1. CALL TO ORDER
2. CERTIFICATION OF AGENDA POSTING BY CITY CLERK
3. ROLL CALL OF COUNCIL MEMBERS
4. PLEDGE OF ALLEGIANCE
5. INVOCATION
6. PRESENTATIONS/PROCLAMATIONS
This Agenda contains a brief general description of each item to be considered. Copies of the Staff reports or other written documentation relating to each item of business referred to on the Agenda are on file in the Office of the City Clerk and are available for public inspection. Any person who has a question concerning any of the agenda items may call the City Manager at (310) 603-0220, ext. 200.
Procedures for Addressing the Council
IN ORDER TO EXPEDITE CITY COUNCIL BUSINESS, WE ASK THAT ALL PERSONS WISHING TO
ADDRESS THE COUNCIL SUBMIT YOUR COMMENTS IN ADVANCE TO
[email protected] OR FILL OUT A FORM PROVIDED AT THE PODIUM, AND TO TURN IT IN TO THE CITY CLERK PRIOR TO THE START OF THE MEETING. FAILURE TO FILL OUT SUCH A
FORM WILL PROHIBIT YOU FROM ADDRESSING THE COUNCIL IN THE ABSENCE OF THE UNANIMOUS CONSENT OF THE COUNCIL.
AGENDA
City Council Regular Meeting
TO BE HELD ON
April 15, 2025
COUNCIL CHAMBERS - 11350 BULLIS ROAD. LYNWOOD, CA 90262 OR WEB STREAM FOR VIEWING ONLY VIA ZOOM - MEETING ID: 864 5472 5492
Duly Posted on 4/11/25 By MQ
6:00 PM
Rita Soto, Mayor
Gabriela Camacho, Mayor Pro Tem
Lorraine Avila Moore, Council Member
Luis Gerardo Cuellar, Council Member
Juan Munoz-Guevara, Council Member
Update on Law Enforcement Issues
April Hometown Star
Greater Los Angeles County Vector Control
City Council Regular Meeting 1
7. COUNCIL RECESS TO:
8. CONSENT CALENDAR
8.1 APPROVAL OF THE WARRANT REGISTER
8.2 PREVIOUS MEETING MINUTES
8.3 REQUEST TO CANCEL
MAY
20, 2025, REGULAR CITY COUNCIL MEETING
Lynwood Successor Agency
Lynwood Housing Authority
Lynwood Utility Authority
Lynwood Public Financing Authority
PUBLIC ORAL COMMUNICATIONS
(Regarding Agenda Items Only)
NON-AGENDA PUBLIC ORAL COMMUNICATIONS
THIS PORTION PROVIDES AN OPPORTUNITY FOR THE PUBLIC TO ADDRESS THE
COUNCIL ON ITEMS WITHIN THE JURISDICTION OF THE COUNCIL AND NOT LISTED ON THE AGENDA. IF AN ITEM IS NOT ON THE AGENDA, THERE SHOULD BE NO
SUBSTANTIAL DISCUSSION OF THE ISSUE BY THE COUNCIL, BUT COUNCIL MAY
REFER THE MATTER TO STAFF OR SCHEDULE SUBSTANTIVE DISCUSSION FOR A FUTURE MEETING. (The Ralph M. Brown Act, Government Code Section 54954.2 (a).)
ALL MATTERS LISTED UNDER THE CONSENT CALENDAR WILL BE ACTED UPON BY ONE MOTION AFFIRMING THE ACTION RECOMMENDED ON THE AGENDA. THERE
WILL BE NO SEPARATE DISCUSSION ON THESE ITEMS PRIOR TO VOTING UNLESS
MEMBERS OF THE COUNCIL OR STAFF REQUEST SPECIFIC ITEMS TO BE REMOVED FROM THE CONSENT CALENDAR FOR SEPARATE ACTION.
Comments:
City of Lynwood warrant register dated April 15, 2025 for FY 2024-2025. (FIN) Recommendation:
Staff respectfully recommends that the City Council of the City of Lynwood approve the warrant register dated April 15, 2025 for FY 2024-2025
Comments:
The purpose of this item is to have the Lynwood City Council review and approve the April 1, 2025 City Council meeting action minutes. (CC) Recommendation:
Staff recommends that the Lynwood City Council approve the April 1, 2025 Regular Meeting and Closed Session Regular Meeting Action Minutes.
Comments:
Due to scheduling conflicts among City Council members, a quorum may
not be available
City Council Regular Meeting 2
8.4 ADOPT RESOLUTION IN SUPPORT OF ASSEMBLY BILL 670, ASSEMBLY BILL 851, ASSEMBLY BILL 65, SENATE BILL 92, SENATE BILL 350, SENATE BILL 495, SENATE BILL 573, SENATE BILL 48, SENATE BILL 98, ASSEMBLY BILL 49, ASSEMBLY BILL 421 AND OPPOSITION TO SENATE BILL 79, AND TAKE RELATED
ACTIONS
8.5 FY2023-24 ANNUAL COMPREHENSIVE FINANCIAL REPORT (ACFR) for
the
May 20,
2025, regular meeting
. As such, staff
is
recommending the meeting be
cancelled. (CM)
Recommendation:
Staff
recommends
that the City Council, by motion, cancel the regular meeting scheduled for Tuesday, May 20, 2025.
Comments:
The legislative bills AB 670 (Quirk Silva), AB 736 (Wicks), AB 851 (McKinnor), AB 865 (Gonzalez and Solache), SB 92 (Blakespear), SB 350 (Durazo), SB 495 (Allen), SB 573 (Smallwood-Cuevas), SB 48 (Gonzalez), SB 98 (Perez), AB 49 (Muratsuchi), AB 421 (Solache)
, and opposition to SB 79 (Weiner) all focus on housing, community development, and social equity issues. (CM)
Recommendation:
Staff
recommends
that the City Council:
1. Adopt a resolution in support of AB 670 (Quirk Silva), AB 736 (Wicks), AB 851 (
McKinnor
), AB 865 (Gonzalez and Solache), SB 92 (Blakespear), SB 350 (Durazo), SB 495 (Allen), SB 573 (Smallwood-Cuevas), SB 48 (Gonzalez), SB 98 (Perez), AB 49 (Muratsuchi), AB 421
(Solache)
, and oppose SB 79 (Weiner).
2. Authorize the Mayor to send a letter of support to the authors of AB 670 (Quirk Silva), AB 736 (Wicks), AB 851 (McKinnor), AB 865 (Gonzalez and Solache), SB 92 (Blakespear), SB 350 (Durazo), SB 495 (Allen), SB 573 (Smallwood-Cuevas), SB 48 (Gonzalez), SB 98 (Perez), AB 49 (Muratsuchi), AB 421
(Solache)
, and a letter of
opposition to SB 79 (Weiner).
Comments:
Staff recommends that the City Council receive and file the City's Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2024. (FIN) City Council Regular Meeting 3
8.6 PROJECT ACCEPTANCE OF THE APPARATUS BAY CONCRETE FLOOR AND GATE AT LOS ANGELES COUNTY FIRE DEPARTMENT FIRE STATION 147 CIP PROJECT NO. 4011.68.119
8.7 APPROVE FIRST AMENDMENT TO AGREEMENT WITH VASQUEZ & COMPANY LLP – PROFESSIONAL AUDITING SERVICES
Recommendation:
Staff recommends that the City Council receive and file the City's Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2024.
Comments:
On September 19, 2023, The City of Lynwood awarded a contract to Dreamwork Engineering and Construction, Inc. for the Replacement of the Apparatus Bay Concrete floor and Gate at the Los Angeles County Fire Department Station 147, CIP Project No. 4011.68.119. The project has been completed and is now ready for acceptance by the City Council. (PW)
Recommendation:
Staff recommends that the City Council adopt the attached resolution entitled: “A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD ACCEPTING
THE APPARATUS BAY CONCRETE FLOOR AND GATE AT LOS ANGELES COUNTY FIRE DEPARTMENT FIRE STATION 147 CIP PROJECT NO. 4011.68.119 AS COMPLETE; AUTHORIZING THE FILING OF THE NOTICE OF COMPLETION WITH THE LOS ANGELES COUNTY RECORDER’S OFFICE AND THE RELEASE OF THE 5% RETENTION 35 DAYS AFTER THE ACCEPTANCE.”
Comments:
Staff recommends that the City Council:
1. Amend the audit services contract and authorize Purchase Order (PO) change order of $28,500 in FY 2024-25 for 136 additional hours of audit work performed by Vasquez & Company LLP (Vasquez) for the FY 2023-24 audit
2. Amend the audit services contract to pay Vasquez additional $7,500 per year starting the FY 2024-25 audit (in FY 2025-26) for GASB 87, GASB 96, GASB 77 and other GASB implementations
3. Adopt the attached resolution entitled: “A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF LYNWOOD APPROVE FIRST AMENDMENT TO AGREEMENT WITH VASQUEZ & COMPANY LLP PROFESSIONAL AUDITING SERVICES” (FIN) Recommendation:
Staff recommends that the City Council:
1. Amend the audit services contract and authorize Purchase Order (PO) change order of $28,500 in FY 2024-25 for 136 additional hours of audit work performed by Vasquez & City Council Regular Meeting 4
8.8 APPROVAL OF SPECIAL EVENT PERMIT - CIRCO CABALLERO WITH LOCATION OF 3000 EAST IMPERIAL HIGHWAY, FOR DATES APRIL 17, THROUGH MAY 19, 2025.
8.9 ACCEPTANCE OF DEDICATION OF ROAD RIGHTS OF WAYS AND PUBLIC
IMPROVEMENTS RELATED TO THE NORTHGATE MARKET PROJECT
9. NEW/OLD BUSINESS
9.1 APPROVAL OF NON-PROFIT APPLICATIONS FOR THE SALE OF SAFE AND SANE
FIREWORKS
Company LLP (Vasquez) for the FY 2023-24 audit
2. Amend the audit services contract to pay Vasquez additional $7,500 per year starting the FY 2024-25 audit (in FY 2025-26) for GASB 87, GASB 96, GASB 77 and other GASB implementations
3. Adopt the attached resolution entitled: “A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF LYNWOOD APPROVE FIRST AMENDMENT TO AGREEMENT WITH VASQUEZ & COMPANY LLP PROFESSIONAL AUDITING SERVICES”
Comments:
Staff recommends that the City Council consider the approval of a Special Event for Circus Caballero, for the operation at 3000 East Imperial Highway from April 17, 2025 through May 19, 2025. (CD)
Recommendation:
Staff recommends that the City Council approve a Special Permit for Circo Caballero for the operation of a circus at 3000 East Imperial Highway from April 17, 2025 through May 19, 2025, contingent upon the payment of all required fees.
Comments:
The resolution is being presented to accept the dedication of road rights-of-way and public improvements at the Northeast corner of Long Beach Boulevard and Louise Street, in relation to the Northgate Market that is being developed. (PW) Recommendation:
Staff recommends that the City Council adopt the attached resolution entitled: “A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD
RECOMMENDING ACCEPTANCE AND DEDICATION OF ROAD RIGHTS-OF-WAY
AND PUBLIC IMPROVEMENTS AT NORTHEAST CORNER OF LONG BEACH BLVD AND LOUISE STREET IN THE CITY OF LYNWOOD”
Comments:
City Council Regular Meeting 5
9.2 ACCEPTANCE OF 2025 DODGERS DREAMTEAM YOUTH BASEBALL/SOFTBALL
GRANT PROGRAM AGREEMENT
10. CITY COUNCIL ORAL AND WRITTEN COMMUNICATION
11. STAFF ORAL COMMENTS
The purpose of this item is to review and approve the five (5) qualified applicants for the sale of Safe and Sane Fireworks during July 1 through July 4, 2025. At its Regular City Council Meeting held on March 18, 2024, the City Council approved the sale of Safe and Sane Fireworks. As of April 1, 2025, a total of five (5) applications were received by the City Clerk's Office. (CC)
Recommendation:
Staff recommends that the City Council review the item and approve the five (5) qualified applicants.
Comments:
The Recreation & Community Services Department applied for 2025 grant funding from the Los Angeles Dodgers Foundation (LADF). An approved proposal allows the City to continue its partnership as a Dodgers Dreamteam affiliate youth baseball and softball program. The LADF has notified staff that its application was successful and the partnership will continue for the 2025 Lynwood Youth Baseball & Softball (LYBS) Spring and Summer seasons. Staff is requesting that the City Council formally accept the grant through adoption of accompanying Resolution. (RCS)
Recommendation:
Staff recommends that the City Council adopt the attached resolution entitled, “A
RESOLUTION OF THE LYNWOOD CITY COUNCIL APPROVING AN AGREEMENT WITH THE LOS ANGELES DODGERS FOUNDATION FOR THE 2025 DODGERS DREAMTEAM LYNWOOD YOUTH BASEBALL & SOFTBALL PROGRAM.”
City Council Members Reporting on Meetings Attended (Gov. Code Section 53232.3 (D)).
ADJOURNMENT
THE NEXT REGULAR MEETING WILL BE HELD ON MAY 6, 2025 AT 6:00 P.M. IN THE COUNCIL CHAMBERS OF THE CITY HALL ANNEX, 11350 BULLIS ROAD, CITY OF LYNWOOD, CALIFORNIA.
City Council Regular Meeting 6
AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Harry Wong, Director of Finance & Administration
Mohammad Islam, Accounting Technician
SUBJECT:
APPROVAL OF THE WARRANT REGISTER
4-15-2025-CC - WARRANT
RESOLUTION TEMPLATE-2025.pdf
WARRANT RUN-4-15-2025-CC.pdf
Agenda Item # 8.1.
Recommendation:
Staff respectfully recommends that the City Council of the City of Lynwood approve the warrant register dated April 15, 2025 for FY 2024-2025
Background:
N/A
Discussion and Analysis:
N/A
Fiscal Impact:
FY 2024-2025
Coordinated With:
City Manager's Office
City Attorney's Office
ATTACHMENTS:
Description
City Council City Council Regular Meeting 7
RESOLUTION NO. 2025.xxx
Warrant Registers Dated 04-15-2025
PASSED, APPROVED and ADOPTED this 15th day of April 2025.
Rita Soto, Mayor
ATTEST:
__________________________
Maria Quiňonez, Julian Lee,
City Clerk Interim City Manager
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
________
Noel Tapia, Harry Wong,
City Attorney Director of Finance and Administration
8 STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the foregoing Resolution was passed and adopted by the City Council of the City of Lynwood at a meeting held on the 15th day of April 2025.
AYES: COUNCIL MEMBERS CUELLAR, AVILA-MOORE, MUNOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
_____________________ Date: _______________________
Maria Quiňonez,
City Clerk
STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, City Clerk of the City of Lynwood, and the Clerk of the City Council of said City, do hereby certify that the above foregoing is a full, true and correct copy of Resolution No. 2025.xxx on file in my office and that said Resolution was adopted on the date and by the vote therein stated. Dated this 15th day of April 2025.
__________________________ Date: _________________________ Maria Quiňonez,
City Clerk
9 apCkHist Void Check Listing Page:1
04/07/2025 8:07AM City of Lynwood
Bank code: apbank
Void Check# Date Vendor ClearNoid Date Invoice Inv. Date Amount Paid Check Total 210390 04/08/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 03/21/2024 293.00 293.00 210396 04/08/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 04/04/2024 293.00 293.00 210530 04/24/2024 013084 JESSICA LE 03/25/2025 R-ISSUED-213679 04/18/2024 293.00 293.00 210697 05/06/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 05/02/2024 293.00 293.00 210731 05/23/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 05/16/2024 293.00 293.00 210946 06/03/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 05/30/2024 293.00 293.00 210962 06/17/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 06/13/2024 293.00 293.00 211337 07/11/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 07/11/2024 293.00 293.00 211633 08/13/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 07/25/2024 293.00 293.00 211646 08/13/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 08/08/2024 293.00 293.00 211700 08/27/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 08/22/2024 293.00 293.00 211990 09/25/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 09/05/2024 293.00 293.00 211991 09/25/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 09/19/2024 293.00 293.00 212193 10/29/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 10/03/2024 293.00 293.00 212199 10/29/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 10/17/2024 293.00 293.00 212505 11/19/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 10/31/2024 293.00 03/25/2025 REISSUED-213679 11/14/2024 293.00 586.00
212640 11/26/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 11/28/2024 293.00 293.00 212837 12/19/2024 013084 JESSICA LE 03/25/2025 REISSUED-213679 12/12/2024 293.00 293.00 212960 01/06/2025 013084 JESSICA LE 03/25/2025 REISSUED-213679 12/26/2024 293.00 293.00 213059 01/28/2025 013084 JESSICA LE 03/25/2025 REISSUED-213679 01/09/2025 293.00 03/25/2025 REISSUED-213679 01/23/2025 293.00 586.00
213130 02/04/2025 011186 STANDARD GLASS & 03/25/2025 REISSUED-213681 01/13/2025 713.85 Page: 1
10 apCkHist
04/07/2025 8:07AM
Bank code: apbank
Void Check# Date Vendor
--
213203 02/18/2025 014223 CALIFORNIA STAR
213304 02/11/2025 013084 JESSICA LE
213427 02/27/2025 013084 JESSICA LE
213681 03/25/2025 011186 STANDARD GLASS &
25 checks in this report
Void Check Listing
City of Lynwood
ClearNoid Date Invoice
03/25/2025 1094
03/25/2025 REISSUED-213680
03/25/2025 2094
03/25/2025 REISSUED-213679
03/25/2025 REISSUED-213679
03/26/2025 REISSUED-213705
03/26/2025 1094
Page:2
Inv. Date Amount Paid Check Total
01/13/2025 242.55 956.40
02/22/2025 19,700.00
12/22/2024 19,400.00 39,100.00
02/06/2025 293.00 293.00
02/20/2025 293.00 293.00
01/13/2025 713.85
01/13/2025 242.55 956.40
apbank Total: 48,044.80
Total Checks: 48,044.80
Page:2
11 vchlist Prepaid-Check List Page: 3
03/25/2025 4:08:30PM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/ Account Amount -- 213679 3/25/2025 013084 LE, JESSICA Ben160587 JESSICA HERRERA: PAYMENT 293.00 Ben160814 JESSICA HERRERA: PAYMENT 293.00
Ben161075 JESSICA HERRERA: PAYMENT 293.00
Ben161518 JESSICA HERRERA: PAYMENT 293.00
Ben161866 JESSICA HERRERA: PAYMENT 293.00
Ben162233 JESSICA HERRERA: PAYMENT 293.00
Ben162520 JESSICA HERRERA: PAYMENT 293.00
Ben163176 JESSICA HERRERA: PAYMENT 293.00
Ben163599 JESSICA HERRERA: PAYMENT 293.00
Ben163982 JESSICA HERRERA: PAYMENT 293.00
Ben164372 JESSICA HERRERA: PAYMENT 293.00
Ben164756 JESSICA HERRERA: PAYMENT 293.00
Ben164933 JESSICA HERRERA: PAYMENT 293.00
Ben165326 JESSICA HERRERA: PAYMENT 293.00
Ben165530 JESSICA HERRERA: PAYMENT 293.00
Ben166038 JESSICA HERRERA: PAYMENT 293.00
Ben166403 JESSICA HERRERA: PAYMENT 293.00
Ben166760 JESSICA HERRERA: PAYMENT 293.00
Ben167095 JESSICA HERRERA: PAYMENT 293.00
Ben167571 JESSICA HERRERA: PAYMENT 293.00
Ben167717 JESSICA HERRERA: PAYMENT 293.00
Ben167803 JESSICA HERRERA: PAYMENT 293.00
Ben168401 JESSICA HERRERA: PAYMENT 293.00
Ben168607 JESSICA HERRERA: PAYMENT 293.00
Total: 7,032.00
213680 3/25/2025 014223 CONSTRUCTION INC, CALIFORNIA STAR 2094 11-002375 PROF & CONTRACTUAL SERVICES 19,400.00 2095 11-002375 PROF & CONTRACTUAL SERVICES 19,700.00
Total: 39,100.00
213681 3/25/2025 011186 MERCADO, NOEL AQUINO 1093 06-010346 SUPPLIES AND REPAIR 713.85 1094 06-010346 SUPPLIES AND REPAIR 242.55
Total: 956.40
213682 3/25/2025 014531 AMAYA, EFRAIN A 3 11-002388 ASSISTANCE PROGRAM 945.00 Page: 3
12 vchlist Prepaid-Check List Page: 4
03/25/2025 4:08:30PM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount 213682 3/25/2025 014531 014531 AMAYA, EFRAIN A (Continued) Total: 945.00 213683 3/25/2025 014561 CBB3 PROPERTIES, LLC 2 11-002393 ASSISTANCE PROGRAM 930.79 Total: 930.79
213684 3/25/2025 003372 CITY OF LYNWOOD 21-17300-02-022825 UTILITY ASSISTANCE 261.57 21-32200-05-022825 UTILITY ASSISTANCE 534.36
22-24100-05-022725 UTILITY ASSISTANCE 303.39
Total: 1,099.32
213685 3/25/2025 014026 IBE DIGITAL 589435525 12-000479 PRINTING SERVICE EXPENSE 1,291.56 589717527 12-000479 PRINTING SERVICE EXPENSE 1,291.56
Total: 2,583.12
213686 3/25/2025 014515 MONTES, JOSE L. 3 11-002387 ASSISTANCE PROGRAM 227.70 Total: 227.70
213687 3/25/2025 014469 MOORE, LORRAINE 014469-022325-1 REIMBURSEMENT- MILEAGE 158.20 Total: 158.20
213688 3/25/2025 009298 PRINTING MUL Tl SERVICES, GALA VIZ'S 634 SUPPLIES EXPENSE 100.33 635 SUPPLIES EXPENSE 100.33
637 SUPPLIES EXPENSE 915.08
Total: 1,115.74
213689 3/25/2025 014530 PROTESTA, NITA 3 11-002391 ASSISTANCE PROGRAM 743.20 Total: 743.20
213690 3/25/2025 000163 SOUTHERN CALIFORNIA EDISON 000163-032425 LIGHT & POWER SERVICE 14,097.05 Total: 14,097.05
213691 3/25/2025 000163 SOUTHERN CALIFORNIA EDISON 700398292754-030525 UTILITY ASSISTANCE 477.65 700704482449-021825 UTILITY ASSISTANCE 757.22
700864809709-021025 UTILITY ASSISTANCE 710.01
Total: 1,944.88
213692 3/25/2025 013288 SPECTRUM 188407901031425 INTERNET SERVICES 219.99 Page: 4
13 vchlist Prepaid-Check List Page: 5
03/25/2025 4:08:30PM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount 213692 3/25/2025 013288 013288 SPECTRUM (Continued) Total: 219.99 213693 3/25/2025 013288 SPECTRUM 188407201031425 INTERNET SERVICES 179.99 Total: 179.99
213694 3/25/2025 013288 SPECTRUM 188407001031425 INTERNET SERVICES 139.48 Total: 139.48
213695 3/25/2025 000164 THE GAS CO. 000164-032425 GAS SERVICES 3,197.44 Total: 3,197.44
213696 3/25/2025 000164 THE GAS CO. 04730136670-021925 UTILITY ASSISTANCE 38.63 19330106428-022125 UTILITY ASSISTANCE 1,859.08
Total: 1,897.71
213697 3/25/2025 008657 WASTE RESOURCES, INC. 033513-030125 UTILITY ASSISTANCE 62.96 041013-010125 UTILITY ASSISTANCE 38.72
066079-030125 UTILITY ASSISTANCE 125.96
Total: 227.64
213698 3/25/2025 007551 AFSCME DISTRICT COUNCIL 36 Ben169021 ASSOCIATION DUES: PAYMENT 2,274.22 Ben169402 ASSOCIATION DUES: PAYMENT 2,274.22
Total: 4,548.44
213699 3/25/2025 013747 AMERIFLEX Ben169031 HEALTH FSA PRE-TAX: PAYMENT 452.09 Ben169412 HEAL TH FSA PRE-TAX: PAYMENT 452.09
Total: 904.18
213700 3/25/2025 013463 CITY EMPLOYEES ASSOCIATES, LLC Ben169025 MGMT. ASSOCIATION DUES: 261.00 Ben169406 MGMT. ASSOCIATION DUES: 261.00
Total: 522.00
213701 3/25/2025 013730 COLONIAL LIFE & ACCIDENT, Ben169023 ACCIDENT PRETAX: PAYMENT 2,130.93 Ben169404 ACCIDENT PRETAX: PAYMENT 2,130.93
Total: 4,261.86
213702 3/25/2025 005282 FRANCHISE TAX BOARD Ben169416 FRANCHISE TAX BOARD: PAYMENT 613.15 Page: 5
14 vchlist
03/25/2025
Bank code:
Voucher
213702
213703
213704
4:08:30PM
apbank
Date Vendor
3/25/2025 005282 005282 FRANCHISE TAX BOARD
3/25/2025 013084 LE, JESSICA
3/25/2025 010048 LEGAL SHIELD
Prepaid-Check List
City of Lynwood
Invoice
(Continued)
Ben169414
Ben169027
Ben169408
Page: 6
PO# Description/Account Amount
Total: 613.15
JESSICA HERRERA: PAYMENT 293.00
Total: 293.00
LEGAL SHIELD: PAYMENT 49.84
LEGAL SHIELD: PAYMENT 49.84
Total: 99.68
Page: 6
15 vchlist
03/26/2025
Bank code:
Voucher
213705
1:08:31PM
apbank
Date Vendor
3/26/2025 011186 STANDARD GLASS & MIRROR
Prepaid-Check List
City of Lynwood
Invoice
---------
1093
1094
PO#
------
06-010346
06-010346
Description/ Account
SUPPLIES AND REPAIR
SUPPLIES AND REPAIR
Total:
Page: 7
Amount
713.85
242.55
956.40
Page : 7
16 vchlist Prepaid-Check List Page: 8
04/02/2025 9:11:07AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount 213706 4/2/2025 012148 BARRERA, JACOB CL063 EVENT SERVICE EXPENSE 1,500.00 Total: 1,500.00
213707 4/2/2025 014577 CAL PACIFIC LAND SERVICES, INC 2024-040 FEES FOR SERVICES 2,750.00 Total : 2,750.00
213708 4/2/2025 000955 CENTRAL BASIN MUNICIPAL WATER LYN-FEB25 06-010182 WATER SERVICE EXPENSE 8,438.59 Total: 8,438.59
213709 4/2/2025 003020 CONSERVATION CORPS OF L.B. 8631 01-001869 PROF & CONTRACTUAL SERVICES 12,080.00 8658 01-001869 PROF & CONTRACTUAL SERVICES 12,080.00
Total: 24,160.00
213710 4/2/2025 014467 DELGADILLO, LILIANA 014467-043025 ELECTRONIC/MEDIA-AUTO EXPENSE 500.00 Total: 500.00
213711 4/2/2025 013321 HERNANDEZ, ERNIE 2024-010 01-001847 PROF & CONTRACTUAL SERVICES 2,400.00 2025-001 01-001847 PROF & CONTRACTUAL SERVICES 3,600.00 Total: 6,000.00
213712 4/2/2025 014469 MOORE, LORRAINE 014469-031325-1 REIMBURSEMENT-TRANSPORTATION 201.67 Total: 201.67
213713 4/2/2025 013721 MUNOZ-GUEVARA , JUAN 013721-031325-1 REIMBURSEMENT-TRANSPORTATION 134.99 Total: 134.99
213714 4/2/2025 009167 PACIFIC EH & S SERVICES, INC 25-1096A FEES FOR SERVICES 3,480.50 Total: 3,480.50
213715 4/2/2025 012489 TRIPEPI, SMITH AND ASSOCIATES 12826 01-001865 PROF & CONTRACTUAL SERVICES 691.72 13000 01-001865 PROF & CONTRACTUAL SERVICES 1,124.85
13821 01-001865 PROF & CONTRACTUAL SERVICES 622.14
14023 01-001865 PROF & CONTRACTUAL SERVICES 780.97
14210 01-001865 PROF & CONTRACTUAL SERVICES 1,275.77
Total: 4,495.45
37 Vouchers for bank code : apbank Bank total: 140,655.56 Page: 8
17 vchlist
04/02/2025
Bank code:
Voucher
9:11:07AM
apbank
Date Vendor
37 Vouchers in this report
Prepaid-Check List
City of Lynwood
Invoice
Page: 9
PO# Description/Account Amount
-------
Total vouchers : 140,655.56
Page: 9
18 vchlist Check List Page: 10
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount --
213716 4/15/2025 000908 A.Y. NURSERY, INC. 0129292 06-010370 SUPPLIES EXPENSE 870.00 Total: 870.00
213717 4/15/2025 007303 A-1 CARPET CARE. 27511 06-010221 FEES FOR SERVICES 350.00 Total : 350.00
213718 4/15/2025 014509 ACE ELECTRIC, INC 2 06-010351 PROF & CONTRACTUAL SERVICES 705,470.00 Total: 705,470.00
213719 4/15/2025 000743 ADMINISTRATIVE SVCS. CO-OP 250209 08-005294 PROF & CONTRACTUAL SERVICES 10,349.45 250209-1 08-005357 PROF & CONTRACTUAL SERVICES 1,908.54 Total: 12,257.99
213720 4/15/2025 013797 AIRGAS USA, LLC 9159613706 06-010352 SUPPLIES EXPENSE 196.21 Total: 196.21
213721 4/15/2025 007439 ALL CITY MANAGEMENT SVCS, INC. 99673 11-002333 PROF & CONTRACTUAL SERVICES 17,056.42 Total: 17,056.42
213722 4/15/2025 011719 ALL STAR ELITE SPORTS 4939 08-005319 SUPPLIES EXPENSE 287.15 Total: 287.15
213723 4/15/2025 013738 AMAZON CAPITAL SERVICES INC 113-8884 781-5502665 EVENT SERVICE EXPENSE 42.39 1GTK-XF9Q-VDVJ EVENT SERVICE EXPENSE 531.08
1V6N-C76G-R1WP EVENT SERVICE EXPENSE 946.06
Total: 1,519.53
213724 4/15/2025 011094 AM-TECTOTALSECURITY, INC. 640041 06-010190 FEES FOR SERVICES 162.00 640117 06-010190 FEES FOR SERVICES 105.00
Total: 267.00
213725 4/15/2025 000012 AQUA METRIC SALES CO. INV0106706 06-009414 PROF & CONTRACTUAL SERVICES 48,295.87 Total: 48,295.87
213726 4/15/2025 004285 AVANT GARDE, INC. 11437 11-002356 PROF & CONTRACTUAL SERVICES 2,075.00 11438 11-002384 PROF & CONTRACTUAL SERVICES 18,067.50
Page: 10
19 vchlist Check List Page: 11
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount 213726 4/15/2025 004285 004285 AVANT GARDE, INC. (Continued) Total: 20,142.50 213727 4/15/2025 014568 BIBBS, BARBARA FAYE 003146-0138 REFUNDABLE DEPOSIT 220.00 Total: 220.00
213728 4/15/2025 000884 BLUE DIAMOND MATERIALS 4000350 06-010223 SUPPLIES EXPENSE 2,183.08 Total: 2,183.08
213729 4/15/2025 004773 BSN SPORTS 929118112 08-005338 SUPPLIES EXPENSE 2,844.46 Total: 2,844.46
213730 4/15/2025 000300 BUBBS HARDWARE 303 06-010224 SUPPLIES EXPENSE 30.61 304 06-010224 SUPPLIES EXPENSE 40.31
Total: 70.92
213731 4/15/2025 013105 CALIFORNIA STREET LIGHTING 1298 06-010286 PROF & CONTRACTUAL SERVICES 9,920.00 1303 06-010286 PROF & CONTRACTUAL SERVICES 9,920.00
Total: 19,840.00
213732 4/15/2025 013245 CARLO MAGNO 0381967 REPAIRS AND MAINT EXPENSE 3,865.00 Total: 3,865.00
213733 4/15/2025 001552 CARRILLO, ROSALIA 001552-030325 REIMBURSEMEN- ST. PATRICK'S 145.55 3218416011 REIMBURSEMENT ACCOMODATION 1,293.48
Total: 1,439.03
213734 4/15/2025 001195 CDW GOVERNMENT AD1MC3T 12-000497 OFFICE EQUIPMENT 1,534.59 Total: 1,534.59
213735 4/15/2025 001168 CINTAS CORPORATION NO. 2 5260184110 08-005282 OFFICE SUPPLIES 92.51 8407364275 08-005282 OFFICE SUPPLIES 69.45
Total: 161.96
213736 4/15/2025 000702 CINTAS DOCUMENT MANAGEMENT 5260184102 06-010260 OFFICE SUPPLIES 198.35 Total: 198.35
213737 4/15/2025 004168 CINTAS FIRE PROTECTION 5260184111 FEES FOR SERVICES 289.36 Page: 11
20 vchlist Check List Page: 12
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/ Account Amount 213737 4/15/2025 004168 004168 CINTAS FIRE PROTECTION (Continued) Total: 289.36 213738 4/15/2025 014497 CITY ELECTRIC SUPPLY LOB/036805 06-010356 SUPPLIES AND MATERIALS 3,795.97 LOB/036806 06-010356 SUPPLIES AND MATERIALS 1,166.84
LOB/036900 06-010356 SUPPLIES AND MATERIALS 1,124.58
Total: 6,087.39
213739 4/15/2025 013531 CIVIC PLUS, LLC 330377 12-000502 FEES FOR SERVICES 12,003.15 Total: 12,003.15
213740 4/15/2025 014115 CIVILTEC ENGINEERING INC 52658 06-010293 PROF & CONTRACTUAL SERVICES 17,473.75 Total: 17,473.75
213741 4/15/2025 012021 CONCENTRA MEDICAL CENTERS 86235352 05-001995 FEES FOR SERVICES 776.00 Total: 776.00
213742 4/15/2025 001214 COUNTY OF LOS ANGELES, RE-PW-25031004537 LABOR & EQUIPMENT CHARGES 4,092.47 RE-PW-25031004606 LABOR & EQUIPMENT CHARGES 5,850.65
RE-PW-25031004869 LABOR & EQUIPMENT CHARGES 747.34
RE-PW-25031004870 LABOR & EQUIPMENT CHARGES 470.32
Total: 11,160.78
213743 4/15/2025 010638 COURT OF CALIFORNIA, COUNTY OF LA February 2025 FEES FOR SERVICES 17,479.50 Total: 17,479.50
213744 4/15/2025 014269 DBX INC RET RELEASE-101424 RETENTION RELEASE 34,066.80 Total: 34,066.80
213745 4/15/2025 004089 ELDER, BRUCE A. 004089-033125 08-005309 PROF & CONTRACTUAL SERVICES 756.80 Total: 756.80
213746 4/15/2025 008756 EQUIPMENT & SERVICES, LLC, ANIMAL 132766 ANIMAL SERVICE EXPENSE 1,446.78 132789 ANIMAL SERVICE EXPENSE 230.14
132796 ANIMAL SERVICE EXPENSE 517.69
132887 ANIMAL SERVICE EXPENSE 508.68
Total: 2,703.29
213747 4/15/2025 009633 EVENT STEP AND REPEAT 20336 EVENT SERVICE EXPENSE 153.30 Page: 12
21 vchlist Check List Page: 13
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount --
213747 4/15/2025 009633 009633 EVENT STEP AND REPEAT (Continued) Total: 153.30 213748 4/15/2025 001087 FANTASY FLOWERS AND GIFTS 052990 08-005285 EVENT SERVICE EXPENSE 520.38 Total: 520.38
213749 4/15/2025 003334 FED EX 8-799-34740 MAILING EXPENSE 13.64 Total: 13.64
213750 4/15/2025 014086 GARCIA, CLAUDIA IVETTE 014086-033125 08-005352 PROF & CONTRACTUAL SERVICES 360.00 Total: 360.00
213751 4/15/2025 004485 GEO PLASTICS 79653 RECYCLING EXPENSE 4,584.85 Total: 4,584.85
213752 4/15/2025 001510 GRAINGER, INC. 9435705299 06-010196 SUPPLIES EXPENSE 101.79 9435705315 06-010196 SUPPLIES EXPENSE 101.79
9443279535 11-002343 SUPPLIES EXPENSE 365.07
9445958318 11-002343 SUPPLIES EXPENSE 179.73
9445958326 11-002343 SUPPLIES EXPENSE 331.64
9445958334 11-002343 SUPPLIES EXPENSE 464.28
Total: 1,544.30
213753 4/15/2025 014090 GRINDLINE SKATEPARKS,INC 6549 06-010117 PROF & CONTRACTUAL SERVICES 38,147.37 6558 06-010117 PROF & CONTRACTUAL SERVICES 54,216.20
Total: 92,363.57
213754 4/15/2025 009832 HARDING, ELIZABETH B. 009832-033125 08-005321 PROF & CONTRACTUAL SERVICES 170.00 Total: 170.00
213755 4/15/2025 003338 HILLYARD-LOS ANGELES 605775545 06-010197 SUPPLIES EXPENSE 564.77 Total: 564.77
213756 4/15/2025 001681 HUMAN SERVICES ASSOCIATION HSA9 08-005358 SENIOR MEALS 425.00 Total: 425.00
213757 4/15/2025 000635 IDR ENVIRONMENTAL SERVICES 84563 06-010263 PROF & CONTRACTUAL SERVICES 7,262.19 Total: 7,262.19
Page: 13
22 vchlist Check List Page: 14
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/ Account Amount 213758 4/15/2025 008254 JCL TRAFFIC SERVICES 128491 06-010198 STREET SIGNS AND SUPPLIES 165.38 128492 06-010198 STREET SIGNS AND SUPPLIES 875.11
128493 06-010198 STREET SIGNS AND SUPPLIES 689.06
128551 06-010198 STREET SIGNS AND SUPPLIES 2,683.21
Total: 4,412.76
213759 4/15/2025 001269 JOHN L. HUNTER & ASSOCIATES LYN1 MS412501 06-010278 PLANNING & LAND DEVELOPMENT, 1,971.75 Total: 1,971.75
213760 4/15/2025 014522 KIMLEY- HORN AND, ASSOCIATES, INC 30729092 06-010362 PROF & CONTRACTUAL SERVICES 6,162.65 31213954 06-010362 PROF & CONTRACTUAL SERVICES 21 ,433.32 Total: 27,595.97
213761 4/15/2025 000001 KING FENCE, INC 52940 06-010233 RENTAL EXPENSE-FENCE 65.50 Total: 65.50
213762 4/15/2025 009041 LOYA, RUUD AND ROMO, ATKINSON, 742545 05-001986 PROF & CONTRACTUAL SERVICES 6,007.50 Total: 6,007.50
213763 4/15/2025 002761 MARCO POWER EQUIPMENT 41212565 06-010234 SUPPLIES AND REPAIRS 70.28 41212589 06-010234 SUPPLIES AND REPAIRS 659.30
Total: 729.58
213764 4/15/2025 013145 MERCHANT, OLIVER 3220508467 REIMBURSEMENT ACCOMODATION 1,430.86 Total: 1,430.86
213765 4/15/2025 010247 MINUTEMAN PRESS 21315 11-002355 PRINTING SERVICES 891 .80 Total: 891.80
213766 4/15/2025 008782 MSJ ACCESS INC 91074709 06-010199 FEES FOR SERVICES 763.20 Total: 763.20
213767 4/15/2025 011922 NORTH STAR LAND CARE 1601-1002 06-010204 PROF & CONTRACTUAL SERVICES 840.00 1601-1004 06-010204 PROF & CONTRACTUAL SERVICES 25,215.00 1601-1005 06-010204 PROF & CONTRACTUAL SERVICES 7,965.00 1601-1011 06-010204 PROF & CONTRACTUAL SERVICES 13,820.00 1601-1012 06-010204 PROF & CONTRACTUAL SERVICES 13,820.00 1601-1014 06-010204 PROF & CONTRACTUAL SERVICES 13,820.00 --
Page: 14
23 vchlist Check List Page: 15
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/ Account Amount --
213767 4/15/2025 011922 NORTH STAR LAND CARE (Continued) 1601-961 06-010204 PROF & CONTRACTUAL SERVICES 17,010.00 1601-975 06-010204 PROF & CONTRACTUAL SERVICES 1,755.00 1601-981 06-010204 PROF & CONTRACTUAL SERVICES 975.00
1601-992 06-010204 PROF & CONTRACTUAL SERVICES 4,785.00 Total: 100,005.00
213768 4/15/2025 000078 ODP BUSINESS SOLUTIONS,LLC 412709277001 05-001992 OFFICE SUPPLIES 68.34 Total: 68.34
213769 4/15/2025 012548 PARKING COMPANY OF AMERICA INVM0019596 06-010269 PROF & CONTRACTUAL SERVICES 98,099.32 Total: 98,099.32
213770 4/15/2025 008307 PHOENIX GROUP INFORMATION SYS 0220251204 11-002337 PROF & CONTRACTUAL SERVICES 2,950.52 022025204 11-002337 PROF & CONTRACTUAL SERVICES 21,976.21 022025902 11-002337 PROF & CONTRACTUAL SERVICES 696.36
Total: 25,623.09
213771 4/15/2025 009298 PRINTING MULTISERVICES, GALAVIZ'S 644 SUPPLIES EXPENSE 27.56 Total: 27.56
213772 4/15/2025 001142 QUILL CORPORATION 43321149 OFFICE SUPPLIES 241.11 43338015 OFFICE SUPPLIES 535.29
Total: 776.40
213773 4/15/2025 001057 RAMIREZ, JUAN E. 250327 03-000457 PROF & CONTRACTUAL SERVICES 1,365.00 Total: 1,365.00
213774 4/15/2025 001364 ROMERO, DIANA 3224921463 REIMBUSEM ENT-ACCOMODATION 1,320.21 3230895026 REIMBURSEMENT-ACCOMODATION 914.25
Total: 2,234.46
213775 4/15/2025 014576 ROSALES, RUBEN 0031 08-0035 REFUNDABLE DEPOSIT 300.00 Total: 300.00
213776 4/15/2025 014575 ROUX, KANEISHA 003242-0119 REFUNDABLE DEPOSIT 100.00 Total: 100.00
Page: 15
24 vchlist Check List Page: 16
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount 213777 4/15/2025 000075 S & J SUPPLY CO. S100247635.001 06-010206 MATERIALS & SUPPLIES 2,099.91 Total: 2,099.91
213778 4/15/2025 010757 SALAZAR RIVERO, YUNUEE 010757-0322 FEES FOR SERVICES 350 .00 Total: 350.00
213779 4/15/2025 008745 SAN FRANCISCO LAUNDRY 66770 CLEANING SERVICE EXPENSE 4.94 67124 CLEANING SERVICE EXPENSE 1,107.94
Total: 1,112.88
213780 4/15/2025 007205 SANCHEZ AWARDS 2533 SUPPLIES EXPENSE 44.10 2645 SUPPLIES EXPENSE 30.87
2646 SUPPLIES EXPENSE 30.87
2648 SUPPLIES EXPENSE 38.59
2649 06-010272 SUPPLIES EXPENSE 38.59
2650 SUPPLIES EXPENSE 110.25
2651 SUPPLIES EXPENSE 110.25
2652 SUPPLIES EXPENSE 13.23
2653 SUPPLIES EXPENSE 66.15
Total: 482.90
213781 4/15/2025 005635 SO.COAST AIR QUALITY MGT DIST. 4497499 FEES FOR SERVICES 541.04 4497500 FEES FOR SERVICES 541.04
4497502 FEES FOR SERVICES 541 .04
4497503 FEES FOR SERVICES 541.04
4497504 FEES FOR SERVICES 541.04
4497505 FEES FOR SERVICES 541 .04
4500393 FEES FOR SERVICES 165.96
4500394 FEES FOR SERVICES 165.96
4500397 FEES FOR SERVICES 165.96
4500398 FEES FOR SERVICES 165.96
4500399 FEES FOR SERVICES 165.96
4500400 FEES FOR SERVICES 165.96
Total: 4,242.00
213782 4/15/2025 011186 STANDARD GLASS & MIRROR 1126 06-010346 EQUIPMENT AND SUPPLIES 523 .69 Total: 523.69
Page: 16
25 vchlist Check List Page: 17
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount 213783 4/15/2025 002938 TAJ OFFICE SUPPLY 06334 OFFICE SUPPLIES 513.74 06348 OFFICE SUPPLIES 13.34
Total: 527.08
213784 4/15/2025 013215 THE HOME DEPOT PRO SUPPLY WORK 855572939 06-010188 SUPPLIES EXPENSE 171.16 855801452 06-010188 SUPPLIES EXPENSE 372.23
855813507 06-010188 SUPPLIES EXPENSE 265.65
856049382 06-010188 SUPPLIES EXPENSE 349.79
856502786 06-010188 SUPPLIES EXPENSE 135.06
856906201 06-010188 SUPPLIES EXPENSE 977.90
Total: 2,271.79
213785 4/15/2025 004179 TIERRA WEST ADVISORS, LLC LY-02258 11-002382 PROF & CONTRACTUAL SERVICES 428.75 LY-0225C 11-002366 PROF & CONTRACTUAL SERVICES 2,580.00 LY-0225C-1 11-002382 PROF & CONTRACTUAL SERVICES 5,638.00 Total: 8,646.75
213786 4/15/2025 001589 TREJO, JOSE 24717 REIMBURSEMENT-ITEMS 63.48 3223992692 REIMBURSEMENT-ACCOMODATION 1,293.48
Total: 1,356.96
213787 4/15/2025 007742 ULINE, INC. 190335287 06-010247 SUPPLIES EXPENSE 563.32 190354486 06-010247 SUPPLIES EXPENSE 1,803.37
191029414 08-005293 SUPPLIES EXPENSE 730.35
Total: 3,097.04
213788 4/15/2025 000166 UNDERGROUND SERVICE ALERT/SC 24-253224 06-010184 FEES FOR SERVICES 85.06 320250444 06-010184 FEES FOR SERVICES 263.45
Total: 348.51
213789 4/15/2025 009742 UNIFIRST CORPORATION 2190316289 06-010212 UNIFORM SERVICE AND SUPPLIES 81.40 2190316293 06-010212 UNIFORM SERVICE AND SUPPLIES 92.07 2190316300 06-010212 UNIFORM SERVICE AND SUPPLIES 187.75 2190316307 06-010212 UNIFORM SERVICE AND SUPPLIES 175.82 2190316323 06-010212 UNIFORM SERVICE AND SUPPLIES 134.20 2190319590 06-010212 UNIFORM SERVICE AND SUPPLIES 81.40 2190319591 06-010212 UNIFORM SERVICE AND SUPPLIES 92.07 Page: 17
26 vchlist Check List Page: 18
04/07/2025 7:48:27AM City of Lynwood
Bank code: apbank
Voucher Date Vendor Invoice PO# Description/Account Amount 213789 4/15/2025 009742 UNIFIRST CORPORATION (Continued) 2190319594 06-010212 UNIFORM SERVICE AND SUPPLIES 183.15 2190319596 06-010212 UNIFORM SERVICE AND SUPPLIES 130.82 2190319599 06-010212 UNIFORM SERVICE AND SUPPLIES 134.20 2190322470 06-010212 UNIFORM SERVICE AND SUPPLIES 81.40 2190322475 06-010212 UNIFORM SERVICE AND SUPPLIES 92.07 2190322482 06-010212 UNIFORM SERVICE AND SUPPLIES 190.04 2190322487 06-010212 UNIFORM SERVICE AND SUPPLIES 129.29 2190322495 06-010212 UNIFORM SERVICE AND SUPPLIES 134.20 Total: 1,919.88
213790 4/15/2025 013465 UNION PACIFIC RAILROAD COMPANY 90144081 06-009387 FEES FOR SERVICES 323.78 90144148 06-009387 FEES FOR SERVICES 570.35
Total: 894.13
213791 4/15/2025 000461 UNITED RENTALS, INC. 242266560-001 08-005301 RENTAL EXPENSE-EQUIPMENT 920.81 242266560-002 08-005301 RENTAL EXPENSE-EQUIPMENT 487.31 Total: 1,408.12
213792 4/15/2025 014061 VCAANIMAL HOSPITALS INC 5869762571 11-002383 ANIMAL SERVICE EXPENSE 456.20 Total: 456.20
213793 4/15/2025 013992 VP IRON WORKS 4 06-010275 SUPPLIES EXPENSE 925.00 5 06-010275 SUPPLIES EXPENSE 5,000.00
Total: 5,925.00
213794 4/15/2025 002912 WATERLINE TECHNOLOGIES.INC 5730375 06-010185 SUPPLIES EXPENSE 387.97 5730404 06-010185 SUPPLIES EXPENSE 961.49
5731099 06-010185 SUPPLIES EXPENSE 404.84
5731101 06-010185 SUPPLIES EXPENSE 877.15
5732154 06-010185 SUPPLIES EXPENSE 978.36
Total: 3,609.81
213795 4/15/2025 009100 WATERWORKS TECHNOLOGY.INC. 7196 06-010319 PROF & CONTRACTUAL SERVICES 34,700.00 Total: 34,700.00
213796 4/15/2025 000040 WAXIE SANITARY SUPPLY 83105778 06-010249 SUPPLIES EXPENSE 893.74 Page: 18
27 vchlist
04/07/2025
Bank code:
Voucher
213796
213797
213798
213799
213800
7:48:27AM
apbank
Date Vendor
4/15/2025 000040 000040 WAXIE SANITARY SUPPLY
4/15/2025 010312 WEBER WATER RESOURCES CA, LLC
4/15/2025 000102 WHITE CAP, HD SUPPLY CONST.&
4/15/2025 007609 WILLDAN FINANCIAL SERVICES
4/15/2025 012137 XIO INC.
85 Vouchers for bank code :
85 Vouchers in this report
apbank
Check List
City of Lynwood
Invoice
(Continued)
1949
50030512218
010-61531
2022-13683
Page: 19
PO# Description/Account Amount
Total: 893.74
06-010276 REPAIRS AND MAINT EXPENSE 6,250.00
Total: 6,250.00
06-010252 SUPPLIES EXPENSE 135.22
Total: 135.22
11-002357 PROF & CONTRACTUAL SERVICES 14,978.00
Total: 14,978.00
06-010354 FEES FOR SERVICES 75.00
Total: 75.00
Bank total: 1,418,601.58
Total vouchers : 1,418,601.58
Page: 19
28 AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Maria Quinonez, City Clerk
China Oseguera, Assistant to the City Clerk
SUBJECT:
PREVIOUS MEETING MINUTES
CC - 4.01.25 - CLOSED SESSION REG. MTG. MINUTES - SUBMITTED April 15, 2025 - co.pdf
CC - 4.01.25 - CITY COUNCIL REG. MTG. MINUTES - SUBMITTED April 15, 2025 - co.pdf
Agenda Item # 8.2.
Recommendation:
Staff recommends that the Lynwood City Council approve the April 1, 2025 Regular Meeting and Closed Session Regular Meeting Action Minutes.
Background:
N/A
Discussion and Analysis:
N/A
Fiscal Impact:
N/A
Coordinated With:
N/A
ATTACHMENTS:
Description
City Council City Council Regular Meeting 29
Lynwood City Council Regular Meeting Closed Session
April 1, 2025
Action Meeting Minutes
01. CALL TO ORDER
The City Council Regular Meeting Closed Session of the City of Lynwood met in the Council Chambers, 11350 Bullis Road Lynwood, CA 90262 on the above date at 6:00 p.m. An audio recording of this meeting is available on the City's Web Portal: Audio (laserfiche.com).
Meeting called to order at 5:00 p.m.
Mayor Soto presiding.
02. CERTIFICATION OF AGENDA POSTING BY CITY CLERK
City Clerk Quinonez announced the Agenda had been duly posted in accordance with the Brown Act.
03. ROLL CALL OF COUNCIL MEMBERS
PRESENT: COUNCIL MEMBERS AVILA-MOORE, CUELLAR, MUNOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
ABSENT: NONE
STAFF PRESENT:
Interim City Manager Lee, City Attorney Tapia, City Treasurer Delgadillo, City Clerk Quinonez, Community Development Director Li nares, Human Resources Director Matson, Interim Public Works Director Ansari, Recreation Director Flores and Technology Director Han.
PUBLIC ORAL COMMUNICATIONS
(Regarding Agenda Items Only)
NONE
NON-AGENDA PUBLIC ORAL COMMUNICATIONS
NONE
Closed Session
MOTION: It was moved by Mayor Soto and carried by unanimous consent to recess to closed session. Motion carr ied by the following 5/0 vote:
ROLL CALL:
AYES: COUNCIL MEMBERS AVILA-MOORE, CUELLAR, MUNOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSTAIN: NONE
30 ABSENT: NONE
The City Attorney read the City Council into closed session.
04. CLOSED SESSION
A. With respect to every item of business to be discussed in closed session pursuant to Government Code Section 54956.9:
CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION
Significant exposure to litigation pursuant to paragraph (2) of subdivision (d) of Section 54956.9: Number of Cases: Two (2)
B. With respect to every item of business to be discussed in closed session pursuant to Government Code Section 54957:
PUBLIC EMPLOYEE EMPLOYMENT
Title: City Manager
The City Attorney reported on the following item out of closed session:.
With all five (5) members of the City Council being present, City S taff made a presentation, City Council provided direction and there was no final reportable action.
The City Council reconvened into open session at 6:00 p.m.
ADJOURNMENT
At 9:58 p.m., it was moved by Mayor Pro Tem Camacho, seconded by Council Member Cuellar to adjourn the Regular Lynwood City Council Meeting.
_________________________ ___________________________ Maria Quiňonez, City Clerk Rita Soto, Mayor
/co
31 Lynwood City Council Regular Meeting
April 1, 2025
Action Meeting Minutes
01. CALL TO ORDER
The City Council Regular Meeting of the City of Lynwood met in the Council Chambers, 11350 Bullis Road Lynwood, CA 90262 on the above date at 6:00 p.m. An audio recording of this meeting is available on the City's Web Portal: Audio (laserfiche.com).
Meeting called to order at 6:00 p.m.
Mayor Soto presiding.
02. CERTIFICATION OF AGENDA POSTING BY CITY CLERK
City Clerk Quiňonez, announced the Agenda had been duly posted in accordance with the Brown Act.
03. ROLL CALL OF COUNCIL MEMBERS
PRESENT: COUNCIL MEMBERS AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
ABSENT: NONE
STAFF PRESENT:
Interim City Manager Lee, City Attorney Tapia, City Treasurer Delgadillo, City Clerk Quiňonez, Community Development Director Linares, Human Resources Director Matson, Interim Public Works Director Ansari, Recreation Director Flores and Technology Director Han.
04. PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was led by the Lynwood Sheriff’s Explorers.
05. INVOCATION
The invocation was offered by Pastor Nisan Stewart of Greater Emmanuel Temple Church.
06. PRESENTATIONS/PROCLAMATIONS
• Update on Law Enforcement Issues.
• City Council Members Reporting on Meetings Attended (Gov. Code Section 53232.3 (D)).
• City Videos.
• Proclamations.
07. COUNCIL RECESS TO:
City of Lynwood as the Successor Agency to the Lynwood Redevelopment Agency 32 MOTION: It was moved by Mayor Pro Tem Camacho , seconded by Council Member Cuellar to recess to the Lynwood as the Successor Agency to the Lynwood Redevelopment Agency at 6:37 p.m. Motion carried by the following 5/0 vote:
ROLL CALL:
AYES: COUNCIL MEMBER AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Lynwood Housing Authority
MOTION: It was moved by Mayor Pro Tem Camacho, seconded by Council Member Cuellar to recess to the Lynwood Housing Authority at 6:38 p.m. Motion carried by the following 5/0 vote:
ROLL CALL:
AYES: COUNCIL MEMBER AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Lynwood Utility Authority
MOTION: It was moved by Vice President Camacho, seconded by Member Cuellar to recess to the Lynwood Utility Authority at 6:39 p.m. Motion carri ed by the following 5/0 vote:
ROLL CALL:
AYES: MEMBERS AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA,
VICE PRESIDENT CAMACHO AND PRESIDENT SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Lynwood Public Financing Authority
MOTION: It was moved by Mayor Pro Tem Camacho, seconded by Council Member Cuellar to recess to the Lynwood Public Financing Authority at 6:41 p.m.
Motion carried by the following 5/0 vote:
ROLL CALL:
AYES: MEMBERS AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA, VICE
PRESIDENT CAMACHO AND PRESIDENT SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
33 The City Council reconvened to the regular City Council meeting at 6:43 p.m.
PUBLIC ORAL COMMUNICATIONS
(Regarding Agenda Items Only)
Sylvia Ortiz addressed City Council regarding item 9.2.
NON-AGENDA PUBLIC ORAL COMMUNICATIONS
Eugene Jackson, Maria Viera, Sylvia Ortiz, Joaquin Mesinas, Kelly Durham, and Steven Senecal addressed City Council.
Consent Calendar
All matters listed under the Consent Calendar will be acted upon by one motion affirming the action recommended on the agenda. There will be no separate discussion on these items prior to voting unless members of the Council or staff request specific items be removed from the Consent Calendar for separate action.
Item 8.3 was pulled by Council Member Munoz-Guevara for comment.
Item 8.4 was tabled by Interim City Manager Lee.
It was moved by Council Member Munoz -Guevara, seconded by Council Member Cuellar to approve the balance of the Consent Calendar. Motion carried by the following 5/0 vote:
ROLL CALL:
AYES: COUNCIL MEMBERS AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
08.01. APPROVAL OF THE WARRANT REGISTER
Approved and Adopted RESOLUTION NO. 2025.029
ENTITLED: City of Lynwood warrant register dated April 1, 2025 for FY 2024-2025
08.02. PREVIOUS MEETING MINUTES
Approved March 18, 2025 Regular Meeting and Closed
Session Regular Meeting Action Minutes
08.03. FIRST AMENDMENT TO PROFE SSIONAL SERVICES AGREEMENT WITH
CONSERVATION CORPS OF LONG BEACH
MOTION: It w as moved by Mayor Pro Tem Camacho , seconded by Council Member Munoz-Guevara to approve the item. Motion carried by the following 5/0 vote:
ROLL CALL:
34 AYES: COUNCIL MEMBERS AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Approved and Adopted RESOLUTION NO. 2025.030 AND First Amendment to the Public Service Agreement
with Conservation Corps of Long Beach
ENTITLED: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
LYNWOOD, C OUNTY OF LOS ANGELES, STATE OF CALIFORNIA
AUTHORIZING THE CITY MANAGER TO EXECUTE A FIRST AMENDMENT TO
PROFESSIONAL SERVICES AGREEMENT WITH CONSERVATION CORPS OF
LONG BEACH
08.04. A RESOLUTION APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH JOE A. GONSALVES TO PROVIDE LEGISLATIVE SERVICES TO THE CITY
Tabled RESOLUTION NO. 2025.XXX AND
PROFESSIONAL SERVICES AGREEMENT
WITH JOE A. GONSALVES TO PROVIDE
STATE LEGISLATIVE SERVICES
ENTITLED: A RESOLUTION OF THE CTY COUNCIL OF THE CITY OF
LYNWOOD APP ROVING A PROFESSIONAL SERVICES AGREEMENT WITH JOE A. GONSALVES TO PROVIDE STATE LEGISLATIVE SERVICES
New/Old Business
09.01. HOUSING ELEMENT ANNUAL PROGRESS REPORT – 2024
MOTION: It w as moved by Mayor Pro Tem Camacho , seconded by Council Member Cuellar to approve receive and file the Housing Element Annual Progress Report 2024. Motion carried by the following 5/0 vote:
ROLL CALL:
AYES: COUNCIL MEMBERS AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Received and Filed 2024 Annual Housing Progress Report
35 09.02. SECOND READING AND ADOPTION OF ORDINANCE NO. 1785, AMENDING LYNWOOD MUNICIPAL CODE SECTION 7-17.1 - ESTABLISHMENT AND
DESIGNATION OF TRUCK TRAFFIC ROUTES
MOTION: It was moved by Mayor Pro Tem Camacho , seconded by Council Member Munoz-Guevara to approve the item. Motion carried by the following 5/0 vote:
ROLL CALL:
AYES: COUNCIL MEMBERS AVILA-MOORE, CUELLAR, MUÑOZ-GUEVARA,
MAYOR PRO TEM CAMACHO AND MAYOR SOTO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Approved and Adopted ORDINANCE NO. 1785
ENTITLED: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LYNWOOD, COUNTY OF LOS ANGELES, STATE OF CALI FORNIA, AMENDING SECTION 7-17.1 “ESTABLISHMENT AND DESIGNATION OF TR UCK TRAFFIC ROUTES” OF CHAPTER TITLE 7 -17 “RESTRICTIONS ON USE OF STREETS BY OVERWEIGHT AND OVERSIZE VEH ICLES” OF THE LYNWOOD
MUNICIPALCODE
ADJOURNMENT
At 10:00 p.m., it was moved by Council Member Munoz -Guevara, sec onded by Mayor Pro Tem Camacho to adjourn the Regular Lynwood City Council Meeting in memory of of Brigida Gonzalez Rodriguez , mother of former City Treasurer Yolanda Rodriguez.
________________________ __________________________
Maria Quiňonez, City Clerk Rita Soto, Mayor
/co
36 AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Shanell Shipe, Assistant to the City Manager
SUBJECT:
REQUEST TO CANCEL
MAY
20, 2025, REGULAR CITY COUNCIL
MEETING
Agenda Item # 8.3.
Recommendation:
Staff
recommends
that the City Council, by motion, cancel the regular meeting scheduled for Tuesday, May 20, 2025.
Background:
The regular meetings of the City Council are held on the first and third Tuesdays of each month at the City of Lynwood Council Chambers.
Discussion and Analysis:
A regular City Council meeting is scheduled for Tuesday, May 20, 2025. However, several Council members have scheduling conflicts that will prevent them from attending. Additionally, no time-sensitive items have been identified for inclusion on the agenda. Given these circumstances, staff
recommends
cancelling the meeting.
Fiscal Impact:
Cancelling the May 20
th
meeting will result in minor cost savings related to staff time and meeting operations.
Coordinated With:
City Attorney's Office
City Council City Council Regular Meeting 37
AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Shanell Shipe, Assistant to the City Manager
SUBJECT:
ADOPT RESOLUTION IN SUPPORT OF ASSEMBLY BILL 670,
ASSEMBLY BILL 851, ASSEMBLY BILL 65, SENATE BILL 92, SENATE BILL 350, SENATE BILL 495, SENATE BILL 573, SENATE BILL 48, SENATE BILL 98, ASSEMBLY BILL 49, ASSEMBLY BILL 421 AND OPPOSITION TO SENATE BILL 79, AND TAKE RELATED ACTIONS
Agenda Item # 8.4.
Recommendation:
Staff
recommends
that the City Council:
1. Adopt a resolution in support of AB 670 (Quirk Silva), AB 736 (Wicks), AB 851
(
McKinnor
),
AB 865 (Gonzalez and Solache), SB 92 (Blakespear), SB 350 (Durazo), SB 495 (Allen), SB 573 (Smallwood-Cuevas), SB 48 (Gonzalez), SB 98 (Perez), AB 49 (Muratsuchi), AB 421
(Solache)
, and oppose SB 79 (Weiner).
2. Authorize the Mayor to send a letter of support to the authors of AB 670 (Quirk Silva), AB 736 (Wicks), AB 851 (McKinnor), AB 865 (Gonzalez and Solache), SB 92 (Blakespear), SB 350 (Durazo), SB 495 (Allen), SB 573 (Smallwood-Cuevas), SB 48 (Gonzalez), SB 98 (Perez), AB 49 (Muratsuchi), AB 421
(Solache)
, and a letter of opposition to SB 79 (Weiner).
Background:
On March 19, 2025, the State, Local & International Ad Hoc Committee convened to review a series of legislative bills. These bills pertain to important issues that could significantly affect City Council City Council Regular Meeting 38
our community, and the committee has unanimously agreed to express its support or
opposition
to
these measures.
These bills aim to address challenges such as affordable housing creation and preservation
for low-income communities and vulnerable
populations
and
providing supportive services for homeless individuals and those with disabilities. They also
focus on
community preservation and anti-displacement efforts to ensure long-term affordability. Some bills promote energy efficiency in housing, while others focus on improving access to housing and economic opportunities for underserved communities, working towards inclusive, sustainable, and equitable housing policies for California residents.
The support of
Mayor Rita Soto, along with others, could make a significant difference in our community.
Discussion and Analysis:
Below is a summary of bills
discussed and
of interest to the City
of Lynwood
:
AB 670 (Quirk Silva)
: Planning and zoning: housing element: converted affordable housing units
Summary:
AB 670, introduced by Assemblymember Quirk-Silva
amends the Planning and Zoning Law to
require cities to include additional information in their annual housing element reports. This includes data on new housing units, demolished units, and replacement housing. The bill also expands the criteria for reporting converted affordable housing units, allowing planning agencies to count units in multifamily buildings converted to affordable housing for low to extremely low-income households. These conversions must be subject to long-term affordability covenants lasting at least 55 years.
Impact:
The bill supports affordable housing preservation, enhances housing stability for low-income renters, and helps local governments meet housing development goals.
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting AB 670. The bill aligns with the goals of preserving affordable housing, and a letter of support from the Mayor reinforces
the city’s position.
AB 736 (Wicks):
The Affordable Housing Bond Act of 2026 and SB 417 (Cabaldon): The City Council City Council Regular Meeting 39
Affordable Housing Bond Act of 2026
Summary:
Governor Newsom's proposed 2025-2026 budget includes a new cabinet-level agency for housing, but no additional funding for affordability programs. To address this, AB 736 and SB
417 propose the Affordable Housing Bond Act of 2026, which would authorize $10 billion in bonds to fund affordable housing and homeownership programs like the Multifamily Housing Program and
CalHome
Program.
The bond proceeds will support:
•
$5.25 billion for the Multifamily Housing Program and Infill Infrastructure Grant Program. •
$1.75 billion for supportive housing for people experiencing homelessness. •
$800 million for rehabilitating existing affordable housing via the Portfolio Reinvestment Program.
•
$500 million for the Community Anti-Displacement and Preservation Program to acquire and preserve unsubsidized housing.
•
$1 billion for homeownership assistance, including the
CalHome
and CalHFA Downpayment
Assistance Programs.
•
$250 million for tribal housing through the Tribal Housing Grant Program. •
$250 million for farmworker housing via the Joe Serna, Jr. Farmworker Housing Grant Program.
•
$200 million for energy efficiency programs or rental assistance in wildfire-impacted areas.
Impact:
The bill aims to build and preserve affordable homes and assist thousands of families, creating jobs and promoting housing stability.
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting AB 736, as it aligns with housing goals. A letter of support from the Mayor will reinforce the city’s position.
AB 851 (McKinnor):
Real property transactions: County of Los Angeles wildfires: unsolicited offers and cancellations
Summary:
City Council City Council Regular Meeting 40
On January 7, 2025, the Governor declared a state of emergency in Los Angeles and Ventura counties due to fires and windstorms. Executive Order No. N-7-25 prohibits unsolicited, below- market real estate offers in certain ZIP codes in Los Angeles for three months. Executive Order No. N-17-25 expanded this to more ZIP codes. AB 851 seeks to extend this prohibition and allow sellers to cancel contracts with
buyer
reimbursement for the purchase price and
improvements until January 1, 2027.
Impact:
The bill protects homeowners from exploitation, ensuring they aren’t forced to sell below market value after wildfires. It stabilizes the real estate market in affected areas and provides a safety net for property owners, allowing them to cancel contracts with reimbursement for any improvements.
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting AB 851, as it protects homeowners in wildfire-affected areas. A letter of support from the Mayor will reinforce the city’s position.
AB 865 (González and Solache):
Dual language immersion programs: instructional
materials: grants
Summary:
Existing law allocated $10,000,000 from the General Fund for the 2021–22 fiscal year to support the Dual Language Immersion Grant Program, aimed at expanding dual language education. The State Department of Education must award at least 25 grants, up to $380,000 each, over three years to eligible entities.
This bill establishes the Dual Language Immersion Education Instructional Materials Grant Program, providing $5,000,000 for one-time $100,000 grants to school districts, county offices of education, and charter schools. These grants will help increase instructional materials in partner languages for dual language programs. Recipients must report on fund usage by June 29, 2029, and submit copies of purchased materials. The department will report to the Legislature by December 31, 2029.
City Council City Council Regular Meeting 41
Funds from this bill will count toward meeting California's constitutional funding requirements for school
and community
college districts.
Impact:
The bill will positively impact dual language immersion programs by improving the quality and accessibility of instructional materials. This support will help schools better serve bilingual students, promoting language proficiency and academic success. It also addresses the need for resources that cater to the unique requirements of dual language learners, helping them thrive in a bilingual educational environment.
Recommendation:
The State, Local & International Ad Hoc Committee recommends supporting AB 865, as it aligns with educational goals to promote bilingualism and academic achievement. A letter of support from the Mayor will reinforce the city's commitment to advancing language immersion education.
SB 92 (Blakespear):
Housing development: density bonuses: mixed-use developments
Summary:
Existing law requires cities and counties to adopt ordinances implementing the state Density Bonus Law (DBL), granting density bonuses for housing developments of five or more units, including mixed-use projects, if the applicant agrees to include certain affordable housing components, such as:
•
10% for lower-income households
•
5% for very low-income households
•
Senior housing or mobile home parks
•
10% for moderate-income households in a CID
•
10% for transitional foster youth, veterans, or homeless persons
•
20% for lower-income students in student housing
•
100% for lower-income households, with some moderate-income units
The law also requires cities and counties to allow density increases ranging from 20% to 80% based on the percentage of affordable units, and 5% to 50% for moderate-income for-sale City Council City Council Regular Meeting 42
developments.
This bill adds a definition for “mixed-use developments” in line with the Housing Accountability Act, specifying projects with five or more residential units, at least two-thirds of which are for residential use, or projects with 500 or more residential units where at least 50% of the space is for residential use and no part of the project is for transient use (hotel, motel, etc.).
Impact:
The bill will likely lead to an increase in the construction of affordable housing units in mixed- use developments, helping to address the housing shortage while also stimulating economic activity. By providing developers with greater incentives, SB 92 encourages the creation of vibrant, multi-purpose communities that combine residential spaces with commercial and retail offerings.
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting SB 92, as it aligns with housing and economic development goals. A letter of support from the Mayor will strengthen the city's commitment to addressing the housing crisis and fostering sustainable, mixed-use communities.
SB 350 (Durazo):
Water Rate Assistance Program
Summary:
Existing law requires the State Water Resources Control Board to develop a plan for funding the Low-Income Water Rate Assistance Program, detailing methods for collecting and determining necessary funds.
This bill would:
•
Establish the Water Rate Assistance Program and create a fund to assist low-income residential ratepayers with water and wastewater costs. •
Require
the state board to track and manage fund revenue separately. •
Mandate the state board to adopt program guidelines and an annual performance report, including self-certification of eligibility for assistance.
City Council City Council Regular Meeting 43
•
Direct the board to oversee and fund low-income rate assistance for eligible systems. •
Allow the Attorney General to take legal action against violations.
Impact:
This bill will help alleviate the financial strain on low-income households, ensuring that they can continue to access clean and safe water without the threat of disconnection due to inability to pay. It will contribute to addressing water affordability issues in economically disadvantaged communities and improve public health by ensuring continued access to essential water services.
Recommendation:
The State, Local & International Ad Hoc Committee recommends supporting SB 350, as it aligns with goals of equity and access to basic utilities for all residents. A letter of support from the Mayor will demonstrate the city’s commitment to addressing water affordability challenges and supporting vulnerable populations.
SB 495 (Allen):
Fire insurance
Summary:
This bill, though introduced as a non-substantive change, will be amended to make California the only state requiring insurers to pay claims in full without needing itemized inventories from policyholders. It also extends the deadline for consumers to provide proof of loss to insurance companies from 60 to 180 days after a declared state of emergency.
Senator Allen, in an interview with
CalMatters
, explained that many insurers already do this,
noting it simplifies the process for both insurers and policyholders. He believes removing the inventory requirement removes a significant barrier for people, especially those who’ve lost everything.
Insurance Commissioner Lara supports the bill, and many insurers have agreed to pay at least 75% of contents coverage without a detailed inventory, with some offering 100%. However, insurance industry representatives, like Rex Frazier from the Personal Insurance Federation of California, argue that this could increase costs for insurers, leading to higher rates for consumers.
City Council City Council Regular Meeting 44
Impact:
This bill will help provide greater insurance coverage stability for residents in wildfire-prone areas, ensuring they have access to fire insurance despite the increasing risk of wildfires. It aims to reduce the financial burden on homeowners and property owners, promoting resilience and recovery in vulnerable communities.
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting SB 495, as it addresses the critical need for affordable fire insurance in fire-risk areas. A letter of support from the Mayor will reinforce the city’s commitment to protecting residents and ensuring they have access to necessary insurance coverage.
SB 573 (Smallwood-Cuevas):
Property taxation: cancellation
Summary:
Existing property tax law allows tax cancellations under certain conditions but prohibits cancellations on tax-exempt property if the exemption procedure isn’t followed.
This bill would
reword
the provision for clarity, stating: "Cancellation of charges on tax-exempt property shall not be made if the exemption procedure isn’t followed."
Impact:
The bill will offer significant relief to property owners affected by disasters or other unforeseen events, helping them recover financially by lowering the burden of property taxes. It ensures that those facing hardship due to circumstances beyond their control are not unfairly penalized, providing a critical support mechanism during recovery periods.
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting SB 573, as it aligns with the goal of easing the financial burden on homeowners and property owners affected by disasters. A letter of support from the Mayor will demonstrate the city’s commitment to providing relief and supporting affected residents in times of need.
City Council City Council Regular Meeting 45
SB 48 (Gonzalez):
Immigration enforcement: school sites: prohibitions on access, sharing information, and law enforcement collaboration
Summary:
Prohibits ICE and federal officials from accessing school campuses without a judicial warrant, prevents the sharing of student, family, or staff information with immigration authorities without proper consent, limits California law enforcement’s assistance with immigration enforcement within one mile of schools, and aims to reduce the financial and educational impacts of immigration enforcement, especially in immigrant communities.
Impact:
SB 48 will ensure that California schools remain safe spaces for all students, regardless of immigration status, by reducing fear of immigration enforcement. This will help maintain student attendance and protect funding tied to enrollment. The bill also safeguards personal and educational information, reinforcing privacy rights and fostering a more inclusive educational environment for all.
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting SB 48, as it aligns with the city’s commitment to protecting residents and ensuring safe, inclusive learning environments. A letter of support from the Mayor will demonstrate the city’s dedication to upholding these principles and ensuring that schools remain free from immigration enforcement actions.
SB 98 (Pérez):
Elementary, secondary, and
postsecondary
education: immigration
enforcement
Summary:
Requires schools and college campuses to promptly notify students, parents, faculty, staff, and community members if immigration officers are present. This ensures timely and clear information for students and campus communities if immigration enforcement targets schools and higher education institutions.
City Council City Council Regular Meeting 46
Impact:
SB 98 will help create a safer and more inclusive educational environment by protecting students, regardless of immigration status, from immigration enforcement on school grounds.
It will reduce the fear that prevents some students from attending school or accessing services. The bill also upholds privacy rights by limiting the sharing of personal information with immigration authorities, contributing to a more secure learning environment for all students.
Recommendation:
The State, Local & International Ad Hoc Committee recommends supporting SB 98, as it aligns with the city's commitment to protecting vulnerable residents and ensuring all students have access to education without fear. A letter of support from the Mayor will strengthen the city's position in advocating for the protection of students' rights and safety in educational settings.
AB 49 (Muratsuchi):
School sites and day care centers: entry requirements: immigration enforcement
Summary:
Prohibits ICE and federal officials from accessing school sites without valid identification, a written statement of purpose, a judicial warrant, and approval from the appropriate school authority.
Prohibits day care center staff from allowing ICE access without the same requirements, except as mandated by law or for state or federally supported programs.
This affirms a statewide commitment to protect immigrant students and families, ensure compliance with education rights, and safeguard school funding tied to student attendance.
Impact:
AB 49 will help create safer, more supportive environments for children by limiting the potential for immigration enforcement at schools and daycare centers. It will reduce fear among immigrant families, ensuring that children can attend school or daycare without worrying about the risk of deportation. This bill also strengthens the privacy and safety of families, particularly in communities with high immigrant populations.
City Council City Council Regular Meeting 47
Recommendation:
The
State,
Local & International Ad Hoc Committee recommends supporting AB 49, as it aligns with the city's commitment to protecting vulnerable populations and ensuring safe access to education and
child care
. A letter of support from the Mayor will further reinforce the
city’s stance on safeguarding immigrant families and their rights to education and care.
AB 421
(Solache)
:
Immigration Enforcement: Prohibitions on Access, Sharing Information, and Law Enforcement Collaboration
Summary:
Prohibits California law enforcement from sharing information with ICE about immigration enforcement actions within one mile of childcare centers, religious institutions, or medical facilities.
Impact:
AB 421 will have a significant positive impact on immigrant communities in California by enhancing privacy protections and reducing the fear of deportation. It aims to strengthen the relationship between local law enforcement and the public by promoting trust and ensuring that personal data is not shared with immigration authorities without proper legal grounds. The bill helps to protect vulnerable individuals from potential harm caused by immigration enforcement.
Recommendation:
The State, Local & International Ad Hoc Committee recommends supporting AB 421, as it aligns with the city's commitment to protecting residents' privacy and ensuring a safe environment for all. A letter of support from the Mayor will further demonstrate the city's dedication to protecting immigrant communities and upholding their rights.
SB 79 (Wiener):
Transit-oriented Development – Notice of Opposition
City Council City Council Regular Meeting 48
Summary:
SB 79 overrides local housing plans, forcing cities to approve transit-oriented projects near transit stops — up to seven stories and 120 homes per acre — without community input or environmental review. It gives transit agencies unchecked authority over land they own, including development decisions like height and density, regardless of local zoning.
This bill applies to both residential and commercial projects, allowing transit agencies to build 100% commercial developments without adding any new homes. While we appreciate efforts to address housing production, SB 79 as written does not promote effective housing solutions and disregards local flexibility and public engagement. What California needs is a sustainable state investment to address the housing crisis, not a top-down, one-size-fits-all approach.
Impact:
While SB 79 could increase housing availability, it may lead to overdevelopment in certain areas that are not equipped to handle the population growth or infrastructure demands.
Communities may face increased congestion, strain on local resources, and potential displacement of current residents due to rising housing costs. Additionally, the bill's emphasis on streamlined approval processes may limit local control over zoning decisions, which could create tensions with communities who wish to have more influence over their development priorities.
Recommendation:
The State, Local & International Ad Hoc Committee recommends opposing SB 79. While addressing the housing crisis is crucial, the bill’s focus on expedited approvals for dense transit-oriented developments may overlook the unique needs of local communities and result in unintended negative consequences. A letter of opposition from the Mayor will demonstrate the city's commitment to ensuring that housing solutions are balanced with community input and infrastructure capabilities.
Fiscal Impact:
There is no fiscal impact.
Coordinated With:
City Attorney's Office
ATTACHMENTS:
City Council City Council Regular Meeting 49
RESOLUTION-_Legislative_Bills.pdf
Description
City Council City Council Regular Meeting 50
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD, CALIFORNIA, IN SUPPORT OF ASSEMBLY BILL 670, ASSEMBLY BILL 851, ASSEMBLY BILL 65, SENATE BILL 92, SENATE BILL 350, SENATE BILL 495, SENATE BILL 573, SENATE BILL 48, SENATE BILL 98, ASSEMBLY BILL 49, ASSEMBLY BILL 421 AND OPPOSITION TO SENATE BILL 79. WHEREAS, on March 19, 2025, the State, Local & International Ad Hoc Committee convened to review a series of legislative bills. These bills pertain to important issues that could significantly affect the Lynwood community, and WHEREAS, AB 670 (Quirk Silva): Planning and zoning: housing element: converted affordable housing units - supports affordable housing preservation, enhances housing stability for low-income renters, and helps local governments meet housing development goals, and WHEREAS, AB 736 (Wicks): The Affordable Housing Bond Act of 2026 and SB 417 (Cabaldon): The Affordable Housing Bond Act of 2026 aims to build and preserve affordable homes and assist thousands of families, creating jobs and promoting housing stability, and WHEREAS, AB 851 (McKinnor): Real property transactions: County of Los Angeles wildfires: unsolicited offers and cancellations - protects homeowners from exploitation, ensuring they aren’t forced to sell below market value after wildfires. The bill stabilizes the real estate market in affected areas and provides a safety net for property owners, allowing them to cancel contracts with reimbursement for any improvements, and WHEREAS, AB 865 (González and Solache): Dual language immersion programs: instructional materials: grants - will positively impact dual language immersion programs by improving the quality and accessibility of instructional materials. This support will help schools better serve bilingual students, promoting language proficiency and academic success. The bill also addresses the need for resources that cater to the unique requirements of dual language learners, helping them thrive in a bilingual educational environment, and WHEREAS, SB 92 (Blakespear): Housing development: density bonuses: mixed-use developments - will likely lead to an increase in the construction of affordable housing units in mixed-use developments, helping to address the housing shortage while also stimulating economic activity. By providing developers with greater incentives, SB 92 encourages the creation of vibrant, multi-purpose communities that combine residential spaces with commercial and retail offerings, and 51 WHEREAS, SB 350 (Durazo): Water Rate Assistance Program will help alleviate the financial strain on low-income households, ensuring that they can continue to access clean and safe water without the threat of disconnection due to inability to pay. The bill will contribute to addressing water affordability issues in economically disadvantaged communities and improve public health by ensuring continued access to essential water services, and WHEREAS, SB 495 (Allen): Fire Insurance will help provide greater insurance coverage stability for residents in wildfire-prone areas, ensuring they have access to fire insurance despite the increasing risk of wildfires. The bill aims to reduce the financial burden on homeowners and property owners, promoting resilience and recovery in vulnerable communities, and WHEREAS, SB 573 (Smallwood-Cuevas): Property taxation: cancellation - will offer significant relief to property owners affected by disasters or other unforeseen events, helping them recover financially by lowering the burden of property taxes. The bill ensures that those facing hardship due to circumstances beyond their control are not unfairly penalized, providing a critical support mechanism during recovery periods, and WHEREAS, SB 48 (Gonzalez): Immigration enforcement: school sites: prohibitions on access, sharing information, and law enforcement collaboration - will ensure that California schools remain safe spaces for all students, regardless of immigration status, by reducing fear of immigration enforcement. This will help maintain student attendance and protect funding tied to enrollment. The bill also safeguards personal and educational information, reinforcing privacy rights and fostering a more inclusive educational environment for all, and WHEREAS, SB 98 (Perez): Elementary, secondary, and postsecondary education: immigration enforcement - will help create a safer and more inclusive educational environment by protecting students, regardless of immigration status, from immigration enforcement on school grounds. The bill will reduce the fear that prevents some students from attending school or accessing services. The bill also upholds privacy rights by limiting the sharing of personal information with immigration authorities, contributing to a more secure learning environment for all students, and WHEREAS, AB 49 (Muratsuchi) : School sites and day care centers: entry requirements: immigration enforcement - will help create safer, more supportive environments for children by limiting the potential for immigration enforcement at schools and daycare centers. The bill will reduce fear among immigrant families, ensuring that children can attend school or daycare without worrying about the risk of deportation. This bill also strengthens the privacy and safety of families, particularly in communities with high immigrant populations, and 52 WHEREAS, AB 421 (Solache): Immigration Enforcement: Prohibitions on Access, Sharing Information, and Law Enforcement Collaboration will have a significant positive impact on immigrant communities in California by enhancing privacy protections and reducing the fear of deportation. This bill aims to strengthen the relationship between local law enforcement and the public by promoting trust and ensuring that personal data is not shared with immigration authorities without proper legal grounds. The bill helps to protect vulnerable individuals from potential harm caused by immigration enforcement, and WHEREAS, SB 79 (Wiener) Transit-oriented Development – Notice of Opposition. While SB 79 could increase housing availability, it may lead to overdevelopment in certain areas that are not equipped to handle the population growth or infrastructure demands. Communities may face increased congestion, strain on local resources, and potential displacement of current residents due to rising housing costs. Additionally, the bill's emphasis on streamlined approval processes may limit local control over zoning decisions, which could create tensions with communities who wish to have more influence over their development priorities, and WHEREAS, the City of Lynwood is in full support of legislative efforts to pass AB 670 (Quirk Silva), AB 736 (Wicks), AB 851 (McKinnor), AB 865 (Gonzalez and Solache), SB 92 (Blakespear), SB 350 (Durazo), SB 495 (Allen), SB 573 (Smallwood-Cuevas), SB 48 (Gonzalez), SB 98 (Perez), AB 49 (Muratsuchi), and AB 421 (Solache), and is committed to do everything in its power to effectuate the proposed legal standards and protection to our communities and families, and WHEREAS, the City of Lynwood is in opposition of Senate Bill 79. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY RESOLVE AND DETERMINE AS FOLLOWS: Section 1. The City Council of the City of Lynwood hereby finds and declares that the foregoing recitals are true and correct, and incorporates them herein as finding and as a substantive part of the Resolution. Section 2. Authorize the Mayor to send a letter in support to the authors of AB 670 (Quirk Silva), AB 736 (Wicks), AB 851 (McKinnor), AB 865 (Gonzalez and Solache), SB 92 (Blakespear), SB 350 (Durazo), SB 495 (Allen), SB 573 (Smallwood-Cuevas), SB 48 (Gonzalez), SB 98 (Perez), AB 49 (Muratsuchi), and AB 421 (Solache). Section 3. Authorizes the Mayor to send a letter in opposition to the author of SB 79 (Weiner). Section 4. This Resolution shall be effective upon final approval. Section 5. The City Clerk shall certify as to the adoption of this City Council Resolution. 53 PASSED, APPROVED and ADOPTED this 15th day of April, 2025. Rita Soto Mayor ATTEST: ________________________ Maria Quinonez Julian Lee City Clerk Interim City Manager APPROVED AS TO FORM: ______________________ Noel Tapia City Attorney 54 AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Harry Wong, Director of Finance & Administration
SUBJECT:
FY2023-24 ANNUAL COMPREHENSIVE FINANCIAL REPORT (ACFR)
Agenda Item # 8.5.
Recommendation:
Staff recommends that the City Council receive and file the City's Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2024.
Background:
Lynwood had been using The Pun Group, LLP (TPG) as the City’s independent auditor for eight years since Fiscal Year (FY) 2015-16. Although there is no requirement for the City to rotate auditors, City conducted a request for proposal (RFP) on March 14, 2024 to invite bids from other audit firms. Among the three proposals, the City has selected Vasquez and Company (Vasquez) to be the City’s new auditor for the next three years, FY2023-24 to FY2025-26, with option to extend for two additional years to FY2027-28.
Vasquez, an independent auditor and a well-recognized regional CPA firm in California, has successfully completed the audit of the City's annual financial statements for the fiscal year ending June 30, 2024. The audited financial statements have been incorporated into the Annual Comprehensive Financial Report (ACFR).
Vasquez conducted a thorough examination of the City's books and has issued an unmodified ("clean") opinion on the financial statements. This unmodified opinion signifies that the City's City Council City Council Regular Meeting 55
financial data is accurately presented in accordance with Generally Accepted Accounting Principles (GAAP) in the United States and adheres to the standards outlined in the Government Audit Standards issued by the Comptroller General of the United States. These standards require that the auditors plan and perform the audit to obtain reasonable assurance as to whether the financial statements are free of material misstatement and accurately reflects the City’s financial position.
Discussion and Analysis:
Annual Comprehensive Financial Report
The Annual Comprehensive Financial Report (ACFR) was prepared in accordance with the Governmental Accounting Standard Board (GASB) Statement. The City's ACFR includes financial information for all City funds, and it is presented in three sections:
1) The Introductory Section of the report includes a table of contents, organizational chart, transmittal letter, and financial awards.
2) The Financial Section contains the independent auditor’s report, management discussion and analysis (MD&A), financial statements, accompanying notes, and supplementary details. 3) The Statistical Section includes ten years of financial data, debt computations, and a variety of demographic, economic and social information that potential readers may find useful for assessing the City’s financial condition.
The government wide statements presented through two main statements: the Statement of Net Position and the Statement of Activities, are the statements that present the City as a whole and present a longer-term view. These statements include all assets and deferred outflows of resources and all liabilities and deferred inflows of resources using the accrual basis of accounting, which is similar to the accounting used by most private sector companies.
All of the current year’s revenues and expenses are taken into account regardless of when cash is received or paid.
The fund financial statements provide detailed information about the most significant funds, and not the City as a whole. Some funds are required to be established by State law and/or by bond covenants. However, the City Council establishes many other funds to help control and manage money for particular purposes or to show that it is meeting legal responsibilities for using certain taxes, grants, and other restricted sources. The City’s two kinds of funds – governmental and proprietary – use different accounting approaches. Governmental funds use modified accrual accounting, meanwhile proprietary uses full accrual basis of accounting.
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Financial Highlights
Net Position
: As of June 30, 2024, the City's net position increased by $7.5 million from the previous year, totaling $ 226.1 million. This includes $223.6million from governmental activities and $2.5 million from business-type activities.
Revenues and Expenses
: For FY 2023-24, City total revenues from all sources were $85.3 million and total expenses were $ 77.8 million. Of the total revenues, program revenues were $28.6 million and general revenues were $56.7 million. Program revenues are broken into:
Charges for services at $16.9 million, and operating grants and contributions at $11.7 million.
General revenues comprised primarily of property taxes in the amount of $19.9 million, sales and use tax in the amount of $17.4 million, utility taxes in the amount of $6.3 million, franchise tax, business license tax and other taxes, and other revenues in the amount of $13.1 million.
Governmental Funds
: The City’s governmental funds reported combined ending fund balance of $120.5 million at June 30, 2024. In FY 2023-24, governmental expenditures and other financing uses exceeded revenue and other financing sources by $2.8 million. The decrease in the governmental funds balance was primarily attributed to a one-time transfer and write-off of the grant receivables in the Grants Special Revenue Fund for uncollectible grant receivables.
General Fund Outlook
In FY 2023-24, General Fund revenues and other financing sources totaled $44.7 million, while expenditures and transfers out amounted to $45.4 million. As a result, the total fund balance decreased from $49.9 million to $49.2 million, representing a decrease of $0.7 million.
The $0.7 million net decrease in the General Fund balance was attributed to a one-time transfer out to the Grants Special Revenue Fund to cover the write-off of uncollectible grant receivables.
Additionally, The City's ACFR is submitted to the Government Financial Officer's Association (GFOA) of the United States and Canada for potential recognition through the Award of the Certificate of Achievement for Excellence in Financial Reporting. To qualify for this award, the City must publish an efficiently organized report that complies with both Generally Accepted Accounting Principles (GAAP) and relevant laws and regulations. Despite not receiving this award for the past seven years since FY2016-17, the City's staff has diligently prepared the FY2023-24 ACFR and has submitted it for award consideration.
City Council City Council Regular Meeting 57
Lynwood ACFR FY23-24.pdf
Fiscal Impact:
There is no fiscal impact associated with this action.
Coordinated With:
City Manager's Office
ATTACHMENTS:
Description
City Council City Council Regular Meeting 58
2024 2023-
FISCAL YEAR
2023-2024
YEAR ENDED
JUNE 30, 2024
ACFR
ANNUAL
COMPREHENSIVE
FINANCIAL
REPORT
59 60
Annual Comprehensive Financial Report
City of Lynwood, California
Year ended June 30, 2024
With Independent Auditor’s Report
Prepared by: Finance Department
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62 City of Lynwood
Table of Contents
PAGE
INTRODUCTORY SECTION
Letter of Transmittal i
City of Lynwood Organizational Chart vii
Finance & Administration Department Organizational Chart viii City Officials ix
FINANCIAL SECTION
Independent Auditor’s Report 1
Management’s Discussion and Analysis (Unaudited) 5
Basic Financial Statements
Government-wide Financial Statements
Statement of Net Position 16
Statement of Activities 18
Fund Financial Statements
Balance Sheet 20
Reconciliation of the Governmental Funds Balance Sheet to the Government-Wide Statement of Net Position 22
Statement of Revenues, Expenditures, and Changes in Fund Balances 23 Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances to the Government-Wide Statement of Activities 25
Proprietary Funds
Statement of Net Position 26
Statement of Revenues, Expenses, and Changes in Net Position 28 Statement of Cash Flows 29
Fiduciary Fund
Statement of Fiduciary Net Position 31
Statement of Changes in Fiduciary Net Position 32
Notes to the Basic Financial Statements 33
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of Changes in the Net Pension Liability and Related Ratios – Miscellaneous Plan 103
Schedule of the City’s Proportionate Share of the Net Pension Liability – Safety Plan 105
Schedule of Plan Contributions – Pension – Miscellaneous Plan 107 Schedule of Plan Contributions – Pension – Safety Plan 109 Schedule of Changes in the Net OPEB Liability and Related Ratios 111 Schedule of Contributions – Other Postemployment Benefits Plan 113 Budgetary Comparison Schedules
General Fund 115
Housing Authority Special Revenue Fund 116
Landscape Maintenance Special Revenue Fund 117
American Rescue Plan Special Revenue Fund 118
63 City of Lynwood
Table of Contents
PAGE
REQUIRED SUPPLEMENTARY INFORMATION (CONTINUED)
Budgetary Comparison Schedules (Continued)
Grants Special Revenue Fund 119
Notes to Required Supplementary Information 120
SUPPLEMENTARY INFORMATION
Nonmajor Governmental Funds
Description of Nonmajor Governmental Funds 121
Combining Balance Sheet 123
Combining Statement of Revenues, Expenditures and Changes in Fund Balances 130 Budgetary Comparison Schedules
Lighting Maintenance Special Revenue Fund 137
Retirement Special Revenue Fund 138
Public Art Special Revenue Fund 139
Business Improvement District Special Revenue Fund 140
Enterprise Zone Program Special Revenue Fund 141
Impact Fees Special Revenue Fund 142
Urban Farming Special Revenue Fund 143
Air Quality Improvement Special Revenue Fund 144
Gas Tax Special Revenue Fund 145
SB 1 Special Revenue Fund 146
Prop A Special Revenue Fund 147
Prop C Special Revenue Fund 148
Measure M Special Revenue Fund 149
Measure R Special Revenue Fund 150
Transportation Special Revenue Fund 151
HSIP Special Revenue Fund 152
Litter Abatement Special Revenue Fund 153
Safe Clean Water Special Revenue Fund 154
Capital Improvement Capital Projects Fund – Major Fund 155 Measure M Bond Capital Projects Fund 156
2017 Lease Revenue Bonds (LRB) Capital Projects Fund 157 2019 Lease Revenue Bonds (LRB) Capital Projects Fund 158 2020 Lease Revenue Bonds (LRB) Capital Projects Fund 159 City of Lynwood Debt Service Fund 160
Internal Service Funds
Description of Internal Service Funds 161
Combining Statement of Net Position 162
Combining Statement of Revenues, Expenses and Changes in Net Position 163 Combining Statement of Cash Flows 164
STATISTICAL SECTION
Description of Statistical Section Contents 165
Net Position by Component - Last Ten Fiscal Years 166
Changes in Net Position - Last Ten Fiscal Years 168
Fund Balances of Governmental Funds - Last Ten Fiscal Years 170 Changes in Fund Balances of Governmental Funds - Last Ten Fiscal Years 172 Tax Revenues by Source - Governmental Activities - Last Ten Fiscal Years 174 Assessed Value - Last Ten Fiscal Years 175
64 City of Lynwood
Table of Contents
PAGE
STATISTICAL SECTION (CONTINUED)
Direct and Overlapping Property Tax Rates - Last Ten Fiscal Years 177 Principal Property Taxpayers – Current Year and Ten Years Ago 179 Property Tax Levies and Collections - Last Ten Fiscal Years 180 Taxable Sales by Category – Last Ten Fiscal Years 181
Direct and Overlapping Sales Tax Rates – Last Ten Fiscal Years 183 Principal Sales Tax Remitters – Current and Nine Years Ago 184 Ratios of Outstanding Debt by Type - Last Ten Fiscal Years 185 Direct and Overlapping Government Activities Debt - As of June 30, 2024 187 Legal Debt Margin Information - Last Ten Fiscal Years 188 Pledged Revenue Coverage – Last Ten Fiscal Years 190
Demographic and Economic Statistics - Last Ten Fiscal Years 192 Principal Employers – Current Year and Nine Years Ago 193 Full-Time Equivalent City Employees by Function / Program - Last Ten Fiscal Years 194 Operating Indicators by Function/Program - Last Ten Fiscal Years 196 Capital Assets by Function - Last Ten Fiscal Years 198
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66 INTRODUCTORY SECTION
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March 13, 2025
Honorable Mayor, Members of the
City Council and the Citizens of the
City of Lynwood, California
We are pleased to present to you and the Lynwood residents the City's Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2024. The ACFR presents the City's financial position and changes therein, for its various funding sources.
The basic financial
statements and supporting schedules have been prepared in accordance with Generally Accepted Accounting Principles in the United Stat es of America (US GAAP), as established by the Governmental Accounting Standards Board (GASB).
Our Annual Comprehensive Financial Report is presented in three sections:
The Introductory Section includes management's transmittal letter and the organizational structure and profile of the City.
The Financial Section is prepared in accordance with the GASB Statement No. 34 (GASB 34) requirements and contains the Management's Di scussion and Analysis (MD&A), the Basic Financial Statements including Notes, the Required Supplemental Information (RSI), and additional statements and schedules for nonmajor governmental funds and internal service funds.
The Basic Financial Statements include the governm ent-wide financial statements that present an overview of the City's entire financial operat ions, and fund financial statements that present the financial information of each of the City's major funds, as well as non-major governmental funds. Also, included in this section is the Independent Auditor's Report.
The Statistical Section is prepared in acco rdance with GASB Statement No. 44 (GASB 44) requirements and reflects the Economic Condition of Reporting entities. It includes ten years of financial data, debt computations, and a variety of demographic, economic and social information that may be of interest to potential investors in the City's bonds and to other interested readers.
This report consists of management's representations concerning the finances of the City.
Consequently, management assumes full responsibility for the completeness and reliability of the information presented in this report. To provide a reasonable basis for making these representations, management of the City has es tablished a comprehensive internal control framework that is designed to protect the government's assets from loss, theft, or misuse, to compile sufficient reliable information for the preparation of the City's financial statements in conformity with US GAAP, and to comply with other laws and regulations. Because the cost of internal controls should not outweigh their benefits, the City's comprehensive framework of internal controls was designed to provide reasonable, rather than absolute, assurance that the financial statements will be free from material misstatements. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects.
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The City's financial statements have been audited by an independent auditing firm that is licensed as certified public accountants, Vasquez & Company, LLP (Vasquez). The objective of the independent audit was to provide reasonable assurance that the financial statements of the City for the fiscal year ended June 30, 2024, are free of material misstatement. The independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified opinion on the City's finan cial statements for the fiscal year ended June 30, 2024. The Independent Auditor's Report is presented as the first component of the Financial Section of this report.
GASB 34 requires that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City's MD&A can be found immediately following the report of the independent auditor.
The Statistical Section has been updated to reflect GASB 44, Economic Condition of Reporting.
The Statistical Section can be found following the Financial Section.
THE REPORTING ENTITY AND ITS SERVICES
The City has defined its reporting entity in accordance US GAAP, which provide guidance for determining which governmental activities, organizations, and functions should be included in the reporting entity. The Basic Financial Statements pres ent information on the activities of the City and its component units.
US GAAP requires that the component units be separated into either blended or discretely presented units for reporting purposes. The City does not have any discretely presented component units, but it presents blended units. These incl ude the Lynwood Public Financing Authority (LPFA), the Lynwood Utility Authority (LUA), and the Lynwood Housing Authority (LHA).
The Lynwood Unified School District was not included due to its limited relationship with the City.
The City is also represented by a number of regional agencies that are excluded from the City's reporting entity.
PROFILE OF THE GOVERNMENT
The City of Lynwood voters approved the City's incorporation on July 1, 1921. The City is situated approximately 13 miles south of downtown Los Angeles at the intersection of the 710 and 105 freeways
in Los Angeles County. The City has grown from an agricultural area in the early 1900's to its present residential and growing industrial and commercial importance. The City covers 4.9 square miles and serves a residential population of over 66,271.
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The City Council is the governing body of the City and is comprised of five elected officials. All Council members are elected at large to serve four-year terms. One of the Council members is elected by the other four members to be the Mayor for the upcoming year. The City Council appoints a City Manager who carries out the City Co uncil policies and provides administrative direction to the City.
The City provides a full range of services contemplated by statute, including those functions delegated to cities under state law. These services include public safety (which are contracted to Los Angeles County), public works, recreational and cultural activities, public improvements, planning, zoning, and general administrative services. Other services - such as sanitation, flood control and transportation - are provided by special districts with the City being a member.
The City's budget is a detailed operating plan that identifies estimated costs in relation to estimated revenues. The budget includes: (1) the programs, services, and activities to be carried out during the fiscal year; (2) the estimated revenue available to finance the operating plan; and (3) the estimated spending requirements for the operating plan. The budget represents a process wherein policy decisions by the City Council are adopted, implemented and controlled. The Notes to the Required Supplementary Information summarize the budgetary roles of various City officials and the timetable for their budgetary actions according to City policy.
City policy prohibits expending monies for which there is no legal appropriation. The City Manager is authorized to administer the budget and may tr ansfer monies from one activity, program, or project to another within the same fund and department. Supplemental appropriations or transfer of appropriations that affect a fund or department level budget must be approved by the City Council.
The City also maintains an encumbrance accounting system to provide budgetary controls for governmental funds. Encumbrances, which would result in an overrun of an account balance, are suspended until additional funding is made available via budget change requests or are withdrawn
due to a lack of funding. Encumbrances outstanding at June 30th and carried forward are reported as reservations of the appropriate governmental fund's fund balance. They represent the estimated amount of the expenditure ultimately to result if unperformed contracts in-process at fiscal year-end are completed. They do not constitute expenditures or liabilities.
FACTORS AFFECTING FINANCIAL CONDITION
The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which the City operates.
ECONOMIC CONDITION
Over the past year, due to inflation and increased interest costs, several business sectors in Lynwood have faced challenges. Building and construction activity slowed down, which has led to a decline in building material and other construction related businesses. Drug stores, fuel and service stations have both seen reduced sales, while food and restaurants experienced flat or minimum growth, as diners chose more affordable places to eat.
Economically, the local economy continues to recover and remain in the low to moderate territory.
Cautionary factors such as inflationary pressures and continued recessionary fears remain concerns that may affect economic growth. Global supply chain issue also remains a concern, as 71 iv
well as the continuing events in Europe and the Middle East. Overall, the outlook continues to be low to moderate growth, but staff continues to monitor the City’s exposure to these changing economic conditions. The Fiscal Year (FY) 2024-25 budget was developed in the context of the City gradually recovering from the impact of the pandemic, but still facing inflationary and recessionary challenges.
The 2024-25 budget was very challenging as the City faced a wide spectrum of cost increases, e.g., public safety and insurances. Revenue growth has been slow, the City has to balance the need of maintaining City services and infrastructure with fiscal conservancy and reserve fund replenishment.
The FY 2024-25 City-wide budget contained revenues of $104.9M, transfer-in of $55.1M, expenditures of $149.0M, and transfers-out of $55.1M with all funds included.
The General Fund FY 2024-25 budget includes $54.2M in recommended expenditures and transfers to other funds. Personnel costs, which include salaries and benefits, represent $9.3M of the total expenditures. Operational costs, which include materials, services and supplies, account for $44.9M of the budget, which included $7.1M transfers out to other funds.
Overall FY 2024-25 General Fund expenditures of $54.2M have decreased by 0.7% or $0.4M from the FY 2023-24 budget of $54.6M. Of which, contractual service costs related to Public Safety (Los Angeles County Sherriff and Fire) ac tually increased 3.5% from $22.8M to $23.6M.
The decrease in total General Fund expenditures represents the City’s effort for tight cost control over General Fund Expenditures, such as the creation of internal service fund charge back accounts to minimize the use of General Fund.
Despite these limitations to the General Fund, the FY 2024-25 budget marked the fifth year since the start of the COVID-19 pandemic, that the City has been able to balance the budget without using its current balance on-hand (often called "reserve fund"). The FY 2024-25 budget did so without any decreases in service delivery or further attrition to the number of City Employees.
The General Fund reserves has almost doubled from $8.8M in FY 2022-23 to $17.0M in FY 2024- 25, which has risen in accordance to the City’s Management, Budget & Reserve Policy adopted on October 28, 2024. However, as the City faces rising costs and continued uncertainties of the global and local economies, continued revenue enhancement and cost controls are important in regards to prudent long-term financial planning.
The City has recently approved a five-year water and sewer rate increase plan that went into effect in FY 2023-24. However, as the first rate increase was implemented late in the fiscal year in March 2024, the water and sewer revenue in FY 2023-24 are only slightly higher than FY 2022- 23, but expenses have been increasing in faster pace. The total FY 2024-25 operating expense budget for the Water Fund is $13.9 M, which is $3.8M over the $11.7M in operating revenue budget.
The Capital Improvement Project (“CIP”) total proposed budget is $44.7M that contains new and carryover projects.
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CASH MANAGEMENT POLICIES AND PRACTICES
To maximize interest income and maintain liquidity, the City pools operating cash for its various funds and invests the monies in securities of various maturities. City and Agency funds are invested pursuant to the City's Investment Policy in compliance with Section 53601 of the California Government Code. The investment types authorized for investment by the City include the Local Agency Investment Fund (State Pool), U.S. Treasury Obligations, U.S. Government Agency Issues, Certificates of Deposit, Commercial Paper, as well as Mutual Funds and Money Market Funds comprised of eligible securities. The objectives of the Investment Policy are to preserve capital, provide adequate liquidity to meet cash disbursements of the City, and to achieve market- average rates of return. Investments are secured by collateral as required under law, with maturity dates staggered to ensure that cash is available as needed. The City Council receives regular reports from the City Treasurer on the performance of the City's pooled investment program.
Investment of debt proceeds held by bond trustees are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City's Investment Policy.
The City manages its exposure to interest rate risk by purchasing a combination of shorter term and longer-term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations.
RISK MANAGEMENT
To finance its risks of general liability and worker's compensation, the City maintains its membership in the Independent Cities Risk Management Authority (ICRMA). The ICRMA is a Joint Powers Authority (JPA), which consists of neighboring southern California cities, whose purpose is to arrange and administer programs for the pooling of self-insured losses, to purchase excess insurances or reinsurances, and to arra nge for group-purchased insurance for property, liability, flood, cyber, workers’ compensation and other coverage.
The City participates in programs for worker's compensation and general liability coverage administered by ICRMA. The Worker’s Comp limit is the California Statutory Limit for Worker’s Comp claims or maximum limit allowed by law, with the City's retention of $500,000 for each occurrence. General liability coverage is $35,000,000 with the City’s retention set at $250,000 for each occurrence. The City Attorney believes that the above designation is adequate to cover any losses. Costs related to litigation of claims are expensed as incurred.
In addition, the City participates in the ICRMA Property Insurance Program including earthquake and flood insurance. The “all risk”, including earthquake and flood, property coverage is $250,000,000 with $10,000 for each occurrence deductible. The property coverage limit is shared by 13 other member cities. Premiums for these policies are paid annually and not subject to retroactive adjustments.
During the past five fiscal (claim) years, none of the above programs of protection have had statements or judgments that exceeded pooled or insured coverage nor have there been any significant reductions in pooled or insured liability coverage from the prior year.
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LONG-TERM FINANCIAL PLANNING
The City continues to explore additional sources of revenue to meet expectations for community services. The City utilizes a combination of expenditure spending limits, budget cuts, some increases in fees and the prudent use of reserves to balance each year's budget. The City must continue to be conservative and manage its fiscal affairs in a prudent manner.
ACKNOWLEDGMENTS
We would like to express our sincere appreciation to the entire staff of the Finance and Administration Department and most particularly the Accounting staff, for their professionalism, dedication, and efficiency in the preparation of this report. We also thank Vasquez for their assistance and guidance. Finally, we would like to thank the Mayor and members of the City Council for their interest and continued support planning and conducting the City’s financial operations in a responsible and progressive manner.
Respectfully submitted,
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Finance & Administration Department
Organizational Chart
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City of Lynwood
Elected Officials as of June 30, 2024
Mayor Jose Luis Solache
Mayor Pro-Tem Rita Soto
Council Member Gabriela Camacho
Council Member Oscar Flores
Council Member Juan Munoz-Guevara
City Treasurer Luis Cuellar
City Clerk Maria Quinonez
Administrative Staff as of June 30, 2024
Interim City Manager Julian Lee
Director of Finance & Administration Harry Wong
Sheriff Captain Edmundo F. Torres
Acting Assistant Chief Travon Espy
Acting Director of Public Works Julian Lee
Director of Community Development Gabriel Linares
Director of Technology Services Peter Han
Director of Human Resources Patrick Matson
Director of Recreation & Community Services Mark Flores
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78 FINANCIAL SECTION
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Independent Auditor’s Report
The Honorable Mayor and the Members of the City Council City of Lynwood, California
Report on the Audit of the Financial Statements
Opinions
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 Lynwood, California (the City), as of and for the year ended June 30, 2024, and the related notes to financial statements, which collectively comprise the City's basic financial statements, as listed in the table of contents.
In our opinion, the accompanying 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 Lynwood, California, as of June 30, 2024, and the respective changes in fi nancial position, and where applicable, cash flows thereof for the year then ended in accordance with accounting principl es 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 (Government Auditing Standards).
Our responsibilities under those standar ds 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 audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
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Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementatio n, 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 financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.
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 opinions. Reasonable assurance is a high level of assur ance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with 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, intentiona l omissions, misrepresentations, or the override of internal control. Misstatements are considered ma terial 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:
x Exercise professional judgment and maintain professional skepticism throughout the audit.
x 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.
x 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.
x 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.
x Conclude whether, in our judgment, there are conditi ons 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.
82 3
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.
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management's discussion and analys is on pages 5 through 15 and the required supplementary information on pages 103 through 12 0 be presented to supplement the basic financial statements.
Such information is the responsibility of managem ent and, although not a part of the basic financial statements, is required by the Go vernmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing t he 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 GA AS, which consisted of inquiries of management about the methods of preparing the information and comparing the in formation for consistency with management's responses to our inquiries, the basi c financial statements, and other knowledge we obtained during our audit of the bas ic financial statements. We do no t express an opinion or provide any assurance on the information be cause the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Supplementary Information
Our audit was conducted for the purpose of fo rming opinions on the fi nancial statements that collectively comprise the City’s basic financial statements. The combining and individual fund financial statements and budgetary comparison schedules as listed in the table of contents, are presented for purposes of additional analysis and are not a requir ed part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in t he audit of the basic financial statements and certain additional procedures, includi ng comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the supplementary information is fairly stated, in all material respects, in relation to the basic financial statements as a whole.
Other Information
Management is responsible for the other informat ion included in the annual report. The other information comprises the introductory and the stat istical sections but does not include the basic financial statements and our auditor’s report thereon. Our opinions on the basi c financial statements do 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 basic financial statements, our responsibility is to read the other information and consider whether a material incons istency exists between the other information and the basic 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. 83 4
Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards , we have also issued our report dated March 13, 2025, 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, contra cts, 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.
Glendale, California
March 13, 2025
84 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
5 The Management Discussion and Anal ysis of the City of Lynwood’s financial performance provides readers of the City’s financial statements with an overview and analysis of the City’s financial activities for the fiscal year ended June 30, 2024. We enc ourage readers to consider the information noted below in conjunction with the City’s financial statements, the transmittal letter and notes to the basic financial statements.
FINANCIAL HIGHLIGHTS
x The City’s net position equaled $226.1 million at June 30, 2024 , an increase of $7.5 million from the previous year. The net position is the amount by which total assets and deferred outflow of resources exceed total liabilities and deferred inflows of resources. The net position from governmental activities at June 30, 2024 was $223.6 million, and from business-type activities was $2.5 million.
x For FY 2023-24, the City total revenues from all sources were $85.3 million and total expenses were $77.8 million. Of the total revenues, pr ogram revenues were $28.6 million and general revenues were $56.7 million. Program revenues are broken into: Charges for services at $16.9 million and operating grants and contributions at $11.7 million. General revenues comprised primarily of property taxes of $19.9 million, sales and use taxes of $17.4 million, utility taxes in the amount of $6.3 million, franchise taxes, business license taxes and other taxes, and other revenues in the amount of $13.1 million.
x The City’s governmental funds reported a co mbined fund balance of $120.5 million at June 30, 2024. In FY 2023-24, expenditures and other financing uses exceeded the governmental revenue and other financing sources by $2.8 million. The decrease in the governmental funds balance was primarily attributed to net decreases in the General Fund of $(0.7) million, Housing Authority Special Revenue Fund of $( 2.0) million, Landscape Maintenance Special Revenue Fund of $(1.9) million, and Nonmajor Governmental Funds of $(1.8) million, which was offset by a net increase in Grants Special Revenue Fund of $3.6 million, resulting in negative net changes in Major and Nonmajor Governmental Funds of $(2.8) million.
ROAD MAP FOR THE FY 2023-2024 FINANCIAL AUDIT REPORT
The Management’s Discussion and Analysis section is intended to serve as the introduction to the City’s basic financial statements, which contain the basic financial data, as well as important supplemental information. Included in this report ar e the activities of t he City of Lynwood and its component units, the Lynwood Public Financing Au thority, the Lynwood Housing Authority and the Lynwood Utility Authority. The acti vities are presented using the integrated approach prescribed by the Government Accounting Standards Board (GASB) Statement No. 34. Also, according to GASB Statement No. 34, certain interf und receivables, payables, and other interfund activities have been eliminated from the financial statements as they do not have a net impact.
The City’s basic financial statements contain a number of elements. The Statement of Net Position and the Statement of Activities prov ide information about the activiti es of the City as a whole and present a longer-term view of the City’s finances. Fund Financia l Statements explain how these services were financed in the short-term as well as what remains for future spending. Fund financial statements also report the City’s operations in more detail than t he government-wide statements, by providing information about the City’s most signi ficant funds. The remaining statements provide financial information about activities for which the City acts solely as a trustee or agent for the benefit of those outside of the government.
85 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
6 Reporting the City as a Whole: Statement of Net Position and Statement of Activities
One of the most important questions on the City’s finances is, “Is the City as a whole better off or worse off as a result of this year’s activities?” The Statement of Net Position and the Statement of Activities report information about the City as a whole and a bout its activities in a way that helps answer this question. These statements include all assets and deferred outflows of resources and all liabilities and deferred inflows of resources using the accrual basis of accounting, which is similar to the accounting used by most private sector companies. All of the current year’s revenues and expenses are taken into account regardless of when cash is received or paid.
These two statements provide details on the City’s net position and c hanges affecting it. The City’s net position – total assets and deferred outflows of resources, net of total liabilities and deferred inflow of resources – is a way to measure the City’s overall financial health or financial position. Over time, increases or decreases in the City’s net position may be a good indicator of whether its financial health is improving or deteriorating. However, the need exists to consider other non-financial factors, such as changes in the City’s property tax base and the condition of the City’s roads, to assess the overall health of the City.
The Statement of Net Position and the Statement of Activities present information about the following:
x Governmental Activities - All of the City’s basic services are considered to be governmental activities, including general government, community development, public safety, public works and parks and recreation. Property taxes, sales taxes, charges for services, franchise fees and other similar revenue sources pay for most of these activities.
x Business-type Activities - All of the City’s functions that are intended to recover all or a significant portion of their costs through user fees and charges including water system, sanitary sewer activities, and transit activities.
x Component Units - The City’s governmental activities include the blending of the Lynwood Public Financing Authority and Lynwood Housing Au thority. Although legally separate, these “component units” are important because of the significance of their operational and financial relationship with the City. T he Lynwood Utility Authority is included in the business-type activities in the Statement of Net Position and Activities.
Reporting the City’s Most Significant Funds: Fund Financial Statements
The fund financial statements provi de detailed information about the most significant funds and not the City as a whole. Some funds are required to be established by State law and by bond covenants.
However, the City Council established many other funds to help control and manage money for specific purposes or to show that it is meeting legal responsi bilities for using certain taxes, grants, and other restricted sources. The City’s two kinds of f unds, governmental and propri etary, use different accounting approaches.
86 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
7 x 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 balance left at year-end that is available for spending. These funds are reported using an accounting method called the modified accrual basis of accounting, which measures cash and all other financial assets that can readily be converted to cash. The governmental fund statements provide a detailed short-term view of the City’s general government operations and the basic services it provides.
Governmental fund information helps to determine whether there are financial resources that can be spent in the near future to finance t he City’s programs. We describe the relationship (or differences) between governmental activities (reported in the Statement of Net Position and the Statement of Activities ) and governmental funds in th e reconciliation following the governmental fund financial statements.
x Proprietary Funds – The City maintains two different types of proprietary funds: enterprise funds and internal service funds. Enterprise f unds are used to report on the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for the operat ions of its water system, sanitary sewer activities and transit activities. Internal se rvice funds are an accounting device used to accumulate and allocate costs internally among t he City’s various functions. The City uses internal service funds to report activities that provide services for the City’s other programs and activities, such as the City’s Vehicl e & Equipment Maintenanc e/Replacement Fund, Information Technology Fund and Se lf-Insurance Fund. Individual fund data for the internal service funds is provided in the form of combining statements in this report.
Reporting the City’s Fiduciary Responsibilities: Fiduciary Fund
The City maintains a separate fund to report the acti vities of the Successor Agency to the Dissolved Redevelopment Agency. The Successor Agency is presented as a Private-purpose Trust Fund in the financial statements. The accounting used for fiduciary funds is much like that used for proprietary funds.
Notes to the Basic Financial Statements
The notes to the basic financial statements provide additional information that is important to obtain a full understanding of the data in the government-w ide and fund financial statements. The notes are located immediately following the basic financial statements.
Other information
In addition to the basic financial statement and accompanying notes, this report also presents certain required supplementary informat ion. The required supplementar y information may be found immediately following the notes to the basic financial statements. This section includes the schedule of changes in net pension liability and related ratios – miscellaneous plan, the schedule of the City’s proportionate share of the net pensi on liability – safety plan, the schedules of contribution, the schedules of changes in net OPEB liability and re lated ratios, and the budgetary comparison for the General Fund and major special revenue funds. T he combining statements for other governmental funds, the individual fund schedule, and the inte rnal service fund statements are presented immediately following the required supplementary information.
87 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
8 THE CITY AS A WHOLE
Table 1 provides a summary of the City’s net position for the Governmental and Business-Type Activities.
Table 2 reflects the change in the net position due to differences in actual revenues and expenses.
The City reports its sewer, water, and transportation activities as business-type activities.
The net position serves as an indicator of a government’s financial position over time. As of June 30, 2024, the City’s combined net position (governmen tal and business-type activities) totaled $226.1 million, up $7.5 million for the year.
Total assets were $450.7 million and deferred outflows of resources were $15.8 million. Total liabilities, including net pension and other postemployment benefits liabilities, were $230.5 million, and deferred inflows of resources were $9.8 million as of June 30, 2024.
The net position consists of three categories: net investment in capital assets, restricted, and unrestricted. The largest portion of the City’s net position, approximately $159.6 millio n at June 30, 2024, was the City’s investment in capital assets, including land, buildings, equipment, and infrastructure net of accumulated depreciation and amortization and related debt for acquiring these capital assets. Since the capital assets are used to provide services to citizens, they are not available to fund the City’s day-to-day activities.
The restricted net position total ed $82.5 million at J une 30, 2024. These are resources subject to external restriction limits on how they can be used. The restricted net position includes primarily grants, retirement/pension, various nonmajor special reve nue funds, debt service funds and capital projects funds.
The remaining unrestricted net pos ition was a deficit of $15.9 m illion. The primary reason for the negative unrestricted net position is the City’s pension liabilities and OPEB liabilities.
Governmental
activities
Business-type
activities Total
Governmental
activities
Business-type
activities Total
Current and other assets 185,324,296 $ 32,524,084 $ 217,848,380 $ 163,975,572 $ 36,737,696 $ 200,713,268 $ Capital assets 208,458,033 24,349,172 232,807,205 199,440,531 21,288,207 220,728,738 Total assets 393,782,329 56,873,256 450,655,585 363,416,103 58,025,903 421,442,006
Deferred outflows of resources 13,129,086 2,650,393 15,779,479 14,105,003 2,925,635 17,030,638 Current and other liabilities 46,964,246 2,353,092 49,317,338 22,424,487 2,329,648 24,754,135 Long-term Debt Outstanding 127,047,857 54,097,827 181,145,684 130,284,517 54,425,762 184,710,279 Total liabilities 174,012,103 56,450,919 230,463,022 152,709,004 56,755,410 209,464,414
Deferred inflows of resources 9,297,757 529,066 9,826,823 9,434,003 909,047 10,343,050 Net position:
Net investment in capital assets 158,628,357 935,770 159,564,127 150,116,255 (3,107,098) 147,009,157 Restricted 81,205,444 1,259,882 82,465,326 59,700,037 910,021 60,610,058 Unrestricted (16,232,246) 348,012 (15,884,234) 5,561,807 5,484,158 11,045,965 Total net position 223,601,555 $ 2,543,664 $ 226,145,219$ 215,378,099 $ 3,287,081 $ 218,665,180$ Summary of Net Position
Table 1
Fiscal year 2023-24 (CURRENT) Fiscal year 2022-23 (AS RESTATED) 88 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
9 The City’s overall net position at June 30, 2024, increased from $218.7 million, as restated, to $226.1 million. There is a surplus between the actual revenues of $85.3 million and the actual expenses of $77.8 million. As reflected in the above ta ble, the difference in revenue an d expenses is a surplus of $7.5 million. Governmental Activities resulted in a surplus of $7.2 million before transfers, and Business-type Activities had a surplus of $0.2 million before transfers.
The City’s FY2023-24 revenue decreased $15.7 million from $101.0 million to $85.3 million, which was primarily attributed to a $4.6 million decrease in charges for services and a decrease of $29.0 million in operating and capital grants received by the City, of fset by an overall increase of general revenue of $18.0 million. The substantial $29.0 million decrease in grant revenue was primarily due to the City’s receipt and spending of the non-recurring American Rescue Plan Act (ARPA) grant distribution in FY 2022-23. The increase in general revenues of $18.0 was due to increases in property taxes, sales and other taxes and revenues from the use of money an d property due to a combination of factors which include rising property values, higher sales transactions within the City and an increase in interest rates during the year which resulted in higher investment income.
City’s FY 2023-24 expenses increased by $11.0 million from $66.8 million to $77.8 million. The biggest increases were a $3.4 million increase in Public Safety, which was due to an increase in the contract service cost with the Los Angeles County Sheriff and Los Angeles County Fire, and $3.2 million in Community development, which was due to higher expenditures in post-COVID community rebuild.
Governmental
activities
Business-type
activities Total
Governmental
activities
Business-type
activities Total
Revenues
Program revenues
Charges for services 2,413,847 $ 14,437,523 $ 16,851,370 $ 7,307,948 $ 14,171,434 $ 21,479,382 $ Operating grants and contributions 11,732,271 - 11,732,271 33,621,978 - 33,621,978 Capital grants and contributions - - - 7,122,510 - 7,122,510 Subtotal 14,146,118 14,437,523 28,583,641 48,052,436 14,171,434 62,223,870 General revenues
Property Taxes 19,887,440 - 19,887,440 13,388,778 - 13,388,778 Sales and use taxes 17,433,441 - 17,433,441 13,528,574 - 13,528,574 Utility user tax 6,308,756 - 6,308,756 6,748,187 - 6,748,187 Franchise taxes 2,684,139 - 2,684,139 881,816 - 881,816 Business license taxes 1,109,123 - 1,109,123 763,394 - 763,394 Other taxes 4,818,393 - 4,818,393 862,142 - 862,142 Use of money and property 2,955,977 743,502 3,699,479 961,083 339,972 1,301,055 Miscellaneous 772,669 - 772,669 1,254,778 - 1,254,778 Subtotal 55,969,938 743,502 56,713,440 38,388,752 339,972 38,728,724 Total revenues 70,116,056 15,181,025 85,297,081 86,441,188 14,511,406 100,952,594 Expenses
General government 6,983,203 $ - 6,983,203 5,592,256 - 5,592,256 Public safety 20,749,951 - 20,749,951 17,304,975 - 17,304,975 Public works 17,566,243 - 17,566,243 16,877,372 - 16,877,372 Community development 10,580,665 - 10,580,665 7,331,130 - 7,331,130 Parks and recreation 4,739,717 - 4,739,717 3,774,275 - 3,774,275 Interest and fiscal charges 2,272,821 - 2,272,821 2,628,236 - 2,628,236 Water and Sewer - 14,924,442 14,924,442 - 13,332,901 13,332,901 Total expenses 62,892,600 14,924,442 77,817,042 53,508,244 13,332,901 66,841,145 Excess of revenue over expenses
before transfers 7,223,456 256,583 7,480,039 32,932,944 1,178,505 34,111,449 Transfers 1,000,000 (1,000,000) - 1,000,000 (1,000,000) - Total transfers 1,000,000 (1,000,000) - 1,000,000 (1,000,000) - Change in net position 8,223,456 (743,417) 7,480,039 33,932,944 178,505 34,111,449 Net position - beginning 215,378,099 3,287,081 218,665,180 181,445,155 3,108,576 184,553,731 Net position - ending 223,601,555 $ 2,543,664 $ 226,145,219$ 215,378,099 $ 3,287,081 $ 218,665,180$ Fiscal year 2023-24 (CURRENT) Fiscal year 2022-23 (AS RESTATED) Table 2
Change in Net Position
89 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
10 Governmental Activities
Table 3 presents the cost of each of the City’s Go vernmental Activities: general government, public safety, public works, community development, parks and recreation, and interest on long-term debt, along with each program’s net cost (total cost less revenues generated by the activities.) The net cost shows the financial burden that was placed on the City’s taxpayers by each of these functions.
In FY 2023-24, the cost of the City’s Governmental Activities amounted to $62.9 million, reflecting an increase of $9.4 million compared to the FY 2022-23 expenditure of $53.5 million. Concurrently, the program revenue generated by Governmental Activities decreased, falling by $34.0 million from $48.1 million in FY 2022-23 to $14.1 million in FY 2023-2 4. As a result of thes e respective changes in expenses and program revenues, the net cost of Governmental Activities amounted to $48.7 million in FY 2023-24, representing an in crease of $43.2 million compared to the net cost of $5.5 million recorded in FY 2022-23.
Overall, the cost of government in FY 2023-24 exceeded the program revenues generated to support it.
Expenses
Program
Revenues Net Expenses Expenses
Program
Revenues Net Expenses
Expenses:
General government 6,983,203 $ 1,596,807 $ (5,386,396) $ 5,592,256 $ 16,810,005 $ 11,217,749 $ Public safety 20,749,951 353,171 (20,396,780) 17,304,975 83,689 (17,221,286) Public works 17,566,243 5,726,688 (11,839,555) 16,877,372 22,456,202 5,578,830 Community development 10,580,665 5,936,189 (4,644,476) 7,331,130 8,433,070 1,101,940 Parks and recreation 4,739,717 533,263 (4,206,454) 3,774,275 269,470 (3,504,805) Interest and fiscal charges 2,272,821 - (2,272,821) 2,628,236 - (2,628,236) Total expenses 62,892,600 $ 14,146,118 $ (48,746,482) $ 53,508,244 $ 48,052,436 $ (5,455,808) $ Fiscal year 2023-24 (CURRENT) Fiscal year 2022-23 (AS RESTATED) Table 3
Net Cost of Services
Governmental A ctivities
90 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
11 BUSINESS-TYPE ACTIVITIES
Table 4 below reflects the cost of the City’s Business-Type Activities: water, sewer and transit, along with the program’s net cost:
In FY 2023-24, the cost of the water and sewer activities amounted to $14.9 million. Concurrently, the program revenue generated by these activities tota led $14.4 million, result ing in net expenses or operating loss of $0.5 million. The slight net loss is primarily attributed to higher water purchases and production costs, as well as reduced water consumption driven by the community’s water consumption efforts. This was partially offset by a water and sewer rate increase in March 2024, along with a decline in water bill delinquencies due to the easing of the impact of the COVID-19 pandemic on households.
FINANCIAL ANALYSIS OF THE CITY’S FUNDS
The City uses fund accounting to ensure and de monstrate compliance with finance-related legal requirements. The focus of the City’s governmenta l funds is to provide information on near-term inflows and outflows during the fiscal year and balances of spendable resources at the end of the fiscal year. Such information is useful in assessing the City’s financing requirements to meet the current needs. An unassigned fund balance may serve as a usef ul measure of the City’s net resources available for appropriations.
At fiscal year-end, the City’s governmental funds reported combined fund balances of $120.5 million, a $2.8 million decrease from the prio r fiscal year's fund balance of $ 123.3 million, as restated. This decrease was primarily driven by a $(0.7) million decrease in the General Fund, $(2.0) million decrease in the Housing Authority Special Revenue Fund, a $(1.9) million decrease in the Landscape Maintenance Special Revenue Fund, and $(1.8) mill ion decrease in nonmajor governmental funds, which was offset by a $3.6 million increase in the Grants Special Revenue Fund. The $0.7 million net decrease in the General Fund balance was attributed to a one-time transfer out to the Grants Special Revenue Fund to cover the write-off of uncollectible grant receivables.
The fund balance categories of governmental funds displayed $80.9 million in restricted fund balance, $11.1 million in committed fund bal ance, $28.1 million in assigned fu nd balance, and $0.4 million in unassigned fund balance. The unassigned amount comprised $9.8 mill ion from the General Fund, a negative $(7.9) million from the Landscape Maintenance Special Revenue Fund, and a negative $(1.4) million from the nonmajor governmental funds.
Expenses
Program
Revenues Net Revenues Expenses
Program
Revenues Net Revenues
Expenses:
Water and Sewer 14,924,442 $ 14,437,523 $ (486,919) $ 13,332,901$ 14,171,434 $ 838,533 $ Total expenses 14,924,442 $ 14,437,523 $ (486,919) $ 13,332,901$ 14,171,434 $ 838,533 $ Fiscal year 2023-24 (CURRENT) Fiscal year 2022-23 (AS RESTATED) Table 4
Business-Type Activities
Net Cost of Services
91 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
12 There are six major funds which are the Gener al Fund, Housing Author ity Special Revenue Fund, Landscape Maintenance Special Revenue Fund, Americ an Rescue Plan Special Revenue Fund, Grants Special Revenue Fund, and Capital Improvem ent Capital Projects Fund and twenty-five nonmajor governmental funds in the governmental funds.
General Fund is the primary operating f und of the City, financing a wi de range of services including public safety, public works, community development, park and recreation, and general administrative services. In FY 2023-24, General Fund revenues and other financing source s totaled $44.7 million, while expenditures and transfers out amounted to $45. 4 million. As a result, the total fund balance decreased from $49.9 million, as restated, to $49.2 million, representing a decrease of $0.7 million.
This $0.7 net decrease in fund balance was mainly attributed to $5.7 million transfers out. The $5.7 million transfers out include $3.8 million to the Grants Special Revenue Fund to cover the write-off of uncollectible grant receivables and the remainder to the three City reserve funds in order to increase the City’s reserve balances and enhance the City’s fiscal health.
Housing Authority Special Revenue Fund accounts for the financial activities of low and moderate- income housing fund in accordance with the applicable housing-related regulations. The housing fund received payments from Successor Agency ROPS pay ments to satisfy the obl igation related to the construction of low-moderate income housing units. The fund balance in FY 2023-24 was $26.8 million, a decrease of $2 .0 million from FY 2022-23. The housi ng fund paid the debt service for the housing revenue bonds but did not receive the allocated tax revenue payments during the year.
Landscape Maintenance Special Revenue Fund accounts for the financia l activities of the landscape maintenance special revenue fund. The f und balance in FY 2023-2 4 was negative $(7.9) million, a decrease of $1.9 million from FY 2022-23. The shortfall and growth of the fund deficit is because the district was first established in 1978, and the assessment rate has not been updated for decades, which does not fully cover the growing expenditures. The City will be conducting a rate study in late FY2024-25 and propose rate increases in FY2025-26 to reduce the shortfall and ultimately eliminate the fund deficit.
American Rescue Plan Special Revenue Fund accounts for the financial activities of the American Rescue Plan Act (ARPA) funds and expenditures. On March 10, 2021, ARPA was approved by the federal government, the plan provides stimulus to t he United States economy. The City is allocated $24.4 million. The first allocation of $12.2 mill ion was received in Augus t 2021 and the second was received in September 2022. In October 2021, the City adopted the Economic & Community Enhancement Plan to outline the spending plan which majority was in road, building, park, water and sewer infrastructure. The FY2023- 24 revenue amounted to $1.4 million with an expenditure of $1.4 million, which resulted in a $0 ending fund balance as of June 30, 2024.
Grants Special Revenue Fund accounts for the financial activities of federal and local grants of the City. In FY 2023-24, revenues and other financing so urces totaled $12.1 million, while expenditures and transfers out amounted to $8.5 million. As a result, the total fund balance increased $3.6 million from $(2.0) million, as restated, to $1.5 million. The increase in fund balance was due to a transfer from the General Fund to remediate the deficit from the prior year.
92 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
13 Capital Improvement Capital Project Fund accounts for activities re lated to capital improvement projects within the City. This fund is primarily funded through various sources, including special grant funds, bond proceeds, and local returns. These f unds are dedicated to financing essential infrastructure projects such as roads, bridges, public buildings, parks, and other major investments aimed at improving the community's overall quality of life and infrastructure. The ending fund balance for this fund was $0.4 million. All of the expenditures reported during the year were funded by transfers from various funds that financed the projects reported on this fund.
General Fund Budgetary Highlights
In the final general fund budget for FY 2023-24, estimated revenues and other financing sources were projected at $42.1 million. However, the year-end actual revenues for the General Fund, including other financing sources, totaled $44. 7 million, exceeding the budget ed amount by $2.6 million. The variance in actual versus budgeted revenues was prim arily attributed to $0.7 million higher in fines, forfeitures and penalties revenue, $0.8 higher in charges for services, which show a rebound of business and community activities, and $0.9 million higher in use of money and property, which is driven by higher interest and rental revenues.
The adopted general fund expenditure (including trans fer out) budget for this fiscal year was $52.6 million. The final general fund budge t (including transfer out) was $46 .4 million, while the actual expenditures (including transfers out) totaled $45.4 million. The $1.0 million variance was due to citywide salary savings from vacant positions and other cost controls.
Capital Assets
At the end of Fiscal Year 2023-24, the City had $232.8 million invested in capital assets. Of this amount, $208.5 million is related to Governmental Activities and $24.3 million to Business-type Activities. These amounts represent an increase from the previous year (FY 2022-23) of $12.1 million, when the City’s overall capital assets were $220. 7 million, as restated, including $199.4 million in Governmental Activities and $21.2 million in Business-type Activities.
Additional information on the City’s Capital Assets can be found in t he notes to the basic financial statements (Note 8).
Governmental
activities
Business-type
activities Total
Governmental
activities
Business-type
activities Total
Capital assets not being
depreciated 92,717,355 $ 5,529,793 $ 98,247,148 $ 86,466,425 $ 2,878,306 $ 89,344,731 $ Capital assets, net of
accumulated depreciation 115,012,517 18,817,765 133,830,282 112,830,106 18,406,980 131,237,086 Intangible assets, net of
accumulated depreciation 728,161 1,614 729,775 144,000 2,921 146,921 Total 208,458,033 $ 24,349,172 $ 232,807,205 $ 199,440,531 $ 21,288,207 $ 220,728,738 $ Fiscal year 2023-24 (CURRENT) Fiscal year 2022-23 (AS RESTATED) Table 5
Capital Assets
93 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
14 Long-Term Debt
At fiscal year-end, the City’s governmental activities accounted for approxim ately $132.4 million in total long-term debt, which consist of revenue bonds, loans, lease payable, subscription payable claims payable, compensated absences, accrual for postemployment benefits and net pension liability.
Another $55.2 million in long term debt was outstanding for the business-type activities.
Additional information on the City’s long-term debt can be found in the notes to the basic financial statements (Note 9).
ECONOMIC FACTORS AND NEXT YEAR’S BUDGET
The City implemented a Two-Year Operating Budget for FY 2023-24 and FY2024-25. The fiscal year 2023-25 biennial budget was approved in June 2023, and the fiscal year 2024-25 (second year of the 2023-25 biennial budget) revised budget was ad opted in June 2024. The adopted revised General Fund operating revenue budget for FY 2024-25 is $40.9 million with an additional $6.2 million for non- operating transfers in for a total of $47.1 mil lion. The adopted revised General Fund operating expenditure budget for FY 2024-25 is $47.1 million wi th an additional $7.1 million for non-operating transfers out for a total of $54.2 million. The $7.1 million deficit is primarily due to $6.6 million transfers out to the reserve funds to enhance the City’s re serve balance and fiscal health. The $6.6 million transfers include $5.4 million trans fer to Retirement Reserve Fund, $0.5 million transfer to the Contingency Reserve Fund and $0.7 million transfer out to the Rainy Day Reserve fund.
Balance
July 1, 2023 Additions
Deletions/
Repayments
Balance
June 30, 2024
Due Within
One Year
Governmental Activities:
Compensated absences 1,620,890 $ 38,453 $ (161,649)$ 1,497,694 $ 374,424 $ Net pension liability 36,778,014 563,930 - 37,341,944 - Net OPEB liability 16,244,303 612,378 - 16,856,681 - Claims payable 4,824,000 206,000 - 5,030,000 1,143,638 Lease payable 41,237 594,304 (103,965) 531,576 120,976 Subscription liabilities 50,403 123,071 (54,444) 119,030 60,583 Loans, bonds and certificates 74,464,140 - (3,470,558) 70,993,582 3,623,029 Total 134,022,987 $ 2,138,136 $ (3,790,616)$ 132,370,507$ 5,322,650 $ Business-type Activities:
Compensated absences 367,410 $ 4,455 $ (64,688)$ 307,177 $ 76,796 $ Net pension liability 7, 594,569 - (279,314) 7,315,255 - Net OPEB liability 3, 191,331 1,040,712.00 - 4,232,043 - Lease payable 2,891 - (1,331) 1,560 1,337 Revenue bonds 44,387,745 - (1,012,820) 43,374,925 1,055,000 Total 55,543,946 $ 1,045,167 $ (1,358,153)$ 55,230,960 $ 1,133,133 $ Table 6
Outstanding Long-Term Debt
94 City of Lynwood
Management’s Discussion and Analysis (Unaudited)
Year ended June 30, 2024
15 The City’s budget was prepared using Zero Based Budgeting (ZBB). ZBB is an approach to budgeting in which each budgeted year’s activities are evalua ted in a self-contained fashion, with little or no weight given to the precedents of past year. City Manager have developed fiscal policies such as minimize use “one -time money” for ongoing operations, and provide departm ents a consistent and strategic approach in preparing Two-Year Operat ing Budget. Every department and function budget were analyzed and expenses justified. Departments need to ensure that they are spending within their means. The overall general fund revenues have continued to improve due the approved Measure PS sales taxes along with strong Bradley Burns sales tax growth. Costs to provide services to the community have also continued to increase due to rising personnel and pension cost. City continues to explore additional sources of revenue to meet ex pectations for community service, public safety and needed infrastructure and capital improvement.
The adopted revised operating budget for FY 2024-25 reflects City gradually recovering from the impact of the Covid-19 pandemic, but with the gl obal and local economy still under the clouds of various new uncertainties, such as the events in Europe, inflationary pressures and recessionary fears.
City made change in delivery of service models, de creasing staffing levels and consultant services.
The City is continuing to look in to ways to achieving fiscal sustainability by reducing expenses and address the City’s unfunded liabilities such as other post-employment benefits and retirement costs.
Overall, the economic outlook cont inues to be for low to moderate growth and staff continues to monitor the City’s exposure to the changing economic conditions.
CONTACTING THE CITY’S FINANCIAL MANAGEMENT
This Annual Comprehensive Financial Report is intende d to provide Lynwood citizens, taxpayers, customers, investors and creditors with a general ov erview of the City’s finances. If you have any questions about this report, or need additional fiscal information, contact the Department of Finance and Administration at 11330 Bullis Road, Lynwood, California, 90262, phone (310) 603-0220. 95
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96 BASIC FINANCIAL STATEMENTS
97 (This page intentionally left blank.)
98 GOVERNMENT-WIDE FINANCIAL STATEMENTS
99 City of Lynwood
Statement of Net Position
June 30, 2024
See notes to basic financial statements.
16 Governmental Business-Type
Activities Activities Total
ASSETS
Current assets
Cash and investments $ 86,754,784 $ 8,373,656 $ 95,128,440 Receivables
Accounts, net 4,566,527 2,956,226 7,522,753 Interest 410,487 64,883 475,370 Intergovernmental 4,175,946 - 4,175,946 Lease receivable, due in one year 141,526 - 141,526 Due from other funds 23,893,132 - 23,893,132 Prepaid items 25,267 64,902 90,169 Total current assets 119,967,669 11,459,667 131,427,336 Noncurrent assets
Restricted cash and investments
Held by City 7,334 - 7,334 Held by fiscal agent 39,261,522 21,064,417 60,325,939 Deposit in trust 300,000 - 300,000 Lease receivable, due in more than one year 5,109,890 - 5,109,890 Notes and loans receivable 20,677,881 - 20,677,881 Capital assets
Nondepreciable 92,717,355 5,529,793 98,247,148 Depreciable, net 115,012,517 18,817,765 133,830,282 Intangible assets, net 728,161 1,614 729,775 Total capital assets 208,458,033 24,349,172 232,807,205 Total noncurrent assets 273,814,660 45,413,589 319,228,249 Total assets 393,782,329 56,873,256 450,655,585
DEFERRED OUTFLOWS OF RESOURCES
Deferred loss on refunding - 158,548 158,548 Pensions related 10,021,657 1,711,693 11,733,350 Other postemployment benefits related 3,107,429 780,152 3,887,581 Total deferred outflows of resources 13,129,086 2,650,393 15,779,479 (Continued)
Primary Government
100
City of Lynwood
Statement of Net Position (Continued)
June 30, 2024
See notes to basic financial statements.
17 Governmental Business-Type
Activities Activities Total
LIABILITIES
Current liabilities
Accounts payable $ 8,628,102 $ 936,508 $ 9,564,610 Accrued liabilities 999,929 175,321 1,175,250 Retention payable 796,891 - 796,891 Deposits 3,535,908 108,130 3,644,038 Due to other funds 23,893,132 - 23,893,132 Advances from Successor Agency 957,380 - 957,380 Unearned revenue 2,830,254 - 2,830,254 Long-term liabilities - due within one year 5,322,650 1,133,133 6,455,783 Total current liabilities 46,964,246 2,353,092 49,317,338 Noncurrent liabilities
Long-term liabilities - due in more than one year 72,849,232 42,550,529 115,399,761 Net pension liability 37,341,944 7,315,255 44,657,199 Net other postemployment benefits liability 16,856,681 4,232,043 21,088,724 Total noncurrent liabilities 127,047,857 54,097,827 181,145,684 Total liabilities 174,012,103 56,450,919 230,463,022
DEFERRED INFLOWS OF RESOURCES
Pensions related 611,352 - 611,352 Other postemployment benefits related 2,107,329 529,066 2,636,395 Lease 6,579,076 - 6,579,076 Total deferred inflows of resources 9,297,757 529,066 9,826,823
NET POSITION
Net investment in capital assets 158,628,357 935,770 159,564,127 Restricted
Community development 34,325,173 - 34,325,173 Public works 12,878,352 - 12,878,352 Capital projects 24,090,096 - 24,090,096 Retirement 4,427,233 - 4,427,233 Debt service 5,184,590 1,259,882 6,444,472 Self-insurance 300,000 - 300,000 Unrestricted (16,232,246) 348,012 (15,884,234) Total net position $ 223,601,555 $ 2,543,664 $ 226,145,219 (Concluded)
Primary Government
101
City of Lynwood
Statement of Activities
Year ended June 30, 2024
See notes to basic financial statements.
18 Operating Capital
Charges for Grants and Grants and
Functions/Programs Expenses Services Contributions Contributions Governmental activities
General government $ 6,983,203 $ 186,961 $ 1,409,846 $ - Public safety 20,749,951 - 353,171 - Public works 17,566,243 724,845 5,001,843 - Community development 10,580,665 1,009,548 4,926,641 - Parks and recreation 4,739,717 492,493 40,770 - Interest and fiscal charges 2,272,821 - - - Total governmental activities 62,892,600 2,413,847 11,732,271 - Business-type Activities
Water and sewer 14,924,442 14,437,523 - - Total business-type activities 14,924,442 14,437,523 - - Total primary government $ 77,817,042 $ 16,851,370 $ 11,732,271 $ - (Continued)
Program Revenues
102
City of Lynwood
Statement of Activities (Continued)
Year ended June 30, 2024
See notes to basic financial statements.
19 Governmental Business-Type
Functions/Programs Activities Activities Total
Governmental activities
General government $ (5,386,396) $ - $ (5,386,396) Public safety (20,396,780) - (20,396,780) Public works (11,839,555) - (11,839,555) Community development (4,644,476) - (4,644,476) Parks and recreation (4,206,454) - (4,206,454) Interest and fiscal charges (2,272,821) - (2,272,821) Total governmental activities (48,746,482) - (48,746,482) Business-type Activities
Water and sewer - (486,919) (486,919) Total business-type activities - (486,919) (486,919) Total primary government (48,746,482) (486,919) (49,233,401) General revenues and transfers
General revenues
Taxes:
Property taxes 19,887,440 - 19,887,440 Utility users taxes 6, 308,756 - 6,308,756 Sales and use taxes 17,433,441 - 17,433,441 Franchise taxes 2,684,139 - 2,684,139 Business license taxes 1,109,123 - 1,109,123 Other taxes 4,818,393 - 4,818,393 Total taxes 52,241,292 - 52,241,292 Use of money and property 2,955,977 743,502 3,699,479 Miscellaneous 772,669 - 772,669 Total general revenues 55,969,938 743,502 56,713,440 Transfers 1,000,000 (1,000,000) -
Total general revenues and transfers 56,969,938 (256,498) 56,713,440 Change in net position 8,223,456 (743,417) 7,480,039 Net position, beginning of year, as previously reported 215,434,916 4,490,816 219,925,732 Restatements (56,817) (1,203,735) (1,260,552) Net position - beginning of year, as restated 215,378,099 3,287,081 218,665,180 Net position - end of year $ 223,601,555 $ 2,543,664 $ 226,145,219 (Concluded)
Net (Expense) Revenue and
Changes in Net Position
103
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104
FUND FINANCIAL STATEMENTS
105
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106
GOVERNMENTAL FUND FINANCIAL STATEMENTS
107
City of Lynwood
Balance Sheet
Governmental Funds
June 30, 2024
See notes to basic financial statements.
20 Housing Landscape American Rescue
General Authority Maintenance Plan Act Grants
ASSETS
Cash and investments $ 29,778,727 $ 4,555,063 $ - $ 2,993,251 $ 2,000,685 Receivables
Accounts and taxes, net 1,715,596 - - - 2,746,086 Interest 229,126 82,195 - - 5,528 Intergovernmental 2,648,471 - 16,531 - 380,887 Notes and loans receivables, net - 17,480,846 - - 3,197,035 Lease receivable 5,251,416 - - - - Due from other funds 22,595,638 - - - - Restricted cash and investments
Cash and investments 7,334 - - - - Cash and investments with fiscal agents 1,000,087 6,213,947 - - - Total assets $ 63,226,395 $ 28,332,051 $ 16,531 $ 2,993,251 $ 8,330,221
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ 3,755,805 $ 15,663 $ 179,502 $ 164,754 $ 890,565 Accrued liabilities 305,135 - 21,864 2,547 10,467 Retention payable - - 629 - - Deposits 1,689,357 1,501,551 - - - Due to other funds - - 7,751,462 - 5,580,213 Advances from Successor Agency 957,380 - - - - Unearned revenue - - - 2,825,950 - Total liabilities 6,707,677 1,517,214 7,953,457 2,993,251 6,481,245 Deferred inflows of resources
Lease 6,579,076 - - - - Unavailable revenue 716,105 - - - 302,513 Total deferred inflows of resources 7,295,181 - - - 302,513 Fund balances (deficits)
Restricted
Public works 1,007,421 - - - - Community development - 26,814,837 - - 1,546,463 Retirement - - - - - Capital projects - - - - - Debt service - - - - - Committed 10,379,444 - - - - Assigned 28,055,210 - - - - Unassigned 9,781,462 - (7,936,926) - - Total fund balances (deficits) 49,223,537 26,814,837 (7,936,926) - 1,546,463 Total liabilities, deferred inflows of
resources, and fund balances $ 63,226,395 $ 28,332,051 $ 16,531 $ 2,993,251 $ 8,330,221 (Continued)
Special Revenue Funds
108
City of Lynwood
Balance Sheet (Continued)
Governmental Funds
June 30, 2024
See notes to basic financial statements.
21 Capital Projects
Fund Nonmajor Total
Capital Governmental Governmental
Improvement Funds Funds
ASSETS
Cash and investments $ 2,920,245 $ 27,677,570 $ 69,925,541 Receivables
Accounts and taxes, net 1,476 103,362 4,566,520 Interest - 86,408 403,257 Intergovernmental - 1,130,057 4,175,946 Notes and loans receivables, net - - 20,677,881 Lease receivable - - 5,251,416 Due from other funds 1,297,494 - 23,893,132 Restricted cash and investments
Cash and investments - - 7,334 Cash and investments with fiscal agents - 32,047,488 39,261,522 Total assets $ 4,219,215 $ 61,044,885 $ 168,162,549
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ 2,981,430 $ 555,478 $ 8,543,197 Accrued liabilities - 33,533 373,546 Retention payable 796,262 796,891
Deposits - 345,000 3,535,908 Due to other funds - 9,459,230 22,790,905 Advances from Successor Agency - - 957,380 Unearned revenue - 666 2,826,616 Total liabilities 3,777,692 10,393,907 39,824,443 Deferred inflows of resources
Lease - - 6,579,076 Unavailable revenue - 230,750 1,249,368 Total deferred inflows of resources - 230,750 7,828,444 Fund balances (deficits)
Restricted
Public works - 11,870,931 12,878,352 Community development - 5,963,873 34,325,173 Retirement - 4,427,233 4,427,233 Capital projects 441,523 23,648,573 24,090,096 Debt service - 5,184,590 5,184,590 Committed - 767,318 11,146,762 Assigned - - 28,055,210 Unassigned - (1,442,290) 402,246
Total fund balances (deficits) 441,523 50,420,228 120,509,662 Total liabilities, deferred inflows of
resources, and fund balances $ 4,219,215 $ 61,044,885 $ 168,162,549 (Concluded)
109
City of Lynwood
Reconciliation of the Governmental Funds Balance Sheet to the Government-Wide Statement of Net Position
June 30, 2024
See notes to basic financial statements.
22 Total fund balances - total governmental funds 120,509,662$ Amounts reported for governmental activities in the statement of net position are different because:
Nondepreciable assets 92,717,355$
Depreciable and amortizable assets, net 115,740,678
Less: Amount reported in Internal Service Fund (709,006) 207,749,027 1,249,368
Compensated absences (1,497,694)$
Revenue bonds, certificates, loans, lease and subscription payable (71,128,057) (72,625,751) Net pension liability (37,341,944)$
Deferred outflows of resources 10,021,657
Deferred inflows of resources (611,352) (27,931,639) Net OPEB liability (16,856,681)$
Deferred outflows of resources 3,107,429
Deferred inflows of resources (2,107,329) (15,856,581) (563,535)
11,071,004
Net position of governmental activities 223,601,555$
Net OPEB liability and related deferred outflows and inflows of resources are not due and payable in the current period; therefore, are not reported as government funds' liabilities.
They are reported in the Statement of Net Position.
Internal service funds are used by management to charge the costs of certain activities, such as self-insurance, to individual funds. The assets and liabilities of the internal service funds are added to the statement of net position.
Amount reported in government-wide statement of position:
Accrued interest payable due on long-term debt not reported in the governmental funds.
Capital assets used in governmental activities are not current financial resources and therefore are not reported in governmental funds. Those assets consist of:
Unavailable revenues are not available to pay for current period expenditures and therefore are deferred in the funds but recognized as revenue in the Statement of Activities.
Long-term liabilities are not due and payable in the current period and therefore, are not reported in the governmental funds. Governmental funds report the effect of premiums, discounts and gains or losses on debt refundings when the debt is first issued, whereas these amounts are deferred and amortized in the Statement of Activities.
Net pension liability and related deferred outflows and inflows of resources are not due and payable in the current period; therefore, are not reported as government funds' liabilities.
They are reported in the Statement of Net Position.
110
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111
City of Lynwood
Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds
Year ended June 30, 2024
See notes to basic financial statements.
23 Housing Landscape American Rescue
General Authority Maintenance Plan Act Grants
REVENUES
Taxes $ 36,338,297 $ - $ 960,278 $ - $ - Licenses and permits 996,831 - - - - Fines, forfeitures and penalties 1,592,072 - - - - Use of money and property 1,812,185 264,420 111,894 - 16,148 Intergovernmental 200,385 - - 1,409,846 8,706,882 Charges for services 2,057,467 - - - - Miscellaneous 633,685 - - - 829,075 Total revenues 43,630,922 264,420 1,072,172 1,409,846 9,552,105
EXPENDITURES
Current
General government 3,904,402 - - 1,388,346 - Public safety 21,040,209 - - - 113,947 Public works 3,649,244 - 2,945,280 - 15,141 Community development 5,810,997 52,155 - - 4,414,471 Parks and recreation 4,590,986 - - - 88,734 Capital outlay 667,147 - - - 28,000 Debt service
Principal retirement 43,489 1,690,000 - 18,450 18,299 Interest and fiscal charges 2,496 496,515 - 3,050 387 Total expenditures 39,708,970 2,238,670 2,945,280 1,409,846 4,678,979
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 3,921,952 (1,974,250) (1,873,108) - 4,873,126
OTHER FINANCING SOURCES (USES)
Long-term debt issuance - SBITA 123,071 - - - - Transfers in 1,008,190 - - - 2,530,150 Transfers out (5,729,095) - - - (3,830,275) Total other financing sources (uses) (4,597,834) - - - (1,300,125) CHANGES IN FUND BALANCES (675,882) (1,974,250) (1,873,108) - 3,573,001
FUND BALANCES (DEFICITS)
Fund balances (deficits), July 1, as previously
reported 48,481,419 29,639,719 (6,063,818) - (1,528,844) Restatements 1,418,000 (850,632) - - (497,694) Fund balances (deficits), July 1, as restated 49,899,419 28,789,087 (6,063,818) - (2,026,538) End of year $ 49,223,537 $ 26,814,837 $ (7,936,926) $ - $ 1,546,463 (Continued)
Special Revenue Funds
112
City of Lynwood
Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued) Governmental Funds
Year ended June 30, 2024
See notes to basic financial statements.
24 Capital Projects
Fund Nonmajor Total
Capital Governmental Governmental
Improvement Funds Funds
REVENUES
Taxes $ - $ 13,867,317 $ 51,165,892 Licenses and permits - 112,292 1,109,123 Fines, forfeitures and penalties - - 1,592,072 Use of money and property - 739,111 2,943,758 Intergovernmental - 4,534,115 14,851,228 Charges for services - 520,221 2,577,688 Miscellaneous - 15,913 1,478,673 Total revenues - 19,788,969 75,718,434
EXPENDITURES
Current
General government - 834,745 6,127,493 Public safety - 649,720 21,803,876 Public works 35,000 8,122,828 14,767,493 Community development - 812,736 11,090,359 Parks and recreation - 299,454 4,979,174 Capital outlay 12,633,564 87,409 13,416,120 Debt service
Principal retirement - 1,794,786 3,565,024 Interest and fiscal charges - 2,174,044 2,676,492 Total expenditures 12,668,564 14,775,722 78,426,031
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES (12,668,564) 5,013,247 (2,707,597)
OTHER FINANCING SOURCES (USES)
Long-term debt issuance - SBITA - - 123,071 Transfers in 12,668,564 4,157,915 20,364,819 Transfers out - (11,013,086) (20,572,456) Total other financing sources (uses) 12,668,564 (6,855,171) (84,566) CHANGES IN FUND BALANCES - (1,841,924) (2,792,163)
FUND BALANCES (DEFICITS)
Fund balances (deficits), July 1, as previously
reported 441,523 52,262,152 123,232,151 Restatements - - 69,674 Fund balances (deficits), July 1, as restated 441,523 52,262,152 123,301,825 End of year $ 441,523 $ 50,420,228 $ 120,509,662 (Concluded)
113
City of Lynwood
Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances to the Government-Wide Statement of Activities Year ended June 30, 2024
See notes to basic financial statements.
25 (2,792,163)$
Amounts reported for governmental activities in the Statement of Activities are different because:
Capital outlay expenditures 13,399,251$
Depreciation and amortization expense, net of $207,319 reported in Internal Service Funds (4,794,105) 8,605,146 (5,602,378)
Issuance of debt - SBITA (123,071)$
Principal repayments 3,565,021 3,441,950
Interest on bonds 434,509$
Pension expense (1,730,228)
OPEB expense 1,879,707
Net change in compensated absences 123,196 707,184 Amortization of debt premium 40,481$
Amortization of debt discount (54,709)
Amortization of deferred amount on refunding (16,612) (30,840) 3,894,557
Change in net position of governmental activities 8,223,456$ Internal service funds are used by management to charge the costs of certain activities, such as vehicle, information technology, self-insurance, and facility maintenance to individual funds.
The net revenues of the internal service funds are reported with governmental activities.
Changes in fund balances - total governmental funds
Governmental funds report capital outlays as expenditures. However, in the Statement of Activities, the cost of those assets is allocated over the estimated useful lives as depreciation expense. This is the amount by which capital expenditures exceeded depreciation in the current period:
Revenues that are measurable but not available and are reported as unavailable revenue under the modified accrual basis of accounting in the governmental funds.
Proceeds from long-term debt provided current financial resources to governmental funds, but issuing debt increased long-term liabilities in the Government-Wide Statement of Net Position.
Repayment of principal was an expenditure in the governmental funds, but the repayment reduced long-term liabilities in the Government-Wide Statement of Net Position.
Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore are not reported as expenditures in the governmental funds:
Under the modified accrual basis of accounting used in the governmental funds, expenditures are not recognized for transactions that are not normally paid with expendable available financial resources. In the Statement of Activities, however, which is presented on the accrual basis, expenses and liabilities are reported regardless of when financial resources are available:
114
PROPRIETARY FUND FINANCIAL STATEMENTS
115
City of Lynwood
Statement of Net Position
Proprietary Funds
June 30, 2024
See notes to basic financial statements.
26 Business-Type Governmental
Activities Activities
Water and
Sewer Enterprise Internal
Funds Service Funds
ASSETS
Current Assets
Cash and investments $ 8,373,656 $ 16,829,243 Receivables
Accounts, net 2,956,226 7
Interest 64,883 7,230
Prepaid items 64,902 25,267
Total current assets 11,459,667 16,861,747
Noncurrent assets
Restricted cash and investments
Held by fiscal agents 21,064,417 -
Deposit in trust - 300,000
Capital assets
Capital assets, not being depreciated 5,529,793 - Capital assets, being depreciated, net 18,817,765 709,006 Intangible asset, being amortized, net 1,614 - Total capital assets 24,349,172 709,006
Total noncurrent assets 45,413,589 1,009,006
Total assets 56,873,256 17,870,753
DEFERRED OUTFLOWS OF RESOURCES
Deferred loss on refunding 158,548 -
Pensions related 1,711,693 -
Other postemployment benefits related 780,152 - Total deferred outflows of resources 2,650,393 - Total assets and deferred outflows of resources $ 59,523,649 $ 17,870,753 (Continued)
116
City of Lynwood
Statement of Net Position (Continued)
Proprietary Funds
June 30, 2024
See notes to basic financial statements.
27 Business-Type Governmental
Activities Activities
Water and
Sewer Enterprise Internal
Funds Service Funds
LIABILITIES
Current liabilities
Accounts payable $ 936,508 $ 84,905
Accrued expenses 48,114 62,848
Accrued interest 127,207 -
Deposits 108,130 -
Unearned revenues - 3,638
Due to other funds - 1,102,227
Compensated absences, due within one year 76,796 - Claims payable, due within one year - 1,143,639 Lease payable, due within one year 1,337 110,746 Revenue bonds payable, due within one year 1,055,000 - Total current liabilities 2,353,092 2,508,003
Noncurrent liabilities
Compensated absences, due in more than one year 230,381 - Claims payable, due in more than one year - 3,886,361 Lease payable, due in more than one year 223 405,385 Revenue bonds payable, due in more than one year 42,319,925 - Net pension liabilities 7,315,255 -
Net other postemployment benefits liab ilities 4, 232,043 - Total noncurrent liabilities 54,097,827 4,291,746 Total liabilities 56,450,919 6,799,749
DEFERRED INFLOW OF RESOURCES
Other postemployment benefits related 529,066 - Total deferred inflows of resources 529,066 - Total liabilities and deferred inflows of resources 56,979,985 6,799,749
NET POSITION
Net investment in capital assets 935,770 192,875 Restricted
Debt service 1,259,882 -
Self-insurance - 300,000
Unrestricted 348,012 10,578,129
Total net position $ 2,543,664 $ 11,071,004
(Concluded)
117
City of Lynwood
Statement of Revenues, Expenses, and Changes in Net Position Proprietary Funds
Year ended June 30, 2024
See notes to basic financial statements.
28 Business-Type Governmental
Activities Activities
Water and
Sewer Enterprise Internal
Funds Service Funds
OPERATING REVENUES
Sales and service charges $ 14,437,523 $ 10,775,957 Total operating revenues 14,437,523 10,775,957
OPERATING EXPENSES
Administration 2,317,872 -
Insurance - 3,121,706
Claims - 3,228,158
Water utility 8,321,293 -
Sewer utility 1,999,937 -
Vehicle & equipment maintenance - 1,530,529 Depreciation and amortization 685,213 207,319 Total operating expenses 13,324,315 8,087,712
OPERATING INCOME 1,113,208 2,688,245
NONOPERATING REVENUES (EXPENSES)
Investment earnings 743,502 20,175
Interest expense (1,600,127) (21,500)
Total nonoperating revenues (expenses) (856,625) (1,325) Income before transfers 256,583 2,686,920
TRANSFERS
Transfers in - 1,207,637
Transfers out (1,000,000) -
Total transfers (1,000,000) 1,207,637
CHANGES IN NET POSITION (743,417) 3,894,557
NET POSITION
Fund balance, July 1, as previously reported 4,490,816 8,594,447 Restatements (1,203,735) (1,418,000)
Fund balance, July 1, as restated 3,287,081 7,176,447 End of the year $ 2,543,664 $ 11,071,004
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119
City of Lynwood
Statement of Cash Flows
Proprietary Funds
Year ended June 30, 2024
See notes to basic financial statements.
29 Business-Type Governmental
Activities Activities
Water and
Sewer Internal
Enterprise Fund Service Funds
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers and users $ 15,136,824 $ 10,189,750 Payments to suppliers and employees (12,061,277) (1,493,831) Payments for insurance premium and claims - (6,115,008) Net cash provided by operating activities 3,075,547 2,580,911
CASH FLOW FROM NONCAPITAL FINANCING ACTIVITIES
Transfers in (out) (1,000,000) 1,207,637
Cash provided by (used in) noncapital financing activities (1,000,000) 1,207,637
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Acquisition and construction of capital assets (3,746,178) (25,373) Principal repayments (1,014,151) (78,174)
Interest paid (1,570,535) (21,500)
Cash used in capital and related financing activities (6,330,864) (125,047)
CASH FLOWS FROM INVESTING ACTIVITY
Investment earnings 692,190 12,945
Cash provided by investing activity 692,190 12,945 Changes in cash and investments
(3,563,127) 3,676,446
CASH AND INVESTMENTS
Beginning of year 33,001,200 13,452,797
End of year $ 29,438,073 $ 17,129,243
RECONCILIATION OF CASH AND CASH EQUIVALENTS
TO THE STATEM ENT OF NET POSITION
Cash and investments $ 8,373,656 $ 16,829,243
Cash and investments held by fiscal agent or in the trust 21,064,417 300,000 Total $ 29,438,073 $ 17,129,243
(Continued)
120
City of Lynwood
Statement of Cash Flows (Continued)
Proprietary Funds
Year ended June 30, 2024
See notes to basic financial statements.
30 Business-Type Governmental
Activities Activities
Water and
Sewer Internal
Enterprise Fund Service Funds
RECONCILIATION OF OPERATING INCOME TO NET
CASH PROVIDED BY OPERATING ACTIVITIES
Operating income $ 1,113,208 $ 2,688,245
Adjustments to reconcile operating income to net cash
provided by operating activities
Prior year adjustment - (1,418,000)
Depreciation and amortization 685,213 207,319 Change in assets, deferred outflows of resources,
liabilities and deferred inflows of resources
Decrease in accounts receivable 699,301 275
Decrease in prepaid items 2,496 35,532
Decrease in deferred outflows of
resources related to pension 661,720 -
Increase in deferred outflows of
resources related to OPEB (418,725) -
Increase in accounts payable 15,689 16,243 Increase (decrease) in accrued expenses (4,023) 10,141 Increase in due to other funds - 831,518 Decrease in deposits (516) -
Increase in claims payable - 206,000 Increase in unearned revenues - 3,638 Decrease in compensated absences (60,233) - Decrease in net pension liabilities (279,314) - Increase in net OPEB liabilities 1,040,712 -
Decrease in deferred inflows of
resources related to pension (254,507) -
Decrease in deferred inflows of
resources related to OPEB (125,474) -
Total adjustments 1,962,339 (107,334)
Net cash provided by operating activities $ 3,075,547 $ 2,580,911 (Concluded)
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122
FIDUCIARY FUND FINANCIAL STATEMENTS
123
City of Lynwood
Statement of Fiduciary Net Position
Fiduciary Funds
June 30, 2024
See notes to basic financial statements.
31 Successor
Agency
Private-Purpose
Trust Fund
ASSETS
Cash and investments $ 9,488,190
Cash and investments with fiscal agents 6,894,263
Accounts receivable 38,008
Prepaid items 60,685
Advance to the City of Lynwood 957,380
Capital assets, not being depreciated 812,496
Total assets 18,251,022
LIABILITIES
Accounts payable 23,161
Accrued interest 161,789
Deposits 25,386
Long-term liabilities
Due within one year 1,115,000
Due in more than one year 7,705,000
Total liabilities 9,030,336
NET POSITION
Restricted for
Held in trust for Successor Agency 9,220,686
Total net position $ 9,220,686
124
City of Lynwood
Statement of Changes in Fiduciary Net Position
Fiduciary Funds
Year ended June 30, 2024
See notes to basic financial statements.
32 Successor
Agency
Private-Purpose
Trust Fund
ADDITIONS
Redevelopment property tax trust fund $ 882,638
Use of money and property 6,871
Miscellaneous 41,406
Total additions 930,915
DEDUCTIONS
Community development 482,428
Interest and fiscal charges 506,178
Total deductions 988,606
CHANGES IN NET POSITION (57,691)
NET POSITION
Beginning of year 9,278,377
End of year $ 9,220,686
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126
NOTES TO THE BASIC FINANCIAL STATEMENTS
127
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128
City of Lynwood
Index to the Notes to the Basic Financial Statements
Year ended June 30, 2024
33 PAGE
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Description of the Reporting Entity 35
B. Basis of Accounting and Measurement Focus 36
C. Cash, Cash Equivalent s, and Investments 40
D. Interfund Receivable and Payable 41
E. Accounts and Tax Receivables 41
F. Lease Receivable 41
G. Prepaid Items 42
H. Capital Assets 42
I. Deferred Outflows of Resources and Deferred Inflows of Resources 43 J. Interest Payable 43
K. Unearned Revenue 43
L. Compensated Absences 44
M. Claims and Judgement 44
N. Lease Liabilities 44
O. Subscription Liabilities 45
P. Long-Term Debt 45
Q. Pensions 46
R. Other Postemployment Benefits (“OPEB”) Plan 46
S. Net Position 47
T. Fund Balances 47
U. Property Taxes 49
V. Use of Estimates 49
W. Implementation of New GASB Pronouncement 50
NOTE 2 STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
A. Encumbrances 50
B. Continuing Appropriations 51
C. Deficit Fund Balances/Net Position 51
D. Excess of Expenditures Over Appropriations 52
NOTE 3 CASH AND INVESTMENTS
A. Demand Deposits 53
B. Investments Authorized by the California Government Code and the City’s Investment Policy 53
C. Investments Authorized by Debt Agreements 54
D. Fair Value Measurement 55
E. Risk Disclosures 55
F. Investment in State Investment Pool 56
NOTE 4 RECEIVABLES 57
NOTE 5 NOTES AND LOANS RECEIVABLES
A. CDBG and HOME Loans 57
B. Housing Authority 58
NOTE 6 LEASE RECEIVABLES 61
129
City of Lynwood
Index to the Notes to the Basic Financial Statements
Year ended June 30, 2024
34 PAGE
NOTE 7 INTERFUND ACTIVITIES
A. Due To/From Other Funds 61
B. Advances from Fiduciary Fund 62
C. Transfers 62
NOTE 8 CAPITAL ASSETS
A. Governmental Activities 63
B. Business-Type Activities 64
NOTE 9 LONG-TERM LIABILITIES
A. Governmental Activities 65
B. Business-Type Activities 75
C. Fiduciary Activities 80
NOTE 10 RISK MANAGEMENT
A. Liability Program 81
B. Workers’ Compensation Program 82
C. All Risk Property Program 82
D. Other Programs 83
E. Liability for Self-Insured Claims 83
NOTE 11 DEFINED BENEFIT PENSION PLANS
A. General Information about the Pension Plans 85
B. Net Pension Liability 88
C. Changes in the Net Pension Liability 90
D. Pension Expense and Deferred Outflows and Deferred Inflows of Resources Related to Pensions 93
E. Payable to the CalPERS Plan 94
F. Pension Tax Override 94
NOTE 12 OTHER POSTEMPLOYMENT BENEFITS (“OPEB”)
A. General Information about the OPEB Plan 95
B. Net OPEB Liability 96
C. Changes in Net OPEB Liability 97
D. OPEB Expense and Deferred Outfl ows of Resources and Deferred Inflows of Resources Related to OPEB 98
NOTE 13 NET INVESTMENT IN CAPITAL ASSET 99
NOTE 14 FUND BALANCE CLASSIFICATIONS 100
NOTE 15 DEFERRED COMPENSATION PLAN 100
NOTE 16 COMMITMENTS AND CONTINGENCIES 101
NOTE 17 RESTATEMENTS 101
NOTE 18 SUBSEQUENT EVENTS 102
130
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
35 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES
The basic financial statements of the City of Lynwood, California (the “City”) have been prepared in accordance with accounting pr inciples generally accepted in the United States of America (“U.S. GAAP”) as applied to governmental units. The Governmental Accounting Standards Board (“GASB”) is the accepted standard-setting body for establishing governmental accounting and fi nancial reporting principles. The more significant of the government's accounting policies are described below.
A. Description of Reporting Entity
The City was incorporated in 1921, under t he general laws of the State of California.
The City operates under a Council-Manager form of government and provides basic local governmental services including public safety (police and fire), maintenance and construction of public impr ovements, community development, parks and recreation, transportation, water, sewer and general administration.
As required by U.S. GAAP , these financial statements present the City and its component units, entities for which the City is considered to be financially accountable.
The City is considered to be financially accountable for an organization if the City appoints a voting majority of that organization' s governing body and the City is either able to impose its will on that organization, or there is a potential for that organization to provide specific financial benefits to or impose specific financial burdens on the City.
The City is also considered to be financiall y accountable if an organization is fiscally dependent upon the City (i.e., it is unable to adopt its budget, levy taxes, set rates or charges, or issue bonded debt without approval from the City). In certain cases, other organizations are included as component units if the nature and si gnificance of their relationship with the City are such that their exclusion would cause the City's financial statements to be misleading or incomplete.
Blended Component Units
The City reports the following three blended component units:
Lynwood Public Financing Authority
The Lynwood Public Financing Authority was formed in 1993, by a joint powers agreement between the City of Lynwood and the former Lynwood Redevelopment Agency (the “Agency”). It was created to acquire and finance the acquisition of public capital improvements necessary or convenient for the operation of the City or Agency.
Lynwood Utility Authority
The Lynwood Utility Authority was form ed in 2003, by a joint powers agreement between the City of Lynwood and the form er Lynwood Redevelopment Agency (the “Agency”). It was created to acquire, oper ate and maintain the utility system. The Lynwood Utility Authority is included in t he business-type activities in the City’s Statements of Net Position and Activities.
131
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
36 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
A. Description of Reporting Entity (Continued)
Blended Component Units (Continued)
Lynwood Housing Authority
The Lynwood Housing Authority (“Housing Authority”) was formed under the California Health and Safety Code. The objective of t he Housing Authority is to aid low-income families in obtaining decent, safe and sanitary housing through low/moderate-income housing programs. The Housing Authority is included within the scope of the reporting entity of the City because its governing body is composed in its entirety of City Council members of the City. The Housing Authorit y is blended in as a special revenue fund based on the criteria discussed above.
These component units are considered to be blended component units because the City Council serves as the governing board for the component units and the City has operational responsibilit y over these entities. As a re sult, these organizations are considered component units of the City and are included within the financial statements of the City using the blended method. All component units have a June 30 year-end. There are no separated issued reports for these blended component units.
The City has no discretely presented component units.
B. Basis of Accounting and Measurement Focus
The accounts of the Ci ty are organized on the basis of funds, each of which is considered a separate accounting entity. T he operations of each fund are accounted for by providing a separate set of self-bal ancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditu res or expenses, as appropriate. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum number of funds is maintained in accordance with legal and managerial requirements.
Government-Wide Financial Statements
The City’s Government-Wide Financial Statements include a Statement of Net Position and a Statement of Activities. These statements present summaries of governmental and business-type activities for the City accompanied by a total column. Fiduciary activities of the City are not included in these statements.
These financial statements are presented on an “economic resources” measurement focus and the accrual basis of accounting. Ac cordingly, all of the City’s assets and liabilities, including capital assets, as wel l as infrastructure assets, and long-term liabilities, are included in the accompanying Statement of Net Position. The Statement of Activities presents changes in Net Position. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred.
132
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
37 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. Basis of Accounting and Me asurement Focus (Continued)
Government-Wide Financial Statements (Continued)
Certain types of transactions are reported as program revenues for the City in three categories:
x Charges for services
x Operating grants and contributions
x Capital grants and contributions
Certain eliminations have been made in r egard to interfund activities, payables and receivables. All internal balances in the Statement of Net Position have been eliminated except those repr esenting balances between th e governmental activities and the business-type activiti es, which are presented as internal balances and eliminated in the total primary government column. In the Statement of Activities, internal service fund transactions have been eliminated; however, those transactions between governmental and business-type ac tivities have not been eliminated. The following interfund activities have been eliminated:
x Due to/from other funds
x Advances to/from other funds
x Transfers in/out
Governmental Fund Financial Statements
Governmental Fund Financial Statements include a Balance Sheet and a Statement of Revenues, Expenditures and Changes in Fund Balances for all major governmental funds and aggregated nonmajor funds. An accompanying schedule is presented to reconcile and explain the differences between fund balance as presented in these statements to the net position pres ented in the Government-Wide Financial Statements. The City has presented all major funds that met the applicable criteria.
All governmental funds are accounted for on a spending or "current financial resources" measurement focus and the modified accrual basis of accounting.
Accordingly, only current assets and current liabilities are included on the Balance Sheet. The Statement of Revenues, Expe nditures and Changes in Fund Balances presents increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Un der the modified accrual basis of accounting, revenues are recognized in the accounting period in which they become both measurable a nd available to finance expenditures of the current period.
133
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
38 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. Basis of Accounting and Me asurement Focus (Continued)
Governmental Fund Financial Statements (Continued)
Revenues are recognized as soon as they are both “measurable” and “available”.
Revenues are considered to be available when th ey are collectible within the current period or soon enough thereafter to pay liabili ties of the current period. For this purpose, the City considers revenues to be av ailable if they are collected within 60 days of the end of the current fiscal period. The primary revenue sources, which have been treated as susceptible to accrual by the City, are property tax, sales tax, intergovernmental revenues and other ta xes. Expenditures are recorded in the accounting period in which the related fund liability is incurred.
The Reconciliation of the Government al Fund Financial Statements to the Government-Wide Financial Statements is provided to explain the differences.
The City reports the following major governmental funds:
General Fund is the City's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in other funds.
Housing Authority Special Revenue Fund accounts for revenue received from low-and- moderate income housing asset fund. Thes e funds are used for low- and moderate- income housing activities in accor dance with the applicable housing-related regulations.
Landscape Maintenance Special Revenue Fund accounts for special assessment received from the County of Los Angeles for which an assessment has been charged against property owners' front footage. These funds are used to provide services such as tree maintenance, park maintenance, and capital improvements. These improvements include improvements to the City’s infrastructure, housing, and redevelopment projects.
American Rescue Plan Act Special Revenue Fund accounts for revenues and activities for American Rescue Plan Act funding, which was provided to fund additional relief for individuals and businesses affected by the coronavirus pandemic.
Grants Special Revenue Fund accounts fo r the grants requiring segregated fund accounting. Financing is provided by federal, state and local agencies.
Capital Improvement Capital Projects Fund accounts for the financial resources used for the acquisition and construction of the City's capital projects. These improvements to the City's infrastructure, housing, and redevelopment projects.
134
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
39 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. Basis of Accounting and Me asurement Focus (Continued)
Proprietary Fund Financial Statements
Proprietary Fund Financial Statements in clude a Statement of Net Position, a Statement of Revenues, Expenses and Changes in Net Po sition, and a Statement of Cash Flows for each major Proprietary Fund.
A separate column representing internal se rvice funds is also presented in these statements. However, internal service bal ances and activities have been combined with the governmental activities in the Government-Wide Financial Statements. The City’s internal service funds include four individual funds that provide services directly to other City funds. These areas of service include vehicle & equipment maintenance/replacement, information tec hnology, self-insurance and facilities maintenance.
Proprietary funds are accounted for using the "economic resources" measurement focus and the accrual basis of accounting. Accordingly, all assets and liabilities (whether current or noncurrent) are included on the Statement of Net Position. The Statement of Revenues, Expens es and Changes in Net Position presents increases (revenues) and decreases (expenses) in total net position. Under the accrual basis of accounting, revenues are recognized in t he period in which they are earned while expenses are recognized in t he period in which liability is incurred. In these funds, receivables have been recorded as rev enue and provisions have been made for uncollectible amounts.
Operating revenues in the proprietary funds are those revenues that are generated from the primary operations of the fund. All other revenues are reported as nonoperating revenues. Operating expenses are those expenses that are essential to the primary operations of the fund. All other expenses are reported as nonoperating expenses.
The City reports the following major enterprise fund:
Water and Sewer Enterprise Fund accounts fo r revenue received from user fees for water and sewer usage. The Water and Sewer Enterprise Fund also pays for water billing, water utility, sewer services, and improvements to the water system.
135
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
40 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. Basis of Accounting and Me asurement Focus (Continued)
Fiduciary Fund Financial Statements
Fiduciary fund financial statements include a Statement of Fiduciary Net Position and a Statement of Changes in Fiduciary Net Position. The City’s fiduciary fund represents a private-purpose trust fund. The private purpose trust fund is accounted for on the full accrual basis of accounting where the assets associated with the activity are controlled by the City and the assets are not derived 1) solely from the government’s own-source revenues or 2) from government-mandated nonexchange transactions or voluntary nonexchange transactions.
The City reports the following type of fiduciary fund:
Successor Agency Private-Purpose Trust Fund was created by the City Council in 2012. It was established pursuant to Assembly Bill x1 26. Its purpose is to expeditiously wind down the affairs of the diss olved Lynwood Redevelopment Agency. The governing body of the Successor Agency is comprised of the members of the Oversight Board selected by the County of Los Angeles, City of Lynwood, school and special districts. The Successor Agency has been included in the accompanying basic financial statements as a private purpose trust fund.
C. Cash, Cash Equivalents, and Investments
The City pools its available cash for inve stment purposes. Investments are stated at fair value.
U.S. GAAP defines fair valu e, establishes a framework fo r measuring fair value and establishes disclosures about fair value measurement. Investments, unless otherwise specified, recorded at fair value in the financial statements, are categorized based upon the level of judgment associated with the inputs used to measure their fair value.
Levels of inputs are as follows:
The three levels of the fair value measurement hierarchy are described below:
Level 1: Inputs are unadjust ed, quoted prices for identic al assets and liabilities in active markets at the measurement date.
Level 2: Inputs, other than quoted prices included in Level 1, that are observable for the assets and liabilities through corroboration with market data at the measurement date.
Level 3: Unobservable inputs that reflec t management’s best estimate of what market participants would use in pricing the assets and liabilities at the measurement date.
All cash and investments of proprietary funds are held in the City’s investment pool.
These cash pools have the general char acteristics of a demand deposit account, therefore, all cash and investments in the proprietary funds are considered cash and cash equivalents for Statement of Cash Flows purposes.
136
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
41 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C. Cash, Cash Equivalents, and Investments (Continued)
Certain disclosure requirements, if applic able, for Deposits and Investment Risks in the following areas:
x Interest Rate Risk
x Credit Risk
- Overall
- Custodial Credit Risk
- Concentration of Credit Risk
In addition, other disclosures are specified including use of certain methods to present deposits and investments, highly sensitive investments, credit quality at year-end and other disclosures.
D. Interfund Receivable and Payable
Activities between funds that are represent ative of lending/borr owing arrangements outstanding at the end of the fiscal year are referred to as “due from/to other funds” (i.e., current portion of interfund loans) or advances to/from other fund (i.e., non-current interfund loans). Any residual balances outstanding between t he governmental activities and business-type activities are reported in the government-wide financial statements as “interfund balances”.
E. Accounts and Tax Receivables
All accounts and tax receivables are shown net of any allowance for uncollectible accounts, if applicable, and estimated refunds due.
F. Lease Receivable
The City is a lessor for leases of water tower, land, and billboard sites and recognizes lease receivables and deferred inflows of resources in the financial statements.
Variable payments based on future performance or usage of the underlying asset are not included in the measurement of the lease receivable.
At the commencement of a l ease, the lease receivable is measured at the present value of payments expected to be received during the lease term. The City established a threshold of $5,000 for lease receivable s. Subsequently, the lease receivable is reduced by the principal portion of lease payments received. The deferred inflows of resources are initially measured as the initial amount of the lease receivable, adjusted for lease payments received at or before the lease commencement date.
Subsequently, the deferred inflows of resour ces are recognized as revenue over the life of the lease term in a systematic and rational method.
137
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
42 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
F. Lease Receivable (Continued)
Key estimates and judgments include how the City determines (1) the discount rate it uses to discount the expected lease receipts to present value, (2) lease term, and (3) lease receipts.
x The City uses incremental borrowing rate (IBR) provided by the financial institution at July 1, 2021 for existing l eases or the current rate at the time a new lease is executed.
x The lease term includes the noncancela ble period of the lease plus any option periods that are likely to be exercised.
x Lease receipts included in the measurement of the lease receivable is composed of fixed payments from the lessee.
The City monitors changes in circumstanc es that would require a remeasurement of its lease and will remeasure the lease receivable and deferred inflows of resources if certain changes occur that are expected to significantly affect the amount of the lease receivable.
G. Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both the government-wide and fund financial statements by using purc hase method. A nonspendable fund balance has been reported in the governmental funds to show that the prep aid items do not constitute “available spendable resources,” even though they are a component of current assets.
H. Capital Assets
Capital assets are valued at historical cost or estimated historical cost if actual historical cost was not available. Donated capital assets are valued at acquisition value on the date donated. City policy has set the capitalization threshold for reporting capital assets at $5,000 (including infrastructure assets). Depreciation and amortization is recorded on a straight-line basis over estimated useful lives of the assets as follows:
For all infrastructure systems, the City elected to use the Basic Approach for infrastructure reporting. The City defines in frastructure as the basic physical assets that allow the City to function. The asse ts include the streets, parks and recreation, lands and improvement system, storm wat er conveyance system, and buildings combined with the site amenities such as parking and landscaped areas used by the City in the conduct of its bus iness. Each major infrastructure system is divided into subsystems. For example, the street syst em can be subdivided into pavement, curb and gutters, sidewalks, medians, streetlights, traffic control devices (signs, signals and pavement markings), landscaping and land.
Assets Years
Buildings 30 to 50
Improvements other than buildings 30 to 50
Infrastructure 30 to 50
Utility systems 75
Vehicles 7 to 15
Other equipment and furnishings 5 to 15
138
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
43 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
H. Capital Assets (Continued)
These subsystems were not delineated in the basic financial statements. The appropriate operating department maintains information regarding the subsystems.
Right-of-Use Lease Assets
Lease assets are recorded at the amount of the initial measur ement of the lease liabilities and adjusted by any lease payment s made to the lessor at or before the commencement of the lease term, less any lease incentives received from the lessor at or before the commencement of the lease term along with any initial direct costs that are ancillary charges nec essary to place the lease assets into service. Lease assets are amortized using the straight-line method over the shorter of the lease term or the useful life of the underlying asset, unless the lease contains a purchase option that the City has determined is reasonably certain of being exercised. In this case, the lease asset is amortized over the useful life of the underlying asset.
Right-of-Use Subscription Assets
Subscription assets (SBITA) are recorded at the amount of the initial measurement of the SBITA liabilities (“subscription liabi lities”) and adjusted by any subscription payments to the SBITA vendor at or before the commencement of the subscription term, less any incentives received from the SBITA vendor at or before the commencement of the subscription term along with subscription implementation costs.
Subscription assets are amortized over the shorter of the subscription term or the useful life of the underlying information technology assets.
I. Deferred Outflows of Resources and Deferred Inflows of Resources
Deferred Outflows of Resources represent a consumption of net assets that applies to future periods.
Deferred Inflows of Resources represent an ac quisition of net assets that applies to future periods.
J. Interest Payable
In the government-wide financial statements, interest payable on long-term debt is recognized as the liability is incurred for governmental activities and business-type activities. In the fund financial statements , only proprietary fund and private-purpose trust fund types recognize the interest payable when the liability is incurred.
K. Unearned Revenue
Unearned revenue is reported for transactions for which revenue has not yet been earned. Typical transactions recorded as unearned revenues are prepaid charges for services.
139
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
44 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
L. Compensated Absences
Permanent City employees earn vacation and sick leave hours per pay period with rates depending on their length of employment. Upon separation from employment the employees are paid for any unused vacation leave accrual balance. The City allows employees to accrue up to a maximum one and a half times their regular annual entitlement. There is no maximum on the number of sick leave hours that can be accrued. The amount of compensated absences at June 30 is accrued when incurred in the government-wide financial stat ements. Compensated absenc es are primarily liquidated by the General Fund.
M. Claims and Judgement
The City records a liability for litigation, judgments, and claims when it is probable that an asset has been impaired or a liability has been incurred prior to fiscal year end and the probable amount of loss (net of an y insurance coverage) can be reasonably estimated. This liability is recorded in the internal service fund which accounts for the City's self-insurance activities and it typically liquidated by the General Fund.
N. Lease Liabilities
The City recognizes lease liabilities with an initial, individual value of $5,000 or more with a lease term greater than one year in the government-wide and proprietary fund financial statements. Variable payments based on future performance of the lessee or usage of the underlying asset are not included in the measurement of the lease liability.
At the commencement of a lease, the City initially meas ures the lease liability at the present value of payments expected to be made during the lease term. Subsequently, the lease liability is reduced by the principal portion of lease payments made.
Key estimates and judgments related to le ases include how the City determines (1) the discount rate it uses to discount the expected lease payments to present value, (2) lease term, and (3) lease payments.
x The City uses the interest rate char ged by the lessor as the discount rate.
When the interest rate charged by the lessor is not provided, the City generally uses its estimated incremental borrowing rate as the discount rate for leases.
x The lease term includes the noncancel lable period of the lease. Lease payments included in the measurement of the lease liability are composed of fixed payments and purchase option price that the City is reasonably certain to exercise.
The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure any lease asset and liability if certain changes occur that are expected to significantly affect the amount of the lease liability.
140
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
45 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
O. Subscription Liabilities
The City recognizes subscription liabilities with an initial, individual value of $5,000 or more with a subscription term greater than one year in the government-wide and proprietary fund financial statements. Variable payments based on future performance of the City, usage of the underlying informat ion technology assets, or number of user seats are not included in the measurement of the subscription liability.
At the commencement of a subscription, the City initially measur es the subscription liability at the present value of payments expected to be made during the subscription term. Subsequently, the subscription liability is reduced by the principal portion of subscription payments made.
Key estimates and judgments related to s ubscription liabilities include how the City determines (1) the discount rate it uses to discount the expected subscription payments to present value, (2) subscription term, and (3) subscription payments.
x The City uses incremental borrowing ra te provided by the financial institution at July 1, 2022 for existing subscription or the current rate at the time a new subscription is executed.
x The subscription term includes th e noncancellable period of the SBITA.
Subscription payments included in the measurement of the subscription liability are composed of fixed payments.
The City monitors changes in circumstances that would require a remeasurement of its SBITA and will remeasure any subscrip tion asset and liability if certain changes occur that are expected to significantly affect the amount of the subscription liability.
P. Long-Term Debt
In the government-wide financial statemen ts, long-term debt and other long-term obligations are reported as liabilities in the appropriate activities. Bond premiums and discounts are deferred and amortized over th e life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are expensed when incurred.
In the fund financial statements, with the exception of advances from other funds, the governmental fund financial statements do not present long-term liabilities.
Consequently, long term debt is shown as a reconciling item in the reconciliation of the governmental funds balance sheet to the government-wide statement of net position.
141
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
46 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Q. Pensions
For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expenses, information about the fiduciary net position of the plans and additions to/deductions from the plans’ fiduciary net position have been determined on the same basis as they are reported by the plans. For this purpose, benefit payments (including re funds of employee contributions) are recognized when due and payable in accordance with benefit terms.
Investments are reported at fair value.
The following timeframes are used for pension reporting:
Valuation Date: June 30, 2022
Measurement Date: June 20, 2023
Measurement Period: July 1, 2022 to June 30, 2023
Gains and losses related to changes in total pension liability and fiduciary net position are recognized in pension expense systemat ically over time. The first amortized amounts are recognized in pension expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and deferred inflows of resources related to pensions and are to be recognized in future pension expense.
The amortization period differs depending on the source of the gain or loss. The difference between projected and actual earn ings is amortized straight-line over 5 years. All other amounts are amortized straight-line over the average expected remaining service lives of all members that are provided with benefits (active, inactive, and retired) as of the beginning of the measurement period.
General Fund and Retirement Special Reve nue Fund are typically used to liquidate pension liabilities.
R. Other Postemployment Benefits (“OPEB”) Plan
For purposes of measuring the net OPEB liability, 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 OPEB Plan and additions to/deductions from the OPEB Plans’ fiduciary net position have been determined on the same basis as they are reported by the plans. For this purpos e, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with benefit terms. Investments are reported at fair value.
The following timeframes are used for OPEB reporting:
Valuation Date: June 30, 2023
Measurement Date: June 20, 2023
Measurement Period: July 1, 2022 to June 30, 2023
142
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
47 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
R. Other Postemployment Benefits (“OPEB”) Plan (Continued) Gains and losses related to changes in to tal OPEB liability and fi duciary net position are recognized in OPEB expense systemat ically over time. The first amortized amounts are recognized in OPEB expense for the year the gain or loss occurs. The remaining amounts are categorized as defe rred outflows and deferred inflows of resources related to OPEB and are to be recognized in future OPEB expense. The amortization period differs depending on the source of the gain or loss. The difference between projected and actual earnings is amortized straight-line over 5 years. All other amounts are amortized straight-line over the average expected remaining service lives of all members that are provided with benefit s (active, inactive, and retired) as of the beginning of the measurement period.
General Fund is typically used to liquidate OPEB liabilities to governmental funds.
S. Net Position
In the government-wide financial statements and proprietary fund financial statements, net position is classified as follows:
Net Investment in Capital Assets – This co mponent of net position consists of capital assets, net of accumulated deprecia tion and amortization and related deferred charges on refunding capital debt, reduced by the outstanding balanc es of debt that are attributable to the acquisition, construction, or improvement of those items, net of unspent debt proceeds.
Restricted – This component of net position consists of rest ricted assets reduced by liabilities and deferred inflows of resources related to those assets.
Unrestricted – This component of net positi on is the amount of the assets, deferred outflows of resources, liabilities, and deferred inflows of resources that are not included in the determination of net investment in capital assets or the restricted component of net position.
When expenses are incurred for purposes for which both restricted and unrestricted components of net position are available, the City ’s policy is to apply the restricted component of net position fi rst, then the unrestricted co mponent of net position as needed.
T. Fund Balances
In the governmental fund financial statements, fund balances are classified as follows:
Nonspendable fund balance includes 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 City’s nonspendable fund balance represents inventory, prepaid items, land held for resale, and loans receivable unless the proceeds from the collection of those loans receivables or from sale of the properties is restricted, committed, or assigned.
143
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
48 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
T. Fund Balances (Continued)
Restricted fund balance includes resources t hat are subject to externally enforceable legal restrictions. It includes amounts that can be spent only for the specific purposes stipulated by constitution, external resource providers, or through enabling legislation.
Committed fund balance includes amounts that can be used only for the specific purposes determined by a formal action of the City’s highest level of decision-making authority. The City Council, as the City’s highest level of decision-making authority, may commit, through a resolution, fund balanc e for specific purposes pursuant to constraints imposed by such formal actions taken. Committed amounts cannot be used for any other purpose unless the City Council removes or changes the specific use through the same type of formal action taken to establish the commitment.
Assigned fund balance consists of funds that are set aside for specific purposes by the City’s highest level of decision making aut hority or a body or official that has been given the authority to assign funds. The City Council delegates the authority to assign fund balance to the City Manager for pur poses of reporting in the annual financial report.
Unassigned fund balance is the residual classification for the City’s fund balance and includes all spendable amounts not contained in the other classifications. This category also provides the resources necessary to meet unexpected expenditures and revenue shortfalls. The General Fund is the only fund that reports a positive unassigned fund balance amount. In other governmental funds, it is not appropriate to report a positive unassigned fund balance amount. However, in governmental funds other than General Fund, if expenditures in curred for specific purposes exceed the amounts that are restricted, committed or assigned to those purposes, it may be necessary to report a negative unassigned fund balance in that fund.
When expenditures are incurred for purposes for which both restricted and unrestricted fund balances are available, the City’s policy is to apply restricted fund balances first, then unrestricted fund balances as needed.
When expenditures are incurred for purposes where only unrestricted fund balances are available, the City uses the unrestricted resources in the following order, except for instances wherein an ordinance specifies the fund balance:
x Committed
x Assigned
x Unassigned
144
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
49 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
U. Property Taxes
Property tax revenue is recognized in the fi scal year for which the taxes have been levied providing they becom e available. Available m eans due, or past due and receivable within the current period and collected within the current period or expected to be collected soon enough thereafter (not to exceed 60 days) to be used to pay liabilities in the current period.
Property taxes in the State of California are administered for all local agencies at the County level, and consist of secured, unsecured, and utility tax rolls. The following is a summary of major policies and practices relating to property taxes:
Property Valuations are established by the Assessor of the County of Los Angeles for the secured and unsecured property tax rolls; the utility property tax rolls are valued by the State Board of Equalization. Under the provisions of Article XIIIA of the State Constitution (Proposition 13 ad opted by the voters on June 6, 1978) properties are assessed at 100% of full value. From this base of assess ment, subsequent annual increases in valuation are limited to a maximum of 2%. However, increases to full value are allowed for property improvements or upon change in ownership. Personal property is excluded from these limitations, and is subject to annual reappraisal.
Tax Levies are limited to 1% of full value which results in a tax rate of $1.00 per $100 assessed valuation under the provisions of Proposition 13. Tax rates for voter- approved indebtedness are excluded from this limitation. The City's share of the $1.00 varies depending on the tax rate area and it ranges from $0.0125 to $0.0730.
Tax Levy Dates are attached annually on January 1 preceding the fiscal year for which the taxes are levied. The fiscal year begi ns July 1 and ends June 30 of the following year. Taxes are levied on both real and unsecured personal property as it exists at that time. Liens against real estate, as well as the tax on personal property, are not relieved by subsequent renewal or change in ownership.
Tax Levy Apportionments – Becaus e of the nature of the Ci ty-wide maximum levy, it is not possible to identify general purpose ta x rates for specific entities. Under state legislation adopted subsequent to the passage of Proposition 13, apportionments to local agencies are made by the county auditor- controller based primarily on the ratio that each agency represented of the total City -wide levy for the three years prior to fiscal year 1979.
Property Tax Administration Fees – The St ate of California FY 1990-91 Budget Act authorized counties to collect an administrat ive fee for collection and distribution of property taxes. Property taxes are recor ded as net of administr ative fees withheld during the fiscal year.
V. Use of Estimates
The preparation of the basic financial stat ements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.
145
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
50 NOTE 1 REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
W. New GASB Pronouncement
During the year ended June 30, 2024, t he City implemented the following GASB Standards. The financial statem ents included herein apply the requirements and provisions of the standard.
GASB Statement No. 100 - Accounting Changes and Error Corrections . The requirements of this Statement are effe ctive for reporting periods beginning after June 15, 2023.
GASB Statement No. 104 - Disclosure of Certain Capital Assets. The requirements of this Statement are effective for repo rting periods beginning after June 15, 2025.
Earlier application is encouraged.
Released GASB Statements to be implemented in future financial statements are as follows:
GASB Statement No. 101 - Compensated Absences . The requirements of this statement are effective for reporting periods beginning after December 15, 2023.
GASB Statement No. 102 – Certain Risk Disclosures . The requirements of this statement are effective for reporting periods beginning after June 15, 2024.
GASB Statement No. 103 – Financial Reporting Model Improvements . The requirements of this statement are effect ive for reporting periods beginning after June 15, 2025.
NOTE 2 STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
A. Encumbrances
Encumbrances are estimations of costs re lated to unperformed contracts for goods and services. These commitments are recorded for budgetary control purposes in the General Fund, Special Revenue Funds, and similar governmental funds.
Encumbrances outstanding at fiscal year-end are reported as committed or assigned fund balances. They represent the estimated amount of the expenditure ultimately to result if unperformed contracts in-process at fiscal year-end are completed. They do not constitute expenditures or estimated liabilities.
The total outstanding amount of encumbrances as of June 30, 2024 is $12,585,765 under the Capital Improvement Capital Projects Fund.
146
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
51 NOTE 2 STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY (CONTINUED)
B. Continuing Appropriations
The unexpended and unencumbered approp riations that are available and recommended for continuation are approved by the City Council for carryover to the following fiscal year. These commitments are reported as committed or assigned fund balance.
C. Deficit Fund Balances/Net Position
The following funds contained a deficit fund balances/net position as of June 30, 2024:
Landscape Maintenance Special Revenue Fund accounts for the landscape assessment and expenses of the City. The City collects landscape assessments from its residents to fund the City’s landsc aping maintenance costs for its parks and sidewalks. This assessment has not been increased since 1998. As a result, the current assessment is not sufficient to cover the rising landscape maintenance costs.
The Landscape Maintenance Special Revenue Fu nd currently has a structural deficit that needs to be addressed. The City is curr ently working with a consulting firm on a study of the City’s landscape maintenance assessment and costs to propose a 5-year rate increase to the City Council in FY2025-26 and to start the Proposition 218 process for the rate increase as soon as the City Council approves the rate increase. The goals and expectations of the new rate increases are: 1. Eliminate the st ructural deficit by increasing the landscape maintenance assessme nt; therefore, it will fully cover all landscape maintenance expenses; 2. Collect additional assessments to gradually reduce the deficit fund balance in 5 years; 3. Incorporate a CPI increase into the rate increase proposal to ensure the assessment will not fall behind expenses again in the future.
Special revenue fund deficits will be el iminated when revenue bec omes available.
HSIP and Litter Abatement Special Revenue Funds expect to receive funds from granting agencies or subsidies from the General Fund.
Amount
Major governmental funds
Landscape maintenance special revenue fund $ (7,936,926) Nonmajor governmental funds
HSIP special revenue fund (818,712)
Litter abatement special revenue fund (146,450)
City of Lynwood debt service fund (477,128)
Funds
147
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
52 NOTE 2 STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY (CONTINUED)
D. Excess of Expenditures Over Appropriations
The following funds contained excess of expenditures over final appropriations for the year ended June 30, 2024:
NOTE 3 CASH AND INVESTMENTS
Cash and investments at June 30, 2024, are classified in the accompanying financial statements as follows:
Appropriations Expenditures Excess
Major governmental funds
General Fund
Current
General government
City treasurer $ 200,029 $ 200,852 $ (823) City attorney 216,671 303,051 (86,380) Technology & media support (110) 335 (445) Capital outlay 76,850 667,147 (590,297) Debt service
Principal retirement - 43,489 (43,489) Interest and fiscal charges - 1,555 (1,555) Transfers out 3,502,126 5,729,095 (2,226,969) Nonmajor governmental funds
Lighting maintenance special revenue fund 1,218,187 1,382,505 (164,318) Air quality improvement special revenue fund 153,000 156,498 (3,498) City of Lynwood debt service fund 2,128,642 2,602,270 (473,628) Funds
Government-Wide Fiduciary Fund
Statement of Statement of
Net Position Net Position Total
Unrestricted assets
Cash and investments $ 95,128,440 $ 9,488,190 $ 104,616,630 Restricted assets
Cash held by City 7,334 - 7,334 Cash and investments with fiscal agents 60,325,939 6,894,263 67,220,202 Deposit in trust 300,000 - 300,000 Total cash and investments $ 155,761,713 $ 16,382,453 $ 172,144,166 148
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
53 NOTE 3 CASH AND INVESTMENTS (CONTINUED)
Cash and investments at June 30, 2024 consisted of the following:
A. Demand Deposits
The carrying amount of the City’s deman d deposits were $42,213,475 at June 30, 2024. Bank balances before reconciling items were $44,071,080 at that date, the total amount of which was insured or collateralized with securities held by the pledging financial institutions in the City’s name as discussed below.
The California Government Code requires California banks and savings and loan associations to secure the City’s cash deposits by pledging securities as collateral.
This Code states that coll ateral pledged in this manner shall have the effect of perfecting a security interest in such collateral superior to those of a general creditor.
Thus, collateral for cash deposits is considered to be held in the City's name.
The fair value of pledged securities must equal at least 110% of the City's cash deposits. California law also allows institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 15 0% of the City’s total cash deposits.
The City may waive collateral requirements for cash deposits, which are fully insured up to $250,000 by the Federal Deposit In surance Corporation (“FDIC”). The City, however, has not waived the collateralization requirements.
Deposits in trust consist of Workers Compensation plan deposit of $150,000 and General Liability plan deposit of $150,000, totaling $300,000 as of June 30, 2024.
B. Investments Authorized by the Califor nia Government Code and the City’s Investment Policy
The following table identifies the investment types that are authorized for the City by the California Government Code (or the City's investment policy, where more restrictive). The table also identifies certai n provisions of the California Government Code (or the City's investment policy, where more restrictive) that address interest rate risk, credit risk, and concentration of credit risk.
Petty cash $ 1,800
Deposits with financial institution 42,213,475
Deposit in trust 300,000
Investments 129,628,891
Total cash and investments $ 172,144,166
149
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
54 NOTE 3 CASH AND INVESTMENTS (CONTINUED)
B. Investments Authorized by the Calif ornia Government Code and the City’s Investment Policy (Continued)
This table does not address investments of debt proceeds held by bond trustee that are governed by the provisions of debt agreements of the City, rather than the general provisions of the California Government Code or the City's investment policy.
C. Investments Authorized by Debt Agreements
Investment of debt proceeds held by bond trustees are governed by provisions of the debt agreements, rather than the general pr ovisions of the Cal ifornia Government Code or the Agency's investment policy. T he table below identifies the investment types that are authorized for investments held by bond trustees. The table also identifies certain provisions of these debt agreem ents that address interest rate risk, credit risk, and concentration of credit risk.
Maximum Maximum
Maximum Percentage Investment in
Authorized Investment Type Maturity of Portfolio One Issuer Local Agency Investment Fund (LAIF) N/A None $65 m illion U.S. treasury obligations 5 years None None
U.S. government sponsored enterprise securities 5 years None None Non-negotiable time deposits 1 year 25% None
FDIC insured certificates of deposit 5 years None $250,000 Negotiable certificates of deposit 5 years 30% 30%
Commercial paper 270 days 25% 5%
Money market funds (must be comprised of
eligible securities permitted under this policy) N/A 20% 10% Medium-term corporate notes 5 years 30% 2%**
Supra national debt obligations 5 years 30% 5%
** Commercial paper holdings may be included in the calculation of the 2% limitation.
Maximum Maximum
Maximum Percentage Investment in
Authorized Investment Type Maturity of Portfolio One Issuer Local Agency Investment Fund (LAIF) N/A None $40 million U.S. treasury obligations N/A None None
U.S. government sponsored enterprise securities N/A None None Certificates of deposit N/A None None
Commercial paper N/A None None
Mutual funds (must be comprised of N/A None None
eligible securities permitted under this policy) N/A
Money market funds (must be comprised of
eligible securities permitted under this policy) N/A None None Medium-term corporate notes N/A None None
Supra national debt obligations N/A None None
150
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
55 NOTE 3 CASH AND INVESTMENTS (CONTINUED)
D. Fair Value Measurement
At June 30, 2024, investments are reported at fair value. The following table presents the fair value measurement of investments on a recurring basis and the levels within GASB 72 fair value hierarchy in which the fair value measurements fall at June 30, 2024:
E. Risk Disclosures
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. One of the ways that the City manages its exposure to interest rate risk is by purchasing a combination of shorter-term and longer-t erm investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity over time as necessary to provide the cash flow and liquidity needed for operations.
Information about the sensitivity of the fair values of t he City's investments to market interest rate fluctuations is as follows:
Quoted Prices in Significant
A ctive Markets for Other Observable
Identical Assets Inputs
Investment Ty pe (Level 1) (Level 2) Uncategorized Total Local Agency Investment Fund (LAIF) $ - $- $ 34,951,863 $ 34,951,863 U.S. treasury obligations 6,908,255 - - 6,908,255 U.S. government sponsored enterprise securities - 11,142,240 - 11,142,240 Negotiable certificates of deposit - 5,512,101 - 5,512,101 Corporate bonds - 3,834,299 - 3,834,299 Money market funds - - 59,931 59,931 Held by fiscal agents
Money market funds - - 67,220,202 67,220,202 $ 6,908,255 $ 20,488,640 $ 102,231,996 $ 129,628,891 Measurement Input
12 Months 13 to 24 25 to 36 37 to 48 49 to 60
Investment Type Total or Less Months Months Months Months Local Agency Investment Fund (LAIF) $ 34,951,863 $ 34,951,863 $- $ - $ - $ - U.S. treasury obligations 6,908,255 2,475,892 2,331,505 460,175 1,176,933 463,750 U.S. government sponsored enterprise securities 11,142,240 2,184,753 2,923,180 2,502,818 977,740 2,553,749 Negotiable certificates of deposit 5,512,101 246,096 706,587 1,437,439 2,621,359 500,620 Corporate bonds 3,834,299 980,127 979,070 978,068 396,404 500,630 Money market funds 59,931 59,931 - - - - Held by fiscal agents
Money market funds 67,220,202 67,220,202 - - - - $ 129,628,891 $ 108,118,864 $ 6,940,342 $ 5,378,500 $ 5,172,436 $ 4,018,749 151
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
56 NOTE 3 CASH AND INVESTMENTS (CONTINUED)
E. Risk Disclosures (Continued)
Investments with Fair Values Highly Sensitive to Interest Rate Fluctuations The City has no investments (including in vestments held by bond trustees) that are highly sensitive to interest rate fluctuations (to a greater degree than already indicated in the information provided above).
Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an is suer 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. Presented below is the minimum rating by Standard and Poor’s required by (where applicable) the California Government Code, the City’s investment policy, or debt agreem ents, and the actual rating as of year-end for each investment type:
Disclosures Relating Concentration of Credit Risk
The investment policy of the City contai ns limitations on the amount that can be invested in any one issuer. As of June 30, 2024, there were no investment in any one issuer (other than U.S. Treasury securities, mutual funds, and local agency investment fund) that represents 5% or more of total City investments.
Disclosures Relating Custodial Credit Risk
Custodial credit risk for depos its is the risk that, in t he event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g. broker-dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party.
F. Investment in State Investment Pool
The City is a voluntary participant in the Local Agency Investment Fund (“LAIF”) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of Calif ornia. The value of the City’s investment in this pool is reported in the accompanying financial st atements at amounts based upon the City’s pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the amortized cost of that portfolio), which approximates fair value. As of June 30, 2024, the City had $34,951,863 invested in LAIF.
Inv e stme nt Type Total AAA AA A Not Rate d
Local Agency Investment Fund (LAIF) $ 34,951,863 $- $ - $ - $ 34,951,863 U.S. treasury obligations 6,908,255 6,908,255
U.S. government sponsored enterprise securities 11,142,240 11,142,240 - - - Negotiable certificates of deposit 5,512,101 - - - 5,512,101 Corporate bonds 3,834,299 731,175 738,968 2,364,156 - Money market funds 59,931 59,931 - - - Held by fiscal agents
Money market funds 67,220,202 67,220,202
$ 129,628,891 $ 18,841,601 $ 738,968 $ 2,364,156 $ 107,684,166 152
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
57 NOTE 4 RECEIVABLES
Summary of receivables at June 30, 2024 is as follows:
NOTE 5 NOTES AND LOANS RECEIVABLES
A. CDBG and HOME Loans
The City has received funding from the U.S. Department of Housing and Urban Development for the purpose of assisting (through zero or low interest deferred loans) residents and commercial enterprises to rehabilitate their homes and businesses, and assisting first-time homebuyer. Some of the loans have maturity dates while others are due upon sale of the underlying property.
Also, parcels of land have been sold to commercial real estate developers in exchange for various loans. Such loans have terms ranging from 3 to 30 years, with interest rates ranging from 0% to 10%. In several loan ag reements, a portion of the entire principal amount will be forgiven upon the completion of the project. In this circumstance, an allowance account is established to reduce the balance of loans receivable. As of June 30, 2024, the gross amount of the loans and notes receivable amounted to $7,057,897.
The amount presented under the Grants Special Revenue Fund, which is net of allowance for the future amount expected to be forgiven in the amount of $3,860,862, was $3,197,035.
Allowance for
Uncollectible
Receivable Acc ounts Net Amount
Governmental Activities
Accounts and taxes $ 4,676,152 $ (109,625) $ 4,566,527 Interest 410,487 - 410,487 Intergovernmental 4,175,946 - 4,175,946 Total $ 9,262,585 $ (109,625) $ 9,152,960 Business-type Activities
Accounts $ 3,374,622 $ (418,396) $ 2,956,226 Interest 64,883 - 64,883 Total $ 3,439,505 $ (418,396) $ 3,021,109 153
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
58 NOTE 5 NOTES AND LOANS RECEIVABLES (CONTINUED)
B. Housing Authority
Pursuant to ABx1 26, the Housing Authority was created to manage the housing function of the City’s former Lynwood Redevelopment A gency (Agency). As a result, certain loans made by t he Agency are now reported unde r the Housing Authority.
Parcels of land were sold to commercial real estate developers by the former Agency in exchange for various loans. Such loans have terms ranging from 45 to 69 years, with interest rates ranging from 0% to 0.25%. In several loan agreements, a portion of the entire principal amount will be forgiven upon the completion of the project. In this case, an allowance account is established to reduce the balance of loans receivable.
The Housing Authority also extended rehabi litation loans to property owners for the rehabilitation and improvements of commercial buildings. The following describes the Housing Fund’s loans receivable in detail.
x Habitat for Humanity – 3076 Redwood
The Agency entered into a loan agreement with Habitat for Humanity of Greater Los Angeles (“Habitat for Humanity”) to purchase foreclosed homes with Federal HOME funds and 20% housing set aside f unds; rehabilitate said home with 20% housing set aside funds, and deed restrict and resell to a low-income household. 3076 Redwood was purchased for $315,000. $61,906 of 20% Housing Set Aside funds were budgeted and utilized for the rehabilitation of the unit.
x Habitat for Humanity – 5525 Clark
The Agency entered into a loan agreement with Habitat for Humanity to purchase foreclosed homes with Federal HOME funds and 20% housing set aside funds; rehabilitate said home with 20% housing set aside funds; and deed restrict and resell to a low-income household. 5525 Clark was purchased for $299,500. $48,970 of 20% Housing Set Aside funds were budgeted and utilized for the rehabilitation of the unit.
x Habitat for Humanity – 10-unit Low-income Project
In July 2009, the Agency extended a non -interest-bearing set-aside note for $454,100 to Habitat for Humanity to assist in the cost of developing 10 low-income ownership homes. Upon the s ubdivision of the site into individual lots for development, the set-aside not e was divided by the number of units constructed and each unit is responsible for the repaym ent of an equal share of the set-aside note amount.
x Habitat for Humanity – 3254 Palm Avenue
In April 2009, the Agency extended a non -interest-bearing set-aside note for $243,100 to Habitat for Humanity to assist in the cost of redeveloping a low-income triplex at 3254 Palm Avenue for sale to low-income households. Pursuant to the loan agreement, the Agency contributed the land and $243,100 to build affordable homes. Upon the subdivision of the site in to individual lots for development, the set-aside note was divided by the number of units c onstructed and each unit is responsible for the repayment of an equal share of the set-aside note amount. 154
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
59 NOTE 5 NOTES AND LOANS RECEIVABLES (CONTINUED)
B. Housing Authority (Continued)
x Developer Loan – 11300 Atlantic Avenue
In February 2009, the Agency extended a non-interest-bearing note in the amount of $710,000 to a developer for financial assistance on an affordable housing project located at 11300 Atlantic Avenue . The total amount represents the cash contribution from the Agency for the insurance payment of $454,000 and the rehabilitation loan of $256,000 for the proj ect. Upon each anniversary of the date of the issuance of a Certificate of Completion and provided all material covenants set forth in the agreement have been performed during the previous year, a credit of 1/55 of the Insurance Payment principal amount shall be applied to the note, and the outstanding principal amount of the note shall be reduced by such amount.
x Atlantic Housing Development
On April 23, 2013, the Los Angeles County Superior Court entered its final judgment in a lawsuit entitled Rogel et al. v. Redevelopment Agency of the City of Lynwood et al. (the Rogel I Judgment). The Rogel I Judgment imposes an obligation on the Successor Agency of the former Agency and the Housing Authority to construct sixty-six (66) non-age-restricted low-to-moderate-income housing units (the Rogel I Units).
On December 22, 2015, the City and Pacifi c Development Consultants, Inc., (the Developer) entered into a Disposition an d Development Agreement (the Original DDA). The Original DDA provided, among other things, for the City’s sale of Lots 1 through 15, inclusive of Tract No. 8242 in the City, as per the map recorded in book 115, pages 55 and 56 of the Los Angeles County office, (the Property) to the Developer and the Developer’s purchase of the Property from the City, the Developer’s construction of approximate ly eighty-one (81) affordable senior apartment units on the Property, incident al parking, lands caping, and related improvements (the Senior Project), Deve loper’s submittal to the California Tax Credit Allocation Committee of an applicat ion for so-called “9%” low-income tax credits to help finance the acquisition of the Property and development of the Senior Project, and long-term rental restri ctions limiting occupancy of the units of the Senior Project to eligible lower-income households, all as set forth and subject to the terms and conditions in the Original DDA.
On February 14, 2017, the California Department of Finance and the Oversight Board to the former and dissolved Agency agreed to approve, and the Auditor- Controller of the County of Los Angeles agreed not to object to, certain allocations of property tax to the Successor Agency from proceeds of the Real Property Tax Trust Fund (RPTTF) to be deposited into a special housing fund, as needed by the Housing Authority to provide the funding required to construct the Rogel I Units, subject to the limited availability of RPTTF funds.
155
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
60 NOTE 5 NOTES AND LOANS RECEIVABLES (CONTINUED)
B. Housing Authority (Continued)
x Atlantic Housing Development (Continued)
On September 5, 2017, the Housing Aut hority and the Developer entered that certain Amended and Restated DDA (Existi ng DDA) replacing the Original DDA that provides for, among other things: (1) City's conveyance of the property located on the west side of Atlantic Avenue, between Agnes Avenue and Lavinia Avenue, in the City; (2) the development of sixty- seven (67) multi-family apartment units, consisting of sixty-six (66) non-age restricted affordable apartment units and one (1) on-site manager's unit, as more particularly described in the Existing DDA and referred to therein as the "Project"; and (3) Housing Authority's construction loan of Seventeen Million Dollar ($17,000,000) subject to the terms and conditions set forth in the Existing DDA.
On or about January 16, 2019, the Deve loper assigned all of its rights and obligations set forth in the Existing DDA to Lynwood Family Apartments LP and assumed all of such rights and obligations concerning the aforesaid development of the Project on the Property.
On May 18, 2021, Lynwood Family Apartments LP issued a replacement promissory note amounting to $17,000,000 to the Housing Authority subject to the terms and conditions set forth in the replacement promissory note. The outstanding principal balance under this replacemen t promissory note bears 0.25% simple interest per annum.
During the year ended June 30, 2024, an additional $1,150,324 was drawn out of the replacement promisso ry note resulting in $636,445 remaining allowable principal to be drawn as of June 30, 2024.
Below is the summary of the loans receivable of the Housing Fund as of June 30, 2024
Principal
Habitat for Humanity
3076 Redwood $ 30,126
5525 Clark 2,905
10-unit Low-income Project 453,197
3254 Palm Avenue 243,100
Developer Loan
11300 Atlantic Avenue 387,963
Atlantic Housing Development 16,363,555
Notes and loans receivables, net $ 17,480,846
156
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
61 NOTE 6 LEASE RECEIVABLES
Lease receivables consist of agreements wi th others for the right–to–use of the underlying assets for land owned by the City at various locations. The remaining terms of the agreements range from 1 to 28 year s. The incremental borrowing rates used ranged from 1.887% to 5.000%. For the year ended June 30, 2024, the City recognized $354,885 in lease revenue and $173,232 in interest revenue. The outstanding receivables at June 30, 2024 amounted to $5,251,416.
The future payments required for these leases, including interest, are as follows:
NOTE 7 INTERFUND ACTIVITIES
A. Due To/From Other Funds
The following is a summary of interfund balances as of June 30, 2024:
Year Ending June 30, Principal Interest Total
2025 $ 141,526 $ 187,144 $ 328,670
2026 149,420 180,643 330,063
2027 157,709 173,789 331,498
2028 166,420 166,559 332,979
2029 175,567 158,935 334,502
2030 - 2034 1,043,424 664,837 1,708,261
2035 - 2039 705,765 448,690 1,154,455
2040 - 2044 1,242,923 331,351 1,574,274
2045 - 2049 1,149,858 143,483 1,293,341
2050 - 2052 318,804 7,089 325,893
$ 5,251,416 $ 2,462,520 $ 7,713,936
Governmental A ctivities
Amount
Major Funds:
General Fund
Landscape Maintenance
Special Revenue Fund $ 7,751,462
Grants Special
Revenue Fund 5,580,213
Nonmajor Governmental
Funds 8,161,736
Internal Service Funds 1,102,227
Capital Improvement
Capital Projects Fund Nonmajor Governmental
Funds 1,297,494
$ 23,893,132
Receivable Funds Payable Funds
157
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
62 NOTE 7 INTERFUND ACTIVITIES (CONTINUED)
Current interfund receivables and payables wer e due to (1) short-term borrowings to eliminate negative cash balances, and (2) transfers to cover certain project costs which will be reimbursed by bond proceeds.
B. Advances from Fiduciary Fund
Advances from the Successor Agency to the City (General Fund) at June 30, 2024 were as follows:
The advance is the loan from the former Lynwood Redevelopment Agency “LRA” to the City in the amount of $957,380 at June 30, 2024.
C. Transfers
The following is a summary of Interfund transfers for the year ended June 30, 2024:
With Council approval, resources may be transferred from one City fund to another.
Transfers of $1,008,190 to the General F und consist, of $1,000,000 from Water and Sewer Enterprise Fund, $3,190 from th e Impact Fees Special Revenue Fund, and $5,000 from Public Art Special Revenue Fund were to cover City-wide expenditures.
Amount
Fiduciary Fund:
Successor Agency Private-
Purpose Trust Fund General Fund $ 957,380
Receivable Fund Payable Fund
Amount
Major Funds:
General Fund Nonmajor Governmental
Funds $ 8,190
Water and Sewer
Enterprise Fund 1,000,000
Grants Special
Revenue Fund General Fund 2,530,150
Capital Improvement
Capital Projects Fund General Fund 663,319
Grants Special
Revenue Fund 3,830,275
Nonmajor Governmental
Funds 8,174,970
Nonmajor Governmental FundsGeneral Fund 2,535,626
Nonmajor Governmental
Funds 1,622,289
Internal Service Funds Nonmajor Governmental
Funds 1,207,637
$ 21,572,456
Transfers In Transfers Out
158
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
63 NOTE 7 INTERFUND ACTIVITIES (CONTINUED)
Transfers of $2,530,150 to the Grants S pecial Revenue Fund from the General Fund consist of accumulated unreimbursed expenditures.
Transfers of $12,668,564 to the Capital Improvement Capital Projects Fund consist of $663,319 from the General Fund, $3,830,275 from the Grants Special Revenue Fund, and $8,174,970 from Nonmajor Governmental Funds to cover various capital projects.
Transfers of $2,535,626 from the General Fund to Nonmajor Governmental Funds consist of $2,125,142 for debt service payments and $410,484 for street sweeping services.
A transfer of $1,622,289 from Prop A Nonmajor Governmental Fund to Transportation Nonmajor Governmental Fund was for transit costs.
A transfer of $1,207,637 from the Nonmajor Governmental Fund to the Self-Insurance Internal Service Fund was to cover the retirees’ medical costs.
NOTE 8 CAPITAL ASSETS
A. Governmental Activities
Summary of changes in capital assets for the governmental activities for the year ended June 30, 2024 was as follows:
Beginning Balance Deletions/ Ending
(As Restated) Addit ions Reclassification Balance
Capital assets, not being depreciated
Land $ 54,507,738 $ - $ - $ 54,507,738 Rights of way 22,904,315 - - 22,904,315 Trees 287,627 - - 287,627 Construction in progress 8,766,745 11,004,995 (4,754,065) 15,017,675 Total capital assets, not being depreciated 86,466,425 11,004,995 (4,754,065) 92,717,355 Capital assets, being depreciated and amortized
Buildings and improvements 37,712,369 8,995 1,585,934 39,307,298 Machinery and equipment 8,204,274 193,842 - 8,398,116 Infrastructure
Roadways, curbs and gutters 98,822,405 695,536 2,540,526 102,058,467 Sidewalks and medians 11,325,731 - - 11,325,731 Other street appurtenances 11,117,222 1,334,177 627,605 13,079,004 Right-to-use lease assets 91,756 594,304 - 686,060 Right-to-use subscription assets 138,853 187,077 - 325,930 Total capital assets, being depreciated
and amortized 167,412,610 3,013,931 4,754,065 175,180,606 Less accumulated depreciation and amortization for
Buildings and improvements (9,310,161) (1,064,317) 25,026 (10,349,452) Machinery and equipment (6,708,741) (267,592) (9,387) (6,985,720) Infrastructure -
Roadways, curbs and gutters (29,772,947) (3,007,508) - (32,780,455) Sidewalks and medians (4,796,430) (302,257) - (5,098,687) Other street appurtenances (3,763,616) (162,530) (15,639) (3,941,785) Right-to-use lease assets (44,300) (110,111) - (154,411) Right-to-use subscription assets (42,309) (87,109) - (129,418) Total accumulated depreciation and amortization (54,438,504) (5,001,424) - (59,439,928) Total capital assets, being depreciated
and amortized 112,974,106 (1,987,493) 4,754,065 115,740,678 Governmental activities capital assets, net $ 199,440,531 $ 9,017,502 $ - $ 208,458,033 159
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
64 NOTE 8 CAPITAL ASSETS (CONTINUED)
A. Governmental Activities (Continued)
Depreciation and amortization expenses wer e charged to functions/programs of the City's governmental activities as follows:
B. Business-Type Activities
Summary of changes in capital asset for the business-type activity (Water and Sewer) for the year ended June 30, 2024 was as follows:
Depreciation and amortization expenses were charged to water and sewer function of the City's business-type activities in the amount of $685,213.
General government $ 1,172,796
Public safety 44,124
Public works 3, 517,070
Community development 48,819
Parks and recreation 11,296
Internal service fund 207,319
Total $ 5,001,424
Beginning Balance Deletions/ Ending
(As Restated) Additions Reclassification Balance
Capital assets, not being depreciated
Land $ 36,341 $ - $ - $ 36,341 Construction in progress 2,841,965 3,668,584 (1,017,097) 5,493,452 Total capital assets, not being depreciated 2,878,306 3,668,584 (1,017,097) 5,529,793 Capital assets, being depreciated and amortized
Buildings and improvements 90,555 41,925 1,005,452 1,137,932 Machinery and equipment 1,363,705 35,669 - 1,399,374 Infrastructure 28,038,083 - 11,645 28,049,728 Right-to-use lease assets 5,534 - - 5,534 Total capital assets, being depreciated
and amortized 29,497,877 77,594 1,017,097 30,592,568 Less accumulated depreciation for
Buildings and improvements (27,403) (100,976) - (128,379) Machinery and equipment (730,400) (91,236) - (821,636) Infrastructure (10,327,560) (491,694) - (10,819,254) Right-to-use lease assets (2,613) (1,307) - (3,920) Total accumulated depreciation and amortization (11,087,976) (685,213) - (11,773,189) Total capital assets, being depreciated
and amortized 18,409,901 (607,619) 1,017,097 18,819,379 Business-type activities capital assets, net $ 21,288,207 $ 3,060,965 $ - $ 24,349,172 160
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
65 NOTE 9 LONG-TERM LIABILITIES
A. Governmental Activities
Summary of changes in the City’s governmental activities long-term liabilities for the year ended June 30, 2024 was as follows:
Debt service payments for governmental activities are made from Debt Service Fund.
The compensated absences are primarily liquidated from the General Fund.
Claims Payable
The City is self-insured for general liability and workers' compensation claims. The City records losses for claims incurred but not reported when the probable amount of loss can be reasonably estimated. Total amount of estimated claims outstanding at June 30, 2024 is $5,030,000. The claims payable is typically liquidated from the General Fund.
Lease Payable
The City entered into leases for machine uses. The terms of the agreements range from 18 months to 60 months. The in terest rates used were between 0.218% to
0.632% based on the terms of the agreements.
Principal and interest payments to maturity at June 30, 2024 are as follows:
Due in
Beginning Ending Due Within M ore Than
Balance Increases Decreases Balance One Year One Year
Compensated absences $ 1,620,890 $ 38,453 $ (161,649) $ 1,497,694 $ 374,424 $ 1,123,270 Claims payable 4,824,000 1,290,906 (1,084,906) 5,030,000 1,143,638 3,886,362 Lease payable 41,237 594,304 (103,965) 531,576 120,976 410,600 Subscription liabilities 50,403 123,071 (54,444) 119,030 60,583 58,447 Direct borrowing
CEC Loan 1,656,977 - (87,233) 1,569,744 118,508 1,451,236 Vehicle Financing 34,798 - (8,699) 26,099 8,700 17,399 Revenue bonds and certificates
2012 Sales Tax Revenue Certificates 4,850,000 - (240,000) 4,610,000 245,000 4,365,000 2017 Lease Revenue Refunding Bonds 5,517,575 - (258,854) 5,258,721 270,821 4,987,900 2018 Lynwood Housing Revenue Bonds 13,330,000 - (1,690,000) 11,640,000 1,755,000 9,885,000 2019A Measure M Sales Tax Bond 12,140,000 - (120,000) 12,020,000 125,000 11,895,000 2019B Measure R Sales Tax Bond 1,940,000 - (90,000) 1,850,000 95,000 1,755,000 2019A PFA Lease Revenue Refunding Bonds 7,235,000 - (415,000) 6,820,000 420,000 6,400,000 2019B PFA Lease Revenue Refunding Bonds 13,955,000 - - 13,955,000 - 13,955,000 2020 PFA Lease Revenue Bonds 13,500,000 - (575,000) 12,925,000 585,000 12,340,000 Subtotal revenue bonds and certificates 72,467,575 - (3,388,854) 69,078,721 3,495,821 65,582,900 Add: Premium 933,483 - (40,481) 893,002 - 893,002 Less: Discount (628,693) - 54,709 (573,984) - (573,984) Total revenue bonds and certificates 72,772,365 - (3,374,626) 69,397,739 3,495,821 65,901,918 Governmental activities $ 81,000,670 $ 2,046,734 $ (4,875,522) $ 78,171,882 $ 5,322,650 $ 72,849,232 Year Ending June 30, Principal Interest Total
2025 $ 120,976 $ 25,048 $ 146,024
2026 121,209 18,943 140,152
2027 124,013 12,528 136,541
2028 129,954 5,773 135,727
2029 35,424 631 36,055
Totals $ 531,576 $ 62,923 $ 594,499
161
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
66 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Subscription Liabilities
The City entered into subscription agreements with various vendors for software. The terms of the agreements range from 24 months to 60 months. The interest rates used were between 2.145% to 3.018% based on the terms of the agreements.
Principal and interest payments to maturity at June 30, 2024 are as follows:
CEC Loan
On December 10, 2019; the City and the Cal ifornia Energy Resources Conservation and Development Commission (the “Energy Commission”) entered into a loan agreement (“CEC Loan”) in the amount up to $1,734,071. Loan funds will be disbursed on a reimbursement basis based on invoices submitted by the City. All funds disbursed with interest payable will be repaid to the Energy Commission and will bear simple interest at an annual rate of 1%. Payment of interest will be due at the time of the semiannual scheduled loan repayment installm ents to the Energy Commission, and interest accrued from the time of disbursal of funds to the City until receipt of full loan repayment to the Energy Commission. As of June 30, 2024, the loans payable amounted to $1,569,744.
The debt service schedule for CEC loan is as follows:
Year Ending June 30, Principal Interest Total
2025 $ 60,583 $ 2,338 $ 62,921
2026 27,906 1,464 29,370
2027 28,799 630 29,429
2028 1,742 - 1,742
Totals $ 119,030 $ 4,432 $ 123,462
Year Ending June 30, Principal Interest Total
2025 $ 118,508 $ 15,403 $ 133,911
2026 119,695 14,215 133,910
2027 120,895 13,015 133,910
2028 122,076 11,834 133,910
2029 123,331 10,579 133,910
2030 - 2034 635,433 34,118 669,551
2035 - 2036 329,806 4,970 334,776
Totals $ 1,569,744 $ 104,134 $ 1,673,878
162
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
67 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Vehicle Financing
On June 8, 2022, the City entered into v ehicle finance agreement with AutoNation Toyota Cerritos. The term of the agreement is 60 monthly payments with zero interest and principal due starting on July 23, 2022. The outstanding balance as of June 30, 2024 was $26,099.
Future payments are as follows:
City of Lynwood Measure R Sales Tax Revenue Certificates, Series 2012 On December 5, 2012, the City issued $6,850,000 Measure R Sales Tax Revenue Certificates, Series 2012. The proceeds were used to finance the costs of the acquisition, construction, installation and equipping certain public capital improvements for the City, fund a reserve ac count and pay cost of issuance of the bonds. Interest on the bonds is payable semi-annually each June 1 and December 1, beginning June 1, 2013. Principal matures each June 1 beginning 2014 and maturing in 2039. Interest rates on the bonds va ry between 1.75% and 4.00%. The principal balance outstanding at June 30, 2024 was $4,610,000.
Future debt service payments are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 8,700 $ 632 $ 9,332
2026 8,700 632 9,332
2027 8,699 632 9,331
Totals $ 26,099 $ 1,896 $ 27,995
Year Ending June 30, Principal Interest Total
2025 $ 245,000 $ 146,444 $ 391,444
2026 255,000 139,706 394,706
2027 260,000 132,694 392,694
2028 270,000 124,894 394,894
2029 275,000 116,794 391,794
2030 - 2034 1,520,000 450,531 1,970,531
2035 - 2039 1,785,000 184,613 1,969,613
Totals $ 4,610,000 $ 1,295,676 $ 5,905,676
163
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
68 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
City of Lynwood Lease Revenue Refunding Bonds, Series 2017 In April 2017, the City issued $7,685, 000 Lease Revenue Bonds to current refund Lynwood Public Financing Authority 2003 Lease Revenue Refunding Bonds Series A and B, to finance the costs of the 2017 capital improvement projects (“2017 Project”), and to pay for the cost of issuance. Ly nwood Public Financing Authority 2003 Lease Revenue Refunding Bonds Series A and B has been fully redeemed on May 11, 2017.
Interest on the bonds is payable semi -annually each Marc h 1 and September 1 beginning September 1, 2017 at a rate of 3.72% annum. Principal matures each September 1 beginning in 2017 and maturing in 2035. The refunding resulted in economic gain in the amount of $60,285 and savings in debt service in the amount of $74,625. The principal balance outstanding at June 30, 2024 was $5,258,721.
Future debt service payments are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 270,821 $ 190,587 $ 461,408
2026 279,895 180,344 460,239
2027 290,308 169,738 460,046
2028 303,682 158,690 462,372
2029 308,629 147,301 455,930
2030 - 2034 2,557,058 491,883 3,048,941
2035 - 2036 1,248,328 46,807 1,295,135
Totals $ 5,258,721 $ 1,385,349 $ 6,644,070
164
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
69 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Lynwood Housing Authority Taxable Revenue Bonds, Series 2018 On November 1, 2018, the Lynwood Housing Authority issued $19,705,000 Lynwood Housing Authority Taxable Revenue Bonds, Series 2018 pursuant to the provisions of Chapter 1 of Part 2 of Division 24 of the California Health and Safety Code, a resolution adopted by the Housing Authority. The Housi ng Authority issued the Bonds to satisfy the terms of a settlement agreement relating to Rogel, et al. v. State of California Department of Finance, et al., fund the construction of a multifamily housing project, fund a reserve fund for the Bonds, and prov ide for the costs of issuing the Bonds.
Principal matures each March 1 and Sept ember 1 beginning March 1, 2019 and maturing on September 1, 2029. Interest rates on the bonds vary between 3.120% and
3.980%. The principal balance outstanding at June 30, 2024, including unamortized discount of $192,117, was $11,447,883.
Future debt service payments are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 1,755,000 $ 430,325 $ 2,185,325
2026 1,825,000 358,900 2,183,900
2027 1,900,000 284,400 2,184,400
2028 1,975,000 206,900 2,181,900
2029 2,050,000 126,400 2,176,400
2030 2,135,000 42,700 2,177,700
Subtotals 11,640,000 1,449,625 13,089,625
Less: Discount 192,117 - 192,117
Totals $ 11,447,883 $ 1,449,625 $ 12,897,508
165
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
70 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Lynwood Public Financing Authority Measure M Sales Tax Bond, Series 2019A On February 1, 2019, the Lynwood Public Financing Authority issued the $13,060,000 Lynwood Public Financing Authority Sales Tax Revenue Bonds, Series 2019A (“2019A Bonds”) to finance a portion of the cost associated with certain transportation projects of the City, fund a reserve account, and pa y the cost of iss uance of the bonds. The 2019A Bonds are a limited obligation of the Authority and are payable exclusively from the Pledged Measure M Receipts and any other funds pledged under the agreement.
The interest rate is 4.0% per annum and will be payable on June 1, and December 1 of each year commencing June 1, 2019 to 2048. The principal balance outstanding at June 30, 2024 including an unamortized premium of $768,418, was $12,788,418.
Future debt service payments for 2019A Bonds are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 125,000 $ 535,300 $ 660,300
2026 130,000 530,300 660,300
2027 135,000 525,100 660,100
2028 140,000 518,350 658,350
2029 150,000 511,350 661,350
2030 - 2034 855,000 2,441,100 3,296,100
2035 - 2039 1,040,000 2,258,194 3,298,194
2040 - 2044 4,785,000 1,827,088 6,612,088
2045 - 2048 4,660,000 627,375 5,287,375
Subtotals 12,020,000 9,774,157 21,794,157
Add: Premium 768,418 - 768,418
Totals $ 12,788,418 $ 9,774,157 $ 22,562,575
166
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
71 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Lynwood Public Financing Authority Measure R Sales Tax Bond, Series 2019B On February 1, 2019, the Lynwood Public Financing Authority issued the $2,395,000 Lynwood Public Financing Authority Sales Tax Revenue Bonds (“2019B Bonds”) to prepay all of the $2,740,000 Lynwood Public Financing Authority 2019 Bond Anticipation Note, fund a reserve account, and pay the cost of issuance of the bonds.
Interest will be payable on June 1, and December 1 of each year commencing June 1, 2019. The 2019A Bonds are a limited oblig ation of the Authority and are payable exclusively from the Pledged Measure R Receipts and any other funds pledged under the agreement. Interest rate will be payable on June 1, and December 1 of each year commencing June 1, 2019 to 2039. Interest rates on the bonds vary between 3.0% and 5.0%. The principal balance outst anding at June 30, 2024 including an unamortized premium of $124,584, was $1,974,584.
Future debt service payments for the 2019B Bonds are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 95,000 $ 73,663 $ 168,663
2026 95,000 69,863 164,863
2027 100,000 66,063 166,063
2028 100,000 62,063 162,063
2029 110,000 58,063 168,063
2030 - 2034 605,000 207,813 812,813
2035 - 2039 745,000 77,238 822,238
Subtotals 1,850,000 614,766 2,464,766
Add: Premium 124,584 - 124,584
Totals $ 1,974,584 $ 614,766 $ 2,589,350
167
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
72 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Lynwood Public Financing Authority Lease Revenue Refunding Bonds, Series 2019A and B
On November 26, 2019, the Lynwood Publ ic Financing Authority issued the $8,465,000 Lynwood Public Financing Au thority Lease Reven ue Refunding Bonds Series 2019A (federally taxable) to prov ide funds to refund Lease Revenue Bonds, 2010 Series A (Civic Center Improvement Project), and to pay cost of issuance of the bonds. Interest will be payable on April 1, and October 1 of each year commencing April 1, 2020. Interest rate will be pa yable on June 1, and October 1 of each year commencing October 1, 2020 to 2040. In terest rates on the bonds vary between
2.153% and 3.961%. The principal balance out standing at June 30, 2024 including unamortized discount of $9,440, was $6,810,560.
Lease Revenue Bonds, 2010 Series A has been fully refunded on September 1, 2020.
These advance refunding resulted in an economic gain (difference between the present value of the debt service paym ents on the new and old debt) of $2,286,454 and a reduction of total debt service payments of $3,028,954.
Future debt service payments for the Series 2019A Bonds are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 420,000 $ 227,483 $ 647,483
2026 435,000 216,164 651,164
2027 445,000 203,841 648,841
2028 455,000 190,713 645,713
2029 475,000 176,605 651,605
2030 - 2034 1,795,000 684,236 2,479,236
2035 - 2039 1,920,000 359,352 2,279,352
2040 - 2041 875,000 34,073 909,073
Subtotals 6,820,000 2,092,467 8,912,467
Less: Discount 9,440 - 9,440
Totals $ 6,810,560 $ 2,092,467 $ 8,903,027
168
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
73 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Lynwood Public Financing Authority Lease Revenue Refunding Bonds, Series 2019A and B (Continued)
On November 26, 2019, the Lynwood Publ ic Financing Authority issued the $13,955,000 Lynwood Public Financing Au thority Lease Revenue Refunding Bonds Series 2019B (tax-exempt) to provide funds to finance a portion of the costs associated with certain park improvements within the City limits and to pay cost of issuance of the bonds. Interest will be payable on April 1, and October 1 of each year commencing April 1, 2020. Interest rate will be pay able on June 1, and October 1 of each year commencing October 1, 2020 to 2049. Interest rates on the bonds vary between
2.750% and 3.150%. Principal matures eac h October 1 beginning October 1, 2036 and maturing on October 1, 2049. The principal balance outstanding at June 30, 2024 including unamortized discount of $278,271, was $13,676,729.
Future debt service payments for the Series 2019B Bonds are as follows:
Year Ending June 30, Principal Interest Total
2025 $ - $ 415,900 $ 415,900
2026 - 415,900 415,900
2027 - 415,900 415,900
2028 - 415,900 415,900
2029 - 415,900 415,900
2030 - 2034 - 2,079,500 2,079,500
2035 - 2039 1,675,000 2,010,650 3,685,650
2040 - 2044 4,570,000 1,548,600 6,118,600
2045 - 2049 6,330,000 693,000 7,023,000
2050 1,380,000 20,700 1,400,700
Subtotals 13,955,000 8,431,950 22,386,950
Less: Discount 278,271 - 278,271
Totals $ 13,676,729 $ 8,431,950 $ 22,108,679
169
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
74 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
A. Governmental Activities (Continued)
Lynwood Public Financing Authority Lease Revenue Bonds Series 2020A On December 10, 2020, Lynwood Publ ic Financing Authority issued the $13,500,000 Lynwood Public Financing Au thority Lease Revenue Bonds Series 2020A to provide funds to finance working capital for the City’s General Fund or such other purposes as the City may determine including public capital improvements and to fund a debt servic e reserve fund for the bonds, and to pay costs of issuance of the bonds. Interest in the bonds is payable semiannually on April 1 and October 1 of each year, commencing April 1, 2021. Interest rates on the bonds vary between 1.793% and 4.195%. The principal matures each October 1st, beginning October 1, 2023 and maturi ng on October 1, 2040. The principal balance outstanding at June 30, 2024 including unamortized discount of $94,156, was $12,830,844.
Future debt service payments for the Lynwood Public Financing Authority Lease Revenue Bonds Series 2020A are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 585,000 $ 464,214 $ 1,049,214
2026 595,000 450,438 1,045,438
2027 610,000 434,811 1,044,811
2028 630,000 417,166 1,047,166
2029 645,000 397,526 1,042,526
2030 - 2034 3,575,000 1,630,681 5,205,681
2035 - 2039 4,305,000 874,760 5,179,760
2040 - 2041 1,980,000 83,900 2,063,900
Subtotals 12,925,000 4,753,496 17,678,496
Less: Discount 94,156 - 94,156
Totals $ 12,830,844 $ 4,753,496 $ 17,584,340
170
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
75 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
B. Business-Type Activities
Summary of changes in business-type activities long-term debt for the year ended June 30, 2024 is as follows:
Lease Payable
The City has entered into leases for machine uses. The terms of the agreements range from 18 months to 60 months. The calc ulated interest rates used were between
0.218% to 0.632% based on the term of the agreements.
Principal and interest payments to maturity at June 30, 2024 are as follows:
Lynwood Utility Authority 2014 Series A Enterprise Revenue Bonds On January 8, 2014, the Lynwood Utility Authority issued $5,660,000 Enterprise Revenue Bonds, Series 2014A, to advance refund $5,480,000 of the outstanding 2003 Enterprise Revenue Bonds and to pay the cost of issuing the bonds. Principal installments are due annually ranging in amounts from $180,000 to $390,000 plus interest at 4.130% through June 1, 2034. The bonds will be paid from and secured by the net revenues of the water and sewer enterprise of the City. The City has covenanted that the net revenues in each year will be greater than or equal to the debt service payments on these bonds and any other parity debt.
Due in
Beginning Ending Due Within More Than
Balance Increases Decreases Balance One Year One Year
Compensated absences $ 367,410 $ 4,455 $ (64,688) $ 307,177 $ 76,796 $ 230,381 Lease payable 2,891 - (1,331) 1,560 1,337 223 Revenue bonds
2014A Revenue Refunding Bonds 3,545,000 - (260,000) 3,285,000 270,000 3,015,000 2017A Revenue Refunding Bonds 3,815,000 - (600,000) 3,215,000 610,000 2,605,000 2017B Revenue Refunding Bonds 17,465,000 - (65,000) 17,400,000 70,000 17,330,000 2020A Enterprise Revenue Bonds (Green Bonds ) 19,805,000 - (100,000) 19,705,000 105,000 19,600,000 Subtotal revenue bonds 44,630,000 - (1,025,000) 43,605,000 1,055,000 42,550,000 Less: Discount (242,255) - 12,180 (230,075) - (230,075) Total revenue bonds 44,387,745 - (1,012,820) 43,374,925 1,055,000 42,319,925 Business-type activities $ 44,758,046 $ 4,455 $ (1,078,839) $ 43,683,662 $ 1,133,133 $ 42,550,529 Year Ending June 30, Principal Interest Total
2025 $ 1,337 $ 4 $ 1,341
2026 223 1 224
Totals $ 1,560 $ 5 $ 1,565
171
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
76 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
B. Business-Type Activities (Continued)
Lynwood Utility Authority 2014 Series A Enterprise Revenue Bonds (Continued) Of the Series 2014A proceeds, $5,532,517 were used to purchase U.S. Government securities to refund in full the 2003 Enterprise Revenue Bonds. Those securities were placed in an irrevocable trust with an escrow agent to provide for all future debt service payments on the entire balance of the 2003 Enterprise Revenue Bonds in the amount of $5,480,000. As a result, the entire 2003 Enterprise Revenue Bonds were defeased and the liability has been removed from t he Statement of Net Position in the accompanying financial statements. The advance refunding resulted in an economic gain (difference between the present val ue of the debt service payments on the new and old debt) of $265,453 and a reduction of total debt service payments of $416,902.
The principal balance outstanding at June 30, 2024 was $3,285,000.
Future debt service payments are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 270,000 $ 135,671 $ 405,671
2026 280,000 124,520 404,520
2027 295,000 112,956 407,956
2028 310,000 100,772 410,772
2029 320,000 87,969 407,969
2030 - 2034 1,810,000 230,248 2,040,248
Totals $ 3,285,000 $ 792,134 $ 4,077,134
172
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
77 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
B. Business-Type Activities (Continued)
Lynwood Utility Authority 2017 Series A Enterprise Revenue Refunding Bonds On August 3, 2017, the Lynwood Utility Authority issued $5,750,000 of 2017 Series A Enterprise Refunding Revenue Bonds. The pr oceeds, which were used to partially refund, on an advance basis, some of the outstanding Lynw ood Public Financing Authority Water Revenue 2009 Bonds Series A, for $5,600,735, fund a reserve fund for the bonds and pay the costs of issuanc e of the bonds. The net present value of savings, by doing the partial refunding, was $425,489. The outstanding balance of defeased 2009 Series A Enterprise Revenue Bond was fully redeemed on June 1, 2019.
The 2017 Series A bonds consist of $5,750,000 of bonds maturing from 2018 through 2029. The serial bonds carry interest at rates of 2.42% and mature June 1, 2029.
Interest is payable semi-annually every December 1 and June 1 with principal due June 1.
The bonds will be paid from, and secured by, the net revenues of the water and sewer enterprise funds of the City . The Lynwood Utility Author ity has covenanted, to the maximum extent permitted by law, to set rates and charges for the service and facilities of water and sewer enterprise sufficient to provide net revenues each year equal to at least 1.25 times the aggregate annual amou nt of debt service payments on these bonds and any other parity debt.
The principal balance outstanding at June 30, 2024 was $3,215,000.
Future debt service payments are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 610,000 $ 77,803 $ 687,803
2026 630,000 63,041 693,041
2027 640,000 47,795 687,795
2028 660,000 32,307 692,307
2029 675,000 16,335 691,335
Totals $ 3,215,000 $ 237,281 $ 3,452,281
173
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
78 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
B. Business-Type Activities (Continued)
Lynwood Utility Authority 2017 Series B Enterprise Revenue Bonds On September 7, 2017, the Lynwood Utility Authority issued $17,875,000 of 2017 Series B Enterprise Revenue Bonds. The proceeds fund a project fund, a reserve fund for the bonds, and pay the costs of issuance of the bonds.
The 2017 Series B bonds consist of $17,875,000 of bonds maturing from 2018 through 2047. The serial bonds carry interest at rates of 2.0% to 5.0% with an average of 3.25% and mature June 1, 2037. Two issues of te rm bonds mature June 1, 2042 and 2047.
Interest is payable semi-annually every December 1 and June 1 with principal due June 1. The term bonds carry interest rates of 3.47% and 3.53% respectively.
The bonds will be paid from, and secured by, the new net revenues from a rate increase of the water and sewer enterprise of the City. The Lynwood Utility Authority has covenanted, to the maximum extent permitted by law, to set rates and charges for the service and facilities of water and sewer enterprise sufficient to provide net revenues each year equal to at least 1.25 times the aggregate annual amount of debt service payments on these bonds and any other parity debt.
The principal balance outstanding at June 30, 2024, including unamortized discount of $84,721, was $17,315,279.
Future debt service payments are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 70,000 $ 592,506 $ 662,506
2026 70,000 589,706 659,706
2027 75,000 586,906 661,906
2028 80,000 583,906 663,906
2029 80,000 580,706 660,706
2030 - 2034 2,335,000 2,673,981 5,008,981
2035 - 2039 4,940,000 2,107,438 7,047,438
2040 - 2044 5,790,000 1,258,469 7,048,469
2045 - 2047 3,960,000 270,338 4,230,338
Subtotals 17,400,000 9,243,956 26,643,956
Less: Discount 84,721 - 84,721
Totals $ 17,315,279 $ 9,243,956 $ 26,559,235
174
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
79 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
B. Business-Type Activities (Continued)
Lynwood Utility Authority 2020 Series A Enterprise Revenue Bonds (Green Bonds) On April 2, 2020, the Lynwood Utility Au thority issued $20,000, 000 Lynwood Utility Authority Enterprise Revenue Bonds 2020 Series A (the “Green Bonds”). The Bonds were issued to finance certain improvement s to the water system and the sewer system of the City, purchase a municipal bond insurance policy and establish a reserve fund surety for the Green Bonds, and to pay the cost of the issuance of the 2020 Series A Enterprise Revenue Bonds (Green Bonds).
The serial bonds carry an interest rate of 4% and mature June 1, 2050. Interest is payable semi-annually every December 1 and June 1 beginning December 1, 2020.
The bonds will be paid from, and secured by, the new net revenues from a rate increase of the water and sewer enterprise of the City. The Lynwood Utility Authority has covenanted, to the maximum extent permitted by law, to set rates and charges for the service and facilities of water and sewer enterprise sufficient to provide net revenues each year equal to at least 1.25 times the aggregate annual amount of debt service payments on these bonds and any other parity debt.
The principal balance outstanding at June 30, 2024, including unamortized discount of $145,354, was $19,559,646.
Future debt service payments are as follows:
Year Ending June 30, Principal Interest Total
2025 $ 105,000 $ 720,506 $ 825,506
2026 110,000 716,306 826,306
2027 115,000 711,906 826,906
2028 110,000 707,306 817,306
2029 120,000 702,906 822,906
2030 - 2034 2,570,000 3,293,531 5,863,531
2035 - 2039 3,110,000 2,752,531 5,862,531
2040 - 2044 3,700,000 2,162,394 5,862,394
2045 - 2049 7,275,000 1,409,644 8,684,644
2050 2,490,000 90,263 2,580,263
Subtotals 19,705,000 13,267,294 32,972,294
Less: Discount 145,354 - 145,354
Totals $ 19,559,646 $ 13,267,294 $ 32,826,940
175
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
80 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
C. Fiduciary Activities
Summary of changes in Successor Agency’s long-term debt is as follows:
2022 Tax Allocation Refunding Bonds
On November 9, 2022, the Successor Agency to the Lynwood Redevelopment Agency issued its 2022 Tax Allocation Refunding Bonds (Federally Taxable) in the amount of $10,275,000 to refund all outstanding Tax Allo cation Bond issues of both the former Lynwood Redevelopment Agency and the Successor Agency with the prior unexpended proceeds as following:
Successor Agency used a combination of prior unexpended bond proceeds, prior reserve funds, and proceeds from the 2022 Tax Allocation Refunding Bonds to fully redeem the Prior Bonds. The Successor Agency retained a total of $6,307,812 in unspent proceeds from the 2011 Series A bonds , of which $901,116 is eligible to be spent on current projects with the rema ining $5,406,696 to become eligible for expenditure once the Successor Agency files its Last and Final Recognized Obligation Payment Schedule.
The 2011 Taxable Tax Allocation Bonds, Se ries A and B were fully refunded on December 9, 2022. The 2013 Tax Allocation Refunding Bonds, Project Area A, and 2013 Tax Allocation Refunding Bonds, Alameda Project Area outstanding balances at June 30, 2023 were $4,710,000 and $170,000, respectively and were fully redeemed on September 1, 2023 and September 1, 2024, respectively. The refunding resulted in an economic gain (difference between the present value of the debt service payments on the new and old debt) of $964,987 and a r eduction of total debt service payments of $19,079,301.
Due in
Beginning Ending Due Within More Than
Balance Increases Decreases Balance One Year One Year
2022 Tax Allocation Refunding Bonds $ 10,275,000 $- $ (1,455,000) $ 8,820,000 $ 1,115,000 $ 7,705,000 Total $ 10,275,000 $- $ (1,455,000) $ 8,820,000 $ 1,115,000 $ 7,705,000 Outstanding
Debt Refunded
Prior
Unexpected
Proceeds
2011 Tax Allocation Bonds, Series A $ 12,980,000 $ 11,358,844 2011 Tax Allocation Bonds, Series B 3,810,000 355,665 2013 Tax Allocation Refunding Bonds, Project Area A 4,710,000 601,651 2013 Tax Allocation Refunding Bonds, Alameda Project Area 170,000 - Total $ 21,670,000 12,316,160
Proceeds from the new debt issued 10,275,000
Total funds available for the refunding and associated costs $ 22,591,160 176
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
81 NOTE 9 LONG-TERM LIABILITIES (CONTINUED)
C. Fiduciary Activities (Continued)
2022 Tax Allocation Refunding Bonds (Continued)
Interest on the bonds will be payable semi annually on March 1 and September 1 of each year, commencing March 1, 2023, and at a rate from 5.090% to 5.900%. Principal payment on the bonds commences on Marc h 1, 2023 and matures on September 1, 2031.
The principal balance outstanding at June 30, 2024 was $8,820,000.
Future debt service payments are as follows:
NOTE 10 RISK MANAGEMENT
The City is a member of the Indepen dent Cities Risk Management Authority (“ICRMA”). ICRMA was established in 1980 to provide excess insurance coverage, risk management and self-insurance services for California cities. ICRMA is a Joint Powers Authority (JPA”) directed by a Governing Board consisting of one representative from each Member City.
ICRMA offers members excess liability, exce ss workers’ compensation, property and special events coverage. Currently, t here are fourteen member cities. ICRMA maintains an agreement on management servic es with Bickmore Risk Services to provide staff services to the Authority.
A. Liability Program
ICRMA provides coverage on an occurrence basis to Members of the Liability Program between the Members' Self-I nsured Retentions (SIR) and $2 million. The City of Lynwood currently has SIR of $500,000. Members pay an annual premium consisting of two components:
x risk premium - to fund losses as estimated by ICRM A’s independent actuary and to fund the cost of reinsurance.
x administrative premium - to pay management and operations costs.
Year Ending June 30, Principal Interest Total
2025 $ 1,115,000 $ 456,711 $ 1,571,711
2026 1,115,000 399,077 1,514,077
2027 1,165,000 339,214 1,504,214
2028 1,050,000 279,707 1,329,707
2029 1,105,000 220,293 1,325,293
2030 - 2032 3,270,000 293,671 3,563,671
Totals $ 8,820,000 $ 1,988,672 $ 10,808,672
177
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
82 NOTE 10 RISK MANAGEMENT (CONTINUED)
A. Liability Program (Continued)
The combination of self-funding and the ability to attract reinsurance provides ICRMA Members with affordable and broad coverage in all stages of the commercial insurance market. The Liability Program Bylaws set forth claims handling and risk management guidelines and other program terms and conditions.
Currently, coverage is provided as noted below:
B. Workers’ Compensation Program
The Workers' Compensation Program comb ines self-funding and group purchased excess insurance. Sixteen ICRMA Members participate in this program. Members gain lower costs by combining to purchase excess coverage as one large entity and they gain cost stability by joining together to fund losses between the Members’ SIRs and the excess insurance attachment point.
Currently, the ICRMA Workers’ Compensation program covers the difference between the City’s $500,000 SIR and $2 million each accident. Commercial excess insurance attaches above the ICRMA $5 million limit and extends to $100 million each accident.
Members pay an annual premium consisting of two components:
x risk premium - to fund losses as estimated by ICRM A’s independent actuary and to fund the cost of excess insurance.
x administrative premium - to pay management and operations costs.
C. All Risk Property Program
The City of Lynwood participates in the Property Insurance Program including auto, earthquake, and flood insurance. The property coverage limit is $250 million per occurrence other than auto, earthquake, and flood insurance. Auto insurance coverage limit is $10 million for all vehicles and $1 million per vehicle. Earthquake and flood insurance coverage limit is $75 million per occurrence. The City also participates in the Crime, Cyber, and Terrorism Insurance Programs with coverage limits of $5 million per loss, $3 million per member, and $10 million per occurrence, respectively.
ICRMA Reinsurer
Public Officials Errors & 2 ,000,000 each occurrence* $ 20,000,000 each occurrence & Omission Liability annual aggregate excess of
ICRMA
Employment Practices Liability 2,000,000 each occurrence* $20, 000,000 each occurrence & annual aggregate excess of
ICRMA
Other Liability 2,000,000 each occurrence* $30, 000,000 each occurrence excess of ICRMA
178
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
83 NOTE 10 RISK MANAGEMENT (CONTINUED)
C. All Risk Property Program (Continued)
Due to the cost of earthquake insurance, the City only covers essential buildings for this insurance. Premiums for these polici es are paid annually and are not subject to retroactive adjustments.
While the ultimate amount of losses incurred through June 30, 2024 are dependent on future developments, based upon information from the City Attorney, outside counsel, third party administrators, and others involved with the administration of the programs, management believes that the designation is adequate to cover such losses. Costs relating to the litigation of claims are expensed as incurred. Losses for claims incurred but not reported are recorded when the pr obable amount of loss can be reasonably estimated.
D. Other Programs
The City purchases fidelity coverage for its key officials in the amounts of $10,000 to $50,000 with no deductible. Premiums for these policies are paid annually and are not subject to retroactive adjustments.
E. Liability for Self-Insured Claims
The following is a schedule of changes in claims and judgments for the three years ended June 30, 2024:
As of June 30, 2024, the workers' compens ation claims payable in the amount of $3,361,000 and the general liability claims payable in the amount of $1,669,000 were reported in the Self-Insurance Internal Service Fund.
During the past three fiscal (claim) years, none of the above progr ams of protection have had settlements or judgments that exceeded pooled or insured coverage. There have been no significant reductions in pool ed or insured liability coverage from the prior year.
Workers' General
Compensation Liability Total
Claims and judgements at June 30, 2021 $ 3,170,245 $ 3,403,906 $ 6,574,151 Claims incurred and changes in estimates 268,495 (918,217) (649,722) Claim payments (281,740) (198,689) (480,429) Claims and judgements at June 30, 2022 3,157,000 2,287,000 5,444,000 Claims incurred and changes in estimates 256,770 (437,057) (180,287) Claim payments (275,770) (163,943) (439,713) Claims and judgements at June 30, 2023 3,138,000 1,686,000 4,824,000 Claims incurred and changes in estimates 686,236 604,670 1,290,906 Claim payments (463,236) (621,670) (1,084,906) Claims and judgements at June 30, 2024 $ 3,361,000 $ 1,669,000 $ 5,030,000 179
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
84 NOTE 11 DEFINED BE NEFIT PENSION PLANS
The following is the summary of net pension liabilities and the related deferred outflows of resources and deferred inflows of resources at June 30, 2024 and pension expenses for the year then ended:
Governmental Business-type
Activities Activities Total
Deferred outflows of resources
Pension contributions subsequent to measurement date
Miscellaneous $ 3,198,095 $ 802,914 $ 4,001,009 Safety 649,719 - 649,719
Total contribution after measurement date 3,847,814 802,914 4,650,728 Changes of assumptions
Safety 478,826 - 478,826
Total difference between assumptions 478,826 - 478,826 Differences between expected and actual experience
Miscellaneous 286,253 71,867 358,120 Safety 602,362 - 602,362
Total difference between expected and actual experience 888,615 71,867 960,482 Differences between projected and actual investment earnings Miscellaneous 3,333,511 836,912 4,170,423 Safety 1,122,784 - 1,122,784
Total differences between projected and
actual investment earnings 4,456,295 836,912 5,293,207 Differences between employer's contributions and
proportionate share of contributions
Safety 350,107 - 350,107
Total deferred outflows of resources $ 10,021,657 $ 1,711,693 $ 11,733,350 Net pension liability
Miscellaneous $ 29,137,444 $ 7,315,255 $ 36,452,699 Safety 8,204,500 - 8,204,500
Total net pension liabilities $ 37,341,944 $ 7,315,255 $ 44,657,199 Deferred inflows of resources
Differences between expected and actual experience
Safety $ 51,569 $ - $ 51,569 Change in employer's proportion
Safety 559,783 - 559,783 -
Total deferred inflows of resources $ 611,352 $ - $ 611,352 Pension expenses (income)
Miscellaneous $ 4,675,690 $ 1,173,880 $ 5,849,570 Safety 659,288 - 659,288
Total pension expenses $ 5,334,978 $ 1,173,880 $ 6,508,858 180
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
85 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
A. General Information about the Pension Plans
Plan Description
The City contributes to two defined benefit pension plans: Employees Retirement Plan (Miscellaneous Plan) and Fire Retirement Pl an (Safety Plan). Each plan provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. The Miscel laneous Plan is part of the Public Agency portion of the California Public Employees Retirement System (“CalPERS”), an agent multiple-employer plan administered by CalPERS, which acts as a common investment and administrative agent for t he participating public employers within the State of California. Benefit provisions under the Plan are established by State Statute and City resolution. CalPERS’ audited fi nancial statements can be obtained at CalPERS’ website under Forms and Publications.
Effective November 1, 2000, the City’s fire department was transferred to Los Angeles County (the “County”). As a result, certain safety members (employees of the fire department) of CalPERS have c eased to be employed by t he fire department of the City and have been employed by the County, and upon such transfer, these safety members have become members of Los Angeles County Employees Retirement Association (“LACERA”). This transfer di d not apply to safety members who have retired on or before the effective date of the transfer. Those retir ees will continue to receive their pension benefits from the City 's Safety Plan with CalPERS. The City of Lynwood’s Safety Plan is currently part of the CalPERS Inactive Agency Risk Pool, a cost-sharing multiple-employer defined benefit plan.
181
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
86 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
A. General Information about the Pension Plans (Continued)
Benefit Provided
CalPERS provides retirement and di sability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. Benefit provisions under both plans are established by the State statute and City resolution as follows:
Participants are eligible for Service Retire ment upon the attainment of age 50 with at least 5 years of credited service (total service across all CalPERS employers, and with certain other retirement systems with which CalPERS has reciprocity agreements). For employees hired into a plan with the 1.5 per cent at 65 formula, eligibility for service retirement is age 55 with at least 5 years of service. PEPRA miscellaneous members become eligible for service retirement upon the attainment of age 52 with at least 5 years of service.
Participants become eligible for a deferred vested retirement benefit when he or she leaves employment, keeps hi s or her contribution account balance on deposit with CalPERS, and has earned at least 5 years of credited service (total service across all CalPERS employers, and with certain other retirement systems with which CalPERS has reciprocity agreements). Members bec ome eligible to receive the deferred retirement benefit upon satisfying the eligib ility requirements for deferred status and upon attainment of age 50 (55 for employ ees hired into a 1.5% @ 65 plan). PEPRA miscellaneous members become eligible to receive the deferred retirement benefit upon satisfying the eligibility requirements fo r deferred status and upon attainment of age 52.
Prior to On or After
Hire Date 1/1/2013 1/1/2013
Benefit Formula 3% @ 60 2% @ 62
Benefit Vesting Schedule 5 Years of Service 5 Years of Service Benefit Payments Monthly for Life Monthly for Life
Retirement Age 50 52
Benefit per year of service,
as a percentage of salary 2.0% to 3.0% 1.0% to 2.5%
Required Employee Contribution Rates 8.00% 5.75%
Required Contribution during
Measurement Period 10.81% 10.81%
Safety
Prior to
Hire Date 1/1/2013
Benefit Formula 2% @ 50
Benefit Vesting Schedule 3 Years of Service
Benefit Payments Monthly for Life
Retirement Age 50
Benefit per year of service,
as a percentage of salary 0.00%
Required Employee Contribution Rates 0.00%
Required Contribution during
Measurement Period 0.00%
Miscellaneous
182
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
87 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
A. General Information about the Pension Plans (Continued)
Benefit Provided (Continued)
A participant is eligible for Non-Industrial Disability Retirement if he or she becomes disabled and has at least 5 years of credited service (total service across all CalPERS employers, and with certain other retire ment systems with which CalPERS has reciprocity agreements). There is no s pecial age requirement. Disabled means the member is unable to perform his or her job because of an illness or injury, which is expected to be permanent or to last indefinitely. The illness or injury does not have to be job related. A CalPERS member must be actively employed by any CalPERS employer at the time of disability in order to be eligible for this benefit. The standard Non- Industrial Disability Retirement bene fit is a monthly allowance equal to 1.8 percent of final compensation multiplied by service.
An employee’s beneficiary (or estate) may receive the basic death benefit if the member dies while actively employed. A CalPERS member must be actively employed with the CalPERS employer providing this benefit to be eligible for this benefit. A member’s survivor who is eligible for any other pre-retirement death benefit may choose to receive that death benefit instead of this basic death benefit. The basic death benefit is a lump sum in the amount of the member’s accumulated contributions, where interest is credited annually at the greater of 6 percent or the pr evailing discount rate through the date of death, plus a lump sum in the amount of one month's salary for each completed year of current service, up to a maximum of six months' salary. For purposes of this benefit, one month's sala ry is defined as the member's average monthly full-time rate of compensation during the 12 months preceding death.
Retirement and survivor allowances are adjust ed each year in May for cost of living, beginning the second calendar year after the year of retirement. The standard cost-of- living adjustment (COLA) is 2 percent. A nnual adjustments are calculated by first determining the lesser of 1) 2 percent compounded from the end of the year of retirement or 2) actual rate of inflation. The resulting increase is divided by the total increase provided in prior years. For an y given year, the COLA adjustment may be less than 2 percent (when the rate of inflati on is low), may be greater than the rate of inflation (when the rate of inflation is low after several years of high inflation) or may even be greater than 2 percent (when inflat ion is high after several years of low inflation).
183
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
88 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
A. General Information about the Pension Plans (Continued)
Employees Covered by Benefit Terms
At June 30, 2022, the valuat ion date, the following empl oyees were covered by the benefit terms:
Contributions
Section 20814(c) of the California Publ ic Employees’ Retir ement Law (“PERL”) requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be e ffective on the July 1 following notice of a change in the rate. The total plan contri butions are determined through CalPERS’ annual actuarial valuation process. The ac tuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by em ployees during the year, with an additional amount to finance any unfunded accrued liability. The employer is required to contribute the difference between the actuarially determined rate and the contribution rate of employees.
B. Net Pension Liability
Actuarial Methods and Assumption Used to Determine Total Pension Liability The June 30, 2022 valuation was rolled for ward to determine the June 30, 2023 total pension liability, based on following actuarial methods and assumptions:
Miscellaneous Safety
Active Employees 103 0
Transferred and terminated employees 188 3
Retired Employees and Beficiaries 260 103
Total 551 106
Actuarial Cost Method Entry Age Actuarial Cost Method
Actuarial Assumptions
Discount Rate 6.90%
Inflation 2.30%
Salary Increases Varies by Entry Age and Service
Mortality Rate Table
1 Derived using CalPERS’ Membership Data for all Funds.
Post Retirement Benefit Increase The lesser of contract COLA or 2.30% until Purchasing Power Protection Allowance floor on purchasing power
applies, 2.30% thereafter
1The mortality table used was developed based on CalPERS- specific data. The probabilities of mortality are based on the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. Mortality rates incorporate full generational mortality improvement using 80% of Scale MP-2020 published by the Society of Actuaries. For more details on this table, please refer to the 2021 experience study report from November 2021 that can be found on the CalPERS website.
184
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
89 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
B. Net Pension Liability (Continued)
Change of Assumptions
Effective with the June 30, 2022 valuat ion date (2023 measurement date), the accounting discount rate was 6.90%. In dete rmining the long-ter m expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash fl ows. Projected returns for all asset classes are estimated, combined with risk estimates, and are used to project compound (geometric) returns over the long term. The discount rate used to discount liabilities was informed by the long-term projected portfolio return. In addition, demographic assumptions and the inflation rate assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions.
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 expecte d future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.
In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term market return expecta tions. Using historical returns of all of the funds’ asset classes, expected compound (geometric) returns were calculated over the next 20 years using a building-block appr oach. The expected rate of return was then adjusted to account for assumed administrative expenses of 10 basis points. The expected real rates of return by asset class are as follows.
Assume d
Asset
Asset Class1 Allocation
Global Equity - Cap-weighted 30.00 % 4.54%
Global Equity - Non Cap-weighted 12.00 3.84
Private Equity 13.00 7.28
Treasury 5.00 0.27
Mortgage-backed securities 5.00 0.50
Investment Grade Corporates 10.00 1.56
High Yield 5.00 2.27
Emerging Market Debt 5.00 2.48
Private Debt 5.00 3.57
Real Assets 15.00 3.21
Leverage -5.00 -0.59
100.00 %
2Figures are based on the 2021 Asset Liability Management study.
Real
Return 1,2
1An expected inflation of 2.30% used for this period.
185
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
90 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
B. Net Pension Liability (Continued)
Discount Rate
The discount rate used to measure the total pension liability was 6.90%. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will be made at statutor ily required rates, actuarially determined.
Based on those assumptions, the Plan’s fi duciary net position was projected to be available to make all projected future benefit payments of cu rrent plan members.
Therefore, the long-term expec ted rate of return on plan investments was applied to all periods of projected benefit payments to determine the total pension liability.
C. Changes in the Net Pension Liability
The following table shows the changes in net pension liability for the City’s miscellaneous plan recognized over the measurement period.
Miscellaneous Plan
Total Plan Net Pension
Pension Fiduciary Liability
Liability Net Position ( Asset)
Balance at June 30,2022
(Measurement Date) $ 121,972,613 $ 85,807,997 $ 36,164,616 Changes in the Year:
Service Cost 1,597,832 - 1,597,832 Interest on the Total
Pension Liability 8, 344,286 8,344,286
Changes in Benefit Terms 163,697 - 163,697 Differences Between
Expected and Actual
Experience 756,032 - 756,032 Contributions - Employer - 4,648,821 (4,648,821) Contributions - Employee - 635,622 (635,622) Net Investment Income - 5,352,420 (5,352,420) Administrative Expense - (63,099) 63,099 Benefit Payments,
Including Refunds
of Employee
Contributions (5,519,136) (5,519,136) - Net Changes 5,342,711 5,054,628 288,083 Balance at June 30,2023
(Measurement Date) $ 127,315,324 $ 90,862,625 $ 36,452,699 Increase (Decrease)
186
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
91 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
C. Changes in the Net Pens ion Liability (Continued)
Proportionate Share of Net Pension Liability and Pension Expense The following table shows the City’s safety plan’s proportionate share of the risk pool collective net pension liability over the measure period.
The following is the approach established by the plan actuary to allocate the net pension liability and pension expense to the individual employers within the risk pool.
(1) In determining a cost-sharing plan’s proportionate share, total amounts of liabilities and assets are first calculat ed for the risk pool as a whole on the valuation date (June 30, 2022). The risk pool’s fiduciary net position (“FNP”) subtracted from its total pension liabil ity (“TPL”) determines the net pension liability (“NPL”) at the valuation date.
(2) Using standard actuarial roll forward methods, the risk pool TPL is then computed at the measurem ent date (June 30, 2023). Risk pool FNP at the measurement date is then subtracted fr om this number to compute the NPL for the risk pool at the measurement date. For purposes of FNP in this step and any later reference thereto, the risk pool’s FNP at the measurement date denotes the aggregate risk pool’s FNP at June 30, 2023 less the sum of all additional side fund (or unfunded liability) contributions made by all employers during the measurement period (2022-2023).
(3) The individual plan’s TPL, FNP and NPL are also calculated at the valuation date. TPL is allocated based on the rate plan’s share of the actuarial accrued liability. FNP is allocated based on the rate plan’s share of market value assets.
(4) Two ratios are created by dividing t he plan’s individual TPL and FNP as of the valuation date from (3) by the amounts in step (1), the risk pool’s total TPL and FNP, respectively.
Safety Plan
Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability/(Asset)
(a) (b) (c) = (a) - (b)
Balance at June 30, 2022
(Measurement Date) $ 17,707,582 $ 9,499,615 $ 8,207,967 Balance at June 30, 2023
(Measurement Date) 17,307,777 9,103,277 8,204,500 Net Changes during 2022-2023 (399,805) (396,338) (3,467) Increase (Decrease)
187
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
92 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
C. Changes in the Net Pens ion Liability (Continued)
Proportionate Share of Net Pension Liability and Pension Expense (Continued)
(5) The plan’s TPL as of the Measuremen t Date is equal to the risk pool TPL generated in (2) multiplied by the TPL ratio generated in (4). The plan’s FNP as of the Measurement Date is equal to the FNP generated in (2) multiplied by the FNP ratio generated in (4) plus any additional side fund (or unfunded liability) contributions made by the employer on behal f of the plan during the measurement period.
(6) The plan’s NPL at the Measurement Date is the difference between the TPL and FNP calculated in (5).
Deferred outflows of resources, deferred in flows of resources, and pension expense are allocated based on the City’s share of net pension liability at the end of the measurement date.
The City’s proportionate share of the net pension liability was as follows:
Sensitivity of the Net Pension Liability to Changes in the Discount Rate The following presents the net pension liabili ty of the plans as of the measurement date, calculated using the discount rate of 6.90%, as well as what the net pension liability would be if it were calc ulated using a discount rate that is 1 percentage-point lower (5.90%) or 1 percentage-point higher (7.90%) than the current rate:
Pension Plan Fiduciary Net Position
Detailed information about the plan’s fiduciary net position is available in the separately issued CalPERS financial report.
Safety Plan
Proportion - June 30, 2023 0.11945%
Proportion - June 30, 2024 0.10976%
Change - Decrease -0.00969%
Discount Rate Current Discount Discount Rate
-1% (5.90% ) Rate (6.90% ) +1% (7.90% )
Miscellaneous Plan $ 54,374,888 $ 36,452,699 $ 21,752,362 Safety Plan $ 10,578,820 $ 8,204,500 $ 6,263,326 Plan's Net Pension Liability (Asset)
188
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
93 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
D. Pension Expense and Deferred Outfl ows and Deferred Inflows of Resources Related to Pensions
For the year ended June 30, 2024, the Ci ty recognized pension expense in the amounts of $5,849,570 and $659,288 for th e miscellaneous plan and safety plan, respectively.
As of the measurement date of June 30 , 2023, the City has deferred outflows and deferred inflows of resources related to pensions as follows:
The amounts above are net of outflows and inflows recognized as expense in the 2022-2023 measurement period.
Miscellaneous Plan
Deferred Deferred
Outflows Inflows
of Resources of Resources
Pension Contributions Subsequent to
Measurement Date $ 4,001,009 $ -
Differences Between Expected and Actual
Experience 358,120 -
4,170,423 -
Total $ 8,529,552 $ -
Safety Plan
Deferred Deferred
Outflows Inflows
of Resources of Resources
Pension Contributions Subsequent to
Measurement Date $ 649,719 $ -
Changes in Assumptions 478,826 -
Differences Between Expected and Actual
Experience 602,362 51,569
1,122,784 -
350,107
- 559,783
Total $ 3,203,798 $ 611,352
Change in Employer's Proportion
Net Differences Between Projected and Actual
Earnings on Pension Plan Investments
Net Differences Between Projected and Actual
Earnings on Pension Plan Investments
Differences Between Employer's Contributions and
Proportionate Share of Contributions
189
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
94 NOTE 11 DEFINED BENEFIT PENSION PLANS (CONTINUED)
D. Pension Expense and Deferred Outflows and Deferred Inflows of Resources Related to Pensions (Continued)
The expected average remaining service life time (“EARSL”) is calculated by dividing the total future service years by the total number of plan participants (active, inactive, and retired). The EARSL for the miscellaneous plan and the safety risk pool for the 2022-2023 measurement period is 1.9 and 3.8 years, which was obtained by dividing the total service years of 1,075 and 600,538 (the sum of remaining service lifetimes of the active employees) by 551 and 160,073 (the total number of participants: active, inactive, and retired), respectively.
$4,001,009 and $649,719 reported as deferre d outflows of resources related to pensions for miscellaneous plan and safety plan, respectively, resulting from the City’s contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ending June 30, 2025. Other amounts reported as deferred outflows and deferred inflows of resources related to pensions will be recognized in the future pension expense as follows:
E. Payable to the CalPERS Plan
At June 30, 2024, the City reported a payable of $21, 802 for the outstanding amount of contributions to the CalPERS Plan required for the year ended June 30, 2024.
F. Pension Tax Override
The City has established Retirement Spec ial Revenue Fund to accumulate property tax levied for the City employees’ retirement benefits.
Miscellaneous Safety
Year ending June 30, Plan Plan
2024 $ 1,142,939 $ 557,803
2025 469,717 437,160
2026 2,808,604 916,425
2027 107,283 31,339
2028 - -
Thereafter - -
$ 4,528,543 $ 1,942,727
Deferred Outflows (Inflows)
of Resources
190
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
95 NOTE 12 OTHER POSTEMPLOY MENT BENEFITS (“OPEB”)
At June 30, 2024, net OPEB li ability and related deferred outflows of resources and deferred inflows of resources are as follows:
A. General Information about the OPEB Plan
Plan Description
In addition to the retirement plan described in Note 11, the City provides healthcare and life insurance benefits, in accordance with memorandum of understandings, to eligible retired employees in a single empl oyer plan. The City joined and contributed to CalPERS California Employers’ Retiree Benefit Trust (“CERBT”) Fund in an agent multiple-employer plan. CalPERS’ audited financial statements can be obtained at CalPERS’ website under Forms and Publications.
Employees Covered by Benefit Term
Eligible participants to the plan at June 30, 2023, the measurement date, the following numbers of participants were covered by the benefit terms:
Contributions
The City contributed $1,7 97,773 during the measurement period and $2,025,863 during the fiscal year ended June 30, 2024.
Governmental Business-ty pe
Activities Activities Total
Deferred outflows of resources
OPEB contributions subsequent to measurement date $ 1,619,317 $ 406,546 $ 2,025,863 Changes of assumptions 1,177,892 295,722 1,473,614 Differences between expected and actual experience 54,969 13,800 68,769 Differences between projected and actual investment earnings 255,251 64,084 319,335 Total deferred outflows of resources $ 3,107,429 $ 780,152 $ 3,887,581 Net OPEB liability $ 16,856,681 $ 4,232,043 21,088,724 Deferred inflows of resources
Changes of assumptions $ 555,187 $ 139,385 $ 694,572 Differences between expected and actual experience 1,552,142 389,681 1,941,823 Total deferred inflows of resources $ 2,107,329 $ 529,066 $ 2,636,395 OPEB expenses $ 513,699 $ 128,970 $ 642,669 Inactive currently receiving benefits 111
Inactive entitled to but not yet receiving benefits 26
Active employees 104
Total 241
191
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
96 NOTE 12 OTHER POSTEMPLOY MENT BENEFITS (“OPEB”)
B. Net OPEB Liability
The June 30, 2023 valuation is used to report the June 30, 2024 total OPEB Liability.
Actuarial Assumptions
The total OPEB liability as of June 30, 2023 measurement date, was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified:
Discount Rate
6.25% per annum. This discount rate assumes the City continues to fully fund for its retiree health benefits through the Califor nia Employers’ Retiree Benefit Trust (“CERBT”) under its investment allocation strategy 1.
The long-term expected rate of return on OPEB plan investments was determined using a building-block method in which best- estimate ranges of ex pected 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.
Changes of Assumptions
There were no changes in assumptions.
Actuarial Cost Method Entry Age Normal, Level Percentage of Payroll Actuarial Assumptions:
Contribution Policy Pay retiree pay-go outside the trust Long-Term Expected Rate of Return on Assets 6.25%
20-Year Municipal Bond Rate 3.65%
Disount Rate 6.25%
General Inflation 2.50% annually
Salary Increases Aggregate - 2.75% annually
Mortality Rate Table, Retirement, Disability,
Termination CalPERS 2000- 2019 Experience Study
Mortality Improvement Mortality projected fully generational with Scale MP- 2021 Medical Trend - Non-Medicare - 8.50% for 2025, decreasing to an ultimate rate of 3.45% in 2076
- Medicare (Non- Kaiser) - 7.50% for 2025, decreasing to an ultimate rate of 3.45% in 2076
- Medicare (Kaiser) - 6.25% for 2025, decreasing to an ultimate rate of 3.45% in 2076
PEMHCA Minimum 3.50% per annum
Healthcare Participation for Future Retirees - Medical - 95% for full benefit, 50% for PEMHCA minimum only benefit
- Others - 55% for dental, 60% for vision, 90% for life 192
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
97 NOTE 12 OTHER POSTEMPLOY MENT BENEFITS (“OPEB”)
B. Net OPEB Liability (Continued)
Expected Long-Term Rates of Return
C. Changes in Net OPEB Liability
The following table shows t he changes in the net OPEB li ability recognized over the measurement period:
Expected
Asset Class Target Real Rates
( CERBT Strategy 1) Allocation of Return
Global Equity 49.00% 4.56%
Fixed Income 23.00% 1.56%
TIPS 5.00% -0.08%
Commodities 3.00% 1.22%
Real Estate 20.00% 4.06%
Assumed Long-Term Rate of Inflation 2.50%
Long-Term Expected Rate of Return 6.25%
Total Plan Net
OPEB Fiduciary OPEB
Liability Net Position Liability
Balance at June 30,2022
(Measurement Date) $ 24,425,591 $ 4,989,957 $ 19,435,634 Changes in the Year
Service Cost 367,189 - 367,189 Interest 1,509,237 - 1,509,237 Differences Between Actual and
Expected Experience 84,398 - 84,398 Changes of Assumptions 1,808,526 - 1,808,526 Contribution - Employer - 1,797,773 (1,797,773) Net Investment Income - 327,760 (327,760) Administrative Expenses - (9,273) 9,273 Benefit Payments (1,289,952) (1,289,952) -
Net Changes 2,479,398 826,308 1,653,090 Balance at June 30,2023
(Measurement Date) $ 26,904,989 $ 5,816,265 $ 21,088,724 Increase ( Decrease)
193
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
98 NOTE 12 OTHER POSTEMPLOY MENT BENEFITS (“OPEB”)
C. Changes in Net OPEB Liability (Continued)
Sensitivity of the Net OPEB Liability to Changes in Discount Rate The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it was calculated us ing a discount rate that is 1-percentage point lower (5.25 percent) or 1-percentage-point higher (7.25 percent) than the current discount rate:
Sensitivity of the Net OPEB Liability to Changes in the Health Care Cost Trend Rates The following presents the net OPEB liability of the City, as well as what the City’s net OPEB liability would be if it was calculated using healthcare cost trend rates that are 1-percentage point lower or 1-percentage-point higher than the current healthcare cost trend rates:
D. OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB
For the year ended June 30, 2024, the City recognized OPEB expenses of $642,669.
At June 30, 2024, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from following sources:
The $2,025,863 reported as deferred outflows of resources related to OPEB resulting from the City’s contributi on subsequent to the measurement date during the year ended June 30, 2024, will be recognized as a reduction of the net OPEB liability in the year ending June 30, 2025.
Discount Rate Current Discount Discount Rate
-1% (5.25% ) Rate (6.25% ) +1% (7.25% )
$ 24,627,737 $ 21,088,724 $ 18,165,514 Plan's Net OPEB Liability
1% Decrease Current Trend 1% Increase
$ 18,059,228 $ 21,088,724 $ 24,802,697 Healthcare Trend Rates
Deferred Deferred
Outflows Inflows
of Resources of Resources
Contributions Subsequent to Measurement Date $ 2,025,863 $ - Differences Between Expected and Actual
Experience 68,769 1,941,823
Changes in Assumptions 1,473,614 694,572
319,335 -
Total $ 3,887,581 $ 2,636,395
Net Differences Between Projected and Actual
Earnings on Pension Plan Investments
194
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
99 NOTE 12 OTHER POSTEMPLOY MENT BENEFITS (“OPEB”)
D. OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB (Continued)
Other amounts reported as deferred outflows and inflows of resources related to OPEB will be recognized in future OPEB expense as follow:
NOTE 13 NET INVESTMENT IN CAPITAL ASSETS
The net investment in capital assets for the governmental activities and business-type activities is calculated as follows:
Deferred
Outflows (Inflows)
Year ending June 30, of Resources
2025 $ (726,517)
2026 (628,989)
2027 93,193
2029 347,417
2029 140,219
Thereafter -
$ (774,677)
Governmental Business-type
Activities Activities
Total capital assets, net $ 208,458,033 $ 24,349,172 Add: Unamortized loss on defeasance of debt - 158,548 Add: Unspent capital debt proceeds 22,611,403 19,804,535 Less: Retention payable (796,891) -
Less: Capital related debt (71,644,188) (43,376,485) Net investment in capital assets $ 158,628,357 $ 935,770 195
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
100
NOTE 14 FUND BALANCE CLASSIFICATIONS
Fund balances for the governmental funds at June 30, 2024 consisted of the following:
The Budget Stabilization “Rainy day f und” is to be funded by an automatic deposit/transfer of 10 percent of general ta x revenues each fiscal year by the transactions and use tax-Measure PS. For Fi scal Year 2023-24, the City deposited $732,435 into “Rainy day fund”. The City Council may expend funds available from the Budget Stabilization “Rainy day fund” in any single fiscal year if the City Council declares a fiscal hardship by a 4/5 vote, requiring the use of such resources to maintain current levels of City services and programs.
NOTE 15 DEFERRED COMPENSATION PLAN
The City offers a deferred compensation plan (the “Plan”), created in accordance with the Internal Revenue Code Section 457, to its employees. Amounts deferred may not be paid to the employee during employment with the City, except for a catastrophic circumstance creating an undue financial hardship for the employee. The Plan is administered by an independent financial institut ion that has fiduciary responsibilities over the Plan assets. Consistent with the amended IRC Section 457, which took effect on January 1, 1997, the City no longer report s the Plan assets and liabilities on its financial statements.
Capital Projects Nonmajor Total
Housing Landscape American Rescue Fund Capital Governmental Governmental General Authority Maintenance Plan Act Grants Improvement Funds Funds Restricted
Public works $ 1,007,421 $- $ - $ - $ - $ - $ 11,870,931 $ 12,878,352 Community development - 26,814,837 - - 1,546,463 5,963,873 34,325,173 Retirement - - - - - - 4,427,233 4,427,233 Capital projects - - - - - 441,523 23,648,573 24,090,096 Debt service - - - - - - 5,184,590 5,184,590 Subtotal 1,007,421 26,814,837 - - 1,546,463 441,523 51,095,200 80,905,444 Committed
Rainy day fund 4,505,388 - - - - - - 4,505,388 OPEB 1,000,000 - - - - - - 1,000,000 Contingency set aside 4,874,056 - - - - - - 4,874,056 Urban Farming - - - - - - 767,318 767,318 Subtotal 10,379,444 - - - - - 767,318 11,146,762 Assigned
Landscape fund shortfall 7,936,926 - - - - - - 7,936,926 Refuse 1,748,256 - - - - - - 1,748,256 ARPA 18,370,028 - - - - - - 18,370,028 Subtotal 28,055,210 - - - - - - 28,055,210 Unassigned 9,781,462 - (7,936,926) - - (1,442,290) 402,246 Total $ 49,223,537 $ 26,814,837 $ (7,936,926) $ - $ 1,546,463 $ 441,523 $ 50,420,228 $ 120,509,662 Special Revenue Funds
196
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
101
NOTE 16 COMMITMENTS AND CONTINGENCIES
There are other claims against the fo rmer Lynwood Redevelopment Agency which have been denied and referred to the Ly nwood Redevelopment Agency’s insurance carrier. The Successor Agency believes t hat none of these claims will exceed insurance coverage.
Under the terms of federal, county, and state grants, periodic audits are required and certain costs may be questioned as not appropriate expenditures under the terms of the grants. Such audits could lead to reim bursements to the grantor agencies. If expenditures were disallowed, the City believes such disallowances, if any, would be immaterial.
The City is a defendant in certain legal cl aims and actions aris ing from the normal course of operations. In the opinion of management and legal counsel, such claims and actions will not have a material adverse effect on the City’s financial position.
NOTE 17 RESTATEMENTS
Changes to or within the Financial Reporting Entity (Column A) The Grants Special Revenue Fund was created to combine several small special revenue funds that were previously reported as nonmajor funds in the 2023 ACFR.
However, the size criteria for the current year changed the presentation for the combined funds. The effect of the change to or within the financial reporting entity is shown in column A below.
Correction of Errors in Previously Issued Financial Statements (Column B) During the fiscal year 2024, the City determined:
a. that the previously reported land held for resale under the Housing Authority Special Revenue Fund amounting to $850,632 and Grants Special Revenue Fund amounting to $497,694 no longer qualify as financial assets as the City intends to retain the assets for City operations.
b. that the $1,418,000 million transfers from the General Fund to the Internal Service Fund during the fiscal year 2022-2023 were not authorized.
c. that the previously recognized construction-in-progress capital assets amounting to $1,203,735 for the Water and Sewer Fund were not capitalizable. Therefore, capital assets for the Water and Sewer Fund and business-type activities were overstated by $1,203,735.
d. that the previously recognized construction-in-progress capital assets amounting to $56,817 for the governmental funds were not capitalizable. Therefore, capital assets for government-wide activities were overstated by $56,817.
197
City of Lynwood
Notes to the Basic Financial Statements
Year ended June 30, 2024
102
NOTE 17 PRIOR YEAR ADJUSTMENTS (CONTINUED)
The effects of correcting the above errors are shown below.
NOTE 18 SUBSEQUENT EVENTS
In preparing these financial statements, the City has evaluated events and transactions for potential recognition or disclosure th rough March 13, 2025, the date the financial statements were available to be issued. Based upon this evaluation, it was determined that no subsequent events occurred that required recognition or additional disclosure in the financial statements.
Changes to
or within
June 30, 2023 the Financial
As Previously Reporting Error June 30, 2023
Government-Wide Reported Entity (A) Corrections (B) As Restated Government Activities $ 215,434,916 $ - $ (56,817) $ 215,378,099 Business-Type Activities 4,490,816 - (1,203,735) 3,287,081 Total Primary Government $ 219,925,732 $ - $ (1,260,552) $ 218,665,180 Governmental Funds
Major Funds
General Fund $ 48,481,419 $ - $ 1,418,000 $ 49,899,419 Housing Authority
Special Revenue Fund $ 29,639,719 $ - $ (850,632) $ 28,789,087 Grants Special
Revenue Fund - (1,528,844) (497,694) (2,026,538) Nonmajor Funds $ 50,733,308 $ 1,528,844 $ - 52,262,152 Proprietary Funds
Water and Sewer
Enterprise Fund $ 4,490,816 $ - $ (1,203,735) $ 3,287,081 Internal Service Fund $ 8,594,447 - (1,418,000) 7,176,447 198
REQUIRED SUPPLEMENTARY INFORMATION
(UNAUDITED)
199
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200
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201
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of Changes in the Net Pension Liability and Related Ratios Miscellaneous Plan
Last Ten Years
103
Measurement period 2013-14 1 2014-15 2015-16 2016-17 2017-18 Total pension liability
Service cost 1,448,697 $ 1,328,607 $ 1,272,859 $ 1,397,160 $ 973,785 $ Interest 5,995,447 6,236,738 6,391,825 6,546,957 6,500,059 Changes of assumptions - (1,617,186) - 5,791,209 (313,095) Differences between expected and actual
experience - (690,066) (1,879,241) (1,600,845) (3,727,458) Benefit payments, including refunds of
employee contributions (3,327,245) (3,653,076) (3,608,844) (4,200,397) (4,495,204) Net change in total pension liability 4,116,899 1,605,017 2,176,599 7,934,084 (1,061,913) Total pension liability - beginning 80,878,575 84,995,474 86,600,491 88,777,090 96,711,174 Total pension liability - ending (a) 84,995,474$ 86,600,491 $ 88,777,090 $ 96,711,174 $ 95,649,261 $ Pension fiduciary net position
Contributions - employer 1,823,737 $ 1,726,042 $ 1,908,780 $ 1,823,634 $ 2,307,111 $ Contributions - employee 601,654 609,517 599,040 486,971 485,889 Net investment income 9,381,042 1,381,816 314,977 6,896,918 5,604,478 Benefit payments, including refunds of
employee contributions (3,327,245) (3,653,076) (3,608,844) (4,200,397) (4,495,204) Plan to plan resource movement 16,618 2,328 2,424 (164) Administrative expense - (71,182) (38,522) (92,109) (104,878) Other Miscellaneous Income/(Expense)
1 - - - - (199,165) Net change in plan fiduciary net position 8,479,188 9,735 (822,241) 4,917,441 3,598,067 Plan fiduciary net position - beginning 2 54,719,644 63,198,832 63,208,567 62,386,326 67,303,767 Plan fiduciary net position - ending (b) 63,198,832$ 63,208,567 $ 62,386,326 $ 67,303,767 $ 70,901,834 $ Plan net pension liability - ending (a) - (b) 21,796,642$ 23,391,924 $ 26,390,764 $ 29,407,407 $ 24,747,427 $ Plan fiduciary net position as a percentage of the
total pension liability 74.36% 72.99% 70.27% 69.59% 74.13% Covered payroll3
7,884,919$ 7,571,271 $ 7,437,528 $ 7,205,569 $ 5,230,341 $ Plan net pension liability as a percentage
of covered payroll 276.43% 308.96% 354.83% 408.12% 473.15% Notes to Schedule:
Changes of Benefit Terms: The figures above generally include any liab ility impact that may have resulted from voluntary benefit changes that occurred on or before the Measurement Date. However, offers of Two Years Additional Service Credit (a.k.a. Golden Handshakes) that occurred after the Valuation Date are not included in the figures above, unless the liability impact is deemed to be material by the plan actuary.
In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. The impact, if any, is included in the changes of benefit terms.
Changes of Assumptions: There were no assumption changes in 2023. Effective with the June 30, 2021 valuation date (June 30, 2022 measurement date), the accounting discount rate was reduced from 7.15% to 6.90%. In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. In addition, demographic assumptions and the price inflation assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. The accounting discount rate was 7.15% for measurement dates June 30, 2017 through June 30, 2021, 7.65% for measurement dates June 30, 2015 through June 30, 2016, and 7.50% for measurement date June 30, 2014.
1During Fiscal Year 2017-18, as a result of Governmental Accounting Standards Board Statement (GASB) No. 75, Accounting and Financial Reporting for Postemployment Benefit Plans Other than Pensions (GASB 75), CalPERS reported its proportionate share of activity related to postemployment benefits for participation in the State of Califor nia’s agent OPEB plan. Accordingly, CalPERS recorded a one-time expense as a result of the adoption of GASB 75. Additionally, CalPERS employees participate in various State of California agent pension plans and during Fiscal Year 2017-18, CalPERS recorded a correction to previously reported financial statements to properly reflect its proportionate share of activity related to pensi ons in accordance with GASB Statement No. 68, Accounting and Financial Reporting for Pensions (GASB 68). 2 Includes any beginning of year adjustment.
3 Includes one year’s payroll growth using 2.80% payroll growth assumption for fiscal years ended June 30, 2022 and 2023; 2.75% payroll growth assumption for fiscal years ended June 30, 2018-21; 3.00% payroll growth assumption for fiscal years ended June 30, 2014-17. 202
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of Changes in the Net Pension Liability and Related Ratios Miscellaneous Plan (Continued)
Last Ten Years
104
Measurement period 2018-19 2019-20 2020-21 2021-22 2022-23 Total pension liability
Service cost 954,743 $ 1,472,116$ 1,526,500 $ 1,604,315 $ 1,597,832 $ Interest 6,765,828 7,485,092 7,857,531 7,994,211 8,344,286 Changes of assumptions - - - 4,102,878 163,697 Differences between expected and actual
experience 857,786 6,897,979 1,142,164 (2,423,877) 756,032 Benefit payments, including refunds of
employee contributions (4,714,906) (4,920,285) (4,914,961) (5,363,762) (5,519,136) Net change in total pension liability 3,863,451 10,934,902 5,611,234 5,913,765 5,342,711 Total pension liability - beginning 95,649,261 99,512,712 110,447,614 116,058,848 121,972,613 Total pension liability - ending (a) 99,512,712$ 110,447,614 $ 116,058,848 $ 121,972,613 $ 127,315,324 $ Pension fiduciary net position
Contributions - employer 2,966,212 $ 3,354,347 $ 3,532,629 $ 4,284,543 $ 4,648,821 $ Contributions - employee 716,937 690,604 622,025 615,059 635,622 Net investment income 4,602,755 3,678,510 17,149,454 (7,102,406) 5,352,420 Benefit payments, including refunds of
employee contributions (4,714,906) (4,920,285) (4,914,961) (5,363,762) (5,519,136) Plan to plan resource movement - - - - - Administrative expense (50,597) (104,917) (77,039) (58,203) (63,099) Other Miscellaneous Income/(Expense)1 164 - - - - Net change in plan fiduciary net position 3,520,565 2,698,259 16,312,108 (7,624,769) 5,054,628 Plan fiduciary net position - beginning 2 70,901,834 74,422,399 77,120,658 93,432,766 85,807,997 Plan fiduciary net position - ending (b) 74,422,399$ 77,120,658 $ 93,432,766 $ 85,807,997 $ 90,862,625 $ Plan net pension liability - ending (a) - (b) 25,090,313$ 33,326,956 $ 22,626,082 $ 36,164,616 $ 36,452,699 $ Plan fiduciary net position as a percentage
of the total pension liability 74.79% 69.83% 80.50% 70.35% 71.37% Covered pay roll 3
5,284,456$ 8,312,345$ 8,717,876 $ 7,635,961 $ 7,844,047 $ Plan net pension liability as a percentage
of covered payroll 474.79% 400.93% 259.54% 473.61% 464.72% 203
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of the City’s Proportionate Share of the Net Pension Liability Safety Plan
Last Ten Years
105
Measurement Date 2013-14 2014-15 2015-16 2016-17 2017-18 City's proportion of the net pension liab ility/(asset) 0.08548% 0.13112% 0. 12858% 0.12426% 0.12812% City's proportionate Share of the net pension
liability/(asset) 5,318,857$ 5,402,562 $ 6,658,316 $ 7,424,692 $ 7,517,090 $ City's Covered payroll 1 - - - - - Proportionate Share of the net pension liab ility/(asset) as percentage of covered payroll N/A N/A N/A N/A N/A
Plan's Proportionate Share of the Fiduciary Net Position as a Percentage of the Plan's Total Pension Liability 79.01% 77.01% 71.71% 68.08% 66.36% 1The plan has no active members, and therefore, no covered payroll. 204
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of the City’s Proportionate Share of the Net Pension Liability Safety Plan (Continued)
Last Ten Years
106
Measurement Date 2018-19 2019-20 2020-21 2021-22 2022-23 City's proportion of the net pension liab ility/(asset) 0.12369% 0.11852% 0. 17159% 0.11945% 0.10976% City's proportionate Share of the net pension
liability/(asset) 7,721,641$ 7,896,343 $ 6,021,824 $ 8,207,967 $ 8,204,500 $ City's Covered payroll 1 - - - - - Proportionate Share of the net pension liab ility/(asset) as percentage of covered payroll N/A N/A N/A N/A N/A
Plan's Proportionate Share of the Fiduciary Net Position as a Percentage of the Plan's Total Pension Liability 63.97% 60.93% 69.24% 53.65% 74.87% 205
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of Plan Contributions - Pension
Miscellaneous Plan
Last Ten Years
107
Fiscal Year 2014-15 2015-16 2016-17 2017-18 2018-19
Actuarially determined contribution1 1,726,042$ 1,908,780 $ 1,823,634 $ 2,307,111 $ 2,966,212 $ Contributions in relation to the actuarially
determined contribution1 (1,726,042) (1,908,780) (1,823,634) (2,307,111) (2,966,212) Contribution deficiency (excess) - $ - $ - $ - $ - $ Covered payroll2 7,571,271$ 7,437,528 $ 7,205,569 $ 5,230,341 $ 5,284,456 $ Contributions as a percentage of covered
payroll2 22.80% 25.66% 25.31% 44.11% 56.13%
Notes to Schedule:
Methods and assumptions used to determine contribution rates:
Actuarial cost method
Amortization method
Asset valuation method
Inflation
Salary increases
Payroll Growth
Investment rate of return
Retirement age
Mortality The probabilities of mortality are based on the 2017 CalPERS Experience Study for the period from 1997 to 2015. Pre-retirement and Post-retirement mortality rates include 15 years of projected mortality improvement using 90% of Scale MP-2016 published by the Society of Actuaries.
Varies by entry age and service
2.75%
7% net of pension plan investment expenses; includes Inflation.
Level percentage of payroll
Fair value
2.50%
3As prescribed in GASB 68, paragraph 46, the information presented in the Schedule of Plan Contributions should also be presented as of the employer’s most recent fiscal year-end. The employer is responsible for determining this information as prescribed by the standard as this data is not available to CalPERS.
The probabilities of retirement are based on the 2017 CalPERS Experience study for the period from 1997 to 2015.
The actuarial methods and assumptions used to set the actuarially determined contributions for Fiscal Year 2023-24 were derived from the June 30, 2021 funding valuation report.
Entry Age Normal Cost Method
2 Includes one year’s payroll growth using 2.80% payroll growth assumption for fiscal year ended June 30, 2022 and 2023; 2.75% payroll growth assumption for fiscal years ended June 30, 2018-21; 3.00% payroll growth assumption for fiscal years ended June 30, 2014-17. 1 Employers are assumed to make contributions equal to the actuarially determined contributions. However, some employers may choose to make additional contributions towards their unfunded liab ility. Employer contributions for such plans exceed the actuarially determined contributions.
206
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of Plan Contributions – Pension
Miscellaneous Plan (Continued)
Last Ten Years
108
Fiscal Year 2019-20 2020-21 2021-22 2022-23 2023-24 3
Actuarially determined contribution 1 3,354,347$ 3,532,629 $ 4,284,543 $ 4,648,821 $ 4,001,009 $ Contributions in relation to the actuarially
determined contribution 1 (3,354,347) (3,532,629) (4,284,543) (4,648,821) (4,001,009) Contribution deficiency (excess) - $ - $ - $ - $ - $ Covered payroll 2 8,312,345$ 8,717,876 $ 7,635,961 $ 7,844,047 $ 8,570,781 $ Contributions as a percentage of covered
payroll2 40.35% 40.52% 56.11% 59.27% 46.68%
207
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of Plan Contributions – Pension
Safety Plan
Last Ten Years
109
Fiscal Year 2014-15 2015-16 2016-17 2017-18 2018-19
Actuarially determined contribution - $ - $ - $ - $ - $ Contributions in relation to the actuarially
determined contribution (238,588) (264,420) (319,342) (552,030) (673,381) Contribution deficiency (excess) (238,588) $ (264,420) $ (319,342) $ (552,030) $ (673,381) $ Covered payroll 1 N/A N/A N/A N/A N/A
Contributions as a percentage of covered payroll 1 N/A N/A N/A N/A N/A Notes to Schedule:
Changes of Benefit Terms: There were no changes to benefit terms that applied to all members of the Public Agency Pool. However, individual employers in the Plan may have provided a benefit improvement to their employees such as Golden Handshakes, service purchases, and other prior service costs. Employers that have done so may need to report this information as a separate liability in their financial statement as CalPERS considers such amounts to be separately financed employer-specific liab ilities. These employers should consult with their auditors. Additionally, the figures above do not include any liab ility impact that occurred after the June 30, 2022 valuation date, unless the liability impact is deemed to be material to the Public Agency Pool.
In 2022, SB 1168 increased the standard retiree lump sum death benefit from $500 to $2,000 for any death occurring on or after July 1, 2023. For pooled plans this is a Class 3 benefit and there is no normal cost surcharge. The impact on the unfunded liab ility is included in the pool’s differences between expected and actual experience.
Changes of Assumptions: There were no assumption changes in 2023. Effective with the June 30, 2021 valuation date (June 30, 2022 measurement date), the accounting discount rate was reduced from 7.15% to 6.90%. In determining the long-term expected rate of return, CalPERS took into account long-term market return expectations as well as the expected pension fund cash flows. In addition, demographic assumptions and the price inflation assumption were changed in accordance with the 2021 CalPERS Experience Study and Review of Actuarial Assumptions. The accounting discount rate was 7.15% for measurement dates June 30, 2017 through June 30, 2021, 7.65% for measurement dates June 30, 2015 through June 30, 2016, and 7.50% for measurement date June 30, 2014.
Employers should refer to CalPERS’ Annual Comprehensive Financial Report for the fiscal year ended June 30, 2023, which may be accessed on the CalPERS website at www.calpers.ca.gov, to obtain the required supplementary information for proper financial re porting. 1 The plan has no active members, and therefore , no covered payroll. 208
City of Lynwood
California Public Employees' Retirement System Defined Pension Plan Schedule of Plan Contributions – Pension
Safety Plan (Continued)
Last Ten Years
110
Fiscal Year 2019-20 2020-21 2021-2022 2022-2023 2023-2024 Actuarially determined contribution - $ - $ - $ - $ - $ Contributions in relation to the actuarially
determined contribution (659,283) (741,891) (733,353) (771,266) (649,719) Contribution deficiency (excess) (659,283) $ (741,891) $ (733,353) $ (771,266) $ (649,719) $ Covered payroll1 N/A N/A N/A N/A N/A
Contributions as a percentage of covered payroll1 N/A N/A N/A N/A N/A 209
City of Lynwood
Other Postemployment Benefit Plan
Schedule of Changes in the Net OPEB Liability and Related Ratios Last Ten Years*
111
Measurement period 2016-17 2017-18 2018-19 2019-20 2020-21 Total OPEB liability
Service cost 589,190 $ 606,866 $ 625,072 $ 509,557 $ 516,313 $ Interest 1,690,724 1,776,215 1,862,217 1,837,851 1,881,704 Differences between expected and actual experience - - (1,416,202) - (4,095,656) Changes of assumptions - - (167,109) (503,935) (1,190,489) Benefit payments, including refunds
of employee contributions (943,414) (1,118,695) (1,135,668) (1,163,219) (1,237,894) Net change in total OPEB liability 1,336,500 1,264,386 (231,690) 680,254 (4,126,022) Total OPEB liability - beginning 24,930,281 26,266,781 27,531,167 27,299,477 27,979,731 Total OPEB liability - ending (a) 26,266,781$ 27,531,167 $ 27,299,477 $ 27,979,731 $ 23,853,709 $ OPEB fiduciary net position
Contributions - employer 1,445,958 $ 1,121,366 $ 1,135,668 $ 1,170,498 $ 1,245,311 $ Net investment income 337,328 304,026 254,087 154,409 1,243,256 Benefit payments, including refunds of
employee contributions (943,414) (1,118,695) (1,135,668) (1,163,219) (1,237,894) Administrative expense (4,227) (9,760) (882) (9,414) (9,128) Net change in plan fiduciary net position 835,645 296,937 253,205 152,274 1,241,545 Plan fiduciary net position - beginning 2,983,329 3,818,974 4,115,911 4,369,116 4,521,390 Plan fiduciary net position - ending (b) 3,818,974$ 4,115,911 $ 4,369,116 $ 4,521,390 $ 5,762,935 $ Plan net OPEB liability - ending (a) - (b) 22,447,807$ 23,415,256 $ 22,930,361 $ 23,458,341 $ 18,090,774 $ Plan fiduciary net position as a percentage 14.54% 14.95% 16.00% 16.16% 24.16% of the total OPEB liability
Covered-employee payroll 5,992,698$ 8,848,978 $ 9,974,285 $ 9,524,565 $ 8,967,312 $ Plan net OPEB liability as a percentage of
covered-employee payroll 374.59% 264.61% 229.89% 246.29% 201.74% Notes to Schedule:
*Historical information is presented only for measurement periods after GASB 75 was implemented in fiscal year of 2017-18 (measurement period of 2016-17). Additional years of information will be displayed as it becomes available.
Benefit Changes: There were no benefit changes.
Changes of Assumptions: In 2021, the accounting discount changes from Select & ultimate discount rates based on funding policy to 6.25 percent. In 2019 and 2020, the accounting discount changes from Select & ultimate discount rates based on funding policy to 6.75 percent.
From the June 30, 2022 measurement date, the medical trend rates, includi ng PEMHCA minimum incre ases , assumed medical plan at retirement, and life insurance participation to 90% were updated.
210
City of Lynwood
Other Postemployment Benefit Plan
Schedule of Changes in the Net OPEB Liability and Related Ratios (Continued) Last Ten Years*
112
Measurement period 2021-22 2022-23
Total OPEB liability
Service cost 378,156 $ 367,189 $
Interest 1,474,469 1,509,237
Differences between expected and actual experience - 84,398 Changes of assumptions - 1,808,526
Benefit payments, including refunds
of employee contributions (1,280,743) (1,289,952)
Net change in total OPEB liability 571,882 2,479,398 Total OPEB liability - beginning 23,853,709 24,425,591 Total OPEB liability - ending (a) 24,425,591$ 26,904,989 $ OPEB fiduciary net position
Contributions - employer 1,288,357 $ 1,797,773 $
Net investment income (771,518) 327,760
Benefit payments, including refunds of
employee contributions (1,280,743) (1,289,952)
Administrative expense (9,074) (9,273)
Net change in plan fiduciary net position (772,978) 826,308 Plan fiduciary net position - beginning 5,762,935 4,989,957 Plan fiduciary net position - ending (b) 4,989,957$ 5,816,265 $ Plan net OPEB liability - ending (a) - (b) 19,435,634$ 21,088,724 $ Plan fiduciary net position as a percentage 20.43% 21.62% of the total OPEB liability
Covered-employ ee pay roll 10,179,608$ 10,427,255 $
Plan net OPEB liability as a percentage of
covered-employ ee pay roll 190.93% 202.25%
211
City of Lynwood
Other Postemployment Benefits Plan
Schedule of Contributions
Last Ten Years*
113
Fiscal Year 2016-17 2017-18 2018-19 2019-20 2020-21
Actuarially determined contribution 2,336,000 $ 2,399,000 $ 2,482,000 $ 2,583,000 $ 2,268,000 $ Contributions in relation to the actuarially
determined contribution (1,445,958) (1,121,366) (1,135,668) (1,170,498) (1,245,311) Contribution deficiency (excess) 890,042 $ 1,277,634 $ 1,346,332 $ 1,412,502 $ 1,022,689 $ Covered-employee payroll 5,992,698 $ 8,848,978 $ 9,974,285 $ 9,524,565 $ 8,967,312 $ Contributions as a percentage of covered payroll 24.1% 12.7% 11.4% 12.3% 13.9% Methods and assumptions used to determine contribution rates:
Valuation Date June 30, 2021
Actuarial Cost Method
Amortization Method
Amortization Period
Asset Valuation Method
Discount Rate
General Inflation 2.50%
Medical Trend
Mortality
Mortality Improvement Mortality projected fully generational with Scale MP-2021
6.25%
Non-Medicare - 6.50% for 2023, decreasing to an ultimate rate of 3.75% in 2076; Medicare (Non-Kaiser) - 5.65% for 2023, decreasing to an ultimate rate of 3.75% in 2076; Medicare (Kaiser) - 4.60% for 2023, decreasing to an ultimate rate of 3.75% in 2076
CalPERS 2000-2019 Experience Study
Level % of pay
17-year fixed period for 2023/24
Investment gains and losses spread over 5-year rolling period Entry Age Normal, Level Percentage of Payroll
* Historical information is presented only for measurement periods after GASB 75 implementation in fiscal year of 2017-18 (measurement period of 2016-17). Additional years of information will be displayed as it becomes available. 212
City of Lynwood
Other Postemployment Benefits Plan
Schedule of Contributions (Continued)
Last Ten Years*
114
Fiscal Year 2021-22 2022-23 2023-24
Actuarially determined contribution 2,310,000 $ 1,876,000 $ 1,955,000 $ Contributions in relation to the actuarially
determined contribution (1,288,357) (1,797,773) (2,025,863) Contribution deficiency (excess) 1,021,643 $ 78,227 $ (70,863) $ Covered-employee payroll 10,179,608 $ 10,427,255 $ 11,929,986 $ Contributions as a percentage of covered payroll 12.7% 17.2% 17.0% 213
City of Lynwood
Budgetary Comparison Schedule
General Fund
Year ended June 30, 2024
115
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 36,487,717 $ 36,487,717 $ 36,338,297 $ (149,420) Licenses and permits 901,850 901,850 996,831 94,981 Fines, forfeitures and penalties 886,500 886,500 1,592,072 705,572 Use of money and property 824,895 824,895 1,812,185 987,290 Intergovernmental revenues 71,697 71,697 200,385 128,688 Charges for services 1,303,200 1,303,200 2,057,467 754,267 Miscellaneous 303,316 303,316 633,685 330,369 Total revenues 40,779,175 40,779,175 43,630,922 2,851,747
EXPENDITURES
Current
General government
City Council 312,269 312,269 251,261 61,008 City Clerk 719,437 794,437 394,163 400,274 City Treasurer 200,029 200,029 200,852 (823) City Manager 1,498,539 1,498,539 1,405,595 92,944 City Atorney 216,671 216,671 303,051 (86,380) Finance & administration 829,592 856,031 843,233 12,798 Human resources 727,724 802,724 505,912 296,812 Technology & media support (110) (110) 335 (445) Total general government 4,504,151 4,680,590 3,904,402 776,188 Public safety - Police and fire 22,815,812 22,815,812 21,040,209 1,775,603 Public works
Water and sanitation 628,411 628,411 555,478 72,933 Development services 3,491,674 3,791,736 3,093,766 697,970 Total public works 4,120,085 4,420,147 3,649,244 770,903 Community development 5,899,614 5,972,514 5,810,997 161,517 Parks and recreation 4,807,613 4,926,269 4,590,986 335,283 Capital outlay 66,750 76,850 667,147 (590,297) Debt service
Principal retirement - - 43,489 (43,489) Interest and fiscal charges - - 2,496 (2,496) Total expenditures 42,214,025 42,892,182 39,708,970 3,183,212
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES (1,434,850) (2,113,007) 3,921,952 6,034,959
OTHER FINANCING SOURCES (USES)
Long-term debt issuance - SBITA - - 123,071 123,071 Transfers in 1,290,190 1,290,190 1,008,190 (282,000) Transfers out (10,354,126) (3,502,126) (5,729,095) (2,226,969) Total other financing uses (9,063,936) (2,211,936) (4,597,834) (2,385,898) CHANGES IN FUND BALANCE $ (10,498,786) $ (4,324,943) (675,882) $ 3,649,061
FUND BALANCE
Beginning of Year, as previously reported 48,481,419
Restatement 1,418,000
Beginning of Year, as restated 49,899,419
End of Year $ 49,223,537
214
City of Lynwood
Budgetary Comparison Schedule
Housing Authority Special Revenue Fund
Year ended June 30, 2024
116
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ - $ - $ 264,420 $ 264,420 Total revenues - - 264,420 264,420
EXPENDITURES
Current
Community development 2,578,500 2,578,500 52,155 2,526,345 Debt service
Principal retirement 1,690,000 1,690,000 1,690,000 - Interest and fiscal charges 527,779 527,779 496,515 31,264 Total expenditures 4,796,279 4,796,279 2,238,670 2,557,609 CHANGES IN FUND BALANCE $ (4,796,279) $ (4,796,279) (1,974,250) $ 2,822,029
FUND BALANCE
Fund balance, July 1, as previously reported 29,639,719 Restatement (850,632)
Fund balance, July 1, as restated 28,789,087
End of year $ 26,814,837
215
City of Lynwood
Budgetary Comparison Schedule
Landscape Maintenance Special Revenue Fund
Year ended June 30, 2024
117
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 1,119,000 $ 1,119,000 $ 960,278 $ (158,722) Use of money and property 5,000 5,000 111,894 106,894 Total revenues 1,124,000 1,124,000 1,072,172 (51,828)
EXPENDITURES
Current
Public works 3,025,507 3,025,507 2,945,280 80,227 Total expenditures 3,025,507 3,025,507 2,945,280 80,227 CHANGES IN FUND BALANCE $ (1,901,507) $ (1,901,507) (1,873,108) $2 8 , 3 9 9
FUND BALANCE (DEFICIT)
Beginning of year (6,063,818)
End of year $ (7,936,926)
216
City of Lynwood
Budgetary Comparison Schedule
American Rescue Plan Act Special Revenue Fund
Year ended June 30, 2024
118
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ - $ - $ - $ - Intergovernmental - - 1,409,846 1,409,846 Total revenues - - 1,409,846 1,409,846
EXPENDITURES
Current
General government 1,283,651 2,160,151 1,388,346 771,805 Debt service
Principal retirement - - 18,450 (18,450) Interest and fiscal charges - - 3,050 (3,050) Total expenditures 1,283,651 2,160,151 1,409,846 750,305
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES (1,283,651) (2,160,151) - 2,160,151
OTHER FINANCING USES
Transfers out (282,000) (502,000) - 502,000 Total other financing uses (282,000) (502,000) - 502,000 CHANGES IN FUND BALANCE $ (1,565,651) $ (2,662,151) - $ 2,662,151
FUND BALANCE
Beginning of year -
End of year $ -
217
City of Lynwood
Budgetary Comparison Schedule
Grants Special Revenue Fund
Year ended June 30, 2024
119
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ 5,534 $ 5,534 $ 16,148 $ 10,614 Intergovernmental revenues 4,004,931 4,245,181 8,706,882 4,461,701 Miscellaneous - - 829,075 829,075 Total revenues 4,010,465 4,250,715 9,552,105 5,301,390
EXPENDITURES
Current
Public safety 100,000 100,000 113,947 (13,947) Public works 39,600 39,600 15,141 24,459 Community development 5,348,853 5,854,103 4,414,471 1,439,632 Parks and recreation 144,721 144,721 88,734 55,987 Capital outlay - 31,000 28,000 3,000 Debt service
Principal retirement - - 18,299 (18,299) Interest and fiscal charges - - 387 (387) Total expenditures 5,633,174 6,169,424 4,678,979 1,490,445
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES (1,622,709) (1,918,709) 4,873,126 6,791,835
OTHER FINANCING SOURCES (USES)
Transfers in - - 2,530,150 2,530,150 Transfers out (4,664,952) (9,346,455) (3,830,275) 5,516,180 Total other financing sources (uses) (4,664,952) (9,346,455) (1,300,125) 8,046,330 CHANGES IN FUND BALANCE $ (6,287,661) $ (11,265,164) 3,573,001 $ 14,838,165
FUND BALANCE
Fund balance, July 1, as previously reported (1,528,844) Restatement (497,694)
Fund balance, July 1, as restated (2,026,538)
End of year $ 1,546,463
218
City of Lynwood
Notes to Required Supplementary Information
Year ended June 30, 2024
120
BUDGET AND BUDGETARY ACCOUNTING
The City follows these procedures in establis hing the budgetary data refl ected in the financial statements:
The City’s basis of budgeting for its government al fund groups (General Fund, Special Revenue Funds, and Capital Projects Funds) is modified accrual.
Revenues are budgeted according to when they ar e both measurable and av ailable. Revenues are considered to be available when they are collected within the current period, or soon enough thereafter to pay liabilities of the current period. The City considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. Expenditures are budgeted accordi ng to when the liability is incurred, regardless of the timing of related cash fl ow. The exceptions are debt serv ice, compensated absences, claims and judgments, which are budgeted as expenditures according to when the payments are due.
The following procedures establish the budgetary data reflected in the financial statements:
The City Council approves a two-year budget submitted by the City Manager prior to the beginning of the new fiscal year. Public hearings are conduc ted prior to its adoption by the City Council.
Supplemental appropriations, where required during the period, are also approved by the City Council.
Budget transfers that affect the total appropriations for any fund require City Council approval. Budget transfers within a budget code with no change in appropriation are approved by the City Manager only and do not require approval by the City Council.
A budget code could be a program or a division of a department or a department. In most cases, expenditures may not legally exceed appropriations at the budget code level for the General fund, and fund level for Special Revenue, Capital Projects, and Debt Service Funds.
Legally adopted budgets for all governmental funds are established on a basis consistent with accounting principles generally acc epted in the United Stat es of America. At fiscal year end, all operating budget appropriations lapse with t he exception of encum bered and continuing appropriations. During the fiscal year, several supplementary appropriations were necessary.
Budgets are adopted for the general fund, all special revenue, capital projects, and debt service funds except for 2012 Measure R Bond Proceeds and Measure R (Bans) Capital Projects Funds.
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220
SUPPLEMENTARY INFORMATION
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222
City of Lynwood
Description of Nonmajor Governmental Funds
June 30, 2024
121
Nonmajor Special Revenue Funds:
Special Revenue Funds are used to account for taxe s and other revenues set aside in accordance with the law or administrative regulations for a specific purpose.
Lighting Maintenance Fund - This is a special assessment fund whereby revenue is received from the County of Los Angeles for which an assessment has been charged against property owners' front footage. Monies in this fund are used to provide services such as tree maintenance, park maintenance, and capital improvements.
Retirement Fund - This fund accounts for revenue received from property tax levy to cover retirement costs.
Public Art Fund - This fund accounts for the fees coll ected from new developments in lieu of the developer placing an art piece. Funds will be used for the placement of public art.
Business Improvement District Fund - This fund accounts for special tax assessments imposed on businesses in the District to promote various activities within the District.
Enterprise Zone Program Fund - This fund accounts for funds to be used for economic development and to promote job creation and significant private investment that will assist economically distressed areas of the City.
Impact Fees Fund - This fund accounts for the fees collected from new developments, which will be used to construct public infrastructure.
Urban Farming Fund - This fund accounts for required licenses, charges and zoning verification fees related to cannabis commercial facilities.
Air Quality Improvement Fund - This fund accounts for AB 2766 revenues collected by the State of California on motor vehicle license registration fees. Revenues are used solely to reduce air pollution from mobile sources.
Gas Tax Fund - This fund accounts for Gas Tax revenue received from the State of California to cover costs of street maintenance and improvements.
SB 1 Fund - This fund accounts for basic road maint enance, rehabilitation and critical safety needs on the local street and road system.
Prop A Fund - This fund is used to record the City's por tion of sales tax dedicated to transportation programs. These programs include the Dial-A-Taxi service for senior citizens and the handicapped, the trolley system, MTA bus fare discounts, and transit route projects/programs.
Prop C Fund - This fund accounts for the City's portion of sales ta x dedicated to transportation programs.
Measure M Fund - This fund is used to record the City’s share of Los Angeles County's 0.5 percent sales tax for the traffic improvement plan.
Measure R Fund - These funds are used to account for revenues and monies spent on critical transit and highway projects.
223
City of Lynwood
Description of Nonmajor Governmental Funds (Continued)
June 30, 2024
122
Transportation Fund - Accounts for revenue received from Dial-A-Taxi fares and Prop "A" and Prop "C" transfers to cover the costs of transportati on programs such as Dial-A-Taxi and Transportation Administration.
HSIP Fund - This fund accounts fo r the federal-aid program passed through the State of California.
This fund is used for traffic signal improvements on various City streets, such as Imperial Highway, Atlantic Avenue, Alameda Street, and Martin Luther King Boulevard.
Litter Abatement Fund - This fund accounts for environmen tal service fees and street sweeping charges for the City. This revenue funds a portion of the cost for the Right of Way Division and Stormwater Division.
Safe Clean Water Fund - This fund accounts for funds received from the Los Angeles County Flood Control District for a share of Measure W, the Safe, Clean Water Program. This fund is used to improve water quality to ensure safe and clean water.
Nonmajor Capital Projects Funds:
Capital Projects Funds are used to account for bond resources used for the acquisition and construction of capital facilities by the City, except those financed by Proprietary Funds.
Measure M Bond Fund - accounts for bond proceeds that are used to fund certain transportation projects of the City.
Measure R (Bans) Fund - accounts for bond proceeds that are used to fund certain street and road improvements that are eligible for Measure R Local Return use.
2012 Measure R Bond Proceeds Fund - accounts for bond proceeds that are used to fund vital street improvement projects across the City.
2017 Lease Revenue Bonds ("LRB”) Fund - accounts for bond proceeds that are used to fund the 2019 public capital improvement project.
2019 Lease Revenue Bonds ("LRB") Fund - accounts for bond proceeds that are used to fund certain park improvement projects of the city.
2020 Lease Revenue Bonds ("LRB”) Fund - accounts for bond proceeds that are used to finance the working capital of the City’s General Fund or other purposes as determined by the City.
Nonmajor Debt Service Fund:
The Debt Service Fund is used to account for the accumulation of resources for and the payment of the City's long-term debt, principal and interest.
City of Lynwood Debt Service Fund - This fund accounts for a debt service reserve held by a trustee as well as payment on all interest and principal on outstanding debt incurred by the City of Lynwood.
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225
City of Lynwood
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2024
123
Business
Lighting Public Improvement
Maintenance Retirement Art District
ASSETS
Cash and investments $ 1,069,650 $ 4,312,496 $ 1,596,580 $ 318,944 Receivables
Accounts and taxes, net - - - 2,175 Interest 4,075 - 5,871 1,299 Intergovernmental 16,407 114,737 - - Restricted assets
Cash and investments with fiscal agents - - - - Total assets $ 1,090,132 $ 4,427,233 $ 1,602,451 $ 322,418
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ 135,363 $ - $ - $ 55,929 Accrued liabilities 4,907 - - - Deposits - - - - Due to other funds - - - - Unearned revenue - - - - Total liabilities 140,270 - - 55,929 Deferred Inflow of Resources
Unavailable revenues 500 - - - Total deferred inflow of resources 500 - - - Fund Balances (Deficits)
Restricted for
Public works 949,362 - - - Community development - - 1,602,451 266,489 Retirement - 4,427,233 - - Capital projects - - - - Debt service - - - - Committed for
Urban Farming - - - - Unassigned - - - - Total fund balances (deficits) 949,362 4,427,233 1,602,451 266,489 Total liabilities, deferred inflows of
resources and fund balances $ 1,090,132 $ 4,427,233 $ 1,602,451 $ 322,418 (Continued)
Special Revenue Funds
226
City of Lynwood
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
June 30, 2024
124
Enterprise Air
Zone Impact Urban Quality
Program Fees Farming Improvement
ASSETS
Cash and investments $ 176,587 $ 2,743,419 $ 1,112,318 $ 394,334 Receivables
Accounts and taxes, net - - - 23,002 Interest 654 10,134 - 1,501 Intergovernmental - - - - Restricted assets
Cash and investments with fiscal agents - - - - Total assets $ 177,241 $ 2,753,553 $ 1,112,318 $ 418,837
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ - $ - $ - $ - Accrued liabilities - - - - Deposits - - 345,000 - Due to other funds - - - - Unearned revenue - - - - Total liabilities - - 345,000 - Deferred inflow of Resources
Unavailable revenues - - - - Total deferred inflow of resources - - - - Fund Balances (Deficits)
Restricted for
Public works - - - 418,837 Community development 177,241 - - - Retirement - - - - Capital projects - 2,753,553 - - Debt service - - - - Committed for
Urban Farming - - 767,318 - Unassigned - - - - Total fund balances (deficits) 177,241 2,753,553 767,318 418,837 Total liabilities, deferred inflows of
resources and fund balances $ 177,241 $ 2,753,553 $ 1,112,318 $ 418,837 (Continued)
Special Revenue Funds
227
City of Lynwood
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
June 30, 2024
125
Gas Tax SB 1 Prop A Prop C
ASSETS
Cash and investments $ 979,823 $ 1,060,774 $ 4,250,638 $ 3,801,466 Receivables
Accounts and taxes, net - - - - Interest 8,195 6,961 21,599 15,031 Intergovernmental 159,968 308,411 - 115,272 Restricted assets
Cash and investments with fiscal agents - - - - Total assets $ 1,147,986 $ 1,376,146 $ 4,272,237 $ 3,931,769
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ 85,719 $ - $ - $ 12,776 Accrued liabilities 5,027 7,966 1,233 1,301 Deposits - - - - Due to other funds - - - - Unearned revenue - - - - Total liabilities 90,746 7,966 1,233 14,077 Deferred inflow of Resources
Unavailable revenues - - - - Total deferred inflow of resources - - - - Fund Balances (Deficits)
Restricted for
Public works 1, 057,240 1,368,180 4,271,004 - Community development - - - 3,917,692 Retirement - - - - Capital projects - - - - Debt service - - - - Committed for -
Urban Farming - - - - Unassigned - - - - Total fund balances (deficits) 1,057,240 1,368,180 4,271,004 3,917,692 Total liabilities, deferred inflows of
resources and fund balances $ 1,147,986 $ 1,376,146 $ 4,272,237 $ 3,931,769 (Continued)
Special Revenue Funds
228
City of Lynwood
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
June 30, 2024
126
Measure M Measure R Transportation
ASSETS
Cash and investments $ 963,093 $ 327,658 $ 202,315 Receivables
Accounts and taxes, net - - - Interest 7,079 3,902 -
Intergovernmental 98,304 86,708 -
Restricted assets
Cash and investments with fiscal agents - - - Total assets $ 1,068,476 $ 418,268 $ 202,315
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ - $ 4,142 $ 197,532 Accrued liabilities 583 7,591 679 Deposits - - -
Due to other funds - - -
Unearned revenue - - 666
Total liabilities 583 11,733 198,877 Deferred inflow of Resources
Unavailable revenues - - - Total deferred inflow of resources - - - Fund Balances (Deficits)
Restricted for
Public works 1, 067,893 406,535 3,438
Community development - - - Retirement - - -
Capital projects - - -
Debt service - - -
Committed for
Urban Farming - - -
Unassigned - - -
Total fund balances (deficits) 1,067,893 406,535 3,438 Total liabilities, deferred inflows of
resources and fund balances $ 1,068,476 $ 418,268 $ 202,315 (Continued)
Special Revenue Funds
229
City of Lynwood
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
June 30, 2024
127
HSIP Litter Safe Clean
Fund Abatement Water
ASSETS
Cash and investments $ - $ - $ 2,363,913 Receivables
Accounts and taxes, net - 78,127 - Interest 107 - -
Intergovernmental 230,250 - -
Restricted assets
Cash and investments with fiscal agents - - - Total assets $ 230,357 $ 78,127 $ 2,363,913
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ - $ 28,551 $ 34,716 Accrued liabilities - 3,491 755 Deposits - - -
Due to other funds 818,819 192,535 -
- - -
Total liabilities 818,819 224,577 35,471
Deferred inflow of Resources
Unavailable revenues 230,250 - -
Total deferred inflow of resources 230,250 - - Fund Balances (Deficits)
Restricted for
Public works - - 2,328,442 Community development - - - Retirement - - -
Capital projects - - -
Debt service - - -
Committed for
Urban Farming - - -
Unassigned (818,712) (146,450) -
Total fund balances (deficits) (818,712) (146,450) 2,328,442 Total liabilities, deferred inflows of
resources and fund balances $ 230,357 $ 78,127 $ 2,363,913 (Continued)
Special Revenue Funds
230
City of Lynwood
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
June 30, 2024
128
2012
Measure M Measure R Measure R 2017
Bonds (Bans) Bond Proceeds LRB
ASSETS
Cash and investments $ - $ - $ - $ 2,003,562 Receivables
Accounts and taxes, net 53 5 - - Interest - - - - Intergovernmental - - - - Restricted assets
Cash and investments with fiscal agents 4,919,734 344,619 436,028 - Total assets $ 4,919,787 $ 344,624 $ 436,028 $ 2,003,562
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ - $ - $ - $ - Accrued liabilities - - - - Deposits - - - - Due to other funds 2,732,963 341,582 15,323 - Unearned revenue - - - - Total liabilities 2,732,963 341,582 15,323 - Deferred inflow of Resources
Unavailable revenues - - - - Total deferred inflow of resources - - - - Fund Balances (Deficit)
Restricted for
Public works - - - - Community development - - - - Retirement - - - - Capital projects 1,526,724 - 27,961 - Debt service 660,100 3,042 392,744 2,003,562 Committed for
Urban Farming - - - - Unassigned - - - - Total fund balances (deficit) 2,186,824 3,042 420,705 2,003,562 Total liabilities, deferred inflows of
resources and fund balances $ 4,919,787 $ 344,624 $ 436,028 $ 2,003,562 (Continued)
Capital Projects Funds
231
City of Lynwood
Combining Balance Sheet (Continued)
Nonmajor Governmental Funds
June 30, 2024
129
Debt Service
Fund Total
Nonmajor
2019 2020 City of Governmental
LRB LRB Lynwood Funds
ASSETS
Cash and investments $ - $ - $ - $ 27,677,570 Receivables
Accounts and taxes, net - - - 103,362 Interest - - - 86,408 Intergovernmental - - - 1,130,057 Restricted assets
Cash and investments with fiscal agents 13,132,622 13,214,485 - 32,047,488 Total assets $ 13,132,622 $ 13,214,485 $- $ 61,044,885
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES AND FUND BALANCES
Liabilities
Accounts payable $ - $ - $ 750 $ 555,478 Accrued liabilities - - - 33,533 Deposits - - - 345,000 Due to other funds 4,865,000 16,630 476,378 9,459,230 Unearned revenue - - - 666 Total liabilities 4,865,000 16,630 477,128 10,393,907 Deferred inflow of Resources
Unavailable revenues - - - 230,750 Total deferred inflow of resources - - - 230,750 Fund Balances (Deficits)
Restricted for
Public works - - - 11,870,931 Community development - - - 5,963,873 Retirement - - - 4,427,233 Capital projects 7,198,834 12,141,501 - 23,648,573 Debt service 1,068,788 1,056,354 - 5,184,590 Committed for
Urban Farming - - - 767,318 Unassigned - - (477,128) (1,442,290) Total fund balances (deficits) 8,267,622 13,197,855 (477,128) 50,420,228 Total liabilities, deferred inflows of
resources and fund balances $ 13,132,622 $ 13,214,485 $- $ 61,044,885 (Concluded)
Capital Projects Funds
232
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233
City of Lynwood
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances
Nonmajor Governmental Funds
Year ended June 30, 2024
130
Business
Lighting Public Improvement
Maintenance Retirement Art District
REVENUES
Taxes and assessments $ 1,037,028 $ 6,903,084 $ - $ - Licenses and permits - - - 112,292 Use of money and property 30,337 - 30,807 6,766 Intergovernmental - - - - Charges for services - - 209,265 - Miscellaneous 15,913 - - - Total revenues 1,083,278 6,903,084 240,072 119,058
EXPENDITURES
Current
General government - 834,745 - - Public safety - 649,720 - - Public works 1,199,605 1,060,910 - - Community development - 652,520 - 137,796 Parks and recreation - 285,390 - - Capital outlay 48,990 - - - Debt service
Principal payment 87,233 - - - Interest and fiscal charges 46,677 - - - Total expenditures 1,382,505 3,483,285 - 137,796
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES (299,227) 3,419,799 240,072 (18,738)
OTHER FINANCING SOURCES (USES)
Transfers in - - - -
Transfers out - (1,207,637) (5,000) - Total other financing sources (uses) - (1,207,637) (5,000) - CHANGES IN FUND BALANCES (299,227) 2,212,162 235,072 (18,738)
FUND BALANCES (DEFICITS)
Beginning of year 1,248,589 2,215,071 1,367,379 285,227 End of year $ 949,362 $ 4,427,233 $ 1,602,451 $ 266,489 (Continued)
Special Revenue Funds
234
City of Lynwood
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Continued)
Nonmajor Governmental Funds
Year ended June 30, 2024
131
Enterprise Air
Zone Impact Urban Quality
Program Fees Farming Improvement
REVENUES
Taxes and assessments $ - $ 201,559 $ - $ - Licenses and permits - - - - Use of money and property 3,780 55,640 - 9,779 Intergovernmental - - - 66,803 Charges for services - - 11,070 - Miscellaneous - - - - Total revenues 3,780 257,199 11,070 76,582
EXPENDITURES
Current
General government - - - - Public safety - - - - Public works - - - 128,000 Community development - - 22,420 - Parks and recreation - - - - Capital outlay - - - 19,799 Debt service
Principal payment - - - 8,699 Interest and fiscal charges - - - - Total expenditures - - 22,420 156,498
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 3,780 257,199 (11,350) (79,916)
OTHER FINANCING SOURCES (USES)
Transfers in - - - - Transfers out - (3,190) - - Total other financing sources (uses) - (3,190) - - CHANGES IN FUND BALANCES 3,780 254,009 (11,350) (79,916)
FUND BALANCES (DEFICITS)
Beginning of year 173,461 2,499,544 778,668 498,753 End of year $ 177,241 $ 2,753,553 $ 767,318 $ 418,837 (Continued)
Special Revenue Funds
235
City of Lynwood
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Continued)
Nonmajor Governmental Funds
Year ended June 30, 2024
132
Prop C
Gas Tax SB 1 Prop A Fund
REVENUES
Taxes and assessments $ - $ - $ 1,915,274 $ 1,467,554 Licenses and permits - - - - Use of money and property 38,746 22,878 101,779 80,125 Intergovernmental 1,851,662 1,769,650 - - Charges for services - - - - Miscellaneous - - - - Total revenues 1,890,408 1,792,528 2,017,053 1,547,679
EXPENDITURES
Current
General government - - - - Public safety - - - - Public works 1, 224,368 563,360 393,929 145,444 Community development - - - - Parks and recreation - - 14,064 - Capital outlay 18,620 - - - Debt service
Principal payment - - - - Interest and fiscal charges - - - - Total expenditures 1,242,988 563,360 407,993 145,444
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 647,420 1,229,168 1,609,060 1,402,235
OTHER FINANCING SOURCES (USES)
Transfers in - - - - Transfers out (427,500) (937,019) (1,671,949) (286,850) Total other financing sources (uses) (427,500) (937,019) (1,671,949) (286,850) CHANGES IN FUND BALANCES 219,920 292,149 (62,889) 1,115,385
FUND BALANCES (DEFICITS)
Beginning of year 837,320 1,076,031 4,333,893 2,802,307 End of year $ 1,057,240 $ 1,368,180 $ 4,271,004 $ 3,917,692 (Continued)
Special Revenue Funds
236
City of Lynwood
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Continued)
Nonmajor Governmental Funds
Year ended June 30, 2024
133
Measure M Measure R Transportation
REVENUES
Taxes and assessments $ 1,242,497 $ 1,100,321 $ - Licenses and permits - - - Use of money and property 33,502 21,507 - Intergovernmental - - -
Charges for services - - - Miscellaneous - - -
Total revenues 1,275,999 1,121,828 -
EXPENDITURES
Current
General government - - -
Public safety - - -
Public works 34,308 492,700 1,622,289
Community development - - - Parks and recreation - - - Capital outlay - - -
Debt service
Principal payment 120,000 330,000 -
Interest and fiscal charges 539,244 202,001 - Total expenditures 693,552 1,024,701 1,622,289
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 582,447 97,127 (1,622,289)
OTHER FINANCING SOURCES (USES)
Transfers in - - 1,622,289 Transfers out (848,587) (577,064) -
Total other financing sources (uses) (848,587) (577,064) 1,622,289 CHANGES IN FUND BALANCES (266,140) (479,937) -
FUND BALANCES (DEFICITS)
Beginning of year 1,334,033 886,472 3,438
End of year $ 1,067,893 $ 406,535 $ 3,438
(Continued)
Special Revenue Funds
237
City of Lynwood
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Continued)
Nonmajor Governmental Funds
Year ended June 30, 2024
134
HSIP Litter Safe Clean
Fund Abatement Water
REVENUES
Taxes and assessments $ - $ - $ - Licenses and permits - - - Use of money and property (12) 215 - Intergovernmental 259,011 - 586,989 Charges for services - 299,886 -
Miscellaneous - - -
Total revenues 258,999 300,101 586,989
EXPENDITURES
Current
General government - - -
Public safety - - -
Public works - 979,651 278,264
Community development - - - Parks and recreation - - - Capital outlay - - -
Debt service
Principal payment - - -
Interest and fiscal charges - - - Total expenditures - 979,651 278,264
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 258,999 (679,550) 308,725
OTHER FINANCING SOURCES (USES)
Transfers in - 410,484 -
Transfers out (847,461) - (342,227) Total other financing sources (uses) (847,461) 410,484 (342,227) CHANGES IN FUND BALANCES (588,462) (269,066) (33,502)
FUND BALANCES (DEFICITS)
Beginning of year (230,250) 122,616 2,361,944
End of year $ (818,712) $ (146,450) $ 2,328,442 (Continued)
Special Revenue Funds
238
City of Lynwood
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Continued)
Nonmajor Governmental Funds
Year ended June 30, 2024
135
2012
Measure M Measure R Measure R 2017
Bonds (Bans) Bond Proceeds LRB
REVENUES
Taxes and assessments $ - $ - $- $ - Licenses and permits - - - - Use of money and property 238,368 17,437 22,100 - Intergovernmental - - - - Charges for services - - - - Miscellaneous - - - - Total revenues 238,368 17,437 22,100 -
EXPENDITURES
Current
General government - - - - Public safety - - - - Public works - - - - Community development - - - - Parks and recreation - - - - Capital outlay - - - - Debt service
Principal payment - - - - Interest and fiscal charges - 17,238 15,468 - Total expenditures - 17,238 15,468 -
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 238,368 199 6,632 -
OTHER FINANCING SOURCES (USES)
Transfers in - - - - Transfers out (682,574) - - (298,376) Total other financing sources (uses) (682,574) - - (298,376) CHANGES IN FUND BALANCES (444,206) 199 6,632 (298,376)
FUND BALANCES (DEFICITS)
Beginning of year 2,631,030 2,843 414,073 2,301,938 End of year $ 2,186,824 $ 3,042 $ 420,705 $ 2,003,562 (Continued)
Capital Projects Funds
239
City of Lynwood
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Continued)
Nonmajor Governmental Funds
Year ended June 30, 2024
136
Debt Service
Fund
Nonmajor
2019 2020 City of Governmental
LRB LRB Lynwood Funds
REVENUES
Taxes and assessments $ - $ - $ - $ 13,867,317 Licenses and permits - - - 112,292 Use of money and property 12,640 12,717 - 739,111 Intergovernmental - - - 4,534,115 Charges for services - - - 520,221 Miscellaneous - - - 15,913 Total revenues 12,640 12,717 - 19,788,969
EXPENDITURES
Current
General government - - - 834,745 Public safety - - - 649,720 Public works - - - 8,122,828 Community development - - - 812,736 Parks and recreation - - - 299,454 Capital outlay - - - 87,409 Debt service
Principal payment - - 1,248,854 1,794,786 Interest and fiscal charges - - 1,353,416 2,174,044 Total expenditures - - 2,602,270 14,775,722
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES 12,640 12,717 (2,602,270) 5,013,247
OTHER FINANCING SOURCES (USES)
Transfers in - - 2,125,142 4,157,915 Transfers out (2,861,022) (16,630) - (11,013,086) Total other financing sources (uses) (2,861,022) (16,630) 2,125,142 (6,855,171) CHANGES IN FUND BALANCES (2,848,382) (3,913) (477,128) (1,841,924)
FUND BALANCES (DEFICITS)
Beginning of year 11,116,004 13,201,768 - 52,262,152 End of year $ 8,267,622 $ 13,197,855 $ (477,128) $ 50,420,228 (Concluded)
Capital Projects Funds
240
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Lighting Maintenance Special Revenue Fund
Year ended June 30, 2024
137
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 1,068,000 $ 1,068,000 $ 1,037,028 $ (30,972) Use of money and property 15,561 15,561 30,337 14,776 Miscellaneous - - 15,913 15,913 Total revenues 1,083,561 1,083,561 1,083,278 (283)
EXPENDITURES
Current
General government 14,804 14,804 - 14,804 Public works 1, 024,473 1,024,473 1,199,605 (175,132) Capital outlay 45,000 45,000 48,990 (3,990) Debt service
Principal payment 87,233 87,233 87,233 - Interest and fiscal charges 46,677 46,677 46,677 - Total expenditures 1,218,187 1,218,187 1,382,505 (164,318) CHANGES IN FUND BALANCE $ (134,626) $ (134,626) (299,227) $ (164,601)
FUND BALANCE
Beginning of year 1,248,589
End of year $ 949,362
241
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Retirement Special Revenue Fund
Year ended June 30, 2024
138
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 5,694,000 $ 5,694,000 $ 6,903,084 $ 1,209,084 Total revenues 5,694,000 5,694,000 6,903,084 1,209,084
EXPENDITURES
Current
General government 874,597 874,597 834,745 39,852 Public safety 671,447 671,447 649,720 21,727 Public works 1,096,388 1,096,388 1,060,910 35,478 Community development 674,343 674,343 652,520 21,823 Parks and recreation 294,935 294,935 285,390 9,545 Total expenditures 3,611,710 3,611,710 3,483,285 128,425
EXCESS OF REVENUES OVER
EXPENDITURES 2,082,290 2,082,290 3,419,799 1,337,509
OTHER FINANCING USES
Transfers out (1,207,637) (1,207,637) (1,207,637) - Total other financing uses (1,207,637) (1,207,637) (1,207,637) - CHANGES IN FUND BALANCE $ 874,653 $ 874,653 2,212,162 $ 1,337,509
FUND BALANCE
Beginning of year 2,215,071
End of year $ 4,427,233
242
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Public Art Special Revenue Fund
Year ended June 30, 2024
139
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ 10,375 $ 10,375 $ 30,807 $ 20,432 Charges for services 100,000 100,000 209,265 109,265 Total revenues 110,375 110,375 240,072 129,697
OTHER FINANCING USES
Transfers out (5,000) (5,000) (5,000) - Total other financing uses (5,000) (5,000) (5,000) - CHANGES IN FUND BALANCE $ 105,375 $ 105,375 235,072 $ 129,697
FUND BALANCE
Beginning of year 1,367,379
End of year $ 1,602,451
243
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Business Improvement District Special Revenue Fund
Year ended June 30, 2024
140
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Licenses and permits $ 125,000 $ 125,000 $ 112,292 $ (12,708) Use of money and property 3,264 3,264 6,766 3,502 Total revenues 128,264 128,264 119,058 (9,206)
EXPENDITURES
Current
Community development 180,300 180,300 137,796 42,504 Total expenditures 180,300 180,300 137,796 42,504 CHANGES IN FUND BALANCE $ (52,036) $ (52,036) (18,738) $ 33,298
FUND BALANCE
Beginning of year 285,227
End of year $ 266,489
244
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Enterprise Zone Program Special Revenue Fund
Year ended June 30, 2024
141
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ 1,695 $ 1,695 $ 3,780 $ 2,085 Total revenues 1,695 1,695 3,780 2,085 CHANGES IN FUND BALANCE $ 1,695 $ 1,695 3,780 $ 2,085
FUND BALANCE
Beginning of year 173,461
End of year $ 177,241
245
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Impact Fees Special Revenue Fund
Year ended June 30, 2024
142
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 1,897,246 $ 1,897,246 $ 201,559 $ (1,695,687) Use of money and property 19,174 19,174 55,640 36,466 Total revenues 1,916,420 1,916,420 257,199 (1,659,221)
OTHER FINANCING USES
Transfers out (3,190) (3,190) (3,190) - Total other financing uses (3,190) (3,190) (3,190) - CHANGES IN FUND BALANCE $ 1,913,230 $ 1,913,230 254,009 $ (1,659,221)
FUND BALANCE
Beginning of year 2,499,544
End of year $ 2,753,553
246
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Urban Farming Special Revenue Fund
Year ended June 30, 2024
143
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Charges for services $ - $ - $ 11,070 $ 11,070 Total revenues - - 11,070 11,070
EXPENDITURES
Current
Community development 100,000 385,000 22,420 362,580 Total expenditures 100,000 385,000 22,420 362,580 CHANGES IN FUND BALANCE $ (100,000) $ (385,000) (11,350) $ 373,650
FUND BALANCE
Beginning of year 778,668
End of year $ 767,318
247
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Air Quality Improvement Special Revenue Fund
Year ended June 30, 2024
144
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ 3,543 $ 3,543 $ 9,779 $ 6,236 Intergovernmental 82,823 82,823 66,803 (16,020) Total revenues 86,366 86,366 76,582 (9,784)
EXPENDITURES
Current
Public works 128,000 128,000 128,000 - Capital outlay 25,000 25,000 19,799 5,201 Debt service
Principal payment - - 8,699 (8,699) Total expenditures 153,000 153,000 156,498 (3,498) CHANGES IN FUND BALANCE $ (66,634) $ (66,634) (79,916) $ (13,282)
FUND BALANCE
Beginning of year 498,753
End of year $ 418,837
248
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Gas Tax Special Revenue Fund
Year ended June 30, 2024
145
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $9 , 7 3 7 $ 9,737 $ 38,746 $ 29,009 Intergovernmental 1,937,472 1,937,472 1,851,662 (85,810) Total revenues 1,947,209 1,947,209 1,890,408 (56,801)
EXPENDITURES
Current
Public works 1,664,915 1,708,275 1,224,368 483,907 Capital outlay 10,000 10,000 18,620 (8,620) Total expenditures 1,674,915 1,718,275 1,242,988 475,287
EXCESS OF REVENUES OVER
EXPENDITURES 272,294 228,934 647,420 418,486
OTHER FINANCING USES
Transfers out (604,000) (604,000) (427,500) 176,500 Total other financing uses (604,000) (604,000) (427,500) 176,500 CHANGES IN FUND BALANCE $ (331,706) $ (375,066) 219,920 $ 594,986
FUND BALANCE
Beginning of year 837,320
End of year $ 1,057,240
249
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
SB 1 Special Revenue Fund
Year ended June 30, 2024
146
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ 10,239 $ 10,239 $ 22,878 $ 12,639 Intergovernmental 1,695,190 1,695,190 1,769,650 74,460 Total revenues 1,705,429 1,705,429 1,792,528 87,099
EXPENDITURES
Current
Public works 687,802 687,802 563,360 124,442 Total expenditures 687,802 687,802 563,360 124,442
EXCESS OF REVENUES OVER
EXPENDITURES 1,017,627 1,017,627 1,229,168 211,541
OTHER FINANCING USES
Transfers out (1,275,284) (1,275,284) (937,019) 338,265 Total other financing uses (1,275,284) (1,275,284) (937,019) 338,265 CHANGES IN FUND BALANCE $ (257,657) $ (257,657) 292,149 $ 549,806
FUND BALANCE
Beginning of year 1,076,031
End of year $ 1,368,180
250
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Prop A Special Revenue Fund
Year ended June 30, 2024
147
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 3,861,367 $ 3,861,367 $ 1,915,274 $ (1,946,093) Use of money and property 36,209 36,209 101,779 65,570 Total revenues 3,897,576 3,897,576 2,017,053 (1,880,523)
EXPENDITURES
Current
Public works 106,103 406,103 393,929 12,174 Parks and recreation - - 14,064 (14,064) Capital outlay 30,000 30,000 - 30,000 Total expenditures 136,103 436,103 407,993 28,110
EXCESS OF REVENUES OVER
EXPENDITURES 3,761,473 3,461,473 1,609,060 (1,852,413)
OTHER FINANCING USES
Transfers out (4,104,705) (4,104,705) (1,671,949) 2,432,756 Total other financing uses (4,104,705) (4,104,705) (1,671,949) 2,432,756 CHANGES IN FUND BALANCE $ (343,232) $ (643,232) (62,889) $ 580,343
FUND BALANCE
Beginning of year 4,333,893
End of year $ 4,271,004
251
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Prop C Special Revenue Fund
Year ended June 30, 2024
148
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 1,599,529 $ 1,599,529 $ 1,467,554 $ (131,975) Use of money and property 19,813 19,813 80,125 60,312 Total revenues 1,619,342 1,619,342 1,547,679 (71,663)
EXPENDITURES
Current
General government 17 17 - 17 Public works 224,465 224,465 145,444 79,021 Total expenditures 224,482 224,482 145,444 79,038
EXCESS OF REVENUES OVER
EXPENDITURES 1,394,860 1,394,860 1,402,235 7,375
OTHER FINANCING USES
Transfers out (786,280) (786,280) (286,850) 499,430 Total other financing uses (786,280) (786,280) (286,850) 499,430 CHANGES IN FUND BALANCE $ 608,580 $ 608,580 1,115,385 $ 506,805
FUND BALANCE
Beginning of Year 2,802,307
End of Year $ 3,917,692
252
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Measure M Special Revenue Fund
Year ended June 30, 2024
149
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 1,359,600 $ 1,359,600 $ 1,242,497 $ (117,103) Use of money and property 6,422 6,422 33,502 27,080 Total revenues 1,366,022 1,366,022 1,275,999 (90,023)
EXPENDITURES
Current
Public works 38,984 38,984 34,308 4,676 Debt service
Principal payment 120,000 120,000 120,000 - Interest and fiscal charges 540,100 540,100 539,244 856 Total expenditures 699,084 699,084 693,552 5,532
EXCESS OF REVENUES OVER
EXPENDITURES 666,938 666,938 582,447 (84,491)
OTHER FINANCING USES
Transfers out (1,436,000) (1,886,034) (848,587) 1,037,447 Total other financing uses (1,436,000) (1,886,034) (848,587) 1,037,447 CHANGES IN FUND BALANCE $ (769,062) $ (1,219,096) (266,140) $ 952,956
FUND BALANCE
Beginning of year 1,334,033
End of year $ 1,067,893
253
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Measure R Special Revenue Fund
Year ended June 30, 2024
150
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Taxes $ 1,199,647 $ 1,199,647 $ 1,100,321 $ (99,326) Use of money and property 18,157 18,157 21,507 3,350 Total revenues 1,217,804 1,217,804 1,121,828 (95,976)
EXPENDITURES
Current
Public works 595,501 595,501 492,700 102,801 Debt service
Principal payment 330,000 330,000 330,000 - Interest and fiscal charges 230,007 230,007 202,001 28,006 Total expenditures 1,155,508 1,155,508 1,024,701 130,807
EXCESS OF REVENUES OVER
EXPENDITURES 62,296 62,296 97,127 34,831
OTHER FINANCING USES
Transfers out (3,273,667) (706,164) (577,064) 129,100 Total other financing uses (3,273,667) (706,164) (577,064) 129,100 CHANGES IN FUND BALANCE $ (3,211,371) $ (643,868) (479,937) $ 163,931
FUND BALANCE
Beginning of year 886,472
End of year $ 406,535
254
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Transportation Special Revenue Fund
Year ended June 30, 2024
151
Original Final Variance with
Budget Budget Actual Final Budget
EXPENDITURES
Current
Public works $ 2,278,199 $ 2,278,199 $ 1,622,289 $ 655,910 Total expenditures 2,278,199 2,278,199 1,622,289 655,910
DEFICIENCY OF REVENUES UNDER
EXPENDITURES (2,278,199) (2,278,199) (1,622,289) 655,910
OTHER FINANCING SOURCES
Transfers in 2,265,705 2,265,705 1,622,289 (643,416) Total other financing sources 2,265,705 2,265,705 1,622,289 (643,416) CHANGES IN FUND BALANCE $ (12,494) $ (12,494) - $ 12,494
FUND BALANCE
Beginning of year 3,438
End of year $ 3,438
255
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
HSIP Special Revenue Fund
Year ended June 30, 2024
152
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ - $ - $ (12) $ (12) Intergovernmental - - 259,011 259,011 Total revenues - - 258,999 258,999
OTHER FINANCING USES
Transfers out (917,100) (1,312,575) (847,461) 465,114 Total other financing uses (917,100) (1,312,575) (847,461) 465,114 CHANGES IN FUND BALANCE $ (917,100) $ (1,312,575) (588,462) $ 724,113
FUND DEFICIT
Beginning of year (230,250)
End of year $ (818,712)
256
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Litter Abatement Special Revenue Fund
Year ended June 30, 2024
153
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $- $ - $ 215 $ 215 Charges for services 379,081 379,081 299,886 (79,195) Total revenues 379,081 379,081 300,101 (78,980)
EXPENDITURES
Current
Public works 860,375 1,000,175 979,651 20,524 Total expenditures 860,375 1,000,175 979,651 20,524
DEFICIENCY OF REVENUES UNDER
EXPENDITURES (481,294) (621,094) (679,550) (58,456)
OTHER FINANCING SOURCES
Transfers in 410,484 410,484 410,484 - Total other financing sources 410,484 410,484 410,484 - CHANGES IN FUND BALANCE $ (70,810) $ (210,610) (269,066) $ (58,456)
FUND BALANCE
Beginning of year 122,616
End of year $ (146,450)
257
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Safe Clean Water Special Revenue Fund
Year ended June 30, 2024
154
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Intergovernmental revenues $ 592,067 $ 592,067 $ 586,989 $ (5,078) Total revenues 592,067 592,067 586,989 (5,078)
EXPENDITURES
Current
Public works 451,235 451,235 278,264 172,971 Total expenditures 451,235 451,235 278,264 172,971
EXCESS OF REVENUES OVER
EXPENDITURES 140,832 140,832 308,725 167,893
OTHER FINANCING USES
Transfers out (1,185,000) (1,185,000) (342,227) 842,773 Total other financing uses (1,185,000) (1,185,000) (342,227) 842,773 CHANGES IN FUND BALANCE $ (1,044,168) $ (1,044,168) (33,502) $ 1,010,666
FUND BALANCE
Beginning of year 2,361,944
End of year $ 2,328,442
258
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Capital Improvement Capital Projects Fund - Major Fund
Year ended June 30, 2024
155
Original Final Variance with
Budget Budget Actual Final Budget
EXPENDITURES
Current
Public works 74,200 74,200 35,000 39,200 Capital Outlay 49,268,226 52,382,577 12,633,564 39,749,013 Total expenditures 49,342,426 52,456,777 12,668,564 39,788,213
OTHER FINANCING SOURCES
Transfers in 49,342,426 52,456,777 12,668,564 (39,788,213) Total other financing sources 49,342,426 52,456,777 12,668,564 (39,788,213) CHANGES IN FUND BALANCE $- $ - - $ -
FUND BALANCE
Beginning of year 441,523
End of year $ 441,523
259
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
Measure M Bonds Capital Projects Fund
Year ended June 30, 2024
156
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ - $ - $ 238,368 $ 238,368 Total revenues - - 238,368 238,368
OTHER FINANCING USES
Transfers out (677,000) (677,000) (682,574) (5,574) Total other financing uses (677,000) (677,000) (682,574) (5,574) CHANGES IN FUND BALANCE $ (677,000) $ (677,000) (444,206) $ 232,794
FUND BALANCE
Beginning of year 2,631,030
End of year $ 2,186,824
260
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
2017 Lease Revenue Bonds (LRB) Capital Projects Fund
Year ended June 30, 2024
157
Original Final Variance with
Budget Budget Actual Final Budget
OTHER FINANCING USES
Transfers out $ (459,725) $ (952,216) $ (298,376) $ 653,840 Total other financing uses (459,725) (952,216) (298,376) 653,840 CHANGES IN FUND BALANCE $ (459,725) $ (952,216) (298,376) $ 653,840
FUND BALANCE
Beginning of year 2,301,938
End of year $ 2,003,562
261
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
2019 Lease Revenue Bonds (LRB) Capital Projects Fund
Year ended June 30, 2024
158
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ - $ - $ 12,640 $ 12,640 Total revenues - - 12,640 12,640
OTHER FINANCING USES
Transfers out (9,201,412) (9,520,261) (2,861,022) 6,659,239 Total other financing uses (9,201,412) (9,520,261) (2,861,022) 6,659,239 CHANGES IN FUND BALANCE $ (9,201,412) $ (9,520,261) (2,848,382) $ 6,671,879
FUND BALANCE
Beginning of year 11,116,004
End of year $ 8,267,622
262
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
2020 Lease Revenue Bonds (LRB) Capital Projects Fund
Year ended June 30, 2024
159
Original Final Variance with
Budget Budget Actual Final Budget
REVENUES
Use of money and property $ - $ - $ 12,717 $ 12,717 Total revenues - - 12,717 12,717
OTHER FINANCING USES
Transfers out - (5,950,000) (16,630) 5,933,370 Total other financing uses - (5,950,000) (16,630) 5,933,370 CHANGES IN FUND BALANCE $- $ (5,950,000) (3,913) $ 5,946,087
FUND BALANCE
Beginning of year 13,201,768
End of year $ 13,197,855
263
City of Lynwood
Schedule of Revenues, Expenditures, and Changes in Fund Balance Budgetary Comparison Schedule
City of Lynwood Debt Service Fund
Year ended June 30, 2024
160
Original Final Variance with
Budget Budget Actual Final Budget
EXPENDITURES
Current
General government $ 3,500 $ 3,500 $ - $ 3,500 Debt service
Principal payment 990,000 990,000 1,248,854 (258,854) Interest and fiscal charges 1,135,142 1,135,142 1,353,416 (218,274) Total expenditures 2,128,642 2,128,642 2,602,270 (473,628)
OTHER FINANCING SOURCES
Transfers in 2,128,642 2,128,642 2,125,142 (3,500) Total other financing sources 2,128,642 2,128,642 2,125,142 (3,500) CHANGES IN FUND BALANCE $- $ - (477,128) $ (477,128)
FUND BALANCE (DEFICIT)
Beginning of year -
End of year $ (477,128)
264
City of Lynwood
Description of Internal Service Funds
Year ended June 30, 2024
161
Internal Service Funds
Internal service funds are used to account for tran sactions related to the City's vehicle & equipment maintenance/replacement/replacement, information technology, its self-insurance programs, and facilities maintenance. These services are provid ed to other departments on a cost-reimbursement basis.
Vehicle & Equipment Maintenance/Replacement- This fund accounts for reimbursements from City departments for the cost of upkeep on City vehicles.
Information Technology Fund - This fund accounts for all inform ation technology costs to the City.
Funding sources are 50% from the General Fund and 50% from the Water Fund.
Self-Insurance Fund - This fund accounts for reimbursements from City departments for the cost of insurance premiums, claims and administration.
Facilities Maintenance - This fund accounts for goods and services provided by the Garage Division Department to other departments on a cost-reimbursement basis. The pur chase of all City vehicles and vehicle maintenance services are recorded in this fund.
265
City of Lynwood
Combining Statement of Net Position
Internal Service Funds
June 30, 2024
162
Vehicle &
Equipment
Maintenance/ Information Facilities
Replacement Technology Self-Insurance Maintenance Total ASSETS
Current Assets
Cash and investments $ 1,634,166 $ 193,781 $ 14,749,451 $ 251,845 $ 16,829,243 Accounts receivable, net - 7 - - 7 Interest receivable 5,622 675 - 933 7,230 Prepaid items - 25,267 - - 25,267 Total current assets 1,639,788 219,730 14,749,451 252,778 16,861,747 Noncurrent assets
Restricted assets
Deposit in trust - - 300,000 - 300,000 Capital assets
Capital assets, being depreciated, net 651,764 57,242 - - 709,006 Total capital assets, net 651,764 57,242 - - 709,006 Total noncurrent assets 651,764 57,242 300,000 - 1,009,006 Total assets 2,291,552 276,972 15,049,451 252,778 17,870,753
LIABILITIES
Current liabilities
Accounts payable 54,902 18,533 11,470 - 84,905 Accrued expenses 666 10,163 52,019 - 62,848 Due to other funds 1,102,227 - - - 1,102,227 Claims payable, due in one year - - 1,143,639 - 1,143,639 Lease liability, due in one year 97,793 12,953 110,746 Unearned revenue 3,638 - - 3,638 Total current liabilities 1,255,588 45,287 1,207,128 - 2,508,003 Noncurrent liabilities
Lease liability, due in more than one year 359,974 45,411 - - 405,385 Claims payable, due in more than one year - - 3,886,361 - 3,886,361 Total noncurrent liabilities 359,974 45,411 3,886,361 - 4,291,746 Total liabilities 1,615,562 90,698 5,093,489 - 6,799,749
NET POSITION
Investment in capital assets 193,997 (1,122) - - 192,875 Restricted for self-insurance - - 300,000 - 300,000 Unrestricted 481,993 187,396 9,655,962 252,778 10,578,129 Total net position $ 675,990 $ 186,274 $ 9,955,962 $ 252,778 $ 11,071,004 266
City of Lynwood
Combining Statement of Revenues, Expenses and Changes in Net Position Internal Service Funds
Year Ended June 30, 2024
163
Vehicle &
Equipment
Maintenance/ Information Facilities
Replacement Technology Self-Insurance Maintenance Total
OPERATING REVENUES
Interdepartmental service charges $ 2,603,195 $ 1,126,731 $ 7,046,031 $ - $ 10,775,957 Total operating revenues 2,603,195 1,126,731 7,046,031 - 10,775,957
OPERATING EXPENSES
Insurance - - 3,121,706 - 3,121,706 Claims - - 3,228,158 - 3,228,158 Vehicle & equipment maintenance 528,101 1,002,428 - - 1,530,529 Depreciation and amortization 170,497 36,822 - - 207,319 Total operating expenses 698,598 1,039,250 6,349,864 - 8,087,712 OPERATING INCOME 1,904,597 87,481 696,167 - 2,688,245
NONOPERATING REVENUES (EXPENSES)
Investment earnings 8,302 1,281 7,814 2,778 20,175 Interest expense (18,910) (2,590) - - (21,500) Total nonoperating revenues (expenses) (10,608) (1,309) 7,814 2,778 (1,325) Income before transfers 1,893,989 86,172 703,981 2,778 2,686,920
TRANSFERS
Transfers in - - 1,207,637 - 1,207,637 Total transfers - - 1,207,637 - 1,207,637 CHANGES IN NET POSITION 1,893,989 86,172 1,911,618 2,778 3,894,557
NET POSITION
Fund balances, July 1, as previously reported 200,001 100,102 8,044,344 250,000 8,594,447 Restatement (1,418,000) - - - (1,418,000) Fund balances (deficit), July 1, as restated (1,217,999) 100,102 8,044,344 250,000 7,176,447 End of the year $6 75,990 $1 8 6 ,274 $9 ,955,962 $2 52,778 $1 1 ,071,004 267
City of Lynwood
Combining Statement of Cash Flows
Internal Service Funds
Year ended June 30, 2024
164
Vehicle &
Equipment
Maintenance/ Information Facilities
Replacement Technology Self-Insurance Maintenance Total
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from interdepartmental service charges $ 2,016,713 $ 1,126,724 $ 7,046,313 $ - $ 10,189,750 Payments to suppliers and employees (498,470) (995,361) - (1,493,831) Payments for insurance premium and claims - - (6,115,008) - (6,115,008) Net cash provided by operating activities 1,518,243 131,363 931,305 - 2,580,911
CASH FLOW FROM NONCAPITAL FINANCING ACTIVITIES
Transfers in - - 1,207,637 1,207,637 Cash provided by noncapital financing activities - - 1,207,637 - 1,207,637
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Acquisition and construction of capital assets - (25,373) - - (25,373) Principal repayments (67,847) (10,327) - - (78,174) Interest paid (18,910) (2,590) - - (21,500) Cash used in capital and related financing activities (86,757) (38,290) - - (125,047)
CASH FLOW FROM INVESTING ACTIVITIES
Investment earnings 2,680 606 7,814 1,845 12,945 Cash provided by investing activities 2,680 606 7,814 1,845 12,945 Changes in cash and investments 1,434,166 93,679 2,146,756 1,845 3,676,446
CASH AND INVESTMENTS
Beginning of year 200,000 100,102 12,902,695 250,000 13,452,797 End of year $ 1,634,166 $ 193,781 $ 15,049,451 $ 251,845 $ 17,129,243
RECONCILIATION OF CASH AND INVESTMENTS
TO THE STATEM ENT OF NET POSITION
Cash and investment 1,634,166 193,781 14,749,451 251,845 16,829,243 Deposit in trust - - 300,000 - 300,000 Total $ 1,634,166 $ 193,781 $ 15,049,451 $ 251,845 $ 17,129,243
RECONCILIATION OF OPERATING INCOME TO NET CASH
PROVIDED BY OPERATING ACTIVITIES
Operating income $ 1,904,597 $ 87,481 $ 696,167 $ - $ 2,688,245 Adjustments to reconcile operating income to
net cash provided by operating activities
Restatement (1,418,000) - - - (1,418,000) Depreciation and amortization 170,497 36,822 - - 207,319 Change in assets and liab ilities
(Increase) decrease in accounts receivable - (7) 282 - 275 (Increase) decrease in prepaid items - (25,267) 60,799 - 35,532 Increase (decrease) in accounts payable 29,305 18,533 (31,595) - 16,243 Increase (decrease) in accrued expenses 326 10,163 (348) - 10,141 Increase in due to other funds 831,518 - - - 831,518 Increase in claims payable - - 206,000 - 206,000 Increase in unearned revenues - 3,638 - - 3,638 Total adjustments (386,354) 43,882 235,138 - (107,334) Net cash provided by operating activities $ 1,518,243 $ 131,363 $ 931,305 $ - $ 2,580,911 268
STATISTICAL SECTION
269
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270
City of Lynwood
Description of Statistical Section Contents
165
This part of the City of Lynwood's annual comprehensive financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City's overall financial health.
Financial Trends (pages 166-173)
These schedules contain trend information to help the reader understand how the City’s financial performance and well-being have changed over time.
Revenue Capacity (pages 174-184)
These schedules contain information to help the reader assess the City’s most significant local revenue sources, transient occupancy tax (“TOT”) and property taxes.
Debt Capacity (pages 185-191)
These schedules present information to help the read er assess the affordability of the City’s current levels of outstanding debt and the City’s ability to issue additional debt in the future.
Demographic and Economic Information (pages 192-193)
These schedules offer demographic and economic indicators to help the reader understand the environment in which the City’s financial activities take place.
Operating Information (pages 194-199)
These schedules contain service and infrastructure data to help the reader understand how the information in the City’s financial report relates to the services the government provides and the activities it performs.
271
City of Lynwood
Net Position by Component
Last Ten Fiscal Years
(Accrual Basis of Accounting)
166
2015 2016 2017 2018 2019
Governmental Activities
Net Investment in Capital Assets $ 113,437,149 $ 121,869,031 $ 134,085,572 $ 137,802,823 $ 113,302,974 Restricted 28,759,008 24,894,733 25,023,626 29,623,562 61,054,174 Unrestricted (33,375,725) (36,107,337) (41,349,927) (47,074,638) (40,186,835) Total Governmental Activities
Net Position $ 108,820,432 $ 110,656,427 $ 117,759,271 $ 120,351,747 $ 134,170,313 Business-type Activities
Net Investment in Capital Assets $ 2,437,864 $ (4,645,107) $ (4,631,063) $ 410,640 $ (1,131,564) Restricted 4,256,517 1,216,007 1,217,476 927,225 978,438 Unrestricted 857,038 10,815,651 4,158,447 1,916,674 2,473,949 Total Business-type Activities
Net Position $ 7,551,419 $ 7,386,551 $ 744,860 $ 3,254,539 $ 2,320,823 Primary government
Net Investment in Capital Assets $ 115,875,013 $ 117,223,924 $ 129,454,509 $ 138,213,463 $ 112,171,410 Restricted 33,015,525 26,110,740 26,241,102 30,550,787 62,032,612 Unrestricted (32,518,687) (25,291,686) (37,191,480) (45,157,964) (37,712,886) Total Primary Government
Net Position $ 116,371,851 $ 118,042,978 $ 118,504,131 $ 123,606,286 $ 136,491,136 Fiscal Year
272
City of Lynwood
Net Position by Component (Continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
167
2020 2021 2022 2023 2024
Governmental Activities
Net Investment in Capital Assets $ 112,615,998 $ 150,854,057 $ 141,219,613 $ 148,767,929 $ 158,628,357 Restricted 33,723,770 86,780,524 60,003,916 61,048,363 81,205,444 Unrestricted (5,830,289) (83,207,679) (19,798,362) 5,618,624 (16,232,246) Total Governmental Activities
Net Position $ 140,509,479 $ 154,426,902 $ 181,425,167 $ 215,434,916 $ 223,601,555 Business-type Activities
Net Investment in Capital Assets $ (4,365,339) $ (246,122) $ (4,659,674) $ (1,903,364) $ 935,770 Restricted 936,200 669,519 675,254 910,021 1,259,882 Unrestricted 5,432,465 4,267,177 7,092,996 5,484,159 348,012 Total Business-type Activities
Net Position $ 2,003,326 $ 4,690,574 $ 3,108,576 $ 4,490,816 $ 2,543,664 Primary government
Net Investment in Capital Assets $ 108,250,659 $ 150,607,935 $ 136,559,939 $ 146,864,565 $ 159,564,127 Restricted 34,659,970 87,450,043 60,679,170 61,958,384 82,465,326 Unrestricted (397,824) (78,940,502) (12,705,366) 11,102,783 (15,884,234) Total Primary Government
Net Position $ 142,512,805 $ 159,117,476 $ 184,533,743 $ 219,925,732 $ 226,145,219 Fiscal Year
273
City of Lynwood
Changes in Net Position
Last Ten Fiscal Years
(Accrual Basis of Accounting)
168
2015 2016 2017 2018 2019
Expenses
Governmental Activities
General government $ 10,299,740 $ 9,379,498 $ 7,136,078 $ 8,071,215 $ 6,390,329 Public safety 17,091,786 18,500,520 17,882,364 18,637,179 18,518,413 Public works 10,458,752 11,121,898 16,457,116 16,075,850 16,661,495 Community development 1,580,382 1,548,886 1,614,564 1,676,129 1,923,736 Parks and recreation 3,013,387 2,983,953 3,908,963 4,552,791 3,970,442 Interest on long-term debt 1,282,689 332,878 1,071,212 1,054,011 2,283,401 Total governmental activities expenses 43,726,736 43,867,633 48,070,297 50,067,175 49,747,816 Business-type activities
Water 9,771,870 9,870,110 13,224,683 8,887,470 9,136,538 Transit 1,049,545 1,074,358 1,226,680 1,385,168 1,140,910 Total business-type activities expenses 10,821,415 10,944,468 14,451,363 10,252,638 10,277,448 Total primary government expenses 54,548,151 54,812,101 62,521,660 60,319,813 60,025,264 Program Revenues
Governmental activities
Charges for services
General government 6,966,009 3,150,290 1,949,868 2,688,335 2,973,111 Public safety 9,113 62,422 1,498 - - Public works 3,485,305 2,812,627 2,862,357 1,980,045 1,224,495 Community development 803,853 1,043,855 3,482,668 3,233,961 4,113,467 Parks and recreation 669,074 803,486 954,442 684,148 708,237 Operating grants and contributions 4,545,181 15,732,256 14,352,236 17,845,656 17,141,326 Capital grants and contributions - 2,483,687 3,243,416 - - Total governmental activities program revenues 16,478,535 26,088,623 26,846,485 26,432,145 26,160,636 Business-type activities
Charges for services
Water 10,298,091 9,781,758 9,788,763 11,994,596 12,907,193 Transit 7,075 25,648 70,898 16,991 6,221 Total business-type activities program revenues 10,305,166 9,807,406 9,859,661 12,011,587 12,913,414 Total primary government program revenues 26,783,701 35,896,029 36,706,146 38,443,732 39,074,050 Net (Expenses)/Revenue
Governmental activities (27,248,201) (17,779,010) (21,223,812) (23,635,030) (23,587,180) Business-type activities (516,249) (1,137,062) (4,591,702) 1,758,949 2,635,966 Total primary government net expense (27,764,450) (18,916,072) (25,815,514) (21,876,081) (20,951,214) General Revenues and Other Changes in Net
Assets
Governmental activities
Taxes
Property taxes 13,782,140 9,054,582 9,265,676 9,795,477 10,683,709 Utility users tax 5,381,381 5,155,837 5,169,598 5,196,640 5,014,483 Sales taxes 7,107,526 5,159,810 4,814,034 9,176,594 10,236,088 Franchise taxes 1,533,036 657,966 577,959 671,343 673,766 Business license taxes 1,181,547 1,053,273 876,656 885,191 896,212 Other taxes 236,343 158,525 185,814 143,648 192,692 Investment earnings 177,832 323,475
220,414 370,824 4,371,883
Miscellaneous 115,568 963,447 869,221 497,896 1,158,007 Transfers (693,613) (829,165) 2,132,037 (510,107) 4,178,906 Gain/Loss of Capital Assets - (2,082,845) - - - Total governmental activities 28,821,760 19,614,905 24,111,409 26,227,506 37,405,746 Business-type activities
Investment earnings 65,411 143,029 82,048 240,623 609,224 Transfers 693,613 829,165 (2,132,037) 510,107 (4,178,906) Total business-type activities 759,024 972,194 (2,049,989) 750,730 (3,569,682) Total primary government 29,580,784 20,587,099 22,061,420 26,978,236 33,836,064 Change in Net Position
Governmental activities 1,573,559 1,835,895 2,887,597 2,592,476 13,818,566 Business-type activities 242,775 (164,868) (6,641,691) 2,509,679 (933,716) Total primary government $ 1,816,334 $ 1,671,027 $ (3,754,094) $ 5,102,155 $ 12,884,850 Fiscal Year
274
City of Lynwood
Changes in Net Position (Continued)
Last Ten Fiscal Years
(Accrual Basis of Accounting)
169
2020 2021 2022 2023 2024
Expenses
Governmental Activities
General government $ 6,995,890 $ 7,076,551 $ 9,891,951 $ 5,592,256 $ 6,983,203 Public safety 20,181,826 19,811,083 15,921,610 17,304,975 20,749,951 Public works 17,319,067 12,791,373 13,071,418 16,820,555 17,566,243 Community development 1,438,994 3,342,443 5,991,316 7,331,130 10,580,665 Parks and recreation 3,780,543 3,236,523 2,790,907 3,774,275 4,739,717 Interest on long-term debt 3,226,350 3,184,825 2,998,678 2,628,236 2,272,821 Total governmental activities expenses 52,942,670 49,442,798 50,665,880 53,451,427 62,892,600 Business-type activities
Water 10,158,834 11,754,041 15,557,904 12,129,166 14,924,442 Transit 1,739,420 1,307,702 - - - Total business-type activities expenses 11,898,254 13,061,743 15,557,904 12,129,166 14,924,442 Total primary government expenses 64,840,924 62,504,541 66,223,784 65,580,593 77,817,042 Program Revenues
Governmental activities
Charges for services
General government 1,401,731 1,000,725 346,343 545,276 186,961 P u b l i c s a f e t y ---- - Public works 815,003 1,294,037 662,094 678,923 724,845 Community development 3,659,591 8,183,833 8,149,680 5,849,055 1,009,548 Parks and recreation 431,636 34,150 200,245 234,694 492,493 Operating grants and contributions 16,657,095 23,765,614 30,557,979 33,621,978 11,732,271 Capital grants and contributions - - 2,554,198 7,122,510 - Total governmental activities program revenues 22,965,056 34,278,359 42,470,539 48,052,436 14,146,118 Business-type activities
Charges for services
Water 13,841,865 14,936,511 15,110,900 14,171,434 14,437,523 Transit 6,793 34 - - - Total business-type activities program revenues 13,848,658 14,936,545 15,110,900 14,171,434 14,437,523 Total primary government program revenues 36,813,714 49,214,904 57,581,439 62,223,870 28,583,641 Net (Expenses)/Revenue
Governmental activities (29,977,614) (15,164,439) (8,195,341) (5,398,991) (48,746,482) Business-type activities 1,950,404 1,874,802 (447,004) - (486,919) Total primary government net expense (28,027,210) (13,289,637) (8,642,345) (5,398,991) (49,233,401) General Revenues and Other Changes in Net
Assets
Governmental activities
Taxes
Property taxes 10,877,603 11,807,523 12,517,589 13,388,778 19,887,440 Utility users tax 4,736,649 5,225,838 5,776,593 6,748,187 6,308,756 Sales taxes 10,107,253 12,886,776 14,171,446 13,528,574 17,433,441 Franchise taxes 702,844 652,305 827,532 881,816 2,684,139 Business license taxes 800,001 764,016 808,295 763,394 1,109,123 Other taxes 201,617 410,021 178,425 862,142 4,818,393 Investment earnings 6,076,939 (11,930) (502,623) 961,083 2,955,977
Miscellaneous 127,625 823,915 414,260 1,254,778 772,669 Transfers 2,686,249 1,291,583 1,002,089 1,000,000 1,000,000 Gain/Loss of Capital Assets - - - - - Total governmental activities 36,316,780 33,850,047 35,193,606 39,388,752 56,969,938 Business-type activities
Investment earnings 418,348 84,477 (132,905) 339,972 743,502 Transfers (2,686,249) (1,291,583) (1,002,089) (1,000,000) (1,000,000) Total business-type activities (2,267,901) (1,207,106) (1,134,994) (660,028) (256,498) Total primary government 34,048,879 32,642,941 34,058,612 38,728,724 56,713,440 Change in Net Position
Governmental activities 6,339,166 18,685,608 26,998,265 33,989,761 8,223,456 Business-type activities (317,497) 667,696 (1,581,998) 1,382,240 (743,417) Total primary government $ 6,021,669 $ 19,353,304 $ 25,416,267 $ 35,372,001 $ 7,480,039 Fiscal Year
275
City of Lynwood
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
170
2015 2016 2017 2018 2019
General Fund
Nonspendable $ - $ - $ - $ - $ - Restricted - 7,329 7,329 7,330 7,330 Committed - - 75,372 561,594 1,621,084 Assigned - - - - - Unassigned 4,543,523 2,453,365 2,487,070 4,310,549 5,434,903 Total general fund $ 4,543,523 $ 2,460,694 $ 2,569,771 $ 4,879,473 $ 7,063,317 All Other Governmental Funds
Nonspendable $ 1,348,324 $ - $ - $ - $ - Restricted
Special revenue funds 18,265,929 23,114,443 24,860,823 22,942,043 44,272,808 Capital projects funds 8,943,098 6,542,492 12,468,984 8,309,100 20,544,814 Debt service funds 1,549,981 1,550,245 797,673 782,292 783,176 Committed
Special revenue funds - - 171,763 465,420 644,509 Unassigned (1,890,094) (4,125,951) (1,145,932) (1,528,581) (2,818,704) Total all other governmental funds $ 28,217,238 $ 27,081,229 $ 37,153,311 $ 30,970,274 $ 63,426,603 Fiscal Year
276
City of Lynwood
Fund Balances of Governmental Funds (Continued)
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
171
2020 2021 2022 2023 2024
General Fund
Nonspendable $ - $ - $ 16,927 $ 8,507 $ - Restricted 7,331 7,331 1,007,345 1,007,396 1,007,421 Committed 3,159,083 4,828,977 4,042,373 8,780,272 10,379,444 Assigned - - 27,470,431 36,746,599 28,055,210 Unassigned 2,362,692 5,867,465 208,510 1,938,645 9,781,462 Total general fund $ 5,529,106 $ 10,703,773 $ 32,745,586 $ 48,481,419 $ 49,223,537 All Other Governmental Funds
Nonspendable $ - $ - $ - $ - $ - Restricted
Special revenue funds 44,583,058 46,922,580 51,499,350 53,172,113 53,376,890 Capital projects funds 27,583,834 10,069,569 31,726,565 28,848,306 26,521,133 Debt service funds 3,472,680 28,689,358 3,805,664 3,760,417 - Committed
Special revenue funds 745,952 791,529 791,529 778,668 767,318 Unassigned (4,248,195) (3,797,255) (6,258,156) (11,808,772) (9,379,216) Total all other governmental funds $ 72,137,329 $ 82,675,781 $ 81,564,952 $ 74,750,732 $ 71,286,125 Fiscal Year
277
City of Lynwood
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
172
2015 2016 2017 2018 2019
Revenues
Taxes $ 28,099,418 $ 28,377,635 $ 31,564,356 $ 36,076,064 $ 40,508,130 Licenses and permits 1,535,755 1,469,275 1,079,321 1,338,372 1,272,593 Fines, forfeitures and penalties 1,431,070 1,524,942 1,601,620 1,751,217 2,344,777 Use of money and property 365,674 501,983 388,607 852,453 4,527,076 Intergovernmental 5,686,120 6,639,118 9,486,512 5,967,357 5,527,762 Charges for services 4,100,874 4,073,836 5,169,273 3,566,354 3,108,190 Administrative support 1,118,246 1,118,246 1,118,246 1,118,246 1,118,246 Miscellaneous 730,781 1,210,870 1,370,324 2,173,308 1,528,942 Total revenues 43,067,938 44,915,905 51,778,259 52,843,371 59,935,716 Expenditures
General government 5,660,357 8,334,494 5,032,778 6,260,252 5,430,688 Public safety 17,026,598 18,018,139 16,500,838 17,615,500 18,568,913 Public works 8,830,245 9,145,919 11,294,021 12,058,593 13,932,186 Community development 1,981,750 1,522,374 800,318 1,004,115 1,650,759 Parks and recreation 2,939,850 2,865,986 2,935,450 3,377,729 3,702,665 Pass Through To Other Agencies 2,471,492 - - - - Capital outlay - 6,723,796 11,423,972 15,735,275 12,782,838 Debt service
Principal retirement 1,175,937 808,556
2,392,349 873,452 1,738,123
Interest and fiscal charges 4,864,154 870,719 929,521 1,008,324 4,082,308 Total expenditures 44,950,383 48,289,983 51,309,247 57,933,240 61,888,480 Excess (deficiency) of revenues over
(under) expenditures (1,882,445) (3,374,078) 469,012 (5,089,869) (1,952,764) Other Financing Sources (Uses)
Long-term debt issuance - - 7,685,000 2,740,000 35,869,165 Proceed from Sale of assets - - - - - Payments to escrow agent - - - - - Transfers in 7,983,212 11,425,797 24,701,464 17,007,561 21,172,376 Transfers out (9,454,502) (12,969,962) (23,437,287) (18,531,027) (20,448,604) Total other financing sources (uses) (1,471,290) (1,544,165) 8,949,177 1,216,534 36,592,937 Special Item - (2,082,845) - - - Net change in fund balances $ (3,353,735) $ (7,001,088) $ 9,418,189 $ (3,873,335) $ 34,640,173 Debt service as a percentage of
noncapital expenditures 16.58% 3.48% 6.47% 3.25% 9.40%
Ratio updated in 2023: Total debt service expenditures/total non-capital expenditures Ratio updated in 2022: Total debt service expenditures/total non-capital expenditures Source: City of Lynwood Finance Department
Fiscal Year
278
City of Lynwood
Changes in Fund Balances of Governmental Funds (Continued) Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
173
2020 2021 2022 2023 2024
Revenues
Taxes $ 38,081,145 $ 44,622,651 $ 49,747,646 $ 51,334,238 $ 51,165,892 Licenses and permits 1,167,280 1,209,119 1,162,388 1,134,814 1,109,123 Fines, forfeitures and penalties 1,654,693 2,323,943 1,705,168 1,662,586 1,592,072 Use of money and property 6,265,801 3,713,015 (223,667) 1,203,620 2,943,758 Intergovernmental 4,752,470 6,935,540 20,956,327 20,859,995 14,851,228 Charges for services 2,649,720 2,457,713 2,170,846 2,547,862 2,577,688 Administrative support 1,118,674 1,118,674 - - - Other revenues 775,541 3,699,452 866,855 2,851,743 1,478,673 Total revenues 56,465,324 66,080,107 76,385,563 81,594,858 75,718,434 Expenditures
General government 6,205,664 5,142,568 10,556,992 5,260,193 6,127,493 Public safety 19,530,520 19,893,853 14,760,406 21,027,948 21,803,876 Public works 14,517,228 12,857,473 12,248,572 14,398,961 14,767,493 Community development 1,375,810 2,738,040 6,151,238 7,929,385 11,090,359 Parks and recreation 3,669,669 2,697,177 3,452,092 4,074,616 4,979,174 Pass Through To Other Agencies - - - - - Capital outlay 13,360,578 14,268,601 6,422,198 13,822,670 13,416,120 Debt service
Principal retirement 2,276,366 2,847,918
2,651,204 3,129,674 3,565,024
Interest and fiscal charges 3,492,742 2,597,307 2,816,438 2,738,589 2,676,492 Total expenditures 64,428,577 63,042,937 59,059,140 72,382,036 78,426,031 Excess (deficiency) of revenues over
(under) expenditures (7,963,253) 3,037,170 17,326,423 9,212,822 (2,707,597) Other Financing Sources (Uses)
Long-term debt issuance 22,420,000 14,278,064 811,623 126,791 123,071 Proceed from Sale of assets - - 2,000,000 - - Payments to escrow agent (8,985,000) - - - - Transfers in 27,873,462 19,280,867 13,617,673 18,327,141 20,364,819 Transfers out (26,168,694) (20,882,982) (14,320,116) (18,745,141) (20,572,456) Total other financing sources (uses) 15,139,768 12,675,949 2,109,180 (291,209) (84,566) Special Item - - - - - Net change in fund balances $ 7,176,515 $ 15,713,119 $ 19,435,603 $ 8,921,613 $ (2,792,163) Debt service as a percentage of
noncapital expenditures 5.42% 11.16% 10.39% 10.02% 9.60% Ratio updated in 2023: Total debt service expenditures/total non-capital expenditures Ratio updated in 2022: Total debt service expenditures/total non-capital expenditures Source: City of Lynwood Finance Department
Fiscal Year
279
City of Lynwood
Tax Revenues by Source of Governmental Funds
Last Ten Fiscal Years
174
Fiscal
Year Property Sales Taxes
Utility
Users
Tax Franchise
Property
Transfer Other Total
2015 $ 13,782,140 $ 7,107,526 $ 5,381,381 $ 1,533,036 $ - $ 236,343 $ 28,040,426 2016 15,112,877 7,302,546 5,155,837 647,850 88,564 69,961 28,377,635 2017 15,547,317 8,010,746 5,169,598 577,959 112,071 73,743 29,491,434 2018 15,789,300 13,250,201 5,196,640 1,652,610 102,646 73,369 36,064,766 2019 10,600,246 10,236,088 5,014,483 673,766 83,463 1,088,904 27,696,950 2020 10,877,603 10,107,253 4,736,649 702,844 79,740 921,878 27,425,967 2021 11,807,523 12,886,776 5,225,838 652,305 280,325 893,712 31,746,479 2022 12,517,589 14,171,446 5,776,593 827,532 35,070 951,650 34,279,880 2023 13,388,778 13,528,574 6,748,187 881,816 311,774 1,313,762 36,172,891 2024 19,887,440 17,433,441 6,308,756 2,684,139 181,191 5,746,325 52,241,292 280
City of Lynwood
Assessed Value
Last Ten Fiscal Years
175
2015 2016 2017 2018 2019
Residential $ 2,033,412,985 $ 2,145,047,282 $ 2,239,221,012 $ 2,356,724,122 $ 2,487,200,043 Industrial 250,856,840 255,981,922 277,993,737 293,269,290 340,299,975 Commercial 344,128,361 361,390,369 375,592,007 390,379,249 408,867,578 Institutional 320,358,478 314,952,588 312,544,660 320,582,799 322,122,208 Unclassified 16,401,813 15,805,005 16,047,269 16,368,200 16,605,633 Vacant Land 27,187,345 27,197,344 27,456,753 27,774,822 35,903,273 Recreational 317,330 323,668 3,818,892 3,027,613 3,088,162 Possessory Interest 4,691,661 4,945,767 5,252,407 5,679,542 6,076,410 Miscellaneous 135,273 137,451 139,146 141,403 143,705
Government - - - - 10,000 Professional - - - - - Unitary 182 177 159 153 -
Unsecured 90,075,523 91,745,901 87,670,655 86,493,766 126,040,208 Tax Exempt (332,003,002) (323,106,195) (326,060,603) (329,295,700) (259,977,346) Totals $ 2,755,562,789 $ 2,894,421,279 $ 3,019,676,094 $ 3,171,145,259 $ 3,486,379,849 Fiscal Year
281
City of Lynwood
Assessed Value (Continued)
Last Ten Fiscal Years
176
2020 2021 2022 2023 2024
Residential $ 2,616,032,409 $ 2,756,128,280 $ 2,856,541,413 $ 2,983,575,418 $ 3,146,644,075 Industrial 362, 333,739 405,179,415 427,613,280 422,619,308 493,219,382 Commercial 433,151,308 448,093,195 492,603,904 496,630,467 517,501,517 Institutional 327,244,068 334,148,725 257,239,406 266,731,493 265,819,140 Unclassified 16,937,734 17,361,945 18,037,265 11,174,762 28,500,003 Vacant Land 29,676,398 29,195,281 425,761 56,619,085 1,101,453 Recreational 3,149,923 3,212,919 4,097,904 4,179,858 4,263,452 Possessory Interest 6,541,914 6,990,393 7,578,983 7,798,075 10,626,111 Miscellaneous 146,053 148,448 149,712 152,181 154,699 Government - - - - - Professional - - - 7,355,708 - Unitary - - - - - Unsecured 132,236,535 98,823,624 103,348,091 115,754,898 118,768,899 Tax Exempt (347,064,777) (266,968,959) (80,303,653) (78,271,441) (73,614,906) Totals $ 3,580,385,304 $ 3,832,313,266 $ 4,087,332,066 $ 4,294,319,812 $ 4,512,983,825 Fiscal Year
282
City of Lynwood
Direct and Overlapping Property Tax Rates
Last Ten Fiscal Years
(Rate per $1,000 of Assessed Value)
177
Agency 2015 2016 2017 2018 2019
Basic Levy 1.000000 1.000000 1.000000 1.000000 1.000000 Compton Community College District 0.023799 0.057774 0.057892 0.068796 0.091284 Compton Unified School District 0.000000 0.000000 0.000000 0.000000 0.000000 County Detention Facilities 1987 Debt 0.000000 0.000000 0.000000 0.000000 0.000000 LA Community College District 0.000000 0.000000 0.000000 0.000000 0.000000 LA County Flood Control 0.000000 0.000000 0.000000 0.000000 0.000000 Los Angeles Unified School District 0.000000 0.000000 0.000000 0.000000 0.000000 Lynwood Unified 0.084892 0.297915 0.360094 0.434629 0.358944 Metropolitan Water District 0.003500 0.003500 0.003500 0.003500 0.003500 Tax District 0.125000 0.125000 0.125000 0.125000 0.125000 Total Direct & Overlapping Tax Rates 1.237191 1.484189 1.546486 1.631925 1.578728 City's Share of 1% Levy Per Prop 13 0.113014 0.113014 0.113014 0.113014 0.113014 Source: Los Angeles County Auditor/Controller, Avenu Insights & Analytics For purposes of this report, TRA 6-089, 1-407, and 3-228 are represented.
Total Direct and Overlapping Tax Rates include all rates which occur within the city. Not all tax rates occur within each TRA.
Fiscal Year
283
City of Lynwood
Direct and Overlapping Property Tax Rates (Continued)
Last Ten Fiscal Years
(Rate per $1,000 of Assessed Value)
178
Agency 2020 2021 2022 2023 2024
Basic Levy 1.000000 1.000000 1.000000 1.000000 1.000000 Compton Community College District 0.074043 0.066207 0.071841 0.052426 0.109919 Compton Unified School District 0.000000 0.000000 0.000000 0.080267 0.129522 County Detention Facilities 1987 Debt 0.000000 0.000000 0.000000 0.000000 0.000000 LA Community College District 0.000000 0.000000 0.000000 0.000000 0.000000 LA County Flood Control 0.000000 0.000000 0.000000 0.000000 0.000000 Los Angeles Unified School District 0.000000 0.000000 0.000000 0.121072 0.124219 Lynwood Unified 0.425567 0.346217 0.375149 0.155131 0.158104 Metropolitan Water District 0.003500 0.003500 0.003500 0.003500 0.003500 Tax District 0.125000 0.125000 0.125000 0.125000 0.125000 Total Direct & Overlapping Tax Rates 1.628110 1.540924 1.575490 1.537396 1.650264 City's Share of 1% Levy Per Prop 13 0.113014 0.113014 0.113014 0.113014 0.113014 Source: Los Angeles County Auditor/Controller, Avenu Insights & Analytics For purposes of this report, TRA 6-089, 1-407, and 3-228 are represented.
Total Direct and Overlapping Tax Rates include all rates which occur within the city. Not all tax rates occur within each TRA.
Fiscal Year
284
City of Lynwood
Principal Property Taxpayers
Current Year and Nine Years Ago
179
Taxpayer
Taxable
Value ($) Rank
% of Net
Assessed
Value
Taxable
Value ($) Rank
% of Net
Assessed
Value
MPT Of Lynwood LP $ 208,080,000 1 4.61% $
Duke Realty Ltd Partnership 86,848,765 2 1.92% 39,058,925 1.42% Terreno Lynwood LLC 67,509,054 3 1.50%
Svap III Plaza Mexico 50,168,963 4 1.11%
Rexford Industrial Industry Way 25, 413,977 5 0.56% Centerpoint Properties Trust 23,868,000 6 0.53% Prime Desert Properties LLC 22,481,045 7 0.50% Earl M Jorgensen Co 21,518,043 8 0.48% 23,390,517 0.85% Jones Lumber 18,842,701 9 0.42% 15,236,795.00 0.55% EK Lynwood LLC 17,312,851 10 0.38%
Albi Lynwood Investments LLC 16,323,262 0.36% 17,875,134 0.65% 805 Property LLC 15,414,721 0.34% 12,172,284 0.44% St Francis Medical Center 13,214,366 0.29% 7,436,017.00 0.27% Primrose19 LP 12,705,198 0.28%
Airgas 12,544,375 0.28%
Shapco Partnership 12,343,797 0.27% 10,467,601 0.38% Lynwood MFT LLC 11,686,435 0.26%
Lee Riviera Enterprises LLC 11,332,754 0.25%
11861 11865 S Alameda St LLC 11,220,000 0.25%
Mendez Family Ltd. 11,175,807 0.25%
PL Dev 10,175,637 0.23%
710 Investment Group LLC 10,047,000 0.22%
Jorgensen Earle M Co 9,174,208 0.20%
Trinh Tony Co 8,988,840 0.20%
Nova Storage Lynwood LP 8,652,134 0.19%
Plamex Investment LLC 0.00% 43,614,188 1.58%
Prime Healthcare Services 0.00%
Economic Resources Corp 0.00% 12,223,149 0.44%
El Segundo Boulevard Property 0.00%
Villas LLC 0.00%
Sunshine Capital Group LLC 0.00% 0.00%
Suncor Lynwood LLC 6,000,000 0.22%
Lynwood Alameda Corp 20,903,699 0.76%
NHP PMB St Francis Lynwood 17,367,490 0.63%
Aaron Industries Inc. 16,381,219 0.59%
VK Atlantic Avenue 15,750,000 0.57%
Southern California Airgas 15,637,235 0.57%
Parr Susan 11,472,489 0.42%
Urban LLC 10,783,012 0.39%
Mahboubian Sohail 9,918,391
0.36%
Sunshine Capital Group LLC 6,822,535 0.25%
Layne Larry 7,333,142 0.27%
PCCR Usa Inc. 7,036,475 0.26%
Melcar Investments LP 6,353,912 0.23%
Labarbera Dev L P 6,664,993 0.24%
SA Recycling LLC 5,889,673 0.21%
Demeire Kurt S Sandra L 6,681,535 0.24%
Top Ten Totals $ 717,041,933 15.89% $ 352,470,410 12.79% Total Taxable Value $ 4,512,983,825 100.00% $ 2,755,562,789 100.00% Source: Los Angeles County Assessor data, Avenu Insights & Analytics 2023-24 2014-2015
285
City of Lynwood
Property Tax Levies and Collections
Last Ten Fiscal Years
180
Taxes Levied
Collected within the
Fiscal Year of the Levy
Fiscal Year
Ended June
for the
Fiscal Year Am ount
Percentage
of Levy Amount
Percentage
of Levy
2015 $ 2,304,907.91 $ 2,305,732.00 100.04% - $ 2,305,732.00 100.04% 2016 2,446,457.38 2,426,729.86 99.19% - 2,426,730.00 99.19% 2017 2,522,251.62 2,505,333.39 99.33% - 2,505,333.39 99.33% 2018 2,668,368.56 2,657,528.51 99.59% - 2,657,528.51 99.59% 2019 2,925,363.57 2,897,116.44 99.03% - 2,897,116.44 99.03% 2020 2,941,641.80 2,858,882.44 97.19% - 2,858,882.44 97.19% 2021 3,194,430.10 3,148,490.28 98.56% - 3,148,490.28 98.56% 2022 3,400,237.41 3,357,875.46 98.75% - 3,357,875.46 98.75% 2023 3,604,286.41 3,563,404.68 98.87% - 3,563,404.68 98.87% 2024 3,665,325.05 3,618,359.21 98.72% - 3,618,359.21 98.72% Source: County Assessor Data and City General Ledger, Avenu Insights & Analytics *Includes 1% secured apportionment only
(-) Data Unavailable
(1) Years with over 100% of levy are due to prior year collections Collections in
Subsequent
Years
Total Collections to Date
286
City of Lynwood
Taxable Sales by Category
(In Thousands of Dollars)
Last Ten Fiscal Years
181
Category Name 2015 2016 2017 2018 2019
Accommodation and Food Services $ 706,049 $ 775,143 $ 805,897 $ 882,181 $ 920,931 Agriculture, Forestry, Fishing and Hunting (1,553) (1,134) (5,939) (1,493) (713) Arts, Entertainment, and Recreation 20 19 66 58 28 Construction 28,371 29,148 38,402 39,866 49,469 Educational Services 2,984 4,496 5,134 7,297 6,095 Information 4,002 5,791 5,498 6,476 6,261 Manufacturing 121,128 130,441 158,595 133,110 136,082 Mining, Quarrying, and Oil and Gas Extraction 115,425 127,080 120,270 117,338 117,231 Other Services (except Public Administration) 39,781 45,251 56,703 72,363 51,659 Professional, Scientific, and Technical Services 17,297 17,244 15,306 17,955 17,505 Real Estate and Rental and Leasing 1,489 2,131 4,707 3,817 3,211 Retail Trade 2,101,848 2,134,665 2,065,858 2,236,612 2,391,267 Utilities 8,010 8,935 9,895 11,924 21,474 All Other Sectors 126,877 135,596 136,177 143,943 146,136 Grand Total $ 3,271,728 $ 3,414,805 $ 3,416,571 $ 3,671,446 $ 3,866,636 Source: Avenu Insights & Analytics
Fiscal Year
The data contained in this report is economic and therefore constantly changing as adjustments, fund transfers, late filings and audits are recorded. The categories listed in previous reports were based on SBOE NAICS codes and have been updated to reflect current updated CDTFA standards.
287
City of Lynwood
Taxable Sales by Category (Continued)
(In Thousands of Dollars)
Last Ten Fiscal Years
182
Category Name 2020 2021 2022 2023 2024
Accommodation and Food Services $ 937,880 $ 888,880 $ 1,049,706 $ 1,112,546 $ 1,130,677 Agriculture, Forestry, Fishing and Hunting 866 (11,823) (1,609) 8,184 11,849 Arts, Entertainment, and Recreation 192 - - - - Construction 214,902 184,008 201,724 245,131 289,193 Educational Services 7,006 4,583 6,053 4,046 3,665 Information 6,644 6,268 7,142 3,861 2,908 Manufacturing 110,545 235,836 215,531 120,629 89,050 Mining, Quarrying, and Oil and Gas Extraction 97,609 106,208 117,605 121,064 129,030 Other Services (except Public Administration) 46,286 52,768 61,415 48,943 45,011 Professional, Scientific, and Technical Services 15,614 19,699 22,554 24,907 25,789 Real Estate and Rental and Leasing 2,360 6,194 2,732 4,352 11,233 Retail Trade 2,410,540 2,603,528 3,361,883 3,305,402 2,873,492 Utilities 13,739 13,843 20,153 13,195 13,857 All Other Sectors 152,196 164,913 162,745 151,917 255,851 Grand Total $ 4,016,379 $ 4,274,905 $ 5,227,635 $ 5,164,178 $ 4,881,606 Source: Avenu Insights & Analytics
Fiscal Year
The data contained in this report is economic and therefore constantly changing as adjustments, fund transfers, late filings and audits are recorded. The categories listed in previous reports were based on SBOE NAICS codes and have been updated to reflect current updated CDTFA standards.
288
City of Lynwood
Direct and Overlapping Sales Tax Rates
Last Ten Fiscal Years
183
Fiscal Year City DirectRate Los AngelesCounty
2015 1% 1%
2016 1% 1%
2017 2% 1%
2018 2% 1%
2019 2% 1%
2020 2% 1%
2021 2% 1%
2022 2% 1%
2023 2% 1%
2024 2% 1%
Additional Add on sales Tax(1%) effective on Nov 2016 for 10 years. 289
City of Lynwood
Principal Sales Tax Remitters
Current Year and Nine Years Ago
184
Tax Remitter Business Category Tax Remitter Business Category 7-Eleven Food Stores Food Markets 7-Eleven Food Stores Food Markets Arco AM/PM Mini Marts Service Stations 99 Cents Only Stores Department Stores Autozone Auto Parts/Repair Airgas USA Chemical Products Becc - MMD Drug Stores Arco AM/PM Mini Marts Service Stations Chevron Service Stations Service Stations Autozone Auto Parts/Repair Curacao Department Stores Chevron Service Stations Service Stations El Super Food Markets Curacao Department Stores
Elite Roofing Supply Bldg.Matls-Whsle CVS/Pharmacy Drug Stores Food 4 Less Food Markets El Super Food Markets
Harbor Freight Tools Bldg.Matls-Retail Factory 2-U Apparel Stores Jack In The Box Restaurants Restaurants Food 4 Less Food Markets Jones Lumber Company Bldg.Matls-Retail Jack In The Box Restaurants Restaurants King Taco Restaurant Restaurants Jones Lumber Company Bldg.Matls-Retail McDonald's Restaurants Restaurants King Taco Restaurant Restaurants Shell Service Stations Service Stations McDonald's Restaurants Restaurants Smart & Final Food Markets Rite Aid Drug Stores Drug Stores Stop & Save Gas & Market Service Stations Shell Service Stations Service Stations Superior Grocers Food Markets Smart & Final Food Markets Tacos El Gavilan Restaurants Sun's Market Gas & Diesel Service Stations Tam's Burgers Restaurants Superior Grocers Food Markets The Kickin Crab Restaurants TJ's Metal Manufacturing Heavy Industry TJ's Metal Manufacturing Heavy Industry T-Mobile Miscellaneous Retail Union 76 Service Stations Service Stations Union 76 Service Stations Service Stations United Oil Service Stations Service Stations United Oil Service Stations Service Stations Warehouse Shoe Sale WSS Apparel Stores Walgreen's Drug Stores Drug Stores Source: Avenu Insights & Analytics
2023-24 2014-15
290
City of Lynwood
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
185
FiscalYear
Tax
Allocation
Bonds
HUD Loan
Payable
Loans
Payable
Revenue
Bonds
Subscription
Payable
Lease
Payable
2015 $ - $ - $ 83,068 $ 18,076,142 $ $ 2016 - - 42,349 17,254,752 2017 - - - 22,598,362 2018 - - - 24,473,520 2019 - - - 56,277,196 2020 - - - 67,287,680 2021 - - 778,064 78,086,901 2022 - - 1,530,186 75,476,606 410,681 2023 - - 1,691,775 72,772,365 50,403 41,237 2024 - - 1,595,843 69,397,739 119,030 531,576 Governmental Activities
* Due to the dissolution of the Lynwood Redevelopment Agency in 2012, all of the LRA's debt has been moved to the Successor Agency Private Purpose Trust Fund(Fiduciary Fund). 291
City of Lynwood
Ratios of Outstanding Debt by Type (Continued)
Last Ten Fiscal Years
186
FiscalYear
Water
Revenue
Bonds
Lease
Payable
Total
Primary
Government
Percentage
of Personal
Income
Debt Per
Capita
2015 $ 19,143,815 $ $ 37,303,025 8.11% 1,012
2016 18,645,667 35,944,784 3.88% 496
2017 18,122,519 40,720,881 4.22% 562
2018 27,941,177 52,414,697 1.84% 728
2019 27,472,694 83,749,890 1.28% 1,174
2020 46,816,205 67,287,680 1.66% 1,603
2021 46,323,385 125,190,371 0.94% 1,791.51
2022 45,370,565 122,790,060 1.05% 1,840.30
2023 44,387,745 2,891 118,948,439 1.26% 1,796.04 2024 43,374,925 1,560 115,022,697 1.46% 1,735.64 Business-type Activities
* Due to the dissolution of the Lynwood Redevelopment Agency in 2012, all of the LRA's debt has been moved to the Successor Agency Private Purpose Trust Fund(Fiduciary Fund). 292
City of Lynwood
Direct and Overlapping Governmental Activities Debt
As of June 30, 2024
187
Total Debt City’s Share of Debt
OVERLAPPING TAX AND ASSESSMENT DEBT: June 30, 2024 % Applicable (1) June 30, 2024 Metropolitan Water District $ 18,210,000 0.117% $ 21,306 Compton Community College District 151,206,912 15.698% 23,736,461 Los Angeles Community College District 5,155,845,000 0.005% 257,792 Compton Unified School District 221,194,505 0.763% 1,687,714 Los Angeles Unified School District 10,723,385,000 0.007% 750,637 Lynwood Unified School District 140,243,227 98.227% 137,756,715 Total gross overlapping tax and assessment debt $ 164,210,625 Less: Los Angeles Unified School District General Obligation Bonds, Election of 2005, Series J & H Qualified School
Construction Bonds: Amount accumulated in Interest
and Sinking Fund and Set Aside for Repayment 20,963
Total net overlapping tax and assessment debt $ 164,189,662 DIRECT AND OVERLAPPING GENERAL FUND DEBT:
Los Angeles County General Fund Obligations $ 2,479,229,730 0.226% $ 5,603,059 Los Angeles County Superintendent of Schools Certificates of Participation 2,857,300 0.226% 6,457
Compton Unified School District Certificates of Participation 21,965,000 0.763% 167,593 Los Angeles Unified School District Certificates of Participation 471,590,000 0.007% 33,011 Lynwood Unified School District Certificates of Participation 14,625,000 98.227% 14,365,699 City of Lynwood General Fund Obligations 71, 644,188 100% 71,644,188 Total direct and overlapping general fund debt $ 91,820,007
OVERLAPPING TAX INCREMENT DEBT (Successor Agency): $ 20,460,000 100% $ 20,460,000 Total direct debt $ 71,644,188
Total gross overlapping debt $ 204,846,444
Total net overlapping debt $ 204,825,481
Gross combined total debt $ 276,490,632 (2)
Net combined total debt $ $276,469,669
Ratios to 2023-24 Assessed Valuation:
Total gross overlapping tax and assessment debt 3.62%
Total net overlapping tax and assessment debt 3.62%
Total direct debt ($71,644,188) 1.58%
Gross combined total debt 5.37%
Net combined total debt 5.37%
Ratios to Redevelopment Successor Agency Incremental Valuation ($1,367,714,170):
Total overlapping tax increment debt 1.50%
Source: Avenu Insights & Analytics California Municipal Statistics, Inc.
(1) The percentage of overlapping debt applicable to the city is estimated using taxable assessed property value. Applicable percentages were estimated by determining the portion of the overlapping district's assessed value that is within the boundaries of the city divided by the district's total taxable assessed value. (2) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations. 293
City of Lynwood
Legal Debt Margin Information
Last Ten Fiscal Years
188
2015 2016 2017 2018 2019
Taxable Assessed Valuation $ 2,755,562,789 $ 2,894,421,279 $ 3,019,676,094 $ 3,171,145,259 $ 3,486,379,849 Conversion percentage 25% 25% 25% 25% 25%
Adjusted assessed valuation $ 688,890,697 $ 723,605,320 $ 754,919,024 $ 792,786,315 $ 871,594,962 Debt limit percentage 15% 15% 15% 15% 15%
Debt limit $ 103,333,605 $ 108,540,798 $ 113,237,854 $ 118,917,947 $ 130,739,244 Total net debt applicable to the limit:
General obligation bonds - - - - - Legal debt margin $ 103,333,605 $ 108,540,798 $ 113,237,854 $ 118,917,947 $ 130,739,244 Fiscal Year
294
City of Lynwood
Legal Debt Margin Information (Continued)
Last Ten Fiscal Years
189
2020 2021 2022 2023 2024
Taxable Assessed Valuation $ 3,580,385,304 $ 3,832,313,266 $ 4,087,332,066 $ 4,294,319,812 $ 4,512,983,825 Conversion percentage 25% 25% 25% 25% 25%
Adjusted assessed valuation $ 895,096,326 $ 958,078,317 $ 1,021,833,017 $ 1,073,579,953 $ 1,128,245,956 Debt limit percentage 15% 15% 15% 15% 15%
Debt limit $ 134,264,449 $ 143,711,747 $ 153,274,952 $ 161,036,993 $ 169,236,893 Total net debt applicable to the limit:
General obligation bonds - - - - - Legal debt margin $ 134,264,449 $ 143,711,747 $ 153,274,952 $ 161,036,993 $ 169,236,893 Fiscal Year
295
City of Lynwood
Pledge-Revenue Coverage
Last Ten Fiscal Years
190
Water Revenue Bonds
Debt Service
Fiscal
Year
Utility
Service
Charges
Less:
Operating
Expenses
Net
Available
Revenue Principal Interest
2015 $ 10,298,091 $ 8,843,081 $ 1,455,010 $ 505,000 $ 902,233 2016 8,429,925 8,508,146 (78,221) 505,000 902,233 2017 9,788,763 7,380,986 2,407,777 530,000 879,999 2018 11,994,596 7,330,103 4,664,493 13,780,000 1,339,416 2019 12,907,193 7,763,221 5,143,972 475,000 934,508 2020 13,841,865 8,963,264 4,878,601 495,000 919,757 2021 14,936,511 9,482,731 5,453,780 505,000 903,523 2022 15,038,510 13,316,117 1,722,393 965,000 1,621,611 2023 14,171,434 10,497,997 3,673,437 1,025,000 1,603,099 2024 14,437,523 13,223,770 1,213,753 1,055,000 1,558,344 * Due to the dissolution of the Lynwood Redevelopment Agency in 2012, all of the LRA's debt has been moved to the Successor Agency Private Purpose Trust Fund(Fiduciary Fund). 296
City of Lynwood
Pledge-Revenue Coverage (Continued)
Last Ten Fiscal Years
191
Public Finance Authority
Revenue Bonds Tax Allocation Bonds Other Debt
Principal Interest Principal Interest Principal Interest $ 830,000 $ 805,656 $ - $ - $ 40,179 $ 2,891 650,000 124,250 - - 40,718 2,891 685,000 561,475 - - 40,719 - 678,452 713,666 - - - - 3,877,308 909,921 - - - 69,870 9,401,366 1,119,759 - - 1,860,000 753,043 862,307 1,664,728 - - 1,735,000 874,309 690,994 1,769,908 - - 1,855,000 755,561 1,458,854 1,980,141 - - 2,025,932 746,561 1,495,821 1,952,944 - - 2,127,208 727,200 * Due to the dissolution of the Lynwood Redevelopment Agency in 2012, all of the LRA's debt has been moved to the Successor Agency Private Purpose Trust Fund(Fiduciary Fund).
Debt Service
297
City of Lynwood
Demographic and Economic Statistics
Last Ten Calendar Years
192
Calendar
Year Population (1)
Personal
Income
(thousands
of dollars)
Per
Capita
Personal
Income (2)
Public
School
Enrollment (3)
City
Unemployment
Rate (4)
2015 71,381 $ 891,135 $ 12,484 14,776 8.7% 2016 72,505 927,182 12,787 14,830 8.3% 2017 71,997 964,934 13,402 14,497 6.5% 2018 72,015 1,026,549 14,255 14,211 4.7% 2019 71,343 1,072,686 15,036 13,802 4.4% 2020 71,269 1,114,531 15,638 13,245 21.9% 2021 69,880 1,179,542 16,880 12,791 14.4% 2022 66,723 1,293,674 19,389 12,219 5.0% 2023 66,228 1,497,746 22,615 11,967 5.6% 2024 66,271 1,676,722 25,301 11,386 5.4% Source: MuniServices
(3) Student Enrollment reflects the total number of students enrolled in the Lynwood Unified School District. An y other school districts within the City are not accounted for in the statistic. (1) Population projections are provided by the California Department of Finance Projections. (2) Income Data is provided by the Census Bureau, 2010 American Community Survey. (4) Unemployment Data is provided by the EDD's Bureau of Labor Statistics Department 298
City of Lynwood
Principal Employers
Current and Nine Years Ago
193
Employer Employees Employees
St. Francis Medical Center 1,878 6.83% 1,716 5.92%
Lynwood Unified School District* 1,625 5.91% 1,614 5.57% California Post-Acute Care
(formerly Marlinda Nursing Home) 248 0.90% 128 0.44%
LA County Sheriff Department 244 0.89% 300 1.03%
PL Development (formerly Aaron Industries Inc.) 189 0.69% 260 0.90% Granada Post Acute 151 0.55%
City of Lynwood 150 0.55% 194 0.67%
Lynwood Post Acute Care Center 129 0.47%
Superior Warehouse Grocers Inc. 123 0.45% 139 0.48%
El Super Grocery Store 107 0.39%
El Super Grocery Store 104 0.36%
Country Villa Lynwood Health Center 109 0.38%
Earle M. Jorgensen Company 106 0.37%
Total Top 10 Employers 4,844 17.61% 4,670 16.12%
.
Source: Avenu Insights & Analytics
Source: 2014 prior published ACFR
Results based on direct correspondence with city's local businesses. *Includes classified, certificated and admin
(1) Total City Labor Force provided by EDD Labor Force Data. 27,500 Percent of
Total
Employment
(%)
Percent of
Total
Employment
(%)
2023-24 2014-15
299
City of Lynwood
Full-Time Equivalent City Government Employees by Function/Program Last Ten Fiscal Years
194
Function/Program 2015 2016 2017 2018 2019
General Government
City Council 2.5 2.5 2.5 2.5 2.5 City Clerk 4.0 4.0 3.5 2.5 3.5 City Treasurer 1.5 1.5 1.5 1.5 1.5 City Manager 4.0 4.0 7.0 4.5 8.0 Development Services 12.0 12.0 16.0 30.0 - Finance & Administration 15.5 15.5 14.5 17.0 15.0 Human Resources 5.0 5.0 4.0 5.0 6.0 Public Relations 13.0 13.0 13.5 - - Public Works 70.0 70.0 68.0 65.0 70.5 Parks and Recreation 52.5 52.5 49.5 57.5 61.0 Community Development 8.0 8.0 - - 30.0 Technology and media support 6.0 5.0 6.0 5.0 4.0 Fiscal Year
300
City of Lynwood
Full-Time Equivalent City Government Employees
by Function/Program (Continued)
Last Ten Fiscal Years
195
Function/Program 2020 2021 2022 2023 2024
General Government
City Council 2.5 2.5 2.5 2.5 2.5 City Clerk 1.5 2.0 2.0 1.0 2.0 City Treasurer 1.5 1.5 1.5 1.5 1.5 City Manager 6.0 5.0 6.0 6.0 6.0 Development Services - - - - - Finance & Administration 13.0 10.5 10.0 11.0 11.0 Human Resources 5.5 3.5 5.0 4.0 4.0 Public Relations - - - 1.0 2.0 Public Works 55.5 43.0 47.5 44.0 41.0 Parks and Recreation 37.5 18.0 30.1 27.1 28.2 Community Development 25.5 24.0 21.5 25.0 23.5 Technology and media support 3.0 3.0 3.0 3.0 3.0 Fiscal Year
301
City of Lynwood
Operating Indicators by Functions/Program
Last Ten Fiscal Years
196
Function / Program 2015 2016 2017 2018 2019
General government
Building permits issued 828 1,008 959 1,144 571 Building inspections conducted 3,013 2,928 3,050 2,187 1,352 Sheriff
Physical arrests 2,383 2,294 3,178 2,334 3,036 Fire
Emergency responses 5,658 5,965 5,234 5,526 6,662 Fires extinguished 132 163 158 162 118 Inspections 1,313 1,016 1,354 1,621 1,247 Refuse collection
Refuse collected (tons per day) 144 142 138 91 116 Recyclables collected (tons per da
y 49 60 62 46 16 Other public works
Potholes repaired 4,500 7,800 8,350 9,377 8,569 Water
Water main breaks 2 15 3 7 7 Average daily consumption
(thousands of gallons) 5,009 5,164 5,164 4,289 4,588 Fiscal Year
302
City of Lynwood
Operating Indicators by Functions/Program (Continued)
Last Ten Fiscal Years
197
Function / Program 2020 2021 2022 2023 2024
General government
Building permits issued 921 852 816 1,103 438 Building inspections conducted 2,124 1,701 2,440 3,145 1,555 Sheriff
Physical arrests 2,775 1,684 1,645 1,482 1,084 Fire
Emergency responses 6,360 6,360 6,452 6,618 2,673 Fires extinguished 141 141 336 548 249 Inspections 502 502 766 666 491 Refuse collection
Refuse collected (tons per day) 114 116 114 111 131 Recyclables collected (tons per day 18 23 26 28 24 Other public works
Potholes repaired 7,466 3,379 3,754 6,200 3,637 Water
Water main breaks 7 2 - 5 - Average daily consumption
(thousands of gallons) 4,561 3,591 4,515 4,096 4,344 Fiscal Year
303
City of Lynwood
Capital Asset Statistics by Function/Program
Last Ten Fiscal Years
198
Function/Program 2015 2016 2017 2018 2019
Sheriff
Stations 1 1 1 1 1 Zone offices - - - - - Patrol units 24 24 24 24 24 Fire Stations 2 2 2 2 2 Other public works
Streets (miles) 90 90 90 90 90 Streetlights 4,175 4,175 4,175 4,175 4,175 Parks and recreation
Acreage 41 41 41 41 41 Playgrounds 5 5 5 5 5 Baseball/softball diamonds 4 4 4 4 4 Soccer/football fields 3 3 3 3 3 Community Centers 4 4 4 4 4 Water
Water mains (miles) 90 90 90 90 90 Fire hydrants 1,100 1,100 1,100 1,100 1,100 Storage capacity (thousands of gallons) 3,000 3,000 3,000 3,000 3,000 Wastewater
Sanitary sewers (miles) 82 82 82 82 82 Storm sewers (miles) 2 2 2 2 2 Fiscal Year
304
City of Lynwood
Capital Asset Statistics by Function/Program (Continued) Last Ten Fiscal Years
199
Function/Program 2020 2021 2022 2023 2024
Sheriff
Stations 1 1 1 1 1 Zone offices - - - - - Patrol units 24 24 22 24 24 Fire Stations 2 2 2 2 2 Other public works
Streets (miles) 90 90 95 95 95 Streetlights 4,175 4,175 3,560 3,560 3,560 Parks and recreation
Acreage 41 46 46 46 47 Playgrounds 5 8 8 5 9 Baseball/softball diamonds 4 4 4 5 5 Soccer/football fields 3 3 3 3 3 Community Centers 4 4 4 4 5 Water
Water mains (miles) 90 90 90 90 90 Fire hydrants 1,100 1,100 1,100 1,100 1,100 Storage capacity (thousands of gallons) 3,000 3,000 3,000 3,000 3,000 Wastewater
Sanitary sewers (miles) 82 82 82 82 82 Storm sewers (miles) 2 2 2 2 2 Fiscal Year
305
AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Ahmad Ansari, Public Works and City Engineering Oversight SUBJECT:
PROJECT ACCEPTANCE OF THE APPARATUS BAY CONCRETE
FLOOR AND GATE AT LOS ANGELES COUNTY FIRE DEPARTMENT
FIRE STATION 147 CIP PROJECT NO. 4011.68.119
Agenda Item # 8.6.
Recommendation:
Staff recommends that the City Council adopt the attached resolution entitled: “A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD ACCEPTING THE
APPARATUS BAY CONCRETE FLOOR AND GATE AT LOS ANGELES COUNTY FIRE DEPARTMENT FIRE STATION 147 CIP PROJECT NO. 4011.68.119 AS COMPLETE;
AUTHORIZING THE FILING OF THE NOTICE OF COMPLETION WITH THE LOS ANGELES COUNTY RECORDER’S OFFICE AND THE RELEASE OF THE 5% RETENTION 35 DAYS AFTER THE ACCEPTANCE.”
Background:
The Los Angeles County Fire Department requested assistance from the City of Lynwood to review the existing conditions of Fire Station 147. In response, the City consulted with Infrastructure Engineers, a Bowman Company (IE) to assess the current condition of both buildings at Fire Station 147. IE provided a detailed list of necessary repairs and replacements, including the replacement of the apparatus bay concrete floor, installation of perimeter fencing and gates, and repair of the backyard pavement.
On August 21, 2022, the City received three proposals for the improvement work at Fire Station 147. Seniors and Juniors, Inc. submitted the lowest responsible bid at $183,800.00. A recommendation for awarding the contract to Seniors and Juniors, Inc. was scheduled for the February 21, 2023, City Council meeting. However, upon review of the contractor's proposal, City staff discovered that Seniors and Juniors, Inc. had not registered with the Department of Industrial Relations (DIR) prior to submitting their bid, as required by law (Labor Code, Sec. 1771.1).
City Council City Council Regular Meeting 306
As a result, on March 21, 2023, the City rejected all bids for the improvements at Fire Station 147. Staff was authorized to reevaluate the scope of work and re-advertise the project at a later date. On August 7, 2023, staff issued a request for informal proposals from multiple contractors for the Fire Station 147 apparatus bay concrete floor and gate improvements (the Project).
Discussion and Analysis:
On September 19, 2023, the City awarded the contract to the lowest responsible bidder, Dreamwork Engineering and Construction Inc., in the amount of $84,840.00. A Notice to Proceed was issued, marking the start of construction on October 23, 2023. Throughout the project, one (1) change order was issued. The final date of construction was November 17, 2023.
Scope of Work:
The work performed consisted of replacing the apparatus bay concrete floor and installing a rolling gate.
As part of the Informal Bid Requirements, the contractor is required to comply with Labor Code Sections 1771, 1775, 1776, 1777.5, 1813, and 1815. These sections, which the contractor had agreed to adhere to, establish regulations for workers on public works projects in California.
Section 1771 requires workers to be paid prevailing wages, which are set by the state. Section 1775 imposes penalties on contractors who fail to pay these wages, with fines up to $200 per day for each worker underpaid. Section 1776 mandates that contractors keep accurate payroll records and make them available for inspection. Section 1777.5 ensures that apprentices must be employed in specific ratios on public works projects and must be part of an approved apprenticeship program. Section 1813 outlines the rules for overtime, requiring workers to be paid at least 1.5 times their regular wage for work beyond 8 hours a day or 40 hours a week.
Section 1815 sets penalties for violating overtime rules, with fines for employers who fail to pay overtime correctly. These sections are designed to protect workers' rights and ensure fair pay and conditions on public works projects.
The City, through its labor compliance consultant, Advanced Avant Garde Corporation, notified Dreamwork of prevailing wage deficiencies and sent multiple follow-ups including a final 10- day notice. Additionally, the City granted multiple extensions for Dreamwork to provide the outstanding labor compliance documents. While Dreamwork had submitted some of the missing information, it remained non-compliant with the reporting requirements set forth in the Agreement and the relevant California Labor Code provisions.
On January 6, 2025, a final notice was sent via USPS to Dreamwork’s owner, Jose Luis Vazques Jr., informing him that the City has determined Dreamwork failed to pay the appropriate prevailing wages and provide proof of such payment during the course of the Project. The notice allows Dreamwork thirty (30) additional calendar days from receipt to address the outstanding issues. If Dreamwork does not resolve the issues, the City may notify the California Division of Labor Standards Enforcement, which could lead to penalties for non- compliance. The letter was delivered on January 13, 2025, with signature confirmation.
City Council City Council Regular Meeting 307
Since Dreamwork did not respond to the request to address the issues, the City sent another notice on February 26, 2025, to Mr. Vazques informing him that Dreamwork Construction and Design would be reported to the Department of Industrial Relations (DIR) as non-compliant with this public works project.
Approved Budget:
The original contract amount with Dreamwork Engineering and Construction Inc, was $84,840.00. During construction, staff made several field adjustments to address discrepancies in working conditions, resulting in one (1) change order totaling a revised contract amount of $91,140. $4,100.00 was used for labor compliance tasks performed by Avant Garde Inc. Staff time, construction support, and other related project management costs totaled $ 9,971.00.The overall cost of the project came to $105,211.00, which is below the approved Fire Station 147 Improvements budget of $253,000.
Original Contract Amount $84,840.00
(1) Change Order $6,300.00
Labor Compliance $4,100.00
Project Management and other costs $9,971.00
Total Cost of Project $105,211.00
The project is now ready for acceptance by the City Council. Once accepted, staff will record the Notice of Completion at the County Recorder’s Office.
Fiscal Impact:
CIP Project No. 4011.68.119 had a FY24 budget of $253,000, funded by ARPA, to cover the replacement of the apparatus bay concrete floor and gate at Fire Station 147, as well as a separate project for improvements to the back parking lot pavement. The total construction cost for replacing the apparatus bay concrete floor and gate at Fire Station 147 was $105,211.00, while the Parking Lot Pavement Improvement project totaled $64,620.92.
Therefore, no additional appropriation is needed to deliver this project.
Funding Source Approved Budget
ARPA (1055) $253,000.00
Total FY 23-24 Approved Budget $253,000.00
Coordinated With:
City Manager’s Office
City Attorney’s Office
Department of Finance and Administration
ATTACHMENTS:
Description
City Council City Council Regular Meeting 308
Dreamwork Final Notice and Delivery.pdf
FS 147 CCO1 signed approved - Apparatus Bay.pdf
Letter to Dreamwork -
NOTICE 2_25.pdf
4-15 FS 147 Acceptance (Reso).docx
City Council City Council Regular Meeting 309
310
311
312
313
314
315
316
317
318
1 February 26, 2025
VIA CERTIFIED MAIL
Dreamwork Construction and Design
224 S. Dickerson Ave., Los Angeles, CA 90063
Attention: Jose Luis Vazquez Jr., Owner
Edward Enriquez, Secretary
Re: Labor Compliance – Notice of Project Closeout and DIR Reporting City of Lynwood - Fire Station 147 Apparatus Bay and Gate Dear Mr. Vazquez:
This final notice is addressed to your attention from the City of Lynwood (“City”) regarding City Project: Fire Station 147 Apparatus Bay and Gate Project (“Project”).
This letter serves as formal notice that due to your non-responsiveness to our final communication regarding the Project, we are proceeding with the project closeout.
A letter was sent to Dreamwork Construction via Certified Mail (Tracking # 7019 2970 0000 9841 2793) on January 8, 2025. The letter was delivered with signature confirmation on January 13, 2025, at 12:40 PM.
As a result of your failure to address the outstanding matters and in accordance with the applicable regulations, Dreamwork Construction and Design will be reported to the Department of Industrial Relations (“DIR”) as non-compliant on this public works project.
Please consider this matter closed and be advised that any further action regarding this project will be addressed accordingly.
If you wish to discuss the issues at hand, please contact us immediately.
Thank you for your attention to this matter.
If you should have any questions, please contact me at (310) 603-0220 Ext. 837 or [email protected].
Sincerely,
Ahmad Ansari
Public Works Oversight
319
320
1 RESOLUTION NO. XXXX-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD
ACCEPTING THE APPARATUS BAY CONCRETE FLOOR AND GATE
AT LOS ANGELES COUNTY FIRE DEPARTMENT FIRE STATION 147
CIP PROJECT NO. 4011.68.119 AS COMPLETE; AUTHORIZING THE
FILING OF THE NOTICE OF COMPLETION WITH THE LOS ANGELES COUNTY RECORDER’S OFFICE AND THE RELEASE OF THE 5%
RETENTION 35 DAYS AFTER THE ACCEPTANCE.
WHEREAS, on August 7, 2023, staff issued a request for informal proposals from multiple contractors for the Fire Station 147 apparatus bay concrete floor and gate improvements, CIP Project No. 4011.68.119; and
WHEREAS, on September 19, 2023, the City awarded the contract to the lowest responsible bidder, Dreamwork Engineering and Construction Inc., in the amount of $84,840.00; and
WHEREAS, the work performed consisted of replacing the apparatus bay concrete floor and installing a rolling gate; and
WHEREAS, the construction of the Project started on October 23, 2023; and WHEREAS, there was one (01) contract change orders totaling a totaling a revised contract amount of $91,140.00; and
WHEREAS, the final date of construction was November 17, 2023, and all work was completed in accordance with the project plans and specifications; and WHEREAS, Dreamwork Engineering and Construction Inc., did not comply with the prevailing wage requirements; and
WHEREAS, on January 6, 2025, a final notice was sent via USPS to Dreamwork’s owner, Jose Luis Vazques Jr., informing him that the City has determined Dreamwork failed to pay the appropriate prevailing wages and provide proof of such payment during the course of the Project; and
WHEREAS, Dreamwork did not respond to the request to address the issues, the City sent another notice on February 26, 2025, to Mr. Vazques informing him that Dreamwork Construction and Design would be reported to the Department of Industrial Relations (DIR) as non-compliant with this public works project; and WHEREAS, the total construction cost including project management, construction management, inspection, and labor compliance is $105,211.00; and WHEREAS, the total construction budget for the Fire Station 147 Improvements was $253,000 in ARPA funds; and
321
1 WHEREAS, no additional appropriation was needed.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY FIND, PROCLAIM, ORDER, AND RESOLVE AS FOLLOWS:
Section 1. The City Council of the City of Lynwood hereby finds that the above recitals are true and correct and incorporates them herein by this reference.
Section 2. That the City Council of the City of Lynwood accepts the Replacement of the Apparatus Bay Concrete floor and Gate at the Los Angeles County Fire Department Station 147, CIP Project No. 4011.68.119 as complete.
Section 3. The City Council authorizes the Director of Public Works or his designee to process the recordation and filing of the Notice of Completion with the Los Angeles County Recorder’s Office.
Section 4. The City Council authorizes the release of the 5% retention 35 days after acceptance.
Section 5. The City Council authorizes the reporting of failure to comply with prevailing wage requirements to the Department of Industrial Relations.
Section 6. Authorize the Mayor to execute the Resolution for and on behalf of the City of Lynwood.
Section 7. The City Clerk shall attest and certify to the passage and adoption of this Resolution and enter it into the book of original resolutions, and it shall become effective immediately upon its adoption.
(Signatures on Next Page)
322
3 PASSED, APPROVED and ADOPTED this 15h day of April 2025.
Rita Soto
Mayor
ATTEST:
Maria Quinonez
City Clerk
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
Noel Tapia Julian Lee
City Attorney Interim City Manager
323
4 STATE OF CALIFORNIA )
)
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the foregoing Resolution was passed and adopted by the City Council of the City of Lynwood at a regular meeting held on the 15th day of April 2025, and passed by the following votes:
AYES:
NOES:
ABSTAIN:
ABSENT:
Maria Quinonez, City Clerk
STATE OF CALIFORNIA )
)
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, and the Clerk of the City Council of said City, do hereby certify that the above foregoing is a full, true, and correct copy of Resolution No. XXX on file in my office and that said Resolution was adopted on the date and by the vote therein stated. Dated this 15th day of April 2025.
Maria Quinonez, City Clerk
324
AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Harry Wong, Director of Finance & Administration
Natalia Lo, Senior Accountant
SUBJECT:
APPROVE FIRST AMENDMENT TO AGREEMENT WITH VASQUEZ &
COMPANY LLP – PROFESSIONAL AUDITING SERVICES
Agenda Item # 8.7.
Recommendation:
Staff recommends that the City Council:
1. Amend the audit services contract and authorize Purchase Order (PO) change order of $28,500 in FY 2024-25 for 136 additional hours of audit work performed by Vasquez & Company LLP (Vasquez) for the FY 2023-24 audit
2. Amend the audit services contract to pay Vasquez additional $7,500 per year starting the FY 2024-25 audit (in FY 2025-26) for GASB 87, GASB 96, GASB 77 and other GASB implementations
3. Adopt the attached resolution entitled: “A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF LYNWOOD APPROVE FIRST AMENDMENT TO AGREEMENT WITH VASQUEZ & COMPANY LLP PROFESSIONAL AUDITING SERVICES”
Background:
The City awarded a three-year contract, plus two optional years, to Vasquez on June 26, 2024 for professional audit services for the City of Lynwood beginning with the audit services.
Discussion and Analysis:
Due to the complexity of the first year’s audit (i.e., FY 2023-24 audit), Vasquez has spent substantially more hours (1,216 hours) to complete the FY23-24 audit as compared to the City Council City Council Regular Meeting 325
estimated 777 hours or $83,000 agreed upon in the original audit services contract. The additional audit hours spent are listed on the Attachment No. 1 as follows:
Additional sampling due to that it was the first year’s audit and the audit materiality; There was a total of 54 client adjustment entries to make accruals and corrections after the submission of trial balance;
Additional review and corrections to
Governmental Accounting Standards Board (
GASB)
68, 87, 96, Capital Assets and Receivable entries;
Additional meetings and revisions of the
Annual Comprehensive Financial Report
(
ACFR) drafts due to the client adjustment entries;
New and recurring control deficiencies identified
As a goodwill to build a good working relationship with the City, Vasquez reduces the overrun hours from 439 to 136, and gives the City a discounted charge at $28,500.
In addition, the City has previously engaged DebtBook for the implementation of GASB 87 Leases and GASB 96 SBITAs for $8,500 a year. However, both the City and Vasquez have noted DebtBook’s work contained mistakes, which has costed the City time and resources to fix. It is more cost efficient to hire Vasquez for the same services at a lower total cost at $7,500. With the contract amendment, Vasquez will not only assist the City with GASB 87 and GASB 96, it will also help with other GASB implementations, such as GASB 77 Tax Abatement Disclosures.
Therefore, Staff recommends the City Council to approve a first amendment to agreement with Vasquez & Company LLP for a not to exceed maximum compensations of $111,500 annually for the FY2023-24 audit, $93,400 annually for the FY2024-25 audit, $96,400 annually for the FY2025-26 audit, $99,400 annually for the FY2026-27 audit, and $102,500 for the FY2027-28 audit, respectively.
Fiscal Impact:
The audit service fee appropriation shall increase for the following years:
FY 2024-25 (for the FY2023-24 audit) $28,500 – no additional appropriation needed, the budget overrun of the audit services would be absorbed and covered by budget savings in other O&M budget. Budget reclassification entry from different fund(s)/account(s) is to be determined.
City Council City Council Regular Meeting 326
4-1-2025 Budget Overrun -
Audit Services for the FY 2023-24 Audit.pdf
4-15-2025 Vasquez & Company LLP Professional Services Agreement First Amendment.pdf
Resolution - First_Amendment_to_Agreement_Auditing_Services.docx FY 2025-26 (for the FY2024-25 audit) $7,500 – was incorporated into the FY2025-27 biennial budget
FY 2026-27 (for the FY2025-26 audit) $7,500 – was incorporated into the FY2025-27 biennial budget
Coordinated With:
City Managers Office
City Attorney's Office
ATTACHMENTS:
Description
City Council City Council Regular Meeting 327
From: Rhoda Dollaga
To: Harry Wong
Cc: Natalia Lo
Subject: RE: Call re budget overrun
Date: Tuesday, April 1, 2025 4:31:03 PM
Attachments: image001.png
image002.png
image005.png
image007.png
CAUTION: This email originated from outside your organization. Exercise caution when opening attachments or clicking links, especially from unknown senders.
Hello Harry,
I was able to connect with Cristy and successfully negotiate a reduction, bringing the total to $28,500. Below, I have provided the details of the overrun calculation, which we believe will not recur in future audits. To address this matter, we are absorbing 300 hours.
We sincerely hope this meets with your understanding and kindly request your consideration regarding this matter. Please let me know if there is any additional information I can provide to facilitate this request.
Thank you!
Rhoda Dollaga, CPA
Audit Senior Manager
VASQUEZ + COMPANY LLP
O: 213.873.1746
[email protected] | www.vasquez.cpa
We are clients of the RSM Professional Services+ Practice. As a client, we have access to the Professional Services+ Collaborative, a globally connected community that provides access to an ecosystem of capabilities, collaboration and camaraderie to help professional services firms grow and thrive in a rapidly changing business environment. As a participant in the PS+ Collaborative, we have the opportunity to interact and share best practices with other professional services firms across the U.S. and Canada.
This email transmission contains information which may be confidential or protected by the privilege and/or the work product doctrine and intended solely for the person or organization to which it is addressed. If you are not the intended recipient, be aware that any disclosure, copying, distribution or use of the content of this information is prohibited. If you have received this communication in error, please notify the sender immediately and delete the original message. Although Vasquez + Company LLP has scanned this email to prevent transmission of any potentially dangerous code (virus), the recipient should check this email and any attachments for the presence of viruses. Vasquez + Company LLP accepts no liability for any damage caused by any virus transmitted by this email.
From: Rhoda Dollaga
Sent: Tuesday, April 1, 2025 11:51 AM
To: Harry Wong <[email protected]>
Cc: Natalia Lo <[email protected]>
Subject: RE: Call re budget overrun
Good morning. Sure!
Thank you!
Rhoda Dollaga, CPA
Audit Senior Manager
VASQUEZ + COMPANY LLP
O: 213.873.1746
[email protected]
| www.vasquez.cpa
We are clients of the RSM Professional Services+ Practice. As a client, we have access to the Professional Services+ Collaborative, a globally connected community that provides access to an ecosystem of capabilities, collaboration and camaraderie to help professional services firms grow and thrive in a rapidly changing business environment. As a participant in the PS+ Collaborative, we have the opportunity to interact and share best practices with other professional services firms across the U.S. and Canada.
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From: Harry Wong <[email protected]>
Sent: Tuesday, April 1, 2025 9:15 AM
To: Rhoda Dollaga <[email protected]>
Cc: Natalia Lo <[email protected]>
Subject: RE: Call re budget overrun
Rhoda,
Good morning! We’ll call you around 2pm.
Harry Wong
(310) 603-0220 Ext. 202
[email protected]
From: Rhoda Dollaga <[email protected]
>
Sent: Tuesday, March 25, 2025 3:37 PM
To: Harry Wong <[email protected]>
Subject: Call re budget overrun
CAUTION: This email originated from outside your organization. Exercise caution when opening attachments or clicking links, especially from unknown senders.
Hi Harry,
Can you please let me know if you are available for a quick call re the above topic?
328
Thank you!
Rhoda Dollaga, CPA
Audit Senior Manager
VASQUEZ + COMPANY LLP
O: 213.873.1746
[email protected] | www.vasquez.cpa
We are clients of the RSM Professional Services+ Practice. As a client, we have access to the Professional Services+ Collaborative, a globally connected community that provides access to an ecosystem of capabilities, collaboration and camaraderie to help professional services firms grow and thrive in a rapidly changing business environment. As a participant in the PS+ Collaborative, we have the opportunity to interact and share best practices with other professional services firms across the U.S. and Canada.
This email transmission contains information which may be confidential or protected by the privilege and/or the work product doctrine and intended solely for the person or organization to which it is addressed. If you are not the intended recipient, be aware that any disclosure, copying, distribution or use of the content of this information is prohibited. If you have received this communication in error, please notify the sender immediately and delete the original message. Although Vasquez + Company LLP has scanned this email to prevent transmission of any potentially dangerous code (virus), the recipient should check this email and any attachments for the presence of viruses. Vasquez + Company LLP accepts no liability for any damage caused by any virus transmitted by this email.
CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.
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RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD APPROVING
FIRST AMENDMENT TO AGREEMENT WITH VASQUEZ & COMPANY LLP AUDITING
SERVICES
WHEREAS, in June 2024, the City entered into an agreement with Vasquez & Company LLP to provide Accounting and Independent Auditing Services to the Finance & Administration Department (“Master Agreement”); and
WHEREAS, the parties desire to amend the Master Agreement to compensate Vasquez & Company LLP Auditing Services for additional unforeseen hours spent conducting relevant audits.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY FIND, PROCLAIM, ORDER AND RESOLVE AS FOLLOWS:
Section 1. The City Council of the City of Lynwood hereby finds and declares that the foregoing recitals are true and correct and incorporates said recitals fully into this resolution as substantive findings.
Section 2. That the Complexity of the first year’s audit (i.e., FY2023-24 audit) has caused Vasquez & Company LLP to spend substantially more hours (1,216 hours) to complete the audit as compared to the estimated 777 hours or $83,000 agreed upon in the original audit services contract. However, as a goodwill to build a good working relationship with the City, Vasquez reduces the overrun hours from 439 to 136 and gives the City a discounted charge at $28,500.
Section 3. That the City has previously engaged DebtBook for the implementation of GASB 87 Leases and GASB 96 SBITAs for $8,500 a year. However, both the City and Vasquez have noted DebtBook’s work contained mistakes, which has costed the City time and resources to fix. It is more cost efficient to hire Vasquez for the same services at a lower total cost at $7,500. With the contract amendment, Vasquez will not only assist the City with GASB 87 and GASB 96, it will also help with other GASB implementations, such as GASB 77 Tax Abatement Disclosures.
Section 4. That the City Council approves to execute a first amendment to agreement with Vasquez & Company LLP for a not to exceed maximum compensations of $111,500 annually for the FY2023-24 audit, $93,400 annually for the FY2024-25 audit, $96,400 annually for the FY2025-26 audit, $99,400 annually for the FY2026-27 audit, and $102,500 for the FY2027-28 audit, respectively. The amended total contract amounts include a one-time additional $28,500 charge for the FY2023-24 audit, and recurring additional annual flat fees of $4,000 to assist on the GASB 87 Leases and GASB 96 SBITAs, and $3,500 on other GASBs implementations such as GASB 77 Tax Abatement Disclosures starting the FY2024-25 Disclosures.
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Section 5. Authorize the Mayor to execute the Resolution for and on behalf of the City of Lynwood.
Section 6. That this Resolution shall take effect immediately upon its adoption.
Section 7. That the City Clerk shall certify as to the adoption of this Resolution and hereafter the same shall be in full force and effect.
PASSED, APPROVED, and ADOPTED this 15th day of April, 2025.
ATTEST:
Rita Soto
Mayor
María Quinonez Julian Lee
City Clerk Interim City Manager
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
Noel Tapia Harry Wong
City Attorney Director of Finance & Administration
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STATE OF CALIFORNIA )
)
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the foregoing Resolution was passed and adopted by the City Council of the City of Lynwood at a regular meeting held on the 15th day of April 2025, and passed by the following votes:
AYES:
NOES:
ABSTAIN:
ABSENT:
Maria Quinonez, City Clerk
STATE OF CALIFORNIA )
)
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, and the Clerk of the City Council of said City, do hereby certify that the above foregoing is a full, true, and correct copy of Resolution No. on file in my office and that said Resolution was adopted on the date and by the vote therein stated. Dated this15th day ofApril 2025.
Maria Quinonez, City Clerk
367
AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Gabriel Linares, Director of Community Development
Anel Zarate, Administrative Assistant
SUBJECT:
APPROVAL OF SPECIAL EVENT PERMIT - CIRCO CABALLERO WITH LOCATION OF 3000 EAST IMPERIAL HIGHWAY, FOR DATES APRIL 17, THROUGH MAY 19, 2025.
Agenda Item # 8.8.
Recommendation:
Staff recommends that the City Council approve a Special Permit for Circo Caballero for the operation of a circus at 3000 East Imperial Highway from April 17, 2025 through May 19, 2025, contingent upon the payment of all required fees.
Background:
The City has received a Special Event Permit Application from Circo Caballero for the operation of circus at 3000 East Imperial Highway beginning April 17, 2025 to May 19, 2025.
This event will include a variety of acts, which includes jugglers, acrobats, dare devils, clowns, contortionists, flying trapeze, artists and aerialists. There will be no animal acts at this circus.
According to Chapter 4 "Licensing and Business Regulations" of the Lynwood Municipal Code, there are a number of activities that require a "Special Permit" from the City Council before approval of the Special Event Permit Application. One of those events is a circus.
Event Setup: April 14, 2025
Actual Event: April 17, 2025 through May 19, 2025
Event Cleanup: May 20 and 21, 2025
Discussion and Analysis:
City Council City Council Regular Meeting 368
Special Event Application for Circo Hermanos Caballero.pdf Resolution - Circus_Hermanos_Caballero.docx
The City Council has the right to approve or deny a Special Permit Application. If a Special Permit is approved, the City Council has the right to impose reasonable restrictions or limitations to preserve public peace, safe/welfare, or which will tend to protect the life and property of others.
In reviewing the Special Permit Application submitted by Circo Caballero, all required documentation was provided to staff, which is described below. In addition, the application was circulated and approved by all relevant departments.
Detailed description of the event (tent, booths)
Detailed site plan identifying locations of (tent, booths and parking) Written permission from the property owner
Fire Department clearance
Sheriff Department clearance
Insurance Policy
Applicable building permits (stage, generators and structures) Business License related fees
Bond
Clean up schedule and parking plan
Pursuant to Master Fee Schedule, Circo Caballero will be require to pay a number of event fees, which are described below and total $11,016.00 approximately.
License Fee: $6,600 ($200 per day, 33 days total)
Fire Clearance Fee: $2,805 ($85 per day, 33 days total) Filing Fee: $30 (flat fee)
Building permits: $81 - approximately (i.e. generators and stages) Expedite Fees: $1,500 (flat fee)
Fiscal Impact:
Total estimated revenue created by the proposed event is approximately $11,016.00 Coordinated With:
City Manager's Office
City Attorney's Office
County of Los Angeles, Fire Department
County of Los Angeles, Sheriff Department
ATTACHMENTS:
Description
City Council City Council Regular Meeting 369
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, RESOLUTION NO.-------
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD,
COUNTY OF LOS ANGELES, STATE OF CALIFORNIA APPROVING
THE CIRCUS HERMANOS CABALLERO EVENT FOR APRIL 17, 2025 – MAY 19, 2025
WHEREAS, a request has been made by the Circus Hermanos Caballero to operate a circus on vacant property located at the Southwest Corner of Beechwood Avenue and State Street, further described as 3000 East Imperial Highway and Assessor's Parcel Number 6169-003-017; and
WHEREAS, the purpose is to provide a tent show with jugglers, acrobats, clowns, flying trapeze, contortionist, artist and aerialist to the residents of Lynwood.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY FIND, PROCLAIM, ORDER, AND RESOLVE AS FOLLOWS:
Section 1. The City Council approves the special permit to allow Circus Hermanos Caballero to operate from April 17, 2025 through May 19, 2025.
Section 2. The City Council further finds that all City and County laws and regulations must be obeyed and complied with during all activities of the event including but not limited to the following:
a) The applicant shall have in place, and shall provide to all of its appropriate agents and employees, an emergency evacuation plan to be reviewed and approved for the event by the Los Angeles County Fire Department and Los Angeles County Sheriff's Department.
b) All exterior tents, circus areas, and the like shall be subject to permit application and inspection by the Building Division prior to commencement of the event. All tents and temporary structures shall comply with Chapter 24 of the 2019 International Fire Code. Code requirements for separation of tents and other structures shall be observed.
c) All temporary power hook-ups or connections shall be approved by the Building Division prior to commencement of the event.
d) The applicant shall have a sufficient number of restrooms/portable toilet facilities, in locations that comply with barrier free requirements. All portable toilet facilities shall be regularly cleaned, and shall remain in a sanitary condition throughout the entire event, with additional cleanings required depending on attendance at the event. Temporary water supplies shall be in accordance with Los Angeles County Health Department standards. 387
e) Emergency access to all areas of the property shall be maintained throughout the entire event.
f) The applicant shall secure from the Building Division the appropriate occupant load for the facility, including the temporary tent and/or seating areas. Such occupancy load shall not be exceeded during the event. g) The Applicant shall post "No Event Parking" signs along the entire length of Beechwood Avenue, from State Street to Fernwood Avenue. Said signs shall be posted in locations as determined by the City's Public Safety Manager from April 17, 2025 through May 19, 2025.
Section 3. The Mayor is authorized to execute this Resolution for and on behalf of the City of Lynwood.
Section 4. This Resolution shall be effective immediately upon its adoption.
Section 5. The City Clerk shall certify to the adoption of this resolution and hereafter the same shall be in full force and effect.
PASSED, APPROVED AND ADOPTED this 15th day of April 2025. ________________________________
Rita Soto, Mayor
ATTEST:
_______________________________
Maria Quinonez, City Clerk
APPROVED AS TO FORM APPROVED AT TO CONTENT
_______________________________ ________________________________ Noel Tapia, City Attorney Julian Lee, Interim City Manager 388
STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the above and foregoing resolution was duly adopted by the City Council of the City of Lynwood at a regular meeting held in the City Hall of said City on the _______ day of __________, 2025, and passed by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_______________________________
Maria Quinonez, City Clerk
STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, the undersigned City Clerk of the City of Lynwood, and Clerk of the City Council of said City, do hereby certify that the above and forgoing is a full, true and correct copy of Resolution No. on file in my office and that said resolution was adopted on the date and by the vote therein stated.
Dated this _______ day of ___________, 2025.
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AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Ahmad Ansari, Public Works and City Engineering Oversight SUBJECT:
ACCEPTANCE OF DEDICATION OF ROAD RIGHTS OF WAYS AND
PUBLIC IMPROVEMENTS RELATED TO THE NORTHGATE MARKET
PROJECT
Agenda Item # 8.9.
Recommendation:
Staff recommends that the City Council adopt the attached resolution entitled: “A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD RECOMMENDING
ACCEPTANCE AND DEDICATION OF ROAD RIGHTS-OF-WAY AND PUBLIC
IMPROVEMENTS AT NORTHEAST CORNER OF LONG BEACH BLVD AND LOUISE STREET IN THE CITY OF LYNWOOD”
Background:
On September 14, 2021, the Planning Commission approved a development agreement (DA) for construction of a market place and drive through located at 11600 Long Beach Boulevard.
As part of the project, the developer, Lynwood Market LLC was required to construct a traffic signal at the intersection of Long Beach Boulevard and Louise Street. As part of the design for the traffic signal, the developer was required to add an additional lane of traffic on Long Beach Boulevard for the entrance to the shopping center, and one lane of traffic on Louise Street for a right turn only lane.
City Council City Council Regular Meeting 390
Street Dedication Northgate (reso) - MK V01 pt.docx
Plat-Right of Way Dedication Northgate CC04152525docx-mk040225.docx Discussion and Analysis:
The developer, Lynwood Market, LLC is to complete said improvements to their property as required by the DA and dedicate them to the City. This Resolution is for acceptance and recordation of the said dedication.
Fiscal Impact:
There is no fiscal impact to the City.
Coordinated With:
City Manager’s Office
City Attorney’s Office
Department of Community Development
ATTACHMENTS:
Description
City Council City Council Regular Meeting 391
1 RESOLUTION NO. 2025-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD
RECOMMENDING ACCEPTANCE AND DEDICATION OF ROAD RIGHTS-
OF-WAY AND PUBLIC IMPROVEMENTS AT THE NORTHEAST CORNER
OF LONG BEACH BLVD AND LOUISE STREET IN THE CITY OF
LYNWOOD
WHEREAS, the Planning Commission approved Northgate Development agreement, Resolution no. 3443, to construct a shopping center located at 11600 Long Beach Blvd.; and
WHEREAS, Lynwood Market, LLC was required as part of the DA to construct a traffic signal at the intersection of Long Beach Boulevard and Louise Street; and WHEREAS, as part of the design for the traffic signal, the developer was required to add additional lanes of traffic on Long Beach Boulevard and Louise Street; and WHEREAS, required improvements to the real property were constructed by Lynwood Market, LLC, to the specification and in a manner prescribed by the City Engineer. The required improvements include, but are not limited to the construction of the permanent roadways and other related roadway improvements in the area; and WHEREAS, improvements have been completed and Lynwood Market, LLC hereby makes an irrevocable offer of dedication to the City of Lynwood; and WHEREAS, attached plat shows Public Rights-of Way proposed for dedication in the City of Lynwood; and
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY FIND, PROCLAIM, ORDER, AND RESOLVE AS FOLLOWS:
Section 1. The City Council of the City of Lynwood hereby finds and declares that the foregoing recitals are true and correct and incorporates said recitals fully into this resolution as substantive findings.
Section 2. The City Council of the City of Lynwood deems it is in the best interest of the City of Lynwood that the offer of Dedication of the road rights-of-way and public improvements be accepted and the same become a part of the Public Streets System of the City of Lynwood; and
Section 3. Authorize the Mayor to execute the Resolution for and on behalf of the City of Lynwood.
Section 4. That the City Clerk of the City of Lynwood shall cause a certified copy 392
2 of this resolution to be recorded in the Office of the County Recorder of Los Angeles County.
Section 5. That upon recordation of this Resolution, the dedication is complete.
Section 6. The City Clerk shall attest and certify to the passage and adoption of this Resolution and enter it into the book of original resolutions, and it shall become effective immediately upon its approval.
.
Signatures on Next Page
393
3 PASSED, APPROVED and ADOPTED this 15th day April 2025.
Rita Soto
Mayor
ATTEST:
Maria Quinonez
City Clerk
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
Noel Tapia Julian Lee
City Attorney Interim City Manager
394
4 STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the foregoing Resolution was passed and adopted by the City Council of the City of Lynwood at a meeting held on the 15th day April 2025.
AYES:
NOES:
ABSENT:
ABSTAIN:
_______________________ Date: ______________________ Maria Quinonez,
City Clerk
STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, Maria Quinonez, the undersigned, City Clerk of the City of Lynwood, and the Clerk of the City Council of said City, do hereby certify that the above foregoing is a full, true and correct copy of Resolution No. 2025-XX on file in my office and that said Resolution was adopted on the date and by the vote therein stated dated this 15th day of April 2025 _______________________ Date: ______________________
Maria Quinonez,
City Clerk
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RECORDING REQUESTED BY
AND WHEN RECORDED MAIL
TO:
City Clerk
CITY OF LYNWOOD
11330 Bullis Road
Lynwood, CA 90262
The undersigned grantor(s) declare(s): Assessor’s Parcel No. 6175-009-025 Documentary transfer tax is $ 0.00 11600 Long Beach Blv d, Lynwood, CA ( ) computed on full value of property conv eyed, or .
( ) computed on full value less value of liens and
encumbrances remaining at time of sale.
( ) Unincorporated area: (x) City of Lynwood
IRREVOCABLE OFFER TO DEDICATE REAL PROPERTY
FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, Lynwood Market, LLC, a California limited liability company hereinafter designated “Grantor”, represents that they are the owners of the hereinafter described real property in the City of Lynwood, County of Los Angeles, State of California, and for a valuable consideration, hereby makes an Irrevocable Offer of Dedication to the City of Lynwood, a municipal corporation, hereinafter designated Grantee, its successors and assigns, a fee dedication of the hereinafter described real property for the following purpose:
PUBLIC ROAD IMPROVEMENT PURPOSES
The real property referred to above is situated in the City of Lynwood, County of Los Angeles, State of California and is described in Exhibit "A" consisting of two (2) pages, attached hereto and made a part hereof. Exhibit "B" consisting of one (1) page is attached for clarity only.
The Grantor’s required improvements to the real property shall be constructed to the specifications and in a manner prescribed by the city engineer. The Grantor’s improvements include, but are not limited to, the construction of the permanent roadways and other related roadway improvements in the area dedicated.
The Grantee, its successors and assigns, shall indemnify, defend, and hold harmless the Grantor and its respective employees, agents, and assigns from any claim, liability, damages, actions, suits, demands, losses, or judgments imposed resulting from or occurring at the real property, except to the extent such injury is caused by the gross negligence or intentional acts of Grantor.
This Offer of Dedication is made pursuant to Section 7050 of the Government Code of the State of California and may only be accepted by resolution of the City Council of the City of Lynwood.
This Offer of Dedication may be terminated and the right to accept the offer may be abandoned in accordance with the Summary Vacation procedures in Section 8300 et seq. of the Streets and Highways SPACE ABOVE THIS LINE FOR RECORDER’S USE
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Code of the State of California. The termination and abandonment may be made by the City Council of the City of Lynwood.
This Offer of Dedication shall be irrevocable and shall be binding on the Grantor, its heirs, executors, administrators, successors and assigns.
It Witness Whereof, the Grantor has caused this Irrevocable Offer of Dedication to be executed this ____ day of March, 2025.
GRANTOR:
LYNWOOD MARKET, LLC, a California limited liability company By: _____________________________
Oscar Gonzalez, Manager
By: _____________________________
Carl Matthew Middleton, Manager
CERTIFICATION FOR ACCEPTANCE OF DEED
This is to certify that the interest in real property conveyed by the deed or grant dated March __, 2025 from Lynwood Market LLC, to the City of Lynwood, California, a municipal corporation is hereby accepted by the City Council of the City of Lynwood, California pursuant to Section 25-10-9 of The Code of the City of Lynwood, 1988, and the grantee consents to the recordation thereof by its duly authorized officer.
DATED:
_____________________ ______________________________ [________________], City Clerk
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ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the
individual who signed the document to which
this certificate is attached, and not the
truthfulness, accuracy, or validity of that
document.
State of California
County of ____________________________
On ________________________ before me, _______________________________________ (insert name and title of the officer)
personally appeared___________________________________________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature ________________________________ (Seal)
398
PAGE 1 OF 2
IN THE CITY OF LYNWOOD
STREET RIGHT OF WAY DEDICATION
(LEGAL DESCRIPTION)
THOSE PORTIONS OF LOTS 749, 750, 751, 752 AND 753 OF TRACT NO. 3078, IN THE CITY OF
LYNWOOD, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 31, PAGE 48 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS:
BEGINNING AT THE SOUTHEAST CORNER OF SAID LOT 753, BEING A POINT ON THE NORTHWESTERLY RIGHT-OF-WAY LINE OF LOUISE STREET AS SHOWN ON SAID TRACT; THENCE, ALONG THE SOUTHEAST LINE OF SAID LOT 753 AND SAID NORTHWESTERLY RIGHT-OF-WAY LINE, SOUTH 86°54'30" WEST, 136.24 FEET TO THE SOUTHEAST CORNER OF
THAT LAND DESCRIBED IN JUDGEMENT AND FINAL ORDER OF CONDEMNATION, RECORDED APRIL 21, 1998, AS INSTRUMENT NO. 98-662208 OF OFFICIAL RECORDS, IN THE OFFICE OF SAID COUNTY RECORDER;
THENCE, ALONG SAID JUDGEMENT AND FINAL ORDER OF CONDEMNATION, NORTH 03°04'50" WEST 15.00 FEET;
THENCE, SOUTH 86°54'30" WEST, 7.50 FEET TO A LINE 7.00 FEET EASTERLY OF THE WEST LINE OF SAID LOTS 749 THROUGH 753, INCLUSIVE AND AS DESCRIBED IN SAID JUDGEMENT AND FINAL ORDER OF CONDEMNATION;
THENCE, ALONG SAID EASTERLY LINE, NORTH 03°04'50" WEST 196.85 FEET TO THE CUSP OF A NON-TANGENT CURVE, CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 4.00 FEET, A RADIAL LINE TO SAID CUSP BEARS SOUTH 86°55’10” WEST;
THENCE, LEAVING SAID EASTERLY LINE, SOUTHEASTERLY ALONG SAID CURVE 6.28 FEET, THROUGH A CENTRAL ANGLE OF 89°59’17”;
THENCE, TANGENT TO SAID CURVE, NORTH 86°55’53” EAST 5.97 FEET; THENCE, SOUTH 08°04’56” EAST, 48.99 FEET TO THE BEGINNING OF A NON-TANGENT CURVE, CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 14.50 FEET. A RADIAL LINE TO SAID POINT BEARS NORTH 63°19’01” WEST;
THENCE, SOUTHWESTERLY AND SOUTHERLY ALONG SAID NON-TANGENT CURVE, 7.53 FEET, THROUGH A CENTRAL ANGLE OF 29°45’49” TO A LINE PARALLEL WITH AND 59.33 FEET
EASTERLY, MEASURED AT RIGHT ANGLES FROM THE CENTERLINE OF LONG BEACH BOULEVARD AS SHOWN ON RECORD OF SURVEY FILED IN BOOK 228, PAGES 71 THROUGH 80, INCLUSIVE OF RECORDS OF SURVEY;
THENCE, ALONG SAID PARALLEL LINE, SOUTH 03°04'50" EAST 116.22 FEET; 399
10-30-24
JEROME K. ALLEN, P.L.S. 7157 DATE
P:\LER22031\Reports\legal descriptions\legal-Road Dedication KIM.docx PAGE 2 OF 2 THENCE, SOUTH 42°21'49" EAST 3.16 FEET TO A LINE PARALLEL WITH AND 61.33 FEET
EASTERLY, MEASURED AT RIGHT ANGLES FROM SAID CENTERLINE OF LONG BEACH BOULEVARD;
THENCE, ALONG SAID PARALLEL LINE, SOUTH 03°04'50" EAST 8.67 FEET TO THE BEGINNING OF A CURVE CONCAVE TO THE NORTHEAST HAVING A RADIUS OF 17.50 FEET; THENCE, SOUTHEASTERLY 27.49 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 90°00'40" TO A LINE PARALLEL WITH AND 27.00 FEET NORTHERLY, MEASURED AT RIGHT
ANGLES FROM THE CENTERLINE OF LOUISE STREET AS SHOWN ON RECORD OF SURVEY FILED IN BOOK 102, PAGES 32 THROUGH 39, INCLUSIVE OF RECORDS OF SURVEY; THENCE, ALONG SAID PARALLEL LINE, NORTH 86°54'30" EAST 6.82 FEET; THENCE, SOUTH 47°58'59" EAST 2.82 FEET TO A LINE PARALLEL WITH AND 25.00 FEET
NORTHERLY, MEASURED AT RIGHT ANGLES FROM THE CENTERLINE OF SAID LOUISE STREET;
THENCE, ALONG SAID PARALLEL LINE, NORTH 86°54'30" EAST 89.03 FEET; THENCE, NORTH 44°20'27" EAST 6.17 FEET;
THENCE, SOUTH 85°10'24" EAST 9.61 FEET TO THE EASTERLY LINE OF SAID LOT 753; THENCE, ALONG SAID EASTERLY LINE, SOUTH 03°04'50" EAST 7.85 FEET TO THE POINT OF BEGINNING.
APPROXIMATELY 3,322 SQUARE FEET OR 0.076 ACRES.
AS SHOWN ON THE ATTACHED EXHIBIT "B" AND BY THIS REFERENCE MADE A PART HEREOF.
SUBJECT TO EASEMENTS, COVENANTS, CONDITIONS, RESTRICTIONS, RESERVATIONS, RIGHTS, RIGHTS OF WAY AND OTHER MATTERS OF RECORD, IF ANY.
LEGAL DESCRIPTION PREPARED UNDER THE SUPERVISION OF:
P:\LER22031\Reports\legaldescriptions\legal-Road Dedication KIM.docx 400
6 - o
./k
12.33'
59.33'
INDICATES STREET
RIGHT-OF-WAY DEDICATION
AREA = 3,322 SQUARE FEET
V/A
Prepared by:
= J o s e p h a l i w r a w a n d A s s o c i a t e : 4 I n c . — Civil Engineers and Land Surveyors
1915 W. Orangewood Avenue, Suite 101
Orange, CA 92868 (714) 935-0265
STREET RIGHT-OF-WAY DEDICATION
IN THE CITY OF LYNWOOD
D R A W N :CL CHKD: JKA SHEET 1 OF 1
LER22031 EXHIBIT "B"DATE
:
10-30-24 DATE: 10-30-24
S TATE RI GHT-OF-W AY
P E R RE CORD OF S URV E Y
R. S . B. 2 2 8 , P AGE S 7 1
THROUGH 8 0 , I NCLUS I V E .
7- 4/j ------ 417° 0 -A=89'59-- -- 6 os,L... itsfs.;:l.„.----;„, 0 R=4.00''17 ---... ' ---- 46) " 19 - - - - - - - -L=6.28' -------.440041 ----- fN ,
cro4
° I 5
N63919'011'W->.6jo
z
40'
47'
N86'55'10"E:z-
(RAD)
N86'55 '53"E5.97'
LINE BEARING DISTANCE
Ll N47'58'59'14/ 2.82'
(O
! 4 " )
1P
CURVE DATA TABLEI
CURVE DELTA RADIUS LENGTH
Cl 90°00'40" 17.50' 27.49'
7' N42'21'49"W N85'10'24"W
3.16 9.61'
61.33' 8.67' N44'20'27"E
N86'54'30"E 6.17'
6.82' N86°54130”E
Ll 89.03'
NOTE:
AS DESCRIBED ON ATTACHED
EXHIBIT "A" AND BY THIS
REFERENCE MADE A PART
THEREOF.
N86'54 '30"E
7.50' N86'5413071' In
NO3'04'50 W
15.00' N86'54'30 "E
LOUISE STREET
BASIS OF BEARINGS:
THE BEARING OF N71 °49'.30"W FOR THE CENTERLINE OF LYNWOOD ROAD AS SHOWN ON RECORD OF SURVEY IN BOOK 228,
PAGES 71 THROUGH 80, INCLUSIVE, RECORDS OF SURVEY, WAS
USED AS THE BASIS OF BEARINGS FOR THIS EXHIBIT
R A D I A L
{A=29'45'
_ R=14.50' L=7.53'
LINE DATA TAB1
401
AGENDA STAFF REPORT
DATE:
April 15, 2025
TO:
Honorable Mayor and Members of the City Council
APPROVED BY:
Julian Lee, Interim City Manager
PREPARED BY:
Maria Quinonez, City Clerk
China Oseguera, Assistant to the City Clerk
SUBJECT:
APPROVAL OF NON-PROFIT APPLICATIONS FOR THE SALE OF SAFE
AND SANE FIREWORKS
Agenda Item # 9.1.
Recommendation:
Staff recommends that the City Council review the item and approve the five (5) qualified applicants.
Background:
Ordinances 1548-A and 1565 regulate the sale of Safe and Sane Fireworks in the City of Lynwood. Applications for the sale of Fireworks were accepted and reviewed in the City Clerk's Office between March 1, 2025 and April 1, 2025. The City Ordinance allows up to fourteen (14) stands to operate between July 1 through July 4th. At its Regular City Council Meeting on March 18, 2025, City Council approved accepting a total up to fourteen (14) Fireworks stands.
Discussion and Analysis:
Staff is requesting that the Lynwood City Council review, discuss and approve the five (5) qualified applicants listed below:
Name of Organization
Stand Location
Company
Lynwood Grace Hispanic
Church of The Nazarene
11170 Long Beach Blvd.
TNT
Lynwood Sports Association –
Marlins Swim Team
10901 S. Atlantic Ave.
TNT
Century Explorers Post 1993
10727 Long Beach Blvd.
TNT
City Council City Council Regular Meeting 402
Ordinance No. 1565.pdf
Ordinance No. 1548-A.pdf
Lynwood Partners Educational
Foundation
4050 E. Imperial Hwy.
TNT
Lynwood Athletics Community
Services
3831 Martin Luther King Blvd.
Phantom
Fiscal Impact:
The City of Lynwood will receive $2,500 in non-refundable permit fees, $2,760 in refundable fire clearance fees, and $2,500 in refundable clean-up fees, if all five (5) applicants are approved.
Coordinated With:
City Manager's Office
City Attorney's Office
ATTACHMENTS:
Description
City Council City Council Regular Meeting 403
ORDINANCE NO 1565
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LYNWOOD AMENDING CERTAIN SUBSECTIONS OF SECTION 122 OF THE
LYNWOOD MUNICIPAL CODE FOR THE PURPOSE OF BANNING THE
USE AND DISCHARGE IN THE CITY OF LYNWOOD THOSE TYPES OF
SAFE AND SANE FIREWORKS WHICH EMIT HIGHPITCHED
SCREAMING SOUNDS
WHEREAS California Health and Safety Code section 12541 permits a City to regulate the sale use and discharge of fireworks in its jurisdiction and WHEREAS the possession sale use and discharge of Dangerous Fireworks within the City of Lynwood City is currently prohibited and WHEREAS the possession sale use and discharge of Safe and Sane SAS Fireworks is currently permitted in the City subject to certain regulations and WHEREAS the City Council of the City of Lynwood Council wishes to preserve the City'straditionalFourth of JulySAS Fireworkssales which benefit the charitable organizations in theCity and WHEREAS
to promotethe safetyhealth and quiet enjoymentof the City'sresidentsthe Council findsit necessaryto impose additionalcontrols on the dischargeof those types of SAS Fireworkswhich emit high pitchedscreamingsounds present an attractive nuisance to children and may be easily modifiedfor use contraryto their intendeduse and WHEREASbecause
the issuance of permits for the sale of SAS Fireworksare pending the Council findsthat the adoptionof this ordinancebanningthe use ayndiscl argof suclr s ofS A S i e 'er'as'itl il tiiCitj' is 'aee' ed toYrclte t tte reac ehealthand safety of the residentsof the Cityand to providenoticeto the potentialpermitteesand the publicof those typesof SAS Fireworksthat are no longer permittedto be dischargedandused in the CityNOWTHEREFORE
THE CITY OF LYNWOODDOESORDAIN AS FOLLOWS Section
1 That Subsection12 2 2ofChapter 12 of the Codeof the Cityof Lynwoodbe repealed it its entiretySection2
That a new Subsection12 2 2ofChapter 12 be addedto Code of the Cityof Lynwood whichsection shall read as follows12 2
2DefinitionsSafe and
Sane FireworksSAS Fireworks shall mean only those fireworkswhich are defined in section 12529of the CaliforniaHealthand Safety Code and have been classifiedand registered as safe and sane by the statefire marshal ScreamingFireworks shall mean any SAS Fireworkcommonlyknown as a PiccoloPete Screaming Willie Whistle Pete Whistling Phantomor any other SAS fireworkhavingthe same appearanceand discharge characteristicsas any of these SASFireworksPersonshall
mean any individual personfirm partnershipcorporationassociation or any other entity DangerousFireworks
shall mean all fireworks otherthan SAS Fireworksand include but are not limited to those fireworksdefined in sections 12505and 12561 of the CaliforniaHealthand Safety Code
404
State Fireworks Law shall mean section 12500 et sue of the California Health and Safety Code
Section 3 That Subsection 1223 of Chapter 12 of the Code of the City of Lynwood be repealed it its entirety
Section 4 That a new Subsection 1223 of Chapter 12 be added to the Code of the City of Lynwood which Subsection shall read as follows
1223 Restrictions on Sale or Discharge
It shall be unlawful for any Person to
a Possess any Dangerous Fireworks within the City of Lynwood b Use discharge ignite or explode any Dangerous Fireworks or Screaming Fireworks within the City of Lynwood
c Discharge any SAS Fireworks in any manner other than in compliance with the instructions of the manufacturer
d Sell offer for sale or display for purposes of sale any Dangerous Fireworks within the City of Lynwood
Section 5 That Subsection 1224 of Chapter 12 of the Code of the City of Lynwood be repealed in its entirety
Section 6 That a new Subsection 1224 of Chapter 12 of the Code of the City of Lynwood be added to the Code of the City of Lynwood which Subsection shall read as follows
1224 Exception for Sale and Discharge of Safe and Sane Fireworks SAS Fireworks may be sold within the City only during the period beginning at 900 am on July 1 and ending at 1000 pm on July 4 Discharge of SAS Fireworks with the exception of Screaming Fireworks is permitted within the City only between the hours of 400 pm and 1000 pm on July 4in Section 7 That Subsection 12219 of Chapter 12 of the Code of the City of Lynwood be repealed it its entirety
Section 8 That a new Subsection 12219 of Chapter 12 be added to the Code of the City of Lynwood which Subsection shall read as follows
12219 Violations Penalties
Any person who violates any provision of Section 122 shall be deemed guilty of a misdemeanor and upon conviction thereof shall be punishable by the penalties andor fines as provided for in Section 15 of the Lynwood Municipal Code unlSS a SpeC1I1Cflue for the VlOlatiOn is SpeCllied iri ti1iS7iA1'iSCtiGnIn additiviiviolation of anyprovisionsof Section12 2by an SAS Fireworkspermittee shall result in revocationof the permitand renderthe violatingorganizationineligible for a permitfor five 5 yearsfrom the date of suchviolationa The fine for possessionof DangerousFireworks in theCity is $25000b The fine for dischargingDangerous Fireworks and orScreamingFireworks in the City is $50000c
The fine for dischargingSAS Fireworksin the City in anymannerother than in compliancewith the instructionsof the manufactureris $500002 405
d The fine for sale of Dangerous Fireworks in the City is $100000 Section 9 If any section subsection sentence clause phrase or portion of this Ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction such decision shall not affect the validity of the remaining sections subsections sentences clauses phrases or portions of this Ordinance The City Council hereby declares that it would have adoptedthis Ordinance and each section subsection sentence clause phrase or portion thereof irrespective of the fact that any one or more sections subsections sentences clauses phrases or portions be declared invalid or unconstitutional Section i0 This ordinance shall take effect thirty 3G days after its final passage by the City Council
Section 11 The City Clerk of the City of Lynwood is hereby directed to certify to the passage and adoption of this Ordinance and to cause it to be published or posted as required by law
First read at a special meeting of the City Council held on the lath day of March 2005 and adopted and ordered published at a regular meeting of the said Council held on the nth d
c nnnc
Attes
Andrea L Hooper City Clerk Jo eph Wang eri ity Man r
Approved as to form
J Arnoldo Beltran City Attorney
406