443,695 $ 110,126 $ 553,821
CDBG First Time Home Buyer 474,000 234,353 708,353
CDBG Public Improvements 680,800 - 680,800
EDBG Business Assistance 27,452 4 27,456
HOME Owner Occupied Rehab 1,525,137 134,975 1,660,112
HOME First Time Home Buyer 187,275 86,779 274,054
HOME Housing New Construction 12,000,000 1,368,298 13,368,298 HOME Program Income First Time Home Buyer 127,000 57,486 184,486 HOME Program Income Owner Occupied Rehab 55,483 15,370 70,853 City Loan First Time Home Buyer 75,000 30,908 105,908
Impact Fees Housing New Construction 667,349 44,786 712,135 Total $ 16,263,191 $ 2,083,085 $ 18,346,276
Governmental Activities
A total of $18,346,276 was recorded as loans receivable at June 30, 2021. These represent low interest notes principal portion to finance multi-family and single-family construction and rehabilitation projects, home buyer assistance for low income families, as well as business start-up costs. Loan terms are 15 to 55 years with interest rates at 0.00 to 5.00 percent. The primary source of funding for these loans comes from grants from the federal Community Development Block Grant (CDBG) and Home Investment Partnerships (HOME) programs. The CDBG and HOME grants contain monitoring requirements to ensure grant compliance. These requirements are reflected in the loan agreements. Due to the terms of the loans, offsetting deferred inflows of resources of $18,346,276 have been established in the Governmental Funds Balance Sheet for the housing and business loan principal and interest payments. 45 81

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 7: Long-Term Liabilities
Debt Service Requirements
The following is a summary of changes in long-term liabilities for the year ended June 30, 2021:

Amounts
Balance Balance Due Within
June 30, 2020 Retirements June 30, 2021 One Year
Type of Indebtedness
Governmental Activities
Direct Borrowings:

City of Yuba City Loan 211,530 $ (52,882) $ 158,648 $ 52,882 $ Capital Lease: Fire engine 406,281 (75,658) 330,623 78,359 Total Governmental Activities $ (128,540) 617,811 $ 489,271 $ 131,241 $ Business-Type Activities
Direct Borrowings and Private Placements:

State Department of Water
Resources revolving fund loan 4,599,983 $ (187,972) $ 4,412,011 $ 189,852 $ Certificates of Participation 1,780,000 (70,000) 1,710,000 70,000 Total Business-Type Activities $ (257,972) 6,379,983 $ 6,122,011 $ 259,852 $ For business-type activities, all debt is accounted for in the proprietary fund where the liability occurred.
46 82

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 7: Long-Term Liabilities (Continued)
Individual issues of debt payable outstanding at June 30, 2021, are as follows:

Governmental Activities
Direct borrowing loan:

City of Yuba City loan dated, August 2012 in the amount of $528,825, payable in semi-annual installments of $26,156 to $26,728 with an interest rate of 0.228% and a maturity of September 1, 2023. The loan was used to provide funding to the Sutter Animal Services Authority. In the event of default, the City will forfeit all rights and interest in the Animal Control Facility.
$ 158,648
Total Loans 158,648
Direct borrowing capital lease:

The City entered into a lease purchase agreement with US Bancorp Government Leasing and Finance Inc. in January 2018. Using the lease proceeds, the City purchased a fire engine from Ferrara Rev Group for $549,863. The fire engine was delivered to the City in September 2018 and went into service at that time. The lease arrangement goes out seven years at an interest rate of 3.57% with annual payments commencing in January 2019. The lease is an obligation of the City’s General Fund and is accounted for as a long term general liability of the City. 330,623
Total Capital Leases 330,623
Total Governmental Activities 489,271 $
Business-Type Activities
Direct borrowing loan:

State Department of Water Resources loan, dated February 26, 2010 in the amount of $6,040,511, payable in annual installments of $175,812 to $231,656 with an interest rate of 1.00% and maturity of June 30, 2042.

The loan was used to finance wastewater treatment plant upgrade project. $ 4,412,011
Total Loans 4,412,011
Private Placement Certificates of Participation:
2003 Certificates of Participation, dated January 1, 2004 in the amount of $1,269,025, payable in annual installments of $30,000 to $39,025 with an interest rate of 4.25% and maturity of July 1, 2043. The certificates were used to finance a wastewater improvement project. The certificates are backed by a pledge of net revenues of the wastewater fund. 750,000
2005 Certificates of Participation, dated January 1, 2006 in the amount of $1,441,000, payable in annual installments of $1,000 to $40,000 with an interest rate of 4.25% and maturity of July 1, 2044. The certificates were used to finance a water meter installation and improvement project. The certificates are backed by a pledge of net revenues of the water fund. 960,000
Total Certificates of Participation 1,710,000
Total Business-Type Activities 6,122,011 $
47 83

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 7: Long-Term Liabilities (Continued)
As of June 30, 2021, the City was not in compliance with the rate covenant for their 2005 Water Fund COPs. The target coverage ratio of operating revenues to operating expenses is 110% and the City had a ratio of 80%.

The following are schedules of debt payment requirements of governmental activities and business-type activities to maturity for long-term debt.

Governmental Activities
Year Ended
June 30, Principal Interest Total
2022 52,882 $ 332 $ 53,214 $
2023 52,882 211 53,093
2024 52,884 90 52,974
Total 158,648 $ $ 633 $ 159,281
Loans
Year Ended
June 30, Principal Interest Total
2022 $ 78,359 $ 11,803 $ 90,162
2023 81,156 9,006 90,162
2024 84,054 6,109 90,163
2025 87,054 3,108 90,162
Total $ 330,623 $ 30,026 $ 360,649
Fire Engine
Business-Type Activities
Year Ended
June 30, Principal Interest Total
2022 189,852 $ 44,120 $ 233,972 $
2023 191,750 42,222 233,972
2024 193,668 40,304 233,972
2025 195,605 38,367 233,972
2026 197,561 36,411 233,972
2027-2031 1,017,837 152,025 1,169,862
2032-2036 1,069,757 100,105 1,169,862
2037-2041 1,124,325 45,536 1,169,861
2042 231,656 2,316 233,972
Total 4,412,011 $ 501,406 $ 4,913,417 $
Loans
48 84

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 7: Long-Term Liabilities (Continued)
Business-Type Activities
Year Ended
June 30, Principal Interest Total
2022 70,000 $ 71,188 $ $ 141,188
2023 70,000 68,213 138,213
2024 70,000 65,238 135,238
2025 70,000 62,263 132,263
2026 70,000 59,278 129,278
2027-2031 350,000 251,812 601,812
2032-2036 350,000 177,438 527,438
2037-2041 350,000 103,063 453,063
2042-2045 310,000 29,538 339,538
Total $ 1,710,000 $ 888,031 $ 2,598,031
Certificates of Participation
Note 8: Compensated absences
A summary of the changes in compensated absences for the year ended June 30, 2021 is as follows:

Balance
June 30, 2020 Additions Reductions
Balance
June 30, 2021
Due in
One Year
Governmental Activities $ 77,150 $ 44,688 $ 45,612 $ 76,226 $ 17,223 Business-Type activities 78,449 34,686 26,783 86,352 35,014 Total Primary Government $ 155,599 $ 79,374 $ 72,395 $ 162,578 $ 52,237 49 85

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 9: Fund Balances
The fund balances for all major and non-major governmental funds as of June 30, 2021, were distributed as follows:

General
Program
Income
State Grant
Fund Transportation
16-HOME11532
Capital
Improvement
Project
Other
Governmental
Funds Total
Nonspendable:

Prepaid costs $ 29,319 $ - $ 1,909 $ - $ - $ 5,185 - $ 36,413 Subtotal 29,319 - 1,909 - - 5,185 - 36,413
Restricted For:

Developer Deposits - - - - - 2,672 - 2,672
Street maintenance and
construction - - - - - 506,967 - 506,967
Law enforcement services - - - - - 251,486 - 251,486
Sidewalk improvement - - - - - 18,049 - 18,049
Street lighting - - - - - 133,192 - 133,192
Mello Roos - - - - - 369,467 - 369,467
Impact fees - - - - - 1,796,722 - 1,796,722
Storm drain connection fees - - - - - 267,670 - 267,670 Community development 52,784 - - - - 6,826 - 59,610
Transportation - - 286,071 - - - 286,071 -
Subtotal 52,784 - 286,071 - - 3,353,051 - 3,691,906
Committed to:

General reserve 866,300 - - - - - 866,300 -
City/County major fire 24,664 - - - - - 24,664 -
Equipment replacement 106,960 - - - - - 106,960 -
Info technology 106,958 - - - - - 106,958 -
PERS retirement 330,695 - - - - - 330,695 -
Health insurance 284,228 - - - - - 284,228 -
OPEB 189,158 - - - - - 189,158 -
Capital facilities 696,472 - - - - - 696,472 -
Subtotal 2,605,435 - - - - - 2,605,435 -
Unassigned 1,559,999 (1,143,527) - (1,994) - (324,151) (856,267) (765,940) Totals $ 4,194,753 $ 52,784 $ (1,141,618) $ 286,071 $ (1,994) $ (324,151) $ 2,501,969 $ 5,567,814 Fund Balance Policy
The City Council adopted the City of Live Oak Fund Balance Policy in 2011. The policy establishes procedures for reporting fund balance classifications, establishes prudent reserve requirements and establishes a hierarchy of fund balance expenditures. The policy also provides for a measure of financial protection for the City against unforeseen circumstances and to comply with GASB Statement No. 54.

Included in the City’s adopted budget each year are the City’s Budget Policies. The Budget Policies state that the City will maintain a minimum General Fund general reserve equal to 30 percent of the General Fund’s appropriations. This is considered Live Oak’s “Healthy Cities Reserve”.
50 86

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 10: Pension Plan
a. General Information about the Pension Plan
Plan Description
All qualified permanent and probationary employees are eligible to participate in the City of Live Oak Miscellaneous cost-sharing multiple-employer defined benefit pension plan administered by the California Public Employees’ Retirement System (CalPERS).

Benefit provisions under the Plan are established by State statute and Local Government resolution. CalPERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.

At the measurement date, the City had 15 employees participating in the Miscellaneous “Classic” Plan and 11 employees participating in the Miscellaneous PEPRA Plan.

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 the measurement date, are summarized as follows:

Miscellaneous Rate
Plan
PEPRA
Miscellaneous
Rate Plan
Hire date
Prior to
January 1, 2013*
On or after
January 1, 2013
Benefit formula 2.7% @ 55 2% @ 62
Benefit vesting schedule 5 years of service 5 years of service Benefit payments monthly for life monthly for life
Retirement age 50 - 67 52 - 67
Monthly benefits, as a % of eligible compensation 2.000% - 2.700% 1.000% - 2.500% Required employee contribution rates 8.000% 6.250%
Required normal employer contribution rates 13.182% 6.985% Required employer payment of unfunded liability $172,070 $2,026 *Closed to new member entrants
51 87

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 10: Pension Plan (Continued)
Contribution Description
Section 20814(c) of the California Public Employees’ Retirement Law (PERL) requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate.

The total plan contributions are determined through the CalPERS’ annual actuarial valuation process. For public agency cost-sharing plans covered by either the Miscellaneous or Safety risk pools, the Plan’s actuarially determined rate is based on the estimated amount necessary to pay the Plan’s allocated share of the risk pool’s costs of benefits earned by employees during the year, and any unfunded accrued liability. The employer is required to contribute the difference between the actuarially determined rate and the contribution rate of employees.

In regard to the “Classic” Plan employees, 7 of them were employed by the City prior to 2014 and the City pays the employee portion of the contributions for these individuals as of the balance sheet date.

The contributions that will be recognized as a reduction to the net pension liability for each plan in fiscal year 2022 are $340,276.
b. Pension Liabilities, Pension Expense and Deferred Outflows/Inflows of Resources Related to Pensions
As of June 30, 2021, the City reported a liability of $1,931,204 for its proportionate share of the net pension liability of the Plan. The City’s net pension liability for the Plan is measured as the proportionate share of the net pension liability. The net pension liability of the Plan is measured as of June 30, 2020, and the total pension liability for the Plan used to calculate the net pension liability was determined by an actuarial valuation as of June 30, 2019 rolled forward to June 30, 2020 using standard update procedures. The City’s proportion of the net pension liability was based on a projection of the City’s long-term share of contributions to the pension plans relative to the projected contributions of all participating employers, actuarially determined. The City’s proportionate share of the net pension liability for the Miscellaneous risk pool rate plan was 0.04578%, which was a decrease of 0.00011% from its proportion measured as of June 30, 2019. 52 88

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 10: Pension Plan (Continued)
For the year ended June 30, 2021, the City recognized pension expense of $376,736. At June 30, 2021, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Deferred Outflows of
Resources
Deferred Inflows of
Resources
Pension contributions made subsequent to
measurement date $ 340,276 $ -
Changes in assumptions - (13,774)
Difference between expected and actual
experiences 99,521 -
Net difference between projected and actual
earnings on pension plan investments 57,369 -
Differences between actual contributions and the
proportionate share of contributions 3,991 (35,111)
Adjustment due to difference in proportions 67,198 -
Total $ 568,355 $ (48,885)
$340,276 reported as deferred outflows of resources related to contributions made subsequent to the measurement date will be recognized as a reduction of the net pension liability in the fiscal year ended 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:

Measurement Period Ended
June 30
Deferred
Outflows/(Inflows)
2021 29,893 $
2022 65,883
2023 55,902
2024 27,516
$ 179,194
53 89

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 10: Pension Plan (Continued)
Actuarial Methods and Assumptions Used to Determine Total Pension Liability For the measurement period ended June 30, 2020, (the measurement date), the total pension liability was determined by rolling forward the June 30, 2019, total pension liability.

The June 30, 2019 and the June 30, 2020, total pension liabilities were based on the following actuarial methods and assumptions:

Actuarial Cost Method Entry Age Normal
Discount Rate 7.15%
Inflation 2.50%
Salary Increases Varies by Entry Age and Service
Mortality Rate Table (1) Derived using CalPERS’ Membership Data for all Funds
Post Retirement Benefit
Increase Contract COLA up to 2.00% until Purchasing
Power Protection Allowance Floor on
Purchasing Power applies, 2.50 % thereafter
Actuarial Assumptions
The mortality table used in the June 30, 2019 valuation was developed based on CalPERS-specific data. The table includes 15 years of mortality improvements using the Society of Actuaries Scale 90% of scale MP 2016. For more details on this table, please refer to the December 2017 experience study report (based on CalPERS demographic data from 1997 to 2015) that can be found on the CalPERS website at:
https://www.calpers.ca.gov/docs/forms-publications/calpers-experience-study-2017.pdf Discount Rate
The discount rate used to measure the total pension liability was 7.15 percent. To determine whether the municipal bond rate should be used in the calculation of the discount rate for each plan, CalPERS stress tested plans that would most likely result in a discount rate that would be different from the actuarially assumed discount rate. The tests revealed the assets would not run out. Therefore, the current 7.15 percent discount rate is appropriate, and the use of the municipal bond rate calculation is not deemed necessary.

The long-term expected discount rate of 7.15 percent is applied to all plans in the Public Employees’ Retirement Fund (PERF). The cash flows used in the testing were developed assuming that both members and employers will make their required contributions on time and as scheduled in all future years. The stress test results are presented in a detailed report called “GASB Crossover Testing Report” that can be obtained at CalPERS website under the GASB 68 section.

Long-term Expected Rate of Return
The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.
54 90

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 10: Pension Plan (Continued)
In determining the long-term expected rate of return, staff took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows.

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

Asset Class
Assumed Asset
Allocation
Real Return
Years 1 - 10 (1)
Real Return
Years 11+ (2)
Global Equity 50.0% 4.80% 5.98%
Global Fixed Income 28.0 1.00 2.62
Inflation Assets 0.0 0.77 1.81
Private Equity 8.0 6.30 7.23
Real Assets 13.0 3.75 4.93
Liquidity 1.0 0% (0.92)
100%
(1) An expected inflation of 2.00% used for this period. (2) An expected inflation of 2.92% used for this period.

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

Discount Rate - 1%
(6.15%)
Current Discount Rate
(7.15%)
Discount Rate +1%
(8.15%)
$ 1, 2,926,006 $ 10, 931,204 $ 109,231
Pension Plan Fiduciary Net Position
Detailed information about each pension plan’s fiduciary net position is available in the separately issued CalPERS financial reports.

Subsequent Events
On November 15, 2021, the CalPERS Board of Administration selected a new asset allocation mix that will guide the fund's investment portfolio for the next four years, while at the same time retaining the reduction of discount rate from 7.0% to 6.8%. Notable changes for employers include a decrease in median total employer contribution rates, from less than 1% in miscellaneous plans to a decrease of more than 2% in some safety plans.

Contribution changes will take effect in fiscal year 2023-24 for public agencies. 55 91

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 11: Other Post-Employment Benefits (OPEB)
Plan Description
The City contributes to California Public Employees Retirement System (CalPERS), an agent multiple-employer defined benefit postemployment healthcare plan administrator (“the Retiree Health Plan”). An employee is eligible for lifetime medical benefits under the Plan, along with his/her spouse at the time of retirement, if he or she retires from the City under CalPERS. The retiree receives a benefit of $143 per month from the City. Payments cease at age 65 when the retiree is eligible for Medicare.

Employees Covered
As of the June 30, 2020 actuarial valuation, the following current and former employees were covered by the benefit terms under the Retiree Health Plan:

Active 26
Inactive employees or beneficiaries currently receiving benefits 6 Inactive employees entitled to, but not yet receiving benefits 3 Total 35
Contributions
The Retiree Health Plan and its contribution requirements are established by Memoranda of Understanding with the applicable employee bargaining units and may be amended by agreements between the City and the bargaining units. The annual contribution is based on the actuarially determined contribution. The City’s contributions were $13,104 for the fiscal year, which will be recognized as an increase to the net OPEB asset. 56 92

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 11: Other Post-Employment Benefits (OPEB) (Continued) Net OPEB Asset
The City’s net OPEB asset was measured as of June 30, 2020 and the total OPEB liability used to calculate the net OPEB asset was determined by an actuarial valuation dated June 30, 2019 to determine the June 30, 2020 total OPEB liability, based on the following actuarial methods and assumptions:

Actuarial Assumptions
Contribution Policy
Mortality, Retirement,
Disability, Terminations
Pre-funded through CERBT with Strategy 1
asset allocation

6.75% at June 30, 2020

6.75% at June 30, 2019
Expected City contributions projected to keep
sufficient plan assets to pay all benefits from
trust.

2.75% per annum
CalPERS 1997-2015 Experience Study.

Discount Rate and Long-Term
Rate of Return on Investments
General Inflation
Municipal Bond Rate
Participation at Retirement
Mortality projected fully generational with Scale
MP-19
N/A
50% if active medical coverage
0% if waived
Non-Medicare - 7.25% for 2021, decreasing to
an ultimate rate of 4.0% in 2076 and later years
Medicare - 6.3% for 2021, decreasing to an
ultimate rate of 4.0% in 2076 and later years
Mortality Improvement
Medical Trend
The long-term expected rate of return on OPEB plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of OPEB plan investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. The target allocation and best estimates of arithmetic real rates of return for each major asset class are summarized in the following table:

Asset Class
Target
Allocation
Long-term
expected real
rate of return
Global Equity 59.00% 4.82%
Fixed Income 25.00% 1.47%
TIPS 5.00% 1.29%
Commodities 3.00% 0.84%
REITs 8.00% 3.76%
Total 100.00%
57 93

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 11: Other Post-Employment Benefits (OPEB) (Continued) Discount Rate
The discount rate used to measure the total OPEB liability was 6.75 percent. The projection of cash flows used to determine the discount rate assumed that City contributions will be made at rates equal to the actuarially determined contribution rates. Based on those assumptions, the OPEB plan’s fiduciary net position was projected to be available to make all projected OPEB payments for current active and inactive employees and beneficiaries. Therefore, the long-term expected rate of return on OPEB plan investments was applied to all periods of projected benefit payments to determine the total OPEB liability.

Changes in the Net OPEB Asset
The changes in the net OPEB asset for the Retiree Health Plan are as follows:

Total OPEB
Liability
Plan Fiduciary Net
Position
Net OPEB
(Asset)
$ 420,442 300,777 $ (119,665) $
Service Cost 16,849 - 16,849
Interest Cost 21,068 - 21,068
Contributions - employer - 10,991 (10,991)
Net investment income - 14,852 (14,852)
Benefit payments (10,991) (10,991) -
Adminstrative expenses - (205) 205
Net Changes 26,926 14,647 12,279
$ 435,089 327,703 $ (107,386) $
Increase(Decrease)
Balance at June 30, 2020
(measurement date 6/30/2019)
Balance at June 30, 2021
(measurement date 06/30/2020)
Changes recognized over the
measurement period:

Sensitivity of the Net OPEB Asset to Changes in the Discount Rate The following presents the net OPEB asset of the City if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2020:
1% Decrease
(5.75%)
Current
Discount Rate
(6.75%)
1% Increase
(7.75%)
Net OPEB Asset (64,079) $ ( $ 107,386) $ (143,033)
58 94

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 11: Other Post-Employment Benefits (OPEB) (Continued) Sensitivity of the Net OPEB Asset to Changes in the Health Care Cost Trend Rates The following presents the net OPEB asset of the City if it were calculated using health care cost trend rates that are one percentage point lower or one percentage point higher than the current rate, for measurement period ended June 30, 2020:
1% Decrease
Current Healthcare
Cost Trent Rates 1% Increase
Net OPEB Asset $ (149,966) $ (107,386) $ (54,336)
OPEB Plan Fiduciary Net Position
CalPERS issues a publicly available financial report that includes financial statements and required supplementary information. That report may be obtained directly from the CalPERS website.

OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB For the fiscal year ended June 30, 2021, the City recognized OPEB expense of $8,807. As of fiscal year ended June 30, 2021, the City reported deferred outflows of resources related to OPEB from the following sources:

Deferred Outflows
of Resources
Deferred Inflows of
Resources
OPEB contributions subsequent to measurement date 13,104 $ - $ Net difference between projected and actual earnings on OPEB plan investments - 7,874
Changes in assumptions - 1,213
Differences between expected and actual experience - 3,669 Total $ 4,882 20,978 $
The $13,104 reported as deferred outflows of resources related to contributions subsequent to the June 30, 2020 measurement date will be recognized as an increase to the net OPEB asset during the fiscal year ending June 30, 2022. Other amounts reported as deferred outflows of resources related to OPEB will be recognized as OPEB expense as follows:

Fiscal Year Ended June 30
Deferred
Outflows/(Inflows)
2022 $ (943)
2023 1,595
2024 2,483
2025 2,027
2026 (678)
Thereafter (1,492)
$ 2,992
59 95

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 12: Risk Management
The City is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; injuries to employees; and natural disaster. The City has joined together with other municipalities to participate in Small Cities Organized Risk Effort (SCORE) for general liability, vehicle liability, and errors and omissions purposes. SCORE is a public entity risk pool which serves as a common risk management and insurance program for member cities. The City pays an annual premium to SCORE for its insurance coverage. The agreements with SCORE provide that they will be self-sustaining through member premiums and will reinsure through commercial companies for excess coverage.

The City continues to carry commercial insurance for all other risks of loss. Settled claims resulting from these risks have not exceeded commercial insurance in any of the past three fiscal years.

Note 13: Redevelopment Successor Agency and City Note Receivable The City of Live Oak established the Live Oak Redevelopment Agency and its only project area in 2006. The City and Redevelopment Agency entered into a cooperation agreement whereby the Agency intends to reimburse the City for costs associated to the formation of the Agency and its project area. The City incurred $356,849 of formation costs and the cooperation agreement called for the amount to be reimbursed over a 10-year term with a 3 percent simple interest rate. Repayment was to be made from future redevelopment tax increment revenues.

In 2008 the City and surrounding region experienced a significant downturn in property values and the project area did not produce any tax increment revenue for the next three years.

Therefore, no payments were made by the Redevelopment Agency to the City in that time frame. Due to the lack of tax increment, the Redevelopment Agency did not incur any further expenses on redevelopment functions other than meeting the ordinary compliance requirements.

In June 2011 the State of California passed legislation dissolving all redevelopment agencies including the Live Oak Redevelopment Agency. The State dissolution action was re-affirmed by the State Supreme Court in January 2012 resulting in the termination of all redevelopment activities and the dissolving of the Live Oak Redevelopment Agency. Upon its dissolution, the Redevelopment Agency had no assets and one liability (the City cooperation agreement).

The State dissolution action created the Live Oak Successor Agency whose sole purpose was to manage and/or resolve all redevelopment related assets and debts until 2017, at which time a County-wide entity will inherit such duties from that time forward. Recent processing and approval of the Successor Agency’s “Recognized Obligation Payment Schedule” (“ROPS”) indicates an amount of $440,330 (includes interest charges) for the outstanding amount for the City cooperation agreement and $7,500 for administrative costs. The City accounts for the activities of the Successor Agency as a Private-Purpose Trust Fund. The Successor Agency fund recorded a liability due to other government agencies of $447,830 as an amount due to the City of Live Oak as of June 30, 2015. The Successor Agency Trust also recorded a special item - reinstatement of loan payable in the same amount. 60 96

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 13: Redevelopment Successor Agency and City Note Receivable (Continued) In fiscal year 2014-15, the City’s General Fund recorded an asset for the receivable and related revenue in the amount of $447,830 as an amount due from the Successor Agency Trust for the cooperation agreement associated with the formation costs. The General fund also recorded a special item - reinstatement of loan receivable in the same amount. This loan receivable is shown as a nonspendable in the fund balance of the General fund since the City expects the amount to be paid back over several years by the Successor Agency.

However, in November 2015, the State of California Department of Finance informed the City and its Redevelopment Successor Agency of its intention to dissolve the Successor Agency.

Recently amended statutes indicate that any Successor Agency that has not been allocated property tax revenue prior to February 1, 2012, the Agency shall, no later than November 1, 2015 submit to the Oversight Board a request to formally dissolve the Agency.

The Agency received its first increment in August 2015, however, detail from the Sutter County Auditor-Controller indicates amounts provided to the Live Oak Redevelopment Successor Agency include apportionments of monies from prior years including money prior to February 1, 2012.

The action to dissolve the Successor Agency is still considered to be in dispute by the City.

However, there is a significant probability that the City may not be able to reverse the State’s action to dissolve the Successor Agency. Therefore, the City has chosen to restate the receivable to zero as of the balance sheet date.

Note 14: Other Information
a. Commitments
The following material construction commitments existed at June 30, 2021:

Project Name
Contract
Amount
Expenditures to
date as of
June 30, 2021
Remaining
Commitments
Prop 84 Well #7 $ $ 1,797,573 591,225 2,388,798 $
Pennington Rd East Rehab, 13-CDBG 729,348 444,370 1,173,718 Amounts received or receivable from grant agencies are subject to audit and adjustment by grantor agencies. Any disallowed claims, including amounts already collected, may constitute a liability of the appreciable funds. The amount, if any, of expenditures which may be disallowed by the grantor cannot be determined at this time although the government expects such amounts, if any, to be immaterial. 61 97

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 14: Other Information (Continued)
b. Development Agreements
KB Homes Development Agreement
In July 2017, the City of Live Oak and KB Homes agreed upon various arrangements for the prospective development. The 2017 agreement with KB Homes resolved previous reimbursement arrangements stemming from KB Homes incurring the costs of building the City’s largest water storage facility in 2012. The 2017 agreement provides that the City not assess its water connection, sewer connection fees and general development impact fees upon the 97 prospective single family homes to be built by KB Homes in Pennington Ranch Phase IV. As of June 30, 2021, there are no financial effects upon the City stemming from the development arrangements with KB Homes.

Sutter County (Annexation and Sphere of Influence Development Arrangements with City) In September 2008 the City of Live Oak and the County of Sutter agreed upon various arrangements for prospective development for land annexed by the City and for development governed by the County for properties within the City’s sphere of influence.

These arrangements include land use planning, property tax sharing, sales tax sharing, public safety services, development impact fees and regional transportation. The arrangements are memorialized in City Resolution 46-2008 and Sutter County Resolution 08-069.

At the end of each fiscal year, the Sutter County Auditor-Controller reconciles the property tax allocations subject to the development arrangements and distributes the adjusting amounts due to City and County. Any amounts due to the City for each fiscal year are shown as a receivable as of the balance sheet date in conformity with the City’s revenue recognition practices.

At the end of each fiscal year, the City calculates the amount of sales tax due to the County based upon the agreed upon development arrangements. The sales taxes subject to the development arrangements are accounted for in the City’s general Fund. As of June 30, 2021, the City recorded a liability of zero of sales tax due to the County of Sutter.

As of June 30, 2021, there are no financial effects upon the City stemming from the development arrangements with the County of Sutter other than the aforementioned amounts.
62 98

CITY OF LIVE OAK

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
JUNE 30, 2021
Note 14: Other Information (Continued)
c. Acquisition and Fee Deferral Loan Agreement Live Oak Pacific Associates (Kristen Court Apartments)
In November 2015, the City entered into an acquisition and fee deferral loan agreement with Live Oak Pacific Associates. The agreement deferred the payment of acquisition costs ($293,0000) for a portion of land and certain development impact fees ($374,349) of the Kristen Court Apartments. The City obtained two promissory notes (one for each amount) which mature in 55 years. The note bears a simple interest rate of three percent (3%) per year. Interest began accruing upon the completion of the construction in December 2016.

The loan agreement provides that interest payments be limited to a portion of “Residual Receipts” as prescribed with their annual accounting of operations. The City receives its first interest payment from the project in July 2018. Any unpaid interest over the life of the loan is due and payable at the maturity of the promissory notes. The City accounts for the receipt of the note receivable and unpaid interest as a revenue in the year it is received in the Fire Impact Fees and Storm Drain Connection fund.

The total outstanding balances by component related to this agreement were:

Principal Interest Total
Acquisition Note 293,000 $ $ 19,590 $ 312,590
Development Impact Fee Note (drainage) 94,349 6,405 100,754 Development Impact Fee Note (fire facilities) 18,791 280,000 298,791 Total 667,349 $ $ 44,786 $ 712,135
August 2019, the City entered into an agreement with Live Oak Pacific Associates II, in the amount of $4,500,000 to provide for gap financing of a 24-unit rental housing development (Kristen Court II). The note bears a simple interest rate of three percent (3%) per year and matures in 55 years from the date of the project completion. The loan agreement provides that payments shall be made annually based on residual receipts with the first payment due, if any, on October 30, 2021. Payments shall be credited to accrued interest and then to principal in the 16-HOME-11532 fund. Total outstanding balances for the principal was $4,500,000.
d. Contingent Liability (CalTrans Hwy 99 Project City Funding Contribution) In August 2019 the City of Live Oak entered into a reimbursement agreement with the State of California Department of Transportation (CalTrans) whereby the City agreed to provide funding of $2,338,088 towards the relocating of water and sewer lines associated with the widening of Highway 99. The entire highway project is expected to cost about $28 million and will be completed over a three-year period. During FY 19-20, the City made various budget authorizations for fulfilling the City’s obligation for the $2.3 million agreement. The City’s funding towards this agreement were budgeted in the Sewer Enterprise, Sewer Connection, Local Transportation, Gas Tax, the General Fund and Water Connection. In August 2021, the City paid $2,338,088 to CalTrans for the project.

The August 2019 agreement provides the ability for CalTrans to bill the City for cost overruns of up to 25% of the original agreement. The 2019 agreement continues to obligate the City for up to $584,522 for cost overruns. It is unknown at this time the amount of potential cost overruns. As of June 30, 2021, the City considers the $584,522 a contingent liability against the Water Connection and Sewer Connection Funds. 63 99

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE BY DEPARTMENT

GENERAL FUND
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 4,462,405 4,462,405 $ 4,462,405 $ $ - Resources (Inflows):

Taxes 2,508,900 2,508,900 2,722,578 213,678
Licenses and permits 320,200 320,200 377,745 57,545
Intergovernmental 55,700 55,700 7,240 (48,460)
Charges for services 46,700 46,700 35,379 (11,321)
Use of money and property 105,000 105,000 72,914 (32,086) Fines and forfeitures 12,000 12,000 - (12,000)
Other revenue 370,600 370,600 442,805 72,205
Amounts Available for Appropriations 7,881,505 7,881,505 8,121,066 239,561 Charges to Appropriation (Outflow):

General government
City Council 118,142 118,142 92,102 26,040
Adminstrative Services 278,406 278,406 258,353 20,053
Finance Services 280,633 280,633 262,699 17,934
City Attorney 69,500 69,500 53,932 15,568
Public safety
Building Inspection 177,607 177,607 169,524 8,083
Police Services 805,200 805,200 1,080,991 (275,791)
Animal Control Services 52,250 52,250 40,540 11,710
Fire Services 532,200 532,200 399,421 132,779
Community development
Community Development 242,833 242,833 318,404 (75,571)
Economic Development 23,500 23,500 11,823 11,677
Culture and recreation
Park Operations 428,363 440,363 309,023 131,340
Recreation Services 263,690 263,690 232,692 30,998
Pool Operations 62,646 64,146 66,919 (2,773)
Facility Maintainence 106,372 106,372 67,609 38,763
Community Center - 106,756 - (106,756)
Public ways and facilities
Engineering 20,350 20,350 37,089 (16,739)
Capital outlay 1,556,000 9,000 273,012 1,282,988
Debt service:

Principal retirement 128,558 128,558 128,540 18
Interest and fiscal charges 20,404 20,404 16,884 3,520
Total Charges to Appropriations 3,619,654 5,180,154 3,926,313 1,253,841 Budgetary Fund Balance, June 30 $ 4,261,851 $ 2,701,351 $ 4,194,753 $ 1,493,402 See Notes to Required Supplementary Information.
64 100

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

PROGRAM INCOME
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 143,322 $ 143,322 $ 143,322 $ - Resources (Inflows):

Intergovernmental 180,000 180,000 36,952 (143,048)
Use of money and property 4,000 4,000 (3,717) (7,717)
Amounts Available for Appropriations 327,322 327,322 176,557 (150,765) Charges to Appropriation (Outflows):

Community development 184,000 184,000 123,773 60,227
Total Charges to Appropriations 184,000 184,000 123,773 60,227 Budgetary Fund Balance, June 30 $ 143,322 $ 143,322 $ 52,784 $ (90,538) See Notes to Required Supplementary Information.
65 101

THIS PAGE INTENTIONALLY LEFT BLANK
66 102

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

TRANSPORTATION
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 1,197,430 $ 1,197,430 $ 1,197,430 $ - Resources (Inflows):

Intergovernmental 390,000 390,000 371,141 (18,859)
Use of money and property 5,000 5,000 1,583 (3,417)
Amounts Available for Appropriations 1,592,430 1,592,430 1,570,154 (22,276) Charges to Appropriation (Outflows):

Public ways and facilities 16,800 16,800 4,161 12,639
Capital outlay 1,568,000 370,000 1,223,967 344,033
Transfers out - - 55,955 (55,955)
Total Charges to Appropriations 386,800 1,584,800 1,284,083 300,717 Budgetary Fund Balance, June 30 $ 1,205,630 $ 7,630 $ 286,071 $ 278,441 See Notes to Required Supplementary Information.
67 103

CITY OF LIVE OAK

COST SHARING MULTIPLE EMPLOYER BENEFIT PLAN

SCHEDULE OF PROPORTIONATE SHARE OF THE NET PENSION LIABILITY AS OF JUNE 30, 2021
2015 2016 2017 2018
Miscellaneous Plan
Plan's Proportion of the Net Pension Liability 0.01965% 0.05069% 0.04705% 0.04629% Plan's Proportionate Share of the Net Pension Liability $ 1,222,792 $ 1,390,791 $ 1,634,430 $ 1,824,719 Plan's Covered Payroll $ 1,126,901 $ 961,817 $ 1,091,598 $ 1,108,151 Plan's Proportionate Share of the Net Pension Liability as Percentage of Covered Payroll 108.51% 144.60% 149.73% 164.66% The Pension Plan's (PERF-C) Fiduciary Net Position
as a Percentage of the Total Pension Liability 79.82% 78.40% 74.06% 73.31% Notes to Schedule:
(1) Historical information is required only for measurement for which GASB 68 is applicable. Fiscal Year 2015 was the first year of implementation, therefore only seven years are shown.

Changes of Assumptions: In 2021 and 2020, there were no changes. In 2019, demographic assumptions and inflation rates were changed in accordance with the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. In 2018, the discount rate was reduced from 7.65 percent to 7.15 percent. In 2017, there were no changes. In 2016, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65 percent (without a reduction for pension plan administrative expense.) Benefit Changes: The figures above do not include any liability impact that may have resulted from plan changes which occurred after June 30, 2016. This applies for voluntary benefit changes as well as any offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes).

See Notes to Required Supplementary Information.
68 104
2019 2020 2021

0.04617% 0.04589% 0.04578%
$ 1,837,496 1,739,893 $ 1,931,204 $
$ 911,603 1,152,712 $ 1,330,269 $
150.94% 201.57% 145.17%

75.26% 75.26% 75.10%
See Notes to Required Supplementary Information.
69 105

CITY OF LIVE OAK

COST SHARING MULTIPLE EMPLOYER BENEFIT PLAN

SCHEDULE OF PLAN CONTRIBUTIONS
AS OF JUNE 30, 2021
2015 2016 2017 2018
Miscellaneous Plan
Actuarially Determined Contribution $ 212,735 $ 219,352 $ 234,653 $ 246,864 Contribution in Relation to the Actuarially Determined Contribution (212,735) (219,352) (234,653) (246,864) Contribution Deficiency (Excess) $ - $ - $ - $ -
Covered Payroll $ 1,091,598 961,817 $ 1,108,151 $ $ 1,152,712 Contributions as a Percentage of Covered-Employee Payroll 22.12% 20.09% 21.18% 21.42% Note to Schedule:

Valuation Date:

Methods and assumptions used to determine contribution rates:

Actuarial cost method
Amortization method/period
Inflation
Investment rate of return
Other Methods and assumptions:

7.00% (net of pension plan investment and administrative expenses, includes inflation)
June 30, 2018
Entry Age Normal Cost Method

2.50%
Details of other methods and assumptions can be found within Section 2 of the Actuarial Valuation for June 30, 2018, located at www.calpers.ca.gov under Forms & Publications.
(1) Historical information is required only for measurement for which GASB 68 is applicable. Fiscal Year 2015 was the first year of implementation, therefore only seven years are shown.

Level percentage of pay
See Notes to Required Supplementary Information.
70 106
2019 2020 2021
$ 310,939 242,734 $ 340,276 $
(310,939) (242,734) (340,276)
$ - - $ $ -
$ 911,603 $ 1,330,269 $ 1,356,262

26.63% 23.37% 25.09%
See Notes to Required Supplementary Information.
71 107

CITY OF LIVE OAK

SCHEDULE OF CHANGES IN THE NET OPEB ASSET AND RELATED RATIOS AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
2018 2019 2020 2021
Total OPEB Liability
Service cost $ 24,215 23,510 $ 24,941 $ 16,849 $
Interest on the total OPEB liability 16,459 18,226 20,010 21,068 Actual and expected experience difference - - (4,689) - Changes in assumptions - - (1,549) -
Benefit payments (14,428) (14,578) (18,875) (10,991)
Net change in total OPEB liability 25,541 27,863 19,838 26,926 Total OPEB liability - beginning 227,535 253,076 280,939 300,777 Total OPEB liability - ending (a) $ 253,076 $ 280,939 $ 300,777 $ 327,703 Plan Fiduciary Net Position
Contribution - employer $ 14,428 $ 14,578 $ 18,875 $ 10,991 Net investment income 35,119 29,243 24,440 14,852
Benefit payments (14,428) (14,578) (18,875) (10,991)
Administrative expense (178) (682) (85) (205)
Net change in plan fiduciary net position 34,941 28,561 24,355 14,647 Plan fiduciary net position - beginning 332,585 367,526 396,087 420,442 Plan fiduciary net position - ending (b) $ 367,526 $ 396,087 $ 420,442 $ 435,089 Net OPEB (Asset) - ending (a) - (b) $ (114,450) $ (115,148) $ (119,665) $ (107,386) Plan fiduciary net position as a percentage of the total OPEB liability 145.22% 140.99% 139.79% 132.77% Covered-employee payroll $ 1,200,174 1,011,920 $ 913,598 $ 1, $ 356,262 Net OPEB asset as a percentage of covered-employee payroll -11.31% -9.59% -13.10% -7.92% Notes to Schedule: None.

Changes in assumptions: None
(1) Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation, therefore only four years are shown.

See Notes to Required Supplementary Information.
72 108

CITY OF LIVE OAK

SCHEDULE OF OPEB CONTRIBUTIONS
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
2018 2019 2020 2021
$ 32,072 $ 18,498 $ 19,094 $ 9,061
(18,875) (14,578) (10,991) ( 13,104)
$ 17,494 $ (377) $ 8,103 $ (4,043)
$ 913,598 1,200,174 $ 1,330,269 $ 1,356,262 $

1.21% 2.07% 0.83% 0.97%
Notes to Schedule:

Methods and assumptions used to determine contributions:

Actuarial Cost Method
Amortization Valuation Method/Period
Asset Valuation Method Market value
Inflation 2.75%
Discount Rate 6.75%
Medical Trend
Mortality
Mortality Improvement
*Actuarial methods and assumptions used to set the actuarially determined contribution for Fiscal Year 2021 were from the June 30, 2019 actuarial (1) Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation, therefore only four years are shown.

Medicare - 6.3% for 2021, decreasing to an ultimate rate of 4.0% in 2076 Actuarially Determined Contribution
Contribution in Relation to the Actuarially Determined Contributions Contribution Deficiency (Excess)
Covered-employee payroll
Contributions as a percentage of covered-employee payroll Post-retirement mortality projected fully generation with Scale MP-2019
Entry Age Normal
Level percent of payroll over a closed rolling 18-year
CalPERS 1997-2015 experience study
Non-Medicare - 7.25% for 2021, decreasing to an ultimate rate of 4.0% in 2076 See Notes to Required Supplementary Information.
73 109
&,7<2)/,9(2$.
127(6725(48,5('6833/(0(17$5<,1)250$7,21
<($5(1'('-81(
1RWH
 %XGJHWDU\%DVLVRI$FFRXQWLQJ
)RUPDOEXGJHWDU\LQWHJUDWLRQLVHPSOR\HGDVDPDQDJHPHQWFRQWUROGHYLFHGXULQJWKH\HDU7KH &LW\SUHVHQWVDFRPSDULVRQRIDQQXDOEXGJHWVWRDFWXDOUHVXOWVIRUWKH&LW\¶V*HQHUDO)XQGDQG 6SHFLDO5HYHQXHIXQGV7KHDPRXQWVUHSRUWHGRQWKHEXGJHWDU\EDVLVDUHJHQHUDOO\RQDEDVLV FRQVLVWHQWZLWKDFFRXQWLQJSULQFLSOHVJHQHUDOO\DFFHSWHGLQWKH8QLWHG6WDWHVRI$PHULFD *$$3

7KHIROORZLQJSURFHGXUHVDUHSHUIRUPHGE\WKH&LW\LQHVWDEOLVKLQJWKHEXGJHWDU\GDWDUHIOHFWHG LQWKHILQDQFLDOVWDWHPHQWV



 ,Q0D\RIHDFK\HDUWKH)LQDQFH'HSDUWPHQWLVWRVXEPLWWRWKH&LW\&RXQFLODUHFRPPHQGHG RSHUDWLQJEXGJHWIRUWKHILVFDO\HDUFRPPHQFLQJWKHIROORZLQJ-XO\7KHRSHUDWLQJEXGJHW LQFOXGHVUHFRPPHQGHGH[SHQGLWXUHVDQGHVWLPDWHGUHYHQXHV


 3XEOLFKHDULQJVDUHWREHFRQGXFWHGDW&LW\+DOOWRREWDLQWD[SD\HUFRPPHQWV*HQHUDOO\E\ WKHILUVWRI-XO\DIWHUDGMXVWPHQWDVDSSURSULDWHE\WKH&LW\&RXQFLOWKHEXGJHWLVWREHOHJDOO\ HQDFWHGWKURXJKFRXQFLOPRWLRQ


 &RXQFLO DSSURYDO LV UHTXLUHG IRU WUDQVIHUV EHWZHHQ IXQGV RU IRU DQ LQFUHDVH LQ WRWDO DSSURSULDWLRQV 7KHUHIRUH WKH OHYHO RI EXGJHWDU\ UHVSRQVLELOLW\ LV E\ WRWDO DSSURSULDWLRQV 
KRZHYHU IRU UHSRUW SXUSRVHV WKLV OHYHO KDV EHHQ H[SDQGHG WR D IXQFWLRQDO EDVLV

*HQHUDO*RYHUQPHQW3XEOLF6DIHW\HWF



 $OOXQXVHGDSSURSULDWLRQVIRUEXGJHWHGDPRXQWVODSVHDWWKHHQGRIWKH\HDU $QQXDODSSURSULDWHGEXGJHWVDUHQRWDGRSWHGIRUFHUWDLQIXQGVHVWDEOLVKHGWRPHHWRUVDWLVI\D VSHFLILFSXUSRVH)RUWKHILVFDO\HDUHQGHG-XQHWKHIROORZLQJIXQGVGLGQRWKDYHDQQXDO DSSURSULDWHGEXGJHWV
+20(

'HYHORSHU'HSRVLWV
7UDIILF6DIHW\
6WDWH*UDQW)XQG
&'%*

+20(
+20(
+20(
&'%*
&'%*3,:DLYHU:DWHU0DLQ
7KH&LW\GRHVQRWXVHHQFXPEUDQFHDFFRXQWLQJXQGHUZKLFKSXUFKDVHRUGHUVFRQWUDFWVDQG RWKHUFRPPLWPHQWVIRUWKHH[SHQGLWXUHRIPRQLHVDUHUHFRUGHGLQRUGHUWRUHVHUYHWKDWSRUWLRQRI WKHDSSOLFDEOHDSSURSULDWLRQ
74 110
&,7<2)/,9(2$.
1210$-2563(&,$/5(9(18()81'6
6SHFLDO5HYHQXH )XQGV DUH XVHGWR DFFRXQWIRU DQG UHSRUWWKH SURFHHGV RI VSHFLILF UHYHQXHVWKDW DUH UHVWULFWHG RU FRPPLWWHGWR H[SHQGLWXUHIRU VSHFLILF SXUSRVHV RWKHUWKDQ GHEW VHUYLFH RU FDSLWDO SURMHFWV 1RQPDMRUVSHFLDOUHYHQXHIXQGVXVHGE\WKH&LW\DUHOLVWHGEHORZ 
+20(

7KLVIXQGLVXVHGWRDFFRXQWIRU+20(JUDQWUHYHQXHVDQGH[SHQGLWXUHV 'HYHORSHU'HSRVLWV
7KH'HYHORSHU'HSRVLWVIXQGLVXVHGWRDFFRXQWIRUGHYHORSHUGHSRVLWV 6WUHHWVDQG5RDGV
7KH 6WUHHWV DQG 5RDGV IXQG LV XVHG WR DFFRXQW IRU JDV WD[ UHYHQXH DOORFDWLRQV UHFHLYHG IURP WKH 6WDWH)XQGVUHFHLYHGDUHUHVWULFWHGWRH[SHQGLWXUHVIRUVWUHHWPDLQWHQDQFHWUDIILFVDIHW\DQGFRQVWUXFWLRQ 7UDIILF6DIHW\
7KLVIXQGLVXVHGWRDFFRXQWIRUFRXUWILQHVFROOHFWHGRQWKH&LW\¶VDFFRXQWIRUPRYLQJYLRODWLRQV &236
7KLVIXQGLVXVHGWRDFFRXQWIRUVSHFLDOSROLFHUHYHQXHUHFHLYHGXQGHUWKH&LWL]HQV2SWLRQVIRU3XEOLF6DIHW\ IRUIURQWOLQHODZHQIRUFHPHQWVHUYLFHV
6LGHZDON,PSURYHPHQW
7KLVIXQGLVXVHGWRDFFRXQWIRUPRQLHVWREHXVHGIRUVLGHZDONLPSURYHPHQWV 6WUHHW/LJKWLQJ
7KLVIXQGLVXVHGWRDFFRXQWIRUPRQLHVWREHXVHGIRUYDULRXVVWUHHWOLJKWLQJGLVWULFWV7KLVDVVHVVPHQW GLVWULFWH[FOXGHVSURSHUW\ZLWKLQ&RPPXQLW\)DFLOLWLHV'LVWULFW &)'

0HOOR5RRV&)'

7KLVIXQGLVXVHGWRDFFRXQWIRUVSHFLDODVVHVVPHQWUHYHQXHUHFHLYHGWRILQDQFHWKHSXUFKDVHFRQVWUXFWLRQ H[SDQVLRQRUUHKDELOLWDWLRQRIVLWHVDQGVWUXFWXUHVIRUJHQHUDOJRYHUQPHQWSROLFHILUHSDUNVUHFUHDWLRQ VWUHHWV VFKRROV DQG RWKHU JRYHUQPHQWDO IDFLOLWLHV 7KH UHYHQXHV UHFHLYHG DUH VKDUHG ZLWK WKH /LYH2DN8QLILHG6FKRRO'LVWULFWUHFHLYLQJRIWKHDQQXDODVVHVVPHQWVUHFHLYHG )LUH%HQHILW$VVHVVPHQW
7KLV IXQG LV XVHG WR DFFRXQW IRU VSHFLDO DVVHVVPHQW UHYHQXH UHFHLYHG IRU WKH SXUSRVHV RI ILUH SURWHFWLRQVHUYLFHV7KLVDVVHVVPHQWGLVWULFWH[FOXGHVSURSHUW\ZLWKLQ&)' 0HOOR5RRV&)')LUH
7KLV IXQG LV XVHG WR DFFRXQW IRU VSHFLDO DVVHVVPHQW UHYHQXH UHFHLYHG IRU WKH SXUSRVHV RI ILUH SURWHFWLRQVHUYLFHV
75 111
&,7<2)/,9(2$.
1210$-2563(&,$/5(9(18()81'6
0HOOR5RRV&)'3ROLFH
7KLV IXQG LV XVHG WR DFFRXQW IRU VSHFLDO DVVHVVPHQW UHYHQXH UHFHLYHG IRU WKH SXUSRVHV RI SROLFH SURWHFWLRQVHUYLFHV
0HOOR5RRV&)'$QLPDO6HUYLFHV
7KLV IXQG LV XVHG WR DFFRXQW IRU VSHFLDO DVVHVVPHQW UHYHQXH UHFHLYHG IRU WKH SXUSRVHV RI DQLPDO SURWHFWLRQVHUYLFHV
0HOOR5RRV&)'6WUHHW/LJKWLQJ
7KLV IXQG LV XVHG WR DFFRXQW IRU VSHFLDO DVVHVVPHQW UHYHQXH UHFHLYHG IRU WKH SXUSRVHV RI VWUHHW OLJKWLQJVHUYLFHV
0HOOR5RRV&)'3DUNV5HFUHDWLRQ3RRO
7KLVIXQGLVXVHGWRDFFRXQWIRUVSHFLDODVVHVVPHQWUHYHQXHUHFHLYHGIRUWKHSXUSRVHVRISDUNVDQGSRRO PDLQWHQDQFHDQGUHFUHDWLRQSURJUDPV
0HOOR5RRV&)'6WRUP'UDLQ
7KLVIXQG LV XVHGWR DFFRXQWIRU VSHFLDO DVVHVVPHQW UHYHQXH UHFHLYHGIRUWKH SXUSRVHV RI VWRUP GUDLQ PDLQWHQDQFHDQGLPSURYHPHQWV
3DUNV 5HFUHDWLRQ,PSDFW)HHV
7KLVIXQG LV XVHGWR DFFRXQWIRU GHYHORSPHQW LPSDFWIHHV UHFHLYHGIRUWKH SXUSRVHV RI H[SDQVLRQ DQG FRQVWUXFWLRQRISDUNVDQGUHFUHDWLRQIDFLOLWLHV
&RPPXQLW\&HQWHU,PSDFW)HHV
7KLVIXQG LV XVHGWR DFFRXQWIRU GHYHORSPHQW LPSDFWIHHV UHFHLYHGIRUWKH SXUSRVHV RI H[SDQVLRQ DQG FRQVWUXFWLRQRIFRPPXQLW\FHQWHUV
3XEOLF:RUNV,PSDFW)HHV
7KLVIXQGLVXVHGWRDFFRXQWIRUGHYHORSPHQWLPSDFWIHHVUHFHLYHGIRUWKHH[SDQVLRQDQGFRQVWUXFWLRQRI SXEOLFZRUNVFURS\DUGIDFLOLWLHVDQGHTXLSPHQW
*HQHUDO*RYHUQPHQW,PSDFW)HHV
7KLVIXQGLVXVHGWRDFFRXQWIRUGHYHORSPHQWLPSDFWIHHVUHFHLYHGIRUWKHH[SDQVLRQDQGFRQVWUXFWLRQRI JHQHUDOJRYHUQPHQWDGPLQLVWUDWLRQIDFLOLWLHVDQGHTXLSPHQW 3ROLFH,PSDFW)HHV
7KLVIXQGLVXVHGWRDFFRXQWIRUGHYHORSPHQWLPSDFWIHHVUHFHLYHGIRUWKHH[SDQVLRQDQGFRQVWUXFWLRQRI SXEOLFVDIHW\SROLFHIDFLOLWLHVDQGHTXLSPHQW
76 112
&,7<2)/,9(2$.
1210$-2563(&,$/5(9(18()81'6
)LUH,PSDFW)HHV
7KLVIXQGLVXVHGWRDFFRXQWIRUGHYHORSPHQWLPSDFWIHHVUHFHLYHGIRUWKHH[SDQVLRQDQGFRQVWUXFWLRQRI SXEOLFVDIHW\ILUHIDFLOLWLHVDQGHTXLSPHQW
6LJQDO,PSDFW)HHV
7KLVIXQG LV XVHGWR DFFRXQWIRU GHYHORSPHQW LPSDFWIHHV UHFHLYHGIRUWKH H[SDQVLRQ DQG FRQVWUXFWLRQ RIVLJQDOV
)ORRG&RQWURO,PSDFW)HHV
7KLVIXQGLVXVHGWRDFFRXQWIRUGHYHORSPHQWLPSDFWIHHVUHFHLYHGIRUWKHH[SDQVLRQDQGFRQVWUXFWLRQRI VWRUPGUDLQDJHIDFLOLWLHV
6WRUP'UDLQ&RQQHFWLRQ)HHV
7KLVIXQGLVXVHGWRDFFRXQWIRUWKHFDSDFLW\DQGFRQQHFWLRQIHHVUHFHLYHGIRUWKHUHKDELOLWDWLRQH[SDQVLRQ DQGFRQVWUXFWLRQRIVWRUPGUDLQDJHIDFLOLWLHV
&'%*
6NDWH3DUN
7KLVIXQGLVXVHGWRDFFRXQWIRU&'%*JUDQWIXQGVXVHGIRUSXEOLFLPSURYHPHQWVIRUWKHVNDWHSDUN)XQGLQJ FRPHVIURPWKH&'%*
JUDQWUHYHQXHV
+20(
7KLVIXQGLVXVHGWRDFFRXQWIRU+20(JUDQWIXQGVXVHGWRPDNHORDQVWRUHVLGHQWVIRUWKHSXUSRVHVRI KRXVLQJUHKDELOLWDWLRQDQGGRZQSD\PHQWDVVLVWDQFHIRUILUVWWLPHKRPHEX\HUV +20(
7KLVIXQGLVXVHGWRDFFRXQWIRU+20(JUDQWIXQGVXVHGIRUWKH2ZQHU2FFXSLHG5HKDE/RDQ3URJUDP &'%*3,:DLYHU:DWHU0DLQ
7KLVIXQGLVXVHGWRDFFRXQWIRU&'%*3URJUDP,QFRPHIXQGVJUDQWHGWRWKH&LW\IURP6XWWHU&RXQW\IRU WKH3HQQLQJWRQ5RDG:DWHU0DLQ&RQVWUXFWLRQ3URMHFW
77 113

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments $ - $ 185,318 $ 640,893 $ 10,446
Receivables:

Accounts - - - -
Notes and loans - - - -
Interest - 86 291 5
Prepaid items - - 844 -
Due from other governments - - 28,590 1,153
Total Assets $ - $ 185,404 $ 670,618 $ 11,604
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable $ - - $ $ 157,320 $ -
Salaries and benefits payable - - 5,487 -
Unearned revenues - - - -
Deposits payable 182,732 - - -
Due to other funds - 3,945 - -
Total Liabilities 3,945 182,732 162,807 -
Deferred Inflows of Resources:

Unavailable revenues - - - -
Deferred loan payments - - - -
Total Deferred Inflows of Resources - - - -
Fund Balances:

Nonspendable - - 844 -
Restricted 2,672 - 506,967 11,604
Unassigned (3,945) - - -
Total Fund Balances (3,945) 2,672 507,811 11,604
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances $ - $ 185,404 $ 670,618 $ 11,604 14-HOME-9274
Developer
Deposits
Streets and
Roads Traffic Safety
Special Revenue Funds
78 114

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Notes and loans
Interest
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Salaries and benefits payable
Unearned revenues
Deposits payable
Due to other funds
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

(CONTINUED)
$ 18,041 496,006 $ $ 131,526 $ 101,323
- - - -
- - - -
8 227 56 61
- 114 - 1,606
- - 3,595 1,130
$ 18,049 496,347 $ $ 135,177 $ 104,120
$ - 40,773 $ 1,985 $ $ -
- - - -
- 215,578 - -
- - - -
- - - -
- 256,351 1,985 -
- - - -
- - - -
- - - -
- 114 - 1,606
239,882 18,049 133,192 102,514
- - - -
18,049 239,996 133,192 104,120
$ 18,049 496,347 $ $ 135,177 $ 104,120
Mello Roos CFD
COPS 92-1
Sidewalk
Improvement
Special Revenue Funds
Street Lighting
79 115

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Notes and loans
Interest
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Salaries and benefits payable
Unearned revenues
Deposits payable
Due to other funds
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

$ 26,613 - $ 22,262 $ 3,701 $
- - - -
- - - -
3 - - -
- - 2,621 -
1,088 6,285 2,950 171
$ 27,704 6,285 $ 27,833 $ 3,872 $
$ - - $ - $ $ -
- - - -
- - - -
- - - -
- 25,775 - -
- 25,775 - -
- - - -
- - - -
- - - -
- - 2,621 -
27,704 - 25,212 3,872
- (19,490) - -
27,704 (19,490) 27,833 3,872
$ 27,704 6,285 $ 27,833 $ 3,872 $
Fire Benefit
Assessment
Mello Roos CFD
2004-1 Fire
Mello Roos CFD
2004-1 Police
Mello Roos CFD
2004-1 Animal
Services
Special Revenue Funds
80 116

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Notes and loans
Interest
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Salaries and benefits payable
Unearned revenues
Deposits payable
Due to other funds
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

(CONTINUED)
$ 56,399 - $ 153,027 $ $ 331,614
- - - 540
- - - -
14 - 69 150
- - - -
1,348 177 177 -
$ 57,761 177 $ 153,273 $ $ 332,304
$ 659 2,132 $ 210 $ $ -
- - - -
- - - -
- - - -
- 27,721 - -
659 29,853 210 -
- - - -
- - - -
- - - -
- - - -
57,102 - 153,063 332,304
- (29,676) - -
57,102 (29,676) 153,063 332,304
$ 57,761 177 $ 153,273 $ $ 332,304
Mello Roos CFD
2004-1 Storm
Drain
Parks &
Recreation
Impact Fees
Mello Roos CFD
2004-1 Street
Lighting
Mello Roos CFD
2004-1
Parks/Recreation
/Pool
Special Revenue Funds
81 117

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Notes and loans
Interest
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Salaries and benefits payable
Unearned revenues
Deposits payable
Due to other funds
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

$ 68,740 287,469 $ $ 433,889 $ 210,039
- - - -
- - - -
31 132 200 97
- - - -
- - - -
$ 68,771 287,601 $ $ 434,089 $ 210,136
$ - - $ 481 $ $ -
- - - -
- - - -
- - - -
- - - -
- - 481 -
- - - -
- - - -
- - - -
- - - -
68,771 287,601 433,608 210,136
- - - -
68,771 287,601 433,608 210,136
$ 68,771 287,601 $ $ 434,089 $ 210,136
Community
Center Impact
Fees
Public Works
Impact Fees
General
Government
Impact Fees
Police Impact
Fees
Special Revenue Funds
82 118

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Notes and loans
Interest
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Salaries and benefits payable
Unearned revenues
Deposits payable
Due to other funds
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

(CONTINUED)
$ 254,954 $ 2,090 314,002 $ $ 267,554
- - - -
- 297,677 - 414,458
142 113 1 116
- - - -
- - - -
$ 552,744 $ 2,091 314,144 $ $ 682,128
$ - $ - 107,000 $ $ -
- - - -
- - - -
- - - -
- - - -
- - 107,000 -
- - - -
- 297,677 - 414,458
- 297,677 - 414,458
- - - -
207,144 255,067 2,091 267,670
- - - -
207,144 255,067 2,091 267,670
$ 552,744 $ 2,091 314,144 $ $ 682,128
Special Revenue Funds
Fire Impact
Fees
Signal Impact
Fees
Flood Control
Impact Fees
Storm Drain
Connection Fees
83 119

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Notes and loans
Interest
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Salaries and benefits payable
Unearned revenues
Deposits payable
Due to other funds
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances

$ 6,826 - $ - $ - $
- - - -
- - 88,532 -
- - - -
- - - -
- - 126,176 -
$ 6,826 - $ 214,708 $ - $
$ - - $ - $ $ -
- - - -
- - - -
- - - -
- 430,713 126,443 246,000
- 430,713 126,443 246,000
- - 126,176 -
- - 88,532 -
- - 214,708 -
- - - -
6,826 - - -
- (430,713) (126,443) (246,000)
6,826 (430,713) (126,443) (246,000)
$ 6,826 - $ 214,708 $ - $
Special Revenue Funds
CDBG PI Waiver
Water Main
13-CDBG-8933
Skate Park 11-HOME-7661 16-HOME-11380
84 120

CITY OF LIVE OAK

COMBINING BALANCE SHEET

NONMAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
Assets:

Cash and investments
Receivables:

Accounts
Notes and loans
Interest
Prepaid items
Due from other governments
Total Assets
Liabilities, Deferred Inflows of Resources,
and Fund Balances:

Liabilities:

Accounts payable
Salaries and benefits payable
Unearned revenues
Deposits payable
Due to other funds
Total Liabilities
Deferred Inflows of Resources:

Unavailable revenues
Deferred loan payments
Total Deferred Inflows of Resources
Fund Balances:

Nonspendable
Restricted
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
$ 4,022,732
540
800,667
1,802
5,185
172,840
$ 5,003,766
$ 310,560
5,487
215,578
182,732
860,597
1,574,954
126,176
800,667
926,843
5,185
3,353,051
(856,267)
2,501,969
$ 5,003,766
Total
Governmental
Funds
85 121

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments $ - $ - $ - $ -
Licenses and permits - - - -
Fines and forfeitures - - - 4,781
Use of money and property - (548) 351 10
Intergovernmental - - 422,505 -
Charges for services - - 6,673 -
Other revenue - - 15,362 -
Total Revenues - (548) 444,891 4,791
Expenditures:

Current:

General government - - - -
Public safety - - - -
Public ways and facilities - - 287,875 -
Culture and recreation - - - -
Community development - - - -
Capital outlay - - 174,326 -
Total Expenditures - - 462,201 -
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (548) (17,310) 4,791
Other Financing Sources (Uses):

Transfers in - - - -
Total Other Financing Sources
(Uses) - - - -
Net Change in Fund Balances - (548) (17,310) 4,791
Fund Balances, Beginning of Year (3,945) 3,220 525,121 6,813 Fund Balances, End of Year $ (3,945) $ 2,672 $ 507,811 $ 11,604 14-HOME-9274
Developer
Deposits
Streets and
Roads Traffic Safety
Special Revenue Funds
86 122

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

(CONTINUED)
$ - - $ 56,229 $ 129,033 $
- - - -
- - - -
7 141 41 (175)
- 46,285 - -
- - - -
- - 1,331 -
7 46,426 57,601 128,858
- - - -
- 152 - -
- - 47,961 -
- - - -
- - - 149,875
- 46,134 - -
- 46,286 47,961 149,875
7 140 9,640 (21,017)
- - - 45,000
- - - 45,000
7 140 9,640 23,983
18,042 239,856 123,552 80,137
$ 18,049 239,996 $ 133,192 $ 104,120 $
Sidewalk
Improvement Street Lighting
Mello Roos
COPS CFD 92-1
Special Revenue Funds
87 123

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

$ 115,073 132,992 $ 312,073 $ 18,137 $
- - - -
- - - -
(198) (274) (546) (34)
- - - -
- - - -
- - - -
114,875 132,718 311,527 18,103
95,988 - - -
- 167,386 309,827 15,703
- - - -
- - - -
- - - -
- - - -
95,988 167,386 309,827 15,703
18,887 (34,668) 1,700 2,400
- - - -
- - - -
18,887 (34,668) 1,700 2,400
8,817 15,178 26,133 1,472
$ 27,704 (19,490) $ 27,833 $ 3,872 $
Fire Benefit
Assessment
Mello Roos
CFD 2004-1 Fire
Mello Roos
CFD 2004-1
Police
Mello Roos
CFD 2004-1
Animal Services
Special Revenue Funds
88 124

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

(CONTINUED)
$ 143,731 18,762 $ 18,912 $ 201,058 $
- - - -
- - - -
(214) (1) 78 475
- - - -
- - - -
- - - 540
143,517 18,761 18,990 202,073
- - - -
- - - -
- 27,214 4,266 -
110,999 - - -
- - - -
- - - 27,252
110,999 27,214 4,266 27,252
32,518 (8,453) 14,724 174,821
- - - -
- - - -
32,518 (8,453) 14,724 174,821
24,584 (21,223) 138,339 157,483
$ 57,102 (29,676) $ 153,063 $ 332,304 $
Mello Roos
CFD 2004-1
Storm Drain
Parks &
Recreation
Impact Fees
Mello Roos
CFD 2004-1
Street Lighting
e o oos C
2004-1
Parks/Recreation/
Pool
Special Revenue Funds
89 125

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

$ - 49,431 $ 64,158 $ 35,150 $
36,630 - - -
- - - -
90 202 287 147
- - - -
- - - -
- - - -
36,720 49,633 64,445 35,297
- - 2,193 -
- - - -
- - - -
- - - -
- - - -
- - - -
- - 2,193 -
36,720 49,633 62,252 35,297
- - - -
- - - -
36,720 49,633 62,252 35,297
32,051 237,968 371,356 174,839
$ 68,771 287,601 $ 433,608 $ 210,136 $
Community
Center Impact
Fees
Public Works
Impact Fees
General
Government
Impact Fees
Police Impact
Fees
Special Revenue Funds
90 126

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

(CONTINUED)
$ - 97,310 $ - $ - $
- - - -
- - - -
408 7,191 - 7,407
- - - -
173,604 - - -
- - - 221,704
174,012 104,501 - 229,111
- - - -
- - - -
- - - -
- - - -
- - - -
128,073 - - -
128,073 - - -
45,939 104,501 - 229,111
- - - -
- - - -
45,939 104,501 - 229,111
161,205 150,566 2,091 38,559
$ 207,144 255,067 $ 2,091 $ 267,670 $
Fire Impact
Fees
Signal Impact
Fees
Flood Control
Impact Fees
Storm Drain
Connection
Fees
Special Revenue Funds
91 127

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year

$ - - $ - $ - $
- - - -
- - - -
(21) - - -
- - - -
- - - -
- - 1,877 -
(21) - 1,877 -
- - - -
- - - -
- - - -
- - - -
- - 96,064 18,013
- - - -
- - 96,064 18,013
(21) - (94,187) (18,013)
- - - -
- - - -
(21) - (94,187) (18,013)
6,847 (430,713) (32,256) (227,987)
$ 6,826 (430,713) $ (126,443) $ (246,000) $

CDBG PI
Waiver Water
Main
13-CDBG-8933
Skate Park 11-HOME-7661 16-HOME-11380
Special Revenue Funds
92 128

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES

NONMAJOR GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2021
Revenues:

Taxes and assessments
Licenses and permits
Fines and forfeitures
Use of money and property
Intergovernmental
Charges for services
Other revenue
Total Revenues
Expenditures:

Current:

General government
Public safety
Public ways and facilities
Culture and recreation
Community development
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):

Transfers in
Total Other Financing Sources
(Uses)
Net Change in Fund Balances
Fund Balances, Beginning of Year
Fund Balances, End of Year
$ 1,392,049
36,630
4,781
14,824
468,790
180,277
240,814
2,338,165
98,181
493,068
367,316
110,999
263,952
375,785
1,709,301
628,864
45,000
45,000
673,864
1,828,105
$ 2,501,969
Total
Governmental
Funds
93 129

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

STREETS AND ROADS
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 525,121 $ 525,121 $ 525,121 $ - Resources (Inflows):

Intergovernmental 364,539 364,539 422,505 57,966
Charges for services 7,500 7,500 6,673 (827)
Use of money and property 4,000 4,000 351 (3,649)
Other revenue - - 15,362 15,362
Amounts Available for Appropriations 901,160 901,160 970,012 68,852 Charges to Appropriation (Outflows):

Public ways and facilities 281,825 281,825 287,875 (6,050) Capital outlay 50,000 258,000 174,326 83,674
Total Charges to Appropriations 331,825 539,825 462,201 77,624 Budgetary Fund Balance, June 30 $ 569,335 $ 361,335 $ 507,811 $ 146,476 94 130

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
COPS
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 239,856 $ 239,856 $ 239,856 $ - Resources (Inflows):

Intergovernmental 100,000 100,000 46,285 (53,715)
Use of money and property 3,000 3,000 141 (2,859)
Amounts Available for Appropriations 342,856 342,856 286,282 (56,574) Charges to Appropriation (Outflows):

Public safety 25,000 25,000 152 24,848
Capital outlay 120,000 120,000 46,134 73,866
Total Charges to Appropriations 145,000 145,000 46,286 98,714 Budgetary Fund Balance, June 30 $ 197,856 $ 197,856 $ 239,996 $ 42,140 95 131

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

SIDEWALK IMPROVEMENT
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 18,042 $ 18,042 $ 18,042 $ - Resources (Inflows):

Use of money and property 200 200 7 (193)
Amounts Available for Appropriations 18,242 18,242 18,049 (193) Charges to Appropriation (Outflows):

Capital outlay 17,500 17,500 - 17,500
Total Charges to Appropriations 17,500 17,500 - 17,500
Budgetary Fund Balance, June 30 $ 742 $ 742 $ 18,049 $ 17,307 96 132

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

STREET LIGHTING
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 123,552 $ 123,552 $ 123,552 $ - Resources (Inflows):

Taxes and assessments 54,464 54,464 56,229 1,765
Use of money and property 1,000 1,000 41 (959)
Other revenue 1,500 1,500 1,331 (169)
Amounts Available for Appropriations 180,516 180,516 181,153 637 Charges to Appropriation (Outflows):

Public ways and facilities 61,700 61,700 47,961 13,739
Total Charges to Appropriations 61,700 61,700 47,961 13,739 Budgetary Fund Balance, June 30 $ 118,816 $ 118,816 $ 133,192 $ 14,376 97 133

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
MELLO ROOS CFD 92-1
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 80,137 $ 80,137 $ 80,137 $ - Resources (Inflows):

Taxes and assessments 129,700 129,700 129,033 (667)
Use of money and property 1,200 1,200 (175) (1,375)
Transfers in - 45,000 - 45,000
Amounts Available for Appropriations 211,037 211,037 253,995 42,958 Charges to Appropriation (Outflows):

Community development 130,700 130,700 149,875 (19,175)
Total Charges to Appropriations 130,700 130,700 149,875 (19,175) Budgetary Fund Balance, June 30 $ 80,337 $ 80,337 $ 104,120 $ 23,783 98 134

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

FIRE BENEFIT ASSESSMENT
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 15,178 $ 15,178 $ 15,178 $ - Resources (Inflows):

Taxes and assessments 127,276 127,276 132,992 5,716
Use of money and property 200 200 (274) (474)
Amounts Available for Appropriations 142,654 142,654 147,896 5,242 Charges to Appropriation (Outflows):

Public safety 167,400 167,400 167,386 14
Total Charges to Appropriations 167,400 167,400 167,386 14 Budgetary Fund Balance, June 30 $ (24,746) $ (24,746) $ (19,490) $ 5,256 99 135

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
MELLO ROOS CFD 2004-1 FIRE
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 8,817 $ 8,817 $ 8,817 $ - Resources (Inflows):

Taxes and assessments 113,300 113,300 115,073 1,773
Use of money and property - - (198) (198)
Amounts Available for Appropriations 122,117 122,117 123,692 1,575 Charges to Appropriation (Outflows):

General government 96,000 96,000 95,988 12
Total Charges to Appropriations 96,000 96,000 95,988 12 Budgetary Fund Balance, June 30 $ 26,117 $ 26,117 $ 27,704 $ 1,587 100
136

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
MELLO ROOS CFD 2004-1 POLICE
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 26,133 $ 26,133 $ 26,133 $ - Resources (Inflows):

Taxes and assessments 307,400 307,400 312,073 4,673
Use of money and property 200 200 (546) (746)
Amounts Available for Appropriations 333,733 333,733 337,660 3,927 Charges to Appropriation (Outflows):

Public safety 304,300 304,300 309,827 (5,527)
Total Charges to Appropriations 304,300 304,300 309,827 (5,527) Budgetary Fund Balance, June 30 $ 29,433 $ 29,433 $ 27,833 $ (1,600) 101
137

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
MELLO ROOS CFD 2004-1 ANIMAL SERVICES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 1,472 $ 1,472 $ 1,472 $ - Resources (Inflows):

Taxes and assessments 17,800 17,800 18,137 337
Use of money and property 20 20 (34) (54)
Amounts Available for Appropriations 19,292 19,292 19,575 283 Charges to Appropriation (Outflows):

Public safety 15,700 15,700 15,703 (3)
Total Charges to Appropriations 15,700 15,700 15,703 (3) Budgetary Fund Balance, June 30 $ 3,592 $ 3,592 $ 3,872 $ 280 102
138

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
MELLO ROOS CFD 2004-1 STREET LIGHTING
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ (21,223) $ (21,223) $ (21,223) $ - Resources (Inflows):

Taxes and assessments 18,400 18,400 18,762 362
Use of money and property - - (1) (1)
Amounts Available for Appropriations (2,823) (2,823) (2,462) 361 Charges to Appropriation (Outflows):

Public ways and facilities 27,500 27,500 27,214 286
Total Charges to Appropriations 27,500 27,500 27,214 286 Budgetary Fund Balance, June 30 $ (30,323) $ (30,323) $ (29,676) $ 647 103
139

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
MELLO ROOS CFD 2004-1 PARKS/RECREATION/POOL
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 24,584 $ 24,584 $ 24,584 $ - Resources (Inflows):

Taxes and assessments 140,400 140,400 143,731 3,331
Use of money and property 100 100 (214) (314)
Amounts Available for Appropriations 165,084 165,084 168,101 3,017 Charges to Appropriation (Outflows):

Culture and recreation 116,700 116,700 110,999 5,701
Total Charges to Appropriations 116,700 116,700 110,999 5,701 Budgetary Fund Balance, June 30 $ 48,384 $ 48,384 $ 57,102 $ 8,718 104
140

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
MELLO ROOS CFD 2004-1 STORM DRAIN
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 138,339 $ 138,339 $ 138,339 $ - Resources (Inflows):

Taxes and assessments 18,400 18,400 18,912 512
Use of money and property 1,000 1,000 78 (922)
Amounts Available for Appropriations 157,739 157,739 157,329 (410) Charges to Appropriation (Outflows):

Public ways and facilities 117,600 117,600 4,266 113,334 Total Charges to Appropriations 117,600 117,600 4,266 113,334 Budgetary Fund Balance, June 30 $ 40,139 $ 40,139 $ 153,063 $ 112,924 105
141

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

PARKS & RECREATION IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 157,483 $ 157,483 $ 157,483 $ - Resources (Inflows):

Taxes and assessments 106,000 106,000 201,058 95,058
Use of money and property - - 475 475
Miscellaneous - - 540 540
Amounts Available for Appropriations 263,483 263,483 359,556 96,073 Charges to Appropriation (Outflows):

Culture and recreation 31,000 31,000 - 31,000
Capital outlay 29,000 29,000 27,252 1,748
Total Charges to Appropriations 60,000 60,000 27,252 32,748 Budgetary Fund Balance, June 30 $ 203,483 $ 203,483 $ 332,304 $ 128,821 106
142

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

COMMUNITY CENTER IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 237,968 $ 237,968 $ 237,968 $ - Resources (Inflows):

Taxes and assessments 28,056 28,056 49,431 21,375
Use of money and property 1,500 1,500 202 (1,298)
Amounts Available for Appropriations 267,524 267,524 287,601 20,077 Charges to Appropriation (Outflows):

Culture and recreation 235,000 235,000 235,000 -
Total Charges to Appropriations 235,000 235,000 235,000 - Budgetary Fund Balance, June 30 $ 32,524 $ 32,524 $ 287,601 $ 255,077 107
143

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

PUBLIC WORKS IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 32,051 $ 32,051 $ 32,051 $ - Resources (Inflows):

Licenses and permits 20,700 20,700 36,630 15,930
Use of money and property 200 200 90 (110)
Amounts Available for Appropriations 52,951 52,951 68,771 15,820 Charges to Appropriation (Outflows):

Capital outlay 31,000 31,000 - 31,000
Total Charges to Appropriations 31,000 31,000 - 31,000
Budgetary Fund Balance, June 30 $ 21,951 $ 21,951 $ 68,771 $ 46,820 108
144

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

GENERAL GOVERNMENT IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 371,356 $ 371,356 $ 371,356 $ - Resources (Inflows):

Taxes and assessments 36,400 36,400 64,158 27,758
Use of money and property 2,500 2,500 287 (2,213)
Amounts Available for Appropriations 410,256 410,256 435,801 25,545 Charges to Appropriation (Outflows):

General government 365,000 365,000 2,193 362,807
Total Charges to Appropriations 365,000 365,000 2,193 362,807 Budgetary Fund Balance, June 30 $ 45,256 $ 45,256 $ 433,608 $ 388,352 109
145

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

POLICE IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 174,839 $ 174,839 $ 174,839 $ - Resources (Inflows):

Taxes and assessments 19,900 19,900 35,150 15,250
Use of money and property 1,000 1,000 147 (853)
Amounts Available for Appropriations 195,739 195,739 210,136 14,397 Charges to Appropriation (Outflows):

Public safety 172,000 172,000 172,000 -
Total Charges to Appropriations 172,000 172,000 172,000 - Budgetary Fund Balance, June 30 $ 23,739 $ 23,739 $ 210,136 $ 186,397 110
146

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

FIRE IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 150,566 $ 150,566 $ 150,566 $ - Resources (Inflows):

Taxes and assessments 55,230 55,230 97,310 42,080
Use of money and property 1,500 1,500 7,191 5,691
Amounts Available for Appropriations 207,296 207,296 255,067 47,771 Charges to Appropriation (Outflows):

Public safety 148,000 148,000 148,000 -
Total Charges to Appropriations 148,000 148,000 148,000 - Budgetary Fund Balance, June 30 $ 59,296 $ 59,296 $ 255,067 $ 195,771 111
147

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

SIGNAL IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 161,205 $ 161,205 $ 161,205 $ - Resources (Inflows):

Charges for services 98,500 98,500 173,604 75,104
Use of money and property 800 800 408 (392)
Amounts Available for Appropriations 260,505 260,505 335,217 74,712 Charges to Appropriation (Outflows):

Public safety 5,000 5,000 - 5,000
Capital outlay 107,000 107,000 128,073 (21,073)
Total Charges to Appropriations 112,000 112,000 128,073 (16,073) Budgetary Fund Balance, June 30 $ 148,505 $ 148,505 $ 207,144 $ 58,639 112
148

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

FLOOD CONTROL IMPACT FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 2,091 $ 2,091 $ 2,091 $ - Amounts Available for Appropriations 2,091 2,091 2,091 - Charges to Appropriation (Outflows):

Public safety 2,043 2,043 - 2,043
Total Charges to Appropriations 2,043 2,043 - 2,043
Budgetary Fund Balance, June 30 $ 48 $ 48 $ 2,091 $ 2,043 113
149

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE

STORM DRAIN CONNECTION FEES
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ 38,559 $ 38,559 $ 38,559 $ - Resources (Inflows):

Use of money and property 1,000 1,000 7,407 6,407
Other revenue 125,832 125,832 221,704 95,872
Amounts Available for Appropriations 165,391 165,391 267,670 102,279 Charges to Appropriation (Outflows):

Transfers out 131,000 131,000 - 131,000
Total Charges to Appropriations 131,000 131,000 131,000 - Budgetary Fund Balance, June 30 $ 34,391 $ 34,391 $ 267,670 $ 233,279 114
150

CITY OF LIVE OAK

BUDGETARY COMPARISON SCHEDULE
13 CDBG-8933 SKATE PARK
YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 $ (430,713) $ (430,713) $ (430,713) $ - Resources (Inflows):

Intergovernmental 4,800,000 4,800,000 (4,800,000) -
Transfers in 550,000 550,000 (550,000) -
Amounts Available for Appropriations 4,919,287 4,919,287 (430,713) (5,350,000) Charges to Appropriation (Outflows):

Community development 5,350,000 5,350,000 - 5,350,000
Total Charges to Appropriations 5,350,000 5,350,000 5,350,000 - Budgetary Fund Balance, June 30 $ (430,713) $ (430,713) $ (430,713) $ - 115
151

CITY OF LIVE OAK

COMBINING STATEMENT OF NET POSITION

NON-MAJOR PROPRIETARY FUNDS
JUNE 30, 2021
Totals
Assets:

Current:

Cash and investments $ 974,222 $ 780,119 $ 1,754,341
Receivables:

Accrued interest 443 351 794
Total Current Assets 974,665 780,470 1,755,135
Noncurrent:

Capital assets not being depreciated 449,000 - 449,000
Total Noncurrent Assets 449,000 - 449,000
Total Assets 1,423,665 780,470 2,204,135
Liabilities:

Current:

Accounts payable 449,000 - 449,000
Total Current Liabilities 449,000 - 449,000
Total Liabilities 449,000 - 449,000
Net Position:

Investment in capital assets - 449,000 449,000
Restricted for capital projects 525,665 780,470 1,306,135 Total Net Position $ 974,665 $ 780,470 $ 1,755,135
Business-Type Activities - Enterprise Funds
Water
Connection
Sewer
Connection
116
152

CITY OF LIVE OAK

COMBINING STATEMENT OF REVENUES, EXPENSES

AND CHANGES IN FUND NET POSITION

NON-MAJOR PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Totals
Operating Revenues:

Sales and service charges $ 428,682 $ 508,232 $ 936,914 Total Operating Revenues 428,682 508,232 936,914
Operating Income 428,682 508,232 936,914
Nonoperating Revenues:

Interest revenue 1,180 1,126 2,306
Total Nonoperating
Revenues 1,126 1,180 2,306
Changes in Net Position 429,808 509,412 939,220
Net Position:

Beginning of Fiscal Year 544,857 271,058 815,915
End of Fiscal Year $ 974,665 $ 780,470 $ 1,755,135
Business-Type Activities - Enterprise Funds
Water
Connection
Sewer
Connection
117
153

CITY OF LIVE OAK

COMBINING STATEMENT OF CASH FLOWS

NON-MAJOR PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2021
Totals
Cash Flows from Operating Activities:

Cash received from customers and users $ 508,232 428,682 $ $ 936,914 Net Cash Provided by Operating Activities 428,682 508,232 936,914 Cash Flows from Investing Activities:

Interest received 1,406 1,865 3,271
Net Cash Provided by
Investing Activities 1,865 1,406 3,271
Net Increase in Cash and
Cash Equivalents 430,547 509,638 940,185
Cash and Cash Equivalents at Beginning of Year 543,675 270,481 814,156 Cash and Cash Equivalents at End of Year $ 974,222 $ 780,119 $ 1,754,341 Reconciliation of Operating Income to Net Cash
Provided by Operating Activities:

Operating income $ 508,232 428,682 $ $ 936,914
Net Cash Provided by
Operating Activities $ 428,682 $ 508,232 $ 936,914
Non-Cash Investing, Capital, and Financing Activities:

CIP items included in accounts payable $ 449,000 $ - $ - Business-Type Activities - Enterprise Funds
Water
Connection
Sewer
Connection
118
154
&,7<2)/,9(2$.
67$7,67,&$/6(&7,21
7KLVSDUWRIWKH&LW\¶VFRPSUHKHQVLYHDQQXDOILQDQFLDOUHSRUWSUHVHQWVGHWDLOHGLQIRUPDWLRQDVDFRQWH[WIRU XQGHUVWDQGLQJ ZKDW WKH LQIRUPDWLRQ LQ WKH ILQDQFLDO VWDWHPHQWV QRWH GLVFORVXUHV DQG UHTXLUHG VXSSOHPHQWDU\LQIRUPDWLRQVD\VDERXWWKH&LW\¶VRYHUDOOILQDQFLDOKHDOWK )LQDQFLDO7UHQGV
7KHVH VFKHGXOHV FRQWDLQ WUHQG LQIRUPDWLRQ WR KHOS WKH UHDGHU XQGHUVWDQG KRZ WKH &LW\¶V ILQDQFLDO SHUIRUPDQFHDQGZHOOEHLQJKDYHFKDQJHGRYHUWLPH
5HYHQXH&DSDFLW\
7KHVHVFKHGXOHVFRQWDLQLQIRUPDWLRQWRKHOSWKHUHDGHUDVVHVVWKH&LW\¶VPRVWVLJQLILFDQWORFDOUHYHQXH VRXUFHSURSHUW\WD[HV
'HEW&DSDFLW\
7KHVHVFKHGXOHVSUHVHQWLQIRUPDWLRQWRKHOSWKHUHDGHUDVVHVVWKHDIIRUGDELOLW\RIWKH&LW\¶VFXUUHQWOHYHOV RIRXWVWDQGLQJGHEWDQGWKH&LW\¶VDELOLW\WRLVVXHDGGLWLRQDOGHEWLQWKHIXWXUH 'HPRJUDSKLFDQG(FRQRPLF,QIRUPDWLRQ
7KHVH VFKHGXOHV RIIHU GHPRJUDSKLF DQG HFRQRPLF LQGLFDWRUV WR KHOS WKH UHDGHU XQGHUVWDQG WKH HQYLURQPHQWZLWKLQZKLFKWKH&LW\¶VILQDQFLDODFWLYLWLHVWDNHSODFHDQGWRKHOSPDNHFRPSDULVRQVRYHUWLPH DQGZLWKRWKHUJRYHUQPHQWV
2SHUDWLQJ,QIRUPDWLRQ
7KHVH VFKHGXOHV FRQWDLQ VHUYLFH DQG LQIUDVWUXFWXUHGDWDWR KHOSWKH UHDGHU XQGHUVWDQG KRZWKH&LW\¶V ILQDQFLDOLQIRUPDWLRQUHODWHVWRWKHVHUYLFHVWKH&LW\SURYLGHVDQGWKHDFWLYLWLHVLWSHUIRUPV 119
155

THIS PAGE INTENTIONALLY LEFT BLANK
120
156
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 Govermental Activites
Net investment in capital assets 26,710,539 $ 24,859,451 $ 25,177,065 $ 26,423,155 $ 27,103,387 $ 28,265,740 $ 28,377,393 $ 28,831,714 $ 28,129,068 $ 29,188,335 $ Restricted 10,859,158 10,932,658 10,503,214 12,167,030 4,272,612 3,345,863 3,980,298 3,708,676 3,885,096 3,691,906Unrestricted 4,757,333 4,487,549 4,737,305 4,485,329 4,280,849 5,445,053 6,722,869 17,008,977 20,932,421 19,566,055 Total governmental activities net position 42,327,030 $ 40,279,658 $ 40,417,584 $ 43,075,514 $ 35,656,848 $ 37,056,656 $ 39,080,560 $ 49,549,367 $ 52,946,585 $ 52,446,296 $ Business-type Activities
Net investment in capital assets 24,238,464 $ 32,253,055 $ 31,055,100 $ 29,831,525 $ 28,599,846 $ 28,727,091 $ 28,647,690 $ 28,082,900 $ 28,405,269 $ 29,355,009 $ Restricted 2,208,655 2,189,552 2,107,725 2,228,397 2,401,678 1,343,421 341,832 540,108 815,915 1,306,135Unrestricted 1,211,917 2,441,509 2,837,663 2,263,256 2,554,799 3,760,366 3,110,022 3,238,836 3,433,811 2,828,996 Total business-type activities net position 27,659,036 $ 36,884,116 $ 36,000,488 $ 34,323,178 $ 33,556,323 $ 33,830,878 $ 32,099,544 $ 31,861,844 $ 32,654,995 $ 33,490,140 $ Primary Government
Net investment in capital assets 50,949,003 $ 57,112,506 $ 56,232,165 $ 56,254,680 $ 55,703,233 $ 56,992,831 $ 57,025,083 $ 56,914,614 $ 56,534,337 $ 58,543,344 $ Restricted 13,067,813 13,122,210 12,610,939 14,395,427 6,674,290 4,689,284 4,322,130 4,248,784 4,701,011 4,998,041Unrestricted 5,969,250 6,929,058 7,574,968 6,748,585 6,835,648 9,205,419 9,832,891 20,247,813 24,366,232 22,395,051 Total primary government net position 69,986,066 $ 77,163,774 $ 76,418,072 $ 77,398,692 $ 69,213,171 $ 70,887,534 $ 71,180,104 $ 81,411,211 $ 85,601,580 $ 85,936,436 $ Source: ACFR
(full accrual basis of accounting)
Last Ten Fiscal Years
Net Position by Component

CITY OF LIVE OAK
121
157
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 ExpensesGovermental Activities:

General government 384,156 $ 412,935 $ 399,590 $ 543,796 $ 519,223 $ 699,781 $ 990,032 $ 990,360 $ 893,380 $ 774,096 $ Public safety 1,727,176 1,692,570 1,744,005 1,635,797 2,235,826 2,033,209 1,984,144 2,006,236 2,313,013 2,328,780Public ways and facilities 844,453 775,399 1,178,326 1,418,607 1,196,682 2,031,089 1,579,362 966,937 1,053,622 1,827,022Culture and recreation 515,775 503,341 496,495 544,100 609,869 833,110 926,952 1,071,086 1,197,655 1,187,739Community development 606,085 589,673 517,636 620,114 2,474,188 2,060,694 1,828,608 429,642 4,815,355 537,626Interest on long-term debt 4,908 4,160 3,348 3,748 2,584 520 5,952 25,222 21,932 16,884 Total Govermental Activities Expenese 4,082,553 3,978,078 4,339,400 4,766,162 7,038,372 7,658,403 7,315,050 5,489,483 10,294,957 6,672,147 Busines-type Activities:

Water 1,267,180 1,342,609 1,381,185 1,404,692 1,275,640 1,306,471 1,300,029 1,335,960 1,313,223 1,596,824Sewer 1,614,859 2,694,727 2,544,455 2,633,340 2,704,970 2,724,674 2,898,819 2,925,050 2,855,811 3,038,425Total Business-type Activities Expenese 2,882,039 4,037,336 3,925,640 4,038,032 3,980,610 4,031,145 4,198,848 4,261,010 4,169,034 4,635,249 Total Primary Government Expenese 6,964,592 $ 8,015,414 $ 8,265,040 $ 8,804,194 $ 11,018,982 $ 11,689,548 $ 11,513,898 $ 9,750,493 $ 14,463,991 $ 11,307,396 $ Program RevenuesGovermental Activities:

Charges for services:

General government 435,738 $ 76,244 $ 70,805 $ 76,876 $ 83,748 $ 366,660 $ 492,972 $ 427,673 $ 296,639 $ 392,632 $ Public safety 384,574 388,263 378,725 408,070 398,570 4,057 2,728 4,230 6,582 4,781Public ways and facilities 410,929 344,981 343,482 426,434 973,516 233,355 1,781,220 39,870 199,616 439,942Culture and recreation 146,573 170,061 162,631 252,394 185,432 64,221 61,744 56,343 35,211 20,816Community development 147,962 151,284 178,503 144,641 320,667 1,055,642 2,005,122 115,139 - - Operating grants and contributions 4,358,608 1,385,431 1,004,975 1,977,712 2,793,371 1,857,982 277,728 1,146,628 9,988,595 1,399,265Capital grants and contributions 117,592 564,161 402,859 2,152,350 1,690,492 1,295,923 100,745 100,156 28,210 38,118 Total Govermental Activities Program Revenues 6,001,976 3,080,425 2,541,980 5,438,477 6,445,796 4,877,840 4,722,259 1,890,039 10,554,853 2,295,554 Busines-type Activities:

Charges for services:

Water 844,900 902,570 850,832 882,743 878,199 809,830 878,229 879,586 879,726 940,189Sewer 1,863,695 2,181,809 2,179,286 2,241,249 2,291,083 2,243,244 2,265,104 2,289,788 2,328,299 2,378,415Water Connections 15,270 68,930 109,333 121,653 428,682Sewer Connections 9,053 - 89,628 144,228 508,232 Capital grants and contributions 84,247 10,161,065 - - 23,000 1,027,513 864,919 - - - Total Business-type Activities Program Revenues 2,792,842 13,245,444 3,030,118 3,123,992 3,192,282 4,104,910 4,077,182 3,368,335 3,473,906 4,255,518 Total Primary Government Program Revenues 8,794,818 $ 16,325,869 $ 5,572,098 $ 8,562,469 $ 9,638,078 $ 8,982,750 $ 8,799,441 $ 5,258,374 $ 14,028,759 $ 6,551,072 $ Source: ACFR
Last Ten Fiscal Years
(full accrual basis of accounting)
Changes in Net Position

CITY OF LIVE OAK
122
158
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 Net (Expense)/Revenues (1)
Govermental Activities 1,919,423 $ (897,653) $ (1,797,420) $ 672,315 $ (592,576) $ (2,780,563) $ (2,592,791) $ (3,599,444) $ 259,896 $ (4,376,593) $ Busines-type activities (89,197) 9,208,108 (895,522) (914,040) (788,328) 73,765 (121,666) (892,675) (695,128) (379,731) Total Primary Govermental Net Expense 1,830,226 $ 8,310,455 $ (2,692,942) $ (241,725) $ (1,380,904) $ (2,706,798) $ (2,714,457) $ (4,492,119) $ (435,232) $ (4,756,324) $ General Revenues and Other Changes in Net PositionGovermental Activities:

Taxes:

Property taxes 1,250,494 $ 1,239,301 $ 1,241,319 $ 1,382,229 $ 1,383,175 $ 1,476,356 $ 1,470,113 $ 1,867,354 $ 1,760,699 $ 1,878,102 $ Sales and use taxes 222,448 262,905 294,102 263,086 297,481 325,380 358,667 427,506 399,002 371,363Franchise taxes 135,517 136,868 139,766 155,071 166,356 - - 232,801 231,699 245,828Property taxes 11,301 9,114 12,837 8,290 11,536 - - - - -Other taxes - - - - - 716,398 750,153 1,058,557 1,269,351 1,619,334 Motor vehicle in lieu - unrestricted - - - - - - - 328,139 337,283 429,421Use of money and property - - - - - 87,766 120,425 42,769 317,698 84,839Grants and contributions - unrestricted 6,840 4,792 4,145 80,806 34,609 - - - - -Interest and investment earnings 79,828 75,530 73,827 79,218 113,073 - - - - -Miscellaneous 92,395 120,453 169,350 64,888 217,676 - - - - -Other - - - - - 541,664 322,717 265,241 238,755 458,167Transfers 103,898 (378,280) - - - 25,000 1,556,000 (577,087) (1,417,165) (1,210,750)Special Item - - - 447,830 - - - - - -Extraordinary gain 378,280 - - - - - - - - - Total Governmental Activities 2,281,001 1,470,683 1,935,346 2,481,418 2,223,906 3,172,564 4,578,075 3,645,280 3,137,322 3,876,304 Busines-type Activities:

Use of money and property - - - - - 28,460 50,063 77,888 71,114 -Interest and investment earnings 13,411 10,974 10,221 13,448 21,309 - - - - -Miscellaneous 477 5,998 1,673 1,934 164 - - - - -Other - - - - - 667 - - - 4,126Transfers (103,898) - - - - (25,000) (1,556,000) 577,087 1,417,165 1,210,750 Total Busines-Type Activities (90,010) 16,972 11,894 15,382 21,473 4,127 (1,505,937) 654,975 1,488,279 1,214,876 Total Primary Government 2,190,991 $ 1,487,655 $ 1,947,240 $ 2,496,800 $ 2,245,379 $ 3,176,691 $ 3,072,138 $ 4,300,255 $ 4,625,601 $ 5,091,180 $ Change in Net Position
Govermental Activities 4,200,424 $ 573,030 $ 137,926 $ 3,153,733 $ 1,631,330 $ 392,001 $ 1,985,284 $ 45,836 $ 3,397,218 $ (500,289) $ Busines-type activities (179,207) 9,225,080 (883,628) (898,658) (766,855) 77,892 (1,627,603) (237,700) 793,151 835,145 Total Primary Government 4,021,217 $ 9,798,110 $ (745,702) $ 2,255,075 $ 864,475 $ 469,893 $ 357,681 $ (191,864) $ 4,190,369 $ 334,856 $ Source: ACFR

CITY OF LIVE OAK
Note: (1) Net expense is the difference between the expenses and program revenues of a function or program. It indicates the degree to which a function or program supports itself with its own fees and grants versus its reliance upon funding from taxes and general revenues. Numbers in parentheses are net expenses, indicating that expenses were greater than program revenues and therefore general revenues were needed to finance that function or program.

Last Ten Fiscal Years
(full accrual basis of accounting)
Changes in Net Position
123
159
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 General Fund
Nonspendable - $ - $ - $ 451,274 $ 8,115 $ 10,661 $ 11,357 $ 15,268 $ 10,659 $ 29,319 $ Committed 2,487,180 2,510,279 2,514,883 2,519,197 2,525,652 2,534,045 2,548,739 2,548,739 2,607,392 2,605,435Unassigned 1,918,069 1,985,378 2,037,092 2,227,090 2,230,647 2,075,899 2,427,584 2,106,314 1,844,354 1,559,999 Total General Fund 4,405,249 $ 4,495,657 $ 4,551,975 $ 5,197,561 $ 4,764,414 $ 4,620,605 $ 4,987,680 $ 4,670,321 $ 4,462,405 $ 4,194,753 $ All Other Governmental Funds
Nonspendable - $ - $ - $ 484 $ 330 $ 4,712 $ 3,983 $ 4,559 $ 15,402 $ 7,094 $ Restricted 10,859,158 10,923,658 10,503,214 11,975,628 4,272,282 3,345,863 3,874,348 3,708,676 3,741,774 3,691,906Unassigned (4,439) (346,316) (49,787) (411,087) (1,270,688) (1,840,637) (538,556) (485,594) (716,124) (2,325,939) Total All Other Governmental Funds 10,854,719 $ 10,577,342 $ 10,453,427 $ 11,565,025 $ 3,001,924 $ 1,509,938 $ 3,339,775 $ 3,227,641 $ 3,041,052 $ 1,373,061 $ Source: ACFRNote: The City implemented GASB 54 for fiscal year June 30, 2011 under which fund balances are reported as nonspendable, restricted, committed, assigned and unassigned as compared to reserved and unreserved. (modified accrual basis of accounting)
Last Ten Fiscal Years
Fund Balance - Govermental Funds

CITY OF LIVE OAK
124
160
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 Revenues
Taxes and assessment 2,485,312 $ 2,863,851 $ 2,220,317 $ 2,352,464 $ 2,411,650 $ 2,518,134 $ 2,578,933 $ 3,586,218 $ 3,660,751 $ 4,114,627 $ Licenses and permits 522,378 394,624 451,881 482,426 646,258 450,120 557,939 394,950 290,495 414,375Fines and forfeitures 9,870 6,721 6,867 3,594 6,935 4,057 2,728 4,230 5,140 4,781Use of money 76,999 78,359 73,827 79,218 113,073 87,766 120,425 259,955 238,755 84,839Intergovernemtal 4,217,447 1,141,556 1,575,066 4,115,325 3,853,365 3,443,320 4,248,576 1,119,755 951,050 922,241Charges for services 60,727 133,467 80,882 258,513 558,685 103,286 115,920 96,709 173,919 215,656Other revenues 92,395 120,453 169,350 64,888 217,676 558,732 324,639 310,832 5,085,002 1,141,554 Total Revenues 7,465,128 4,739,031 4,578,190 7,356,428 7,807,642 7,165,415 7,949,160 5,772,649 10,405,112 6,898,073 Expenditures
Current:

General government 327,197 367,720 347,258 514,871 488,652 688,906 857,597 906,681 791,833 765,267Public safety 1,641,963 1,602,027 1,670,167 1,585,506 2,148,112 1,914,124 1,867,994 1,883,345 2,141,889 2,183,544Public ways and facilities 372,854 275,526 678,801 923,626 735,070 1,472,836 997,626 972,143 918,792 1,601,353Culture and recreation 409,879 397,262 386,469 432,264 501,979 725,565 789,094 763,960 868,515 893,998Community development 606,085 589,673 517,636 627,037 2,482,059 2,041,715 1,956,524 434,675 5,688,770 1,168,779 Debt service
Principal 11,000 12,000 13,000 66,342 67,461 68,581 54,146 123,414 125,933 128,540Interest 4,908 4,160 3,348 3,748 2,584 520 5,952 25,222 21,932 16,884 Capital outlay 1,119,830 1,167,335 1,038,108 2,422,505 1,866,084 1,909,114 1,329,178 1,092,702 338,033 1,979,271 Total Expenditures 4,493,716 4,415,703 4,654,787 6,575,899 8,292,001 8,821,361 7,858,111 6,202,142 10,895,697 8,737,636Excess of Revenues Over (under) Expenditures 2,971,412 323,328 (76,597) 780,529 (484,359) (1,655,946) 91,049 (429,493) (490,585) (1,839,563) Other Financial Sources (Uses)
Issuance of debt - - - 528,825 - - - - - -Transfers in 4,664,414 1,123,115 993,112 5,033,468 615,014 1,470,949 2,491,184 442,810 74,435 100,955Transfers out (4,560,516) (1,501,395) (993,112) (5,033,468) (615,014) (1,445,949) (409,587) (442,810) (74,435) (100,955)Capital Leases - - - - - - 549,863 - - - Total Other Financial Sources (Uses) 103,898 (378,280) - 528,825 - 25,000 2,631,460 - - - Special Item - Reinstatement of loan receivable - - - 447,830 - (4,849) - - - -Extraordinary gain 378,280 - - - - - - - - - Net Change in Fund Balances 3,453,590 $ (54,952) $ (76,597) $ 1,757,184 $ (484,359) $ (1,635,795) $ 2,722,509 $ (429,493) $ (490,585) $ (1,839,563) $ Debt Service as a Percentage of
Noncapital Expenditures 0.47% 0.50% 0.45% 1.72% 1.10% 1.01% 0.93% 3.00% 1.42% 2.20% Source:ACFR
(modified accrual basis of accounting)
Last Ten Fiscal Years
Changes in Fund Balances - Govermental Funds

CITY OF LIVE OAK
125
161
Taxable
SBE Assessed % Direct
Fiscal Year Secured Unsecured Nonunitary Value Change Rate 2011/2012 $ 274,962,151 $ 5,101,648 66,680 $ 280,130,479 -4.50% 1.000% 2012/2013 272,426,872 5,096,684 2,004 277,525,560 -0.93% 1.000% 2013/2014 279,374,003 4,610,118 2,004 283,986,125 2.33% 1.000% 2014/2015 315,429,043 5,473,874 2,004 320,904,921 13.00% 1.000% 2015/2016 330,917,725 5,238,525 2,004 336,158,254 4.75% 1.000% 2016/2017 352,823,047 4,561,387 2,439 357,386,873 6.32% 1.000% 2017/2018 370,589,936 4,492,172 2,439 375,084,547 4.95% 1.000% 2018/2019 438,648,423 5,852,538 2,439 393,440,920 4.89% 1.140% 2019/2020 458,721,383 6,373,661 2,614 423,760,729 7.71% 1.140% 2020/2021 456,030,930 15,048,625 2,614 471,079,555 11.17% 1.150% In 1978, the voters of the State of California passed Proposition 13 which limited property taxes to a maximum rate of 1% based upon the assessed value of the property being taxed. Each year, the assessed value of property tax may be increased by an "inflation factor" (limited to a maximum increase of 2%). With few exceptions, property is only reassessed 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 the taxable property and is subject to the limitations described above.

Source: Assessor's Office, County of Sutter
HDL Coren & Cone
Last Ten Fiscal Years
Assessed Value and Estimated Actual Value of Taxable Property

CITY OF LIVE OAK
126
162
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 City of Live Oak General purpose 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000

1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 Live Oak Unified School District 0.076 0.081 0.082 0.074 0.073 0.065 0.372 0.114 0.372 0.117Yuba Community College District 0.025 0.025 0.027 0.025 0.025 0.026 0.073 0.030 0.073 0.031

1.101 1.106 1.110 1.099 1.098 1.091 1.445 1.144 1.445 1.148 Notes: (1) The above tax rates are applied per $100 of assessed valuation.(2) In 1978, California voters passed Proposition 13 which sets the property tax rate at a 1.00% fixed amount. This 1.00% is shared by all taxing agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of assessed property values for the payment of school district bonds. Source: Assessor's Office, County of Sutter HDL Coren & ConeProperty Tax Dollar Breakdown
Last Ten Fiscal Years
Property Tax Rates - All Overlapping Governments

CITY OF LIVE OAK
Fiscal Year
127
163

CITY OF LIVE OAK
Principal Property Tax Payers
Current Year and Ten Years Ago
Fiscal Year 2020/2021
Percent of
Total City
Taxable Taxable
Assessed Assessed
Taxpayer Value Value
COE Orchard Equipment Inc $ 11,619,869 2.47%
Corrections Corporation of America 7,564,528 1.61%
Millenium Farms LLC 4,579,004 0.97%
9000 Larkin Road LLC 4,481,332 0.95%
D and K Estates LLC 3,610,253 0.77%
Rilco-Edwards LLC 3,362,671 0.71%
Sunsweet Dryers Et Al 2,774,252 0.59%
H and S Energy LLC 2,705,697 0.57%
Jaswant S Saprai 2,655,789 0.56%
Live Oak Apartments 2,463,372 0.52%
$ 45,816,767 9.73%
Total City of Live Oak assessed property valuation Fiscal Year 2020/21 $ 471,079,555 Fiscal Year 2011/2012
Percent of
Total City
Taxable Taxable
Assessed Assessed
Taxpayer Value Value
CCA Properties of America $ 6,447,071 2.30%
Tower Energy Group Corporation 3,428,889 1.22%
Auburn Manor Holding Corporation 3,392,115 1.21%
Sunsweet Dryers 2,502,236 0.89%
KB Homes Sacramento 2,107,000 0.75%
Jaswant S. Saprai 2,054,567 0.73%
L and R Gas and Food Inc 1,857,477 0.66%
Melton Family Trust 1,468,553 0.52%
RBC Real Estate Finance Inc 1,440,099 0.51%
Millennium Farms LLC 1,303,354 0.47%
$ 26,001,361 9.28%
Total City of Live Oak assessed property valuation Fiscal Year 2011/12 280,130,479 $ Source: Assessor's Office, County of Sutter
HDL Coren & Cone
Top Ten Property Tax Payers
128
164

CITY OF LIVE OAK
Property Tax Levies and Collections
Last Ten Fiscal Years
Collections within the
Fiscal Year of the Levy Total Collections to Date
Taxes Levied Collections
for the Percent in Subsequent Percent
Fiscal Year Fiscal Year Amount of Levy Years Amount of Levy 2011/2012 $ 412,894 412,894 $ 100.00% - $ $ 412,894 100.00% 2012/2013 459,780 459,780 100.00% - 459,780 100.00%
2013/2014 446,754 446,754 100.00% - 446,754 100.00%
2014/2015 519,978 519,978 100.00% - 519,978 100.00%
2015/2016 526,346 526,346 100.00% - 526,346 100.00%
2016/2017 592,035 592,035 100.00% - 100.00% 592,035
2017/2018 616,549 616,549 100.00% 6,672 100.00% 623,221 2018/2019 649,914 649,914 100.00% 8,119 100.00% 658,033 2019/2020 668,907 668,907 100.00% 8,278 100.00% 668,907 2020/2021 703,105 703,105 100.00% 8,093 100.00% 703,105 Source: Auditor-Controller's Office, County of Sutter
Finance Department, City of Live Oak (GL).

Notes:

Auditor-Controller's Office, County of Sutter for Billed and Unpaid tax for Collection in Subsequent Yrs Taxes Levied for the FY is 100% of the Secured Property Taxes which can be found on the GL 10-4-0000-4101 129
165
Business-Type Activities
Certificates Total Percentage Percentage
Capital of Capital Primary of Person of Assessed Per
Fiscal Year Loans Leases Total Loans Bonds Participation Leases Total Government Income (1) Value (2) Capita (1) 2011/2012 70,000 $ - $ 70,000 $ 15,201,959 $ 82,000 $ 2,310,000 $ - $ 17,593,959 $ 17,663,959 $ 13.03% 6.31% 2,1422012/2013 58,000 - 58,000 5,874,728 55,000 2,250,000 309,641 8,489,369 8,547,369 5.81% 3.08% 1,0252013/2014 45,000 - 45,000 5,689,373 27,000 2,190,000 245,690 8,152,063 8,197,063 5.30% 2.89% 9692014/2015 507,483 - 507,483 5,512,294 - 2,130,000 180,453 7,822,747 8,330,230 5.71% 2.60% 9812015/2016 440,022 - 440,022 5,333,446 - 2,060,000 113,903 7,507,349 7,947,371 5.33% 2.36% 9352016/2017 371,441 - 371,441 5,152,808 - 1,990,000 46,015 7,188,823 7,560,264 5.04% 2.12% 8592017/2018 317,295 549,863 867,158 4,970,364 - 1,920,000 - 6,890,364 7,757,522 4.51% 2.07% 8832018/2019 264,413 479,331 743,744 4,786,095 - 1,850,000 - 6,636,095 7,379,839 4.70% 1.88% 8412019/2020 211,530 406,281 617,811 4,599,983 - 1,780,000 - 6,379,983 6,997,794 4.39% 1.65% 7852020/2021 158,648 330,623 489,271 4,412,011 - 1,710,000 - 6,122,011 6,611,282 4.06% 1.40% 711 (1) See Demographic and Economic Statistic schedule for personal income and population data. (2) See Assessed Value and Estimated Actual Value of Taxable Property schedule for property value data. n/a - information is not available Source: City of Live Oak Annual Financial Reports
Finance Department, City of Live Oak (Long Term Debt Schedule) Governmental Activities
Last Ten Fiscal Years
Ratios of Outstanding Debt by Type

CITY OF LIVE OAK
130
166

CITY OF LIVE OAK
Ratios of General Bonded Debt Outstanding
Last Ten Fiscal Years
General Bonded
Debt Outstanding
General Pension Percent of
Obligation Obligation Assessed Per
Fiscal Year Bonds Bonds Total Value Population Capita
2011/2012 $ 70,000 $ 70,000 - $ 0.02% 8,247 8
2012/2013 58,000 58,000 - 0.02% 8,341 7
2013/2014 45,000 45,000 - 0.02% 8,461 5
2014/2015 507,483 - 507,483 0.16% 8,488 60
2015/2016 440,022 - 440,022 0.13% 8,500 52
2016/2017 371,441 - 371,441 0.10% 8,800 42
2017/2018 317,295 - 317,295 0.08% 8,781 36
2018/2019 264,413 - 264,413 0.07% 8,771 30
2019/2020 211,530 - 211,530 0.05% 8,912 24
2020/2021 158,648 - 158,648 0.03% 9,300 17
Source: Assessor's Office, County of Sutter
Finance Department, City of Live Oak
Hdl Coren & Cone
131
167
City Assessed Valuation $ 471,197,629
Adjusted Assessed Valuation $ 471,197,629

Estimated
Outstanding Share of
Percent Debt Overlapping
Applicable June 30, 2021 Debt
OVERLAPPING TAX AND ASSESSMENT DEBT:

Live Oak Unified School District 47.469% 21,820,000 $ $ 10,357,736 Yuba Commuinty College District 1.337% 189,051,106 2,527,613 Sutter Butte Flood Control Agency Assessment District 4.549% 3,725,631 81,900,000

Total Overlapping Tax and Assessment Debt 16,610,980 292,771,106 OVERLAPPING GENERAL FUND OBLIGATION DEBT:

Sutter County Board of Education Certificates of Participations 4.433% $ 209,459 4,725,000 Yuba Joint Community College General Fund Obligations 1.337% 189,325 14,160,462 Live Oak Unified School District Certificates of Participation 47.469% 1,705,870 3,593,651 Total Overlapping General Fund Obligation Debt 2,104,654 22,479,113 Total Overlapping Debt 18,715,634 315,250,219
Total Combined Debt $ 315,250,219 $ 18,715,634
RATIOS TO 2020/2021 ASSESSED VALUATION:

Total Overlapping Tax and Assessment Debt 3.97%
RATIOS TO ADJUSTED ASSESSED VALUATION:

Total Overlapping Tax and Assessment Debt 3.972%
Combined Direct Debt ($0,000,000) 0.000%
Combined Total Debt 3.972%
Note: Overlapping governments are those that coincide, at least in part, within the geographic boundaries of the City of Live Oak. This schedule estimates the portion of outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. This process recognizes that, when considering the City's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account.

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.Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations.

Source: Auditor-Controller's Office, County of Sutter
Yuba Community College
Live Oak Unified School District
Sutter-Butte Flood Control Agency
Finance Department, City of Live Oak
As of June 30, 2021
Direct and Overlapping Bonded Debt

CITY OF LIVE OAK
132
168

CITY OF LIVE OAK
Computation of Legal Bonded Debt Margin
June 30, 2021
Secured Property Assessed Value, Net of Exempt Real Property $ 423,760,729 Bonded debt limit (3.75% of assessed value) (a) $ 15,891,027 Less debt subject to limit:

Total water certificates of participation at 06/30/21 (960,000) Total sewer certificates of participation at 06/30/21 (750,000) Legal debt margin $ 14,181,027
(a) California Government Code Section 43605 sets the debt limit at 15%. The Code section was enacted prior to the change in basing assessed value at full market value when it was previously 25% of market value. Thus, the limit shown as 3.75% is one-fourth the limit to account for the adjustment of showing assessed valuation at full cash value.

Source: Assessor's Office, County of Sutter
Finance Department, City of Live Oak
Hdl Coren & Cone
Notes:

Certificate of participation can be found in long term debt 133
169

CITY OF LIVE OAK
Demographic and Economic Statistics
Last Ten Fiscal Years
Per Capita
Personal Income Taxable Taxable Average
Calendar Total Assessed Property Unemployment
Year Population (in thousands) Per Capita Valuation Values Rate 2012 8,247 $ 135,517 $ 16,432 $ 280,130,479 $ 33,968 31.3% 2013 8,341 147,192 17,647 277,525,560 33,272 25.9%
2014 8,461 154,611 18,273 283,986,125 33,564 24.5%
2015 8,488 145,773 17,174 320,904,921 37,807 14.3%
2016 8,500 149,192 17,552 336,158,254 39,548 6.9%
2017 8,800 149,859 17,029 357,386,873 40,612 8.00%
2018 8,781 171,819 19,567 375,084,547 42,715 7.60%
2019 8,771 156,957 17,895 393,440,920 44,857 4.30%
2020 8,912 159,545 17,902 423,760,729 47,549 4.30%
2021 9,300 162,773 17,503 471,079,555 50,656 9.30%
Note: Data pertaining to personal income is not readily available, thus the City used taxable assessed values to calculate per capita taxable The California Department of Finance demographics estimates now incorporate 2010 Census counts as the benchmark.

1.) Population Projections are provided by the California Department of Finance Projections.

2.) Income Data is provided by the U.S. Census Bureau, 2010 American Community Survey.

3.) Unemployment Data is provided by the EDD's Bureau of Labor Statistics Department.

Source:

Avenu Insights & Analytics
2016-17 and prior, previously published CAFR Report
Munis Report
property values. Data pertaining to personal income for calendar year 2016, and 2017 is not readily avaible, thus the City provided an average using data from the last three years.
134
170

CITY OF LIVE OAK
Principal Employers
2021
2020-2021 Percent 2019-2020 Percent
Number of of Total Number of of Total
Employer Employees Employment Employees Employment
Live Oak Unified School District 252 6.46% 256 6.56%
Wilbur Packing CO Inc 146 3.74% 146 3.74%
River Valley Care Center 139 3.56% 152 3.90%
City of Live Oak 27 0.69% 30 0.77%
E-Center Head Start - Yuba-Sutter 35 0.90% 28 0.72%
Dollar General Market 18 0.46% 19 0.49%
Tower Supermarket 13 0.33% 14 0.36%
United States Post Office 12 0.31% 12 0.31%
Live Oak Pharmacy 6 0.15% 6 0.15%
Live Oak Medical Clinic 0.23% 9
Peach Tree Health (Formerly Live Oak Medical Clinic) 10 0.26% Total 658 16.87% 672 17.23%
Total City Employment (1) 3900
Note: Data pertaining to principal employers for ten years ago is not readily available.

Source: City of Live Oak
Avenu Insights & Analytics
(1) Employment Development Department, State of California Munis Report
135
171
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
City Council 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00City Manager 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00City Clerk's Office 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00Administration 1.00 1.00 1.00 1.00 1.00 - 1.00 1.00 - 1.00Finance/Administrative Services 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00Community Development 1.00 1.00 1.00 - - - - - - -Public Works 8.00 9.00 9.00 5.00 7.00 10.00 7.00 7.00 8.00 7.00Parks and Recreation 7.00 7.00 7.00 10.00 8.00 7.00 9.00 9.00 10.00 6.00Building 1.00 1.00 1.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00Total Full-Time Equivalent Employees 29.00 30.00 30.00 29.00 29.00 30.00 30.00 30.00 31.00 27.00 Source: Finance Department, City of Live Oak
Last Ten Fiscal Years
Full-Time and Part-Time City Government Employees

CITY OF CITY OF LIVE OAK
136
172
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 Business Licenses: Annual Business License 148 140 286 135 129 137 132 119 121 130 One Time License 18 18 11 10 7 6 8 9 5Environment and Utilities: Gallons of wastewater treated per year (in millions) 210 258 223 225 218 380 251 384 393 300Fire - Within City Limits Fires per year 26 41 47 22 21 19 16 87 95 21 Emergency medical calls per year 530 603 509 236 738 682 678 977 699 832 Hazardous materials incidents per year 6 12 5 4 7 14 16 5 25 18 Non-emergency service calls per year 137 136 192 275 78 275 271 85 92 224Fire - Outside City Limits Within County Fires per year - - - 47 42 36 19 45 86 56
Emergency medical calls per year - - - 154 155 156 181 105 188 287 Hazardous materials incidents per year - - - 4 12 9 8 1 10 18 Non-emergency service calls per year - - - 99 112 104 113 65 32 192 Police 911 calls per year 1,485 845 1,401 1,432 1,965 1,998 1862 1491 1632 1809 Cases investigated per year 709 826 930 563 616 696 744 1153 1074 752 Arrests per year 193 186 202 92 123 121 124 213 192 224Building Permits Building permits issued per year 155 110 147 200 279 241 210 313 279 276 New building and alteration valuation 7,621,784 $ 1,892,973 $ 2,188,866 $ 6,525,489 $ 9,442,021 $ 9,442,021 $ 9,060,757 $ 23,059,905 $ 14,842,766 $ 21,625,800 $ Note: According to Sutter County Sheriff staff, 911 calls information purged for years prior to FY 2007/2008.Source: City of Live Oak, Finance/Building Dept's Sutter County Sheriff Sutter County Fire

CITY OF LIVE OAK
Operating Indicators
Last Ten Fiscal Years
137
173
2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 2017/2018 2018/2019 2019/2020 2020/2021 Enviroment and Utilities Miles of municipal sewer mains 24.9 24.9 24.9 24.9 25.6 25.6 25.6 25.6 25.6 25.6 Maximum daily capacity (gallons per day) 1,400,000 1,400,000 1,400,000 1,400,000 1,400,000 1,400,000 1,400,000 1,400,000 1,400,000 1,400,000 Miles of water mains 30.4 30.4 30.4 30.4 31.5 31.5 31.5 31.5 31.5 31.5 Water wells 4 4 4 4 4 4 5 5 6 6 Water storage tanks 1 1 1 1 1 1 1 1 1 1Fire Full-time staffed positions 4 4 4 4 4 6 6 6 6 6 Volunteer stations 1 1 1 1 1 1 1 1 3 3Police Stations 1 1 1 1 1 1 1 1 1 1 Vehicles and motorcycles 10 10 10 10 10 10 10 10 10 12 Community Development Miles of municipal roadways 26.84 28.44 28.44 28.44 29.50 29.50 29.50 29.50 29.50 29.50 Park sites 8 8 8 8 8 8 8 8 8 8 Oak Tree
Memorial
Ball Fields
Skate Park
Date St Park
Pennington Ranch
Rec Trail
Soccer Park
Source: City of Live Oak Public Works
Sutter County Fire Dept Sutter County Sheriff Dept

CITY OF LIVE OAK
Capital Asset Statistics
Last Ten Fiscal Years
138
174

CITY OF LIVE OAK
Sales Value History
Last Ten Years
Full Median
Calendar Value Average Median %
Year Sales Price Price Change
2012 123,261 117 $ 130,000 $ 8.33%
2013 133,709 91 138,000 6.15%
2014 155,175 100 159,000 15.22%
2015 181,232 97 190,000 19.50%
2016 186,047 96 196,000 3.16%
2017 211,315 89 213,000 8.67%
2018 86 220,087 223,250 4.81%
2019 83 241,880 245,000 9.74%
2020 94 276,314 283,000 1.84%
2021 81 348,543 350,000 1.84%
Source: Assessor's Office, County of Sutter
Finance Department, City of Live Oak
Hdl Coren & Cone
139
175

THIS PAGE INTENTIONALLY LEFT BLANK
140
176
City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Findings to Hold Virtual City Council, Commission, Committee, Board, and Other City Bodies Meetings Under AB 361
Contact Information: Nicole Rosser, City Attorney
Background: On March 17, 2020, Governor Gavin Newson issued Executive Order N-29- 20 suspending certain provisions of the Ralph M. Brown Act in order to allow for local legislative bodies to conduct their meetings completely telephonically or by other electronic means. As the City Council is well aware, this allowed City Council meetings to be conducted by Zoom with councilmembers and staff all joining from remote locations.

The suspension of certain provisions of the Brown Act was further extended by the Governor on June 11, 2021 by the issuance of Executive Order N-08- 21 which continued to allow for complete virtual City Council (and other legislative body) meetings until September 30, 2021.

On September 16, 2021, Governor Newsom signed AB 361 to amend the Brown Act to allow legislative bodies to meet via teleconference during a proclaimed state of emergency in accordance with procedures established by AB 361 rather than under the Brown Act's more narrow standard rules. AB 361 allows legislative bodies to meet virtually, provided there is a state of emergency, and either (1) state or local officials have imposed or recommended measures to promote social distancing; or (2) the legislative body determines by majority vote that meeting in person would present imminent risks to the health and safety of attendees.

AB 361 preserves many of the provisions of the earlier executive orders, while also adding new requirements to the management of remote and teleconference public meetings in order to better achieve the levels of transparency that the Brown Act demands. Specifically, AB 361 imposes two new rules on remote public meetings:

1. Local governments and agencies hosting teleconference meetings in lieu of traditional in-person public meetings must permit direct public comment during the teleconference, and must leave open the opportunity for public comment until the comment period for a given item is closed during the ordinary course of the meeting. The opportunity to make public comment must be of a sufficient duration so as to allow actual public participation.

2. Any action by the governing body during a public teleconference meeting 177
must occur while the agency is actively and successfully broadcasting to members of the public through a call-in option or an internet-based service option. If a technical disruption within the agency's control prevents members of the public from either viewing the meeting of the public agency, or prevents members of the public from offering public comment, the agency must cease all action on the meeting agency until the disruption ends and the broadcast is restored. Action taken during an agency-caused disruption may be challenged as a violation of the Brown Act.

The City has been implementing the above stated requirements for conducting public meetings and is in full compliance with AB 361, thus there will be no change of the currently established procedures. Teleconference accessibility via call-in option or an internet-based service option (via the Zoom Webinars platform) is listed on the published agenda for each meeting as well as on the City's website and the City provides access for public comment opportunities in real time.

In order to continue to qualify for AB 361's waiver of in-person meeting requirements, the Council must adopt a resolution making the findings required by AB 361. This Resolution will become a standing item on the City Council's agenda, it must be approved at every meeting until the proclaimed state of emergency is ended. The findings must include (a) state or local officials continue to recommend measures to promote social distancing, or that (b) an in-person meeting would constitute an imminent risk to the safety of attendees. The findings need not be in the form of a resolution, but a resolution is helpful in formalizing these findings.

The enclosed Resolution makes the required findings under AB 361, and if adopted, it will allow the City to continue to offer teleconference accessibility for public meetings, to help mitigate the spread of COVID-19, as well as during other state-proclaimed emergencies where physical attendance may present a risk.

Lastly, it is important to note that having virtual meetings under the provisions of AB 361 is optional. If the Council wishes, it may meet in person or in a hybrid format.

Fiscal Impacts: None.

Recommendation: Adopt resolution making findings and determinations under AB 361 for the continuation of virtual meetings and authorizing virtual City Council, Commission, Committee, Board, and other City meetings pursuant to AB 361.

Attachments:

Resolution
178
1 Resolution No.

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LIVE OAK MAKING FINDINGS AND DETERMINATIONS UNDER AB 361 FOR THE CONTINUATION OF VIRTUAL MEETINGS AND AUTHORIZING VIRTUAL CITY COUNCIL, COMMISSION, BOARD, AND OTHER CITY MEETINGS PURSUANT TO AB 361
The City Council of the City of Live Oak does herby find, order and resolve as follows:

WHEREAS, all meetings of the Live Oak City Council are open and public, as required by the Ralph M. Brown Act (Cal. Gov’t Code section 54950 et seq.), so that any member of the public may attend, participate and view the legislative bodies conduct their business; and
WHEREAS, the Brown Act, Government Code section 54953(e), makes provisions for remote teleconferencing participation in meetings by members of a legislative body, without compliance with the requirements of Government Code section 54953(b)(3), subject to the existence of certain conditions and requirements; and WHEREAS, Government Code section 54953(e) requirements include but are not limited to (1) the existence of a state of emergency declared by the Governor pursuant to Government Code section 8625 and (2) State or local officials have imposed or recommended measures to promote social distancing; and WHEREAS, on March 4, 2020, Governor Gavin Newson issued a Proclamation of State of Emergency in response to the COVID-19 pandemic and as of the date of this Resolution, the proclaimed state of emergency remains in effect; and WHEREAS, on March 17, 2020, Governor Gavin Newson issued Executive Order N-29-20, which suspended and modified the teleconferencing requirements under the Brown Act (California Government Code Section 54950 et seq.) to allow local legislative bodies to hold public meetings via teleconference; and WHEREAS, on June 11, 2021, Governor Gavin Newson issued Executive Order N-08021, which extended the provisions of N-29-20 concerning the conduct of public meetings through September 30, 2021, and the Governor subsequently signed legislation revising Brown Act requirements for teleconferenced public meetings (Assembly Bill 361, referred to hereinafter as “AB 361”); and
WHEREAS, to preserve public health and safety, the State Public Health Officer has issued various orders and guidance regarding COVID-19 prevention measures, which includes references and a statement of support for social distancing recommendations; and
WHEREAS, the California Department of Industrial Relations has issued COVID-19 Prevention regulations in Title 8 of the California Code of Regulations (Section 3205 et seq.); and WHEREAS, based on the foregoing, the City Council finds that (1) the Governor’s Proclaimed State of Emergency as a result of the COVID-19 pandemic is currently in effect and has not been terminated, and (2) State officials have imposed or recommended measures to promote social distancing; and WHEREAS, the City Council has considered the circumstances of the state of emergency, including all information relate to this matter, the associated staff report; and 179
WHEREAS, in light of the foregoing, the City Council desires to continue to have the flexibility to meet via tele/video conference and the City Council finds that it and its legislative bodies shall be permitted to conduct their meetings by teleconferencing without compliance with Government Code section 54953(b)(3) pursuant to section 54953(e), and such legislative bodies shall comply with the requirements to provide the public with access to the meetings as prescribed by section 54953(e)(2).

NOW, THEREFORE, BE IT RESOLVED, FOUND AND ORDERED by the City Council of the City of Live Oak as follows:

The facts set forth in the above recitals are true and correct and incorporated into this resolution by reference.

1. As a result of the continuing COVID-19 state of emergency declared by Governor Newsom, State officials continue to impose or recommend measures to promote social distancing based on the State Public Health Officer’s guidance and recommendations supporting social distancing and the Department of Industrial Relations’ issuance of COVID-19 Prevention regulations through Title 8 of the California Code of Regulations, section 3205 et seq. promoting social distancing in the workplace.

2. Under the present circumstances, the City Council by and through its City Manager, is hereby authorized and directed to take all actions necessary to carry out the intent and purpose of this resolution including conducting open and public meetings in accordance with Government Code section 54953(e) and other applicable provisions of the Brown Act.

3. This Resolution shall take effect immediately upon adoption and shall be effective until the earlier of (i) March 4, 2022 or (ii) such time as the City Council adopts a subsequent resolution in accordance with Government Code section 54953(e)(3) to extend the time during which its legislative bodies may continue to teleconference without compliance with Section 54953(b)(3).

4. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The City Council hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof.

PASSED AND ADOPTED by the City Council of the City of Live Oak this 2nd day of February, 2022, by the following vote:

AYES:

NOES:

ABSENT:

NOT VOTING:

APPROVED:

Nancy Santana, Mayor
ATTEST:

Clarissa Menchaca, City Clerk
180
City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Ordinance Increasing City Council Compensation
Contact Information: Nicole Rosser, City Attorney
Background: The process for increasing City Council compensation is set forth by Sections 36516 and 36516.5 of the California Government Code.

California Government Code Section 36516 provides, in relevant part as follows:
(a)
(1) A city council may enact an ordinance providing that each member of the city council shall receive a salary based on the population of the city as set forth in paragraph (2).
(2) The salaries approved by ordinance under paragraph (1) shall be as follows:
(A) In cities up to and including 35,000 in population, up to and including three hundred dollars ($300) per month.
. . .
(4) The salary of council members may be increased beyond the amount provided in this subdivision by an ordinance or by an amendment to an ordinance, but the amount of the increase shall not exceed an amount equal to 5 percent for each calendar year from the operative date of the last adjustment of the salary in effect when the ordinance or amendment is enacted. No ordinance shall be enacted or amended to provide future increases in salary. (b) Notwithstanding subdivision (a), at any municipal election, the question of whether city council members shall receive a salary for services, and the amount of that salary, may be submitted to the electors. If a majority of the electors voting at the election favor it, all of the council members shall receive the salary specified in the election call. The salary of council members may be increased beyond the amount provided in this section or decreased below the amount in the same manner.

Live Oak Municipal Code Section 2.08.030 states as follows:

Each member of the City Council shall receive, as salary, the sum of $364.65 per month, which shall be payable at the same time and in the same manner as salaries are paid to other officers and employees of the City. 181
This Municipal Code appears to have been amended as recently as 2006.

As indicated by the statute designated above, California State law provides that City Council members may be compensated in an amount not to exceed a cap that is graduated depending on the City's population. This was clearly set in accordance with the population in Live Oak. The compensation may be increased by not more than 5% per year (non-compounded) from the operative date of the last adjustment. In our case, the Council has not had an increase in 16 years. The Attorney General has ruled that the maximum 5% per year percentage increase must be applied only once, with no compounding. 89 Ops.Cal.Atty.Gen. 159 (2006). You can only calculate the increase based on what the actual salary was, not on what it could have been.

In other words, the city may not apply the 5% to the currently received salary amount only for the first year, and then apply it to the newly calculated amount for the second year, and continue these separate calculations for each intervening year. In Live Oak since sixteen years has passed since the last salary increase, one calculation would result in an increase of 80%. Thus, the Council could vote to increase the salary as follows:
$364.65 x 80% = $291.72 increase/month
$364.65 + 291.72 = $656.37/month
The salary in Live Oak could be increased to $656.37/month.

Government Code section 36516.5 also prohibits any change in compensation during the council member's term of office. This does not mean that Councilmembers elected in 2020, must wait until their next term of office in 2024. Because city council members serve staggered terms, Councilmembers will be eligible for an increase following the next municipal election in 2022, when two or three of the Councilmembers run for reelection or new terms are established. So, in this case, if the City Council were to vote to update the Ordinance, the change would not go into effect until after the November 2022 election.

This item is being brought to give direction to staff. If staff is given direction that the Council wants to see an increase of a certain amount (not to exceed $291.72/month), then staff will prepare the necessary Ordinance and bring it back to Council meeting the procedural requirements of notice and publication.

Fiscal Impacts: Fiscal impact will be determined upon a decision by Council. It could be $0.00 and up to $17,503.20, if the full increase amount is approved.

Recommendation: Provide direction to staff.
182
City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Councilmember Chapdelaine's Comments
Attachments:

Councilmember Chapdelaine's Comments
183
1 Clarissa Menchaca
Subject: FW: Council Member Comment 2/2 Council Meeting From: Jeramy Chapdelaine <[email protected]> Sent: Thursday, January 27, 2022 8:30 AM
To: Clarissa Menchaca <[email protected]>
Cc: Aaron Palmer <[email protected]>
Subject: Council Member Comment 2/2 Council Meeting
Good evening fellow Council Members, staff and members of our community, I believe a key component of an organization’s success is identifying priorities, setting goals and developing/following a strategic plan.

For many years this was an annual process done by City Council around this time of year, but unfortunately it’s happened less and less in recent years.

I would like to request that the Mayor add this discussion to the next regular meeting agenda, to give all Council Members an opportunity to discuss this item and possibly provide staff with direction, if City Council would like to proceed with this process.

Thank you,
Jeramy Chapdelaine
184
City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Conference with Labor Negotiators Pursuant to California Government Code Section 54957.6:

Agency Designated Representatives: Aaron Palmer, City Manager Employee Organization: Confidential and Unrepresented Employees (If action is taken in closed session, it will be announced after the closed session)
185
City of Live Oak
Report to City Council
Meeting Date: February 2, 2022
Title: Adoption of Possible Changes in Salary and Benefits for the Confidential and Unrepresented Employees
Contact Information: Nicole Rosser, City Attorney
186